[Appendix]
[Detailed Budget Estimates by Agency]
[Small Business Administration]
[From the U.S. Government Printing Office, www.gpo.gov]


                     THE BUDGET FOR FISCAL YEAR 2004

[[Page 983]]

 
                      SMALL BUSINESS ADMINISTRATION

    For 2004, the Small Business Administration (SBA) budget requests 
$797.9 million in new budget authority. SBA's continuing operations will 
provide over $20 billion in new loans to small businesses, funding for 
non-credit programs, and funding for the disaster loan program. SBA has 
revised its 7(a) loan subsidy model to more accurately reflect the costs 
of the program.

                              Federal Funds

General and special funds:

                          Salaries and Expenses

    For necessary expenses, not otherwise provided for, of the Small 
Business Administration as authorized by Public Law 105-135, including 
hire of passenger motor vehicles as authorized by 31 U.S.C. 1343 and 
1344, and not to exceed $3,500 for official reception and representation 
expenses, $360,155,000: Provided, That the Administrator is authorized 
to charge fees to cover the cost of publications developed by the Small 
Business Administration, and certain loan servicing activities: Provided 
further, That, notwithstanding 31 U.S.C. 3302, revenues received from 
all such activities shall be credited to this account, to be available 
for carrying out these purposes without further appropriations: Provided 
further, That $88,000,000 shall be available to fund grants for 
performance in fiscal year 2004 or fiscal year 2005 as authorized by 
section 21 of the Small Business Act, as amended. In addition to amounts 
otherwise available from collections, 5 percent of such collections, not 
to exceed $3,000,000, for qualified expenses of delinquent non-tax debt 
collection.

    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 73-0100-0-1-376      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------

    Obligations by program activity:
00.01 Government contracting and 
        minority enterprise development.          31          32          32
00.02 Disaster assistance...............         121         134         108
00.04 Management and administration.....         111         114         116
00.05 Executive direction...............           4           4           5
00.06 General counsel...................           8           8           9
00.07 Congressional and legislative 
        affairs.........................           1           1           1
00.08 Hearings and appeals..............           1           1           1
00.09 Communications and publications...           3           3           3
00.11 Advocacy..........................           5           7           8
00.12 Field operations..................           2           1           1
00.13 Equal employment opportunity and 
        civil rights compliance.........           2           2           2
00.14 Regional and district offices.....         140         150         152
00.15 Chief financial officer...........           9           9           9
00.16 Capital Access....................          55          79          48
00.17 Entrepreneurial development.......         116         115         114
00.18 Small disadvantaged businesses....           1           2           2
00.19 Veteran's Business Development....           1           1           1
                                           ---------   ---------  ----------
10.00   Total new obligations...........         611         663         612
----------------------------------------------------------------------------

    Budgetary resources available for obligation:
21.40 Unobligated balance carried 
        forward, start of year..........          41          56           1
22.00 New budget authority (gross)......         632         608         612
                                           ---------   ---------  ----------
23.90   Total budgetary resources 
          available for obligation......         673         664         613
23.95 Total new obligations.............        -611        -663        -612
23.98 Unobligated balance expiring or 
        withdrawn.......................          -6
24.40 Unobligated balance carried 
        forward, end of year............          56           1           1
----------------------------------------------------------------------------

    New budget authority (gross), detail:
      Discretionary:

40.00   Appropriation...................         338         353         360
42.00   Transferred from other accounts.           3
                                           ---------   ---------  ----------
43.00     Appropriation (total 
            discretionary)..............         341         353         360
68.00 Spending authority from offsetting 
        collections: Offsetting 
        collections (cash)..............         291         255         252
                                           ---------   ---------  ----------
70.00   Total new budget authority 
          (gross).......................         632         608         612
----------------------------------------------------------------------------

    Change in obligated balances:
72.40 Obligated balance, start of year..         311         292         390
73.10 Total new obligations.............         611         663         612
73.20 Total outlays (gross).............        -628        -565        -607
73.40 Adjustments in expired accounts 
        (net)...........................          -3
74.40 Obligated balance, end of year....         292         390         395
----------------------------------------------------------------------------

    Outlays (gross), detail:
86.90 Outlays from new discretionary 
        authority.......................         499         449         450
86.93 Outlays from discretionary 
        balances........................         129         116         157
                                           ---------   ---------  ----------
87.00   Total outlays (gross)...........         628         565         607
----------------------------------------------------------------------------

    Offsets:
      Against gross budget authority and outlays:

        Offsetting collections (cash) 
            from:
          Federal sources:
88.00       Payments from business loan 
              program account...........        -129        -129        -129
88.00       Payments from disaster loan 
              program account...........        -157        -121        -118
88.00       Federal sources.............          -4          -2          -2
88.40     Non-Federal sources...........          -3          -3          -3
                                           ---------   ---------  ----------
88.90       Total, offsetting 
              collections (cash)........        -293        -255        -252
      Against gross budget authority only:

88.96   Portion of offsetting 
          collections (cash) credited to 
          expired accounts..............           2
----------------------------------------------------------------------------

    Net budget authority and outlays:
89.00 Budget authority..................         341         353         360
90.00 Outlays...........................         334         310         355
----------------------------------------------------------------------------

Additional net budget authority and outlays to cover cost of fully accruing 
                                 retirement:
99.00 Budget authority..................           9           9           9
99.01 Outlays...........................           9           9           9
---------------------------------------------------------------------------

    The appropriation for this account is necessary to cover the 
administrative expenses for headquarters and non-credit programs.

               Object Classification (in millions of dollars)

----------------------------------------------------------------------------
Identification code 73-0100-0-1-376      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------

      Personnel compensation:

11.1    Full-time permanent.............         179         192         200
11.3    Other than full-time permanent..           8           8           8
11.5    Other personnel compensation....           4           3           3
                                           ---------   ---------  ----------
11.9      Total personnel compensation..         191         203         211
12.1  Civilian personnel benefits.......          45          50          49
21.0  Travel and transportation of 
        persons.........................           4           5           4
22.0  Transportation of things..........                       3
23.1  Rental payments to GSA............          31          32          36
23.3  Communications, utilities, and 
        miscellaneous charges...........           4           4           6
24.0  Printing and reproduction.........           1           1           1
25.2  Other services....................          42          72          67
      Other purchases of goods and services from 
          Government accounts:

25.3    Other purchases of goods and 
          services from Government 
          accounts (disaster loan 
          making).......................          94         104          80
25.3    Other purchases of goods and 
          services from Government 
          accounts (disaster loan serv).          27          30          28
26.0  Supplies and materials............           2
31.0  Equipment.........................           2
41.0  Grants, subsidies, and 
        contributions...................         168         159         130
                                           ---------   ---------  ----------
99.9    Total new obligations...........         611         663         612
---------------------------------------------------------------------------

[[Page 984]]



                              Personnel Summary

----------------------------------------------------------------------------
Identification code 73-0100-0-1-376      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------
1001  Total compensable workyears: 
        Civilian full-time equivalent 
        employment......................       3,843       3,802       3,802
---------------------------------------------------------------------------
    Note.--The personnel summary includes regular (non-disaster) full-
time equivalents (FTEs) of 2761, 2634, and 2634 in 2002, 2003, and 2004 
respectively.

                                

                       Office of Inspector General

    For necessary expenses of the Office of Inspector General in 
carrying out the provisions of the Inspector General Act of 1978, as 
amended (5 U.S.C. App.), $14,500,000.

    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 73-0200-0-1-376      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------

    Obligations by program activity:
00.01 General Office....................           1           1           1
00.02 Audit.............................           5           6           6
00.03 Investigations....................           5           7           7
00.04 Management / Legal Counsel / 
        Inspection and Evaluation.......           1           1           1
                                           ---------   ---------  ----------
10.00   Total new obligations...........          12          15          15
----------------------------------------------------------------------------

    Budgetary resources available for obligation:
22.00 New budget authority (gross)......          12          15          15
23.95 Total new obligations.............         -12         -15         -15
----------------------------------------------------------------------------

    New budget authority (gross), detail:
      Discretionary:

40.00   Appropriation...................          11          14          14
68.00 Spending authority from offsetting 
        collections: Offsetting 
        collections (cash)..............           1           1           1
                                           ---------   ---------  ----------
70.00   Total new budget authority 
          (gross).......................          12          15          15
----------------------------------------------------------------------------

    Change in obligated balances:
73.10 Total new obligations.............          12          15          15
73.20 Total outlays (gross).............         -12         -14         -15
----------------------------------------------------------------------------

    Outlays (gross), detail:
86.90 Outlays from new discretionary 
        authority.......................          12          14          14
86.93 Outlays from discretionary 
        balances........................                                   1
                                           ---------   ---------  ----------
87.00   Total outlays (gross)...........          12          14          15
----------------------------------------------------------------------------

    Offsets:
      Against gross budget authority and outlays:

88.00   Offsetting collections (cash) 
          from: Payments from disaster 
          loan program account..........          -1          -1          -1
----------------------------------------------------------------------------

    Net budget authority and outlays:
89.00 Budget authority..................          11          14          14
90.00 Outlays...........................          13          13          14
----------------------------------------------------------------------------

Additional net budget authority and outlays to cover cost of fully accruing 
                                 retirement:
99.00 Budget authority..................           1           1           1
99.01 Outlays...........................           1           1           1
---------------------------------------------------------------------------

    The budget proposes $14.5 million in new budget authority and $500 
thousand transferred from the Disaster Loans Program account for a total 
of $15.0 million for the Office of Inspector General (OIG) for 2004. 
This appropriation provides funds for agency-wide audit, investigative, 
and inspection/evaluation functions to promote economy and efficiency in 
agency operations and to prevent and detect fraud, waste, and abuse.

