[Appendix]
[Detailed Budget Estimates by Agency]
[Office of Personnel Management]
[From the U.S. Government Printing Office, www.gpo.gov]
THE BUDGET FOR FISCAL YEAR 2005
[[Page 1057]]
OFFICE OF PERSONNEL MANAGEMENT
Federal Funds
General and special funds:
Salaries and Expenses
(including transfer of trust funds)
For necessary expenses to carry out functions of the Office of
Personnel Management pursuant to Reorganization Plan Numbered 2 of 1978
and the Civil Service Reform Act of 1978, including services as
authorized by 5 U.S.C. 3109; medical examinations performed for veterans
by private physicians on a fee basis; rental of conference rooms in the
District of Columbia and elsewhere; hire of passenger motor vehicles;
not to exceed $2,500 for official reception and representation expenses;
advances for reimbursements to applicable funds of the Office of
Personnel Management and the Federal Bureau of Investigation for
expenses incurred under Executive Order No. 10422 of January 9, 1953, as
amended; and payment of per diem and/or subsistence allowances to
employees where Voting Rights Act activities require an employee to
remain overnight at his or her post of duty, [$119,498,000]
$131,291,000, of which $2,000,000 shall remain available until expended
for the cost of the [enterprise human resources integration] Enterprise
Human Resources Integration project[, and $2,500,000]; $6,615,000 shall
remain available until expended for the cost of leading the government-
wide initiative to modernize the Federal payroll systems and service
delivery [and $2,500,000]; $800,000 shall remain available until
expended for the cost of the e-Human Resources Information System
project; $2,000,000 shall remain available until expended for the cost
of the e-Clearance project; and $5,000,000 shall remain available
through September 30, [2005] 2006 to coordinate and conduct program
evaluation and performance measurement; and in addition [$135,914,000]
$128,462,000 for administrative expenses, to be transferred from the
appropriate trust funds of the Office of Personnel Management without
regard to other statutes, including direct procurement of printed
materials, for the retirement and insurance programs, of which
[$36,700,000] $27,640,000 shall remain available until expended for the
cost of automating the retirement recordkeeping systems: Provided, That
the provisions of this appropriation shall not affect the authority to
use applicable trust funds as provided by sections 8348(a)(1)(B),
[8909(g),] and 9004(f)(1)(A) and (2)(A) of title 5, United States Code:
Provided further, That no part of this appropriation shall be available
for salaries and expenses of the Legal Examining Unit of the Office of
Personnel Management established pursuant to Executive Order No. 9358 of
July 1, 1943, or any successor unit of like purpose: Provided further,
That the President's Commission on White House Fellows, established by
Executive Order No. 11183 of October 3, 1964, may, during fiscal year
[2004] 2005, accept donations of money, property, and personal services
[in connection with the development of a publicity brochure]: Provided
further, That such donations, including those from prior years, may be
used for the development of publicity materials to provide information
about the White House Fellows, except that no such donations shall be
accepted for travel or reimbursement of travel expenses, or for the
salaries of employees of such Commission. (Division F, H.R. 2673,
Consolidated Appropriations Bill, FY 2004.)
Program and Financing (in millions of dollars)
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Identification code 24-0100-0-1-805 2003 actual 2004 est. 2005 est.
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Obligations by program activity:
00.01 Strategic HR policy............... 12 57 36
00.02 Human capital leadership and merit
system accountability........... 23 30 31
00.03 HR products and services.......... 117 129 117
00.04 Management services............... 70 74 86
00.05 Executive services................ 14 15 15
09.00 Reimbursable program.............. 3 34 34
--------- --------- ----------
10.00 Total new obligations........... 239 339 319
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 11 26
22.00 New budget authority (gross)...... 254 313 319
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 265 339 319
23.95 Total new obligations............. -239 -339 -319
24.40 Unobligated balance carried
forward, end of year............ 26
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 129 119 131
40.35 Appropriation permanently
reduced....................... -1 -1
--------- --------- ----------
43.00 Appropriation (total
discretionary).............. 128 118 131
Spending authority from offsetting
collections:
68.00 Offsetting collections (cash)... 114 195 188
68.10 Change in uncollected customer
payments from Federal sources
(unexpired)................... 12
--------- --------- ----------
68.90 Spending authority from
offsetting collections
(total discretionary)....... 126 195 188
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 254 313 319
Change in obligated balances:
72.40 Obligated balance, start of year.. 10 34 60
73.10 Total new obligations............. 239 339 319
73.20 Total outlays (gross)............. -232 -313 -317
73.40 Adjustments in expired accounts
(net)........................... 22
74.00 Change in uncollected customer
payments from Federal sources
(unexpired)..................... -12
74.10 Change in uncollected customer
payments from Federal sources
(expired)....................... 7
74.40 Obligated balance, end of year.... 34 60 60
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 175 298 302
86.93 Outlays from discretionary
balances........................ 57 15 15
--------- --------- ----------
87.00 Total outlays (gross)........... 232 313 317
Offsets:
Against gross budget authority and outlays:
88.00 Offsetting collections (cash)
from: Federal sources......... -138 -195 -188
Against gross budget authority only:
88.95 Change in uncollected customer
payments from Federal sources
(unexpired)................... -12
88.96 Portion of offsetting
collections (cash) credited to
expired accounts.............. 24
Net budget authority and outlays:
89.00 Budget authority.................. 128 118 131
90.00 Outlays........................... 94 118 129
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It is OPM's mission to have a highly qualified and diverse Federal
workforce, one based on merit system principles that America needs to
guarantee freedom, promote prosperity, and ensure the security of this
great Nation. The 2005 budget will allow OPM to help deliver on
President Bush's promise to improve the Federal Government and provide
the highest possible quality of service to the American taxpayers.
OPM responded to President Bush's call to make homeland security and
the defeat of terrorism the Nation's top priority. OPM directed
resources toward initiatives that had an immediate impact on the
Government's ability to protect and defend our Nation and respond to
emergencies, including the design and implementation of emergency hiring
flexibilities and building the new Department of Homeland Security
(DHS), which involved pulling together 170,000 employees from 22
different agencies.
Additionally, President Bush has identified the Strategic Management
of (the Federal Government's) Human Capital as one of his
Administration's top priorities and directed that OPM be responsible for
making it happen. OPM is committed to the President's Management Agenda
(PMA) and has made Federal agency performance in implementing the
Strategic Management of Human Capital a measure of OPM's own success.
[[Page 1058]]
To ensure that OPM was organized to carry out its new roles and
responsibilities, the agency successfully implemented a major overhaul
and restructuring, aligning resources to Strategic Plan goals and
reorganized 12 ``stovepiped'' components into four central divisions to
form a more results-oriented structure to deliver results and value to
the community of Federal agencies and the American people. 2004 is the
first full year that OPM is operating in its new structure. The newly
restructured OPM is providing more efficient service and better
coordinated responses to the human capital needs of Federal agencies.
Building on this success, the 2005 budget will allow OPM to advance
the agenda of supporting Federal employees and their work to protect
National Security and implementing long-term human capital strategies
that deliver results for the American people. Through its leadership in
the Governmentwide effort to transform Human Capital Management, OPM is
creating an environment in which agencies are held accountable for
managing their workforce.
