Rule2024-12052

Payment of Social Security Benefits by the Railroad Retirement Board

Primary source

Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.

Published
June 3, 2024
Effective
September 3, 2024

Issuing agencies

Railroad Retirement Board

Abstract

The Railroad Retirement Board amends its regulations to add additional statutory conditions under which the Railroad Retirement Board will pay benefits certified to it by the Commissioner of Social Security. These updates are necessary to reflect the amendments to section 205(i) of the Social Security Act enacted by section 103(i)(3) of the Railroad Retirement and Survivors' Improvement Act of 2001 and section 843 of the Bipartisan Budget Act of 2015.

Full Text

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<title>Federal Register, Volume 89 Issue 107 (Monday, June 3, 2024)</title>
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[Federal Register Volume 89, Number 107 (Monday, June 3, 2024)]
[Rules and Regulations]
[Pages 47462-47463]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-12052]



[[Page 47462]]

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RAILROAD RETIREMENT BOARD

20 CFR Part 235

RIN 3220-AB78


Payment of Social Security Benefits by the Railroad Retirement 
Board

AGENCY: Railroad Retirement Board.

ACTION: Direct final rule; request for comments.

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SUMMARY: The Railroad Retirement Board amends its regulations to add 
additional statutory conditions under which the Railroad Retirement 
Board will pay benefits certified to it by the Commissioner of Social 
Security. These updates are necessary to reflect the amendments to 
section 205(i) of the Social Security Act enacted by section 103(i)(3) 
of the Railroad Retirement and Survivors' Improvement Act of 2001 and 
section 843 of the Bipartisan Budget Act of 2015.

DATES: This rule becomes effective September 3, 2024 without further 
action, unless adverse comment is received by July 3, 2024. If adverse 
comment is received, the Railroad Retirement Board will publish a 
timely withdrawal of the rule in the Federal Register.

ADDRESSES: You may submit comments, identified by RIN 3320-AB78, 
through any of the following methods:
    1. Internet--Send inquiries via email to 
<a href="/cdn-cgi/l/email-protection#a3f0c6c0d1c6d7c2d1dad7ccd7cbc6e1ccc2d1c7e3d1d1c18dc4ccd5"><span class="__cf_email__" data-cfemail="a7f4c2c4d5c2d3c6d5ded3c8d3cfc2e5c8c6d5c3e7d5d5c589c0c8d1">[email&#160;protected]</span></a>.
    2. Fax--(312) 751-7102.
    3. Mail--Secretary to the Board, Railroad Retirement Board, 844 N 
Rush Street, Chicago, Illinois 60611-1275.
    Do not submit the same comment multiple times or by more than one 
method. Regardless of which method you choose, please indicate that 
your comments refer to RIN number 3320-AB78.
    Caution: You should be careful to include in your comments only 
information that you wish to make publicly available as comments are 
posted without change, with any personal information provided. The 
Board strongly urges you not to include in your comments any personal 
information, such as Social Security numbers or medical information.

FOR FURTHER INFORMATION CONTACT: Peter J. Orlowicz, Senior Counsel, 
Railroad Retirement Board, 844 North Rush Street, Chicago, IL 60611-
1275, (312) 751-4922.

