Prepared by Public Affairs 312-751-4777
The American Recovery and Reinvestment Act of 2009, recently
signed into law by President Obama, contains a number of provisions that affect
railroad retirement annuitants and railroad workers. This Act provides for a
one-time $250 payment to most individuals who receive railroad retirement
benefits, and also provides up to 13 additional weeks of unemployment benefits
for certain railroad workers who exhaust their rights to the benefits normally
provided under the Railroad Unemployment Insurance Act.
One-time payment to beneficiaries
A
one-time economic recovery payment of $250 will be paid to adults (including
disabled adult children) who receive railroad retirement, social security,
Supplemental Security Income or veterans disability benefits.
The Railroad Retirement Board (RRB), the Social Security Administration and the
Department of Veterans Affairs will be responsible for certifying and paying
individuals under their respective programs. They will also coordinate
activities to ensure that only one $250 payment is issued to each eligible
beneficiary.
Only individuals who were eligible for benefits under one of the four programs
in November 2008, December 2008, or January 2009 will receive the special
payment. All railroad retirement beneficiaries residing in the United States and
U.S. territories, except children and Medicare-only beneficiaries, will receive
this one-time payment. Payees receiving RRB payments based on a legal partition
and/or garnishment are not eligible to receive this payment.
The RRB expects its payments to be issued in May 2009. The special payment will
be a separate payment, which will not be included in the beneficiary’s regular
monthly benefit payment. It will be delivered in the same way a beneficiary
currently receives his or her benefit payment (check or direct deposit).
Extended unemployment benefits
The
Act also provides an appropriation of $20 million to be used for payment of
additional extended unemployment benefits under the Railroad Unemployment
Insurance Act. The new law provides the temporary extended benefits to employees
receiving normal unemployment benefits for days between July 1, 2008, and June
30, 2009.
Railroad workers who previously were not eligible for extended unemployment
benefits because they did not have 10 years of service may be eligible for
benefits of up to 65 days within an extended period consisting of 7 consecutive
2-week registration periods.
Railroad workers who previously were eligible for extended unemployment benefits
of up to 65 days may now be eligible for benefits of up to 130 days within an
extended period consisting of 13 consecutive 2-week registration periods.
The latest date that an extended benefit period under these special provisions
may begin is December 31, 2009, with payments stopping when the $20 million has
been expended.
The RRB will notify eligible individuals of their new rights to extended
benefits and provide additional information about those benefits as soon as
possible.
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