[Appendix]
[Detailed Budget Estimates by Agency]
[Office of Personnel Management]
[From the U.S. Government Printing Office, www.gpo.gov]


[[Page 1067]]

 
                     OFFICE OF PERSONNEL MANAGEMENT

                              Federal Funds

General and special funds:

                          Salaries and Expenses

                   (including transfer of trust funds)

    For necessary expenses to carry out functions of the Office of 
Personnel Management pursuant to Reorganization Plan Numbered 2 of 1978 
and the Civil Service Reform Act of 1978, including services as 
authorized by 5 U.S.C. 3109; medical examinations performed for veterans 
by private physicians on a fee basis; rental of conference rooms in the 
District of Columbia and elsewhere; hire of passenger motor vehicles; 
not to exceed $2,500 for official reception and representation expenses; 
advances for reimbursements to applicable funds of the Office of 
Personnel Management and the Federal Bureau of Investigation for 
expenses incurred under Executive Order No. 10422 of January 9, 1953, as 
amended; and payment of per diem and/or subsistence allowances to 
employees where Voting Rights Act activities require an employee to 
remain overnight at his or her post of duty, [$90,584,000] $100,558,000; 
and in addition [$95,486,000] $101,986,000 for administrative expenses, 
to be transferred from the appropriate trust funds of the Office of 
Personnel Management without regard to other statutes, including direct 
procurement of printed materials, for the retirement and insurance 
programs, of which [$4,000,000] $10,500,000 shall remain available until 
expended for the cost of automating the retirement recordkeeping 
systems: Provided, That the provisions of this appropriation shall not 
affect the authority to use applicable trust funds as provided by 
sections 8348(a)(1)(B) and 8909(g) of title 5, United States Code: 
Provided further, That no part of this appropriation shall be available 
for salaries and expenses of the Legal Examining Unit of the Office of 
Personnel Management established pursuant to Executive Order No. 9358 of 
July 1, 1943, or any successor unit of like purpose: Provided further, 
That the President's Commission on White House Fellows, established by 
Executive Order No. 11183 of October 3, 1964, may, during fiscal year 
[2000] 2001, accept donations of money, property, and personal services 
in connection with the development of a publicity brochure to provide 
information about the White House Fellows, except that no such donations 
shall be accepted for travel or reimbursement of travel expenses, or for 
the salaries of employees of such Commission. (Independent Agencies 
Appropriations Act, 2000.)

               Program and Financing (in millions of dollars)

----------------------------------------------------------------------------
Identification code 24-0100-0-1-805      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------

    Obligations by program activity:
      Direct program:

00.01   Merit systems oversight and 
          effectiveness.................          19          21          21
00.02   Employment service..............          26          29          36
00.03   Retirement and insurance service         107         111         115
00.04   Workforce compensation and 
          performance service...........           8           8           8
00.05   Investigations service..........           3           3           3
00.06   Workforce relations.............           4           4           4
00.07   Executive resources.............           2           2           2
00.08   Administrative services.........          14          18          19
00.09   Executive and other services....          14          12          14
09.01 Reimbursable program..............           9          10          10
                                           ---------   ---------  ----------
10.00   Total new obligations...........         206         218         232
----------------------------------------------------------------------------

    Budgetary resources available for obligation:
21.40 Unobligated balance available, 
        start of year...................          -3           8
22.00 New budget authority (gross)......         219         219         232
                                           ---------   ---------  ----------
23.90   Total budgetary resources 
          available for obligation......         216         227         232
23.95 Total new obligations.............        -206        -218        -232
23.98 Unobligated balance expiring or 
        withdrawn.......................          -2          -8
24.40 Unobligated balance available, end 
        of year.........................           8
----------------------------------------------------------------------------

    New budget authority (gross), detail:
      Discretionary:

40.00   Appropriation...................          85          91         101
40.76   Reduction pursuant to P.L. 106-
          113...........................
42.00   Transferred from other accounts.           2
                                           ---------   ---------  ----------
43.00     Appropriation (total 
            discretionary)..............          87          90         101
      Spending authority from offsetting 
          collections:

68.00   Offsetting collections (cash)...         105         128         131
68.10   From Federal sources: Change in 
          receivables and unpaid, 
          unfilled orders...............          27
                                           ---------   ---------  ----------
68.90     Spending authority from 
            offsetting collections 
            (total discretionary).......         132         128         131
                                           ---------   ---------  ----------
70.00   Total new budget authority 
          (gross).......................         219         219         232
----------------------------------------------------------------------------

    Change in unpaid obligations:
      Unpaid obligations, start of year:

72.40   Obligated balance, start of year          37          -7          -6
72.95   From Federal sources: 
          Receivables and unpaid, 
          unfilled orders...............          32          59          59
                                           ---------   ---------  ----------
72.99     Total unpaid obligations, 
            start of year...............          69          52          53
73.10 Total new obligations.............         206         218         232
73.20 Total outlays (gross).............        -206        -217        -227
73.40 Adjustments in expired accounts 
        (net)...........................         -17
      Unpaid obligations, end of year:

74.40   Obligated balance, end of year..          -7          -6          -1
74.95   From Federal sources: 
          Receivables and unpaid, 
          unfilled orders...............          59          59          59
                                           ---------   ---------  ----------
74.99     Total unpaid obligations, end 
            of year.....................          52          53          58
----------------------------------------------------------------------------

    Outlays (gross), detail:
86.90 Outlays from new discretionary 
        authority.......................         181         206         219
86.93 Outlays from discretionary 
        balances........................          25          11           8
                                           ---------   ---------  ----------
87.00   Total outlays (gross)...........         206         217         227
----------------------------------------------------------------------------

    Offsets:
      Against gross budget authority and outlays:

88.00   Offsetting collections (cash) 
          from: Federal sources.........        -105        -128        -131
      Against gross budget authority only:

88.95   From Federal sources: Change in 
          receivables and unpaid, 
          unfilled orders...............         -27
----------------------------------------------------------------------------

    Net budget authority and outlays:
89.00 Budget authority..................          87          91         101
90.00 Outlays...........................         101          89          96
---------------------------------------------------------------------------

                 Summary of Budget Authority and Outlays

                        (in millions of dollars)

                                     1999 actual  2000 est.   2001 est.
Enacted/requested:
  Budget Authority..................          87          90         101
  Outlays...........................         101          89          96
Supplemental proposal:
  Budget Authority..................                       1
  Outlays...........................                       1
                                    ------------------------------------
Total:
  Budget Authority..................          87          91         101
  Outlays...........................         101          90          96
                                    ====================================

    The Office of Personnel Management (OPM) is responsible for 
personnel management functions which include the following activities:

    Merit systems oversight and effectiveness.--This activity includes: 
(a) evaluating human resources management (HRM) in Federal agencies 
through various methods, including on-site reviews and special studies; 
(b) administering classification appeals, Fair Labor Standards Act, and 
Intergovernmental Personnel programs to ensure that agencies adhere to 
the statutory requirements; (c) helping agencies develop merit-based HRM 
accountability systems to support mission accomplishment; (d) assessing 
the effectiveness of Governmentwide HRM policies and programs and 
serving as a clear

[[Page 1068]]

inghouse for best practices; (e) testing and evaluating innovative HRM 
practices and systems, including demonstration projects under 5 U.S.C. 
Chapter 47; (f) providing readily accessible statistics on the Federal 
workforce; and (g) administering parts of the Voting Rights Act of 1965.

    Program performance.--The activity's performance measures are 
designed to assess the value-added outcomes which oversight reviews, 
accountability and demonstration projects, and workforce information 
have on the Federal HRM community and employees. Client feedback is 
solicited on each review, product, and service. For example, clients 
rate the overall value of the oversight work as 4 on a 5-point scale. 
The quality of data that is provided to clients is regularly assessed, 
and is used in reviews, studies, and projects. Of each agency's records 
entered into the Central Personnel Data File, at least 97 percent are 
correct on all core elements. The Merit System Principles Questionnaire, 
used to collect employee perceptions of the merit system principles, is 
content valid and reliable. The questionnaire was streamlined for 2000 
and beyond. In 2000 and 2001 OPM will conduct 15 to 16 nationwide agency 
oversight reviews to ensure compliance with Federal Civil Service merit 
principles.

    Employment service.--The Employment Service provides leadership and 
manages the merit-based employment system for the Federal government. In 
partnership with agencies, the Service provides a high-quality, diverse 
workforce through a mix of policy direction, technical assistance, and 
reimbursable services in the following areas: employment information; 
assessment; merit-based staffing services; veterans' preference; 
workforce diversity; automated human resources management systems; 
workforce restructuring and placement, and organizational analysis and 
improvement. These operations are carried out through a network of 
Service Centers throughout the country. Special emphasis in 2000 and 
2001 will continue to be given to improving Federal employment 
opportunities for adults with disabilities and Hispanic Americans, and 
to enhancing the Government's ability to recruit, develop, and retain 
computer security professionals.

    Program performance.--The Employment Service establishes annual 
performance goals and objectives designed to accomplish long-term goals 
identified in OPM's Strategic Plan. Progress is monitored through a mix 
of outcome and output measures, including results of oversight reviews, 
qualitative feedback on the usefulness of policies and information 
processes, customer satisfaction with services, cost-comparison 
analyses, workload accomplishment data, and quality and timeliness of 
information.

    The Employment Service provided employment information to over 14.8 
million people in 1999 through a nationwide system available 24 hours a 
day, 7 days a week, by telephone, fax, internet, and touch screen 
kiosks. USAJOBS averages more than 40,000 visits daily. This is a 
seventy percent increase from the previous year and is expected to 
continue to grow.

