Full text of Budget of the United States Government - Appendix : Fiscal Year 2004 : Department of Education

View original document

The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.

DEPARTMENT OF EDUCATION
OFFICE OF ELEMENTARY AND SECONDARY
EDUCATION
Federal Funds
General and special funds:
EDUCATION

FOR THE

72.40
73.10
73.20
73.40
73.45
74.40

86.90
86.93

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

5,890
3,357

6,576
5,330

6,616
6,585

87.00

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

9,247

11,906

13,201

89.00
90.00

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

11,722
9,248

13,385
11,906

14,184
13,201

DISADVANTAGED

For carrying out title I of the Elementary and Secondary Education
Act of 1965 (‘‘ESEA’’) and section 418A of the Higher Education Act
of 1965, $14,184,000,000, of which $6,632,199,000 shall become available on July 1, 2004, and shall remain available through September
30, 2005, and of which $7,383,301,000 shall become available on
October 1, 2004, and shall remain available through September 30,
2005, for academic year 2004–2005: Provided, That $7,172,971,000
shall be for basic grants under section 1124, of which up to $3,500,000
shall be available to the Secretary of Education on October 1, 2003,
to obtain updated educational-agency-level census poverty data from
the Bureau of the Census: Provided further, That $1,365,031,000 shall
be for concentration grants under section 1124A: Provided further,
That $3,018,499,000 shall be for targeted grants under section 1125:
Provided further, That $793,499,000 shall be for education finance
incentive grants under section 1125A: Provided further, That
$9,500,000 shall be to carry out part E of Title I, of which up to
$1,000,000 shall be available to the Secretary of Education to provide
technical assistance to State and local educational agencies concerning
part A of Title I.

99.00
99.01

Program and Financing (in millions of dollars)
2002 actual

Identification code 91–0900–0–1–501

2003 est.

2004 est.

Obligations by program activity:
Direct program:
Grants to local educational agencies:
Local educational agency formulas:
00.01
Basic grants .....................................................
8,655
7,211
7,173
00.02
Concentration grants ........................................
1,350
1,365
1,365
00.03
Targeted grants ................................................ ...................
2,018
3,018
00.04
Education finance incentive grants formula ........ ...................
794
794
Reading first:
00.05
Reading first State grants ...................................
366
1,340
1,050
00.06
Early reading first .................................................
1
149
100
00.07
Even start ..................................................................
249
220
175
00.08
Literacy through school libraries ..............................
13
12
28
00.09
State agency programs .............................................
444
452
444
00.10
Comprehensive school reform ...................................
226
245 ...................
00.11
Evaluation ..................................................................
9
9
9
00.12
Close up fellowships .................................................
2 ................... ...................
00.13
Advanced placement .................................................
22
22 ...................
00.14
Dropout prevention programs ....................................
10 ................... ...................
00.16
Migrant education projects .......................................
38
38
28
10.00

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

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

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
55.00
Advance appropriation ..............................................
70.00

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

VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

11,385

13,875

14,184

163
11,722

490 ...................
13,385
14,184

2 ................... ...................
11,887
13,875
14,184
¥11,385
¥13,875
¥14,184
¥12 ................... ...................
490 ................... ...................

4,964
6,758

6,002
7,383

6,801
7,383

11,722

13,385

14,184

Frm 00001

Fmt 3616

PO 00000

3
3

Note.—Excludes $22 million in budget authority in 2004 for activities transferred to Department of Education:
2004 est.

Office of Innovation and Improvement, Innovation and Improvement .............................

Comparable amounts for 2002 ($22 million) and 2003 ($22 million) are included above.

SUMMARY OF PROGRAM LEVEL
(in millions of dollars)

Note.—A regular 2003 appropriation for this account had not been enacted at the time
the budget was prepared; therefore, this account is operating under a continuing resolution
(P.L. 107–229, as amended). The amounts included for 2003 in this budget reflect the
Administration’s 2003 policy proposals.

23.90
23.95
23.98
24.40

3,972
6,082
8,051
11,385
13,875
14,184
¥9,247
¥11,906
¥13,201
¥25 ................... ...................
¥2 ................... ...................
6,082
8,051
9,034

2002–2003
academic
year

2003–2004
academic
year

2004–2005
academic
year

New Budget Authority ..................................................................
Advance appropriation ................................................................

4,964
7,383

6,002
7,383

6,801
7,383

Total program level ........................................................

12,347

13,385

14,184

Change in advance appropriation from the previous year ........

+625 .................... ....................

Grants to local educational agencies.—Funds are allocated
through four formulas—Basic Grants, Concentration Grants,
Targeted Grants and Education Finance Incentive Grants—
for local programs that provide extra academic support to
help raise the achievement of eligible students in high-poverty
communities, or, in the case of schoolwide programs, help
all students in high-poverty schools to meet challenging State
academic standards. States must annually assess participating students in at least reading and mathematics, and
school districts must identify for improvement, and provide
assistance to, schools that for two consecutive years fail to
make adequate yearly progress toward helping all groups of
students reach the proficient level on the State assessments.
Districts must provide students attending such schools the
choice of attending another public school that is not identified
for improvement. After three years of failure, students who
remain in the school would be permitted to use Title I funds
to obtain supplemental educational services from a publicor private-sector provider. Schools that continue to fail to
meet State standards would be subject to progressively
stonger corrective actions and, after six years of failure, reconstitution under a restructing plan.
Reading first State grants.—Funds provide assistance to
State and local educational agencies in establishing reading
programs for students in grades K–3 that are grounded in
scientifically based reading research, in order to ensure that
every student can read at grade level or above by the end
of third grade.
Early reading first.—Funds provide assistance to support
local efforts, through competitive grants, to enhance the
school readiness of young children, particularly those from
Sfmt 3616

E:\BUDGET\EDU.XXX

EDU

323

324

OFFICE OF ELEMENTARY AND SECONDARY EDUCATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2004

General and special funds—Continued
EDUCATION

FOR THE

Program and Financing (in millions of dollars)

DISADVANTAGED—Continued

low-income families, through scientific, research-based strategies and professional development that are designed to enhance the verbal skills, phonological awareness, letter knowledge, pre-reading skills, and early language development of
children ages three through five.
Even start.—Funds support formula grants to States, which
award grants for local projects to partnerships of local educational agencies and other organizations to operate projects
integrating early childhood education, adult literacy, parenting education, and interactive literacy activities between
parents and their children into ‘‘family literacy’’ programs
for low-income families with children under age eight.
Literacy through school libraries.—Funds support competitive grants to local educational agencies to provide students
with increased access to up-to-date school library materials
and professional certified library media specialists.
State agency migrant program.—Funds support formula
grants to States for educational services to children of migratory farmworkers and fishers, with resources and services
focused on children who have moved within the past 36
months.
State agency neglected and delinquent program.—Funds
support formula grants to States for educational services to
children and youth under age 21 in State neglected, delinquent, or adult correction facilities.
Evaluation.—Funds support national activities to evaluate
Title I programs and a national assessment of Title I’s effectiveness in helping States, school districts, and schools raise
the overall achievement of disadvantaged students and narrow the achievement gap. A portion of funds would support
technical assistance to help States and local educational agencies carry out Part A of Title I.
Migrant education projects.—Funds support grants to institutions of higher education and other nonprofit agencies that
assist migrant students to earn a high school equivalency
certificate or to complete their first year of college.
Object Classification (in millions of dollars)
2002 actual

Identification code 91–0900–0–1–501

24.0
25.1
25.2
25.3

2003 est.

2004 est.

1
8
20

1
40
25

41.0

Printing and reproduction ..............................................
Advisory and assistance services ..................................
Other services ................................................................
Other purchases of goods and services from Government accounts ...........................................................
Grants, subsidies, and contributions ............................

3
11,353

3
13,806

3
14,115

99.9

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

11,385

13,875

14,184

IMPACT AID
For carrying out programs of financial assistance to federally affected schools authorized by title VIII of the Elementary and Secondary Education Act of 1965, $1,015,500,000, of which $867,500,000
shall be for basic support payments under section 8003(b), $40,000,000
shall be for payments for children with disabilities under section
8003(d), $45,000,000 shall be for construction under section 8007 and
shall remain available through September 30, 2005, $55,000,000 shall
be for Federal property payments under section 8002, and $8,000,000,
to remain available until expended, shall be for facilities maintenance
under section 8008: Provided, That children described in section
8003(a)(1)(D)–(G) shall not be considered in determining the eligibility
of a local educational agency for a payment, or the amount of such
a payment, under section 8003(b) or (d).
Note.—A regular 2003 appropriation for this account had not been enacted at the time
the budget was prepared; therefore, this account is operating under a continuing resolution
(P.L. 107–229, as amended). The amounts included for 2003 in this budget reflect the
Administration’s 2003 policy proposals.

VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

PO 00000

Frm 00002

2002 actual

Identification code 91–0102–0–1–501

Fmt 3616

Obligations by program activity:
Payments for federally connected children:
00.01
Basic support payments ...........................................
00.02
Supplemental payments for children with disabilities .......................................................................
00.03
Payments for heavily impacted districts ..................

983

2003 est.

983

2004 est.

868

50
50
40
4 ................... ...................

00.91
01.01
02.01
03.01

Subtotal, payments for federally connected children
Facilities maintenance ...................................................
Construction ...................................................................
Payments for Federal property .......................................

1,037
12
15
55

1,033
12
52
55

908
8
45
55

10.00

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

1,119

1,152

1,016

21.40
22.00

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

14
1,144

38
1,141

27
1,016

23.90
23.95
24.40

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

1,158
¥1,119
38

1,179
¥1,152
27

1,043
¥1,016
27

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................

1,144

1,141

1,016

72.40
73.10
73.20
73.40
74.40

86.90
86.93

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

981
144

999
192

886
150

87.00

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

1,125

1,191

1,036

89.00
90.00

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

1,144
1,125

1,141
1,191

1,016
1,036

215
202
162
1,119
1,152
1,016
¥1,125
¥1,191
¥1,036
¥7 ................... ...................
202
162
142

Impact Aid helps to replace the lost local revenue that
would otherwise be available to educate federally connected
children. The presence of certain students living on Federal
property, such as students who are military dependents or
who reside on Indian lands, can place a financial burden
on local educational agencies that educate them. The property
on which the children live and their parents work is exempt
from local property taxes, denying local educational agencies
access to the primary source of revenue used by most communities to finance education.
Basic support payments.—Payments will be made on behalf
of approximately 270,000 federally connected students enrolled in about 750 local educational agencies to assist them
in meeting their operation and maintenance costs. Average
per-student payments will be approximately $3,200.
Payments for Children with Disabilities.—Payments in addition to those provided under the Individuals with Disabilities
Education Act will be provided on behalf of approximately
35,000 federally connected students with disabilities in about
740 local educational agencies. Average per-student payments
will be approximately $1,140.
Facilities maintenance.—Funds are used to provide emergency repairs for school facilities that serve military dependents and are owned by the Department of Education. Funds
are also used to transfer the facilities to local educational
agencies.
Construction.—Formula payments will be provided to approximately 170 local educational agencies with large proportions of federally connected students. Payments will be made
on behalf of about 140,000 students who are military dependents or who reside on Indian lands. In addition, approxiSfmt 3616

E:\BUDGET\EDU.XXX

EDU

OFFICE OF ELEMENTARY AND SECONDARY EDUCATION—Continued
Federal Funds—Continued

DEPARTMENT OF EDUCATION

mately 25 construction grants will be awarded competitively
to local educational agencies.
Payments for Federal Property.—Payments are made to approximately 250 local educational agencies in which real property owned by the Federal Government represents 10 percent
or more of the assessed value of real property in the local
educational agency.
Object Classification (in millions of dollars)
2002 actual

Identification code 91–0102–0–1–501

21.0
25.3

2003 est.

2004 est.

41.0

Travel and transportation of persons ............................
Other purchases of goods and services from Government accounts ...........................................................
Grants, subsidies, and contributions ............................

1
1,117

1
1,150

1
1,014

99.9

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

1,119

1,152

1,016

10.00

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

8,068

7,033

21.40
22.00

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

414
7,907

249 ...................
6,784
5,373

23.90
23.95
23.98
24.40

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

8,321
7,033
5,373
¥8,068
¥7,033
¥5,373
¥4 ................... ...................
249 ................... ...................

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
42.00
Transferred from other accounts ..............................

6,072
5,019
3,608
9 ................... ...................

43.00
55.00
68.10

For carrying out school improvement activities authorized by titles
II, part B of title IV, part A of title V, subpart 1 of part A of
title VI, and parts B and C of title VII of the Elementary and Secondary Education Act of 1965 (‘‘ESEA’’); the McKinney-Vento Homeless Assistance Act; and the Civil Rights Act of 1964, $5,042,834,000,
of which $3,540,500,000 shall become available on July 1, 2004, and
remain available through September 30, 2005, and of which
$1,435,000,000 shall become available on October 1, 2004, and shall
remain available through September 30, 2005, for academic year
2004–2005: Provided, That $390,000,000 shall be for subpart 1 of
part A of title VI of the ESEA.
Note.—A regular 2003 appropriation for this account had not been enacted at the time
the budget was prepared; therefore, this acocunt is operating under a continuing resolution
(P.L. 107–229, as amended). The amounts included for 2003 in this budget reflect the
Administration’s 2003 policy proposals.

Program and Financing (in millions of dollars)
2002 actual

Identification code 91–1000–0–1–501

2003 est.

2004 est.

