[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 2006
[[Page 1087]]
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, [$125,500,000, of which
$12,000,000 shall remain available until September 30, 2007; and in
addition $128,462,000 for administrative expenses,] $124,521,000, of
which $6,983,000 shall remain available until expended for the
Enterprise Human Resources Integration project; $1,450,000 shall remain
available until expended for the Human Resources Line of Business
project; $500,000 shall remain available until expended for the E-
Training project; and $1,412,000 shall remain available until expended
until September 30, 2007 for the E-Payroll project; and in addition
$100,017,000 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
$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), and
[9004(f)(1)(A) and (2)(A)] 9004(f)(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
[2005] 2006, accept donations of money, property, and personal services:
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. (Transportation, Treasury,
Independent Agencies, and General Government Appropriations Act, 2005.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-0100-0-1-805 2004 actual 2005 est. 2006 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Strategic HR policy............... 19 24 24
00.02 Human capital leadership and merit
system accountability........... 28 34 34
00.03 HR products and services.......... 4 5 5
00.04 Management services............... 44 31 37
00.05 Executive services................ 13 15 15
00.06 e-Government Projects............. 23 16 10
09.00 Reimbursable program.............. 123 127 100
--------- --------- ----------
10.00 Total new obligations........... 254 252 225
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 26 55 55
22.00 New budget authority (gross)...... 298 252 225
22.10 Resources available from
recoveries of prior year
obligations..................... 1
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 325 307 280
23.95 Total new obligations............. -254 -252 -225
23.98 Unobligated balance expiring or
withdrawn....................... -16
--------- --------- ----------
24.40 Unobligated balance carried
forward, end of year.......... 55 55 55
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 119 126 125
40.35 Appropriation permanently
reduced....................... -1 -1
--------- --------- ----------
43.00 Appropriation (total
discretionary).............. 118 125 125
Spending authority from offsetting
collections:
68.00 Offsetting collections (cash)... 123 127 100
68.10 Change in uncollected customer
payments from Federal sources
(unexpired)................... 57
--------- --------- ----------
68.90 Spending authority from
offsetting collections
(total discretionary)....... 180 127 100
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 298 252 225
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 34 4 5
73.10 Total new obligations............. 254 252 225
73.20 Total outlays (gross)............. -269 -251 -224
73.40 Adjustments in expired accounts
(net)........................... 28
73.45 Recoveries of prior year
obligations..................... -1
74.00 Change in uncollected customer
payments from Federal sources
(unexpired)..................... -57
74.10 Change in uncollected customer
payments from Federal sources
(expired)....................... 14
--------- --------- ----------
74.40 Obligated balance, end of year.. 4 5 6
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 173 236 208
86.93 Outlays from discretionary
balances........................ 96 15 16
--------- --------- ----------
87.00 Total outlays (gross)........... 269 251 224
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
88.00 Offsetting collections (cash)
from: Federal sources......... -169 -127 -100
Against gross budget authority only:
88.95 Change in uncollected customer
payments from Federal sources
(unexpired)................... -57
88.96 Portion of offsetting
collections (cash) credited to
expired accounts.............. 46
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 118 125 125
90.00 Outlays........................... 100 124 124
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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 2006 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.
The 2006 Budget will allow OPM to implement long-term human capital
strategies that deliver results for the American people. Through its
leadership in the Government-wide effort to transform Human Capital
Management, OPM is creating an environment in which agencies are held
accountable for managing their workforce. OPM is committed to
implementing policies that will decrease the hiring time of new Federal
employees, and change how their job performance is evaluated and how
they are paid. Many of these policies will be driven by the lessons
learned in setting up the new human resources management system of the
Department of Homeland Security and of other agencies with contemporary
and efficient personnel systems.
[[Page 1088]]
The functions and objectives of the OPM Divisions are:
1. Strategic human resources policy (SHRP)--strives to: 1) Ensure
agencies use OPM policy and guidance to improve their Human Capital
Management; 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) Streamline the Federal hiring
process and make Federal employment attractive to high-quality
applicants of diverse backgrounds.
In 2006, OPM will continue to work with the Department of Defense to
complete the implementation of their new human resource system. Also,
OPM will continue to be an active partner in maximizing human resource
flexibilities and pay-for-performance within a Government-wide
framework.
In an effort to promote the Government's ability to attract and
retain qualified employees, OPM will modernize the Administrative
Careers with America Program, and continue to develop and implement the
Senior Presidential Management Fellows and Federal Candidate Development
programs.
OPM will assess the results of its strategic human resources policy
activities by again administering the Federal Human Capital Survey and
Federal Benefits Survey in 2006. OPM will also continue to track and
report on the extent to which agencies use innovations such as hiring
flexibilities, telework, and student loan repayments. The result of
these is to provide broad, Government-wide indicators on the status of
Federal human capital that will benefit lawmakers, managers, and
employees, and enable OPM to develop the appropriate human resource
policies. In addition, OPM will continue to lead the design, development
and implementation of 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.--During FY 2004, OPM developed policies to
support agencies' leadership succession planning efforts, specifically
for a Government-wide SES Federal Candidate Development Program and the
Presidential Management Fellows Program. The agency also issued interim
regulations to establish pay-for-performance for the SES Program and
specify the criteria that performance management systems covering senior
executives or senior professionals must meet. In addition, OPM worked
jointly with the Department of Homeland Security to issue proposed
regulations to establish a new human resource management system within
DHS. Similar to its work with DHS, OPM began partnering with DOD to
implement provisions of the National Defense Authorizations Act of 2004,
as high level staff from both agencies began working with unions
representing the various DOD employee groups and other stakeholders in
the developmental stage of the new personnel system. Finally, OPM
developed a policy structure to offer High-Deductible Health Plans with
Health Savings Accounts under the Federal Employees Health Benefit
Program.
