Chicago Sun-Times

Amtrak-Metra ties back on track after ruling on Union Station rent

- BY DAVID ROEDER, BUSINESS & LABOR REPORTER droeder@suntimes.com | @RoederDavi­d

Federal regulators have settled a landlordte­nant dispute between Amtrak and Metra over the rent for Union Station, with neither side complainin­g that it’s been railroaded.

The federal Surface Transporta­tion Board, in a Tuesday announceme­nt, decided financial terms for the commuter railroad’s continued use of Union Station, which Amtrak owns. It ordered Metra to pay about an additional $1 million a year, bringing its annual rent to $10.67 million, with yearly increases tied to inflation.

The board’s order settles a dispute dating from at least 2019. A sticking point was how to share the cost of capital improvemen­ts when Metra — at least before COVID-19 — accounted for the vast majority of people passing through the terminal.

The federal agency, which decides fights between railroads, essentiall­y split the difference on each side’s fiscal arguments. Amtrak had wanted Metra to pay $14.79 million a year, while Metra countered with $6.74 million.

Unlike a typical rent dispute, eviction was not an option. No one was threatenin­g to disrupt Metra’s service.

Other matters involving the lease are still in dispute, but the railroads have agreed that their deal will run through Sept. 30, 2029, with a 10-year extension option.

Amtrak and Metra both thanked the board for its decision. “We can proceed to complete and sign a lease that is in the best public interest and can continue our work together to safely grow both of our services to the benefit of everyone,” Amtrak spokesman Marc Magliari said.

In a statement, Metra officials said the case “is no simple matter. It involves complex interpreta­tions of laws and regulation­s, differing opinions about how, when and where to calculate and allocate expenses, and other disputes over which reasonable parties can and do disagree. Metra is grateful for the board’s thoughtful decision, and we look forward to working with Amtrak to resolve our remaining difference­s. Both parties are simply trying to reach the best resolution for our customers and stakeholde­rs.”

The STB’s ruling said one of its members, onetime Chicago alderman Martin Oberman, did not participat­e in the ruling. Oberman is a former Metra chairman. Four other board members rendered the decision.

 ?? SCOTT OLSON/GETTY IMAGES FILE ?? A Metra train at Union Station last year. Amtrak and Metra have agreed that their Union Station deal will run through Sept. 30, 2029.
SCOTT OLSON/GETTY IMAGES FILE A Metra train at Union Station last year. Amtrak and Metra have agreed that their Union Station deal will run through Sept. 30, 2029.

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