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Determining the Potential Economic Viability of Inter-Modal Truck-Rail Facilities in Washington State

Description: Efficient freight mobility is the result of successfully balancing the demand for transportation capacity and service with the quantity supplied of those services and capacities. A growing number of communities and economic interests in the state of Washington recognize that efficient freight movement is directly associated with the health of their local and regional economies. As a result, state and local governments are being asked to improve freight mobility through operational improvements and new public infrastructure. Inter-modal truck-rail facilities, where goods are transferred from truck to rail or vice-versa, for shipment to domestic markets or through gateways to international markets, are offered, or sought, as a means of improving the freight movement in the area.

Proposed public investment in such inter-modal facilities raises at least two questions: Will the facility succeed in the private market place by generating a sustaining return as a commercial investment? And, is any public investment justified based on the public benefits involved? It is the combination of internal efficiencies and external competition that will affect the economic viability of the inter-modal facility itself. A great deal of information and analysis is needed to identify these necessary attributes and those operating characteristics that "would or could" produce private economic viability and, if necessary, a required rate of return on public investment. 

The general purpose of this research was to investigate and develop an applied methodology for determining the potential economic viability of inter-modal truck-rail facilities in Washington State. The focus was on discerning the attributes, characteristics or market situations that are associated with successful projects, thereby suggesting a framework for economic feasibility analysis of an inter-modal truck-rail facility.

  • Date Published: December, 2004
  • Publication Number: WA-RD 605.1
  • Last Modified: April 18, 2007
  • Authors: Ken Casavant, Eric Jessup, Angelica Monet.
  • Originator: Washington State University. School of Economic Sciences.
  • # of Pages: 77 p., 425 KB (PDF)
  • Subject: Containerization, Economic analysis, Freight service, Intermodal services, Markets, Truck facilities, Truck terminals, Trucking, Railroad terminals.
  • Keywords: Commerce, containerization, freight, inter-modal, railroad terminals, truck terminals, trucking, rail, Washington State.
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This abstract was last modified January 26, 2009