[Appendix]
[Detailed Budget Estimates by Agency]
[Department of Education]
[From the U.S. Government Printing Office, www.gpo.gov]
THE BUDGET FOR FISCAL YEAR 2003
DEPARTMENT OF EDUCATION
OFFICE OF ELEMENTARY AND SECONDARY EDUCATION
Federal Funds
General and special funds
Education for the Disadvantaged
For carrying out title I of the Elementary and Secondary Education
Act of 1965 (``ESEA'') and section 418A of the Higher Education Act of
1965, [$12,346,900,000] $13,388,330,000, of which [$4,777,199,000]
$5,830,129,000 shall become available on July 1, [2002] 2003, and shall
remain available through September 30, [2003] 2004, and of which
$7,383,301,000 shall become available on October 1, [2002] 2003, and
shall remain available through September 30, [2003] 2004, for academic
year [2002-2003] 2003-2004: Provided, That $235,000,000 shall be
available for comprehensive school reform grants under part F of the
ESEA: Provided further, That $15,000,000 of the amount appropriated for
title I, part B, subpart 1 shall become available October 1, [2001]
2002, and shall remain available through September 30, [2003] 2004, for
evaluation and technical assistance: [Provided further, That the funds
provided for title I, part B, subpart 2 shall become available October
1, 2001, and shall remain available through September 30, 2003:]
Provided further, That [$7,172,971,000] $7,175,901,000 shall be
available for basic grants under section 1124: Provided further, That up
to $3,500,000 of these funds shall be available to the Secretary of
Education on October 1, [2001] 2002, to obtain updated educational-
agency-level census poverty data from the Bureau of the Census: Provided
further, That $1,365,031,000 shall be available for concentration grants
under section 1124A: Provided further, That [$1,018,499,000]
$2,018,499,000 shall be available for targeted grants under section
1125: Provided further, That $793,499,000 shall be available for
education finance incentive grants under section 1125A. (Department of
Education Appropriations Act, 2002; additional authorizing language is
required.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0900-0-1-501 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
Direct program:
Grants to local educational
agencies:
Local educational agency
formulas:
00.01 Basic grants................ 6,957 6,892 7,187
00.02 Concentration grants........ 1,148 1,350 1,351
00.03 Targeted grants............. 1,018 2,018
00.04 Education finance incentive
grants formula.............. 794 794
Reading first:
00.05 Reading first State grants.... 705 1,000
00.06 Early reading first........... 75 75
00.07 Even start...................... 234 271 200
00.08 Literacy through school
libraries..................... 12 12
00.09 State agency programs........... 425 450 444
00.10 Comprehensive school reform..... 209 237 235
00.11 Evaluation...................... 9 9 9
00.12 Close up fellowships............ 2
00.13 Advanced placement.............. 22 22
00.14 Dropout prevention programs..... 10
00.15 Capital expenses................ 7
00.16 Migrant education projects...... 30 38 38
--------- --------- ----------
10.00 Total new obligations........... 9,022 11,888 13,388
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Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 41 163
22.00 New budget authority (gross)...... 9,143 11,725 13,388
22.10 Resources available from
recoveries of prior year
obligations..................... 1
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 9,185 11,888 13,388
23.95 Total new obligations............. -9,022 -11,888 -13,388
24.40 Unobligated balance carried
forward, end of year............ 163
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New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 2,938 4,967 6,005
55.00 Advance appropriation........... 6,205 6,758 7,383
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 9,143 11,725 13,388
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Change in obligated balances:
72.40 Obligated balance, start of year.. 3,616 3,972 6,459
73.10 Total new obligations............. 9,022 11,888 13,388
73.20 Total outlays (gross)............. -8,650 -9,401 -11,850
73.40 Adjustments in expired accounts
(net)........................... -15
73.45 Recoveries of prior year
obligations..................... -1
74.40 Obligated balance, end of year.... 3,972 6,459 7,997
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 5,545 6,027 6,579
86.93 Outlays from discretionary
balances........................ 3,106 3,374 5,271
--------- --------- ----------
87.00 Total outlays (gross)........... 8,650 9,401 11,850
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 9,143 11,725 13,388
90.00 Outlays........................... 8,650 9,401 11,850
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Budget Authority and Outlays Excluding Full Funding for Federal Retiree
Costs (in millions of dollars)
----------------------------------------------------------------------------
2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 9,140 11,722 13,385
90.00 Outlays........................... 8,647 9,398 11,847
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SUMMARY OF PROGRAM LEVEL
(in millions of dollars)
2001-2002
academic
year 2002-2003
academic year 2003-2004
academic year
New Budget Authority................ 2,938 4,967 6,005
Advance appropriation............... 6,758 7,383 7,383
------------------------------------
Total program level........... 9,696 12,350 13,388
====================================
Change in advance appropriation from
the previous year................... +533 +625 0
Grants to local educational agencies.--Funds are allocated through
four formulas--Basic Grants, Concentration Grants, Targeted Grants and
Education Finance Incentive Grants--for local programs that provide
extra academic support to help raise the achievement of eligible
students, in high-poverty communities, or, in the case of schoolwide
programs, help all students in high-poverty schools to meet challenging
State acedmic standards. States must annually assess participating
students in at least reading and mathematics, and school districts must
identify for improvement, and provide assistance to, schools that for
two consecutive years fail to make adequate yearly progress toward
helping all groups of students reach the proficient level on the State
assessments. Disticts must provide students attending such schools the
choice of attending another public school that is not identified for
improvement. After three years of failure, students who remain in the
school would be permitted to use Title I funds to obtain supplemental
educational services from a public- or private-sector provider. Schools
that continue to fail to meet State standards would be subject to
progressively stonger corrective actions and, after six years of
failure, reconstitution under a restructing plan.
Reading first State grants.--Funds provide assistance to State and
local educational agencies in establishing reading
[[Page 348]]
programs for students in grades K-3 that are grounded in scientifically
based reading research, in order to ensure that every student can read
at grade level or above by the end of third grade.
Early reading first.--Funds provide assistance to support local
efforts, through competitive grants, to enhance the school readiness of
young children, particularly those from low-income families, through
scientific, research-based strategies and professional development that
are designed to enhance the verbal skills, phonological awareness,
letter knowledge, pre-reading skills, and early language development of
children ages three through five.
Even start.--Funds support formula grants to States, which award
grants for local projects to partnerships of local educational agencies
and other organizations to operate projects integrating early childhood
education, adult literacy, parenting education, and interactive literacy
activities between parents and their children into ``family literacy''
programs for low-income families with children under age seven.
Literacy through school libraries.--Funds support competitive grants
to local educational agencies to provide students with increased access
to up-to-date school library materials and professional certified
library media specialists.
State agency migrant program.--Funds support formula grants to
States for educational services to children of migratory farmworkers and
fishers, with resources and services focused on children who have moved
within the past 36 months.
State agency neglected and delinquent program.--Funds support
formula grants to States for educational services to children and youth
under age 21 in State neglected, delinquent, or adult correction
facilities.
Comprehensive school reform.--Funds support formula grants to
States, which in turn award grants to local educational agencies to help
participating schools initiate and implement comprehensive school
reforms based on approaches and methods grounded in reliable research
and practice.
Evaluation.--Funds support national activities to evaluate Title I
programs and a national assessment of the program's effectiveness in
helping States, school districts, and schools raise the overall
achievement of disadvantaged students and narrow the achievement gap.
Advanced placement.--Funds support formula grants to States to pay
test fees for low-income students if they are enrolled in an Advanced
Placement course and competitive grants to State educational agencies,
local educational agencies, or national nonprofit educational entities
for activities, such as teacher training and pre-advanced placement
course development, designed to expand access for low-income individuals
to Advanced Placement classes.
Migrant education projects.--Funds support grants to institutions of
higher education and other nonprofit agencies that assist migrant
students to earn a high school equivalency certificate or to complete
their first year of college.
Object Classification (in millions of dollars)
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Identification code 91-0900-0-1-501 2001 actual 2002 est. 2003 est.
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24.0 Printing and reproduction......... 1 2
25.1 Advisory and assistance services.. 11 26 30
25.2 Other services.................... 8 16 18
25.3 Other purchases of goods and
services from Government
accounts........................ 6 13 15
41.0 Grants, subsidies, and
contributions................... 8,997 11,832 13,323
--------- --------- ----------
99.9 Total new obligations........... 9,022 11,888 13,388
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Impact Aid
For carrying out programs of financial assistance to federally
affected schools authorized by title VIII of the Elementary and
Secondary Education Act of 1965, [$1,143,500,000] $1,140,500,000, of
which $982,500,000 shall be for basic support payments under section
8003(b), $50,000,000 shall be for payments for children with
disabilities under section 8003(d), [$48,000,000] $45,000,000 shall be
for construction under section 8007 and shall remain available through
September 30, [2003] 2004, $55,000,000 shall be for Federal property
payments under section 8002, and $8,000,000, to remain available until
expended, shall be for facilities maintenance under section 8008[:
Provided, That $3,000,000 of the funds for section 8007 shall be
available for the local educational agencies and in the amounts
specified in the statement of the managers on the conference report
accompanying this Act]. (Department of Education Appropriations Act,
2002.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0102-0-1-501 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
Payments for federally connected children:
00.01 Basic support payments.......... 882 983 983
00.02 Supplemental payments for
children with disabilities.... 50 50 50
00.03 Payments for heavily impacted
districts..................... 1 5
--------- --------- ----------
00.91 Subtotal, payments for federally
connected children............ 933 1,038 1,033
01.01 Facilities maintenance............ 8 8 8
02.01 Construction...................... 13 22 46
03.01 Payments for Federal property..... 41 55 55
--------- --------- ----------
10.00 Total new obligations (object
class 41.0)................... 995 1,123 1,142
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 14 14 35
22.00 New budget authority (gross)...... 993 1,144 1,141
22.10 Resources available from
recoveries of prior year
obligations..................... 2
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 1,009 1,158 1,176
23.95 Total new obligations............. -995 -1,123 -1,142
24.40 Unobligated balance carried
forward, end of year............ 14 35 35
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 993 1,144 1,141
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 266 215 186
73.10 Total new obligations............. 995 1,123 1,142
73.20 Total outlays (gross)............. -1,040 -1,152 -1,126
73.40 Adjustments in expired accounts
(net)........................... -4
73.45 Recoveries of prior year
obligations..................... -2
74.40 Obligated balance, end of year.... 215 186 202
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 918 999 999
86.93 Outlays from discretionary
balances........................ 122 153 127
--------- --------- ----------
87.00 Total outlays (gross)........... 1,040 1,152 1,126
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 993 1,144 1,141
90.00 Outlays........................... 1,040 1,152 1,126
---------------------------------------------------------------------------
Impact Aid helps to replace the lost local revenue that would
otherwise be available to educate federally connected children. The
presence of certain students living on Federal property, such as
students who are military dependents or who reside on Indian lands, can
place a financial burden on local educational agencies that educate
them. The property on which the children live or their parents work is
exempt from local property taxes, denying local educational agencies
access to the primary source of revenue used by most communities to
finance education.
Basic support payments.--Payments will be made on behalf of
approximately 1.1 million federally connected students enrolled in about
1,330 local educational agencies to assist them
[[Page 349]]
in meeting their operation and maintenance costs. Average per-student
payments will be approximately $870.
Payments for Children with Disabilities.--Payments in addition to
those provided under the Individuals with Disabilities Education Act
will be provided on behalf of approximately 54,000 federally connected
students with disabilities in about 830 local educational agencies.
Average per-student payments will be approximately $920.
Facilities maintenance.--Funds are used to provide emergency repairs
for school facilities that serve military dependents and are owned by
the Department of Education. Funds are also used to transfer the
facilities to local educational agencies.
Construction.--Formula payments will be provided to approximately
170 local educational agencies with large proportions of federally
connected students. Payments will be made on behalf of about 140,000
students who are military dependents or who reside on Indian lands. In
addition, approximately 25 construction grants will be awarded
competitively to local educational agencies.
Payments for Federal Property.--Payments are made to approximately
250 local educational agencies in which real property owned by the
Federal Government represents 10 percent or more of the assessed value
of real property in the local educational agency.
School Improvement Programs
For carrying out school improvement activities authorized by titles
II, IV, V, subpart 1 of part A of title VI, and parts B and C of title
VII of the Elementary and Secondary Education Act of 1965 (``ESEA'');
[part B of title II of the Higher Education Act;] the McKinney-Vento
Homeless Assistance Act; and the Civil Rights Act of 1964,
[$7,827,473,000] $6,784,484,000, of which [$1,717,609,000] $500,000,000
shall become available October 1, [2001] 2002, and shall remain
available through September 30, [2003] 2004, of which [$2,801,597,000]
$3,579,517,000 shall become available on July 1, [2002] 2003, and remain
available through September 30, [2003] 2004, and of which $1,765,000,000
shall become available on October 1, [2002] 2003, and shall remain
available through September 30, [2003] 2004, for academic year [2002-
2003: Provided, That $75,000,000 for continuing and new grants to
demonstrate effective approaches to comprehensive school reform shall be
allocated and expended in the same manner as the funds provided under
the Fund for the Improvement of Education for this purpose were
allocated and expended in fiscal year 2001: Provided further, That
$142,189,000 shall be available to support the activities authorized
under subpart 4 of part D of title V of the ESEA, of which up to 5
percent shall become available on October 1, 2001, for evaluation,
technical assistance, school networking, peer review of applications,
and program outreach activities and of which not less than 95 percent
shall become available on July 1, 2002, and remain available through
September 30, 2003, for grants to local educational agencies: Provided
further, That funds made available to local educational agencies under
this subpart shall be used only for activities related to establishing
smaller learning communities in high schools: Provided further, That of
the amount made available for subpart 3, part C, of title II of the
ESEA, $2,000,000 shall be used by the Center for Civic Education to
implement a comprehensive program to improve public knowledge,
understanding, and support of the Congress and the state legislatures:
Provided further, That $269,906,000 of the funds for subpart 1, part D
of title V of the ESEA shall be available for the projects and in the
amounts specified in the statement of the managers on the conference
report accompanying this Act] 2003-2004: Provided, That of the funds
made available for subpart 2 of part A of title IV of the ESEA,
$10,000,000, to remain available until expended, shall be for the
Project School Emergency Response to Violence program to provide
education-related services to local educational agencies in which the
learning environment has been disrupted due to a violent or traumatic
crisis: Provided further, That $387,000,000 shall be for subpart 1 of
part A of title VI of the ESEA. (Department of Education Appropriations
Act, 2002.)
[For emergency expenses to provide education-related services to
local educational agencies in which the learning environment has been
disrupted due to a violent or traumatic crisis, for the Project School
Emergency Response to Violence program, $10,000,000, to remain available
until expended, and to be obligated from amounts made available in
Public Law 107-38.] (Emergency Supplemental Act, 2002.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-1000-0-1-501 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Direct program:
Obligations by program activity:
Improving teacher quality:
00.01 Improving teacher quality
State grants................ 1,700 2,850
00.02 National activities........... 10 35 15
00.03 Mathematics and science
partnerships................ 13 13
00.04 Troops-to-teachers............ 18 20
00.05 Transition to teaching........ 31 35 39
00.06 National writing project...... 14
00.07 Civic education............... 27
00.08 Teaching of traditional
American history............ 100 50
Educational technology:
00.09 Educational technology State
grants...................... 700 700
00.10 Ready-to-learn television..... 22 22
00.11 Preparing tomorrow's teachers
to use technology........... 62
00.12 21st Century community learning
centers....................... 1,000 1,000
School choice and innovation:
00.13 State grants for innovative
programs.................... 381 388 385
00.14 Charter schools grants........ 190 200 200
00.15 Credit enhancement for charter
school facilities........... 100
00.16 Voluntary public school choice 25 25
00.17 Magnet schools assistance..... 110 110 110
00.18 Choice demonstration fund..... 50
00.19 Fund for the Improvement of
Education..................... 54 833 84
Safe and drug-free schools and
communities:
00.20 State grants.................. 437 477 472
00.21 National programs............. 205 275 172
00.22 State assessments and enhanced
assessment instruments........ 387 387
00.23 Education for homeless children
and youth..................... 35 50 50
00.24 Education for Native Hawaiians.. 28 30 18
00.26 Alaska Native education equity.. 15 24 14
00.27 Training and advisory services.. 7 7 7
00.28 Rural education................. 163
00.29 Class size reduction............ 1,369 1,154
00.30 School renovation grants........ 800 400
00.31 Eisenhower professional
development State grants...... 439 2
00.32 Eisenhower professional
development national
activities.................... 45
00.33 Close up fellowships............ 2
00.34 Comprehensive regional
assistance centers............ 28
00.35 Advanced placement.............. 22
--------- --------- ----------
01.00 Total direct program.............. 4,208 8,251 6,783
09.01 Reimbursable program.............. 60
--------- --------- ----------
10.00 Total new obligations............. 4,268 8,251 6,783
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 6 414
22.00 New budget authority (gross)...... 4,679 7,837 6,784
22.10 Resources available from
recoveries of prior year
obligations..................... 1
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 4,686 8,251 6,784
23.95 Total new obligations............. -4,268 -8,251 -6,783
23.98 Unobligated balance expiring or
withdrawn....................... -3
24.40 Unobligated balance carried
forward, end of year............ 414
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 3,107 6,062 5,019
40.15 Appropriation (emergency)....... 10
41.00 Transferred to other accounts... -3
--------- --------- ----------
43.00 Appropriation (total
discretionary).............. 3,104 6,072 5,019
55.00 Advance appropriation........... 1,515 1,765 1,765
68.00 Spending authority from offsetting
collections: Offsetting
collections (cash).............. 60
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 4,679 7,837 6,784
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 2,380 3,771 7,574
73.10 Total new obligations............. 4,268 8,251 6,783
73.20 Total outlays (gross)............. -2,856 -4,449 -6,713
73.40 Adjustments in expired accounts
(net)........................... -20
73.45 Recoveries of prior year
obligations..................... -1
[[Page 350]]
74.40 Obligated balance, end of year.... 3,771 7,574 7,644
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 1,214 1,628 1,575
86.93 Outlays from discretionary
balances........................ 1,642 2,821 5,138
--------- --------- ----------
87.00 Total outlays (gross)........... 2,856 4,449 6,713
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
88.00 Offsetting collections (cash)
from: Federal sources......... -60
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 4,619 7,837 6,784
90.00 Outlays........................... 2,796 4,449 6,713
---------------------------------------------------------------------------
SUMMARY OF PROGRAM LEVEL
(in millions of dollars)
2001-2002
Academic
Year 2002-2003
Academic Year 2003-2004
Academic Year
New Budget Authority................ 3,104 6,072 5,019
Advance Appropriation............... 1,765 1,765 1,765
------------------------------------
Total program level........... 4,869 7,837 6,784
====================================
Change in advance appropriation over
previous year....................... +250
Improving teacher quality.--
Improving teacher quality State grants.--Funds support State
and school district activities to prepare, train, and recruit
high-quality teachers to improve student achievement.
National activities.--Funds support competitive grants to
improve the knowledge and skills of early childhood educators
who work in communities that have high concentrations of
children living in poverty.
Mathematics and science partnerships.--Funds support State
and local efforts to improve students' academic achievement in
mathematics and science by promoting strong teaching skills for
elementary and secondary school teachers, including integrating
teaching methods based on scientifically-based research and
technology into the curriculum.
Troops-to-teachers.--Funds assist eligible members of the
armed forces to obtain certification as teachers and to become
highly qualified teachers.
Transition to teaching.--Funds support competitive grants to
establish programs to recruit and retain highly qualified mid-
career professionals and recent college graduates as teachers in
high-need schools.
Teaching of traditional American history.--Funds support
competitive grants to school districts for activities to improve
history instruction and provide professional development for
teachers of American history.
Educational technology.--
Educational technology State grants.--Funds support formula
grants to States, which target funds to high-poverty school
districts, to acquire computers, connections, software, and
teacher training to enable schools to integrate technology
effectively into curricula.
Ready-to-learn television.--Funds support the development,
distribution and production of educational video for preschool
children, elementary school children, and their parents to
facilitate student academic achievement.
21st Century community learning centers.--
Funds support formula grants to States, which award
subgrants to communities to provide academic enrichment
opportunities and related services to students, primarily
students who attend high-poverty schools, and their families
during before-school, after-school, weekend, and summer hours.
School choice and innovation.--
State grants for innovative programs.--Funds support formula
grants to States and local educational agencies to help
implement innovative strategies for improving student
achievement.
Charter schools grants.--Funds support competitive grants to
State educational agencies and charter schools to support the
planning, design, initial implementation, and dissemination of
information regarding charter schools. These schools are created
by teachers, parents, and members of the community, and are
exempt from certain local, State, and Federal regulations.
Credit enhancement for charter school facilities.--Funds
support competitive grants to State and local governments,
nonprofit entities, and public and nonprofit consortia, to
assist charter schools in acquiring, leasing, and renovating
school facilities.
Voluntary public school choice.--Funds support competitive
grants to State educational agencies or local educational
agencies to implement programs that provide students,
particularly students who attend low-performing schools, with
expanded public school choice options.
Magnet schools assistance.--Funds support competitive grants to
local educational agencies to establish and operate magnet school
programs that are part of an approved desegregation plan.
Choice demonstration fund.--Funds support grants to State
educational agencies, local educational agencies, institutions of
higher education, governmental agencies, or other public or private
entities for research projects to measure the effects on student,
school, and district achievement of providing parents--particularly
low-income parents--with school choice options.
Fund for the Improvement of Education (FIE).--Funds support
nationally significant projects to improve the quality of elementary and
secondary education to help all children meet challenging State content
and student achievement standards, including initiatives to improve
teacher quality. In addition, funds support the distribution of books to
promote childhood literacy and projects to design and implement
character education programs.
Safe and drug-free schools and communities.--
State Grants.--Funds provide formula grants to States to support
research-based drug and violence-prevention programs and to
implement strategies to improve school safety.
National Programs.--Funds support national activities to prevent
violence and the illegal use of drugs among, and to promote safety
and discipline for, students.
State assessments and enhanced assessments instruments.--Funds
support formula grants to States to develop and implement the new
assessments, and related accountability efforts, that States would use
to test all children annually in grades 3-8 in reading and mathematics.
Education for homeless children and youth.--Funds support formula
grants to States to provide educational and support services that enable
homeless children and youth to attend and achieve success in school.
Education for Native Hawaiians.--Funds provide supplemental
education services to Native Hawaiians in areas such as family-based
education, special education, gifted and talented education, higher
education, curriculum development, teacher training and recruitment, and
community-based learning.
Alaska Native education equity.--Funds provide supplemental
education services to Alaska Natives in areas such
[[Page 351]]
as educational planning, curriculum development, teacher training,
teacher recruitment, student enrichment, and home-based instruction for
pre-school children. Grants also go to organizations specified in the
law.
Training and advisory services.--Funds support grants to regional
equity assistance centers that provide technical assistance to school
districts in addressing equity in education related to issues of race,
gender, and national origin.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-1000-0-1-501 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Direct obligations:
24.0 Printing and reproduction....... 1 1 2
25.1 Advisory and assistance services 1 13 16
25.2 Other services.................. 37 56 50
25.3 Other purchases of goods and
services from Government
accounts...................... 1 1 1
25.5 Research and development
contracts..................... 1 2
41.0 Grants, subsidies, and
contributions................. 4,167 8,178 6,714
--------- --------- ----------
99.0 Direct obligations............ 4,208 8,251 6,783
99.0 Reimbursable obligations.......... 60
--------- --------- ----------
99.9 Total new obligations........... 4,268 8,251 6,783
---------------------------------------------------------------------------
Reading Excellence
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0011-0-1-501 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Reading Excellence................ 296 201
--------- --------- ----------
10.00 Total new obligations........... 296 201
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 16 6
22.00 New budget authority (gross)...... 286 195
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 302 201
23.95 Total new obligations............. -296 -201
24.40 Unobligated balance carried
forward, end of year............ 6
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 91
55.00 Advance appropriation........... 195 195
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 286 195
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 282 449 377
73.10 Total new obligations............. 296 201
73.20 Total outlays (gross)............. -128 -273 -266
73.40 Adjustments in expired accounts
(net)........................... -1
74.40 Obligated balance, end of year.... 449 377 111
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 9 21
86.93 Outlays from discretionary
balances........................ 118 251 266
--------- --------- ----------
87.00 Total outlays (gross)........... 128 273 266
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 286 195
90.00 Outlays........................... 128 273 266
---------------------------------------------------------------------------
Reading Excellence.--This program has been replaced by the Reading
First program in the Education for the Disadvantaged account. Amounts in
these schedules reflect balances that are spending out from prior-year
appropriations.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0011-0-1-501 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
24.0 Printing and reproduction......... 1
25.1 Advisory and assistance services.. 2
25.2 Other services.................... 3
25.3 Other purchases of goods and
services from Government
accounts........................ 3
41.0 Grants, subsidies, and
contributions................... 287 201
--------- --------- ----------
99.9 Total new obligations........... 296 201
---------------------------------------------------------------------------
Education Reform
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0500-0-1-501 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 21st Century community learning
centers......................... 846
01.01 Small learning communities........ 22 103
Educational technology:
02.01 Technology literacy challenge
fund.......................... 450
02.02 Technology innovation challenge
grants........................ 136
02.03 Regional technology in education
consortia..................... 10
National activities:
02.04 Teacher training in technology.. 125
02.05 Community-based technology...... 65
02.06 Technology leadership activities 2
02.07 Star schools...................... 59
02.08 Ready to learn television......... 16
02.09 Telecommunications demonstration
project for mathematics......... 9
--------- --------- ----------
02.91 Total, Education technology..... 872
Goals 2000:
03.01 State and local education
systemic improvement.......... 8
03.02 Parental assistance............. 38
--------- --------- ----------
03.91 Total, Goals 2000............... 46
04.01 School-to-work opportunities...... 30
--------- --------- ----------
10.00 Total new obligations........... 1,816 103
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 63 103
22.00 New budget authority (gross)...... 1,881
22.21 Unobligated balance transferred to
other accounts.................. -26
22.22 Unobligated balance transferred
from other accounts............. 2
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 1,920 103
23.95 Total new obligations............. -1,816 -103
23.98 Unobligated balance expiring or
withdrawn....................... -1
24.40 Unobligated balance carried
forward, end of year............ 103
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 1,881
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 2,392 2,464 774
73.10 Total new obligations............. 1,816 103
73.20 Total outlays (gross)............. -1,738 -1,793 -651
73.40 Adjustments in expired accounts
(net)........................... -6
74.40 Obligated balance, end of year.... 2,464 774 123
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 1,577
86.93 Outlays from discretionary
balances........................ 161 1,793 651
--------- --------- ----------
87.00 Total outlays (gross)........... 1,738 1,793 651
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 1,881
90.00 Outlays........................... 1,738 1,793 651
---------------------------------------------------------------------------
Programs in this account have been transferred to the School
Improvement account or discontinued. Amounts in these schedules reflect
balances that are spending out from prior-year appropriations.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0500-0-1-501 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
25.1 Advisory and assistance services.. 7
25.2 Other services.................... 8
25.3 Other purchases of goods and
services from Government
accounts........................ 1
25.5 Research and development contracts 8
41.0 Grants, subsidies, and
contributions................... 1,792 103
--------- --------- ----------
[[Page 352]]
99.9 Total new obligations........... 1,816 103
---------------------------------------------------------------------------
Chicago Litigation Settlement
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0220-0-1-501 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
10.00 Total new obligations (object
class 41.0)..................... 1 1
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 1 1
23.95 Total new obligations............. -1 -1
24.40 Unobligated balance carried
forward, end of year............ 1
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 2 2 1
73.10 Total new obligations............. 1 1
73.20 Total outlays (gross)............. -1 -2 -1
74.40 Obligated balance, end of year.... 2 1
----------------------------------------------------------------------------
Outlays (gross), detail:
86.93 Outlays from discretionary
balances........................ 1 2 1
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority..................
