In a report released today, the U.S. Department of Transportation said that Amtrak risks "a major point of failure" if infrastructure needs go unaddressed.

Kenneth Mead, the Department's Inspector General who drafted the report said that Amtrak must address immediately its infrastructure needs rather than spending money on its national network. While the report commends Amtrak for increasing ridership and addressing costs, it criticizes Amtrak's postponing of its improvements due to expectation of increased funding.

This weekend, Congress finished work on the omnibus spending bill that included $1.22 billion for Amtrak for fiscal 2005, slightly more than for fiscal year 2004.

The report calls on Capitol Hill to provide Amtrak with director in crafting a strategy that may include reducing service, increase funding or investing in the most heavily traveled routes. He suggested that federal funding be directly connected to Amtrak's restructuring.

Amtrak believes that without an increase in funding, they are not going to be able to make the improvements in capital projects. Even at level funding, they will be able to continue services, but would have to make cuts in the capital program.

Also according to Amtrak, cuts in service may jeopardize congressional support as lawmakers wouldn't be happy with service cuts in their region.