2011 Railroad Experience Rating Proclamations, Monthly Compensation Base and Other Determinations, 69146-69147 [2010-28345]
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69146
Federal Register / Vol. 75, No. 217 / Wednesday, November 10, 2010 / Notices
emcdonald on DSK2BSOYB1PROD with NOTICES
II. Background
The Notice states that Governors’
Decision No. 09–15 established prices
and classifications not of general
applicability for Inbound Air Parcel Post
at UPU Rates on November 16, 2009. Id.
at 1. The rates authorized by Governors’
Decision No. 09–15 when there is no
contractual relationship with the
tendering postal operator are the highest
possible inward land rates that the
United States is eligible for under the
parcel post regulations. Id. at 2. Air
parcels comprise inbound parcels
eligible to receive transportation by air
rather than surface. Id., Attachment 2, at
1.
In the Postal Service’s Request in
Docket Nos. MC2010–11 and CP2010–
11, it explains the process for
determining Inbound Air Parcel Post at
UPU Rates. In its Request, the Postal
Service indicates that the United States
receives both air and surface parcels
from foreign postal administrations
which compensate the Postal Service for
delivery of these parcels in the United
States. Request at 2. It maintains that it
has negotiated separate agreements for
parcel rates with certain foreign posts,
but most compensate it at the United
States default rates for inbound parcel
delivery. Id. Payments between postal
administrations for handling and
delivering parcel post are referred to as
inward land rates. The Postal Service
notes that inward land rates are set
according to formulas in the UPU Parcel
Post Regulations which constitute
international law. Id. More specifically,
the UPU Postal Operations Council
establishes inward land rates.3 Such
rates are based on a percentage of each
member’s inward land rate in 2004. Id.
at 3. UPU members may qualify for
percentage ‘‘bonuses’’ to their base rate
based upon their provision of certain
value-added services.4 Id. The Postal
Service states it is responsible for
gathering information that the UPU
Postal Operations Council uses to
calculate the rates, including
completion of a questionnaire on service
bonus eligibility and submission of
annual inflation information from the
Consumer Price Index for All Urban
Consumers. Id. Based on this and
similar information from the member
posts, the UPU International Bureau
publishes an annual notice establishing
3 The UPU Postal Operations Council is a
designated body of the UPU which is responsible
for rate setting.
4 The Postal Service states that services such as
‘‘track and trace, home delivery, published delivery
standards, and use of a common inquiry system’’
qualify UPU members for bonuses. Id. Members
may also seek an inflation-related adjustment to the
base rate which is capped at 5 percent per year.
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18:25 Nov 09, 2010
Jkt 223001
the postal administration’s parcel rates
for the following year. Id.
The Postal Service states that because
of the unique mechanism for setting
inward land rates, it chose to establish
rates for inbound air parcels by
reference to the Universal Postal
Convention. Id.
In Order No. 362, the Commission
approved the addition of Inbound Air
Parcel Post at UPU Rates to the
competitive product list.5
The Postal Service states in its Notice
that the rates in its filing comport with
the Governors’ Decision are ‘‘the highest
possible inward land rates for which the
Postal Service was eligible based on
inflation increases and other factors.’’
Notice at 2–3.
The Postal Service asserts that its
filing demonstrates compliance with 39
U.S.C. 3633. Id. at 3.
III. Notice of Filing
The Commission establishes Docket
No. CP2011–27 for consideration of
matters related to the issues identified
in the Postal Service’s Notice.
Interested persons may submit
comments on whether the Postal
Service’s filing is consistent with the
policies of 39 U.S.C. 3632 or 3633, and
39 CFR part 3015. Comments are due no
later than November 18, 2010. The
public portions of these filings can be
accessed via the Commission’s Web site
(https://www.prc.gov).
The Commission appoints Paul L.
Harrington as Public Representative in
this proceeding.
IV. Ordering Paragraphs
It is ordered:
1. The Commission establishes Docket
No. CP2011–27 for consideration of the
issues raised in this docket.
