RailNews

FRA Rules for Bidding on Long-Distance Routes

Mandated by the Fixing America’s Surface Transportation (FAST) Act of 2015, the “Competitive Passenger Rail Service Pilot Program” calls for the Federal Railroad Administration to oversee potential competitive bidding “for selection of eligible petitioners in lieu of Amtrak to operate not more than three long-distance routes.” The June 22 filing does not specify which routes would be up for bid, but does allow Amtrak to be part of the competitive process if it chooses.

The proposal outlines various conditions bidding entities must meet. Any winning bidder must be allowed access to Amtrak’s reservation system and facilities, and would be subject to the same rules and regulations as the nationwide carrier. If any Amtrak employees are displaced by a new contractor, they would be given “hiring preference.” The initial contract for each route would be four years, with extensions subject to review and approval by the Department of Transportation. These guidelines are designed to establish a process so the FRA can review bids and select winners in cooperation with the Secretary of Transportation. The FRA is accepting written comments about the proposal until August 22.

—Passenger Train Journal

This article was posted on: June 23, 2016