[Appendix]
[Detailed Budget Estimates by Agency]
[Department of Veterans Affairs]
[From the U.S. Government Printing Office, www.gpo.gov]
THE BUDGET FOR FISCAL YEAR 2004
[[Page 809]]
DEPARTMENT OF VETERANS AFFAIRS
The 2004 budget provides $28,057 million in discretionary funding
for veterans health, benefits, and other services, including $30,199
million in gross discretionary budget authority and $2,141 million in
anticipated discretionary medical collections.
VA is submitting its 2004 budget request using a new account
structure that focuses on nine major programs--medical care, research,
compensation, pension, education, housing, vocational rehabilitation and
employment, insurance and burial. The new budget account structure will
better position VA to more readily determine the full cost of each of
our programs. This will allow the Department to more effectively
evaluate the program results we achieve with the total resources
associated with each program. A feature of the revised budget structure
is requesting both mandatory and discretionary funding within each
program while ensuring the Department fully complies with all provisions
of the Budget Enforcement Act.
MEDICAL PROGRAMS
Federal Funds
General and special funds:
Medical Care
(including transfer of funds)
For necessary expenses for the maintenance and operation of
hospitals, nursing homes, and domiciliary facilities; for furnishing, as
authorized by law, inpatient and outpatient care and treatment to
beneficiaries of the Department of Veterans Affairs, including care and
treatment in facilities not under the jurisdiction of the Department;
furnishing recreational facilities, supplies, equipment, and information
technology hardware and software; funeral, burial, and other expenses
incidental thereto for beneficiaries receiving care in the Department;
aid to State homes as authorized by 38 U.S.C. 1741; reimbursements as
authorized by 41 U.S.C. 612 for claims paid for contract disputes;
administrative and legal expenses of the Department for collecting and
recovering amounts owed the Department as authorized under 38 U.S.C.
chapter 17, and the Federal Medical Care Recovery Act, 42 U.S.C. 2651 et
seq., $25,406,024,000, plus reimbursements, of which not to exceed
$900,000,000 shall be available until September 30, 2005. Amounts
appropriated herein shall be available as follows:
(1) For construction, alteration and improvement of any facility
under the jurisdiction or for the use of the Department for the
provision of health-care services, or for any of the purposes set forth
in 38 U.S.C. sections 8102-8103, 8106, 8108-8110, 8122 and 8162,
including advance planning and design activities, offsite utility and
storm drainage system construction costs, and site acquisition and
disposition, $422,300,000, to remain available until expended, of which
no less than $225,000,000 shall be for Capital Asset Realignment for
Enhanced Services activities;
(2) For grants to assist States to acquire or construct State
nursing home and domiciliary facilities, and to remodel, modify, or
alter existing hospital, nursing home, and domiciliary facilities in
State homes, for furnishing care to veterans as authorized by 38 U.S.C.
8131-8137, not to exceed $102,100,000, to remain available until
expended;
(3) For Central Office executive direction, administration, and
supervision of Department medical and construction programs, including
development and implementation of policies, plans, and program
objectives, not to exceed $87,459,000, of which $4,373,000 shall be
available until September 30, 2005: Provided further, That technical and
consulting services offered by the Facilities Management Field Service
shall be provided to Department components only on a reimbursable basis.
The Secretary shall conduct by contract a program of recovery audits
for the fee basis and other medical services contracts with respect to
payments for hospital care; and, notwithstanding 31 U.S.C. 3302(b),
amounts collected, by setoff or otherwise, as the result of such audits
shall be available, without fiscal year limitation, for the purposes for
which funds are appropriated under this heading and the purposes of
paying a contractor a percent of the amount collected as a result of an
audit carried out by the contractor: Provided further, That all amounts
so collected under the preceding proviso with respect to a designated
health care region (as that term is defined in 38 U.S.C. 1729A(d)(2))
shall be allocated, net of payments to the contractor, to that region.
In addition, such sums as may be deposited to the Medical Care
Collection Fund pursuant to 38 U.S.C. 1729A may be transferred to this
account, to remain available until expended for the purposes of this
account.
Note.--A regular 2003 appropriation for this account had not been
enacted at the time the budget was prepared; therefore, this account is
operating under a continuing resolution (P.L. 107-229, as amended). The
amounts included for 2003 in this budget reflect the Administration's
2003 policy proposals.
Unavailable Collections (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-0160-0-1-703 2002 actual 2003 est. 2004 est.
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01.99 Balance, start of year............ 62 104 103
Receipts:
02.21 MCCF first party collections...... 295 131 130
02.22 MCCF third party collections...... 690 760 1,109
02.23 Pharmaceutical copayments......... 190 651 609
02.24 Enhanced-use lease proceeds....... 1 1
02.25 Enrollment Fees................... 230
02.26 Compensated work therapy.......... 36 37
02.27 Long-term care copayments......... 33 21
02.28 Parking fees...................... 3 3
02.42 Payments from compensation and
pension......................... 1 1
--------- --------- ----------
02.99 Total receipts and collections.. 1,175 1,616 2,141
--------- --------- ----------
04.00 Total: Balances and collections... 1,237 1,720 2,244
Appropriations:
05.00 Medical care...................... -1,133 -1,617 -2,141
--------- --------- ----------
05.99 Total appropriations............ -1,133 -1,617 -2,141
--------- --------- ----------
07.99 Balance, end of year.............. 104 103 103
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Program and Financing (in millions of dollars)
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Identification code 36-0160-0-1-703 2002 actual 2003 est. 2004 est.
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Obligations by program activity:
Direct program:
Operating expenses:
Provision of veterans health
care:
00.01 Acute hospital care......... 5,122 5,476 5,835
00.02 Rehabilitative care......... 453 477 509
00.03 Psychiatric care............ 1,119 1,216 1,317
00.04 Nursing home care........... 2,076 1,986 1,800
00.05 Subacute care............... 324 310 303
00.06 Residential care............ 415 445 486
00.07 Outpatient care............. 10,541 11,917 14,114
00.08 Miscellaneous benefits and
services.................. 1,263 1,358 1,476
00.09 National Program
Administration (NPA-MAMOE) 65 68 86
00.10 CHAMPVA....................... 211 366 529
--------- --------- ----------
00.91 Total operating expenses.... 21,589 23,619 26,455
Capital investment:
Provision of veterans health
care:
01.01 Acute hospital care......... 257 269 217
01.02 Rehabilitative care......... 29 30 24
01.03 Psychiatric care............ 52 54 43
01.04 Nursing home care........... 58 60 48
01.05 Subacute care............... 12 13 10
01.06 Residential care............ 17 18 15
01.07 Outpatient care............. 495 519 415
01.08 Miscellaneous benefits and
services.................. 29 30 24
01.09 National Program
Administration (NPA-MAMOE) 2 2 1
01.11 Construction, major projects 38 128 225
[[Page 810]]
01.12 Construction, minor projects 154 175 190
01.13 CHAMPVA....................... 4 4 3
--------- --------- ----------
01.91 Total capital investment.... 1,147 1,302 1,215
Grant Program:
02.01 Grants to States................ 102 211 102
--------- --------- ----------
02.93 Total direct program.......... 22,838 25,132 27,772
09.01 Reimbursable program.............. 182 150 151
--------- --------- ----------
10.00 Total new obligations........... 23,020 25,282 27,923
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Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 1,617 1,424 726
22.00 New budget authority (gross)...... 22,829 24,581 27,698
22.10 Resources available from
recoveries of prior year
obligations..................... 3 3
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 24,446 26,008 28,427
23.95 Total new obligations............. -23,020 -25,282 -27,923
23.98 Unobligated balance expiring or
withdrawn....................... -1
24.40 Unobligated balance carried
forward, end of year............ 1,424 726 505
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New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 21,528 22,811 25,406
40.20 Appropriation (special fund).... 971 1,617 2,141
40.76 Reduction pursuant to P.L. 107-
206........................... -16
41.00 Transferred to other accounts... -1
42.00 Transferred from other accounts. 3 3
--------- --------- ----------
43.00 Appropriation (total
discretionary).............. 22,485 24,431 27,547
Mandatory:
60.20 Appropriation (special fund).... 162
Spending authority from offsetting
collections:
Discretionary:
68.00 Offsetting collections (cash). 134 150 151
68.10 Change in uncollected customer
payments from Federal
sources (unexpired)......... 12
--------- --------- ----------
68.90 Spending authority from
offsetting collections
(total discretionary)..... 146 150 151
Mandatory:
Mandatory:
69.00 Offsetting collections (cash). 36
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 22,829 24,581 27,698
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Change in obligated balances:
72.40 Obligated balance, start of year.. 3,073 3,192 4,123
73.10 Total new obligations............. 23,020 25,282 27,923
73.20 Total outlays (gross)............. -22,828 -24,348 -27,498
73.40 Adjustments in expired accounts
(net)........................... -74
73.45 Recoveries of prior year
obligations..................... -3 -3
74.00 Change in uncollected customer
payments from Federal sources
(unexpired)..................... -12
74.10 Change in uncollected customer
payments from Federal sources
(expired)....................... 12
74.40 Obligated balance, end of year.... 3,192 4,123 4,544
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Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 18,993 20,538 23,465
86.93 Outlays from discretionary
balances........................ 3,799 3,810 4,033
86.97 Outlays from new mandatory
authority....................... 36
--------- --------- ----------
87.00 Total outlays (gross)........... 22,828 24,348 27,498
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Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash)
from:
88.00 Federal sources............... -53 -55 -59
88.40 Non-Federal sources........... -123 -87 -92
88.45 Offsetting governmental
collections (from non-
Federal sources)............ -8 -8
--------- --------- ----------
88.90 Total, offsetting
collections (cash)........ -184 -150 -151
Against gross budget authority only:
88.95 Change in uncollected customer
payments from Federal sources
(unexpired)................... -12
88.96 Portion of offsetting
collections (cash) credited to
expired accounts.............. 14
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Net budget authority and outlays:
89.00 Budget authority.................. 22,647 24,431 27,547
90.00 Outlays........................... 22,644 24,198 27,347
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Additional net budget authority and outlays to cover cost of fully accruing
retirement:
99.00 Budget authority.................. 681 687 821
99.01 Outlays........................... 681 687 821
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For 2004, the budget requests total resources for the VA Medical
Care Business Line of $27.5 billion, an increase of $3.1 billion ($2.6
billion in appropriation and $0.5 billion in collections) over the 2003
level. This includes $25.4 billion in appropriated budget authority,
$2.1 billion to be collected in the Medical Care Collections Fund.
The budget request also includes a comprehensive set of legislative
and regulatory proposals that will refocus the VA health care system to
better meet the needs of our highest priority core veterans--those with
service-connected conditions, those with lower incomes, and veterans
with special health care needs. These proposals are in response to the
significant growth in enrollment and usage by priority level 7 veterans
over the last 3 years, as well as anticipated future growth. To address
the rapid growth in the number of health care users and ensure that VA
continues to provide timely, high-quality health care to our core
population, the proposals focus primarily on nonservice-connected
veterans with comparatively higher incomes.
There are several major components to the set of proposals. First,
stop enrollment of new priority level 8 veterans. Second, establish an
annual enrollment fee for nonservice-connected priority level 7 veterans
and all priority level 8 veterans. Third, increase co-payments for
outpatient care and pharmacy benefits for priority level 7 and 8
veterans. Fourth, restrict institutional long-term care to veterans with
service-connected conditions of 70 percent or greater and to veterans
who require transitional, post-acute care. Fifth, reduce the pharmacy
co-payment burden for priority level 2-5 veterans by raising the income
threshold from the pension level of $9,690 to the aid and attendance
level of $16,169. Sixth, require veterans to provide VA with health
insurance information. The legislative proposals associated with these
policy proposals are included in the general provisions of the
appropriation request. Resource request estimates in this section
reflect the net cost and revenue associated with these policy proposals.
The Medical Care Business Line appropriation finances the
maintenance, administration, construction, alteration, and operation of
a comprehensive, integrated health care delivery system that addresses
the needs of the Nation's veterans.
Medical Care.--Provides for the health care system that supports
eligible veterans; a national academic education and training program to
enhance veterans' quality of care; responsibilities for assistance in
natural emergencies and backup to the Department of Defense health care
system; and administrative support for capital facilities.
National Program Administration.--Provides corporate leadership and
support to VA's comprehensive and integrated health care system with a
Headquarters' staff that includes a capital facilities management and
development process.
Compensated Work Therapy Program (formerly Special Therapeutic and
Rehabilitation Activities Fund).--This program provides a transition-
working environment for veterans living in community assisted living
arrangements under VA psychiatric care to help them become self-
sufficient.
Capital Investments.--Provides for capital investments, necessary to
ensure VA's infrastructure is adequate to support the delivery of
quality health care. The capital investment program finances the
following activities:
(1) Major and Minor Construction.--Provides for constructing,
altering, extending, and improving any VA facil
[[Page 811]]
ity. This includes planning, architectural and engineering services,
Capital Asset Realignment for Enhanced Services (CARES) activities,
assessments, and site acquisition where the estimated cost of a
project is $4,000,000 or over for major construction and less than
$4,000,000 for minor construction.
(2) Grants for Construction of State Extended Care Facilities.--
Provides for grants to assist States to acquire or construct State
nursing home and domiciliary facilities and to remodel, modify, or
alter existing hospital, nursing home, and domiciliary facilities in
State homes, for furnishing care to veterans.
Medical Care Collections Fund (MCCF).--VA estimates collections of
more than $2.1 billion, representing 8 percent of available resources.
The objective of consolidating all collections into the MCCF is to
improve planning, simplify systems, enhance the recovery of funds, and
focus on accountability for medical collections. This fund will consist
of revenue derived from the following sources:
(1) Medical Care Collections Fund.--VA has the authority to
collect inpatient and outpatient co-payments, medication co-
payments, and nursing home co-payments; authority for certain income
verification; and authority to recover third-party insurance
payments from veterans for nonservice-connected conditions.
(2) Health Services Improvement Fund.--VA collects funds as a
result of any increase in pharmacy co-payments; enhanced use lease
authority; and VA's agreements with the Department of Defense for
the proposed provision of care to eligible military retirees.
(3) Long-Term Care Co-payments (formerly Veterans Extended
Revolving Fund).--Long-term co-payments of $97 a day are collected
from non-service connected veterans receiving extended care services
such as geriatric evaluation; nursing home care; domiciliary
services; adult day health care; other noninstitutional alternatives
to nursing home care; and respite care.
(4) Compensated Work Therapy Program (formerly Special
Therapeutic and Rehabilitation Activities Fund).--These funds are
derived from actual work performed by patients and members in VA
health care facilities under contracts developed with private
industry, non-profit organizations, and state and federal entities
and are used to support the program.
(5) Compensation and Pension Living Expenses Program (formerly
Medical Facilities Revolving Fund).--Veterans who do not have either
a spouse or child may have their monthly pension payments reduced to
$90. The difference between the veteran's regular monthly pension
payment and the $90 is transferred from the Compensation and Pension
account to the Compensation and Pension Living Expenses Program.
(6) Parking Program (formerly Parking Revolving Fund).--VA
collects parking fees for the use of parking facilities at VA
facilities.
(7) Sale of Assets (formerly the Nursing Home Revolving Fund).--
Provides for construction, alteration, and acquisition (including
site acquisition) of medical care facilities through collections
that may be realized from the transfer of any interest in real
property that is owned by the United States and administered by the
Department of Veterans Affairs.
WORKLOAD
Provision of Veterans Health Care--
Acute hospital care.--Costs for 2004 are estimated to increase
by $307 million for operating medical, neurological, surgical,
contract and State home hospital beds, reflecting the shift to
increased use of ambulatory care.
Estimated operating levels are:
2002 actual 2003 est. 2004 est.
Patients treated.................. 461,307 493,991 533,805
Average daily census.............. 8,099 8,185 8,284
Average employment................ 48,807 48,363 47,998
Rehabilitative care.--An increase of $26 million in 2004 is
estimated for the provision of rehabilitative care, including spinal
cord injury care.
Estimated operating levels are:
2002 actual 2003 est. 2004 est.
Patients treated.................. 15,174 15,629 16,098
Average daily census.............. 1,200 1,229 1,258
Average employment................ 5,155 5,593 6,096
Psychiatric care.--An increase of $90 million is estimated in
2004 for the inpatient care of veterans with problems related to
mental illness, including alcohol and drug problems.
Estimated operating levels are:
2002 actual 2003 est. 2004 est.
Patients treated.................. 113,770 123,327 133,193
Average daily census.............. 4,863 5,349 5,884
Average employment................ 13,535 13,129 12,997
Nursing home care.--In 2004, a decrease of $198 million is
estimated for the care of residents in VA nursing homes, contract
nursing homes and State nursing homes.
Estimated operating levels are:
2002 actual 2003 est. 2004 est.
Patients treated.................. 83,801 81,319 78,048
Average daily census.............. 31,636 32,429 29,981
Average employment................ 21,324 19,441 18,551
Noninstitutional extended care.--Included in outpatient
estimates in 2004 is an increase of $77 million estimated for
noninstitutional extended care programs such as adult day care; home
based primary care, skilled nursing and rehabilitation care; and
home health aids.
Estimated operating levels are:
2002 actual 2003 est. 2004 est.
Average daily census................ 24,126 28,129 32,694
Subacute care.--A decrease of $10 million is estimated in 2004
for the treatment of veterans who require a level of care between
acute and long-term care, as provided in VA hospital intermediate
bed sections.
Estimated operating levels are:
2002 actual 2003 est. 2004 est.
Patients treated.................... 27,162 23,088 20,779
Average daily census................ 1,122 956 860
Average employment.................. 4,049 3,533 3,250
Residential care.--An increase of $38 million is estimated in
2004 for the care of veterans in locations other than their own
homes, such as residential rehabilitation and domiciliary care
programs.
Estimated operating levels are:
2002 actual 2003 est. 2004 est.
Patients treated.................... 44,598 45,102 45,405
Average daily census................ 10,605 11,329 11,569
Average employment.................. 4,976 5,167 5,479
Outpatient care.--An increase of $2,093 million is estimated in
2004 for the cost of outpatient medical and dental care provided by
staff, physicians, and dentists participating under a fee basis
arrangement for certain eligible veterans.
Estimated operating levels are:
NUMBER OF MEDICAL VISITS AND DENTAL WORKLOADS
2002 actual 2003 est. 2004 est.
Medical visits (in thousands):
Staff visits...................... 43,684 47,114 50,647
Fee visits........................ 2,734 2,972 3,233
Readjustment counseling........... 974 975 980
------------------------------------
Total....................... 47,392 51,061 54,860
====================================
Dental:
Staff:
Examinations.................. 514,860 500,000 500,000
Treatments.................... 134,808 140,000 140,000
------------------------------------
[[Page 812]]
Total....................... 649,668 640,000 640,000
====================================
Fee: Cases completed............ 12,460 13,000 13,000
====================================
Average employment................ 77,982 80,745 86,559
====================================
Miscellaneous benefits and services.--An increase of $112
million is estimated in 2004 for the cost of this activity which
includes items of nondirect medical care and treatment such as
beneficiary travel, care of the dead, operation of personnel
quarters at medical facilities, and the cost of furnishing supply,
engineering, housekeeping, and other administrative support services
to other departments on a nonreimbursable basis.
2002 actual 2003 est. 2004 est.
Average employment................ 7,589 7,518 7,449
National program administration (NPA).--In 2004, an increase of $17
million reflects two major changes. First, there is a realignment of $8
million from direct medical care to NPA, which was previously reimbursed
to NPA. As a result of the budget restructure, this $8 million is
reflected as direct appropriation for NPA. Second, an increase of $9
million is estimated to fund the Reorganization of the Office of the
Under Secretary for Health to allow greater oversight of the Veterans
Integrated Service Networks.
2002 actual 2003 est. 2004 est.
Average employment.................. 534 545 588
Construction, major.--In 2004, an increase of $97 million is
estimated for the implementation of the Capital Asset Realignment for
Enhanced Services (CARES) program that will right-size the health care
infrastructure. CARES will assess veterans' health care needs across the
country and guide the reallocation of capital assets to support the
delivery of quality health care.
Construction, minor.--In 2004, an increase of $15 million is
estimated for construction projects costing less than $4 million. These
projects will reduce risks to patient life and safety, correct code
deficiencies, improve impatient care and ambulatory care settings, and
implement CARES. CARES funding is $42 million, an increase of $7 million
over the 2003 budget.
Civilian health and medical program of the Department of Veterans
Affairs (CHAMPVA).--An increase of $162 million is estimated in 2004 for
private hospital and outpatient care for dependents and survivors of
certain veterans.
Estimated operating levels are:
Grants to States.--In 2004, a decrease of $109 million is estimated
for grants for construction of State extended care facilities. This
decrease was due to an increase in obligations in 2003 because of a
decrease in obligations funds in 2002. In 2003, VA will award additional
grants to states to reduce the current inventory of grant request by
using appropriated funds and drawing down unobligated balances. This is
a very-cost effective program that helps meet veterans' nursing home
care needs by providing grants to assist States in acquiring or
construction State home facilities.
2002 actual 2003 est. 2004 est.
Average daily hospital census..... 170 334 358
Outpatient (in thousands)......... 1,807 3,631 4,018
Average employment................ 295 311 321
PERFORMANCE MEASURES
Provide High Quality Health Care.--Investment in effective
chronic disease management results in improved health of veterans
and reduced use of services. The prevention index spotlights and
summarizes a variety of evidenced based measures for high quality
preventive health care. VHA's strategy to monitor satisfaction
through patient surveys will identify areas of improvement in all
medical services.
2002 actual 2003 est. 2004 est.
Chronic Disease Care Index II..... 80% 78% 78%
Prevention Index II............... 82% 80% 80%
Percent of patients rating VA
health care service as very good
or excellent:...................
Inpatient....................... 70% 68% 68%
Outpatient...................... 71% 70% 70%
Access to Medical Care.--VA's strategy is to improve access and
timeliness of service by reducing waiting times in specialty and
primary care clinics in medical centers nationwide, and nursing home
and other alternative long term care.
2002 actual 2003 est. 2004 est.
Average waiting time for new
patients seeking primary care
clinic appointment (in days).... Baseline TBD \1\ TBD \1\
Average waiting time for new
patients seeking specialty care
clinic appointment (in days).... Baseline TBD \1\ TBD \1\
Increase the aggregate of VHA and
community nursing home and home-
based care as expressed by
average daily census:...........
Institutional................... 31,891 32,429 29,981
Non-institutional............... 24,126 28,124 32,694
\1\ To be determined pending final enactment of FY 2003 appropriations
level.
Providing Specialized Services.--VA will focus on improving
functioning and enhancing outcomes for veterans with special needs
and special disabilities.
2002 actual 2003 est. 2004 est.
Percent of veterans discharged
from a Domiciliary Care for
Veterans program, Health Care
for Homeless Veterans Community-
based Residential Care Program,
or Grant Per Diem Program to an
independent or a secure
institutional living arrangement Baseline 65% 67%
VA DoD Sharing.--VA's strategy is to improve collaboration and
exchange with DoD. There are two performance measures that VA
developed to measure progress.
2002 actual 2003 est. 2004 est.
Percent of VA medical centers that
provide electronic access to
health information provided by
DoD on separated service persons 0% 50% 90%
Dollar value of sharing agreements
with DoD ($ in millions)........ 83.1M $100M $100M
Revenue Cycle Improvement.--VHA is seeking to improve its
performance in the area of medical care collections. The revenue
cycle improvement plan includes initiatives that will improve
efficiency and accuracy.
2002 actual 2003 est. 2004 est.
Ratio of collections to billings.. 37% 40% 40%
Object Classification (in millions of dollars)
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Identification code 36-0160-0-1-703 2002 actual 2003 est. 2004 est.
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Direct obligations:
Personnel compensation:
11.1 Full-time permanent........... 7,338 7,992 8,272
11.3 Other than full-time permanent 787 884 889
11.5 Other personnel compensation.. 1,520 1,629 1,713
--------- --------- ----------
11.9 Total personnel compensation 9,645 10,505 10,874
12.1 Civilian personnel benefits..... 2,480 2,674 2,915
13.0 Benefits for former personnel... 23 35 37
Travel and transportation of
persons:
21.0 Employee travel............... 49 50 50
21.0 Beneficiary travel............ 145 101 115
21.0 Interagency motor pool
payments.................... 18 20 20
21.0 All other..................... 32 55 55
22.0 Transportation of things........ 30 40 47
23.1 Rental payments to GSA.......... 13 15 18
[[Page 813]]
23.2 Rental payments to others....... 68 76 83
23.3 Communications, utilities, and
miscellaneous charges......... 600 630 742
24.0 Printing and reproduction....... 11 12 13
Other services:
25.2 Other contractual services.... 2,256 2,013 2,206
25.2 Other construction services... 8 5 5
Medical care:
25.6 Outpatient dental fees........ 15 17 17
25.6 Medical and nursing fees...... 492 566 679
25.6 Community nursing homes....... 238 323 209
25.6 Contract hospitalization...... 321 336 349
25.6 Civilian Health and Medical
Program of the Department of
Veterans Affairs............ 182 327 479
Supplies and materials:
26.0 Medical supplies and materials 4,524 5,276 6,923
26.0 Provisions.................... 75 76 80
31.0 Equipment....................... 665 643 430
Land and structures:
32.0 Medical land and structures... 290 365 395
32.0 Construction, major projects,
land and structures......... 37 128 210
32.0 Construction, minor projects,
land and structures......... 144 168 178
Grants, subsidies, and
contributions:
41.0 Medical grants, subsidies, and
contributions............... 345 408 470
41.0 Medical Grants to private
organizations............... 29 56 69
41.0 Grants, subsidies, and
contributions for
construction of State
extended care facilities.... 102 211 102
43.0 Interest and dividends.......... 1 1 2
--------- --------- ----------
99.0 Direct obligations............ 22,838 25,132 27,772
99.0 Reimbursable obligations.......... 182 150 151
--------- --------- ----------
99.9 Total new obligations........... 23,020 25,282 27,923
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Personnel Summary
----------------------------------------------------------------------------
Identification code 36-0160-0-1-703 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Direct:
Total compensable workyears:
1001 Civilian full-time equivalent
employment.................... 179,775 179,547 184,369
Reimbursable:
Total compensable workyears:
2001 Civilian full-time equivalent
employment.................... 1,153 1,354 1,561
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Medical and Prosthetic Research
For necessary expenses in carrying out programs of medical and
prosthetic research and development as authorized by 38 U.S.C. chapter
73, to remain available until September 30, 2005, $822,202,000, plus
reimbursements, of which no more than $6,000,000 shall be available
until expended for the construction, alteration, and improvement of any
facility under the jurisdiction or for the use of the Department for the
provision of medical research, or for any of the purposes set forth in
sections 8102, 8103, 8106, 8108, 8110, 8122 and 8162 of title 38, United
States Code, including advance planning and design activities, offsite
utility and storm drainage system construction costs, and site
acquisition and disposition.
