Posts Tagged ‘Richard Anderson’

Gardner Named Amtrak President

December 1, 2020

Amtrak said on Monday that one of its vice presidents will become its president on Dec. 1.

Stephen Gardner

Stephen Gardner, currently Amtrak’s executive vice president and chief operating and commercial officer, will replace William Flynn.

Flynn, who became Amtrak’s president and CEO in April, will remain with the passenger carrier as CEO and a member of its board of directors.

The promotion of Gardner to president had been widely expected by many rail industry observers.

Railway Age reported that Gardner has been making most of the major decisions and setting policy during his time as an Amtrak senior vice president.

His elevation to the president’s chair coincides with the election of Joseph Biden as president. Gardner, like Biden, is a Democrat.

Earlier in his career, Gardner served in staff positions for Congressional Democrats on Capitol Hill, including Delaware Senator Tom Carper.

He joined Amtrak in 2009 after having helped develop railroad and transportation policy for the U.S. Senate Committee on Commerce, Science and Transportation.

Before coming to Washington, Gardner worked for Guilford Rail System (now Pan Am Railways) and the Buckingham Branch Railroad.

Railway Age said Gardner is widely recognized as one of the principal authors of the Passenger Rail Investment and Improvement Act of 2008.

The magazine said Gardner was unlikely to become Amtrak’s president so long as Republicans controlled the White House and the Department of Transportation.

In a prepared statement, Amtrak said the change in leadership was “part of a broader set of actions taken . . . to ensure that Amtrak is well positioned for success in fiscal year 2021 and beyond.”

The statement said Gardner will lead day-to-day operations and oversee marketing, operations, planning, government affairs, and corporate communication.

Historically, Amtrak’s president has been its top executive, but during the tenure of the late Joseph Boardman the company added the CEO title to his duties.

Amtrak’s statement said the carrier faces “two urgent challenges in 2021” including weathering the COVID-19 pandemic and bolstering Amtrak’s future.

Amtrak’s presidency has been a revolving door in recent years with no one person holding the position for more than a few years.

Charles “Wick” Moorman, a former CEO of Norfolk Southern, came out of retirement in 2016 to serve as Amtrak president and CEO in what at the time was described as a transitional appointment.

Moorman became co-CEO of Amtrak with Richard Anderson in June 2017, an arrangement that continued through the end of 2017.

Anderson, a former CEO of Delta Air Lines, served as Amtrak’s top executive until being replaced in April 2020 by William Flynn, a former CEO of Atlas Air.

Railfans and Sports Fans: They Have Much in Common, Including Frustration at Being Ignored

October 18, 2020

It’s a spring evening in 1975. I’m sitting in a class at Sangamon State University, now known as the University of Illinois-Springfield, listening to Gerald Rawlings, a staffer in the Bureau of Planning of the Illinois Department of Transportation.

He was talking about transportation systems in the Prairie State when he said something that at the time struck me as odd for a government planner to say.

It is the height of absurdity for planners in the Bureau of Planning of the Illinois Department of Transportation to talk about the future of Illinois coal reserves when those reserves don’t belong to them.

He seemed to be saying that what he did as a planner was a waste of time and, by extension, the public money being used to pay him and the expenses of his office.

Yet I remember Rawling’s comment because it contained a hard truth that not everyone considers when talking about things they care about but don’t control.

Railfans in general and rail passenger service advocates in particular are much like rabid sports fans.

They are passionate about “their” teams and many are not shy about expressing their ideas of how the owners should be spending their money and how management should be doing its job as though the fans have an ownership stake in the team.

Owners tolerate this because fans can be a source of revenue. Fans buy game tickets, team-themed merchandise and concession stand products.

Even a fan sitting at home watching a game on television is money to the owner because the more people who watch the game the more valuable the rights to broadcast those games become.

But while owners might at times acknowledge the views of fans they are not going to give up control of it. That frustrates countless fans who think they know better than owners and managers how the team ought to be run.

It can be quite entertaining to read or listen to the views of those who don’t own a railroad company about how those who do should be operating and managing their property.

They have been out in full throat since late May when Amtrak announced it would scale back the frequency of operation of its long-distance trains to tri-weekly.

