United States

Railroad Retirement Board

844 North Rush Street

Chicago, Illinois 60611-2092

www.rrb.gov

2011 RRB cover-3-23.indd 1

 

 
U.S. Railroad Retirement Board 

Mission Statement 

The Railroad Retirement Board’s mission is to administer retirement/survivor and unemployment/sickness insurance benefit programs for railroad workers and their families under the Railroad Retirement Act 

and the Railroad Unemployment Insurance Act. These programs provide income 

protection during old age and in the event of disability, death or temporary 

unemployment and sickness. The Railroad Retirement Board also administers 

aspects of the Medicare program and has administrative responsibilities under 

the Social Security Act and the Internal Revenue Code. 

I

n carrying out its mission, the Railroad Retirement Board will pay benefits to the right people, in the right amounts, in a timely manner, and 

will take appropriate action to safeguard our customers’ trust funds. The 

Railroad Retirement Board will treat every person who comes into contact with 

the agency with courtesy and concern, and respond to all inquiries promptly, 

accurately and clearly. 

If you have any comments or suggestions regarding the presentation of information 

in this publication, please let us know. You can fax us at 312-751-7154, 

e-mail us at opa@rrb.gov or write us at the following address: 

Public Affairs, U.S. Railroad Retirement Board 

844 North Rush Street, Chicago, IL 60611-2092 

www.rrb.gov 
UNITED STATES 

RAILROAD RETIREMENT BOARD 

2011 Annual Report 

For Fiscal Year Ended September 30, 2010 

THE REPORT IN BRIEF 1 

A REVIEW OF OPERATIONS 7 

ADMINISTRATIVE DEVELOPMENTS 35 

LEGAL RULINGS 45 

STATISTICAL TABLES 49 
THE 
 REPORT IN BRIEF
 

Railroad retirement and unemployment insurance benefits totaling over 


$10.9 billion were paid by the Railroad Retirement Board (RRB) to about 617,000 


beneficiaries in fiscal year 2010. Financial reports issued in 2010 on the solvency 
 


of the railroad retirement and railroad unemployment insurance systems were both

 

favorable. Total railroad retirement system assets equaled $25.1 billion 
 


as of September 30, 2010. 


Benefits and Beneficiaries 

B

enefits paid under the Railroad Retirement and Railroad Unemployment 

Insurance Acts totaled over $10.9 billion in the fiscal year ending 

September 30, 2010. Retirement and survivor benefits were paid by the 

Railroad Retirement Board to about 582,000 beneficiaries during the fiscal year, of 

whom 547,000 were on the Board’s annuity rolls at the end of the year. Some 38,000 

railroad employees were paid unemployment and/or sickness insurance benefits. More 

than 3,000 beneficiaries received payments under both the Railroad Retirement Act 

and the Railroad Unemployment Insurance Act. 

Retirement and survivor benefit payments of $10.8 billion during the 2010 fiscal 

year were $276.2 million more than payments in the prior year. Employee and spouse 

annuitants were paid approximately $8.6 billion, accounting for 80 percent of the total 

payments. Employees received some $4.9 billion in age annuities, $2.3 billion in disability annuities and $60.3 million in supplemental annuities, while spouses and 

divorced spouses received over $1.3 billion. Survivors were paid $2.2 billion in annuities and nearly $3.6 million in lump-sum benefits. The total number of beneficiaries 

who received retirement and survivor benefits declined by about 7,000 from fiscal year 

2009. 

Statistics are presented on the cash basis of accounting instead of the accrual 

basis of accounting for much of the Report. However, with the exception of the 

first paragraph on page 2, the Federal Income Tax Transfers section on page 10 

and the accompanying table on page 11, which are also presented as cash, the 

information on pages 2, 7-15 and 27-29 is presented on the accrual basis of 

accounting. The primary difference between the two bases of accounting is that 

the cash basis recognizes revenue and expenditures only when cash is received 

and paid. The accrual basis, on the other hand, recognizes revenue when it is 

earned and expenses when they are incurred. 

1

 
2 2011 Annual Report, U.S. Railroad Retirement Board

 

Gross unemployment and sickness benefits paid in fiscal year 2010 totaled 

$191.0 million. Net benefits totaled almost $159.6 million after adjustment for recoveries of benefit payments, including injury settlements, some of which were made in prior 

years. Total gross benefit payments increased by approximately $1.0 million while net 

benefit payments decreased by $0.2 million from the preceding year. Unemployment 

benefits continued to be at recessionary levels. Gross unemployment benefits totaling 

$113.7 million ($109.6 million net), including $20.5 million ($20.2 million net) in temporary extended benefits under the American Recovery and Reinvestment Act of 2009 and 

the Worker, Homeownership, and Business Assistance Act of 2009, were paid to 21,700 

claimants, while gross sickness benefits of $77.3 million ($50.0 million net) were paid to 

18,100 claimants. 

Financial Reports 

The RRB’s 2011 railroad retirement financial report to Congress, which addressed 

the period 2011-2035, was generally favorable, concluding that, barring a sudden, 

unanticipated, large decrease in railroad employment, or substantial investment losses, 

the railroad retirement system will experience no cash-flow problems during the next 

23 years. Cash-flow problems arise only under the RRB’s most pessimistic employment 

assumption, and even then not until 2034. The long-term stability of the system, 

however, is still not assured. Under the current financing structure, actual levels of railroad employment and investment return over the coming years will largely determine 

whether corrective action is necessary. 

The RRB’s 2011 railroad unemployment insurance financial report was also 

generally favorable. Even as projected maximum benefit rates increase 38 percent (from 

$66 to $91) from 2010 to 2021, experience-based contribution rates maintain solvency. 

The funds borrowed from the Railroad Retirement Account during fiscal year 2010 are 

expected to be repaid in entirety by the end of fiscal year 2011. The report also predicted 

average employer contribution rates well below the maximum throughout the projection 

period. A 2.5 percent surcharge was imposed in calendar year 2011 in order to maintain 

a minimum account balance, with a surcharge of either 1.5 percent or 2.5 percent 

probable in 2012. All three employment assumptions indicate no surcharge in 2013 or 

2014, with a periodic surcharge of at least 1.5 percent in subsequent years. 

The National Railroad Retirement Investment Trust’s annual management report 

for fiscal year 2010 stated that, as of September 30, 2010, the market value of the Trustmanaged assets was $23.8 billion. This represented an increase of $500 million over the 

year, which included a transfer of $2.0 billion to the U.S. Treasury for the payment of 

railroad retirement benefits. Total railroad retirement system assets, including those 

maintained at the Treasury, equaled $25.1 billion. 

The 2011 railroad retirement and railroad unemployment insurance financial reports 

and the National Railroad Retirement Investment Trust’s 2010 annual management 

report are available at www.rrb.gov. 
THE REPORT IN BRIEF 3 

Service Delivery 

Customer Satisfaction 

During fiscal year 2010, the RRB began a year-long survey of visitors to the agency’s 

website. Initial results of the survey indicated that the website compared very favorably 

with other Federal agencies, particularly those with similar programs and responsibilities. Feedback to the survey also identified improvements the RRB can make in navigation from the home page and within the site to increase overall satisfaction. 

Customer Service Plan 

In fiscal year 2010, customers received benefit services within the timeframes 

promised in the RRB’s Customer Service Plan 99.3 percent of the time. 

Service Enhancements 

The RRB implemented online filing of biweekly claims for sickness benefits in October 

2010, to complement the ability for railroad employees to electronically file applications 

and claims for unemployment insurance benefits. The agency also made improvements to 

its Employer Reporting System to facilitate future expansion of online forms and capabilities, and increased the number of online training presentations, which can be accessed by 

external customers and agency employees, as part of its RRBVision initiative. 

Economic Recovery Activities 

The Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act of 

2010 contained two provisions that affected railroad employees. It provided up to 13 

weeks of additional temporary extended unemployment benefits for certain workers who 

exhausted their rights to benefits normally provided under the Railroad Unemployment 

Insurance Act. The legislation also included a temporary reduction of two percentage 

points in the social security payroll tax for employees, which includes the tier I tax on railroad employees. 

75th Anniversary Observance 

In August 2010, the RRB commemorated the 75th anniversary of the enactment of the 

Railroad Retirement Act of 1935, which served as the cornerstone of the present railroad 

retirement system. Activities included a national managers meeting, a display of historical items in the headquarters building, an open house for agency retirees, and an anniversary luncheon. 
4 2011 Annual Report, U.S. Railroad Retirement Board

 

Office of Inspector General 

During fiscal year 2010, the Office of Inspector General continued its independent 

oversight of agency operations and its efforts to combat fraud, waste, and abuse. This 

included the issuance of 13 audit reports that identified operational weaknesses and 

recommended improvements to agency management. 

Investigative activities resulted in 50 convictions, 47 indictments and/or 

informations, 19 civil judgments and almost $29.3 million in recoveries, restitutions, 

fines, civil damages and penalties. This reflects fraud amounts related to programs 

administered exclusively by the RRB and fraud amounts from other Federal programs 

such as Medicare or social security which were included in the disposition resulting 

from the investigation. 
THE REPORT IN BRIEF 5 

Selected Data on Benefit Operations 

Fiscal Year Fiscal Year 

Retirement-Survivor 2010 2009 

Employee age annuities 

Number awarded 10,700 10,300 

Number being paid at end of period 190,200 190,300 

Average being paid at end of period $2,186 $2,126 

Employee disability annuities 

Number of total disability annuities awarded 1,100 1,100 

Number of total occupational disability 

annuities awarded 2,000 2,100 

Number of total disability annuities being paid 

at end of period 20,400 20,300 

Number of occupational disability annuities 

being paid at end of period 63,100 63,500 

Average total disability annuity 

being paid at end of period $1,508 $1,488 

Average occupational disability annuity 

being paid at end of period $2,452 $2,423 

Supplemental employee annuities1 

Number awarded 7,300 7,000 

Number being paid at end of period 121,200 120,800 

Average being paid at end of period $42 $42 

Spouse and divorced spouse annuities 

Number awarded, total 11,300 10,900 

Number being paid to divorced 

spouses at end of period 3,900 3,700 

Number being paid at end of period, total 137,100 136,500 

Average being paid to divorced spouses 

at end of period $504 $492 

Average being paid at end 

of period, total $817 $795 

Survivor annuities 

Number awarded to aged widow(er)s 6,200 6,300 

Number awarded, total 7,700 7,900 

Number being paid to aged widow(er)s 

at end of period 114,900 119,500 

Number being paid at end of period, total 143,900 148,900 

Average being paid at end of period to 

Aged widow(er)s $1,329 $1,294 

Disabled widow(er)s $1,108 $1,084 

Widowed mothers (fathers) $1,643 $1,597 

Remarried widow(er)s $896 $879 

Divorced widow(er)s $880 $867 

Children $937 $935 

Partition payments2 

Number being paid at end of period 700 300 

Average being paid at end of period $287 $289 

Lump-sum survivor benefits awarded 

Number of lump-sum death benefits 3,700 3,700 

Average lump-sum death benefit $915 $905 

Number of residual payments 3/ 3/ 

Average residual payment $2,133 $2,052 
6 2011 Annual Report, U.S. Railroad Retirement Board



Selected Data on Benefit Operations (Continued)

Fiscal Year Fiscal Year 

Employees and Earnings4 2010 2009 

Average employment 219,000 227,000 

Creditable earnings, Railroad Retirement 

Act (billions): 

Tier I $15.34 $15.54 

Tier II $14.27 $14.35 

Creditable earnings, Railroad 

Unemployment Insurance Act (billions) $3.54 $3.63 

Benefit Year Benefit Year 

Unemployment-Sickness 2009-2010 2008-2009 

Qualified employees 252,300 255,500 

Unemployment benefits 

Net amount paid (millions) 5

$138.2 6($109.6) 7$77.8 

Beneficiaries 24,800 6

(21,700) 21,400 

Number of payments 241,200 139,100 

Normal benefit accounts exhausted 7,500 3,100 

Average payment per 2-week registration period $553 $520 

Sickness benefits 

Net amount paid (millions) $52.4 6

($50.0) $45.2 

Beneficiaries 17,800 6

(18,100) 17,600 

Number of payments 120,000 117,200 

Normal benefit accounts exhausted 3,200 3,100 

Average payment per 2-week registration period $565 $538 

1 Excludes partition payments to spouses and divorced spouses where the employee is deceased. Averages are 

after court-ordered partitions. Fiscal year 2010 average includes 100 supplemental annuities, averaging $65, 

awarded under the 1937 Act. 

2 Limited to partition payments to spouses and divorced spouses where the employee is deceased or 

not otherwise entitled to an annuity. Partition payments from employees on the rolls are included with the 

employees’ annuities. 

3 Fewer than 50. 

4 Except for fiscal year 2009 employment, all figures in this section are preliminary. 

5 Includes $26.8 million in temporary extended unemployment benefits authorized by the American Recovery and 

Reinvestment Act of 2009 and the Worker, Homeownership, and Business Assistance Act of 2009. 

6 Data in parentheses are for fiscal year (October 1, 2009 - September 30, 2010). Unemployment benefits include 

$20.2 million in temporary extended unemployment benefits authorized by the American Recovery and 

Reinvestment Act of 2009 and the Worker, Homeownership, and Business Assistance Act of 2009. 

7 Starting in June 2009, includes $1.1 million in temporary extended unemployment benefits authorized by the 

American Recovery and Reinvestment Act of 2009. 
A REVIEW OF OPERATIONS
 


At the end of fiscal year 2010, total railroad retirement system assets equaled 
 

$25.1 billion. During fiscal year 2010, benefits totaling approximately $11.0 billion were
 


paid under the Railroad Retirement and Railroad Unemployment Insurance Acts.



Retirement and survivor benefits accounted for almost all of this amount. 
 

Net unemployment and sickness benefits totaled $156.6 million. 
 

RAILROAD RETIREMENT AND  

SURVIVOR PROGRAM 

As of September 30, 2010, total railroad retirement system assets, including 

those maintained in U.S. Treasury accounts and those maintained by the 

National Railroad Retirement Investment Trust (the “Trust” or “NRRIT”), equaled 

$25.1 billion, an increase of $0.5 billion during the fiscal year. Amounts in the Railroad 

Retirement (RR) Account not needed to pay current administrative expenses and 

amounts in the Social Security Equivalent Benefit (SSEB) Account not needed to pay 

current benefits and administrative expenses are transferred to the NRRIT whose 

Board of seven trustees is empowered to invest Trust assets in non-governmental 

assets, such as equities and debt, as well as in governmental securities. 

FINANCIAL OPERATIONS - U.S. TREASURY ACCOUNTS 

During fiscal year 2010, railroad retirement and survivor benefit payments were 

financed through four U.S. Treasury accounts. 

The SSEB Account, established in fiscal year 1985, pays the portion of railroad 

retirement benefits equivalent to a social security benefit from various income sources 

related to these benefits. The RR Account funds retirement, survivor and disability 

benefits, in excess of social security equivalent benefits, from payroll taxes on employers 

and employees and other income sources. Supplemental benefit payments are also paid 

from the RR Account. The Dual Benefits Payments (DBP) Account and Federal 

Payments (FP) Account, funded by congressional appropriations from general revenues, 

finance the phase-out costs of certain vested dual benefits and interest on unnegotiated 

checks, respectively. The four accounts together incurred $10.8 billion in benefit obligations (excluding $1.3 billion in social security benefits which were reimbursed by the 

Social Security Administration) during fiscal year 2010. 

