Passenger Privatization

Word on the street is that NICTD is considering privatization. Somebody please clue me in on how this works - if NICTD recovers about 66% of farebox costs, and doesn't begin to touch capital costs, who would touch this deal? Further, I just received my May 1977 back copy of PTJ where C&O is fighting tooth and nail to unload passenger service, and Indiana is fighting to keep it. The only private solution I can see is a subsidized private carrier, and we all saw how well that worked under the Venango boys.

Edit: Here's what I found on NW Indiana times, and it pretty much says the idea doesn't make sense.

http://www.nwitimes.com/articles/2006/1 ... 033c85.txt

The big lines from the early years knew it that passenger service had been a losing cause but a necessary deal for the PR it does.

However the profiteers look only at the money to earn it can make and thats pretty much the ticket sales.
You know why Amtrak exists now.

The South Shore would need to resource other money making ideas (Nictd actually) things like maybe starting new bars or food service stuff that may help fund the passenger service or sell trinkets like cups licensed to make money.

or maybe start a dinner train, hey borrow the old Orange cars and make some diners out of them....serve drinks...

News reports around here say NICTD isnt interested in privatization.

The argument is about it helps the economy by moving the people and the extra revenue as a side benefit is what benefits the South Shore (NICTD) thru the subsidies.
This is where why it works. Otherwise you might say NICTD would have to somehow identify each passenger where they travel to and charge the place the ticket user uses a fee for benfitting having the ticket user buy something at the end destination...get my point?

Subsidizing works better.

If your going to attract riders and keep ticket prices where they are, better not change things.

What gets me is that if you go back to privatization you go back to the old moneygrubbing matters. I think of Tower records being bought out and the buyer is closing out all of their stores.
South Shore is pretty much a needed service. A business buyout in that line could wipe it out and somebody would replace it with a busway...or a new freeway..ugh, you dont need that in todays hogging up roadways when you need relief now and SS even looking at expansion.