RAILROAD RETIREMENT BOARD

FISCAL YEAR 2022

BUDGET SUBMISSION

_____________________________________
The Honorable Russell T. Vought 

Director

Office of Management and Budget

Eisenhower Executive Office Building 

1650 Pennsylvania Avenue, N.W. 

Washington, D.C. 20503 

Dear Mr. Vought: 

Enclosed is our budget request for fiscal year 2022. We are also submitting our request 

concurrently to the Congress in accordance with Section 7(f) of the Railroad Retirement Act. 

Resources for the Office of Inspector General are not addressed in this submission. That office 

will submit a separate request concerning its needs.

The agency’s request level in the enclosed budget reflects the direct funding of $153.009 

million and provides funding to maintain 880 full time equivalents (FTEs). The Railroad 

Retirement Board (RRB) recognizes the ongoing need and responsibility to manage our human 

capital resources effectively through focused workforce planning and talent management efforts 

combined with information technology (IT) modernization investment to better support a leaner 

agency, while achieving the mission. The agency request level would further ongoing IT 

modernization efforts by providing approximately $13.85 million, in no year funds. The RRB’s 

priorities center on improving the customer experience and developing cloud native applications 

that directly support the core business process. 

In accordance with OMB Fiscal Year 2022 Budget Guidance, our fiscal year 2022 budget 

submission also includes a level five percent below the net Non-Defense Discretionary total 

provided the RRB in the fiscal year 2022 Column of the fiscal year 2021 Budget. This reduced 

budget level would provide $110.775 million and support 701 FTEs. Budget projections show 

that at the $110.775 million level, the agency would need to evaluate all available options to 

include attrition, furloughs, buyouts, and reduction in force to reach 701 FTEs provided at this 

level, which is 179 FTEs less than needed to sustain the agency’s mission essential functions. 

At this funding level, the agency would be critically close to mission failure and forced to halt 

ongoing efforts to modernize our legacy systems. 

UNITED STATES OF AMERICA

RAILROAD RETIREMENT BOARD

844 NORTH RUSH STREET

CHICAGO, ILLINOIS 60611-1275 

BOARD MEMBERS:

ERHARD R. CHORLÉ, CHAIRMAN

JOHN BRAGG, LABOR MEMBER

THOMAS JAYNE, MANAGEMENT MEMBER
The OMB Guidance 2% Add Back level of the budget totals $113.065 million and provides 

minimal funding for 718 FTEs, but allow us to invest $10.0 million into ongoing IT 

modernization initiatives. At this funding level, budget projections also show that the agency 

would need to evaluate all available options to include attrition, furloughs, buyouts, and 

reduction in force to reach this FTE level. Continued funding for the RRB’s IT modernization 

program project is crucial for uninterrupted progress toward achieving the President’s 

Management Agenda.

In addition to requests for administrative expenses, this budget submission includes our best 

actuarial estimate of the expected fiscal year 2022 costs of vested dual benefits, $11 million, 

with a 2 percent reserve of $220,000. The RRB also requests $1.105 billion for applicable 

military service credits through December 2018, with interest through September 1, 2020.

Finally, included in the budget submission are four agency legislative proposals. The first 

would amend the Railroad Retirement Act to allow the Railroad Retirement Board to utilize 

various hiring authorities available to other Federal agencies. The second would amend the 

Railroad Retirement Act to allow the Railroad Retirement Board to utilize student and recent 

graduate hiring authorities available to other Federal agencies. The third would amend the 

Railroad Retirement Act and the Railroad Unemployment Insurance Act to include a felony 

charge for individuals committing fraud against the Agency. The final would amend the 

Balanced Budget and Emergency Deficit Control Act of 1985 and the Statutory Pay-As-You-Go 

Act of 2010 to include the Railroad Unemployment Insurance Trust Fund in the list of accounts,

which are exempt from sequestration.

As required by Section 1108(c) of Title 31, United States Code, we certify that all statements of 

obligations furnished to OMB in connection with our requests for proposed appropriations for 

fiscal year 2022 consist of valid obligations as defined in Section 1501(a) of that title.
Sincerely, 

Original signed 

FOR THE BOARD 

Ana M. Kocur 

General Counsel 

September 14, 2020 

Enclosure 
THIS PAGE IS INTENTIONALLY LEFT BLANK
The Honorable Michael R. Pence

President of the Senate

S-212 Capitol Building 

Washington, D.C. 20510 

Dear Mr. President:

Enclosed is our budget request for fiscal year 2022. We are also submitting our request 

concurrently to the Congress in accordance with Section 7(f) of the Railroad Retirement Act. 

Resources for the Office of Inspector General are not addressed in this submission. That office 

will submit a separate request concerning its needs.

The agency’s request level in the enclosed budget reflects the direct funding of $153.009 

million and provides funding to maintain 880 full time equivalents (FTEs). The Railroad 

Retirement Board (RRB) recognizes the ongoing need and responsibility to manage our human 

capital resources effectively through focused workforce planning and talent management efforts 

combined with information technology (IT) modernization investment to better support a leaner 

agency, while achieving the mission. The agency request level would further ongoing IT 

modernization efforts by providing approximately $13.85 million, in no year funds. The RRB’s 

priorities center on improving the customer experience and developing cloud native applications 

that directly support the core business process. 

In accordance with OMB Fiscal Year 2022 Budget Guidance, our fiscal year 2022 budget 

submission also includes a level five percent below the net Non-Defense Discretionary total 

provided the RRB in the fiscal year 2022 Column of the fiscal year 2021 Budget. This reduced 

budget level would provide $110.775 million and support 701 FTEs. Budget projections show 

that at the $110.775 million level, the agency would need to evaluate all available options to 

include attrition, furloughs, buyouts, and reduction in force to reach 701 FTEs provided at this 

level, which is 179 FTEs less than needed to sustain the agency’s mission essential functions. 

At this funding level, the agency would be critically close to mission failure and forced to halt 

ongoing efforts to modernize our legacy systems. 

UNITED STATES OF AMERICA

RAILROAD RETIREMENT BOARD

844 NORTH RUSH STREET

CHICAGO, ILLINOIS 60611-1275 

BOARD MEMBERS:

ERHARD R. CHORLÉ, CHAIRMAN

JOHN BRAGG, LABOR MEMBER

THOMAS JAYNE, MANAGEMENT MEMBER
The OMB Guidance 2% Add Back level of the budget totals $113.065 million and provides 

minimal funding for 718 FTEs, but allow us to invest $10.0 million into ongoing IT 

modernization initiatives. At this funding level, budget projections also show that the agency 

would need to evaluate all available options to include attrition, furloughs, buyouts, and 

reduction in force to reach this FTE level. Continued funding for the RRB’s IT modernization 

program project is crucial for uninterrupted progress toward achieving the President’s 

Management Agenda.

In addition to requests for administrative expenses, this budget submission includes our best 

actuarial estimate of the expected fiscal year 2022 costs of vested dual benefits, $11 million, 

with a 2 percent reserve of $220,000. The RRB also requests $1.105 billion for applicable 

military service credits through December 2018, with interest through September 1, 2020.

Finally, included in the budget submission are four agency legislative proposals. The first 

would amend the Railroad Retirement Act to allow the Railroad Retirement Board to utilize 

various hiring authorities available to other Federal agencies. The second would amend the 

Railroad Retirement Act to allow the Railroad Retirement Board to utilize student and recent 

graduate hiring authorities available to other Federal agencies. The third would amend the 

Railroad Retirement Act and the Railroad Unemployment Insurance Act to include a felony 

charge for individuals committing fraud against the Agency. The final would amend the 

Balanced Budget and Emergency Deficit Control Act of 1985 and the Statutory Pay-As-You-Go 

Act of 2010 to include the Railroad Unemployment Insurance Trust Fund in the list of accounts,

which are exempt from sequestration.

As required by Section 1108(c) of Title 31, United States Code, we certify that all statements of 

obligations furnished to OMB in connection with our requests for proposed appropriations for 

fiscal year 2022 consist of valid obligations as defined in Section 1501(a) of that title.
Sincerely,

Original signed

FOR THE BOARD

Ana M. Kocur 

General Counsel

September 14, 2020

Enclosure

cc: Honorable Richard Shelby

Chairman, Senate Committee on Appropriations

Honorable Patrick J. Leahy

Vice Chairman, Senate Committee on Appropriations

Honorable Roy Blunt

Chairman, Senate Subcommittee on Labor, Health

 and Human Services, Education, and Related Agencies

Honorable Patty Murray

Ranking Member, Senate Subcommittee on Labor, Health

 and Human Services, Education, and Related Agencies
THIS PAGE IS INTENTIONALLY LEFT BLANK
The Honorable Nancy Pelosi

Speaker of the House of Representatives

H-232 Capitol Building 

Washington, D.C. 20515 

Dear Madam Speaker:

Enclosed is our budget request for fiscal year 2022. We are also submitting our request 

concurrently to the Congress in accordance with Section 7(f) of the Railroad Retirement Act. 

Resources for the Office of Inspector General are not addressed in this submission. That office 

will submit a separate request concerning its needs.

The agency’s request level in the enclosed budget reflects the direct funding of $153.009 

million and provides funding to maintain 880 full time equivalents (FTEs). The Railroad 

Retirement Board (RRB) recognizes the ongoing need and responsibility to manage our human 

capital resources effectively through focused workforce planning and talent management efforts 

combined with information technology (IT) modernization investment to better support a leaner 

agency, while achieving the mission. The agency request level would further ongoing IT 

modernization efforts by providing approximately $13.85 million, in no year funds. The RRB’s 

priorities center on improving the customer experience and developing cloud native applications 

that directly support the core business process. 

In accordance with OMB Fiscal Year 2022 Budget Guidance, our fiscal year 2022 budget 

submission also includes a level five percent below the net Non-Defense Discretionary total 

provided the RRB in the fiscal year 2022 Column of the fiscal year 2021 Budget. This reduced 

budget level would provide $110.775 million and support 701 FTEs. Budget projections show 

that at the $110.775 million level, the agency would need to evaluate all available options to 

include attrition, furloughs, buyouts, and reduction in force to reach 701 FTEs provided at this 

level, which is 179 FTEs less than needed to sustain the agency’s mission essential functions. 

At this funding level, the agency would be critically close to mission failure and forced to halt 

ongoing efforts to modernize our legacy systems. 

UNITED STATES OF AMERICA

RAILROAD RETIREMENT BOARD

844 NORTH RUSH STREET

CHICAGO, ILLINOIS 60611-1275 

BOARD MEMBERS:

ERHARD R. CHORLÉ, CHAIRMAN

JOHN BRAGG, LABOR MEMBER

THOMAS JAYNE, MANAGEMENT MEMBER
The OMB Guidance 2% Add Back level of the budget totals $113.065 million and provides 

minimal funding for 718 FTEs, but allow us to invest $10.0 million into ongoing IT 

modernization initiatives. At this funding level, budget projections also show that the agency 

would need to evaluate all available options to include attrition, furloughs, buyouts, and 

reduction in force to reach this FTE level. Continued funding for the RRB’s IT modernization 

program project is crucial for uninterrupted progress toward achieving the President’s 

Management Agenda. 

In addition to requests for administrative expenses, this budget submission includes our best 

actuarial estimate of the expected fiscal year 2022 costs of vested dual benefits, $11 million, 

with a 2 percent reserve of $220,000. The RRB also requests $1.105 billion for applicable 

military service credits through December 2018, with interest through September 1, 2020.

Finally, included in the budget submission are four agency legislative proposals. The first 

would amend the Railroad Retirement Act to allow the Railroad Retirement Board to utilize 

various hiring authorities available to other Federal agencies. The second would amend the 

Railroad Retirement Act to allow the Railroad Retirement Board to utilize student and recent 

graduate hiring authorities available to other Federal agencies. The third would amend the 

Railroad Retirement Act and the Railroad Unemployment Insurance Act to include a felony 

charge for individuals committing fraud against the Agency. The final would amend the 

Balanced Budget and Emergency Deficit Control Act of 1985 and the Statutory Pay-As-You-Go 

Act of 2010 to include the Railroad Unemployment Insurance Trust Fund in the list of accounts,

which are exempt from sequestration.

As required by Section 1108(c) of Title 31, United States Code, we certify that all statements of 

obligations furnished to OMB in connection with our requests for proposed appropriations for 

fiscal year 2022 consist of valid obligations as defined in Section 1501(a) of that title.
Sincerely,

Original signed

FOR THE BOARD

Ana M. Kocur 

General Counsel

September 14, 2020

Enclosure

cc: Honorable Nita Lowey

Chairwoman, House Committee on Appropriations

Honorable Kay Granger

Ranking Member, House Committee on Appropriations

Honorable Rosa DeLauro

Chairwoman, House Subcommittee on Labor, Health

 and Human Services, Education, and Related Agencies

Honorable Tom Cole

Ranking Member, House Subcommittee on Labor, Health

 and Human Services, Education, and Related Agencies
THIS PAGE IS INTENTIONALLY LEFT BLANK
-iRAILROAD RETIREMENT BOARD

FISCAL YEAR 2022 BUDGET SUBMISSION

Table of Contents

APPROPRIATION REQUESTS Page

Social Security Equivalent Benefit Account............................................................................... 1

Railroad Retirement Account ..................................................................................................... 3

Federal Payments to the Railroad Retirement Accounts............................................................ 5

Dual Benefits Payments Account ............................................................................................... 9

Limitation on Administration

Retirement/Survivor Benefit Program................................................................................ 13

Unemployment/Sickness Insurance Program ..................................................................... 15

Administrative Appropriation Request for Fiscal Year 2022............................................. 18

Budget by Appropriation and Object Class........................................................................ 19

Explanation of Changes Between the Estimated Budget for Fiscal Year 2021, 

 and Budget Levels for Fiscal Year 2022.......................................................................... 20

Summary of Full-Time Equivalent Employment by Series................................................ 25

Full-Time Equivalent Employees by Organization ............................................................ 26

Narrative Description of Strategic Goals............................................................................ 27

Appropriation Request by Strategic Goal........................................................................... 30

Summary of Strategic Goal Amounts................................................................................. 31

 Retirement/Survivor Benefit Program Summary Processing Workload Table.............. 35

 Unemployment/Sickness Insurance Program Summary Processing Workload Table...... 36

PERFORMANCE PLAN

RRB’s Initial Performance Plan, Fiscal Year 2022 ............................................................ 37
-iiRAILROAD RETIREMENT BOARD

FISCAL YEAR 2022 BUDGET SUBMISSION

Table of Contents

OMB EXHIBITS

Information Technology

Specific Information Technology Initiatives – Table .......................................................... 61

FY 2022 Top Priorities for Information Technology........................................................... 62

Proposed Legislation

Proposed Legislative Program ............................................................................................. 65

Other

Evidence and Evaluation...................................................................................................... 67

Relationship of Programs to Account Structure................................................................... 68
-1-

RAILROAD RETIREMENT BOARD

Social Security Equivalent Benefit Account

Budget Account - 60-8010-0-7-601

The Railroad Retirement Solvency Act of 1983 amended the Railroad Retirement Act to 

establish a Social Security Equivalent Benefit (SSEB) Account beginning October 1, 1984. The 

SSEB Account, which is separate from other railroad retirement accounts, is used to record 

revenues and expenditures related to social security equivalent portions (similar to "tier I" 

amounts) of railroad retirement annuities. Accordingly, funds in the SSEB Account are used to 

pay social security equivalent benefits and related administrative expenses. A social security 

equivalent benefit is the portion of a railroad retirement annuity that corresponds to an amount

calculated under social security formulas, but is based on combined railroad retirement and 

social security credits.

The following amounts are included as revenue to the SSEB Account:

(1) payroll taxes,

(2) income taxes attributable to taxation of the social security portion of 

railroad retirement annuities,

(3) financial interchange transfers from the social security trust funds 

provided by Section 7(c) of the Railroad Retirement Act, 

(4) interest on uncashed checks, and

(5) return on investments.

In a relatively small number of cases, the railroad retirement system does not pay benefits when 

social security would pay benefits. In these cases, mainly dependent children of retired railroad 

employees, the SSEB Account collects an amount through the financial interchange but does not 

pay a corresponding benefit. This imbalance between outgo and income is relatively small in 

any particular year. Section 15A(d)(2) of the Railroad Retirement Act, as amended, provides 

that amounts in the SSEB Account not needed for payment of current benefits and administrative 

expenses will be transferred to the National Railroad Retirement Investment Trust or the 

Railroad Retirement Account. 

Requested appropriation

The table on page 2 identifies the estimated budget authority and outlays for this account for 

fiscal years 2020 through 2030. The estimates are based on the Bureau of Actuary and 

Research’s June 2020 review, issued July 2020.
-2- 

RAILROAD RETIREMENT BOARD

Social Security Equivalent Benefit Account

(Budget Account - 60-8010-0-7-601)

Analysis of Resources

(in thousands of dollars) 

Current 

services

2020 2021 2022

Budget authority.............. 7,639,000 7,709,000 7,859,000

Outlays.......................... 7,335,000 7,561,000 7,827,000

2023 2024 2025 2026

Budget authority:

 Current services............. 8,020,000 8,193,000 8,360,000 8,526,000 

Outlays:

 Current services............. 8,020,000 8,197,000 8,364,000 8,512,000

2027 2028 2029 2030

Budget authority:

 Current services............. 8,689,000 8,849,000 9,011,000 9,176,000 

Outlays:

 Current services............. 8,658,000 8,798,000 8,949,000 9,104,000 

 Note: In March 2020, the RRB paid social security equivalent benefits to 427,000 beneficiaries.