    The Employment Service conducts a recertification and training 
program for all agency Delegated Examining Units to ensure that agencies 
are carrying out their delegated responsibilities in accordance with law 
and regulation, and accomplished all scheduled recertifications. In 
1999, they revised the delegation handbook and developed a new training 
program.

    In 1999, the Employment Service promptly issued regulations 
implementing new laws, such as the Veterans Employment Opportunity Act, 
and changes in voluntary early retirement authority. It also implemented 
Presidential initiatives, such as hiring persons with disabilities and 
eliminated approximately 46 redundant excepted appointment authorities. 
In 1999 the Employment Service began a competency-based study of the 
information technology (IT) occupation. When completed in 2000, this 
study will form the foundation of a Federal Cyber Services (FCS) 
initiative, designed to strengthen the information security (IS) 
occupation in the workforce. In 2000 and 2001, Centers of IT Excellence, 
sources of IT training for Federal employees, will be identified; a 
scholarship-for-service program will be developed (with the National 
Science Foundation) to provide undergraduate and graduate support in 
exchange for government service; and a high school outreach program will 
be designed and tested.

    In 1999, the Employment Service assisted over 9,500 employees with 
outplacement assistance and selection priority for other Federal jobs. 
Nearly 4,300 of these individuals were placed in other positions within 
the same agency. Another 183 were rehired through the Reemployment 
Priority List.

    Retirement and Insurance.-- This Activity encompasses administration 
of Earned Employee Benefits--the retirement and insurance programs--for 
Federal employees, retired Federal employees, and their families. These 
programs include the Civil Service Retirement System, the Federal 
Employees' Retirement System, the Federal Employees Group Life Insurance 
Program, and the Federal Employees and Retired Employees Health Benefits 
Programs. In 2000, the Administration proposed a new program to offer 
group long term care insurance for Federal employees and retirees, their 
spouses, parents and parents-in-law. In addition, this Activity includes 
OPM's efforts designed to stay abreast of, and respond to, developments 
in non-Federal fringe benefits practices.

    Program performance.--During 2001, modernization of the Federal 
Employee Retirement Systems will continue. The Retirement Systems 
Modernization Project (RSM) will shift from blueprint planning to 
initiation of the core applications that will transform the provision of 
Retirement services. The RSM effort will result in changes to current 
processes and systems so that claims processing, record keeping, 
benefits counseling and financial management functions are performed 
more efficiently and effectively.

    Customer satisfaction with the delivery of retirement program 
services to annuitants continued, as 96 percent of customers reported 
they were generally to very satisfied with OPM's overall retirement 
services.

    OPM continued efforts to expand and improve its telecommunications 
services. Toll-free telephone access is provided to all call centers, 
and the number of customer service representatives provided to answer 
incoming customer calls during 2000 increased 20 percent over 1999. 
Customers are also better served by the extended hours of operations at 
the Pittsburgh center where calls can now be received until 8:00 PM. In 
addition, interactive features were added to the OPM web site so that 
annuitants can make the same changes to their payment accounts as they 
can through the Agency's toll-free interactive telephone system. The 
increase in these interactive self-service technologies and the 
increased capacity for handling telephone inquiries resulted in a 26 
percent increase in the volume of telephone calls both received and 
handled compared to 1998 volumes. Customer satisfaction levels regarding 
the courtesy, clarity, and timeliness of telephone services remains high 
at 90 percent.

    The volume of new annuity claims remained steady. OPM received and 
processed an average of 86,600 Civil Service and Federal Employee 
Retirement Systems annuity claims annually over the past five years. The 
processing times for interim annuity payments were reduced 
significantly, from 7 days in 1995 to 3.4 days today, with 40 percent of 
these payments being authorized within one day of receiving retirement 
applications at OPM. During the same time frame, the

[[Page 1069]]

time needed to calculate and begin paying retirees their final annuity 
has steadily decreased.

    OPM also maintained its leadership in the direct deposit program to 
ensure that customers receive their annuity payment on time each month. 
During 1998, a direct mail campaign was implemented by OPM to inform 
annuitants and survivors of the convenience and desirability of direct 
deposit. At the start of 1998, 79 percent of annuity payments were made 
by electronic funds transfer. Spurred by OPM's campaign, participation 
continues to grow and today, nearly 92 percent of annuitants receive 
their payments this way.

    In the health insurance program, during 2000, OPM fully implemented 
the Patients' Bill of Rights across the entire Federal Employees Health 
Benefits (FEHBP) Program. This included publishing final regulations 
that prohibit health plans from limiting the disclosures physicians may 
make to patients regarding treatment options.

    To strengthen its leadership role in the health insurance industry, 
OPM continued to build and maintain strong relationships with the 
National Committee for Quality Assurance (NCQA), the Joint Commission on 
Accreditation of Healthcare Organizations (JCAHO), the Health Care 
Financing Administration and other components of the Department of 
Health and Human Services, and the Foundation for Accountability 
(FAACT). These partnerships have been instrumental in promoting the use 
of health care quality outcome measures by the Federal Government and 
health care purchasers and providers throughout the Nation. During 2000, 
OPM also gathered Health Employees Data Information Sets (HEDIS) data 
from FEHBP participating Health Maintenance Organizations and selected 
Preferred Provider Organizations. During 2001, congruent with activities 
of the Federal Quality Interagency Coordination (QuIC) Task Force, OPM 
will provide guidance to the FEHBP participating carriers on instituting 
initiatives to improve health care quality through the prevention of 
medical errors and enhancements in patient safety. In addition, in 2001, 
the FEHB Program's benefit structure will, for the first time, provide 
for parity in the provision of mental health and substance abuse 
benefits with medical benefits.

    Workforce compensation and performance.--This activity includes; (a) 
developing and implementing pay and leave administration policy and 
evaluating the effectiveness of alternative compensation systems; (b) 
developing classification policies and systems and designing flexible 
alternatives to current systems; and (c) developing Governmentwide 
policy concerning employee performance management.

    Program performance.--The workforce compensation and performance 
program area uses a variety of measures to identify its level of 
success. Overall customer service is measured through OPM's Customer 
Satisfaction Survey. The 1999 survey showed that at least 68 percent of 
human resources specialists were satisfied with information sharing in 
each program area, and at least 66 percent were satisfied with technical 
assistance in each program area. Ninety-two percent of specialists were 
satisfied with guidance materials dealing with Federal salary tables, 
the highest single rating on the entire survey. In 1999 the Workforce 
Compensation and Performance Service staged the first Strategic 
Compensation Conference. Eighty-seven percent of attendees rated it good 
to excellent overall. The latest editions of the Human Resources HRCD-
ROM have been expanded to include additional information on salary 
tables and performance-related documents, and the human resources 
specialists increased their satisfaction rating with the materials from 
76 percent in 1998 to 78 percent.

    Investigations.--This activity focuses on assuring applicant and 
appointee fitness and suitability, and oversight of the investigative 
contract company.

    Workforce relations.--This activity includes: (a) developing and 
administering policies, regulations and guidelines on employee 
relations, including adverse and performance-based actions and violence 
in the workplace; (b) facilitating and supporting Federal work and 
family programs; (c) providing leadership and policy guidance in support 
of agency human resource development programs and training technology 
initiatives; and (d) providing guidance and assistance to Federal 
agencies on labor-management relations and partnership, including 
managing the activities of the national Partnership Council on behalf of 
the Council Chair.

    Program performance.--OPM's workforce relations performance measures 
are designed to determine the value added by OPM's policy leadership and 
guidance on employee and labor-management relations issues, work and 
family programs, and human resource development programs. The Office of 
Workforce Relations (OWR) uses a variety of measures to identify its 
level of success. For instance, surveys at regular intervals assess the 
extent to which our customers feel that their needs are met by OWR 
products and services such as printed and electronic materials, and 
conferences, seminars, and workshops, as well as by legislative and 
regulatory proposals coming from OWR.

    Executive resources.--This activity provides Government-wide program 
leadership, policy direction and technical assistance on all aspects of 
the Senior Executive Service personnel system and comparable executive 
systems.

    Administrative services.--This activity includes: OPM personnel and 
equal employment opportunity, security, facilities, telecommunications, 
publishing, acquisitions, and information resources management to 
support all OPM programs.

    Executive and other services.--This activity includes: executive 
direction, policy development, legal advice and representation, public 
affairs, legislative activities, financial management, and the operating 
expenses of the President's Commission on White House Fellows.

    Reimbursable programs.--OPM performs reimbursable work at the 
request of other agencies. OPM also provides administrative, information 
resources management, and executive services to other OPM accounts on a 
reimbursable basis.