90.00 Outlays........................... 1 2 1
---------------------------------------------------------------------------
Funds made available under this account were reappropriated by the
Supplemental Appropriations Act, 1987 (Public Law 100-71) from funds
enjoined in United States of America v. Board of Education of the City
of Chicago. The funds were reappropriated for the specific purpose of
settling this case. The funds are used by the Chicago Board of Education
to implement Project CANAL (Creating A New Approach to Learning), the
project approved by the court to support the Board's desegregation
efforts.
Indian Education
For expenses necessary to carry out, to the extent not otherwise
provided, title VII, part A of the Elementary and Secondary Education
Act of 1965, [$120,368,000] $122,368,000. (Department of Education
Appropriations Act, 2002.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0101-0-1-501 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Grants to local educational
agencies........................ 93 97 97
00.02 Special programs for Indian
children........................ 20 20 20
00.03 National activities............... 3 3 5
--------- --------- ----------
10.00 Total new obligations........... 116 120 122
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 116 120 122
23.95 Total new obligations............. -116 -120 -122
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 116 120 122
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 95 132 139
73.10 Total new obligations............. 116 120 122
73.20 Total outlays (gross)............. -78 -113 -119
73.40 Adjustments in expired accounts
(net)........................... -2
74.40 Obligated balance, end of year.... 132 139 143
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 2 6 6
86.93 Outlays from discretionary
balances........................ 76 107 112
--------- --------- ----------
87.00 Total outlays (gross)........... 78 113 119
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 116 120 122
90.00 Outlays........................... 78 113 119
---------------------------------------------------------------------------
The Indian Education program supports the efforts of local
educational agencies and tribal schools to improve teaching and learning
for the Nation's American Indian and Alaska Native Children.
Grants to local educational agencies.--Formula grants support local
educational agencies in their efforts to reform elementary and secondary
school programs that serve Indian students, with the goal of ensuring
that such programs assist participating students in meeting the same
academic standards as all other students. In 2001, the Department made
1,212 formula grants to local educational agencies and tribal schools
serving more than 462,000 students.
Special programs for Indian Children.--The Department makes
competitive awards for demonstration projects in early childhood
education, professional development grants, American Indian Teacher
Corps grants, and grants for the American Indian Administrator Corps.
The professional development awards in this activity are designed to
improve the quality of teachers and administrators in school districts
with concentrations of Indian students.
National activities.--Funds support research, evaluation, data
collection, and related activities.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0101-0-1-501 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
25.2 Other services.................... 2 3 5
41.0 Grants, subsidies, and
contributions................... 114 117 117
--------- --------- ----------
99.9 Total new obligations........... 116 120 122
---------------------------------------------------------------------------
OFFICE OF ENGLISH LANGUAGE ACQUISITION
Federal Funds
General and special funds:
[Bilingual and Immigrant Education]
English Language Acquisition
For carrying out title III, part A of the ESEA, $665,000,000, of
which [$415,000,000] $469,000,000 shall become available on July 1,
[2002] 2003, and shall remain available through September 30, [2003]
2004. (Department of Education Appropriations Act, 2002.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-1300-0-1-501 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Language acquisition State grants. 456 510
00.02 Bilingual education instructional
services........................ 179 121 91
00.03 Bilingual education support
services........................ 16
00.04 Bilingual education professional
development..................... 99 88 64
00.05 Immigrant education............... 150
00.06 Foreign language assistance....... 14
--------- --------- ----------
10.00 Total new obligations........... 458 665 665
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 460 665 665
23.95 Total new obligations............. -458 -665 -665
23.98 Unobligated balance expiring or
withdrawn....................... -2
----------------------------------------------------------------------------
[[Page 353]]
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 460 665 665
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 566 603 789
73.10 Total new obligations............. 458 665 665
73.20 Total outlays (gross)............. -410 -479 -600
73.40 Adjustments in expired accounts
(net)........................... -11
74.40 Obligated balance, end of year.... 603 789 854
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 17 33 33
86.93 Outlays from discretionary
balances........................ 393 446 567
--------- --------- ----------
87.00 Total outlays (gross)........... 410 479 600
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 460 665 665
90.00 Outlays........................... 410 479 600
---------------------------------------------------------------------------
Language acquisition State grants.--Funds provide formula grants to
States and discretionary National Activities grants to improve services
for limited English proficient and immigrant students. States are
accountable for demonstrating that limited English proficient students
are learning English and meeting the same high State standards as all
other students. Under National Activities, the statute authorizes
competitive professional development grants and a clearinghouse.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-1300-0-1-501 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
25.2 Other services.................... 3 3 3
25.5 Research and development contracts 4
41.0 Grants, subsidies, and
contributions................... 451 662 662
--------- --------- ----------
99.9 Total new obligations........... 458 665 665
---------------------------------------------------------------------------
OFFICE OF SPECIAL EDUCATION AND REHABILITATIVE SERVICES
Federal Funds
General and special funds:
Special Education
For carrying out the Individuals with Disabilities Education Act,
[$8,672,804,000] $9,687,804,000, of which [$3,315,233,000]
$4,335,233,000 shall become available for obligation on July 1, [2002]
2003, and shall remain available through September 30, [2003] 2004, and
of which $5,072,000,000 shall become available on October 1, [2002]
2003, and shall remain available through September 30, [2003] 2004, for
academic year [2002-2003] 2003-2004: Provided, That [$9,500,000 shall be
for Recording for the Blind and Dyslexic to support the development,
production, and circulation of recorded educational materials: Provided
further, That $1,500,000 shall be for the recipient of funds provided by
Public Law 105-78 under section 687(b)(2)(G) of the Act to provide
information on diagnosis, intervention, and teaching strategies for
children with disabilities: Provided further, That] the amount for
section 611(c) of the Act shall be equal to the amount available for
that section [under Public Law 106-554] in the Department of Education
Appropriations Act, 2002, increased by the amount of inflation as
specified in section 611(f)(1)(B)(ii) of the Act[: Provided further,
That $8,380,000 of the funds for section 672 of the Act shall be
available for the projects and in the amounts specified in the statement
of the managers on the conference report accompanying this Act].
(Department of Education Appropriations Act, 2002.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0300-0-1-501 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Direct program:
Obligations by program activity:
State grants:
00.01 Grants to States.............. 5,101 7,547 8,529
00.02 Preschool grants.............. 414 390 390
00.03 Grants for infants and
families.................... 425 472 437
--------- --------- ----------
00.91 Subtotal, State grants...... 5,940 8,409 9,356
National activities:
01.01 State improvement............. 35 95 52
01.02 Research and innovation....... 78 78 78
01.03 Technical assistance and
dissemination............... 53 53 53
01.04 Personnel preparation......... 82 90 90
01.05 Parent information centers.... 26 26 26
01.06 Technology and media services. 39 38 33
--------- --------- ----------
01.91 Subtotal, National
activities................ 313 380 332
--------- --------- ----------
02.00 Total Direct Program.............. 6,253 8,789 9,688
--------- --------- ----------
10.00 Total new obligations............. 6,253 8,789 9,688
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 259 116
22.00 New budget authority (gross)...... 6,110 8,673 9,688
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 6,369 8,789 9,688
23.95 Total new obligations............. -6,253 -8,789 -9,688
24.40 Unobligated balance carried
forward, end of year............ 116
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 2,368 3,601 4,616
55.00 Advance appropriation........... 3,742 5,072 5,072
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 6,110 8,673 9,688
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 4,044 4,469 6,334
73.10 Total new obligations............. 6,253 8,789 9,688
73.20 Total outlays (gross)............. -5,809 -6,924 -8,192
73.40 Adjustments in expired accounts
(net)........................... -20
74.40 Obligated balance, end of year.... 4,469 6,334 7,830
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 2,314 3,470 3,491
86.93 Outlays from discretionary
balances........................ 3,495 3,454 4,701
--------- --------- ----------
87.00 Total outlays (gross)........... 5,809 6,924 8,192
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 6,110 8,673 9,688
90.00 Outlays........................... 5,809 6,924 8,192
---------------------------------------------------------------------------
SUMMARY OF PROGRAM LEVEL
[In millions of dollars]
2001-2002
academic
year 2002-2003
academic year 2003-2004
academic year
Current Budget Authority............ 2,368 3,601 4,616
Advance appropriation............... 5,072 5,072 5,072
------------------------------------
Total program level............. 7,440 8,673 9,688
====================================
Change in advance appropriation from
the previous year................... +1,330 0 0
State Grants:
Grants to States.--Formula grants are provided to States to
assist them in providing special education and related services to
children with disabilities ages 3 through 21.
Preschool grants.--Formula grants provide additional funds to
States to further assist them in providing special education and
related services to children with disabilities ages 3 through 5
served under the Grants to States program.
The goal of both of these programs is to improve results for
children with disabilities by assisting State and local educational
agencies to provide children with disabilities with access to high
quality education that will help them meet challenging standards and
prepare them for employment and independent living.
Grants for infants and families.--Formula grants are provided to
assist States to implement statewide systems of coordinated,
comprehensive, multi-disciplinary interagency programs to provide
early intervention services to children with disabilities, birth
through age 2, and their families.
[[Page 354]]
The goal of this program is to help States provide a
comprehensive system of early intervention services that will
enhance child and family outcomes.
National activities.--These activities include research,
demonstration, personnel preparation, technical assistance, grants to
States to promote systems change, and other activities to support State
efforts to improve results for children with disabilities under the
State grants programs.
The goal of National Activities is to link States, school systems,
and families to best practices to improve results for infants, toddlers,
and children with disabilities.
Performance data related to these goals include:
2001 actual 2002 est. 2003 est.
Number of children served in first
quarter of fiscal year:
Ages 3 through 21..................... 6,381 6,470 6,548
Ages 3 through 5...................... 599 611 623
Birth through 2....................... 231 242 255
1997-1998 ac1998-1999 actual 1999-2000
actual
Educational Environment
Percent of children ages 6 through 21
provided special education in:
Regular classrooms.................... 46.5 47.4 47.3
Resource rooms........................ 29.1 28.4 28.3
Separate classes...................... 20.4 20.1 20.3
Separate schools...................... 2.8 2.9 2.9
Residential facilities................ .7 .7 .7
Home or hospital...................... .5 .5 .5
Status of Exiting Students
Percent of students with disabilities
aged 14-21 leaving school:
Graduated with a diploma.............. 55.4 57.4 56.2
Graduated through certification....... 11.2 11.2 11.4
Dropped out of school................. 31.0 28.9 29.4
Reached maximum age and other......... 2.4 2.5 3.0
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0300-0-1-501 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
25.2 Other services.................... 21 21 21
41.0 Grants, subsidies, and
contributions................... 6,232 8,768 9,667
--------- --------- ----------
99.9 Total new obligations........... 6,253 8,789 9,688
---------------------------------------------------------------------------
Rehabilitation Services and Disability Research
For carrying out, to the extent not otherwise provided, the
Rehabilitation Act of 1973, the Assistive Technology Act of 1998, and
the Helen Keller National Center Act, [$2,945,813,000] $3,001,840,000,
of which [$56,552,000] $45,218,000 shall remain available through
September 30, [2003: Provided] 2004, of which $30,000,000 shall be used
to make awards to State Vocational Rehabilitation agencies based on
their performance under the Vocational Rehabilitation State Grants
program as determined by the Secretary: Provided, That funds available
under the Vocational Rehabilitation State Grants program may be used by
State Vocational Rehabilitation agencies to pay for the fiscal year 2003
continuation costs of projects funded in fiscal year 2002 under title
VI, Part A of the Rehabilitation Act: Provided further, That the funds
provided for title I of the Assistive Technology Act of 1998 (``the AT
Act'') shall be allocated notwithstanding section 105(b)(1) of the AT
Act: [Provided further, That in the case of a State that was in the
third year of a 3-year extension grant made pursuant to section 101(f)
of the Assistive Technology Act of 1998 for fiscal year 2001, the
Secretary of Education shall award under such section an additional 1-
year extension of the grant to such State for fiscal year 2002 in an
amount equal to the amount the State received under such section for
fiscal year 2001:] Provided further, That each State shall be provided
$50,000 for activities under section 102 of the AT Act: Provided
further, That [$36,552,000] $15,218,000 shall be used to support grants
for up to 3 years to States under title III of the AT Act, of which the
Federal share shall not exceed 75 percent in the first year, 50 percent
in the second year, and 25 percent in the third year, and that the
requirements in section 301(c)(2) and section 302 of that Act shall not
apply to such grants[: Provided further, That $3,746,000 of the funds
for section 303 of the Rehabilitation Act of 1973 shall be available for
the projects and in the amounts specified in the statement of the
managers on the conference report accompanying this Act]. (Department of
Education Appropriations Act, 2002.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0301-0-1-506 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
Direct program:
00.01 Vocational rehabilitation State
grants........................ 2,400 2,481 2,616
00.02 Vocational rehabilitation
incentive grants.............. 30
00.03 Client assistance State grants.. 12 12 12
00.04 Training........................ 40 40 43
00.05 Demonstration and training
programs...................... 21 21 17
00.06 Migrant and seasonal farmworkers 2 2
00.07 Recreational programs........... 2 3
00.08 Protection and advocacy of
individual rights............. 14 15 15
00.09 Projects with industry.......... 22 22
00.10 Supported employment State
grants........................ 38 38
00.11 Independent living.............. 100 110 117
00.12 Program improvement............. 2 1 1
00.13 Evaluation...................... 2 1 1
00.14 Helen Keller National Center.... 9 9 9
00.15 National Institute on Disability
and Rehabilitation Research... 100 110 110
00.16 Assistive technology............ 40 61 31
00.17 Access to Telework Fund......... 10 10
--------- --------- ----------
01.00 Total direct program............ 2,804 2,936 3,012
09.01 Reimbursable program.............. 7 7 7
--------- --------- ----------
10.00 Total new obligations........... 2,811 2,943 3,019
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 10
22.00 New budget authority (gross)...... 2,812 2,953 3,009
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 2,812 2,953 3,019
23.95 Total new obligations............. -2,811 -2,943 -3,019
23.98 Unobligated balance expiring or
withdrawn....................... -2
24.40 Unobligated balance carried
forward, end of year............ 10
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 405 464 469
Mandatory:
60.00 Appropriation................... 2,400 2,482 2,533
Discretionary:
68.00 Spending authority from
offsetting collections:
Offsetting collections (cash). 7 7 7
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 2,812 2,953 3,009
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 977 1,043 951
73.10 Total new obligations............. 2,811 2,943 3,019
73.20 Total outlays (gross)............. -2,736 -3,035 -2,989
73.40 Adjustments in expired accounts
(net)........................... -9
74.40 Obligated balance, end of year.... 1,043 951 981
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 70 330 333
86.93 Outlays from discretionary
balances........................ 277 447 140
86.97 Outlays from new mandatory
authority....................... 1,892 1,737 1,773
86.98 Outlays from mandatory balances... 497 521 742
--------- --------- ----------
87.00 Total outlays (gross)........... 2,736 3,035 2,989
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash)
from:
88.00 Federal sources............... -3 -3 -3
88.40 Non-Federal sources........... -4 -4 -4
--------- --------- ----------
88.90 Total, offsetting
collections (cash)........ -7 -7 -7
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 2,805 2,946 3,002
90.00 Outlays........................... 2,730 3,028 2,982
---------------------------------------------------------------------------
Vocational rehabilitation State grants.--The basic State grants
program provides Federal matching funds to State vocational
rehabilitation (VR) agencies to assist individuals with
[[Page 355]]
physical or mental impairments to become gainfully employed. Services
are tailored to the specific needs of the individual. Priority is given
to serving those with the most significant disabilities. Current law
requires that between 1.0 percent and 1.5 percent of the funds
appropriated for the VR State grants program be set aside for Grants for
Indians in 2003.
The table below presents national data on selected performance
measures for the VR State grants program. The data are based on the
number of individuals whose service records were closed in fiscal years
1999 (370,742) and 2000 (376,510).
CONSUMER OUTCOMES (CASES CLOSED)
1999 actual 2000 actual
Individuals achieving employment
outcomes............................... 231,714 236,210
Percent with significant disabilities.. 84.9% 87.1%
Employment outcomes as a percent all of
individuals receiving services......... 62.5% 62.7%
The 2003 budget request reflects a multi-year Administration effort
to reform job training programs, target resources to programs with
documented effectiveness, and eliminate funding for duplicative and
overlapping programs. Consistent with this crosscutting reform, the
budget consolidates funding for three programs in this account
(Supported Employment State Grants, Projects with Industry, and the
Migrant and Seasonal Farmworkers program) within the Vocational
Rehabilitation State Grants program.
Vocational rehabilitation incentive grants.--Under this new program,
incentive grants would be used to encourage State VR agencies to improve
their performance in helping individuals with disabilities obtain
competitive employment. Grants would be awarded to State VR agencies
based on program performance.
Client assistance State grants.--Formula grants are made to States
to provide assistance in informing and advising clients and applicants
of benefits available under the Rehabilitation Act and, if requested, to
pursue legal or administrative remedies to ensure the protection of the
rights of individuals with disabilities.
Training.--Grants are made to States and public or nonprofit
agencies and organizations, including institutions of higher education,
to increase the number of skilled personnel available for employment in
the field of rehabilitation and to upgrade the skills of those already
employed.
Demonstration and training programs.--Grants are made for programs
that expand and improve the provision of rehabilitation services, or
that further the purposes of the Rehabilitation Act.
Protection and advocacy of individual rights.--Formula grants are
made to State protection and advocacy systems to protect the legal and
human rights of individuals with disabilities.
Independent living.--Grants are awarded to States and nonprofit
agencies to assist individuals with significant disabilities in their
achievement of self-determined independent living goals. Grants are also
awarded to provide support services to older blind individuals to
increase their ability to care for their own needs.
Program improvement.--Funds are used to promote broad-based planning
and coordination, improve accountability, and enhance the Department's
ability to address critical areas of national significance in achieving
the goals of the Rehabilitation Act. Examples of program improvement
activities include technical assistance, dissemination, and performance
measurement activities.
Evaluation.--Studies are conducted to evaluate the impact and
effectiveness of various programs authorized under the Rehabilitation
Act.
Helen Keller National Center for Deaf-Blind Youths and Adults.--The
Center provides services to deaf-blind youths and adults and provides
training and technical assistance to professional and allied personnel
at its national headquarters center and through its regional
representatives and affiliate agencies.
National Institute on Disability and Rehabilitation Research.--The
Institute carries out a comprehensive and coordinated program of
rehabilitation research and related activities. Through grants and
contracts, it supports the conduct and dissemination of research aimed
at improving the lives of individuals with disabilities. The Institute
also promotes the development and utilization of new technologies to
assist these individuals in achieving greater independence and
integration into society.
Assistive technology.--Activities include the Assistive Technology
State grant program, protection and advocacy services, and technical
assistance designed to develop and implement consumer-responsive
comprehensive statewide programs of technology-related assistance for
individuals with disabilities. Grants also are made to States to
establish alternative financing programs to increase access to assistive
technology for individuals with disabilities.
Access to telework fund.--Federal matching funds are awarded to
States to provide loans for individuals with disabilities to purchase
computers and other equipment so that they can telework from home.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0301-0-1-506 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Direct obligations:
25.1 Advisory and assistance services 5 5 5
25.2 Other services.................. 2 2 2
25.5 Research and development
contracts..................... 2 5 5
41.0 Grants, subsidies, and
contributions................. 2,795 2,924 3,000
--------- --------- ----------
99.0 Direct obligations............ 2,804 2,936 3,012
99.0 Reimbursable obligations.......... 7 7 7
--------- --------- ----------
99.9 Total new obligations........... 2,811 2,943 3,019
---------------------------------------------------------------------------
Special Institutions for Persons With Disabilities
american printing house for the blind
For carrying out the Act of March 3, 1879, as amended (20 U.S.C. 101
et seq.), $14,000,000. (Department of Education Appropriations Act,
2002.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0600-0-1-501 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
10.00 Total new obligations (object
class 41.0)..................... 12 14 14
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 12 14 14
23.95 Total new obligations............. -12 -14 -14
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 12 14 14
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 4 5 1
73.10 Total new obligations............. 12 14 14
73.20 Total outlays (gross)............. -11 -19 -14
74.40 Obligated balance, end of year.... 5 1 1
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 7 13 13
86.93 Outlays from discretionary
balances........................ 3 5 1
--------- --------- ----------
87.00 Total outlays (gross)........... 11 19 14
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 12 14 14
90.00 Outlays........................... 11 19 14
---------------------------------------------------------------------------
[[Page 356]]
The Federal appropriation supports the production of free
educational materials for students below the college level who are
blind, research related to developing and improving products, and
advisory services to consumer organizations on the availability and use
of materials. In 2001, the portion of the Federal appropriation
allocated to educational materials represented approximately 50.6
percent of the Printing House's total sales. The full appropriation
represented approximately 43.2 percent of the Printing House's total
budget.
national technical institute for the deaf
For the National Technical Institute for the Deaf under titles I and
II of the Education of the Deaf Act of 1986 (20 U.S.C. 4301 et seq.),
[$55,376,000] $52,014,000, of which [$5,376,000] $1,600,000 shall be for
construction and shall remain available until expended[: Provided, That
from the total amount available, the Institute may at its discretion use
funds], and of which not less than $1,000,000 shall be used for the
endowment program as authorized under section 207: Provided, That such
$1,000,000 is available until expended. (Department of Education
Appropriations Act, 2002.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0601-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Operations........................ 48 50 49
00.02 Construction...................... 5 5 2
00.03 Endowment......................... 1
--------- --------- ----------
10.00 Total new obligations (object
class 41.0)................... 53 55 52
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 53 55 52
23.95 Total new obligations............. -53 -55 -52
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 53 55 52
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 5 8
73.10 Total new obligations............. 53 55 52
73.20 Total outlays (gross)............. -58 -48 -51
74.40 Obligated balance, end of year.... 8 9
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 53 48 46
86.93 Outlays from discretionary
balances........................ 5 4
--------- --------- ----------
87.00 Total outlays (gross)........... 58 48 51
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 53 55 52
90.00 Outlays........................... 58 48 51
---------------------------------------------------------------------------
This residential program provides postsecondary technical and
professional education for people who are deaf to prepare them for
employment, provides training, and conducts applied research into
employment related aspects of deafness. In 2001, Federal appropriations
represented 81 percent of the Institute's operating budget. The request
includes funds for the Endowment Grant program. The request also
includes funds for a construction project to improve roadways, walkways,
and parking lots associated with NTID buildings.
gallaudet university
For the Kendall Demonstration Elementary School, the Model Secondary
School for the Deaf, and the partial support of Gallaudet University
under titles I and II of the Education of the Deaf Act of 1986 (20
U.S.C. 4301 et seq.), [$96,938,000: Provided, That from the total amount
available, the University may at its discretion use funds] $94,446,000,
of which not less than $1,000,000 shall be used for the endowment
program as authorized under section 207: Provided, That such $1,000,000
is available until expended. (Department of Education Appropriations
Act, 2002.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0602-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Operations........................ 89 97 93
00.02 Endowment......................... 1
--------- --------- ----------
10.00 Total new obligations (object
class 41.0)................... 89 97 94
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 89 97 94
23.95 Total new obligations............. -89 -97 -94
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 89 97 94
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 8 6
73.10 Total new obligations............. 89 97 94
73.20 Total outlays (gross)............. -97 -91 -95
74.40 Obligated balance, end of year.... 6 6
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 89 91 88
86.93 Outlays from discretionary
balances........................ 8 6
--------- --------- ----------
87.00 Total outlays (gross)........... 97 91 95
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 89 97 94
90.00 Outlays........................... 97 91 95
---------------------------------------------------------------------------
This institution provides undergraduate and continuing education
programs for persons who are deaf, and graduate programs related to
deafness for students who are deaf and students who are hearing. The
University also conducts basic and applied research and provides public
service programs for persons who are deaf and persons who work with
them.
Gallaudet operates two elementary and secondary education programs
on the main campus of the University. The Kendall Demonstration
Elementary School serves students who are deaf from infancy through age
15, and the Model Secondary School for the Deaf serves high school age
students who are deaf. Both schools also develop and disseminate
information on effective educational techniques and strategies for
teachers and professionals working with students who are deaf or hard of
hearing.
In 2001, the Federal appropriation represented 62.4 percent of the
University's total operating budget, which also includes Federal
financial aid, vocational rehabilitation, Endowment Grant income, and
competitive grants and contracts, and 98.1 percent of the operating
budgets of the related elementary and secondary schools. The request
also includes funds for the Endowment Grant program.
OFFICE OF VOCATIONAL AND ADULT EDUCATION
Federal Funds
General and special funds:
Vocational and Adult Education
For carrying out, to the extent not otherwise provided, the Carl D.
