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DEPARTMENT OF VETERANS AFFAIRS
The 1996 Budget provides $19,245 million in discretionary
budget authority for veterans’ health, benefits, and other services as summarized below:

DESCRIPTION OF DEPARTMENT OF VETERANS AFFAIRS FY 1996 DISCRETIONARY BUDGET AUTHORITY
(in millions of dollars)
Workload (Noncapital
operating costs)

New Presence 3

Current Infrastructure

Account

NRM 1

Equipment

Construction 2

Activations 4

Initiatives

Total

24.9
...............
...............
...............
...............

–335.1
...............
...............
...............
...............

17,666.2
257.0
72.3
43.7
10.4

16.6 ............... ...............

98.6

825.1

1.2 ............... ...............

92.7

Activations 4

Construction

1995

Additional

Current

Backlog

Current

Backlog

Veterans Health Administration:
Medical Care .......................................................................................
Medical Research ................................................................................
MAMOE (admin) ...................................................................................
Grants ..................................................................................................
Other ....................................................................................................

16,068.7
257.0
72.3
...............
10.4

108.4
...............
...............
...............
...............

430.9
...............
...............
...............
...............

50.0
...............
...............
...............
...............

219.0
...............
...............
...............
...............

...............
550.0
394.7
154.7
............... ............... ............... ...............
............... ............... ............... ...............
...............
5.2 ...............
38.5
............... ............... ............... ...............

Veterans Benefits Administration ................................................................

688.4

12.7

National Cemetery System ...........................................................................

72.6

Other 5

3.8 ............... ............... ...............

2.7 ............... ............... ............... ...............

...........................................................................................................

250.1

6.3

Total ..............................................................................................................

17,419.5

130.1

1.4 ............... ............... ...............
436.1

50.0

219.0 ...............

5.0

16.2 ...............

16.8 ............... ............... ...............
593.2

411.3

194.4

24.9

3.1

277.6

–233.4

19,245.0

NRM is Non-Recurring Maintenance.
2 Includes $189 million to construct a Medical Center at Travis, CA to replace Martinez Medical Center which was closed due to serious seismic and life safety deficiencies during the 1989 Loma Prieta earthquake.
3 New Presence refers to funding for construction or activation in locations previously without VA facilities (e.g. construction of the new Brevard County (Florida) hospital, activation of new nursing homes, and
grants to States for construction of new cemeteries or extended care facilities).
4 Activations also includes funding for equipment.
5 Other includes General Operating Expenses for Department level staff offices and entities such as the Board of Veterans Appeals, General Counsel, and the Office of Inspector General, etc.
1

DEPARTMENT OF VETERANS AFFAIRS IMPLEMENTATION OF
GOVERNMENT PERFORMANCE AND RESULTS ACT

THE

The Government Performance and Results Act (GPRA) of
1993 represents the primary vehicle through which VA is
developing more complete and refined performance information to determine better how well its programs are meeting
their intended objectives.
VA is an active participant in the pilot project phase of
GPRA implementation. Three pilot projects were launched
in FY 1994 covering the loan guaranty program, New York
Regional Office reinvention lab, and national cemetery operations. Additional pilot projects involving VA medical facilities
will be initiated in FY 1995. The pilot organizations are developing performance plans that include measurable performance
goals and objectives, and performance reports that summarize
how well they are doing in meeting their performance objectives. The experience gained through participation in these
pilot projects will be shared and applied throughout the Department so that VA will be positioned to implement the
performance planning provisions in September 1997.
Implementation of GPRA is the avenue through which a
more direct link will be established between strategic planning, performance measurement, and budgeting. A balanced
set of performance measures tied to strategic goals and objectives is being developed for every VA program. These measures will be used to assess program outputs, effectiveness,
efficiency, and outcomes. As it is developed and tested, this
improved performance information will be included in future
budgets.

VETERANS HEALTH ADMINISTRATION
Federal Funds
General and special funds:
MEDICAL CARE
For necessary expenses for the maintenance and operation of hospitals, nursing homes, and domiciliary facilities; for furnishing, as
authorized by law, inpatient and outpatient care and treatment to
beneficiaries of the Department of Veterans Affairs, including care
and treatment in facilities not under the jurisdiction of the Department of Veterans Affairs, and furnishing recreational facilities, supplies, and equipment; funeral, burial, and other expenses incidental
thereto for beneficiaries receiving care in Department of Veterans
Affairs facilities; administrative expenses in support of planning, design, project management, real property acquisition and disposition,
construction and renovation of any facility under the jurisdiction or
for the use of the Department of Veterans Affairs; oversight, engineering and architectural activities not charged to project cost; repairing,
altering, improving or providing facilities in the several hospitals
and homes under the jurisdiction of the Department of Veterans
Affairs, not otherwise provided for, either by contract or by the hire
of temporary employees and purchase of materials; uniforms or allowances therefor, as authorized by law (5 U.S.C. 5901–5902); aid to
State homes as authorized by law (38 U.S.C. 1741); and not to exceed
$8,000,000 to fund cost comparison studies as referred to in 38 U.S.C.
8110(a)(5); ø$16,232,756,000¿ $16,961,487,000, plus reimbursements:
Provided, That of the funds made available under this heading,
$771,000,000 is for the equipment and land and structures object
classifications only, which amount shall not become available for obligation until August 1, ø1995¿ 1996, and shall remain available for
obligation until September 30, ø1996: Provided further, That of the
$15,622,452,000 made available under this heading for fiscal year
1994 in Public Law 103–124, the $9,863,265,000 restricted by section
509 of Public Law 103–124 for personnel compensation and benefits
expenditures is reduced to $9,813,265,000¿ 1997. (Departments of
Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.)
823

824

VETERANS HEALTH ADMINISTRATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 1996
the inpatient and outpatient portions of the medical care system,
including information on system capacity, workload, and staffing ratios.

General and special funds—Continued
MEDICAL CARE—Continued
Program and Financing (in thousands of dollars)
Identification code 36–0160–0–1–703

Program by activities:
Direct program:
Operating expenses:
Maintenance and operation of VA facilities:
00.01
VA hospital care ...............................................
00.02
Nursing home care ...........................................
00.03
Domiciliary care ................................................
00.04
Outpatient care ................................................
00.05
Miscellaneous benefits and services ...............
00.06
Education and training ....................................
Contract care:
00.10
Hospitalization ..................................................
00.11
Community nursing home care ........................
Grants for State home care:
00.15
Domiciliary ........................................................
00.16
Nursing home ...................................................
00.17
Hospitalization ..................................................
00.20
Hospitalization ......................................................
00.21
Outpatient care .....................................................

1994 actual

1995 est.

1996 est.

7,211,945
941,012
203,242
3,941,221
717,465
840,805

7,471,977
1,050,857
216,990
4,257,075
726,640
890,540

7,706,483
1,151,397
228,694
4,438,636
761,379
923,940

154,232
375,543

164,946
379,515

174,036
401,143

19,380
137,349
6,133
33,442
58,107

22,174
160,583
5,327
36,197
61,803

23,000
178,628
5,654
38,789
66,339

14,639,876

15,444,624

16,098,118

01.01
01.02
01.03
01.04
01.06
01.20

Total operating expenses .................................
Capital investment:
Maintenance and operation of VA facilities:
VA hospital care ...............................................
Nursing home care ...........................................
Domiciliary care ................................................
Outpatient care ................................................
Education and training ....................................
CHAMPVA ..........................................................

01.91

Total capital investment ..................................

688,535

785,365

863,369

01.92
02.01

Total direct program .............................................
Reimbursable program ..................................................

15,328,411
72,115

16,229,989
78,717

16,961,487
79,445

10.00

Total obligations ........................................................

15,400,526

16,308,706

17,040,932

–106,921

–415,305

–400,000

00.91

Financing:
21.40 Unobligated balance available, start of year: Treasury
balance ......................................................................
24.40 Unobligated balance available, end of year: Treasury
balance ......................................................................
25.00 Unobligated balance expiring ........................................
39.00

40.00
40.75
41.00
43.00
68.00

Budget authority (gross) ...........................................

428,663
490,052
538,750
53,348
60,949
67,008
15,705
17,948
19,732
188,455
215,116
236,505
1,394
1,300
1,374
970 ................... ...................

415,305
400,000
400,000
3,355 ................... ...................
15,712,265

16,293,401

17,040,932

Budget authority:
Current:
Appropriation ......................................................... 15,643,452 16,232,756 16,961,487
Procurement reduction pursuant to P.L. 103–
327 ................................................................... ...................
–18,072 ...................
Transferred to other accounts ..............................
–3,302 ................... ...................
Appropriation (total) .........................................
Permanent:
Spending authority from offsetting collections

15,640,150

16,214,684

16,961,487

72,115

78,717

79,445

Relation of obligations to outlays:
Total obligations ............................................................ 15,400,526 16,308,706 17,040,932
Obligated balance, start of year:
72.10
Receivables from other government accounts ..........
–30,133
–34,301
–36,324
72.40
Unpaid obligations: Treasury balance ...................... 2,029,385 2,153,506 2,405,765
Obligated balance, end of year:
74.10
Receivables from other government accounts ..........
34,301
36,324
37,955
74.40
Unpaid obligations: Treasury balance ...................... –2,153,506 –2,405,765 –2,530,792
77.00 Adjustments in expired accounts ..................................
–92,534 ................... ...................
71.00

87.00

Outlays (gross) ..........................................................

15,188,039

16,058,470

16,917,536

88.00
88.40

Adjustments to gross budget authority and outlays:
Offsetting collections from:
Federal sources .........................................................
Non-Federal sources ..................................................

–46,612
–25,503

–50,879
–27,838

–51,349
–28,096

88.90

Total, offsetting collections ..................................

–72,115

–78,717

–79,445

89.00
90.00

Budget authority (net) ...................................................
Outlays (net) ..................................................................

15,640,150
15,115,925

16,214,684
15,979,753

16,961,487
16,838,091

The following table presents a summary of selected performance
trends for Medical Care. Performance indicators are shown for both

Inpatient Summary:
VA Hospitals:
Number of facilties .................................................................
Number of beds ......................................................................
Occupancy rate:
Overall average occupancy rate .........................................
% of VAMCs with occupancy rates >85% ........................
% of VAMCs with occupancy rates >75% ........................
% of VAMCs with occupancy rates >65% ........................
Average length of stay ...........................................................
Patients (unique SSNs) ...........................................................
Number of admissions ............................................................
Average daily census ..............................................................
Patients/FTE ............................................................................
FTE/Census ..............................................................................
Nursing Homes:
Number of facilities:
VA nursing homes ..............................................................
Community nursing homes (agreements) ..........................
State nursing homes ..........................................................
Number of beds:
VA nursing homes ..............................................................
Community nursing homes ................................................
State nursing homes ..........................................................
Average length of stay:
VA nursing homes ..............................................................
Community nursing homes ................................................
State nursing homes ..........................................................
Patients (unique SSNs):
VA nursing homes ..............................................................
Community nursing homes ................................................
State nursing homes ..........................................................
Outpatient Summary:
Patients (unique SSNs) ......................................................
Number of visits (OOOs) ....................................................
Total:
Patients (unique SSNs) ...........................................................
Staff ratios:
Patients/Total FTE ..............................................................
Patients/Physician-Dentist FTE ..........................................
Patients/RN-LPN-LVN-Nurs. Asst. FTE ................................
Patients/Health Techs-Allied Health-Non-Phys, Providers
FTE .................................................................................
Patients/Wage Board-Purchase & Hire FTE .......................
Patients/All other FTE .........................................................

1990 actual

1993 actual

1994 actual

172
69,746

172
54,138

172
53,055

67.0%
6%
26%
57%
16.6
437,820
983,060
46,728
3.5
2.7

77.0%
9%
52%
92%
16.0
394,207
909,155
41,663
3.2
3.0

75.3%
8%
46%
85%
15.5
391,900
897,330
39,941
3.2
3.1

126
3,120
56

128
3,600
66

128
3,600
71

12,926
N/A
N/A

14,790
N/A
N/A

14,890
N/A
N/A

158.9
106.7
228.0

155.3
113.9
230.0

156.2
110.1
222.1

15,517
10,349
8,630

17,860
9,477
9,480

18,192
10,317
10,465

2,161,591
22,602

2,315,621
24,406

2,344,617
25,442

2,654,512

2,764,858

2,793,920

13.7
200.6
44.9

13.5
203.6
44.3

13.7
207.3
45.1

70.1
82.0
51.8

66.4
85.8
50.6

65.9
89.1
51.1

This request would allow VA to provide high quality health
services to all veterans expected to seek care in 1996. Workload estimates by program reflect a continued shift away from
hospital inpatient care to other care settings when consistent
with desired medical outcomes. As a result, the recent trend
of a modest decline in hospital inpatient workload continues,
while workload in outpatient and nursing home care continues to grow.
In 1996, increased costs are associated with: (1) the operational requirements of new facilities; (2) payroll increases;
(3) equipment increases to reduce the backlog; (4) the increased cost of utilities, communications, provisions, prosthetics, medical and dental supplies, and operating supplies; and
(5) an anticipated increase in the number of veterans seeking
care. These increases are partially offset by savings of $335
million in planned management improvements.
Under the auspices of the National Performance Review,
a Management Improvement Task Force identified opportunities to promote greater efficiency. VA will: (1) trim unnecessary management layers that do not add demonstrable value;
(2) make certain national programs self-sustaining by marketing their services to interested medical centers; (3) consolidate
redundant medical services to improve efficiency; and (4) utilize available community services that are less expensive. The
Veterans Integrated Service Networks (VISNs), a new corporate management structure representing geographic networks of facilities, will enable the VA to implement these
management improvements.
Maintenance and operation of VA facilities—
VA hospital care.—Costs for 1996 are estimated to increase by $283,668 thousand for operating the medical, sur-

VETERANS HEALTH ADMINISTRATION—Continued
Federal Funds—Continued

DEPARTMENT OF VETERANS AFFAIRS

gical, psychiatric, and intermediate bed sections in 173 VA
hospitals.
Estimated operating levels are:
1994 actual

Patients treated ......................................................................
Average daily census ..............................................................
Average employment (including education and training) ......

940,043
39,941
122,456

1995 est.

933,000
39,100
118,681

1996 est.

930,000
38,600
117,002

Nursing home care.—An increase of $106,599 thousand
in 1996 is estimated for the operation of nursing care beds
in 136 facilities.
Estimated operating levels are:
1994 actual

Patients treated ......................................................................
Average daily nursing patient census ....................................
Average employment (including education and training) ......

31,550
13,504
18,627

1995 est.

33,084
14,167
19,199

Domiciliary care.—In 1996, an increase of $13,488 thousand is estimated for the care of domiciliary members in
39 facilities. The statutory requirements to provide care
for homeless veterans will be met.
Estimated operating levels are:
1994 actual

Patients treated ......................................................................
Average daily member census ................................................
Average employment (including education and training) ......

18,236
6,051
3,536

1995 est.

18,298
6,116
3,474

ans requiring hospitalization to prevent their interruption
of vocational rehabilitation training are also provided care
in non-Federal hospitals under the provisions of title 38,
U.S.C., sections 1701 and 3106 (formerly sections 601 and
1506).
1994 actual

Average daily patient census .................................................
Patients treated ......................................................................

1996 est.

18,672
6,224
3,540

Outpatient care.—An increase of $203,214 thousand is
estimated in 1996 for the cost of outpatient medical and
dental care provided by staff, physicians, and dentists participating under a fee basis arrangement for certain eligible
veterans.
NUMBER OF MEDICAL VISITS AND DENTAL WORKLOADS

1994 actual

Average daily nursing census ................................................
Patients treated ......................................................................

1994 actual

24,419
1,023

24,900
1,000

25,300
1,000

Total ...........................................................................

25,442

25,900

26,300

Dental:
Staff:
Examinations ..................................................................
Treatments .....................................................................

206,499
146,262

205,000
145,000

205,000
145,000

Total ...........................................................................

352,761

350,000

1996 est.

Fee: Cases completed ........................................................

16,847

16,500

16,500

Average employment (including education and training) ......

50,730

51,091

1994 actual

Average daily member census ................................................
Patients treated ......................................................................

7,309

1995 est.

7,316

1996 est.

7,351

Education and training.—An increase of $33,474 thousand is estimated in 1996 for residency and other health
training services.
1994 actual

Average employment (all education and training average
employment has been apportioned to the respective activities) ...............................................................................
Number of trainees .................................................................

1995 est.

8,307
109,433

Average daily patient census .................................................
Patients treated ......................................................................
Average employment (for support of all non-VA facility
workloads) ..........................................................................

Contract care—
Hospitalization.—An increase of $9,090 thousand is estimated in 1996, reflecting an increase in inflation for contract care in the hospitalization of patients for service and
non-service-connected disabilities in other Federal hospitals
when VA facilities are not available. VA beneficiaries, such
as women veterans of any war, emergency cases, and veter-

325
20,868

1995 est.

8,456
28,059

1996 est.

8,456
28,135

1995 est.

3,575
6,700

1996 est.

3,643
6,846

11,369
18,683

1995 est.

11,903
19,700

1996 est.

12,470
20,695

1995 est.

1996 est.

355
2,045

355
2,100

355
2,106

1,226

1,226

1,226

Civilian health and medical program of the Department
of Veterans Affairs.—A net increase of $7,128 thousand is
estimated in 1996 for private hospital and outpatient care
for dependents and survivors of certain veterans, reflecting
the cost of inflation.
1994 actual

Average daily hospital census ................................................
Outpatient (in thousands) ......................................................

224
844

1995 est.

235
900

1996 est.

235
900

Object Classification (in thousands of dollars)

11.1
11.3
11.5
11.9
12.1
13.0
21.0
21.0
21.0
21.0
22.0
23.1
23.2
23.3

1996 est.

8,307
109,433

1996 est.

Hospitalization.—An increase of $327 thousand is estimated in 1996 for the cost of hospital care of veterans
in State homes.

24.0
8,501
109,433

3,517
6,430

1994 actual

Average daily nursing census ................................................
Patients treated ......................................................................

Identification code 36–0160–0–1–703

1994 actual

325
20,800

Nursing home.—An increase of $18,045 thousand in 1996
is estimated for the cost of nursing care of veterans in
State homes.

51,935

Miscellaneous benefits and services.—This covers such
items of nondirect medical care and treatment as beneficiary travel, care of the dead, operation of personnel quarters at medical facilities, and the cost of furnishing supply,
engineering, housekeeping, and other administrative support services to other departments on a nonreimbursable
basis. It also includes the cost of the readjustment counseling program and certain sharing agreements. An increase
of $34,739 thousand is estimated for 1996.

1995 est.

Grants for State home care—
Domiciliary.—An increase of $826 thousand in 1996 is
estimated for the cost of domiciliary care of veterans in
State homes.

350,000

Average employment ...............................................................

8,783
29,104

1994 actual

Medical visits (in thousands):
Staff ....................................................................................
Fee ......................................................................................

1995 est.

328
20,443

Community nursing home care.—An increase of $21,628
thousand is estimated in 1996 for nursing care in private
facilities reflecting an adjustment in per diem rates.

1996 est.

34,855
14,885
20,200

825

25.2
25.2
25.2
25.2
25.2
25.2
26.0
26.0
31.0

Direct obligations:
Personnel compensation:
Full-time permanent .............................................
Other than full-time permanent ...........................
Other personnel compensation .............................
Total personnel compensation .........................
Civilian personnel benefits .......................................
Benefits for former personnel ...................................
Travel and transportation of persons:
Employee travel .....................................................
Beneficiary travel ..................................................
Interagency motor pool payments ........................
All other ................................................................
Transportation of things ...........................................
Rental payments to GSA ...........................................
Rental payments to others ........................................
Communications, utilities, and miscellaneous
charges .................................................................
Printing and reproduction .........................................
Other services:
Outpatient dental fees ..........................................
Medical and nursing fees .....................................
Community nursing homes ...................................
Contract hospitalization ........................................
Civilian health and medical program of the Veterans Administration ........................................
Other contractual services ....................................
Supplies and materials:
Supplies and materials ........................................
Provisions ..............................................................
Equipment .................................................................

1994 actual

1995 est.

1996 est.

6,395,421
772,742
771,901

6,437,655
778,741
790,836

6,669,748
806,822
813,046

7,940,064
1,848,911
39,310

8,007,232
1,870,467
13,120

8,289,616
1,979,348
13,120

31,939
87,981
10,465
25,765
22,705
23,992
47,689

40,157
98,779
10,949
28,302
23,474
27,253
49,603

50,000
100,890
11,257
28,917
24,188
29,463
55,093

404,280
14,684

423,256
15,631

451,337
15,961

10,657
215,220
340,739
145,762

10,980
225,138
343,948
156,294

11,562
237,070
364,002
165,028

85,137
995,608

91,451
1,323,432

98,310
1,355,468

2,093,864
96,520
486,382

2,400,218
98,219
535,901

2,508,868
102,584
667,177

826

VETERANS HEALTH ADMINISTRATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 1996

General and special funds—Continued
MEDICAL CARE—Continued
Object Classification (in thousands of dollars)—Continued
1994 actual

Identification code 36–0160–0–1–703

32.0

1995 est.

1996 est.

202,155

249,463

196,192

41.0
41.0
43.0

Land and structures ..................................................
Grants, subsidies, and contributions:
Grants, subsidies, and contributions ...................
Grants to private organizations ............................
Interest and dividends ..............................................

152,952
5,630
..................

177,961
5,500
3,261

196,748
5,787
3,501

99.0
99.0

Subtotal, direct obligations ..................................
Reimbursable obligations ..............................................

15,328,411
72,115

16,229,989
78,717

16,961,487
79,445

99.9

Total obligations ...................................................

15,400,526

16,308,706

17,040,932

Personnel Summary
1994 actual

Identification code 36–0160–0–1–703

Direct:
Total compensable workyears:
1001
Full-time equivalent employment
1005
Full-time equivalent of overtime
Reimbursable:
Total compensable workyears:
2001
Full-time equivalent employment
2005
Full-time equivalent of overtime

MEDICAL

1995 est.

1996 est.

..............................
and holiday hours

202,947
4,222

199,890
3,897

200,122
3,874

..............................
and holiday hours

937
19

1,097
21

1,132
22

AND

PROSTHETIC RESEARCH

For necessary expenses in carrying out programs of medical and
prosthetic research and development as authorized by law (38 U.S.C.
chapter 73), to remain available until September 30, ø1996¿ 1997,
ø$252,000,000¿ $257,000,000, plus reimbursements. (Departments of
Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.)
Program and Financing (in thousands of dollars)
Identification code 36–0161–0–1–703

1994 actual

1995 est.

1996 est.

Program by activities:
Direct program:
Operating expenses:
00.01
Medical research ...................................................
00.02
Rehabilitation research .........................................
00.03
Health services research ......................................

182,894
26,214
23,209

186,241
25,886
35,245

187,541
25,939
32,058

00.91

232,317

247,372

245,538

01.01
01.02
01.03

Total operating expenses .................................
Capital investment:
Medical research ...................................................
Rehabilitation research .........................................
Health services research ......................................

11,719
2,329
1,614

8,814
2,333
1,900

8,797
2,255
1,410

01.91

Total capital investment ..................................

15,662

13,047

12,462

01.92
02.01

Total direct program .............................................
Reimbursable program ..................................................

247,979
44,366

260,419
40,000

258,000
45,000

10.00

Total obligations ........................................................

292,345

300,419

303,000

Financing:
21.40 Unobligated balance available, start of year: Treasury
balance ......................................................................
24.40 Unobligated balance available, end of year: Treasury
balance ......................................................................
25.00 Unobligated balance expiring ........................................
39.00

40.00
40.75
43.00
68.00

Budget authority (gross) ...........................................

5,364
5,364
5,364
–67,893
–76,983
–79,388
–7,315 ................... ...................

87.00

Outlays (gross) ..........................................................

285,211

291,329

300,595

88.00

Adjustments to gross budget authority and outlays:
Offsetting collections from: Federal sources .................

–44,366

–40,000

–45,000

89.00
90.00

Budget authority (net) ...................................................
Outlays (net) ..................................................................

252,000
240,845

251,743
251,329

257,000
255,595

292,345

300,419

303,000

–11,228
73,937

–5,364
67,893

–5,364
76,983

The Medical and Prosthetic Research account is comprised
of the following three programs:
Medical research.—This program is comprised of investigator-initiated and special research. In addition to the broad
spectrum of biomedical research projects, priority is given
to research Acquired Immune Deficiency Syndrome and conditions that frequently occur among veterans such as aging,
alcoholism, schizophrenia, delayed stress disorders and other
mental illness, and spinal cord injury and tissue regeneration.
Cooperative studies include surgical treatment of angina pectoris, adjunct treatment of diabetes, and relative potency and
side-effect liability of new and marketed sedatives. In 1995,
the Department of Defense (DOD) will provide $20 million
to support research in areas of interest to both VA and DOD.
Rehabilitation research.—This program is dedicated to the
development and application of science and technology to improve the care of physically disabled veterans through prostheses for the amputee, improved wheelchairs for the paralyzed, and better joint functions for the arthritic. It also includes care for those with visual, hearing, and speech disorders.
Health services research.—This program provides support
for health services projects at Department of Veterans Affairs
medical centers for improving the effectiveness and economy
of delivery of health services and improving the accessibility
of services to veterans.
In support of the research activities of these three programs, VA applies a variety of budgetary resources including
appropriations from the Medical Care account and reimbursements from the DOD, Grants from the National Institutes
of Health, private proprietary sources, and voluntary agencies
which provide additional support for VA’s researchers. The
first table summarizes all budgetary resources for the Medical
and Prosthetic Research account. The second table shows the
total number of projects and award rates for newly approved
projects.
SUMMARY OF BUDGETARY RESOURCES
[In thousands of dollars]

1994 actual

–5,860

–9,676

–1,000

9,676
1,000 ...................
205 ................... ...................
296,366

Budget authority:
Current:
Appropriation .........................................................
252,000
Procurement reduction pursuant to P.L. 103–
327 ................................................................... ...................
Appropriation (total) .........................................
Permanent:
Spending authority from offsetting collections
(new) .................................................................

Relation of obligations to outlays:
Total obligations ............................................................
Obligated balance, start of year:
72.10
Receivables from other government accounts ..........
72.40
Unpaid obligations: Treasury balance ......................
Obligated balance, end of year:
74.10
Receivables from other government accounts ..........
74.40
Unpaid obligations: Treasury balance ......................
77.00 Adjustments in expired accounts ..................................
71.00

291,743

252,000

302,000

257,000

–257 ...................

252,000

251,743

257,000

44,366

40,000

45,000

1995 est.

1996 est.

Medical and prosthetic research appropriation ..........................
Medical care appropriation .........................................................
Federal grants (NIH) ....................................................................
Other grants (voluntary agencies, private proprietary) ..............
DOD reimbursements ...................................................................

252,000
369,605
187,086
16,900
20,000

251,743
257,000
380,300
391,328
199,000
205,169
17,400
17,939
1 50,000 ....................

Total budgetary resources .............................................

845,591

898,443

871,436

1 Of $50 million appropriated for cooperative DoD/VA Research for 1995, Congress set aside $15 million for
brain and spinal cord injury research, $10 million for research related to prostate cancer, and $5 million for
research into the Gulf War Syndrome. This leaves $20 million for general research.

PROGRAM INDICATORS
Medical Research:
Number of projects 1 ...............................................................
Award Rate .............................................................................
Rehabilitation Research:
Number of projects .................................................................
Award Rate .............................................................................

1994 actual

1995 est.

1996 est.

1,589
25%

1,584
24%

1,517
22%

147
100%

151
100%

152
100%

VETERANS HEALTH ADMINISTRATION—Continued
Federal Funds—Continued

DEPARTMENT OF VETERANS AFFAIRS
Health Services Research:
Number of projects .................................................................
Award Rate .............................................................................
Total number of projects ...............................................

134
77%
1,870

150
72%
1,885

149
N/A
1,818

40.00
40.75
42.00

1 The number of research projects supported by this appropriation plus funds transferred from DOD appropriated
funds.

43.00

Object Classification (in thousands of dollars)
1994 actual

Identification code 36–0161–0–1–703

11.1
11.3
11.5

Direct obligations:
Personnel compensation:
Full-time permanent .............................................
Other than full-time permanent ...........................
Other personnel compensation .............................

1995 est.

1996 est.

38,215
87,764
5,467

41,774
94,919
5,850

42,099
96,220
5,965

131,446
32,657
189

142,543
35,246
200

144,284
35,770
205

1,717
37
23
191
239

2,153
16
6
381
225

1,922
16
6
678
226

24.0
25.2
26.0
31.0
32.0

Total personnel compensation .........................
Civilian personnel benefits .......................................
Benefits for former personnel ...................................
Travel and transportation of persons:
Employee travel .....................................................
Beneficiary travel ..................................................
Interagency motor pool payments ........................
All other ................................................................
Transportation of things ...........................................
Communications, utilities, and miscellaneous
charges .................................................................
Printing and reproduction .........................................
Other services ............................................................
Supplies and materials .............................................
Equipment .................................................................
Land and structures ..................................................

927
587
40,769
23,535
15,621
41

845
476
43,608
21,673
12,971
76

844
460
40,412
20,715
12,390
72

99.0
99.0

Subtotal, direct obligations ..................................
Reimbursable obligations ..............................................

247,979
44,366

260,419
40,000

258,000
45,000

99.9

Total obligations ...................................................

292,345

300,419

303,000

11.9
12.1
13.0
21.0
21.0
21.0
21.0
22.0
23.3

827

Budget authority:
Appropriation .............................................................
68,500
69,808
72,262
Procurement reduction pursuant to P.L. 103–327 ...................
–19 ...................
Transferred from other accounts ..............................
2,500 ................... ...................
Appropriation (total) .............................................

71,000

69,789

72,262

70,753

69,789

72,262

13,727

9,107

6,413

Relation of obligations to outlays:
Total obligations ............................................................
Obligated balance, start of year: Unpaid obligations:
Treasury balance .......................................................
74.40 Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................
77.00 Adjustments in expired accounts ..................................

–9,107
–6,413
–6,640
–1,739 ................... ...................

90.00

73,634

71.00
72.40

Outlays .......................................................................

72,482

72,035

Medical, hospital, nursing home, and domiciliary administration.—Central office staff elements will continue to provide
executive direction for all Department medical and construction programs through program development, implementation,
and the administration of policies, plans, and objectives. The
1994 and 1995 estimates reflect a restructuring of the office
of construction management to create project delivery teams.
The new organization is designed to improve both efficiency
and customer service.
Object Classification (in thousands of dollars)
1994 actual

Identification code 36–0152–0–1–703

1995 est.

1996 est.

Identification code 36–0161–0–1–703

Direct:
Total compensable workyears:
1001
Full-time equivalent employment ..............................
1005
Full-time equivalent of overtime and holiday hours
Reimbursable:
2001 Total compensable workyears: Full-time equivalent
employment ...............................................................

1994 actual

1995 est.

1996 est.

3,486
28

3,542
21

3,474
21

661

568

636

47,640
973
2,118

11.9
12.1
13.0
21.0
22.0
23.1
23.3
24.0
25.1
25.2
26.0
31.0

Total personnel compensation ..................................
Civilian personnel benefits ............................................
Benefits for former personnel ........................................
Travel and transportation of persons: employee travel
Transportation of things ................................................
Rental payments to GSA ................................................
Communications, utilities, and miscellaneous charges
Printing and reproduction ..............................................
Advisory and assistance services ..................................
Other services ................................................................
Supplies and materials .................................................
Equipment ......................................................................

50,731
51,060
52,481
7,926
8,068
8,280
825 ................... ...................
817
795
826
93
213
220
5,032
5,237
5,544
963
963
1,041
122
140
155
269
253
261
2,607
2,390
2,569
771
546
625
597
124
260

99.9

Personnel Summary

Personnel compensation:
11.1 Full-time permanent ......................................................
11.3 Other than full-time permanent ....................................
11.5 Other personnel compensation ......................................

Total obligations ........................................................

MEDICAL ADMINISTRATION AND MISCELLANEOUS OPERATING
EXPENSES

Program and Financing (in thousands of dollars)

Program by activities:
00.01 Operating expenses: Medical, hospital, nursing home,
and domiciliary administration .................................
00.02 Capital investment: Medical hospital, nursing home
and domiciliary administration .................................
10.00

Total obligations ........................................................

Financing:
25.00 Unobligated balance expiring ........................................
39.00

Budget authority ........................................................

1994 actual

1995 est.

Identification code 36–0152–0–1–703

1001
1005

Total compensable workyears:
Full-time equivalent employment ..................................
Full-time equivalent of overtime and holiday hours

597

124

260
72,262

247 ................... ...................
69,789

72,262

1994 actual

1995 est.

827
1

802
1

1996 est.

790
1

Program and Financing (in thousands of dollars)

72,002

71,000

72,262

HEALTH PROFESSIONAL SCHOLARSHIP PROGRAM

Identification code 36–0163–0–1–703

69,665

69,789

69,789

For payment of health professional scholarship program grants,
as authorized by law, to students who agree to a service obligation
with the Department of Veterans Affairs at one of its medical facilities, $10,386,000. (Departments of Veterans Affairs, Housing and
Urban Development, and Independent Agencies Appropriations Act,
1995.)

1996 est.

70,156

70,753

70,753

49,095
1,000
2,386

Personnel Summary

For necessary expenses in the administration of the medical, hospital, nursing home, domiciliary, construction, supply, and research
activities, as authorized by law; administrative expenses in support
of planning, design, project management, architectural, engineering,
real property acquisition and disposition, construction and renovation
of any facility under the jurisdiction or for the use of the Department
of Veterans Affairs, including site acquisition; engineering and architectural activites not charged to project cost; and research and development in building construction technology; ø$69,808,000¿
$72,262,000, plus reimbursements. (Departments of Veterans Affairs
and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.)

Identification code 36–0152–0–1–703

47,854
977
2,229

1994 actual

1995 est.

1996 est.

Program by activities:
Total obligations (object class 41.0) ............................

10,386

10,386

10,386

Financing:
40.00 Budget authority (appropriation) ...................................

10,386

10,386

10,386

10,386

10,386

10,386

13,563

14,625

14,625

10.00

71.00
72.40

Relation of obligations to outlays:
Total obligations ............................................................
Obligated balance, start of year: Unpaid obligations:
Treasury balance .......................................................

828

VETERANS HEALTH ADMINISTRATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 1996
74.40

General and special funds—Continued
HEALTH PROFESSIONAL SCHOLARSHIP PROGRAM—Continued

90.00

Program and Financing (in thousands of dollars)—Continued
Identification code 36–0163–0–1–703

74.40
77.00

Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................
Adjustments in expired accounts ..................................

90.00

Outlays .......................................................................

1994 actual

1995 est.

1996 est.

–14,625
–14,625
–14,625
–14 ................... ...................
9,310

10,386

10,386

Health professional scholarship.—To assist in the recruitment and retention of staff, this program provides grants
for tuition, stipend, and other educational expenses for eligible students in programs leading to a degree in nursing or
other allied health disciplines.
HEALTH PROFESSIONAL EDUCATION LOAN PAYMENT PROGRAM
Program and Financing (in thousands of dollars)
Identification code 36–0164–0–1–703

Financing:
Unobligated balance available, start of year: Treasury
balance ......................................................................
25.00 Unobligated balance expiring ........................................

1994 actual

1995 est.

1996 est.

21.40

–5,000 ................... ...................
5,000 ................... ...................

39.00

Relation of obligations to outlays:
Total obligations ............................................................ ................... ................... ...................

90.00

Outlays ....................................................................... ................... ................... ...................

–13,748

–15,523

–15,964

Outlays .......................................................................

94,979

106,176

110,662

The Medical Care Cost Recovery (MCCR) Fund was established by the Omnibus Budget Reconciliation Act of 1990,
P.L. 100–508. This Fund serves as a depository for all thirdparty insurance collections. A portion of these monies will
be utilized to provide for FTE and other administrative costs
associated with medical care cost recovery efforts. After providing for the estimated cost of operations for the ensuing
year, remaining funds are transferred to the Department of
Treasury before January of the next year.
While the MCCR Fund reflects the program costs of both
third-party and copayment activities, the receipts only reflect
third-party recoveries. The table below presents the complete
relationship between the costs of MCCR activities and the
total collections, regardless of source, resulting from these
activities.
In 1995, the Administration will propose legislation to extend through 2000 current legal provisions due to expire in
1998. These provisions provide for the collection of third party
health insurance payments for care provided by the VA for
service-connected veterans with nonservice-connected conditions, including copayments and income verification provisions.
[In thousands of dollars]

Budget authority ........................................................ ................... ................... ...................

71.00

Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................

This program was established in appropriations law (P.L.
102–389). It has not, however, been authorized.

Program activity
Third-party recoveries ..................................................................
Copayments and other collections ..............................................

1994 actual

506,156
40,407

512,323
66,959

564,742
76,176

Total collections .............................................................
Total program costs .......................................................
Ratio of costs to collections .......................................................

546,563
95,764
17.52%

579,282
107,951
18.63%

640,918
111,103
17.33%

MEDICAL CARE COST RECOVERY FUND

Identification code 36–5014–0–2–703

Balance, start of year:
01.99 Balance, start of year ....................................................
Receipts:
02.01 Medical cost recovery ....................................................
04.00

Total: Balances and collections ................................
Appropriation:
05.01 Medical care cost recovery fund ...................................
07.99 Total balance, end of year ............................................