 The RRB estimates that in March 2021 and 2022, the agency will pay these benefits to 422,000 and 

 417,000 beneficiaries, respectively.

OMB A-11 Reference: Section 51.1 (July, 2020)
-3-

RAILROAD RETIREMENT BOARD

Railroad Retirement Account

Budget Account - 60-8011-0-7-601

Under the Railroad Retirement Act, the RRB pays retirement and disability annuities to qualified 

railroad workers. Supplemental annuities are payable to career railroad employees with service 

before October 1981. Annuities are also payable to spouses and divorced spouses of retired 

workers and to widows, widowers, children, and certain other survivors of deceased railroad 

workers. There are also provisions for lump-sum benefits. Qualified railroad retirement 

beneficiaries are also covered by Medicare in the same way as social security beneficiaries.

The Railroad Retirement Account funds the above-described benefits in excess of social security 

benefits. Funding is primarily from payroll taxes on railroad employers and employees, earnings 

on trust fund investments and income taxes attributable to these benefits. 

The Railroad Retirement and Survivors’ Improvement Act of 2001 (P.L. 107-90) made a number 

of major changes to the Railroad Retirement Act. In addition to other provisions, P.L. 107-90 

provides for the transfer of railroad retirement funds from the Railroad Retirement Account to 

the National Railroad Retirement Investment Trust (NRRIT), whose Board of Trustees is 

empowered to invest NRRIT-held assets in non-governmental assets, such as equities and debt, 

as well as in governmental securities. NRRIT is not treated as an agency or instrumentality of 

the Federal Government. 

P.L. 107-90 also repealed the railroad retirement supplemental annuity tax paid by rail employers 

and eliminated the separate Railroad Retirement Supplemental Account. While supplemental 

railroad retirement annuities provided by the Railroad Retirement Act continue to be due and 

payable, they are now funded through the Railroad Retirement Account. 

Requested appropriation

The table on page 4 identifies estimated budget authority and outlays for this account for fiscal 

years 2020 through 2030. The estimates are based on the Bureau of Actuary and Research’s 

June 2020 review, issued July 2020. 
-4- 

RAILROAD RETIREMENT BOARD

Railroad Retirement Account

(Budget Account - 60-8011-0-7-601)

Analysis of Resources

(in thousands of dollars) 

Current 

Services

2020 2021 2022

Budget authority: 5,714,000 5,717,000 5,664,000

Outlays: 5,714,000 5,717,000 5,664,000

2023 2024 2025 2026

Budget authority: 

Current services 5,678,000 5,703,000 5,736,000 5,770,000 

Outlays:

Current services 5,678,000 5,703,000 5,736,000 5,770,000 

2027 2028 2029 2030

Budget authority: 

Current services 5,808,000 5,861,000 5,930,000 6,010,000

Outlays:

 Current services 5,808,000 5,861,000 5,930,000 6,010,000

Notes: The RRB paid tier II benefits to 483,000 beneficiaries in March 2020. The agency expects 

to pay these benefits to 478,000 beneficiaries in March 2021 and 472,000 beneficiaries in March 

2022. The RRB also paid supplemental annuities to 117,000 beneficiaries in March 2020. The 

agency expects to pay supplemental annuities to 113,000 beneficiaries in March 2021, and 

109,000 beneficiaries in March 2022. 

OMB A-11 Reference: Section 51.1 (July, 2020)
-5-

RAILROAD RETIREMENT BOARD

Federal Payments to the Railroad Retirement Accounts

Budget Account - 60-0113-0-1-601

This account was established in conjunction with the implementation of the Railroad Retirement 

Solvency Act of 1983. It facilitates the administration of the Railroad Retirement Act by 

maintaining accurate accounting of, and control over, various financial transactions involving the 

railroad retirement trust funds. This account acts as a conduit for various financial transactions, 

such as interfund transfers and fund transfers from the Department of the Treasury (Treasury).

Military service credits

In accordance with, and pursuant to, Section 15(b) of the Railroad Retirement Act, the RRB also 

requests appropriations to the Federal Payments to the Railroad Retirement Accounts for 

reimbursement of costs (including interest, administrative expenses, and an actuarial adjustment) 

for crediting military service not reimbursed under the financial interchange. Both the railroad 

retirement system and the social security system are entitled to reimbursement for the cost of 

military service credits. Depending on the period during which the military service was 

rendered, the reimbursement may be made on either a benefit or prepaid tax basis. 

Reimbursement on a tax basis is accomplished by paying payroll taxes for individuals in military 

service. No additional reimbursement is due at retirement for military service credits reimbursed 

on a tax basis. Reimbursement on a benefit basis is accomplished by computing the value of 

retirement and survivor benefits with and without military service and requesting reimbursement 

based on this difference.

The Railroad Retirement Account has received full reimbursement for the tax basis periods. No 

reimbursements from general revenue have been received for the benefit basis periods: 

 June 15, 1948, through December 15, 1950, creditable under P.L. 100-647, and 

 July 1, 1963, and later. 

In prior years, we have sought concurrence with our methodology for computing the 

reimbursable amount from the Social Security Administration (SSA), Treasury and OMB. We 

received responses from SSA and Treasury. SSA has concurred with our methodology while 

Treasury stated that they had no role in this particular process. Section 15(b) requires that these 

reimbursements from the general funds be authorized in advance by an appropriation act. The 

fiscal year 2022 appropriation request includes $1,104,981,502 for applicable military service 

credits through December 2018, with interest through September 1, 2020. Excluded are all costs 

for which the RRB has already received credits.
-6-

Interest on uncashed checks

Section 417 of the Railroad Retirement Solvency Act of 1983 amended the Railroad Retirement 

Act to provide for the reimbursement of principal and interest for unnegotiated railroad 

retirement benefit checks to the extent that such reimbursements are provided for in advance in 

appropriation acts. Beginning in fiscal year 1991, the principal amount of uncashed railroad 

retirement and railroad unemployment insurance checks and checks for administrative expenses, 

under provisions of the Competitive Equality Banking Act of 1987, are made available by 

Treasury. Treasury transfers principal amounts directly to the appropriate trust fund or 

administrative limitation. As a result, the RRB is not required to seek prior appropriation 

authority for the principal amount of the uncashed check transfers. Interest on uncashed checks, 

however, must be appropriated in advance. This account is the vehicle through which such 

appropriations are made. Under current law, the RRB requests $150,000 for estimated interest 

related to uncashed checks in fiscal year 2022, which shall remain available through 

September 30, 2023.

Other transfers

Appropriations are not necessary for other amounts that flow through this account to the 

appropriate trust fund accounts under authorizing legislation. Amounts expected to be 

transferred through this account in fiscal year 2022 that do not require appropriation action 

include $323 million in income taxes on the social security equivalent portion of tier I benefits, 

and $418 million in income taxes on tier II benefits and the non-social security equivalent 

portion of tier I benefits. 

Requested appropriation

The table on page 7 identifies the estimated budget authority and outlays for this account for 

fiscal years 2020 through 2030. The estimates are based on the Bureau of Actuary and 

Research’s June 2020 review, issued July 2020. The current services level includes interest 

amounts on uncashed checks for all years.
-7- 

RAILROAD RETIREMENT BOARD

Federal Payments to the Railroad Retirement Accounts

(Budget Account - 60-0113-0-1-601)

Analysis of Resources

(in thousands of dollars) 

Current 

services

2020 2021 2022 1/

Budget authority: 686,150 719,150 1,846,132

Outlays: 686,150 719,150 1,846,132

2023 2024 2025 2026

Budget authority:

Current Services 764,150 788,150 818,150 948,150 

Outlays:

 Current services 764,150 788,150 818,150 948,150

2027 2028 2029 2030

Budget authority:

Current Services 1,018,150 1,054,150 1,088,150 1,126,150

Outlays:

 Current services 1,018,150 1,054,150 1,088,150 1,126,150

1/ Fiscal year 2022 budget authority and outlay amounts for current services include $1,104,981,502 

for military service credits through December 2018 with interest through September 1, 2020. 

OMB A-11 Reference: Section 51.1 (July, 2020)
-8-

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-9-

RAILROAD RETIREMENT BOARD

Dual Benefits Payments Account

Budget Account - 60-0111-0-1-601

Section 15(d) of the Railroad Retirement Act provides for a Dual Benefits Payments Account, 

which is separate from other railroad retirement accounts. The vested dual benefit portion of 

railroad retirement annuities is paid from this account and is funded by appropriations from 

general revenues.

Legislative history

Under laws in effect prior to 1975, a worker engaging in covered employment under both the 

Railroad Retirement Act and Social Security Act could receive benefits separately under both 

Acts. Because the social security benefit formula is weighted in favor of the low wage earner, 

the total of a worker’s benefits from both systems averaged more than annuities of railroad 

employees who worked in the rail industry exclusively, and who had paid proportionally higher 

retirement taxes for the purpose of receiving higher benefits. The cost of the dual benefits was 

borne by the railroad retirement system since they reduced the system’s income from its financial 

interchange with the social security system. 

This situation was the major cause of the poor financial condition of the railroad retirement 

system in the early 1970s. In order to improve the systems financial condition, the Railroad 

Retirement Act of 1974 provided that the tier I component of the railroad retirement annuity be 

reduced by any social security benefit. This essentially integrated the two systems and 

eliminated the advantage of qualifying for benefits under both systems. 

However, it was generally considered unfair to eliminate this advantage entirely for those already 

retired or close to retirement when the 1974 Act became effective. The 1974 Act, therefore, 

provided for a restoration of benefits which were considered vested at the end of 1974. The 

restored amount was known as the “vested dual benefit.” 

After considering various alternatives, the Congress authorized general fund appropriations to 

finance the cost of phasing out dual benefits. The Congress considered it unfair to impose this 

cost on current and future railroad employees because such employees would not be permitted to 

receive dual benefits upon retirement (except where vested rights were involved). Similarly, the 

Congress believed that it would be unfair to impose this cost on railroads because railroads had 

not benefited and had consistently opposed the creation and expansion of dual benefits. 

Financing the vested dual benefit component of railroad retirement annuities from general 

revenues was supported by a precedent regarding military service and by the fact that the dual 

benefit problem had been brought about by prior Congressional action repealing past dual benefit 

restrictions over the objections of the railroads.
-10-

Under the 1974 Act, appropriations had been authorized from general revenues for the phase-out 

costs of vested dual benefits. The amounts were to be sufficient to fund vested dual benefits on a 

level payment basis over the years 1976 through 2000. Because there was no provision in the 

law to reduce vested dual benefits to a level that would be fully covered by the amount 

appropriated, railroad retirement taxes were being used to cover the shortfall in the appropriation 

from general revenues. This led to a drain on the Railroad Retirement Account and contributed 

to a cash flow crisis. 

To stop the resulting drain on the Railroad Retirement Account, the 1981 amendments changed 

vested dual benefits to a pay-as-you-go basis rather than a level-payment system. Starting in 

fiscal year 1982, vested dual benefits were to be reduced so as not to exceed the amount of the 

annual appropriation. 

The Railroad Retirement Solvency Act of 1983 provided that revenues generated from income 

taxes on vested dual benefits be credited to the Railroad Retirement Account for fiscal years 

1984 through 1988, and thereafter to the Dual Benefits Payments Account. Thus, since fiscal 

year 1989, these taxes have been credited to the Dual Benefits Payments Account and applied as 

an offset to the amount of funding needed from general revenues.

Requested appropriation

The table on page 11 identifies the estimated budget authority and outlays for the Dual Benefits 

Payments Account for fiscal years 2020 through 2030. 

The Further Consolidated Appropriations Act, 2020 (P.L. 116-94) provided $16,000,000 for the 

payment of vested dual benefits. 

The estimate for fiscal year 2021 includes $13,000,000 for the payment of vested dual benefits, 

as shown in the table on the following page, plus a 2 percent reserve of $260,000 to become 

available in proportion to the amount by which the product of recipients and the average benefit 

received exceeds the amount available to pay benefits.

For fiscal year 2022, the RRB requests an appropriation of $11,000,000 to pay vested dual 

benefits, plus a 2 percent reserve of $220,000 to become available in proportion to the amount by 

which the product of recipients and the average benefit received exceeds the amount available 

for payment of vested dual benefits. An estimated $1,000,000 in income taxes on these benefits 

will be credited to the Dual Benefits Payments Account. The estimates are based on the Bureau 

of Actuary and Research’s June 2020 review, issued July 2020. 
-11-

RAILROAD RETIREMENT BOARD

Dual Benefits Payments Account

(Budget Account - 60-0111-0-1-601)

Analysis of Resources

(in thousands of dollars)

Current 

services

2020 2021 2022

Budget authority: 16,000 13,000 11,000

Outlays: 16,000 13,000 11,000 

2023 2024 2025 2026

Budget authority:

 Current Services 9,000 8,000 6,000 5,000

Outlays:

 Current Services 9,000 8,000 6,000 5,000

2027 2028 2029 2030

Budget authority:

 Current Services 4,000 3,000 3,000 2,000

Outlays:

 Current Services 4,000 3,000 3,000 2,000 

Note: The budget estimates for this account include its share of interest on unnegotiated checks through 

 Fiscal year 2021. The RRB paid vested dual benefits to 8,000 beneficiaries in March 2020. 

 The agency expects to pay these benefits to 6,000 beneficiaries in March 2021 and 5,000 

 beneficiaries in March 2022. 

OMB A-11 Reference: Section 51.1 (July, 2020)
-12-

THIS PAGE IS INTENTIONALLY LEFT BLANK
-13-

RAILROAD RETIREMENT BOARD

Limitation on Administration

Budget Account - 60-8237-0-7-601

This appropriation request is for funds to administer the retirement/survivor and 

unemployment/sickness insurance benefit programs provided for railroad workers and members 

of their families under the Railroad Retirement Act and the Railroad Unemployment Insurance 

Act. Included in this request is an amount for certain activities related to the Medicare health 

insurance program. The Centers for Medicare & Medicaid Services (CMS) reimburse the RRB 

for certain other administrative expenses related to the Medicare program and transfer to the 

RRB for the Specialty Medicare Administrative Contractor (SMAC).

Retirement/Survivor Benefit Program

Under the Railroad Retirement Act, the RRB pays retirement and disability annuities to retired 

workers with qualifying years of railroad service. Annuities are also payable to spouses and 

divorced spouses of retired workers and to widows, widowers, children and certain other 

survivors of deceased railroad workers. Qualified railroad retirement beneficiaries are covered 

by the Medicare health insurance program.

The RRB estimates that it will pay the following in retirement and survivor benefits through 

fiscal year 2022: $13.1 billion to 529,000 persons in fiscal year 2020, $13.3 billion to 523,000 

persons in fiscal year 2021, and $13.3 billion to 517,000 persons in fiscal year 2022.

Legislative history

The RRB was created in the 1930s by legislation establishing a retirement benefit program for 

the nation's railroad workers. Private industrial pension plans had been pioneered in the railroad 

industry and, by the 1930s, pension plans were far more developed in the rail industry than in 

most other businesses or industries. These plans, however, had serious defects, which were 

magnified by the Great Depression. While the social security system was in the planning stage, 

railroad workers sought a separate railroad retirement system, which would continue and 

broaden the existing railroad programs under a uniform national plan. The proposed social 

security system was not scheduled to begin monthly benefit payments for several years and 

would not give credit for service performed before 1937, while conditions in the railroad 

industry called for immediate benefit payments based on prior service.

Legislation was enacted in 1934, 1935 and 1937 to establish a railroad retirement system 

separate from the social security program legislated in 1935. Such legislation, taking into 

account the particular circumstances of the railroad industry, was not without precedent. 

Numerous laws pertaining to railroad operations and safety had already been enacted since the 

Interstate Commerce Act of 1887. Since passage of the Railroad Retirement Acts of the 1930s, 

numerous other railroad laws have subsequently been enacted.
-14-

Railroad Retirement and Survivors’ Improvement Act of 2001

The Railroad Retirement and Survivors’ Improvement Act of 2001, Public Law 107-90, 

liberalized early retirement benefits for 30-year employees, eliminated a cap on monthly 

retirement and disability benefits, lowered the minimum service requirement from 10 years to 5 

years of service if performed after 1995, and provided for increased benefits for some 

widow(er)s. The financing sections of the legislation repealed the supplemental annuity workhour tax, and provided for adjustments in the payroll tax rates paid by employers and employees.

Public Law 107-90 also provides for the transfer of railroad retirement funds from the Railroad 

Retirement Accounts to the National Railroad Retirement Investment Trust (NRRIT), whose 

Board of seven trustees is empowered to invest NRRIT assets in non-governmental assets, such 

as equities and debt, as well as in governmental securities. Public Law 107-90 discontinued the 

separate Railroad Retirement Supplemental Account. While supplemental benefits provided by 

the Railroad Retirement Act continue to be due and payable, they are now funded through the 

Railroad Retirement Account.

Coordination with Social Security

While the railroad retirement system has remained separate from the social security system, the 

two systems are closely coordinated with regard to earnings credits, benefit payments, and taxes. 