Note.--A regular 2003 appropriation for this account had not been
enacted at the time the budget was prepared; therefore, this account is
operating under a continuing resolution (P.L. 107-229, as amended). The
amounts included for 2003 in this budget reflect the Administration's
2003 policy proposals.
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-0161-0-1-703 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
Direct program:
Operating expenses:
00.01 Medical research.............. 469 487 497
00.02 Rehabilitation research....... 77 80 83
00.03 Health services research...... 100 104 109
00.04 Cooperative studies research.. 89 92 97
--------- --------- ----------
00.91 Total operating expenses.... 735 763 786
Capital investment:
01.01 Medical research.............. 21 17 21
01.02 Rehabilitation research....... 7 7 7
01.03 Health services research...... 3 3 3
01.04 Cooperative studies research.. 5 4 5
--------- --------- ----------
01.91 Total capital investment.... 36 31 36
--------- --------- ----------
01.92 Total direct program.......... 771 794 822
09.01 Reimbursable program.............. 21 44 33
--------- --------- ----------
10.00 Total new obligations........... 792 838 855
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 37 22 22
22.00 New budget authority (gross)...... 778 838 855
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 815 860 877
23.95 Total new obligations............. -792 -838 -855
23.98 Unobligated balance expiring or
withdrawn....................... -1
24.40 Unobligated balance carried
forward, end of year............ 22 22 22
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 759 797 822
41.00 Transferred to other accounts... -3 -3
--------- --------- ----------
43.00 Appropriation (total
discretionary).............. 756 794 822
68.00 Spending authority from offsetting
collections: Offsetting
collections (cash).............. 22 44 33
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 778 838 855
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 98 119 123
73.10 Total new obligations............. 792 838 855
73.20 Total outlays (gross)............. -770 -834 -851
73.40 Adjustments in expired accounts
(net)........................... -2
74.40 Obligated balance, end of year.... 119 123 127
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 574 615 628
86.93 Outlays from discretionary
balances........................ 196 219 223
--------- --------- ----------
87.00 Total outlays (gross)........... 770 834 851
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
88.00 Offsetting collections (cash)
from: Federal sources......... -22 -44 -33
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 756 794 822
90.00 Outlays........................... 748 790 818
----------------------------------------------------------------------------
Additional net budget authority and outlays to cover cost of fully accruing
retirement:
99.00 Budget authority.................. 24 30 31
99.01 Outlays........................... 24 30 31
---------------------------------------------------------------------------
For 2004, the budget process provides total resources for the VA
Medical and Prosthetic Research Business Line of $822.2 million, an
increase of $28 million over the 2003 level. This appropriation
represents 54 percent of the total $1.5 billion research effort with the
balance of $206 million provided from private contributions and $483
million provided from federal programs support.
The 2004 budget request reflects a new account structure that will
better position VA to more readily determine the full cost of a
comprehensive research program leading the Nation's efforts to promote
the health care of veterans. The Medical and Prosthetic Research
Business Line includes the consolidation of what was the Medical and
Prosthetic Research appropriation and the medical care research support
funding formerly appropriated in the Medical Care appropriation.
This account is an intramural program whose mission is to acquire
knowledge and create innovations that advance the health and care of
veterans and the Nation. Veterans' health issues are addressed
comprehensively in the following four program divisions and the medical
care research support required for these programs:
Medical Research.--Medical Research strives to understand the
disease process so that efficient, rational interventions can be made to
cure or alleviate the effects of disease. The program supports
investigator-initiated research projects, the training of clinicians in
basic and clinical research, and cen
[[Page 814]]
ters of excellence devoted to specific diseases. The research is done in
areas particularly relevant to the veteran population--aging, chronic
disease, mental illness, substance abuse, military occupations, and
environmental exposures.
Medical Research Support.--Provides the indirect costs of the VA
Research and Development program which includes such costs as the
facility utility costs associated with laboratory space; administrative
costs of human resources support, fiscal service, and supply service
attributable to research; research's portions of a medical center's
hazardous waste disposal and nuclear medicine licenses; and, most
importantly, the funding for the time clinicians devote to their
research activities.
Rehabilitation Research.--Rehabilitation Research is dedicated to
the development and application of science and engineering to improve
the care and quality of life for the physically disabled. The program
supports investigator-initiated research projects, the training of
clinicians and engineers in rehabilitation research, centers of
excellence devoted to specific disabilities, and technology transfer.
The research is done in areas particularly relevant to the disabled
veteran population--aging, sensory loss, and trauma related illness.
Health Services Research.--Health Services Research is directed
toward improving the outcome effectiveness and cost efficiency of health
care delivery for the veteran population. The program supports
investigator-initiated research projects, the training of clinicians in
applied clinical research, centers of excellence devoted to specific
aspects of health care delivery, and service-directed projects
addressing clinical management needs. The research focuses on the
translation of research findings to clinical best practices for all
veteran patients. Particular contributions are made in the areas of
aging, substance abuse, health systems, and special populations.
Cooperative Studies.--Cooperative Studies Research has recently been
separated from the Medical Research and Health Services Research
programs and is directed toward large multi-site clinical trials.
Cooperative Studies supports the clinical trials with its own
statistical support centers and its own FDA-approved pharmacy. The
research determines the efficacy and cost effectiveness of new
medications and new treatment strategies of direct benefit to the
veteran population in the areas of aging, chronic disease, mental
illness, special populations, and military occupations and environmental
exposures.
VA's Medical and Prosthetic Research programs are included in the
Federal Science & Technology (FS&T) budget.
Focus Medical Research Programs.--Designated Research Areas are
focused on prevalent conditions within the veteran patient population.
VA maintains this focus by monitoring and ensuring that the vast
majority of resources are directed to these research areas.
2002 actual 2003 est. 2004 est.
Percent of research projects
devoted to the Designated
Research Areas.................. 99% 99% 99%
SUMMARY OF BUDGETARY RESOURCES
[In millions of dollars]
2002 actual 2003 est. 2004 est.
Medical and prosthetic research
appropriation....................... 756 794 822
Federal grants (NIH)................ 396 460 483
Other grants (voluntary agencies,
private proprietary)................ 245 196 206
------------------------------------
Total budgetary resources..... 1,397 1,450 1,511
====================================
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-0161-0-1-703 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Direct obligations:
Personnel compensation:
11.1 Full-time permanent........... 262 274 275
11.3 Other than full-time permanent 86 93 91
11.5 Other personnel compensation.. 43 47 48
--------- --------- ----------
11.9 Total personnel compensation 391 414 414
12.1 Civilian personnel benefits..... 100 106 107
13.0 Benefits for former personnel... 1 1 1
21.0 Employee travel................. 5 7 8
22.0 Transportation of things........ 1 1 1
23.3 Communications, utilities, and
miscellaneous charges......... 2 2 2
24.0 Printing and reproduction....... 1 1
25.5 Research and development
contracts..................... 172 176 192
26.0 Supplies and materials.......... 57 55 60
31.0 Equipment....................... 41 31 36
32.0 Land and structures............. 1
--------- --------- ----------
99.0 Direct obligations............ 771 794 822
99.0 Reimbursable obligations.......... 21 44 33
--------- --------- ----------
99.9 Total new obligations........... 792 838 855
---------------------------------------------------------------------------
Personnel Summary
----------------------------------------------------------------------------
Identification code 36-0161-0-1-703 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Direct:
Total compensable workyears:
1001 Civilian full-time equivalent
employment.................... 6,310 6,341 6,268
Reimbursable:
Total compensable workyears:
2001 Civilian full-time equivalent
employment.................... 160 260 260
---------------------------------------------------------------------------
Canteen Service Revolving Fund
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4014-0-3-705 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
09.01 Reimbursable operating expenses... 133 140 147
09.02 Reimbursable direct operations.... 89 93 98
09.10 Reimbursable capital investment:
Sales program: Purchase of
equipment and leasehold......... 5 5 5
--------- --------- ----------
10.00 Total new obligations........... 227 238 250
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 16 16 10
22.00 New budget authority (gross)...... 227 231 239
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 243 247 249
23.95 Total new obligations............. -227 -238 -250
24.40 Unobligated balance carried
forward, end of year............ 16 10
----------------------------------------------------------------------------
New budget authority (gross), detail:
Mandatory:
69.00 Offsetting collections (cash)... 227 231 239
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 19 14 19
73.10 Total new obligations............. 227 238 250
73.20 Total outlays (gross)............. -232 -231 -239
74.40 Obligated balance, end of year.... 14 19 30
----------------------------------------------------------------------------
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 229 230 238
86.98 Outlays from mandatory balances... 3 1 1
--------- --------- ----------
87.00 Total outlays (gross)........... 232 231 239
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash)
from:
88.00 Federal sources............... -1 -1
88.20 Interest on Federal securities -2 -2 -2
88.40 Non-Federal sources........... -225 -228 -236
--------- --------- ----------
[[Page 815]]
88.90 Total, offsetting
collections (cash)........ -227 -231 -239
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority..................
90.00 Outlays........................... 5
----------------------------------------------------------------------------
Memorandum (non-add) entries:
92.01 Total investments, start of year:
Federal securities: Par value... 32 29 31
92.02 Total investments, end of year:
Federal securities: Par value... 29 31 29
----------------------------------------------------------------------------
Additional net budget authority and outlays to cover cost of fully accruing
retirement:
99.00 Budget authority.................. 6 7 7
99.01 Outlays........................... 6 7 7
---------------------------------------------------------------------------
The Veterans Canteen Service was established to furnish, at
reasonable prices, merchandise and services necessary for the comfort
and well-being of veterans in VA medical facilities.
Financing.--Operations will be financed from current revenues.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4014-0-3-705 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Personnel compensation:
11.1 Full-time permanent............. 39 42 44
11.3 Other than full-time permanent.. 32 34 36
--------- --------- ----------
11.9 Total personnel compensation.. 71 76 80
12.1 Civilian personnel benefits....... 18 19 20
21.0 Travel and transportation of
persons......................... 1 1 1
23.3 Communications, utilities, and
miscellaneous charges........... 1
25.2 Other services.................... 3 2 2
26.0 Supplies and materials............ 128 135 142
31.0 Equipment......................... 5 5 5
--------- --------- ----------
99.9 Total new obligations........... 227 238 250
---------------------------------------------------------------------------
Personnel Summary
----------------------------------------------------------------------------
Identification code 36-4014-0-3-705 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Reimbursable:
Total compensable workyears:
2001 Civilian full-time equivalent
employment.................... 2,899 2,930 2,930
---------------------------------------------------------------------------
Medical Center Research Organizations
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4026-0-3-703 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
09.01 Operating expenses................ 153 156 159
09.02 Capital investments............... 18 19 19
--------- --------- ----------
10.00 Total new obligations........... 171 175 178
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 16 16 16
22.00 New budget authority (gross)...... 171 175 178
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 187 191 194
23.95 Total new obligations............. -171 -175 -178
24.40 Unobligated balance carried
forward, end of year............ 16 16 16
----------------------------------------------------------------------------
New budget authority (gross), detail:
Mandatory:
69.00 Offsetting collections (cash)... 171 175 178
----------------------------------------------------------------------------
Change in obligated balances:
73.10 Total new obligations............. 171 175 178
73.20 Total outlays (gross)............. -171 -175 -178
----------------------------------------------------------------------------
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 171 175 178
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
88.40 Offsetting collections (cash)
from: Non-Federal sources..... -171 -175 -178
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority..................
90.00 Outlays...........................
---------------------------------------------------------------------------
These nonprofit corporations provide a flexible funding mechanism
for the conduct of approved research at Department of Veterans Affairs
medical centers. These organizations will derive funds to operate
various research activities from Federal and non-Federal sources. No
appropriation is required to support these activities.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4026-0-3-703 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
21.0 Travel and transportation of
persons......................... 2 2 2
25.2 Other services.................... 107 109 111
26.0 Supplies and materials............ 44 45 46
31.0 Equipment......................... 18 19 19
--------- --------- ----------
99.9 Total new obligations........... 171 175 178
---------------------------------------------------------------------------
Trust Funds
General Post Fund, National Homes
(including transfer of funds)
Unavailable Collections (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-8180-0-7-705 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
01.99 Balance, start of year............ 1 2
Receipts:
02.00 General post fund, national homes,
deposits........................ 34 34 34
02.40 General post fund, national homes,
interest on investments......... 2 3 3
--------- --------- ----------
02.99 Total receipts and collections.. 36 37 37
--------- --------- ----------
04.00 Total: Balances and collections... 36 38 39
Appropriations:
05.00 General post fund, national homes. -35 -36 -37
--------- --------- ----------
07.99 Balance, end of year.............. 1 2 2
---------------------------------------------------------------------------
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-8180-0-7-705 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Religious, recreational, and
entertainment activities........ 28 29 29
00.02 Research activities............... 2 2 2
00.03 Therapeutic residence maintenance. 1 1 2
--------- --------- ----------
10.00 Total new obligations........... 31 32 33
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 54 58 63
22.00 New budget authority (gross)...... 35 36 37
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 89 94 100
23.95 Total new obligations............. -31 -32 -33
24.40 Unobligated balance carried
forward, end of year............ 58 63 67
----------------------------------------------------------------------------
New budget authority (gross), detail:
Mandatory:
60.26 Appropriation (trust fund)...... 35 36 37
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 5 5 5
73.10 Total new obligations............. 31 32 33
73.20 Total outlays (gross)............. -31 -32 -34
74.40 Obligated balance, end of year.... 5 5 5
----------------------------------------------------------------------------
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 28 29 31
[[Page 816]]
86.98 Outlays from mandatory balances... 3 3 3
--------- --------- ----------
87.00 Total outlays (gross)........... 31 32 34
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 35 36 37
90.00 Outlays........................... 31 32 34
----------------------------------------------------------------------------
Memorandum (non-add) entries:
92.01 Total investments, start of year:
Federal securities: Par value... 57 47 55
92.02 Total investments, end of year:
Federal securities: Par value... 47 55 55
---------------------------------------------------------------------------
This fund consists of: gifts, bequests, and proceeds from the sale
of property left in the care of the facilities by former beneficiaries;
patients' fund balances; and, proceeds from the sale of effects of
beneficiaries who die leaving no heirs or without having otherwise
disposed of their estate. Such funds are used to promote the comfort and
welfare of veterans at hospitals, nursing homes, and domiciliaries where
no general appropriation is available. Public Law 102-54 authorizes
compensation work therapy and therapeutic transitional housing and loan
programs to be funded from the General Post Fund. In addition, donations
from pharmaceutical companies, non-profit corporations, and individuals
to support VA medical research are deposited into this fund. (38 U.S.C.
chs. 83 and 85.)
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-8180-0-7-705 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
21.0 Travel and transportation of
persons......................... 1 2 2
25.2 Other services.................... 14 14 15
26.0 Supplies and materials............ 12 12 12
31.0 Equipment......................... 3 3 3
32.0 Land and structures............... 1 1 1
--------- --------- ----------
99.9 Total new obligations........... 31 32 33
---------------------------------------------------------------------------
BENEFITS PROGRAMS
Federal Funds
General and special funds:
Compensation
(including transfer of funds)
For the compensation program administered by the Department of
Veterans Affairs, $26,956,797,000 which shall be available as follows:
(1) For the payment of compensation benefits to or on behalf of
veterans and a pilot program for disability examinations, emergency and
other officers' retirement pay, adjusted-service credits and
certificates, payment of premiums due on commercial life insurance
policies and for other benefits as authorized by law $26,335,358,000; of
which, not to exceed $1,179,000 of the amount appropriated for the
compensation benefit programs shall be for the administrative expenses
authorized by the Omnibus Budget Reconciliation Act of 1990 and the
Veterans' Benefits Act of 1992. In addition, for making payments after
June 30 for the compensation program administered by the Department,
such sums as may be necessary;
(2) For operating expenses associated with the provision of
compensation benefits; reimbursement of the Department of Defense for
the cost of overseas employee mail; and purchase of two passenger motor
vehicles for use by the Veterans Benefits Administration in Manila,
Philippines, $621,439,000, including no more than $11,775,000 for
construction.
(38 U.S.C. 107, 1312, 1977, and 2106, chapters 11, 13, 18, 23, 39,
51, 53, 55, and 61; 50 U.S.C. App. 540-548; 43 Stat. 122, 123; 45 Stat.
735; 76 Stat. 1198).
Note.--A regular 2003 appropriation for this account had not been
enacted at the time the budget was prepared; therefore, this account is
operating under a continuing resolution (P.L. 107-229, as amended). The
amounts included for 2003 in this budget reflect the Administration's
2003 policy proposals.
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-0102-0-1-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
01.01 Veterans.......................... 18,546 21,121 22,830
01.02 Survivors......................... 3,795 3,948 4,059
--------- --------- ----------
01.91 Direct Program by Activities--
Subtotal (1 level)............ 22,341 25,069 26,889
--------- --------- ----------
02.93 Total compensation.............. 22,341 25,069 26,889
03.01 Chapter 18........................ 17 18 19
03.02 Clothing allowance................ 45 50 53
03.03 Automobiles, adaptive equipment... 39 38 39
03.04 Equal access to justice........... 2 3 3
03.05 Medical exam pilot program........ 37 50 51
03.06 OBRA payment to VBA............... 1 1 1
03.07 Return of REPS overpayments....... 5
--------- --------- ----------
03.91 Total other compensation
expenses...................... 141 165 166
04.03 Administrative expenses........... 592 606 609
04.05 Construction, minor projects...... 9 12 12
--------- --------- ----------
04.91 Total other direct expenses..... 601 618 621
09.02 Reinstated Entitlement for
Suvivors........................ 10 9 9
09.03 Administrative expense............ 3 3 3
--------- --------- ----------
09.99 Total reimbursable program...... 13 12 12
--------- --------- ----------
10.00 Total new obligations........... 23,096 25,864 27,688
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 142 438 727
22.00 New budget authority (gross)...... 23,393 26,152 26,968
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 23,535 26,590 27,695
23.95 Total new obligations............. -23,096 -25,864 -27,688
23.98 Unobligated balance expiring or
withdrawn....................... -2
24.40 Unobligated balance carried
forward, end of year............ 438 727 7
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 604 610 621
40.73 Reduction pursuant to P.L. 107-
206........................... -1
--------- --------- ----------
43.00 Appropriation (total
discretionary).............. 603 610 621
Mandatory:
Appropriation:
60.00 Appropriation................. 22,772 25,530 25,980
60.00 Appropriation [COLA].......... 355
--------- --------- ----------
62.50 Appropriation (total
mandatory).................. 22,772 25,530 26,335
Discretionary:
68.00 Spending authority from
offsetting collections:
Offsetting collections (cash). 3 3 3
Mandatory:
69.00 Offsetting collections (cash)
REPS.......................... 15 9 9
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 23,393 26,152 26,968
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 1,861 1,951 2,189
73.10 Total new obligations............. 23,096 25,864 27,688
73.20 Total outlays (gross)............. -22,999 -25,626 -27,534
73.40 Adjustments in expired accounts
(net)........................... -7
74.40 Obligated balance, end of year.... 1,951 2,189 2,343
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 472 492 502
86.93 Outlays from discretionary
balances........................ 94 112 117
86.97 Outlays from new mandatory
authority....................... 20,661 23,181 24,863
86.98 Outlays from mandatory balances... 1,772 1,841 2,052
--------- --------- ----------
87.00 Total outlays (gross)........... 22,999 25,626 27,534
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
88.00 Offsetting collections (cash)
from: Federal sources......... -18 -12 -12
----------------------------------------------------------------------------
[[Page 817]]
Net budget authority and outlays:
89.00 Budget authority.................. 23,375 26,140 26,956
90.00 Outlays........................... 22,982 25,614 27,522
----------------------------------------------------------------------------
Additional net budget authority and outlays to cover cost of fully accruing
retirement:
99.00 Budget authority.................. 31 31 34
99.01 Outlays........................... 31 31 34
---------------------------------------------------------------------------
Summary of Budget Authority and Outlays
(in millions of dollars)
2002 actual 2003 est. 2004 est.
Enacted/requested:
Budget Authority.................. 23,375 26,140 26,956
Outlays........................... 22,981 25,614 27,522
Legislative proposal, subject to
PAYGO:
Budget Authority.................. -124
Outlays........................... -124
------------------------------------
Total:
Budget Authority.................. 23,375 26,140 26,832
Outlays........................... 22,981 25,614 27,398
====================================
The mandatory request in this appropriation provides for the payment
of compensation to veterans and survivors. Compensation is paid to
veterans for disabilities incurred in or aggravated during active
military service. Dependency and Indemnity Compensation is paid to
survivors of servicepersons or veterans whose death occurred while on
active duty or as a result of service-connected disabilities.
Compensation and vocational rehabilitation is provided to the children
of Vietnam veterans who were born with certain birth defects. The
Secretary may pay a clothing allowance to each veteran who uses a
prescribed medication for a service-connected skin condition or wears a
prosthetic or orthopedic appliance (including a wheelchair) which, in
the judgment of the Secretary, tends to damage or tear the clothing of
such veteran.
In addition, certain disabled veterans are provided with automobile
grants with the associated approved adaptive equipment. An allowance, up
to a maximum of $9,000, is provided to certain service-disabled veterans
and servicepersons toward the purchase price of an automobile. Adaptive
equipment and the maintenance and replacement of such equipment is also
provided. Miscellaneous benefits provided for are:
(a) payments to emergency officers of World War I and certain
officers of the Regular Establishment who have retired because of
service-connected disability;
(b) payments for claims made pursuant to the provision of the World
War Adjusted Compensation Act of 1924, as amended;
(c) a special allowance (38 U.S.C. 1312) to dependents of certain
veterans who died after December 31, 1956, but who were not fully and
currently insured under the Social Security Act; and
(d) payments authorized by the Equal Access to Justice Act.
The mandatory request also includes a pilot program authorizing VA
to contract out medical examinations to determine service-connected
disabilities of veterans who are potential applicants of compensation
benefits and a program to allow VA to perform income matches for certain
compensation recipients.
In accordance with Public Law 97-377, the Reinstated Entitlement
Program for Survivors (REPS) program restores social security benefits
to certain surviving spouses or children of veterans who died of
service-connected causes. Financing is provided in the form of
offsetting collections from the Department of Defense.
The discretionary request in this appropriation provides for the
corporate leadership and operational support to VA's Compensation
business line. Additionally, funding is provided for capital asset
investments.
Legislation is proposed to provide a cost-of-living adjustment
comparable to the annual social security increase to recipients of
disability compensation, dependency and indemnity compensation, and
clothing allowances. The increase, effective with payments made on
January 1, 2004, is expected to be 2.0 percent.
Legislation is proposed to authorize the regional benefits office in
Manila, Philippines for an additional five years. Under current law, the
authority to maintain and operate this facility expires on December 31,
2003. VA administers programs that provide compensation, pension,
education, and burial benefits to veterans living in the Philippines.
AVERAGE NUMBER OF COMPENSATION CASES AND PAYMENTS
2002 actual 2003 est. 2004 est.
Veterans:
Cases............................. 2,356,592 2,466,212 2,543,600
Average payment per case, per year $7,870 $8,564 $8,975
------------------------------------
Total obligations (in
millions)................... $18,546 $21,121 $22,830
====================================
Survivors:
Total............................. 308,024 312,109 316,747
Average payment per case, per year $12,320 $12,647 $12,819
------------------------------------
Total obligations (in
millions)................... $3,795 $3,947 $4,060
====================================
Chapter 18:
Children.......................... 1,035 1,088 1,115
Average payment per case, per year $16,330 $16,928 $17,189
------------------------------------
Total obligations (in
millions)................... $17 $18 $19
====================================
Clothing allowance:
Number of veterans................ 81,738 84,409 86,681
Average payment per case, per year $546 $588 $611
------------------------------------
Total obligations (in
millions)................... $45 $50 $53
====================================
Automobiles or other conveyances:
Number of conveyances............. 1,093 1,093 1,093
Average benefit................... $8,609 $8,995 $8,995
------------------------------------
Obligations (in millions)..... $9 $10 $10
====================================
Adaptive equipment (including
maintenance, repair and
installation for automobiles):
Number of items................... 8,539 8,700 8,700
Average benefit................... $3,506 $3,713 $3,900
------------------------------------
Obligations (in millions)..... $30 $32 $34
====================================
Other compensation caseload:
Retired Officers.................. 1 1 1
Special allowance dependents...... 94 90 80
Equal Access to Justice payments.. 519 715 715
====================================
REPS:
Spouses........................... 91 91 75
Average benefit................... $12,879 $18,533 $18,928
------------------------------------
Obligations (in millions)..... $2 $2 $1
Children.......................... 525 520 466
Average benefit................... $16,840 $13,878 $14,183
------------------------------------
Obligations (in millions)..... $9 $7 $7
====================================
The Veterans Benefits Administration determines eligibility and
adjudicates all claims for compensation awards. Workload data for this
program are shown below. Specific performance goals relating to the
processing of veterans benefits are contained in VA's annual performance
plan. The Compensation business line provides processing of claims for
veterans and dependents relating to compensation benefits under the
various laws enacted by Congress.