               Object Classification (in millions of dollars)

----------------------------------------------------------------------------
Identification code 73-0200-0-1-376      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------

      Personnel compensation:

11.1    Full-time permanent.............           8           9           9
11.5    Other personnel compensation....           1           1           1
                                           ---------   ---------  ----------
11.9      Total personnel compensation..           9          10          10
12.1  Civilian personnel benefits.......           2           2           2
25.1  Advisory and assistance services..           1           3           3
                                           ---------   ---------  ----------
99.9    Total new obligations...........          12          15          15
---------------------------------------------------------------------------

                              Personnel Summary

----------------------------------------------------------------------------
Identification code 73-0200-0-1-376      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------
1001  Total compensable workyears: 
        Civilian full-time equivalent 
        employment......................         108         125         125
---------------------------------------------------------------------------

                                

Public enterprise funds:

                  Surety Bond Guarantees Revolving Fund

               Program and Financing (in millions of dollars)

----------------------------------------------------------------------------
Identification code 73-4156-0-3-376      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------

    Obligations by program activity:
09.01 Reimbursable obligations..........           6           9          11
                                           ---------   ---------  ----------
10.00   Total new obligations (object 
          class 42.0)...................           6           9          11
----------------------------------------------------------------------------

    Budgetary resources available for obligation:
21.40 Unobligated balance carried 
        forward, start of year..........          26          26          23
22.00 New budget authority (gross)......           6           6           7
                                           ---------   ---------  ----------
23.90   Total budgetary resources 
          available for obligation......          32          32          30
23.95 Total new obligations.............          -6          -9         -11
24.40 Unobligated balance carried 
        forward, end of year............          26          23          20
----------------------------------------------------------------------------

    New budget authority (gross), detail:
      Discretionary:

68.00   Spending authority from 
          offsetting collections 
          (gross): Offsetting 
          collections (cash)............           6           6           7
----------------------------------------------------------------------------

    Change in obligated balances:
72.40 Obligated balance, start of year..           1           1           1
73.10 Total new obligations.............           6           9          11
73.20 Total outlays (gross).............          -6          -9         -10
74.40 Obligated balance, end of year....           1           1           1
----------------------------------------------------------------------------

    Outlays (gross), detail:
86.90 Outlays from new discretionary 
        authority.......................           6           6           7
86.93 Outlays from discretionary 
        balances........................                       3           3
                                           ---------   ---------  ----------
87.00   Total outlays (gross)...........           6           9          10
----------------------------------------------------------------------------

    Offsets:
      Against gross budget authority and outlays:

88.40   Offsetting collections (cash) 
          from: Non-Federal sources.....          -6          -6          -7
----------------------------------------------------------------------------

    Net budget authority and outlays:
89.00 Budget authority..................
90.00 Outlays...........................          -1           3           3
---------------------------------------------------------------------------

    SBA is authorized to issue bond guarantees to surety companies for 
construction, service, and supply contracts that do not exceed 
$2,000,000 and to reimburse these sureties up to 90 percent of the 
losses sustained if the contractor defaults. SBA's guarantees provide 
the incentive necessary for sureties to issue bonds to small contractors 
who could not otherwise compete in the contracting industry.

    In 2004, the budget proposes a $1.7 billion program level that is 
anticipated to be sufficient to accommodate demand from prior-approval 
and preferred sureties. This program does not require a subsidy 
appropriation.

[[Page 985]]

                        Statement of Operations (in millions of dollars)

-----------------------------------------------------------------------------------------------
Identification code   73-4156-0-3-376    2001 actual    2002 actual     2003 est.      2004 est.
-----------------------------------------------------------------------------------------------
0101  Revenue...........................           3              6             6              7
0102  Expense...........................         -10             -6            -9            -11
                                        ------------ --------------  ------------  -------------
0105  Net income or loss (-)............          -7                           -3             -4
-----------------------------------------------------------------------------------------------

                             Balance Sheet (in millions of dollars)

-----------------------------------------------------------------------------------------------
Identification code   73-4156-0-3-376    2001 actual    2002 actual     2003 est.      2004 est.
-----------------------------------------------------------------------------------------------
    ASSETS:
      Federal assets:

1101    Fund balances with Treasury.....          26             27            25             24
        Investments in US securities:
1106      Receivables, net..............           6              5             5              6
                                        ------------ --------------  ------------  -------------
1999    Total assets....................          32             32            30             30
    LIABILITIES:
2201  Non-Federal liabilities: Accounts 
        payable.........................          14             16            17             15
                                        ------------ --------------  ------------  -------------
2999    Total liabilities...............          14             16            17             15
    NET POSITION:
3100  Appropriated capital..............         293            289           332            333
3300  Cumulative results of operations..        -275           -273          -319           -318
                                        ------------ --------------  ------------  -------------
3999    Total net position..............          18             16            13             15
                                        ------------ --------------  ------------  -------------
4999  Total liabilities and net position          32             32            30             30
-----------------------------------------------------------------------------------------------

                                

Credit accounts:

                     Business Loans Program Account

    For the cost of direct loans, $1,910,000, to be available until 
expended; and for the cost of guaranteed loans, $94,860,000, as 
authorized by 15 U.S.C. 631 note, of which $45,000,000 shall remain 
available until September 30, 2005: 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 commitments to guarantee loans under section 503 
of the Small Business Investment Act of 1958, as amended (the Act), 
shall not exceed $4,500,000,000: Provided further, That during fiscal 
year 2004 commitments to guarantee loans for debentures and 
participating securities under section 303(b) of the Act shall not 
exceed the levels established by section 20(i)(1)(C) of the Small 
Business Act: Provided further, That during fiscal year 2004 guarantees 
of trust certificates authorized by section 5(g) of the Small Business 
Act shall not exceed a principal amount of $10,000,000,000.
    In addition, for administrative expenses to carry out the direct and 
guaranteed loan programs, $129,000,000, which may be transferred to and 
merged with the appropriations for Salaries and Expenses.

    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 73-1154-0-1-376      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------
0102  Negative subsidies/subsidy 
        reestimates.....................         389         258
---------------------------------------------------------------------------

               Program and Financing (in millions of dollars)

----------------------------------------------------------------------------
Identification code 73-1154-0-1-376      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------

    Obligations by program activity:
00.01 Direct loan subsidy...............           1           4           3
00.02 Guaranteed loan subsidy...........         129          85          95
00.05 Reestimate of direct loan.........           1           2
00.06 Interest on direct loan 
        reestimation....................                       2
00.07 Reestimate of loan guarantee 
        subsidy.........................          72         526
00.08 Interest on reestimates of loan 
        guarantee subsidy...............          19         163
00.09 Administrative expenses...........         129         129         129
                                           ---------   ---------  ----------
10.00   Total new obligations...........         351         911         227
----------------------------------------------------------------------------

    Budgetary resources available for obligation:
21.40 Unobligated balance carried 
        forward, start of year..........          54          73          73
22.00 New budget authority (gross)......         370         911         226
                                           ---------   ---------  ----------
23.90   Total budgetary resources 
          available for obligation......         424         984         299
23.95 Total new obligations.............        -351        -911        -227
24.40 Unobligated balance carried 
        forward, end of year............          73          73          72
----------------------------------------------------------------------------

    New budget authority (gross), detail:
      Discretionary:

        Appropriation:
40.00     Appropriation.................         209         218         226
40.00     Appropriation (terrorism).....          75
40.36   Unobligated balance rescinded...          -6
                                           ---------   ---------  ----------
43.00     Appropriation (total 
            discretionary)..............         278         218         226
      Mandatory:

60.00   Appropriation...................          92         693
                                           ---------   ---------  ----------
70.00   Total new budget authority 
          (gross).......................         370         911         226
----------------------------------------------------------------------------

    Change in obligated balances:
72.40 Obligated balance, start of year..          93          98          78
73.10 Total new obligations.............         351         911         227
73.20 Total outlays (gross).............        -346        -933        -223
74.40 Obligated balance, end of year....          98          78          82
----------------------------------------------------------------------------

    Outlays (gross), detail:
86.90 Outlays from new discretionary 
        authority.......................         146         137         142
86.93 Outlays from discretionary 
        balances........................         108         103          81
86.97 Outlays from new mandatory 
        authority.......................          92         693
                                           ---------   ---------  ----------
87.00   Total outlays (gross)...........         346         933         223
----------------------------------------------------------------------------

    Net budget authority and outlays:
89.00 Budget authority..................         370         911         226
90.00 Outlays...........................         346         933         223
----------------------------------------------------------------------------

Additional net budget authority and outlays to cover cost of fully accruing 
                                 retirement:
99.00 Budget authority..................           4           4           4
99.01 Outlays...........................           4           4           4
---------------------------------------------------------------------------

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in 
                            millions of dollars)

