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OFFICE OF PERSONNEL MANAGEMENT
23.95
23.98
24.40

Federal Funds
General and special funds:
SALARIES
(INCLUDING

AND

¥262
¥305
¥309
¥1
¥7 ...................
7 ................... ...................

EXPENSES

TRANSFER OF TRUST FUNDS)

For necessary expenses to carry out functions of the Office of Personnel Management pursuant to Reorganization Plan Numbered 2
of 1978 and the Civil Service Reform Act of 1978, including services
as authorized by 5 U.S.C. 3109; medical examinations performed
for veterans by private physicians on a fee basis; rental of conference
rooms in the District of Columbia and elsewhere; hire of passenger
motor vehicles; not to exceed $2,500 for official reception and representation expenses; advances for reimbursements to applicable
funds of the Office of Personnel Management and the Federal Bureau
of Investigation for expenses incurred under Executive Order No.
10422 of January 9, 1953, as amended; and payment of per diem
and/or subsistence allowances to employees where Voting Rights Act
activities require an employee to remain overnight at his or her
post of duty, ø$99,636,000¿ $134,404,000, of which ø$3,200,000¿
$24,000,000 shall remain available until expended for the cost of
the governmentwide human resources data network project, and
$2,500,000 shall remain available until expended for the cost of leading the government-wide initiative to modernize federal payroll systems and service delivery; and in addition ø$115,928,000¿
$126,591,000 for administrative expenses, to be transferred from the
appropriate trust funds of the Office of Personnel Management without regard to other statutes, including direct procurement of printed
materials, for the retirement and insurance programs, of which
ø$21,777,000¿ $27,640,000 shall remain available until expended for
the cost of automating the retirement recordkeeping systems: Provided, That the provisions of this appropriation shall not affect the
authority to use applicable trust funds as provided by sections
8348(a)(1)(B), 8909(g), and 9004(f)(1)(A) and (2)(A) of title 5, United
States Code: Provided further, That no part of this appropriation
shall be available for salaries and expenses of the Legal Examining
Unit of the Office of Personnel Management established pursuant
to Executive Order No. 9358 of July 1, 1943, or any successor unit
of like purpose: Provided further, That the President’s Commission
on White House Fellows, established by Executive Order No. 11183
of October 3, 1964, may, during fiscal year ø2002¿ 2003, accept donations of money, property, and personal services in connection with
the development of a publicity brochure to provide information about
the White House Fellows, except that no such donations shall be
accepted for travel or reimbursement of travel expenses, or for the
salaries of employees of such Commission. (Independent Agencies Appropriations Act, 2002; additional authorizing legislation required.)
Program and Financing (in millions of dollars)
2001 actual

Identification code 24–0100–0–1–805

2002 est.

2003 est.

Obligations by program activity:
Direct program:
00.01
Merit systems oversight and effectiveness ..............
00.02
Employment service ...................................................
00.03
Retirement and insurance service ............................
00.04
Workforce compensation and performance service
00.05
Investigations service ................................................
00.06
Workforce relations ....................................................
00.07
Executive resources ...................................................
00.08
Administrative services .............................................
00.09
Executive and other services ....................................
09.01 Reimbursable program ..................................................

22
28
127
8
3
5
2
29
14
24

22
29
165
8
3
5
3
31
15
24

22
29
139
8
3
5
3
61
15
24

10.00

Total new obligations ................................................

262

305

309

21.40
22.00
22.10

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
New budget authority (gross) ........................................
Resources available from recoveries of prior year obligations .......................................................................

14
262

7 ...................
305
309

23.90

Total new obligations ....................................................
Unobligated balance expiring or withdrawn .................
Unobligated balance carried forward, end of year .......

Total budgetary resources available for obligation

¥6 ................... ...................
270

312

309

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
68.00 Spending authority from offsetting collections: Offsetting collections (cash) ..............................................

99

105

134

163

200

175

70.00

262

305

309

Total new budget authority (gross) ..........................

Change in obligated balances:
Obligated balance, start of year ...................................
Total new obligations ....................................................
Total outlays (gross) ......................................................
Adjustments in expired accounts (net) .........................
Recoveries of prior year obligations ..............................
Change in uncollected customer payments from Federal sources (expired) ................................................
74.40 Obligated balance, end of year .....................................
72.40
73.10
73.20
73.40
73.45
74.10

¥24
11
11
262
305
309
¥253
¥305
¥309
26 ................... ...................
6 ................... ...................
¥6 ................... ...................
11
11
11

86.90
86.93

Outlays (gross), detail:
Outlays from new discretionary authority .....................
Outlays from discretionary balances .............................

251
2

292
13

292
16

87.00

Total outlays (gross) .................................................

253

305

309

Offsets:
Against gross budget authority and outlays:
88.00
Offsetting collections (cash) from: Federal sources

¥163

¥200

¥175

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

99
90

105
105

134
134

89.00
90.00

Budget Authority and Outlays Excluding Full Funding for Federal Retiree Costs (in
millions of dollars)
2001 actual

89.00
90.00

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

94
85

2002 est.

2003 est.

100
100

The Office of Personnel Management (OPM) is responsible
for personnel management functions which include the following activities:
Merit systems oversight and effectiveness.—This activity includes: (a) evaluating human resources management (HRM)
in Federal agencies through various methods, including onsite reviews and special studies; (b) administering classification appeals, Fair Labor Standards Act, and Intergovernmental Personnel programs to ensure that agencies adhere
to the statutory requirements; (c) helping agencies develop
merit-based HRM accountability systems to support mission
accomplishment; (d) assessing the effectiveness of Governmentwide HRM policies and programs and serving as a clearinghouse for best practices; (e) testing and evaluating innovative HRM practices and systems, including demonstration
projects under 5 U.S.C. Chapter 47; (f) providing readily accessible statistics on the Federal workforce; (g) providing electronic transfer of other human resources data throughout the
Federal sector; and (h) administering parts of the Voting
Rights Act of 1965.
Program performance.—The activity’s performance measures are designed to assess the value-added outcomes which
oversight reviews, accountability and demonstration projects,
and workforce information have on the Federal HRM community and employees. Client feedback is solicited on each re1041

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1042

THE BUDGET FOR FISCAL YEAR 2003

Federal Funds—Continued

General and special funds—Continued
SALARIES
(INCLUDING

AND

EXPENSES—Continued

TRANSFER OF TRUST FUNDS)—Continued

view, product, and service. For example, clients rate the overall value of the oversight work as 4.0 or above of a 5-point
scale. The quality of data that is provided to clients is regularly assessed, and is used in reviews, studies, and projects.
Of each agency’s records entered into the Central Personnel
Data File, at least 97 percent are correct on all core elements.
The Merit System Principles Survey, used to collect employee
perceptions of the merit system principles, is content valid
and reliable. OPM conducts 15 to 17 nationwide agency oversight reviews each year to ensure compliance with Federal
Civil Service merit principles.
Employment Service.—The Employment Service performs
core human resources (HR) leadership functions. These functions include developing, implementing, and monitoring employment policies for agencies in the areas of workforce planning, recruiting, selecting, promoting, reassigning, downsizing
and reshaping. The Service monitors and reports on governmentwide diversity and veterans efforts, provides technical
assistance on a variety of staffing issues, and operates the
personnel program for the Administrative Law Judges. Additionally, the Service provides HR best practice information
to Federal agencies, offers automated staffing solutions, and
operates the Federal job information system USAJOBS. In
2002 and 2003, the Service will focus on improving the Federal hiring process, enhancing the image of the public service,
conducting occupational studies of homeland security and executive succession planning, and expanding the Government’s
ability to recruit, develop, and retain computer security professionals.
Program performance.—The Employment Service establishes annual performance goals and objectives designed to
accomplish long-term goals identified in OPM’s Strategic Plan.
Progress is monitored through a mix of outcome and output
measures, including results of oversight reviews, qualitative
feedback on the usefulness of policies and information processes, customer satisfaction with services, cost-comparison
analyses, workload accomplishment data, and quality and
timeliness of information.
The Employment Service provided employment information
to over 20.7 million people in 2001 through a nationwide
system available 24 hours a day, 7 days a week, by telephone,
fax, and internet. USAJOBS averages more than 56,000 visits
daily. This is an increase from the previous year and is expected to continue to grow.
The Employment Service conducts a recertification and
training program for all agency Delegated Examining Units
to ensure that agencies are carrying out their delegated responsibilities in accordance with law and regulation, and accomplished all scheduled recertifications.
In 2001, Employment Service published several regulations
such as the Career Intern Interim regulations and final regulations for the Student Loan Repayment program and continued to assist employees with outplacement assistance and
selection priority for other jobs. The Service also helped advance the President’s Strategic Management of Human Capital initiative by proposing legislation to streamline the hiring
process, which was included in the Administration’s Managerial Flexibility Act of 2001, and providing technical assistance
and tools to help agencies conduct a workforce analysis and
develop a restructuring plan.
Retirement and Insurance.— This Activity encompasses administration of Earned Employee Benefits—the retirement
and insurance programs—for Federal employees, retired Federal employees, and their families. These programs include
the Civil Service Retirement System, the Federal Employees
Retirement System, the Federal Employees Group Life Insur-