[[Page 818]]
WORKLOAD
[Claims completed in thousands]
2002 actual 2003 est. 2004 est.
Compensation:
Rating-Related Actions............ 693 697 653
Non Rating Actions................ 141 151 130
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-0102-0-1-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Direct obligations:
Personnel compensation:
11.1 Full-time permanent........... 300 350 362
11.5 Other personnel compensation.. 12 10 10
--------- --------- ----------
11.9 Total personnel compensation 312 360 372
12.1 Civilian personnel benefits..... 79 82 83
21.0 Travel and transportation of
persons....................... 5 6 6
22.0 Transportation of things........ 1 2 2
23.2 Rental payments to others....... 5 3 3
23.3 Communications, utilities, and
miscellaneous charges......... 62 69 70
24.0 Printing and reproduction....... 2 1 1
25.2 Other services.................. 104 64 53
26.0 Supplies and materials.......... 5 5 5
31.0 Equipment....................... 17 15 13
32.0 Land and structures............. 9 12 13
42.0 Insurance claims and indemnities 22,482 25,233 27,056
--------- --------- ----------
99.0 Direct obligations............ 23,083 25,852 27,677
99.0 Reimbursable obligations.......... 13 12 11
--------- --------- ----------
99.9 Total new obligations........... 23,096 25,864 27,688
---------------------------------------------------------------------------
Personnel Summary
----------------------------------------------------------------------------
Identification code 36-0102-0-1-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Direct:
Total compensable workyears:
1001 Civilian full-time equivalent
employment.................... 6,909 6,759 6,759
Reimbursable:
Total compensable workyears:
2001 Civilian full-time equivalent
employment.................... 76 75 75
---------------------------------------------------------------------------
Compensation
(Legislative proposal, subject to PAYGO)
Legislation is proposed to restore the original interpretation of
section 1110 of title 38 USC prohibiting the granting of service-
connected disability arising secondarily from alcohol or drug-abuse. In
February 2001, a three-judge panel of the US Court of Appeals
interpreted section 1110 as not precluding compensation for an alcohol
or drug-abuse-related disability arising secondarily from a service-
connected disability. Enactment of this provision is estimated to save
$127 million in 2004.
Legislation is proposed to provide payment at the full rate of
authorized benefits for World War II veterans of the New Philippine
Scouts and for survivors of Filipino veterans, who reside in the United
States. Enactment of this proposal will result in additional cost of $3
million in 2004.
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-0102-4-1-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
01.01 New Philippine Scouts and DIC..... 3
01.02 Allen reversal.................... -127
--------- --------- ----------
02.93 Total compensation.............. -124
--------- --------- ----------
10.00 Total new obligations (object
class 42.0)................... -124
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... -124
23.95 Total new obligations............. 124
----------------------------------------------------------------------------
New budget authority (gross), detail:
Mandatory:
60.00 Appropriation................... -124
----------------------------------------------------------------------------
Change in obligated balances:
73.10 Total new obligations............. -124
73.20 Total outlays (gross)............. 124
----------------------------------------------------------------------------
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... -124
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. -124
90.00 Outlays........................... -124
---------------------------------------------------------------------------
Education
For the education program administered by the Department of Veterans
Affairs, $2,003,188, which shall be available as follows:
(1) For the payment of education and training benefits to or on
behalf of veterans as authorized by law including any payment for
associated activities authorized by 38 U.S.C. 3034(e), 3674, 3684(C),
and 3697, $1,904,665. In addition, for making payments after June 30 for
the education program administered by the Department, such sums as may
be necessary;
(2) For operating expenses associated with the provision of
education and training benefits; and reimbursement of the Department of
Defense for the cost of overseas employee mail, $98,523,000, including
no more than $757,000 for construction.
(38 U.S.C. chapters 30, 31, 34, 35, 36, 51, 53, 55, and 61).
Note.--A regular 2003 appropriation for this account had not been
enacted at the time the budget was prepared; therefore, this account is
operating under a continuing resolution (P.L. 107-229, as amended). The
amounts included for 2003 in this budget reflect the Administration's
2003 policy proposals.
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-0137-0-1-702 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
Direct program:
01.01 Peacetime veterans/
servicepersons................ 1,150 1,592 1,749
01.03 Dependents...................... 234 249 267
01.04 Tuition Assistance.............. 25 59 69
01.05 Licensing and Certification..... 1 3 5
01.06 Work study...................... 21 31 31
01.07 Payments to states.............. 14 14 18
01.08 Reporting fees.................. 3 3 3
--------- --------- ----------
01.91 Total special assistance to
disabled veterans........... 1,448 1,951 2,142
Other direct expenses:
03.01 Administrative expenses......... 73 100 99
03.03 Construction, minor construction 1 1 1
--------- --------- ----------
03.91 Total other direct expenses... 74 101 100
--------- --------- ----------
05.00 Total Direct Program............ 1,522 2,052 2,242
Reimbursable education program:
09.01 Veterans' basic benefits........ 9 11 12
09.02 Veterans' supplementary benefits 77 95 174
09.03 Reservists benefits............. 117 127 134
09.04 Reservists supplementary
benefits...................... 32 35 37
09.05 Reimbursement to GOE............ 1 1
--------- --------- ----------
09.09 Reimbursable program--subtotal
line........................ 235 269 358
--------- --------- ----------
10.00 Total new obligations........... 1,757 2,321 2,600
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 385 522 239
22.00 New budget authority (gross)...... 1,894 2,037 2,362
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 2,279 2,559 2,601
23.95 Total new obligations............. -1,757 -2,321 -2,600
24.40 Unobligated balance carried
forward, end of year............ 522 239
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
Discretionary:
40.00 Appropriation................. 75 97 99
[[Page 819]]
Mandatory:
60.00 Appropriation................... 1,584 1,672 1,905
Discretionary:
68.00 Spending authority from
offsetting collections:
Offsetting collections (cash). 1 1
Mandatory:
69.00 Offsetting collections (cash)... 235 267 357
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 1,894 2,037 2,362
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 50 62 64
73.10 Total new obligations............. 1,757 2,321 2,600
73.20 Total outlays (gross)............. -1,745 -2,318 -2,600
73.40 Adjustments in expired accounts
(net)........................... 1
74.40 Obligated balance, end of year.... 62 64 65
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 60 81 83
86.93 Outlays from discretionary
balances........................ 10 13 17
86.97 Outlays from new mandatory
authority....................... 1,635 1,939 2,262
86.98 Outlays from mandatory balances... 40 285 238
--------- --------- ----------
87.00 Total outlays (gross)........... 1,745 2,318 2,600
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
88.00 Offsetting collections (cash)
from: Federal sources......... -235 -268 -358
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 1,659 1,769 2,004
90.00 Outlays........................... 1,509 2,050 2,242
----------------------------------------------------------------------------
Additional net budget authority and outlays to cover cost of fully accruing
retirement:
99.00 Budget authority.................. 4 5 5
99.01 Outlays........................... 4 5 5
---------------------------------------------------------------------------
Summary of Budget Authority and Outlays
(in millions of dollars)
2002 actual 2003 est. 2004 est.
Enacted/requested:
Budget Authority.................. 1,659 1,769 2,004
Outlays........................... 1,510 2,050 2,242
Legislative proposal, subject to
PAYGO:
Budget Authority.................. 1
Outlays........................... 1
------------------------------------
Total:
Budget Authority.................. 1,659 1,769 2,005
Outlays........................... 1,510 2,050 2,243
====================================
The mandatory request in this appropriation finances educational
assistance allowances for certain service persons, peacetime veterans
and for eligible dependents of those veterans: (a) who died from
service-connected causes or have a total and permanent rated service-
connected disability; and (b) servicepersons who were captured or
missing in action. Voluntary contributions by eligible servicepersons
and matching contributions provided by the Department of Defense are
included in the Post-Vietnam Era Veterans Education Account.
The discretionary request in this appropriation provides for the
corporate leadership and operational support to VA's Education business
line. Additionally, funding is provided for capital asset investments.
In compliance with the Federal Credit Reform Act of 1990, the
Education Loan Fund Program account is reported separately under the
Vocational Rehabilitation and Education Loans Program account. The
Education Loan program provides loans of up to $2,500 to dependents of
veterans who are eligible for training benefits under chapter 35, title
38, U.S.C. and who are without sufficient funds to meet their education
related expenses.
All Volunteer Force educational assistance (Montgomery GI Bill).--
Public Law 98-525, enacted October 19, 1984, established two new
peacetime educational programs: an assistance program for veterans who
enter active duty during the period beginning July 1, 1985; and an
assistance program for certain members of the Selected Reserve. The
Education appropriation pays the basic benefit allowance for the
peacetime veterans, except for certain Post-Vietnam Era Veterans
Education participants who transferred to the Montgomery GI Bill
program. Supplementary educational assistance and the basic benefit
allowance for peacetime veterans, Post-Vietnam Era Veterans Education
converters, and reservists are financed by payments from the Department
of Defense and the Department of Transportation.
The following table shows a caseload and cost comparison for these
beneficiaries under existing legislation.
CASELOAD AND AVERAGE COST DATA
2002 actual 2003 est. 2004 est.
Veterans/Servicemembers:
Number of trainees................ 289,701 328,244 332,026
Average cost per trainee.......... $4,266 $5,180 $5,831
------------------------------------
Total cost (in millions)...... $1,236 $1,700 $1,936
====================================
Reservists:
Number of trainees................ 85,934 91,090 94,734
Average cost per trainee.......... $1,734 $1,770 $1,804
------------------------------------
Total cost (in millions)...... $149 $161 $171
====================================
Dependents' education and training.--This program provides benefits
to children and spouses of veterans who died of a service-connected
disability or whose service-connected disability is rated permanent and
total. In addition, dependents of servicepersons missing in action or
interned by a hostile foreign government for more than 90 days are also
eligible. The following table provides a comparison of trainees and
costs for the Dependents Educational Assistance program.
NUMBER OF TRAINEES AND COST
2002 actual 2003 est. 2004 est.
Sons and daughters:
Number of trainees................ 46,714 48,880 51,346
Average cost per trainee (in
dollars)........................ $4,458 $4,548 $4,639
------------------------------------
Total cost (in millions)...... $208 $222 $238
====================================
Spouses and widow(ers):
Number of trainees................ 7,265 7,434 7,781
Average cost per trainee (in
dollars)........................ $3,517 $3,587 $3,659
------------------------------------
Total cost (in millions)...... $26 $27 $29
====================================
Tuition Assistance.--Public Law 106-398, enacted October 30, 2000,
allows the military services to pay up to 100 percent of tuition and
expenses charged by a school for service members. If a service
department pays less than 100 percent, a service member eligible for the
Montgomery GI Bill--Active-duty (MGIB) can elect to receive MGIB
benefits for all or a portion of the remaining expenses.
Licensing and certification test payments.--Under Public Law 106-
419, veterans and other eligible persons may receive up to $2,000 to pay
fees required for civilian occupational licensing and certification
examinations needed to enter, maintain, or advance in employment in a
vocation or profession--effective March 1, 2001.
CASELOAD AND AVERAGE COST DATA
2002 actual 2003 est. 2004 est.
Tuition Assistance:
Number of trainees................ 60,264 120,000 140,000
Average cost per trainee.......... $416 $494 $494
------------------------------------
Total cost (in millions)...... $25 $59 $69
====================================
Licensing and Certification:
Number of individuals............. 5,111 7,500 15,000
Average cost per trainee.......... $277 $305 $336
------------------------------------
Total cost (in millions)...... $1 $3 $5
====================================
[[Page 820]]
Work-Study.--Certain veterans pursuing a program of rehabilitation,
education, or training, who are enrolled as a full-time student, can
work up to 250 hours per semester, receiving the Federal ($5.15 on 9/1/
97) or state minimum wage rate, whichever is higher.
2002 actual 2003 est. 2004 est.
Number of contracts............... 16,977 17,000 17,000
------------------------------------
Total cost (in millions)...... $21 $31 $31
====================================
Payments to States.--State approving agencies are reimbursed for the
costs of inspecting, approving, and supervising programs of education
and training offered by educational institutions and training
establishments in which veterans, dependents, and reservists are
enrolled or are about to enter.
Reporting fees.--Reporting fees are paid to education and training
institutions to help defray the costs of certifying education enrollment
for veterans enrolled in training during a calendar year.
WORKLOAD
[In thousands]
2002 actual 2003 est. 2004 est.
Original claims..................... 188 201 213
Adjustments/supplemental claims..... 1,034 1,211 1,286
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-0137-0-1-702 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Direct obligations:
Personnel compensation:
11.1 Full-time permanent........... 46 46 48
11.5 Other personnel compensation.. 1 2 2
--------- --------- ----------
11.9 Total personnel compensation 47 48 50
12.1 Civilian personnel benefits..... 14 11 11
21.0 Travel and transportation of
persons....................... 2 2
23.3 Communications, utilities, and
miscellaneous charges......... 6 13 13
24.0 Printing and reproduction....... 1 1
25.2 Other services.................. 7 20 17
25.3 Other purchases of goods and
services from Government
accounts...................... 2 2
26.0 Supplies and materials.......... 2 2
32.0 Land and structures............. 1 1 1
41.0 Grants, subsidies, and
contributions................. 1,447 1,952 2,143
--------- --------- ----------
99.0 Direct obligations............ 1,522 2,052 2,242
99.0 Reimbursable obligations.......... 235 269 358
--------- --------- ----------
99.9 Total new obligations........... 1,757 2,321 2,600
---------------------------------------------------------------------------
Personnel Summary
----------------------------------------------------------------------------
Identification code 36-0137-0-1-702 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Direct:
1001 Total compensable workyears:
Civilian full-time equivalent
employment...................... 864 952 969
---------------------------------------------------------------------------
Education
(Legislative proposal, subject to PAYGO)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-0137-4-1-702 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
Direct program:
01.01 MGIB Revision for OJT in Self-
Employment.................... 1
01.03 National Guard Delimiting Date
Extension.....................
01.05 Extension of the Education
Advisory Committee............
--------- --------- ----------
05.00 Total Direct Program............ 1
--------- --------- ----------
10.00 Total new obligations........... 1
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 1
23.95 Total new obligations............. -1
----------------------------------------------------------------------------
New budget authority (gross), detail:
Mandatory:
60.00 Appropriation................... 1
----------------------------------------------------------------------------
Change in obligated balances:
73.10 Total new obligations............. 1
73.20 Total outlays (gross)............. -1
----------------------------------------------------------------------------
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 1
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 1
90.00 Outlays........................... 1
---------------------------------------------------------------------------
The Administration will transmit legislation to extend the time for
using education benefit for members of the National Guard activated
after September 11, 2001, who qualify for chapter 35, regardless of
whether they were called to active duty under title 10 or title 32 of
the United States Code. The estimated cost in 2004 is $150,000 with an
estimaed ten year cost of $5 million.
The Administration will transmit legislation to modify the
Montgomery G.I. Bill to enable veterans to be reimbursed for certain
self-employment training programs. The estimated cost in 2004 is
$360,000 with an estimated ten year cost of $4 million.
Legislation is required to extend the Department of Veterans Affairs
Education Advisory Committee. Under current law, authority to maintain
the committee expires December 31, 2003.
The Education Loan program has not issued a loan in over ten years.
Since there is no longer a demand for the program, the Administration
will transmit legislation to eliminate the program and waive all
outstanding balances.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-0137-4-1-702 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Grants, subsidies, and contributions:
41.0 Grants, subsidies, and
contributions................. 1
41.0 Grants, subsidies, and
contributions.................
--------- --------- ----------
99.9 Total new obligations........... 1
---------------------------------------------------------------------------
Vocational Rehabilitation and Employment
For the vocational rehabilitation and employment program
administered by the Department of Veterans Affairs, $696,728,000, which
shall be available as follows:
(1) For the provision of vocational rehabilitation and employment
benefits (including independent living services and assistance) to or on
behalf of veterans as authorized by law, $561,337,000. In addition, for
making payments after June 30 for the vocational rehabilitation and
employment program administered by the Department, such sums as may be
necessary;
(2) For operating expenses associated with the provision of
vocational rehabilitation and employment benefits (including
administrative expenses incurred under section 3104(a) (1), (2), (5),
and (11) of title 38, United States Code); and reimbursement of the
Department of Defense for the cost of overseas employee mail,
$135,391,000, including no more than $1,841,000 for construction;
(3) For the cost of direct loans, $52,000, as authorized by 38
U.S.C. chapter 31, as amended: Provided further, That such costs,
including the cost of modifying such loans, shall be as defined in
section 502 of the Congressional Budget Act of 1974, as amended:
Provided further, That these funds are available to subsidize gross
obligations for the principal amount of direct loans not to exceed
$3,938,000.
(38 U.S.C. chapters 31, 36, 51, 53, 55, and 61).
Note.--A regular 2003 appropriation for this account had not been
enacted at the time the budget was prepared; therefore, this account is
operating under a continuing resolution
[[Page 821]]
(P.L. 107-229, as amended). The amounts included for 2003 in this budget
reflect the Administration's 2003 policy proposals.
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-0135-0-1-702 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
01.01 Vocational rehabilitation training 269 293 319
01.02 Subsistence allowance............. 207 216 226
01.04 Work study........................ 11 16 16
--------- --------- ----------
01.91 Direct Program by Activities--
Subtotal (1 level)............ 487 525 561
03.01 Administrative expenses........... 118 132 134
03.03 Construction, minor projects...... 1 2 2
--------- --------- ----------
03.91 Direct Program by Activities--
Subtotal (1 level)............ 119 134 136
--------- --------- ----------
04.93 Total direct program............ 119 134 136
--------- --------- ----------
10.00 Total new obligations........... 606 659 697
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 2 2
22.00 New budget authority (gross)...... 607 657 696
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 609 659 696
23.95 Total new obligations............. -606 -659 -697
24.40 Unobligated balance carried
forward, end of year............ 2
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 120 132 135
Mandatory:
60.00 Appropriation................... 487 525 561
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 607 657 696
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 29 39 39
73.10 Total new obligations............. 606 659 697
73.20 Total outlays (gross)............. -597 -657 -695
73.40 Adjustments in expired accounts
(net)........................... -1
74.40 Obligated balance, end of year.... 39 39 39
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 97 108 110
86.93 Outlays from discretionary
balances........................ 16 20 24
86.97 Outlays from new mandatory
authority....................... 471 514 550
86.98 Outlays from mandatory balances... 13 15 11
--------- --------- ----------
87.00 Total outlays (gross)........... 597 657 695
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 607 657 696
90.00 Outlays........................... 596 657 695
----------------------------------------------------------------------------
Additional net budget authority and outlays to cover cost of fully accruing
retirement:
99.00 Budget authority.................. 5 6 6
99.01 Outlays........................... 5 6 6
---------------------------------------------------------------------------
The mandatory request in this appropriation finances assistance
allowances for certain disabled veterans who are provided with
vocational rehabilitation and employment services.
The discretionary request in this appropriation provides for the
corporate leadership and operational support to VA's VR&E business line
as well as direct services. Additionally, funding is provided for
capital asset investments.
In compliance with the Federal Credit Reform Act of 1990, the
Vocational Rehabilitation Loan Fund Program account is reported
separately under the Vocational Rehabilitation and Educational Loans
Program Account. The Vocational Rehabilitation Loans program provides
loans (based on indexed Chapter 31 Subsistence allowance rate) to
veterans enrolled in a program of vocational rehabilitation who are
temporarily in need of additional funds to meet their expenses.
Special assistance to disabled veterans.--Service-disabled veterans
requiring vocational rehabilitation receive assistance to cover the
costs of subsistence, tuition, books, supplies, and equipment.
The following table shows caseload for this program. Specific
performance goals are contained in VA's annual performance plan.
CASELOAD AND AVERAGE COST DATA
2002 actual 2003 est. 2004 est.
Total number of participants...... 69,634 71,549 73,517
Average cost...................... $6,994 $7,338 $7,630
------------------------------------
Total cost (in millions)...... $487 $525 $561
====================================
The VBA VR&E service provides counseling and assistance to enable
veterans with service-connected disabilities to achieve maximum
independence in daily living and, to the maximum extent feasible, obtain
and maintain suitable employment.
WORKLOAD
[in thousands]
2002 actual 2003 est. 2004 est.
Evaluation and planning........... 61 62 63
Rehabilitation services........... 64 66 67
Employment services status........ 14 14 15
Vocational/educational counseling. 9 9 9
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-0135-0-1-702 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Personnel compensation:
11.1 Full-time permanent............. 82 70 73
11.5 Other personnel compensation.... 3
--------- --------- ----------
11.9 Total personnel compensation.. 85 70 73
12.1 Civilian personnel benefits....... 20 16 16
21.0 Employee Travel................... 1 2 2
22.0 Transportation of things.......... 1 1
23.3 Communications, utilities, and
miscellaneous charges........... 11 11
25.2 Other services.................... 11 28 27
26.0 Supplies and materials............ 1 1
31.0 Equipment......................... 1 3 3
32.0 Land and structures............... 1 2 2
41.0 Grants, subsidies, and
contributions................... 487 525 561
--------- --------- ----------
99.9 Total new obligations........... 606 659 697
---------------------------------------------------------------------------
Personnel Summary
----------------------------------------------------------------------------
Identification code 36-0135-0-1-702 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Direct:
1001 Total compensable workyears:
Civilian full-time equivalent
employment...................... 1,057 1,205 1,204
---------------------------------------------------------------------------
Insurance
For the insurance program administered by the Department of Veterans
Affairs, $33,011,000, which shall be available as follows:
(1) For the payment of military and naval insurance, national
service life insurance, servicemen's indemnities, service-disabled
veterans insurance, and veterans mortgage life insurance as authorized
by law, $29,017,000, to remain available until expended. In addition,
for making payments after June 30 for the insurance programs
administered by the Department, such sums as may be necessary;
(2) For operating expenses associated with the provision of
insurance programs; and reimbursement of the Department of Defense for
the cost of overseas employee mail, $3,994,000, including no more than
$206,000 for construction.
(38 U.S.C. chapter 19; 70 Stat. 887; 72 Stat. 487).
Note.--A regular 2003 appropriation for this account had not been
enacted at the time the budget was prepared; therefore, this account is
operating under a continuing resolution (P.L. 107-229, as amended). The
amounts included for 2003 in this budget reflect the Administration's
2003 policy proposals.
[[Page 822]]
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-0120-0-1-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Payment to NSLI................... 1 1 1
00.10 VMLI death claims................. 8 9 9
00.12 Payment to service-disabled
veterans insurance.............. 19 21 21
00.13 Administrative Expenses........... 3 4 4
00.15 Minor Construction................ 1
--------- --------- ----------
01.00 Total direct expenses........... 32 35 35
09.01 Administrative expenses........... 36 36 36
--------- --------- ----------
09.99 Total reimbursable program...... 36 36 36
--------- --------- ----------
10.00 Total new obligations........... 68 71 71
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 1 1
22.00 New budget authority (gross)...... 68 70 71
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 69 71 71
23.95 Total new obligations............. -68 -71 -71
24.40 Unobligated balance carried
forward, end of year............ 1
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 4 4 4
Mandatory:
60.00 Appropriation................... 26 28 29
Offsetting collections (cash):
69.00 Offsetting collections (cash)... 36 36 36
69.00 Offsetting collections (cash)... 2 2 2
--------- --------- ----------
69.90 Spending authority from
offsetting collections (total
mandatory).................... 38 38 38
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 68 70 71
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 6 6 5
73.10 Total new obligations............. 68 71 71
73.20 Total outlays (gross)............. -68 -71 -72
74.40 Obligated balance, end of year.... 6 5 5
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 4 3 3
86.93 Outlays from discretionary
balances........................ 1 1
86.97 Outlays from new mandatory
authority....................... 59 61 63
86.98 Outlays from mandatory balances... 5 6 5
--------- --------- ----------
87.00 Total outlays (gross)........... 68 71 72
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash)
from:
88.00 Federal sources
[Administrative expenses]... -36 -36 -36
88.40 VMLI premiums................. -2 -2 -2
--------- --------- ----------
88.90 Total, offsetting
collections (cash)........ -38 -38 -38
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 30 32 33
90.00 Outlays........................... 29 33 34
---------------------------------------------------------------------------
Note.--The Department of Veterans Affairs insurance policy loans are
not an extension of Federal credit. Credit schedules previously shown
for this account have been discontinued.
The Insurance business line administers six life insurance programs,
including two trust funds, two public enterprise funds, a trust
revolving fund, and Veteran's Mortgage Life Insurance (VMLI), and
supervises two additional programs for the benefit of servicepersons,
veterans, and their beneficiaries through contracts with a commercial
company. All programs are operated on a commercial basis, to the extent
possible, consistent with all applicable statutes. The Insurance
appropriation is the funding mechanism for the following administration
of the Government life insurance activities: U.S. Government Life
Insurance Fund (USGLI); National Service Life Insurance (NSLI); Service-
Disabled Veterans Insurance Fund (S-DVI); and Veterans Mortgage Life
Insurance (VMLI).
