2020 Railroad Experience Rating Proclamations, Monthly Compensation Base and Other Determinations, 66027-66028 [2019-26009]

Download as PDF Federal Register / Vol. 84, No. 231 / Monday, December 2, 2019 / Notices Materials Under Seal; Filing Acceptance Date: November 22, 2019; Filing Authority: 39 U.S.C. 3642, 39 CFR 3020.30 et seq., and 39 CFR 3015.5; Public Representative: Christopher C. Mohr; Comments Due: December 3, 2019. This Notice will be published in the Federal Register. Darcie S. Tokioka, Acting Secretary. [FR Doc. 2019–25932 Filed 11–29–19; 8:45 am] BILLING CODE 7710–FW–P RAILROAD RETIREMENT BOARD 2020 Railroad Experience Rating Proclamations, Monthly Compensation Base and Other Determinations Railroad Retirement Board. Notice. AGENCY: ACTION: As required by the Railroad Unemployment Insurance Act (Act), the Railroad Retirement Board (RRB) hereby publishes its notice for calendar year 2020 of account balances, factors used in calculating experience-based employer contribution rates, computation of amounts related to the monthly compensation base, and the maximum daily benefit rate for days of unemployment or sickness. DATES: The balance in notice (1) and the determinations made in notices (3) through (7) are based on data as of June 30, 2019. The balance in notice (2) is based on data as of September 30, 2019. 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 2020. The determinations made in notices (8) through (11) are effective January 1, 2020. The determination made in notice (12) is effective for registration periods beginning after June 30, 2020. ADDRESSES: Secretary to the Board, Railroad Retirement Board, 844 N. Rush Street, Chicago, Illinois 60611–1275. FOR FURTHER INFORMATION CONTACT: Michael J. Rizzo, Bureau of the Actuary and Research, Railroad Retirement Board, 844 N. Rush Street, Chicago, Illinois 60611–1275, telephone (312) 751–4771. 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 jbell on DSKJLSW7X2PROD with NOTICES SUMMARY: VerDate Sep<11>2014 17:10 Nov 29, 2019 Jkt 250001 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, 2019, the computation of the calendar year 2020 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, 2020, 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, 2020. 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, 2019, is $157,488,983.12; 2. The September 30, 2019, balance of any new loans to the RUI Account, including accrued interest, is zero; 3. The system compensation base is $4,207,873,508.12 as of June 30, 2019; 4. The cumulative system unallocated charge balance is ($443,788,751.14) as of June 30, 2019; 5. The pooled credit ratio for calendar year 2020 is zero; 6. The pooled charged ratio for calendar year 2020 is zero; 7. The surcharge rate for calendar year 2020 is zero; 8. The monthly compensation base under section 1(i) of the Act is $1,655 for months in calendar year 2020; 9. The amount described in sections 1(k) and 3 of the Act as ‘‘2.5 times the monthly compensation base’’ is $4,137.50 for base year (calendar year) 2020; 10. The amount described in section 4(a–2)(i)(A) of the Act as ‘‘2.5 times the monthly compensation base’’ is $4,137.50 with respect to disqualifications ending in calendar year 2020; 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 $2,138 for months in calendar year 2020; 12. The maximum daily benefit rate under section 2(a)(3) of the Act is $80 with respect to days of unemployment and days of sickness in registration periods beginning after June 30, 2020. PO 00000 Frm 00063 Fmt 4703 Sfmt 4703 66027 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 ratio of the June 30, 2019 system compensation base of $4,207,873,508.12 to the June 30, 1991 system compensation base of $2,763,287,237.04 is 1.52277818. Multiplying 1.52277818 by $100 million yields $152,277,818.00. Multiplying $50 million by 1.52277818 produces $76,138,909.00. The Account balance on June 30, 2019, was $157,488,983.12. Accordingly, the surcharge rate for calendar year 2020 is zero. 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 2020 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 2020 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. Using the calendar year 2020 tier 1 tax base of $137,700 for A above produces the amount of $1,657.14, which must then be rounded to $1,655. Accordingly, the monthly compensation base is determined to be $1,655 for months in calendar year 2020. 