SUPPLEMENTARY INFORMATION: Section 205(i) of the Social Security Act 
directs the Commissioner of Social Security, upon final decision of the 
Commissioner or upon final judgment of any court of competent 
jurisdiction that any person is entitled to payments under title II of 
the Social Security Act, to certify the name and address of the person 
entitled to payment, the amount of the payment, and the time at which 
payment should be made to the Managing Trustee of the Board of Trustees 
for the Federal Old-Age and Survivors Insurance Trust Fund and the 
Federal Disability Insurance Trust Fund. The Managing Trustee is then 
directed to make the payments as certified by the Commissioner. 42 
U.S.C. 405(i). However, for certain individuals defined in section 
205(i), the Commissioner is instead directed to certify the payments to 
the Railroad Retirement Board, which shall provide for such payments to 
those individuals on behalf of the Managing Trustee in accordance with 
the provisions of the Railroad Retirement Act of 1974.
    In the Railroad Retirement and Survivors' Improvement Act of 2001, 
Congress amended the Railroad Retirement Act to allow individuals with 
less than ten years of railroad service to qualify for annuities under 
the Act if they had at least five years of railroad service, all of 
which accrued after December 31, 1995. Public Law 107-90 (Dec. 21, 
2001). Section 103(i) of the Railroad Retirement and Survivors' 
Improvement Act of 2001 was a conforming amendment to section 205(i) of 
the Social Security Act, directing the Commissioner of Social Security 
to certify title II benefit payments to the Railroad Retirement Board 
for payment with respect to individuals who had five or more years of 
railroad service, all of which accrued after December 31, 1995. 
Accordingly, the Railroad Retirement Board is amending its regulations 
at 20 CFR 235.3 to reflect the Board's statutory obligation to pay 
title II benefits for railroad employees with at least 60 months of 
railroad service after December 31, 1995, the wife or husband of such 
an employee, a survivor of such an employee, and any other person 
entitled to title II benefits based on the social security wages of the 
railroad employee except survivors where the employee lacked a current 
connection with the railroad industry at the time of the employee's 
death.
    Congress amended section 205(i) of the Social Security Act again in 
section 843 of the Bipartisan Budget Act of 2015, Public Law 114-74 
(Nov. 2, 2015). Before these amendments, the Commissioner would certify 
(and the Board would pay) title II benefits to a divorced wife or 
husband of a railroad employee only if the divorced wife or husband 
claimed social security benefits based on the railroad employee's 
social security wages. Section 843 of the Bipartisan Budget Act of 2015 
amended section 205(i) to provide that all divorced spouses of railroad 
workers with at least ten years of railroad service (or five years of 
service after December 31, 1995) would have their social security 
benefits certified to the Board for payment. Accordingly, the Railroad 
Retirement Board is amending its regulations at 20 CFR 235.3 to reflect 
the Board's statutory obligation to pay title II benefits for divorced 
wives and husbands of railroad employees if the railroad employee has 
at least 120 months of railroad service (or 60 months of railroad 
service after December 31, 1995).
    Finally, the authority citation for part 235 does not currently 
reflect that the statutory authority for the Board to pay benefits 
certified by the Commissioner flows from section 205(i) of the Social 
Security Act. Accordingly, the Railroad Retirement Board is amending 
the authority for part 235 to include 42 U.S.C. 405(i).
    This direct final rule is being issued without prior public notice 
or opportunity for public comments. The Board does not anticipate this 
rule will generate adverse comment, and the effective date of the rule 
is conditional on the non-receipt of adverse comments. If the Board 
receives significant adverse comments prior to the effective date of 
this direct final rule, the Board will publish a timely notice in the 
Federal Register to withdraw the rule.

Regulatory Analysis

Executive Order 12866, as Supplemented by Executive Order 13563

    The Board, with the Office of Management and Budget, has determined 
that this is not a significant regulatory action under Executive Order 
12866, as supplemented by Executive Order 13563. Therefore, no 
regulatory impact analysis is required.

Regulatory Flexibility Act

    The Board certifies that this direct final rule would not have a 
significant economic impact on a substantial number of small entities 
because it affects only a change in the disbursing agent for already-
existing benefits.

Paperwork Reduction Act

    This direct final rule imposes no reporting or recordkeeping 
requirements subject to Office of Management and Budget clearance.

List of Subjects in 20 CFR Part 235

    Railroad retirement, Social security.


[[Page 47463]]


    For the reasons set out in the preamble, the Railroad Retirement 
Board amends 20 CFR part 235 as follows:

PART 235--PAYMENT OF SOCIAL SECURITY BENEFITS BY THE RAILROAD 
RETIREMENT BOARD

0
1. The authority citation for part 235 is revised to read as follows:

    Authority:  42 U.S.C. 405(i), 45 U.S.C. 231f.


0
2. Revise and republish Sec.  235.3 to read as follows:


Sec.  235.3  Who is paid social security benefits by the Board.

    The following individuals, if entitled to social security benefits, 
are paid such benefits by the Board:
    (a) A railroad employee who has been credited with at least 120 
months of railroad service (or at least 60 months of railroad service, 
all of which accrue after December 31, 1995);
    (b) A wife or husband of a railroad employee who has been credited 
with at least 120 months of railroad service (or at least 60 months of 
railroad service, all of which accrue after December 31, 1995);
    (c) A divorced wife or husband of a railroad employee who has been 
credited with at least 120 months of railroad service (or at least 60 
months of railroad service, all of which accrue after December 31, 
1995);
    (d) A survivor of a railroad employee, including a surviving 
divorced spouse, remarried widow(er), surviving divorced mother or 
father, who is entitled, or upon application would be entitled, to an 
annuity under the Railroad Retirement Act; and
    (e) Any other person entitled to benefits under title II of the 
Social Security Act based on the social security wages of a railroad 
employee who has been credited with at least 120 months of railroad 
service (or at least 60 months of railroad service, all of which accrue 
after December 31, 1995), except survivors of a railroad employee when 
the Social Security Administration has jurisdiction for survivor 
benefits. See part 221 of this chapter.

    Dated: May 28, 2024.

    By Authority of the Board.
Stephanie Hillyard,
Secretary to the Board.
[FR Doc. 2024-12052 Filed 5-31-24; 8:45 am]
BILLING CODE P


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Indexed from Federal Register on June 3, 2024.

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