1994 actual

11.1
11.5

1995 est.

1996 est.

498,068

535,959

552,011

133,655

124,003

164,513

631,723

659,962

716,524

–95,764
535,959

–107,951
552,011

–111,103
605,421

Identification code 36–5014–0–2–703

1994 actual

11.9
12.1
13.0
21.0
22.0
23.3
24.0
25.1
25.2
26.0
31.0
99.9

Program and Financing (in thousands of dollars)
1995 est.

1994 actual

Personnel compensation:
Full-time permanent ......................................................
Other personnel compensation ......................................

88,905
6,364

100,814
7,137

103,752
7,351

10.00

Total obligations ........................................................

95,269

107,951

111,103

Financing:
Unobligated balance available, start of year: Treasury
balance ......................................................................
24.40 Unobligated balance available, end of year: Treasury
balance ......................................................................

–3,635

–4,130
4,130

52,826
15,509

54,356
15,959

Total personnel compensation ..................................
62,372
Civilian personnel benefits ............................................
14,629
Benefits for former personnel ........................................
129
Travel and transportation of persons ............................
1,751
Transportation of things ................................................
146
Communications, utilities, and miscellaneous charges
2,664
Printing and reproduction ..............................................
242
Advisory and assistance services .................................. ...................
Other services ................................................................
2,594
Supplies and materials .................................................
4,378
Equipment ......................................................................
6,364

68,335
16,028
141
2,697
90
5,662
360
5
4,197
3,299
7,137

70,315
16,492
145
2,778
93
5,832
371
5
4,323
3,398
7,351

107,951

111,103

Total obligations ........................................................

107,951

95,269

Personnel Summary

4,130

95,764

1996 est.

–4,130

4,130

1995 est.

48,216
14,156

1996 est.

Program by activities:
00.09 Operating expenses ........................................................
00.10 Capital investment ........................................................

1996 est.

Object Classification (in thousands of dollars)
Identification code 36–5014–0–2–703

Unavailable Collections (in thousands of dollars)

1995 est.

111,103

Identification code 36–5014–0–2–703

Total compensable workyears:
1005 Full-time equivalent of overtime and holiday hours
1011 Exempt Full-time equivalent employment .....................

1994 actual

1995 est.

57
2,149

35
2,275

1996 est.

35
2,275

21.40

60.25

Budget authority (appropriation) (special fund, indefinite) .................................................................

Relation of obligations to outlays:
71.00 Total obligations ............................................................
72.40 Obligated balance, start of year: Unpaid obligations:
Treasury balance .......................................................

Public enterprise funds:
MEDICAL FACILITIES REVOLVING FUND
Program and Financing (in thousands of dollars)
Identification code 36–4138–0–3–703

95,269
13,458

107,951
13,748

111,103
15,523

00.01
00.02

Program by activities:
Operating expenses ........................................................
Capital investment ........................................................

1994 actual

607
48

1995 est.

1,610
3,757

1996 est.

1,067
2,491

VETERANS HEALTH ADMINISTRATION—Continued
Federal Funds—Continued

DEPARTMENT OF VETERANS AFFAIRS
10.00

5,367

3,558

Financing:
21.40 Unobligated balance available, start of year: Treasury
balance ...................................................................... ...................
–10,623
22.00 Unobligated balance transferred, net ........................... ................... ...................
24.40 Unobligated balance available, end of year: Treasury
balance ......................................................................
10,623
14,000

Total obligations ........................................................

655

–14,000
12,000
1,186

Budget authority (gross) ...........................................

11,278

2,744

42.00

Budget authority:
Current:
Transferred from other accounts ..........................
Permanent:
Spending authority from offsetting collections

6,000

2,744

Obligated balance, end of year: Treasury balance .......

–22,252

–24,492

–25,699

Outlays (gross) ..........................................................

215,765

238,726

244,264

Adjustments to gross budget authority and outlays:
Offsetting collections from:
88.00
Federal sources .........................................................
88.40
Non-Federal sources ..................................................

–1,323
–212,742

–1,600
–241,026

–1,600
–245,772

88.90

–214,065

–242,626

–247,372

6,000 ...................

5,278

74.90
87.00

39.00

68.00

8,744

829

89.00
90.00
2,744

Relation of obligations to outlays:
Total obligations ............................................................
655
5,367
3,558
Obligated balance, start of year:
72.10
Receivables from other government accounts .......... ...................
–2,584 ...................
72.40
Unpaid obligations: Treasury balance ...................... ................... ...................
1,610
Obligated balance, end of year:
74.10
Receivables from other government accounts ..........
2,584 ................... ...................
74.40
Unpaid obligations: Treasury balance ...................... ...................
–1,610
–1,067
71.00

Total, offsetting collections ..................................

Budget authority (net) ................................................... ................... ................... ...................
Outlays (net) ..................................................................
1,700
–3,900
–3,108

The Veterans Canteen Service was established to furnish,
at reasonable prices, merchandise and services necessary to
the comfort and well-being of veterans in VA medical facilities.
Financing.—Operations will be financed from current revenues.
Statement of Operations (in thousands of dollars)
1993 actual

1994 actual

1995 est.

1996 est.

0101
0102

Revenue ...................................................
Expense ....................................................

207,197
–203,095

214,065
–211,316

242,626
–236,800

247,372
–240,570

0109

Net income or loss (–) .......................

4,102

2,749

5,826

6,802

Identification code 36–4014–0–3–705

87.00

Outlays (gross) ..........................................................

3,239

1,173

4,101

Adjustments to gross budget authority and outlays:
88.00 Offsetting collections from: Federal sources .................

–5,278

–2,744

–2,744

89.00
90.00

6,000
–2,039

6,000 ...................
–1,571
1,357

Budget authority (net) ...................................................
Outlays (net) ..................................................................

This account provides funds for the operating expenses of
VA medical facilities furnishing nursing home care to certain
veterans in receipt of pensions. Title 38 provides that a veteran with no spouse or child will only receive $90 per month
in pension beginning the third full month following the month
of admission to VA furnished nursing home care. The difference between the $90 the veteran receives and the amount
otherwise authorized is transferred to this fund for spending
expenses at the facility furnishing the nursing care.
Object Classification (in thousands of dollars)
Identification code 36–4138–0–3–703

1994 actual

1995 est.

1996 est.

Balance Sheet (in thousands of dollars)
Identification code 36–4014–0–3–705

1993 actual

1994 actual

1995 est.

1996 est.

ASSETS:
Federal assets:
1101
Fund balances with Treasury ...................................
Investments in US securities:
1102
Treasury securities, par ..
1106
Receivables, net ..............
1107
Advances and prepayments ..........................
1206 Non-Federal assets: Receivables, net ............................
1803 Other Federal assets: Property,
plant and equipment, net ...

7,338

6,638

12,917

14,997

38,000
1,563

37,000
1,592

40,000
2,014

39,000
2,450

52

110

50

50

519

523

530

550

49,590

52,865

54,546

60,572

1999

97,062

98,728

110,057

117,619

235

228

302

330

283
784
2,491

99.9

Total obligations ........................................................

655

5,367

3,558

2,100

13,077
7,342

12,663
7,987

6,823
8,250

7,360
8,445

20,921

23,120

17,475

18,235

44,836

44,729

54,457

57,528

Total net position ................

44,836

44,729

54,457

57,528

4999

427
1,183
3,757

2,100

3999

161
446
48

2,242

Total liabilities ....................
NET POSITION:
3200 Invested capital .......................

Other services ................................................................
Supplies and materials .................................................
Equipment ......................................................................

267

2999

25.2
26.0
31.0

Total assets .........................
LIABILITIES:
Federal liabilities:
2101
Accounts payable ................
2104
Resources payable to Treasury ...................................
Non-Federal liabilities:
2201
Accounts payable ................
2207
Other ....................................

Total liabilities and net position ...............................

65,757

67,849

71,932

75,763

CANTEEN SERVICE REVOLVING FUND
Program and Financing (in thousands of dollars)
Identification code 36–4014–0–3–705

Program by activities:
Operating expenses:
00.01
Acquisitions ...............................................................
00.02
Direct operations .......................................................
00.91
01.01
10.00

Total operating expenses ......................................
Capital investment: Sales program: Purchase of
equipment and leasehold ..........................................

1994 actual

1995 est.

1996 est.

124,081
82,720

138,579
92,386

140,742
93,828

206,801

230,965

234,570

7,091

10,001

10,901

Total obligations ........................................................

213,892

240,966

245,471

Financing:
21.90 Unobligated balance available, start of year: Fund
balance ......................................................................
24.90 Unobligated balance available, end of year: Fund
balance ......................................................................

–21,213

–21,386

–23,047

21,386

23,047

24,949

Budget authority (gross): Spending authority from
offsetting collections ............................................

214,065

242,626

247,372

Relation of obligations to outlays:
Total obligations ............................................................
Obligated balance, start of year: Treasury balance

213,892
24,125

240,966
22,252

245,471
24,492

68.00

71.00
72.90

Object Classification (in thousands of dollars)
Identification code 36–4014–0–3–705

Personnel compensation:
11.1 Full-time permanent ......................................................
11.3 Other than full-time permanent ....................................
11.5 Other personnel compensation ......................................
11.9
12.1
21.0
22.0
23.3
24.0
25.2
26.0
31.0

Total personnel compensation ..................................
Civilian personnel benefits ............................................
Travel and transportation of persons ............................
Transportation of things ................................................
Communications, utilities, and miscellaneous charges
Printing and reproduction ..............................................
Other services ................................................................
Supplies and materials .................................................
Equipment ......................................................................

1994 actual

1995 est.

1996 est.

37,408
16,196
382

38,385
16,646
455

39,170
17,006
510

53,986
14,925
1,273
231
252
147
2,437
133,551
7,090

55,486
15,313
1,395
330
350
150
2,625
155,317
10,000

56,686
15,999
1,435
375
400
150
2,600
156,926
10,900

830

VETERANS HEALTH ADMINISTRATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 1996

Public enterprise funds—Continued

Balance Sheet (in thousands of dollars)

CANTEEN SERVICE REVOLVING FUND—Continued

Identification code 36–4048–0–3–703

Object Classification (in thousands of dollars)—Continued
1994 actual

Identification code 36–4014–0–3–705

1995 est.

1996 est.

ASSETS:
Federal assets:
1101
Fund balances with Treasury ...................................
Investments in US securities:
1106
Receivables, net ..............
1206 Non-Federal assets: Receivables, net ............................
1803 Other Federal assets: Property,
plant and equipment, net ...

1993 actual

1994 actual

1995 est.

1996 est.

Total obligations ........................................................

213,892

240,966

245,471

Personnel Summary
1994 actual

Identification code 36–4014–0–3–705

5005
5011

Total compensable workyears:
Full-time equivalent of overtime and holiday hours
Exempt Full-time equivalent employment .....................

SPECIAL THERAPEUTIC

AND

1995 est.

12
3,114

1996 est.

25
3,250

28
3,425

REHABILITATION ACTIVITIES FUND

Program and Financing (in thousands of dollars)
1994 actual

Identification code 36–4048–0–3–703

2,427

3,419

4,630

6,556

34

1,584

1,584

1,584

983

164

164

164

768

781

781

781

4,212

5,948

7,159

9,085

34

717

1,928

3,854

141
13

20
1

20
1

20
1

Total liabilities ....................
188
NET POSITION:
3200 Invested capital ....................... ......................
3300 Cumulative results of operations ...................................
4,024

738

1,949

3,875

781

781

781

4,429

4,429

4,429

3999

Total net position ................

4,024

5,210

5,210

5,210

4999

99.9

Total liabilities and net position ...............................

4,212

5,948

7,159

9,085

1999

Total assets .........................
LIABILITIES:
2101 Federal liabilities: Accounts
payable ................................
Non-Federal liabilities:
2201
Accounts payable ................
2207
Other ....................................
2999

1995 est.

1996 est.

00.01
00.02
00.03

Program by activities:
Contracts ........................................................................
Education and training ..................................................
Operating expenses ........................................................

9,458
592
4,909

15,041
941
7,808

17,298
1,082
8,979

10.00

Total obligations ........................................................

14,959

23,790

27,359

Financing:
21.90 Unobligated balance available, start of year: Fund
balance ......................................................................
24.90 Unobligated balance available, end of year: Fund
balance ......................................................................

–2,165

–2,846

–2,846

2,846

2,846

2,846

68.00

Budget authority (gross): Spending authority from
offsetting collections ............................................

Relation of obligations to outlays:
Total obligations ............................................................
Obligated balance, start of year: Unpaid obligations:
Treasury balance .......................................................
74.40 Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................
71.00
72.40

87.00

Outlays (gross) ..........................................................

Adjustments to gross budget authority and outlays:
88.40 Offsetting collections from: Non-Federal sources .........
89.00
90.00

15,640

23,790

27,359

14,959

23,790

27,359

262

792

1,791

–792

–1,791
22,791

1994 actual

1995 est.

1996 est.

21.0
22.0
23.3
24.0
25.2
26.0
31.0

Travel and transportation of persons ............................
Transportation of things ................................................
Communications, utilities, and miscellaneous charges
Printing and reproduction ..............................................
Other services ................................................................
Supplies and materials .................................................
Equipment ......................................................................

688
539
464
793
9,498
2,154
823

1,094
856
737
1,261
15,108
3,426
1,308

1,259
985
848
1,450
17,372
3,940
1,505

99.9

Total obligations ........................................................

14,959

23,790

27,359

26,310

MEDICAL CENTER RESEARCH ORGANIZATIONS
–15,640

–23,790

–27,359

Budget authority (net) ................................................... ................... ................... ...................
Outlays (net) ..................................................................
–1,211
–999
–1,049

This revolving fund, established pursuant to the Veterans
Omnibus Health Care Act of 1976, Public Law 94–581, provides a mechanism for the furnishing of rehabilitative services
to certain veteran beneficiaries who are receiving medical
care and treatment from the Department of Veterans Affairs.
Funds to operate the various rehabilitative activities and
provide for the therapeutic work for remuneration for patients
and members in VA health care facilities are derived from
contractual arrangements with private industry or nonprofit
entities. Public Law 102–54 authorizes VA to contract with
any Federal agency, including VA, and authorizes the Fund
to cover the training, education, and travel costs of employees
associated with the rehabilitative programs. This is a selfsustaining fund, and therefore no appropriation is required
to support these activities.
Statement of Operations (in thousands of dollars)
Identification code 36–4048–0–3–703

Identification code 36–4048–0–3–703

–2,840

14,429

Object Classification (in thousands of dollars)

1993 actual

1994 actual

1995 est.

1996 est.

0101
0102

Revenue ...................................................
Expense ....................................................

8,566
–7,911

16,215
–14,959

23,790
–23,790

27,359
–27,359

0109

Net income or loss (–) .......................

655

1,256

..................

..................

Program and Financing (in thousands of dollars)
Identification code 36–4026–0–3–703

1994 actual

1995 est.

1996 est.

00.01
00.02

Program by activities:
Operating expenses ........................................................
Capital investment ........................................................

23,401
2,770

24,056
2,874

24,858
2,961

10.00

Total obligations ........................................................

26,171

26,930

27,819

Financing:
21.90 Unobligated balance available, start of year: Fund
balance ......................................................................
24.90 Unobligated balance available, end of year: Fund
balance ......................................................................

–17,700

–17,700

–17,700

17,700

17,700

17,700

Budget authority (gross): Spending authority from
offsetting collections ............................................

26,171

26,930

27,819

71.00

Relation of obligations to outlays:
Total obligations ............................................................

26,171

26,930

27,819

87.00

Outlays (gross) ..........................................................

26,171

26,930

27,819

Adjustments to gross budget authority and outlays:
Offsetting collections from:
88.00
Federal sources .........................................................
88.40
Non-Federal sources ..................................................

–1,309
–24,862

–1,347
–25,583

–1,391
–26,428

88.90

–26,171

–26,930

–27,819

68.00

89.00
90.00

Total, offsetting collections ..................................

Budget authority (net) ................................................... ................... ................... ...................
Outlays (net) .................................................................. ................... ................... ...................

VETERANS HEALTH ADMINISTRATION—Continued
Trust Funds

DEPARTMENT OF VETERANS AFFAIRS

These nonprofit corporations provide a flexible funding
mechanism for the conduct of approved research at Department of Veterans Affairs medical centers. These organizations
will derive funds to operate various research activities from
Federal and non-Federal sources. No appropriation is required
to support these activities.

831

25.2
26.0
31.0
32.0
44.0

Other services ................................................................
Supplies and materials .................................................
Equipment ......................................................................
Land and structures ......................................................
Refunds ..........................................................................

1,772
11,334
10,377
740
2

1,808
11,560
10,584
755
4

1,868
11,947
10,939
780
4

99.9

Total obligations ........................................................

27,822

28,380

29,330

Object Classification (in thousands of dollars)
1994 actual

Identification code 36–4026–0–3–703

1995 est.

1996 est.

21.0
23.3
24.0
25.2
26.0
31.0

Travel and transportation of persons ............................
Communications, utilities, and miscellaneous charges
Printing and reproduction ..............................................
Other services ................................................................
Supplies and materials .................................................
Equipment ......................................................................

342
36
43
16,226
6,754
2,770

355
37
44
16,611
7,009
2,874

366
38
45
17,188
7,221
2,961

99.9

Total obligations ........................................................

26,171

26,930

27,819

Credit accounts:
TRANSITIONAL HOUSING LOANS
Program and Financing (in thousands of dollars)
Identification code 36–0190–0–1–705

1994 actual

1995 est.

1996 est.

00.01

Program by activities:
Trust fund receipt account payment .............................

59 ................... ...................

10.00

59 ................... ...................
59 ................... ...................

71.00

Trust Funds

Total obligations (object class 25.2) ........................

Financing:
40.00 Budget authority (appropriation) ...................................
Relation of obligations to outlays:
Total obligations ............................................................

59 ................... ...................

90.00

Outlays .......................................................................

59 ................... ...................

GENERAL POST FUND, NATIONAL HOMES
Program and Financing (in thousands of dollars)
Identification code 36–8180–0–7–705

1994 actual

1995 est.

1996 est.

00.01
00.02
00.03
00.04

Program by activities:
Religious, recreational, and entertainment activities
Research activities ........................................................
Therapeutic residence maintenance ..............................
Therapeutic residence purchase and renovation ..........

14,591
10,862
353
2,016

14,706
11,080
484
2,110

16,784
11,451
595
500

10.00

Total obligations ........................................................

27,822

28,380

29,330

TRANSITIONAL HOUSING LOAN PROGRAM

789
–38,550

1,519
–38,279

–442
–37,500

–1,519
38,279

442
37,500

375
38,500

26,822

29,561

30,263

Budget authority:
Current:
Transferred to other accounts .............................. ...................
Permanent:
Appropriation (trust fund, indefinite) ...................
26,822

–61

–63

29,622

30,326

For the cost of direct loans, $7,000, as authorized by Public Law
102–54, section 8, which shall be transferred from the ‘‘General post
fund’’: Provided, That such costs, including the cost of modifying
such loans, shall be as defined in section 502 of the Congressional
Budget Act of 1974: Provided further, That these funds are available
to subsidize gross obligations for the principal amount of direct loans
not to exceed $70,000. In addition, for administrative expenses to
carry out the direct loan program, ø$54,000¿ $56,000, which shall
be transferred from the ‘‘General post fund’’, as authorized by Public
Law 102–54, section 8. (Departments of Veterans Affairs and Housing
and Urban Development, and Independent Agencies Appropriations
Act, 1995.)

27,822

28,380

29,330

Financing:
Unobligated balance available, start of year:
21.40
Treasury balance .......................................................
21.41
U.S. Securities: Par value .........................................
Unobligated balance available, end of year:
24.40
Treasury balance .......................................................
24.41
U.S. Securities: Par value .........................................
39.00

41.00
60.27

Budget authority ........................................................

(INCLUDING TRANSFER OF FUNDS)

Relation of obligations to outlays:
Total obligations ............................................................
Obligated balance, start of year: Unpaid obligations:
Treasury balance .......................................................
74.40 Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................

937

1,680

815

–1,680

–815

–735

90.00

27,079

29,245

29,410

71.00
72.40

This account includes the one-time appropriations from the
General Fund in 1994 to be paid into the Transitional Housing Loan Program account.

Program and Financing (in thousands of dollars)
Identification code 36–8128–0–7–705

1994 actual

1995 est.

1996 est.

This fund consists of gifts, bequests, and proceeds from
the sale of property left in the care of the facilities by former
beneficiaries, patients’ fund balances, and proceeds from the
sale of effects of beneficiaries who die leaving no heirs or
without having otherwise disposed of their estate. Such funds
are used to promote the comfort and welfare of veterans at
hospitals, nursing homes, and domiciliaries where no general
appropriation is available. Public Law 102–54 authorizes compensation work therapy and therapeutic transitional housing
and loan programs to be funded from the General Post Fund.
In addition, donations from pharmaceutical companies, nonprofit corporations, and individuals to support VA medical
research are deposited into this fund. (38 U.S.C. chs. 83 and
85.)
Object Classification (in thousands of dollars)
Identification code 36–8180–0–7–705

23.3

Communications, utilities, and miscellaneous charges

1994 actual

3,597

1995 est.

3,669

1996 est.

3,792

Program by activities:
Direct loan subsidy ........................................................ ...................
Administrative expenses ................................................ ...................

7
54

7
56

10.00

Outlays .......................................................................

00.01
00.09

Total obligations ........................................................ ...................

61

63

Financing:
25.00 Unobligated balance expiring ........................................

59 ................... ...................

39.00

59

42.00
60.26

Budget authority ........................................................

61

63

Budget authority:
Current:
Transferred from other accounts .......................... ...................
61
63
Permanent:
Appropriation (trust fund, definite) ......................
59 ................... ...................

71.00

Relation of obligations to outlays:
Total obligations ............................................................ ...................

61

63

90.00

Outlays ....................................................................... ...................

61

63

This program provides loans to nonprofit organizations to
assist them in leasing housing units exclusively for use as
a transitional group residence for veterans who are in (or
who have recently been in) a program for the treatment of
substance abuse. The amount of the loan cannot exceed

832

VETERANS HEALTH ADMINISTRATION—Continued
Trust Funds—Continued

THE BUDGET FOR FISCAL YEAR 1996

Credit accounts—Continued
TRANSITIONAL HOUSING LOAN PROGRAM—Continued
(INCLUDING TRANSFER OF FUNDS)—Continued

$4,500 for any single residential unit and each loan must
be repaid within two years through monthly installments.
The amount of loans outstanding at any time may not exceed
$100,000.
Nonprofit organizations participating in the program must
ensure that, in the operation of each residence established
with the assistance of this loan: (1) the use of alcohol or
any illegal drug in the residence will be prohibited; (2) any
resident who violates the prohibition on alcohol and drug
use will be expelled from the residence; (3) the cost of maintaining the residence, including fees for rent and utilities,
will be paid by the residents; (4) the residents will, through
a majority vote, establish policies governing the conditions
of the residence, including the manner in which the applications for residence are approved; and (5) the residence will
house no less than six veterans.
Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
thousands of dollars)
Identification code 36–8128–0–7–705

1994 actual

1995 est.

Direct loan levels supportable by subsidy budget authority:
1159 Total direct loan levels .................................................. ...................
Direct loan subsidy (in percent):
1329 Weighted average subsidy rate .....................................
10.00
Direct loan subsidy budget authority:
1339 Total subsidy budget authority ......................................
7
Direct loan subsidy outlays:
1349 Total subsidy outlays ..................................................... ...................

1996 est.

Adjustments to financing authority and financing disbursements:
Offsetting collections from:
88.00
Payments from the Program Account ....................... ...................
Non-Federal sources:
88.40
Repayments of principal ....................................... ...................
88.40
Interest received on loans .................................... ...................

10.00

7

7

7

7

54
54

56
56

–7
–2

–44
–5

Total, offsetting collections .................................. ...................

–16

–56

89.00
90.00

Financing authority (net) ............................................... ...................
Financing disbursements (net) ...................................... ...................

56
56

19
19

Status of Direct Loans (in thousands of dollars)
1994 actual

Identification code 36–8126–0–8–705

Position with respect to appropriations act limitation
on obligations:
1111 Limitation on direct loans .............................................
1112 Unobligated direct loan limitation ................................
1150

1210
1231
1251
1263

1995 est.

70
70
70
–70 ................... ...................

Total direct loan obligations ..................................... ...................
Cumulative balance of direct loans outstanding:
Outstanding, start of year .............................................
Disbursements: Direct loan disbursements ...................
Repayments: Repayments and prepayments .................
Write-offs for default: Direct loans ...............................

1996 est.

70

70

................... ...................
...................
70
...................
–7
...................
–7

56
70
–44
–7

Outstanding, end of year .......................................... ...................

56

75

Balance Sheet (in thousands of dollars)

70

10.00

–7

88.90

1290

70

–7

Identification code 36–8126–0–8–705

1993 actual

1994 actual

1995 est.

ASSETS:
Net value of assets related to
post–1991 direct loans
receivable:
1401
Direct loans receivable,
gross ............................... ...................... ......................
1405
Allowance for subsidy cost
(–) ................................... ...................... ......................

1996 est.

Administrative expense data:
Budget authority ............................................................
52
Outlays ........................................................................... ...................

56

75

–6

–8

50

67

Total assets ......................... ...................... ......................
LIABILITIES:
2103 Federal liabilities: Debt ........... ...................... ......................

50

67

56

75

2999

3510
3590

56

75

7

14

1499

Object Classification (in thousands of dollars)
Identification code 36–8128–0–7–705

25.3

1994 actual

1995 est.

1996 est.

41.0

Purchases of goods and services from Government
accounts .................................................................... ...................
Grants, subsidies, and contributions ............................ ...................

54
7

56
7

99.9

Total obligations ........................................................ ...................

61

63

Net present value of assets related to direct
loans ........................... ...................... ......................

1999

Total liabilities .................... ...................... ......................
NET POSITION:
3100 Appropriated capital ................ ...................... ......................
3300 Cumulative results of operations ................................... ...................... ......................

–13

–22

TRANSITIONAL HOUSING LOANS FINANCING ACCOUNT

3999

Total net position ................ ...................... ......................

–6

–8

Program and Financing (in thousands of dollars)

4999

Total liabilities and net position ............................... ...................... ......................

50

67

Identification code 36–8126–0–8–705

00.01
00.02

1994 actual

Program by activities:
Direct loans .................................................................... ...................
Interest on Treasury borrowing ...................................... ...................

1995 est.

1996 est.

Object Classification (in thousands of dollars)
70
2

70
5

10.00

Total obligations ........................................................ ...................

72

75

39.00

Financing:
Financing authority (gross) ........................................... ...................

72

75

67.10
68.00
68.47

Financing authority:
Authority to borrow .................................................... ...................
Spending authority from offsetting collections ........ ...................
Portion applied to debt reduction ............................. ...................

63
16
–7

63
56
–44

68.90

Spending authority from offsetting collections
(total) ................................................................ ...................

9

12

72

75

87.00

72

75

1995 est.

1996 est.

33.0
43.0

Investments and loans .................................................. ...................
Interest and dividends ................................................... ...................

70
2

70
5

99.9

Total obligations ........................................................ ...................

72

75

VETERANS BENEFITS ADMINISTRATION
Federal Funds
General and special funds:
øCOMPENSATION
ø(INCLUDING

Relation of obligations to financing disbursements:
71.00 Total obligations ............................................................ ...................
Financing disbursements (gross) .............................. ...................

1994 actual

Identification code 36–8126–0–8–705

AND

PENSIONS¿

TRANSFER OF FUNDS)¿

øFor the payment of compensation benefits to or on behalf of veterans as authorized by law (38 U.S.C. 107, chapters 11, 13, 51, 53,
55, and 61); pension benefits to or on behalf of veterans as authorized

VETERANS BENEFITS ADMINISTRATION—Continued
Federal Funds—Continued

DEPARTMENT OF VETERANS AFFAIRS
by law (38 U.S.C. chapters 15, 51, 53, 55, and 61; 92 Stat. 2508);
and burial benefits, emergency and other officers’ retirement pay,
adjusted-service credits and certificates, payment of premiums due
on commercial life insurance policies guaranteed under the provisions
of Article IV of the Soldiers’ and Sailors’ Civil Relief Act of 1940,
as amended, and for other benefits as authorized by law (38 U.S.C.
107, 1312, 1977, and 2106, chapters 23, 51, 53, 55, and 61; 50 U.S.C.
App. 540–548; 43 Stat. 122, 123; 45 Stat. 735; 76 Stat. 1198);
$17,626,892,000, to remain available until expended: Provided, That
not to exceed $25,750,000 of the amount appropriated shall be reimbursed to ‘‘General operating expenses’’ and ‘‘Medical care’’ for necessary expenses in implementing those provisions authorized in the
Omnibus Budget Reconciliation Act of 1990, Public Law 101–508,
and in the Veterans’ Benefits Act of 1992, Public Law 102–568, the
funding source for which is specifically provided as the ‘‘Compensation and pensions’’ appropriation: Provided further, That $6,000,000
of the amount appropriated shall be transferred to ‘‘Medical facilities
revolving fund’’ to augment the funding of individual medical facilities
for nursing home care provided to pensioners as authorized by the
Veterans’ Benefits Act of 1992, Public Law 102–568.¿ (Departments
of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.)
Note.—The activities formerly included in this account are proposed to be financed by
three separate appropriation accounts in 1996 and are presented below in the ‘‘Compensation’’, ‘‘Pensions’’, and ‘‘Burial benefits and miscellaneous assistance’’ accounts. Amounts
for 1994, 1995, and 1996 are shown on a comparable basis. The following table shows
the distribution of the amounts (dollars in thousands) appropriated in 1994 and 1995 and
requested in 1996.

Distribution of budget authority by account:
Compensation .........................................................................
Pensions ..................................................................................
Burial benefits ........................................................................
Distribution of outlays by account:
Compensation .........................................................................
Pensions ..................................................................................
Burial benefits ........................................................................

1994 actual

1995 est.

1996 est.

14,225,703
3,159,262
106,181

14,414,222
3,096,670
110,700

14,493,708
3,045,064
111,900

15,098,286
3,427,454
106,181

14,528,850
3,092,984
110,700

13,495,457
2,848,253
111,900

1990 actual

1993 actual

1994 actual

3,043
3,563,398
1,171

3,726
3,455,467
927

3,851
3,417,605
887

151
97
66
94

189
119
67
102

213
123
65
111

N/A
N/A
N/A
N/A

95.1%
96.8%
100.0%
94.7%

96.2%
95.0%
99.3%
94.5%

377,767
N/A

528,078
105,616

448,589
120,839

For the payment of compensation benefits to or on behalf of veterans
as authorized by law, $14,493,708,000, to remain available until expended, of which not to exceed $1,430,000 shall be reimbursed to
‘‘General operating expenses’’ for necessary expenses as authorized by
chapters 51, 53, and 55 of title 38, United States Code.
For the payment, after June 30 of the current fiscal year, of compensation benefits to or on behalf of veterans as authorized by law,
for unanticipated costs incurred for the current fiscal year, such sums
as may be necessary. (38 U.S.C. 107, and chapters 11, 13, and 61)
Program and Financing (in thousands of dollars)

Program by activities:
Compensation:
Veterans:
00.01
Mexican border period ..........................................

World War I ...........................................................
World War II ..........................................................
Korean conflict ......................................................
Vietnam era ..........................................................
Peacetime service .................................................
Persian Gulf conflict .............................................

5,961
3,535,756
1,116,235
4,008,176
2,123,539
257,640

4,216
3,450,335
1,125,356
4,227,821
2,323,145
326,663

2,630
3,262,589
1,100,926
4,369,490
2,455,856
371,213

00.91

11,047,459

11,457,695

11,562,863

01.01
01.02
01.03
01.04
01.05
01.06
01.07
01.08
01.09

Total veterans ...................................................
Survivors:
Prior to Spanish-American War ............................
Spanish-American War .........................................
Mexican border period ..........................................
World War I ...........................................................
World War II ..........................................................
Korean conflict ......................................................
Vietnam era ..........................................................
Peacetime service .................................................
Persian Gulf conflict .............................................

5
262
23
83,055
1,246,330
359,430
814,559
448,400
21,684

6
236
16
74,337
1,258,547
371,480
852,135
455,967
23,429

6
209
16
64,306
1,234,917
372,671
870,974
446,315
28,185

01.91
02.01

Total survivors ..................................................
Clothing allowance ....................................................

2,973,748
32,217

3,036,153
33,452

3,017,599
33,738

02.93
09.01
09.02

Total compensation ............................................... 14,053,424
Reimbursement to GOE ..................................................
8,764
Adjudication commission expenses ............................... ...................

14,527,300 14,614,200
2,128
1,430
400 ...................

09.91

Total other expenses .................................................

8,764

2,528

1,430

10.00

Total obligations (object class 42.0) ........................

14,062,188

14,529,828

14,615,630

Financing:
Unobligated balance available, start of year: Treasury
balance ......................................................................
24.40 Unobligated balance available, end of year: Treasury
balance ......................................................................

–74,013

–237,528

–121,922

21.40

237,528

121,922 ...................

Budget authority ........................................................

14,225,703

14,414,222

40.00
42.00

Budget authority:
Appropriation .............................................................
Transferred from other accounts ..............................

14,014,432
211,271

14,172,600 14,493,708
241,622 ...................

43.00

Appropriation (total) .............................................

14,225,703

14,414,222

14,493,708

14,062,188

14,529,828

14,615,630

1,071,964

35,866

36,844

Relation of obligations to outlays:
Total obligations ............................................................
Obligated balance, start of year: Unpaid obligations:
Treasury balance .......................................................
74.40 Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................
71.00
72.40

90.00

Outlays .......................................................................

1994 actual

152

1995 est.

159

1996 est.

159

–35,866
15,098,286

14,493,708

–36,844 –1,157,017
14,528,850

13,495,457

Summary of Budget Authority and Outlays
[In thousands of dollars]

Enacted/requested:
Budget Authority .....................................................................
Outlays ....................................................................................
Legislative proposal, not subject to PAYGO:
Budget Authority .....................................................................
Outlays ....................................................................................
Legislative proposal, subject to PAYGO:
Budget Authority .....................................................................
Outlays ....................................................................................
Total:
Budget Authority .....................................................................
Outlays ....................................................................................

COMPENSATION

Identification code 36–0153–0–1–701

00.02
00.03
00.04
00.05
00.06
00.07

39.00

The performance indicators presented below represent some of the
most important end products of the Veterans Benefits Administration’s work efforts. They include productivity, timeliness, and accuracy measures pertaining to the process of adjudicating compensation
and pension claims of veterans and their survivors.
Claims processing FTE ................................................................
Number of C&P claims completed during year ..........................
Completed claims per FTE ..........................................................
Average days from application to completion for:
Original compensation .......................................................
Original pension .................................................................
Original death pension .......................................................
Original Dependency and Indemnity Compensation (DIC)
Payment accuracy rate for:
Original compensation .......................................................
Original pension .................................................................
Original death pension .......................................................
Original DIC ........................................................................
Number of C&P claims pending at year end:
Total ....................................................................................
> 6 months ........................................................................

833

1994 actual

1995 est.

1996 est.

14,225,703
15,098,286

14,414,222
14,528,850

14,493,708
13,495,457

.................... ....................
.................... ....................

369,500
339,300

.................... ....................
.................... ....................

–29,500
–29,500

14,225,703
15,098,286

14,414,222
14,528,850

14,833,708
13,805,257

This appropriation would provide for the payment of compensation benefits to veterans and survivors. Compensation
is paid to veterans for disabilities incurred in or aggravated
during active military service. Death and Indemnity Compensation is paid to survivors of servicepersons or veterans
whose death occurred while on active duty or as a result
of service-connected disabilities.
The Secretary may pay a clothing allowance to each veteran
who uses a prescribed medication for a service-connected skin
condition, or wears a prosthetic or orthopedic appliance (including a wheelchair) which, in the judgment of the Secretary,
tends to damage or tear the clothing of such veteran.
Caseload and cost tables shown below do not include proposed legislation.

834

VETERANS BENEFITS ADMINISTRATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 1996

General and special funds—Continued
COMPENSATION—Continued
AVERAGE NUMBER OF COMPENSATION CASES AND PAYMENTS
Veterans:
Mexican border period ...............................................
World War I ................................................................
World War II ...............................................................
Korean conflict ..........................................................
Vietnam era ...............................................................
Peacetime service ......................................................
Persian Gulf conflict .................................................
Total ..................................................................
Average payment per case, per year ........................
Total obligations (in thousands) ......................

1994 actual

1995 est.

1996 est.

13
1,118
747,861
196,352
687,934
479,360
91,929

13
760
712,000
192,300
702,700
515,198
103,929

13
470
674,700
187,400
720,200
548,188
115,929

2,204,567
$5,011
$11,047,459

2,226,900
$5,145
$11,457,695

2,246,900
$5,146
$11,562,863

Legislation will be proposed to provide a cost-of-living adjustment (COLA) to all compensation beneficiaries including
spouses and children. This increase, effective December 1,
1995, is expected to be 3.1 percent and cost $369.5 million
in fiscal year 1996.
COMPENSATION
(Legislative proposal, subject to PAYGO)
Program and Financing (in thousands of dollars)
1994 actual

Identification code 36–0153–4–1–701

1995 est.

