1. Executive Summary

The Southeast High Speed Rail corridor (SEHSR) is an approximately 500 mile Federally designated high speed rail corridor running from Washington, DC through Richmond, VA, Raleigh, NC to Charlotte, NC. This corridor was one of five national high speed rail corridors designated for improvements to high speed status under the Intermodal Surface Transportation Efficiency Act (ISTEA) of 1991.1

The Rail Division of the North Carolina Department of Transportation (NCDOT) applied for and received funding from the Federal Railroad Administration (FRA) under Section 1036 of ISTEA to conduct master planning for high speed rail passenger service from Charlotte to Raleigh and Raleigh to Richmond, VA. The State of Virginia is currently planning for high speed service between Richmond and Washington, DC under a separate study.

NCDOT subsequently contracted with Amtrak Engineering to coordinate and complete an assessment of the corridor. The work was managed by Rail Division staff with periodic review and coordination with the Virginia Department of Rail and Public Transportation, the Rail Sub-Committee of the North Carolina Board of Transportation and the North Carolina Rail Council. This information also has been incorporated into the Transit 2001 Commission’s recommendations to the Governor for improving North Carolina’s transit system.2

The master planning elements make up a feasibility study that will assist the Department in its decisions on project implementation. This report summarizes the findings of these planning efforts for the corridor and provides recommendations for further action. Summaries of these planning elements are given below.

An engineering evaluation of the corridor was completed, which identifies the possible speeds, alignments and their costs. Due to the varied nature of the corridor, the evaluation was divided into two geographical sections. Between Charlotte and Raleigh, the evaluation determined that the existing North Carolina Railroad (NCRR) through Greensboro was the most cost effective route. Most of the upgrades to achieve two hour service from Charlotte to Raleigh can be completed within the existing right-of-way, thus minimizing potential land acquisition costs. Upgrading the track to 95 mph average speeds would cost between $371.4 million and $515.5 million, depending on the exact nature of the alignment, improvements, and cost arrangements. Between Raleigh and Richmond, the evaluation determined that rebuilding the old Seaboard Air Line main line (known as the S line) would be the most cost effective method to achieve 110 mph maximum service between these two state capitals. Reconstruction and upgrade of this route would be between $265 and $320 million, depending on the exact nature of the alignment, improvements and cost arrangements. For both of these segments, this translates to a cost of $2 million to $3 million per mile.

Train performance and train dispatch simulations of the routes were completed. These simulations modeled the speeds of various conventional and high speed train sets on the route to suggest which equipment would work best along the corridor. The analyses show that most likely equipment with tilt technology will be needed to reliably meet the goal of two-hour service between Charlotte and Raleigh; the alternative to meet this goal being to straighten additional curvature beyond that proposed by the engineering evaluation. Between Raleigh and Richmond, the improved high speed S line could be used to relieve some freight congestion on other major north-south rail lines. The modeling also illustrated potential freight and passenger train conflicts on the corridor. These preliminary results suggest that with the increased number of passenger trains, additional track capacity beyond that suggested by the engineering evaluations will be needed at various locations to avoid freight traffic delays along the corridor.

Station and station area standards for the proper planning and construction of high speed rail stations along the corridor were developed. The specific recommendations on site, location, parking etc. in the study will be used in the construction of new stations and the renovation of existing ones to high speed standards.

The environmental screening searched for potential environmental problems with the proposed alignments and other improvements along the Charlotte to Raleigh section of the corridor. The screening found no potential major impacts. The study recommends that a detailed environmental impact assessment be completed of the entire Charlotte to Washington corridor to determine all potential environmental issues and to recommend possible mitigation for any environmental impacts.

Demand modeling of potential passenger ridership and revenue from the high speed operations determined that increasing speeds by 50 percent along the corridor would increase ridership by over 300 percent and revenues by more than 600 percent over current levels. The model looked at various frequencies and fare structures. Most of the ridership and revenue, however, are from passengers starting or ending their trips at cities outside North Carolina. This suggests that the success of the corridor is highly dependent upon improved travel time to Richmond and points north. The modeling also illustrated that improved passenger rail service will reduce auto and air trips along the corridor as well as have a high level of induced travel (i.e., cause travel that otherwise would not have been undertaken).

Operating cost and profitability analysis of the SEHSR used projected operational costs and revenues to determine the system’s profit or loss. The analysis shows that, with modifications to the current Amtrak cost centers, the SEHSR will have projected revenues greater than projected annual operation expenses. This concurs with the findings from an FRA study that declared the SEHSR as the most commercially feasible HSR corridor in the U.S.

The economic and fiscal impact analysis identified the economic and fiscal impacts of the construction and operations of the SEHSR system. The analysis shows that over $10.5 billion in earnings and over $719 million in state tax revenues would be realized from construction and operation of the SEHSR alone over the next 20 years.

A benefit/cost analysis model determined the full costs and benefits of the SEHSR. This study determined the value of benefits of the SEHSR such as time savings and reduced auto emissions. According to the analysis, the SEHSR will create over $317 million in benefits for NC and will have $1.39 in benefits for every dollar spent to build and operate the system.

Public-private partnership alternatives were investigated to determine the various government and private sector partnerships possible for ownership and operation of the SEHSR. This analysis suggests that advantageous partnerships are possible, particularly in the form of operation and/or use of the corridor for passenger and freight by the private sector.

A comprehensive analysis of financing alternatives to explore the various cost centers, revenues, funding and financing scenarios that are possible with the high speed rail system was investigated. This examination has determined various revenue, funding and financing scenarios that could be used for the construction and operations of the SEHSR. This early analysis has determined that an operating contract or concession between the State and the private sector is possible. The analysis has also shown that private and public financing may be available for construction of the corridor.