Military and naval insurance.--Payments are made to the USGLI fund
for certain World War I veterans for extra hazards of military service
and for claims on war risk insurance issued to servicemen and veterans
of World War I.
National service life insurance (NSLI).--Payments are made to the
NSLI fund for certain World War II veterans for: (a) the extra hazards
of service; (b) gratuitous insurance granted to certain persons unable
to apply for national service life insurance; and (c) death claims on
policies under the waiver of a premium while the insured was on active
duty.
Payment to service-disabled veterans insurance fund (S-DVI).--
Payments are made to the S-DVI fund to supplement the premiums and other
receipts of the fund in amounts necessary to pay claims on insurance
policies issued to veterans with service-connected disabilities.
Veterans mortgage life insurance (VMLI).--Payments are made to
mortgage holders under this program, which provides mortgage protection
life insurance to veterans who have received a grant for specially
adapted housing due to severe disabilities. The general decline in the
number of policies and the amount of insurance in force is expected to
continue in 2004 as indicated in the following table.
POLICIES AND INSURANCE IN FORCE
2002 actual 2003 est. 2004 est.
VMLI policies:
Number of policies................ 3,060 2,940 2,810
Amount of insurance (dollars in
millions)....................... $186 $183 $178
The discretionary request in this appropriation provides for the
corporate leadership and operational support to VA's Insurance line.
Additionally, funding is provided for capital asset investments.
WORKLOAD
[In thousands]
2002 actual 2003 est. 2004 est.
Policy service actions............ 867 846 825
Collections....................... 2,509 2,369 2,221
Disability claims................. 16 16 16
Insurance awards.................. 493 496 499
Note.--The Department of Veterans Affairs insurance policy loans are not
an extension of Federal credit. Credit schedules previously shown for this
account have been discontinued.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-0120-0-1-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Direct obligations:
11.1 Personnel compensation: Full-
time permanent................ 3 3 3
32.0 Land and structures............. 1 1 1
42.0 Insurance claims and indemnities 28 31 31
--------- --------- ----------
99.0 Direct obligations............ 32 35 35
99.0 Reimbursable obligations.......... 36 36 36
--------- --------- ----------
99.9 Total new obligations........... 68 71 71
---------------------------------------------------------------------------
Personnel Summary
----------------------------------------------------------------------------
Identification code 36-0120-0-1-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Direct:
1001 Total compensable workyears:
Civilian full-time equivalent
employment...................... 36 39 45
Reimbursable:
2001 Total compensable workyears:
Civilian full-time equivalent
employment...................... 443 480 470
---------------------------------------------------------------------------
[[Page 823]]
Pensions
(including transfer of funds)
For the pension programs administered by the Department of Veterans
Affairs, $3,542,742,000, which shall be available as follows:
(1) For the payment of pension benefits to or on behalf of veterans,
payment of premiums due on commercial life insurance policies, and for
other benefits as authorized by law, $3,391,048,000; of which not to
exceed $16,438,000 of the amount for pension benefits shall be for
necessary expenses in implementing those provisions authorized by the
Omnibus Budget Reconciliation Act of 1990 and the Veterans' Benefits Act
of 1992, the funding source for which is specifically provided as the
``Pensions'' appropriation: Provided, That such sums as may be earned on
an actual qualifying patient basis, shall be reimbursed to ``Medical
Care'' to augment the funding of individual medical facilities for
nursing home care provided to pensioners as authorized. In addition, for
making payments after June 30 for the pension programs administered by
the Department, such sums as may be necessary;
(2) For operating expenses associated with the provision of pension
benefits and reimbursement of the Department of Defense for the cost of
overseas employee mail, $151,694,000, including no more than $3,265,000
for construction.
(38 U.S.C. chapters 15, 23, 51, 53, 55, 61, 107, 1312, 1977, and
2106, 50 U.S.C. App. 540-548; 43 Stat. 122, 123; 45 Stat. 735; 76 Stat.
1198; 92 Stat. 2508).
Note.--A regular 2003 appropriation for this account had not been
enacted at the time the budget was prepared; therefore, this account is
operating under a continuing resolution (P.L. 107-229, as amended). The
amounts included for 2003 in this budget reflect the Administration's
2003 policy proposals.
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-0154-0-1-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
01.03 Improved law...................... 2,433 2,541 2,620
01.04 Prior law......................... 31 27 23
--------- --------- ----------
01.91 Total veterans.................. 2,464 2,568 2,643
02.01 Improved law...................... 632 654 676
02.02 Prior law......................... 67 61 55
02.03 Old law........................... 1 1 1
--------- --------- ----------
02.91 Total survivors................. 700 716 732
--------- --------- ----------
02.92 Total pensions.................. 3,164 3,284 3,375
03.01 OBRA payment to VBA............... 13 16 16
03.02 Administrative expenses........... 153 154 148
03.04 Construction, minor projects...... 2 3 3
--------- --------- ----------
03.91 Total direct program............ 168 173 167
--------- --------- ----------
10.00 Total new obligations........... 3,332 3,457 3,542
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 2 3 1
22.00 New budget authority (gross)...... 3,333 3,455 3,543
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 3,335 3,458 3,544
23.95 Total new obligations............. -3,332 -3,457 -3,542
24.40 Unobligated balance carried
forward, end of year............ 3 1 2
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 156 155 152
Mandatory:
60.00 Appropriation................... 3,177 3,300 3,391
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 3,333 3,455 3,543
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 270 288 296
73.10 Total new obligations............. 3,332 3,457 3,542
73.20 Total outlays (gross)............. -3,312 -3,450 -3,534
73.40 Adjustments in expired accounts
(net)........................... -2
74.40 Obligated balance, end of year.... 288 296 304
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 123 138 135
86.93 Outlays from discretionary
balances........................ 23 22 16
86.97 Outlays from new mandatory
authority....................... 2,919 3,032 3,115
86.98 Outlays from mandatory balances... 247 258 268
--------- --------- ----------
87.00 Total outlays (gross)........... 3,312 3,450 3,534
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 3,333 3,455 3,543
90.00 Outlays........................... 3,312 3,450 3,534
----------------------------------------------------------------------------
Additional net budget authority and outlays to cover cost of fully accruing
retirement:
99.00 Budget authority.................. 8 8 9
99.01 Outlays........................... 8 8 9
---------------------------------------------------------------------------
Summary of Budget Authority and Outlays
(in millions of dollars)
2002 actual 2003 est. 2004 est.
Enacted/requested:
Budget Authority.................. 3,333 3,455 3,543
Outlays........................... 3,312 3,450 3,534
Legislative proposal, subject to
PAYGO:
Budget Authority.................. 1
Outlays........................... 1
------------------------------------
Total:
Budget Authority.................. 3,333 3,455 3,544
Outlays........................... 3,312 3,450 3,535
====================================
The mandatory request in this appropriation provides for the payment
of pensions to veterans or their survivors. A veteran's entitlement is
based on active duty service of a specific length (normally 90 days or
more) during a designated war period, disabilities considered permanent
and total, and countable income below established levels. There is no
disability requirement for survivor cases or veterans age 65 or older.
Income support is provided at established benefit levels. An automatic
annual cost-of-living increase comparable to the annual social security
increase is provided for those pensioners in the improved program and to
parents receiving dependency and indemnity compensation. The increase,
effective with payments made on January 1, 2004, is expected to be 2.0
percent.
The discretionary request in this appropriation provides for the
corporate leadership and operational support to VA's Pension business
line. Additionally, funding is provided for capital asset investments.
AVERAGE NUMBER OF PENSION CASES AND PAYMENTS
2002 actual 2003 est. 2004 est.
Veterans:
Improved law...................... 328,052 327,105 326,505
Prior law......................... 18,196 15,494 13,209
Old law and service............... 246 216 191
------------------------------------
Total......................... 346,494 342,815 339,905
Average payment per case, per year
(in dollars).................... $7,111 $7,491 $7,776
------------------------------------
Total obligations (in
millions)................... $2,464 $2,568 $2,643
====================================
Survivors:
Improved law...................... 169,828 165,292 161,274
Prior law......................... 63,983 57,514 51,769
Old law and service............... 944 754 605
------------------------------------
Total......................... 234,755 223,560 213,648
Average payment per case, per year
(in dollars).................... $2,982 $3,200 $3,424
------------------------------------
Total obligations (in
millions)................... $700 $715 $732
====================================
The Veterans Benefits Administration determines eligibility and
adjudicates all claims for pensions awards. Workload data for this
program are shown below. Specific performance goals relating to the
processing of veterans benefits are contained in VA's annual performance
plan. The Pension business line provides processing of claims for
veterans and dependents relating to pension benefits under the various
laws enacted by Congress.
[[Page 824]]
WORKLOAD
[Claims completed in thousands]
2002 actual 2003 est. 2004 est.
Pension:
Rating-Related Actions............ 104 104 97
Non Rating Actions................ 490 525 450
Legislation is proposed to make death pension effective the first
day of the month in which the death occurred if the claim is received
within one year, eliminating the current 45-day rule for death pension.
This proposal is anticipated to increase pension costs $649 thousand in
2004.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-0154-0-1-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Personnel compensation:
11.1 Full-time permanent............. 79 86 87
11.5 Other personnel compensation.... 3 2 2
--------- --------- ----------
11.9 Total personnel compensation.. 82 88 89
12.1 Civilian personnel benefits....... 20 19 19
21.0 Travel and transportation of
persons......................... 1 2 2
23.2 Rental payments to others......... 1 1 1
23.3 Communications, utilities, and
miscellaneous charges........... 16 17 17
24.0 Printing and reproduction......... 1
25.2 Other services.................... 26 22 16
26.0 Supplies and materials............ 2 2 1
31.0 Equipment......................... 4 3 3
32.0 Land and structures............... 2 3 3
42.0 Insurance claims and indemnities.. 3,177 3,300 3,391
--------- --------- ----------
99.9 Total new obligations........... 3,332 3,457 3,542
---------------------------------------------------------------------------
Personnel Summary
----------------------------------------------------------------------------
Identification code 36-0154-0-1-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Direct:
Total compensable workyears:
1001 Civilian full-time equivalent
employment.................... 1,791 1,752 1,752
---------------------------------------------------------------------------
Pensions
(Legislative proposal, subject to PAYGO)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-0154-4-1-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
01.01 Eliminate 45 day rule............. 1
--------- --------- ----------
02.92 Total pensions.................. 1
--------- --------- ----------
10.00 Total new obligations (object
class 42.0)................... 1
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 1
23.95 Total new obligations............. -1
----------------------------------------------------------------------------
New budget authority (gross), detail:
Mandatory:
60.00 Appropriation................... 1
----------------------------------------------------------------------------
Change in obligated balances:
73.10 Total new obligations............. 1
73.20 Total outlays (gross)............. -1
----------------------------------------------------------------------------
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 1
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 1
90.00 Outlays........................... 1
---------------------------------------------------------------------------
Burial Benefits
For the burial benefits program administered by the Department of
Veterans Affairs, $422,172,000, which shall be available as follows:
(1) For the provision of burial benefits and payments as authorized
by law, $157,253,000. In addition, for making payments after June 30 for
the burial benefits program administered by the Department, such sums as
may be necessary;
(2) For operating expenses for the provision of burial benefits, for
administrative expenses of the National Cemetery Administration, and for
cemeterial expenses, including purchase of eight passenger motor
vehicles, $264,919,000; of which no more than $32,000,000, to remain
available until expended, is for grants to aid States in establishing,
expanding, or improving State veterans cemeteries, as authorized by 38
U.S.C. 2408; and of which no more than $76,857,000 for construction.
(38 U.S.C. 107, chapters 23, 51, 53 55, and 61).
Note.--A regular 2003 appropriation for this account had not been
enacted at the time the budget was prepared; therefore, this account is
operating under a continuing resolution (P.L. 107-229, as amended). The
amounts included for 2003 in this budget reflect the Administration's
2003 policy proposals.
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-0129-0-1-700 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
01.01 Burial allowance.................. 35 35 36
01.02 Burial plots...................... 15 20 20
01.03 Service-connected deaths.......... 17 21 21
01.04 Burial flags...................... 20 20 21
01.05 Headstones and markers............ 32 34 35
01.06 Graveliners....................... 11 10 10
01.07 Pre-placed crypts................. 4 17 14
--------- --------- ----------
01.91 Total burial benefits........... 134 157 157
02.01 Administrative expenses........... 137 145 156
02.02 Construction, major projects...... 42 68 55
02.03 Construction, minor projects...... 19 25 16
02.04 Grants to states.................. 41 32 33
--------- --------- ----------
02.91 Total other direct expenses..... 239 270 260
--------- --------- ----------
10.00 Total new obligations........... 373 427 417
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 116 129 112
22.00 New budget authority (gross)...... 386 410 422
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 502 539 534
23.95 Total new obligations............. -373 -427 -417
24.40 Unobligated balance carried
forward, end of year............ 129 112 117
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 252 253 265
Mandatory:
60.00 Appropriation................... 134 157 157
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 386 410 422
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 110 132 171
73.10 Total new obligations............. 373 427 417
73.20 Total outlays (gross)............. -348 -388 -414
73.40 Adjustments in expired accounts
(net)........................... -2
74.40 Obligated balance, end of year.... 132 171 175
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 120 127 137
86.93 Outlays from discretionary
balances........................ 94 104 120
86.97 Outlays from new mandatory
authority....................... 134 157 157
--------- --------- ----------
87.00 Total outlays (gross)........... 348 388 414
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 386 410 422
90.00 Outlays........................... 349 388 414
----------------------------------------------------------------------------
Additional net budget authority and outlays to cover cost of fully accruing
retirement:
99.00 Budget authority.................. 5 5
99.01 Outlays........................... 5 5
---------------------------------------------------------------------------
[[Page 825]]
Summary of Budget Authority and Outlays
(in millions of dollars)
2002 actual 2003 est. 2004 est.
Enacted/requested:
Budget Authority.................. 386 410 422
Outlays........................... 348 388 414
Legislative proposal, subject to
PAYGO:
Budget Authority.................. 5
Outlays........................... 5
------------------------------------
Total:
Budget Authority.................. 386 410 427
Outlays........................... 348 388 419
====================================
The Department of Veterans Affairs administers a range of burial
programs to benefit eligible veterans and family members. The
responsibility for these programs is divided between two VA
organizations. Most monetary benefits and the burial flags program are
administered by the Veterans Benefits Administration (VBA). Cemetery
programs and other in-kind benefits are administered by the National
Cemetery Administration (NCA). Funding for the provision of burial
benefits and services in VA is provided from the Burial Appropriation
and the National Cemetery Gift Fund.
The mandatory request in this appropriation provides burial benefits
for: (a) the payment of an allowance of $300 (plus transportation
charges where death occurs under VA care) to reimburse, in part, the
burial and funeral expense of an eligible deceased veteran; (b) the
payment of $300 for a plot allowance where an eligible veteran is not
buried in a national cemetery or other cemetery under the jurisdiction
of the United States; (c) the payment of a burial allowance up to $2,000
when a veteran dies as the result of service-connected disability; (d)
furnishing a flag to drape the casket of each deceased veteran entitled
thereto; (e) furnishing a headstone or marker for the grave of a veteran
and, in certain cases, eligible dependents; and (f) authority to provide
outer burial receptacles in the National Cemetery Administration.
The discretionary request in this appropriation provides for the
corporate leadership and support to VA's Burial business line and for
four related programs managed by the National Cemetery Administration
including: (1) burying eligible veterans and family members in national
cemeteries and maintaining the graves and their environs as national
shrines; (2) providing aid to States in establishing, expanding, or
improving State veterans cemeteries; (3) providing headstones and
markers for the graves of eligible persons in national, state, and
private cemeteries; and (4) providing presidential memorial certificates
to family and friends of deceased veterans, recognizing the veteran's
contribution and service to the Nation. Additionally, funding is
provided for capital asset investments.
NUMBER OF BURIAL BENEFITS
2002 actual 2003 est. 2004 est.
Burial allowance.................... 82,798 83.713 84,346
Burial plot......................... 67,027 67,768 68,281
Service-connected death............. 11,978 10,425 10,631
Burial flags........................ 560,466 545,818 559,463
Headstone markers................... 365,981 322,100 323,000
Graveliners......................... 50,958 49,041 48,571
Preplaced crypts.................... 10,097 57,100 45,600
Specific performance goals relating to the Burial business line are
contained in VA's annual performance plan. The mission of the National
Cemetery Administration is to honor veterans with a final resting place
and lasting memorials that commemorate their service to our Nation. The
National Cemetery Administration's vision is to provide a lasting
tribute to our Nation's veterans by being mission-driven, results-
oriented, and customer-focused. The National Cemetery Administration
also reflects budget information for the National Cemetery Gift Fund.
Through this Trust Fund, the Secretary is authorized to accept gifts and
bequests which are made for the purpose of beautifying national
cemeteries or are determined to be beneficial to such cemeteries, or are
made for the purpose of the operation, maintenance, or improvement of
the National Memorial Cemetery of Arizona.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-0129-0-1-700 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Personnel compensation:
11.1 Full-time permanent............. 55 59 64
11.3 Other than full-time permanent.. 5 5 5
--------- --------- ----------
11.9 Total personnel compensation.. 60 64 69
12.1 Civilian personnel benefits....... 16 17 18
13.0 Benefits for former personnel..... 2 2 2
21.0 Travel and transportation of
persons......................... 2 2 2
22.0 Transportation of things.......... 1 1 1
23.1 Rental payments to GSA............ 1 1 1
23.3 Communications, utilities, and
miscellaneous charges........... 5 6 6
25.2 Other services.................... 42 38 41
26.0 Supplies and materials............ 6 7 8
31.0 Equipment......................... 3 9 13
32.0 Land and structures............... 60 91 66
41.0 Grants, subsidies, and
contributions................... 41 32 33
42.0 Insurance claims and indemnities.. 134 157 157
--------- --------- ----------
99.9 Total new obligations........... 373 427 417
---------------------------------------------------------------------------
Personnel Summary
----------------------------------------------------------------------------
Identification code 36-0129-0-1-700 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Direct:
Total compensable workyears:
1001 Civilian full-time equivalent
employment.................... 1,633 1,694 1,765
---------------------------------------------------------------------------
Burial Benefits
(Legislative proposal, subject to PAYGO)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-0129-4-1-700 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
01.05 Headstones and markers............ 5
--------- --------- ----------
10.00 Total new obligations (object
class 42.0)................... 5
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 5
23.95 Total new obligations............. -5
----------------------------------------------------------------------------
New budget authority (gross), detail:
Mandatory:
60.00 Appropriation................... 5
----------------------------------------------------------------------------
Change in obligated balances:
73.10 Total new obligations............. 5
73.20 Total outlays (gross)............. -5
----------------------------------------------------------------------------
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 5
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 5
90.00 Outlays........................... 5
---------------------------------------------------------------------------
The Administration will transmit legislation that would amend the
effective date of eligibility for receiving a Government headstone or
marker for a veteran's grave in a private cemetery regardless of whether
or not it is already marked from September 11, 2001 to November 1, 1990.
The Administration will transmit legislation that would allow states
to receive a burial plot allowance for all veterans buried at no cost in
a state veterans cemetery.
[[Page 826]]
Public enterprise funds:
Service-Disabled Veterans Insurance Fund
Unavailable Collections (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4012-0-3-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
01.99 Balance, start of year............ 19 15 10
Appropriations:
05.00 Service-disabled veterans
insurance fund.................. -4 -5 -6
--------- --------- ----------
07.99 Balance, end of year.............. 15 10 4
---------------------------------------------------------------------------
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4012-0-3-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
09.01 Capital investment................ 11 11 11
09.02 Death Claims...................... 44 45 47
09.03 All Other......................... 8 9 8
--------- --------- ----------
10.00 Total new obligations........... 63 65 66
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 63 65 66
23.95 Total new obligations............. -63 -65 -66
----------------------------------------------------------------------------
New budget authority (gross), detail:
Mandatory:
69.00 Offsetting collections (cash)... 58 60 61
69.26 From offsetting collections
(unavailable balances)........ 4 5 6
--------- --------- ----------
69.90 Spending authority from
offsetting collections
(total mandatory)........... 63 65 66
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 7 8 7
73.10 Total new obligations............. 63 65 66
73.20 Total outlays (gross)............. -62 -65 -66
74.40 Obligated balance, end of year.... 8 7 7
----------------------------------------------------------------------------
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 58 60 61
86.98 Outlays from mandatory balances... 4 5 5
--------- --------- ----------
87.00 Total outlays (gross)........... 62 65 66
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash)
from:
88.00 Federal sources: Insurance
account..................... -19 -21 -21
Non-Federal sources:
88.40 Interest on loans........... -3 -3 -3
88.40 Insurance premiums earned... -24 -24 -24
88.40 Repayments of loans......... -12 -12 -12
--------- --------- ----------
88.90 Total, offsetting
collections (cash)........ -58 -60 -61
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 4 5 6
90.00 Outlays........................... 3 6 6
---------------------------------------------------------------------------
This fund finances the payment of claims on nonparticipating life
insurance policies issued and currently is open for new issues to
veterans having service-connected disabilities. The program provides
insurance coverage for service-disabled veterans at standard rates.
Operating costs--
Death claims.--Represents payments to designated beneficiaries.
All other.--Represents payments to policyholders who surrender
their policies for their cash value and hold endowment policies
which have matured.
Capital investment.--A policyholder may borrow up to 94 percent of
the value of his policy.
The trend in the number and amount of policies in force is indicated
in the following table.
POLICIES AND INSURANCE IN FORCE
2002 actual 2003 est. 2004 est.
Number of policies.................. 148,913 145,953 142,190
Insurance in force (dollars in
millions)........................... $1,414 $1,385 $1,355
Financing.--Operations are financed from premiums and other
receipts. Additional funds are received by transfer from the veterans'
insurance and indemnities appropriation, instead of direct
appropriations to this fund.
Operating results and financial condition.--Since premium and other
receipts are insufficient to cover operations, the fund continues to
project liabilities in excess of assets. The deficit is expected to
reach an estimated $463 million by September 30, 2004.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4012-0-3-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
33.0 Investments and loans............. 11 11 11
42.0 Insurance claims and indemnities.. 52 54 55
--------- --------- ----------
99.9 Total new obligations........... 63 65 66
---------------------------------------------------------------------------
Veterans Reopened Insurance Fund
Unavailable Collections (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4010-0-3-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
01.99 Balance, start of year............ 440 425 407
Appropriations:
05.00 Veterans reopened insurance fund.. -15 -18 -21
--------- --------- ----------
07.99 Balance, end of year.............. 425 407 386
---------------------------------------------------------------------------
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4010-0-3-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
09.01 Death claims...................... 38 39 40
09.02 Dividends......................... 19 17 15
09.03 All other......................... 9 9 8
09.04 Capital investment: policy loans.. 2 2 3
--------- --------- ----------
10.00 Total new obligations........... 68 67 66
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 68 67 66
23.95 Total new obligations............. -68 -67 -66
----------------------------------------------------------------------------
New budget authority (gross), detail:
Mandatory:
69.00 Offsetting collections (cash)... 53 49 45
69.26 From offsetting collections
(unavailable balances)........ 15 18 21
--------- --------- ----------
69.90 Spending authority from
offsetting collections
(total mandatory)........... 68 67 66
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 48 50 51
73.10 Total new obligations............. 68 67 66
73.20 Total outlays (gross)............. -66 -67 -66
74.40 Obligated balance, end of year.... 50 51 53
----------------------------------------------------------------------------
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 45 49 45
86.98 Outlays from mandatory balances... 21 18 21
--------- --------- ----------
87.00 Total outlays (gross)........... 66 67 66
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash)
from:
88.00 Federal sources: interest on
U.S. securities............. -35 -32 -30
Non-Federal sources:
88.40 Interest on loans........... -1 -1 -1
88.40 Insurance premiums earned... -11 -11 -10
88.40 Repayments of loans......... -6 -5 -4
--------- --------- ----------
88.90 Total, offsetting
collections (cash)........ -53 -49 -45
----------------------------------------------------------------------------
[[Page 827]]
Net budget authority and outlays:
89.00 Budget authority.................. 15 18 21
90.00 Outlays........................... 13 18 21
----------------------------------------------------------------------------
Memorandum (non-add) entries:
92.01 Total investments, start of year:
Federal securities: Par value... 488 475 450
92.02 Total investments, end of year:
Federal securities: Par value... 475 450 450
---------------------------------------------------------------------------
Note.--The Department of Veterans Affairs insurance policy loans are
not an extension of Federal credit. Credit schedules previously shown
for this account have been discontinued.
This fund pays claims and administrative costs on participating life
insurance policies issued during the period May 1, 1965, through May 2,
1966, under three life insurance programs: (1) service-disabled standard
insurance; (2) service-disabled rated insurance; and (3) nonservice
disabled insur- ance availing disabled World War II and Korean conflict
veterans an opportunity to acquire life insurance coverage who were no
longer eligible for other Government insurance.
Budget program--
Death claims.--Represents payments to designated beneficiaries.
Dividends.--Policyholders participate in the distribution of
annual dividends.
All other.--This represents resources for the administrative
costs of processing claims and maintaining the accounts, and to
those policyholders who: (a) surrender their policies for cash
value; (b) hold endowment policies which have matured; and (c) have
purchased total disability income coverage and subsequently become
disabled.
Policy loans made.--A policyholder may borrow up to 94 percent
of the cash value of his policy at an interest rate adjusted to
reflect private sector borrowing costs.
The following table reflects the decrease in the number of
policies and the amount of insurance in force:
POLICIES AND INSURANCE IN FORCE
2002 actual 2003 est. 2004 est.
