Oversight of the intercity bus industry : hearing before the Subcommittee on Surface Transportation of the Committee on Commerce, Science, and Transportation, United States Senate, One Hundred Third Congress, first session, March 11, 1993
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Oversight of the intercity bus industry : hearing before the Subcommittee on Surface Transportation of the Committee on Commerce, Science, and Transportation, United States Senate, One Hundred Third Congress, first session, March 11, 1993

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S. HRG. 103-52 OVERSIGHT OF THE INTERCITY BUS INDUSTRY : SHRer|$5z- rar.ARING BEFORE THE SUBCOMMITTEE ON SURFACE TRANSPORTATION OF THE COMMITTEE ON COMMERCE, AND TRANSPORTATIONSCIENCE, UNITED STATES SENATE ONE HUNDRED THIRD CONGRESS FIRST SESSION MARCH 199311, Printed for the use of the Committee on andCommerce, Science, Transportation ^^ U.S. GOVERNMENT PRINTING OFFICE 6S-842cc WASHINGTON : 1993 For sale the U.S. Government Officeby Printing of Sales Office. DC 20402Documents.Superintendent Congressional Washington. ISBN 0-16-040879-2 S. HRG. 103-^52 OVERSIGHT OF THE INTERCITY BUS INDUSTRY $>Wr)&&~\@&fr. nj^ARING BEFORE THE SUBCOMMITTEE ON SURFACE TRANSPORTATION OF THE COMMITTEE ON COMMERCE, AND TRANSPORTATIONSCIENCE, UNITED STATES SENATE ONE HUNDRED THIRD CONGRESS FIRST SESSION MARCH 199311, Printed for the use of the Committee on andCommerce, Science, Transportation * 1 I / JUL3 °W3 U.S. GOVERNMENT PRINTING OFFICE G5-842cc WASHINGTON : 1993 For sale Ihe U.S. Government Officeby Printing of Sales DC 204(12Documents. Office.Superintendent Congressional Washington, 0-16-040879-2ISBN TRANSPORTATIONCOMMITTEE ON ANDCOMMERCE, SCIENCE, ERNEST F. South ChairmanHOLLINGS, Carolina, DANIEL K. Hawaii JOHN C. MissouriINOUYE, DANFORTH, WENDELL H. BOBFORD, Kentucky PACKWOOD, Oregon J. JAMES Nebraska LARRY South DakotaEXON, PRESSLER, JOHN D. ROCKEFELLER West TED AlaskaIV, Virginia STEVENS, F. Massachusetts JOHN ArizonaKERRY, MCCAIN, MontanaJOHN B.

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S. HRG. 103-52
OVERSIGHT OF THE INTERCITY BUS INDUSTRY
: SHRer|$5z-
rar.ARING
BEFORE THE
SUBCOMMITTEE ON SURFACE TRANSPORTATION
OF THE
COMMITTEE ON COMMERCE,
AND TRANSPORTATIONSCIENCE,
UNITED STATES SENATE
ONE HUNDRED THIRD CONGRESS
FIRST SESSION
MARCH 199311,
Printed for the use of the Committee on andCommerce, Science, Transportation
^^
U.S. GOVERNMENT PRINTING OFFICE
6S-842cc WASHINGTON : 1993
For sale the U.S. Government Officeby Printing
of Sales Office. DC 20402Documents.Superintendent Congressional Washington.
ISBN 0-16-040879-2S. HRG. 103-^52
OVERSIGHT OF THE INTERCITY BUS INDUSTRY
$>Wr)&&~\@&fr.