2. Comments by interested persons in
this proceeding are due no later than
November 18, 2010.
3. Pursuant to 39 U.S.C. 505, Paul L.
Harrington is appointed to serve as
officer of the Commission (Public
Representative) to represent the interest
of the general public in this proceeding.
4. The Secretary shall arrange for
publication of this order in the Federal
Register.
By the Commission.
Shoshana M. Grove,
Secretary.
[FR Doc. 2010–28371 Filed 11–9–10; 8:45 am]
BILLING CODE 7710–FW–P
5 Docket Nos. MC2010–11 and CP2010–11, Order
Adding Inbound Air Parcel Post at UPU Rates to
Competitive Product List, December 15, 2009
(Order No. 362).
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RAILROAD RETIREMENT BOARD
2011 Railroad Experience Rating
Proclamations, Monthly Compensation
Base and Other Determinations
Railroad Retirement Board.
Notice.
AGENCY:
ACTION:
Pursuant to section 8(c)(2)
and section 12(r)(3) of the Railroad
Unemployment Insurance Act (Act) (45
U.S.C. 358(c)(2) and 45 U.S.C. 362(r)(3),
respectively), the Board gives notice of
the following:
1. The balance to the credit of the
Railroad Unemployment Insurance
(RUI) Account, as of June 30, 2010, is
$109,226.81;
2. The September 30, 2010, balance of
any new loans to the RUI Account,
including accrued interest, is
$47,377,543.22;
3. The system compensation base is
$3,509,356,938.87 as of June 30, 2010;
4. The cumulative system unallocated
charge balance is ($328,338,446.22) as of
June 30, 2010;
5. The pooled credit ratio for calendar
year 2011 is zero;
6. The pooled charged ratio for
calendar year 2011 is zero;
7. The surcharge rate for calendar year
2011 is 2.5 percent;
8. The monthly compensation base
under section 1(i) of the Act is $1,330
for months in calendar year 2011;
9. The amount described in sections
1(k) and 3 of the Act as ‘‘2.5 times the
monthly compensation base’’ is $3,325
for base year (calendar year) 2011;
10. The amount described in section
4(a–2)(i)(A) of the Act as ‘‘2.5 times the
monthly compensation base’’ is $3,325
with respect to disqualifications ending
in calendar year 2011;
11. The amount described in section
2(c) of the Act as ‘‘an amount that bears
the same ratio to $775 as the monthly
compensation base for that year as
computed under section 1(i) of this Act
bears to $600’’ is $1,718 for months in
calendar year 2011;
12. The maximum daily benefit rate
under section 2(a)(3) of the Act is $66
with respect to days of unemployment
and days of sickness in registration
periods beginning after June 30, 2011.
DATES: The balance in notice (1) and the
determinations made in notices (3)
through (7) are based on data as of June
30, 2010. The balance in notice (2) is
based on data as of September 30, 2010.
The determinations made in notices (5)
through (7) apply to the calculation,
under section 8(a)(1)(C) of the Act, of
employer contribution rates for 2011.
The determinations made in notices (8)
through (11) are effective January 1,
SUMMARY:
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Federal Register / Vol. 75, No. 217 / Wednesday, November 10, 2010 / Notices
emcdonald on DSK2BSOYB1PROD with NOTICES
2011. The determination made in notice
(12) is effective for registration periods
beginning after June 30, 2011.
ADDRESSES: Secretary to the Board,
Railroad Retirement Board, 844 Rush
Street, Chicago, Illinois 60611–2092.
FOR FURTHER INFORMATION CONTACT:
Marla L. Huddleston, Bureau of the
Actuary, Railroad Retirement Board, 844
Rush Street, Chicago, Illinois 60611–
2092, telephone (312) 751–4779.