----------------------------------------------------------------------------
Identification code 73-1154-0-1-376      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------
    Direct loan levels supportable by subsidy 
                budget authority:
115001Micro loans.......................          16          27          20
                                           ---------   ---------  ----------
115901Total direct loan levels..........          16          27          20
    Direct loan subsidy (in percent):
132001Micro loans.......................        6.78       13.05        9.55
                                           ---------   ---------  ----------
132901Weighted average subsidy rate.....        6.78       13.05        9.55
    Direct loan subsidy budget authority:
133001Micro loans.......................           1           4           2
                                           ---------   ---------  ----------
133901Total subsidy budget authority....           1           4           2
    Direct loan subsidy outlays:
134001Micro loans.......................           1           2           1
                                           ---------   ---------  ----------
134901Total subsidy outlays.............           1           2           1
    Direct loan upward reestimate subsidy budget 
                authority:
135001Micro loans.......................           1           4
                                           ---------   ---------  ----------
135901Total upward reestimate budget 
        authority.......................           1           4
    Direct loan upward reestimate subsidy outlays:
136001Micro loans.......................           1           4
                                           ---------   ---------  ----------
136901Total upward reestimate outlays...           1           4
    Direct loan downward reestimate subsidy budget 
                authority:
137001Micro loans.......................          -4          -2
                                           ---------   ---------  ----------
137901Total downward reestimate budget 
        authority.......................          -4          -2
    Direct loan downward reestimate subsidy 
                outlays:
138001Micro loans.......................          -4          -2
                                           ---------   ---------  ----------
138901Total downward reestimate subsidy 
        outlays.........................          -4          -2
----------------------------------------------------------------------------

    Guaranteed loan levels supportable by subsidy 
                budget authority:
215001Microloan guarantees..............           2           2           2
215002General business--7(a)............       9,287       4,850       9,300
215002General business--7(a)-terrorist 
        response........................       1,779       2,544
215003General business--7(a) DELTA......           1          20
215004Section 504.......................       2,467       4,500       4,500

[[Page 986]]

215005Section 504 DELTA.................                       3
215006SBIC debentures...................         411       3,000       3,000
215007SBIC participating securities.....       1,300       4,000       4,000
215008New Market Venture Capital........          19          64
2150097(a) secondary market.............
                                           ---------   ---------  ----------
215901Total loan guarantee levels.......      15,266      18,983      20,802
    Guaranteed loan subsidy (in percent):
232001Microloan guarantees..............        8.17        8.42        8.66
232002General business--7(a)............        1.07        1.76        1.02
232002General business--7(a)-terrorist 
        response........................        1.67        1.78        0.00
232003General business--7(a) DELTA......        1.73        2.40        1.56
232004Section 504.......................        0.00        0.00        0.00
232005Section 504 DELTA.................        0.84        0.88        0.86
232006SBIC debentures...................        0.00        0.00        0.00
232007SBIC participating securities.....        0.00        0.00        0.00
232008New Market Venture Capital........       14.47       15.46       16.05
2320097(a) secondary market.............        0.00        0.00       66.04
                                           ---------   ---------  ----------
232901Weighted average subsidy rate.....        0.86        0.45        0.46
    Guaranteed loan subsidy budget authority:
233001Microloan guarantees..............
233002General business--7(a)............          99          85          95
233002General business--7(a)-terrorist 
        response........................          30
233003General business--7(a) DELTA......
233004Section 504.......................
233005Section 504 DELTA.................
233006SBIC debentures...................
233007SBIC participating securities.....
233008New Market Venture Capital........           3
2330097(a) secondary market.............
                                           ---------   ---------  ----------
233901Total subsidy budget authority....         132          85          95
    Guaranteed loan subsidy outlays:
234001Microloan guarantees..............
234002General business--7(a)............          96          81          86
234002General business--7(a)-terrorist 
        response........................          24          16
234003General business--7(a) DELTA......           1           1           1
234004Section 504.......................
234005Section 504 DELTA.................
234006SBIC debentures...................
234007SBIC participating securities.....
234008New Market Venture Capital........           3           9           7
2340097(a) secondary market.............
                                           ---------   ---------  ----------
234901Total subsidy outlays.............         124         107          94
    Guaranteed loan upward reestimate subsidy 
                budget authority:
235001Microloan guarantees..............
235002General business--7(a)............           5         189
235003General business--7(a) DELTA......
235004Section 504.......................          23         146
235005Section 504 DELTA.................
235006SBIC debentures...................          10          27
235007SBIC participating securities.....          53         327
                                           ---------   ---------  ----------
235901Total upward reestimate budget 
        authority.......................          91         689
    Guaranteed loan upward reestimate subsidy 
                outlays:
236001Microloan guarantees..............
236002General business--7(a)............           5         189
236003General business--7(a) DELTA......
236004Section 504.......................          23         146
236005Section 504 DELTA.................
236006SBIC debentures...................          10          27
236007SBIC participating securities.....          53         327
                                           ---------   ---------  ----------
236901Total upward reestimate subsidy 
        outlays.........................          91         689
    Guaranteed loan downward reestimate subsidy 
                budget authority:
237001Microloan guarantees..............
237002General business--7(a)............        -182        -158
237003General business--7(a) DELTA......
237004Section 504.......................        -112         -10
237005Section 504 DELTA.................
237006SBIC debentures...................         -52         -34
237007SBIC participating securities.....         -38         -54
                                           ---------   ---------  ----------
237901Total downward reestimate subsidy 
        budget authority................        -384        -256
    Guaranteed loan downward reestimate subsidy 
                outlays:
238001Microloan guarantees..............
238002General business--7(a)............        -182        -158
238003General business--7(a) DELTA......
238004Section 504.......................        -112         -10
238005Section 504 DELTA.................
238006SBIC debentures...................         -52         -34
238007SBIC participating securities.....         -38         -54
                                           ---------   ---------  ----------
238901Total downward reestimate subsidy 
        outlays.........................        -384        -256
----------------------------------------------------------------------------

    Administrative expense data:
351001Budget authority..................         129         129         129
358001Outlays from balances.............
359001Outlays from new authority........         129         129         129
---------------------------------------------------------------------------

    As required by the Federal Credit Reform Act of 1990, as amended, 
this account records, for this program, 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 
administrative expenses of this program. The subsidy amounts are 
estimated on a present value basis; the administrative expenses are 
estimated on a cash basis.

    For 2004, the budget proposes $225.8 million in new budget authority 
for the Business Loans Program account. This amount will be used to 
administer the loan programs and support 7(a) loans and the Microloan 
Direct program. For all other loan programs, borrowers fees are 
sufficient to cover subsidy obligations.

    The Section 7(a) program provides general business credit 
assistance. The requested program level for 2004 is $9.3 billion. The 
Section 504 CDC Program is for long-term fixed rate financing and will 
require a program level of $4.5 billion in 2004. The Small Business 
Investment Companies (SBIC) program provides debt and equity capital. 
The budget proposes a program level of $4 billion for SBIC Participating 
Securities and $3 billion for SBIC Debentures. The Microloan Direct 
program provides loans of $35,000 or less through intermediaries.

    The Master Reserve Fund (MRF) is maintained by the SBA's fiscal 
agent as part of its Administration of the 7(a) secondary market 
program. The MRF provides for the pooling of loans having terms that 
vary with a range prescribed by SBA, while the secondary investors have 
a fixed term for their investment that is the term of the longest loan 
in the pool. The balances include the principal portion of the 
borrowers' first payment for pooled loans and float on borrowers' 
payments received prior to their disbursement to the secondary holders. 
The earnings on the balances are used to fund the SBA's guarantee of the 
timely payment of principal and interest owed to the 7(a) secondary 
market holders and to pay expenses of the MRF trustee and investment 
advisor.

    To improve financial management of the MRF, SBA will budget for the 
7(a) secondary market program in accordance with the Federal Credit 
Reform Act. SBA will refine its subsidy estimates and account for loans 
in both financing and liquidating accounts. The 7(a) secondary market 
has approximately $12 billion of currently outstanding investments held 
by 7(a) secondary holders.

               Object Classification (in millions of dollars)

----------------------------------------------------------------------------
Identification code 73-1154-0-1-376      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------
25.2  Other services....................         129         129         129
41.0  Grants, subsidies, and 
        contributions...................         222         782          98
                                           ---------   ---------  ----------
99.9    Total new obligations...........         351         911         227
---------------------------------------------------------------------------

[[Page 987]]



                                

                 Business Direct Loan Financing Account

               Program and Financing (in millions of dollars)

----------------------------------------------------------------------------
Identification code 73-4148-0-3-376      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------

    Obligations by program activity:
00.01 Direct loans......................          16          27          20
00.02 Interest on Treasury borrowing....          29          35          33
                                           ---------   ---------  ----------
00.91   Direct Program by Activities--
          Subtotal (1 level)............          45          62          53
08.02 Payment of downward reestimate to 
        a receipt account...............           3           1
08.04 Payment of interest on downward 
        reestimate to a receipt account.           1           1
                                           ---------   ---------  ----------
08.91   Direct Program by Activities--
          Subtotal (1 level)............           4           2
                                           ---------   ---------  ----------
10.00   Total new obligations...........          49          64          53
----------------------------------------------------------------------------

    Budgetary resources available for obligation:
21.40 Unobligated balance carried 
        forward, start of year..........         317         309
22.00 New financing authority (gross)...          55          98          74
22.10 Resources available from 
        recoveries of prior year 
        obligations.....................           3
22.60 Portion applied to repay debt.....         -17        -341         -21
                                           ---------   ---------  ----------
23.90   Total budgetary resources 
          available for obligation......         358          66          53
23.95 Total new obligations.............         -49         -64         -53
24.40 Unobligated balance carried 
        forward, end of year............         309
----------------------------------------------------------------------------

