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SMALL BUSINESS ADMINISTRATION The budget requests $1,062 million in new budget authority for the Small Business Administration (SBA). This funding request represents a very strategic investment of the Federal budget dollar. Therefore, we characterized the theme of our 2001 budget as ‘‘Managing for Results.’’ The Administration’s spending plans for 2000 and 2001 have been developed in conjunction with the Government Performance and Results Act (GPRA) and provide better service and more assistance to small businesses as we enter the 21st century. SBA has identified two broad goals: helping small businesses succeed and modernization. The first goal reflects an emphasis on increasing assistance and access to individuals and firms in new market areas and involves providing a wide range of services and programs including capital, credit, technical assistance, training, education, and procurement assistance. The second goal emphasizes improvements in the delivery of services to customers by upgrading the systems that support programs, by investing in training to enhance skill levels of employees, and by improving the overall operation of the Agency. This budget includes a comprehensive new markets agenda to better serve small businesses in these areas including: an expanded new markets venture capital program of $150 million in debentures with $30 million in related technical assistance; $15 million for PRIME technical assistance; an expanded microloan loan program of $60 million with $45 million in related technical assistance; $6.6 million for an expanded BusinessLINC mentor-protege program; and $3 million to establish reservation-based Native American Small Business Development Centers. General and special funds: AND 1999 actual Identification code 73–0100–0–1–376 2000 est. 2001 est. Obligations by program activity: Government contracting and minority enterprise development ....................................................................... 00.02 Disaster assistance ....................................................... 00.04 Management and administration .................................. 00.05 Executive direction ......................................................... 00.06 General counsel ............................................................. 00.07 Congressional and legislative affairs ........................... 00.08 Hearings and appeals ................................................... 00.09 Communications and publications ................................ 00.11 Advocacy ........................................................................ 00.12 Field operations ............................................................. 00.13 Equal employment opportunity and civil rights compliance ........................................................................... 00.14 Regional and district offices ......................................... 00.15 Chief financial officer .................................................... 00.16 Capital Access ............................................................... 00.17 Entrepreneurial development ......................................... 00.18 Small disadvantaged businesses .................................. 26 116 74 11 7 1 1 3 5 2 30 118 71 12 7 1 1 3 6 2 2 134 11 43 137 8 2 2 137 142 11 7 59 28 134 6 12 ................... 10.00 581 606 00.01 Total new obligations ................................................ Budgetary resources available for obligation: Unobligated balance available, start of year ............... 17 3 New budget authority (gross) ........................................ 568 601 Resources available from recoveries of prior year obligations ....................................................................... 3 2 22.21 Unobligated balance transferred to other accounts ................... ................... 22.22 Unobligated balance transferred from other accounts ................... ................... 21.40 22.00 22.10 23.90 23.95 23.98 24.40 Total budgetary resources available for obligation Total new obligations .................................................... Unobligated balance expiring or withdrawn ................. Unobligated balance available, end of year ................. 20 124 96 10 7 1 1 3 5 1 453 ................... 453 ................... ................... ................... 588 606 453 ¥581 ¥606 ¥453 ¥4 ................... ................... 3 ................... ................... New budget authority (gross), detail: Discretionary: 40.00 Appropriation ............................................................. 288 323 163 40.76 Reduction pursuant to P.L. 106–113 ....................... ................... ¥3 ................... 42.00 Transferred from other accounts .............................. 5 ................... ................... Federal Funds SALARIES Program and Financing (in millions of dollars) EXPENSES For necessary expenses, not otherwise provided for, of the Small Business Administration as authorized by Public Law 105–135, including hire of passenger motor vehicles as authorized by 31 U.S.C. 1343 and 1344, and not to exceed $3,500 for official reception and representation expenses, ø$282,300,000¿ $163,000,000: Provided, That the Administrator is authorized to charge fees to cover the cost of publications developed by the Small Business Administration, and certain loan servicing activities: Provided further, That, notwithstanding 31 U.S.C. 3302, revenues received from all such activities shall be credited to this account, to be available for carrying out these purposes without further appropriationsø: Provided further, That $84,500,000 shall be available to fund grants for performance in fiscal year 2000 or fiscal year 2001 as authorized by section 21 of the Small Business Act, as amended.¿ øIn addition, for the costs of programs related to the New Markets Venture Capitol program, $10,500,000, of which $1,500,000 shall be for BusinessLINC, and of which $9,000,000 shall be for technical assistance: Provided, That the funds appropriated under this paragraph shall not be available for obligation until the New Markets Venture Capitol program is authorized by subsequent legislation.¿ In addition, to reimburse the Small Business Administration for qualified expenses of delinquent non-tax debt collection, to be derived from increased agency collections of delinquent debt, 5 percent of such collections but not to exceed $3,000,000. (Departments of Commerce, Justice, and State, the Judiciary, and Related Agencies Appropriations Act, 2000, as enacted by section 1000(a)(1) of the Consolidated Appropriations Act, 2000 (P.L. 106–113).) 43.00 68.00 Appropriation (total discretionary) ........................ Spending authority from offsetting collections: Offsetting collections (cash) .............................................. 293 320 163 275 281 290 70.00 Total new budget authority (gross) .......................... 568 601 453 Change in unpaid obligations: Unpaid obligations, start of year: Obligated balance, start of year .............................................................. 73.10 Total new obligations .................................................... 73.20 Total outlays (gross) ...................................................... 73.40 Adjustments in expired accounts (net) ......................... 73.45 Adjustments in unexpired accounts .............................. 74.40 Unpaid obligations, end of year: Obligated balance, end of year ................................................................ 182 581 ¥538 ¥5 ¥3 72.40 217 224 606 453 ¥585 ¥521 ¥12 ................... ¥2 ................... 217 224 156 86.90 86.93 Outlays (gross), detail: Outlays from new discretionary authority ..................... Outlays from discretionary balances ............................. 436 102 457 128 380 141 87.00 Total outlays (gross) ................................................. 538 585 521 Offsets: Against gross budget authority and outlays: Offsetting collections (cash) from: Federal sources: 88.00 Payments from business loan program account ............................................................ 88.00 Payments from disaster loan program account 88.00 Federal sources ................................................ 88.40 Non-Federal sources ............................................. ¥114 ¥147 ¥11 ¥3 ¥129 ¥133 ¥136 ¥154 ¥13 ................... ¥3 ¥3 1079 VerDate 04-JAN-2000 12:46 Jan 28, 2000 Jkt 186484 PO 00000 Frm 00001 Fmt 3616 Sfmt 3643 E:\BUDGET\SBA.XXX pfrm02 PsN: SBA 1080 THE BUDGET FOR FISCAL YEAR 2001 Federal Funds—Continued General and special funds—Continued SALARIES AND EXPENSES—Continued Program and Financing (in millions of dollars)—Continued 1999 actual Identification code 73–0100–0–1–376 2000 est. 2001 est. 88.90 Total, offsetting collections (cash) .................. ¥275 ¥281 ¥290 89.00 90.00 Net budget authority and outlays: Budget authority ............................................................ Outlays ........................................................................... 293 263 320 304 163 231 The Administration proposes to separate the Salaries and Expenses account into the following two accounts: (1) Salaries and Expenses—includes compensation and benefits, technological investments, supplies, contracts, and the general administrative costs of operating SBA’s various programs, etc; (2) Non-Credit Business Assistance Programs—includes a variety of programs in Entrepreneurial Development, Government Contracting and Minority and Enterprise Development, and Capital Access, as well as the offices of Advocacy and the National Ombudsman. The following components of the Salaries and Expenses Account are detailed below. Executive Direction.—Executive Direction includes the Office of the Administrator, Equal Employment Opportunity and Civil Rights Compliance (EEO&CRC), Congressional and Legislative Affairs (CLA), Hearings and Appeals (HA), General Counsel, Field Operations, Communications and Public Liaison (CPL), and the Office of the Chief Financial Officer (CFO). The Office of the Administrator provides general management to the SBA organization. The Office of EEO & CRC ensures SBA and its programs comply with all applicable equal opportunity laws and regulations. The Office of CLA provides agency wide support and coordination for all congressional activities. The Office of HA decides size, Small Disadvantaged Business, FOIA and other administrative appeals and processes SBREFA complaints for the Agency. The Office of the General Counsel provides agency wide legal support and advice. The Office of Field Operations oversees and provides management and operational support to SBA’s regional and district offices. SBA’s field offices are an important delivery mechanism of SBA services to small businesses. The Office of CPL coordinates SBA’s marketing, public outreach, and public information programs. The Office of the CFO administers SBA’s budget and financial management activities, including financial systems, subsidy rates, financial reporting, and internal control activities. SBA also has a Policy unit that directs and coordinates the Agency’s planning and oversight of management processes under the Government Performance and Results Act (GPRA). Management and Administration.—The Associate Deputy Administrator for Management and Administration (ADA) directs the Office of the Chief Information Officer (OCIO), Office of Administration (OA), and Office of Human Resources (OHR). The OCIO has lead responsibility for SBA’s systems modernization initiatives and its Y2K resolution. The Office of Administration administers SBA’s space management, printing, and procurement and grants management programs. The Office of Human Resources administers SBA’s workforce planning and management efforts, including workforce training programs. Program Performance Management and Administration: Workforce Transition.—In order to effectively transition SBA’s workforce to the new roles and responsibilities facing the Agency today and into the 21st Century, we request $4 million (included in the operating expenses) to support in- VerDate 04-JAN-2000 12:46 Jan 28, 2000 Jkt 186484 PO 00000 Frm 00002 creased training and to transition our staff to a more customer-focused and community-based structure. SBA Modernization.—The funding request of $13 million (included in the operating expenses) provides the next annual installment of $8 million toward this multi-year systems effort, plus $5 million toward the disaster loan systems project. This systems modernization project will result in more modern and efficient delivery of SBA’s programs and services and increases efficiencies. The upgrading and/or replacement of our financial management systems for loan programs and budgeting transactions will have a positive impact on our internal risk management, planning, control processes, financial reporting and compliance with law in areas such as systems security, standard general ledger, etc. Also, we anticipate that the deployment of a paperless disaster home loan application process may result in as much as $20–$25 million annually in reduced administrative expenses, making this extra systems investment very cost effective. We have in place a five-year plan to modernize all of our major systems and processes. Significant progress was made on Phase I (Loan Monitoring and Oversight) in 1998 and 1999. We anticipate hardware acquisition and software development in 2000 and 2001, leading to full modernization implementation in 2002– 2003. Other Information Technology Investments.—The budget includes $7.0 million (in the operating expenses) to contract for on-going computer upgrades, maintenance, and acquisition of the latest operating system. SBA’s technology infrastructure is two generations behind current standards and may not be supported in the near future. This investment will improve our extensive interaction with the public and external resource partners and will support our systems modernization efforts, which require increased computer capability. Administrative Operating Expenses.—For 2001, the funding request for general and administrative operating expenses is $328.5 million ($163 from the Salaries and Expenses account, $132.5 million from the Business Loans program account, and $30 million from the Disaster Loan Program account, and $3 million in fees). This funding level maintains the current workforce. The increased funds in 2001 will allow us to maintain a current services level of operations, provide an employee pay raise in January of 2001, and cover anticipated inflationary increases in areas such as telephones and rents. Performance Goals Program and Policy Goals under the GPRA.—Small business success remains a primary policy of this Administration. The SBA’s mission is to maintain and strengthen the nation’s economy by aiding, counseling, assisting, and protecting the interests of small businesses and by helping families and businesses recover from disasters. The following three program and policy goals form the basis of the programs for which we are requesting funding: (1) help small businesses succeed, particularly in new market segments, through fair and equitable access to capital, government contracts, business development, and policy representation and advocacy support; (2) modernize the SBA through a trained and motivated workforce, expanded use of electronic tools, upgraded information systems, and improved lender oversight; and (3) help families and businesses recover from natural disasters through access to needed capital and credit. SBA’s Strategic Plan.