2023-11-14T17:40:39-06:00 2022-12-31 420714325 RSM US LLP 7351 OFFICE PARK PLACE MELBOURNE FL 329408229 990 2022-01-01 536000125 ASSOCIATION OF AMERICAN RAILROADS ASSO 2026392100 425 3RD ST SW 1000 WASHINGTON DC 20024 PAUL HEDRICK SR VP, FINANCE & ADMIN & CFO 2026392100 2023-11-14 1 PAUL HEDRICK 536000125 0 KELLI PECK P01423033 3217516200 2023-11-07 3 AAL1 IAL1 2022 2023-04-26 12:10:37Z IAN JEFFERIES 425 3RD ST SW 1000 WASHINGTON DC 20024 59871227 0 X WWW.AAR.ORG X 1934 DC TO PROMOTE THE COMMON INTERESTS OF RAILROADS. 12 12 85 13 57237 36986 0 159812 52728379 55761092 12086 45582 3991929 3809203 56732394 59775689 1657505 1507338 0 0 18284670 18147572 0 0 0 32816384 40178236 52758559 59833146 3973835 -57457 28256585 28089328 31970027 23133422 -3713442 4955906 AAR PROMOTES A SAFE AND EFFICIENT NORTH AMERICAN RAIL SYSTEM WITH PRINCIPAL ACTIVITIES IN AREAS SUCH AS STANDARDS, OPERATIONS, SAFETY, SECURITY, PUBLIC AFFAIRS AND PUBLIC POLICY. 0 0 STRATEGIC RESEARCH INITIATIVES (SRI):THE SRI PROGRAM FOCUSES ON RESEARCH THAT WILL MAKE RAIL TRANSPORTATION SAFER, MORE EFFICIENT, AND MORE RELIABLE. THE CURRENT SRI PROGRAM INCLUDES PROJECTS ADDRESSING SIGNALS, TRAIN CONTROL, AUTOMATED OPERATIONS, TRACK, BRIDGES, AND RAIL CAR COMPONENTS SUCH AS WHEELS, BRAKES, AND COUPLERS. INTEGRATED COMMUNICATIONS CAMPAIGN:A PROGRAM OF MEDIA OUTREACH, PUBLIC AFFAIRS, ADVERTISING, AND CONTENT DEVELOPMENT THAT FOCUSES ON (1) HOW THE FREIGHT RAIL INDUSTRY CONSISTENTLY AND EFFICIENTLY DELIVERS ECONOMIC AND ENVIRONMENTAL BENEFITS TO AMERICANS, (2) HOW RAILROADS USE MODERN TECHNOLOGY TO IMPROVE SAFETY AND PROVIDE PUBLIC BENEFITS INCLUDING A SAFE, FUEL EFFICIENT WAY TO MOVE GOODS AND CONNECT US TO THE GLOBAL ECONOMY, AND (3) PRESERVING BALANCED REGULATION OF THE FREIGHT RAIL INDUSTRY. PRESERVING BALANCED REGULATION:A PROGRAM TO PROMOTE THE BALANCED REGULATORY STRUCTURE REQUIRED TO ALLOW RAILROADS THE OPPORTUNITY TO ACHIEVE A REASONABLE RATE OF RETURN AND TO CONTINUE THEIR SUBSTANTIAL INVESTMENT IN THE NORTH AMERICAN RAIL NETWORK. SUCH REINVESTMENT IS CRITICAL IF RAILROADS ARE TO BE ABLE TO ADDRESS THE CAPACITY CHALLENGES THAT INCREASED RAIL DEMAND FOR TRANSPORTATION BRINGS. 