    New financing authority (gross), detail:
      Discretionary:

47.00   Authority to borrow.............          24          23          17
      Spending authority from offsetting 
          collections:

68.00   Offsetting collections (cash)...          69          75          57
68.10   Change in receivables from 
          program account...............         -38
                                           ---------   ---------  ----------
68.90     Spending authority from 
            offsetting collections 
            (total discretionary).......          31          75          57
                                           ---------   ---------  ----------
70.00   Total new financing authority 
          (gross).......................          55          98          74
----------------------------------------------------------------------------

    Change in obligated balances:
72.40 Obligated balance, start of year..          39          23           8
73.10 Total new obligations.............          49          64          53
73.20 Total financing disbursements 
        (gross).........................        -100         -80         -61
73.45 Recoveries of prior year 
        obligations.....................          -3
74.00 Change in uncollected customer 
        payments from Federal sources 
        (unexpired).....................          38
74.40 Obligated balance, end of year....          23           8
87.00 Total financing disbursements 
        (gross).........................         100          80          61
----------------------------------------------------------------------------

    Offsets:
      Against gross financing authority and 
          financing disbursements:

        Offsetting collections (cash) 
            from:
          Federal sources:
88.00       Federal sources: Payments 
              from program account......          -1          -2          -1
88.00       Upward reestimate...........          -1          -2
88.00       Interest on reestimate......                      -2
88.25     Interest on uninvested funds..         -12         -13         -14
          Non-Federal sources:
88.40       Repayments of principal, net         -16         -17         -18
88.40       Misc. fees..................          -1
88.40       Interest received on loans..          -2          -4          -3
88.40       Other income................         -36         -35         -21
                                           ---------   ---------  ----------
88.90       Total, offsetting 
              collections (cash)........         -69         -75         -57
      Against gross financing authority only:

88.95   Change in receivables from 
          program accounts..............          38
----------------------------------------------------------------------------

    Net financing authority and financing 
        disbursements:
89.00 Financing authority...............          24          23          17
90.00 Financing disbursements...........          31           5           4
---------------------------------------------------------------------------

               Status of Direct Loans (in millions of dollars)

----------------------------------------------------------------------------
Identification code 73-4148-0-3-376      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------
    Position with respect to appropriations act 
                limitation on obligations:
1111  Limitation on direct loans........          16          27          20
                                           ---------   ---------  ----------
1150    Total direct loan obligations...          16          27          20
----------------------------------------------------------------------------

    Cumulative balance of direct loans 
                outstanding:
1210  Outstanding, start of year........         107         119         122
1231  Disbursements: Direct loan 
        disbursements...................          25          18          19
1251  Repayments: Repayments and 
        prepayments.....................         -13         -10         -11
1263  Write-offs for default: Direct 
        loans...........................                      -5          -6
                                           ---------   ---------  ----------
1290    Outstanding, end of year........         119         122         124
---------------------------------------------------------------------------

    As required by the Federal Credit Reform Act of 1990, as amended, 
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   73-4148-0-3-376    2001 actual    2002 actual     2003 est.      2004 est.
-----------------------------------------------------------------------------------------------
    ASSETS:
      Federal assets:

1101    Fund balances with Treasury.....         305            333           339            346
        Investments in US securities:
1106      Receivables, net..............          41              4             6              8
      Non-Federal assets:

1206    Receivables, net................          30              1             2              3
1207    Advances and prepayments........                          1
      Net value of assets related to 
          post-1991 direct loans 
          receivable:

1401    Direct loans receivable, gross..         107            119           122            124
1405    Allowance for subsidy cost (-)..          -3            -10           -12            -14
                                        ------------ --------------  ------------  -------------
1499      Net present value of assets 
            related to direct loans.....         104            109           110            110
1504  Net value of assets related to 
        post-1991 acquired defaulted 
        guaranteed loans receivable: 
        Foreclosed property.............
                                        ------------ --------------  ------------  -------------
1999    Total assets....................         480            448           457            467
    LIABILITIES:
      Federal liabilities:

2101    Accounts payable................          43              1             3              5
2103    Debt............................         437            443           451            459
2207  Non-Federal liabilities: Other....                          4             3              3
                                        ------------ --------------  ------------  -------------
2999    Total liabilities...............         480            448           457            467
                                        ------------ --------------  ------------  -------------
4999  Total liabilities and net position         480            448           457            467
-----------------------------------------------------------------------------------------------

                                

               Business Guaranteed Loan Financing Account

               Program and Financing (in millions of dollars)

----------------------------------------------------------------------------
Identification code 73-4149-0-3-376      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------

    Obligations by program activity:
00.01 Default claims....................       1,253       1,390         995
00.05 Other Expenses....................           5          10          13
                                           ---------   ---------  ----------
00.91   Direct Program by Activities--
          Subtotal (1 level)............       1,258       1,400       1,008
08.02 Payment of downward reestimate to 
        receipt account.................         298         222
08.03 Payment to liquidating account to 
        purchase loan assets (73-4154)..          19
08.04 Payment of interest on downward 
        reestimate to receipt account...          86          34
                                           ---------   ---------  ----------
08.91   Direct Program by Activities--
          Subtotal (1 level)............         403         256
                                           ---------   ---------  ----------
10.00   Total new obligations...........       1,661       1,656       1,008
----------------------------------------------------------------------------

    Budgetary resources available for obligation:
21.40 Unobligated balance carried 
        forward, start of year..........         136         183         292
22.00 New financing authority (gross)...       1,708       1,764         931
                                           ---------   ---------  ----------
23.90   Total budgetary resources 
          available for obligation......       1,844       1,947       1,223
23.95 Total new obligations.............      -1,661      -1,656      -1,008
24.40 Unobligated balance carried 
        forward, end of year............         183         292         215
----------------------------------------------------------------------------

    New financing authority (gross), detail:
      Discretionary:

47.00   Authority to borrow.............         850         150         250
      Spending authority from offsetting 
          collections:

68.00   Offsetting collections (cash)...         872       1,614         681

[[Page 988]]

68.10   Change in uncollected customer 
          payments from Federal sources 
          (unexpired)...................         -14
                                           ---------   ---------  ----------
68.90     Spending authority from 
            offsetting collections 
            (total discretionary).......         858       1,614         681
                                           ---------   ---------  ----------
70.00   Total new financing authority 
          (gross).......................       1,708       1,764         931
----------------------------------------------------------------------------

    Change in obligated balances:
72.40 Obligated balance, start of year..          -8          69          98
73.10 Total new obligations.............       1,661       1,656       1,008
73.20 Total financing disbursements 
        (gross).........................      -1,598      -1,627        -907
74.00 Change in uncollected customer 
        payments from Federal sources 
        (unexpired).....................          14
74.40 Obligated balance, end of year....          69          98         199
87.00 Total financing disbursements 
        (gross).........................       1,598       1,627         907
----------------------------------------------------------------------------

    Offsets:
      Against gross financing authority and 
          financing disbursements:

        Offsetting collections (cash) 
            from:
          Federal sources:
88.00       Payments from program 
              account...................        -124        -107         -94
88.00       Upward reestimate...........         -72        -526
88.00       Interest on reestimate......         -19        -163
88.25     Interest on uninvested funds..         -45         -48         -48
          Non-Federal sources:
88.40       Fees........................        -314        -300         -35
88.40       Recoveries..................        -209        -279        -302
88.40       Proceeds from loan asset 
              sales.....................         -53
88.40       Other.......................         -36        -191        -202
                                           ---------   ---------  ----------
88.90       Total, offsetting 
              collections (cash)........        -872      -1,614        -681
      Against gross financing authority only:

88.95   Change in receivables from 
          program accounts..............          14
----------------------------------------------------------------------------

    Net financing authority and financing 
        disbursements:
89.00 Financing authority...............         850         150         250
90.00 Financing disbursements...........         726          13         226
---------------------------------------------------------------------------

             Status of Guaranteed Loans (in millions of dollars)

----------------------------------------------------------------------------
Identification code 73-4149-0-3-376      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------
    Position with respect to appropriations act 
                limitation on commitments:
2111  Limitation on guaranteed loans 
        made by private lenders.........      15,266      18,983      20,802
                                           ---------   ---------  ----------
2150    Total guaranteed loan 
          commitments...................      15,266      18,983      20,802
2199  Guaranteed amount of guaranteed 
        loan commitments................      12,213      15,186      16,642
----------------------------------------------------------------------------

    Cumulative balance of guaranteed loans 
                outstanding:
2210  Outstanding, start of year........      35,107      40,023      41,933
2231  Disbursements of new guaranteed 
        loans...........................      12,342      10,111      10,741
2251  Repayments and prepayments........      -7,427      -7,481      -8,138
      Adjustments:

2261    Terminations for default that 
          result in loans receivable....        -922        -684        -698
2264    Other adjustments, net..........         923         -36         -37
                                           ---------   ---------  ----------
2290    Outstanding, end of year........      40,023      41,933      43,801
----------------------------------------------------------------------------

    Memorandum:
2299  Guaranteed amount of guaranteed 
        loans outstanding, end of year..      32,018      33,546      35,041
----------------------------------------------------------------------------

    Addendum:
      Cumulative balance of defaulted guaranteed 
          loans that result in loans receivable:

