A Bunch Of Amtrak Riders Forgot To Thank Us Taxpayers For Lunch
We've all been buying burgers, sodas and more for Amtrak riders. Joel Gehrke writes at the WashEx:
Taxpayers lost $833 million over the last decade on the food and beverages supplied by Amtrak, which managed to spend $1.70 for every dollar that received in revenue."Over the last ten years, these losses have amounted to a staggering $833.8 million," said Rep.John Mica, R-Fla., in a statement previewing a House hearing today. "It costs passengers $9.50 to buy a cheeseburger on Amtrak, but the cost to taxpayers is $16.15. Riders pay $2.00 for a Pepsi, but each of these sodas costs the U.S. Treasury $3.40."
Notiepoo to sockpuppet Michael Hiltzik (@latimeshiltzik).
Hiltzik got his Twitter sockpanties in a wad yesterday over my post about taxation of Olympians' medals and all the taxes that go to pay for big bloated government and the big bloated welfare state.
Pssst...Hiltzik...there are bajillions of examples like this one above. It takes only simple math to figure out how and why that's a problem.
Seriously? A CAN of bud lite costs like 5 bucks. A "nuke-it" burger like 7 bucks...
How the HELL can they not make money off of that???
Scott Jacobs at August 2, 2012 2:05 PM
Crid [CridComment at gmail] at August 2, 2012 2:12 PM
Amy Alkon
http://www.advicegoddess.com/archives/2012/08/02/a_bunch_of_amtr.html#comment-3294303">comment from Crid [CridComment at gmail]I rather enjoy it.
(The truth is, I'm quick to let go when somebody does something to me and they sincerely apologize or I see that they didn't mean to hurt/offend. And the other truth is, memory isn't my strong suit, but I dislike Hiltzik for that and lots more, so there's some corner of my mind he occupies -- wish I could get him to clear out.)
Amy Alkon at August 2, 2012 2:15 PM
Seriously, how in the bleep does anyone ever lose money on soft drinks? They're the #1 profit maker for restaurants generally. That $2 Pepsi, even if it's a quik-stop mega 32 oz. deal, only costs about 25 cents to pour. Add in a few pennies for the cup, lid and straw, and it's profit city.
Cousin Dave at August 2, 2012 3:04 PM
I don't see Circle K going out of business with their $0.69 any-size fountain drinks. I think their largest cup is 64 oz.
And how in the heck does a burger cost $16+??? one of my favorite eateries has 14 oz prime rib dinners on the weekends, and with tax it comes to $18.26. FOR A FREAKIN' STEAK!
There's more graft going on than meets the eye. They're overpaying for the food. Probably a senator's son is the vendor.
I R A Darth Aggie at August 2, 2012 3:24 PM
A 6-pack of 24-oz bottles of Pepsi costs about $4 near me...when it's not on sale. That's at retail.
...how in the hell is Uncle Sugar paying $3.40 per bottle at wholesale?
Answer: graft. Corruption. Padding the invoice. "It's government money, so who cares?"
Ed Hering at August 2, 2012 4:54 PM
IRA Darth Aggie: "There's more graft going on than meets the eye."
Yep. Corruption seems more likely and easy to believe than such a mind-boggling level of incompetence.
Ken R at August 2, 2012 4:56 PM
(PS- Hiltzik, while as lost in the contemporary media landscape as a boat captain from the South China Sea in the mosh pit at CBGB's, is, in fact, correct about the Olympics thing.)
(But still, seriously, did anyone know he had a Twitter feed? Did anyone care? 1700 followers after a decade [decades?] of service in a major-market newspaper. This man has killed a LOT of trees.)
Crid [CridComment at gmail] at August 2, 2012 5:16 PM
Amy Alkon
http://www.advicegoddess.com/archives/2012/08/02/a_bunch_of_amtr.html#comment-3294402">comment from Crid [CridComment at gmail]I had no idea he had a Twitter feed until he snarled at me on it. I prefer to never think of him at all, although sometimes a drawing off his face leaps out at me from the Sunday paper.
Amy Alkon at August 2, 2012 6:48 PM
One of the stupid provisions of the original legislation creating Amtrak was that food service could not be outsourced. I'm sure Olive Garden and other national chains could do a better job for less money just to promote their businesses. Amtrak food ranges from mediocre to just fair. When the private railroads ran passenger trains prior to the creation of Amtrak in 1971 they expected to lose money on dining car service and make it up on passenger fares, and, indirectly, on freight business from people impressed with the passenger trains. A railroad could win or lose a shipper on the quality of its dining car meals. I can tell you that even as late as 1970, I enjoyed excellent cuisine on the Silver Meteor (the real one, not Amtrak's) to Florida. Unlimited government subsidies to the air and highway systems killed the American passenger train. The subsidies to Amtrak since 1971 are a drop in the bucket by comparison. It would be better to privatize everything, including the Interstates and the airports, and let the chips fall where they may.
Robert at August 2, 2012 9:56 PM
I put it more at the equivalent of buying a hot dog at a C-Store at 11:50 at night; and they aren't a 24 hour C-Store. Or the box lunches on an airline.
Somewhere between I can eat this w/o getting food poisoning and I'm not going to be carb free today cause there is no other option.
Jim P. at August 2, 2012 10:05 PM
It'll be different when we get high speed rail.
Different, as in lose $3.40 on every soda sold. The train is fast, and we don't have enough time to sell this stuff at inflated prices. However, we will maintain the union wage scale.
MarkD at August 3, 2012 5:06 AM
"I don't see Circle K going out of business with their $0.69 any-size fountain drinks. I think their largest cup is 64 oz."
That's it! Park the Amtrak in front of a high school.
I do love the cheese filled pretzels you guys have been buying me all these years. They put the cheese-stuff INSIDE the pretzel, like a twinkie. Amazing.
smurfy at August 3, 2012 11:40 AM
"In 2006, our food and beverage service recovered 49 percent of their costs. In 2011, these services recovered 59 percent of their costs," he testified
How could anyone stand up and offer that as a defense? I would be too embarrassed.
The food service is legally obligated to break even
Well, that worked. Since it obviously isn't doing so, when is it getting shut down?
Ltw at August 4, 2012 3:07 PM
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