—SBA’s five-year strategic plan developed in 1998 includes the specific goals and strategies to be employed in 1998–2003 to accomplish this mission. This plan is updated annually based on current actual performance against measurable goals, the impact of actual appropriations, and their impact on Agency goals and objectives for future years. Monthly reviews are completed to determine actual Fmt 3616 Sfmt 3616 E:\BUDGET\SBA.XXX pfrm02 PsN: SBA SMALL BUSINESS ADMINISTRATION Federal Funds—Continued performance against goals; recommendations are made on the review process for any unfavorable variances. Object Classification (in millions of dollars) 1999 actual Identification code 73–0100–0–1–376 11.1 11.3 11.5 11.9 12.1 21.0 23.1 23.3 24.0 25.2 26.0 31.0 41.0 92.0 92.0 92.0 99.9 Personnel compensation: Full-time permanent .................................................. Other than full-time permanent ............................... Other personnel compensation .................................. 2000 est. 167 10 5 169 11 5 2001 est. 169 10 5 Total personnel compensation .............................. 182 185 184 Civilian personnel benefits ............................................ 42 42 43 Travel and transportation of persons ............................ 6 5 5 Rental payments to GSA ................................................ 28 29 29 Communications, utilities, and miscellaneous charges 9 10 10 Printing and reproduction .............................................. 1 ................... ................... Other services ................................................................ 46 45 56 Supplies and materials ................................................. ................... 1 1 Equipment ...................................................................... 2 1 1 Grants, subsidies, and contributions ............................ 143 160 ................... Undistributed: Undistributed (disaster loan making) ....................... 86 87 90 Undistributed (disaster loan servicing) .................... 28 29 34 Undistributed (SDB) .................................................. 8 12 ................... Total new obligations ................................................ f 581 606 453 Personnel Summary Identification code 73–0100–0–1–376 1001 1999 actual Total compensable workyears: Full-time equivalent employment ............................................................... 2000 est. 4,567 4,509 2001 est. 4,288 Note.—The personnel summary includes regular (non-disaster) full-time equivalents (FTEs) of 2,979, 3,242, and 3,279 in 1998, 1999, and 2000 respectively. NON-CREDIT BUSINESS ASSISTANCE PROGRAMS For non-credit programs authorized under the Small Business Act, as amended, $256,050,000, of which $89,500,000 shall be for grants for performance in fiscal year 2001 or fiscal year 2002: Provided, That (1) $85,000,000 shall be for grants for the purposes authorized by section 21 of such Act, (2) $3,000,000 to establish a reservationbased Native American Small Business Development Center network, including subcenters, to serve Native Americans on a national basis subject to section 21 of such Act but without the necessity for matching funds, and (3) $1,500,000 to support the Tribal Business Information Centers: Provided further, That any balances of FY2000 funds appropriated for these non-credit programs under the heading, ‘‘Salaries and Expenses’’, may be transferred to this heading, to be available to carry out these programs and to be available for the time period originally provided. Program and Financing (in millions of dollars) 1999 actual Identification code 73–1155–0–1–376 2000 est. 2001 est. 00.01 09.02 Obligations by program activity: Non-Credit Business Assistance Programs (Gross) ...... ................... ................... Reimbursable program .................................................. ................... ................... 256 9 10.00 Total new obligations ................................................ ................... ................... 265 22.00 23.95 24.40 Budgetary resources available for obligation: New budget authority (gross) ........................................ ................... ................... 265 Total new obligations .................................................... ................... ................... ¥265 Unobligated balance available, end of year ................. ................... ................... ................... New budget authority (gross), detail: Discretionary: 40.00 Appropriation ............................................................. ................... ................... 68.00 Spending authority from offsetting collections: Offsetting collections (cash) .............................................. ................... ................... 256 70.00 Total new budget authority (gross) .......................... ................... ................... 265 73.10 73.20 74.40 Change in unpaid obligations: Total new obligations .................................................... ................... ................... Total outlays (gross) ...................................................... ................... ................... Unpaid obligations, end of year: Obligated balance, end of year ................................................................ ................... ................... VerDate 04-JAN-2000 12:46 Jan 28, 2000 Jkt 186484 PO 00000 9 265 ¥150 115 Frm 00003 1081 Outlays (gross), detail: Outlays from new discretionary authority ..................... ................... ................... 150 Offsets: Against gross budget authority and outlays: 88.00 Offsetting collections (cash) from: Federal sources ................... ................... ¥9 Net budget authority and outlays: Budget authority ............................................................ ................... ................... Outlays ........................................................................... ................... ................... 256 141 86.90 89.00 90.00 This appropriation funds the non-credit business assistance programs administered by SBA, including Small Business Development Centers (SBDCs), Women’s Business Centers, HUBZone Empowerment Contracting, Electronic Commerce, New Markets Technical Assistance, and PRIME. The administrative funding for most of these programs is provided in the Salaries and Expenses account. The following program areas are responsible for the direction of the non-credit business assistance programs: Entrepreneurial Development.—The Associate Deputy Administrator (ADA) for this function directs the following SBA programs: Women’s Business Ownership; Small Business Development Centers; Veteran’s Affairs; Office of Native American Affairs; and Business Initiatives, which includes the Service Corps of Retired Executives. These programs provide outreach and technical assistance to small business communities, especially women, Veterans, and minorities. Through special initiatives such as the One Stop Capital Shops, Distance Learning, Welfare to Work and Entrepreneurship for Adults with Disabilities, SBA will increase its access to entrepreneurs, particularly in ’’new markets.’’ Government Contracting and Minority Enterprise Development.—The Associate Deputy Administrator for this function directs the following SBA programs: Government Contracting; Section 8(a) Business Development; Technology; HUBZone Empowerment Contracting; and Size Standards. These offices are responsible for effectively advocating for small businesses in the area of government contracting and Federal research and development. Government contracting activities are aimed at ensuring that small businesses receive a fair share of Federal procurement awards. The Section 8(a) Business Development program provides assistance to socially and economically disadvantaged small business concerns, primarily in the areas of business development and Federal procurement. Through this office, SBA assists firms that are owned by disadvantaged persons to help them develop into viable competitive businesses in a reasonable period of time. This office also administers the government-wide Small Disadvantaged Business (SDB) program, certifying firms as SDB to facilitate their active participation in Federal procurement. The HUBZone Empowerment Contracting program promotes economic development, community empowerment, and job growth in underutilized urban and rural communities. Capital Access.—The Associate Deputy Administrator (ADA) for this function directs the following SBA programs: Financial Assistance; Surety Bond Guarantees; Investment; and International Trade. These offices are responsible for the administration of all SBA credit and international trade and lending programs. The capital and credit programs administered through these offices and delivered in SBA’s field offices provide small businesses access to the financing needs they have to start and grow their businesses, especially those businesses and individuals located in new market areas. SBA offers many lending programs, such as 7(a) and SBIC, and tools, such as LowDoc and SBA Express to enhance small business access to these programs. Fmt 3616 Sfmt 3616 E:\BUDGET\SBA.XXX pfrm02 PsN: SBA 1082 THE BUDGET FOR FISCAL YEAR 2001 Federal Funds—Continued General and special funds—Continued NON-CREDIT BUSINESS ASSISTANCE PROGRAMS—Continued Program Performance Entrepreneurial Development: Small Business Development Centers (SBDCs).—The SBDCs provide long term counseling to small businesses at about 1,000 locations in 50 states and Puerto Rico, Guam, and the District of Columbia. In 1999, more than 595,000 customers were served, of which 42 percent were women and 23 percent were minorities. For 2001, the budget process proposes federal funding of $85 million. Native American Small Business Development Centers (NASBDs).—The budget proposes $3 million to establish a reservation-based Native American Small Business Development Center network to serve Native American entrepreneurs. Women’s Business Centers.—Through this program, the SBA awards grants to nonprofit organizations to deliver entrepreneurial training programs to women business owners or those interested in starting businesses. In 1999, 59 funded and 22 graduated women’s business centers were operating in 47 states, the District of Columbia, Puerto Rico, and the Virgin Islands. Each offers financial, management, marketing and technical assistance to current and potential women business owners. In 2000, with the $9 million appropriation we will fund approximately 12 recompeted centers, approximately 6– 8 new centers, and the continuation of funding for 45 centers. With the 2001 funding request of $12 million, we will expand coverage in all 50 states. We propose that in 2001, there will be 46 centers with current funding cycles, 12 centers with ongoing second funding cycles, 13 additional recompeted centers, and approximately 15 new centers. In addition, we will continue two initiatives begun in 1996: OWBOZone, an intranet that links all of the Women’s Business Centers; and the Online Women’s Business Center on the Internet, which allows women nationwide to have access to the same services offered by the centers. One Stop Capital Shops (OSCS).—OSCSs are located in Empowerment Zones and Enterprise Communities. This program’s objective is to stimulate and sustain economic revitalization in distressed areas. An OSCS is a partnership between SBA and a local community designed to offer small business assistance under one roof from an easy to access, retail location. Each is unique, is located in a distressed area, and targets new urban and rural markets. For 2001, we propose funding of $10.0 million for the OSCS program to support the existing network of One-Stop locations and to open new OSCS centers in the new Empowerment Zones. Native American Outreach Through Tribal Business Information Centers (TBICs).—With $1.5 million SBA will provide reservation and non-reservation-based entrepreneurs access to state-of-the-art computer hardware and software, one-onone business counseling services, and business development workshops. The facilitators of these centers have received extensive technical training in SBA’s lending, business development and entrepreneurial development programs. In 1999, these centers served approximately 3,926 clients, provided 4,757 hours of business counseling, held approximately 200 workshops, assisted in the completion of approximately 192 business plans and 123 loan packages, and were instrumental in the startup of approximately 171 new businesses. Veteran’s Outreach.—The budget proposes $4 million in 2001 to implement the Veteran’s Entrepreneurship and Small Business Development Act of 1999. With this funding, SBA will be able to assist the authorized corporation in its operation and provide enhanced training and technical assistance to America’s veterans. VerDate 04-JAN-2000 12:46 Jan 28, 2000 Jkt 186484 PO 00000 Frm 00004 Service Corps of Retired Executives (SCORE).—For 2001, the budget proposes a funding level of $5.0 million for this program. The additional funding will provide upgrades to the SCORE computer network. Using one-on-one counseling and workshops, SCORE reaches approximately 383,000 business owners annually using approximately 12,500 counselors through 389 chapters located across the country. Counseling costs to the Government are less than $3 per hour. Business Information Centers (BIC).—These centers offer self-help hardware, software and reference materials, and onsite counseling provided by SCORE volunteers. Individuals who are in business or are interested in starting a business will find many resources specifically targeted at helping businesses grow or find new market niches. For 2001, the budget includes $700 thousand to support these locations. Government Contracting and Minority Enterprise Development: Section 8(a) Business Development.—SBA administers a number of programs and initiatives to support the business development and contracting goals of socially and economically disadvantaged businesses. These include the Section 8(a) program and the Section 7(j) technical assistance programs. The Section 8(a) program certifies firms for participation in sole-source federal contracts and access to targeted business development, executive development, and technical assistance through the Section 7(j) program. For 2001, the budget proposes $5 million in Section 7(j) technical assistance funding to support the expanding executive development and business assistance needs of these entrepreneurs. Small Disadvantaged Business (SDB) Certification and Eligibility.—Since 1998, SBA was designated as the lead agency in the certification of SDB firms. This certification process enables firms to receive federal contract preferences. Funding for this program is provided through reimbursements from the 20 largest Federal procuring agencies. The program’s funding level for 2001 is proposed to be $9 million. HUBZones.—The budget proposes $5 million for this program. Legislation passed in 1998 created a national program to support economic development and job growth in ‘‘historically underutilized zones’’. SBA certifies small firms in HUBZone areas that hire residents of such areas as eligible for federal contract preferences. Pro-Net.—The budget proposes $750 thousand for 2001 for this program. The Procurement Marketing Network (PRONet) program helps ensure that small businesses can be competitive in a changing procurement environment. By providing an interface with other electronic procurement applications such as the Electronic Posting System and the Commerce Business Daily, the more than 188,000 small businesses that are currently registered will be aware of procurement opportunities. Electronic Commerce.