The book was "The HO Primer". The same trackplan appears in the January 1961 issue of Model Railroder on page 51 as "Drago & East Ridge Ry"
Entering the word "Nescher" into this site's Model Train Magazine Index reveals that the article on the Nescher and South Valley was originally in HO Monthly/Model Trains magazine (once published by Kalmbach) in the Spring 1961 issue.
And the listing for the book.
Layout Design GalleryLayout Design Special Interest Group
I know I am responding many months after you posted this question, but I just happened to purchase the book in question today. This layout is displayed on p. 71 and described on p. 74 of Matt Coleman's The Model Railroader's Guide to Logging Railroads. It is certainly an interesting layout with a hidden wye in it as well as a turntable.
I need help finding a track plan and information on the Nescher and South Valley Mineral RR. I believe this railroad was featured in a book by Kalmbach but I don't remember which one. Does anyone know what book has this railroad, and if so, is it still available?
Thanks,
Ken Deboy