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ance Program, and the Federal Employees and Retired Employees Health Benefits Programs. The Long-Term Care Security Act (P.L. 106–265) authorizes OPM to offer group long
term care insurance for Federal employees and retirees, their
spouses, parents, and parents-in-law. In addition, this Activity
includes OPM’s efforts designed to stay abreast of, and respond to, developments in non-Federal fringe benefits practices.
Program performance.—The Retirement Systems Modernization (RSM) Project is OPM’s central strategy to meet
its long term customer service, financial management and
business goals for the Retirement Program. To achieve these
strategic goals, OPM will move from a paper-based record
keeping system to program-wide electronic data and transactions. The project will be implemented in phases, with full
results achieved in 2008. Close coordination with another
OPM initiative, the Human Resources Data Network, will
minimize the data agencies must send to OPM. OPM is developing universal tools that use electronic data, and has already
introduced a prototype Benefits Calculator and a Benefits
Booklet for retiring employees. The calculator, used by OPM
to process FERS claims, reduced claims processing times by
45 percent. The benefits booklet provides personalized benefits information, contributing to improved customer satisfaction. During FY 2002, OPM will complete two applications
that will provide immediate benefits. A Retirement Data Exchange Gateway will allow OPM and agencies to eliminate
obsolete technology and reduce the delay some retiring employees experience in receiving their first benefit payment.
A Coverage Determination Application will improve the accuracy of retirement coverage decisions made by agencies. During FY 2003, OPM will begin to convert member data, currently stored in paper form at the Retirement Operations
Center and at Federal agencies, to electronic media. This
will contribute to improved benefits counseling and case development by agencies, reduced benefit claims processing time
and elimination of paper record storage and management.
In addition, OPM will pilot, with the USPS, a non-HR-DN
data capture capability, and will develop web-enabled selfservice for retirement benefits, i.e., on line applications. RSM
results in more efficient and effective retirement claims processing, record keeping, benefits counseling and financial management. Ninety-three percent of customers reported that
they were generally satisfied to very satisfied with OPM’s
delivery of retirement services. This continues a five-year
trend of satisfaction levels in the 90 percent range. In addition, the American Customer Satisfaction Index (ASCI) measured the satisfaction federal retirees and survivor annuitants
had with the retirement services delivered, and the level of
satisfaction improved from 73 in 2000, to 78 in 2001.
OPM continues to improve its telecommunication services.
Toll-free telephone access is provided to all call centers, interactive features are available through the telephone system,
and hours of operation have been extended until 8:00
PM.E.S.T. In addition, to better serve customers, OPM has
enhanced its ability to meet their needs by adding on-line
features for our Spanish-speaking customers, and translating
often-used benefits material into Spanish. The volume of telephone inquiries handled increased by 8 percent during FY
2001. Customer satisfaction levels regarding the courtesy,
clarity, and timeliness of telephone services remain high at
90 percent.
The volume of new annuity claims remained steady. OPM
has received and processed an average of 170,000 Civil Service and Federal Employees Retirement Systems annuity and
survivor claims annually over the past 5 years. The average
processing time for interim annuity payments in 2001 was
reduced from 5 days to 3 days. More than 48% of interim
payments were authorized within one day. The time needed
to calculate and begin paying retirees their final annuity was

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OFFICE OF PERSONNEL MANAGEMENT

Federal Funds—Continued

reduced by more than 30% from an average of 115 days
in 2000 to 78 days in 2001. OPM increased its claims processing capacity and efficiency through the use of enhanced
technical platforms. Customer satisfaction with the timeliness
of the first annuity payment has remained at or near 80
percent since FY 1997 and is much improved over the 73
percent observed in FY 1995.
OPM also maintained its leadership in the direct deposit
program, an efficient means of ensuring that customers receive their annuity payment each month. Customer satisfaction levels with receipt of annuity checks are at 97 percent,
continuing another long-standing trend. During 1998, OPM
implemented a direct mail campaign to inform annuitants
and survivors of the convenience and desirability of direct
deposit. As a result, participation rose from 79 percent at
the start of 1998, to nearly 93 percent today. OPM will expand the direct deposit program to our overseas customers
by participating in the International Direct Deposit Program
beginning mid-FY 2002.
The FEHBP continues to be a hallmark for employer sponsored health insurance programs. To maintain this recognition, OPM will ensure that customers are enrolled in highly
rated health plans that deliver quality care in a cost-effective
manner. During FY 2003, OPM will continue to address patient safety, collaborating with others in the health care industry to develop the ‘‘Five Steps to Patient Safety.’’ These
‘‘Steps’’ have been widely adopted both in and out of Government. Participating health plans have already adopted some
patient safety initiatives and are working with participating
providers to articulate and disseminate information about the
safety initiatives that they have put in practice. Health plans
have also updated provider directories, where appropriate,
to inform their membership of important safety measures.
These initiatives include such practices as the use of automated entry systems for prescription drugs, referring patients
to recognized Centers of Excellence, and staffing appropriately
for Intensive Care Units. Other consumer protections and
quality initiatives now provided by FEHBP plans include,
but are not limited to: transitional care for those with chronic
or disabling conditions; the right to review medical records
and to correct inaccurate ones; and direct access to women’s
health care providers.
OPM continues to build and maintain strong relationships
with the National Committee for Quality Assurance (NCQA),
the Joint Commission on Accreditation of Healthcare Organizations (JCAHO), the National Quality Forum, the Quality
Interagency Coordination (QuIC) Taskforce, the Washington
Business Group on Health, the Leapfrog Group, the Health
Care Financing Administration and other components of the
Department of Health and Human Services. These partnerships have been instrumental in promoting the use of health
care quality outcome measures by the Federal government
and health care purchasers and providers throughout the nation.
OPM is taking initial steps to standardize and centralize
data on health plan performance in a data repository. This
will enable staff to more easily analyze the information, begin
benchmarking, and provide feedback to plans for quality improvement.
The Long Term Care Security Act, which was passed in
FY 2000, authorizes OPM to offer long term care insurance
to approximately 20 million people by October 2002. OPM
plans to offer a flexible long term care product, including
provisions for nursing home care, assisted living, home health
care and adult day care. Insurance will be offered to civil
service, postal and uniformed services personnel, government
retirees and specified relatives, such as spouses, parents, inlaws and stepparents. OPM estimates that 300,000 to 600,000
individuals will enroll during the first sign-up period in FY
2003. Enrollees will pay the full cost of insurance premiums

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1043

at group rates that are expected to be lower than rates for
comparable coverage sold privately on an individual basis.
OPM will draft regulations for the new program and will
oversee an education campaign to explain long-term care options to employees and retirees. OPM will assure that consumer materials and guidance are readily accessible to help
individuals make informed choices about purchasing the longterm care product(s) that will be available to them.
In late FY 2000, legislation was enacted to provide relief
to employees who were placed in the wrong retirement system. The Federal Erroneous Retirement Coverage Corrections
Act (FERCCA) allows most of these employees a choice in
retirement plans. OPM’s implementation strategy is to provide a consistent high level of customer service to everyone
who is eligible for relief so that affected individuals can make
informed decisions. OPM developed a web page at
www.opm.gov/benefits/correction with information about the
Act. To date, about 6,300 affected individuals have been registered in our database. OPM began the review of records
to determine eligibility in September 2001 and affected individuals will receive counseling beginning January 2002. The
process of identifying affected individuals and providing counseling services is expected to be completed by the end of
2002.
Workforce compensation and performance.—This activity includes; (a) developing and implementing pay and leave administration policy and evaluating the effectiveness of alternative
compensation systems; (b) developing classification policies
and systems and designing flexible alternatives to current
systems; and (c) developing Governmentwide policy concerning performance management.
Program performance.—The workforce compensation and
performance program area uses a variety of measures to identify its level of success. Overall customer service is measured
through OPM’s Customer Satisfaction Survey, surveys of
attendees at conferences, workshops, and/or seminars, and
feedback from users of our website and email. The 2000 HR
Directors’ Customer Satisfaction Survey showed that the percentage of human resources directors who were satisfied with
policy leadership in WCPS program areas were as follows;
87 percent in pay and leave administration, 78 percent in
performance management, 68 percent in position classification
and position management, and 62 percent in the Federal
Wage System. In 2001 the organization staged the second
Strategic Compensation Conference. On a five-point scale, the
average overall rating of the Conference was 4.33, an increase
from 4.14 for the 1999 Conference, and 4.23 for the 2000
Conference. The overall improvement in perception of outcomes in WCPS program areas is demonstrated by the increase in positive responses in a national survey of more
than 20,000 Federal employees. Favorable responses increased in one year from 26 percent to 31 percent on the
question ‘‘are you clear about how good performance is defined
in your organization?’’ On the issue ‘‘recognition and rewards
are based on merit,’’ positive responses increased from 30
to 34 percent.
Investigations.—This activity focuses on assuring applicant
and appointee fitness and suitability, and oversight of the
investigative contract company.
Workforce relations.—This activity includes: (a) developing
governmentwide policies, issuing guidance, and providing assistance to agencies on employee relations issues, including
actions based on misconduct and unacceptable performance,
as well as alternative dispute resolution; (b) Promoting and
supporting Federal work/life and wellness programs; (c) providing leadership and policy guidance in support of agency
human resource development programs and training initiatives; and (d) providing guidance, information, and assistance
to agencies on collective bargaining and labor-management

