The Indiana Department of Transportation (INDOT) has announced that it signed a new agreement with Amtrak and Iowa Pacific Holdings to continue the operation of Hoosier State passenger train, according to a press release issued by INDOT.
The new contract will run until June 30, 2017, and INDOT has the option to prolong the services of Iowa Pacific for another four years.
Amtrak will serve as the operator of the Hoosier State, which operates four days a week between Indianapolis and Chicago, under the new deal, according to the press release.
Amtrak will provide the train and engine crews, work with host railroads and also take care of ticketing and reservation.
"Trains will continue to be operated by experienced and well-trained Amtrak crews responsible for safe operations," INDOT said in the press release.
INDOT will pay Amtrak each month for its expenses not covered by ticket revenues or Amtrak will give the state any excess revenue.
Iowa Pacific will be the state's contractor in providing equipment for the train, maintenance, food services offered on the train, and marketing, according to the press release.
"Iowa Pacific is one of the world's premier providers of passenger and excursion trains with services in Colorado, Massachusetts, New York, Oregon, Texas, and other states," according to INDOT.
The company will be required to give INDOT 25 percent of operating profit.
The Journal Review added that state and local governments make arrangements with private companies to improve the services of local trains and offer new amenities to passengers, as they compete against driving their own cars or taking the bus.
The Hoosier State train now offers free and limited WiFi access to its passengers, according to the press release.
The train will also be offering a business-class seating soon, complete with hot meals and drinks. One of the passenger cars will be a unique dome lounge for the business-class seating.
INDOT also adds that, for a limited time, passengers will be able to enjoy the dome lounge without additional charges. Seats are available on a first come, first serve basis.
Tickets for the Hoosier State will range from $24 to $48 each way. Tickets are also subject to discounts and two-way programs, according to the press release.
