[Federal Register Volume 63, Number 203 (Wednesday, October 21, 1998)]
[Notices]
[Pages 56432-56507]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-28055]



  Federal Register / Vol. 63, No. 203 / Wednesday, October 21, 1998 / 
Notices  

[[Page 56432]]



OFFICE OF PERSONNEL MANAGEMENT


Report on 1997 Surveys Used to Determine Cost-of-Living 
Allowances in Nonforeign Areas

AGENCY: Office of Personnel Management.

ACTION: Notice.

-----------------------------------------------------------------------

SUMMARY:  This notice publishes the ``Report on 1997 Surveys Used to 
Determine Cost-of-Living Allowances in Nonforeign Areas.'' The results 
of the surveys are used to determine cost-of-living allowances (COLAs) 
paid to General Schedule, U.S. Postal Service, and certain other 
Federal employees in Alaska, Hawaii, Guam and the Commonwealth of the 
Northern Mariana Islands, Puerto Rico, and the U.S. Virgin Islands. 
This report provides the basis for an increase in the COLA rate for the 
City and County of Honolulu, Hawaii, allowance area being published by 
OPM in the interim rulemaking immediately preceding this notice.

DATES: Comments must be received on or before February 18, 1999.

ADDRESSES:  Comments may be sent or delivered to Donald J. Winstead, 
Assistant Director for Compensation Administration, Workforce 
Compensation and Performance Service, Office of Personnel Management, 
Room 7H31, 1900 E Street NW., Washington, DC 20415-8200, FAX: (202) 
606-4264, or email at [email protected].

FOR FURTHER INFORMATION CONTACT:  Donald L. Paquin, (202) 606-2838, 
FAX: (202) 606-4264, or email at [email protected].

SUPPLEMENTARY INFORMATION:  Sections 591.205(d) and 591.206(c) of title 
5, Code of Federal Regulations, require that nonforeign area cost-of-
living allowance (COLA) survey summaries and calculations be published 
in the Federal Register . Accordingly, the Office of Personnel 
Management (OPM) is publishing the complete ``Report on 1997 Surveys 
Used to Determine Cost-of-Living Allowances in Nonforeign Areas'' with 
this notice. This report explains in detail the methodologies, 
calculations, and findings of the 1997 COLA surveys.
    Results of Surveys. OPM computed index values of relative living 
costs in the allowance areas using an index scale where the living 
costs in the Washington, DC, area equal 100. (See the Executive Summary 
of the report.) The results of the surveys show that the COLA rate for 
the Honolulu allowance area should be increased from its current level 
of 22.5 percent to 25 percent. The survey results also show that the 
COLA rate for one area is currently at the appropriate level and that 
the COLA rates in 10 areas are above levels warranted by the living-
cost indexes. However, the Treasury, Postal Service, and General 
Government Appropriations Act, 1992 (Pub. L. 102-141), as amended, 
prohibits reductions in COLA rates through December 31, 2000. 
Therefore, OPM is not proposing any COLA rate reductions.

    Comments on 1996 Report. OPM published the report on the 1996 
surveys conducted in Alaska, Hawaii, Guam, Puerto Rico, the U.S. Virgin 
Islands, and the Washington, DC, area in the Federal Register (62 FR 
14190) on March 25, 1997. Twelve respondents submitted comments on the 
report.
     Most of the commenters believed the surveys did not fully consider 
the expenses incurred in the allowance areas. Many noted 
dissimilarities between the allowance areas and the Washington, DC, 
area that they felt were either not accounted for in the surveys or 
that affected the accuracy of the results of the surveys. These 
differences included --
--Goods and services typically found in the Washington, DC, area that 
are not available in the allowance areas, the cost to obtain these 
goods and services in the allowance areas (e.g., shipping fees), and 
the quality of the goods and services that are available;
--Goods and services typically purchased in the allowance areas that 
are not typically purchased in the Washington, DC, area;
--Variations in spending patterns between the Washington, DC, area and 
the allowance areas;
--Hardships encountered under adverse climate conditions;
--Climate influences on automobile purchase, maintenance, and 
insurance;
--The frequency and cost of air travel in the allowance areas;
--House size, selection, necessary features, purchase price, storage 
needs, and maintenance as affected by climate and availability;
--The additional need for travel, lodging, and out-of-pocket expenses 
for quality medical care in the allowance areas;
--Recreational expenses in the allowance areas; and
--Out-of-area colleges and the quality of local schools.
     OPM is participating in two major initiatives concerning the COLA 
program. Many of these and other concerns are being considered under 
one or both of these initiatives. These two initiatives are discussed 
below.
     Memorandum of Understanding and Report to Congress.  In 1996, OPM 
entered into a memorandum of understanding (MOU) with litigants in the 
cases of  Alaniz v.  Office of Personnel Management and  Karamatsu v.  
United States. The MOU committed OPM and the plaintiffs to a ``Safe 
Harbor'' process for conducting studies relating to the COLA program 
and the compensation of Federal employees in the allowance areas. The 
purpose of the Safe Harbor process is to resolve COLA issues that have 
long been contested and to assist OPM as it prepares a report to 
Congress on the COLA program. That report, required by the Treasury, 
Postal Service, and General Government Appropriations Act, 1992 (Public 
Law 102-141), as amended, is due by March 1, 2000. OPM anticipates that 
the studies will examine many of the issues raised by comments on the 
survey reports and will produce a number of valuable recommendations 
for improving the COLA program.
     COLA Partnership. In November 1996, OPM established a pilot 
project to involve agencies and employee representatives directly in a 
partnership to help plan and conduct COLA surveys, to explore ways to 
improve the COLA program, and to help everyone, including OPM, better 
understand issues related to the compensation of Federal employees in 
the COLA areas. Under the 2-year pilot project, five partnership 
committees were formed--one each in Alaska, Hawaii, Guam, Puerto Rico, 
and the U.S. Virgin Islands. There were also four subcommittees formed 
to represent individual allowance areas. Committee/subcommittee 
functions include --
--Advising and assisting OPM in planning living-cost surveys;
--Observing data collection during the surveys;
--Advising and assisting OPM in the review of survey data;
--Advising OPM on the COLA program, including survey methodology and 
other compensation issues relating to the allowance areas;
--Assisting OPM in the dissemination of information to affected 
employees about the living-cost surveys and the COLA program.
     As with the studies being conducted for OPM's report to Congress, 
we anticipate that the committees will examine some of the issues 
raised by the comments on the survey reports and will provide many 
recommendations for improving the COLA program.

[[Page 56433]]

Program Changes during MOU Research and Pilot Project

     During the Safe Harbor process and the COLA partnership pilot 
project, OPM plans generally to avoid making substantive policy changes 
in the COLA program. OPM intends to first complete its research, 
receive public comment, and deliver its report to Congress. This does 
not mean that OPM will make no changes. There are administrative 
changes relating to survey coverage that must be made for each survey, 
and OPM may implement other improvements in response to comments it 
receives. As with the 1996 surveys, OPM has made a few changes in this 
year's surveys compared with previous years. These are discussed in the 
report.

 Comments on Partnership

     The Alaska COLA Partnership Committee submitted comments in regard 
to its decision not to participate in the 1997 COLA surveys in Alaska. 
The Alaska Committee felt that OPM had not provided sufficient time for 
the committee to become knowledgeable enough to make sound decisions 
and to solve problems related to the survey. They noted that the 
Partnership Pilot Project was effective November 21, 1996, but it was 
not until May that OPM met with the Committee in advance of the July 
survey.
     The Alaska Committee, as well as one other commenter, also felt 
that OPM was not working with the Committee in good faith or in the 
spirit of a partnership. The Committee felt that it was being asked to 
``rubber stamp'' a survey that would not reflect actual cost-of-living 
differences between Washington, DC, and Alaska. The Committee members 
stated that they wanted ``to work towards building a true partnership 
with OPM in order to find an equitable COLA process.''
     Six other commenters similarly asked that OPM not relegate the 
Alaska Committee to an advisory role, but accept the Committee as a 
full partner in evaluating COLAs. The commenters requested that OPM 
delay the survey until the partnership issues were resolved.
     OPM agrees that more lead time between the establishment of the 
COLA Partnership Committees and the 1997 surveys would have been 
desirable. The amount of time it took to launch the committees was much 
greater than OPM had expected. OPM had not anticipated the significant 
amount of time required by many agencies and unions to nominate 
committee members and/or approve their release for committee work. As a 
result, OPM delayed the surveys, originally scheduled to be conducted 
during the period January-March, until July. Delaying the surveys 
further was not deemed acceptable.
     Despite the short lead time, OPM encouraged the partnership 
committees to participate in the survey. We believe the local knowledge 
and perspective offered by the committees would benefit the surveying 
of outlets and items in their region. The committees would also be able 
to offer preliminary feedback, based on their experience in assisting 
OPM in the survey, on survey procedures. Participation would 
additionally provide an opportunity for the committees to familiarize 
OPM with COLA issues unique to their area. We also believe that by 
participating in the survey, committees would become more knowledgeable 
about the survey process and that that knowledge would be valuable in 
understanding and examining the various elements of the COLA rate-
setting process.
     OPM addressed the role of the partnership committees in the 
publication of its final COLA Partnership Pilot Project regulations on 
November 21, 1996 (61 FR 59173). The following is excerpted from the 
discussion of comments in those regulations:
      No two partnerships look exactly alike, and OPM believes that 
establishment of these committees will result in a more collaborative 
relationship among affected agencies and employees with respect to this 
complex and often contentious program. By statute and Executive order, 
however, OPM has the final authority for conducting COLA surveys and 
administering the COLA program. If a consensus cannot be reached on an 
issue or if the views of one COLA committee differ from those of 
another on the same issue, OPM must still conduct surveys and set COLA 
rates. Nevertheless, this does not mean that we cannot use partnership 
to improve the COLA program.
      OPM plans to accommodate suggestions whenever practical and 
consistent with the laws and regulations that govern the COLA program. 
We certainly do not expect the committees to ``rubber stamp'' our 
proposals. Instead, we plan to listen carefully to and seriously 
consider all of the information and advice that will be provided. We 
know there is much we can learn that will help us improve the surveys 
and the way we administer the program, and we look forward to having 
frank and open discussions with the other committee members. It is our 
hope that we can reach a consensus on the vast majority of issues that 
will face us. As several commenters said, the partnership process will 
not work unless there is a sincere commitment from all parties, 
including OPM, to share ideas, listen to others, learn from what is 
said, and find areas of agreement. OPM is committed to this process.

 Overall Living Cost Model

     Several commenters stated that the surveys compare only prices, 
not total living costs. Two commenters said the surveys should consider 
other factors, such as cultural differences, individual needs, 
isolation from friends and family, and other hidden costs. Another 
commenter stated that Alaska was unique and should be evaluated based 
on Alaska costs and needs.
     The COLA model compares the cost of an item in an allowance area 
with the cost for the same brand, model, and size of item in the 
Washington, DC area. OPM believes this model is consistent with the 
settlement of  Hector Arana, et al., v. United States, in which the 
plaintiffs asked that OPM adopt a methodology that compared specified 
brands, models, and sizes whenever possible. Nevertheless, the COLA 
model does reflect some differences between areas. For example, the 
model assumes that cars in Alaska have certain accessories, such as 
engine block heaters, that are not common in the DC area. Also, 
differences in home construction (e.g., triple-pane windows and greater 
wall insulation common in Alaska) are included in the model to the 
extent that these differences are reflected in real estate prices.
     Intangible influences on living costs, such as cultural 
differences and isolation from family, are very difficult to quantify 
objectively. This is, however, one of the MOU research topics, and OPM 
plans to discuss this issue in its report to Congress.
     One commenter said that OPM's price comparison methodology is not 
an accurate method for comparing cost-of-living differences. Under the 
MOU and as part of the COLA Partnership Pilot Project, OPM is studying 
various ways of improving the price comparison methodology for its 
report to Congress.
     Another commenter suggested an alternative method of cost 
comparison under which employees with similar individual and family 
situations in the comparison areas would be selected to maintain a 
detailed record of expenses for a given period of time. OPM does not 
believe this approach is practical.
     One commenter disagreed with OPM's inclusion of sale taxes in the 
COLA model. The commenter said that taxes are purchases of services, 
not part of the price of items, and that areas with

[[Page 56434]]

lower taxes receive fewer services. As such, the commenter argued, OPM 
should compare the services being provided in its calculations or, if 
the services are not measurable, should not measure the sales tax that 
pays for those services.
     This issue was originally raised in comments on the 1995 surveys 
and responded to by OPM in the 1996 survey notice. As stated in the 
notice, OPM believes that the effect on living costs of any area 
differences in community programs and services due to differences in 
sales tax revenues probably cannot be measured. Revenues for community 
services or programs may originate from many sources other than sales 
taxes, including State and local income taxes, corporate taxes and 
subsidies, property and other taxes, user fees, lottery revenues, civil 
penalties, and Federal funds. Furthermore, the sales tax is a direct 
consumer expense. Regardless of the services that are supported by the 
sales tax, it is a cost that the consumer must pay. For that reason, 
OPM continues to believe that it is appropriate to include the sales 
tax in the prices of the items surveyed.
     The same commenter said that using the Consumer Expenditure Survey 
(CES) is inappropriate because it assumes DC and Alaska consumers spend 
their money in the same manner. As stated in the report, OPM uses the 
nationwide CES data because OPM knows of no other source of 
comprehensive consumer expenditure information by income level suitable 
for use in the COLA model. One of the topics being researched under the 
MOU is the possible use of local CES data, including Anchorage CES 
data, in the COLA model. OPM anticipates including the results of this 
research in its report to Congress.
     One commenter noted how much more expensive it was in Alaska 
compared to Wyoming. OPM is required by law to use Washington, DC, as 
the reference area for living-cost comparisons.

 Goods and Services

     One commenter said that there are fewer department stores in 
Alaska and that sales at these stores are infrequent. Two commenters 
noted that one of the fast food restaurants in the survey advertised a 
sale item at one price, but the price in Alaska was much higher. The 
survey compares only non-sale prices of identical items from similar 
outlets, which we believe is consistent with Arana.
     One commenter felt that Alaskans are more likely than Washington, 
DC, residents to incur expenses related to snow removal and other 
winter conditions. One of the research topics under the MOU concerns 
expenses unique to each allowance area and to the Washington, DC, area. 
OPM plans to include the results of this MOU research in its report to 
Congress.
     The same commenter thought OPM should publish with the report the 
prices for all items. More than 18,000 prices were collected in the 
1997 surveys. Publishing this volume of information is not practical.
     One commenter said OPM should examine additional fees charged by 
mail order companies to ship to Alaska or Hawaii. OPM included catalog 
prices for selected items in the surveys. Additional costs for shipping 
and excise taxes, if any, were added to the catalog pricing where 
applicable.
     The same commenter said that in Alaska the cost of lettuce is by 
the pound, not by the head, as is charged elsewhere in the U.S. For 
comparison purposes, where lettuce is sold by the head, OPM collects 
the price and weight of an average head and converts the price to price 
per pound. The commenter also said OPM should examine the cost of dairy 
products in Alaska. OPM collects price data for milk, cheese, eggs, ice 
cream, and margarine in each of the allowance areas for use in the 
comparisons.
     Two commenters noted the high cost of goods and services on Prince 
of Wales Island in Alaska. Prince of Wales Island is in the Rest of 
Alaska allowance area, and OPM notes that, as have the previous 
surveys, the results of the 1997 survey show that the maximum allowable 
COLA rate (25 percent) should continue to be paid in this allowance 
area.

 Housing

     One commenter felt that OPM's calculations should allow for 
Alaskans having larger homes because of Arctic entrances and extra 
storage needs. The home purchase price data collected reflect local 
home sales, which in turn should reflect the cost of any special 
features common to dwellings in each area.
     The same commenter stated that Alaskan homes require more frequent 
maintenance because of the harsh winters and the composition of houses. 
The commenter also stated that house heating systems wear out more 
quickly in Alaska. One of the key research topics under the MOU is 
housing costs, and the possible application of a ``rental equivalence 
approach,'' which is the approach the Bureau of Labor Statistics uses 
for measuring change in housing costs for the Consumer Price Index. OPM 
will include the findings of this MOU research in its report to 
Congress.
     One commenter noted that housing is scarce and thereby expensive 
in Thorne Bay, Alaska. Thorne Bay is in the Rest of Alaska allowance 
area, and as OPM noted earlier, COLA surveys have consistently shown 
that payment of the maximum COLA rate is warranted in that area.

 Transportation Component

     One commenter stated that Alaskans have a higher accident rate and 
incur higher insurance and repair costs because of icy roads. The same 
commenter felt that a fuel adjustment should be made because Alaskans 
need to warm up their cars in the morning, using more fuel. The 
commenter also said that OPM should include the cost of changing to and 
from snow tires in its calculations.
     The COLA model takes into consideration automobile purchase price, 
maintenance, insurance, and depreciation. Purchase costs and insurance 
are based on price data obtained in each area. Maintenance is also 
based on local price data, and the model assumes that certain types of 
maintenance occur more frequently in the allowance areas than in the DC 
area. For example, the model assumes that tires wear out faster in the 
allowance areas than in the Washington, DC, area, and that tires have 
to be purchased more frequently in the allowance areas. For the 1997 
surveys, OPM also priced the cost of mounting and balancing snow tires 
and the cost of switching mounted snow tires and street tires on a 
semi-annual basis.
     The model also includes the severe driving maintenance schedule 
for the allowance areas and the standard schedule for the Washington, 
DC, area. Depreciation is based on the difference between the new car 
value and the value of the car 4 years later, as reflected in popular 
guides such as the National Automobile Dealers Association Official 
Used Car Guide and the Kelly Blue Book. The model assumes that used car 
prices are constant among areas, except in Fairbanks and Nome. Since 
new car prices are typically higher in the allowance areas, this 
assumption translates into a typically higher depreciation rate for new 
cars in the allowance areas relative to the DC area. For Fairbanks and 
Nome, the model uses 90 percent of the used car value to reflect an 
even higher depreciation cost related to increased wear in these areas 
caused by the severe climate.
     Although OPM does not take into consideration the effect of 
extended periods of idling on fuel consumption,

[[Page 56435]]

OPM does take into consideration the effect of climate on gas mileage. 
(See section 5.2.3.1 of the report.) In the case of Alaska, the COLA 
model assumes that automobiles there generally get fewer miles per 
gallon than equivalent automobiles in the Washington, DC, area.
     Several commenters stated that travel by air is more necessary, 
and therefore more frequent, in Alaska. The current model assumes that 
the typical Federal employee puts 15,000 miles per year on a car. Many 
Federal employees in the allowance areas may drive less than that, 
particularly in some of the smaller allowance areas. On the other hand, 
these employees may fly more frequently. If so, it may be appropriate 
to make adjustments in the COLA model to reflect these differences. 
Transportation is one of the MOU research topics, and OPM plans to 
include this research in its report to Congress.
     One commenter noted that DC residents have Metro costs subsidized 
by tax dollars. OPM does not survey municipal mass transportation. The 
cost of bus, train, subway, or taxi service is not part of the surveys 
because the service available in many allowance areas is not comparable 
to the service available in the DC area. Instead, OPM compares the cost 
of roundtrip airfares from the allowance areas with the cost of 
roundtrip airfares from the Washington, DC, area to the same 
destinations.

 Miscellaneous Component

     Several commenters felt that the medical expense portion of the 
Miscellaneous Component fails to reflect high out-of-pocket expenses 
they believe Federal employees in the allowance areas frequently incur. 
The commenters cited several possible causes for this, including higher 
costs not covered by insurance carriers, the absence of health 
maintenance organizations in several allowance areas, and the need to 
travel outside the area to obtain some medical services. Medical 
expense is one of the research topics under the MOU, and OPM plans to 
include this research in its report to Congress. OPM also notes that in 
the analysis of the results of the 1997 survey, OPM used average 
employee Federal health benefit expense by area. These data indicate 
that, with the exception of Puerto Rico, these expenses are higher in 
the allowance areas than in the Washington, DC, area.

 General Comments

     One commenter asked that OPM consider the effect significant 
reductions would have on the local economy of the allowance area. 
Another commenter believed that the results of the survey would end 
COLAs in the more populous areas of Alaska. This is not quite accurate. 
If COLA rates were based on the results of the 1997 survey, employees 
in both Juneau and Fairbanks would continue to receive COLAs, though at 
a lower rate. However, as noted earlier, COLA reductions are prohibited 
by law until December 31, 2000. In addition, OPM has the authority to 
reduce COLA rates gradually.
     Two commenters cited the scarcity of higher education choices in 
Alaska and the expenses of having family members attend out-of-state 
schools. Education is an MOU research topic, and OPM will report on 
this research in its report to Congress.
     One commenter noted that DC residents have free access to many 
recreational opportunities on the Mall in Washington, DC, such as 
museums and concerts. OPM believes each area offers recreational 
opportunities that are unique to that area, such as beaches, rivers, 
mountains, parks, or museums, as well as various leisure activities. 
Some of the recreational choices require paid admission, and others are 
free. Surveying everything is not feasible. OPM surveys the cost 
related to a number of recreational activities for which a fee is 
charged, including movie theaters, video rentals, golf, and bowling.
     Two commenters noted that they had only a short time in which to 
prepare comments on the notice. In response to similar comments on the 
previous survey, OPM had increased the comment period for the notice 
from 60 to 90 days. For this report, OPM is further increasing the 
comment period from 90 to 120 days.
     One commenter requested to be placed on a mailing list and 
notified of COLA publications. OPM does not maintain a mailing list for 
employee notification on COLA issues. OPM does employ several other 
means outside  Federal Register publication for disseminating this 
information to Federal employees. These include agency, union, and 
Partnership Committee notification; agency postings; and publication on 
OPM's Internet web page (www.opm.gov) and the nonforeign area COLA web 
page (www.opm.gov/cola).

 Clarification and Correction of the 1996 Report

     In preparing its report on the 1997 surveys, OPM discovered 
discrepancies in section 4.2.2, section 5.2.5, and Appendix 8 of the 
1996 report. These discrepancies are discussed below, and OPM addressed 
them in the 1997 report. OPM notes that the clarifications and 
corrections had no effect on any COLA rate.
     Section 4.2.2 did not fully describe the procedures used to assign 
home sales observations to the appropriate income level. As stated in 
the report, Runzheimer was unable to obtain on a consistent basis 
across areas information on number and types of rooms for home sales. 
Therefore, in assigning home sales observations to each income level, 
Runzheimer relied primarily on living community and home size. In areas 
where discrete communities were assigned to each income level, 
Runzheimer used all observations, regardless of room count and type, 
that met the size range specification shown in Table 4-3. As shown in 
table 4-3, these size ranges overlap. Therefore, in areas where the 
same communities were used at more than one income level, Runzheimer 
relied on room count and type to assign home sales in the size range 
overlap to the appropriate income level. When such information was not 
available, as was the case in St. Thomas, Runzheimer assigned homes in 
the 600 to 1,100 square foot range to the lower income level, homes in 
the 1,101 to 1,500 square foot range to the middle income level, and 
homes in the 1,501 to 2,300 square foot range to the upper income 
level.
     Table 4-2 also implied that OPM used the prices of condominiums 
and rowhouses at the lower and middle income levels. This was not 
correct. To allow the comparison of the same type of housing across 
areas, OPM used the prices only of detached, single family homes in all 
areas. Some of these homes, particularly in the Virgin Islands, 
probably had apartment units within them, but this level of detail was 
not available.
     Section 5.2.5 stated that, in addition to the price of studded 
snow tires, Runzheimer surveyed the extra cost of wheels (i.e., rims) 
in each of the Alaska COLA areas. In comparing the results of the 1997 
survey with those of the 1996 survey, OPM found that the extra cost of 
rims was not obtained in the 1996 survey. In the 1997 survey, OPM did 
price rims in Alaska, as well as the cost of mounting and balancing 
snow tires and the cost of switching mounted snow tires and street 
tires on a semi-annual basis, although the quantity of data was 
limited. For the coming surveys, OPM is improving the item description, 
which will address this problem.
     In Appendix 8, the Consumption Goods and Services indexes for

[[Page 56436]]

Honolulu, HI, did not agree with the indexes in Appendix 22. The 
Honolulu indexes in Appendix 22 were the correct indexes and were used 
to determine the final index for Honolulu. Therefore, the final total 
comparative cost index for Honolulu was correct.
Office of Personnel Management.
Janice R. Lachance,
Director.

Table of Contents

Executive Summary

1. Introduction
    1.1  Report Objectives
    1.2  The COLA Partnership Pilot Project and Changes in This 
Year's Survey
    1.3  Pricing Period
2. The COLA Model
    2.1  Measurement of Living-Cost Differences
    2.2  Step 1: Identifying the Target Population
    2.2.1  Federal Salaries
    2.2.2  Federal Employment Weights
    2.3  Step 2: Estimating How People Spend Their Money
    2.3.1  Consumer Expenditure Survey
    2.3.2  Expenditure Categories and Components
    2.4  Step 3: Selecting Items and Outlets
    2.4.1  Item Selections--The Market Basket
    2.4.2  Geographic Coverage and Outlet Selection
    2.4.2.1  Geographic Areas
    2.4.2.2  Similarity of Outlets
    2.4.2.3  Catalog Pricing
    2.5  Step 4: Surveying Prices
    2.5.1  Data Collection
    2.5.2  Inclusion of Sales and Excise Taxes
    2.5.3  Surveying the Washington, DC, Area
    2.6  Step 5: Analyzing Data and Computing Indexes
    2.6.1  Indexes and Weights
    2.6.1.1  Indexes
    2.6.1.2  Item Weights
    2.6.1.3  Category and Component Weights
    2.6.2  Computing the Overall Index
3. Consumption Goods and Services
    3.1  Categories and Category Weights
    3.2  Goods and Services Survey Results
    3.2.1  Exchange and Commissary Expenditure Research
4. Housing
    4.1  Component Overview
    4.2  Housing Model
    4.2.1  Expenditure Research
    4.2.2  Housing Profiles
    4.2.3  Living Community Selection
    4.2.4  Housing-Related Expenses
    4.2.4.1  Utilities
    4.2.4.2  Real Estate Taxes
    4.2.4.3  Owners/Renters Insurance
    4.2.4.4  Home Maintenance
    4.2.4.5  Telephone Expenses
    4.3  Housing Data Collection Procedures
    4.3.1   Homeowner Data Collection
    4.3.2  Renter Data Collection
    4.4  Housing Analysis
    4.4.1  Homeowner Data Analysis
    4.4.2  Rental Data Analysis
    4.5  Housing Survey Results
5. Transportation
    5.1  Component Overview
    5.2  Private Transportation Methodology
    5.2.1  Vehicle Selection and Pricing
    5.2.2  Vehicle Trade Cycle
    5.2.3  Fuel Performance and Type
    5.2.3.1  Impact of Temperature upon Fuel Performance
    5.2.3.2  Impact of Road Surface upon Fuel Performance
    5.2.3.3  Impact of Gradient Upon Fuel Performance
    5.2.3.4  Overall Impact upon Fuel Performance
    5.2.4  Vehicle Maintenance
    5.2.5  Tires
    5.2.6  License and Registration Fees and Miscellaneous Taxes
    5.2.7  Depreciation
    5.2.8  Finance Expense
    5.2.9  Vehicle Insurance
    5.2.10  Overall Annual Costs
    5.3  Other Transportation Costs--Air Fares
    5.4  Transportation Component Analyses
6. Miscellaneous Expenses
    6.1  Component Overview
    6.2  Component Weights
    6.3   Component Categories
    6.3.1  Medical Expense Category
    6.3.2  Private Education (K-12) Category
    6.3.3  Contributions Category
    6.3.4  Personal Insurance and Retirement Category
    6.4  Miscellaneous Expense Analyses
7. Final Results
    7.1  Total Comparative Cost Indexes

List of Appendices

 Appendix 1: Publication in the Federal Register of Results of 
Nonforeign Area Living-Cost Surveys: 1990--1996
 Appendix 2: Federal Employment Weights
 Appendix 3: Consumer Expenditure Survey (CES) Item Expenditures
 Appendix 4: CES Category and Component Expenditures
 Appendix 5: Item Descriptions
 Appendix 6: Principal Pricing Changes
 Appendix 7: Consumption Goods and Services Analysis and Summary
 Appendix 8: OPM Living Community List
 Appendix 9: Historical Home Market Values and Interest Rates
 Appendix 10: Historical Housing Data
 Appendix 11: Rental Data Analyses
 Appendix 12: Housing Cost Analysis
 Appendix 13: Housing Summary
 Appendix 14: Private Transportation Cost Analysis
 Appendix 15: Auto Insurance Calculation Worksheet
 Appendix 16: Air Fares Cost Analysis
 Appendix 17: Transportation Analysis
 Appendix 18: Transportation Summary
 Appendix 19: Miscellaneous Expense Analysis--Category Index 
Development
 Appendix 20: Miscellaneous Expense Summary
 Appendix 21: Component Expenditures
 Appendix 22: Final Indexes

Executive Summary

     Cost-of-living allowances (COLAs) are paid to Federal employees in 
nonforeign areas in consideration of living costs higher than in the 
Washington, DC, area. OPM conducts living-cost surveys in order to set 
the COLA rates. This report provides the results of the summer 1997 
living-cost surveys and compares living costs in nonforeign COLA areas 
to those in the Washington, DC, area.
     Survey data were collected by the Office of Personnel Management 
(OPM) under the COLA Partnership Pilot Project, a 2-year pilot project 
that was established to test and evaluate a new approach in the 
administration of the COLA program, including the conduct of living-
cost surveys. Surveys were conducted in Alaska, Hawaii, Guam, Puerto 
Rico, the U.S. Virgin Islands, and the Washington, DC, area. OPM 
analyzed the survey data and produced this report. In the interest of 
expediting COLA rate increases, OPM is publishing this report at the 
same time it is discussing the survey results with the COLA Partnership 
Pilot Project Committees and Subcommittees. If, as a result of these 
discussions, OPM implements changes that affect the results of the 1997 
survey, OPM will describe these changes and the results in a future 
Federal Register notice.
     For this study, over 3,500 outlets were contacted and over 18,000 
prices collected on about 200 items representing typical consumer 
purchases. These data were then combined by OPM using consumer 
expenditure information developed by the Bureau of Labor Statistics. 
The final result of the study is a series of living-cost indexes, shown 
in the table below, that compare living costs in the allowance areas to 
those in the Washington, DC, area. The index for the DC area (not 
shown) is 100.00 because it is, by definition, the reference area.

                Table E-1.--Final Cost Comparison Indexes
------------------------------------------------------------------------
                        Allowance area                            Index
------------------------------------------------------------------------
Anchorage, Alaska.............................................    102.93
Fairbanks, Alaska.............................................    107.57
Juneau, Alaska................................................    111.54
The rest of the State of Alaska...............................    126.64
City and County of Honolulu, Hawaii...........................    126.78
Hawaii County, Hawaii.........................................    110.85
Kauai County, Hawaii..........................................    114.92
Maui County, Hawaii...........................................    118.84
Guam/CNMI*, Local Retail......................................    121.77
Guam/CNMI, Commissary/Exchange................................    118.23
Puerto Rico...................................................    105.42
U.S. Virgin Islands...........................................    119.09
------------------------------------------------------------------------
*CNMI=Commonwealth of the Northern Mariana Islands

1. Introduction

1.1  Report Objectives

     This report provides the results of the Summer 1997 surveys. A 
listing of

[[Page 56437]]

earlier reports that provided the results of previous surveys is shown 
in Appendix 1. The analyses show the comparative living-cost 
differences between the Washington, DC, area and the allowance areas 
listed below. By law, Washington, DC, is the base or ``reference'' area 
for the nonforeign area cost-of-living allowance program.

 1. Anchorage, Alaska
 2. Fairbanks, Alaska
 3. Juneau, Alaska
 4. The rest of the State of Alaska
 5. City and County of Honolulu, Hawaii
 6. Hawaii County, Hawaii
 7. Kauai County, Hawaii
 8. Maui County, Hawaii
 9. Guam and the Commonwealth of the Northern Mariana Islands (CNMI)
10. Puerto Rico
 11. U.S. Virgin Islands
     In the interest of expediting COLA rate increases, OPM is 
publishing this report at the same time it is discussing the survey 
results with the committees and subcommittees established under the 
COLA Partnership Pilot Project. OPM will have these discussions in the 
near future. If, as a result of these discussions, OPM implements 
changes that affect the results of the 1997 survey, OPM will describe 
these changes in a future  Federal Register notice.

1.2.   The COLA Partnership Pilot Project and Changes in This Year's 
Survey

     In November 1996, OPM established the COLA Partnership Pilot 
Project, a 2-year pilot project designed to assist OPM in the 
administration of the COLA program. (See 61 FR 59173.) Under the pilot 
project, COLA Partnership Pilot Project Committees and Subcommittees 
were established in Alaska, Hawaii, Guam, Puerto Rico, and the U.S. 
Virgin Islands. The committees and subcommittees are composed of four 
representatives of Federal unions, four representatives from Federal 
agencies in each local area, plus two OPM representatives.
     All of the Committees and Subcommittees, except the Alaska 
Committee, worked with OPM in planning the COLA surveys, observing OPM 
data collection, and advising OPM on the COLA program and on 
compensation issues relating to the COLA areas. The Alaska COLA 
Partnership Committee elected not to be involved in survey planning and 
data collection observation because it believed there had not been 
sufficient time to become knowledgeable about the COLA program and to 
resolve issues prior to the survey. Agency and employee representatives 
in some Alaska areas, however, worked with OPM on an informal basis.
     Prior to the surveys, OPM central office staff traveled to each of 
the COLA areas to discuss with the Committees and Subcommittees survey 
plans and specifications. OPM adopted several changes in response to 
Committee/Subcommittee recommendations. Appendix 6 lists significant 
changes made for this survey relative to the previous survey. Among the 
key changes are the following:
--Private education (K-12) was surveyed in all areas, and ``use 
factors'' derived from the results of the 1992/93 Federal Employee 
Housing and Living Patterns Survey were used to reflect the mix by area 
of Federal employees whose children attend private schools and those 
who attend public schools.
--Average employee Federal health benefit expense was estimated by area 
and used in place of the fixed amount used in previous surveys.
--Several other new survey items were added, including windshield 
replacement, cellular phone service, hospital attendant, and air 
ambulance insurance.\1\
---------------------------------------------------------------------------

    \1\Hospital attendant and air ambulance insurance were surveyed 
in all areas, but were used in index calculations only in two areas 
because these services were not available in other areas. Hospital 
attendant prices were added to the cost of the hospital room in 
Puerto Rico, and air ambulance insurance premiums were added to the 
cost of Federal health benefits premiums in the U.S. Virgin Islands.
---------------------------------------------------------------------------

--Omaha, NE, was added to the list of destinations for pricing air 
fares.
--Rental and home sales data were collected for new housing communities 
on Oahu.
--Outlet specifications were changed for certain items, such as 
restaurant meals, to provide a more consistent mix of outlet types 
across areas.
     Another change compared with previous surveys is that a private 
contractor no longer collected price data. Instead, under the COLA 
Partnership Pilot Project, OPM central office staff collected these 
data, usually with the assistance of local observers from the COLA 
Partnership Committees and Subcommittees. OPM found this to be a very 
beneficial and informative process. OPM staff has gained a much better 
understanding of local conditions and issues and believes that the 
Committees, Subcommittees, and observers also have gained a better 
understanding of the COLA program.
     In addition to the above changes, OPM collected data on several 
test items and in two test areas: the Waimea/Waikoloa area on the 
Island of Hawaii and on St. John, U.S. Virgin Islands. OPM will be 
discussing the results of these tests with the Committees and 
Subcommittees in the near future. Since these test data were not used 
in the calculation of living-cost indexes, they are not discussed in 
this report.

1.3  Pricing Period

     Although OPM implemented the COLA Partnership Pilot Project in 
November 1996, it took much longer than expected to establish the COLA 
Partnership Committees and Subcommittees. Therefore, it was necessary 
to delay the surveys from the February time frame in which OPM 
originally planned to conduct the survey. The Committees and 
Subcommittees were established in early spring, 1997; and in April and 
May 1997, OPM central office staff traveled to each of the COLA areas 
to discuss with the Committees and Subcommittees plans for the 1997 
living-cost surveys. As noted above, OPM adopted several changes in 
response to Committee and Subcommittee recommendations. In July and 
August 1997, OPM central office staff returned to the COLA areas to 
collect living-cost data. During roughly the same time frame, OPM staff 
collected data in the Washington, DC, area. The prices of some items--
those dependent upon the pricing of other items--were collected later. 
Limitations on OPM staffing resources and budget allocations also 
extended the pricing period on these few items.
     As in previous surveys, some catalog sales were included in the 
survey. Only catalogs that sell merchandise in both the allowance areas 
and the Washington, DC, area were used. To ensure consistent seasonal 
catalog pricing, summer catalogs were used for all catalog items 
surveyed. Because the surveys were conducted during the summer months, 
winter items, such as downhill skiing, were not surveyed.

2. The COLA Model

2.1  Measurement of Living-Cost Differences

     The COLA model measures living-cost differences between the 
allowance areas and the Washington, DC, area by selecting 
representative items that people purchase in these locations, 
calculating their respective cost differences, and combining them 
according to their importance to each other (as measured by relative 
percentage of expenditures). This involves the following major steps:
     Step 1: Identify the segment of the population for which the 
analysis is

[[Page 56438]]

targeted (i.e., typical Federal white-collar employees).
     Step 2: Estimate how these people spend their money.
     Step 3: Select items to represent the types of expenditures people 
usually make and outlets at which people typically make purchases for 
each selected item.
     Step 4: Conduct pricing surveys of the selected items in each 
area.
     Step 5: Compute price ratios for the surveyed items and aggregate 
them according to the relative importance of each item.

2.2  Step 1: Identifying the Target Population

     The study estimates living-cost differences for typical Federal 
white-collar employees who have annual base salaries between 
approximately $12,400 and $90,100, the range of the 1996 General 
Schedule. Because living costs may vary depending on an employee's 
income level, living costs are analyzed at three income levels.
2.2.1  Federal Salaries
    To determine the appropriate income levels, OPM analyzed the 1996 
distribution of salaries for General Schedule employees in all of the 
allowance areas combined. OPM divided this distribution into three 
income groups of equal size and identified the minimum, maximum, and 
median salary in each group. The median values were then rounded to the 
nearest $100 to produce the three representative income levels of 
$22,300, $34,000, and $51,500. OPM compared living costs at each of 
these three income levels to produce three sets of estimated 
expenditures for each allowance area and for the Washington, DC, area. 
OPM combined these estimated expenditures into a single overall index 
for each allowance area using the employment weights described below.
2.2.2  Federal Employment Weights
    OPM used the minimum and maximum values of each income group and 
the 1996 distribution of General Schedule employees by salary in each 
allowance area to derive employment weights. These were combined with 
similar data from 1994 and 1995 to produce a moving average. (OPM uses 
moving averages to lessen index changes caused by the introduction of 
new weights over time.) From these averages, OPM calculated the 
percentage of the General Schedule workforce in each income group in 
each area. These percentages were the weights used to combine estimated 
expenditures to compute the final index. Appendix 2 shows the General 
Schedule employment distributions and how the percentage weights were 
derived. Appendix 21 shows how the weights were used in the final 
calculations.

2.3  Step 2: Estimating How People Spend Their Money

2.3.1  Consumer Expenditure Survey
     Expenditure patterns used in the calculations are based on 
national data from the Consumer Expenditure Survey (CES). OPM obtained 
from the Bureau of Labor Statistics ``prepublished'' CES results for 
1992, 1994, and 1995. The Bureau of Labor Statistics has advised OPM 
that ``prepublished'' CES data may not be statistically significant. To 
OPM's knowledge, however, it is the only source of comprehensive 
consumer expenditure information by income level. Therefore, it is used 
in the model.
     CES data are used in two ways: (1) to identify appropriate items 
for the survey and (2) to derive item, category, and component weights. 
The item weights are not income-sensitive. Aggregated CES data are 
analyzed by income level to derive category and component weights. 
These weights are income-sensitive. The CES data used in this study are 
shown in Appendices 3 and 4. As with the Federal employment weights, 
the 3 years of CES data were combined to produce a moving average.
2.3.2  Expenditure Categories and Components
    The CES is grouped into small, logical families of items. For 
example, pre-published data for beef are grouped into four 
subcategories: ground beef, roast, steak, and other. The steak and 
roast groupings were further separated into smaller clusters of items 
(e.g., sirloin and round steak, chuck and round roast). OPM separated 
the CES items into the four main cost components specified in OPM's 
regulations: Consumption Goods and Services, Transportation, Housing, 
and Miscellaneous Expenses. To develop weighting patterns for the three 
income levels, OPM performed linear regression analyses on the CES data 
shown in Appendix 3.\2\ These analyses produced estimated expenditures 
at the three income levels identified in section 2.2.1 above. OPM 
converted these expenditures to percentages of total expenditures for 
the four components to produce the values shown in the table below. 
These were the weights used to combine the expenditures for each of the 
components into an overall value for each income level in each 
allowance area and the Washington, DC, area.
---------------------------------------------------------------------------

    \2\The midpoint of the moving average of CES data was 1994. 
Therefore, for the purposes of these regressions, OPM adjusted 
Federal salaries to reflect 1994 pay rates. OPM used the pay 
increases for 1995 (2.0%) and 1996 (2.0%) to deflate the 1996 
salaries. This produced adjusted Federal salaries of $21,450, 
$32,700, and $49,500 for use in the regression equations.

                   Table 2-1.--Component Expenses Expressed as a Percentage of Total Expenses
----------------------------------------------------------------------------------------------------------------
                                     1994
                                   adjusted    Goods and     Housing    Transportation     Misc.        Total
       1996 income level            income      services    (percent)      (percent)     (percent)    (percent)
                                    level*     (percent)
----------------------------------------------------------------------------------------------------------------
$22,300........................      $21,450        38.90        26.03          18.72         16.34       100.00
34,000.........................       32,700        38.18        24.67          18.54         18.61       100.00
51,500.........................       49,500        37.52        23.43          18.38         20.68       100.00
----------------------------------------------------------------------------------------------------------------
*Income levels are adjusted as described in footnote 2.
(Values may not total because of rounding.)

     Goods and Services Component items were further separated into 10 
categories, and linear regression techniques were used to estimate 
expenditures on these 10 categories by income level. The weights for 
these categories are shown in section 3.1. The same technique was also 
used to compute category weights for the Transportation and 
Miscellaneous Components and to produce ratios of renters to homeowners 
at each income level.

[[Page 56439]]

2.4  Step 3: Selecting Items and Outlets

2.4.1  Item Selections--The Market Basket
     As noted above, CES items were grouped into ``clusters'' of 
expenses to determine which items to survey. These clusters were chosen 
so that no market basket item would have an overwhelmingly large or an 
insignificantly small item weight.
     For each of these clusters, a set of items to price was 
identified. Collectively, these items are called a ``market basket.'' 
Because it would have been impractical to survey all of the thousands 
of items consumers might buy, the market basket contains representative 
items, such as cheddar cheese, that represents itself and the many 
other related items that consumers purchase (e.g., edam, gouda, jack, 
swiss, etc). The market basket that OPM used had approximately 200 
items ranging from table salt to new cars to home purchases.
     Whenever practical, the item description included the exact brand, 
model, type, and size, so that exactly the same items could be priced 
in all areas if possible. For example, a 10.5-ounce can of Campbell's 
vegetable soup was selected for the survey because it is representative 
of canned and packaged soups, is a commonly-purchased brand, and is 
found in all areas. Appendix 5 provides a list of the items surveyed 
and their descriptions.
     Changes in the item list and descriptions are an important aspect 
of the COLA survey. These changes are necessary to improve the survey 
and keep the item descriptions current. For this survey, several of the 
items or descriptions were changed. The major changes and the reasons 
for each are listed in Appendix 6.
2.4.2  Geographic Coverage and Outlet Selection
    Just as it is important to select commonly-purchased items and 
survey the same items in all areas, it is important to select outlets 
frequented by consumers and find equivalent outlets in all areas. This 
involves deciding which geographic areas to survey and which outlets to 
survey within these geographic areas.
2.4.2.1  Geographic Areas
     For some areas, the choice of which area(s) to survey was obvious. 
On St. Thomas, for example, essentially the whole island is surveyed 
because the island is not that large and Federal employees live 
throughout the island. For other areas, specific communities had to be 
identified. To do this, OPM relied mainly on the results of the 1992 
Federal Employee Housing and Living Patterns Survey. Among other 
things, that survey obtained information on where Federal employees 
lived. OPM used this information, in consultation with the COLA 
Partnership Committees and Subcommittees, to select the living 
communities in which housing costs were priced. OPM, again in 
consultation with the Committees and Subcommittees, identified outlets 
within a normal shopping radius of these housing communities. Outlets 
within a living community or within an adjoining living community were 
generally considered to be within a normal shopping radius.
2.4.2.2   Similarity of Outlets
     Whenever possible, OPM and the Committees/Subcommittees selected 
outlets that were popular with consumers and that were comparable to 
outlets in other areas. For example, grocery items were surveyed at 
supermarkets in all areas because most people purchase their groceries 
at such stores and because supermarkets are found in nearly all 
areas.\3\ The selection of comparable outlets is particularly important 
because comparing the prices of items purchased at dissimilar outlets 
would be inappropriate (e.g., comparing the price of a box of cereal at 
a supermarket with one sold at a convenience store).
---------------------------------------------------------------------------

    \3\Groceries were surveyed at two kinds of supermarkets (i.e., 
full-service supermarkets and ``warehouse-type'' supermarkets) in 
areas where both types of supermarkets were common and within a 
normal shopping radius of the living communities surveyed. OPM 
notes, however, that some areas do not have warehouse-type 
supermarkets. Membership stores, such as Costco, were not surveyed 
in any area.
---------------------------------------------------------------------------

     Although major supermarkets, department stores, and discount 
stores represented a sizable portion of the survey, outlets were also 
selected to represent the diversity of consumer shopping options. For 
example, department stores could have been used for pricing all 
clothing items surveyed. However, this would not have reflected the 
range of consumer choices. Therefore, some clothing items were priced 
in men's and women's clothing stores, other clothing items in 
department stores, others in shoe stores, and still others in discount 
stores. For each item, the same type of outlet (e.g., clothing store, 
discount store, department store) was selected in each area whenever 
possible.
2.4.2.3   Catalog Pricing
     A limited amount of catalog pricing was included in the survey to 
reflect this common purchasing option. Eleven item prices were surveyed 
by catalog. Catalog pricing allowed the comparison of comparable items 
that would have been difficult to price otherwise. All catalog prices 
included any charges for shipping and handling and all applicable 
taxes.
     As noted earlier, OPM obtained over 18,000 prices on about 200 
items from over 3,500 outlets. In each survey area, OPM attempted to 
get three price quotes for most items. There were certain exceptions. 
For example, essentially all of the available home sales and rental 
data meeting the survey specifications were obtained. For other items, 
such as utilities and real estate tax rates, only one quote was 
obtained in each area because these items have uniform rates within an 
area. Because the Washington, DC, area has six survey communities, OPM 
attempted to get 18 price quotes for most items in this area.
 2.5.1   Data Collection
     To avoid possible conflicts of interest, price data were collected 
in each area by OPM central office staff. In all of the COLA areas, 
except Anchorage, a data collection observer, usually designated by the 
local COLA Partnership Committee or Subcommittee, accompanied OPM staff 
and advised and assisted in contacting outlets, matching items, 
selecting substitutes, and generally informing OPM staff on living 
costs and related compensation issues. OPM found this to be a very 
informative process.
     Most data were collected onsite in stores, repair shops, etc. 
However, many items, such as insurance, home maintenance services, and 
private education expenses, were priced by telephone. Some items, such 
as property tax rates, were collected from web sites on the Internet. 
OPM also purchased home sales and some rental data from various 
sources.
 2.5.2   Inclusion of Sales and Excise Taxes
     For all items subject to sales and/or excise taxes, the 
appropriate amount of tax was added prior to analysis. OPM gathered 
applicable information on taxes by contacting appropriate sources of 
information in the allowance areas and the Washington, DC, area.
 2.5.3   Surveying the Washington, DC, Area
     As noted above, OPM attempted to get more price quotes in the DC 
area than in the allowance areas because of the size and diversity of 
the DC metropolitan area and because DC is the basis for all 
comparisons. For the purposes of the COLA surveys, the DC

[[Page 56440]]

area was divided into six survey areas: two in the District of 
Columbia, two in Maryland, and two in Virginia. The outlets surveyed 
were within a normal shopping radius of the housing communities 
identified in Appendix 8. Survey data from each of the six DC survey 
areas were combined using equal weights.
     As in the COLA areas, OPM central office staff collected data 
onsite and by phone in the DC area. Due to funding limitations, 
allowance area data collection observers did not travel to the DC area 
to observe and assist in data collection.

