Amtrak officials and state Department of Transportation representatives are still trying to reach an agreement to renew the railway system's contract with the state, officials announced Tuesday.
Both sides met Tuesday afternoon at the Michigan Department of Transportation's headquarters in the State Transportation Building in Lansing, 425 W. Ottawa St., to negotiate a deal.
Officials will announce their decision to the public today, transportation spokesman Stephanie Litaker said.
Amtrak's officials will also meet with state legislators later this week to discuss amending a state law to lift the $5.7-million annual funding cap already in place.
The railway service's officials originally wanted the state to increase its annual operation subsidy by $2.2 million before its contract expires March 31.
Amtrak officials threatened to shut down the Toronto-Chicago international route line, which includes stops in East Lansing, if a resolution was not reached by that deadline.
The railway service provides intercity rail services to more than 500 communities in the United States.
"We want to discuss the limitations of the cap and finding cost-cutting measures. It is a work in progress," Amtrak spokeswoman Kathleen Cantillon said. "The cost of railway passenger service has increased, so the funds we receive from the state must also increase."
Litaker said the state met with Amtrak officials last October and agreed on a six-month contract granting $2.8 million for operation during that period, and ticket agents were cut from East Lansing, Flint and Port Huron stations for saving measures.
"This is an important aspect of transportation in Michigan, and we don't want the service to leave," Litaker said. "But, we are limited to what we can do."
House Transportation Committee member and state Rep. Michael Murphy, D-Lansing, said although a resolution must be reached, a substantial funding increase is unlikely.
"Amtrak couldn't have asked for an increase at a worse time," he said. "We want to retain the service, which affects a significant amount of people, but it is going to a great challenge with budget deficit the state is in."
John DeLora, executive director of the Michigan Association of Railroad Passengers, said he does not believe Amtrak's Michigan railway services will be eliminated, but other cutbacks within the system should be investigated if the state cannot allot more funds.
"Looking at the cost of operation, Amtrak is losing money," he said. "Amtrak should reexamine where they are putting equipment and services. Now, I don't see how much more they can cut."
