[Federal Register Volume 63, Number 114 (Monday, June 15, 1998)]
[Rules and Regulations]
[Pages 32612-32614]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-15798]


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RAILROAD RETIREMENT BOARD

20 CFR Part 209

RIN 3220-AB21


Railroad Employers' Reports and Responsibilities

AGENCY: Railroad Retirement Board.

ACTION: Final rule.

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SUMMARY: The Railroad Retirement Board amends its regulations to expand 
the methods by which compensation and service reports may be filed with 
the Board and to require that a social security account number be 
furnished for each employee for whom creditable railroad service and 
compensation is reported to the Board.

EFFECTIVE DATE: July 15, 1998.

ADDRESSES: Secretary to the Board, Railroad Retirement Board, 844 North 
Rush Street, Chicago, Illinois 60611.

FOR FURTHER INFORMATION CONTACT: Thomas W. Sadler, Senior Attorney, 
Railroad Retirement Board, 844 North Rush Street, Chicago, Illinois 
60611, (312) 751-4513, TDD (312) 751-4701.

SUPPLEMENTARY INFORMATION: Employer reports are used to establish 
employee compensation and service records. These reports are based on 
payroll records. Due to changes in technology, employers now file their 
reports on magnetic tape and diskettes and transmit their reports by 
facsimile or computer-to-computer transmission (electronic filing). The 
punch card previously referred to in Secs. 209.6, 209.7, 209.11, and 
209.14 of the Board's regulations is an outdated medium of reporting. 
The quarterly report required by Sec. 209.8 has been eliminated by the 
Employer Data Maintenance System. The Board amends part 209 of its 
regulations in order to reflect these changes. See Sec. 209.4.
    The Board also amends Sec. 209.2 to add a provision that requires 
each employer to furnish a social security number (SSN) for each 
employee for whom creditable railroad service and compensation is 
reported to the Board. This amendment simply puts into regulation a 
current reporting requirement. Although not required, employers are 
encouraged to validate the social security numbers of their employees. 
In addition, the Board is revising the present Sec. 209.11 to provide 
that the Board shall mail annual certificates of service and 
compensation to employees performing service for covered employers. 
Under previous regulation these certificates could be provided through 
the employer.
    Finally, the Board has eliminated references to offices and titles 
that were eliminated as the result of a recent reorganization.
    The final rule removes Sec. 209.13, redesignated Sec. 209.14 in the 
proposed rule, since the separate report required by that section with 
regard to miscellaneous compensation under Sec. 211.11 of this chapter 
is no longer

[[Page 32613]]

required. In addition, the reference to Sec. 209.13 is removed from 
Sec. 209.15(d).
    The Board published this rule as a proposed rule on January 20, 
1998 (63 FR 2914), and invited comments by March 23, 1998. No comments 
were received.
    The Board, with the concurrence of the Office of Management and 
Budget, has determined that this is not a major rule under Executive 
Order 12866; therefore, no regulatory impact analysis is required. 
Information collections required by this rule have been approved by the 
Office of Management and Budget.

List of Subjects in 20 CFR Part 209

    Railroad employees, Railroad retirement, Railroads.

    For the reasons set out in the preamble, Title 20, Chapter II, Part 
209 of the Code of Federal Regulations is amended as follows:

PART 209--RAILROAD EMPLOYERS' REPORTS AND RESPONSIBILITIES

    1. The authority citation for Part 209 continues to read as 
follows:

    Authority: 45 U.S.C. 231f.

    1a. Sections 209.8 and 209.13 are removed.


Secs. 209.3 through 209.12  [Redesignated]

    2. Sections 209.3 through 209.12 are redesignated as follows:

------------------------------------------------------------------------
                                                                   New  
                          Old section                            section
------------------------------------------------------------------------
209.3.........................................................     209.5
209.4.........................................................     209.6
209.5.........................................................     209.7
209.6.........................................................     209.8
209.7.........................................................     209.9
209.9.........................................................    209.10
209.10........................................................    209.11
209.11........................................................    209.12
209.12........................................................    209.13
------------------------------------------------------------------------

    3. A new Sec. 209.3 is added as follows:


Sec. 209.3  Social security number required.

    Each employer shall furnish to the Board a social security number 
for each employee for whom any report is submitted to the Board. 
Employers are encouraged to validate any social security number 
provided under this section.

(Approved by the Office of Management and Budget under control 
number 3220-0008)
    4. A new Sec. 209.4 is added as follows:


Sec. 209.4  Method of filing.

    Any report or information required to be furnished under this part 
shall be prepared in accordance with instructions of the Board and 
shall be filed with the Board electronically, which includes the use of 
magnetic tape, computer diskette, electronic data interchange, or on 
such form as prescribed by the Board. If not filed electronically, 
reports shall be transmitted by facsimile or mailed directly to the 
Board. Any report which includes, or should include, information for 
250 or more employees must be filed electronically, as described in 
this section.
    5. Newly designated Sec. 209.6 is revised to read as follows:


Sec. 209.6  Employers' notice of death of employees.

    Each employer shall notify the Board immediately of the death of an 
employee who, prior to the employee's death, performed compensated 
service which has not been reported to the Board.