2310    Outstanding, start of year......         966       1,304       1,556
2331    Disbursements for guaranteed 
          loan claims...................         922         684         698
2351    Repayments of loans receivable..        -212        -218        -223
2361    Write-offs of loans receivable..        -105         -74         -75
2364    Other adjustments, net..........        -267        -140        -143
                                           ---------   ---------  ----------
2390      Outstanding, end of year......       1,304       1,556       1,813
---------------------------------------------------------------------------

    As required by the Federal Credit Reform Act of 1990, as amended, 
this non-budgetary account records all cash flows to and from the 
Government resulting from loan guarantees committed in 1992 and beyond 
(including modifications of loan guarantees that resulted from 
commitments 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   73-4149-0-3-376    2001 actual    2002 actual     2003 est.      2004 est.
-----------------------------------------------------------------------------------------------
    ASSETS:
      Federal assets:

1101    Fund balances with Treasury.....         924            253           360            490
        Investments in US securities:
1106      Receivables, net..............         179            669           799            700
      Non-Federal assets:

1206    Receivables, net................                         61            76             61
1207    Advances and prepayments........         245                            2
      Net value of assets related to 
          post-1991 acquired defaulted 
          guaranteed loans receivable:

1501    Defaulted guaranteed loans 
          receivable, gross.............         966          1,304         1,556          1,813
1505    Allowance for subsidy cost (-)..         -32            -36           -90            -95
                                        ------------ --------------  ------------  -------------
1599      Net present value of assets 
            related to defaulted 
            guaranteed loans............         934          1,268         1,466          1,718
1901  Other Federal assets: Public and 
        other...........................         238            377           143
                                        ------------ --------------  ------------  -------------
1999    Total assets....................       2,520          2,628         2,846          2,969
    LIABILITIES:
      Federal liabilities:

2101    Accounts payable................                         73            89             75
2103    Debt............................                        850           875            900
2105    Other...........................                        251           238            338
      Non-Federal liabilities:

2201    Accounts payable................                        103           115            147
2204    Liabilities for loan guarantees.       2,520          1,358         1,455          1,458
2207    Other...........................                         -7            74             51
                                        ------------ --------------  ------------  -------------
2999    Total liabilities...............       2,520          2,628         2,846          2,969
                                        ------------ --------------  ------------  -------------
4999  Total liabilities and net position       2,520          2,628         2,846          2,969
-----------------------------------------------------------------------------------------------

                                

                 Business Loan Fund Liquidating Account 

               Program and Financing (in millions of dollars)

----------------------------------------------------------------------------
Identification code 73-4154-0-3-376      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------

    Obligations by program activity:
00.01 Interest Expense to Treasury......          15           8           5
00.03 Msc. program expenses.............          45          85          60
00.05 Guaranteed loan default claims....         414         147          85
                                           ---------   ---------  ----------
10.00   Total new obligations...........         474         240         150
----------------------------------------------------------------------------

    Budgetary resources available for obligation:
21.40 Unobligated balance carried 
        forward, start of year..........         289         257
22.00 New budget authority (gross)......         175         113          85
22.10 Resources available from 
        recoveries of prior year 
        obligations.....................         647                      76
22.40 Capital transfer to general fund..        -350        -115
22.60 Portion applied to repay debt to 
        FFB.............................         -30         -15         -11
                                           ---------   ---------  ----------
23.90   Total budgetary resources 
          available for obligation......         731         240         150
23.95 Total new obligations.............        -474        -240        -150
24.40 Unobligated balance carried 
        forward, end of year............         257
----------------------------------------------------------------------------

    New budget authority (gross), detail:
      Mandatory:

69.00   Offsetting collections (cash)...         171         113          85
69.10   Change in uncollected customer 
          payments from Federal sources 
          (unexpired)...................           4
                                           ---------   ---------  ----------
69.90     Spending authority from 
            offsetting collections 
            (total mandatory)...........         175         113          85
----------------------------------------------------------------------------

    Change in obligated balances:
72.40 Obligated balance, start of year..         388         109         259
73.10 Total new obligations.............         474         240         150
73.20 Total outlays (gross).............        -102         -90         -68

[[Page 989]]

73.45 Recoveries of prior year 
        obligations.....................        -647                     -76
74.00 Change in uncollected customer 
        payments from Federal sources 
        (unexpired).....................          -4
74.40 Obligated balance, end of year....         109         259         265
----------------------------------------------------------------------------

    Outlays (gross), detail:
86.97 Outlays from new mandatory 
        authority.......................         102          90          68
----------------------------------------------------------------------------

    Offsets:
      Against gross budget authority and outlays:

        Offsetting collections (cash) 
            from:
          Loan repayments:
            Non-Federal sources:

88.40         Financing programs-
                principal...............         -44         -32         -24
88.40         Investment programs-
                principal...............         -20         -11          -8
88.40         Interest Income-Business..          -5          -4          -3
88.40         Interest income-Investment          -3          -2          -1
88.40         collection on FFB loans...         -30         -15         -11
88.40         Other Income-both Business 
                and Investment..........         -50         -49         -38
88.40         Asset sale proceeds.......         -19
                                           ---------   ---------  ----------
88.90       Total, offsetting 
              collections (cash)........        -171        -113         -85
      Against gross budget authority only:

88.95   Change in uncollected customer 
          payments from Federal sources 
          (unexpired)...................          -4
----------------------------------------------------------------------------

    Net budget authority and outlays:
89.00 Budget authority..................
90.00 Outlays...........................         -68         -23         -17
---------------------------------------------------------------------------

               Status of Direct Loans (in millions of dollars)

----------------------------------------------------------------------------
Identification code 73-4154-0-3-376      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------
          Business Loan Fund, Direct 
              Loans
    Cumulative balance of direct loans 
                outstanding:
1210  Outstanding, start of year........         204         148         113
1232  Disbursements: Purchase of loans 
        assets from the public..........           7          11          10
      Repayments:

1251    Repayments and prepayments......         -44         -35         -32
1252    Proceeds from loan asset sales 
          to the public or discounted...          -6
1262  Adjustments: Discount on loan 
        asset sales to the public or 
        discounted......................
1263  Write-offs for default: Direct 
        loans...........................         -13         -11          -9
                                           ---------   ---------  ----------
1290    Outstanding, end of year........         148         113          82
----------------------------------------------------------------------------

          Small Business Investment 
              Company, Direct Loans
          Section 503 Development 
              Company, Direct Loans
    Cumulative balance of direct loans 
                outstanding:
1210  Outstanding, start of year........         133         103          88
1251  Repayments: Repayments and 
        prepayments.....................         -30         -15         -11
                                           ---------   ---------  ----------
1290    Outstanding, end of year........         103          88          77
---------------------------------------------------------------------------

             Status of Guaranteed Loans (in millions of dollars)

----------------------------------------------------------------------------
Identification code 73-4154-0-3-376      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------
          Business Loan Fund, Loan 
              Guarantees
    Cumulative balance of guaranteed loans 
                outstanding:
2210  Outstanding, start of year........       1,501       1,067         812
2251  Repayments and prepayments........        -418        -244        -191
      Adjustments:

2261    Terminations for default that 
          result in loans receivable....         -11         -11         -10
2264    Other adjustments, net..........          -5
                                           ---------   ---------  ----------
2290    Outstanding, end of year........       1,067         812         611
----------------------------------------------------------------------------

    Memorandum:
2299  Guaranteed amount of guaranteed 
        loans outstanding, end of year..         938         715         538
----------------------------------------------------------------------------

    Addendum:
      Cumulative balance of defaulted guaranteed 
          loans that result in loans receivable:

2310    Outstanding, start of year......         378         357         328
2331    Disbursements for guaranteed 
          loan claims...................          11          11          10
2351    Repayments of loans receivable..         -18         -24         -19
2361    Write-offs of loans receivable..          -6         -11          -8
2364    Other adjustments, net..........          -8          -5          -4
                                           ---------   ---------  ----------
2390      Outstanding, end of year......         357         328         307
---------------------------------------------------------------------------

    As required by the Federal Credit Reform Act of 1990, as amended, 
this account records, for this program, all cash flows to and from the 
Government resulting from direct loans obligated and loan guarantees 
committed prior to 1992. This account is shown on a cash basis. All new 
activity in this program in 1992 and beyond (including modifications of 
direct loans or loan guarantees that resulted from obligations or 
commitments in any year) is recorded in corresponding program and 
financing accounts.

