[Analytical Perspectives]
[Other Technical Presentations]
[16. Trust Funds and Federal Funds]
[From the U.S. Government Printing Office, www.gpo.gov]


                                     

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                      OTHER TECHNICAL PRESENTATIONS

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[[Page 255]]   
 
                   16.  TRUST FUNDS AND FEDERAL FUNDS

  The budget consists of two major groups of funds: Federal funds and 
trust funds. This section presents summary information about the 
transactions of each fund group and of the major trust funds. It also 
discusses the relationship between the trust funds surplus and the 
Federal deficit, and the meaning of the large and growing trust funds 
balance. Information about the income and outgo of 4 Federal funds that 
are financed by earmarked collections similar to trust funds is also 
provided.
                           Federal Funds Group
  The Federal funds group comprises the larger part of the budget. It 
includes all transactions not classified by law as being in trust funds.
  The main component of the Federal funds group is the general fund, 
which is used to carry out the general purposes of Government rather 
than being restricted by law to a specific program. It consists of all 
collections not earmarked by law to finance other funds, including 
virtually all income taxes and many excise taxes, and all expenditures 
financed by these collections and by general Treasury borrowing.
  The Federal funds group also includes special funds and revolving 
funds, which are similar to trust funds in that their spending is 
financed by earmarked collections. Where the law requires that Federal 
fund collections from a specified source be earmarked to finance a 
particular program, such as the license fees deposited into the land and 
water conservation fund, the collections and associated disbursements 
are recorded in special fund receipt and expenditure accounts. The 
majority of special fund collections are derived from the Government's 
power to impose taxes, fines, and other compulsory payments, and they 
must be appropriated before they can be obligated and spent.
  Revolving funds conduct continuing cycles of business-like activity. 
They charge for the sale of products or services and use the proceeds to 
finance their spending. Instead of being deposited in receipt accounts, 
their proceeds are recorded as offsets to outlays within the funds' 
expenditure accounts, so that outlays are reported net of collections. 
These collections generally are available automatically for obligation 
and making payments. There are two classes of revolving funds. Public 
enterprise funds, such as the Postal Service, conduct business-like 
operations mainly with the public. Intragovernmental funds, such as the 
Federal Buildings Fund, conduct business-like operations mainly within 
and between Government agencies.
                            Trust Funds Group
  The trust funds group consists of funds that are designated by law as 
trust funds. They are usually financed by earmarked collections. Many of 
the larger trust funds finance social insurance payments for 
individuals, such as Social Security, Medicare, and unemployment 
compensation. Other major trust funds finance military and Federal 
civilian employees' retirement, highway construction, and airport and 
airway development. Trust funds also include a few small funds 
established to carry out the terms of a conditional gift, bequest, or 
court settlement.
  Whether or not a particular fund is designated as a trust fund is, in 
many cases, arbitrary. Congress has not followed a systematic rule. For 
example, the National Service Life Insurance Fund is a trust fund, but 
the Servicemen's Group Life Insurance Fund is a Federal fund, even 
though both are financed by earmarked fees paid by veterans and both 
provide life insurance benefits to veterans.\1\
  \1\Another example is the Violent Crime Reduction Trust Fund, 
established pursuant to the Violent Crime Control and Law Enforcement 
Act of 1994. Because the Fund is substantively a means of accounting for 
general fund appropriations, and does not consist of dedicated receipts, 
it is classified as a Federal fund rather than a trust fund.
---------------------------------------------------------------------------
  The Federal budget meaning of the term ``trust'' differs significantly 
from its private sector usage. The beneficiary of a private trust owns 
the trust's income and often its assets. A custodian manages the assets 
on behalf of the beneficiary according to the stipulations of the trust, 
which he cannot change unilaterally. In contrast, the Federal Government 
owns the assets and earnings of most Federal trust funds, and it can 
raise or lower future trust fund collections and payments, or change the 
purpose for which the collections are used, by changing existing law. 
Only a few small Federal trust funds are managed pursuant to a trust 
agreement where the Government is the trustee, and the Government 
generally has some ability to determine the amount deposited into or 
paid out of the fund. Other funds are held by the Government as a 
custodian in deposit funds. The Government makes no decisions about the 
amount of these deposits or how they are spent. Therefore, they are not 
considered to be Federal trust funds and are excluded from the budget.
  A trust fund must use its income for the purposes designated by law. 
Some, such as the Federal Employees Health fund, spend their income 
almost as quickly as it is collected. Others, such as the Social 
Security and the Federal civilian employees retirement trust funds, 
currently spend considerably less than they collect each year. A surplus 
of income over outgo adds to the trust fund's balance, which is 
available to finance future expenditures. The balances are generally 
invested, by law, in Treasury debt securities. Any net cash inflow from 
the public to the trust funds decreases the Treasury's need to borrow 
from the public in order to finance the Federal funds deficit.
[[Page 256]]
  A trust fund normally consist of one or more receipt accounts (to 
record income) and an expenditure account (to record outgo). However, 
some trust funds are established by law as revolving funds. These funds 
are similar to revolving funds in the Federal funds group. They conduct 
a cycle of business-type operations, and their outlays are displayed net 
of collections in a single expenditure account.
                     Income and Outgo by Fund Group
  Table 16-1 shows income, outgo, and surplus or deficit by fund group 
and adds them to derive the total unified budget receipts, outlays, and 
surplus or deficit. The estimates assume enactment of the President's 
budget proposals. Income consists mostly of governmental receipts 
(primarily income, payroll, and excise taxes). It also includes 
proprietary receipts (derived from business-like transactions with the 
public) and interfund collections (receipts by one fund of payments from 
a fund in the other fund group) that are deposited in receipt accounts. 
Outgo consists of payments made to the public and or to a fund in the 
other fund group.
  Two types of transactions are treated specially. First, income and 
outgo for a fund group exclude transactions between funds within the 
same fund group.\2\ These intrafund transactions constitute outgo and 
income for the individual funds that make and collect the payments. 
However, because the totals for each fund group measure its transactions 
with the public and the other fund group, intrafund transactions must be 
subtracted from the sum of the income and outgo of all individual funds 
within the fund group to calculate income and outgo for the funds as a 
group. Second, income excludes collections that, by law, are offset 
against outgo in expenditure accounts instead of being deposited in 
receipt accounts.\3\ It would be conceptually appropriate to classify 
these collections as income, but at present the data are not tabulated 
centrally for both fund groups. Consequently, they are offset against 
outgo in Table 16-1.
  \2\For example, the railroad retirement trust funds pay the equivalent 
of social security benefits to railroad retirees, in addition to the 
regular railroad pension. These benefits are financed by a payment from 
the Federal Old-Age and Survivors Insurance Trust fund to the railroad 
retirement trust funds. The payment and collection are deducted so that 
total trust fund income and outgo measure disbursements to the public 
and to Federal funds.
  \3\For example, postage stamp fees are deposited as offsetting 
collections in the Postal Service fund. As a result, the Fund's outgo is 
disbursements net of collections.
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                                          Table 16-1.  RECEIPTS, OUTLAYS, AND SURPLUS OR DEFICIT BY FUND GROUP                                          
                                                                (In billions of dollars)                                                                
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                               Estimate                                 
                                                                     1995   ----------------------------------------------------------------------------
                                                                   actual       1996       1997       1998       1999       2000       2001       2002  
--------------------------------------------------------------------------------------------------------------------------------------------------------
Receipts:                                                                                                                                               
   Federal funds cash income:                                                                                                                           
     From the public............................................     866.9      918.2      949.4    1,007.9    1,053.0    1,104.9    1,162.6    1,242.2 
     From trust funds...........................................       4.0        4.4        4.2        4.2        4.3        4.4        4.5        4.6 
                                                                 ---------------------------------------------------------------------------------------
         Total, Federal funds cash income.......................     870.9      922.7      953.6    1,012.2    1,057.3    1,109.3    1,167.1    1,246.8 
   Trust funds cash income:                                                                                                                             
     From the public............................................     551.5      572.0      606.1      631.8      662.2      694.7      726.5      762.5 
     From Federal funds:                                                                                                                                
       Interest.................................................      94.8       99.3      102.8      105.2      109.2      115.1      117.9      123.2 
       Other....................................................     117.2      141.0      150.0      161.1      171.8      183.2      198.6      214.2 
                                                                 ---------------------------------------------------------------------------------------
         Total, trust funds cash income.........................     763.5      812.3      858.9      898.1      943.2      993.0    1,042.9    1,099.9 
   Offsetting receipts..........................................    -279.1     -308.1     -317.3     -332.3     -348.0     -368.6     -390.2     -434.5 
                                                                 ---------------------------------------------------------------------------------------
     Total, unified budget receipts.............................   1,355.2    1,426.8    1,495.2    1,577.9    1,652.5    1,733.8    1,819.8    1,912.2 
Outlays:                                                                                                                                                
   Federal funds cash outgo.....................................   1,134.1    1,179.2    1,217.2    1,236.4    1,258.0    1,286.5    1,313.9    1,365.3 
   Trust funds cash outgo.......................................     664.2      701.4      735.0      771.8      806.9      843.4      887.9      937.6 
   Offsetting receipts..........................................    -279.1     -308.1     -317.3     -332.3     -348.0     -368.6     -390.2     -434.5 
                                                                 ---------------------------------------------------------------------------------------
     Total, unified budget outlays..............................   1,519.1    1,572.4    1,634.9    1,675.9    1,716.9    1,761.4    1,811.6    1,868.4 
Surplus or deficit(-):                                                                                                                                  
   Federal funds................................................    -263.2     -256.5     -263.5     -224.3     -200.6     -177.2     -146.8     -118.6 
   Trust funds..................................................      99.3      110.9      123.9      126.3      136.2      149.6      155.0      162.3 
                                                                 ---------------------------------------------------------------------------------------
     Total, unified surplus/deficit (-).........................    -163.9     -145.6     -139.7      -98.0      -64.4      -27.5        8.2       43.8 
--------------------------------------------------------------------------------------------------------------------------------------------------------
Receipts includes governmental, interfund, and proprietary receipts. Excludes intrafund receipts, which are offset against intrafund payments so that   
  cash income and cash outgo are not overstated.                                                                                                        

