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Gulf Coast rail revival exceeds forecasts, tops 100,000 riders

Less than eight months after launch, the route boosted tourism, filled trains at strong rates and gave Interstate 10 travelers a new option.

(VIA AMTRAK)

The Joint Legislative Transportation Committee received an update Wednesday on the return of passenger rail service along the Gulf Coast, as state and Amtrak officials highlighted strong ridership and economic impact less than a year after launch.

Stephen McNair, director of policy and legislative affairs for the City of Mobile, told lawmakers the restored service marks the first time passenger trains have operated between Mobile and New Orleans since Hurricane Katrina disrupted service in 2005.

“We’re very excited about the return of the service. The dividends are starting to be very clear in terms of not only ridership, but also tourism and the economic impact,” McNair said.

Todd Stennis, Amtrak’s director of governmental affairs for the Southeast, gave lawmakers an overview of the new Mardi Gras Service, which began operating in August 2025. The twice-daily route runs between Mobile and New Orleans, with stops in Bay St. Louis, Gulfport, Biloxi and Pascagoula, Mississippi.

Stennis said Congress created Amtrak in 1970 under the Rail Passenger Service Act. Amtrak now operates more than 280 trains daily and serves more than 500 destinations in 46 states. In fiscal year 2025, the system carried more than 34.5 million riders.

In Alabama, Amtrak operates six daily trains on two routes: the Crescent line, which runs through Tuscaloosa, Birmingham and Anniston between New Orleans and New York, and the new Gulf Coast route. Stennis said 67,000 passengers boarded or left Amtrak trains in Alabama during the last fiscal year. The company employs 26 people in the state, including a Mobile-based crew dedicated to the Gulf Coast service.

The Mardi Gras Service is classified as a state-supported route under federal law. Under the Passenger Rail Investment and Improvement Act of 2008, routes shorter than 750 miles must be financially supported by participating states or local partners. In this case, the service is funded jointly by the Mississippi and Louisiana departments of transportation and the City of Mobile.

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Operations are supported through a federal Restoration and Enhancement grant that provides a stepped-down match over six years. The program covers 90 percent of eligible operating costs in the first year, gradually decreasing to 30 percent by year six. For the first three years, Louisiana, Mississippi and Mobile are each contributing about $3.05 million to match the federal funds.

Additional federal funding through the Consolidated Rail Infrastructure and Safety Improvements program is supporting more than $200 million in capital upgrades along the CSX and Norfolk Southern corridors used by the train. Stennis said the improvements will enhance track capacity, improve reliability and reduce travel time.

The current end-to-end trip between Mobile and New Orleans takes about 3 hours and 45 minutes, with departures at 6:30 a.m. and 4:30 p.m. from Mobile. Trains typically arrive in New Orleans shortly after 10 a.m. on the morning run and just after 8 p.m. on the evening run.

Ridership has exceeded expectations. Stennis told lawmakers the route surpassed 100,000 riders this week, less than eight months after service began. Initial projections estimated 70,000 to 75,000 riders in the first year. Based on an average of about 12,500 riders a month, the service could reach 150,000 passengers in its first year, nearly double projections.

Average daily ridership is 413 passengers. Each train has 137 seats, including 120 in coach and 17 in business class. Load factors are among the highest in the Amtrak system, with coach and business class averaging roughly two-thirds full.

Customer satisfaction ratings have also been strong, with 97 percent on-time departures from initial terminals and overall satisfaction scores above 85 percent across categories.

Beyond Mobile and New Orleans, Biloxi has recorded the highest ridership among the Mississippi stops. Stennis said hotels, restaurants and other businesses along the route are reporting increased activity tied to the service.

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“The only way you could get between these city pairs was by automobile. Amtrak has changed that model, giving an alternative mode of transportation to Interstate 10,” Stennis said.

Lawmakers asked about possible expansion and safety concerns.

Senator Linda Coleman-Madison, D-Birmingham, asked about the long-discussed service between Birmingham and New Orleans. Stennis said early discussions are underway about a potential corridor that would connect New Orleans to Dallas-Fort Worth by way of Meridian and Jackson, Mississippi, though he said the project remains in its early stages under review by the Federal Railroad Administration and the Southern Rail Commission.

Lawmakers also raised safety concerns, including several recent incidents involving vehicles at crossings along the route. Stennis said five incidents involving the Gulf Coast service have occurred since operations began, but he noted each crossing had active warning devices such as gates or flashing lights.

“We can put all the warning devices out there that we want to put out. The public has got to be responsible enough to understand that everybody has an obligation to be safe around a railroad track,” Stennis said.

Committee members expressed enthusiasm about the service’s early success and its potential to connect communities.

Stennis closed by inviting lawmakers to experience the route firsthand.

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“We look forward to seeing you all on the Gulf Coast,” Stennis said.

Mary Claire is a reporter. You can reach her at [email protected].

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