1996 est.

1
31
3
8,594
130,580
37,627
82,352
46,979
2,069

1
27
2
7,446
127,620
37,560
83,977
46,455
2,171

1
24
2
6,452
124,857
37,531
85,634
45,666
2,611

Total ..................................................................
Average payment per case, per year ........................
Total obligations (in thousands) ......................

308,236
$9,648
$2,973,748

305,259
$9,946
$3,036,153

302,778
$9,966
$3,017,599

Clothing allowance:
Number of veterans ...................................................
Average payment per case, per year ........................
Total obligations (in thousands) ......................

67,442
$478
$32,217

68,100
$491
#33,452

68,700
$491
$33,738

Program by activities:
COLA Round down and one-half COLA DIC .................. ................... ...................

–29,500

10.00
Survivors:
Prior to Spanish-American War .................................
Spanish-American War ..............................................
Mexican border period ...............................................
World War I ................................................................
World War II ...............................................................
Korean conflict ..........................................................
Vietnam era ...............................................................
Peacetime service ......................................................
Persian Gulf conflict .................................................

00.01

Total obligations (object class 42.0) ........................ ................... ...................

–29,500

Financing:
40.00 Budget authority (appropriation) ................................... ................... ...................

–29,500

71.00

Relation of obligations to outlays:
Total obligations ............................................................ ................... ...................

–29,500

90.00

Outlays ....................................................................... ................... ...................

–29,500

This legislative proposal would provide for a permanent
round down of the annual COLA increase and limit the increase to one-half the COLA amount for survivors receiving
benefit payments greater than new survivors entering the
program. Survivors entering the program prior to a certain
date receive benefits based on the grade level of the veterans
which may be higher than the current flat amount paid to
new entrants.

COMPENSATION
PENSIONS

(Legislative proposal, not subject to PAYGO)
Program and Financing (in thousands of dollars)
1994 actual

1995 est.

Program by activities:
Compensation:
Veterans:
00.01
Mexican border period ..........................................
00.02
World War I ...........................................................
00.03
World War II ..........................................................
00.04
Korean conflict ......................................................
00.05
Vietnam era ..........................................................
00.06
Peacetime ..............................................................
00.07
Persian Gulf conflict .............................................

...................
...................
...................
...................
...................
...................
...................

...................
...................
...................
...................
...................
...................
...................

4
111
92,033
29,047
103,126
58,030
10,549

00.91

................... ...................

292,900

Identification code 36–0153–2–1–701

1996 est.

01.02
01.04
01.05
01.06
01.07
01.08
01.09

Total veterans ...................................................
Survivors:
Spanish-American war ..........................................
World war I ...........................................................
World War II ..........................................................
Korean conflict ......................................................
Vietnam period ......................................................
Peacetime ..............................................................
Persian Gulf conflict .............................................

...................
...................
...................
...................
...................
...................
...................

7
2,359
30,746
9,381
20,518
12,209
280

01.91
02.01

Total survivors .................................................. ................... ...................
Clothing allowance .................................................... ................... ...................

75,500
1,100

02.93
09.01
10.00

...................
...................
...................
...................
...................
...................
...................

Total compensation ............................................... ................... ...................
369,500
Payment to general operating expenses appropriation ................... ................... ...................
Total obligations (object class 42.0) ........................ ................... ...................

369,500

Financing:
40.00 Budget authority (appropriation) ................................... ................... ...................

369,500

Relation of obligations to outlays:
71.00 Total obligations ............................................................ ................... ...................
369,500
72.40 Obligated balance, start of year: Unpaid obligations:
Treasury balance ....................................................... ................... ................... ...................
74.40 Obligated balance, end of year: Unpaid obligations:
Treasury balance ....................................................... ................... ...................
–30,200
90.00

Outlays ....................................................................... ................... ...................

339,300

For the payment of pension benefits to or on behalf of veterans
as authorized by law, $3,044,364,000 to remain available until expended; of which not to exceed $22,250,000 shall be reimbursed to
‘‘General operating expenses’’ and ‘‘Medical care’’ for necessary expenses as authorized by chapters 51, 53, and 55 of title 38, United
States Code; and of which such sums as may be earned on an actual
qualifying patient basis, shall be reimbursed to ‘‘Medical facilities
revolving fund’’ to augment the funding of individual medical facilities
for nursing home care provided to pensioners as authorized by chapter
55 of title 38, United States Code: Provided, That $12,000,000 previously transferred from ‘‘Compensation and Pensions’’ to ‘‘Medical
Facilities Revolving Fund’’ shall be transferred to this heading.
For the payment, after June 30 of the current fiscal year, of pension
benefits to or on behalf of veterans as authorized by law, for unanticipated costs incurred for the current fiscal year, such sums as may
be necessary. (38 U.S.C. chapters 15, and 61.)
Program and Financing (in thousands of dollars)
1994 actual

1995 est.

1996 est.

Program by activities:
Pensions:
Veterans:
04.01
Improved law ........................................................
04.02
Prior law ................................................................
04.03
Old law ..................................................................

2,136,465
110,143
960

2,134,365
93,052
783

2,139,641
78,711
648

04.91

2,247,568

2,228,200

2,219,000

05.01
05.02
05.03

Total veterans ...................................................
Survivors:
Improved law ........................................................
Prior law ................................................................
Old law ..................................................................

711,737
155,692
3,748

696,461
138,524
3,115

685,555
123,449
2,596

05.91
06.01

Total survivors ..................................................
Vocational training ....................................................

871,177
786

838,100
748

811,600
514

06.93

3,119,531

3,067,048

3,031,114

09.01
09.02

Total pensions .......................................................
Other expenses:
Medical facility expenses ..........................................
Reimbursement to GOE and VHA ..............................

5,278
34,453

6,000
23,622

3,000
22,250

09.91

Total other expenses .............................................

39,731

29,622

25,250

Identification code 36–0154–0–1–701

VETERANS BENEFITS ADMINISTRATION—Continued
Federal Funds—Continued

DEPARTMENT OF VETERANS AFFAIRS
10.00

Total obligations (object class 42.0) ........................

3,159,262

3,096,670

Financing:
22.00 Unobligated balance transferred, net ........................... ................... ...................

3,056,364
–12,000

39.00

Budget authority ........................................................

3,159,262

3,096,670

40.00
41.00

Budget authority:
Current:
Appropriation .........................................................
Transferred to other accounts ..............................

3,403,614
–245,052

3,343,192 3,044,364
–247,222 ...................

3,158,562

3,095,970

43.00
62.00

Appropriation (total) .........................................
Permanent:
Transferred from other accounts ..........................

Relation of obligations to outlays:
Total obligations ............................................................
Obligated balance, start of year: Unpaid obligations:
Treasury balance .......................................................
74.40 Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................
71.00
72.40

90.00

Outlays .......................................................................

700

3,044,364

3,159,262

3,096,670

3,056,364

276,572

8,380

12,066

–8,380

–12,066

–220,877

3,427,454

3,092,984

2,847,553

Pension benefits may be paid to veterans or their survivors.
A veteran’s entitlement is based on active duty service of
a specific length (normally 90 days or more) during a designated war period, disabilities considered permanent and
total, and countable income below established levels. There
is no disability requirement for survivor cases. Income support is provided at established benefit levels.
Veterans who are under the age of 45 and are in receipt
of a disability pension will be evaluated to determine whether
a vocational goal is reasonably feasible. Those for whom a
vocational goal is feasible are eligible for a program of vocational training.
An automatic annual cost-of-living increase comparable to
the annual social security increase is provided for those pensioners in the improved program and to parents receiving
dependency and indemnity compensation. The increase, effective with payments made on January 1, 1996, is expected
to be 3.1 percent.
AVERAGE NUMBER OF PENSION CASES AND PAYMENTS
Veterans:
Improved law ..........................................................................
Prior law ..................................................................................
Old law and service ................................................................

1994 actual

381,150
67,199
941

370,390
56,742
768

360,294
47,971
635

Total ...............................................................................
Average payment per case, per year ......................................

449,290
$5,002

427,900
$5,207

408,900
$5,428

Total obligations (in thousands) ...................................

$2,247,568

$2,228,200

$2,219,700

Survivors:
Improved law ..........................................................................
Prior law ..................................................................................
Old law and service ................................................................

223,029
159,683
5,753

213,424
114,632
4,744

204,845
125,834
3,921

Total ...............................................................................
Average payment per case, per year ......................................

388,465
$2,243

332,800
$2,329

334,600
$2,426

Total obligations (in thousands) ...................................

$871,177

$838,100

$811,600

Vocational training:
Trainees ...................................................................................
Average benefit per year ........................................................

162
$4,852

150
$4,987

100
$5,140

Total obligations (in thousands) ...................................

$786

$748

$514

1996 est.

PENSIONS
(Legislative proposal, subject to PAYGO)

The Administration is proposing legislation which will extend through 2000 two provisions of OBRA 1993 due to expire
in 1998: (1) limit the monthly pension benefit to $90 for
beneficiaries in Medicaid funded nursing homes; and (2) enable VA to match income records with the IRS and SSA
for pension beneficiaries.

AND

MISCELLANEOUS ASSISTANCE

For the payment of burial benefits, emergency and other officers’
retirement pay, adjusted-service credits and certificates, payment of
premiums due on commercial life insurance policies guaranteed under
the provisions of Article IV of the Soldiers’ and Sailors’ Civil Relief
Act of 1940, as amended, and for other benefits as authorized by
law, $111,900,000, to remain available until expended. (38 U.S.C.
107, 1312, 1977, and 2106, chapters 23, 51, 53, 55, and 61; 50 U.S.C.
App. 540–548; 43 Stat. 122, 123; 45 Stat. 735; 76 Stat. 1198.)

3,044,364

700 ...................

1995 est.

BURIAL BENEFITS

835

Program and Financing (in thousands of dollars)
Identification code 36–0155–0–1–701

Program by activities:
Burial benefits:
07.01
Burial allowances ......................................................
07.02
Burial plots ................................................................
07.03
Service-connected deaths .........................................
07.04
Burial flags ...............................................................
07.05
Headstones and markers ..........................................
07.06
Headstone allowances ...............................................
07.07
Graveliners .................................................................
07.91
08.01
08.02
08.03
08.04

1994 actual

37,589
12,812
10,626
12,583
25,334
5
6,158

1995 est.

37,413
12,630
11,000
13,239
28,017
5
6,435

1996 est.

37,386
12,525
11,125
13,949
28,195
3
6,742

Total burial benefits .............................................
105,107
108,739
109,925
Miscellaneous assistance:
Retired officers ..........................................................
91
75
62
Adjusted service and dependence pay ..................... ................... ................... ...................
Special allowance dependents ..................................
862
886
913
Equal access to justice .............................................
121
1,000
1,000

08.91

Total miscellaneous assistance ............................

1,074

1,961

1,975

10.00

Total obligations (object class 42.0) ........................

106,181

110,700

111,900

Financing:
39.00 Budget authority ............................................................

106,181

110,700

111,900

40.00
41.00

Budget authority:
Appropriation .............................................................
Transferred to other accounts ...................................

108,400
–2,219

111,100
111,900
–400 ...................

43.00

Appropriation (total) .............................................

106,181

110,700

111,900

106,181

110,700

111,900

298

298

298

–298

–298

–298

106,181

110,700

111,900

Relation of obligations to outlays:
Total obligations ............................................................
Obligated balance, start of year: Unpaid obligations:
Treasury balance .......................................................
74.40 Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................
71.00
72.40

90.00

Outlays .......................................................................

Burial benefits.—Provides for: (a) the payment of an allowance of $300 (plus transportation charges where death occurs
under VA care) to reimburse, in part, the burial and funeral
expense of an eligible deceased veteran; (b) the payment of
$150 for a plot allowance where an eligible veteran is not
buried in a national cemetery or other cemetery under the
jurisdiction of the United States; (c) the payment of a burial
allowance up to $1,500 when a veteran dies as the result
of service-connected disability; (d) furnishing a flag to drape
the casket of each deceased veteran entitled thereto; (e) furnishing a headstone or marker for the grave of a veteran
and, in certain cases, eligible dependents; and (f) authority
to provide graveliners in the National cemetery system.
NUMBER OF BURIAL BENEFITS
1994 actual

Burial allowance ..........................................................................
Burial plot ...................................................................................
Service-connected death .............................................................
Burial flags .................................................................................
Headstone markers ......................................................................
Headstone allowance ...................................................................
Graveliners ...................................................................................

95,124
85,287
8,604
464,857
300,754
52
39,182

1995 est.

94,000
84,200
8,800
475,700
330,000
50
40,140

1996 est.

93,200
83,500
8,900
486,200
324,000
30
41,230

Miscellaneous assistance.—Provides for: (a) payments to
emergency officers of World War I and certain officers of
the Regular Establishment who have retired because of service-connected disability; (b) payments for claims made pursu-

836

VETERANS BENEFITS ADMINISTRATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 1996
74.40

General and special funds—Continued
BURIAL BENEFITS

AND

Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................

–84,539

–24,919

–65,000

87.00

Outlays (gross) ..........................................................

1,330,853

1,594,720

1,590,953

88.00

Adjustments to gross budget authority and outlays:
Offsetting collections from: Federal sources .................

–208,301

–230,120

–244,853

89.00
90.00

Budget authority (net) ...................................................
Outlays (net) ..................................................................

1,080,600
1,122,552

1,286,600
1,364,600

1,345,300
1,346,100

MISCELLANEOUS ASSISTANCE—Continued

ant to the provision of the World War Adjusted Compensation
Act of 1924, as amended; (c) a special allowance (38 U.S.C.
1312) to dependents of certain veterans who died after December 31, 1956, but who were not fully and currently insured
under the Social Security Act; and (d) payments authorized
by the Equal Access to Justice Act.

Summary of Budget Authority and Outlays

MISCELLANEOUS ASSISTANCE CASELOAD
1994 actual

1995 est.

1996 est.

Retired Officers ...........................................................................
8
6
5
Adjusted service and dependence pay ....................................... .................... .................... ....................
Special allowance dependents ....................................................
164
164
164
Equal Access to Justice payments ..............................................
38
50
50

READJUSTMENT BENEFITS
For the payment of readjustment and rehabilitation benefits to
or on behalf of veterans as authorized by law (38 U.S.C. chapters
21, 30, 31, 34, 35, 36, 39, 51, 53, 55, and 61), ø$1,286,600,000¿
$1,345,300,000, to remain available until expended: Provided, That
funds shall be available to pay any court order, court award or any
compromise settlement arising from litigation involving the vocational
training program authorized by section 18 of Public Law 98–77, as
amended. (Departments of Veterans Affairs and Housing and Urban
Development, and Independent Agencies Appropriations Act, 1995.)
Program and Financing (in thousands of dollars)
Identification code 36–0137–0–1–702

Program by activities:
Direct program:
Education and training:
00.01
Sons and daughters .............................................
00.02
Spouses .................................................................

1994 actual

1995 est.

1996 est.

92,771
9,613

91,067
9,807

89,390
10,011

Total education and training ...........................
Special assistance to disabled veterans:
Vocational rehabilitation .......................................
Housing grants .....................................................
Automobiles, adaptive equipment, maintenance
and repair .........................................................

102,384

100,874
296,590
14,839

309,150
14,839

24,992

26,401

27,921

01.91
02.01
02.02
02.03

Total special assistance to disabled veterans
Work study .................................................................
Payments to states ...................................................
All-volunteer Assistance: Veteran’s basic benefits

305,428
28,043
12,000
650,539

337,830
29,407
13,000
815,453

351,910
33,758
13,000
888,112

02.93

1,098,394

1,296,564

1,386,181

03.01
03.02
03.03
03.04

Total direct program .............................................
Reimbursable program:
Veterans’ basic benefits ...........................................
Veterans’ supplementary benefits .............................
Reservists benefits ....................................................
Jobs program .............................................................

4,032
86,867
117,470
63,529

18,500
22,200
77,900
75,200
133,720
147,453
8,416 ...................

04.92

Total reimbursable ................................................

271,898

238,536

244,853

10.00

Total obligations ........................................................

1,370,292

1,535,100

1,631,034

–59,860

–40,881

Total:
Budget Authority .....................................................................
Outlays ....................................................................................

1,080,600
1,122,552

1,286,600
1,364,600

1996 est.

1,345,300
1,346,100
–12,547
–12,547
1,332,753
1,333,553

This appropriation finances educational assistance allowances for certain peacetime veterans and for eligible dependents of those veterans: (a) who died from service-connected
causes or have a total and permanent rated service-connected
disability; and (b) servicepersons who were captured or missing in action. In addition, certain disabled veterans are provided with vocational rehabilitation, specially adapted housing
grants, and automobile grants with the associated approved
adaptive equipment. The funding level in 1996 will be $58.7
million more than in 1995. This is due primarily to the increases in Montgomery GI Bill (MGIB) trainees and average
benefit payments.
The following table provides a comparison of trainees and
costs for the Dependents Educational Assistance program.

99,401

265,597
14,839

[In thousands of dollars]

Enacted/requested:
1994 actual
1995 est.
Budget Authority ..................................................................... 1,080,600 1,286,600
Outlays .................................................................................... 1,122,552 1,364,600
Legislative proposal, subject to PAYGO:
Budget Authority ..................................................................... .................... ....................
Outlays .................................................................................... .................... ....................

00.91
01.01
01.02
01.03

Financing:
21.40 Unobligated balance available, start of year: Treasury
balance ......................................................................
–141,251
24.40 Unobligated balance available, end of year: Treasury
balance ......................................................................
59,860
25.00 Unobligated balance expiring ........................................ ...................
39.00

Budget authority (gross) ...........................................

40.00
42.00

Budget authority:
Current:
Appropriation .........................................................
Transferred from other accounts ..........................

43.00
68.00

Appropriation (total) .........................................
Permanent:
Spending authority from offsetting collections

Relation of obligations to outlays:
71.00 Total obligations ............................................................
72.40 Obligated balance, start of year: Unpaid obligations:
Treasury balance .......................................................

1,288,901

40,881 ...................
599 ...................
1,516,720

1,590,153

1,050,600 1,286,600 1,345,300
30,000 ................... ...................
1,080,600

1,286,600
230,120

244,853

1994 actual

35,706
$2,598

35,042
$2,599

34,391
$2,599

Total cost (in thousands) ..............................................

$92,771

$91,067

$89,390

Spouses and widow(ers):
Number of trainees .................................................................
Average cost per trainee ........................................................

4,554
$2,111

4,658
$2,105

4,769
$2,099

Total cost (in thousands) ..............................................

$9,613

$9,807

$10,011

1995 est.

1996 est.

Special assistance to disabled veterans.—Service-disabled
veterans requiring vocational rehabilitation receive assistance
to cover the costs of subsistence, tuition, books, supplies, and
equipment.
Specially adapted housing grants, up to a maximum of
$38,000, are provided to certain severely disabled veterans.
Veterans who suffer service-connected blindness or who have
lost the use of both upper extremities can receive up to
$6,500.
An allowance, up to a maximum of $5,500, is provided
to certain service-disabled veterans and servicepersons toward
the purchase price of an automobile. Adaptive equipment and
the maintenance and replacement of such equipment is also
provided.
The following table shows a caseload and cost comparison
for these beneficiaries, and reflects the supplemental request.

1,345,300

208,301

NUMBER OF TRAINEES AND COST
Sons and daughters:
Number of trainees .................................................................
Average cost per trainee ........................................................

1,370,292

1,535,100

1,631,034

45,100

84,539

24,919

CASELOAD AND AVERAGE COST DATA
Vocational Rehabilitation:
Number of trainees:
10% rated disabled ...........................................................
rehabilitated .......................................................................
20% rated disabled ...........................................................

1994 actual

4,368
998
12,627

1995 est.

3,200
950
14,000

1996 est.

2,300
900
15,000

VETERANS BENEFITS ADMINISTRATION—Continued
Federal Funds—Continued

DEPARTMENT OF VETERANS AFFAIRS
rehabilitated .......................................................................
30% rated disabled ...........................................................
rehabilitated .......................................................................
40% rated disabled ...........................................................
rehabilitated .......................................................................
50% rated disabled ...........................................................
rehabilitated .......................................................................
60% rated disabled ...........................................................
rehabilitated .......................................................................
70% rated disabled ...........................................................
rehabilitated .......................................................................
80% rated disabled ...........................................................
rehabilitated .......................................................................
90% rated disabled ...........................................................
rehabilitated .......................................................................
100% rated disabled .........................................................
rehabilitated .......................................................................
Total number of trainees ...............................................
Total number rehabilitated ............................................
Percent of total rehabilitated ........................................
Average cost per trainee ........................................................

1,214
10,318
1,096
6,016
668
3,332
346
2,335
273
1,015
120
465
57
159
21
3,580
185
44,215
4,978
11.26
$6,007

1,300
11,700
1,200
6,800
730
3,800
380
2,600
300
1,100
130
500
60
200
20
4,100
200
48,000
5,300
11.04
$6,179

1,370
11,500
1,240
6,800
760
3,800
390
2,700
310
1,200
140
600
60
300
20
4,300
210
48,500
5,400
11.13
$6,374

837

Average cost per trainee ........................................................

$1,132

$1,223

$1,273

Total cost (in thousands) ..............................................

$117,470

$133,720

$147,453

1 Includes
and $86,867
2 Includes
and $77,900
3 Includes
and $75,200

$650,539 thousand of basic benefits (VA funded), $4,032 thousand of basic benefits (DOD funded),
thousand of supplemental benefits (DOD funded).
$815,453 thousand of basic benefits (VA funded), $18,500 thousand of basic benefits, (DOD funded)
thousand of supplemental benefits (DOD funded).
$888,112 thousand of basic benefits (VA funded), $22,200 thousand of basic benefits (DOD funded)
thousand of supplemental benefits (DOD funded).

Jobs Training.—Public Law 102–484 authorized the Department of Defense to enter into agreements with the Departments of Labor and Veterans Affairs to provide job assistance
to members of the Armed Forces who are forced or induced
to leave military service on or after August 2, 1990 as part
of the drawdown. There is $9 million available to fund this
program until September 30, 1995.

$265,597

$296,590

$309,150

Housing grants:
Number of housing grants .....................................................
Average cost per grant ...........................................................

454
$32,684

454
$32,685

$14,839

$14,839

7,749
$8,018

980 ....................
$8,078 ....................

$63,529

$8,416 ....................

1995 est.

1996 est.

454
$32,685

Total cost (in thousands) ..............................................

1994 actual

Total cost (in thousands) ..............................................

Total cost (in thousands) ..............................................

Veterans:
Number of participants ..........................................................
Average cost per participant ..................................................

$14,839

Object Classification (in thousands of dollars)
Identification code 36–0137–0–1–702

Automobiles or other conveyances:
Number of conveyances ..........................................................
Average cost per conveyance .................................................

904
$5,421

904
$5,421

904
$5,421

Total cost (in thousands) ..............................................

$4,901

$4,901

$4,901

Adaptive equipment (including maintenance, repair and installation for automobiles):
Number of items .....................................................................
Average cost ...........................................................................

41.0
99.0
99.9

9,281
$2,165

9,640
$2,230

10,010
$2,300

Direct obligations: Grants, subsidies, and contributions ...........................................................................
Reimbursable Obligations: Subtotal, reimbursable obligations .....................................................................
Total obligations ...................................................

1994 actual

1995 est.

1996 est.

1,098,394

1,296,564

1,386,181

271,898

238,536

244,853

1,370,292

1,535,100

1,631,034

READJUSTMENT BENEFITS
(Legislative proposal, subject to PAYGO)

Total cost (in thousands) ..............................................

$20,091

$21,500

$23,020

Program and Financing (in thousands of dollars)

Work-Study.—Certain veterans pursuing a program of rehabilitation, education, or training, who are enrolled as a fulltime student, can work up to 250 hours and receive a maximum of $1,062.50 per semester, paid at the rate of the Federal or State minimum wage, whichever is higher.
1994 actual

Number of participants ..........................................................

9,152

1995 est.

10,028

1996 est.

11,500

Payments to States.—State approving agencies are reimbursed for the costs of inspecting, approving, and supervising
programs of education and training offered by educational
institutions and training establishments in which veterans,
dependents, and reservists are enrolled or are about to enter.
All Volunteer Force educational assistance (Montgomery GI
Bill).—Public Law 98–525, enacted October 19, 1984, established two new peacetime educational programs: an assistance
program for veterans who enter active duty during the period
beginning July 1, 1985; and an assistance program for certain
members of the Selected Reserve. The Readjustment benefits
appropriation pays the basic benefit allowance for the peacetime veterans. Supplementary educational assistance for
peacetime veterans and the basic benefit allowance for reservists are financed by payments from the Department of Defense and the Department of Transportation.
The following table shows a caseload and cost comparison
for these beneficiaries under existing legislation, and reflects
the supplemental request.
CASELOAD AND AVERAGE COST DATA
Veterans:
Number of trainees .................................................................
Average cost per trainee ........................................................

1994 actual

284,108
$2,610

339,200
$2,688

355,600
$2,771

Total cost (in thousands) ..............................................

1 $741,438

2 $911,853

3 $985,512

Reservists:
Number of trainees .................................................................

103,799

109,341

115,799

1995 est.

1996 est.

Identification code 36–0137–4–1–702

1994 actual

1995 est.

1996 est.

02.03

Program by activities:
All-volunteer Assistance: Veteran’s basic benefits ....... ................... ...................

–12,547

10.00

Total obligations (object class 41.0) ........................ ................... ...................

–12,547

40.00

Financing:
Budget authority (appropriation) ................................... ................... ...................

–12,547

71.00

Relation of obligations to outlays:
Total obligations ............................................................ ................... ...................

–12,547

90.00

Outlays ....................................................................... ................... ...................

–12,547

The above schedule shows the effects of the Administration’s legislative proposal to maintain the MGIB COLA at
50 percent in FY 1996 and subsequent years.
REINSTATED ENTITLEMENT PROGRAM FOR SURVIVORS UNDER PUBLIC
LAW 97–377
Program and Financing (in thousands of dollars)
Identification code 36–0200–0–1–701

1994 actual

1995 est.

1996 est.

Program by activities:
Direct program:
00.01
Benefit payments ......................................................
00.02
Administrative expenses, VA .....................................
00.03
Administrative expenses paid to Social Security Administration ...........................................................

21,927
636

20,503
777

19,142
737

15

20

21

00.91
01.01

Total direct program .............................................
Return of overpayment ..................................................

22,578
6,122

21,300
19,900
1,400 ...................

10.00

Total obligations ........................................................

28,700

22,700

19,900

Financing:
68.00 Budget authority (gross): Spending authority from offsetting collections .....................................................

28,700

22,700

19,900

838

VETERANS BENEFITS ADMINISTRATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 1996

General and special funds—Continued

VETERANS INSURANCE

REINSTATED ENTITLEMENT PROGRAM FOR SURVIVORS UNDER PUBLIC
LAW 97–377—Continued
Program and Financing (in thousands of dollars)—Continued
Identification code 36–0200–0–1–701

Relation of obligations to outlays:
Total obligations ............................................................
Obligated balance, start of year: Unpaid obligations:
Treasury balance .......................................................
74.40 Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................
71.00
72.40

1994 actual

1995 est.

1996 est.

28,700

22,700

19,900

13,409

19,228

13,128

–19,228

–13,128

–11,728

87.00

Outlays (gross) ..........................................................

22,881

28,800

21,300

88.00

Adjustments to gross budget authority and outlays:
Offsetting collections from: Federal sources .................

–28,700

–22,700

–19,900

89.00
90.00

Budget authority (net) ................................................... ................... ................... ...................
Outlays (net) ..................................................................
–5,819
6,100
1,400

In accordance with Public Law 97–377, this program restores social security benefits to certain surviving spouses
or children of veterans who died of service-connected causes.
Financing is provided in the form of offsetting collections from
the Department of Defense.
CASELOAD AND AVERAGE COST DATA
1994 actual

Spouses .......................................................................................
Average benefit ...........................................................................
Obligations (in thousands) .........................................................
Children .......................................................................................
Average benefit ...........................................................................
Obligations (in thousands) .........................................................

1995 est.

585
$8,989
$5,259
2,097
$7,949
$16,668

1996 est.

540
$9,496
$5,128
1,850
$8,311
$15,375

500
$10,032
$5,016
1,640
$8,613
$14,126

Object Classification (in thousands of dollars)
Identification code 36–0200–0–1–701

25.2
42.0
44.0
99.9

Other services ................................................................
Insurance claims and indemnities ................................
Refunds ..........................................................................
Total obligations ........................................................

1994 actual

1995 est.

651
21,927
6,122

1996 est.

797
758
20,503
19,142
1,400 ...................

28,700

22,700

19,900

AND

INDEMNITIES

For military and naval insurance, national service life insurance,
servicemen’s indemnities, service-disabled veterans insurance, and
veterans mortgage life insurance as authorized by law (38 U.S.C.
chapter 19; 70 Stat. 887; 72 Stat. 487), ø$24,760,000¿ $24,890,000,
to remain available until expended. (Departments of Veterans Affairs
and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.)
Program and Financing (in thousands of dollars)
Identification code 36–0120–0–1–701

Program by activities:
Operating expenses: Military and naval insurance:
00.01
Payment to U.S. Government life insurance fund
00.02
Direct payments to policyholders and beneficiaries
00.03
Payment to national service life insurance fund
00.04
Direct payments to policyholders and beneficiaries
00.05
Payment to service-disabled veterans insurance
fund .......................................................................
00.06
VMLI death claims ....................................................

1994 actual

1995 est.

1996 est.

6
10
1,876
767

5
8
1,690
743

4
6
1,490
695

6,988
7,561

18,350
7,580

17,610
7,590

00.91
01.01

Total operating expenses ......................................
Capital investment: Policy loans ...................................

17,208
31

28,376
37

27,395
34

10.00

Total obligations ........................................................

17,239

28,413

27,429

Financing:
21.40 Unobligated balance available, start of year: Treasury
balance ......................................................................
24.40 Unobligated balance available, end of year: Treasury
balance ......................................................................

–925

–1,528

–250

1,528

250 ...................

39.00

Budget authority (gross) ...........................................

17,842

27,135

27,179

40.00

Budget authority:
Current:
Appropriation .........................................................
Permanent:
Spending authority from offsetting collections

15,370

24,760

24,890

2,472

2,375

2,289

17,239

28,413

27,429

309

522

520

68.00

Relation of obligations to outlays:
Total obligations ............................................................
Obligated balance, start of year: Unpaid obligations:
Treasury balance .......................................................
74.40 Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................
71.00
72.40

87.00

Outlays (gross) ..........................................................

–522

–520

–520

17,026

28,415

27,429

Program and Financing (in thousands of dollars)
Identification code 36–0103–0–1–702

1994 actual

1995 est.

1996 est.

Financing:
21.40 Unobligated balance available, start of year: Treasury
balance ...................................................................... ...................
–6 ...................
24.40 Unobligated balance available, end of year: Treasury
balance ......................................................................
6 ................... ...................
25.00 Unobligated balance expiring ........................................ ...................
6 ...................
68.00

Budget authority (gross): Spending authority from
offsetting collections ............................................

6 ................... ...................

71.00

Relation of obligations to outlays:
Total obligations ............................................................ ................... ................... ...................

87.00

Outlays (gross) .......................................................... ................... ................... ...................

88.40
89.00
90.00

Adjustments to gross budget authority and outlays:
Offsetting collections from: Non-Federal sources .........

–6 ................... ...................

Budget authority (net) ................................................... ................... ................... ...................
Outlays (net) ..................................................................
–6 ................... ...................

Eligibility for this program terminated March 31, 1990.

–16
–20
–20
–259
–239
–221
–58
–54
–51
–1 ................... ...................
–2,132
–2,056
–1,991
–6
–6
–6

88.90

VETERANS JOB TRAINING

Adjustments to gross budget authority and outlays:
Offsetting collections from:
Non-Federal sources:
88.40
Interest on loans ...................................................
88.40
Premiums ..............................................................
88.40
Repayments of loans ............................................
88.40
Repayments of liens .............................................
88.40
VMLI premiums .....................................................
88.40
Other non-Federal sources ....................................
Total, offsetting collections ..................................

–2,472

–2,375

–2,289

89.00
90.00

Budget authority (net) ...................................................
Outlays (net) ..................................................................

15,370
14,554

24,760
26,040

24,890
25,140

Note.—The Department of Veterans Affairs insurance policy loans are not an extension of Federal credit. Credit
schedules previously shown for this account have been discontinued.

Military and naval insurance.—Payments are made to the
U.S. Government life insurance fund for certain World War
I veterans for extra hazards of military service and for claims
on war risk insurance issued to servicemen and veterans of
World War I.
National service life insurance.—Payments are made to the
national service life insurance fund for certain World War
II veterans for: (a) the extra hazards of service; (b) gratuitous
insurance granted to certain persons unable to apply for national service life insurance; and (c) death claims on policies
under the waiver of a premium while the insured was on
active duty.
Payments are also made to policyholders and beneficiaries
on nonparticipating national service life insurance policies is-

VETERANS BENEFITS ADMINISTRATION—Continued
Federal Funds—Continued

DEPARTMENT OF VETERANS AFFAIRS

sued to World War II veterans with service-connected disabilities.
Veterans mortgage life insurance (VMLI).—Payments are
made to mortgage holders under this program which provides
mortgage protection life insurance to veterans who have received a grant for specially adapted housing due to severe
disabilities.
The general decline in the number of policies and the
amount of insurance in force is expected to continue in 1996
as indicated in the following table (dollars in thousands).
National service life insurance policies:
Number of policies ..................................................................
Amount of insurance ..............................................................
VMLI policies:
Number of policies ..................................................................
Amount of insurance ..............................................................

1994 actual

1995 est.

1996 est.

1,822
$9,336

1,696
$8,673

1,581
$8,053

4,180
$222,066

4,111
$225,000

3,971
$221,000

Payment to service-disabled veterans insurance fund.—Payments are made to the service-disabled veterans insurance
fund to supplement the premiums and other receipts of the
fund in amounts necessary to pay claims on insurance policies
issued to veterans with service-connected disabilities.

1994 actual

1995 est.

1996 est.

33.0
41.0
42.0

Investments and loans ..................................................
Grants, subsidies, and contributions ............................
Insurance claims and indemnities ................................

31
8,870
8,338

37
20,045
8,331

34
19,104
8,291

99.9

Total obligations ........................................................

17,239

28,413

27,429

Public enterprise funds:
SERVICE-DISABLED VETERANS INSURANCE FUND

This fund finances the payment of claims on
nonparticipating life insurance policies issued and currently
is open for new issues to veterans having service-connected
disabilities. The program provides insurance coverage for
service-disabled veterans at standard rates. Administrative
expenses are paid from the General operating expenses appropriation.
Operating costs—
Death claims.—Represents payments to designated beneficiaries.
All other.—Represents payments to policyholders who
surrender their policies for their cash value and hold endowment policies which have matured.
Capital investment.—A policyholder may borrow up to 94
percent of the value of his policy.
The trend in the number and amount of policies in force
is indicated in the following table (dollars in thousands):
1994 actual

1994 actual

1995 est.

1996 est.

36,410
7,630

38,040
9,280

00.91

42,294

44,040

6,884
311

6,710
200

6,270
200

01.91

Total capital investment .......................................

7,195

6,910

6,470

10.00

Total obligations ........................................................

49,489

50,950

53,790

21.90

68.00

Budget authority (gross): Spending authority from
offsetting collections ............................................

1993 actual

Identification code 36–4012–0–3–701

1994 actual

1995 est.

1996 est.

Revenue ...................................................
Expense ....................................................

49,731
–111,081

42,863
–66,009

55,387
–67,677

55,019
–68,410

0109

Net income or loss (–) .......................

–61,350

–23,146

–12,290

–13,391

47,320

Financing:
Unobligated balance available, start of year: Fund
balance ......................................................................
24.90 Unobligated balance available, end of year: Fund
balance ......................................................................

168,215
1,556,200

0101
0102
34,739
7,555

01.01
01.02

1996 est.

168,676
1,550,800

Statement of Operations (in thousands of dollars)

Program by activities:
Operating expenses:
00.01
Death claims .............................................................
00.02
All other .....................................................................
Total operating expenses ......................................
Capital investment:
Policy loans ...............................................................
Policy liens ................................................................

1995 est.

169,097
1,543,830

Financing.—Operations are financed from premiums and
other receipts. Additional funds are received by transfer from
the veterans’ insurance and indemnities appropriation, instead of direct appropriations to this fund.
Operating results and financial condition.—Since premium
and other receipts are insufficient to cover operations, the
fund continues to project liabilities in excess of assets. The
deficit is expected to reach an estimated $486 million by
September 30, 1996.

Program and Financing (in thousands of dollars)
Identification code 36–4012–0–3–701

Budget authority (net) ................................................... ................... ................... ...................
Outlays (net) ..................................................................
10,573
–1,300
3,250

Number of policies ......................................................................
Insurance in force .......................................................................