  In order to derive unified budget receipts and outlays, the table adds 
Federal funds and trust funds income and outgo, respectively, and 
subtracts offsetting receipts from each. Offsetting receipts are income 
for the fund group that receives them, but instead of being part of 
receipts in the unified budget, they are deposited in receipt accounts 
and are offset against outgo to calculate unified budget outlays. The 
reason for this is two-fold.

     


  The most important information provided by the unified budget is (1) 
how much of the Nation's resources are used by the Government, and (2) 
how these resources are allocated among the many purposes of Government. 
By combining all receipts and spending in one budget, the implicit 
tradeoffs between public and private spending, and between Government 
programs, become more visible. The hope is that by surfacing these basic 
tradeoffs, conflicts over competing demands for the Nation's resources 
will be resolved, and the pieces of the budget will add to the desired 
total. However, there is no automatic mechanism that forces resolution 
of these conflicts. Congress can choose to use the budget to force the 
components of the budget to stay within targets for total receipts and 
spending, as it has for discretionary programs in the Budget Enforcement 
Act of 1990. Or it can allow tax and spending programs to occur 
autonomously without regard to what those actions have on other programs 
or on the budget totals.
  The persistence of unified budget deficits over the past 3\1/2\ 
decades can be thought of as a financial indicator of the Nation's 
failure to resolve conflicting goals. The Nation has simultaneously 
desired to (1) increase spending by trust funds without decreasing 
spending by Federal funds, (2) hold the total tax burden constant while 
increasing taxes earmarked for trust funds, and (3) balance the total 
budget. One of these goals had to give. The trends in the totals for the 
fund groups and the unified budget tell how the conflict played out.
  As shown in Chart 16-2, trust fund outlays to the public as a percent 
of GDP increased in every five-year period since 1960, rising from 4.1 
percent in the first half of the 1960s to 7.3 percent in the latter half 
of the 1970s, and rising even further to 8.7 percent in the first half 
of the 1990s.\7\ Over the same period, 
[[Page 261]]
Federal fund payments to the public moved up and 
down slightly but stayed between 14 and 15 percent 
of GDP. The combination of growing trust fund spending and constant 
Federal fund spending meant that total spending increased from 19 
percent to 23 percent of GDP.
  \7\This section focuses on receipts and outlays as they are defined in 
the unified budget, instead of income and outgo. The difference is that 
proprietary receipts and interfund collections are offset against 
outlays in the unified budget, but they are considered income for a fund 
group. Since the comparisons over time are based on changes in shares of 
GDP, it is better to use receipts and outlays.
---------------------------------------------------------------------------
  Because the norm has been for trust funds to be in balance, or to 
accumulate balances to fund future benefits, trust fund taxes were 
increased commensurately with the increase in trust fund outlays. As 
shown in Chart 16-3, trust fund receipts as a percent of GDP increased 
in every five-year period since 1960, rising from 3.7 percent in the 
first half of the 1960s to 6.0 percent in the latter half of the 1970s, 
and rising even further to 7.3 percent in the first half of the 1990s. 
However, unlike Federal fund outlays, Federal fund receipts did not stay 
the same when trust fund receipts rose. The increases in trust fund 
receipts were offset by decreases in Federal fund receipts, and total 
budget receipts remained constant at 18 to 19 percent of GDP.
  What explains the growth in the unified budget deficit, therefore, is 
the basic conflict between the goal of expanding and fully funding one 
part of Government, and an unwillingness either to allow the total tax 
burden to increase or to reduce the rest of Government.\8\ The Nation 
wanted to expand trust fund spending, and it said it was willing to 
finance that expansion. The latter could only have been accomplished by 
increasing the total tax burden or by reducing Federal fund spending. In 
fact, neither occurred. Taxes were shifted from Federal funds to trust 
funds, and the total tax burden remained the same. Federal fund spending 
remained constant, and total spending increased. If Federal fund taxes 
had stayed at the levels experienced in the first half of the 1960s, 
Federal fund tax receipts would have been much higher over the period, 
and the higher receipts plus the associated interest savings would have 
been sufficient to avoid most or all of the unified deficits. The same 
outcome could have been achieved by reducing Federal fund spending 
commensurately with the reduction in Federal fund taxes.
  \8\For similar analyses, see The Budget Deficit--Outlook, 
Implications, and Choices, General Accounting Office, September 1990, 
pp.29-32; and John F. Cogan, ``the Dispersion of Spending Authority and 
Federal Budget Deficits,'' in The Budget Puzzle by John F. Cogan, 
Timothy J. Muris, and Allen Schick, Stanford University Press, 1994, pp. 
39-40.
---------------------------------------------------------------------------
  In short, the imbalances seen in the fund group and unified budget 
totals are symptomatic of the unresolved conflict over the size of 
Government and how it is to be financed. Instead of resolving this 
conflict, increases in trust fund spending have been ``financed'' at the 
expense of financing for Federal funds. In that sense, both fund groups 
are responsible for the unified budget deficit.


[[Page 262]]
               Income, Outgo, and Balances of Trust Funds
  Table 16-2 shows the trust funds balance at the start of each year, 
income and outgo during the year, and the end of year balance. Income 
and outgo are divided between transactions with the public and 
transactions with Federal funds. Receipts from Federal funds are divided 
between interest and other interfund receipts.
  The definition of income and outgo in this table differs from those in 
Table 16-1 in one important way. Trust fund collections that are offset 
against outgo (as offsetting collections) within expenditure accounts 
instead of being deposited in separate receipt accounts are classified 
as income in this table but not in Table 16-1. This classification is 
consistent with the definitions of income and outgo for trust funds used 
elsewhere in the budget. It has the effect of increasing both income and 
outgo by the amount of the offsetting collections. The difference is $19 
billion in 1995. This table, therefore, provides a more complete summary 
of trust fund income and outgo.
  The trust funds group is expected to have large and growing surpluses 
over the projection period. As a consequence, trust fund balances will 
grow substantially, as they have over the past decade. The size of the 
anticipated balances is unprecedented, and it results mainly from 
relatively recent changes in the way some trust funds are financed.
  Until the 1980s, most trust funds operated on a pay-as-you-go basis. 
Taxes and user fees were set at levels high enough to finance benefits 
and administrative expenses, and to maintain prudent reserves, generally 
defined as being equal to one year's expenditures. As a result, trust 
fund balances tended to grow at about the same rate as their annual 
expenditures.
  Pay-as-you-go financing was replaced in the 1980s by full or partial 
accrual funding for some of the larger trust funds. In order to 
partially prefund the ``baby-boomers'' social security benefits, the 
Social Security Amendments of 1983 raised payroll taxes above the levels 
necessary to finance current expenditures. In 1985 a new system was set 
up to finance military retirement benefits on a full accrual basis. In 
1986 full accrual funding of retirement benefits was mandated for 
Federal civilian employees hired after December 31, 1983. The latter two 
changes require Federal agencies and their employees to make annual 
payments to the Federal employees' retirement trust funds in an amount 
equal to the value of the retirement benefits earned by employees in 
that year. Since many years will pass before current employees are paid 
retirement benefits, the trust funds will accumulate substantial 
balances over time.
                                     

                                              Table 16-2.  INCOME, OUTGO, AND BALANCES OF TRUST FUNDS GROUP                                             
                                                                (In billions of dollars)                                                                
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                           Estimate                                     
                                                              1995   -----------------------------------------------------------------------------------
                                                            actual       1996        1997        1998        1999        2000        2001        2002   
--------------------------------------------------------------------------------------------------------------------------------------------------------
Balance, start of year..................................   1,182.9     1,282.1     1,393.0     1,516.8     1,643.1     1,779.3     1,929.0     2,084.0  
Income:                                                                                                                                                 
   Governmental receipts................................     517.0       537.8       572.6       597.7       627.2       657.6       686.9       720.5  
   Proprietary receipts.................................      41.1        40.9        40.5        41.3        43.2        45.7        48.5        51.5  
   Receipts from Federal funds:                                                                                                                         
     Interest...........................................      94.8        99.3       102.8       106.8       110.7       116.6       119.3       124.7  
     Other..............................................     133.5       157.2       166.5       176.9       187.8       200.1       216.1       232.8  
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, income.................................     786.4       835.2       882.3       922.7       968.9     1,020.1     1,070.9     1,129.4  
Outgo:                                                                                                                                                  
   To the public........................................     683.1       719.9       754.4       792.1       828.4       866.0       911.5       962.5  
   Payments to Federal funds............................       4.0         4.4         4.2         4.3         4.3         4.4         4.5         4.6  
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, outgo..................................     687.1       724.3       758.6       796.3       832.7       870.5       915.9       967.1  
Change in fund balance:                                                                                                                                 
   Surplus or deficit (-):                                                                                                                              
     Excluding interest.................................       4.5        11.6        21.0        19.6        25.5        33.0        35.7        37.7  
     Interest...........................................      94.8        99.3       102.8       106.8       110.7       116.6       119.3       124.7  
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, surplus or deficit (-).................      99.3       110.9       123.8       126.3       136.2       149.6       155.0       162.3  
   Adjustments:                                                                                                                                         
     Transfers/lapses (net).............................      -0.1        -*          -*      ..........  ..........  ..........  ..........  ..........
     Other adjustments..................................       *      ..........      -*      ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
     Total, change in fund balance......................      99.2       110.9       123.8       126.3       136.2       149.6       155.0       162.3  
                                                         ===============================================================================================
Balance, end of year....................................   1,282.1     1,393.0     1,516.8     1,643.1     1,779.3     1,929.0     2,084.0     2,246.3  
--------------------------------------------------------------------------------------------------------------------------------------------------------
*Less than *50 million.                                                                                                                                 

  Primarily because of these changes, but also because of the impact of 
real growth and inflation, trust fund balances increased six-fold from 
1982 to 1995, from $205 billion to $1.3 trillion. Under the proposals in 
the President's budget, the balances are estimated to increase by 
another 75 percent by the year 2002, rising 
[[Page 263]]
to $2.2 trillion. Almost all of these balances are 
invested in Treasury securities and earn interest. 
Therefore, they effectively represent the value, in current dollars, of 
taxes and user fees that have been paid in advance for future benefits 
and services.
  These balances are available to finance future benefit payments and 
other trust fund expenditures--but only in a bookkeeping sense. Unlike 
the assets of private pension plans, they do not consist of real 
economic assets that can be drawn down in the future to fund benefits. 
Instead, they are claims on the Treasury that, when redeemed, will have 
to be financed by raising taxes, borrowing from the public, or reducing 
benefits or other expenditures. The existence of large trust fund 
balances, therefore, does not, by itself, make it easier for the 
Government to pay benefits.
  From an economic standpoint, the Government is able to prefund 
benefits only by increasing saving and investment in the economy as a 
whole. This can be fully accomplished only by simultaneously running 
trust fund surpluses equal to the actuarial present value of the 
accumulating benefits and not allowing the Federal fund deficit to 
increase, so that the trust fund surplus reduces the unified budget 
deficit. This would reduce Federal borrowing by the amount of the trust 
funds surplus and increase the amount of national saving available to 
finance investment. Greater investment would increase future incomes and 
wealth, particularly if it increased the rate of productivity growth. In 
turn, this would make it possible for the trust funds to draw down on 
their investments in Treasury debt to pay future benefits without having 
to increase the burden on future workers by raising tax rates, reducing 
spending, or increasing Government borrowing.
  Table 16-3 shows estimates of income, outgo, and balances for 1995 
through 2002 for the major trust funds. With the exception of 
transactions between trust funds, the data for the individual trust 
funds are conceptually the same as the data in Table 16-2 for the trust 
funds group. As explained previously, transactions between trust funds 
are shown as outgo of the fund that makes the payment and as income of 
the fund that collects it in the data for an individual trust fund, but 
the collections are offset against outgo in the data for the trust fund 
group. Additional information for these and other trust funds can be 
found in the Status of Funds tables in the Budget Appendix.
  Table 16-4, which appears at the end of this chapter, shows income, 
outgo, and balances of 4 Federal funds--a revolving fund and 3 special 
funds. These funds are similar to trust funds in that they are financed 
by earmarked receipts, excesses of income over outgo are invested, the 
interest earnings add to balances, and the balances remain available to 
finance future expenditures. The table is illustrative of the Federal 
funds group, which includes many other revolving funds and special funds 
in addition to the ones shown.
                                     

                                              Table 16-3.  INCOME, OUTGO, AND BALANCES OF MAJOR TRUST FUNDS                                             
                                                                (In billions of dollars)                                                                
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                           Estimate                                     
                                                              1995   -----------------------------------------------------------------------------------
                                                            actual       1996        1997        1998        1999        2000        2001        2002   
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                        
              Airport and Airway Trust Fund                                                                                                             
                                                                                                                                                        
Balance, start of year..................................      12.4        11.4         8.3         8.7         9.2        10.4        12.1        14.3  
Income:                                                                                                                                                 
   Governmental receipts................................       5.5         2.3         6.3         6.6         7.0         7.4         7.8         8.3  
   Proprietary receipts.................................       *           *           *           *           *           *           *           *    
   Receipts from Federal funds:                                                                                                                         
     Interest...........................................       0.8         0.8         0.6         0.6         0.6         0.7         0.7         0.9  
     Other..............................................       0.1         0.1         0.1         0.1         0.1         0.1         0.1         0.1  
   Receipts from Trust funds............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, income.................................       6.4         3.2         6.9         7.3         7.7         8.2         8.7         9.3  
Outgo:                                                                                                                                                  
   To the public........................................       7.4         6.3         6.6         6.8         6.5         6.5         6.5         6.7  
   Payments to Other funds..............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, outgo..................................       7.4         6.3         6.6         6.8         6.5         6.5         6.5         6.7  
Change in fund balance:                                                                                                                                 
   Surplus or deficit (-):                                                                                                                              
     Excluding interest.................................      -1.8        -3.9        -0.2        -*           0.6         1.0         1.5         1.8  
     Interest...........................................       0.8         0.8         0.6         0.6         0.6         0.7         0.7         0.9  
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, surplus or deficit (-).................      -1.0        -3.1         0.4         0.5         1.2         1.7         2.2         2.6  
   Adjustments:                                                                                                                                         
     Transfers/lapses (net).............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
     Other adjustments..................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
     Total, change in fund balance......................      -1.0        -3.1         0.4         0.5         1.2         1.7         2.2         2.6  
                                                         ===============================================================================================
[[Page 264]]
Balance, end of year....................................      11.4         8.3         8.7         9.2        10.4        12.1        14.3        17.0  
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                        
         Federal Employees Health Benefits Fund                                                                                                         
                                                                                                                                                        
Balance, start of year..................................       7.5         7.8         7.9         8.1         8.6         9.2         9.7        10.0  
Income:                                                                                                                                                 
  Governmental receipts.................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
   Proprietary receipts.................................       4.0         4.0         4.2         4.5         5.5         5.9         6.2         6.6  
   Receipts from Federal funds:                                                                                                                         
    Interest............................................       0.4         0.4         0.4         0.4         0.4         0.4         0.4         0.4  
    Other...............................................      11.8        11.5        12.1        12.9        13.1        13.8        14.5        15.5  
   Receipts from Trust funds............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, income.................................      16.2        15.9        16.7        17.8        19.0        20.2        21.1        22.6  
Outgo:                                                                                                                                                  
   To the public........................................      15.9        15.9        16.5        17.3        18.4        19.6        20.8        22.2  
   Payments to Other funds..............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, outgo..................................      15.9        15.9        16.5        17.3        18.4        19.6        20.8        22.2  
Change in fund balance:                                                                                                                                 
   Surplus or deficit (-):                                                                                                                              
     Excluding interest.................................      -0.1        -0.4        -0.2         0.1         0.2         0.1        -0.1        -*    
     Interest...........................................       0.4         0.4         0.4         0.4         0.4         0.4         0.4         0.4  
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, surplus or deficit (-).................       0.3         0.1         0.2         0.5         0.6         0.5         0.3         0.4  
   Adjustments:                                                                                                                                         
     Transfers/lapses (net).............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
     Other adjustments..................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
     Total, change in fund balance......................       0.3         0.1         0.2         0.5         0.6         0.5         0.3         0.4  
                                                         ===============================================================================================
Balance, end of year....................................       7.8         7.9         8.1         8.6         9.2         9.7        10.0        10.4  
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                        
       Federal Civilian Employees Retirement Funds                                                                                                      
                                                                                                                                                        
Balance, start of year..................................     346.4       374.3       403.0       431.1       459.0       487.7       517.1       547.7  
Income:                                                                                                                                                 
   Governmental receipts................................       4.5         4.5         4.6         4.7         4.7         4.8         4.8         4.9  
   Proprietary receipts.................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
   Receipts from Federal funds:                                                                                                                         
     Interest...........................................      28.7        29.9        30.5        30.9        31.4        31.6        32.0        32.7  
     Other..............................................      33.6        34.5        35.2        36.5        38.8        41.5        44.3        47.1  
   Receipts from Trust funds............................       *           *           *           *           *           *           *           *    
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, income.................................      66.8        68.9        70.3        72.1        74.9        77.8        81.2        84.7  
Outgo:                                                                                                                                                  
   To the public........................................      38.9        40.2        42.1        44.1        46.2        48.4        50.7        53.4  
   Payments to Other funds..............................       *           *           *           *           *           *           *           *    
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, outgo..................................      38.9        40.2        42.1        44.1        46.2        48.4        50.7        53.4  
Change in fund balance:                                                                                                                                 
   Surplus or deficit (-):                                                                                                                              
     Excluding interest.................................      -0.8        -1.2        -2.4        -2.9        -2.7        -2.2        -1.5        -1.4  
     Interest...........................................      28.7        29.9        30.5        30.9        31.4        31.6        32.0        32.7  
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, surplus or deficit (-).................      27.9        28.7        28.1        28.0        28.7        29.4        30.5        31.3  
   Adjustments:                                                                                                                                         
     Transfers/lapses (net).............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
     Other adjustments..................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
     Total, change in fund balance......................      27.9        28.7        28.1        28.0        28.7        29.4        30.5        31.3  
                                                         ===============================================================================================
Balance, end of year....................................     374.3       403.0       431.1       459.0       487.7       517.1       547.7       579.0  
--------------------------------------------------------------------------------------------------------------------------------------------------------
[[Page 265]]
                                                                                                                                                        
   Federal Old-Age, Survivors and Disability Insurance                                                                                                  
                       Trust Funds                                                                                                                      
                                                                                                                                                        
Balance, start of year..................................     422.7       483.2       548.2       621.1       698.5       782.8       874.4       971.5  
Income:                                                                                                                                                 
   Governmental receipts................................     351.1       367.4       388.0       406.3       427.8       450.0       471.2       494.6  
   Proprietary receipts.................................       *           *           *           *           *           *           *           *    
   Receipts from Federal funds:                                                                                                                         
     Interest...........................................      33.3        36.4        39.4        42.4        45.5        48.9        52.6        56.6  
     Other..............................................      14.1        14.5        15.8        16.9        18.0        19.3        20.5        21.9  
   Receipts from Trust funds............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, income.................................     398.5       418.4       443.2       465.7       491.3       518.1       544.2       573.2  
Outgo:                                                                                                                                                  
   To the public........................................     333.6       349.0       366.1       384.1       402.6       422.2       442.8       464.4  
   Payments to Other funds..............................       4.5         4.4         4.1         4.2         4.3         4.3         4.4         4.4  
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, outgo..................................     338.1       353.4       370.2       388.3       406.9       426.5       447.2       468.9  
Change in fund balance:                                                                                                                                 
   Surplus or deficit (-):                                                                                                                              
     Excluding interest.................................      27.1        28.6        33.6        34.9        38.9        42.7        44.5        47.7  
     Interest...........................................      33.3        36.4        39.4        42.4        45.5        48.9        52.6        56.6  
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, surplus or deficit (-).................      60.4        65.0        73.0        77.3        84.3        91.6        97.1       104.3  
   Adjustments:                                                                                                                                         
     Transfers/lapses (net).............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
     Other adjustments..................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
     Total, change in fund balance......................      60.4        65.0        73.0        77.3        84.3        91.6        97.1       104.3  
                                                         ===============================================================================================
Balance, end of year....................................     483.2       548.2       621.1       698.5       782.8       874.4       971.5     1,075.8  
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                        
            Foreign Military Sales Trust Fund                                                                                                           
                                                                                                                                                        
Balance, start of year..................................       6.4         5.5         5.3         5.2         5.2         5.0         5.2         5.3  
Income:                                                                                                                                                 
   Governmental receipts................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
   Proprietary receipts.................................      12.5        13.0        12.2        11.3        10.3        10.2         9.9         9.4  
   Receipts from Federal funds:                                                                                                                         
     Interest...........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
     Other..............................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
   Receipts from Trust funds............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, income.................................      12.5        13.0        12.2        11.3        10.3        10.2         9.9         9.4  
Outgo:                                                                                                                                                  
   To the public........................................      13.4        13.2        12.3        11.3        10.5        10.0         9.7         9.4  
   Payments to Other funds..............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, outgo..................................      13.4        13.2        12.3        11.3        10.5        10.0         9.7         9.4  
Change in fund balance:                                                                                                                                 
   Surplus or deficit (-):                                                                                                                              
     Excluding interest.................................      -0.9        -0.1        -0.1        -0.1        -0.2         0.2         0.1        -0.1  
     Interest...........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, surplus or deficit (-).................      -0.9        -0.1        -0.1        -0.1        -0.2         0.2         0.1        -0.1  
   Adjustments:                                                                                                                                         
     Transfers/lapses (net).............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
     Other adjustments..................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
     Total, change in fund balance......................      -0.9        -0.1        -0.1        -0.1        -0.2         0.2         0.1        -0.1  
                                                         ===============================================================================================
Balance, end of year....................................       5.5         5.3         5.2         5.2         5.0         5.2         5.3         5.3  
--------------------------------------------------------------------------------------------------------------------------------------------------------
[[Page 266]]                                                                                                                                                        
                   Highway Trust Fund                                                                                                                   
                                                                                                                                                        
Balance, start of year..................................      17.9        19.0        21.4        23.9        27.6        33.1        41.1        50.8  
Income:                                                                                                                                                 
   Governmental receipts................................      22.6        24.6        24.9        25.2        25.7        26.1        26.6        27.1  
   Proprietary receipts.................................       *           *           *           *           *           *           *           *    
   Receipts from Federal funds:                                                                                                                         
     Interest...........................................       1.2         1.3         1.4         1.5         1.7         2.0         2.4         2.8  
     Other..............................................       0.1         0.1         0.1         0.1         0.1         0.1         0.1         0.1  
   Receipts from Trust funds............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, Income.................................      23.9        26.0        26.4        26.9        27.5        28.2        29.0        30.0  
Outgo:                                                                                                                                                  
   To the public........................................      22.7        23.6        23.9        23.2        22.0        20.2        19.3        20.4  
   Payments to Other funds..............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, Outgo..................................      22.7        23.6        23.9        23.2        22.0        20.2        19.3        20.4  
Change in fund balance:                                                                                                                                 
   Surplus or deficit:                                                                                                                                  
     Excluding interest.................................      -*           1.1         1.1         2.1         3.8         6.0         7.4         6.8  
     Interest...........................................       1.2         1.3         1.4         1.5         1.7         2.0         2.4         2.8  
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, surplus or deficit.....................       1.1         2.4         2.5         3.6         5.5         8.0         9.7         9.6  
   Adjustments:                                                                                                                                         
     Transfers/lapses (net).............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
     Other adjustments..................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
     Total, Change in fund balance......................       1.1         2.4         2.5         3.6         5.5         8.0         9.7         9.6  
                                                         ===============================================================================================
Balance, End of Year....................................      19.0        21.4        23.9        27.6        33.1        41.1        50.8        60.4  
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                        
  Medicare: Federal Hospital Insurance (HI) Trust Fund                                                                                                  
                                                                                                                                                        
Balance, start of year..................................     129.6       129.5       123.4       126.5       128.8       130.1       133.2       131.9  
Income:                                                                                                                                                 
   Governmental receipts................................      96.0       101.8       108.8       114.3       120.5       126.9       133.1       139.9  
   Proprietary receipts.................................       1.0         1.1         1.1         1.2         1.2         1.3         1.4         1.5  
   Receipts from Federal funds:                                                                                                                         
     Interest...........................................      10.9        10.5         9.9         9.7         9.5        11.1         8.8         8.3  
     Other..............................................       7.0         7.0         7.4         7.5         7.9         8.4         8.8         9.3  
   Receipts from Trust funds............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, income.................................     114.8       120.5       127.2       132.7       139.1       147.7       152.1       159.1  
Outgo:                                                                                                                                                  
   To the public........................................     114.9       126.5       124.2       130.3       137.9       144.5       153.5       162.9  
   Payments to Other funds..............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, outgo..................................     114.9       126.5       124.2       130.3       137.9       144.5       153.5       162.9  
Change in fund balance:                                                                                                                                 
   Surplus or deficit (-):                                                                                                                              
     Excluding interest.................................     -10.9       -16.6        -6.9        -7.4        -8.2        -8.0       -10.2       -12.1  
     Interest...........................................      10.9        10.5         9.9         9.7         9.5        11.1         8.8         8.3  
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, surplus or deficit (-).................      -*          -6.1         3.0         2.3         1.2         3.2        -1.4        -3.8  
   Adjustments:                                                                                                                                         
     Transfers/lapses (net).............................      -*      ..........  ..........  ..........  ..........  ..........  ..........  ..........
     Other adjustments..................................      -*           *      ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
     Total, change in fund balance......................      -*          -6.1         3.0         2.3         1.2         3.2        -1.4        -3.8  
                                                         ===============================================================================================
Balance, end of year....................................     129.5       123.4       126.5       128.8       130.1       133.2       131.9       128.0  
--------------------------------------------------------------------------------------------------------------------------------------------------------
[[Page 267]]                                                                                                                                                        
 Medicare: Federal Supplementary Medical Insurance (SMI)                                                                                                
                       Trust Fund                                                                                                                       
                                                                                                                                                        
Balance, start of year..................................      20.9        13.9        24.8        27.3        28.2        29.3        30.6        33.5  
Income:                                                                                                                                                 
   Governmental receipts................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
   Proprietary receipts.................................      19.2        18.7        18.9        20.4        22.3        24.3        27.1        30.0  
   Receipts from Federal funds:                                                                                                                         
     Interest...........................................       1.9         1.8         2.2         2.3         2.3         2.2         2.2         2.3  
     Other..............................................      37.0        61.3        67.3        74.3        80.6        87.0        96.9       106.7  
   Receipts from Trust funds............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, income.................................      58.2        81.9        88.4        97.0       105.2       113.5       126.3       139.0  
Outgo:                                                                                                                                                  
   To the public........................................      65.2        70.9        85.9        96.2       104.0       112.2       123.4       135.6  
   Payments to Other funds..............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, outgo..................................      65.2        70.9        85.9        96.2       104.0       112.2       123.4       135.6  
Change in fund balance:                                                                                                                                 
   Surplus or deficit (-):                                                                                                                              
     Excluding interest.................................      -9.0         9.2         0.3        -1.5        -1.1        -0.9         0.6         1.1  
     Interest...........................................       1.9         1.8         2.2         2.3         2.3         2.2         2.2         2.3  
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, surplus or deficit (-).................      -7.0        11.0         2.5         0.8         1.1         1.3         2.9         3.4  
   Adjustments:                                                                                                                                         
     Transfers/lapses (net).............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
     Other adjustments..................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
     Total, change in fund balance......................      -7.0        11.0         2.5         0.8         1.1         1.3         2.9         3.4  
                                                         ===============================================================================================
Balance, end of year....................................      13.9        24.8        27.3        28.2        29.3        30.6        33.5        36.9  
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                        
                Military Retirement Fund                                                                                                                
                                                                                                                                                        
Balance, start of year..................................     119.9       126.7       131.0       134.7       137.5       140.0       142.4       144.8  
Income:                                                                                                                                                 
   Governmental receipts................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
   Proprietary receipts.................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
   Receipts from Federal funds:                                                                                                                         
     Interest...........................................      10.9        10.9        11.0        11.2        11.4        11.7        11.9        12.1  
     Other..............................................      23.7        21.9        22.4        22.3        23.0        23.7        24.5        25.4  
   Receipts from Trust funds............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, income.................................      34.6        32.8        33.4        33.5        34.4        35.3        36.4        37.5  
Outgo:                                                                                                                                                  
   To the public........................................      27.8        28.5        29.7        30.8        31.9        32.9        34.0        35.1  
   Payments to Other funds..............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, outgo..................................      27.8        28.5        29.7        30.8        31.9        32.9        34.0        35.1  
Change in fund balance:                                                                                                                                 
   Surplus or deficit (-):                                                                                                                              
     Excluding interest.................................      -4.1        -6.6        -7.3        -8.4        -8.9        -9.3        -9.5        -9.7  
     Interest...........................................      10.9        10.9        11.0        11.2        11.4        11.7        11.9        12.1  
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, surplus or deficit (-).................       6.8         4.3         3.7         2.8         2.5         2.4         2.4         2.4  
   Adjustments:                                                                                                                                         
     Transfers/lapses (net).............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
     Other adjustments..................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
     Total, change in fund balance......................       6.8         4.3         3.7         2.8         2.5         2.4         2.4         2.4  
                                                         ===============================================================================================
Balance, end of year....................................     126.7       131.0       134.7       137.5       140.0       142.4       144.8       147.3  
--------------------------------------------------------------------------------------------------------------------------------------------------------
[[Page 268]]                                                                                                                                                        
             Railroad Retirement Trust Funds                                                                                                            
                                                                                                                                                        
Balance, start of year..................................      13.1        14.4        15.0        15.6        16.3        16.9        17.6        18.3  
Income:                                                                                                                                                 
   Governmental receipts................................       3.9         3.9         4.0         4.0         4.0         4.1         4.1         4.1  
   Proprietary receipts.................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
   Receipts from Federal funds:                                                                                                                         
     Interest...........................................       1.0         0.8         0.8         0.8         0.8         0.9         0.9         0.9  
     Other..............................................       3.3         3.4         3.5         3.6         3.6         3.7         3.7         3.8  
   Receipts from Trust funds............................       4.1         3.8         3.8         3.9         3.9         4.0         4.0         4.1  
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, income.................................      12.4        11.9        12.1        12.3        12.4        12.6        12.8        12.9  
Outgo:                                                                                                                                                  
   To the public........................................       7.9         7.9         8.1         8.2         8.3         8.4         8.5         8.6  
   Payments to Other funds..............................       3.3         3.3         3.4         3.4         3.5         3.6         3.6         3.7  
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, outgo..................................      11.2        11.3        11.5        11.6        11.7        11.9        12.1        12.2  
Change in fund balance:                                                                                                                                 
   Surplus or deficit (-):                                                                                                                              
     Excluding interest.................................       0.2        -0.2        -0.2        -0.2        -0.2        -0.2        -0.2        -0.2  
     Interest...........................................       1.0         0.8         0.8         0.8         0.8         0.9         0.9         0.9  
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, surplus or deficit (-).................       1.2         0.6         0.6         0.6         0.7         0.7         0.7         0.7  
   Adjustments:                                                                                                                                         
     Transfers/lapses (net).............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
     Other adjustments..................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
     Total, change in fund balance......................       1.2         0.6         0.6         0.6         0.7         0.7         0.7         0.7  
                                                         ===============================================================================================
Balance, end of year....................................      14.4        15.0        15.6        16.3        16.9        17.6        18.3        19.1  
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                        
                 Unemployment Trust Fund                                                                                                                
                                                                                                                                                        
Balance, start of year..................................      40.3        47.9        54.2        60.6        67.5        74.5        81.6        88.3  
Income:                                                                                                                                                 
   Governmental receipts................................      28.9        29.8        30.8        31.6        32.3        33.0        33.8        35.9  
   Proprietary receipts.................................       *      ..........  ..........  ..........  ..........  ..........  ..........  ..........
   Receipts from Federal funds:                                                                                                                         
     Interest...........................................       2.7         3.4         3.6         4.0         4.3         4.4         4.6         4.7  
     Other..............................................       1.2         0.7         0.7         0.7         0.7         0.7         0.7         0.7  
   Receipts from Trust funds............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, income.................................      32.8        33.8        35.1        36.3        37.3        38.2        39.1        41.3  
Outgo:                                                                                                                                                  
   To the public........................................      25.3        27.5        28.7        29.4        30.2        31.1        32.3        33.6  
   Payments to Other funds..............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, outgo..................................      25.3        27.5        28.7        29.4        30.2        31.1        32.3        33.6  
Change in fund balance:                                                                                                                                 
   Surplus or deficit (-):                                                                                                                              
     Excluding interest.................................       4.8         3.0         2.8         2.9         2.8         2.6         2.2         3.1  
     Interest...........................................       2.7         3.4         3.6         4.0         4.2         4.4         4.6         4.7  
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, surplus or deficit (-).................       7.5         6.3         6.4         6.9         7.1         7.0         6.8         7.8  
   Adjustments:                                                                                                                                         
     Transfers/lapses (net).............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
     Other adjustments..................................      -*          -*          -*      ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
     Total, change in fund balance......................       7.5         6.3         6.4         6.9         7.1         7.0         6.8         7.8  
                                                         ===============================================================================================
Balance, end of year....................................      47.9        54.2        60.6        67.5        74.5        81.6        88.3        96.1  
--------------------------------------------------------------------------------------------------------------------------------------------------------
[[Page 269]]                                                                                                                                                        
           Veterans Life Insurance Trust Funds                                                                                                          
                                                                                                                                                        
Balance, start of year..................................      13.5        13.6        13.6        13.5        13.3        13.5        13.7        13.7  
Income:                                                                                                                                                 
   Governmental receipts................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
   Proprietary receipts.................................       0.9         0.9         0.9         0.8         0.8         0.8         0.8         0.7  
   Receipts from Federal funds:                                                                                                                         
     Interest...........................................       1.2         1.2         1.1         1.1         1.0         1.0         0.9         0.9  
     Other..............................................       *           *           *           *           *           *           *           *    
   Receipts from Trust funds............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, income.................................       2.1         2.1         2.0         1.9         1.8         1.7         1.7         1.6  
Outgo:                                                                                                                                                  
   To the public........................................       2.0         2.2         2.1         2.1         1.6         1.6         1.6         1.6  
   Payments to Other funds..............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, outgo..................................       2.0         2.2         2.1         2.1         1.6         1.6         1.6         1.6  
Change in fund balance:                                                                                                                                 
   Surplus or deficit (-):                                                                                                                              
     Excluding interest.................................      -1.1        -1.3        -1.2        -1.3        -0.8        -0.8        -0.8        -0.8  
     Interest...........................................       1.2         1.2         1.1         1.1         1.0         1.0         0.9         0.9  
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, surplus or deficit (-).................       0.1        -0.1        -0.1        -0.2         0.2         0.1         0.1    ..........
   Adjustments:                                                                                                                                         
     Transfers/lapses (net).............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
     Other adjustments..................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
     Total, change in fund balance......................       0.1        -0.1        -0.1        -0.2         0.2         0.1         0.1    ..........
                                                         ===============================================================================================
Balance, end of year....................................      13.6        13.6        13.5        13.3        13.5        13.7        13.7        13.8  
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                        
                    Other Trust Funds                                                                                                                   
                                                                                                                                                        
Balance, start of year..................................      32.4        35.2        36.9        40.4        43.5        46.7        50.1        53.7  
Income:                                                                                                                                                 
   Governmental receipts................................       4.4         3.4         5.3         5.0         5.2         5.4         5.5         5.7  
   Proprietary receipts.................................       3.3         3.1         3.1         3.1         3.1         3.1         3.2         3.2  
   Receipts from Federal funds:                                                                                                                         
     Interest...........................................       1.8         1.9         1.9         1.9         1.9         1.9         1.9         2.0  
     Other..............................................       1.7         2.2         1.9         1.9         1.9         2.0         2.0         2.0  
   Receipts from Trust funds............................  ..........  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, income.................................      11.3        10.5        12.2        11.9        12.0        12.3        12.6        12.9  
Outgo:                                                                                                                                                  
   To the public........................................       8.0         8.3         8.2         8.2         8.4         8.4         8.5         8.7  
   Payments to Other funds..............................       0.4         0.5         0.5         0.5         0.5         0.5         0.5         0.6  
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, outgo..................................       8.5         8.7         8.7         8.7         8.9         8.9         9.1         9.2  
Change in fund balance:                                                                                                                                 
   Surplus or deficit (-):                                                                                                                              
     Excluding interest.................................       1.0        -0.1         1.6         1.3         1.3         1.5         1.6         1.7  
     Interest...........................................       1.8         1.9         1.9         1.9         1.9         1.9         1.9         2.0  
                                                         -----------------------------------------------------------------------------------------------
       Subtotal, surplus or deficit (-).................       2.8         1.8         3.5         3.2         3.2         3.4         3.6         3.7  
   Adjustments:                                                                                                                                         
     Transfers/lapses (net).............................      -0.1        -*          -*      ..........  ..........  ..........  ..........  ..........
     Other adjustments..................................       *           *          -*      ..........  ..........  ..........  ..........  ..........
                                                         -----------------------------------------------------------------------------------------------
     Total, change in fund balance......................       2.8         1.8         3.5         3.2         3.2         3.4         3.6         3.7  
                                                         ===============================================================================================
Balance, end of year....................................      35.2        36.9        40.4        43.5        46.7        50.1        53.7        57.3  
--------------------------------------------------------------------------------------------------------------------------------------------------------
*Less than $50 million.                                                                                                                                 

[[Page 270]]
                                           Table 16-4.  INCOME, OUTGO, AND BALANCES OF SELECTED FEDERAL FUNDS                                           
                                                                (In billions of dollars)                                                                
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                      Estimate                          
                                                                                   1995   --------------------------------------------------------------
                                                                                  actual     1996     1997     1998     1999     2000     2001     2002 
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                        
                    Overseas Private Investment Corporation                                                                                             
                                                                                                                                                        
Balance, start of year.........................................................      1.9      2.1      2.2      2.4      2.6      2.8      3.1      3.3 
Income:                                                                                                                                                 
   Governmental receipts.......................................................  ........  .......  .......  .......  .......  .......  .......  .......
   Proprietary receipts........................................................      0.1      0.1      0.1      0.1      0.1      0.1      0.1      0.1 
   Receipts from Federal funds:                                                                                                                         
     Interest..................................................................      0.1      0.1      0.2      0.2      0.2      0.2      0.2      0.2 
     Other.....................................................................      *        *        *        *        *        *        *        *   
   Receipts from Trust funds...................................................  ........  .......  .......  .......  .......  .......  .......  .......
                                                                                ------------------------------------------------------------------------
       Subtotal, income........................................................      0.2      0.2      0.3      0.3      0.3      0.3      0.3      0.3 
Outgo:                                                                                                                                                  
   To the public...............................................................      *        *        *        *        *        *        *        *   
   Payments to Other funds.....................................................  ........  .......  .......  .......  .......  .......  .......  .......
                                                                                ------------------------------------------------------------------------
       Subtotal, outgo.........................................................      *        *        *        *        *        *        *        *   
Change in fund balance:                                                                                                                                 
   Surplus or deficit (-):                                                                                                                              
     Excluding interest........................................................      0.1      0.1      0.1      0.1      0.1      0.1      0.1      0.1 
     Interest..................................................................      0.1      0.1      0.2      0.2      0.2      0.2      0.2      0.2 
                                                                                ------------------------------------------------------------------------
       Subtotal, surplus or deficit (-)........................................      0.2      0.2      0.2      0.2      0.2      0.2      0.2      0.2 
   Adjustments:                                                                                                                                         
     Transfers/lapses (net)....................................................     -0.1     -*       -0.1   .......  .......  .......  .......  .......
     Other adjustments.........................................................  ........    -*       -*     .......  .......  .......  .......  .......
                                                                                ------------------------------------------------------------------------
     Total, change in fund balance.............................................      0.1      0.2      0.1      0.2      0.2      0.2      0.2      0.2 
                                                                                ========================================================================
Balance, end of year...........................................................      2.1      2.2      2.4      2.6      2.8      3.1      3.3      3.5 
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                        
                        Abandoned Mine Reclamation Fund                                                                                                 
                                                                                                                                                        
Balance, start of year.........................................................      1.5      1.6      1.8      1.9      1.9      2.0      2.1      2.3 
Income:                                                                                                                                                 
   Governmental receipts.......................................................      0.2      0.3      0.3      0.3      0.3      0.3      0.3      0.3 
   Proprietary receipts........................................................      *        *        *        *        *        *        *        *   
   Receipts from Federal funds:                                                                                                                         
     Interest..................................................................  ........  .......  .......  .......  .......  .......  .......  .......
     Other.....................................................................  ........  .......  .......  .......  .......  .......  .......  .......
   Receipts from Trust funds...................................................  ........  .......  .......  .......  .......  .......  .......  .......
                                                                                ------------------------------------------------------------------------
       Subtotal, income........................................................      0.3      0.3      0.3      0.3      0.3      0.3      0.3      0.3 
Outgo:                                                                                                                                                  
   To the public...............................................................      0.2      0.2      0.3      0.3      0.3      0.2      0.2      0.2 
   Payments to Other funds.....................................................     -0.1     -0.1     -0.1     -0.1     -0.1     -0.1     -0.1     -0.1 
                                                                                ------------------------------------------------------------------------
       Subtotal, outgo.........................................................      0.1      0.1      0.2      0.2      0.2      0.2      0.2      0.2 
Change in fund balance:                                                                                                                                 
   Surplus or deficit (-):                                                                                                                              
     Excluding interest........................................................      0.1      0.2      0.1      0.1      0.1      0.1      0.1      0.1 
     Interest..................................................................  ........  .......  .......  .......  .......  .......  .......  .......
                                                                                ------------------------------------------------------------------------
       Subtotal, surplus or deficit (-)........................................      0.1      0.2      0.1      0.1      0.1      0.1      0.1      0.1 
   Adjustments:                                                                                                                                         
     Transfers/lapses (net)....................................................  ........  .......  .......  .......  .......  .......  .......  .......
     Other adjustments.........................................................      *        *        *     .......  .......  .......  .......  .......
                                                                                ------------------------------------------------------------------------
     Total, change in fund balance.............................................      0.1      0.2      0.1      0.1      0.1      0.1      0.1      0.1 
                                                                                ========================================================================
Balance, end of year...........................................................      1.6      1.8      1.9      1.9      2.0      2.1      2.3      2.4 
--------------------------------------------------------------------------------------------------------------------------------------------------------
[[Page 271]]                                                                                                                                                        
                          Nuclear Waste Disposal Fund                                                                                                   
                                                                                                                                                        
Balance, start of year.........................................................      4.2      4.7      5.3      6.1      6.6      7.4      8.4      9.4 
Income:                                                                                                                                                 
   Governmental receipts.......................................................  ........  .......  .......  .......  .......  .......  .......  .......
   Proprietary receipts........................................................      0.6      0.6      0.6      0.6      0.6      0.6      0.6      0.7 
   Receipts from Federal funds:                                                                                                                         
     Interest..................................................................  ........  .......  .......  .......  .......  .......  .......  .......
     Other.....................................................................  ........  .......  .......  .......  .......  .......  .......  .......
   Receipts from Trust funds...................................................  ........  .......  .......  .......  .......  .......  .......  .......
                                                                                ------------------------------------------------------------------------
       Subtotal, income........................................................      0.6      0.6      0.6      0.6      0.6      0.6      0.6      0.7 
Outgo:                                                                                                                                                  
   To the public...............................................................      0.4      0.2      0.2      0.6      0.2      0.2      0.2      0.2 
   Payments to Other funds.....................................................     -0.2     -0.3     -0.3     -0.4     -0.4     -0.5     -0.5     -0.6 
                                                                                ------------------------------------------------------------------------
       Subtotal, outgo.........................................................      0.2     -*       -0.1      0.2     -0.2     -0.3     -0.4     -0.4 
Change in fund balance:                                                                                                                                 
   Surplus or deficit (-):                                                                                                                              
     Excluding interest........................................................      0.4      0.7      0.8      0.5      0.9      0.9      1.0      1.0 
     Interest..................................................................  ........  .......  .......  .......  .......  .......  .......  .......
                                                                                ------------------------------------------------------------------------
       Subtotal, surplus or deficit (-)........................................      0.4      0.7      0.8      0.5      0.9      0.9      1.0      1.0 
   Adjustments:                                                                                                                                         
     Transfers/lapses (net)....................................................  ........  .......  .......  .......  .......  .......  .......  .......
     Other adjustments.........................................................  ........  .......  .......  .......  .......  .......  .......  .......
                                                                                ------------------------------------------------------------------------
     Total, change in fund balance.............................................      0.4      0.7      0.8      0.5      0.9      0.9      1.0      1.0 
                                                                                ========================================================================
Balance, end of year...........................................................      4.7      5.3      6.1      6.6      7.4      8.4      9.4     10.4 
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                                        
          Uranium Enrichment Decontamination and Decommissioning Fund                                                                                   
                                                                                                                                                        
Balance, start of year.........................................................      0.3      0.3      0.5      0.8      1.2      1.7      2.1      2.6 
Income:                                                                                                                                                 
   Governmental receipts.......................................................      0.2      0.1      0.2      0.2      0.2      0.2      0.2      0.2 
   Proprietary receipts........................................................  ........  .......     *        *        *        *        *        *   
   Receipts from Federal funds:                                                                                                                         
     Interest..................................................................  ........  .......  .......  .......  .......  .......  .......  .......
     Other.....................................................................  ........  .......  .......  .......  .......  .......  .......  .......
   Receipts from Trust funds...................................................  ........  .......  .......  .......  .......  .......  .......  .......
                                                                                ------------------------------------------------------------------------
       Subtotal, income........................................................      0.2      0.1      0.2      0.2      0.2      0.2      0.2      0.2 
Outgo:                                                                                                                                                  
   To the public...............................................................      0.3      0.3      0.3      0.2      0.2      0.2      0.2      0.2 
   Payments to Other funds.....................................................     -0.2     -0.4     -0.4     -0.4     -0.4     -0.4     -0.4     -0.4 
                                                                                ------------------------------------------------------------------------
       Subtotal, outgo.........................................................      0.2     -0.1     -0.1     -0.2     -0.2     -0.2     -0.2     -0.2 
Change in fund balance:                                                                                                                                 
   Surplus or deficit (-):                                                                                                                              
     Excluding interest........................................................     -*        0.2      0.4      0.4      0.4      0.5      0.5      0.4 
     Interest..................................................................  ........  .......  .......  .......  .......  .......  .......  .......
                                                                                ------------------------------------------------------------------------
       Subtotal, surplus or deficit (-)........................................     -*        0.2      0.4      0.4      0.4      0.5      0.5      0.4 
   Adjustments:                                                                                                                                         
     Transfers/lapses (net)....................................................     -*     .......  .......  .......  .......  .......  .......  .......
     Other adjustments.........................................................  ........  .......  .......  .......  .......  .......  .......  .......
                                                                                ------------------------------------------------------------------------
     Total, change in fund balance.............................................     -*        0.2      0.4      0.4      0.4      0.5      0.5      0.4 
                                                                                ========================================================================
Balance, end of year...........................................................      0.3      0.5      0.8      1.2      1.7      2.1      2.6      3.0 
--------------------------------------------------------------------------------------------------------------------------------------------------------
*Less than $50 million.