               Object Classification (in millions of dollars)

----------------------------------------------------------------------------
Identification code 24-0100-0-1-805      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------

      Direct obligations:

        Personnel compensation:
11.1      Full-time permanent...........          95          95          99
11.3      Other than full-time permanent           5           5           5
11.5      Other personnel compensation..           4           4           4
                                           ---------   ---------  ----------
11.9        Total personnel compensation         104         104         108
12.1    Civilian personnel benefits.....          21          24          25
21.0    Travel and transportation of 
          persons.......................           2           2           2
23.1    Rental payments to GSA..........          17          18          17
23.3    Communications, utilities, and 
          miscellaneous charges.........          10          11          11
24.0    Printing and reproduction.......           3           3           3
25.2    Other services..................          30          35          45
26.0    Supplies and materials..........           2           3           3
31.0    Equipment.......................           8           8           8
                                           ---------   ---------  ----------
99.0      Subtotal, direct obligations..         197         208         222
99.0  Reimbursable obligations..........           9          10          10
                                           ---------   ---------  ----------
99.9    Total new obligations...........         206         218         232
---------------------------------------------------------------------------

                              Personnel Summary

----------------------------------------------------------------------------
Identification code 24-0100-0-1-805      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------
    Direct:
1001  Total compensable workyears: Full-
        time equivalent employment......       1,975       2,082       2,097
    Reimbursable:
2001  Total compensable workyears: Full-
        time equivalent employment......          80          98          98
---------------------------------------------------------------------------

[[Page 1070]]



                                

                       Office of Inspector General

                          salaries and expenses

                   (including transfer of trust funds)

    For necessary expenses of the Office of Inspector General in 
carrying out the provisions of the Inspector General Act, as amended, 
including services as authorized by 5 U.S.C. 3109, hire of passenger 
motor vehicles, [$960,000] $1,360,000; and in addition, not to exceed 
[$9,645,000] $9,745,000 for administrative expenses to audit, 
investigate, and provide other oversight of the Office of Personnel 
Management's retirement and insurance programs, to be transferred from 
the appropriate trust funds of the Office of Personnel Management, as 
determined by the Inspector General: Provided, That the Inspector 
General is authorized to rent conference rooms in the District of 
Columbia and elsewhere. (Independent Agencies Appropriations Act, 2000.)

               Program and Financing (in millions of dollars)

----------------------------------------------------------------------------
Identification code 24-0400-0-1-805      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------

    Obligations by program activity:
10.00 Total new obligations.............          10          11          11
----------------------------------------------------------------------------

    Budgetary resources available for obligation:
22.00 New budget authority (gross)......          10          11          11
23.95 Total new obligations.............         -10         -11         -11
----------------------------------------------------------------------------

    New budget authority (gross), detail:
      Discretionary:

40.00   Appropriation...................           1           1           1
68.00 Spending authority from offsetting 
        collections: Offsetting 
        collections (cash)..............           9          10          10
                                           ---------   ---------  ----------
70.00   Total new budget authority 
          (gross).......................          10          11          11
----------------------------------------------------------------------------

    Change in unpaid obligations:
72.40 Unpaid obligations, start of year: 
        Obligated balance, start of year                      -2
73.10 Total new obligations.............          10          11          11
73.20 Total outlays (gross).............         -10         -11         -11
74.40 Unpaid obligations, end of year: 
        Obligated balance, end of year..          -2
----------------------------------------------------------------------------

    Outlays (gross), detail:
86.90 Outlays from new discretionary 
        authority.......................          10          11          11
86.93 Outlays from discretionary 
        balances........................                      -2
                                           ---------   ---------  ----------
87.00   Total outlays (gross)...........          10          11          11
----------------------------------------------------------------------------

    Offsets:
      Against gross budget authority and outlays:

88.00   Offsetting collections (cash) 
          from: Federal sources.........          -9         -10         -10
----------------------------------------------------------------------------

    Net budget authority and outlays:
89.00 Budget authority..................           1           1           1
90.00 Outlays...........................           1           1           1
---------------------------------------------------------------------------

    This appropriation provides agency-wide audit, investigative, 
evaluation, inspection, and administrative sanction functions to 
identify management and administrative deficiencies that may create 
conditions for fraud, waste, and mismanagement. The audits function 
provides internal agency audit, insurance audit, and contract audit 
services. Contract audits provide professional advice to agency 
contracting officials on accounting and financial matters regarding the 
negotiation, award, administration, repricing, and settlement of 
contracts. Internal agency audits review and evaluate all facets of 
agency operations, including financial statements. Evaluation and 
inspection services provide detailed technical evaluations of agency 
operations. Insurance audits review the operations of health and life 
insurance carriers, health care providers, and insurance subscribers. 
The investigative function provides for the detection and investigation 
of improper and illegal activities involving programs, personnel, and 
operations. Administrative sanctions debar from participation in the 
health insurance program those health care providers whose conduct may 
pose a threat to the financial integrity of the program itself or to the 
well-being of insurance program enrollees. These Inspector General 
activities resulted in positive financial impact approximately $52 
million in 1999. This request includes an additional $0.5 million above 
the approved 2000 resource level to implement P.L. 105-266, The Health 
Care Protection Act of 1998, and conduct performance audits of agency 
programs. These additional resources will enhance the Inspector 
General's ability to protect the integrity of the Federal Employees' 
Health Benefits Program, assist OPM in recovering funds improperly paid 
to health care providers, and improve the economy and efficiency of 
program operations.

               Object Classification (in millions of dollars)

----------------------------------------------------------------------------
Identification code 24-0400-0-1-805      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------
11.1  Personnel compensation: Full-time 
        permanent.......................           6           6           6
12.1  Civilian personnel benefits.......           1           2           2
23.1  Rental payments to GSA............           1           1           1
25.2  Other services....................           1           1           1
                                           ---------   ---------  ----------
99.0      Subtotal, direct obligations..           9          10          10
99.5  Below reporting threshold.........           1           1           1
                                           ---------   ---------  ----------
99.9    Total new obligations...........          10          11          11
---------------------------------------------------------------------------

                              Personnel Summary

----------------------------------------------------------------------------
Identification code 24-0400-0-1-805      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------
    Direct:
1001  Total compensable workyears: Full-
        time equivalent employment......          93         106         111
    Reimbursable:
2001  Total compensable workyears: Full-
        time equivalent employment......                       1           1
---------------------------------------------------------------------------

                                

      Government Payment for Annuitants, Employees Health Benefits

    For payment of Government contributions with respect to retired 
employees, as authorized by chapter 89 of title 5, United States Code, 
and the Retired Federal Employees Health Benefits Act (74 Stat. 849), as 
amended, such sums as may be necessary. (Independent Agencies 
Appropriations Act, 2000.)

               Program and Financing (in millions of dollars)

----------------------------------------------------------------------------
Identification code 24-0206-0-1-551      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------

    Obligations by program activity:
00.01 Government contribution for 
        annuitants benefits (1959 Act)..       4,607       4,992       5,425
00.02 Government contribution for 
        annuitants benefits (1960 Act)..           3           3           2
                                           ---------   ---------  ----------
10.00   Total new obligations (object 
          class 13.0)...................       4,610       4,995       5,427
----------------------------------------------------------------------------

    Budgetary resources available for obligation:
22.00 New budget authority (gross)......       4,611       4,995       5,427
23.95 Total new obligations.............      -4,610      -4,995      -5,427
----------------------------------------------------------------------------

    New budget authority (gross), detail:
      Mandatory:

60.05   Appropriation (indefinite)......       4,611       4,995       5,427
----------------------------------------------------------------------------

    Change in unpaid obligations:
72.40 Unpaid obligations, start of year: 
        Obligated balance, start of year         228         391         407
73.10 Total new obligations.............       4,610       4,995       5,427
73.20 Total outlays (gross).............      -4,448      -4,979      -5,407
74.40 Unpaid obligations, end of year: 
        Obligated balance, end of year..         391         407         427
----------------------------------------------------------------------------

    Outlays (gross), detail:
86.97 Outlays from new mandatory 
        authority.......................       4,219       4,588       5,000
86.98 Outlays from mandatory balances...         228         391         407
                                           ---------   ---------  ----------
87.00   Total outlays (gross)...........       4,448       4,979       5,407
----------------------------------------------------------------------------

[[Page 1071]]



    Net budget authority and outlays:
89.00 Budget authority..................       4,611       4,995       5,427
90.00 Outlays...........................       4,448       4,979       5,407
---------------------------------------------------------------------------

                 Summary of Budget Authority and Outlays

                        (in millions of dollars)

                                     1999 actual  2000 est.   2001 est.
Enacted/requested:
  Budget Authority..................       4,611       4,995       5,427
  Outlays...........................       4,447       4,979       5,407
Legislative proposal, not subject to 
    PAYGO:
  Budget Authority..................                                 -73
  Outlays...........................                                 -73
                                    ------------------------------------
Total:
  Budget Authority..................       4,611       4,995       5,354
  Outlays...........................       4,447       4,979       5,334
                                    ====================================

    This appropriation covers: (1) the Government's share of the cost of 
health insurance for 1,851,000 annuitants as defined in sections 8901 
and 8906 of title 5, United States Code; (2) the Government's share of 
the cost of health insurance for about 5,500 annuitants (who were 
retired when the Federal employees health benefits law became 
effective), as defined in the Retired Federal Employees Health Benefits 
Act of 1960; and (3) the Government's contribution for payment of 
administrative expenses incurred by the Office of Personnel Management 
in administration of the Act.

    The budget authority for this account recognizes the amounts being 
remitted by the U.S. Postal Service (USPS) to finance a portion of its 
post-1971 annuitants' health benefit costs. As of the end of 1999, this 
group of USPS annuitants totalled 419,000 persons.