The functions and objectives of the restructured OPM are:
1. Strategic Human Resources Policy (SHRP)--strives to: (1) Ensure
agencies use OPM policy and guidance to develop and maintain the
capacity of their workforce to continue to meet and improve their
strategic performance targets; (2) Implement new Human Resource systems;
(3) Provide the Federal Government with a modern compensation system
that is performance-oriented, market-sensitive, and assists Federal
agencies in meeting their strategic goals; and (4) Increase the
effectiveness and efficiency of the Federal hiring process and make
Federal employment attractive to high-quality applicants of diverse
backgrounds. In 2003, OPM helped set up the Department of Homeland
Security and implemented other aspects of the Homeland Security and
Chief Human Capital Officers Acts, all of which had an immediate impact
on the Government's capacity for homeland security and the war on
terrorism. Also, OPM's Recruitment One-Stop initiative, through which
agencies can advertise job vacancies and job seekers can apply for these
vacancies, expanded the capabilities of the USAJOBS Federal Employment
Information System and became a single application point to streamline
the Federal employment application process. During 2004, the Enterprise
Human Resources Integration project will provide a model and supporting
tools for workforce planning, analysis and forecasting to improve human
capital management. In 2005, OPM will continue to lead the design,
development, and implementation of innovative, flexible, merit-based
human resource policies and strategies that will aid Federal agencies in
adopting human resource management systems that improve their ability to
build successful high performance organizations.
Program Performance.--As part of a larger effort to improve the
hiring process, OPM will develop new and improved data collection
methods to solicit input from new hires, employees, managers, and human
capital staff in areas ranging from Federal hiring and pay/benefit
systems to leadership, accountability, and workforce planning.
Additionally, OPM will continue to implement changes to the Federal
Employees Health Benefits Program (FEHBP) to maximize resources and
obtain the flexibilities that produce the most cost beneficial benefits
package.
2. Human Capital Leadership and Merit System Accountability
(HCLMSA)--leads the transformation of Human Capital Management by
providing technical support to Federal agencies so they can better
accomplish their missions through effective human capital programs and
practices that integrate technology and by measuring their results. OPM
helped agencies use new hiring flexibilities provided by the Homeland
Security Act, such as direct-hire authority, category rating, academic
degree training authority, and voluntary early retirement authority. In
addition, OPM assisted agencies in their human capital management, which
resulted in more agencies showing an improved status in PMA--Strategic
Management of Human Capital (SMHC). OPM will continue to conduct
periodic evaluations of agency human resource operations to assess
compliance with merit system principles, law and regulations, including
efficiency and effectiveness. OPM will hold agencies accountable for
their efforts to diversify their workforce and uphold veterans'
preference. In addition, OPM will promote and manage innovative
departmental and agency demonstration projects as well as consult with
stakeholder groups to support the strategic management and
transformation of human capital. OPM will also conduct feedback and
action planning with focus groups and management to address
opportunities identified through surveys. In 2005, OPM will continue to
work with all agencies to help them implement further the PMA-SMHC and
move their human capital scorecards toward ``Green.'' OPM will also work
with agencies to address human capital competency gaps and knowledge
transfer management, and to establish and implement agency
accountability systems for human resources management that assess agency
adherence to merit system principles and supporting requirements.
Furthermore, OPM will ensure that agencies implement investigative
policies and standards to ensure that Federal employees meet certain
necessary suitability standards.
Program Performance.--OPM will develop an enhanced Federal Human
Capital Survey (FHCS) to measure human capital accountability across
Government. The FHCS will provide broad governmentwide indicators of the
status of federal human capital that would benefit lawmakers, managers,
employees, and citizens. OPM administered the FHCS in 2002 to over
200,000 employees. In 2005, OPM will improve upon the function and
applicability of the FHCS to realize the full potential of the tool as a
measure of Human Capital Transformation Accountability. Also, OPM will
continue to train HR personnel to improve their counseling with
employees and annuitants on federal benefit programs.
3. Human Resources Products and Services (HRPS)--is committed to:
(1) Provide direct human capital products and services that are cost-
effective, relevant and useful to agencies; (2) Facilitate retirement
income security for Federal employees by making the transition from
active employment to retirement seamless and expeditious; (3) Allow
Federal employees, annuitants and their families to choose from among
quality and fiscally responsible carriers to address their specific
insurance needs.
During 2004, OPM will continue to reengineer the retirement systems.
OPM will implement the full electronic exchange of information for
imaging and convert existing employee retirement files to electronic
format. By reengineering processes and updating technology, OPM will be
able to deliver retirement services in a more timely, cost-efficient way
while also expanding the number of services. Additionally, OPM will add
functionality to a retirement benefits calculator and estimator tool
that will process over 90% of the FERS workload and improve CSRS
benefits calculation. OPM also will continue to provide Federal retirees
and their dependents with health insurance benefits, and will upgrade
telephone systems and supplement in-house staff capacity through
contractor assistance to provide customer service to retirees. OPM will
continue to provide a range of reimbursable products and services
including recruitment, assessment, selection, and staffing to help
agencies meet their human capital needs. OPM will ensure the fitness and
suitability of applicants for, and appointees to, positions in the
Federal service, including conducting background investigations for
Federal agencies.
[[Page 1059]]
OPM will continue to negotiate and contract with private insurance
companies to offer a flexible range of health insurance benefits, and
will provide technical oversight, execution and maintenance of the newly
offered Flexible Spending Accounts program.
Program performance.--OPM establishes annual performance goals and
objectives designed to achieve long-term strategic goals. Customer
service is measured through OPM's Customer Satisfaction Survey, surveys
of attendees at conferences, workshops, and/or seminars, and feedback
from users of the OPM website and email. Progress is monitored through
program performance indicators.
The Retirement Systems Modernization (RSM) project is OPM's central
strategy for meeting its long term retirement program customer service,
financial management, business process, and workforce performance goals.
OPM is moving from a paper-based to an electronic record keeping system.
During 2003, the RSM project continued to work on implementation
segments, electronic data planning and foundation elements. Two critical
factors have influenced the course of this project: the need to evaluate
and leverage recent advancements from e-Gov projects, and the need to
thoroughly assess alternatives to implementing RSM.
In 2005, RSM will continue to capture and convert retirement-related
paper and electronic data at the agencies as well as paper files at the
Retirement Operations Center facility. RSM will begin to establish
electronic portals to receive recurring feeds of agency data, as well as
to move to production-level use of the Coverage Determination
Application.
OPM processes 170,000 Civil Service and Federal Employees'
Retirement System (CSRS and FERS) annuity and survivor claims annually.
Since 2000, the processing time for interim annuity payments has been
reduced from five days to an average of three days and in 2003, nearly
71 percent of interim payments were authorized within one to five days.
As OPM leveraged technology investments to increase its claims
processing capacity and efficiency, FERS claims processing times dropped
from 185 days in 2000 to 82 days in 2003. OPM projects FERS claims
processing times will be 76 days in 2005.
