Total program costs, funded 1. Change in selected resources 2

RAILROAD RETIREMENT SUPPLEMENTAL ACCOUNT-Continued 25 years of creditable service, are entitled to a regular annuity as an employee under the provisions of Railroad Retirement Act, and have a current connection with the railroad industry at the time their annuity began to accrue. The legislation provided a minimum supplemental annuity of $45 for exactly 25 years of service plus $5 for each additional year of service up to a maximum of $70 for annuitants with 30 or more years of service.

The supplemental annuity program is financed separately from the regular railroad retirement program by a tax of 2 cents for each man-hour of employment for which the employer paid compensation beginning with the month of November 1966 and continuing for 60 months. These taxes are deposited in this new trust fund and amounts not currently needed for supplemental annuity payments and administrative expenses are invested in Government securities.

The status of the trust fund is estimated to be as follows (in thousands of dollars):

Total obligations..

Financing:

Recovery of prior year obligations.. Unobligated balance available, start of year.. Unobligated balance transferred to "Unemployment insurance account" (52 Stat. 1094). Unobligated balance available, end of year___

Includes capital outlay as follows: 1966, $11 thousand; 1967, $18 thousand: 1968, $398 thousand. 2 Selected resources as of June 30 are as follows: Unpaid undelivered orders 1965, $13 thousand; 1966, $11 thousand; 1967, $11 thousand: 1968, $11 thousand.

The Board administers an unemployment and sickness insurance system and an employment service for unemployed railroad workers. The administrative expenses are financed through a permanent authorization of 0.25% of taxable payroll. As of each June 30, the unobligated balance in this fund in excess of $6 million is transferred to the Railroad unemployment insurance account in the unemployment trust fund (45 U.S.C. 361).

Administrative expenses:

Authorized program.

250

Proposed for separate transmittal.

330

1. Maintenance of earnings accounts.-Insurance payments for unemployment, sickness, and maternity benefits are based on individual records of earnings and daily wage rates and the workload fluctuates according to such factors as level of employment and rate of turnover in the railroad industry. The costs are shared on a measured basis with the retirement program. Accounts posted were 930,000 in 1966 and are estimated at 920,000 in 1967 and 910,000 in 1968.

2. Processing of unemployment insurance claims.Workers' claims for unemployment compensation are filed locally and certified for payment through the headquarters offices. Regular unemployment claims were 727,000 in 1966 and are estimated to be 650,000 in 1967 and 1968.

3. Processing of sickness and maternity claims.—These claims are filed by mail and certified for payment through the headquarters offices of the Board. Sickness claims were 631,000 in 1966 and are estimated to be 600,000 in 1967 and 1968.

4. Claimant placement services.-The Board conducts an employment service for unemployment benefit claimants. This resulted in savings of benefit payments of approxi mately $3 million in 1966 as 13,300 placements were made. Placements are estimated at 15,000 in 1967 and 1968.

5. Administration. The costs of administration are shared between this and the retirement program on a measured basis.

220

-16 -103

24

103

28

20

20

This fund, established under 26 U.S.C. 7448, is used to pay survivorship benefits to eligible widows and dependent children of deceased judges of the Tax Court of the United States. Participating judges pay into the fund 3% of their salaries or retired pay to cover creditable service for which payment is required and such additional funds as are needed are provided through the annual appropriation to the Tax Court of the United States.

On June 30, 1966, nine judges of the court were participating in the fund, and two eligible widows were receiving survivorship annuity payments.

1. U.S. dollars advanced from foreign governments.— These funds are advanced from foreign governments and private organizations for purchase of films owned or controlled by the United States Information Agency (22 U.S.C. 1431 et seq.) and for replacing damaged or destroyed United States Information Agency property (22 U.S.C. 1479).

2. Contributions for trade fair and solo exhibits.-Contributions are received from non-Federal sources, primarily business concerns, for use at international exhibitions (22 U.S.C. 2455(f)).

3. Contributions for distribution of donated booksContributions are received from non-Federal sources for procurement and shipping of books to oversea missions for presentation to schools, libraries, reading rooms, and individuals (22 U.S.C. 1437).

Object Classification (in thousands of dollars)