7
8 2011 Annual Report, U.S. Railroad Retirement Board

Financing Sources 

Payroll Taxes 

The primary source of income to the railroad retirement and survivor program is 

payroll taxes levied on covered employers and their employees. Payroll taxes amounted 

to more than $4.6 billion, 41.6 percent of total financing sources (which excludes an 

increase of $457.1 million, mostly due to a change in NRRIT net assets) and 

$62.3 million less than in fiscal year 2009. 

Railroad employees and employers pay tier I taxes which, by law, are the same as 

social security taxes. The 2010 and 2009 rate of 7.65 percent was split between 6.20 

percent for retirement and 1.45 percent for Medicare hospital insurance. The maximum amount of earnings subject to the 6.20 percent rate in calendar years 2010 and 

2009 was $106,800, and all earnings were subject to the 1.45 percent Medicare tax. 

Both employees and employers also pay a tier II tax to finance railroad retirement benefit payments over and above social security levels. This tax, on earnings up to $79,200 

in 2010 and 2009, was 3.9 percent on employees in both 2010 and 2009. It was 12.1 

percent on employers in both 2010 and 2009. 

Tier I and tier II taxes for fiscal year 2010 amounted to $2.4 billion and $2.3 billion, 

respectively. 

Financial Interchange Transfers 

The second major source of income to the railroad retirement and survivor program 

consists of transfers from the social security trust funds under a financial interchange 

between the two systems. The financial interchange is intended to place the Social 

Security Old-Age, Survivors and Disability Insurance and Hospital Insurance Trust 

Funds in the same position in which they would have been had railroad employment 

been covered by the Social Security and Federal Insurance Contributions Acts. This 

involves computing the amount of social security taxes that would have been collected 

on railroad employment, and computing the amount of additional benefits which 

social security would have paid to railroad retirement beneficiaries during the 

same fiscal year. 

In the computation of the latter amount, credit is given for any social security benefits actually paid to railroad retirement beneficiaries. When benefit reimbursements 

exceed payroll taxes, the difference, with an allowance for interest and administrative 

expenses, is transferred from the Social Security Trust Funds to the SSEB Account. If 

taxes exceed benefit reimbursements (this has not happened since 1951), a transfer 

would be made in favor of the Social Security Trust Funds. The net financial interchange transfer to the SSEB Account during fiscal year 2010 amounted to $4.0 billion. 
A REVIEW OF OPERATIONS 9 

RETIREMENT AND SURVIVOR PROGRAM 

Financing Sources - Fiscal Year 2010 (In Millions) 

GROSS TOTAL: $11,167.51 

Payroll Taxes 41.6% Financial Interchange 35.5% 


$4,646.8 $3,964.1 


Interest on 

Investments 0.3% 

$36.5 

National Railroad 

Federal Income General Retirement 

Taxes 4.2% 

$467.0 

Appropriations 0.6% 

$64.1 

Investment Trust 

Transfers-In 17.8% 

$1,989.0 

1Excludes $457.1 million as shown under Other Financing Sources on page 14. 

Costs - Fiscal Year 2010 (In Millions) 

TOTAL: $11,055.9 

Benefit Payments 97.7% 

$10,796.9 

Interest 

Expense 1.3% 

$141.1 

Salaries and 

Other < .1% Expenses 1.1%

($2.2) $120.1 

Note.--Percentages may not add to 100 due to rounding.
10 2011 Annual Report, U.S. Railroad Retirement Board

Interest on Investments and Other Revenue 

Interest revenue increased from $34.7 million in fiscal year 2009 to $36.5 million in 

fiscal year 2010. Interest revenue was also earned from financial interchange 

advances. 

Federal Income Tax Transfers 

Legislation enacted in 1983 subjecting social security and railroad retirement benefits to Federal income taxes also provided for a transfer of the tax revenues to the social 

security and railroad retirement systems for the payment of benefits. Most of the revenue from income taxes on social security equivalent railroad retirement benefits is 

transferred to the SSEB Account, although a portion attributable to higher-income 

taxpayers is transferred to the Federal Hospital Insurance Trust Fund. Revenue 

derived from taxing regular railroad retirement benefits in excess of social security 

equivalent benefits is transferred to the RR Account. Revenue from taxing the vested 

dual benefits funded by the general revenue appropriations previously described is 

transferred to the DBP Account. 

At the beginning of each quarter, income tax transfers are made from Treasury 

general funds to the SSEB, RR and DBP Accounts. These transfers are estimates of 

expected tax revenues for the quarter. Adjustments are made later to reconcile the 

estimates for a taxable year with actual tax revenues for the year. On a cash basis, 

original tax transfers for fiscal year 2010 amounted to $470.0 million during the year. 

Original transfers for fiscal year 2009 totaled $463.0 million. There were no reconciliation adjustments in fiscal year 2010. Net transfers in fiscal year 2009 were 

$321.0 million, including -$142.0 million in reconciliation adjustments. 

The information in the preceding paragraph is on a fiscal year basis, while the table 

on the next page shows income tax transfers to the Accounts for taxable (calendar) 

years 2001 through 2010, including reconciliation adjustments through 2005. 

General Appropriations 

General revenue appropriations were provided by the Railroad Retirement Act of 

1974 to fund the phase-out costs of certain dual railroad retirement/social security 

benefits considered vested prior to 1975, and by the Railroad Retirement Solvency 

Act of 1983 to fund interest on unnegotiated checks. The total amounts appropriated 

by the Congress for vested dual benefits were $64.0 million for fiscal year 2010 and 

$72.0 million for fiscal year 2009. These amounts include Federal income tax transfers 

for 2010 and 2009. The amount appropriated for fiscal year 2010 was 11.1 percent less 

than fiscal year 2009, reflecting the continuing decrease in eligibility for these benefits, 

which are not increased for the cost of living. The total amounts appropriated by the 

Congress for interest on unnegotiated checks were $150,000 for fiscal years 2010/2011 

and also $150,000 for fiscal years 2009/2010. In addition, Congress appropriated 

(text continued on page 14) 
A REVIEW OF OPERATIONS 11 

Federal Income Tax Transfers by Recipient Account and 
 

Benefit Component, Taxable Years 2001-2010 (Millions)
 


Revenue from taxes on 

RRA benefits 

treated as RRA benefits treated as 

SSA benefits private or public pensions 

Taxable year SSEB Tier II and 

tier I non-SSEB Vested 

benefits tier I benefits1 dual benefits 

SSEB Account2 RR Account DBP Account3 

Original transfers during the year 

2001 $94 $229 $10 

2002 97 252 9 

2003 97 283 9 

2004 109 294 8 

2005 117 301 7 

2006 125 312 7 

2007 135 334 6 

2008 144 325 5 

2009 144 304 3 

2010 159 315 3 

Reconciliation adjustments4 

2001 (2006) +6 +25 +1 

2002 (2008) -4 -20 -1 

2003 (2008) -12 -70 -3 

2004 (2008) -18 -63 -2 

2005 (2009) -8 -49 -2 

1 Includes non-SSEB portion of tier I. 

2 Receives taxes on social security equivalent benefit (SSEB) portion of tier I. 

3 Receives taxes on vested dual benefit component beginning October 1, 1988. 

4 The year in parentheses is the year the adjustments were made. 
12 2011 Annual Report, U.S. Railroad Retirement Board

Railroad Retirement and Survivor Program 

Consolidated Financing Sources, 

Costs and Net Position (Millions)1 

For the Fiscal Year Ended September 30 2010 2009 

Financing Sources: 

Payroll Taxes $4,646.8 $4,709.1 

Financial Interchange 3,964.1 4,003.7 

Interest on Investments and Other Revenue2 36.5 34.7 

Federal Income Taxes 467.0 321.0 

General Appropriations 64.1 208.5 

Other 457.1 (1,964.2) 

Transfers to the National 

Railroad Retirement Investment Trust --­ --­

Transfers from the National 

Railroad Retirement Investment Trust 1,989.0 1,553.0 

Total Financing Sources 11,624.6 8,865.8 

Costs: 

Benefit Payments 10,796.9 10,673.8 

Interest Expense 141.1 160.2 

Salaries and Expenses3 120.1 114.6 

Other (2.2) (1.0) 

Total Costs 11,055.9 10,947.6 

Financing Sources over Costs 568.7 (2,081.8) 

Net Position - Beginning of Period 23,995.5 26,077.3 

Net Position - End of Period $24,564.2 $23,995.5 

1 Prepared on an accrual basis of accounting. 

2 Includes accrued interest revenue from loan to the Railroad Unemployment Insurance Account. 

3

Includes unemployment and sickness insurance salaries and expenses of approximately 

$15.8 million and $15.9 million for fiscal years 2010 and 2009, respectively. 
A REVIEW OF OPERATIONS 13 

National Railroad Retirement Investment Trust (NRRIT) 

Fiscal Year 2010 Summary 

Market value of assets managed 

by NRRIT on September 30, 2010 $23.8 billion 

Rate of return of investment portfolio 

managed by NRRIT for full year 

ended September 30, 2010 11.15% 

Source: NRRIT 

All NRRIT annual management reports and quarterly updates are available on the 

Railroad Retirement Board’s website at www.rrb.gov. 
14 2011 Annual Report, U.S. Railroad Retirement Board

$135.0 million in fiscal year 2009 for a one-time $250 payment to most railroad retirement annuitants under the American Recovery and Reinvestment Act of 2009, and 

$1.4 million for associated administrative costs under the law. 

Other Financing Sources 

Other financing sources consisted of $8.4 million to be provided by the Office of 

Personnel Management to pay future retirement benefits to Railroad Retirement Board 

employees, $16.0 million from the railroad unemployment trust funds in transfers-in for 

current budget fiscal year salaries and expenses, and an increase in NRRIT net assets of 

$441.5 million. These financing sources were offset by transfers-out of $7.0 million for 

salaries and expenses of the Board’s Office of Inspector General, a loss on contingency 

liability of $0.9 million, and a $0.9 million decrease in unexpended appropriations. 

Costs 

The Railroad Retirement Board pays all salaries and expenses under a single administrative fund (Limitation on Administration) for both the railroad retirement and survivor program and the unemployment and sickness insurance program. Consequently, of 

the $120.1 million and $114.6 million shown on page 12 for salaries and expenses in fiscal years 2010 and 2009, respectively, about $15.8 million for fiscal year 2010 and 

$15.9 million for fiscal year 2009 were for the unemployment and sickness insurance 

program. About $1.1 million in other costs for fiscal year 2010 and $1.2 million for fiscal 

year 2009 were for the unemployment and sickness insurance program. 

Excluding $16.9 million from total costs of $11.1 billion for fiscal year 2010 and 

$17.1 million from total costs of $10.9 billion for fiscal year 2009, total costs for the railroad retirement and survivor program for fiscal year 2010 increased $108.5 million or 

1.0 percent. 

Benefit Payments 

In fiscal year 2010, railroad retirement benefit payments increased $123.1 million or 

almost 1.2 percent to about $10.8 billion on an accrual basis, including $62.1 million in 

vested dual benefits and $60.4 million in supplemental annuities. 

Interest Expense 

Interest expense of $141.1 million represents interest on the financial interchange 

advances made by the U.S. Treasury during the fiscal year. 

Salaries and Expenses 

Excluding unemployment and sickness insurance salaries and expenses of 

$15.8 million for fiscal year 2010 and $15.9 million for fiscal year 2009, salaries and 

expenses for the railroad retirement and survivor program were about $104.3 million for 

fiscal year 2010 and about $98.7 million for fiscal year 2009, a $5.6 million or 5.7 

percent increase. Adjusted by the $15.8 million in salaries and expenses and 
A REVIEW OF OPERATIONS 15 

$1.1 million in other costs for the unemployment and sickness insurance program, fiscal 

year 2010 administrative expenses for the railroad retirement and survivor program 

were about 0.93 percent of total costs. 

Other Costs 

Other costs consisted primarily of post-retirement benefits (pensions, health and life 

insurance) for Railroad Retirement Board employees of $7.3 million for the railroad 

retirement and survivor program and $1.1 million for the unemployment and sickness 

insurance program. In addition, carrier refunds of $0.1 million were incurred. These 

costs were offset by approximately $10.1 million in reimbursements from the Centers for 

Medicare & Medicaid Services for Part B Medicare costs, as well as a reimbursement of 

approximately $0.4 million from the RRB’s Office of Inspector General for RRB-incurred 

expenses, and various other revenues of approximately $0.2 million. 

NATIONAL RAILROAD RETIREMENT 

INVESTMENT TRUST OPERATIONS 

Funds not needed immediately for benefit payments or administrative expenses are 

invested through the National Railroad Retirement Investment Trust. The Trust was 

established pursuant to section 105 of the Railroad Retirement and Survivors’ 

Improvement Act of 2001 for the sole purpose of investing railroad retirement assets. 

The Act authorizes the Trust to invest the assets of the Railroad Retirement Account in 

a diversified investment portfolio in the same manner as those of private sector retirement plans. Prior to the Act, investment of Railroad Retirement Account assets was limited to U.S. Government securities. Although the Trust was created by Congress to hold 

and invest Federal assets, it is not an agency or instrumentality of the Federal government. It is a tax-exempt entity governed by a seven-member Board, three selected by 

rail management, three selected by rail labor and one independent trustee selected by 

the six rail trustees. 

During fiscal year 2010, the net asset value of Trust-managed assets increased from 

$23.3 billion on October 1, 2009, to $23.8 billion on September 30, 2010. This includes 

$2.0 billion that the Trust transferred to the U.S. Treasury for the payment of railroad 

retirement benefits during the year. The rate of return on Trust-managed assets for the 

year (net of fees) was 11.15 percent. 

Total railroad retirement system assets (Trust-managed assets and reserves held in 

Treasury accounts) grew from $20.7 billion in 2002 to $25.1 billion as of the end of fiscal 

year 2010, after net transfers for benefit payments of approximately $9.9 billion over the 

same time frame. 

Trust operations are described in detail in the National Railroad Retirement 

Investment Trust Annual Management Report for fiscal year 2010, which is available on 

the RRB’s website at www.rrb.gov. 
16 2011 Annual Report, U.S. Railroad Retirement Board



BENEFIT OPERATIONS 

Retirement and survivor benefits paid, including vested dual benefits and supplemental employee annuities, totaled $10.8 billion in fiscal year 2010, $276 million more 

than in fiscal year 2009. Benefits were paid to over 581,700 beneficiaries in fiscal year 

2010. Some 547,400 beneficiaries were being paid at the end of the year. The table 

shown below presents retirement and survivor benefit payments for fiscal years 2010 

and 2009, by type of benefit, and the percent changes in payments between the 2 years. 

Under the two-tier railroad retirement formulas, the tier I annuity portion approximates a social security benefit 

and increases by the cost-ofliving percentage applied to Amount (in millions) 

social security benefits. The 

tier II portion, which is com- Type of benefit 

Fiscal year 

2010 

Fiscal year 

2009 

Percent 

change 

parable to retirement benefits 

Retirement benefits paid over and above social 

Employee annuities security benefits to workers in 

Age $4,928.9 $4,750.9 +3.7 other industries, increases by Disability 2,260.9 2,217.2 +2.0 32.5 percent of the social secu­ 1 Supplemental 60.3 60.4 -0.1

rity percentage. Effective 

Spouse and divorced December 2008, tier I portions spouse annuities 1,338.4 1,282.4 +4.4 

increased by 5.8 percent while Total 8,588.6 8,311.0 +3.3 

tier II portions increased by Survivor benefits 

1.9 percent. There were no Annuities 2,183.5 2,188.5 -0.2 

tier I or tier II cost-of-living Lump-sum benefits 3.6 3.5 +1.5 

increases effective December Total 2,187.1 2,192.0 -0.2 

2 2009. Partition payments 4.5 0.9 +377.8 

The December 2008 cost­ 1

Excludes partitioned payments to spouses and divorced spouses where the of-living increase provided 

employee is deceased. additional benefit payments 2

Limited to partitioned payments to spouses and divorced spouses where

of about $100 million in fiscal the employee is deceased or not otherwise entitled to an annuity.

year 2010, compared to pay- Partitioned payments from employees on the rolls are included with the 

ments in fiscal year 2009. employees annuities. Note.--Detail may not add to total due to rounding. 

