As you are most likely aware, the Bush Administration has submitted its FY-07 Budget proposal to Congress. The Administrations proposed budget for Amtrak, $900 Million, is a funding level that would result in Amtrak having to cut services. Moreover, once again it is a funding level that fails to recognize the need to settle long overdue contracts with Amtrak Agreement employees who, under extremely difficult conditions have worked to keep Amtrak running. In fact, this year's budget proposal identifies Amtrak Labor Costs as a specific target for achieving needed savings. Simply put, this is an outrageous display of disregard for Amtrak workers that we must vigorously reject.

Budget Proposal Highlights
$900 Million Total Funding
$500 Million for capital
$400 Million for efficiency incentive grants and debt service

Efficiency Incentive Grants Based on Amtrak's Progress in Implementing Reforms - Targeted Reforms

• Phasing out Overnight Trains
• Overhaul of Food / Beverage Service
• Contracting-out Services
• Amtrak Labor Cost that Exceed Ticket Revenues

( Excerpt from DOT Budget Analysis, Pages 7-10 Attached )

Again, the Administrations FY-07 Budget proposal is a direct attack on Amtrak and its Agreement Workers, our members, who have for years sacrificed to keep Amtrak running.

In response, we must mobilize, and more aggressively than ever before reject the Administrations attack on Amtrak, and our members who deserve better. To do so, over the next few weeks we will be providing additional information to renew our efforts in this continuing fight.