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www.AmtrakDowneaster.com Passenger Rail Agreements That Work Pan Am/NNEPRA Standing Committee on Rail Transportation September 13, 2011 1

Www.AmtrakDowneaster.com Passenger Rail Agreements That Work Pan Am/NNEPRA Standing Committee on Rail Transportation September 13, 2011 1

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Page 1: Www.AmtrakDowneaster.com Passenger Rail Agreements That Work Pan Am/NNEPRA Standing Committee on Rail Transportation September 13, 2011 1

www.AmtrakDowneaster.com

Passenger RailAgreements That Work

Pan Am/NNEPRAStanding Committee on Rail

TransportationSeptember 13, 2011

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Page 2: Www.AmtrakDowneaster.com Passenger Rail Agreements That Work Pan Am/NNEPRA Standing Committee on Rail Transportation September 13, 2011 1

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About NNEPRA

Business managers of the Downeaster

• Partnerships• Promotion• Performance• Passengers

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Page 3: Www.AmtrakDowneaster.com Passenger Rail Agreements That Work Pan Am/NNEPRA Standing Committee on Rail Transportation September 13, 2011 1

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The Amtrak Downeaster

• 5 Round Trips Daily – Portland – Boston*

• Operated by Amtrak• 116 mi / 79mph

– 78 Miles Pan Am Railways– 36 Miles MBTA

• 2 Sets of Equipment• 8 Intermediate Stations• 3 States

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Page 5: Www.AmtrakDowneaster.com Passenger Rail Agreements That Work Pan Am/NNEPRA Standing Committee on Rail Transportation September 13, 2011 1

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Our Pan Am Partnership

In the Beginning• 1990’s initiative to restore

passenger rail• Required upgrade to Pan Am

Line – then Guilford• Not the smoothest of projects

– Distrust – Disagreements & Litigation– Delays & Overruns– Poor public image

Changes were needed for the future.

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Page 6: Www.AmtrakDowneaster.com Passenger Rail Agreements That Work Pan Am/NNEPRA Standing Committee on Rail Transportation September 13, 2011 1

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The Basics

Framework for a Good Relationship

• Consideration– Be respectful and earn

respect in return• Communication

– Set expectations early– Talk regularly

• Compensation– This is a business deal.

Everyone should have something to gain.

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Page 7: Www.AmtrakDowneaster.com Passenger Rail Agreements That Work Pan Am/NNEPRA Standing Committee on Rail Transportation September 13, 2011 1

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Agreement Structures

3 Types of PAR Agreements • Operating

– Daily Service • Capital Maintenance

– Annual• Capital Project

– Solves a Problem

• Structured to be results oriented• Expectations/Outcomes for all

are clear• Risk is shared

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Page 8: Www.AmtrakDowneaster.com Passenger Rail Agreements That Work Pan Am/NNEPRA Standing Committee on Rail Transportation September 13, 2011 1

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Operating Agreement

• Amtrak/PAR + NNEPRA– Amtrak very important partner– Be realistic: what works on paper

doesn’t always work in the field. – Everyone should have an

opportunity to succeed. • Operating Plan

– # Frequencies, stops, travel time• Incremental Maintenance

– Fee per car mile• On Time Performance

– Based on travel time– Rewards & Penalties

• Reconciliation

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Page 9: Www.AmtrakDowneaster.com Passenger Rail Agreements That Work Pan Am/NNEPRA Standing Committee on Rail Transportation September 13, 2011 1

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Capital Maintenance

• PAR & NNEPRA + Amtrak– Base amount- inflates annually– Supports operating agreement

• Annual Workplan– Developed by PAR with input from

Amtrak and NNEPRA– Can be Flexible/Dynamic – Verified by independent firm– SOGR: Crossings, B&B, Ties, Ballast

• Contract Structure– Fixed fee for work elements paid by

% complete– Materials spec’d by PAR, verified,

then procured by NNEPRA– Oversight by NNEPRA/Contractor

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Page 10: Www.AmtrakDowneaster.com Passenger Rail Agreements That Work Pan Am/NNEPRA Standing Committee on Rail Transportation September 13, 2011 1

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Capital Projects

• PAR & NNEPRA + Amtrak– NNEPRA presents a problem– PAR indentifies solution– Amtrak/Contractor verify

• Project Outcomes:– Reduce Travel Time: Kennebunk Project– Add 5th Round Trip: Capacity Project– Need to Turn Trains: Wye Project– Brunswick Service: Expansion Project

• Contract Structure– Work Elements – Fixed fee to PAR for L&E– NNEPRA estimates & procures materials– NNEPRA/Contractor oversight & verification

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Page 11: Www.AmtrakDowneaster.com Passenger Rail Agreements That Work Pan Am/NNEPRA Standing Committee on Rail Transportation September 13, 2011 1

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Results

• Great Service– Safe & Reliable– Ridership doubled since 2005

• Successful Projects– All On Schedule & On Budget– Commitments honored

• 20 minute travel time reduction• Additional frequency• Expanded service• Operational improvements

• Developed Mutual Trust• Good Public Image

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Page 12: Www.AmtrakDowneaster.com Passenger Rail Agreements That Work Pan Am/NNEPRA Standing Committee on Rail Transportation September 13, 2011 1

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AND GETTING THE JOB DONE.12

WE’RE WORKING TOGETHER