                        Statement of Operations (in millions of dollars)

-----------------------------------------------------------------------------------------------
Identification code   73-4154-0-3-376    2001 actual    2002 actual     2003 est.      2004 est.
-----------------------------------------------------------------------------------------------
0101  Revenue...........................          24             26            20             15
0102  Expense...........................        -154            -22           -16            -10
                                        ------------ --------------  ------------  -------------
0105  Net income or loss (-)............        -130              4             4              5
-----------------------------------------------------------------------------------------------

                             Balance Sheet (in millions of dollars)

-----------------------------------------------------------------------------------------------
Identification code   73-4154-0-3-376    2001 actual    2002 actual     2003 est.      2004 est.
-----------------------------------------------------------------------------------------------
    ASSETS:
      Federal assets:

1101    Fund balances with Treasury.....         676            365           254            225
        Investments in US securities:
1104      Agency securities, par........         490
1106      Receivables, net..............                          5             4              3
1107      Advances and prepayments......           3              4             2              1
      Non-Federal assets:

1206    Receivables, net................          50             12            59             49
1207    Advances and prepayments........           8                            2
      Net value of assets related to 
          pre-1992 direct loans 
          receivable and acquired 
          defaulted guaranteed loans 
          receivable:

1601    Direct loans, gross.............         337            251           202            160
1603    Allowance for estimated 
          uncollectible loans and 
          interest (-)..................         -26            -74           -30             -8
                                        ------------ --------------  ------------  -------------
1699      Value of assets related to 
            direct loans................         311            177           172            152
      Other Federal assets:

        Other assets:
1901      Other assets..................          88            207            30             13
1901      Other assets 7(a) secondary 
            market......................                        296           296            296
                                        ------------ --------------  ------------  -------------
1999    Total assets....................       1,626          1,066           819            739
    LIABILITIES:
      Federal liabilities:

2101    Accounts payable................          27             19            15             39
2102    Interest payable................                         73            62             50
2103    Debt to the FFB.................         133             29            15             11
2105    Other Liabilities...............         987            380           156            146
      Non-Federal liabilities:

2201    Accounts payable................           4            233            35             25
        Liabilities for loan guarantees:
2204      Liabilities for loan 
            guarantees..................                                       12              6
2204      Liabilities for 7(a) secondary 
            market......................                        314           314            314
2207    Other Liabilities...............         475             36           228            166
                                        ------------ --------------  ------------  -------------
2999    Total liabilities...............       1,626          1,084           837            757
    NET POSITION:
3300  Cumulative results of operations..                        -18           -18            -18
                                        ------------ --------------  ------------  -------------
3999    Total net position..............                        -18           -18            -18
                                        ------------ --------------  ------------  -------------
4999  Total liabilities and net position       1,626          1,066           819            739
-----------------------------------------------------------------------------------------------

               Object Classification (in millions of dollars)

----------------------------------------------------------------------------
Identification code 73-4154-0-3-376      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------
42.0  Insurance claims and indemnities..         459         232         145
43.0  Interest and dividends............          15           8           5
                                           ---------   ---------  ----------
99.9    Total new obligations...........         474         240         150
---------------------------------------------------------------------------

[[Page 990]]



                                

                     Disaster Loans Program Account

    For the cost of direct loans authorized by section 7(b) of the Small 
Business Act, as amended, $79,109,000, to remain available until 
expended: 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.
    In addition, for administrative expenses to carry out the direct 
loan program, $118,354,000, which may be transferred to and merged with 
appropriations for Salaries and Expenses, of which $500,000 is for the 
Office of Inspector General of the Small Business Administration for 
audits and reviews of disaster loans and the disaster loan program and 
shall be transferred to and merged with appropriations for the Office of 
Inspector General; of which $108,000,000 is for direct administrative 
expenses of loan making and servicing to carry out the direct loan 
program; and of which $9,854,000 is for indirect administrative 
expenses: Provided, That any amount in excess of $9,854,000 to be 
transferred to and merged with appropriations for Salaries and Expenses 
for indirect administrative expenses shall be treated as a reprogramming 
of funds under section 605 of this Act and shall not be available for 
obligation or expenditure except in compliance with the procedures set 
forth in that section.

    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 73-1152-0-1-453      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------
0102  Disaster loans program, downward 
        reestimates of subsidies........          14          42
---------------------------------------------------------------------------

               Program and Financing (in millions of dollars)

----------------------------------------------------------------------------
Identification code 73-1152-0-1-453      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------

    Obligations by program activity:
00.01 Direct loan subsidy...............         217          76          79
00.05 Upward reestimate of direct loans.                     305
00.06 Interest on upward reestimates of 
        direct loans....................                     163
00.09 Administrative expense............         157         122         118
                                           ---------   ---------  ----------
00.91   Direct Program by Activities--
          Subtotal (1 level)............         374         666         197
08.03 Gain sharing to Salaries..........                       3
                                           ---------   ---------  ----------
10.00   Total new obligations...........         374         669         197
----------------------------------------------------------------------------

    Budgetary resources available for obligation:
21.40 Unobligated balance carried 
        forward, start of year..........         131          71          73
22.00 New budget authority (gross)......         282         665         198
22.10 Resources available from 
        recoveries of prior year 
        obligations.....................          32           6
                                           ---------   ---------  ----------
23.90   Total budgetary resources 
          available for obligation......         445         742         271
23.95 Total new obligations.............        -374        -669        -197
24.40 Unobligated balance carried 
        forward, end of year............          71          73          74
----------------------------------------------------------------------------

    New budget authority (gross), detail:
      Discretionary:

        Appropriation:
40.00     Appropriation.................         210         194         198
40.00     Appropriation-Terrorism.......          75
41.00   Transferred to other accounts...          -3
                                           ---------   ---------  ----------
43.00     Appropriation (total 
            discretionary)..............         282         194         198
      Mandatory:

60.00   Appropriation...................                     468
      Discretionary:

68.00   Spending authority from 
          offsetting collections: 
          Offsetting collections (cash).                       3
                                           ---------   ---------  ----------
70.00   Total new budget authority 
          (gross).......................         282         665         198
----------------------------------------------------------------------------

    Change in obligated balances:
72.40 Obligated balance, start of year..          68          38          12
73.10 Total new obligations.............         374         669         197
73.20 Total outlays (gross).............        -372        -689        -198
73.45 Recoveries of prior year 
        obligations.....................         -32          -6
74.40 Obligated balance, end of year....          38          12          11
----------------------------------------------------------------------------

    Outlays (gross), detail:
86.90 Outlays from new discretionary 
        authority.......................         217         151         152
86.93 Outlays from discretionary 
        balances........................         155          70          46
86.97 Outlays from new mandatory 
        authority.......................                     468
                                           ---------   ---------  ----------
87.00   Total outlays (gross)...........         372         689         198
----------------------------------------------------------------------------

    Offsets:
      Against gross budget authority and outlays:

88.00   Offsetting collections (cash) 
          from: Federal sources.........                      -3
----------------------------------------------------------------------------

    Net budget authority and outlays:
89.00 Budget authority..................         282         662         198
90.00 Outlays...........................         372         686         198
----------------------------------------------------------------------------

Additional net budget authority and outlays to cover cost of fully accruing 
                                 retirement:
99.00 Budget authority..................           3           3           3
99.01 Outlays...........................           3           3           3
---------------------------------------------------------------------------

  Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program   
                          (in millions of dollars)

----------------------------------------------------------------------------
Identification code 73-1152-0-1-453      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------
    Direct loan levels supportable by subsidy 
                budget authority:
115001Disaster Loan.....................         844         544         760
115001EIDL Terrorist Attack.............         375         169
115001PHY Terrorist Attack..............          43          18
                                           ---------   ---------  ----------
115901Total direct loan levels..........       1,262         731         760
    Direct loan subsidy (in percent):
132001Direct loan levels................       14.67       13.98       11.72
132001Direct Loans -EIDL Terrorist 
        attack..........................       23.16       23.20        0.00
132001PHY Terrorist Attack..............       14.67       13.98        0.00
                                           ---------   ---------  ----------
132901Weighted average subsidy rate.....       17.19       16.14       10.39
    Direct loan subsidy budget authority:
133001Direct loan levels................         124          76          79
133001Direct Loans -EIDL Terrorist 
        attack..........................          87          39
133001PHY Terrorist Attack..............           6           3
                                           ---------   ---------  ----------
133901Total subsidy budget authority....         217         118          79
    Direct loan subsidy outlays:
134001Direct loan levels................         124          89          76
134001Direct Loans -EIDL Terrorist 
        attack..........................          87          12
134001Direct loan -PHY Terrorist attack.           6
                                           ---------   ---------  ----------
134901Total subsidy outlays.............         217         101          76
    Direct loan upward reestimate subsidy budget 
                authority:
135001Direct loan levels................                     468
                                           ---------   ---------  ----------
135901Total upward reestimate budget 
        authority.......................                     468
    Direct loan upward reestimate subsidy outlays:
136001Direct loan levels................                     468
                                           ---------   ---------  ----------
136901Total upward reestimate outlays...                     468
    Direct loan downward reestimate subsidy budget 
                authority:
137001Disaster Loan.....................         -14         -42
                                           ---------   ---------  ----------
137901Total downward reestimate budget 
        authority.......................         -14         -42
    Direct loan downward reestimate subsidy 
                outlays:
138001Disaster Loan.....................         -14         -42
                                           ---------   ---------  ----------
138901Total downward reestimate subsidy 
        outlays.........................         -14         -42
----------------------------------------------------------------------------

    Administrative expense data:
351001Budget authority..................         101         122         118
351001Budget authority for terrorists 
        attack..........................
359001Outlays from new authority........         101         122         118
359001Outlays from new authority for 
        terrorist attack................
---------------------------------------------------------------------------

    As required by the Federal Credit Reform Act of 1990, as amended, 
this account records, for loans made pursuant to section 7(b) of the 
Small Business Act, as amended, the subsidy costs associated with the 
direct loans obligated in 1992 and beyond (including modifications of 
direct loans or loan guarantees that resulted from obligations or 
commitments in any year), as well as administrative expenses of this 
program. The subsidy amounts are estimated on a present value basis; the 
administrative expenses are estimated on a cash basis.