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.
In 2006, OPM will continue to engage Federal agencies in
implementing Human Capital Standards for Success with the overarching
purpose of ensuring that agencies transform their human capital
management practices. OPM's success will be measured by the number of
agencies that meet the Human Capital Standards for Success that were
jointly developed with the Office of Management and Budget and the
Government Accountability Office. OPM will react to the results of the
retirement readiness study that will be completed in 2005 to ensure that
Federal employees are at the appropriate stage of retirement planning at
various milestones of their careers. In addition, OPM will continue its
auditing, reviewing, and oversight functions to ensure that agencies
comply with the merit system principles, veterans' preference,
whistleblower protection and other rights and privileges.
Program performance.--In 2004, eight of the twenty-six agencies
reporting under the President's Management Agenda Scorecard met the
Human Capital Standards for Success, up from zero in 2003. An additional
fifteen agencies have made significant progress toward achieving these
standards. This means that agencies employing over 1.3 million employees
are making significant progress toward meeting these standards. We
expect continued improvement in 2005 and 2006.
3. Human resources products and services (HRPS)--will: 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.
OPM continues to investigate options for modernizing its retirement
systems, such as licensing technology. In 2006, OPM will continue the
project to convert the millions of paper retirement records stored in
Boyers, PA to electronic data and will continue to expand the claims
processing capabilities of the Federal Annuity Claims Expert System. OPM
will also introduce new dental and vision benefits for employees and
annuitants on an enrollee-pay-all basis. Through the Federal Employees
Health Benefits Program, OPM will continue to negotiate and contract
with private insurance companies that offer a broad range of health
insurance benefits, including High Deductible Health Plans and Consumer
Driven Health Plan options.
Program performance.--In 2004, OPM met its target for the percentage
of post-retirement changes handled by self-servicing options, increased
the number of Retirement Program telephone calls handled and increased
the call handling rate, even as call volume increased 13 percent. OPM
also exceeded the target for processing times for CSRS survivor claims
by one day, the third straight year of improvement for this indicator.
OPM continues to work to improve processing times for other annuity
claims. To position the agency to improve processing times in FY 2005
and FY 2006, OPM has begun initiatives to reduce the number of aged
claims and a group of newly hired staff have been trained and are
actively processing claims.
In 2005, the Federal Employees Health Benefits Program (FEHBP) is
offering 44 more health plan options than in 2004. Customers can make
informed health insurance decisions by several means: OPM-sponsored
health plan brochures and website postings; health plan customer
satisfaction survey results; web-based comparison/decision tools; and
the Health Plan Employer and Data Information Set (HEDIS). OPM's effort
to increase the quality of health plan services proved successful in
2004 as current enrollment statistics show that 98 percent of FEHBP
customers were enrolled in plans rated as ``accredited'' regarding their
methods and success in achieving the best possible results for plan
members. For 2005, health benefit premium rates are rising by an
estimated average of 7.9 percent. In 2005 and 2006, OPM will continue
tough negotiations with health carriers to contain premium hikes and
maintain benefit levels. OPM will continue to improve and expand tools
so customers can make informed health insurance decisions.
[[Page 1089]]
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 technology management, risk
management, strategic planning and financial management to support all
of OPM's goals. In 2006, OPM will continue to support agency-wide
performance reporting and independent evaluation of policies and
programs.
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.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-0100-0-1-805 2004 actual 2005 est. 2006 est.
----------------------------------------------------------------------------
Direct obligations:
Personnel compensation:
11.1 Full-time permanent........... 62 62 62
11.3 Other than full-time permanent 3 3 3
11.5 Other personnel compensation.. 4 4 4
--------- --------- ----------
11.9 Total personnel compensation 69 69 69
12.1 Civilian personnel benefits..... 15 15 15
21.0 Travel and transportation of
persons....................... 3 3 3
23.1 Rental payments to GSA.......... 6 6 6
23.3 Communications, utilities, and
miscellaneous charges......... 3 3 3
24.0 Printing and reproduction....... 1 1 1
25.2 Other services.................. 26 20 20
26.0 Supplies and materials.......... 2 2 2
31.0 Equipment....................... 6 6 6
--------- --------- ----------
99.0 Direct obligations............ 131 125 125
99.0 Reimbursable obligations.......... 123 127 100
--------- --------- ----------
99.9 Total new obligations........... 254 252 225
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Personnel Summary
----------------------------------------------------------------------------
Identification code 24-0100-0-1-805 2004 actual 2005 est. 2006 est.
----------------------------------------------------------------------------
Direct:
1001 Total compensable workyears:
Civilian full-time equivalent
employment...................... 882 972 972
Reimbursable:
2001 Total compensable workyears:
Civilian full-time equivalent
employment...................... 1,044 1,151 1,151
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Human Capital Performance Fund
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-0700-0-1-805 2004 actual 2005 est. 2006 est.