By constructing benefit choices that are comprehensive and
competitive for Federal employees, OPM seeks to enable agencies to be
competitive employers to recruit and retain talent needed to meet their
missions. For 2004, OPM negotiated health insurance premiums in the
Federal Employees Health Benefits Program (FEHBP) that were held below
the national average increase and Federal employees will have 205 health
plan choices. Beginning in 2004, Federal employees can review health
insurance carriers' initiatives and programs for patient safety in
addition to the decision-support tools and a plan-comparison feature
available on the FEHBP website. Flexible Spending Accounts (FSAs) became
available to Federal employees beginning July 1, 2003. The FSA program
allows deductions from pretax salary of employees, which can be used to
pay for eligible medical expenses and dependent-care expenses not
covered under the Federal Employees Health Benefits Program. The program
has nearly 120,000 Federal accounts with a third party administrator. To
make sure that the FSA program remains competitive, OPM allows over-the-
counter drugs and medicines, in accordance with IRS guidelines, to be
covered under the program and has increased the FSA allowance for
medical expenses to $4,000 per year.
The Federal Long Term Care Insurance Program (FLTCIP) authorized
under the Long-Term Care Security Act of 2000, has about 200,000
enrollees. The program features customized plans in the areas of
coverage, benefits and waiting periods or participants have the choice
of four pre-packaged plans. The program has been expanded to include new
groups eligible to apply for this insurance, some District of Columbia
government employees, entitled Federal deferred annuitants and certain
eligible reservists.
The Administration will work with stakeholders to better coordinate
the Medicare and Federal Employees Health Benefits programs and look to
the practice of the private sector to ensure high quality, cost-
conscious choices for retirees. These important programs jointly finance
health insurance for about 2 million Federal retirees and their
dependents.
4. Management Services--Includes: OPM human resources, equal
employment opportunity, security, facilities, telecommunications,
publishing, acquisitions, information resources management, strategic
planning and financial management to support all of OPM's goals. In
2005, this organization will continue to develop and enhance the
evaluation function formed in 2004 to assess the use and impact of OPM
programs in a unified and coordinated manner.
5. Executive Services--Includes: executive direction, legal advice
and representation, public affairs, legislative activities, and the
operating expenses of the President's commission on White House Fellows.
6. Reimbursable Programs.--OPM provides administrative, information
resources management, and executive services to other OPM accounts on a
reimbursable basis. OPM also performs a small amount of reimbursable
work under the Economy Act at the request of other agencies.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-0100-0-1-805 2003 actual 2004 est. 2005 est.
----------------------------------------------------------------------------
Direct obligations:
Personnel compensation:
11.1 Full-time permanent........... 106 117 117
11.3 Other than full-time permanent 5 7 7
11.5 Other personnel compensation.. 4 4 4
--------- --------- ----------
11.9 Total personnel compensation 115 128 128
12.1 Civilian personnel benefits..... 26 30 30
21.0 Travel and transportation of
persons....................... 3 3 3
23.1 Rental payments to GSA.......... 17 17 17
23.3 Communications, utilities, and
miscellaneous charges......... 6 10 10
24.0 Printing and reproduction....... 2 2 2
25.2 Other services.................. 62 107 87
26.0 Supplies and materials.......... 2 3 3
31.0 Equipment....................... 3 5 5
--------- --------- ----------
99.0 Direct obligations............ 236 305 285
99.0 Reimbursable obligations.......... 3 34 34
--------- --------- ----------
99.9 Total new obligations........... 239 339 319
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Personnel Summary
----------------------------------------------------------------------------
Identification code 24-0100-0-1-805 2003 actual 2004 est. 2005 est.
----------------------------------------------------------------------------
Direct:
1001 Total compensable workyears:
Civilian full-time equivalent
employment...................... 1,848 1,958 1,982
Reimbursable:
2001 Total compensable workyears:
Civilian full-time equivalent
employment...................... 141 141 141
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Human Capital Performance Fund
(including transfer of funds)
For a human capital performance fund, [$1,000,000: Provided, That
such amount shall not be available for obligation or transfer until
enactment of legislation that establishes a human capital performance
fund within the Office of Personnel Management:] as authorized by 5
U.S.C. 5408, $300,000,000: Provided [further], That such amounts as
determined by the Director of the Office of Personnel Management may be
transferred to Federal agencies to carry out the purposes of this fund
as authorized[: Provided further, That no funds shall be available for
obligation or transfer to any Federal agency until the Director has
notified the relevant subcommittees of jurisdiction of the Committees on
Appropriations of the approval
[[Page 1060]]
of a performance pay plan for that agency, and the prior approval of
such subcommittees has been attained] by 5 U.S.C. 5403. (Division F,
H.R. 2673, Consolidated Appropriations Bill, FY 2004.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-0700-0-1-805 2003 actual 2004 est. 2005 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Human capital performance fund.... 1 300
--------- --------- ----------
10.00 Total new obligations (object
class 11.1)................... 1 300
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 1 300
23.95 Total new obligations............. -1 -300
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 1 300
Change in obligated balances:
73.10 Total new obligations............. 1 300
73.20 Total outlays (gross)............. -1 -300
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 1 300
Net budget authority and outlays:
89.00 Budget authority.................. 1 300
90.00 Outlays........................... 1 300
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The Human Capital Performance Fund is designed to create
performance-driven pay systems for employees and reinforce the value of
employee performance management systems. It will provide additional pay
over and above any annual, across-the-board pay raise to certain
civilian employees based on individual or organizational performance
and/or other critical agency human capital needs. Ninety percent of
funds appropriated are to be distributed to agencies on a pro rata
basis, upon OPM approval of an agency's plan. The remainder, and any
amount withheld from agencies due to inadequate plans, will be allocated
at the discretion of OPM.
Office of Inspector General
salaries and expenses
(including transfer of trust funds)
For necessary expenses of the Office of Inspector General in
carrying out the provisions of the Inspector General Act, as amended,
including services as authorized by 5 U.S.C. 3109, hire of passenger
motor vehicles, [$1,498,000] $1,627,000, and in addition, not to exceed
[$14,427,000] $16,461,000 for administrative expenses to audit,
investigate, and provide other oversight of the Office of Personnel
Management's retirement and insurance programs, to be transferred from
the appropriate trust funds of the Office of Personnel Management, as
determined by the Inspector General: Provided, That the Inspector
General is authorized to rent conference rooms in the District of
Columbia and elsewhere. (Division F, H.R. 2673, Consolidated
Appropriations Bill, FY 2004.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-0400-0-1-805 2003 actual 2004 est. 2005 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Direct program activity........... 1 1 2
09.00 Reimbursable program.............. 11 15 16
--------- --------- ----------
10.00 Total new obligations........... 12 16 18
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 12 16 18
23.95 Total new obligations............. -12 -16 -18
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 2 1 2
Spending authority from offsetting
collections:
68.00 Offsetting collections (cash)... 9 15 16
68.10 Change in uncollected customer
payments from Federal sources
(unexpired)................... 1
--------- --------- ----------
68.90 Spending authority from
offsetting collections
(total discretionary)....... 10 15 16
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 12 16 18
Change in obligated balances:
73.10 Total new obligations............. 12 16 18
73.20 Total outlays (gross)............. -10 -16 -18
74.00 Change in uncollected customer
payments from Federal sources
(unexpired)..................... -1
74.10 Change in uncollected customer
payments from Federal sources
(expired)....................... 1
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 10 16 18
Offsets:
Against gross budget authority and outlays:
88.00 Offsetting collections (cash)
from: Federal sources......... -9 -15 -16
Against gross budget authority only:
88.95 Change in uncollected customer
payments from Federal sources
(unexpired)................... -1
Net budget authority and outlays:
89.00 Budget authority.................. 2 1 2
90.00 Outlays........................... 1 1 2
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This appropriation provides agency-wide audit, investigative,
evaluation, inspection, and administrative sanction functions to
identify management and administrative deficiencies that may create
conditions for fraud, waste, abuse, and mismanagement. The audits
function provides internal agency audit, insurance audit, contract
audit, and information systems audit services. Contract audits provide
professional advice to agency contracting officials on accounting and
financial matters regarding the negotiation, award, administration,
repricing, and settlement of contracts. Internal agency audits review
and evaluate all facets of agency operations, including financial
statements. Insurance audits review the operations of health and life
insurance carriers, health care providers, and insurance subscribers.