[[Page 991]]

    Disaster loans made pursuant to Section 7(b) of the Small Business 
Act are the primary form of Federal assistance for non-farm, private 
sector disaster losses. For this reason, the program is the only form of 
SBA assistance not limited to small businesses. Through this program, 
SBA helps homeowners, renters, businesses of all sizes, and non-profit 
organizations pay for the cost of rebuilding. Pursuant to the Small 
Business Act, the government subsidizes borrowers who have incurred 
uninsured losses or economic injury as the result of a natural disaster.

    For 2004, SBA will rely on anticipated carry-over balances of $0 
million from 2003 plus $10 million in recoveries to support $760 million 
in loans. The subsidy rate is 11.72 percent. 

               Object Classification (in millions of dollars)

----------------------------------------------------------------------------
Identification code 73-1152-0-1-453      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------
25.2  Other services....................         157         122         118
41.0  Grants, subsidies, and 
        contributions...................         217         547          79
                                           ---------   ---------  ----------
99.9    Total new obligations...........         374         669         197
---------------------------------------------------------------------------

                                

                 Disaster Direct Loan Financing Account

               Program and Financing (in millions of dollars)

----------------------------------------------------------------------------
Identification code 73-4150-0-3-453      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------

    Obligations by program activity:
00.01 Direct loans......................       1,236       1,110       1,331
00.02 Interest on Treasury borrowing....         683         696         705
                                           ---------   ---------  ----------
00.91   Direct Program by Activities--
          Subtotal (1 level)............       1,919       1,806       2,036
08.02 Payment of downward reestimate to 
        a receipt account...............          14          39
08.03 Payment to liquidating account to 
        purchase loan assets (73 4153)..          80          70           7
08.04 Payment of interest on downward 
        reestimate to a receipt account.                       3
                                           ---------   ---------  ----------
08.91   Direct Program by Activities--
          Subtotal (1 level)............          94         112           7
                                           ---------   ---------  ----------
10.00   Total new obligations...........       2,013       1,918       2,043
----------------------------------------------------------------------------

    Budgetary resources available for obligation:
21.40 Unobligated balance carried 
        forward, start of year..........       5,684       5,468
22.00 New financing authority (gross)...       3,100       3,480       3,175
22.10 Resources available from 
        recoveries of prior year 
        obligations.....................         182
22.60 Portion applied to repay debt.....      -1,485      -7,030      -1,132
                                           ---------   ---------  ----------
23.90   Total budgetary resources 
          available for obligation......       7,481       1,918       2,043
23.95 Total new obligations.............      -2,013      -1,918      -2,043
24.40 Unobligated balance carried 
        forward, end of year............       5,468
----------------------------------------------------------------------------

    New financing authority (gross), detail:
      Discretionary:

47.00   Authority to borrow.............       1,294         788       1,175
      Spending authority from offsetting 
          collections:

68.00   Offsetting collections (cash)...       2,093       2,692       2,000
68.10   Change in uncollected customer 
          payments from Federal sources 
          (unexpired)...................        -287
                                           ---------   ---------  ----------
68.90     Spending authority from 
            offsetting collections 
            (total discretionary).......       1,806       2,692       2,000
                                           ---------   ---------  ----------
70.00   Total new financing authority 
          (gross).......................       3,100       3,480       3,175
----------------------------------------------------------------------------

    Change in obligated balances:
72.40 Obligated balance, start of year..         612         204          42
73.10 Total new obligations.............       2,013       1,918       2,043
73.20 Total financing disbursements 
        (gross).........................      -2,526      -2,080      -2,043
73.45 Recoveries of prior year 
        obligations.....................        -182
74.00 Change in uncollected customer 
        payments from Federal sources 
        (unexpired).....................         287
74.40 Obligated balance, end of year....         204          42          42
87.00 Total financing disbursements 
        (gross).........................       2,526       2,080       2,043
----------------------------------------------------------------------------

    Offsets:
      Against gross financing authority and 
          financing disbursements:

        Offsetting collections (cash) 
            from:
          Federal sources:
88.00       Payments from program 
              account...................        -217        -101         -76
88.00       Upward reestimate...........                    -305
88.00       Interest on upward 
              reestimate................                    -163
88.25     Interest on uninvested funds..        -436        -445        -465
          Non-Federal sources:
88.40       Repayments of principal, net        -490        -498        -508
88.40       Collection of misc. 
              receivables...............        -162        -165        -168
88.40       Interest received on loans..         -79         -84         -88
88.40       Proceeds from loan sales....        -709        -931        -695
                                           ---------   ---------  ----------
88.90       Total, offsetting 
              collections (cash)........      -2,093      -2,692      -2,000
      Against gross financing authority only:

88.95   Change in receivables from 
          program accounts..............         287
----------------------------------------------------------------------------

    Net financing authority and financing 
        disbursements:
89.00 Financing authority...............       1,294         788       1,175
90.00 Financing disbursements...........         433        -612          43
---------------------------------------------------------------------------

               Status of Direct Loans (in millions of dollars)

----------------------------------------------------------------------------
Identification code 73-4150-0-3-453      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.................       1,272         795         760
                                           ---------   ---------  ----------
1150    Total direct loan obligations...       1,272         795         760
----------------------------------------------------------------------------

    Cumulative balance of direct loans 
                outstanding:
1210  Outstanding, start of year........       3,288       3,644       3,211
      Disbursements:

1231    Direct loan disbursements.......       1,226         713         684
1233    Purchase of loans assets from a 
          liquidating account...........          80         116           7
      Repayments:

1251    Repayments and prepayments......        -368        -146        -149
1252    Proceeds from loan asset sales 
          to the public or discounted...        -461        -863        -500
1262  Adjustments: Discount on loan 
        asset sales to the public or 
        discounted......................         -84        -212        -185
      Write-offs for default:

1263    Direct loans....................         -73         -41         -41
1264    Other adjustments, net..........          36
                                           ---------   ---------  ----------
1290    Outstanding, end of year........       3,644       3,211       3,027
---------------------------------------------------------------------------

    As required by the Federal Credit Reform Act of 1990, as amended, 
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   73-4150-0-3-453    2001 actual    2002 actual     2003 est.      2004 est.
-----------------------------------------------------------------------------------------------
    ASSETS:
      Federal assets:

1101    Fund balances with Treasury.....       5,072          5,672         3,000          3,095
        Investments in US securities:
1106      Interest/Accounts Receivables.       1,094            512           517            426
      Net value of assets related to 
          post-1991 direct loans 
          receivable:

1401    Direct loans receivable, gross..       5,212          3,644         3,211          3,027
1405    Allowance for subsidy cost (-)..        -931             35           -32            -33
                                        ------------ --------------  ------------  -------------
1499      Net present value of assets 
            related to direct loans.....       4,281          3,679         3,179          2,994
                                        ------------ --------------  ------------  -------------
1999    Total assets....................      10,447          9,863         6,696          6,515
    LIABILITIES:
      Federal liabilities:

2103    Debt............................      10,447          9,742         6,270          6,283
2105    Other...........................                         41           153             85
      Non-Federal liabilities:

2201    Accounts payable................                         75           188             51
2207    Other...........................                          5            85             96
                                        ------------ --------------  ------------  -------------

[[Page 992]]


2999    Total liabilities...............      10,447          9,863         6,696          6,515
                                        ------------ --------------  ------------  -------------
4999  Total liabilities and net position      10,447          9,863         6,696          6,515
-----------------------------------------------------------------------------------------------

                                

                 Disaster Loan Fund Liquidating Account 

               Program and Financing (in millions of dollars)

----------------------------------------------------------------------------
Identification code 73-4153-0-3-453      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------

    Obligations by program activity:
01.01 Interest expense to Treasury......           9           4           3
01.03 Other expenses....................          14          21           8
                                           ---------   ---------  ----------
10.00   Total new obligations...........          23          25          11
----------------------------------------------------------------------------

    Budgetary resources available for obligation:
21.40 Unobligated balance carried 
        forward, start of year..........         308         113
22.00 New budget authority from 
        offsetting collections (gross)..         136          86          11
22.40 Capital transfer to general fund..        -308        -174
                                           ---------   ---------  ----------
23.90   Total budgetary resources 
          available for obligation......         136          25          11
23.95 Total new obligations.............         -23         -25         -11
24.40 Unobligated balance carried 
        forward, end of year............         113
----------------------------------------------------------------------------

    New budget authority (gross), detail:
      Mandatory:

69.00   Offsetting collections (cash)...         124          86          11
69.10   Change in uncollected customer 
          payments from Federal sources 
          (unexpired)...................          12
                                           ---------   ---------  ----------
69.90     Spending authority from 
            offsetting collections 
            (total mandatory)...........         136          86          11
----------------------------------------------------------------------------

    Change in obligated balances:
72.40 Obligated balance, start of year..          25          11          22
73.10 Total new obligations.............          23          25          11
73.20 Total outlays (gross).............         -25         -14          -2
74.00 Change in uncollected customer 
        payments from Federal sources 
        (unexpired).....................         -12
74.40 Obligated balance, end of year....          11          22          31
----------------------------------------------------------------------------

    Outlays (gross), detail:
86.97 Outlays from new mandatory 
        authority.......................          25          14           2
----------------------------------------------------------------------------

    Offsets:
      Against gross budget authority and outlays:

