The Rutland and Washington Railroad

Salem, NY was in need of reliable transportation for goods and passengers.  In 1849 a Charter was obtained to construct a rail line between Salem, NY and Rutland, VT.  Construction begun in 1850.  Maintenance facilities, a roundhouse and depot were constructed in Salem.  Around the same time construction of the Troy and Rutland Railroad began between Eagle Bridge and Salem, NY.  The 60 mile line was completed in 1852 at a cost of approximately one million dollars.  The line connected with the Troy and Boston RR at Eagle Bridge and with the Rutland RR in Rutland, VT.
Passenger service between Rutland and Troy, NY began in 1852.  Stations were built along the line to serve the towns along the route.  In addition to maintaining locomotives and railcars, the shops in Salem constructed boxcars and gondolas for use by the railroad.
In addition to hauling passengers, the route was an efficient means for shipping slate, marble and other products.  Milk was shipped to Boston in refrigerated cars, and local ice provided cooling for the product.  Potatoes became a popular commodity that was shipped by rail.
In 1867, the Delaware and Hudson Railroad and Canal Company gained title to the railroad and continued operations.  The maintenance facilities were closed and the roundhouse was demolished.  Passenger service was discontinued in 1934.
Eventually the tracks between Salem and Rutland were abandoned, and freight service between Salem and Eagle bridge is provided by the Batenkill Railroad.
You may read more about this line in the following books, as well as resources noted at the end of the video.
Railroads of Vermont Volume 1 by Robert C. Jones
Delaware and Hudson by Jim Shaughnessy