Scoville_dh_vs.doc

VERIFIED STATEMENT OF DOUGLAS SCOVILLE

My name is Douglas Scoville. I am Chairman of the Idaho Barley Commission. My business address is 1199 Main Street, Suite G, Boise, Idaho 83702. I was appointed as a member of the Barley Commission in 1998 and currently serve as its Chairman. I have grown and shipped barley and other grains for the past 30 years. My present position requires that I be familiar with the production, transportation, processing, and marketing of barley on both a national and international basis. I am familiar with the transportation of barley from the rail line of Camas Prairie RailNet, Inc. (CSPR) on the Grangeville line.
The proposed abandonment of the Grangeville line will cause significant economic harm to more than 670 barley producers in Lewis, Nez Perce, and Idaho Counties. These producers rely on rail service to move their barley to market. More than 57,000 acres of barley are planted in these three counties generating more than 74,000 tons or 3.1 million bushels per year. Production in Lewis and Idaho Counties, which are directly served by this branch line, total more than 56,000 tons or 2.34 million bushels. Currently, all of the malting barley produced in these counties—approximately 40,000 tons or 1.67 million bushels—is transported on the Grangeville line. Processors of malting barley only receive barley shipments by rail—these malting houses have no facilities to receive truck shipments.
The increase in direct transportation costs that will result from shifting these movements from CSPR’s Grangeville line to truck will be about $4.00 to $5.00 per ton or 5% of the producer’s current selling price. For malting barley alone, the increased costs for track transportation is approximately $200,000. Loss of rail service will also increase other costs including elevator and handling fees. In total, these costs will threaten the future profitability of malting barley production on the Camas Prairie, which has been a desirable location for malting barley due to quality production and favorable logistics.
Abandonment of the Grangeville line will force malting barley processors to look elsewhere for their malting barley production. This will leave producers on the Camas Prairie with one less production option in an already economically stressed farm economy.
Rail service from the Camas Prairie is an intrical part of the multi-million dollar malting barley industry in this part of Idaho. A loss in rail service will strike a serious blow to all grain producers who are already reeling from 20-year low prices and higher production costs. The abandonment will cause serious and significant harm to the rural economy and community development.

VERIFICATION

State of Idaho )
) ss
County of Latah )

DOUGLAS SCOVILLE, Chairman, Idaho Barley Commission, being duly sworn, deposes and states that he has read the foregoing Verified Statement, knows the facts asserted therein, and that the same are true as stated.

DOUGLAS SCOVILLE

SUBSCRIBED AND SWORN to before me this day of July 2000.

Notary Public, State of Idaho
Resident in _______________, Idaho

My Commission expires on:

STB DOCKET NO. AB-564
V.S. SCOVILLE 1