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 1
23.98 Unobligated balance expiring or
withdrawn....................... -1
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 1
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 1
90.00 Outlays...........................
---------------------------------------------------------------------------
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, [$1,627,000] $1,614,000, and in addition, not to exceed
[$16,461,000] $16,329,000 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. (Transportation, Treasury, Independent Agencies,
and General Government Appropriations Act, 2005.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-0400-0-1-805 2004 actual 2005 est. 2006 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Direct program activity........... 1 2 2
09.00 Reimbursable program.............. 12 16 16
--------- --------- ----------
10.00 Total new obligations........... 13 18 18
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 16 18 18
23.95 Total new obligations............. -13 -18 -18
23.98 Unobligated balance expiring or
withdrawn....................... -3
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.00 Appropriation................... 1 2 2
68.00 Spending authority from offsetting
collections: Offsetting
collections (cash).............. 15 16 16
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 16 18 18
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. -3 -3
73.10 Total new obligations............. 13 18 18
73.20 Total outlays (gross)............. -12 -18 -18
73.40 Adjustments in expired accounts
(net)........................... -4
--------- --------- ----------
74.40 Obligated balance, end of year.. -3 -3 -3
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 12 18 18
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
88.00 Offsetting collections (cash)
from: Federal sources......... -15 -16 -16
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 1 2 2
90.00 Outlays........................... -5 2 2
---------------------------------------------------------------------------
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
[[Page 1090]]
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 $95 million, 25 criminal convictions, and 3,797
administrative sanctions in 2004.
In 2005, OPM added audits of pharmacy benefit managers and expanded
the scope of audits for the largest community-rated health plans
(comprehensive medical plans commonly referred to as health maintenance
organizations) participating in FEHBP. In 2006, additional criminal
investigation field locations will be established so that resources can
be located where personnel benefits are received.
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-0400-0-1-805 2004 actual 2005 est. 2006 est.
----------------------------------------------------------------------------
Direct obligations:
11.1 Personnel compensation: Full-
time permanent................ 1 2 2
12.1 Civilian personnel benefits..... 1 1
--------- --------- ----------
99.0 Direct obligations............ 1 3 3
99.0 Reimbursable obligations.......... 12 15 15
--------- --------- ----------
99.9 Total new obligations........... 13 18 18
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Personnel Summary
----------------------------------------------------------------------------
Identification code 24-0400-0-1-805 2004 actual 2005 est. 2006 est.
----------------------------------------------------------------------------
Direct:
1001 Total compensable workyears:
Civilian full-time equivalent
employment...................... 15 18 18
Reimbursable:
2001 Total compensable workyears:
Civilian full-time equivalent
employment...................... 93 122 122
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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. (Transportation, Treasury,
Independent Agencies, and General Government Appropriations Act, 2005.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-0206-0-1-551 2004 actual 2005 est. 2006 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Government contribution for
annuitants benefits (1959 Act).. 7,324 7,829 8,400
00.02 Government contribution for
annuitants benefits (1960 Act).. 2 2 1
--------- --------- ----------
10.00 Total new obligations (object
class 13.0)................... 7,326 7,831 8,401
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 7,326 7,831 8,401
23.95 Total new obligations............. -7,326 -7,831 -8,401
----------------------------------------------------------------------------
New budget authority (gross), detail:
Mandatory:
60.00 Appropriation................... 7,326 7,831 8,401
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 675 760 790
73.10 Total new obligations............. 7,326 7,831 8,401
73.20 Total outlays (gross)............. -7,242 -7,801 -8,371
--------- --------- ----------
74.40 Obligated balance, end of year.. 760 790 820
----------------------------------------------------------------------------
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 6,567 7,041 7,582
86.98 Outlays from mandatory balances... 675 760 789
--------- --------- ----------
87.00 Total outlays (gross)........... 7,242 7,801 8,371
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 7,326 7,831 8,401
90.00 Outlays........................... 7,242 7,801 8,371
---------------------------------------------------------------------------
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.
2004 actual 2005 est. 2006 est.
Annuitants:
FEHB............................ 1,834,639 1,846,000 1,872,000
(USPS non-add)................ 443,510 452,000 465,000
REHB............................ 1,883 1,695 1,356
------------------------------------
Total, annuitants........... 1,836,522 1,847,695 1,873,356
====================================
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. (Transportation,
Treasury, Independent Agencies, and General Government Appropriations
Act, 2005.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-0500-0-1-602 2004 actual 2005 est. 2006 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Direct program activity........... 35 36 36
--------- --------- ----------
10.00 Total new obligations (object
class 25.2)................... 35 36 36
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 35 36 36
23.95 Total new obligations............. -35 -36 -36
----------------------------------------------------------------------------
New budget authority (gross), detail:
Mandatory:
60.00 Appropriation................... 35 36 36
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 4 4 4
73.10 Total new obligations............. 35 36 36
73.20 Total outlays (gross)............. -35 -36 -36
--------- --------- ----------
74.40 Obligated balance, end of year.. 4 4 4
----------------------------------------------------------------------------
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 31 32 32
86.98 Outlays from mandatory balances... 4 4 4
--------- --------- ----------
87.00 Total outlays (gross)........... 35 36 36
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 35 36 36
90.00 Outlays........................... 35 36 36
---------------------------------------------------------------------------
This appropriation finances the Government's share of premiums,
which is one-third the cost, for Basic life insurance
[[Page 1091]]
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. (Transportation, Treasury, Independent Agencies, and
General Government Appropriations Act, 2005.)
