Amtrak Funding Bill Derailed in U.S. House

The outlook for Amtrak grew bleaker after Republican leaders in the House of Representatives yanked a bill that would free up funds for the government-supported passenger railroad. House Transportation and Infrastructure Committee Chairman Bud Shuster (R-Pa.) pulled the bill after a Republican-backed amendment to protect labor reforms in the bill was defeated by pro-labor Democrats. Organized labor opposed parts of the measure that would allow Amtrak to contract out some of its work and that would remove generous severance pay arrangements. Shuster said that without the changes, Amtrak will not be able to realize enough savings to ensure its survival. The measure would authorize $3.4 billion for operations over three years.