Direct program:
Obligations by program activity:
Improving teacher quality:
00.01
Improving teacher quality State grants ...............
1,672
2,878
2,850
00.02
National activities .................................................
35
15
15
00.03
Mathematics and science partnerships ...............
13
13
13
00.04
Troops-to-teachers ................................................
18
20 ...................
00.05
Transition to teaching ..........................................
35
39 ...................
00.06
National writing project ........................................
14 ................... ...................
00.07
Civic education .....................................................
27 ................... ...................
00.08
Teaching of traditional American history .............
100
50 ...................
Educational technology:
00.09
Educational technology State grants ...................
682
716
701
00.10
Ready-to-learn television ......................................
22
22 ...................
00.11
Preparing tomorrow’s teachers to use technology
63 ................... ...................
00.12
21st Century community learning centers ................
984
1,016
600
School choice and innovation:
00.13
State grants for innovative programs ..................
384
388
385
00.14
Charter schools grants .........................................
200
200 ...................
00.15
Credit enhancement for charter school facilities ...................
100 ...................
00.16
Voluntary public school choice .............................
25
25 ...................
00.17
Magnet schools assistance ..................................
110
110 ...................
00.18
Choice demonstration fund .................................. ...................
50 ...................
00.19
Fund for the Improvement of Education ...................
618
224 ...................
Safe and drug-free schools and communities:
00.20
State grants ..........................................................
470
478
330
00.21
National programs ................................................
255
192 ...................
00.22
State assessments ....................................................
368
406
390
00.23
Education for homeless children and youth .............
50
51
50
00.24
Education for Native Hawaiians ...............................
31
18
18
00.26
Alaska Native education equity ................................
24
14
14
00.27
Training and advisory services .................................
7
7
7
00.28
Rural education .........................................................
162 ................... ...................
00.29
Class size reduction ..................................................
1,154 ................... ...................
00.30
School renovation grants ..........................................
375 ................... ...................
00.31
Eisenhower professional development State grants
1 ................... ...................
00.32
Charter schools financing demonstrations ...............
25 ................... ...................
00.33
Consolidated technical assistance centers ..............
9 ................... ...................
00.34
Comprehensive school reform ...................................
74
1 ...................
01.00
09.01

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

VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

8,007
7,033
5,373
61 ................... ...................
PO 00000

Appropriation (total discretionary) ........................
Advance appropriation ..............................................
Spending authority from offsetting collections: Change
in uncollected customer payments from Federal
sources (unexpired) ...................................................

6,081
1,765

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

7,907

70.00

SCHOOL IMPROVEMENT PROGRAMS

Frm 00003

Fmt 3616

325

Change in obligated balances:
Obligated balance, start of year ...................................
Total new obligations ....................................................
Total outlays (gross) ......................................................
Adjustments in expired accounts (net) .........................
Change in uncollected customer payments from Federal sources (unexpired) ............................................
74.40 Obligated balance, end of year .....................................
72.40
73.10
73.20
73.40
74.00

5,019
1,765

5,373

3,608
1,765

61 ................... ...................
6,784

5,373

3,771
8,142
7,422
8,068
7,033
5,373
¥3,609
¥7,753
¥7,070
¥27 ................... ...................
¥61 ................... ...................
8,142
7,422
5,725

86.90
86.93

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

1,261
2,348

1,575
6,178

1,488
5,582

87.00

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

3,609

7,753

7,070

Offsets:
Against gross budget authority only:
88.95
Change in uncollected customer payments from
Federal sources (unexpired) ..................................

89.00
90.00

¥61 ................... ...................

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

7,846
3,609

6,784
7,753

5,373
7,070

Note.—Excludes $1,201 million in budget authority in 2004 for activities transferred to
Department of Education:
(in millions of dollars)
2004 est

Office of Innovation and Improvement, Innovation and Improvement ..................................
Office of Safe and Drug-Free Schools, Safe Schools and Citizenship Education ................

785
416

Comparable amounts for 2002 ($1,642 million) and 2003 ($1,345 million) are included above.

SUMMARY OF PROGRAM LEVEL
(in millions of dollars)
2002–2003
Academic
Year

2003–2004
Academic
Year

2004–2005
Academic
Year

New Budget Authority ..................................................................
Advance Appropriation ................................................................

6,072
1,765

5,019
1,765

3,608
1,435

Total program level ........................................................

7,837

6,784

5,043

Change in advance appropriation over previous year ................ .................... ....................

–330

Improving teacher quality.—
Improving teacher quality State grants.—Funds support
State and school district activities to prepare, train, and
recruit high-quality teachers to improve student achievement.
National activities.—Funds support competitive grants
to improve the knowledge and skills of early childhood
educators who work in communities that have high concentrations of children living in poverty.
Mathematics and science partnerships.—Funds support
State and local efforts to improve students’ academic
achievement in mathematics and science by promoting
strong teaching skills for elementary and secondary
Sfmt 3616

E:\BUDGET\EDU.XXX

EDU

326

OFFICE OF ELEMENTARY AND SECONDARY EDUCATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2004

General and special funds—Continued

Program and Financing (in millions of dollars)

SCHOOL IMPROVEMENT PROGRAMS—Continued

school teachers, including integrating teaching methods
based on scientifically-based research and technology into
the curriculum.
Educational technology State grants.—Funds support formula grants to States, which target funds to high-poverty
school districts, to acquire computers, connections, software,
and teacher training to enable schools to integrate technology
effectively into curricula.
21st Century community learning centers.—Funds support
formula grants to States, which award subgrants to communities to provide academic enrichment opportunities and related services to students, primarily students who attend
high-poverty schools, and their families during before-school,
after-school, weekend, and summer hours.
State grants for innovative programs.—Funds support formula grants to States and local educational agencies to help
implement innovative strategies for improving student
achievement.
State assessments.—Funds support formula grants to States
to develop and implement the new assessments, and related
accountability efforts, that States would use to test all children annually in grades 3–8 in reading and mathematics.
Education for homeless children and youth.—Funds support
formula grants to States to provide educational and support
services that enable homeless children and youth to attend
and achieve success in school.
Education for Native Hawaiians.—Funds provide supplemental education services to Native Hawaiians in areas such
as family-based education, special education, gifted and talented education, higher education, curriculum development,
teacher training and recruitment, and community-based
learning.
Alaska Native education equity.—Funds provide supplemental education services to Alaska Natives in areas such
as educational planning, curriculum development, teacher
training, teacher recruitment, student enrichment, and homebased instruction for pre-school children. Grants also go to
organizations specified in the law.
Training and advisory services.—Funds support grants to
regional equity assistance centers that provide technical assistance to school districts in addressing equity in education
related to issues of race, gender, and national origin.
Object Classification (in millions of dollars)
2002 actual

Identification code 91–1000–0–1–501

2003 est.

2004 est.

41.0

Direct obligations:
Printing and reproduction .........................................
Advisory and assistance services .............................
Other services ............................................................
Other purchases of goods and services from Government accounts .................................................
Grants, subsidies, and contributions ........................

4 ................... ...................
7,943
6,908
5,331

99.0
99.0

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

8,007
7,033
5,373
61 ................... ...................

99.9

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

24.0
25.1
25.2
25.3

1
9
50

8,068

2002 actual

Identification code 91–0101–0–1–501

1
49
75

7,033

1
20
21

2003 est.

2004 est.

00.01
00.02
00.03

Obligations by program activity:
Grants to local educational agencies ...........................
Special programs for Indian children ...........................
National activities ..........................................................

97
20
3

97
20
5

10.00

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

120

122

22.00
23.95

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

120
¥120

122
¥122

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................

120

122

72.40
73.10
73.20
73.40
74.40

86.90
86.93

Outlays (gross), detail:
Outlays from new discretionary authority ..................... ...................
Outlays from discretionary balances .............................
104

132
145
143
120
122
122
¥104
¥124
¥122
¥3 ................... ...................
145
143
143

6
118

6
116

87.00

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

104

124

122

89.00
90.00

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

120
104

122
124

122
122

The Indian Education program supports the efforts of local
educational agencies and tribal schools to improve teaching
and learning for the Nation’s American Indian and Alaska
Native Children.
Grants to local educational agencies.—Formula grants support local educational agencies in their efforts to reform elementary and secondary school programs that serve Indian
students, with the goal of ensuring that such programs assist
participating students in meeting the same academic standards as all other students. In 2002, the Department made
1,189 formula grants to local educational agencies and tribal
schools serving more than 465,000 students.
Special programs for Indian Children.—The Department
makes competitive awards for demonstration projects in early
childhood education, professional development grants, American Indian Teacher Corps grants, and grants for the American Indian Administrator Corps. The professional development awards in this activity are designed to improve the
quality of teachers and administrators in school districts with
concentrations of Indian students.
National activities.—Funds support research, evaluation,
data collection, and related activities.
Object Classification (in millions of dollars)
2002 actual

Identification code 91–0101–0–1–501

2003 est.

2004 est.

25.2
41.0

Other services ................................................................
Grants, subsidies, and contributions ............................

2
118

4
118

5
117

99.9

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

120

122

5,373

READING EXCELLENCE
f

Program and Financing (in millions of dollars)

For expenses necessary to carry out, to the extent not otherwise
provided, title VII, part A of the Elementary and Secondary Education
Act of 1965, $122,368,000.
Note.—A regular 2003 appropriation for this account had not been enacted at the time
the budget was prepared; therefore, this account is operating under a continuing resolution
(P.L. 107–229, as amended). The amounts included for 2003 in this budget reflect the
Administration’s 2003 policy proposals.

VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

PO 00000

2002 actual

Identification code 91–0011–0–1–501

INDIAN EDUCATION

Frm 00004

Fmt 3616

2003 est.

2004 est.

00.01

Obligations by program activity:
Reading Excellence ........................................................

201 ................... ...................

10.00

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

201 ................... ...................

21.40

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year

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

Sfmt 3643

E:\BUDGET\EDU.XXX

EDU

OFFICE OF INNOVATION AND IMPROVEMENT
Federal Funds

DEPARTMENT OF EDUCATION
22.00

New budget authority (gross) ........................................

195 ................... ...................

23.90
23.95

Total budgetary resources available for obligation
Total new obligations ....................................................

201 ................... ...................
¥201 ................... ...................

25.2
41.0

Other services ................................................................
Grants, subsidies, and contributions ............................

5 ................... ...................
96 ................... ...................

99.9

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

103 ................... ...................

New budget authority (gross), detail:
Discretionary:
55.00
Advance appropriation ..............................................

195 ................... ...................

449
447
137
201 ................... ...................
¥200
¥310
¥105
¥4 ................... ...................
447
137
31

72.40
73.10
73.20
73.40
74.40

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

1 ................... ...................
199
310
105

87.00

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

200

89.00
90.00

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

310

105

CHICAGO LITIGATION SETTLEMENT
Program and Financing (in millions of dollars)

24.0
25.2
25.3

2003 est.

2004 est.

41.0

Printing and reproduction ..............................................
Other services ................................................................
Other purchases of goods and services from Government accounts ...........................................................
Grants, subsidies, and contributions ............................

2 ................... ...................
6 ................... ...................
1 ................... ...................
192 ................... ...................

99.9

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

201 ................... ...................

EDUCATION REFORM
Program and Financing (in millions of dollars)

2003 est.

2004 est.

00.01

Obligations by program activity:
Direct program activity .................................................. ...................

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

10.00

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

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

21.40
23.95
24.40

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
1
1 ...................
Total new obligations .................................................... ...................
¥1 ...................
Unobligated balance carried forward, end of year .......
1 ................... ...................

72.40
73.10
73.20
74.40

Change in obligated balances:
Obligated balance, start of year ...................................
2
1
Total new obligations .................................................... ...................
1
Total outlays (gross) ......................................................
¥1
¥2
Obligated balance, end of year .....................................
1 ...................

86.93

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

89.00
90.00

Net budget authority and outlays:
Budget authority ............................................................ ................... ................... ...................
Outlays ...........................................................................
1
2 ...................

Object Classification (in millions of dollars)
2002 actual

2002 actual

Identification code 91–0220–0–1–501

195 ................... ...................
200
310
105

Reading Excellence.—This program has been replaced by
the Reading First program in the Education for the Disadvantaged account. Amounts in these schedules reflect balances
that are spending out from prior-year appropriations.

Identification code 91–0011–0–1–501

327

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

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

Funds made available under this account were reappropriated by the Supplemental Appropriations Act, 1987 (Public
Law 100–71) from funds enjoined in United States of America
v. Board of Education of the City of Chicago. The funds were
reappropriated for the specific purpose of settling this case.
The funds are used by the Chicago Board of Education to
implement Project CANAL (Creating A New Approach to
Learning), the project approved by the court to support the
Board’s desegregation efforts.
f

2002 actual

Identification code 91–0500–0–1–501

2003 est.

2004 est.

OFFICE OF INNOVATION AND IMPROVEMENT

Obligations by program activity:
01.01 Small learning communities ..........................................

103 ................... ...................

10.00

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

103 ................... ...................

21.40
23.95

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
Total new obligations ....................................................

103 ................... ...................
¥103 ................... ...................

72.40
73.10
73.20
73.40
74.40

2,464
781
80
103 ................... ...................
¥1,768
¥701
¥80
¥18 ................... ...................
781
80 ...................

Outlays (gross), detail:
86.93 Outlays from discretionary balances .............................

89.00
90.00

1,768

701

Programs in this account have been transferred to the
School Improvement account or discontinued. Amounts in
these schedules reflect balances that are spending out from
prior-year appropriations.
Object Classification (in millions of dollars)

25.1

2002 actual

Advisory and assistance services ..................................

VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

General and special funds:
INNOVATION

Identification code 91–0500–0–1–501

Federal Funds

2003 est.

PO 00000

Frm 00005

Fmt 3616

IMPROVEMENT

Program and Financing (in millions of dollars)
2002 actual

Identification code 91–0204–0–1–501

Obligations by program activity:
Innovation for teacher quality:
00.01
Troops-to-teachers .....................................................
00.02
Transition to teaching ...............................................
00.03
Teaching of traditional American history .................
School choice and flexibility:
00.04
Charter schools grants ..............................................
00.05
Credit enhancement for charter school facilities
00.06
Voluntary public school choice .................................
00.07
Magnet schools assistance .......................................
00.08
Choice incentive fund ...............................................
00.09 FIE programs of national significance ..........................
00.10 Reading is fundamental/inexpensive book distribution
00.11 Ready-to-learn television ...............................................
00.12 Advanced placement ......................................................

2003 est.

2004 est.

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

25
49
100

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

220
100
25
110
75
35
24
22
22

10.00

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

807

22.00

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

807

2004 est.