0 1 0 1 0 0 0 1 0 1 1 0 1 1 1 0 1 0 0 0 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 1 0 0 0 0 1 1 0 0 1 57 0 1 85 1 1 1 0 0 0 1 1 0 1 0 X 12 12 0 0 0 0 1 0 1 1 1 0 0 1 1 1 1 1 1 1 1 0 DC X PAUL HEDRICK SR VP FINANCE & CFO 2026392100 425 3RD ST SW 1000 WASHINGTON DC 20024 KEITH CREEL DIRECTOR 1.00 X 0 0 0 KATHRYN M FARMER DIRECTOR 1.00 X 0 0 0 LANCE FRITZ DIRECTOR 1.00 X 0 0 0 PETER A GILBERTSON DIRECTOR 1.00 X 0 0 0 JOHN HELLMANN DIRECTOR 1.00 X 0 0 0 JOE HINRICHS DIRECTOR 1.00 X 0 0 0 FERNANDO LOPEZ-GUERRA DIRECTOR 1.00 X 0 0 0 PATRICK OTTENSMEYER DIRECTOR 1.00 X 0 0 0 EDWARD QUINN DIRECTOR 1.00 X 0 0 0 TRACY ROBINSON DIRECTOR 1.00 X 0 0 0 ALAN SHAW DIRECTOR 1.00 X 0 0 0 DAN SMITH DIRECTOR 1.00 X 0 0 0 IAN N JEFFERIES PRESIDENT, CEO 39.00 1.00 X 1647119 0 80250 PAUL R HEDRICK SVP-FIN. & ADMIN. & CFO 36.00 4.00 X 474739 0 61923 JEFFREY D MARSH SVP-FINANCE & CFO (THRU 3/22) 36.00 4.00 X 281331 0 31074 EDWARD A KENDALL JR CORPORATE SECRETARY 39.00 1.00 X 240189 0 53735 TIMOTHY J STRAFFORD CORPORATE SECRETARY (THRU 5/31/22) 39.00 1.00 X 130767 0 28858 KATHRYN D KIRMAYER SVP-LAW & GENERAL COUNSEL 39.00 1.00 X 652362 0 64132 MICHAEL J RUSH SVP-SAFETY & OPERATIONS 36.00 4.00 X 500128 0 57304 KRISTIN A SMITH SVP-COMMUNICATIONS 39.00 1.00 X 426002 0 79438 ADRIAN ARNAKIS SVP-GOVERNMENT AFFAIRS 40.00 X 553126 0 57818 JOHN T GRAY SVP-POLICY & ECONOMICS 39.00 1.00 X 417782 0 56945 DANIEL SAPHIRE ASSOCIATE GENERAL COUNSEL 40.00 X 286238 0 87980 WILLIAM C THOMPSON PROGRAM MANAGER 40.00 X 335640 0 66830 JOHN MILLER ASSOCIATE GENERAL COUNSEL 40.00 X 273535 0 66745 6218958 0 793032 49 0 1 0 TRANSPORTATION TECHNOLOGY CENTER INC 55500 DOT ROAD PUEBLO CO 810010130 TESTING & RESEARCH 21204211 HOME FRONT COMMUNICATIONS INC 1201 NEW YORK AVE NW STE 900E WASHINGTON DC 20005 PAID MEDIA CONSULTING & ADVERTISING 3932332 MUNGER TOLLES & OLSON LLP 805 15TH ST NW STE 200 WASHINGTON DC 20005 LEGAL CONSULTING 1579112 FTI CONSULITING 16701 MELFORD BLVD SUITE 200 BOWIE MD 20715 CONSULTING 762070 GIBSON DUNN & CRUTCHER LLP 1050 CONNECTICUT AV NW WASHINGTON DC 20036 LEGAL CONSULTING 500000 20 159812 159812 159812 MEMBERSHIP DUES 900099 42876724 42876724 INDUSTRY SUPPORT 900099 8187754 8187754 USER FEES 900099 3892868 3892868 LICENSING 900099 438294 438294 MEETINGS & CONFERENCES 812900 146049 146049 219403 219403 55761092 53711 53711 86795 0 86795 86795 86795 87409 93294 2244 -5885 -2244 -8129 -8129 INTERCO COST SHARE 900099 3357303 3357303 OTHER REVENUE 900099 269688 269688 MEMBERSHIP DIRECTORY