—With the $5 million proposed in the budget, SBA will work with the Departments of Commerce and Agriculture to implement an education, training, and outreach program to ensure small businesses remain competitive by participating in electronic commerce. BusinessLINC.—With the $6.6 million proposed in the budget, SBA will assist in the support of BusinessLINC, an initiative to link large businesses with small businesses in order to expand their access to markets, enhance management development, obtain technical assistance and leverage core strategies; promote best practices; and help grow small businesses in distressed urban, Native American, and isolated communities. Small Business Innovation and Research (SBIR) Program Awards.—The budget proposes $14 million to implement a three-year new matching grant pilot program to support Phase III commercialization of the technology developed under SBIR grants. Federal contributions would match con- Fmt 3616 Sfmt 3616 E:\BUDGET\SBA.XXX pfrm02 PsN: SBA SMALL BUSINESS ADMINISTRATION tributions from non-Federal sources in a 1:2 ratio, to an average award of $250,000. SBA would award approximately 56 grants each year. In addition, $1 million is proposed to develop multi-agency SBIR solicitation topics, solicite white papers and hold workshops for small businesses 92.0 Undistributed ............................................................. ................... ................... 240 99.0 99.0 Subtotal, direct obligations .................................. ................... ................... Reimbursable obligations .............................................. ................... ................... 256 9 99.9 Total new obligations ................................................ ................... ................... 265 Capital Access: Object Classification (in millions of dollars) 1999 actual Identification code 73–1155–0–1–376 2000 est. Direct obligations: Personnel compensation: Full-time permanent ........ ................... ................... Civilian personnel benefits ....................................... ................... ................... VerDate 04-JAN-2000 f Personnel Summary U.S. Export Assistance Centers.—The 2001 budget includes a request for $3.5 million to continue these services. As nearly 97 percent of U.S. export firms are small businesses, they account for 31 percent of the total U.S. export sales. The SBA is a partner with the Department of Commerce and the Export-Import Bank in the U.S. Export Assistance Center (USEAC) Program. Through a network of 19 USEACs located across the nation, SBA delivers financial and technical assistance and business development counseling to small businesses that sell their products globally. Microloan Technical Assistance.—The 2001 budget requests $45 million for this program, which is needed to support the current portfolio of microloans and the anticipated lending to be done in 2000 and 2001. The Microloan Program technical assistance component helps small businesses gain access to private sector financing and assists SBA’s Microloan program through grants to microloan intermediaries for on-going management advice and counseling to microborrowers. The program also supports the Administration’s initiative to help individuals receiving welfare assistance move to work by providing opportunities to start up small businesses. Currently, there are 128 intermediaries and 19 non-lending technical assistance intermediaries versus a statutory limit of 200. We are proposing changes in the legislation that will provide flexibility in lending and technical assistance, which will result in greater access to capital. We anticipate that the Microloan program will play a major role in the new markets initiative. PRIME.—The budget proposes funding this program at the authorized level of $15 million. The PRIME program provides grants to non-profit organizations for: 1) training and technical assistance for low/very low-income entrepreneurs, 2) training and capacity building services to the non-profit providers, and 3) research and development in best practices for low income entrepreneurs. New Markets Venture Capital Technical Assistance.—In support of the President’s New Markets initiative, SBA is proposing legislation that authorizes $150 million in venture capital ($150 million in face value and approximately $100 million in cash value) for small businesses in distressed rural and urban Areas. These are the areas that are underserved by traditional financial institutions. SBA proposes to provide business development, managerial and technical assistance support through New Market Venture Capital companies. The 2001 budget includes $30 million to provide the necessary level of technical assistance supporting the $150 million program level. Other Programs and Initiatives.—In addition to the above, SBA proposes to fund the Women’s Council for 2001 at $1 million and the Survey of Women Owned Businesses as part of the Census for $1 million. This account also includes $1.5 million for the Office of Advocacy and $500,000 for the Office of the National Ombudsman. The Office of Advocacy is the principal voice for small business within the government. The Office of the National Ombudsman facilitates the examination of ideas, interests, and concerns of small business to create a fair regulatory environment. 11.1 12.1 1083 Federal Funds—Continued 12:46 Jan 28, 2000 Jkt 186484 PO 00000 2001 est. 12 4 Frm 00005 Identification code 73–1155–0–1–376 1001 1999 actual 2000 est. 2001 est. Total compensable workyears: Full-time equivalent employment ............................................................... ................... ................... OFFICE OF 190 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 (5 U.S.C. App.), ø$11,000,000¿ $14,315,000. (Departments of Commerce, Justice, and State, the Judiciary, and Related Agencies Appropriations Act, 2000, as enacted by section 1000(a)(1) of the Consolidated Appropriations Act, 2000 (P.L. 106–113).) Program and Financing (in millions of dollars) 1999 actual Identification code 73–0200–0–1–376 00.01 00.02 00.03 00.04 Obligations by program activity: General Office ................................................................ Audit ............................................................................... Investigations ................................................................. Management / Legal Counsel / Inspection and Evaluation ........................................................................ 10.00 Total new obligations ................................................ 21.40 22.00 23.90 23.95 23.98 24.40 1 4 5 2001 est. 1 4 5 2 5 6 1 1 1 11 11 14 Budgetary resources available for obligation: Unobligated balance available, start of year ............... ................... New budget authority (gross) ........................................ 11 Total budgetary resources available for obligation Total new obligations .................................................... Unobligated balance expiring or withdrawn ................. Unobligated balance available, end of year ................. 2000 est. 1 ................... 11 14 11 12 14 ¥11 ¥11 ¥14 ¥1 ................... ................... 1 ................... ................... New budget authority (gross), detail: Discretionary: 40.00 Appropriation ............................................................. 11 11 14 68.00 Spending authority from offsetting collections: Offsetting collections (cash) .............................................. ................... ................... ................... 70.00 Total new budget authority (gross) .......................... 11 11 14 Change in unpaid obligations: Unpaid obligations, start of year: Obligated balance, start of year .............................................................. 1 ................... 1 73.10 Total new obligations .................................................... 11 11 14 73.20 Total outlays (gross) ...................................................... ¥11 ¥11 ¥14 74.40 Unpaid obligations, end of year: Obligated balance, end of year ................................................................ ................... 1 ................... 72.40 86.90 86.93 Outlays (gross), detail: Outlays from new discretionary authority ..................... Outlays from discretionary balances ............................. 87.00 Total outlays (gross) ................................................. 10 10 1 ................... 13 1 11 14 11 Offsets: Against gross budget authority and outlays: 88.00 Offsetting collections (cash) from: Federal sources ................... ................... ................... 89.00 90.00 Net budget authority and outlays: Budget authority ............................................................ Outlays ........................................................................... 11 10 11 11 14 14 The budget proposes $14.3 million for the Office of the Inspector General for 2001. The increased funding will enable the OIG to support an expanded monitoring role of the Agency’s Government Performance and Results Act in reviewing the Agency’s programs, performance measures, and regulations to conserve resources and increase program efficiency and effectiveness. Fmt 3616 Sfmt 3616 E:\BUDGET\SBA.XXX pfrm02 PsN: SBA 1084 THE BUDGET FOR FISCAL YEAR 2001 Federal Funds—Continued General and special funds—Continued OFFICE OF 89.00 90.00 INSPECTOR GENERAL—Continued This appropriation provides funds for agency-wide audit, investigative, and inspection/evaluation functions to promote economy and efficiency in agency operations and to prevent and detect fraud, waste, and abuse. The audit function provides internal and external audits and other oversight activities. Internal audits assess the general management and efficiency of SBA program operations. External audits review program participants and their compliance with SBA regulations and procedural requirements. Inspections/evaluations address specific issues related to program management and effectiveness. The investigative function detects and investigates allegations of illegal and improper activities involving agency personnel and program participants. Object Classification (in millions of dollars) 1999 actual Identification code 73–0200–0–1–376 11.1 12.1 Personnel compensation: Full-time permanent ............. Civilian personnel benefits ............................................ 99.9 Total new obligations ................................................ f 2000 est. 2001 est. 9 2 9 2 11 3 11 11 14 Personnel Summary Identification code 73–0200–0–1–376 1001 1999 actual Total compensable workyears: Full-time equivalent employment ............................................................... Public enterprise funds: 2000 est. 109 2001 est. 117 Program and Financing (in millions of dollars) 1999 actual 2001 est. Obligations by program activity: 09.01 Reimbursable obligations .............................................. 8 5 5 10.00 Total new obligations ................................................ 8 5 5 21.40 22.00 Budgetary resources available for obligation: Unobligated balance available, start of year ............... New budget authority (gross) ........................................ 4 7 4 4 3 4 23.90 23.95 24.40 Total budgetary resources available for obligation Total new obligations .................................................... Unobligated balance available, end of year ................. 11 ¥8 4 8 ¥5 3 7 ¥5 3 3 ................... ................... 4 4 4 70.00 Total new budget authority (gross) .......................... 7 4 4 Change in unpaid obligations: Unpaid obligations, start of year: Obligated balance, start of year .............................................................. 73.10 Total new obligations .................................................... 73.20 Total outlays (gross) ...................................................... 74.40 Unpaid obligations, end of year: Obligated balance, end of year ................................................................ 38 8 ¥8 37 5 ¥5 37 5 ¥5 37 37 37 72.40 86.90 86.93 Outlays (gross), detail: Outlays from new discretionary authority ..................... Outlays from discretionary balances ............................. 7 1 4 4 1 ................... 87.00 Total outlays (gross) ................................................. 8 5 5 Offsets: Against gross budget authority and outlays: 88.40 Offsetting collections (cash) from: Non-Federal sources .................................................................. ¥4 ¥4 ¥4 12:46 Jan 28, 2000 Identification code 73–4156–0–3–376 1998 actual 1999 actual 2000 est. 2001 est. 0101 0102 Revenue ................................................... Expense .................................................... 12 –10 9 –7 7 –6 7 –6 0105 Net income or loss (–) ............................ 2 2 1 1 Balance Sheet (in millions of dollars) Identification code 73–4156–0–3–376 1998 actual 1999 actual 2000 est. 2001 est. ASSETS: 1101 Federal assets: Fund balances with Treasury ............................................... 1206 Non-Federal assets: Receivables, net ..... 42 .................. 41 .................. 39 .................. 42 .................. Total assets ........................................ LIABILITIES: 2201 Non-Federal liabilities: Accounts payable 42 41 39 42 38 37 35 36 2999 38 37 35 36 329 –325 332 –326 333 –328 332 –326 f Total liabilities .................................... NET POSITION: 3100 Appropriated capital ................................ 3300 Cumulative results of operations ............ 3999 Total net position ................................ 4 6 5 6 4999 Total liabilities and net position ............ 42 43 40 42 Credit accounts: BUSINESS LOANS PROGRAM ACCOUNT New budget authority (gross), detail: Discretionary: 40.00 Appropriation ............................................................. 68.00 Spending authority from offsetting collections: Offsetting collections (cash) .............................................. VerDate 04-JAN-2000 Statement of Operations (in millions of dollars) 1999 2000 est. 3 ................... ................... 5 1 1 The SBA is authorized to issue bond guarantees to surety companies for construction, service, and supply contracts that do not exceed $1,250,000 and to reimburse these sureties up to 90 percent of the losses sustained if the contractor defaults. Under the Preferred Surety Bond (PSP) Program, participating sureties are authorized to issue, monitor, and service bonds without SBA’s prior approval. Guarantees for this program are limited to 70 percent. Currently, there are 15 participating sureties in the program. SBA’s guarantees provide the incentive necessary for sureties to issue bonds to small contractors who could not otherwise compete in the contracting industry. In 2001, the budget proposes a $1.7 billion program level that is anticipated to be sufficient to accommodate demand from prior-approval and preferred sureties. This program does not require a subsidy appropriation. 142 SURETY BOND GUARANTEES REVOLVING FUND Identification code 73–4156–0–3–376 Net budget authority and outlays: Budget authority ............................................................ Outlays ........................................................................... Jkt 186484 PO 00000 Frm 00006 For the cost of direct loans, $5,370,000, to be available until expended; and for the cost of guaranteed loans, ø$137,800,000¿ $194,360,000, as authorized by 15 U.S.C. 631 note or subsequently authorized for the New Markets Venture Capital program, of which $45,000,000 shall remain available until September 30, ø2001¿ 2002: Provided, øThat of the total provided, $6,000,000 shall be available only for the cost of guaranteed loans under the New Markets Venture Capitol program and shall become available for obligation only upon authorization of such program by the enactment of subsequent legislation in fiscal year 2000: Provided further,¿ That such costs, including the cost of modifying such loans, shall be as defined in section 502 of the Congressional Budget Act of 1974, as amended: Provided further, That during fiscal year ø2000¿ 2001, commitments to guarantee loans under section 503 of the Small Business Investment Act of 1958, as amended, shall not exceed øthe amount of financings authorized under section 20(e)(1)(B)(ii) of the Small Business Act, as amended: Provided further, That during fiscal year 2000, commitments for general business loans authorized under section 7(a) of the Small Business Act, as amended, shall not exceed $10,000,000,000 without prior notification of the Committees on Appropriations of the House of Representatives and Senate in accordance with section 605 of this Act¿ $3,750,000,000: Provided further, That during fiscal year ø2000¿ 2001, commitments to guarantee loans under section Fmt 3616 Sfmt 3616 E:\BUDGET\SBA.XXX pfrm02 PsN: SBA SMALL BUSINESS ADMINISTRATION 1085 Federal Funds—Continued 303(b) of the Small Business Investment Act of 1958, as amended, shall not exceed øthe amount of guarantees of debentures authorized under section 20(e)(1)(C)(ii) of the Small Business Act, as amended¿ $500,000,000. In addition, for administrative expenses to carry out the direct and guaranteed loan programs, ø$129,000,000¿ $132,525,000, which may be transferred to and merged with the appropriations for Salaries and Expenses. (Departments of Commerce, Justice, and State, the Judiciary, and Related Agencies Appropriations Act, 2000, as enacted by section 1000(a)(1) of the Consolidated Appropriations Act, 2000 (P.L. 106–113).) (RESCISSION) Offsets: Against gross budget authority and outlays: 88.00 Offsetting collections (cash) from: Federal sources 89.00 90.00 Net budget authority and outlays: Budget authority ............................................................ Outlays ........................................................................... 260 307 259 282 332 314 Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in millions of dollars) 1999 actual Identification code 73–1154–0–1–376 øOf the unobligated balances available under this heading, $13,100,000 are rescinded.¿ (Departments of Commerce, Justice, and State, the Judiciary, and Related Agencies Appropriations Act, 2000, as enacted by section 1000(a)(1) of the Consolidated Appropriations Act, 2000 (P.L. 106–113).) ¥51 ................... ................... 2000 est. 2001 est. Direct loan levels supportable by subsidy budget authority: 1150 Micro loans .................................................................... 23 ................... 60 1159 23 ................... 60 Total direct loan levels ............................................. Direct loan subsidy (in percent): 1320 Micro loans .................................................................... 9.54 8.54 8.95 1329 9.54 8.54 8.95 2 ................... 5 Total subsidy budget authority ................................. Direct loan subsidy outlays: 1340 Micro loans .................................................................... 2 ................... 5 1 2 3 1349 1 2 3 General Fund Credit Receipt Accounts (in millions of dollars) 1999 actual Identification code 73–1154–0–1–376 0101 Business loan program, downward reestimates of subsidies ................................................................... 2000 est. 695 2001 est. 301 ................... Program and Financing (in millions of dollars) 1999 actual Identification code 73–1154–0–1–376 2000 est. 2 216 28 7 114 3 5 146 194 3 ................... 2 ................... 129 133 10.00 367 283 332 104 311 76 259 53 332 Budgetary resources available for obligation: Unobligated balance available, start of year ............... New budget authority (gross) ........................................ Resources available from recoveries of prior year obligations ....................................................................... 22.22 Transferred from other accounts ................................... 21.40 22.00 22.10 23.90 23.95 23.98 24.40 Total budgetary resources available for obligation Total new obligations .................................................... Unobligated balance expiring or withdrawn ................. Unobligated balance available, end of year ................. 36 ................... ................... 7 ................... ................... 458 335 385 ¥367 ¥283 ¥332 ¥15 ................... ................... 76 53 53 New budget authority (gross), detail: Discretionary: 40.00 Appropriation ............................................................. 224 267 332 40.36 Unobligated balance rescinded ................................. ................... ¥13 ................... 42.00 Transferred from other accounts .............................. 1 ................... ................... 43.00 60.05 68.00 70.00 Appropriation (total discretionary) ........................ Mandatory: Appropriation (indefinite) .......................................... Discretionary: Spending authority from offsetting collections: Offsetting collections (cash) ..................................... 225 Total new budget authority (gross) .......................... 311 Change in unpaid obligations: Unpaid obligations, start of year: Obligated balance, start of year .............................................................. 73.10 Total new obligations .................................................... 73.20 Total outlays (gross) ...................................................... 73.45 Adjustments in unexpired accounts .............................. 74.40 Unpaid obligations, end of year: Obligated balance, end of year ................................................................ 254 35 332 5 ................... 51 ................... ................... 259 332 72.40 136 109 110 367 283 332 ¥358 ¥282 ¥314 ¥36 ................... ................... 109 110 128 Outlays (gross), detail: Outlays from new discretionary authority ..................... Outlays from discretionary balances ............................. Outlays from new mandatory authority ......................... 192 131 35 160 209 117 105 5 ................... 87.00 Total outlays (gross) ................................................. 358 282 12:46 Jan 28, 2000 Total subsidy outlays ................................................ Guaranteed loan levels supportable by subsidy budget authority: 2150 Microloan guarantees .................................................... 1 16 ................... 2150 General business—7(a) ................................................ 9,471 9,827 11,500 2150 General business—7(a) DELTA ..................................... 37 50 50 2150 Section 504 .................................................................... 1,979 3,500 3,750 2150 Section 504 DELTA ......................................................... 3 5 5 2150 SBIC debentures ............................................................ 352 800 500 2150 SBIC participating securities ......................................... 1,015 1,350 2,000 2150 New Market Venture Capital .......................................... ................... 40 150 2150 Y2K ................................................................................. 4 ................... ................... 2159 Total loan guarantee levels ...................................... Guaranteed loan subsidy (in percent): 2320 Microloan guarantees .................................................... 2320 General business—7(a) ................................................ 2320 General business—7(a) DELTA ..................................... 2320 Section 504 .................................................................... 2320 Section 504 DELTA ......................................................... 2320 SBIC debentures ............................................................ 2320 SBIC participating securities ......................................... 2320 New Market Venture Capital .......................................... 2320 Y2K ................................................................................. 2329 Weighted average subsidy rate ................................. Guaranteed loan subsidy budget authority: 2330 Microloan guarantees .................................................... 2330 General business—7(a) ................................................ 2330 General business—7(a) DELTA ..................................... 2330 Section 504 .................................................................... 2330 Section 504 DELTA ......................................................... 2330 SBIC Debentures ............................................................ 2330 SBIC participating securities ......................................... 2330 New Market Venture Capital .......................................... 2330 Y2K ................................................................................. Jkt 186484 PO 00000 314 Frm 00007 12,862 15,588 17,955 7.97 1.39 2.08 0.00 1.29 1.38 2.19 0.00 4.04 8.32 1.16 1.83 0.00 1.13 0.00 1.80 15.00 4.07 8.37 1.24 1.92 0.00 0.89 0.78 1.31 14.44 4.04 1.11 1.20 1.08 ................... 159 ................... 34 ................... 6 22 ................... 1 ................... 108 ................... 5 ................... ................... 24 6 ................... ................... 143 ................... ................... ................... 4 26 21 ................... 2339 Total subsidy budget authority ................................. 222 143 194 Guaranteed loan subsidy outlays: 2340 Micorloan guarantees .................................................... 1 1 ................... 2340 General business—7(a) ................................................ 136 113 130 2340 General business—7(a) DELTA ..................................... 1 2 2 2340 Section 504 .................................................................... 26 5 ................... 2340 Section 504 DELTA ......................................................... ................... ................... ................... 2340 SBIC debentures ............................................................ 5 ................... 4 2340 SBIC participating securities ......................................... 22 24 24 2340 New Market Venture Capital .......................................... ................... 5 18 2340 Y2K ................................................................................. 1 1 ................... 2349 86.90 86.93 86.97 VerDate 04-JAN-2000 1339 2001 est. Obligations by program activity: 00.01 Direct loan subsidy ........................................................ 00.02 Guaranteed loan subsidy ............................................... 00.07 Reestimate of loan guarantee subsidy ......................... 00.08 Interest on reestimates of loan guarantee subsidy 00.09 Administrative expenses ................................................ Total new obligations ................................................ Weighted average subsidy rate ................................. Direct loan subsidy budget authority: 1330 Micro loans .................................................................... 3510 3580 3590 Total subsidy outlays ................................................ 192 151 178 Administrative expense data: Budget authority ............................................................ 94 129 133 Outlays from balances ................................................... ................... ................... ................... Outlays from new authority ........................................... 114 129 133 Fmt 3616 Sfmt 3643 E:\BUDGET\SBA.XXX pfrm02 PsN: SBA 1086 THE BUDGET FOR FISCAL YEAR 2001 Federal Funds—Continued Credit accounts—Continued BUSINESS LOANS PROGRAM ACCOUNT—Continued (RESCISSION)—Continued As required by the Federal Credit Reform Act of 1990, as amended, 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 administrative expenses of this program. The subsidy amounts are estimated on a present value basis; the administrative expenses are estimated on a cash basis. For 2001, the allocation of funding for administrative expenses has been adjusted based on a completed cost allocation study undertaken to allow SBA to more accurately reflect the portion of SBA’s Salaries and Expenses operating budget that supports these programs. Section 7(a) Program.—The Section 7(a) program is SBA’s largest credit assistance program to serve the financial needs of small businesses. Under this program, SBA developed the SBA LowDoc and SBA Express programs aimed at increasing small business access to credit, especially in ‘‘new markets’’. SBA has experienced record levels of demand for these loans with approvals increasing $1 billion from 1998 to 1999. A similar increase is expected in 2000. Therefore, we request a program level of $11.5 billion in 2001 to continue to meet the needs of small businesses to start and grow their businesses. In addition, to encourage more small loans and to reduce the cost of loans to small businesses, we propose a simplification of the current fee and guaranty structure. Small Business Investment Companies (SBIC).—This program provides the debt and equity capital needed by small businesses to start and grow. The Small Business Investment Act, as amended, authorizes the SBA to guarantee the timely payment of all principal and interest, as scheduled, on debentures issued by such companies. In addition, the SBA may guarantee the performance of participating securities issued by these companies. A program level of $2.0 billion in participating securities and $500 million in debentures is requested. New Markets Venture Capital.—During 2000, SBA will begin to administer the newly created ‘‘New Markets Venture Capital Program’’: This program would require investment groups to have a minimum of $5 million of investment capital and $1.5 million of technical assistance funding available over 5 years to participate in the program. For 2001, a total of $150 million of leverage in face value (approximately $100 million in cash) will be available to fund New Market Venture Capital organizations. There would also be a significant technical assistance component, which would be in the form of a grant equal to 30 percent of the amount of investment capital disbursed over 5 years also on a matching basis. Low and Moderate Income (LMI) Initiative.—Using SBA’s SBIC debenture program, SBA will encourage SBIC investments in businesses located in inner cities and rural areas, or who draw at least 35 percent of their employees from those areas by refining program regulations for participating SBICs. The LMI initiative differs from New Market Venture Capital (NMVC) initiative in the investment criteria and the size of the loan. Loans made under LMI meet the same criteria as SBIC investments, but are made to smaller enterprises. Also, NMVC loans are smaller than LMI. Microloans.—For 2001, SBA proposes to expand the Microloan direct program to $60 million from $30 million in 2000. In addition, we are proposing legislative changes that will provide flexibility in the lending and technical assistance, which will result in greater access to capital. The Microloan program will be a key component of Agency’s pursuit of its new markets initiative. At present, small business capital needs of less than $25,000 are met through SBA’s VerDate 04-JAN-2000 12:46 Jan 28, 2000 Jkt 186484 PO 00000 Frm 00008 microloan direct and guarantee programs. We propose to raise that limit to $35,000 in 2001. SBA loans money to financial intermediaries which in turn make loans to these businesses to start and grow. A key component of this program is SBA’s provision of technical assistance grants to microlending intermediaries, enabling firms to obtain the necessary managerial and business development assistance in order to be successful. Program Performance Program performance and policy goals.