Monthly retirement and survivor benefits being paid numbered nearly 676,700 at 

the end of the 2010 fiscal year, about 3,900 less than at the end of the prior year. 

Monthly beneficiaries on the rolls declined by more than 4,800 over the year, from 

552,300 to 547,400. The number of monthly benefits paid is always greater than the 

number of beneficiaries on the rolls, since many annuitants receive more than one type 

of benefit. Although the second benefit is usually a supplemental employee annuity, 

some employees also receive a spouse or widow(er)’s annuity. 

Regular employee annuities in payment status at the end of fiscal year 2010 

Grand total $10,780.2 $10,504.0 +2.6 
A REVIEW OF OPERATIONS 17 

numbered 273,800, about 400 less than at the end of the previous fiscal year. The 

number of age annuities being paid dropped slightly from 190,300 to 190,200 over the 

year, while disability annuities decreased almost 300 to 83,500. Supplemental annuities being paid to employees rose approximately 400, numbering 121,200 at the end of 

the year. The number of divorced spouse annuities being paid rose about 100 to 3,900. 

Spouse and divorced spouse annuities together increased by more than 600, totaling 

137,100 at year-end. Some 143,900 monthly survivor benefits were being paid at the 

end of fiscal year 2010, a decrease of 5,000 from the previous year. More than 700 partition payments to spouses and divorced spouses where the employee is deceased or not 

otherwise entitled to an annuity were being paid at the end of fiscal year 2010, an 

increase of approximately 500 from the prior year. 

Retirement 

Regular employee annuities 

Awards of regular employee annuities numbered 13,900 in fiscal year 2010, 

400 more than in fiscal year 2009. Data by type of annuity awarded during the year 

are given in the table 

Average on this page. 

Employee annuities Railroad employees Age at awarded in Monthly Years of retirewith 10 to 29 years of fiscal year 2010 Number Percent amount service ment 

ities awarded before Total 13,900 100 $2,723 28.4 60.4 

creditable service, or 5 

to 9 years of service if Age 

at least 5 years were Beginning at full 

after 1995, are eligible retirement age or over 900 7 $2,217 22.6 67.4 

for regular annuities Unreduced, beginning 

at age 60 to under full 

based on age and retirement age 6,900 50 3,391 36.1 60.7 

service at age 62. Reduced, beginning 

Early retirement at age 62 to under full 

retirement age 2,900 21 1,507 16.7 62.8 

annuity reductions 

are applied to annu­ Disability 3,200 23 2,509 23.8 55.6 

full retirement age-­ Note.--Detail may not add to total due to rounding. 

the age at which an 

employee can receive full benefits with no reduction for early retirement. This ranges 

from age 65 for those born before 1938 to age 67 for those born in 1960 or later, the 

same as under social security. If an employee had any creditable railroad service 

before August 12, 1983, the retirement age for tier II purposes will remain 65. The 

reduction for early retirement is 1/180 for each of the first 36 months the employee is 

under full retirement age when his or her annuity begins and 1/240 for each additional 

month. 

Rail employees with 30 or more years of service are eligible for regular annuities 

based on age and service at age 60. Certain early retirement reductions are applied if 
18 2011 Annual Report, U.S. Railroad Retirement Board

the employee first became eligible for a 

60/30 annuity July 1, 1984, or later and 

retired at ages 60 or 61 before 2002. 

Employees who retire at 60 or older with 

at least 30 years of railroad service are 

referred to as 60/30 retirees. 

Disability awards are based either 

on total disability or on occupational disability. A total disability annuity is 

based on disability for all employment 

and is payable at any age to employees 

with at least 10 years of railroad service. 

Employees with 5-9 years of service, 

if at least 5 years were after 1995, may 

qualify for tier I only before retirement 

age on the basis of total disability if they 

also meet certain social security earnings requirements. An employee is considered totally disabled if medical evidence shows that a permanent physical 

or mental condition exists which prevents the performance of any regular 

work. A condition is considered to be 

permanent if it has lasted or may be 

expected to last for at least 12 months. 

An occupational disability annuity 

is based on disability for the employee’s 

regular railroad occupation and is 

payable to employees with a current 

connection with the rail industry at age 60 

if the employee has 10 years of service, or at 

any age if the employee has at least 20 

years of service. An employee is considered 

occupationally disabled if the physical or 

mental condition is such that the 

employee is permanently disabled for 

work in his or her regular railroad occupation, even though the employee may 

be able to perform other kinds of work. 

Of the year’s 3,200 disability awards, 

1,100 averaging $1,677 per month were 

for total disability and 2,000 averaging 

$2,978 were for occupational disability. 

Number of monthly beneficiaries, 
 

September 30, 2005, and 2010 (thousands)



5 

0 

Employee Spouse Survivor


(includes


divorced


spouses)


Amount of benefits paid, 

fiscal years 2005 and 2010 (millions) 

2005 

2010 $7,250 

$5,963 

$2 129 , $2 187 ,

$1,089 $1,338 

1 2



Employee Spouse Survivor



1 Includes $62.7 million in fiscal year 2005 and $60.3 million in fiscal year 2 2010 for supplemental annuities. Includes divorced spouses. 

Average monthly amount, 

September 30, 2005, and 2010 

1 2
 Employee Spouse Aged widow(er)


1 2 Without supplemental annuity. Includes divorced spouses. 
A REVIEW OF OPERATIONS 19 

Many employees who are disabled for all employment but are otherwise qualified for an 

occupational disability annuity are initially awarded occupational disability annuities 

in order to expedite payment. 

An estimated four-fifths of all employees recently awarded disability annuities will 

meet the medical criteria for a disability freeze determination. The standards for 

freeze determinations follow social security law and are comparable to the criteria for 

granting total disability. Also, an employee granted a disability freeze may qualify for 

early Medicare coverage and lower Federal income taxes on his or her annuity. 

Of the employees who were awarded regular annuities in fiscal year 2010, 

nearly 9,700, or 70 percent, last worked for a railroad either in the calendar year their 

annuity began or in the preceding year. Such retirements are termed “immediate,” 

while those that occur 2 or more calendar years after the year of last railroad employment are called “deferred.” As a group, immediate retirees represent career railroad 

employees who worked in the industry until retirement. Awards based on immediate 

retirement averaged $3,191 per month, compared to $1,650 for the 4,200 awards based 

on deferred retirement. Immediate retirees averaged 33 years of railroad service, considerably more than the average of 18 years for deferred retirees. Of the year’s awards, 

54 percent of normal age retirements were immediate. While 93 percent of all 60/30 

retirements were immediate, only 15 percent of the reduced age awards to employees 

with less than 30 years of service were immediate. Immediate retirements accounted 

for 71 percent of the year’s disability awards. 

The 273,800 retired employees on the rolls as of September 30, 2010, were being 

paid regular monthly annuities averaging $2,196. The table on this page presents data 

by type of annuity for 

these benefits. Employee annuities in Average Percent 

current-payment status Per- monthly immediate 

Of the 83,500 dis­ on September 30, 2010 Number cent amount retirements 

ability annuities being Age 

paid, 20,400 were for Beginning at full retirement 

total disability and age or over 22,000 8 $1,621 45 

63,100 for occupational Unreduced, beginning at age 60 

to under full retirement age 95,500 35 2,862 92 

disability. The two 

types of disability 

Reduced, beginning at age 60 

to under full retirement age 72,800 27 1,470 35 

annuities averaged Disability 83,500 31 2,221 81 

$1,508 and $2,452, 

respectively. In fiscal Total 273,800 100 $2,196 70 

Note.--Detail may not add to total due to rounding. year 2010, nearly 

$373 million was paid in total disability annuities and $1,888 million in occupational 

disability annuities. 

About 190,600 employees on the rolls at the end of fiscal year 2010 were immediate 

retirees and their regular annuities averaged $2,560 per month. Annuities of the 

83,200 deferred retirees averaged $1,364. Although their average railroad retirement 

annuity was much lower, a greater proportion of the deferred annuitants also received 
20 2011 Annual Report, U.S. Railroad Retirement Board

social security benefits--29 percent compared to 4 percent for the immediate retirees. 

Moreover, the average social security benefit paid to deferred retirees was higher than 

that paid to immediate retirees. Combined railroad retirement and social security benefits to deferred retirees who were dual beneficiaries averaged $1,554, while combined 

benefits to immediate retirees averaged $2,246. The table below presents numbers of 

beneficiaries and average benefit amounts for employees on the rolls who were receiving social security benefits, and for those who were not, by type of retirement. 

Regular employee annuities consist of as many as three components: tier I, tier II, 

and a vested dual benefit. Reductions for early age retirement are made in all components in cases where the employee retired before full retirement age with less than 30 

years of railroad Type of retirement

service. The tier I Dual benefit 

component is based status Total Immediate Deferred 

on the employee’s 

combined railroad Receiving social security benefit 

Number 31,900 8,100 23,800

and social security Average monthly amount: 

covered earnings, Railroad retirement (regular) $645 $1,364 $400 

and is reduced by Social security 1,085 882 1,154 

the amount of any 

social security beneCombined benefit 

Not receiving social security benefit 

Number 

1,730 

241,800 

2,246 

182,400 

1,554 

59,400 

fit that the employ- Average monthly amount $2,401 $2,613 $1,751 

ee receives. The Note.--Detail may not add to total due to rounding.

gross tier I amounts

of employees on the rolls at the end of fiscal year 2010 averaged $1,710 per month.

Tier I amounts of nearly 7,700 employees were completely offset by social security ben­

efits. Tier I amounts being paid averaged $1,563. 

The employee tier II component is based solely on railroad earnings. Tier II 

amounts being paid at the end of fiscal year 2010 averaged $679. Employees are eligible for vested dual benefits if, based on their own earnings, they met certain vesting 

requirements and qualified for both railroad retirement and social security benefits at 

the end of 1974, or, in some cases, at the end of an earlier year of last railroad service. 

About 29,000 retirees were receiving vested dual benefits averaging $162 at the end of 

the fiscal year. 

Supplemental employee annuities 

A supplemental annuity is payable to employees with a current connection with the 

rail industry at age 60 if the employee has at least 30 years of service, or at age 65 if 

the employee has 25-29 years of service. The employee must also have had some rail 

service before October 1981. 

Some 7,300 supplemental annuities were awarded in fiscal year 2010, about 

300 more than in fiscal year 2009. Approximately 5,600 of the awards (76 percent) 

began concurrently with the employee’s regular annuity, while the remaining 1,700 

were to employees already receiving a regular annuity. Supplemental annuity awards 
A REVIEW OF OPERATIONS 21 

averaged over $41 per month after court-ordered partitions; 86 percent were at the current maximum rate of $43. Supplemental annuities are reduced for any part of a private railroad pension attributable to employer contributions. During the fiscal year, 

2,100 supplemental annuities were not awarded because they were entirely offset by 

private pensions. In a few cases, the supplemental annuity was partially offset by the 

pension, or the supplemental annuity was not offset because the pension was reduced. 

Supplemental annuities were being paid to almost 121,200, or 44 percent, of the 

retired employees on the rolls at the end of the 2010 fiscal year. These annuities averaged $42 after court-ordered partitions; nearly 100 of them were paid under 1937 Act 

amendments, which stipulated a maximum rate of $70. 

Spouse and divorced spouse annuities 

Annuity awards to spouses and divorced spouses of retired employees numbered 

11,300 in fiscal year 2010, 300 more than in the previous year. The table on this page 

presents numbers and average amounts of spouse and divorced spouse annuities 

awarded during the year Awarded in 

In current-payment 

status on 

and being fiscal year 2010 September 30, 2010 

paid at the 

end of the 

Monthly 

spouse benefits Number 

Average 

amount Number 

Average 

amount 

year, by type 

of annuity 

Beginning at full retirement age or over 1,200 $534 17,000 $446 

and whether With minor or disabled child in care 400 1,066 1,800 1,118 

subject to age Unreduced, beginning at age 60 

to under full retirement age 5,900 1,327 62,300 1,177

reduction. Reduced rate 3,100 461 52,100 521 

Total If an

employee is

Divorced spouse annuities 

10,600 976 133,200 826 

700 528 3,900 504 

at least age Grand total 11,300 $950 137,100 $817 

62 and 

Note.--Detail may not add to total due to rounding. retires with 

10-29 years of railroad service, or has 5-9 years of service and at least 5 years were 

after 1995, the employee’s spouse is eligible for an annuity at age 62. Full retirement 

age for a spouse is gradually rising from 65 to 67, depending on the year of birth. 

Early retirement reductions are applied to the spouse annuity if the spouse retires 

before full retirement age. The reduction for early retirement is 1/144 for each of the 

first 36 months the spouse is under full retirement age when her or his annuity begins 

and 1/240 for each month (if any) over 36. 

If an employee retires with at least 30 years of service and is at least age 60, the 

employee’s spouse is eligible for an annuity at age 60. Prior to 2002, certain early 

retirement reductions were applied to the tier I component of such a spouse annuity if 

the employee retired before age 62, unless the employee attained age 60 and completed 

30 years of service prior to July 1, 1984. If a 30-year employee retired at age 62, no age 

reduction applied to the spouse annuity. December 2001 legislation liberalized early 
22 2011 Annual Report, U.S. Railroad Retirement Board

retirement benefits for 30-year employees retiring at ages 60 or 61 after 2001 and their 

spouses. A spouse of an employee qualified for an age and service annuity is eligible for 

a spouse annuity at any age if caring for the employee’s unmarried child, and the child 

is under age 18 or the child became disabled before age 22. 

Of the 3,100 reduced spouse annuities awarded in fiscal year 2010, 100 averaging 

$691 per month were to spouses of 30-year employees and some 3,000 averaging $456 

were to spouses of employees with less than 30 years of service. 

At the end of fiscal year 2010, more than 133,200 spouse annuities averaging $826 

per month were being paid. Nearly 3,900 divorced spouse annuities averaging $504 per 

month were also being paid. These included some 50 averaging $547, where the 

employee was not yet entitled to an annuity. Families with an employee and spouse on 

the rolls were paid combined railroad retirement benefits averaging $3,155. This 

included $2,329 in regular and supplemental employee annuities and $826 in spouse 

annuities. 

Approximately 52,300, or 38 percent, of the spouses and divorced spouses on the 

rolls were also receiving social security benefits. Combined railroad retirement and 

social security benefits to these annuitants averaged $1,239 per month, including $317 

in railroad retirement benefits and $922 in social security benefits. Railroad retirement 

annuities to the 82,600 spouses not receiving social security benefits averaged $1,138, 

while railroad retirement annuities to the 2,200 divorced spouses not receiving social 

security benefits averaged $686. 

Like regular employee annuities, spouse annuities consist of up to three components. The tier I component equals one-half of the employee’s tier I amount before any 

reduction for the employee’s social security benefit. The spouse tier I amount is reduced 

for the spouse’s receipt of a social security benefit and may be reduced for a spouse’s 

public service pension. The tier I portion may also be reduced if the spouse receives a 

railroad retirement employee annuity, but this reduction is usually restored through an 

addition to the spouse tier II amount. Divorced spouses receive only a tier I benefit. 

The spouse tier II component equals 45 percent of the employee’s tier II amount. 