Number of policies................ 67,531 62,500 57,450
Insurance in force (dollars in
millions)....................... $587 $556 $519
Financing.--Operations are financed from premiums collected from
policyholders and interest on investments. Excess earnings of the fund
are now distributed to the policyholders in the form of an annual
dividend.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4010-0-3-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
33.0 Investments and loans............. 4 4 4
42.0 Insurance claims and indemnities.. 40 41 40
43.0 Interest and dividends............ 24 22 22
--------- --------- ----------
99.9 Total new obligations........... 68 67 66
---------------------------------------------------------------------------
Servicemembers' Group Life Insurance Fund
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4009-0-3-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
09.01 Premium payments.................. 638 634 532
09.02 Reimbursable program.............. 1 1 1
--------- --------- ----------
10.00 Total new obligations (object
class 41.0)................... 639 635 533
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 1 1 1
22.00 New budget authority (gross)...... 639 634 532
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 640 635 533
23.95 Total new obligations............. -639 -635 -533
24.40 Unobligated balance carried
forward, end of year............ 1 1
----------------------------------------------------------------------------
New budget authority (gross), detail:
Mandatory:
69.00 Offsetting collections (cash)... 639 634 532
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 5 5 5
73.10 Total new obligations............. 639 635 533
73.20 Total outlays (gross)............. -639 -634 -532
74.40 Obligated balance, end of year.... 5 5 5
----------------------------------------------------------------------------
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 634 629 527
86.98 Outlays from mandatory balances... 5 5 5
--------- --------- ----------
87.00 Total outlays (gross)........... 639 634 532
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
88.40 Offsetting collections (cash)
from: Non-Federal sources:
Withholdings from serviceman's
pay........................... -639 -634 -532
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority..................
90.00 Outlays...........................
----------------------------------------------------------------------------
Memorandum (non-add) entries:
92.01 Total investments, start of year:
Federal securities: Par value... 5 5 5
92.02 Total investments, end of year:
Federal securities: Par value... 5 5 5
---------------------------------------------------------------------------
This fund finances the payment of group life insurance premiums to
private insurance companies under the Servicemembers' Group Life
Insurance Act of 1965, as amended.
Credit accounts:
Housing Program Account
(including transfer of funds)
For the cost of direct and guaranteed loans, such sums as may be
necessary to carry out the program, as authorized by 38 U.S.C. chapter
37, subchapters I-III, as amended: Provided, That such costs, including
the cost of modifying such loans, shall be as defined in section 502 of
the Congressional Budget Act of 1974, as amended: Provided further, That
during fiscal year 2004, not to exceed $300,000 in gross obligations for
direct loans for specially adapted housing loans, 38 U.S.C 3711(i).
For the cost of the benefits authorized by 38 U.S.C. 2101, such sums
as may be necessary.
For operating expenses associated with the housing program as
authorized by 38 U.S.C., chapters 21 and 37, $158,541,000 to carry out
the grant program and direct and guaranteed loan programs, of which
$4,746,000 may be transferred to and merged with the appropriation,
``General Administration'';` and of which no more than $1,728,000 is
available for construction: Provided, That of the amount provided for
housing operating expenses, (1) $1,400,000 is for administering the
Transitional Housing program as authorized by 38 U.S.C. chapter 20,
subchapter VI; and (2) $563,000 is for administering the Native American
Housing program as authorized by 38 U.S.C. chapter 37, subchapter V, as
amended.
Note.--A regular 2003 appropriation for this account had not been
enacted at the time the budget was prepared; therefore, this account is
operating under a continuing resolution (P.L. 107-229, as amended). The
amounts included for 2003 in this budget reflect the Administration's
2003 policy proposals.
General Fund Credit Receipt Accounts (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-1119-0-1-704 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
0101 GIF direct loans, downward
reestimate of subsidies......... 1,798 878
0102 Negative subsidies/subsidy
reestimates..................... 5
---------------------------------------------------------------------------
[[Page 828]]
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-1119-0-1-704 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Direct loan subsidy............... 10 10 40
00.02 Guaranteed loan subsidy........... 194 306 275
00.05 Reestimates of direct loan subsidy 17 277
00.06 Interest on reestimates of the
direct loan subsidy............. 3 229
00.07 Reestimates of guaranteed loan
subsidy......................... 417 218
00.08 Interest on reestimates of the
guaranteed loan subsidy......... 114 27
00.09 Specialty Adapted Housing Grant
Program......................... 25 25 25
00.10 Administrative expenses........... 165 169 157
--------- --------- ----------
00.91 Direct Program by Activities--
Subtotal (1 level)............ 945 1,261 497
01.12 Construction, minor projects...... 2 2 2
--------- --------- ----------
10.00 Total new obligations........... 947 1,263 499
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 52 51 41
22.00 New budget authority (gross)...... 947 1,253 490
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 999 1,304 531
23.95 Total new obligations............. -947 -1,263 -499
24.40 Unobligated balance carried
forward, end of year............ 51 41 32
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 168 171 159
Mandatory:
60.00 Appropriation................... 779 1,082 331
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 947 1,253 490
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 22 3 40
73.10 Total new obligations............. 947 1,263 499
73.20 Total outlays (gross)............. -966 -1,227 -502
74.40 Obligated balance, end of year.... 3 40 38
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 165 140 130
86.93 Outlays from discretionary
balances........................ 22 31
86.97 Outlays from new mandatory
authority....................... 779 1,082 331
86.98 Outlays from mandatory balances... 5 10
--------- --------- ----------
87.00 Total outlays (gross)........... 966 1,227 502
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 947 1,253 490
90.00 Outlays........................... 967 1,227 502
----------------------------------------------------------------------------
Additional net budget authority and outlays to cover cost of fully accruing
retirement:
99.00 Budget authority.................. 8 8 8
99.01 Outlays........................... 8 8 8
---------------------------------------------------------------------------
Summary of Budget Authority and Outlays
(in millions of dollars)
2002 actual 2003 est. 2004 est.
Enacted/requested:
Budget Authority.................. 947 1,253 490
Outlays........................... 966 1,227 502
Legislative proposal, not subject to
PAYGO:
Budget Authority.................. 48
Outlays........................... 10
Legislative proposal, subject to
PAYGO:
Budget Authority..................
Outlays........................... -5
------------------------------------
Total:
Budget Authority.................. 947 1,253 538
Outlays........................... 966 1,227 507
====================================
Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
----------------------------------------------------------------------------
Identification code 36-1119-0-1-704 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Direct loan levels supportable by subsidy
budget authority:
115001Acquired and Vendee Loans......... 1,051 311 284
115002Native American Direct Loan Levels 5 3 3
115003Transitional Housing Direct Loan
Levels.......................... 20 20
--------- --------- ----------
115901Total direct loan levels.......... 1,056 334 307
Direct loan subsidy (in percent):
132001Acquired and Vendee Loans......... 0.86 -1.39 10.88
132002Native American Direct Loan Levels -6.72 -8.96 0.28
132003Transitional Housing Direct Loan
Levels.......................... 0.00 48.25 48.25
--------- --------- ----------
132901Weighted average subsidy rate..... 0.85 1.80 13.36
Direct loan subsidy budget authority:
133001Acquired and Vendee Loans......... 9 -4 31
133002Native American Direct Loan Levels
133003Transitional Housing Direct Loan
Levels.......................... 10 10
--------- --------- ----------
133901Total subsidy budget authority.... 9 6 41
Direct loan subsidy outlays:
134001Acquired and Vendee Loans......... 10 -4 31
134002Native American Direct Loan Levels
134003Transitional Housing Direct Loan
Levels.......................... 5 10
--------- --------- ----------
134901Total subsidy outlays............. 10 1 41
Direct loan upward reestimate subsidy budget
authority:
135001Acquired and Vendee Loans......... 20 506
--------- --------- ----------
135901Total upward reestimate budget
authority....................... 20 506
Direct loan upward reestimate subsidy outlays:
136001Acquired and Vendee Loans......... 20 506
--------- --------- ----------
136901Total upward reestimate outlays... 20 506
Direct loan downward reestimate subsidy budget
authority:
137001Acquired and Vendee Loans......... -1,068 -308
137002Native American Direct Loan Levels -2 -4
--------- --------- ----------
137901Total downward reestimate budget
authority....................... -1,070 -312
Direct loan downward reestimate subsidy
outlays:
138001Acquired and Vendee Loans......... -1,068 -308
138002Native American Direct Loan Levels -2 -4
--------- --------- ----------
138901Total downward reestimate subsidy
outlays......................... -1,070 -312
----------------------------------------------------------------------------
Guaranteed loan levels supportable by subsidy
budget authority:
215001Veterans Housing Benefit Program.. 37,071 34,800 35,248
215002Guaranteed Loan Sale Securities... 967 471
--------- --------- ----------
215901Total loan guarantee levels....... 38,038 35,271 35,248
Guaranteed loan subsidy (in percent):
232001Veterans Housing Benefit Program.. 0.39 0.81 0.78
232002Guaranteed Loan Sale Securities... 5.05 5.06 0.00
--------- --------- ----------
232901Weighted average subsidy rate..... 0.51 0.87 0.78
Guaranteed loan subsidy budget authority:
233001Veterans Housing Benefit Program.. 145 282 275
233002Guaranteed Loan Sale Securities... 49 24
--------- --------- ----------
233901Total subsidy budget authority.... 194 306 275
Guaranteed loan subsidy outlays:
234001Veterans Housing Benefit Program.. 145 282 275
234002Guaranteed Loan Sale Securities... 49 24
--------- --------- ----------
234901Total subsidy outlays............. 194 306 275
Guaranteed loan upward reestimate subsidy
budget authority:
235001Veterans Housing Benefit Program.. 532 245
--------- --------- ----------
235901Total upward reestimate budget
authority....................... 532 245
Guaranteed loan upward reestimate subsidy
outlays:
236001Veterans Housing Benefit Program.. 532 245
--------- --------- ----------
236901Total upward reestimate subsidy
outlays......................... 532 245
Guaranteed loan downward reestimate subsidy
budget authority:
237001Veterans Housing Benefit Program.. -727 -568
--------- --------- ----------
237901Total downward reestimate subsidy
budget authority................ -727 -568
Guaranteed loan downward reestimate subsidy
outlays:
238001Veterans Housing Benefit Program.. -727 -568
--------- --------- ----------
238901Total downward reestimate subsidy
outlays......................... -727 -568
----------------------------------------------------------------------------
[[Page 829]]
Administrative expense data:
351001Budget authority.................. 168 171 159
359001Outlays from new authority........ 168 171 159
---------------------------------------------------------------------------
As required by the Federal Credit Reform Act of 1990, this account
records, for these programs, the subsidy costs associated with the
direct loans obligated and loan guarantees committed in 1992 and beyond,
(including modifications of direct loans or loan guarantees that
resulted from obligations or commitments in any year) as well as for the
administrative expenses of this program. The subsidy amounts are
estimated on a net present value basis.
Veterans housing benefit program fund program account.--The Federal
guaranty for this program protects lenders against the following types
of losses: (a) for loans of $45,000 or less, 50 percent of the loan is
guaranteed; (b) for loans greater than $45,000, but not more than
$56,250, $22,500; (c) for loans more than $56,250, but less than
$144,000, the lesser of $36,000 or 40 percent of the loan; or (d) for
loans greater than $144,000, the lesser of $60,000 or 25 percent of the
loan.
Native American veterans housing loan program account.--The Native
American Veterans Housing Loan program provides direct loans to veterans
living on trust lands under 38 U.S.C. chapter 37, section 3761. These
loans are available to purchase, construct or improve homes to be
occupied as the veteran's residence. The principal amount of a loan
under this authority is generally limited to $80,000, except in areas
where housing costs are significantly higher than average costs
nationwide. This is a pilot program that began in 1993 and is authorized
through December 31, 2005.
Guaranteed transitional housing loans for homeless veterans program
account.--Public Law 105-368, the ``Veterans Benefits Improvement Act of
1998,'' established a pilot project designed to expand the supply of
transitional housing for homeless veterans and to guarantee up to 15
investment loans with a maximum aggregate value of $100 million. The
project must enforce sobriety standards and provide a wide range of
supportive services such as counseling for substance abuse and job
readiness skills. Residents will be required to pay a reasonable fee.
The Administration will transmit legislation that will convert the
program from a mandatory loan program to a discretionary grant program
in order to improve service to veterans subject to Congressional
authorization.
Specially adapted housing grants.--Specially adapted housing grants,
up to a maximum of $48,000, are provided to certain severely disabled
veterans. Veterans who suffer service-connected blindness or who have
lost the use of both upper extremities can receive up to $8,250. The
following table shows caseload for this program. Specific performance
goals are contained in VA's annual performance plan.
Legislation is proposed to extend VA's authority to sell and/or
lease acquired properties to government agencies, nonprofit
organizations and veteran service organizations to use in providing
services primarily to homeless veterans. The provision allowing VA to
sell and/or lease these properties expires December 31, 2003.
CASELOAD AND AVERAGE COST DATA
2002 actual 2003 est. 2004 est.
Housing grants:
Number of housing grants.......... 575 600 600
Average cost per grant............ $42,000 $42,000 $42,000
------------------------------------
Total cost (in millions)...... $24 $25 $25
====================================
The discretionary request in this appropriation provides for the
corporate leadership and operational support to VA's housing business
line. Additionally, funding is provided for capital asset investments.
The Housing program facilitates the extension of private capital, on
more liberal terms than generally available to nonveterans, to: assist
veterans and servicepersons in obtaining housing credits; provide grants
to aid permanently and totally disabled veterans in acquiring specially
adapted housing; and assist veterans in retaining their homes during
periods of temporary economic difficulty through intensive supplemental
mortgage loan servicing.
WORKLOAD
[In thousands]
2002 actual 2003 est. 2004 est.
Construction and valuation........ 267 310 320
Loan processing................... 832 750 750
Loan service and claims........... 328 340 340
Property management............... 39 41 42
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-1119-0-1-704 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Personnel compensation:
11.1 Full-time permanent............. 89 81 81
11.5 Other personnel compensation.... 1 1 1
--------- --------- ----------
11.9 Total personnel compensation.. 90 82 82
12.1 Civilian personnel benefits....... 24 20 20
21.0 Travel and transportation of
persons......................... 2 3 2
23.1 Rental payments to GSA............ 6
23.2 Rental payments to others......... 1 3 3
23.3 Communications, utilities, and
miscellaneous charges........... 3 15 16
24.0 Printing and reproduction......... 1
25.2 Other services.................... 35 40 30
26.0 Supplies and materials............ 1 1 1
31.0 Equipment......................... 3 4 3
32.0 Land and structures............... 2 2 2
41.0 Grants, subsidies, and
contributions................... 780 1,092 340
--------- --------- ----------
99.9 Total new obligations........... 947 1,263 499
---------------------------------------------------------------------------
Personnel Summary
----------------------------------------------------------------------------
Identification code 36-1119-0-1-704 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Direct:
Total compensable workyears:
1001 Civilian full-time equivalent
employment.................... 1,718 1,519 1,446
Reimbursable:
2001 Total compensable workyears:
Civilian full-time equivalent
employment......................
---------------------------------------------------------------------------
Housing Program Account
(Legislative proposal, not subject to PAYGO)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-1119-2-1-704 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
08.89 Grants............................ 48
--------- --------- ----------
10.00 Total new obligations (object
class 41.0)................... 48
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 48
23.95 Total new obligations............. -48
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 48
----------------------------------------------------------------------------
Change in obligated balances:
73.10 Total new obligations............. 48
73.20 Total outlays (gross)............. -10
74.40 Obligated balance, end of year.... 38
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 10
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 48
[[Page 830]]
90.00 Outlays........................... 10
----------------------------------------------------------------------------
Additional net budget authority and outlays to cover cost of fully accruing
retirement:
99.00 Budget authority..................
99.01 Outlays...........................
---------------------------------------------------------------------------
Housing Program Account
(Legislative proposal, subject to PAYGO)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-1119-4-1-704 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Direct loan subsidy............... -10
--------- --------- ----------
10.00 Total new obligations (object
class 41.0)................... -10
----------------------------------------------------------------------------
Budgetary resources available for obligation:
23.95 Total new obligations............. 10
24.40 Unobligated balance carried
forward, end of year............ 10
----------------------------------------------------------------------------
Change in obligated balances:
73.10 Total new obligations............. -10
73.20 Total outlays (gross)............. 5
74.40 Obligated balance, end of year.... -5
----------------------------------------------------------------------------
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... -5
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority..................
90.00 Outlays........................... -5
----------------------------------------------------------------------------
Additional net budget authority and outlays to cover cost of fully accruing
retirement:
99.00 Budget authority..................
99.01 Outlays...........................
---------------------------------------------------------------------------
The administration will transmit legislation that will convert the
guaranteed transitional housing loans for homeless veterans program from
a mandatory loan program to a discetionary grant program in order to
improve service to veterans subject to Congressional authorization.
Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
----------------------------------------------------------------------------
Identification code 36-1119-4-1-704 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Direct loan levels supportable by subsidy
budget authority:
115003Transitional Housing for Homeless
Veterans Direct Loans........... -20
--------- --------- ----------
115901Total direct loan levels.......... -20
Direct loan subsidy (in percent):
132003Transitional Housing for Homeless
Veterans Direct Loans........... -48.25
--------- --------- ----------
132901Weighted average subsidy rate..... -48.25
Direct loan subsidy budget authority:
133003Transitional Housing for Homeless
Veterans Direct Loans........... -10
--------- --------- ----------
133901Total subsidy budget authority.... -10
Direct loan subsidy outlays:
134003Transitional Housing for Homeless
Veterans Direct Loans........... -5
--------- --------- ----------
134901Total subsidy outlays............. -5
---------------------------------------------------------------------------
Housing Direct Loan Financing Account
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4127-0-3-704 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Direct loans...................... 1,051 311 284
00.02 Interest on Treasury borrowing.... 331 175 175
00.03 Property sales expense............ 3 3 3
00.04 Property management/other expense. -7 1 3
00.05 Property improvement expense...... 1 2 2
--------- --------- ----------
00.91 Direct Program by Activities--
Subtotal (1 level)............ 1,379 492 467
08.01 Payment of negative subsidy to
receipt account................. 4
08.02 Payment of downward reestimate to
receipt account................. 714 260
08.04 Payment of excess interest earned
to receipt account.............. 355 47
--------- --------- ----------
08.91 Direct Program by Activities--
Subtotal (1 level)............ 1,069 311
--------- --------- ----------
10.00 Total new obligations........... 2,448 803 467
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 45 227 742
22.00 New financing authority (gross)... 2,630 1,319 505
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 2,675 1,546 1,247
23.95 Total new obligations............. -2,448 -803 -467
24.40 Unobligated balance carried
forward, end of year............ 227 742 780
----------------------------------------------------------------------------
New financing authority (gross), detail:
Mandatory:
67.10 Authority to borrow............. 3,738 628 292
69.00 Offsetting collections (cash)..... 1,524 1,368 378
69.47 Portion applied to repay debt..... -2,632 -677 -165
--------- --------- ----------
69.90 Spending authority from
offsetting collections (total
mandatory).................... -1,108 691 213
--------- --------- ----------
70.00 Total new financing authority
(gross)....................... 2,630 1,319 505
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 52 78 27
73.10 Total new obligations............. 2,448 803 467
73.20 Total financing disbursements
(gross)......................... -2,421 -855 -478
74.40 Obligated balance, end of year.... 78 27 16
87.00 Total financing disbursements
(gross)......................... 2,421 855 478
----------------------------------------------------------------------------
Offsets:
Against gross financing authority and
financing disbursements:
Offsetting collections (cash)
from:
Federal sources:
88.00 Federal sources:Payments
from program account...... -29 -506 -31
88.00 Transfer of loan sales from
LSSA...................... -968 -470
Non-Federal sources:
Non-Federal sources:
88.40 Repayments of principal... -172 -223 -203
88.40 Interest received on loans -95 -150 -127
88.40 Fees...................... -16 -1
88.40 Downpayment on Vendee
loan/other.............. -26
88.40 Cash sale of properties... -21 -18 -17
88.40 Interest income--Treasury. -197
--------- --------- ----------
88.90 Total, offsetting
collections (cash)........ -1,524 -1,368 -378
----------------------------------------------------------------------------
Net financing authority and financing
disbursements:
89.00 Financing authority............... 1,106 -49 127
90.00 Financing disbursements........... 897 -513 100
---------------------------------------------------------------------------
Status of Direct Loans (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4127-0-3-704 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Position with respect to appropriations act
limitation on obligations:
1111 Limitation on direct loans........
1131 Direct loan obligations exempt
from limitation................. 1,051 311 284
--------- --------- ----------
1150 Total direct loan obligations... 1,051 311 284
----------------------------------------------------------------------------
Cumulative balance of direct loans
outstanding:
1210 Outstanding, start of year........ 1,782 1,601 1,217
1231 Disbursements: Direct loan
disbursements................... 1,051 311 284
Repayments:
1251 Repayments and prepayments...... -172 -223 -204
[[Page 831]]
1253 Proceeds from loan asset sales
to the public with recourse... -968 -471
Write-offs for default:
1263 Direct loans.................... -5 -1 -1
1264 Other adjustments, net.......... -87
--------- --------- ----------
1290 Outstanding, end of year........ 1,601 1,217 1,296
---------------------------------------------------------------------------
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 obligated in 1992 and beyond (including
modifications of direct loans that resulted from obligations in any
year). The amounts in this account are a means of financing and are not
included in the budget totals.
Balance Sheet (in millions of dollars)
-----------------------------------------------------------------------------------------------
Identification code 36-4127-0-3-704 2001 actual 2002 actual 2003 est. 2004 est.
-----------------------------------------------------------------------------------------------
ASSETS:
Federal assets:
1101 Fund balances with Treasury..... 133 305 270 292
Investments in US securities:
1106 Receivables, net.............. 506 140
Net value of assets related to
post-1991 direct loans
receivable:
1401 Direct loans receivable, gross.. 1,782 1,601 1,217 1,296
1402 Interest receivable............. 48 36 38
1403 Accounts receivable from
foreclosed property........... 1 1
1404 Foreclosed property............. 64
1405 Other assets.................... 1,102 847 432 519
------------ -------------- ------------ -------------
1499 Net present value of assets
related to direct loans..... 2,885 2,561 1,685 1,853
------------ -------------- ------------ -------------
1999 Total assets.................... 3,018 3,372 2,095 2,145
LIABILITIES:
Federal liabilities:
2101 Accounts payable................
2103 Debt............................ 1,878 2,984 2,095 2,145
2104 Resources payable to Treasury...
2105 Other........................... 1,140 388
2204 Non-Federal liabilities:
Liabilities for loan guarantees.
------------ -------------- ------------ -------------
2999 Total liabilities............... 3,018 3,372 2,095 2,145
------------ -------------- ------------ -------------
4999 Total liabilities and net position 3,018 3,372 2,095 2,145
-----------------------------------------------------------------------------------------------
Housing Guaranteed Loan Financing Account
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4129-0-3-704 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Acquisition of homes.............. 1,144 2,482 2,509
00.02 Losses on defaulted loans......... 299 356 398
00.03 Interest on Treasury borrowing.... 1 1 1
00.04 Reimburse DLFA for loan sales..... 970 471
00.05 Payment to trustee reserve........ 48 3
00.06 Reimburse Liquidating for
subordination certificate....... 33 30 25
00.07 Loan Sale Closing Costs........... 2 1
00.09 Property sales expense............ 79 188 192
00.10 Property management expense....... 60 135 138
00.11 Property improvement expense...... 16 72 74
00.12 Loans acquired.................... 272 270 273
--------- --------- ----------
00.91 Direct Program by Activities--
Subtotal (1 level)............ 2,924 4,009 3,610
08.02 Payment of downward reestimate to
receipt account................. 580 401
08.04 Payment of excess interest to
receipt account................. 147 166
--------- --------- ----------
08.91 Direct Program by Activities--
Subtotal (1 level)............ 727 567
--------- --------- ----------
10.00 Total new obligations........... 3,651 4,576 3,610
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 4,634 5,090 5,356
22.00 New financing authority (gross)... 4,107 4,842 4,166
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 8,741 9,932 9,522
23.95 Total new obligations............. -3,651 -4,576 -3,610
24.40 Unobligated balance carried
forward, end of year............ 5,090 5,356 5,912
----------------------------------------------------------------------------
New financing authority (gross), detail:
Mandatory:
69.00 Offsetting collections (cash)... 4,107 4,842 4,166
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 62 25 85
73.10 Total new obligations............. 3,651 4,576 3,610
73.20 Total financing disbursements
(gross)......................... -3,688 -4,516 -3,539
74.40 Obligated balance, end of year.... 25 85 156
87.00 Total financing disbursements
(gross)......................... 3,688 4,516 3,539
----------------------------------------------------------------------------
Offsets:
Against gross financing authority and
financing disbursements:
Offsetting collections (cash)
from:
Federal sources:
Federal sources:
88.00 Payments from program
account................. -724 -551 -275
88.00 Recoveries from DLFA...... -945 -270 -295
88.25 Interest on uninvested funds.. -295 -269 -300
Non-Federal sources:
Non-Federal sources:
88.40 Funding fees.............. -512 -589 -593
88.40 Cash sale of properties... -536 -2,638 -2,679
88.40 Redemption of properties
and other............... -18
88.40 Refunds from Trust........ -37
88.40 Subordinate certificate
deposits................ -33 -30 -24
88.45 Loan sale proceeds............ -1,007 -495
--------- --------- ----------
88.90 Total, offsetting
collections (cash)........ -4,107 -4,842 -4,166
----------------------------------------------------------------------------
Net financing authority and financing
disbursements:
89.00 Financing authority...............
90.00 Financing disbursements........... -419 -326 -627
---------------------------------------------------------------------------
Status of Guaranteed Loans (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4129-0-3-704 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Position with respect to appropriations act
limitation on commitments:
2111 Limitation on guaranteed loans
made by private lenders.........