 2.6   Step 5: Analyzing Data and Computing Indexes

 2.6.1   Indexes and Weights
 2.6.1.1   Indexes
     Nonforeign area COLA's are derived from the living-cost indexes. 
These indexes are mathematical comparisons of living costs in the 
allowance areas compared with living costs in the Washington, DC, area. 
An index is a way to state the difference between two prices (or sets 
of prices). For example, if a can of corn costs $1.00 in the allowance 
area and 80 cents in the DC area, canned corn is 25 percent more 
expensive in the allowance area than in DC. That difference can also be 
stated as a price index of 125.
 2.6.1.2   Item Weights
     OPM computed indexes for hundreds of items. As briefly described 
in section 2.3, OPM used weights derived from the CES to combine these 
indexes. These weights reflected the relative amount consumers normally 
spend on different items. For example, the price of a can of corn has a 
lower weight than the price of a pound of apples because, according to 
the CES, people generally spend less on canned corn than on apples.
     The COLA model uses a fixed-weight indexing methodology. The 
weights used are based on the expenditure patterns of consumers 
nationwide as reported by the CES. This is the only source of which OPM 
is aware that provides expenditure information by income level.
 2.6.1.3   Category and Component Weights
     As described in section 2.3.2, OPM also computed income sensitive 
category and component weights. This allowed the combination of 
comparative price data in a manner that reflected the spending patterns 
of people at each income level. The way data were combined varied among 
the components.
     For the Goods and Services and Miscellaneous Expense components, 
OPM combined indexes within each category using the CES weights to 
derive an overall index for the category. The category indexes were 
then combined into an overall component index using the income-
sensitive category weights described above. For the Transportation and 
Housing Components, OPM used the same approach in combination with a 
cost-build-up approach. For example, the annual cost of owning and 
operating an automobile was computed by taking individual prices (e.g., 
automobile financing, insurance, gas and oil, and maintenance) and 
computing an overall dollar cost for each area. These costs were 
compared with those in the DC area to compute the Private 
Transportation Category index. This index was then combined with the 
Other Transportation Category index using income sensitive category 
weights to compute an overall Transportation Component index for each 
area.
 2.6.2    Computing the Overall Index
     The item, category, and component indexes were combined using the 
process prescribed in section 591.205(c) of title 5, Code of Federal 
Regulations. That is a five-step process that involves converting the 
indexes to dollar values and weighting these, combining them, and 
comparing them to compute a final weighted-average index. The process 
is described below.
     First, OPM used the CES data and the income ranges described in 
section 2.2.1 to determine how much money consumers typically spend on 
each component at each income level. These amounts appear in the table 
below and in Appendix 21. They were derived by taking the component 
weights shown in Table 2-1 times the representative income levels 
described in section 2.2.1.

                     Table 2-2.--Typical Consumer Expenditures by Income Level and Component
----------------------------------------------------------------------------------------------------------------
                                               Goods and
                Income level                    services     Own/rent   Transportation     Misc.        Total
----------------------------------------------------------------------------------------------------------------
Lower.......................................       $8,675       $5,805         $4,175        $3,644      $22,300
Middle......................................       12,981        8,388          6,304         6,327       34,000
Upper.......................................       19,323       12,066          9,466        10,650       51,500
----------------------------------------------------------------------------------------------------------------
(Note: Values may not total because of rounding here and in Table 2-1.)

     Second, for each allowance area, OPM multiplied the dollar values 
above by the component indexes for the allowance area. Because the 
housing component consisted of two indexes (one for owners and another 
for renters), total relative costs were produced separately for owners 
and renters.
     Third, for each allowance area and income level, OPM combined the 
total relative costs for owners and renters using as weights the 
proportion of owners and renters as identified in the CES. (See section 
4.2.1.) This produced an overall expenditure dollar amount for each 
income level in each allowance area.
     Fourth, OPM computed a single overall average expenditure for each 
allowance area by combining the income level expenditures using the 
allowance area General Schedule employment distribution as weights. 
This produced a single overall dollar expenditure value for the 
allowance area. Using the same General Schedule employment weights, OPM 
also computed a single overall dollar expenditure value for the DC 
area.
     The final step was to divide the overall dollar expenditure for 
the allowance area by the overall dollar expenditure for the DC area to 
compute a final index. These indexes are shown in the last section of 
this report and in Appendix 22.

 3. Consumption Goods and Services

 3.1 Categories and Category Weights

     Based on the CES data, OPM identified 10 categories of expenses 
within the Goods and Services Component. Using linear regression 
analyses and the CES data, OPM identified the portion of total Goods 
and Services expenditures that the typical consumer spends in each 
category at various income levels. The categories and the relative 
expenditures are shown in the table below:

[[Page 56441]]



   Table 3-1.--Category Weights Expressed as a Percentage of Goods and
                  Services Expenditures by Income Level
------------------------------------------------------------------------
                                               Income levels
             Category             --------------------------------------
                                      Lower        Middle       Upper
------------------------------------------------------------------------
Food at Home.....................        26.85        23.89        21.11
Food Away from Home..............        13.59        14.26        14.88
Tobacco..........................         2.91         2.41         1.95
Alcohol..........................         2.49         2.52         2.54
Furnishings and Household
 Operations......................        15.19        16.35        17.45
Clothing.........................        13.34        13.95        14.53
Domestic Service.................         1.80         2.03         2.23
Professional Services............         6.97         6.81         6.66
Personal Care....................         3.58         3.49         3.41
Recreation.......................        13.28        14.29        15.24
                                  --------------------------------------
      Totals.....................       100.00       100.00       100.00
------------------------------------------------------------------------
(Note: Values may not total because of rounding.)

 3.2 Goods and Services Survey Results

     Section 2.6 of this report provides a detailed explanation of the 
economic model used to analyze the price data. As it applies to Goods 
and Services, the approach involved comparing the average prices of 
market basket items in each allowance area with those in the 
Washington, DC, area. The resulting price ratios were aggregated into 
subcategory and then category indexes using the moving-average 
expenditure weights derived from the CES data.
     Appendix 7 shows for each allowance area 10 category indexes, the 
weights used at each of the 3 income levels, and the overall Goods and 
Services Component indexes. The Washington, DC, area is not shown 
because it is, by definition, the reference area. Therefore, the DC 
indexes are 100.
 3.2.1 Exchange and Commissary Expenditure Research
     Executive Order 10000, as amended, requires OPM to adjust COLA 
rates when employees have special purchasing privileges, such as 
unlimited access to commissaries and exchanges. In Guam, some employees 
have such access, so OPM priced the same market basket of Goods and 
Services items at the commissaries and exchanges in Guam as it used for 
the local retail pricing. One price quote was obtained for each market 
basket item found in these facilities.
     Employees who have access to military facilities make some of 
their purchases in these facilities and make other purchases elsewhere. 
Therefore, OPM used the results of a survey of Federal employees to 
determine the percentage of purchases that families typically make in 
military facilities versus local outlets. For example, as the following 
table shows, it is estimated that employees with commissary/exchange 
access in Guam purchase approximately 70% of their Food at Home items 
at a commissary and purchase the remaining 30% of such items in local 
retail outlets.

    Table 3-2.--Percentages of Purchases Made at the Commissaries and
                            Exchanges in Guam
------------------------------------------------------------------------
                          Category                            Percentage
------------------------------------------------------------------------
Food at Home................................................       70.0
Food Away...................................................        0.0
Tobacco.....................................................       64.0
Alcohol.....................................................       76.0
 Furnishings. & Hsld. Op....................................       64.5
Clothing....................................................       43.7
Domestic Service............................................        0.0
Professional Services.......................................        0.0
Personal Care...............................................       49.3
Recreation..................................................       49.7
------------------------------------------------------------------------

     These percentages were used to aggregate the local retail and 
commissary/exchange prices into one set of appropriate, blended prices, 
hereinafter referred to as the Commissary/PX prices. The blended prices 
were compared to the local retail prices in the Washington, DC, area to 
compute Commissary/PX Goods and Services Category indexes, which were 
then combined using CES weights to derive an overall Commissary/PX 
Goods and Services Component index. Just as with the Guam Local Retail 
Goods and Services Component index, the Guam Commissary/PX Goods and 
Services Component index was combined with the indexes for the Housing, 
Transportation, and Miscellaneous Expense Components to derive a 
single, overall Commissary/PX index for the Guam allowance area.

 4. Housing

 4.1 Component Overview

     The Housing Component consists of the following expenses related 
to owning or renting a dwelling:
--Mortgage or rent payments,
--Utilities,
--Real estate taxes,
--Homeowner's or renter's insurance,
--Home maintenance, and
--Telephone expenses.
     At each of the three income levels, the annual housing costs for 
homeowners and renters were measured separately. The results were then 
combined using as weights the percentages of owners and renters 
reported by the CES.

 4.2 Housing Model

 4.2.1 Expenditure Research
     The CES was used to determine the national average ratio of 
families who own, as opposed to rent, their residences at each income 
level. Using the tenure data by income range as input into a linear 
regression analysis, OPM calculated the owner and rental weights shown 
below and in Appendix 22. OPM excluded data for homeowning families 
without a mortgage because they were not typical of Federal homeowners 
in the base area or in the allowance areas.

[[Page 56442]]



                    Table 4-1.--Owner/Renter Weights
------------------------------------------------------------------------
                                               Income levels
                                  --------------------------------------
             Category                 Lower        Middle       Upper
                                    (percent)    (percent)    (percent)
------------------------------------------------------------------------
Homeowner with mortgage..........        38.60        48.05        62.17
Renter...........................        61.40        51.95        37.83
                                  --------------------------------------
      Totals.....................       100.00       100.00       100.00
------------------------------------------------------------------------

     The CES data were also used to identify which home-maintenance 
items to price and to establish the relative importance of those items.
 4.2.2 Housing Profiles
     To compare housing costs in all locations, six typical housing 
profiles are used--three for homeowners and three for renters. These 
profiles are shown in Table 4.2. One owner and one renter profile was 
assigned to each income level. OPM attempted to collect information on 
the living area, numbers and types of rooms, and other information that 
might influence home sale or rental prices. This information was rarely 
available for rental units, so OPM relied on bedroom count and living 
community to segregate rental prices by income level. The additional 
information shown in Table 4.2, however, was used during the interview 
of rental brokers to collect broker data.
     Information about characteristics of houses sold was also 
difficult to collect on a consistent basis across all areas. Although 
detailed information about the houses sold was available for many 
areas, it was not available for other areas, including the District of 
Columbia and the Maryland suburbs of the Washington, DC, area. The only 
housing characteristics that were consistently available across all 
areas were house type and size. OPM surveyed only the prices of single 
family detached houses in each area and relied mainly on house size and 
living community to segregate homes sales by income level.\4\ As shown 
in Table 4.2, these size ranges overlap. Therefore, when housing was 
priced in the same living community at two or more income levels, the 
additional information was used to separate home sales observations 
into the appropriate income level so that no single home sale 
observation was used at more than one income level.
---------------------------------------------------------------------------

    \4\ In the U.S. Virgin Islands, many of the houses surveyed had 
apartments within them. Since this is a very common characteristic 
of housing in that area, exclusion of the price of housing with 
apartments was not feasible. It is also likely that some of the home 
sale prices obtained in other areas, including the Washington, DC, 
area were for housing that had basement or ``mother-in-law'' 
apartments, although the sources OPM used did not provide that 
information.

                                          Table 4-2.--Housing Profiles
----------------------------------------------------------------------------------------------------------------
                                                 Renters                                  Owners
                               ---------------------------------------------------------------------------------
         Income level                                     Additional                              Additional
                                 Key Characteristic      Information      Key Characteristic      Information
----------------------------------------------------------------------------------------------------------------
Lower.........................  1 bedroom apartment  3 rooms total, 1     Detached house,     4 rooms total, 2
                                                      bath; Reference      600 to 1,200        bedrooms, 1 bath;
                                                      size: 600 sq. ft..   sq.ft..             Reference size:
                                                                                               900 sq. ft.
Middle........................  2 bedroom apartment  4 rooms total, 2     Detached house,     5 rooms total, 3
                                                      baths; Reference     1,000 to 1,600      bedrooms, 1 bath;
                                                      size: 900 sq. ft..   sq.ft..             Reference size:
                                                                                               1,300 sq. ft.
Upper.........................  2 bedroom townhouse  4 rooms total, 2     Detached house,     7 rooms total, 3
                                 or detached house.   baths; Reference     1,400 to 2,300      bedrooms, 2
                                                      size: 1,100 sq.      sq.ft..             baths; Reference
                                                      ft..                                     size: 1700 sq.
                                                                                               ft.
----------------------------------------------------------------------------------------------------------------

     The reference sizes in Table 4.2 are used for the calculation of 
utility costs in the model. (See section 4.2.4.1.) As noted above, they 
are not the only sizes surveyed for each profile.
 4.2.3 Living Community Selection
     As discussed briefly in section 2.4.2.1, OPM identified the living 
communities to be surveyed based on the results of the 1992 Federal 
Employee Housing and Living Patterns Survey and in consultation with 
the COLA Partnership Committees and Subcommittees. The communities 
surveyed are identified in Appendix 8. As with previous surveys, nine 
homeowner and nine renter communities were identified for the 
Washington, DC, area--one for each income level in each of the three 
areas (DC, Maryland, and Virginia). In the allowance areas, up to three 
homeowner and three renter communities were identified--one for each 
income level.
     The three-community owner/renter goal was not achievable in many 
of allowance areas due to the relatively few home sales and rental 
opportunities in these areas. In such areas, OPM collected prices for 
the entire survey area or allowance area rather than in specific 
communities. This was done in Fairbanks, Juneau, Nome, Hilo, Kailua 
Kona, Kauai, Maui, Guam, St. Croix and St. Thomas. In these areas, all 
home sales and/or rental rates meeting the housing characteristics for 
the particular income group were included in the analysis.
     For most areas in which discrete living communities were 
identified, OPM used zip code boundaries. The exceptions were Anchorage 
and San Juan. In Anchorage, OPM used the multiple listing service 
location codes that realtors commonly use in that area. In San Juan, 
OPM used the name of the municipio or community.
 4.2.4 Housing-Related Expenses
     Based on the CES data, housing-related expense items were 
categorized into one of five groups in the COLA model. These groups 
were--
--Utilities,
--Real estate taxes,
--Owners/renters insurance,

[[Page 56443]]

--Maintenance, and
--Telephone expenses.
 4.2.4.1 Utilities
     Electricity, oil, gas, and water were the utilities used in the 
model. Many utility companies were able to provide current charges per 
unit of consumption and average consumption patterns for all 
households. The companies were not, however, able to provide separate 
consumption patterns by the size or type of housing.
     Because many utility costs vary by size of house, a factor was 
needed to derive the utility rates at each of the home profiles. The 
table below shows the standard square foot sizes and utility factors 
used for each home profile. The factors were calculated by assuming 
that utility use increases or decreases at half the rate that square 
footage increases or decreases.

                       Table 4-3.--Utility Factors
------------------------------------------------------------------------
                                       Renter profile     Owner profile
            Income level             -----------------------------------
                                      Sq. ft.   Factor  Sq. ft.   Factor
------------------------------------------------------------------------
Lower...............................      600      .73      900      .85
Middle..............................      900      .85    1,300     1.00
Upper...............................    1,100      .92    1,700     1.15
------------------------------------------------------------------------

     In each area, OPM obtained the price of each of the types of 
utilities noted above. Where available, OPM also gathered from local 
utility companies average annual consumption data per household 
information. The local rates and consumption information were used to 
compute average annual utility costs. The above factors were then used 
to adjust the total annual utility costs for each of the various 
housing profiles.
     In the DC area, OPM was unable to obtain estimates for electricity 
usage for houses heated by gas or oil. However, OPM was able to obtain 
kilowatt usage for all-electric houses. In order to avoid potential 
double counting of utility costs, OPM used the all-electric data for 
the DC area. This was not a problem in the warm-area COLA areas, where 
there is little heat expense. It also was not a problem in Alaska, 
where most consumers use gas or oil heat, not electric heat.
 4.2.4.2 Real Estate Taxes
     For this study, OPM contacted the local tax assessors or municipal 
web sites on the Internet to obtain real estate tax information on the 
living communities surveyed. These real estate tax formulas were 
applied to the median home values for each income level to estimate 
annual real estate taxes. For San Juan, however, OPM was able to obtain 
only general information about home assessment values. This information 
verified data collected during the 1996 survey, which indicated that 
property taxes were very low in Puerto Rico. Therefore, OPM used the 
1996 San Juan property tax expense in this year's calculations.
 4.2.4.3 Owners/Renters Insurance
     Homeowners' insurance rates were gathered for each of the survey 
areas for both renter and owner profiles. For renters, the following 
estimated content values were used: $25,000 at the lower and middle 
income levels and $30,000 at the upper income level. At the request of 
the Guam COLA Partnership Committee, OPM also collected, on a test 
basis, renter insurance rates at other levels of coverage. OPM has not 
had the opportunity to examine these test data in detail. Therefore, 
they were not used in these calculations. OPM may test price such 
coverage again in the coming survey.
     For homeowners, the cost of insurance was dependent on the median 
home values calculated as part of this survey. In most areas, it was 
assumed that the structure was equal to 80 percent of the total home 
value. In Hawaii, where the land represents a greater proportion of 
property value, 50 percent was used.
     Hurricane insurance was priced for all of the allowance areas in 
Hawaii and in Guam, Puerto Rico, and the U.S. Virgin Islands. This 
year, at the request of the Hawaii COLA Partnership Committee, OPM 
attempted to collect flood insurance information in Hawaii, 
particularly information on how frequently this type of coverage is 
required by lenders. The information OPM obtained was sparse and 
inconclusive. OPM will attempt to collect more information in the 
coming survey. In research previously conducted for OPM, the contractor 
found that insurance coverage for disasters, such as floods and 
earthquakes, was not widely purchased in the allowance areas. 
Therefore, the COLA model does not include these additional riders. 
(See section 4.2.4.3 of the Report to OPM on Living Costs in Selected 
Nonforeign Areas and in the Washington, DC, Area, December 10, 1992, at 
57 FR 58556).
 4.2.4.4 Home Maintenance
     Estimated home maintenance expense was computed for each of the 
homeowner and renter profiles. In previous surveys, OPM used 
maintenance costs for owners only on the premise that most, if not all, 
maintenance expenses are covered by the landlord. It was pointed out, 
however, that this assumption resulted in a mathematical error, albeit 
a very small one, because of the way OPM uses CES data. Therefore, this 
year OPM derived from the CES separate home maintenance expenditure 
amounts for both owners and renters. Not surprisingly, the CES 
indicates that renters spend relatively little on home maintenance 
compared with homeowners.
     As done in previous surveys, OPM priced both home maintenance 
services as well as home maintenance commodities using the CES 
information to identify items to price and the weights associated with 
these items. The maintenance service items priced were interior 
painting, plumbing repair, electrical repair, and pest control. In the 
Nome area, however, pest control was not priced because local sources 
indicated it is not necessary. The maintenance commodities priced were 
bathroom caulking, a kitchen faucet set, an electrical outlet, latex 
interior paint, and a fire extinguisher.
     At the request of the Hawaii COLA Partnership Committee, OPM also 
attempted to collect, on a test basis, the cost of termite bait 
treatment systems. OPM found that this service is not common in some 
allowance areas nor in the Washington, DC, area. Therefore, the test 
data were not used. OPM may test price this service again in future 
surveys.
     To compute home maintenance cost differences between each 
allowance area and the Washington, DC, area for the homeowner and 
renter profiles, an index was computed for each maintenance item by 
comparing the allowance area price to the DC area price. As with the 
Goods and Services component items, the CES data were used to weight 
these maintenance indexes into an overall home maintenance index for 
each area.
     To combine the maintenance indexes with the other homeowner and 
renter costs, which were expressed in dollar amounts, OPM converted the 
indexes to dollars by multiplying the index for each area by the 
average maintenance expense reported in the CES for owners and renters 
separately. This cost was assigned to the middle-income homeowner and 
renter profile. Logically, maintenance costs for larger homes would 
generally be greater than costs for middle-sized homes, while costs for 
smaller homes would generally be less. Therefore, the same owner and 
renter multipliers used in the utilities model were applied to 
recognize differences in maintenance costs due to house size at the 
various income levels.

[[Page 56444]]

 4.2.4.5 Telephone Expenses
     Telephone expenses consisted of local service charges, additional 
charges for local calls (if applicable), charges for long distance 
calls, and basic cellular phone service. To measure estimated expenses 
for local service and local calls, OPM surveyed the cost of touch-tone 
service with unlimited calling in each area. To estimate long distance 
charges in all areas, OPM priced from a major long distance provider 
the cost of three 10-minute direct dial calls per month to large U.S. 
mainland cities (i.e., Los Angeles, Chicago, and New York City). As in 
previous surveys, OPM priced a call placed in the survey area at the 
time of day necessary to be received in the respective city at 8:00 
p.m. local time. In many areas, this resulted in pricing a combination 
of daytime and evening-rate calls.
     This year, OPM also priced cellular phone service. In each area, 
OPM priced the basic monthly plan for such service. Weights were 
derived from CES data to account for the portion consumers spend on 
regular phone service and cellular phone service. These weights were 
then used to combine the prices of these two types of phone service.

 4.3 Housing Data Collection Procedures

     OPM collected home sales information from multiple listing type 
services and rental information mainly from rental brokers and 
advertisements.
 4.3.1 Homeowner Data Collection
     OPM obtained the selling prices of homes that matched the housing 
profiles in each living community for home sales that occurred roughly 
during the 12-month period preceding and including the survey month. 
The amount of data obtained depended on the number of home sales in the 
community and the availability of square footage and other information 
on housing characteristics. This in turn depended on the size of the 
community, economic conditions, quality and quantity of the realty data 
available, and the willingness and ability of local realty 
professionals to provide data.
     Relatively large quantities of home sales data were obtained in 
all areas except Nome and St. Thomas. In Nome, home sales were 
extremely limited because Nome is not very large. In St. Thomas, home 
sales were limited because, at the time of the survey, there was no 
readily available and comprehensive source of home sales data that 
provided home size (i.e., square footage) information. OPM obtained a 
limited amount of St. Thomas home sales information, as well as more 
general home sale trend information. Analysis of the home sales 
information indicated that prices on St. Thomas had fallen sharply, but 
the more general trend information indicated that lower average prices 
were probably caused by the sale of hurricane damaged properties. It is 
not OPM's policy to price uninhabitable or severely damaged homes. 
Therefore, OPM held home prices on St. Thomas constant by using the 
previous year's data.
     Identifying houses that were uninhabitable, severely damaged, or 
otherwise in need of significant repairs was impossible for most areas, 
given the limited amount of information available from the listing 
services. As discussed in section 4.4.1 below, OPM uses the median 
rather than the average home value to compute housing costs. (The 
median is the middle value in a rank-ordered set of observations and 
tends to be less sensitive than the average to unusually low or high 
values at the ends of a range of data.) Nevertheless, in some of the 
data bases OPM purchased, the quantity of exceptionally low priced 
homes had a significant effect on the median. Therefore, in all areas 
OPM trimmed home sale prices that were $30,000 or less, recognizing 
that $30,000 was probably a conservative price threshold for most 
areas. No trimming was done at the upper end of the data, even though 
there were a few very expensive homes in some of the data bases, 
particularly in Hawaii. OPM plans to review the issue of data trimming 
with the COLA Partnership Committees and Subcommittees.
 4.3.2 Renter Data Collection
     Rental data also were obtained from a variety of sources, e.g., 
brokers, rental management firms, property managers, newspaper 
advertisements, and other listings. Analyses of these data revealed 
what appeared to be two separate rental markets: a broker market and a 
non-broker market. Rental rates and estimates provided by brokers 
generally exceeded those obtained from other sources. The methodology 
used to analyze these two data sets is discussed in section 4.4.2.

 4.4 Housing Analysis

 4.4.1 Homeowner Data Analysis
     One of the most important factors relating to the price of a home 
is the number of square feet of living space. For each income profile 
in each allowance area and the Washington, DC, area, OPM computed price 
per square foot for each of the comparables and determined the median 
price per square foot. The median was used to reduce the volatility of 
the housing data from one survey to the next because a relatively few 
extremely high or low home prices could significantly influence average 
housing prices. The median price per square foot was then multiplied by 
the reference square footage for the income level to determine the home 
purchase price.
     As was done last year, OPM also used historical housing data in 
addition to data collected in this survey. These data are found in 
Appendix 9 of this report. For all areas except Oahu, the historical 
data are from previous living-cost surveys that were published in the 
Federal Register beginning with the 1990 report. (See Appendix 1 for a 
listing of these publications). The data for the period prior to 1990 
were published with the results of the 1991-1992 living-cost surveys at 
57 FR 58617. All housing values are based on the community selections 
and analytical methodologies used at the time of each respective 
survey.
     For Oahu, OPM obtained additional historical housing data. As 
discussed earlier in this report, OPM, at the recommendation of the 
Hawaii COLA Partnership Committee, surveyed housing prices in new 
living communities on Oahu. Because OPM's historical data did not cover 
these communities, OPM obtained and used this additional historical 
price data.\5\
---------------------------------------------------------------------------

    \5\The Honolulu historical data covered the period from 1988 to 
1997. For this year's calculations, OPM needed data for 1987 as 
well. These data were extrapolated using the relationship of the 
newly obtained historical data to the previously obtained historical 
data for 1988.
---------------------------------------------------------------------------

     The historical housing data used were estimated annual principal 
plus interest payments by income level in each area. To combine these 
data, OPM used weights that were derived from the 1992 Federal Employee 
Housing and Living Patterns Survey. These weights reflect the 
proportion of Federal employee homeowners by year of purchase in all 
allowance areas and in the Washington, DC, area. The historical housing 
weights and analyses are shown in Appendix 10.
 4.4.2 Rental Data Analysis
     OPM assigned each rental quote to a single income level based on 
the criteria shown in Table 4-2. As discussed earlier, there were 
essentially two sources of rental information: broker and non-broker 
sources. In each area, the quantity of data obtained from either source 
varied significantly. Therefore, analyzing all of the rental data (both 
broker and non-broker) together for an area and income level was 
undesirable. Instead, OPM analyzed broker and non-broker data 
separately by income level.

[[Page 56445]]

 As with the housing data analyses, OPM used the median rental values. 
For each income level, OPM separately ranked rental rates from low to 
high for broker and non-broker data. The median values for broker and 
non-broker data for each group were determined and then averaged to 
compute a single rental value for each income level. Because OPM has no 
information on how the Federal employees who rent generally secure 
their lodgings, OPM applied equal weights to the broker and non-broker 
data to compute an overall average rental rate for the area and income 
level.
     The broker and non-broker medians and final results are shown in 
Appendix 11. As noted in that appendix, OPM found inexplicable rental 
price trends in some of the data, particularly in the broker data. For 
example, the median broker rental price at the middle income level was 
sometimes less than that quoted at the lower income level. Therefore, 
OPM adjusted the rental data to address these anomalies.

 4.5 Housing Survey Results

     In the above sections, the processes used for determining the 
costs for maintenance, insurance, utilities, real estate taxes, rents, 
and homeowner mortgages were described. Appendix 12 shows the cost of 
each of these items for renters and homeowners in each allowance area 
and in the Washington, DC, area. Appendix 13 compares the total cost of 
these items by income level in each allowance area with the total cost 
of the same items by income level in the DC area. Again, there are 
separate comparisons for renters and homeowners. The final housing-cost 
comparisons take the form of indexes that are used in Appendix 21 to 
derive the total, overall indexes for owners and renters.

 5. Transportation

 5.1 Component Overview

     The transportation component consists of two categories: 
Automobile Expense and Other Transportation Costs. The Automobile 
Expense Category reflects costs relating to owning and operating a car 
in each area. The Other Transportation Costs Category is represented by 
the cost of air travel from each location to common points within the 
contiguous 48 States.

 5.2 Private Transportation Methodology

     As in previous surveys, OPM analyzed automobile transportation 
costs for three commonly purchased vehicles: a domestic auto, an import 
auto, and a utility vehicle. New car costs were used for these analyses 
because it was believed that pricing used vehicles of equivalent 
quality in each area could introduce inconsistencies because of the 
value judgments that would be required.
 5.2.1 Vehicle Selection and Pricing
     The same three models of automobiles that were surveyed in 
previous years were surveyed again this year:
--Domestic-Ford Taurus GL 4-door sedan 3.0L 6 cyl.
--Import-Honda Civic DX 4-door sedan 1.5L 4 cyl.
--Utility-Chevrolet S10 Blazer 4X4 2 door 4.3L 6 cyl.
     For each model car, OPM collected new vehicle prices at 
dealerships in each area. All vehicles were equipped with standard 
options, such as automatic transmission, AM/FM stereo radio, and air 
conditioning. In Alaska locations, special additional equipment was 
included in new-vehicle prices (i.e., engine-block heaters and heavy-
duty batteries). Snow tires were also priced in Alaska. (See section 
5.2.5.) In addition to the MSRP, the price included additional charges 
such as shipping, dealer preparation, additional dealer markup, excise 
tax, sales tax, and any other one-time taxes or charges. In Anchorage, 
for example, documentation fees were also included as part of the new-
vehicle costs.
 5.2.2 Vehicle Trade Cycle
     Calculating the cost of owning and operating a vehicle requires 
knowing the miles driven and how long the car is owned. In the 
automobile industry, these two factors are known collectively as a 
vehicle's ``trade cycle.'' The trade cycle is stated as a length of 
time (in months or years) and the total number of miles driven in that 
time period. This information is used in the model to compute annual 
costs related to fuel, oil, tires, maintenance, and depreciation. As 
with the previous living-cost analyses, OPM used a 4-year, 60,000-mile 
trade cycle in all areas.
 5.2.3 Fuel Performance and Type
     All vehicles included in this study used regular unleaded fuel. 
OPM collected self-service cash prices of unleaded regular gasoline at 
name-brand gas stations in the Washington, DC, area and in all 
allowance areas. In Alaska, OPM obtained both the full-service and 
self-service gasoline prices at stations that offered both and averaged 
the prices.
     To establish average fuel-performance ratings, the COLA model uses 
the ``city driving'' figures published by the U.S. Environmental 
Protection Agency (EPA). The ``city'' figures instead of ``highway'' 
figures are used because all locations contained considerable stop-and-
go driving conditions. As in previous COLA surveys, OPM included in its 
analysis the following fuel-performance factors: temperature, road 
surface, and gradient. These factors are based on research previously 
conducted for OPM. This research and the factors are discussed below.
 5.2.3.1 Impact of Temperature upon Fuel Performance
     Gas mileage is affected by temperature. The lower the temperature, 
the fewer miles-per-gallon achieved, and vice versa. According to EPA's 
 Passenger Car Fuel Economy: EPA and Road,  the temperature at which no 
adjustments to fuel performance occur is 77 deg.F. Below that 
temperature, miles-per-gallon achieved drops. Above 77 deg.F miles-per-
gallon achieved improves. The model uses the average monthly 
temperatures for each allowance area and the DC area as reported in  
The Weather Almanac, published by Ruffner and Blair. For each location 
and month, the model uses the appropriate factor from the EPA study 
based on the average monthly temperature for the area. These factors 
are then averaged to derive a single overall factor for each location. 
The results of these calculations are shown in Table 5-1.
 5.2.3.2 Impact of Road Surface upon Fuel Performance
     For the model, it is assumed that Federally controlled roadways 
are typically composed of concrete and/or high-load asphalt and that 
locally controlled roadways are typically composed of low-load asphalt. 
EPA's research indicates that cars are generally more fuel-efficient on 
the firmer, high-load surfaces than on the softer, low-load surfaces. 
Although traffic patterns and road usage vary among areas, previous 
research conducted for OPM produced no relevant findings regarding this 
issue. Therefore, the model uses the assumption that Federally-
controlled roadways generally support twice the traffic of, or are used 
at least twice as much as, locally controlled roadways.
     In each allowance area, the total mileage falling into either the 
Federal or local categories was collected. For example, Alaska contains 
5,512 miles of Federally controlled roads and 7,120 miles of locally 
controlled roads. The usage assumption increased Federal road mileage 
by a factor of two for the Alaska allowance areas.
     The average low-load asphalt factor (which reflects dry, wet, and 
snowy conditions) was applied to the local mileage percentage, and the 
average

[[Page 56446]]

concrete and/or high-load asphalt factor was applied to the Federal 
mileage percentage to produce two weighted average factors--one for the 
Alaska allowance areas and another for the other allowance areas. These 
factors are shown in Table 5-1. The Washington, DC, area was assigned a 
factor of 1.00 on the premise that the vast majority of traffic in that 
area travels on dry, high-load surfaces. The application of these 
factors is described in Section 5.2.3.4.
 5.2.3.3 Impact of Gradient Upon Fuel Performance
     The effect of gradient on gas mileage is also estimated from EPA's 
 Passenger Car Fuel Economy: EPA and Road. Local topography (i.e., 
gradient) affects fuel efficiency. EPA provides mileage factors based 
upon various gradients ranging from less than 0.5% (essentially flat) 
to greater than 6% (steep).
     In research previously conducted for OPM, the contractor reviewed 
the topographic features of each area and found a wide range of road 
conditions. However, the contractor was unable to find relevant 
information on the types of terrain drivers typically encounter in each 
area or the number of miles drivers travel in each type of terrain. 
Lacking such information, the contractor assumed that drivers in the 
allowance areas generally traveled roads having approximately the same 
gradients that are found on average in the United States.
     Applying the information from EPA's research, a fuel-performance 
factor of 0.98 was computed for this type of driving. This factor was 
assigned to each allowance area. For the DC area, a factor of 1.00 was 
used on the premise that the vast majority of traffic in that area 
travels on major freeways and highways that are relatively flat. The 
application of these factors is described in the next section.
 5.2.3.4 Overall Impact upon Fuel Performance
     OPM applied the factors described above to make adjustments in the 
average gas mileage ratings for each type of automobile surveyed for 
each allowance area and for the Washington, DC, area. The adjustment 
factors compound--that is, the total adjustment is the result of 
multiplying the three individual factors together for each area.
     In table 5-1, the factor 1.00 means that no adjustment in EPA fuel 
performance is appropriate. A factor of less than 1.00 means that the 
estimated gasoline mileage in the area is less than the EPA average. 
For example, the total adjustment factor for Juneau is 0.84. This means 
that the estimated gasoline mileage in Juneau is 84 percent of the EPA 
estimated average. Note that the adjustment factor for the DC area 
(0.94) indicates that average gasoline mileage in that area is also 
below the EPA estimate.

                               Table 5-1.--Summary of Fuel-Performance Adjustments
----------------------------------------------------------------------------------------------------------------
                                                                               Road
                          Location                            Temperature    surface      Gradient      Total
----------------------------------------------------------------------------------------------------------------
Anchorage...................................................         0.88         0.96         0.98         0.83
Fairbanks...................................................         0.85         0.96         0.98         0.80
Juneau......................................................         0.89         0.96         0.98         0.84
Nome........................................................         0.85         0.96         0.98         0.80
Hawaii......................................................         0.99         0.98         0.98         0.95
Virgin Islands..............................................         1.01         0.98         0.98         0.97
Puerto Rico.................................................         1.01         0.98         0.98         0.97
Guam........................................................         0.99         0.98         0.98         0.95
Washington, DC..............................................         0.94         1.00         1.00         0.94
----------------------------------------------------------------------------------------------------------------

 5.2.4 Vehicle Maintenance
     OPM surveyed the cost of common maintenance services and repairs 
performed on the vehicles surveyed. The services and repairs were--
--Tuneup,
--Oil change,
--Automatic transmission fluid change,
--Flush/fill coolant,
--Muffler/exhaust pipe replacement,
--Constant velocity joint (CVJ) boot replacement, and
--Windshield replacement.
     The automobile manufacturers' recommended maintenance schedules 
were used to determine the frequency of performing each of the first 
five maintenance jobs. Maintenance schedules vary, depending on the 
driving conditions typically encountered. Consistent with the 
assumptions used for fuel economy and tire mileage, it was assumed that 
driving conditions in the allowance areas are generally severe, and the 
maintenance schedules used reflected that kind of driving. For the DC 
area, it was assumed that driving conditions are normal, and the 
maintenance schedules used for that area reflected that kind of 
driving.
     The recommended frequency of performing each of these jobs was 
combined with the prices charged by local dealers and service stations 
to compute an estimated annual maintenance expense. OPM collected the 
cost of the complete maintenance service or repair job for each 
vehicle. For example, the cost of a complete oil change was collected 
for each vehicle including the total charge for parts and the total 
charge for labor.
     Previous research conducted for OPM revealed varying replacement 
cycles for constant velocity joint (CVJ) boots among the Alaska 
allowance areas and between the Alaska areas and the DC area: Anchorage 
and Juneau--every 45,000 miles (3 years), Nome--every 30,000 miles (2 
years), Fairbanks--every 15,000 miles (1 year), and the Washington, DC, 
area--every 60,000 miles (4 years). OPM used the Washington, DC, area 
frequency of repair for the other (i.e., non-Alaska) COLA areas. In 
each area, the cost of replacement for all three vehicle types was 
factored into the indexes based upon the frequency of the replacement. 
In Fairbanks, for example, 100 percent of the cost was included because 
previous research indicated annual replacement was the norm.
     To determine the frequency of replacement of windshields, OPM 
contacted local dealers and automobile repair shops. Based on the 
information obtained, OPM determined that windshield replacement was 
much more frequent in Alaska than in the other allowance areas or the 
Washington, DC, area. Therefore, OPM assumed that windshields had to be 
replaced every 2 years in the Alaska areas but rarely (i.e., never) in 
the other areas or in the DC area during the 4-year trade cycle used in 
the COLA model. Windshield replacement, however, is normally covered by 
the owner's automotive insurance. Therefore, OPM used the deductible 
rather than the

[[Page 56447]]

surveyed price of windshield replacement, since the deductible was 
always less than the replacement prices.
 5.2.5 Tires
     Research previously conducted for OPM revealed that various 
factors (e.g., road quality/state of repair, road composition) appeared 
to reduce tread life (i.e., the average number of miles a tire is 
expected to last) in the allowance areas compared with the Washington, 
DC, area. Based on this research, the model uses tire expense based on 
a 40,000-mile tread life in allowance areas and a 55,000-mile tread 
life in the DC area.
     OPM priced the cost of a new set of tires, including mounting and 
balancing and all applicable taxes, in each area. This cost was 
converted into an annual cost by dividing the estimated number of 
annual miles driven by the expected tread life and multiplying this by 
the new tire price. Previous research indicated that four extra studded 
snow tires would be required for all three vehicles in the Alaska 
allowance areas (but not in the DC area). Therefore, OPM surveyed the 
prices of studded snow tires for all vehicles in Anchorage, Fairbanks, 
Juneau, and Nome. OPM also priced the cost of rims and switching snow 
and street tires semi-annually in these Alaska areas.
 5.2.6 License and Registration Fees and Miscellaneous Taxes
     OPM obtained information regarding license and registration fees, 
miscellaneous taxes, and personal property taxes (where applicable). 
License and registration fees were included as part of the annual cost 
of owning an automobile. Miscellaneous and personal-property taxes were 
computed for each year of the vehicle's 4-year trade cycle using the 
vehicle's estimated used-car value for each year. The resulting four 
personal property tax values were then averaged, and that average was 
included as part of the annual cost of owning an automobile. As stated 
in section 5.2.1, sales and excise taxes were included in the purchase 
price of the vehicle and were accounted for under the annual vehicle 
purchase and finance costs.
 5.2.7 Depreciation
     The single largest annual expense related to owning and operating 
a new car is depreciation--the lost value of the vehicle as it ages and 
is driven. In the COLA model, total depreciation is calculated by 
subtracting from the purchase price the estimated residual value (used 
car value) 4 years later. This value is then divided by four to produce 
an annual depreciation amount.
     As described earlier, the new car price was the manufacturer's 
suggested retail price plus any additional charges, such as shipping, 
dealer prep, additional dealer markup, excise tax, and sales tax. The 
used car value was based on information from sources such as the  Kelly 
Blue Book. Although such sources track prices of vehicles sold only in 
the contiguous 48 States, previous research performed by a contractor 
for OPM did not indicate that used cars in allowance areas were (on 
average) worth more or less than used cars in the DC area, except for 
Fairbanks and Nome. For Fairbanks and Nome, 90 percent of the projected 
residual values were used to reflect more severe conditions.
     It should be noted that identical residual values did not result 
in identical depreciation amounts. Depreciation amounts were generally 
higher in the allowance areas than in the Washington, DC, area because 
new car prices were generally higher in the allowance areas.
 5.2.8 Finance Expense
     The COLA model assumes that new car purchases are financed. 
Therefore, OPM surveyed banks in all areas to obtain their auto-loan 
interest rates for a 48-month loan with 80 percent financing. OPM 
computed the finance cost for each vehicle in each area and included it 
in the annual cost of owning and operating an automobile.
 5.2.9 Vehicle Insurance
     OPM surveyed the cost of car insurance in each location. 
Consistent with the previous year's survey, the following common 
coverages, limits, and deductibles were used:

Bodily Injury.............................  $100,000/$300,000.
Property Damage...........................  $50,000.
Medical...................................  $5,000.
Uninsured Motorist........................  $100,000/300,000.
Comprehensive.............................  $100 Deductible.
Collision.................................  $250 Deductible.

     In each survey area, OPM identified the common automobile 
insurance companies and attempted to obtain three insurance price 
quotes for each type of car surveyed. These quotes were averaged by 
type of car to produce estimated insurance costs for each area.
     As had been reported in previous surveys, OPM found that some 
insurance companies in Guam, Puerto Rico, and the Virgin Islands did 
not offer the coverages, limits, and deductibles shown above. To allow 
the comparison of the cost of these different policies with DC costs, 
OPM surveyed in the DC area the cost of insurance that was comparable 
to that offered in these allowance areas. The costs of these equivalent 
policies were then compared to derive adjustment factors that could be 
applied to the cost of the standard coverage shown above. By applying 
these factors to the DC area average price, the cost of equivalent 
coverage was estimated for these particular allowance areas. The 
factors and their derivation are shown in Appendix 15.
     The procedure used this year was much simpler than that used in 
previous surveys. Sensitivity analysis indicated that the new procedure 
produced essentially the same results, and the simpler procedure 
requires less information from the insurance companies. Therefore, it 
reduces the public burden of the survey.
 5.2.10 Overall Annual Costs
     As described above, OPM surveyed the annual costs for fuel, 
maintenance and oil, tires, licensing, taxes, depreciation, finance, 
and insurance for three types of automobiles in each allowance area and 
in the Washington, DC, area. These costs were then summed to determine 
the overall annual costs by area for owning and operating each type of 
automobile. Appendix 14 shows these costs for each area by type of 
vehicle.

 5.3 Other Transportation Costs--Air Fares

     Air fare is the only item priced for the Other Transportation 
Costs Category. For this item, OPM surveyed the lowest priced round-
trip air fare on a major carrier with a 2-week advance purchase and a 
1-week stay over. Trips were priced from each allowance area and the 
Washington, DC, area to Chicago, Los Angeles, Miami, New York, Seattle, 
St. Louis, and Omaha, NE. These cities were selected to represent a 
range of travel destinations coast-to-coast for COLA-area and DC-area 
Federal employees. The costs of the trips from each allowance area were 
averaged and compared with the average cost of the trips from the DC 
area to compute the category indexes. The fares are shown in Appendix 
16.

 5.4 Transportation Component Analyses

     OPM compared the total cost of private auto transportation for 
each vehicle in each allowance area with the total cost for the same 
vehicle in the DC area. These comparisons are expressed as indexes and 
are shown in Appendix 17. Likewise, OPM compared the cost of air fares 
for each area with those for the DC area and computed a cost index. 
These indexes are shown in Appendices 16 and 18. OPM used national 
average expenditure data to derive weights that

[[Page 56448]]

reflected how much consumers typically spend to own and operate an 
automobile versus other transportation expenses. These weights vary by 
income level and were used to combine the Automobile Expense Category 
index with the Other Transportation Costs index by area to derive the 
overall Transportation Component index for the area. The weights, 
computations, and final Transportation Component indexes are shown in 
Appendix 18.

 6. Miscellaneous Expenses

 6.1 Component Overview

     The Miscellaneous Expense component consists of four categories of 
expenses:
--Medical care.
--Private education (K-12).
--Contributions (including gifts to non-family members).
--Personal insurance and retirement contributions/investments.

 6.2 Component Weights

     OPM used CES data to determine the appropriate weights for each of 
the items and categories in the Miscellaneous Component. The category 
weights are shown in the following table and in Appendix 20. Item 
weights are shown in Appendix 19.

        Table 6-1.--Miscellaneous Expense Categories and Weights
------------------------------------------------------------------------
                                                Income level
                                  --------------------------------------
            Categories                Lower        Middle       Upper
                                    (percent)    (percent)    (percent)
------------------------------------------------------------------------
Medical Care.....................        40.74        30.79        23.66
Private Education (K-12).........          .87         1.23         1.48
Contributions....................        16.07        16.56        16.91
Personal Insurance and Retirement
 Contributions...................        42.31        51.42        57.95
                                  --------------------------------------
      Totals.....................       100.00       100.00       100.00
------------------------------------------------------------------------
Note: Values may not total because of rounding.

 6.3 Component Categories

 6.3.1 Medical Expense Category
     OPM surveyed the price of medical care items using essentially the 
same approach it used for the Goods and Services component items. The 
following medical care items were priced in each allowance area and in 
the Washington, DC, area:
--nonprescription pain reliever
--prescription drugs
--contact lenses
--dental service
--doctor visit
--hospital room
--Federal health insurance
     In addition, OPM surveyed the price of hospital attendant services 
and air ambulance insurance on a test basis in each area. OPM found 
that hospital attendant services were only available in Puerto Rico, 
where hospital services are significantly different from those in the 
Washington, DC, area. Therefore, OPM added the price of daily hospital 
attendant service to that of a hospital room in Puerto Rico. Air 
ambulance insurance was found to be available only in the Virgin 
Islands, where on-island hospital services are limited. Therefore, OPM 
added the price of air ambulance insurance to the price of health 
insurance in the Virgin Islands.
     To address comments OPM had received on previous surveys and to 
allow the use of air ambulance insurance in this fashion, OPM dropped 
the constant $100 that had been used for health insurance in previous 
surveys.\6\ Instead, OPM used Federal employee health benefit 
enrollment information from OPM's Central Personnel Data File along 
with Federal health benefit premiums to compute average health benefit 
expense by areas. These expenses varied by area, and OPM used these 
averages rather than assuming that costs were constant among areas.
---------------------------------------------------------------------------

    \6\In previous surveys, it had been assumed that the cost of 
health insurance was constant among areas because the choice of 
Federal health coverage was considered to be, by and large, a matter 
of personal preference. Therefore, in those surveys, the index for 
this item was 100.00.
---------------------------------------------------------------------------

     OPM surveyed the cost of the health care items in both the 
allowance areas and in the DC area. OPM compared the prices to produce 
an index for each item in each area, then combined these indexes using 
CES weights to produce a single Medical Care Category index for each 
area.
 6.3.2 Private Education (K-12) Category
     Private education (K-12) was added this year at the recommendation 
of the Puerto Rico COLA Partnership Committee. Since not everyone sends 
their children to private school, OPM derived use factors from the 
results of the 1992/93 Federal Employee Housing and Living Patterns 
Survey. The following table shows these factors and the resulting 
adjustment of price indexes by area. The factors reflect the relative 
extent to which Federal employees make use of private education in the 
COLA areas compared with the Washington, DC, area. For example, the 
table indicates a use factor of 4.1066 for Puerto Rico because about 54 
percent of Federal employees with school age children there send at 
least one child to private school compared with about 13 percent for 
the DC area.

                         Table 6-2.--Summary of Private Education Use Factors and Indexes
----------------------------------------------------------------------------------------------------------------
                                                  Employees w/children in
                                                      private schools                                Price index
                    Location                    --------------------------  Use factor  Price index     w/use
                                                  Local area    DC area                                 factor
----------------------------------------------------------------------------------------------------------------
Anchorage......................................        10.34        13.23       0.7816        55.53        43.40
Fairbanks......................................         8.56        13.23       0.6470        41.59        26.91
Juneau.........................................        12.43        13.23       0.9395        57.30        53.84

[[Page 56449]]

Nome...........................................         8.08        13.23       0.6107        38.42        23.46
Honolulu.......................................        26.86        13.23       2.0302       113.03       229.48
Hilo*..........................................        18.94        13.23       1.4316        44.23        63.32
Kona*..........................................        18.94        13.23       1.4316        87.03       124.59
Kauai..........................................        22.46        13.23       1.6977        95.72       162.50
Maui...........................................        20.39        13.23       1.5412        89.05       137.24
Guam...........................................        42.26        13.23       3.1943        90.95       290.52
Puerto Rico....................................        54.33        13.23       4.1066        66.85       274.52
St. Croix......................................        57.27        13.23       4.3288        90.26       390.72
St. Thomas.....................................        51.90        13.23       3.9229        95.78       375.74
----------------------------------------------------------------------------------------------------------------
*Use data available only for Hawaii County.

 6.3.3 Contributions Category
     The index for the Contributions Category is the Goods and Services 
Component index for the area. The use of the Goods and Services index 
is based on the assumption that the relative level of contributions is 
roughly equivalent to that reflected by the Goods and Services index.
 6.3.4 Personal Insurance and Retirement Category
     The index for personal insurance and retirement contributions and 
investments is assumed to be constant among areas. The cost of Federal 
Employees Group Life Insurance is a matter of personal preference and 
is constant in all areas for the same age, salary, and benefit option 
combinations. Likewise, retirement contributions are a matter of 
personal preference, and the minimum contribution requirements are 
constant among areas for equivalent salary levels.

