State Funding for Mass Transit

by Mark Cavers

In 2009, the Department of Transportation gave the National Railroad Passenger Corporation $24,902,584.31 in grants.  The National Railroad Passenger Corporation, also known as Amtrak, “is a for-profit corporation that operates intercity passenger rail services in 46 States and the District of Columbia, in addition to serving as a contractor in various capacities for several commuter rail agencies.”  This government-owned corporation is funded through operating revenues, grants from state and local governments, and grants from the federal government.  For example, in 2008 the Federal
Government gave the NRPA $1,325,000,000.000 in grant money.

This $24 million from the state is in addition to a number of grants given to a variety of other state and local transportation organizations, including $25 million given to the Chicago Transportation Authority and $380 million given to the Regional Transit Authority.

A Study by the Bureau of Transportation Statistics found that in 2002 (the most recent data available), the Federal Government subsidized railroad travel at a rate of $199.90 per thousand passenger-miles.  This is compared to $5.77 per thousand passenger-miles for air travel.  These numbers exclude subsidies and grants from state and local governments.

You can find this information for yourself by going to IllinoisOpenGov.org, clicking on “Checks to Businesses & People” and searching for “National Railroad Passenger Company” in the “vendor” section, and “grants” in “the category of spending” section.