                                

      Government Payment for Annuitants, Employees Health Benefits

              (Legislative proposal, not subject to PAYGO)

               Program and Financing (in millions of dollars)

----------------------------------------------------------------------------
Identification code 24-0206-2-1-551      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------

    Obligations by program activity:
00.01 Government contribution for 
        annuitants benefits (1959 Act)..                                 -73
                                           ---------   ---------  ----------
10.00   Total new obligations (object 
          class 13.0)...................                                 -73
----------------------------------------------------------------------------

    Budgetary resources available for obligation:
22.00 New budget authority (gross)......                                 -73
23.95 Total new obligations.............                                  73
----------------------------------------------------------------------------

    New budget authority (gross), detail:
      Mandatory:

60.05   Appropriation (indefinite)......                                 -73
----------------------------------------------------------------------------

    Change in unpaid obligations:
73.10 Total new obligations.............                                 -73
73.20 Total outlays (gross).............                                  73
----------------------------------------------------------------------------

    Outlays (gross), detail:
86.97 Outlays from new mandatory 
        authority.......................                                 -73
----------------------------------------------------------------------------

    Net budget authority and outlays:
89.00 Budget authority..................                                 -73
90.00 Outlays...........................                                 -73
---------------------------------------------------------------------------

    The Administration will propose legislation that will help control 
the future rate of growth of FEHB premiums by leveraging the purchasing 
power of the Federal Government. If enacted, this initiative will enable 
OPM to develop a comprehensive dental insurance benefit that would be 
available to Federal employees, annuitants, and their families.

                                

       Government Payment for Annuitants, Employee Life Insurance

    For payment of Government contributions with respect to employees 
retiring after December 31, 1989, as required by chapter 87 of title 5, 
United States Code, such sums as may be necessary. (Independent Agencies 
Appropriations Act, 2000.)

               Program and Financing (in millions of dollars)

----------------------------------------------------------------------------
Identification code 24-0500-0-1-602      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------

    Obligations by program activity:
10.00 Total new obligations (object 
        class 25.2).....................          31          33          35
----------------------------------------------------------------------------

    Budgetary resources available for obligation:
22.00 New budget authority (gross)......          31          33          35
23.95 Total new obligations.............         -31         -33         -35
----------------------------------------------------------------------------

    New budget authority (gross), detail:
      Mandatory:

60.00   Appropriation...................          31          33          35
----------------------------------------------------------------------------

    Change in unpaid obligations:
72.40 Unpaid obligations, start of year: 
        Obligated balance, start of year           3           3           3
73.10 Total new obligations.............          31          33          35
73.20 Total outlays (gross).............         -31         -33         -35
74.40 Unpaid obligations, end of year: 
        Obligated balance, end of year..           3           3           3
----------------------------------------------------------------------------

    Outlays (gross), detail:
86.97 Outlays from new mandatory 
        authority.......................          28          30          32
86.98 Outlays from mandatory balances...           3           3           3
                                           ---------   ---------  ----------
87.00   Total outlays (gross)...........          31          33          35
----------------------------------------------------------------------------

    Net budget authority and outlays:
89.00 Budget authority..................          31          33          35
90.00 Outlays...........................          31          33          35
---------------------------------------------------------------------------

    This appropriation finances the Government's share of premiums, 
which is one-third the cost, for Basic life insurance for annuitants 
retiring after December 31, 1989, and who are less than 65 years old.

                                

         Payment to Civil Service Retirement and Disability Fund

    For financing the unfunded liability of new and increased annuity 
benefits becoming effective on or after October 20, 1969, as authorized 
by 5 U.S.C. 8348, and annuities under special Acts to be credited to the 
Civil Service Retirement and Disability Fund, such sums as may be 
necessary: Provided, That annuities authorized by the Act of May 29, 
1944, as amended, and the Act of August 19, 1950, as amended (33 U.S.C. 
771-775), may hereafter be paid out of the Civil Service Retirement and 
Disability Fund. (Independent Agencies Appropriations Act, 2000.)

               Program and Financing (in millions of dollars)

----------------------------------------------------------------------------
Identification code 24-0200-0-1-805      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------

    Obligations by program activity:
00.02 Payment of Government share of 
        retirement costs................       8,759       8,838       8,940
00.03 Transfers for interest on unfunded 
        liability and payment of 
        military service annuities......      12,581      12,346      12,508
00.05 Spouse equity payment.............          61          61          61
                                           ---------   ---------  ----------
10.00   Total new obligations...........      21,401      21,245      21,509
----------------------------------------------------------------------------

    Budgetary resources available for obligation:
22.00 New budget authority (gross)......      21,401      21,245      21,509
23.95 Total new obligations.............     -21,401     -21,245     -21,509
----------------------------------------------------------------------------

    New budget authority (gross), detail:
      Mandatory:

        Appropriation (indefinite):
60.05     Appropriation (indefinite)....      12,642      12,407      12,569
60.05     Appropriation (indefinite)....       8,759       8,838       8,940
                                           ---------   ---------  ----------
62.50     Appropriation (total 
            mandatory)..................      21,401      21,245      21,509
----------------------------------------------------------------------------

[[Page 1072]]



    Change in unpaid obligations:
73.10 Total new obligations.............      21,401      21,245      21,509
73.20 Total outlays (gross).............     -21,401     -21,245     -21,509
----------------------------------------------------------------------------

    Outlays (gross), detail:
86.97 Outlays from new mandatory 
        authority.......................      21,401      21,245      21,509
----------------------------------------------------------------------------

    Net budget authority and outlays:
89.00 Budget authority..................      21,401      21,245      21,509
90.00 Outlays...........................      21,401      21,245      21,509
---------------------------------------------------------------------------

                 Summary of Budget Authority and Outlays

                        (in millions of dollars)

                                     1999 actual  2000 est.   2001 est.
Enacted/requested:
  Budget Authority..................      21,401      21,245      21,509
  Outlays...........................      21,401      21,245      21,509
Legislative proposal, not subject to 
    PAYGO:
  Budget Authority..................                                   1
  Outlays...........................                                   1
                                    ------------------------------------
Total:
  Budget Authority..................      21,401      21,245      21,510
  Outlays...........................      21,401      21,245      21,510
                                    ====================================

    Payment of Government share of retirement costs.--This payment 
amortizes increases in the static unfunded liability created since 
October 20, 1969 by any statute which authorizes new or liberalized 
benefits, an extension of retirement coverage, or pay increases.

    Transfers for interest on static unfunded liability and payment of 
military service annuities.--This transfer covers interest on the static 
unfunded liability and annuity disbursements attributable to military 
service.

    Payments for spouse equity.--This payment provides survivor 
annuities to eligible former spouses of annuitants who died between 
September 1978 and May 1986 and who did not elect survivor coverage. 

               Object Classification (in millions of dollars)

----------------------------------------------------------------------------
Identification code 24-0200-0-1-805      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------
12.1  Civilian personnel benefits.......       8,759       8,838       8,940
13.0  Benefits for former personnel.....      12,642      12,407      12,569
                                           ---------   ---------  ----------
99.9    Total new obligations...........      21,401      21,245      21,509
---------------------------------------------------------------------------

                                

         Payment to Civil Service Retirement and Disability Fund

              (Legislative proposal, not subject to PAYGO)

               Program and Financing (in millions of dollars)

----------------------------------------------------------------------------
Identification code 24-0200-2-1-805      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------

    Obligations by program activity:
00.02 Payment of Government share of 
        retirement costs................                                  -1
00.03 Transfers for interest on unfunded 
        liability and payment of 
        military service annuities......                                   2
                                           ---------   ---------  ----------
10.00   Total new obligations...........                                   1
----------------------------------------------------------------------------

    Budgetary resources available for obligation:
22.00 New budget authority (gross)......                                   1
23.95 Total new obligations.............                                  -1
----------------------------------------------------------------------------

    New budget authority (gross), detail:
      Mandatory:

        Appropriation (indefinite):
60.05     Appropriation (indefinite)....                                  -1
60.05     Appropriation (indefinite)....                                   2
                                           ---------   ---------  ----------
62.50     Appropriation (total 
            mandatory)..................                                   1
----------------------------------------------------------------------------

    Change in unpaid obligations:
73.10 Total new obligations.............                                   1
73.20 Total outlays (gross).............                                  -1
----------------------------------------------------------------------------

    Outlays (gross), detail:
86.97 Outlays from new mandatory 
        authority.......................                                   1
----------------------------------------------------------------------------

    Net budget authority and outlays:
89.00 Budget authority..................                                   1
90.00 Outlays...........................                                   1
---------------------------------------------------------------------------

    The Administration will propose legislation that would restore 
Federal employment retirement contributions to pre-1999 levels and 
provide Government-wide buyout authority.

               Object Classification (in millions of dollars)

----------------------------------------------------------------------------
Identification code 24-0200-2-1-805      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------
12.1  Civilian personnel benefits.......                                  -1
13.0  Benefits for former personnel.....                                   2
                                           ---------   ---------  ----------
99.9    Total new obligations...........                                   1
---------------------------------------------------------------------------

                                

Intragovernmental funds:

                             Revolving Fund

               Program and Financing (in millions of dollars)

----------------------------------------------------------------------------
Identification code 24-4571-0-4-805      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------

    Obligations by program activity:
09.01 DOD testing.......................           7           8           8
09.02 Employment service................          31          34          37
09.03 Investigations....................          94         131         150
09.04 Workforce relations...............          43          45          46
09.05 Executive resources...............          21          25          26
                                           ---------   ---------  ----------
10.00   Total new obligations...........         196         243         267
----------------------------------------------------------------------------

    Budgetary resources available for obligation:
21.40 Unobligated balance available, 
        start of year...................          31          20          20
22.00 New budget authority (gross)......         185         243         267
                                           ---------   ---------  ----------
23.90   Total budgetary resources 
          available for obligation......         216         263         287
23.95 Total new obligations.............        -196        -243        -267
24.40 Unobligated balance available, end 
        of year.........................          20          20          20
----------------------------------------------------------------------------

    New budget authority (gross), detail:
      Spending authority from offsetting 
          collections:

        Discretionary:
68.00     Offsetting collections (cash).         203         243         267
68.10     From Federal sources: Change 
            in receivables and unpaid, 
            unfilled orders.............         -18
                                           ---------   ---------  ----------
68.90       Spending authority from 
              offsetting collections 
              (total discretionary).....         185         243         267
----------------------------------------------------------------------------

    Change in unpaid obligations:
      Unpaid obligations, start of year:

72.40   Obligated balance, start of year          29          51          51
72.95   From Federal sources: 
          Receivables and unpaid, 
          unfilled orders...............         160         142         142
                                           ---------   ---------  ----------
72.99     Total unpaid obligations, 
            start of year...............         189         193         193
73.10 Total new obligations.............         196         243         267
73.20 Total outlays (gross).............        -192        -243        -267
      Unpaid obligations, end of year:

74.40   Obligated balance, end of year..          51          51          51
74.95   From Federal sources: 
          Receivables and unpaid, 
          unfilled orders...............         142         142         142
                                           ---------   ---------  ----------
74.99     Total unpaid obligations, end 
            of year.....................         193         193         193
----------------------------------------------------------------------------

    Outlays (gross), detail:
86.90 Outlays from new discretionary 
        authority.......................         185         243         267
86.93 Outlays from discretionary 
        balances........................           7
                                           ---------   ---------  ----------

[[Page 1073]]


87.00   Total outlays (gross)...........         192         243         267
----------------------------------------------------------------------------

    Offsets:
      Against gross budget authority and outlays:

        Offsetting collections (cash) 
            from:
88.00     Federal sources...............        -202        -242        -266
88.40     Non-Federal sources...........          -1          -1          -1
                                           ---------   ---------  ----------
88.90       Total, offsetting 
              collections (cash)........        -203        -243        -267
      Against gross budget authority only:

88.95   From Federal sources: Change in 
          receivables and unpaid, 
          unfilled orders...............          18
----------------------------------------------------------------------------

    Net budget authority and outlays:
89.00 Budget authority..................
90.00 Outlays...........................         -11
---------------------------------------------------------------------------

    DOD testing.--OPM conducts military entrance exams for the 
Department of Defense (DOD) as a cost-effective and reliable provider. 
The Employment Service continued to provide testing for the Department 
of Defense, conducting approximately 14,789 student test sessions and 
22,033 enlistment sessions.

    Employment service.--OPM delivers employment information, examining 
services, automated staffing, and related human resource management 
services to Federal agencies nationwide. In 1999, 51 Executive Branch, 
five Legislative Branch, one Judicial Branch, and one-non-appropriated 
fund, and 9 State and municipal agencies contracted with the Employment 
Service for a wide array of products and services.

    Investigations.--Through a contract with an employee-owned private 
company, OPM conducts National Agency Check and Inquiry cases and 
background security investigations for Federal agencies on a 
reimbursable basis. To the extent that OPM is required to pay a fee to 
the Federal Bureau of Investigation for name and fingerprint checks, 
agencies are required to reimburse OPM for such fees through the 
revolving fund.

    Workforce relations.--OPM provides training and management 
assistance (TMA) to Federal agencies in support of their producing 
training products, services, humans resource management systems and 
other human resource development interventions through partnership with 
Federal agencies and private sector firms specializing in instructional 
systems.

    Program performance.--The TMA program performance measures are 
designed to determine the value added to Federal agencies through human 
resource management assistance utilizing an instructional systems design 
approach. They include workload business well-being indicators such as 
maintaining a positive retained earnings contribution to OPM's revolving 
fund; and customer satisfaction measures to better define the benefit to 
TMA services.

    Executive resources.--OPM conducts residential and non-residential 
programs for Federal executives and managers to improve the 
effectiveness and efficiency of Federal programs, and manages the 
President's quality awards program.

                             WORKLOAD COUNT

                                     1999 actual  2000 est.   2001 est.
Participant training days...........      78,456      80,754      83,260
Background security investigations 
processed...........................      44,005      56,000      66,000
National and special agency check 
and inquiry cases...................     325,652     365,000     380,000

               Object Classification (in millions of dollars)

----------------------------------------------------------------------------
Identification code 24-4571-0-4-805      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------

      Personnel compensation:

11.1    Full-time permanent.............          19          22          23
11.3    Other than full-time permanent..           6           6           6
11.5    Other personnel compensation....           1           2           2
                                           ---------   ---------  ----------
11.9      Total personnel compensation..          26          30          31
12.1  Civilian personnel benefits.......           6           7           8
21.0  Travel and transportation of 
        persons.........................           3           4           4
23.1  Rental payments to GSA............           7           7           7
23.3  Communications, utilities, and 
        miscellaneous charges...........           5           6           6
24.0  Printing and reproduction.........           1           1           1
25.2  Other services....................         143         183         204
26.0  Supplies and materials............           2           2           2
31.0  Equipment.........................           3           3           4
                                           ---------   ---------  ----------
99.9    Total new obligations...........         196         243         267
---------------------------------------------------------------------------

                              Personnel Summary

----------------------------------------------------------------------------
Identification code 24-4571-0-4-805      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------
2001  Total compensable workyears: Full-
        time equivalent employment......         620         697         677
---------------------------------------------------------------------------

                                

  

                               Trust Funds

              Civil Service Retirement and Disability Fund

              Unavailable Collections (in millions of dollars)

----------------------------------------------------------------------------
Identification code 24-8135-0-7-602      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------
    Balance, start of year:
01.99 Balance, start of year............     446,957     477,477     507,804
    Receipts:
02.01 Employee contributions............       4,213       4,034       4,078
02.02 Agency contributions..............       9,094       8,879       9,335
02.03 District of Columbia contributions          73          74          68
02.04 Postal Service agency 
        contributions...................       2,589       2,897       2,980
02.05 Postal Service supplemental 
        contributions...................       3,412       3,540       3,644
02.06 Federal Financing Bank interest...       2,600       1,377       1,372
02.07 Employee deposits, redeposits and 
        other contributions.............         135         136         138
02.08 Treasury interest.................      30,979      33,791      34,418
02.09 General fund payment to the Civil 
        Service Retirement and 
        Disability fund.................      21,401      21,245      21,509
02.10 Re-employed annuitants salary 
        offset..........................          26          27          26
02.15 Employee contributions, 
        legislative proposal not subject 
        to PAYGO........................                                  -9
02.16 Agency contributions, legislative 
        proposal not subject to PAYGO...                                 -34
02.18 Treasury interest, legislative 
        proposal not subject to PAYGO...                                  -8
02.19 General fund payment, legislative 
        proposal not subject to PAYGO...                                   1
02.20 Employee contributions, 
        legislative proposal subject to 
        PAYGO...........................                                -427
                                           ---------   ---------  ----------
02.99   Total receipts..................      74,522      76,000      77,091
                                           ---------   ---------  ----------
04.00 Total: Balances and collections...     521,479     553,477     584,895
    Appropriation:
05.01 Civil service retirement and 
        disability fund.................     -44,002     -45,673     -47,770
05.02 Proposed legislation, subject to 
        PAYGO...........................                                   2
05.03 Proposed legislation, not subject 
        to PAYGO........................                                 -27
                                           ---------   ---------  ----------
05.99 Subtotal appropriation............     -44,002     -45,673     -47,795
                                           ---------   ---------  ----------
07.99 Total balance, end of year........     477,477     507,804     537,100
---------------------------------------------------------------------------

               Program and Financing (in millions of dollars)

----------------------------------------------------------------------------
Identification code 24-8135-0-7-602      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------

    Obligations by program activity:
00.01 Annuities.........................      43,538      45,242      47,326
00.02 Refunds and death claims..........         354         325         335
00.03 OPM Administration................         108         104         107
00.04 Transfer to MSPB..................           2           2           2
                                           ---------   ---------  ----------
10.00   Total new obligations...........      44,002      45,673      47,770
----------------------------------------------------------------------------

    Budgetary resources available for obligation:
22.00 New budget authority (gross)......      44,002      45,673      47,770
23.95 Total new obligations.............     -44,002     -45,673     -47,770
----------------------------------------------------------------------------

    New budget authority (gross), detail:
      Discretionary:

40.26   Appropriation (trust fund, 
          definite).....................          78          83          90
      Mandatory:

60.27   Appropriation (trust fund, 
          indefinite)...................      74,354      75,666      76,702
60.45   Portion precluded from 
          obligation....................     -30,430     -30,076     -29,022
                                           ---------   ---------  ----------

[[Page 1074]]


62.50     Appropriation (total 
            mandatory)..................      43,924      45,590      47,680
                                           ---------   ---------  ----------
70.00   Total new budget authority 
          (gross).......................      44,002      45,673      47,770
----------------------------------------------------------------------------

    Change in unpaid obligations:
72.40 Unpaid obligations, start of year: 
        Obligated balance, start of year       3,726       3,796       4,014
73.10 Total new obligations.............      44,002      45,673      47,770
73.20 Total outlays (gross).............     -43,932     -45,455     -47,540
74.40 Unpaid obligations, end of year: 
        Obligated balance, end of year..       3,796       4,014       4,244
----------------------------------------------------------------------------

    Outlays (gross), detail:
86.90 Outlays from new discretionary 
        authority.......................          78          83          90
86.97 Outlays from new mandatory 
        authority.......................      40,128      41,576      43,436
86.98 Outlays from mandatory balances...       3,726       3,796       4,014
                                           ---------   ---------  ----------
87.00   Total outlays (gross)...........      43,932      45,455      47,540
----------------------------------------------------------------------------

    Net budget authority and outlays:
89.00 Budget authority..................      44,002      45,673      47,770
90.00 Outlays...........................      43,932      45,455      47,540
----------------------------------------------------------------------------