Following the recommendations of the Federal Commission on Railroad Retirement, legislation 

enacted in 1974 restructured railroad retirement benefits into tiers, in order to coordinate them 

more fully with social security credits, using social security benefit formulas. Tier I benefits are 

generally the equivalent of social security benefits. Tier II benefits are based on railroad service 

only and are comparable to industrial pensions.

Jurisdiction over the payment of retirement and survivor benefits is shared by the RRB and SSA. 

The RRB has jurisdiction over the payment of retirement benefits if the employee had at least 10 

years of railroad service, or 5 years of service if performed after 1995. For survivor benefits, 

there is an additional requirement that the employee's last regular employment before retirement 

or death was in the railroad industry. If a railroad employee or his/her survivor(s) do not qualify 

for railroad retirement benefits, the RRB transfers the employee's railroad retirement credits to 

SSA, where they are treated as social security credits.

Sources of income for the retirement/survivor benefit program

The primary source of income for the railroad retirement/survivor benefit program is payroll 

taxes paid by railroad employees and employers. By law, railroad retirement taxes are 

coordinated with social security taxes.
-15-

Employees and employers pay tier I taxes at the same rate as social security taxes. In addition, 

both employees and employers pay tier II taxes which are used to finance railroad retirement 

benefit payments over and above social security levels. Historically, railroad retirement taxes 

have been considerably higher than social security taxes.

Another source of income is the financial interchange with the social security trust funds. Under 

the financial interchange, in effect, the portion of railroad retirement annuities that is equivalent 

to social security benefits is reinsured through the social security system. The purpose of this 

financial coordination is to place the social security trust funds in the same position they would 

be in if railroad service were covered by the social security program instead of the railroad 

retirement program.

Other current sources of income are returns on investments, and appropriations from general 

revenues provided after 1974 as part of a phase-out of certain vested dual benefits. The Railroad 

Retirement Account and Social Security Equivalent Benefit Account also receive credit for 

Federal income taxes paid on benefits from these accounts.

Unemployment/Sickness Insurance Program

Under the Railroad Unemployment Insurance Act, the RRB pays (1) unemployment insurance 

benefits to railroad workers who are unemployed but ready, willing, and able to work and 

(2) sickness insurance benefits to railroad workers who are unable to work because of illness, 

injury, or pregnancy.

In the benefit year that ended June 30, 2020, the RRB paid $99,328,000 in unemployment 

insurance benefits from the Railroad Unemployment Insurance (RUI) Account, and recovered 

$7,177,287 resulting in net payments of $92,150,713 to a total of 23,037 unemployment 

insurance claimants. During the same period, the RRB paid $79,968,000 in sickness insurance 

benefits from the RUI Account, and recovered $20,743,180, resulting in net payments of 

$59,224,820 to a total of 15,375 sickness insurance claimants. In accordance with the Balanced 

Budget and Emergency Deficit Control Act of 1985, as amended, amounts reflect a reduction of 

6.6% under sequestration for days of unemployment and sickness after September 30, 2017, a 

reduction of 6.2% for days after September 30, 2018, and 5.9% for days after September 30, 

2019.

 

Provisions for benefits

A new unemployment and sickness insurance benefit year begins every July 1, with eligibility 

generally based on railroad service and earnings in the preceding calendar year. Up to 26 weeks 

of normal unemployment insurance benefits and 26 weeks of normal sickness insurance benefits 

are payable to an individual in a benefit year. Extended benefits may also be payable for up to 

13 weeks to persons with 10 or more years of service.
-16-

Additional extended unemployment benefits are also now payable to some railroad workers 

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

benefits are funded separately.

Legislative history

The railroad unemployment insurance system was established by legislation enacted in the 

1930s. While State unemployment programs generally covered railroad workers, railroad 

operations which crossed State lines caused special problems. Unemployed railroad workers 

were denied compensation by one State because they became unemployed in another State or 

because their employers had paid unemployment taxes in another State. Although there were 

cases where employees appeared to be covered in more than one State, they often did not qualify 

in any.

The Federal study commission, which reported on the nationwide State plans for unemployment 

insurance, recommended that railroad workers be covered by a separate plan because of the 

complications their coverage had caused the State plans. The Congress subsequently enacted the 

Railroad Unemployment Insurance Act in 1938. Railroad unemployment insurance benefits 

became payable in July 1939. Sickness insurance benefits were added by amendments enacted 

in 1946. Subsequent amendments over the years revised eligibility requirements and adjusted 

benefit amounts and tax rates.

The railroad unemployment and sickness insurance system is financed by contributions from 

railroad employers. By law, a portion of the contributions is deposited in the Railroad 

Unemployment Insurance Administration Fund for the RRB's administrative expenses. The 

contributions are permanently appropriated for benefit payments and administrative expenses.

Large scale railroad layoffs during the economic recession in the early 1980s increased 

unemployment insurance payments to record levels, far exceeding unemployment contributions. 

By the end of July 1983, the account had a deficit of $550 million.

The Railroad Retirement Solvency Act, enacted August 12, 1983, increased railroad 

unemployment and sickness insurance taxes by increasing the limit on compensation subject to 

the tax from $400 to $600 a month. The act also imposed a temporary repayment tax on railroad 

employers to help repay loans from the Railroad Retirement Account.
-17-

The Consolidated Omnibus Budget Reconciliation Act of 1985 (P.L. 99-272), enacted April 7, 

1986, increased the repayment tax. It also restored the authority of the Railroad Unemployment 

Insurance Account to borrow from the Railroad Retirement Account; this authority had been 

removed by the Railroad Retirement Solvency Act. The law also provided for surtax on railroad 

employers in the event that further borrowing after September 30, 1985, from the Railroad 

Retirement Account became necessary.

In November 1988, the Congress enacted the Railroad Unemployment Insurance and Retirement 

Improvement Act of 1988 (P.L. 100-647) to resolve the system's long-term financing problems. 

In brief, the legislation improved the program's financing by (1) indexing the tax base to 

increased wage levels, (2) determining employers' tax rates by using an experience rating 

formula, (3) establishing a variable surcharge geared to the balance in the Railroad 

Unemployment Insurance Account, and (4) ensuring repayment of the debt to the Railroad 

Retirement Account by extending the repayment tax until the debt was fully repaid, with interest. 

The loan was repaid in full with a transfer of funds from the Railroad Unemployment Insurance 

Account to the Railroad Retirement Account on June 29, 1993.

The Railroad Unemployment Insurance Amendments Act of 1996 (P.L. 104-251), enacted 

October 9, 1996, increased the railroad unemployment and sickness insurance daily benefit rate 

and revised the formula for indexing future benefit rates. It also reduced the waiting period for 

initial benefit payments and eliminated duplicate waiting periods in continuing periods of 

unemployment and sickness. In addition, the legislation applied an earnings test to claims for 

unemployment and reduced the duration of extended benefit periods for long-service employees. 

The provisions of the legislation were based on joint recommendations to the Congress 

negotiated by rail labor and management in order to update the railroad unemployment insurance 

system along the lines of State unemployment insurance systems.
-18- 

RAILROAD RETIREMENT BOARD

Administrative Appropriation Request for Fiscal Year 2022 

Limitation on Administration (60-8237-0-7-601) 

Budget Level FTEs Amount 1/

($ thousands)

OMB Guidance 5% Reduction 2/ 701 $110,775

OMB Guidance 2% Add Back 3/ 718 $123,065

Agency request level 880 $166,859

1/ Dollar amounts do not include reimbursements and transfers. 

2/ Amount includes the OMB Passback of $114.5 million less a 5% reduction plus $2 million anticipated 

reduction in Vested Dual Benefits (VDB) from FY 2021 to FY 2022. Actuarial estimates as of June 

2020 indicate a reduction of VDB from $13 to $11 million. 

3/ Amount includes the OMB Guidance 5% Reduction amount of $110.775 million plus 2% of $114.5 

million the OMB Passback and $10 million for IT Initiatives. 

4/ In FY 2020, the General Services Administration (GSA), Great Lakes Region, contracted with 

AECOM to complete an Enhanced Feasibility Study (EFS) for RRB’s headquarters at the William O. 

Lipinski Federal Building (Lipinski FB) located at 844 N. Rush Street, Chicago, IL. The preferred 

viable option identified through the EFS, would consolidate RRB to floors 7 through 12 of the 

Lipinski Building or 119,520 USF based upon the GSA Benchmark Utilization Target of 180 

sf/person. GSA would seek private tenants for the floors vacated by the RRB. 

Based upon the EFS, as of June 4, 2020, GSA estimated the total cost of the project to be $50,923,574. 

Of the $50.9M, GSA estimated costs associated with “building shell-related work items” at 

$25,889,967, which would be covered under its appropriation. GSA estimated tenant improvement 

costs at $24,800,907 for which RRB would be responsible through additional appropriated funds 

provided by the Congress. 

In addition to the estimated tenant improvement costs of $24.8M, RRB would be responsible for 

$6.1M of furniture, fixtures and equipment items. Further, the RRB estimates that it would need an 

additional $410K, in order to prepare for the consolidation project, should it be approved. Based upon 

the current estimates, RRB would need to seek $31,310,907 of additional appropriations in its FY 

2024 Budget Submission to coincide with the current project/construction schedule, should Congress 

approve this project through GSA’s FY 2022 Budget Submission. These costs are not included in this

budget request. 

OMB A-11 Reference: Section 51.1 (July, 2020)
-19-

FY 2020

AMOUNT

OF

CHANGE

FY 2021

House Mark

AMOUNT

OF

CHANGE

FY 2022

 OMB Guidance 

5% Reduction

AMOUNT

OF

CHANGE

FY 2022

OMB Guidance 

2% Add Back 

AMOUNT

OF

CHANGE

FY 2022

AGENCY

REQUEST

(A) (B) (C) (D) (E) (F) (G) (H) (I)

791 (48) 743 (42) 701 17 718 162 880

11.1 FULL-TIME PERMANENT 65,834 (4,826) 61,008 (1,740) 59,268 1,634 60,902 14,882 75,784

11.3 OTHER THAN FULL-TIME PERMANENT 764 (97) 667 (19) 648 18 666 145 811

11.5 OTHER PERSONNEL COMPENSATION 1,760 358 2,118 74 2,192 46 2,238 699 2,937

11.9 TOTAL PERSONNEL COMPENSATION 68,357 (4,565) 63,793 (1,685) 62,108 1,698 63,806 15,726 79,532

12.1 PERSONNEL BENEFITS: CIVILIAN 23,150 (847) 22,303 (630) 21,673 592 22,265 6,852 29,117

13.0 BENEFITS FOR FORMER PERSONNEL 172 (59) 113 18 131 0 131 0 131

21.0 TRAVEL AND TRANSPORTATION OF PERSONS 459 41 500 (41) 459 0 459 352 810

22.0 TRANSPORTATION OF THINGS 50 10 60 (10) 50 0 50 33 82

23.1 RENTAL PAYMENTS TO GSA 3,500 100 3,600 100 3,700 0 3,700 0 3,700

23.3 COMMUNICATIONS, UTILITIES, & 

MISCELLANEOUS CHARGES 5,673 439 6,112 (439) 5,673 0 5,673 2,757 8,430

24.0 PRINTING AND REPRODUCTION 273 (4) 269 4 273 0 273 8 281

25.0 OTHER SERVICES 11,047 7,417 18,464 (2,574) 15,889 0 15,889 11,633 27,522

26.0 SUPPLIES AND MATERIALS 556 90 646 (90) 556 0 556 110 666

31.0 EQUIPMENT 264 378 642 (378) 264 0 264 2,476 2,740

113,500 3,000 116,500 (5,725) 110,775 2,290 113,065 39,944 153,009

32,476 (254) 32,221 379 32,601 0 32,601 0 32,601

PLUS: NO-YEAR FUNDING FOR IT INITIATIVES 10,000 0 10,000 (10,000) 0 10,000 10,000 3,850 13,850

155,976 2,746 158,721 (15,346) 143,376 12,290 155,666 43,794 199,460

123,500 3,000 126,500 (15,725) 110,775 12,290 123,065 43,794 166,859

estimates as of June 2020 indicate a $2 million decrease in Vested Dual Benefits from $13 to $11 million. There is no funding for IT Initiatives. 

 7. Column (G): Amount includes the OMB Guidance 5% Reduction amount of $110.775 million plus 2% of $114.5 million from the OMB Passback. There is $10 million for IT Initiatives.

10. Details may not add to totals due to rounding.

 8. Column (I): The Agency Request level contains $13,850,000 for IT Initiatives with $13,350,000 associated with the Modernize Phase and $500,000 associated with the Perform Phase of the RRB's Transformation. 

 9. The 2020 CMS Reimbursable and Transfer consists of $11,276,610 for Medicare Parts B and C, $828,390 for Medicare Part D, $19,856,224 for SMAC Transfer and $514,306 miscellaneous. The 2021 CMS

Reimbursable and Transfer consists of $11,915,727 for Medicare Parts B and C, $804,575 for Medicare Part D, $18,986,745 for SMAC Transfer, and $514,306 miscellaneous. The 2022 CMS Reimbursable and 

transfer consists of $11,915,727 for Medicare Parts B and C, $804,575 for Medicare Part D, $19,365,948 for SMAC Transfer, and $514,306 miscellaneous. BOC 25.0 does not include SMAC transfer.

 2. The average FTE cost for 2020 is $125,902, 2021 average FTE cost of $130,624, and 2022 average FTE cost of $134,939.

 3. The agency would need to evaluate the cost of all available options to include attrition, buyouts, furloughs, and reduction in force to reach FTE levels lower than 791. 

 4. This budget submission does not reflect anticipated cost of implementation of significant FTE reductions.

 6. Column (E): Amount includes the OMB Passback of $114.5 million less a 5% reduction plus $2 million associated with the anticipated reduction in Vested Dual Benefits from FY 2021 to FY 2022. Actuarial

 1. Salary and benefit estimates reflect a 1.0 percent pay increase in January 2021 and January 2022 along with a FERS Benefit increase of 1.3% in FY 21 and 1.4% in FY 22.

 5. Column (A): The FY 2020 amounts reflect allocations as of 7/24/20 for Railroad Retirement Board funding of the Limitation on Administration provided by P.L. 116-94.

RAILROAD RETIREMENT BOARD

LIMITATION ON ADMINISTRATION

BUDGET BY APPROPRIATION AND OBJECT CLASS

(in thousands of dollars)

TOTAL FTEs (INCLUDING REIMBURSABLE)

TOTAL RRB DIRECT PROGRAM OBLIGATIONS

TOTAL RRB DIRECT OBLIGATIONS

REIMBURSABLE AND TRANSFER OBLIGATIONS

TOTAL RRB OBLIGATIONS

DIRECT OBLIGATIONS AND NO YEAR
Explanation of Changes Between the Estimated Budget for Fiscal Year 2021, and Budget 

Levels for Fiscal Year 2022

Limitation of Administration, Direct Obligations (Dollars in Thousands)

-20-

OMB A-11 Reference: Section 51.1 (July, 2020)

Category 

FY 2021 

House Mark 

to FY 2022 

OMB 

Guidance 

5% 

Reduction 

FY 2022 

OMB 

Guidance 5% 

Reduction to 

FY 2022 

OMB 

Guidance 2% 

Add Back 

FY 2022 OMB 

Guidance 2% 

Add Back to 

FY 2022 

Agency 

Request 

(5,725)1/ 2,2902/ 39,9443/

1. Personnel Compensation (1,685) 1,698 15,726 

Changes reflect variations in RRB staffing at each of the 

budget levels. 

The OMB Guidance 5% Reduction level provides funding for 

701 FTEs, 42 FTEs less than projected for fiscal year 2021 

House Mark (and 90 FTEs less than fiscal year 2020). The 

agency would need to evaluate the cost of all available options 

to include attrition, buyouts, furloughs, and reduction in force 

to reach this FTE level. This budget submission does not 

reflect anticipated cost of implementation of significant FTE 

reductions. 

The OMB Guidance 2% Add Back provides funding for 718 

FTEs, 73 FTE’s less then fiscal year 2020 and 25 FTEs less 

than projected for fiscal year 2021 (providing action is taken to 

meet the FTE level of 718 for fiscal year 2022). If the FTE 

level for FY 2021 of 743 is not met, the agency in FY 2022 

would need to evaluate the cost of all available options to 

include attrition, buyouts, furloughs, and reduction in force to 

reach this FTE level. This budget submission does not reflect 

anticipated cost of implementation of significant FTE 

reductions. 

The Agency Request Level provides funding for 880 FTEs, 

137 FTEs more than projected for fiscal year 2021 (and 89 

FTEs more than fiscal year 2020).

Projected compensation costs reflect an estimated pay increase 

of 1.0% in January 2021 and 1.0% in January 2022. 

At all funding levels, overtime is estimated at $513,940. 
Explanation of Changes Between the Estimated Budget for Fiscal Year 2021, and Budget 

Levels for Fiscal Year 2022

Limitation of Administration, Direct Obligations (Dollars in Thousands)

-21-

Category

FY 2021 

House Mark 

to FY 2022 

OMB 

Guidance 

5% 

Reduction

FY 2022 

OMB 

Guidance 5% 

Reduction to 

FY 2022 

OMB 

Guidance 2% 

Add Back

FY 2022 OMB 

Guidance 2% 

Add Back to 

FY 2022 

Agency 

Request

(5,725)

1/ 2,2902/ 39,9443/

2. Civilian Personnel Benefits (630) 592 6,852 

Employee benefits are estimated to total approximately 26% of 

salary costs in 2022, a 1% increase from FY 2021.