2131 Guaranteed loan commitments exempt
from limitation................. 37,071 34,800 35,248
2132 Guaranteed loan commitments for
loan asset sales with recourse.. 970 471
--------- --------- ----------
2150 Total guaranteed loan
commitments................... 38,041 35,271 35,248
2199 Guaranteed amount of guaranteed
loan commitments................ 12,868 11,640 11,312
----------------------------------------------------------------------------
Cumulative balance of guaranteed loans
outstanding:
2210 Outstanding, start of year........ 227,705 257,828 284,664
2231 Disbursements of new guaranteed
loans........................... 37,071 34,800 35,247
2232 Guarantees of loans sold to the
public with recourse............ 970 471
2251 Repayments and prepayments........ -6,153 -5,596 -6,152
Adjustments:
2261 Terminations for default that
result in loans receivable.... -296 -355 -396
2262 Terminations for default that
result in acquisition of
property...................... -1,144 -2,482 -2,509
2263 Terminations for default that
result in claim payments...... -52 -2 -4
2264 Other adjustments, net.......... -273
--------- --------- ----------
2290 Outstanding, end of year........ 257,828 284,664 310,850
----------------------------------------------------------------------------
Memorandum:
2299 Guaranteed amount of guaranteed
loans outstanding, end of year.. 87,734 96,580 104,895
----------------------------------------------------------------------------
Addendum:
Cumulative balance of defaulted guaranteed
loans that result in loans receivable:
2310 Outstanding, start of year...... 344 872 1,087
2331 Disbursements for guaranteed
loan claims................... 296 355 396
2351 Repayments of loans receivable.. -21 -54 -67
2361 Write-offs of loans receivable.. -45 -86 -104
2364 Other adjustments, net.......... 298
--------- --------- ----------
2390 Outstanding, end of year...... 872 1,087 1,312
---------------------------------------------------------------------------
As required by the Federal Credit Reform Act of 1990, this non-
budgetary account records all cash flows to and from
[[Page 832]]
the Government resulting from loan guarantees committed in 1992 and
beyond, including modifications of guaranteed loans that resulted from
commitments in any year, and from the guarantee of loans sold through
the securitization programs. The amounts in this account are a means of
financing and are not included in the budget totals.
Balance Sheet (in millions of dollars)
-----------------------------------------------------------------------------------------------
Identification code 36-4129-0-3-704 2001 actual 2002 actual 2003 est. 2004 est.
-----------------------------------------------------------------------------------------------
ASSETS:
Federal assets:
1101 Fund balances with Treasury..... 4,696 5,113 5,355 5,973
Investments in US securities:
1106 Receivables, net.............. 594 255 272 301
Net value of assets related to
post-1991 acquired defaulted
guaranteed loans receivable:
1501 Defaulted guaranteed loans
receivable, gross............. 344 872 1,086 1,310
1502 Interest receivable............. 9
1504 Accounts receivable from
foreclosed property........... 830 9 10 11
1505 Other assets.................... 43 34 26 35
------------ -------------- ------------ -------------
1599 Net present value of assets
related to defaulted
guaranteed loans............ 1,226 915 1,122 1,356
------------ -------------- ------------ -------------
1999 Total assets.................... 6,516 6,283 6,749 7,630
LIABILITIES:
Federal liabilities:
2101 Federal liabilities: Debt....... 26 19
2105 Other liabilities............... 410 384 389
Non-Federal liabilities:
2201 Accounts payable................ 1,129 14 16 18
2204 Non-federal liabilities......... 5,361 5,840 6,349 7,223
------------ -------------- ------------ -------------
2999 Total liabilities............... 6,516 6,283 6,749 7,630
------------ -------------- ------------ -------------
4999 Total liabilities and net position 6,516 6,283 6,749 7,630
-----------------------------------------------------------------------------------------------
Housing Liquidating Account
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4025-0-3-704 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
Capital investments:
00.01 Acquisition of homes............ 53 42 38
00.02 Property improvements........... 3 3 3
00.03 Cash advances................... 2 2 2
00.04 Acquisition of defaulted
guaranteed loans.............. 12 14 11
00.05 Repurchase of loans sold........ 7
--------- --------- ----------
00.91 Total capital investments..... 77 61 54
--------- --------- ----------
01.00 Total capital investments....... 77 61 54
Operating expenses:
01.02 Property management expense..... 9 8 7
01.03 Sales expense................... 9 8 7
01.04 Claims processed................ 26 23
01.05 Other operating expenses........ -1
--------- --------- ----------
01.91 Total operating expenses...... 17 42 37
--------- --------- ----------
10.00 Total new obligations (object
class 33.0)................... 94 103 91
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 115 26
22.00 New budget authority (gross)...... 194 174 134
22.40 Capital transfer to general fund.. -189 -96 -42
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 120 104 92
23.95 Total new obligations............. -94 -103 -91
24.40 Unobligated balance carried
forward, end of year............ 26
----------------------------------------------------------------------------
New budget authority (gross), detail:
Mandatory:
69.00 Offsetting collections (cash)... 224 174 134
69.10 Change in uncollected customer
payments from Federal sources
(unexpired)................... -30
--------- --------- ----------
69.90 Spending authority from
offsetting collections
(total mandatory)........... 194 174 134
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. -23 4
73.10 Total new obligations............. 94 103 91
73.20 Total outlays (gross)............. -97 -107 -91
74.00 Change in uncollected customer
payments from Federal sources
(unexpired)..................... 30
74.40 Obligated balance, end of year.... 4
----------------------------------------------------------------------------
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 97 107 91
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash)
from:
88.00 Federal sources: Payments from
direct loan financing
account..................... -55 -40 -11
Non-Federal sources:
Non-Federal sources:
88.40 Loan and other repayments. -34 -30 -27
88.40 Sale of homes, cash....... -52 -47 -42
88.40 Interest on loans......... -29 -26 -24
88.40 Collection of claims...... -7 -2
88.40 Other revenues............ -54 -24 -28
--------- --------- ----------
88.90 Total, offsetting
collections (cash)........ -224 -174 -134
Against gross budget authority only:
88.95 Change in uncollected customer
payments from Federal sources
(unexpired)................... 30
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority..................
90.00 Outlays........................... -127 -67 -43
---------------------------------------------------------------------------
Status of Direct Loans (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4025-0-3-704 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Cumulative balance of direct loans
outstanding:
1210 Outstanding, start of year........ 128 149 119
1232 Disbursements: Purchase of loans
assets from the public.......... 7
1251 Repayments: Repayments and
prepayments..................... -34 -30 -27
1264 Write-offs for default: Other
adjustments, net................ 48
--------- --------- ----------
1290 Outstanding, end of year........ 149 119 92
---------------------------------------------------------------------------
Status of Guaranteed Loans (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4025-0-3-704 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Cumulative balance of guaranteed loans
outstanding:
2210 Outstanding, start of year........ 9,182 6,704 4,859
2251 Repayments and prepayments........ -2,413 -1,762 -1,277
Adjustments:
2261 Terminations for default that
result in loans receivable.... -12 -14 -11
2262 Terminations for default that
result in acquisition of
property...................... -53 -43 -38
2263 Terminations for default that
result in claim payments...... -26 -24
2264 Other adjustments, net..........
--------- --------- ----------
2290 Outstanding, end of year........ 6,704 4,859 3,509
----------------------------------------------------------------------------
Memorandum:
2299 Guaranteed amount of guaranteed
loans outstanding, end of year.. 3,012 2,155 1,526
----------------------------------------------------------------------------
Addendum:
Cumulative balance of defaulted guaranteed
loans that result in loans receivable:
2310 Outstanding, start of year...... 274 282 286
2331 Disbursements for guaranteed
loan claims................... 12 14 11
2361 Write-offs of loans receivable.. -4 -10 -8
2364 Other adjustments, net..........
--------- --------- ----------
2390 Outstanding, end of year...... 282 286 289
---------------------------------------------------------------------------
[[Page 833]]
Statement of Operations (in millions of dollars)
-----------------------------------------------------------------------------------------------
Identification code 36-4025-0-3-704 2001 actual 2002 actual 2003 est. 2004 est.
-----------------------------------------------------------------------------------------------
0101 Revenue........................... 140 112 89 72
0102 Expense........................... -140 -82 -90 -87
------------ -------------- ------------ -------------
0105 Net income or loss (-)............ 30 -1 -15
-----------------------------------------------------------------------------------------------
Balance Sheet (in millions of dollars)
-----------------------------------------------------------------------------------------------
Identification code 36-4025-0-3-704 2001 actual 2002 actual 2003 est. 2004 est.
-----------------------------------------------------------------------------------------------
ASSETS:
Federal assets:
1101 Fund balances with Treasury..... 29 26 24
Investments in US securities:
1106 Receivables, net.............. 128 6 5 4
1201 Non-Federal assets: Investments in
non-Federal securities, net..... 452 203 182 164
Net value of assets related to
post-1991 direct loans
receivable:
1401 Direct loans receivable, gross.. 149 119 92
1402 Interest receivable............. 92 83 75
------------ -------------- ------------ -------------
1499 Net present value of assets
related to direct loans..... 241 202 167
1901 Other Federal assets: Other assets -3 13 26
------------ -------------- ------------ -------------
1999 Total assets.................... 580 476 428 385
LIABILITIES:
2103 Federal liabilities: Debt......... 567 466 419 377
2207 Non-Federal liabilities: Other.... 13 10 9 8
------------ -------------- ------------ -------------
2999 Total liabilities............... 580 476 428 385
------------ -------------- ------------ -------------
4999 Total liabilities and net position 580 476 428 385
-----------------------------------------------------------------------------------------------
As required by the Federal Credit Reform Act of 1990, this account
records all cash flows to and from the Government resulting from direct
loans obligated and loan guarantees committed prior to 1992. All new
activity in this program in 1992 and beyond is recorded in the
corresponding program and financing accounts.
Native American and Transitional Housing Direct Loan Financing Account
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4130-0-3-704 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Direct loans...................... 6 13 23
00.03 Interest on Treasury borrowing.... 1 1 2
--------- --------- ----------
00.91 Direct Program by Activities--
Subtotal (1 level)............ 7 14 25
08.02 Payment of downward reestimate to
receipt account................. 2 4
--------- --------- ----------
10.00 Total new obligations........... 9 18 25
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 2
22.00 New financing authority (gross)... 11 16 25
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 11 18 25
23.95 Total new obligations............. -9 -18 -25
24.40 Unobligated balance carried
forward, end of year............ 2
----------------------------------------------------------------------------
New financing authority (gross), detail:
Mandatory:
67.10 Authority to borrow............. 9 10 13
Spending authority from offsetting
collections:
Discretionary:
68.00 Offsetting collections (cash). 6 8 15
68.47 Portion applied to repay debt. -4 -2 -3
--------- --------- ----------
68.90 Spending authority from
offsetting collections
(total discretionary)..... 2 6 12
--------- --------- ----------
70.00 Total new financing authority
(gross)....................... 11 16 25
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 1
73.10 Total new obligations............. 9 18 25
73.20 Total financing disbursements
(gross)......................... -9 -17 -24
74.40 Obligated balance, end of year.... 1 2
87.00 Total financing disbursements
(gross)......................... 9 17 24
----------------------------------------------------------------------------
Offsets:
Against gross financing authority and
financing disbursements:
Offsetting collections (cash)
from:
88.00 Federal sources............... -5 -10
88.25 Interest on uninvested funds.. -1
Non-Federal sources:
88.40 Non-federal sources--
Repayments and prepayments
of principal.............. -1 -1
88.40 Non-Federal sources--
Interest received on loans -1 -2 -4
88.40 Non-Federal sources--Fees...
88.40 Non-Federal sources--Other
income.................... -4
--------- --------- ----------
88.90 Total, offsetting
collections (cash)........ -6 -8 -15
----------------------------------------------------------------------------
Net financing authority and financing
disbursements:
89.00 Financing authority............... 5 8 10
90.00 Financing disbursements........... 3 9 9
---------------------------------------------------------------------------
Status of Direct Loans (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4130-0-3-704 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Position with respect to appropriations act
limitation on obligations:
1111 Limitation on direct loans........
1121 Limitation available from carry-
forward......................... 100 100 90
1131 Direct loan obligations exempt
from limitation................. 6 3 3
1143 Unobligated limitation carried
forward (P.L. 105-368).......... -100 -90 -70
--------- --------- ----------
1150 Total direct loan obligations... 6 13 23
----------------------------------------------------------------------------
Cumulative balance of direct loans
outstanding:
1210 Outstanding, start of year........ 19 18 30
1231 Disbursements: Direct loan
disbursements................... 6 13 23
1251 Repayments: Repayments and
prepayments..................... -1 -1 -2
1264 Write-offs for default: Other
adjustments, net................ -6
--------- --------- ----------
1290 Outstanding, end of year........ 18 30 51
---------------------------------------------------------------------------
Balance Sheet (in millions of dollars)
-----------------------------------------------------------------------------------------------
Identification code 36-4130-0-3-704 2001 actual 2002 actual 2003 est. 2004 est.
-----------------------------------------------------------------------------------------------
ASSETS:
Federal assets:
Investments in US securities:
1106 Receivables, net.............. 1 2
1107 Advances and prepayments...... 2 1 1
Net value of assets related to
post-1991 direct loans
receivable:
1401 Direct loans receivable, gross.. 19 18 30 51
1402 Interest receivable............. 5 6 7
------------ -------------- ------------ -------------
1499 Net present value of assets
related to direct loans..... 19 23 36 58
------------ -------------- ------------ -------------
1999 Total assets.................... 19 25 38 61
LIABILITIES:
Federal liabilities:
2101 Accounts payable................
2103 Federal liabilities debt........ 19 21 29 41
2105 Other liabilities............... 4 9 20
------------ -------------- ------------ -------------
2999 Total liabilities............... 19 25 38 61
------------ -------------- ------------ -------------
4999 Total liabilities and net position 19 25 38 61
-----------------------------------------------------------------------------------------------
This account contains information on the Native American Veterans
Housing Loan program and the Guaranteed Transitional Housing Loans for
Homeless Veterans program. The Transitional Housing loans are 100%
guaranteed and use the Federal Financing Bank (FFB) as the lending
institution. For budget purposes, all FFB loans shall be treated as
direct loans.
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 obligation in 1992
[[Page 834]]
and beyond. The amounts in the account are means of financing and are
not included in the budget totals.
Native American and Transitional Housing Direct Loan Financing Account
(Legislative proposal, subject to PAYGO)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4130-4-3-704 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Direct loans...................... -10
--------- --------- ----------
10.00 Total new obligations........... -10
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New financing authority (gross)... -10
23.95 Total new obligations............. 10
----------------------------------------------------------------------------
New financing authority (gross), detail:
Mandatory:
67.10 Authority to borrow............. -5
Discretionary:
68.00 Spending authority from
offsetting collections:
Offsetting collections (cash). -5
--------- --------- ----------
70.00 Total new financing authority
(gross)....................... -10
----------------------------------------------------------------------------
Change in obligated balances:
73.10 Total new obligations............. -10
73.20 Total financing disbursements
(gross)......................... 9
74.40 Obligated balance, end of year.... -1
87.00 Total financing disbursements
(gross)......................... -9
----------------------------------------------------------------------------
Offsets:
Against gross financing authority and
financing disbursements:
88.00 Offsetting collections (cash)
from: Federal sources......... 5
----------------------------------------------------------------------------
Net financing authority and financing
disbursements:
89.00 Financing authority............... -5
90.00 Financing disbursements........... -4
---------------------------------------------------------------------------
The administration will transmit legislation that will convert the
guaranteed transitional housing loans for homeless veterans program from
a mandatory loan program to a discretionary grant program in order to
improve service to veterans subject to Congressional authorization.
Status of Direct Loans (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4130-4-3-704 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Position with respect to appropriations act
limitation on obligations:
1111 Limitation on direct loans........
1121 Limitation available from carry-
forward.........................
1131 Direct loan obligations exempt
from limitation.................
1143 Unobligated limitation carried
forward (P.L. 105-368).......... -10
--------- --------- ----------
1150 Total direct loan obligations... -10
----------------------------------------------------------------------------
Cumulative balance of direct loans
outstanding:
1210 Outstanding, start of year........
1231 Disbursements: Direct loan
disbursements................... -10
1251 Repayments: Repayments and
prepayments.....................
Write-offs for default:
1263 Direct loans....................
1264 Other adjustments, net..........
--------- --------- ----------
1290 Outstanding, end of year........ -10
---------------------------------------------------------------------------
Balance Sheet (in millions of dollars)
-----------------------------------------------------------------------------------------------
Identification code 36-4130-4-3-704 2001 actual 2002 actual 2003 est. 2004 est.
-----------------------------------------------------------------------------------------------
ASSETS:
Federal assets:
Investments in US securities:
1106 Receivables, net.............. -1
1107 Advances and prepayments......
Net value of assets related to
post-1991 direct loans
receivable:
1401 Direct loans receivable, gross.. -10
1402 Interest receivable.............
------------ -------------- ------------ -------------
1499 Net present value of assets
related to direct loans..... -10
------------ -------------- ------------ -------------
1999 Total assets.................... -11
LIABILITIES:
Federal liabilities:
2101 Accounts payable................ -5
2103 Federal liabilities debt........ -6
2105 Other liabilities...............
------------ -------------- ------------ -------------
2999 Total liabilities............... -11
------------ -------------- ------------ -------------
4999 Total liabilities and net position -11
-----------------------------------------------------------------------------------------------
Vocational Rehabilitation and Education Loans Program Account
Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
----------------------------------------------------------------------------
Identification code 36-0140-0-1-702 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Direct loan levels supportable by subsidy
budget authority:
115001Vocational Rehabiliation.......... 3 3 4
115002Education Loans...................
--------- --------- ----------
115901Total direct loan levels.......... 3 3 4
Direct loan subsidy (in percent):
132001Vocational Rehabiliation.......... 2.18 1.50 1.33
132002Education Loans................... 0.00 6.49 0.00
--------- --------- ----------
132901Weighted average subsidy rate..... 0.00 0.00 0.00
Direct loan subsidy budget authority:
133001Vocational Rehabiliation..........
133002Education Loans...................
--------- --------- ----------
133901Total subsidy budget authority....
Direct loan subsidy outlays:
134001Vocational Rehabiliation..........
134002Education Loans...................
--------- --------- ----------
134901Total subsidy outlays.............
----------------------------------------------------------------------------
Administrative expense data:
351001Budget authority..................
358001Outlays from balances.............
---------------------------------------------------------------------------
The Vocational Rehabilitation Loan program's administrative and
subsidy costs are appropriated under ``Vocational Rehabilitation and
Employment.'' The Education Loan program's administrative and subsidy
costs are approriated under ``Education.''
As required by the Federal Credit Reform Act of 1990, this account
records, for these programs, the subsidy costs associated with the
direct loans obligated in 1992 and beyond, as well as the administrative
expenses of these programs. The subsidy amounts are estimated on a
present value basis; the administrative expenses are estimated on a cash
basis.
[[Page 835]]
Vocational Rehabilitation and Education Direct Loan Financing Account
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4259-0-3-702 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Direct loans...................... 3 3 4
--------- --------- ----------
10.00 Total new obligations (object
class 33.0)................... 3 3 4
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New financing authority (gross)... 3 3 4
23.95 Total new obligations............. -3 -3 -4
----------------------------------------------------------------------------
New financing authority (gross), detail:
Mandatory:
67.10 Authority to borrow (indefinite) 3 3 4
Spending authority from offsetting
collections:
Discretionary:
68.00 Spending Authority from
Offsetting collections
(cash)...................... 3 3 4
68.47 Portion applied to repay debt
(-)......................... -3 -3 -4
--------- --------- ----------
68.90 Spending authority from
offsetting collections
(total discretionary).....
--------- --------- ----------
70.00 Total new financing authority
(gross)....................... 3 3 4
----------------------------------------------------------------------------
Change in obligated balances:
73.10 Total new obligations............. 3 3 4
73.20 Total financing disbursements
(gross)......................... -3 -3 -4
87.00 Total financing disbursements
(gross)......................... 3 3 4
----------------------------------------------------------------------------
Offsets:
Against gross financing authority and
financing disbursements:
Offsetting collections (cash)
from:
Non-Federal sources:
88.40 Repayments and prepayments
of principal..............
88.40 Repayments and prepayments
of principal.............. -3 -3 -4
--------- --------- ----------
88.90 Total, offsetting
collections (cash)........ -3 -3 -4
----------------------------------------------------------------------------
Net financing authority and financing
disbursements:
89.00 Financing authority...............
90.00 Financing disbursements...........
---------------------------------------------------------------------------
Status of Direct Loans (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4259-0-3-702 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Position with respect to appropriations act
limitation on obligations:
1111 Limitation on direct loans........ 3 3 4
--------- --------- ----------
1150 Total direct loan obligations... 3 3 4
----------------------------------------------------------------------------
Cumulative balance of direct loans
outstanding:
1210 Outstanding, start of year........ 1 1 1
1231 Disbursements: Direct loan
disbursements................... 3 3 4
1251 Repayments: Repayments and
prepayments (-)................. -3 -3 -4
--------- --------- ----------
1290 Outstanding, end of year........ 1 1 1
---------------------------------------------------------------------------
Balance Sheet (in millions of dollars)
-----------------------------------------------------------------------------------------------
Identification code 36-4259-0-3-702 2001 actual 2002 actual 2003 est. 2004 est.
-----------------------------------------------------------------------------------------------
ASSETS:
Net value of assets related to
post-1991 direct loans
receivable:
1401 Direct loans receivable, gross.. 1 1 1
------------ -------------- ------------ -------------
1499 Net present value of assets
related to direct loans..... 1 1 1
------------ -------------- ------------ -------------
1999 Total assets.................... 1 1 1
LIABILITIES:
2103 Federal liabilities: Debt......... 1 1 1
------------ -------------- ------------ -------------
2999 Total liabilities............... 1 1 1
------------ -------------- ------------ -------------
4999 Total liabilities and net position 1 1 1
-----------------------------------------------------------------------------------------------
This account contains information on the Vocational Rehabilitation
Loan Program and Education Loan Program.
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 obligated in 1992 and beyond. The amounts in
the account are means of financing and are not included in the budget
totals.
Trust Funds
Post-Vietnam Era Veterans Education Account
Unavailable Collections (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-8133-0-7-702 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
01.99 Balance, start of year............
Receipts:
02.20 Deductions from military pay...... 1 1 1
02.40 Contributions..................... 1 2 1
--------- --------- ----------
02.99 Total receipts and collections.. 2 3 2
Appropriations:
05.00 Post-Vietnam era veterans
education account............... -2 -3 -2
--------- --------- ----------
07.99 Balance, end of year..............
---------------------------------------------------------------------------
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-8133-0-7-702 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Payment to post-Vietnam era
trainees........................ 2 3 2
00.03 Participant disenrollments........ 7 9 9
--------- --------- ----------
10.00 Total new obligations........... 9 12 11
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 86 79 70
22.00 New budget authority (gross)...... 2 3 2
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 88 82 72
23.95 Total new obligations............. -9 -12 -11
24.40 Unobligated balance carried
forward, end of year............ 79 70 62
----------------------------------------------------------------------------
New budget authority (gross), detail:
Mandatory:
60.26 Appropriation (trust fund)...... 2 3 2
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 2 1 2
73.10 Total new obligations............. 9 12 11
73.20 Total outlays (gross)............. -8 -12 -11
74.40 Obligated balance, end of year.... 1 2 2
----------------------------------------------------------------------------
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 2 3 2
86.98 Outlays from mandatory balances... 6 9 9
--------- --------- ----------
87.00 Total outlays (gross)........... 8 12 11
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 2 3 2
90.00 Outlays........................... 9 12 11
---------------------------------------------------------------------------
This account consists of voluntary contributions by eligible
servicepersons and matching contributions provided by the Department of
Defense. The fund provides educational assistance payments to
participants who entered the service after December 31, 1976, and are
pursuing training under chapter 32, title 38, U.S.C. Section 901 is a
non-contributory program with educational assistance provided by the
Department of Defense. Public Law 99-576, enacted October 28, 1986,
closed the program permanently for new enrollments effective March 31,
1987. Public Law 106-419, enacted November 1, 2000, provides qualified
participants in this program another opportunity (through October 31,
2001) to convert to the All-Volunteer Force Educational Assistance
program (Montgomery GI Bill). The estimated activity in the fund
follows:
[[Page 836]]
CONTRIBUTIONS, PARTICIPANTS, DISENROLLMENTS, REFUNDS AND TRAINEES
[In millions of dollars]
2002 actual 2003 est. 2004 est.