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1044

THE BUDGET FOR FISCAL YEAR 2003

Federal Funds—Continued

General and special funds—Continued
SALARIES

AND

OFFICE

OF

INSPECTOR GENERAL

SALARIES AND EXPENSES

EXPENSES—Continued

(INCLUDING TRANSFER OF TRUST FUNDS)

(INCLUDING

TRANSFER OF TRUST FUNDS)—Continued

relations to help them develop effective labor relations programs.
Program performance.—OPM’s workforce relations performance measures are designed to determine the value added
by OPM’s policy leadership and guidance on employee and
labor-management relations issues, work/life programs, and
human resource development programs. The Office of Workforce Relations (OWR) uses a variety of measures to identify
its level of success. For instance, surveys at regular intervals
assess the extent to which our customers feel that their needs
are met by OWR products and services such as printed and
electronic materials, conferences, seminars, and workshops,
as well as by legislative and regulatory proposals coming from
OWR.
Executive resources.—This activity provides Governmentwide program leadership, policy direction and technical assistance on all aspects of the Senior Executive Service personnel
system and comparable executive systems.
Administrative services.—This activity includes: OPM personnel and equal employment opportunity, security, facilities,
telecommunications, publishing, acquisitions, and information
resources management to support all OPM programs.
Executive and other services.—This activity includes: executive direction, policy development, legal advice and representation, public affairs, legislative activities, financial management, and the operating expenses of the President’s Commission on White House Fellows.
Reimbursable programs.—OPM performs reimbursable
work at the request of other agencies. OPM also provides
administrative, information resources management, and executive services to other OPM accounts on a reimbursable basis.
Object Classification (in millions of dollars)
2001 actual

Identification code 24–0100–0–1–805

11.1
11.3
11.5

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

2002 est.

2003 est.

109
5
4

111
5
4

115
35
3
17

118
37
3
17

120
38
3
17

24.0
25.2
26.0
31.0

Total personnel compensation .........................
Civilian personnel benefits .......................................
Travel and transportation of persons .......................
Rental payments to GSA ...........................................
Communications, utilities, and miscellaneous
charges .................................................................
Printing and reproduction .........................................
Other services ............................................................
Supplies and materials .............................................
Equipment .................................................................

10
2
47
3
5

10
2
85
3
5

10
2
86
3
5

99.0
99.0

Direct obligations ..................................................
Reimbursable obligations ..............................................

237
25

280
25

284
25

99.9

Total new obligations ................................................

262

305

309

Personnel Summary
2001 actual

Identification code 24–0100–0–1–805

Direct:
Total compensable workyears: Full-time equivalent
employment ...............................................................
Reimbursable:
2001 Total compensable workyears: Full-time equivalent
employment ...............................................................

2002 est.

2003 est.

1001

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Program and Financing (in millions of dollars)

1,922

2,067

2,028

130

141

141

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2001 actual

Identification code 24–0400–0–1–805

2002 est.

2003 est.

10.00

Obligations by program activity:
Total new obligations ....................................................

12

12

12

22.00
23.95

Budgetary resources available for obligation:
New budget authority (gross) ........................................
Total new obligations ....................................................

12
¥12

12
¥12

12
¥12

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
68.00 Spending authority from offsetting collections: Offsetting collections (cash) ..............................................

1

1

1

11

11

11

70.00

12

12

12

Total new budget authority (gross) ..........................

Change in obligated balances:
Obligated balance, start of year ...................................
Total new obligations ....................................................
Total outlays (gross) ......................................................
Change in uncollected customer payments from Federal sources (expired) ................................................
74.40 Obligated balance, end of year .....................................
72.40
73.10
73.20
74.10

¥2
12
¥12

¥6 ...................
12
12
¥12
¥12

¥4
6 ...................
¥6 ................... ...................

Outlays (gross), detail:
Outlays from new discretionary authority .....................

12

12

12

Offsets:
Against gross budget authority and outlays:
88.00
Offsetting collections (cash) from: Federal sources

¥11

¥11

¥11

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

1
3

86.90

106
5
4

11.9
12.1
21.0
23.1
23.3

For necessary expenses of the Office of Inspector General in carrying out the provisions of the Inspector General Act, as amended,
including services as authorized by 5 U.S.C. 3109, hire of passenger
motor vehicles, ø$1,498,000¿ $1,498,000; and in addition, not to exceed ø$10,016,000¿ $11,366,000 for administrative expenses to audit,
investigate, and provide other oversight of the Office of Personnel
Management’s retirement and insurance programs, to be transferred
from the appropriate trust funds of the Office of Personnel Management, as determined by the Inspector General: Provided, That the
Inspector General is authorized to rent conference rooms in the District of Columbia and elsewhere. (Independent Agencies Appropriations Act, 2002; additional authorizing legislation required.)

89.00
90.00

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

Budget Authority and Outlays Excluding Full Funding for Federal Retiree Costs (in
millions of dollars)
2001 actual

89.00
90.00

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

1
3

2002 est.

2003 est.

1
1

1
1

This appropriation provides agency-wide audit, investigative, evaluation, inspection, and administrative sanction functions to identify management and administrative deficiencies
that may create conditions for fraud, waste, and mismanagement. The audits function provides internal agency audit,
insurance audit, contract audit, and information systems
audit services. Contract audits provide professional advice to
agency contracting officials on accounting and financial matters regarding the negotiation, award, administration, repricing, and settlement of contracts. Internal agency audits review and evaluate all facets of agency operations, including
financial statements. Insurance audits review the operations
of health and life insurance carriers, health care providers,
and insurance subscribers. Information systems audits review

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OFFICE OF PERSONNEL MANAGEMENT

both general controls and application controls for the agency’s
systems and programs. The investigative function provides
for the detection and investigation of improper and illegal
activities involving programs, personnel, and operations. Administrative sanctions debar from participation in the health
insurance program those health care providers whose conduct
may pose a threat to the financial integrity of the program
itself or to the well-being of insurance program enrollees.
These Inspector General activities resulted in positive financial impacts of approximately $242 million, 22 criminal convictions, and 4,032 administrative sanctions in 2001.
Object Classification (in millions of dollars)
2001 actual

Identification code 24–0400–0–1–805

2002 est.

2003 est.

11.1
12.1
23.1
25.2

Direct obligations:
Personnel compensation: Full-time permanent ........
Civilian personnel benefits .......................................
Rental payments to GSA ...........................................
Other services ............................................................

6
3
1
1

6
3
1
1

6
3
1
1

99.0
99.5

Direct obligations ..................................................
Below reporting threshold ..............................................

11
1

11
1

11
1

99.9

Total new obligations ................................................

12

12

12

Personnel Summary
2001 actual

Identification code 24–0400–0–1–805

2002 est.

Direct:
1001 Total compensable workyears: Full-time equivalent
employment ...............................................................
92
Reimbursable:
2001 Total compensable workyears: Full-time equivalent
employment ............................................................... ...................

2003 est.

106

106

1

1

f

GOVERNMENT PAYMENT

ANNUITANTS, EMPLOYEES HEALTH
BENEFITS

FOR

For payment of Government contributions with respect to retired
employees, as authorized by chapter 89 of title 5, United States
Code, and the Retired Federal Employees Health Benefits Act (74
Stat. 849), as amended, such sums as may be necessary. (Independent
Agencies Appropriations Act, 2002; additional authorizing legislation
required.)
Program and Financing (in millions of dollars)
2001 actual

Identification code 24–0206–0–1–551

1045

Federal Funds—Continued

2002 est.

90.00

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

5,417

6,083

11,624

Budget Authority and Outlays Excluding Full Funding for Federal Retiree Costs (in
millions of dollars)
2001 actual

89.00
90.00

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

2002 est.

5,530
5,417

2003 est.