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-0200-0-1-805 2004 actual 2005 est. 2006 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.02 Payment of Government share of
retirement costs................ 10,206 10,200 10,000
00.03 Transfers for interest on unfunded
liability and payment of
military service annuities...... 15,645 15,900 16,500
00.05 Spouse equity payment............. 70 72 72
--------- --------- ----------
10.00 Total new obligations........... 25,921 26,172 26,572
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 25,921 26,172 26,572
23.95 Total new obligations............. -25,921 -26,172 -26,572
----------------------------------------------------------------------------
New budget authority (gross), detail:
Mandatory:
60.00 Appropriation................... 15,645 15,900 16,500
60.00 Appropriation................... 10,276 10,272 10,072
--------- --------- ----------
62.50 Appropriation (total
mandatory).................. 25,921 26,172 26,572
----------------------------------------------------------------------------
Change in obligated balances:
73.10 Total new obligations............. 25,921 26,172 26,572
73.20 Total outlays (gross)............. -25,921 -26,172 -26,572
----------------------------------------------------------------------------
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 25,921 26,172 26,572
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 25,921 26,172 26,572
90.00 Outlays........................... 25,921 26,172 26,572
---------------------------------------------------------------------------
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 2004 actual 2005 est. 2006 est.
----------------------------------------------------------------------------
12.1 Civilian personnel benefits....... 10,276 10,272 10,072
13.0 Benefits for former personnel..... 15,645 15,900 16,500
--------- --------- ----------
99.9 Total new obligations........... 25,921 26,172 26,572
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Postal Service Contribution for Retiree Health Benefits
(Legislative proposal, not subject to PAYGO)
Unavailable Receipts (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-5391-0-2-551 2004 actual 2005 est. 2006 est.
----------------------------------------------------------------------------
Receipts:
02.40 Postal Service contributions for
benefits accruing to current
workers, retiree health benefits 2,951
02.41 Earning on investments, Postal
Service contribution for retiree
health benefits................. 26
02.42 Postal Service contributions for
benefits paid for current
retirees, retiree health
benefits........................ 1,951
--------- --------- ----------
02.99 Total receipts and collections.. 4,928
Appropriations:
05.01 Postal Service contribution for
retiree health benefits......... -4,928
05.02 Postal Service contribution for
retiree health benefits......... 3,107
--------- --------- ----------
05.99 Total appropriations............ -1,821
--------- --------- ----------
07.99 Balance, end of year.............. 3,107
---------------------------------------------------------------------------
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-5391-2-2-551 2004 actual 2005 est. 2006 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Employer share for Postal retiree
health insurance premiums....... 1,821
--------- --------- ----------
10.00 Total new obligations (object
class 25.6)................... 1,821
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 1,821
23.95 Total new obligations............. -1,821
----------------------------------------------------------------------------
New budget authority (gross), detail:
Mandatory:
60.20 Appropriation (special fund).... 4,928
60.45 Portion precluded from
obligation.................... -3,107
--------- --------- ----------
62.50 Appropriation (total
mandatory).................. 1,821
----------------------------------------------------------------------------
Change in obligated balances:
73.10 Total new obligations............. 1,821
73.20 Total outlays (gross)............. -1,821
----------------------------------------------------------------------------
Outlays (gross), detail:
86.97 Outlays from new mandatory
authority....................... 1,821
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 1,821
90.00 Outlays........................... 1,821
---------------------------------------------------------------------------
The Budget proposes to use the pension savings provided to the
Postal Service by the Postal Civil Service Retirement System Funding
Reform Act of 2003 (P.L. 108-18) that would otherwise be held in escrow
in 2006 and beyond, to put the Postal Service on a path that fully funds
its substantial retiree (annuitant) health benefits liabilities.
This new account would receive from the Postal Service: 1) payments
for the accruing actuarial costs of Postal Service contributions for
post-retirement health benefits for its current employees; and 2)
amortization payments necessary to provide for the liquidation of the
Postal Service's unfunded liability as of September 31, 2005, for post-
retirement health benefits (including both principle and interest). For
the first 10 years, the amount of the payment made by the Postal Service
would be capped at the size of the pension savings that would otherwise
be held in escrow plus the amount the Postal Service is currently paying
for its annuitant health benefit premiums. After 10 years, the Office of
Personnel Management would re-calculate the unfunded liability and
establish a new amortization schedule that would liquidate any remaining
unfunded liability over a period of 30 years.
As a result of this new health benefits financing system, the
Postal Service would cease to pay annual premium costs
[[Page 1092]]
for its post-1971 current annuitants directly to the Employees and
Retired Employees Health Benefits Fund. Instead, these premium payments
would be paid from amounts that the Postal Service remits to this new
fund. Payments for a proportion of the premium costs of Postal Service
annuitants' pre-1971 service would continue to be paid by the General
Fund of the Treasury through the Government Payment for Annuitants,
Employees Health Benefits account.
