NTL Record

Title Methodology for Determining the Avoidable and Fully Allocated Costs of Amtrak Routes : Volume III, Appendix B-H
Record ID 49201
Personal Name
Creator
Mauri, Ronald A.; Church, Robert F.; Hyde, David J.; Mergel, Joseph J.; Pace, David; Pickrell, Don H.; Shaulov, Mark; Templeton, Joshua; Wetula, Leopold E.
Source 107p. in various pages
Corporate Creator John A. Volpe National Transportation Systems Center (U.S.)
Corporate
Contributor
United States. Department of Transportation. Federal Railroad Administration. Office of Research and Development
Publisher United States. Department of Transportation. Federal Railroad Administration
Publication Date 20090801
Language English
Abstract The Federal Railroad Administration tasked the Volpe Center with developing a methodology for determining the avoidable and fully allocated costs of Amtrak routes. Avoidable costs are costs that would not be incurred if an Amtrak route were discontinued. Fully allocated costs are the total costs of operating a route, including operating, marketing, general and administrative, and capital costs. The methodology was developed in cooperation with Amtrak staff a nd is being implemented within Amtrak's new Amtrak Performance Tracking (APT) system. This report describes the methodology for determining Amtrak's avoidable and fully allocated costs. Challenges faced in developing the methodology included how to allocate shared costs that cannot be directly linked to single trains, how to spread high-level costs, such as general and administrative costs, how to distribute costs to Amtrak's ancillary businesses, how to estimate and allocate capital costs given Amtrak's history and structure, and how to estimate avoidable costs given record keeping limitations and the fact that many Amtrak costs are shared. The methodology will provide improved estimates of avoidable and fully allocated costs as compared to Amtrak's current cost allocation system. It simplifies the cost allocation rules, incorporates Amtrak's ancillary businesses in the allocation process, and increases transparency.
Rosap ID dot:10667
Rosap URL https://rosap.ntl.bts.gov/view/dot/10667
TRT Terms Cost allocation; Cost estimating; Cost accounting; Railroad transportation; Performance measurement
General Subjects Amtrak
Classification NTL - ECONOMICS AND FINANCE - ECONOMICS AND FINANCE;
NTL - ECONOMICS AND FINANCE - Rail Economics and Finance;
NTL - RAIL TRANSPORTATION - Rail Economics and Finance;
NTL - RAIL TRANSPORTATION - RAIL TRANSPORTATION
Geographical
Coverage
United States
TRIS Online
Accession No
1518957
Report Number DOT-VNTSC-FRA-09-05; DOT/FRA/ORD-09/16
Resource type Tech Report
URL https://ntlrepository.blob.core.windows.net/lib/49000/49200/49201/DOT-VNTSC-FRA-09-05_Appendices_B-H.pdf
Format PDF
Database NTL Digital Repository