6,129
6,083

6,613
6,599

For 2001 and 2002, this appropriation covers: (1) the Government’s share of the cost of health insurance for annuitants
as defined in sections 8901 and 8906 of title 5, United States
Code; (2) the Government’s share of the cost of health insurance for annuitants (who were retired when the Federal employees health benefits law became effective), as defined in
the Retired Federal Employees Health Benefits Act of 1960;
and (3) the Government’s contribution for payment of administrative expenses incurred by the Office of Personnel Management in administration of the Act.
The budget authority for this account recognizes the
amounts being remitted by the U.S. Postal Service (USPS)
to finance a portion of its post-1971 annuitants’ health benefit
costs.
For 2003, this appropriation covers the annual appropriations necessary to provide for the liquidation of the Government’s unfunded liability as of September 30, 2001, for postretirement health benefits, as part of the ‘‘Accrual Funding
of Post-retirement Health Benefits Costs for Federal Employees’’ subtitle in the President’s Managerial Flexibility Act.
The Act would require OPM to determine the current liability of the Government for post-retirement costs under FEHB,
excluding the Postal Service liability for post-June 30, 1971,
for the period prior to enactment. OPM would then establish
an amortization schedule to liquidate the liability over 40
years beginning in fiscal year 2003 and continuing through
2042. In addition, the Act would require OPM to determine
the supplemental unfunded liability of the Fund as of the
close of each fiscal year for fiscal years beginning after September 30, 2001, and provide for liquidation of such liability
over the succeeding 30 years. This would provide for liquidation of any unfunded liability that may accrue after enactment.

2003 est.

2001 actual

Obligations by program activity:
Government contribution for annuitants benefits (1959
Act) ............................................................................
00.02 Government contribution for annuitants benefits (1960
Act) ............................................................................

5,528

6,127

11,026

Annuitants:
FEHB ........................................................................................
(USPS non-add) ..................................................................
REHB .......................................................................................

2

2

2

Total, annuitants ...........................................................

10.00

5,530

6,129

2002 est.

2003 est.

1,875,912
432,561
3,598

1,923,000
418,000
2,980

1,948,000
416,000
2,480

1,879,510

1,925,980

1,950,480

11,028

00.01

Total new obligations (object class 13.0) ................

f

Budgetary resources available for obligation:
22.00 New budget authority (gross) ........................................
23.95 Total new obligations ....................................................

5,530
¥5,530

6,129
¥6,129

11,028
¥11,028

New budget authority (gross), detail:
Mandatory:
60.00
Appropriation .............................................................

5,530

6,129

11,028

72.40
73.10
73.20
74.40

Change in obligated balances:
Obligated balance, start of year ...................................
Total new obligations ....................................................
Total outlays (gross) ......................................................
Obligated balance, end of year .....................................

437
5,530
¥5,417
551

86.97
86.98

Outlays (gross), detail:
Outlays from new mandatory authority .........................
Outlays from mandatory balances ................................

4,980
437

5,533
551

10,418
1,206

87.00

Total outlays (gross) .................................................

5,417

6,083

11,624

Net budget authority and outlays:
89.00 Budget authority ............................................................

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Jkt 189685

551
596
6,129
11,028
¥6,083
¥11,624
596 ...................

GOVERNMENT PAYMENT

FOR ANNUITANTS, EMPLOYEE LIFE
INSURANCE

For payment of Government contributions with respect to employees retiring after December 31, 1989, as required by chapter 87
of title 5, United States Code, such sums as may be necessary. (Independent Agencies Appropriations Act, 2002.)
Program and Financing (in millions of dollars)
2001 actual

Identification code 24–0500–0–1–602

2002 est.

2003 est.

6,129

Frm 00005

Fmt 3616

32

34

34

Budgetary resources available for obligation:
New budget authority (gross) ........................................
Total new obligations ....................................................

32
¥32

34
¥34

34
¥34

11,028

PO 00000

Obligations by program activity:
Total new obligations (object class 25.2) .....................

22.00
23.95
5,530

10.00

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1046

THE BUDGET FOR FISCAL YEAR 2003

Federal Funds—Continued

General and special funds—Continued

Budget Authority and Outlays Excluding Full Funding for Federal Retiree Costs (in
millions of dollars)

GOVERNMENT PAYMENT FOR ANNUITANTS, EMPLOYEE LIFE
INSURANCE—Continued

2001 actual

Program and Financing (in millions of dollars)—Continued
2001 actual

Identification code 24–0500–0–1–602

2002 est.

2003 est.

New budget authority (gross), detail:
Mandatory:
60.00
Appropriation .............................................................

32

34

34

72.40
73.10
73.20
74.40

Change in obligated balances:
Obligated balance, start of year ...................................
Total new obligations ....................................................
Total outlays (gross) ......................................................
Obligated balance, end of year .....................................

3
32
¥32
3

3
34
¥34
3

3
34
¥34
3

86.97
86.98

Outlays (gross), detail:
Outlays from new mandatory authority .........................
Outlays from mandatory balances ................................

29
3

31
3

31
3

87.00

Total outlays (gross) .................................................

32

34

34

89.00
90.00

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

32
31

34
34

34
34

This appropriation finances the Government’s share of premiums, which is one-third the cost, for Basic life insurance
for annuitants retiring after December 31, 1989, and who
are less than 65 years old.
f

PAYMENT

TO

CIVIL SERVICE RETIREMENT

AND

DISABILITY FUND

For financing the unfunded liability of new and increased annuity
benefits becoming effective on or after October 20, 1969, as authorized
by 5 U.S.C. 8348, and annuities under special Acts to be credited
to the Civil Service Retirement and Disability Fund, such sums as
may be necessary: Provided, That annuities authorized by the Act
of May 29, 1944, as amended, and the Act of August 19, 1950,
as amended (33 U.S.C. 771–775), may hereafter be paid out of the
Civil Service Retirement and Disability Fund. (Independent Agencies
Appropriations Act, 2002; additional authorizing legislation required.)

89.00
90.00

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

2001 actual

21,639
21,639

22,139
22,139

2003 est.

22,405
22,405

Payment of Government share of retirement costs.—In 2001
and 2002, this payment amortizes increases in the static unfunded liability created since October 20, 1969 by any statute
which authorizes new or liberalized benefits, an extension
of retirement coverage, or pay increases. Beginning in 2003,
this payment would liquidate the current unfunded liability
by 2042, as provided by the ‘‘Accrual Funding of Pensions
and Retirement Pay’’ subtitle of the President’s Managerial
Flexibility Act.
The Act would require OPM to determine, as of September
30, 2001, the unfunded liability that is attributable to benefits
payable under chapter 83 of Title 5 U.S.C., and to determine
an appropriate amortization schedule, providing for the liquidation of that liability by October 1, 2041.
Transfers for interest on unfunded liability and payment
of military service annuities.—In 2001 and 2002, this transfer
covers interest on the static unfunded liability and annuity
disbursements attributable to military service. In 2003, these
transfers would be eliminated and replaced by the annual
payment to liquidate the unfunded liability as discussed
above.
Payments for spouse equity.—This payment provides survivor annuities to eligible former spouses of annuitants who
died between September 1978 and May 1986 and who did
not elect survivor coverage.
Object Classification (in millions of dollars)
2001 actual

Identification code 24–0200–0–1–805

2002 est.

2003 est.

12.1
13.0

Civilian personnel benefits ............................................
Benefits for former personnel ........................................

9,301
12,338

9,520
12,619

16,405
12,995

99.9

Total new obligations ................................................

21,639

22,139

29,400

f

Program and Financing (in millions of dollars)
Identification code 24–0200–0–1–805

2002 est.

2002 est.

2003 est.

Obligations by program activity:
Payment of Government share of retirement costs
Transfers for interest on unfunded liability and payment of military service annuities ............................
00.05 Spouse equity payment ..................................................

9,236

9,455

16,340

12,338
65

12,619
65

12,995
65

10.00

Total new obligations ................................................

21,639

22,139

29,400

22.00
23.95

Budgetary resources available for obligation:
New budget authority (gross) ........................................
Total new obligations ....................................................

21,639
¥21,639

22,139
¥22,139

29,400
¥29,400

New budget authority (gross), detail:
Mandatory:
Appropriation:
60.00
Appropriation .........................................................
60.00
Appropriation .........................................................

12,338
9,301

12,619
9,520

19,990
9,410

62.50

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

21,639

22,139

29,400

73.10
73.20

Change in obligated balances:
Total new obligations ....................................................
Total outlays (gross) ......................................................

21,639
¥21,639

22,139
¥22,139

29,400
¥29,400

86.97

Outlays (gross), detail:
Outlays from new mandatory authority .........................

