President Joe Biden’s infrastructure plan could boost the federal aid resulting in the transformation of the country’s rail system.
He announced his American Jobs Plan on Wednesday, dedicating a whopping $80 billion for the rail system of the country. The plan aims to expand the passenger rail service to bigger cities like Nashville, Las Vegas, Houston, and Atlanta.
President Biden also hinted about rebuilding and improving the Boston-Washington rail route which is the busiest one across the country. Under the plan, the intercity rail service is all set to receive an almost 400% boost in the name of funding which can play the most crucial role in the expansion of the rail system resulting in more revenue eventually.
Currently, the rail routes receive approximately $2 billion in federal subsidies on an annual basis. These subsidies help in covering the operations both on national networks and the northeastern networks.
The $2 Trillion Infrastructure Plan has dedicated almost $600 billion to the transportation sector, including $115 billion for the rebuilding of highways and bridges, $25 billion to revamp and upgrade the airports, $85 billion for transits, and an additional $20 billion for newer safety measures installations to reduce the fatalities caused by traffic.
These funds will be released and utilized in over an 8 year span.
Amtrak and many other privately owned rail services have determined the points and places which require improvements and additional tracks. The concerned authorities have hinted that almost $18 billion of available funding will be used for the project that will be started in the northeast region of the country over five years.
The White House acknowledged that the national rail system required immediate and constant funding to upgrade it to serve the passengers more efficiently.