SUPPLEMENTARY INFORMATION: The RRB
is required by section 8(c)(1) of the
Railroad Unemployment Insurance Act
(Act) (45 U.S.C. 358(c)(1)) as amended
by Public Law 100–647, to proclaim by
October 15 of each year certain systemwide factors used in calculating
experience-based employer contribution
rates for the following year. The RRB is
further required by section 8(c)(2) of the
Act (45 U.S.C. 358(c)(2)) to publish the
amounts so determined and proclaimed.
The RRB is required by section 12(r)(3)
of the Act (45 U.S.C. 362(r)(3)) to
publish by December 11, 2010, the
computation of the calendar year 2011
monthly compensation base (section 1(i)
of the Act) and amounts described in
sections 1(k), 2(c), 3 and 4(a–2)(i)(A) of
the Act which are related to changes in
the monthly compensation base. Also,
the RRB is required to publish, by June
11, 2011, the maximum daily benefit
rate under section 2(a)(3) of the Act for
days of unemployment and days of
sickness in registration periods
beginning after June 30, 2011.
Surcharge Rate
A surcharge is added in the
calculation of each employer’s
contribution rate, subject to the
applicable maximum rate, for a calendar
year whenever the balance to the credit
of the RUI Account on the preceding
June 30 is less than the greater of $100
million or the amount that bears the
same ratio to $100 million as the system
compensation base for that June 30
bears to the system compensation base
as of June 30, 1991. If the RUI Account
balance is less than $100 million (as
indexed), but at least $50 million (as
indexed), the surcharge will be 1.5
percent. If the RUI Account balance is
less than $50 million (as indexed), but
greater than zero, the surcharge will be
2.5 percent. The maximum surcharge of
3.5 percent applies if the RUI Account
balance is less than zero.
The system compensation base as of
June 30, 1991 was $2,763,287,237.04.
The system compensation base for June
30, 2010 was $3,509,356,938.87. The
ratio of $3,509,356,938.87 to
$2,763,287,237.04 is 1.26999354.
Multiplying 1.26999354 by $100 million
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18:25 Nov 09, 2010
Jkt 223001
yields $126,999,354. Multiplying $50
million by 1.26999354 produces
$63,499,677. The Account balance on
June 30, 2010, was $109,226.81.
Accordingly, the surcharge rate for
calendar year 2011 is 2.5 percent.
Monthly Compensation Base
For years after 1988, section 1(i) of the
Act contains a formula for determining
the monthly compensation base. Under
the prescribed formula, the monthly
compensation base increases by
approximately two-thirds of the
cumulative growth in average national
wages since 1984. The monthly
compensation base for months in
calendar year 2011 shall be equal to the
greater of (a) $600 or (b) $600 [1 +
{(A¥37,800)/56,700}], where A equals
the amount of the applicable base with
respect to tier 1 taxes for 2011 under
section 3231(e)(2) of the Internal
Revenue Code of 1986. Section 1(i)
further provides that if the amount so
determined is not a multiple of $5, it
shall be rounded to the nearest multiple
of $5.
The calendar year 2011 tier 1 tax base
is $106,800. Subtracting $37,800 from
$106,800 produces $69,000. Dividing
$69,000 by $56,700 yields a ratio of
1.21693122. Adding one gives
2.21693122. Multiplying $600 by the
amount 2.21693122 produces the
amount of $1,330.16, which must then
be rounded to $1,330. Accordingly, the
monthly compensation base is
determined to be $1,330 for months in
calendar year 2011.
Amounts Related to Changes in
Monthly Compensation Base
For years after 1988, sections 1(k), 3,
4(a–2)(i)(A) and 2(c) of the Act contain
formulas for determining amounts
related to the monthly compensation
base.
Under section 1(k), remuneration
earned from employment covered under
the Act cannot be considered subsidiary
remuneration if the employee’s base
year compensation is less than 2.5 times
the monthly compensation base for
months in such base year. Under section
3, an employee shall be a ‘‘qualified
employee’’ if his/her base year
compensation is not less than 2.5 times
the monthly compensation base for
months in such base year. Under section
4(a–2)(i)(A), an employee who leaves
work voluntarily without good cause is
disqualified from receiving
unemployment benefits until he has
been paid compensation of not less than
2.5 times the monthly compensation
base for months in the calendar year in
which the disqualification ends.