Railroad retirement amendments in 1981 precluded further awards of vested dual 

benefits to spouses. 

Of the 133,200 spouses on the rolls at the end of fiscal year 2010, 91,500 were being 

paid tier I amounts averaging $728 per month. The tier I amounts of 41,800 spouses 

were completely offset by other benefits also due. Spouse tier II amounts averaged 

$355. Vested dual benefits averaging $142 were being paid to 300 spouses. The 3,900 

divorced spouses on the rolls at the end of fiscal year 2010 were being paid tier I 

amounts averaging $525 per month, not reflecting all annuity adjustments. 

Lump-sum retirement benefits 

A lump-sum benefit may be payable at retirement to employees who received separation or severance payments after 1984. This benefit approximates the tier II payroll 
A REVIEW OF OPERATIONS 23 

taxes deducted from separation or severance payments that did not yield additional service credits for retirement. Some $0.5 million was paid in separation/severance 

lump-sum benefits during fiscal year 2010. 

Employees who have at least 10 years of railroad service and are not entitled to a 

vested dual benefit may be eligible for a dual retirement tax refund if they had concurrent railroad retirement and social security earnings within the period 1951-74. The 

refund is equal to the social security taxes that the employee paid on the combined railroad and social security earnings in excess of the annual railroad retirement creditable 

earnings maximum. During the 2010 fiscal year, the RRB paid about 1,300 dual retirement tax refunds averaging $81. Most of the payments were to employees retiring during 

the year. Less than 50 refunds were to survivors, mostly widows, of employees who died 

before receiving the refund. Employees entitled to dual retirement tax refunds for years 

after 1974 may claim them on their Federal income tax returns. 

Survivor 

Monthly benefits 

Annuity awards to survivors of deceased railroad employees numbered 7,700 during 

fiscal year 2010, 100 less than the previous year. About 143,900 survivor annuities were 

being paid at the end of the fiscal year, including 300 temporarily paid at spouse or 

divorced spouse annuity rates pending recomputation to widow(er)s’ rates. Some 

114,900, or 80 percent, of the survivor Awarded in In current-payment status 

fiscal year 2010 on September 30, 2010 

annuities were to 

aged widows and Monthly Average Average

survivor benefits Number amount Number amount widowers. 

The table on this Aged widow(er)s’ 6,200 $1,740 114,900 $1,329 

page presents num- Disabled widow(er)s’ 200 1,536 4,300 1,108 

bers and average Widowed mothers’ (fathers’) 100 1,778 800 1,643

monthly amounts of Remarried widow(er)s’ 200 1,064 4,200 896 

survivor annuities, Divorced widow(er)s’ 700 963 9,600 880

by type, for those Children’s: 

awarded in the year Under age 18 300 1,212 1,800 1,264 

Student * 1,443 100 1,414 and those being paid Disabled 100 1,144 8,200 859

at the end of the Parents’ * $798 * $935 

year. 

Total 7,700 . . . 143,900 . . . 

Survivor annu­ * Fewer than 50. 

ities, like regular Note.--Detail may not add to total due to rounding. 

employee and 

spouse annuities, consist of as many as three components: tier I, tier II and, for widows 

and widowers only, a vested dual benefit. As with spouses, legislation in 1981 precluded 

new awards of vested dual benefits to widow(er)s. The tier I component is computed 

according to social security formulas and is based on the deceased employee’s combined 
24 2011 Annual Report, U.S. Railroad Retirement Board

railroad and social security earnings. A reduction is made for the survivor’s receipt of a 

social security benefit. There may also be a tier I reduction if the survivor receives a 

railroad retirement employee annuity or public pension. Remarried and divorced 

widow(er)s receive a tier I benefit only. A dependent parent receives only a tier I 

amount if another family member is also receiving benefits or if the parent has remarried. 

Survivor tier II amounts are figured as a percentage of an employee tier II benefit. 

Prior to 2002, the percentages were 50 percent for a widow(er), 15 percent for a child, 

and 35 percent for a parent. The total tier II amount for a survivor family was subject 

to a minimum of 35 percent and a maximum of 80 percent of the employee tier II benefit, and all survivor tier II amounts were proportionately adjusted when either limit 

applied. December 2001 legislation established an “initial minimum amount” for 

widow(er)s which provides a tier II benefit equal to 100 percent of the tier II amount of 

the deceased employee. The maximum tier II amount payable to a family rose to 130 

percent of the employee’s tier II amount. Widows and widowers are guaranteed a total 

tier I and tier II amount not less than what they were paid as a spouse, any necessary 

increase being added to tier II. 

Aged widow(er)s, who are eligible for benefits at age 60, have their tier I and tier II 

amounts reduced if the annuity begins before full retirement age. The eligibility age 

for unreduced annuities is gradually rising from age 65 to age 67. The maximum age 

reductions range from 17.1 percent to 20.36 percent, depending on the widow(er)’s date 

of birth. Excluding about 300 annuities temporarily paid at spouse or divorced spouse 

rates, aged widow(er)s’ annuities being paid at the end of the 2010 fiscal year included 

54,400 which were reduced for age. Aged widow(er)s’ tier I amounts being paid averaged $1,121 per month. In almost 7,700 cases, the tier I amount was wholly offset by 

reductions for other benefits. Nearly 37,900 aged widow(er)s were also receiving social 

security benefits, and these averaged $855. Tier II amounts averaged $284. More than 

1,200 vested dual benefits averaging $69 were being paid to aged widow(er)s. 

The tier I and tier II amounts of disabled widow(er)s’ annuities, which begin at ages 

50-59, are reduced 28.5 percent for age. Tier I amounts being paid to disabled 

widow(er)s on the rolls at the end of fiscal year 2010 averaged $931 (in about 200 cases, 

the tier I amount was wholly offset by reductions). Social security benefits being paid 

to more than 1,400 disabled widow(er)s averaged $812. Tier II amounts averaged $218, 

while the 100 vested dual benefits being paid averaged $85. 

Tier I amounts paid to widowed mothers and fathers (widows and widowers caring 

for children) generally equal 75 percent of the full amount payable to an aged widow(er) 

before any reductions, similar to a social security mother’s or father’s benefit. Eligible 

children and grandchildren are paid this same tier I amount. However, if the sum of 

the tier I amounts of all members of a survivor family exceeds the social security family 

maximum, then tier I amounts are proportionately reduced so that the total equals the 

maximum. Reductions for the family maximum usually occur when the family includes 

three or more beneficiaries. Tier I amounts being paid as of the end of fiscal year 2010 
A REVIEW OF OPERATIONS 25 

averaged $1,210 for widowed mothers and fathers and $865 for children. Fewer than 

50 mothers (fathers) and some 2,300 children received social security benefits averaging $1,018 and $564, respectively. Tier II amounts paid mothers (fathers) and children 

averaged, respectively, $461 and $99. 

Lump-sum survivor benefits 

A lump-sum death benefit can be payable at the time of an employee’s death only if 

there are no survivors immediately eligible for monthly benefits. For survivors of 

employees who had at least 10 years of railroad service before 1975, the lump-sum 

death benefit is based on the employee’s earnings through 1974, with a maximum 

amount of approximately $1,200. If the employee completed the 10th year of service 

after 1974, the lump-sum death benefit is limited to $255, the maximum benefit 

payable under social security law, and only the widow or widower living in the same 

household is eligible for the benefit. Lump-sum benefits may also be payable to survivors of employees with less than 10 years of service, but at least 5 years after 1995, if 

the employee met the social security insured status retirements. More than 3,700 

lump-sum death benefits averaging $915 were awarded during fiscal year 2010. 

Approximately 500 benefits were to widow(er)s, while 3,300 were to other individuals 

who paid the funeral expenses. 

Another lump-sum survivor benefit, the residual payment, can be made if no other 

benefits based at least in part on an employee’s railroad service will be payable in the 

future, and the total of prior benefit payments is less than what the employee paid in 

pre-1975 railroad retirement taxes. Fewer than 50 residual payments were awarded in 

the 2010 fiscal year; they averaged $2,133. 

Partition Payments 

The Pension Protection Act of 2006, as amended, continues the court-ordered partitioned portion of the tier II, vested dual and supplemental benefit payments to former 

spouses after the death of the employee. It also allows for payment of court-ordered 

partitioned payments where the employee is not entitled to an annuity if (1) the 

employee has 120 months of railroad service or 60 months of service after 1995, and 

(2) both the employee and spouse or divorced spouse are 62 for a full month, or, if the 

employee is deceased, the employee would be 62 for a full month. 

At the end of fiscal year 2010, there were some 700 spouses and divorced spouses 

receiving payments averaging $287 where the employee was deceased or not otherwise 

entitled to an annuity. While all but one received a partitioned tier II benefit, only 

9 percent received a partitioned vested dual benefit and 35 percent received a 

partitioned supplemental benefit. 
26 2011 Annual Report, U.S. Railroad Retirement Board 

Medicare Enrollments 

The Medicare program provides health insurance to persons ages 65 and older, as 

well as persons under age 65 who have been entitled to monthly benefits based on total 

disability for at least 24 months or who suffer from chronic kidney disease requiring 

hemodialysis or transplant. In addition to the basic hospital insurance, or Part A, plan, 

which is financed through payroll taxes, there is an elective supplementary medical 

insurance, or Part B, plan for which monthly premiums are charged. 

Eligible railroad retirement annuitants and social security beneficiaries whose benefits are payable by the Railroad Retirement Board are automatically enrolled under 

both plans, but Part B may be declined by the annuitant or beneficiary. Eligible 

nonretired persons must apply in order to obtain Medicare coverage. The RRB automatically enrolled almost 22,800 beneficiaries for Medicare during fiscal year 2010. As 

of the end of the fiscal year, nearly 476,200 persons were enrolled in the Part A plan, 

and about 458,800 (96 percent) of them were also enrolled in Part B. 

Except for benefits for services in Canada, which are paid from the Railroad 

Retirement Account, railroad enrollees are paid Part A benefits from the Federal 

Hospital Insurance Trust Fund, the same as persons covered under the social security 

system. Part B benefits are paid from the Federal Supplementary Medical Insurance 

(SMI) Trust Funds. The carrier for Part B claims of railroad Medicare enrollees made 

payments totaling $870 million in the 2010 fiscal year. 

The regular monthly premium for medical insurance during fiscal year 2010 was 

$96.40 for coverage through December 2009 and $110.50 thereafter. However, due to 

the “hold-harmless” provision related to no cost-of-living increase effective December 

2009, most beneficiaries who had premiums withheld prior to January 2010 continued 

to pay a $96.40 premium in calendar year 2010. Beneficiaries with modified adjusted 

gross incomes above certain thresholds pay higher Part B premiums. The RRB generally withholds Medicare premiums for annuitants from their benefit payments, and at the 

end of the fiscal year over 435,200 annuitants were having their premiums withheld. 

Of the remaining Part B enrollees, more than 2,200 were paying premiums to the RRB, 

either directly or through an intermediary, and 21,300 had their premiums paid by 

State agencies. The RRB periodically transfers premiums to the SMI Trust Funds. 
A REVIEW OF OPERATIONS 27 

RAILROAD UNEMPLOYMENT AND SICKNESS  

INSURANCE PROGRAM

FINANCIAL OPERATIONS 

Financing sources for the railroad unemployment and sickness insurance program 

during fiscal year 2010 exceeded costs by $101.1 million and the net position increased 

by $101.1 million from $46.4 million at the end of fiscal year 2009 to $147.5 million at 

the end of fiscal year 2010. For fiscal year 2010 as compared to fiscal year 2009, total 

financing sources for the railroad unemployment and sickness insurance program 

increased by $158.4 million (156.8 percent) to $259.4 million. 

(text continued on p. 29) 

Unemployment and Sickness Insurance Program 

Consolidated Financing Sources, 

Costs and Net Position (Millions)1 

For the Fiscal Year Ended September 30 2010 2009 

Financing Sources: 

Employer Payroll Taxes $98.4 $92.9 

Interest Income 1.5 4.2 

General Appropriations 2

175.8 320.1 

Other (16.3) (16.2) 

Total Financing Sources 259.4 101.0 

Costs: 

Benefit Payments: 

Unemployment 104.5 116.4 

Sickness 52.1 48.1 

Other4 1.7 ... 

Total Costs 158.3 164.5 

Financing Sources over Costs 101.1 (63.5) 

Net Position - Beginning of Period 46.4 109.9 

Net Position - End of Period $147.5 $46.4 

1 Prepared on an accrual basis of accounting. 

2 For payment of temporary extended unemployment benefits and administrative costs authorized 

under the Worker, Homeownership, and Business Assistance Act of 2009. 

3 For payment of temporary extended unemployment benefits authorized under the American 

Recovery and Reinvestment Act of 2009. 

4 Includes accrued interest expense for loan from the Railroad Retirement Account and program 

costs for Railroad Unemployment Insurance - Extended Benefit Payments (Worker, Homeownership, 

and Business Assistance Act of 2009). 
28 2011 Annual Report, U.S. Railroad Retirement Board

UNEMPLOYMENT AND SICKNESS 
 

INSURANCE PROGRAM



Financing Sources - Fiscal Year 2010 (In Millions) 

GROSS TOTAL $259.4 

Employer 

Payroll Taxes1 31.6% 

$82.1 

Interest Income 0.6% 

$1.5 

General Appropriations2 67.8% 

$175.8 

1Less Transfers-Out and carriers’ refunds of $16.3 million.

2Worker, Homeownership, and Business Assistance Act of 2009 funding.

Costs - Fiscal Year 2010 (In Millions) 

TOTAL $158.3 

Benefit Payments 99% 

$156.6 

Other Expenses 1% 

$1.7 
A REVIEW OF OPERATIONS 29 

Financing Sources 

The primary ongoing financing source of the railroad unemployment and sickness 

insurance program is a payroll tax on railroad employers, based on the taxable earnings 

of their employees. The employees themselves are not taxed. 

Each employer pays taxes at a rate which takes into consideration its employees’ 

actual incidence of benefit usage. Under experience rating, employers whose employees 

have low incidences of unemployment and sickness pay taxes at a lower rate than those 

with higher levels of benefit usage. Each employer’s rate also has a component for 

administrative expenses and a component to cover costs shared by all employers. The 

rate applies to monthly earnings up to an indexed maximum. In calendar year 2010, 

the taxable earnings base was the first $1,330 of each employee’s monthly earnings. 

The earnings base is indexed each year by a rate which is equal to approximately twothirds of the annual rate of increase in the maximum base for railroad retirement tier I 

taxes. 

In 2010, the basic tax rates on railroad employers, including covered commuter 

railroads, ranged from a minimum of 2.15 percent (which included a surcharge of 

1.5 percent) to a maximum of 12 percent. Most employers were assessed the minimum 

rate in 2010. New employers in 2010 paid an initial rate of 2.51 percent. 

Employer Payroll Taxes 

Payroll taxes by employers totaled $98.4 million during fiscal year 2010. This was 

an increase of 5.9 percent or $5.5 million more than the previous year. 

Interest 

Cash not needed immediately for unemployment and sickness insurance benefits 

or operating expenses is held in the Federal Unemployment Insurance Trust Fund and 

invested by the Secretary of the Treasury. The fund earned an average rate of return of 

4.2 percent in fiscal year 2010, of which the Railroad Retirement Board earned 

$1.5 million as its pro rata share. 

Costs 

Total costs for the railroad unemployment and sickness insurance program 

decreased by $6.2 million (3.8 percent) to $158.3 million. 