A 541800 57237 57237 38180 38180 3722408 59775689 59118395 57237 440245 X 1507338 4849624 10013406 253404 1390171 1640967 3039823 193090 912983 11247000 2614237 44683 437944 2103766 702122 49534 2169 625555 244432 INTERCOMPANY EXPENSES 17384841 DUES & SUBSCRIPTIONS 336097 INCOME TAX/DEFERRED TAX 154215 85745 59833146 13390454 9033554 1121993 842911 751988 834097 6312682 5140248 1603722 1172434 735161 743730 8970899 9880711 1682368 5581891 28256585 28089328 7649467 4359758 1201339 1227073 745841 530857 22373380 17015734 31970027 23133422 X -3713442 3655906 1300000 -3713442 4955906 28256585 28089328 X -57457 -43095 8769900 X 0 1 X 1 0 RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 0 1 42876724 4744572 -181849 4562723 4930823 -368100 0 1 X 3212762 2602528 610234 973214 923639 49575 2126706 1614081 512625 1172434 9880711 C 9880711 CUSTODIAL FUNDS 530857 DEFERRED TAX ASSET 9789 OTHER POST-EMPLOYMENT BENEFITS 1319595 RIGHT-OF-USE ASSETS 3260668 DEFERRED COMPENSATION 460982 5581891 CURRENT PORTION-OPEB LIABILITY 130382 ACCRUED PENSION COST 11891858 LEASE LIABILITY 4993494 17015734 X PART IV, LINE 2B: CUSTODIAL FUNDS ARE CARRIED AS AN ASSET AND AS AN OFFSETTING LIABILITY IN THE ASSOCIATION'S BALANCE SHEET. THE ASSOCIATION ACTS AS CUSTODIAN AND AGENT ON BEHALF OF CERTAIN RAILROAD INDUSTRY RELATED ORGANIZATIONS FOR WHICH THE ASSOCIATION PROVIDES ADMINISTRATIVE SERVICES. PART X, LINE 2: MANAGEMENT EVALUATED THE ASSOCIATION'S PRECONSOLIDATED TAX POSITIONS AND CONCLUDED THAT THE ASSOCIATION HAS TAKEN NO UNCERTAIN TAX POSITIONS THAT REQUIRE ADJUSTMENT TO THE CONSOLIDATED FINANCIAL STATEMENTS TO COMPLY WITH THE PROVISIONS OF THIS GUIDANCE. 1 COALITION AGAINST BIGGER TRUCKS LLC (CABT) 109 N FAIRFAX STREET SECOND FL ALEXANDRIA VA 22314 943229678 501(C)(4) 600000 0 PROGRAM SUPPORT CONGRESSIONAL BLACK CAUCUS INSTITUTE (CBCI) 413 NEW JERSEY AVE SE WASHINGTON DC 20003 522270607 501(C)(4) 17500 0 EVENT SUPPORT CONGRESSIONAL INSTITUTE INC 1700 DIAGONAL ROAD STE 730 ALEXANDRIA VA 22314 521504189 501(C)(4) 27500 0 PROGRAM SUPPORT GORAIL 425 THIRD ST SW STE 940 WASHINGTON DC 20024 352226505 501(C)(4) 600000 0 PROGRAM SUPPORT METROPOLITAN PLANNING COUNCIL 140 SOUTH DEARBORN ST 1400 CHICAGO IL 60603 362382849 501(C)(3) 10000 0 EVENT SUPPORT NATIONAL ACADEMY OF SCIENCES 500 5TH STREET NW WASHINGTON DC 20001 530196932 501(C)(3) 