A popular view is that it is part of a plot to kill the long-distance passenger trains by driving away business.

Amtrak denies that, but it is not out of the realm of possibility given some of the public statements made in the past couple of years by former Amtrak president Richard Anderson and current senior vice president Stephen Gardner about their desire to transform Amtrak into a more corridor-oriented business.

There are valid arguments to be made that less-than-daily passenger train service is not an ideal business practice.

Yet Amtrak management has chosen to do it, ostensibly as a money-saving move during a time when ridership and revenue are way down due to the COVID-19 pandemic. There may be other motivations that management is not talking about publicly.

The critics have been decrying Amtrak’s plans on social media sites and in the printed and website pages of such national publications as Trains and Railway Age.

The Railroad Passengers Association has flooded my inbox with email messages urging its members and friends to exhort Congress to force Amtrak to run the trains daily.

Although legislation to force the carrier to maintain daily service on long-distance routes has been introduced it continues to languish in Congress.

There is nothing wrong with lobbying lawmakers in favor or your pet cause. The Constitution encourages it in the First Amendment, which grants the right “to petition the government for a redress of grievances.”

Yet some of those social media posts and magazine articles are veering into the realm of “height of absurdity” territory by advancing ideas that have little to no chance of being adopted given the realities of the political system.

It’s fine to write in social media posts what you want to see Amtrak do, but be careful about getting too caught up in your views.

They are just ideas about decisions that are not yours to make. Those who have the authority to make those decisions are free to ignore your views and more than likely they will.

That is not to say that decision makers can’t be persuaded to come around to accepting your ideas.

But I see in many of these writings little reason to believe that the authors of these posts or magazine articles have a good grasp of what it will take to get there let alone a viable plan.

Long Distance Trains Could Vanish in October

July 6, 2020

Rail passenger advocates have had much to say about Amtrak’s plans to convert all long distance trains except the Auto Train to less than daily service on Oct. 1.

Some of what advocates have said has struck me as hyperbole, particularly assertions that it is the first step toward the elimination of the long-distance trains.

However, given the general hostility by former Amtrak CEO Richard Anderson and current vice president Stephen Gardner toward long-distance trains, such assertions cannot be dismissed out of hand.

But it wasn’t until I read a column in Railway Age by David Peter Alan that I began thinking that maybe there is something to the notion that making long-distance trains operate tri-weekly is an ominous development.

If Alan is correct in his interpretation of federal law, the situation could be one in which operating the long distance trains tri-weekly is a near best-case situation.

The crux of Alan’s argument is the meaning of the federal law that authorizes Amtrak.

Alan notes that 49 U.S. Code §24706(a) states that Amtrak must give 180 days’ notice before “discontinuing service over a route.”

However, another section of the law, §24706(b)(1)(A), allows Amtrak to discontinue service during “the first month of a fiscal year if the authorization of appropriations and the appropriations for Amtrak are not enacted at least 90 days before the beginning of the fiscal year.”

This might explain why Amtrak CEO William Flynn wrote a May 25 letter to Congress seeking a $1.4 billion supplememental appropriation on top of the regular requested appropriation for fiscal year 2021.

The letter warned that long distance trains were “at risk” without the supplemental appropriation.

Even if Amtrak receives every penny it has requested, Flynn wrote, all long distance trains except the Auto Train would operate on a reduced schedule.

It may be that what Flynn meant is that if the passenger carrier doesn’t get its requested additional funding it will invoke federal law to suspend long distance trains completely during October.

Alan writes in his Railway Age piece that given the way the law is worded “it may already be too late for Congress to increase Amtrak’s appropriation to cover daily operation of the L-D trains and be sure that those trains will, indeed, operate every day.”

He goes on to say Congress has the authority to change or override this law and mandate that Amtrak continue daily operation on long distance trains.

This is what rail passengers advocates are hoping will happen but that is not guaranteed.

There likely are discussions going on between Amtrak and congressional staff members regarding Amtrak funding for FY2021 including the fate of the long distance trains.

It may be that less than daily service of long distance trains is simply a political strategy by Amtrak to maximize its funding in FY2021.

