How does the LEGO model compare?

Appalachian Transportation Institute (ATI) Research Project Description
Project Number: ATI TRP TRP 99-24
Project Title: Improving Efficiency of Truck/Rail Intermodal Transportation -
The Case of WV

In the fall of 1999, West Virginia�s Department of Transportation, in
conjunction with the Appalachian Regional Commission and a number of State
Development Districts, initiated an examination of transportation flows,
infrastructures, and practices in the western portion of the State.10 This study was
performed by Marshall University�s Rahall Transportation Institute (RTI) Among
the study�s many findings was the observation that container shipping to, from,
and within the region is virtually nonexistent. Given the prevalent linkage
between containerized shipping and international trade, this finding is not
surprising. West Virginia exhibits a relative paucity of international commerce,
ranking 40th among all states in the percentage of Gross State Product that is tied
to exports.
Further study revealed that both the small volume of international
shipments and the associated lack of container traffic is probably linked to the
relatively high costs faced by West Virginia shippers who wish to move goods by
container. Most locations within the State are approximately 500 miles from
east-coast seaports. In such a setting the rail / truck intermodal movements of
containers could possibly represent the preferred modal combination.
Unfortunately, there are no rail / truck intermodal facilities within West Virginia,
so that shippers wishing to use containers must either truck shipments the entire
distance from east coast ports or pay significant drayage charges from rail
facilities in Cincinnati, Columbus, or Pittsburgh.11 For west-coast movements,
where all-truck moves are usually unaffordable, use of an out-of-region rail
facility is generally the only viable alternative. In nearly every case, the result is
the same � West Virginia firms (as well as firms in southern Ohio and eastern
Kentucky) face shipping costs that are $450 - $650 per container higher than the
cost faced by competitors in locations having locally available rail / truck
container services.12 In most international markets, a cost disadvantage of this
magnitude is prohibitive.
To be very clear, the addition of an intermodal facility to the State�s
inventory of transportation infrastructures does not guarantee an increase in the
volume of international trade and a resulting growth in container movements.
However, the lack of such facilities does virtually guarantee that no such increase
in international commerce will be forthcoming.
The ability of a West Virginia intermodal facility to positively affect the
volume of international commerce depends on the extent to which such a facility
could erase the current competitive disadvantage faced by the region�s producers.
At present, it would be possible to develop a facility that handles both
international and domestic containers shipped in a �single -stack� railroad
configuration. 13 Single-stack service is, however, very costly, offering only a
minimal rate advantage over all-truck movements. The ability of regional firms
to effectively compete with other mid-west and mid-Atlantic producers depends
on creating affordable regional access to double-stack container shipping.
Currently, the double -stack movement of containers through West
Virginia is made impossible by clearance restrictions on CSXT and Norfolk
Southern (NS), the two Class I rail carriers that serve the State. Thus, while the
aforementioned RTI study recommended the in-region development of double -
stack service as a possible remedy to lagging international commerce, it is
impossible for the State to act unilaterally on this suggestion. Instead, any
attempt to pursue improved intermodal service must be the product of a public -
private partnership involving the appropriate governmental entities and, at least,
one privately held railroad.
Historically, transportation planners focussed on individual transport
modes. Over the past decade, however, mode-specific attentions have given way
to efforts to efficiently combine disparate modes in ways that provide
transportation users with more flexibility and, at the same time, make better use
of available transportation capacities. This latter approach has received the
generic label of intermodal transportation.
In concept, intermodal transport is not new. For centuries, cargoes have
been transloaded from maritime vessels to land-based vehicles for further
movement and, even now, most cities bear the remnants of �freight houses�
where railroad shipments were transloaded to trucks for final delivery.
The recent focus on intermodal is made novel by its design and purpose.
Historically, two or more modes were seldom used when a single mode could
provide the required service. It was deemed inefficient to incur transload costs
when they might otherwise be avoided. However, in recent decades,
transportation practitioners have succeeded in significantly reducing the costs of
moving cargoes from one mode to another, so that it is now possible to
efficiently combine transport modes. This ability has become important to
planners as mode-specific capacities are exhausted in some locations.
13 In the railroad intermodal container system, a position where a container may be placed
on a rail car is called a platform. Current intermodal rail cars have up to five platforms.
If containers are stacked two-deep on a platform, the configuration is called doublestacking.
Double stacking is highly desirable by the railroads, as it effectively doubles
the capacity of the train without a corresponding increase in track space or crew
requirements.
Initially, the current generation of intermodal transportation was
anchored in the movement of (truck) trailers on (railroad) flat cars (TOFC).
TOFC movements continue to be an important component of the North American
transport network. Nonetheless, the intermodal movement of trailers has been
eclipsed in volume by the movement of containers on flat car (COFC).14
Containerized shipping is particularly prevalent in international shipping, where
ocean going container movements are combined with truck and / or rail for the
land-side leg(s) of the routing.

Primary Investigator Contact Information:
Name: Mark Burton
Institution: Nick J. Rahall II Appalachian Transportation Institute
Address: Marshall University, 400 Hal Greer Blvd., Huntington, WV 25755
Department: Center for Business and Economic Research
Phone: 304-696-23-82
Email address:burtonm@marshall.edu
External Project Contact:
Name: Robert Watson
Institution: WV-DOT
Address:1900 Kanawha Blvd, Charleston, WV
Phone:304-558-3165
Email address: rcwatson@dot.state.wv.us

Project Objective: Identify the Costs and Benefits of modifying railroad
trackage to accommodate double-stack equipment through increasing the size of
railroad tunnels in WV.

Abstract: This project will investigating the potential costs and benefits of
modifying existing railroad trackage so that it can accommodate double-stack
container equipment. The multi-year project involves simulating routings under the
modified cost structure that clearance restriction removal would create in
order to accurately evaluate potential project benefits. Ultimately, if the
results suggest that clearance mitigation is feasible and efficient, the
process could markedly improve West Virginia's access to international
commodity markets.

Task Descriptions:
1.Evaluate Costs of mitigating restrictions on candidate routes;
2.Evaluate benefits of clearance restriction removal;
3.Develop Recommendations.
From its commencement, the overall study will take nearly two years to complete.
During that period, study efforts will be monitored and supervised by a steering
committee whose membership will represent the State's Department of
Transportation, both CSXT and Norfolk Southern, and other interested
constituencies. Principal investigators from will prepare quarterly progress
reports to be furnished to steering committee members in advance of committee
gatherings. At the conclusion of the study process, a draft final report will be
circulated for comment. The final study document will be furnished in both a
paper and electronic copy. Principal investigators will also be available, as
necessary, to explain their research findings.

Milestones, Dates, Schedule Start Date Jan 1, 2001: End Date Dec, 31 2002

Budget: $233,100.00 Total

Student Involvement: The project will provide employment support for at least 1
undergraduate and 1 graduate student. The student workers will support the
Principal Investigator as project assistants. This project is not anticipated to lead
to a student thesis directly.

Relationship to Other Research Projects: None at this time.

Technology Transfer Activities: Final reports will be available on the ATI
website. All, ATI Principal Investigators will present findings through the ATI
Transportation Seminar Series to invited guests from WVDOT, USDOT, other
ATI Principal Investigators, students and other invited guests. Other opportunities
to present the project results will be explored including conferences and peer
reviewed journals, etc.

Potential Benefits of this Project: Enhanced Access to Intermodal Transport

TRB Keywords: Intermodal, Rail, Truck, double-stack container