As federal subsidies dry up, Amtrak looks to states to pick up the slack. Pennsylvania must pay to maintain its more rural routes.
But after years of financial losses on the route for Amtrak, Pennsylvania was faced with either picking up the tab or losing it altogether by Oct. 1. Under pressure from Congress to reduce its dependence on federal subsidies, Amtrak is looking at either closing 28 short-haul routes or getting 19 states to cover the costs. Most of the states have already agreed to pick up the costs...
Pennsylvania and Virginia are among the states that have already agreed to pay for service, citing the need to ease road congestion, spur economic development and remain connected to the Northeast line. But other states, like Indiana, are still debating what to do. In most cases, the routes run at a loss, say state officials, who view them more as an infrastructure investment like a highway.
Original source: The New York Times
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