Object Classification (in thousands of dollars)
Identification code 36–0120–0–1–701

89.00
90.00

839

–17,466

–7,604

–8,021

7,604

8,021

5,000

39,627

51,367

Balance Sheet (in thousands of dollars)
Identification code 36–4012–0–3–701

ASSETS:
1101 Federal assets: Fund balances
with Treasury .......................
1206 Non-Federal assets: Receivables, net ............................
1601 Net value of assets related to
pre–1992 direct loans receivable and acquired defaulted guaranteed loans
receivable: Direct loans,
gross ....................................

1993 actual

1994 actual

1995 est.

1996 est.

21,090

10,516

11,816

8,566

2,163

2,043

1,989

2,369

40,267

40,292

40,491

40,511

50,769
1999

Relation of obligations to outlays:
71.00 Total obligations ............................................................
72.90 Obligated balance, start of year: Fund balance ...........
74.90 Obligated balance, end of year: Fund balance .............

49,489
3,623
–2,912

50,950
2,912
–3,795

53,790
3,795
–3,566

87.00

50,200

50,067

54,019

Outlays (gross) ..........................................................

Adjustments to gross budget authority and outlays:
Offsetting collections from:
88.00
Federal sources: Payments from VI and I ................
Non-Federal sources:
88.40
Interest on loans ...................................................
88.40
Insurance premiums earned .................................
88.40
Optional settlements .............................................
88.40
Repayments of loans ............................................
88.40
Repayments of liens .............................................

–6,988

–18,350

–17,610

–1,843
–23,220
–578
–6,860
–138

–1,530
–24,260
–577
–6,510
–140

–1,930
–24,250
–589
–6,250
–140

88.90

–39,627

–51,367

–50,769

Total, offsetting collections ..................................

Total assets .........................
63,520
52,851
54,296
51,446
LIABILITIES:
2101 Federal liabilities: Accounts
payable ................................ ...................... ...................... ...................... ......................
Non-Federal liabilities:
2201
Accounts payable ................
3,827
2,809
3,485
3,576
2206
Pension and other actuarial
liabilities .........................
495,191
508,673
521,640
532,090
2207
Other ....................................
1,279
1,297
1,390
1,390
2999

Total liabilities ....................
NET POSITION:
3100 Appropriated capital ................
3200 Invested capital .......................

500,297

512,779

526,515

537,056

17,466
–454,243

7,604
–467,533

8,021
–480,240

5,000
–490,610

3999

Total net position ................

–436,777

–459,929

–472,219

–485,610

4999

Total liabilities and net position ...............................

63,520

52,850

54,296

51,446

840

VETERANS BENEFITS ADMINISTRATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 1996

Public enterprise funds—Continued
SERVICE-DISABLED VETERANS INSURANCE FUND—Continued
Object Classification (in thousands of dollars)
Identification code 36–4012–0–3–701

1994 actual

1995 est.

1996 est.

33.0
42.0

Investments and loans ..................................................
Insurance claims and indemnities ................................

7,195
42,294

6,910
44,040

6,470
47,320

99.9

Total obligations ........................................................

49,489

50,950

53,790

VETERANS REOPENED INSURANCE FUND
Program and Financing (in thousands of dollars)
Identification code 36–4010–0–3–701

1994 actual

1995 est.

Dividends.—Policyholders participate in the distribution
of annual dividends.
All other.—This represents payments to the General operating expenses appropriation for the administrative costs
of processing claims and maintaining the accounts, and to
those policyholders who: (a) surrender their policies for cash
value; (b) hold endowment policies which have matured;
and (c) have purchased total disability income coverage and
subsequently become disabled.
Policy loans made.—A policyholder may borrow up to 94
percent of the cash value of his policy at an interest rate
adjusted to reflect private sector borrowing costs.
The following table reflects the decrease in the number
of policies and the amount of insurance in force (dollars
in thousands):

1996 est.

1994 actual

Number of policies ..................................................................
Insurance in force ...................................................................

Program by activities:
Operating expenses:
00.01
Death claims .............................................................
00.02
Dividends ...................................................................
00.03
All other .....................................................................

27,380
32,295
8,012

32,110
31,900
8,390

34,940
30,680
8,350

00.91

67,687

72,400

73,970

01.01
01.02

Total operating expenses ......................................
Capital investment:
Policy loans ...............................................................
Policy liens ................................................................

5,060
8

5,040
10

4,730
10

01.91

Total capital investment .......................................

5,068

5,050

4,740

10.00

Total obligations ........................................................

72,755

77,450

78,710

68.00

Budget authority (gross): Spending authority from
offsetting collections ............................................

Relation of obligations to outlays:
71.00 Total obligations ............................................................
72.91 Obligated balance, start of year: U.S. Securities: Par
value ..........................................................................
74.91 Obligated balance, end of year: U.S. Securities: Par
value ..........................................................................
87.00

Outlays (gross) ..........................................................

–302
–499,223

–743
–500,253

Statement of Operations (in thousands of dollars)
1993 actual

1994 actual

0101
0102

Revenue ...................................................
Expense ....................................................

73,459
–73,385

70,554
–71,706

70,100
–71,110

67,510
–68,570

Net income or loss (–) .......................

74

–1,152

–1,010

–1,060

–500
–496,876

743
500,253

500
496,876

500
489,466

74,226

73,830

71,300

72,755

77,450

78,710

19,204

23,514

27,924

–23,514

–27,924

–31,194

68,445

73,040

75,440

–49,409

–49,720

–47,570

–1,153
–18,312
–375
–4,960
–17

–1,140
–17,670
–310
–4,980
–10

–1,480
–16,980
–270
–4,990
–10

88.90

–74,226

–73,830

–71,300

89.00
90.00

97,640
$748,600

0109

Adjustments to gross budget authority and outlays:
Offsetting collections from:
88.00
Federal sources: Interest on U.S. securities .............
Non-Federal sources:
88.40
Interest on loans ...................................................
88.40
Insurance premiums earned .................................
88.40
Optional settlements .............................................
88.40
Repayments of loans ............................................
88.40
Repayments of liens .............................................
Total, offsetting collections ..................................

1996 est.

102,100
$769,800

Financing.—Operations are financed from premiums collected from policyholders and interest on investments. Excess
earnings of the fund are now distributed to the policyholders
in the form of an annual dividend.

Identification code 36–4010–0–3–701

Financing:
Unobligated balance available, start of year:
21.90
Treasury balance .......................................................
21.91
U.S. Securities: Par value .........................................
Unobligated balance available, end of year:
24.90
Treasury balance .......................................................
24.91
U.S. Securities: Par value .........................................

1995 est.

106,110
$788,953

Note.—The Department of Veterans Affairs insurance policy loans are not an extension of Federal credit. Credit
schedules previously shown for this account have been discontinued.

This fund pays claims and administrative costs on participating life insurance policies issued during the period May
1, 1965, through May 2, 1966, under three life insurance
programs: (1) service-disabled standard insurance; (2) servicedisabled rated insurance; and (3) nonservice disabled insurance availing disabled World War II and Korean conflict veterans an opportunity to acquire life insurance coverage who
were no longer eligible for other Government insurance.
Budget program—
Death claims.—Represents payments to designated beneficiaries.

1996 est.

Balance Sheet (in thousands of dollars)
Identification code 36–4010–0–3–701

ASSETS:
Federal assets:
1101
Fund balances with Treasury ...................................
Investments in US securities:
1102
Treasury securities, par ..
1106
Receivables, net ..............
1206 Non-Federal assets: Receivables, net ............................
1601 Net value of assets related to
pre–1992 direct loans receivable and acquired defaulted guaranteed loans
receivable: Direct loans,
gross ....................................
1999

Budget authority (net) ................................................... ................... ................... ...................
Outlays (net) ..................................................................
–5,781
–790
4,140

1995 est.

Total assets .........................
LIABILITIES:
Non-Federal liabilities:
2201
Accounts payable ................
2206
Pension and other actuarial
liabilities .........................
2207
Other ....................................
2999

Total liabilities ....................
NET POSITION:
3100 Appropriated capital ................
3200 Invested capital .......................

1993 actual

1994 actual

1995 est.

1996 est.

303

743

500

500

518,406
13,569

523,768
12,471

524,800
12,070

520,660
11,490

1,146

1,012

643

835

24,134

24,234

24,294

24,034

557,558

562,228

562,307

557,519

31,035

34,386

37,550

40,560

505,533
2,857

508,247
2,596

505,697
3,070

499,087
2,942

539,425

545,229

546,317

542,589

499,506
–481,374

500,996
–483,997

497,376
–481,386

489,966
–475,036

3999

Total net position ................

18,132

16,999

15,990

14,930

4999

Total liabilities and net position ...............................

557,557

562,228

562,307

557,519

Object Classification (in thousands of dollars)
Identification code 36–4010–0–3–701

1994 actual

1995 est.

1996 est.

33.0
42.0
43.0

Investments and loans ..................................................
Insurance claims and indemnities ................................
Interest and dividends ...................................................

5,068
32,624
35,063

5,050
37,560
34,840

4,740
40,120
33,850

99.9

Total obligations ........................................................

72,755

77,450

78,710

VETERANS BENEFITS ADMINISTRATION—Continued
Federal Funds—Continued

DEPARTMENT OF VETERANS AFFAIRS
SERVICEMEN’S GROUP LIFE INSURANCE FUND

Program and Financing (in thousands of dollars)

Program and Financing (in thousands of dollars)
1994 actual

Identification code 36–4009–0–3–701

841

Identification code 36–1119–0–1–704

1995 est.

1996 est.

Program by activities:
00.01 Premium payments ........................................................
00.02 Payment to General operating expenses appropriation

528,102
423

488,270
530

438,800
420

10.00

Total obligations (object class 41.0) ........................

528,525

488,800

439,220

Financing:
Unobligated balance available, start of year: U.S.
Securities: Par value .................................................
24.91 Unobligated balance available, end of year: U.S. Securities: Par value .....................................................

–152,622

–42,461

–3,221

42,461

3,221

00.01
00.02
00.03
00.04
00.05
00.07
00.09

1994 actual

Program by activities:
Direct loan subsidy ........................................................
5,349
Guaranteed loan subsidy ...............................................
596,473
Reestimates of direct loan subsidy ............................... ...................
Interest on reestimates of direct loan subsidy ............. ...................
Reestimate of guaranteed loan subsidy .......................
8,376
Interest on reestimates of guaranteed loan subsidy
1,138
Administrative expenses ................................................
56,330

1995 est.

1996 est.

8,343
323,296
7,190
1,080
289,868
53,382
65,226

15,291
488,831
...................
...................
...................
...................
78,085

3,501

10.00

21.91

68.00

Budget authority (gross): Spending authority from
offsetting collections ............................................

418,364

449,560

439,500

528,525

488,800

439,220

–1,817

–1,567

–57

1,567

57

528,275

487,290

439,230

Adjustments to gross budget authority and outlays:
Offsetting collections from:
88.00
Federal sources: Interest on securitites ....................
88.40
Non-Federal sources: Withholdings from serviceman’s pay .............................................................

–4,162

–260

–280

–414,202

–449,300

–439,220

88.90

–418,364

–449,560

667,666

748,385

582,207

667,666

748,385

582,207

–439,500

Budget authority:
Current:
Appropriation .........................................................
Appropriation (indefinite) ......................................
Transferred from other accounts ..........................

67

Outlays (gross) ..........................................................

Total obligations (object class 41.0) ........................

Financing:
39.00 Budget authority (gross) ................................................

Relation of obligations to outlays:
Total obligations ............................................................
Obligated balance, start of year: Receivables from
other government accounts .......................................
74.10 Obligated balance, end of year: Receivables from
other government accounts .......................................
71.00
72.10

87.00

40.00
40.05
42.00
43.00
68.00

Appropriation (total) .........................................
Permanent:
Spending authority from offsetting collections

56,231
65,226
78,085
141,405
507,095
504,122
99 ................... ...................
197,735

572,321

469,931

176,064 ...................

Relation of obligations to outlays:
Total obligations ............................................................
667,666
748,385
582,207
Obligated balance, start of year: Unpaid obligations:
Treasury balance ....................................................... ...................
708 ...................
74.40 Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................
–708 ................... ...................
71.00
72.40

89.00
90.00

Budget authority (net) ................................................... ................... ................... ...................
Outlays (net) ..................................................................
109,911
37,730
–270

Budget program.—This fund finances the payment of group
life insurance premiums to private insurance companies
under the Servicemen’s Group Life Insurance Act of 1965,
as amended.
Statement of Operations (in thousands of dollars)
1993 actual

Identification code 36–4009–0–3–701

1994 actual

1995 est.

1996 est.

0101
0102

Revenue ...................................................
Expense ....................................................

395,422
–444,929

418,364
–528,525

449,560
–488,800

439,500
–439,220

0109

Net income or loss (–) .......................

–49,507

–110,161

–39,240

280

Credit accounts:
GUARANTY

AND

INDEMNITY PROGRAM ACCOUNT

(INCLUDING TRANSFER OF FUNDS)

For the cost of direct and guaranteed loans, such sums as may
be necessary to carry out the purpose of the program, as authorized
by 38 U.S.C. chapter 37, as amended: Provided, That such costs,
including the cost of modifying such loans, shall be as defined in
section 502 of the Congressional Budget Act of 1974.
In addition, for administrative expenses to carry out the direct
and guaranteed loan programs, ø$65,226,000¿ $78,085,000, which
may be transferred to and merged with the appropriation for ‘‘General
operating expenses’’. (Departments of Veterans Affairs and Housing
and Urban Development, and Independent Agencies Appropriation
Act, 1995.)
Unavailable Collections (in thousands of dollars)
Identification code 36–1119–0–1–704

Balance, start of year:
01.99 Balance, start of year ....................................................
Receipts:
02.01 GIF direct loans, downward reestimate of subsidies

1994 actual

1995 est.

1996 est.

1,224 ................... ...................
–1,224 ................... ...................

87.00

Outlays (gross) ..........................................................

666,958

88.00

Total, offsetting collections ..................................

582,207

Adjustments to gross budget authority and outlays:
Offsetting collections from: Federal sources .................

–469,931

89.00
90.00

Budget authority (net) ...................................................
Outlays (net) ..................................................................

197,735
197,027

749,093

582,207

–176,064 ...................
572,321
573,029

582,207
582,207

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
thousands of dollars)
Identification code 36–1119–0–1–704

Direct loan levels supportable by subsidy budget authority:
1159 Total direct loan levels ..................................................
Direct loan subsidy (in percent):
1329 Weighted average subsidy rate .....................................
Direct loan subsidy budget authority:
1339 Total subsidy budget authority ......................................
Direct loan subsidy outlays:
1349 Total subsidy outlays .....................................................
Guaranteed loan levels supportable by subsidy budget
authority:
2159 Total loan guarantee levels ...........................................
Guaranteed loan subsidy (in percent):
2329 Weighted average subsidy rate .....................................
Guaranteed loan subsidy budget authority:
2339 Total subsidy budget authority ......................................
Guaranteed loan subsidy outlays:
2349 Total subsidy outlays .....................................................

3510
3590

Administrative expense data:
Budget authority ............................................................
Outlays ...........................................................................

1994 actual

1995 est.

1996 est.

376,675

787,118

1,047,299

1.42

1.06

1.46

5,349

16,613

15,291

5,349

16,613

15,291

43,858,323

27,397,993

31,335,303

0.98

1.18

1.58

605,987

666,546

488,831

605,987

666,546

488,831

56,330
55,622

65,226
65,226

78,085
78,085

As required by the Federal Credit Reform Act of 1990,
this account records, for this program, the subsidy costs associated with the direct loans obligated and loan guarantees
committed in 1992 and beyond, (including modifications of
direct loans or loan guarantees that resulted from obligations
or commitments in any year) as well as for the administrative
expenses of this program. The subsidy amounts are estimated
on a present value basis.
The Guaranty and Indemnity Fund was established to replace the Loan Guaranty Revolving Fund with respect to
loans closed after December 31, 1989. The following Federal

842

VETERANS BENEFITS ADMINISTRATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 1996

Credit accounts—Continued
GUARANTY

AND

Status of Direct Loans (in thousands of dollars)

INDEMNITY PROGRAM ACCOUNT—Continued

guaranty protects lenders against losses: (a) for loans of
$45,000, or less, 50 percent of the loan is guaranteed; (b)
for loans greater than $45,000, but not more than $56,250,
$22,500; (c) for loans more than $56,250 but less than
$144,000, the lesser of $36,000 or 40 percent of the loan;
or (d) for loans greater than $144,000, the lesser of $50,750
or 25 percent of the loan.
The Administration is proposing legislation which will extend through 2000 three provisions of OBRA 1993 due to
expire in 1998: (1) the loan origination fee increase of .75
percent; (2) the three-percent fee for multiple home loans
with less than five percent down; and (3) the current law
on resale losses on loans.
Object Classification (in thousands of dollars)
Identification code 36–1119–0–1–704

25.3

1994 actual

1995 est.

1996 est.

41.0

Purchases of goods and services from Government
accounts ....................................................................
Grants, subsidies, and contributions ............................

56,330
611,336

65,226
683,159

78,085
504,122

99.9

Total obligations ........................................................

667,666

748,385

582,207

GUARANTY

AND

1994 actual

Identification code 36–4127–0–3–704

(INCLUDING TRANSFER OF FUNDS)—Continued

INDEMNITY DIRECT LOAN FINANCING ACCOUNT

1995 est.

1996 est.

Position with respect to appropriations act limitation
on obligations:
1111 Limitation on direct loans ............................................. ................... ................... ...................
1131 Direct loan obligations exempt from limitation ............
376,675
787,118 1,047,299
1150

Total direct loan obligations .....................................

Cumulative balance of direct loans outstanding:
Outstanding, start of year .............................................
Disbursements: Direct loan disbursements ...................
Repayments:
1251
Repayments and prepayments ..................................
1253
Proceeds from loan asset sales to the public with
recourse .................................................................
1262 Adjustments: Discount on loan asset sales to the
public or discounted .................................................
Write-offs for default:
1263
Direct loans ...............................................................
1264
Other adjustments, net .............................................
1210
1231

1290

Outstanding, end of year ..........................................

376,675

787,118

1,047,299

55,084
357,338

149,907
787,118

365,240
1,047,299

–9,614

–2,802

–5,685

–303,039

–535,391

–773,216

20,460

–29,888

–45,261

–1,361
–3,704
–9,024
31,039 ................... ...................
149,907

365,240

579,353

As required by the Federal Credit Reform Act of 1990,
this non-budgetary account records all cash flows to and from
the Government resulting from direct loans obligated in 1992
and beyond (including modifications of direct loans that resulted from obligations in any year). The amounts in this
account are a means of financing and are not included in
the budget totals.

Program and Financing (in thousands of dollars)
Identification code 36–4127–0–3–704

00.01
00.02
00.03
00.04
00.05
00.06
00.07

Program by activities:
Direct loans ....................................................................
Interest on Treasury borrowing ......................................
Property sales expense ..................................................
Property management expense ......................................
Property improvement and other expenses ...................
Payment of downward reestimate to program account
Payment of excess interest earned to program account

10.00

1994 actual

1995 est.

Identification code 36–4127–0–3–704

376,675
787,118 1,047,299
8,567
18,531
34,315
12
77
181
24
92
192
152
108
252
11,446 ................... ...................
1,021 ................... ...................

Total obligations ........................................................

397,897

805,926

1,082,239

Financing:
39.00 Financing authority (gross) ...........................................

397,897

805,926

1,082,239

Financing authority:
Authority to borrow (indefinite) .................................
Spending authority from offsetting collections ........
Portion applied to debt reduction .............................

383,793
298,915
–284,811

770,505
602,321
–566,900

1,032,008
870,950
–820,719

Spending authority from offsetting collections
(total) ................................................................

14,104

35,421

50,231

71.00
72.90
74.90

Relation of obligations to financing disbursements:
Total obligations ............................................................
Obligated balance, start of year: Fund balance ...........
Obligated balance, end of year: Fund balance .............

397,897
395
–40,954

805,926
40,954
–40,954

87.00

Financing disbursements (gross) ..............................

357,338

805,926

67.15
68.00
68.47
68.90

Balance Sheet (in thousands of dollars)

1996 est.

ASSETS:
1101 Federal assets: Fund balances
with Treasury .......................
1206 Non-Federal assets: Receivables, net ............................
Net value of assets related to
post–1991 direct loans
receivable:
1401
Direct loans receivable,
gross ...............................

1993 actual

1994 actual

1995 est.

1996 est.

53,777

93,141 ...................... ......................

1,158

2,762 ...................... ......................

29,060

126,239

307,574

487,882

29,060

126,239

307,574

487,882

222,142

307,574

487,882

39,744

18,531

34,315

181,199

441,481

700,288

1,082,239
40,954
–54,995

Total assets .........................
83,995
LIABILITIES:
Federal liabilities:
2102
Interest payable ................... ......................
2104
Resources payable to Treasury ...................................
83,417
Non-Federal liabilities:
2201
Accounts payable ................
622
2207
Other ....................................
–44

1,068,198

2999

1499

Net present value of assets related to direct
loans ...........................

1999

1,218
2,968
4,708
–19 ...................... ......................

Total liabilities ....................
83,995
222,142
NET POSITION:
3100 Appropriated capital ................ ...................... ......................

462,980

739,311

–155,406

–251,429

3999

Total net position ................ ...................... ......................

–155,406

–251,429

4999

Total liabilities and net position ...............................

307,574

487,882

Adjustments to financing authority and financing disbursements:
Offsetting collections from:
88.00
Federal sources: Payments from program account
Non-Federal sources:
88.40
Repayments of principal .......................................
88.40
Interest received on loans ....................................
88.40
Fees .......................................................................
88.40
Loan sale proceeds, net .......................................
88.40
Cash sale of properties ........................................
88.40
Other revenue ........................................................

–5,349

–16,613

–15,291

–1,632
–8,327
–2,978
–282,550
29
1,892

–2,802
–13,830
–7,718
–535,391
–2,118
–23,849

–5,685
–28,894
–10,265
–773,216
–5,880
–31,719

88.90

Total, offsetting collections ..................................

–298,915

–602,321

–870,950

33.0
43.0

Investments and loans ..................................................
Interest and dividends ...................................................

389,330
8,567

787,395
18,531

1,047,924
34,315

89.00
90.00

Financing authority (net) ...............................................
Financing disbursements (net) ......................................

98,982
58,423

203,605
203,605

211,289
197,248

99.9

Total obligations ........................................................

397,897

805,926

1,082,239

83,995

222,142

Object Classification (in thousands of dollars)
Identification code 36–4127–0–3–704

1994 actual

1995 est.

1996 est.

VETERANS BENEFITS ADMINISTRATION—Continued
Federal Funds—Continued

DEPARTMENT OF VETERANS AFFAIRS
GUARANTY

AND

INDEMNITY GUARANTEED LOAN FINANCING ACCOUNT

Program and Financing (in thousands of dollars)
1994 actual

Identification code 36–4129–0–3–704

00.01
00.02
00.03
00.04
00.05
00.06
00.07
00.08
00.09

Program by activities:
Acquisition of homes .....................................................
Losses on defaulted loans .............................................
Property sales expense ..................................................
Property management expense ......................................
Property improvement expense ......................................
Loans acquired ..............................................................
Payment of downward reestimate to program account
Payment of excess interest to program account ..........
Other expenses ...............................................................

10.00

Total obligations (object class 33.0) ........................

1995 est.

1996 est.

165,379
947,694 1,328,004
36,917
237,722
325,549
5,089
41,809
71,779
3,087
13,239
24,487
2,138
8,645
13,101
16,373
3,066
13,219
432,284
166,662 ...................
23,956
9,402 ...................
758 ................... ...................

843

2331
2351
2361

Disbursements for guaranteed loan claims
Repayments of loans receivable ..................
Write-offs of loans receivable .....................

42,602
–354
–24,610

237,722
–1,777
–136,137

325,549
–9,834
–230,905

2390

Outstanding, end of year ........................

22,024

121,832

206,642

As required by the Federal Credit Reform Act of 1990,
this non-budgetary account records all cash flows to and from
the Government resulting from loan guarantees committed
in 1992 and beyond (including modifications of guaranteed
loans that resulted from commitments in any year). The
amounts in this account are a means of financing and are
not included in the budget totals.
Balance Sheet (in thousands of dollars)

685,981

1,428,239

1,776,139

Financing:
Unobligated balance available, start of year: Fund
balance ...................................................................... –2,129,650 –2,853,755 –3,353,981
24.90 Unobligated balance available, end of year: Fund
balance ...................................................................... 2,853,755 3,353,981 3,884,055
21.90

68.00

Identification code 36–4129–0–3–704

ASSETS:
1101 Federal assets: Fund balances
with Treasury .......................
Net value of assets related to
post–1991 direct loans
receivable:
1401
Accounts receivable, net .....
1403
Accounts receivable from
foreclosed property ..........

Financing authority (gross): Spending authority
from offsetting collections ....................................

1,410,086

1,928,465

2,306,213

71.00
72.90
74.90

Relation of obligations to financing disbursements:
Total obligations ............................................................
Obligated balance, start of year: Fund balance ...........
Obligated balance, end of year: Fund balance .............

685,981
2,677
–12,446

1,428,239
12,446
–25,913

1,776,139
25,913
–32,225

1499

87.00

Financing disbursements (gross) ..............................

676,212

1,414,772

1,769,827

1803

Adjustments to financing authority and financing disbursements:
Offsetting collections from:
Federal sources:
88.00
Payments from program account .........................
88.00
Recoveries from direct loans conveyed to the
direct loan financing account ..........................
88.25
Interest on uninvested funds ....................................
Non-Federal sources:
88.40
Funding fees .........................................................
88.40
Cash sale of properties ........................................
88.40
Other collections ...................................................

1999

–605,987

–666,546

–488,831

–16,373
–163,261

–472,225
–147,210

–828,512
–186,375

–610,871
–10,329
–3,265

–506,376
–128,116
–7,992

–581,201
–210,122
–11,172

88.90

Total, offsetting collections .................................. –1,410,086 –1,928,465 –2,306,213

89.00
90.00

Total assets .........................
LIABILITIES:
2104 Federal liabilities: Resources
payable to Treasury .............
2204 Non-Federal liabilities: Liabilities for loan guarantees ....

1995 est.

27,397,993

31,335,303

2150

43,858,323

27,397,993

31,335,303

56,104,520
43,858,323
–1,107,329

98,695,820
27,397,993
–1,947,949

123,008,162
31,335,303
–2,427,799

–36,917

–237,722

–325,549

–165,379

–947,694

42,602
98,695,820

Total guaranteed loan commitments ..........

Cumulative balance of guaranteed loans outstanding:
2210 Outstanding, start of year ...............................
2231 Disbursements of new guaranteed loans ........
2251 Repayments and prepayments .........................
Adjustments:
2261
Terminations for default that result in
loans receivable ......................................
2262
Terminations for default that result in acquisition of property ................................
2263
Terminations for default that result in
claim payments .......................................
2290

Outstanding, end of year .............................

Memorandum:
2299 Guaranteed amount of guaranteed loans outstanding, end of year ..................................
Addendum:
Cumulative balance of defaulted guaranteed
loans that result in loans receivable:
2310
Outstanding, start of year ...........................

769,551

2,865,975 ...................... ......................

4,387

1 ...................... ......................

1,362,878

120,598

164,932

197,239

1,367,265

120,599

164,932

197,239

15,329 ...................... ...................... ......................
2,152,145

2,986,574

2,149,470

888,834

1,919,021

–721,901

–1,721,781

3999

Total net position ................ ...................... ......................

–721,901

–1,721,781

4999

Total liabilities and net position ...............................

166,933

197,240

AND

2,152,145

2,986,574

INDEMNITY FUND LIQUIDATING ACCOUNT

Program and Financing (in thousands of dollars)
1994 actual

1995 est.

1996 est.

Program by activities:
Capital investment:
00.01
Acquisition of homes .................................................
00.02
Property improvements ..............................................
00.04
Cash advances ..........................................................
00.05
Acquisition of defaulted guaranteed loans ..............

321,003
6,773
4,592
15,552

200,174
4,223
3,444
12,249

167,600
3,536
2,583
7,570

00.91

347,920

220,090

181,289

10,962

9,548

6,450

01.02
01.03

Total capital investment .......................................
Operating expenses:
Property management expense .................................
Claims-Individual Homes:
Sales expense .......................................................
Claims-Individual Homes ......................................

18,448
133,409

16,640
84,407

11,613
70,672

–1,328,004

01.91

Total operating expenses ......................................

162,819

110,595

88,735

47,714

53,440

02.93

Claims-Individual Homes ..........................................

510,739

330,685

270,024

123,008,162

150,315,553

10.00

Total obligations ........................................................

510,739

330,685

270,024

Financing:
21.90 Unobligated balance available, start of year: Treasury
balance ......................................................................
24.90 Unobligated balance available, end of year: Fund
balance ......................................................................

–352,314

–250,898

–284,766

250,898

284,766

268,381

409,323

364,553

253,639

......................

......................

01.01

68.00
4,386

197,239

Total liabilities ....................
2,152,145
2,986,574
NET POSITION:
3100 Appropriated capital ................ ...................... ......................

Identification code 36–4023–0–3–704

37,633,826

164,932

2,675 ...................... ...................... ......................

2999

GUARANTY

43,858,323

1996 est.

1,919,021

1996 est.

Position with respect to appropriations act limitation on commitments:
2131 Guaranteed loan commitments exempt from
limitation ......................................................

1995 est.

888,834

Status of Guaranteed Loans (in thousands of dollars)
1994 actual

1994 actual

2,986,574

Financing authority (net) ............................................... ................... ................... ...................
Financing disbursements (net) ......................................
–733,874
–513,693
–536,386

Identification code 36–4129–0–3–704

Net present value of assets related to direct
loans ...........................
Other Federal assets: Property,
plant and equipment, net ...

1993 actual

22,024

121,832

Budget authority (gross): Spending authority from
offsetting collections ............................................

844

VETERANS BENEFITS ADMINISTRATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 1996

Credit accounts—Continued
GUARANTY

AND

INDEMNITY FUND LIQUIDATING ACCOUNT—
Continued

Program and Financing (in thousands of dollars)—Continued
Identification code 36–4023–0–3–704

1994 actual

1995 est.

1996 est.

71.00
72.90
74.90

Relation of obligations to outlays:
Total obligations ............................................................
Obligated balance, start of year: Fund balance ...........
Obligated balance, end of year: Fund balance .............

510,739
21,882
–41,256

330,685
41,256
–26,712

270,024
26,712
–21,812

87.00

Outlays (gross) ..........................................................

491,365

345,229

274,924

Adjustments to gross budget authority and outlays:
Offsetting collections from:
88.00
Federal Sources: Payments from Direct Loan Financing Account ...................................................
Non-Federal sources:
88.40
Loan and other repayments ..................................
88.40
Sale of homes, cash .............................................
88.40
Interest on loans ...................................................
88.40
Sale of Loans, Net ................................................
88.40
Collection of claims (veteran indebtedness) ........
88.40
Other revenue ........................................................
88.90
89.00
90.00

Total, offsetting collections ..................................

–360,302

–314,893

–218,787

1,639
1,016
630
–43,528
–46,524
–32,467
–1,711
–1,061
–658
–1,361 ................... ...................
–3,549
–2,662
–1,997
–511
–429
–360
–409,323

–364,553

–253,639

Status of Direct Loans (in thousands of dollars)

Cumulative balance of direct loans outstanding:
1210 Outstanding, start of year .............................................
1231 Disbursements: Direct loan disbursements ...................
Repayments:
1251
Repayments and prepayments ..................................
1252
Proceeds from loan asset sales to the public or
discounted .............................................................
Adjustments:
1261
Capitalized interest ...................................................
1262
Discount on loan asset sales to the public or
discounted .............................................................
1264 Write-offs for default: Other adjustments, net .............
1290

Outstanding, end of year ..........................................

1994 actual

1995 est.

Cumulative balance of guaranteed loans outstanding:
2210 Outstanding, start of year .............................................
2251 Repayments and prepayments ......................................
Adjustments:
2261
Terminations for default that result in loans receivable .......................................................................
2262
Terminations for default that result in acquisition
of property .............................................................
2263
Terminations for default that result in claim payments ....................................................................
2290

Outstanding, end of year ..........................................

2299

Memorandum:
Guaranteed amount of guaranteed loans outstanding,
end of year ................................................................

Addendum:
Cumulative balance of defaulted guaranteed loans
that result in loans receivable:
2310
Outstanding, start of year ........................................
2331
Disbursements for guaranteed loan claims .............
2351
Repayments of loans receivable ...............................
2361
Write-offs of loans receivable ...................................
2390

Outstanding, end of year ......................................

1994 actual

Number of property acquisitions processed ...............................
Average amount per acquisition .................................................
Total obligations (in thousands) .................................................

20,138
22,232
13,440
19,198 ................... ...................
–263

–1,016

–630

–1,523 ................... ...................
72 ................... ...................
162 ................... ...................
–15,552
–7,776
–3,888
22,232

13,440

8,922

1994 actual

1995 est.

1996 est.

18,870,213
–748,954

17,665,800
–701,234

–84,407

–70,672

–321,003

–200,174

1995 est.

1996 est.

2,687
$74,485
$200,174

2,185
$76,720
$167,600

1995 est.

1996 est.

4,426
$1,530
$6,773

2,687
$1,571
$4,223

2,185
$1,618
$3,536

Cash advances—
Vendee loans.—Small cash advances are occasionally
made to borrowers to cover taxes, hazard insurance, and
necessary repairs. These amounts are added to the loan
balance.
1994 actual

Total obligations (in thousands) .................................................

1995 est.

$4,592

$3,444

1996 est.

$2,583

Property management expense.—Property management
expenses include all the costs of ownership of acquired properties except capitalized expenditures made incident to the
acquisition and rehabilitation of properties.
1994 actual

Average number of properties .....................................................
Average amount per property ......................................................
Total obligations (in thousands) .................................................

1995 est.

2,035
$5,387
$10,962

1,726
$5,532
$9,548

1996 est.

1,132
$5,698
$6,450

Property sales expense.—Sales expense includes brokers’
fees and advertising costs incident to the sale of properties
owned by VA.
1994 actual

Number of sales ..........................................................................
Average amount per sale ............................................................
Total obligations (in thousands) .................................................

4,092
$4,508
$18,448

1995 est.

3,594
$4,630
$16,640

1996 est.

2,435
$4,769
$11,613

Loss on defaulted guaranteed loans.—These payments are
made to lenders in accordance with the VA guaranty contract. In most home loan cases, they represent the difference between the amount owed by the veteran on a defaulted loan and the value of the foreclosed property as
established by VA.

16,679,985
–662,107

–133,409

4,426
$72,527
$321,003
1994 actual

Number of properties improved ..................................................
Average amount per property ......................................................
Total obligations (in thousands) .................................................

1996 est.

Status of Guaranteed Loans (in thousands of dollars)
Identification code 36–4023–0–3–704

Budget program—
Acquisition of homes.—

Property improvements.—

Budget authority (net) ................................................... ................... ................... ...................
Outlays (net) ..................................................................
82,042
–19,324
21,285

Identification code 36–4023–0–3–704

guarantees committed prior to 1992. This account is shown
on a cash basis. All new activity in this program in 1992
and beyond (including modifications of direct loans or loan
guarantees that resulted from obligations or commitments in
any year) is recorded in corresponding program and financing
accounts.

1994 actual

Individual homes:
Number of claims ...................................................................
Average amount per payment ................................................
Total obligations (in thousands) ............................................

5,014
$26,607
$133,409

1995 est.

3,089
$27,325
$84,407

1996 est.

2,511
$28,145
$70,672

–167,600

Statement of Operations (in thousands of dollars)

–1,047 ................... ...................
17,665,800

16,679,985

15,779,606

1993 actual

Identification code 36–4023–0–3–704

1994 actual

1995 est.

1996 est.

0101
0102
6,578,846

6,211,766

5,876,499

Revenue ...................................................
Expense ....................................................

250,092
–289,855

347,306
–402,613

277,845
–322,090

222,276
–257,672

0109

Net income or loss (–) .......................

–39,763

–55,307

–44,245

–35,396

Balance Sheet (in thousands of dollars)
32,492
135,183
–3,755
–124,182

39,738
114,906
–2,662
–105,555

46,427
97,670
–1,997
–89,721

39,738

46,427

52,379

As required by section 502 of the Congressional Budget
Act of 1974, this account records all cash flows to and from
the Government resulting from direct loans obligated and loan

Identification code 36–4023–0–3–704

ASSETS:
Federal assets: Fund balances
with Treasury .......................
Non-Federal assets:
1206
Receivables, net ..................
1207
Advances and prepayments
Net value of assets related to
post–1991 direct loans
receivable:
1402
Interest receivable ...............

1993 actual

1994 actual

1995 est.

1996 est.

1101

366,278
31,429
31

7,918

273,119

284,766

268,381

–219 ...................... ......................
60 ...................... ......................

247

1,061

658

VETERANS BENEFITS ADMINISTRATION—Continued
Federal Funds—Continued

DEPARTMENT OF VETERANS AFFAIRS
1403

Accounts receivable from
foreclosed property ..........

47,016

23,060

84,407

70,672
40.00

1499

Net present value of assets related to direct
loans ...........................
Other Federal assets: Property,
plant and equipment, net ...