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

AND

For carrying out activities authorized by part G of title I, parts
C and D of title II, and parts B, C, and D of title V of the Elementary
and Secondary Education Act of 1965, $807,400,000.

Sfmt 3643

E:\BUDGET\EDU.XXX

EDU

328

OFFICE OF INNOVATION AND IMPROVEMENT—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2004

General and special funds—Continued
INNOVATION

AND

IMPROVEMENT—Continued

Program and Financing (in millions of dollars)—Continued
2002 actual

Identification code 91–0204–0–1–501

2003 est.

2004 est.

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

¥807

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation ............................................................. ................... ...................

807

73.10
73.20
74.40

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

807
¥40
767

86.90

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

89.00
90.00

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

807
40

23.95

14:59 Jan 23, 2003

Jkt 193833

PO 00000

Frm 00006

Note.—Includes $807 million in budget authority in 2004 for activities previously financed
from Department of Education:
(in millions of dollars)

Improving teacher quality.—
Troops-to-teacher.—Funds assist eligible members of the
armed forces to obtain certification as teachers and to become highly qualified teachers.
Transition to teaching.—Funds support competitive
grants to establish programs to recruit and retain highly
qualified mid-career professionals and recent college graduates as teachers in high-need schools.
Teaching of traditional American history.—Funds support
competitive grants to school districts for activities to improve history instruction and provide professional development for teachers in American history.
School choice and flexibility.—
Charter school grants.—Funds support competitive grants
to State educational agencies and charter schools to support
the planning, design, initial implementation, and dissemination of information regarding charter schools. These
schools are created by teachers, parents, and members of
the community, and are exempt from certain local, State,
and Federal regulations.
Credit enhancement for charter school facilities.—Funds
support competitive grants to State and local governments,
nonprofit entities, and public and nonprofit consortia, to
assist charter schools in acquiring, leasing, and renovating
school facilities.
Voluntary public school choice.—Funds support competitive grants to State educational agencies and local educational agencies to implement programs that provide students, particularly students who attend low-performing
schools, with expanded school choice options.
Magnet schools assistance.—Funds support competitive
grants to local educational agencies to establish and operate
magnet school programs that are part of an approved desegregation plan.
Choice incentive fund.—Funds will support grants to
States, local educational agencies, and community-based
nonprofit organizations with a proven record for securing
educational opportunities for children. These grants will
support efforts to increase the capacity of high-quality public and private schools to serve additional students through
activities such as creating partnerships to fund private
school choice programs; and designing incentives to provide
tax benefits to individuals and organizations that donate
funds to help low-income parents meet the costs of private
school tuition.
FIE programs of national significance.—Funds support nationally significant projects to improve the quality of elementary and secondary education in order to help all children
VerDate Dec 13 2002

meet challenging State content and student achievement
standards.
Reading is fundamental/inexpensive book distribution.—
Funds support reading motivation activities, including the distribution of free books to children.
Ready-to-learn television.—Funds support the development,
distribution, and production of educational video and accompanying materials and services for preschool children, elementary school children, and their parents to facilitate student
academic achievement.
Advanced placement.—Funds support grants to States to
pay test fees for low-income students if they are enrolled
in an Advanced Placement course and competitive grants to
State educational agencies, local educational agencies, and
national nonprofit educational entities to expand access for
low-income individuals to Advanced Placement classes.

Fmt 3616

2002 actual

Office of Elementary and Secondary Education, School improvement programs ........................................................................................................
Office of Elementary and Secondary Education, Education for the disadvantaged ................................................................................................

2003 est.

918

675

Object Classification (in millions of dollars)
2002 actual

Identification code 91–0204–0–1–501

25.1
25.2
25.3
41.0

Advisory and assistance services ..................................
Other services ................................................................
Other purchases of goods and services from Government accounts ...........................................................
Grants, subsidies, and contributions ............................

99.9

2003 est.

2004 est.

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

2
25

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

1
779

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

807

OFFICE OF SAFE AND DRUG-FREE SCHOOLS
Federal Funds
General and special funds:
SAFE SCHOOLS

AND

CITIZENSHIP EDUCATION

For carrying out civic and physical education activities, safe and
drug-free schools and communities programs, and partnerships in
character education programs authorized by subpart 3 of part C of
title II, part A of title IV, and subparts 1 and 3 of part D of title
V of the Elementary and Secondary Education Act of 1965,
$756,250,000, of which $92,017,000 shall become available on July
1, 2004 and remain available through September 30, 2005, and of
which $330,000,000 shall become available on October 1, 2004 and
shall remain available through September 20, 2005 for academic year
2004–2005: Provided, That of the funds available to carry out subpart
3 of part C of title II, up to $11,500,000 may be used to carry out
section 2345: Provided further, That $422,017,000 shall be available
for subpart 1 of part A of title IV and $272,233,000 shall be available
for subpart 2 of part A of title IV, of which $10,000,000, to remain
available until expended, shall be for the Project School Emergency
Response to Violence program to provide education-related services
to local educational agencies in which the learning environment has
been disrupted due to a violent or traumatic crisis.
Program and Financing (in millions of dollars)
2002 actual

Identification code 91–0203–0–1–501

2003 est.

Obligations by program activity:
Safe and drug-free schools and communities:
00.01
State grants .............................................................. ................... ...................
National programs:
00.02
Mentoring program ............................................... ................... ...................
00.03
Other national programs ...................................... ................... ...................
00.91
01.01
02.01
03.01

Subtotal, Safe and drug-free schools and communities .....................................................................
Character education ......................................................
Civic education ..............................................................
Physical education initiative .........................................

Sfmt 3643

E:\BUDGET\EDU.XXX

EDU

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

2004 est.

92
100
172
364
25
27
10

OFFICE OF ENGLISH LANGUAGE ACQUISITION
Federal Funds

DEPARTMENT OF EDUCATION
10.00

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

426

22.00
23.95

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

426
¥426

329

OFFICE OF ENGLISH LANGUAGE
ACQUISITION
Federal Funds
General and special funds:

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation ............................................................. ................... ...................

426

73.10
73.20
74.40

426
¥38
388

86.90

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

ENGLISH LANGUAGE ACQUISITION
For carrying out title III, part A of the Elementary and Secondary
Education Act of 1965, $665,000,000, of which $541,000,000 shall
become available on July 1, 2004, and shall remain available through
September 30, 2005.
Note.—A regular 2003 appropriation for this account had not been enacted at the time
the budget was prepared; therefore, this account is operating under a continuing resolution
(P.L. 107–229, as amended). The amounts included for 2003 in this budget reflect the
Administration’s 2003 policy proposals.

Program and Financing (in millions of dollars)
Net budget authority and outlays:
89.00 Budget authority ............................................................ ................... ...................
90.00 Outlays ........................................................................... ................... ...................

426
38

Note.—Includes $416 million in budget authority in 2004 for activities previously financed
from Department of Education:
(in millions of dollars)

2002 actual

Office of Elementary and Secondary Education, School Improvement Programs ........................................................................................................

2003 est.

724

(in millions of dollars)

New budget authority .................................................................. ....................
Advance appropriation ................................................................ ....................

2004–2005
Academic
Year

0
0

426
330

Total program level ........................................................

756

Change in advance appropriation over previous year ................

+330

Safe and drug-free schools and communities.—
State Grants.—Funds provide formula grants to States
to support research-based drug and violence-prevention programs and to implement strategies to improve school safety.
National Programs.—Funds support national activities to
prevent violence and the illegal use of drugs among, and
to promote safety and discipline for, students.
Mentoring program.—Funds provide grants to local education agencies and community-based organizations for
mentoring programs serving at-risk youth in conjunction
with the efforts of the USA Freedom Corps.
Character Education.—Funds provide grants to support the
design and implementation of character education programs
in the Nation’s elementary and secondary schools.
Civic Education.—Funds support a grant to the nonprofit
Center for Civic Education to promote civic competence and
responsibility and improve the quality of civics and government education through coursework and curricula on the history and principles of the Constitution of the United States;
and grants to eligible organizations for cooperative education
exchange programs to improve the quality of civic and economic education in emerging democracies through exemplary
curriculum and teacher training programs for educators.
These activities complement civics programs coordinated by
the USA Freedom Corps.
Physical Education Initiative.—Funds will support activities
to promote increased physical fitness among youth.
Object Classification (in millions of dollars)

99.9

Obligations by program activity:
Language acquisition State grants ...............................
Bilingual education instructional services ....................
Bilingual education professional development .............

403
120
129

482
91
104

541
54
70

10.00

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

652

677

665

23.90
23.95
24.40

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year ...................
New budget authority (gross) ........................................
664

12 ...................
665
665

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

664
677
665
¥652
¥677
¥665
12 ................... ...................

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
41.00
Transferred to other accounts ...................................

665
665
665
¥1 ................... ...................

43.00

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

664

72.40
73.10
73.20
73.40
74.40

86.90
86.93

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

4
410

33
474

33
770

87.00

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

414

507

803

89.00
90.00

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

664
414

665
507

665
803

665

603
833
1,003
652
677
665
¥414
¥507
¥803
¥9 ................... ...................
833
1,003
865

Language acquisition State grants.—This program provides
formula grants to States and discretionary professional development grants to improve services for limited English proficient and immigrant students. States are accountable for
demonstrating that limited English proficient students are
learning English and meeting the same high State standards
as all other students. The statute also authorizes evaluation,
and requires funding for a national information clearinghouse
on English language acquisition. The statute also continues
discretionary grants for bilingual instructional services and
bilingual professional development grants made under the antecedent statute.
Object Classification (in millions of dollars)

2002 actual

2003 est.

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

1
3
12
410

Identification code 91–1300–0–1–501

25.2
41.0

Other services ................................................................
Grants, subsidies, and contributions ............................

2
650

5
672

5
660

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

426

99.9

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

652

677

665

Identification code 91–0203–0–1–501

24.0
25.1
25.2
41.0

2004 est.

00.01
00.02
00.04

21.40
22.00
2003–2004
Academic
Year

2003 est.

669

SUMMARY OF PROGRAM LEVEL
2002–2003
Academic
Year

2002 actual

Identification code 91–1300–0–1–501

VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

PO 00000

Frm 00007

2004 est.

Fmt 3616

Sfmt 3643

E:\BUDGET\EDU.XXX

2002 actual

EDU

2003 est.

2004 est.

330

OFFICE OF SPECIAL EDUCATION AND REHABILITATIVE SERVICES
Federal Funds

THE BUDGET FOR FISCAL YEAR 2004
SUMMARY OF PROGRAM LEVEL

OFFICE OF SPECIAL EDUCATION AND
REHABILITATIVE SERVICES

[In millions of dollars]
2002–2003
academic
year

Federal Funds
General and special funds:

2003–2004
academic
year

2004–2005
academic
year

Current Budget Authority ............................................................
Advance appropriation ................................................................

3,601
5,072

4,616
5,072

5,618
5,072

Total program level ............................................................

8,673

9,688

10,690

SPECIAL EDUCATION
For carrying out parts B, C, and D of the Individuals with Disabilities Education Act, $10,690,104,000, of which $5,337,533,000 shall
become available for obligation on July 1, 2004, and shall remain
available through September 30, 2005, and of which $5,072,000,000
shall become available on October 1, 2004, and shall remain available
through September 30, 2005, for academic year 2004–2005: Provided,
That the amount for section 611(c) of the Act shall be equal to the
amount available for that section during fiscal year 2003, increased
by the amount of inflation as specified in section 611(f)(1)(B)(ii) of
the Act.
Note.—A regular 2003 appropriation for this account had not been enacted at the time
the budget was prepared; therefore, this account is operating under a continuing resolution
(P.L. 107–229, as amended). The amounts included for 2003 in this budget reflect the
Administration’s 2003 policy proposals.

Program and Financing (in millions of dollars)
2002 actual

Identification code 91–0300–0–1–501

2003 est.

2004 est.

Direct program:
Obligations by program activity:
State grants:
00.01
Grants to States ...................................................
00.02
Preschool grants ...................................................
00.03
Grants for infants and families ...........................

7,530
390
435

8,546
390
474

9,529
390
447

00.91

8,355

9,410

10,366

52
78
53
90
26
37

97
78
53
90
26
33

44
78
53
90
26
33

01.01
01.02
01.03
01.04
01.05
01.06

Subtotal, State grants ......................................
National activities:
State improvement ................................................
Research and innovation ......................................
Technical assistance and dissemination .............
Personnel preparation ...........................................
Parent information centers ...................................
Technology and media services ............................

01.91

Subtotal, National activities ............................

336

377

324

02.00

Total Direct Program ......................................................

8,691

9,787

10,690

10.00

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

8,691

9,787

10,690

21.40
22.00
22.10

116
8,673

99 ...................
9,688
10,690

23.90
23.95
23.98
24.40

3 ................... ...................
8,792
9,787
10,690
¥8,691
¥9,787
¥10,690
¥1 ................... ...................
99 ................... ...................

3,601
5,072

4,616
5,072

5,618
5,072

70.00

8,673

9,688

10,690

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

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

4,469
6,137
8,194
8,691
9,787
10,690
¥7,000
¥7,730
¥9,657
¥20 ................... ...................
¥3 ................... ...................
6,137
8,194
9,227

86.90
86.93

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

3,269
3,731

3,491
4,239

3,511
6,146

87.00

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

7,000

7,730

9,657

89.00
90.00

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

8,673
7,000

9,688
7,730

10,690
9,657

Change in advance appropriation from the previous year ........ .................... .................... ....................