Information systems audits review both general controls and application
controls for the agency's systems and programs. The investigative
function provides for the detection and investigation of improper and
illegal activities involving programs, personnel, and operations.
Administrative sanctions debar from participation in the health
insurance program those health care providers whose conduct may pose a
threat to the financial integrity of the program itself or to the well-
being of insurance program enrollees. These Inspector General activities
resulted in positive financial impacts of approximately $116 million, 24
criminal convictions, and 3,827 administrative sanctions in 2002.
These Inspector General activities resulted in positive financial
impacts of approximately $40 million, 13 criminal convictions, and 3405
administrative sanctions in 2003.
Additional resources in 2004 will finance more audit staff, special
agent criminal investigators, and improved information systems. OPM
expects to reduce the audit cycle to 2.9 years for FEHBP carriers. Total
recoveries are expected to increase by $14 million annually.
In 2005, OPM will add audits of pharmacy benefit managers and expand
the scope of audits for the largest community-rated health plans
(comprehensive medical plans commonly referred to as health maintenance
organizations) participating in FEHBP.
Object Classification (in millions of dollars)
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Identification code 24-0400-0-1-805 2003 actual 2004 est. 2005 est.
----------------------------------------------------------------------------
Direct obligations:
11.1 Personnel compensation: Full-
time permanent................ 1 1 1
12.1 Civilian personnel benefits..... 1
--------- --------- ----------
99.0 Direct obligations............ 1 1 2
99.0 Reimbursable obligations.......... 10 14 15
99.5 Below reporting threshold......... 1 1 1
--------- --------- ----------
[[Page 1061]]
99.9 Total new obligations........... 12 16 18
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Personnel Summary
----------------------------------------------------------------------------
Identification code 24-0400-0-1-805 2003 actual 2004 est. 2005 est.
----------------------------------------------------------------------------
Direct:
1001 Total compensable workyears:
Civilian full-time equivalent
employment...................... 17 17 18
Reimbursable:
2001 Total compensable workyears:
Civilian full-time equivalent
employment...................... 83 106 122
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Government Payment for Annuitants, Employees Health Benefits
For payment of Government contributions with respect to retired
employees, as authorized by chapter 89 of title 5, United States Code,
and the Retired Federal Employees Health Benefits Act (74 Stat. 849), as
amended, such sums as may be necessary. (Division F, H.R. 2673,
Consolidated Appropriations Bill, FY 2004.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-0206-0-1-551 2003 actual 2004 est. 2005 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Government contribution for
annuitants benefits (1959 Act).. 6,672 7,356 8,044
00.02 Government contribution for
annuitants benefits (1960 Act).. 2 2 2
--------- --------- ----------
10.00 Total new obligations (object
class 13.0)................... 6,674 7,358 8,046
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 6,674 7,358 8,046
23.95 Total new obligations............. -6,674 -7,358 -8,046
New budget authority (gross), detail:
Mandatory:
60.00 Appropriation................... 6,674 7,358 8,046
Change in obligated balances:
72.40 Obligated balance, start of year.. 605 675 730
73.10 Total new obligations............. 6,674 7,358 8,046
73.20 Total outlays (gross)............. -6,604 -7,303 -8,011
74.40 Obligated balance, end of year.... 675 730 765
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 5,999 6,628 7,281
86.98 Outlays from mandatory balances... 605 675 730
--------- --------- ----------
87.00 Total outlays (gross)........... 6,604 7,303 8,011
Net budget authority and outlays:
89.00 Budget authority.................. 6,674 7,358 8,046
90.00 Outlays........................... 6,604 7,303 8,011
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This appropriation covers: (1) the Government's share of the cost of
health insurance for annuitants as defined in sections 8901 and 8906 of
title 5, United States Code; (2) the Government's share of the cost of
health insurance for annuitants (who were retired when the Federal
employees health benefits law became effective), as defined in the
Retired Federal Employees Health Benefits Act of 1960; and (3) the
Government's contribution for payment of administrative expenses
incurred by the Office of Personnel Management in administration of the
Act.
The budget authority for this account recognizes the amounts being
remitted by the U.S. Postal Service (USPS) to finance a portion of its
post-1971 annuitants' health benefit costs.
2003 actual 2004 est. 2005 est.
Annuitants:
FEHB............................ 1,836,789 1,863,000 1,890,000
(USPS non-add)................ 430,153 430,000 429,000
REHB............................ 2,362 1,960 1,627
------------------------------------
Total, annuitants........... 1,839,151 1,864,960 1,891,627
====================================
Government Payment for Annuitants, Employee Life Insurance
For payment of Government contributions with respect to employees
retiring after December 31, 1989, as required by chapter 87 of title 5,
United States Code, such sums as may be necessary. (Division F, H.R.
2673, Consolidated Appropriations Bill, FY 2004.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-0500-0-1-602 2003 actual 2004 est. 2005 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Direct program activity........... 34 35 35
--------- --------- ----------
10.00 Total new obligations (object
class 25.2)................... 34 35 35
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 34 35 35
23.95 Total new obligations............. -34 -35 -35
New budget authority (gross), detail:
Mandatory:
60.00 Appropriation................... 34 35 35
Change in obligated balances:
72.40 Obligated balance, start of year.. 4 4 4
73.10 Total new obligations............. 34 35 35
73.20 Total outlays (gross)............. -34 -35 -35
74.40 Obligated balance, end of year.... 4 4 4
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 30 31 31
86.98 Outlays from mandatory balances... 4 4 4
--------- --------- ----------
87.00 Total outlays (gross)........... 34 35 35
Net budget authority and outlays:
89.00 Budget authority.................. 34 35 35
90.00 Outlays........................... 34 35 35
---------------------------------------------------------------------------
This appropriation finances the Government's share of premiums,
which is one-third the cost, for Basic life insurance for annuitants
retiring after December 31, 1989, and who are less than 65 years old.
Payment to Civil Service Retirement and Disability Fund
For financing the unfunded liability of new and increased annuity
benefits becoming effective on or after October 20, 1969, as authorized
by 5 U.S.C. 8348, and annuities under special Acts to be credited to the
Civil Service Retirement and Disability Fund, such sums as may be
necessary: Provided, That annuities authorized by the Act of May 29,
1944, as amended, and the Act of August 19, 1950, as amended (33 U.S.C.