At all funding levels, the cost for change-of-station is 

$180,000. 

3. Benefits for Former Personnel 18 0 0 

A total of $131,000 is included at each of the three budget

levels for fiscal year 2022 for worker’s compensation benefits 

to be billed by the Department of Labor in fiscal year 2022.

4. Travel and Transportation of Persons (41) 0 352 

At the OMB Guidance 5% reduction level, Travel and 

Transportation of Persons for fiscal year 2022 is $459,000, 

$41,000 less than fiscal year 2021. The agency should be able 

to accomplish training, development, and customer out-reach 

programs at this amount.

5. Transportation of Things (10) 0 33 

At the OMB Guidance 5% reduction level, Transportation of 

Things for fiscal year 2022 is $50,000 a decrease of $10,000 

from fiscal year 2021.

6. Rental Payments to the General Services 

Administration (GSA) 100 0 0 

At all funding levels, a total of $3.7 million is requested for 

GSA rent in fiscal year 2022. This budget request is based 

upon GSA’s estimate of RRB’s annual rent and includes a 5% 

contingency. The total is approximately $100,000 more than 

the planned amount for fiscal year 2021.
Explanation of Changes Between the Estimated Budget for Fiscal Year 2019, and Budget 

Levels for Fiscal Year 2020

Limitation of Administration, Direct Obligations (Dollars in Thousands)

-22-

Category

FY 2021 House 

Mark to FY 

2022 OMB 

Guidance 5% 

Reduction

FY 2022 

OMB 

Guidance 5% 

Reduction to 

FY 2022 

OMB 

Guidance 2% 

Add Back

FY 2022 OMB 

Guidance 2% 

Add Back to 

FY 2022 

Agency 

Request

(5,725)1/ 2,2902/ 39,9443/

7. Communications, Utilities, and Miscellaneous 

Charges4/ (439) 0 2,757 

At the OMB Guidance 5% reduction level, FY 2022 

Communications, Utilities, and Miscellaneous charges 

total $5,673,000, $1,439,000 less than fiscal year 2021. 

Fiscal year 2022 details are shown below. (Amounts have 

been rounded to thousands.) Due to the mandatory 

implementation of the Enterprise Infrastructure Services 

contract vehicle and transition from the previous Networx 

contract vehicle, the RRB will begin to realize increased 

operations and maintenance (O&M) telecommunications 

costs in FY 2021. Additionally, the RRB expects 

comparable or further increased costs in FY 2022 and 

beyond as the agency continues to implement elements of 

the EIS. Previous RRB’s telecommunications services 

under the Networx contract vehicle only had to comply 

with the security requirements prescribed by the Federal 

Information Security Management Act (FISMA). The 

shift of the agency’s IT infrastructure from premise-based 

to cloud-computing, requires compliance with FedRAMP, 

which may be driving the anticipated costs increases.

FY 2022 Funding at the OMB Guidance 5% Reduction Level

 Miscellaneous Charges - $905 (91) 0 369

 Postage -$1,392 (331) 0 56

 Utilities - $570 (42) 0 42

 Communications - $2,807 25 0 2,288
Explanation of Changes Between the Estimated Budget for Fiscal Year 2021, and Budget 

Levels for Fiscal Year 2022

Limitation of Administration, Direct Obligations (Dollars in Thousands)

-23-

Category

FY 2021 

House Mark 

to FY 2022 

OMB 

Guidance 

5% 

Reduction

FY 2022 

OMB 

Guidance 5% 

Reduction to 

FY 2022 

OMB 

Guidance 2% 

Add Back

FY 2022 OMB 

Guidance 2% 

Add Back to 

FY 2022 

Agency 

Request

(5,725)1/ 2,2902/ 39,9443/

8. Printing and Reproduction 4 0 8 

At the OMB Guidance 5% reduction level, Printing and 

Reproduction for FY 2022 is $273,000. This category reflects 

a slight decrease in costs for printing benefit rate letters, tax 

statements, and earnings information for railroad retirement 

and unemployment/sickness insurance beneficiaries. The 

category also includes costs for official publication of agency 

information in the Federal Register and Code of Federal 

Regulations.

9. Other Services4/ (2,574) 0 11,633 

At the OMB Guidance 5% reduction level, the planned 

spending for FY 2022 is $15,889,000. Fiscal year 2022 

details are shown below. (Amounts have been rounded to 

thousands.) The RRB will begin to realize increased IT O&M 

costs in FY 2021. The increased cost estimates for FY 2021 

and FY 2022 are associated with the need to maintain dual 

operating environments through at least FY 2024. The nature 

of the multi-year modernization effort requires that as 

modernization occurs and in this case, the establishment and 

expansion of an enterprise-ready cloud environment, the RRB 

must support a hybrid environment consisting of cloud 

resources while still maintaining mission-critical on premise 

systems and applications that are not yet modernized. The 

RRB expects this need to maintain dual environments, cloud 

and on premise applications and systems, for multiple years 

through fiscal year 2024. Only then, does the RRB expect to 

see a significant reduction in costs to sustain modernized 

mission-critical applications and systems.
-24-

1/ See page 19, line TOTAL RRB DIRECT OBLIGATIONS. Difference is computed by subtracting the amount in 

column C from the amount in column E.

2/ See page 19, line TOTAL RRB DIRECT OBLIGATIONS. Difference is computed by subtracting the amount in 

column E from the amount in column G.

3/ See page 19, line TOTAL RRB DIRECT OBLIGATIONS. Difference is computed by subtracting the amount in 

column G from the amount in column I.

4/ Details may not add to totals due to rounding.

Category

FY 2021 House 

Mark to FY 

2022 OMB 

Guidance 5% 

Reduction

FY 2022 

OMB 

Guidance 5% 

Reduction to 

FY 2022 

OMB 

Guidance 2% 

Add Back

FY 2022 OMB 

Guidance 2% 

Add Back to 

FY 2022 

Agency 

Request

(5,725)1/ 2,2902/ 39,9443/

FY 2022 Funding at OMB Guidance 5% Reduction Level

Consulting Services - $512 (9) 0 110

Government Contracts - $2,773 66 0 846

Other Services Non-Fed'l1 - $6,040 1,535 0 4,304

Operation & Maintenance of Equipment - $4,833 498 0 2,292

Medical Fees - $1,118 (497) 0 598

Training - $155 (519) 0 818

Maintenance of Facilities2 - $457 (3,649) 0 2,886

1 At all budget levels, the SMAC contract transfer in the 

amount of $19,365,948 is not included in the totals.

2 Funding for operation & maintenance of facilities in 

fiscal year 2022 may be partly offset by "no-year" money 

brought forward from prior fiscal years pursuant to P.L. 

107-217. 

10. Supplies and Materials (90) 0 110

At the OMB Guidance 5% reduction level, Supplies and 

Materials for FY 2022 total $556,000. The amount 

represents a decrease of $90,000 from fiscal year 2021. 

11. Equipment (378) 0 2,476

At the OMB Guidance 5% reduction level, Equipment 

totals $264,000 for fiscal year 2022, a decrease of 

$2,878,000 from fiscal year 2021. The funding is for 

replacement of IT software, parts, devices and other 

miscellaneous equipment needed by the bureaus and 

offices.

Total Increase/Decrease4/ (5,725) 2,290 39,944
-25-

Positions in the Office of Inspector General are excluded. 

a/ Amounts for each year include staffing reimbursed by the Centers for Medicare & Medicaid Services.

b/ FTEs reflect estimates in the budget for fiscal year 2021. 

RAILROAD RETIREMENT BOARD

Summary of Full-Time Equivalent Employment a/

Series Rank

FY 2020

Actual

FY 2021 b/

House 

Mark

FY 2022 

OMB 

Guidance

5% 

Reduction

FY 2022 

OMB 

Guidance 

Agency 

2% Add 

Back

FY 2022 

Agency

Request

Executive Level III 1 1 1 1 1

Level IV 2 2 2 2 2

Subtotal 3 3 3 3 3

Senior Executive Service ES-00 7 7 7 7 7

Subtotal 7 7 7 7 7

General Schedule/Management GS/GM-15 40 38 35 36 39

GS/GM-14 74 69 66 67 73

GS/GM-13 86 81 76 78 104 

GS-12 207 194 183 188 218 

GS-11 114 107 101 104 115

GS-10 125 117 111 113 137 

GS-9 28 26 25 25 46

GS-8 58 54 51 53 52 

GS-7 13 12 12 12 26 

GS-6 6 6 5 5 7

GS-5 23 22 20 21 30 

GS-4 7 7 6 6 23

GS-3 0 0 0 0 0 

GS-2 0 0 0 0 0 

Subtotal 781 733 691 708 870

Combined Total 791 743 701 718 880 

OMB A-11 Reference: Section 51.1 (July, 2020)
-26-

RAILROAD RETIREMENT BOARD

Full-Time Equivalent Employees by Organization 

Organization FY 20201/

FY 2021 

House 

Mark2/

FY 2022 

OMB 

Guidance 

5% 

Reduction

FY 2022 

OMB 

Guidance 

2% 

Add Back

FY 2022 

Agency 

Request

Chairman 4 -- -- -- --

Labor 4 -- -- -- --

Management 7 -- -- -- --

Subtotal, Board 15 -- -- -- --

General Counsel/Law 15 -- -- -- --

Hearings and Appeals 8 -- -- -- --

Legislative Affairs 3 -- -- -- --

Secretary to the Board 2 -- -- -- --

Subtotal, General 

Counsel 28 -- -- -- --

Office of Equal 

Opportunity 2 -- -- -- --

Office of Programs 290 -- -- -- --

CFO/Fiscal Operations 54 -- -- -- --

Actuary Research 20 -- -- -- --

Office of Administration 62 -- -- -- --

Field Service 211 -- -- -- --

Information Services 109 -- -- -- --

Total 791 743 701 718 880

1/ Amounts are rounded to the nearest FTE and reflect projected use through end of fiscal year PP 15 as of 

July 18, 2020. The RRB’s fiscal year 2020 budget includes funding for 791 FTEs. Amounts may not add 

to total due to rounding. 

2/ Reflects projected total FTE staffing at the House Mark (H.R. 7617) of $116.5 million for agency 

operations. 

OMB A-11 Reference: Section 51.1 (July, 2020)
-27-

RAILROAD RETIREMENT BOARD

Narrative Description of Strategic Goals

The RRB’s budget request for ongoing operations is distributed between three areas that match 

the goals stated in the agency’s Strategic Plan for Fiscal Years 2018−2022:

Strategic Goal I. Modernize Information Technology (IT) Operations to sustain 

mission essential services.

Strategic Goal II. Provide excellent customer service.

Strategic Goal III. Serve as responsible stewards for our customers’ trust funds and 

agency resources.

Amounts requested by the RRB represent the resources needed to achieve the performance goals 

stated in the RRB’s Performance Plan for Fiscal Year 2022. Activities in each area are described 

in the following sections. The Performance Plan contains additional information concerning 

performance indicators for each goal.

I. Modernize Information Technology (IT) Operations to Sustain Mission Essential 

Services.

Regarding the RRB’s strategic goal of modernizing information technology (IT) operations, 

strategic objectives and supporting initiatives in the RRB’s Performance Plan for Fiscal Year 

2022 include the following:

I-A. Legacy Systems Modernization. 

FY 2021 Performance Goals:

 Prepare to consolidate and rationalize applications to improve the effectiveness 

and efficiency of mission essential functions.

 Evaluate the results of the customer surveys obtained through the LSMS reengineering assessment contract deliverable to identify and deliver a broader 

range of online citizen centric services that will specifically address our 

customer’s expectations and improve overall customer service.

 Transition Mission Essential Programs from the End-of-Life Mainframe 

hardware.

 Evaluate the re-engineering assessment contract deliverable and determine a 

modernization path forward consistent with agency priorities and within 

available funding to address mission critical functions.

 Enhance infrastructure components to stabilize the information systems and the 

related ecosystems to prepare for the modernize phase.
-28-

FY 2022 Performance Goals: 

 Complete the development of business rules strategy and data layer components

of the modernization. 

 Deliver citizen-centric services and applications to railroad employees through

mobile and web-ready interfaces.

 Complete the streamlining of core business processes and modernize key

applications, which support these processes. 

 Refine critical management processes in the following areas within the IT

organization: change, project, program, and configuration. 

Regarding the RRB’s strategic goal of providing excellent customer service, strategic objectives 

and supporting initiatives in the RRB’s Performance Plan for Fiscal Year 2022 include the 

following: 

II-A. Pay benefits timely. 

 Ensure accurate, up-to-date, accessible instructions to support our front-line

employees as they provide customer support.

 Inform our customers about their responsibilities.

 Ensure that the Customer Service Plan is comprehensive and is revised when

appropriate.

 Promote direct deposit for benefit payments.

 Monitor key payment workloads.

 Allocate resources effectively.

II-B. Provide a range of choices in service delivery methods. 

 Increase opportunities for our customers to conduct business in a secure manner

over the Internet.

 Continue to develop electronic services that enable the employer to conduct

daily business transactions and file required reports in an efficient, effective and

secure manner.

OMB A-11 Reference: Section 51.1 (July, 2020)
-29- 

III. Serve as Responsible Stewards for Our Customers’ Trust Funds and Agency

Resources.

Regarding the RRB’s strategic goal of safeguarding our customers’ trust funds through prudent 

stewardship, strategic objectives and supporting initiatives in the RRB’s Performance Plan for 

Fiscal Year 2022 include the following: 

III-A. Ensure that trust fund assets are protected, collected, recorded and reported 

appropriately. 

 Continue to issue annual audited financial statements.

 Monitor the solvency of the trust funds through a sound program of actuarial

valuations and financial projections.

 Correctly estimate the amounts needed for future benefit payments.

 Verify that payroll taxes are fully collected and properly recorded.

 Issue accurate, timely determinations and notices of contribution rates required

under the unemployment and sickness insurance program.

 Continue to carry out the RRB’s debt management policy.

III-B. Ensure the accuracy and integrity of benefit programs. 

 Monitor payment accuracy and the levels of improper payments, and identify

problems.

 Provide feedback and take additional preventive actions as appropriate.

 Maintain established matching programs.

 Continue our program integrity reviews.

III-C. Ensure effectiveness, efficiency and security of operations. 

 Continue to develop an effective human capital planning program.

 Monitor and improve program performance and accountability.

 Ensure the privacy and security of our customers’ transactions with the RRB.

 Expand our participation in E-Government initiatives.

 Improve our ability to control and monitor information technology investments.

 Make greater use of performance-based contracts.

 Comply with new security requirements for employee identification.

III-D. Effectively carry out responsibilities with respect to the National Railroad 

Retirement Investment Trust. 

OMB A-11 Reference: Section 51.1 (July, 2020)
-30-

RAILROAD RETIREMENT BOARD

Appropriation Request by Strategic Goal

The RRB Performance Budget for Fiscal Year 2022 contains a discussion of the administration 

of the railroad retirement/survivor and unemployment/sickness insurance benefit programs. The 

tables on the following pages identify the estimated costs of administering these programs in 

terms of the following strategic goals:

 I. Modernize Information Technology (IT) Operations 

II. Customer service

III. Stewardship

These goals are consistent with the RRB’s Strategic Plan for Fiscal Years 2018−2022. 

Projections for the fiscal year 2022 budget reflect three funding levels, as follows: 

 The OMB Guidance level 5% Reduction of the budget provides $110,775,0001/ for fiscal

year 2022. This level would fund 701 FTEs to administer the benefit programs and

provides no funding for agency or information technology initiatives. To get to the 701

FTE level, the RRB would have to evaluate all available options to include attrition,

buyouts, furloughs, and reduction in force.

 The OMB Guidance 2% Add Back level provides $123,065,0002/ for fiscal year 2022.

This level would fund 718 FTEs and provide $10M for agency and information

technology initiatives. Most funding would be dedicated for Legacy Systems

Modernization Services (LSMS). Again, the RRB would have to evaluate all available

options to include attrition, buyouts, furloughs, and reduction in force to get to the 718

FTE level.

 The agency request level totals $166,859,000 for fiscal year 2022. This level would fund

880 FTEs to sustain the agency’s mission essential functions and provide $13.85M for

ongoing information technology modernization efforts that directly support the

President’s Management Agenda.

1/ Amount includes the OMB Passback of $114.5 million less a 5% reduction plus $2 million 

anticipated reduction in Vested Dual Benefits (VDB) from FY 2021 to FY 2022. Actuarial 

estimates as of June 2020 indicate a reduction of VDB from $13 to $11 million 

2/ Amount includes the OMB Guidance 5% Reduction amount of $110.775 million plus 2% 

of $114.5 million from the OMB Passback and $10 million for IT Initiatives. 

OMB A-11 Reference: Section 51.1 (July, 2020)
-31-

1/ Amount includes the OMB Guidance 5% Reduction amount of $110.775 million plus 2% of $114.5 million from

the OMB Passback. There is $10 million for IT Initiatives.