—SBA has the following program performance and policy objectives to support its first GPRA goal of increasing small business opportunities to succeed: (1) emphasizing lending to ‘‘new markets’’ small businesses; (2) offering specialized financing, such as venture capital, export financing, and bonding opportunities; (3) improving methods of providing credit assistance through an expanded range of lending partners, electronic transmission of data, and high volume lending technologies; (4) reducing costs by maintaining a high quality portfolio through innovative oversight procedures and an improved liquidation process; and, (5) effectively implementing a loan asset sales program. Performance Indicators.—Appropriate finance program effectiveness assessment involves the consideration of a number of indicators. First, effectiveness can be assessed by loanmaking activity levels, the number and dollar amount of loans guaranteed by SBA. Second, effectiveness can be measured by the health of the loan portfolio, its currency and default figures, and the agency’s ultimate record on loan recovery. Beyond these very tangible indicators of success are the more difficult-to-measure indicators. These include such things as the economic benefits that accrue to the small business, its employees, and the community in which it is located. During the past three years SBA has focused on quantitative, measureable lending goals with particular emphasis on underserved segments of the small business market in each of SBA’s districts, e.g., minorities, women, and small exporters. The SBA began this process in 1994 when it established internal performance agreements that contained twoyear lending goals. Using goal monitoring, the agency is able to track, on a regular basis, the status of each district office’s progress in meeting these goals. The number and dollar volume of loans made under the Section 7(a) loan program has increased dramatically in recent years. In 1992, SBA made or guaranteed approximately 24,000 loans totaling about $5.9 billion. In 1999, the SBA approved over 43,000 loans totaling $10.1 billion. For 2001, we are requesting $142.6 million in budget authority to support a program level of $11.5 billion. The section 504 program has also shown impressive growth. In 1992, the SBA provided about 2,000 financings totaling nearly $560 million. By 1999, those figures had increased to 4,700 financing for $1.8 billion. Section 7(a).—The performance of the 7(a) loan program continues to improve. However, the Treasury discount rate increased this year causing a slight increase in the loan subsidy rate to 1.24 percent. Section 504.—The performance of this program continues to improve. As a result, the fee to borrowers will again be reduced in 2001 from the 2000 level of .60 percent to .472 percent. Loan asset sales.—SBA conducted its first asset sale during August, 1999, which was highly successful bringing $95 million in additional revenues to the government above what would have been realized if SBA was to hold the loans and service them. The sale included direct and purchased 7(a) and 504 loans. It was especially important to SBA to establish a foothold in the financial market from which to conduct future asset sales of the remaining $9 billion loan portfolio. Future sales will include disaster home and business loans. Two sales are planned for 2000. SBA is requesting authoriza- Fmt 3616 Sfmt 3616 E:\BUDGET\SBA.XXX pfrm02 PsN: SBA SMALL BUSINESS ADMINISTRATION tion to take advantage of ‘‘gainsharing‘’’ provisions extended to federal agencies. These sales also greatly impact SBA in its workforce transition efforts. The Business Loan program’s administrative expenses includes $1.525 million to cover the cost of the program financial advisor for the asset sales program. Microloan Program.—The performance of the microloan program continues to improve. However, the Treasury discount rate increased this year, causing a slight increase in the loan subsidy rate to 8.95 percent. Small Business Investment Companies (SBICs).—For the participating securities program, the subsidy rate will be lowered to 1.31 percent from 1.8 percent in 2000. For the debentures program, the subsidy rate will be 0.78 percent due to technical adjustments. As the engine for continued economic growth, small business success remains a primary policy concern of the Clinton Administration. Small firms represent a significant portion of the Nation’s productive capacity, produce constant innovations, offer opportunities for the under-served, and create jobs. Although it is difficult to attribute a causal relationship between SBA assistance and economic growth, factors that may contribute to continued economic growth include: increased numbers and growth of small businesses, increased jobs, increased revenues, and taxes paid. SBA measures job creation and increased sales from Census/SBA longitudinal databases, client or trade association reporting, contracted surveys/evaluations, and derivative statistics. Using an updated Census/SBA database on firms, SBA will be able to measure more effectively job creation and growth by firm size. For instance, between 1990 and 1995, this database indicated that 76.5 percent of new jobs came from small firms with less than 500 employees, and about 49 percent came from firms with less than 20 employees. Startups provided about a third of the new jobs. For the 503/504 program, the calculation for jobs created/ retained every year is based on the dollar amount of debentures sold and job data. A ratio of one job per $12,855 debenture sold has been calculated. For the SBIC program, surveys conducted by the National Venture Capital Association and the Investment Advisory Council estimate that each $32,500 invested results in one job. For the microloan program, a database maintained on jobs created/maintained by microloan recipients reflects that the overall performance since the inception of the program is 1.6 jobs created or retained per average $10,000 loan. f Object Classification (in millions of dollars) Identification code 73–1154–0–1–376 1999 actual 2000 est. Other services ................................................................ Grants, subsidies, and contributions ............................ 114 253 129 154 133 199 99.9 Total new obligations ................................................ 367 283 332 1999 actual Identification code 73–4148–0–3–376 Obligations by program activity: Direct loans .................................................................... Interest on Treasury borrowing ...................................... Other expenses: 00.03 Other expenses .......................................................... 15 26 2000 est. 30 24 2001 est. 60 14 30 ................... ................... Direct Program by Activities—Subtotal (1 level) 71 54 74 Negative subsidy from loan asset sales ....................... ................... ................... 1 Payment of downward reestimate to receipt account 2 ................... ................... Payment to liquidating account to purchase loan assets(73–4154) ........................................................... ................... 15 ................... 12:46 Jan 28, 2000 2 15 1 10.00 Total new obligations ................................................ 73 69 75 Budgetary resources available for obligation: Unobligated balance available, start of year ............... 271 311 ................... New financing authority (gross) .................................... 127 93 116 Resources available from recoveries of prior year obligations ....................................................................... 1 ................... ................... 22.40 Capital transfer to general fund ................................... ................... ¥297 ¥5 22.60 Portion applied to repay debt ........................................ ¥15 ¥36 ¥36 21.40 22.00 22.10 23.90 23.95 24.40 Total budgetary resources available for obligation Total new obligations .................................................... Unobligated balance available, end of year ................. New financing authority (gross), detail: Mandatory: 67.15 Authority to borrow (indefinite) ................................. Spending authority from offsetting collections: Discretionary: 68.00 Offsetting collections (cash) ................................ 68.10 Change in receivables from program account Jkt 186484 384 71 75 ¥73 ¥69 ¥75 311 ................... ................... 37 ................... 54 73 17 79 14 61 1 68.90 Spending authority from offsetting collections (total discretionary) ..................................... 90 93 62 70.00 Total new financing authority (gross) ...................... 127 93 116 Change in unpaid obligations: Unpaid obligations, start of year: 72.40 Obligated balance, start of year ............................... 72.95 Receivables from program account .......................... 38 2 26 19 28 33 72.99 73.10 73.20 73.45 74.40 74.95 Total unpaid obligations, start of year ................ Total new obligations .................................................... Total financing disbursements (gross) ......................... Adjustments in unexpired accounts .............................. Unpaid obligations, end of year: Obligated balance, end of year ................................ Receivables from program account .......................... 74.99 87.00 40 45 61 73 69 75 ¥68 ¥55 ¥75 ¥1 ................... ................... 26 19 28 33 27 34 Total unpaid obligations, end of year .................. Total financing disbursements (gross) ......................... 45 68 61 55 61 75 Offsets: Against gross financing authority and financing disbursements: Offsetting collections (cash) from: 88.00 Federal sources: Payments from program account ................................................................. Non-Federal sources: 88.40 Repayments of principal, net ........................... 88.40 Interest received on loans ................................ 88.40 Gross proceeds from loan asset sales ............ 88.40 Other income .................................................... ¥1 ¥2 ¥3 ¥15 ¥10 ¥19 ¥18 ¥16 ¥22 ¥34 ¥51 ................... ¥5 ................... ¥17 88.90 ¥73 ¥79 ¥61 ¥17 ¥14 ¥1 37 ................... ¥5 ¥24 54 14 88.95 Total, offsetting collections (cash) .................. Against gross budget authority only: Change in receivables from program accounts ....... 89.00 90.00 Net financing authority and financing disbursements: Financing authority ........................................................ Financing disbursements ............................................... Status of Direct Loans (in millions of dollars) 1999 actual 2000 est. 2001 est. Position with respect to appropriations act limitation on obligations: 1111 Limitation on direct loans ............................................. ................... ................... ................... 1131 Direct loan obligations exempt from limitation ............ 15 30 60 Program and Financing (in millions of dollars) VerDate 04-JAN-2000 Direct Program by Activities—Subtotal (1 level) Identification code 73–4148–0–3–376 BUSINESS DIRECT LOAN FINANCING ACCOUNT 00.91 08.01 08.02 08.06 08.91 2001 est. 25.2 41.0 00.01 00.02 1087 Federal Funds—Continued PO 00000 Frm 00009 1150 Total direct loan obligations ..................................... 15 30 60 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 ............................... 99 15 ¥16 ¥5 93 30 ¥8 ¥6 109 60 ¥8 ¥7 1290 Outstanding, end of year .......................................... 93 109 154 As required by the Federal Credit Reform Act of 1990, as amended, this non-budgetary account records all cash flows Fmt 3616 Sfmt 3616 E:\BUDGET\SBA.XXX pfrm02 PsN: SBA 1088 THE BUDGET FOR FISCAL YEAR 2001 Federal Funds—Continued Credit accounts—Continued BUSINESS DIRECT LOAN FINANCING ACCOUNT—Continued 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. Balance Sheet (in millions of dollars) 1998 actual Identification code 73–4148–0–3–376 ASSETS: Investments in US securities: 1106 Federal assets: Receivables, net ........ Net value of assets related to post– 1991 direct loans receivable: 1401 Direct loans receivable, gross ............ 1405 Allowance for subsidy cost (–) ........... 1499 1504 Net present value of assets related to direct loans ........................... Net value of assets related to post– 1991 acquired defaulted guaranteed loans receivable: Foreclosed property 1999 Total assets ........................................ LIABILITIES: Federal liabilities: 2101 Accounts payable ................................ 2104 Resources payable to Treasury ........... 2000 est. ¥192 ¥28 ¥7 ¥22 ¥151 ¥179 ¥3 ................... ¥2 ................... ¥65 ¥45 ¥105 ¥34 ¥423 ¥154 ¥439 ¥64 ¥92 ¥300 ¥29 88.90 ¥811 ¥878 ¥645 2001 est. 328 355 362 367 99 –6 83 –46 81 –56 84 –56 93 37 25 27 .................. 9 .................. .................. 421 401 387 395 .................. 421 24 377 26 361 28 367 421 401 387 395 f 2999 1999 actual Offsets: Against gross financing authority and financing disbursements: Offsetting collections (cash) from: Federal sources: 88.00 Payments from program account ..................... 88.00 Upward restimate ............................................. 88.00 Interest on reestimate ...................................... 88.25 Interest on uninvested funds ............................... Non-Federal sources: 88.40 Fees .................................................................. 88.40 Proceeds from loan asset sales ....................... 88.40 other ................................................................. Total liabilities .................................... NET POSITION: 3100 Appropriated capital ................................ .................. .................. .................. .................. 3999 Total net position ................................ .................. .................. .................. .................. 4999 Total liabilities and net position ............ 421 401 387 395 89.00 90.00 Total, offsetting collections (cash) .................. Net financing authority and financing disbursements: Financing authority ........................................................ ................... ................... ................... Financing disbursements ............................................... 387 ¥278 ¥70 Status of Guaranteed Loans (in millions of dollars) 1999 actual Identification code 73–4149–0–3–376 Position with respect to appropriations act limitation on commitments: 2111 Limitation on guaranteed loans made by private lenders .............................................................................. 2112 Uncommitted loan guarantee limitation ....................... 2131 Guaranteed loan commitments exempt from limitation 2150 Total guaranteed loan commitments ........................ Cumulative balance of guaranteed loans outstanding: Outstanding, start of year ............................................. Disbursements of new guaranteed loans ...................... Repayments and prepayments ...................................... Adjustments: 2261 Terminations for default that result in loans receivable ....................................................................... 2264 Other adjustments, net ............................................. 2210 2231 2251 13,500 ¥2,050 1,202 2000 est. 2001 est. 16,500 18,213 ¥247 ................... 