nj^ARING
BEFORE THE
SUBCOMMITTEE ON SURFACE TRANSPORTATION
OF THE
COMMITTEE ON COMMERCE,
AND TRANSPORTATIONSCIENCE,
UNITED STATES SENATE
ONE HUNDRED THIRD CONGRESS
FIRST SESSION
MARCH 199311,
Printed for the use of the Committee on andCommerce, Science, Transportation
*
1 I
/
JUL3
°W3
U.S. GOVERNMENT PRINTING OFFICE
G5-842cc WASHINGTON : 1993
For sale Ihe U.S. Government Officeby Printing
of Sales DC 204(12Documents. Office.Superintendent Congressional Washington,
0-16-040879-2ISBNTRANSPORTATIONCOMMITTEE ON ANDCOMMERCE, SCIENCE,
ERNEST F. South ChairmanHOLLINGS, Carolina,
DANIEL K. Hawaii JOHN C. MissouriINOUYE, DANFORTH,
WENDELL H. BOBFORD, Kentucky PACKWOOD, Oregon
J. JAMES Nebraska LARRY South DakotaEXON, PRESSLER,
JOHN D. ROCKEFELLER West TED AlaskaIV, Virginia STEVENS, F. Massachusetts JOHN ArizonaKERRY, MCCAIN,
MontanaJOHN B. Louisiana CONRADBREAUX, BURNS,
RICHARD H. Nevada SLADEBRYAN, GORTON, Washington
CHARLES S. TRENTROBB, Virginia LOTT, Mississippi
BYRON L. North Dakota JUDD NewDORGAN, GREGG, Hampshire
BOB TexasKRUEGER,
G. Counsel and DirectorKEVIN CURTIN, Chief StaffJONATHAN Chambers, Republican Staff
Subcommittee on Surface Transportation
J. JAMES ChairmanEXON, Nebraska,
JOHN D. ROCKEFELLER West JOHN ArizonaIV, Virginia McCAIN,
DANIEL K. Hawaii BOBINOUYE, PACKWOOD, Oregon
CONRAD MontanaJOHN B. LouisianaBREAUX, BURNS,
S. TRENTCHARLES ROBB, Virginia LOTT, Mississippi
Dakota JUDD NewBYRON L. NorthDORGAN, GREGG, Hampshire
BOB TexasKRUEGER,
(IDCONTENTS
Page
statement ofSenator Exon 1Opening of 1Opening Hollings of Senator 86Prepared Krueger
List of Witnesses
John Associate GeneralAnderson, H., Jr., Director, Issues,Transportation
Office 29Accounting
statement 32Prepared
Concord Coach Inc 120Blunt, Harry W., Jr., President, Lines, 122Prepared
Assistant for andCanny, F.,Joseph Deputy Secretary Policy Regulatory
ofAffairs, Department 24Transportation
statement 26Prepared
Thomas AmericanEvans, W., President, Buslines, IN 70Inc., Indianapolis, 71
Robert TransitFarris, C, Co., TX 87Valley Inc., Harlingen,
statementPrepared 88
Randall Office ofHalvorson, K., MinnesotaDirector, Transit, Department
of 61Transportation
statement 62Prepared
Hon. GailMcDonald, C, Interstate Commerce Commission 2Acting Chairman, 4
Minnesota StateDavid, statement of 60Minge, Representative, prepared
Maxine LieutenantMoul, State ofNebraska 41B., Governor,
statement 43Prepared
Elliot AssistantSander, G., Commissioner for New YorkDeputy Transit,
State of 46Department Transportation
statement 49
Prepared
Frank President andSchmieder, J., Inc 99CEO, Greyhound Line3, 101
Hon. Carl NationalW., Board 21Vogt, Chairman, Transportation Safety
statement 22Prepared
Hon. Senator U.S.Wellstone, Senator from state-Paul, Minnesota, prepared
ment of 60
Appendix
ExecutiveRoss, National Association ofRailroadCapon, Director, Passengers,
statement of 137prepared
RobertFarris, letter to Senator dated MarchG., Harlingen, TX, from, Exon,
199312, 144
Minnesota ofHalvorson, Randy, Director, letterDepartment Transportation,
to Senator dated March 1993from, Wellstone, 17, 140
William Committee onKenworthy, E., Chairman, letterLegislation, from,
to Senator dated March 1993Exon, 23, 166
statement ofMitchell, Senator, 135prepard
Gov.Moul, Maxine letter to SenatorB., from, dated 1993 .... 157Hollings, April 2,
DavidPutz, G., letter for Elliot G. to Senatorfrom, Sander, datedHollings,
1993April 9, 157
statement ofTransportation Lawyers Association, 167prepared
asked SenatorQuestion Exon and answer theretoby by:
Mr. GAOAnderson, 145
Mr. DOTCanny, 147
(Hi)IV
Page
asked Senator Exon and answers thereto by:Questions by
154ICC
146Mr. ABABlunt,
148Mr. American IncEvans, Buslines,
150Mr. Transit IncFarris, Valley Co.,
160Mr. Schmieder
165Mr. NTSBVogt,BUSOVERSIGHT OF THE INTERCITY
INDUSTRY
MARCH 1993THURSDAY, 11,
U.S. Senate,
of theSubcommittee on Surface Transportation
Committee on and Transportation,Commerce, Science,
DC.Washington,
subcommittee to at 9:05 a.m. in roomThe met, pursuant notice,
Russell Senate Office Hon. J. James ExonSR-253, Building,
of the(chairman subcommittee) presiding.
