1. Fixes a shadow bias problem that was causing light to leak through overhanging eves when you pull back a certain distance from the building:

2. Enables blending on cascaded shadow maps to prevent sharp cutoffs of shadows at distance:

3. Enables screen-space ambient occlusion to improve the looks of models on their shadowed side:

See the readme for installation instructions. Its just one file to copy into your shaders folder.
Also, this worked OK for me, but these features must have been disabled for a reason. So your mileage may vary. Be prepared to revert back to the original shader if things don't look right.
Wayne
Download here http://www3.telus.net/wacampbell/downloads/RailworksShadowFix.zip