21,639

22,139

29,400

89.00
90.00

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

21,639
21,639

22,139
22,139

29,400
29,400

PO 00000

Frm 00006

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EMPLOYEES HEALTH BENEFITS FUND

00.02
00.03

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Jkt 189685

Unavailable Collections (in millions of dollars)
2001 actual

Identification code 24–5002–0–2–551

01.99

Balance, start of year ....................................................
Receipts:
02.00 DC Government contributions ........................................
02.20 Employee contributions ..................................................
02.21 Annuitant contributions .................................................
02.22 Postal Service annuitant contributions .........................
02.40 General fund payment ...................................................
02.41 Agency contributions ......................................................
02.42 Postal Service agency contributions ..............................
02.43 Interest ...........................................................................

2002 est.

2003 est.

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

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

88
3,786
3,459
1,019
11,622
12,387
4,017
772

Total receipts and collections ................................... ................... ...................
Appropriations:
05.00 Employees health benefits fund .................................... ................... ...................

37,150
¥25,454

05.99

Total appropriations .................................................. ................... ...................

¥25,454

07.99

Balance, end of year ..................................................... ................... ...................

11,696

02.99

Program and Financing (in millions of dollars)
2001 actual

Identification code 24–5002–0–2–551

00.01
00.02
00.03

2002 est.

Obligations by program activity:
Benefit payments ........................................................... ................... ...................
Payments from OPM contingency reserve ..................... ................... ...................
Administration ................................................................ ................... ...................

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2003 est.

25,181
250
24

OFFICE OF PERSONNEL MANAGEMENT
10.00

Total new obligations ................................................ ................... ...................

25,454

21.40
22.00

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year ................... ...................
New budget authority (gross) ........................................ ................... ...................

4,936
25,454

23.90
23.95
24.40

Total budgetary resources available for obligation ................... ...................
Total new obligations .................................................... ................... ...................
Unobligated balance carried forward, end of year ....... ................... ...................

30,390
¥25,454
4,936

New budget authority (gross), detail:
Discretionary:
40.20
Appropriation (special fund) ..................................... ................... ...................
Mandatory:
60.20
Appropriation (special fund) ..................................... ................... ...................
60.45
Portion precluded from obligation ............................ ................... ...................

24
37,126
¥11,696

62.50

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

25,430

70.00

Total new budget authority (gross) .......................... ................... ...................

25,454

72.40
73.10
73.20
74.40

Change in obligated balances:
Obligated balance, start of year ...................................
Total new obligations ....................................................
Total outlays (gross) ......................................................
Obligated balance, end of year .....................................

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

1047

Federal Funds—Continued

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

2,339
25,454
¥25,351
2,442

Outlays (gross), detail:
86.90 Outlays from new discretionary authority ..................... ................... ...................
86.97 Outlays from new mandatory authority ......................... ................... ...................
86.98 Outlays from mandatory balances ................................ ................... ...................

24
21,984
3,343

87.00

Total outlays (gross) ................................................. ................... ...................

25,454
25,351

Total balance, start of year ......................................
Cash income during the year:
Current law:
Receipts:
1200
DC Government contributions, Employees health
benefits fund ....................................................
Offsetting receipts (proprietary):
1220
Employee contributions, Employees health benefits fund ...........................................................
1221
Annuitant contributions, Employees health benefits fund ...........................................................
1222
Postal Service agency contributions for annuitants, Employees health benefits fund ...........
Offsetting receipts (intragovernmental):
1240
General fund payment, Employees health benefits fund ...........................................................
1241
Agency contributions, Employees health benefits
fund ..................................................................
1242
Postal Service agency contributions for employees, Employees health benefits fund ...............
1243
Interest, Employees health benefits fund ............
1299
Income under present law ........................................
Cash outgo during year:
Current law:
4500
Employees health benefits fund ...............................
Unexpended balance, end of year:
8700 Uninvested balance .......................................................
Federal securities:
8701
Par value ...................................................................
8702
Unrealized discounts .................................................

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

7,275

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

88

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

3,786

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

3,459

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

1,019

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

11,622

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

12,387

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

4,017
772
37,150

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

¥25,351

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

5

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

19,091
¥23

Total balance, end of year ........................................ ................... ...................

19,074

25,351

Net budget authority and outlays:
89.00 Budget authority ............................................................ ................... ...................
90.00 Outlays ........................................................................... ................... ...................

0199

Memorandum (non-add) entries:
Total investments, start of year: Federal securities:
Par value ................................................................... ................... ...................
92.02 Total investments, end of year: Federal securities:
Par value ................................................................... ................... ...................

8799

f

Intragovernmental funds:
REVOLVING FUND
Program and Financing (in millions of dollars)

92.01

7,293
19,091

This presentation displays the new Employees Health Benefits Fund. In addition to the existing components of the current Employees Health Benefits Fund, this new Special Fund
incorporates the proposed requirement for each agency to
fund the accruing actuarial cost of Government contributions
for post-retirement health benefits for its current participating employees. This new presentation is consistent with
the ‘‘Accrual Funding of Post-retirement Health Benefits
Costs for Federal Employees’’ subtitle in the President’s Managerial Flexibility Act.
The additional agency contributions to pre-fund the cost
of post-retirement health benefits for current employees would
come from the appropriations or fund used to pay the participant’s salary. For 2003, these additional agency contributions
would be approximately $5.6 billion. The lines in these schedules labeled ‘‘agency contributions’’ reflect both this additional
contribution and the standard agency contribution toward the
payment of annual premiums. The practice of using cash accounting to fund the Postal Service liability attributable to
civilian service performed after June 30, 1971, under title
5 U.S.C. 8906(g)(2) would remain unchanged under this proposal.
For additional information on the Employees Health Benefits Fund, please see the presentation of the Employees and
Retired Employees Health Benefits Funds located at the end
of this OPM chapter.

2001 actual

2002 est.

Unexpended balance, start of year:
Uninvested balance ....................................................... ................... ...................
U.S. Securities:
0101
Par value ................................................................... ................... ...................
0102
Unrealized discounts ................................................. ................... ...................
0100

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2002 est.

2003 est.

09.01
09.02
09.03
09.04
09.05

Obligations by program activity:
DOD testing ....................................................................
Employment service .......................................................
Investigations .................................................................
Workforce relations ........................................................
Executive resources ........................................................

7
35
229
35
30

8
40
262
39
32

8
41
234
39
34

10.00

Total new obligations ................................................

336

381

356

21.40
22.00

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
New budget authority (gross) ........................................

48
320

33
381

33
356

23.90
23.95
24.40

Total budgetary resources available for obligation
Total new obligations ....................................................
Unobligated balance carried forward, end of year .......

368
¥336
33

414
¥381
33

389
¥356
33

353

381

356

New budget authority (gross), detail:
Spending authority from offsetting collections:
Discretionary:
68.00
Offsetting collections (cash) ................................
68.10
Change in uncollected customer payments from
Federal sources (unexpired) .............................
68.90

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

Change in obligated balances:
Obligated balance, start of year ...................................
Total new obligations ....................................................
Total outlays (gross) ......................................................
Change in uncollected customer payments from Federal sources (unexpired) ............................................
74.40 Obligated balance, end of year .....................................
72.40
73.10
73.20
74.00

Status of Funds (in millions of dollars)
Identification code 24–5002–0–2–551

2001 actual

Identification code 24–4571–0–4–805

¥33 ................... ...................
320

381

356

13
336
¥380

1
381
¥381

1
356
¥356

33 ................... ...................
1
1
1

86.90
86.93

2003 est.

5
7,293
¥23

Fmt 3616

Outlays (gross), detail:
Outlays from new discretionary authority .....................
Outlays from discretionary balances .............................

87.00

Total outlays (gross) .................................................

380

381

356

Offsets:
Against gross budget authority and outlays:
88.00
Offsetting collections (cash) from: Federal sources

¥353

¥381

¥356

Sfmt 3643

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320
381
356
60 ................... ...................

1048

THE BUDGET FOR FISCAL YEAR 2003

Federal Funds—Continued

99.9

Intragovernmental funds—Continued

Total new obligations ................................................

336

381

356

REVOLVING FUND—Continued
Personnel Summary
Program and Financing (in millions of dollars)—Continued
2001 actual

Identification code 24–4571–0–4–805
2001 actual

Identification code 24–4571–0–4–805

88.95

89.00
90.00

2002 est.

2001

Against gross budget authority only:
Change in uncollected customer payments from
Federal sources (unexpired) ..................................

2002 est.

2003 est.

2003 est.

Total compensable workyears: Full-time equivalent
employment ...............................................................

669

669

f

33 ................... ...................

Net budget authority and outlays:
Budget authority ............................................................ ................... ................... ...................
Outlays ...........................................................................
27 ................... ...................

