The Trump Administration’s focus on efficiency has recently influenced significant changes at Amtrak, where Stephen Gardner, the Chief Executive Officer, who held his position since 2022, announced his resignation. This decision comes in response to potential privatization pressures from Donald Trump and Elon Musk. Gardner expressed in a statement that his departure aims to maintain Amtrak’s trust and confidence with the current administration. Before becoming CEO, Gardner served as Amtrak’s chief operating and commercial officer from 2009 and as president from 2020. His experience in the rail industry includes roles such as conductor and operations manager at Maine Central Railroad and founding a punk band named Chessie, inspired by the Chesapeake and Ohio Railway.
Gardner faced challenges under the new administration, as Trump had previously attempted to drastically cut federal funding for Amtrak, an effort he continues to pursue. The railway’s federal support, amounting to billions, was impacted by Trump’s funding freeze earlier this year. Additionally, Department of Transportation Secretary Sean Duffy has pushed Amtrak to cease diversity, equity, and inclusion programs and enforce return-to-office mandates, threatening the loss of federal support if these demands are not met.
Despite Gardner’s efforts to comply with the administration’s requirements, scrutiny persisted. Elon Musk recently suggested that both Amtrak and the United States Postal Service should be privatized, criticizing Amtrak as “kind of embarrassing” and advising against foreign visitors using the national rail to avoid forming negative impressions of America.
Amtrak, however, has reported a record year in ridership, supported by ongoing expansion plans intended to extend rail service to an additional 40 million people. In contrast, Musk’s Boring Company has made limited progress on high-speed mass transit solutions over the last several years, exemplified by a modest 2.4 miles of a planned 68-mile network constructed in Las Vegas, much of it without significant regulatory oversight. Furthermore, the Boring Company has faced delays and abandonment of several costly projects. Compared to these endeavors, Amtrak’s performance does not appear as unfavorable.