Railroad Retirement Board Stability Act

This bill amends the Railroad Retirement Act of 1974 to create a dedicated administrative account for the Railroad Retirement Board (RRB) and requires reports on modernizing its benefit processing systems. It also temporarily changes the premium due date for certain pension plans.

Sec. 2, Railroad Retirement Board Administrative Account: This section creates a new account in the Treasury, called the Railroad Retirement Board Administrative Account, to fund the RRB's operations. The RRB can transfer money into this account from other railroad retirement and unemployment funds, but with limits. For fiscal years 2027 through 2031, the annual transfer cannot exceed the lesser of 1.25% of the previous year's total benefits paid or 0.75% of the National Railroad Retirement Investment Trust's value, minus any unspent funds. Starting in fiscal year 2032, the percentage limit drops to 1.15% of benefits. Within this account, a separate Railroad Retirement Technology Fund is created, with mandatory transfers of $10 million in 2027 and $20 million each year from 2028 through 2031, to be used for modernizing legacy benefit processing systems through 2032. The section also authorizes additional appropriations for unforeseen claim-processing needs and, starting in 2033, for further system modernization. It includes conforming amendments to related laws and a savings clause stating it does not change the RRB's budget reporting requirements.

Sec. 3, GAO Reports on Information Technology Modernization Efforts: This section requires the Government Accountability Office (GAO) to submit a report within 10 months of the bill's enactment, recommending ways to modernize the RRB's legacy benefit processing systems. The GAO must consider lessons from other federal agencies that have modernized similar systems, especially those using the COBOL programming language, and identify available resources and technical assistance. The GAO must consult with the RRB's three board members, its Chief Information Officer, representatives of Class I, II, and III railroads, rail unions, and current retirees and beneficiaries. A follow-up report is due six months after the end of fiscal year 2031, assessing how well the RRB followed the initial recommendations and its own project plans, and estimating any remaining costs for completing the modernization.

Sec. 4, Pension Payment Acceleration: For single-employer pension plans, this section changes the premium due date for plan years starting after December 31, 2035, and before January 1, 2037. The due date is moved to the fifteenth day of the ninth calendar month that begins on or after the first day of the premium payment year, overriding the usual rules in the Employee Retirement Income Security Act.