Benefit Payments 

During fiscal year 2010, unemployment insurance benefit payments decreased by 

$11.9 million (10.2 percent) to $104.5 million. Sickness insurance benefit payments 

increased $4.0 million (8.3 percent) to $52.1 million. 
30 2011 Annual Report, U.S. Railroad Retirement Board

BENEFIT OPERATIONS 

Net unemployment and sickness benefits totaling $190.5 million were paid in the 

2009-2010 benefit year, $67.6 million more than in the prior year. Beneficiaries numbered 41,200, in comparison to the previous year’s total of some 37,600. Over 1,400 

employees received both unemployment and sickness benefits during the 2009-2010 

benefit year. The number of unemployment benefit claimants increased by more than 

16 percent, while sickness benefit claimants increased approximately 1 percent. Total 

unemployment benefit payments increased by about 78 percent, while net sickness 

benefits increased by almost 16 percent. The substantial increases in unemployment 

benefits and beneficiaries can be attributed to a national economic recession. The 

number of employees qualified for benefits under the Railroad Unemployment 

Insurance Act fell more than 1 percent to 252,300. 

Benefits are payable for each day of unemployment or sickness in excess of 7 during 

the first 14-day registration period in a benefit year. During benefit year 2009-2010, 

there were 16,000 and 14,300 unemployment and sickness benefit waiting period 

claims, respectively. 

Unemployment 

The effect of the national economic decline on the railroad industry is apparent by 

the large increases in unemployment benefits and beneficiaries. Some 24,800 railroad 

workers were paid $138.2 million in unemployment benefits during the 2009-2010 benefit year, including $26.8 million in temporary extended benefits under the American 

Recovery and Reinvestment Act of 2009 (ARRA) and the Worker, Homeownership, and 

Business Assistance Act of 2009 (WHBAA). The number of benefit claimants increased 

by 3,500 from the prior year total of 21,400, while the benefit amount rose $60.4 million from the year-earlier total of $77.8 million. The claimant count increased for the 

third straight year. The average number of compensable days per unemployment benefit claimant was 90 in benefit year 2009-2010 as compared to 63 in the previous benefit year. The large increase reflected not only the national recession, but the availability since June 2009 of temporary extended unemployment benefits under ARRA and 

WHBAA. 

The mid-month unemployment count in the 2009-2010 benefit year began with a 

July count of 11,100 claimants. The count sporadically dropped and rose in the following months until it peaked at 12,200 in January 2010 due to claims under WHBAA. 

After January 2010, the count dropped during the following months until reaching a 

benefit year low of 4,000 in June 2010. For the 2009-2010 benefit year as a whole, the 

weekly number of claimants averaged 9,000 in comparison to an average of 6,100 in 

NOTE.--Railroad unemployment and sickness benefits are paid on the basis of benefit years beginning

July 1 and ending June 30 of the following year. Consequently, operational data in this “Benefit 

Operations” section are generally presented for this time span, rather than fiscal years beginning October 1 

and ending September 30. 
 

A REVIEW OF OPERATIONS 31 

Major unemployment and sickness benefit operations,



benefit years 2009-2010 and 2008-2009



Item 

Benefit year 2009-2010 Benefit year 2008-2009 

Total 

Unemployment 1 Sickness Total 

Unemployment 1 Sickness 

Applications 45,900 24,500 21,500 54,100 32,600 21,500 

Claims 406,300 265,900 140,400 304,300 166,900 137,400 

Claimants 2 41,200 24,800 17,800 2 37,600 21,400 17,600 

Net amount of benefits $190,533,200 $138,175,100 $52,358,100 $122,961,500 $77,803,800 $45,157,700 

Number of payments 

Normal 293,500 184,800 108,600 237,900 132,000 105,900 

Extended 67,700 56,300 11,400 18,400 7,100 11,300 

Total 361,200 241,200 120,000 256,300 139,100 117,200 

Average amount per 

2-week registration period 

Normal $560 $554 $568 $531 $522 $542 

Extended 544 547 529 482 457 497 

Total 557 553 565 528 520 538 

1 

2 

Starting in June 2009, includes temporary extended unemployment benefits authorized by the American Recovery and 

Reinvestment Act of 2009. Beginning in November 2009, temporary extended unemployment benefits are also being paid under 

the Worker, Homeownership, and Business Assistance Act of 2009. The benefit year 2008-2009 amount totaled $1.1 million and 

the benefit year 2009-2010 amount totaled $26.8 million. 

Benefits for both unemployment and sickness were paid to approximately 1,300 employees in benefit year 2008-2009 and 1,400 

employees in benefit year 2009-2010. Those claimants who had only a non-compensable waiting period are not included in the 

beneficiary counts since no benefits were paid. 

the previous benefit year. The overall unemployment benefit claimant rate, measured in 

relation to numbers of employees qualified to receive benefits under the Railroad 

Unemployment Insurance Act during a particular time period, increased to 10 per 100 

qualified from the previous year’s level of 8 per 100 qualified, continuing to reflect the 

impact of the national economic recession. The median age for all unemployment benefit 

claimants was 38 years, the same as in the previous benefit year. 

Sickness 

The number of sickness benefit claimants during the 2009-2010 benefit year was 

17,800, about 200 higher than in the previous year. The previous year claimant count 

was the lowest since sickness benefits began in benefit year 1947-1948. Gross sickness 

benefits of $77.0 million were paid, $5.3 million more than in the prior benefit year. Net 

sickness benefits totaled $52.4 million, reflecting repayment of a large amount of benefits 

following settlements of suits for injuries. Benefits payable for an injury are recoverable 

(text continued on p. 33) 
32 2011 Annual Report, U.S. Railroad Retirement Board

Claimants under the Railroad Unemployment Insurance Act, 
 

Benefit Years 2005-2006 through 2009-2010
 


8,861 9,458 

10,148 

21,353 

24,836 

19,698 19,040 18,446 17,598 17,785 

Unemployment 

Sickness 

2005-2006 2006-2007 2007-2008 2008-2009 2009-2010



Unemployment and Sickness Benefit Claimants by Age, 
 

Benefit Year 2009-2010
 


1,054 

8,318 

7,682 

5,029 

2,658 

151 95

2,004 

3,560 

5,009 

6,749 

312 

Unemployment 

Sickness 

Under 25 25-34 35-44 45-54 55-64 65 & Over
 

A REVIEW OF OPERATIONS 33 

if the claimant is awarded damages or receives a settlement for the injury. Net benefits 

increased by $7.2 million in comparison with the previous year. 

The utilization rate for sickness benefits 

increased for the first time in six years. The 

previous year was at a historically low level. 

The average duration of sickness increased 

for the second consecutive benefit year. 

Among the most common causes of sickness were injuries that included fractures or 

wounds (affecting 26 percent of beneficiaries), 

Benefit



Year



2006-2007 

2007-2008 

2008-2009 

2009-2010 

Utilization 
 

Per 100

 Average 

Qualified Compensable 

Employees Days 

7.6 67 

7.2 66 

6.9 67 

7.0 68 

arthritis and disk disorders (22 percent), circulatory and heart disease (8 percent), and 

mental disorders, including drug and alcohol addictions (11 percent). The median age 

of all sickness benefit claimants was 52 years; the same as in the previous benefit year. 

RAILROAD EMPLOYMENT 

Average monthly railroad employment in fiscal year 2010 fell about 4 percent to 

219,000 from the 227,000 average of the previous year, as the nationwide recession continued to severely affect the railroad industry throughout calendar year 2009. After 

experiencing an all-time low of 214,000 in January 2010, railroad employment began to 

rebound, increasing in all but two months after January 2010. By September 2010 

railroad employment had risen to 224,000. 

Employment in the railroad industry was affected by an increase in rail traffic, 

which can be attributed to increases in industrial production. Although freight-tonmiles in the October-December 2009 quarter were 8 percent lower than in the same 

quarter of 2008, freight-ton-miles in the April-June 2010 quarter were almost 

15 percent higher than in the same quarter of the previous year. Overall, fiscal year 

2010 railroad freight-ton-miles were 4 percent higher than the previous year. 
34 2011 Annual Report, U.S. Railroad Retirement Board
 

Average Railroad Employment 

Fiscal Years 2006 through 2010 

Note.--Numbers for 2010 are preliminary.
 
ADMINISTRATIVE DEVELOPMENTS
 
 

The following describes some major issues addressed in 2010 and 2011 

as the Railroad Retirement Board (RRB) continued efforts 

to improve agency operations and better serve its customers. 

Performance Management 

Customer Satisfaction Survey 

During fiscal year 2010, the RRB began a year-long process to survey visitors to its 

website (www.rrb.gov). The approach follows the American Customer Satisfaction 

Index model designed by the University of Michigan and used in previous surveys of 

certain agency customer segments. The survey is being coordinated by ForeSee 

Results. Through this initiative, the RRB receives ongoing customer feedback from visitors to the agency website and quarterly summary reports. To date, satisfaction levels 

related to the website have compared very favorably to other Federal agencies, particularly those who have similar programs and responsibilities. One area of emphasis in 

the customer comments has involved navigation from the home page and within the 

site. As a result, the agency implemented various changes to its home page in May 

2011 that are consistent with recommendations by ForeSee on this subject. The 

website survey is scheduled to continue through July 2011. 

Customer Service Plan 

The RRB’s Customer Service Plan promotes the principles and objectives of 

customer-driven quality service throughout the agency. The plan is both open and 

accountable to the railroad public that the agency serves, and meets objectives of transparency set by the Administration. The plan specifies the level of service customers can 

expect, measures performance, and obligates the RRB to report annually on its performance. An important part of the plan is to keep customers informed of how well the 

agency is meeting the standards. The RRB publicizes the plan and performance results 

and posts them in all of its offices. The plan is reviewed and updated periodically based 

on agency experience, customer feedback and comparison with similar best-in-business 

models. 

The agency has developed an index to measure the overall timeliness of customer 

service in four benefit areas: retirement applications; survivor applications; disability 

applications and payments; and railroad unemployment and sickness benefit applications and claims. In addition, a composite indicator, based on a weighted average, 

allows for a more concise and meaningful presentation of the agency’s customer service 

efforts in these four areas. During fiscal year 2010, the overall benefit timeliness index 

35


36 2011 Annual Report, U.S. Railroad Retirement Board



was 99.3 percent. This means that the RRB provided benefit services within the timeframes promised in the Customer Service Plan 99.3 percent of the time. (The composite 

for 2009 was 99.2.) In most areas, performance and processing times during fiscal year 

2010 met or exceeded the levels in fiscal year 2009. The agency also met or exceeded all 

but one of its customer service performance goals for the year in its Annual Performance 

Plan. 

Reducing Improper Payments 

The RRB reviewed the benefit payments made under the Railroad Retirement Act for 

fiscal year 2009 as required by the Improper Payments Information Act of 2002. The 

agency’s Performance and Accountability Report for fiscal year 2010 includes the results 

of that analysis, along with a description of the actions taken to address and prevent 

improper payments, and projections of future improper payment levels. In addition, the 

RRB updated the fiscal year 2009 information on improper payments, including a breakdown of the causes, over- and underpayment amounts and percentages of improper payments, on the Office of Management and Budget’s website. This analysis shows that the 

RRB does not have significant improper payments as defined by guidelines for implementing the Improper Payments Information Act of 2002. 

In January 2009, the Office of Management and Budget granted relief from reporting 

improper payments under the Railroad Unemployment Insurance Act due to the consistently low level of error over several years. Barring any unexpected changes, the next 

improper payments report for the unemployment program will take place in fiscal year 

2012. 

The agency continues to review its benefit payment programs to determine if the level 

of improper payments is significant. The RRB will also incorporate applicable new 

requirements of the Improper Payments Elimination and Reduction Act, enacted in July 

2010, in the fiscal year 2011 reporting. In addition, the agency actively looks to identify 

operational improvements that will minimize improper payments in all areas. 

Economic Recovery Activities 

The Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act of 

2010 contained two provisions that affected railroad employees. This law provided up to 

13 weeks of additional temporary extended unemployment benefits for certain workers 

who received normal unemployment benefits for days between July 1, 2010, and 

June 30, 2011, and exhausted eligibility for these benefits. The latest date that an 

extended benefit period may begin under this law is December 31, 2011. Previous authorizations for temporary extended unemployment benefits had been contained in the 

Worker, Homeownership and Business Assistance Act of 2009 and the American 

Recovery and Reinvestment Act of 2009. The former provided $175 million for payment 

of the extended benefits, with the unexpended portion of this money made available for 

the most recent authorization. 
ADMINISTRATIVE DEVELOPMENTS 37 

The Tax Relief Act also included a temporary reduction in social security payroll tax 

for employees, which includes the tier I tax on railroad employees, during calendar year 

2011. The previous overall tax rate was 7.65 percent, which included 6.2 percent for 

tier I and 1.45 percent for Medicare. The reduced rate is 5.65 percent, reflecting a 

reduction of 2 percentage points in the tier I rate, now 4.2 percent, with the Medicare 

rate still 1.45 percent. Payroll tax rates on railroad employers remained the same. The 

RRB worked closely with the Internal Revenue Service and railroad employers to 

implement this temporary tax rate reduction. 

The American Recovery and Reinvestment Act of 2009 provided for a one-time economic recovery payment of $250 to most railroad retirement beneficiaries. The RRB 

received $135 million to fund these payments, most of which were issued in 2009. 

However, the agency continued to identify some eligible individuals who had not yet 

received the payment. These “catch-up” payments were issued on a quarterly basis, 

with the final ones taking place in December 2010. A total of 519,875 railroad retirement beneficiaries received the economic recovery payments. 

Service Enhancements 

Online Filing of Sickness Claims 

In October 2010, the RRB expanded its Internet-based services to include online filing of biweekly claims for sickness benefits. Over 13 percent of sickness claims are currently being filed online. In 2011, the agency will further speed processing by implementing an automated review of “clean claims” that do not require further investigation. 

Employer Reporting System 

The agency initiated a system conversion of some existing Employer Reporting 

Systems forms from SAS to ASP.net programming software. While this will not provide any additional services, it will provide a single, more efficient programming platform that will enable development of additional forms in the future. 

Medicare Processing Improvements 

The RRB continued to participate in a joint workgroup with the Centers for 

Medicare & Medicaid Services to implement Medicare Parts C and D premium withholding from railroad retirement benefits during fiscal year 2011. In addition, the 

Patient Protection and Affordable Care Act, enacted in March 2010, provided for an 

income-related monthly adjustment on Part D prescription drug premiums paid by 

higher-income beneficiaries, starting in January 2011. This adjustment is similar to a 

Part B surcharge that has been in place since 2007. Implementation of premium withholding was implemented in June 2011. The RRB started direct billing affected 

beneficiaries for the monthly adjustment amount in January 2011 and continues work 

to implement withholding for this portion as well. 
38 2011 Annual Report, U.S. Railroad Retirement Board



Cost-of-Living Adjustment 

For the second time since the 1975 implementation of automatic cost-of-living 

adjustments based on inflation, the RRB did not pay a cost-of-living adjustment in 

December 2010 because there was not an increase in the Consumer Price Index from 

the third quarter of 2009 to the third quarter of 2010. Similarly, there was no 

cost-of-living adjustment in December 2009 because there was no change in the 

Consumer Price Index from the third quarter of 2008. At the same time, while the 

standard Medicare Part B premium increased from $110.50 in 2010 to $115.40 in 2011, 

a “hold harmless” provision exempts most recipients from paying the increased amount 

if there is no cost-of-living increase in their retirement benefits. 

