This report addresses the public benefits and investment needs of intercity passenger rail transportation. AASHTO has published an investment needs report for highways and transit, and intends to publish a report on freight rail investment needs. Cost estimates for intercity passenger rail investment presented in this report were developed independently from those contained in the freight rail report. In combination, these reports provide a complete picture of the benefits of the various surface transportation modes to the U.S. and the value to be realized by both the traveling public and shippers through strategic investments.

This report was prepared at the request of AASHTO's Standing Committee on Rail Transportation. It provides for AASHTO's members and others committed to developing a national intercity passenger rail system a summary of the recent favorable actions by Congress and the Obama Administration, a description of the work of the states over the past decade, the views of the essential partners to the states and other commentators, and some guidelines for advancing the effort.

Introduction: Amtrak's current situation -- A brief history of Amtrak -- Amtrak's role in intercity transportation -- The basic economics of passenger rail -- Policy options for the future of passenger rail -- Appendix. Amtrak's interconnections with freight and commuter railroads.

This testimony discusses the future of intercity passenger rail. Intercity passenger rail in the United States is at a critical juncture. It has become increasingly clear that the current approach to intercity passenger rail is not likely sustainable. Given Amtrak's worsening financial condition and opportunities for intercity passenger rail to play a larger role in our nation s transportation system, there is growing agreement that the mission, funding, and structure of the current approach to providing intercity passenger rail needs to be changed. There is less agreement on how they should be changed. Both longer-term fiscal pressures and the new commitments undertaken after September 11th sharpen the need to look at competing claims and new priorities. Stated differently, there is a need to consider what is the proper role of the federal government in intercity passenger rail.