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 E:\FR\FM\02DEN1.SGM 02DEN1 66028 Federal Register / Vol. 84, No. 231 / Monday, December 2, 2019 / Notices jbell on DSKJLSW7X2PROD with NOTICES 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 2020 monthly compensation base of $1,655 produces $4,137.50. Accordingly, the amount determined under sections 1(k), 3 and 4(a–2)(i)(A) is $4,137.50 for calendar year 2020. 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 2020 monthly compensation base is $1,655. The ratio of $1,655 to $600 is 2.75833333. Multiplying 2.75833333 by $775 produces $2,138. Accordingly, the amount determined under section 2(c) is $2,138 for months in calendar year 2020. 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, 2020, shall be equal to 5 percent of the monthly compensation base for the base year VerDate Sep<11>2014 17:10 Nov 29, 2019 Jkt 250001 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 2019 monthly compensation base is $1,605. Multiplying $1,605 by 0.05 yields $80.25. Accordingly, the maximum daily benefit rate for days of unemployment and days of sickness beginning in registration periods after June 30, 2020, is determined to be $80. By Authority of the Board. Stephanie Hillyard, Secretary to the Board. [FR Doc. 2019–26009 Filed 11–29–19; 8:45 am] BILLING CODE 7905–01–P SECURITIES AND EXCHANGE COMMISSION [Release Nos. 33–10729; 34–87628; File No. 265–32] SEC Small Business Capital Formation Advisory Committee; Meeting Securities and Exchange Commission. ACTION: Notice of meeting. AGENCY: The Securities and Exchange Commission Small Business Capital Formation Advisory Committee, established pursuant to Section 40 of the Securities Exchange Act of 1934 as added by the SEC Small Business Advocate Act of 2016, is providing notice that it will hold a public telephone meeting. The public is invited to submit written statements to the Committee. DATES: The meeting will be held on Wednesday, December 11, 2019, from 11:00 a.m. to 12:30 p.m. (ET) and will be open to the public. Written statements should be received on or before December 11, 2019. ADDRESSES: Members of the public may attend the meeting by listening to the audiocast accessible on the Commission’s website at www.sec.gov. Written statements may be submitted by any of the following methods: SUMMARY: Electronic Statements • Use the Commission’s internet submission form (http://www.sec.gov/ rules/other.shtml); or • Send an email message to rulecomments@sec.gov. Please include File Number 265–32 on the subject line; or Paper Statements • Send paper statements to Vanessa A. Countryman, Secretary, Securities PO 00000 Frm 00064 Fmt 4703 Sfmt 4703 and Exchange Commission, 100 F Street NE, Washington, DC 20549–1090. All submissions should refer to File No. 265–32. This file number should be included on the subject line if email is used. To help us process and review your statement more efficiently, please use only one method. The Commission will post all statements on the SEC’s website at www.sec.gov. Statements also will be available for website viewing and printing in the Commission’s Public Reference Room, 100 F Street NE, Washington, DC 20549, on official business days between the hours of 10:00 a.m. and 3:00 p.m. (ET). All statements received will be posted without change; we do not edit personal identifying information from submissions. You should submit only information that you wish to make available publicly. FOR FURTHER INFORMATION CONTACT: Julie Z. Davis, Senior Special Counsel, Office of the Advocate for Small Business Capital Formation, at (202) 551–5407, Securities and Exchange Commission, 100 F Street NE, Washington, DC 20549–3628. SUPPLEMENTARY INFORMATION: The meeting will be open to the public. Persons needing special accommodations because of a disability should notify the contact person listed in the section above entitled FOR FURTHER INFORMATION CONTACT. The agenda for the meeting includes matters relating to rules and regulations affecting small and emerging companies under the federal securities laws. Dated: November 26, 2019. Eduardo A. Aleman, Deputy Secretary. [FR Doc. 2019–26008 Filed 11–29–19; 8:45 am] BILLING CODE 8011–01–P SECURITIES AND EXCHANGE COMMISSION [Release No. 34–87618; File No. SR– NYSENAT–2019–28] Self-Regulatory Organizations; NYSE National, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Adopt New NYSE National Rule 11.5190 November 25, 2019. Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (‘‘Act’’),1 and Rule 19b–4 thereunder,2 notice is hereby given that on November 20, 2019, NYSE National, Inc. (‘‘NYSE National’’ or ‘‘Exchange’’) filed with the 1 15 2 17 E:\FR\FM\02DEN1.SGM U.S.C. 78s(b)(1). CFR 240.19b–4. 02DEN1

