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Measuring the Benefits of Intercity Passenger Rail: A Study

Measuring the Benefits of Intercity Passenger Rail: A Study

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supported routes. The following paragraphs discuss approaches for demand estimation for<br />

conventional intercity passenger rail service used in practice, both by Amtrak and o<strong>the</strong>r entities.<br />

Amtrak Ridership and Revenue Estimation Model<br />

The literature review for this study obtained several documents that provided some<br />

insight into <strong>the</strong> model used by Amtrak to estimate ridership and revenue impacts <strong>of</strong><br />

modifications to current service levels and to aid in projecting future ridership and revenue on<br />

existing services. These documents were <strong>the</strong> California State <strong>Rail</strong> Plan 2007-08 to 2017-18 (36)<br />

and an Amtrak-prepared document entitled Report on Proposed Operation <strong>of</strong> <strong>Passenger</strong> Train<br />

Service Between St. Louis and Southwest Missouri (40), obtained from <strong>the</strong> MoDOT <strong>Rail</strong><br />

Division. At <strong>the</strong> time <strong>of</strong> this writing, <strong>the</strong> Amtrak ridership and revenue estimation model was<br />

maintained by AECOM Consult, Inc. under contract with <strong>the</strong> company. Attributes considered in<br />

<strong>the</strong> model include:<br />

• Population and income levels around station areas;<br />

• Projected trip time based on proposed rail service, and trip times <strong>of</strong> automobile and o<strong>the</strong>r<br />

competing modes available on <strong>the</strong> route;<br />

• Proposed fare structure for <strong>the</strong> route;<br />

• <strong>Rail</strong> service frequency and departure/arrival times along <strong>the</strong> route; and<br />

• Connectivity <strong>of</strong> <strong>the</strong> proposed rail service to o<strong>the</strong>r Amtrak trains.<br />

In California, <strong>the</strong> ridership and revenue model estimates total city pair travel in one stage, <strong>the</strong>n<br />

projects <strong>the</strong> mode split for each alterative in a second stage (36). Additional details <strong>of</strong> Amtrak’s<br />

ridership and revenue estimation model, such as <strong>the</strong> model specification and <strong>the</strong> elasticities or<br />

o<strong>the</strong>r coefficients, are proprietary. Researchers could not identify from <strong>the</strong> literature if <strong>the</strong><br />

Amtrak ridership and revenue estimation model incorporates a projection <strong>of</strong> <strong>the</strong> “induced” travel<br />

demand resulting from new passenger rail service, a topic <strong>of</strong> interest for this research study.<br />

O<strong>the</strong>r Forecasting Methods<br />

In addition to Amtrak’s model, o<strong>the</strong>r models and techniques exist for projecting ridership<br />

and revenue for new or improved conventional intercity passenger rail routes. Several o<strong>the</strong>r<br />

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