AAR Committees – An Overview November 13, 2009 ACACSO Meeting New Orleans, LA Jeff Usher, AVP Business Services, AAR

AAR Committees – An Overview

November 13, 2009ACACSO MeetingNew Orleans, LA

Jeff Usher, AVP Business Services, AAR

NOVEMBER 13, 2009 © ASSOCIATION OF AMERICAN RAILROADSPAGE 2

AAR Mission and Vision

AAR MissionTo add value to the North American railroad industry by fostering improved safety, security, service, efficiency and profitability through leadership and coordination on industry issues.

AAR VisionTo be recognized by industry leaders and valued by public policy decision makers as the definitive voice of the North American rail industry.


AAR Full Members


AAR Structure


Structure

AARHeadquarters

Safety and Operations

Policy and Economics

Law

Government Affairs

Communications

Administration and Finance


Committee Structure is approved by the AAR Board


Who We Regularly Interact With

Department of Defense (DOD)

Federal Highway Administration (FHWA)

Transport Canada

Transportation Safety Board of Canada

Secretario de Communicaciones y Transportes (SCT – Mexico)

Department of Homeland Security (DHS)

Federal Railroad Administration (FRA)

National Transportation Safety Board (NTSB)

Pipeline and Hazardous Materials Safety Administration (PHMSA)

Environmental Protection Agency (EPA)

Department of Energy (DOE)

Surface Transportation Board (STB)

Federal Communication Commission (FCC)

Federal Motor Carrier Safety Administration (FMCSA)

Department of Justice (DOJ)

Nuclear Regulatory Commission (NRC)


AAR senior management committees report to the AAR Board of Directors. They …..

…create and prioritize AAR’s agenda within their area of responsibility;

…approve policies, standards, and projects that are in the best interest of the industry;

…form and manage working committees and task forces to achieve AAR’s objectives;

…review and approve the work product descriptions of working committees and task forces;

…provide direction to working committees and task forces; and,

…ensure that adequate and appropriate industry resources are allocated to working committees and task forces.


Background

AAR Board of Directors at its June 2, 2009 meeting directed the AAR to prepare a comprehensive transition plan to decommission the Network Efficiency Management Committee (NEMC) that included the realignment of the reporting relationships of the NEMC subordinate committees.

The AAR Board of Directors will consider this plan at its September 21, 2009 meeting.


Business Services Working Committee (BSWC) is a new key committee supported by AAR and Railinc

To develop and implement strategies that integrate industry and individual railroad business processes into quality services that deliver continuous improvements in customer satisfaction.

Consists of Committee Chairs for Customer Service, Equipment Assets, Railinc Project Support, Umler and Shortline Information Improvement

Current PrioritiesCustomer Satisfaction

Equipment Asset Management

Interline Service Management

Interline Revenue Back-shop Improvements

Transborder Initiatives


Committee Governance - Continued

BSWC to oversee subordinate committees Customer Service Committee (CSC) Equipment Assets Management Committee (EAMC) UMLER – EMIS Committee (UMLER) Railinc Project Support Committee (RPSC) Shortline Information Improvement Committee (SLIIC)

North American Box Car Pool Executive Committee (NABPEC) and Multilevel Pool Executive Committee (MPEC) retain “update” relationship with BSWC


Committee Governance

Create Business Services Working Committee (BSWC) BSWC to report to SOMC BSWC to be Chaired by Class I member of the

Committee on Compensation Remaining BSWC membership comprised of BSWC

subordinate committee Chairpersons.


BSWCSubordinate Committees

Customer Service Committee

Addresses customer and customer support issues from an industry perspective

Interline Revenue Committee

Manage data quality and promote business processes to permit accurate communication of price, billing, collection and settlement information

Transborder Committee

Expedite movement of import/export traffic through the promotion of uniform process definitions and simplification of reporting requirements

Electronic Commerce Committee

Facilitate the exchange of information among customers, transportation providers and partners using the best available technology


A Number of BSWC Subordinate Committees are Supported by Railinc Resources

EDI Committee

Provides an Information technology interface to the “user” community

Equipment Assets Committee

• Responsible for maximizing inter-railroad car utilization

Railinc Project Support Committee – NEW

Provides critical oversight, communication and Railinc development project status between Railinc and SOMC business process owners


Safety and Operations Management Committee (SOMC)

Provides overall authority for industry standards (interchange, safety, environmental, hazmat and communications and signal) and develops strategy and provides direction for new initiatives.