771-775), may hereafter be paid out of the Civil Service Retirement and
Disability Fund. (Division F, H.R. 2673, Consolidated Appropriations
Bill, FY 2004.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-0200-0-1-805 2003 actual 2004 est. 2005 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.02 Payment of Government share of
retirement costs................ 9,933 9,800 9,700
00.03 Transfers for interest on unfunded
liability and payment of
military service annuities...... 11,876 16,100 16,600
00.05 Spouse equity payment............. 69 70 72
--------- --------- ----------
10.00 Total new obligations........... 21,878 25,970 26,372
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 21,878 25,970 26,372
23.95 Total new obligations............. -21,878 -25,970 -26,372
New budget authority (gross), detail:
Mandatory:
60.00 Appropriation................... 11,876 16,100 16,600
60.00 Appropriation................... 10,002 9,870 9,772
--------- --------- ----------
62.50 Appropriation (total
mandatory).................. 21,878 25,970 26,372
Change in obligated balances:
73.10 Total new obligations............. 21,878 25,970 26,372
73.20 Total outlays (gross)............. -21,878 -25,970 -26,372
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 21,878 25,970 26,372
Net budget authority and outlays:
89.00 Budget authority.................. 21,878 25,970 26,372
[[Page 1062]]
90.00 Outlays........................... 21,878 25,970 26,372
---------------------------------------------------------------------------
Payment of Government share of retirement costs.--This payment
amortizes increases in the static unfunded liability created since
October 20, 1969 by any statute which authorizes new or liberalized
benefits, an extension of retirement coverage, or pay increases.
Transfers for interest on static unfunded liability and payment of
military service annuities.--This transfer covers interest on the static
unfunded liability and annuity disbursements attributable to military
service.
Payments for spouse equity.--This payment provides survivor
annuities to eligible former spouses of annuitants who died between
September 1978 and May 1986 and who did not elect survivor coverage.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-0200-0-1-805 2003 actual 2004 est. 2005 est.
----------------------------------------------------------------------------
12.1 Civilian personnel benefits....... 10,002 9,870 9,772
13.0 Benefits for former personnel..... 11,876 16,100 16,600
--------- --------- ----------
99.9 Total new obligations........... 21,878 25,970 26,372
---------------------------------------------------------------------------
Intragovernmental funds:
Revolving Fund
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-4571-0-4-805 2003 actual 2004 est. 2005 est.
----------------------------------------------------------------------------
Obligations by program activity:
09.01 Talent services................... 96 130 136
09.02 Investigation services............ 391 641 849
09.03 Leadership capacity services...... 39 41 41
--------- --------- ----------
10.00 Total new obligations........... 526 812 1,026
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 81 170 170
22.00 New budget authority (gross)...... 610 812 1,026
22.10 Resources available from
recoveries of prior year
obligations..................... 5
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 696 982 1,196
23.95 Total new obligations............. -526 -812 -1,026
24.40 Unobligated balance carried
forward, end of year............ 170 170 170
New budget authority (gross), detail:
Spending authority from offsetting
collections:
Discretionary:
68.00 Offsetting collections (cash). 428 812 1,026
68.10 Change in uncollected customer
payments from Federal
sources (unexpired)......... 182
--------- --------- ----------
68.90 Spending authority from
offsetting collections
(total discretionary)..... 610 812 1,026
Change in obligated balances:
72.40 Obligated balance, start of year.. 55 -61 -61
73.10 Total new obligations............. 526 812 1,026
73.20 Total outlays (gross)............. -455 -812 -1,026
73.45 Recoveries of prior year
obligations..................... -5
74.00 Change in uncollected customer
payments from Federal sources
(unexpired)..................... -182
74.40 Obligated balance, end of year.... -61 -61 -61
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 455 812 1,026
Offsets:
Against gross budget authority and outlays:
88.00 Offsetting collections (cash)
from: Federal sources......... -428 -812 -1,026
Against gross budget authority only:
88.95 Change in uncollected customer
payments from Federal sources
(unexpired)................... -182
Net budget authority and outlays:
89.00 Budget authority..................
90.00 Outlays........................... 27
---------------------------------------------------------------------------
OPM's Revolving Fund supports the President's Management Agenda by
fully or partially funding three e-Government projects: e-Clearance; e-
Training; and Recruitment One-Stop. The Revolving Fund also provides
financing on a reimbursable basis for several products and services to
Federal agencies.
Talent Services.--OPM provides assistance to Government agencies in
managing the development of training and human resources management
solutions that meet their specific short-term and long-range objectives.
This is accomplished through an expedited contracting process, which is
managed by an experienced team of HR and contracting professionals. Much
of the Training Management Assistance (TMA) workload supports
development of training programs for anti-terrorism, emergency
preparedness, and intelligence activities at the U.S. Customs Service,
Department of Defense (DOD), U.S. Air Force, Federal Aviation
Administration, Federal Emergency Management Agency, and the Immigration
and Naturalization Service. About 250 programs are managed annually.
OPM delivers employment information, testing and recruiting
services, automated staffing, and related human resource management
services to Federal agencies nationwide. Nationwide testing involves
work planning, scheduling, and administration of written examinations
upon request from agencies including the DOD and the Department of
Homeland Security.
Investigations.--Through contracts with private companies, OPM
conducts National Agency Check and Inquiry cases and background
security/suitability investigations for Federal agencies on a
reimbursable basis through the Revolving Fund. When OPM is required to
pay fees for national, State, or other records provided, agencies are
also required to reimburse OPM for such fees through the Revolving Fund.
The Defense Authorization Act of 2004 provided OPM the option to
accept a transfer of functions and personnel from the Department of
Defense, Defense Security Service (DSS). The Director of OPM has
statutory discretion to accept or decline full transfer of functions and
personnel from DSS. No decision has been made at this time for a full
transfer of functions in either 2004 or 2005. The figures that appear in
the Budget Appendix are illustrative only if such a transfer occurs and
are subject to change.
In 2004, OPM will partner with DSS to provide certain investigative
services as an initial step toward building an integrated program. OPM
agreed to accept for automated processing through the Revolving Fund
over 350,000 new DSS requests for investigative services. In addition,
OPM plans to enter into a reimbursable agreement with DSS to cover all
costs associated with the use of OPM's automated processing
infrastructure for field investigations and any training required for
DSS staff.
OPM may accept a full transfer of activities and employees from DSS.
OPM may provide a full range of services to DSS--including all
accounting functions such as billings and collections--through a cross
servicing agreement. All reimbursable investigative work and related
functions such as billings, collections, and associated preparation and
instruction on use of OPM systems will be completed by the OPM Federal
staff or through contracts with private companies for investigative
services, and will be carried out through the Revolving Fund.
This language appears concurrently in the DOD chapter of the Budget
Appendix. In addition, the schedules/tables in the Appendix include a
footnote qualifying the budget, workload and FTE estimates.
[[Page 1063]]
Leadership Capacity Services.--OPM conducts residential and
nonresidential programs for Federal executives and managers to improve
the effectiveness and efficiency of Federal programs.
WORKLOAD COUNT
2003 actual 2004 est. 2005 est.