Perkins Vocational and Applied Technology Education Act, and the Adult
Education and Family Literacy Act, [and title VIII-D of the Higher
Education Act of 1965, as amended, and Public Law 102-73,
$1,934,060,000,] $1,897,617,000 of which [$1,136,560,000]
[[Page 357]]
$1,100,117,000 shall become available on July 1, [2002] 2003 and shall
remain available through September 30, [2003] 2004 and of which
$791,000,000 shall become available on October 1, [2002] 2003 and shall
remain available through September 30, [2003] 2004: Provided, [That of
the amounts made available for the Carl D. Perkins Vocational and
Applied Technology Education Act, $6,500,000 shall be for tribally
controlled postsecondary vocational and technical institutions under
section 117: Provided further, That notwithstanding any other provision
of law or any regulation, the Secretary of Education shall not require
the use of a restricted indirect cost rate for grants issued pursuant to
section 117 of the Carl D. Perkins Vocational and Applied Technology
Education Act: Provided further, That $9,500,000 shall be for carrying
out section 118 of such Act: Provided further, That of the amounts made
available for the Carl D. Perkins Vocational and Applied Technology
Education Act, $5,000,000 shall be for demonstration activities
authorized by section 207: Provided further,] That of the amount
provided for Adult Education State Grants, $70,000,000 shall be made
available for integrated English literacy and civics education services
to immigrants and other limited English proficient populations: Provided
further, That of the amount reserved for integrated English literacy and
civics education, notwithstanding section 211 of the Adult Education and
Family Literacy Act, 65 percent shall be allocated to States based on a
State's absolute need as determined by calculating each State's share of
a 10-year average of the Immigration and Naturalization Service data for
immigrants admitted for legal permanent residence for the 10 most recent
years, and 35 percent allocated to States that experienced growth as
measured by the average of the 3 most recent years for which Immigration
and Naturalization Service data for immigrants admitted for legal
permanent residence are available, except that no State shall be
allocated an amount less than $60,000: Provided further, That of the
amounts made available for the Adult Education and Family Literacy Act,
$9,500,000 shall be for national leadership activities under section 243
and [$6,560,000] $6,617,000 shall be for the National Institute for
Literacy under section 242: Provided further, That [$22,000,000 shall be
for Youth Offender Grants, of which $5,000,000 shall be used in
accordance with section 601 of Public Law 102-73 as that section was in
effect prior to the enactment of Public Law 105-220] of the amounts made
available for title I of the Perkins Act, the Secretary may reserve up
to 0.54 percent for incentive grants under section 503 of the Workforce
Investment Act, without regard to section 111(a)(1)(C) of the Perkins
Act: Provided further, That of the amounts made available for the Adult
Education and Family Literacy Act, the Secretary may reserve up to 1.72
percent for incentive grants under section 503 of the Workforce
Investment Act, without regard to section 211(a)(3) of the Adult
Education and Family Literacy Act. (Department of Education
Appropriations Act, 2002; additional authorizing language required.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0400-0-1-501 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
Vocational education:
Annual appropriations:
Vocational education:
00.01 State grants................ 1,128 1,178 1,180
00.02 National programs........... 15 19 12
00.03 Occupational and employment
information............... 9 2 9
00.04 Tribally controlled
postsecondary vocational
institutions.............. 6 7 7
00.05 Tech-prep education......... 110 108 108
00.06 Tech-prep demonstration....... 5
--------- --------- ----------
00.91 Total, Vocational education. 1,268 1,319 1,316
Adult education:
01.01 State grants................ 538 573 575
01.02 National Institute for
Literacy.................. 7 7 7
01.03 National leadership
activities................ 14 14 10
--------- --------- ----------
01.91 Total, adult education...... 559 594 592
02.01 State grants for incarcerated
youth offenders............. 14 17 3
03.01 Literacy programs for
prisoners................... 5 5 5
--------- --------- ----------
10.00 Total new obligations........... 1,846 1,935 1,915
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 86 65 64
22.00 New budget authority (gross)...... 1,826 1,934 1,898
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 1,912 1,999 1,962
23.95 Total new obligations............. -1,846 -1,935 -1,915
23.98 Unobligated balance expiring or
withdrawn....................... -2
24.40 Unobligated balance carried
forward, end of year............ 65 64 47
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 1,035 1,143 1,107
55.00 Advance appropriation........... 791 791 791
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 1,826 1,934 1,898
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 1,334 1,496 1,604
73.10 Total new obligations............. 1,846 1,935 1,915
73.20 Total outlays (gross)............. -1,679 -1,827 -1,883
73.40 Adjustments in expired accounts
(net)........................... -6
74.40 Obligated balance, end of year.... 1,496 1,604 1,635
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 622 651 649
86.93 Outlays from discretionary
balances........................ 1,057 1,175 1,234
--------- --------- ----------
87.00 Total outlays (gross)........... 1,679 1,827 1,883
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 1,826 1,934 1,898
90.00 Outlays........................... 1,679 1,827 1,883
---------------------------------------------------------------------------
Program levels for activities in this account are as follows:
(in millions of dollars)
2001-2002
academic
year 2002-2003
academic year 2003-2004
academic year
1. Vocational education:
a. Basic grants:
Annual appropriation............ 309 389 389
Advance appropriation........... 791 791 791
------------------------------------
Subtotal, basic grants........ 1,100 1,180 1,180
b. National programs.............. 18 12 12
c. Occupational & employment
information..................... 9 10 0
d. Tribally controlled
postsecondary vocational
institutions.................... 6 6 6
e. Tech-prep education............ 106 108 108
f. Tech-prep demonstration........ 5 5 0
Total, vocational education... 1,243 1,321 1,306
2. Adult education:
a. State grants................... 540 575 575
b. National Institute for Literacy 6 7 7
c. National leadership activities. 14 10 10
------------------------------------
Total, adult education........ 560 591 591
3. State grants for incarcerated
youth offenders..................... 17 17 0
4. Literacy programs for prisoners.. 5 5 0
------------------------------------
Total......................... 1,826 1,934 1,898
====================================
SUMMARY OF PROGRAM LEVEL
(in millions of dollars)
2001-2002
academic
year 2002-2003
academic year 2003-2004
academic year
New Budget Authority................ 1,035 1,143 1,107
Advance appropriation............... 791 791 791
------------------------------------
Total program level.............
====================================
Change in advance appropriation from
the previous year................... +791
Vocational education.--
Basic grants.--Formula grants provide funds to States and
localities to expand and improve their programs of vocational
education and promote equal opportunity in vocational education
programs for historically underserved populations.
National programs.--Funds support discretionary activities that
contribute to knowledge of how to improve vocational education
nationally. Activities include two national centers for research and
dissemination in vocational education and a program of discretionary
research and development projects.
Tribally controlled postsecondary vocational and technical
institutions.--Grants support the operation and improve
[[Page 358]]
ment of tribally controlled postsecondary vocational institutions,
to ensure continued and expanded educational opportunities for
Indian students.
Tech-prep education.--Formula grants to States support planning
and demonstration grants to consortia of local educational agencies
and postsecondary institutions to develop and operate model 4-year
programs. Programs begin in high school and provide students with
the mathematical, scientific, communications, and technological
skills needed to earn a 2-year associate degree or a 2-year
certificate in a specific occupational field.
Adult education.--
State programs.--Formula grants are made to States to help
eliminate functional illiteracy among the Nation's adults, to assist
adults in obtaining a high school diploma or its equivalent, and to
promote family literacy. A portion of the funds are reserved for
formula grants to States to provide English literacy and civics
education for immigrants and other limited English proficient
adults.
National Institute for Literacy.--Funds support the Institute's
national leadership activities to improve and expand the Nation's
system for delivery of literacy services.
National leadership activities.--Funds support discretionary
activities to evaluate the effectiveness of Federal, State, and
local adult education programs and to test and demonstrate methods
of improving program quality.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0400-0-1-501 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Direct obligations:
Personnel compensation:
11.1 Full-time permanent........... 1
11.3 Other than full-time permanent 1 1 1
--------- --------- ----------
11.9 Total personnel compensation 1 2 1
25.1 Advisory and assistance services 3 3 3
25.2 Other services.................. 2 2 2
25.3 Other purchases of goods and
services from Government
accounts...................... 10 9 9
25.5 Research and development
contracts..................... 16 16 16
41.0 Grants, subsidies, and
contributions................. 1,812 1,902 1,881
--------- --------- ----------
99.0 Direct obligations............ 1,844 1,934 1,912
99.5 Below reporting threshold......... 2 1 3
--------- --------- ----------
99.9 Total new obligations........... 1,846 1,935 1,915
---------------------------------------------------------------------------
Personnel Summary
----------------------------------------------------------------------------
Identification code 91-0400-0-1-501 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
1001 Total compensable workyears: Full-
time equivalent employment...... 18 19 16
---------------------------------------------------------------------------
OFFICE OF POSTSECONDARY EDUCATION
Federal Funds
General and special funds:
Higher Education
For carrying out, to the extent not otherwise provided, section 121
and titles II, III, IV, V, VI, and VII of the Higher Education Act of
1965, as amended[, section 1543 of the Higher Education Amendments of
1992, title VIII of the Higher Education Amendments of 1998] (``HEA''),
and the Mutual Educational and Cultural Exchange Act of 1961,
[$2,031,048,000] $1,883,053,000, of which [$5,000,000] $3,000,000 for
interest subsidies authorized by section 121 of the [Higher Education
Act of 1965] HEA, shall remain available until expended: Provided, That
$10,000,000, to remain available through September 30, [2003] 2004,
shall be available to fund fellowships for academic year [2003-2004]
2004-2005 under part A, subpart 1 of title VII of said Act, under the
terms and conditions of part A, subpart 1: Provided further, That
$1,000,000 is for data collection and evaluation activities for programs
under the [Higher Education Act of 1965] HEA, including such activities
needed to comply with the Government Performance and Results Act of
1993: [Provided further, That $17,500,000 shall be available for
tribally controlled colleges and universities under section 316 of the
Higher Education Act of 1965:] Provided further, That notwithstanding
any other provision of law, funds made available in this Act to carry
out title VI of the [Higher Education Act of 1965, as amended,] HEA and
section 102(b)(6) of the Mutual Educational and Cultural Exchange Act of
1961 may be used to support visits and study in foreign countries by
individuals who are participating in advanced foreign language training
and international studies in areas that are vital to United States
national security and who plan to apply their language skills and
knowledge of these countries in the fields of government, the
professions, or international development: Provided further, That up to
one percent of the funds referred to in the preceding proviso may be
used for program evaluation, national outreach, and information
dissemination activities: [Provided further, That $149,722,000 of the
funds for part B of title VII of the Higher Education Act of 1965 shall
be available for the projects and in the amounts specified in the
statement of the managers on the conference report accompanying this
Act] Provided further, That the funds provided for title II of the HEA
shall be allocated notwithstanding section 210 of said Act: Provided
further, That the funds provided for part B of title VII of the HEA may
be used, at the discretion of the Secretary of Education, to fund
continuation awards under title VII, part D of said Act. (Department of
Education Appropriations Act, 2002.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0201-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
Aid for institutional development:
00.01 Strengthening institutions...... 73 74 76
00.02 Strengthening tribally
controlled colleges and
universities.................. 15 18 18
00.03 Strengthening Alaska Native and
Native Hawaiian-serving
institutions.................. 6 6 7
00.04 Strengthening historically black
colleges and universities..... 185 206 213
00.05 Strengthening historically black
graduate institutions......... 45 49 51
00.06 Minority science and engineering
improvement................... 9 8 8
--------- --------- ----------
00.91 Subtotal, aid for
institutional development... 333 361 373
Other aid for institutions:
01.01 Developing Hispanic-serving
institutions.................. 69 86 89
01.02 International education and
foreign language studies...... 78 98 103
01.03 Fund for the Improvement of
Postsecondary Education....... 151 181 39
01.04 Demonstration projects to ensure
quality higher education for
students with disabilities.... 6 7
01.05 Interest subsidy grants......... 13 9 3
--------- --------- ----------
01.91 Subtotal, other aid for
institutions................ 317 381 234
Assistance for students:
02.01 Federal TRIO programs........... 730 803 803
02.02 Gaining early awareness and
readiness for undergraduate
programs (GEAR UP)............ 295 285 285
02.03 Byrd honors scholarships........ 41 41 41
02.04 Javits fellowships.............. 10 10 10
02.05 Graduate assistance in areas of
national need................. 31 31 31
02.06 Thurgood Marshall legal
educational opportunity
program....................... 4 4
02.07 B. J. Stupak Olympic
scholarships.................. 1 1
02.08 Child care access means parents
in school..................... 16 25 15
02.09 Learning anytime anywhere
partnerships.................. 30
--------- --------- ----------
02.91 Subtotal, assistance for
students.................... 1,158 1,200 1,185
Other Aid:
03.01 Teacher quality enhancement..... 98 90 90
03.02 GPRA data/HEA program evaluation 3 1 1
03.03 Underground railroad program.... 2 2
--------- --------- ----------
03.91 Subtotal, Other Aid........... 103 93 91
--------- --------- ----------
10.00 Total new obligations........... 1,911 2,035 1,883
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 22 14 10
[[Page 359]]
22.00 New budget authority (gross)...... 1,912 2,031 1,883
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 1,934 2,045 1,893
23.95 Total new obligations............. -1,911 -2,035 -1,883
23.98 Unobligated balance expiring or
withdrawn....................... -9
24.40 Unobligated balance carried
forward, end of year............ 14 10 10
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 1,912 2,031 1,883
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 1,963 2,396 2,565
73.10 Total new obligations............. 1,911 2,035 1,883
73.20 Total outlays (gross)............. -1,463 -1,866 -1,953
73.40 Adjustments in expired accounts
(net)........................... -15
74.40 Obligated balance, end of year.... 2,396 2,565 2,495
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 89 106 97
86.93 Outlays from discretionary
balances........................ 1,373 1,760 1,856
--------- --------- ----------
87.00 Total outlays (gross)........... 1,463 1,866 1,953
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 1,912 2,031 1,883
90.00 Outlays........................... 1,462 1,866 1,953
---------------------------------------------------------------------------
B------
Aid for institutional development.--
Strengthening institutions.--Funds will support planning and
development grants for improving academic programs and financial
management at schools that enroll high proportions of disadvantaged
students and have low per-student expenditures.
Strengthening tribally controlled colleges and universities.--Funds
will support grants to American Indian tribally controlled colleges and
universities with scarce resources to enable them to improve and expand
their capacity to serve Indian students.
Strengthening Alaska Native and Native Hawaiian-serving
institutions.--Funds will support Alaska Native and Native Hawaiian-
serving institutions to enable them to improve and expand their capacity
to serve Alaska Native and Native Hawaiian students.
Strengthening historically black colleges and universities.--Funds
will support grants to help historically black undergraduate
institutions to improve and expand their capacity to serve students, and
to strengthen management and fiscal operations.
Strengthening historically black graduate institutions.--Funds will
support grants to help historically black graduate institutions to
improve and expand their capacity to serve students, and to strengthen
management and fiscal operations.
Minority science and engineering improvement.--Funds will support
grants to predominantly minority institutions to help them make long-
range improvements in science and engineering education and to increase
the participation of minorities in scientific and technological careers.
Other aid for institutions.--
Developing Hispanic-serving institutions.--Funds will support
Hispanic-serving institutions to enable them to improve and expand their
capacity to serve students.
International education and foreign language studies programs.--
Funds will promote the development and improvement of international and
foreign language programs.
Fund for the improvement of postsecondary education.--Funds will
support a broad range of postsecondary reform and improvement projects,
as well as international consortia programs.
Interest subsidy grants.--Funds will meet mandatory interest subsidy
costs of construction loan commitments made prior to 1974.
Assistance for students.--
Federal TRIO programs.--Funds will support postsecondary education
outreach and student support services through 5 major programs designed
to help individuals from disadvantaged backgrounds enter and complete
college and graduate studies.
Gaining early awareness and readiness for undergraduate programs.--
Funds will support early college preparation and awareness activities at
the State and local levels to ensure that low-income elementary and
secondary school students are prepared for and pursue postsecondary
education.
Byrd honors scholarships.--Funds will support merit-based
scholarships to students who have demonstrated outstanding academic
achievement and who show promise of continued academic excellence for
study at an institution of higher education.
Javits fellowships.--Funds will support fellowships to students of
superior ability who have financial need and who are pursuing doctoral
degrees in the arts, humanities, and social sciences.
Graduate assistance in areas of national need.--Funds will support
fellowships to graduate students of superior ability who have financial
need and who are from traditionally under-Prepresented backgrounds for
study in areas of national need.
Child care access means parents in school.--Funds will support a
program designed to bolster the participation of low-income parents in
postsecondary education through the provision of campus-based child care
services.
Other aid.--
Teacher quality enhancement.--Funds will support programs that seek
to make lasting changes in the ways our Nation recruits, prepares,
licenses, and supports teachers.
GPRA data/HEA program evaluation.--Funds will support data
collection and evaluation activities for programs under the Higher
Education Act of 1965, including such activities needed to comply with
the Government Performance and Results Act of 1993.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0201-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Direct obligations:
25.1 Advisory and assistance services 4 4 4
25.2 Other services.................. 6 6 5
25.3 Other purchases of goods and
services from Government
accounts...................... 2 2 2
41.0 Grants, subsidies, and
contributions................. 1,898 2,023 1,872
--------- --------- ----------
99.0 Direct obligations............ 1,910 2,035 1,883
99.5 Below reporting threshold......... 1
--------- --------- ----------
99.9 Total new obligations........... 1,911 2,035 1,883
---------------------------------------------------------------------------
Personnel Summary
----------------------------------------------------------------------------
Identification code 91-0201-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
1001 Total compensable workyears: Full-
time equivalent employment...... 1
---------------------------------------------------------------------------
Howard University
For partial support of Howard University (20 U.S.C. 121 et seq.),
$237,474,000, of which not less than $3,600,000 shall be for a matching
endowment grant pursuant to the Howard University Endowment Act (Public
Law 98-480) and shall remain available until expended. (Department of
Education Appropriations Act, 2002.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0603-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 General support................... 199 211 207
[[Page 360]]
00.02 Howard University Hospital........ 30 30 30
--------- --------- ----------
10.00 Total new obligations (object
class 41.0)................... 229 241 237
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 4
22.00 New budget authority (gross)...... 232 237 237
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 232 241 237
23.95 Total new obligations............. -229 -241 -237
24.40 Unobligated balance carried
forward, end of year............ 4
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 232 237 237
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 14 14
73.10 Total new obligations............. 229 241 237
73.20 Total outlays (gross)............. -243 -227 -237
74.40 Obligated balance, end of year.... 14 14
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 229 223 223
86.93 Outlays from discretionary
balances........................ 14 4 14
--------- --------- ----------
87.00 Total outlays (gross)........... 243 227 237
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 232 237 237
90.00 Outlays........................... 243 227 237
---------------------------------------------------------------------------
Howard University is a private, nonprofit educational institution
consisting of 12 schools and colleges. Federal funds are used to provide
partial support for university programs as well as for the teaching
hospital facilities. In 2001, direct Federal appropriations for general
support represented approximately 58 percent of the university's
revenue.
College Housing and Academic Facilities Loans Program
For Federal administrative expenses authorized under section 121 of
the Higher Education Act of 1965, [$762,000] $787,000 to carry out
activities related to existing facility loans entered into under the
Higher Education Act of 1965. (Department of Education Appropriations
Act, 2002; additional authorizing legislation required.)
Historically Black College and University Capital Financing Program
Account
The [total amount of] aggregate principal amount of outstanding
bonds insured pursuant to section 344 of title III, part D of the Higher
Education Act of 1965 shall not exceed $357,000,000, and the cost, as
defined in section 502 of the Congressional Budget Act of 1974, of such
bonds shall not exceed zero.
For administrative expenses to carry out the Historically Black
College and University Capital Financing Program entered into pursuant
to title III, part D of the Higher Education Act of 1965, as amended,
[$208,000] $211,000. (Department of Education Appropriations Act, 2002;
additional authorizing legislation required.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0241-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.09 Federal administration............ 1 1
--------- --------- ----------
10.00 Total new obligations (object
class 99.5)................... 1 1 1
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 1 1 1
23.95 Total new obligations............. -1 -1 -1
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation (Federal
administration)............... 1 1 1
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 1
73.10 Total new obligations............. 1 1 1
73.20 Total outlays (gross)............. -1 -1 -1
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 1 1 1
86.93 Outlays from discretionary
balances........................ 1
--------- --------- ----------
87.00 Total outlays (gross)........... 1 1 1
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 1 1 1
90.00 Outlays........................... 1 1 1
---------------------------------------------------------------------------
Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0241-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Direct loan downward reestimate subsidy budget
authority:
137001Downward reestimates subsidy
budget authority................ -2
--------- --------- ----------
137901Total downward reestimate budget
authority....................... -2
Direct loan downward reestimate subsidy
outlays:
138001Downward reestimates subsidy
outlays......................... -2
--------- --------- ----------
138901Total downward reestimate subsidy
outlays......................... -2
----------------------------------------------------------------------------
Administrative expense data:
351001Budget authority.................. 1 1 1
358001Outlays from balances............. 1
359001Outlays from new authority........
---------------------------------------------------------------------------
The College Housing and Academic Facilities Loans Program and the
Historically Black College and University Capital Financing Program are
administered separately, but are consolidated for presentation purposes.
College Housing and Academic Facilities Loans Program.--Funds for
this activity pay the Federal costs for administering the College
Housing and Academic Facilities Loans (CHAFL), College Housing Loans
(CHL), and Higher Education Facilities Loans (HEFL) programs. Prior to
1994, these programs provided financing for the construction,
reconstruction, and renovation of housing, academic, and other
educational facilities. Although no new loans have been awarded since
fiscal year 1993, costs for administering the outstanding loans will
remain for at least 30 more years. Agreements exist with the Department
of Health and Human Services to provide architectural and engineering
services and with the Federal Reserve Bank to provide loan servicing.
The 2003 budget request provides funding for personnel compensation and
other administrative costs. In accordance with the Federal Credit Reform
Act, loan servicing costs for CHL and HEFL are paid from their
respective collections.
Historically Black College and University Capital Financing
Program.--The Historically Black College and University (HBCU) Capital
Financing Program provides HBCUs with access to capital financing for
the repair, renovation, and construction of classrooms, libraries,
laboratories, dormitories, instructional equipment, and research
instrumentation. The Higher Education Amendments of 1992 granted the
Department authority to enter into insurance agreements with a private
for-profit Designated Bonding Authority to guarantee no more than
$375,000,000 in outstanding principal and unpaid accrued interest
combined. The bonding authority issues the loans and maintains an escrow
account in which 5 percent of each institution's principal is deposited.
This amount is estimated to be sufficient to cover all potential
delinquencies and defaults. No subsidy appropriations are required. The
2003 budget provides funds for continuing Federal administrative
activities only.
[[Page 361]]
Personnel Summary
----------------------------------------------------------------------------
Identification code 91-0241-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
1001 Total compensable workyears: Full-
time equivalent employment...... 7 7 7
---------------------------------------------------------------------------
College Housing and Academic Facilities Loans Financing Account
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-4252-0-3-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.02 Interest paid to Treasury......... 1 1 1
08.02 Payment of downward reestimate to
receipt account................. 1
08.04 Payment of interest on downward
reestimates to receipt account.. 1
--------- --------- ----------
08.91 Subtotal, Downward reestimate
payments...................... 2
--------- --------- ----------
10.00 Total new obligations........... 3 1 1
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New financing authority (gross)... 4 2 2
22.60 Portion applied to repay debt..... -1 -1 -1
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 3 1 1
23.95 Total new obligations............. -3 -1 -1
----------------------------------------------------------------------------
New financing authority (gross), detail:
Mandatory:
67.10 Authority to borrow............. 2
69.00 Offsetting collections (cash)..... 2 2 2
--------- --------- ----------
70.00 Total new financing authority
(gross)....................... 4 2 2
----------------------------------------------------------------------------
Change in obligated balances:
73.10 Total new obligations............. 3 1 1
73.20 Total financing disbursements
(gross)......................... -3 -1 -1
87.00 Total financing disbursements
(gross)......................... 3 1 1
----------------------------------------------------------------------------
Offsets:
Against gross financing authority and
financing disbursements:
Offsetting collections (cash)
from:
Non-Federal sources:
88.40 Interest repayments......... -1 -1 -1
88.40 Principal repayments........ -1 -1 -1
--------- --------- ----------
88.90 Total, offsetting
collections (cash)........ -2 -2 -2
----------------------------------------------------------------------------
Net financing authority and financing
disbursements:
89.00 Financing authority............... 2
90.00 Financing disbursements........... 1 -1 -1
---------------------------------------------------------------------------
The College Housing and Academic Facilities Loans Financing Account
records all cash flows to and from the Government resulting from direct
loans made in fiscal years 1992 and 1993.
Status of Direct Loans (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-4252-0-3-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Cumulative balance of direct loans
outstanding:
1210 Outstanding, start of year........ 26 25 25
1251 Repayments: Repayments and
prepayments..................... -1 -1
--------- --------- ----------
1290 Outstanding, end of year........ 25 25 24
---------------------------------------------------------------------------
Balance Sheet (in millions of dollars)
-----------------------------------------------------------------------------------------------
Identification code 91-4252-0-3-502 2000 actual 2001 actual 2002 est. 2003 est.
-----------------------------------------------------------------------------------------------
ASSETS:
Net value of assets related to
post-1991 direct loans
receivable:
1401 Direct loans receivable, gross.. 26 25 25 24
1405 Allowance for subsidy cost (-).. -2 -2 -2 -2
------------ -------------- ------------ -------------
1499 Net present value of assets
related to direct loans..... 24 23 23 22
------------ -------------- ------------ -------------
1999 Total assets.................... 24 23 23 22
LIABILITIES:
2103 Federal liabilities: Debt......... 24 23 23 22
------------ -------------- ------------ -------------
2999 Total liabilities............... 24 23 23 22
------------ -------------- ------------ -------------
4999 Total liabilities and net position 24 23 23 22
-----------------------------------------------------------------------------------------------
College Housing and Academic Facilities Loans Liquidating Account
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0242-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Interest paid to Treasury......... 16 15 14
00.02 Loan Servicing.................... 1
--------- --------- ----------
10.00 Total new obligations........... 17 15 14
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 73 2
22.00 New budget authority (gross)...... 57 53 46
22.60 Portion applied to repay debt..... -111 -40 -32
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 19 15 14
23.95 Total new obligations............. -17 -15 -14
24.40 Unobligated balance carried
forward, end of year............ 2
----------------------------------------------------------------------------
New budget authority (gross), detail:
Mandatory:
60.00 Appropriation................... 7 5 4
69.00 Offsetting collections (cash)..... 52 49 43
69.27 Capital transfer to general fund.. -2 -1 -1
--------- --------- ----------
69.90 Spending authority from
offsetting collections (total
mandatory).................... 50 48 42
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 57 53 46
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 21 21 28
73.10 Total new obligations............. 17 15 14
73.20 Total outlays (gross)............. -17 -8 -15
74.40 Obligated balance, end of year.... 21 28 27
----------------------------------------------------------------------------
Outlays (gross), detail:
86.98 Outlays from mandatory balances... 17 8 15
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash)
from:
Non-Federal sources:
88.40 Repayments of principal..... -34 -34 -29
88.40 Interest received on loans.. -18 -15 -14
--------- --------- ----------
88.90 Total, offsetting
collections (cash)........ -52 -49 -43
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 5 4 3
90.00 Outlays........................... -35 -41 -28
---------------------------------------------------------------------------
The College Housing and Academic Facilities Loans Liquidating
Account records all cash flows to and from the Government resulting from
direct loans made prior to 1992. This account includes loans made under
the College Housing and Academic Facilities Loans, College Housing
Loans, and Higher Education Facilities Loans programs, which continue to
be administered separately.