 6.4 Miscellaneous Expense Analyses

     As with the Goods and Services Component, the indexes for each of 
the Miscellaneous Component categories were combined using CES weights 
to produce component indexes by income level for each area. These 
indexes are shown in Appendix 20. Section 2.6 describes how the 
miscellaneous expense component indexes are combined with the other 
component indexes to derive the final index for each area.

 7. Final Results

 7.1 Total Comparative Cost Indexes

     The total comparative cost indexes appear below. Appendix 22 shows 
how each index was derived from the component indexes.

                Table 7-1.--Final Cost Comparison Indexes
------------------------------------------------------------------------
                        Allowance area                           Index
------------------------------------------------------------------------
Anchorage, Alaska............................................     102.93
Fairbanks, Alaska............................................     107.57
Juneau, Alaska...............................................     111.54
The rest of Alaska...........................................     126.64
City and County of Honolulu, Hawaii..........................     126.78
Hawaii County, Hawaii........................................     110.85
Kauai County, Hawaii.........................................     114.92
Maui County, Hawaii..........................................     118.84
Guam/CNMI*, Local Retail.....................................     121.77
Guam/CNMI, Commissary/Exchange...............................     118.23
Puerto Rico..................................................     105.42
U.S. Virgin Islands..........................................     119.09
------------------------------------------------------------------------
*CNMI=Commonwealth of the Northern Mariana Islands


     Appendix 1.--Publication in the Federal Register of Results of
             Nonforeign Area Living-Cost Surveys: 1990-1997
------------------------------------------------------------------------
         Citation                   Title                 Contents
------------------------------------------------------------------------
56 FR 7902................  Office of Personnel    Results of summer
                             Management: Cost-of-   1990 living-cost
                             Living Allowances      surveys conducted in
                             and Post               Alaska, Hawaii,
                             Differentials          Guam, Puerto Rico,
                             (Nonforeign Areas).    and the U.S. Virgin
                                                    Islands.
57 FR 58556...............  Office of Personnel    Results of summer
                             Management: Report     1991 and winter 1992
                             on 1991/1992 Surveys   living-cost surveys
                             Used to Determine      conducted in Alaska,
                             Cost-of-Living         Hawaii, Guam, Puerto
                             Allowances in          Rico, and the U.S.
                             Nonforeign Areas.      Virgin Islands.
58 FR 45558...............  Office of Personnel    Results of summer
                             Management: Report     1992 and winter 1993
                             on 1992/1993 Surveys   living-cost surveys
                             Used to Determine      conducted in Alaska,
                             Cost-of-Living         Hawaii, Guam, Puerto
                             Allowances in          Rico, and the U.S.
                             Nonforeign Areas.      Virgin Islands.
58 FR 27316...............  Office of Personnel    Results of summer
                             Management: Report     1993 living-cost
                             on Summer 1993         surveys conducted in
                             Surveys Used to        Hawaii, Guam, Puerto
                             Determine Cost-of-     Rico, and the U.S.
                             Living Allowances in   Virgin Islands.
                             Nonforeign Areas.
59 FR 45066...............  Office of Personnel    Results of winter
                             Management: Report     1994 living-cost
                             on Winter 1994         surveys conducted in
                             Surveys Used to        Alaska.
                             Determine Cost-of-
                             Living Allowances in
                             Alaska.
60 FR 61332...............  Office of Personnel    Results of summer
                             Management: Report     1994 living-cost
                             on Summer 1994         surveys conducted in
                             Surveys Used to        Hawaii, Guam, Puerto
                             Determine Cost-of-     Rico, and the U.S.
                             Living Allowances in   Virgin Islands.
                             Selected Nonforeign
                             Areas.
61 FR 4070................  Office of Personnel    Results of winter
                             Management: Report     1995 living-cost
                             on Winter 1995         surveys conducted in
                             Surveys Used to        Alaska.
                             Determine Cost-of-
                             Living Allowances in
                             Alaska.

[[Page 56450]]

62 FR 14190...............  Office of Personnel    Results of 1996
                             Management: Report     living-cost surveys
                             on 1996 Surveys Used   conducted in Alaska,
                             to Determine Cost-of-  Hawaii, Guam, Puerto
                             Living Allowances in   Rico, and the U.S.
                             Nonforeign Areas.      Virgin Islands.
------------------------------------------------------------------------


                                 Appendix 2.--Multiple Survey Areas:1997 Survey
                           [Federal Employment Weights Within a Single Allowance Area]
----------------------------------------------------------------------------------------------------------------
                      Location                           1994        1995        1996       Average     Weights
----------------------------------------------------------------------------------------------------------------
Hawaii County
    Hilo............................................         310         304         308         307       75.99
    Kona............................................          99          97          96          97       24.01
                                                     -----------------------------------------------------------
        Total.......................................  ..........  ..........  ..........         404      100.00
                                                     ===========================================================
Virgin Islands
    St. Croix.......................................         151         154         166         157       48.76
    St. Thomas/St. John.............................         166         160         170         165       51.24
                                                     -----------------------------------------------------------
        Total.......................................  ..........  ..........  ..........         322      100.00
----------------------------------------------------------------------------------------------------------------


                                       Multiple Income Levels: 1997 Survey
                           [Federal Employment Weights Within a Single Allowance Area]
----------------------------------------------------------------------------------------------------------------
              Location and income level                  1994        1995        1996       Average     Weights
----------------------------------------------------------------------------------------------------------------
Anchorage:
    Lower...........................................       1,609       1,540       1,445       1,531       26.11
    Middle..........................................       1,971       1,754       1,719       1,815       30.95
    Upper...........................................       2,583       2,522       2,448       2,518       42.94
      Totals........................................  ..........  ..........  ..........       5,864      100.00
                                                     ===========================================================
Fairbanks:
    Lower...........................................         444         388         449         427       33.54
    Middle..........................................         442         446         456         448       35.19
    Upper...........................................         392         405         397         398       31.26
      Totals........................................  ..........  ..........  ..........       1,273       99.99
                                                     ===========================================================
Juneau:
    Lower...........................................         145         139         126         137       19.77
    Middle..........................................         220         203         199         207       29.87
    Upper...........................................         360         341         346         349       50.36
      Totals........................................  ..........  ..........  ..........         693      100.00
                                                     ===========================================================
Rest of Alaska:
    Lower...........................................         414         349         363         375       24.32
    Middle..........................................         722         703         687         704       45.65
    Upper...........................................         445         481         462         463       30.03
      Totals........................................  ..........  ..........  ..........       1,542      100.00
                                                     ===========================================================
Honolulu:
    Lower...........................................       4,239       4,140       4,453       4,277       33.20
    Middle..........................................       4,171       3,952       4,009       4,044       31.40
    Upper...........................................       4,689       4,514       4,476       4,560       35.40
      Totals........................................  ..........  ..........  ..........      12,881      100.00
                                                     ===========================================================
Hawaii:
    Lower...........................................         165         139         152         152       37.16
    Middle..........................................         154         164         163         160       39.12
    Upper...........................................          91          98         101          97       23.72
      Totals........................................  ..........  ..........  ..........         409      100.00
                                                     ===========================================================
Kauai:
    Lower...........................................          81          73          59          71       29.10
    Middle..........................................          84          76          80          80       32.79
    Upper...........................................          89          97          92          93       38.11
      Totals........................................  ..........  ..........  ..........         244      100.00
                                                     ===========================================================

[[Page 56451]]

Maui:
    Lower...........................................          39          35          35          36       24.66
    Middle..........................................          56          59          62          59       40.41
    Upper...........................................          51          51          51          51       34.93
      Totals........................................  ..........  ..........  ..........         146      100.00
                                                     ===========================================================
Guam/CNMI:
    Lower...........................................       1,060         947         873         960       46.00
    Middle..........................................         681         669         640         663       31.77
    Upper...........................................         498         464         430         464       22.23
      Totals........................................  ..........  ..........  ..........       2,087      100.00
                                                     ===========================================================
Puerto Rico:
    Lower...........................................       2,428       2,370       2,281       2,360       40.42
    Middle..........................................       2,184       2,166       2,177       2,176       37.27
    Upper...........................................       1,321       1,303       1,286       1,303       22.32
      Totals........................................  ..........  ..........  ..........       5,839      100.01
                                                     ===========================================================
Virgin Islands:
    Lower...........................................         114          98         123         112       34.67
    Middle..........................................         128         133         137         133       41.18
    Upper...........................................          75          83          76          78       24.15
      Totals........................................  ..........  ..........  ..........         323      100.00
----------------------------------------------------------------------------------------------------------------


                                    Appendix 3--Consumer Expenditure Surveys
                             [Pre-published Data for All Consumer Units Nationwide*]
----------------------------------------------------------------------------------------------------------------
                                                                     Total complete reporting
                                                 ---------------------------------------------------------------
                                                        1992            1994            1995          Average
----------------------------------------------------------------------------------------------------------------
Average Before Tax Income.......................       33,854.00       36,838.00       36,948.00       35,880.00
Average annual expenditures.....................       30,527.49       32,762.99       33,610.38       32,300.29
  Food..........................................        4,358.56        4,526.94        4,690.51        4,525.34
    Food at home................................        2,684.35        2,764.21        2,885.98        2,778.18
      Cereals and bakery products...............          418.15          439.36          454.64          437.38
        Cereals and cereal products.............          144.15          166.94          169.16          160.08
          Flour.................................            7.21            7.93            8.93            8.02
          Prepared flour mixes..................           13.62           13.20           13.29           13.37
          Ready-to-eat and cooked cereals.......           88.39          102.02           99.83           96.75
          Rice..................................           12.67           15.47           19.43           15.86
          Pasta, cornmeal and other cereal
           products.............................           22.27           28.32           27.68           26.09
        Bakery products.........................          274.00          272.42          285.49          277.30
          Bread.................................           77.58           77.20           78.18           77.65
            White bread.........................           38.04           38.02           38.37           38.14
            Bread, other than white.............           39.54           39.17           39.81           39.51
          Crackers and cookies..................           67.10           64.36           70.09           67.18
            Cookies.............................           40.75           43.78           46.76           43.76
            Crackers............................           26.34           20.58           23.33           23.42
          Frozen and refrigerated bakery
           products.............................           21.06           22.16           22.42           21.88
          Other bakery products.................          108.27          108.70          114.79          110.59
            Biscuits and rolls..................           35.55           37.26           39.48           37.43
            Cakes and cupcakes..................           31.67           31.12           36.15           32.98
            Bread and cracker products..........            4.70            4.68            4.45            4.61
            Sweetrolls, coffee cakes, doughnuts.           24.93           23.08           21.57           23.19
            Pies, tarts, turnovers..............           11.41           12.55           13.14           12.37
      Meats, poultry, fish, and eggs............          687.17          728.89          758.30          724.79
        Beef....................................          210.36          226.73          232.15          223.08
          Ground beef...........................           87.67           89.79           87.81           88.42
          Roast.................................           37.74           37.79           40.70           38.74
            Chuck roast.........................           13.48           12.10           12.54           12.71
            Round roast.........................           12.96           14.18           13.55           13.56
            Other roast.........................           11.30           11.51           14.62           12.48
          Steak.................................           69.00           85.81           87.57           80.79
            Round steak.........................           14.63           16.44           18.92           16.66
            Sirloin steak.......................           17.72           24.09           22.70           21.50
            Other steak.........................           36.65           45.28           45.95           42.63
          Other beef............................           15.95           13.34           16.06           15.12
        Pork....................................          155.56          154.66          157.51          155.91
          Bacon.................................           20.47           23.01           20.26           21.25

[[Page 56452]]

          Pork chops............................           34.88           37.47           39.03           37.13
          Ham...................................           42.73           36.74           38.51           39.33
            Ham, not canned.....................           38.98           33.91           36.23           36.37
            Canned ham..........................            3.75            2.84            2.28            2.96
          Sausage...............................           23.29           22.63           21.35           22.42
          Other pork............................           34.19           34.80           38.36           35.78
        Other meats.............................           94.58           94.34          105.31           98.08
          Frankfurters..........................           21.19           19.13           22.78           21.03
          Lunch meats (cold cuts)...............           63.56           65.67           71.55           66.93
            Bologna, liverwurst, salami.........           22.91           23.25           25.15           23.77
            Other lunch meats...................           40.65           42.41           46.40           43.15
          Lamb, organ meats and others..........            9.84            9.54           10.98           10.12
            Lamb and organ meats................            8.74            9.31            8.92            8.99
            Mutton, goat and game...............            1.10            0.24            2.06            1.13
        Poultry.................................          123.39          135.32          136.43          131.71
          Fresh and frozen chickens.............           91.28          107.49          105.79          101.52
            Fresh whole chicken.................           19.61              NA              NA              NA
            Fresh and frozen whole chicken......              NA           29.05           28.37           25.68
            Fresh and frozen chicken parts......           71.67           78.44           77.43           75.85
          Other poultry, incl. whole frozen
           chickens.............................           32.10              NA              NA              NA
          Other poultry.........................              NA           27.83           30.64           30.19
        Fish and seafood........................           74.99           87.13           95.34           85.82
          Canned fish and seafood...............           17.46           15.60           17.95           17.00
          Fresh and frozen shellfish............           21.36              NA              NA           21.36
          Fresh and frozen finfish..............           36.17              NA              NA           36.17
          Fresh fish and shellfish..............              NA           48.29           50.11           49.20
          Frozen fish and shellfish.............              NA           23.23           27.28           25.26
        Eggs....................................           28.30           30.72           31.55           30.19
      Dairy products............................          307.10          297.87          311.48          305.48
        Fresh milk and cream....................          136.59          131.98          129.41          132.66
          Whole milk............................           47.69              NA              NA              NA
          Other milk and cream..................           88.90              NA              NA              NA
          Fresh milk, all types.................              NA          123.44          119.84          121.64
          Cream.................................              NA            8.55            9.56            9.06
        Other dairy products....................          170.52          165.88          182.07          172.82
          Butter................................            9.71           11.78           13.03           11.51
          Cheese................................           87.72           84.78           93.13           88.54
          Ice cream and related products........           51.93           48.15           53.06           51.05
          Miscellaneous dairy products..........           21.16           21.17           22.85           21.73
      Fruits and vegetables.....................          435.20          446.10          467.45          449.58
        Fresh fruits............................          129.17          135.12          148.22          137.50
          Apples................................           26.64           25.34           29.98           27.32
          Bananas...............................           26.48           30.25           31.09           29.27
          Oranges...............................           13.23           16.05           16.21           15.16
          Other fresh fruits....................           62.82           63.49           70.94           65.75
        Fresh vegetables........................          127.84          138.99          140.83          135.89
          Potatoes..............................           24.56           28.24           28.75           27.18
          Lettuce...............................           16.33           17.65           18.31           17.43
          Tomatoes..............................           19.85           21.59           21.89           21.11
          Other fresh vegetables................           67.10           71.52           71.89           70.17
        Processed fruits........................          102.67           95.31           96.98           98.32
          Frozen fruits and fruit juices........           21.35           16.38           17.35           18.36
            Frozen orange juice.................           13.34            9.57            9.19           10.70
            Other frozen fruits and juices......            8.01            6.81            8.15            7.66
          Canned and dried fruits...............           23.48           21.11           20.11           21.57
          Fresh, canned or bottled fruit juices.           57.83           57.83           59.52           58.39
        Processed vegetables....................           75.53           76.68           81.42           77.88
          Frozen vegetables.....................           25.46           24.78           29.55           26.60
          Canned and dried vegetables and juices           50.07           51.90           51.88           51.28
            Canned beans........................           10.09           10.61           11.26           10.65
            Canned corn.........................            7.40            6.99            6.80            7.06
            Other canned and dried veg. and
             juices.............................           32.59           34.30           33.80           33.56
      Other food at home........................          836.73          851.99          894.10          860.94
        Sugar and other sweets..................          106.24          110.67          119.49          112.13
          Candy and chewing gum.................           62.86           66.52           73.02           67.47
          Sugar.................................           18.12           18.30           17.88           18.10
          Artificial sweeteners.................            3.24            3.57            4.56            3.79
          Jams, preserves, other sweets.........           22.02           22.28           24.02           22.77
        Fats and oils...........................           73.79           80.76           83.63           79.39

[[Page 56453]]

          Margarine.............................           14.56           14.68           13.13           14.12
          Other fats, oils, and salad dressing..           40.94           47.48           51.88           46.77
          Nondairy cream and imitation milk.....            6.75            6.71            6.96            6.81
          Peanut butter.........................           11.53           11.89           11.66           11.69
        Miscellaneous foods.....................          393.26          369.77          394.39          385.81
          Frozen prepared foods.................           73.99           65.79           69.94           69.91
            Frozen meals........................           22.99           20.54           21.71           21.75
            Other frozen prepared foods.........           51.01           45.25           48.22           48.16
          Canned and packaged soups.............           25.44           30.21           31.92           29.19
          Potato chips, nuts, and other snacks..           78.63           75.91           84.32           79.62
            Potato chips and other snacks.......           62.34           59.81           65.63           62.59
            Nuts................................           16.29           16.10           18.69           17.03
          Condiments and seasonings.............           90.44           82.47           89.18           87.36
            Salt, spices, other seasonings......           20.79           19.68           20.55           20.34
            Olives, pickles, relishes...........           10.82           10.76           10.13           10.57
            Sauces and gravies..................           43.55           38.05           41.78           41.13
            Baking needs and misc. products.....           15.29           13.98           16.71           15.33
          Other canned and packaged prepared
           foods................................          124.75          115.39          119.03          119.72
            Salads and desserts.................           20.42           19.30           23.19           20.97
            Baby food...........................           24.11           27.68           25.42           25.74
            Miscellaneous prepared foods........           80.22           68.41           70.42           73.02
        Nonalcoholic beverages..................          219.33          241.81          250.31          237.15
          Cola..................................           86.71           93.27           94.76           91.58
          Other carbonated drinks...............           40.41           40.20           43.28           41.30
          Coffee................................           40.13           43.29           47.76           43.73
            Roasted coffee......................           24.56           29.20           32.11           28.62
            Instant and freeze dried coffee.....           15.57           14.09           15.65           15.10
          Noncarbonated fruit flavored drinks...           20.15              NA              NA              NA
          Noncarbonated fruit flavored drinks,
           inc. non-frozen lemonade.............              NA           23.02           25.18           22.78
          Tea...................................           14.26           16.75           16.01           15.67
           Nonalcoholic beer....................              NA            0.76            1.17            0.97
          Other nonalcoholic beverages..........           17.68           24.52           22.13           21.44
        Food prepared by consumer unit on out-of-
         town trips.............................           44.12           48.98           46.29           46.46
    Food away from home.........................        1,674.21        1,762.72        1,804.53        1,747.15
      Meals at restaurants, carry-outs and other        1,344.40        1,363.26        1,426.22        1,377.96
        Lunch...................................          476.89          475.88          499.50          484.09
        Dinner..................................          619.67          668.88          691.44          660.00
        Snacks and nonalcoholic beverages.......          141.35          110.46          126.30          126.04
        Breakfast and brunch....................          106.49          108.05          108.98          107.84
      Board (including at school)...............           46.92           50.40           58.40           51.91
      Catered affairs...........................           40.77           55.38           37.05           44.40
      Food on out-of-town trips.................          167.14          213.45          204.85          195.15
      School lunches............................           47.40           54.93           49.47           50.60
      Meals as pay..............................           27.58           25.30           28.53           27.14
  Alcoholic beverages...........................          321.12          296.57          301.83          306.51
    At home.....................................          177.01          175.40          179.33          177.25
      Beer and ale..............................           99.54          108.74           94.20          100.83
      Whiskey...................................           14.23           14.25           12.83           13.77
      Wine......................................           43.11           36.06           54.77           44.65
      Other alcoholic beverages.................           20.13           16.36           17.53           18.01
    Away from home..............................          144.11          121.17          122.51          129.26
      Beer and ale..............................           48.77           42.50           36.61           42.63
      Wine......................................           22.95           16.74           22.55           20.75
      Other alcoholic beverages.................           47.06           30.22           33.33           36.87
      Alcoholic beverages purchased on trips....           25.34           31.71           30.02           29.02
  Housing.......................................        9,528.41       10,189.41       10,576.98       10,098.27
    Shelter.....................................        5,431.78        5,695.83        5,912.61        5,680.07
      Owned dwellings...........................        3,307.24        3,464.04        3,750.08        3,507.12
        Mortgage interest and charges...........        1,984.40        1,925.26        2,120.77        2,010.14
          Mortgage interest.....................        1,856.78        1,825.30        1,997.99        1,893.36
          Interest paid, home equity loan.......           63.99           44.67           56.26           54.97
          Interest paid, home equity line of
           credit...............................           63.32           54.73           66.06           61.37
          Prepayment penalty charges............            0.31            0.56            0.46            0.44
        Property taxes..........................          760.97          879.41          909.28          849.89
        Maintenance, repairs, insurance, other
         expenses...............................          561.86          659.37          720.02          647.08
          Homeowners and related insurance......          176.37          209.07          224.86          203.43
            Fire and extended coverage..........            5.02            6.34            7.31            6.22
            Homeowners insurance................          171.35          202.73          217.55          197.21
          Ground rent...........................           33.40           40.26           33.61           35.76

[[Page 56454]]

          Maintenance and repair services.......          268.09          312.65          366.16          315.63
            Painting and papering...............           37.27           43.27           38.26           39.60
            Plumbing and water heating..........           34.02           36.45           32.01           34.16
            Heat, a/c, electrical work..........           53.14           55.08           75.83           61.35
            Roofing and gutters.................           40.98           48.91           66.13           52.01
            Other repair and maintenance
             services (old).....................           91.16              NA              NA              NA
            Other repair and maintenance
             services...........................              NA          112.39          136.51          113.35
            Repair and replacement of hard
             surface flooring...................           10.16           14.76           15.56           13.49
            Repair of built-in appliances.......            1.36            1.78            1.86            1.67
          Maintenance and repair commodities....           63.89           75.59           70.72           70.07
            Paints, wallpaper and supplies......           16.50           18.95           19.73           18.39
            Tools and equipment for painting and
             wallpapering.......................            1.77            2.04            2.12            1.98
            Plumbing supplies and equipment.....            5.96            8.57            7.42            7.32
            Electrical supplies, heating and
             cooling equipment..................            7.13            5.86            4.97            5.99
            Materials for hard surface flooring,
             repair/replacement.................            3.13            5.08            3.33            3.85
            Materials and equipment for roof and
             gutters............................            6.20            5.94            4.96            5.70
            Materials for plaster, paneling,
             siding, doors, etc.................            7.29           12.78           10.72           10.26
            Materials for patio, walk, fence,
             driveway, etc......................            0.67            0.52            0.59            0.59
            Materials for landscaping
             maintenance........................            1.15            1.48            1.66            1.43
            Miscellaneous supplies and equipment           14.08           14.37           15.22           14.56
              Material for insulation, other
               maint., and repair...............            7.84           10.19           11.05            9.69
              Materials to finish basements,
               remodeling, etc..................            6.24            4.18            4.17            4.86
          Property management and security......           20.12           21.59           24.67           22.13
            Property management.................           13.24           12.78           18.44           14.82
            Management and upkeep services for
             security...........................            6.88            8.81            6.22            7.30
          Parking...............................              NA            0.21            0.00            0.11
      Rented dwellings..........................        1,787.19        1,828.52        1,786.70        1,800.80
        Rent....................................        1,714.30        1,755.05        1,716.57        1,728.64
        Rent as pay.............................           37.09           42.31           48.19           42.53
        Maintenance, insurance and other
         expenses...............................           35.80           31.16           21.94           29.63
          Tenant's insurance....................            9.16            9.65            7.50            8.77
          Maintenance and repair services.......           11.88           11.56            5.29            9.58
            Repair or maintenance services (old)           11.52              NA              NA              NA
            Repair or maintenance services......              NA           10.37            4.97            8.95
            Repair and replacement of hard
             surface flooring...................            0.29            1.05            0.25            0.53
            Repair of built-in appliances.......            0.07            0.13            0.07            0.09
          Maintenance and repair commodities....           14.76            9.95            9.15           11.29
            Paint, wallpaper, and supplies......            1.70            2.09            1.62            1.80
            Tools and equipment for painting and
             wallpapering.......................            0.18            0.22            0.17            0.19
            Materials for plastering, panels,
             roofing, gutters, etc..............            2.86            1.23            0.87            1.65
            Materials for patio, walk, fence,
             driveway, etc......................            0.04            0.09            0.04            0.06
            Plumbing supplies and equipment.....            0.55            0.70            1.35            0.87
            Electrical supplies, heating and
             cooling equipment..................            0.26            1.36            0.37            0.66
            Miscellaneous supplies and equipment            7.71            3.41            4.00            5.04
              Material for insulation, other
               maintenance and repair...........            1.51            1.13            1.51            1.38
              Termite and pest control (capital
               improvement).....................              NA              NA            0.00            0.00
              Materials for additions, finishing
               basements, etc...................            5.90            1.67            2.44            3.34
              Construction materials for jobs
               not started......................            0.30            0.61            0.04            0.32
            Material for hard surface flooring..            0.90            0.54            0.27            0.57
            Material for landscape maintenance..            0.55            0.31            0.47            0.44
      Other lodging.............................          337.35          403.28          375.83          372.15
        Owned vacation homes....................          115.29          122.14          110.00          115.81
          Mortgage interest and charges.........           54.55           43.30           38.31           45.39
            Mortgage interest...................           50.60           39.56           36.36           42.17
            Interest paid, home equity loan.....            1.06            0.43            0.15            0.55
            Interest paid, home equity line of
             credit.............................            2.88            3.31            1.80            2.66
            Prepayment penalty charge...........              NA              NA              NA              NA
          Property taxes........................           42.04           51.02           48.11           47.06
          Maintenance, insurance, and other
           expenses.............................           18.70           27.82           23.58           23.37
            Homeowners and related insurance....            4.10            7.66            5.66            5.81
              Homeowners insurance..............            3.86            7.35            5.53            5.58
              Fire and extended coverage........            0.24            0.31            0.14            0.23
            Ground rent.........................            1.75            3.62            2.15            2.51
            Maintenance and repair services.....            7.53           11.87           11.13           10.18
              Repair and remodeling services
               (old)............................            7.39              NA              NA              NA
              Repair and remodeling services....              NA           11.40           11.07            9.95
              Repair and replacement of hard
               surface flooring.................            0.15            0.47            0.06            0.23
            Maintenance and repair commodities..            1.97            1.35            2.35            1.89
              Paints, wallpaper, supplies.......            1.31            0.16            0.58            0.68

[[Page 56455]]

              Tools and equipment for painting
               and wallpapering.................            0.14            0.02            0.06            0.07
              Materials for plaster., panel.,
               roof., gutters, etc..............            0.07            0.10            0.51            0.23
              Material for patio, walk, fence,
               drive, masonry, etc..............            0.01              NA              NA            0.01
              Plumbing supplies and equipment...            0.32            0.05            0.07            0.15
              Electrical supplies, heating and
               cooling equipment................            0.03              NA              NA            0.03
              Miscellaneous supplies and
               equipment........................            0.09            0.99            0.29            0.46
                Material for insulation, other
                 maintenance and repair.........            0.09            0.99            0.29            0.46
                Material for finishing basements
                 & remodeling rooms.............              NA              NA              NA            0.00
              Materials for hard surface
               flooring.........................              NA            0.03            0.84            0.44
              Materials for landscaping
               maintenance......................              NA              NA              NA            0.00
            Property management and security....            3.35            3.27            2.28            2.97
              Property management...............            2.25            2.36            1.51            2.04
              Management and upkeep services for
               security.........................            1.10            0.91            0.77            0.93
            Parking.............................              NA            0.06              NA            0.06
        Housing while attending school..........           54.71           59.54           56.69           56.98
        Lodging on out-of-town trips............          167.34          221.60          209.14          199.36
    Utilities, fuels, and public services.......        1,962.49        2,170.32        2,180.19        2,104.33
      Natural gas...............................          246.97          280.09          268.59          265.22
        Utility--natural gas (renter)...........           55.98           60.54           60.43           58.98
        Utility--natural gas (owned home).......          189.86          216.97          206.77          204.53
        Utility--natural gas (owned vacation)...            1.07            2.53            1.25            1.62
        Utility--natural gas (rented vacation)..            0.06            0.05            0.14            0.08
      Electricity...............................          770.65          846.21          854.21          823.69
        Electricity (renter)....................          201.59          207.80          201.80          203.73
        Electricity (owned home)................          562.26          630.39          643.72          612.12
        Electricity (owned vacation)............            6.59            7.36            7.78            7.24
        Electricity (rented vacation)...........            0.20            0.65            0.92            0.59
      Fuel oil and other fuels..................           93.93           98.11           85.56           92.53
        Fuel oil................................           55.61           59.27           48.19           54.36
          Fuel oil (renter).....................            7.00            6.49            3.92            5.80
          Fuel oil (owned home).................           48.25           52.38           43.76           48.13
          Fuel oil (owned vacation).............            0.36            0.40            0.47            0.41
          Fuel oil (rented vacation)............              NA              NA            0.04            0.04
        Coal....................................            2.50            1.66            2.47            2.21
          Coal (renter).........................            0.05            0.55            0.10            0.23
          Coal (owned home).....................            2.44            1.12            2.37            1.98
          Coal (owned vacation).................            0.02              NA              NA            0.02
          Coal (rented vacation)................              NA              NA              NA            0.00
        Bottled gas.............................           27.18           30.68           28.71           28.86
          Gas, btld/tank (renter)...............            4.79            4.19            4.12            4.37
          Gas, btld/tank (owned home)...........           20.75           23.43           21.80           21.99
          Gas, btld/tank (owned vacation).......            1.64            3.03            2.78            2.48
          Gas, btld/tank (rented vacation)......              NA            0.04            0.02            0.03
        Wood and other fuels....................            8.64            6.49            6.19            7.11
          Wood/other fuels (renter).............            1.59            0.61            0.80            1.00
          Wood/other fuels (owned home).........            6.71            5.81            5.36            5.96
          Wood/other fuels (owned vacation).....            0.34            0.06            0.04            0.15
          Wood/other fuels (rented vacation)....              NA              NA              NA            0.00
      Telephone services........................          619.87          688.52          709.69          672.69
        Telephone (old).........................            0.00              NA              NA              NA
        Telephone services in home city,
         excluding car phones...................          619.87          674.31          683.24          659.14
        Telephone services for mobile car phones              NA           14.21           26.45           20.33
      Water and other public services...........          231.08          257.41          262.14          250.21
        Water and sewerage maintenance..........          160.22          182.67          188.59          177.16
          Water/sewer maint. (renter)...........           24.38           26.75           26.25           25.79
          Water/sewer maint. (owned home).......          133.69          154.37          160.72          149.59
          Water/sewer maint. (owned vacation)...            2.10            1.50            1.47            1.69
          Water/sewer maint. (rented vacation)..            0.05            0.04            0.16            0.08
        Trash and garbage collection............           69.38           73.48           71.56           71.47
          Trash/garb. coll. (renter)............            7.37            9.37            8.40            8.38
          Trash/garb. coll. (owned home)........           59.92           62.61           62.16           61.56
          Trash/garb. coll. (owned vacation)....            2.09            1.45            0.96            1.50
          Trash/garb. coll. (rented vacation)...            0.01            0.04            0.05            0.03
        Septic tank cleaning....................            1.47            1.26            1.99            1.57
          Septic tank clean. (renter)...........            0.11            0.01            0.02            0.05
          Septic tank clean. (owned home).......            1.29            1.23            1.88            1.47
          Septic tank clean. (owned vacation)...            0.07              NA            0.08            0.08
          Septic tank clean. (rented vacation)..              NA            0.01              NA            0.01
    Household operations........................          487.20          499.86          517.87          501.64

[[Page 56456]]

      Personal services.........................          253.05          240.70          263.71          252.49
        Babysitting.............................           85.92           81.17           78.64           81.91
        Care for elderly, invalids, handicapped,
         etc....................................           43.92           19.24           32.74           31.97
        Day-care centers, nursery, and
         preschools.............................          123.21          140.29          152.33          138.61
      Other household expenses..................          234.15          259.16          254.16          249.16
        Housekeeping services...................           71.70           82.83           86.51           80.35
        Gardening, lawn care service............           64.99           69.73           63.82           66.18
        Water softening service.................            3.28            2.65            3.12            3.02
        Household laundry, dry cleaning, sent
         out (nonclothing)......................            2.32            1.79            1.78            1.96
        Coin-operated laundry and dry cleaning
         (nonclothing)..........................            5.58            5.40            4.72            5.23
        Services for termite/pest control
         maintenance............................              NA            7.46           12.01            9.73
        Other home services.....................           18.38           20.11           16.38           18.29
        Termite/pest control products...........            0.29            0.29            0.13            0.24
        Moving, storage, freight express........           24.37           27.54           27.59           26.50
        Appliance repair, including service
         center.................................           15.88           15.24           15.45           15.52
        Reupholstering, furniture repair........           18.56           11.03           11.54           13.71
        Repair/rental of lawn/garden equipment,
         tools, etc.............................            3.74            9.20            5.85            6.26
        Appliance rental........................            1.86            1.55            1.76            1.72
        Rental of office equipment for
         nonbusiness use........................            0.13            0.31            0.35            0.26
        Repair of misc. household equipment and
         furnishings............................            1.89            2.46            1.98            2.11
        Repair of computer systems for
         nonbusiness use........................            1.19            1.57            1.18            1.31
        Rental/installation of dishwashers,
         range hoods, etc.......................              NA              NA              NA            0.00
    Housekeeping supplies.......................          462.61          424.30          465.39          450.77
      Laundry and cleaning supplies.............          123.97          117.94          117.93          119.95
        Soaps and detergents....................           70.41           66.49           66.92           67.94
        Other laundry cleaning products.........           53.56           51.45           51.00           52.00
      Other household products..................          211.79          187.75          207.85          202.46
        Cleansing and toilet tissue, paper
         towels and napkins.....................           60.52           60.17           65.62           62.10
        Miscellaneous household products........           94.75           80.66           74.41           83.27
        Lawn and garden supplies................           56.52           46.92           67.82           57.09
      Postage and stationery....................          126.85          118.61          139.62          128.36
        Stationery, stationery supplies,
         giftwraps..............................           62.59           62.86           68.49           64.65
        Postage.................................           64.26           55.74           71.12           63.71
    Household furnishings and equipment.........        1,184.33        1,399.10        1,500.92        1,361.45
      Household textiles........................           94.56          106.15          107.85          102.85
        Bathroom linens.........................           15.62           13.89           17.82           15.78
        Bedroom linens..........................           43.17           52.67           47.70           47.85
        Kitchen and dining room linens..........            7.84            7.27            9.73            8.28
        Curtains and draperies..................           19.11           19.08           18.51           18.90
        Slipcovers, decorative pillows..........            1.42            2.08            1.38            1.63
        Sewing material for slipcovers,
         curtains, etc..........................            6.54           10.11           11.54            9.40
        Other linens............................            0.86            1.04            1.18            1.03
      Furniture.................................          316.15          323.70          320.03          319.96
        Mattress and springs....................           38.97           44.00           41.99           41.65
        Other bedroom furniture.................           57.57           53.64           52.39           54.53
        Sofas...................................           70.67           76.89           69.70           72.42
        Living room chairs......................           30.70           34.47           35.69           33.62
        Living room tables......................           17.63           14.27           17.12           16.34
        Kitchen, dining room furniture..........           42.37           49.61           48.99           46.99
        Infants' furniture......................            6.74            6.04            6.46            6.41
        Outdoor furniture.......................           11.02           12.29           10.46           11.26
        Occasional furniture....................           40.48           32.50           37.23           36.74
      Floor coverings...........................           61.08          131.65          211.89          134.87
        Wall-to-wall carpeting (renter).........            2.57            2.50            4.40            3.16
          Wall-to-wall carpet, installed
           (renter).............................            2.05            2.12            3.79            2.65
          Wall-to-wall carpet, not installed
           carpet squares (renter)..............            0.52            0.38            0.61            0.50
        Wall-to-wall carpet (replacement) (owned
         home)..................................           29.06           34.44           33.43           32.31
          Wall-to-wall carpet, not installed,
           carpet squares (owner)...............            1.89            1.81            2.20            1.97
          Wall-to-wall carpet, installed
           (replacement) (owner)................           27.17           32.63           31.24           30.35
        Room size rugs and other floor covering,
         nonpermanent...........................           29.45           94.72          174.05           99.41
      Major appliances..........................          144.89          152.32          155.56          150.92
        Dishwashers (built-in), garbage
         disposals, etc. (renter)...............            0.16            0.75            1.00            0.64
        Dishwashers (built-in), garbage
         disposals, etc. (owner)................            7.21           10.97            9.72            9.30
        Refrigerators, freezers (renter)........            8.38            6.90            6.34            7.21
        Refrigerators, freezers (owned home)....           33.30           38.91           41.01           37.74
        Washing machines (renter)...............            6.28            6.05            4.51            5.61
        Washing machines (owned home)...........           15.85           14.39           15.37           15.20
        Clothes dryers (renter).................            3.35            4.04            2.99            3.46
        Clothes dryers (owned home).............            9.78            9.31           11.07           10.05

[[Page 56457]]

        Cooking stoves, ovens (renter)..........            3.11            2.42            2.79            2.77
        Cooking stoves, ovens (owned home)......           14.81           22.97           18.73           18.84
        Microwave ovens (renter)................            3.09            3.35            3.29            3.24
        Microwave ovens (owned home)............            4.74            6.48            5.74            5.65
        Portable dishwasher (renter)............            0.11            0.08            0.21            0.13
        Portable dishwasher (owned home)........            1.15            0.49            0.64            0.76
        Window air conditioners (renter)........            1.18            2.83            3.08            2.36
        Window air conditioners (owned home)....            3.31            3.93            9.56            5.60
        Electric floor cleaning equipment.......           13.63           13.92           13.86           13.80
        Sewing machines.........................            5.15            2.92            4.88            4.32
        Miscellaneous household appliances......           10.29            1.61            0.75            4.22
      Small appliances, miscellaneous housewares           86.46           85.73           90.94           87.71
        Housewares..............................           62.47           60.60           67.05           63.37
          Plastic dinnerware....................            1.61            1.60            1.69            1.63
          China and other dinnerware............           11.60           11.63           12.23           11.82
          Flatware..............................            3.97            5.16            4.46            4.53
          Glassware.............................           13.59            8.14            7.26            9.66
          Silver serving pieces.................            1.35            1.31            2.20            1.62
          Other serving pieces..................            1.59            1.63            1.26            1.49
          Nonelectric cookware..................           11.66           15.22           16.70           14.53
          Tableware, nonelectric kitchenware....           17.08           15.92           21.25           18.08
        Small appliances........................           23.99           25.13           23.90           24.34
          Small electric kitchen appliances.....           18.75           18.19           16.55           17.83
          Portable heating and cooling equipment            5.23            6.94            7.34            6.50
      Miscellaneous household equipment.........          481.19          599.55          614.64          565.13
        Window coverings........................           17.37           14.48           11.21           14.35
        Infants' equipment......................            5.52            7.46            8.08            7.02
        Laundry and cleaning equip..............           10.99           11.25           12.49           11.58
        Outdoor equipment.......................            4.83            5.48            4.61            4.97
        Clocks..................................            3.38            5.32            3.28            3.99
        Lamps and lighting fixtures.............           26.10           36.98           33.94           32.34
        Other household decorative items........          111.16          119.06          158.39          129.54
        Telephones and accessories..............           20.55           38.10           16.02           24.89
        Lawn and garden equipment...............           43.15           53.17           44.68           47.00
        Power tools.............................           16.15           13.51           16.39           15.35
        Small miscellaneous furnishings.........            1.15            1.88            2.64            1.89
        Hand tools..............................           14.07            9.88           11.98           11.98
        Indoor plants, fresh flowers............           53.49           52.70           49.20           51.80
        Closet and storage items................           12.21            8.33            8.09            9.54
        Rental of furniture.....................            3.67            4.53            3.62            3.94
        Luggage.................................            7.04            8.00           10.25            8.43
        Computers and computer hardware
         nonbusiness use........................           63.66          115.01          145.69          108.12
        Computer software/accessories for
         nonbusiness use........................            9.48           20.05           19.51           16.35
        Telephone answering devices.............            4.64            3.95            3.74            4.11
        Calculators.............................            1.57            2.35            2.10            2.01
        Business equipment for home use.........            4.23            4.75            4.63            4.54
        Other hardware..........................           13.74           25.27           16.69           18.57
        Smoke alarms (owned home)...............            0.47            0.86            1.32            0.88
        Smoke alarms (renter)...................            0.06            0.15            0.18            0.13
        Smoke alarms (owned vacation)...........              NA              NA              NA            0.00
        Other household appliances (owned home).            4.40            6.69            4.94            5.34
        Other household appliances (renter).....            0.99            1.36            1.10            1.15
        Miscellaneous household equipment and
         parts..................................           27.08           28.95           19.90           25.31
  Apparel and services..........................        1,732.90        1,688.22        1,770.53        1,730.55
    Men and boys................................          436.86          418.74          437.23          430.94
      Men, 16 and over..........................          353.05          320.76          339.22          337.68
        Men's suits.............................           43.98           32.42           33.44           36.61
        Men's sportcoats, tailored jackets......           12.04           13.87           13.43           13.11
        Men's coats and jackets.................           26.12           29.56           31.87           29.18
        Men's underwear.........................           14.13           12.90           19.04           15.36
        Men's hosiery...........................           13.73           10.30           14.66           12.90
        Men's nightwear.........................            5.84            2.73            3.93            4.17
        Men's accessories.......................           33.64           29.43           32.09           31.72
        Men's sweaters and vests................           13.11           14.23           12.51           13.28
        Men's active sportswear.................           11.96           11.96           10.37           11.43
        Men's shirts............................           87.25           79.19           78.33           81.59
        Men's pants.............................           70.18           62.55           65.60           66.11
        Men's shorts, shorts sets...............           16.40           15.91           18.79           17.03
        Men's uniforms..........................            3.70            3.35            4.01            3.69

[[Page 56458]]

        Men's costumes..........................            0.98            2.34            1.14            1.49
      Boys, 2 to 15.............................           83.82           97.98           98.01           93.27
        Boys' coats and jackets.................            5.73            6.61           11.14            7.83
        Boys' sweaters..........................            2.70            2.76            1.94            2.47
        Boys' shirts............................           19.50           21.53           21.66           20.90
        Boys' underwear.........................            4.89            4.57            5.52            4.99
        Boys' nightwear.........................            2.83            2.13            0.81            1.92
        Boys' hosiery...........................            4.26            3.75            4.69            4.23
        Boys' accessories.......................            5.19            7.57            5.72            6.16
        Boys' suits, sportcoats, vests..........            2.13            6.10            3.30            3.84
        Boys' pants.............................           19.41           21.77           23.82           21.67
        Boys' shorts, shorts sets...............            9.03           12.15           12.16           11.11
        Boys' uniforms, active sportswear.......            7.30            7.76            6.45            7.17
        Boys' costumes..........................            0.85            1.30            0.81            0.99
    Women and girls.............................          703.40          653.73          694.23          683.79
      Women, 16 and over........................          607.23          552.35          591.01          583.53
        Women's coats and jackets...............           58.80           49.54           45.93           51.42
        Women's dresses.........................           89.96           81.37           93.51           88.28
        Women's sportcoats, tailored jackets....            3.90            4.15            4.49            4.18
        Women's vests and sweaters..............           40.43           32.73           31.47           34.88
        Women's shirts, tops, blouses...........          106.20           96.49          106.16          102.95
        Women's skirts..........................           21.52           19.13           22.83           21.16
        Women's pants...........................           79.18           58.46           72.07           69.90
        Women's shorts, shorts sets.............           23.33           23.01           25.21           23.85
        Women's active sportswear...............           32.91           24.30           29.46           28.89
        Women's sleepwear.......................           25.33           24.72           22.66           24.24
        Women's undergarments...................           33.13           24.46           31.17           29.59
        Women's hosiery.........................           25.01           25.02           21.93           23.99
        Women's suits...........................           30.71           37.27           33.78           33.92
        Women's accessories.....................           33.98           49.54           46.86           43.46
        Women's uniforms........................            1.82            0.42            2.00            1.41
        Women's costumes........................            1.01            1.73            1.48            1.41
      Girls, 2 to 15............................           96.17          101.38          103.22          100.26
        Girls' coats and jackets................            7.65            7.23            6.84            7.24
        Girls' dresses, suits...................           13.23           13.99           13.73           13.65
        Girls' shirts, blouses, sweaters........           22.42           25.48           20.64           22.85
        Girls' skirts and pants.................           14.87           16.06           17.94           16.29
        Girls' shorts, shorts sets..............            9.83            9.07            9.98            9.63
        Girls' active sportswear................            8.41            6.56           12.65            9.21
        Girls' underwear and sleepwear..........            6.26            7.49            7.67            7.14
        Girls' hosiery..........................            5.05            5.82            4.87            5.25
        Girls' accessories......................            4.50            4.55            4.61            4.55
        Girls' uniforms.........................            1.86            2.15            1.94            1.98
        Girls' costumes.........................            2.08            2.98            2.35            2.47
    Children under 2............................           80.39           83.32           83.72           82.48
      Infant coat, jacket, snowsuit.............            3.25            2.69            3.30            3.08
      Infant dresses, outerwear.................           20.75           22.30           23.32           22.12
      Infant underwear..........................           46.85           49.15           48.46           48.15
      Infant nightwear, loungewear..............            4.26            3.94            3.78            3.99
      Infant accessories........................            5.28            5.23            4.86            5.12
      Infant hosiery............................              NA              NA              NA            0.00
    Footwear....................................          243.05          258.43          287.27          262.92
      Men's footwear............................           73.53           84.05          103.76           87.11
      Boys' footwear............................           31.65           34.18           28.94           31.59
      Women's footwear..........................          115.47          113.26          121.72          116.82
      Girls' footwear...........................           22.41           26.94           32.85           27.40
    Other apparel products and services.........          269.19          274.00          268.09          270.43
      Material for making clothes...............            8.58            7.24            5.46            7.09
      Sewing patterns and notions...............            2.56            2.57            2.13            2.42
      Watches...................................           20.47           24.45           20.37           21.76
      Jewelry...................................          108.73          108.96          109.19          108.96
      Shoe repair and other shoe service........            3.47            3.16            2.88            3.17
      Coin-operated apparel laundry and dry
       cleaning.................................           38.61           37.33           40.94           38.96
      Apparel alteration and repair.............            6.02            6.90            5.90            6.27
      Clothing rental...........................            3.56            3.75            3.46            3.59
      Watch and jewelry repair..................            5.54            5.99            5.41            5.65
      Apparel laundry and dry cleaning not coin
       operated.................................           70.94           73.18           71.82           71.98
      Clothing storage..........................            0.71            0.47            0.52            0.57
  Transportation................................        5,232.14        6,075.53        6,123.07        5,810.25

[[Page 56459]]