State Grants:
Grants to States.—Formula grants are provided to States
to assist them in providing special education and related
services to children with disabilities ages 3 through 21.
Preschool grants.—Formula grants provide additional
funds to States to further assist them in providing special
education and related services to children with disabilities
ages 3 through 5 served under the Grants to States program.
The goal of both of these programs is to improve results
for children with disabilities by assisting State and local
educational agencies to provide children with disabilities
with access to high quality education that will help them
meet challenging standards and prepare them for employment and independent living.
Grants for infants and families.—Formula grants are provided to assist States to implement statewide systems of
coordinated, comprehensive, multi-disciplinary interagency
programs to provide early intervention services to children
with disabilities, birth through age 2, and their families.
The goal of this program is to help States provide a
comprehensive system of early intervention services that
will enhance child and family outcomes.
National activities:
These activities include research, demonstration, personnel preparation, technical assistance, grants to States
to promote systems change, and other activities to support
State efforts to improve results for children with disabilities
under the State Grants programs.
The goal of National Activities is to link States, school
systems, and families to best practices to improve results
for infants, toddlers, and children with disabilities.
The General Education Provisions Act extension for
Grants for Infants and Families and National Activities
programs applies through September 30, 2003; authorizing
legislation is required.
Performance data related to program goals include:
Number of children served in first quarter of fiscal year
(in thousands):
Ages 3 through 21 ..................................................................
Ages 3 through 5 ....................................................................
Birth through 2 .......................................................................
Educational Environment
Percent of children ages 6 through 21 provided special education in:
Regular classrooms ................................................................
Resource rooms .......................................................................
Separate classes .....................................................................
Separate schools .....................................................................
Residential facilities ...............................................................
Home or hospital ....................................................................
Status of Exiting Students
Percent of students with disabilities aged 14–21 leaving
school:
Graduated with a diploma .....................................................
Graduated through certification .............................................
Dropped out of school ............................................................
Reached maximum age and other .........................................

14:59 Jan 23, 2003

Jkt 193833

PO 00000

Frm 00008

Fmt 3616

6,483
617
247
1998–1999
actual

2003 est.

6,580
633
260
1999–2000
actual

2004 est.

6,672
648
273
2000–2001
actual

47.4
28.4
20.1
2.9
.7
.5

47.3
28.3
20.3
2.9
.7
.5

46.5
29.8
19.5
3.0
.7
.5

57.4
11.2
28.9
2.5

56.2
11.4
29.4
3.0

57.0
11.0
29.4
2.5

Object Classification (in millions of dollars)
2002 actual

Identification code 91–0300–0–1–501

25.2
VerDate Dec 13 2002

2002 actual

Direct obligations:
Other services ............................................................

Sfmt 3643

E:\BUDGET\EDU.XXX

EDU

2003 est.

2004 est.

OFFICE OF SPECIAL EDUCATION AND REHABILITATIVE SERVICES—Continued
Federal Funds—Continued

DEPARTMENT OF EDUCATION
25.3
41.0

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

1 ................... ...................
8,666
9,766
10,669

99.0
99.5

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

8,690
9,787
10,690
1 ................... ...................

99.9

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

8,691

9,787

10,690

86.97
86.98

Outlays from new mandatory authority .........................
Outlays from mandatory balances ................................

1,927
525

1,831
542

1,868
781

87.00

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

2,853

3,143

3,003

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

¥2

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

2,946
2,852

3,002
3,141

3,003
3,001

REHABILITATION SERVICES

AND

89.00
90.00

DISABILITY RESEARCH

For carrying out, to the extent not otherwise provided, the Rehabilitation Act of 1973 and the Helen Keller National Center Act,
$3,002,913,000: Provided, That funds available under the Vocational
Rehabilitation State Grants program may be used by State Vocational
Rehabilitation agencies to pay for the fiscal year 2004 continuation
costs of projects funded in fiscal year 2002 under title VI, Part A
of the Rehabilitation Act.
Note.—A regular 2003 appropriation for this account had not been enacted at the time
the budget was prepared; therefore, this account is operating under a continuing resolution
(P.L. 107–229, as amended). The amounts included for 2003 in this budget reflect the
Administration’s 2003 policy proposals.

Program and Financing (in millions of dollars)
2002 actual

Identification code 91–0301–0–1–506

2003 est.

2004 est.

Obligations by program activity:
Direct program:
00.01
Vocational rehabilitation State grants ......................
2,481
2,616
2,669
00.02
Vocational rehabilitation incentive grants ................ ...................
30 ...................
00.03
Client assistance State grants .................................
12
12
12
00.04
Training .....................................................................
40
42
43
00.05
Demonstration and training programs .....................
21
17
24
00.06
Migrant and seasonal farmworkers ..........................
2 ................... ...................
00.07
Recreational programs ..............................................
3 ................... ...................
00.08
Protection and advocacy of individual rights ...........
15
15
18
00.09
Projects with industry ...............................................
22 ................... ...................
00.10
Supported employment State grants ........................
38 ................... ...................
00.11
Independent living .....................................................
110
117
117
00.12
Program improvement ...............................................
1
1
1
00.13
Evaluation ..................................................................
1
1
1
00.14
Helen Keller National Center .....................................
9
9
9
00.15
National Institute on Disability and Rehabilitation
Research ...............................................................
110
110
110
00.16
Assistive technology ..................................................
24
52
15
00.17
Access to Telework Fund ........................................... ...................
20 ...................
01.00
09.01

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

2,889
2

3,042
2

3,019
2

10.00

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

2,891

3,044

3,021

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year:
21.40
Unobligated balance carried forward, start of year ...................
56
16
21.40
Unobligated balance carried forward, start of year ................... ................... ...................
22.00 New budget authority (gross) ........................................
2,948
3,004
3,005
23.90
23.95
24.40

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

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
Mandatory:
60.00
Appropriation .............................................................
Discretionary:
68.00
Spending authority from offsetting collections: Offsetting collections (cash) .....................................
70.00

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

72.40
73.10
73.20
73.40
74.40

86.90
86.93

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

VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

2,948
¥2,891
56

3,060
3,021
¥3,044
¥3,021
16 ...................

464

386

334

2,482

2,616

2,669

2,948

3,004

3,005

1,043
1,070
971
2,891
3,044
3,021
¥2,853
¥3,143
¥3,003
¥11 ................... ...................
1,070
971
989

77
324
PO 00000

271
499

235
119

Frm 00009

Fmt 3616

331

Vocational rehabilitation State grants.—The basic State
grants program provides Federal matching funds to State vocational rehabilitation (VR) agencies to assist individuals with
physical or mental impairments to become gainfully employed. Services are tailored to the specific needs of the individual. Priority is given to serving those with the most significant disabilities. Current law requires that between 1.0 percent and 1.5 percent of the funds appropriated for the VR
State grants program be set aside for Grants for Indians
in 2004.
The table below presents national data on selected performance measures for the VR State grants program. The data
are based on the number of individuals whose service records
were closed in fiscal years 2000 (377,170) and 2001 (385,235).
CONSUMER OUTCOMES (CASES CLOSED)
2000 actual

Individuals achieving employment outcomes ................................................
Percent with significant disabilities .........................................................
Employment outcomes as a percent all of individuals receiving services

236,137
87.0%
62.6%

2001 actual

233,692
88.0%
60.7%

The 2004 budget request reflects a multi-year Administration effort to reform job training programs, target resources
to programs with documented effectiveness, and eliminate
funding for duplicative and overlapping programs. Consistent
with this crosscutting reform, the budget consolidates funding
for three programs in this account (Supported Employment
State Grants, Projects with Industry, and the Migrant and
Seasonal Farmworkers program) within the Vocational Rehabilitation State Grants program.
Vocational rehabilitation incentive grants.—Incentive grants
will be used to encourage State VR agencies to improve their
performance in helping individuals with disabilities obtain
competitive employment. Grants will be awarded to State VR
agencies based on program performance. The Administration
plans to carry out 2004 activities with any remaining 2003
funds.
Client assistance State grants.—Formula grants are made
to States to provide assistance in informing and advising clients and applicants of benefits available under the Rehabilitation Act and, if requested, to pursue legal or administrative
remedies to ensure the protection of the rights of individuals
with disabilities.
Training.—Grants are made to States and public or nonprofit agencies and organizations, including institutions of
higher education, to increase the number of skilled personnel
available for employment in the field of rehabilitation and
to upgrade the skills of those already employed.
Demonstration and training programs.—Grants are made
for programs that expand and improve the provision of rehabilitation services or that further the purposes of the Rehabilitation Act.
Protection and advocacy of individual rights.—Formula
grants are made to State protection and advocacy systems
to protect the legal and human rights of individuals with
disabilities.
Independent living.—Grants are awarded to States and nonprofit agencies to assist individuals with significant disabilities in their achievement of self-determined independent living goals. Grants are also awarded to provide support services
Sfmt 3616

E:\BUDGET\EDU.XXX

EDU

332

OFFICE OF SPECIAL EDUCATION AND REHABILITATIVE SERVICES—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2004
Budgetary resources available for obligation:
New budget authority (gross) ........................................
Total new obligations ....................................................

14
¥14

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................

72.40
73.10
73.20
74.40

5
14
¥13
6

6
14
¥19
1

1
14
¥14
1

86.90
86.93

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

9
4

13
6

13
1

87.00

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

89.00
90.00

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

14
13

14
19

14
14

General and special funds—Continued
REHABILITATION SERVICES

AND

22.00
23.95

DISABILITY RESEARCH—Continued

to older blind individuals to increase their ability to care
for their own needs.
Program improvement.—Funds are used to promote broadbased planning and coordination, improve accountability, and
enhance the Department’s ability to address critical areas
of national significance in achieving the goals of the Rehabilitation Act. Examples of program improvement activities include technical assistance, dissemination, and performance
measurement activities.
Evaluation.—Studies are conducted to evaluate the impact
and effectiveness of various programs authorized under the
Rehabilitation Act.
Helen Keller National Center for Deaf-Blind Youths and
Adults.—The Center provides services to deaf-blind youths
and adults and provides training and technical assistance
to professional and allied personnel at its national headquarters center and through its regional representatives and
affiliate agencies.
National Institute on Disability and Rehabilitation Research.—The Institute carries out a comprehensive and coordinated program of rehabilitation research and related activities. Through grants and contracts, it supports the conduct
and dissemination of research aimed at improving the lives
of individuals with disabilities. The Institute also promotes
the development and utilization of new technologies to assist
these individuals in achieving greater independence and integration into society.
Assistive technology loan program.—Grants are made to
States to establish alternative financing programs to increase
access to assistive technology for individuals with disabilities.
The Administration plans to carry out 2004 activities with
the remaining fiscal year 2003 funds.
Access to telework fund.—Federal matching funds are
awarded to States to provide loans for individuals with disabilities to purchase computers and other equipment so that
they can telework from home.
Object Classification (in millions of dollars)
2002 actual

Identification code 91–0301–0–1–506

25.1
25.2
25.5
41.0

Direct obligations:
Advisory and assistance services .............................
Other services ............................................................
Research and development contracts .......................
Grants, subsidies, and contributions ........................

99.0
99.0
99.5

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

99.9

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

2003 est.

2004 est.

FOR

NATIONAL TECHNICAL INSTITUTE FOR THE DEAF

For the National Technical Institute for the Deaf under titles I
and II of the Education of the Deaf Act of 1986 (20 U.S.C. 4301
et seq.), $50,781,000, of which $367,000 shall be for construction and
shall remain available until expended, and of which not less than
$1,000,000, to remain available until expended, shall be used for
the endowment program as authorized under section 207.
Note.—A regular 2003 appropriation for this account had not been enacted at the time
the budget was prepared; therefore, this account is operating under a continuing resolution
(P.L. 107–229, as amended). The amounts included for 2003 in this budget reflect the
Administration’s 2003 policy proposals.

Program and Financing (in millions of dollars)
8
2
2
2,876

8
8
2
2
1 ...................
3,031
3,009

2,888
3,042
3,019
2
2
2
1 ................... ...................
2,891

3,044

PERSONS WITH DISABILITIES

AMERICAN PRINTING HOUSE FOR THE BLIND

For carrying out the Act of March 3, 1879, as amended (20 U.S.C.
101 et seq.), $14,000,000.
Note.—A regular 2003 appropriation for this account had not been enacted at the time
the budget was prepared; therefore, this account is operating under a continuing resolution
(P.L. 107–229, as amended). The amounts included for 2003 in this budget reflect the
Administration’s 2003 policy proposals.

00.01
00.02
00.03

2002 actual

2003 est.

2004 est.

00.01

Obligations by program activity:
Direct program activity ..................................................

10.00

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

VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

PO 00000

Frm 00010

Obligations by program activity:
Operations ......................................................................
50
Construction ...................................................................
5
Endowment ..................................................................... ...................

2003 est.

2004 est.

49
50
2 ...................
1
1

10.00

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

22.00
23.95

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

55
¥55

52
¥52

51
¥51

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................

72.40
73.10
73.20
74.40

Change in obligated balances:
Obligated balance, start of year ................................... ................... ...................
Total new obligations ....................................................
55
52
Total outlays (gross) ......................................................
¥55
¥47
Obligated balance, end of year ..................................... ...................
4

4
51
¥51
4

86.90
86.93

Outlays (gross), detail:
Outlays from new discretionary authority .....................
55
47
Outlays from discretionary balances ............................. ................... ...................

48
3

Program and Financing (in millions of dollars)
Identification code 91–0600–0–1–501

2002 actual

Identification code 91–0601–0–1–502

3,021

SPECIAL INSTITUTIONS

The Federal appropriation supports the production of free
educational materials for students below the college level who
are blind, research related to developing and improving products, and advisory services to consumer organizations on the
availability and use of materials. In 2002, the portion of the
Federal appropriation allocated to educational materials represented approximately 62.6 percent of the Printing House’s
total sales. The full appropriation represented approximately
60.9 percent of the Printing House’s total budget.