Participant training days........... 86,354 83,186 84,850
Background security investigations
processed........................... 101,022 273,655 273,655
National and special agency check
and inquiry cases closed............ 419,230 1,021,212 1,021,212
Special agreement checks closed..... 548,856 271,838 271,838
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-4571-0-4-805 2003 actual 2004 est. 2005 est.
----------------------------------------------------------------------------
Personnel compensation:
11.1 Full-time permanent............. 25 112 173
11.3 Other than full-time permanent.. 5 5 6
11.5 Other personnel compensation.... 2 7 13
--------- --------- ----------
11.9 Total personnel compensation.. 32 124 192
12.1 Civilian personnel benefits....... 8 9 41
21.0 Travel and transportation of
persons......................... 4 8 12
23.1 Rental payments to GSA............ 7 10 14
23.3 Communications, utilities, and
miscellaneous charges........... 11 16 19
24.0 Printing and reproduction......... 2 2 3
25.2 Other services.................... 451 626 723
26.0 Supplies and materials............ 3 7 11
31.0 Equipment......................... 8 10 11
--------- --------- ----------
99.9 Total new obligations........... 526 812 1,026
---------------------------------------------------------------------------
Personnel Summary
----------------------------------------------------------------------------
Identification code 24-4571-0-4-805 2003 actual 2004 est. 2005 est.
----------------------------------------------------------------------------
Reimbursable:
2001 Total compensable workyears:
Civilian full-time equivalent
employment...................... 669 1,701 2,601
---------------------------------------------------------------------------
Resource levels, workload, and personnel estimates for FY 2004 and
FY 2005 in this account reflect a transfer of DOD's Defense Security
Service activities beginning in 2004 and completed in 2005 and are
subject to change. No decision has been made at this time for any
transfer of functions and employees.
Trust Funds
Civil Service Retirement and Disability Fund
Unavailable Receipts (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-8135-0-7-602 2003 actual 2004 est. 2005 est.
----------------------------------------------------------------------------
01.99 Balance, start of year............ 569,480 597,334 626,887
Receipts:
02.00 Employee contributions, Civil
service retirement and
disability...................... 4,004 4,087 3,990
02.01 District of Columbia
contributions, Civil service
retirement and.................. 53 46 42
02.02 Employee deposits, redeposits and
other contributions, Civil ser.. 518 543 569
02.40 Agency contributions, Civil
service retirement and
disability fu................... 11,288 11,566 12,769
02.41 Postal Service agency
contributions, Civil service
retirement an................... 3,331 4,101 4,187
02.42 Postal Service supplemental
contributions, Civil service
retirem......................... 263 263
02.43 FFB, TVA, and USPS interest, Civil
service retirement and disabi... 1,932
02.44 Treasury interest, Civil service
retirement and disability fund.. 35,329 36,035 37,926
02.45 General fund payment to the civil
service retirement and disabil.. 21,878 25,970 26,372
02.46 Re-employed annuitants salary
offset, Civil service retirement
a............................... 33 34 36
--------- --------- ----------
02.99 Total receipts and collections.. 78,366 82,645 86,154
--------- --------- ----------
04.00 Total: Balances and collections... 647,846 679,979 713,041
Appropriations:
05.00 Civil service retirement and
disability fund................. -87 -124 -116
05.01 Civil service retirement and
disability fund................. -78,278 -82,521 -86,038
05.02 Civil service retirement and
disability fund................. 27,853 29,553 30,944
--------- --------- ----------
05.99 Total appropriations............ -50,512 -53,092 -55,210
--------- --------- ----------
07.99 Balance, end of year.............. 597,334 626,887 657,831
---------------------------------------------------------------------------
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-8135-0-7-602 2003 actual 2004 est. 2005 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Annuities......................... 50,102 52,664 54,792
00.02 Refunds and death claims.......... 291 276 275
00.03 Administration--operations........ 113 146 139
00.04 Transfer to MSPB.................. 3 3
00.05 Administration--OIG............... 3 3 4
--------- --------- ----------
10.00 Total new obligations........... 50,512 53,092 55,210
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 50,512 53,092 55,210
23.95 Total new obligations............. -50,512 -53,092 -55,210
New budget authority (gross), detail:
Discretionary:
40.26 Appropriation (trust fund)...... 87 124 116
Mandatory:
60.26 Appropriation (trust fund)...... 78,278 82,521 86,038
60.45 Portion precluded from balances. -27,853 -29,553 -30,944
--------- --------- ----------
62.50 Appropriation (total
mandatory).................. 50,425 52,968 55,094
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 50,512 53,092 55,210
Change in obligated balances:
72.40 Obligated balance, start of year.. 4,258 4,402 4,664
73.10 Total new obligations............. 50,512 53,092 55,210
73.20 Total outlays (gross)............. -50,368 -52,830 -55,033
74.40 Obligated balance, end of year.... 4,402 4,664 4,841
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 87 124 116
86.97 Outlays from new mandatory
authority....................... 46,023 48,304 50,253
86.98 Outlays from mandatory balances... 4,258 4,402 4,664
--------- --------- ----------
87.00 Total outlays (gross)........... 50,368 52,830 55,033
Net budget authority and outlays:
89.00 Budget authority.................. 50,512 53,092 55,210
90.00 Outlays........................... 50,368 52,830 55,033
Memorandum (non-add) entries:
92.01 Total investments, start of year:
Federal securities: Par value... 573,713 601,709 631,547
92.02 Total investments, end of year:
Federal securities: Par value... 601,709 631,547 662,668
---------------------------------------------------------------------------
This fund: (1) Pays annuities to retired employees or their
survivors; (2) makes refunds to separated employees for amounts withheld
and to beneficiaries of employees who died before retirement or before
annuities equaled the amount withheld; and (3) pays expenses of the
Office of Personnel Management for administering the program.
The fund covers two Federal civilian retirement systems: the Civil
Service Retirement System (CSRS) and the Federal Employees' Retirement
System (FERS).
CSRS is basically a defined benefit plan, covering Federal employees
hired prior to 1984. CSRS participants do not participate in the Social
Security system. FERS is a three-tiered pension program that uses Social
Security as a base, provides an additional basic benefit, and includes a
thrift savings plan. FERS covers employees hired after 1983 and formerly
CSRS-covered employees who elected to join FERS.
The Budget proposes that the United States Patent and Trademark
Office (PTO) will fund the full cost for retirement pay for PTO's
employees covered under the Civil Service Retirement System.
2003 actual 2004 est. 2005 est.
Active employees.................... 2,661,997 2,660,000 2,660,000
Annuitants:
Employees......................... 1,757,673 1,790,235 1,823,261
Survivors......................... 632,004 633,549 634,675
------------------------------------
Total, annuitants............. 2,389,677 2,423,784 2,457,936
====================================
[[Page 1064]]
Status of Funds (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-8135-0-7-602 2003 actual 2004 est. 2005 est.