    Memorandum (non-add) entries:
92.01 Total investments, start of year: 
        U.S. securities: Par value......     450,674     481,274     511,814
92.02 Total investments, end of year: 
        U.S. securities: Par value......     481,274     511,814     541,340
---------------------------------------------------------------------------

                 Summary of Budget Authority and Outlays

                        (in millions of dollars)

                                     1999 actual  2000 est.   2001 est.
Enacted/requested:
  Budget Authority..................      44,002      45,673      47,770
  Outlays...........................      43,932      45,455      47,540
Legislative proposal, not subject to 
    PAYGO:
  Budget Authority..................                                  27
  Outlays...........................                                  27
Legislative proposal, subject to 
    PAYGO:
  Budget Authority..................                                  -2
  Outlays...........................                                  -2
                                    ------------------------------------
Total:
  Budget Authority..................      44,002      45,673      47,795
  Outlays...........................      43,932      45,455      47,565
                                    ====================================

    This fund: (1) pays annuities to retired employees or their 
survivors; (2) makes refunds to separated employees for amounts withheld 
and to beneficiaries of employees who died before retirement or before 
annuities equaled the amount withheld; and (3) pays expenses of the 
Office of Personnel Management and the Merit Systems Protection Board 
for administering the program. The fund covers two Federal civilian 
retirement systems: the Civil Service Retirement System (CSRS) and the 
Federal Employees' Retirement System (FERS).

    CSRS is basically a defined benefit plan, covering Federal employees 
hired prior to 1984. CSRS participants do not participate in the Social 
Security system. FERS is a three-tiered pension program that uses Social 
Security as a base, provides an additional basic benefit, and includes a 
thrift savings plan. FERS covers employees hired after 1983 and formerly 
CSRS-covered employees who elected to join FERS.

                                     1999 actual  2000 est.   2001 est.
Active employees....................   2,667,800   2,655,900   2,654,800
Annuitants:
  Employees.........................   1,736,964   1,742,200   1,749,700
  Survivors.........................     631,153     634,400     638,400
                                    ------------------------------------
      Total, annuitants.............   2,368,117   2,376,600   2,388,100
                                    ====================================

                  Status of Funds (in millions of dollars)

----------------------------------------------------------------------------
Identification code 24-8135-0-7-602      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------
    Unexpended balance, start of year:
0100  Treasury balance..................          15           3           8
      U.S. Securities:

0101    Par value.......................     450,674     481,274     511,814
0102    Unrealized discounts............          -6          -4          -4
                                           ---------   ---------  ----------
0199    Total balance, start of year....     450,683     481,273     511,818
    Cash income during the year:
      Governmental receipts:

0200    Employee contributions, Civil 
          Service Retirement and 
          Disability Fund...............       4,213       4,034       4,078
0201    Employee contributions, 
          legislative proposal not 
          subject to PAYGO..............                                  -9
0202    District of Columbia 
          contributions.................          73          74          68
0203    Employee deposits, redeposits, 
          and voluntary contributions...         135         136         138
0206    Employee contributions, 
          legislative proposal subject 
          to PAYGO......................                                -427
      Intragovernmental transactions:

0240    Agency contributions, Civil 
          Service Retirement and 
          Disability Fund...............       9,094       8,879       9,335
0241    Agency contributions, 
          legislative proposal not 
          subject to PAYGO..............                                 -34
0242    Postal Service agency 
          contributions, Civil Service 
          Retirement and Disability Fund       2,589       2,897       2,980
0243    Postal Service supplemental 
          contributions, Civil Service 
          Retirement and Disability Fund       3,412       3,540       3,644
0244    Federal Financing Bank interest, 
          Civil Service Retirement and 
          Disability Fund...............       2,600       1,377       1,372
0245    Treasury interest, Civil Service 
          Retirement and Disability Fund      30,979      33,791      34,418
0246    Treasury interest, legislative 
          proposal not subject to PAYGO.                                  -8
0247    General fund payment to the 
          Civil Service Retirement and 
          Disability Fund...............      21,401      21,245      21,509
0248    General fund payment, 
          legislative proposal not 
          subject to PAYGO..............                                   1
0250    Re-employed annuitant salary 
          offset, Civil Service 
          Retirement and Disability Fund          26          27          26
0297  Income under present law..........      74,522      76,000      77,568
0298  Income under proposed legislation.                                -477
                                           ---------   ---------  ----------
0299    Total cash income...............      74,522      76,000      77,091
    Cash outgo during year:
0501  Payment of claims to retired 
        employees.......................     -36,507     -37,671     -39,211
0502  Payment of alternative annuity 
        refunds.........................          -6          -4          -4
0505  Payment of claims to survivor 
        annuitants......................      -6,975      -7,346      -7,881
0506  Lump sum payments to estates or 
        beneficiaries of deceased 
        annuitants and employees........        -127        -136        -161
0507  Refunds to living separated 
        employees.......................        -207        -189        -174
0508  Administration....................        -110        -109        -109
0509  Proposed legislation, not subject 
        to PAYGO........................                                 -27
0510  Proposed legislation, subject to 
        PAYGO...........................                                   2
0597  Outgo under present law (-).......     -43,932     -45,455     -47,540
0598  Outgo under proposed legislation 
        (-).............................                                 -25
                                           ---------   ---------  ----------
0599  Total cash outgo (-)..............     -43,932     -45,455     -47,565
    Unexpended balance, end of year:
0700  Uninvested balance................           3           8           8
      U.S. Securities:

0701    Par value.......................     481,274     511,814     541,340
0702    Unrealized discounts............          -4          -4          -4
                                           ---------   ---------  ----------
0799    Total balance, end of year......     481,273     511,818     541,344
---------------------------------------------------------------------------

               Object Classification (in millions of dollars)

----------------------------------------------------------------------------
Identification code 24-8135-0-7-602      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------
25.2  Other services....................         110         106         109
42.0  Insurance claims and indemnities..      43,538      45,242      47,326
44.0  Refunds and death claims..........         354         325         335
                                           ---------   ---------  ----------
99.9    Total new obligations...........      44,002      45,673      47,770
---------------------------------------------------------------------------

[[Page 1075]]



                                

              Civil Service Retirement and Disability Fund

              (Legislative proposal, not subject to PAYGO)

               Program and Financing (in millions of dollars)

----------------------------------------------------------------------------
Identification code 24-8135-2-7-602      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------

    Obligations by program activity:
00.01 Annuities.........................                                  27
                                           ---------   ---------  ----------
10.00   Total new obligations (object 
          class 42.0)...................                                  27
----------------------------------------------------------------------------

    Budgetary resources available for obligation:
22.00 New budget authority (gross)......                                  27
23.95 Total new obligations.............                                 -27
----------------------------------------------------------------------------

    New budget authority (gross), detail:
      Mandatory:

60.27   Appropriation (trust fund, 
          indefinite)...................                                 -50
60.45   Portion precluded from 
          obligation....................                                  77
                                           ---------   ---------  ----------
62.50     Appropriation (total 
            mandatory)..................                                  27
----------------------------------------------------------------------------

    Change in unpaid obligations:
73.10 Total new obligations.............                                  27
73.20 Total outlays (gross).............                                 -27
----------------------------------------------------------------------------

    Outlays (gross), detail:
86.97 Outlays from new mandatory 
        authority.......................                                  27
----------------------------------------------------------------------------

    Net budget authority and outlays:
89.00 Budget authority..................                                  27
90.00 Outlays...........................                                  27
---------------------------------------------------------------------------

    The Administration will propose legislation that would restore 
Federal employee retirement contributions to pre-1999 levels, provide 
Government-wide buyout authority, correct retirement coverage errors, 
and make various human resources management improvements.

                                

              Civil Service Retirement and Disability Fund

                (Legislative proposal, subject to PAYGO)

               Program and Financing (in millions of dollars)

----------------------------------------------------------------------------
Identification code 24-8135-4-7-602      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------

    Obligations by program activity:
00.01 Annuities.........................                                  -2
                                           ---------   ---------  ----------
10.00   Total new obligations (object 
          class 42.0)...................                                  -2
----------------------------------------------------------------------------

    Budgetary resources available for obligation:
22.00 New budget authority (gross)......                                  -2
23.95 Total new obligations.............                                   2
----------------------------------------------------------------------------

    New budget authority (gross), detail:
      Mandatory:

60.27   Appropriation (trust fund, 
          indefinite)...................                                -427
60.45   Portion precluded from 
          obligation....................                                 425
                                           ---------   ---------  ----------
62.50     Appropriation (total 
            mandatory)..................                                  -2
----------------------------------------------------------------------------

    Change in unpaid obligations:
73.10 Total new obligations.............                                  -2
73.20 Total outlays (gross).............                                   2
----------------------------------------------------------------------------

    Outlays (gross), detail:
86.97 Outlays from new mandatory 
        authority.......................                                  -2
----------------------------------------------------------------------------

    Net budget authority and outlays:
89.00 Budget authority..................                                  -2
90.00 Outlays...........................                                  -2
---------------------------------------------------------------------------

    The Administration will propose legislation that would restore 
Federal employee retirement contributions to pre-1999 levels, correct 
retirement coverage errors, eliminate certain retirement inequities, and 
make various human resources management improvements.