Agencies

[Federal Register Volume 84, Number 231 (Monday, December 2, 2019)]
[Notices]
[Pages 66027-66028]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-26009]


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RAILROAD RETIREMENT BOARD


2020 Railroad Experience Rating Proclamations, Monthly 
Compensation Base and Other Determinations

AGENCY: Railroad Retirement Board.

ACTION: Notice.

-----------------------------------------------------------------------

SUMMARY: As required by the Railroad Unemployment Insurance Act (Act), 
the Railroad Retirement Board (RRB) hereby publishes its notice for 
calendar year 2020 of account balances, factors used in calculating 
experience-based employer contribution rates, computation of amounts 
related to the monthly compensation base, and the maximum daily benefit 
rate for days of unemployment or sickness.

DATES: The balance in notice (1) and the determinations made in notices 
(3) through (7) are based on data as of June 30, 2019. The balance in 
notice (2) is based on data as of September 30, 2019. 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 2020. The determinations made in notices (8) 
through (11) are effective January 1, 2020. The determination made in 
notice (12) is effective for registration periods beginning after June 
30, 2020.

ADDRESSES: Secretary to the Board, Railroad Retirement Board, 844 N. 
Rush Street, Chicago, Illinois 60611-1275.

FOR FURTHER INFORMATION CONTACT: Michael J. Rizzo, Bureau of the 
Actuary and Research, Railroad Retirement Board, 844 N. Rush Street, 
Chicago, Illinois 60611-1275, telephone (312) 751-4771.

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, 2019, the computation of the calendar year 2020 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, 2020, 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, 2020. 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, 2019, is $157,488,983.12;
    2. The September 30, 2019, balance of any new loans to the RUI 
Account, including accrued interest, is zero;
    3. The system compensation base is $4,207,873,508.12 as of June 30, 
2019;
    4. The cumulative system unallocated charge balance is 
($443,788,751.14) as of June 30, 2019;
    5. The pooled credit ratio for calendar year 2020 is zero;
    6. The pooled charged ratio for calendar year 2020 is zero;
    7. The surcharge rate for calendar year 2020 is zero;
    8. The monthly compensation base under section 1(i) of the Act is 
$1,655 for months in calendar year 2020;
    9. The amount described in sections 1(k) and 3 of the Act as ``2.5 
times the monthly compensation base'' is $4,137.50 for base year 
(calendar year) 2020;
    10. The amount described in section 4(a-2)(i)(A) of the Act as 
``2.5 times the monthly compensation base'' is $4,137.50 with respect 
to disqualifications ending in calendar year 2020;
    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 
$2,138 for months in calendar year 2020;
    12. The maximum daily benefit rate under section 2(a)(3) of the Act 
is $80 with respect to days of unemployment and days of sickness in 
registration periods beginning after June 30, 2020.

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 ratio of the June 30, 2019 system compensation base of 
$4,207,873,508.12 to the June 30, 1991 system compensation base of 
$2,763,287,237.04 is 1.52277818. Multiplying 1.52277818 by $100 million 
yields $152,277,818.00. Multiplying $50 million by 1.52277818 produces 
$76,138,909.00. The Account balance on June 30, 2019, was 
$157,488,983.12. Accordingly, the surcharge rate for calendar year 2020 
is zero.

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 2020 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 2020 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.
    Using the calendar year 2020 tier 1 tax base of $137,700 for A 
above produces the amount of $1,657.14, which must then be rounded to 
$1,655. Accordingly, the monthly compensation base is determined to be 
$1,655 for months in calendar year 2020.

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

[[Page 66028]]

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 2020 monthly compensation base 
of $1,655 produces $4,137.50. Accordingly, the amount determined under 
sections 1(k), 3 and 4(a-2)(i)(A) is $4,137.50 for calendar year 2020.
    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 2020 monthly compensation base is $1,655. The 
ratio of $1,655 to $600 is 2.75833333. Multiplying 2.75833333 by $775 
produces $2,138. Accordingly, the amount determined under section 2(c) 
is $2,138 for months in calendar year 2020.

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, 2020, 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 2019 monthly compensation base is $1,605. 
Multiplying $1,605 by 0.05 yields $80.25. Accordingly, the maximum 
daily benefit rate for days of unemployment and days of sickness 
beginning in registration periods after June 30, 2020, is determined to 
be $80.

    By Authority of the Board.
Stephanie Hillyard,
Secretary to the Board.
[FR Doc. 2019-26009 Filed 11-29-19; 8:45 am]
 BILLING CODE 7905-01-P