Status of Direct Loans (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0242-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
CHAFL LIQUIDATING
Cumulative balance of direct loans
outstanding:
1210 Outstanding, start of year........ 118 116 111
1231 Disbursements: Direct loan
disbursements................... 1
[[Page 362]]
1251 Repayments: Repayments and
prepayments..................... -3 -5 -3
--------- --------- ----------
1290 Outstanding, end of year........ 116 111 108
----------------------------------------------------------------------------
HIGHER EDUCATION FACILITIES
LOANS
Cumulative balance of direct loans
outstanding:
1210 Outstanding, start of year........ 27 24 22
1251 Repayments: Repayments and
prepayments..................... -3 -2 -1
--------- --------- ----------
1290 Outstanding, end of year........ 24 22 21
----------------------------------------------------------------------------
COLLEGE HOUSING LOANS
Cumulative balance of direct loans
outstanding:
1210 Outstanding, start of year........ 313 284 257
1251 Repayments: Repayments and
prepayments..................... -29 -27 -25
--------- --------- ----------
1290 Outstanding, end of year........ 284 257 232
---------------------------------------------------------------------------
Statement of Operations (in millions of dollars)
-----------------------------------------------------------------------------------------------
Identification code 91-0242-0-1-502 2000 actual 2001 actual 2002 est. 2003 est.
-----------------------------------------------------------------------------------------------
CHAFL LIQUIDATING:
0111 Revenue........................... 9 12 9
0112 Expense........................... -35 -16 -13
------------ -------------- ------------ -------------
0115 Net income or loss (-).......... -26 -4 -4
HIGHER EDUCATION FACILITIES LOANS:
0121 Revenue........................... 3 2 2
0122 Expense........................... -2 -1 -1
------------ -------------- ------------ -------------
0125 Net income or loss (-).......... 1 1 1
COLLEGE HOUSING LOANS:
0131 Revenue........................... 40 35 31
0132 Expense........................... -91 -35 -31
------------ -------------- ------------ -------------
0135 Net income or loss (-).......... -51
------------ -------------- ------------ -------------
0191 Total revenues.................... 52 49 42
------------ -------------- ------------ -------------
0192 Total expenses.................... -128 -52 -45
------------ -------------- ------------ -------------
0195 Total income or loss (-).......... -76 -3 -3
------------ -------------- ------------ -------------
0199 Total comprehensive income........ -76 -3 -3
-----------------------------------------------------------------------------------------------
Balance Sheet (in millions of dollars)
-----------------------------------------------------------------------------------------------
Identification code 91-0242-0-1-502 2000 actual 2001 actual 2002 est. 2003 est.
-----------------------------------------------------------------------------------------------
ASSETS:
Net value of assets related to
pre-1992 direct loans
receivable and acquired
defaulted guaranteed loans
receivable:
1601 Direct loans, gross............. 425 390 362
1602 Interest receivable............. 6 6 5
------------ -------------- ------------ -------------
1699 Value of assets related to
direct loans................ 431 396 367
------------ -------------- ------------ -------------
1999 Total assets.................... 431 396 367
LIABILITIES:
Federal liabilities:
2103 Debt............................ 236 196 164
2104 Resources payable to Treasury... 195 200 203
------------ -------------- ------------ -------------
2999 Total liabilities............... 431 396 367
------------ -------------- ------------ -------------
4999 Total liabilities and net position 431 396 367
-----------------------------------------------------------------------------------------------
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0242-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
25.3 Other purchases of goods and
services from Government
accounts........................ 1
43.0 Interest and dividends............ 16 15 14
--------- --------- ----------
99.9 Total new obligations........... 17 15 14
---------------------------------------------------------------------------
Historically Black College and University Capital Financing Direct Loan
Financing Account
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-4255-0-3-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Direct Loan Awards................ 16 42 40
00.02 Interest paid to Treasury......... 1 2 2
--------- --------- ----------
10.00 Total new obligations........... 17 44 42
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New financing authority (gross)... 38 44 43
22.60 Portion applied to repay debt..... -1
22.70 Balance of authority to borrow
withdrawn....................... -21
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 17 44 42
23.95 Total new obligations............. -17 -44 -42
----------------------------------------------------------------------------
New financing authority (gross), detail:
Mandatory:
67.10 Authority to borrow............. 37 42 40
69.00 Offsetting collections (cash)..... 1 2 3
--------- --------- ----------
70.00 Total new financing authority
(gross)....................... 38 44 43
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 25 30 34
73.10 Total new obligations............. 17 44 42
73.20 Total financing disbursements
(gross)......................... -12 -40 -37
74.40 Obligated balance, end of year.... 30 34 39
87.00 Total financing disbursements
(gross)......................... 12 40 37
----------------------------------------------------------------------------
Offsets:
Against gross financing authority and
financing disbursements:
Offsetting collections (cash)
from:
Non-Federal sources:
88.40 Interest repayments......... -1 -1 -2
88.40 Principal repayments........ -1 -1
--------- --------- ----------
88.90 Total, offsetting
collections (cash)........ -1 -2 -3
----------------------------------------------------------------------------
Net financing authority and financing
disbursements:
89.00 Financing authority............... 37 42 40
90.00 Financing disbursements........... 11 38 34
---------------------------------------------------------------------------
The Federal Financing Bank (FFB) purchases bonds issued by the HBCU
Designated Bonding Authority. Under the policies governing Federal
credit programs, bonds purchased by the FFB and supported by the
Department of Education with a letter of credit create the equivalent of
a Federal direct loan. HBCU bonds are also available for purchase by the
private sector, and these will be treated as loan guarantees. However,
the Department anticipates that all HBCU loans will be financed by the
FFB.
Status of Direct Loans (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-4255-0-3-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Position with respect to appropriations act
limitation on obligations:
1111 Limitation on direct loans........ 311 295 254
1142 Unobligated direct loan limitation
(-)............................. -295 -253 -214
--------- --------- ----------
1150 Total direct loan obligations... 16 42 40
----------------------------------------------------------------------------
Cumulative balance of direct loans
outstanding:
1210 Outstanding, start of year........ 21 31 70
1231 Disbursements: Direct loan
disbursements................... 11 39 35
1251 Repayments: Repayments and
prepayments..................... -1 -1
--------- --------- ----------
1290 Outstanding, end of year........ 31 70 104
---------------------------------------------------------------------------
[[Page 363]]
Balance Sheet (in millions of dollars)
-----------------------------------------------------------------------------------------------
Identification code 91-4255-0-3-502 2000 actual 2001 actual 2002 est. 2003 est.
-----------------------------------------------------------------------------------------------
ASSETS:
1101 Federal assets: Fund balances with
Treasury........................ 25 30 33 38
Net value of assets related to
post-1991 direct loans
receivable:
1401 Direct loans receivable, gross.. 21 31 70 104
------------ -------------- ------------ -------------
1499 Net present value of assets
related to direct loans..... 21 31 70 104
------------ -------------- ------------ -------------
1999 Total assets.................... 46 61 103 143
LIABILITIES:
2103 Federal liabilities: Debt......... 46 61 103 143
------------ -------------- ------------ -------------
2999 Total liabilities............... 46 61 103 143
------------ -------------- ------------ -------------
4999 Total liabilities and net position 46 61 103 143
-----------------------------------------------------------------------------------------------
OFFICE OF STUDENT FINANCIAL ASSISTANCE
Federal Funds
General and special funds:
Student Financial Assistance
For carrying out subparts 1[,], and 3 [and 4] of part A, section
428K, part C and part E of title IV of the Higher Education Act of 1965,
as amended, [$12,285,500,000] $12,767,500,000, which shall remain
available through September 30, [2003.]
[The maximum Pell Grant for which a student shall be eligible during
award year 2002-2003 shall be $4,000.] 2004: Provided, That
notwithstanding section 401(b)(2)(A) and 401(g) of the Act, the
Secretary shall, prior to the publication of the Pell Grant payment
schedule, establish the maximum Pell Grant award using the latest data
satisfactory to the Secretary to determine the maximum award supportable
by amounts available under this heading in this and prior appropriations
Acts. (Department of Education Appropriations Act. 2002.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0200-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
Federal Pell grants:
01.01 Federal Pell grants............. 8,978 9,648 10,134
Campus-based aid:
02.01 Federal supplemental educational
opportunity grants (SEOG)..... 692 727 725
02.02 Federal work-study.............. 1,017 1,017 1,011
02.03 Federal Perkins loans: Federal
capital contributions......... 101 100 100
02.05 Federal Perkins loans: Loan
cancellations................. 60 68 68
--------- --------- ----------
02.91 Subtotal, Campus-based
activities.................. 1,870 1,912 1,904
03.01 Leveraging educational assistance
partnership..................... 55 67
04.01 Loan forgiveness for child care
providers....................... 2 1
--------- --------- ----------
10.00 Total new obligations (object
class 41.0)................... 10,903 11,629 12,039
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 1,492 1,288 1,945
22.00 New budget authority (gross)...... 10,674 12,286 12,768
22.10 Resources available from
recoveries of prior year
obligations..................... 25
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 12,191 13,574 14,713
23.95 Total new obligations............. -10,903 -11,629 -12,039
24.40 Unobligated balance carried
forward, end of year............ 1,288 1,945 2,674
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 10,674 12,286 12,768
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 6,476 7,153 6,789
73.10 Total new obligations............. 10,903 11,629 12,039
73.20 Total outlays (gross)............. -10,161 -11,993 -11,420
73.40 Adjustments in expired accounts
(net)........................... -40
73.45 Recoveries of prior year
obligations..................... -25
74.40 Obligated balance, end of year.... 7,153 6,789 7,408
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 2,650 3,805 2,958
86.93 Outlays from discretionary
balances........................ 7,511 8,188 8,463
--------- --------- ----------
87.00 Total outlays (gross)........... 10,161 11,993 11,420
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 10,674 12,286 12,768
90.00 Outlays........................... 10,161 11,993 11,420
---------------------------------------------------------------------------
Summary of Budget Authority and Outlays
(in millions of dollars)
2001 actual 2002 est. 2003 est.
Enacted/requested:
Budget Authority.................. 10,674 12,286 12,768
Outlays........................... 10,161 11,993 11,421
Supplemental proposal:
Budget Authority.................. 1,276
Outlays........................... 1,276
------------------------------------
Total:
Budget Authority.................. 10,674 13,562 12,768
Outlays........................... 10,161 11,993 12,697
====================================
Status of Direct Loans (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0200-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Cumulative balance of direct loans
outstanding:\1\
1210 Outstanding, start of year........ 615 606 596
1251 Repayments: Repayments and
prepayments..................... -28 -27 -27
Write-offs for default:
1263 Direct loans.................... -9 -9 -9
1264 Other adjustments, net.......... 27 27 18
--------- --------- ----------
1290 Outstanding, end of year........ 606 596 578
---------------------------------------------------------------------------
\1\ Includes in all years institutional matching share of defaulted
notes assigned from institutions to the Education Department.
The Administration's 2003 budget for the SFA account is $12.768
billion, an increase of $482 million, or 4 percent, over the 2002
appropriation, which together with matching funds (less allowable
administrative costs) would provide nearly 7.5 million awards totalling
more than $14.2 billion in available aid.
Federal Pell Grants.--Undergraduate students establish eligibility
for these grants under award and need determination rules set out in the
authorizing statute and the annual appropriations act.
The Administration proposes $10.863 billion, an increase of $549
million over the 2002 appropriation level. The budget also proposes a
2002 supplemental appropriation of $1.276 billion to fully fund the
$4,000 maximum award in academic year 2002-2003. (For more information,
please see the Supplemental Proposals chapter of this document.)
Pell Grant costs are highly dependent on volatile and economic
trends, making it difficult to project the required funding level for a
given maximum award at the time of the appropriation, which may be nine
or more months prior to the affected academic year. Accordingly, the
Administration is proposing that the Secretary of Education use the most
recent program cost projections to set the maximum award for each
upcoming academic year immediately prior to the publication of the Pell
Grant payment schedule, which must occur by February 1 each year. Under
current estimates, the Administration's request for 2003 would maintain
the Pell Grant maximum award at $4,000 for academic year 2003-2004, the
highest level ever and a full $700, or 21 percent, above the level only
three years earlier. Nearly 4.5 million students would receive awards
under this request, an increase of 55,000 over 2002.
Campus-based programs.--The Federal Supplemental Educational
Opportunity Grants, Federal Work-Study, and Federal Perkins Loan
programs are called the ``campus-based''
[[Page 364]]
programs because participating institutions are responsible for
administering the programs on their own campuses. These programs provide
aid administrators with considerable flexibility in the packaging of
financial aid awards to best meet the needs of students.
Federal Supplemental Educational Opportunity Grants (SEOG).--Federal
funds are awarded by formula to qualifying institutions, which use these
funds to award grants to undergraduate students. While institutions have
discretion in awarding these funds, they are required to give priority
to Pell Grant recipients and other students with exceptional need. The
Federal share of such grants may not exceed 75 percent of the total
grant. The Administration proposes $725 million for the SEOG program in
2003, the same as the 2002 level. This level of funding would provide
approximately $918 million in available aid to an estimated 1.2 million
needy students.
Federal Work-Study.--Federal funds are awarded by formula to
qualifying institutions, which develop and provide part-time jobs for
eligible undergraduate and graduate students with demonstrated need.
Hourly earnings under the program must be at least equal to the Federal
minimum wage. Federal funding in most cases pays 75 percent of a
student's hourly wages, with the remaining 25 percent paid by the
employer. The Administration proposes $1.011 billion, the same as the
2002 appropriation, for the Work-Study program, which will provide $1.2
billion in aid to nearly 1 million students.
Perkins Loan Program.--Institutions award low-interest loans from
institutional revolving funds, which are comprised of Federal Capital
Contributions, institutional matching funds, and student repayments on
outstanding loans. The Administration proposes $100 million in new
budget authority for the Perkins loan program, the same as the 2002
level. This level of funding would provide $1.2 billion in available aid
to some 715,000 needy undergraduate and graduate students in the 2003-
2004 award year.
Perkins Loan Program--Cancellations.--Under the Perkins Loan
cancellation program, institutional revolving funds are reimbursed for
indebtedness canceled as a result of a borrower engaging in certain
public service activities, as specified in the Higher Education Act.
Amendments to the Higher Education Act in 1992 and 1998 greatly expanded
the number of borrowers with loans eligible for cancellation. The
Administration's budget proposal for Perkins Loan cancellations is $67.5
million, the same as the 2002 level.
Loan Forgiveness for Child Care Providers.--Under this demonstration
program, student loan borrowers who have earned degrees in early
childhood education and worked for two full years as child care
providers in low-income communities may have a portion of their loan
obligation forgiven. Additional forgiveness is awarded for each
additional consecutive year of service, up to a total of 100 percent of
the borrower's outstanding balance after five full years. Awards are
made on a first-come, first-served basis. The Administration proposes $1
million for Loan Forgiveness for Child Care Providers in 2003, the same
as the 2002 level. Fewer than 100 recipients are expected in either 2002
or 2003.
Funding Tables.--The following tables display student aid funds
available, the number of aid awards, average awards, and the
unduplicated count of recipients from any Federal student aid program.
The tables include the aid from programs in the Student Financial
Assistance account, as well as aid from the Federal Family Education
Loan (FFEL) program, and the William D. Ford Federal Direct Loan
program. Loan amounts reflect the capital actually loaned, not the
Federal cost of those loans. The data in these tables include the
effects of matching funds wherever applicable.
AID FUNDS AVAILABLE FOR POSTSECONDARY EDUCATION AND TRAINING
[in thousands]
2001 actual 2002 est. 2003 est.
Pell grants......................... 9,850,580 10,707,780 10,840,290
Student loans:
Guaranteed student loans:
Stafford loans.................. 11,882,308 12,703,968 13,585,032
Unsubsidized Stafford loans..... 10,144,360 10,893,200 11,697,856
PLUS............................ 2,667,148 2,934,287 3,230,084
Direct student loans:
Stafford loans.................. 5,388,042 5,748,126 6,133,202
Unsubsidized Stafford loans..... 3,985,785 4,277,414 4,590,536
PLUS............................ 1,260,807 1,378,308 1,507,071
Consolidation:
FFEL............................ 9,255,251 8,334,685 6,877,114
Direct Loans.................... 7,760,000 8,643,078 5,307,205
------------------------------------
Student loans, subtotal..... 52,343,700 54,913,066 52,928,100
Work-study.......................... 1,214,643 1,214,643 1,214,643
Supplemental educational opportunity
grants.............................. 874,684 917,722 917,722
Perkins loans....................... 1,194,989 1,202,200 1,202,200
Leveraging educational assistance
partnership......................... 135,000 171,000 0
Loan forgiveness for child care
providers........................... 1,000 1,000 1,000
------------------------------------
Total aid available......... 65,614,595 69,127,410 67,103,955
====================================
Note: Detail may not add to totals due to rounding.
NUMBER OF AID AWARDS
[In thousands]
2001 actual 2002 est. 2003 est.
Pell grants......................... 4,284 4,444 4,499
Guaranteed student loans:
Stafford loans.................... 2,890 3,084 3,269
Unsubsidized Stafford loans....... 2,041 2,199 2,330
PLUS.............................. 310 334 353
Consolidation..................... 309 308 222
Direct student loans:
Stafford loans.................... 1,273 1,324 1,399
Unsubsidized Stafford loans....... 866 878 929
PLUS.............................. 152 153 161
Consolidation..................... 367 357 256
Work-study.......................... 970 970 970
Supplemental educational opportunity
grants.............................. 1,169 1,227 1,227
Perkins loans....................... 711 715 715
Leveraging Educational Assistance
Partnership......................... 135 171 0
Loan forgiveness for child care
providers........................... * *
------------------------------------
Total awards.................. 15,477 16,164 16,329
====================================
Note: Detail may not add to totals due to rounding.
*Fewer than 500 recipients
AVERAGE AID AWARDS
[In whole dollars]
2001 actual 2002 est. 2003 est.
Pell grants......................... 2,299 2,409 2,409
Guaranteed student loans:
Stafford loans.................... 3,390 3,397 3,427
Unsubsidized Stafford loans....... 4,077 4,065 4,120
PLUS.............................. 7,359 7,504 7,817
SLS............................... 0 0 0
Consolidation..................... 29,378 26,504 30,420
Direct student loans:
Stafford loans.................... 3,491 3,582 3,615
Unsubsidized Stafford loans....... 3,824 4,043 4,103
PLUS.............................. 7,097 7,708 8,010
Consolidation..................... 20,976 24,033 20,634
Work-study.......................... 1,252 1,252 1,252
Supplemental educational opportunity
grants.............................. 748 748 748
Perkins loans....................... 1,681 1,681 1,681
Leveraging Educational Assistance
Partnership......................... 1,000 1,000 0
Loan forgiveness for child care
providers........................... 13,333 13,333 13,333
====================================
Unduplicated student count.......... 7,611 8,064 8,403
The following table displays institutional administrative costs paid
from program funds.
ADMINISTRATIVE PAYMENTS TO INSTITUTIONS
[In millions of dollars]
2001 actual 2002 est. 2003 est.
Pell grants......................... 21,420 22,220 22,495
[[Page 365]]
Work-study.......................... 75,897 75,897 75,897
Supplemental educational opportunity
grants.............................. 34,987 36,709 36,709
Perkins loans....................... 47,800 48,088 48,088
The following table displays the status of defaulted Perkins loans
held by the Department and by institutions.
DEFAULTED PERKINS LOANS
(In millions of dollars)
2001 actual 2002 est. 2003 est.
Outstanding defaulted loans,
beginning of year:
Assigned defaulted loans \1\...... 615 606 596
Unassigned defaulted loans \2\.... 952 956 960
New defaulted loans................. 155 164 167
Collections on assigned loans....... -28 -27 -27
Collections on unassigned loans..... -114 -125 -136
Write-offs for assigned loans....... -9 -9 -9
Write-offs for unassigned loans..... -9 -9 -9
------------------------------------
Outstanding defaulted loans, end of
year................................ 1,562 1,556 1,542
====================================
\1\ Permanently assigned to the Federal Government for collection.
\2\ Unassigned loans at institutions.
Student Aid Administration
For Federal administrative expenses to carry out part D of title I;
subparts 1, 3, and 4 of part A; and parts B, C, D, and E of title IV of
the Higher Education Act of 1965, as amended, $936,386,000, which shall
remain available through September 30, 2004, of which not more than
$195,000,000 shall be for account maintenance fees for fiscal year 2003
that are payable to guaranty agencies under part B and are calculated in
accordance with section 458 of the Act.
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0202-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Student aid administration........ 3 2 936
--------- --------- ----------
10.00 Total new obligations........... 3 2 936
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 3 2 936
23.95 Total new obligations............. -3 -2 -936
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 3 2 936
----------------------------------------------------------------------------
Change in obligated balances:
73.10 Total new obligations............. 3 2 936
73.20 Total outlays (gross)............. -3 -2 -603
74.40 Obligated balance, end of year.... 333
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 3 2 603
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 3 2 936
90.00 Outlays........................... 3 2 603
---------------------------------------------------------------------------
Budget Authority and Outlays Excluding Full Funding for Federal Retiree
Costs (in millions of dollars)
----------------------------------------------------------------------------
2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 934
90.00 Outlays........................... 601
---------------------------------------------------------------------------
The Department of Education manages Federal student aid programs
that will provide over $67 billion in Federal student aid grants and
loans to over 8 million students and parents in 2003. Primary
responsibility for administering these programs lies with the Office of
Postsecondary Education and the performance-based Office of Student
Financial Assistance (SFA). SFA was created by Congress in 1998 with a
mandate to improve service to students and other student aid program
participants, reduce the cost of student aid administration, and improve
accountability and program integrity.
The Department's student aid administrative activities are funded
from four main sources: (1) funds appropriated on a permanent basis
under section 458 of the Higher Education Act; (2) a portion of the
Department's general Program Administration funds; (3) a discretionary
appropriation partially supporting administrative activities associated
with the Federal Family Education Loan (FFEL) program; and (4) permanent
funds from the Direct Loan program subsidy account supporting the
origination of Direct Consolidation Loans. Student aid administrative
funds totaled $887 million in 2002, $180 million of which supported the
payment of account maintenance fees to FFEL guaranty agencies.
The budget for 2003 includes $936 million for student aid
administration. In order to improve accountability and simplify program
oversight and operations, the Administration is proposing to consolidate
funding for student aid administrative activities into a single
discretionary account. Funding levels for this account will be based on
a workload-based methodology consistent with the goals of the
performance-based organization.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0202-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Personnel compensation:
11.1 Full-time permanent............. 81
11.5 Other personnel compensation.... 5
--------- --------- ----------
11.9 Total personnel compensation.. 86
12.1 Civilian personnel benefits....... 3 2 23
21.0 Travel and transportation of
persons......................... 6
23.1 Rental payments to GSA............ 12
23.3 Communications, utilities, and
miscellaneous charges........... 53
24.0 Printing and reproduction......... 9
25.1 Advisory and assistance services.. 4
25.2 Other services.................... 45
25.3 Other purchases of goods and
services from Government
accounts........................ 8
25.7 Operation and maintenance of
equipment....................... 491
26.0 Supplies and materials............ 1
31.0 Equipment......................... 3
41.0 Grants, subsidies, and
contributions................... 195
--------- --------- ----------
99.9 Total new obligations........... 3 2 936
---------------------------------------------------------------------------
Personnel Summary
----------------------------------------------------------------------------
Identification code 91-0202-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
1001 Total compensable workyears: Full-
time equivalent employment...... 1,118
---------------------------------------------------------------------------
Federal Student Loan Reserve Fund
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-4257-0-3-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
01.02 Obligations, non-federal.......... 3,595 4,060 4,613
--------- --------- ----------
10.00 Total new obligations........... 3,595 4,060 4,613
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 2,232 2,463 1,409
22.00 New budget authority (gross)...... 3,826 4,091 4,590
22.40 Capital transfer to general fund.. -1,085
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 6,058 5,469 5,999
23.95 Total new obligations............. -3,595 -4,060 -4,613
24.40 Unobligated balance carried
forward, end of year............ 2,463 1,409 1,386
----------------------------------------------------------------------------
New budget authority (gross), detail:
Mandatory:
69.00 Offsetting collections (cash)... 3,826 4,091 4,590
----------------------------------------------------------------------------
[[Page 366]]
Change in obligated balances:
73.10 Total new obligations............. 3,595 4,060 4,613
73.20 Total outlays (gross)............. -3,595 -4,060 -4,613
----------------------------------------------------------------------------
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 3,595 4,060 4,590
86.98 Outlays from mandatory balances... 23
--------- --------- ----------
87.00 Total outlays (gross)........... 3,595 4,060 4,613
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash)
from:
88.00 Federal sources............... -3,417 -3,687 -4,207
88.40 Non-Federal sources........... -409 -404 -383
--------- --------- ----------
88.90 Total, offsetting
collections (cash)........ -3,826 -4,091 -4,590
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority..................
90.00 Outlays........................... -231 -31 23
---------------------------------------------------------------------------
The Higher Education Amendments of 1998 clarified that reserve funds
held by public and non-profit guaranty agencies participating in the
Federal Family Education Loan (FFEL) program are Federal property. These
reserves are used to pay default claims from FFEL lenders and fees to
support agency efforts to successfully avert defaults. The Federal
Government reimburses these reserves for default claim payments. In
addition, optional borrower guarantee fees are deposited into the
reserves (agencies may charge borrowers up to 1 percent of loan
principal as a guarantee fee). The following schedules reflect the
balances in these guaranty agency funds.
Statement of Operations (in millions of dollars)
-----------------------------------------------------------------------------------------------
Identification code 91-4257-0-3-502 2000 actual 2001 actual 2002 est. 2003 est.
-----------------------------------------------------------------------------------------------
0101 Revenue........................... 2,092 3,826 4,091 4,590
0102 Expense........................... -1,953 -3,595 -4,060 -4,613
------------ -------------- ------------ -------------
0105 Net income or loss (-)............ 139 231 31 -23
-----------------------------------------------------------------------------------------------
Balance Sheet (in millions of dollars)
-----------------------------------------------------------------------------------------------
Identification code 91-4257-0-3-502 2000 actual 2001 actual 2002 est. 2003 est.