These master plan efforts have determined that the SEHSR is a viable high speed rail corridor with many potential benefits for North Carolina and the nation:

  • Passenger rail service at high speeds (95-100 mph) in North Carolina is achievable. The current travel time between Charlotte and Richmond can be reduced by almost 50 percent to under four hours at a cost of around $2.5 million per mile.
  • The Southeast High Speed Rail corridor will have a major impact on travel demand to North Carolina and on the State’s transportation network. Ridership projections show that the SEHSR could have over 1,180,000 passengers annually traveling to, from and within North Carolina. A majority of these trips would be diverted from highways, with some airline travel being attracted as well.
  • The SEHSR will require no operating subsidy by 2015. Potential revenues from passenger demand will be higher than the annual operating costs of the corridor, making the SEHSR a commercially feasible system.
  • The success of the SEHSR is dependent upon its full implementation from Charlotte to Washington, DC. Connecting the SEHSR to the Northeast Corridor will increase ridership by 50 percent and revenue by 100 percent over a Charlotte to Raleigh system. This shows that a fully constructed corridor is more likely to be commercially successful and require no operating subsidy.
  • The SEHSR has many benefits for North Carolina. The economic and transportation benefits from the construction, increase in leisure and business travel, increased productivity, and reduced auto accidents will be over $900 million for North Carolina alone. The SEHSR would give North Carolina a competitive advantage over other States in the promotion of economic development.
  • The SEHSR is also a corridor of national significance. The Federal Railroad Administration’s commercial feasibility study of high speed rail for the U.S. Congress gives the SEHSR "exceptional treatment" stating that the "average trip on the Southeast Corridor would be longer and generate more revenue than any other illustrative route" and "would increase traffic levels on the NEC itself." Because of its connection with the highly successful Northeast Corridor, the SEHSR will improve the efficiency of passenger travel along the entire East Coast.

    To further the project’s implementation, the following next steps should be taken by NCDOT and others:

    Begin preliminary engineering and an environmental assessment of the corridor. The engineering evaluation found that the project’s capital cost would be approximately $2.5 million per mile, which is well within the range of most incremental high speed rail programs. Furthermore, the original environmental screening found no major environmental issues with the preliminary route selection. The state has begun an environmental assessment that includes public input and evaluates all of the routes under consideration for the SEHSR.

    Begin a public outreach and education process. In the fall of 1999, as a part of the environmental study process, the state will begin an outreach program to help residents along the corridor better understand the effects of improved rail service on their communities, as well as working with business and community leaders to consider the positive economic, fiscal and social impacts of a balanced transportation network.

    Analyze additional freight/passenger issues as needed. The operating agreement between NS and the NCRR, and the Conrail acquisition by NS and CSX will have significant impacts on the future of freight traffic in North Carolina and Virginia. As the amount of future freight traffic along the SEHSR becomes clearer, additional work will be needed to determine the capacity of the route and potential freight and passenger rail conflicts.

    Acquire right-of-way and endangered corridors as soon as possible. The engineering evaluation has already identified segments required to improve the corridor to high speed status that are in danger of encroachment and increasing urban development. Securing endangered rights-of-way now may prevent costly relocations of businesses and residences in the future. In 1998 the state acquired the NCRR and began negotiations to acquire other rail lines to secure them for improved high speed rail service.

    Continue coordination of the SEHSR with the Commonwealth of Virginia, Amtrak and others involved in the corridor. Improvements planned by Virginia include increased service between Richmond and Hampton Roads and Richmond to Washington, DC. Because these programs ultimately affect each other and the SEHSR, North Carolina and Virginia are closely coordinating their passenger rail improvements. Furthermore, both North Carolina and Virginia have cooperated with the Federal Railroad Administration’s efforts for long-term capacity planning for the Northeast Corridor, since many SEHSR trains will travel to points north of Washington, DC.

    Continue coordination of the SEHSR with additional service improvements in North Carolina. Many incremental enhancements to passenger rail service in North Carolina will take place along the SEHSR’s route over several funding cycles. In the past eight years the state has invested millions in Federal and state funds in its "sealed corridor" program to reduced at-grade crossing along the SEHSR. The state has also successfully improved and eliminated dozens of crossings in cooperation with local communities along the SEHSR. In several places along the proposed corridor the State is also working with local planners and engineers to ensure compatible future regional transit, state intercity rail service and local development. Other programs include plans to better stations and rolling stock on the corridor. In addition, the state’s Congestion Mitigation Program has been funded to improve freight and passenger operations between Raleigh and Charlotte. Passenger travel time will be reduced as a result of these improvements from 3 hours 45 minutes between Charlotte and Raleigh. Other rail improvements in North Carolina recommended by the Transit 2001 Commission include resumption of service to Western and Eastern North Carolina, and extension of the Piedmont train to Atlanta. These new services will have an impact on the SEHSR, and vice versa. Close coordination will be necessary to ensure prudent use of limited resources in constructing the SEHSR.


    1The route between Charlotte, Raleigh, Richmond and Washington, DC was the original "Southeast Corridor" under ISTEA. With the Transportation Equity Act for the 21st Century (TEA-21) this corridor was extended to Macon, Georgia and Jacksonville, Florida. This report summarizes studies completed only for the original Charlotte - Washington segment of the Southeast Corridor.
    2Transit 2001 Executive Summary & Technical Report, 1997.

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