54,934

23,307

85,468

71,330

68.00
68.26

62,958

170,361

98,626

78,000

68.45

Total assets .........................
515,630
LIABILITIES:
2105 Federal liabilities: Other .......... ......................
2201 Non-Federal liabilities: Accounts payable ....................
15,439

466,628

468,860

845

Budget authority:
Current:
Appropriation .........................................................
70,716
59,371
52,138
Permanent:
Spending authority from offsetting collections
156,445
95 ...................
Spending authority from offsetting collections
(unavailable balances) ..................................... ...................
43,939
22,950
Portion not available for obligation (limitation
on obligations) .................................................
–130,440 ................... ...................

417,711

1803
1999

2999

68.90
856 ...................... ......................
20,942

17,801

15,131

Total liabilities ....................
15,439
NET POSITION:
3200 Invested capital ....................... ......................
3300 Cumulative results of operations ...................................
500,191

21,798

17,801

15,131

193,421

164,408

139,747

251,235

231,104

187,555

3999

Total net position ................

500,191

444,656

395,512

327,302

4999

Total liabilities and net position ...............................

515,630

466,454

413,313

342,433

33.0
42.0

Investments and loans ..................................................
Insurance claims and indemnities ................................

99.9

Total obligations ........................................................

1994 actual

1995 est.

510,739

330,685

270,024

(INCLUDING TRANSFER OF FUNDS)

For the cost of direct and guaranteed loans, such sums as may
be necessary to carry out the purpose of the program, as authorized
by 38 U.S.C. chapter 37, as amended: Provided, That such costs,
including the cost of modifying such loans, shall be as defined in
section 502 of the Congressional Budget Act of 1974.
In addition, for administrative expenses to carry out the direct
and guaranteed loan programs, ø$59,371,000¿ $52,138,000, which
may be transferred to and merged with the appropriation for ‘‘General
operating expenses’’. (Departments of Veterans Affairs, Housing and
Urban Development, and Independent Agencies Appropriations Act,
1995.)
Unavailable Collections (in thousands of dollars)

Balance, start of year:
Balance, start of year ....................................................
Receipts:
02.01 Loan guaranty direct loans, downward reestimate of
subsidies ...................................................................
01.99

1994 actual

1995 est.

45,735

130,440

1996 est.

–45,735 ................... ...................

Offsetting Collections ................................................
130,440 ................... ...................
Total: Balances and collections ....................................
130,440
130,440
86,501
Appropriation:
05.01 Loan guaranty program ................................................. ...................
–43,939
–22,950
07.99 Total balance, end of year ............................................
130,440
86,501
63,551

Program and Financing (in thousands of dollars)

00.01
00.02
00.03
00.04
00.06
00.09
10.00

1994 actual

1995 est.

22,950

Relation of obligations to outlays:
Total obligations ............................................................
96,721
103,405
75,088
Obligated balance, start of year: Unpaid obligations:
Treasury balance ....................................................... ...................
1,642 ...................
74.40 Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................
–1,642 ................... ...................
87.00

Outlays (gross) ..........................................................

95,079

88.00

Adjustments to gross budget authority and outlays:
Offsetting collections from: Total offsetting collections

–156,445

Budget authority (net) ...................................................
Outlays (net) ..................................................................

–59,724
–61,366

105,047

75,088

–95 ...................
103,310
104,952

75,088
75,088

Summary of Budget Authority and Outlays
[In thousands of dollars]

Enacted/requested:
1994 actual
1995 est.
Budget Authority .....................................................................
–59,724
103,310
Outlays ....................................................................................
–61,366
104,952
Legislative proposal, subject to PAYGO:
Budget Authority ..................................................................... .................... ....................
Outlays .................................................................................... .................... ....................
Total:
Budget Authority .....................................................................
Outlays ....................................................................................

–59,724
–61,366

103,310
104,952

1996 est.

75,088
75,088
–22
–22
75,066
75,066

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
thousands of dollars)
Identification code 36–1025–0–1–704

Direct loan levels supportable by subsidy budget authority:
1159 Total direct loan levels ..................................................
Direct loan subsidy (in percent):
1329 Weighted average subsidy rate .....................................
Direct loan subsidy budget authority:
1339 Total subsidy budget authority ......................................
Direct loan subsidy outlays:
1349 Total subsidy outlays .....................................................

1994 actual

1995 est.

1996 est.

1,106,677

922,810

733,741

2.34

2.34

3.11

25,896

21,594

22,819

25,896

21,594

22,819

406

963

991

14.60

13.34

13.28

56

128

131

56

128

131

70,716
69,074

59,371
61,013

52,138
52,138

86,501

03.00
04.00

Identification code 36–1025–0–1–704

44,034

71.00
72.40

1996 est.

509,692
330,685
270,024
1,047 ................... ...................

LOAN GUARANTY PROGRAM ACCOUNT

Identification code 36–1025–0–1–704

26,005

89.00
90.00

Object Classification (in thousands of dollars)
Identification code 36–4023–0–3–704

Spending authority from offsetting collections
(total) ...........................................................

1996 est.

Program by activities:
Direct loan subsidy ........................................................
25,896
21,594
22,819
Guaranteed loan subsidy ...............................................
56
128
131
Reestimate of direct loan subsidy ................................ ...................
14,196 ...................
Interest on reestimate of direct loan subsidy ............... ...................
8,116 ...................
Reestimate of loan guarantee subsidy .........................
53 ................... ...................
Administrative expenses ................................................
70,716
59,371
52,138
Total obligations ........................................................

96,721

103,405

75,088

Financing:
39.00 Budget authority (gross) ................................................

96,721

103,405

75,088

Guaranteed loan levels supportable by subsidy budget
authority:
2159 Total loan guarantee levels ...........................................
Guaranteed loan subsidy (in percent):
2329 Weighted average subsidy rate .....................................
Guaranteed loan subsidy budget authority:
2339 Total subsidy budget authority ......................................
Guaranteed loan subsidy outlays:
2349 Total subsidy outlays .....................................................

3510
3590

Administrative expense data:
Budget authority ............................................................
Outlays ...........................................................................

As required by the Federal Credit Reform Act of 1990,
this account records, for this program, the subsidy costs associated with the direct loans obligated and loan guarantees
committed in 1992 and beyond (including modifications of
direct loans or loan guarantees that resulted from obligations
or commitments in any year) as well as the administrative
expenses of this program. The subsidy amounts are estimated
on a present value basis.
The purpose of the VA home loan guaranty program is
to facilitate the extension of mortgage credit on favorable

846

VETERANS BENEFITS ADMINISTRATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 1996

Credit accounts—Continued
LOAN GUARANTY PROGRAM ACCOUNT—Continued
(INCLUDING TRANSFER OF FUNDS)—Continued

terms by private lenders to eligible veterans. As of January
1, 1990, the guaranty on all new loan originations is provided
by the Guaranty and Indemnity Fund, except for manufactured home loans. Guaranty amounts made prior to the establishment of the new Fund will be paid from the Loan Guaranty Revolving Fund in case of foreclosure. The guaranty
protects lenders against the following losses: (a) for loans
of $45,000 or less, 50 percent of the loan is guaranteed; (b)
for loans greater than $45,000, but not more than $56,250,
$22,500; (c) for loans more than $56,250 but less than
$144,000, the lesser of $36,000 or 40 percent of the loan;
or (d) for loans greater than $144,000, the lesser of $50,750
or 25 percent of the loan.
Object Classification (in thousands of dollars)
Identification code 36–1025–0–1–704

25.3

1994 actual

1995 est.

1996 est.

41.0

Purchases of goods and services from Government
accounts ....................................................................
Grants, subsidies, and contributions ............................

70,716
26,005

59,371
44,034

52,138
22,950

99.9

Total obligations ........................................................

96,721

103,405

75,088

LOAN GUARANTY PROGRAM ACCOUNT
(Legislative proposal, subject to PAYGO)
Program and Financing (in thousands of dollars)
Identification code 36–1025–4–1–704

1994 actual

1995 est.

00.03
00.04
00.05
00.06
00.07
00.08

Property sales expense ..................................................
Property management expense ......................................
Property improvement expense ......................................
Cash advances/other .....................................................
Payment to program account for downward reestimate
Payment of excess interest earned to program account

10.00

328
1,693
2,073
336
734
903
203
952
1,089
721 ................... ...................
104,897 ................... ...................
5,813 ................... ...................

Total obligations ........................................................

1,282,389

947,700

785,790

Financing:
39.00 Financing authority (gross) ...........................................

1,282,389

947,700

785,790

Financing authority:
Authority to borrow (indefinite) .................................
Spending authority from offsetting collections ........
Portion applied to debt reduction .............................

1,191,491
1,030,799
–939,901

878,904
890,481
–821,685

710,922
732,105
–657,237

Spending authority from offsetting collections
(total) ................................................................

90,898

68,796

74,868

71.00
72.90
74.90

Relation of obligations to financing disbursements:
Total obligations ............................................................
Obligated balance, start of year: Fund balance ...........
Obligated balance, end of year: Fund balance .............

1,282,389
6,002
–151,915

947,700
151,915
–125,961

785,790
125,961
–102,906

87.00

Financing disbursements (gross) ..............................

1,136,476

973,654

808,845

–25,896

–43,906

–22,819

–7,810
–29,656
–963,105
–9,901
–950
6,519

–16,149
–60,387
–716,743
–8,458
–18,703
–26,135

–20,132
–70,700
–567,755
–6,605
–23,684
–20,410

Total, offsetting collections .................................. –1,030,799

–890,481

–732,105

57,219
83,173

53,685
76,740

67.15
68.00
68.47
68.90

Adjustments to financing authority and financing disbursements:
Offsetting collections from:
88.00
Payments from program account ..............................
Non-Federal sources:
88.40
Repayment and prepayments of principal (–)
88.40
Interest received on loans ....................................
88.40
Loan sale proceeds, net .......................................
88.40
Fees .......................................................................
88.40
Cash sale of properties ........................................
88.40
Other revenue ........................................................

1996 est.

88.90
Program by activities:
00.01 Guaranteed Loan Subsidy .............................................. ................... ...................

–22

10.00

Total obligations (object class 41.0) ........................ ................... ...................

–22
–22

71.00

Relation of obligations to outlays:
Total obligations ............................................................ ................... ...................

–22

90.00

Outlays ....................................................................... ................... ...................

–22

Financing authority (net) ...............................................
Financing disbursements (net) ......................................

251,590
105,677

–22

Financing:
39.00 Budget authority ............................................................ ................... ...................
40.05 Budget authority (appropriation) (indefinite) ................ ................... ...................

89.00
90.00

Status of Direct Loans (in thousands of dollars)

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
thousands of dollars)
Identification code 36–1025–4–1–704

Guaranteed loan levels supportable by subsidy budget
authority:
2159 Total loan guarantee levels ...........................................
Guaranteed loan subsidy (in percent):
2329 Weighted average subsidy rate .....................................
Guaranteed loan subsidy budget authority:
2339 Total subsidy budget authority ......................................
Guaranteed loan subsidy outlays:
2349 Total subsidy outlays .....................................................

1994 actual

1995 est.

1996 est.

................... ...................

–99

................... ...................

–22

................... ...................

–22

LOAN GUARANTY DIRECT LOAN FINANCING ACCOUNT

Program by activities:
00.01 Direct loans ....................................................................
00.02 Interest on Treasury borrowing ......................................

Total direct loan obligations .....................................

1,106,677

922,810

733,741

Cumulative balance of direct loans outstanding:
Outstanding, start of year .............................................
291,343
428,043
617,961
Disbursements: Direct loan disbursements ................... 1,136,476
922,810
733,741
Repayments:
1251
Repayments and prepayments ..................................
–36,787
–16,149
–20,132
1253
Proceeds from loan asset sales to the public with
recourse ................................................................. –1,024,778
–757,097
–600,832
1262 Adjustments: Discount on loan asset sales to the
public or discounted .................................................
61,674
40,354
33,077
Write-offs for default:
1263
Direct loans ...............................................................
–5,272 ................... ...................
1264
Other adjustments, net .............................................
5,387 ................... ...................
1210
1231

1290

1994 actual

Outstanding, end of year ..........................................

617,961

763,815

Balance Sheet (in thousands of dollars)

1995 est.

1996 est.
Identification code 36–4125–0–3–704

1,106,677
63,414

428,043

As required by the Federal Credit Reform Act of 1990,
this non-budgetary account records all cash flows to and from
the Government resulting from direct loans obligated in 1992
and beyond (including modifications of direct loans that resulted from obligations in any year). The amounts in this
account are a means of financing and are not included in
the budget totals.

Program and Financing (in thousands of dollars)
Identification code 36–4125–0–3–704

1996 est.

–0.96

................... ...................

1995 est.

Position with respect to appropriations act limitation
on obligations:
1111 Limitation on direct loans ............................................. ................... ................... ...................
1131 Direct loan obligations exempt from limitation ............ 1,106,677
922,810
733,741
1150

This schedule shows the effect of the Administration’s proposal to require a two percent fee and a ten percent downpayment on Manufactured Home Loans, and repeal restrictions
on collection of loan guaranty debts.

1994 actual

Identification code 36–4125–0–3–704

922,810
21,511

733,741
47,984

1101

ASSETS:
Federal assets: Fund balances
with Treasury .......................

1993 actual

780,647

1994 actual

925,082

1995 est.

771,386

1996 est.

613,341

VETERANS BENEFITS ADMINISTRATION—Continued
Federal Funds—Continued

DEPARTMENT OF VETERANS AFFAIRS
1206

Non-Federal assets: Accounts
Receivables, net ..................
Net value of assets related to
post–1991 direct loans
receivable:
Direct loans receivable and
related foreclosed property, net ...........................

73,308

318,524

265,603

211,186

Net present value of assets related to direct
loans ...........................

73,308

318,524

265,603

211,186

Total assets .........................
863,851
LIABILITIES:
Federal liabilities:
2101
Accounts payable ................ ......................
2105
Other ....................................
62
Non-Federal liabilities:
2201
Interest payable ...................
3,800
2203
Debt .....................................
859,989

1,258,994

1,036,989

847

824,527

1401

1499

Object Classification (in thousands of dollars)
9,896

15,388 ...................... ......................
Identification code 36–4125–4–3–704

1994 actual

1995 est.

1996 est.

33.0
43.0

1999

Investments and loans .................................................. ................... ...................
Interest and dividends ................................................... ................... ...................

89,662
2,318

99.9

Total obligations ........................................................ ................... ...................

91,980

LOAN GUARANTY GUARANTEED LOAN FINANCING ACCOUNT
Program and Financing (in thousands of dollars)

4,090 ...................... ......................
101 ...................... ......................
147,507
1,107,296

55,090
1,198,093

43,926
1,247,719

Total liabilities ....................
863,851
1,258,994
NET POSITION:
3100 Appropriated capital ................ ...................... ......................

1,253,183

1,291,645

–216,194

–467,118

3999

Total net position ................ ...................... ......................

–216,194

–467,118

4999

Total liabilities and net position ...............................

2999

Identification code 36–4126–0–3–704

1994 actual

00.01
00.02
00.03

Program by activities:
Claims Paid ................................................................... ...................
Payment of downward reestimate to program account ...................
Payment to program account for interest on downward
reestimate .................................................................. ...................

10.00

1995 est.

Total obligations (object class 33.0) ........................ ...................

Financing:
Unobligated balance available, start of year: Fund
balance ......................................................................
24.90 Unobligated balance available, end of year: Fund
balance ......................................................................

1996 est.

56
72
80 ...................
15 ...................
151

72

–335

–479

–500

479

500

607

144

172

179

21.90
863,851

1,258,994

1,036,989

824,527

68.00

Object Classification (in thousands of dollars)
Identification code 36–4125–0–3–704

1994 actual

1995 est.

Financing authority (gross): Spending authority
from offsetting collections ....................................

1996 est.

33.0
43.0

Investments and loans ..................................................
Interest and dividends ...................................................

1,218,975
63,414

926,189
21,511

737,806
47,984

99.9

Total obligations ........................................................

1,282,389

947,700

785,790

71.00
72.90
74.90
87.00

Relation of obligations to financing disbursements:
Total obligations ............................................................ ...................
151
72
Obligated balance, start of year: Fund balance ...........
39 ................... ...................
Obligated balance, end of year: Fund balance ............. ................... ................... ...................
Financing disbursements (gross) ..............................

39

151

72

Adjustments to financing authority and financing disbursements:
Offsetting collections from:
88.00
Federal sources: Payments from program account
88.25
Interest on uninvested funds ....................................
88.40
Non-Federal sources: Fees and premiums ................

–109
–27
–8

–128
–33
–11

–131
–38
–10

88.90

–144

–172

–179

LOAN GUARANTY DIRECT LOAN FINANCING ACCOUNT
(Legislative proposal, subject to PAYGO)
Program and Financing (in thousands of dollars)
Identification code 36–4125–4–3–704

1994 actual

1995 est.

1996 est.

Program by activities:
00.04 Interest on Treasury Borrowing ...................................... ................... ...................
00.05 Payment to Liquidating Account for Enhanced Debt
Collection ................................................................... ................... ...................

89,662

10.00

Total obligations ........................................................ ................... ...................

91,980

39.00

Financing:
Financing authority (gross) ........................................... ................... ...................

91,980

67.15
68.00
68.47

Financing authority:
Authority to borrow (indefinite) ................................. ................... ...................
Spending authority from offsetting collections ........ ................... ...................
Portion applied to debt reduction ............................. ................... ...................

89,662
29,300
–26,982

Spending authority from offsetting collections
(total) ................................................................ ................... ...................

2,318

71.00

Relation of obligations to financing disbursements:
Total obligations ............................................................ ................... ...................

91,980

87.00

Financing disbursements (gross) .............................. ................... ...................

91,980

Total, offsetting collections ..................................

68.90

Adjustments to financing authority and financing disbursements:
88.00 Offsetting collections from: Repayment from Liquidating Account for Debt Collection ................................ ................... ...................
89.00
90.00

Financing authority (net) ............................................... ................... ...................
Financing disbursements (net) ...................................... ................... ...................

2,318

89.00
90.00

Financing authority (net) ............................................... ................... ................... ...................
Financing disbursements (net) ......................................
–105
–21
–107

Status of Guaranteed Loans (in thousands of dollars)
Identification code 36–4126–0–3–704

1994 actual

1995 est.

1996 est.

Position with respect to appropriations act limitation
on commitments:
2131 Guaranteed loan commitments exempt from limitation

406

963

991

2150

406

963

991

2210
2231
2251
2263

Total guaranteed loan commitments ........................

Cumulative balance of guaranteed loans outstanding:
Outstanding, start of year .............................................
1,998
2,380
Disbursements of new guaranteed loans ......................
406
963
Repayments and prepayments ......................................
–24
–45
Adjustments: Terminations for default that result in
claim payments ......................................................... ................... ...................

3,298
991
–97
–29

2290

Outstanding, end of year ..........................................

2,380

3,298

4,163

2299

Memorandum:
Guaranteed amount of guaranteed loans outstanding,
end of year ................................................................

1,118

1,550

1,957

–29,300
62,680
62,680

This schedule shows the effects of the Administration’s proposal to repeal restrictions on the collection of loan guaranty
debts and authorize VA to collect all loan guaranty debts
by Federal salary offset or Federal income tax refund offset.

As required by the Federal Credit Reform Act of 1990,
this non-budgetary account records all cash flows to and from
the Government resulting from loan guarantees committed
in 1992 and beyond (including modifications of guaranteed
loans that resulted from commitments in any year). The
amounts in this account are a means of financing and are
not included in the budget totals.

848

VETERANS BENEFITS ADMINISTRATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 1996
01.02
01.03
01.04

Total operating expenses ......................................

394,861

332,138

254,305

10.00

LOAN GUARANTY GUARANTEED LOAN FINANCING ACCOUNT—
Continued

Sales expense ............................................................
Claims processed ......................................................
Other expenses ..........................................................

01.91

Credit accounts—Continued

76,471
63,565
49,638
259,576
226,423
172,360
7,486 ................... ...................

Total obligations (object class 33.0) ........................

1,485,469

1,246,472

968,550

Financing:
21.90 Unobligated balance available, start of year: Fund
balance ......................................................................
24.90 Unobligated balance available, end of year: Fund
balance ......................................................................

–268,127

–282,250

–241,888

282,250

241,888

241,086

Budget authority (gross): Spending authority from
offsetting collections ............................................

1,499,592

1,206,110

967,748

Relation of obligations to outlays:
Total obligations ............................................................
Obligated balance, start of year: Fund balance ...........
Obligated balance, end of year: Fund balance .............

1,485,469
8,614
–58,367

1,246,472
58,367
–49,000

968,550
49,000
–38,100

Outlays (gross) ..........................................................

1,435,716

1,255,839

979,450

Balance Sheet (in thousands of dollars)
Identification code 36–4126–0–3–704

1993 actual

ASSETS:
Federal assets: Fund balances
with Treasury .......................
1801 Other Federal assets: Cash
and other monetary assets

261

1999

1994 actual

354

1995 est.

1996 est.

1101

Total assets .........................
LIABILITIES:
2204 Non-Federal liabilities: Estimated Federal liability for
loan guarantees, credit reform .....................................

93

495

500

607

1 ...................... ......................
496

500

68.00

607

496

193

321

71.00
72.90
74.90

Total liabilities ....................
354
496
NET POSITION:
3100 Appropriated capital ................ ...................... ......................

193

321

87.00

307

286

3999

Total net position ................ ...................... ......................

307

286

4999

Total liabilities and net position ...............................

500

607

Adjustments to gross budget authority and outlays:
Offsetting collections from:
88.00
Federal sources: Payments from loan guarantee
direct loan financing account .............................. –1,106,677
–922,810
–733,741
Non-Federal sources:
88.40
Sale of loans .........................................................
–76,851 ................... ...................
88.40
Loan and other repayments ..................................
–78,335
–62,668
–50,134
88.40
Cash sale of properties ........................................
–153,953
–132,313
–103,325
88.40
Collection of veteran indebtedness ......................
–55,501
–65,000
–60,000
88.40
Interest income .....................................................
–76,469
–61,175
–48,940
88.40
Other Income .........................................................
48,194
37,856
28,392

354

2999

354

496

LOAN GUARANTY GUARANTEED LOAN FINANCING ACCOUNT
(Legislative proposal, subject to PAYGO)
Program and Financing (in thousands of dollars)
Identification code 36–4126–4–3–704

1994 actual

1995 est.

1996 est.

Financing:
Unobligated balance available, start of year: Fund
balance ...................................................................... ................... ................... ...................
24.90 Unobligated balance available, end of year: Fund
balance ...................................................................... ................... ...................
–15
21.90

68.00

Financing authority (gross): Spending authority
from offsetting collections .................................... ................... ...................

–14

71.00

Relation of obligations to financing disbursements:
Total obligations ............................................................ ................... ................... ...................

87.00

Financing disbursements (gross) .............................. ................... ................... ...................

Adjustments to financing authority and financing disbursements:
Offsetting collections from:
88.00
Federal sources ......................................................... ................... ...................
88.25
Interest on uninvested funds .................................... ................... ...................
88.40
Non-Federal sources .................................................. ................... ...................

14

89.00
90.00

Total, offsetting collections .................................. –1,499,592 –1,206,110

Budget authority (net) ................................................... ................... ................... ...................
Outlays (net) ..................................................................
–63,876
49,729
11,702

[In thousands of dollars]

1994 actual
1995 est.
1996 est.
Enacted/requested:
Budget Authority ..................................................................... .................... .................... ....................
Outlays ....................................................................................
–63,876
49,729
11,702
Legislative proposal, subject to PAYGO:
Budget Authority ..................................................................... .................... .................... ....................
Outlays .................................................................................... .................... ....................
–89,622

Total:
Budget Authority ..................................................................... .................... .................... ....................
Outlays ....................................................................................
–63,876
49,729
–77,920

Status of Direct Loans (in thousands of dollars)
1994 actual

Identification code 36–4025–0–3–704

89.00
90.00

Total, offsetting collections .................................. ................... ...................

Financing authority (net) ............................................... ................... ................... ...................
Financing disbursements (net) ...................................... ................... ...................
14

This schedule shows the effect of the Administration’s proposal to require a two-percent fee and a ten percent downpayment on Manufactured Home Loans.
LOAN GUARANTY REVOLVING FUND LIQUIDATING ACCOUNT
Program and Financing (in thousands of dollars)
Identification code 36–4025–0–3–704

Program by activities:
Capital investment:
00.01
Acquisition of homes .................................................
00.02
Property improvements ..............................................
00.03
Repurchase of loans sold, net ..................................
00.04
Cash advances, vendee loans ..................................
00.05
Acquisition of defaulted guaranteed loans ..............
00.91
01.01

Total capital investment .......................................
Operating expenses:
Property management expense .................................

1994 actual

1995 est.

1996 est.

762,962
32,974
36,697
4,698
77,003

583,916
25,236
28,357
3,524
73,212

1,090,608

914,334

714,245

51,328

42,150

32,307

1995 est.

1996 est.

Cumulative balance of direct loans outstanding:
1210 Outstanding, start of year .............................................
790,557
628,421
612,546
Disbursements:
1231
Direct loan disbursements ........................................
47,734 ................... ...................
1232
Purchase of loans assets from the public ............... ...................
36,697
28,357
Repayments:
1251
Repayments and prepayments ..................................
–65,317
–51,921
–50,609
1252
Proceeds from loan asset sales to the public or
discounted .............................................................
–78,952 ................... ...................
Adjustments:
1261
Capitalized interest ...................................................
3,637
2,891
2,818
1262
Discount on loan asset sales to the public or
discounted .............................................................
2,102 ................... ...................
Write-offs for default:
1263
Direct loans ...............................................................
–4,456
–3,542
–3,453
–66,884 ................... ...................
1264
Other adjustments, net1 ...........................................
1290

913,559
41,705
47,642
6,264
81,438

–967,748

Summary of Budget Authority and Outlays

21
1
–8

88.90

88.90

Outstanding, end of year ..........................................

628,421

612,546

589,659

1 Includes the adjustments made for cumulative disbursement for guaranteed loan claims and discounts on
loans sold as well as the net adjustment between the property and loan portfolios.

Status of Guaranteed Loans (in thousands of dollars)
Identification code 36–4025–0–3–704

Cumulative balance of guaranteed loans outstanding:
2210 Outstanding, start of year ...............................

1994 actual

83,216,440

1995 est.

1996 est.

38,664,639

17,626,153

VETERANS BENEFITS ADMINISTRATION—Continued
Federal Funds—Continued

DEPARTMENT OF VETERANS AFFAIRS
2251

Repayments and prepayments .........................
Adjustments:
Terminations for default that result in acquisition of property ................................
Terminations for default that result in
claim payments .......................................

–43,383,635

–20,157,226

–9,189,129

–913,558

–762,962

–583,916

–254,608

–118,298

–53,929

2290

Outstanding, end of year .............................

38,664,639

17,626,153

7,799,179

2299

Memorandum:
Guaranteed amount of guaranteed loans outstanding, end of year ..................................

18,923,236

8,636,815

3,821,598

Addendum:
Cumulative balance of defaulted guaranteed
loans that result in loans receivable:
2310
Outstanding, start of year ...........................
2331
Disbursements for guaranteed loan claims
2351
Repayments of loans receivable ..................
2361
Write-offs of loans receivable .....................

1,863,627
315,105
–110,864
–368,499

1,699,369
287,333
–65,000
–336,020

1,585,682
268,109
–60,000
–313,540

2390

1,699,369

1,585,682

1,480,251

2262
2263

Outstanding, end of year ........................

849

ference between the amount owed by the veteran on a defaulted loan and the value of the foreclosed property as
established by VA.
Individual homes:
Number of claims ...............................................................
Average amount per payment ............................................
Total obligations (in thousands) ........................................
Manufactured homes:
Number of claims ...............................................................
Average amount per payment ............................................
Total obligations (in thousands) ........................................

1994 actual

1995 est.

1996 est.

18,368
$13,776
$253,040

15,531
$14,148
$219,733

11,539
$14,572
$168,146

922
$7,089
$6,536

919
$7,280
$6,690

562
$7,498
$4,214

Statement of Operations (in thousands of dollars)

As required by the Federal Credit Reform Act of 1990,
this account records, for this program, all cash flows to and
from the Government resulting from direct loans obligated
and loan guarantees committed prior to 1992. This account
is shown on a cash basis. All new activity in this program
in 1992 and beyond (including modifications of direct loans
or loan guarantees that resulted from obligations or commitments in any year) is recorded in corresponding program and
financing accounts.
Budget program—
Acquisition of homes.
1994 actual

Number of property acquisitions processed ...........................
Average amount per acquisition ............................................
Total obligations (in thousands) ............................................

16,616
$54,981
$913,559

1995 est.

1996 est.

13,512
$56,465
$762,962

10,040
$58,159
$583,916

1995 est.

Number of properties improved ..............................................
Average amount per property .................................................
Total obligations (in thousands) ............................................

18,156
$2,297
$41,705

13,978
$2,359
$32,974

10,385
$2,430
$25,236

Repurchase of loans sold, net.
Number of loans repurchased ................................................
Average amount per repurchase ............................................
Total obligations (in thousands) ............................................

1,484
$32,104
$47,642

1995 est.

1,113
$32,971
$36,697

1996 est.

835
$33,960
$28,357

Cash advances—
Vendee loans.—Small cash advances are occasionally
made to borrowers to cover taxes, hazard insurance, and
necessary repairs. These amounts are added to the loan
balance.
1994 actual

Total obligations (in thousands) ............................................

$6,264

1995 est.

$4,698

1996 est.

$3,524

Property management expense.—Property management
expenses include all the costs of ownership of acquired properties except capitalized expenditures made incident to the
acquisition and rehabilitation of properties.
1994 actual

Average number of properties ................................................
Average amount per property .................................................
Total obligations (in thousands) ............................................

8,576
$5,985
$51,328

1994 actual

19,452
$3,931
$76,471

1996 est.

Revenue ...................................................
Expense ....................................................

1,391,386
–836,581

1,096,218
–660,973

1,009,940
–619,293

976,988
–596,154

0109

Net income or loss (–) .......................

554,805

435,245

390,647

380,834

Balance Sheet (in thousands of dollars)
Identification code 36–4025–0–3–704

1993 actual

ASSETS:
Federal assets:
1101
Fund balances with Treasury ...................................
284,381
Investments in US securities:
1106
Receivables, net ..............
394,596
Non-Federal assets:
1206
Accounts Receivable, net ....
5,180
1207
Advances and prepayments
47
Net value of assets related to
post–1991 direct loans
receivable:
1402
Interest receivable ............... ......................
1403
Credit program receivables
and related forclosed
property, net ....................
774,630
1499

1995 est.

6,857
$6,147
$42,150

1996 est.

5,103
$6,331
$32,307

1901

1995 est.

15,746
$4,037
$63,565

Net present value of assets related to direct
loans ...........................
Other Federal assets:
Property, plant and equipment, net ........................
Other assets ........................

1999

1994 actual

1995 est.

1996 est.

353,581

241,888

241,086

394,150

384,193

369,838

1,163
44

1,134
43

1,092
41

9,664

9,420

9,068

597,398

582,307

560,550

774,630

607,062

591,727

569,618

546,200
–6

533,369
519,895
500,470
–1,938 ...................... ......................

Total assets .........................
LIABILITIES:
Federal liabilities:
2101
Accounts payable ................
2105
Other ....................................
2204 Non-Federal liabilities: Liabilities for loan guarantees ....

2,005,028

1,497,954

893,773

871,195

838,644

2999

1,592,784

990,417

927,962

893,290

1,592,784

1,524,917

1,486,395

1,430,858

412,244
–1,592,784

268,504
–893,773

268,504
–893,773

268,504
–893,773

Total liabilities ....................
NET POSITION:
3200 Invested capital .......................
3300 Cumulative results of operations ...................................
3500 Future funding requirements ...

63,988
30,842

1,887,431

1,738,880

1,682,145

58,238
56,767
54,646
38,406 ...................... ......................

3999

Total net position ................

412,244

899,648

861,126

805,589

4999

Total liabilities and net position ...............................

2,005,028

1,890,065

1,789,088

1,698,879

Note.—This statement excludes unfunded contingent liabilities under loan guarantee and insurance programs.

LOAN GUARANTY REVOLVING FUND LIQUIDATING ACCOUNT

Sales expense.—Sales expense include brokers’ fees and
advertising costs incident to the sale of properties owned
by VA.
Number of sales .....................................................................
Average amount per sale .......................................................
Total obligations (in thousands) ............................................

1995 est.

0101
0102

1803
1994 actual

1994 actual

1996 est.

Property improvements.
1994 actual

1993 actual

Identification code 36–4025–0–3–704

(Legislative proposal, subject to PAYGO)
Program and Financing (in thousands of dollars)

1996 est.

11,938
$4,158
$49,638

Loss on defaulted guaranteed loans.—These payments are
made to lenders in accordance with the VA guaranty contract. In most home loan cases, they represent the dif-

Identification code 36–4025–4–3–704

1994 actual

1995 est.

1996 est.

00.07

Program by activities:
Payment to Direct Loan Financing Account Due to
Enhanced Debt Collection ......................................... ................... ...................

29,300

10.00

Total obligations (object class 43.0) ........................ ................... ...................

29,300

850

VETERANS BENEFITS ADMINISTRATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 1996
74.40

Credit accounts—Continued
LOAN GUARANTY REVOLVING FUND LIQUIDATING ACCOUNT—
Continued

Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................

87.00

Outlays (gross) ..........................................................

88.00

Adjustments to gross budget authority and outlays:
Offsetting collections from: Total offsetting collections

89.00
90.00

Budget authority (net) ...................................................
Outlays (net) ..................................................................

Program and Financing (in thousands of dollars)—Continued
Identification code 36–4025–4–3–704

1994 actual

1995 est.

118,922

71.00

Relation of obligations to outlays:
Total obligations ............................................................ ................... ...................

29,300

87.00

Outlays (gross) .......................................................... ................... ...................

29,300

Adjustments to gross budget authority and outlays:
Offsetting collections from:
88.00
Federal sources—Receipt from Financing Account
Due to Debt Collection .......................................... ................... ...................
88.40
Non-Federal sources—Enhanced Debt Collection .... ................... ...................

89.00
90.00

Total, offsetting collections .................................. ................... ...................

–89,622
–29,300

Direct loan levels supportable by subsidy budget authority:
1159 Total direct loan levels ..................................................
Direct loan subsidy (in percent):
1329 Weighted average subsidy rate .....................................
Direct loan subsidy budget authority:
1339 Total subsidy budget authority ......................................
Direct loan subsidy outlays:
1349 Total subsidy outlays .....................................................

–118,922

This schedule shows the effects of the Administration’s proposal to repeal restrictions on collection of loan guaranty
debts. VA would be permitted to collect all loan guaranty
debts by Federal salary offset or Federal income tax refund
offset.
DIRECT LOAN PROGRAM ACCOUNT
(INCLUDING TRANSFER OF FUNDS)

For the cost of direct loans, such sums as may be necessary to
carry out the purpose of the program, as authorized by 38 U.S.C.
chapter 37, as amended: Provided, That such costs, including the
cost of modifying such loans, shall be as defined in section 502 of
the Congressional Budget Act of 1974: Provided further, That during
ø1995¿ 1996, within the resources available, not to exceed
ø$1,000,000¿ $300,000 in gross obligations for direct loans are authorized for specially adapted housing loans (38 U.S.C. chapter 37).
In addition, for administrative expenses to carry out the direct
loan program, ø$1,020,000¿ $459,000, which may be transferred to
and merged with the appropriation for ‘‘General operating expenses’’.
(Departments of Veterans Affairs, Housing and Urban Development,
and Independent Agencies Appropriations Act, 1995.)

–5 ................... ...................
2,869
2,860

1,045
1,054

487
487

3510
3590

Administrative expense data:
Budget authority ............................................................
Outlays ...........................................................................

1994 actual

1995 est.

1996 est.

125

97

99

10.74

11.76

28.13

11

25

28

11

25

28

2,863
2,854

1,020
1,020

459
459

As required by the Federal Credit Reform Act of 1990,
this account records, for this program, the subsidy costs associated with the direct loans obligated in 1992 and beyond
(including modifications of direct loans that resulted from obligations in any year) as well as the administrative expenses
of this program. The subsidy amounts are estimated on a
present value basis.
Direct loans to veterans.—Specially Adapted Housing (SAH)
loans are made to certain totally disabled veterans to supplement grants authorized to assist the veteran in acquiring
suitable housing units with special features necessary due
to the nature of their disabilities. Veterans receiving SAH
loans are exempt from the loan origination fee.
Direct (vendee) loans.—A vendee loan is established when
a VA-owned property is sold on terms to a veteran or a
non-veteran. Under current law, a veteran or a non-veteran
receiving a vendee loan is charged a loan origination fee of
1 percent.
Object Classification (in thousands of dollars)
Identification code 36–1024–0–1–704

1995 est.

1996 est.

Program by activities:
00.01 Direct loan subsidy ........................................................
11
00.05 Reestimate of direct loan subsidy ................................ ...................
00.06 Interest on reestimate of direct loan subsidy ............... ...................
00.09 Administrative expenses ................................................
2,863

1995 est.

1996 est.

Total obligations ........................................................

2,874

1,045

Financing:
Budget authority (gross) ................................................

2,874

1,045

40.00
40.05

1,020
25

459
28

99.9

Total obligations ........................................................