1,507 1,571 12,652 17,760 19,784 33,695 10,785 ¥7,036 36,767 7,534 ¥2,741 40,917 7,738 ¥2,821 ¥630 ¥643 ¥656 ¥47 ................... ................... 2290 Outstanding, end of year .......................................... 36,767 40,917 45,178 2299 Memorandum: Guaranteed amount of guaranteed loans outstanding, end of year ................................................................ 29,266 33,058 36,495 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 ................................... 2364 Other adjustments, net ............................................. 834 630 ¥137 ¥285 ¥289 753 643 ¥82 ¥164 ¥412 738 656 ¥50 ¥65 ¥300 753 738 979 BUSINESS GUARANTEED LOAN FINANCING ACCOUNT Program and Financing (in millions of dollars) 1999 actual Identification code 73–4149–0–3–376 Obligations by program activity: 00.01 Default claims ............................................................... 00.05 Other Expenses .............................................................. 00.91 08.02 08.04 08.06 501 37 Direct Program by Activities—Subtotal (1 level) 538 Payment of downward reestimate to receipt account 310 Payment of interest on downward reestimate to receipt account ............................................................. 515 Payment to liqudating account to purchase loan assets(73–4154) ........................................................... ................... 2000 est. 511 13 2001 est. 532 40 524 572 239 ................... 47 ................... 2390 220 150 08.91 Direct Program by Activities—Subtotal (1 level) 825 506 150 10.00 Total new obligations ................................................ 1,363 1,030 722 21.40 22.00 Budgetary resources available for obligation: Unobligated balance available, start of year ............... New financing authority (gross) .................................... 1,367 811 815 878 663 645 23.90 23.95 24.40 Total budgetary resources available for obligation Total new obligations .................................................... Unobligated balance available, end of year ................. 2,178 ¥1,363 815 1,693 ¥1,030 663 1,308 ¥722 586 New financing authority (gross), detail: Discretionary: 68.00 Spending authority from offsetting collections (gross): Offsetting collections (cash) ................... Change in unpaid obligations: 72.40 Unpaid obligations, start of year: Obligated balance, start of year .............................................................. 73.10 Total new obligations .................................................... 73.20 Total financing disbursements (gross) ......................... 74.40 Unpaid obligations, end of year: Obligated balance, end of year ................................................................ 87.00 Total financing disbursements (gross) ......................... VerDate 04-JAN-2000 12:46 Jan 28, 2000 Outstanding, end of year ...................................... As required by the Federal Credit Reform Act of 1990, as amended, 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 loan guarantees 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 millions of dollars) Identification code 73–4149–0–3–376 811 878 645 ¥157 1,363 ¥1,198 7 1,030 ¥600 437 722 ¥575 7 1,198 437 600 584 575 Jkt 186484 PO 00000 Frm 00010 ASSETS: Federal assets: 1101 Fund balances with Treasury ............. Investments in US securities: 1106 Receivables, net ............................. Net value of assets related to post– 1991 acquired defaulted guaranteed loans receivable: 1501 Defaulted guaranteed loans receivable, gross ...................................... 1502 Interest receivable .............................. 1505 Allowance for subsidy cost (–) ........... Fmt 3616 Sfmt 3633 E:\BUDGET\SBA.XXX 1998 actual 1999 actual 2000 est. 2001 est. 1,209 822 838 855 221 66 176 176 834 38 –215 753 17 .................. 738 37 –78 979 41 –78 pfrm02 PsN: SBA SMALL BUSINESS ADMINISTRATION 1599 1901 Net present value of assets related to defaulted guaranteed loans Other Federal assets: Other assets ........ 1999 1089 Federal Funds—Continued 90.00 657 245 770 128 697 238 942 238 2,332 1,786 1,949 2,211 Total assets ........................................ LIABILITIES: 2204 Non-Federal liabilities: Liabilities for loan guarantees .................................. 2,332 1,786 1,949 2,211 2999 Outlays ........................................................................... f 2,332 1,786 1,949 2,211 .................. .................. .................. .................. 3999 Total net position ................................ .................. .................. .................. .................. 4999 Total liabilities and net position ............ 2,332 1,786 1,949 2,211 ¥274 ¥260 Status of Direct Loans (in millions of dollars) 1999 actual Identification code 73–4154–0–3–376 Total liabilities .................................... NET POSITION: 3100 Appropriated capital ................................ ¥313 Business Loan Fund, Direct Loans Cumulative balance of direct loans outstanding: 1210 Outstanding, start of year ............................................. 1232 Disbursements: Purchase of loans assets from the public ......................................................................... 1251 Repayments: Repayments and prepayments ................. 1262 Adjustments: Discount on loan asset sales to the public or discounted ................................................. 1263 Write-offs for default: Direct loans ............................... 2000 est. 2001 est. 757 555 451 34 ¥129 32 ¥22 22 ¥6 ¥86 ¥21 ¥94 ¥20 ¥100 ¥3 Outstanding, end of year .......................................... 555 451 364 Small Business Investment Company, Direct Loans Section 503 Development Company, Direct Loans Cumulative balance of direct loans outstanding: 1210 Outstanding, start of year ............................................. Repayments: 1251 Repayments and prepayments .................................. 1252 Proceeds from loan asset sales to the public or discounted ............................................................. 233 193 170 ¥22 ¥13 ¥11 ¥18 ¥10 ¥9 193 170 150 1290 BUSINESS LOAN FUND LIQUIDATING ACCOUNT Program and Financing (in millions of dollars) 1999 actual Identification code 73–4154–0–3–376 2000 est. 2001 est. 00.01 00.03 00.05 Obligations by program activity: Interest Expense to Treasury ......................................... Msc. program expenses ................................................. Guaranteed loan default claims .................................... 51 ¥35 10 30 115 40 10 77 41 10.00 Total new obligations ................................................ 26 185 128 1290 Budgetary resources available for obligation: 21.40 Unobligated balance available, start of year ............... 22.00 New budget authority (gross) ........................................ 22.21 Unobligated balance transferred to other accounts 22.40 Capital transfer to general fund ................................... 22.60 Portion applied to repay debt ........................................ 23.90 23.95 24.40 Total budgetary resources available for obligation Total new obligations .................................................... Unobligated balance available, end of year ................. New budget authority (gross), detail: Mandatory: 69.00 Offsetting collections (cash) ..................................... 273 240 ................... 313 421 419 ¥7 ................... ................... ¥273 ¥446 ¥262 ¥40 ¥30 ¥29 266 185 128 ¥26 ¥185 ¥128 240 ................... ................... 313 421 419 Change in unpaid obligations: Unpaid obligations, start of year: Obligated balance, start of year .............................................................. 513 73.10 Total new obligations .................................................... 26 73.20 Total outlays (gross) ...................................................... ................... 74.40 Unpaid obligations, end of year: Obligated balance, end of year ................................................................ 539 539 185 ¥147 577 128 ¥159 577 546 147 159 72.40 86.97 Outlays (gross), detail: Outlays from new mandatory authority ......................... ................... Offsets: Against gross budget authority and outlays: Offsetting collections (cash) from: Loan repayments: Non-Federal sources: 88.40 Financing programs-principal ..................... ¥97 ¥70 ¥75 88.40 Investment programs-principal ................... ¥16 ¥10 ¥10 88.40 Interest Income-Business ............................ ¥73 ¥30 ¥50 88.40 Interest income-Investment ......................... ¥10 ¥8 ¥5 88.40 Net changes in Receivables from the Public Business ............................................. 42 ¥5 ¥25 88.40 Net changes in Receivables from the public-Investment .......................................... 16 10 ¥7 88.40 Sale of acquired collateral-business ........... ¥17 ¥15 ¥16 88.40 Principal collections on judgements, notes,and other receivables-Business .... ¥48 ¥10 ¥10 88.40 Principal collections on judgements and other receivables-Investment .................. ¥15 ¥13 ¥15 88.40 Recoveries .................................................... 21 ¥1 ¥30 88.40 collection on FFB loans ............................... ¥40 ¥30 ¥22 88.40 Other Income-both Business and Investment ........................................................ ¥15 ¥4 ¥4 88.40 Net asset sale proceeds .............................. ¥61 ................... ................... 88.40 Asset sale proceeds ..................................... ................... ¥235 ¥150 88.90 89.00 Outstanding, end of year .......................................... Status of Guaranteed Loans (in millions of dollars) 1999 actual Identification code 73–4154–0–3–376 Business Loan Fund, Loan Guarantees 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 ....................................................................... 2264 Other adjustments, net ............................................. 2000 est. 2001 est. 3,804 2 ¥1,078 2,652 1 ¥532 2,073 1 ¥399 ¥69 ¥7 ¥41 ¥7 ¥28 ¥6 2290 Outstanding, end of year .......................................... 2,652 2,073 1,641 2299 Memorandum: Guaranteed amount of guaranteed loans outstanding, end of year ................................................................ 2,321 1,956 1,630 Addendum: Cumulative balance of defaulted guaranteed loans that result in loans receivable: 2310 Outstanding, start of year ........................................ 2331 Disbursements for guaranteed loan claims ............. 2361 Write-offs of loans receivable ................................... 2364 Other adjustments, net ............................................. 1,466 69 ¥35 ¥122 1,378 41 ¥9 ¥200 1,210 28 ¥6 ¥300 1,378 1,210 932 2390 Outstanding, end of year ...................................... As required by the Federal Credit Reform Act of 1990, as amended, 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. Statement of Operations (in millions of dollars) 1998 actual 1999 actual ¥419 0101 0102 Revenue ................................................... Expense .................................................... 102 –99 151 –73 107 –68 75 –64 Net budget authority and outlays: Budget authority ............................................................ ................... ................... ................... 0105 Net income or loss (–) ............................ 3 78 39 11 pfrm02 PsN: SBA Total, offsetting collections (cash) .................. VerDate 04-JAN-2000 12:46 Jan 28, 2000 ¥313 Jkt 186484 ¥421 PO 00000 Frm 00011 Identification code 73–4154–0–3–376 Fmt 3616 Sfmt 3633 E:\BUDGET\SBA.XXX 2000 est. 2001 est. 1090 THE BUDGET FOR FISCAL YEAR 2001 Federal Funds—Continued Credit accounts—Continued Program and Financing (in millions of dollars) BUSINESS LOAN FUND LIQUIDATING ACCOUNT—Continued Identification code 73–4154–0–3–376 ASSETS: Federal assets: 1101 Fund balances with Treasury ............. Investments in US securities: 1104 Agency securities, par .................... 1107 Advances and prepayments ........... Non-Federal assets: 1206 Receivables, net .................................. 1207 Advances and prepayments ................ 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 1901 Value of assets related to direct loans .......................................... Other Federal assets: Other assets ........ 1999 Total assets ........................................ LIABILITIES: Federal liabilities: 2101 Accounts payable ................................ 2102 Interest payable .................................. 2103 Debt to the FFB .................................. Non-Federal liabilities: 2201 Accounts payable ................................ 2204 Liabilities for loan guarantees ........... 2207 Other Liabilities .................................. 2000 est. 2001 est. 00.01 00.03 00.05 00.06 00.09 Obligations by program activity: Direct loan subsidy ........................................................ 170 231 152 Subsidy for Modification of Direct Loans ...................... ................... ................... ................... Upward reestimate of direct loan subsidy .................... 246 ................... ................... Interest on reestimates of direct loan subsidy ............. 91 ................... ................... Administrative expense .................................................. 146 136 154 787 779 466 466 283 6 245 6 186 5 186 4 10.00 Total new obligations ................................................ 480 8 214 8 269 7 214 7 21.40 22.00 22.10 Budgetary resources available for obligation: Unobligated balance available, start of year ............... New budget authority (gross) ........................................ Resources available from recoveries of prior year obligations ....................................................................... 23.90 23.95 24.40 Total budgetary resources available for obligation Total new obligations .................................................... Unobligated balance available, end of year ................. 735 367 306 ¥653 ¥367 ¥306 81 ................... ................... New budget authority (gross), detail: Discretionary: 40.00 Appropriation ............................................................. 42.00 Transferred from USDA .............................................. 293 276 296 5 ................... ................... 43.00 298 990 748 621 514 –626 –303 –207 –136 364 29 445 21 414 19 378 17 1,957 1,718 1,366 1,272 1,325 69 233 1,123 57 193 930 96 156 878 96 123 14 31 285 13 18 313 15 73 105 15 73 102 Total liabilities .................................... 1,957 1,717 1,375 1,287 Total liabilities and net position ............ 1,957 1,717 1,375 1,287 f 1999 actual 2000 est. 2001 est. 42.0 43.0 Insurance claims and indemnities ................................ Interest and dividends ................................................... ¥25 51 155 30 118 10 99.9 Total new obligations ................................................ 26 185 128 General Fund Credit Receipt Accounts (in millions of dollars) 1999 actual Identification code 73–1152–0–1–453 Disaster loan program, downward reestimates of subsidies ......................................................................... 2000 est. 2001 est. 81 635 81 ................... 276 296 19 306 10 276 10 70.00 Total new budget authority (gross) .......................... 635 276 296 296 Change in unpaid obligations: Unpaid obligations, start of year: Obligated balance, start of year .............................................................. 73.10 Total new obligations .................................................... 73.20 Total outlays (gross) ...................................................... 73.45 Adjustments in unexpired accounts .............................. 