Trust Funds
CIVIL SERVICE RETIREMENT

DOD testing.—OPM conducts military entrance exams for
the Department of Defense (DOD) as a cost-effective and reliable provider. The Employment Service continued to provide
testing for the Department of Defense in FY 2001, conducting
approximately 14,509 student test sessions and 24,112 enlistment sessions.
Employment service.—OPM delivers employment information, examining services, automated staffing, and related
human resource management services to Federal agencies nationwide. In 2001, we maintained contracts for a wide array
of human resource products and services with the Executive,
Legislative, and Judicial branches.
Investigations.—Through a contract with a private company, OPM conducts National Agency Check and Inquiry
cases and background security investigations for Federal
agencies on a reimbursable basis. To the extent that OPM
is required to pay a fee to the Federal Bureau of Investigation
for name and fingerprint checks, agencies are required to
reimburse OPM for such fees through the revolving fund.
Workforce relations.—Through the Training and Management Assistance (TMA) program, OPM provides assistance
to government agencies in managing the development of
training and human resources management solutions that
meet their specific short-term and long-range objectives. This
is accomplished through an expedited contracting process,
which is managed by an experienced team of HR and contracting professionals.
Program performance.—The TMA performance indicators
are designed to measure the financial stability of the program
and customer satisfaction. The financial indicator measures
if program costs are met. The customer satisfaction indicator
assures that TMA services are meeting the needs and objectives of client agencies.
Executive resources.—OPM conducts residential and nonresidential programs for Federal executives and managers to
improve the effectiveness and efficiency of Federal programs.

652

AND

DISABILITY FUND

Unavailable Collections (in millions of dollars)
2001 actual

Identification code 24–8135–0–7–602

01.99

Balance, start of year ....................................................
Receipts:
02.00 Employee contributions ..................................................
02.01 District of Columbia contributions ................................
02.02 Employee deposits, redeposits and other contributions
02.40 Agency contributions ......................................................
02.41 Postal Service agency contributions ..............................
02.42 Postal Service supplemental contributions ...................
02.43 Federal Financing Bank interest ...................................
02.44 Treasury interest ............................................................
02.45 General fund payment to the Civil Service Retirement
and Disability fund ...................................................
02.46 Re-employed annuitants salary offset ..........................

2002 est.

2003 est.

508,104

538,520

568,608

4,157
66
436
10,072
2,845
3,755
1,342
33,611

4,041
62
456
10,612
2,938
3,842
1,338
34,712

3,998
50
476
14,233
3,031
3,901
1,338
37,041

21,639
26

22,139
27

29,400
27

77,949

80,167

93,495

Total: Balances and collections ....................................
586,053
618,687
Appropriations:
Appropriations:
05.00
Civil service retirement and disability fund .............
¥47,533
¥50,079
05.00
Proposed legislation, subject to PAYGO .................... ................... ...................

662,103

02.99

Total receipts and collections ...................................

04.00

¥52,849
¥3

05.99

Total appropriations ..................................................

¥47,533

¥50,079

¥52,852

07.99

Balance, end of year .....................................................

538,520

568,608

609,251

Program and Financing (in millions of dollars)
2001 actual

Identification code 24–8135–0–7–602

2002 est.

2003 est.

00.01
00.02
00.03
00.04

Obligations by program activity:
Annuities ........................................................................
Refunds and death claims ............................................
OPM Administration .......................................................
Transfer to MSPB ...........................................................

47,101
322
108
2

49,637
311
128
3

52,406
309
131
3

10.00

Total new obligations ................................................

47,533

50,079

52,849

22.00
23.95

Budgetary resources available for obligation:
New budget authority (gross) ........................................
Total new obligations ....................................................

47,533
¥47,533

50,079
¥50,079

52,849
¥52,849

86

103

108

77,863
¥30,416

80,064
¥30,088

82,211
¥29,470

WORKLOAD COUNT
2001 actual

Participant training days ............................................................
Background security investigations processed ...........................
National and special agency check and inquiry cases ..............

95,377
74,096
745,944

2002 est.

2003 est.

100,568
86,000
1,500,000

103,980
74,250
1,115,000

2002 est.

New budget authority (gross), detail:
Discretionary:
40.26
Appropriation (trust fund) .........................................
Mandatory:
60.26
Appropriation (trust fund) .........................................
60.45
Portion precluded from obligation ............................

2003 est.

Object Classification (in millions of dollars)
62.50

11.1
11.3
11.5

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

21
5
2

22
5
2

23
5
2

11.9
12.1
21.0
23.1
23.3
24.0
25.2
26.0
31.0

Total personnel compensation ..............................
Civilian personnel benefits ............................................
Travel and transportation of persons ............................
Rental payments to GSA ................................................
Communications, utilities, and miscellaneous charges
Printing and reproduction ..............................................
Other services ................................................................
Supplies and materials .................................................
Equipment ......................................................................

28
10
2
7
5
1
272
4
7

29
11
3
7
5
1
308
7
10

30
13
3
7
5
1
275
10
12

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Jkt 189685

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

47,447

49,976

52,741

70.00

2001 actual

Identification code 24–4571–0–4–805

Total new budget authority (gross) ..........................

47,533

50,079

52,849

72.40
73.10
73.20
74.40

Change in obligated balances:
Obligated balance, start of year ...................................
Total new obligations ....................................................
Total outlays (gross) ......................................................
Obligated balance, end of year .....................................

3,943
47,533
¥47,356
4,119

4,119
50,079
¥49,840
4,356

4,356
52,849
¥52,619
4,586

86.90
86.97
86.98

Outlays (gross), detail:
Outlays from new discretionary authority .....................
Outlays from new mandatory authority .........................
Outlays from mandatory balances ................................

86
43,328
3,942

103
45,383
4,356

108
47,926
4,586

87.00

Total outlays (gross) .................................................

47,356

49,840

52,619

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OFFICE OF PERSONNEL MANAGEMENT

89.00
90.00

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

Memorandum (non-add) entries:
92.01 Total investments, start of year: Federal securities:
Par value ...................................................................
92.02 Total investments, end of year: Federal securities:
Par value ...................................................................

1244

47,533
47,356

50,079
49,840

52,849
52,619

512,038

542,611

572,962

542,611

572,962

613,833

Summary of Budget Authority and Outlays
(in millions of dollars)
2001 actual
2002 est.
Enacted/requested:
Budget Authority .....................................................................
47,533
50,079
Outlays ....................................................................................
47,356
49,842
Legislative proposal, subject to PAYGO:
Budget Authority ..................................................................... .................... ....................
Outlays .................................................................................... .................... ....................

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

1049

Trust Funds—Continued

47,533
47,356

50,079
49,842

2003 est.

52,849
52,620
3
3
52,852
52,623

This fund: (1) pays annuities to retired employees or their
survivors; (2) makes refunds to separated employees for
amounts withheld and to beneficiaries of employees who died
before retirement or before annuities equaled the amount
withheld; and (3) pays expenses of the Office of Personnel
Management and the Merit Systems Protection Board for administering the program. The fund covers two Federal civilian
retirement systems: the Civil Service Retirement System
(CSRS) and the Federal Employees’ Retirement System
(FERS).
CSRS is basically a defined benefit plan, covering Federal
employees hired prior to 1984. CSRS participants do not participate in the Social Security system. FERS is a three-tiered
pension program that uses Social Security as a base, provides
an additional basic benefit, and includes a thrift savings plan.
FERS covers employees hired after 1983 and formerly CSRScovered employees who elected to join FERS.
For CSRS employees in 2003, as provided by the ‘‘Accrual
Funding of Pensions and Retirement Pay’’ subtitle of the
President’s Managerial Flexibility Act, agencies would contribute the full accruing cost of pension benefits.
2001 actual

2002 est.

2,655,450

2,654,477

2,653,597

1,745,637
634,116

1,770,761
640,420

1,807,542
647,180

Total, annuitants ...........................................................

2,379,753

2,411,181

29,400
27
93,495

¥43,963
¥4
¥8,209
¥164
¥145
¥134
¥52,619
¥3
¥52,622

8

8

542,611
¥3

572,962
¥4

613,833
¥4

542,639

Total balance, end of year ........................................

¥49,840

31

Total cash outgo (¥) ...............................................
Unexpended balance, end of year:
8700 Uninvested balance .......................................................
Federal securities:
8701
Par value ...................................................................
8702
Unrealized discounts .................................................
8799

37,041

¥47,356

6599

572,964

613,837

Object Classification (in millions of dollars)
2001 actual

Identification code 24–8135–0–7–602

2002 est.

2003 est.

25.2
42.0
44.0

Other services ................................................................
Insurance claims and indemnities ................................
Refunds and death claims ............................................

110
47,101
322

131
49,637
311

134
52,406
309

99.9

Total new obligations ................................................