    Vehicle purchases (net outlay)..............        2,167.03        2,703.01        2,677.81        2,515.95
      Cars and trucks, new......................        1,095.97        1,333.33        1,188.62        1,205.97
        New cars................................          749.56          727.70          688.75          722.00
        New trucks..............................          346.42          605.63          499.87          483.97
      Cars and trucks, used.....................        1,033.39        1,320.82        1,456.39        1,270.20
        Used cars...............................          737.98          866.68          963.07          855.91
        Used trucks.............................          295.42          454.14          493.32          414.29
      Other vehicles............................           37.66           48.85           32.80           39.77
        New motorcycles.........................           18.06           25.77           17.64           20.49
        New aircraft............................              NA              NA              NA            0.00
        Used motorcycles........................            9.04           23.09           15.16           15.76
        Used aircraft...........................           10.57              NA              NA           10.57
    Gasoline and motor oil......................          972.68          989.97        1,014.48          992.38
      Gasoline..................................          868.13          877.48          904.95          883.52
      Diesel fuel...............................            9.86            9.16           10.91            9.98
      Gasoline on out-of-town trips.............           82.43           90.64           86.11           86.39
      Gasohol...................................              NA            0.18              NA            0.18
      Motor oil.................................           11.44           11.60           11.64           11.56
      Motor oil on out-of-town trips............            0.83            0.92            0.87            0.87
    Other vehicle expenses......................        1,805.62        1,989.07        2,064.09        1,952.93
      Vehicle finance charges...................          258.96          238.49          267.24          254.90
        Automobile finance charges..............          169.13          139.82          154.84          154.60
        Truck finance charges...................           71.72           86.72           99.05           85.83
        Motorcycle and plane finance charges....            1.93            1.05            1.36            1.45
        Other vehicle finance charges...........           16.18           10.90           11.98           13.02
      Maintenance and repairs...................          627.51          700.79          675.26          667.85
        Coolant, additives, brake, transmission
         fluids.................................            6.77            6.32            5.79            6.29
        Tires - purchased, replaced, installed..           92.70           89.79           90.02           90.84
        Parts, equipment, and accessories.......           75.63          111.43           64.20           83.75
        Vehicle audio equipment, excluding labor              NA            5.45           10.74            8.10
        Vehicle products........................            3.14            5.28            3.89            4.59
        Misc. auto repair, servicing............           20.13           33.34           36.88           30.12
        Body work and painting..................           32.21           36.88           32.55           33.88
        Clutch, transmission repair.............           34.71           46.56           45.07           42.11
        Drive shaft and rear-end repair.........            7.96            5.94            6.61            6.84
        Brake work..............................           43.87           43.70           48.70           45.42
        Repair to steering or front-end.........           15.62           18.42           20.05           18.03
        Repair to engine cooling system.........           24.59           22.60           24.32           23.84
        Motor tune-up...........................           46.95           42.86           43.84           44.55
        Lube, oil change, and oil filters.......           35.54           39.86           44.30           39.90
        Front-end alignment, wheel balance......           12.40              NA              NA              NA
        Front-end alignment, wheel balance and
         rotation...............................              NA            9.78           11.19           11.12
        Shock absorber replacement..............            8.25            7.04            6.98            7.42
        Brake adjustment........................            5.13            3.89            3.18            4.07
        Gas tank repair, replacement............            1.60            2.52            1.73            1.95
        Repair tires and other repair work......           33.63           27.94           34.28           31.95
        Vehicle air conditioning repair.........              NA           14.87           15.01           14.94
        Exhaust system repair...................           18.29           20.56           20.98           19.94
        Electrical system repair................           28.19           31.39           30.57           30.05
        Motor repair, replacement...............           73.60           69.19           68.10           70.30
        Auto repair service policy..............            6.60            5.17            6.27            6.01
      Vehicle insurance.........................          638.83          698.00          726.03          687.62
      Vehicle rental, leases, licenses, other
       charges..................................          280.31          351.79          395.56          342.55
        Leased and rented vehicles..............          125.45          196.83          230.89          184.39
          Rented vehicles.......................           32.93           39.82           38.99           37.25
            Auto rental.........................            8.36            6.03            7.41            7.27
            Auto rental, out-of-town trips......           16.16           26.09           26.90           23.05
            Truck rental........................            2.71            1.68            1.13            1.84
            Truck rental, out-of-town trips.....            5.20            4.61            3.35            4.39
            Motorcycle rental...................              NA              NA              NA            0.00
            Aircraft rental.....................            0.24            0.16              NA            0.20
            Motorcycle rental, out-of-town trips            0.07            0.09            0.12            0.09
            Aircraft rental, out-of-town trips..            0.20            1.16            0.09            0.48
          Leased vehicles.......................           92.52          157.01          191.89          147.14
            Car lease payments..................           69.08          104.24          125.21           99.51
            Cash down payment (car lease).......            8.22            9.84           12.91           10.32
            Termination fee (car lease).........            0.14            0.44            0.28            0.29
            Truck lease payments................           12.47           38.15           51.07           33.90
            Cash down payment (truck lease).....            1.52            4.30            2.13            2.65

[[Page 56460]]

            Termination fee (truck lease).......            1.08            0.03            0.29            0.47
        State and local registration............           87.09           82.74           89.55           86.46
        Driver's license........................            7.41            7.34            7.34            7.36
        Vehicle inspection......................            9.03            8.78            9.52            9.11
        Parking fees............................           23.01           27.47           27.86           26.11
          Parking fees (old)....................            0.00              NA              NA            0.00
          Parking fees in home city, excluding
           residence............................           20.52           24.17           24.09           22.93
          Parking fees, out-of-town trips.......            2.49            3.30            3.77            3.19
        Tolls...................................           10.98           10.47           12.04           11.16
        Tolls on out-of-town trips..............            4.18            4.69            4.76            4.54
        Towing charges..........................            5.02            5.37            5.11            5.17
        Automobile service clubs................            8.14            8.10            8.49            8.24
    Public transportation.......................          286.82          393.48          366.69          349.00
      Airline fares.............................          173.89          253.06          234.86          220.60
      Intercity bus fares.......................           10.90           11.57           14.61           12.36
      Intracity mass transit fares..............           48.57           49.28           49.60           49.15
      Local trans. on out-of-town trips.........            8.74           10.19            9.25            9.39
      Taxi fares on trips.......................            5.14            5.99            5.43            5.52
      Taxi fares................................            6.46            8.23            7.61            7.43
      Intercity train fares.....................           17.38           17.13           19.01           17.84
      Ship fares................................           14.54           36.91           25.86           25.77
      School bus................................            1.21            1.12            0.47            0.93
  Health care...................................        1,653.66        1,768.03        1,746.75        1,722.81
    Health insurance............................          727.65          818.43          864.44          803.51
      Commercial health insurance...............          232.16          251.06          234.49          239.24
      Blue Cross, Blue Shield...................          173.35          159.34          170.15          167.61
      Health maintenance plans (HMO's)..........           90.57          127.97          150.70          123.08
      Medicare payments.........................          111.33          157.72          175.97          148.34
      Commercial medicare supplements...........          120.24          122.35          133.13          125.24
    Medical services............................          546.03          567.28          501.51          538.27
      Physician's services......................          170.75          159.89          140.03          156.89
      Dental services...........................          174.32          194.50          192.07          186.96
      Eyecare services..........................           29.20           29.81           29.82           29.61
      Service by professionals other than
       physician................................           32.66           32.95           38.29           34.63
      Lab tests, x-rays.........................           31.35           25.73           22.15           26.41
      Hospital room.............................           37.42           44.70           32.45           38.19
      Hospital service other than room..........           44.63           54.60           28.76           42.66
      Medical care in retirement community......              NA              NA              NA            0.00
      Care in convalescent or nursing home......           13.48           13.21            8.79           11.83
      Repair of medical equipment...............              NA              NA              NA            0.00
      Other medical care services...............           12.24           11.88            9.16           11.09
    Drugs.......................................          284.99          294.24          293.39          290.87
      Nonprescription drugs.....................           80.16           84.17           86.92           83.75
      Prescription drugs........................          204.83          210.08          206.47          207.13
    Medical supplies............................           94.98           88.07           87.41           90.15
      Eyeglasses and contact lenses.............           57.35           54.20           55.05           55.53
      Hearing aids..............................            7.13            0.94              NA            4.04
      Topicals and dressings....................           24.32           24.55           23.49           24.12
      Medical equipment for general use.........            2.25            2.41            2.90            2.52
      Supportive and convalescent medical
       equipment................................            2.85            3.82            4.61            3.76
      Rental of medical equipment...............            0.35            0.72            0.34            0.47
      Rental of supportive, convalescent medical
       equipment................................            0.74            1.43            1.02            1.06
  Entertainment.................................        1,525.52        1,619.28        1,687.41        1,610.74
    Fees and admissions.........................          375.11          451.13          447.26          424.50
      Recreation expenses, out-of-town trips....           15.32           22.00           22.61           19.98
      Social, recreation, civic club membership.           85.24           87.17           80.62           84.34
      Fees for participant sports...............           61.15           73.87           69.49           68.17
      Participant sports, out-of-town trips.....           21.17           27.40           27.94           25.50
      Movie, theater, opera, ballet.............           64.92           78.89           75.36           73.06
      Movie, other admissions, out-of-town trips           27.20           37.79           42.78           35.92
      Admission to sporting events..............           22.94           32.52           31.57           29.01
      Admission to sports events, out-of-town
       trips....................................            9.08           12.59           14.26           11.98
      Fees for recreational lessons.............           52.76           56.90           60.02           56.56
      Other entertainment services, out-of-town
       trips....................................           15.32           22.00           22.61           19.98
    Television, radios, sound equipment.........          493.86          545.23          560.84          533.31
      Televisions...............................          331.31          376.08          376.88          361.42
        Community antenna or cable tv...........          188.40          209.78          220.04          206.07
        Black and white tv......................            3.06            2.23            2.51            2.60
        Color tv - console......................           21.37           25.51           27.65           24.84

[[Page 56461]]

        Color tv - portable, table model........           41.51           54.63           47.71           47.95
        VCR's and video disc players............           31.41           32.98           29.11           31.17
        Video cassettes, tapes, and discs.......           18.88           22.55           25.44           22.29
        Video game hardware and software........           16.25           19.24           15.27           16.92
        Repair of tv, radio, and sound equipment            9.60            8.79            7.99            8.79
        Rental of televisions...................            0.81            0.36            1.16            0.78
      Radios, sound equipment...................          162.55          169.15          183.96          171.89
        Radios..................................           10.71            9.05           12.59           10.78
        Phonographs.............................            0.87              NA              NA            0.87
        Tape recorders and players..............            5.32            5.86           12.77            7.98
        Sound components and component systems..           35.56           31.51           33.69           33.59
        Miscellaneous sound equipment...........            1.68            1.51            0.64            1.28
        Sound equipment accessories.............            4.28            4.83            4.82            4.64
        Compact disc, tape, record and video
         mail order clubs.......................            8.97           13.11           13.35           11.81
        Records, CDS, audio tapes, needles......           31.01           37.80           40.00           36.27
        Rental of VCR, radio, and sound
         equipment..............................            0.79            0.35            0.28            0.47
        Musical instruments and accessories.....           20.45           17.62           20.47           19.51
        Rental and repair of musical instruments            2.11            2.06            1.86            2.01
        Rental of video cassettes, tapes, films,
         and discs..............................           40.79           45.45           43.48           43.24
    Pets, toys, and playground equipment........          281.46          305.98          348.78          312.07
      Pets......................................          167.12          177.55          223.00          189.22
        Pet food................................           84.94           82.75           86.92           84.87
        Pet purchase, supplies, medicine........           24.72           29.36           57.03           37.04
        Pet services............................           13.87           16.52           20.41           16.93
        Vet services............................           43.58           48.92           58.65           50.38
      Toys, games, hobbies, and tricycles.......          112.38          125.48          123.52          120.46
      Playground equipment......................            1.96            2.95            2.26            2.39
    Other entertainment supplies, equipment, and
     services...................................          375.10          316.93          330.53          340.85
      Unmotored recreational vehicles...........           33.20           29.18           30.46           30.95
        Boat without motor and boat trailers....           14.72            5.16            3.63            7.84
        Trailer and other attachable campers....           18.48           24.02           26.84           23.11
      Motorized recreational vehicles...........          142.45           81.72           77.55          100.57
        Motorized camper coaches and other
         vehicles...............................           77.70           43.13           36.43           52.42
        Purchase of boat with motor.............           64.75           38.58           41.12           48.15
      Rental of recreational vehicles...........            1.90            2.42            3.01            2.44
        Rental noncamper trailer................            0.05            0.13            0.14            0.11
        Boat and trailer rental, out-of-town
         trips..................................            0.47            0.74            1.24            0.82
        Rental of campers, etc. on out-of-town
         trips (old)............................              NA              NA              NA            0.00
        Rental of campers on out-of-town trips..            0.54            0.39            0.36            0.43
        Rental of other vehicles on out-of-town
         trips..................................            0.40            0.66            1.03            0.70
        Rental of boat..........................            0.05            0.10            0.01            0.05
        Rental of campers, other r.v.'s.........            0.39            0.40            0.24            0.34
      Outboard motors...........................            2.17            2.05            0.44            1.55
      Docking and landing fees..................            5.77            5.05            4.76            5.19
      Sports, recreation and exercise equipment.          102.67          115.10          115.57          111.11
        Athletic gear, game tables, and exercise
         equipment..............................           45.98           54.37           51.11           50.49
        Bicycles................................           16.46           14.10           13.23           14.60
        Camping equipment.......................            3.77            3.61            7.30            4.89
        Hunting and fishing equipment...........           16.92           20.58           17.87           18.46
        Winter sports equipment.................            3.19            4.99            3.73            3.97
        Water and miscellaneous sport equipment.           14.68           15.51           20.52           16.90
        Rental and repair of misc. sports
         equipment..............................            1.68            1.95            1.83            1.82
      Photographic equipment and supplies.......           81.66           74.17           87.03           80.95
        Film....................................           20.32           20.48           20.91           20.57
        Other photographic supplies.............            0.17            0.31            0.40            0.29
        Film processing.........................           27.09           28.34           29.72           28.38
        Repair and rental of photographic
         equipment..............................            0.39            0.33            0.30            0.34
        Photographic equipment..................           13.47           12.63           12.58           12.89
        Photographer fees.......................           20.23           12.09           23.10           18.47
      Fireworks.................................            0.63            0.76            2.69            1.36
      Souvenirs.................................            1.21            0.49            0.18            0.63
      Visual goods..............................            0.57            1.49            1.76            1.27
      Pinball, electronic video games...........            2.88            4.50            7.07            4.82
  Personal care products and services...........          408.21          414.76          429.80          417.59
    Personal care products......................          223.41          235.24          229.70          229.45
      Hair care products........................           42.44           49.23           42.18           44.62
      Nonelectric articles for the hair.........            5.35            7.26            4.70            5.77
      Wigs and hairpieces.......................            1.23            0.89            0.89            1.00
      Oral hygiene products, articles...........           28.07           25.52           23.92           25.84

[[Page 56462]]

      Shaving needs.............................            9.46           12.64           13.06           11.72
      Cosmetics, perfume, bath preparation......          103.29          106.82          112.96          107.69
      Deodorants, feminine hygiene, misc.
       personal care............................           28.78           28.40           28.04           28.41
      Electric personal care appliances.........            4.80            4.46            3.94            4.40
    Personal care services......................          184.80          179.53          200.11          188.15
      Personal care service for females.........           98.60           89.46          107.59           98.55
      Personal care service for males...........           86.08           89.94           92.24           89.42
      Repair of personal care appliances........            0.12            0.12            0.28            0.17
  Reading.......................................          165.57          171.39          170.42          169.13
    Newspapers..................................           70.60           70.94           71.14           70.89
    Magazines...................................           38.78           39.53           38.06           38.79
    Newsletters.................................            0.67            0.15            0.27            0.36
    Books thru book clubs.......................           10.56           11.44           10.29           10.76
    Books not thru book clubs...................           41.38           47.99           48.98           46.12
    Encyclopedia and other sets of reference
     books......................................            3.58            1.33            1.67            2.19
  Education.....................................          423.79          469.39          477.94          457.04
    College tuition.............................          237.86          275.33          271.57          261.59
    Elementary and high school tuition..........           69.99           65.45           76.52           70.65
    Other schools tuition.......................           16.39           15.34           14.55           15.43
    Other school expenses including rentals.....           18.40           19.50           17.94           18.61
    School books, supplies, equipment for
     college....................................           36.94           39.14           36.93           37.67
    School books, supplies, etc. for elementary
     high school................................            6.89            9.71            8.71            8.44
    School books, supplies, etc. for day care,
     nursery, other.............................            3.64            3.49            1.99            3.04
    School supplies, etc. - unspecified.........           33.67           41.43           49.73           41.61
  Tobacco products and smoking supplies.........          278.59          261.81          271.59          270.66
    Cigarettes..................................          256.67          238.23          244.94          246.61
    Other tobacco products......................           19.51           21.96           25.50           22.32
    Smoking accessories.........................            2.41            1.62            1.15            1.73
  Miscellaneous.................................          794.63          810.79          808.33          804.58
    Miscellaneous fees, pari-mutuel losses......           60.93           50.63           53.69           55.08
    Legal fees..................................           88.62          119.22           99.93          102.59
    Funeral expenses............................           51.73           91.97           86.77           76.82
    Safe deposit box rental.....................            5.88            5.79            5.47            5.71
    Checking accounts, other bank service
     charges....................................           26.45           27.69           27.35           27.16
    Cemetery lots, vaults, maintenance fees.....           16.64           19.45           14.55           16.88
    Accounting fees.............................           47.58           44.90           41.35           44.61
    Miscellaneous personal services.............           41.90           27.76           23.44           31.03
    Finance charges excluding mortgage and
     vehicle....................................          227.00          228.84          244.92          233.59
    Occupational expenses.......................          109.07           94.19          115.56          106.27
    Expenses for other properties...............          110.86           94.77           90.93           98.85
    Interest paid, home equity line of credit
     (other property)...........................            0.80            0.50            0.15            0.48
    Credit card memberships.....................            7.17            5.08            4.23            5.49
  Cash contributions............................        1,020.99        1,066.81        1,034.59        1,040.80
    Cash contributions to non-CU memb., incl.
     child sup., etc............................          240.72          292.68          256.97          263.46
    Gifts of cash, stocks and bonds to non-CU
     members....................................          249.31          228.78          198.88          225.66
    Contributions to charity....................          105.65          102.81           97.57          102.01
    Contributions to church.....................          378.37          404.30          428.54          403.74
    Contributions to educational organizations..           31.50           22.66           40.51           31.56
    Contributions to political organizations....            7.22            8.33            3.69            6.41
    Other contributions.........................            8.21            7.25            8.44            7.97
  Personal insurance and pensions...............        3,083.40        3,404.08        3,520.62        3,336.03
    Life and other personal insurance...........          354.24          413.43          382.39          383.35
      Life, endowment, annuity, other personal
       insurance................................          342.74          395.89          369.76          369.46
      Other nonhealth insurance.................           11.50           17.54           12.63           13.89
    Pensions and Social Security................        2,729.16        2,990.65        3,138.23        2,952.68
      Deductions for government retirement......           77.00           84.07           81.20           80.76
      Deductions for railroad retirement........            3.03            5.38            6.53            4.98
      Deductions for private pensions...........          264.82          324.08          399.84          329.58
      Non-payroll deposit to retirement plans...          337.62          331.09          352.23          340.31
      Deductions for Social Security............        2,046.70        2,246.03        2,298.44        2,197.06
----------------------------------------------------------------------------------------------------------------
*Data might not be statistically significant.
Source: Bureau of Labor Statistics


[[Page 56463]]


                                    Appendix 4--Consumer Expenditure Surveys
                             [Pre-published Data for All Consumer Units Nationwide*]
----------------------------------------------------------------------------------------------------------------
                                     $10,000 to   $15,000 to   $20,000 to   $30,000 to   $40,000 to  $50,000 and
                                      $14,999      $19,999      $29,999      $39,999      $49,999        over
----------------------------------------------------------------------------------------------------------------
Average income before taxes:
      1992........................   $12,437.00   $17,420.00   $24,560.00   $34,439.00   $44,442.00   $81,602.00
      1994........................    12,340.00    17,229.00    24,721.00    34,402.00    44,388.00    84,162.24
      1995........................    12,420.00    17,341.00    24,603.00    34,606.00    44,408.00    81,698.83
            Average...............    12,399.00    17,330.00    24,628.00    34,482.33    44,412.67    82,487.69
Goods and services:
      1992........................     6,735.63     8,878.05    10,200.76    12,021.89    15,600.83    20,967.26
      1994........................     6,989.07     8,346.77    10,014.51    12,274.85    14,404.18    21,193.80
      1995........................     7,340.81     8,788.33    10,287.78    12,679.10    14,447.22    21,289.89
            Average...............     7,021.84     8,671.05    10,167.68    12,325.28    14,817.41    21,150.32
    Food at home:
      1992........................     2,060.61     2,473.08     2,558.40     2,785.24     3,265.99     3,799.25
      1994........................     2,219.92     2,437.04     2,597.85     2,833.99     3,175.54     3,797.84
      1995........................     2,205.73     2,732.23     2,611.14     2,906.99     3,358.72     3,871.65
            Average...............     2,162.09     2,547.45     2,589.13     2,842.07     3,266.75     3,822.91
    Food away from home:
      1992........................       841.79     1,201.22     1,405.80     1,771.87     2,354.17     3,131.93
      1994........................       822.30     1,089.35     1,334.07     1,820.82     2,211.78     3,383.08
      1995........................       866.36     1,148.01     1,454.82     1,803.04     2,139.09     3,265.04
            Average...............       843.48     1,146.19     1,398.23     1,798.58     2,235.01     3,260.02
    Alcohol:
      1992........................       200.85       223.45       324.37       313.65       374.96       590.09
      1994........................       135.15       215.61       287.46       347.42       327.07       495.08
      1995........................       194.58       179.17       218.69       242.44       378.37       568.80
            Average...............       176.86       206.08       276.84       301.17       360.13       551.32
    Domestic Service:
      1992........................       151.62       129.29       147.99       222.40       398.61       559.53
      1994........................        85.17       111.05       203.94       235.13       310.43       489.65
      1995........................       111.01       126.23       166.25       343.84       349.86       473.43
            Average...............       115.93       122.19       172.73       267.12       352.97       507.54
    Furnishings & household
     operations:
      1992........................       970.65     1,370.53     1,587.26     1,932.32     2,427.52     3,651.88
      1994........................     1,128.53     1,178.62     1,521.80     1,938.32     2,574.21     4,075.65
      1995........................     1,109.71     1,246.51     1,649.53     1,999.62     2,229.32     4,360.44
            Average...............     1,069.63     1,265.22     1,586.20     1,956.75     2,410.35     4,029.32
    Clothing:
      1992........................       889.14     1,093.68     1,563.66     1,603.41     2,267.24     3,394.31
      1994........................       790.15     1,079.54     1,464.58     1,672.99     1,890.64     3,188.54
      1995........................       923.98     1,186.11     1,469.03     1,658.21     2,075.29     3,128.63
            Average...............       867.76     1,119.78     1,499.09     1,644.87     2,077.72     3,237.16
    Recreation:
      1992........................       755.24     1,146.23     1,302.99     1,726.85     2,558.20     3,374.39
      1994........................       828.97     1,060.46     1,342.40     1,741.22     2,128.85     3,451.76
      1995........................       988.13     1,015.06     1,357.80     1,942.08     2,113.61     3,445.93
            Average...............       857.45     1,073.92     1,334.40     1,803.38     2,266.89     3,424.03
    Personal Care:
      1992........................       229.68       340.56       376.85       405.19       528.27       702.54
      1994........................       256.43       286.31       348.68       454.00       491.54       693.28
      1995........................       272.68       299.08       362.99       450.49       541.39       685.06
            Average...............       252.93       308.65       362.84       436.56       520.40       693.63
    Tobacco:
      1992........................       242.99       287.66       296.57       321.75       321.76       300.33
      1994........................       222.20       250.93       280.57       340.50       295.12       278.18
      1995........................       198.73       275.38       309.00       324.43       274.74       297.88
            Average...............       221.31       271.32       295.38       328.89       297.21       292.13
    Professional Services:
      1992........................       393.06       612.35       636.87       939.21     1,104.11     1,463.01
      1994........................       500.25       637.86       633.16       890.46       999.00     1,340.74
      1995........................       469.90       580.55       688.53     1,007.96       986.83     1,193.04
            Average...............       454.40       610.25       652.85       945.88     1,029.98     1,332.26
Housing:
      1992........................     5,063.74     5,566.03     6,434.77     7,383.31     9,071.67    12,721.51
      1994........................     5,231.62     5,948.47     6,764.14     7,878.29     9,000.79    12,785.95
      1995........................     5,523.22     6,036.42     6,602.85     8,126.79     9,423.94    13,031.92
            Average...............     5,272.86     5,850.31     6,600.59     7,796.13     9,165.47    12,846.46

[[Page 56464]]

Transportation:
      1992........................     2,830.29     3,352.10     4,803.28     5,744.17     6,992.50     9,305.77
      1994........................     2,757.80     4,313.27     5,598.36     6,010.98     8,886.15    10,415.29
      1995........................     3,326.35     4,016.68     5,281.03     6,411.15     7,505.49    10,725.91
            Average...............     2,971.48     3,894.02     5,227.56     6,055.43     7,794.71    10,148.99
    Private transportation:
      1992........................     2,704.31     3,171.96     4,570.31     5,504.80     6,638.47     8,663.84
      1994........................     2,560.05     4,021.24     5,343.02     5,696.30     8,493.93     9,583.58
      1995........................     3,141.90     3,812.35     5,051.61     6,087.00     7,181.50     9,948.58
            Average...............     2,802.09     3,668.52     4,988.31     5,762.70     7,437.97     9,398.67
    Air fares & other
     transportation expenses:
      1992........................       125.98       180.14       232.97       239.37       354.03       641.93
      1994........................       197.75       292.03       255.34       314.68       392.22       831.71
      1995........................       184.45       204.33       229.42       324.15       323.99       777.33
            Average...............       169.39       225.50       239.24       292.73       356.75       750.32
Miscellaneous:
      1992........................     2,554.32     3,313.71     4,382.17     5,857.42     7,895.29    13,169.05
      1994........................     2,574.86     3,285.99     4,378.03     6,077.48     7,606.33    13,486.24
      1995........................     2,572.70     3,626.25     4,410.77     5,771.32     7,520.24    13,325.24
            Average...............     2,567.29     3,408.65     4,390.32     5,902.07     7,673.95    13,326.84
    Education, K-12, Private:
      1992........................        24.03        33.31        32.84        56.17       140.80       244.81
      1994........................         7.13        47.92        41.54        58.93        79.83       216.02
      1995........................        38.05         9.99        45.96        39.93        75.34       252.12
            Average...............        23.07        30.41        40.11        51.68        98.66       237.65
    Health care:
      1992........................     1,409.04     1,652.24     1,647.83     1,711.96     1,953.77     2,262.82
      1994........................     1,484.32     1,666.38     1,578.60     1,761.97     2,007.63     2,447.22
      1995........................     1,485.92     1,612.11     1,724.73     1,666.17     1,959.98     2,329.26
            Average...............     1,459.76     1,643.58     1,650.39     1,713.37     1,973.79     2,346.43
    Cash contributions:
      1992........................       509.71       515.63       688.17       834.21     1,424.12     2,515.30
      1994........................       396.39       455.67       771.77     1,049.71     1,005.01     2,428.04
      1995........................       452.91       804.69       730.13       816.26     1,046.00     2,171.79
            Average...............       453.00       592.00       730.02       900.06     1,158.38     2,371.71
    Personal insurance:
      1992........................       611.54     1,112.53     2,013.33     3,255.08     4,376.60     8,146.12
      1994........................       687.02     1,116.02     1,986.12     3,206.87     4,513.86     8,394.96
      1995........................       595.82     1,199.46     1,909.95     3,248.96     4,438.92     8,572.07
            Average...............       631.46     1,142.67     1,969.80     3,236.97     4,443.13     8,371.05
Consumer units:
      1992........................       10,053        8,294       14,616       10,448        7,967       18,181
      1994........................        9,780        7,851       13,975       10,922        8,280       20,609
      1995........................        8,725        7,724       12,643       10,648        8,191       20,952
Percentage of Owners with
 Mortgage:
      1992........................          15%          23%          31%          44%          58%          71%
      1994........................          14%          17%          31%          44%          53%          68%
      1995........................          14%          24%          31%          42%          52%          70%
Percentage of Renters:
      1992........................          50%          45%          43%          33%          25%          14%
      1994........................          49%          47%          42%          34%          25%          15%
      1995........................          49%          43%          39%          35%          26%          13%
Owners with Mortgages as
 Percentage of Renters Plus Owners
 with Mortgages:
      1992........................       23.08%       33.82%       41.89%       57.14%       69.88%       83.53%
      1994........................       22.22%       26.56%       42.47%       56.41%       67.95%       81.93%
      1995........................       22.22%       35.82%       44.29%       54.55%       66.67%       83.78%
            Average...............       22.51%       32.07%       42.88%       56.03%       68.17%       83.08%
Renters as Percentage of Renters
 Plus Owners with Mortgages:
      1992........................       76.92%       66.18%       58.11%       42.86%       30.12%       16.47%
      1994........................       77.78%       73.44%       57.53%       43.59%       32.05%       18.07%
      1995........................       77.78%       64.18%       55.71%       45.45%       33.33%       16.22%
                                         77.49%       67.93%       57.12%       43.97%       31.83%       16.92%
----------------------------------------------------------------------------------------------------------------
*Data may not be statistically significant.

[[Page 56465]]

Source: Bureau of Labor Statistics


                     Appendix 5:--Item Descriptions
------------------------------------------------------------------------
    Accounting services -- Hourly rate for individual tax work (not
     business). Price rate for preparing Federal 1040 and Schedule A tax
     forms with typical itemized deductions. Price separately and note
     in comments the charge for preparing equivalent state or local tax
     forms.
    Apples, fresh -- Price per LB of apples, loose (not in bag). If only
     bagged apples are available, report the weight of the bag. Note
     quality in comments. Order of choice: Red delicious, Golden
     delicious.
    Area rug -- 8 X11 braided rug. 100% wool or wool blend. Order of
     choice: JC Penney's, L L Bean.
    ATV -- Price for all terrain sports vehicle with four-wheel drive
     and a 250 to 300 CC (approximate sizes) engine. Do not price
     industrial ATV's (similar to sports model but heavier duty) or
     Arctic Cat models. Order of choice: Honda TRX399FW, Suzuki
     250LT4WDT, Polaris W968040.
    Automobile finance -- Price the interest rate for a 4-year loan
     based on a down payment of 20 percent. Assume the loan applicant is
     a current bank customer who will make payments by cash/check and
     not by automatic deduction from the account.
    Baby food -- 4 OZ jar strained vegetables or fruit. Order of choice:
     Gerber, Second Foods, Heinz.
    Babysitter -- Average hourly rate for one child, age four years,
     evening, before midnight. (Teenager in your home.) Do not price
     commercial baby-sitting service. Special Instructions: If feasible,
     obtain quotes from the observer or committee of acquaintances who
     use teenage babysitters.
    Bacon, sliced -- 16 OZ (1LB) package USDA grade, regular sliced
     bacon. Do not price Canadian bacon, extra thick sliced, or extra
     lean. Order of choice: Oscar Mayer, Hormel, Armour.
    Baking dish -- 8'' square glass baking dish (any color). Do not
     include cover or lid. Order of choice: Pyrex Anchor Hocking.
    Bananas, fresh -- Price per pound of bananas. If sold by bunch
     report price and weight of bunch. Note quality in comments section.
     Order of choice: Available Variety.
    Basic cable service -- Price for one month of lowest level of
     service for cable TV. Report the number of channels offered. If
     service provides 12 or fewer channels, price the next level of
     service. Do not include hookup charges or premium (e.g., movie)
     channels. Convert monthly cost to price per channel, per month.
    Bath towel -- 27x50'' bath towel made of 100% cotton. Order of
     choice: Cannon, Heir Loom, Fieldcrest.
    Bathroom caulking -- Price a 5.5 OZ plastic tube of latex white
     bathroom caulking. Do not price caulking gun cartridge. Order of
     choice: DAP Kwik Seal, Red Devil, GE Silicone II.
    Bed sheet set -- One set queen-size no-iron cotton & polyester
     percale sheets (180 thread count). One set consists of one fitted
     sheet, one flat sheet, and two pillowcases. Do not price designer
     sheet sets. Price sheet sets with minimum design. Record in
     comments price for 200 thread count set. Order of choice:
     Fieldcrest, New Concept, Dan Rivers.
    Bedroom set -- Price for 5 piece oak bedroom set--vertical mirror,
     triple dresser, 5 drawer chest, nightstand, full/queen headboard.
     Include shipping and handling. Order of choice: JC Penney's,
     Damark.
    Bedroom set test -- Price for 5 piece oak bedroom set--vertical
     mirror, triple dresser, 5 drawer chest, nightstand, full/queen
     headboard.
    Beer at home -- Six-pack of 12 OZ cans (Puerto Rico - 10 OZ cans.)
     Do not price refrigerated beer unless that is all that is
     available. Order of choice: Budweiser.
    Beer away -- Glass of Budweiser/Miller Lite beer. Order of choice:
     Budweiser, Miller Lite.
    Board game -- Price for board game. Do not price deluxe edition.
     Order of choice: Monopoly, Sorry, Scrabble.
    Book -- Store price (not publisher's price unless that is the store
     price) for top selling paperback book. Order of choice: Sudden
     Prey, Moonlight Become You, Rapture of Canaan.
    Bottled water -- 1 gallon (128 FL OZ) bottled spring water. Do not
     price sparkling or distilled water. Order of choice: Store brand
    Bowling -- 1 game of open (or non-league) 10-pin bowling on Saturday
     night. Exclude cost of shoe rental. If priced by the hour, report
     the estimated number of games per hour. Do not price duck-pin
     bowling.
    Boy's jeans -- Regular fit (size 9-14), inexpensive jeans. Do not
     price bleached, stone-washed or designer jeans. Order of choice:
     Wranglers, Rustlers, Lee's.
    Boy's polo shirt -- Knit polo shirt with collar, solid color,
     preferably without embroidered emblem. Size 7-14. Do not price
     Izod, Polo or equivalent brands. Order of choice: Penney's, Sears.
    Boy's t-shirt -- Screen-printed t-shirt commonly worn by boys ages 8
     thru 10 (size 7-14). Pullover with crew neck, short sleeves and
     polyester/cotton blend. Order of choice: Ocean Pacific, Team Shirts
     (NFL), Miller.
    Bread, white -- 16 OZ loaf of sliced white bread. Do not price store
     brand. Order of choice: Wonder, Sunbeam.
    Breakfast -- Price for a breakfast consisting of 2 strips of bacon
     or 2 sausages, 2 eggs, toast, and coffee or juice. Report
     percentages added for tax. Order of choice: Denny's, Bob Evans.
    Broker rental low -- Obtain monthly rent for three room, one bedroom
     , one bath apartments (average size roughly 600 sq ft.). Obtain
     three price estimates of the prevailing range of rental rates in
     area (low, median & high). To the extent practical, obtain square
     footage, age of the unit, total room count, whether utilities are
     included, and special amenities.
    Broker rental mid -- Obtain monthly rent for four room, two bedroom
     , one bath apartments (average size roughly 900 sq ft.) .Obtain
     three price estimates of the prevailing range of rental rates in
     area (low, median & high). To the extent practical, obtain square
     footage, age of the unit, total room count, whether utilities are
     included, and special amenities.
    Broker rental upr -- Obtain monthly rent for four room, two bedroom
     , two bath townhouse or detached house (average size roughly 1100
     sq ft.). Obtain three price estimates of the prevailing range of
     rental rates in area (low, median & high). To the extent practical,
     obtain square footage, age of the unit, total room count, whether
     utilities are included, and special amenities.
    Camera film -- Price for 35 millimeter, 24 exposure, 100 ASA Kodak
     camera film in single pack. Order of choice: Kodak.
    Candy bar -- Price for ONE regular size candy bar. The weight of a
     regular size candy bar could range from 1.55 oz to 2.13 oz. Do not
     price king-size or multi-pack candy bars. Order of choice:
     Snickers, Hersheys, Mars.
    Canned soup -- One can Campbell's soup, regular size (approximately
     10 oz). Do not price hearty, reduced fat or salt free varieties.
     Order of choice: Campbell's Vegetable, Campbell's Chicken Noodle,
     Campbell's Vegetable Beef.
    Celery, fresh -- Price per pound for celery. Do not price celery
     hearts or Pascal type celery. If celery is only sold by the bunch,
     report the price and the weight of an average bunch. Find
     equivalent size bunches at each store. Note quality in comments.
     Order of choice: Available Brand
    Cereal -- 20 OZ box of cereal. Do not price significantly larger or
     smaller size. Order of choice: Post Raisin Bran, Kelloggs Raisin
     Bran.
    Charge card annl fee -- Annual fee on major charge card through
     local bank. Note: Finance charges are reported as Charge Card
     Finance (See item description immediately below). Both charges must
     be obtained for the same card. Order of choice: Mastercard, Visa.

[[Page 56466]]

    Charge card finance -- Finance charges on a major charge card
     through a local bank Record Annual Percentage Rate. Please report
     the financial charges on the first month's balance of $1500. Do Not
     include principal payments. Note: Annual fees are reported as
     Charge Card Annl Fee (See item description immediately above). Both
     charges must be obtained for the same card. Do not price special
     introductory rates. Order of choice: Mastercard, Visa.
    Cheddar cheese -- 10 OZ package cheese. Price mild cheddar if
     available. Order of choice: Kraft, Cracker Barrel, Tillamook.
    Chevy atf change -- Price to change automatic transmission fluid in
     a one year old Chevrolet Blazer, similar to current year model.
     Include parts and labor for the following: drain and replace
     transmission fluid and test vehicle. Include filter and pan gasket
     replacement.
    Chevy blazer -- Chevrolet Blazer, current year model. T-Series, Two
     Door, four wheel drive, 4.3 Liter 6 Cylinder. Order of choice:
     Chevrolet Blazer T10.
    Chevy coolant serv -- Price to flush and fill engine coolant in a
     one year old Chevrolet Blazer, similar to current year model.
     Include parts and labor for the following: remove old coolant,
     flush contaminants, and replace with new coolant.
    Chevy cvj boots -- Price the replacement of the inner and outer CVJ
     (constant velocity joint) Boots on both front wheels for a 3-year
     old Chevrolet Blazer, T-Series, Two Door, four wheel drive, 4.3
     Liter 6 Cylinder.
    Chevy license/reg -- Price title fee (including lien fee), passenger
     vehicle registration fees, plate fees, inspection fees (safety and
     emissions), administration/clerical/other fees and local added fees
     for a current year Chevrolet Blazer, T-Series, Two Door, four wheel
     drive, 4.3 Liter 6 Cylinder.
    Chevy min insurance -- DC AND VI ONLY. Assume that vehicles are used
     in commuting 15 miles one-way per day, 15,000 mi/yr and that the
     driver is a 35-year-old married male with no accidents or
     violations in the last 5 years. Include related fees and taxes.
     Include applicable safety feature discounts. COVERAGES (BI minimum
     avail., PD minimum, Med minimum or PIP minimum, and UM minimum. Com
     250 deductible. Col 500 ded.. If these deductibles are not avail.,
     price the policy with the closest coverage.
    Chevy misc taxes -- Price annual miscellaneous tax (e.g., personal
     property tax, use tax, etc) for a current year model Chevrolet
     Blazer, T-Series, Two Door, four wheel drive, 4.3 Liter 6 Cylinder.
     Report how rate is determined, give formula for new vehicle
     purchase, give formula for subsequent year (2 to 5) and explain
     billing.
    Chevy muffler -- Price complete muffler system for a 4-year old
     Chevrolet Blazer, T-Series, Two Door, four wheel drive, 4.3 Liter 6
     Cylinder. Include parts and labor for the following: install all
     parts after the catalytic converter. These parts include mid pipes,
     clamps, muffler, and tail pipes.
    Chevy oil change -- Price oil change for a one year old Chevrolet
     Blazer, T-Series, Two Door, four wheel drive, 4.3 Liter 6 Cylinder.
     Include parts and labor for the following: drain old oil, replace
     oil filter and refill with appropriate number of qts of 10W30 SG
     grade oil. If SG grade not available, price SF grade oil.
    Chevy reg insurance -- Price coverage identified below. Assume that
     vehicles are used in commuting 15 miles one-way per day, 15,000 mi/
     yr and that the driver is a 35-year-old married male with no
     accidents or violations in the last 5 years. Include related
     expense fees and taxes. Include applicable safety feature
     discounts. COVERAGES (BI 100/300,000 PD 25,000 Med 15,000 or PIP
     50,000 UM 100/300,000. Com 100 deductible. Col 250 ded.. If these
     deductibles are not avail., price the policy with the closest
     coverage avail.
    Chevy regular tires -- Price a Black Side Wall P205/75R15 for
     Chevrolet blazer. Order of choice: Goodyear Wrangler AT, Michelin
     XCHF, BF Goodrich Radial TA.
    Chevy snow tire -- Price for a studded P205/75R15 snow tire, for the
     Chevy Blazer. Order of choice: Goodyear Ultra Grip, Michelin XM+S
     ALPIN, BF Goodrich Trailmaker Plus.
    Chevy tire change -- Price for removing street tires, and installing
     mounted snow tires on all four wheels.
    Chevy tune-up -- Price basic tune-up for a one year old Chevrolet
     Blazer. Include replacing spark plugs (do not price platinum),
     check distributor cap, and rotor. Check and adjust ignition timing.
     Adjust idle. Inspect air cleaner. Do not include cost to replace
     PVC valve, fuel filter or air filter. Sales tax should not be
     included in price.
    Chevy value - 4 yr -- Retail value of a 4 yr old Chevrolet Blazer.
    Chevy windshield rpl -- Cost to replace windshield on 1 year old
     Chevy Blazer, meeting item description. Ask outlet about the
     frequency of windshield replacement and record in comments. Price
     at specialty shop or, if not available, at dealer.
    Chicken, whole -- Price per pound of USDA grade fresh whole fryer
     chicken. Price store brand if available, otherwise record brand. Do
     not price family-pack, value-pack, super-saver pack or equivalent;
     frozen chicken or roasters. Price store brand if available. Order
     of choice: Whole fryer, Whole fryer (cut-up).
    China -- Corelle Abundance pattern tableware set. Set consists of 20
     pieces: 4 dinner plates, 4 luncheon plates, 4 bowls, 4 cups, and 4
     saucers. The pattern is beige with a fruit and flower motif. Order
     of choice: Corelle Impressions, New Corelle.
    Cigarettes king size -- 1 carton (200 cigarettes) of filter kings
     soft pack. Do not price generic brand. Order of choice: Winston.
    Coffee, ground -- 13 OZ can ground coffee. Do not price
     decaffeinated or special roasts. Order of choice: Folger's, Maxwell
     House, Hills Bros.
    Coin laundry -- One load of laundry using a regular size, top
     loading commercial washing machine. Do not include cost of drying.
    Color television -- 20'' table model color TV with a remote, auto
     channel search, closed captions, sleep timer, on-screen channel/
     time and menus, channel flashback, and 181 channel tuning. Order of
     choice: Sony KV20TS32, JVC C20CL6, Zenith SR2031.
    Compact disc -- Regular price for a current best-selling CD. Do not
     price double CD's Order of choice: Wu-Tang Forever, Traveling w/o
     Moving, God's Property.
    Compact disc player -- 5 disc CD player with rotary changer system,
     10 key access, 32 track programming, 8 times over sampling, and a
     remote. Order of choice: Sony CDPC745, JVC SLPD887, Technics
     XLF215TN.
    Contact lenses -- Price for 1 year supply of soft 2 week replacement
     contact lenses Order of choice: Medalists, Sequence, AcuVue.
    Cookies -- 18 - 20 OZ package. Order of choice: Nabisco Oreo
     Cookies, Keebler Chips Deluxe, Nabisco Chips Ahoy.
    Cooking oil -- 48 FL OZ bottle. Order of choice: Crisco, Wesson,
     Mazola.
    Day-care -- One month of day-care for a three-year-old child (5 days
     a week, about 10 hours per day). If monthly rate is not available:
     1) obtain weekly rate and record in the comment section 2) multiply
     weekly rate by 4.33 to obtain monthly rate. Price at day care
     center in a Federal building (but not on a military base) if
     available.
    Dentist clean/check -- Charge for x-rays, exam and prophylaxis
     (light scaling and polishing) or cleaning of teeth without special
     treatment of gums or teeth. Do not price initial visit. Do not
     price specialist or oral surgeon.
    Dining table -- Pedestal oak veneer tabletop with 4 standard
     spindled hardwood chairs. Include shipping and handling. Order of
     choice: JC Penney's, Damark.
    Dining table test -- Pedestal oak veneer tabletop with 4 standard
     spindled hardwood chairs.
    Dinner -- Price for a dinner consisting of a New York Strip, small
     side dish (e.g., rice or potato), side salad or salad bar, and
     coffee. Meal should not include dessert. Order of choice: Denny's
     type, TGIF type, Chart House type.
    Disposable diaper -- 34 count package of Stage 2 disposable diapers,
     (child 12-18 LBS). Do not price jumbo, overnight or larger size
     diapers. Order of choice: Pampers, Luv's, Huggies.

[[Page 56467]]

    Doctor office visit -- Typical fee, after the initial visit, for an
     office visit when medical advice or simple treatment is needed. Do
     not include the charge for a regular physical examination,
     injections, medication or lab tests (routine brief visit). Price
     general practitioner. DO NOT PRICE SPECIALIST.
    Drill, cord-type -- 3/8'' Reversible, variable speed 3 amp (1200
     rpm. max ) electric drill with 6' cord. This is a typical homeowner
     type drill. Do not price Makita, Dewalt, Milwaukee, or similar
     brands used by professionals. Order of choice: Black & Decker 7152.
    Drill, cordless -- 3/8'' Reversible, variable speed, 7 to 9 volt,
     cordless electric drill with 3 hour recharge. This is a typical
     homeowner type drill. Do not price Makita, Dewalt, Milwaukee, or
     similar brands used by professionals. Order of choice: Black &
     Decker 9052, Skil 2236.
    Dry clean man's suit -- Dry clean a man's 2-piece suit of typical
     fabric. Do not price for silk, suede or other unusual materials.
    Education, K-12 priv -- Cost of tuition, books and uniforms (if
     required) for K-12 education at a private school.
    Eggs, large -- One dozen. Do not price brown eggs. Order of choice:
     Local brand, Regional Brand.
    Electric bill -- Average monthly cost including all additional
     charges. Record in comments the average monthly consumption in KWH,
     cost for first xxx KWH, and cost over xxx KWH. If monthly amounts
     vary, based on time of year, obtain data on annual basis. In Alaska
     assume oil or gas for heating. In all other areas, assume all
     electric homes.
    Electrical outlet -- Price 2-plug 15-amp (duplex) grounded
     electrical outlet. Note: This is a standard wall outlet or plug
     commonly found in homes. Price blister pack or cardboard mounted
     (individually packaged) only. Do not price loose electric outlet or
     20 amp outlet. Order of choice: GE, Levitron, Eagle.
    Electrical work -- Price of labor to add circuit breaker for
     dishwasher. Cut 3/4'' hole in wooden floor for cable. Connect
     dishwasher directly to power box (power box is easy to reach).
     Report price per hour, estimated time for job, & travel. Exclude
     cost of materials. Inquire whether outlet is a licensed contractor.
    Fast food -- Price for a Big Mac, medium french fries, and medium
     soft drink. Pizza: one personal size cheese pizza (or one slice of
     cheese pizza). Include small soft drink. Do not price salad. Report
     percentages added for tax. Order of choice: McDonalds type, Pizza
     Hut type.
    Film developing -- Price to process and print 35 millimeter, 24
     exposure, 100 ASA color. Regular size (3 X 5) single prints only.
     Price at local lab with 2-3 day service, do not price Kodak or mail
     order service.
    Fire extinguisher -- Fire extinguisher with a UL rating of 10 BC,
     2.5 pound size. Do not price an ABC type extinguisher. Order of
     choice: Kidde, First Alert.
    Fish filet, frozen -- Price per pound of frozen ocean whitefish
     filet. Do not price breaded filets. Do not price family-pack, value-
     pack, super-saver pack or equivalent. Order of choice: Cod,
     Haddock, Snapper.
    Fish, fresh -- Price per pound of salmon steak. Do not price
     previously frozen (PF) or specially prepared skinless or boneless
     varieties. Do not price family-pack, value-pack, super-save pack,
     or equivalent. Order of choice: Salmon steak.
    Ford atf change -- Price to change automatic transmission fluid in a
     one year old Ford. Include parts and labor for the following: drain
     and replace transmission fluid and test vehicle. Include filter and
     pan gasket replacement.
    Ford coolant serv -- Price to flush and fill engine coolant in a one
     year old Ford Taurus. Include parts and labor for the following:
     remove old coolant, flush contaminants, and replace with new
     coolant.
    Ford CVJ boots -- Price the replacement of the inner and outer CVJ
     Boots (constant velocity joint) on both front wheels for a 3-year
     old Ford Taurus GL four door sedan, 3.0 Liter 6 Cylinder.
    Ford license/reg -- Price title fee (including lien fee), passenger
     vehicle registration fees, plate fees, inspection fees (safety and
     emissions), administration/clerical/other fees and local added fees
     for a current year Ford Taurus GL four door sedan, 3.0 Liter 6
     Cylinder.
    Ford min insurance -- DC AND VI ONLY. Assume that vehicles are used
     in commuting 15 miles one-way per day, 15,000 mi/yr and that the
     driver is a 35-year-old married male with no accidents or
     violations in the last 5 years. Include related fees and taxes.
     Include applicable safety feature discounts. COVERAGES (BI minimum
     avail., PD minimum, Med minimum or PIP minimum, and UM minimum. Com
     250 deductible. Col 500 ded.) If these deductibles are not avail.,
     price the policy with the closest coverage.
    Ford misc taxes -- Price annual miscellaneous tax (e.g., personal
     property tax, use tax, etc) for a current year model Ford Taurus.
     Report how rate is determined, give formula for new vehicle
     purchase, give formula for subsequent year (2 to 5) and explain
     billing.
    Ford muffler -- Price complete muffler system for a 4-year old Ford
     Taurus . Include parts and labor for the following: install all
     parts after the catalytic converter. These parts include mid pipes,
     clamps, muffler, and tail pipes.
    Ford oil change -- Price oil change for a one year old Ford Taurus.
     Include parts and labor for the following: drain old oil, replace
     oil filter and refill with appropriate number of quarts of 10W30 SG
     grade oil. If SG grade not available , price SF grade oil.
    Ford reg insurance -- Price coverage identified below. Assume that
     vehicles are used in commuting 15 miles one-way per day, 15,000 mi/
     yr and that the driver is a 35-year-old married male with no
     accidents or violations in the last 5 years. Include related fees
     and taxes. Include applicable safety feature discounts COVERAGES
     (BI 100/300,000 PD 25,000 Med 15,000 or PIP 50,000 UM 100/300,000.
     Com 100 deductible. Col 250 ded.). If these deductibles are not
     avail., price the policy with the closest coverage avail.
    Ford regular tires -- Price a Black Side Wall P205/65R15 for the
     Ford Taurus GL. Order of choice: Goodyear Invicta GL, Michelin XW4,
     BF Goodrich Touring TA.
    Ford snow tire -- Price for a studded P205/65R15 snow tire for the
     Ford Taurus GL. Order of choice: Goodyear Ultra Grip, Michelin XM+S
     ALPIN, BF Goodrich Trailmaker Plus.
    Ford taurus -- Ford Taurus, current year model, GL four door sedan,
     3.0 Liter 6 Cylinder. Order of choice: Ford Taurus GL.
    Ford tire change -- Price for removing street tires, and installing
     mounted snow tires on all four wheels.
    Ford tune-up -- Price basic tune-up for a one year old Ford Taurus
     GL . Include replacing spark plugs (do not price platinum), check
     distributor cap, and rotor. Check and adjust ignition timing.
     Adjust idle speed. Inspect air cleaner. Do not include cost to
     replace PVC valve, fuel filter or air filter. Sales tax should not
     be included in price.
    Ford value - 4 yr -- Retail value of a 4 yr old Ford Taurus.
    Ford windshield rpl -- Cost to replace windshield on 1 year old Ford
     Taurus, meeting item description. Ask outlet about the frequency of
     windshield replacement and record in comments. Price at specialty
     shop or, if not available, at dealer.
    Frankfurter -- All beef, USDA graded 16 OZ (1LB) package. Do not
     price chicken, turkey, extra lean, or fat free frankfurters. Order
     of choice: Oscar Mayer, Hormel.
    Frozen dinner -- 11.5 OZ (326 G) Frozen turkey dinner. Dinner should
     include whipped potatoes, peas, and fruit compote. Do not price
     Hungry Man or equivalent extra-portion sizes. Order of choice:
     Swanson.
    Frozen orange juice -- 12 FL OZ (makes 48 FL OZ) of frozen orange
     juice concentrate. Do not price calcium fortified, pulp free,
     country style etc. Order of choice: Minute Maid, Sunkist, Whole
     Sun.
    Frozen waffles -- Package of 8 frozen waffles. Please record package
     weight in comments. (Note: Weight should be approximately 11 oz.)
     Order of choice: Kellogg's Eggo.
    Fruit drink -- 64 FL OZ bottle. Do not price powdered mixes or
     individual serving sized drinks. Order of choice: Hawaiian Punch,
     HI-C, regular.

