    [Analytical Perspectives]
    [Other Technical Presentations]
    [21. Outlays to the Public, Net and Gross]
    [From the U.S. Government Publishing Office, www.gpo.gov]

    [[Page 387]]

                    21.  OUTLAYS TO THE PUBLIC, NET AND GROSS

      Table 21-1 shows net and gross outlays, and the relationship between
    them, for all major agencies. Outlays are the measure of Government
    spending. The budget records outlays when the Government makes payment
    for such things as Federal employee salaries, the purchase of supplies
    and equipment, grants to state and local governments, and benefits to
    individuals. The Government's gross outlays are the sum of all these
    payments.
      The outlay totals in the budget, however, whether for the Government
    as a whole or for agencies, programs, and functions (such as national
    defense), are net outlays, unless otherwise specified. Gross outlays, as
    the table shows, equal the net outlays plus offsetting receipts and
    collections from the public. Offsetting receipts and collections
    constitute the income the Government receives from its business-like
    enterprises and other market activities with the public, such as the
    proceeds from selling postage stamps, the fees charged for admittance to
    recreational areas, and the proceeds from selling land or natural
    resources. The budget refers to them as ``offsetting,'' because they are
    subtracted from gross outlays rather than added to taxes and other
    collections from the public resulting from the exercise of the
    Government's sovereign or governmental powers to levy or impose taxes,
    fees, fines, and the like. The budget focuses on net outlay totals in
    order to show outlays and receipts that measure governmental activity
    rather than a combination of governmental and market activity. As a
    result, the budget totals represent the amount of resources allocated
    and distributed by political decision making rather than by private
    choice and the market mechanism. The surplus or deficit is calculated by
    subtracting total outlays from total receipts. It would be the same if
    offsetting collections and receipts were to be included in total
    receipts and not subtracted from gross outlays.
      The table shows that offsetting receipts and collections are
    relatively much more important for some agencies than for others. In
    this table, negative net outlays occur when collections exceed payments,
    for example insurance premiums. The amounts for ``Allowances'' cover
    certain transactions that are expected to increase or decrease outlays
    but are not, for various reasons, attributed to any specific agency. The
    amounts labeled ``undistributed offsetting receipts'' are deducted from
    the Government-wide outlay totals but not from any specific agency.
    Chapter 5, ``User Fees and Other Collections,'' in this volume discusses
    offsetting collections and receipts in more detail.

    [[Page 388]]

                     Table 21-1.  TOTAL OUTLAYS, NET AND GROSS OF OFFSETTING COLLECTIONS AND RECEIPTS FROM THE PUBLIC, BY AGENCY, 2001-2003
                                                                    (In millions of dollars)
    --------------------------------------------------------------------------------------------------------------------------------------------------------
                                                            2001                                  2002                                  2003
                                           -----------------------------------------------------------------------------------------------------------------
                                                         Offsetting                            Offsetting                            Offsetting
                                                        Collections    Outlays                Collections    Outlays                Collections    Outlays
          (Department or Other Unit)            Net         and        Gross of       Net         and        Gross of       Net         and        Gross of
                                              Outlays     Receipts   Collections    Outlays     Receipts   Collections    Outlays     Receipts   Collections
                                                          from the     from the                 from the     from the                 from the     from the
                                                           Public       Public                   Public       Public                   Public       Public
    --------------------------------------------------------------------------------------------------------------------------------------------------------
    Legislative Branch....................       3,135           94        3,229       3,625          102        3,727       3,970           90        4,060
    Judicial Branch.......................       4,519           22        4,541       4,977           24        5,001       5,497           26        5,523
    Executive Branch......................
      Agriculture.........................      68,599       21,669       90,268      76,565       21,151       97,716      74,443       19,880       94,323
      Commerce............................       5,137        1,415        6,552       5,495        1,681        7,176       5,670        1,843        7,513
      Defense--Military...................     293,995       10,617      304,612     330,553       10,804      341,357     360,989       10,118      371,107
      Education...........................      35,748        1,554       37,302      47,587        1,399       48,986      53,800        1,222       55,022
      Energy..............................      16,490        6,337       22,827      19,093        6,934       26,027      19,784        6,631       26,415
      Health and Human Services...........     426,767       25,759      452,526     459,366       27,617      486,983     488,794       29,600      518,394
      Housing and Urban Development.......      33,994        3,515       37,509      30,948        4,493       35,441      34,600        2,471       37,071
      Interior............................       8,249        3,759       12,008      10,290        2,926       13,216      10,822        2,816       13,638
      Justice.............................      21,296        2,519       23,815      23,073        3,040       26,113      29,385        3,124       32,509
      Labor...............................      39,367        2,506       41,873      58,579        2,694       61,273      56,554        2,570       59,124
      State...............................       7,524          667        8,191      11,132          620       11,752       9,883          776       10,659
      Transportation......................      54,838          349       55,187      60,788        1,717       62,505      58,843        2,853       61,696
      Treasury............................     390,569       18,078      408,647     382,616       17,347      399,963     398,188       19,199      417,387
      Veteran Affairs.....................      45,839        4,432       50,271      51,451        5,134       56,585      56,513        3,864       60,377
      Corps of Engineers--Civil Works.....       4,834          386        5,220       4,975          395        5,370       4,347          486        4,833
      Other Defense Civil Programs........      34,167           12       34,179      35,537           13       35,550      40,933           15       40,948
      Environmental Protection Agency.....       7,490          231        7,721       7,790          206        7,996       8,061          249        8,310
      Executive Office of the President...         254  ...........          254         464  ...........          464         334  ...........          334
      Federal Emergency Management Agency.       4,426        1,628        6,054       5,789        1,745        7,534       7,550        1,802        9,352
      General Services Administration.....          -1          242          241         586          272          858         -52          537          485
      International Assistance Programs...      11,792       12,128       23,920      13,287       11,851       25,138      12,969       11,609       24,578
      National Aeronautics and Space            14,199           73       14,272      14,484           89       14,573      14,885           75       14,960
       Administration.....................
      National Science Foundation.........       3,696  ...........        3,696       4,564  ...........        4,564       4,886  ...........        4,886
      Office of Personnel Management......      50,919        7,404       58,323      54,277        8,037       62,314      67,940        9,969       77,909
      Small Business Administration.......        -550        1,519          969       1,073          658        1,731         587          421        1,008
      Social Security Administration......     462,026        4,987      467,013     492,671        5,756      498,427     509,655        6,001      515,656
      Export-Import Bank of the United          -1,747        3,411        1,664        -201        1,254        1,053         322          358          680
       States.............................
      Federal Deposit Insurance                 -1,188        2,408        1,220         702        2,642        3,344       1,738        4,302        6,040
       Corporation........................
      Postal Service......................       2,395       64,871       67,266       2,786       67,794       70,580      -1,371       73,727       72,356
      Railroad Retirement Board...........       5,546           25        5,571       4,854          396        5,250       4,605          807        5,412
      Other Independent Agencies..........       8,946        9,715       18,661      11,826       10,266       22,092      11,964       10,488       22,452
    Allowances............................  ..........  ...........  ...........      27,000  ...........       27,000       6,356  ...........        6,356
    Undistributed Offsetting Receipts.....    -199,344        8,219     -191,125    -206,282        4,336     -201,946    -235,214        3,292     -231,922
                                           -----------------------------------------------------------------------------------------------------------------
        Total.............................   1,863,926      220,551    2,084,477   2,052,320      223,393    2,275,713   2,128,230      231,221    2,359,451
    --------------------------------------------------------------------------------------------------------------------------------------------------------