Social Insurance for Railroad Workers (57.001)

Program

57.001 Social Insurance for Railroad Workers

Federal Agency

Agency: Railroad Retirement Board

Authorization

Railroad Retirement Act of 1974, Public Law 93-445, 88 Stat. 1305, 45 U.S.C 231; Railroad Unemployment Insurance Act, Public Law 75-722, 52 Stat. 1094, 45 U.S.C 351; Social Security Act of 1935, Public Law 74-271, 49 Stat. 620, 42 U.S.C 7; American Recovery and Reinvestment Act of 2009, Title II, Part A, Section 2006, Public Law 111-005, 45 U.S.C 352.

Program Number

57.001

Last Known Status

Active

Objectives

To pay rail social security level benefits (tier I), benefits based on rail service alone (tier II), vested dual benefits, supplemental annuities, annuities based on total or occupational disability, and sickness and unemployment benefits to railroad workers and, in some cases, their families to assist with expenses of daily living.

Types of Assistance

DIRECT PAYMENTS WITH UNRESTRICTED USE

Uses and Use Restrictions

Under the provisions of the Railroad Retirement Act and the Railroad Unemployment Insurance Act, benefits are provided for: (1) workers who retire because of age or disability, including supplemental annuities for career railroad employees; (2) eligible spouses and divorced spouses of retired employees; (3) surviving widows, widowers, divorced spouses, children, and dependent parents of deceased employees; (4) unemployed workers; and (5) workers who are sick or injured. In addition, the Railroad Retirement Board participates in the administration of the Medicare program, which covers railroad retirement beneficiaries on the same basis as other eligible persons. The American Recovery and Reinvestment Act also authorized extended unemployment benefits for certain individuals through December 31, 2009.

Eligibility Requirements

Applicant Eligibility

Under the Railroad Retirement Act, for employee, spouse and survivor benefits the employee must have had 10 or more years of railroad service or, for annuities beginning January 2002 or later, 5 years of railroad service rendered after 1995. For survivors to be eligible for benefits, the employee must also have been insured at death. Under the Railroad Unemployment Insurance Act, an employee must have earned at least $2,875.00 in railroad wages in calendar year 2005, $2,987.50 in calendar year 2006, and $3,075.00 in calendar year 2007 (counting no more than $1150 in any month in calendar year 2005, $1,195 in calendar year 2006 and $1,230 in calendar year 2007) and, if a new employee, must have worked for a railroad at least 5 months in a calendar (base) year to be a qualified employee in the applicable benefit year.

Beneficiary Eligibility

Individuals, families, pension recipients.

Credentials/Documentation

Proof of age must be provided for retirement benefits. For spouse and survivor benefits, proof of marriage and familial relationship is required. Medical evidence is necessary for disability and sickness benefits. Registration is required in order to receive unemployment benefits. Other proofs, such as military service, must also be submitted as required by law. This program is excluded from coverage under OMB Circular No. A-87.

Application and Award Process

Preapplication Coordination

Preapplication coordination is not applicable. Environmental impact information is not required for this program. This program is excluded from coverage under E.O. 12372.

Application Procedure

This program is excluded from coverage under OMB Circular No. A-102. This program is excluded from coverage under OMB Circular No. A-110. Application for retirement, disability, survivor, unemployment or sickness benefits should be made to any office of the Railroad Retirement Board. Individuals can call (1-877) 772-5772 for the location of the nearest office. Application for unemployment benefits can also be made on-line � see www.rrb.gov.

Award Procedure

The Office of Programs makes awards under the Railroad Retirement Act and the Railroad Unemployment Insurance Act. After review of the application is completed, the applicant will be notified by mail.

Deadlines

Contact the headquarters or regional office, as appropriate, for application deadlines.

Range of Approval/Disapproval Time

Varies depending upon complexity of claim.

Appeals

From 30 to 60 days. Initial appeals are made to the agency's Reconsideration Section, with subsequent appeals to the Bureau of Hearings and Appeals, the Board and the U.S. Court of Appeals.

