I would bet that a little 60 watt transformer is probably pushing it with two open frame AC motors trying to run at the same time. You'd probably want to go up to more like 80 or 90 watts minimum. If you want an older one, a 90 watt Lionel 1033 transformer or a 110 watt(?) LW transformer would probably do what you need. As others said, servicing both the locomotive and whistle mechanisms would probably help a lot as well. The load being pulled by the locomotive (number of cars and lighted vs. non-lighted) could affect your current draw as well.
I found an old post on another forum about the same transformer as yours putting out less than the 18 volts it was supposed to. You may want to verify that you're getting proper voltage out to the track also.
I found an old post on another forum about the same transformer as yours putting out less than the 18 volts it was supposed to. You may want to verify that you're getting proper voltage out to the track also.