[[Page 56468]]

    Fruit juice -- Price 48 ounce bottle of cranberry juice. Do not
     price frozen or boxed drink or drink in significantly different
     size bottle. Order of choice: Ocean Spray Cranberry Cocktail, Ocean
     Spray Cranapple Cocktail.
    Funeral services -- The charge for a direct cremation. Includes
     removal of remains, local transportation to crematory, necessary
     body care and minimal services of the staff. Do not include the fee
     for the crematory, container or use of facilities and staff.
    Gas/oil bill -- Average monthly cost including all charges. Record
     in comments average monthly consumption in cu. ft./gallons,
     customer service charge, cost for first cu. ft./gallons, and cost
     for over first xxx cu. ft/gallons. ALASKA ONLY.
    Gasoline full serv -- Price per gallon for full-service unleaded
     regular gasoline. Record in comments prevalence of self-serve vs.
     full-serve pumps.
    Gasoline self serv -- Price per gallon for self-service unleaded
     regular gasoline.
    Girl's dress -- Cotton blend short or long-sleeve dress appropriate
     for school. Exclude extra ornamentation. For girls ages 8 through
     10 (size 7-14). Order of choice: Carter's, JoLene, Bendina.
    Girl's jeans -- Jeans, for girls ages 8 through 10 years (size 7-
     14). Order of choice: Zenna, Rider, Lee.
    Girl's knit top -- Knit short or long sleeve pullover of cotton/poly
     blend. For girls ages 8 thru 10 (size 7-14). Order of choice:
     Spumoni, Hot Shots, Lee.
    Golf -- 18 holes of golf on a weekend. Do not price par 3 courses.
     Do not include golf-cart rental, or special early-bird or off hours
     pricing in cost. If only 9 hole rate is available, report twice the
     price. If only daily rate is available (unlimited number of holes),
     report the Saturday or Sunday rate. Please ask if the course is
     publicly-owned or privately-owned and record this information in
     the comment section.
    Green beans, canned -- 14.5 OZ can of plain cut green beans. Do not
     price French style, Italian style, canned vegetable mixtures or
     similar variations. Order of choice: Del Monte, Green Giant.
    Ground beef -- Price per pound of fresh USDA graded (select not
     choice) average size package with no more than 30% fat content. Do
     not price lean, ground round, frozen beef et cetera. Do not price
     family-pack, value-pack, super-saver pack, or equivalent. Order of
     choice: Regular ground beef.
    Ham, canned -- 3 LB tin of canned ham. Do not price Hormel's supreme
     cut ham or equivalent. Order of choice: Hormel, Dubuque, Bar-S.
    Hamburger buns -- Package of 8 sliced enriched white hamburger buns.
     Do not price store brand, whole wheat or sesame seed buns. Order of
     choice: Wonder, Sunbeam, Regional brand.
    Hammer -- Curved claw hammer with a 16 OZ head, wood handle, high
     carbon steel head, black finish. Overall length 13 1/4''. This is a
     typical homeowner type hammer. Do not price hammers with non-wooden
     handles or hammers typically used by carpenters or cabinet makers.
     Order of choice: Stanley 51616, Stanley 51416.
    Health club -- Regular individual membership for 1 year for existing
     member. Do not include any initial fees assessed only to new
     members or any special offers provided only to new members. If
     yearly rate is not available, price per month and note as such.
     Minimum services must include free weights, cardiovascular
     equipment, and aerobic classes. Note if pool, tennis, racquet ball,
     or other significant services are also offered.
    Home sale low -- Obtain sales comparables between 600 and 1200
     square feet. Collect selling price, sale date, and square footage
     for each comparable. Collect age and room count when available.
     Obtain data for the most recently available 12 month time frame. 4
     Rooms, 2BR, 1bath, condo or detached house.
    Home sale mid -- Obtain sales comparables between 1000 and 1600
     square feet. Collect selling price, sale date, and square footage
     for each comparable. Collect age and room count when available.
     Obtain data for the most recently available 12 month time frame. 5
     Rooms, 3BR, 1 bath, detached house.
    Home sale upr -- Obtain sales comparables between 1400 and 2300
     square feet. Collect selling price, sale date, and square footage
     for each comparable. Collect age and room count when available.
     Obtain data for the most recently available 12 month time frame. 7
     Rooms, 3BR, 2 baths, detached house.
    Homeowner insur low -- Report annual renewal premium for HO-2 type
     coverage. If the company does not refer to the coverage as HO-2,
     obtain the cost for a comprehensive coverage that covers all risk
     for dwelling and named peril for contents with contents at
     replacement value.
    Homeowner insur mid -- Report annual renewal premium for HO-2 type
     coverage. If the company does not refer to the coverage as HO-2,
     obtain the cost for a comprehensive coverage that covers all risk
     for dwelling and named peril for contents with contents at
     replacement value.
    Homeowner insur upr -- Report annual renewal premium for HO-2 type
     coverage . If the company does not refer to the coverage as HO-2,
     obtain the cost for a comprehensive coverage that covers all risk
     for dwelling and named peril for contents with contents at
     replacement value.
    Honda atf change -- Price to change automatic transmission fluid in
     a one year old Honda. Include parts and labor for the following:
     drain and replace transmission fluid and test vehicle.
    Honda civic -- Honda Civic, current year model, DX four door sedan,
     1.5 Liter 4 Cylinder. Order of choice: Honda Civic DX.
    Honda coolant serv -- Price to flush and fill engine coolant in a
     one year old Honda Civic DX. Include parts and labor for the
     following: remove old coolant, flush contaminants, and replace with
     new coolant.
    Honda CVJ boots -- Price the replacement of the inner and outer CVJ
     (constant velocity joint) Boots on both front wheels for a 3-year
     old Honda Civic DX four door sedan, 1.5 Liter 4 Cylinder.
    Honda license/reg -- Price title fee (including lien fee), passenger
     vehicle registration fees, plate fees, inspection fees (safety and
     emissions), administration/clerical/other fees and local added fees
     for a current year Honda Civic DX four door sedan, 1.5 Liter 4
     Cylinder.
    Honda min insurance -- DC AND VI ONLY. Assume that vehicles are used
     in commuting 15 miles one-way per day, 15,000 mi/yr, and that the
     driver is a 35-year-old married male with no accidents or
     violations in the last 5 years. Include related fees and taxes.
     Include applicable safety feature discounts. COVERAGES (BI minimum
     avail., PD minimum, Med minimum or PIP minimum, and UM minimum. Com
     250 deductible. Col 500 ded.). If these deductibles are not avail.,
     price the policy with the closest coverage.
    Honda misc taxes -- Price annual miscellaneous tax (e.g., personal
     property tax, use tax, etc.) for a current year model Honda Civic
     DX four door sedan, 1.5 Liter 4 Cylinder. Report how rate is
     determined, give formula for new vehicle purchase, give formula for
     subsequent year ( 2 to 5 ) and explain billing.
    Honda muffler -- Price complete muffler system for a 4-year old
     Honda Civic DX . Include parts and labor for the following: install
     all parts after the catalytic converter. These parts include mid
     pipes, clamps, muffler, and tail pipes.
    Honda oil change -- Price oil change for a one year old Honda Civic
     DX . Include parts and labor for the following: drain old oil,
     replace oil filter and refill with appropriate number of quarts of
     10W30 SG grade oil. If SG grade not available, price SF grade oil.
    Honda reg insurance -- Price coverage identified below. Assume that
     vehicles are used in commuting 15 miles one-way per day, 15,000 mi/
     yr, and that the driver is a 35-year-old married male with no
     accidents or violations in the last 5 years. Include related fees
     and taxes. Include applicable safety feature discounts. COVERAGES
     (BI 100/300,000 PD 25,000 Med 15,000 or PIP 50,000 UM 100/300,000.
     Com 100 deductible. Col 250 ded.). If these deductibles are not
     avail., price the policy with the closest coverage avail.

[[Page 56469]]

    Honda regular tires -- Price a Black Side Wall P175/70R13 for the
     Honda Civic. Order of choice: Goodyear Invicta GL, Michelin LX1, BF
     Goodrich Touring TA.
    Honda snow tire -- Price for a studded P175/70R13 snow tire for
     Honda Civic DX. Order of choice: Goodyear Ultra Grip, Michelin XM+S
     ALPIN, BF Goodrich Trailmaker Plus.
    Honda tire change -- Price for removing street tires, and installing
     mounted snow tires on all four wheels.
    Honda tune-up -- Price basic tune-up for a one year old Honda Civic
     DX . Include replacing spark plugs (do not price platinum), check
     distributor cap, and rotor. Check and adjust ignition timing.
     Adjust idle speed. Inspect air cleaner. Do not include cost to
     replace PVC valve, fuel filter or air filter. Sales tax should not
     be included in price.
    Honda value - 4 yr -- Retail value of a 4 yr. old Honda Civic DX.
    Honda windshield rpl -- Cost to replace windshield on 1 year old
     Honda Civic DX, meeting item description. Ask outlet about the
     frequency of windshield replacement and record in comments. Price
     at specialty shop or, if not available, at dealer.
    Hospital attendant -- Daily charge for an attendant (e.g. LPN).
     Price only if typical hospital service is not equivalent to that
     found in DC area.
    Hospital room -- Daily charge for a semi-private room. Include food
     and routine care. Exclude cost of operating room, surgery,
     medicine, lab fees, etc. Do not price speciality rooms, e.g., those
     in cardiac care units.
    Housekeeping service -- Price per hour for twice per month cleaning.
     House approximately 2,000 sq. ft. Family size four. Services
     include Bathroom(s): clean floor, counter, bathtub, stool; Kitchen:
     clean counters, cabinets, appliances; Living Room and Dining Room;
     dust, polish furniture, and vacuum; Bedroom; polish furniture and
     vacuum. If other services are included please note. Report the
     number of cleaners and estimated number of hours to complete
     service.
    Ice cream -- 1/2 gallon (2 QT) of vanilla ice cream. Do not price
     ice milk or frozen yogurt. Order of choice: Store brand
    Ice cream cone -- Regular (one scoop) vanilla ice cream cone. Do not
     price frozen yogurt or soft-serve ice cream. Order of choice:
     Baskin-Robbins type, TCBY type, Lapperts type.
    Infant's sleeper -- One-piece sleeping garment with legs, covering
     the body including the feet. Order of choice: Gerber, Playskool,
     Health Tex.
    Insurance, air ambul -- Annual premium for air ambulance insurance.
    Interior painting -- Price labor to paint 12' x 14' lvng rm with 8'
     ceilings, one coat over same color. Walls are drywall in good
     repair. Two std sized sash windows, 1 std wood door. Rms have
     simple wood baseboards and trim. Existing paint is latex, flat
     white, smooth finish, about 3 yrs old. Trim paint is latex, white,
     gloss enamel, about 3 yrs old. Walls and trim require no surface
     prep. Report price per hr, est time for job, and travel. If flat
     charge, report est time to complete job. Do not include materials.
    Jello gelatin -- 3 OZ box gelatin dessert. Order of choice: Jello,
     Royal.
    Jewelry -- One pair 6mm 14K gold ball earrings for pierced ears.
    Ketchup -- 28 OZ plastic squeeze bottle. Order of choice: Heinz,
     Hunts, Del Monte.
    Kitchen faucet -- Price for a single control chrome-plated faucet
     with spray. Faucet is solid brass and stainless steel quality
     construction with copper waterways, washer less design, and triple
     chrome plating. Faucet sprayer should sit in a separate hole in the
     sink. Do not price decorator models or in the deck (sprayer sits in
     a hole in the faucet base or deck ). Guaranteed for 2 years or
     longer. Order of choice: Peerless 8500-ECP, Delta 400, Moen 87511.
    Kitchen range -- 30-inch electric range with upswept cook-top,
     removable coil elements, electronic clock with timer, oven light,
     delay-start cook control, storage drawer, self-cleaning oven with
     two oven racks and a porcelain enamel broiler pan. Order of choice:
     Maytag CRE9500, General Electric JBP47GV, Whirlpool RF385PXDQ.
    Latex interior paint -- One gallon white, interior flat latex paint.
     Price a national brand with one coat coverage. Pittsburgh also an
     acceptable brand . Ask whether special formulations or additives
     are typically used to prevent mildew. If so record price in
     comments. Order of choice: Dutch Boy, Glidden, Benjamin Moore.
    Laundry soap -- 100 FL OZ of liquid household laundry detergent. Do
     not price detergent with bleach or whiteners. Order of choice:
     Tide, Cheer.
    Lawn care service -- Price to cut and trim a 1/4 acre lot on a
     weekly basis. Do not include other yard services (e.g. fertilizing,
     raking, or watering).
    Lawn trimmer -- Gas powered 31 CC two-cycle engine single line lawn
     trimmer with a 17'' wide cut.
    Ld call Chicago -- Cost of a 10 minute call using AT&T, received on
     a weekday in Chicago at 8: 00 p.m. (Chicago time); direct dial from
     the location being surveyed to Chicago. Include any federal, state,
     local or excise tax that is applicable. Order of choice: AT&T
     Regional Service.
    Ld call LA -- Cost of a 10 minute call using AT&T, received on a
     weekday in LA at 8: 00 p.m. (LA time); direct dial from the
     location being surveyed to Los Angeles. Include any federal, state,
     local or excise tax that is applicable. Order of choice: AT&T
     Regional Service.
    Ld call NYC -- Cost of a 10 minute call using AT&T, received on a
     weekday in NY at 8: 00 p.m. (NY time); direct dial from the
     location being surveyed to New York City. Include any federal,
     state, local or excise tax that is applicable. Order of choice:
     AT&T Regional Service.
    Legal services -- Hourly rate for preparing a simple will or trust
     or for real estate closing. If fee varies, note in comments.
    Lettuce, fresh -- Price per pound of iceberg lettuce. If lettuce is
     sold by the head, report the price and weight of an average head.
     Find equivalent-size heads at each store. Note quality in comments.
     Order of choice: Available Brand
    Lipstick -- One tube of lipstick. Order of choice: Revlon Super
     Lustrous, Revlon Moondrops, L'Oreal.
    Living rm chair tst -- Flexsteel Recliner or equivalent.
    Living room chair -- Flexsteel Recliner or equivalent. Include
     shipping and handling. Order of choice: JC Penney's, Damark.
    Lunch -- Price for a lunch consisting of a cheeseburger platter with
     fries and small soft drink. Order of choice: Denny's type, TGIF
     type, Chart House type.
    Lunch meat -- 8 OZ pkg. Order of choice: Oscar Mayer Bologna, Oscar
     Mayer Cotto Salami.
    Magazine -- Store price (not publisher's price unless that is the
     store price) for a single copy. Order of choice: Time, Newsweek, US
     News&World Report.
    Man's dress shirt -- White or solid color, long sleeve, button cuff,
     plain collar dress shirt, approximately 35% cotton, 65% polyester.
     A dress shirt will have exact collar and sleeve sizes. Example: 15
     1/2'' collar, 34'' sleeve. Order of choice: Arrow, Van Heusen,
     Moose Creek.
    Man's haircut -- Man's typical haircut. Do not include wash.
    Man's jacket -- Man's summer weight denim jacket from catalog.
     Relaxed fit and machine washable. TROPICAL AND DC ONLY. Order of
     choice: JC Penney's, Eddie Bauer.
    Man's jeans -- Regular loose fit, non-designer jeans. Do not price
     bleached, stone-washed or designer jeans. Order of choice:
     Wranglers, Rustlers, Lee's regular fit.

[[Page 56470]]

    Man's shoes -- 100% leather wing tips or plain toe. Order of choice:
     Rockport, Bostonian.
    Man's suit -- Man's suit from catalog, double breasted worsted wool,
     ventless back. Include shipping and handling. Order of choice: JC
     Penney's, Bachrach.
    Man's undershirt -- White 100% cotton undershirts with short
     sleeves, set of three. If not in set of three, report the number of
     undershirts in package. Order of choice: Fruit of the Loom, Hanes.
    Margarine -- Four sticks (1 LB). Do not price reduced fat variety.
     Order of choice: Blue Bonnet, Parkay.
    Milk, 2% -- Gallon (128 FL OZ), 2%. Order of choice: Store brand
    Mortgage interest -- Current interest rate for a 30-year loan on the
     average house assuming 80 percent financing.
    Motor scooter -- Price for a 50 CC scooter. One seater with electric
     start, oil injection 2-stroke engine. Order of choice: Yamaha JOG
     CY 50, Honda Elite SA 50.
    Movie theater -- Typical adult price for regular length, current-
     release (currently advertised on television) evening film. Report
     weekend evening price if different from weekday.
    Moving -- Price per hour for a within-city move, two men with
     enclosed van. Include any van rental fees. Do not include any extra
     insurance options or specialty packaging options. Note number of
     men if other than two used.
    Non-aspirin pain rel -- Price for 60 tablets of extra-strength
     Tylenol. Do not price caplets or gelcaps.
    Non-broker rntl low -- Obtain monthly rent for three room, one
     bedroom , one bath apartments (average size roughly 600 sq ft.). If
     possible, obtain square footage, age, room count whether utilities
     are included and special amenities.
    Non-broker rntl mid -- Obtain monthly rent for four room, two
     bedroom , one bath apartments (average size roughly 900 sq ft.). If
     possible, obtain square footage, age, room count whether utilities
     are included and special amenities.
    Non-broker rntl upr -- Obtain monthly rent for four room, two
     bedroom , two bath townhouse or detached house (average size
     roughly 1100 sq ft.). If possible, obtain square footage, age, room
     count whether utilities are included and special amenities.
    Oranges, fresh -- Price per pound of loose VALENCIA oranges. If only
     bagged oranges are available, also report the weight of the bag.
     Note quality in comments. Order of choice: California Valencia,
     Florida Valencia.
    Parcel post -- Cost of mailing a 5 pound package to each of the
     following cities: Chicago, Los Angeles, New York Order of choice:
     United States Postal.
    Peaches, canned -- 16 OZ can sliced yellow cling peaches. Do not
     price lite or juice pack. Order of choice: Libby, Del Monte.
    Peas, frozen -- 16 OZ package of frozen peas. Do not price peas with
     sauce or Green Giant Select. Order of choice: Green Giant,
     Birdseye, Hanover.
    Pen -- 10 pack round stick medium pen. Order of choice: Bic Round
     Stic, Paper Mate.
    Pest control -- Price for basic pest control maintenance (one visit
     to control crawling insects, not wood eating), based on the inside
     of a 1,200 sq. ft. single story home. Price follow-up maintenance
     only, not the initial application.
    Pet food -- Price for 5.5 OZ can of cat food. Order of choice:
     Purina, 9 Lives, Whiskas.
    Piano lessons -- Private lesson for a beginner one-half hour in
     length. Price through a music studio if possible.
    Plant food -- 8 OZ container of liquid indoor plant food. Order of
     choice: Miracle Grow.
    Pork chops, bone in -- Price per pound of an average size USDA
     graded (select not choice ) package. Do not price family-pack,
     value-pack, super-saver pack or equivalent. Do not price frozen
     chops. Order of choice: Center cut rib chop, Loin chop with bone.
    Postage stamp -- First Class postage.
    Potatoes -- 5 LB bag of Russet baking potatoes. Do not price loose
     potatoes. If 5 lb bag is not available, substitute nearest size bag
     and note price and size. Do not price white, red or new potatoes.
     Note quality in comments. Order of choice: Available Brand.
    Real estate tax low -- Current real property tax rate, any special
     charges that are added to the tax bill and any homestead credits
     that might be deducted from the bill. Report when properties were
     last assessed and to what base year the tax rate should be applied.
     Report when rates are certified and when bills are mailed.
    Real estate tax mid -- Current real property tax rate, any special
     charges that are added to the tax bill and any homestead credits
     that might be deducted from the bill. Report when properties were
     last assessed and to what base year the tax rate should be applied.
     Report when rates are certified and when bills are mailed.
    Real estate tax upr -- Current real property tax rate, any special
     charges that are added to the tax bill and any homestead credits
     that might be deducted from the bill. Report when properties were
     last assessed and to what base year the tax rate should be applied.
     Report when rates are certified and when bills are mailed.
    Red roses, fresh cut -- One dozen long stemmed, fresh cut red roses.
     Do not price boxed or arranged.
    Refrigerator -- No-frost top-mount 20.5 to 21.5 cubic ft.
     refrigerator with reversible doors, glass shelves, moisture
     controlled crisper drawers, and meat drawer. Door contains one or
     more covered compartments and adjustable bins. Freezer has
     adjustable wire shelves, door bins and ice trays. Do not price
     models with ice makers, chilled water dispensers, or other extra
     features. Order of choice: Maytag RTD2100DAE, General Electric
     TBX21ZAX, Whirlpool ET21DKXD.
    Regional newspaper -- Price for one year of home delivery of the
     largest selling daily regional paper (including Sunday edition)
     distributed in the area. Do not include tip. In Alaska, price the
     major Anchorage newspaper. In Hawaii, price the major Honolulu
     newspaper.
    Rental car -- Cost for daily and weekly rental rate of an economy
     class automobile. Obtain costs with leasing company's recommended
     insurance packages. Price with unlimited mileage, and assume
     automobile is rented and returned to the same location and with a
     full tank of gas. Do not price weekend rates or special promotional
     rates which apply to specific areas. Order of choice: Hertz, Avis,
     National.
    Renter insur low -- Report price of HO-4 type coverage; assume value
     of contents at $25,000.
    Renter insur mid -- Report price of HO-4 type coverage; assume value
     of contents at $25,000.
    Renter insur test 1 -- Report price of HO-4 type coverage; assume
     value of contents at $25,000.
    Renter insur test 2 -- Report price of HO-4 type coverage; assume
     value of contents at $35,000.
    Renter insur test 3 -- Report price of HO-4 type coverage; assume
     value of contents at $45,000.
    Renter insur upr -- Report price of HO-4 type coverage; assume value
     of contents at $30,000.
    Round roast boneless -- Price per pound of an average size USDA
     graded (select not choice) package. Do not price family-pack, value-
     pack, super-saver pack or equivalent. Do not price frozen roast.
     Order of choice: Boneless rump, Sirloin tip rolled, Boneless top
     round.
    Round steak boneless -- Price per pound of an average size USDA
     graded (select not choice) package. Do not price family-pack, value-
     pack, super-saver pack or equivalent. Do not price frozen steak.
     Order of choice: Boneless beef round, Boneless top round, Boneless
     bottom rnd.
    Round trip Chicago -- Price for lowest cost round trip ticket to
     Chicago, IL with 2 week advance reservation. Disregard
     restrictions, super-saver fares and special promotions. (In
     reference area, price all flights from National Airport.)
    Round trip LA -- Price for lowest cost round trip ticket to Los
     Angeles, CA. Disregard restrictions, super-saver fares and special
     promotions. (In reference area, price all flights from National
     Airport.)

[[Page 56471]]

    Round trip Miami -- Price for lowest cost round trip ticket to
     Miami, FL with 2 week advance reservation. Disregard restrictions,
     super-saver fares and special promotions. (In reference area, price
     all flights from National Airport.)
    Round trip NYC -- Price for lowest cost round trip ticket to New
     York, NY with 2 week advance reservation. Disregard restrictions,
     super-saver fares and special promotions. (In reference area, price
     all fares from National Airport.)
    Round trip Omaha -- Price for lowest cost round trip ticket to Omaha
     NE, with 2 week advance reservation. Disregard restrictions, super-
     saver fares and special promotions. (In reference area, price all
     flights from National Airport.)
    Round trip Seattle -- Price for lowest cost round trip ticket to
     Seattle, WA with 2 week advance reservation. Disregard
     restrictions, super-saver fares and special promotions. (In
     reference area, price all flights from National Airport.)
    Round trip St. Louis -- Price for lowest cost round trip ticket to
     St. Louis, MO with 2 week advance reservation. Disregard
     restrictions, super-saver fares and special promotions. (In
     reference area, price all flights from National Airport.)
    Salt -- 26 OZ box of iodized salt. Do not price sea-salt, kosher-
     style salt etc. Order of choice: Morton, Ivory, Regional Brand.
    Shampoo -- 15 ounce bottle of shampoo for normal hair. Order of
     choice: Suave, VO5, White Rain.
    Snack cake -- Package of two cellophane wrapped, cream-filled sponge
     cake deserts. Do not price fresh baked desserts, boxed, or family
     packs. Order of choice: Hostess Twinkees, Krispy Kreme, Hostess
     Cupcakes.
    Snack food -- 6 OZ bag or box of regular potato chips. Order of
     choice: Ruffles, Lays.
    Soft drink -- 2 liter plastic bottle. Order of choice: Coca-Cola,
     Pepsi.
    Spaghetti, dry -- 16 OZ box or bag. Do not price store brand. Order
     of choice: Creamette, American Beauty Mission.
    Sugar, granulated -- 5 LB bag of granulated cane or beet sugar. Do
     not price superfine or generic. Order of choice: Non-store brand,
     Store brand.
    Taxi fare -- Cost of a four-five mile, 10 minute taxi-cab ride. Trip
     should begin and end within the county or city limits of each
     survey area. Do not price cost for additional passengers, rush-hour
     fares or cost for handling or carrying of packages or luggage.
    Telephone service -- Monthly cost for unmeasured touchtone service.
     Include tax. Do not include options such as call waiting, call
     forwarding or fees for equipment rental.
    Telephone, cellular -- Cost of basic monthly cellular phone service
     plus 10 prime-time 2 minute calls per month. Do not price special
     offers.
    Tennis balls -- Can of three heavy-duty felt, yellow, tennis balls.
     Do not price special gas-filled or premium tennis balls. Order of
     choice: Wilson, Penn.
    Termite treatmnt tst -- Cost of initial treatment and annual
     maintenance for Sentricon - type termite bait treatment for a
     typical single-family dwelling meeting middle income profile. Order
     of choice: Sentricon.
    Tetracycline -- Price of 40 capsules of tetracycline, 250 milligram
     strength. Record whether generic or non-generic. If price differs
     record both prices in comment area.
    Toilet tissue -- Regular 4 roll pack. Do not price family-pack,
     double roll, value-pack, super-saver size package, or equivalent.
     Order of choice: Cottonelle, Northern, Charmin.
    Tomatoes, fresh -- Price per pound of medium-size tomatoes. Do not
     price organic, hydro, plum, or extra fancy tomatoes. Note quality
     in comments. Order of choice: Available Variety.
    Tuna, canned -- Chunk light, packed in water (6.0 oz to 6.13 oz). Do
     not price fancy style. Order of choice: Star Kist, Chicken of the
     Sea, Bumble Bee.
    Two-slice toaster -- Two-slice toaster, chrome body, wide slot with
     pastry defrost setting. Order of choice: Proctor-Silex T620B,
     Proctor Silex 22100.
    Unclog drain -- Price to unclog kitchen sink drain by mechanical
     means (small snake or auger, etc.). Assume clog is in the plumbing
     inside the house, not in the yard. Price the job. If job rate not
     available, obtain minimum labor rate charge for auger and travel.
     If provided a price range use low-end quote because this is a
     simple clog. Exclude extra charge for excess travel, overtime,
     weekend or emergencies.
    Vacuum -- Upright vacuum cleaner with approximately 12 amps, 120
     volts, minimum 5 above-the-floor attachments, height adjustment,
     regular bag and 20 to 25 foot cord. Order of choice: Eureka,
     Hoover, Dirt Devil.
    Veterinary services -- Typical fee for general office visit for a
     small dog.
    Video recorder -- VCR with 4 video heads, double azimuth, unified TV/
     VCR remote, one-year eight event timer, auto tracking, LED display,
     and HI-FI stereo. Order of choice: Sony SLV740, JVC HRJ620, Zenith
     VR4205.
    Video rental -- Price to rent one video tape. Saturday night (1 day
     or minimum rental period) rate. Non-member fee. Do not price new
     releases, oldies or classics where price is different from a
     regular rental.
    Washing machine -- Super capacity washing machine with 3 water
     temperatures, 8 wash cycles, 3 water levels, white porcelain tub,
     self-clean lint filter, fabric softener dispenser and 2 speed
     combinations. Order of choice: Maytag LAT9604, General Electric
     WWSR3090T, Whirlpool LSC8244D.
    Water bill -- Average monthly consumption in gallons and dollars;
     customer service charge; cost for first xxx gallons; cost for over
     xxx gallons.
    Window shade -- Window shade from catalog light-filtering unfringed
     37.5'' width window shade. Order of choice: JC Penney's, Smith and
     Noble.
    Wine at home -- 1.5 L of Chablis blanc. Order of choice: Gallo,
     Inglenook.
    Wine away -- Price one glass of house white wine. Order of choice:
     House Brand.
    Woman's accessory -- Split-grain, cowhide leather, checkbook clutch
     wallet. Do not price eel skin, snake skin or other varieties. Order
     of choice: Michael Stevens, Mundi, Cadillac.
    Woman's blouse -- 100 % polyester, white, long sleeve, button front
     blouse with minimum trim. Order of choice: Wrapper; Girls, Girls,
     Girls; Christy Jill.
    Woman's coat -- 100 % wool, double-breasted coat. Include shipping
     and handling. ALASKA AND DC ONLY. Order of choice: JC Penney's,
     Donnybrook, Chadwicks.
    Woman's cut & style -- Regular service for a woman's cut and styled
     blow dry. Include wash but do not include curling iron if extra.
     Price hair salons in major department stores and malls.
    Woman's dress -- Sleeved shirtwaist dress appropriate for office
     attire. Exclude any unusual ornamentation. Dress should be unlined
     and 100% rayon or 100% polyester with or without a belt. Order of
     choice: Stewart Allen, Lesley Fay, California Design.
    Woman's shoes -- Plain woman's pump style shoes with enclosed heel
     and toe, leather uppers and the rest of man-made materials. Heel
     height should be approximately two inches. Do not price shoes w/
     ornamentation or extra thick heals. Order of choice: Naturalizer,
     Capezio.
    Woman's slacks -- Misses unlined slacks appropriate for office
     attire. The slacks should be a blend of cotton and polyester with
     or without a belt. Do not price elastic waist. Order of choice:
     Donnkenny, Alfred Dunner, Fundamental Things.

[[Page 56472]]

    Woman's sweater -- Woman's sweater from catalog. Cotton knit
     crewneck pullover sweater. Machine washable. Order of choice: JC
     Penney's, Lands End.
------------------------------------------------------------------------


                 Appendix 6.--Principal Pricing Changes
          [For Home Sale and Rental Communities see Appendix 8]
------------------------------------------------------------------------
             Current                   Previous             Reason
------------------------------------------------------------------------
1. Boy's polo shirt.............  Not surveyed......  New item.
2. Cordless electric drill......  Not surveyed......  New item.
3. Cellular telephone service...  Not surveyed......  New item.
4. Windshield (autoglass)         Not surveyed......  New item.
 replacement (Alaska only).
5. Private K-12 Education.......  Not surveyed......  New item.
6. Hospital attendant (Puerto     Not surveyed......  New item.
 Rico only).
7. Air ambulance insurance        Not surveyed......  New item.
 (Virgin Islands only).
8. Ground beef: 25% to 30% fat    Ground beef: 25%    Old specification
 content.                          fat content.        too restrictive.
9. Waffles: package of 8 frozen   Waffles: package     Specification
 waffles.                          of frozen waffles.  improves price
                                                       comparison.
10. Disposable diapers: 34 to 36  Disposable          Change improves
 count.                            diapers: 36 count.  price comparison.
11. Fruit drink: 64 fl. oz. can.  Fruit drink: 46     Change improves
                                   fl. oz. can.        price comparison.
12. Potatoes: 5 lb. bag.........  Potatoes: 10 lb.    Change improves
                                   bag.                price comparison.
13. Appliances, electrical        Appliances,         Sears available in
 equipment, and hardware:          electrical          most areas.
 electrical/appliance, hardware,   equipment, and
 and Sears stores.                 hardware:
                                   electrical/
                                   appliance and
                                   hardware stores.
14. Fast food: McDonalds and      Fast food:           More widely used
 Pizza Hut.                        McDonalds and       outlet.
                                   Burger King.
15. Breakfast: Denny's, and       Denny's and Bob     More widely used
 Holiday Inn type.                 Evans.              outlet.
16. Lunch: Denny's and TGIF.....  Lunch: Denny's and  Sizzlers out of
                                   Sizzlers.           business.
17. Dinner: Denny's, TGIF, and    Dinner: Denny's      Sizzlers out of
 Chart House types.                and Sizzlers.       business.
18. Not surveyed................  Snowblower,         Winter items.
                                   skiing, woman's
                                   boots, jacket,
                                   man's boots,
                                   insulated shirt,
                                   parka, and roller
                                   skating.
19. Roundtrip airfares to         Roundtrip airfares  Expands cost
 multiple locations, including     to multiple         information base
 Omaha.                            locations.          to include
                                                       Midwestern
                                                       destination.
20. Legal services: simple will.  Legal services:     More widely used
                                   real estate         service.
                                   closing.
------------------------------------------------------------------------


                               Appendix 7--Consumption Goods and Services Analysis
                                                  [1997 Survey]
----------------------------------------------------------------------------------------------------------------
                                               Lower income            Middle income           Upper income
         Categories            Category  -----------------------------------------------------------------------
                                indexes    Weights*    Subtotal    Weights*    Subtotal    Weights*    Subtotal
----------------------------------------------------------------------------------------------------------------
Anchorage, AK:
    1. Food At Home.........      114.09       26.85       30.63       23.89       27.26       21.11       24.08
    2. Food Away From Home..      113.33       13.59       15.40       14.26       16.16       14.88       16.86
    3. Tobacco..............      111.35        2.91        3.24        2.41        2.68        1.95        2.17
    4. Alcohol..............      103.94        2.49        2.59        2.52        2.62        2.54        2.64
    5. Furnishings and
     Household Operations...      101.51       15.19       15.42       16.35       16.60       17.45       17.71
    6. Clothing.............      106.96       13.34       14.27       13.95       14.92       14.53       15.54
    7. Domestic Services....      103.29        1.80        1.86        2.03        2.10        2.23        2.30
    8. Professional Services       96.55        6.97        6.73        6.81        6.58        6.66        6.43
    9. Personal Care........      107.64        3.58        3.85        3.49        3.76        3.41        3.67
    10. Recreation..........      116.85       13.28       15.52       14.29       16.70       15.24       17.81
                             -----------------------------------------------------------------------------------
        Total weights.......  ..........      100.00  ..........      100.00  ..........      100.00  ..........
                             -----------------------------------------------------------------------------------
        Total indexes:
            Lower...........  ..........  ..........      109.51  ..........  ..........  ..........  ..........
            Middle..........  ..........  ..........  ..........  ..........      109.38  ..........  ..........
            Upper...........  ..........  ..........  ..........  ..........  ..........  ..........      109.21
                             ===================================================================================
Fairbanks, AK:
    1. Food At Home.........      114.99       26.85       30.87       23.89       27.47       21.11       24.27
    2. Food Away From Home..      118.84       13.59       16.15       14.26       16.95       14.88       17.68
    3. Tobacco..............      106.38        2.91        3.10        2.41        2.56        1.95        2.07
    4. Alcohol..............      108.06        2.49        2.69        2.52        2.72        2.54        2.74
    5. Furnishings and
     Household Operations...      105.76       15.19       16.06       16.35       17.29       17.45       18.46
    6. Clothing.............      103.54       13.34       13.81       13.95       14.44       14.53       15.04
    7. Domestic Services....       94.98        1.80        1.71        2.03        1.93        2.23        2.12
    8. Professional Services       86.32        6.97        6.02        6.81        5.88        6.66        5.75
    9. Personal Care........       98.69        3.58        3.53        3.49        3.44        3.41        3.37
    10. Recreation..........      121.00       13.28       16.07       14.29       17.29       15.24       18.44
                             -----------------------------------------------------------------------------------

[[Page 56473]]

        Total weights.......  ..........      100.00  ..........      100.00  ..........      100.00  ..........
                             -----------------------------------------------------------------------------------
        Total indexes:
            Lower...........  ..........  ..........      110.01  ..........  ..........  ..........  ..........
            Middle..........  ..........  ..........  ..........  ..........      109.97  ..........  ..........
            Upper...........  ..........  ..........  ..........  ..........  ..........  ..........      109.94
                             ===================================================================================
Juneau, AK:
    1. Food At Home.........      122.34       26.85       32.85       23.89       29.23       21.11       25.83
    2. Food Away From Home..      126.00       13.59       17.12       14.26       17.97       14.88       18.75
    3. Tobacco..............       98.85        2.91        2.88        2.41        2.38        1.95        1.93
    4. Alcohol..............      112.09        2.49        2.79        2.52        2.82        2.54        2.85
    5. Furnishings and
     Household Operations...      109.76       15.19       16.67       16.35       17.95       17.45       19.15
    6. Clothing.............      107.20       13.34       14.30       13.95       14.95       14.53       15.58
    7. Domestic Services....      102.96        1.80        1.85        2.03        2.09        2.23        2.30
    8. Professional Services       93.88        6.97        6.54        6.81        6.39        6.66        6.25
    9. Personal Care........      123.76        3.58        4.43        3.49        4.32        3.41        4.22
    10. Recreation..........      139.96       13.28       18.59       14.29       20.00       15.24       21.33
                             -----------------------------------------------------------------------------------
        Total weights.......  ..........      100.00  ..........      100.00  ..........      100.00  ..........
                             -----------------------------------------------------------------------------------
        Total indexes:
            Lower...........  ..........  ..........      118.02  ..........  ..........  ..........  ..........
            Middle..........  ..........  ..........  ..........  ..........      118.10  ..........  ..........
            Upper...........  ..........  ..........  ..........  ..........  ..........  ..........      118.19
                             ===================================================================================
Nome, AK:
    1. Food At Home.........      165.41       26.85       44.41       23.89       39.52       21.11       34.92
    2. Food Away From Home..      145.26       13.59       19.74       14.26       20.71       14.88       21.61
    3. Tobacco..............      114.44        2.91        3.33        2.41        2.76        1.95        2.23
    4. Alcohol..............      115.22        2.49        2.87        2.52        2.90        2.54        2.93
    5. Furnishings and
     Household Operations...      122.80       15.19       18.65       16.35       20.08       17.45       21.43
    6. Clothing.............      114.79       13.34       15.31       13.95       16.01       14.53       16.68
    7. Domestic Services....      107.90        1.80        1.94        2.03        2.19        2.23        2.41
    8. Professional Services       97.81        6.97        6.82        6.81        6.66        6.66        6.51
    9. Personal Care........      115.04        3.58        4.12        3.49        4.01        3.41        3.92
    10. Recreation..........      174.48       13.28       23.17       14.29       24.93       15.24       26.59
                             -----------------------------------------------------------------------------------
        Total weights.......  ..........      100.00  ..........      100.00  ..........      100.00  ..........
                             -----------------------------------------------------------------------------------
        Total indexes:
            Lower...........  ..........  ..........      140.36  ..........  ..........  ..........  ..........
            Middle..........  ..........  ..........  ..........  ..........      139.77  ..........  ..........
            Upper...........  ..........  ..........  ..........  ..........  ..........  ..........      139.23
                             ===================================================================================
Honolulu, HI:
    1. Food At Home.........      136.63       26.85       36.69       23.89       32.64       21.11       28.84
    2. Food Away From Home..      118.58       13.59       16.12       14.26       16.91       14.88       17.64
    3. Tobacco..............      116.44        2.91        3.39        2.41        2.81        1.95        2.27
    4. Alcohol..............      106.29        2.49        2.65        2.52        2.68        2.54        2.70
    5. Furnishings and
     Household Operations...      109.20       15.19       16.59       16.35       17.85       17.45       19.06
    6. Clothing.............      107.94       13.34       14.40       13.95       15.06       14.53       15.68
    7. Domestic Services....       94.54        1.80        1.70        2.03        1.92        2.23        2.11
    8. Professional Services       86.14        6.97        6.00        6.81        5.87        6.66        5.74
    9. Personal Care........      115.19        3.58        4.12        3.49        4.02        3.41        3.93
    10. Recreation..........      113.19       13.28       15.03       14.29       16.17       15.24       17.25
                             -----------------------------------------------------------------------------------
        Total weights.......  ..........      100.00  ..........      100.00  ..........      100.00  ..........
                             -----------------------------------------------------------------------------------
        Total indexes:
            Lower...........  ..........  ..........      116.69  ..........  ..........  ..........  ..........
            Middle..........  ..........  ..........  ..........  ..........      115.93  ..........  ..........
            Upper...........  ..........  ..........  ..........  ..........  ..........  ..........      115.22
                             ===================================================================================
Hilo, HI:
    1. Food At Home.........      137.50       26.85       36.92       23.89       32.85       21.11       29.03
    2. Food Away From Home..      112.26       13.59       15.26       14.26       16.01       14.88       16.70
    3. Tobacco..............      113.98        2.91        3.32        2.41        2.75        1.95        2.22
    4. Alcohol..............      102.70        2.49        2.56        2.52        2.59        2.54        2.61

[[Page 56474]]

    5. Furnishings and
     Household Operations...      106.01       15.19       16.10       16.35       17.33       17.45       18.50
    6. Clothing.............      104.43       13.34       13.93       13.95       14.57       14.53       15.17
    7. Domestic Services....       82.09        1.80        1.48        2.03        1.67        2.23        1.83
    8. Professional Services       90.32        6.97        6.30        6.81        6.15        6.66        6.02
    9. Personal Care........      104.42        3.58        3.74        3.49        3.64        3.41        3.56
    10. Recreation..........      112.18       13.28       14.90       14.29       16.03       15.24       17.10
                             -----------------------------------------------------------------------------------
        Total weights.......  ..........      100.00  ..........      100.00  ..........      100.00  ..........
                             -----------------------------------------------------------------------------------
        Total indexes:
            Lower...........  ..........  ..........      114.51  ..........  ..........  ..........  ..........
            Middle..........  ..........  ..........  ..........  ..........      113.59  ..........  ..........
            Upper...........  ..........  ..........  ..........  ..........  ..........  ..........      112.74
                             ===================================================================================
Kailua Kona, HI:
    1. Food At Home.........      138.62       26.85       37.22       23.89       33.12       21.11       29.26
    2. Food Away From Home..      134.09       13.59       18.22       14.26       19.12       14.88       19.95
    3. Tobacco..............      113.98        2.91        3.32        2.41        2.75        1.95        2.22
    4. Alcohol..............      104.16        2.49        2.59        2.52        2.62        2.54        2.65
    5. Furnishings and
     Household Operations...      107.43       15.19       16.32       16.35       17.56       17.45       18.75
    6. Clothing.............      113.55       13.34       15.15       13.95       15.84       14.53       16.50
    7. Domestic Services....       96.14        1.80        1.73        2.03        1.95        2.23        2.14
    8. Professional Services      101.45        6.97        7.07        6.81        6.91        6.66        6.76
    9. Personal Care........      102.87        3.58        3.68        3.49        3.59        3.41        3.51
    10. Recreation..........      123.40       13.28       16.39       14.29       17.63       15.24       18.81
                             -----------------------------------------------------------------------------------
        Total weights.......  ..........      100.00  ..........      100.00  ..........      100.00  ..........
                             -----------------------------------------------------------------------------------
        Total indexes:
            Lower...........  ..........  ..........      121.69  ..........  ..........  ..........  ..........
            Middle..........  ..........  ..........  ..........  ..........      121.09  ..........  ..........
            Upper...........  ..........  ..........  ..........  ..........  ..........  ..........      120.55
                             ===================================================================================
Kauai County, HI:
    1. Food At Home.........      145.59       26.85       39.09       23.89       34.78       21.11       30.73
    2. Food Away From Home..      118.12       13.59       16.05       14.26       16.84       14.88       17.58
    3. Tobacco..............      120.05        2.91        3.49        2.41        2.89        1.95        2.34
    4. Alcohol..............      100.44        2.49        2.50        2.52        2.53        2.54        2.55
    5. Furnishings and
     Household Operations...      109.20       15.19       16.59       16.35       17.85       17.45       19.06
    6. Clothing.............      109.28       13.34       14.58       13.95       15.24       14.53       15.88
    7. Domestic Services....       83.10        1.80        1.50        2.03        1.69        2.23        1.85
    8. Professional Services       98.04        6.97        6.83        6.81        6.68        6.66        6.53
    9. Personal Care........      113.22        3.58        4.05        3.49        3.95        3.41        3.86
    10. Recreation..........      114.67       13.28       15.23       14.29       16.39       15.24       17.48
                             -----------------------------------------------------------------------------------
        Total weights.......  ..........      100.00  ..........      100.00  ..........      100.00  ..........
                             -----------------------------------------------------------------------------------
        Total indexes:
            Lower...........  ..........  ..........      119.91  ..........  ..........  ..........  ..........
            Middle..........  ..........  ..........  ..........  ..........      118.84  ..........  ..........
            Upper...........  ..........  ..........  ..........  ..........  ..........  ..........      117.86
                             ===================================================================================
Maui County, HI:
    1. Food At Home.........      150.23       26.85       40.34       23.89       35.89       21.11       31.71
    2. Food Away From Home..      128.95       13.59       17.52       14.26       18.39       14.88       19.19
    3. Tobacco..............      123.75        2.91        3.60        2.41        2.98        1.95        2.41
    4. Alcohol..............      101.77        2.49        2.53        2.52        2.56        2.54        2.58
    5. Furnishings and
     Household Operations...      109.52       15.19       16.64       16.35       17.91       17.45       19.11
    6. Clothing.............      102.93       13.34       13.73       13.95       14.36       14.53       14.96
    7. Domestic Services....       86.47        1.80        1.56        2.03        1.76        2.23        1.93
    8. Professional Services       91.14        6.97        6.35        6.81        6.21        6.66        6.07
    9. Personal Care........      111.33        3.58        3.99        3.49        3.89        3.41        3.80
    10. Recreation..........      115.88       13.28       15.39       14.29       16.56       15.24       17.66
                             -----------------------------------------------------------------------------------
        Total weights.......  ..........      100.00  ..........      100.00  ..........      100.00  ..........
                             -----------------------------------------------------------------------------------
        Total indexes:
            Lower...........  ..........  ..........      121.65  ..........  ..........  ..........  ..........
            Middle..........  ..........  ..........  ..........  ..........      120.51  ..........  ..........