Renewals

Not Applicable.

Assistance Considerations

Formula and Matching Requirements

Statutory formulas are not applicable to this program.

Matching requirements are not applicable to this program.

MOE requirements are not applicable to this program.

Length and Time Phasing of Assistance

Benefits are paid on a one-time or recurring basis as long as eligibility is maintained. The death of the recipient generally terminates payment of benefits. See the following for information on how assistance is awarded/released: Section 093 (ante) provides information on the award process, with payments released on a monthly, periodic or lump sum basis.

Post Assistance Requirements

Reports

Any change in address or eligibility requirements (such as the death of a recipient, work status, excess earnings, marital/family status, medical condition or school attendance) should be reported to the Railroad Retirement Board when it occurs. Cash reports are not applicable. Progress reports are not applicable. Expenditure reports are not applicable. Performance monitoring is not applicable.

Audits

Not Applicable.

Records

Not applicable.

Program Accomplishments

Fiscal Year 2008: Under the Railroad Retirement Act, 598,000 individuals received benefits, with another 28,000 paid under the Railroad Unemployment Insurance Act. Fiscal Year 2009: It is estimated that 591,000 individuals will receive retirement and survivor benefits, while approximately 34,000 should receive sickness or unemployment benefits. Fiscal Year 2010: About 585,000 individuals should receive retirement and survivor benefits and about 32,000 should receive unemployment or sickness benefits.

Financial Information

Account Identification

60-0114-0-1-603 - Recovery Act RUIA; 60-8010-0-7-601 - Social Security Equivalent Benefit Account; 60-8051-0-7-603 - Railroad Unemployment Insurance Account; 60-8011-0-7-601 - Railroad Retirement Account; 60-0111-0-1-601 - Dual Benefits Payments Account.

Obligations

(Direct Payments with Unrestricted Use) FY 08 $10,139,000,000; FY 09 est $10,711,000,000; FY 10 est $10,915,000,000 - $13 million in 2009 and $7 million in 2010 are attributable to RUIA portion of the Recovery Act.

Range and Average of Financial Assistance

(1) Employee age annuities-monthly maximum $3,940, average $1,610; (2) employee disability-monthly maximum $3,899, average $1,774; (3) employee supplemental annuities-monthly maximum $70, average $42; (4) spouse benefits-monthly maximum $1,882, average $643; (5) widows and widowers monthly maximum $3,828, average $1,215; (6) widowed mothers and fathers monthly maximum $3,357, average $1,529; (7) children-monthly maximum $2,209, average $879; (8) unemployment and sickness-weekly maximum for benefit year 2009 to 2010 $320, expected average $320.

Regulations, Guidelines and Literature

Benefits paid under the Railroad Retirement Act and the Railroad Unemployment Insurance Act are covered in Chapter 20 of the Code of Federal Regulations, Parts 200 through 350. Information on benefits is also available in press releases and various publications. They can be obtained free of charge at any Railroad Retirement Board office and on the agency web site (www.rrb.gov). Information on extended unemployment benefits is also available at the Recovery Act web site (www.recovery.gov).

Related Programs

17.225 Unemployment Insurance; 57.005 ECONOMIC RECOVERY PAYMENTS; 93.773 Medicare_Hospital Insurance; 93.774 Medicare_Supplementary Medical Insurance; 96.001 Social Security_Disability Insurance; 96.002 Social Security_Retirement Insurance; 96.004 Social Security_Survivors Insurance

Information Contacts

Regional or Local Office

See Regional Agency Offices. The Railroad Retirement Board has 53 local offices around the country. To contact or obtain the address for the nearest office, call (1-877) 772-5772.

Headquarters Office

Railroad Retirement Board 844 North Rush Street, Chicago, Illinois 60611-2092 Email: opa@rrb.gov Phone: (312) 751-4777 Fax: (312) 751-7154

Web Site Address

http://www.rrb.gov.

Examples of Funded Projects

Not Applicable.

Criteria for Selecting Proposals

Not Applicable.