3220-0012

OMB NO. 3220-0012

Justification

Employer's Quarterly Report of Contributions Under the RUIA

RRB Form DC-1

1. Circumstances of information collection - Under Section 8 of the Railroad Unemployment Insurance Act (RUIA), as amended by the Railroad Unemployment Improvement Act of 1988 (Public Law 100-647), beginning in calendar year 1991, the amount of each employer's contribution is determined by the Railroad Retirement Board (RRB), primarily on the basis of RUIA benefit payments made to the employees of that employer. These experience-based contributions take into account the frequency, volume, and duration of RUIA benefits, both unemployment and sickness, attributable to a railroad's employees. Each employer's contribution rate will also include a component for administrative expenses and a component to cover costs shared by all employers.

The basic contribution rates for railroad employers range from a minimum of 0.65 percent to a maximum of 12.00 percent, and the maximum monthly compensation to which employer contributions apply is adjusted for inflation each year. Under the experience-based system, each employer will be notified by the RRB of its experience-based contribution rate by means of an annual notice sent to the employer prior to the calendar year to be reported.

The regulations prescribing the manner and conditions for remitting the contributions and for adjusting overpayments or underpayments of contributions are contained in 20 CFR 345.20. 20 CFR 345 was amended February 25, 2002, to permit the filing of Form DC-1, Employer’s Quarterly Report of Contributions under the Railroad Unemployment Insurance Act, via the Internet through the pay.gov system. The electronic DC-1 is filed using a pay.gov issued user-ID/PIN/Password, which acts as a substitute for a required signature.

2. Purposes of collecting/consequences of not collecting the information - The RRB provides Form DC-1, Employer's Quarterly Report of Contributions Under the Railroad Unemployment Insurance Act, to a railroad employer for reporting and remitting quarterly contributions. The employer enters the identifying information, the current reporting period, the amounts of compensation and contributions, any necessary adjustments, and the amount of remittance being submitted with the DC-1. The manual form also provides for the signature of the certifying officer. The information furnished on the form is used by the RRB to determine whether the contributions were correctly computed and are consistent with the compensation reported for the employees. The information is also used to update the experience rating database quarterly and is a factor in determining the employer's experience-based contribution rate.

Manual Form DC-l is designed for self-completion. Instructions for completing the manual form are provided on the second page of the form.

In accordance with the Government Paperwork Elimination Act (GPEA), the RRB also provides an OMB-approved Internet equivalent version of Form DC-1 through pay.gov.

The RRB proposes no changes to Form DC-1 or DC-1 (Internet).

To our knowledge, no other agency uses a form similar to the DC-1.

3. Planned use of improved information technology or technical/legal impediments to further burden reduction - In accordance with its GPEA plans, an Internet equivalent version DC-1 can be completed and submitted through the pay.gov web site with the use of a pay.gov issued user/PIN/Password system. A pdf version is also available at http://www.rrb.gov/pdf/AandT/dc1.pdf

4. Efforts to identify duplication - This information collection does not duplicate any other information collection.

5. Small business respondents - N.A.

6. Consequences of less frequent collection - Obtaining the employer contributions less frequently by means of Form DC-1 would adversely affect the availability of funds for payment of benefits under the RUIA.

7. Special circumstances - None

8. Consultations outside the agency - In accordance with 5 CFR 1320.8 (d), comments were invited from the public regarding the information collection. The notice to the public was published on 16870 of the March 22, 2012, Federal Register. No comments or requests for additional information were received.

9. Payments or Gifts to Respondents - N.A.

10. Confidentiality - Internal Revenue Service safeguards by reason of incorporation of 45 USC 358(h); also 45 USC 362(d).

11. Sensitive questions - N.A.

12. Estimate of respondent burden - The current and estimated annual burden for this collection is as follows:

Current Burden

Form Number	Annual Responses	Time (Minutes)	Burden (Hours)
DC-1 (Paper Copy)	1,092	25	455
DC-1 (Internet Version)	1,068	25	455
Total	2,160		900

Proposed Burden

Form Number	Annual Responses	Time (Minutes)	Burden (Hours)
DC-1 (Paper Copy)	1,235	25	515
DC-1 (Internet Version)	1,365	25	569
Total	2,600		1,084

Responses Hours

Total Burden Change +440 +184

Adjustment +440 +184

Note: The results are from 650 employers filing on a quarterly basis.

13. Estimate of annual cost to respondents or record keepers - N.A.

14. Estimate of cost to Federal government – N.A.

15. Explanation for changes in burden – The burden estimate has been increased based on the most recent record of responses received. We have designated the change in burden as an adjustment.

16. Time schedule for data collection and publication - The results of this collection will not be published.

17. Request to not display OMB expiration date - The DC-1 is seldom revised. Given the costs associated with redrafting, reprinting, and distributing the form in order to keep the appropriate OMB expiration date in place, the RRB requests the authority to not display the expiration date on the form.

18. Exceptions to the Certification Statement - None

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