[Federal Register Volume 64, Number 222 (Thursday, November 18, 1999)]
[Rules and Regulations]
[Pages 62976-62977]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-30074]


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RAILROAD RETIREMENT BOARD

20 CFR Part 220

RIN 3220-AB41


Determining Disability

AGENCY: Railroad Retirement Board.

ACTION: Interim final rule.

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SUMMARY: The Railroad Retirement Board (Board) amends its regulations 
to increase from $500 to $700 the average monthly earnings guidelines 
used to determine whether work done by an individual may be considered 
regular employment. This change coincides with an increase in the 
guidelines contained in the regulations of the Social Security 
Administration for determining substantial gainful activity that became 
effective July 1, 1999.

DATES: Effective Date: This rule is effective November 18, 1999.
    Applicability Date: This rule will be applied to all disability 
claims for which a final decision had not been rendered as of July 1, 
1999.
    Comment Date: Comments due on or before January 18, 2000.

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

FOR FURTHER INFORMATION CONTACT: Thomas W. Sadler, Senior Attorney, 
(312) 751-4513, TDD (312) 751-4701.

SUPPLEMENTARY INFORMATION: The Railroad Retirement Act provides for 
disability annuities for employees, widow(er)s, and children of 
deceased railroad employees who are unable to engage in any regular 
employment because of a permanent physical or mental impairment. 
Regular employment is defined by reference to the definition of 
substantial gainful activity under the Social Security Act. Sections 
220.141 and 220.142 of the Board's regulations reflect this definition 
and define ``substantial gainful activity'' (SGA) as work activity that 
involves doing significant physical or mental activities for pay or 
profit. Work activity is gainful if it is the kind of work usually done 
for pay or profit, whether or not a profit is realized. Section 220.143 
sets forth earnings levels at which the Board considers a disabled 
person to be engaged in SGA regardless of the severity of his or her 
impairment. The amount of average monthly earnings that ordinarily 
demonstrates SGA for people with an impairment has not been increased 
since January 1, 1990. Consequently, with respect to months after June 
1999 the Board raises from $500 to $700 the average monthly earnings 
guidelines used to determine whether work done by a person with a 
disability is substantial gainful activity. The Board has determined 
that an increase in the amount of earnings that constitutes SGA 
provides an updated indicator of when earnings demonstrate the ability 
to engage in SGA and is a significant improvement to the existing 
incentives to encourage individuals with disabilities to attempt to 
work. This increase also conforms to changes in the regulations of the 
Social Security Administration which became effective July 1, 1999 (64 
FR 18566, April 15, 1999; a correction appears at 64 FR 22903, April 
28, 1999).
    The Board is publishing this rule as an interim final rule in order 
to make it effective immediately. However, any person wishing to 
comment on this rule may do so within 60 days of this publication in 
the Federal Register.
    In order to comply with the President's June 1, 1998 memorandum 
directing the use of plain language for all proposed and final 
rulemaking, the regulatory paragraphs affected by the above rule 
changes have been rewritten into plain language. The rewrite is 
intended to have no substantive effect other than those substantive 
changes described in this preamble to these rules.
    The Board, with the concurrence of the Office of Management and 
Budget, has determined that this rule is not a significant regulatory 
action under Executive Order 12866. Therefore, no regulatory impact 
analysis is required. There are no information collections associated 
with this rule.

List of Subjects in 20 CFR Part 220

    Disability benefits, Railroad employees, Railroad retirement.

    For the reasons set out in the preamble, the Railroad Retirement 
Board amends Sec. 220.143 of title 20, chapter II, part 220 of the Code 
of the Federal Regulations as follows:

PART 220--DETERMINING DISABILITY

    1. The authority for part 220 continues to read as follows:

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

    2. In Sec. 220.143, paragraphs (b)(2), (3), and (4) are revised as 
follows:


Sec. 220.143  Evaluation guides for an employed claimant.

* * * * *
    (b) * * *
    (2) Earnings that will ordinarily show that the claimant has 
engaged in substantial gainful activity. The Board will consider that 
the earnings from the employed claimant's work activities show that the 
claimant has engaged in substantial gainful activity if--

------------------------------------------------------------------------
                                                                Monthly
                                                               earnings
                         For months                            averaged
                                                               more than
------------------------------------------------------------------------
In calendar years before 1976...............................        $200
In calendar year 1976.......................................         230
In calendar year 1977.......................................         240
In calendar year 1978.......................................         260
In calendar year 1979.......................................         280
In calendar years 1980-1989.................................         300
In January 1990-June 1999...................................         500
After June 1999.............................................         700
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[[Page 62977]]

    (3) Earnings that will ordinarily show that the claimant has not 
engaged in substantial gainful activity. The Board will generally 
consider that the earnings from the employed claimant's work will show 
that the claimant has not engaged in substantial gainful activity if--

------------------------------------------------------------------------
                                                                Monthly
                                                               earnings
                         For months                            averaged
                                                               less than
------------------------------------------------------------------------
In calendar years before 1976...............................        $130
In calendar year 1976.......................................         150
In calendar year 1977.......................................         160
In calendar year 1978.......................................         170
In calendar year 1979.......................................         180
In calendar years 1980-1989.................................         190
After December 1989.........................................         300
------------------------------------------------------------------------

    (4) If the claimant works in a sheltered workshop. If the claimant 
is working in a sheltered workshop or a comparable facility especially 
set up for severely impaired persons, the claimant's earnings and 
activities will ordinarily establish that the claimant has not done 
substantial gainful activity if--

------------------------------------------------------------------------
                                                                Average
                                                                monthly
                                                               earnings
                         For months                             are not
                                                                greater
                                                                 than
------------------------------------------------------------------------
In calendar years before 1976...............................        $200
In calendar year 1976.......................................         230
In calendar year 1977.......................................         240
In calendar 1978............................................         260
In calendar year 1979.......................................         280
In calendar years 1980-1989.................................         300
In January 1990-June 1999...................................         500
After June 1999.............................................         700
------------------------------------------------------------------------

* * * * *
    Dated: November 10, 1999.

    By authority of the Board.

    For the Board.

Beatrice Ezerski,
Secretary to the Board.
[FR Doc. 99-30074 Filed 11-17-99; 8:45 am]
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