74.40 Unpaid obligations, end of year: Obligated balance, end of year ................................................................ 59 653 ¥653 ¥19 41 367 ¥316 ¥10 82 306 ¥310 ¥10 41 82 66 337 ................... ................... 72.40 86.90 86.93 86.97 Outlays (gross), detail: Outlays from new discretionary authority ..................... Outlays from discretionary balances ............................. Outlays from new mandatory authority ......................... 87.00 Total outlays (gross) ................................................. 653 316 310 89.00 90.00 Net budget authority and outlays: Budget authority ............................................................ Outlays ........................................................................... 635 653 276 316 296 310 202 213 228 114 104 82 337 ................... ................... Summary of Budget Authority and Outlays (in millions of dollars) Enacted/requested: 1999 actual 2000 est. 2001 est. Budget Authority ..................................................................... 635 276 296 Outlays .................................................................................... 653 317 310 Supplemental proposal: Budget Authority ..................................................................... .................... 50 .................... Outlays .................................................................................... .................... .................... .................... Total: Budget Authority ..................................................................... Outlays .................................................................................... 635 653 326 317 296 310 Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in millions of dollars) 1999 actual Identification code 73–1152–0–1–453 2000 est. 2001 est. Direct loan levels supportable by subsidy budget authority: 1150 Direct Disaster Loans .................................................... 762 1,041 871 1159 Total direct loan levels ............................................. Direct loan subsidy (in percent): 1320 Subsidy rate ................................................................... 762 1,041 871 13.10 22.20 17.46 1329 13.10 22.20 17.46 100 140 142 100 140 142 Weighted average subsidy rate ................................. Direct loan subsidy budget authority: 1330 Disaster subsidy budget authority ................................ 10 ................... ................... 1339 12:46 Jan 28, 2000 367 60.05 DISASTER LOANS PROGRAM ACCOUNT For the cost of direct loans authorized by section 7(b) of the Small Business Act, as amended, ø$140,400,000¿ $142,100,000 to remain available until expended: 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, as amended. In addition, for administrative expenses to carry out the direct loan program, ø$136,000,000¿ $154,000,000, which may be transferred to and merged with appropriations for Salaries and Expensesø, of which $500,000 is for the Office of Inspector General of the Small Business Administration for audits and reviews of disaster loans and the disaster loan program and shall be transferred to and merged with appropriations for the Office of Inspector General: Provided, That any amount in excess of $20,000,000 to be transferred to and merged with appropriations for Salaries and Expenses for indirect administrative expenses shall be treated as a reprogramming of funds under section 605 of this Act and shall not be available for obligation or expenditure except in compliance with the procedures set forth in that section¿. (Departments of Commerce, Justice, and State, the Judiciary, and Related Agencies Appropriations Act, 2000, as enacted by section 1000(a)(1) of the Consolidated Appropriations Act, 2000 (P.L. 106–113).) 653 Appropriation (total discretionary) ........................ Mandatory: Appropriation (indefinite) .......................................... Object Classification (in millions of dollars) VerDate 04-JAN-2000 2001 est. 1999 actual 4999 0101 2000 est. 1998 actual 2999 Identification code 73–4154–0–3–376 1999 actual Identification code 73–1152–0–1–453 Balance Sheet (in millions of dollars) Jkt 186484 PO 00000 Frm 00012 Fmt 3616 Total subsidy budget authority ................................. Sfmt 3643 E:\BUDGET\SBA.XXX pfrm02 PsN: SBA SMALL BUSINESS ADMINISTRATION 1340 Direct loan subsidy outlays: Disaster subsidy outlays ................................................ 507 180 156 1349 Total subsidy outlays ................................................ 507 180 156 3510 3580 3590 Administrative expense data: Budget authority ............................................................ 146 136 154 Outlays from balances ................................................... ................... ................... ................... Outlays from new authority ........................................... 146 136 154 As required by the Federal Credit Reform Act of 1990, as amended, this account records, for loans made pursuant to section 7(b) of the Small Business Act, as amended, the subsidy costs associated with the direct loans obligated in 1992 and beyond (including modifications of direct loans or loan guarantees that resulted from obligations or commitments in any year), as well as administrative expenses of this program. The subsidy amounts are estimated on a present value basis; the administrative expenses are estimated on a cash basis. Disaster loans made pursuant to Section 7(b) of the Small Business Act are the primary form of Federal assistance for non-farm, private sector disaster losses. For this reason, the program is the only form of SBA assistance not limited to small businesses. Through this program, SBA helps homeowners, renters, businesses of all sizes, and non-profit organizations pay for the cost of rebuilding. Pursuant to the Small Business Act, the government subsidizes borrowers who have incurred uninsured losses or economic injury as the result of a natural disaster. These loans are also a critical source of economic stimulation in disaster-ravaged communities, helping to spur employment and stabilize the local tax base. Eligibility is based on financial criteria. The disaster loan programs include: physical disaster loans to individuals; physical disaster loans to businesses of any size; pre-disaster mitigation loans for small businesses; and economic injury loans to small businesses without credit available elsewhere (including the military reservist economic injury loan program). 2001 Budget Authority.—For 2001, SBA requests funding to support the 5-year average loan volume, excluding the Northridge disaster event, or $871 million in loans, within the discretionary spending budget caps. This request also includes funding for the disaster administrative expenses within the discretionary spending budget caps. The amount requested for loan subsidy is $142 million. The amount requested for direct disaster loan making is $90 million, or 10 percent of the program level. The amount requested for direct disaster loan servicing is $34 million, reflecting the increased cost of salaries and minor inflationary increases. The transfer to Salaries and Expenses for indirect expenses supporting this program is estimated at $30 million. Program Performance 12:46 Jan 28, 2000 of a disaster for 98 percent of declared events. SBA will recruit, employ and train sufficient staff to increase the number of disaster loan applications processed within 21 days of receipt from 65 percent in 1999 to 70 percent in 2001. In cooperation with SBA’s regional/district offices, the Agency will meet with local bankers to emphasize bridge lending to businesses. As part of our efforts to enhance the efficiency of disaster assistance, SBA has developed a standardized loan officer training curriculum, conducts quality reviews in each Disaster Area Office, began the process of automating the disaster loan making process, and reviewed the current processes for required policy, organizational, and procedural changes. SBA and FEMA will continue efforts to develop a joint loss inspection process. Based on efforts to improve commercial and home loan servicing, a number of goals have been set, subject to the availability of staff. To ameliorate commercial loan servicing, SBA intends to improve the currency rate to 96 percent on all SBA serviced loans, increase loan receipts to 16 percent on all SBA serviced loans, review 100 percent of all delinquent accounts each week, and reduce turn around times on all servicing actions to 2 days. For disaster home servicing, SBA intends to improve the currency rate to 95 percent, reduce the delinquency rate to 2 percent, increase loan receipts to 16.2 percent, and review 100 percent of all delinquent accounts each week. To improve loan liquidation, SBA will increase the number of cases closed each month to 360 and increase average collections on loans in liquidation by 20 percent. In addition, as mentioned above under systems modernization, the disaster program is developing a paperless home loan application and other delivery improvements that should substantially increase efficiencies and lower costs over time. Jkt 186484 PO 00000 Frm 00013 f Object Classification (in millions of dollars) Identification code 73–1152–0–1–453 1999 actual 2000 est. 2001 est. 25.2 41.0 Other services ................................................................ Grants, subsidies, and contributions ............................ 146 507 136 231 154 152 99.9 Total new obligations ................................................ 653 367 306 DISASTER DIRECT LOAN FINANCING ACCOUNT Program and Financing (in millions of dollars) 1999 actual Identification code 73–4150–0–3–453 00.01 00.02 Over the 45-year history of the program, SBA has helped more than 1.4 million disaster victims by providing more than $26.7 billion in disaster assistance. Over 90 percent has been to borrowers that otherwise would not have been able to rebuild. During 1999 alone, SBA approved over 36,000 disaster loans, exceeding $936 million to homeowners, renters, and businesses. Program Performance and Policy Goals.—The SBA program performance and policy goals are to: 1) provide disaster assistance to victims in the most effective and cost efficient manner; 2) deliver an effective program that achieves its public policy objectives; 3) provide customer-focused assistance that satisfactorily accommodates the needs of all disaster victims; 4) simplify and streamline the loan-making process by re-engineering forms, procedures and processes; and, 5) effectively implement the proposed asset sales program. SBA will coordinate with FEMA and other Federal, state and local officials as appropriate to ensure that SBA’s field presence is established in the disaster area within 3 days VerDate 04-JAN-2000 1091 Federal Funds—Continued 00.91 08.02 08.04 08.06 Obligations by program activity: Direct loans .................................................................... Interest on Treasury borrowing ...................................... 762 579 2000 est. 630 388 2001 est. 813 388 Direct Program by Activities—Subtotal (1 level) 1,341 1,018 1,201 Payment of downward reestimate to receipt account 10 ................... ................... Payment of interest on downward reestimates to receipt account ............................................................. 1 ................... ................... Payment to liquidating account to purchase loan assets (73 4153) .......................................................... ................... 226 96 08.91 Direct Program by Activities—Subtotal (1 level) 11 226 96 10.00 Total new obligations ................................................ 1,352 1,244 1,297 21.40 22.00 22.60 Budgetary resources available for obligation: Unobligated balance available, start of year ............... New financing authority (gross) .................................... Portion applied to repay debt ........................................ 3,956 3,182 ¥662 5,124 2,071 ¥1,782 4,169 2,159 ¥2,888 23.90 23.95 24.40 Total budgetary resources available for obligation Total new obligations .................................................... Unobligated balance available, end of year ................. 6,476 ¥1,352 5,124 5,413 ¥1,244 4,169 3,440 ¥1,297 2,143 New financing authority (gross), detail: Mandatory: 67.15 Authority to borrow (indefinite) ................................. 936 811 717 Fmt 3616 Sfmt 3643 E:\BUDGET\SBA.XXX pfrm02 PsN: SBA 1092 THE BUDGET FOR FISCAL YEAR 2001 Federal Funds—Continued Credit accounts—Continued 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. DISASTER DIRECT LOAN FINANCING ACCOUNT—Continued Program and Financing (in millions of dollars)—Continued Balance Sheet (in millions of dollars) 1999 actual Identification code 73–4150–0–3–453 2000 est. 2001 est. Identification code 73–4150–0–3–453 Spending authority from offsetting collections: Discretionary: Offsetting collections (cash) ................................ Change in receivables from program account 2,244 2 1,297 1,442 ¥37 ................... Spending authority from offsetting collections (total discretionary) ..................................... 2,246 1,260 1,442 Total new financing authority (gross) ...................... 3,182 2,071 2,159 Change in unpaid obligations: Unpaid obligations, start of year: 72.40 Obligated balance, start of year ............................... 72.95 Receivables from program account .......................... 990 39 328 41 20 4 1,029 1,352 ¥2,012 369 1,244 ¥1,589 24 1,297 ¥1,208 74.40 74.95 Total unpaid obligations, start of year ................ Total new obligations .................................................... Total financing disbursements (gross) ......................... Unpaid obligations, end of year: Obligated balance, end of year ................................ Receivables from program account .......................... 328 41 20 4 109 4 74.99 87.00 Total unpaid obligations, end of year .................. Total financing disbursements (gross) ......................... 369 2,012 24 1,589 113 1,208 68.00 68.10 68.90 70.00 72.99 73.10 73.20 Offsets: Against gross financing authority and financing disbursements: Offsetting collections (cash) from: Federal sources: 88.00 Payments from program account ..................... ¥170 ¥270 ¥127 88.00 Payments from program account—reestimates ........................................................... ¥337 ................... ................... Non-Federal sources: 88.40 Repayments of principal, net ........................... ¥566 ¥368 ¥385 88.40 Collection of misc. receivables ........................ ¥962 ¥9 ................... 88.40 Interest received on loans ................................ ¥209 ¥424 ¥407 88.40 Proceeds from loan sales ................................. ................... ¥226 ¥523 88.90 88.95 Total, offsetting collections (cash) .................. Against gross budget authority only: Change in receivables from program accounts ....... Net financing authority and financing disbursements: 89.00 Financing authority ........................................................ 90.00 Financing disbursements ............................................... ¥2,244 ¥1,297 ¥2 811 292 717 ¥234 2000 est. 2001 est. Position with respect to appropriations act limitation on obligations: 1111 Limitation on direct loans ............................................. ................... ................... ................... 1131 Direct loan obligations exempt from limitation ............ 814 221 951 1150 Total direct loan obligations ..................................... 814 221 Cumulative balance of direct loans outstanding: 1210 Outstanding, start of year ............................................. 