47,533

50,079

52,849

f

CIVIL SERVICE RETIREMENT

AND

DISABILITY FUND

(Legislative proposal, subject to PAYGO)
Program and Financing (in millions of dollars)
2001 actual

Identification code 24–8135–4–7–602

2003 est.

Active employees .........................................................................
Annuitants:
Employees ...............................................................................
Survivors .................................................................................

Treasury interest, Civil Service Retirement and
Disability Fund .................................................
33,611
34,712
1245
General fund payment to the Civil Service Retirement and Disability Fund ...........................
21,639
22,139
1246
Re-employed annuitant salary offset, Civil Service Retirement and Disability Fund .................
26
27
1299
Income under present law ........................................
77,949
80,167
Cash outgo during year:
Current law:
Cash outgo during the year (¥):
4500
Payment of claims to retired employees ..............
¥39,397
¥41,538
4500
Payment of alternative annuity refunds ...............
¥6
¥4
4500
Payment of claims to survivor annuitants ...........
¥7,533
¥7,859
4500
Lump sum payments to estates or beneficiaries
of deceased annuitants and employees ..........
¥145
¥154
4500
Refunds to living separated employees ...............
¥170
¥156
4500
Administration .......................................................
¥107
¥131
4599
Outgo under current law (¥) ..................................
¥47,356
¥49,840
Proposed legislation:
5500
Proposed legislation, subject to PAYGO .................... ................... ...................

2,454,722

2002 est.

2003 est.

00.01

Obligations by program activity:
Annuities ........................................................................ ................... ...................

3

10.00

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

3

22.00
23.95

Budgetary resources available for obligation:
New budget authority (gross) ........................................ ................... ...................
Total new obligations .................................................... ................... ...................

3
¥3

New budget authority (gross), detail:
Mandatory:
60.26
Appropriation (trust fund) ......................................... ................... ...................

3

73.10
73.20

Change in obligated balances:
Total new obligations .................................................... ................... ...................
Total outlays (gross) ...................................................... ................... ...................

3
¥3

86.97

Outlays (gross), detail:
Outlays from new mandatory authority ......................... ................... ...................

3

89.00
90.00

Net budget authority and outlays:
Budget authority ............................................................ ................... ...................
Outlays ........................................................................... ................... ...................

3
3

Status of Funds (in millions of dollars)
2001 actual

Identification code 24–8135–0–7–602

2002 est.

2003 est.

Unexpended balance, start of year:
Treasury balance ............................................................
U.S. Securities:
0101
Par value ...................................................................
0102
Unrealized discounts .................................................

11

31

8

512,041
¥3

542,611
¥3

572,962
¥4

0199

512,047

542,639

572,964

0100

Total balance, start of year ......................................
Cash income during the year:
Current law:
Receipts:
1200
Employee contributions, Civil Service Retirement
and Disability Fund ..........................................
1201
District of Columbia contributions .......................
1202
Employee deposits, redeposits, and voluntary
contributions .....................................................
Offsetting receipts (intragovernmental):
1240
Agency contributions, Civil Service Retirement
and Disability Fund ..........................................
1241
Postal Service agency contributions, Civil Service
Retirement and Disability Fund .......................
1242
Postal Service supplemental contributions, Civil
Service Retirement and Disability Fund ..........
1243
Federal Financing Bank interest, Civil Service
Retirement and Disability Fund .......................

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14:48 Jan 23, 2002

Jkt 189685

4,157
66

4,041
62

3,998
50

436

456

476

10,072

10,612

14,233

2,845

2,938

3,031

3,755

3,842

3,901

1,342

1,338

1,338

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The Administration has proposed legislation to simplify the
computation of annuities under the Civil Service Retirement
System for individuals with part-time service. The change
would eliminate an unintended adverse effect on employees
who perform part-time service at the end of their careers,
and provide agencies increased flexibility to recruit and retain
personnel.

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1050

THE BUDGET FOR FISCAL YEAR 2003

Trust Funds—Continued

92.02

EMPLOYEES LIFE INSURANCE FUND
Unavailable Collections (in millions of dollars)
2001 actual

Identification code 24–8424–0–8–602

2002 est.

2003 est.

01.99

Balance, start of year .................................................... ................... ................... ...................
Receipts:
02.80 Employees life insurance fund, offsetting collections
3,384
3,407
3,486
Appropriations:
05.00 Employees life insurance fund ......................................
¥3,384
¥3,407
¥3,486

Total investments, end of year: Federal securities:
Par value ...................................................................

23,690

26,236

27,292

This fund finances payments to private insurance companies for Federal employees’ group life insurance and expenses
of the Office of Personnel Management in administering the
program.
Budget program.—The status of the basic (regular and optional) life insurance program on September 30 is as follows:

07.99

Total appropriations ..................................................

¥3,384

¥3,407

Balance, end of year ..................................................... ................... ................... ...................

Program and Financing (in millions of dollars)
2001 actual

Identification code 24–8424–0–8–602

2002 est.

2003 est.

09.01
09.02
09.03
09.04
09.05

Obligations by program activity:
Regular program premiums ...........................................
Optional program premiums ..........................................
Beneficial program premiums .......................................
Administration ................................................................
Long Term Care Administration .....................................

1,276
837
1
2
2

1,401
939
2
2
20

1,426
1,028
2
2
1

10.00

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

2,118

2,364

2,459

21.40
22.00

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
New budget authority (gross) ........................................

21,852
3,400

23,133
3,441

24,210
3,483

23.90
23.95
24.40

Total budgetary resources available for obligation
Total new obligations ....................................................
Unobligated balance carried forward, end of year .......

25,252
¥2,118
23,133

26,574
¥2,364
24,210

27,693
¥2,459
25,234

2001 actual

528
53

538
55

548
57

581

593

605

Number of participants (in thousands):
Active employees .....................................................................
Annuitants ...............................................................................

¥3,486

Life insurance in force (in billions of dollars):
On active employees ...............................................................
On retired employees ..............................................................
Total ...............................................................................

05.99

2,305
1,600

2,282
1,605

2,262
1,610

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

3,905

3,887

3,872

2002 est.

2003 est.

Financing.—Non-Postal Service employees and all retirees
under 65 pay two-thirds of the premium costs for Basic coverage; agencies pay the remaining third. Optional and certain
post-retirement Basic coverages are paid entirely by enrollees.
The status of the reserves at the end of the year is as follows:
Status of Reserves

2001 actual

2002 est.

2003 est.

69.90

65
1
23,690

65
1
26,236

65
1
27,292

Total reserves .................................................................
New budget authority (gross), detail:
Discretionary:
68.00
Spending authority from offsetting collections: Offsetting collections (cash) .....................................
Mandatory:
69.00
Offsetting collections (cash) .....................................
69.10
Change in uncollected customer payments from
Federal sources (unexpired) ..................................

Held in reserve (in millions of dollars):
Contingency reserve ................................................................
Beneficial association program reserve .................................
U.S. Treasury reserve ..............................................................

23,756

26,302

27,358

f

2

2

2

3,382

3,405

3,484

16

34

¥3

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

3,398

3,439

3,481

Total new budget authority (gross) ..........................

3,400

3,441

3,483

111
2,118
¥2,081

132
2,364
¥2,266

196
2,459
¥2,433

¥16
132

¥34
196

2
2,079

2
2,264

2
2,431

87.00

Total outlays (gross) .................................................

2,081

2,266

2,433

Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash) from:
88.00
Agency contributions .............................................
88.20
Interest on Federal securities ...............................
Non-Federal sources:
88.40
Regular program ..............................................
88.40
Optional program .............................................

¥409
¥1,426

¥443
¥1,430

¥459
¥1,410

¥638
¥911

¥673
¥861

88.90

¥3,384

¥16

70.00

Change in obligated balances:
Obligated balance, start of year ...................................
Total new obligations ....................................................
Total outlays (gross) ......................................................
Change in uncollected customer payments from Federal sources (unexpired) ............................................
74.40 Obligated balance, end of year .....................................
72.40
73.10
73.20
74.00

88.95

Total, offsetting collections (cash) ..................
Against gross budget authority only:
Change in uncollected customer payments from
Federal sources (unexpired) ..................................

Memorandum (non-add) entries:
Total investments, start of year: Federal securities:
Par value ...................................................................

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RETIRED EMPLOYEES HEALTH BENEFITS FUNDS

2001 actual

Identification code 24–9981–0–8–551

2002 est.

2003 est.

01.99

Balance, start of year .................................................... ................... ................... ...................
Receipts:
02.80 Employees and retired employees health benefits
fund, offsetting collections .......................................
21,454
23,900
2
Appropriations:
05.00 Employees and retired employees health benefits fund
¥21,454
¥23,900
¥2
05.99
07.99

Total appropriations ..................................................

¥21,454

¥23,900

¥2

Balance, end of year ..................................................... ................... ................... ...................