[[Page 56475]]

            Upper...........  ..........  ..........  ..........  ..........  ..........  ..........      119.42
                             ===================================================================================
Guam:
    1. Food At Home.........      129.56       26.85       34.79       23.89       30.95       21.11       27.35
    2. Food Away From Home..      131.98       13.59       17.94       14.26       18.82       14.88       19.64
    3. Tobacco..............       81.65        2.91        2.38        2.41        1.97        1.95        1.59
    4. Alcohol..............       86.19        2.49        2.15        2.52        2.17        2.54        2.19
    5. Furnishings and
     Household Operations...      129.97       15.19       19.74       16.35       21.25       17.45       22.68
    6. Clothing.............      108.15       13.34       14.43       13.95       15.09       14.53       15.71
    7. Domestic Services....       72.13        1.80        1.30        2.03        1.46        2.23        1.61
    8. Professional Services       98.53        6.97        6.87        6.81        6.71        6.66        6.56
    9. Personal Care........      115.09        3.58        4.12        3.49        4.02        3.41        3.92
    10. Recreation..........      115.94       13.28       15.40       14.29       16.57       15.24       17.67
                             -----------------------------------------------------------------------------------
        Total weights.......  ..........      100.00  ..........      100.00  ..........      100.00  ..........
                             -----------------------------------------------------------------------------------
        Total indexes:
            Lower...........  ..........  ..........      119.12  ..........  ..........  ..........  ..........
            Middle..........  ..........  ..........  ..........  ..........      119.01  ..........  ..........
            Upper...........  ..........  ..........  ..........  ..........  ..........  ..........      118.92
                             ===================================================================================
Guam Blend:**
    1. Food At Home.........      105.98       26.85       28.46       23.89       25.32       21.11       22.37
    2. Food Away From Home..      131.98       13.59       17.94       14.26       18.82       14.88       19.64
    3. Tobacco..............       76.91        2.91        2.24        2.41        1.85        1.95        1.50
    4. Alcohol..............       86.19        2.49        2.15        2.52        2.17        2.54        2.19
    5. Furnishings and
     Household Operations...      122.58       15.19       18.62       16.35       20.04       17.45       21.39
    6. Clothing.............      103.38       13.34       13.79       13.95       14.42       14.53       15.02
    7. Domestic Services....       72.13        1.80        1.30        2.03        1.46        2.23        1.61
    8. Professional Services       98.53        6.97        6.87        6.81        6.71        6.66        6.56
    9. Personal Care........      104.28        3.58        3.73        3.49        3.64        3.41        3.56
    10. Recreation..........      107.08       13.28       14.21       14.29       15.29       15.24       16.31
                             -----------------------------------------------------------------------------------
        Total weights.......  ..........      100.00  ..........      100.00  ..........      100.00  ..........
                             -----------------------------------------------------------------------------------
        Total indexes:
            Lower...........  ..........  ..........      109.32  ..........  ..........  ..........  ..........
            Middle..........  ..........  ..........  ..........  ..........      109.73  ..........  ..........
            Upper...........  ..........  ..........  ..........  ..........  ..........  ..........      110.16
                             ===================================================================================
Puerto Rico:
    1. Food At Home.........      104.85       26.85       28.15       23.89       25.05       21.11       22.13
    2. Food Away From Home..      109.68       13.59       14.91       14.26       15.64       14.88       16.32
    3. Tobacco..............      101.82        2.91        2.96        2.41        2.45        1.95        1.99
    4. Alcohol..............      117.64        2.49        2.93        2.52        2.96        2.54        2.99
    5. Furnishings and
     Household Operations...      106.08       15.19       16.11       16.35       17.34       17.45       18.51
    6. Clothing.............      103.92       13.34       13.86       13.95       14.50       14.53       15.10
    7. Domestic Services....       58.14        1.80        1.05        2.03        1.18        2.23        1.30
    8. Professional Services       96.00        6.97        6.69        6.81        6.54        6.66        6.39
    9. Personal Care........      102.27        3.58        3.66        3.49        3.57        3.41        3.49
    10. Recreation..........      120.62       13.28       16.02       14.29       17.24       15.24       18.38
                             -----------------------------------------------------------------------------------
        Total weights.......  ..........      100.00  ..........      100.00  ..........      100.00  ..........
                             -----------------------------------------------------------------------------------
        Total indexes:
            Lower...........  ..........  ..........      106.34  ..........  ..........  ..........  ..........
            Middle..........  ..........  ..........  ..........  ..........      106.47  ..........  ..........
            Upper...........  ..........  ..........  ..........  ..........  ..........  ..........      106.60
                             ===================================================================================
St. Croix, VI:
    1. Food At Home.........      120.00       26.85       32.22       23.89       28.67       21.11       25.33
    2. Food Away From Home..      123.45       13.59       16.78       14.26       17.60       14.88       18.37
    3. Tobacco..............       61.95        2.91        1.80        2.41        1.49        1.95        1.21
    4. Alcohol..............       88.59        2.49        2.21        2.52        2.23        2.54        2.25
    5. Furnishings and
     Household Operations...      118.35       15.19       17.98       16.35       19.35       17.45       20.65
    6. Clothing.............      112.71       13.34       15.04       13.95       15.72       14.53       16.38
    7. Domestic Services....       63.66        1.80        1.15        2.03        1.29        2.23        1.42
    8. Professional Services      116.13        6.97        8.09        6.81        7.91        6.66        7.73
    9. Personal Care........      117.76        3.58        4.22        3.49        4.11        3.41        4.02

[[Page 56476]]

    10. Recreation..........      128.81       13.28       17.11       14.29       18.41       15.24       19.63
                             -----------------------------------------------------------------------------------
        Total weights.......  ..........      100.00  ..........      100.00  ..........      100.00  ..........
                             -----------------------------------------------------------------------------------
        Total indexes:
            Lower...........  ..........  ..........      116.60  ..........  ..........  ..........  ..........
            Middle..........  ..........  ..........  ..........  ..........      116.78  ..........  ..........
            Upper...........  ..........  ..........  ..........  ..........  ..........  ..........      116.99
                             ===================================================================================
St. Thomas, VI:
    1. Food At Home.........      130.05       26.85       34.92       23.89       31.07       21.11       27.45
    2. Food Away From Home..      113.10       13.59       15.37       14.26       16.13       14.88       16.83
    3. Tobacco..............       65.40        2.91        1.90        2.41        1.58        1.95        1.28
    4. Alcohol..............      101.15        2.49        2.52        2.52        2.55        2.54        2.57
    5. Furnishings and
     Household Operations...      118.64       15.19       18.02       16.35       19.40       17.45       20.70
    6. Clothing.............      103.45       13.34       13.80       13.95       14.43       14.53       15.03
    7. Domestic Services....       56.69        1.80        1.02        2.03        1.15        2.23        1.26
    8. Professional Services      119.80        6.97        8.35        6.81        8.16        6.66        7.98
    9. Personal Care........      121.46        3.58        4.35        3.49        4.24        3.41        4.14
    10. Recreation..........      124.64       13.28       16.55       14.29       17.81       15.24       19.00
                             -----------------------------------------------------------------------------------
        Total weights.......  ..........      100.00  ..........      100.00  ..........      100.00  ..........
                             -----------------------------------------------------------------------------------
        Total indexes:
            Lower...........  ..........  ..........      116.80  ..........  ..........  ..........  ..........
            Middle..........  ..........  ..........  ..........  ..........      116.52  ..........  ..........
            Upper...........  ..........  ..........  ..........  ..........  ..........  ..........      116.24
----------------------------------------------------------------------------------------------------------------
*Numbers might not add to 100 due to rounding.
**Local Retail and Commissary/Exchange


           Consumption Goods and Services Analysis--Composites
                              [1997 Survey]
------------------------------------------------------------------------
                                                  Total indexes
                                        --------------------------------
          Location             Weights     Lower      Middle     Upper
                                           income     income     income
------------------------------------------------------------------------
Hilo, HI....................      75.99     114.51     113.59     112.74
Kailua Kona, HI.............      24.01     121.69     121.09     120.55
                             -------------------------------------------
    Total weight............     100.00  .........  .........  .........
                             -------------------------------------------
     Hawaii County, HI......  .........     116.23     115.39     114.62
                             ===========================================
St. Croix, VI...............      48.76     116.60     116.78     116.99
St. Thomas, VI..............      51.24     116.80     116.52     116.24
                             -------------------------------------------
    Total weight............     100.00  .........  .........  .........
                             -------------------------------------------
     Virgin Islands.........  .........     116.70     116.65     116.61
------------------------------------------------------------------------


                                     Appendix 8.--OPM Living Community List
----------------------------------------------------------------------------------------------------------------
                                                 Low                     Middle                    High
----------------------------------------------------------------------------------------------------------------
Anchorage, AK:
    Homeowner........................  North Anchorage*.......  North Anchorage*.......  South Anchorage.*
    Renter...........................  North Anchorage*.......  North Anchorage*.......  South Anchorage.*
----------------------------------------------------------------------------------------------------------------
*Dividing line between North and South Anchorage is Tudor Road.
================================================================================================================
Fairbanks, AK:
    Homeowner........................  Fairbanks..............  Fairbanks..............  Fairbanks.
    Renter...........................  Fairbanks..............  Fairbanks..............  Fairbanks.
Juneau, AK:
    Homeowner........................  Juneau/Mendenhall......  Juneau/Mendenhall......  Juneau/Mendenhall.

[[Page 56477]]

    Renter...........................  Juneau/Mendenhall......  Juneau/Mendenhall......  Juneau/Mendenhall.
Nome, AK:
    Homeowner........................  Nome...................  Nome...................  Nome.
    Renter...........................  Nome...................  Nome...................  Nome.
Honolulu:
    Homeowner........................  Pearl City.............  Kailua.................  Aina Haina.
                                       Waipahu................  Kanehoe................  Hawaii Kai.
                                       .......................  Mililani Town..........  Kaimuki.
                                       .......................  .......................  Manoa.
    Renter...........................  Kalihi.................  Aiea...................  Aina Haina.
                                       Pearl Harbor Area......  Kailua.................  Hawaii Kai.
                                       .......................  Kanehoe................  Kaimuki.
                                       .......................  Mililani Town..........  Manoa.
Hawaii County--Hilo:
    Homeowner........................  Hilo...................  Hilo...................  Hilo.
    Renter...........................  Hilo...................  Hilo...................  Hilo.
Hawaii County--Kailua Kona:
    Homeowner........................  Kailua Kona Area.......  Kailua Kona Area.......  Kailua Kona Area.
    Renter...........................  Kailua Kona Area.......  Kailua Kona Area.......  Kailua Kona Area.
Kauai:
    Homeowner........................  Kauai..................  Kauai..................  Kauai.
    Renter...........................  Kauai..................  Kauai..................  Kauai.
Maui:
    Homeowner........................  Maui...................  Maui...................  Maui.
    Renter...........................  Maui...................  Maui...................  Maui.
Guam:
    Homeowner........................  Guam...................  Guam...................  Guam.
    Renter...........................  Guam...................  Guam...................  Guam.
Puerto Rico:
    Homeowner........................  Bayamon................  Rio Piedras including    Guaynabo.
                                                                 VA Hospital Area.
                                       Carolina...............  .......................  .......................
    Renter...........................  Bayamon................  Isla Verde.............  Condado.
                                       Carolina...............  Rio Piedras excluding    Guaynabo.
                                                                 VA Hospital Area.
                                       Rio Piedras excluding    .......................  .......................
                                        VA Hospital Area.
St. Croix:
    Homeowner........................  St. Croix..............  St. Croix..............  St. Croix.
    Renter...........................  St. Croix..............  St. Croix..............  St. Croix.
St. Thomas:
    Homeowner........................  St. Thomas.............  St. Thomas.............  St. Thomas.
    Renter...........................  St. Thomas.............  St. Thomas.............  St. Thomas.
Washington, DC DC:
    Homeowner........................  Southeast DC...........  Northeast DC...........  Northwest DC.*
    Renter...........................  Southeast DC...........  Northeast DC...........  Northwest DC.*
----------------------------------------------------------------------------------------------------------------
*Excludes Georgetown, but includes Dupont Circle, Cleveland Park, and Adams Morgan.
================================================================================================================
Washington, DC MD:
    Homeowner........................  Capitol Heights/         Gaithersburg/Silver      Rockville.
                                        Suitland.                Spring.
    Renter...........................  Capitol Heights/         Hyattsville/College      Rockville.
                                        Suitland.                Park.
Washington, DC VA:
    Homeowner........................  Woodbridge/Dale City...  Springfield............  Alexandria.
    Renter...........................  Woodbridge/Dale City...  Alexandria.............  Arlington.
----------------------------------------------------------------------------------------------------------------


                          Appendix 9--Historical Home Market Values and Interest Rates
----------------------------------------------------------------------------------------------------------------
                                                Interest rate
             Area                   Year          (percent)       Income level     Market value     Annual P&I*
----------------------------------------------------------------------------------------------------------------
Anchorage, AK................            1987           9.375  Lower............         $81,024       $6,469.56
                               ..............  ..............  Middle...........         109,147        8,715.12
                               ..............  ..............  Upper............         130,227       10,398.36
                                         1988          10.500  Lower............          74,218        6,517.44
                               ..............  ..............  Middle...........         101,300        8,895.60
                               ..............  ..............  Upper............         117,190       10,291.08
                                         1989          11.125  Lower............          67,538        6,235.80
                               ..............  ..............  Middle...........          93,454        8,628.72
                               ..............  ..............  Upper............         112,532       10,390.20
                                         1990          10.250  Lower............          60,784        5,229.00

[[Page 56478]]

                               ..............  ..............  Middle...........          87,071        7,490.40
                               ..............  ..............  Upper............         114,783        9,874.32
                                         1992           9.000  Lower............          65,700        5,074.92
                               ..............  ..............  Middle...........          96,200        7,430.88
                               ..............  ..............  Upper............         139,400       10,767.84
                                         1993           8.125  Lower............          70,902        5,053.92
                               ..............  ..............  Middle...........          99,073        7,061.88
                               ..............  ..............  Upper............         130,815        9,324.48
                                         1994           7.625  Lower............          72,216        4,906.92
                               ..............  ..............  Middle...........          99,099        6,733.56
                               ..............  ..............  Upper............         124,780        8,478.60
                                         1995           8.625  Lower............          83,286        6,218.76
                               ..............  ..............  Middle...........         102,089        7,622.76
                               ..............  ..............  Upper............         134,580       10,048.80
                                         1996           7.125  Lower............          83,646        5,409.96
                               ..............  ..............  Middle...........         112,671        7,287.24
                               ..............  ..............  Upper............         139,689        9,034.68
                                         1997           7.792  Lower............          86,859        5,997.96
                               ..............  ..............  Middle...........         119,561        8,256.24
                               ..............  ..............  Upper............         149,073       10,294.20
Fairbanks, AK................            1987           9.375  Lower............          71,839        5,736.24
                               ..............  ..............  Middle...........          97,958        7,821.72
                               ..............  ..............  Upper............         131,833       10,526.64
                                         1988          10.500  Lower............          64,696        5,681.28
                               ..............  ..............  Middle...........          93,191        8,183.52
                               ..............  ..............  Upper............         123,467       10,842.24
                                         1989          11.125  Lower............          57,553        5,313.96
                               ..............  ..............  Middle...........          88,424        8,164.32
                               ..............  ..............  Upper............         115,101       10,627.44
                                         1990          10.250  Lower............          50,604        4,353.24
                               ..............  ..............  Middle...........          83,619        7,193.40
                               ..............  ..............  Upper............         107,143        9,217.08
                                         1992           9.000  Lower............          70,851        5,472.84
                               ..............  ..............  Middle...........         101,400        7,832.52
                               ..............  ..............  Upper............         137,000       10,582.44
                                         1993           8.125  Lower............          69,498        4,953.84
                               ..............  ..............  Middle...........         101,478        7,233.36
                               ..............  ..............  Upper............         115,787        8,253.24
                                         1994           7.625  Lower............          76,302        5,184.60
                               ..............  ..............  Middle...........         112,580        7,649.64
                               ..............  ..............  Upper............         127,829        8,685.72
                                         1995           8.708  Lower............          68,940        5,186.76
                               ..............  ..............  Middle...........          84,240        6,337.80
                               ..............  ..............  Upper............         108,426        8,157.48
                                         1996           7.125  Lower............          72,918        4,716.12
                               ..............  ..............  Middle...........          92,625        5,990.76
                               ..............  ..............  Upper............         115,855        7,493.16
                                         1997           8.183  Lower............          78,804        5,647.92
                               ..............  ..............  Middle...........          97,110        6,959.88
                               ..............  ..............  Upper............         122,196        8,757.72
Juneau, AK...................            1987           9.375  Lower............          83,909        6,699.96
                               ..............  ..............  Middle...........         100,846        8,052.36
                               ..............  ..............  Upper............         120,885        9,652.44
                                         1988          10.500  Lower............          76,441        6,712.68
                               ..............  ..............  Middle...........          93,787        8,235.96
                               ..............  ..............  Upper............         113,874        9,999.84
                                         1989          11.125  Lower............          68,797        6,352.08
                               ..............  ..............  Middle...........          86,284        7,966.68
                               ..............  ..............  Upper............         106,131        9,799.20
                                         1990          10.250  Lower............          78,429        6,746.88
                               ..............  ..............  Middle...........          99,227        8,536.08
                               ..............  ..............  Upper............         123,324       10,609.08
                                         1992           9.000  Lower............          89,470        6,911.04
                               ..............  ..............  Middle...........         114,400        8,836.68
                               ..............  ..............  Upper............         146,300       11,300.76
                                         1993           8.125  Lower............          87,570        6,241.92
                               ..............  ..............  Middle...........         115,518        8,234.04
                               ..............  ..............  Upper............         134,232        9,568.08
                                         1994           7.625  Lower............          92,826        6,307.32
                               ..............  ..............  Middle...........         117,364        7,974.72
                               ..............  ..............  Upper............         140,760        9,564.36

[[Page 56479]]

                                         1995           8.625  Lower............         102,879        7,681.80
                               ..............  ..............  Middle...........         138,723       10,358.16
                               ..............  ..............  Upper............         163,812       12,231.48
                                         1996           7.125  Lower............         114,255        7,389.72
                               ..............  ..............  Middle...........         143,767        9,298.44
                               ..............  ..............  Upper............         169,507       10,963.20
                                         1997           7.792  Lower............         130,266        8,995.44
                               ..............  ..............  Middle...........         162,955       11,252.76
                               ..............  ..............  Upper............         185,011       12,775.80
Nome, AK.....................            1987           9.375  Lower............          81,367        6,497.04
                               ..............  ..............  Middle...........         107,602        8,591.76
                               ..............  ..............  Upper............         129,445       10,335.96
                                         1988          10.500  Lower............          78,763        6,916.56
                               ..............  ..............  Middle...........         104,159        9,146.76
                               ..............  ..............  Upper............         125,312       11,004.24
                                         1989          11.125  Lower............          76,243        7,039.56
                               ..............  ..............  Middle...........         100,826        9,309.36
                               ..............  ..............  Upper............         121,302       11,199.96
                                         1990          10.250  Lower............          73,803        6,348.96
                               ..............  ..............  Middle...........          97,600        8,396.16
                               ..............  ..............  Upper............         117,420       10,101.12
                                         1992           9.000  Lower............          71,100        5,492.04
                               ..............  ..............  Middle...........          97,500        7,531.32
                               ..............  ..............  Upper............         122,400        9,454.68
                                         1993           8.125  Lower............          56,453        4,023.96
                               ..............  ..............  Middle...........          77,415        5,518.08
                               ..............  ..............  Upper............          97,186        6,927.36
                                         1994           7.625  Lower............          82,365        5,596.56
                               ..............  ..............  Middle...........         112,948        7,674.60
                               ..............  ..............  Upper............         141,794        9,634.68
                                         1995           8.625  Lower............          81,711        6,101.16
                               ..............  ..............  Middle...........         118,027        8,812.80
                               ..............  ..............  Upper............         154,343       11,524.44
                                         1996           7.125  Lower............          80,856        5,229.48
                               ..............  ..............  Middle...........         119,171        7,707.60
                               ..............  ..............  Upper............         139,213        9,003.84
                                         1997           8.183  Lower............          99,324        7,118.52
                               ..............  ..............  Middle...........         143,468       10,282.32
                               ..............  ..............  Upper............         187,612       13,446.12
Honolulu, HI.................            1987          10.375  Lower............         122,352       10,634.76
                               ..............  ..............  Middle...........         151,096       13,133.16
                               ..............  ..............  Upper............         281,713       24,486.24
                                         1988          11.000  Lower............         134,388       12,286.20
                               ..............  ..............  Middle...........         173,823       15,891.48
                               ..............  ..............  Upper............         335,274       30,651.72
                                         1989          10.500  Lower............         182,268       16,005.84
                               ..............  ..............  Middle...........         231,218       20,304.36
                               ..............  ..............  Upper............         410,550       36,052.44
                                         1990          10.250  Lower............         248,571       21,383.52
                               ..............  ..............  Middle...........         299,702       25,782.12
                               ..............  ..............  Upper............         510,714       43,934.52
                                         1991           9.125  Lower............         258,300       20,175.48
                               ..............  ..............  Middle...........         320,866       25,062.48
                               ..............  ..............  Upper............         501,701       39,187.20
                                         1992           8.125  Lower............         192,168       13,697.64
                               ..............  ..............  Middle...........         323,752       23,076.96
                               ..............  ..............  Upper............         483,820       34,486.56
                                         1993           7.125  Lower............         243,072       15,721.20
                               ..............  ..............  Middle...........         331,006       21,408.48
                               ..............  ..............  Upper............         470,730       30,445.44
                                         1994           9.333  Lower............         257,814       20,510.40
                               ..............  ..............  Middle...........         340,392       27,079.80
                               ..............  ..............  Upper............         466,242       37,091.88
                                         1996           7.025  Lower............         220,896       14,144.04
                               ..............  ..............  Middle...........         303,849       19,455.60
                               ..............  ..............  Upper............         417,095       26,706.72
                                         1997           7.875  Lower............         213,003       14,826.48
                               ..............  ..............  Middle...........         278,759       19,403.52
                               ..............  ..............  Upper............         401,642       27,957.00
Hilo, HI.....................            1987          10.375  Lower............          59,435        5,166.00
                               ..............  ..............  Middle...........          82,183        7,143.24

[[Page 56480]]

                               ..............  ..............  Upper............         106,098        9,221.88
                                         1988          11.000  Lower............          68,410        6,254.28
                               ..............  ..............  Middle...........          92,371        8,444.88
                               ..............  ..............  Upper............         114,412       10,459.92
                                         1989          10.500  Lower............          77,386        6,795.60
                               ..............  ..............  Middle...........         102,559        9,006.24
                               ..............  ..............  Upper............         122,727       10,777.32
                                         1990          10.250  Lower............         121,688       10,468.32
                               ..............  ..............  Middle...........         108,821        9,361.44
                               ..............  ..............  Upper............         164,283       14,132.52
                                         1991           9.125  Lower............         134,100       10,474.44
                               ..............  ..............  Middle...........         180,700       14,114.28
                               ..............  ..............  Upper............         204,000       15,934.20
                                         1992           8.125  Lower............         130,743        9,319.32
                               ..............  ..............  Middle...........         162,903       11,611.68
                               ..............  ..............  Upper............         197,863       14,103.60
                                         1993           7.125  Lower............         127,854        8,269.20
                               ..............  ..............  Middle...........         173,095       11,195.28
                               ..............  ..............  Upper............         202,018       13,065.96
                                         1994           9.333  Lower............         114,696        9,124.92
                               ..............  ..............  Middle...........         162,500       12,927.96
                               ..............  ..............  Upper............         196,146       15,604.80
                                         1996           7.000  Lower............         115,750        7,392.84
                               ..............  ..............  Middle...........         164,711       10,519.92
                               ..............  ..............  Upper............         183,841       11,741.76
                                         1997           7.792  Lower............          89,064        6,150.24
                               ..............  ..............  Middle...........         139,191        9,611.76
                               ..............  ..............  Upper............         186,983       12,912.00
Kailua Kona, HI..............            1987          10.375  Lower............          88,880        7,725.36
                               ..............  ..............  Middle...........         122,387       10,637.76
                               ..............  ..............  Upper............         140,297       12,194.52
                                         1988          11.000  Lower............         100,662        9,202.80
                               ..............  ..............  Middle...........         137,180       12,541.44
                               ..............  ..............  Upper............         160,692       14,691.00
                                         1989          10.500  Lower............         112,444        9,874.32
                               ..............  ..............  Middle...........         151,973       13,345.56
                               ..............  ..............  Upper............         181,087       15,902.16
                                         1990          10.250  Lower............         134,609       11,579.88
                               ..............  ..............  Middle...........         189,900       16,336.32
                               ..............  ..............  Upper............         225,100       19,364.40
                                         1991           9.130  Lower............         154,800       12,096.60
                               ..............  ..............  Middle...........         204,100       15,949.08
                               ..............  ..............  Upper............         256,700       20,059.44
                                         1992           8.125  Lower............         159,867       11,395.32
                               ..............  ..............  Middle...........         222,950       15,891.84
                               ..............  ..............  Upper............         261,018       18,605.28
                                         1993           7.125  Lower............         153,666        9,938.64
                               ..............  ..............  Middle...........         219,245       14,180.16
                               ..............  ..............  Upper............         261,902       16,939.08
                                         1994           9.333  Lower............         152,235       12,111.36
                               ..............  ..............  Middle...........         215,826       17,170.44
                               ..............  ..............  Upper............         224,128       17,830.92
                                         1996           6.958  Lower............         144,434        9,186.12
                               ..............  ..............  Middle...........         191,923       12,206.40
                               ..............  ..............  Upper............         220,752       14,039.88
                                         1997           8.042  Lower............         141,552       10,010.88
                               ..............  ..............  Middle...........         186,056       13,158.36
                               ..............  ..............  Upper............         219,674       15,535.92
Kauai County, HI.............            1987          10.375  Lower............          78,576        6,829.80
                               ..............  ..............  Middle...........         106,294        9,238.92
                               ..............  ..............  Upper............         121,318       10,544.88
                                         1988          11.000  Lower............          91,046        8,323.68
                               ..............  ..............  Middle...........         124,556       11,387.28
                               ..............  ..............  Upper............         145,581       13,309.44
                                         1989          10.500  Lower............         103,516        9,090.24
                               ..............  ..............  Middle...........         142,818       12,541.56
                               ..............  ..............  Upper............         177,900       15,622.32
                                         1990          10.250  Lower............         177,351       15,256.80
                               ..............  ..............  Middle...........         233,846       20,116.80
                               ..............  ..............  Upper............         295,854       25,451.04
                                         1991           9.125  Lower............         174,336       13,617.12

[[Page 56481]]

                               ..............  ..............  Middle...........         229,900       17,957.16
                               ..............  ..............  Upper............         290,800       22,714.08
                                         1992           8.125  Lower............         171,792       12,245.28
                               ..............  ..............  Middle...........         221,624       15,797.28
                               ..............  ..............  Upper............         273,921       19,524.96
                                         1993           7.125  Lower............         171,964       11,122.08
                               ..............  ..............  Middle...........         221,858       14,349.12
                               ..............  ..............  Upper............         274,195       17,734.08
                                         1994           9.333  Lower............         163,350       12,995.64
                               ..............  ..............  Middle...........         222,196       17,677.20
                               ..............  ..............  Upper............         255,000       20,287.08
                                         1996           6.958  Lower............         176,907       11,251.32
                               ..............  ..............  Middle...........         228,147       14,510.28
                               ..............  ..............  Upper............         265,084       16,859.40
                                         1997           8.042  Lower............         151,551       10,718.04
                               ..............  ..............  Middle...........         209,781       14,836.32
                               ..............  ..............  Upper............         235,688       16,668.48
Maui County, HI..............            1987          10.375  Lower............         100,293        8,717.40
                               ..............  ..............  Middle...........         133,911       11,639.40
                               ..............  ..............  Upper............         168,401       14,637.24
                                         1988          11.000  Lower............         121,107       11,071.92
                               ..............  ..............  Middle...........         160,693       14,691.00
                               ..............  ..............  Upper............         202,081       18,474.84
                                         1989          10.500  Lower............         151,384       13,293.84
                               ..............  ..............  Middle...........         200,866       17,639.04
                               ..............  ..............  Upper............         252,601       22,182.12
                                         1990          10.250  Lower............         174,092       14,976.36
                               ..............  ..............  Middle...........         230,996       19,871.64
                               ..............  ..............  Upper............         290,491       24,989.64
                                         1991           9.125  Lower............         210,651       16,453.68
                               ..............  ..............  Middle...........         279,500       21,831.36
                               ..............  ..............  Upper............         351,494       27,454.80
                                         1992           8.125  Lower............         207,913       14,820.00
                               ..............  ..............  Middle...........         275,925       19,667.88
                               ..............  ..............  Upper............         346,925       24,728.76
                                         1993           7.125  Lower............         180,099       11,648.28
                               ..............  ..............  Middle...........         255,476       16,523.40
                               ..............  ..............  Upper............         310,845       20,104.56
                                         1994           9.333  Lower............         180,000       14,320.32
                               ..............  ..............  Middle...........         250,588       19,936.08
                               ..............  ..............  Upper............         278,443       22,152.12
                                         1996           7.000  Lower............         192,575       12,299.64
                               ..............  ..............  Middle...........         260,593       16,643.88
                               ..............  ..............  Upper............         283,138       18,083.76
                                         1997           7.417  Lower............         182,448       12,147.36
                               ..............  ..............  Middle...........         234,429       15,608.28
                               ..............  ..............  Upper............         274,074       18,247.80
Guam.........................            1987          10.375  Lower............          74,841        6,505.08
                               ..............  ..............  Middle...........          91,802        7,979.40
                               ..............  ..............  Upper............         188,786       16,409.16
                                         1988          11.000  Lower............          84,271        7,704.36
                               ..............  ..............  Middle...........         103,920        9,500.64
                               ..............  ..............  Upper............         207,287       18,950.76
                                         1989          10.375  Lower............          93,709        8,145.12
                               ..............  ..............  Middle...........         116,079       10,089.48
                               ..............  ..............  Upper............         225,735       19,620.72
                                         1990          10.500  Lower............         103,174        9,060.24
                               ..............  ..............  Middle...........         128,151       11,253.60
                               ..............  ..............  Upper............         244,245       21,448.32
                                         1991          10.125  Lower............         113,491        9,662.04
                               ..............  ..............  Middle...........         140,966       12,001.08
                               ..............  ..............  Upper............         268,670       22,873.20
                                         1992           9.491  Lower............         130,855       10,554.60
                               ..............  ..............  Middle...........         162,534       13,109.88
                               ..............  ..............  Upper............         309,777       24,986.28
                                         1993           7.750  Lower............         144,738        9,954.48
                               ..............  ..............  Middle...........         189,280       13,017.84
                               ..............  ..............  Upper............         258,978       17,811.36
                                         1994          10.050  Lower............         133,452       11,290.32
                               ..............  ..............  Middle...........         188,240       15,925.44
                               ..............  ..............  Upper............         244,375       20,674.56

[[Page 56482]]

                                         1996           7.875  Lower............         130,746        9,100.80
                               ..............  ..............  Middle...........         180,074       12,534.36
                               ..............  ..............  Upper............         224,347       15,616.08
                                         1997           7.917  Lower............         149,292       10,433.52
                               ..............  ..............  Middle...........         162,500       11,356.56
                               ..............  ..............  Upper............         212,500       14,850.96
Puerto Rico..................            1987          10.625  Lower............          60,266        5,346.36
                               ..............  ..............  Middle...........          73,818        6,548.64
                               ..............  ..............  Upper............         106,847        9,478.80
                                         1988          10.875  Lower............          64,485        5,837.04
                               ..............  ..............  Middle...........          78,985        7,149.48
                               ..............  ..............  Upper............         114,326       10,348.44
                                         1989          10.375  Lower............          70,934        6,165.48
                               ..............  ..............  Middle...........          86,884        7,551.84
                               ..............  ..............  Upper............         122,329       10,632.72
                                         1990          10.375  Lower............          78,027        6,782.04
                               ..............  ..............  Middle...........          95,572        8,307.00
                               ..............  ..............  Upper............         134,562       11,696.04
                                         1991           8.875  Lower............          82,800        6,324.48
                               ..............  ..............  Middle...........         100,255        7,657.68
                               ..............  ..............  Upper............         141,100       10,777.44
                                         1992           8.125  Lower............          62,271        4,438.68
                               ..............  ..............  Middle...........          84,721        6,038.88
                               ..............  ..............  Upper............         151,946       10,830.72
                                         1993           7.125  Lower............          61,389        3,970.44
                               ..............  ..............  Middle...........          84,084        5,438.28
                               ..............  ..............  Upper............         151,878        9,822.96
                                         1994           8.750  Lower............          66,843        5,048.16
                               ..............  ..............  Middle...........         102,232        7,720.92
                               ..............  ..............  Upper............         143,633       10,847.64
                                         1996           7.792  Lower............          69,714        4,813.92
                               ..............  ..............  Middle...........         107,367        7,413.96
                               ..............  ..............  Upper............         168,385       11,627.40
                                         1997           7.770  Lower............          73,683        5,077.32
                               ..............  ..............  Middle...........         108,849        7,500.60
                               ..............  ..............  Upper............         172,244       11,869.08
St. Croix, VI................            1987          12.000  Lower............          54,140        5,346.12
                               ..............  ..............  Middle...........          70,157        6,927.72
                               ..............  ..............  Upper............         119,042       11,754.96
                                         1988          12.000  Lower............          66,051        6,522.36
                               ..............  ..............  Middle...........          85,592        8,451.96
                               ..............  ..............  Upper............         145,231       14,341.08
                                         1989          11.750  Lower............          64,730        6,272.52
                               ..............  ..............  Middle...........          83,880        8,128.20
                               ..............  ..............  Upper............         142,326       13,791.84
                                         1990          11.250  Lower............          80,912        7,544.28
                               ..............  ..............  Middle...........         104,850        9,776.28
                               ..............  ..............  Upper............         177,908       16,588.32
                                         1991          10.250  Lower............          85,281        7,336.32
                               ..............  ..............  Middle...........         110,500        9,505.80
                               ..............  ..............  Upper............         187,500       16,129.80
                                         1992           9.500  Lower............         103,635        8,365.68
                               ..............  ..............  Middle...........         151,866       12,258.96
                               ..............  ..............  Upper............         188,037       15,178.68
                                         1993           8.375  Lower............         112,962        8,242.44
                               ..............  ..............  Middle...........         174,161       12,708.00
                               ..............  ..............  Upper............         194,004       14,155.92
                                         1994           9.083  Lower............          77,409        6,024.00
                               ..............  ..............  Middle...........         128,076        9,966.84
                               ..............  ..............  Upper............         210,035       16,344.96
                                         1996           9.042  Lower............          86,304        6,691.32
                               ..............  ..............  Middle...........         124,863        9,680.88
                               ..............  ..............  Upper............         180,796       14,017.44
                                         1997           9.250  Lower............          78,489        6,198.84
                               ..............  ..............  Middle...........         128,076       10,115.04
                               ..............  ..............  Upper............         152,099       12,012.24
St. Thomas, VI...............            1987          12.000  Lower............         103,617       10,231.80
                               ..............  ..............  Middle...........         131,108       12,946.44
                               ..............  ..............  Upper............         156,484       15,452.28
                                         1988          12.000  Lower............         121,129       11,961.12
                               ..............  ..............  Middle...........         153,265       15,134.40

[[Page 56483]]

                               ..............  ..............  Upper............         182,929       18,063.60
                                         1989          11.750  Lower............         126,943       12,301.20
                               ..............  ..............  Middle...........         160,622       15,564.84
                               ..............  ..............  Upper............         191,710       18,577.32
                                         1990          11.250  Lower............         122,500       11,422.08
                               ..............  ..............  Middle...........         155,000       14,452.32
                               ..............  ..............  Upper............         185,000       17,249.64
                                         1991          10.250  Lower............         126,900       10,916.64
                               ..............  ..............  Middle...........         180,700       15,544.80
                               ..............  ..............  Upper............         210,800       18,134.28
                                         1992           9.000  Lower............         128,930        9,959.04
                               ..............  ..............  Middle...........         183,591       14,181.24
                               ..............  ..............  Upper............         214,173       16,543.56
                                         1993           8.250  Lower............         139,680       10,074.00
                               ..............  ..............  Middle...........         198,829       14,339.88
                               ..............  ..............  Upper............         231,949       16,728.48
                                         1994           9.083  Lower............         106,533        8,290.44
                               ..............  ..............  Middle...........         190,164       14,798.52
                               ..............  ..............  Upper............         195,381       15,204.60
                                         1996           8.292  Lower............         137,936        9,987.00
                               ..............  ..............  Middle...........         197,134       14,273.16
                               ..............  ..............  Upper............         187,673       13,588.08
                                         1997           8.333  Lower............         137,936       10,025.52
                               ..............  ..............  Middle...........         197,134       14,328.24
                               ..............  ..............  Upper............         187,673       13,640.52
Washington, DC (DC)..........            1987          10.250  Lower............          70,543        6,068.52
                               ..............  ..............  Middle...........         113,015        9,722.16
                               ..............  ..............  Upper............         187,324       16,114.68
                                         1988          10.500  Lower............          76,327        6,702.60
                               ..............  ..............  Middle...........         126,817       11,136.48
                               ..............  ..............  Upper............         202,310       17,765.88
                                         1989           9.625  Lower............          82,128        6,701.52
                               ..............  ..............  Middle...........         140,619       11,474.40
                               ..............  ..............  Upper............         218,495       17,829.00
                                         1990           9.875  Lower............          87,877        7,325.52
                               ..............  ..............  Middle...........         140,974       11,751.84
                               ..............  ..............  Upper............         235,975       19,671.24
                                         1991           9.250  Lower............          90,104        7,116.12
                               ..............  ..............  Middle...........         144,550       11,416.08
                               ..............  ..............  Upper............         242,000       19,112.40
                                         1992           8.313  Lower............          90,828        6,589.32
                               ..............  ..............  Middle...........         127,270        9,233.04
                               ..............  ..............  Upper............         241,230       17,500.56
                                         1993           7.375  Lower............          93,369        6,190.80
                               ..............  ..............  Middle...........         115,021        7,626.48
                               ..............  ..............  Upper............         286,564       19,000.56
                                         1994           8.677  Lower............          82,242        6,170.04
                               ..............  ..............  Middle...........         104,657        7,851.72
                               ..............  ..............  Upper............         305,541       22,922.64
                                         1996           7.625  Lower............          73,177        4,972.20
                               ..............  ..............  Middle...........         110,425        7,503.12
                               ..............  ..............  Upper............         290,563       19,743.24
                                         1997           7.823  Lower............          56,115        3,886.56
                               ..............  ..............  Middle...........          82,940        5,744.52
                               ..............  ..............  Upper............         220,779       15,291.24
Washington, DC (MD)..........            1987          10.125  Lower............          66,032        5,621.64
                               ..............  ..............  Middle...........         102,250        8,705.04
                               ..............  ..............  Upper............         121,660       10,357.56
                                         1988          10.375  Lower............          73,295        6,370.68
                               ..............  ..............  Middle...........         113,498        9,865.20
                               ..............  ..............  Upper............         135,043       11,737.80
                                         1989          10.000  Lower............          81,357        6,854.04
                               ..............  ..............  Middle...........         125,983       10,613.64
                               ..............  ..............  Upper............         149,898       12,628.44
                                         1990           9.875  Lower............          89,493        7,460.28
                               ..............  ..............  Middle...........         138,581       11,552.28
                               ..............  ..............  Upper............         164,888       13,745.28
                                         1991           8.750  Lower............          93,475        7,059.48
                               ..............  ..............  Middle...........         144,748       10,931.88
                               ..............  ..............  Upper............         169,958       12,835.80
                                         1992           8.313  Lower............         104,198        7,559.28

[[Page 56484]]

                               ..............  ..............  Middle...........         131,118        9,512.28
                               ..............  ..............  Upper............         207,502       15,053.64
                                         1993           7.375  Lower............          92,655        6,143.52
                               ..............  ..............  Middle...........         118,911        7,884.36
                               ..............  ..............  Upper............         204,264       13,543.68
                                         1994           8.688  Lower............          90,963        6,831.24
                               ..............  ..............  Middle...........         167,349       12,567.72
                               ..............  ..............  Upper............         214,030       16,073.40
                                         1996           6.896  Lower............         109,369        6,912.12
                               ..............  ..............  Middle...........         222,845       14,083.80
                               ..............  ..............  Upper............         224,792       14,206.80
                                         1997           7.920  Lower............          94,536        6,608.76
                               ..............  ..............  Middle...........         160,823       11,242.56
                               ..............  ..............  Upper............         199,648       13,956.72
Washington, DC (VA)..........            1987          10.125  Lower............          76,526        6,515.04
                               ..............  ..............  Middle...........          86,350        7,351.44
                               ..............  ..............  Upper............         143,173       12,189.00
                                         1988          10.500  Lower............          83,413        7,324.92
                               ..............  ..............  Middle...........          94,122        8,265.36
                               ..............  ..............  Upper............         156,059       13,704.36
                                         1989           9.500  Lower............          90,086        7,271.88
                               ..............  ..............  Middle...........         101,652        8,205.60
                               ..............  ..............  Upper............         168,544       13,605.24
                                         1990          10.000  Lower............          97,293        8,196.60
                               ..............  ..............  Middle...........         109,784        9,249.00
                               ..............  ..............  Upper............         182,028       15,335.28
                                         1991           8.938  Lower............         103,462        7,947.48
                               ..............  ..............  Middle...........         117,650        9,037.44
                               ..............  ..............  Upper............         187,000       14,364.60
                                         1992           8.250  Lower............         100,103        7,219.56
                               ..............  ..............  Middle...........         126,315        9,110.04
                               ..............  ..............  Upper............         182,810       13,184.52
                                         1993           7.500  Lower............          94,905        6,370.44
                               ..............  ..............  Middle...........         126,874        8,516.40
                               ..............  ..............  Upper............         181,705       12,196.92
                                         1994           8.698  Lower............          99,657        7,490.88
                               ..............  ..............  Middle...........         167,876       12,618.72
                               ..............  ..............  Upper............         228,191       17,152.44
                                         1996           7.083  Lower............         108,327        6,976.80
                               ..............  ..............  Middle...........         169,472       10,914.84
                               ..............  ..............  Upper............         206,918       13,326.60
                                         1997           7.858  Lower............         104,364        7,252.56
                               ..............  ..............  Middle...........         160,706       11,168.04
                               ..............  ..............  Upper............         229,925       15,978.24
----------------------------------------------------------------------------------------------------------------
*Principal and interest assumes 80 financing.


