Measuring the Benefits of Intercity Passenger Rail: A Study

CHAPTER 1: INTRODUCTION
In its December 2007 Transportation for Tomorrow report, the National Surface
Transportation Policy and Revenue Study Commission identified the need for a “fast and
reliable” intercity passenger rail network as a key component of America’s mobility future,
citing increased congestion in existing highway and air transportation networks as well as the
energy efficiency of rail passenger transport in support of its recommendation. The Commission
further recommended that enhancements or additions to the nation’s passenger rail network
should focus primarily on intercity corridors between 100 and 500 miles in length (1). In these
corridors, intercity rail can be a reasonably competitive alternative to highway or air travel on a
travel time basis. By diverting some short- to medium-distance trips from highway or air modes,
passenger rail can play a critical role in relieving congestion on major intercity corridors.
In September 2008, the Texas Transportation Institute (TTI) initiated this research study,
funded by the Southwest Region University Transportation Center (SWUTC), to examine the
impacts of intercity passenger rail on regional mobility. Since the study’s inception, the rail
policy and planning climate in the United States has shifted dramatically. In October 2008,
Congress passed and President George W. Bush signed into law Public Law #110-432
(Division B), the Passenger Rail Investment and Improvement Act of 2008, or PRIIA (2). The
provisions of PRIIA, discussed in greater detail throughout this report, represent the foundation
for a new paradigm of passenger rail in the United States. Groundbreaking language in PRIIA
included new capital investment programs with a substantial federal funding match structure and
a new federal-state partnership for the development of state rail plans, including passenger rail
components. In April 2009, the Federal Railroad Administration (FRA) released its Vision for
High-Speed Rail in America, which outlined the use of $8 billion in funding from the American
Recovery and Reinvestment Act of 2009 (ARRA, which was signed into law by President Barack
Obama in February 2009) to stimulate job growth by investing in the nation’s passenger rail
infrastructure (3). In January 2010, the distribution of the $8 billion of ARRA funding for
intercity passenger rail investment was announced, with 31 states receiving funds (4).
Collectively, these events have sparked a renewed interest for intercity passenger rail among
policymakers, planners, and the general public. As a result, this research study is both relevant
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