-----------------------------------------------------------------------------------------------
ASSETS:
1101 Federal assets: Fund balances with
Treasury........................ 2,232 2,462 1,408 1,386
------------ -------------- ------------ -------------
1999 Total assets.................... 2,232 2,462 1,408 1,386
NET POSITION:
3300 Cumulative results of operations.. 2,232 2,462 1,408 1,386
------------ -------------- ------------ -------------
3999 Total net position.............. 2,232 2,462 1,408 1,386
------------ -------------- ------------ -------------
4999 Total liabilities and net position 2,232 2,462 1,408 1,386
-----------------------------------------------------------------------------------------------
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-4257-0-3-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
41.0 Grants, subsidies, and
contributions................... 246 264 258
42.0 Insurance claims and indemnities.. 3,349 3,796 4,355
--------- --------- ----------
99.9 Total new obligations........... 3,595 4,060 4,613
---------------------------------------------------------------------------
For Budget Enforcement Act purposes, the Administration will use the
Congressional Budget Office's estimates of the costs of legislative
proposals rather than calculating costs against baselines contained in
the Appendix. The Administration is developing, and will implement, a
new method of calculating student loan credit cost estimates for the
2003 Mid-Session Review.
Credit accounts:
Federal Direct Student Loan Program, Program Account
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0243-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.05 Upward Subsidy Reestimate......... 1,085
00.06 Interest on Subsidy Reestimate.... 74
00.09 Student Loan Administrative
Expenses........................ 787 783 2
--------- --------- ----------
10.00 Total new obligations........... 1,946 783 2
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 10 15
22.00 New budget authority (gross)...... 1,931 783
22.10 Resources available from
recoveries of prior year
obligations..................... 20
22.40 Capital transfer to general fund.. -15
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 1,961 783
23.95 Total new obligations............. -1,946 -783 -2
24.40 Unobligated balance carried
forward, end of year............ 15 -2
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... -797
Mandatory:
60.00 Appropriation................... 1,931 783 797
Offsetting collections (cash):
69.00 Offsetting collections (cash)... 1,039 731 617
69.00 Offsetting collections (cash)--
Downward Reestimate........... 531
69.00 Offsetting collections (cash)--
Interest on downward
reestimate.................... 147
69.27 Capital transfer to general fund.. -1,717 -731 -617
--------- --------- ----------
69.90 Spending authority from
offsetting collections (total
mandatory)....................
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 1,931 783
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 347 299 373
73.10 Total new obligations............. 1,946 783 2
73.20 Total outlays (gross)............. -1,974 -708 -319
73.45 Recoveries of prior year
obligations..................... -20
74.40 Obligated balance, end of year.... 299 373 56
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... -512
86.97 Outlays from new mandatory
authority....................... 1,775 498 512
86.98 Outlays from mandatory balances... 199 210 319
--------- --------- ----------
87.00 Total outlays (gross)........... 1,974 708 319
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
88.00 Offsetting collections (cash)
from: Federal sources......... -1,717 -731 -617
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 214 52 -617
90.00 Outlays........................... 257 -23 -298
---------------------------------------------------------------------------
Budget Authority and Outlays Excluding Full Funding for Federal Retiree
Costs (in millions of dollars)
----------------------------------------------------------------------------
2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 212 49 -619
90.00 Outlays........................... 255 -26 -300
---------------------------------------------------------------------------
Summary of Budget Authority and Outlays
(in millions of dollars)
2001 actual 2002 est. 2003 est.
Enacted/requested:
Budget Authority.................. 214 52 -617
Outlays........................... 257 -23 -298
[[Page 367]]
Legislative proposal, subject to
PAYGO:
Budget Authority.................. 3
Outlays........................... 15
------------------------------------
Total:
Budget Authority.................. 214 52 -614
Outlays........................... 257 -23 -283
====================================
Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0243-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Direct loan levels supportable by subsidy
budget authority:
115001Stafford.......................... 5,522 6,234 6,651
115002Unsubsidized Stafford............. 4,314 4,793 5,145
115003PLUS.............................. 1,396 1,535 1,679
115004Consolidated...................... 8,682 8,704 5,368
--------- --------- ----------
115901Total direct loan levels.......... 19,914 21,266 18,843
Direct loan subsidy (in percent):
132001Stafford.......................... 7.16 3.63 4.97
132002Unsubsidized Stafford............. -12.61 -12.40 -12.25
132003PLUS.............................. -9.49 -8.95 -9.80
132004Consolidated...................... -7.03 -4.02 -3.75
--------- --------- ----------
132901Weighted average subsidy rate..... -4.47 -4.02 -3.52
Direct loan subsidy budget authority:
133001Stafford.......................... 396 226 331
133002Unsubsidized Stafford............. -544 -594 -630
133003PLUS.............................. -133 -137 -165
133004Consolidated...................... -610 -350 -201
--------- --------- ----------
133901Total subsidy budget authority.... -891 -855 -665
Direct loan subsidy outlays:
134001Stafford.......................... 295 257 275
134002Unsubsidized Stafford............. -584 -519 -553
134003PLUS.............................. -140 -122 -140
134004Consolidated...................... -610 -347 -199
--------- --------- ----------
134901Total subsidy outlays............. -1,039 -731 -617
Direct loan upward reestimate subsidy budget
authority:
135005Upward reestimate subsidy budget
authority....................... 1,159
--------- --------- ----------
135901Total upward reestimate budget
authority....................... 1,159
Direct loan upward reestimate subsidy outlays:
136005Upward reestimates subsidy outlays 1,159
--------- --------- ----------
136901Total upward reestimate outlays... 1,159
Direct loan downward reestimate subsidy budget
authority:
137005Downward reestimates offsetting
collection...................... -678
--------- --------- ----------
137901Total downward reestimate budget
authority....................... -678
Direct loan downward reestimate subsidy
outlays:
138005Downward reestimates offsetting
collection...................... -678
--------- --------- ----------
138901Total downward reestimate subsidy
outlays......................... -678
----------------------------------------------------------------------------
Student loan administrative expense data:
351001Budget authority.................. 772 783
359001Outlays........................... 815 708 319
---------------------------------------------------------------------------
The Federal Government operates two major student loan programs: the
Federal Family Education Loan (FFEL) program--formerly the Guaranteed
Student Loan (GSL) program--and the William D. Ford Federal Direct Loan
(Direct Loan) program. For 2003, the President is committed to improving
the efficiency of both programs and allowing individual institutions to
choose which of these two programs best meets their needs and the needs
of their students.
This summary section outlines the structure of these two programs,
highlights their differences and similarities, and provides text tables
displaying program cost data; loan volume, subsidy, default, and
interest rates; and other descriptive information. As part of his 2003
budget, the President is proposing a change to the loan forgiveness
provisions of the Direct Loan and FFEL programs. This proposal is
discussed as part of this program description.
From its inception in 1965 through 2000, the FFEL program has
provided over $347 billion in loans to postsecondary students and their
parents. Since July 1, 1994, the Direct Loan program has provided $92
billion in new and consolidation loans to students and parents. Taken
together, the FFEL and Direct Loan programs will make almost $38 billion
in new loans available in 2002. Because funding for these two programs
is provided on a permanent indefinite basis, for budget purposes they
are considered separately from other Federal student financial
assistance programs. The FFEL and Direct Loan programs should be viewed
in combination with these other programs, however, and with Perkins
Loans in particular, as part of the overall Federal effort to ensure
access to higher education.
Loan capital in the FFEL program is provided by private lenders.
State and private nonprofit guaranty agencies act as agents of the
Federal Government, providing a variety of services including collection
of some defaulted loans, default avoidance activities, and counseling to
schools, students, and lenders. The Government provides substantial
payments to these guaranty agencies. The Government also pays interest
subsidies to lenders for certain borrowers, as well as most costs
associated with loan defaults and other write-offs.
The Direct Loan program was created by the Student Loan Reform Act
of 1993. Under this program, the Federal Government provides loan funds
to postsecondary institutions directly or through an alternative
originator. The Direct Loan program began operation in academic year
1994-1995 with 7 percent of overall loan volume and is expected to
account for 30 percent in academic year 2001-2002. All eligible
institutions are free to participate in either the Direct Loan or FFEL
program.
The Direct Loan and FFEL programs share many basic elements. Each
program offers four types of loans: Stafford, Unsubsidized Stafford,
PLUS for parents, and Consolidation. Evidence of financial need is
required for a student to receive a subsidized Stafford loan. The other
three loan programs are available to borrowers at all income levels.
Loans can be used only to meet qualified educational expenses.
The borrower interest rate for new Stafford Loans equals the 91-day
Treasury bill rate plus 1.7 percent during in-school, grace, and
deferment periods, and the 91-day Treasury bill plus 2.3 percent at all
other times, with a cap of 8.25 percent, adjusted annually. Interest
payments for these loans are fully subsidized by the Government while a
student is in school and during grace and deferment periods.
Unsubsidized Stafford loans carry the same borrower interest rate as
Stafford loans, but have no interest subsidy. For new PLUS loans, the
borrower interest rate equals the 91-day Treasury bill rate plus 3.1
percent, with a cap of 9 percent and no interest subsidy.
In the FFEL program, lenders may receive an interest subsidy, called
a special allowance, from the Government to ensure a guaranteed rate of
return on their loans. Special allowance payments vary by loan type, are
determined quarterly, and are based on current borrower interest rates
and market-yield formulas. For new Stafford and Unsubsidized Stafford
loans, for example, the Federal Government must pay lenders a special
allowance if the average 3-month commercial paper rate for a given
quarter plus 2.34 percent--or 1.74 percent during in-school, grace, or
deferment periods--is higher than the current interest rate charged
borrowers.
Consolidation loans allow borrowers to combine loans made under
Title IV of the Higher Education Act--FFEL, Direct Loans, and Perkins
Loans--as well as some loans made under the Public Health Service Act.
The interest rate for new FFEL and Direct Consolidation loans equals the
weighted average of the interest rate on the loans consolidated, rounded
up to the nearest one-eighth of one percent. Lenders may choose to offer
a lower rate. Interest rates for all new FFEL and Direct Consolidation
Loans are capped at 8.25 percent.
FFEL borrowers pay an origination fee to the Government equal to 3
percent of principal, and are also liable for a
[[Page 368]]
guaranty agency insurance premium of up to 1 percent of principal.
Guaranty agencies have the option of waiving this premium and FFEL
lenders have the option of paying some or all of a borrower's
origination fee for Stafford Loan borrowers. Direct Loan borrowers are
charged an origination fee equal to 3 percent of principal, which
partially offsets Federal program operation costs. Borrowers in both
programs may be offered financial incentives to encourage prompt
repayment.
Loan limits are also identical across the two programs. In addition,
loans made under both programs are discharged when borrowers die, are
totally and permanently disabled, or, under some circumstances, declare
bankruptcy.
Under both programs, new borrowers after October 1, 1998, who are
employed as teachers in schools serving low-income populations for five
consecutive, complete school years, qualify for up to $5,000 in loan
forgiveness. The Administration is proposing to increase this benefit to
a maximum of $17,500 for mathematics, science, and special education
teachers considered highly qualified under criteria established in the
No Child Left Behind Act of 2001.
Borrowers under Direct Loans may choose from among five repayment
plans including income-contingent repayment (``pay-as-you-can''), under
which annual repayment amounts vary based on the income of the borrower
and the amount borrowed, and payments can be made over 25 years.
Borrowers may switch between repayment plans at any time. (Income-
contingent repayment is not available to Direct PLUS borrowers).
FFEL borrowers may choose from among four repayment plans. Repayment
periods under standard, graduated, and income-sensitive repayment may
not exceed 10 years. An extended repayment plan of up to 25 years is
available for new borrowers with outstanding loans totalling more than
$30,000. FFEL borrowers may change repayment plans annually.
Student loan program administration activities are supported from a
variety of sources, including a permanent appropriation authorized under
Section 458 of the Higher Education Act, a small discretionary
appropriation partially supporting FFEL program administration, a
portion of funds appropriated under the Department's discretionary
Program Administration account, and subsidy funds associated with the
origination of Direct Consolidation Loans. In order to improve
accountability and simplify the funding process for these administrative
activities, the President is proposing to create a unified,
discretionary Student Aid Administration account.
The following tables display performance indicators and program
data; including projected overall Direct Loan and FFEL costs; loan
volume, number of loans, and average loan amount; descriptive data, and
program activity under the President's budget and legislative request.
Funding Levels (In thousands of dollars)
----------------------------------------------------------------------------
2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Program Cost:
FFEL:
Liquidating \1\.......................(1,063,810) (744,810) (625,162)
Program:
Regular............................. 2,930,652 3,302,001 3,397,928
Consolidation....................... 137,638 479,229 702,793
Reestimate of Prior Year Costs......(4,727,793) 0 0
Non-Contractual Modifications \2\... 0 0 23,540
----------- ----------- ----------
Subtotal, Program.................(1,659,503) 3,781,230 4,124,260
Total FFEL:.......................(2,723,314) 3,036,420 3,499,098
Direct Loans:
Program:
Regular............................. (428,683) (383,848) (414,192)
Consolidation....................... (610,326) (347,452) (199,020)
Reestimate of Prior Year Costs...... 481,223 0 0
Non-Contractual Modification \2\.... 0 0 12,127
Total, Direct Loans............... (557,786) (731,300) (601,085)
Administration:\3\
FFEL :\4\............................. 48,000 48,836 0
Student Aid \5\....................... 784,755 780,000 0
----------- ----------- ----------
Subtotal, Administration............ 832,955 828,836 0
Total, FFEL and Direct Loans........(2,448,344) 3,133,956 2,898,013
Program Cost Outlays:
FFEL:
Liquidating \1\....................... (852,539) (680,208) (625,162)
Program:
Regular............................. 2,982,980 2,787,487 2,953,599
Consolidation....................... 136,876 477,577 700,778
Reestimate of Prior Year Costs......(4,727,793) 0 0
Non-Contractual Modification \2\.... 0 0 23,540
Subtotal, Program.................(1,607,937) 3,265,064 3,677,917
Total, FFEL.......................(2,460,476) 2,584,856 3,052,754
Direct Loans:
Program:
Regular............................. (428,683) (383,848) (414,192)
Consolidation....................... (610,326) (347,452) (199,020)
Reestimate of Prior Year Costs...... 481,223 0 0
Non-Contractual Modifications \2\... 0 0 12,127
Total, Direct Loans............... (557,786) (731,300) (601,085)
Administration:\3\
FFEL \4\.............................. 55,652 66,761 11,328
Student Aid \5\....................... 812,948 705,229 318,743
----------- ----------- ----------
Subtotal, Administration............ 868,600 771,990 330,071
Total, FFEL and Direct Loans........(2,149,662) 2,625,546 2,781,740
\1\ Liquidating account reflects loans made prior to 1992.
\2\ Reflects the costs or savings associated with policy changes that
would affect the terms of existing loans.
\3\ For 2003, no funds are requested for loan administration, as these
costs would be part of the proposed discretionary Student Aid Administration
account. Outlays in 2003 reflect outlays from prior year balances.
\4\ Reflects annual discretionary appropriation.
\5\ Supports account maintenance fee payments to FFEL guaranty agencies,
Direct Loan origination and servicing, and a range of administrative
activities such as application printing, mailing, and processing that are
common to all Federal student financial assistance programs.
Summary of Loans Available (net commitments in millions of dollars) \1\
----------------------------------------------------------------------------
2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
FFEL:
Stafford.............................. 11,882 12,704 13,585
Unsubsidized Stafford................. 10,144 10,893 11,698
PLUS.................................. 2,667 2,934 3,230
--------- --------- ----------
Subtotal............................ 24,694 26,531 28,513
Consolidation......................... 9,255 8,335 6,877
--------- --------- ----------
Total, FFEL......................... 33,949 34,866 35,390
Direct Loans:
Stafford.............................. 5,388 5,748 6,133
Unsubsidized Stafford................. 3,986 4,277 4,591
PLUS.................................. 1,261 1,378 1,507
--------- --------- ----------
Subtotal............................ 10,635 11,404 12,231
Consolidation....................... 7,760 8,643 5,307
--------- --------- ----------
Total, Direct Loans................. 18,395 20,047 17,538
Total, All Loans.................... 52,344 54,913 52,928
---------------------------------------------------------------------------
\1\ Net commitments equal gross commitments minus loan cancellations.
Number of Loans (In thousands)
----------------------------------------------------------------------------
2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
FFEL:
Stafford.............................. 3,505 3,740 3,964
Unsubsidized Stafford................. 2,488 2,680 2,839
PLUS.................................. 362 391 413
--------- --------- ----------
Subtotal............................ 6,355 6,811 7,216
Consolidation......................... 315 314 226
--------- --------- ----------
Total, FFEL......................... 6,670 7,125 7,442
Direct Loans:
Stafford.............................. 1,543 1,605 1,696
Unsubsidized Stafford................. 1,042 1,058 1,119
PLUS.................................. 178 179 188
--------- --------- ----------
Subtotal............................ 2,763 2,842 3,003
Consolidation......................... 370 360 257
--------- --------- ----------
Total, Direct Loans................. 3,133 3,201 3,261
[[Page 369]]
Total, All Loans.................... 9,803 10,326 10,703
---------------------------------------------------------------------------
Average Loan Size (in whole dollars)
----------------------------------------------------------------------------
2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
FFEL:
Stafford.............................. 3,390 3,397 3,427
Unsubsidized Stafford................. 4,077 4,065 4,120
PLUS.................................. 7,359 7,504 7,817
--------- --------- ----------
Weighted Average, without
Consolidations.................... 3,886 3,896 3,951
--------- --------- ----------
Consolidation......................... 29,378 26,505 30,420
--------- --------- ----------
Weighted Average, FFEL.............. 5,090 4,893 4,755
Direct Loans:
Stafford.............................. 3,491 3,582 3,615
Unsubsidized Stafford................. 3,824 4,043 4,103
PLUS.................................. 7,097 7,708 8,010
--------- --------- ----------
Weighted Average, Without
Consolidations.................... 3,849 4,013 4,073
--------- --------- ----------
Consolidation......................... 20,976 24,033 20,614
--------- --------- ----------
Weighted Average, Direct Loans...... 5,871 6,262 5,379
Weighted Average, All Loans......... 5,339 5,318 4,945
---------------------------------------------------------------------------
Summary of Subsidy Rates, Default and Interest Rates
----------------------------------------------------------------------------
2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Subsidy Rates (in percent) \1\
FFEL:
Stafford.............................. 18.15% 16.40% 16.85%
Unsubsidized Stafford................. 4.98% 6.18% 4.64%
PLUS.................................. 2.98% 4.74% 4.67%
Consolidation......................... 1.72% 5.73% 10.19%
Weighted Average, FFEL.............. 8.84% 9.76% 10.37%
Direct Loans:
Stafford.............................. 7.16% 3.63% 5.02%
Unsubsidized Stafford................. -12.61% -12.40% -12.21%
PLUS.................................. -9.49% -8.95% -9.80%
Consolidation....................... -7.03% -4.02% -3.75%
Weighted Average, Direct Loans...... -4.47% -4.02% -3.50%
Default Rates (in percent) \2\
FFEL:
Stafford.............................. 16.22 16.24 16.27
Unsubsidized Stafford................. 14.29 14.31 14.34
PLUS.................................. 9.61 9.66 9.70
Consolidated.......................... 20.53 20.53 20.52
Weighted Average, FFEL.............. 16.30 16.11 15.86
Direct Loans:
Stafford.............................. 14.65 14.64 14.64
Unsubsidized Stafford................. 13.31 13.32 13.34
PLUS.................................. 9.04 9.06 9.07
Consolidation......................... 14.27 14.11 14.29
Weighted Average, Direct Loans...... 13.81 13.75 13.72
Borrower Interest Rates (in percent) \3\
FFEL:
Stafford.............................. 6.66 6.69 6.53
Unsubsidized Stafford................. 6.66 6.69 6.54
PLUS.................................. 7.16 6.87 7.25
Consolidation (reflects Sub and Unsub
Stafford Only)...................... 8.00 5.88 5.34
Direct Loans:
Stafford.............................. 6.66 6.69 6.50
Unsubsidized Stafford................. 6.66 6.69 6.50
PLUS.................................. 7.16 6.87 7.27
Consolidation (reflects Sub and Unsub
Stafford only)...................... 7.88 5.75 5.63
---------------------------------------------------------------------------
\1\ Subsidy rates represent the Federal portion of non-administrative
costs--principally interest subsidies and defaults--associated with each
borrowed dollar. For example, a $1,000 loan with Federal subsidy costs of
$100 would have a subsidy rate of 10 percent.
\2\ Default rates displayed in this table, which reflect projected
defaults over the life of a loan cohort, are used in developing program cost
estimates. The Department uses other rates based on defaults occurring in
the first three years of repayment to determine institutional eligibility to
participate in Federal loan programs. These three-year rates tend to be
lower than those included in this table.
\3\ These represent average borrower interest rates during repayment for
a typical borrower under standard repayment over the life of the loan.
Composition of Loan Collections (In thousands of dollars)
----------------------------------------------------------------------------
2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
FFEL:
Collections by Guaranty Agencies \1\.. 2,699,372 1,487,641 1,609,925
Collections by Department of Education
\2\................................. 683,106 509,439 524,292
Internal Revenue Service Tax Refund
Offsets............................. 950,627 713,183 737,462
Total, FFEL....................... 4,333,104 2,710,262 2,871,678
Direct Loans:
Collections by Department of Education
\2\................................. 277,985 479,274 649,803
Internal Revenue Service Tax Refund
Offsets............................. 92,297 89,232 124,539
Total, Direct Loans............... 370,282 568,506 774,343
Total, FFEL and Direct Loan......... 4,703,387 3,278,768 3,646,020
---------------------------------------------------------------------------
\1\ These figures show collections net of the amount agencies are
allowed to retain under the provisions of the Higher Education Act of 1965.
Agencies may retain 24 percent of most collections, and 18.5 percent of
amounts collected through the consolidation of existing defaulted loans.
\2\ These figures include amounts subsequently paid to Department
contract collections agencies; contract collection costs total $157 million
for 2001 ($87 million for FFEL and $71 million for Direct Loans); $174
million for 2002 ($90 million for FFEL and $84 million for Direct Loans);
and $206 million for 2003 ($92 million for FFEL and $114 million for Direct
Loans).
Projected Participation in Repayment Plans \1\ (in percent)
----------------------------------------------------------------------------
2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Direct Loans \1\
Standard
Percent of Loan Volume: \2\
Stafford.......................... 72.84 72.84 72.84
Unsubsidized Stafford............. 68.66 68.66 68.66
PLUS.............................. 75.43 75.43 75.43
Consolidation..................... 21.96 24.04 21.39
Subsidy Rate (in percent):
Stafford.......................... 8.98 4.21 5.45
Unsubsidized Stafford............. -10.44 -11.89 -11.92
PLUS.............................. -7.13 -7.31 -8.19
Consolidation..................... -0.09 0.25 1.83
Graduated: \3\
Percent of Loan Volume \2\
Stafford.......................... 18.77 18.77 18.77
Unsubsidized Stafford............. 20.72 20.72 20.72
PLUS.............................. 18.11 18.11 18.11
Consolidation..................... 18.18 20.39 17.56
Subsidy Rate (in percent):
Stafford.......................... 2.82 2.08 3.94
Unsubsidized Stafford............. -17.90 -14.40 -13.73
PLUS.............................. -18.22 -14.37 -15.12
Consolidation..................... -12.96 1.83 4.25
Extended: \3\
Percent of Loan Volume: \2\
Stafford.......................... 6.77 6.77 6.77
Unsubsidized Stafford............. 8.80 8.80 8.80
PLUS.............................. 6.46 6.46 6.46
Consolidation..................... 15.55 18.12 14.84
Subsidy Rate (in percent):
Stafford.......................... 3.45 2.53 4.29
Unsubsidized Stafford............. -17.17 -13.87 -13.30
PLUS.............................. -16.61 -12.84 -13.68
Consolidation..................... -11.65 1.65 3.71
Income-Contingent:
Percent of Loan Volume: \2\
Stafford.......................... 1.63 1.63 1.63
Unsubsidized Stafford............. 1.83 1.83 1.83
Consolidation..................... 44.31 37.44 46.21
Subsidy Rate (in percent):
Stafford.......................... 0.60 0.19 1.12
Unsubsidized Stafford............. 0.49 -1.59 -0.64
Consolidation..................... -9.32 -12.09 -11.13
\1\ For modeling purposes, all FFEL borrowers are assumed to have chosen
Standard repayment. For Direct Loans, no data is included for the
Alternative repayment plan, since borrowers are not expected to participate
in this plan due to the flexibility available under the other options.
Income-contingent repayment is not available for Direct PLUS borrowers.
\2\ Percent of Loan Volume represents aggregate data. Individual
borrowers may move between plans over time.
\3\ Maximum terms under the Extended and Graduated repayment plans
reflect the following ``classes'' based on borrower debt levels.
------------------------------------------------------------------------
Percent of Volume
Within Direct
Debt Level Maximum Term (in Extended and
years) Graduated Plans
(Stafford) FY 02
------------------------------------------------------------------------
Below $10,000............... 12 12.59
$10,000-$20,000............. 15 35.21
$20,000-$40,000............. 20 36.41
$40,000-$60,000............. 25 11.07
Above $60,000............... 30 4.72
------------------------------------------------------------------------
The Higher Education Amendments of 1998 broadened the availability
of alternative repayment plans in the FFEL program. As noted in the
table above, data on the extent to which FFEL borrowers will take
advantage of these plans is not yet available.
Consistent with the Federal Credit Reform Act of 1990, the Office of
Management and Budget establishes procedures for the estimation of
subsidy rates for the Federal student loan programs. Subsidy costs for
each loan type are estimated separately and, because costs can vary
widely within a pro
[[Page 370]]
gram depending on the characteristics of the individual borrower, cost
estimates are aggregated from data for homogeneous groups within risk
categories.
Risk categories for Stafford and Unsubsidized Stafford Loans are
based on the type of school attended by the borrower. Since PLUS loan
borrowers are all parents, they are assumed to share similar risk
profiles and are grouped together in a single category. For
Consolidation Loans, risk categories distinguish between standard
Consolidation Loans--in which borrowers in repayment consolidate a
number of outstanding loans--and loans consolidated out of default.
Default rates are a major cause of differences in subsidy between
risk categories. The default rates in the following tables reflect
estimates of the percent of borrowers who will default over the lifetime
of the loans. These estimates are revised annually based on an analysis
of default trends. Within each risk group, it is assumed that borrowers
choosing similar repayment plans will have similar default rates,
regardless of whether they borrow under the FFEL or Direct Loan program.
FFEL RISK CATEGORIES: STAFFORD LOANS
Subsidy Rate (as a percentage of loan commitments)
2001 actual 2002 est. 2003 est.
Risk Categories:
Category 1: 4 year college, 1st
and 2nd year students........... 22.19 20.07 20.59
Category 2: 4 year college, 3rd
and 4th year students........... 16.38 14.86 15.33
Category 3: 2 year college, all
students........................ 20.26 17.80 18.13
Category 4: Proprietary school,
all students.................... 14.30 12.78 13.00
Category 5: Graduate students..... 17.48 15.90 16.39
Gross Default Rates (in percent)
2001 actual 2002 est. 2003 est.
Risk Categories:
Category 1: 4 year college, 1st
and 2nd year students........... 20.40 20.40 20.40
Category 2: 4 year college, 3rd
and 4th year students........... 12.69 12.66 12.65
Category 3: 2 year college, all
students........................ 31.52 31.48 31.45
Category 4: Proprietary school,
all students.................... 45.67 45.52 45.38
Category 5: Graduate students..... 8.15 8.13 8.13
UNSUBSIDIZED STAFFORD LOANS
Subsidy Rate (as a percentage of loan commitments)
2001 actual 2002 est. 2003 est.