2,874

1,045

487

487

Budget authority:
Current:
Appropriation .........................................................
Appropriation (indefinite) ......................................

2,863
11

487

39.00

Purchases of goods and services from Government
accounts ....................................................................
Grants, subsidies, and contributions ............................

11
28
13 ...................
1 ...................
1,020
459

10.00

25.3

1994 actual

41.0

Program and Financing (in thousands of dollars)
1994 actual

487

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
thousands of dollars)
Identification code 36–1024–0–1–704

Budget authority (net) ................................................... ................... ................... ...................
Outlays (net) .................................................................. ................... ...................
–89,622

Identification code 36–1024–0–1–704

1,054

89,622

Budget authority (gross): Spending authority from
offsetting collections ............................................ ................... ...................

88.90

2,865

1996 est.

Financing:
27.00 Capital transfer to general fund ................................... ................... ...................
68.00

–9 ................... ...................

DIRECT LOAN FINANCING ACCOUNT
Program and Financing (in thousands of dollars)
Identification code 36–4128–0–3–704

68.00

Appropriation (total) .........................................
Permanent:
Spending authority from offsetting collections

1,020
25

459
28

2,869

1,045

487

5 ................... ...................

Relation of obligations to outlays:
71.00 Total obligations ............................................................
2,874
72.40 Obligated balance, start of year: Unpaid obligations:
Treasury balance ....................................................... ...................

1,045

487

9 ...................

Program by activities:
Direct loans ....................................................................
Interest on Treasury borrowing ......................................
Payment of downward reestimate to program account
Payment of excess interest to program account ..........

10.00
43.00

2,863
6

00.01
00.02
00.03
00.04

1994 actual

1995 est.

1996 est.

125
97
99
48
13
16
4 ................... ...................
1 ................... ...................

Total obligations ........................................................

178

110

115

Financing:
39.00 Financing authority (gross) ...........................................

178

110

115

Financing authority:
Authority to borrow (indefinite) .................................
Spending authority from offsetting collections ........
Portion applied to debt reduction .............................

119
78
–19

72
83
–45

71
65
–21

67.15
68.00
68.47

VETERANS BENEFITS ADMINISTRATION—Continued
Federal Funds—Continued

DEPARTMENT OF VETERANS AFFAIRS
68.90

Spending authority from offsetting collections
(total) ................................................................

59

38

44

71.00
72.90
74.90

Relation of obligations to financing disbursements:
Total obligations ............................................................
Obligated balance, start of year: Fund balance ...........
Obligated balance, end of year: Fund balance .............

178
7
–80

110
80
–6

115
6
–6

87.00

Financing disbursements (gross) ..............................

105

184

115

851

NET POSITION:
Appropriated capital ................ ...................... ......................

–508

–654

3999

Adjustments to financing authority and financing disbursements:
Offsetting collections from:
88.00
Payments from Program account ..............................
–11
Non-Federal sources:
88.40
Repayments and prepayments of principal .........
–39
88.40
Interest received on loans ....................................
–26
88.40
Loan sale proceeds, net ....................................... ...................
88.40
Fees .......................................................................
–2
88.40
Other revenue ........................................................ ...................

3100

Total net position ................ ...................... ......................

–508

–654

4999

Total liabilities and net position ...............................

381

365

699

Object Classification (in thousands of dollars)
Identification code 36–4128–0–3–704

–25

–28

–1
–1
–53
–1
–2

–1
–5
–28
–1
–2

883

1994 actual

1995 est.

1996 est.

33.0
43.0

Investments and loans ..................................................
Interest and dividends ...................................................

130
48

97
13

99
16

99.9

Total obligations ........................................................

178

110

115

DIRECT LOAN REVOLVING FUND LIQUIDATING ACCOUNT
88.90

Total, offsetting collections ..................................

–78

–83

–65

89.00
90.00

Financing authority (net) ...............................................
Financing disbursements (net) ......................................

100
27

27
101

50
50

Program and Financing (in thousands of dollars)
Identification code 36–4024–0–3–704

1994 actual

1995 est.

1996 est.

Position with respect to appropriations act limitation
on obligations:
1111 Limitation on direct loans .............................................
1112 Unobligated direct loan limitation ................................
1131 Direct loan obligations exempt from limitation ............
1150

1995 est.

1,000
–875
125

1,000
–903
97

300
–201
99

250

194

198

Total direct loan obligations .....................................

Cumulative balance of direct loans outstanding:
1210 Outstanding, start of year .............................................
305
1231 Disbursements: Direct loan disbursements ...................
105
Repayments:
1251
Repayments and prepayments ..................................
–65
1253
Proceeds from loan asset sales to the public with
recourse ................................................................. ...................
1262 Adjustments: Discount on loan asset sales to the
public or discounted prepayments ............................
47
1290

1996 est.

Outstanding, end of year ..........................................

392
97
–1

–1

–53

–28

–10

–5

425

392

425
99

Balance Sheet (in thousands of dollars)

ASSETS:
Federal assets: Fund balances
with Treasury .......................
Net value of assets related to
post–1991 direct loans
receivable:
1403
Accounts receivable from
foreclosed property ..........

1993 actual

1994 actual

1995 est.

1996 est.

1101

1499

Net present value of assets related to direct
loans ...........................

427

120
22

104
20

161

142

124

01.01
01.02

Total capital investment .......................................
Operating expenses:
Property management and operating expense .........
Sales expense ............................................................

128
18

116
7

112
10

01.91

Total operating expenses ......................................

146

123

122

Total obligations ........................................................

307

265

246

Financing:
21.90 Unobligated balance available, start of year: Fund
balance ......................................................................
–8,165
–14,185 ...................
24.90 Unobligated balance available, end of year: Fund
balance ......................................................................
14,185 ................... ...................
25.00 Unobligated balance expiring ........................................ ...................
18,933
3,865

490

As required by the Federal Credit Reform Act of 1990,
this non-budgetary account records all cash flows to and from
the Government resulting from direct loans obligated in 1992
and beyond (including modifications of direct loans that resulted from obligations in any year). The amounts in this
account are a means of financing and are not included in
the budget totals.

Identification code 36–4128–0–3–704

137
24

10.00

1994 actual

Identification code 36–4128–0–3–704

Program by activities:
Capital investment:
00.01
Cash advances, repurchases and other ...................
00.02
Property improvements ..............................................
00.91

Status of Direct Loans (in thousands of dollars)

510 ...................... ......................

39.00
68.00

Budget authority (gross) ...........................................
Budget authority (gross): Spending authority from offsetting collections .....................................................

6,327

5,013

4,111

6,327

5,013

4,111

71.00
72.90
74.90

Relation of obligations to outlays:
Total obligations ............................................................
Obligated balance, start of year: Fund balance ...........
Obligated balance, end of year: Fund balance .............

307
1,666
–2,674

265
2,674
–711

246
711
–579

87.00

Outlays (gross) ..........................................................

–701

2,228

378

Adjustments to gross budget authority and outlays:
Offsetting collections from:
88.00
Federal sources: Recoveries from Direct Loan Financing Account ...................................................
Non-Federal sources:
88.40
Loan and other repayments ..................................
88.40
Sale of properties, cash .......................................
88.40
Interest on loans ...................................................
88.40
Other revenues ......................................................

–125

–64

–66

–5,460
–159
–1,797
1,214

–4,368
–54
–1,438
911

–3,494
–84
–1,150
683

88.90

–6,327

–5,013

–4,111

89.00
90.00
272

373

381

Total, offsetting collections ..................................

Budget authority (net) ................................................... ................... ................... ...................
Outlays (net) ..................................................................
–7,028
–2,785
–3,733

365

Status of Direct Loans (in thousands of dollars)
272

373

381

365

Identification code 36–4024–0–3–704

1994 actual

1995 est.

1996 est.

Total assets .........................
699
LIABILITIES:
2101 Federal liabilities: Accounts
payable ................................ ......................
Non-Federal liabilities:
2201
Accounts payable ................
6
2203
Debt .....................................
693

71
803

13 ......................
876
1,019

2999

883

889

Total liabilities ....................

699

883

381

365

9 ...................... ......................

1,019

–159
–1,802

–113
–1,280

–78
–879

1290

1999

Cumulative balance of direct loans outstanding:
1210 Outstanding, start of year .............................................
1251 Repayments: Repayments and prepayments .................
1261 Adjustments: Capitalized interest .................................
Write-offs for default:
1263
Direct loans ...............................................................
1264
Other adjustments, net .............................................

16,847

11,574

7,951

Outstanding, end of year ..........................................

23,709
16,847
11,574
–5,460
–3,880
–2,666
559 ................... ...................

852

VETERANS BENEFITS ADMINISTRATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 1996

Credit accounts—Continued
DIRECT LOAN REVOLVING FUND LIQUIDATING ACCOUNT—Continued

Identification code 36–1120–0–1–704

Statement of Operations (in thousands of dollars)
1993 actual

1994 actual

0101
0102

Revenue ...................................................
Expense ....................................................

30,758
–148

1,980
–225

1,569
–165

1,287
–103

0109

Net income or loss (–) .......................

30,610

1,755

1,404

1,184

Identification code 36–4024–0–3–704

1995 est.

1996 est.

Balance Sheet (in thousands of dollars)
Identification code 36–4024–0–3–704

1993 actual

1994 actual

ASSETS:
1101 Federal assets: Fund balances
with Treasury .......................
10,552
1206 Non-Federal assets: Receivables, net ............................
22,327
1403 Net value of assets related to
post–1991 direct loans receivable: Accounts receivable from foreclosed property ....................................... ......................
Other Federal assets:
1803
Property, plant and equipment, net ........................ ......................
1901
Other assets ........................
244
1999

Total assets .........................
LIABILITIES:
Federal liabilities:
2101
Accounts payable ................
2105
Other ....................................

33,123
1,893
618

2999

1995 est.

17,676

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
thousands of dollars)
1994 actual

Direct loan levels supportable by subsidy budget authority:
1159 Total direct loan levels ..................................................
Direct loan subsidy (in percent):
1329 Weighted average subsidy rate .....................................
Direct loan subsidy budget authority:
1339 Total subsidy budget authority ......................................
Direct loan subsidy outlays:
1349 Total subsidy outlays .....................................................

1995 est.

1996 est.

763

13,293

17,538

7.72

7.72

7.72

59

1,026

1,354

59

1,026

1,354

156
148

218
218

455
455

1996 est.

16,847

11,574

3510
3590

Administrative expense data:
Budget authority ............................................................
Outlays ...........................................................................

–30 ...................... ......................

Object Classification (in thousands of dollars)
Identification code 36–1120–0–1–704

1994 actual

1995 est.

1996 est.

41.0

16,804

16,016

11,003

38
36
25
80 ...................... ......................
34,568

32,899

25.3

Purchases of goods and services from Government
accounts ....................................................................
Grants, subsidies, and contributions ............................

156
59

218
1,026

455
1,354

99.9

Total obligations ........................................................

215

1,244

1,809

22,602

1,590
1,383
1,203
618 ...................... ......................

Total liabilities ....................
2,511
NET POSITION:
3200 Invested capital ....................... ......................
3300 Cumulative results of operations ...................................
30,612

2,208

1,383

1,203

16,842

8,206

2,047

3999

Total net position ................

30,612

32,299

8,206

2,047

4999

Total liabilities and net position ...............................

33,123

34,507

9,589

3,250

NATIVE AMERICAN VETERAN HOUSING DIRECT LOAN FINANCING
ACCOUNT
Program and Financing (in thousands of dollars)
Identification code 36–4130–0–3–704

1994 actual

1995 est.

1996 est.

15,457 ...................... ......................
00.01
00.02
00.03
00.04
00.05

Program by activities:
Direct loans1 ..................................................................
763
13,293
Interest on Treasury borrowing ......................................
23
517
Property sales expense .................................................. ................... ...................
Property management expense ...................................... ................... ...................
Property improvement expense ...................................... ................... ...................

17,538
1,553
5
3
2

10.00

Total obligations ........................................................

786

13,810

19,101

(INCLUDING TRANSFER OF FUNDS)

39.00

Financing:
Financing authority (gross) ...........................................

786

13,810

19,101

For administrative expenses to carry out the direct loan program
authorized by section 38, U.S.C. chapter 37, subchapter V, as amended, ø$218,000¿ $455,000, which may be transferred to and merged
with the appropriation for ‘‘General operating expenses’’. (Departments of Veterans Affairs and Housing and Urban Development, and
Independent Agencies Appropriations Act, 1995.)

67.15
68.00
68.47

Financing authority:
Authority to borrow (indefinite) .................................
721
Spending authority from offsetting collections ........
65
Portion applied to debt reduction ............................. ...................

12,267
1,836
–293

16,184
3,904
–987

65

1,543

2,917

Relation of obligations to financing disbursements:
Total obligations ............................................................
786
Obligated balance, start of year: Treasury balance ...................
Obligated balance, end of year: Treasury balance .......
–455

13,810
455
–455

19,101
455
–455

13,810

19,101

NATIVE AMERICAN VETERAN HOUSING LOAN PROGRAM ACCOUNT

68.90

Spending authority from offsetting collections
(total) ................................................................

Program and Financing (in thousands of dollars)
Identification code 36–1120–0–1–704

1994 actual

1995 est.

1996 est.

Program by activities:
00.01 Direct loan subsidy ........................................................
00.09 Administrative expenses ................................................

59
156

1,026
218

1,354
455

10.00

215

1,244

1,809

Total obligations ........................................................

Financing:
Unobligated balance available, start of year: Treasury
balance ......................................................................
24.40 Unobligated balance available, end of year: Treasury
balance ......................................................................
21.40

40.00

Budget authority (appropriation) ..............................

–4,500

–4,441

–3,415

4,441

3,415

2,061

156

218

455

Relation of obligations to outlays:
Total obligations ............................................................
215
1,244
1,809
Obligated balance, start of year: Unpaid obligations:
Treasury balance ....................................................... ...................
8 ...................
74.40 Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................
–8 ................... ...................
71.00
72.40

90.00

Outlays .......................................................................

207

1,252

71.00
72.40
74.40
87.00

Financing disbursements (gross) ..............................

331

Adjustments to financing authority and financing disbursements:
Offsetting collections from:
88.00
Payments from program account ..............................
–59
–1,026
–1,354
Non-Federal sources:
88.40
Repayment of principal ........................................ ...................
–51
–165
88.40
Interest received on loans ....................................
–5
–691
–2,110
88.40
Funding and Processing Fees ...............................
–1 ................... ...................
88.40
Cash sale of properties ........................................ ...................
–68
–275
88.90

Total, offsetting collections ..................................

–65

–1,836

–3,904

89.00
90.00

Financing authority (net) ...............................................
Financing disbursements (net) ......................................

721
266

11,974
11,974

15,197
15,197

1,809
1 Direct

loan obligations include funding for construction loans in progress.

VETERANS BENEFITS ADMINISTRATION—Continued
Federal Funds—Continued

DEPARTMENT OF VETERANS AFFAIRS
00.09

1994 actual

1995 est.

1996 est.

Administrative expenses ................................................

186

195

203

10.00

Status of Direct Loans (in thousands of dollars)
Identification code 36–4130–0–3–704

853

Total obligations ........................................................

186

196

204

Position with respect to appropriations act limitation
on obligations:
1111 Limitation on direct loans ............................................. ................... ................... ...................
1112 Unobligated direct loan limitation ................................
–57,637
–44,344
–26,806
1113 Unobligated limitation carried forward .........................
58,400
57,637
44,344

Financing:
25.00 Unobligated balance expiring ........................................
40.00

Budget authority (appropriation) ..............................

187

196

204

1150

17,538

71.00

Relation of obligations to outlays:
Total obligations ............................................................

186

196

204

Cumulative balance of direct loans outstanding:
Outstanding, start of year ............................................. ...................
763
14,005
Disbursements: Direct loan disbursements ...................
331
13,293
17,538
Repayments: Repayments and prepayments .................
–6
–51
–165
Write-offs for default: Other adjustments, net .............
438 ................... ...................

90.00

Outlays .......................................................................

186

196

204

1210
1231
1251
1264
1290

Total direct loan obligations .....................................

763

Outstanding, end of year ..........................................

13,293

763

14,005

31,378

Balance Sheet (in thousands of dollars)
Identification code 36–4130–0–3–704

1993 actual

1994 actual

ASSETS:
Investments in US securities:
1106
Federal assets: Receivables,
net ................................... ......................
1401 Net value of assets related to
post–1991 direct loans receivable: Direct loans receivable, gross .................... ......................
1901 Other Federal assets: Other
assets .................................. ......................
1999

Total assets .........................
LIABILITIES:
2101 Federal liabilities: Accounts
payable ................................
Non-Federal liabilities:
2202
Interest payable ...................
2203
Debt from borrowing authority ....................................

......................

1995 est.

1996 est.

721 ...................... ......................

325

14,005

31,378

112 ...................... ......................
1,158

14,005

31,378

......................

1 ...................... ......................

......................

454 ...................... ......................

......................

703

11,974

27,172

Total liabilities .................... ......................
1,158
NET POSITION:
3100 Appropriated capital ................ ...................... ......................

11,974
2,031

4,206

2,031

4,206

14,005

31,378

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
thousands of dollars)
Identification code 36–1118–0–1–702

3999

Total net position ................ ...................... ......................

4999

Total liabilities and net position ............................... ......................

1,158

1994 actual

1995 est.

Direct loan levels supportable by subsidy budget authority:
1159 Total direct loan levels .................................................. ...................
Direct loan subsidy (in percent):
1329 Weighted average subsidy rate .....................................
0.00
Direct loan subsidy budget authority:
1339 Total subsidy budget authority ...................................... ...................
Direct loan subsidy outlays:
1349 Total subsidy outlays ..................................................... ...................

1996 est.

4

4

26.30

26.53

1

1

1

1

The Education Loan program provides loans of up to $2,500
to dependents of veterans who are eligible for training benefits under chapter 35, title 38, U.S.C. and who are without
sufficient funds to meet their education related expenses.
As required by the Federal Credit Reform Act of 1990,
this account records, for the Education Loan program, the
subsidy costs associated with the direct loans obligated in
1992 and beyond, as well as the administrative expenses of
this program. The subsidy amounts are estimated on a
present value basis; the administrative expenses are estimated on a cash basis.

27,172

2999

1 ................... ...................

Object Classification (in thousands of dollars)
Identification code 36–1118–0–1–702

25.3
41.0
99.9

1994 actual

1995 est.

Purchases of goods and services from Government
accounts ....................................................................
186
Grants, subsidies, and contributions ............................ ...................
Total obligations ........................................................

1996 est.

195
1
196

186

203
1
204

Object Classification (in thousands of dollars)
Identification code 36–4130–0–3–704

1994 actual

1995 est.

1996 est.

33.0
43.0

Investments and loans ..................................................
Interest and dividends ...................................................

763
23

13,293
517

99.9

Total obligations ........................................................

786

13,810

EDUCATION DIRECT LOAN FINANCING ACCOUNT

17,548
1,553
19,101

Program and Financing (in thousands of dollars)
Identification code 36–4113–0–3–702

1994 actual

1995 est.

1996 est.

EDUCATION LOAN FUND PROGRAM ACCOUNT

00.01

Program by activities:
Direct loans .................................................................... ...................

4

4

(INCLUDING TRANSFER OF FUNDS)

10.00

Program and Financing (in thousands of dollars)
Identification code 36–1118–0–1–702

00.01

1994 actual

Program by activities:
Direct loan subsidy ........................................................ ...................

1995 est.

1996 est.

1

1

Total obligations ........................................................ ...................

4

4

Financing:
39.00 Financing authority (gross) ........................................... ...................

4

4

67.15
68.00

Financing authority:
Authority to borrow (indefinite) ................................. ...................
Spending authority from offsetting collections ........ ...................

3
1

3
1

71.00

Relation of obligations to financing disbursements:
Total obligations ............................................................ ...................

4

4

87.00

Financing disbursements (gross) .............................. ...................

4

4

Adjustments to financing authority and financing disbursements:
88.00 Offsetting collections from: Federal sources ................. ...................

For the cost of direct loans, ø$1,061¿ $1,093, as authorized by
38 U.S.C. 3698, as amended: Provided, That such costs, including
the cost of modifying such loans, shall be as defined in section 502
of the Congressional Budget Act of 1974: Provided further, That these
funds are available to subsidize gross obligations for the principal
amount of direct loans not to exceed ø$4,034¿ $4,120.
In addition, for administrative expenses necessary to carry out
the direct loan program, ø$195,000¿ $203,000, which may be transferred to and merged with the appropriation for ‘‘General operating
expenses.’’ (Departments of Veterans Affairs, Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.)

–1

–1

3
3

3
3

89.00
90.00

Financing authority (net) ............................................... ...................
Financing disbursements (net) ...................................... ...................

854

VETERANS BENEFITS ADMINISTRATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 1996
90.00

Credit accounts—Continued

Outlays (net) ..................................................................

–794

–609

–457

EDUCATION DIRECT LOAN FINANCING ACCOUNT—Continued
Status of Direct Loans (in thousands of dollars)

Status of Direct Loans (in thousands of dollars)
1994 actual

Identification code 36–4113–0–3–702

1995 est.

Position with respect to appropriations act limitation
on obligations:
1111 Limitation on direct loans ............................................. ...................

4

4

1150

4

4

1210
1231
1251
1263
1290

Total direct loan obligations ..................................... ...................
Cumulative balance of direct loans outstanding:
Outstanding, start of year .............................................
Disbursements: Direct loan disbursements ...................
Repayments: Repayments and prepayments .................
Write-offs for default: Direct loans ...............................

................... ...................
4
...................
4
4
................... ................... ...................
................... ................... ...................

Outstanding, end of year .......................................... ...................

4

8

As required by the Federal Credit Reform Act of 1990,
this non-budgetary account records all cash flows to and from
the Government resulting from direct loans obligated in 1992
and beyond. The amounts in this account are a means of
financing and are not included in the budget totals.
Balance Sheet (in thousands of dollars)
Identification code 36–4113–0–3–702

1993 actual

1994 actual

1995 est.

ASSETS:
Net value of assets related to
post–1991 direct loans
receivable:
1401
Direct loans receivable,
gross ............................... ...................... ......................

1994 actual

Identification code 36–4118–0–3–702

1996 est.

Cumulative balance of direct loans outstanding:
1210 Outstanding, start of year .............................................
1251 Repayments: Repayments and prepayments .................
Write-offs for default:
1263
Direct loans ...............................................................
1264
Other adjustments, net .............................................
1290

1995 est.

3,682
–527

1996 est.

3,392
–404

2,988
–304

–434 ................... ...................
671 ................... ...................

Outstanding, end of year ..........................................

3,392

2,988

2,684

As required by the Federal Credit Reform Act of 1990,
this account records, for the Education Loan fund, all cash
flows to and from the Government resulting from direct loans
obligated prior to 1992. All new activity in this program in
1992 and beyond is recorded in corresponding program and
financing accounts.
WORKLOAD, AMOUNT LOANED AND REPAID
1994 actual

Number of loans outstanding .....................................................
Average amount per loan outstanding .......................................
Repayment of loans (in thousands) ...........................................

1996 est.

1995 est.

4,132
$821
$527

1996 est.

3,980
$751
$404

3,830
$701
$304

Statement of Operations (in thousands of dollars)
1993 actual

Identification code 36–4118–0–3–702

1994 actual

1995 est.

1996 est.

0101
0102
4

8

4
4

8

3

6

2999

Total liabilities .................... ...................... ......................
NET POSITION:
3100 Appropriated capital ................ ...................... ......................

3

6

1

2

3999

Total net position ................ ...................... ......................

1

2

4999

Total liabilities and net position ............................... ...................... ......................

4

8

457
–4,887

266
–431

205
..................

153
..................

0109

Net income or loss (–) .......................

–4,430

–165

205

153

8

Total assets ......................... ...................... ......................
LIABILITIES:
2103 Federal liabilities: Debt ........... ...................... ......................

Revenue ...................................................
Expense ....................................................

1499

Net present value of assets related to direct
loans ........................... ...................... ......................

Balance Sheet (in thousands of dollars)
Identification code 36–4118–0–3–702

1999

EDUCATION LOAN FUND LIQUIDATING ACCOUNT
Program and Financing (in thousands of dollars)
Identification code 36–4118–0–3–702

1993 actual

ASSETS:
Federal assets:
1101
Fund balances with Treasury ...................................
Investments in US securities:
1106
Receivables, net ..............
Net value of assets related to
pre–1992 direct loans receivable and acquired
defaulted
guaranteed
loans receivable:
1601
Direct loans, gross ..............
1603
Allowance for estimated
uncollectible loans and
interest (–) ......................
1699

Value of assets related
to direct loans ............

1995 est.

Financing:
Unobligated balance available, start of year: Fund
balance ......................................................................
–6,984
–7,777 ...................
24.90 Unobligated balance available, end of year: Fund
balance ......................................................................
7,777 ................... ...................
25.00 Unobligated balance expiring ........................................ ...................
8,386
457

71.00
72.90
74.90

Outlays (gross) ..........................................................

88.40

Adjustments to gross budget authority and outlays:
Offsetting collections from: Deductions for offsetting
collections: Non-Federal sources ...............................

89.00

793

609

457

Relation of obligations to outlays:
Total obligations ............................................................ ................... ................... ...................
Obligated balance, start of year: Fund balance ...........
214
213
213
Obligated balance, end of year: Fund balance .............
–213
–213
–213

87.00

1996 est.

7,569 ...................... ......................

213

213

213

213

3,682

3,392

2,988

2,684

–2,455

–2,261

–1,992

–1,789

1,227

1,131

996

895

Total assets .........................
NET POSITION:
3100 Appropriated capital ................
3300 Cumulative results of operations ...................................

7,998

8,913

1,209

1,108

8,322

8,322

8,322

8,322

–578

585

–7,113

–7,214

3999

Total net position ................

7,744

8,907

1,209

1,108

Total liabilities and net position ...............................

7,744

8,907

1,209

1,108

1996 est.

21.90

Budget authority (gross): Spending authority from
offsetting collections ............................................

1995 est.

4999

1994 actual

1999

68.00

6,558

1994 actual

–1 ................... ...................

–793

–609

–457

Budget authority (net) ................................................... ................... ................... ...................

VOCATIONAL REHABILITATION LOANS PROGRAM ACCOUNT
(INCLUDING

TRANSFER OF FUNDS)

For the cost of direct loans, ø$54,000¿ $56,000, as authorized by
38 U.S.C. chapter 31, as amended: Provided, That such costs, including the cost of modifying such loans, shall be as defined in section
502 of the Congressional Budget Act of 1974: Provided further, That
these funds are available to subsidize gross obligations for the principal amount of direct loans not to exceed ø$1,964,000¿ $2,022,000.

VETERANS BENEFITS ADMINISTRATION—Continued
Federal Funds—Continued

DEPARTMENT OF VETERANS AFFAIRS
In addition, for administrative expenses necessary to carry out
the direct loan program, ø$767,000¿ $377,000, which may be transferred to and merged with the appropriation for ‘‘General operating
expenses’’. (Departments of Veterans Affairs, Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.)
Program and Financing (in thousands of dollars)
Identification code 36–1114–0–1–702

1994 actual

VOCATIONAL REHABILITATION DIRECT LOAN FINANCING ACCOUNT
Program and Financing (in thousands of dollars)

00.01
00.09

Program by activities:
Direct loan subsidy ........................................................
Administrative expenses ................................................

48
751

54
767

56
377

10.00

Total obligations ........................................................

799

821

433

25.00

Financing:
Unobligated balance expiring ........................................

39.00

Budget authority ........................................................

40.00
42.00

Budget authority:
Appropriation .............................................................
Transferred from other accounts ..............................

43.00

Appropriation (total) .............................................

7 ................... ...................
821

821

433

2,001

2,058

2,201

2,001

2,058

Financing authority:
Authority to borrow (indefinite) .................................
Spending authority from offsetting collections ........
Portion applied to debt reduction .............................

1,969
2,069
–1,837

2,001
2,032
–2,032

2,058
2,033
–2,033

67.15
68.00
68.47
68.90

Relation of obligations to financing disbursements:
Total obligations ............................................................
Obligated balance, start of year: Unpaid obligations:
Treasury balance .......................................................
74.40 Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................

Direct loan levels supportable by subsidy budget authority:
1159 Total direct loan levels ..................................................
Direct loan subsidy (in percent):
1329 Weighted average subsidy rate .....................................
Direct loan subsidy budget authority:
1339 Total subsidy budget authority ......................................
Direct loan subsidy outlays:
1349 Total subsidy outlays .....................................................

3510
3590

Administrative expense data:
Budget authority ............................................................
Outlays ...........................................................................

1994 actual

1995 est.

41.0
99.9

Purchases of goods and services from Government
accounts ....................................................................
Grants, subsidies, and contributions ............................
Total obligations ........................................................

2,001

2,058

1,150

1,067 ...................

–1,067 ................... ...................
2,284

3,068

2,058

Adjustments to financing authority and financing disbursements:
Offsetting collections from:
88.00
Payments from program account ..............................
88.40
Non-Federal sources ..................................................

–48
–2,021

–54
–1,978

–56
–1,977

88.90

Total, offsetting collections ..................................

–2,069

–2,032

–2,033

Financing authority (net) ...............................................
Financing disbursements (net) ......................................

132
214

–31
1,036

25
25

Status of Direct Loans (in thousands of dollars)
1994 actual

Identification code 36–4112–0–3–702

1995 est.

1996 est.

1,964

2,022

2.18

2.75

2.77

48

54
54

56

751
412

767
1,106

377
377

2,201

1,964

2,022

Total direct loan obligations .....................................

2,201

1,964

2,022

1210
1231
1251
1263

Cumulative balance of direct loans outstanding:
Outstanding, start of year .............................................
Disbursements: Direct loan disbursements ...................
Repayments: Repayments and prepayments .................
Write-offs for default: Direct loans ...............................

637
2,201
–1,951
–9

878
1,964
–1,978
–10

854
2,022
–1,977
–10

1290

Outstanding, end of year ..........................................

878

854

889

56

48

Position with respect to appropriations act limitation
on obligations:
1111 Limitation on direct loans .............................................
1150

2,201

Object Classification (in thousands of dollars)

25.3

2,201

Financing disbursements (gross) ..............................

1996 est.

This fund provides loans up to $774 (based on indexed
Chapter 31 Subsistence allowance rate) to veterans enrolled
in a program of vocational rehabilitation who are temporarily
in need of additional funds to meet their expenses. As required by the Federal Credit Reform Act of 1990, this account
records, for this program, the subsidy costs associated with
the direct loans obligated in 1992 and beyond, as well as
the administrative expenses of this program. The subsidy
amounts are estimated on a present value basis; the administrative expenses are estimated on a cash basis.

Identification code 36–1114–0–1–702

232 ................... ...................

89.00
90.00

433

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
thousands of dollars)
Identification code 36–1114–0–1–702

Spending authority from offsetting collections
(total) ................................................................

71.00
72.40

90.00

1,160

2,022
36

2,201

87.00

460

1,964
37

Total obligations ........................................................

Relation of obligations to outlays:
Total obligations ............................................................
799
821
433
Obligated balance, start of year: Unpaid obligations:
Treasury balance ....................................................... ...................
339 ...................
74.40 Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................
–339 ................... ...................
71.00
72.40

Outlays .......................................................................

Program by activities:
Direct loans ....................................................................
2,201
Interest on Treasury borrowing ...................................... ...................

1996 est.

Financing:
39.00 Financing authority (gross) ...........................................

433

804
821
433
2 ................... ...................
806

1995 est.

1996 est.

10.00

806

1994 actual

Identification code 36–4112–0–3–702

00.01
00.02

1995 est.

855

1994 actual

1995 est.

1996 est.

Balance Sheet (in thousands of dollars)
Identification code 36–4112–0–3–702

1499
751
48
799

767
54
821

377
56
433

1993 actual

ASSETS:
Federal assets:
1101
Fund balances with Treasury ................................... ......................
Investments in US securities:
1106
Receivables, net .............. ......................
Net value of assets related to
post–1991 direct loans
receivable:
1401
Direct loans receivable,
gross ............................... ......................

1999

Net present value of assets related to direct
loans ........................... ......................

Total assets ......................... ......................
LIABILITIES:
Federal liabilities:
2101
Accounts payable ................ ......................

1994 actual

2,476

1995 est.

1,020

1996 est.

1,129

208 ...................... ......................

878

854

889

878

854

889

3,562

1,874

2,018

355 ...................... ......................

856

VETERANS BENEFITS ADMINISTRATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 1996
4999

Credit accounts—Continued
VOCATIONAL REHABILITATION DIRECT LOAN FINANCING ACCOUNT—
Continued

Total liabilities and net position ...............................

Balance Sheet (in thousands of dollars)—Continued
Identification code 36–4112–0–3–702

2102
2103

1993 actual

1994 actual

Trust Funds

1995 est.

POST-VIETNAM ERA VETERANS EDUCATION ACCOUNT

1996 est.

Interest payable ................... ......................
Debt ..................................... ......................

138
2,424

123
2,837

127
2,812

Total liabilities .................... ......................
NET POSITION:
3300 Cumulative results of operations ................................... ......................

2,917

2,960

2,939

2999

1,721 ...................... ...................... ......................

Unavailable Collections (in thousands of dollars)
1994 actual

Identification code 36–8133–0–7–702

1995 est.

1996 est.

–1,086

–921

3999

Total net position ................ ......................

645

–1,086

–921

4999

Total liabilities and net position ............................... ......................

3,562

1,874

56,412

56,412

56,412

8,809
27,718

7,395
28,305

6,422
20,978

02.99

645

Balance, start of year:
01.99 Balance, start of year ....................................................
Receipts:
02.01 Deductions from military pay ........................................
02.02 Contributions ..................................................................
Total receipts .............................................................

36,527

35,700

27,400

Total: Balances and collections ................................
Appropriation:
05.01 Post-Vietnam era veterans education account .............

92,939

92,112

83,812

–36,527

–35,700

–27,400

05.99
07.99

–36,527
56,412

–35,700
56,412

–27,400
56,412

2,018
04.00

As required by the Federal Credit Reform Act of 1990,
this non-budgetary account records all cash flows to and from
the Government resulting from direct loans obligated in 1992
and beyond. The amounts in the account are means of financing and are not included in the budget totals.

Subtotal appropriation ..............................................
Total balance, end of year ............................................

Program and Financing (in thousands of dollars)

Object Classification (in thousands of dollars)
1994 actual

Identification code 36–8133–0–7–702
1994 actual

Identification code 36–4112–0–3–702

1995 est.

1995 est.

1996 est.

1996 est.

99.9

Investments and loans ..................................................
2,201
Interest and dividends ................................................... ...................
Total obligations ........................................................

1,964
37
2,001

2,201

2,022
36
2,058

VOCATIONAL REHABILITATION REVOLVING FUND LIQUIDATING
ACCOUNT

1994 actual

1995 est.

Program by activities:
Payment to post-Vietnam era trainees .........................
Payment to section 901 trainees ..................................
Participant disenrollments .............................................

46,621
1,493
29,768

33,963
1,391
45,979

24,833
1,299
21,947

Total obligations ........................................................

77,882

81,333

48,079

Financing:
21.40 Unobligated balance available, start of year: Treasury
balance ......................................................................
24.40 Unobligated balance available, end of year: Treasury
balance ......................................................................

–305,235

–263,880

–218,247

263,880

218,247

197,568

39.00

Program and Financing (in thousands of dollars)
Identification code 36–4114–0–3–702

00.01
00.02
00.03
10.00

33.0
43.0

Budget authority ........................................................

36,527

35,700

27,400

60.27
60.45

Budget authority:
Appropriation (trust fund, indefinite) .......................
Portion precluded from obligation ............................

45,336
–8,809

43,095
–7,395

33,822
–6,422

63.00

Appropriation (total) .............................................

36,527

35,700

27,400

77,882

81,333

48,079

1996 est.

Financing:
21.90 Unobligated balance available, start of year: Fund
balance ......................................................................
–1,721 ................... ...................
24.90 Unobligated balance available, end of year: Fund
balance ...................................................................... ................... ................... ...................
27.00 Capital transfer to general fund ...................................
1,721 ................... ...................
39.00

Budget authority ........................................................ ................... ................... ...................

71.00

Relation of obligations to outlays:
Total obligations ............................................................ ................... ................... ...................

90.00

Relation of obligations to outlays:
Total obligations ............................................................
Obligated balance, start of year: Unpaid obligations:
Treasury balance .......................................................
74.40 Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................

7,726

5,706

4,193

–5,706

–4,193

–3,014

90.00

79,902

82,846

49,258

71.00
72.40

Outlays ....................................................................... ................... ................... ...................

As required by the Federal Credit Reform Act of 1990,
this account records, for the Vocational Rehabilitation Revolving Fund, all cash flows to and from the Government resulting from direct loans obligated prior to 1992. All new activity
in this program in 1992 and beyond is recorded in corresponding program and financing accounts.
Balance Sheet (in thousands of dollars)
Identification code 36–4114–0–3–702

1101

ASSETS:
Federal assets: Fund balances
with Treasury .......................

1999

Total assets .........................
NET POSITION:
3100 Appropriated capital ................
3300 Cumulative results of operations ...................................
3999

Total net position ................

1993 actual

1994 actual

1995 est.

1996 est.

Outlays .......................................................................