Intragovernmental funds:
Revolving Fund
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-4571-0-4-805 2004 actual 2005 est. 2006 est.
----------------------------------------------------------------------------
Obligations by program activity:
09.01 Talent services................... 148 152 125
09.02 Investigation services............ 290 786 864
09.03 Leadership capacity services...... 45 44 108
09.04 Enterprise Human Resources
Integration..................... 31 28
--------- --------- ----------
10.00 Total new obligations........... 483 1,013 1,125
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 165 242 242
22.00 New budget authority (gross)...... 556 1,004 1,125
22.10 Resources available from
recoveries of prior year
obligations..................... 4
22.22 Unobligated balance transferred
from other accounts............. 9
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 725 1,255 1,367
23.95 Total new obligations............. -483 -1,013 -1,125
--------- --------- ----------
24.40 Unobligated balance carried
forward, end of year.......... 242 242 242
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
42.00 Transferred from other accounts. 25
Spending authority from offsetting
collections:
68.00 Offsetting collections (cash)... 479 979 1,125
68.10 Change in uncollected customer
payments from Federal sources
(unexpired)................... 77
--------- --------- ----------
68.90 Spending authority from
offsetting collections
(total discretionary)....... 556 979 1,125
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 556 1,004 1,125
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. -56 -171 -165
73.10 Total new obligations............. 483 1,013 1,125
73.20 Total outlays (gross)............. -517 -1,007 -1,132
73.45 Recoveries of prior year
obligations..................... -4
74.00 Change in uncollected customer
payments from Federal sources
(unexpired)..................... -77
--------- --------- ----------
74.40 Obligated balance, end of year.. -171 -165 -172
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 461 1,002 1,125
86.93 Outlays from discretionary
balances........................ 56 5 7
--------- --------- ----------
87.00 Total outlays (gross)........... 517 1,007 1,132
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
88.00 Offsetting collections (cash)
from: Federal sources......... -479 -979 -1,125
Against gross budget authority only:
88.95 Change in uncollected customer
payments from Federal sources
(unexpired)................... -77
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 25
90.00 Outlays........................... 38 28 7
---------------------------------------------------------------------------
OPM's Revolving Fund supports the President's Management Agenda by
fully or partially funding four E-Government projects: E-Clearance; E-
Training; Enterprise Human Resources Integration; and Recruitment One-
Stop. The Revolving Fund also provides financing on a reimbursable basis
for several other 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 a network of expert OPM consultants,
assessment and recruitment tools and systems, and an expedited
contracting process, which is managed by an experienced team of HR and
contracting professionals.
OPM's assistance crosses all departments and most agencies however,
much of the Training and Management Assistance, testing and assessment
work has been provided specifically to various components of the
Departments of Homeland Security and Defense, and the Federal Aviation
Administration.
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.
In early 2005, OPM will accept a transfer of Personnel Security
Investigation functions and personnel from the Department of Defense,
Defense Security Service (DSS). The transfer to OPM's Center for
Investigative Services will bring together a division that will conduct
the vast majority of background investigations for the entire Federal
government. The transfer is intended to reduce the current government-
wide backlog in background investigations and decrease the time required
for these investigations.
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
2004 actual 2005 est. 2006 est.
Participant training days........... 95,559 93,929 98,143
Background security investigations
processed........................... 172,267 180,000 200,000
National and special agency check
and inquiry cases closed............ 534,570 535,000 540,000
Special agreement checks closed..... 334,408 335,000 335,000
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-4571-0-4-805 2004 actual 2005 est. 2006 est.
----------------------------------------------------------------------------
Personnel compensation:
11.1 Full-time permanent............. 36 134 191
11.3 Other than full-time permanent.. 4 3 7
11.5 Other personnel compensation.... 1 3 3
--------- --------- ----------
11.9 Total personnel compensation.. 41 140 201
12.1 Civilian personnel benefits....... 11 32 46
21.0 Travel and transportation of
persons......................... 4 12 12
23.1 Rental payments to GSA............ 10 13 13
23.3 Communications, utilities, and
miscellaneous charges........... 14 18 18
24.0 Printing and reproduction......... 6 2 2
25.2 Other services.................... 381 775 811
26.0 Supplies and materials............ 5 10 11
31.0 Equipment......................... 11 11 11
--------- --------- ----------
99.9 Total new obligations........... 483 1,013 1,125
---------------------------------------------------------------------------
Personnel Summary
----------------------------------------------------------------------------
Identification code 24-4571-0-4-805 2004 actual 2005 est. 2006 est.
----------------------------------------------------------------------------
Reimbursable:
2001 Total compensable workyears:
Civilian full-time equivalent
employment...................... 718 1,834 2,734
---------------------------------------------------------------------------
[[Page 1093]]
Trust Funds
Civil Service Retirement and Disability Fund
Unavailable Receipts (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-8135-0-7-602 2004 actual 2005 est. 2006 est.