Summary of Strategic Goal Amounts

Budget Account - Limitation on Administration (60-8237-0-7-601)

Analysis of Resources

(in thousands of dollars)

2022

House 

Mark

OMB 

Guidance 

5%

OMB 

Guidance 

2% Agency

Fiscal Year/Level 2020 2021 Reduction Add Back Request

Budget authority: 123,500 126,500 110,775 123,0651

/ 166,859

Outlays: 123,500 126,500 110,775 123,065 166,859

Full-time equivalent employment: 791 743 701 718 880

Fiscal Year 2023 2024 2025 2026 2027 2028

Budget authority: 

OMB Guidance (5%) Reduction 110,775 110,775 110,775 110,775 110,775 110,775

OMB Guidance 2% Add Back 123,065 123,065 123,065 123,065 123,065 123,065

Request level * * * * * *

Outlays:

OMB Guidance (5%) Reduction 110,775 110,775 110,775 110,775 110,775 110,775

OMB Guidance 2% Add Back 123,065 123,065 123,065 123,065 123,065 123,065

Request level * * * * * *

* Amounts for these years are to be determined.

OMB A-11 Reference: Section 51.1 (July, 2020)
-32-

Strategic Goal – Modernization IT Operations

Budget Account - Limitation on Administration (60-8237-0-7-601)

Analysis of Resources

(in thousands of dollars)

2022

House 

Mark

OMB 

Guidance 

5%

OMB 

Guidance 

2% Agency

Fiscal Year/Level 2020 2021 Reduction Add Back Request

Budget authority: 27,320 32,081 21,639 32,101 44,003

Outlays: 27,320 32,081 21,639 32,101 44,003

Full-time equivalent employment: 114 124 105 107 131

Fiscal Year 2023 2024 2025 2026 2027 2028

Budget authority:

OMB Guidance (5%) Reduction 21,639 21,639 21,639 21,639 21,639 21,639

OMB Guidance 2% Add Back 32,101 32,101 32,101 32,101 32,101 32,101

Request level * * * * * *

Outlays:

OMB Guidance (5%) Reduction 21,639 21,639 21,639 21,639 21,639 21,639

OMB Guidance 2% Add Back 32,101 32,101 32,101 32,101 32,101 32,101

Request level * * * * * *

* Amounts for these years are to be determined.

OMB A-11 Reference: Section 51.1 (July, 2020)
-33-

Strategic Goal - Customer Service

Budget Account - Limitation on Administration (60-8237-0-7-601)

Analysis of Resources

(in thousands of dollars)

2022

House 

Mark

OMB 

Guidance 

5%

OMB 

Guidance 

2% Agency

Fiscal Year/Level 2020 2021 Reduction Add Back Request

Budget authority: 67,729 65,743 56,444 57,582 77,446

Outlays: 67,729 65,743 56,444 57,582 77,446

Full-time equivalent employment: 486 452 421 431 528

Fiscal Year 2023 2024 2025 2026 2027 2028

Budget authority:

OMB Guidance (5%) Reduction 56,444 56,444 56,444 56,444 56,444 56,444

OMB Guidance 2% Add Back 57,582 57,582 57,582 57,582 57,582 57,582

Request level * * * * * *

Outlays:

OMB Guidance (5%) Reduction 56,444 56,444 56,444 56,444 56,444 56,444

OMB Guidance 2% Add Back 57,582 57,582 57,582 57,582 57,582 57,582

Request level * * * * * *

* Amounts for these years are to be determined.

OMB A-11 Reference: Section 51.1 (July, 2020)
-34- 

Strategic Goal – Stewardship

Budget Account - Limitation on Administration (60-8237-0-7-601)

Analysis of Resources

(in thousands of dollars)

2022

House

Mark

OMB 

Guidance 

5%

OMB 

Guidance 

2% Agency

Fiscal Year/Level 2020 2021 Reduction Add Back Request

Budget authority: 28,451 28,677 32,692 33,382 45,410

Outlays: 28,451 28,677 32,692 33,382 45,410

Full-time equivalent employment: 192 168 176 180 221

Fiscal Year 2023 2024 2025 2026 2027 2028

Budget authority:

OMB Guidance (5%) Reduction 32,692 32,692 32,692 32,692 32,692 32,692

OMB Guidance 2% Add Back 33,382 33,382 33,382 33,382 33,382 33,382

Request level * * * * * *

Outlays:

OMB Guidance (5%) Reduction 32,692 32,692 32,692 32,692 32,692 32,692

OMB Guidance 2% Add Back 33,382 33,382 33,382 33,382 33,382 33,382

Request level * * * * * *

* Amounts for these years are to be determined.

OMB A-11 Reference: Section 51.1 (July, 2020)
-35- 

Retirement/Survivor Benefit Program

Summary Processing Workload Table 

Fiscal 

years

Average 

number of 

annuitants

New 

applications

Supplement

al annuity

applications

Social 

Security 

initial

awards 1/ 

Postpayment 

adjustments

Number 

of 

payments

Medicare 

enrollments 2/

2009 554,124 37,248 9,725 8,128 110,534 7,104,066 5,235

2010 549,154 37,384 9,581 12,563 120,102 7,055,426 5,204

2011 544,256 37,231 9,743 9,275 93,425 7,011,155 5,803

2012 540,080 35,856 9,341 9,342 85,206 6,967,676 6,522

2013 534,982 36,041 9,075 3,116 80,786 6,921,034 6,306

2014 530,367 35,368 8,802 3,124 76,440 6,864,029 6,270

2015 526,487 34,234 8,145 3,417 66,316 6,825,427 6,851

2016 522,839 33,019 7,497 3,739 74,056 6,779,413 6,573

2017 518,416 31,479 6,520 4,526 79,221 6,752,770 7,379

2018 513,732 33,879 4,464 3,393 80,201 6,686,481 7,840

2019 508,774 27,957 1,425 3,617 75,984 6,620,447 7,446

2020 (est) 503,000 30,000 4,000 4,000 75,000 6,550,000 7,000

2021 (est) 497,000 29,000 3,000 4,000 74,000 6,460,000 7,000

2022 (est) 491,000 27,000 3,000 3,000 73,000 6,370,000 6,000

1/ Beginning in fiscal year 2013, Social Security initial awards no longer include mechanical adjustments. 

2/ Excludes attainments.

OMB A-11 Reference: Section 51.1 (July, 2020)
-36- 

Railroad Unemployment/Sickness Insurance Program

Summary Processing Workload Table 

Unemployment insurance Sickness insurance

Fiscal Years

Railroad 

employment 

1/

Applications Claims Payments Applications Claims Payments

2009 223,000 39,509 230,476 198,230 2/ 21,466 138,993 118,770

2010 221,000 18,721 210,965 190,152 3/ 21,476 139,653 119,426

2011 229,000 12,756 93,598 83,144 4/ 20,797 136,014 115,705

2012 234,000 12,914 83,120 72,776 5/ 20,240 129,318 110,154

2013 237,000 14,944 96,871 84,365 6/ 19,110 119,364 100,951

2014 242,000 11,982 77,580 64,864 6/ 19,335 120,838 102,020

2015 247,000 14,177 67,643 55,368 19,467 121,271 102,540

2016 231,000 24,371 145,605 120,134 20,219 131,575 111,933

2017 225,000 14,372 96,777 80,748 20,087 132,557 113,163

2018 224,000 11,294 71,119 59,696 18,660 131,320 112,940

2019 214,000 (est) 14,900 70,065 57,475 17,915 118,894 101,699

2020 (est) 188,000 49,000 269,000 221,0007/ 19,000 125,000 107,000

2021 (est) 185,000 41,000 268,000 220,0007/ 18,000 119,000 102,000

2022 (est) 186,000 15,000 88,000 72,000 16,000 102,000 87,000

1/ Average annual railroad employment is based on mid-month counts and presented on a calendar year basis. 

2/ Includes unemployment insurance claims and payments under the American Recovery and Reinvestment Act 

of 2009 (P.L. 111-5). Benefits had to begin by December 31, 2009. 

3/ Includes unemployment insurance claims and payments under P.L. 111-5 and the Worker, 

Homeownership, and Business Assistance Act of 2009 (P.L. 111-92). 

4/ Includes unemployment insurance claims and payments under P.L. 111-5, P.L. 111-92, and the Tax 

Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 (P.L. 111-312). 

5/ Includes unemployment insurance claims and payments under P.L. 111-92, P.L. 111-312, the Temporary 

Payroll Tax Cut Continuation Act of 2011 (P.L. 112-78), and the Middle Class Tax Relief and Job 

Creation Act of 2012 (P.L. 112-96). 

6

/ Includes unemployment insurance claims and payments under P.L. 111-92, P.L. 111-312, P.L. 112-78, 

P.L. 112-96, and the American Taxpayer Relief Act of 2012 (P.L. 112-240). Benefits had to begin by 

December 31, 2013. 

7/ Includes unemployment insurance claims and payments under the CARES Act (P.L. 116-136). 

OMB A-11 Reference: Section 51.1 (July, 2020)
-37- 

PERFORMANCE

PLAN

Fiscal Year 2022 

 Railroad Retirement Board
Railroad Retirement Board - Fiscal Year 2022 Initial Performance Plan

-38-

TABLE OF CONTENTS

Introduction ............................................................................................................................. 39

Mission Statement .................................................................................................................... 40

Strategic Goal I: Modernize Information Technology Operations to Sustain

 Mission Essential Services................................................................................................. 41

Strategic Objective: Legacy Systems Modernization........................................................ 41

Strategic Goal II: Provide Excellent Customer Service .......................................................... 43

Strategic Objective: Pay benefits timely ........................................................................... 43

Strategic Objective: Provide a range of choices in service delivery methods................... 44

Strategic Goal III: Serve as Responsible Stewards for Our Customers’ Trust Funds 

and Agency Resources ....................................................................................................... 45

 Strategic Objective: Ensure that trust fund assets are protected, collected, 

recorded, and reported appropriately............................................................................ 45

 Strategic Objective: Ensure the accuracy and integrity of benefit programs.................... 46

 Strategic Objective: Ensure effectiveness, efficiency, and security of operations............ 47

Information Security Program............................................................................................ 47

 Strategic Objective: Effectively carry out responsibilities with respect to the

National Railroad Retirement Investment Trust........................................................... 50

Initial Performance Plan - FY 2022.......................................................................................... 51
Railroad Retirement Board - Fiscal Year 2022 Initial Performance Plan

-39- 

Introduction

The Railroad Retirement Board (RRB) has developed this performance budget for fiscal year 

2022 to support our mission (see mission statement on the following page) and to 

communicate our intentions for meeting challenges and seeking opportunities. We will use 

the plan to hold managers accountable for achieving program results and to improve program 

effectiveness and public accountability by promoting a continued focus on results, service 

quality, and customer satisfaction. We will also use the plan to help managers improve 

service delivery by requiring that they plan for meeting program objectives and by providing 

them with information about program results and service quality. 

This plan is closely linked to our Strategic Plan for Fiscal Years 2018 - 2022 and can be 

easily cross-referenced to that plan. The performance budget provides detailed performance 

goals, performance indicators and target levels to guide agency managers as they implement 

our Strategic Plan. It also communicates our plans to our stakeholders, including the railroad 

community, the Administration, the Congress, and other government agencies. It is one part 

of a comprehensive set of interlocking plans that cover all major aspects of agency operations. 

In this plan, we have established specific performance goals (with performance indicators and 

projected performance levels) to be achieved in fiscal year 2022. Additionally, it supports our 

other functional plans required to manage the agency. These functional plans include the 

Customer Service Plan and the Information Technology Capital Plan. These plans 

support the annual submission of the agency budget to the Office of Management and Budget 

(OMB) and the Congress. 

The RRB’s strategic and performance goals are presented in the sections following our 

mission statement. Information on anticipated performance in fiscal year 2022 for each 

performance goal is provided at the OMB Guidance 5% Reduction Level, the OMB Guidance 

2% Add Back Level and the Agency Request Level. To provide for ongoing improvement in 

performance and accountability, we will continue to set programmatic goals which are 

aggressive, realistic and accurately measured. We will also ensure that planned 

improvements are transparent and result in meaningful outcomes, and that agency managers 

are accountable for achieving performance goals.

We will also prepare and submit to the President and the Congress a report on program 

performance for fiscal year 2022, as part of our Performance and Accountability Report. The 

report will be reviewed by the RRB’s Office of Inspector General (OIG) to help ensure the 

reliability and utility of our performance information. The reported information will be 

derived from agency systems and will compare the performance goals and indicators to actual 

program performance for the fiscal year. This performance budget meets the requirements of 

the GPRA Modernization Act and was prepared by RRB employees. 

OMB A-11 Reference: Section 51.1 (July, 2020)
Railroad Retirement Board - Fiscal Year 2022 Initial Performance Plan

-40-

RAILROAD RETIREMENT BOARD 

MISSION STATEMENT

The RRB’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 RRB also administers aspects of the Medicare program 

and has administrative responsibilities under the Social Security Act and the Internal 

Revenue Code. 

In carrying out its mission, the RRB 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 RRB will treat every person who comes into contact with the agency with 

courtesy and concern, and respond to all inquiries promptly, accurately and clearly.
Railroad Retirement Board - Fiscal Year 2022 Initial Performance Plan

-41-

Strategic Goal I: Modernize Information Technology (IT) Operations to sustain mission 

essential services. At the OMB Guidance 5% Reduction level, we would plan to allocate 

$21,639,000 and 105 full-time equivalent employees (FTE’s) to this strategic goal. At the 

OMB Guidance 2% Add Back level we would plan to allocate $32,101,000 and 107 FTE’s to 

this strategic goal. At the Agency Request level, we would plan to allocate $44,003,000 and 

131 FTE’s to this strategic goal. 

Today, our mission essential programs are straining under the burden of being maintained by 

legacy computer systems built 40 years ago. Our workforce is rapidly aging, with the average 

employee serving 30 years at retirement. Institutional knowledge diminishes as this 

workforce retires and it is increasingly difficult to find the legacy skills needed to maintain 

these systems. To continue providing the excellent service to our beneficiaries, we need to 

transform these legacy systems through automation and build modern digital services while 

safeguarding information anywhere, anytime, in all ways throughout the information life 

cycle. Our strategy to modernize encompasses multiple iterations over various phases in a 

new environment to minimize impact to the current legacy environment.

I-A. Strategic Objective: Legacy Systems Modernization. The primary focus is to 

complete the transformation to the new platform and simplify core business processes to 

improve the effectiveness and efficiency of mission-critical applications and services. The 

RRB will continuously monitor, measure, and perform value driven services to ensure the 

predictable outcome of a successful modernization for IT operations to sustain essential 

services. To achieve this goal we are deploying agile principles such as breaking up multiyearlong projects into a series of short releases focused on the most critical or Key 

Performance Indicators to increase the opportunity for success, as well as ensuring frequent 

standup meetings, or daily scrums, as an effective mean to convey information, and to 

facilitate quick resolution of identified risks and issues.

The FY 2021 performance goals follow:

• Prepare to consolidate and rationalize applications to improve the effectiveness and 

efficiency of mission essential functions.

• Evaluate the results of the customer surveys obtained through the LSMS reengineering assessment contract deliverable to identify and deliver a broader range of 

online citizen centric services that will specifically address our customer’s 

expectations and improve overall customer service.

• Transition Mission Essential Programs from the End-of-Life Mainframe hardware.

• Evaluate the re-engineering assessment contract deliverable and determine a 

modernization path forward consistent with agency priorities and within available 

funding to address mission critical functions.
Railroad Retirement Board - Fiscal Year 2022 Initial Performance Plan

-42-

• Enhance infrastructure components to stabilize the information systems and the related 

ecosystems to prepare for the modernize phase.

The RRB reviews and makes modification to its performance goals in accordance with its 

strategic roadmap for modernization and transformation. For fiscal year 2022, we have added 

five performance goals that focus on the specifics of achieving this strategic objective.

The new FY 2022 performance goals follow:

• Complete the development of business rules strategy and data layer components of the 

modernization.

The establishment of the business rules strategy in FY 21 lays the foundation for 

the evolution of rationalizing all business rules to a singular location and part of 

the new enterprise. This performance goal completes the development of this 

mission-critical component to future applications due to be developed in FY 22. 

• Deliver citizen-centric services and applications to railroad employees through mobile 

and web-ready interfaces.

The RRB will continue to build upon foundational components of the new 

applications and systems to implement self-service digital solutions for our 

customers and end users. The online employee retirement application (Form AA1) along with the companion spouse retirement application (Form AA-3) will be 

implemented using strong Identity Proofing and Multi-Factor Authentication.

• Complete the streamlining of core business processes and modernize key applications 

which support these processes.

This performance goal identifies and focuses the cross-agency modernization team 

on the core business processes and lays the foundation for the modernization of 

key applications that will support the intake, adjudication, calculation, and 

payment processing of claims and applications. Specific applications will be 

identified as a part of this goal when known. 

• Refine critical management processes in the following areas within the IT 

organization: change, project, program, and configuration.

In order for the modernization to be successful, BIS will require robust, repeatable 

management processes and standards to be in place. This performance goal 

identifies key management processes to be refined and fortified to improve the 

efficiency of the modernization team throughout the Modernize and Perform 

Phases.
Railroad Retirement Board - Fiscal Year 2022 Initial Performance Plan 

-43- 

Strategic Goal II: Provide Excellent Customer Service. 