Total budget authority.............. $2 $3 $2
Servicepersons.................... $1 $1 $1
Transferred from Department of
Defense (bonus)................. $1 $1 $1
Transferred from Department of
Defense (matching).............. $0 $1 $1
Transferred from Department of
Defense (section 901)........... $0 $0 $0
Total participants (end of year).... 202,909 192,909 183,109
Total contributors (end of year).... 912 800 800
Average contribution per contributor
(actual dollars).................... $923 $923 $923
Number of disenrollments............ 10,700 10,800 10,600
Total refunds....................... $6 $9 $9
Total trainees...................... 1,145 980 880
Total trainee cost.................. $2 $3 $2
Average cost per trainee (actual
dollars)............................ $1,772 $3,122 $2,375
Section 901 trainees................ 34 20 20
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-8133-0-7-702 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
41.0 Grants, subsidies, and
contributions................... 2 3 2
44.0 Refunds........................... 7 9 9
--------- --------- ----------
99.9 Total new obligations........... 9 12 11
---------------------------------------------------------------------------
National Service Life Insurance Fund
Unavailable Collections (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-8132-0-7-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
01.99 Balance, start of year............ 10,237 10,027 9,741
Receipts:
02.20 Premium and other receipts........ 185 183 171
02.40 Interest.......................... 823 766 719
02.41 Payments from general and special
funds........................... 1 1 1
02.80 National Service Life Insurance
fund, offsetting collections.... 475 450 423
--------- --------- ----------
02.99 Total receipts and collections.. 1,484 1,400 1,314
--------- --------- ----------
04.00 Total: Balances and collections... 11,721 11,427 11,055
Appropriations:
05.00 National Service Life Insurance
fund............................ -1,694 -1,686 -1,658
--------- --------- ----------
05.99 Total appropriations............ -1,694 -1,686 -1,658
--------- --------- ----------
07.99 Balance, end of year.............. 10,027 9,741 9,397
---------------------------------------------------------------------------
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-8132-0-7-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
Direct:
Operating expenses:
00.01 Death claims.................. 621 635 652
00.02 Disability claims............. 13 12 11
00.03 Matured endowments............ 5 7 9
00.04 Cash surrenders............... 31 32 32
00.05 Dividends..................... 346 323 286
00.06 Interest paid on dividend
credits and deposits........ 58 57 56
00.07 Payment to Insurance account.. 20 22 22
--------- --------- ----------
00.91 Total operating expenses.... 1,094 1,088 1,068
02.01 Capital investment: Policy loans.. 85 83 85
--------- --------- ----------
02.93 Total direct obligations........ 1,179 1,171 1,153
Reimbursable program:
09.01 Death claims.................... 293 301 309
09.02 Disability Claims............... 6 6 5
09.03 Matured Endowments.............. 3 3 4
09.04 Cash Surrenders................. 14 15 15
09.05 Dividends....................... 163 153 136
09.06 Interest paid on dividend
credits and deposits.......... 27 27 26
09.07 Payment to Insurance account.... 9 10 10
--------- --------- ----------
09.09 Reimbursable program.......... 515 515 505
--------- --------- ----------
10.00 Total new obligations........... 1,694 1,686 1,658
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 1,694 1,686 1,658
23.95 Total new obligations............. -1,694 -1,686 -1,658
----------------------------------------------------------------------------
New budget authority (gross), detail:
Mandatory:
60.26 Appropriation (trust fund)...... 1,008 950 892
69.00 Offsetting collections (cash)..... 475 450 423
69.26 From offsetting collections
(unavailable balances).......... 211 286 343
--------- --------- ----------
69.90 Spending authority from
offsetting collections (total
mandatory).................... 686 736 766
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 1,694 1,686 1,658
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 1,403 1,446 1,488
73.10 Total new obligations............. 1,694 1,686 1,658
73.20 Total outlays (gross)............. -1,651 -1,644 -1,620
74.40 Obligated balance, end of year.... 1,446 1,488 1,526
----------------------------------------------------------------------------
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 1,483 1,400 1,315
86.98 Outlays from mandatory balances... 168 244 305
--------- --------- ----------
87.00 Total outlays (gross)........... 1,651 1,644 1,620
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash)
from:
Non-Federal sources:
88.40 Repayments of loans......... -131 -122 -114
88.40 Optional settlements........ -1 -1 -1
88.40 Net income offsets
adjustments............... -343 -327 -308
--------- --------- ----------
88.90 Total, offsetting
collections (cash)........ -475 -450 -423
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 1,219 1,236 1,235
90.00 Outlays........................... 1,176 1,194 1,197
----------------------------------------------------------------------------
Memorandum (non-add) entries:
92.01 Total investments, start of year:
Federal securities: Par value... 11,639 11,465 11,229
92.02 Total investments, end of year:
Federal securities: Par value... 11,465 11,229 10,923
---------------------------------------------------------------------------
Note.--The Department of Veterans Affairs insurance policy loans are
not an extension of Federal credit. Credit schedules previously shown
for this account have been discontinued.
This fund was established in 1940. It is for the World War II
servicemen's and veterans' insurance program. Over 22 million policies
have been issued under this program. Activity of the fund reflects a
rising claim workload. The trend in the number and amount of policies in
force is shown as follows:
POLICIES AND INSURANCE IN FORCE
2002 actual 2003 est. 2004 est.
Number of policies.................. 1,502,463 1,396,960 1,291,620
Insurance in force (dollars in
millions)........................... $15,550 $14,809 $14,005
This fund is operated on a commercial basis to the extent possible.
The income of the fund is derived from premium receipts, interest on
investments, and payments which are made to the fund from the Veterans
insurance and indemnities appropriation.
Assets of the fund, which are largely invested in special interest-
bearing Treasury securities and in policy loans, are expected to
decrease from $11,991 million as of September 30, 2003 to $11,587
million as of September 30, 2004. The actuarial estimate of policy
obligations as of September 30, 2003, total $11,315 million, leaving a
balance of $272 million for contingency reserves.
The status of the fund, excluding noncash transactions, is as
follows:
[[Page 837]]
Status of Funds (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-8132-0-7-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Unexpended balance, start of year:
0100 Uninvested balance [unavailable
collections].................... 1 8
0101 Federal securities: Par value..... 11,639 11,465 11,229
--------- --------- ----------
0199 Total balance, start of year.... 11,640 11,473 11,229
Cash income during the year:
Current law:
Offsetting receipts
(proprietary):
1220 NSLI fund, premium and other
receipts.................... 185 183 171
Offsetting receipts
(intragovernmental):
1240 NSLI fund,interest............ 823 766 719
1241 NSLI fund, payments from
general and special funds... 1 1 1
Offsetting collections:
1280 NSLI fund, offsetting
collections................. 475 450 423
--------- --------- ----------
1299 Income under present law...... 1,484 1,400 1,314
Cash outgo during year:
Current law:
4500 National service life insurance
fund.......................... -1,651 -1,644 -1,620
Unexpended balance, end of year:
8700 Uninvested balance................ 8
8701 Federal securities: Par value..... 11,465 11,229 10,923
--------- --------- ----------
8799 Total balance, end of year...... 11,473 11,229 10,923
---------------------------------------------------------------------------
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-8132-0-7-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Direct obligations:
33.0 Investments and loans........... 85 83 85
42.0 Insurance claims and indemnities 670 686 704
43.0 Interest and dividends.......... 425 401 364
--------- --------- ----------
99.0 Direct obligations............ 1,180 1,170 1,153
99.0 Reimbursable obligations.......... 514 516 505
--------- --------- ----------
99.9 Total new obligations........... 1,694 1,686 1,658
---------------------------------------------------------------------------
Legislation will be proposed to authorize payment of NSLI and USGLI
proceeds to an alternate beneficiary when the proceeds have not been
claimed by the named beneficiary within two years following the death of
the policyholder or within two years of enactment, whichever is later.
There are no anticipated costs in 2004, since the first payment would
not be made until two years after enactment.
United States Government Life Insurance Fund
Unavailable Collections (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-8150-0-7-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
01.99 Balance, start of year............ 50 44 39
Receipts:
02.40 Interest and profits on
investments in public debt
securities...................... 4 4 3
02.80 United States government life
insurance fund, offsetting
collections..................... 1 1 1
--------- --------- ----------
02.99 Total receipts and collections.. 5 5 4
--------- --------- ----------
04.00 Total: Balances and collections... 55 49 43
Appropriations:
05.00 United States government life
insurance fund.................. -11 -10 -9
--------- --------- ----------
05.99 Total appropriations............ -11 -10 -9
--------- --------- ----------
07.99 Balance, end of year.............. 44 39 34
---------------------------------------------------------------------------
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-8150-0-7-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
Operating expenses:
00.01 Death claims.................... 2 2 1
00.05 Dividends....................... 1
00.06 Interest paid on dividend
credits and deposits.......... 1 1 1
00.07 Other Costs..................... 1 1 1
09.01 Death Claims...................... 4 4 4
09.02 Dividends......................... 2 2 2
--------- --------- ----------
09.09 Reimbursable program............ 6 6 6
--------- --------- ----------
10.00 Total new obligations........... 11 10 9
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 11 10 9
23.95 Total new obligations............. -11 -10 -9
----------------------------------------------------------------------------
New budget authority (gross), detail:
Mandatory:
60.26 Appropriation (trust fund)...... 5 4 3
69.00 Offsetting collections (cash)..... 1 1 1
69.26 From offsetting collections
(unavailable balances).......... 5 5 5
--------- --------- ----------
69.90 Spending authority from
offsetting collections (total
mandatory).................... 6 6 6
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 11 10 9
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 19 18 17
73.10 Total new obligations............. 11 10 9
73.20 Total outlays (gross)............. -11 -11 -11
74.40 Obligated balance, end of year.... 18 17 15
----------------------------------------------------------------------------
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 5 4 4
86.98 Outlays from mandatory balances... 6 7 7
--------- --------- ----------
87.00 Total outlays (gross)........... 11 11 11
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
88.40 Offsetting collections (cash)
from: Repayments of loans..... -1 -1 -1
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 10 9 9
90.00 Outlays........................... 10 11 10
----------------------------------------------------------------------------
Memorandum (non-add) entries:
92.01 Total investments, start of year:
Federal securities: Par value... 67 62 55
92.02 Total investments, end of year:
Federal securities: Par value... 62 55 48
---------------------------------------------------------------------------
Note.--The Department of Veterans Affairs insurance policy loans are
not an extension of Federal credit. Credit schedules previously shown
for this account have been discontinued.
This fund was established in 1919 to receive premiums and pay claims
on insurance issued under the provisions of the War Risk Insurance Act.
The general decline in the activity of the fund is indicated in the
following table:
POLICIES AND INSURANCE IN FORCE
2002 actual 2003 est. 2004 est.
Number of policies.................. 13,217 11,700 10,240
Insurance in force (dollars in
millions)........................... $42 $37 $32
The fund is operated on a commercial basis to the extent possible.
The income of the fund is derived from interest on investments and
payments from the Veterans insurance and indemnities appropriation.
Effective January 1, 1983, premiums were discontinued because reserves
held in the fund were adequate to meet future liabilities of the
program.
Assets of the fund, which are largely invested in interest-bearing
securities and policy loans, are estimated to decrease from $59 million
as of September 30, 2003, to $52 million as of September 30, 2004, as an
increasing number of policies mature through death or disability. The
actuarial evaluation of policy obligations as of September 30, 2004,
totals $51 million, leaving a balance of $1 million for contingency
reserves.
The status of the fund, excluding noncash transactions, is as
follows:
[[Page 838]]
Status of Funds (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-8150-0-7-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Unexpended balance, start of year:
0101 Federal securities: Par value..... 67 62 55
--------- --------- ----------
0199 Total balance, start of year.... 69 62 56
Cash income during the year:
Current law:
Offsetting receipts
(intragovernmental):
1240 Interest and profits on
investments in public debt
securities, USGLI, VA....... 4 4 3
Offsetting collections:
1280 Offsetting collections, USGLI. 1 1 1
--------- --------- ----------
1299 Income under present law...... 5 5 4
Cash outgo during year:
Current law:
4500 United States government life
insurance fund................ -11 -11 -11
Unexpended balance, end of year:
8701 Federal securities: Par value..... 62 55 48
--------- --------- ----------
8799 Total balance, end of year...... 62 56 49
---------------------------------------------------------------------------
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-8150-0-7-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Direct obligations:
42.0 Insurance claims and indemnities 2 2 1
43.0 Interest and dividends.......... 3 2 2
--------- --------- ----------
99.0 Direct obligations............ 5 4 3
99.0 Reimbursable obligations.......... 6 6 6
--------- --------- ----------
99.9 Total new obligations........... 11 10 9
---------------------------------------------------------------------------
Veterans Special Life Insurance Fund
Unavailable Collections (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-8455-0-8-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
01.99 Balance, start of year............ 1,488 1,516 1,530
Receipts:
02.80 Veterans special life insurance
fund, offsetting collections.... 236 231 226
--------- --------- ----------
04.00 Total: Balances and collections... 1,724 1,747 1,756
Appropriations:
05.00 Veterans special life insurance
fund............................ -208 -217 -219
--------- --------- ----------
05.99 Total appropriations............ -208 -217 -219
--------- --------- ----------
07.99 Balance, end of year.............. 1,516 1,530 1,537
---------------------------------------------------------------------------
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-8455-0-8-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
09.01 Death claims...................... 59 65 71
09.02 Cash surrenders................... 4 5 5
09.03 Dividends......................... 93 88 85
09.04 All other......................... 31 38 37
09.05 Payments to Insurance account..... 5 5 5
09.06 Capital investment................ 16 16 16
--------- --------- ----------
10.00 Total new obligations........... 208 217 219
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 208 217 219
23.95 Total new obligations............. -208 -217 -219
----------------------------------------------------------------------------
New budget authority (gross), detail:
Mandatory:
69.00 Offsetting collections (cash)... 236 231 226
69.26 From offsetting collections
(unavailable balances)........ -28 -14 -7
--------- --------- ----------
69.90 Spending authority from
offsetting collections
(total mandatory)........... 208 217 219
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 269 292 315
73.10 Total new obligations............. 208 217 219
73.20 Total outlays (gross)............. -184 -194 -198
74.40 Obligated balance, end of year.... 292 315 336
----------------------------------------------------------------------------
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 20 21 21
86.98 Outlays from mandatory balances... 164 173 177
--------- --------- ----------
87.00 Total outlays (gross)........... 184 194 198
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash)
from:
88.20 Interest on Federal securities -143 -141 -139
Non-Federal sources:
88.40 Interest on loans........... -6 -6 -6
88.40 Insurance premiums earned... -69 -66 -64
88.40 Repayments of loans......... -18 -18 -17
--------- --------- ----------
88.90 Total, offsetting
collections (cash)........ -236 -231 -226
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. -28 -14 -7
90.00 Outlays........................... -52 -37 -28
----------------------------------------------------------------------------
Memorandum (non-add) entries:
92.01 Total investments, start of year:
Federal securities: Par value... 1,756 1,807 1,816
92.02 Total investments, end of year:
Federal securities: Par value... 1,807 1,816 1,816
---------------------------------------------------------------------------
Note.--The Department of Veterans Affairs insurance policy loans are
not an extension of Federal credit. Credit schedules previously shown
for this account have been discontinued.
This fund finances the payment of claims on life insurance policies
issued before January 3, 1957, to veterans who served in the Armed
Forces subsequent to April 1, 1951. No new policies can be issued.
Policyholders may elect to purchase total disability income coverage
with the payment of additional premiums.
Budget program--
Death claims.--Represents payments to designated beneficiaries.
Cash surrenders.--A policyholder may terminate his or her
insurance by cashing in the policy for its cash value.
Dividends.--Policyholders participate in the distribution of
annual dividends.
All other.--Classified in this category are payments to
policyholders who: (a) hold endowment policies which have matured;
(b) have purchased total disability income coverage and subsequently
become disabled; and (c) are paid interest on dividend credits and
deposits.
The following table reflects the decrease in the number of
policies and the amounts of insurance in force:
POLICIES AND INSURANCE IN FORCE
2002 actual 2003 est. 2004 est.
Number of policies.................. 227,341 220,340 212,650
Insurance in force (dollars in
millions)........................... $2,604 $2,564 $2,514
Financing.--Payments from this fund are financed primarily from
premium receipts and interest on investments.
Operating results and financial condition.--Lower than expected
death rates on insurance written against this fund has kept death claim
payments well below the amount of premium and interest receipts, thereby
producing an annual increase in the total revenue of the fund. Excess
earnings of the fund are now distributed to the policyholders in the
form of an annual dividend.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-8455-0-8-701 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
33.0 Investments and loans............. 17 18 19
42.0 Insurance claims and indemnities.. 84 93 93
43.0 Interest and dividends............ 107 106 107
--------- --------- ----------
[[Page 839]]
99.9 Total new obligations........... 208 217 219
---------------------------------------------------------------------------
DEPARTMENTAL ADMINISTRATION
General Administration
For necessary operating expenses of the Department of Veterans
Affairs, not otherwise provided for, including administrative expenses
in support of Department-wide capital planning, management and policy
activities, not to exceed $25,000 for official reception and
representation expenses, and reimbursement of the General Services
Administration for security guard services, $283,973,000, including no
more than $5,405,000 for construction.
Note.--A regular 2003 appropriation for this account had not been
enacted at the time the budget was prepared; therefore, this account is
operating under a continuing resolution (P.L. 107-229, as amended). The
amounts included for 2003 in this budget reflect the Administration's
2003 policy proposals.
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-0151-0-1-705 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
Direct program:
00.11 General administration.......... 235 274 279
00.12 Major Construction.............. 4 1 3
00.30 Minor Construction.............. 3 10 4
--------- --------- ----------
01.00 Total Direct Program............ 242 285 286
Reimbursable program:
09.01 Administration of housing credit
programs...................... 4 4 4
09.04 Other reimbursable programs..... 180 154 136
--------- --------- ----------
09.99 Total reimbursable program.... 184 158 140
--------- --------- ----------
10.00 Total new obligations........... 426 443 426
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 9 16 3
22.00 New budget authority (gross)...... 436 429 424
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 445 445 427
23.95 Total new obligations............. -426 -443 -426
23.98 Unobligated balance expiring or
withdrawn....................... -2
24.40 Unobligated balance carried
forward, end of year............ 16 3 1
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 251 271 284
42.00 Transferred from other accounts. 1
--------- --------- ----------
43.00 Appropriation (total
discretionary).............. 252 271 284
68.00 Spending authority from offsetting
collections: Offsetting
collections (cash).............. 184 158 140
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 436 429 424
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 59 59 70
73.10 Total new obligations............. 426 443 426
73.20 Total outlays (gross)............. -419 -432 -423
73.40 Adjustments in expired accounts
(net)........................... -7
74.40 Obligated balance, end of year.... 59 70 74
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 363 376 369
86.93 Outlays from discretionary
balances........................ 56 56 54
--------- --------- ----------
87.00 Total outlays (gross)........... 419 432 423
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
88.00 Offsetting collections (cash)
from: Federal sources......... -184 -158 -140
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 252 271 284
90.00 Outlays........................... 235 274 283
----------------------------------------------------------------------------
Additional net budget authority and outlays to cover cost of fully accruing
retirement:
99.00 Budget authority.................. 11 12 14
99.01 Outlays........................... 11 12 14
---------------------------------------------------------------------------
\1\ The total cost of administering veterans insurance programs is
funded through direct appropriations to this account and through
reimbursements from the insurance trust fund.
This appropriation provides for the Department's top management
direction and administrative support, including data processing, fiscal,
personnel, and legal services.
General administration.--Includes Departmental executive direction,
Departmental Support offices, the General Counsel, the Board of Veterans
Appeals, and the Board of Contract Appeals.
Additionally, funding is provided for capital asset investments.
The Pershing Hall Revolving Fund was created to operate and manage
Pershing Hall, an asset of the United States, located in Paris, France.
All operating expenses for Pershing Hall are borne by the revolving fund
and all receipts generated by the operation of Pershing Hall are
deposited in the revolving fund.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-0151-0-1-705 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Direct obligations:
Personnel compensation:
11.1 Full-time permanent........... 136 152 159
11.5 Other personnel compensation.. 5 5 5
--------- --------- ----------
11.9 Total personnel compensation 141 157 164
12.1 Civilian personnel benefits..... 33 45 48
21.0 Employee travel................. 3 4 4
23.1 Rental payments to GSA.......... 17 18 19
23.2 Rental payments to others....... 1 1 1
23.3 Communications, utilities, and
miscellaneous charges......... 3 4 4
24.0 Printing and reproduction....... 1 1 1
25.2 Other services.................. 28 40 33
26.0 Supplies and materials.......... 3 2 3
31.0 Equipment....................... 6 2 2
32.0 Land and structures............. 6 11 7
--------- --------- ----------
99.0 Direct obligations............ 242 285 286
99.0 Reimbursable obligations.......... 184 158 140
--------- --------- ----------
99.9 Total new obligations........... 426 443 426
---------------------------------------------------------------------------
Personnel Summary
----------------------------------------------------------------------------
Identification code 36-0151-0-1-705 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Direct:
Total compensable workyears:
1001 Civilian full-time equivalent
employment.................... 1,863 1,980 2,031
Reimbursable:
Total compensable workyears:
2001 Civilian full-time equivalent
employment \1\................ 740 499 450
---------------------------------------------------------------------------
\1\ Reflects FTE treated as reimbursements in all years and the
effects of Credit Reform, per P.L. 101-508.
Office of Inspector General
For necessary expenses of the Office of Inspector General in
carrying out the Inspector General Act of 1978, as amended, $62,450,000,
including no more than $700,000 for construction.
Note.--A regular 2003 appropriation for this account had not been
enacted at the time the budget was prepared; therefore, this account is
operating under a continuing resolution (P.L. 107-229, as amended). The
amounts included for 2003 in this budget reflect the Administration's
2003 policy proposals.
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-0170-0-1-705 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
01.01 Direct program.................... 52 55 61
01.03 Construction, minor projects...... 1 2 1
--------- --------- ----------
01.92 Total direct program............ 53 57 62
09.01 Reimbursable program.............. 3 3 3
--------- --------- ----------
10.00 Total new obligations........... 56 60 65
----------------------------------------------------------------------------
[[Page 840]]
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 1
22.00 New budget authority (gross)...... 57 59 65
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 57 60 65
23.95 Total new obligations............. -56 -60 -65
24.40 Unobligated balance carried
forward, end of year............ 1
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 54 56 62
68.00 Spending authority from offsetting
collections: Offsetting
collections (cash).............. 3 3 3
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 57 59 65
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 11 10 12
73.10 Total new obligations............. 56 60 65
73.20 Total outlays (gross)............. -56 -58 -64
73.40 Adjustments in expired accounts
(net)........................... -1
74.40 Obligated balance, end of year.... 10 12 12
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 46 55 61
86.93 Outlays from discretionary
balances........................ 10 3 3
--------- --------- ----------
87.00 Total outlays (gross)........... 56 58 64
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
88.00 Offsetting collections (cash)
from: Federal sources......... -3 -3 -3
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 54 56 62
90.00 Outlays........................... 53 55 61
----------------------------------------------------------------------------
Additional net budget authority and outlays to cover cost of fully accruing
retirement:
99.00 Budget authority.................. 2 3 3
99.01 Outlays........................... 2 3 3
---------------------------------------------------------------------------
This appropriation provides Department-wide audit, investigation,
and healthcare inspection and support functions to identify and report
weaknesses and deficiencies in VA programs and operations that create
conditions for existing or potential instances of criminal activity,
fraud, waste, and mismanagement. The audit function plans and conducts
internal programmatic audits of all facets of VA operations as well as
contract audit services for all applicable Department contracts. The
investigative function conducts criminal and administrative
investigations of improper and illegal activities involving VA programs,
personnel, beneficiaries, and other third parties. The healthcare
inspection function performs legislatively mandated medical care quality
assurance reviews and oversight. The support function provides office
administration.
Additionally, funding is provided for capital asset investments.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-0170-0-1-705 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Direct obligations:
Personnel compensation:
11.1 Full-time permanent........... 30 31 34
11.5 Other personnel compensation.. 2 2 2
--------- --------- ----------
11.9 Total personnel compensation 32 33 36
12.1 Civilian personnel benefits..... 8 8 10
21.0 Employee Travel................. 3 3 3
23.1 Rental payments to GSA.......... 2 3 3
25.2 Other services.................. 6 7 8
31.0 Equipment....................... 1 1 1
32.0 Land and structures............. 1 2 1
--------- --------- ----------
99.0 Direct obligations............ 53 57 62
99.0 Reimbursable obligations.......... 3 3 3
--------- --------- ----------
99.9 Total new obligations........... 56 60 65
---------------------------------------------------------------------------
Personnel Summary
----------------------------------------------------------------------------
Identification code 36-0170-0-1-705 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Direct:
Total compensable workyears:
1001 Civilian full-time equivalent
employment.................... 370 386 417
Reimbursable:
Total compensable workyears:
2001 Civilian full-time equivalent
employment.................... 23 25 25
---------------------------------------------------------------------------
Intragovernmental funds:
Supply Fund
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4537-0-4-705 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
09.01 Reimbursable program-COGS-
Merchandizing................... 1,020 1,196 1,243
09.02 Reimbursable program-Other-
Operations...................... 56 65 65
09.03 Reimbursable program-COGS-Printing
and Publications................ 6 5 5
09.04 Reimbursable program-Other........ 2 2 2
09.05 Reimbursable program-Equipment-
Procurement Services and
Distribution.................... 1 2 3
--------- --------- ----------
10.00 Total new obligations........... 1,085 1,270 1,318
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 151 274 274
22.00 New budget authority (gross)...... 1,208 1,270 1,318
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 1,359 1,544 1,592
23.95 Total new obligations............. -1,085 -1,270 -1,318
24.40 Unobligated balance carried
forward, end of year............ 274 274 274
----------------------------------------------------------------------------
New budget authority (gross), detail:
Mandatory:
69.00 Offsetting collections (cash)... 1,213 1,270 1,318
69.10 Change in uncollected customer
payments from Federal sources
(unexpired)................... -5
--------- --------- ----------
69.90 Spending authority from
offsetting collections
(total mandatory)........... 1,208 1,270 1,318
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 118 188 188
73.10 Total new obligations............. 1,085 1,270 1,318
73.20 Total outlays (gross)............. -1,020 -1,270 -1,318
74.00 Change in uncollected customer
payments from Federal sources
(unexpired)..................... 5
74.40 Obligated balance, end of year.... 188 188 188
----------------------------------------------------------------------------
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 1,020 1,270 1,318
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
88.00 Offsetting collections (cash)
from: Federal sources......... -1,213 -1,270 -1,318
Against gross budget authority only:
88.95 Change in uncollected customer
payments from Federal sources
(unexpired)................... 5
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority..................