Officials 

Michael S. Schwartz continues to serve as Chairman of the Railroad Retirement 

Board, along with V.M. Speakman, Jr. as Labor Member and Jerome F. Kever as 

Management Member. Mr. Schwartz was first appointed to the Board in 2003, while 

Mr. Speakman and Mr. Kever were both appointed in 1992, and are the longest-serving 

Labor and Management Members in the agency’s history. The agency’s long-time 

Chief Financial Officer, Kenneth P. Boehne, retired in March 2011 after more than 

40 years of Federal service. The Board subsequently appointed George V. Govan as the 

new Chief Financial Officer. Mr. Govan joined the RRB in April 2011 following his 

retirement from the U.S. Air Force as a Lieutenant Colonel. 

75th Anniversary Observance 

The RRB observed the 75th anniversary of the enactment of the Railroad 

Retirement Act of 1935 in August 2010. Part of President Franklin Roosevelt’s New 

Deal, this law served as the cornerstone of the present railroad retirement system. 

Special activities included a display of historical artifacts and memorabilia in the headquarters building and an open house for agency retirees. The culmination of this observance was a special anniversary luncheon at the Drake Hotel on August 27, 2010, with 

almost 500 attendees comprised primarily of RRB employees and retirees. Guest 

speakers were Michael J. Ogborn, Chairman of the Board of Directors for the American 

Short Line and Regional Railroad Association; W. Dan Pickett, President of the 

Brotherhood of Railroad Signalmen; Edward R. Hamberger, President and Chief 

Executive Officer of the Association of American Railroads; and Joseph C. Szabo, head 

of the Federal Railroad Administration. In addition, the guest of honor at the luncheon 

was Elva Overstreet, a centenarian and annuitant from Chicago whose late husband, 

Anthony, had been a Pullman porter for most of his railroad career. The agency also 

hosted a national managers meeting during that week to provide joint training and 

development for RRB managers from field offices and headquarters. 
ADMINISTRATIVE DEVELOPMENTS 39 

Headquarters Building 

The General Services Administration awarded contracts to renovate the lobby of 

the RRB’s headquarters building at 844 North Rush Street in Chicago, designating the 

work as an American Recovery and Reinvestment Act project. Construction started in 

August 2010 and was completed in March 2011. In 2009, the Congress passed and the 

President signed a resolution naming the building after William O. Lipinski, a longtime Congressman from the Chicago area with extensive expertise in transportation 

and railroad issues. Following completion of the lobby renovation, the General Services 

Administration scheduled a ceremony in June 2011 to formally dedicate the 

William O. Lipinski Federal Building. 

Workforce Management 

Staffing/Training 

The RRB has made significant progress in terms of hiring for entry-level positions. 

This is consistent with the agency’s human capital and succession planning documents. 

Given limited funding levels, the agency has managed to accomplish this by relying on 

attrition and retirements to bring new people into the workforce and position the 

agency to continue providing outstanding customer service into the future. In 2010, 

this included training classes for new claims examiners in the area of initial applications for retirement and survivor benefits, and another for unemployment and sickness 

insurance claims. The agency also instituted two new enhanced training programs for 

post-adjudication examiners in both retirement and survivor claims. A third training 

program implemented for Medicare claims examiners will help our customers receive 

Medicare benefits in a more timely and efficient manner. Finally, the RRB completed 

training for new claims representatives in its 53 field offices, and refresher training for 

experienced representatives, to enable our employees who have direct customer contact 

to provide the highest possible level of service. 

Hiring Reform 

The RRB made continued progress in fulfilling the requirements of the 

Administration’s initiative to reform the hiring process. Accomplishments included 

identifying areas of specialized need within the agency workforce and providing a 

request for assistance with these needs to the Office of Personnel Management. The 

RRB also developed a hiring reform action plan and implementation checklist, and 

streamlined the application process by allowing people to apply for jobs with a cover 

letter and resume, eliminating essay-style questions as part of the initial application, 

and making selections using a category-rating approach. 

Employee Survey 

The Office of Personnel Management conducts the Federal Employee Viewpoint 

Survey, formerly known as the Federal Human Capital Survey, to identify the extent to 

which employees identify the characteristics of successful organizations within their 
40 2011 Annual Report, U.S. Railroad Retirement Board



own agency. In reviewing the survey results for RRB employees, the agency’s human 

resources staff noted that the overall responses were very positive. The agency scored 

particularly well on the majority of questions dealing with personal work experiences. 

At the same time, RRB staff noted room for improvement in the areas of performance 

culture and job satisfaction. After identifying specific areas in which scores declined 

from the previous surveys or did not compare favorably to other agencies, the RRB 

developed an action plan and submitted it to the Office of Personnel Management. In 

the coming years, the agency intends to improve training capabilities and dealing with 

poor performance in a more effective manner. 

Employee Recognition 

The RRB administers an Awards for Excellence program to recognize outstanding 

agency employees, and also participates in the Chicago Federal Executive Board’s 

Federal Employee of the Year awards program. The latter program recognizes outstanding Federal employees from throughout the metropolitan area, and is held in conjunction with Public Service Recognition Week each spring. At the 2010 awards luncheon, the RRB had five nominees selected as finalists in their respective categories, 

with two winners of the coveted award. The agency’s occupational health nurse, 

Pauline Kuebler, R.N., was honored as the Worksite Wellness Champion, and the 

Sickness and Unemployment Benefits Section Customer Service Group was recognized 

as the Outstanding Team. 

Benefits Administration 

Same-sex domestic partners of RRB employees are now eligible to apply for coverage 

under the Federal Long Term Care Insurance Program. This is consistent with recent 

regulatory changes published in the Federal Register that expanded the definition of 

“qualified relative” to include same-sex domestic partners of eligible Federal employees 

and annuitants. In addition to long-term care insurance, RRB staff determined that 

same-sex domestic partners can avail themselves of some other benefits offered to 

agency employees, including the employee assistance program, child-care tuition assistance, and expanded family and medical leave. 

Information Technology 

RRBVision 

The RRB uses a system called RRBVision that allows users to view video presentations with accompanying training materials, such as PowerPoint presentations or 

online screens. Presentations can be viewed in real-time or saved for later viewing. In 

2011, the agency completed work on a new video production studio in its headquarters 

building that will facilitate creation of training programs with a more professional 

appearance. In 2010, the RRB developed 35 presentations for viewing by employees on 

the agency intranet. Topics included technical training for claims examiners/representatives, non-technical training sessions, and presentations from the RRB’s Office of 
ADMINISTRATIVE DEVELOPMENTS 41 

Equal Opportunity. The benefits of RRBVision include increased consistency in training, greater availability of training programs to offsite staff, on-demand accessibility, 

and savings in travel costs. RRBVision also offers programs for the railroad public that 

can be accessed through the RRB’s website. 

Records Storage/Accessibility 

The RRB completed the transfer of more than 1,400,000 inactive Railroad 

Retirement Act claim folders to the National Archives and Records Administration 

(NARA). The initiative included the development of an electronic finding aid by RRB 

staff that allows NARA employees to more easily locate individual folders within the 

52,000 cubic feet of transferred records. The material is also available to genealogical 

researchers. The transfer of records will result in recurring savings to the RRB of 

about $135,000 annually. 

Software Management 

As a result of an ongoing RRB effort to evaluate computer software for effectiveness 

and efficiency, the agency replaced its mainframe software tools in October 2010. This 

resulted in annual savings of more than $60,000, and an additional $139,000 when the 

mainframe is upgraded. 

Office of Equal Opportunity 

Diversity Program 

Throughout the year, the agency’s Office of Equal Opportunity sponsored many 

events and activities to foster a diverse work environment and enhance the understanding of disability issues. This included several cultural enrichment and commemorative events presented by the RRB’s Workplace Diversity Committee, and informational sessions on various topics by the Employees with Disabilities Advisory Council. 

Equal Opportunity Policy and Procedures 

The agency’s equal employment opportunity (EEO) complaint program meets all 

elements necessary to achieve a discrimination-free work environment. All employees 

received training on their rights and remedies under the No FEAR Act, Title VII and 

other antidiscrimination laws, with specialized training provided to managers and 

supervisors. The agency has policies and procedures to address all forms of EEO complaints including harassment, as well as procedures to respond to requests for reasonable accommodation. In addition to an EEO handbook, the RRB also posts relevant 

information on the agency intranet and the public website. 

Recruitment 

As part of the agency’s commitment to a diverse workforce, the Office of Equal 

Opportunity worked with the Bureau of Human Resources to create a diverse pool of 
42 2011 Annual Report, U.S. Railroad Retirement Board



external job applicants by identifying recruitment sources for individuals with disabilities, various underrepresented groups, and disabled veterans. 

Public Information Activities 

The RRB maintains direct contact with railroad retirement beneficiaries through 

its field offices located across the country. Field personnel explain benefit rights and 

responsibilities on an individual basis, assist railroad employees in applying for benefits and answer any questions related to the benefit programs. The RRB also relies on 

railroad labor groups and employers for assistance in keeping railroad personnel 

informed about its benefit programs. 

At informational conferences sponsored by the Labor Member of the Railroad 

Retirement Board for railroad labor union officials, RRB representatives describe and 

discuss the benefits available under the railroad retirement-survivor, unemploymentsickness and Medicare programs, and the attendees are provided with comprehensive 

informational materials. Now in its 54th year, in 2010 a total of 1,560 railroad labor 

union officials attended 35 informational conferences held in cities throughout the 

United States. In addition, railroad labor unions frequently request that RRB representatives speak before their meetings, seminars and conventions. In 2010, the Labor 

Member’s Office was represented at nine union gatherings attended by 2,101 railroad 

labor officials. Field personnel addressed 93 local union meetings with 5,760 members 

in attendance. 

At seminars for railroad executives and managers, RRB representatives review programs, financing, and administration, with special emphasis on those areas which 

require cooperation between railroads and RRB offices. During 2010, the Management 

Member’s Office conducted three seminars for 160 railroad officials, as well as preretirement counseling seminars attended by railroad employees and their spouses, and 

benefit update presentations. 

Office of Inspector General 

The Office of Inspector General for the RRB focuses its audit and investigative 

efforts on protecting the integrity of the agency’s trust funds by providing comprehensive program and operational oversight. During fiscal year 2010, in accordance with 

the Government Performance and Results Act of 1993, the Office of Inspector General 

adopted a new strategic plan which establishes three strategic goals: (1) add value to 

the RRB’s programs and operations; (2) protect the integrity of RRB programs, operations, and trust funds; and (3) ensure quality and excellence in Office of Inspector 

General work and products. The full text of the plan, and other documents referenced 

within this section, can be accessed at www.rrb.gov/oig. 

Audit Activity 

During fiscal year 2010, auditors completed 13 audits and issued findings and recommendations to agency management, including their opinion and related reports on 
ADMINISTRATIVE DEVELOPMENTS 43 

the RRB’s financial statements for fiscal years 2008 and 2009. In connection with the 

financial statement audit, the Inspector General issued a document that identified the 

most serious management challenges facing the RRB and progress in addressing them. 

This document was prepared pursuant to the Reports Consolidation Act of 2000 and the 

requirements of Office of Management and Budget Circular A-136. The Inspector 

General identified oversight for invested program assets, prevention of fraud and abuse 

in the occupational disability program, the integrity of the railroad Medicare program, 

security and privacy of information, accurate and reliable financial accounting and 

reporting, and prevention/detection of improper payments as the most serious challenges facing the agency. 

Additionally, auditors completed their annual evaluation of the agency's information security program, including progress in implementing the Federal Information 

Security Management Act of 2002 requirements, examined the RRB’s compliance with 

the American Recovery and Reinvestment Act of 2009, and contracted for audits of the 

financial interchange with social security. They also audited internal controls over 

Medicare premium transfers between the agency and the Centers for Medicare & 

Medicaid Services, unilateral disability freeze determinations, the account benefits 

ratio, and railroad Medicare services billed after a beneficiary’s date of death. 

Criminal Investigations 

The primary objective of Office of Inspector General investigations is to identify, 

investigate, and refer for prosecution or monetary recovery action cases of waste, fraud, 

and abuse in the RRB’s programs. They also seek to prevent and deter program fraud 

by reporting systemic weaknesses in agency operations and processes identified 

through investigative work. In order to maximize the impact of its resources, the investigators pursue cooperative investigative activities in coordination with other inspectors general and law enforcement agencies, such as the Federal Bureau of Investigation, the U.S. Secret Service, and the Postal Inspection Service. 

As of September 30, 2010, the caseload totaled 405 matters, representing more than 

$53.4 million1 in potential fraud. During fiscal year 2010, the Office of Inspector 

General secured 10 arrests, 47 indictments and/or informations, 50 convictions, 19 civil 

judgments, 67 referrals to the Department of Justice, and almost $29.3 million2 in 

financial accomplishments. 

1 This reflects potential fraud amounts related to programs administered exclusively by the RRB and potential fraud amounts from other Federal programs such as Medicare or social security which have been identified by Office of Inspector General joint investigative work. 

2 The total amount of financial accomplishments reflects fraud amounts related to programs administered

exclusively by the RRB and fraud amounts from other Federal programs such as Medicare or social security which were included in the disposition resulting from the investigation. 
LEGAL 
 RULINGS
 

Three rulings on cases involving the Railroad Retirement Board were issued 
 

by the courts of appeals during fiscal year 2010, and three noteworthy legal opinions



were issued by the RRB’s Office of General Counsel.



Court Cases 

Two petitions for review were pending at the beginning of fiscal year 2010, and 

three petitions for review were filed during the year. Three cases were decid­

ed by the courts of appeals during fiscal year 2010, all in the RRB’s favor, 

with two petitions still pending at the end of the year. 

Legal Opinions 

The RRB’s Office of General Counsel issued several formal Legal Opinions in fiscal 

year 2010, with summaries for three presented here as they are of special interest. 

Legal Opinion L-2010-01 addressed the issue of whether laid-off railroad employees 

would be disqualified from receiving unemployment benefits under the Railroad 

Unemployment Insurance Act because of retraining and unemployment-style benefits 

provided to these same employees under the Federal Trade Act. There are special provisions in the Federal Trade Act that provide retraining and support to employees who 

have been laid off due to manufacturing plant closings caused by foreign competition. 

The Federal Trade Act provides a type of unemployment benefit, as well as tuition 

reimbursements, retraining stipends, and dependent subsistence allowances to these 

affected workers. 

The Railroad Unemployment Insurance Act provides that employees cannot receive 

unemployment benefits from the RRB at the same time as other “social insurance” benefits. The opinion found that the Federal Trade Act unemployment-style benefits qualified as “social insurance” benefits and, thus, the laid-off railroad employees would not 

be eligible for unemployment benefits under the Railroad Unemployment Insurance 

Act. The opinion also found that any amounts provided for tuition reimbursement, 

retraining stipends or dependent subsistence allowances did not qualify as “social 

insurance” benefits because these amounts do not correspond to a specific period of 

unemployment. Therefore, employees would still be able to receive railroad unemployment benefits while receiving these types of reimbursements and stipends. 

45

46 2011 Annual Report, U.S. Railroad Retirement Board



In Legal Opinion L-2010-04, a railroad inquired as to how a judgment in a personal 

injury lawsuit that included damages for lost time would be treated by the RRB. The 

lawsuit was brought under the Federal Employers’ Liability Act. The judgment included a monetary amount for the employee’s “past loss, including lost earnings” and a different amount for the employee’s “future loss, including lost earnings.” The employee 

had not resigned after the lawsuit and the railroad was maintaining him as “disabled” 

on its active seniority list. 

The opinion held that the full amount of money accorded to past loss would be allocated as compensation to months between the date of injury and date of the judgment, 

while the full amount of money accorded to future loss would be allocated to months in 

the future beginning with the date of the judgment and continuing until the maximum 

per month (1/12 of annual maximum) is allocated to each future month. 