Fmt 3616

87.00

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

89.00

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

Sfmt 3643

E:\BUDGET\EDU.XXX

EDU

OFFICE OF VOCATIONAL AND ADULT EDUCATION
Federal Funds

DEPARTMENT OF EDUCATION
90.00

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

This residential program provides postsecondary technical
and professional education for people who are deaf to prepare
them for employment, provides training, and conducts applied
research into employment related aspects of deafness. In
2002, Federal appropriations represented 81 percent of the
Institute’s operating budget. The request includes funds for
the Endowment Grant program. The request also includes
funds for a construction project to upgrade academic facilities
and enhance dormitory facilities.
f

financial aid, vocational rehabilitation, Endowment Grant income, and competitive grants and contracts, and 97.3 percent
of the revenue related to the elementary and secondary
schools. The request also includes funds for the Endowment
Grant program.
f

OFFICE OF VOCATIONAL AND ADULT
EDUCATION
Federal Funds
General and special funds:
VOCATIONAL

GALLAUDET UNIVERSITY

For the Kendall Demonstration Elementary School, the Model Secondary School for the Deaf, and the partial support of Gallaudet
University under titles I and II of the Education of the Deaf Act
of 1986 (20 U.S.C. 4301 et seq.), $94,446,000, of which not less than
$1,000,000 shall be used for the endowment program as authorized
under section 207: Provided, That such $1,000,000 is available until
expended.
Note.—A regular 2003 appropriation for this account had not been enacted at the time
the budget was prepared; therefore, this account is operating under a continuing resolution
(P.L. 107–229, as amended). The amounts included for 2003 in this budget reflect the
Administration’s 2003 policy proposals.

Program and Financing (in millions of dollars)
2002 actual

Identification code 91–0602–0–1–502

2003 est.

2004 est.

Obligations by program activity:
00.01 Operations ......................................................................
97
00.02 Endowment ..................................................................... ...................

93
1

10.00

333

AND

ADULT EDUCATION

Program and Financing (in millions of dollars)
2002 actual

Identification code 91–0400–0–1–501

2003 est.

2004 est.

Obligations by program activity:
Vocational education:
Annual appropriations:
Vocational education:
00.01
State grants .....................................................
00.02
National programs ............................................
00.03
Occupational and employment information .....
00.04
Tribally controlled postsecondary vocational
institutions ...................................................
00.05
Tech-prep education State grants ...................
00.06
Tech-prep demonstration ......................................

1,179
18
9

1,182
791
12
12
2 ...................

6
108
5

7 ...................
108 ...................
5 ...................

00.91

1,325

01.01
01.02
01.03

Total, Vocational education ..............................
Adult education:
State grants .....................................................
National Institute for Literacy ..........................
National leadership activities ..........................

01.91
02.01
03.01

Total, adult education ......................................
State grants for incarcerated youth offenders
Literacy programs for prisoners ...........................

10.00

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

1,941

1,926

818

Change in obligated balances:
Obligated balance, start of year ................................... ................... ...................
Total new obligations ....................................................
97
94
Total outlays (gross) ......................................................
¥97
¥88
Obligated balance, end of year ..................................... ...................
6

6
94
¥94
6

21.40
22.00

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

65
1,934

56
1,898

27
791

Outlays (gross), detail:
Outlays from new discretionary authority .....................
97
88
Outlays from discretionary balances ............................. ................... ...................

88
6

23.90
23.95
23.98
24.40

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

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

97
¥97

94
¥94

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................

72.40
73.10
73.20
74.40

86.90
86.93

571
6
14

1,316

803

589 ...................
7
6
9
9

591
605
15
20 ................... ...................
5
5 ...................

1,999
1,954
818
¥1,941
¥1,926
¥818
¥1 ................... ...................
56
27 ...................

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

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

1,143
791

1,107 ...................
791
791

97
97

94
88

94
94

70.00

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

1,934

1,898

This institution provides undergraduate and continuing
education programs for persons who are deaf, and graduate
programs related to deafness for students who are deaf and
students who are hearing. The University also conducts basic
and applied research and provides public service programs
for persons who are deaf and persons who work with them.
Gallaudet operates two elementary and secondary education
programs on the main campus of the University. The Kendall
Demonstration Elementary School serves students who are
deaf from infancy through age 15, and the Model Secondary
School for the Deaf serves high school age students who are
deaf. Both schools also develop and disseminate information
on effective educational techniques and strategies for teachers
and professionals working with students who are deaf or hard
of hearing.
In 2002, the Federal appropriation represented 65.6 percent
of the University’s total revenue, which also includes Federal

72.40
73.10
73.20
73.40
74.40

86.90
86.93

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

814
964

651
1,278

554
1,249

87.00

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

1,778

1,929

1,803

89.00
90.00

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

1,934
1,778

1,898
1,929

791
1,803

87.00

VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

PO 00000

Frm 00011

Fmt 3616

791

1,496
1,652
1,650
1,941
1,926
818
¥1,778
¥1,929
¥1,803
¥7 ................... ...................
1,652
1,650
666

Summary of Budget Authority and Outlays
(in millions of dollars)

Enacted/requested:
Budget Authority .....................................................................
Sfmt 3647

E:\BUDGET\EDU.XXX

EDU

2002 actual

1,934

2003 est.

1,898

2004 est.

791

334

OFFICE OF VOCATIONAL AND ADULT EDUCATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2004

General and special funds—Continued
VOCATIONAL

AND

ADULT EDUCATION—Continued

Summary of Budget Authority and Outlays—Continued
(in millions of dollars)
2002 actual

2003 est.

2004 est.

Outlays ....................................................................................
1,778
1,929
Legislative proposal, not subject to PAYGO:
Budget Authority ..................................................................... .................... ....................
Outlays .................................................................................... .................... ....................
Total:
Budget Authority .....................................................................
Outlays ....................................................................................

1,934
1,778

1,898
1,929

1,803
800
82
1,591
1,885

SUMMARY OF PROGRAM LEVEL
(in millions of dollars)
2002–2003
academic
year

2003–2004
academic
year

2004–2005
academic
year

New Budget Authority ..................................................................
Advance appropriation ................................................................

1,143
791

1,107
791

800
791

Total program level ............................................................

1,934

1,898

1,591

Change in advance appropriation from the previous year ........ .................... .................... ....................

Vocational and adult education.—The Administration is
working with Congress to develop legislation reauthorizing
programs included in the Carl D. Perkins Vocational and
Technical Education Act of 1998 and the Adult Education
and Family Literacy Act. When new authorizing legislation
is enacted resources for the affected programs will be requested.
Object Classification (in millions of dollars)
2002 actual

Identification code 91–0400–0–1–501

2003 est.

2004 est.

Program and Financing (in millions of dollars)

1
3
4

1
3
3

25.5
41.0

Direct obligations:
Personnel compensation: Other than full-time permanent ..................................................................
Advisory and assistance services .............................
Other services ............................................................
Other purchases of goods and services from Government accounts .................................................
Research and development contracts .......................
Grants, subsidies, and contributions ........................

16
18
1,898

14
17
1,887

9
10
791

99.0
99.5

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

1,940
1

1,925
1

817
1

99.9

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

1,941

1,926

818

11.3
25.1
25.2
25.3

1001

2002 actual

Total compensable workyears:
Civilian full-time equivalent employment .....................

VOCATIONAL

AND

2003 est.

2004 est.

00.01
00.02

Obligations by program activity:
Secondary and technical education State grants ......... ................... ...................
Adult basic and literacy education State grants .......... ................... ...................

209
584

10.00

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

793

22.00
23.95
24.40

800
¥793
7

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation ............................................................. ................... ...................

800

73.10
73.20
74.40

793
¥82
712

86.90

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

89.00
90.00

800
82

ADULT EDUCATION

The resources in this schedule are proposed for later transmittal under proposed legislation to reform the Carl D. Perkins Vocational and Technical Education Act of 1998 (Perkins)
and the Adult Education and Family Literacy Act (AEFLA).
The reforms would promote stronger accountability for results
by linking grantee funding to success in achieving student
outcomes.
Secondary and technical education.—The proposed reforms
to Perkins would create a coordinated high school and technical education improvement program. The program would
support and extend the goals of Title I of the Elementary
and Secondary Education Act (ESEA) by requiring States and
LEAs to focus more intensively on improving student outcomes, such as academic achievement, and ensuring that students are being taught the necessary skills to make successful
14:59 Jan 23, 2003

2003 est.

2004 est.

(Legislative proposal, not subject to PAYGO)

VerDate Dec 13 2002

2002 actual

Identification code 91–0400–2–1–501

Personnel Summary
Identification code 91–0400–0–1–501

transitions from high school to college and college to the workforce. States would reserve a portion of their formula allocations to, among other things, implement assessments consistent with ESEA Title I accountability requirements to track
academic performance and ensure that high school students
are graduating with the necessary proficiency in core academic areas. States would have the flexibility to transfer
funds to support education-related activities under ESEA
Title I. States wouild also make competitive grants to community and technical colleges to help raise student academic
achievement and provide students with high-quality training
leading to successful employment outcomes.
Adult literacy.—The proposal would amend the current statute to increase the focus on building stronger skills in basic
reading, math, and English acquisition for adults who need
to strengthen weak literacy skills or want to earn their high
school diploma or its recognized equivalent (the GED). Proposed amendments would revise current accountability provisions to create specific local accountability requirements for
demonstrating student gains in reading, math, and English
language acquisition, with rewards for high performing programs. Each State would develop and implement educational
standards to guide local programs in creating a clear sequence
of adult literacy activities leading to high school-level proficiency. The proposal would require that teachers be trained
in the use of research-validated instructional practices in
reading, math and English fluency, and that programs integrate the use of technology-facilitated learing to accelerate
student learning. In addition, the proposal would strengthen
employer partnerships and the participation of communityand faith-based organizations to expand availabilty of essential reading, math, and English acquisition instruction, particularly for low-wage working adults.

Jkt 193833

PO 00000

Frm 00012

Fmt 3616

OFFICE OF POSTSECONDARY EDUCATION
Federal Funds
General and special funds:
HIGHER EDUCATION
For carrying out, to the extent not otherwise provided, section 121
and titles II, III, IV, V, VI, and VII of the Higher Education Act
of 1965, as amended (‘‘HEA’’), section 117 of the Carl D. Perkins
Sfmt 3616

E:\BUDGET\EDU.XXX

EDU

OFFICE OF POSTSECONDARY EDUCATION—Continued
Federal Funds—Continued

DEPARTMENT OF EDUCATION
Vocational and Technical Education Act, and the Mutual Educational
and Cultural Exchange Act of 1961, $1,904,438,000, of which
$2,000,000 for interest subsidies authorized by section 121 of the HEA
shall remain available until expended: Provided, That $10,000,000,
to remain available through September 30, 2005, shall be available
to fund fellowships for academic year 2005–2006 under part A, subpart 1 of title VII of said Act, under the terms and conditions of
part A, subpart 1: Provided further, That $1,000,000 is for data collection and evaluation activities for programs under the HEA, including
such activities needed to comply with the Government Performance
and Results Act of 1993: Provided further, That notwithstanding any
other provision of law, funds made available in this Act to carry
out title VI of the HEA and section 102(b)(6) of the Mutual Educational and Cultural Exchange Act of 1961 may be used to support
visits and study in foreign countries by individuals who are participating in advanced foreign language training and international studies in areas that are vital to United States national security and
who plan to apply their language skills and knowledge of these countries in the fields of government, the professions, or international
development: Provided further, That up to one percent of the funds
referred to in the preceding proviso may be used for program evaluation, national outreach, and information dissemination activities: Provided further, That the funds provided for title II of the HEA shall
be allocated notwithstanding section 210 of said Act: Provided further,
That the funds provided for part B of title VII of the HEA may
be used, at the discretion of the Secretary of Education, to fund continuation awards under title VII, part D of said Act.
Note.—A regular 2003 appropriation for this account had not been enacted at the time
the budget was prepared; therefore, this account is operating under a continuing resolution
(P.L. 107–229, as amended). The amounts included for 2003 in this budget reflect the
Administration’s 2003 policy proposals.

2002 actual

Obligations by program activity:
Aid for institutional development:
00.01
Strengthening institutions .........................................
00.02
Strengthening tribally controlled colleges and universities .................................................................
00.03
Strengthening Alaska Native and Native Hawaiianserving institutions ...............................................
00.04
Strengthening historically black colleges and universities .................................................................
00.05
Strengthening historically black graduate institutions ......................................................................
00.06
Minority science and engineering improvement .......
00.91
01.01
01.02
01.03
01.04
01.05
01.06
01.91

2003 est.

2004 est.

206

213

224

49
9

51
8

53
8

Subtotal, aid for institutional development .........
362
373
384
Other aid for institutions:
Developing Hispanic-serving institutions .................
86
89
94
International education and foreign language studies .........................................................................
98
103
103
Fund for the Improvement of Postsecondary Education ....................................................................
181
39
39
Demonstration projects to ensure quality higher
education for students with disabilities ..............
7 ................... ...................
Interest subsidy grants .............................................
7
10
2
Tribally controlled postsecondary vocational and
technical institutions ............................................ ................... ...................
6

02.07
02.08
02.91
03.01
04.01
05.01

Subtotal, assistance for students ........................
Teacher quality enhancement ........................................
GPRA data/HEA program evaluation .............................
Underground railroad program ......................................

10.00

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

2,029

1,890

1,904

21.40

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year

Frm 00013

Fmt 3616

02.03
02.04
02.05
02.06

VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

379

241

244

803

285
41
10
31

4 ................... ...................
1 ................... ...................
22
15
15
1,197
1,185
1,185
88
90
90
1
1
1
2 ................... ...................

PO 00000

New budget authority (gross) ........................................

23.90
23.95
23.98
24.40

2,047
1,900
1,914
¥2,029
¥1,890
¥1,904
¥2 ................... ...................
17
10
10

2,031
1,883
1,904
¥3 ................... ...................

43.00

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

2,028

72.40
73.10
73.20
73.40
74.40

1,883

86.90
86.93

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

68
1,619

97
2,003

97
1,808

87.00

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

1,687

2,100

1,905

89.00
90.00

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

2,028
1,687

1,883
2,100

1,904
1,905

1,883

1,904

2,396
2,702
2,491
2,029
1,890
1,904
¥1,687
¥2,100
¥1,905
¥34 ................... ...................
2,702
2,491
2,491

Note.—Includes $6 million in budget authority in 2004 for activities previously financed
from the Department of Education:

Office of Vocational and Adult Education .....................................................

Subtotal, other aid for institutions ......................
Assistance for students:
Federal TRIO programs ..............................................
Gaining early awareness and readiness for undergraduate programs (GEAR UP) .............................
Byrd honors scholarships ..........................................
Javits fellowships ......................................................
Graduate assistance in areas of national need
Thurgood Marshall legal educational opportunity
program .................................................................
B. J. Stupak Olympic scholarships ...........................
Child care access means parents in school ............

