On Thursday, state Department of Transportation (DOT) Commissioner Joan McDonald and Amtrak President and CEO Joseph Boardman announced an agreement on cost sharing for most of Amtrak’s routes in New York, as required by federal law and avoiding a shutdown that could have occurred later this month.
Under the agreement, New York State will pay approximately $22 million in federal fiscal year 2014 to cover operating and capital costs associated with four rail lines: the Empire, Adirondack, Maple Leaf and Ethan Allen. Amtrak expends about $100 million annually to operate these four routes. The $22 million state share helps make up the difference between revenues and Amtrak’s operational costs. The state is paying for operating costs, including fuel and labor costs, as well as costs for the repair and maintenance of Amtrak’s equipment.