    [Analytical Perspectives]
    [Dimensions of the Budget]
    [21. Outlays to the Public, Gross and Net]
    [From the U.S. Government Printing Office, www.gpo.gov]

    [[Page 339]]

                    21.  OUTLAYS TO THE PUBLIC, GROSS AND NET

      The usual measure of total outlays in the budget is a net measure.
    First, gross outlays are net of payments from other Federal Government
    accounts. For example, if account A paid account B $100 to do some work
    and account B used $100 to pay for salaries, materials, and supplies to
    do the work, gross outlays would be $200 while the impact on the
    nation's economy would be only $100. Netting is done to take out the
    double count. For all presentations in this chapter, this type of
    netting is assumed. Second, and more important, is that gross outlays
    are net of offsetting collections and offsetting receipts from the
    public. In this case, a net basis of reporting is more significant,
    since it measures the extent to which general taxpayers are contributing
    to operating deficits. A counter argument is that net treatment conceals
    important information. Table 21-1 provides a gross presentation of
    outlays to the public to permit users of budget information the
    flexibility to use gross or net outlays. The table shows outlays gross
    and net of offsetting collections and offsetting receipts from the
    public for all major agencies.
      In 2008, net outlays of $2,902 billion consist of gross outlays of
    $3,221 billion less offsetting collections and receipts from the public
    of $319 billion. The table shows that offsetting receipts and offsetting
    collections from the public are relatively more important for some
    agencies than for others. For example, in 2008 the Postal Service is
    estimated to have gross outlays of $75 billion but net outlays of -$2
    billion, due to offsetting collections and receipts of $77 billion from
    the sale of stamps and other income. In contrast, gross and net outlays
    for the National Aeronautics and Space Administration (NASA) are very
    similar, because NASA has relatively few offsetting receipts and
    collections from the public.
      In Table 21-1, negative outlays occur when offsetting collections
    exceed payments. The amounts for ``Allowances'' cover certain
    transactions that are expected to increase or decrease outlays but are
    not, for various reasons, attributed to any specific agency. The amounts
    labeled ``undistributed offsetting receipts'' are also deducted from the
    Government-wide outlay totals but not from any specific agency. These
    consist principally of rents and royalties on oil and gas production on
    the Outer Continental Shelf and proceeds from the auction of rights to
    the electromagnetic spectrum.
      See the section on ``Outlays'' in Chapter 26, ``The Budget System and
    Concepts,'' for a more detailed discussion on the outlay totals in the
    budget. Offsetting collections and offsetting receipts are discussed in
    more detail in Chapter 18 of this volume, ``User Charges and Other
    Collections.''

                                        Table 21-1.  TOTAL OUTLAYS, GROSS AND NET OF OFFSETTING COLLECTIONS AND RECEIPTS
                                                              FROM THE PUBLIC, BY AGENCY, 2006-2008
                                                                    (In millions of dollars)
    --------------------------------------------------------------------------------------------------------------------------------------------------------
                                                            2006                                  2007                                  2008
                                           -----------------------------------------------------------------------------------------------------------------
                                              Outlays                               Outlays                               Outlays
                                              Gross of    Offsetting                Gross of    Offsetting                Gross of    Offsetting
           Department or Other Unit         Collections  Collections              Collections  Collections              Collections  Collections
                                                and          and          Net         and          and          Net         and          and          Net
                                              Receipts     Receipts     Outlays     Receipts     Receipts     Outlays     Receipts     Receipts     Outlays
                                              from the     from the                 from the     from the                 from the     from the
                                               Public       Public                   Public       Public                   Public       Public
    --------------------------------------------------------------------------------------------------------------------------------------------------------
    Legislative Branch....................        4,203          -75       4,128        4,378          -72       4,306        4,776          -72       4,704
    Judicial Branch.......................        5,875          -52       5,823        5,911          -66       5,845        6,730          -69       6,661

