In the aftermath of a change in Amtrak policy for handling of private rail cars, some car owners told Trains magazine they are disappointed in the new policy and how the passenger carrier is jacking up the fees it charges to haul and service their cars.
Amtrak’s new policy restricts where private rail cars will be handled and in particular limits where the cars can be added or removed from Amtrak trains at intermediate stations.
Some car owners said the higher tariffs and operating restrictions will make their business more challenging and expensive.
Some car owners are trying to be philosophical with Altiplano Railtours owner Adam Auxier telling Trains it is better to have bad news you know than good news you don’t know.
Auxier said private car owners need to be able to plan their trips nearly a year in advance.
Many private car owners sell tickets to the public to ride in their cars on set dates.
Railroad Passenger Car Alliance President Roger W. Fuehring told Trains that some changes in how Amtrak handled private cars is disappointing.
In particular he cited the inability to store cars near Washington Union Station, the ending of some mechanical services, and a sudden increase in fees.
Fuehring said Amtrak had increased its tariffs every October, but now has warned private car owners that those fees can be increased at anytime at Amtrak’s discretion.
“How can anyone plan their business with such small margins when we don’t know what the tariff rates will be day to day?” Fuehring said. “What does the tariff matter if Amtrak has the ability to adjust the rates again?”
Burt Hermey owns four original California Zephyr cars that he stores in Los Angeles.
He said the fee increases are putting him into the difficult position of having to tell his customers they need to pay more for upcoming trips.
Hermey said he created fares based on the October 2017 tariffs.
He explained that Amtrak will now only do what is necessary to bring a car that is in the middle of a trip back into FRA compliance.
“A strict reading of that would seem to indicate that defects identified during an annual inspection would need to be repaired elsewhere,” Hermey said.
Hermey believes that the rule changes show that, “Amtrak management wants us off the property despite the multiple millions of dollars we pay each year, most of which flows to their bottom line. It’s also clear how little they value that segment of their business.”
Tags: American Association of Private Railroad Car Owners, Amtrak, Private rail cars, Private railroad cars
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