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That's so far in the middle of nowhere I doubt it makes much of a difference, but you're right.... though the western tracks terminate in Mansfield which isn't that far to the north.. the eastern tracks go up to aberdeen so I'd imagine there's a fair amount of traffic on that one.
The train tracks go right through the heart of Brookings also and lots of businesses use them. People just kind of adapt. I've never lived right up against the tracks though.
Bing shows where watertown's used to be but all of them but one are gone.