Then again it could be part of a larger strategy to use the COVID-19 pandemic as an opportunity to do what management has discussed doing in the past couple years.

The pandemic has severely depressed ridership and Flynn’s letter to Congress projects that ridership will continue to be below half of normal through FY2021.

There is, of course, a difference between ridership declines that occur naturally and those that are induced by management actions, such as in the name of safety reducing the capacity of trains by half.

It may be noteworthy that at least one major airline, American Airlines, has said it will cease reducing the capacity of its planes even though it pledged to take other steps to protect its passengers.

Alan, who is an attorney and chairman of the Lackawanna Coalition, believes Amtrak’s objective is to rid itself of the long distance trains and transform itself into a series of disjointed corridors with those outside the Northeast funded by the states they serve.

But even those corridors are in peril. Flynn wrote in his May 25 letter that without the supplemental funding, some state services will be suspended or operate at skeletal levels.

In fact that began happening early on during the pandemic and continues to be the case today even if some services have been reinstated this summer.

Amtrak wants the federal government to underwrite some of the payments that states would have made for corridor services.

The appropriations process is highly political and it remains to be seen what will emerge from Congress for FY2021.

Lawmakers have in past years missed the Sept. 30 deadline to approve a budget for the fiscal year that starts the next day but kept the federal government running through continuing resolutions.

It is unclear how that would affect Amtrak’s long distance trains. Congress could mandate keeping the status quo, but Amtrak management might do what it wants to do anyway.

What we do know is that Amtrak launched a preview of coming attractions today when it implemented less than daily service by the Silver Star and Silver Meteor between New York and Miami.

Amtrak is itself a political creature. That became clear when Congress shut down the carrier’s desire to replace the middle of the route of the Chicago-Los Angeles Southwest Chief with an 11-hour bus connection.

Rail passenger advocates may have “won” that battle but that doesn’t mean they have yet to win the greater war.

More often than not management gets its way and if Amtrak management is determined to get rid of the long-distance trains it will continue seeking ways to do that even it if claims to not be doing any such thing.

If you want to read Alan’s article, you can find it at https://www.railwayage.com/passenger/intercity/first-in-a-series-has-amtrak-declared-war/https://www.railwayage.com/passenger/intercity/first-in-a-series-has-amtrak-declared-war/

Anderson Ends Tenure as Amtrak CEO

April 15, 2020

Amtrak CEO Richard Anderson bowed out on Tuesday with a final message for Amtrak employees.

Anderson thanked them for their efforts during his three-year tenure and in the face of the ongoing COVID-19 outbreak.

“We are in a position to protect Amtrak jobs right now because of everything you have done together in recent years,” he said. “You did the hard work as professionals over the past several years to grow revenue and ridership to record levels, with our highest customer satisfaction levels in history.

Anderson went on to say no travel company in the U.S. is as well positioned as Amtrak to to get through the pandemic and come out stronger on the other side.

Anderson, 64, served as Amtrak’s 12th president. He is being replaced today (April 15) by William J. Flynn, who like Anderson is a former airline executive.

Before coming to Amtrak, Anderson served as CEO of Delta Air Lines and Northwest Airlines.

He joined Amtrak on July 12, 2017, as president and served through the end of the year as co-CEO of the intercity rail passenger carrier with Charles “Wick” Moorman.

Flynn served as president of Atlas Air Worldwide Holdings between June 2006 and July 2019. He then served as CEO of Atlas through the end of 2019 and was chairman of the board of directors.

Amtrak named Flynn as its next president and CEO last month.

Amtrak Averaging 4,000 Passengers Per Day

April 14, 2020

Amtrak is carrying an average of 4,000 passengers a day during the COVID-19 pandemic.

The carrier normally averages 100,000 passengers a day. About 57 percent of Amtrak’s departures have been temporarily suspended with the Northeast Corridor seeing a reduction of 77 percent of its scheduled trains.

“We are running trains where we have more staff than customers,” Amtrak CEO Richard Anderson said during an employee town hall meeting last week.

Anderson described the $1.018 billion in emergency aid it is receiving from the federal government as essential but said “we are burning about $50 million a week in cash.”

Anderson said Amtrak’s recovery from the pandemic will proceed as travel demand grows.