                                

                      Employees Life Insurance Fund

               Program and Financing (in millions of dollars)

----------------------------------------------------------------------------
Identification code 24-8424-0-8-602      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------

    Obligations by program activity:
09.01 Regular program premiums..........       1,113       1,075       1,170
09.02 Optional program premiums.........         717         713         849
09.03 Beneficial program premiums.......           2           2           2
09.04 Administration....................           2           2           2
                                           ---------   ---------  ----------
10.00   Total new obligations (object 
          class 25.2)...................       1,834       1,792       2,023
----------------------------------------------------------------------------

    Budgetary resources available for obligation:
21.40 Unobligated balance available, 
        start of year...................      19,682      20,446      21,843
22.00 New budget authority (gross)......       2,598       3,189       3,282
                                           ---------   ---------  ----------
23.90   Total budgetary resources 
          available for obligation......      22,280      23,635      25,125
23.95 Total new obligations.............      -1,834      -1,792      -2,023
24.40 Unobligated balance available, end 
        of year.........................      20,446      21,843      23,102
----------------------------------------------------------------------------

    New budget authority (gross), detail:
      Discretionary:

68.00   Spending authority from 
          offsetting collections: 
          Offsetting collections (cash).           2           2           2
      Mandatory:

69.00   Offsetting collections (cash)...       2,943       3,149       3,286
69.10   From Federal sources: Change in 
          receivables and unpaid, 
          unfilled orders...............        -347          39          -6
                                           ---------   ---------  ----------
69.90     Spending authority from 
            offsetting collections 
            (total mandatory)...........       2,596       3,188       3,280
                                           ---------   ---------  ----------
70.00   Total new budget authority 
          (gross).......................       2,598       3,190       3,282
----------------------------------------------------------------------------

    Change in unpaid obligations:
      Unpaid obligations, start of year:

72.40   Obligated balance, start of year        -580          40          41
72.95   From Federal sources: 
          Receivables and unpaid, 
          unfilled orders...............         715         368         407
                                           ---------   ---------  ----------
72.99     Total unpaid obligations, 
            start of year...............         135         408         448
73.10 Total new obligations.............       1,834       1,792       2,023
73.20 Total outlays (gross).............      -1,560      -1,752      -1,966
      Unpaid obligations, end of year:

74.40   Obligated balance, end of year..          40          41         104
74.95   From Federal sources: 
          Receivables and unpaid, 
          unfilled orders...............         368         407         401
                                           ---------   ---------  ----------
74.99     Total unpaid obligations, end 
            of year.....................         408         448         505
----------------------------------------------------------------------------

    Outlays (gross), detail:
86.90 Outlays from new discretionary 
        authority.......................           2           2           2
86.97 Outlays from new mandatory 
        authority.......................       1,559       1,750       1,964
                                           ---------   ---------  ----------
87.00   Total outlays (gross)...........       1,560       1,752       1,966
----------------------------------------------------------------------------

    Offsets:
      Against gross budget authority and outlays:

        Offsetting collections (cash) 
            from:
88.00     Agency contributions..........        -394        -408        -436
88.20     Interest on U.S. securities...      -1,311      -1,371      -1,334
          Non-Federal sources:
88.40       Regular program.............        -581        -612        -658
88.40       Optional program............        -659        -760        -860
                                           ---------   ---------  ----------
88.90       Total, offsetting 
              collections (cash)........      -2,945      -3,151      -3,288
      Against gross budget authority only:

88.95   From Federal sources: Change in 
          receivables and unpaid, 
          unfilled orders...............         347         -39           6
----------------------------------------------------------------------------

    Net budget authority and outlays:
89.00 Budget authority..................
90.00 Outlays...........................      -1,384      -1,399      -1,322
----------------------------------------------------------------------------

    Memorandum (non-add) entries:
92.01 Total investments, start of year: 
        U.S. securities: Par value......      19,377      20,755      21,734
92.02 Total investments, end of year: 
        U.S. securities: Par value......      20,755      21,734      23,055
---------------------------------------------------------------------------

    This fund finances payments to private insurance companies for 
Federal employees' group life insurance and expenses of the Office of 
Personnel Management in administering the program.

[[Page 1076]]

    Budget program.--The status of the basic (regular and optional) life 
insurance program on September 30 is as follows:

                                     1999 actual  2000 est.   2001 est.
Life insurance in force (in billions 
    of dollars):
  On active employees...............         452         462         472
  On retired employees..............          48          50          52
                                    ------------------------------------
      Total.........................         500         512         524
                                    ====================================
Number of participants (in 
    thousands):
  Active employees..................       2,360       2,470       2,456
  Annuitants........................       1,593       1,597       1,601
                                    ------------------------------------
      Total.........................       3,853       4,067       4,057
                                    ====================================

    Financing.--Non-Postal Service employees and all retirees under 65 
pay two-thirds of the premium costs for Basic coverage; agencies pay the 
remaining third. Optional and certain post-retirement Basic coverages 
are paid entirely by enrollees. The status of the reserves at the end of 
the year is as follows:

         Status of Reserves          1999 actual  2000 est.   2001 est.
Held in reserve (in millions of 
    dollars):
  Contingency reserve...............          65          65          65
  Beneficial association program 
    reserve.........................           1           1           1
  U.S. Treasury reserve.............      20,755      21,734      23,055
                                    ------------------------------------
      Total reserves................      20,821      21,800      23,121
                                    ====================================

                                

          Employees and Retired Employees Health Benefits Funds

               Program and Financing (in millions of dollars)

----------------------------------------------------------------------------
Identification code 24-9981-0-8-551      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------

    Obligations by program activity:
09.01 Benefit payments..................      18,451      19,892      21,205
09.02 Payments from OPM contingency 
        reserve.........................         180         220         230
09.03 Government payment for annuitants 
        (1960 Act)......................           3           3           2
09.04 Administration....................          20          23          23
                                           ---------   ---------  ----------
10.00   Total new obligations (object 
          class 25.6)...................      18,654      20,138      21,460
----------------------------------------------------------------------------

    Budgetary resources available for obligation:
21.40 Unobligated balance available, 
        start of year...................       4,548       4,142       3,875
22.00 New budget authority (gross)......      18,247      19,871      21,339
                                           ---------   ---------  ----------
23.90   Total budgetary resources 
          available for obligation......      22,795      24,013      25,214
23.95 Total new obligations.............     -18,654     -20,138     -21,460
24.40 Unobligated balance available, end 
        of year.........................       4,142       3,875       3,753
----------------------------------------------------------------------------

    New budget authority (gross), detail:
      Discretionary:

68.00   Spending authority from 
          offsetting collections: 
          Offsetting collections (cash).          20          23          23
      Mandatory:

69.00   Offsetting collections (cash)...      18,019      19,761      21,242
69.10   From Federal sources: Change in 
          receivables and unpaid, 
          unfilled orders...............         208          87          74
                                           ---------   ---------  ----------
69.90     Spending authority from 
            offsetting collections 
            (total mandatory)...........      18,227      19,848      21,316
                                           ---------   ---------  ----------
70.00   Total new budget authority 
          (gross).......................      18,247      19,871      21,339
----------------------------------------------------------------------------

    Change in unpaid obligations:
      Unpaid obligations, start of year:

72.40   Obligated balance, start of year       1,688       1,671       1,716
72.95   From Federal sources: 
          Receivables and unpaid, 
          unfilled orders...............         688         896         983
                                           ---------   ---------  ----------
72.99     Total unpaid obligations, 
            start of year...............       2,376       2,567       2,699
73.10 Total new obligations.............      18,654      20,138      21,460
73.20 Total outlays (gross).............     -18,463     -20,005     -21,411
      Unpaid obligations, end of year:

74.40   Obligated balance, end of year..       1,671       1,716       1,692
74.95   From Federal sources: 
          Receivables and unpaid, 
          unfilled orders...............         896         983       1,057
                                           ---------   ---------  ----------
74.99     Total unpaid obligations, end 
            of year.....................       2,567       2,699       2,749
----------------------------------------------------------------------------

    Outlays (gross), detail:
86.90 Outlays from new discretionary 
        authority.......................          20          23          23
86.97 Outlays from new mandatory 
        authority.......................      17,755      19,087      20,405
86.98 Outlays from mandatory balances...         688         896         983
                                           ---------   ---------  ----------
87.00   Total outlays (gross)...........      18,463      20,005      21,411
----------------------------------------------------------------------------

    Offsets:
      Against gross budget authority and outlays:

        Offsetting collections (cash) 
            from:
          Federal sources:
88.00       Agency contributions........      -7,662      -8,509      -9,035
88.00       Government contributions for 
              annuitants................      -5,097      -5,683      -6,178
88.20     Interest on U.S. securities...        -360        -285        -295
          Non-Federal sources:
88.40       Employee salary withholdings      -2,573      -2,797      -2,990
88.40       Annuity withholdings........      -2,280      -2,452      -2,710
88.40       Contributions from D.C. 
              Government................         -67         -58         -57
                                           ---------   ---------  ----------
88.90       Total, offsetting 
              collections (cash)........     -18,039     -19,784     -21,265
      Against gross budget authority only:

88.95   From Federal sources: Change in 
          receivables and unpaid, 
          unfilled orders...............        -208         -87         -74
----------------------------------------------------------------------------

    Net budget authority and outlays:
89.00 Budget authority..................
90.00 Outlays...........................         424         221         146
----------------------------------------------------------------------------

    Memorandum (non-add) entries:
92.01 Total investments, start of year: 
        U.S. securities: Par value......       6,265       5,835       5,609
92.02 Total investments, end of year: 
        U.S. securities: Par value......       5,835       5,609       5,463
---------------------------------------------------------------------------

                 Summary of Budget Authority and Outlays

                        (in millions of dollars)