(Approved by the Office of Management and Budget under control 
number 3220-0005)
    6. Newly designated Sec. 209.7 is revised to read as follows:


Sec. 209.7  Employers' supplemental reports of service.

    Each employer shall furnish the Board a report of the current year 
service of each employee who ceases work for the purpose of retiring 
under the provisions of the Railroad Retirement Act.

(Approved by the Office of Management and Budget under control 
number 3220-0005)
    7. Newly designated Sec. 209.8 is revised to read as follows:


Sec. 209.8  Employers' annual reports of creditable service and 
compensation.

    Each year, on or before the last day of February, each employer is 
required to make an annual report of the creditable service and 
compensation (including a report that there is no compensation or 
service to report) of employees who performed compensated service in 
the preceding calendar year. The annual report shall include service 
and compensation previously furnished in supplemental reports and 
notices of death.

(Approved by the Office of Management and Budget under control 
number 3220-0008)

    8. Newly designated Sec. 209.9(c) is revised to read as follows:


Sec. 209.9  Employers' adjustment reports.

* * * * *
    (c) Employers submitting adjustment reports covering pay for time 
lost as an employee shall report this compensation as provided for in 
Sec. 211.3 of this chapter. Adjustment reports may be submitted to the 
Board each month.

(Approved by the Office of Management and Budget under control 
number 3220-0008)
    9-10. Newly designated Sec. 209.10 is amended by removing 
``Director of Research and Employment Accounts'' and adding in its 
place ``Board'', and by removing ``Sec. 209.6(a)'' and adding in its 
place ``Sec. 209.8(a)''.
    11. Newly designated Sec. 209.11 revised to read as follows:


Sec. 209.11  Employee representatives' reports.

    An individual claiming status as an employee representative shall 
describe his or her duties as an employee representative on the form 
prescribed by the Board. The Board shall determine whether the 
individual claiming to be an employee representative meets the 
requirements for such a status. If the individual is determined to be 
an employee representative, he or she is required to make an annual 
report of creditable compensation as provided for in Sec. 209.8 of this 
part. If an employee representative's status is terminated, the last 
report of service and compensation shall be marked Final Compensation 
Report.
(Approved by the Office of Management and Budget under control 
number 3220-0014)

    12. Newly designated Sec. 209.12 is revised to read as follows:


Sec. 209.12  Certificates of service months and compensation.

    (a) Each year the Board shall provide each employee who performed 
compensated service in the preceding calendar year a certificate of 
service months and compensation. This certificate is the employee's 
record of the service and compensation credited to his or her account 
at the Board. An employee who for any reason does not receive a 
certificate may obtain one from the nearest Board district office or 
may write the Board for one.
    (b) By April 1 of each year each employer shall provide the Board 
the current address of each employee for whom it had reported 
compensation. This requirement shall not apply in the case of an 
employee for whom the employer had previously provided an address.

(Approved by the Office of Management and Budget under control 
number 3220-0194)

    13-14. Paragraph (b) of newly designated Sec. 209.13 is revised to 
read as follows:

[[Page 32614]]

Sec. 209.13   Employers' gross earnings reports.

* * * * *
    (b) Employers shall submit reports annually for employees in the 
gross earnings sample. Such reports shall include the employee's gross 
annual earnings, which includes all compensation taxable under the 
hospital insurance portion of the tier I tax rate. Employers with 5,000 
or more employees shall provide a monthly or quarterly breakdown of the 
year's earnings. Employers with fewer than 5,000 employees may submit 
an annual amount only, although a monthly or quarterly breakdown is 
preferable. Gross earnings are to be counted for the same time period 
as used in determining the employer's annual report of creditable 
compensation. The reports are to be prepared in accordance with 
prescribed instructions and filed in accordance with Sec. 209.4 of this 
part.
(Approved by the Office of Management and Budget under control 
number 3220-0132)
    15. Section 209.14 is revised to read as follows:


Sec. 209.14  Report of separation allowances subject to tier II 
taxation.

    For any employee who is paid a separation payment, the employer 
must file a report of the amount of the payment. This report shall be 
submitted to the Board on or before the last day of the month following 
the end of the calendar quarter in which payment is made. The report is 
to be prepared in accordance with prescribed instructions and filed in 
accordance with Sec. 209.4 of this part.
(Approved by the Office of Management and Budget under control 
number 3220-0173)
    16. Section 209.15 is amended by removing the reference to 
``Sec. 209.7'' wherever it appears and adding in its place ``209.9'', 
by removing ``Director of Research and Employment Accounts'' wherever 
it appears and adding in its place ``Board'', and by revising paragraph 
(d) to read as follows:


Sec. 209.15  Compensation reportable when paid.

* * * * *
    (d) Miscellaneous pay. Miscellaneous pay, as defined in Sec. 211.11 
of this chapter, shall be reported in the year paid and reported on the 
annual report of compensation as provided for in Sec. 209.8 of this 
part.
* * * * *
    Dated: June 5, 1998.

    By authority of the Board.

    For the Board,
Beatrice Ezerski,
Secretary to the Board.
[FR Doc. 98-15798 Filed 6-12-98; 8:45 am]
BILLING CODE 7905-01-P