“We are going to be a very different railroad when we come out the other other side of this; we will be 20% smaller,” he said.

Anderson hopes that travelers understand Amtrak doesn’t pack passengers aboard its trains as densely as airlines do in their planes.

That could favor Amtrak in shorter-haul markets, he said.

Amtrak Looking to Beyond Pandemic

April 6, 2020

Amtrak executives expect to return service to normal levels gradually once the worst of the COVID-19 pandemic is over.

Senior Vice President Stephen Gardner told employees during a town hall meeting late last week that restoring service after the pandemic will be a challenge because the railroad doesn’t know how quickly demand will recover.

Some services might see strong demand once the public begins to travel again.

Also addressing the town hall was incoming Amtrak President William Flynn, who will replace Richard Anderson on April 15.

“We’re planning for several scenarios where the recovery pattern might be different in specific regions — gradual or a big jump,” Flynn said.

Trains magazine obtained a copy of the town hall meeting and reported some of its contents on its website on Monday.

Gardner said Amtrak will work with states that fund corridor service to determine “how much service we have on routes they help support.”

Flynn was introduced during the town hall by Anderson.

The next Amtrak CEO lauded Amtrak employees for their diligence during the pandemic, particularly those who handled the derailment of the northbound Auto Train on March 26.

Flynn pledged to avoid furloughing Amtrak workers during the pandemic.

Anderson said Amtrak’s overall bookings have plunged by 95 percent with ridership in the Northeast Corridor down 98 percent, state-supported service down 93 percent and long-distance ridership declining 87 percent.

Amtrak’s daily train frequencies have been slashed from 309 to 156, with 77 percent of the Northeast Corridor service suspended.

There are just 10 trains boarding and discharging passengers from New York to Washington and four from New York to Boston.

Gardner said Amtrak has no plans to screen passengers for COVID-19.

“We are not qualified to undertake mass testing (and) we don’t have the ability to control who is coming on board once they purchase a ticket, but we can reinforce the good guidance that’s out there and we will work with   . . . officials to help them implement health checks should they be required,” said.

With ridership on long-distance trains down Amtrak is no longer practicing communal dining in its dining cars. Gardner said there is no need to seat passengers not traveling together at the same table.

Top Amtrak Executives to Take Pay Cuts

March 23, 2020

Amtrak said over the weekend that it is taking what it termed aggressive steps in the wake of the COVID-19 pandemic, including reducing the salaries of its top executives.

For now Amtrak CEO Richard Anderson said Amtrak will not lay off employees.

An internal memo sent by Amtrak Senior Vice President Stephen Gardner said incoming President William Flynn will not draw his Amtrak salary during the crisis.

Gardner said Amtrak faces a loss of $1 billion due to plunging bookings and widespread cancellations of existing reservations.

The intercity passenger carrier has asked the federal government for a supplemental appropriation to cover lost revenue.

The pay cuts will take effect April 1. Flynn is scheduled to replace Anderson in the CEO chair on April 15.

Amtrak will suspend its its 401(k) matching contribution for management employees through the end of the calendar year.

“We recognize these actions have a serious impact on our employees and their families,” Gardner said in the memo. “But we are taking this action to help protect everyone. We appreciate your support as we work our way through this crisis together.”

Other measures being taken by Amtrak include ending all non-safety-critical hiring; cutting discretionary travel, professional fees, and advertising spending; and deferring non-priority capital expenses.

In a dial-in town hall meeting for Amtrak workers held on Friday, Anderson said the carrier is seeking to avoid involuntary furloughs.

The carrier will meet a commitment in current labor agreements granting employees a 3.5 percent pay increase on July 1, but Anderson called for union leaders to consider delaying but not cancelling the increase until Amtrak ridership recovers.

Anderson hinted that if the unions balk at delaying the pay raise the carrier might revoke its non-layoff stance.

“General chairmen need to get engaged and figure out how to do this if we are to avoid an involuntary furlough, given that we don’t have any business anymore,” Anderson said.

“We have been through a lot of tough times with Amtrak—from host railroads that want to put us out of business, to presidents who don’t want to fund us, to [a] Congress that doesn’t always want to properly fund us, and to states and private companies that would like to take over our services,” Anderson said.