We aim to satisfy our customers’ expectations for quality service in terms of service delivery 

options and levels and manner of performance. At the OMB Guidance 5% Reduction level, 

we would plan to allocate $56,444,000 and 421 FTE’s to customer service. At the OMB 

Guidance 2% Add Back level we would plan to allocate $57,582,000 and 431 full-time 

equivalent employees (FTE’s) to customer service. At the Agency Request level, we would 

plan to allocate $77,446,000 and 528 FTE’s to customer service. We have established two 

performance goals that focus on the specifics of achieving this strategic goal.

II-A. Strategic Objective: Pay benefits timely. 

The RRB is committed to ensuring that we pay benefits in a timely manner. We have nine 

objectives in place to track the timeliness of the actions we take in a year regarding both 

Railroad Retirement Act (RRA) and Railroad Unemployment Insurance Act (RUIA) 

programs. In addition, we will: 

• Ensure accurate, up-to-date, accessible instructions to support our front-line

employees as they provide customer support.

• Inform our customers about their responsibilities.

• Ensure that the Customer Service Plan is comprehensive and is revised when

appropriate.

• Promote direct deposit for benefit payments.

• Monitor key payment workloads.

• Allocate resources effectively.

Our Customer Service Plan includes customer 

service timeliness standards for paying 

benefits. Through March 31, 2020 the overall 

actual performance was 99.1 percent. This 

means that customers received benefit services 

within the timeframes promised in the 

Customer Service Plan for more than 99 

percent of the 165,272 service transactions for 

which timeliness was measured. 

The inset at the right shows composite results 

in four combined categories of services. 

Overall Timeliness Performance

Fiscal Year 2020 (through 3/31/2020) 

• Retirement applications: 96.3%

(target: 94.0%)

• Survivor applications: 95.7%

(target: 94.7%)

• Disability applications/payments: 52.2%

(target: 82.5%)

• RUIA applications/claims: 99.8%

(target: 98.6%)
Railroad Retirement Board - Fiscal Year 2022 Initial Performance Plan

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Communications with RRB customers

In addition to making payments, we provide a variety of information to our customers. 

We provide general information through our website, publications, and our toll-free number. 

We also provide information to individuals through annual statements of wages and 

compensation, annuity estimates, notices of annuity and benefit awards and changes, annual 

income tax statements, and answers to questions regarding benefits. In addition, we use an 

on-line presentation facility called RRBVision to provide information and training to the 

public and rail employers.

II-B. Strategic Objective: Provide a range of choices in service delivery methods. 

To fulfill customers’ needs, we must provide high quality, accurate services on a timely basis, 

and in ways that are accessible and convenient to all our customers, including the elderly and 

those with impairments. Consistent with our vision statement, we strive to provide a broad 

range of choices for customer service. Our level of performance will be measured by how 

well we succeed in providing the level of service our customers expect, and by the number of 

new electronic services we can provide in each program at a reasonable cost. Our goal is to 

expand customer choice by offering alternative access to our major services. To achieve our 

goals in this area, we plan to:

• Increase opportunities for our customers to conduct business in a secure manner over 

the Internet.

• Continue to develop electronic services that enable the employer to conduct daily 

business transactions and file required reports in an efficient, effective and secure 

manner. 

The RRB continues to pursue enhancements in fiscal year 2020 with the development and 

implementation of the Form G-117a, Designation of Contact Officials. This service will give 

employers the ability to make timely updates and changes to the responsible officials in their 

organizations. This will add one more service to the system bringing the total number of 

available services to 31 in the ERSNet system.

In fiscal year 2021, RRB in-house IT staff will develop on-line ERSNet processes for the 

Form RL-13g, Notice to Employer of Relinquishment of Rights of Disability Annuitant Who 

Attained Age 65 and the AESOP, Employee Retirement Estimate File. 

The RRB will utilize fiscal year 2022 to focus on improvements and enhancements to the

existing 33 services available at that time.
Railroad Retirement Board - Fiscal Year 2022 Initial Performance Plan

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Strategic Goal III: Serve as Responsible Stewards for Our Customers’ Trust Funds and 

Agency Resources. 

The RRB is committed to fulfilling its fiduciary responsibilities to the rail community. At the 

OMB Guidance 5% Reduction level, we would plan to allocate $32,692,000 and 176 FTE’s to 

stewardship. At the OMB Guidance 2% Add Back level we would plan to allocate 

$33,382,000 and 180 full-time equivalent employees FTE’s to stewardship. At the Agency 

Request level, we would plan to allocate $45,410,000 and 221 FTE’s to stewardship. 

We have established four performance goals that focus on the specifics of achieving this 

strategic goal.

III-A. Strategic Objective: Ensure that trust fund assets are protected, collected, 

recorded and reported appropriately. 

The RRB is committed to prudent management of its trust funds. Our success in this 

objective is reflected through annual audited financial statements, actuarial valuations, 

financial projections, benefit payment accuracy, debt collection, experience-based

contribution rates, and payroll tax and railroad employee compensation reconciliations. We 

also have responsibilities with regard to the National Railroad Retirement Investment Trust, 

which are addressed separately under performance goal III-D. 

To accomplish this commitment, we will:

• Continue to issue annual audited financial statements.

• Monitor the solvency of the trust funds through a sound program of actuarial 

valuations and financial projections. 

• Correctly estimate the amounts needed for future benefit payments. 

• Verify that payroll taxes are fully collected and properly recorded.

• Issue accurate, timely determinations and notices of contribution rates required under 

the unemployment and sickness insurance program. 

• Continue to carry out the RRB’s debt collection policy.

In November 2019, we released our Performance and Accountability Report for fiscal year 

2019. The RRB’s OIG did express an opinion (disclaimer) on the RRB’s 2019 financial 

statements, which were included in that report. The OIG continues to report material 

weaknesses in the RRB’s financial reporting and control environment. The RRB continues to 

disagree with the material weakness and the basis the OIG cited for the disclaimer. 
Railroad Retirement Board - Fiscal Year 2022 Initial Performance Plan

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III-B. Strategic Objective: Ensure the accuracy and integrity of benefit programs. 

The principal indicators of accuracy are the benefit payment accuracy rates in each program. 

Our performance goal is to ensure that we can continue to meet or exceed 99 percent payment 

accuracy in the payments we initiate or manually adjust in a given year. To accomplish this 

goal, we will:

• Monitor payment accuracy and the levels of improper payments, and identify problems.

• Provide feedback and take additional preventive actions as appropriate.

• Maintain established matching programs.

• Continue our program integrity reviews.

Under the Improper Payments Information Act (IPIA) of 2002, and the Improper Payments 

Elimination and Recovery Act (IPERA) of 2010, the RRB reviews and reports on the amount 

of erroneous payments and engages in activities to reduce them. Since improper payment 

reporting began, the amounts attributable to the RRB’s two benefit programs (the RRA and 

the RUIA) have been below the definition of “significant” improper payments identified in 

the law and related guidance issued by OMB.

As part of our fiduciary responsibilities to the rail community, we must ensure that the correct 

benefit amounts are being paid to the right people. We match our benefit payments against 

the Social Security Administration’s earnings and benefits database, the Centers for Medicare 

& Medicaid Services' death records, the Office of Personnel Management’s benefit records, 

and State wage reports, exclusively via secure electronic transmissions. We also administer 

other benefit monitoring programs to identify and prevent erroneous payments, and refer 

some cases to the RRB’s OIG for investigation. After investigation, the Inspector General 

may pursue more aggressive actions, which include civil and criminal prosecution.

We measure the effectiveness of the program integrity efforts each year by comparing the 

dollars identified as improper payments and saved through these initiatives to their cost. 

Based on the most recent information available, for example, in fiscal year 2019, the RRB 

invested the equivalent of about 19 full-time employees, at a cost of approximately $2.1

million, in program integrity efforts. This resulted in about $12.9 million in recoverables, 

$919,016 in benefits saved, and the referral of 52 cases to the OIG for investigation. This is 

approximately $6.66 in savings for each $1.00 invested in these activities.
Railroad Retirement Board - Fiscal Year 2022 Initial Performance Plan

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III-C. Strategic Objective: Ensure effectiveness, efficiency, and security of operations. 

Information Security Program

Information security is a critical consideration for government agencies where maintaining the 

public’s trust is essential. The RRB relies extensively on computerized systems to support its 

mission operations and store the sensitive information that it collects. The RRB’s information 

security program is established and maintained to reasonably protect systems data and 

resources against internal failures, human errors, attacks and natural catastrophes that might 

cause improper disclosure, modification, destruction, or denial of services.

We continue to make progress towards a compliant Information Security program to improve 

the RRB's security posture. RRB has implemented an Information Security Continuous 

Monitoring (ISCM) Strategy as outlined in OMB Memorandum M-20-04, Fiscal Year 2019-

2020 Guidance on Federal Information Security and Privacy Management Requirements. 

This strategy addressed the gaps in the Information Security program. We partnered with the 

Department of Homeland Security (DHS) in the Continuous Diagnostic and Mitigation 

(CDM) program and continue by participating the CDM Dynamic and Evolving Federal 

Enterprise Network Defense (DEFEND) program. This partnership with DHS will further 

improve our Information Security continuous monitoring compliance towards vulnerability 

assessment, hardware and software management, configuration management, and privileged 

account management. The RRB continues to employ the DHS EINSTEIN-3 Accelerated 

(E3A) toolset that ensures all of the Domain Name System (DNS) and Simple Mail Transfer 

Protocol (SMTP) are monitored by these services.

We continue to manage the risk of the critical infrastructure considering asset management, 

remote access, identity management, and network protection. Specifically:

• Assessment Management – we have enrolled in the DHS CDM DEFEND program to 

provide better visibility of current hardware and software and to automatically detect 

unauthorized hardware and software. 

o The RRB has implemented two phases of the CDM program and is forwarding 

RRB data to the CDM Federal Dashboard:

 Hardware Asset Management “HWAM” to provide visibility into all 

hardware devices on the RRB Network.

 Vulnerability Management “VULN” to provide visibility to known 

vulnerabilities present on the network
Railroad Retirement Board - Fiscal Year 2022 Initial Performance Plan

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o The RRB will implement these two phases of CDM DEFEND during fiscal 

year 2021

 Software Asset Management “SWAM” to provide visibility into all 

software installed on the RRB network.

 Configuration Settings Management “CSM” to manage configuration 

settings of assets on the RRB network.

• Identity Management – The RRB enforces multi-factor authentication for general 

users and have installed a privileged access management system (i.e. CyberArk) for 

system administrators.

• Remote Access – We deployed managed services for hardware encryption and have 

upgraded our firewalls to strengthen information security controls for remote access. 

Note: enforcement of PIV is instrumental for remote access.

Internal Operations

The RRB is committed to effective, efficient and secure internal operations. Many factors 

and programs contribute to this goal. We use our management control review process as a 

means of reviewing critical agency processes in order to provide reasonable assurance of the 

effectiveness and efficiency of our programs and operations. If material weaknesses are 

detected, we take corrective action. In addition, we perform a variety of quality assurance 

activities to ensure that our benefit programs comply with established policies, standards and 

procedures. We consider the findings from these reviews as we plan our information 

technology initiatives. 

In support of the Administration’s direction to agencies to assess the effectiveness of current 

information technology (IT) management practices and address opportunities to improve 

management of IT resources we added measurements based on the PorfoliStat categories 

Deliver, Innovate and Protect. The measurements ensure that the agency engages in proactive 

performance management of its IT.

• Deliver – Deliver on Budget Percent of IT Projects costs within 10% of budgeted cost

• Deliver – Meet Customer Expectations. WWW.RRB.GOV Internet Services (Mainline 

and Employer Reporting System) Continuous availability experienced by end users.

• Innovate – Design for Modularity. Strategy for Continuity of Operations 

Improvements.

• Protect – Email Data Loss Prevention. Percentage of externally bound emails and 

their attachments automatically encrypted that contain personally identifiable or 

credit card information.

• Protect –Percentage of agency employees required to use a Personal Identity 

Verification (PIV) card to authenticate.
Railroad Retirement Board - Fiscal Year 2022 Initial Performance Plan

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The measurements ensure that the agency engages in proactive performance management of 

information technology by ensuring effectiveness, efficiency and security of operations. The 

use of performance measures and management processes allows the RRB to monitor actual 

versus expected results, while also providing appropriate oversight and quality control. The 

status of each measure is captured and evaluated monthly by those responsible for 

overseeing the measure, evaluated quarterly by the Office of the Chief Information Officer to 

ensure that the activity is meeting the expected measure, and reported annually in the 

agency’s fiscal year performance plan. 

In addition to our ongoing activities, during the planning period we will continue to 

emphasize key areas related to strategic management of human capital, improving program 

performance and accountability, and systems security.

RRB Plan to Maximize Employee Performance

Like many agencies, the RRB has an aging workforce. Nearly 42 percent of our employees 

have 20 or more years of service and 35 percent of the current workforce will be eligible for 

retirement by fiscal year 2022. To prepare for the expected turnover, the agency is placing 

increased emphasis on strategic management of human capital. The Bureau of Human 

Resources continues to partner with senior management to develop a succession plan 

methodology and strategy to drive and support RRB’s mission. The succession planning 

process includes analyzing workforce data, trends and projected attrition in an effort to 

evaluate, prioritize and address future staff and skills needed for the RRB workforce. The 

results from the workforce analysis form the basis for formulating specific strategies, hiring 

plans and initiatives that support the agency’s succession plan. 

The Training and Development Section within the Bureau of Human Resources continues to 

utilize the results from training needs assessments and surveys to assist in prioritizing the 

RRB’s training needs. We are also making use of technology in this area, utilizing the LMS, 

an internet-based program which effectively formalizes many aspects of training for all 

agency employees, while also providing self-assessments to the student and feedback to 

supervisors on their progress. In addition, our Field Service supervisors/managers have 

access to the latest webinar technology to facilitate the remote training of new employees, as 

well as the ongoing training of experienced field staff.

The Workforce Organization Management Section (WOMS) identifies appropriate target 

markets for our recruitment efforts to ensure we receive applications from a talented and 

diverse pool of applicants. Through USAJOBS, we have been able to reach candidates from 

many sectors. In FY 2019, we received over 5300 outside applications. We also utilize

different recruitment strategies, like resume mining and targeted advertising, to ensure we are 

attracting quality candidates.

The Human Services/Labor Relations Section (HS/LR) is in the process of re-negotiating the 

Nationwide Collective Bargaining Agreement (CBA), which has not been updated since 1985. 
Railroad Retirement Board - Fiscal Year 2022 Initial Performance Plan

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A component of the revised CBA includes new articles on both Performance Management 

and Incentive Awards. In addition, the HS/LR team is in the process of revising both the 

RRB’s Incentive Awards policy as well as its Performance Management policy. Both policies 

have been drafted with the vision of maximizing employee performance and rewarding 

RRB’s high performers.

III-D. Strategic Objective: Effectively carry out responsibilities with respect to the 

National Railroad Retirement Investment Trust. 

Although the RRB no longer has primary responsibility for the investment of the trust fund 

monies, it continues to have responsibilities in ensuring that the National Railroad Retirement 

Investment Trust (NRRIT), and its seven-member Board of Trustees, comply with the 

provisions of the Railroad Retirement Act. This responsibility will be fulfilled through 

review of the monthly, quarterly, and annually submitted reports by the NRRIT, and its 

auditors’ reports. In addition, the RRB’s Board Members and General Counsel meet twice 

annually with the Trustees and receive detailed briefings during periodic telephone 

conferences.

The RRB has authority to bring civil action should it detect any violation of the Railroad 

Retirement Act or non-compliance with any provisions of that Act.

To facilitate coordination among the NRRIT and Federal Government organizations, the 

Department of the Treasury, OMB, NRRIT and RRB have entered into a voluntary 

memorandum of understanding concerning budgetary, accounting and financial reporting 

responsibilities. Additionally, the NRRIT and the Government Accountability Office (GAO) 

have entered into a voluntary memorandum of understanding to facilitate GAO’s access to 

information supporting NRRIT’s annual financial statements and related financial statement 

audits for purposes of conducting GAO’s audits of the U.S. government’s consolidated 

financial statements.
Railroad Retirement Board - Fiscal Year 2022 Initial Performance Plan

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RRB FY 2022 

Initial Performance 

Plan

2017 

Actual

2018 

Actual 

2019 

Actual 

2020 

Actual

2021 

Estimate 

2022 OMB 

Guidance 

5% 

Reduction

2022 OMB 

Guidance 

2% Add 

Back

2022 

Agency 

Request

STRATEGIC GOAL I: Modernize Information Technology (IT) Operations to sustain mission essential services

Strategic Objective: Legacy Systems Modernization - Goal Leader: Terryne F. Murphy, Chief Information Officer

I-A-1. Prepare to 

consolidate and 

rationalize 

applications to 

improve the 

effectiveness and 

efficiency of mission 

essential functions.

New Goal 

for FY 

2021

New Goal 

for FY 

2021

New Goal 

for FY 

2021

New Goal 

for FY 

2021

100% Goal 

Complete

Goal 

Complete

Goal 

Complete

I-A-2. Evaluate the 

results of the 

customer surveys 

obtained through the 

LSMS re-engineering 

assessment contract 

deliverable to 

identify and deliver a 

broader range of 

online citizen centric 

services that will 

specifically address 

our customer’s 

expectations and 

improve overall 

customer service.