Program and Financing (in millions of dollars)
2001 actual

Identification code 24–9981–0–8–551

2002 est.

2003 est.

09.01
09.02
09.03
09.04

Obligations by program activity:
Benefit payments ...........................................................
Payments from OPM contingency reserve .....................
Government payment for annuitants (1960 Act) ..........
Administration ................................................................

20,999
118
2
23

23,250 ...................
240 ...................
2
2
24 ...................

10.00

Total new obligations (object class 25.6) ................

21,143

23,516

¥698
¥919

21.40
22.00

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
New budget authority (gross) ........................................

4,086
21,502

4,445 ...................
24,007
2

¥3,407

¥3,486

23.90
23.95
24.40

Total budgetary resources available for obligation
Total new obligations ....................................................
Unobligated balance carried forward, end of year .......

25,588
¥21,143
4,445

28,452
2
¥23,516
¥2
4,936 ...................

¥34

3

23

24 ...................

Net budget authority and outlays:
89.00 Budget authority ............................................................ ................... ................... ...................
90.00 Outlays ...........................................................................
¥1,303
¥1,141
¥1,053

92.01

AND

Unavailable Collections (in millions of dollars)

3
225

Outlays (gross), detail:
86.90 Outlays from new discretionary authority .....................
86.97 Outlays from new mandatory authority .........................

EMPLOYEES

22,372

23,690

26,236

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New budget authority (gross), detail:
Discretionary:
68.00
Spending authority from offsetting collections: Offsetting collections (cash) .....................................
Mandatory:
69.00
Offsetting collections (cash) .....................................
69.10
Change in uncollected customer payments from
Federal sources (unexpired) ..................................

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21,431
48

23,876

2

2

107 ...................

OFFICE OF PERSONNEL MANAGEMENT
69.90
70.00

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

21,479

23,983

2

Total new budget authority (gross) ..........................

21,502

24,007

2

Change in obligated balances:
Obligated balance, start of year ...................................
Total new obligations ....................................................
Total outlays (gross) ......................................................
Change in uncollected customer payments from Federal sources (unexpired) ............................................
74.40 Obligated balance, end of year .....................................
72.40
73.10
73.20
74.00

4500

1,893
21,143
¥20,779

2,209 ...................
23,516
2
¥23,279
¥2

¥48
2,209

¥107 ...................
2,339 ...................

86.90
86.97
86.98

Outlays (gross), detail:
Outlays from new discretionary authority .....................
Outlays from new mandatory authority .........................
Outlays from mandatory balances ................................

23
19,907
849

24 ...................
22,358
2
897 ...................

87.00

Total outlays (gross) .................................................

20,779

23,279

Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash) from:
Federal sources:
88.00
Agency contributions ........................................
88.00
Government contributions for annuitants ........
88.20
Interest on Federal securities ...............................
Non-Federal sources:
88.40
Employee salary withholdings ..........................
88.40
Annuity withholdings ........................................
88.40
Contributions from D.C. Government ...............

¥8,886
¥6,346
¥367

¥10,051 ...................
¥7,027
¥2
¥319 ...................

¥3,002
¥2,786
¥67

¥3,364 ...................
¥3,057 ...................
¥82 ...................

88.90
88.95

89.00
90.00

Total, offsetting collections (cash) ..................
Against gross budget authority only:
Change in uncollected customer payments from
Federal sources (unexpired) ..................................

¥21,454

¥48

¥23,900

2

¥2

¥107 ...................

Net budget authority and outlays:
Budget authority ............................................................ ................... ................... ...................
Outlays ...........................................................................
¥676
¥621 ...................

Memorandum (non-add) entries:
Total investments, start of year: Federal securities:
Par value ...................................................................
92.02 Total investments, end of year: Federal securities:
Par value ...................................................................

Total balance, end of year ........................................

16

5 ...................

6,651
¥14

7,293 ...................
¥23 ...................

6,654

7,275 ...................

For 2001 and 2002, this display combines the Federal Employees Health Benefits (FEHB) fund and the Retired Employees Health Benefits (REHB) fund.
For 2003, this display presents only the REHB fund. The
FEHB fund estimates have moved to Employees Health Benefits Fund presentation located at an earlier point in this OPM
chapter.
The FEHB fund provides for the cost of health benefits
for: (1) active employees; (2) employees who retired after June
1960, or their survivors; (3) those annuitants transferred from
the REHB program as authorized by Public Law 93–246; and
(4) the related expenses of the Office of Personnel Management (OPM) in administering the program.
The REHB fund, created by the Retired Federal Employees
Health Benefits Act of 1960, provides for: (1) the cost of health
benefits for retired employees and survivors who enroll in
a Government-sponsored uniform health benefits plan; (2) the
contribution to retired employees and survivors who retain
or purchase private health insurance; and (3) expenses of
OPM in administering the program.
Budget program.—The balance of the FEHB fund is available for payments without fiscal year limitation. Numbers
of participants at the end of each fiscal year are as follows:
2001 actual

2002 est.

2003 est.

2,198,895
1,875,912

2,198,000
1,923,000

2,197,000
1,948,000

6,652

7,293 ...................

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

4,074,807

4,121,000

4,145,000

¥676

2002 est.

¥621

2003 est.

¥775

Status of Funds (in millions of dollars)
2001 actual

2002 est.

In determining a biweekly subscription rate to cover program costs, one percent is added for administrative expenses
and three percent is added for a contingency reserve held
by OPM for each carrier. OPM is authorized to transfer unused administrative reserve funds to the contingency reserve.
The REHB fund is available without fiscal year limitation.
The amounts contributed by the Government are paid into
the fund from annual appropriations. The number of participants at the end of each fiscal year are as follows:

2003 est.
2001 actual

Unexpended balance, start of year:
0100 Treasury balance ............................................................
U.S. Securities:
0101
Par value ...................................................................
0102
Unrealized discounts .................................................

12

16 ...................

5,989
¥24

6,652 ...................
¥14 ...................

0199

5,979

6,654 ...................

5,556

6,302 ...................

3,331

3,750 ...................

929

943 ...................

Total balance, start of year ......................................
Cash income during the year:
Current law:
Offsetting collections:
Offsetting governmental receipts:
1280
Contributions from Employing Agencies ..........
1280
Contributions from Postal Service for Active
Employees ....................................................
1280
Contributions from Postal Service for Annuitants ............................................................
1280
Government Payment for Annuitant Health
Benefits ........................................................
1280
Interest Earned .................................................
1280
Contributions from DC Government .................
1280
Contributions from Active Employees ..............
1280
Contributions from Annuitants .........................
1299
Income under present law ........................................
Cash outgo during year:
Current law:
Cash outgo during the year (¥):
4500
Benefit Payments (¥) .........................................

VerDate 11-MAY-2000

14:48 Jan 23, 2002

Jkt 189685

¥240 ...................
¥24 ...................
¥23,279
¥2

Active employees .........................................................................
Annuitants ...................................................................................

2001 actual

Identification code 24–9981–0–8–551

8799

¥118
¥23
¥20,779

6,652 ...................

Budget Authority and Outlays Excluding Full Funding for Federal Retiree Costs (in
millions of dollars)

Net budget authority and outlays:
Outlays ...........................................................................

Payments to Carriers from OPM Contingency Reserves (¥) .......................................................
4500
Administration (¥) ..............................................
4599
Outgo under current law (¥) ..................................
Unexpended balance, end of year:
8700 Uninvested balance .......................................................
Federal securities:
8701
Par value ...................................................................
8702
Unrealized discounts .................................................

5,990

92.01

90.00

1051

Trust Funds—Continued

5,417
367
67
3,002
2,786
21,454

6,083
319
82
3,364
3,057
23,900

2
...................
...................
...................
...................
2

¥20,638

¥23,015

¥2

PO 00000

Frm 00011

Fmt 3616

2002 est.

2003 est.

Uniform plan ...............................................................................
Private plans ...............................................................................

911
2,687

750
2,230

630
1,850

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

3,598

2,980

2,480

Financing.—The funds are financed by: (1) withholdings
from active employees and annuitants; (2) agency contributions for active employees; (3) Government contributions for
annuitants appropriated to OPM; and (4) contributions made
by the United States Postal Service in accordance with the
provisions of Public Law 101–508 and Public Law 103–66.
Operating results.—Funds made available to carriers but
not used to pay claims in the current period are carried forward as special reserves for use in subsequent periods.
OPM maintains a contingency reserve, funded by employee
and Government contributions, that may be used to defray
future cost increases or provide increased benefits. OPM
makes payments to carriers from this reserve whenever carrier-held reserves fall below levels prescribed by OPM regulations or when carriers can demonstrate good cause such as
unexpected claims experience or variations from expected
community rates.

Sfmt 3616

E:\BUDGET\OPM.XXX

pfrm11

PsN: OPM