He said Acela ridership in the Northeast Corridor has fallen by 92 percent, Acela reservations are down by 99 percent and bookings for long-distance trains have declined by 64 percent.

Anderson expects those numbers to worsen as additional government imposed restrictions are placed on personal mobility.

“On 9/11, we knew specifically what the root cause of the problem was at the time, [and] the transportation system recovered fairly quickly,” Anderson said. “In this instance, we don’t have clear direction of what the end point of the coronavirus is.”

Amtrak has more than $3 billion of cash on hand but Anderson said the carrier must continue to pay operating expenses and pay interest on its existing loans.

It has halted spending on capital projects except those needed to keeping trains moving.

“By any measure, the economy is in recession,” Anderson said. “We can’t just count on Congress to close our gap.”

Saying there is no reason to operate empty trains, Anderson said Northeast Corridor service has been cut by 40 percent and 10 routes have reduced service with more service cuts coming.

Although the long-distance network will remain intact, Anderson said 40 percent of its seat capacity has been removed in the form of operating fewer rail cars.

“We need to be aggressive in preserving our cash,” Anderson said.

“I’m certain that the long-distance network will be very different longer term,” he said. “Over the past three or four years, it has taken more than $2.5 billion of federal money to keep the long-distance network operating, and if we don’t have the subsidy from the Northeast Corridor and state [supported corridor] trains bearing their share of the national network, the loss gets that much bigger.”

Anderson acknowledged that the steps Amtrak has taken are “demoralizing,” but said it would be be more demoralizing to tell people they don’t have a job anymore.

“That’s what we are working to avoid. If we just stood here and didn’t do anything, and one day in July or August we told everybody that the company was near liquidation and that we were going to lay off 10,000 or 15,000 people, that would be far more demoralizing. That would be irresponsible,” Anderson said.

In the meantime, Amtrak announced it will suspend all Acela Express service in the Northeast Corridor on Monday.

Northeast Corridor service will be covered by a schedule of Northeast Regional trains operating at 40 percent of the regular weekday schedule.

Until now Amtrak had suspended only a small number of Acela Express trains.

Acela service carried 3.5 million in 2019 of the 12.5 million ridership in the Northeast Corridor.

Other service cuts today are set to be implemented in California and North Carolina.

Flynn’s Success Will Hinge on His Political Skills

March 2, 2020

It remains to be seen what, if any, changes will result from the installation of William Flynn as Amtrak’s next president and CEO next month.

Like the lumbering Boeing 747s that Flynn’s soon to be former company Atlas Air flies in cargo service, Amtrak is not something that can be turned around quickly or rapidly raced upward to cruising altitude after takeoff.

No doubt some rail passenger advocates are happy to see Richard Anderson leave although he’ll continue as an adviser to Flynn through the end of the year.

Anderson at times showed an abrasive personality that made him a lightning rod of criticism.

Perhaps that was what the Amtrak board of directors thought was needed in 2018 but it may have decided that in 2020 a kinder, gentler CEO is needed.

The news release announcing Flynn’s hiring contained the type of laudatory language that is standard in public relations products announcing personnel changes.

There were a lot of words that didn’t say much of substance.

It gave little indication about what role Flynn sees for Amtrak as a transportation provider.

The release tried to portray Flynn’s hiring as a planned succession although that might be boilerplate language that means little.

Anderson’s leaving had been foreshadowed in a Wall Street Journal article earlier this year yet the Amtrak board of directors had not given any public signals that Anderson’s departure was imminent.

Nor has the Amtrak board in public expressed any concerns or discontent with how Anderson has managed the passenger carrier.

The news release and a statement sent to Amtrak employees were filled with the type of self-congratulatory statements about how ridership is up and finances have improved.

Amtrak has hinted at breaking even this year on an operating basis which should be not confused with making a profit, something that has never happened in the company’s 48-year history.

More than likely Flynn was hired because of his executive experience rather than his views of the role of rail passenger service in the United States.

If asked, he’ll say all the right things about how the future of rail service is bright.