New Goal 

for FY 

2021

New Goal 

for FY 

2021

New Goal 

for FY 

2021

New Goal 

for FY 

2021

100% Goal 

Complete

Goal 

Complete

Goal 

Complete

I-A-3. Transition 

Mission Essential 

Programs from the 

End-of-Life 

Mainframe hardware.

New Goal 

for FY 

2019

New Goal 

for FY 

2019

10% 50% 75% 100% 100% 100%

I-A-4. Evaluate the 

re-engineering 

assessment contract 

deliverable and 

determine a 

modernization path 

forward consistent 

with agency priorities 

and within available 

funding to address 

mission critical 

functions.

New Goal 

for FY 

2021

New Goal 

for FY 

2021

New Goal 

for FY 

2021

New Goal 

for FY 

2021

75% 100% 100% 100%
Railroad Retirement Board - Fiscal Year 2022 Initial Performance Plan

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RRB FY 2022

Initial Performance 

Plan

2017 

Actual

2018 

Actual 

2019 

Actual 

2020 

Actual

2021 

Estimate 

2022 OMB 

Guidance 

5% 

Reduction

2022 OMB 

Guidance 

2% Add 

Back

2022 

Agency 

Request

STRATEGIC GOAL I: Modernize Information Technology (IT) Operations to sustain mission essential services

Strategic Objective: Legacy Systems Modernization - Goal Leader: Terryne F. Murphy, Chief Information Officer

I-A-5. Enhance 

infrastructure 

components to 

stabilize the 

information systems 

and the related 

ecosystems to 

prepare for the 

modernize phase.

New Goal 

for FY 

2021

New Goal 

for FY 

2021

New Goal 

for FY 

2021

New Goal 

for FY 

2021

75% 100% 100% 100%

I-A-6. Complete the 

development of 

business rules 

strategy and data 

layer components of 

the modernization.

New Goal 

for FY 

2022

New Goal 

for FY 

2022

New Goal 

for FY 

2022

New Goal 

for FY 

2022

New 

Goal for 

FY 2022

75% 75% 75%

I-A-7. Deliver 

citizen-centric 

services and 

applications to 

railroad employees 

through mobile- and 

web-ready interfaces.

New Goal 

for FY 

2022

New Goal 

for FY 

2022

New Goal 

for FY 

2022

New Goal 

for FY 

2022

New 

Goal for 

FY 2022

50% 50% 50%

I-A-8. Complete the 

streamlining of core 

business processes 

and modernize key 

applications that 

support these 

processes.

New Goal 

for FY 

2022

New Goal 

for FY 

2022

New Goal 

for FY 

2022

New Goal 

for FY 

2022

New 

Goal for 

FY 2022

25% 25% 25%

I-A-9. Refine critical 

management 

processes in the 

following areas 

within the IT 

organization: change, 

project, program, and 

configuration.

New Goal 

for FY 

2022

New Goal 

for FY 

2022

New Goal 

for FY 

2022

New Goal 

for FY 

2022

New 

Goal for 

FY 2022

100% 100% 100%
Railroad Retirement Board - Fiscal Year 2022 Initial Performance Plan

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RRB FY 2022 Initial 

Performance Plan

2017 

Actual

2018 

Actual 

2019 

Actual 

2020 

Actual

2021 

Estimate 

2022 OMB 

Guidance 

5% 

Reduction

2022 OMB 

Guidance 

2% Add 

Back

2022 

Agency 

Request

STRATEGIC GOAL II: Provide Excellent Customer Service

Strategic Objective: Pay benefits timely.

 Goal Leader for performance goals II-A-1 through II-A-5; II-A-7 and II-A-8: Crystal Coleman, Director of Programs 

 Goal Leader for performance goal II-A-6: Daniel Fadden, Director of Field Service

 Goal Leader for performance goal II-A-9: Rachel L. Simmons, Director of Hearings and Appeals

II-A-1. RRB makes a 

decision to pay or deny a 

railroad retirement 

employee or spouse 

initial annuity 

application within 35 

days of the annuity 

beginning date, if 

advanced filed. 

(Measure: % ≤ 35 days)

95.0% 94.9% 95.4% 95.8% 94.0% 94.0% 94.0% 95.0%

II-A-2. RRB makes a 

decision to pay or deny a 

railroad retirement 

employee or spouse 

initial annuity 

application within 60 

days of the date the 

application was filed.

(Measure: % ≤ 60 days)

95.5% 96.5% 96.5% 97.4% 94.0% 94.0% 94.0% 95.0%

II-A-3. RRB makes a 

decision to pay, deny or 

transfer to SSA an initial 

annuity application for a 

railroad retirement 

survivor not already 

receiving a benefit 

within 60 days of the 

annuity beginning date, 

or date filed (whichever 

is later). (Measure: % 

≤ 60 days)

96.9% 96.2% 96.0% 95.5% 94.0% 94.0% 94.0% 95.0%

II-A-4. RRB makes a 

decision to pay, deny or 

transfer to SSA an initial 

annuity application for a 

railroad retirement 

survivor already 

receiving the benefits as 

a spouse within 30 days 

of the RRB’s receipt of 

first notice of the 

employee’s death. 

(Measure: % ≤ 30 days)

96.1% 96.5% 96.6% 95.1% 94.0% 94.0% 94.0% 95.0%
Railroad Retirement Board - Fiscal Year 2022 Initial Performance Plan

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RRB FY 2022 Initial 

Performance Plan

2017 

Actual

2018 

Actual 

2019 

Actual 

2020 

Actual

2021 

Estimate 

2022 OMB 

Guidance 

5% 

Reduction

2022 OMB 

Guidance 

2% Add 

Back

2022 

Agency 

Request

STRATEGIC GOAL II: Provide Excellent Customer Service

Strategic Objective: Pay benefits timely.

 Goal Leader for performance goals II-A-1 through II-A-5; II-A-7 and II-A-8: Crystal Coleman, Director of Programs 

 Goal Leader for performance goal II-A-6: Daniel Fadden, Director of Field Service

 Goal Leader for performance goal II-A-9: Rachel L. Simmons, Director of Hearings and Appeals

II-A-5. RRB makes a 

decision to pay or deny a 

lump sum death benefit 

within 60 days of the 

date the application was 

filed. 

(Measure: % ≤ 60 days)

97.5% 98.2% 97.3% 97.3% 96.0% 96.0% 96.0% 97.0%

II-A-6. RRB certifies a 

payment or releases a 

letter of denial of UI or 

SI benefits within 10 

days of the date RRB 

receives the claim. 

(Measure: % < 10 days)

99.9% 99.9% 99.9% 99.9% 98.5% 98.00% 98.50% 99.00%

II-A-7. RRB makes a 

decision to pay or deny a 

benefit for a disabled 

applicant or family 

member within 100 days 

of the date the 

application is filed.

(Measure: % ≤ 100 

days)

14.7% 11.3% 12.5% 15.0% 70.0% 70.0% 70.0% 70.0%

II-A-8. RRB makes a 

payment to a disabled 

applicant within 25 days 

of the date of decision or 

earliest payment date, 

whichever is later. 

(Measure: % < 25 days)

92.5% 91.5% 85.2% 86.4% 92.0% 92.0% 92.0% 93.0%

II-A-9. Reduce the 

number of days elapsed

between the date the 

appeal is filed and a 

decision is rendered. 

(Measure: average 

elapsed days)

217 217 207 207 207 207 207 207
Railroad Retirement Board - Fiscal Year 2022 Initial Performance Plan

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RRB FY 2022 Initial 

Performance Plan

2017 

Actual

2018 

Actual 

2019 

Actual 

2020 

Actual

2021 

Estimate 

2022 OMB 

Guidance 

5% 

Reduction

2022 

OMB 

Guidance 

2% Add 

Back

2022 

Agency 

Request

STRATEGIC GOAL II: Provide Excellent Customer Service

Strategic Objective: Provide a range of choices in service delivery methods.

 Goal leader: Crystal Coleman, Director of Programs

II-B-1. Offer electronic options to our 

customers, allowing them alternative 

ways to perform primary services via the 

Internet or interactive voice response 

systems. (Measure: Number of services 

available through electronic media)

19

services 

available

196/

services 

available

19

services 

available

19 

services 

available

23 

services 

available

23 

services 

available

23 

services 

available

23 

services 

available

II-B-2. Enable employers 

to use the Internet to 

conduct business with the 

RRB, in support of the 

Government Paperwork 

Elimination Act.

(Measures: percentage of 

employers who use the 

on-line Employer 

Reporting System (ERS); 

number of services 

available through 

electronic media)

 

a)

Employers

 using 

 ERS:

99.0% 99.3% 99.2% 99.6% 99.0% 99.0% 99.0% 99.0%

 b)

 Internet 

 Services

29

Internet 

services 

available

30

Internet 

services 

available

30 

Internet 

services 

available

30 

Internet 

services 

available

33 

Internet 

services 

available

33

Internet 

Services 

Available

33 

Internet 

Services 

Available

33 

Internet 

Services 

Available 

RRB FY 2022 Initial Performance 

Plan

2017 

Actual

2018 

Actual 

2019 

Actual 

2020 

Actual

2021 

Estimate 

2022 OMB 

Guidance 

5% 

Reduction

2022 

OMB 

Guidance 

2% Add 

Back

2022 

Agency 

Request

STRATEGIC GOAL III: Serve as Responsible Stewards for Our Customers’ Trust Funds and Agency Resources

Strategic Objective: Ensure that trust fund assets are protected, collected, recorded, and reported appropriately.

 Goal leader: Shawna R. Weekley, Chief Financial Officer

III-A-1. Debts will be collected 

through billing, offset, 

reclamation, referral to outside 

collection programs, and a 

variety of other collection 

efforts. (Measure: total 

overpayments recovered in the 

fiscal year/total overpayments 

established in the fiscal year.)

90.73% 91.70% 91.70% 94.33% 85.0% 85% 85.0% 85.0%
Railroad Retirement Board - Fiscal Year 2022 Initial Performance Plan

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RRB FY 2022 Initial 

Performance Plan

2017 

Actual

2018 

Actual 

2019 

Actual 

2020 

Actual

2021 

Estimate 

2022 OMB 

Guidance 

5% 

Reduction

2022 

OMB 

Guidance 

2% Add 

Back

2022 

Agency 

Request

STRATEGIC GOAL III: Serve as Responsible Stewards for Our Customers’ Trust Funds and Agency Resources

Strategic Objective: Ensure the accuracy and integrity of benefit programs.

 Goal leader III-B-1 (a)(b) and III-B 3, 4 and 5: Crystal Coleman, Director of Programs

 Goal leader III-B-2 (a): Daniel Fadden, Director of Field Service

 Goal leader III-B-2 (b): Micheal Pawlak, Director of Unemployment Payment Support Division

III-B-1. 

Achieve a 

railroad 

retirement 

benefit 

payment 

accuracy 

rate 7/ of at 

least 99%.

(Measure: 

percent 

accuracy 

rate)

a)

Initial 

payments

98.89% 99.87% 

99.99% 

(through 

3/31/19)

Not 

Available 99.50% 99.50% 99.50% 99.75%

b)

Sample 

‘ post 

recurring 

payments

99.94% 99.56% 

99.94% 

(through 

3/31/19)

Not 

Available 99.50% 99.50% 99.50% 99.75%

III-B-2. 

Achieve a 

railroad 

unemploy

ment/ 

sickness 

insurance 

benefit 

payment 

accuracy 

rate 7/ of at 

least 99%.

(Measure: 

percent 

accuracy 

rate)

 a)

Unemployment

97.24% 96.09% 96.23% 99.89% 95.00% 95.00% 95.5% 96.00%

 b)

Sickness 99.08% 100.00% 97.93% 98.25% 96.00% 95.00% 95.00% 95.00%

III-B-3. Overall Initial 

Disability Determination 

Accuracy (Measure: % of 

Case Accuracy)

94.40% 94.40% Not 

Available

Not 

Available 95.00% 94.00% 95.00% 95.50%
Railroad Retirement Board - Fiscal Year 2022 Initial Performance Plan

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RRB FY 2022 Initial 

Performance Plan

2017 

Actual

2018 

Actual 

2019 

Actual 

2020 

Actual

2021 

Estimate 

2022 OMB 

Guidance 

5% 

Reduction

2022 

OMB 

Guidance 

2% Add 

Back

2022 

Agency 

Request

STRATEGIC GOAL III: Serve as Responsible Stewards for Our Customers’ Trust Funds and Agency Resources

Strategic Objective: Ensure the accuracy and integrity of benefit programs.

 Goal leader III-B-1 (a)(b) and III-B 3, 4 and 5: Crystal Coleman, Director of Programs

 Goal leader III-B-2 (a): Daniel Fadden, Director of Field Service

 Goal leader III-B-2 (b): Micheal Pawlak, Director of Unemployment Payment Support Division

III-B-4. Maintain the level of 

Railroad Retirement Act 

(RRA) improper payments 

below the OMB threshold.

(Measure: Beginning FY14, 

below 1.5%)

N/A N/A N/A Not 

Available 1.00% 1.00% 1.00% 1.00%

III-B-5. Achieve a return of at 

least $3.60 for each dollar 

spent on program integrity 

activities.

(Measure recoverable and 

savings per dollar spent.)

$3.70: 

$1.00

$3.44: 

$1.00

$6.66: 

$1.00

Not 

Available

$3.70: 

$1.00

$3.60:

$1.00

$3.70:

$1.00

$4.00: 

$1.00

Strategic Objective: Ensure effectiveness, efficiency, and security of operations.

 Goal leader: Terryne F. Murphy, Chief Information Officer

III-C-1. Complete 

modernization of RRB 

processing systems in 

accordance with long-range 

planning goals.

(Measure: Meet target dates 

for the project. Yes/No)

Project 

complete

Project 

complete

Project 

complete

Project 

complete

Project 

complete

Project 

complete.

Project 

complete

Project 

complete
Railroad Retirement Board - Fiscal Year 2022 Initial Performance Plan

-58-

RRB FY 2022 Initial 

Performance Plan

2017 

Actual 2018 Actual 

2019 

Actual 

2020 

Actual

2021 

Estimate 

2022 OMB 

Guidance 

5% 

Reduction

2022 OMB 

Guidance 

2% Add 

Back

2022 

Agency 

Request

III-C-2. Deliver – Deliver on 

Budget. Percent of IT 

Projects costs within 10% of 

budgeted cost.

100% 85% 100% 100% 85% 85% 85% 85%

III-C-3. 

Deliver –

Meet 

Customer 

Expectations

. 

WWW.RRB

.GOV

Internet 

Services 

(Mainline 

and 

employer 

Reporting 

System) 

Continuous 

availability 

experienced 

by end 

users.

a) Continuous 

availability 

target

99.2% 98.92% 98.99% 99.31% 99.00% 99.00% 99.00% 99.00%

b) Hours of 

outage 

allowed per 

month

6.52 

hours 7.77 hours 7.38 

hours

4.83 

hours 7 hours 7 hours 7 hours 7 hours

III-C-4. Innovate – Design 

for Modularity. Strategy for 

Continuity of Operations 

Improvements.

No

Completed 

applying 

HTTPS-only 

standard to 

www.rrb.gov

Cloud

based

enterprise 

test lab: 

No.

Cloud 

based 

enterprise 

test lab: 

No. .

Cloud 

based 

enterprise 

test lab : 

Yes.

Microsoft 

Azure Cloud 

Implementation 

Yes.

Microsoft 

Azure Cloud 

Implementation 

Yes.

Microsoft

Azure Cloud 

Implementation.

Yes.

III-C-5. Innovate – Adopt 

New Technologies.

Percentage of investments 

that evaluated cloud 

alternatives.

50% 99.93% 100% 100% 100% 100% 100% 100%

III-C-6. Protect – Email Data 

Loss Prevention. Percentage 

of externally bound emails 

and their attachments 

automatically encrypted that 

contain personally 

identifiable or credit card 

information.

99.82% 99.93% 100% 100% 99% 99% 99% 99%
Railroad Retirement Board - Fiscal Year 2022 Initial Performance Plan

-59-

RRB FY 2022 

Initial 

Performance 

Plan

2017 

Actual

2018 

Actual 

2019 

Actual 

2020 

Actual

2021 

Estimate 

2022 OMB 

Guidance 

5% 

Reduction

2022 OMB 

Guidance 

2% Add 

Back

2022 Agency 

Request

III-C-7. Protect 

– Percentage of 

agency

employees 

required to use a 

Personal Identity 

Verification 

(PIV) card to 

authenticate. 

74% 77% 73%

Unprivileged 

Network 

Users > 66% 

Privileged 

Network 

Users > 63%

Unprivileged 

Network 

Users > 85% 

Privileged 

Network 

Users 100%

Unprivileged 

Network 

Users > 85% 

Privileged 

Network 

Users 100%

Unprivileged 

Network 

Users > 85% 

Privileged 

Network 

Users 100%

Unprivileged 

Network Users 

> 85% 

Privileged 

Network Users 

100%

Strategic objective: Effectively carry out responsibilities with respect to the National Railroad Retirement 

Investment Trust.

 Goal leader: Ana M. Kocur, General Counsel

III-D-1. Timely 

review 

information 

reported by the 

National 

Railroad 

Retirement 

Investment Trust 

to carry out 

RRB’s oversight 

responsibility 

under section 

15(j) (5) (F) of 

the Railroad 

Retirement Act. 