Legal Opinion L-2010-06 analyzed whether a laid-off employee receiving a Worker 

Adjustment and Retraining Notification (WARN) Act payment is still eligible for unemployment and sickness benefits under the Railroad Unemployment Insurance Act. The 

WARN Act states that employers with 100 or more employees must give written notice 

to employees at least 60 days in advance of a plant closing. If the employer fails to give 

proper notice to the employees, the employer must provide back pay and benefits to the 

employees for each day of the employer’s violation of the WARN Act. 

Under the Railroad Unemployment Insurance Act, workers cannot receive unemployment and sickness payments if they are also receiving compensation from an 

employer. Therefore, because WARN Act payments are meant to replace compensation 

lost due to a layoff, an employee receiving such payments would be disqualified from 

simultaneously receiving unemployment or sickness benefits. 

Appeals 

Any claimant for benefits under the Railroad Retirement or Railroad Unemployment Insurance Acts may appeal a determination he or she feels is not justified. This 

appeal must be filed within certain time frames. Appeals are heard and decided by the 

RRB’s Bureau of Hearings and Appeals. An appellant who is dissatisfied with the decision on his or her appeal may further appeal the case to the three-member Board within a prescribed period of time. 

Railroad Retirement Act 

During fiscal year 2010, 503 appeals were filed with the Bureau of Hearings and 

Appeals under the Railroad Retirement Act, and the Bureau rendered decisions in 428 

appeals. The initial or reconsideration decision was sustained in 159 cases. In 269 

appeals the decision was favorable to the claimant in whole or in part. 
LEGAL RULINGS 47 

Sixty-seven appeals were filed with the Board in fiscal year 2010, which, added to 

the 30 appeals carried over from the previous year, brought the total to be considered to 

97. Of 71 decisions, 55 sustained previous rulings of the hearings officer, four were 

reversed, one was remanded to the Office of Programs, six were remanded to the 

Bureau of Hearings and Appeals, three were affirmed in part and allowed in part, and 

two were dismissed. At the end of the year, 26 appeals were pending before the Board. 

Railroad Unemployment Insurance Act 

During fiscal year 2010, 34 appeals were filed with the Bureau of Hearings and 

Appeals under the Railroad Unemployment Insurance Act, and the Bureau rendered 

decisions in 33 appeals. The initial or reconsideration decision was sustained in 25 

cases. In eight appeals the decision was favorable to the claimant in whole or in part. 

Three appeals were filed with the Board in fiscal year 2010. The Board rendered a 

decision on all three appeals, affirming the decision of the referee in each one. At the 

end of the year, no appeals were pending before the Board. 
STATISTICAL

TABLES
Table 1.--Beneficiaries and benefits paid under the Railroad Retirement Act and the Railroad Unemployment Insurance Act,

by fiscal year, 2001-2010, cash basis

2001 . 737 483 228 18 24

2002 . 719 475 219 17 24

2003 . 699 465 211 15 23

2004 . 677 456 203 12 22

2005 . 659 448 194 10 21

2006 . 643 441 187 9 20

2007 . 641 444 180 10 19

2008 . 623 433 174 11 19

2009 . 626 430 167 24 18

2010 . 617 428 161 22 18

2001 . $8,506.2 $6,352.6 $2,058.8 $43.2 $51.6

2002 . 8,742.1 6,535.9 2,107.5 49.2 49.4

2003 . 8,957.3 6,726.0 2,136.9 44.3 50.1

2004 . 9,091.3 6,876.9 2,131.3 37.7 45.3

2005 . 9,254.0 7,051.6 2,129.5 29.2 43.7

2006 . 9,513.7 7,294.0 2,146.9 30.8 42.1

2007 . 9,871.5 7,641.1 2,156.4 27.8 46.2

2008 . 10,115.4 7,877.0 2,158.1 35.1 44.9

2009 . 10,663.8 8,311.0 2,192.0 111.7 48.1

2010 . 10,939.8 8,588.6 2,187.1 109.6 50.0

1 Beginning in fiscal year 2008, beneficiaries and benefit payments include partition payments to spouses and divorced spouses where the employee is deceased or not

otherwise entitled to an annuity. Benefit payments also include a small amount of payments for hospital insurance benefits for services in Canada.

2 Retirement benefits include vested dual benefit and supplemental annuity payments. Survivor benefits include vested dual benefit payments.

3 Includes temporary extended unemployment benefits under the American Recovery and Reinvestment Act of 2009 and Worker, Homeownership, and Business Assistance

Act of 2009.

NOTE.-- Number of beneficiaries represents all individuals paid benefits in year. In total number for each year, beneficiaries are counted only once, even though they may have

received more than one type of benefit. In fiscal year 2010,7,700 individuals received both retirement and survivor benefits, 1,400 employees received both unemployment and

sickness benefits, and 3,100 employees received benefits under both the Railroad Retirement Act and the Railroad Unemployment Insurance Act. These figures are partly

estimated, and totals for earlier years are similarly adjusted.
Table 2.--Status of the Railroad Retirement Act accounts and trust funds, by fiscal year, 2001-2010 (In millions), cash basis

Fiscal Year

Item 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

RAILROAD RETIREMENT ACCOUNT

Receipts

Tax transfers 1••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••• $2,819.2 $2,743.1 $2,651.4 $2,611.0 $2,606.6 $2,674.8 $2,637.8 $2,636.5 $2,501.2 $2,599.0

Interest and profit on investments 2 •••••••••••••••••••••••••••••••••• : ••• 2,027.2 1,875.8 291.8 15.1 15.8 19.6 19.3 12.9 12.0 11.0

Transfers from the National RR Investment Truse ................. ........ ........ 300.0 1,564.0 809.0 947.0 1,391.0 1,298.0 1,553.0 1,989.0

Transfers from the SSEB Account3 ••••.•.••••••••••.•••.•••••.••.••••••• ........ ........ ........ 223.0 149.0 38.0 181.0 147.0 ........ 81.0

Loan repayments from RUI Account4 ••••••••••••••••••••••••••••••••••• ........ ........ 8.2

Transfer from RR Supplemental Accounts ............................ ........ 0.1

Expenditures

Benefit payments 6 ••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••• $2,971.4 $3,240.7 $3,504.1 $3,602.4 $3,679.0 $3,808.8 $4,073.0 $4,121.8 $4,326.9 $4,474.4

Financial Interchange adjustment 7 ••••.•••••••••••••••••••••.•.•••••••••. (52.9) 140.9 72.1 36.6 (137.4) (85.9) (45.7) (100.0) (104.6) (13.1)

Net transfers to administration ............................................ 54.7 64.9 64.0 65.3 73.7 69.9 64.0 58.4 63.4 68.7

Transfers to the National RR Investment·Trust3 ••••••••••••.•••••••. ........ 1,431.6 17,750.0 586.0

Loans to RUI Account. ........................................................ ........ 7.8 ........ ........ ........ ........ ........ ........ ........ 46.5

Balance at end of period 8••••••••••••••••••••••.••••••••••••.••••••••••••••••••••• $18,907.2 $18,640.4 $502.2 $625.6 $591.1 $479.4 $616.9 $632.0 $418.2 $519.0

SOCIAL SECURITY EQUIVALENT BENEFIT ACCOUNT 9

Receipts

Tax transfers 1••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••• $2,134.0 $2,134.7 $2,128.0 $2,240.8 $2,370.8 $2,462.5 $2,538.0 $2,649.3 $2,528.9 $2,514.9

Interest and profit on investments 2 •••••••••••••••••••••••••••••••••••••• 105.5 71.6 59.1 20.0 23.3 28.0 29.0 19.9 19.0 18.9

Transfers under financial interchange 10••••••••••••••••••••••••••••••• 3,282.8 3,646.8 3,747.3 3,843.5 3,917.3 3,846.3 4,019.8 4,049.9 4,137.3 4,391.6

Advances against financial interchange 11••••••••••••••••••••••••.•••. 3,145.2 3,153.9 3,236.1 3,245.7 3,256.0 3,241.3 3,232.3 3,385.6 3,661.1 3,819.0

Expenditures rn Benefit payments ............................................................... $5,215.2 $5,243.8 $5,229.5 $5,288.7 $5,395.8 $5,536.1 $5,637.9 $5,835.8 $6,107.6 $6,243.7

Financial Interchange adjustment 7 ••.•••••.•••••.•••••••••.•••••.•••.•••. E 52.9 (140.9) (72.1) (36.6) 137.4 85.9 45.7 100.0 104.6 13.1

Net transfers to administration ............................................ 25.0 26.1 22.8 22.9 24.1 24.3 25.6 38.5 32.5 33.6 n

Transfers under financial interchange 10•••••••••••••••••••.••••••••••• 469.7 424.7 426.3 418.6 444.9 471.5 483.3 525.7 524.3 535.1 ):>

.. Repayment of advances against financial interchange 4 •••.•••••. 3,222.2 3,385.3 3,342.4 3,409.9 3,399.6 3,419.7 3,418.7 3,410.8 3,564.8 3,837.6 -I

):>

Transfers to the National RR Investment TrustlRR Accoune ... tIl

........ ........ 1,438.0 223.0 149.0 38.0 181.0 147.0 ........ 81.0 ..

men

Balance at end of period ........................................................... $1,822.7 $1,890.9 $674.6 $698.2 $714.8 $717.4 $744.2 $791.2 $803.8 $804.0 U1 ....•.

See footnotes at end of table.

~
 
Receipts

Tax transfers .

Interest and profit on investments 2 ••.•••••••••••••.•••••••••••••••••••••

Expenditures

Benefit payments 6 •••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••

Net transfers to administration .

Transfers to the National RR Investment Trust3 ••••••••••••.•••••••.

Transfer to Railroad Retirement Account. .

DUAL BENEFITS PAYMENTS ACCOUNT'4

Dual benefit transfers '5............................................................ $160.0 $146.0 $131.1 $118.3 $107.1 $97.0 $88.0 $79.0

Benefit payments ..................................................................... 156.0 142.2 129.4 117.3 106.3 96.0 86.5 77.7

Balance at end of period 8••••••••••••••••••••••••••••••••••••••••••••.••.••••••••• $4.0 $3.9 $1.8 $1.0 $0.8 $1.0 $1.5 $1.3

'
1 Net of U.S. Treasury adjustments for payroll tax refunds to certain carriers and their employees for prior periods. Includes Federal income tax transfers under

section 72(r) of the Internal Revenue Code as amended.

3	 Under the Railroad Retirement and Survivors' Improvement Act of 2001, as amended, the portion of the Railroad Retirement Account not needed to

pay current administrative expenses is to be transferred to the National Railroad Retirement Investment Trust. The Trust may transfer funds back to the

Railroad Retirement Account for payment of benefits. The balance of the Social Security Equivalent Benefit (SSEB) Account not needed to pay current benefits and

administrative expenses is to be transferred to the Trust or to the Railroad Retirement Account. The SSEB Account transferred funds to the Trust in fiscal year

2003 and to the Railroad Retirement Account thereafter. .

5	 Under the Railroad Retirement and Survivors' Improvement Act of 2001, the supplemental work-hour tax was repealed for years after 2001, and the

separate Railroad Retirement Supplemental Account was eliminated. The balance remaining in the Railroad Retirement Supplemental Account was transferred to

the Railroad Retirement Account.

6	 Effective January 1, 2002, supplemental benefits are paid from the Railroad Retirement Account.

7	 Adjustments in benefit payments charged to the Social Security Equivalent Benefit Account as compared to actual financial interchange benefits, with

interest.

8	 The Railroad Retirement Account balance reflects (a) the current net difference between RRB payments of social security benefits and the receipt of

reimbursements for such payments, (b) liabilities for uncashed check credits received from U.S. Treasury, and (c) credits for undistributed payment returns and

recoveries. The Dual Benefits Payments Account balance does not carryover to the following year.

10 Transfers to or from OASDHI Trust Funds under section 7(c)(2) of the 1974 Railroad Retirement Act.

11	 Advances, including interest, from U.S. Treasury to offset lag in receipt of financial interchange funds under section 7(c)(4) of the 1974 Railroad

Retirement Act as amended.

14	 Established October 1, 1981, to keep track of the financing and payment of vested dual benefits.

15	 Transfers from U.S. Treasury under section 15(d) of the 1974 Railroad Retirement Act and Federal income tax transfers under section 72(r) of the

Internal Revenue Code as amended.
Taxes

Interest. .

Transfer from Administration fund

under sec. 11(d) of the RUI Act.. .

Undistributed recoveries of benefit payments 1..•.

Loans from the RR Account ,

Benefit payments .

Funding for Office of Inspector Genera!.. .

Loans .

Interest accrued .

$65,725

5,387

$65,995

3,963

$67,074

6,838

$69,600

4,688

$75,298

1,354

6,664

(982)

8,923

1,405

8,711

(34)

9,808

(169)

8,305

354

46,500

$72,812

1,558

$74,004

1,572

$80,068

1,550

$149,555

1,536

$139,392

1,274

$74,370

$99,606

$81,618

$105,287

$140,666

$29,269

$46,500

878

'" '

"'
Transfer to

Railroad

Unemployment

Insurance

Taxes and Administrative Account under Balance at

interest expenditures 1 Sec. 11 (d)2 end of period

2001 . $20,434 $14,004 $6,048 $8,011

2002 . 20,032 13,266 6,734 8,043

2003 . 21,313 15,407 5,645 8,304

2004 . 20,787 15,846 6,608 6,637

2005 . 21,126 15,761 6,544 5,457

2006 . 21,980 10,610 6,664 10,163

2007 . 23,082 14,415 8,923 9,907

2008 . 23,945 14,713 8,711 10,427

2009 . 23,151 14,305 9,808 9,465

2010 . 22,990 15,729 8,305 8,421

1 Expenditures for each year included encumbrances as of end of year. Fiscal years 2006-2009 reflect reallocation of prior period

administrative expenses between the Railroad Retirement Act and Railroad Unemployment Insurance Act programs.

2 Transfers to the Railroad Unemployment Insurance Account are based on the amount the accrual balance on the prior

September 30 exceeded $6,000,000.
Table 5.--Number and average amount of retirement and survivor annuities in current-payment status at end of year,

by type of annuitant and fiscal year, 2001-2010

Retired employees Spouses

and Widowed

Supple- divorced Aged Disabled mothers Remarried Divorced

Fiscal year Total1 Age Disability mental2 spouses widow(er)s3 widow(er)s (fathers)3 Children widow(er)s widow(er)s3

NUMBER AT END OF YEAR

2001 ........................... 790,711 219,646 80,574 132,799 154,710 167,840 5,460 1,165 13,233 5,733 9,490

2002 ........................... 775,638 216,044 81•.653 132,066 151,006 160,490 5,236 1,114 12,804 5,619 9,545

2003 ........................... 756,176 210,363 82,572 129,201 146,740 153,673 5,105 1,035 12,472 5,421 9,541

2004 ........................... 736,787 204,650 83,302 125,992 142,881 146,943 4,936 1,050 12,176 5,256 9,550

2005 ........................... 721,659 199,767 84,000 123,550 141,330 140,595 4,835 999 11,795 5,078 9,657

2006 ........................... 706,158 195,380 84,321 121,407 138,492 134,811 4,733 927 11,448 4,907 9,682

2007 ........................... 696,472 193,282 84,319 121,188 137,371 129,350 4,596 877 11,078 4,751 9,615

2008 ........................... 686,636 191,146 84,049 120,824 136,332 124,089 4,450 832 10,692 4,552 9,552

2009 ........................... 680,534 190,302 83,804 120,778 136,467 119,459 4,323 814 10,417 4,361 9,520

2010 ........................... 676,653 190,236 83,517 121,166 137,112 114,929 4,251 776 10,168 4,161 9,595

AVERAGE AMOUNT

2001 ........................... $1,414 $1,548 $42 $550 $870 $746 $1,076 $706 $603 $606
 

2002 ........................... 1,496 1,624 42 579 948 799 1,228 728 627 633
 

2003 ........................... 1,554 1,683 42 598 985 831 1,279 744 647 649
 

2004 ........................... 1,619 1,751 42 620 1,026 865 1,337 766 673 674
 

2005 ........................... 1,693 1,825 42 638 1,069 902 1,388 789 704 703
 

2006 ........................... 1,789 1,920 42 671 1,122 946 1,423 823 747 740
 

2007 ........................... 1,890 2,005 42 709 1,173 989 1,471 853 781 773
 

2008 ........................... 1,982 2,070 42 742 1,222 1,025 1,529 879 816 804
 

2009 ........................... 2,126 2,197 42 795 1,294 1,084 1,597 935 879 867
 

2010 ........................... 2,186 2,221 42 817 1,329 1,108 1,643 937 896 880
 

1 Includes annuities to parents and, beginning in fiscal year 2008, partition payments to spouses and divorced spouses where the employee is deceased or not

otherwise entitled to an annuity. On September 30,2010, there were 32 parents' annuities in current-payment status averaging $935 and 710 partition payments

averaging $287.