5,605 5,658 Disbursements: 1231 Direct loan disbursements ........................................ 755 510 1233 Purchase of loans assets from a liquidating account ..................................................................... ................... 140 Repayments: 1251 Repayments and prepayments .................................. ¥566 ¥368 1252 Proceeds from loan asset sales to the public or discounted ............................................................. ................... ................... 1262 Adjustments: Discount on loan asset sales to the public or discounted ................................................. ................... ................... 1264 Write-offs for default: Other adjustments, net ............. ¥136 ¥113 1290 Outstanding, end of year .......................................... 5,658 5,827 951 12:46 Jan 28, 2000 Jkt 186484 1999 39 5,247 41 5,761 4 5,953 4 5,550 5,605 –973 5,658 –1,439 5,687 –1,254 3,756 –1,254 4,632 4,219 4,433 2,502 9,918 10,021 10,390 8,056 Total assets ........................................ LIABILITIES: 2104 Federal liabilities: Resources payable to Treasury ............................................... 9,918 2999 f 2001 est. 10,021 10,390 8,056 Total liabilities .................................... NET POSITION: 3100 Appropriated capital ................................ 9,918 10,021 10,390 8,056 .................. .................. .................. .................. 3999 Total net position ................................ .................. .................. .................. .................. 4999 Total liabilities and net position ............ 9,918 10,021 10,390 8,056 DISASTER LOAN FUND LIQUIDATING ACCOUNT Program and Financing (in millions of dollars) 1999 actual Identification code 73–4153–0–3–453 2000 est. 2001 est. 01.01 01.03 Obligations by program activity: Interest expense to Treasury .......................................... Other expenses ............................................................... 51 4 51 10 17 10 10.00 Total new obligations ................................................ 55 61 27 PO 00000 Budgetary resources available for obligation: Unobligated balance available, start of year ............... New budget authority from offsetting collections (gross) ....................................................................... 22.40 Capital transfer to general fund ................................... 21.40 22.00 23.90 23.95 24.40 Total budgetary resources available for obligation Total new obligations .................................................... Unobligated balance available, end of year ................. New budget authority (gross), detail: Mandatory: 69.00 Offsetting collections (cash) ..................................... 69.47 Portion applied to repay debt ................................... 69.90 Spending authority from offsetting collections (total mandatory) ............................................. 196 70 ¥196 15 ................... 130 ¥84 29 ¥2 70 61 27 ¥55 ¥61 ¥27 15 ................... ................... 229 ¥159 296 ¥166 103 ¥74 70 130 29 60 55 ¥63 52 61 ¥61 52 27 ¥27 52 52 52 5,827 902 290 ¥385 Change in unpaid obligations: Unpaid obligations, start of year: Obligated balance, start of year .............................................................. 73.10 Total new obligations .................................................... 73.20 Total outlays (gross) ...................................................... 74.40 Unpaid obligations, end of year: Obligated balance, end of year ................................................................ 72.40 ¥424 ¥1,644 ¥114 86.97 86.98 Outlays (gross), detail: Outlays from new mandatory authority ......................... Outlays from mandatory balances ................................ 4,452 87.00 Total outlays (gross) ................................................. As required by the Federal Credit Reform Act of 1990, as amended, 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 VerDate 04-JAN-2000 Net present value of assets related to direct loans ........................... 2000 est. 37 ................... 936 ¥232 1999 actual 1499 1999 actual ¥1,442 Status of Direct Loans (in millions of dollars) Identification code 73–4150–0–3–453 ASSETS: Federal assets: Investments in US securities: Receivables, net: 1106 Program account ........................ 1106 Interest/Accounts Receivables ... Net value of assets related to post– 1991 direct loans receivable: 1401 Direct loans receivable, gross ............ 1405 Allowance for subsidy cost (–) ........... 1998 actual Frm 00014 59 61 27 4 ................... ................... 63 61 27 Offsets: Against gross budget authority and outlays: Offsetting collections (cash) from: Non-Federal sources: 88.40 Asset Sale Proceeds (73–4150) ....................... ................... ¥226 ¥96 Fmt 3616 Sfmt 3643 E:\BUDGET\SBA.XXX pfrm02 PsN: SBA SMALL BUSINESS ADMINISTRATION 88.40 88.40 88.40 Loan repayments .............................................. Interest income ................................................. Other income .................................................... ¥166 ¥52 ¥11 ¥50 ¥10 ¥10 ¥5 ¥1 ¥1 88.90 Total, offsetting collections (cash) .................. ¥229 ¥296 ¥103 89.00 90.00 Net budget authority and outlays: Budget authority ............................................................ Outlays ........................................................................... ¥159 ¥165 ¥166 ¥235 ¥74 ¥76 Status of Direct Loans (in millions of dollars) 1999 actual Identification code 73–4153–0–3–453 2000 est. Cumulative balance of direct loans outstanding: Outstanding, start of year ............................................. 1,254 Repayments: 1251 Repayments and prepayments .................................. ¥166 1252 Proceeds from loan asset sales to the public or discounted ............................................................. ................... 1262 Adjustments: Discount on loan asset sales to the public or discounted ................................................. ................... 1263 Write-offs for default: Direct loans ............................... ¥21 1210 1290 Outstanding, end of year .......................................... 2001 est. 1,067 487 ¥50 ¥5 ¥104 ¥96 ¥416 ¥386 ¥10 ................... 1,067 POLLUTION CONTROL EQUIPMENT FUND LIQUIDATING ACCOUNT Program and Financing (in millions of dollars) Statement of Operations (in millions of dollars) 1999 actual 2000 est. 2001 est. 0101 0102 Revenue ................................................... Expense .................................................... 64 –93 52 –53 42 –43 5 –16 0105 Net income or loss (–) ............................ –29 –1 –1 –11 1998 actual ASSETS: Federal assets: Fund balances with Treasury ............................................... 1206 Non-Federal assets: 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 (–) .................... 3 3 1 10.00 Total new obligations ................................................ 3 3 1 Budgetary resources available for obligation: Unobligated balance available, start of year: 21.40 Unobligated balance available, start of year ........... 21.40 Unobligated balance available, start of year ........... 12 2 9 ¥9 8 ¥8 21.99 22.00 22.40 Total unobligated balance, start of year .................. New budget authority (gross) ........................................ Capital transfer to general fund ................................... 23.90 23.95 Total budgetary resources available for obligation Total new obligations .................................................... Unobligated balance available, end of year: Unobligated balance available, end of year ............. Unobligated balance available, end of year ............. 24.40 24.40 1801 1803 Value of assets related to direct loans .......................................... Other Federal assets: Cash and other monetary assets ....... Property, plant and equipment, net 1999 1999 actual 2000 est. 2001 est. 256 64 226 59 200 51 133 5 1,254 1,067 487 .................. –114 –46 –30 .................. 1,140 1,021 457 .................. .................. 1 .................. .................. .................. .................. .................. .................. Total assets ........................................ LIABILITIES: 2102 Federal liabilities: Interest payable ........ 2201 Non-Federal liabilities: Accounts payable 1,461 1,306 708 138 59 1,402 52 1,254 31 990 20 586 2999 Total liabilities .................................... 1,461 1,306 1,021 606 4999 Total liabilities and net position ............ 1,461 1,306 1,021 606 Object Classification (in millions of dollars) 1999 actual Identification code 73–4153–0–3–453 2000 est. 2001 est. 25.2 43.0 Other services ................................................................ Interest and dividends ................................................... 4 51 10 51 10 17 99.9 Total new obligations ................................................ 55 61 27 VerDate 04-JAN-2000 12:46 Jan 28, 2000 Jkt 186484 14 ................... ................... 4 3 1 ¥14 ¥2 ................... 4 ¥3 1 ¥3 1 ¥1 9 ¥9 8 ¥8 8 ¥8 Total unobligated balance, end of year .................... ................... ................... ................... New budget authority (gross), detail: Mandatory: 67.15 Authority to borrow (indefinite) ................................. 4 3 1 73.10 73.20 Change in unpaid obligations: Total new obligations .................................................... Total outlays (gross) ...................................................... 3 ¥3 3 ¥3 1 ¥1 86.97 86.98 Outlays (gross), detail: Outlays from new mandatory authority ......................... Outlays from mandatory balances ................................ 87.00 Total outlays (gross) ................................................. 3 3 1 89.00 90.00 Net budget authority and outlays: Budget authority ............................................................ Outlays ........................................................................... 4 2 3 3 1 1 2 3 1 1 ................... ................... Status of Guaranteed Loans (in millions of dollars) 1101 1699 2001 est. Obligations by program activity: Direct program ............................................................... Balance Sheet (in millions of dollars) Identification code 73–4153–0–3–453 2000 est. 00.01 24.99 1998 actual 1999 actual Identification code 73–4147–0–3–376 487 ................... As required by the Federal Credit Reform Act of 1990, as amended, this account records, for this program, all cash flows to and from the Government resulting from direct loans obligated 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. Identification code 73–4153–0–3–453 1093 Federal Funds—Continued PO 00000 Frm 00015 1999 actual Identification code 73–4147–0–3–376 2000 est. 2001 est. Cumulative balance of guaranteed loans outstanding: 2210 Outstanding, start of year ............................................. 57 46 35 Adjustments: 2261 Terminations for default that result in loans receivable ....................................................................... ................... ................... ................... 2263 Terminations for default that result in claim payments .................................................................... ¥11 ¥11 ¥11 2290 Outstanding, end of year .......................................... 46 35 24 2299 Memorandum: Guaranteed amount of guaranteed loans outstanding, end of year ................................................................ 46 35 24 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 ............................... 2390 Outstanding, end of year ...................................... 45 47 46 3 ................... ................... ¥1 ¥1 ¥1 47 46 45 Public Law 94–305 established this fund to alleviate the adverse impact of pollution regulations on small businesses. As a result of the elimination of tax exempt financing associated with the Pollution Control Guaranteed program, no new activity is anticipated for this program. During 1992, the Small Business Administration started the process of redeeming a large number of outstanding bonds on which it has taken over loan payments. Most of these targeted bonds are ten years old and voluntary redemption is now viable under the bond documents. Redemption of these Fmt 3616 Sfmt 3616 E:\BUDGET\SBA.XXX pfrm02 PsN: SBA 1094 f THE BUDGET FOR FISCAL YEAR 2001 Federal Funds—Continued Credit accounts—Continued POLLUTION CONTROL EQUIPMENT FUND LIQUIDATING ACCOUNT— Continued 3300 Cumulative results of operations ............ 7 48 5 5 3999 Total net position ................................ 7 48 5 5 4999 Total liabilities and net position ............ 29 19 26 26 obligations would preclude the SBA from paying excessive interest over the next ten years. ADMINISTRATIVE PROVISION—SMALL BUSINESS ADMINISTRATION Statement of Operations (in millions of dollars) Identification code 73–4147–0–3–376 1998 actual 1999 actual 2000 est. 2001 est. 0101 0102 Revenue ................................................... Expense .................................................... .................. 3 4 –3 3 –3 1 –1 0105 Net income or loss (–) ............................ 3 1 .................. .................. 2000 est. 2001 est. Balance Sheet (in millions of dollars) Identification code 73–4147–0–3–376 1998 actual 1999 actual 14 9 2 9 ASSETS: 1101 Federal assets: Fund balances with Treasury ............................................... 1206 Non-Federal assets: Receivables, net ..... 1701 Net value of assets related to pre–1992 direct loans receivable and acquired defaulted guaranteed loans receivable: Defaulted guaranteed loans, gross ................................................... Total assets ........................................ LIABILITIES: 2104 Federal liabilities: Resources payable to Treasury ............................................... 2201 Non-Federal liabilities: Accounts payable (in millions of dollars) 6 8 6 6 29 19 26 26 22 .................. –29 .................. 21 .................. 21 .................. 22 –29 21 21 2999 VerDate 04-JAN-2000 f 11 9 GENERAL FUND RECEIPT ACCOUNTS 1999 Total liabilities .................................... NET POSITION: 3100 Appropriated capital ................................ 11 9 Not to exceed 5 percent of any appropriation made available for the current fiscal year for the Small Business Administration in this Act may be transferred between such appropriations, but no such appropriation shall be increased by more than 10 percent by any such transfers: Provided, That any transfer pursuant to this paragraph shall be treated as a reprogramming of funds under section 605 of this Act and shall not be available for obligation or expenditure except in compliance with the procedures set forth in that section. (Departments of Commerce, Justice, and State, the Judiciary, and Related Agencies Appropriations Act, 2000, as enacted by section 1000(a)(1) of the Consolidated Appropriations Act, 2000 (P.L. 106– 113).) .................. 12:46 Jan 28, 2000 .................. Jkt 186484 .................. PO 00000 1999 actual 2001 est. Offsetting receipts from the public: 73–272130 Disaster loan program, downward reestimates of subsidies ........................................................................ 73–272230 Business loan program, Downward resstimates of subsidies .................................................... 695 301 ................... General Fund Offsetting receipts from the public ..................... 705 301 ................... 10 ................... ................... .................. Frm 00016 2000 est. Fmt 3616 Sfmt 3643 E:\BUDGET\SBA.XXX pfrm02 PsN: SBA