2013 SCORT – Ohio Session RRIF: FRA – ORDC Pilot

2013 SCORT – Ohio Session RRIF: FRA – ORDC Pilot Working with the FRA to determine if a state can have a value-added role in providing shortline railroads better access to RRIF Financing. Partnership is the result of comments by Administrator Szabo expressing a desire to get better utilization of the RRIF. Began conversations in Summer ’12. FRA-ORDC MOU signed March 2013.

2013 SCORT – Ohio Session RRIF: FRA – ORDC Pilot Why the Pilot? ORDC has a loan and grant program, but the rail infrastructure needs far exceeds our financial capacity. We have believed there is a role for states beyond providing funding for the credit risk premium. Overall, ORDC thinks we can be value-added to both the shortline railroads and the FRA.

2013 SCORT – Ohio Session RRIF: FRA – ORDC Pilot How is ORDC value-added? For the FRA: ORDC has a good working relationship and a solid knowledge base of Ohio railroads and rail lines, giving us an advantage over the FRA’s Independent Financial Advisors. We can do a lot of screening before the railroads submit the application. For Railroads: ORDC already has an organizational structure in place for project and financial reviews, as well as NEPA.

2013 SCORT – Ohio Session RRIF: FRA – ORDC Pilot Project Status: ORDC has completed our “State Advisor Report”. Ashland Railway submitted its draft application to the FRA on Friday.

2013 SCORT – Ohio Session RRIF: FRA – ORDC Pilot Next Steps: ORDC will continue to work with Ashland and FRA for loan approval. ORDC will identify opportunities to improve process.