38633 0 PROGRAM SUPPORT NCSL FOUNDATION FOR STATE LEGISLATURES 7700 EAST FIRST PLACE DENVER CO 80230 742232576 501(C)(3) 10000 0 PROGRAM SUPPORT SURFACE TRANSPORTATION POLICY PROJECT 750 FIRST ST NE SUITE 1130 WASHINGTON DC 20002 521864166 501(C)(3) 50000 0 PROGRAM SUPPORT JOHN W BARRIGER III NATIONAL RAILROAD LIBRARY AT UNIVERSITY OF MISSOURI 1 UNIVERSITY BLVD ST LOUIS MO 631214400 436003859 501(C)(3) 7500 0 PROGRAM SUPPORT CONGRESSIONAL HISPANIC CAUCUS INSTITUTE INC 1128 16TH ST NW WASHINGTON DC 20036 521114225 501(C)(3) 15000 0 EVENT SUPPORT OPERATION LIFESAVER 425 THIRD ST SW 915 WASHINGTON DC 20024 742459189 501(C)(3) 24339 0 PROGRAM SUPPORT BECAUSE OF ELIZABETH FOUNDATION INC PO BOX 214 MCLEAN VA 22101 300220742 501(C)(3) 5848 0 PROGRAM SUPPORT 8 4 PART I, LINE 2: AAR AWARDS ASSISTANCE TO ORGANIZATIONS RECOGNIZED AS TAX-EXEMPT UNDER IRC SECTION 501(C) OR AS A COLLEGE OR UNIVERSITY. THE PARTICIPANTS PRODUCE A REPORT SUMMARIZING THEIR WORK AFTER EACH PHASE. X X 1 1 X X X X X 0 0 0 IAN N JEFFERIES PRESIDENT, CEO 1090201 0 550000 0 6918 0 28728 0 59408 0 1735255 0 0 0 KATHRYN D KIRMAYER SVP-LAW & GENERAL COUNSEL 466774 0 142642 0 42946 0 28054 0 43826 0 724242 0 0 0 ADRIAN ARNAKIS SVP-GOVERNMENT AFFAIRS 422827 0 129323 0 976 0 25569 0 39779 0 618474 0 0 0 MICHAEL J RUSH SVP-SAFETY & OPERATIONS 378049 0 114073 0 8006 0 54174 0 6289 0 560591 0 0 0 PAUL R HEDRICK SVP-FIN. & ADMIN. & CFO 355084 0 116130 0 3525 0 23374 0 45254 0 543367 0 0 0 KRISTIN A SMITH SVP-COMMUNICATIONS 324064 0 100230 0 1708 0 36373 0 50018 0 512393 0 0 0 JOHN T GRAY SVP-POLICY & ECONOMICS 396383 0 0 0 21399 0 25498 0 37658 0 480938 0 0 0 WILLIAM C THOMPSON PROGRAM MANAGER 264308 0 43842 0 27490 0 35103 0 34679 0 405422 0 0 0 DANIEL SAPHIRE ASSOCIATE GENERAL COUNSEL 241956 0 40076 0 4206 0 48543 0 42544 0 377325 0 0 0 JOHN MILLER ASSOCIATE GENERAL COUNSEL 229154 0 40000 0 4381 0 22929 0 47777 0 344241 0 0 0 JEFFREY D MARSH SVP-FINANCE & CFO (THRU 3/22) 91063 0 147219 0 43049 0 22166 0 10524 0 314021 0 0 0 EDWARD A KENDALL JR CORPORATE SECRETARY 211881 0 27600 0 708 0 14609 0 43862 0 298660 0 0 0 TIMOTHY J STRAFFORD CORPORATE SECRETARY (THRU 5/31/22) 107262 0 0 0 23505 0 13541 0 16787 0 161095 0 0 0 PART I, LINE 1A TAXABLE HOUSING ALLOWANCE: WILLIAM C THOMPSON $14,234 NONTAXABLE SOCIAL CLUB DUES: IAN JEFFRIES $10,479; WILLIAM