                                      Appendix 10.--Historical Housing Data
----------------------------------------------------------------------------------------------------------------
                                             Lower                  Middle                   Upper
            Year                Weights     amounts    Subtotal     amounts    Subtotal     amounts    Subtotal
----------------------------------------------------------------------------------------------------------------
Anchorage, AK:
    1987....................        6.31    6,469.56      408.23    8,715.12      549.92   10,398.36      656.14
    1988....................        6.77    6,517.44      441.23    8,895.60      602.23   10,291.08      696.71
    1989....................        8.19    6,235.80      510.71    8,628.72      706.69   10,390.20      850.96
    1990....................        7.03    5,229.00      367.60    7,490.40      526.58    9,874.32      694.16
    1992....................        7.72    5,074.92      391.78    7,430.88      573.66   10,767.84      831.28
    1993....................        8.32    5,053.92      420.49    7,061.88      587.55    9,324.48      775.80
    1994....................       10.08    4,906.92      494.62    6,733.56      678.74    8,478.60      854.64
    1995....................       12.92    6,218.76      803.46    7,622.76      984.86   10,048.80    1,298.30
    1996....................       13.78    5,409.96      745.49    7,287.24    1,004.18    9,034.68    1,244.98
    1997....................       18.88    5,997.96    1,132.41    8,256.24    1,558.78   10,294.20    1,943.54
                             -----------------------------------------------------------------------------------
      Totals................      100.00  ..........    5,716.02  ..........    7,773.19  ..........    9,846.51
                             ===================================================================================
Fairbanks, AK:
    1987....................        6.31    5,736.24      361.96    7,821.72      493.55   10,526.64      664.23
    1988....................        6.77    5,681.28      384.62    8,183.52      554.02   10,842.24      734.02
    1989....................        8.19    5,313.96      435.21    8,164.32      668.66   10,627.44      870.39
    1990....................        7.03    4,353.24      306.03    7,193.40      505.70    9,217.08      647.96

[[Page 56485]]

    1992....................        7.72    5,472.84      422.50    7,832.52      604.67   10,582.44      816.96
    1993....................        8.32    4,953.84      412.16    7,233.36      601.82    8,253.24      686.67
    1994....................       10.08    5,184.60      522.61    7,649.64      771.08    8,685.72      875.52
    1995....................       12.92    5,186.76      670.13    6,337.80      818.84    8,157.48    1,053.95
    1996....................       13.78    4,716.12      649.88    5,990.76      825.53    7,493.16    1,032.56
    1997....................       18.88    5,647.92    1,066.33    6,959.88    1,314.03    8,757.72    1,653.46
                             -----------------------------------------------------------------------------------
      Totals................      100.00  ..........    5,231.43  ..........    7,157.90  ..........    9,035.72
                             ===================================================================================
Juneau, AK:
    1987....................        6.31    6,699.96      422.77    8,052.36      508.10    9,652.44      609.07
    1988....................        6.77    6,712.68      454.45    8,235.96      557.57    9,999.84      676.99
    1989....................        8.19    6,352.08      520.24    7,966.68      652.47    9,799.20      802.55
    1990....................        7.03    6,746.88      474.31    8,536.08      600.09   10,609.08      745.82
    1992....................        7.72    6,911.04      533.53    8,836.68      682.19   11,300.76      872.42
    1993....................        8.32    6,241.92      519.33    8,234.04      685.07    9,568.08      796.06
    1994....................       10.08    6,307.32      635.78    7,974.72      803.85    9,564.36      964.09
    1995....................       12.92    7,681.80      992.49   10,358.16    1,338.27   12,231.48    1,580.31
    1996....................       13.78    7,389.72    1,018.30    9,298.44    1,281.33   10,963.20    1,510.73
    1997....................       18.88    8,995.44    1,698.34   11,252.76    2,124.52   12,775.80    2,412.07
                             -----------------------------------------------------------------------------------
      Totals................      100.00  ..........    7,269.54  ..........    9,233.46  ..........   10,970.11
                             ===================================================================================
Nome, AK:
    1987....................        6.31    6,497.04      409.96    8,591.76      542.14   10,335.96      652.20
    1988....................        6.77    6,916.56      468.25    9,146.76      619.24   11,004.24      744.99
    1989....................        8.19    7,039.56      576.54    9,309.36      762.44   11,199.96      917.28
    1990....................        7.03    6,348.96      446.33    8,396.16      590.25   10,101.12      710.11
    1992....................        7.72    5,492.04      423.99    7,531.32      581.42    9,454.68      729.90
    1993....................        8.32    4,023.96      334.79    5,518.08      459.10    6,927.36      576.36
    1994....................       10.08    5,596.56      564.13    7,674.60      773.60    9,634.68      971.18
    1995....................       12.92    6,101.16      788.27    8,812.80    1,138.61   11,524.44    1,488.96
    1996....................       13.78    5,229.48      720.62    7,707.60    1,062.11    9,003.84    1,240.73
    1997....................       18.88    7,118.52    1,343.98   10,282.32    1,941.30   13,446.12    2,538.63
                             -----------------------------------------------------------------------------------
      Totals................      100.00  ..........    6,076.86  ..........    8,470.21  ..........   10,570.34
                             ===================================================================================
Honolulu, HI:
    1987....................        6.31   10,634.76      671.05   13,133.16      828.70   24,486.24    1,545.08
    1988....................        6.77   12,286.20      831.78   15,891.48    1,075.85   30,651.72    2,075.12
    1989....................        8.19   16,005.84    1,310.88   20,304.36    1,662.93   36,052.44    2,952.69
    1990....................        7.03   21,383.52    1,503.26   25,782.12    1,812.48   43,934.52    3,088.60
    1991....................        7.72   20,175.48    1,557.55   25,062.48    1,934.82   39,187.20    3,025.25
    1992....................        8.32   13,697.64    1,139.64   23,076.96    1,920.00   34,486.56    2,869.28
    1993....................       10.08   15,721.20    1,584.70   21,408.48    2,157.97   30,445.44    3,068.90
    1994....................       12.92   20,510.40    2,649.94   27,079.80    3,498.71   37,091.88    4,792.27
    1996....................       13.78   14,144.04    1,949.05   19,455.60    2,680.98   26,706.72    3,680.19
    1997....................       18.88   14,826.48    2,799.24   19,403.52    3,663.38   27,957.00    5,278.28
                             -----------------------------------------------------------------------------------
      Totals................      100.00  ..........   15,997.09  ..........   21,235.82  ..........   32,375.66
                             ===================================================================================
Hilo, HI:
    1987....................        6.31    5,166.00      325.97    7,143.24      450.74    9,221.88      581.90
    1988....................        6.77    6,254.28      423.41    8,444.88      571.72   10,459.92      708.14
    1989....................        8.19    6,795.60      556.56    9,006.24      737.61   10,777.32      882.66
    1990....................        7.03   10,468.32      735.92    9,361.44      658.11   14,132.52      993.52
    1991....................        7.72   10,474.44      808.63   14,114.28    1,089.62   15,934.20    1,230.12
    1992....................        8.32    9,319.32      775.37   11,611.68      966.09   14,103.60    1,173.42
    1993....................       10.08    8,269.20      833.54   11,195.28    1,128.48   13,065.96    1,317.05
    1994....................       12.92    9,124.92    1,178.94   12,927.96    1,670.29   15,604.80    2,016.14
    1996....................       13.78    7,392.84    1,018.73   10,519.92    1,449.64   11,741.76    1,618.01
    1997....................       18.88    6,150.24    1,161.17    9,611.76    1,814.70   12,912.00    2,437.79
                             -----------------------------------------------------------------------------------
      Totals................      100.00  ..........    7,818.24  ..........   10,537.00  ..........   12,958.75
                             ===================================================================================
Kailua Kona, HI:
    1987....................        6.31    7,725.36      487.47   10,637.76      671.24   12,194.52      769.47
    1988....................        6.77    9,202.80      623.03   12,541.44      849.06   14,691.00      994.58
    1989....................        8.19    9,874.32      808.71   13,345.56    1,093.00   15,902.16    1,302.39
    1990....................        7.03   11,579.88      814.07   16,336.32    1,148.44   19,364.40    1,361.32
    1991....................        7.72   12,096.60      933.86   15,949.08    1,231.27   20,059.44    1,548.59
    1992....................        8.32   11,395.32      948.09   15,891.84    1,322.20   18,605.28    1,547.96

[[Page 56486]]

    1993....................       10.08    9,938.64    1,001.81   14,180.16    1,429.36   16,939.08    1,707.46
    1994....................       12.92   12,111.36    1,564.79   17,170.44    2,218.42   17,830.92    2,303.75
    1996....................       13.78    9,186.12    1,265.85   12,206.40    1,682.04   14,039.88    1,934.70
    1997....................       18.88   10,010.88    1,890.05   13,158.36    2,484.30   15,535.92    2,933.18
                             -----------------------------------------------------------------------------------
      Totals................      100.00  ..........   10,337.73  ..........   14,129.33  ..........   16,403.40
                             ===================================================================================
Kauai, HI:
    1987....................        6.31    6,829.80      430.96    9,238.92      582.98   10,544.88      665.38
    1988....................        6.77    8,323.68      563.51   11,387.28      770.92   13,309.44      901.05
    1989....................        8.19    9,090.24      744.49   12,541.56    1,027.15   15,622.32    1,279.47
    1990....................        7.03   15,256.80    1,072.55   20,116.80    1,414.21   25,451.04    1,789.21
    1991....................        7.72   13,617.12    1,051.24   17,957.16    1,386.29   22,714.08    1,753.53
    1992....................        8.32   12,245.28    1,018.81   15,797.28    1,314.33   19,524.96    1,624.48
    1993....................       10.08   11,122.08    1,121.11   14,349.12    1,446.39   17,734.08    1,787.60
    1994....................       12.92   12,995.64    1,679.04   17,677.20    2,283.89   20,287.08    2,621.09
    1996....................       13.78   11,251.32    1,550.43   14,510.28    1,999.52   16,859.40    2,323.23
    1997....................       18.88   10,718.04    2,023.57   14,836.32    2,801.10   16,668.48    3,147.01
                             -----------------------------------------------------------------------------------
      Totals................      100.00  ..........   11,255.71  ..........   15,026.78  ..........   17,892.05
                             ===================================================================================
Maui, HI:
    1987....................        6.31    8,717.40      550.07   11,639.40      734.45   14,637.24      923.61
    1988....................        6.77   11,071.92      749.57   14,691.00      994.58   18,474.84    1,250.75
    1989....................        8.19   13,293.84    1,088.77   17,639.04    1,444.64   22,182.12    1,816.72
    1990....................        7.03   14,976.36    1,052.84   19,871.64    1,396.98   24,989.64    1,756.77
    1991....................        7.72   16,453.68    1,270.22   21,831.36    1,685.38   27,454.80    2,119.51
    1992....................        8.32   14,820.00    1,233.02   19,667.88    1,636.37   24,728.76    2,057.43
    1993....................       10.08   11,648.28    1,174.15   16,523.40    1,665.56   20,104.56    2,026.54
    1994....................       12.92   14,320.32    1,850.19   19,936.08    2,575.74   22,152.12    2,862.05
    1996....................       13.78   12,299.64    1,694.89   16,643.88    2,293.53   18,083.76    2,491.94
    1997....................       18.88   12,147.36    2,293.42   15,608.28    2,946.84   18,247.80    3,445.18
                             -----------------------------------------------------------------------------------
      Totals................      100.00  ..........   12,957.14  ..........   17,374.07  ..........   20,750.50
                             ===================================================================================
Guam:
    1987....................        6.31    6,505.08      410.47    7,979.40      503.50   16,409.16    1,035.42
    1988....................        6.77    7,704.36      521.59    9,500.64      643.19   18,950.76    1,282.97
    1989....................        8.19    8,145.12      667.09   10,089.48      826.33   19,620.72    1,606.94
    1990....................        7.03    9,060.24      636.93   11,253.60      791.13   21,448.32    1,507.82
    1991....................        7.72    9,662.04      745.91   12,001.08      926.48   22,873.20    1,765.81
    1992....................        8.32   10,554.60      878.14   13,109.88    1,090.74   24,986.28    2,078.86
    1993....................       10.08    9,954.48    1,003.41   13,017.84    1,312.20   17,811.36    1,795.39
    1994....................       12.92   11,290.32    1,458.71   15,925.44    2,057.57   20,674.56    2,671.15
    1996....................       13.78    9,100.80    1,254.09   12,534.36    1,727.23   15,616.08    2,151.90
    1997....................       18.88   10,433.52    1,969.85   11,356.56    2,144.12   14,850.96    2,803.86
                             -----------------------------------------------------------------------------------
      Totals................      100.00  ..........    9,546.19  ..........   12,022.49  ..........   18,700.12
                             ===================================================================================
Puerto Rico:
    1987....................        6.31    5,346.36      337.36    6,548.64      413.22    9,478.80      598.11
    1988....................        6.77    5,837.04      395.17    7,149.48      484.02   10,348.44      700.59
    1989....................        8.19    6,165.48      504.95    7,551.84      618.50   10,632.72      870.82
    1990....................        7.03    6,782.04      476.78    8,307.00      583.98   11,696.04      822.23
    1991....................        7.72    6,324.48      488.25    7,657.68      591.17   10,777.44      832.02
    1992....................        8.32    4,438.68      369.30    6,038.88      502.43   10,830.72      901.12
    1993....................       10.08    3,970.44      400.22    5,438.28      548.18    9,822.96      990.15
    1994....................       12.92    5,048.16      652.22    7,720.92      997.54   10,847.64    1,401.52
    1996....................       13.78    4,813.92      663.36    7,413.96    1,021.64   11,627.40    1,602.26
    1997....................       18.88    5,077.32      958.60    7,500.60    1,416.11   11,869.08    2,240.88
                             -----------------------------------------------------------------------------------
      Totals................      100.00  ..........    5,246.21  ..........    7,176.79  ..........   10,959.70
                             ===================================================================================
St. Croix, VI:
    1987....................        6.31    5,346.12      337.34    6,927.72      437.14   11,754.96      741.74
    1988....................        6.77    6,522.36      441.56    8,451.96      572.20   14,341.08      970.89
    1989....................        8.19    6,272.52      513.72    8,128.20      665.70   13,791.84    1,129.55
    1990....................        7.03    7,544.28      530.36    9,776.28      687.27   16,588.32    1,166.16
    1991....................        7.72    7,336.32      566.36    9,505.80      733.85   16,129.80    1,245.22
    1992....................        8.32    8,365.68      696.02   12,258.96    1,019.95   15,178.68    1,262.87
    1993....................       10.08    8,242.44      830.84   12,708.00    1,280.97   14,155.92    1,426.92
    1994....................       12.92    6,024.00      778.30    9,966.84    1,287.72   16,344.96    2,111.77

[[Page 56487]]

    1996....................       13.78    6,691.32      922.06    9,680.88    1,334.03   14,017.44    1,931.60
    1997....................       18.88    6,198.84    1,170.34   10,115.04    1,909.72   12,012.24    2,267.91
                             -----------------------------------------------------------------------------------
      Totals................      100.00  ..........    6,786.90  ..........    9,928.55  ..........   14,254.63
                             ===================================================================================
St. Thomas, VI:
    1987....................        6.31   10,231.80      645.63   12,946.44      816.92   15,452.28      975.04
    1988....................        6.77   11,961.12      809.77   15,134.40    1,024.60   18,063.60    1,222.91
    1989....................        8.19   12,301.20    1,007.47   15,564.84    1,274.76   18,577.32    1,521.48
    1990....................        7.03   11,422.08      802.97   14,452.32    1,016.00   17,249.64    1,212.65
    1991....................        7.72   10,916.64      842.76   15,544.80    1,200.06   18,134.28    1,399.97
    1992....................        8.32    9,959.04      828.59   14,181.24    1,179.88   16,543.56    1,376.42
    1993....................       10.08   10,074.00    1,015.46   14,339.88    1,445.46   16,728.48    1,686.23
    1994....................       12.92    8,290.44    1,071.12   14,798.52    1,911.97   15,204.60    1,964.43
    1996....................       13.78    9,987.00    1,376.21   14,273.16    1,966.84   13,588.08    1,872.44
    1997....................       18.88   10,025.52    1,892.82   14,328.24    2,705.17   13,640.52    2,575.33
                             -----------------------------------------------------------------------------------
      Totals................      100.00  ..........   10,292.80  ..........   14,541.66  ..........   15,806.90
                             ===================================================================================
Washington, DC (DC):
    1987....................        6.31    6,068.52      382.92    9,722.16      613.47   16,114.68    1,016.84
    1988....................        6.77    6,702.60      453.77   11,136.48      753.94   17,765.88    1,202.75
    1989....................        8.19    6,701.52      548.85   11,474.40      939.75   17,829.00    1,460.20
    1990....................        7.03    7,325.52      514.98   11,751.84      826.15   19,671.24    1,382.89
    1991....................        7.72    7,116.12      549.36   11,416.08      881.32   19,112.40    1,475.48
    1992....................        8.32    6,589.32      548.23    9,233.04      768.19   17,500.56    1,456.05
    1993....................       10.08    6,190.80      624.03    7,626.48      768.75   19,000.56    1,915.26
    1994....................       12.92    6,170.04      797.17    7,851.72    1,014.44   22,922.64    2,961.61
    1996....................       13.78    4,972.20      685.17    7,503.12    1,033.93   19,743.24    2,720.62
    1997....................       18.88    3,886.56      733.78    5,744.52    1,084.57   15,291.24    2,886.99
                             -----------------------------------------------------------------------------------
      Totals................      100.00  ..........    5,838.26  ..........    8,684.51  ..........   18,478.69
                             ===================================================================================
Washington, DC (MD):
    1987....................        6.31    5,621.64      354.73    8,705.04      549.29   10,357.56      653.56
    1988....................        6.77    6,370.68      431.30    9,865.20      667.87   11,737.80      794.65
    1989....................        8.19    6,854.04      561.35   10,613.64      869.26   12,628.44    1,034.27
    1990....................        7.03    7,460.28      524.46   11,552.28      812.13   13,745.28      966.29
    1991....................        7.72    7,059.48      544.99   10,931.88      843.94   12,835.80      990.92
    1992....................        8.32    7,559.28      628.93    9,512.28      791.42   15,053.64    1,252.46
    1993....................       10.08    6,143.52      619.27    7,884.36      794.74   13,543.68    1,365.20
    1994....................       12.92    6,831.24      882.60   12,567.72    1,623.75   16,073.40    2,076.68
    1996....................       13.78    6,912.12      952.49   14,083.80    1,940.75   14,206.80    1,957.70
    1997....................       18.88    6,608.76    1,247.73   11,242.56    2,122.60   13,956.72    2,635.03
                             -----------------------------------------------------------------------------------
      Totals................      100.00  ..........    6,747.85  ..........   11,015.75  ..........   13,726.76
                             ===================================================================================
Washington, DC (VA):
    1987....................        6.31    6,515.04      411.10    7,351.44      463.88   12,189.00      769.13
    1988....................        6.77    7,324.92      495.90    8,265.36      559.56   13,704.36      927.79
    1989....................        8.19    7,271.88      595.57    8,205.60      672.04   13,605.24    1,114.27
    1990....................        7.03    8,196.60      576.22    9,249.00      650.20   15,335.28    1,078.07
    1991....................        7.72    7,947.48      613.55    9,037.44      697.69   14,364.60    1,108.95
    1992....................        8.32    7,219.56      600.67    9,110.04      757.96   13,184.52    1,096.95
    1993....................       10.08    6,370.44      642.14    8,516.40      858.45   12,196.92    1,229.45
    1994....................       12.92    7,490.88      967.82   12,618.72    1,630.34   17,152.44    2,216.10
    1996....................       13.78    6,976.80      961.40   10,914.84    1,504.06   13,326.60    1,836.41
    1997....................       18.88    7,252.56    1,369.28   11,168.04    2,108.53   15,978.24    3,016.69
                             -----------------------------------------------------------------------------------
      Totals................      100.00  ..........    7,233.65  ..........    9,902.71  ..........   14,393.81
----------------------------------------------------------------------------------------------------------------


                                                        Appendix 11.--Summary of Rental Analyses
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                 1997 Data medians
                                                         -----------------------------------------------------------------------------------------------
                                                                       B&NB                          Non-Brkr                         Broker
                                                         -----------------------------------------------------------------------------------------------
                                                                 #               $               #               $               #               $
--------------------------------------------------------------------------------------------------------------------------------------------------------
Anchorage, AK:
    Low.................................................              29            $534              26            $568               3            $500

[[Page 56488]]

    Middle..............................................              25             712              22             698               3             725
    High................................................              35             975              21             925              14           1,025
Fairbanks, AK:
    Low.................................................              18             555              12             585               6             525
    Middle..............................................              24             669              18             663               6             675
    High................................................              17             947              11           1,050               6             843
Juneau, AK:
    Low.................................................              19             707              13             700               6             713
    Middle..............................................              16             869              10             863               6             875
    High................................................              12           1,275               6           1,175               6           1,375
Nome, AK:
    Low.................................................               7             750               0              NA               7             750
    Middle..............................................               7             825               0              NA               7             825
    High................................................               8             988               0              NA               8             988
*Honolulu, HI:
    Low.................................................             135             850             135             700               0           1,000
    Middle..............................................             554             963             541             925              13           1,000
    High................................................              33           1,463              26           1,275               7           1,650
**Hilo, HI:
    Low.................................................              79             453              73             400               6             506
    Middle..............................................              91             491              91             475               0             506
    High................................................              89             625              83             575               6             675
Kailua Kona, HI:
    Low.................................................              63             584              57             575               6             593
    Middle..............................................              58             732              55             699               3             765
    High................................................              57             850              52             800               5             900
Kauai, HI:
    Low.................................................              49             550              43             550               6             550
    Middle..............................................              45             725              40             750               5             700
    High................................................              50             799              44             673               6             925
Maui, HI:
    Low.................................................             152             669             148             675               4             663
    Middle..............................................             226             875             221             750               5           1,000
    High................................................             209             978             204             755               5           1,200
***Guam:
    Low.................................................              10             638              10             575               0             700
    Middle..............................................              15             875              15             725               0           1,025
    High................................................              13           1,252              12           1,003               1           1,500
****Puerto Rico:
    Low.................................................              15             602               8             504               7             700
    Middle..............................................              13           1,075               6             950               7           1,200
    High................................................               5           1,725               5           1,950               0           1,500
St. Croix, VI:
    Low.................................................              25             540              17             480               8             600
    Middle..............................................              21             750              13             550               8             950
    High................................................              21           1,038              13             800               8           1,275
St. Thomas, VI:
    Low.................................................              25             700              20             700               5             700
    Middle..............................................              18             962              12             998               6             925
    High................................................              10           1,425               7           1,350               3           1,500
*****Washington, DC (DC)
    Low.................................................              19             505              13             440               6             570
    Middle..............................................              21             733               7             625              14             840
    High................................................               7           1,275               2           1,000               5           1,550
******Washington, DC (MD)
    Low.................................................              16             555              13             555               3             555
    Middle..............................................              29             765              22             705               7             825
    High................................................               4           1,113               1           1,075               3           1,150
Washington, DC (VA)
    Low.................................................              22             585              12             580              10             590
    Middle..............................................              32             963              16             825              16           1,100
    High................................................              10           1,375               7           1,250               3           1,500
--------------------------------------------------------------------------------------------------------------------------------------------------------
*Adjustment made to broker data at lower income level because it is unlikely that a smaller rental unit in a lower income level community would rent for
  more than a larger unit in a middle income level community.
**Adjustment made to broker data at middle income level because it is unlikely that a larger rental unit in a middle income level community would rent
  for less than a smaller unit in a lower income level community.
***Used last year's broker data at the lower and middle income levels because this year's data are internally inconsistent.
****Used last year's broker quote at the upper income level because this year's data reflect incorrect rental information.

[[Page 56489]]

*****Used last year's broker and non-broker data at the upper income level. This year's data were sparse, and increases substantially exceed those at
  the other income levels.
******Used last year's broker and non-broker data at the upper income level. This year's data were sparse, and the substantial decreases were
  inconsistent with the increases observed at other income levels.


                                                           Appendix 12--Housing Cost Analysis
                                                                      [1997 Survey]
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                   Annual costs
                                                         -----------------------------------------------------------------------------------------------
                                                                   Lower income                    Middle income                   Upper income
                                                         -----------------------------------------------------------------------------------------------
                                                               Owner          Renter           Owner          Renter           Owner          Renter
--------------------------------------------------------------------------------------------------------------------------------------------------------
Anchorage, AK:
    Maintenance.........................................            $716             $61            $842             $72            $968             $77
    Insurance...........................................             358            $170             438            $170             509            $164
    Utilities...........................................           1,663           1,467           1,907           1,663           2,151           1,777
    Real estate taxes...................................           1,619  ..............           2,226  ..............           2,784  ..............
    Housing.............................................           5,716           6,408           7,773           8,544           9,847          11,700
                                                         -----------------------------------------------------------------------------------------------
        Total annual cost...............................          10,072           8,106          13,186          10,449          16,259          13,718
                                                         ===============================================================================================
Fairbanks, AK:
    Maintenance.........................................           1,101              94           1,295             110           1,489             119
    Insurance...........................................             361             101             343             101             401             113
    Utilities...........................................           2,624           2,297           3,032           2,624           3,440           2,814
    Real estate taxes...................................           1,262  ..............           1,686  ..............           2,171  ..............
    Housing.............................................           5,231           6,660           7,158           8,028           9,036          11,364
                                                         -----------------------------------------------------------------------------------------------
        Total annual cost...............................          10,579           9,152          13,514          10,863          16,537          14,410
                                                         ===============================================================================================
Juneau, AK:
    Maintenance.........................................             995              85           1,170              99           1,346             108
    Insurance...........................................             512             106             568             106             592             105
    Utilities...........................................           2,780           2,433           3,213           2,780           3,647           2,982
    Real estate taxes...................................           1,590  ..............           1,920  ..............           2,200  ..............
    Housing.............................................           7,270           8,484           9,233          10,428          10,970          15,300
                                                         -----------------------------------------------------------------------------------------------
        Total annual cost...............................          13,147          11,108          16,104          13,413          18,755          18,495
                                                         ===============================================================================================
Nome, AK:
    Maintenance.........................................             633              54             745              63             856              68
    Insurance...........................................             483             124             559             124             655             140
    Utilities...........................................           2,829           2,479           3,266           2,829           3,702           3,033
    Real estate taxes...................................           1,266  ..............           1,829  ..............           2,392  ..............
    Housing.............................................           6,077           9,000           8,470           9,900          10,570          11,856
                                                         -----------------------------------------------------------------------------------------------
        Total annual cost...............................          11,288          11,657          14,869          12,916          18,175          15,097
                                                         ===============================================================================================
Honolulu, HI:
    Maintenance.........................................             841              72             989              84           1,138              91
    Insurance...........................................             648             249             785             249           1,103             283
    Utilities...........................................           1,836           1,634           2,090           1,836           2,343           1,955
    Real estate taxes...................................             609  ..............             840  ..............           1,273  ..............
    Housing.............................................          15,997          10,200          21,236          11,556          32,376          17,556
                                                         -----------------------------------------------------------------------------------------------
        Total annual cost...............................          19,931          12,155          25,940          13,725          38,233          19,885
                                                         ===============================================================================================
Hilo, HI:
    Maintenance.........................................           1,042              89           1,225             104           1,409             113
    Insurance...........................................             577             350             666             350             823             395
    Utilities...........................................           1,973           1,752           2,249           1,973           2,524           2,102
    Real estate taxes...................................             218  ..............             441  ..............             654  ..............
    Housing.............................................           7,818           5,436          10,537           5,892          12,959           7,500
                                                         -----------------------------------------------------------------------------------------------
        Total annual cost...............................          11,628           7,627          15,118           8,319          18,369          10,110
                                                         ===============================================================================================
Kailua Kona, HI:
    Maintenance.........................................           1,065              91           1,253             106           1,441             115
    Insurance...........................................             585             350             615             350             663             395
    Utilities...........................................           1,973           1,753           2,249           1,973           2,525           2,102
    Real estate taxes...................................             452  ..............             650  ..............             800  ..............
    Housing.............................................          10,338           7,008          14,129           8,784          16,403          10,200
                                                         -----------------------------------------------------------------------------------------------
        Total annual cost...............................          14,413           9,202          18,896          11,213          21,832          12,812
                                                         ===============================================================================================

[[Page 56490]]

Kauai County, HI:
    Maintenance.........................................             990              85           1,164              99           1,339             107
    Insurance...........................................             744             331             692             331             730             372
    Utilities...........................................           2,032           1,800           2,321           2,032           2,611           2,167
    Real estate taxes...................................             403  ..............             613  ..............             706  ..............
    Housing.............................................          11,256           6,600          15,027           8,700          17,892           9,588
                                                         -----------------------------------------------------------------------------------------------
        Total annual cost...............................          15,425           8,816          19,817          11,162          23,278          12,234
                                                         ===============================================================================================
Maui County, HI:
    Maintenance.........................................             911              78           1,071              91           1,232              98
    Insurance...........................................             662             446             745             446             860             508
    Utilities...........................................           1,498           1,343           1,690           1,498           1,883           1,588
    Real estate taxes...................................             499  ..............             681  ..............             819  ..............
    Housing.............................................          12,957           8,028          17,374          10,500          20,751          11,736
                                                         -----------------------------------------------------------------------------------------------
        Total annual cost...............................          16,527           9,895          21,561          12,535          25,545          13,930
                                                         ===============================================================================================
Guam:
    Maintenance.........................................           1,057              91           1,243             106           1,430             114
    Insurance...........................................           1,576             367           1,709             367           2,234             440
    Utilities...........................................           2,868           2,514           3,311           2,868           3,755           3,075
    Real estate taxes...................................             418  ..............             459  ..............             617  ..............
    Housing.............................................           9,546           7,656          12,022          10,500          18,700          15,024
                                                         -----------------------------------------------------------------------------------------------
        Total annual cost...............................          15,465          10,628          18,744          13,841          26,736          18,653
                                                         ===============================================================================================
Puerto Rico:
    Maintenance.........................................             403              35             475              40             546              44
    Insurance...........................................             470             180             714             180           1,181             252
    Utilities...........................................           1,673           1,482           1,911           1,673           2,149           1,784
    Real estate taxes...................................               0  ..............               9  ..............             627  ..............
    Housing.............................................           5,246           7,224           7,177          12,900          10,960          20,700
                                                         -----------------------------------------------------------------------------------------------
        Total annual cost...............................           7,792           8,921          10,286          14,793          15,463          22,780
                                                         ===============================================================================================
St. Croix, VI:
    Maintenance.........................................             578              50             680              58             782              62
    Insurance...........................................           1,254             771           2,046             771           2,444             926
    Utilities...........................................           1,590           1,417           1,806           1,590           2,022           1,690
    Real estate taxes...................................             401  ..............             773  ..............             953  ..............
    Housing.............................................           6,787           6,480           9,929           9,000          14,255          12,456
                                                         -----------------------------------------------------------------------------------------------
        Total annual cost...............................          10,610           8,718          15,234          11,419          20,456          15,134
                                                         ===============================================================================================
St. Thomas, VI:
    Maintenance.........................................             609              52             717              61             824              66
    Insurance...........................................           2,208             609           3,138             609           3,017             926
    Utilities...........................................           1,589           1,416           1,806           1,589           2,022           1,690
    Real estate taxes...................................             847  ..............           1,291  ..............           1,220  ..............
    Housing.............................................          10,293           8,400          14,542          11,544          15,807          17,100
                                                         -----------------------------------------------------------------------------------------------
        Total annual cost...............................          15,546          10,477          21,494          13,803          22,890          19,782
                                                         ===============================================================================================
Washington, DC (DC):
    Maintenance.........................................             564              48             664              56             763              61
    Insurance...........................................             259             107             277             107             706             125
    Utilities...........................................           2,516           2,202           2,909           2,516           3,302           2,700
    Real estate taxes...................................             208  ..............             421  ..............             998  ..............
    Housing.............................................           5,838           6,060           8,685           8,796          18,479          15,300
                                                         -----------------------------------------------------------------------------------------------
        Total annual cost...............................           9,385           8,417          12,956          11,475          24,248          18,186
                                                         ===============================================================================================
Washington, DC (MD):
    Maintenance.........................................             564              48             664              56             763              61
    Insurance...........................................             230              96             247              86             293              98
    Utilities...........................................           1,826           1,616           2,089           1,826           2,351           1,948
    Real estate taxes...................................           1,197  ..............           1,664  ..............           2,568  ..............

[[Page 56491]]

    Housing.............................................           6,748           6,660          11,016           9,180          13,727          13,356
                                                         -----------------------------------------------------------------------------------------------
        Total annual cost...............................          10,565           8,420          15,680          11,148          19,702          15,463
                                                         ===============================================================================================
Washington, DC (VA):
    Maintenance.........................................             564              48             664              56             763              61
    Insurance...........................................             200              93             253              93             308             104
    Utilities...........................................           1,837           1,626           2,101           1,837           2,365           1,960
    Real estate taxes...................................           1,413  ..............           1,733  ..............           2,432  ..............
    Housing.............................................           7,234           7,020           9,903          11,556          14,394          16,500
                                                         -----------------------------------------------------------------------------------------------
        Total annual cost...............................          11,248           8,787          14,654          13,542          20,262          18,625
--------------------------------------------------------------------------------------------------------------------------------------------------------


                                        Housing Cost Analysis--Composites
                                                  [1997 Survey]
----------------------------------------------------------------------------------------------------------------
                                                                          Annual costs
                                               -----------------------------------------------------------------
              Location                Weights       Lower income          Middle income         Upper income
                                               -----------------------------------------------------------------
                                                  Owner      Renter     Owner      Renter     Owner      Renter
----------------------------------------------------------------------------------------------------------------
Hilo, HI...........................      75.99    $11,628     $7,627    $15,118     $8,319    $18,369    $10,110
Kailua Kona, HI....................      24.01     14,413      9,202     18,896     11,213     21,832     12,812
                                    ----------------------------------------------------------------------------
    Total weight...................     100.00  .........  .........  .........  .........  .........  .........
                                    ----------------------------------------------------------------------------
     Hawaii County, HI.............  .........     12,297      8,005     16,025      9,014     19,200     10,759
                                    ============================================================================
St. Croix, VI......................      48.76     10,610      8,718     15,234     11,419     20,456     15,134
St. Thomas, VI.....................      51.24     15,546     10,477     21,494     13,803     22,890     19,782
                                    ----------------------------------------------------------------------------
    Total weight...................     100.00  .........  .........  .........  .........  .........  .........
                                    ----------------------------------------------------------------------------
     Virgin Islands................  .........     13,139      9,619     18,442     12,641     21,703     17,516
                                    ============================================================================
Washington, DC, DC.................      33.34      9,385      8,417     12,956     11,475     24,248     18,186
Washington, DC, MD.................      33.33     10,565      8,420     15,680     11,148     19,702     15,463
Washington, DC, VA.................      33.33     11,248      8,787     14,654     13,542     20,262     18,625
                                    ----------------------------------------------------------------------------
    Total weight...................     100.00  .........  .........  .........  .........  .........  .........
                                    ----------------------------------------------------------------------------
     DC area.......................  .........     10,399      8,541     14,430     12,055     21,404     17,425
----------------------------------------------------------------------------------------------------------------


                                                              Appendix 13--Housing Analysis
                                                                      [1997 Survey]
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                              Owners                                          Renters
                                                         -----------------------------------------------------------------------------------------------
                                                           Total annual    Total cost DC                   Total annual    Total cost DC
                                                               cost            area            Index           cost            area            Index
--------------------------------------------------------------------------------------------------------------------------------------------------------
Anchorage, AK:
    Lower income........................................         $10,072         $10,399           96.86          $8,106          $8,541           94.91
    Middle income.......................................          13,186          14,430           91.38          10,449          12,055           86.68
    Upper income........................................          16,259          21,404           75.96          13,718          17,425           78.73
                                                         -----------------------------------------------------------------------------------------------
Fairbanks, AK:
    Lower income........................................          10,579          10,399          101.73           9,152           8,541          107.15
    Middle income.......................................          13,514          14,430           93.65          10,863          12,055           90.11
    Upper income........................................          16,537          21,404           77.26          14,410          17,425           82.70
                                                         -----------------------------------------------------------------------------------------------
Juneau, AK:
    Lower income........................................          13,147          10,399          126.43          11,108           8,541          130.06
    Middle income.......................................          16,104          14,430          111.60          13,413          12,055          111.27

[[Page 56492]]

    Upper income........................................          18,755          21,404           87.62          18,495          17,425          106.14
                                                         -----------------------------------------------------------------------------------------------
Nome, AK:
    Lower income........................................          11,288          10,399          108.55          11,657           8,541          136.48
    Middle income.......................................          14,869          14,430          103.04          12,916          12,055          107.14
    Upper income........................................          18,175          21,404           84.91          15,097          17,425           86.64
                                                         -----------------------------------------------------------------------------------------------
Honolulu, HI:
    Lower income........................................          19,931          10,399          191.66          12,155           8,541          142.31
    Middle income.......................................          25,940          14,430          179.76          13,725          12,055          113.85
    Upper income........................................          38,233          21,404          178.63          19,885          17,425          114.12
                                                         -----------------------------------------------------------------------------------------------
Hawaii County, HI:
    Lower income........................................          12,297          10,399          118.25           8,005           8,541           93.72
    Middle income.......................................          16,025          14,430          111.05           9,014          12,055           74.77
    Upper income........................................          19,200          21,404           89.70          10,759          17,425           61.74
                                                         -----------------------------------------------------------------------------------------------
Kauai County, HI:
    Lower income........................................          15,425          10,399          148.33           8,816           8,541          103.22
    Middle income.......................................          19,817          14,430          137.33          11,162          12,055           92.59
    Upper income........................................          23,278          21,404          108.76          12,234          17,425           70.21
                                                         -----------------------------------------------------------------------------------------------
Maui County, HI:
    Lower income........................................          16,527          10,399          158.93           9,895           8,541          115.85
    Middle income.......................................          21,561          14,430          149.42          12,535          12,055          103.98
    Upper income........................................          25,545          21,404          119.35          13,930          17,425           79.94
                                                         -----------------------------------------------------------------------------------------------
Guam:
    Lower income........................................          15,465          10,399          148.72          10,628           8,541          124.44
    Middle income.......................................          18,744          14,430          129.90          13,841          12,055          114.82
    Upper income........................................          26,736          21,404          124.91          18,653          17,425          107.05
                                                         -----------------------------------------------------------------------------------------------
Puerto Rico:
    Lower income........................................           7,792          10,399           74.93           8,921           8,541          104.45
    Middle income.......................................          10,286          14,430           71.28          14,793          12,055          122.71
    Upper income........................................          15,463          21,404           72.24          22,780          17,425          130.73
                                                         -----------------------------------------------------------------------------------------------
Virgin Islands:
    Lower income........................................          13,139          10,399          126.35           9,619           8,541          112.62
    Middle income.......................................          18,442          14,430          127.80          12,641          12,055          104.86
    Upper income........................................          21,703          21,404          101.40          17,516          17,425          100.52
--------------------------------------------------------------------------------------------------------------------------------------------------------


                                Appendix 14--Private Transportation Cost Analysis
                                                  [1997 Survey]
----------------------------------------------------------------------------------------------------------------
                                                                                   Annual costs
                                                                 -----------------------------------------------
                                                                    Honda Civic     Ford Taurus    Chevrolet S10
                                                                   1.5L 4 cyl DX   3.0L 6 cyl GL   Blazer 4.3L 6
                                                                    4 dr sedan      4 dr sedan     cyl 4WD 2 dr
----------------------------------------------------------------------------------------------------------------
Anchorage, AK:
    Fuel........................................................            $873          $1,309          $1,637
    Maintenance/oil.............................................             629             586             599
    Tires.......................................................             126             188             154
    License and registration....................................             105             105             105
    Miscellaneous tax...........................................              50              50              50
    Depreciation................................................           2,217           3,496           3,593
    Finance expense.............................................             732             878             997
    Insurance...................................................           1,388           1,214           1,604
                                                                 -----------------------------------------------
        Total annual cost.......................................           6,120           7,826           8,739
                                                                 ===============================================
Fairbanks, AK:
    Fuel........................................................             964           1,446           1,807
    Maintenance/oil.............................................             900             814             903
    Tires.......................................................             132             206             163
    License and registration....................................              35              35              40

[[Page 56493]]

    Miscellaneous tax...........................................               0               0               0
    Depreciation................................................           2,755           3,719           4,412
    Finance expense.............................................             841             950           1,170
    Insurance...................................................           1,340           1,305           1,324
                                                                 -----------------------------------------------
        Total annual cost.......................................           6,967           8,475           9,819
                                                                 ===============================================
Juneau, AK:
    Fuel........................................................             918           1,378           1,722
    Maintenance/oil.............................................             777             738             793
    Tires.......................................................             142             188             161
    License and registration....................................              73              73              73
    Miscellaneous tax...........................................               0               0               0
    Depreciation................................................           1,794           3,423           3,704
    Finance expense.............................................             670             875           1,025
    Insurance...................................................           1,340           1,042           1,368
                                                                 -----------------------------------------------
        Total annual cost.......................................           5,714           7,717           8,846
                                                                 ===============================================
Nome, AK:
    Fuel........................................................           1,250           1,875           2,344
    Maintenance/oil.............................................             965             907             971
    Tires.......................................................             122             192             142
    License and registration....................................             105             105             105
    Miscellaneous tax...........................................               0               0               0
    Depreciation................................................           2,995           4,312           4,524
    Finance expense.............................................             748             893           1,008
    Insurance...................................................           1,388           1,328           1,562
                                                                 -----------------------------------------------
        Total annual cost.......................................           7,573           9,612          10,656
                                                                 ===============================================
Honolulu, HI:
    Fuel........................................................             831           1,247           1,558
    Maintenance/oil.............................................             503             530             558
    Tires.......................................................             103             119             187
    License and registration....................................             105             125             145
    Miscellaneous tax...........................................               0               0               0
    Depreciation................................................           2,639           3,846           4,521
    Finance expense.............................................             992           1,158           1,421
    Insurance...................................................           1,755           1,698           2,106
                                                                 -----------------------------------------------
        Total annual cost.......................................           6,928           8,723          10,496
                                                                 ===============================================
Hilo, HI:
    Fuel........................................................             879           1,318           1,648
    Maintenance/oil.............................................             585             570             562
    Tires.......................................................             123             236             177
    License and registration....................................             105             125             145
    Miscellaneous tax...........................................               0               0               0
    Depreciation................................................           2,438           3,274           4,440
    Finance expense.............................................             929           1,019           1,372
    Insurance...................................................           1,805           1,841           1,993
                                                                 -----------------------------------------------
        Total annual cost.......................................           6,864           8,383          10,337
                                                                 ===============================================
Kailua Kona, HI:
    Fuel........................................................             981           1,471           1,838
    Maintenance/oil.............................................             718             682             691
    Tires.......................................................             127             222             194
    License and registration....................................             105             125             145
    Miscellaneous tax...........................................               0               0               0
    Depreciation................................................           2,251           3,686           4,410
    Finance expense.............................................             893           1,100           1,366
    Insurance...................................................           1,965           1,841           2,086
                                                                 -----------------------------------------------
        Total annual cost.......................................           7,040           9,127          10,730
                                                                 ===============================================
Kauai, HI:

[[Page 56494]]

    Fuel........................................................             901           1,352           1,689
    Maintenance/oil.............................................             544             507             587
    Tires.......................................................             113             185             179
    License and registration....................................             105             125             145
    Miscellaneous tax...........................................               0               0               0
    Depreciation................................................           2,537           3,628           4,441
    Finance expense.............................................             979           1,123           1,416
    Insurance...................................................           1,457           1,403           1,786
                                                                 -----------------------------------------------
        Total annual cost.......................................           6,636           8,323          10,243
                                                                 ===============================================
Maui, HI:
    Fuel........................................................             917           1,376           1,720
    Maintenance/oil.............................................             581             541             637
    Tires.......................................................              97             145             157
    License and registration....................................             105             125             145
    Miscellaneous tax...........................................               0               0               0
    Depreciation................................................           1,899           3,431           4,660
    Finance expense.............................................             856           1,092           1,471
    Insurance...................................................           1,573           1,712           1,896
                                                                 -----------------------------------------------
        Total annual cost.......................................           6,028           8,422          10,686
                                                                 ===============================================
Guam:
    Fuel........................................................             861           1,292           1,614
    Maintenance/oil.............................................             498             554             636
    Tires.......................................................              89             180             154
    License and registration....................................              42              47              47
    Miscellaneous tax...........................................               0               0               0
    Depreciation................................................           2,104           3,996           4,049
    Finance expense.............................................             843           1,133           1,265
    Insurance...................................................           1,268           1,555           1,789
                                                                 -----------------------------------------------
        Total annual cost.......................................           5,705           8,757           9,554
                                                                 ===============================================
Puerto Rico:
    Fuel........................................................             574             861           1,076
    Maintenance/oil.............................................             383             351             414
    Tires.......................................................              86             175             190
    License and registration....................................              76              76              76
    Miscellaneous tax...........................................               0               0               0
    Depreciation................................................           2,350           4,348           5,044
    Finance expense.............................................             874           1,178           1,428
    Insurance...................................................           1,529           1,853           2,254
                                                                 -----------------------------------------------
        Total annual cost.......................................           5,872           8,842          10,482
                                                                 ===============================================
St. Croix, VI:
    Fuel........................................................             556             834           1,043
    Maintenance/oil.............................................             427             401             506
    Tires.......................................................              99             169             160
    License and registration....................................              74              96             105
    Miscellaneous tax...........................................               0               0               0
    Depreciation................................................           2,301           3,953           4,064
    Finance expense.............................................             902           1,152           1,298
    Insurance...................................................           2,169           3,062           3,988
                                                                 -----------------------------------------------
        Total annual cost.......................................           6,528           9,667          11,164
                                                                 ===============================================
St. Thomas, VI:
    Fuel........................................................             843           1,264           1,580
    Maintenance/oil.............................................             495             504             570
    Tires.......................................................              99             149             144
    License and registration....................................              74              96             105
    Miscellaneous tax...........................................               0               0               0
    Depreciation................................................           2,646           3,486           4,957
    Finance expense.............................................             924           1,010           1,403

[[Page 56495]]

    Insurance...................................................           1,854           2,498           3,032
                                                                 -----------------------------------------------
        Total annual cost.......................................           6,935           9,007          11,791
                                                                 ===============================================
Washington, DC (DC):
    Fuel........................................................             671           1,006           1,258
    Maintenance/oil.............................................             356             330             337
    Tires.......................................................              70             110             101
    License and registration....................................              74              74             107
    Miscellaneous tax...........................................               0               0               0
    Depreciation................................................           1,975           3,292           3,694
    Finance expense.............................................             636             775             929
    Insurance...................................................           1,504           1,413           1,520
                                                                 -----------------------------------------------
        Total annual cost.......................................           5,286           7,000           7,946
                                                                 ===============================================
Washington, DC (MD):
    Fuel........................................................             663             994           1,243
    Maintenance/oil.............................................             371             323             347
    Tires.......................................................              88             124             101
    License and registration....................................              94              94             121
    Miscellaneous tax...........................................               0               0               0
    Depreciation................................................           1,788           3,206           4,754
    Finance expense.............................................             593             744           1,060
    Insurance...................................................           1,410           1,317           1,396
                                                                 -----------------------------------------------
        Total annual cost.......................................           5,007           6,802           9,022
                                                                 ===============================================
Washington, DC (VA):
    Fuel........................................................             614             922           1,152
    Maintenance/oil.............................................             363             343             343
    Tires.......................................................              67              84              96
    License and registration....................................              55              60              60
    Miscellaneous tax...........................................             458             543             730
    Depreciation................................................           1,942           3,186           3,825
    Finance expense.............................................             625             753             941
    Insurance...................................................           1,000             926           1,018
                                                                 -----------------------------------------------
        Total annual cost.......................................           5,124           6,817           8,165
----------------------------------------------------------------------------------------------------------------


                                Private Transportation Cost Analysis--Composites
                                                  [1997 Survey]
----------------------------------------------------------------------------------------------------------------
                                                                                   Annual costs
                                                                 -----------------------------------------------
                    Location                          Weights       Honda Civic     Ford Taurus    Chevrolet S10
                                                                   1.5L 4 cyl DX   3.0L 6 cyl GL   Blazer 4.3L 6
                                                                    4 dr sedan      4 dr sedan     cyl 4WD 2 dr
----------------------------------------------------------------------------------------------------------------
Hilo, HI........................................           75.99          $6,864          $8,383         $10,337
Kailua Kona, HI.................................           24.01           7,040           9,127          10,730
                                                 ---------------------------------------------------------------
    Total weight................................          100.00  ..............  ..............  ..............
                                                 ---------------------------------------------------------------
     Hawaii County, HI..........................  ..............           6,906           8,562          10,431
                                                 ===============================================================
St. Croix, VI...................................           48.76           6,528           9,667          11,164
St. Thomas, VI..................................           51.24           6,935           9,007          11,791
                                                 ---------------------------------------------------------------
    Total weight................................          100.00  ..............  ..............  ..............
                                                 ---------------------------------------------------------------
     Virgin Islands.............................  ..............           6,737           9,329          11,485
                                                 ===============================================================
Washington, DC, DC..............................           33.34           5,286           7,000           7,946
Washington, DC, MD..............................           33.33           5,007           6,802           9,022
Washington, DC, VA..............................           33.33           5,124           6,817           8,165
                                                 ---------------------------------------------------------------

[[Page 56496]]

    Total weight................................          100.00  ..............  ..............  ..............
                                                 ---------------------------------------------------------------
     DC area....................................  ..............           5,139           6,873           8,378
----------------------------------------------------------------------------------------------------------------


                       Appendix 15.--Auto Insurance Calculation Worksheet--Special Limits
----------------------------------------------------------------------------------------------------------------
                                                                       Honda           Ford            Chevy
----------------------------------------------------------------------------------------------------------------
Guam
    Average Local Insurance Price...............................         1201.33         1466.00         1705.00
    Price of Equivalent Reference Area Coverage.................         1128.00         1032.33         1263.17
    Index.......................................................          106.50          142.01          134.98
    Price of Reference Area UM 100/300 Coverage.................           62.45           62.45           62.45
    Estimated Local Equivalent UM Coverage......................           66.51           88.69           84.30
    Adjusted Local Insurance Price..............................         1267.84         1554.69         1789.30
                                                                 -----------------------------------------------
Puerto Rico
    Average Local Insurance Price...............................         1448.60         1746.95         2147.48
    Price of Equivalent Reference Area Coverage.................         1128.00         1032.33         1263.17
    Index.......................................................          128.42          169.22          170.01
    Price of Reference Area UM 100/300 Coverage.................           62.45           62.45           62.45
    Estimated Local Equivalent UM Coverage......................           80.20          105.68          106.17
    Adjusted Local Insurance Price..............................         1528.80         1852.63         2253.65
                                                                 -----------------------------------------------
St. Croix
    Average Local Insurance Price...............................         1582.56         2179.65         2691.87
    Price of Equivalent Reference Area Coverage.................          868.47          779.43          894.73
    Index.......................................................          182.22          279.65          300.86
    Price of Specified Reference Area Coverage..................         1190.45         1094.78         1325.62
    Adjusted Local Insurance Price..............................         2169.24         3061.55         3988.26
                                                                 -----------------------------------------------
St. Thomas
    Average Local Insurance Price...............................         1352.53         1778.64         2046.63
    Price of Equivalent Reference Area Coverage.................          868.47          779.43          894.73
    Index.......................................................          155.74          228.20          228.74
    Price of Specified Reference Area Coverage..................         1190.45         1094.78         1325.62
    Adjusted Local Insurance Price..............................         1854.01         2498.29         3032.22
----------------------------------------------------------------------------------------------------------------
Notes: Special adjustments were required for Guam, Puerto Rico, and U.S. Virgin Islands automobile insurance
  prices because the coverage available was significantly less than that surveyed in the other locations. In
  Guam and Puerto Rico, uninsured motorist (UM) coverage had significantly lower coverage or was not available.
  For both areas, the average price of the local policy was compared with the average price of equivalent
  coverage in the DC area, and an index was computed. That index was used to adjust the price of the DC area
  specified UM coverage, which was then added to the average local prices. In the U.S. Virgin Islands, all
  coverage (bodily injury, property damage, medical, collision, and comprehensive) was significantly less than
  that priced elsewhere. For these areas, the average price of the local policy was compared with equivalent
  coverage in the DC area, and an index was computed. That index was used to adjust the price of the DC
  specified coverage.


