@article{Honeyman:23108,
      recid = {23108},
      author = {Honeyman, Joel S. and Bangsund, Dean A. and Leistritz, F.  Larry},
      title = {ECONOMIC IMPACT OF RAILROAD ABANDONMENT:  CARRINGTON-TO-TURTLE LAKE RAIL LINE; SUMMARY},
      address = {1996},
      number = {1188-2016-94026},
      series = {Agricultural Economics Miscellaneous Report 179-S},
      pages = {10},
      year = {1996},
      abstract = {The Carrington-to-Turtle Lake rail line serves five  agricultural shippers in a four county area in central  North Dakota. Service on the line has been affected by  recent embargoes, floods, and poor, deteriorating track  conditions.  The line is a strong candidate for abandonment  as efforts to rehabilitate the line have lacked financial  support.  Prior to this study, a benefit/cost study, which  compares benefits and costs of a rail line reconstruction,  was performed for the rail line in an attempt to secure  financial assistance for rehabilitation. Railroad  abandonment impacts rural communities and local economies  in a variety of ways.  Businesses that use rail for  transportation usually experience a change in their  shipping options.  Instead of sending and/or receiving  materials and supplies by rail, those items must be moved  by truck.  The severity of the change is often a function  of the amount of material shipped and distance hauled. Rail  abandonment affects property values.  In the absence of tax  rate changes, reduced property values translate directly  into lower property tax revenues for local governments.   Rural areas, especially in North Dakota, often do not have  adequate road and highway infrastructure to absorb  movements of grain and agricultural inputs exclusively by  truck.  The transference of rail movements to truck traffic  accelerates the deterioration of local roads and highways.  Abandonment of the Carrington-to-Turtle Lake rail line was  estimated to increase transportation costs for shippers on  the line by $329,000 annually.  A majority of the increase  in transportation costs would be incurred by farmers in the  form of reduced commodity prices.  The North Dakota  Input-Output Model estimated that the $329,000 in direct  impacts would generate an additional $682,000 in secondary  impacts. Total economic losses for the regional economy  were estimated to be $1 million annually.  Additional  impacts included an annual loss of $17,900 in  state-collected tax revenue. Annual net costs (i.e.,  damages less additional user revenues) to repair and  maintain state roads impacted from increased truck traffic  were estimated at $297,000 for resurfacing and $868,000 for  reconstruction.},
      url = {http://ageconsearch.umn.edu/record/23108},
      doi = {https://doi.org/10.22004/ag.econ.23108},
}