C. THOMPSON $180 X VARIOUS PROPERTY 1 159812 FMV 0 0 1 0 PART I, COLUMN (B): NUMBER OF CONTRIBUTORS FORM 990, PART VI, SECTION A, LINE 6 ORGANIZATION'S MEMBERS: THE AAR BYLAWS DESCRIBE TWO TYPES OF MEMBERS: FULL MEMBERS AND SPECIAL MEMBERS. A.FULL MEMBER: ANY RAILROAD ORGANIZED UNDER THE LAWS OF THE UNITED STATES OR ANY STATE THEREOF AND CLASSIFIED BY THE SURFACE TRANSPORTATION BOARD AS A CLASS I RAIL CARRIER IS ELIGIBLE TO BECOME A FULL MEMBER. UPON WRITTEN APPLICATION TO AND WITH THE APPROVAL OF THE BOARD, ANY OTHER RAILROAD OR ANY SWITCHING OR TERMINAL COMPANY MAY BE ADMITTED AS A FULL MEMBER. B.SPECIAL MEMBER: UPON WRITTEN APPLICATION TO AND WITH THE APPROVAL OF THE BOARD, ANY RAILROAD ORGANIZED UNDER THE LAWS OF CANADA OR MEXICO OR ANY GOVERNMENTAL SUBDIVISION THEREOF MAY BE ADMITTED AS A SPECIAL MEMBER. FORM 990, PART VI, SECTION A, LINE 7B AAR CORPORATE DOCUMENTS ALLOW FOR DECISIONS TO BE APPROVED BY MEMBERS TO THE EXTENT PROVIDED BY LAW. ALL MATTERS ARE SUBJECT TO APPROVAL IN ACCORDANCE WITH STATE/LOCAL LAW. FORM 990, PART VI, SECTION B, LINE 11B THE FORM 990 IS REVIEWED BY THE PRESIDENT PRIOR TO FILING. THEN A COPY OF THE RETURN IS PROVIDED TO EACH MEMBER OF CURRENT GOVERNING BODY - VIA SECURE ONLINE LINK TO PDF DOCUMENT. THE DIRECTORS ARE GIVEN AN OPPORTUNITY TO REVIEW, DISCUSS, AND ASK QUESTIONS BEFORE THE RETURN IS FILED WITH THE IRS. FORM 990, PART VI, SECTION B, LINE 12C AN ANNUAL WRITTEN CONFIRMATION OF COMPLIANCE WITH THE ORGANIZATION'S CONFLICT OF INTEREST POLICIES IS REQUIRED FROM ALL AAR EMPLOYEES AND DIRECTORS. THE ANNUAL CONFLICT OF INTEREST DISCLOSURES OF EMPLOYEES ARE REVIEWED BY THE GENERAL COUNSEL. DISCLOSURES OF THE GENERAL COUNSEL ARE REPORTED TO THE CEO. IN THE EVENT OF AN ACTUAL OR POTENTIAL CONFLICT, AAR WOULD INVESTIGATE AND TAKE APPROPRIATE ACTION TO AVOID SIGNIFICANT CONFLICT. SUCH ACTION WOULD INCLUDE THAT THE CONFLICTED PERSON DOES NOT PARTICIPATE IN THE REVIEW, RESOLUTION PROCESS, OR ANY DELIBERATION/DECISION MAKING RELATED TO THE MATTER. FOLLOW UP ACTIONS ARE TAKEN AS NEEDED BY AAR GENERAL COUNSEL OR THE CEO. FORM 990, PART VI, SECTION B, LINE 15 COMPARABILITY DATA IS PREPARED BY AN INDEPENDENT COMPENSATION CONSULTANT FOR EXECUTIVE (CEO AND VICE PRESIDENTS) COMPENSATION. THAT INFORMATION IS PROVIDED ANNUALLY TO THE ORGANIZATION'S GOVERNANCE COMMITTEE AS PART OF ITS ANNUAL