Risk Categories:
Category 1: 4 year college, 1st
and 2nd year students........... 5.55 7.65 5.97
Category 2: 4 year college, 3rd
and 4th year students........... 4.54 5.58 4.10
Category 3: 2 year college, all
students........................ 8.93 10.78 9.22
Category 4: Proprietary school,
all students.................... 7.31 10.48 9.12
Category 5: Graduate students..... 4.13 4.63 3.06
Gross Default Rates (in percent)
2001 actual 2002 est. 2003 est.
Risk Categories:
Category 1: 4 year college, 1st
and 2nd year students........... 20.31 20.31 20.31
Category 2: 4 year college, 3rd
and 4th year students........... 11.70 11.71 11.70
Category 3: 2 year college, all
students........................ 27.74 27.71 27.68
Category 4: Proprietary school,
all students.................... 35.67 35.55 35.44
Category 5: Graduate students..... 8.23 8.21 8.21
PLUS LOANS
Subsidy Rate (as a percentage of loan commitments)
2001 actual 2002 est. 2003 est.
All PLUS Loans.................... 2.98 4.74 4.67
Gross Default Rates (in percent)
2001 actual 2002 est. 2003 est.
All PLUS Loans.................... 9.61 9.66 9.70
DIRECT LOAN RISK CATEGORIES: STAFFORD LOANS
Subsidy Rate (as a percentage of loan commitments)
2001 actual 2002 est. 2003 est.
Risk Categories:
Category 1: 4 year college, 1st
and 2nd year students........... 11.19 6.91 8.36
Category 2: 4 year college, 3rd
and 4th year students........... 5.45 2.08 3.53
Category 3: 2 year college, all
students........................ 11.28 5.65 6.69
Category 4: Proprietary school,
all students.................... 7.93 2.97 3.54
Category 5: Graduate students..... 5.78 3.15 4.57
Gross Default Rates (in percent)
2001 actual 2002 est. 2003 est.
Risk Categories:
Category 1: 4 year college, 1st
and 2nd year students........... 19.97 19.96 19.96
Category 2: 4 year college, 3rd
and 4th year students........... 12.41 12.39 12.38
Category 3: 2 year college, all
students........................ 31.34 31.29 31.26
Category 4: Proprietary school,
all students.................... 45.07 44.92 44.77
Category 5: Graduate students..... 8.00 7.98 7.98
UNSUBSIDIZED STAFFORD LOANS
Subsidy Rate (as a percentage of loan commitments)
2001 actual 2002 est. 2003 est.
Risk Categories:
Category 1: 4 year college, 1st
and 2nd year students........... -12.18 -11.00 -10.48
Category 2: 4 year college, 3rd
and 4th year students........... -12.84 -12.87 -12.81
Category 3: 2 year college, all
students........................ -6.75 -5.85 -6.31
Category 4: Proprietary school,
all students.................... -5.98 -3.52 -4.80
Category 5: Graduate students..... -13.88 -14.28 -13.95
Gross Default Rates (in percent)
2001 actual 2002 est. 2003 est.
Risk Categories:
Category 1: 4 year college, 1st
and 2nd year students........... 19.64 19.63 19.63
Category 2: 4 year college, 3rd
and 4th year students........... 11.47 11.44 11.44
Category 3: 2 year college, all
students........................ 27.35 27.32 27.28
Category 4: Proprietary school,
all students.................... 34.98 34.86 34.75
Category 5: Graduate students..... 8.07 8.05 8.05
PLUS LOANS
Subsidy Rate (as a percentage of loan commitments)
2001 actual 2002 est. 2003 est.
All PLUS Loans.................... -9.49 -8.95 -9.80
Gross Default Rates (in percent)
2001 actual 2002 est. 2003 est.
All PLUS Loans.................... 9.04 9.06 -9.07
Selected Program Costs and Offsets \1\ (in thousands of dollars)
----------------------------------------------------------------------------
2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
FFEL:
Interest costs:
Interest benefits:
FFEL Liquidating...................... 19,583 15,176 13,656
FFEL Program.......................... 1,926,586 2,177,225 2,121,050
----------- ----------- ----------
Total............................... 1,946,169 2,192,401 2,134,705
Special allowance:
FFEL Liquidating...................... 44,675 5,414 12,268
FFEL Program.......................... 900,126 782,745 908,788
----------- ----------- ----------
Total............................... 944,801 788,159 921,056
Default costs and offsets:
Default claims:
FFEL Liquidating...................... 185,476 32,326 13,772
FFEL Program.......................... 1,560,662 3,224,912 3,580,502
----------- ----------- ----------
Total............................... 1,746,138 3,257,238 3,594,274
Net default collections:
FFEL Liquidating...................... 1,018,996 888,787 740,109
FFEL Program.......................... 2,149,336 2,203,638 2,485,062
----------- ----------- ----------
Total............................... 3,168,332 3,092,425 3,225,172
Contract collection costs:..........
FFEL Liquidating.................... 45,454 57,493 50,217
FFEL Program.......................... (2,753) 0 (640)
----------- ----------- ----------
Total............................... 42,700 57,493 49,577
Death, disability, and bankruptcy
costs:
FFEL Liquidating.................... 48,570 36,531 27,729
FFEL Program........................ 274,703 371,638 421,800
----------- ----------- ----------
Total............................... 323,273 408,169 449,529
Fees:
Borrower origination fees:............ 750,082 706,622 739,777
Lender origination fee................ 125,014 117,770 123,296
Sallie Mae offset fee:................ 44,723 51,368 47,374
Consolidation loan holder fees:....... 209,817 278,037 318,984
Direct Loans:
Borrower repayments:.................. 5,820,065 6,636,713 8,335,706
Borrower origination fees:........ 358,336 286,635 183,226
Net default Collections:.......... 168,652 601,172 828,396
Contact Collection Costs.......... 86,606 89,663 91,637
[[Page 371]]
Administrative Costs:
Federal administration:
FFEL.............................. 48,000 48,000
Student Aid Management (SAM) \2\.. 635,000 770,000
Guaranty agency administrative
payments:
Account Maintenance Fee (included
in SAM)......................... 180,000 170,000 180,000
Loan Issuance and Processing Fee.. 149,799 176,814 185,782
----------------------------------------------------------------------------
Details may not sum to totals due to rounding.
\1\ This table represents explicit cash flows in the FFEL and Direct
Loan financing accounts. Examples of these flows would include payments of
FFEL interest benefits, default claims, and discharge claims, or collections
on FFEL or Direct Loan defaults all of which involve explicit events that
are reflected in the Department's financial systems as they occur. Non-
events, such as Direct Loan interest benefits, defaults, or discharges,
involve payments that are not received, and hence not recorded in the
Department's financial systems in the same way. For that reason, these non-
events are not included in this table.
\2\ For 2003, no funds are requested for loan administration, as these
costs would be part of the proposed discretionary Student Aid Administration
account.
\3\ A number of expenses related to the administration of the student
assistance programs are paid out of Student Aid Management funds. One of
these expenses, account maintenance fee payments to guaranty agencies, is
shown as a separate line.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0243-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Personnel compensation:
11.1 Full-time permanent............. 40 44
11.3 Other than full-time permanent.. 2
11.5 Other personnel compensation.... 2 2
--------- --------- ----------
11.9 Total personnel compensation.. 44 46
12.1 Civilian personnel benefits....... 11 13 2
21.0 Travel and transportation of
persons......................... 5 4
23.1 Rental payments to GSA............ 5 7
23.3 Communications, utilities, and
miscellaneous charges........... 51 48
24.0 Printing and reproduction......... 12 9
25.1 Advisory and assistance services.. 2 4
25.2 Other services.................... 50 41
25.3 Other purchases of goods and
services from Government
accounts........................ 4 7
25.7 Operation and maintenance of
equipment....................... 421 419
26.0 Supplies and materials............ 1
31.0 Equipment......................... 6 2
32.0 Land and structures............... 5 3
41.0 Grants, subsidies, and
contributions................... 1,329 180
--------- --------- ----------
99.9 Total new obligations........... 1,946 783 2
---------------------------------------------------------------------------
Personnel Summary
----------------------------------------------------------------------------
Identification code 91-0243-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
1001 Total compensable workyears: Full-
time equivalent employment...... 630 631
---------------------------------------------------------------------------
Federal Direct Student Loan Program
(Legislative proposal, subject to PAYGO)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0243-4-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.03 Non-Contractual Modifications..... 12
--------- --------- ----------
10.00 Total new obligations (object
class 41.0)................... 12
----------------------------------------------------------------------------
Budgetary resources available for obligation:
23.95 Total new obligations............. -12
24.40 Unobligated balance carried
forward, end of year............ -12
----------------------------------------------------------------------------
New budget authority (gross), detail:
Mandatory:
69.00 Offsetting collections (cash)... -3
69.27 Capital transfer to general fund 3
--------- --------- ----------
69.90 Spending authority from
offsetting collections
(total mandatory)...........
----------------------------------------------------------------------------
Change in obligated balances:
73.10 Total new obligations............. 12
73.20 Total outlays (gross)............. -12
----------------------------------------------------------------------------
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 12
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
88.00 Offsetting collections (cash)
from: Federal sources......... 3
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 3
90.00 Outlays........................... 15
---------------------------------------------------------------------------
Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0243-4-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Direct loan levels supportable by subsidy
budget authority:
115001Stafford..........................
115002Unsubsidized Stafford.............
115003PLUS..............................
115004Consolidated......................
--------- --------- ----------
115901Total direct loan levels..........
Direct loan subsidy (in percent):
132001Stafford.......................... 0.05
132002Unsubsidized Stafford............. 0.04
132003PLUS.............................. 0.00
132004Consolidated...................... 0.00
--------- --------- ----------
132901Weighted average subsidy rate..... 0.03
Direct loan subsidy budget authority:
133001Stafford.......................... 3
133002Unsubsidized Stafford............. 2
133003PLUS..............................
133004Consolidated......................
133006Non-contractual modifcations...... 12
--------- --------- ----------
133901Total subsidy budget authority.... 17
Direct loan subsidy outlays:
134001Stafford.......................... 2
134002Unsubsidized Stafford............. 1
134003PLUS..............................
134004Consolidated......................
134006Non-contractual modifications..... 12
--------- --------- ----------
134901Total subsidy outlays............. 15
Direct loan upward reestimate subsidy budget
authority:
135005Upward reestimate subsidy budget
authority.......................
--------- --------- ----------
135901Total upward reestimate budget
authority.......................
Direct loan upward reestimate subsidy outlays:
136005Upward reestimates subsidy outlays
--------- --------- ----------
136901Total upward reestimate outlays...
Direct loan downward reestimate subsidy budget
authority:
137005Downward reestimates offsetting
collection......................
--------- --------- ----------
137901Total downward reestimate budget
authority.......................
Direct loan downward reestimate subsidy
outlays:
138005Downward reestimates offsetting
collection......................
--------- --------- ----------
138901Total downward reestimate subsidy
outlays.........................
----------------------------------------------------------------------------
Student loan administrative expense data:
351001Budget authority..................
359001Outlays...........................
---------------------------------------------------------------------------
These schedules represent the Administration's proposal to expand
teacher loan forgiveness. This proposal is described above in the main
account narrative.
[[Page 372]]
Federal Direct Student Loan Program, Financing Account
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-4253-0-3-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
Direct loans:
01.01 Stafford........................ 5,523 6,234 6,652
01.02 Unsubsidized Stafford........... 4,314 4,793 5,145
01.03 PLUS............................ 1,396 1,535 1,679
01.04 Consolidated.................... 7,987 8,704 5,368
01.05 Upward adjustment in prior
obligations................... 350
--------- --------- ----------
01.91 Subtotal, direct loans
obligations................. 19,570 21,266 18,844
Payment for consolidations:
02.04 Consolidated--Payment of Orig.
Services...................... 43 40 29
03.01 Payment of contract collections... 71 84 114
04.01 Interest payment to Treasury...... 5,101 4,800 5,623
Other obligations:
08.01 Payment of negative subsidy to
program account............... 852 793 604
08.02 Payment of downward reestimate
to program account............ 531
08.04 Payment of interest on downward
reestimate to program account... 147
--------- --------- ----------
08.91 Subtotal, other obligations..... 1,530 793 604
--------- --------- ----------
10.00 Total new obligations........... 26,315 26,983 25,214
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 4
22.00 New financing authority (gross)... 26,319 26,980 25,213
22.10 Resources available from
recoveries of prior year
obligations..................... 4,555
22.60 Portion applied to repay debt..... -2,236
22.70 Balance of authority to borrow
withdrawn....................... -2,319
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 26,319 26,984 25,213
23.95 Total new obligations............. -26,315 -26,983 -25,214
24.40 Unobligated balance carried
forward, end of year............ 4
----------------------------------------------------------------------------
New financing authority (gross), detail:
Mandatory:
67.10 Authority to borrow............. 21,795 22,055 19,447
69.00 Offsetting collections (cash)..... 11,220 10,129 12,350
69.10 Change in uncollected customer
payments from Federal sources
(unexpired)..................... -71
69.47 Portion applied to repay debt..... -6,625 -5,204 -6,584
--------- --------- ----------
69.90 Spending authority from
offsetting collections (total
mandatory).................... 4,524 4,925 5,766
--------- --------- ----------
70.00 Total new financing authority
(gross)....................... 26,319 26,980 25,213
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 7,052 4,239 3,945
73.10 Total new obligations............. 26,315 26,983 25,214
73.20 Total financing disbursements
(gross)......................... -24,644 -27,278 -24,930
73.45 Recoveries of prior year
obligations..................... -4,555
74.00 Change in uncollected customer
payments from Federal sources
(unexpired)..................... 71
74.40 Obligated balance, end of year.... 4,239 3,945 4,229
87.00 Total financing disbursements
(gross)......................... 24,644 27,278 24,930
----------------------------------------------------------------------------
Offsets:
Against gross financing authority and
financing disbursements:
Offsetting collections (cash)
from:
Federal sources:
Payments from program
account:
88.00 Upward reestimate......... -1,085
88.00 Interest on upward
reestimate.............. -74
88.25 Interest on uninvested funds.. -1,058
Non-Federal sources:
Stafford loans:
88.40 Repayment of principal,
Stafford................ -2,466 -2,113 -2,743
88.40 Interest received on
loans, Stafford......... -762 -1,287 -1,339
88.40 Origination Fees, Stafford -139 -169 -180
88.40 Other Fees, Stafford...... -28
88.40 Repayment of principal,
Unsubsidized Stafford... -1,697 -1,353 -1,808
88.40 Interest received on
loans, Unsubsidized
Stafford................ -516 -887 -948
88.40 Origination Fees,
Unsubsidized Stafford... -109 -126 -135
88.40 Repayment of principal,
PLUS.................... -863 -510 -649
88.40 Interest received on
loans, PLUS............. -256 -352 -385
88.40 Origination Fees, PLUS.... -35 -54 -59
88.40 Payment of principal,
Consolidated............ -1,638 -1,377 -1,859
88.40 Interest received on
loans, Consolidated..... -494 -1,901 -2,245
--------- --------- ----------
88.90 Total, offsetting
collections (cash)........ -11,220 -10,129 -12,350
Against gross financing authority only:
88.95 Change in receivables from
program accounts.............. 71
----------------------------------------------------------------------------
Net financing authority and financing
disbursements:
89.00 Financing authority............... 15,170 16,851 12,863
90.00 Financing disbursements........... 13,408 17,149 12,580
---------------------------------------------------------------------------
Status of Direct Loans (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-4253-0-3-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
STAFFORD
Position with respect to appropriations act
limitation on obligations:
1131 Direct loan obligations exempt
from limitation................. 5,522 6,234 6,652
--------- --------- ----------
1150 Total direct loan obligations... 5,522 6,234 6,652
----------------------------------------------------------------------------
Cumulative balance of direct loans
outstanding:
1210 Outstanding, start of year........ 23,362 26,564 30,041
1231 Disbursements: Direct loan
disbursements................... 5,467 5,636 6,014
1251 Repayments: Repayments and
prepayments..................... -2,466 -2,113 -2,743
1261 Adjustments: Capitalized interest. 248
1264 Write-offs for default: Other
adjustments, net................ -47 -46 -52
--------- --------- ----------
1290 Outstanding, end of year........ 26,564 30,041 33,260
----------------------------------------------------------------------------
UNSUBSIDIZED STAFFORD
Position with respect to appropriations act
limitation on obligations:
1131 Direct loan obligations exempt
from limitation................. 4,314 4,793 5,145
--------- --------- ----------
1150 Total direct loan obligations... 4,314 4,793 5,145
----------------------------------------------------------------------------
Cumulative balance of direct loans
outstanding:
1210 Outstanding, start of year........ 15,048 17,519 20,903
1231 Disbursements: Direct loan
disbursements................... 4,039 4,186 4,492
1251 Repayments: Repayments and
prepayments..................... -1,697 -1,353 -1,808
1261 Adjustments: Capitalized interest. 167 580 479
1264 Write-offs for default: Other
adjustments, net................ -38 -29 -34
--------- --------- ----------
1290 Outstanding, end of year........ 17,519 20,903 24,032
----------------------------------------------------------------------------
PLUS
Position with respect to appropriations act
limitation on obligations:
1131 Direct loan obligations exempt
from limitation................. 1,396 1,535 1,679
--------- --------- ----------
1150 Total direct loan obligations... 1,396 1,535 1,679
----------------------------------------------------------------------------
Cumulative balance of direct loans
outstanding:
1210 Outstanding, start of year........ 3,502 3,875 4,677
1231 Disbursements: Direct loan
disbursements................... 1,258 1,340 1,466
1251 Repayments: Repayments and
prepayments..................... -863 -510 -649
1261 Adjustments: Capitalized interest. 6
1264 Write-offs for default: Other
adjustments, net................ -28 -28 -33
--------- --------- ----------
1290 Outstanding, end of year........ 3,875 4,677 5,461
----------------------------------------------------------------------------
CONSOLIDATED
Position with respect to appropriations act
limitation on obligations:
1131 Direct loan obligations exempt
from limitation................. 7,987 8,704 5,647
--------- --------- ----------
1150 Total direct loan obligations... 7,987 8,704 5,647
----------------------------------------------------------------------------
Cumulative balance of direct loans
outstanding:
1210 Outstanding, start of year........ 16,610 22,526 29,711
1231 Disbursements: Direct loan
disbursements................... 7,402 8,643 5,307
1251 Repayments: Repayments and
prepayments..................... -1,638 -1,377 -1,859
1261 Adjustments: Capitalized interest. 231
1264 Write-offs for default: Other
adjustments, net................ -79 -81 -101
--------- --------- ----------
1290 Outstanding, end of year........ 22,526 29,711 33,058
---------------------------------------------------------------------------
[[Page 373]]
Balance Sheet (in millions of dollars)
-----------------------------------------------------------------------------------------------
Identification code 91-4253-0-3-502 2000 actual 2001 actual 2002 est. 2003 est.
-----------------------------------------------------------------------------------------------
ASSETS:
1101 Federal assets: Fund balances with
Treasury........................ 2,299 603 3,945 4,229
Net value of assets related to
post-1991 direct loans
receivable:
1401 Direct loans receivable, gross.. 58,351 70,313 85,332 95,810
1402 Interest receivable............. 1,779 2,616 5,481 6,298
1405 Allowance for subsidy cost (-).. 2,756 1,739 3,468 3,073
------------ -------------- ------------ -------------
1499 Net present value of assets
related to direct loans..... 62,886 74,668 94,281 105,181
1901 Other Federal assets: Other assets 258 2,497
------------ -------------- ------------ -------------
1999 Total assets.................... 65,443 77,768 98,226 109,410
LIABILITIES:
Federal liabilities:
2101 Accounts payable................ 96 579 2,406 4,086
2103 Debt............................ 65,347 77,189 95,820 105,324
------------ -------------- ------------ -------------
2999 Total liabilities............... 65,443 77,768 98,226 109,410
NET POSITION:
------------ -------------- ------------ -------------
3999 Total net position..............
------------ -------------- ------------ -------------
4999 Total liabilities and net position 65,443 77,768 98,226 109,410
----------------------------------------------------------------- ----------------------------
As required by the Federal Credit Reform Act of 1990, this non-
budgetary account records all cash flows to and from the Government
resulting from Direct Loans. The amounts in this account are a means of
financing and are not included in the budget totals.
Federal Direct Student Loan Financing Account
(Legislative proposal, subject to PAYGO)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-4253-4-3-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
Other obligations:
08.01 Payment of negative subsidy to
program account............... -5
--------- --------- ----------
10.00 Total new obligations........... -5
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New financing authority (gross)... -5
23.95 Total new obligations............. 5
----------------------------------------------------------------------------
New financing authority (gross), detail:
Mandatory:
67.10 Authority to borrow............. -5
----------------------------------------------------------------------------
Change in obligated balances:
73.10 Total new obligations............. -5
73.20 Total financing disbursements
(gross)......................... 5
87.00 Total financing disbursements
(gross)......................... -5
----------------------------------------------------------------------------
Net financing authority and financing
disbursements:
89.00 Financing authority............... -5
90.00 Financing disbursements........... -5
---------------------------------------------------------------------------
Balance Sheet (in millions of dollars)
-----------------------------------------------------------------------------------------------
Identification code 91-4253-4-3-502 2000 actual 2001 actual 2002 est. 2003 est.
-----------------------------------------------------------------------------------------------
LIABILITIES:
2101 Federal liabilities: Accounts
payable......................... -5
------------ -------------- ------------ -------------
2999 Total liabilities............... -5
NET POSITION:
3100 Appropriated capital.............. 5
------------ -------------- ------------ -------------
3999 Total net position.............. 5
----------------------------------------------------------------- ----------------------------
These schedules represent the Administration's proposal to expand
teacher loan forgiveness. This proposal is decribed above in the main
account narrative.
Federal Family Education Loan Program Account
[For Federal administrative expenses to carry out guaranteed student
loans authorized by title IV, part B, of the Higher Education Act of
1965, as amended, $49,636,000.] (Department of Education Appropriations
Act, 2002; additional authorizing legislation required.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0231-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.02 Guaranteed Loan Net Subsidy....... 2,726 3,373 3,675
Administrative expenses:
00.09 Administrative expenses due to
limitations................... 48 49
--------- --------- ----------
10.00 Total new obligations........... 2,774 3,422 3,675
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 2 3
22.00 New budget authority (gross)...... 3,116 3,830 4,090
22.10 Resources available from
recoveries of prior year
obligations..................... 1
22.40 Capital transfer to general fund.. -342 -411 -415
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 2,777 3,422 3,675
23.95 Total new obligations............. -2,774 -3,422 -3,675
24.40 Unobligated balance carried
forward, end of year............ 3
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation (Federal
administration)............... 48 50
40.71 Reduction pursuant to P.L. 107-
116........................... -1
--------- --------- ----------
43.00 Appropriation (total
discretionary).............. 48 49
Mandatory:
60.00 Appropriation................... 3,068 3,781 4,090
Offsetting collections (cash):
69.00 Offsetting collections (cash)--
downward reestimate........... 3,526
69.00 Offsetting collections (cash)--
interest on downward
reestimate.................... 1,202
69.27 Capital transfer to general fund.. -4,728
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 3,116 3,830 4,090
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 1,265 862 952
73.10 Total new obligations............. 2,774 3,422 3,675
73.20 Total outlays (gross)............. -3,176 -3,332 -3,660
73.45 Recoveries of prior year
obligations..................... -1
74.40 Obligated balance, end of year.... 862 952 967
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 37 37
86.93 Outlays from discretionary
balances........................ 19 29 11
86.97 Outlays from new mandatory
authority....................... 1,871 2,409 2,685
86.98 Outlays from mandatory balances... 1,249 855 963
--------- --------- ----------
87.00 Total outlays (gross)........... 3,176 3,332 3,660
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
88.00 Offsetting collections (cash)
from: Federal sources......... -4,728
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. -1,612 3,830 4,090
90.00 Outlays........................... -1,552 3,332 3,660
---------------------------------------------------------------------------
Summary of Budget Authority and Outlays
(in millions of dollars)
2001 actual 2002 est. 2003 est.
Enacted/requested:
Budget Authority.................. -1,612 3,830 4,090
Outlays........................... -1,552 3,330 3,659
Legislative proposal, subject to
PAYGO:
Budget Authority.................. 34
Outlays........................... 30
------------------------------------
Total:
Budget Authority.................. -1,612 3,830 4,124
Outlays........................... -1,552 3,330 3,689
====================================
[[Page 374]]
Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0231-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Guaranteed loan levels supportable by subsidy
budget authority:
215001Stafford.......................... 12,601 14,407 15,408
215002Unsubsidized Stafford............. 11,117 12,633 13,569
215003PLUS.............................. 2,985 3,346 3,685
215004Consolidated...................... 8,002 8,364 6,897
--------- --------- ----------
215901Total loan guarantee levels....... 34,705 38,750 39,559
Guaranteed loan subsidy (in percent):
232001Stafford.......................... 18.15 16.40 16.81
232002Unsubsidized Stafford............. 4.98 6.18 4.61
232003PLUS.............................. 2.98 4.74 4.67
232004Consolidated...................... 1.72 5.73 10.19
--------- --------- ----------
232901Weighted average subsidy rate..... 8.84 9.76 10.34
Guaranteed loan subsidy budget authority:
233001Stafford.......................... 2,288 2,363 2,590
233002Unsubsidized Stafford............. 554 781 626
233003PLUS.............................. 89 159 172
233004Consolidated...................... 138 479 703
--------- --------- ----------
233901Total subsidy budget authority.... 3,069 3,782 4,091
Guaranteed loan subsidy outlays:
234001Stafford.......................... 2,298 2,060 2,218
234002Unsubsidized Stafford............. 577 611 583
234003PLUS.............................. 97 117 147
234004Consolidated...................... 137 478 701
--------- --------- ----------
234901Total subsidy outlays............. 3,109 3,266 3,649
Guaranteed loan downward reestimate subsidy
budget authority:
237005Downward reestimate............... -4,728
--------- --------- ----------
237901Total downward reestimate subsidy
budget authority................ -4,728
Guaranteed loan downward reestimate subsidy
outlays:
238005Downward reestimate subsidy
outlays......................... -4,728
--------- --------- ----------
238901Total downward reestimate subsidy
outlays......................... -4,728
----------------------------------------------------------------------------
Administrative expense data:
351001Budget authority.................. 48 49
359001Outlays........................... 56 67 11
---------------------------------------------------------------------------
As required by the Federal Credit Reform Act of 1990, this program
account records the subsidy costs associated with Federal Family
Education Loans (FFEL), formerly guaranteed student loans (GSL),
committed in 1992 and beyond, as well as certain administrative expenses
of the program. Administrative expenses include discretionary expenses
for salaries, expenses and overhead of employees working directly on the
program. Consistent with the Administration's proposal to consolidate
student aid administrative activities in a single discretionary account,
these expenses are not reflected for 2003. For a discussion of this
proposal, see the narrative description above in the Student Aid
Administration account. Beginning with the 1993 cohort, mandatory
administrative costs, specifically contract collection costs, are
included in the FFEL subsidy estimates of each year's cohort. Subsidy
amounts are estimated on a net present value basis.