02.01
02.02

22.00

(in millions of dollars)

Program and Financing (in millions of dollars)
Identification code 91–0201–0–1–502

2,028

335

2002 actual

2003 est.

Aid for institutional development.—
Strengthening institutions.—Funds support planning and
development grants for improving academic programs and financial management at schools that enroll high proportions
of disadvantaged students and have low per-student expenditures.
Strengthening tribally controlled colleges and universities.—
Funds support grants to American Indian tribally controlled
colleges and universities with scarce resources to enable them
to improve and expand their capacity to serve Indian students.
Strengthening Alaska Native and Native Hawaiian-serving
institutions.—Funds support Alaska Native and Native Hawaiian-serving institutions to enable them to improve and
expand their capacity to serve Alaska Native and Native Hawaiian students.
Strengthening historically black colleges and universities.—
Funds support grants to help historically black undergraduate
institutions to improve and expand their capacity to serve
students, and to strengthen management and fiscal operations.
Strengthening historically black graduate institutions.—
Funds support grants to help historically black graduate institutions to improve and expand their capacity to serve students, and to strengthen management and fiscal operations.
Minority science and engineering improvement.—Funds support grants to predominantly minority institutions to help
them make long-range improvements in science and engineering education and to increase the participation of minorities
in scientific and technological careers.
Other aid for institutions.—
Developing Hispanic-serving institutions.—Funds support
Hispanic-serving institutions to enable them to improve and
expand their capacity to serve students.
International education and foreign language studies programs.—Funds promote the development and improvement
of international and foreign language programs.
Fund for the improvement of postsecondary education.—
Funds support a broad range of postsecondary reform and
improvement projects, as well as international consortia proSfmt 3616

E:\BUDGET\EDU.XXX

EDU

336

OFFICE OF POSTSECONDARY EDUCATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2004
Note.—A regular 2003 appropriation for this account had not been enacted at the time
the budget was prepared; therefore, this account is operating under a continuing resolution
(P.L. 107–229, as amended). The amounts included for 2003 in this budget reflect the
Administration’s 2003 policy proposals.

General and special funds—Continued
HIGHER EDUCATION—Continued

grams and projects previously funded under HEA Title VII,
Part D to improve education for students with disabilities.
Interest subsidy grants.—Funds meet mandatory interest
subsidy costs of construction loan commitments made prior
to 1974.
Tribally controlled postsecondary vocational and technical
institutions.—Funds support the operation and improvement
of tribally controlled postsecondary vocational institutions, to
ensure continued and expanded educational opportunities for
Indian students.
Assistance for students.—
Federal TRIO programs.—Funds support postsecondary
education outreach and student support services through 5
major programs designed to help individuals from disadvantaged backgrounds enter and complete college and graduate
studies.
Gaining early awareness and readiness for undergraduate
programs.—Funds support early college preparation and
awareness activities at the State and local levels to ensure
that low-income elementary and secondary school students
are prepared for and pursue postsecondary education.
Byrd honors scholarships.—Funds support merit-based
scholarships to students who have demonstrated outstanding
academic achievement and who show promise of continued
academic excellence for study at an institution of higher education.
Javits fellowships.—Funds support fellowships to students
of superior ability who have financial need and who are pursuing doctoral degrees in the arts, humanities, and social
sciences.
Graduate assistance in areas of national need.—Funds support fellowships to graduate students of superior ability who
have financial need and who are from traditionally underrepresented backgrounds for study in areas of national need.
Child care access means parents in school.—Funds support
a program designed to bolster the participation of low-income
parents in postsecondary education through the provision of
campus-based child care services.
Other aid.—
Teacher quality enhancement.—Funds support programs
that seek to make lasting changes in the ways our Nation
recruits, prepares, licenses, and supports teachers.
GPRA data/HEA program evaluation.—Funds support data
collection and evaluation activities for programs under the
Higher Education Act of 1965, including such activities needed to comply with the Government Performance and Results
Act of 1993.
Object Classification (in millions of dollars)
2002 actual

Identification code 91–0201–0–1–502

2003 est.

2004 est.

3
5

4
5

41.0

Direct obligations:
Advisory and assistance services .............................
Other services ............................................................
Other purchases of goods and services from Government accounts .................................................
Grants, subsidies, and contributions ........................

2
2,018

2
1,879

2
1,893

99.0
99.5

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

2,028
1,890
1,904
1 ................... ...................

99.9

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

25.1
25.2
25.3

2,029

1,890

1,904

HOWARD UNIVERSITY
For partial support of Howard University (20 U.S.C. 121 et seq.),
$237,474,000, of which not less than $3,600,000 shall be for a matching endowment grant pursuant to the Howard University Endowment
Act (Public Law 98–480) and shall remain available until expended.
VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

PO 00000

Frm 00014

Fmt 3616

Program and Financing (in millions of dollars)
2002 actual

Identification code 91–0603–0–1–502

2003 est.

2004 est.

00.01
00.02

Obligations by program activity:
General support .............................................................
Howard University Hospital ............................................

207
30

211
30

207
30

10.00

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

237

241

237

21.40
22.00

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

4
237

4 ...................
237
237

23.90
23.95
24.40

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

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................

241
241
237
¥237
¥241
¥237
4 ................... ...................

237

72.40
73.10
73.20
74.40

Change in obligated balances:
Obligated balance, start of year ................................... ...................
Total new obligations ....................................................
237
Total outlays (gross) ......................................................
¥234
Obligated balance, end of year .....................................
4

4
241
¥230
15

15
237
¥237
15

86.90
86.93

Outlays (gross), detail:
Outlays from new discretionary authority .....................
234
Outlays from discretionary balances ............................. ...................

223
7

223
14

87.00

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

234

230

237

89.00
90.00

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

237
234

237
230

237
237

Howard University is a private, nonprofit educational institution consisting of 12 schools and colleges. Federal funds
are used to provide partial support for university programs
as well as for the teaching hospital facilities. In 2002, direct
Federal appropriations for general support represented approximately 59 percent of the university’s revenue.
f

COLLEGE HOUSING

AND

ACADEMIC FACILITIES LOANS PROGRAM
ACCOUNT

For Federal administrative expenses authorized under section 121
of the Higher Education Act of 1965, $774,000 to carry out activities
related to existing facility loans entered into under the Higher Education Act of 1965.
Note.—A regular 2003 appropriation for this account had not been enacted at the time
the budget was prepared; therefore, this account is operating under a continuing resolution
(P.L. 107–229, as amended). The amounts included for 2003 in this budget reflect the
Administration’s 2003 policy proposals.

HISTORICALLY BLACK COLLEGE AND UNIVERSITY CAPITAL FINANCING
PROGRAM ACCOUNT
The aggregate principal amount of outstanding bonds insured pursuant to section 344 of title III, part D of the Higher Education
Act of 1965 shall not exceed $355,000,000, and the cost, as defined
in section 502 of the Congressional Budget Act of 1974, of such bonds
shall not exceed zero.
For administrative expenses to carry out the Historically Black College and University Capital Financing Program entered into pursuant
to title III, part D of the Higher Education Act of 1965, as amended,
$210,000.
Note.—A regular 2003 appropriation for this account had not been enacted at the time
the budget was prepared; therefore, this account is operating under a continuing resolution
(P.L. 107–229, as amended). The amounts included for 2003 in this budget reflect the
Administration’s 2003 policy proposals.

Sfmt 3616

E:\BUDGET\EDU.XXX

EDU

OFFICE OF POSTSECONDARY EDUCATION—Continued
Federal Funds—Continued

DEPARTMENT OF EDUCATION
Program and Financing (in millions of dollars)
2002 actual

Identification code 91–0241–0–1–502

2003 est.

2004 est.

00.09

Obligations by program activity:
Federal administration ...................................................

10.00

Total new obligations (object class 99.5) ................

22.00
23.95

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

1
¥1

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................

72.40
73.10
73.20
74.40

Change in obligated balances:
Obligated balance, start of year ................................... ...................
1 ...................
Total new obligations ....................................................
1
1
1
Total outlays (gross) ......................................................
¥1
¥1
¥1
Obligated balance, end of year .....................................
1 ................... ...................

86.90

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

89.00
90.00

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

1
1

2002 actual

Identification code 91–0241–0–1–502

Direct loan levels supportable by subsidy budget authority:
115001 Historically Black Colleges and Universities .................
115901 Total direct loan levels ..................................................
Direct loan subsidy (in percent):
132001 Historically Black Colleges and Universities .................

Historically Black College and University Capital Financing
Program.—The Historically Black College and University
(HBCU) Capital Financing Program provides HBCUs with
access to capital financing for the repair, renovation, and
construction of classrooms, libraries, laboratories, dormitories,
instructional equipment, and research instrumentation. The
Higher Education Amendments of 1992 granted the Department authority to enter into insurance agreements with a
private for-profit Designated Bonding Authority to guarantee
no more than $375,000,000 in outstanding principal and unpaid accrued interest combined. The bonding authority issues
the loans and maintains an escrow account in which 5 percent
of each institution’s principal is deposited. This amount is
estimated to be sufficient to cover all potential delinquencies
and defaults. No subsidy appropriations are required. The
2004 budget provides funds for continuing Federal administrative activities only.
Personnel Summary

2003 est.

Total compensable workyears:
1001 Civilian full-time equivalent employment .....................

COLLEGE HOUSING

AND

ACADEMIC FACILITIES LOANS FINANCING
ACCOUNT

Program and Financing (in millions of dollars)
44

268

227

268

227

0.00

134901 Total subsidy outlays ..................................................... ................... ................... ...................
Direct loan downward reestimate subsidy budget authority:
137001 Downward reestimates subsidy budget authority ......... ................... ................... ...................

138901 Total downward reestimate subsidy outlays ................. ................... ................... ...................
Administrative expense data:
351001 Budget authority ............................................................
1
1 ...................
358001 Outlays from balances ................................................... ................... ................... ...................
359001 Outlays from new authority ...........................................
1 ................... ...................

The College Housing and Academic Facilities Loans Program and the Historically Black College and University Capital Financing Program are administered separately, but are
consolidated for presentation purposes.
College Housing and Academic Facilities Loans Program.—
Funds for this activity pay the Federal costs for administering
the College Housing and Academic Facilities Loans (CHAFL),
College Housing Loans (CHL), and Higher Education Facilities Loans (HEFL) programs. Prior to 1994, these programs
provided financing for the construction, reconstruction, and
renovation of housing, academic, and other educational facilities. Although no new loans have been awarded since fiscal
year 1993, costs for administering the outstanding loans will
remain through 2030.
PO 00000

Frm 00015

Fmt 3616

2002 actual

Identification code 91–4252–0–3–502

2003 est.

2004 est.

00.02

Obligations by program activity:
Interest paid to Treasury ...............................................

10.00

Total new obligations (object class 43.0) ................

22.00
23.95

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

2
¥2

1
¥1

New financing authority (gross), detail:
Mandatory:
69.00
Offsetting collections (cash) .....................................
69.47
Portion applied to repay debt ...................................

3
¥1

2
¥1

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

in obligated balances:
new obligations ....................................................
financing disbursements (gross) .........................
financing disbursements (gross) .........................

2
¥2
2

1
¥1
1

69.90

137901 Total downward reestimate budget authority ............... ................... ................... ...................
Direct loan downward reestimate subsidy outlays:
138001 Downward reestimates subsidy outlays ........................ ................... ................... ...................

Jkt 193833

2004 est.

133901 Total subsidy budget authority ...................................... ................... ................... ...................
Direct loan subsidy outlays:
134001 Historically Black Colleges and Universities ................. ................... ................... ...................

14:59 Jan 23, 2003

2003 est.

132901 Weighted average subsidy rate .....................................
0.00
0.00
0.00
Direct loan subsidy budget authority:
133001 Historically Black Colleges and Universities ................. ................... ................... ...................

VerDate Dec 13 2002

2002 actual

Identification code 91–0241–0–1–502

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)

337

73.10
73.20
87.00

Change
Total
Total
Total

Offsets:
Against gross financing authority and financing disbursements:
Offsetting collections (cash) from:
88.00
Federal sources .....................................................
Non-Federal sources:
88.40
Interest repayments ..........................................
88.40
Principal repayments ........................................

¥1 ................... ...................
¥1
¥1

¥1
¥1

88.90

Total, offsetting collections (cash) ..................

¥3

¥2

89.00
90.00

Net financing authority and financing disbursements:
Financing authority ........................................................
Financing disbursements ...............................................

¥1
¥1

The College Housing and Academic Facilities Loans Financing Account records all cash flows to and from the Government resulting from direct loans made in fiscal years 1992
and 1993.
Sfmt 3616

E:\BUDGET\EDU.XXX

EDU

338

OFFICE OF POSTSECONDARY EDUCATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2004

86.97
86.98

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

13
7

87.00

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

Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash) from:
Non-Federal sources:
88.40
Repayments of principal ..................................
88.40
Interest received on loans ................................

¥41
¥15

¥29
¥14

¥27
¥13

88.90

Total, offsetting collections (cash) ..................

¥56

¥43

¥40

89.00
90.00

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

¥43
¥36

¥36
¥29

¥27
¥27

General and special funds—Continued
COLLEGE HOUSING

AND ACADEMIC FACILITIES
ACCOUNT—Continued

LOANS FINANCING

Status of Direct Loans (in millions of dollars)
2002 actual

Identification code 91–4252–0–3–502

2003 est.

2004 est.

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

1210
1251
1290

Total direct loan obligations ..................................... ................... ................... ...................
Cumulative balance of direct loans outstanding:
Outstanding, start of year .............................................
25
Repayments: Repayments and prepayments ................. ...................
Outstanding, end of year ..........................................

25
24
¥1 ...................

Balance Sheet (in millions of dollars)
Identification code 91–4252–0–3–502

ASSETS:
Net value of assets related to post–
1991 direct loans receivable:
1401
Direct loans receivable, gross ............
1405
Allowance for subsidy cost (–) ...........
1499

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

1999

2001 actual

2002 actual

2003 est.