But I would be surprised if Flynn’s hiring means that certain things that have been lost during the Anderson regime, such as full service dining cars on the Capitol Limited and Lake Shore Limited, will make a comeback.

Don’t expect the new rules Amtrak just implemented to make it tougher to get refunds or change your travel plans to go away.

Private car owners and those wishing to charter an Amtrak train probably won’t see significant changes in Amtrak rules and policies.

In short, I don’t look for Flynn to herald the second coming of W. Graham Claytor Jr.

It may be that Amtrak’s directors decided Anderson had become too toxic on Capitol Hill to win the type of budgetary and policy victories that Amtrak is eyeing.

The passenger carrier has an ambitious legislative agenda that is tied in with a new surface transportation bill that Congress needs to pass to replace the one that expires on Sept. 30.

Among other things, Amtrak wants funding to establish new corridor-oriented services, laws that would gives it a stronger position when talking with his host railroads about on-time performance, and capital funding for new equipment and infrastructure.

There had been speculation earlier that Anderson’s replacement would be current Amtrak senior vice president Stephen Gardner.

Instead, Amtrak’s board hired another airline executive. Flynn has four decades of transportation industry experience but it is worth noting that he has spent his career in the private sector.

Such Amtrak heads as David Gunn and Joseph Boardman had experience in the public sector.

Amtrak may on paper be akin to a private company, but given its reliance on public funding it has much in common with a non-profit agency even if it tries to operate like a private company.

Ultimately, what is important is that Amtrak’s CEO understands not just how railroads operate but how to play the political games inherent in being an entity that has two boards of directors – the one that hired you and the members of Congress who control your funding and so much about the environment in which your company operates.

Amtrak to Get New President and CEO on April 15

March 2, 2020

Amtrak will get a new president on April 15 and the passenger carrier has again dipped into the airline industry executive ranks.

William Flynn

William Flynn, who will replace Richard Anderson, is currently CEO of Atlas Air Worldwide but once worked as an executive at CSX.

Flynn’s appointment was announced late Monday morning after the news was broken by The New YorkTimes.

An Amtrak news release said Anderson, 64, a former CEO of Delta Air Line and Northwest Airlines, will continue at Amtrak as a senior adviser through the end of the year.

Flynn, 66, will be the third time Amtrak president and CEO in just over three years.

Charles “Wick” Moorman, the former CEO of Norfolk Southern, stepped down on Dec. 31, 2017 and Anderson, who had been co-CEO of Amtrak with Moorman since July 2017.

Moorman had joined Amtrak on Sept. 1, 2016. He replaced the late Joseph Boardman.

Flynn held several positions at CSX between 2000 and 2002, including the post of senior vice president of strategic planning and senior vice president at CSX Transportation.

He also held senior management positions at CSX subsidiary Sea-Land Services.

Atlas has three carriers, Atlas Air, Polar Air Cargo and Southern Air. It has 3,200 employees and operates in 89 countries.

It carries air freight and operates military and passenger charter flights.

Flynn has been at Atlas for 13 years and has four decades of transportation and logistics experience

One of Atlas’ customers is Amazon. News reports indicate that Atlas has has been embroiled in tense labor negotiations with its pilots over the past three years.

The Wall Street Journal reported that Flynn’s Amtrak salary will be $475,000 and he is expected to serve as CEO for five years.

That is relatively small amount compared to the $6.9 million in compensation, including base pay and bonuses, which Flynn earned at Atlas in 2018.

Flynn received his undergraduate degree from the University of Rhode Island and a master’s degree from the University of Arizona.

The $25,000 Question: Was Amtrak Doing the Right Thing or Trying to Avoid Answering Tough Questions?

January 24, 2020

It didn’t take Amtrak long to back pedal away from an effort to charge a group of passengers, half of them using wheel chairs, a $25,000 service fee added atop tickets that normally cost $16 per person.

Actually, it might be more accurate to say the passenger carrier turned tail and ran away from the fee once it began receiving national attention that turned up the political heat to an unbearable level.

As is typical in these situations, Amtrak sought to spin it by framing it as a wrongful application of policy.

If the heat gets high enough, blame a rank and file employee for making a mistake. You might even call it an honest one. Then you apologize.