A description of the FFEL program and accompanying tables are
included under the Federal Direct Student Loan program account.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0231-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Personnel compensation:
11.1 Full-time permanent............. 21 23
11.3 Other than full-time permanent.. 1
11.5 Other personnel compensation.... 1 1
--------- --------- ----------
11.9 Total personnel compensation.. 23 24
12.1 Civilian personnel benefits....... 5 5
23.1 Rental payments to GSA............ 3 3
23.3 Communications, utilities, and
miscellaneous charges........... 3 2
25.2 Other services.................... 1 1
25.3 Other purchases of goods and
services from Government
accounts........................ 1 1
25.7 Operation and maintenance of
equipment....................... 11 12
31.0 Equipment......................... 1 1
41.0 Grants, subsidies, and
contributions................... 2,726 3,373 3,675
--------- --------- ----------
99.9 Total new obligations........... 2,774 3,422 3,675
---------------------------------------------------------------------------
Personnel Summary
----------------------------------------------------------------------------
Identification code 91-0231-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
1001 Total compensable workyears: Full-
time equivalent employment...... 345 326
---------------------------------------------------------------------------
Federal Family Education Loan Program Account
(Legislative proposal, subject to PAYGO)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0231-4-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.02 Guaranteed Loan Net Subsidy....... 32
--------- --------- ----------
10.00 Total new obligations (object
class 41.0)................... 32
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 34
23.95 Total new obligations............. -32
----------------------------------------------------------------------------
New budget authority (gross), detail:
Mandatory:
60.00 Appropriation................... 34
----------------------------------------------------------------------------
Change in obligated balances:
73.10 Total new obligations............. 32
73.20 Total outlays (gross)............. -30
74.40 Obligated balance, end of year.... 2
----------------------------------------------------------------------------
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 30
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 34
90.00 Outlays........................... 30
---------------------------------------------------------------------------
Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0231-4-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Guaranteed loan levels supportable by subsidy
budget authority:
215001Stafford..........................
215002Unsubsidized Stafford.............
215003PLUS..............................
215004Consolidated......................
--------- --------- ----------
215901Total loan guarantee levels.......
Guaranteed loan subsidy (in percent):
232001Stafford.......................... 0.04
232002Unsubsidized Stafford............. 0.03
232003PLUS.............................. 0.00
232004Consolidated...................... 0.00
--------- --------- ----------
232901Weighted average subsidy rate..... 0.03
Guaranteed loan subsidy budget authority:
233001Stafford.......................... 6
233002Unsubsidized Stafford............. 4
233003PLUS..............................
233004Consolidated......................
--------- --------- ----------
233901Total subsidy budget authority.... 10
Guaranteed loan subsidy outlays:
234001Stafford.......................... 4
234002Unsubsidized Stafford............. 2
234003PLUS..............................
[[Page 375]]
234004Consolidated......................
--------- --------- ----------
234901Total subsidy outlays............. 6
Guaranteed loan downward reestimate subsidy
budget authority:
237005Downward reestimate...............
--------- --------- ----------
237901Total downward reestimate subsidy
budget authority................
Guaranteed loan downward reestimate subsidy
outlays:
238005Downward reestimate subsidy
outlays.........................
--------- --------- ----------
238901Total downward reestimate subsidy
outlays.........................
----------------------------------------------------------------------------
Administrative expense data:
351001Budget authority..................
359001Outlays...........................
---------------------------------------------------------------------------
These schedules represent the Administration's proposal to expand
teacher loan forgiveness. This proposal is described above in the main
account narrative.
Federal Family Education Loan Program, Financing Account
Note.--The financing account includes all cash flows to and from the
Government from guaranteed student loans committed after 1991.
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-4251-0-3-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
Stafford loans:
01.01 Interest benefits............... 2,557 1,443 1,359
01.02 Special allowance............... 421 189 408
01.03 Default claims.................. 1,278 1,377 1,531
01.04 Death, disability, and
bankruptcy claims............. 142 138 148
01.07 Contract collection costs....... 26 19 25
01.08 Loan Processing Fee............. 29 94 100
01.09 Voluntary flexible Agreement
Performance Fee............... 48
--------- --------- ----------
01.91 Subtotal, Stafford loans...... 4,501 3,260 3,571
Unsubsidized Stafford loans:
02.02 Special allowance............... 275 144 291
02.03 Default claims.................. 644 725 905
02.04 Death, disability, and
bankruptcy claims............. 81 77 89
02.07 Contract collection costs....... 11 4 6
02.08 Loan Processing Fee............. 24 82 87
02.09 Voluntary flexible agreement
performance fee............... 21
--------- --------- ----------
02.91 Subtotal, Unsubsidized
Stafford loans.............. 1,056 1,032 1,378
PLUS loans:
03.02 Special allowance............... 18 19 24
03.03 Default claims.................. 71 176 199
03.04 Death, disability, and
bankruptcy claims............. 46 66 76
03.07 Contract Collection Costs....... 1 1 1
03.08 Loan Processing Fee............. 6 22 24
03.09 Voluntary flexible agreement
performance fee............... 7
--------- --------- ----------
03.91 Subtotal, PLUS loans.......... 149 284 324
SLS loans:
04.02 Special allowance............... 1 1
04.03 Default claims.................. 75 40 15
04.04 Death, disability and bankruptcy
claims........................ 12 7 6
04.07 Contract collection costs....... 3 5 5
04.09 Voluntary flexible agreement
performance fee............... 2
--------- --------- ----------
04.91 Subtotal, SLS loans........... 92 53 27
Consolidation loans:
05.02 Special allowance............... 129 58 168
05.03 Default claims.................. 453 861 1,016
05.04 Death, disability, and
bankruptcy claims............. 105 151 182
05.07 Contract collection costs....... 3 4 5
05.09 Voluntary flexible agreement
performance fee............... 23
--------- --------- ----------
05.91 Subtotal, Consolidations loans 713 1,074 1,371
08.02 Downward reestimate............... 3,526
08.03 Adjusting payments to liquidating
accounts........................ 476
08.04 Interest on downward reestimate... 1,202
--------- --------- ----------
08.91 Direct Program by Activities--
Subtotal (1 level)............ 5,204
--------- --------- ----------
10.00 Total new obligations........... 11,715 5,703 6,671
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 7,652 4,952 6,117
22.00 New financing authority (gross)... 8,271 6,867 7,712
22.10 Resources available from
recoveries of prior year
obligations..................... 744
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 16,667 11,819 13,829
23.95 Total new obligations............. -11,715 -5,703 -6,671
24.40 Unobligated balance carried
forward, end of year............ 4,952 6,117 7,158
----------------------------------------------------------------------------
New financing authority (gross), detail:
Mandatory:
69.00 Offsetting collections (cash)... 8,271 6,867 7,712
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 1,868 1,392 677
73.10 Total new obligations............. 11,715 5,703 6,671
73.20 Total financing disbursements
(gross)......................... -11,448 -6,417 -6,555
73.45 Recoveries of prior year
obligations..................... -744
74.40 Obligated balance, end of year.... 1,392 677 792
87.00 Total financing disbursements
(gross)......................... 11,448 6,417 6,555
----------------------------------------------------------------------------
Offsets:
Against gross financing authority and
financing disbursements:
Offsetting collections (cash)
from:
Federal sources:
Payments from program
account:
88.00 Stafford loans............ -2,298 -2,060 -2,218
88.00 Unsubsidized Stafford..... -577 -611 -583
88.00 PLUS loans................ -97 -117 -147
88.00 Consolidated loans........ -137 -478 -701
88.25 Interest on uninvested funds.. -461 -395 -447
Non-Federal sources:
Student Loans: Stafford,
Unsubsidized Stafford,
PLUS, SLS & Consolidation:
88.40 Stafford recoveries on
defaults................ -1,998 -1,071 -1,192
88.40 Stafford origination fees. -404 -435 -466
88.40 Stafford Sallie Mae offset
fees.................... -27 -27 -24
88.40 Other fees................ -188
88.40 Unsubsidized Stafford
recoveries on defaults.. -803 -289 -363
88.40 Unsubsidized Stafford
origination fees........ -332 -373 -400
88.40 Unsubsidized Stafford
Sallie Mae offset fees.. -17 -18 -18
88.40 PLUS recoveries on
defaults................ -65 -60 -73
88.40 PLUS origination fees..... -96 -99 -109
88.40 PLUS Sallie Mae offset
fees.................... -6 -6 -6
88.40 SLS recoveries on defaults -207 -94 -93
88.40 SLS Sallie Mae offset fees -1
88.40 Other fees................ -2
88.40 Consolidation recoveries
on defaults............. -240 -307 -411
88.40 Consolidation origination
fees.................... -28 -41 -34
88.40 Consolidated loan holders
fee..................... -287 -386 -427
--------- --------- ----------
88.90 Total, offsetting
collections (cash)........ -8,271 -6,867 -7,712
----------------------------------------------------------------------------
Net financing authority and financing
disbursements:
89.00 Financing authority...............
90.00 Financing disbursements........... 3,177 -450 -1,157
---------------------------------------------------------------------------
Status of Guaranteed Loans (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-4251-0-3-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
STAFFORD
Position with respect to appropriations act
limitation on commitments:
2131 Guaranteed loan commitments exempt
from limitation................. 12,601 14,407 15,408
--------- --------- ----------
2150 Total guaranteed loan
commitments................... 12,601 14,407 15,408
2199 Guaranteed amount of guaranteed
loan commitments................ 12,601 14,407 15,408
----------------------------------------------------------------------------
Cumulative balance of guaranteed loans
outstanding:
2210 Outstanding, start of year........ 63,723 69,103 70,587
2231 Disbursements of new guaranteed
loans........................... 11,337 12,435 13,297
2251 Repayments and prepayments........ -4,450 -9,428 -10,560
Adjustments:
2261 Terminations for default that
result in loans receivable.... -1,365 -1,385 -1,534
2263 Terminations for default that
result in claim payments...... -142 -138 -148
--------- --------- ----------
2290 Outstanding, end of year........ 69,103 70,587 71,642
----------------------------------------------------------------------------
[[Page 376]]
Memorandum:
2299 Guaranteed amount of guaranteed
loans outstanding, end of year.. 69,103 70,587 71,642
----------------------------------------------------------------------------
Addendum:
Cumulative balance of defaulted guaranteed
loans that result in loans receivable:
2310 Outstanding, start of year...... 2,649 2,498 2,782
2331 Disbursements for guaranteed
loan claims................... 1,365 1,385 1,534
2351 Repayments of loans receivable.. -1,241 -1,071 -1,192
2361 Write-offs of loans receivable.. -30 -30 -34
2364 Other adjustments, net.......... -245
--------- --------- ----------
2390 Outstanding, end of year...... 2,498 2,782 3,090
----------------------------------------------------------------------------
UNSUBSIDIZED STAFFORD
Position with respect to appropriations act
limitation on commitments:
2131 Guaranteed loan commitments exempt
from limitation................. 11,117 12,633 13,569
--------- --------- ----------
2150 Total guaranteed loan
commitments................... 11,117 12,633 13,569
2199 Guaranteed amount of guaranteed
loan commitments................ 11,117 12,633 13,569
----------------------------------------------------------------------------
Cumulative balance of guaranteed loans
outstanding:
2210 Outstanding, start of year........ 36,718 41,838 46,790
2231 Disbursements of new guaranteed
loans........................... 9,624 10,651 11,438
2251 Repayments and prepayments........ -3,736 -4,897 -6,196
Adjustments:
2261 Terminations for default that
result in loans receivable.... -687 -725 -893
2263 Terminations for default that
result in claim payments...... -81 -77 -89
--------- --------- ----------
2290 Outstanding, end of year........ 41,838 46,790 51,050
----------------------------------------------------------------------------
Memorandum:
2299 Guaranteed amount of guaranteed
loans outstanding, end of year.. 41,838 46,790 51,050
----------------------------------------------------------------------------
Addendum:
Cumulative balance of defaulted guaranteed
loans that result in loans receivable:
2310 Outstanding, start of year...... 901 922 1,337
2331 Disbursements for guaranteed
loan claims................... 687 725 893
2351 Repayments of loans receivable.. -490 -289 -363
2361 Write-offs of loans receivable.. -17 -21 -29
2364 Other adjustments, net.......... -159
--------- --------- ----------
2390 Outstanding, end of year...... 922 1,337 1,838
----------------------------------------------------------------------------
PLUS
Position with respect to appropriations act
limitation on commitments:
2131 Guaranteed loan commitments exempt
from limitation................. 2,985 3,346 3,685
--------- --------- ----------
2150 Total guaranteed loan
commitments................... 2,985 3,346 3,685
2199 Guaranteed amount of guaranteed
loan commitments................ 2,985 3,346 3,685
----------------------------------------------------------------------------
Cumulative balance of guaranteed loans
outstanding:
2210 Outstanding, start of year........ 8,131 9,626 10,519
2231 Disbursements of new guaranteed
loans........................... 2,621 2,834 3,120
2251 Repayments and prepayments........ -1,004 -1,712 -1,912
Adjustments:
2261 Terminations for default that
result in loans receivable.... -76 -163 -199
2263 Terminations for default that
result in claim payments...... -46 -66 -76
--------- --------- ----------
2290 Outstanding, end of year........ 9,626 10,519 11,452
----------------------------------------------------------------------------
Memorandum:
2299 Guaranteed amount of guaranteed
loans outstanding, end of year.. 9,626 10,519 11,452
----------------------------------------------------------------------------
Addendum:
Cumulative balance of defaulted guaranteed
loans that result in loans receivable:
2310 Outstanding, start of year...... 196 189 280
2331 Disbursements for guaranteed
loan claims................... 76 163 199
2351 Repayments of loans receivable.. -39 -60 -73
2361 Write-offs of loans receivable.. -10 -12 -17
2364 Other adjustments, net.......... -34
--------- --------- ----------
2390 Outstanding, end of year...... 189 280 389
----------------------------------------------------------------------------
SLS
Cumulative balance of guaranteed loans
outstanding:
2210 Outstanding, start of year........ 2,200 1,856 1,576
2251 Repayments and prepayments........ -252 -227 -204
Adjustments:
2261 Terminations for default that
result in loans receivable.... -80 -46 -19
2263 Terminations for default that
result in claim payments...... -12 -7 -6
--------- --------- ----------
2290 Outstanding, end of year........ 1,856 1,576 1,347
----------------------------------------------------------------------------
Memorandum:
2299 Guaranteed amount of guaranteed
loans outstanding, end of year.. 1,856 1,576 1,347
----------------------------------------------------------------------------
Addendum:
Cumulative balance of defaulted guaranteed
loans that result in loans receivable:
2310 Outstanding, start of year...... 674 614 564
2331 Disbursements for guaranteed
loan claims................... 80 46 19
2351 Repayments of loans receivable.. -131 -94 -93
2361 Write-offs of loans receivable.. -2 -2 -2
2364 Other adjustments, net.......... -7
--------- --------- ----------
2390 Outstanding, end of year...... 614 564 488
----------------------------------------------------------------------------
CONSOLIDATED
Position with respect to appropriations act
limitation on commitments:
2131 Guaranteed loan commitments exempt
from limitation................. 8,002 8,364 6,897
--------- --------- ----------
2150 Total guaranteed loan
commitments................... 8,002 8,364 6,897
2199 Guaranteed amount of guaranteed
loan commitments................ 8,002 8,364 6,897
----------------------------------------------------------------------------
Cumulative balance of guaranteed loans
outstanding:
2210 Outstanding, start of year........ 28,162 32,384 37,316
2231 Disbursements of new guaranteed
loans........................... 6,955 8,335 6,877
2251 Repayments and prepayments........ -2,144 -2,438 -3,053
Adjustments:
2261 Terminations for default that
result in loans receivable.... -484 -814 -1,010
2263 Terminations for default that
result in claim payments...... -105 -151 -182
--------- --------- ----------
2290 Outstanding, end of year........ 32,384 37,316 39,948
----------------------------------------------------------------------------
Memorandum:
2299 Guaranteed amount of guaranteed
loans outstanding, end of year.. 32,384 37,316 39,948
----------------------------------------------------------------------------
Addendum:
Cumulative balance of defaulted guaranteed
loans that result in loans receivable:
2310 Outstanding, start of year...... 922 1,116 1,855
2331 Disbursements for guaranteed
loan claims................... 484 814 1,010
2351 Repayments of loans receivable.. -139 -42 -411
2361 Write-offs of loans receivable.. -22 -33 -43
2364 Other adjustments, net.......... -129
--------- --------- ----------
2390 Outstanding, end of year...... 1,116 1,855 2,411
---------------------------------------------------------------------------
Balance Sheet (in millions of dollars)
-----------------------------------------------------------------------------------------------
Identification code 91-4251-0-3-502 2000 actual 2001 actual 2002 est. 2003 est.
-----------------------------------------------------------------------------------------------
ASSETS:
1101 Federal assets: Fund balances with
Treasury........................ 9,741 6,531 6,117 7,158
Net value of assets related to
post-1991 acquired defaulted
guaranteed loans receivable:
1501 Defaulted guaranteed loans
receivable, gross............. 5,342 5,339 6,816 8,215
1502 Interest receivable............. 1,189 1,287 1,390 1,501
1505 Allowance for subsidy cost (-).. 1,503 1,830 2,233 2,724
------------ -------------- ------------ -------------
1599 Net present value of assets
related to defaulted
guaranteed loans............ 8,034 8,456 10,439 12,440
1901 Other Federal assets: Other assets 2 336
------------ -------------- ------------ -------------
[[Page 377]]
1999 Total assets.................... 17,777 15,323 16,556 19,598
LIABILITIES:
2101 Federal liabilities: Accounts
payable......................... 4,553 2,827 4,685 8,321
2204 Non-Federal liabilities:
Liabilities for loan guarantees. 13,224 12,496 11,871 11,277
------------ -------------- ------------ -------------
2999 Total liabilities............... 17,777 15,323 16,556 19,598
------------ -------------- ------------ -------------
4999 Total liabilities and net position 17,777 15,323 16,556 19,598
-----------------------------------------------------------------------------------------------
As required by the Federal Credit Reform Act of 1990, this
nonbudgetary account records all cash flows to and from the Government
resulting from Federal Family Education Loans (FFEL), formerly
guaranteed student loans (GSL), committed in 1992 and beyond. The
amounts in this account are a means of financing and are not included in
the budget totals.
Federal Family Education Loan Program Financing Account
(Legislative proposal, subject to PAYGO)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-4251-4-3-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New financing authority (gross)... 6
24.40 Unobligated balance carried
forward, end of year............ 6
----------------------------------------------------------------------------
New financing authority (gross), detail:
Mandatory:
69.00 Offsetting collections (cash)... 6
----------------------------------------------------------------------------
Offsets:
Against gross financing authority and
financing disbursements:
Offsetting collections (cash)
from:
Payments from program account:
Federal sources:
88.00 Stafford loans............ -4
88.00 Unsubsidized Stafford..... -2
--------- --------- ----------
88.90 Total, offsetting
collections (cash)........ -6
----------------------------------------------------------------------------
Net financing authority and financing
disbursements:
89.00 Financing authority...............
90.00 Financing disbursements........... -6
---------------------------------------------------------------------------
Balance Sheet (in millions of dollars)
-----------------------------------------------------------------------------------------------
Identification code 91-4251-4-3-502 2000 actual 2001 actual 2002 est. 2003 est.
-----------------------------------------------------------------------------------------------
ASSETS:
1101 Federal assets: Fund balances with
Treasury........................ 6
------------ -------------- ------------ -------------
1999 Total assets.................... 6
LIABILITIES:
2101 Federal liabilities: Accounts
payable......................... 6
------------ -------------- ------------ -------------
2999 Total liabilities............... 6
------------ -------------- ------------ -------------
4999 Total liabilities and net position 6
-----------------------------------------------------------------------------------------------
These schedules represent the Administration's proposal to increase
teacher loan forgiveness. This proposal is described above in the main
account narrative.
Federal Family Education Loan Liquidating Account
Note.--The following tables display the liquidating account, which
includes all cash flows to and from the Government from guaranteed
student loan commitments prior to 1992.
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0230-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
Stafford loans:
01.01 Interest benefits, net of
origination fees.............. 19 15 14
01.02 Special allowance net of
origination fees.............. 45 5 12
01.03 Default claims.................. 156 29 12
01.04 Death, disability, and
bankruptcy claims............. 41 27 20
01.07 Contract collection costs....... 35 45 40
--------- --------- ----------
01.91 Subtotal, Stafford loans...... 296 121 98
PLUS/SLS loans:
02.01 Default claims.................. 30 4 2
02.02 Death, disability, and
bankruptcy claims............. 7 10 8
02.05 Contract collection costs....... 8 12 9
--------- --------- ----------
02.91 Subtotal, PLUS/SLS loans...... 45 26 19
--------- --------- ----------
10.00 Total new obligations........... 341 147 117
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 521 146
22.00 New budget authority (gross)...... 437 147 117
22.10 Resources available from
recoveries of prior year
obligations..................... 49
22.40 Capital transfer to general fund.. -521 -146
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 486 147 117
23.95 Total new obligations............. -341 -147 -117
24.40 Unobligated balance carried
forward, end of year............ 146
----------------------------------------------------------------------------
New budget authority (gross), detail:
Mandatory:
69.00 Offsetting collections (cash)... 1,501 892 742
69.27 Capital transfer to general fund -1,064 -745 -625
--------- --------- ----------
69.90 Spending authority from
offsetting collections
(total mandatory)........... 437 147 117
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 422 65
73.10 Total new obligations............. 341 147 117
73.20 Total outlays (gross)............. -649 -212 -117
73.45 Recoveries of prior year
obligations..................... -49
74.40 Obligated balance, end of year.... 65
----------------------------------------------------------------------------
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 227 147 117
86.98 Outlays from mandatory balances... 422 65
--------- --------- ----------
87.00 Total outlays (gross)........... 649 212 117
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash)
from:
88.00 Federal sources............... -476
Federal student loans:
Non-Federal sources:
88.40 Fed collections on
defaulted loans,
Stafford................ -356 -260 -229
88.40 Federal collections on
bankruptcies, Stafford.. -4 -2 -2
88.40 Offsets against Federal
tax refunds,Stafford.... -173 -241 -204
88.40 Reimbursements from
guaranty agencies,
Stafford................ -335 -230 -179
88.40 Sallie Mae Offset Fee..... -1
88.40 Federal collections on
defaulted loans, PLUS/
SLS..................... -80 -67 -56
88.40 Federal collections on
bankruptcies, PLUS/SLS.. -1 -1
88.40 Offsets against Federal
tax refunds, PLUS/SLS... -21 -56 -45
88.40 Reimbursements from
guaranty agencies, PLUS/
SLS..................... -54 -35 -27
--------- --------- ----------
88.90 Total, offsetting
collections (cash)........ -1,501 -892 -742
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. -1,064 -745 -625
90.00 Outlays........................... -852 -680 -625
---------------------------------------------------------------------------
Status of Guaranteed Loans (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0230-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
STAFFORD LOANS
Cumulative balance of guaranteed loans
outstanding:
2210 Outstanding, start of year........ 5,481 3,612 1,812
2251 Repayments and prepayments........ -1,512 -1,713 -979
Adjustments:
2261 Terminations for default that
result in loans receivable.... -316 -50 -15
[[Page 378]]
2263 Terminations for default that
result in claim payments...... -41 -37 -28
--------- --------- ----------
2290 Outstanding, end of year........ 3,612 1,812 790
----------------------------------------------------------------------------
Memorandum:
2299 Guaranteed amount of guaranteed
loans outstanding, end of year.. 3,612 1,812 790
----------------------------------------------------------------------------
Addendum:
Cumulative balance of defaulted guaranteed
loans that result in loans receivable:
2310 Outstanding, start of year...... 12,835 12,094 11,493
2331 Disbursements for guaranteed
loan claims................... 316 50 15
2351 Repayments of loans receivable.. -628 -419 -344
2361 Write-offs of loans receivable.. -183 -173 -164
2364 Other adjustments, net.......... -246 -59 -46
--------- --------- ----------
2390 Outstanding, end of year...... 12,094 11,493 10,954
----------------------------------------------------------------------------
PLUS/SLS LOANS
Cumulative balance of guaranteed loans
outstanding:
2210 Outstanding, start of year........ 1,042 881 760
2251 Repayments and prepayments........ -93 -103 -103
Adjustments:
2261 Terminations for default that
result in loans receivable.... -61 -8 -2
2263 Terminations for default that
result in claim payments...... -7 -10 -8
--------- --------- ----------
2290 Outstanding, end of year........ 881 760 647
----------------------------------------------------------------------------
Memorandum:
2299 Guaranteed amount of guaranteed
loans outstanding, end of year.. 881 760 647
----------------------------------------------------------------------------
Addendum:
Cumulative balance of defaulted guaranteed
loans that result in loans receivable:
2310 Outstanding, start of year...... 2,151 2,026 1,921
2331 Disbursements for guaranteed
loan claims................... 61 8 2
2351 Repayments of loans receivable.. -113 -75 -60
2361 Write-offs of loans receivable.. -32 -30 -29
2364 Other adjustments, net.......... -41 -8 -6
--------- --------- ----------
2390 Outstanding, end of year...... 2,026 1,921 1,828
---------------------------------------------------------------------------
Statement of Operations (in millions of dollars)
-----------------------------------------------------------------------------------------------
Identification code 91-0230-0-1-502 2000 actual 2001 actual 2002 est. 2003 est.
-----------------------------------------------------------------------------------------------
Stafford:
0111 Revenue........................... 1,711 868 733 613
0112 Expense........................... -221 -296 -122 -98
------------ -------------- ------------ -------------
0115 Net income or loss (-)............ 1,490 572 611 515
PLUS/SLS:
0121 Revenue........................... 307 156 159 129
0122 Expense........................... -30 -45 -25 -19
------------ -------------- ------------ -------------
0125 Net income or loss (-)............ 277 111 134 110
------------ -------------- ------------ -------------
0191 Total revenues.................... 2,018 1,024 892 742
------------ -------------- ------------ -------------
0192 Total expenses.................... -251 -341 -147 -117
------------ -------------- ------------ -------------
0195 Total income or loss (-).......... 1,767 683 745 625
------------ -------------- ------------ -------------
0199 Total comprehensive income........ 1,767 683 745 625
-----------------------------------------------------------------------------------------------
Balance Sheet (in millions of dollars)
-----------------------------------------------------------------------------------------------
Identification code 91-0230-0-1-502 2000 actual 2001 actual 2002 est. 2003 est.