2004 est.

25
–2

24
–2

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

2999

Total liabilities ....................................

4999

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

COLLEGE HOUSING

AND

ACADEMIC FACILITIES LOANS LIQUIDATING
ACCOUNT

Program and Financing (in millions of dollars)
2002 actual

Identification code 91–0242–0–1–502

2003 est.

2004 est.

Obligations by program activity:
Interest paid to Treasury ...............................................

10.00

Total new obligations (object class 43.0) ................

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
3
New budget authority (gross) ........................................
13
Resources available from recoveries of prior year obligations .......................................................................
3
22.40 Capital transfer to general fund ................................... ...................
22.60 Portion applied to repay debt ........................................ ...................
21.40
22.00
22.10

23.90
23.95
24.40

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

New budget authority (gross), detail:
Mandatory:
60.00
Appropriation .............................................................
69.00 Offsetting collections (cash) .........................................
69.27 Capital transfer to general fund ...................................
69.47 Portion applied to repay debt ........................................
69.90
70.00

5 ...................
7
13
11 ...................
¥1 ...................
¥8 ...................

19
14
13
¥14
¥14
¥13
5 ................... ...................

7
43
¥3
¥40

5
40
¥1
¥31

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

11 ...................

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

Change in obligated balances:
72.40 Obligated balance, start of year ...................................
73.10 Total new obligations ....................................................
73.20 Total outlays (gross) ......................................................
73.45 Recoveries of prior year obligations ..............................
74.40 Obligated balance, end of year .....................................
VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

2
56
¥2
¥43

21
12 ...................
14
14
13
¥20
¥14
¥13
¥3
¥11 ...................
12 ................... ...................
PO 00000

Frm 00016

The College Housing and Academic Facilities Loans Liquidating Account records all cash flows to and from the Government resulting from direct loans made prior to 1992. This
account includes loans made under the College Housing and
Academic Facilities Loans, College Housing Loans, and Higher Education Facilities Loans programs, which continue to
be administered separately.
Status of Direct Loans (in millions of dollars)

Fmt 3616

2002 actual

Identification code 91–0242–0–1–502

2003 est.

2004 est.

CHAFL LIQUIDATING
Cumulative balance of direct loans outstanding:
1210 Outstanding, start of year .............................................
1231 Disbursements: Direct loan disbursements ...................
1251 Repayments: Repayments and prepayments .................

117
109
106
1 ................... ...................
¥9
¥3
¥3

1290

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

109

106

103

HIGHER EDUCATION FACILITIES LOANS
Cumulative balance of direct loans outstanding:
1210 Outstanding, start of year .............................................
1251 Repayments: Repayments and prepayments .................

24
¥2

22
¥1

21
¥2

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

COLLEGE HOUSING LOANS
Cumulative balance of direct loans outstanding:
1210 Outstanding, start of year .............................................
1251 Repayments: Repayments and prepayments .................

284
¥30

254
¥24

230
¥22

254

230

208

1290

00.02

7
13
7 ...................

1290

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

Statement of Operations (in millions of dollars)
2001 actual

2002 actual

CHAFL LIQUIDATING:
0111 Revenue ...................................................
0112 Expense ....................................................

9
–35

15
–17

9
–21

9
–14

0115

–26

–2

–12

–5

3
–2

3
–1

2
–1

Identification code 91–0242–0–1–502

Net income or loss (–) .......................
HIGHER EDUCATION FACILITIES LOANS:
0121 Revenue ...................................................
0122 Expense ....................................................
0125

2003 est.

2004 est.

Net income or loss (–) .......................
COLLEGE HOUSING LOANS:
0131 Revenue ...................................................
0132 Expense ....................................................

40
–91

38
–39

31
–40

29
–29

0135

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

–51

–1

–9

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

0191

Total revenues .........................................

0192

Total expenses .........................................

–128

–57

–62

–44

0195

Total income or loss (–) .........................

–76

–1

–19

–4

0199

Total comprehensive income ...................

–76

–1

–19

–4

Sfmt 3633

E:\BUDGET\EDU.XXX

EDU

OFFICE OF POSTSECONDARY EDUCATION—Continued
Trust Funds

DEPARTMENT OF EDUCATION
Balance Sheet (in millions of dollars)
Identification code 91–0242–0–1–502

ASSETS:
Net value of assets related to pre–1992
direct loans receivable and acquired defaulted guaranteed loans
receivable:
1601
Direct loans, gross ..............................
1602
Interest receivable ..............................
1699

Value of assets related to direct
loans ..........................................

1999

2003 est.

339

the FFB and supported by the Department of Education with
a letter of credit create the equivalent of a Federal direct
loan. HBCU bonds are also available for purchase by the
private sector, and these will be treated as loan guarantees.
However, the Department anticipates that all HBCU loans
will be financed by the FFB.

2001 actual

2002 actual

2004 est.

425
6

385
6

357
6

330
5

431

391

363

335

Status of Direct Loans (in millions of dollars)
2002 actual

Identification code 91–4255–0–3–502

Position with respect to appropriations act limitation
on obligations:
1111 Limitation on direct loans .............................................
1142 Unobligated direct loan limitation (¥) ........................

296
¥252

2003 est.

2004 est.

268
227
¥228 ...................

Total assets ........................................
LIABILITIES:
Federal liabilities:
2103
Debt .....................................................
2104
Resources payable to Treasury ...........

431

391

363

335

236
195

192
199

143
220

112
223

1150

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

227

2999

Total liabilities ....................................

431

391

363

335

4999

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

431

391

363

335

1210
1231
1251

31
40
¥2

69
21
¥1

89
41
¥1

1290

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

129

HISTORICALLY BLACK COLLEGE AND UNIVERSITY CAPITAL FINANCING
DIRECT LOAN FINANCING ACCOUNT

Identification code 91–4255–0–3–502

Program and Financing (in millions of dollars)
2002 actual

Identification code 91–4255–0–3–502

2003 est.

2004 est.

Obligations by program activity:
00.01 Direct Loan Awards ........................................................
00.02 Interest paid to Treasury ...............................................

44
2

40
2

40
5

10.00

Total new obligations (object class 43.0) ................

Budgetary resources available for obligation:
22.00 New financing authority (gross) ....................................
22.10 Resources available from recoveries of prior year obligations .......................................................................
22.60 Portion applied to repay debt ........................................
22.70 Balance of authority to borrow withdrawn ....................

14 ................... ...................
¥2 ................... ...................
¥20 ................... ...................

23.90
23.95

46
¥46

Total budgetary resources available for obligation
Total new obligations ....................................................

New financing authority (gross), detail:
Mandatory:
67.10
Authority to borrow ....................................................
50
69.00 Offsetting collections (cash) .........................................
4
69.47 Portion applied to repay debt ........................................ ...................

Balance Sheet (in millions of dollars)

42
¥42

45
¥45

ASSETS:
1101 Federal assets: Fund balances with
Treasury ...............................................
Net value of assets related to post–
1991 direct loans receivable:
1401
Direct loans receivable, gross ............
1402
Interest receivable ..............................
1499

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

1999

Total assets ........................................
LIABILITIES:
Federal liabilities:
2102
Interest payable ..................................
2103
Debt .....................................................

2001 actual

2002 actual

2003 est.

2004 est.

31
..................

69
3

89
3

129
4

133

131

171

..................
61

3
89

3
128

4
167

2999

Total liabilities ....................................

131

171

4999

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

131

171

40
3
¥1

40
6
¥1

Trust Funds

69.90

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

70.00

Total new financing authority (gross) ......................

NATIONAL SECURITY EDUCATION TRUST FUND
(Legislative proposal, not subject to PAYGO)
Program and Financing (in millions of dollars)

Change in obligated balances:
72.40 Obligated balance, start of year ...................................
73.10 Total new obligations ....................................................
73.20 Total financing disbursements (gross) .........................
73.45 Recoveries of prior year obligations ..............................
74.40 Obligated balance, end of year .....................................
87.00 Total financing disbursements (gross) .........................

30
20
39
46
42
45
¥42
¥23
¥46
¥14 ................... ...................
20
39
38
42
23
46

Offsets:
Against gross financing authority and financing disbursements:
Offsetting collections (cash) from:
Non-Federal sources:
88.40
Interest repayments ..........................................
88.40
Principal repayments ........................................

¥2
¥2

¥2
¥1

¥5
¥1

88.90

¥4

¥3

¥6

Total, offsetting collections (cash) ..................

Net financing authority and financing disbursements:
89.00 Financing authority ........................................................
90.00 Financing disbursements ...............................................

50
37

39
20

39
40

The Federal Financing Bank (FFB) purchases bonds issued
by the HBCU Designated Bonding Authority. Under the policies governing Federal credit programs, bonds purchased by
VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

PO 00000

Frm 00017

Fmt 3616

2002 actual

Identification code 91–8261–2–7–054

2003 est.

2004 est.

00.01

Obligations by program activity:
National Security Education Trust Fund ........................ ................... ...................

10.00

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

22.00
23.95

8
¥8

New budget authority (gross), detail:
Discretionary:
40.26
Appropriation (trust fund) ......................................... ................... ...................

73.10
73.20
74.40

8
¥2
6

86.90

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

89.00

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

Sfmt 3643

E:\BUDGET\EDU.XXX

EDU

340

OFFICE OF POSTSECONDARY EDUCATION—Continued
Trust Funds—Continued

THE BUDGET FOR FISCAL YEAR 2004
23.90
23.95
23.98
24.40

NATIONAL SECURITY EDUCATION TRUST FUND—Continued
Program and Financing (in millions of dollars)—Continued
2002 actual

Identification code 91–8261–2–7–054

90.00

2003 est.

2004 est.

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

The budget proposes moving this program from the Department of Defense.
Object Classification (in millions of dollars)
2002 actual

Identification code 91–8261–2–7–054

2003 est.

2004 est.

11.1
25.2
41.0

Personnel compensation: Full-time permanent ............. ................... ...................
Other services ................................................................ ................... ...................
Grants, subsidies, and contributions ............................ ................... ...................

1
1
6

99.9

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

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................

2002 actual

1001

2003 est.

2004 est.

Total compensable workyears:
Civilian full-time equivalent employment ..................... ................... ...................

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

4,250
8,119

4,389
8,963

4,985
8,381

87.00

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

12,369

13,352

13,366

89.00
90.00

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

13,286
12,369

12,768
13,352

14,519
13,366

2002 actual

Cumulative balance of direct loans outstanding:
1210 Outstanding, start of year .............................................
1251 Repayments: Repayments and prepayments .................
Write-offs for default:
1263
Direct loans ...............................................................
1264
Other adjustments, net .............................................

Federal Funds
STUDENT FINANCIAL ASSISTANCE
For carrying out subparts 1, and 3 of part A, part C and part
E of title IV of the Higher Education Act of 1965, as amended,
$14,518,500,000, which shall remain available through September 30,
2005.
The maximum Pell Grant for which a student shall be eligible
during award year 2004–2005 shall be $4,000: Provided, That notwithstanding section 401(g) of the Act, if the Secretary determines,
prior to publication of the payment schedule for such award year,
that the amount included within this appropriation for Pell Grant
awards in such award year, and any funds available from the fiscal
year 2003 appropriation for Pell Grant awards, are insufficient to
satisfy obligations, the Secretary may reduce the amount paid for
each such award by either a fixed or variable percentage, or by a
fixed dollar amount, as determined in accordance with a schedule
of reductions established by the Secretary for this purpose.
Note.—A regular 2003 appropriation for this account had not been enacted at the time
the budget was prepared; therefore, this account is operating under a continuing resolution
(P.L. 107–229, as amended). The amounts included for 2003 in this budget reflect the
Administration’s 2003 policy proposals.

Program and Financing (in millions of dollars)
2002 actual

10.00

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

21.40
22.00
22.10

VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

7,153
8,226
6,761
13,628
11,887
12,609
¥12,369
¥13,352
¥13,366
¥103 ................... ...................
¥81 ................... ...................
8,226
6,761
6,004

Status of Direct Loans (in millions of dollars)

General and special funds:

Subtotal, Campus-based activities ......................
Leveraging educational assistance partnership ...........
Loan forgiveness for child care providers .....................

14,519

86.90
86.93

Identification code 91–0200–0–1–502

02.91
03.01
04.01

12,768

OFFICE OF STUDENT FINANCIAL
ASSISTANCE

Obligations by program activity:
Federal Pell grants:
01.01
Federal Pell grants ....................................................
Campus-based aid:
02.01
Federal supplemental educational opportunity
grants (SEOG) .......................................................
02.02
Federal work-study ....................................................
02.03
Federal Perkins loans: Federal capital contributions
02.05
Federal Perkins loans: Loan cancellations ...............

13,286

Identification code 91–0200–0–1–502

14,655
13,794
16,425
¥13,628
¥11,887
¥12,609
¥1 ................... ...................
1,026
1,906
3,816

72.40
73.10
73.20
73.40
73.45
74.40

Personnel Summary
Identification code 91–8261–2–7–054

11,639

727
1,024
102
68

2003 est.

9,980

2004 est.

10,805

726
725
1,012
1,011
100 ...................
68
68

1,921
1,906
1,804
67 ................... ...................
1
1 ...................
13,628

11,887

12,609

1,288
13,286

1,026
12,768

1,906
14,519

81 ................... ...................
PO 00000

Frm 00018

Fmt 3616

1290
1 Includes

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

2003 est.

2004 est.

384
¥78

321
¥39

284
¥42

¥20
35

¥22
24

¥23
24

321

284

243

in all years institutional matching share of defaulted notes assigned from institutions to the Education

Department.

