http://www.oig.dot.gov/rss.jsp?subject=29 The 10 most recent releases on the U.S. DoT OIG web site related to Railroads & Transit en-US webmaster@oig.dot.gov (OIG Webmaster) http://www.oig.dot.gov/images/dot.gif http://www.oig.dot.gov/rss.jsp?subject=29 http://www.oig.dot.gov/item.jsp?id=2579 The Office of Inspector General is initiating an audit of the of the Federal Transit Administrations (FTAs) oversight of Phase 1 of the Dulles Corridor Metrorail Project in the Washington, D.C., metropolitan area. The project uses both American Recovery and Reinvestment Act of 2009 funds and nonARRA Federal New Starts funds. Our audit objectives are to (1) evaluate the effectiveness of FTAs oversight of the Dulles Corridor Metrorail Project and (2) assess potential safety concerns. Thu, 19 Nov 2009 00:00:00 GMT http://www.oig.dot.gov/item.jsp?id=2579 http://www.oig.dot.gov/item.jsp?id=2582 The Office of Inspector General (OIG) issued a management advisory to the Federal Transit Administration (FTA) on a potentially serious safety issue related to the adequacy of foundations at a segment of the Dulles Corridor Metrorail Project. This issue remains unresolved a year after we first brought it to FTAs attention in a November 2008 Hotline complaint. A credible source contacted OIG asserting that the Metropolitan Washington Airports Authority, the project sponsor, had not conducted sufficient testing on eleven pier foundations and their underlying steel piles that were built 30 years ago, and will support a portion of the projects new guiderail. The FTAs response to our Hotline complaint was incomplete and inconsistent with subsequent engineering information that FTA provided to us. In our management advisory, we prompted FTA to conduct a review of project management performance to assess whether adequate oversight is being conducted on the project. In addition, we urged FTA to develop a plan outlining how it will ensure that sufficient testing of the existing foundations will take place before additional construction is undertaken at the locations in question. Finally, we encouraged FTA to outline additional steps it plans to take to enhance future oversight of the project. We will consider actions taken as a result of this management advisory as part of our planned audit of FTAs Dulles Project oversight, which we announced on November 19, 2009. Thu, 22 Oct 2009 00:00:00 GMT http://www.oig.dot.gov/item.jsp?id=2582 http://www.oig.dot.gov/item.jsp?id=2520 On July 31, as mandated by the FY 2009 Consolidated Appropriations Act, we issued our quarterly report to the House and Senate Appropriations Committees on Amtraks savings from operational reforms and yeartodate financial performance. Amtraks operating loss through June 2009 was $367.2 million, 0.6 percent more than budgeted as declining passenger revenues were largely offset by declining fuel and employee benefit costs. Amtraks financial performance is expected to continue to erode through the remainder of the fiscal year, resulting in a forecasted yearend operating loss of $16.0 million more than budgeted. Thus far, Amtrak has not yet identified the measures it will take to close this funding gap.Amtrak expects to end the year with a cash balance of $192.8 million, well above the minimum yearend level the OIG believes is necessary. These funds could be used to close the funding gap if Amtrak can not implement sufficient operating efficiencies. Fri, 31 Jul 2009 00:00:00 GMT http://www.oig.dot.gov/item.jsp?id=2520 http://www.oig.dot.gov/item.jsp?id=2489 On June 3, 2009 as mandated by the fiscal year (FY) 2008 Consolidated Appropriations Act, we issued our quarterly report to the House and Senate Appropriations Committees on Amtraks savings from operational reforms and yeartodate financial performance. Amtraks operating loss through March 2009 was $259.9 million, 6.9 percent less than budget as declining passenger revenues were largely offset by declining fuel and employee benefit costs. Amtraks financial performance is expected to continue to erode through the remainder of the fiscal year, resulting in a forecasted yearend operating loss of $25.8 million. Thus far, Amtrak has not yet identified the measures it will take to close this funding gap.Amtrak has shifted $24 million in costs from general operating to capital and now expects to end the year with a cash balance of $182 million, well above the minimum yearend level the OIG believes is necessary. These funds could be used to close the funding gap if Amtrak can not implement sufficient operating efficiencies. The OIG also found that Amtrak could do more by providing a transparent and detailed analysis of the financial risks and external factors, such as forecasted economic growth and fuel prices, impacting the companys revenues and expenses. Doing so would improve policymakers understanding of the magnitude of these risks going forward. Finally, the OIG believes that while Amtrak has enhanced its internal reporting of financial and operating measures, it will be important to integrate this reporting with the measures required under the Passenger Rail Investment and Improvement Act of 2008 to better link Amtraks actions, external risks, and its bottom line.As directed by Congress, reports requested by the House and Senate Appropriations Committees are subject to a 15 day hold before being publicly released. In compliance with that requirement, the report was withheld from public release until June 18, 2009. Wed, 03 Jun 2009 00:00:00 GMT http://www.oig.dot.gov/item.jsp?id=2489 http://www.oig.dot.gov/item.jsp?id=2466 The Office of the Inspector General plans to conduct an audit of risks associated with the Federal Railroad Administrations implementation of the new Capital Assistance for High Speed Rail Corridors and Intercity Passenger Rail Service programs, which were mandated by the American Recovery and Reinvestment Act of 2009 (ARRA). Specifically, we plan to focus on (1) the capability of states and FRA to plan and manage high speed rail projects, (2) statefreight railroad capital agreements, (3) financial forecasting best practices, and (4) intercity passenger