-----------------------------------------------------------------------------------------------
ASSETS:
1101 Federal assets: Fund balances with
Treasury........................ 889 191
Net value of assets related to
pre-1992 direct loans
receivable and acquired
defaulted guaranteed loans
receivable:
1701 Defaulted guaranteed loans,
gross......................... 15,026 14,160 13,310 12,511
1702 Interest receivable............. 2,007 1,740 1,514 1,317
1703 Allowance for estimated
uncollectible loans and
interest (-).................. -14,087 -14,533 -14,200 -13,600
------------ -------------- ------------ -------------
1704 Defaulted guaranteed loans and
interest receivable, net.... 2,946 1,367 624 228
------------ -------------- ------------ -------------
1799 Value of assets related to
loan guarantees............. 2,946 1,367 624 228
1901 Other Federal assets: Other assets 754 62
------------ -------------- ------------ -------------
1999 Total assets.................... 4,589 1,620 624 228
LIABILITIES:
Non-Federal liabilities:
2201 Accounts payable................ 246 8
2204 Liabilities for loan guarantees. 4,343 1,612 624 228
------------ -------------- ------------ -------------
2999 Total liabilities............... 4,589 1,620 624 228
NET POSITION:
------------ -------------- ------------ -------------
3999 Total net position..............
------------ -------------- ------------ -------------
4999 Total liabilities and net position 4,589 1,620 624 228
-----------------------------------------------------------------------------------------------
\1\ Excludes interest and premium collections on insured loans.
As required by the Federal Credit Reform Act of 1990, this
liquidating account records, for this program, all cash flows to and
from the Government resulting from guaranteed student loans committed
prior to 1992. This account is shown on a cash basis. All new loan
activity in this program for 1992 and beyond is recorded in
corresponding program and financing accounts.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0230-0-1-502 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
25.2 Other services.................... 43 57 49
33.0 Investments and loans............. 185 32 14
41.0 Grants, subsidies, and
contributions................... 64 21 26
42.0 Insurance claims and indemnities.. 49 37 28
--------- --------- ----------
99.9 Total new obligations........... 341 147 117
---------------------------------------------------------------------------
OFFICE OF EDUCATIONAL RESEARCH AND IMPROVEMENT
Federal Funds
General and special funds:
Education Research, Statistics, and Assessment
[For carrying out activities authorized by the Educational Research,
Development, Dissemination, and Improvement Act of 1994, including part
E; the National Education Statistics Act of 1994, including sections 411
and 412; section 4 of the No Child Left Behind Act of 2001; and title
VI, part A of the Elementary and Secondary Education Act, $443,870,000:
Provided, That $58,000,000 of the amount available for the national
education research institutes shall be allocated notwithstanding section
912(m)(1)(B-F) and subparagraphs (B) and (C) of section 931(c)(2) of
Public Law 103-227.] (Department of Education Appropriations Act, 2002.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-1100-0-1-503 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Direct program:
Obligations by program activity:
Research, development and
dissemination:
00.01 Research and dissemination.... 120 122
00.02 Regional educational
laboratories................ 65 67
00.03 Statistics.................... 80 85
00.04 Assessment...................... 40 112
00.05 Eisenhower professional
development Federal activities 23
00.06 Fund for the Improvement of
Education..................... 340 1
00.07 Mulit-year grants and contracts. 58
[[Page 379]]
00.08 Javits gifted and talented
education..................... 8
00.09 Eisenhower regional mathematics
and science education
consortia..................... 15
00.10 National writing project........ 10
00.11 Civic education................. 12
00.12 International education exchange 10
--------- --------- ----------
01.00 Total direct program.............. 723 445
09.01 Reimbursable program.............. 5 5
--------- --------- ----------
10.00 Total new obligations............. 728 450
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 2 1
22.00 New budget authority (gross)...... 727 449
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 729 450
23.95 Total new obligations............. -728 -450
24.40 Unobligated balance carried
forward, end of year............ 1
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 733 444
40.75 Reduction pursuant to P.L. 106-
554 (Labor/HHS)............... -1
41.00 Transferred to other accounts... -10
--------- --------- ----------
43.00 Appropriation (total
discretionary).............. 722 444
68.00 Spending authority from offsetting
collections: Offsetting
collections (cash).............. 5 5
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 727 449
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 720 876 502
73.10 Total new obligations............. 728 450
73.20 Total outlays (gross)............. -570 -824 -404
73.40 Adjustments in expired accounts
(net)........................... -2
74.40 Obligated balance, end of year.... 876 502 98
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 132 107
86.93 Outlays from discretionary
balances........................ 438 717 404
--------- --------- ----------
87.00 Total outlays (gross)........... 570 824 404
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
88.00 Offsetting collections (cash)
from: Federal sources......... -5 -5
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 722 444
90.00 Outlays........................... 565 819 404
---------------------------------------------------------------------------
Summary of Budget Authority and Outlays
(in millions of dollars)
2001 actual 2002 est. 2003 est.
Enacted/requested:
Budget Authority.................. 722 444
Outlays........................... 565 819 404
Legislative proposal, not subject to
PAYGO:
Budget Authority.................. 433
Outlays........................... 107
------------------------------------
Total:
Budget Authority.................. 722 444 433
Outlays........................... 565 819 511
====================================
The Administration will propose legislation reauthorizing the
research, statistics, and assessment activities carried out by the
Office of Educational Research and Improvement. When new authorizing
legislation is enacted, resources for these programs will be requested.
See the ``Legislative proposal, not subject to PAYGO'' schedule for
additional details.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-1100-0-1-503 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Direct obligations:
Personnel compensation:
11.1 Full-time permanent........... 1 1
11.3 Other than full-time permanent 1 1
--------- --------- ----------
11.9 Total personnel compensation 2 2
24.0 Printing and reproduction....... 2 2
25.1 Advisory and assistance services 2 2
25.2 Other services.................. 81 123
25.3 Other purchases of goods and
services from Government
accounts...................... 36 36
25.5 Research and development
contracts..................... 98 98
25.7 Operation and maintenance of
equipment..................... 6 6
31.0 Equipment....................... 2 2
41.0 Grants, subsidies, and
contributions................. 494 174
--------- --------- ----------
99.0 Direct obligations............ 723 445
99.0 Reimbursable obligations.......... 5 5
--------- --------- ----------
99.9 Total new obligations........... 728 450
---------------------------------------------------------------------------
Personnel Summary
----------------------------------------------------------------------------
Identification code 91-1100-0-1-503 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
1001 Total compensable workyears: Full-
time equivalent employment...... 13 15
---------------------------------------------------------------------------
Education Research, Statistics, and Assessment
(Legislative proposal, not subject to PAYGO)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-1100-2-1-503 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Direct program:
Obligations by program activity:
Research, development and
dissemination:
00.01 Research and dissemination.... 175
00.02 Regional educational
laboratories................ 68
00.03 Statistics.................... 95
00.04 Assessment...................... 95
--------- --------- ----------
01.00 Total direct program.............. 433
09.01 Reimbursable program.............. 5
--------- --------- ----------
10.00 Total new obligations............. 438
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 438
23.95 Total new obligations............. -438
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 433
68.00 Spending authority from offsetting
collections: Offsetting
collections (cash).............. 5
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 438
----------------------------------------------------------------------------
Change in obligated balances:
73.10 Total new obligations............. 438
73.20 Total outlays (gross)............. -112
74.40 Obligated balance, end of year.... 326
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 112
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
88.00 Offsetting collections (cash)
from: Federal sources......... -5
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 433
90.00 Outlays........................... 107
---------------------------------------------------------------------------
Research and dissemination.--The Administration's proposal will
address needed improvements in the quality and relevance of the
Department's research activities. Funds will support a diverse portfolio
of directed research, field-initiated studies, research and development
centers, and interagency initiatives. New research on reading
comprehension, early childhood education, and learning and cognition
will expand the understanding of how children learn. Funds also will
support fellowships for doctoral students to increase the nation's
educational research capacity and dissemination activities that provide
parents, teachers, and schools with valid information on effective
educational practice.
[[Page 380]]
Regional educational laboratories.--Funds will be used to continue
current contracts for the network of regional laboratories. The
laboratories conduct applied research and development, dissemination,
and technical assistance activities to address needs in their regions.
Statistics.--Funds support the Department's statistical data
collection activities, which are conducted by the National Center for
Education Statistics (NCES). NCES collects, analyzes, and disseminates
statistics on education at all levels, from preschool through
postsecondary and adult education, including statistics on international
education activities.
Assessment.--Funds support the National Assessment of Educational
Progress (NAEP). NAEP administers assessments to samples of students in
order to gather reliable information about educational attainment in
important academic areas. Funds support collection and reporting of
national, State, and long-term trend information, including the conduct
of biennial State NAEP in reading and mathematics at grades 4 and 8.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-1100-2-1-503 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Direct obligations:
Personnel compensation:
11.1 Full-time permanent........... 1
11.3 Other than full-time permanent 1
--------- --------- ----------
11.9 Total personnel compensation 2
24.0 Printing and reproduction....... 2
25.1 Advisory and assistance services 2
25.2 Other services.................. 167
25.3 Other purchases of goods and
services from Government
accounts...................... 36
25.5 Research and development
contracts..................... 98
25.7 Operation and maintenance of
equipment..................... 6
31.0 Equipment....................... 2
41.0 Grants, subsidies, and
contributions................. 118
--------- --------- ----------
99.0 Direct obligations............ 433
99.0 Reimbursable obligations.......... 5
--------- --------- ----------
99.9 Total new obligations........... 438
---------------------------------------------------------------------------
Personnel Summary
----------------------------------------------------------------------------
Identification code 91-1100-2-1-503 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
1001 Total compensable workyears: Full-
time equivalent employment...... 15
---------------------------------------------------------------------------
DEPARTMENTAL MANAGEMENT
Federal Funds
General and special funds:
Program Administration
For carrying out, to the extent not otherwise provided, the
Department of Education Organization Act, including rental of conference
rooms in the District of Columbia and hire of [two] three passenger
motor vehicles, [$424,212,000] $423,291,000, of which $12,795,000, to
remain available until expended, shall be for building alterations and
related expenses for the modernization of the Mary E. Switzer Building
in Washington, D.C. (Department of Education Appropriations Act, 2002;
additional authorizing legislation required.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0800-0-1-503 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Program administration............ 423 434 423
09.01 Reimbursable program.............. 2 2 2
--------- --------- ----------
10.00 Total new obligations........... 425 436 425
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 425 436 425
23.95 Total new obligations............. -425 -436 -425
23.98 Unobligated balance expiring or
withdrawn....................... -1
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 424 435 423
40.71 Reduction pursuant to P.L. 107-
116........................... -1
40.75 Reduction pursuant to P.L. 106-
554 (Labor/HHS)............... -1
--------- --------- ----------
43.00 Appropriation (total
discretionary).............. 423 434 423
68.00 Spending authority from offsetting
collections: Offsetting
collections (cash).............. 2 2 2
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 425 436 425
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 151 133 116
73.10 Total new obligations............. 425 436 425
73.20 Total outlays (gross)............. -449 -453 -410
73.40 Adjustments in expired accounts
(net)........................... 6
74.40 Obligated balance, end of year.... 133 116 130
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 328 336 325
86.93 Outlays from discretionary
balances........................ 120 117 85
86.98 Outlays from mandatory balances... 1
--------- --------- ----------
87.00 Total outlays (gross)........... 449 453 410
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
88.00 Offsetting collections (cash)
from: Federal sources......... -2 -2 -2
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 423 434 423
90.00 Outlays........................... 447 451 408
---------------------------------------------------------------------------
Budget Authority and Outlays Excluding Full Funding for Federal Retiree
Costs (in millions of dollars)
----------------------------------------------------------------------------
2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 412 423 412
90.00 Outlays........................... 436 440 397
---------------------------------------------------------------------------
The Program Administration account includes the direct Federal costs
of providing grants and administering elementary and secondary
education, bilingual education, Indian education, higher education,
vocational and adult education, and special education programs, and
programs for persons with disabilities. It also supports assessment,
statistics, and research activities.
In addition, this account includes the cost of providing centralized
support and administrative services, overall policy development, and
strategic planning for the Department. Included in the centralized
activities are rent and mail services; telecommunications; contractual
services; financial management and accounting, including payments to
schools, education agencies and other grant recipients, and preparation
of auditable financial statements; information technology services;
personnel management; personnel security; budget formulation and
execution; program evaluation; legal services; congressional and public
relations; and intergovernmental affairs.
Included in this account is the Department of Education's portion of
costs to modernize the Mary E. Switzer building, including costs for
building renovations, furniture, information technology equipment and
services, and telecommunications, to remain available until expended.
The additional funds required for the modernization will be provided by
the General Services Administration. This account also provided funds
for the renovation of the Department's main headquarters building which
was completed in 1998.
[[Page 381]]
Also included in this account are contributions from the public.
Activities supported include Presidential Scholars, Satellite Town
Meetings, School Recognition, and the Gifts and Bequests Miscellaneous
Fund.
Reimbursable program.--Reimbursements to this account are for
providing administrative services to other agencies, recycling
activities, and in-kind travel.
Note.--Excludes $54 million in budget authority in 2003 for
activities transferred to the Student Aid Administration account.
Comparable amounts for 2001 ($58 million) and 2002 ($59 million) are
included above.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0800-0-1-503 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Direct obligations:
Personnel compensation:
11.1 Full-time permanent........... 164 193 183
11.3 Other than full-time permanent 20 10 10
11.5 Other personnel compensation.. 5 5 4
--------- --------- ----------
11.9 Total personnel compensation 189 208 197
12.1 Civilian personnel benefits..... 50 56 55
21.0 Travel and transportation of
persons....................... 6 5 6
23.1 Rental payments to GSA.......... 34 35 32
23.3 Communications, utilities, and
miscellaneous charges......... 12 14 15
24.0 Printing and reproduction....... 2 3 3
25.1 Advisory and assistance services 6 4 5
25.2 Other services.................. 21 21 20
25.3 Other purchases of goods and
services from Government
accounts...................... 11 8 8
25.7 Operation and maintenance of
equipment..................... 76 66 60
26.0 Supplies and materials.......... 2 3 3
31.0 Equipment....................... 11 9 16
32.0 Land and structures............. 2 2 3
--------- --------- ----------
99.0 Direct obligations............ 422 434 423
99.0 Reimbursable obligations.......... 2 2 2
99.5 Below reporting threshold......... 1
--------- --------- ----------
99.9 Total new obligations........... 425 436 425
---------------------------------------------------------------------------
Personnel Summary
----------------------------------------------------------------------------
Identification code 91-0800-0-1-503 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
1001 Total compensable workyears: Full-
time equivalent employment...... 2,581 2,709 2,476
---------------------------------------------------------------------------
Office for Civil Rights
For expenses necessary for the Office for Civil Rights, as
authorized by section 203 of the Department of Education Organization
Act, [$79,934,000] $89,710,000. (Department of Education Appropriations
Act, 2002; additional authorizing legislation required.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0700-0-1-751 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Civil rights...................... 79 83 89
--------- --------- ----------
10.00 Total new obligations........... 79 83 89
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 79 83 89
23.95 Total new obligations............. -79 -83 -89
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 79 83 89
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 23 17 15
73.10 Total new obligations............. 79 83 89
73.20 Total outlays (gross)............. -83 -85 -86
73.40 Adjustments in expired accounts
(net)........................... -1
74.40 Obligated balance, end of year.... 17 15 18
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 67 70 73
86.93 Outlays from discretionary
balances........................ 16 15 12
--------- --------- ----------
87.00 Total outlays (gross)........... 83 85 86
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 79 83 89
90.00 Outlays........................... 83 85 86
---------------------------------------------------------------------------
Budget Authority and Outlays Excluding Full Funding for Federal Retiree
Costs (in millions of dollars)
----------------------------------------------------------------------------
2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 76 80 86
90.00 Outlays........................... 80 82 83
---------------------------------------------------------------------------
The Office for Civil Rights is responsible for ensuring that no
person is unlawfully discriminated against on the basis of race, color,
national origin, sex, disability, or age in the delivery of services or
the provision of benefits in programs or activities of schools and
institutions receiving financial assistance from the Department of
Education. The authorities under which the Office for Civil Rights
operates are Title VI of the Civil Rights Act of 1964 (racial and ethnic
discrimination), Title IX of the Education Amendments of 1972 (sex
discrimination), section 504 of the Rehabilitation Act of 1973
(discrimination against individuals with a disability), the Age
Discrimination Act of 1975, and the Americans with Disabilities Act of
1990.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-0700-0-1-751 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Direct obligations:
Personnel compensation:
11.1 Full-time permanent........... 44 48 49
11.3 Other than full-time permanent 2 2 2
--------- --------- ----------
11.9 Total personnel compensation 46 50 51
12.1 Civilian personnel benefits..... 13 14 15
21.0 Travel and transportation of
persons....................... 1 1 1
23.1 Rental payments to GSA.......... 6 6 6
23.3 Communications, utilities, and
miscellaneous charges......... 2 2 2
25.2 Other services.................. 2 1 1
25.3 Other purchases of goods and
services from Government
accounts...................... 2 1 1
25.7 Operation and maintenance of
equipment..................... 5 8
31.0 Equipment....................... 6 2 3
--------- --------- ----------
99.0 Direct obligations............ 78 82 88
99.5 Below reporting threshold......... 1 1 1
--------- --------- ----------
99.9 Total new obligations........... 79 83 89
---------------------------------------------------------------------------
Personnel Summary
----------------------------------------------------------------------------
Identification code 91-0700-0-1-751 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
1001 Total compensable workyears: Full-
time equivalent employment...... 696 718 714
---------------------------------------------------------------------------
Office of the Inspector General
For expenses necessary for the Office of the Inspector General, as
authorized by section 212 of the Department of Education Organization
Act, [$38,720,000] $42,361,000. (Department of Education Appropriations
Act, 2002; additional authorizing legislation required.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-1400-0-1-751 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Inspector General................. 37 40 42
--------- --------- ----------
10.00 Total new obligations........... 37 40 42
----------------------------------------------------------------------------
[[Page 382]]
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 37 40 42
23.95 Total new obligations............. -37 -40 -42
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 37 40 42
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 10 9 10
73.10 Total new obligations............. 37 40 42
73.20 Total outlays (gross)............. -37 -39 -39
73.40 Adjustments in expired accounts
(net)........................... -1
74.40 Obligated balance, end of year.... 9 10 13
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 31 33 34
86.93 Outlays from discretionary
balances........................ 6 8 6
--------- --------- ----------
87.00 Total outlays (gross)........... 37 39 39
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 37 40 42
90.00 Outlays........................... 37 39 39
---------------------------------------------------------------------------
Budget Authority and Outlays Excluding Full Funding for Federal Retiree
Costs (in millions of dollars)
----------------------------------------------------------------------------
2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 36 39 41
90.00 Outlays........................... 36 38 38
---------------------------------------------------------------------------
The Inspector General is responsible for the quality, coverage, and
coordination of audit and investigation functions relating to Federal
education activities. The Inspector General has the authority to inquire
into all activities of the Department including those performed under
Federal education contracts, grants, or other agreements. Under the
Chief Financial Officers Act of 1990, the Inspector General is also
responsible for internal reviews of the Department's financial systems
and audits of its financial statements.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 91-1400-0-1-751 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Personnel compensation:
11.1 Full-time permanent............. 17 20 21
11.3 Other than full-time permanent.. 1 1 1
11.5 Other personnel compensation.... 1
--------- --------- ----------
11.9 Total personnel compensation.. 19 21 22
12.1 Civilian personnel benefits....... 6 6 6
21.0 Travel and transportation of
persons......................... 2 2 2
23.1 Rental payments to GSA............ 2 3 3
23.3 Communications, utilities, and
miscellaneous charges........... 1 1 1
25.1 Advisory and assistance services.. 2 2 2
25.2 Other services.................... 1 1 1
25.3 Other purchases of goods and
services from Government
accounts........................ 1 1 2
25.7 Operation and maintenance of
equipment....................... 2 2 2
31.0 Equipment......................... 1 1 1
--------- --------- ----------
99.9 Total new obligations........... 37 40 42
---------------------------------------------------------------------------
Personnel Summary
----------------------------------------------------------------------------
Identification code 91-1400-0-1-751 2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
1001 Total compensable workyears: Full-
time equivalent employment...... 275 285 285
---------------------------------------------------------------------------
GENERAL FUND RECEIPT ACCOUNTS
(in millions of dollars)
----------------------------------------------------------------------------
2001 actual 2002 est. 2003 est.
----------------------------------------------------------------------------
Offsetting receipts from the public:
91-274130 College housing and
academic facilities loan, downward
reestimates of subsidies............ 2
91-291500 Repayment of loans, capital
contributions, higher education
activities.......................... 62 50 50
--------- --------- ----------
General Fund Offsetting receipts from
the public............................. 64 50 50
---------------------------------------------------------------------------
GENERAL PROVISIONS
Sec. 301. No funds appropriated in this Act may be used for the
transportation of students or teachers (or for the purchase of equipment
for such transportation) in order to overcome racial imbalance in any
school or school system, or for the transportation of students or
teachers (or for the purchase of equipment for such transportation) in
order to carry out a plan of racial desegregation of any school or
school system.
Sec. 302. None of the funds contained in this Act shall be used to
require, directly or indirectly, the transportation of any student to a
school other than the school which is nearest the student's home, except
for a student requiring special education, to the school offering such
special education, in order to comply with title VI of the Civil Rights
Act of 1964. For the purpose of this section an indirect requirement of
transportation of students includes the transportation of students to
carry out a plan involving the reorganization of the grade structure of
schools, the pairing of schools, or the clustering of schools, or any
combination of grade restructuring, pairing or clustering. The
prohibition described in this section does not include the establishment
of magnet schools.
Sec. 303. No funds appropriated under this Act may be used to
prevent the implementation of programs of voluntary prayer and
meditation in the public schools.
(transfer of funds)
Sec. 304. Not to exceed [1] 3 percent of any discretionary funds
(pursuant to the Balanced Budget and Emergency Deficit Control Act of
1985, as amended) which are appropriated for the Department of Education
in this Act may be transferred between appropriations, but no such
appropriation shall be increased by more than [3] 10 percent by any such
transfer: Provided, That the Appropriations Committees of both Houses of
Congress are notified at least 15 days in advance of any transfer.
[Sec. 305. (a) Section 1543(a) of the Higher Education Amendments of
1992 (20 U.S.C. 1070 note) is amended by striking paragraph (2) and
inserting the following:
``(2) Award determination.--The amount of the financial
assistance provided to an athlete described in paragraph (1) shall
be determined in accordance with criteria, and in amounts, specified
in the application of the center under subsection (c). Such
assistance shall not exceed the athlete's cost of attendance as
determined under section 472 of the Higher Education Act of 1965 (20
U.S.C. 1087ll).
``(3) Information on distribution of assistance.--Each center
providing such assistance shall annually report to the Secretary
such information as the Secretary may reasonably require on the
distribution of such assistance among athletes and institutions of
higher education. The Secretary shall compile such reports and
submit them to the Committees on Education and the Workforce and
Appropriations of the House of Representatives and the Committees on
Health, Education, Labor, and Pensions and Appropriations of the
Senate.''.
(b) The amendments made by subsection (a) shall apply with respect
to any funds appropriated pursuant to section 1543(d) of the Higher
Education Amendments of 1992, including funds appropriated pursuant to
that section in fiscal years 2000 and 2001, that are
[[Page 383]]
available for financial assistance under section 1543 on or after the
date of enactment of this Act.]
[Sec. 306. (a) Notwithstanding sections 413D, 442, and 488 of the
Higher Education Act of 1965, the Secretary of Education may reallocate,
from funds made available under the heading ``Student Financial
Assistance'' to carry out part C of title IV of that Act, excess
allocations for fiscal year 2002 in an amount not to exceed $1,000,000
in the aggregate to institutions of higher education described in
subsection (b) for the purposes described in subsection (c). The
reallocation to each such institution shall be made in accordance with
subsection (d). Such excess allocations shall remain available for
obligation until March 31, 2004.
(b) An institution of higher education may receive a reallocation
under subsection (a) if the institution--
(1) is, on the date of enactment of this Act, participating in
the Federal Supplemental Educational Opportunity Grant and Federal
Work Study programs under subpart 3 of part A, and part C of title
IV of that Act, respectively;
(2) initially began participating in both such programs during
or after 1989, but not later than 1999;
(3) has a current enrollment of not less than 2,000 students;
(4) provides educational programs for which the institution
awards baccalaureate and graduate degrees;
(5) has experienced an actual enrollment increase of 75 percent
or more since the institution began participating in such programs;
and
(6) charged, for academic year 2000-2001, in-State tuition and
fees for a full-time undergraduate student that were less than such
tuition and fees charged by the institution for academic year 1998-
1999.
(c) An institution of higher education that receives a reallocation
under subsection (a) may use that reallocation for Federal Supplemental
Educational Opportunity Grants or Federal Work Study awards.
(d)(1) A reallocation made under subsection (a) to an institution
described in subsection (b) shall be determined by calculating the
difference between--
(A) the amount (commonly referred to as the ``base guarantee'')
that the institution received under section 413D(a) or 442(a) of
that Act, as the case may be; and
(B) the amount that the institution would receive pursuant to
section 413D(a)(2)(B)(ii) or 442(a)(2)(B)(ii) of that Act, as the
case may be, if the institution were beginning its program
participation in the 2002-2003 academic year.
(2) If the amounts available for reallocation under subsection (a)
are insufficient to fully fund the amounts determined under paragraph
(1) of this subsection to each institution described in subsection (b),
then the amount to be reallocated to each such institution shall be
ratably reduced.
(e) The Secretary may use such data as he determines appropriate in
order to carry out this section.]
[Sec. 307. If this Act is enacted before H.R. 1, the No Child Left
Behind Act of 2001, is enacted, then references to the Elementary and
Secondary Education Act of 1965 or to any other Acts that would be
amended by H.R. 1 shall be read to be references to those Acts as they
would be amended by H.R. 1 (including amendments made by H. Con. Res.
289, as passed by the House and the Senate).]
Sec. 305. (a) Discretionary Funding.--Section 458(a)(1) of the
Higher Education Act of 1965 (20 U.S.C. 1087h(a)(1)), is amended--
(1) in the matter preceding subparagraph (A), by striking
``there shall be available to the Secretary, from funds not
otherwise appropriated, funds to be obligated for--'' and inserting
in lieu thereof, ``there are authorized to be appropriated to carry
out this section such sums as may be necessary, for--''; and
(2) in the flush language at the end thereof,
(A) by striking ``such'';
(B) by inserting ``and'' after ``2001,'' and
(C) by striking ``, and $795,000,000 in fiscal year 2003''.
(b) Effective Date.--The amendments made by subsection (a) shall be
effective beginning in fiscal year 2003.
Sec. 306. Section 1202 of the Elementary and Secondary Education Act
of 1965 is amended by inserting the following subsection at the end
thereof:
``(g) Supplement, not Supplant.--State or local educational agency
shall use funds received under this subpart only to supplement the level
of non-Federal funds that, in the absence of funds under this subpart,
would be expended for activities authorized under this subpart, and not
to supplant those non-Federal funds.''. (Department of Education
Appropriations Act, 2002.)