Moreover, great fleets of locomotives and freight cars, servicing facilities and shops, yards, and back offices had to be integrated. Meanwhile, Conrail and the funding agencies would agree on amounts of subsidy, service levels, acquisition of equipment and other factors that would impact the quality of the service provided.Īt the same time, Conrail could concentrate on rationalizing the network of freight-carrying lines it had inherited, determining which to save, which to improve, and which to shed. Passenger trains were not considered part of Conrail’s primary mission, and it was expected that funding agencies would take on responsibility for those commuter services deemed worthy of continuing. The Consolidated Rail Corporation, also known as “ConRail” and later simply as “Conrail,” was formed in 1976 to deal with the continued operation of a number of Northeastern railroads that were experiencing financial difficulties.įour of those insolvent railroads- Penn Central, Erie Lackawanna, Jersey Central and Reading-operated important yet unprofitable commuter services in several major Northeastern markets.
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