Yet there is much we don’t know and may never know about what led to this fee.

Amtrak may have appeared in the end to have done the right thing, but let’s not overlook that it reversed course in part to seek to avoid having to answer some tough questions, including why the fee was so high in the first place.

To recap the facts of the situation, a group of 10 members of Access Living, a Chicago disabilities group, wanted to travel together aboard a Lincoln Service train from Chicago to Normal, Illinois, to attend a conference.

Half of the group would be traveling in wheelchairs. It is not that Amtrak can’t accommodate those in wheelchairs, but it is not set up to handle large groups of wheelchair passengers who wish to travel together in the same car.

Each Amtrak coach has space for just one wheelchair. That means that the group had to be spread out over multiple coaches or seats needed to be removed to enable then to be seated in the same car.

The Chicago group has traveled via Amtrak before and the passenger carrier removed seats to accommodate them.

It is unclear how much above the regular fare the wheelchair passengers had to pay for those past trips.

One news account quoted a member of the group as saying they paid a few hundred more while another account quoted an Amtrak employee as saying the carrier absorbed the cost of removing the seats.

The group contacted Amtrak group sales last month to buy tickets and was told by a sales agent that a new policy meant they would have to pay a fee to have seats removed to accommodate additional wheelchairs in the same car.

The fee was an eye popping $25,000. When the group protested, the sales agent wrote back to say it was in line with the carrier’s policy pertaining to reconfiguring a rail car.

“With the removal of seats, it can be quite costly,” the agent wrote.

The group then turned to the news media. Initially, Amtrak stood behind the fee, telling National Public Radio it has a policy of adding “an additional fee when any group requires reconfiguration of our railcars.”

Amtrak also suggested the group split up with some members riding one train and others riding another operating three hours later.

That stance lasted a day or two. Not only did the story get picked up by other news media it also drew the ire of Illinois U.S. Senator Tammy Duckworth who described the fee as outrageous.

Duckworth is not just another senator. She lost both of her legs after the U.S. Army helicopter she was co-piloting in Iraq was shot down.

She uses a wheelchair and has taken a great interest in legislation affecting the rights of the disabled.

Duckworth also is the ranking minority party member of the Senate Commerce Committee’s subcommittee on transportation.

After she demanded a meeting with Amtrak CEO Richard Anderson, Amtrak lawyers contacted an attorney for Access Living and offered a deal.

The carrier would remove seats, drop the fee and even offer a buy one get one deal.

The group accepted the offer. Amtrak later said it was dropping the policy that led to the $25,000 fee in the first place.

“After further review, Amtrak has determined to suspend the policy in question,” said Amtrak spokesperson Marc Magliari doing his best impersonation of a referee in the National Football League.

“It was never meant to be applied to this situation. And we apologize for the mistake.”

A news story noted that Magliari spoke shortly after protesters gathered outside an Amtrak station in Illinois and chanted, “We will ride.”

The story seemed to have a happy ending with the group making the trip on Wednesday morning to the conference aboard Amtrak.

Adam Ballard, an Access Living transportation policy analyst, said everything went smoothly.

“Everyone got on the train really great,” he told NPR. “We were treated like kings and queens. There was extra staff to help with bags and work the wheelchair lifts.

“And they had extra staff on the train to attend to our every need. So it was not the typical Amtrak ride.”

Of course it wasn’t. It is no surprise that Amtrak decided to bend over backwards in an effort to save face. That is the substance of good public relations.

It also was an attempt to make the situation and its attending bad publicity go away.

It will, but will anyone in a position of authority ever demand that Amtrak provide a detailed bill showing why it costs $25,000 to remove a handful of seats from an Amfleet or Horizon coach?

There are fees that are designed to enhance revenue and there are fees that are designed to discourage certain customer behavior.

The $30 that airlines charge these days to check a bag on a flight is an example of the former. People grumble about it but they either pay it or take as much as they can aboard with them stow it in the overhead bins or under the seat ahead of them.

However, the $25,000 fee Amtrak wanted to impose on Access Living sure seemed like discouragement. It came across as the type of exorbitant fee someone dreamed up knowing a group such as Access Living couldn’t or wouldn’t pay it.