----------------------------------------------------------------------------
Unexpended balance, start of year:
0100 Treasury balance.................. 26 28 8
U.S. Securities:
0101 Par value....................... 573,713 601,709 631,547
0102 Unrealized discounts............ -2 -2 -4
--------- --------- ----------
0199 Total balance, start of year.... 573,738 601,736 631,551
Cash income during the year:
Current law:
Receipts:
1200 Employee contributions, Civil
Service Retirement and
Disability Fund............. 4,004 4,087 3,990
1201 District of Columbia
contributions............... 53 46 42
1202 Employee deposits, redeposits,
and voluntary contributions. 518 543 569
Offsetting receipts
(intragovernmental):
1240 Agency contributions, Civil
Service Retirement and
Disability Fund............. 11,288 11,566 12,769
1241 Postal Service agency
contributions, Civil Service
Retirement and Disability
Fund........................ 3,331 4,101 4,187
1242 Postal Service supplemental
contributions, Civil Service
Retirement and Disability
Fund........................ 263 263
1243 Federal Financing Bank
interest, Civil Service
Retirement and Disability
Fund........................ 1,932
1244 Treasury interest, Civil
Service Retirement and
Disability Fund............. 35,329 36,035 37,926
1245 General fund payment to the
Civil Service Retirement and
Disability Fund............. 21,878 25,970 26,372
1246 Re-employed annuitant salary
offset, Civil Service
Retirement and Disability
Fund........................ 33 34 36
1299 Income under present law........ 78,366 82,645 86,154
Cash outgo during year:
Current law:
4500 Payment of claims to retired
employees..................... -42,018 -44,102 -45,853
4500 Payment of alternative annuity
refunds....................... -4 -4 -4
4500 Payment of claims to survivor
annuitants.................... -7,951 -8,296 -8,759
4500 Lump sum payments to estates or
beneficiaries of deceased
annuitants and employees...... -153 -163 -171
4500 Refunds to living separated
employees..................... -123 -113 -104
4500 Administration--Operations...... -116 -149 -139
4500 Administration--OIG............. -3 -3 -4
4599 Outgo under current law (-)..... -50,368 -52,830 -55,033
Unexpended balance, end of year:
8700 Uninvested balance................ 28 8 8
Federal securities:
8701 Par value....................... 601,709 631,547 662,668
8702 Unrealized discounts............ -2 -4 -4
--------- --------- ----------
8799 Total balance, end of year...... 601,736 631,551 662,672
---------------------------------------------------------------------------
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-8135-0-7-602 2003 actual 2004 est. 2005 est.
----------------------------------------------------------------------------
25.2 Other services.................... 119 152 143
42.0 Insurance claims and indemnities.. 50,102 52,664 54,792
44.0 Refunds and death claims.......... 291 276 275
--------- --------- ----------
99.9 Total new obligations........... 50,512 53,092 55,210
---------------------------------------------------------------------------
Employees Life Insurance Fund
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-8424-0-8-602 2003 actual 2004 est. 2005 est.
----------------------------------------------------------------------------
Obligations by program activity:
09.01 Regular program premiums.......... 1,186 1,217 1,274
09.02 Optional program premiums......... 831 847 885
09.03 Beneficial program premiums....... 3 2 2
09.04 Administration.................... 1 2 2
09.05 Long term care administration..... 1 1 1
--------- --------- ----------
10.00 Total new obligations (object
class 25.2)................... 2,022 2,069 2,164
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 24,595 26,039 27,674
22.00 New budget authority (gross)...... 3,466 3,703 3,724
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 28,061 29,742 31,398
23.95 Total new obligations............. -2,022 -2,069 -2,164
24.40 Unobligated balance carried
forward, end of year............ 26,039 27,674 29,235
New budget authority (gross), detail:
Discretionary:
68.00 Spending authority from
offsetting collections:
Offsetting collections (cash). 1 2 2
Mandatory:
69.00 Offsetting collections (cash)... 3,498 3,702 3,721
69.10 Change in uncollected customer
payments from Federal sources
(unexpired)................... -33 -1 1
--------- --------- ----------
69.90 Spending authority from
offsetting collections
(total mandatory)........... 3,465 3,701 3,722
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 3,466 3,703 3,724
Change in obligated balances:
72.40 Obligated balance, start of year.. 210 243 258
73.10 Total new obligations............. 2,022 2,069 2,164
73.20 Total outlays (gross)............. -2,022 -2,053 -2,151
74.00 Change in uncollected customer
payments from Federal sources
(unexpired)..................... 33 1 -1
74.40 Obligated balance, end of year.... 243 258 270
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 1 2 2
86.93 Outlays from discretionary
balances........................ 210
86.97 Outlays from new mandatory
authority....................... 1,811 2,051 2,149
--------- --------- ----------
87.00 Total outlays (gross)........... 2,022 2,053 2,151
Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash)
from:
88.00 Agency contributions.......... -428 -481 -508
88.20 Interest on Federal securities -1,355 -1,417 -1,317
88.40 Regular program............... -696 -739 -784
88.40 Optional program.............. -1,020 -1,067 -1,114
--------- --------- ----------
88.90 Total, offsetting
collections (cash)........ -3,499 -3,704 -3,723
Against gross budget authority only:
88.95 Change in uncollected customer
payments from Federal sources
(unexpired)................... 33 1 -1
Net budget authority and outlays:
89.00 Budget authority..................
90.00 Outlays........................... -1,477 -1,651 -1,572
Memorandum (non-add) entries:
92.01 Total investments, start of year:
Federal securities: Par value... 25,350 26,778 27,749
92.02 Total investments, end of year:
Federal securities: Par value... 26,778 27,749 29,322
---------------------------------------------------------------------------
This fund finances payments to private insurance companies for
Federal employees' group life insurance and expenses of the Office of
Personnel Management in administering the program.
The Budget proposes that the United States Patent and Trademark
Office (PTO) will fund the accruing costs associated with post-
retirement life insurance benefits for PTO's employees.
Budget program.--The status of the basic (regular and optional) life
insurance program on September 30 is as follows:
2003 actual 2004 est. 2005 est.
Life insurance in force (in billions
of dollars):
On active employees............... 523.8 523.5 523.5
On retired employees.............. 56.6 58.2 59.7
------------------------------------
Total......................... 580.4 581.7 583.2
====================================
Number of participants (in
thousands):
Active employees.................. 2,443 2,442 2,442
Annuitants........................ 1,583 1,630 1,679
------------------------------------
Total......................... 4,026 4,072 4,121
====================================
Financing.--Non-Postal Service employees and all retirees under 65
pay two-thirds of the premium costs for Basic coverage; agencies pay the
remaining third. Optional and certain post-retirement Basic coverages
are paid entirely by enrollees. The status of the reserves at the end of
the year is as follows:
Status of Reserves 2003 actual 2004 est. 2005 est.
Held in reserve (in millions of
dollars):
Contingency reserve............... 100 100 100
[[Page 1065]]
Beneficial association program
reserve......................... 1 1 1
U.S. Treasury reserve............. 26,778 27,765 29,349
------------------------------------
Total reserves................ 26,879 27,866 29,450
====================================
Employees and Retired Employees Health Benefits Funds
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-9981-0-8-551 2003 actual 2004 est. 2005 est.