2 Excludes partition payments to spouses and divorced spouses where the employee is deceased. Averages are after court-ordered partitions.

3 Numbers include annuities temporarily being paid at spouse annuity rates, pending final adjudication of survivor annuities.

NOTE.--Data exclude survivor (option) annuities, last payable in December 2005.
Table 6.--Number and average amount of retirement and survivor annuities awarded during year, by type of annuitant and fiscal year, 2001-2010

Retired employees Spouses

and Widowed

Supple- divorced Aged Disabled mothers Remarried Divorced

Fiscal year Total1 Age Disability mental2 spouses widow(er)s widow(er)s (fathers) Children widow(er)s widow(er)s

NUMBER AWARDED

2001 ......................... 33,289 6,285 4,630 4,339 7,648 8,372 217 157 611 307 719
 

2002 ......................... 44,485 11,127 5,206 8,337 9,764 8,104 199 161 590 273 716
 

2003 ......................... 37,841 8,261 4,955 6,124 8,749 7,800 244 162 645 216 684
 

2004 ......................... 36,083 7,801 4,764 5,590 8,579 7,320 218 186 660 258 702
 

20053 •••••••••••••••••.•••••• 37,405 7,958 4,399 5,671 10,380 7,020 239 176 581 221 751
 

2006 ........................ 35,137 7,919 4,128 5,717 8,830 6,820 204 107 504 197 709
 

2007 ......................... 38,743 9,643 3,619 7,273 10,065 6,482 205 113 498 182 661
 

2008 .......................... 38,591 9,753 3,402 7,090 10,127 6,511 166 143 515 188 693
 

2009 .......................... 39,317 10,310 3,213 7,015 10,919 6,283 181 142 463 166 622
 

2010 .......................... 40,191 10,712 3,161 7,319 11,256 6,163 189 99 429 157 702
 

Cumulative 1937-2010 5,013,711 1,462,650 513,880 482,745 1,155,175 1,017,109 18,154 84,876 236,616 15,194 23,776

AVERAGE AMOUNT

2001 ......................... $1,842 $1,971 $41 $613 $1,044 $927 $996 $932 $701 $654
 

2002 ......................... 2,243 2,051 42 697 1,286 1,148 1,319 961 697 705
 

2003 ......................... 2,201 2,092 41 733 1,346 1,262 1,384 953 775 743
 

2004 ......................... 2,247 2,168 41 744 1,378 1,257 1,550 998 816 777
 

20053 •••••••••••••••••••••••• 2,285 2,210 41 655 1,416 1,288 1,397 1,023 821 796
 

2006 ......................... 2,389 2,308 41 794 1,493 1,334 1,492 1,056 865 822
 

2007 ......................... 2,562 2,397 41 890 1,557 1,373 1,585 1,099 885 854
 

2008 ......................... 2,650 2,441 41 911 1,629 1,385 1,721 1,153 964 901
 

2009 ......................... 2,685 2,558 41 931 1,708 1,443 1,709 1,233 1,030 996
 

2010 ......................... 2,786 2,509 41 950 1,740 1,536 1,778 1,203 1,064 963
 

1Excludes partition payments to spouses and divorced spouses where the employee is deceased or not otherwise entitled to an annuity. Includes annuities to parents.

Fiscal year 2010 total includes 4 annuities to parents averaging $798. Cumulative total includes 3,536 annuities to parents.

2 Excludes partition payments to spouses and divorced spouses where the employee is deceased. Averages are after court-ordered partitions.

3 An unusually large number of spouse awards were made with small or no tier 1 amounts, resulting in larger than normal numbers of spouse awards and smaller than normal award

amounts.
Alabama

Alaska.

Arizona.

Arkansas.

California.

Colorado.

Connecticut..

Delaware,

Washington DC.

Florida.

Georgia.

Hawaii.

Idaho.

Illinois.

Indiana.

Iowa.

Ka'lsas.

Kentucky.

Louisiana.

Maine ........•......................................................................

Maryland.

Massachusetts.

Michigan.

Minnesota.

Mississippi.

Missouri...

Montana.

Nebraska.

Nevada.

New Hampshire.

New Jersey.

New Mexico.

New york.

North Carolina.

North Dakota.

Total

1

Monthly

Number amount

12,000 $16,537

200 275

11,900 15,375

12,300 17,147

35,300 44,756

9,500 13,052

3,200 4,554

2,300 3,279

500 565

36,400 48,068

20,400 28,141

200 224

5,700 7,844

42,500 54,738

20,200 26,995

11,200 14,618

17,600 24,080

18,600 24,799

9,300 12,534

3,400 4,286

10,700 14,117

4,900 6,247

17,900 23,309

18,800 24,157

7,800 10,258

23,700 31,360

7,200 9,872

15,200 21,846

4,100 5,376

1,100 1,343

10,600 14,437

5,400 7,089

26,000 36,699

12,700 16,522

3,900 5,186

Retirement benefits

2

Monthly

Number amount

9,500 $13,406

200 221

9,500 12,331

10,200 14,485

27,700 35,568

7,600 10,780

2,400 3,580

1,800 2,628

400 435

29,500 39,714

16,600 23,330

200 174

4,600 6,400

33,600 43,670

15,900 21,576

8,800 11,590

14,300 19,810

14,900 20,101

7,300 9,983

2,600 3,252

8,200 10,978

3,700 4,774

14,200 18,672

14,800 19,159

6,200 8,292

19,000 25,472

5,800 8,027

12,700 18,495

3,300 4,369

800 1,019

7,900 11,170

4,200 5,620

20,000 29,508

9,900 13,196

3,000 4,021

U1

Survivor benefits 00

"-> Monthly 0

...•.

Number amount

...•. »::l

::l

s::::

2,500 $3,131

e!.

;;0

100 54 CD

"'C

2,400 3,039

0

2,100 2,656

;:l-e 7,600 9,175 0

;;0

1,800 2,267 !!!.

800 974

...• 0

III

500 650 0..

100 130 ;;0

CD

7,000 8,346 ...•

CD3

3,800 4,810 CD::l

(4) 49-III 0

1,100 1,443 III ...•

8,800 11,055

0..

4,200 5,414

2,300 3,024

3,300 4,264

3,700 4,692

2,000 2,548

800 1,034

2,500 3,138

1,200 1,473

3,600 4,628

4,000 4,992

1,600 1,964

4,700 5,880

1,400 1,842

2,500 3,344

800 1,006

300 324

2,700 3,265

1,200 1,468

6,000 7,187

2,800 3,324

900 1,161

'

~
Ohio .

Oklahoma .,

Oregon .,

Pennsylvania .

Rhode Island .,

South Carolina .,

South Dakota .

Tennessee .

Texas .

Utah .

Vermont. .

Virginia .,

Washington .

West Virginia .

Wisconsin .

Canada .

Mexico .

Other .

Total' Retirement benefits2 Survivor benefits

Monthly Monthly Monthly

Number amount Number amount Number amount

33,800 $43,429 25,900 $33,407 7,900 $10,015

6,200 8,339 4,900 6,681 1,300 1,655

10,200 13,536 8,100 10,847 2,100 2,684

42,200 55,832 31,100 41,783 11,100 14,044

700 847 500 660 200 187

8,300 11,189 6,500 9,090 1,700 2,097

1,800 2,348 1,400 1,905 300 442

15,300 20,557 12,100 16,606 3,200 3,946

41,600 56,879 33,200 46,133 8,400 10,721

6,500 8,906 5,200 7,072 1,400 1,831

1,000 1,122 700 820 200 303

21,100 28,192 16,300 22,403 4,700 5,786

14,300 19,139 11,400 15,410 2,900 3,724

11,000 14,506 8,200 10,985 2,700 3,518

12,500 15,742 9,900 12,449 2,600 3,288

3,900 5,638 3,200 4,746 700 891

2,700

300

700

1,700

100

400

1,016

98

466

1,000

200

300

1,874

247

751

1 Includes 700 partition payments to spouses and divorced spouses where the employee is deceased or not otherwise entitled to an annuity.

2 Includes 121,200 supplemental annuities to employees receiving regular annuities. In a relatively small number of cases, employees were also receiving spouse or widow(er)'s benefits.

3 State of residence of beneficiary on September 30, 2010.

4 Less than 50.

5 Includes beneficiaries whose state of residence was unknown.

NOTE.--Retirement benefits include regular and supplemental employee annuities, spouse annuities and divorced spouse annuities. Survivor benefits include annuities to aged and disabled

widow(er)s, widowed mothers and fathers, remarried and divorced widow(er)s, children, parents, and widow(er)s annuities temporarily being paid at spouse annuity rates pending final

adjudication of survivor annuities. Benefit amounts exclude social security payments to dual beneficiaries.

~
Table 8.-- Principal administrative data for the unemployment and sickness benefit programs,

benefit years 2005-2006 through 2009-2010, cash basis

Qualified em ployees . 244,600 250,200 255,200 255,500 252,300
 

Maximum daily benefit rate . $56 $57 $59 $61 $64
 

Net amount of benefits paid (thousands) $30,586 $29,627 $32,212 $77,804 $138,175

Payments:1

Number . 54,000 56,600 64,600 139,100 241,200

Average amount per two-week

claim period . $490 $499 $519 $520 $553

Benefi cia ries . 8,900 9,500 10,100 21,400 24,800

Applications received . 11,400 12,200 13,200 32,600 24,500

Claims received . 65,000 68,800 78,000 166,900 265,900

Normal benefit accounts exhausted . 1,900 1,800 2,000 3,100 7,500

Non-compensable waiting period ol1ll .. (3) (3) (3) (3) (3)

Net amount of benefits paid (thousands) $43,801 $43,533 $46,115 $45,158 $52,358

Payments:1

Num ber . 135,500 128,300 122,400 117,200 120,000

Average amount per two-week

claim period . $496 $503 $520 $538 $565

Beneficiaries . 19,700 19,000 18,400 17,600 17,800

Applications received . 26,400 23,300 22,500 21,500 21,500

Claims received . 157,800 149,700 143,000 137,400 140,400

Normal benefit accounts exhausted . 3,700 3,500 3,300 3,100 3,200

Non-compensable waiting period onll .. 100 100 100 100 100

1 Not adjusted for recoveries or settlements of underpayments.
 

2 Benefits are payable for each day of unemployment or sickness in excess of 7 during the first 14-day registration period in a benefit year.
 

3 Less than 50.
 

NOTE.--Data covered program activities during the year, regardless of when unemployment or sickness occurred. Starting in June 2009, includes
 

temporary extended unemployment benefits authorized by the American Recovery and Reinvestment Act of 2009. Beginning in November 2009,
 

temporary extended unemployment benefits are also being paid under the Worker, Homeownership, and Business Assistance Act of 2009.
 
All employees New entrants Creditable Compensation (thousands)

Class or name of employer Total

With 12 months

of service

in 2009

With

sufficient

service for

RRA annuity

Qualified

for RUIA

benefits Total

Qualified

for RUIA

benefits Tier I Tier II RUIA

CLASS OF EMPLOYER

Class I railroads ........................................................

Class II railroads .......................................................

Class III railroads and

switching & terminal companies ..........................

Car-loan compan ies .................................................

Miscellaneous employers 1••••••••••••••••••••••••••••••••••

195,329

7,267

41,946

1,518

4,880

155,127

5,463

33,736

984

3,975

146,417

5,098

29,833

1,282

3,218

187,134

6,816

39,501

1,294

4,400

3,517

235

2,089

14

311

2,324

144

1,108

9

138

$11,809,057

365,586

2,547,492

74,506

330,154

$11,148,057

355,670

2,356,389

70,136

282,738

$2,807,447

100,855

598,267

19,346

66,995

Total. ...................................................................... 250,940 199,285 185,848 239,145 6,166 3,723 $15,126,796 $14,212,990 $3,592,909

SELECTED EMPLOYERS

BNSF Railway Co ......................................................

Canadian National, U.S. Operations

Bessemer and Lake Erie Railroad Co ..................

Chicago Central and Pacific Railroad Co ............

Duluth Missabe and Iron Range Railway Co.......

Duluth, Winnipeg and Pacific Railway Co...........

Elgin, Joliet and Eastern Railway Co ..................

Grand Trunk Western Railroad Co ......................

Illinois Central Railroad Co ..................................

Pittsburgh and Conneaut Dock Co ......................

Wisconsin Central LTD........................................

CSX Transportation Inc ............................................

Kansas City Southern Railway Co ...........................

Gateway Eastern Railway Co ...............................

Texas Mexican Railway Co..................................

National Railroad Passenger Corp. (Amtrak) ..........

Norfolk Southern Corp .............................................

Soo Line Railroad Co...............................................

Union Pacific Railroad Co ........................................

43,622

102

251

309

135

180

1,133

3,614

53

1,500

32,788

2,955

11

186

21,475

30,976

2,858

53,181

35,018

77

202

229

113

41

883

3,000

30

1,171

25,194

2,294

8

146

17,077

25,043

2,139

42,462

32,475

85

210

234

104

147

1,044

2,811

51

1,312

24,188

2,009

9

129

15,836

22,895

2,177

40,701

41,443

94

244

298

132

167

1,109

3,531

43

1,451

30,809

2,786

9

178

20,510

30,208

2,754

51,368

487

2

3

2

1

5

61

4

243

120

2

7

1,736

483

63

298

344

2

2

37

2

169

51

4

1,076

396

19

222

$2,781,028

5,748

17,305

18,057

9,769

10,563

78,715

249,032

1,982

103,195

1,913,201

171,831

566

11,900

1,335,649

1,810,029

159,228

3,131,260

$2,598,996

5,567

15,666

17,318

9,225

10,373

72,150

225,665

1,847

92,695

1,824,609

164,333

543

11,333

1,233,636

1,738,256

155,003

2,970,840

$624,905

1,393

3,707

4,307

2,020

1,478

16,412

53,425

567

21,872

461,700

41,661

145

2,693

310,688

453,011

40,582

766,883

en

E

!Zj

n

»•....

-I

»

OJ •....

m

en

O'l ....•.

1 Includes labor organizations, lessor companies, employer associations and miscellaneous carrier affiliates.

NOTE.--Tier I compensation excludes miscellaneous compensation taxable at the tier I tax rate.
 

 

2011 Annual Report United States Railroad Retirement Board

United States
 

Railroad Retirement Board
 

844 North Rush Street
 

Chicago, Illinois 60611-2092
 

www.rrb.gov
 

2011 RRB cover-3-23.indd 1