mIS FORM IS TO BE USED FORM NO. G-21 (9-83) TRANSCRIPT NO. 

ONLY BY mE SECRETARY 

TO mE BOARD OR AS 

OTHER~SESPECWICALLY 

UNITED STATES OF AMERICA 

RAILROAD RETIREMENT BOARD 

Special 

PAGE 1 OF 

5 

PAGES 

DIRECTED BY THE BOARD. 

TRANSCRIPT OF BOARD ORDERS 

DATE TRANSCRIPT RELEASED 

I CERTIFY THAT THE FOLLOWING IS A TRUE AND CORRECT TRANSCRIPT 

OF BOARDORDER(S) NUMBERED _--::1:-2-_2-:9::--=-:=-=-.........._________---,,....::::::::::::."'"""=:"____• 

_~ftTHE~~ ___~~~_n~,_w_u_·~~~~--~~~~-~--~-~--

V0JQJiP-~ SECRETARY TO THE BOARD 

B.O. 12-29 

This is the statement of the Railroad Retirement Board regarding agency 

processing of Agreements under the Long Island Railroad Voluntary Disclosure 

and Disposition Program of the United States Attorney for the Southern District of 

New York. 

I. EARLY AGREEMENT FORM PROCESSING 

A. DISABILITY ANNUITY ENTITLEMENT 

1. Current Disability Application. 

The Board will consider an executed Early Agreement form to be a 

request to cancel the disability application under section 217.26 of the Board's 

regulations, without regard to the provision requiring consent of other potential 

annuitants which is otherwise required by 217.26(b)(2}. Cancellation renders all 

annuity payments based on that application to be erroneous. Recovery of the 

total amount of erroneous annuity payments will be determined to be 

compromised by agreement to $0.00. The Board will also discontinue the 

employee's participation in early Medicare based on the cancelled disability 

application. The Board makes no representation regarding recovery of 

payments made to medical providers as a result of the cancelled application. 
B.O.12-29 Page 2 

2. Future Disability Application. 

The Board will determine an applicant's entitlement to disability based 

upon any future disability annuity application filed in accordance with sections 

2(a)(1 )(iv) and (v) of the Railroad Retirement Act. In determining credibility of 

claimed disabling impairments in a future application, the Board will weigh the 

applicant's declaration under penalty of perjury that he or she made false or 

misleading statements with respect to his or her health condition in the 

cancelled disability annuity application. 

The Board will determine that filing a new disability application voids the 

agreement to compromise recovery of the erroneous payment caused by 

cancellation of the earlier application. If the Board determines that the 

applicant meets the conditions for entitlement to a new disability annuity, no 

payment will be made to the annuitant until the entire amount of the erroneous 

payment under the cancelled application is recovered by full offset against the 

disability annuity payable under the later application. If the Board determines 

that the applicant does not meet the conditions for entitlement to a new 

disability annuity, the Board will nevertheless pursue recovery of the entire 

amount of erroneous payment as a debt due the United States. 

Without regard to whether the Board determines the employee to be entitled to 

a disability annuity based upon a new application, or the recovery by the Board 

of erroneous payments based on the cancelled application, the Board will also 

notify the United States Attorney for the Southern District of New York that the 

claimant filed a new application for a disability annuity. The U.S. Attorney may 

take action as deemed appropriate. 

B. AGE AND SERVICE ANNUITY ENTITLEMENT. 

An employee who cancels his or her disability annuity by an Early 

Agreement form may file an application for any age and service annuity under 

section 2(a)(1) of the Railroad Retirement Act at any time after meeting the 

eligibility requirements provided by law. The Board will determine entitlement to 

the age and service annuity, and will not consider the application to void or to 

have any other effect upon the agreement to compromise recovery of the 

erroneous payments made under the cancelled disability annuity application. 
B.O. 12-29 Page 3 

II. STANDARD AGREEMENT FORM PROCESSING. 

A. DISABILITY ANNUITY ENTITLEMENT 

1. Current Disability Application. 

The Board will consider an executed Standard Agreement form to be a 

request to cancel the disability application under section 217.26 of the Board's 

regulations, without regard to the provision requiring consent of other potential 

annuitants which is otherwise required by 217.26(b)(2). Cancellation renders all 

annuity payments based on that application to be erroneous. Recovery of the 

total amount of erroneous annuity payments will be determined to be 

compromised by agreement to 50 percent of the total disability annuity 

payments based on the cancelled application. The compromised amount will 

be recovered from the employee in installments as specified in the Agreement 

form, including directly by assignment from payments due to the employee 

under the Long Island Railroad pension plan. The Board will also discontinue the 

employee's participation in early Medicare based on the cancelled disability 

application. The Board makes no representation regarding recovery of 

payments made to medical providers as a result of the cancelled application. 

2. Future Disability Application. 

The Board will determine an applicant's entitlement to disability based 

upon any future disability annuity application filed in accordance with sections 

2(a)(1 )(iv) and (v) of the Railroad Retirement Act. In determining credibility of 

claimed disabling impairments in a future application, the Board will weigh the 

applicant's declaration under penalty of perjury that he or she made false or 

misleading statements with respect to his or her health condition in the 

cancelled disability annuity application. The Board will determine that filing a 

new disability application voids the agreement to compromise the amount of 

recovery of the erroneous payment caused by cancellation of the earlier 

application. 
B.O. 12-29 Page 4 

If the Board determines that the applicant meets the conditions for 

entitlement to a new disability annuity, no payment will be made to the 

annuitant until the entire remaining balance of the erroneous payment under 

the cancelled application is recovered by full offset against the disability annuity 

payable under the later application. If the Board determines that the applicant 

does not meet the conditions for entitlement to a new disability annuity, the 

Board will nevertheless pursue recovery of the entire remaining balance of 

erroneous payment as a debt due the United States. Without regard to whether 

the Board determines the employee to be entitled to a disability annuity based 

upon a new application, or the recovery by the Board of erroneous payments 

based on the cancelled application, the Board will also notify the United States 

Attorney for the Southern District of New York that the claimant filed a new 

application for a disability annuity. The U.S. Attorney may take action as 

deemed appropriate. 

B. AGE AND SERVICE ANNUITY ENTITLEMENT. 

An employee who cancels his or her disability annuity by a Standard 

Agreement form may file an application for any age and service annuity under 

section 2(a)(1) of the Railroad Retirement Act at any time after meeting the 

eligibility requirements provided by law. The Board will determine entitlement to 

the age and service annuity, and will not consider the application to void the 

agreement to compromise recovery at SO percent of the erroneous payments 

made under the cancelled disability annuity application. However, the Board 

will deduct the monthly installment repayment of the cancelled disability 

annuity from the employee's age and service annuity. The employee's 

repayment by assignment from the Long Island Railroad penSion will cease 

effective with the month repayment deductions begin from the age and service 

annuity under the Railroad Retirement Act. I 

I 

\ 
B.0.12-29 Page 5 

III. CURRENT CONNECTION. 

If the employee enters into either an Early Form or a Standard Form Agreement, 

the Board will not consider earnings from non-railroad employment performed 

between the employee's last date worked for the Long Island Railroad and the 

beginning date of any annuity based on a subsequent application as regular 

employment for purposes of determining whether the employee has a current 

connection pursuant to section 1 [o} of the Railroad Retirement Act. 

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