[Analytical Perspectives]
[Federal Receipts and Collections]
[4. User Fees and Other Collections]
[From the U.S. Government Printing Office, www.gpo.gov]


  In addition to collecting taxes and other governmental receipts by the 
exercise of its sovereign powers, the Federal Government earns income 
from its various business-type activities. Examples of this income 
include the sale of postage stamps and electricity, the collection of 
fees for admittance to national parks, premiums for deposit insurance, 
and rents and royalties for the right to extract oil from the Outer 
Continental shelf. Because these collections stem from business-type 
activities, as opposed to exercise of sovereign powers, they are 
subtracted from gross outlays rather than added to the taxes and other 
governmental receipts discussed in the previous chapter. Because these 
collections reduce outlays, they are called ``offsetting collections.'' 
The purpose of this treatment is to produce budget totals for receipts, 
outlays, and budget authority in terms of the amount of resources 
allocated governmentally, through collective political choice rather 
than through the market.
  Offsetting collections are classified into two major categories: 
offsetting receipts, which are deposited in receipt accounts; and 
offsetting collections credited to appropriations (expenditure) 
accounts, which are deposited directly in these accounts and usually can 
be spent without further action by the Congress. Both categories include 
collections from other accounts within the Government as well as the 
public. Chapter 24, ``Budget System and Concepts,'' explains the 
budgetary treatment of these collections more fully.
  The term ``user fee'' is not a budgetary category. It is a general 
term that refers to amounts assessed against identifiable recipients for 
special benefits derived from Federal activities beyond those received 
by the general public. Depending primarily on whether the user charge is 
based on the Government's sovereign power or business-type activity, it 
may be classified as a governmental receipt or an offsetting collection.
  As shown in Table 4-1, total offsetting collections from the public 
(including those proposed in this budget) are estimated to be $190.4 
billion in 1997. This is only 13 percent as large as the governmental 
receipts discussed in the previous chapter. Table 4-1 divides this total 
between offsetting receipts and offsetting collections credited to 
appropriations accounts and shows major subcategories of each. Table 4-3 
provides more detail for offsetting receipts collected from the public 
and offsetting receipts collected from other accounts within the 
Government.

                               Table 4-1.  OFFSETTING COLLECTIONS FROM THE PUBLIC                               
                                            (In millions of dollars)                                            
----------------------------------------------------------------------------------------------------------------
                                                                                                  Estimate      
                                      Type                                          1995   ---------------------
                                                                                   actual      1996       1997  
----------------------------------------------------------------------------------------------------------------
Collections deposited in receipt accounts:                                                                      
  Medicare premiums............................................................    20,241     19,842     20,287 
  Military assistance trust fund property sales................................    12,469     13,020     12,230 
  Outer Continental Shelf payments, naval petroleum reserve lease and other                                     
   undistributed offsetting receipts...........................................     2,419      4,489      4,098 
  Spectrum auction proceeds, undistributed.....................................     7,644      4,350      3,600 
  Sale of property and services, interest income and all other collections                                      
   deposited in receipt accounts...............................................    20,343     21,710     20,129 
                                                                                --------------------------------
     Subtotal, collections from the public deposited in receipt accounts.......    63,116     63,411     60,344 
Collections credited to appropriations accounts:                                                                
  Postal Service stamp sales and other collections.............................    53,311     55,779     57,724 
  Deposit insurance funds......................................................    26,272     16,715      5,483 
  Tennessee Valley Authority and Power Administration collections..............     8,956      9,040      9,006 
  Commodity Credit Corporation loan repayments and other collections...........    10,824      7,257      7,604 
  Other loan repayments........................................................     7,028      7,967      7,069 
  Loan guaranty and other insurance premiums, interest income and all other                                     
   collections credited to appropriations accounts.............................    45,335     43,681     43,201 
                                                                                --------------------------------
     Subtotal, collections from the public credited to appropriation accounts..   151,726    140,439    130,087 
  Offsetting collections from the public.......................................   214,842    203,850    190,431 
  Offsetting collections from the public excluding off-budget Postal Service                                    
   collections.................................................................   161,531    148,071    132,707 
----------------------------------------------------------------------------------------------------------------