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69147
Multiplying 2.5 by the calendar year
2011 monthly compensation base of
$1,330 produces $3,325. Accordingly,
the amount determined under sections
1(k), 3 and 4(a–2)(i)(A) is $3,325 for
calendar year 2011.
Under section 2(c), the maximum
amount of normal benefits paid for days
of unemployment within a benefit year
and the maximum amount of normal
benefits paid for days of sickness within
a benefit year shall not exceed an
employee’s compensation in the base
year. In determining an employee’s base
year compensation, any money
remuneration in a month not in excess
of an amount that bears the same ratio
to $775 as the monthly compensation
base for that year bears to $600 shall be
taken into account.
The calendar year 2011 monthly
compensation base is $1,330. The ratio
of $1,330 to $600 is 2.21666667.
Multiplying 2.21666667 by $775
produces $1,718. Accordingly, the
amount determined under section 2(c) is
$1,718 for months in calendar year
2011.
Maximum Daily Benefit Rate
Section 2(a)(3) contains a formula for
determining the maximum daily benefit
rate for registration periods beginning
after June 30, 1989, and after each June
30 thereafter. Legislation enacted on
October 9, 1996, revised the formula for
indexing maximum daily benefit rates.
Under the prescribed formula, the
maximum daily benefit rate increases by
approximately two-thirds of the
cumulative growth in average national
wages since 1984. The maximum daily
benefit rate for registration periods
beginning after June 30, 2011, shall be
equal to 5 percent of the monthly
compensation base for the base year
immediately preceding the beginning of
the benefit year. Section 2(a)(3) further
provides that if the amount so computed
is not a multiple of $1, it shall be
rounded down to the nearest multiple of
$1.
The calendar year 2010 monthly
compensation base is $1,330.
Multiplying $1,330 by 0.05 yields
$66.50, which must then be rounded
down to $66. Accordingly, the
maximum daily benefit rate for days of
unemployment and days of sickness
beginning in registration periods after
June 30, 2011, is determined to be $66.
Dated: November 4, 2010.
By authority of the Board.
Beatrice Ezerski,
Secretary to the Board.
[FR Doc. 2010–28345 Filed 11–9–10; 8:45 am]
BILLING CODE 7905–01–P
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]]>Agencies
[Federal Register Volume 75, Number 217 (Wednesday, November 10, 2010)]
[Notices]
[Pages 69146-69147]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2010-28345]
=======================================================================
-----------------------------------------------------------------------
RAILROAD RETIREMENT BOARD
2011 Railroad Experience Rating Proclamations, Monthly
Compensation Base and Other Determinations
AGENCY: Railroad Retirement Board.
ACTION: Notice.
-----------------------------------------------------------------------
SUMMARY: Pursuant to section 8(c)(2) and section 12(r)(3) of the
Railroad Unemployment Insurance Act (Act) (45 U.S.C. 358(c)(2) and 45
U.S.C. 362(r)(3), respectively), the Board gives notice of the
following:
1. The balance to the credit of the Railroad Unemployment Insurance
(RUI) Account, as of June 30, 2010, is $109,226.81;
2. The September 30, 2010, balance of any new loans to the RUI
Account, including accrued interest, is $47,377,543.22;
3. The system compensation base is $3,509,356,938.87 as of June 30,
2010;
4. The cumulative system unallocated charge balance is
($328,338,446.22) as of June 30, 2010;
5. The pooled credit ratio for calendar year 2011 is zero;
6. The pooled charged ratio for calendar year 2011 is zero;
7. The surcharge rate for calendar year 2011 is 2.5 percent;
8. The monthly compensation base under section 1(i) of the Act is
$1,330 for months in calendar year 2011;
9. The amount described in sections 1(k) and 3 of the Act as ``2.5
times the monthly compensation base'' is $3,325 for base year (calendar
year) 2011;
10. The amount described in section 4(a-2)(i)(A) of the Act as
``2.5 times the monthly compensation base'' is $3,325 with respect to
disqualifications ending in calendar year 2011;
11. The amount described in section 2(c) of the Act as ``an amount
that bears the same ratio to $775 as the monthly compensation base for
that year as computed under section 1(i) of this Act bears to $600'' is
$1,718 for months in calendar year 2011;
12. The maximum daily benefit rate under section 2(a)(3) of the Act
is $66 with respect to days of unemployment and days of sickness in
registration periods beginning after June 30, 2011.
DATES: The balance in notice (1) and the determinations made in notices
(3) through (7) are based on data as of June 30, 2010. The balance in
notice (2) is based on data as of September 30, 2010. The
determinations made in notices (5) through (7) apply to the
calculation, under section 8(a)(1)(C) of the Act, of employer
contribution rates for 2011. The determinations made in notices (8)
through (11) are effective January 1,
[[Page 69147]]
2011. The determination made in notice (12) is effective for
registration periods beginning after June 30, 2011.
ADDRESSES: Secretary to the Board, Railroad Retirement Board, 844 Rush
Street, Chicago, Illinois 60611-2092.
FOR FURTHER INFORMATION CONTACT: Marla L. Huddleston, Bureau of the
Actuary, Railroad Retirement Board, 844 Rush Street, Chicago, Illinois
60611-2092, telephone (312) 751-4779.
SUPPLEMENTARY INFORMATION: The RRB is required by section 8(c)(1) of
the Railroad Unemployment Insurance Act (Act) (45 U.S.C. 358(c)(1)) as
amended by Public Law 100-647, to proclaim by October 15 of each year
certain system-wide factors used in calculating experience-based
employer contribution rates for the following year. The RRB is further
required by section 8(c)(2) of the Act (45 U.S.C. 358(c)(2)) to publish
the amounts so determined and proclaimed. The RRB is required by
section 12(r)(3) of the Act (45 U.S.C. 362(r)(3)) to publish by
December 11, 2010, the computation of the calendar year 2011 monthly
compensation base (section 1(i) of the Act) and amounts described in
sections 1(k), 2(c), 3 and 4(a-2)(i)(A) of the Act which are related to
changes in the monthly compensation base. Also, the RRB is required to
publish, by June 11, 2011, the maximum daily benefit rate under section
2(a)(3) of the Act for days of unemployment and days of sickness in
registration periods beginning after June 30, 2011.
Surcharge Rate
A surcharge is added in the calculation of each employer's
contribution rate, subject to the applicable maximum rate, for a
calendar year whenever the balance to the credit of the RUI Account on
the preceding June 30 is less than the greater of $100 million or the
amount that bears the same ratio to $100 million as the system
compensation base for that June 30 bears to the system compensation
base as of June 30, 1991. If the RUI Account balance is less than $100
million (as indexed), but at least $50 million (as indexed), the
surcharge will be 1.5 percent. If the RUI Account balance is less than
$50 million (as indexed), but greater than zero, the surcharge will be
2.5 percent. The maximum surcharge of 3.5 percent applies if the RUI
Account balance is less than zero.
The system compensation base as of June 30, 1991 was
$2,763,287,237.04. The system compensation base for June 30, 2010 was
$3,509,356,938.87. The ratio of $3,509,356,938.87 to $2,763,287,237.04
is 1.26999354. Multiplying 1.26999354 by $100 million yields
$126,999,354. Multiplying $50 million by 1.26999354 produces
$63,499,677. The Account balance on June 30, 2010, was $109,226.81.
Accordingly, the surcharge rate for calendar year 2011 is 2.5 percent.
Monthly Compensation Base
For years after 1988, section 1(i) of the Act contains a formula
for determining the monthly compensation base. Under the prescribed
formula, the monthly compensation base increases by approximately two-
thirds of the cumulative growth in average national wages since 1984.