----------------------------------------------------------------------------
01.99 Balance, start of year............ 597,334 627,273 658,864
Receipts:
02.00 Employee contributions............ 3,963 3,986 3,942
02.01 District of Columbia contributions 51 45 43
02.02 Employee deposits, redeposits and
other contributions............. 519 527 535
02.40 Agency contributions.............. 12,083 12,765 13,690
02.41 Postal Service agency
contributions................... 3,959 4,174 4,267
02.42 Postal Service supplemental
contributions................... 240 240 240
02.43 FFB, TVA, and USPS interest....... 405 651
02.44 Treasury interest................. 35,642 39,190 39,887
02.45 General fund payment.............. 25,921 26,172 26,572
02.46 Re-employed annuitants salary
offset.......................... 36 37 38
--------- --------- ----------
02.99 Total receipts and collections.. 82,414 87,541 89,865
--------- --------- ----------
04.00 Total: Balances and collections... 679,748 714,814 748,729
Appropriations:
05.00 Civil service retirement and
disability fund................. -122 -118 -90
05.01 Civil service retirement and
disability fund................. -82,290 -87,423 -89,865
05.02 Civil service retirement and
disability fund................. 29,937 31,590 31,106
05.03 Civil service retirement and
disability fund................. 1
--------- --------- ----------
05.99 Total appropriations............ -52,475 -55,950 -58,849
--------- --------- ----------
07.99 Balance, end of year.............. 627,273 658,864 689,880
---------------------------------------------------------------------------
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-8135-0-7-602 2004 actual 2005 est. 2006 est.
----------------------------------------------------------------------------
Obligations by program activity:
00.01 Annuities......................... 52,048 55,511 58,431
00.02 Refunds and death claims.......... 305 295 298
00.03 Administration--operations........ 116 138 114
00.04 Transfer to MSPB.................. 3 3 3
00.05 Administration--OIG............... 3 3 3
--------- --------- ----------
10.00 Total new obligations........... 52,475 55,950 58,849
----------------------------------------------------------------------------
Budgetary resources available for obligation:
22.00 New budget authority (gross)...... 52,475 55,950 58,849
23.95 Total new obligations............. -52,475 -55,950 -58,849
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
40.26 Appropriation (trust fund)...... 122 118 90
40.37 Appropriation temporarily
reduced....................... -1
--------- --------- ----------
43.00 Appropriation (total
discretionary).............. 122 117 90
Mandatory:
60.26 Appropriation (trust fund)...... 82,290 87,423 89,865
60.45 Portion precluded from balances. -29,937 -31,590 -31,106
--------- --------- ----------
62.50 Appropriation (total
mandatory).................. 52,353 55,833 58,759
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 52,475 55,950 58,849
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 4,402 4,599 4,937
73.10 Total new obligations............. 52,475 55,950 58,849
73.20 Total outlays (gross)............. -52,277 -55,612 -58,574
--------- --------- ----------
74.40 Obligated balance, end of year.. 4,599 4,937 5,212
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 119 117 90
86.97 Outlays from new mandatory
authority....................... 47,756 50,896 53,585
86.98 Outlays from mandatory balances... 4,402 4,599 4,899
--------- --------- ----------
87.00 Total outlays (gross)........... 52,277 55,612 58,574
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority.................. 52,475 55,950 58,849
90.00 Outlays........................... 52,277 55,612 58,574
----------------------------------------------------------------------------
Memorandum (non-add) entries:
92.01 Total investments, start of year:
Federal securities: Par value... 601,709 631,860 663,801
92.02 Total investments, end of year:
Federal securities: Par value... 631,860 663,801 695,091
---------------------------------------------------------------------------
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 benefits for PTO's
employees covered under the Civil Service Retirement System.
2004 actual 2005 est. 2006 est.
Active employees.................... 2,670,000 2,670,000 2,670,000
Annuitants:
Employees......................... 1,774,591 1,807,153 1,840,179
Survivors......................... 629,045 630,590 631,716
------------------------------------
Total, annuitants............. 2,403,636 2,437,793 2,471,895
====================================
Status of Funds (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-8135-0-7-602 2004 actual 2005 est. 2006 est.
----------------------------------------------------------------------------
Balance, start of year:
0100 Uninvested balance................ 601,736 631,873 663,802
--------- --------- ----------
0199 Total balance, start of year.... 601,736 631,873 663,802
Cash income during the year:
Current law:
Receipts:
1200 Employee contributions, Civil
Service Retirement and
Disability Fund............. 3,963 3,986 3,942
1201 District of Columbia
contributions............... 51 45 43
1202 Employee deposits, redeposits,
and voluntary contributions. 519 527 535
Offsetting receipts
(intragovernmental):
1240 Agency contributions, Civil
Service Retirement and
Disability Fund............. 12,083 12,765 13,690
1241 Postal Service agency
contributions, Civil Service
Retirement and Disability
Fund........................ 3,959 4,174 4,267
1242 Postal Service supplemental
contributions, Civil Service
Retirement and Disability
Fund........................ 240 240 240
1243 Federal Financing Bank
interest, Civil Service
Retirement and Disability
Fund........................ 405 651
1244 Treasury interest, Civil
Service Retirement and
Disability Fund............. 35,642 39,190 39,887
1245 General fund payment to the
Civil Service Retirement and
Disability Fund............. 25,921 26,172 26,572
1246 Re-employed annuitant salary
offset, Civil Service
Retirement and Disability
Fund........................ 36 37 38
1299 Income under present law........ 82,414 87,541 89,865
--------- --------- ----------
3299 Total cash income............... 82,414 87,541 89,865
Cash outgo during year:
Current law:
4500 Earned Benefit Payments......... -52,277 -55,612 -58,574
4599 Outgo under current law (-)..... -52,277 -55,612 -58,574
--------- --------- ----------
6599 Total cash outgo (-)............ -52,277 -55,612 -58,574
Unexpended balance, end of year:
--------- --------- ----------
8799 Total balance, end of year...... 631,873 663,802 695,093
---------------------------------------------------------------------------
Object Classification (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-8135-0-7-602 2004 actual 2005 est. 2006 est.