Consists of chief operating officers from AAR Member Roads

Current Priorities

Interline Service Management

Interoperable Communications Strategy

Chicago Project

North American Joint PTC ProjectReducing stress and service state of the industry


SOMC Subordinate Committees

Technical Services Working CommitteeResponsible for matters relating to the physical assets of the railroad

industry. Open Top Loading Rules Committee

Quality Assurance Committee

Arbitration & Rules Committee

Equipment Engineering Committee

Wheels, Axles, Bearings & Lubrication Committee

Braking Systems

Specially Equipped Freight Car Committee

Car Repair Billing Committee

Locomotive Committee

Damage Prevention & Freight Claims

Intermodal Committee


SOMC Subordinate Committees (Cont)

Risk Management Working CommitteeDevelop and guide industry efforts to reduce

environmental and safety risks of rail transportation. The following committees report to

Risk Management:– Hazardous Materials Committee– Non-Accident Release Reduction Task Force– Environmental Affairs Committee– Tank Car Committee– Nuclear Waste Transportation Task Force– Grade Crossing & Trespass Prevention Committee– Committee on Locomotive Emissions & Energy– Railroad Geographic Information Systems Committee


Policy and Advocacy Management Committee (PAMC)

Consists of legal and policy representatives from AAR Member Roads

Issues

– Coordinate rail opposition to re-regulation U.S. Freight Railroads

– Investment Tax Credit

– Clear Skies Initiative

– Truck Size and Weight


PAMCSubordinate Committees

- Antitrust Working Committee

- Border Policy Committee

- Chief Legal Officers

- Communications Committee

- Economic Regulation Working Committee

- Environmental Working Committee

- Safety Regulation Working

Committee

- Spectrum Legal Working Committee

- Tax Policy Working Committee

- Tort Matters Working Committee

- Truck Size and Weight Committee

- Washington Representatives


Working Committees and their Subordinate Committees:(Working committees report directly to management committees.)

• They develop positions, standards, and data in support

of AAR’s objectives

• In doing so, they must ensure that the policies,

standards, projects, and activities they engage in

conform to the expectations of their parent committee;

• and are consistent and coordinated with other working

committees and task forces. Committees report to

working and standing committees


So, what’s a TAG and what’s a Task Force?

Technical Advisory Groups (TAG)•are commissioned by and report to committees or task forces•they exist to provide technical advice and guidance on a specific project or activity•once the project is completed, the TAG will disband

Task Forces (TF)•are formed to progress segments of a working committees or subordinate committee docket items•formation must be approved by AAR division head (e.g. Jeff Usher)•can exist until dissolved by the chair or AAR division head


SOMC Organization Chart

Safety and Operations

Management Committee

(O-T General Committee)

TechnicalServicesWorking

Committee

Railroad SecurityWorking

Committee

InteroperableOperations

Working Committee

Arbitration and Rules Committee

ATSI/EHMSSteering

Committee

Locomotive Committee

EquipmentEngineeringCommittee

Open TopLoading Rules

Committee

Quality AssuranceCommittee

DamagePrevention and

FreightClaims Committee

RailwayTechnology

Working Committee

Risk Management

Working Committee

Terminal Oversight

Working Committee

IntermodalWorking

Committee

BusinessServicesWorking

Committee

CustomerService

Committee

ElectronicCommerceCommittee

InterlineRevenue Committee

Equipment AssetsCommittee

UMLERCommittee

Railinc Project Support

Committee

1 North AmericanBoxcar PoolExecutiveCommittee

1 MultilevelPool

ExecutiveCommittee

PTC PolicyCommittee

Train ControlCommunications and

OperationsCommittee

SignalCommittee

WirelessCommunications

Committee

Railway ElectronicsStandards Committee

AEI Committee

Mechanical andVehicle Track

Systems ResearchCommittee

Heavy Axle LoadEngineeringResearch

Committee

TechnologyScanning

Working Committee

LocomotiveEmissions and

Energy Committee

Tank Car Committee

Hazmat (BOE) Committee

GIS Committee

EnvironmentalAffairs Committee

MedicalCommittee

Nuclear WasteTransportation

Task Force

Grade Crossingand Trespasser

PreventionCommittee

Asset ConditionVisibility

Task Force

ChicagoPlanning Group

New OrleansPlanning Group

IntermodalOperations

Subcommittee

IntermodalCar Performance

Subcommittee

3 Committee on Compensation

Shortline Information

Improvement Committee

Transborder Committee

Gateway Performance Improvement Committee

1 MPEC and NABPEC set policy and operate procedurally in accordance with the ICC-approved pooling agreements under which they were established and continue to operate under authority transferred to the Surface Transportation Board (STB) as a result of the enactment of the ICC Termination Act.

2 The Committee on Compensation is prescribed in the April 16, 1986 Section 10706 Agreement and relates to procedures for the establishment and modification compensation for the use of freight cars and other transportation equipment furnished by shippers, and rules and regulations pertaining thereto. The dotted line connector represents an informational relationship.


Conclusion

Thank you!

Questions?

Contact Information:Jeff Usher

202-639-2370

[email protected]

Documents

AAR Committees – An Overview November 13, 2009 ACACSO Meeting New Orleans, LA Jeff Usher, AVP Business Services, AAR