Reports are to be 

reviewed within 

30 days of 

receipt.

(Measure: 

Yes/No)

Yes Yes Yes Yes Yes Yes Yes Yes
Railroad Retirement Board - Fiscal Year 2022 Initial Performance Plan

-60-

Footnotes:

1/ Actual results represents status as of March 31, 2020, unless otherwise noted.

2/ Planned amounts reflect the fiscal year 2021 performance targets shown in the RRB’s 

Congressional Justification of Budget Estimates, released February 10, 2020.

3/ Amount includes $113,500,000 for Limitation on Administration account and 

$10,000,000 for Information Technology Modernization.

4/ Amount includes $116,500,000 for Limitation on Administration account and 

$10,000,000 for Information Technology Modernization.

5/ The RRB continues to evaluate the impact of process changes on 

performance. Recent progress has been made in reducing workload balances;

however, a revised metric has not been established. 

6/ The actual number of services available for goal II-B-1 is currently 19. Previously,

this was incorrectly reported as 20 services available for FY 2018 and FY 2019 actual 

performance. The Retirement Application form AA-1 pilot program went into 

production in late FY 2018; however, full implementation of this new service is 

presently on-hold.

7/ The payment accuracy rate is the percentage of dollars paid correctly as a result of 

adjudication actions performed.

8/ OMB granted reporting relief for the RRA improper payment program in July 

2018. Therefore, goals and reporting of RRA improper payment analysis results are 

not applicable for FY 2017, FY 2018 and FY 2019 data. A Risk Assessment will be 

conducted in FY 2020 (FY 2019 data) and reporting for this program will likely 

resume in FY 2021 (FY 2020 data) assuming the Risk Assessment for the RRA 

program is determined to be susceptible to significant improper payments.
RAILROAD RETIREMENT BOARD

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FY 2022 BUDGET REQUEST: INFORMATION TECHNOLOGY (IT) 

A Railroad Retirement Board Transformation Roadmap

Phase Specific IT Initiatives

Planned 

Spending

Public Laws 

115-141, 

115-245, & 

116-94

FY 2021

Request 

FY 2022 

Request

FY 2023 

Budget

Total 

Estimated 

Project 

Costs

Stabilize 

• Establish a Cloud Presence

• Infrastructure Modernization

• Improve Security Posture

• Preparation for Legacy Application Rationalization

$17,326,207 $0 $0 $0 $17,326,207

Modernize 

• Mainframe Modernization

• Collaboration Tools 

• Business Rules Implementation

• Data Model Implementation

• Adjudication Application / Customer Views

• Citizen-Centric Services / Online Forms and Portals

• Paperless Processing and Secure Document Management

• Payment Application

$12,673,793 $13,850,000 $13,350,000 $7,225,000 $47,098,793

Perform

Post Implementation Monitoring as Applications and Systems 

Modernize $0 $0 $500,000 $250,000 $750,000

TOTAL – IT Modernization Funds $30,000,000 $13,850,000 $13,850,000 $7,475,000 $65,175,000
RAILROAD RETIREMENT BOARD

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FY 2022 Top Priorities – IT Modernization – Modernize Phase

Today customers expect IT organizations to be nimble and agile in providing solutions. They 

also expect the solutions developed provide a similar experience they are used to getting in the 

commercial world. Our current environment is ill equipped to meet these expectations. The 

reengineering and modernizing effort will put us in a better position to meet these goals.

Priority 1 – Mainframe Modernization

The RRB continues its effort to establish its cloud presence. The Agency originally had plans to 

complete the Re-platform of its mainframe into the Microsoft Azure Cloud OpenFrame 

Environment in FY 2020. Due to the realization of schedule and quality risks, the RRB issued a 

stop work order on the contract supporting this effort. The RRB then initiated an in-depth 

analysis of the current project deliverables as well as other potential alternatives that would 

mitigate the schedule and quality risks the RRB has incurred during the current contract over the 

several months. The RRB will finish the analysis in FY 2020, begin the migration in FY2021, 

and then complete in FY 2022, while continuing its progress in other areas of the modernization 

strategy. 

Priority 2 – Collaboration Tools

The RRB will implement collaboration tools such as Microsoft’s M365 to address the agency’s 

need to shift from legacy desktop computer functions to Software as a Service (SaaS) solutions. 

Microsoft’s M365 is a comprehensive productivity and collaboration solution that offers a suite 

of tools to support the agency workforce.

Priority 3 – Business Rules Implementation

The RRB will implement a business rule solution to further support automation. A business rule 

is a condition that must be satisfied when a business activity is being performed. A rule can 

enforce a business policy, make a decision, or infer new data from existing data. A business 

rules management system provides process execution engines that support work-routing 

decisions to be expressed as simple rules. Once those rules go beyond simple Boolean logic, 

externalizing these rules simplifies processes. 

Priority 4 – Data Model Implementation

The RRB will implement the design and architecture blueprint of a unified data model with focus 

on streamlining business processes. This unified data model will form the foundation of RRB’s 

future modernization efforts.

Priority 5 – Adjudication Application/Customer Views

We can think of Benefit processing and Administration as a stream of phases. All our benefits 

begin with an Application, once completed it moves to the Adjudication Phase and if the 

Adjudication results in an award it moves to Calculation phase. Once Calculation is done, it 

results in Payment (Recurring, Lump Sum and One Payment Only). The various deductions
RAILROAD RETIREMENT BOARD

-63-

such as Medicare Premiums, Taxes etc. are calculated and deducted from the payments. If an 

adjudication results in Denial, then it branches off to the Appeal process with its own set of

phases: Reconsideration, Hearing & Appeal and Board Appeal. At a given time, a particular 

benefit could be in any one of these phases.

The focus of this priority is to deliver the initial application phase of the benefit process flow and 

implement a Customer Relationship Management system to provide a holistic 360 degree view 

of the Customer to be used by both Headquarters and Field Office Staff. Use of the Customer 

Relationship Management system will increase the RRB’s Customers’ access to self-service 

options while providing additional interaction channels such as a Virtual Agent Chatbot and 

Mobile Application. 

Priority 6 – Citizen-Centric Services/Online Forms and Portals

The RRB will continue to implement self-service digital solutions to our customers and end 

users. We will enable secure self-service access to personal account statements and 

individualized information about the status of claims and benefits, as well as allowing access to 

industry standard features such as the online benefit estimates. These enhancements will assist 

railroad workers and their families in the completion and tracking of online applications as well 

as claims, payments, and other documentation. 

Priority 7 – Paperless Processing and Secure Document Management

The RRB proposes to establish an electronic imaging and records system, which will eliminate a 

significant portion of its paper-based processing. Through the identification and prioritization of 

potential enhancements to the current system including electronic export of e-mails, third party 

documents and faxes, as well as streamlining the process of scanning a folder to imaging, or 

importing electronic documents received from outside sources to RRB’s system.

Priority 8 – Payment Application

We will reduce the number of our current payment systems, which are currently comprised of 

several separate front-end systems and back-end databases to a payment system that incorporates 

logic to cover a variety of payment scenarios and will access a streamlined data layer.

An integrated payment authorization system of Unemployment/Sickness benefits or Disability, 

Retirement, or Survivor Annuities will be developed. Which, in turn, will ease identifying and 

collecting debts/overpayments during this release using existing financial systems. This 

initiative would also include activities related to Medicare withholdings/premiums and 

interactions with Center for Medicare and Medicaid Services. 

The benefit is that all financial transactions that the RRB is responsible for will be integrated 

with modern technology with enhanced reporting, automated correspondence, and more accurate 

calculations of overpayment balances.
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RAILROAD RETIREMENT BOARD

Proposed Legislative Program for Fiscal Year 2022

-65-

1. Amend the Railroad Retirement Act to allow the Railroad Retirement Board to 

utilize various hiring authorities available to other Federal agencies.

Section 7(b)(9) of the Railroad Retirement Act contains language requiring that all 

employees of the Railroad Retirement Board, except for one assistant for each Board 

Member, must be hired under the competitive civil service.

Elimination of this requirement would enable the Railroad Retirement Board to use 

various hiring authorities offered by the Office of Personnel Management.

2. Amend the Railroad Retirement Act to allow the Railroad Retirement Board to 

utilize student and recent graduate hiring authorities available to other Federal 

agencies.

The Railroad Retirement Board (RRB) is not permitted to use the excepted service hiring

authorities established by the Office of Personnel Management (OPM) for student and 

recent graduate hiring due to language in the Railroad Retirement Act's establishing 

legislation. Such language was included in our FY 2020 Appropriations Bill and we 

request that the language proposed below be included in our FY 2022 Appropriations 

Bill, in order that the RRB may continue to use current OPM student and recent graduate 

hiring authorities to support succession planning efforts.

Provided, that notwithstanding section 7(b)(9) of the Railroad Retirement Act, 

this limitation may be used to hire students attending qualifying educational 

institutions or individuals who have recently completed qualifying educational 

programs using current excepted hiring authorities established by the Office of 

Personnel Management.

3. Amend the Railroad Retirement Act and the Railroad Unemployment Insurance 

Act to include a felony charge for individuals committing fraud against the Agency. 

Section 13 of the Railroad Retirement Act and Section 9 of the Railroad Unemployment 

Insurance Act contain misdemeanor charges for individuals committing fraud against the 

Railroad Retirement Board.

The Railroad Retirement Board proposes to amend the Railroad Retirement and Railroad 

Unemployment Insurance Acts to include a felony charge for individuals committing 

fraud against the Agency.

Under this proposal, both the Railroad Retirement Act and the Railroad Unemployment 

Insurance Act would be amended to include a felony charge similar to violations under 

42 U.S.C. § 408, 18 U.S.C. § 1001, or 18 U.S.C. § 287.
RAILROAD RETIREMENT BOARD

Proposed Legislative Program for Fiscal Year 2022

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4. Amend the Balanced Budget and Emergency Deficit Control Act of 1985 and the 

Statutory Pay-As-You-Go Act of 2010 to include the Railroad Unemployment 

Insurance Trust Fund in the list of accounts which are exempt from sequestration.

Unemployment and short-term sickness benefits for covered railroad workers payable 

under the Railroad Unemployment Insurance Act (RUIA) are currently subject to 

sequestration. However, these unemployment and sickness benefits are fully funded by 

railroad employer contributions in the same manner as state unemployment compensation 

systems under the Federal Unemployment Tax Act (26 U.S.C 3301 et seq.) and do not 

require appropriations from general revenues. The Balanced Budget and Emergency 

Deficit Control Act of 1985 (BBEDCA) as amended (P.L. 99-177) exempts from 

sequestration any amount paid as regular unemployment compensation by a state from its 

account in the Unemployment Trust Fund, any advance made to a state from the Federal 

Unemployment Trust Fund, and any payment made from the Federal Employees 

Compensation Account for unemployment benefits to former federal employees and 

former military service members. This leaves unemployment benefits payable to railroad 

workers as the only type of unemployment benefit subject to reduction as a result of 

sequestration under the BBEDCA or the Statutory Pay-As-You-Go Act of 2010 (P.L. 

111-139).

This proposal would amend the (BBEDCA) to exempt from sequestration unemployment 

benefits paid under the Railroad Unemployment Insurance Act (RUIA) [45 U.S.C. § 351 

et seq.]. Section 255(a) of the BBEDCA currently exempts Tier I railroad retirement 

benefits from sequester; section 255(g)(1)(A) exempts the Dual Benefits Payments 

Accounts and Federal Payments to the Railroad Retirement Accounts; and section 

255(g)(1)(B) exempts the National Railroad Retirement Investment Trust and the 

Railroad Industry Pension Fund. All other benefits administered by the Railroad 

Retirement board on behalf of covered railroad workers (disability, spouse and survivor) 

are exempt from sequestration by BBEDCA section 255. It is therefore appropriate to 

exempt the RUIA Trust Fund from reduction or sequestration under the BBEDCA or the 

Statutory Pay-As-You-Go Act of 2010.

Section 255 of the Balanced Budget and Emergency Deficit Control Act of 1985 is 

hereby amended in subsection (g)(1)(A), by inserting “Railroad Unemployment 

Insurance Trust Fund (60-8051-0-603.)” after the Radiation Exposure 

Compensation Trust Fund (15-8116-0-1-054).
RAILROAD RETIREMENT BOARD

Evidence and Evaluation

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In accordance with OMB Circular A-11, Section 51.9, the following discussion serves to 

document the agency’s progress thus far towards meeting requirements of the Foundations for 

Evidence-Based Policymaking Act of 2018 (“Evidence Act”) (Public Law 115-435), including 

development and use of a learning agenda (evidence-building plan), annual evaluation plan, and 

capacity assessment. Further, this discussion will reference evidence-building proposals 

accounted for in their budget request.

It is important to note that the Railroad Retirement Board is a non-CFO Act agency. In that 

regard, the RRB is only required to address, and discuss herein, certain elements as detailed in 

OMB Memorandum M-19-23, Phase 1 Implementation of the Foundations for Evidence-Based 

Policymaking Act of 2018: Learning Agendas, Personnel, and Planning Guidance. As such, 

certain sections of the “Evidence Template” are not required for RRB or other non-CFO Act 

agencies and therefore are not addressed herein. 

• The RRB established the role of a Chief Data Officer (CDO), who operates under the 

Chief Information Officer’s purview. The CDO participated in the designated official 

orientation and serves as a member of the Chief Data Officer Council.

• The RRB formed a Data Governance Body (DGB) with membership representing each 

RRB Executive Committee member. The DGB members provide coordination and act as 

the spokesperson for their respective bureau/office. 

• The RRB developed a DGB charter that establishes the body’s role of determining 

priorities for managing data as a strategic asset in service of the RRB's mission. 

The DGB conducted a data maturity assessment to identify the agency’s current state and set a 

baseline for future initiatives. 

• The assessment supports the agency’s continuous improvement by identifying areas that 

are most mature and areas to consider providing further attention and development. 

• The DGB utilized Gartner’s enterprise maturity model to perform the assessment, a fivestage maturity model spanning across seven building blocks of enterprise information 

management. 

• The assessment sets the current baseline of the "as is" state and provides direction for 

where to head next strategically when developing data governance and management 

processes to inform investment decisions and to prioritize subsequent actions.

The funding requests for the RRB’s IT Modernization Investment Initiatives program as a whole 

will support the emphasis of the Evidence Act as the agency transforms from the Stabilize Phase 

into the Modernize Phase detailed in the section titled “FY 2022 Budget Request: Information 

Technology (IT)”.
-68- 

Budget Authority Outlays

60-0111-0-1-601

 Dual Benefits Payments Account...................................................... 13,000 13,000

60-0113-0-1-601

 Federal Payments to the Railroad Retirement Accounts..................... 1,780,603 1,780,603

60-8010-0-7-601

 Social Security Equivalent Benefit Account....................................... 7,948,000 7,826,500

60-8011-0-7-601

 Railroad Retirement Account............................................................ 5,582,400 5,576,900

60-8118-0-7-601

 National Railroad Retirement Investment Trust.................................. 1,645,000 1,645,000

60-8237-0-7-601

 Limitation on Administration

 OMB Guidance 5% Reduction level....................................... 112,400 112,400

 Agency Baseline level + $13.85M IT 1/........................................ 130,350 130,350

 Agency Request level........................................................ 152,896 152,896

Summary Budget Authority Outlays

Federal funds 2/...................................................... 1,085,453 1,085,453

Trust funds 3/.......................................................... 15,193,400 15,066,400

Deductions for offsetting receipts:

Intrafund transactions (Advances) 4/............................................. (4,384,500) (4,384,500)

Intrafund transactions (NRRIT transfers) 4/.................................... (1,645,000) (1,645,000)

 Proprietary receipts from the public 5/.................................... (397,000) (397,000)

Interfund transactions 6/.......................................................... (1,780,603) (1,780,603)

TOTAL 8,071,750 7,944,750

1/

2/

3/ 

4/ 

5/ Estimate of interest and dividends on non-Federal securities earned by the NRRIT.

6/ 

Represents budget authority and outlays for the Federal Payments to the Railroad Retirement Accounts.

Represents budget authority and outlays for the Dual Benefits Payments Account and the Federal Payments to the Railroad Retirement 

Accounts.

Represents the estimated advances RRB plans to borrow from Treasury in anticipation of the annual financial interchange transfer from the Social 

Security Administration's Old Age and Survivors Insurance and Disability Insurance (OASDI) Funds of $4,384,500,000 and a transfer of 

$1,645,000,000 from the NRRIT to the Railroad Retirement Account.

RAILROAD RETIREMENT BOARD

Relationship of Programs to Account Structure

(in thousands of dollars)

2021 Estimates

2021 Estimates

Represents budget authority and outlays for the Social Security Equivalent Benefit Account, the Railroad Retirement Account, and the National 

Railroad Retirement Investment Trust (NRRIT). Excludes the Limitation on Administration.

Amount includes fiscal year 2019 enacted appropriation totaling $123.5 million (pursuant to P. L. 115-245) plus $2 million associated with the 

anticipated reduction in Vested Dual Benefits from FY 2020 to FY 2021. Actuarial estimates indicate a $1 million decrease in Vested Dual Benefits 

from $16 to $13 million, based upon OMB’s FY 2019 Mid-Session review, using economic assumptions revised June 2019.