----------------------------------------------------------------------------
25.2 Other services.................... 122 144 120
42.0 Insurance claims and indemnities.. 52,048 55,511 58,431
[[Page 1094]]
44.0 Refunds and death claims.......... 305 295 298
--------- --------- ----------
99.9 Total new obligations........... 52,475 55,950 58,849
---------------------------------------------------------------------------
Employees Life Insurance Fund
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-8424-0-8-602 2004 actual 2005 est. 2006 est.
----------------------------------------------------------------------------
Obligations by program activity:
09.01 Basic life insurance payments..... 1,254 1,405 1,519
09.02 Optional life insurance payments.. 911 971 1,021
09.03 Shenandoah Life Insurance payments 2 2 2
09.04 Administration--OPM & OIG......... 1 1 1
09.05 Administration--Long Term Care.... 1 1 1
--------- --------- ----------
10.00 Total new obligations (object
class 25.2)................... 2,168 2,380 2,544
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 26,039 27,370 28,597
22.00 New budget authority (gross)...... 3,499 3,607 3,844
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 29,538 30,977 32,441
23.95 Total new obligations............. -2,168 -2,380 -2,544
--------- --------- ----------
24.40 Unobligated balance carried
forward, end of year.......... 27,370 28,597 29,897
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
68.00 Spending authority from
offsetting collections:
Offsetting collections (cash). 1 1 1
Mandatory:
69.00 Offsetting collections (cash)... 3,515 3,605 3,842
69.10 Change in uncollected customer
payments from Federal sources
(unexpired)................... -17 1 1
--------- --------- ----------
69.90 Spending authority from
offsetting collections
(total mandatory)........... 3,498 3,606 3,843
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 3,499 3,607 3,844
----------------------------------------------------------------------------
Change in obligated balances:
72.40 Obligated balance, start of year.. 243 309 361
73.10 Total new obligations............. 2,168 2,380 2,544
73.20 Total outlays (gross)............. -2,119 -2,327 -2,525
74.00 Change in uncollected customer
payments from Federal sources
(unexpired)..................... 17 -1 -1
--------- --------- ----------
74.40 Obligated balance, end of year.. 309 361 379
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 1 1 1
86.97 Outlays from new mandatory
authority....................... 2,118 2,326 2,524
--------- --------- ----------
87.00 Total outlays (gross)........... 2,119 2,327 2,525
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash)
from:
88.00 Agency contributions.......... -400 -466 -498
88.00 Government contributions for
annuitants.................. -35 -36 -36
88.20 Interest on Federal securities -1,275 -1,219 -1,312
88.40 Basic life insurance
withholdings................ -727 -776 -831
88.40 Optional life insurance
withholdings & LTC
reimbursement............... -1,079 -1,109 -1,166
--------- --------- ----------
88.90 Total, offsetting
collections (cash)........ -3,516 -3,606 -3,843
Against gross budget authority only:
88.95 Change in uncollected customer
payments from Federal sources
(unexpired)................... 17 -1 -1
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority..................
90.00 Outlays........................... -1,398 -1,279 -1,318
----------------------------------------------------------------------------
Memorandum (non-add) entries:
92.01 Total investments, start of year:
Federal securities: Par value... 26,778 28,107 29,387
92.02 Total investments, end of year:
Federal securities: Par value... 28,107 29,387 30,706
---------------------------------------------------------------------------
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:
2004 actual 2005 est. 2006 est.
Life insurance in force (in billions
of dollars):
On active employees............... 571.7 580.0 590.0
On retired employees.............. 60.8 63.5 66.5
------------------------------------
Total......................... 632.5 643.5 656.5
====================================
Number of participants (in
thousands):
Active employees.................. 2,401 2,401 2,401
Annuitants........................ 1,592 1,625 1,625
------------------------------------
Total......................... 3,993 4,026 4,026
====================================
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 2004 actual 2005 est. 2006 est.
Held in reserve (in millions of
dollars):
Contingency reserve............... 50 50 50
Beneficial association program
reserve......................... 1 1 1
U.S. Treasury reserve............. 28,107 29,387 30,706
------------------------------------
Total reserves................ 28,158 29,438 30,757
====================================
Employees and Retired Employees Health Benefits Funds
Program and Financing (in millions of dollars)
----------------------------------------------------------------------------
Identification code 24-9981-0-8-551 2004 actual 2005 est. 2006 est.
