The Coronavirus Aid, Relief, and Economic Security Act, or CARES Act authorized a “recovery payment” for unemployed railroad workers in the amount of $1,200 per 2-week registration period. After making necessary programming changes to its claims processing systems, the U.S. Railroad Retirement Board (RRB) started making the payments on the evening of May 28.
In the initial round of processing, the agency made retroactive payments of $1,200 per 2-week registration period to individuals who had previously filed claims beginning on or after April 1. Those individuals had previously received unemployment insurance (UI) benefits in the amount of $733.98 to most claimants. The RRB estimates that the total amount of retroactive payments will be about $32 million. While the regular UI amount of $733.98 is reduced from $780 due to sequestration, the additional $1,200 recovery payment is not subject to reduction. However, it is subject to income taxation and garnishment for tax and other legally established debt.
Once these payments are completed, the RRB plans to start paying the additional $1,200 for new benefit claims the following day. The additional amount is payable on claims for days of unemployment through the 2-week claim period beginning July 31, 2020.
The CARES Act includes an appropriation of $425 million to pay for this added recovery payment. If these funds are exhausted before August 13, the end of the last eligible registration period, the added payment will no longer apply.
The CARES Act also authorized payment of extended benefits to rail workers who received UI benefits between July 1, 2019, and June 30, 2020. The RRB started paying the extended UI benefits on May 11, once again beginning with retroactive payments to individuals who had previously exhausted their regular UI benefits, before moving on to new claims.
The final piece of the CARES Act for the RRB is the elimination of a 1-week waiting period to receive benefits funded by an additional $50 million appropriation to cover this provision. The agency continues to diligently work on the needed programming for this provision, and hopes to have it completed in the near future. Again, the agency will initially make retroactive payments to individuals who had previously submitted UI claims before quickly moving on to processing new claims without the waiting period.
The RRB identified any eligible employees who previously received UI benefits for days of unemployment after April 1, 2020, so that the payments could be issued without the employee submitting additional information. For initial claims in the coming months, employees are encouraged to file them online through myRRB on the agency website, RRB.gov.
The purpose of this notice is to bring to your attention two changes which have been made to that guidance.
The first change relates to the instructions on filing applications and claims — specifically, the instructions related to the filing for sickness benefits. It is not a significant change, but I still wanted to bring it to your attention. Ordinarily, an applicant for sickness benefits must submit an application form and must also submit Form SI-1b, Statement of Sickness. Because the Form SI-1b requires a doctor’s signature and it was recognized that it may be difficult to get a physician to sign a statement during these unique circumstances, the RRB issued guidance indicating that, in lieu of Form SI-1b, a written statement could be submitted for the first claim. Because of the Paperwork Reduction Act and the manner in which federal agencies may collect information, that statement should now be submitted through an RRB Form G-93, Statement of Claimant or Other Person. You can find that form here: RRB Form-G-93. See also Questions 5-7 of the FAQs. A side benefit is that we believe this will simplify the process for those unable to obtain a Form SI-1b, as it is a fillable form.
The second change relates to the Q&As themselves. We have received numerous inquiries regarding the one-time-only economic relief payment provided by the CARES Act. The RRB is not responsible for these payments. Therefore, we have added the following as Q&A No. 16:
Q: Is the RRB going to pay the one-time-only economic relief payment available to individuals with income of $99,000 or less and couples with income of $198,000 or less?
I want to assure you that, while the worksite environment has changed considerably for RRB employees, the longstanding tradition of commitment to assuring that railroad workers receive the benefits that they have earned remains as strong as ever. These are unprecedented times and I will do my best to keep you informed. As we make changes accordingly, the agency will keep updating the website as well as the FAQs. Meanwhile, if you have additional questions, please don’t hesitate to reach out.
Labor Member, Railroad Retirement Board
The purpose of this notice is to update you on how COVID-19 is impacting operations at the Railroad Retirement Board (RRB). Be assured, while it is not business as usual, the agency remains open for business. Listed below are some of the more notable changes. Last week, my office sent a press release to rail labor on some of these topics. Hopefully this message will include more detailed information for you and your members.
Field Service Operations:
Last week, my office sent a press release to rail labor advising that field offices are closed to the public. Whenever possible, agency personnel, including field personnel, are working from home. Unfortunately, we expect delays with processing incoming work because as you know, much of our work is not automated. We receive applications and claims for both unemployment and sickness by mail and by fax. Because of safety concerns surrounding COVID-19, staff is only going into the office or to the post office on Tuesdays and Thursdays.
Because of our concern regarding the delay in processing paper applications and claims, we are encouraging railroaders to set up myRRB.gov accounts on the RRB.gov website. I have attached information about all the services available through that account. Please feel free to share with your memberships. With that account, an employee can file for and submit claims for unemployment. A railroader can also submit sickness claims, though not the initial application. Usually, an initial sickness application is either mailed or faxed in from the employee’s doctor’s office to the agency at (312) 751-7185. If an employee is unable to do that or if delays persist, please contact my office at (312) 751-4905 and my staff will assist you in any way they can.
We have received questions regarding the continuation of retirement and disability benefits. Fortunately, that is overall an automated process and we do not expect any delays in paying those already established benefits. In addition, our actuary has assured us that the rail trust funds are well-positioned to pay all retirement, survivor, unemployment and sickness benefits. We are actively addressing questions regarding benefits payable under the RUIA and special circumstances raised by COVID-19.
Related to legislative changes, there have been congressional proposals to remove sequestration from unemployment and sickness benefits; waive the statutory 7-day waiting period for unemployment and sickness benefits; increase the amount of unemployment benefits; and extend the duration of unemployment benefits. There have also been proposals to increase the RRB’s administrative budget in order to account for increased costs related to COVID-19. My staff, along with the agency’s Office of Legislative Affairs and other agency subject matter experts, have worked with congressional staffers as well as your unions to convey the information needed in order for the legislation to move forward.
These are trying times and the agency is doing its best to continue to pay the right people, the right benefits, at the right time. Things are changing quickly and I will update you in the future as the RRB makes adjustments. In the meantime, if you have any questions or problems, I and my staff are always available to assist.