This account consists of voluntary contributions by eligible
servicepersons and matching contributions provided by the
Department of Defense. The fund provides educational assistance payments to participants who entered the service after
December 31, 1976, and are pursuing training under chapter
32, title 38, U.S.C. Section 901 is a non-contributory program
with educational assistance provided by the Department of
Defense. Public Law 99–576, enacted October 28, 1986, closed
the program permanently for new enrollments effective March
31, 1987. The estimated activity in the fund follows:
CONTRIBUTIONS, PARTICIPANTS, DISENROLLMENTS, REFUNDS AND TRAINEES
[In thousands]

1,721 ...................... ...................... ......................
1,721 ...................... ...................... ......................
3,447 ...................... ...................... ......................
–1,726 ...................... ...................... ......................
1,721 ...................... ...................... ......................

1994 actual

Total budget authority .................................................................
Servicepersons ........................................................................
Transferred from Department of Defense (bonus) .................
Transferred from Department of Defense (matching) ............
Transferred from Department of Defense (Section 901) ........
Transferred from Department of Defense (Section 903) ........
Total participants (end of year) ..................................................
Total contributors (end of year) ..................................................

1995 est.

1996 est.

$36,527
$35,700
$27,400
$8,809
$7,395
$6,422
8,000
11,885
8,690
18,930
15,029
10,989
672
1,391
1,299
116 .................... ....................
375,020
340,429
325,729
3,424
2,900
2,500

VETERANS BENEFITS ADMINISTRATION—Continued
Trust Funds—Continued

DEPARTMENT OF VETERANS AFFAIRS
Average contribution per contributor (actual dollars) ................
Number of disenrollments ...........................................................
Total refunds ...............................................................................
Total trainees ..............................................................................
Total trainee cost ........................................................................
Average cost per trainee (actual dollars) ...................................
Section 901 trainees ...................................................................
Section 901 trainee cost .............................................................

$2,573
19,941
$29,768
25,529
$46,621
$1,826
277
$1,493

$2,550
34,591
$45,979
18,600
$33,963
$1,826
258
$1,391

$2,569
14,700
$21,947
13,600
$24,833
$1,826
241
$1,299

The status of the fund, excluding noncash transactions, is
as follows (in thousands of dollars):
1994 actual

Undisbursed balance of fund, start of year ...............................

–1,016,821

–1,070,010

–1,123,920

87.00

Outlays (gross) .............................................

1,712,257

1,810,090

1,823,520

Adjustments to gross budget authority and outlays:
Offsetting collections from:
Non-Federal sources:
88.40
Repayments of loans ...............................
88.40
Repayment of liens .................................
88.40
Optional settlements ...............................
88.40
Net income offsets adjustments .............

–118,873
–325
–7,546
–361,747

–122,550
–320
–7,400
–401,090

–119,630
–310
–7,250
–385,810

1996 est.

–198,659

–145,631

88.90

Total, offsetting collections .....................

–488,491

–531,360

–513,000

89.00
90.00

Budget authority (net) ......................................
Outlays (net) .....................................................

1,417,259
1,223,765

1,370,830
1,278,730

1,335,290
1,310,520

7,395

6,422

27,718

28,305

20,978

Total annual income ......................................................

36,527

35,700

27,400

Cash outlays during the year:
Payments to trainees ..............................................................
Refunds to participants (disenrollments) ..............................

48,114
29,768

35,354
45,979

26,132
21,947

Total cash outlay ...........................................................

77,882

81,333

48,079

Balance unavailable for obligation ........................................
Undisbursed balance of fund, end of year .................................

–8,809
198,659

–7,395
145,631

–6,422
118,530

Object Classification (in thousands of dollars)
1994 actual

1995 est.

1996 est.

41.0
44.0

Grants, subsidies, and contributions ............................
Refunds ..........................................................................

48,114
29,768

35,354
45,979

26,132
21,947

99.9

Total obligations ........................................................

77,882

81,333

48,079

NATIONAL SERVICE LIFE INSURANCE FUND
Program and Financing (in thousands of dollars)

Program by activities:
Operating expenses:
00.01
Death claims ................................................
00.02
Disability claims ..........................................
00.03
Matured endowments ...................................
00.04
Cash surrenders ...........................................
00.05
Dividends .....................................................
00.06
Interest paid on dividend credits and deposits .......................................................

U.S. Securities: Par value ............................

1995 est.

8,809

Identification code 36–8132–0–7–701

74.41

–248,823

Cash income during the year: Proprietary receipts (contributions from servicepersons) .....................................................
Intrabudgetary transactions: (contributions from Department of
Defense) ..................................................................................

Identification code 36–8133–0–7–702

857

1994 actual

1995 est.

1996 est.

731,151
32,485
37,209
21,953
811,731

793,640
33,650
38,300
20,860
788,170

844,890
33,480
30,500
19,820
775,350

72,350

74,230

73,970

1,706,879

1,748,850

1,778,010

01.01
01.02

Total operating expenses ........................
Capital investment:
Policy loans ..................................................
Policy liens ...................................................

102,040
514

105,370
500

98,930
490

01.91

Total capital investment .........................

102,554

105,870

99,420

Total obligations ..........................................
Financing:
21.91 Unobligated balance available, start of year:
U.S. Securities: Par value ............................
24.91 Unobligated balance available, end of year:
U.S. Securities: Par value ............................

1,809,433

1,854,720

1,877,430

–10,739,205

–10,835,522

–10,882,992

10,835,522

10,882,992

10,853,852

1,905,750

1,902,190

1,848,290

1,417,259

1,370,830

1,335,290

488,491

531,360

513,000

1,809,433

1,854,720
13,559
1,016,821

5,000
1,070,010

–13,559

–5,000

–5,000

This fund was established in 1940 for the World War II
servicemen’s and veterans’ insurance program. Over 22 million policies have been issued under this program. Activity
of the fund reflects a rising claim workload. The trend in
the number and amount of policies in force is shown as follows (dollars in thousands):
1994 actual

Number of policies .....................................................
Insurance in force ......................................................

1995 est.

2,311,096
$20,270,413

1996 est.

2,215,020
$19,916,600

2,108,370
$19,496,300

This fund is operated on a commercial basis to the extent
possible. The income of the fund is derived from premium
receipts, interest on investments, and payments which are
made to the fund from the Veterans insurance and indemnities appropriation.
Assets of the fund, which are largely invested in special
Treasury interest-bearing securities and in policy loans, are
expected to decrease from $12,947 million as of September
30, 1995 to $12,946 million as of September 30, 1996. The
actuarial estimate of policy obligations as of September 30,
1996, total $12,811 million, leaving a balance of $74 million
for contingency reserves.
The status of the fund, excluding noncash transactions, is
as follows (in thousands of dollars):

1,877,430

6,076
927,128

Note.—The Department of Veterans Affairs insurance policy loans are not an extension of Federal credit. Credit
schedules previously shown for this account have been discontinued.

00.91

10.00

39.00

Budget authority (gross) ..............................

60.27
68.00

Budget authority:
Appropriation (trust fund, indefinite) ..........
Spending authority from offsetting collections .........................................................

Relation of obligations to outlays:
Total obligations ...............................................
Obligated balance, start of year:
72.40
Treasury balance ..........................................
72.41
U.S. Securities: Par value ............................
Obligated balance, end of year:
74.40
Treasury balance ..........................................
71.00

Status of Funds (in thousands of dollars)
Identification code 36–8132–0–7–701

1994 actual

1995 est.

1996 est.

Unexpended balance, start of year:
0100 Treasury balance ............................................................
0101 U.S. Securities: Par value ..............................................

6,076
11,666,333

13,559
11,852,343

5,000
11,953,002

0199

11,672,409

11,865,902

11,958,002

337,914

296,230

287,040

1,077,491

1,072,910

1,046,730

1,854

1,690

1,520

488,491
1,905,750

531,360
1,902,190

513,000
1,848,290

Total balance, start of year ......................................
Cash income during the year:
Proprietary receipts:
0220
NSLI fund, Premium and other receipts ...................
Intragovernmental transactions:
0240
NSLI fund, Interest ....................................................
0241
NSLI fund, Payments from general and special
funds .....................................................................
Offsetting collections:
0289
Offsetting Collections ................................................
0297 Income under present law .............................................
0299

Total cash income ..................................................... 1,905,750 1,902,190 1,848,290
Cash outgo during year:
0500 National Service Life Insurance fund ............................ –1,712,257 –1,810,090 –1,823,520
Unexpended balance, end of year:
0700 Treasury balance ............................................................
13,559
5,000
5,000
0701 U.S. Securities: Par value .............................................. 11,852,343 11,953,002 11,977,772
0799

Total balance, end of year ........................................

11,865,902

11,958,002

11,982,772

Object Classification (in thousands of dollars)
Identification code 36–8132–0–7–701

33.0
42.0
43.0

Investments and loans ..................................................
Insurance claims and indemnities ................................
Interest and dividends ...................................................

1994 actual

102,554
822,798
884,081

1995 est.

105,870
886,450
862,400

1996 est.

99,420
928,690
849,320

858

VETERANS BENEFITS ADMINISTRATION—Continued
Trust Funds—Continued

THE BUDGET FOR FISCAL YEAR 1996

NATIONAL SERVICE LIFE INSURANCE FUND—Continued
Object Classification (in thousands of dollars)—Continued
Identification code 36–8132–0–7–701

99.9

Total obligations ........................................................

1994 actual

1995 est.

1996 est.

1,809,433

1,854,720

1,877,430

UNITED STATES GOVERNMENT LIFE INSURANCE FUND
Program and Financing (in thousands of dollars)
Identification code 36–8150–0–7–701

Program by activities:
Operating expenses:
00.01
Death claims .............................................................
00.02
Disability claims ........................................................
00.03
Matured endowments ................................................
00.04
Cash surrenders ........................................................
00.05
Dividends ...................................................................
00.06
Interest paid on dividend credits and deposits .......

1994 actual

1995 est.

1996 est.

Status of Funds (in thousands of dollars)
9,581
294
2,083
358
7,372
1,171

9,460
260
2,380
380
6,440
1,120

8,560
230
2,000
400
5,650
1,140

20,859

20,040

17,980

01.01
01.02

Total operating expenses ......................................
Capital investment:
Policy loans ...............................................................
Policy liens ................................................................

596
7

510
10

460
10

01.91

Total capital investment .......................................

603

520

470

10.00

Total obligations ........................................................

21,462

20,560

18,450

Financing:
21.91 Unobligated balance available, start of year: U.S.
Securities: Par value .................................................
24.91 Unobligated balance available, end of year: U.S. Securities: Par value .....................................................

–105,371

–96,123

–85,943

96,123

85,943

76,533

00.91

and indemnities appropriation. Effective January 1, 1983, premiums were discontinued since reserves held in the fund were
adequate to meet future liabilities of the program.
Assets of the fund, which are largely invested in interestbearing securities and policy loans, are estimated to decrease
from $114 million as of September 30, 1995, to $103 million
as of September 30, 1996, as an increasing number of policies
mature through death or disability. The actuarial evaluation
of policy obligations as of September 30, 1996, totals $101
million, leaving a balance of $2 million for contingency reserves.
The status of the fund, excluding noncash transactions, is
as follows (in thousands of dollars):

39.00

Budget authority (gross) ...........................................

12,214

10,380

9,040

60.27
68.00

Budget authority:
Appropriation (trust fund, indefinite) .......................
Spending authority from offsetting collections ........

9,925
2,289

8,360
2,020

7,300
1,740

21,462

20,560
554
19,261

550
18,675

–554
–19,261

–550
–18,675

–550
–18,245

Outlays (gross) ..........................................................

21,428

21,150

18,880

Adjustments to gross budget authority and outlays:
Offsetting collections from:
Non-Federal sources:
88.40
Repayments of loans ............................................
88.40
Repayments of liens .............................................
88.40
Optional settlements .............................................
88.40
Net income offsets adjustments ..........................

–1,936
–9
–40
–304

–1,640
–10
–40
–330

–1,400
–10
–40
–290

88.90

Total, offsetting collections ..................................

–2,289

–2,020

–1,740

89.00
90.00

Budget authority (net) ...................................................
Outlays (net) ..................................................................

9,925
19,138

8,360
19,130

7,300
17,140

Relation of obligations to outlays:
Total obligations ............................................................
Obligated balance, start of year:
72.40
Treasury balance .......................................................
72.41
U.S. Securities: Par value .........................................
Obligated balance, end of year:
74.40
Treasury balance .......................................................
74.41
U.S. Securities: Par value .........................................
71.00

87.00

1995 est.

1996 est.

299
124,853

554
115,384

550
104,618

0199

125,152

115,938

105,168

Total balance, start of year ......................................
Cash income during the year:
Proprietary receipts:
0220
Proprietary receipts ...................................................
Intragovernmental transactions:
0240
Interest and profits on investments in public debt
securities, USGLI, VA ............................................
0241
Payments from general and special funds, USGLI,
VA ..........................................................................
Offsetting collections:
0289
Offsetting Collections ................................................
0297 Income under present law .............................................
0299

Total cash income .....................................................
Cash outgo during year:
0500 United States government life insurance fund .............
Unexpended balance, end of year:
0700 Treasury balance ............................................................
0701 U.S. Securities: Par value ..............................................
0799

Total balance, end of year ........................................

71 ................... ...................

9,656

8,355

7,296

198

5

4

2,289
12,214

2,020
10,380

1,740
9,040

12,214

10,380

9,040

–21,428

–21,150

–18,880

554
115,384

550
104,618

550
94,778

115,938

105,168

95,328

Object Classification (in thousands of dollars)
Identification code 36–8150–0–7–701

1994 actual

1995 est.

1996 est.

33.0
42.0
43.0

Investments and loans ..................................................
Insurance claims and indemnities ................................
Interest and dividends ...................................................

603
12,316
8,543

520
12,480
7,560

470
11,190
6,790

99.9

Total obligations ........................................................

21,462

20,560

18,450

VETERANS SPECIAL LIFE INSURANCE FUND

Note.—The Department of Veterans Affairs insurance policy loans are not an extension of Federal credit. Credit
schedules previously shown for this account have been discontinued.

This fund was established in 1919 to receive premiums
and pay claims on insurance issued under the provisions of
the War Risk Insurance Act. The general decline in the activity of the fund is indicated in the following table (dollars
in thousands):
1994 actual

Number of policies ......................................................................
Insurance in force .......................................................................

1994 actual

Unexpended balance, start of year:
0100 Treasury balance ............................................................
0101 U.S. Securities: Par value ..............................................

18,450

299
19,482

Identification code 36–8150–0–7–701

27,384
$93,511

1995 est.

25,144
$83,900

1996 est.

23,134
$75,200

The fund is operated on a commercial basis to the extent
possible. The income of the fund is derived from interest
on investments and payments from the Veterans insurance

Program and Financing (in thousands of dollars)
Identification code 36–8455–0–8–701

1994 actual

1995 est.

1996 est.

Program by activities:
Operating expenses:
00.01
Death claims .............................................................
37,137
42,010
46,180
00.02
Cash surrenders ........................................................
3,910
3,830
3,760
00.03
Dividends ...................................................................
105,087
101,950
103,170
00.04
All other .....................................................................
44,145
43,500
42,770
00.05
Payment to general operating expenses account ................... ................... ...................
00.91

190,279

191,290

195,880

01.01
01.02

Total operating expenses ......................................
Capital investment:
Policy loans ...............................................................
Policy liens ................................................................

15,566
32

16,010
30

15,540
30

01.91

Total capital investment .......................................

15,598

16,040

15,570

10.00

Total obligations ........................................................

205,877

207,330

211,450

Financing:
21.91 Unobligated balance available, start of year: U.S.
Securities: Par value ................................................. –1,344,499 –1,377,904 –1,407,134
24.91 Unobligated balance available, end of year: U.S. Securities: Par value ..................................................... 1,377,904 1,407,134 1,423,194

CONSTRUCTION
Federal Funds

DEPARTMENT OF VETERANS AFFAIRS
68.00

Budget authority (gross): Spending authority from
offsetting collections ............................................

Balance Sheet (in thousands of dollars)
239,282

236,560

227,510
Identification code 36–8455–0–8–701

Relation of obligations to outlays:
71.00 Total obligations ............................................................
Obligated balance, start of year:
72.90
Treasury balance .......................................................
72.91
U.S. Securities: Par value .........................................
Obligated balance, end of year:
74.90
Treasury balance .......................................................
74.91
U.S. Securities: Par value .........................................
87.00

Outlays (gross) ..........................................................

Adjustments to gross budget authority and outlays:
Offsetting collections from:
88.20
Interest on U.S. securities .........................................
Non-Federal sources:
88.40
Interest on loans ...................................................
88.40
Insurance premiums earned .................................
88.40
Optional settlements .............................................
88.40
Repayments of loans ............................................
88.40
Repayments of liens .............................................
88.90
89.00
90.00

Total, offsetting collections ..................................

205,877

207,330

211,450

735
117,125

1,469
131,019

1,000
134,078

–1,469
–131,019

–1,000
–134,078

–1,000
–138,198

191,249

204,740

207,330

–143,920

–141,630

–131,950

–3,865
–76,064
–2,227
–13,162
–44

–4,010
–73,780
–2,440
–14,660
–40

–5,280
–73,100
–2,660
–14,480
–40

–239,282

–236,560

–227,510

Budget authority (net) ................................................... ................... ................... ...................
Outlays (net) ..................................................................
–48,032
–31,820
–20,180

Note.—The Department of Veterans Affairs insurance policy loans are not an extension of Federal credit. Credit
schedules previously shown for this account have been discontinued.

This fund finances the payment of claims on life insurance
policies issued before January 3, 1957, to veterans who served
in the Armed Forces subsequent to April 1, 1951. No new
policies can be issued. Policyholders may elect to purchase
total disability income coverage with the payment of additional premiums.
Budget program—
Death claims.—Represents payments to designated beneficiaries.
Cash surrenders.—A policyholder may terminate his or
her insurance by cashing in the policy for its cash value.
Dividends.—Policyholders participate in the distribution
of annual dividends.
All other.—Classified in this category are payments to
policyholders who: (a) hold endowment policies which have
matured; (b) have purchased total disability income coverage and subsequently become disabled; and (c) are paid
interest on dividend credits and deposits.
The following table reflects the decrease in the number
of policies and the amounts of insurance in force (dollars
in thousands):
1994 actual

Number of policies ..................................................................
Insurance in force ...................................................................

1995 est.

1996 est.

268,368
$2,883,429

261,091
$2,859,700

253,971
$2,840,600

Financing.—Payments from this fund are financed primarily from premium receipts and interest on investments.
Operating results and financial condition.—Favorable mortality experience on insurance written against this fund has
kept death claim payments well below the amount of premium and interest receipts, thereby producing an annual increase in the total revenue of the fund. Excess earnings of
the fund are now distributed to the policyholders in the form
of an annual dividend.
Statement of Operations (in thousands of dollars)
1993 actual

1994 actual

1995 est.

1996 est.

0101
0102

Revenue ...................................................
Expense ....................................................

229,515
–230,184

229,068
–228,838

224,670
–225,243

215,740
–216,260

0109

Net income or loss (–) .......................

–669

230

–573

–520

Identification code 36–8455–0–8–701

859

1993 actual

ASSETS:
Federal assets:
1101
Fund balances with Treasury ...................................
Investments in US securities:
1102
Treasury securities, par ..
1106
Receivables, net ..............
1206 Non-Federal assets: Receivables, net ............................
1601 Net value of assets related to
pre–1992 direct loans receivable and acquired defaulted guaranteed loans
receivable: Direct loans,
gross ....................................

1994 actual

1995 est.

1996 est.

735

1,000

1,000

1,461,624
35,695

1,508,923
36,235

1,541,212
36,550

1,561,395
34,050

2,841

2,412

2,129

2,849

78,849

81,253

82,603

83,663

1,579,744

1999

1,469

1,630,292

1,663,494

1,682,957

Total assets .........................
LIABILITIES:
Non-Federal liabilities:
2201
Accounts payable ................
2206
Pension and other actuarial
liabilities .........................
2207
Other ....................................

133,956

150,999

154,058

156,818

1,399,045
22,380

1,434,612
20,087

1,465,756
19,660

1,483,386
19,250

2999

1,555,381

1,605,698

1,639,474

1,659,454

1,344,499
–1,320,136

1,377,904
–1,353,310

1,407,134
–1,383,114

1,423,194
–1,399,694

Total liabilities ....................
NET POSITION:
3100 Appropriated capital ................
3200 Invested capital .......................
3999

Total net position ................

24,363

24,594

24,020

23,500

4999

Total liabilities and net position ...............................

1,579,744

1,630,292

1,663,494

1,682,954

Object Classification (in thousands of dollars)
1994 actual

Identification code 36–8455–0–8–701

1995 est.

1996 est.

33.0
42.0
43.0

Investments and loans ..................................................
Insurance claims and indemnities ................................
Interest and dividends ...................................................

15,598
73,227
117,052

16,040
76,400
114,890

15,570
80,060
115,820

99.9

Total obligations ........................................................

205,877

207,330

211,450

CONSTRUCTION
Federal Funds
General and special funds:
CONSTRUCTION, MAJOR PROJECTS
For constructing, altering, extending and improving any of the facilities under the jurisdiction or for the use of the Department of
Veterans Affairs, or for any of the purposes set forth in sections
316, 2404, 2406, 8102, 8103, 8106, 8108, 8109, 8110, and 8122 of
title 38, United States Code, including planning, architectural and
engineering services, maintenance or guarantee period services costs
associated with equipment guarantees provided under the project,
services of claims analysts, offsite utility and storm drainage system
construction costs, and site acquisition, where the estimated cost of
a project is $3,000,000 or more or where funds for a project were
made available in a previous major project appropriation,
ø$355,612,000¿ $513,755,000, to remain available until expended:
Provided, That except for advance planning of projects funded
through the advance planning fund and the design of projects funded
through the design fund, none of these funds shall be used for any
project which has not been considered and approved by the Congress
in the budgetary process: øProvided further, That funds provided
in this appropriation for fiscal year 1995, for each approved project
shall be obligated (1) by the awarding of a construction documents
contract by September 30, 1995, and (2) by the awarding of a construction contract by September 30, 1996: Provided further, That
the Secretary shall promptly report in writing to the Comptroller
General and to the Committees on Appropriations any approved
major construction project in which obligations are not incurred within the time limitations established above; and the Comptroller General shall review the report in accordance with the procedures estab-

860

CONSTRUCTION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 1996
Total budget authority ...................................................

General and special funds—Continued

460,100

354,294

513,755

CONSTRUCTION, MAJOR PROJECTS—Continued
lished by section 1015 of the Impoundment Control Act of 1974 (title
X of Public Law 93–344):¿ Provided further, That no funds from
any other account except the ‘‘Parking revolving fund’’, may be obligated for constructing, altering, extending, or improving a project
which was approved in the budget process and funded in this account
until one year after substantial completion and beneficial occupancy
by the Department of Veterans Affairs of the project or any part
thereof with respect to that part only. (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies
Appropriations Act, 1995.)
Program and Financing (in thousands of dollars)
1994 actual

Identification code 36–0110–0–1–703

1995 est.

1996 est.

00.01
00.02
00.03
00.04
00.05
00.06
00.07
00.08

Program by activities:
Replacement and modernization ...................................
Nursing home care ........................................................
Domiciliaries ..................................................................
Research and education ................................................
Outpatient improvements ..............................................
Other improvements .......................................................
National cemeteries .......................................................
Replacement or renovation of regional offices .............

252,591
15,510
1,297
6,420
72,231
211,904
5,651
19,468

207,665
33,044
44
8,550
92,658
141,430
37,448
33,448

146,840
2,330
2
1,542
91,225
144,976
8,618
4,912

10.00

Total obligations ........................................................

585,072

554,287

Object Classification (in thousands of dollars)

11.3

Financing:
Unobligated balance available, start of year: Treasury
balance ...................................................................... –1,002,135
–891,163
–691,170
22.00 Unobligated balance transferred, net ...........................
–14,000 ................... ...................
24.40 Unobligated balance available, end of year: Treasury
balance ......................................................................
891,163
691,170
804,480
39.00

40.00
40.75
41.00
42.00
43.00

Budget authority ........................................................

354,294

513,755

Budget authority:
Appropriation .............................................................
414,600
355,612
513,755
Procurement reduction pursuant to P.L. 103–327 ...................
–1,318 ...................
Transferred to other accounts ...................................
–2,000 ................... ...................
Transferred from other accounts ..............................
47,500 ................... ...................
Appropriation (total) .............................................

Relation of obligations to outlays:
Total obligations ............................................................
Obligated balance, start of year: Unpaid obligations:
Treasury balance .......................................................
74.40 Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................
71.00
72.40

90.00

460,100

Outlays .......................................................................

460,100

354,294

513,755

585,072

554,287

400,445

682,040

810,331

898,672

–810,331

–898,672

–858,173

456,781

465,946

[In thousands of dollars]

1994 actual

1995 est.

1996 est.

Replacement and modernization .................................................
202,700
104,900
343,200
Research and Education ............................................................. ....................
26,000 ....................
Outpatient and extended care ....................................................
35,226
208,747
118,200
Safety deficiencies ......................................................................
2,000
9,800
18,125
Functional modernization and plant maintenance .....................
199,709
19,250
32,300
Other departments ......................................................................
42,300
12,915
7,140
Supplemental appropriation provided under P.L. 103–211 .......
91,100 .................... ....................
Reprogramming/transfer .............................................................
–106,770
–26,000 ....................
Design fund offset ......................................................................
–6,165 ....................
–5,210
Procurement reduction pursuant to P.L. 103–327 ................. ....................
–1,318 ....................

1996 est.

12.1
22.0
23.3
25.1
25.2
26.0
31.0
32.0

1,161
85
35
550
420
43,699
1,007
3,899
534,216

1,200
87
30
450
400
36,500
1,100
4,700
509,820

1,300
90
30
350
275
26,000
1,000
3,200
368,200

99.9

Total obligations ........................................................

585,072

554,287

400,445

Personnel Summary
Identification code 36–0110–0–1–703

1001

Total compensable workyears: Full-time equivalent
employment ...............................................................

1994 actual

1995 est.

26

50

1996 est.

50

CONSTRUCTION, MINOR PROJECTS
For constructing, altering, extending, and improving any of the
facilities under the jurisdiction or for the use of the Department
of Veterans Affairs, including planning, architectural and engineering
services, maintenance or guarantee period services costs associated
with equipment guarantees provided under the project, services of
claims analysts, offsite utility and storm drainage system construction
costs, and site acquisition, or for any of the purposes set forth in
sections 316, 2404, 2406, 8102, 8103, 8106, 8108, 8109, 8110, and
8122 of title 38, United States Code, where the estimated cost of
a project is less than $3,000,000, ø$153,540,000¿ $229,145,000, to
remain available until expended, along with unobligated balances
of previous ‘‘Construction, minor projects’’ appropriations which are
hereby made available for any project where the estimated cost is
less than $3,000,000: Provided, That funds in this account shall be
available for (1) repairs to any of the nonmedical facilities under
the jurisdiction or for the use of the Department of Veterans Affairs
which are necessary because of loss or damage caused by any natural
disaster or catastrophe, and (2) temporary measures necessary to
prevent or to minimize further loss by such causes. (Departments
of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.)

440,944

The major construction request would improve access to
VA health care for thousands of veterans and expand VA’s
national cemetery system. Funds are included to pay the full
cost of constructing a new hospital and nursing home in
Brevard County, Florida and a new hospital at Travis Air
Force Base in California. The request would also correct patient environment deficiencies at the hospitals in Lebanon,
Pennsylvania; Marion, Illinois; Marion, Indiana; Perry Point,
Maryland; Reno, Nevada; and Salisbury, North Carolina. Outpatient improvements will be funded at Boston, Massachusetts. Additional funds are provided to remove asbestos from
Department-owned buildings and pay VA’s share of the costs
related to the cleanup of hazardous materials.

1995 est.

Personnel compensation: Other than full-time permanent ...........................................................................
Civilian personnel benefits ............................................
Transportation of things ................................................
Communications, utilities, and miscellaneous charges
Advisory and assistance services ..................................
Other services ................................................................
Supplies and materials .................................................
Equipment ......................................................................
Land and structures ......................................................

400,445

21.40

1994 actual

Identification code 36–0110–0–1–703

Program and Financing (in thousands of dollars)
Identification code 36–0111–0–1–703

1994 actual

1995 est.

1996 est.

00.01
00.02
00.04
00.05
00.06
00.07
00.08

Program by activities:
Nursing home care ........................................................
Research and education ................................................
Other improvements .......................................................
Emergency fund .............................................................
National cemeteries .......................................................
Computer centers, additions and alterations ...............
Replacement or renovation of regional offices .............

28,432
9,161
94,411
95
11,908
3,128
10,955

13,375
8,479
97,369
453
10,941
8,075
11,208

22,458
3,234
160,668
19
8,583
6,551
5,001

10.00

Total obligations ........................................................

158,090

149,900

206,514

Financing:
21.40 Unobligated balance available, start of year: Treasury
balance ......................................................................
24.40 Unobligated balance available, end of year: Treasury
balance ......................................................................

–31,452

–28,902

–31,936

28,902

31,936

54,567

39.00

155,540

152,934

229,145

40.00
40.75
42.00

Budget authority ........................................................

Budget authority:
Appropriation .............................................................
153,540
153,540
229,145
Procurement reduction pursuant to P.L. 103–327 ...................
–606 ...................
Transferred from other accounts ..............................
2,000 ................... ...................

43.00

Appropriation (total) .............................................

155,540

152,934

229,145

71.00

Relation of obligations to outlays:
Total obligations ............................................................

158,090

149,900

206,514

CONSTRUCTION—Continued
Federal Funds—Continued

DEPARTMENT OF VETERANS AFFAIRS
72.40
74.40
90.00

Obligated balance, start of year: Unpaid obligations:
Treasury balance .......................................................
Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................

151,718

137,989

132,229

–137,989

–132,229

–165,537

Outlays .......................................................................

171,819

155,660

173,206

GRANTS

The Construction, minor projects appropriation, which
funds construction projects costing less than $3 million, is
used to reduce risks to patient life and safety, correct code
deficiencies, and improve ambulatory care settings.
Object Classification (in thousands of dollars)
1994 actual

Identification code 36–0111–0–1–703

Personnel compensation:
11.3 Other than full-time permanent ....................................

1996 est.

3,814

4,500

4,700

Total personnel compensation ..................................
Civilian personnel benefits ............................................
Transportation of things ................................................
Communications, utilities, and miscellaneous charges
Other services ................................................................
Supplies and materials .................................................
Equipment ......................................................................
Land and structures ......................................................

3,814
288
11
176
31,969
1,770
3,080
116,982

4,500
337
10
175
22,500
2,200
3,100
117,078

4,700
350
25
225
30,900
3,100
6,100
161,114

99.9

Total obligations ........................................................

158,090

149,900

206,514

Personnel Summary

1001

GRANTS

FOR

CONSTRUCTION

OF

STATE VETERANS CEMETERIES

Program and Financing (in thousands of dollars)
1994 actual

Identification code 36–0183–0–1–705

Program by activities:
Total obligations (object class 41.0) ............................

1995 est.

1996 est.

3,808

10,305

6,232

–8,725

Financing:
Unobligated balance available, start of year: Treasury
balance ......................................................................
24.40 Unobligated balance available, end of year: Treasury
balance ......................................................................
40.00

–10,159

–5,232

1995 est.

72

80

10,159

Budget authority (appropriation) ..............................

5,232 ...................

5,242

5,378

1,000

3,808

10,305

6,232

4,519

Relation of obligations to outlays:
Total obligations ............................................................
Obligated balance, start of year: Unpaid obligations:
Treasury balance .......................................................
74.40 Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................
77.00 Adjustments in expired accounts ..................................
71.00
72.40

90.00
1994 actual

Total compensable workyears: Full-time equivalent
employment ...............................................................

OF

21.40

11.9
12.1
22.0
23.3
25.2
26.0
31.0
32.0

Identification code 36–0111–0–1–703

CONSTRUCTION

For grants to aid States in establishing, expanding, or improving
State veteran cemeteries as authorized by law (38 U.S.C. 2408),
ø$5,378,000¿ $1,000,000, to remain available until September 30,
ø1997¿ 1998. (Departments of Veterans Affairs and Housing and
Urban Development, and Independent Agencies Appropriations Act,
1995).

10.00
1995 est.

FOR THE

861

6,634

11,773

–6,634
–11,773
–15,592
–20 ................... ...................

Outlays .......................................................................

1,673

5,166

2,413

1996 est.

80

This program will enable the Department to assist States
in establishing, expanding, or improving State-operated veterans cemeteries.

STATE EXTENDED CARE FACILITIES

øGRANTS

TO THE

REPUBLIC

OF THE

PHILIPPINES¿

For grants to assist the several States to acquire or construct
State nursing home and domiciliary facilities and to remodel, modify
or alter existing hospital, nursing home and domiciliary facilities
in State homes, for furnishing care to veterans as authorized by
law (38 U.S.C. 8131–8137), ø$47,397,000¿ $43,740,000, to remain
available until expended. (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.)

øFor payment to the Republic of the Philippines of grants, as authorized by law (38 U.S.C. 1732), for assisting in the replacement
and upgrading of equipment and in rehabilitating the physical plant
and facilities of the Veterans Memorial Medical Center, $500,000,
to remain available until September 30, 1996.¿ (Departments of Veterans Affairs and Housing and Urban Development, and Independent
Agencies Appropriations Act, 1995.)

Program and Financing (in thousands of dollars)

Program and Financing (in thousands of dollars)

Identification code 36–0181–0–1–703

10.00

Program by activities:
Total obligations (object class 41.0) ............................

Financing:
Unobligated balance available, start of year: Treasury
balance ......................................................................
24.40 Unobligated balance available, end of year: Treasury
balance ......................................................................

1994 actual

61,752

1995 est.

43,004

1996 est.

43,740

Budget authority (appropriation) ..............................

Relation of obligations to outlays:
Total obligations ............................................................
Obligated balance, start of year: Unpaid obligations:
Treasury balance .......................................................
74.40 Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................
77.00 Adjustments in expired accounts ..................................
71.00
72.40

90.00

Outlays .......................................................................

10.00

Program by activities:
Total obligations (object class 41.0) ............................

–26,450

–5,778

–10,171

5,778

10,171

10,171

Financing:
Unobligated balance available, start of year: Treasury
balance ......................................................................
24.40 Unobligated balance available, end of year: Treasury
balance ......................................................................

41,080

47,397

43,740

40.00

61,752

43,004

43,740

71.00
72.40

129,592

145,834

129,906

1994 actual

358

1995 est.

1996 est.

500 ...................

21.40

21.40

40.00

Identification code 36–0144–0–1–703

–145,834
–129,906
–132,187
–1,001 ................... ...................
44,509

58,932

41,459

In 1995, the Department will obligate $43,740 thousand
to assist approximately eight States acquire or construct State
Home facilities for furnishing domiciliary or nursing home
care to veterans, and expand, remodel, or alter existing buildings for furnishing domiciliary, nursing home, or hospital care
to veterans.

Budget authority (appropriation) ..............................

Relation of obligations to outlays:
Total obligations ............................................................
Obligated balance, start of year: Unpaid obligations:
Treasury balance .......................................................
74.40 Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................
77.00 Adjustments in expired accounts ..................................
90.00

Outlays .......................................................................

–28

–170

–170

170

170

170

500

500 ...................

358

500 ...................

1,285

632

632

–632
–632
–132
–13 ................... ...................
998

500

500

This program previously provided for the continued effective
care and treatment of U.S. veterans in the Veterans Memorial
Medical Center (VMMC). However, with the suspension of
U.S. veteran admission to the VMMC, the continuing appropriation of U.S. funds to maintain and upgrade the physical
plant at this facility will be discontinued.

862

CONSTRUCTION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 1996
72.40

Public enterprise funds:
PARKING REVOLVING FUND

Obligated balance, start of year: Unpaid obligations:
Treasury balance .......................................................
Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................

–309

87.00

Outlays (gross) ..........................................................

338

270

324

88.40

Adjustments to gross budget authority and outlays:
Offsetting collections from: Non-Federal sources .........

–109

–1,304

–210

74.40

For the parking revolving fund as authorized by law (38 U.S.C.
8109), ø$16,300,000, together with¿ income from fees collected, to
remain available until expended. Resources of this fund shall be
available for all expenses authorized by 38 U.S.C. 8109 except operations and maintenance costs which will be funded from ‘‘Medical
Care’’. (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.)

89.00
90.00

308

309

224

–224 ...................

Budget authority (net) ................................................... ................... ................... ...................
Outlays (net) ..................................................................
229
–1,034
114

Program and Financing (in thousands of dollars)
Identification code 36–4538–0–3–703

1994 actual

1995 est.

1996 est.

00.01
01.01

Program by activities:
Operating expenses: Parking leases ..............................
Capital investment: parking construction program ......

1,353
10,272

1,400
16,990

1,400
2,010

10.00

Total obligations ........................................................

11,625

18,390

3,410

Financing:
21.40 Unobligated balance available, start of year: Treasury
balance ......................................................................
22.00 Unobligated balance transferred, net ...........................
24.40 Unobligated balance available, end of year: Treasury
balance ......................................................................

