Abandonment of Idaho branch line, opposed by shippers &  state

SPALDING, MT:
Shippers along the Camas Prairie Railnet line, between Spalding and Grangeville want the STB to block the abandonment of the 67 mile line.  The shippers, comprised of mainly of farmers  and timber companies, are being joined by the Idaho Utilities Commission.

Roger Nelson from Railnet, was quoted in the Billings Montana Gazette, stated that the line was losing about 1 million per year.  Mr. Nelson stated that the line was so costly to operate due to the number of bridges and the steep grades (3%) that is part of the 67 mile rail line. "We need a dramatic upturn in traffic," Nelson told the paper. "A 50 percent increase in traffic is break-even." The railroad handles about 2000 carloads per year, but at least 3000 is needed.

Shippers contend the rail line can be profitable at the current level of traffic, and that business is actually improving.   "To us it appears they had had abandonment as their goal since they purchased the line in 1998," said John Bennett, head of Shearer Lumber Co. in Grangeville, Idaho.

Abandonment would clearly cause a severe adverse impact on rural development," Gov. Dirk Kempthorne said in the state's response to the abandonment filing.   Loss of rail would especially hurt the 670 malt barley growers who use the rail line. Malt barley can be shipped only by rail because that's the only way buyers will receive it, state officials said.  In addition, 18,000 more trucks would crowd U.S. 95 each year to make up for the rail line's capacity, the state said.