Amtrak announces preliminary framework for corporate restructure
Building on record ridership and more than $10 billion in new fleet investments, the Amtrak Board of Directors announced it is advancing a preliminary framework, developed by Amtrak management, to transform the company’s corporate structure. The board is seeking public feedback as it continues to refine the proposed structure and implementation approach.
“Our management team developed this preliminary framework after extensive study and continues to seek input to be sure we get it right,” said Amtrak Interim President Byl Herrmann. “Our goal is a more accountable, effective and resilient Amtrak, one that delivers more riders, more revenue and the best customer service in the transportation industry.”
Under the framework, Amtrak would remain the parent company, providing governance, strategic direction and coordination while establishing three focused businesses:
- Passenger services: Delivering service and an improved rider experience.
- Infrastructure management: Maintaining and improving tracks, bridges, tunnels and stations, overseeing more than $5 billion annually in infrastructure investments.
- Fleet management: Managing more than $10 billion in new rolling stock and fleet modernization.
The move comes after a recent Amtrak Office of the Inspector General report that identified the top management challenges for the upcoming next two fiscal years, including safety, capital investment, financial management, customer service and technology that Amtrak will try to address with the restructuring.
Amtrak says the proposed structure is designed to bring greater visibility into performance and costs, enable better-informed decisions and align the authority with responsibility and results—creating a more accountable, focused and agile company built to carry more passengers, support more service and deliver stronger financial performance.
Beginning in September, Amtrak will develop the detailed design and implementation plan, with a formal proposal to the board in December and operations under the new structure proposed to begin in 2027.
About the Author
Noah Kolenda
Associate Editor
Noah Kolenda is a recent graduate from the Craig Newmark Graduate School of Journalism with a master’s degree in health and science reporting. Kolenda also specialized in data journalism, harnessing the power of Open Data projects to cover green transportation in major U.S. cities. Currently, he is an associate editor for Mass Transit magazine, where he aims to fuse his skills in data reporting with his experience covering national policymaking and political money to deliver engaging, future-focused transit content.
Prior to his position with Mass Transit, Kolenda interned with multiple Washington, D.C.-based publications, where he delivered data-driven reporting on once-in-a-generation political moments, runaway corporate lobbying spending and unnoticed election records.