        Offsetting collections (cash) 
            from:
          Non-Federal sources:
88.40       Asset Sale Proceeds.........         -80         -70          -7
88.40       Loan repayments.............         -40         -13          -2
88.40       Interest income.............          -1          -1          -1
88.40       Other collection of 
              Principal.................          -3          -2          -1
                                           ---------   ---------  ----------
88.90       Total, offsetting 
              collections (cash)........        -124         -86         -11
      Against gross budget authority only:

88.95   Change in uncollected customer 
          payments from Federal sources 
          (unexpired)...................         -12
----------------------------------------------------------------------------

    Net budget authority and outlays:
89.00 Budget authority..................
90.00 Outlays...........................         -99         -72          -9
---------------------------------------------------------------------------

               Status of Direct Loans (in millions of dollars)

----------------------------------------------------------------------------
Identification code 73-4153-0-3-453      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------
    Cumulative balance of direct loans 
                outstanding:
1210  Outstanding, start of year........         248         100          11
      Repayments:

1251    Repayments and prepayments......         -40         -13          -2
1252    Proceeds from loan asset sales 
          to the public or discounted...         -56         -73          -7
1262  Adjustments: Discount on loan 
        asset sales to the public or 
        discounted......................         -24
1263  Write-offs for default: Direct 
        loans...........................         -28          -3          -1
                                           ---------   ---------  ----------
1290    Outstanding, end of year........         100          11           1
---------------------------------------------------------------------------

    As required by the Federal Credit Reform Act of 1990, as amended, 
this account records, for this program, all cash flows to and from the 
Government resulting from direct loans obligated prior to 1992. This 
account is shown on a cash basis. All new activity in this program in 
1992 and beyond (including modifications of direct loans or loan 
guarantees that resulted from obligations or commitments in any year) is 
recorded in corresponding program and financing accounts.

                        Statement of Operations (in millions of dollars)

-----------------------------------------------------------------------------------------------
Identification code   73-4153-0-3-453    2001 actual    2002 actual     2003 est.      2004 est.
-----------------------------------------------------------------------------------------------
0101  Revenue...........................           2              8             5              3
0102  Expense...........................         -82            -48           -30            -15
                                        ------------ --------------  ------------  -------------
0105  Net income or loss (-)............         -80            -40           -25            -12
-----------------------------------------------------------------------------------------------

                             Balance Sheet (in millions of dollars)

-----------------------------------------------------------------------------------------------
Identification code   73-4153-0-3-453    2001 actual    2002 actual     2003 est.      2004 est.
-----------------------------------------------------------------------------------------------
    ASSETS:
      Federal assets:

1101    Fund balances with Treasury.....          36            124            20             10
        Investments in US securities:
1106      Receivables, net..............                         12                            6
1206  Non-Federal assets: Receivables, 
        net.............................           9
      Net value of assets related to 
          pre-1992 direct loans 
          receivable and acquired 
          defaulted guaranteed loans 
          receivable:

1601    Direct loans, gross.............         248            100            11              1
1603    Allowance for estimated 
          uncollectible loans and 
          interest (-)..................         -18            -11
                                        ------------ --------------  ------------  -------------
1699      Value of assets related to 
            direct loans................         230             89            11              1
1901  Other Federal assets: Other assets         320             16            52
                                        ------------ --------------  ------------  -------------
1999    Total assets....................         595            241            83             17
    LIABILITIES:
      Federal liabilities:

2101    Accounts payable................          22              9             5              3
2105    Other...........................         565            104            54              8
      Non-Federal liabilities:

2201    Accounts payable................           4            127            18              5
2207    Other...........................           4              1             6              1
                                        ------------ --------------  ------------  -------------
2999    Total liabilities...............         595            241            83             17
                                        ------------ --------------  ------------  -------------
4999  Total liabilities and net position         595            241            83             17
-----------------------------------------------------------------------------------------------

               Object Classification (in millions of dollars)

----------------------------------------------------------------------------
Identification code 73-4153-0-3-453      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------
25.2  Other services....................          14          21           8
43.0  Interest and dividends............           9           4           3
                                           ---------   ---------  ----------
99.9    Total new obligations...........          23          25          11
---------------------------------------------------------------------------

                                

          Pollution Control Equipment Fund Liquidating Account

               Program and Financing (in millions of dollars)

----------------------------------------------------------------------------
Identification code 73-4147-0-3-376      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------

    Obligations by program activity:
00.01 Direct program....................                       3           3
                                           ---------   ---------  ----------
10.00   Total new obligations (object 
          class 42.0)...................                       3           3
----------------------------------------------------------------------------

    Budgetary resources available for obligation:
21.40 Unobligated balance carried 
        forward, start of year..........           3           3
22.00 New budget authority (gross)......           3           3           3
22.40 Capital transfer to general fund..          -3          -3
                                           ---------   ---------  ----------
23.90   Total budgetary resources 
          available for obligation......           3           3           3

[[Page 993]]

23.95 Total new obligations.............                      -3          -3
24.40 Unobligated balance carried 
        forward, end of year............           3
----------------------------------------------------------------------------

    New budget authority (gross), detail:
      Mandatory:

60.00   Appropriation...................           3           3           3
----------------------------------------------------------------------------

    Change in obligated balances:
73.10 Total new obligations.............                       3           3
73.20 Total outlays (gross).............                      -3          -3
----------------------------------------------------------------------------

    Outlays (gross), detail:
86.97 Outlays from new mandatory 
        authority.......................                       3           3
----------------------------------------------------------------------------

    Net budget authority and outlays:
89.00 Budget authority..................           3           3           3
90.00 Outlays...........................                       3           3
---------------------------------------------------------------------------

             Status of Guaranteed Loans (in millions of dollars)

----------------------------------------------------------------------------
Identification code 73-4147-0-3-376      2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------
    Cumulative balance of guaranteed loans 
                outstanding:
2210  Outstanding, start of year........          16          12           8
2251  Repayments and prepayments........          -4          -3          -2
2261  Adjustments: Terminations for 
        default that result in loans 
        receivable......................                      -1          -1
                                           ---------   ---------  ----------
2290    Outstanding, end of year........          12           8           5
----------------------------------------------------------------------------

    Memorandum:
2299  Guaranteed amount of guaranteed 
        loans outstanding, end of year..          12           8           5
----------------------------------------------------------------------------

    Addendum:
      Cumulative balance of defaulted guaranteed 
          loans that result in loans receivable:

2310    Outstanding, start of year......          49          49          50
2331    Disbursements for guaranteed 
          loan claims...................                       1           1
                                           ---------   ---------  ----------
2390      Outstanding, end of year......          49          50          51
---------------------------------------------------------------------------

    Public Law 94-305 established this fund to alleviate the adverse 
impact of pollution regulations on small businesses. As a result of the 
elimination of tax exempt financing associated with the Pollution 
Control Guaranteed program, no new activity is anticipated for this 
program.

                        Statement of Operations (in millions of dollars)

-----------------------------------------------------------------------------------------------
Identification code   73-4147-0-3-376    2001 actual    2002 actual     2003 est.      2004 est.
-----------------------------------------------------------------------------------------------
0101  Revenue...........................
0102  Expense...........................                                       -3
                                        ------------ --------------  ------------  -------------
0105  Net income or loss (-)............                                       -3
-----------------------------------------------------------------------------------------------

                             Balance Sheet (in millions of dollars)

-----------------------------------------------------------------------------------------------
Identification code   73-4147-0-3-376    2001 actual    2002 actual     2003 est.      2004 est.
-----------------------------------------------------------------------------------------------
    ASSETS:
1101  Federal assets: Fund balances with 
        Treasury........................           3             27             2
1206  Non-Federal assets: Receivables, 
        net.............................                          5
1701  Net value of assets related to 
        pre-1992 direct loans receivable 
        and acquired defaulted 
        guaranteed loans receivable: 
        Defaulted guaranteed loans, 
        gross...........................          16                           15
                                        ------------ --------------  ------------  -------------
1999    Total assets....................          19             32            17
    LIABILITIES:
2104  Federal liabilities: Resources 
        payable to Treasury.............          19                           17
      Non-Federal liabilities:

2201    Accounts payable................                          1
2207    Other...........................                         31
                                        ------------ --------------  ------------  -------------
2999    Total liabilities...............          19             32            17
    NET POSITION:
3300  Cumulative results of operations..
                                        ------------ --------------  ------------  -------------
3999    Total net position..............
                                        ------------ --------------  ------------  -------------
4999  Total liabilities and net position          19             32            17
-----------------------------------------------------------------------------------------------

                                

         Administrative Provision--Small Business Administration

    Not to exceed 5 percent of any appropriation made available for the 
current fiscal year for the Small Business Administration in this Act 
may be transferred between such appropriations, but no such 
appropriation shall be increased by more than 10 percent by any such 
transfers: Provided, That any transfer pursuant to this paragraph shall 
be treated as a reprogramming of funds under section 605 of this Act and 
shall not be available for obligation or expenditure except in 
compliance with the procedures set forth in that section.

                                

                      General Fund Receipt Accounts

                           (in millions of dollars)

----------------------------------------------------------------------------
                                         2002 actual   2003 est.   2004 est.
----------------------------------------------------------------------------
Offsetting receipts from the public:
  73-272130  Disaster loan program, 
    Downward reestimates of subsidies...          14          42
  73-272230  Business loan program, 
    Downward reestimates of subsidies...         389         258
                                           ---------   ---------  ----------
General Fund Offsetting receipts from 
 the public.............................         403         300
---------------------------------------------------------------------------
