Presentation to AASHTO Standing Committee On Rail Transportation September 8, 2014

1. ASLRRA Short Line Safety InstituteMission: Enhance safety culture and safety compliance of short line and regional railroads through voluntary, non-punitive partnerships. Presentation to AASHTO Standing Committee On Rail Transportation September 8, 2014

2. Short Line Safety Institute Background

3. Short Line Safety Institute Vision, Mission, and Strategic Goals • Vision: forthe short line and regional railroad industry to be recognized as one of the safest in the world • Mission: to enhance safety culture and safety compliance of short line and regional railroads through voluntary, non-punitive partnerships • Strategic Goals: • to enhance and improve safety practices • to increase the short line and regional railroad industry’s culture of commitment to safety

4. Why Now? Our Railroads – Our Destiny • Rather than the government telling us how to conduct safe operations – we need to lead • It is time to take control of our own destiny • We must show we are the world class leader in safety performance • Taking the initiative will be critical to our success in the upcoming Congressional debate

6. Pilot Project Launch Communication Process

7. Short Line Safety Institute Project Timeline Mission: Enhance safety culture and safety compliance of short line and regional railroads through voluntary, non-punitive partnerships. Ongoing Implementation and Impact Evaluation

8. Short Line Safety Institute Development Team

9. Implementation of the Pilot Project • Assemble the data and analyze to determine elements to communicate back to railroad • Provide senior management with verbal report on findings and observations • Meet with senior management and their designees in working session to determine next steps • Meeting with employees as appropriate • After the visit, provide senior management with written report on findings and observations • Work with senior management on implementation plan American Short Line and Regional Railroad Association

10. Assessment and Transition • ASLRRA and R&D will assess the effectiveness of the Pilot Project and make adjustments as needed to ensure achievement of the goals set forth above • The goal - create a Short Line Safety Institute dedicated to enhancing a strong and enduring safety culture • Pilot Project will transition to a permanent expanded program to include an increasing number of short line assessments • Over time the Institute will not only direct and manage field initiatives but will become an educational source for short lines • The Institute will also develop a data analysis capability for better assessments and a greater understanding of the Short Line industry American Short Line and Regional Railroad Association

11. Short Line Safety Institute • The Institute will heighten the intensity of the safety focus and involvement of short line and regional railroads and their management • The goal of the Institute is to facilitate a strong safety culture in all short line and regional railroads American Short Line and Regional Railroad Association