----------------------------------------------------------------------------
Obligations by program activity:
09.01 Benefit payments.................. 25,078 28,569 30,926
09.02 Payments from OPM contingency
reserve......................... 176 250 250
09.03 Government payment for annuitants
(1960 Act)...................... 2 2 2
09.04 Administration--operations........ 14 15 15
09.05 Administration--OIG............... 8 11 13
--------- --------- ----------
10.00 Total new obligations (object
class 25.6)................... 25,278 28,847 31,206
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 5,267 6,554 7,538
22.00 New budget authority (gross)...... 26,566 29,830 32,229
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 31,833 36,384 39,767
23.95 Total new obligations............. -25,278 -28,847 -31,206
24.40 Unobligated balance carried
forward, end of year............ 6,554 7,538 8,561
New budget authority (gross), detail:
Discretionary:
68.00 Spending authority from
offsetting collections:
Offsetting collections (cash). 22 26 28
Mandatory:
69.00 Offsetting collections (cash)... 26,424 29,670 32,096
69.10 Change in uncollected customer
payments from Federal sources
(unexpired)................... 120 134 105
--------- --------- ----------
69.90 Spending authority from
offsetting collections
(total mandatory)........... 26,544 29,804 32,201
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 26,566 29,830 32,229
Change in obligated balances:
72.40 Obligated balance, start of year.. 2,289 2,484 2,536
73.10 Total new obligations............. 25,278 28,847 31,206
73.20 Total outlays (gross)............. -24,964 -28,661 -31,102
74.00 Change in uncollected customer
payments from Federal sources
(unexpired)..................... -120 -134 -105
74.40 Obligated balance, end of year.... 2,484 2,536 2,535
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 14 26 28
86.97 Outlays from new mandatory
authority....................... 23,920 27,485 29,791
86.98 Outlays from mandatory balances... 1,030 1,150 1,283
--------- --------- ----------
87.00 Total outlays (gross)........... 24,964 28,661 31,102
Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash)
from:
88.00 Agency contributions.......... -7,205 -8,186 -8,745
88.00 Postal Service for Active
Employees................... -3,992 -4,466 -4,768
88.00 Postal Service for Annuitants. -1,140 -1,338 -1,467
88.00 Government contributions for
annuitants.................. -6,604 -7,303 -8,011
88.20 Interest on Federal securities -270 -272 -335
88.40 Contributions from D.C.
Government.................. -64 -82 -89
88.40 Employee salary withholdings.. -3,822 -4,303 -4,683
88.40 Annuity withholdings.......... -3,349 -3,746 -4,026
--------- --------- ----------
88.90 Total, offsetting
collections (cash)........ -26,446 -29,696 -32,124
Against gross budget authority only:
88.95 Change in uncollected customer
payments from Federal sources
(unexpired)................... -120 -134 -105
Net budget authority and outlays:
89.00 Budget authority..................
90.00 Outlays........................... -1,482 -1,035 -1,022
Memorandum (non-add) entries:
92.01 Total investments, start of year:
Federal securities: Par value... 7,554 9,037 10,081
92.02 Total investments, end of year:
Federal securities: Par value... 9,037 10,081 11,103
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This display combines the Federal Employees Health Benefits (FEHB)
fund and the Retired Employees Health Benefits (REHB) fund.
The FEHB fund provides for the cost of health benefits for: (1)
active employees; (2) employees who retired after June 1960, or their
survivors; (3) those annuitants transferred from the REHB program as
authorized by Public Law 93-246; and (4) the related expenses of the
Office of Personnel Management (OPM) in administering the program.
The REHB fund, created by the Retired Federal Employees Health
Benefits Act of 1960, provides for: (1) the cost of health benefits for
retired employees and survivors who enroll in a Government-sponsored
uniform health benefits plan; (2) the contribution to retired employees
and survivors who retain or purchase private health insurance; and (3)
expenses of OPM in administering the program.
Budget program.--The balance of the FEHB fund is available for
payments without fiscal year limitation. Numbers of participants at the
end of each fiscal year are as follows:
2003 actual 2004 est. 2005 est.
Active employees.................... 2,215,000 2,214,000 2,213,000
Annuitants.......................... 1,837,000 1,863,000 1,890,000
------------------------------------
Total........................... 4,052,000 4,077,000 4,103,000
====================================
In determining a biweekly subscription rate to cover program costs,
one percent is added for administrative expenses and three percent is
added for a contingency reserve held by OPM for each carrier. OPM is
authorized to transfer unused administrative reserve funds to the
contingency reserve.
The REHB fund is available without fiscal year limitation. The
amounts contributed by the Government are paid into the fund from annual
appropriations. The number of participants at the end of each fiscal
year are as follows:
2003 actual 2004 est. 2005 est.
Uniform plan........................ 639 530 440
Private plans....................... 1,723 1,430 1,187
------------------------------------
Total........................... 2,362 1,960 1,627
====================================
Financing.--The funds are financed by: (1) withholdings from active
employees and annuitants; (2) agency contributions for active employees;
(3) Government contributions for annuitants appropriated to OPM; and (4)
contributions made by the United States Postal Service in accordance
with the provisions of Public Law 101-508 and Public Law 103-66.
Operating results.--Funds made available to carriers but not used to
pay claims in the current period are carried forward as special reserves
for use in subsequent periods.
OPM maintains a contingency reserve, funded by employee and
Government contributions, that may be used to defray future cost
increases or provide increased benefits. OPM makes payments to carriers
from this reserve whenever carrier-held reserves fall below levels
prescribed by OPM regulations or when carriers can demonstrate good
cause such as unexpected claims experience or variations from expected
community rates.
The budget proposes that the United States Patent and Trademark
Office (PTO) will fund the accruing costs associated with post-
retirement health benefits for PTO's employees.
Status of Funds (in millions of dollars)
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Identification code 24-9981-0-8-551 2003 actual 2004 est. 2005 est.
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Unexpended balance, start of year:
0100 Treasury balance.................. 11 12 5
U.S. Securities:
0101 Par value....................... 7,554 9,037 10,081
0102 Unrealized discounts............ -10 -10 -11
--------- --------- ----------
0199 Total balance, start of year.... 7,556 9,038 10,074
Cash income during the year:
Current law:
Offsetting collections:
1280 Contributions from Employing
Agencies.................... 7,205 8,186 8,745
1280 Contributions from Postal
Service for Active Employees 3,992 4,466 4,768
1280 Contributions from Postal
Service for Annuitants...... 1,140 1,338 1,467
[[Page 1066]]
1280 Government Payment for
Annuitant Health Benefits... 6,604 7,303 8,011
1280 Interest Earned............... 270 272 335
1280 Contributions from DC
Government.................. 64 82 89
1280 Contributions from Active
Employees................... 3,822 4,303 4,683
1280 Contributions from Annuitants. 3,349 3,746 4,026
1299 Income under present law........ 26,446 29,696 32,124
Cash outgo during year:
Current law:
4500 Benefit Payments (-)............ -24,773 -28,384 -30,824
4500 Payments to Carriers from OPM
Contingency Reserves (-)...... -176 -250 -250
4500 Administration--Operations (-).. -12 -15 -15
4500 Administration--OIG............. -2 -11 -13
4599 Outgo under current law (-)..... -24,964 -28,661 -31,102
Unexpended balance, end of year:
8700 Uninvested balance................ 12 5 5
Federal securities:
8701 Par value....................... 9,037 10,081 11,103
8702 Unrealized discounts............ -10 -11 -12
--------- --------- ----------
8799 Total balance, end of year...... 9,038 10,074 11,096
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