to this Donald M. staffStaff members assigned hearing: Itzkoff,
W. senior staff mem-andcounsel, Sheryl Washington, professionaland Gerriber; Hall, minorityLynn
ber.
SENATOREXONOPENING STATEMENT OF
Senator Exon. The subcommittee will come to order.please
Subcommittee willGood The Surface Transportationmorning.
of bus service in the Unit-hold a on the oversight intercityhearing
ed States.
in areasMillions of those urbanAmericans, livingparticularly
and those unable to afford travel other onmodes, dependby regu-
lar route bus service. At a time when we are closerintercity paying
attention to the Nation's buses must re-infrastructure, intercity
main an and viable alternative.important transportation
Two I asked the General Office to look intoyears ago, Accounting
the continued decline in the of bus service.availability intercity
will be the ofThat was released last andreport subject today'syear
hearing.
The subcommittee also will review the effectiveness of the Bus
Reform Act of concerns raised the1982,Regulatory regulatory by
various critical and the status of Federalcarriers, issues,safety
and State efforts to bus a re-support intercity service, including
Iview of the section 18 set-aside which supportedprogram during
the debate over the Intermodal Surface Transportation Efficiency
Act of 1991. Mr. Chairman, your comments, please.
OPENING STATEMENT OF SENATORHOLLINGS
The Chairman. the Commerce Committee will review re-
Today
cent in the U.S. bus This morn-developments intercity industry.
is the attentioning's hearing particularly timely, given increasing
to ofand infrastructure investment issues astransportation part
our effort to the Nation's overall economicimprove competitiveness.
(1)For rural Americans and for those unable to afford to travel by
train or bus service the viableplane, intercity may represent only
common carrier alternative. For individualstransportation many
without access to a personal automobile, regular-route intercity
buses indeed the means of distance.may provide only traveling any
It was with that the committee last re-concern, therefore, year
ceived a from the General Office thatreport Accounting indicating
the of bus service continues to decline.availability intercity
The will address the of that as wellhearing today findings report
as a number of other issues to the future of theimportant intercity
bus and in In the com-industry transportation general. particular,
willmittee review the effectiveness of the Bus ReformRegulatory
Act of the level and of bus1982, existing service,safety intercity
and the nature of the current in the Thecompetition industry.
also will examine Federal and State efforts tohearing existing sup-
bus service and what more be toport intercity might appropriate
ensure the service to to the needsnecessary respond transportation
of all across thepeople country.
I am to have such a of witnesses be-pleased distinguished panel
fore the committee this and I look forward tomorning, hearing
on bus service in the United States.your testimony intercity
Thank Mr. Chairman.you,
Senator Exon. Thank Mr. Chairman. We areyou, very pleased
to have with us this the Chairman of the Interstatemorning Acting
Commerce the Honorable Gail C.Commission, McDonald, along
with the Honorable F. AssistantJoseph Canny, Deputy Secretary
of the of on behalf of the administra-Department Transportation
tion. The Chairman Carl W. will the viewsVogt present
of the National and we will also hearTransportation Safety Board,
from John H. Associate Director of the GAO.Anderson, Jr.,
On the first I am to have with us friend andpanel, delighted my
the Honorable Lt. Gov. Maxine Moul from thecolleague, great
State of Nebraska. Maxine will be withtestifying along representa-
tives from two other New York and Minnesota.States,
On the second ofare witnesses a numberpanel representing
bus and the American Bus Asso-independent carriers, Greyhound
who will theciation, present perspective.industry's
The subcommittee welcomes all of the witnesses,especiallyyou,
of whom have come from far distances to be with us at thismany
this and we thank much for effortshearing morning, you very your
and for here. I look forward to the thisbeing testimony morning.
I will call first on the Federal official

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