1. Ron Hynes, Executive Director SCORT Conference Chicago, IL October 4, 2016

2. Our Vision: The short line and regional railroad industry performs at a increasingly high level of safety Our Mission: To enhance the safety culture and safety performance of short line and regional railroads through meaningful and productive partnerships

3. How we achieve our mission: Short Line Safety Institute Framework

5. What is Safety Culture? The shared values, actions, and behaviors that demonstrate a commitment to safety over competing goals and demands Definition of Safety Culture:

6. The Need to Improve Safety Culture Two railroad accidents have changed public perception and the regulatory environment of freight railroading. A fatal accident on a commuter road, and another on a short line, affected the entire rail industry. Both were human-factor accidents

7. The Need to Improve Safety Culture Two railroad accidents have changed the public perception and regulatory environment of freight railroading. First major accident: September 8, 2008: Metrolink at Chatsworth, CA, 25 Fatalities Employee not following safety rule (use of electronic device) Result = Congressional action to require PTC

8. Two railroad accidents have changed the public perception and regulatory environment of freight railroading. Second major accident: July 6, 2013: A regional railroad at Lac-Mégantic Train not properly secured But - – Why were rules not followed? – Why would they want to park a crude oil train on a steep grade? The Need to Improve Safety Culture

9. Safety = Culture + Compliance Culture Doing The Right Thing and Compliance Doing The Thing Right 9

10. Passenger Aviation Strong Safety Culture Last fatal airline crash was in 2009 Railroads Safety Culture 11 employee fatalities in 2015 Highway Weak safety culture Thousands of fatalities each year

12. The Need for a Safety Institute Reduce human-factor accidents/incidents Improve the safety culture of small and medium size railroads Provide training resources for short lines Provide research on safety needs for this segment of the railroad industry Communicate safety information

13. Reduce human-factor accidents/incidents Human Factor accidents have not been reduced to the same extent on small railroads There is a need to improve safety culture for the next step in reducing accidents Continuing education and training are essential The Need for a Safety Institute

14. Over the last several decades:  Rail equipment and wayside defect detectors have greatly improved = Reduction of mechanical accidents/derailments  Infrastructure has greatly improved = Reduction of track-caused derailments The Need for a Safety Institute

15. On average, large railroads have greatly improved their safety culture with a resulting reduction in human factor accidents The Short Line Safety Institute will fill this gap for the short line and regional railroads that lack the resources of the large railroads The Need for a Safety Institute

16. Who is Eligible for a Safety Culture Assessment? Class II and Class III Railroads Transport Crude Oil or other Hazardous Materials Does not have to be a member of ASLRRA Willing to make the changes necessary to improve safety culture 16

17. Work closely with FRA’s Office of Research, Development, and Technology for aggregate information of SLSI activities FRA is insulated from direct information of SLSI interactions with individual railroads FRA does not get copies of reports, information about findings, or similar info SLSI assessments are not compliance audits

18. How Much Does it Cost the Railroad? A time and resource commitment from the railroad for: Two meetings with the leadership team (one at the start of the assessment, and one at the closeout of the assessment) Employees take a confidential survey Gathering operational material (rule book, etc.) Manger and employee interviews Railroad employees to accompany SLSI personnel while observing crews, shop workers, M/W, etc. 18

20. Determine if the railroad handles crude oil or hazmat Coordinate with senior railroad leadership, pre-visit, advance materials for SLSI to learn about the railroad. Send anonymous survey link to railroad for managers and employees Request operating rules, safety rules, timetable special instructions, etc. Onsite review of railroad’s safety material and required programs such as 217, 237, 240, 242, etc., programs

21. On scene portion of the assessment, various locations, spending time with employees and managers Verbal closeout, open discussion Confidential report Follow-up Resources

22. 10 Core Elements of a Safety Culture 1.Leadership Is Clearly Committed to Safety 2.The Railroad Practices Continuous Learning 3.Decisions Demonstrate that Safety Is Prioritized Over Competing Demands 4.Reporting Systems and Accountability Are Clearly Defined 5.There Is a Safety Conscious Work Environment

23. 10 Core Elements of a Safety Culture 6.Employees Feel Personally Responsible for Safety 7.There Is Open and Effective Communication Across the Railroad 8.Mutual Trust Is Fostered between Employees and the Railroad 9.The Railroad Is Fair and Consistent in Responding to Safety Concerns 10.Training and Resources Are Available to Support Safety

25. Finished up the 2015 Pilot Phase, completed 4 assessments and held closeout meetings Hired and trained four additional assessors Constructed Webpage Delivered two safety webinars per month Scheduled to complete 15 safety culture assessments this year Growing interests from additional railroads, scheduling now for 2017 25

26. Questions?

27. Contact: Ron.hynes@shortlinesafety.org 202-585-3446 Short Line Safety Institute 50 F Street, NW, Suite 700 Washington, DC 20001 www.shortlinesafety.org