The Pershing Hall Revolving Fund was created to operate
and manage Pershing Hall, an asset of the United States,
located in Paris, France. All operating expenses for Pershing
Hall are borne by the Revolving Fund and all receipts generated by the operation of Pershing Hall are deposited in
the Revolving Fund.
NURSING HOME REVOLVING FUND

–48,246
–25,426
–25,905
14,000 ................... ...................
25,426

25,905

2,805

18,869

Program and Financing (in thousands of dollars)

25,788
3,293

1994 actual

Identification code 36–4013–0–3–703

39.00

Budget authority (gross) ...........................................

40.00

Budget authority:
Current:
Appropriation .........................................................
Permanent:
Spending authority from offsetting collections

68.00

Relation of obligations to outlays:
Total obligations ............................................................
Obligated balance, start of year: Unpaid obligations:
Treasury balance .......................................................
74.40 Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................
71.00
72.40

Financing:
Recovery of prior year obligations .................................
Unobligated balance available, start of year: Fund
balance ......................................................................
24.90 Unobligated balance available, end of year: Fund
balance ......................................................................
17.00
21.90

1,353

16,300 ...................

1,452

2,569

3,293

11,625

18,390

3,410

26,178

17,411

25,952

–17,411

–25,952

–22,272

1995 est.

1996 est.

–70 ................... ...................
–311

–381

–381

381

381

381

39.00

87.00

Outlays (gross) ..........................................................

20,392

9,849

Adjustments to gross budget authority and outlays:
Offsetting collections from: Non-Federal sources .........

–1,452

–2,569

–3,293

89.00
90.00

Budget authority (net) ...................................................
Outlays (net) ..................................................................

1,353
18,940

16,300 ...................
7,280
3,797

71.00
78.00

Relation of obligations to outlays:
Total obligations ............................................................ ................... ................... ...................
Adjustments in unexpired accounts ..............................
–70 ................... ...................

90.00

Outlays .......................................................................

–70 ................... ...................

7,090

88.40

Budget authority ........................................................ ................... ................... ...................

The Parking Revolving Fund provides funding for leases
of parking facilities at various medical centers.

The Nursing Home Revolving Fund provides for the construction, alteration, and acquisition (including site acquisition) of nursing home facilities and is available only as provided in appropriations acts.

DEPARTMENTAL ADMINISTRATION
Federal Funds

Object Classification (in thousands of dollars)
Identification code 36–4538–0–3–703

1994 actual

General and special funds:
1995 est.

1996 est.

23.2
32.0

Rental payments to others ............................................
Land and structures ......................................................

1,353
10,272

1,400
16,990

1,400
2,010

99.9

Total obligations ........................................................

11,625

18,390

3,410

PERSHING HALL REVOLVING FUND
Program and Financing (in thousands of dollars)
Identification code 36–4018–0–3–705

10.00

Program by activities:
Total obligations (object class 32.0) ............................

Financing:
21.40 Unobligated balance available, start of year: Treasury
balance ......................................................................
24.40 Unobligated balance available, end of year: Treasury
balance ......................................................................
68.00

Budget authority (gross): Spending authority from
offsetting collections ............................................

Relation of obligations to outlays:
71.00 Total obligations ............................................................

1994 actual

1995 est.

1996 est.

339

185

100

–361

–131

–1,250

131

1,250

1,360

109

1,304

210

339

185

100

GENERAL OPERATING EXPENSES
For necessary operating expenses of the Department of Veterans
Affairs, not otherwise provided for, including uniforms or allowances
therefor, as authorized by law; not to exceed $25,000 for official
reception and representation expenses; hire of passenger motor vehicles; and reimbursement of the General Services Administration for
security guard services, and the Department of Defense for the cost
of overseas employee mail; ø$890,600,000, of which $25,500,000, for
the acquisition of automated data processing equipment and services
to support the modernization program in the Veterans Benefits Administration, shall not become available for obligation until September 1, 1995, and shall remain available for obligation until September
30, 1996¿ $915,643,000. (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1995).
Program and Financing (in thousands of dollars)
Identification code 36–0151–0–1–705

Program by activities:
Direct program:
Veterans benefits:
00.01
Executive direction ................................................
00.02
Veterans assistance ..............................................
00.03
Compensation, pension, and education ...............

1994 actual

32,771
76,578
176,869

1995 est.

32,385
74,534
204,429

1996 est.

31,051
78,557
207,020

DEPARTMENTAL ADMINISTRATION—Continued
Federal Funds—Continued

DEPARTMENT OF VETERANS AFFAIRS
00.05
00.06
00.07
00.08
00.11

Insurance ..............................................................
Vocational rehabilitation and counseling .............
Support services ...................................................
Information Resources Management ....................
General administration .........................................

13,540
37,440
183,675
106,832
218,583

14,564
38,382
202,251
84,039
214,109

14,830
40,066
222,941
125,146
221,532

00.91

846,288

864,693

941,143

01.01
01.02

Subtotal, direct program ......................................
Reimbursable program:
Loan Guaranty ...........................................................
Other ..........................................................................

85,819
133,760

83,718
122,049

87,834
121,257

01.92

Subtotal, reimbursable program ...............................

219,579

205,767

209,091

10.00

Total obligations ........................................................

1,065,867

1,070,460

1,150,234

Financing:
21.40 Unobligated balance available, start of year: Treasury
balance ......................................................................
–20,000 ...................
–25,500
24.40 Unobligated balance available, end of year: Treasury
balance ...................................................................... ...................
25,500 ...................
25.00 Unobligated balance expiring ........................................
1,162 ................... ...................
39.00

40.00
40.75
42.00
43.00
68.00

Budget authority (gross) ...........................................

1,047,029

1,095,960

1,124,734

Budget authority:
Current:
Appropriation .........................................................
826,749
890,600
915,643
Procurement reduction pursuant to P.L. 103–
327 ................................................................... ...................
–407 ...................
Transferred from other accounts ..........................
701 ................... ...................
Appropriation (total) .........................................
Permanent:
Spending authority from offsetting collections

Relation of obligations to outlays:
Total obligations ............................................................
Obligated balance, start of year:
72.10
Receivables from other government accounts ..........
72.40
Unpaid obligations: Treasury balance ......................
Obligated balance, end of year:
74.10
Receivables from other government accounts ..........
74.40
Unpaid obligations: Treasury balance ......................
77.00 Adjustments in expired accounts ..................................
71.00

827,450

890,193

915,643

219,579

205,767

209,091

1,065,867

1,070,460

1,150,234

–8,144
109,366

–10,032
110,766

–9,358
116,181

Outlays (gross) ..........................................................

1,068,847

1,064,371

1,135,607

88.00

Adjustments to gross budget authority and outlays:
Offsetting collections from: Federal sources .................

–219,579

–205,767

–209,091

89.00
90.00

Budget authority (net) ...................................................
Outlays (net) ..................................................................

827,450
849,268

890,193
858,604

915,643
926,516

This appropriation provides for the administration of
nonmedical veterans benefits through the Veterans Benefits
Administration (VBA) and the Department’s top management
direction and administrative support, including data processing, fiscal, personnel, and legal services. The 1996 request
includes funds to continue VBA initiatives to improve the
delivery of veterans benefits through the use of modern technology.
Veterans benefits.—Determines eligibility and adjudicates
all claims for compensation, pensions, educational assistance,
housing loan assistance, and insurance awards. Greater efficiencies will be achieved as a result of an initiative to modernize the data processing and telecommunications capabilities
of VBA. A summary of VBA’s program objectives and anticipated workload is included in the following paragraphs:
Veterans assistance.—Provides information, advice, and
assistance concerning veterans’ benefits under the law to
all veterans, their dependents, and survivors.
WORKLOAD

WORKLOAD
[In thousands]

Compensation and pensions:
Original claims ...................................................................
Adjustments/supplemental claims .....................................
Ancillary actions/claims .....................................................
Vocational rehabilitation ....................................................
Education: original claims .................................................
Adjustments/supplemental claims .....................................

1994 actual

12,002
106
37

1995 est.

11,545
100
34

1994 actual

462
1,857
957
76
246
1,084

1995 est.

443
1,412
816
70
251
1,195

1996 est.

421
1,385
589
61
262
1,305

Loan guaranty.—Facilitates the extension of private capital, on more liberal terms than generally available to nonveterans, to: assist veterans and servicepersons in obtaining
housing credits; provide grants to aid permanently and totally disabled veterans in acquiring specially adapted housing; and assist veterans in retaining their homes during
periods of temporary economic difficulty through intensive
supplemental mortgage loan servicing.
WORKLOAD
[In thousands]

Loan guaranty:
Construction and valuation ....................................................
Loan processing ......................................................................
Loan service and claims ........................................................
Property management .............................................................

1994 actual

1,045
1,281
430
61

1995 est.

933
851
436
73

1996 est.

1,039
949
375
62

Vocational rehabilitation and counseling.—Provides counseling and assistance to enable veterans with service-connected disabilities to achieve maximum independence in
daily living and, to the maximum extent feasible, obtain
and maintain suitable employment.
WORKLOAD
[In thousands]

Vocational rehabilitation and counseling:
Evaluation and planning ........................................................
Rehabilitation services ...........................................................
Employment services status ...................................................
Interrupted status ...................................................................
Vocational/educational counseling .........................................

1994 actual

42
44
6
17
19

1995 est.

44
48
7
16
23

1996 est.

45
49
7
16
23

Insurance.—Provides life insurance protection for servicepersons and veterans. The VA administers five life insurance programs and supervises three others through contractual agreements with commercial companies.
WORKLOAD
[In thousands]

1994 actual

Insurance:
Policy service actions .............................................................
Collections ...............................................................................
Disability claims .....................................................................
Insurance awards ...................................................................

1,888
2,827
57
352

1995 est.

1,822
2,599
54
473

1996 est.

1,818
2,507
57
516

General administration.—Contains Department executive
direction and supporting offices, the General Counsel, the
Board of Veterans Appeals, and the Board of Contract Appeals.
Object Classification (in thousands of dollars)
Identification code 36–0151–0–1–705

11.1
11.5
11.8

[In thousands]

Veterans assistance:
Veterans assistance contacts and other ...........................
Fiduciary and field examinations .......................................
Compliance surveys/liaison action .....................................

ents relating to compensation, pension, and education benefits under the various laws enacted by Congress.

10,032
9,358
9,551
–110,766
–116,181
–131,001
2,492 ................... ...................

87.00

863

Direct obligations:
Personnel compensation:
Full-time permanent .............................................
Other personnel compensation .............................
Special personal services payments ....................

1994 actual

1995 est.

1996 est.

462,476
19,078
179

490,717
13,155
95

508,892
9,544
97

481,733
98,801
9,085

503,967
103,693
2,628

518,533
110,798
..................

9,296
2,129

12,395
2,560

13,806
2,604

1996 est.

11,545
100
34

11.9
12.1
13.0

Compensation, pension, and education.—Provides timely
and efficient processing of claims for veterans and depend-

21.0
21.0

Total personnel compensation .........................
Civilian personnel benefits .......................................
Benefits for former personnel ...................................
Travel and transportation of persons:
Employee travel .....................................................
Interagency motor pool payments ........................

864

DEPARTMENTAL ADMINISTRATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 1996

88.00

Adjustments to gross budget authority and outlays:
Offsetting collections from: Federal sources .................

–782

–1,111

–1,153

89.00
90.00

Budget authority (net) ...................................................
Outlays (net) ..................................................................

31,436
30,924

31,815
35,971

33,500
33,416

General and special funds—Continued
GENERAL OPERATING EXPENSES—Continued
Object Classification (in thousands of dollars)—Continued
1994 actual

Identification code 36–0151–0–1–705

22.0
23.1
23.2
23.3

1995 est.

1996 est.

2,190
79,513
11,415

1,591
85,579
12,455

1,602
90,958
12,011

24.0
25.1
25.2
26.0
31.0
42.0

Transportation of things ...........................................
Rental payments to GSA ...........................................
Rental payments to others ........................................
Communications, utilities, and miscellaneous
charges .................................................................
Printing and reproduction .........................................
Advisory and assistance services .............................
Other services ............................................................
Supplies and materials .............................................
Equipment .................................................................
Insurance claims and indemnities ...........................

34,548
5,653
463
55,187
17,705
38,186
384

47,706
5,986
..................
70,387
9,436
5,899
411

50,793
7,142
..................
75,310
19,812
37,346
428

99.0
99.0

Subtotal, direct obligations ..................................
Reimbursable obligations ..............................................

846,288
219,579

864,693
205,767

941,143
209,091

99.9

Total obligations ...................................................

1,065,867

1,070,460

1,150,234

1994 actual

1995 est.

1996 est.

Personnel Summary
Identification code 36–0151–0–1–705

Direct:
Total compensable workyears:
1001
Full-time equivalent employment 1 ...........................
1005
Full-time equivalent of overtime and holiday hours
Reimbursable:
2001 Total compensable workyears: Full-time equivalent
employment ...............................................................

12,547
292

12,775
207

12,645
171

3,985

3,367

3,290

This appropriation provides Department-wide audit, investigation, and essential inspection and support functions to
identify and report weaknesses and deficiencies in VA programs and operations that create conditions for existing or
potential instances of fraud, waste, and mismanagement. The
audit function plans and conducts internal programmatic audits of all facets of VA operations. The investigative function
conducts proactive and reactive investigations of improper and
illegal activities involving VA programs, personnel, beneficiaries, and other third parties. The support function provides normal office administrative support as well as contract
audit services for all applicable Department contracts, personnel, and information security for the VA, and legislatively
mandated medical care quality assurance review and oversight.
Public Law 100–527, the Department of Veterans Affairs
Act, established a minimum level of full-time positions for
the Office of Inspector General (IG) based on the number
of full-time positions as of the date of enactment, plus an
additional 40 positions. The minimum level for VA’s IG office
is 417 FTE. This budget request funds 399 FTE positions;
18 fewer than the Secretary is required to provide for under
Public Law 100–527.
Object Classification (in thousands of dollars)

1 Reflects

common service FTE treated as reimbursements in all years and the effects of Credit Reform, per
P.L. 101–508.

OFFICE

OF

Personnel compensation:
11.1 Full-time permanent ......................................................
11.5 Other personnel compensation ......................................

INSPECTOR GENERAL

For necessary expenses of the Office of Inspector General in carrying out the provisions of the Inspector General Act of 1978, as amended, ø$31,819,000¿ $33,500,000. (Departments of Veterans Affairs and
Housing and Urban Development, and Independent Agencies Appropriations Act, 1995.)
Program and Financing (in thousands of dollars)
Identification code 36–0170–0–1–705

1994 actual

1995 est.

1996 est.

00.10
01.01

Program by activities:
Direct program ...............................................................
Reimbursable program ..................................................

31,402
782

31,815
1,111

33,500
1,153

10.00

Total obligations ........................................................

32,184

32,926

34,653

25.00

Financing:
Unobligated balance expiring ........................................

39.00

Budget authority (gross) ...........................................

11.9
12.1
13.0
21.0
21.0
22.0
23.1
23.3
24.0
25.2
26.0
31.0
42.0
99.9

32,926

34,653

40.00
40.75
43.00
68.00

Appropriation (total) .........................................
Permanent:
Spending authority from offsetting collections

31,819

Total obligations ........................................................

Identification code 36–0170–0–1–705

–4 ...................

31,436

31,815

33,500

782

1,111

1,153

Relation of obligations to outlays:
Total obligations ............................................................
32,184
32,926
34,653
Obligated balance, start of year:
72.10
Receivables from other government accounts .......... ...................
–245
–71
72.40
Unpaid obligations: Treasury balance ......................
5,321
5,989
1,659
Obligated balance, end of year:
74.10
Receivables from other government accounts ..........
245
71
75
74.40
Unpaid obligations: Treasury balance ......................
–5,989
–1,659
–1,747
77.00 Adjustments in expired accounts ..................................
–55 ................... ...................
Outlays (gross) ..........................................................

31,706

37,082

22,222
989

23,069
1,406

32,184

32,926

34,653

Total compensable workyears: Full-time equivalent
employment ...............................................................

1994 actual

1995 est.

411

400

1996 est.

399

33,500

71.00

87.00

21,761
895

1996 est.

Personnel Summary

1001
Budget authority:
Current:
Appropriation .........................................................
31,436
Procurement reduction pursuant to P.L. 103–
327 ................................................................... ...................

1995 est.

Total personnel compensation ..................................
22,656
23,211
24,475
Civilian personnel benefits ............................................
4,442
4,754
5,148
Benefits for former personnel ........................................ ...................
160
163
Travel and transportation of persons:
Travel and transportation of persons ............................
1,618
1,857
1,859
Motor pool travel ............................................................
123
133
135
Transportation of things ................................................
69
52
53
Rental payments to GSA ................................................
1,383
1,576
1,611
Communications, utilities, and miscellaneous charges
300
326
352
Printing and reproduction ..............................................
46
36
36
Other services ................................................................
1,062
635
635
Supplies and materials .................................................
194
134
134
Equipment ......................................................................
290
52
52
Insurance claims and indemnities ................................
1 ................... ...................

34 ................... ...................
32,218

1994 actual

Identification code 36–0170–0–1–705

NATIONAL CEMETERY SYSTEM
For necessary expenses for the maintenance and operation of the
National Cemetery System not otherwise provided for, including uniforms or allowances therefor, as authorized by law; cemeterial expenses as authorized by law; purchase of three passenger motor vehicles, for use in cemeterial operations; and hire of passenger motor
vehicles, ø$72,663,000¿ $75,308,000. (Departments of Veterans Affairs
and Housing and Urban Development, and Independent Agencies Appropriation Act, 1995.)
Program and Financing (in thousands of dollars)
Identification code 36–0129–0–1–705

34,569
00.10

Program by activities:
Direct obligations ...........................................................

1994 actual

70,397

1995 est.

72,604

1996 est.

75,308

DEPARTMENTAL ADMINISTRATION—Continued
Federal Funds—Continued

DEPARTMENT OF VETERANS AFFAIRS

865

01.01

Reimbursable obligations ..............................................

101

100

100

99.0

Reimbursable obligations ..............................................

101

100

100

10.00

Total obligations ........................................................

70,498

72,704

75,408

99.9

Total obligations ...................................................

70,498

72,704

75,408

Financing:
25.00 Unobligated balance expiring ........................................
39.00

40.00
40.75
43.00
68.00

Budget authority (gross) ...........................................

110 ................... ...................
70,608

72,704

Personnel Summary

72,663

1994 actual

Identification code 36–0129–0–1–705

1001

Budget authority:
Current:
Appropriation .........................................................
70,507
Procurement reduction pursuant to P.L. 103–
327 ................................................................... ...................
Appropriation (total) .........................................
Permanent:
Spending authority from offsetting collections

75,408

Total compensable workyears: Full-time equivalent
employment ...............................................................

1995 est.

1,311

1,340

1996 est.

1,340

75,308

–59 ...................

70,507

72,604

75,308

101

100

Intragovernmental funds:

100

SUPPLY FUND
Program and Financing (in thousands of dollars)

Relation of obligations to outlays:
71.00 Total obligations ............................................................
72.40 Obligated balance, start of year: Unpaid obligations:
Treasury balance .......................................................
74.40 Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................
77.00 Adjustments in expired accounts ..................................

70,498

72,704

75,408

22,500

10,540

7,260

Identification code 36–4537–0–4–705

1994 actual

1995 est.

1996 est.

Outlays (gross) ..........................................................

Adjustments to gross budget authority and outlays:
88.40 Offsetting collections from: Non-Federal sources .........
89.00
90.00

Budget authority (net) ...................................................
Outlays (net) ..................................................................

82,304

75,984

75,127

–101

–100
72,604
75,884

75,308
75,027

The following performance indicators pertain to several of
the key operation and maintenance functions of the National
Cemetery System. Summary information is presented on the
productivity, timeliness, and accuracy of the cemeterial and
headstone/marker activities of the organization.
1990 actual

Average days to complete applications for:
Stone monuments ...............................................................
Bronze markers ...................................................................
Monument application error rate ................................................
Wage grade FTE ..........................................................................
Interments per FTE ......................................................................
Acres maintained per FTE ...........................................................
Gravesites maintained per FTE ...................................................

1993 actual

1994 actual

19
9
0.5%
781.9
224
12.8
10,218

18
14
0.7%
828.0
250
13.3
9,874

20
16
1.1%
828.5
250
12.8
13,095

Memorial affairs.—Provides for the administration of the
National Cemetery System. Cemeterial operations include
overall program administration, maintenance of grounds and
equipment, and headstone procurement and assignment. Key
workload data follows:
WORKLOAD
1994 actual

315,383
68,836

1995 est.

11.1
11.3
11.5

Direct obligations:
Personnel compensation:
Full-time permanent .............................................
Other than full-time permanent ...........................
Other personnel compensation .............................

346,000
70,319

340,000
72,224

13,150
5,690

13,348
5,885

Total operating expenses ......................................
Capital investment:
Procurement, distribution, and services program:
Purchase of ...........................................................
Publication and reproduction program: Purchase of
equipment .............................................................

460,360

643,896

686,895

861

1,566

1,500

01.91

Total capital investment .......................................

875

1,637

1,500

10.00

Total obligations ........................................................

461,235

645,533

688,395

–80,734

–105,651

–31,001

01.01
01.02

Financing:
21.90 Unobligated balance available, start of year: Fund
balance ......................................................................
24.90 Unobligated balance available, end of year: Fund
balance ......................................................................
27.00 Capital transfer to general fund ...................................
68.00

Budget authority (gross): Spending authority from
offsetting collections ............................................

Relation of obligations to outlays:
Total obligations ............................................................
Obligated balance, start of year:
72.10
Receivables from other government accounts ..........
72.90
Fund balance .............................................................
Obligated balance, end of year:
74.10
Receivables from other government accounts ..........
74.90
Fund balance .............................................................
71.00

14

105,651
45,000

71 ...................

31,001
30,000
44,000 ...................

531,152

614,883

687,394

461,235

645,533

688,395

–36,006
142,994

–14,001
109,111

–15,000
140,760

14,001
–109,111

15,000
–140,760

24,108
–146,869

1994 actual

Outlays (gross) ..........................................................

473,113

614,883

691,394

88.00

Adjustments to gross budget authority and outlays:
Offsetting collections from: Federal sources .................

–531,152

–614,883

–687,394

89.00
90.00
1995 est.

Budget authority (net) ................................................... ................... ................... ...................
Outlays (net) ..................................................................
–58,039 ...................
4,000

1996 est.

35,522
4,390
548

36,969
5,299
149

38,177
5,703
149

40,460
10,449
592
176
887

42,417
11,385
700
192
907

44,029
11,789
731
180
927

24.0
25.2
26.0
31.0

Total personnel compensation .........................
Civilian personnel benefits .......................................
Travel and transportation of persons .......................
Transportation of things ...........................................
Rental payments to GSA ...........................................
Communications, utilities, and miscellaneous
charges .................................................................
Printing and reproduction .........................................
Other services ............................................................
Supplies and materials .............................................
Equipment .................................................................

2,986
292
7,560
4,613
2,382

3,352
330
7,055
4,235
2,031

3,712
336
7,295
4,409
1,900

99.0

Subtotal, direct obligations ..................................

70,397

72,604

75,308

11.9
12.1
21.0
22.0
23.1
23.3

11,476
5,781

1996 est.

Object Classification (in thousands of dollars)
Identification code 36–0129–0–1–705

631,090
36,572

87.00

[In thousands]

Headstone applications ...............................................................
Interments ...................................................................................

586,850
38,206

–100

70,507
82,203

397,368
45,735

00.91

87.00

–10,540
–7,260
–7,541
–154 ................... ...................

Program by activities:
Operating expenses:
Procurement, distribution, and services program:
00.01
Cost of goods sold ................................................
00.02
Other .....................................................................
Publication and reproduction program:
00.03
Cost of goods sold ................................................
00.04
Other .....................................................................

Under the provisions of 38 U.S.C. 8121, the Supply Fund
is responsible for the operation and maintenance of a supply
system for VA. The Supply Fund is an intragovernmental
revolving fund without fiscal year limitations. During 1994,
the Supply Fund completed its conversion from a depot storage to a vendor, just-in-time, delivery system. As a result,
the supply depot in Bell, California was closed and the supply
depots in Hines, Illinois and Somerville, New Jersey were
converted to service and distribution centers.
Budget program.—The fund provides financial support for:
(1) a National Acquisition Center or central contracting office;
(2) the maintenance of field station inventories; (3) a service
and distribution center; (4) a publications depot; (5) a service
and reclamation program; (6) a national prosthetics distribution center; and (7) an asset management service.

866

DEPARTMENTAL ADMINISTRATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 1996
72.40

Intragovernmental funds—Continued
SUPPLY FUND—Continued

74.40

Costs for the administration of supply activities at VA field
stations are not financed by the Supply Fund. These costs
are charged directly to applicable appropriations.
Financing.—Costs of supplies, equipment, and services acquired through the Supply Fund and Supply Fund operating
costs are recovered through reimbursements from the VA appropriations and other Government agencies receiving goods
and services. For 1996, Supply Fund sales are estimated to
reach $630 million. Average inventory needed to support
those sales will be $40 million.
Operating results.—The Fund operated at a loss of $20 million in 1994. The new total of retained earnings is $36.4
million, which has been used to finance inventory growth.
Operating expense as related to sales was 10.2 percent.
FTE.—FTE estimates for 1995 and 1996 reflect the transfer
of three FTE from the Supply Fund to the Office of Finance
and Information Resources Management. These FTE will be
located in Austin, Texas and will perform acquisitions funded
by Austin-based VA organizational elements.

90.00

Obligated balance, start of year: Unpaid obligations:
Treasury balance .......................................................
Obligated balance, end of year: Unpaid obligations:
Treasury balance .......................................................

47

4

4

–4

–4

–4

Outlays .......................................................................

62

50

45

The Secretary is authorized to accept gifts and bequests
which are made for the purpose of beautifying national cemeteries or are determined to be beneficial to such cemeteries,
or are made for the purpose of the operation, maintenance,
or improvement of the National Memorial Cemetery of Arizona.
Object Classification (in thousands of dollars)
Identification code 36–8129–0–7–705

1994 actual

11.1
11.3
11.5
11.9
12.1
21.0
21.0
22.0
23.1
23.2
23.3
24.0
25.1
25.2
26.0
31.0
31.0
99.9

Personnel compensation:
Full-time permanent ......................................................
Other than full-time permanent ....................................
Other personnel compensation ......................................

1995 est.

1996 est.

22,677
19,997
18,432
15 ................... ...................
2,175
1,027
1,066
21,024
4,699
1,675
75
3,500
1,749
90
2,009
13,150
2,117
6,548
377,260

1,940
78
3,550
1,787
60
1,972
13,568
2,420
5,513
393,852

1,637
210,000

1,500
237,957

645,533

461,235

19,498
4,700

688,395

Personnel Summary
1994 actual

Identification code 36–4537–0–4–705

5001
5005

Total compensable workyears:
Full-time equivalent employment ..................................
Full-time equivalent of overtime and holiday hours

1995 est.

589
9

466
4

1996 est.

419
6

Trust Funds
NATIONAL CEMETERY GIFT FUND
Program and Financing (in thousands of dollars)
Identification code 36–8129–0–7–705

10.00

Program by activities:
Total obligations ............................................................

28
22

25
20

99.9

Total obligations ........................................................

19

50

45

ADMINISTRATIVE PROVISIONS

71.00

1995 est.

1996 est.

Any appropriation for ø1995¿ 1996 for ‘‘Compensation and pensions’’, ‘‘Readjustment benefits’’, and ‘‘Veterans insurance and indemnities’’ may be transferred to any other of the mentioned appropriations.
Appropriations available to the Department of Veterans Affairs
for ø1995¿ 1996 for salaries and expenses shall be available for services as authorized by 5 U.S.C. 3109.
No part of the appropriations in this Act for the Department of
Veterans Affairs (except the appropriations for ‘‘Construction, major
projects’’, ‘‘Construction, minor projects’’ and the ‘‘Parking revolving
fund’’) shall be available for the purchase of any site for or toward
the construction of any new hospital or home.
No part of the foregoing appropriations shall be available for hospitalization or examination of any persons except beneficiaries entitled under the laws bestowing such benefits to veterans, unless reimbursement of cost is made to the appropriation at such rates as
may be fixed by the Secretary of Veterans Affairs.
Appropriations available to the Department of Veterans Affairs
for fiscal year ø1995¿ 1996 for ‘‘Compensation and pensions’’, ‘‘Readjustment benefits’’, and ‘‘Veterans insurance and indemnities’’ shall
be available for payment of prior year accrued obligations required
to be recorded by law against the corresponding prior year accounts
within the last quarter of fiscal year ø1994¿ 1995.
Appropriations accounts available to the Department of Veterans
Affairs for fiscal year ø1995¿ 1996 shall be available to pay prior
year obligations of corresponding prior year appropriations accounts
resulting from title X of the Competitive Equality Banking Act, Public
Law 100–86, except that if such obligations are from trust fund
accounts they shall be payable from ‘‘Compensation and pensions’’.
øOf the budgetary resources available to the Department of Veterans Affairs during fiscal year 1995, $20,742,000 are permanently
canceled. The Secretary of Veterans Affairs shall allocate the amount
of budgetary resources canceled among the Department’s accounts
available for procurement and procurement-related expenses.
Amounts available for procurement and procurement-related expenses
in each such account shall be reduced by the amount allocated to
such account. For the purposes of this section, the definition of ‘‘procurement’’ includes all stages of the process of acquiring property
or services, beginning with the process of determining a need for
a product or service and ending with contract completion and closeout, as specified in 41 U.S.C. 403(2).¿ (Departments of Veterans Affairs and Housing and Urban Development, and Independent Agencies
Appropriation Act, 1995.)

19

50

45

–81

–88

–68

88

68

53

TITLE V—GENERAL PROVISIONS

Budget authority (appropriation) (trust fund, indefinite) .......................................................................

26

30

30

The following sections are proposed for deletion and do not appear
below:

Relation of obligations to outlays:
Total obligations ............................................................

19

50

45

Sec. 501 ...

Financing:
21.40 Unobligated balance available, start of year: Treasury
balance ......................................................................
24.40 Unobligated balance available, end of year: Treasury
balance ......................................................................
60.27

1994 actual

1996 est.

10
9

(INCLUDING TRANSFER OF FUNDS)

Total personnel compensation ..................................
24,867
Civilian personnel benefits ............................................
5,893
Travel and transportation of persons:
Employee travel ..............................................................
1,707
Interagency motor pool payments .................................
64
Transportation of things ................................................
6,402
Rental payments to GSA ................................................
2,335
Rental payments to others ............................................ ...................
Communications, utilities, and miscellaneous charges
1,789
Printing and reproduction ..............................................
11,758
Advisory and assistance services ..................................
2,200
Other services ................................................................
7,771
Supplies and materials .................................................
245,802
Equipment:
Equipment for use of fund ............................................
875
Equipment for sale to others ........................................
149,772
Total obligations ........................................................

1995 est.

Supplies and materials .................................................
Equipment ......................................................................

Object Classification (in thousands of dollars)
Identification code 36–4537–0–4–705

1994 actual

26.0
31.0

Limitation on travel expenses.

DEPARTMENT OF VETERANS AFFAIRS
Sec. 509 ...
Sec. 515 ...

Prohibition against use of funds for personnel compensation and benefits to be available for other object classifications.
Provision for pay absorption.

SEC. ø502¿ 501. Appropriations and funds available for the administrative expenses of the Department of Housing and Urban Development and the Selective Service System shall be available in the
current fiscal year for purchase of uniforms, or allowances therefor,
as authorized by law (5 U.S.C. 5901–5902); hire of passenger motor
vehicles; and services as authorized by 5 U.S.C. 3109.
SEC. ø503¿ 502. Funds of the Department of Housing and Urban
Development subject to the Government Corporation Control Act or
section 402 of the Housing Act of 1950 shall be available, without
regard to the limitations on administrative expenses, for legal services on a contract or fee basis, and for utilizing and making payment
for services and facilities of Federal National Mortgage Association,
Government National Mortgage Association, Federal Home Loan
Mortgage Corporation, Federal Financing Bank, Resolution Trust
Corporation, Federal Reserve banks or any member thereof, Federal
Home Loan banks, and any insured bank within the meaning of
the Federal Deposit Insurance Corporation Act, as amended (12
U.S.C. 1811–1831).
SEC. ø504¿ 503. No part of any appropriation contained in this
Act shall remain available for obligation beyond the current fiscal
year unless expressly so provided herein.
SEC. ø505¿ 504. No funds appropriated by this Act may be expended—
(1) pursuant to a certification of an officer or employee of the
United States unless—
(A) such certification is accompanied by, or is part of, a voucher
or abstract which describes the payee or payees and the items
or services for which such expenditure is being made, or
(B) the expenditure of funds pursuant to such certification,
and without such a voucher or abstract, is specifically authorized
by law; and
(2) unless such expenditure is subject to audit by the General
Accounting Office or is specifically exempt by law from such audit.
SEC. ø506¿ 505. None of the funds provided in this Act to any
department or agency may be expended for the transportation of
any officer or employee of such department or agency between his
domicile and his place of employment, with the exception of any
officer or employee authorized such transportation under title 31,
United States Code, section 1344.
SEC. ø507¿ 506. None of the funds provided in this Act may be
used for payment, through grants or contracts, to recipients that
do not share in the cost of conducting research resulting from proposals not specifically solicited by the Government: Provided, That the
extent of cost sharing by the recipient shall reflect the mutuality
of interest of the grantee or contractor and the Government in the
research.
SEC. ø508¿ 507. None of the funds provided in this Act may be
used, directly or through grants, to pay or to provide reimbursement
for payment of the salary of a consultant (whether retained by the
Federal Government or a grantee) at more than the daily equivalent
of the rate paid for Level IV of the Executive Schedule, unless specifically authorized by law.
SEC. ø510¿ 508. None of the funds in this Act shall be used to
pay the expenses of, or otherwise compensate, non-Federal parties
intervening in regulatory or adjudicatory proceedings. Nothing herein
affects the authority of the Consumer Product Safety Commission
pursuant to section 7 of the Consumer Product Safety Act (15 U.S.C.
2056 et seq.).

TITLE V—GENERAL PROVISIONS—Continued
Trust Funds—Continued

867

SEC. ø511¿ 509. Except as otherwise provided under existing law
or under an existing Executive order issued pursuant to an existing
law, the obligation or expenditure of any appropriation under this
Act for contracts for any consulting service shall be limited to contracts which are (1) a matter of public record and available for public
inspection, and (2) thereafter included in a publicly available list
of all contracts entered into within twenty-four months prior to the
date on which the list is made available to the public and of all
contracts on which performance has not been completed by such
date. The list required by the preceding sentence shall be updated
quarterly and shall include a narrative description of the work to
be performed under each such contract.
SEC. ø512¿ 510. Except as otherwise provided by law, no part
of any appropriation contained in this Act shall be obligated or expended by any executive agency, as referred to in the Office of Federal Procurement Policy Act (41 U.S.C. 401 et seq.), for a contract
for services unless such executive agency (1) has awarded and entered
into such contract in full compliance with such Act and the regulations promulgated thereunder, and (2) requires any report prepared
pursuant to such contract, including plans, evaluations, studies, analyses and manuals, and any report prepared by the agency which
is substantially derived from or substantially includes any report
prepared pursuant to such contract, to contain information concerning
(A) the contract pursuant to which the report was prepared, and
(B) the contractor who prepared the report pursuant to such contract.
SEC. ø513¿ 511. Except as otherwise provided in section ø506¿
505, none of the funds provided in this Act to any department or
agency shall be obligated or expended to provide a personal cook,
chauffeur, or other personal servants to any officer or employee of
such department or agency.
SEC. ø514¿ 512. None of the funds provided in this Act to any
department or agency shall be obligated or expended to procure passenger automobiles as defined in 15 U.S.C. 2001 with an EPA estimated miles per gallon average of less than 22 miles per gallon.
SEC. ø516¿ 513. None of the funds appropriated in title I of this
Act shall be used to enter into any new lease of real property if
the estimated annual rental is more than $300,000, unless the Secretary submits, in writing, a report to the Committees on Appropriations of the Congress and a period of 30 days has expired following
the date on which the report is received by the Committees on Appropriations.
SEC. ø517¿ 514. (a) PURCHASE OF AMERICAN-MADE EQUIPMENT AND
PRODUCTS.—It is the sense of the Congress that, to the greatest
extent practicable, all equipment and products purchased with funds
made available in this Act should be American-made.
(b) NOTICE REQUIREMENT.—In providing financial assistance to, or
entering into any contract with, any entity using funds made available in this Act, the head of each Federal agency, to the greatest
extent practicable, shall provide to such entity a notice describing
the statement made in subsection (a) by the Congress.
SEC. ø518¿ 515. None of the funds appropriated in this Act may
be used to implement any cap on reimbursements to grantees for
indirect costs, except as published in Office of Management and Budget Circular A–21.
SEC. 516. Not to exceed 2 percent of any appropriation or earmarked
amount made available for the current fiscal year for the Department
of Housing and Urban Development in this Act may be transferred
between such appropriations or earmarked amounts, but no such appropriation or earmarked amount shall be increased or decreased
by more than 2 percent by any such transfers. (Departments of Veterans Affairs and Housing and Urban Development, and Independent
Agencies Appropriations Act, 1995.)