                                      Appendix 16--Air Fares Cost Analysis
                                                  [1997 Survey]
----------------------------------------------------------------------------------------------------------------
                                                                      Average
                            Location                              allowance area    Average DC         Index
                                                                     air fares    area air fares
----------------------------------------------------------------------------------------------------------------
Anchorage, AK...................................................            $628            $355          176.90
Fairbanks, AK...................................................            $809            $355          227.89
Juneau, AK......................................................            $720            $355          202.82
Nome, AK........................................................          $1,026            $355          289.01
Honolulu, HI....................................................            $737            $355          207.61
Hawaii County, HI...............................................             908            $355          255.77
Kauai, HI.......................................................            $908            $355          255.77
Maui, HI........................................................            $895            $355          252.11
Guam............................................................          $1,738            $355          489.58
Puerto Rico.....................................................            $548            $355          154.37
Virgin Islands..................................................             831            $355          234.08
----------------------------------------------------------------------------------------------------------------


[[Page 56497]]


                          Air Fares--Composites
                              [1997 Survey]
------------------------------------------------------------------------
                Location                      Weights          Costs
------------------------------------------------------------------------
Hilo, HI................................           75.99            $908
Kailua Kona, HI.........................           24.01            $908
                                         -------------------------------
    Total...............................          100.00  ..............
                                         -------------------------------
    Hawaii County, HI cost..............  ..............             908
                                         ===============================
St. Croix, VI...........................           48.76            $834
St. Thomas, VI..........................           51.24            $828
                                         -------------------------------
    Total...............................          100.00  ..............
                                         -------------------------------
    Virgin Islands cost.................  ..............             831
------------------------------------------------------------------------


                                      Appendix 17--Transportation Analysis
                                                  [1997 Survey]
----------------------------------------------------------------------------------------------------------------
                                                                   Total annual    Total cost DC
                                                                       cost            area            Index
----------------------------------------------------------------------------------------------------------------
Anchorage, AK:
    1. Honda Civic DX 4 dr sedan 1.5L 4 cyl.....................          $6,120          $5,139          119.09
    2. Ford Taurus GL 4 dr sedan 3.0L 6 cyl.....................           7,826           6,873          113.87
    3. Chevy S10 Blazer 4WD 2 dr 4.3L 6 cyl.....................           8,739           8,378          104.31
                                                                 -----------------------------------------------
        Average index...........................................  ..............  ..............          112.42
                                                                 ===============================================
Fairbanks, AK:
    1. Honda Civic DX 4 dr sedan 1.5L 4 cyl.....................           6,967           5,139          135.57
    2. Ford Taurus GL 4 dr sedan 3.0L 6 cyl.....................           8,475           6,873          123.31
    3. Chevy S10 Blazer 4WD 2 dr 4.3L 6 cyl.....................           9,819           8,378          117.20
                                                                 -----------------------------------------------
        Average index...........................................  ..............  ..............          125.36
                                                                 ===============================================
Juneau, AK:
    1. Honda Civic DX 4 dr sedan 1.5L 4 cyl.....................           5,714           5,139          111.19
    2. Ford Taurus GL 4 dr sedan 3.0L 6 cyl.....................           7,717           6,873          112.28
    3. Chevy S10 Blazer 4WD 2 dr 4.3L 6 cyl.....................           8,846           8,378          105.59
                                                                 -----------------------------------------------
        Average index...........................................  ..............  ..............          109.69
                                                                 ===============================================
Nome, AK:
    1. Honda Civic DX 4 dr sedan 1.5L 4 cyl.....................           7,573           5,139          147.36
    2. Ford Taurus GL 4 dr sedan 3.0L 6 cyl.....................           9,612           6,873          139.85
    3. Chevy S10 Blazer 4WD 2 dr 4.3L 6 cyl.....................          10,656           8,378          127.19
                                                                 -----------------------------------------------
        Average index...........................................  ..............  ..............          138.13
                                                                 ===============================================
Honolulu, HI:
    1. Honda Civic DX 4 dr sedan 1.5L 4 cyl.....................           6,928           5,139          134.81
    2. Ford Taurus GL 4 dr sedan 3.0L 6 cyl.....................           8,723           6,873          126.92
    3. Chevy S10 Blazer 4WD 2 dr 4.3L 6 cyl.....................          10,496           8,378          125.28
                                                                 -----------------------------------------------
        Average index...........................................  ..............  ..............          129.00
                                                                 ===============================================
Hawaii County, HI:
    1. Honda Civic DX 4 dr sedan 1.5L 4 cyl.....................           6,906           5,139          134.38
    2. Ford Taurus GL 4 dr sedan 3.0L 6 cyl.....................           8,562           6,873          124.57
    3. Chevy S10 Blazer 4WD 2 dr 4.3L 6 cyl.....................          10,431           8,378          124.50
                                                                 -----------------------------------------------
        Average index...........................................  ..............  ..............          127.82
                                                                 ===============================================
Kauai County, HI:
    1. Honda Civic DX 4 dr sedan 1.5L 4 cyl.....................           6,636           5,139          129.13
    2. Ford Taurus GL 4 dr sedan 3.0L 6 cyl.....................           8,323           6,873          121.10
    3. Chevy S10 Blazer 4WD 2 dr 4.3L 6 cyl.....................          10,243           8,378          122.26
                                                                 -----------------------------------------------
        Average index...........................................  ..............  ..............          124.16
                                                                 ===============================================
Maui County, HI:

[[Page 56498]]

    1. Honda Civic DX 4 dr sedan 1.5L 4 cyl.....................           6,028           5,139          117.30
    2. Ford Taurus GL 4 dr sedan 3.0L 6 cyl.....................           8,422           6,873          122.54
    3. Chevy S10 Blazer 4WD 2 dr 4.3L 6 cyl.....................          10,686           8,378          127.55
                                                                 -----------------------------------------------
        Average index...........................................  ..............  ..............          122.46
                                                                 ===============================================
Guam:
    1. Honda Civic DX 4 dr sedan 1.5L 4 cyl.....................           5,705           5,139          111.01
    2. Ford Taurus GL 4 dr sedan 3.0L 6 cyl.....................           8,757           6,873          127.41
    3. Chevy S10 Blazer 4WD 2 dr 4.3L 6 cyl.....................           9,554           8,378          114.04
                                                                 -----------------------------------------------
        Average index...........................................  ..............  ..............          117.49
                                                                 ===============================================
Puerto Rico:
    1. Honda Civic DX 4 dr sedan 1.5L 4 cyl.....................           5,872           5,139          114.26
    2. Ford Taurus GL 4 dr sedan 3.0L 6 cyl.....................           8,842           6,873          128.65
    3. Chevy S10 Blazer 4WD 2 dr 4.3L 6 cyl.....................          10,482           8,378          125.11
                                                                 -----------------------------------------------
        Average index...........................................  ..............  ..............          122.67
                                                                 ===============================================
Virgin Islands:
    1. Honda Civic DX 4 dr sedan 1.5L 4 cyl.....................           6,737           5,139          131.10
    2. Ford Taurus GL 4 dr sedan 3.0L 6 cyl.....................           9,329           6,873          135.73
    3. Chevy S10 Blazer 4WD 2 dr 4.3L 6 cyl.....................          11,485           8,378          137.09
                                                                 -----------------------------------------------
        Average index...........................................  ..............  ..............          134.64
----------------------------------------------------------------------------------------------------------------


                                       Appendix 18--Transportation Summary
                                                  [1997 Survey]
----------------------------------------------------------------------------------------------------------------
                                                    Lower income          Middle income         Upper income
                                      Category -----------------------------------------------------------------
                                      indexes    Weights    Subtotal   Weights    Subtotal   Weights    Subtotal
----------------------------------------------------------------------------------------------------------------
Anchorage, AK:
    Private transportation.........     112.42      95.16     106.98      94.51     106.25      93.91     105.57
    Air fares and other
     transportation expenses.......     176.90       4.84       8.56       5.49       9.71       6.09      10.77
                                    ----------------------------------------------------------------------------
        Total weights..............  .........     100.00  .........     100.00  .........     100.00  .........
                                    ----------------------------------------------------------------------------
        Total indexes:
          Lower....................  .........  .........     115.54  .........  .........  .........  .........
          Middle...................  .........  .........  .........  .........     115.96  .........  .........
          Upper....................  .........  .........  .........  .........  .........  .........     116.34
                                    ============================================================================
Fairbanks, AK:
    Private transportation.........     125.36      95.16     119.29      94.51     118.48      93.91     117.73
    Air fares and other
     transportation expenses.......     227.89       4.84      11.03       5.49      12.51       6.09      13.88
                                    ----------------------------------------------------------------------------
        Total weights..............  .........     100.00  .........     100.00  .........     100.00  .........
                                    ----------------------------------------------------------------------------
        Total indexes:
          Lower....................  .........  .........     130.32  .........  .........  .........  .........
          Middle...................  .........  .........  .........  .........     130.99  .........  .........
          Upper....................  .........  .........  .........  .........  .........  .........     131.61
                                    ============================================================================
Juneau, AK:
    Private transportation.........     109.69      95.16     104.38      94.51     103.67      93.91     103.01
    Air fares and other
     transportation expenses.......     202.82       4.84       9.82       5.49      11.13       6.09      12.35
                                    ----------------------------------------------------------------------------
        Total weights..............  .........     100.00  .........     100.00  .........     100.00  .........
                                    ----------------------------------------------------------------------------
        Total indexes:
          Lower....................  .........  .........     114.20  .........  .........  .........  .........
          Middle...................  .........  .........  .........  .........     114.80  .........  .........
          Upper....................  .........  .........  .........  .........  .........  .........     115.36
                                    ============================================================================
Nome, AK:
    Private transportation.........     138.13      95.16     131.44      94.51     130.55      93.91     129.72

[[Page 56499]]

    Air fares and other
     transportation expenses.......     289.01       4.84      13.99       5.49      15.87       6.09      17.60
                                    ----------------------------------------------------------------------------
        Total weights..............  .........     100.00  .........     100.00  .........     100.00  .........
                                    ----------------------------------------------------------------------------
        Total indexes:
          Lower....................  .........  .........     145.43  .........  .........  .........  .........
          Middle...................  .........  .........  .........  .........     146.42  .........  .........
          Upper....................  .........  .........  .........  .........  .........  .........     147.32
                                    ============================================================================
Honolulu, HI:
    Private transportation.........     129.00      95.16     122.76      94.51     121.92      93.91     121.14
    Air fares and other
     transportation expenses.......     207.61       4.84      10.05       5.49      11.40       6.09      12.64
                                    ----------------------------------------------------------------------------
        Total weights..............  .........     100.00  .........     100.00  .........     100.00  .........
                                    ----------------------------------------------------------------------------
        Total indexes:
          Lower....................  .........  .........     132.81  .........  .........  .........  .........
          Middle...................  .........  .........  .........  .........     133.32  .........  .........
          Upper....................  .........  .........  .........  .........  .........  .........     133.78
                                    ============================================================================
Hawaii County, HI:
    Private transportation.........     127.82      95.16     121.63      94.51     120.80      93.91     120.04
    Air fares and other
     transportation expenses.......     255.77       4.84      12.38       5.49      14.04       6.09      15.58
                                    ----------------------------------------------------------------------------
        Total weights..............  .........     100.00  .........     100.00  .........     100.00  .........
                                    ----------------------------------------------------------------------------
        Total indexes:
          Lower....................  .........  .........     134.01  .........  .........  .........  .........
          Middle...................  .........  .........  .........  .........     134.84  .........  .........
          Upper....................  .........  .........  .........  .........  .........  .........     135.62
                                    ============================================================================
Kauai County, HI:
    Private transportation.........     124.16      95.16     118.15      94.51     117.34      93.91     116.60
    Air fares and other
     transportation expenses.......     255.77       4.84      12.38       5.49      14.04       6.09      15.58
                                    ----------------------------------------------------------------------------
        Total weights..............  .........     100.00  .........     100.00  .........     100.00  .........
                                    ----------------------------------------------------------------------------
        Total indexes:
          Lower....................  .........  .........     130.53  .........  .........  .........  .........
          Middle...................  .........  .........  .........  .........     131.38  .........  .........
          Upper....................  .........  .........  .........  .........  .........  .........     132.18
                                    ============================================================================
Maui County, HI:
    Private transportation.........     122.46      95.16     116.53      94.51     115.74      93.91     115.00
    Air fares and other
     transportation expenses.......     252.11       4.84      12.20       5.49      13.84       6.09      15.35
                                    ----------------------------------------------------------------------------
        Total weights..............  .........     100.00  .........     100.00  .........     100.00  .........
                                    ----------------------------------------------------------------------------
        Total indexes:
          Lower....................  .........  .........     128.73  .........  .........  .........  .........
          Middle...................  .........  .........  .........  .........     129.58  .........  .........
          Upper....................  .........  .........  .........  .........  .........  .........     130.35
                                    ============================================================================
Guam:
    Private transportation.........     117.49      95.16     111.80      94.51     111.04      93.91     110.33
    Air fares and other
     transportation expenses.......     489.58       4.84      23.70       5.49      26.88       6.09      29.82
                                    ----------------------------------------------------------------------------
        Total weights..............  .........     100.00  .........     100.00  .........     100.00  .........
                                    ----------------------------------------------------------------------------
        Total indexes:
          Lower....................  .........  .........     135.50  .........  .........  .........  .........
          Middle...................  .........  .........  .........  .........     137.92  .........  .........
          Upper....................  .........  .........  .........  .........  .........  .........     140.15
                                    ============================================================================
Puerto Rico:
    Private transportation.........     122.67      95.16     116.73      94.51     115.94      93.91     115.20
    Air fares and other
     transportation expenses.......     154.37       4.84       7.47       5.49       8.47       6.09       9.40
                                    ----------------------------------------------------------------------------
        Total weights..............  .........     100.00  .........     100.00  .........     100.00  .........
                                    ----------------------------------------------------------------------------

[[Page 56500]]

        Total indexes:
          Lower....................  .........  .........     124.20  .........  .........  .........  .........
          Middle...................  .........  .........  .........  .........     124.41  .........  .........
          Upper....................  .........  .........  .........  .........  .........  .........     124.60
                                    ============================================================================
Virgin Islands:
    Private transportation.........     134.64      95.16     128.12      94.51     127.25      93.91     126.44
    Air fares and other
     transportation expenses.......     234.08       4.84      11.33       5.49      12.85       6.09      14.26
                                    ----------------------------------------------------------------------------
        Total weights..............  .........     100.00  .........     100.00  .........     100.00  .........
                                    ----------------------------------------------------------------------------
        Total indexes:
          Lower....................  .........  .........     139.45  .........  .........  .........  .........
          Middle...................  .........  .........  .........  .........     140.10  .........  .........
          Upper....................  .........  .........  .........  .........  .........  .........     140.70
----------------------------------------------------------------------------------------------------------------


                     Appendix 19--Miscellaneous Expense Analysis--Category Index Development
                                                  [1997 Survey]
----------------------------------------------------------------------------------------------------------------
                                                   Price DC
                                       Price         area        Ratio       Weights      Subtotal      Index
----------------------------------------------------------------------------------------------------------------
Anchorage, AK:
    Medical care..................  ...........  ...........  ...........  ...........  ...........       105.30
    Non-aspirin pain reliever.....        $6.15        $6.55         0.94         4.86         4.56  ...........
    Tetracycline..................         7.06         7.38         0.96        12.02        11.49  ...........
    Dentist clean/check...........       127.00       122.58         1.04        15.29        15.84  ...........
    Doctor office visit...........        61.67        54.38         1.13        12.83        14.55  ...........
    Hospital room.................       751.75       530.66         1.42         3.12         4.42  ...........
    Health Insurance..............     1,107.49     1,038.62         1.07        46.64        49.73  ...........
    Contact Lenses................       166.00       185.26         0.90         5.23         4.69  ...........
                                   -----------------------------------------------------------------------------
Fairbanks, AK:
    Medical care..................  ...........  ...........  ...........  ...........  ...........       108.68
    Non-aspirin pain reliever.....         5.96         6.55         0.91         4.86         4.42  ...........
    Tetracycline..................         6.44         7.38         0.87        12.02        10.49  ...........
    Dentist clean/check...........       164.33       122.58         1.34        15.29        20.50  ...........
    Doctor office visit...........        65.67        54.38         1.21        12.83        15.49  ...........
    Hospital room.................       533.00       530.66         1.00         3.12         3.13  ...........
    Health Insurance..............     1,090.01     1,038.62         1.05        46.64        48.95  ...........
    Contact Lenses................       201.33       185.26         1.09         5.23         5.68  ...........
                                   -----------------------------------------------------------------------------
Juneau, AK:
    Medical care..................  ...........  ...........  ...........  ...........  ...........       113.07
    Non-aspirin pain reliever.....         7.31         6.55         1.12         4.86         5.43  ...........
    Tetracycline..................         7.48         7.38         1.01        12.02        12.19  ...........
    Dentist clean/check...........       194.17       122.58         1.58        15.29        24.22  ...........
    Doctor office visit...........        60.67        54.38         1.12        12.83        14.31  ...........
    Hospital room.................       515.00       530.66         0.97         3.12         3.03  ...........
    Health Insurance..............     1,076.71     1,038.62         1.04        46.64        48.35  ...........
    Contact Lenses................       196.00       185.26         1.06         5.23         5.53  ...........
                                   -----------------------------------------------------------------------------
Nome, AK:
    Medical care..................  ...........  ...........  ...........  ...........  ...........       132.11
    Non-aspirin pain reliever.....        10.58         6.55         1.62         4.86         7.85  ...........
    Tetracycline..................        14.75         7.38         2.00        12.02        24.03  ...........
    Dentist clean/check...........       172.50       122.58         1.41        15.29        21.52  ...........
    Doctor office visit...........        74.00        54.38         1.36        12.83        17.46  ...........
    Hospital room.................       517.00       530.66         0.97         3.12         3.04  ...........
    Health Insurance..............     1,091.05     1,038.62         1.05        46.64        48.99  ...........
    Contact Lenses................       325.88       185.26         1.76         5.23         9.20  ...........
                                   -----------------------------------------------------------------------------
Honolulu, HI:
    Medical care..................  ...........  ...........  ...........  ...........  ...........       115.51
    Non-aspirin pain reliever.....         7.56         6.55         1.15         4.86         5.61  ...........
    Tetracycline..................         8.07         7.38         1.09        12.02        13.14  ...........
    Dentist clean/check...........       179.08       122.58         1.46        15.29        22.34  ...........
    Doctor office visit...........        41.39        54.38         0.76        12.83         9.77  ...........

[[Page 56501]]

    Hospital room.................       646.87       530.66         1.22         3.12         3.80  ...........
    Health Insurance..............     1,210.02     1,038.62         1.17        46.64        54.34  ...........
    Contact Lenses................       230.21       185.26         1.24         5.23         6.50  ...........
                                   -----------------------------------------------------------------------------
Hilo, HI:
    Medical care..................  ...........  ...........  ...........  ...........  ...........       105.26
    Non-aspirin pain reliever.....         8.99         6.55         1.37         4.86         6.67  ...........
    Tetracycline..................         6.98         7.38         0.95        12.02        11.37  ...........
    Dentist clean/check...........       110.54       122.58         0.90        15.29        13.79  ...........
    Doctor office visit...........        53.93        54.38         0.99        12.83        12.72  ...........
    Hospital room.................       573.96       530.66         1.08         3.12         3.37  ...........
    Health Insurance..............     1,145.58     1,038.62         1.10        46.64        51.44  ...........
    Contact Lenses................       208.22       185.26         1.12         5.23         5.88  ...........
                                   -----------------------------------------------------------------------------
Kailua Kona, HI:
    Medical care..................  ...........  ...........  ...........  ...........  ...........       115.32
    Non-aspirin pain reliever.....         8.26         6.55         1.26         4.86         6.13  ...........
    Tetracycline..................         6.09         7.38         0.83        12.02         9.93  ...........
    Dentist clean/check...........       181.42       122.58         1.48        15.29        22.63  ...........
    Doctor office visit...........        70.83        54.38         1.30        12.83        16.71  ...........
    Hospital room.................       533.33       530.66         1.01         3.12         3.14  ...........
    Health Insurance..............     1,145.58     1,038.62         1.10        46.64        51.44  ...........
    Contact Lenses................       188.61       185.26         1.02         5.23         5.32  ...........
                                   -----------------------------------------------------------------------------
Kauai County, HI:
    Medical care..................  ...........  ...........  ...........  ...........  ...........       100.43
    Non-aspirin pain reliever.....         9.58         6.55         1.46         4.86         7.11  ...........
    Tetracycline..................         6.29         7.38         0.85        12.02        10.24  ...........
    Dentist clean/check...........       128.65       122.58         1.05        15.29        16.05  ...........
    Doctor office visit...........        37.15        54.38         0.68        12.83         8.77  ...........
    Hospital room.................       573.96       530.66         1.08         3.12         3.37  ...........
    Health Insurance..............     1,111.40     1,038.62         1.07        46.64        49.91  ...........
    Contact Lenses................       176.32       185.26         0.95         5.23         4.98  ...........
                                   -----------------------------------------------------------------------------
Maui County, HI:
    Medical care..................  ...........  ...........  ...........  ...........  ...........       115.09
    Non-aspirin pain reliever.....         8.20         6.55         1.25         4.86         6.09  ...........
    Tetracycline..................         7.05         7.38         0.96        12.02        11.48  ...........
    Dentist clean/check...........       147.00       122.58         1.20        15.29        18.34  ...........
    Doctor office visit...........        63.95        54.38         1.18        12.83        15.09  ...........
    Hospital room.................       573.96       530.66         1.08         3.12         3.37  ...........
    Health Insurance..............     1,220.98     1,038.62         1.18        46.64        54.83  ...........
    Contact Lenses................       208.33       185.26         1.12         5.23         5.88  ...........
                                   -----------------------------------------------------------------------------
Guam:
    Medical care..................  ...........  ...........  ...........  ...........  ...........       121.49
    Non-aspirin pain reliever.....        10.09         6.55         1.54         4.86         7.49  ...........
    Tetracycline..................         4.65         7.38         0.63        12.02         7.58  ...........
    Dentist clean/check...........       159.00       122.58         1.30        15.29        19.83  ...........
    Doctor office visit...........        48.00        54.38         0.88        12.83        11.33  ...........
    Hospital room.................       259.00       530.66         0.49         3.12         1.52  ...........
    Health Insurance..............     1,372.56     1,038.62         1.32        46.64        61.64  ...........
    Contact Lenses................       428.33       185.26         2.31         5.23        12.09  ...........
                                   -----------------------------------------------------------------------------
Puerto Rico:
    Medical care..................  ...........  ...........  ...........  ...........  ...........        81.61
    Non-aspirin pain reliever.....         4.99         6.55         0.76         4.86         3.71  ...........
    Tetracycline..................         4.00         7.38         0.54        12.02         6.52  ...........
    Dentist clean/check...........       112.67       122.58         0.92        15.29        14.05  ...........
    Doctor office visit...........        38.33        54.38         0.70        12.83         9.04  ...........
    Hospital room.................       239.67       530.66         0.45         3.12         1.41  ...........
    Health Insurance..............       920.17     1,038.62         0.89        46.64        41.32  ...........
    Contact Lenses................       155.67       185.26         0.84         5.23         4.39  ...........
                                   -----------------------------------------------------------------------------
St. Croix, VI:
    Medical care..................  ...........  ...........  ...........  ...........  ...........       126.09
    Non-aspirin pain reliever.....         7.12         6.55         1.09         4.86         5.29  ...........
    Tetracycline..................         9.62         7.38         1.30        12.02        15.67  ...........
    Dentist clean/check...........       120.00       122.58         0.98        15.29        14.97  ...........
    Doctor office visit...........        42.50        54.38         0.78        12.83        10.03  ...........

[[Page 56502]]

    Hospital room.................       550.00       530.66         1.04         3.12         3.23  ...........
    Health Insurance..............     1,170.37     1,038.62         1.13        46.64        52.56  ...........
    Contact Lenses................       193.92       185.26         1.05         5.23         5.47  ...........
                                   -----------------------------------------------------------------------------
St. Thomas, VI:
    Medical care..................  ...........  ...........  ...........  ...........  ...........       122.11
    Non-aspirin pain reliever.....         7.68         6.55         1.17         4.86         5.70  ...........
    Tetracycline..................         7.92         7.38         1.07        12.02        12.90  ...........
    Dentist clean/check...........        95.00       122.58         0.78        15.29        11.85  ...........
    Doctor office visit...........        50.00        54.38         0.92        12.83        11.80  ...........
    Hospital room.................       500.00       530.66         0.94         3.12         2.94  ...........
    Health Insurance..............     1,170.37     1,038.62         1.13        46.64        52.56  ...........
    Contact Lenses................       194.63       185.26         1.05         5.23         5.49  ...........
----------------------------------------------------------------------------------------------------------------


                                          Appendix 20--Miscellaneous Expense Analysis--Total Index Development
                                                                      [1997 Survey]
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                  Lower income              Middle income             Upper income
                                                                 Category  -----------------------------------------------------------------------------
                                                                 indexes      Weights*     Subtotal     Weights*     Subtotal     Weights*     Subtotal
--------------------------------------------------------------------------------------------------------------------------------------------------------
Anchorage, AK:
    1. Medical care..........................................       105.30        40.74        42.90        30.79        32.42        23.66        24.91
    2. Cash contributions:
        Lower income.........................................       109.51        16.07        17.60  ...........  ...........  ...........  ...........
        Middle income........................................       109.38  ...........  ...........        16.56        18.11  ...........  ...........
        Upper income.........................................       109.21  ...........  ...........  ...........  ...........        16.91        18.47
    3. Personal insurance/pensions...........................       100.00        42.31        42.31        51.42        51.42        57.95        57.95
    4. Education.............................................        43.40         0.87         0.38         1.23         0.53         1.48         0.64
                                                              ------------------------------------------------------------------------------------------
            Total weights....................................  ...........       100.00  ...........       100.00  ...........       100.00  ...........
                                                              ------------------------------------------------------------------------------------------
            Total indexes:
              Lower..........................................  ...........  ...........       103.19  ...........  ...........  ...........  ...........
              Middle.........................................  ...........  ...........  ...........  ...........       102.48  ...........  ...........
              Upper..........................................  ...........  ...........  ...........  ...........  ...........  ...........       101.97
                                                              ==========================================================================================
Fairbanks, AK:
    1. Medical care..........................................       108.68        40.74        44.28        30.79        33.46        23.66        25.71
    2. Cash contributions:
        Lower income.........................................       110.01        16.07        17.68  ...........  ...........  ...........  ...........
        Middle income........................................       109.97  ...........  ...........        16.56        18.21  ...........  ...........
        Upper income.........................................       109.94  ...........  ...........  ...........  ...........        16.91        18.59
    3. Personal insurance/pensions...........................       100.00        42.31        42.31        51.42        51.42        57.95        57.95
    4. Education.............................................        26.91         0.87         0.23         1.23         0.33         1.48         0.40
                                                              ------------------------------------------------------------------------------------------
            Total weights....................................  ...........       100.00  ...........       100.00  ...........       100.00  ...........
                                                              ------------------------------------------------------------------------------------------
            Total indexes:
              Lower..........................................  ...........  ...........       104.50  ...........  ...........  ...........  ...........
              Middle.........................................  ...........  ...........  ...........  ...........       103.42  ...........  ...........
              Upper..........................................  ...........  ...........  ...........  ...........  ...........  ...........       102.65
                                                              ==========================================================================================
Juneau, AK:
    1. Medical care..........................................       113.07        40.74        46.06        30.79        34.81        23.66        26.75
    2. Cash contributions:
        Lower income.........................................       118.02        16.07        18.97  ...........  ...........  ...........  ...........
        Middle income........................................       118.10  ...........  ...........        16.56        19.56  ...........  ...........
        Upper income.........................................       118.19  ...........  ...........  ...........  ...........        16.91        19.99
    3. Personal insurance/pensions...........................       100.00        42.31        42.31        51.42        51.42        57.95        57.95
    4. Education.............................................        53.84         0.87         0.47         1.23         0.66         1.48         0.80
                                                              ------------------------------------------------------------------------------------------
            Total weights....................................  ...........       100.00  ...........       100.00  ...........       100.00  ...........
                                                              ------------------------------------------------------------------------------------------
            Total indexes:
              Lower..........................................  ...........  ...........       107.81  ...........  ...........  ...........  ...........
              Middle.........................................  ...........  ...........  ...........  ...........       106.45  ...........  ...........
              Upper..........................................  ...........  ...........  ...........  ...........  ...........  ...........       105.49
                                                              ==========================================================================================

[[Page 56503]]

Nome, AK:
    1. Medical care..........................................       132.11        40.74        53.82        30.79        40.68        23.66        31.26
    2. Cash contributions:
        Lower income.........................................       140.36        16.07        22.56  ...........  ...........  ...........  ...........
        Middle income........................................       139.77  ...........  ...........        16.56        23.15  ...........  ...........
        Upper income.........................................       139.23  ...........  ...........  ...........  ...........        16.91        23.54
    3. Personal insurance/pensions...........................       100.00        42.31        42.31        51.42        51.42        57.95        57.95
    4. Education.............................................        23.46         0.87         0.20         1.23         0.29         1.48         0.35
                                                              ------------------------------------------------------------------------------------------
            Total weights....................................  ...........       100.00  ...........       100.00  ...........       100.00  ...........
                                                              ------------------------------------------------------------------------------------------
            Total indexes:
              Lower..........................................  ...........  ...........       118.89  ...........  ...........  ...........  ...........
              Middle.........................................  ...........  ...........  ...........  ...........       115.54  ...........  ...........
              Upper..........................................  ...........  ...........  ...........  ...........  ...........  ...........       113.10
                                                              ==========================================================================================
Honolulu, HI:
    1. Medical care..........................................       115.51        40.74        47.06        30.79        35.57        23.66        27.33
    2. Cash contributions:
        Lower income.........................................       116.69        16.07        18.75  ...........  ...........  ...........  ...........
        Middle income........................................       115.93  ...........  ...........        16.56        19.20  ...........  ...........
        Upper income.........................................       115.22  ...........  ...........  ...........  ...........        16.91        19.48
    3. Personal insurance/pensions...........................       100.00        42.31        42.31        51.42        51.42        57.95        57.95
    4. Education.............................................       229.48         0.87         2.00         1.23         2.82         1.48         3.40
                                                              ------------------------------------------------------------------------------------------
            Total weights....................................  ...........       100.00  ...........       100.00  ...........       100.00  ...........
                                                              ------------------------------------------------------------------------------------------
            Total indexes:
              Lower..........................................  ...........  ...........       110.12  ...........  ...........  ...........  ...........
              Middle.........................................  ...........  ...........  ...........  ...........       109.01  ...........  ...........
              Upper..........................................  ...........  ...........  ...........  ...........  ...........  ...........       108.16
                                                              ==========================================================================================
Hilo, HI:
    1. Medical care..........................................       105.26        40.74        42.88        30.79        32.41        23.66        24.90
    2. Cash contributions:
        Lower income.........................................       114.51        16.07        18.40  ...........  ...........  ...........  ...........
        Middle income........................................       113.59  ...........  ...........        16.56        18.81  ...........  ...........
        Upper income.........................................       112.74  ...........  ...........  ...........  ...........        16.91        19.06
    3. Personal insurance/pensions...........................       100.00        42.31        42.31        51.42        51.42        57.95        57.95
    4. Education.............................................        63.32         0.87         0.55         1.23         0.78         1.48         0.94
                                                              ------------------------------------------------------------------------------------------
            Total weights....................................  ...........       100.00  ...........       100.00  ...........       100.00  ...........
                                                              ------------------------------------------------------------------------------------------
            Total indexes:
              Lower..........................................  ...........  ...........       104.14  ...........  ...........  ...........  ...........
              Middle.........................................  ...........  ...........  ...........  ...........       103.42  ...........  ...........
              Upper..........................................  ...........  ...........  ...........  ...........  ...........  ...........       102.85
                                                              ==========================================================================================
Kailua Kona, HI:
    1. Medical care..........................................       115.32        40.74        46.98        30.79        35.51        23.66        27.28
    2. Cash contributions:
        Lower income.........................................       121.69        16.07        19.56  ...........  ...........  ...........  ...........
        Middle income........................................       121.09  ...........  ...........        16.56        20.05  ...........  ...........
        Upper income.........................................       120.55  ...........  ...........  ...........  ...........        16.91        20.39
    3. Personal insurance/pensions...........................       100.00        42.31        42.31        51.42        51.42        57.95        57.95
    4. Education.............................................       124.59         0.87         1.08         1.23         1.53         1.48         1.84
                                                              ------------------------------------------------------------------------------------------
            Total weights....................................  ...........       100.00  ...........       100.00  ...........       100.00  ...........
                                                              ------------------------------------------------------------------------------------------
            Total indexes:
              Lower..........................................  ...........  ...........       109.93  ...........  ...........  ...........  ...........
              Middle.........................................  ...........  ...........  ...........  ...........       108.51  ...........  ...........
              Upper..........................................  ...........  ...........  ...........  ...........  ...........  ...........       107.46
                                                              ==========================================================================================
Kauai County, HI:
    1. Medical care..........................................       100.43        40.74        40.92        30.79        30.92        23.66        23.76
    2. Cash contributions:
        Lower income.........................................       119.91        16.07        19.27  ...........  ...........  ...........  ...........
        Middle income........................................       118.84  ...........  ...........        16.56        19.68  ...........  ...........

[[Page 56504]]

        Upper income.........................................       117.86  ...........  ...........  ...........  ...........        16.91        19.93
    3. Personal insurance/pensions...........................       100.00        42.31        42.31        51.42        51.42        57.95        57.95
    4. Education.............................................       162.50         0.87         1.41         1.23         2.00         1.48         2.41
                                                              ------------------------------------------------------------------------------------------
            Total weights....................................  ...........       100.00  ...........       100.00  ...........       100.00  ...........
                                                              ------------------------------------------------------------------------------------------
            Total indexes:
              Lower..........................................  ...........  ...........       103.91  ...........  ...........  ...........  ...........
              Middle.........................................  ...........  ...........  ...........  ...........       104.02  ...........  ...........
              Upper..........................................  ...........  ...........  ...........  ...........  ...........  ...........       104.05
                                                              ==========================================================================================
Maui County, HI:
    1. Medical care..........................................       115.09        40.74        46.89        30.79        35.44        23.66        27.23
    2. Cash contributions:
        Lower income.........................................       121.65        16.07        19.55  ...........  ...........  ...........  ...........
        Middle income........................................       120.51  ...........  ...........        16.56        19.96  ...........  ...........
        Upper income.........................................       119.42  ...........  ...........  ...........  ...........        16.91        20.19
    3. Personal insurance/pensions...........................       100.00        42.31        42.31        51.42        51.42        57.95        57.95
    4. Education.............................................       137.24         0.87         1.19         1.23         1.69         1.48         2.03
                                                              ------------------------------------------------------------------------------------------
            Total weights....................................  ...........       100.00  ...........       100.00  ...........       100.00  ...........
                                                              ------------------------------------------------------------------------------------------
            Total indexes:
              Lower..........................................  ...........  ...........       109.94  ...........  ...........  ...........  ...........
              Middle.........................................  ...........  ...........  ...........  ...........       108.51  ...........  ...........
              Upper..........................................  ...........  ...........  ...........  ...........  ...........  ...........       107.40
                                                              ==========================================================================================
Guam:
    1. Medical care..........................................       121.49        40.74        49.50        30.79        37.41        23.66        28.74
    2. Cash contributions:
        Lower income.........................................       119.12        16.07        19.14  ...........  ...........  ...........  ...........
        Middle income........................................       119.01  ...........  ...........        16.56        19.71  ...........  ...........
        Upper income.........................................       118.92  ...........  ...........  ...........  ...........        16.91        20.11
    3. Personal insurance/pensions...........................        90.95        42.31        38.48        51.42        46.77        57.95        52.71
    4. Education.............................................       290.52         0.87         2.53         1.23         3.57         1.48         4.30
                                                              ------------------------------------------------------------------------------------------
            Total weights....................................  ...........       100.00  ...........       100.00  ...........       100.00  ...........
                                                              ------------------------------------------------------------------------------------------
            Total indexes:
              Lower..........................................  ...........  ...........       109.65  ...........  ...........  ...........  ...........
              Middle.........................................  ...........  ...........  ...........  ...........       107.46  ...........  ...........
              Upper..........................................  ...........  ...........  ...........  ...........  ...........  ...........       105.86
                                                              ==========================================================================================
Puerto Rico:
    1. Medical care..........................................        81.61        40.74        33.25        30.79        25.13        23.66        19.31
    2. Cash contributions:
        Lower income.........................................       106.34        16.07        17.09  ...........  ...........  ...........  ...........
        Middle income........................................       106.47  ...........  ...........        16.56        17.63  ...........  ...........
        Upper income.........................................       106.60  ...........  ...........  ...........  ...........        16.91        18.03
    3. Personal insurance/pensions...........................       100.00        42.31        42.31        51.42        51.42        57.95        57.95
    4. Education.............................................       274.52         0.87         2.39         1.23         3.38         1.48         4.06
                                                              ------------------------------------------------------------------------------------------
            Total weights....................................  ...........       100.00  ...........       100.00  ...........       100.00  ...........
                                                              ------------------------------------------------------------------------------------------
            Total indexes:
              Lower..........................................  ...........  ...........        95.04  ...........  ...........  ...........  ...........
              Middle.........................................  ...........  ...........  ...........  ...........        97.56  ...........  ...........
              Upper..........................................  ...........  ...........  ...........  ...........  ...........  ...........        99.35
                                                              ==========================================================================================
St. Croix, VI:
    1. Medical care..........................................       126.09        40.74        51.37        30.79        38.82        23.66        29.83
    2. Cash contributions:
        Lower income.........................................       116.60        16.07        18.74  ...........  ...........  ...........  ...........
        Middle income........................................       116.78  ...........  ...........        16.56        19.34  ...........  ...........
        Upper income.........................................       116.99  ...........  ...........  ...........  ...........        16.91        19.78
    3. Personal insurance/pensions...........................       100.00        42.31        42.31        51.42        51.42        57.95        57.95
    4. Education.............................................       390.72         0.87         3.40         1.23         4.81         1.48         5.78
                                                              ------------------------------------------------------------------------------------------
            Total weights....................................  ...........       100.00  ...........       100.00  ...........       100.00  ...........
                                                              ------------------------------------------------------------------------------------------

[[Page 56505]]

            Total indexes:
              Lower..........................................  ...........  ...........       115.82  ...........  ...........  ...........  ...........
              Middle.........................................  ...........  ...........  ...........  ...........       114.39  ...........  ...........
              Upper..........................................  ...........  ...........  ...........  ...........  ...........  ...........       113.34
                                                              ==========================================================================================
St. Thomas, VI:
    1. Medical care..........................................       122.11        40.74        49.75        30.79        37.60        23.66        28.89
    2. Cash contributions:
        Lower income.........................................       116.80        16.07        18.77  ...........  ...........  ...........  ...........
        Middle income........................................       116.52  ...........  ...........        16.56        19.30  ...........  ...........
        Upper income.........................................       116.24  ...........  ...........  ...........  ...........        16.91        19.66
    3. Personal insurance/pensions...........................       100.00        42.31        42.31        51.42        51.42        57.95        57.95
    4. Education.............................................       375.74         0.87         3.27         1.23         4.62         1.48         5.56
                                                              ------------------------------------------------------------------------------------------
            Total weights....................................  ...........       100.00  ...........       100.00  ...........       100.00  ...........
                                                              ------------------------------------------------------------------------------------------
            Total indexes:
              Lower..........................................  ...........  ...........       114.10  ...........  ...........  ...........  ...........
              Middle.........................................  ...........  ...........  ...........  ...........       112.94  ...........  ...........
              Upper..........................................  ...........  ...........  ...........  ...........  ...........  ...........       112.06
--------------------------------------------------------------------------------------------------------------------------------------------------------
*Numbers might not add to 100 due to rounding.


               Miscellaneous Expense Analysis--Composites
                              [1997 Survey]
------------------------------------------------------------------------
                                                  Total indexes
                                        --------------------------------
          Location             Weights     Lower      Middle     Upper
                                           income     income     income
------------------------------------------------------------------------
Hilo, HI....................      75.99     104.14     103.42     102.85
Kailua Kona, HI.............      24.01     109.93     108.51     107.46
                             -------------------------------------------
    Total weight............     100.00  .........  .........  .........
                             -------------------------------------------
     Hawaii County, HI......  .........     105.53     104.64     103.96
                             ===========================================
St. Croix, VI...............      48.76     115.82     114.39     113.34
St. Thomas, VI..............      51.24     114.10     112.94     112.06
                             -------------------------------------------
    Total weight............     100.00  .........  .........  .........
                             -------------------------------------------
     Virgin Islands.........  .........     114.94     113.65     112.68
------------------------------------------------------------------------


                                                       Appendix 21--Component Expenditure Amounts
                                                                      [1997 Survey]
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                  Indexes                                      Amounts
                                               Incomes         -----------------------------------------------------------------------------------------
                                                                  CG&S     Own      Rent     Trn      Misc     CG&S     Own      Rent     Trn      Misc
--------------------------------------------------------------------------------------------------------------------------------------------------------
Reference Wts/Amts                     22,300.................    38.90    26.03    26.03    18.72    16.34   $8,675   $5,805   $5,805   $4,175   $3,644
                                       34,000.................    38.18    24.67    24.67    18.54    18.61   12,981    8,388    8,388    6,304    6,327
                                       51,500.................    37.52    23.43    23.43    18.38    20.68   19,323   12,066   12,066    9,466   10,650
                                      ==================================================================================================================
Anchorage, AK........................  Lower..................   109.51    96.86    94.91   115.54   103.19    9,500    5,623    5,510    4,824    3,760
                                       Middle.................   109.38    91.38    86.68   115.96   102.48   14,199    7,665    7,271    7,310    6,484
                                       Upper..................   109.21    75.96    78.73   116.34   101.97   21,103    9,165    9,500   11,013   10,860
                                      ------------------------------------------------------------------------------------------------------------------
Fairbanks, AK........................  Lower..................   110.01   101.73   107.15   130.32   104.50    9,543    5,905    6,220    5,441    3,808
                                       Middle.................   109.97    93.65    90.11   130.99   103.42   14,275    7,855    7,558    8,258    6,543
                                       Upper..................   109.94    77.26    82.70   131.61   102.65   21,244    9,322    9,979   12,458   10,932
                                      ------------------------------------------------------------------------------------------------------------------
Juneau, AK...........................  Lower..................   118.02   126.43   130.06   114.20   107.81   10,238    7,339    7,550    4,768    3,929
                                       Middle.................   118.10   111.60   111.27   114.80   106.45   15,331    9,361    9,333    7,237    6,735
                                       Upper..................   118.19    87.62   106.14   115.36   105.49   22,838   10,572   12,807   10,920   11,235
                                      ------------------------------------------------------------------------------------------------------------------
Nome, AK.............................  Lower..................   140.36   108.55   136.48   145.43   118.89   12,176    6,301    7,923    6,072    4,332

[[Page 56506]]

                                       Middle.................   139.77   103.04   107.14   146.42   115.54   18,144    8,643    8,987    9,230    7,310
                                       Upper..................   139.23    84.91    86.64   147.32   113.10   26,903   10,245   10,454   13,945   12,045
                                      ------------------------------------------------------------------------------------------------------------------
Honolulu, HI.........................  Lower..................   116.69   191.66   142.31   132.81   110.12   10,123   11,126    8,261    5,545    4,013
                                       Middle.................   115.93   179.76   113.85   133.32   109.01   15,049   15,078    9,550    8,404    6,897
                                       Upper..................   115.22   178.63   114.12   133.78   108.16   22,264   21,553   13,770   12,664   11,519
                                      ------------------------------------------------------------------------------------------------------------------
Hawaii County, HI....................  Lower..................   116.23   118.25    93.72   134.01   105.53   10,083    6,864    5,440    5,595    3,846
                                       Middle.................   115.39   111.05    74.77   134.84   104.64   14,979    9,315    6,272    8,500    6,621
                                       Upper..................   114.62    89.70    61.74   135.62   103.96   22,148   10,823    7,450   12,838   11,072
                                      ------------------------------------------------------------------------------------------------------------------
Kauai County, HI.....................  Lower..................   119.91   148.33   103.22   130.53   103.91   10,402    8,611    5,992    5,450    3,786
                                       Middle.................   118.84   137.33    92.59   131.38   104.02   15,427   11,519    7,766    8,282    6,581
                                       Upper..................   117.86   108.76    70.21   132.18   104.05   22,774   13,123    8,472   12,512   11,081
                                      ------------------------------------------------------------------------------------------------------------------
Maui County, HI......................  Lower..................   121.65   158.93   115.85   128.73   109.94   10,553    9,226    6,725    5,374    4,006
                                       Middle.................   120.51   149.42   103.98   129.58   108.51   15,643   12,533    8,722    8,169    6,865
                                       Upper..................   119.42   119.35    79.94   130.35   107.40   23,076   14,401    9,646   12,339   11,438
                                      ------------------------------------------------------------------------------------------------------------------
Guam (Local Retail)..................  Lower..................   119.12   148.72   124.44   135.50   109.65   10,334    8,633    7,224    5,657    3,996
                                       Middle.................   119.01   129.90   114.82   137.92   107.46   15,449   10,896    9,631    8,694    6,799
                                       Upper..................   118.92   124.91   107.05   140.15   105.86   22,979   15,072   12,917   13,267   11,274
                                      ------------------------------------------------------------------------------------------------------------------
Guam (Comm.&Exch.)...................  Lower..................   109.32   148.72   124.44   135.50   109.65    9,484    8,633    7,224    5,657    3,996
                                       Middle.................   109.73   129.90   114.82   137.92   107.46   14,244   10,896    9,631    8,694    6,799
                                       Upper..................   110.16   124.91   107.05   140.15   105.86   21,286   15,072   12,917   13,267   11,274
                                      ------------------------------------------------------------------------------------------------------------------
Puerto Rico..........................  Lower..................   106.34    74.93   104.45   124.20    95.04    9,225    4,350    6,063    5,185    3,463
                                       Middle.................   106.47    71.28   122.71   124.41    97.56   13,821    5,979   10,293    7,843    6,173
                                       Upper..................   106.60    72.24   130.73   124.60    99.35   20,598    8,716   15,774   11,795   10,581
                                      ------------------------------------------------------------------------------------------------------------------
Virgin Islands.......................  Lower..................   116.70   126.35   112.62   139.45   114.94   10,124    7,335    6,538    5,822    4,188
                                       Middle.................   116.65   127.80   104.86   140.10   113.65   15,142   10,720    8,796    8,832    7,191
                                       Upper..................   116.61   101.40   100.52   140.70   112.68   22,533   12,235   12,129   13,319   12,000
--------------------------------------------------------------------------------------------------------------------------------------------------------


                                                       Appendix 22--Total Comparative Cost Indexes
                                                                      [1997 Survey]
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                    Income
                                                             Income                 Weights       Own        Rent        Total        WDC        Index
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                Lower...........................      22,300       38.60       61.40  ..........  ..........  ..........
                                                Middle..........................      34,000       48.05       51.95  ..........  ..........  ..........
                                                Upper...........................      51,500       62.17       37.83  ..........  ..........  ..........
                                               =========================================================================================================
Anchorage, AK.................................  Lower...........................       26.11     $23,707     $23,594     $23,638     $22,300  ..........
                                                Middle..........................       30.95      35,658      35,264      35,453      34,000  ..........
                                                Upper...........................       42.94      52,141      52,476      52,268      51,500  ..........
                                                ................................      100.00  ..........  ..........      39,588      38,460      102.93
                                               ---------------------------------------------------------------------------------------------------------
Fairbanks, AK.................................  Lower...........................       33.54      24,697      25,012      24,890      22,300  ..........
                                                Middle..........................       35.19      36,931      36,634      36,777      34,000  ..........
                                                Upper...........................       31.26      53,956      54,613      54,205      51,500  ..........
                                                ................................       99.99  ..........  ..........      38,238      35,546      107.57
                                               ---------------------------------------------------------------------------------------------------------
Juneau, AK....................................  Lower...........................       19.77      26,274      26,485      26,404      22,300  ..........
                                                Middle..........................       29.87      38,664      38,636      38,649      34,000  ..........
                                                Upper...........................       50.36      55,565      57,800      56,411      51,500  ..........
                                                ................................      100.00  ..........  ..........      45,173      40,500      111.54
                                               ---------------------------------------------------------------------------------------------------------
Nome, AK......................................  Lower...........................       24.32      28,881      30,503      29,877      22,300  ..........
                                                Middle..........................       45.65      43,327      43,671      43,506      34,000  ..........
                                                Upper...........................       30.03      63,138      63,347      63,217      51,500  ..........
                                                ................................      100.00  ..........  ..........      46,111      36,410      126.64
                                               ---------------------------------------------------------------------------------------------------------
Honolulu, HI..................................  Lower...........................       33.20      30,807      27,942      29,048      22,300  ..........

[[Page 56507]]

                                                Middle..........................       31.40      45,428      39,900      42,556      34,000  ..........
                                                Upper...........................       35.40      68,000      60,217      65,056      51,500  ..........
                                                ................................      100.00  ..........  ..........      46,036      36,311      126.78
                                               ---------------------------------------------------------------------------------------------------------
Hawaii County, HI.............................  Lower...........................       37.16      26,388      24,964      25,514      22,300  ..........
                                                Middle..........................       39.12      39,415      36,372      37,834      34,000  ..........
                                                Upper...........................       23.72      56,881      53,508      55,605      51,500  ..........
                                                ................................      100.00  ..........  ..........      37,471      33,803      110.85
                                               ---------------------------------------------------------------------------------------------------------
Kauai County, HI..............................  Lower...........................       29.10      28,249      25,630      26,641      22,300  ..........
                                                Middle..........................       32.79      41,809      38,056      39,859      34,000  ..........
                                                Upper...........................       38.11      59,490      54,839      57,731      51,500  ..........
                                                ................................      100.00  ..........  ..........      42,824      37,265      114.92
                                               ---------------------------------------------------------------------------------------------------------
Maui County, HI...............................  Lower...........................       24.66      29,159      26,658      27,623      22,300  ..........
                                                Middle..........................       40.41      43,210      39,399      41,230      34,000  ..........
                                                Upper...........................       34.93      61,254      56,499      59,455      51,500  ..........
                                                ................................      100.00  ..........  ..........      44,241      37,228      118.84
                                               ---------------------------------------------------------------------------------------------------------
Guam (Local Retail)...........................  Lower...........................       46.00      28,620      27,211      27,755      22,300  ..........
                                                Middle..........................       31.77      41,838      40,573      41,181      34,000  ..........
                                                Upper...........................       22.23      62,592      60,437      61,777      51,500  ..........
                                                ................................      100.00  ..........  ..........      39,584      32,508      121.77
                                               ---------------------------------------------------------------------------------------------------------
Guam (Comm.&Exch.)............................  Lower...........................       46.00      27,770      26,361      26,905      22,300  ..........
                                                Middle..........................       31.77      40,633      39,368      39,976      34,000  ..........
                                                Upper...........................       22.23      60,899      58,744      60,084      51,500  ..........
                                                ................................      100.00  ..........  ..........      38,433      32,508      118.23
                                               ---------------------------------------------------------------------------------------------------------
Puerto Rico...................................  Lower...........................       40.42      22,223      23,936      23,275      22,300  ..........
                                                Middle..........................       37.27      33,816      38,130      36,057      34,000  ..........
                                                Upper...........................       22.32      51,690      58,748      54,360      51,500  ..........
                                                ................................      100.01  ..........  ..........      34,976      33,177      105.42
                                               ---------------------------------------------------------------------------------------------------------
Virgin Islands................................  Lower...........................       34.67      27,469      26,672      26,980      22,300  ..........
                                                Middle..........................       41.18      41,885      39,961      40,885      34,000  ..........
                                                Upper...........................       24.15      60,087      59,981      60,047      51,500  ..........
                                                ................................      100.00  ..........  ..........      40,692      34,170      119.09
--------------------------------------------------------------------------------------------------------------------------------------------------------

[FR Doc. 98-28055 Filed 10-20-98; 8:45 am]
BILLING CODE 6325-01-F