rail service bottlenecks. Tue, 05 May 2009 00:00:00 GMT http://www.oig.dot.gov/item.jsp?id=2466 http://www.oig.dot.gov/item.jsp?id=2429 Our report found that FRAs safety regulations for internal rail flaw testing did not require the railroads to report the specific track locationsmilepost numbers or track milestested during these types of inspections. We also found FRAs inspection data system did not provide adequate information for determining the extent to which FRAs track inspectors have reviewed the railroads records for internal rail flaw testing and visual track inspections to assess compliance with safety regulations.We recommended that FRA revise its track safety regulations for internal rail flaw testing to require the railroads to report all track locations (milepost numbers or track miles) covered during internal rail flaw testing. We also recommended that FRA revise its Track Safety Compliance Manual and inspection data system by including specific inspection activity codes for its track inspectors to report on whether the record reviews the inspectors conducted were for internal rail flaw testing or visual track inspections. FRA agreed with our recommendations and has either taken or planned corrective actions. Tue, 24 Feb 2009 00:00:00 GMT http://www.oig.dot.gov/item.jsp?id=2429 http://www.oig.dot.gov/item.jsp?id=2441 On February 23, 2009 as mandated by the fiscal year (FY) 2008 Consolidated Appropriations Act, we issued our quarterly report to the House and Senate Appropriations Committees on Amtraks savings from operational reforms and yeartodate financial performance. Amtrak is not pursuing any new operational reform savings in FY 2009. Amtraks operating loss through December totaled $82.2 million, $26.1 million less than originally forecast, largely due to lower than expected revenues being more than offset by lower employee benefit and fuel costs. For FY 2009, Amtrak projects an operating loss of $476 million, only $1 million more than originally forecast, despite significant projected changes in both revenues and expenses. Amtrak reestimated both revenue and ridership forecasts in light of the steep decline in the economy since the FY 2009 budget forecasts were prepared last summer. The OIG believes that Amtrak requires no more than $40 million above the current CR level for operating subsidies in order to reduce the risk associated with Amtraks revenue forecasts and to implement Amtraks decision regarding its defeased leases.As directed by Congress, reports requested by the House and Senate Appropriations Committees are subject to a 15 day hold before being publicly released. In compliance with that requirement, the report was withheld from public release until March 10, 2009. Mon, 23 Feb 2009 00:00:00 GMT http://www.oig.dot.gov/item.jsp?id=2441 http://www.oig.dot.gov/item.jsp?id=2404 The Office of Inspector General plans to conduct an audit of the major risks facing the New Jersey Transit Corporations Access to the Regions Core (ARC) Project in Northern New Jersey and the Federal Transit Administrations (FTA) oversight of this capital project, which is now estimated to cost approximately $9 billion. The project is in preliminary engineering status and is under consideration for a $3 billion grant through FTAs New Starts programcurrently the largest amount slated for any New Starts project. The objective of this audit is to determine whether FTAs oversight provides reasonable assurance that cost, schedule, funding, and other risks have been identified and strategies are underway to mitigate them. Fri, 12 Dec 2008 00:00:00 GMT http://www.oig.dot.gov/item.jsp?id=2404 http://www.oig.dot.gov/item.jsp?id=2385 On November 12, 2008 as mandated by the fiscal year (FY) 2008 Consolidated Appropriations Act, we issued our quarterly report to the House and Senate Appropriations Committees on Amtraks savings from operational reforms and yeartodate financial performance. Amtrak achieved $30.7 million in operating reform savings through July, $5.0 million more than it originally anticipated However, we believe Amtrak will fall short of achieving its $40.3 million FY 2008 operational reform savings target. Amtraks operating loss for FY 2008 was $381.1 million, $93.9 million less than budget due largely to better than expected revenues, partially offset by higher than budgeted wages and fuel, power, and utility costs. We identified three nearterm challenges facing Amtrak. First, an extended economic downturn could pose risks to Amtraks ability to meet its ridership and revenues targets. Second, Amtrak is scheduled to make $145 million retroactive wage payment in FY 2009. While this payment can be accommodated within Amtraks current cash balance, it is concerned that doing so would leave the company with unacceptably low reserves at the beginning of FY 2010. Third, Amtrak has yet to define a strategic direction which incorporates continuous operating improvements. Such a strategic direction would allow the company to reduce its operating costs, freeing up Federal support for Amtraks substantial capital needs. As directed by Congress, reports requested by the House and Senate Appropriations Committees are subject to a 15 day hold before being publicly released. In compliance with that requirement, the report was withheld from public release until November 27. Wed, 12 Nov 2008 00:00:00 GMT http://www.oig.dot.gov/item.jsp?id=2385 http://www.oig.dot.gov/item.jsp?id=2371 In response to a provision in the Fiscal Year 2008 Department of Transportation Appropriations Act, the Office of Inspector General (OIG) is undertaking an audit of railroad service disruptions since 2004 in which rail carriers failed to make shipments of coal, wheat, ethanol, and lumber in a timely manner. The objectives of this audit are to determine the standard of railroad service owed to the shippers of these commodities either by regulation or by contract; the timeliness and reliability of the actual rail service provided to these shippers; and the causes of any railroad service deficiencies which are identified. Wed, 15 Oct 2008 00:00:00 GMT http://www.oig.dot.gov/item.jsp?id=2371