----------------------------------------------------------------------------
Obligations by program activity:
09.01 Benefit payments.................. 27,197 30,542 32,987
09.02 Payments from OPM contingency
reserve......................... 142 250 250
09.03 Government payment for annuitants
(1960 Act)...................... 2 2 2
09.04 Administration--operations........ 14 14 14
09.05 Administration--OIG............... 12 13 13
09.06 Administration--Dental and Vision
Program......................... 1 1
--------- --------- ----------
10.00 Total new obligations (object
class 25.6)................... 27,366 30,822 33,267
----------------------------------------------------------------------------
Budgetary resources available for obligation:
21.40 Unobligated balance carried
forward, start of year.......... 6,554 8,408 9,712
22.00 New budget authority (gross)...... 29,220 32,126 34,625
--------- --------- ----------
23.90 Total budgetary resources
available for obligation...... 35,774 40,534 44,337
23.95 Total new obligations............. -27,366 -30,822 -33,267
--------- --------- ----------
24.40 Unobligated balance carried
forward, end of year.......... 8,408 9,712 11,070
----------------------------------------------------------------------------
New budget authority (gross), detail:
Discretionary:
68.00 Spending authority from
offsetting collections:
Offsetting collections (cash). 26 27 27
Mandatory:
69.00 Offsetting collections (cash)... 29,113 31,987 34,489
69.10 Change in uncollected customer
payments from Federal sources
(unexpired)................... 81 112 109
--------- --------- ----------
69.90 Spending authority from
offsetting collections
(total mandatory)........... 29,194 32,099 34,598
--------- --------- ----------
70.00 Total new budget authority
(gross)....................... 29,220 32,126 34,625
----------------------------------------------------------------------------
[[Page 1095]]
Change in obligated balances:
72.40 Obligated balance, start of year.. 2,484 2,350 2,369
73.10 Total new obligations............. 27,366 30,822 33,267
73.20 Total outlays (gross)............. -27,417 -30,691 -33,173
74.00 Change in uncollected customer
payments from Federal sources
(unexpired)..................... -81 -112 -109
--------- --------- ----------
74.40 Obligated balance, end of year.. 2,350 2,369 2,354
----------------------------------------------------------------------------
Outlays (gross), detail:
86.90 Outlays from new discretionary
authority....................... 26 27 27
86.93 Outlays from discretionary
balances........................ 1
86.97 Outlays from new mandatory
authority....................... 26,161 29,387 31,757
86.98 Outlays from mandatory balances... 1,230 1,277 1,389
--------- --------- ----------
87.00 Total outlays (gross)........... 27,417 30,691 33,173
----------------------------------------------------------------------------
Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash)
from:
88.00 Agency contributions.......... -8,104 -8,850 -9,444
88.00 Postal Service for Active
Employees................... -4,272 -4,648 -4,979
88.00 Postal Service for Annuitants. -1,321 -1,583 -1,821
88.00 Government contributions for
annuitants.................. -7,242 -7,801 -8,371
88.20 Interest on Federal securities -268 -356 -459
88.40 D.C. Government contributions
& Dental/Vision
reimbursement............... -68 -83 -89
88.40 Employee salary withholdings.. -4,205 -4,625 -4,935
88.40 Annuity withholdings.......... -3,659 -4,068 -4,418
--------- --------- ----------
88.90 Total, offsetting
collections (cash)........ -29,139 -32,014 -34,516
Against gross budget authority only:
88.95 Change in uncollected customer
payments from Federal sources
(unexpired)................... -81 -112 -109
----------------------------------------------------------------------------
Net budget authority and outlays:
89.00 Budget authority..................
90.00 Outlays........................... -1,721 -1,323 -1,343
----------------------------------------------------------------------------
Memorandum (non-add) entries:
92.01 Total investments, start of year:
Federal securities: Par value... 9,037 10,774 12,090
92.02 Total investments, end of year:
Federal securities: Par value... 10,774 12,090 13,434
---------------------------------------------------------------------------
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:
2004 actual 2005 est. 2006 est.
Active employees.................... 2,202,543 2,202,000 2,202,000
Annuitants.......................... 1,832,636 1,860,000 1,884,000
------------------------------------
Total........................... 4,035,179 4,062,000 4,086,000
====================================
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:
2004 actual 2005 est. 2006 est.
Uniform plan........................ 509 407 326
Private plans....................... 1,374 1,099 879
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Total........................... 1,883 1,506 1,205
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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 2004 actual 2005 est. 2006 est.
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Balance, start of year:
0100 Uninvested balance................ 9,038 10,760 12,083
--------- --------- ----------
0199 Total balance, start of year.... 9,038 10,760 12,083
Cash income during the year:
Current law:
Offsetting collections:
1280 Postal Service for active
employees................... 4,272 4,648 4,979
1281 Postal Service for Annuitants. 1,321 1,583 1,821
1282 Government contributions for
annuitants.................. 7,242 7,801 8,371
1283 Agency contributions.......... 8,104 8,850 9,444
1284 Annuity withholdings.......... 3,659 4,068 4,418
1285 Employee salary withholdings.. 4,205 4,625 4,935
1286 Contributions from DC
government.................. 68 83 89
1287 Interest on Federal securities 268 356 459
1299 Income under present law........ 29,139 32,014 34,516
--------- --------- ----------
3299 Total cash income............... 29,139 32,014 34,516
Cash outgo during year:
Current law:
4500 Benefit Payments (-)............ -27,417 -30,691 -33,173
4599 Outgo under current law (-)..... -27,417 -30,691 -33,173
--------- --------- ----------
6599 Total cash outgo (-)............ -27,417 -30,691 -33,173
Unexpended balance, end of year:
--------- --------- ----------
8799 Total balance, end of year...... 10,760 12,083 13,426
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