    Executive Branch
      Department of Agriculture...........      112,884      -19,350      93,534      109,523      -20,756      88,767      108,964      -19,938      89,026
      Department of Commerce..............        8,908       -2,535       6,373        8,121       -1,942       6,179        9,133       -2,055       7,078
      Department of Defense--Military.....      513,353      -13,996     499,357      561,800      -12,885     548,915      595,837      -12,554     583,283
      Department of Education.............       94,758       -1,329      93,429       74,403       -6,363      68,040       63,568       -4,965      58,603
      Department of Energy................       26,244       -6,595      19,649       28,380       -6,392      21,988       28,343       -6,476      21,867
      Department of Health and Human            669,477      -55,162     614,315      737,727      -66,473     671,254      770,580      -71,340     699,240
       Services...........................
      Department of Homeland Security.....       78,589       -9,491      69,098       60,601      -10,183      50,418       54,690      -11,490      43,200
      Department of Housing and Urban            45,397       -2,962      42,435       46,839       -4,005      42,834       46,509       -2,107      44,402
       Development........................
      Department of the Interior..........       16,357       -7,293       9,064       16,838       -5,961      10,877       16,983       -6,455      10,528
      Department of Justice...............       24,567       -1,243      23,324       24,006         -967      23,039       25,086       -1,041      24,045
      Department of Labor.................       46,350       -3,212      43,138       51,230       -3,790      47,440       55,937       -3,641      52,296
      Department of State.................       13,910         -948      12,962       17,640       -1,318      16,322       18,385       -1,582      16,803
      Department of Transportation........       60,827         -688      60,139       64,089         -314      63,775       67,373         -341      67,032
      Department of the Treasury..........      480,937      -16,225     464,712      508,178      -17,671     490,507      543,672      -18,682     524,990
      Department of Veterans Affairs......       76,196       -6,389      69,807       78,425       -6,100      72,325       88,293       -5,005      83,288
      Corps of Engineers-Civil Works......        9,543       -2,599       6,944        8,632       -1,075       7,557        7,535       -1,055       6,480
      Other Defense Civil Programs........       44,451          -15      44,436       47,650          -14      47,636       49,112          -14      49,098

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      Environmental Protection Agency.....        8,728         -407       8,321        8,404         -366       8,038        8,208         -430       7,778
      Executive Office of the President...        5,382           -3       5,379        2,679           -2       2,677        1,391           -2       1,389
      General Services Administration.....          721         -697          24        1,002         -504         498        1,350         -522         828
      International Assistance Programs...       29,776      -15,832      13,944       33,382      -16,321      17,061       31,885      -13,926      17,959
      National Aeronautics and Space             11,878        3,247      15,125       16,381         -238      16,143       17,488         -238      17,250
       Administration.....................
      National Science Foundation.........        5,546           -4       5,542        5,862           -2       5,860        6,028           -2       6,026
      Office of Personnel Management......       73,561      -11,161      62,400       70,364      -11,562      58,802       76,371      -12,209      64,162
      Small Business Administration.......        1,976       -1,071         905        1,508         -833         675          781          -56         725
      Social Security Administration......      593,142       -7,399     585,743      630,650       -7,731     622,919      662,085       -7,618     654,467
      Export-Import Bank of the United              334       -2,525      -2,191          474       -1,811      -1,337          247         -220          27
       States.............................
      Federal Deposit Insurance                    -425         -252        -677         -944         -865      -1,809         -367       -2,526      -2,893
       Corporation........................
      Postal Service......................       69,377      -70,348        -971       76,417      -73,672       2,745       74,527      -76,733      -2,206
      Railroad Retirement Board...........        6,012       -2,690       3,322        6,404       -2,408       3,996        6,657       -1,474       5,183
      Other Independent Agencies..........       26,816      -13,366      13,450       27,748      -12,635      15,113       27,902      -12,927      14,975

    Allowances............................  ...........  ...........  ..........        8,002  ...........       8,002        2,269  ...........       2,269
    Undistributed Offsetting Receipts.....     -230,152       -7,396    -237,548     -242,450      -20,690    -263,140     -257,206      -21,496    -278,702
    ========================================================================================================================================================
    Totals................................    2,935,498     -280,063   2,655,435    3,100,254     -315,987   2,784,267    3,221,122     -319,261   2,901,861
    --------------------------------------------------------------------------------------------------------------------------------------------------------