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This paper briefly reviews past policy of the Interstate Commerce Commission toward railway abandonment and the changes in federal policy with regard to abandonment provided by the 3R and 4R Acts. The results of the listing of candidates for abandonment by the railways are noted, and the information relevant for abandonment policy provided by impact and cost function studies is summarized. The role of state rail planning is noted.
The report asserts the probability of future widespread abandonments of branchline rail freight service. It stipulates the circumstances in which abandonments are most likely to occur, and assesses the negative impacts that may result. It is suggested that short line railroad operations may be an alternative to the complete loss of rail service. The report describes the savings that may accrue through a changeover from major railroad ownership to short line operation. Alternative institutional and financial mechanisms for establishing and operating short line roads are discussed. A broad description of capital and operating costs is given. Finally, several examples are provided of successful short line operations in the United States.