Issue Concerning Transfers of Wealth as a Result of State Rail Freight Assistance Programs

US Transportation Collection1980PDFOtherGriffin, Gene C.Berreth, GaryNorth Dakota State UniversityUpper Great Plains Transportation InstituteUpper Great Plains Transportation InstituteUnited StatesAbandonmentBranch linesFreight transportationMain linesRailroadsTransfer of wealthUGPTI Staff Paper No. 8Section 803 of the Railroad Revitalization and Regulatory Reform Act of 1975 as amended in 1979 provides for public financial assistance to states on an 80/20 matching basis for state rail freight assistance programs. The program is a direct result of the financial condition of the railroad industry and the corresponding current disinvestment that is taking place in the form of abandonment of branch lines and occasionally main lines.127