BUDGET DELIBERATIONS. EXECUTIVE SALARIES ARE REVIEWED AND ANY MERIT ADJUSTMENTS FOR THAT FISCAL YEAR ARE DETERMINED AS PART OF THE ANNUAL BUDGETARY PROCESS. CONTEMPORANEOUS MINUTES OF GOVERNANCE COMMITTEE MEETINGS ARE MAINTAINED. FORM 990, PART VI, SECTION C, LINE 19 THE ORGANIZATION MAKES ITS GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY, AND FINANCIAL STATEMENTS AVAILABLE TO THE PUBLIC TO THE EXTENT REQUIRED BY LAW. FORM 990, PART IX, LINE 11G CONSULTING FEES 8,407,800. TELECOMMUNICATION SERVICE 252,073. OUTSIDE PRINTING 20,946. ECONOMIC RE-REG 2,566,181. FORM 990, PART XI, LINE 9: UNRECOGNIZED CHANGE, DEFINED BENEFIT PLAN OBLIGATIONS 8,769,900. RAILROAD RESEARCH FOUNDATION 425 THIRD ST SW SUITE 910 WASHINGTON DC 20024 522344655 RESEARCH DE 501(C)(3) LINE 12B, II ASSOCIATION OF AMERICAN RAILROADS 1 RAILPAC 425 THIRD ST SW SUITE 1000 WASHINGTON DC 20024 521811074 POLITICAL ACTIVITIES DC 527 ASSOCIATION OF AMERICAN RAILROADS 1 AAR RETIREE LIFE INSURANCE TRUST 425 THIRD ST SW SUITE 1000 WASHINGTON DC 20024 521161363 PROVIDES RETIREE LIFE INSURANCE TO PLAN PARTICIPANTS DC 501(C)(9) ASSOCIATION OF AMERICAN RAILROADS 1 TRANSPORTATION TECHNOLOGY CENTER INC 350 KEELER PARKWAY PUEBLO CO 81001 841440384 RESEARCH & TESTING DE ASSOCIATION OF AMERICAN RAILROADS C 28855053 66753464 1.00000 1 RAILINC CORPORATION 7001 WESTON PARKWAY SUITE 200 CARY NC 27513 522131600 IT & SVCS DE ASSOCIATION OF AMERICAN RAILROADS C 83070338 64571925 1.00000 1 0 0 0 1 1 0 0 0 0 1 1 1 1 1 1 0 1 0 1 RAILINC CORPORATION L 1861182 COST RAILINC CORPORATION M 126903 COST TRANSPORTATION TECHNOLOGY CENTER INC L 1494706 COST TRANSPORTATION TECHNOLOGY CENTER INC M 21267792 COST RAILINC CORPORATION Q 402051 COST RAILINC CORPORATION S 4150595 COST TRANSPORTATION TECHNOLOGY CENTER INC Q 1588944 COST RAILPAC Q 54651 COST FORM 990, PART V THE TRANSACTION CORRESPONDING WITH LINES 1D AND 1E INVOLVES AN UNSECURED LINE OF CREDIT WHICH WAS CO-SIGNED BY ORGANIZATIONS RELATED TO THE ASSOCIATION OF AMERICAN RAILROADS. THE $4 MILLION UNSECURED LINE OF CREDIT HAS A MATURITY DATE OF 10/27/2023. UNDER THE LINE OF CREDIT FACILITY, CAPITAL ONE BANK WILL ALLOW ADVANCES AT ANY TIME PROVIDED NO SIGNIFICANT DETERIORATION IN THE FINANCIAL CONDITION OF THE CO-BORROWERS HAS OCCURRED. AS OF DECEMBER 31, 2022, NO AMOUNTS HAD BEEN WITHDRAWN ON THE LINE OF CREDIT.