                                     1999 actual  2000 est.   2001 est.
Enacted/requested:
  Budget Authority..................
  Outlays...........................         424         222         146
Legislative proposal, not subject to 
    PAYGO:
  Budget Authority..................
  Outlays...........................                                 194
Legislative proposal, subject to 
    PAYGO:
  Budget Authority..................
  Outlays...........................                                -194
                                    ------------------------------------
Total:
  Budget Authority..................
  Outlays...........................         424         222         146
                                    ====================================

                  Status of Funds (in millions of dollars)

----------------------------------------------------------------------------
Identification code 24-9981-0-8-551      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------
    Unexpended balance, start of year:
0100  Treasury balance..................           6           1           5
      U.S. Securities:

0101    Par value.......................       6,265       5,835       5,609
0102    Unrealized discounts............         -34         -23         -23
                                           ---------   ---------  ----------
0199    Total balance, start of year....       6,236       5,813       5,591
    Cash income during the year:
      Offsetting collections:

0280    Contributions from Employing 
          Agencies......................       4,864       5,316       5,689
0281    Contributions from Postal 
          Service for Active Employees..       2,798       3,194       3,346
0282    Contributions from Postal 
          Service for Annuitants........         649         704         771
0283    Government Payment for Annuitant 
          Health Benefits...............       4,448       4,979       5,407
0284    Interest Earned.................         360         285         295
0285    Contributions from DC Government          67          58          57
0286    Contributions from Active 
          Employees.....................       2,573       2,797       2,990
0287    Contributions from Annuitants...       2,280       2,452       2,710
0288    Offsetting collections..........                                 -78
0289    Offsetting collections, 
          legislative proposal not 
          subject to PAYGO..............                                -194
0297  Income under present law..........      18,039      19,785      21,265
0298  Income under proposed legislation.                                -272
                                           ---------   ---------  ----------
0299    Total cash income...............      18,039      19,784      20,993
    Cash outgo during year:
0501  Benefit Payments (-)..............     -18,264     -19,763     -21,158
0502  Payments to Carriers from OPM 
        Contingency Reserves (-)........        -180        -220        -230
0503  Administration (-)................         -20         -23         -23
0504  Cash outgo during the year (-)....                                 272

[[Page 1077]]

0597  Outgo under present law (-).......     -18,464     -20,006     -21,411
0598  Outgo under proposed legislation 
        (-).............................                                 272
                                           ---------   ---------  ----------
0599  Total cash outgo (-)..............     -18,463     -20,005     -21,139
    Unexpended balance, end of year:
0700  Uninvested balance................           1           5           5
      U.S. Securities:

0701    Par value.......................       5,835       5,609       5,463
0702    Unrealized discounts............         -23         -23         -23
                                           ---------   ---------  ----------
0799    Total balance, end of year......       5,813       5,591       5,445
---------------------------------------------------------------------------

    This display combines the Federal Employees Health Benefits (FEHB) 
fund and the Retired Employees Health Benefit (REHB) fund.

    The FEHB fund provides for the cost of health benefits for: (1) 
active employees; (2) employees who retired after June 1960, or their 
survivors; (3) those annuitants transferred from the REHB program as 
authorized by Public Law 93-246; and (4) the related expenses of the 
Office of Personnel Management (OPM) in administering the program.

    The REHB fund, created by the Retired Employees Health Benefits Act 
of 1960, provides for: (1) the cost of health benefits for retired 
employees and survivors who enroll in a Government-sponsored uniform 
health benefits plan; (2) the contribution to retired employees and 
survivors who retain or purchase private health insurance; and (3) 
expenses of OPM in administering the program.

    Budget program.--The balance of the FEHB fund is available for 
payments without fiscal year limitation. Numbers of participants at the 
end of each fiscal year are as follows:

                                     1999 actual  2000 est.   2001 est.
Active employees....................       2,272       2,262       2,262
Annuitants..........................       1,851       1,859       1,869
                                    ------------------------------------
    Total...........................       4,123       4,121       4,131
                                    ====================================

    In determining a biweekly subscription rate to cover program costs, 
one percent is added for administrative expenses and three percent is 
added for a contingency reserve held by OPM for each carrier. OPM is 
authorized to transfer unused administrative reserve funds to the 
contingency reserve.

    The REHB fund is available without fiscal year limitation. The 
amounts contributed by the Government are paid into the fund from annual 
appropriations. The number of participants at the end of each fiscal 
year are as follows:

                                     1999 actual  2000 est.   2001 est.
Uniform plan........................       1,300       1,100         900
Private plans.......................       4,200       3,500       2,900
                                    ------------------------------------
    Total...........................       5,500       4,600       3,800
                                    ====================================

    Financing.--The funds are financed by: (1) withholdings from active 
employees and annuitants; (2) agency contributions for active employees; 
(3) Government contributions for annuitants appropriated to OPM; and (4) 
contributions made by the United States Postal Service in accordance 
with the provisions of Public Law 101-508 and Public Law 103-66.

    Operating results.--Funds made available to carriers but not used to 
pay claims in the current period are carried forward as special reserves 
for use in subsequent periods.

    OPM maintains a contingency reserve, funded by employee and 
Government contributions, that may be used to defray future cost 
increases or provide increased benefits. OPM makes payments to carriers 
from this reserve whenever carrier-held reserves fall below levels 
prescribed by OPM regulations or when carriers can demonstrate good 
cause such as unexpected claims experience or variations from expected 
community rates.

                                

          Employees and Retired Employees Health Benefits Funds

              (Legislative proposal, not subject to PAYGO)

               Program and Financing (in millions of dollars)

----------------------------------------------------------------------------
Identification code 24-9981-2-8-551      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------

    Obligations by program activity:
09.01 Benefit payments..................                                -194
                                           ---------   ---------  ----------
10.00   Total new obligations (object 
          class 25.6)...................                                -194
----------------------------------------------------------------------------

    Budgetary resources available for obligation:
22.00 New budget authority (gross)......                                -194
23.95 Total new obligations.............                                 194
----------------------------------------------------------------------------

    New budget authority (gross), detail:
      Mandatory:

69.00   Offsetting collections (cash)...                                -194
----------------------------------------------------------------------------

    Change in unpaid obligations:
73.10 Total new obligations.............                                -194
74.95 Unpaid obligations, end of year: 
        From Federal sources: 
        Receivables and unpaid, unfilled 
        orders..........................                                -194
----------------------------------------------------------------------------

    Offsets:
      Against gross budget authority and outlays:

        Offsetting collections (cash) 
            from:
          Federal sources:
88.00       Agency contributions........                                 121
88.00       Government contributions for 
              annuitants................                                  73
                                           ---------   ---------  ----------
88.90       Total, offsetting 
              collections (cash)........                                 194
----------------------------------------------------------------------------

    Net budget authority and outlays:
89.00 Budget authority..................
90.00 Outlays...........................
---------------------------------------------------------------------------

    The Administration will propose legislation that will help control 
the future rate of growth of FEHB premiums by leveraging the purchasing 
power of the Federal Government. If enacted, this initiative will enable 
OPM to develop a comprehensive dental insurance benefit that would be 
available to Federal employees, annuitants, and their families. This 
schedule also reflects an Administration proposal to authorize OPM to 
effect FEHBP enrollments necessary to comply with State court orders.

                                

          Employees and Retired Employees Health Benefits Funds

                (Legislative proposal, subject to PAYGO)

               Program and Financing (in millions of dollars)

----------------------------------------------------------------------------
Identification code 24-9981-4-8-551      1999 actual   2000 est.   2001 est.
----------------------------------------------------------------------------

    Obligations by program activity:
09.01 Benefit payments..................                                 -78
                                           ---------   ---------  ----------
10.00   Total new obligations (object 
          class 25.6)...................                                 -78
----------------------------------------------------------------------------

    Budgetary resources available for obligation:
22.00 New budget authority (gross)......                                 -78
23.95 Total new obligations.............                                  78
----------------------------------------------------------------------------

    New budget authority (gross), detail:
      Mandatory:

69.00   Offsetting collections (cash)...                                 -78
----------------------------------------------------------------------------

    Change in unpaid obligations:
72.95 Unpaid obligations, start of year: 
        From Federal sources: 
        Receivables and unpaid, unfilled 
        orders..........................
73.10 Total new obligations.............                                 -78
73.20 Total outlays (gross).............                                 272
74.95 Unpaid obligations, end of year: 
        From Federal sources: 
        Receivables and unpaid, unfilled 
        orders..........................                                 194
----------------------------------------------------------------------------

    Outlays (gross), detail:
86.97 Outlays from new mandatory 
        authority.......................                                -272
----------------------------------------------------------------------------

[[Page 1078]]



    Offsets:
      Against gross budget authority and outlays:

        Offsetting collections (cash) 
            from:
          Non-Federal sources:
88.40       Employee salary withholdings                                  40
88.40       Annuity withholdings........                                  37
88.40       Contributions from D.C. 
              Government................                                   1
                                           ---------   ---------  ----------
88.90       Total, offsetting 
              collections (cash)........                                  78
----------------------------------------------------------------------------

    Net budget authority and outlays:
89.00 Budget authority..................
90.00 Outlays...........................                                -194
---------------------------------------------------------------------------

    The Administration will propose legislation that will help control 
the future rate of growth of FEHB premiums by leveraging the purchasing 
power of the Federal Government. If enacted, this initiative will enable 
OPM to develop a comprehensive dental insurance benefit that would be 
available to Federal employees, annuitants, and their families. This 
schedule also reflects an Administration proposal to authorize OPM to 
effect FEHBP enrollments necessary to comply with State court orders.