The monthly compensation base for months in calendar year 2011 shall be
equal to the greater of (a) $600 or (b) $600 [1 + {(A-37,800)/
56,700{time} ], where A equals the amount of the applicable base with
respect to tier 1 taxes for 2011 under section 3231(e)(2) of the
Internal Revenue Code of 1986. Section 1(i) further provides that if
the amount so determined is not a multiple of $5, it shall be rounded
to the nearest multiple of $5.
The calendar year 2011 tier 1 tax base is $106,800. Subtracting
$37,800 from $106,800 produces $69,000. Dividing $69,000 by $56,700
yields a ratio of 1.21693122. Adding one gives 2.21693122. Multiplying
$600 by the amount 2.21693122 produces the amount of $1,330.16, which
must then be rounded to $1,330. Accordingly, the monthly compensation
base is determined to be $1,330 for months in calendar year 2011.
Amounts Related to Changes in Monthly Compensation Base
For years after 1988, sections 1(k), 3, 4(a-2)(i)(A) and 2(c) of
the Act contain formulas for determining amounts related to the monthly
compensation base.
Under section 1(k), remuneration earned from employment covered
under the Act cannot be considered subsidiary remuneration if the
employee's base year compensation is less than 2.5 times the monthly
compensation base for months in such base year. Under section 3, an
employee shall be a ``qualified employee'' if his/her base year
compensation is not less than 2.5 times the monthly compensation base
for months in such base year. Under section 4(a-2)(i)(A), an employee
who leaves work voluntarily without good cause is disqualified from
receiving unemployment benefits until he has been paid compensation of
not less than 2.5 times the monthly compensation base for months in the
calendar year in which the disqualification ends.
Multiplying 2.5 by the calendar year 2011 monthly compensation base
of $1,330 produces $3,325. Accordingly, the amount determined under
sections 1(k), 3 and 4(a-2)(i)(A) is $3,325 for calendar year 2011.
Under section 2(c), the maximum amount of normal benefits paid for
days of unemployment within a benefit year and the maximum amount of
normal benefits paid for days of sickness within a benefit year shall
not exceed an employee's compensation in the base year. In determining
an employee's base year compensation, any money remuneration in a month
not in excess of an amount that bears the same ratio to $775 as the
monthly compensation base for that year bears to $600 shall be taken
into account.
The calendar year 2011 monthly compensation base is $1,330. The
ratio of $1,330 to $600 is 2.21666667. Multiplying 2.21666667 by $775
produces $1,718. Accordingly, the amount determined under section 2(c)
is $1,718 for months in calendar year 2011.
Maximum Daily Benefit Rate
Section 2(a)(3) contains a formula for determining the maximum
daily benefit rate for registration periods beginning after June 30,
1989, and after each June 30 thereafter. Legislation enacted on October
9, 1996, revised the formula for indexing maximum daily benefit rates.
Under the prescribed formula, the maximum daily benefit rate increases
by approximately two-thirds of the cumulative growth in average
national wages since 1984. The maximum daily benefit rate for
registration periods beginning after June 30, 2011, shall be equal to 5
percent of the monthly compensation base for the base year immediately
preceding the beginning of the benefit year. Section 2(a)(3) further
provides that if the amount so computed is not a multiple of $1, it
shall be rounded down to the nearest multiple of $1.
The calendar year 2010 monthly compensation base is $1,330.
Multiplying $1,330 by 0.05 yields $66.50, which must then be rounded
down to $66. Accordingly, the maximum daily benefit rate for days of
unemployment and days of sickness beginning in registration periods
after June 30, 2011, is determined to be $66.
Dated: November 4, 2010.
By authority of the Board.
Beatrice Ezerski,
Secretary to the Board.
[FR Doc. 2010-28345 Filed 11-9-10; 8:45 am]
BILLING CODE 7905-01-P