  The budget contains a variety of user fee and other collections 
proposals that would yield $1.4 billion in 1997 and $11.2 billion from 
1997 through 2002. These proposals establish, increase, or extend fees 
in order to recover more of the costs of providing government services. 
Table 4-2 splits the proposals between discretionary and mandatory 
categories for the appropriate scoring under the Budget Enforcement Act 
of 1990 (BEA). It includes offsetting collections and user fees 
classified as governmental receipts.
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                              Table 4-2.  PROPOSED USER FEES AND OTHER COLLECTIONS                              
                                            (In millions of dollars)                                            
----------------------------------------------------------------------------------------------------------------
                                                              1997     1998     1999     2000     2001     2002 
----------------------------------------------------------------------------------------------------------------
                         User fees                                                                              
 Discretionary:                                                                                                 
  Department of Agriculture:                                                                                    
     Animal and Plant Health Inspection Service--                                                               
     inspection, licensing, and permit fees--Collections                                                        
     and spending authority...............................        8        8        8        8        8        8
     Grain Inspection--Packers and Stockyards                                                                   
     Administration--standardization and licensing                                                              
     activities: Collections and spending authority.......       18       18       18       18       18       18
     Food Safety and Inspection Service--meat, poultry and                                                      
     eggs overtime inspection fees: Collections and                                                             
     spending authority...................................      109      109      109      109      109      109
  Department of Energy:                                                                                         
    Decontamination and decommissioning fee extended to                                                         
     foreign purchasers of U.S. enrichment services--                                                           
     Collections..........................................       46       46       46       46       46       46
  Department of Health and Human Services--Food and Drug                                                        
   Administration:                                                                                              
     Import user fee to cover inspection/regulatory                                                             
     compliance program--Collections and spending                                                               
     authority............................................       15       15       15       15       15       15
     Medical device review and approval--Collections and                                                        
     spending authority...................................       24       24       24       24       24       24
  Department of Transportation:                                                                                 
    Aviation-related user fees--Collections and spending                                                        
     authority............................................      150      150      150      150      150      150
    Surface Transportation Board--Collections and spending                                                      
     authority............................................       15       15       15       15       15       15
  Army Corps of Engineers: Wetlands dredging permit                                                             
   application fees--Collections..........................        7        7        7        7        7        7
  Environmental Protection Agency: Registration fee for                                                         
   pesticide manufacturers--Collections...................       15  .......  .......  .......  .......  .......
  Securities and Exchange Commission: Tier 3 fees credited                                                      
   to appropriation--Collections and spending authority...       49       49       49       49       49       49
                                                           -----------------------------------------------------
   Subtotal, discretionary user fees:                                                                           
     Collections..........................................      456      441      441      441      441      441
     Spending authority...................................      388      388      388      388      388      388
    Net savings...........................................       68       53       53       53       53       53
Mandatory:                                                                                                      
  Department of Agriculture: Recover costs for oversight                                                        
   of marketing agreements and orders--Collections and                                                          
   spending authority.....................................       10       11       11       11       11       11
  Department of Commerce:                                                                                       
    Fisheries management program fees--Collections and                                                          
     spending authority...................................       10       10       10       10       10       10
    Patent and Trademark Office surcharges--Collections...  .......  .......      119      119      119      119
  Department of Education:                                                                                      
    Federal Family Education Loan Program fees:                                                                 
      Secondary market offset fee--Collections and                                                              
       spending authority.................................       35       35       32       33       34       36
      Lender and holder subsidy rebate--Collections and                                                         
       spending authority.................................       27       24       22       22       23       25
      Increase lender origination fee--Collections and                                                          
       spending authority.................................       45       52       42       40       49       53
  Department of the Interior:                                                                                   
    Expand authority for Park Service, BLM and Forest                                                           
     Service fees:                                                                                              
       Collections........................................       12       17       27       33       43       47
       Spending authority.................................  .......       11       16       25       31       40
    Hetch Hetchy Dam rental payments--Collections.........        1        1        1        1        1        1
    Hardrock mining claim and location fee extension--                                                          
     Collections..........................................        1        2       34       36       37       38
  Department of Transportation:                                                                                 
    Oil Spill Liability Trust Fund excise tax--Collections      294      294      296      298      299      300
    Railroad safety inspection fees--Collections..........       47       49       51       53       55       57
    Vessel tonnage fees--Collections and spending                                                               
     authority............................................  .......  .......  .......       62       62       62
  Department of the Treasury: Internal Revenue Service                                                          
   letter ruling fees extension--Collections..............  .......  .......  .......  .......       31       31
  Department of Veterans Affairs: Nonservice-connected                                                          
   medical copayments and per diems extension--Collections  .......  .......       39       41       42       43
   Environmental Protection Agency: Pesticide                                                                   
   reregistration fee--Collections and spending authority.        5       19       19       14  .......  .......
  Federal Deposit Insurance Corporation/Federal Reserve:                                                        
   Examination fees for FDIC-insured banks and bank                                                             
   holding companies:                                                                                           
      Bank Insurance Fund--Collections and spending                                                             
       authority..........................................       75       79       82       86       89       93
      Federal Reserve--Collections\1\.....................       92       96      100      104      109      114
  Federal Emergency Management Agency: Fee to cover 100%                                                        
   of radiological emergency preparedness program--                                                             
   Collections............................................       12       12       12       12       12       12
   Nuclear Regulatory Commission: Nuclear facility fees--                                                       
   Collections and spending authority.....................  .......  .......      310      310      310      310
  Securities and Exchange Commission:                                                                           
     Tier 1 fees--increases in existing fees--                                                                  
     Collections\1\.......................................       47       48       49       50       52       53
     Tier 2 fees--new permanent fees deposited in special                                                       
     fund--Collections and spending authority\1\..........      260      270      281      292      304      316
                                                           -----------------------------------------------------
   Subtotal, mandatory user fees:                                                                               
     Collections..........................................      973    1,019    1,537    1,627    1,692    1,731
     Spending authority...................................      467      511      515      595      613      646
     Net savings..........................................      506      508    1,022    1,032    1,079    1,085
                                                           =====================================================
 Total, user fees:                                                                                              
   Collections............................................    1,429    1,460    1,978    2,068    2,133    2,172
   Spending authority.....................................      855      899      903      983    1,001    1,034
   Net savings............................................      574      561    1,075    1,085    1,132    1,138
----------------------------------------------------------------------------------------------------------------
\1\Governmental receipts.                                                                                       
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  Discretionary: The following proposed fees are classified as 
discretionary because action is required by the Appropriations 
Committees. In most cases, the proposed levels are tied to the 
appropriations requests for the specific activity.
                        Department of Agriculture
  Animal and Plant Health Inspection Service (APHIS) fees.--The budget 
proposes to establish three fees for certain APHIS activities: