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



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                      OTHER TECHNICAL PRESENTATIONS

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                    15. 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 recent legislative changes to the Highway Trust Fund and the 
reclassification of most Indian tribal trust funds as non-budgetary. 
Information is also provided about the income and outgo of four Federal 
funds that are financed by earmarked collections similar to trust funds. 
This section does not reflect the President's proposed reform of the 
Social Security system.

                           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 financing 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 earmark collections for spending on specific purposes. 
Where the law requires that Federal fund collections from a specified 
source be earmarked to finance a particular program, such as a portion 
of the Outer Continental Shelf mineral leasing revenues 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 Fund, 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. Like special funds and revolving funds, they earmark 
collections for spending on specific purposes. 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 and transit construction, and airport and airway development. 
There are a few trust revolving funds that are credited with collections 
earmarked by law to carry out a cycle of business-type operations. Trust 
funds also include a few small funds established to carry out the terms 
of a conditional gift, bequest, or court settlement.
   There is no substantive difference between trust funds and special 
funds or between revolving funds and trust revolving funds. Whether a 
particular fund is designated in law as a trust fund is, in many cases, 
arbitrary. 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 payments to veterans' beneficiaries. \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 the 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 unilaterally 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 these funds. Other 
amounts are held in deposit funds by the Government as a custodian on 
behalf of some entity outside the Government. The Government makes no 
decisions about the amount of these deposits or how they are spent. 
Therefore, they are considered to be non-budgetary instead of Federal 
trust funds and are excluded from the Federal budget.
   A trust fund must use its income for the purposes designated by law. 
Some, such as the Federal Employees Health Benefits fund, spend their 
income almost

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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 a Federal funds deficit.
   A trust fund normally consists of one or more receipt accounts (to 
record income) and an expenditure account (to record outgo). However, a 
few trust funds, such as the Veterans Special Life Insurance fund, 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 15-1 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 the consolidated income and outgo for 
the fund group as a whole. 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 15-1 and are not shown separately.
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  \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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   Some funds in the Federal funds group and some trust funds are 
authorized to borrow from the general fund of the Treasury. \4\ Borrowed 
funds are not recorded as receipts and are excluded from the income of 
the fund. The borrowed funds finance outlays by the fund in excess of 
available receipts. Subsequently, fund receipts are transferred from the 
fund to the general fund in repayment of the borrowing. The repayment is 
not recorded as an outlay of the fund or included in fund outgo.
---------------------------------------------------------------------------
  \4\ For example, the Bonneville Power Administration Fund, a revolving 
fund in the Department of Energy, is authorized to borrow from the 
general fund, and the Black Lung Disability Trust Fund in the Department 
of Labor is authorized to receive appropriations of repayable advances 
from the general fund (a form of borrowing).
---------------------------------------------------------------------------
  In order to derive unified budget receipts and outlays, Table 15-1 
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 subtracting offsetting receipts is twofold.
     Offsetting receipts from the public.--Unified budget 
          receipts measure the amount of collections raised by the 
          Government in its sovereign capacity, and unified budget 
          outlays measure the amount of resources allocated by the 
          Government in a non-market capacity. Voluntary business-like 
          collections from the public need to be subtracted from the 
          income and outgo of the fund groups, respectively, to derive 
          these amounts.
     Offsetting receipts from other fund groups.--Unified budget 
          receipts and outlays measure the Government's net transactions 
          with the public. Interfund receipts need to be subtracted from 
          the income and outgo of the fund groups, respectively, to 
          derive these amounts.

               Income, Outgo, and Balances of Trust Funds

   Table 15-2 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 15-1 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 15-1. 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 approximately $25 billion in 1998. Table 
15-2, 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 are 
estimated to grow substantially, as they have over the past two decades.

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                      Table 15-1.  RECEIPTS, OUTLAYS, AND SURPLUS OR DEFICIT BY FUND GROUP
                                            (In billions of dollars)
----------------------------------------------------------------------------------------------------------------
                                                                            Estimate
                                        1998   -----------------------------------------------------------------
                                      actual       1999       2000       2001       2002       2003       2004
----------------------------------------------------------------------------------------------------------------
Receipts:
  Federal funds cash income:
    From the public................   1,151.1    1,182.4    1,232.3    1,256.5    1,311.6    1,346.8    1,409.0
    From trust funds...............       1.1        1.1        2.9        2.2        1.1        1.1        1.2
                                    ----------------------------------------------------------------------------
    Total, Federal funds cash
     income........................   1,152.2    1,183.5    1,235.2    1,258.7    1,312.7    1,348.0    1,410.2
  Trust funds cash income:
    From the public................     645.9      700.2      722.0      748.2      777.7      805.2      834.8
    From Federal funds:
      Interest.....................     115.5      120.8      126.8      132.0      139.9      148.4      157.1
      Other........................     146.0      152.9      161.2      172.6      182.9      193.5      203.8
                                    ----------------------------------------------------------------------------
        Total, trust funds cash
         income....................     907.4      973.9    1,010.0    1,052.8    1,100.5    1,147.2    1,195.8
  Offsetting receipts..............    -337.9     -351.1     -362.2     -378.1     -406.2     -420.1     -440.5
                                    ----------------------------------------------------------------------------
    Total, unified budget receipts.   1,721.8    1,806.3    1,883.0    1,933.3    2,007.1    2,075.0    2,165.5
 
Outlays:
  Federal funds cash outgo.........   1,244.2    1,294.0    1,302.7    1,311.3    1,330.0    1,371.9    1,414.2
  Trust funds cash outgo...........     746.2      784.2      825.2      866.0      896.5      941.2      984.2
  Offsetting receipts..............    -337.9     -351.1     -362.2     -378.1     -406.2     -420.1     -440.5
                                    ----------------------------------------------------------------------------
    Total, unified budget outlays..   1,652.6    1,727.1    1,765.7    1,799.2    1,820.3    1,893.0    1,957.9
 
Surplus or deficit (-):
  Federal funds....................     -92.0     -110.5      -67.5      -52.7      -17.3      -23.9       -4.0
  Trust funds......................     161.2      189.8      184.8      186.8      204.0      205.9      211.6
                                    ----------------------------------------------------------------------------
    Total, unified surplus/deficit
     (-)...........................      69.2       79.3      117.3      134.1      186.7      182.0      207.6
----------------------------------------------------------------------------------------------------------------
Note: Receipts include governmental, interfund, and proprietary receipts. They exclude intrafund receipts, which
  are offset against intrafund payments so that cash income and cash outgo are not overstated.

  The size of the anticipated balances is unprecedented, and it results mainly from relatively recent changes in 
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   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 1984 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.
   Primarily because of these changes, but also because of the impact of 
real growth and inflation, trust fund balances increased eightfold from 
1982 to 1998, from $205 billion to $1.6 trillion. Under the proposals in 
the President's budget, the balances are estimated to increase by 
approximately 70 percent by the year 2004, rising to $2.8 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. These 
funds are not set up to be pension funds, like the funds 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, have any impact on the Government's ability 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 a unified budget 
deficit or increases a unified budget surplus. This would reduce Federal 
borrowing

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                                              Table 15-2.  INCOME, OUTGO, AND BALANCES OF TRUST FUNDS GROUP
                                                                (In billions of dollars)
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                 Estimate
                                                                          1998   -----------------------------------------------------------------------
                                                                        actual       1999        2000        2001        2002        2003        2004
--------------------------------------------------------------------------------------------------------------------------------------------------------
                        Total Trust Funds \1\
 
Balance, start of year                                                 1,515.9     1,669.0     1,856.9     2,041.6     2,228.4     2,432.5     2,638.5
 
Income:
  Governmental receipts.............................................     609.5       660.8       685.2       709.5       736.9       763.7       792.2
  Proprietary receipts..............................................      43.9        47.2        45.4        47.8        50.6        51.9        53.7
  Receipts from Federal funds:
    Interest........................................................     115.7       120.9       126.9       133.8       141.6       150.1       158.8
    Other...........................................................     163.3       184.0       188.7       196.9       206.7       216.0       226.9
                                                                     -----------------------------------------------------------------------------------
      Subtotal, income..............................................     932.3     1,012.9     1,046.2     1,088.0     1,135.8     1,181.8     1,231.5
 
Outgo:
  To the public.....................................................     769.9       822.1       858.4       899.0       930.5       974.6     1,018.6
  Payments to Federal funds.........................................       1.1         1.1         2.9         2.2         1.1         1.2         1.2
                                                                     -----------------------------------------------------------------------------------
      Subtotal, outgo...............................................     771.0       823.2       861.4       901.2       931.7       975.8     1,019.8
 
Change in fund balance:
  Surplus or deficit (-):
    Excluding interest..............................................      45.6        68.8        57.9        53.0        62.5        55.9        53.0
    Interest........................................................     115.7       120.9       126.9       133.8       141.6       150.1       158.8
                                                                     -----------------------------------------------------------------------------------
      Subtotal, surplus or deficit (-)..............................     161.2       189.8       184.8       186.8       204.1       206.0       211.7
 
Adjustments:
  Transfers/lapses (net)............................................      -8.2       --*         --*      ..........  ..........  ..........  ..........
  Other adjustments.................................................       *         --*         --*      ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
    Total, change in fund balance...................................     153.1       189.7       184.8       186.8       204.1       206.0       211.7
                                                                     ===================================================================================
Balance, end of year                                                   1,669.0     1,858.7     2,041.6     2,228.4     2,432.5     2,638.5     2,850.2
--------------------------------------------------------------------------------------------------------------------------------------------------------
* Less than $50 million.
\1\ The difference between 1999 end of year balance and 2000 start of year balance is due to the removal of most tribal trust funds from the budget
  totals. See the discussion regarding changes in the budget classification of tribal trust funds in this chapter for additional information.

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, which would provide more real 
economic resources to support the benefits.
   Table 15-5, which appears at the end of the chapter, shows estimates 
of income, outgo, and balances for 1998 through 2004 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 15-2 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 15-6, which also appears at the end of this chapter, shows 
income, outgo, and balances of four Federal funds--a revolving fund and 
three 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.

Modifications to the Highway Trust Fund

   The Transportation Equity Act for the 21st Century (TEA-21), which 
became law June 9, 1998, made some important changes to the operation of 
the Highway Trust Fund. The Highway Trust Fund, which is composed of the 
highway account and the mass transit account, will continue to be 
financed by earmarked taxes on gasoline and other fuels. However, TEA-21 
provided that the Highway Trust Fund no longer receive interest earnings 
on its balances as of September 30, 1998. The Act also provided that 
highway account cash balances in excess of $8 billion be transferred to 
the General fund as of October 1, 1998. The cash balances of the mass 
transit account are not affected by this change. As shown in Table 15-5, 
the Highway Trust Fund balances are expected to remain at approximately 
$30 billion from 1999 to 2004.
   Other significant changes provided in TEA-21 that affect the Highway 
Trust Fund include the creation of separate budget categories for 
Federal highway and mass transit spending and the establishment of a 
linkage between Highway Trust Fund tax receipts and highway spending. 
TEA-21 also extends most highway-related taxes to 2005 and authorizes 
expenditures from

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the Highway Trust Fund for programs under the Act and previous 
authorization acts through 2003. Some of these changes are further 
discussed in Chapter 13, ``Preview Report.''

       Changes in the Budget Classification of Tribal Trust Funds

   Beginning in fiscal year 2000, the Federal budget totals exclude 
trust funds that are owned by Indian tribes and held and managed in a 
fiduciary capacity by the Government on the tribes' behalf. \5\ These 
tribal trust funds, together with other trust funds, have been included 
in the budget totals since the adoption of the unified budget in 1969. 
The legal obligations of the Secretary of the Interior, such as 
distributing interest earnings on certain trust funds to the Indian 
tribes, will remain unchanged, and the tribal trust funds will continue 
to be managed by the Federal government according to present law. 
Ownership of the trust fund assets, whether by the Government or the 
tribe, will also remain unchanged. As shown in Table 15-3, the 
Department of the Interior estimates that approximately $2 billion of 
assets in approximately 1,500 tribal trust funds are being removed from 
budgetary accounts as of fiscal year 2000. These figures are based on 
preliminary estimates; the actual amount of tribal trust fund assets to 
be removed from the budget will not be determined until the 
classification process is complete.
---------------------------------------------------------------------------
  \5\ Tribal funds classified as special funds in the Federal budget are 
also within the scope of this budgetary reclassification. For the 
purposes of this discussion, the term ``trust fund'' refers to special 
funds, as well as those accounts designated by law as trust funds.
---------------------------------------------------------------------------
   The transactions of all tribal trust funds are included in the 
Federal budget through fiscal year 1999. The budget does not include the 
transactions of the reclassified tribal trust funds after their removal 
from the budget in fiscal year 2000. As explained in more detail below, 
the transactions are instead included in the deposit fund totals 
compiled by the Treasury Department. The one-time transfer of on-budget 
tribal trust fund assets to non-budgetary deposit funds is not recorded 
as a budget outlay. The historical data on the budget will not be 
revised, due to the relatively small amount of transactions to be 
excluded from the budget and the difficulty of retroactively revising 
the numerous accounts affected by the reclassification.
   The Government currently holds $2.5 billion in approximately 1,600 
trust funds for roughly 315 Indian tribes. Over one-third of these 
assets are held on behalf of six Indian tribes. These trust funds are 
included in the Federal budget even though, in most cases, the assets of 
the fund are owned by the Indian tribes. The Government also holds $430 
million for individual Indians in about 300,000 accounts as of September 
30, 1998. These individual Indian accounts are classified as deposit 
funds, which are non-budgetary, and their categorization will not be 
affected by the reclassification of the tribal trust funds.
   The tribal trust funds are composed of funds belonging to Indian 
tribes, and in some cases the Federal Government, that are required or 
authorized by law to be deposited in the U.S. Treasury or managed ``in 
trust'' by the United States. Tribal trust fund assets are derived from 
various sources, including payments for land cessions by treaty; 
proceeds from sales of land under confiscatory acts of Congress; 
proceeds from sales and leases of tribal lands and other natural 
resources; judgement awards made by the Indian Claims Commission and the 
United States Court of Claims; monies appropriated to fund legislative 
settlements; and interest on trust fund investments. For the purposes of 
this discussion, tribal trust funds are divided into three general 
categories, which are described later in this chapter and appear in 
Table 15-3.

  Consistency with the Unified Budget.--Reclassifying tribal trust funds 
as non-budgetary is consistent with the unified budget concepts 
developed by the President's Commission on Budget Concepts in 1967. \6\ 
The Commission recommended that the budget include all the Federal 
Government's programs and all the fiscal transactions of these programs 
with the public. The Commission used several criteria in determining 
which entities or activities should be included in the Federal budget: 
the ownership of the entity or activity, the sources of its capital, the 
selection of its managers, and the degree of control the President and 
Congress
  \6\ Report of the President's Commission on Budget Concepts 
(Washington, D.C.: U.S. Government Printing Office, October 1967), p. 
25.

     Table 15-3.  TRIBAL TRUST FUND BALANCES AND PROPOSED BUDGETARY
                    TREATMENT: PRELIMINARY ESTIMATES
             (dollars in millions as of September 30, 1998)
------------------------------------------------------------------------
              Type of Tribal Trust Fund                Number    Amount
------------------------------------------------------------------------
To remain on-budget:
  Funds derived from legislative acts and for
   Government obligations...........................        30       401
 
Currently on-budget, to be reclassified as non-
 budgetary (deposit funds):
  Funds with assets derived from tribe-owned natural
   resources........................................       550       475
  Funds funded by judgments against the United
   States...........................................       900     1,025
  Funds derived from legislative acts and for
   Government obligations...........................       120       600
                                                     -------------------
    Subtotal, funds to be reclassified as non-
     budgetary......................................     1,570     2,100
                                                     -------------------
Grand Total.........................................     1,600     2,501
------------------------------------------------------------------------


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have over its program and budget. In discussing these criteria, the 
Commission stated that ``no one of these . . . [criteria] is conclusive, 
and at the margin, where boundary questions arise, decisions have been
made on the basis of a net weighing of as many relevant considerations 
as possible.'' \7\ With this in mind, the Commission recommended a 
comprehensive budget with almost no exception.  The Commission reasoned 
that entities or activities having characteristics consistent with other 
Federal entities or activities, such as Federal ownership or Presidential 
and Congressional control over its program or budget, should be included 
in the unified budget.  Other entities and activities should be excluded.
  \7\ Ibid.
---------------------------------------------------------------------------
   The Commission's distinction between budgetary and non-budgetary 
activities is exemplified by the treatment of two Federal employee 
retirement funds: the Civil Service Retirement and Disability (CSRD) 
trust fund and the Thrift Savings Fund. The Civil Service Retirement and 
Disability trust fund, which pays annuities to retired Federal 
employees, is included in the budget because the Government owns the 
assets and can make decisions about the level and timing of future 
pension benefit payments. Individuals do not have separate accounts in 
the CSRD trust fund, and the fund assets do not represent the present 
value of future pensions earned to date under current law. Conversely, 
the Thrift Savings Fund, which holds assets for Federal employees who 
participate in the Thrift Savings Plan, is non-budgetary. This fund is 
managed by the Government in a fiduciary capacity on behalf of the 
participants. The Plan is a defined contribution plan; the assets are 
credited to individual employees' accounts; and the assets in an account 
are owned by the employee, who has a legal claim on the specific assets 
in that account and no more. Employee decisions determine most of the 
amounts contributed to the Thrift Savings Fund, either directly from the 
employee or from the Federal matching contribution, with only a 
relatively small part being contributed to the fund automatically. 
Employees make decisions about investments among the statutorily 
prescribed funds. An employee may borrow from his or her account for 
specified purposes, such as to purchase a house or finance educational 
expenses. \8\
---------------------------------------------------------------------------
  \8\ A small number of trust funds (according to the private sector 
usage of this term) have been established with the Government as the 
beneficiary as well as the fiduciary. These funds have especially been 
established from gifts by the public to the Government, such as gifts 
and donations to the Architect of the Capitol, gifts and bequests to the 
Department of Agriculture, and gifts and contributions to the 
Corporation for National and Community Service. These funds are included 
in the budget totals because the Government owns the fund assets.
---------------------------------------------------------------------------
   The reclassification of the tribal trust funds as non-budgetary fits 
neatly with the ownership criterion of the Commission and the budgetary 
treatment of the Thrift Savings Fund and other deposit funds. Based on 
the Commission's recommendations, the budget generally does not include 
activities or agencies which are not owned by the Federal government. 
Deposit funds are non-budgetary accounts that record amounts held 
temporarily until ownership is determined (for example, earnest money 
paid by bidders for mineral leases) or held by the Government as agent 
for others (for example, state and local income taxes withheld from 
Federal employees' salaries and not yet paid to the states and 
localities). As will be described in more detail below, most tribal 
trust funds share the principal defining characteristics of deposit 
funds--private ownership--and therefore ought to be classified in the 
same way rather than included in the budget. \9\
---------------------------------------------------------------------------
  \9\ Non-budgetary activities, including deposit funds, are discussed 
further in Chapter 19, ``Off-Budget Federal Entities and Non-Budgetary 
Activities.'' Deposit funds are also discussed in a section of Chapter 
23, ``Budget Systems and Concepts and Glossary.''
---------------------------------------------------------------------------
   The removal of most tribal trust funds from the budget is also 
consistent with the Commission's criteria regarding the source of 
capital and the extent of federal control. As will be discussed in more 
detail below, the assets of most tribal trust funds--whether derived 
from tribe-owned natural resources, judgement awards, or appropriated 
legislative settlements--are monies that, based on legal requirements, 
are owned by the tribes. The exceptions are those trust funds that are 
funded by appropriations to achieve some public policy goal, as opposed 
to resolve a legal claim, and that are established in a manner whereby 
ownership of the fund assets is not conveyed to the tribes. As discussed 
below, these funds are to remain on-budget. With regard to the extent of 
Executive and Congressional control, it is clear that the Government's 
control over most tribal trust funds is significantly limited. The 
Government acts as the fiduciary of the fund assets and, at most, has 
some influence over the tribally developed use plans for judgement 
awards. These considerations outweigh the fact that the Government 
selects who will manage the fund assets. Moreover, as will be described 
below, in certain circumstances the tribes can withdraw and manage the 
assets of the fund.

  Analyzing the Tribal Trust Funds.--The Department of the Interior and 
OMB are using the following criteria to guide their analysis of the 
trust funds. Some criteria are applicable to all Federal government 
trust funds, while others relate specifically to the budgetary treatment 
of tribal trust funds.
     Are monies deposited voluntarily into the trust fund?
     Can the beneficiary of the trust fund withdraw the assets 
          of the fund at will?
     Can the beneficiary of the trust fund pledge the assets of 
          the trust as collateral?
     Does the amount to be paid to the beneficiary of the trust 
          fund depend on the amount in the fund, or does the Government 
          guarantee a certain benefit amount?
     Can the Government unilaterally decide to withdraw money 
          from a tribal trust fund and use it to fund a non-tribal 
          purpose, or would this constitute a Federal taking?
     Can the Government unilaterally change the terms of the 
          trust or use the money in a tribal trust fund account for a 
          purpose other than specified by the trust agreement, as long 
          as the funds

[[Page 341]]

          are used for the benefit of the tribe? (As opposed to the 
          Government simply deciding whether a use is consistent with 
          the terms of the trust.)
     Does tribal ``ownership'' of the money differ substantively 
          from the individual Indians' ownership of the funds held in 
          the individual Indian accounts, which are held in deposit 
          funds outside of the budget?
     If the law establishes an endowment for a tribal trust fund 
          and stipulates that the tribes can only spend the interest 
          earnings on the endowment, do the tribes own the endowment?
     Do any of the existing balances of the trust fund result 
          from appropriations for what are the equivalent of grants, 
          such as for development or schools?
     Is the amount and timing of payments from the trust fund 
          linked to federal payments to the beneficiary of the trust 
          fund or vice-versa?

   A preliminary review of the tribal trust funds by the Department of 
the Interior and OMB indicates that two general types of tribal trust 
funds should be reclassified as non-budgetary: those funded from 
revenues generated by tribe-owned natural resources and those funded by 
judgements against the United States government. The third general 
category of tribal trust funds, those derived from legislative acts and 
for fulfilling Government obligations to tribes, includes some funds to 
be reclassified as non-budgetary, and others that should remain on-
budget. The Department of the Interior and OMB will continue to review 
these trust funds to determine their proper budgetary treatment 
beginning in fiscal year 2000. A description of the general categories 
of tribal trust funds and their proposed treatment follows.
  Trust funds with assets derived from tribe-owned natural resources--
Proposed treatment: Non-budgetary.
  As shown in Table 15-3, an estimated $475 million in 550 trust funds 
with assets derived from tribe-owned natural resources is being removed 
from the budget totals. These privately owned trust funds are managed by 
the Government in a fiduciary capacity. Tribes hold beneficial title to 
the natural resources from which the income originates, and thus own the 
resulting income. Some leases require the royalties to be paid directly 
to one or more tribes or to individual Indians. These payments are from 
one private party to another and thus outside the budget. In other 
cases, royalties are deposited in tribal trust funds, which are 
currently included in the budget. Sometimes the lessee makes a single 
payment to a suspense account (a type of deposit fund) for all three 
types of payments, and the Department of the Interior subsequently 
determines what amount should be paid to individuals, tribes, or the 
tribal trust funds. Distributions from the suspense account to tribes or 
individuals are not recorded in the budget. Distributions to tribal 
trust funds are recorded in the budget as offsetting receipts. At their 
discretion, and subject to tribal law and the Secretary of Interior's 
fiduciary responsibilities, tribes can withdraw their money from the 
tribal trust fund (as an outlay) or leave it in the trust fund, where it 
is invested by the Government.
   There does not appear to be a substantive reason to treat payments to 
the tribal trust funds differently from payments made directly to the 
beneficiaries or that only pass through suspense accounts. The 
Government's role as trustee is primarily to ensure that the funds are 
distributed and managed correctly. The Government cannot take money from 
these trust funds to use for other purposes.
  Trust funds funded by judgements against the United States--Proposed 
treatment: Non-budgetary.
  As shown in Table 15-3, approximately $1 billion in 900 trust funds 
funded by judgement awards is being removed from the budget totals. 
These funds are derived from Indian Claims Commission awards or U.S. 
Court of Claims awards, and are paid out of the Federal Claims, 
Judgements, and Relief Act fund. Court decisions specify that these 
funds are payments for property damages. As such, the Government could 
not withdraw the funds and use them for other purposes without 
resurrecting the claim against the Government. This also appears to be 
true in cases where the settlement provides an endowment for a tribe and 
stipulates that only the earnings can be spent. The tribe, not the 
Government, owns the endowment, and the tribe receives the full benefit 
of earnings on the endowment. Congress can revise the use plans that the 
tribe develops, but it cannot change the judgement amount.
   The funds are deposited in the trust fund until a use plan is 
approved. The use plan could pay the money to individual Indian accounts 
or to the tribes, or the funds could be held in a tribal trust fund 
until paid out for tribal activities specified in the plan. Subject to 
approval by the Department of the Interior, the tribes can withdraw and 
manage the funds themselves.
  Trust funds derived from legislative acts and for fulfilling 
Government obligations to tribes--Proposed treatment: Mixed--On-budget 
and Non-budgetary.
   The funds in this category are diverse and the proposed budgetary 
treatment is mixed. Some funds were created as a result of legislative 
settlements, such as for water rights or land claims, and, like the 
previous category, should be considered non-budgetary. Others are 
composed of appropriated monies to make payments to tribes for public 
policy goals, such as infrastructure development. If these funds did not 
resolve a legal claim and were established in a manner that did not 
convey ownership of the trust to the tribe, they should be included in 
the budget. As shown in Table 15-3, the majority of funds in this 
category are being removed from the budget totals.
   For some of the trust funds in this category, Federal legislation 
created a corpus and provided that only interest accruing on the corpus 
shall be available for obligation. Since tribes do not have access to 
the corpus, and the fund was not established to settle a valid legal 
claim against the Government, the question of ownership of the corpus is 
raised. The Department of the

[[Page 342]]

Interior and OMB will review the legislation that established each of 
these trust funds to determine ownership of the corpus. If it is 
determined that the tribe owns the corpus, then the funds will be 
removed from the budget totals. Otherwise, the funds will remain on-
budget.

  Budgetary Effect of Reclassifying Tribal Trust Funds as Non-
budgetary.--Excluding the transactions of most tribal trust funds from 
the budget will have little effect on Federal outlays. As shown in Table 
15-4, removing the tribal trust funds from the budget is estimated to 
decrease net outlays, and increase the unified budget surplus, by 
approximately $10 million each fiscal year from 2000 to 2003. These 
preliminary estimates are based on the proposed budgetary treatment 
presented in Table 15-3. The difference between these estimates and the 
actual budget effect should be minimal in dollar terms. It should be 
noted that, as mentioned previously, the budget does not record outlays 
for the one time transfer of on-budget tribal trust fund assets to non-
budgetary deposit funds.
   The removal of tribal trust funds from the budget affects Federal 
outlays in a number of ways. First, interest payments on Treasury 
securities held by these tribal trust funds, which are recorded as 
intra-budgetary transactions through 1999, are recorded as disbursements 
to the public in subsequent years. Second, as shown in Table 15-4, 
removing tribal trust funds from the budget decreases offsetting 
receipts from the public for royalties and other income from tribe-owned 
natural resources. Third, the budget no longer records the disbursement 
of these royalties and income from the Government to the tribes. This 
reduces disbursements by the same amount as offsetting receipts, but not 
necessarily in the same years.
   Removing the tribal trust funds from the budget also shifts the 
timing of disbursements to the public resulting from Federal payments to 
Indian tribes for judgements and settlements. In fiscal year 1999, these 
payments are not recorded as outlays until the funds are disbursed to 
the tribes. In subsequent years, the payments are recorded as 
disbursements to the public when the funds are transferred to the 
tribes' deposit funds.

                                     

               Table 15-4.  OUTLAY IMPACT OF RECLASSIFYING TRIBAL TRUST FUNDS AS NON-BUDGETARY \1\
                                            (In millions of dollars)
----------------------------------------------------------------------------------------------------------------
                                                              1999       2000       2001       2002       2003
----------------------------------------------------------------------------------------------------------------
Pre-reclassification treatment of tribal trust funds:
  Offsetting receipts from the public....................     338        338        339        342        342
  Disbursements to the public............................     431        429        431        434        434
                                                          ------------------------------------------------------
  Net impact on outlays..................................      93         91         92         92         92
 
Effect of reclassifying tribal trust funds as deposit
 funds (non-budgetary):
  Offsetting receipts from the public....................  .........    -323       -322       -324       -323
  Disbursements to the public............................  .........    -333       -333       -335       -333
                                                          ------------------------------------------------------
  Net impact on outlays..................................  .........     -10        -11        -11        -10
 
Post-reclassification treatment of tribal trust funds:
  Offsetting receipts from the public....................     338         15         17         18         19
  Disbursements to the public............................     431         96         98         99        101
                                                          ------------------------------------------------------
  Net impact on outlays..................................      93         81         81         81         82
----------------------------------------------------------------------------------------------------------------
\1\ Does not include intrabudgetary transactions.


[[Page 343]]

                                     

                                              Table 15-5.  INCOME, OUTGO, AND BALANCES OF MAJOR TRUST FUNDS
                                                                (In billions of dollars)
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                 Estimate
                                                                          1998   -----------------------------------------------------------------------
                                                                        actual       1999        2000        2001        2002        2003        2004
--------------------------------------------------------------------------------------------------------------------------------------------------------
 
                    Airport and Airway Trust Fund
Balance, start of year..............................................       6.4         9.1        12.3        13.9        15.4        17.3        19.0
Income:.............................................................
  Governmental receipts.............................................       8.1        10.4        10.7        11.3        11.9        12.4        13.0
  Proprietary receipts..............................................       *           *           *           *           *           *           *
  Receipts from Federal funds:
    Interest........................................................       0.5         0.6         0.8         0.9         0.9         1.0         1.2
    Other...........................................................       *           0.2         0.1         0.1         0.1         0.1         0.1
  Receipts from Trust funds.........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, income..............................................       8.7        11.2        11.6        12.2        12.9        13.5        14.2
Outgo:
  To the public.....................................................       5.9         8.0        10.1        10.6        11.1        11.8        12.3
  Payments to Other funds...........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, outgo...............................................       5.9         8.0        10.1        10.6        11.1        11.8        12.3
Change in fund balance:
  Surplus or deficit (-):
    Excluding interest..............................................       2.2         2.6         0.8         0.7         0.9         0.7         0.7
    Interest........................................................       0.5         0.6         0.8         0.9         0.9         1.0         1.2
                                                                     -----------------------------------------------------------------------------------
  Subtotal, surplus or deficit (-)..................................       2.8         3.2         1.6         1.6         1.8         1.7         1.9
  Adjustments:
    Transfers/lapses (net)..........................................     --*         --*      ..........  ..........  ..........  ..........  ..........
    Other adjustments...............................................       *           *      ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
    Total, change in fund balance...................................       2.8         3.2         1.6         1.6         1.8         1.7         1.9
                                                                     ===================================================================================
Balance, end of year................................................       9.1        12.3        13.9        15.4        17.3        19.0        20.9
 
               Federal Employees Health Benefits Fund
Balance, start of year..............................................       6.7         6.2         6.0         5.9         5.7         5.4         5.2
Income:.............................................................
  Governmental receipts.............................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
  Proprietary receipts..............................................       4.5         4.8         5.5         6.0         6.5         7.1         7.6
  Receipts from Federal funds:
    Interest........................................................       0.5         0.4         0.4         0.3         0.3         0.3         0.4
    Other...........................................................      11.8        12.7        14.1        15.1        16.4        17.7        19.1
  Receipts from Trust funds.........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, income..............................................      16.7        17.9        20.0        21.5        23.2        25.1        27.0
Outgo:
  To the public.....................................................      17.1        18.1        20.1        21.6        23.4        25.3        27.3
  Payments to Other funds...........................................       *           *           *           *           *           *           *
                                                                     -----------------------------------------------------------------------------------
      Subtotal, outgo...............................................      17.2        18.2        20.1        21.7        23.5        25.3        27.3
Change in fund balance:
  Surplus or deficit (-):
    Excluding interest..............................................      -0.9        -0.7        -0.5        -0.5        -0.6        -0.6        -0.7
    Interest........................................................       0.5         0.4         0.4         0.3         0.3         0.3         0.4
                                                                     -----------------------------------------------------------------------------------
      Subtotal, surplus or deficit (-)..............................      -0.5        -0.2        -0.1        -0.2        -0.3        -0.2        -0.3
  Adjustments:
    Transfers/lapses (net)..........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
    Other adjustments...............................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
    Total, change in fund balance...................................      -0.5        -0.2        -0.1        -0.2        -0.3        -0.2        -0.3
                                                                     ===================================================================================
Balance, end of year................................................       6.2         6.0         5.9         5.7         5.4         5.2         4.9
 
             Federal Civilian Employees Retirement Funds
Balance, start of year..............................................     430.9       460.6       491.5       521.8       551.8       581.4       609.8
Income:.............................................................
  Governmental receipts.............................................       4.3         4.3         4.4         4.5         4.5         3.9         3.7
  Proprietary receipts..............................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
  Receipts from Federal funds:
    Interest........................................................      32.5        34.9        35.4        36.1        36.9        37.7        38.3

[[Page 344]]

 
    Other...........................................................      36.6        37.0        37.7        38.6        39.4        40.0        41.1
  Receipts from Trust funds.........................................  ..........       *           *           *           *           *           *
                                                                     -----------------------------------------------------------------------------------
      Subtotal, income..............................................      73.4        76.2        77.6        79.2        80.9        81.7        83.0
Outgo:
  To the public.....................................................      43.6        45.3        47.3        49.3        51.2        53.2        55.4
  Payments to Other funds...........................................  ..........       *           *           *           *           *           *
                                                                     -----------------------------------------------------------------------------------
      Subtotal, outgo...............................................      43.6        45.3        47.3        49.3        51.2        53.2        55.4
Change in fund balance:
  Surplus or deficit (-):
    Excluding interest..............................................      -2.7        -4.1        -5.1        -6.2        -7.3        -9.2       -10.7
    Interest........................................................      32.5        34.9        35.4        36.1        36.9        37.7        38.3
                                                                     -----------------------------------------------------------------------------------
      Subtotal, surplus or deficit (-)..............................      29.8        30.9        30.3        30.0        29.7        28.4        27.6
  Adjustments:
    Transfers/lapses (net)..........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
    Other adjustments...............................................       *         --*         --*
                                                                     -----------------------------------------------------------------------------------
    Total, change in fund balance...................................      29.8        30.9        30.3        30.0        29.7        28.4        27.6
                                                                     ===================================================================================
Balance, end of year................................................     460.6       491.5       521.8       551.8       581.4       609.8       637.5
 
   Federal Old-Age, Survivors and Disability Insurance Trust Funds
Balance, start of year..............................................     630.9       730.3       852.2       983.5     1,119.3     1,262.5     1,413.3
Income:.............................................................
  Governmental receipts.............................................     415.8       444.0       465.3       482.6       501.8       522.2       542.9
  Proprietary receipts..............................................       *           0.1         0.1         0.1         0.1         0.1         0.1
  Receipts from Federal funds:
    Interest........................................................      46.6        51.9        56.5        62.1        68.5        75.4        82.7
    Other...........................................................      18.5        21.0        20.5        21.5        22.9        24.3        25.8
  Receipts from Trust funds.........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, income..............................................     480.9       517.0       542.4       566.3       593.2       622.0       651.6
Outgo:
  To the public.....................................................     377.3       391.0       407.2       425.6       446.1       467.2       489.6
  Payments to Other funds...........................................       4.2         4.0         3.9         5.0         4.0         4.0         4.0
                                                                     -----------------------------------------------------------------------------------
      Subtotal, outgo...............................................     381.5       395.1       411.1       430.6       450.0       471.2       493.5
Change in fund balance:
  Surplus or deficit (-):
    Excluding interest..............................................      52.8        70.1        74.8        73.6        74.7        75.4        75.3
    Interest........................................................      46.6        51.9        56.5        62.1        68.5        75.4        82.7
                                                                     -----------------------------------------------------------------------------------
      Subtotal, surplus or deficit (-)..............................      99.4       121.9       131.3       135.7       143.2       150.9       158.1
  Adjustments:
    Transfers/lapses (net)..........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
    Other adjustments...............................................  ..........  ..........       *      ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
    Total, change in fund balance...................................      99.4       121.9       131.3       135.7       143.2       150.9       158.1
                                                                     ===================================================================================
Balance, end of year................................................     730.3       852.2       983.5     1,119.3     1,262.5     1,413.3     1,571.4
 
                  Foreign Military Sales Trust Fund
Balance, start of year..............................................       5.9         6.0         6.0         6.0         6.0         6.0         6.0
Income:.............................................................
  Governmental receipts.............................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
  Proprietary receipts..............................................      14.1        13.3        12.7        12.1        12.1         9.7         8.6
  Receipts from Federal funds:
    Interest........................................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
    Other...........................................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
  Receipts from Trust funds.........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, income..............................................      14.1        13.3        12.7        12.1        12.1         9.7         8.6
Outgo:
  To the public.....................................................      14.0        13.3        12.7        12.1        12.1         9.7         8.6
  Payments to Other funds...........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, outgo...............................................      14.0        13.3        12.7        12.1        12.1         9.7         8.6

[[Page 345]]

 
Change in fund balance:
  Surplus or deficit (-):
    Excluding interest..............................................       0.1    ..........  ..........  ..........  ..........  ..........  ..........
    Interest........................................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, surplus or deficit (-)..............................       0.1    ..........  ..........  ..........  ..........  ..........  ..........
  Adjustments:
    Transfers/lapses (net)..........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
    Other adjustments...............................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
    Total, change in fund balance...................................       0.1    ..........  ..........  ..........  ..........  ..........  ..........
                                                                     ===================================================================================
Balance, end of year................................................       6.0         6.0         6.0         6.0         6.0         6.0         6.0
 
                       Highway Trust Fund \1\
Balance, start of year..............................................      22.4        18.4        27.8        28.7        29.0        29.6        30.4
Income:.............................................................
  Governmental receipts.............................................      26.6        38.5        33.1        33.6        34.3        34.9        35.5
  Proprietary receipts..............................................       0.1         0.1         0.1         0.1         0.1         0.1         0.1
  Receipts from Federal funds:
    Interest........................................................       2.0    ..........  ..........  ..........  ..........  ..........  ..........
    Other...........................................................       *           *           *           *           *           *           *
  Receipts from Trust funds.........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, income..............................................      28.7        38.6        33.2        33.8        34.4        35.0        35.7
Outgo:
  To the public.....................................................      24.5        29.2        32.3        33.4        33.8        34.2        34.7
  Payments to Other funds...........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, Outgo...............................................      24.5        29.2        32.3        33.4        33.8        34.2        34.7
Change in fund balance:
  Surplus or deficit:
    Excluding interest..............................................       2.1         9.4         1.0         0.3         0.6         0.8         1.0
    Interest........................................................       2.0    ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, surplus or deficit..................................       4.2         9.4         1.0         0.3         0.6         0.8         1.0
  Adjustments:
    Transfers/lapses (net)..........................................      -8.2       --*         --*      ..........  ..........  ..........  ..........
    Other adjustments...............................................  ..........  ..........       *      ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
    Total, change in fund balance...................................      -4.0         9.3         0.9         0.3         0.6         0.8         1.0
                                                                     ===================================================================================
Balance, end of year................................................      18.4        27.8        28.7        29.0        29.6        30.4        31.4
 
        Medicare: Federal Hospital Insurance (HI) Trust Fund
Balance, start of year..............................................     116.0       116.9       117.6       124.0       129.2       138.8       145.3
Income:.............................................................
  Governmental receipts.............................................     120.0       127.5       132.1       137.1       142.6       148.6       154.8
  Proprietary receipts..............................................       1.3         1.4         1.4         1.7         1.9         2.0         2.2
  Receipts from Federal funds:
    Interest........................................................       9.2         9.2         9.1         9.0         9.0         9.1         9.1
    Other...........................................................       7.8         9.6         9.8        10.0        10.6        11.1        11.7
  Receipts from Trust funds.........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, income..............................................     138.2       147.6       152.4       157.8       164.1       170.9       177.8
Outgo:
  To the public.....................................................     137.3       146.9       146.0       152.5       154.5       164.3       172.4
  Payments to Other funds...........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, outgo...............................................     137.3       146.9       146.0       152.5       154.5       164.3       172.4
Change in fund balance:
  Surplus or deficit (-):
    Excluding interest..............................................      -8.2        -8.4        -2.8        -3.8         0.5        -2.6        -3.7
    Interest........................................................       9.2         9.2         9.1         9.0         9.0         9.1         9.1
                                                                     -----------------------------------------------------------------------------------
      Subtotal, surplus or deficit (-)..............................       0.9         0.7         6.3         5.3         9.5         6.5         5.4
  Adjustments:
    Transfers/lapses (net)..........................................       *      ..........  ..........  ..........  ..........  ..........  ..........

[[Page 346]]

 
    Other adjustments...............................................     --*         --*         --*      ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
    Total, change in fund balance...................................       0.9         0.7         6.3         5.3         9.5         6.5         5.4
                                                                     ===================================================================================
Balance, end of year................................................     116.9       117.6       124.0       129.2       138.8       145.3       150.7
 
 Medicare: Federal Supplementary Medical Insurance (SMI) Trust Fund
Balance, start of year..............................................      35.2        40.9        46.2        45.4        43.4        45.7        47.0
Income:.............................................................
  Governmental receipts.............................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
  Proprietary receipts..............................................      19.4        19.9        21.4        23.6        25.7        28.6        30.8
  Receipts from Federal funds:
    Interest........................................................       2.6         2.9         2.9         2.9         2.9         2.9         2.9
    Other...........................................................      60.9        75.3        76.5        80.6        85.2        89.6        94.5
  Receipts from Trust funds.........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, income..............................................      82.9        98.1       100.9       107.1       113.8       121.1       128.2
Outgo:
  To the public.....................................................      77.3        92.8       101.7       109.1       111.4       119.8       126.9
  Payments to Other funds...........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, outgo...............................................      77.3        92.8       101.7       109.1       111.4       119.8       126.9
Change in fund balance:
  Surplus or deficit (-):
    Excluding interest..............................................       3.1         2.4        -3.7        -4.9        -0.5        -1.6        -1.6
    Interest........................................................       2.6         2.9         2.9         2.9         2.9         2.9         2.9
                                                                     -----------------------------------------------------------------------------------
      Subtotal, surplus or deficit (-)..............................       5.7         5.3        -0.8        -2.0         2.4         1.2         1.3
  Adjustments:
    Transfers/lapses (net)..........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
    Other adjustments...............................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
    Total, change in fund balance...................................       5.7         5.3        -0.8        -2.0         2.4         1.2         1.3
                                                                     ===================================================================================
Balance, end of year................................................      40.9        46.2        45.4        43.4        45.7        47.0        48.3
 
                      Military Retirement Fund
Balance, start of year..............................................     139.2       146.0       152.1       159.2       166.7       174.6       182.8
Income:.............................................................
  Governmental receipts.............................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
  Proprietary receipts..............................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
  Receipts from Federal funds:
    Interest........................................................      12.4        12.5        12.7        12.9        13.1        13.3        13.6
    Other...........................................................      25.5        25.8        27.5        28.5        29.6        30.6        31.8
  Receipts from Trust funds.........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, income..............................................      37.9        38.3        40.2        41.5        42.7        44.0        45.4
Outgo:
  To the public.....................................................      31.1        32.2        33.1        34.0        34.9        35.7        36.6
  Payments to Other funds...........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, outgo...............................................      31.1        32.2        33.1        34.0        34.9        35.7        36.6
Change in fund balance:
  Surplus or deficit (-):
    Excluding interest..............................................      -5.6        -6.4        -5.6        -5.5        -5.2        -5.1        -4.8
    Interest........................................................      12.4        12.5        12.7        12.9        13.1        13.3        13.6
                                                                     -----------------------------------------------------------------------------------
      Subtotal, surplus or deficit (-)..............................       6.8         6.1         7.1         7.5         7.9         8.2         8.8
  Adjustments:
    Transfers/lapses (net)..........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
    Other adjustments...............................................  ..........     --*           *      ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
    Total, change in fund balance...................................       6.8         6.1         7.1         7.5         7.9         8.2         8.8
                                                                     ===================================================================================
Balance, end of year................................................     146.0       152.1       159.2       166.7       174.6       182.8       191.5
 
                   Railroad Retirement Trust Funds
Balance, start of year..............................................      15.0        17.1        18.0        19.0        19.8        20.9        22.0
Income:.............................................................

[[Page 347]]

 
  Governmental receipts.............................................       4.4         4.3         4.4         4.5         4.6         4.6         4.7
  Proprietary receipts..............................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
  Receipts from Federal funds:
    Interest........................................................       2.0         1.1         1.1         1.1         1.2         1.3         1.4
    Other...........................................................       0.3         0.3         0.3         0.3         0.3         0.3         0.3
  Receipts from Trust funds.........................................       3.8         3.7         3.6         3.5         3.6         3.6         3.6
                                                                     -----------------------------------------------------------------------------------
      Subtotal, income..............................................      10.4         9.4         9.4         9.5         9.7         9.8        10.0
Outgo:
  To the public.....................................................       8.2         8.2         8.3         8.4         8.4         8.5         8.6
  Payments to Other funds...........................................       0.2         0.2         0.2         0.2         0.2         0.2         0.2
                                                                     -----------------------------------------------------------------------------------
      Subtotal, outgo...............................................       8.4         8.4         8.5         8.6         8.7         8.7         8.9
Change in fund balance:
  Surplus or deficit (-):
    Excluding interest..............................................       *          -0.1        -0.2        -0.3        -0.2        -0.2        -0.3
    Interest........................................................       2.0         1.1         1.1         1.1         1.2         1.3         1.4
                                                                     -----------------------------------------------------------------------------------
      Subtotal, surplus or deficit (-)..............................       2.0         1.0         0.9         0.9         1.0         1.1         1.1
  Adjustments:
    Transfers/lapses (net)..........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
    Other adjustments...............................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
    Total, change in fund balance...................................       2.0         1.0         0.9         0.9         1.0         1.1         1.1
                                                                     ===================================================================================
Balance, end of year................................................      17.1        18.0        19.0        19.8        20.9        22.0        23.1
 
                       Unemployment Trust Fund
Balance, start of year..............................................      62.1        71.0        78.2        84.6        90.2        96.1       101.0
Income:.............................................................
  Governmental receipts.............................................      27.5        28.8        30.4        31.7        33.0        32.8        33.3
  Proprietary receipts..............................................       *           *           *           *           *           *           *
  Receipts from Federal funds:
    Interest........................................................       4.3         4.4         4.9         5.2         5.6         5.9         6.2
    Other...........................................................       0.5         0.5         0.5         0.6         0.6         0.6         0.6
  Receipts from Trust funds.........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, income..............................................      32.3        33.7        35.8        37.5        39.1        39.2        40.0
Outgo:
  To the public.....................................................      23.5        26.5        29.4        31.8        33.2        34.3        35.6
  Payments to Other funds...........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, outgo...............................................      23.5        26.5        29.4        31.8        33.2        34.3        35.6
Change in fund balance:
  Surplus or deficit (-):
    Excluding interest..............................................       4.5         2.7         1.5         0.4         0.3        -1.0        -1.7
    Interest........................................................       4.3         4.4         4.9         5.2         5.6         5.9         6.2
                                                                     -----------------------------------------------------------------------------------
      Subtotal, surplus or deficit (-)..............................       8.8         7.2         6.4         5.6         5.9         4.9         4.5
  Adjustments:
    Transfers/lapses (net)..........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
    Other adjustments...............................................  ..........  ..........       *      ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
    Total, change in fund balance...................................       8.8         7.2         6.4         5.6         5.9         4.9         4.5
                                                                     ===================================================================================
Balance, end of year................................................      71.0        78.2        84.6        90.2        96.1       101.0       105.5
 
                 Veterans Life Insurance Trust Funds
Balance, start of year..............................................      13.7        13.7        13.6        13.4        13.0        12.7        12.3
Income:.............................................................
  Governmental receipts.............................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
  Proprietary receipts..............................................       0.8         0.8         0.8         0.8         0.7         0.7         0.7
  Receipts from Federal funds:
    Interest........................................................       1.1         1.1         1.0         1.0         0.9         0.9         0.8
    Other...........................................................       *           *           *           *           *           *           *
  Receipts from Trust funds.........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, income..............................................       2.0         1.9         1.8         1.7         1.6         1.6         1.5

[[Page 348]]

 
Outgo:
  To the public.....................................................       2.0         2.0         2.0         2.1         2.0         2.0         2.0
  Payments to Other funds...........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, outgo...............................................       2.0         2.0         2.0         2.1         2.0         2.0         2.0
Change in fund balance:
  Surplus or deficit (-):
    Excluding interest..............................................      -1.1        -1.2        -1.2        -1.3        -1.3        -1.3        -1.3
    Interest........................................................       1.1         1.1         1.0         1.0         0.9         0.9         0.8
                                                                     -----------------------------------------------------------------------------------
      Subtotal, surplus or deficit (-)..............................     --*          -0.1        -0.2        -0.3        -0.3        -0.4        -0.5
  Adjustments:
    Transfers/lapses (net)..........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
    Other adjustments...............................................     --*           *         --*      ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
    Total, change in fund balance...................................     --*          -0.1        -0.2        -0.3        -0.3        -0.4        -0.5
                                                                     ===================================================================================
Balance, end of year................................................      13.7        13.6        13.4        13.0        12.7        12.3        11.8
 
                        Other Trust Funds \2\
Balance, start of year..............................................      31.3        32.6        35.3        36.4        38.8        41.6        44.4
Income:.............................................................
  Governmental receipts.............................................       2.8         3.0         4.7         4.2         4.3         4.3         4.4
  Proprietary receipts..............................................       3.6         6.8         3.4         3.5         3.6         3.6         3.7
  Receipts from Federal funds:
    Interest........................................................       2.0         2.0         2.1         2.1         2.2         2.2         2.3
    Other...........................................................       1.5         1.6         1.6         1.6         1.7         1.7         1.7
  Receipts from Trust funds.........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, income..............................................       9.8        13.4        11.8        11.4        11.7        11.9        12.2
Outgo:
  To the public.....................................................       8.1         8.4         8.3         8.4         8.3         8.5         8.6
  Payments to Other funds...........................................       0.5         0.5         2.4         0.6         0.6         0.6         0.6
                                                                     -----------------------------------------------------------------------------------
      Subtotal, outgo...............................................       8.6         8.9        10.7         8.9         8.9         9.1         9.2
Change in fund balance:
  Surplus or deficit (-):
    Excluding interest..............................................      -0.7         2.5        -1.0         0.4         0.6         0.6         0.7
    Interest........................................................       2.0         2.0         2.1         2.1         2.2         2.2         2.3
                                                                     -----------------------------------------------------------------------------------
      Subtotal, surplus or deficit (-)..............................       1.3         4.5         1.1         2.5         2.7         2.8         2.9
  Adjustments:
    Transfers/lapses (net)..........................................     --*         --*      ..........  ..........  ..........  ..........  ..........
    Other adjustments...............................................       *         --*         --*      ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
    Total, change in fund balance...................................       1.3         4.5         1.1         2.5         2.7         2.8         2.9
                                                                     ===================================================================================
Balance, end of year................................................      32.6        37.1        36.4        38.8        41.6        44.4        47.3
--------------------------------------------------------------------------------------------------------------------------------------------------------
* Less than $50 million.
 
Note: Balances shown include committed and uncommitted cash balances.
 
\1\ Figures reflect two legislative changes to the Highway Trust Fund as per the Transportation Equity Act for the 21st Century (TEA-21): no
  accumulation of interest earnings on fund balances beginnng in 1999 and transfer of $8.1 billion in highway account cash balances to the General fund.
  See the discussion of modifications to the Highway Trust Fund in this chapter for additional information.
 
\2\ The difference between 1999 end of year balance and 2000 start of year balance is due to the removal of most tribal trust funds from the budget
  totals. See the discussion regarding changes in the budget classification of tribal trust funds in this chapter for additional information.

                                     

                                           Table 15-6.  INCOME, OUTGO, AND BALANCES OF SELECTED FEDERAL FUNDS
                                                                (In billions of dollars)
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                 Estimate
                                                                          1998   -----------------------------------------------------------------------
                                                                        actual       1999        2000        2001        2002        2003        2004
--------------------------------------------------------------------------------------------------------------------------------------------------------
 
 

[[Page 349]]

                   Abandoned Mine Reclamation Fund
Balance, start of year..............................................       1.5         1.6         1.8         1.9         2.0         2.2         2.3
Income:
  Governmental receipts.............................................       0.3         0.3         0.3         0.3         0.3         0.3         0.3
  Proprietary receipts..............................................       *           *           *           *           *           *           *
  Receipts from Federal funds:
    Interest........................................................       0.1         0.1         0.1         0.1         0.1         0.1         0.1
    Other...........................................................       *      ..........  ..........  ..........  ..........  ..........  ..........
  Receipts from Trust funds.........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, income..............................................       0.3         0.4         0.4         0.4         0.4         0.4         0.4
Outgo:
  To the public.....................................................       0.2         0.2         0.3         0.3         0.2         0.3         0.3
  Payments to Other funds...........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, outgo...............................................       0.2         0.2         0.3         0.3         0.2         0.3         0.3
Change in fund balance:
  Surplus or deficit (-):
    Excluding interest..............................................       *           0.1         *           0.1         0.1         0.1         0.1
    Interest........................................................       0.1         0.1         0.1         0.1         0.1         0.1         0.1
                                                                     -----------------------------------------------------------------------------------
      Subtotal, surplus or deficit (-)..............................       0.1         0.1         0.1         0.1         0.2         0.1         0.1
  Adjustments:
    Transfers/lapses (net)..........................................       *      ..........  ..........  ..........  ..........  ..........  ..........
    Other adjustments...............................................       *      ..........  ..........  ..........  ..........  ..........  ..........
      Total, change in fund balance.................................       0.1         0.1         0.1         0.1         0.2         0.1         0.1
                                                                     ===================================================================================
Balance, end of year................................................       1.6         1.8         1.9         2.0         2.2         2.3         2.5
 
                     Nuclear Waste Disposal Fund
Balance, start of year                                                     6.2         7.3         8.3         9.3        10.0        11.1        12.4
Income:
  Governmental receipts.............................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
  Proprietary receipts..............................................       0.6         0.6         0.6         0.6         0.6         0.6         0.6
  Receipts from Federal funds:
    Interest........................................................       0.7         0.5         0.6         0.6         0.7         0.8         0.9
    Other...........................................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
  Receipts from Trust funds.........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, income..............................................       1.3         1.1         1.2         1.3         1.3         1.4         1.5
Outgo:
  To the public.....................................................       0.2         0.2         0.3         0.6         0.2         0.2         0.2
  Payments to Other funds...........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, outgo...............................................       0.2         0.2         0.3         0.6         0.2         0.2         0.2
Change in fund balance:
  Surplus or deficit (-):
    Excluding interest..............................................       0.4         0.5         0.4         0.0         0.4         0.4         0.4
    Interest........................................................       0.7         0.5         0.6         0.6         0.7         0.8         0.9
                                                                     -----------------------------------------------------------------------------------
      Subtotal, surplus or deficit (-)..............................       1.2         1.0         0.9         0.7         1.2         1.2         1.3
  Adjustments:
    Transfers/lapses (net)..........................................     --*      ..........       *      ..........  ..........  ..........  ..........
    Other adjustments...............................................     --*           *         --*      ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Total, change in fund balance.................................       1.2         1.0         1.0         0.7         1.2         1.2         1.3
                                                                     ===================================================================================
Balance, end of year................................................       7.3         8.3         9.3        10.0        11.1        12.4        13.7
 
               Overseas Private Investment Corporation
Balance, start of year                                                     2.5         2.8         3.0         3.3         3.6         3.8         4.1
Income:
  Governmental receipts.............................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
  Proprietary receipts..............................................       0.1         0.1         0.1         0.1         0.1         0.1         0.1
  Receipts from Federal funds:
    Interest........................................................       0.2         0.2         0.2         0.2         0.2         0.2         0.2

[[Page 350]]

 
    Other...........................................................       *           *           *           *           *           *           *
  Receipts from Trust funds.........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, income..............................................       0.3         0.3         0.3         0.3         0.3         0.3         0.3
Outgo:
  To the public.....................................................       *           0.1         0.1         0.1         0.1         0.1         0.1
  Payments to Other funds...........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, outgo...............................................       *           0.1         0.1         0.1         0.1         0.1         0.1
Change in fund balance:
  Surplus or deficit (-):
    Excluding interest..............................................       0.1         0.1         0.1         0.0         0.0         0.0         0.0
    Interest........................................................       0.2         0.2         0.2         0.2         0.2         0.2         0.2
                                                                     -----------------------------------------------------------------------------------
      Subtotal, surplus or deficit (-)..............................       0.3         0.3         0.3         0.3         0.2         0.3         0.3
  Adjustments:
    Transfers/lapses (net)..........................................       0.1        -0.1       --*      ..........  ..........  ..........  ..........
    Other adjustments...............................................     --*      ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Total, change in fund balance.................................       0.3         0.2         0.2         0.3         0.2         0.3         0.3
                                                                     ===================================================================================
Balance, end of year................................................       2.8         3.0         3.3         3.6         3.8         4.1         4.4
 
     Uranium Enrichment Decontamination and Decommissioning Fund
Balance, start of year..............................................       0.9         1.3         1.7         2.2         2.6         3.2         3.8
Income:
  Governmental receipts.............................................       0.1         0.2         0.2         0.2         0.2         0.3         0.3
  Proprietary receipts..............................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
  Receipts from Federal funds:
    Interest........................................................       0.1         0.1         0.1         0.1         0.1         0.2         0.2
    Other...........................................................       0.4         0.4         0.4         0.4         0.4         0.4         0.4
  Receipts from Trust funds.........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, income..............................................       0.6         0.6         0.7         0.7         0.8         0.9         0.9
Outgo:
  To the public.....................................................       0.2         0.2         0.2         0.2         0.2         0.2         0.2
  Payments to Other funds...........................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
      Subtotal, outgo...............................................       0.2         0.2         0.2         0.2         0.2         0.2         0.2
Change in fund balance:.............................................
  Surplus or deficit (-):
    Excluding interest..............................................       0.3         0.3         0.4         0.4         0.4         0.5         0.5
    Interest........................................................       0.1         0.1         0.1         0.1         0.1         0.2         0.2
                                                                     -----------------------------------------------------------------------------------
      Subtotal, surplus or deficit (-)..............................       0.4         0.4         0.5         0.5         0.6         0.6         0.7
  Adjustments:
    Transfers/lapses (net)..........................................       *      ..........  ..........  ..........  ..........  ..........  ..........
    Other adjustments...............................................  ..........  ..........  ..........  ..........  ..........  ..........  ..........
                                                                     -----------------------------------------------------------------------------------
    Total, change in fund balance...................................       0.4         0.4         0.5         0.5         0.6         0.6         0.7
                                                                     ===================================================================================
Balance, end of year................................................       1.3         1.7         2.2         2.6         3.2         3.8         4.5
--------------------------------------------------------------------------------------------------------------------------------------------------------
* Less than $50 million.
Note: Balances shown include committed and uncommitted cash balances.