It not as though Amtrak would have to hire additional personnel to remove the seats. That task would be done by regular employees.

How long does it take to unbolt seats and put them aside on a shop floor? Amtrak would have you believe it’s a very complex and expensive task.

Amtrak is not unique in saying that something is expensive without having to prove it.

Companies of all kinds routinely engage in this behavior to pressure their customers to behave in ways favorable to the company.

What Amtrak doesn’t want to admit is that it wanted to force Access Living to do things its way because it didn’t want to remove the seats.

It either saw removing seats as a hassle and/or it could lead to lost revenue.

Under ordinary circumstances, if a group of 10 disembarks at Normal the seats they occupied from Chicago become available for sale to new passengers boarding in Normal or some other station downstream.

But the chances of selling that space to other wheelchair users probably were slim. It could be days before that space gets back into revenue service.

Amtrak CEO Anderson has been aggressive about cost cutting and revenue enhancement. He has his agenda of trying to do what he can to make Amtrak’s finances look better, which he sees as a bargaining chip to talk Congress into giving Amtrak more money.

The carrier has a lot of decaying infrastructure in the Northeast Corridor that needs to be replaced and that won’t come cheap.

Although Anderson tries to run Amtrak like a private company, the passenger carrier can’t survive without public funding. That creates the perception in the minds of many that it is a public agency.

It didn’t help that the way the $25,000 fee came across in the news media and on social media was that of a heartless organization trying to bully a small group of handicapped citizens into submission.

That’s not how Amtrak would explain it but at some point high-ranking executives at the carrier, perhaps including Anderson himself, concluded that they couldn’t win this public relations battle. So Amtrak went into high gear damage control.

It is tempting to suggest that poor management at Amtrak led to this situation. There may be some truth to that given Anderson’s desire to squeeze every nickel and pick up every dime.

Some middle level manager should have recognized that if a $25,000 fee being imposed on wheelchair users went viral that Amtrak would suffer a great big black eye.

But middle level managers are not always courageous enough to put their jobs on the line. Some would rather curry favor with the managers above them by being all in on company policy.

As those who initially dealt with Access Living probably saw it, the group might protest but in the end would capitulate.

More often than not when Amtrak pulls the rules on its passengers they have no viable recourse. They don’t know how to get their plight publicized on NPR or gain the attention of a powerful policy maker.

But someone at Access Living is media savvy and Amtrak apparently didn’t take that possibility into account.

These types of situations are so long as those whose job it is to enforce rules and policies lack authority to make exceptions when discretion is called for and/or lack the foresight to be able to see the consequences of how the company’s behavior could be seen by others if they find out about it.

It is unclear what the episode involving Access Living means long term for passengers with disabilities traveling as a group.

As one member of Access Living commented to a reporter, getting around can be pretty tough for those in wheelchairs even in the best of circumstances.

Underlying this story is that Amtrak wanted the Access Living travel party to change its behavior to fit Amtrak’s needs rather than Amtrak doing all it reasonably could to meet the group’s needs.

Most people traveling together would like to sit together. It wasn’t as though the Access Living members showed up one morning at Union Station and demanded accommodations on the next train out.

They contacted Amtrak weeks before they planned to travel in recognition of the fact that it takes time to arrange accommodations for a group of wheelchair passengers.

An overarching issue that Amtrak probably would like to dodge for now is what obligation it has to accommodate those with disabilities. That is not necessarily an easy question to answer because at some point it becomes a matter of character.

Amtrak is not insensitive to the needs of those with disabilities. It has been reconfiguring its stations in recent years to better accommodate passengers with disabilities and has taken other steps to be helpful to them.

But a fault line lies where the carrier has to forgo revenue and incur an expense in order to accommodate those with disabilities as they wish to be accommodated.

Amtrak said it suspended its policy which is not necessarily the same thing as repealing it.

The suspension might buy time to let things die down or to rethink and revise the original policy.

It remains to be seen if Amtrak management sees what happened with Access Living as a fluke and goes about doing business as usual or a sign that it needs to make some hard policy choices that come with price tags it doesn’t want to pay but must to avoid a similar PR train wreck down the track.