STANDARD FOR 300 July 1004 Bar of the Budgi 300-101 DEPARTMENT OF TRANSPORTATION FEDERAL RAILROAD ADMINISTRATION RAILROAD REHABILITATION AND IMPROVEMENT FINANCING FUNDS Status of Direct Loans (in thousands of dollars) RAILROAD REHABILITATION AND IMPROVEMENT FINANCING FUNDS PROGRAM AND PERFORMANCE Redeemable preference shares.-Authority for the section 505 redeemable preference shares program expired on September 30, 1988, and no new commitments will be made in the section 511 loan guarantee program in 1989 and 1990. However, outlays will continue on section 505 projects included in prior year appropriations. This account now reflects direct loans which were previously shown under the Federal Financing Bank direct loan account. This account also reflects receipts of $111.9 million for principal and interest in 1988, $200 million in 1989, and $15 million in 1990 resulting from the sale of redeemable preference shares to the private sector. Loan repayments.-This program reflects repayments of principal and interest on outstanding borrowings by the railroads to the Federal Financing Bank. NATIONAL RAILROAD PASSENGER CORPORATION Amtrak requests an FY90 grant of $656 million to continue operation of its existing national system, and to provide a modest amount for current critical capital needs, including an initial order of the new Viewliner equipment. Operations $548 million Operation of the national system in FY90 will require $548 million of grant funding to supplement an estimated $1,218 million of revenues. Additionally, Amtrak has provided commuter service under contract with the Maryland Department of Transportation for over six years and with the Massachusetts Bay Transit Authority (MBTA) since January 1, 1987. As these services produce revenues that fully cover their costs, this funding request does not include any Federal support for the operations of these commuter services. Amtrak's most critical FY90 capital requirements total $138.1 million out of $233 million in needed capital projects. Of this total, $32.1 million can be financed from self-generated sources such as Revenue Enhancement programs, thus requiring an FY90 capital grant of $106 million. This estimate covers contractual payments to employees who have been adversely affected by service changes. Budget Uncertainties Amtrak's principal FY90 budget uncertainties are: The financial impact of contract negotiations with railroad labor as existing contracts became eligible for renegotiation on June 30, 1988. In light of past history, approved contracts are not anticipated in FY89. The possible increases to current employer Railroad recommendations by the Commission on Railroad Retirement |