90.00 Outlays........................... -193
----------------------------------------------------------------------------
Additional net budget authority and outlays to cover cost of fully accruing
retirement:
99.00 Budget authority.................. 2 2 2
99.01 Outlays........................... 2 2 2
---------------------------------------------------------------------------
Under the provisions of 38 U.S.C. 8121, the Supply Fund is
responsible for the operation and maintenance of a supply system for VA.
The Supply Fund is an intragovernmental revolving fund without fiscal
year limitations.
[[Page 841]]
Budget program.--The fund provides financial support for: (1) a
National Acquisition Center or central contracting office; (2) the
maintenance of field station inventories; (3) a service and distribution
center; (4) a service and reclamation program; (5) a national
prosthetics distribution center; and (6) an asset management service.
Costs for the administration of supply activities at VA field
stations are not financed by the Supply Fund. These costs are charged
directly to applicable appropriations accounts.
Financing.--Costs of supplies, equipment, and services acquired
through the Supply Fund and Supply Fund operating costs are recovered
through reimbursements from the VA appropriations and other Government
agencies receiving goods and services. For 2004, Supply Fund sales are
estimated to reach $1.26 billion. Average inventory needed to support
those sales will be $34 million.
Operating results.--The Fund operated at a profit of $25 million in
2002. The new total of retained earnings is $77 million. Operating
expense as related to sales was 6 percent.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4537-0-4-705 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Personnel compensation:
11.1 Full-time permanent............. 24 29 30
11.5 Other personnel compensation.... 1 1 1
--------- --------- ----------
11.9 Total personnel compensation.. 25 30 31
12.1 Civilian personnel benefits....... 6 6 6
21.0 Travel and transportation of
persons......................... 3 3 3
22.0 Transportation of things.......... 3 5 6
23.1 Rental payments to GSA............ 2 2 2
23.3 Communications, utilities, and
miscellaneous charges........... 2 3 2
24.0 Printing and reproduction......... 6 6 6
25.1 Advisory and assistance services.. 468 431 437
26.0 Supplies and materials............ 287 406 428
31.0 Equipment......................... 283 378 397
--------- --------- ----------
99.9 Total new obligations........... 1,085 1,270 1,318
---------------------------------------------------------------------------
Personnel Summary
----------------------------------------------------------------------------
Identification code 36-4537-0-4-705 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Reimbursable:
2001 Total compensable workyears:
Civilian full-time equivalent
employment...................... 382 436 440
---------------------------------------------------------------------------
Franchise Fund
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4539-0-4-705 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Obligations by program activity:
09.01 Reimbursable program.............. 130 152 163
--------- --------- ----------
10.00 Total new obligations........... 130 152 163
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 38 53 54
22.00 New budget authority (gross)...... 145 152 163
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 183 205 217
23.95 Total new obligations............. -130 -152 -163
24.40 Unobligated balance carried
forward, end of year............ 53 54 54
----------------------------------------------------------------------------
New budget authority (gross), detail:
Mandatory:
69.00 Offsetting collections (cash)... 149 150 150
69.10 Change in uncollected customer
payments from Federal sources
(unexpired)................... -4 2 13
--------- --------- ----------
69.90 Spending authority from
offsetting collections
(total mandatory)........... 145 152 163
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 14 20 24
73.10 Total new obligations............. 130 152 163
73.20 Total outlays (gross)............. -128 -146 -163
74.00 Change in uncollected customer
payments from Federal sources
(unexpired)..................... 4 -2 -13
74.40 Obligated balance, end of year.... 20 24 11
----------------------------------------------------------------------------
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 128 146 163
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
88.00 Offsetting collections (cash)
from: Federal sources......... -149 -150 -150
Against gross budget authority only:
88.95 Change in uncollected customer
payments from Federal sources
(unexpired)................... 4 -2 -13
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority..................
90.00 Outlays........................... -21 -4 13
----------------------------------------------------------------------------
Additional net budget authority and outlays to cover cost of fully accruing
retirement:
99.00 Budget authority..................
99.01 Outlays...........................
---------------------------------------------------------------------------
VA was chosen as a pilot Franchise Fund agency under the Government
Management and Reform Act, P.L. 103-356, of 1994. This budget's general
provisions extends the authority under that Act. Established in 1997,
administrative services included in the Franchise Fund are financed on a
fee-for-service basis rather than through VA's General Administration
appropriation. VA Enterprise Centers are the lines of business within
the VA Franchise Fund and are expected to have net billings of about
$164 million and employ 762 people, who were transferred from their
parent organizations.
The Franchise Fund concept is intended to increase competition for
government administrative services resulting in lower costs and higher
quality.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 36-4539-0-4-705 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
11.1 Personnel compensation: Full-time
permanent....................... 38 47 50
12.1 Civilian personnel benefits....... 9 10 11
21.0 Travel and transportation of
persons......................... 1 2 2
23.1 Rental payments to GSA............ 4 6 6
23.3 Communications, utilities, and
miscellaneous charges........... 24 32 34
24.0 Printing and reproduction......... 2 2 2
25.2 Other services.................... 35 38 43
26.0 Supplies and materials............ 2 2 2
31.0 Equipment......................... 15 10 10
32.0 Land and structures............... 3 3
--------- --------- ----------
99.9 Total new obligations........... 130 152 163
---------------------------------------------------------------------------
Personnel Summary
----------------------------------------------------------------------------
Identification code 36-4539-0-4-705 2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Reimbursable:
2001 Total compensable workyears:
Civilian full-time equivalent
employment...................... 670 740 762
---------------------------------------------------------------------------
GENERAL FUND RECEIPT ACCOUNTS
(in millions of dollars)
----------------------------------------------------------------------------
2002 actual 2003 est. 2004 est.
----------------------------------------------------------------------------
Offsetting receipts from the public:
36-247300 Contributions from military
personnel, Veteran's Educational
Assistance Act of 1984.............. 233 267 357
36-273330 Housing downward
reestimates......................... 1,798 878
36-275510 Housing negative subsidies. 5
--------- --------- ----------
General Fund Offsetting receipts from
the public............................. 2,031 1,150 357
---------------------------------------------------------------------------
[[Page 842]]
Administrative Provisions
(including transfer of funds)
Sec. 101. (a) Appropriations available for fiscal years 2004 and
2005 for operating expenses in the Compensation, Pension, Burial,
Insurance, Education, and Vocational Rehabilitation and Employment
accounts may be transferred to any other of the mentioned accounts for
operating expense purposes to correct for assumptions used to
restructure the VA's budget request: Provided, That the total amount
transferred from or into any single account for operating expenses may
not exceed the schedule in subsection (c).
(b) Appropriations available for fiscal years 2004 and 2005 for
purposes of construction (non-grants) in the Compensation, Pension,
Insurance, Education, Vocational Rehabilitation and Employment, and
Housing accounts may be transferred to any other of the mentioned
accounts for construction expense purposes to correct for assumptions
used to restructure the VA's budget request: Provided, That the total
amount transferred from or into any single account for construction may
not exceed the schedule in subsection (c).
(c) The limitation on transfers is ten percent in 2004, five percent
in 2005, and zero percent thereafter.
(d) Appropriations available for operating expenses in the Medical
Care and Medical and Prosthetic Research accounts may be transferred to
each other for operating expense purposes to correct for assumptions
used to restructure the VA's budget request: Provided, That the total
amount transferred from or into any single account for operating
expenses may not exceed ten percent in 2004, two-and-a-half percent in
2005, and zero percent thereafter.
(e) Transfers pursuant to this section shall be effective five days
after notice thereof is transmitted to the appropriations committees of
the House and Senate.
Sec. 102. Of the amounts provided for operating expenses in the
Department's appropriations accounts, except for the Medical Care and
Medical and Prosthetic Research accounts, five percent is available
until September 30, 2005.
Sec. 103. Appropriations available to the Department of Veterans
Affairs for construction are available until expended.
Sec. 104. Appropriations available to the Department of Veterans
Affairs for salaries and expenses shall be available for services
authorized by 5 U.S.C. 3109 hire of passenger motor vehicles; lease of a
facility or land or both; and uniforms or allowances therefore, as
authorized by 5 U.S.C. 5901-5902.
Sec. 105. Construction funds (non-grants) provided in several of
the accounts are available for constructing, altering, extending and
improving any of the facilities under the jurisdiction or for the use of
the Department of Veterans Affairs, or for any of the purposes set forth
in sections 316, 2404, 2406, 8102 (excluding lease of a facility or land
or both), 8103, 8106, 8108, 8109, 8110, 8122, and 8162 of title 38,
United States Code, as appropriate to each account, including planning,
architectural and engineering services, maintenance or guarantee period
services costs associated with equipment guarantees provided under the
project, services of claims analysts, offsite utility and storm drainage
system construction costs, and site acquisition.
Such construction funds are also available for: (1) repairs to any
of the nonmedical facilities under the jurisdiction or for the use of
the Department which are necessary because of loss or damage caused by
any natural disaster or catastrophe; and (2) temporary measures
necessary to prevent or to minimize further loss by such causes.
Except for advance planning activities, including needs assessments
which may or may not lead to capital investments, and other capital
asset management related activities, such as portfolio development and
management activities, and investment strategy studies funded through
the advance planning fund, design of projects funded through the design
fund, and planning and design activities funded through the design fund
and CARES fund, including needs assessments which may or may not lead to
capital investments; none of the funds appropriated for construction
shall be used for any project where the estimated cost is $4,000,000 or
more, unless the project has been approved by the Congress in the
budgetary process. Construction funds provided in each account for
fiscal year 2004 for projects where the estimated cost is $4,000,000 or
more, shall be obligated: (1) by the awarding of a construction
documents contract by September 30, 2004; and (2) by the awarding of a
design-build or construction contract by September 30, 2005. The
Secretary shall promptly report in writing to the Committees on
Appropriations any approved construction project of $4,000,000 or more
in which obligations are not incurred within the time limitations
established above.
Sec. 106. No appropriations in this Act for the Department of
Veterans Affairs shall be available for hospitalization or examination
of any persons (except beneficiaries entitled under the laws bestowing
such benefits to veterans, and persons receiving such treatment under 5
U.S.C. 7901-7904 or 42 U.S.C. 5141-5204), unless reimbursement of cost
is made to the ``Medical Care'' account at such rates as may be fixed by
the Secretary of Veterans Affairs.
Sec. 107. Appropriations accounts available to the Department of
Veterans Affairs shall be available to pay prior year obligations of
corresponding prior year appropriations accounts resulting from title X
of the Competitive Equality Banking Act, Public Law 100-86, except that
if such obligations are from trust fund accounts they shall be payable
from ``Compensation'' and ``Pensions'' accounts.
Sec. 108. Notwithstanding any other provision of law, the Secretary
of Veterans Affairs shall, from the National Service Life Insurance Fund
(38 U.S.C. 1920), the Veteran's Special Life Insurance Fund (38 U.S.C.
1923), and the United States Government Life Insurance Fund (38 U.S.C.
1955), reimburse the ``Insurance'' and ``General Administration''
accounts on a pro-rata basis for the cost of administration of the
insurance programs financed through those accounts: Provided, That
reimbursement shall be made only from the surplus earnings accumulated
in an insurance program in fiscal year 2004 that are available for
dividends in that program after claims have been paid and actuarially
determined reserves have been set aside: Provided further, That if the
cost of administration of an insurance program exceeds the amount of
surplus earnings accumulated in that program, reimbursement shall be
made only to the extent of such surplus earnings: Provided further, That
the Secretary shall determine the cost of administration for fiscal year
2004 which is properly allocable to the provision of each insurance
program and to the provision of any total disability income insurance
included in such insurance program.
Sec. 109. Amounts deducted from enhanced-use lease proceeds to
reimburse an account for expenses incurred by that account during a
prior fiscal year for providing enhanced-use lease services, may be
obligated during the fiscal year in which the proceeds are received.
Sec. 110. Funds available in any Department of Veterans Affairs
appropriation for salaries and other administrative expenses shall also
be available to reimburse the Office of Resolution Management and the
Office of Employment Discrimination Complaint Adjudication for all
services provided at rates which will recover actual costs but not
exceed $29,318,000 for the Office of Resolution Management and
$3,010,000 for the Office of Employment and Discrimination Complaint
Adjudication: Provided, That payments may be made in advance for
services to be furnished based on estimated costs: Provided further,
That amounts received shall be credited to ``General Administration''
for use by the office that provided the service.
Sec. 111. (a) Receipts that would otherwise be credited to the
accounts listed in subsection (c) shall be deposited into the Medical
Care Collections Fund, and shall be transferred to the Medical Care
account, to remain available until expended, to carry out the purposes
of the Medical Care account.
(b) The unobligated balances in the accounts listed in subsection
(c), plus those in the Grants for Construction of State Extended Care
Facilities account, shall be transferred to and merged with the Medical
Care account and remain available until expended, to carry out the
purposes of the Medical Care account: Provided, That the obligated
balances in these accounts may be transferred to and merged with the
Medical Care account at the discretion of the Secretary of Veterans
Affairs and shall remain available until expended.
(c) Veterans Extended Care Revolving Fund; Medical Facilities
Revolving Fund; Special Therapeutic and Rehabilitation Fund; Nursing
Home Revolving Fund; Veterans Health Services Improvement Fund; and
Parking Revolving Fund.
Sec. 112. Notwithstanding any other provision of law, the
unobligated balances in the Construction, Major Projects and
Construction, Minor Projects shall be transferred to and merged with
each appropriation provided in this Act as appropriate, and shall remain
available under the terms under which originally appropriated.
Sec. 113. The Department of Veterans Affairs is authorized to
continue the Franchise Fund pilot authorized by section 403 of P.L. 103-
356 and title 1 of P.L. 104-204 until October 1, 2004.
[[Page 843]]
TITLE IV--GENERAL PROVISIONS
Sec. 401. Where appropriations in titles I, II, and III of this Act
are expendable for travel expenses and no specific limitation has been
placed thereon, the expenditures for such travel expenses may not exceed
the amounts set forth therefor in the budget estimates submitted for the
appropriations: Provided, That this provision does not apply to accounts
that do not contain an object classification for travel: Provided
further, That this section shall not apply to travel performed by
uncompensated officials of local boards and appeal boards of the
Selective Service System; to travel performed directly in connection
with care and treatment of medical beneficiaries of the Department of
Veterans Affairs; to travel performed in connection with major disasters
or emergencies declared or determined by the President under the
provisions of the Robert T. Stafford Disaster Relief and Emergency
Assistance Act; to travel performed by the Offices of Inspector General
in connection with audits and investigations; to travel performed by the
U.S. Consumer Product Safety Commission in connection with litigations;
or to payments to interagency motor pools where separately set forth in
the budget schedules: Provided further, That if appropriations in titles
I, II, and III exceed the amounts set forth in budget estimates
initially submitted for such appropriations, the expenditures for travel
may correspondingly exceed the amounts therefor set forth in the
estimates only to the extent notice of such an increase is transmitted
to the Committees on Appropriations.
Sec. 402. Appropriations and funds available for the administrative
expenses of the Department of Housing and Urban Development and the
Selective Service System shall be available in the current fiscal year
for purchase of uniforms, or allowances therefor, as authorized by 5
U.S.C. 5901-5902; hire of passenger motor vehicles; and services as
authorized by 5 U.S.C. 3109.
Sec. 403. Funds of the Department of Housing and Urban Development
subject to the Government Corporation Control Act or section 402 of the
Housing Act of 1950 shall be available, without regard to the
limitations on administrative expenses, for legal services on a contract
or fee basis, and for utilizing and making payment for services and
facilities of the Federal National Mortgage Association, Government
National Mortgage Association, Federal Home Loan Mortgage Corporation,
Federal Financing Bank, Federal Reserve banks or any member thereof,
Federal Home Loan banks, and any insured bank within the meaning of the
Federal Deposit Insurance Corporation Act, as amended (12 U.S.C. 1811-
1831).
Sec. 404. No part of any appropriation contained in this Act shall
remain available for obligation beyond the current fiscal year unless
expressly so provided herein.
Sec. 405. No funds appropriated by this Act may be expended--
(1) pursuant to a certification of an officer or employee of the
United States unless--
(A) such certification is accompanied by, or is part of, a
voucher or abstract which describes the payee or payees and the
items or services for which such expenditure is being made; or
(B) the expenditure of funds pursuant to such certification, and
without such a voucher or abstract, is specifically authorized by
law; and
(2) unless such expenditure is subject to audit by the General
Accounting Officer or is specifically exempt by law from such audit.
Sec. 406. None of the funds provided in this Act to any department
or agency may be expended for the transportation of any officer or
employee of such department or agency between the domicile and the place
of employment of the officer or employee, with the exception of an
officer or employee authorized such transportation under 31 U.S.C. 1344
or 5 U.S.C. 7905.
Sec. 407. None of the funds provided in this Act may be used for
payment, through grants or contracts, to recipients that do not share in
the cost of conducting research resulting from proposals not
specifically solicited by the Government: Provided, That the extent of
cost sharing by the recipient shall reflect the mutuality of interest of
the grantee or contractor and the Government in the research.
Sec. 408. None of the funds provided in this Act may be used,
directly or through grants, to pay or to provide reimbursement for
payment of the salary of a consultant (whether retained by the Federal
Government or a grantee) at more than the daily equivalent of the rate
paid for level IV of the Executive Schedule, unless specifically
authorized by law.
Sec. 409. None of the funds provided in this Act may be used to pay
the expenses of, or otherwise compensate, non-Federal parties
intervening in regulatory or adjudicatory proceedings. Nothing herein
affects the authority of the Consumer Product Safety Commission pursuant
to section 7 of the Consumer Product Safety Act (15 U.S.C. 2056 et
seq.).
Sec. 410. Except as otherwise provided under existing law, or under
an existing Executive order issued pursuant to an existing law, the
obligation or expenditure of any appropriation under this Act for
contracts for any consulting service shall be limited to contracts which
are: (1) a matter of public record and available for public inspection;
and (2) thereafter included in a publicly available list of all
contracts entered into within 24 months prior to the date on which the
list is made available to the public and of all contracts on which
performance has not been completed by such date. The list required by
the preceding sentence shall be updated quarterly and shall include a
narrative description of the work to be performed under each such
contract.
Sec. 411. Except as otherwise provided by law, no part of any
appropriation contained in this Act shall be obligated or expended by
any executive agency, as referred to in the Office of Federal
Procurement Policy Act (41 U.S.C. 401 et seq.), for a contract for
services unless such executive agency: (1) has awarded and entered into
such contract in full compliance with such Act and the regulations
promulgated thereunder; and (2) requires any report prepared pursuant to
such contract, including plans, evaluations, studies, analyses and
manuals, and any report prepared by the agency which is substantially
derived from or substantially includes any report prepared pursuant to
such contract, to contain information concerning: (A) the contract
pursuant to which the report was prepared; and (B) the contractor who
prepared the report pursuant to such contract.
Sec. 412. Except as otherwise provided in section 406, none of the
funds provided in this Act to any department or agency shall be
obligated or expended to provide a personal cook, chauffeur, or other
personal servants to any officer or employee of such department or
agency.
Sec. 413. None of the funds provided in this Act to any department
or agency shall be obligated or expended to procure passenger
automobiles as defined in 15 U.S.C. 2001 with an EPA estimated miles per
gallon average of less than 22 miles per gallon.
Sec. 414. None of the funds appropriated in title I of this Act
shall be used to enter into any new lease of real property if the
estimated annual rental is more than $300,000 unless the Secretary
submits a report which the Committees on Appropriations of the Congress
approve within 30 days following the date on which the report is
received.
Sec. 415. 1(a) It is the sense of the Congress that, to the greatest
extent practicable, all equipment and products purchased with funds made
available in this Act should be American-made. (b) In providing
financial assistance to, or entering into any contract with, any entity
using funds made available in this Act, the head of each Federal agency,
to the greatest extent practicable, shall provide to such entity a
notice describing the statement made in subsection (a) by the Congress.
Sec. 416. None of the funds appropriated in this Act may be used to
implement any cap on reimbursements to grantees for indirect costs,
except as published in Office of Management and Budget Circular A-21.
Sec. 417. Such sums as may be necessary for fiscal year 2004 pay
raises for programs funded by this Act shall be absorbed within the
levels appropriated in this Act.
Sec. 418. None of the funds made available in this Act may be used
for any program, project, or activity, when it is made known to the
Federal entity or official to which the funds are made available that
the program, project, or activity is not in compliance with any Federal
law relating to risk assessment, the protection of private property
rights, or unfunded mandates.
Sec. 419. Corporations and agencies of the Department of Housing and
Urban Development which are subject to the Government Corporation
Control Act, as amended, are hereby authorized to make such
expenditures, within the limits of funds and borrowing authority
available to each such corporation or agency and in accord with law, and
to make such contracts and commitments without regard to fiscal year
limitations as provided by section 104 of such Act as may be necessary
in carrying out the programs set forth in the budget for 2004 for such
corporation or agency except as hereinafter provided: Provided, That
collections of these corporations and agencies may be used for new loan
or mortgage purchase commitments only to the extend expressly provided
for in this Act (unless such loans are in support of other forms of
assistance provided for in this or prior
[[Page 844]]
appropriations Acts), except that this proviso shall not apply to the
mortgage insurance or guaranty operations of these corporations, or
where loans or mortgage purchases are necessary to protect the financial
interest of the United States Government.
Sec. 420. Notwithstanding any other provision of law, the term
``qualified student loan'' with respect to national service education
awards shall mean any loan determined by an institution of higher
education to be necessary to cover a student's cost of attendance at
such institution and made directly to a student by a State agency, in
addition to other meanings under section 148(b)(7) of the National and
Community Service Act.
Sec. 421. Except in the case of entities that are funded solely with
Federal funds or any natural persons that are funded under this Act,
none of the funds in this Act shall be used for the planning or
execution of any program to pay the expenses of, or otherwise
compensate, non-Federal parties to lobby or litigate in respect to
adjudicatory proceedings funded in this Act. A chief executive officer
of any entity receiving funds under this Act shall certify that none of
these funds have been used to engage in the lobbying of the Federal
Government or in litigation against the United States unless authorized
under existing law.
Sec. 422. No part of any funds appropriated in this Act shall be
used by an agency of the executive branch, other than for normal and
recognized executive-legislative relationships, for publicity or
propaganda purposes, and for the preparation, distribution or use of any
kit, pamphlet, booklet, publication, radio, television or film
presentation designed to support or defeat legislation pending before
the Congress, except in presentation to the Congress itself.
Sec. 423. Section 312 of the National Aeronautics and Space
Administration of 1958, as amended, is further amended by--
(a) Striking the second Sec. ``312'' and inserting ``313'';
(b) inserting the title, ``Full Cost Appropriations Account
Structure'', before Sec. 313;
(c) in subsection (a)
(1) striking ``Human space flight'' and inserting ``Space
flight capabilities'';
(2) striking ``technology'' and inserting ``exploration'';
and
(3) striking ``2002'' and inserting ``2004'';
(d) striking subsection (c), and inserting the following new
subsection: ``(c) The unexpired balances of prior appropriations to-
the Administration for activities authorized under this Act may be
transferred to the new account established for such activity in
subsection (a). Balances so transferred may be merged with funds in
the newly established account and thereafter may be accounted for as
one fund under the same terms and conditions''.
Sec. 424. Chapter 17 of title 38, United States Code, is amended--
(1) in section 1705 by adding at the end the following new
subsection:
``(d) The Secretary may not enroll a veteran under paragraph
(a)(7) (Except for a veteran with a service-connected disability) or
under paragraph (a)(8) unless the veteran pays to the United States
an annual enrollment fee of $250.''
(2) in section 1729A(b) by redesignating paragraphs (1) through
(8) as paragraphs (2) through (9) and by adding at the beginning the
following new paragraph (1):
``(1) Section 1705(d) of this title.''.
Sec. 425. Notwithstanding 38 U.S.C. 1722A, the Secretary shall
require a veteran enrolled in priority category 7 or 8 to pay the United
States $15 for each 30-day supply of medication furnished such veteran
under chapter 17 of title 38, United States Code, on an outpatient basis
for the treatment of a non-service-connected disability or condition.
Sec. 426. Section 1710B(b) of title 38, United States Code, is
amended to read as follows:
``(b) The Secretary shall ensure that the average daily census in
nursing homes, domiciliaries, home care programs, and noninstitutional
extended care services programs over which the Secretary has direct
jurisdiction and for which the Secretary contracts, plus the average
daily census of veterans for which the Secretary pays per diem to States
for services in State homes, is not less in total than in fiscal year
1998.''
Sec. 427. Section 1722A of title 38, United States Code, is amended
by striking subsection (d).
Sec. 428. No funds of the Department of Veterans Affairs shall be
available for hospital care or nursing home care or medical services
provided to any person under chapter 17 of title 38, United States Code,
for a non-service-connected disability described in section 1729(a)(2)
of such title, unless that person has disclosed to the Secretary of
Veterans Affairs, in such form as the Secretary may require, current,
accurate third-party reimbursement information for purposes of section
1729 of such title; Provided, That the Secretary may recover, in the
same manner as any other debt due the United States, the reasonable
charges for such care or services from any person who does not make such
disclosure as required; Provided further, That any amounts so recovered
for care or services provided in a prior fiscal year may be obligated by
the Secretary during the fiscal year in which amounts is received.
Sec. 429. Section 1722A(a)(3)(B) of title 38, United States Code, is
amended by striking out ``such veteran if such veteran were eligible for
pension under section 1521'' and inserting in lieu thereof ``a veteran
with no dependents under section 1521(d)''.