The Administration’s 2004 budget for the SFA account is
$14.519 billion. Together with matching funds (less allowable
administrative costs), this level of funding would provide
nearly 7.5 million awards totalling more than $17 billion in
available aid.
Federal Pell Grants.—Undergraduate students establish eligibility for these grants under award and need determination
rules set out in the authorizing statute and the annual appropriations act.
The Administration proposes $12.715 billion for Pell Grants
in the 2004 Budget.
In recent years, the number of Pell Grant recipients has
grown much faster than historical trends would predict (as
has college enrollment overall). Specifically, from 2000 to
2002, the number of Pell recipients increased by nearly 25
percent, compared with a 5 percent growth rate from 1997
to 1999. Much of this unanticipated increase was due to more
independent students receiving Pell Grants (generally, independent students are older students who do not depend on
their parent or guardian to pay for college). Many of these
students attend community colleges and career training institutions and predominantly use Pell Grants and other student
aid to help pay for job training or retraining. So, while Pell
Grants remain the single largest source of grant aid for traditional college students, they are also the single largest source
of federal support for persons in need of training or retraining
for new careers.
As a result of this unexpected growth, as well as a $700
increase in the maximum grant from 2000 to 2002, Pell Grant
appropriations for the past few years have been insufficient
to fully cover annual program costs. This budget provides
$12.7 billion for Pell Grants to retire the shortfall related
to the 2002–2003 award year and maintain a $4,000 maximum award for the growing numbers of students eligible
for Pell Grants.
Sfmt 3616

E:\BUDGET\EDU.XXX

EDU

OFFICE OF STUDENT FINANCIAL ASSISTANCE—Continued
Federal Funds—Continued

DEPARTMENT OF EDUCATION

As part of the Administration’s efforts to keep the Pell
Grant program on a solid financial foundation, the budget
also proposes to allow the Internal Revenue Service to match
income data on student aid applications with the applicant’s
tax data to ensure that students do not receive awards in
excess of the amount for which they are eligible. This is
one component of the Administration’s effort to reduce erroneous payments government-wide. This proposal is projected
to save $638 million in Pell Grant costs over 2003–2004,
significantly reducing existing funding shortfalls.
Campus-based programs.—The Federal Supplemental Educational Opportunity Grants, Federal Work-Study, and Federal Perkins Loan programs are called the ‘‘campus-based’’
programs because participating institutions are responsible
for administering the programs on their own campuses. These
programs provide aid administrators with considerable flexibility in the packaging of financial aid awards to best meet
the needs of students.
Federal Supplemental Educational Opportunity Grants
(SEOG).—Federal funds are awarded by formula to qualifying
institutions, which use these funds to award grants to undergraduate students. While institutions have discretion in
awarding these funds, they are required to give priority to
Pell Grant recipients and other students with exceptional
need. The Federal share of such grants may not exceed 75
percent of the total grant. The Administration proposes $725
million for the SEOG program in 2004. This level of funding
would provide approximately $918 million in available aid
to an estimated 1.2 million needy students.
Federal Work-Study.—Federal funds are awarded by formula to qualifying institutions, which develop and provide
part-time jobs for eligible undergraduate and graduate students with demonstrated need. Hourly earnings under the
program must be at least equal to the Federal minimum
wage. Federal funding in most cases pays 75 percent of a
student’s hourly wages, with the remaining 25 percent paid
by the employer. The Administration proposes $1.011 billion
for the Work-Study program, which will provide $1.2 billion
in aid to over one million students.
Perkins Loan Program.—Institutions award low-interest
loans from institutional revolving funds, which are comprised
of Federal Capital Contributions, institutional matching
funds, and student repayments on outstanding loans. The
Administration proposes no new budget authority for the Perkins loan program in 2004. Repayments of existing Perkins
Loans into Federal revolving funds held at institutions will
continue to support more than $1 billion in new Perkins
Loans in 2004. In addition, given the existence of the Federal
Family Education Loan and Ford Direct Student Loan programs, as well as the current interest rate environment, including the statutory shift to a fixed rate of 6.8 percent for
most student loans beginning in 2006, additional Federal capital contributions are not necessary to assure the availability
of affordable aid for students.
Perkins Loan Program—Cancellations.—Under the Perkins
Loan cancellation program, institutional revolving funds are
reimbursed for indebtedness canceled as a result of a borrower engaging in certain public service activities, as specified
in the Higher Education Act. Amendments to the Higher Education Act in 1992 and 1998 greatly expanded the number
of borrowers with loans eligible for cancellation. The Administration’s budget proposal for Perkins Loan cancellations is
$67.5 million.
Funding Tables.—The following tables display student aid
funds available, the number of aid awards, average awards,
and the unduplicated count of recipients from any Federal
student aid program. The tables include the aid from programs in the Student Financial Assistance account, as well
as aid from the Federal Family Education Loan (FFEL) program, and the William D. Ford Federal Direct Loan program.
VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

PO 00000

Frm 00019

Fmt 3616

341

Loan amounts reflect the capital actually loaned, not the Federal cost of those loans. The data in these tables include
the effects of matching funds wherever applicable.
AID FUNDS AVAILABLE FOR POSTSECONDARY EDUCATION AND TRAINING
[in thousands]
2002

2003

2004

11,619,188

11,479,134

11,405,127

13,441,179
11,975,791
3,188,637

14,559,712
13,440,125
3,536,521

15,340,294
14,673,794
3,930,767

5,764,737
4,480,553
1,443,527

6,177,087
4,988,117
1,598,059

6,476,364
5,394,484
1,765,358

22,693,425
8,844,598

16,985,715
7,425,136

12,998,927
6,097,974

Pell grants ...................................................................................
Student loans:
Guaranteed student loans:
Stafford loans .....................................................................
Unsubsidized Stafford loans ..............................................
PLUS ...................................................................................
Direct student loans:
Stafford loans .....................................................................
Unsubsidized Stafford loans ..............................................
PLUS ...................................................................................
Consolidation:
FFEL ....................................................................................
Direct Loans .......................................................................
Student loans, subtotal .............................................
Work-study ...................................................................................
Supplemental educational opportunity grants ............................
Perkins loans ...............................................................................
Leveraging educational assistance partnership .........................
Loan forgiveness for child care providers ..................................

71,832,446 68,710,471 66,677,961
1,212,993 1,212,993 1,212,993
917,722
917,722
917,722
1,264,889 1,264,889 1,136,684
171,000 .................... ....................
1,000
1,000 ....................

Total aid available ....................................................

87,019,237

83,586,208

81,350,486

2003

2004

NUMBER OF AID AWARDS
[In thousands]
2002

Pell grants ...................................................................................
Guaranteed student loans:
Stafford loans .........................................................................
Unsubsidized Stafford loans ...................................................
PLUS ........................................................................................
Consolidation ..........................................................................
Direct student loans:
Stafford loans .........................................................................
Unsubsidized Stafford loans ...................................................
PLUS ........................................................................................
Consolidation ..........................................................................
Work-study ...................................................................................
Supplemental educational opportunity grants ............................
Perkins loans ...............................................................................
Leveraging Educational Assistance Partnership .........................
Total awards ..................................................................

4,639

4,740

4,814

3,084
2,199
334
308

3,269
2,330
353
222

1,324
878
153
357
1,073
1,189
707
171

1,399
929
161
256
1,073
1,189
707
0

1,399
929
161
256
1,073
1,189
635
0

16,416

16,626

16,628

Note: Detail may not add to totals due to rounding.
*Fewer than 500 recipients

AVERAGE AID AWARDS
[In whole dollars]
2002

Pell grants ...................................................................................
Guaranteed student loans:
Stafford loans .........................................................................
Unsubsidized Stafford loans ...................................................
PLUS ........................................................................................
SLS ..........................................................................................
Consolidation ..........................................................................
Direct student loans:
Stafford loans .........................................................................
Unsubsidized Stafford loans ...................................................
PLUS ........................................................................................
Consolidation ..........................................................................
Work-study ...................................................................................
Supplemental educational opportunity grants ............................
Perkins loans ...............................................................................
Leveraging Educational Assistance Partnership .........................

2003

2004

2,505

2,422

2,369

3,391
4,120
7,894
0
31,246

3,402
4,180
8,359
0
29,712

3,414
4,219
8,854
0
29,845

3,603
3,999
7,692
24,286
1,135
772
1,790
1,000

3,680
4,114
8,181
21,926
1,135
772
1,790
0

3,693
4,144
8,659
21,996
1,135
772
1,790
0

8,855

9,241

NUMBER OF STUDENTS AIDED
(In thousands)

Unduplicated student count ........................................................

8,385

The following table displays institutional administrative
costs paid from program funds.
Sfmt 3616

E:\BUDGET\EDU.XXX

EDU

OFFICE OF STUDENT FINANCIAL ASSISTANCE—Continued
Federal Funds—Continued

342

THE BUDGET FOR FISCAL YEAR 2004

General and special funds—Continued
STUDENT FINANCIAL ASSISTANCE—Continued
ADMINISTRATIVE PAYMENTS TO INSTITUTIONS
[In thousands of dollars]
2002

Pell grants ...................................................................................
Work-study ...................................................................................
Supplemental educational opportunity grants ............................
Perkins loans ...............................................................................

2003

23,195
75,815
36,709
50,596

2004

23,700
75,815
36,709
50,596

24,070
75,815
36,709
45,467

The following table displays the status of defaulted Perkins
loans held by the Department and by institutions.
DEFAULTED PERKINS LOANS
(In millions of dollars)

Outstanding defaulted loans, beginning of year:
Assigned defaulted loans 1 .....................................................
Unassigned defaulted loans 2 .................................................
New defaulted loans ...................................................................
Collections on assigned loans ....................................................
Collections on unassigned loans ................................................
Write-offs for assigned loans .....................................................
Write-offs for unassigned loans .................................................

2002 actual

384
956
155
–78
–107
–20
–10

321
960
149
–39
–112
–22
–10

284
963
155
–42
–117
–23
–9

Outstanding defaulted loans, end of year ..................................

1,280

1,247

1,210

1 Permanently
2 Unassigned

2003 est.

2004 est.

assigned to the Federal Government for collection.
loans at institutions.
f

STUDENT AID ADMINISTRATION
For Federal administrative expenses to carry out part D of title
I; subparts 1, 3, and 4 of part A; and parts B, C, D, and E of
title IV of the Higher Education Act of 1965, as amended,
$947,010,000, which shall remain available through September 30,
2005, of which not more than $195,000,000 shall be for account maintenance fees for fiscal year 2004 that are payable to guaranty agencies
under part B and are calculated in accordance with section 458 of
the Act.
Note.—A regular 2003 appropriation for this account had not been enacted at the time
the budget was prepared; therefore, this account is operating under a continuing resolution
(P.L. 107–229, as amended). The amounts included for 2003 in this budget reflect the
Administration’s 2003 policy proposals.

Program and Financing (in millions of dollars)
2002 actual

Identification code 91–0202–0–1–502

2003 est.

2004 est.

00.01

Obligations by program activity:
Student aid administration ........................................... ...................

932

947

10.00

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

932

947

22.00
23.95

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

932
¥932

947
¥947

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation ............................................................. ...................

947

................... ...................
...................
932
...................
¥599
...................
333

333
947
¥834
446

Outlays (gross), detail:
86.90 Outlays from new discretionary authority ..................... ...................
599
86.93 Outlays from discretionary balances ............................. ................... ...................

608
226

87.00

834

Object Classification (in millions of dollars)
2002 actual

Identification code 91–0202–0–1–502

11.1
11.5
11.9
12.1
21.0
23.1
23.3
24.0
25.1
25.2
25.3
25.7
26.0
31.0
32.0
41.0

599

86
3

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

85
19
3
16
53
9
7
31

89
19
4
16
55
9
7
39

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

7
502
1
3
1
195

9
499
1
3
2
195

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

932

947

Total personnel compensation ..............................
Civilian personnel benefits ............................................
Travel and transportation of persons ............................
Rental payments to GSA ................................................
Communications, utilities, and miscellaneous charges
Printing and reproduction ..............................................
Advisory and assistance services ..................................
Other services ................................................................
Other purchases of goods and services from Government accounts ...........................................................
Operation and maintenance of equipment ...................
Supplies and materials .................................................
Equipment ......................................................................
Land and structures ......................................................
Grants, subsidies, and contributions ............................

Personnel Summary
2002 actual

99.00
99.01

932
599

947
834

Additional net budget authority and outlays to cover cost of fully accruing retirement:
Budget authority ............................................................ ...................
4
Outlays ........................................................................... ...................
4

VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

PO 00000

Frm 00020

4
4

Fmt 3616

2003 est.

Total compensable workyears:
1001 Civilian full-time equivalent employment ..................... ...................

1,115

2004 est.

1,115

FEDERAL STUDENT LOAN RESERVE FUND
Program and Financing (in millions of dollars)
2002 actual

Identification code 91–4257–0–3–502

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

2004 est.

83
2

Identification code 91–0202–0–1–502

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

2003 est.

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

99.9
932

72.40
73.10
73.20
74.40

The Department of Education manages Federal student aid
programs that will provide over $67 billion in Federal student
aid grants and loans to over 8 million students and parents
in 2004. Primary responsibility for administering these programs lies with the Office of Postsecondary Education and
the performance-based Office of Student Financial Assistance
(SFA). SFA was created by Congress in 1998 with a mandate
to improve service to students and other student aid program
participants, reduce the cost of student aid administration,
and improve accountability and program integrity.
The Department’s student aid administrative activities are
funded from four main sources: (1) funds appropriated on
a permanent basis under section 458 of the Higher Education
Act; (2) a portion of the Department’s general Program Administration funds; (3) a discretionary appropriation partially
supporting administrative activities associated with the Federal Family Education Loan (FFEL) program; and (4) permanent funds from the Direct Loan program subsidy account
supporting the origination of Direct Consolidation Loans. Student aid administrative funds totaled $932 million in the
2003 President’s Budget, $195 million of which supported the
payment of account maintenance fees to FFEL guaranty agencies.
The budget for 2004 includes $947 million for student aid
administration. In order to improve accountability and simplify program oversight and operations, the Administration
is proposing to consolidate funding for student aid administrative activities into a single discretionary account. Funding
levels for this account will be based on a workload-based
methodology consistent with the goals of the performancebased organization.

2003 est.

2004 est.

01.02

Obligations by program activity:
Obligations, non-federal ................................................

4,477

4,911

5,780

10.00

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

4,477

4,911

5,780

21.40

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year

2,462

1,169

1,071

Sfmt 3643

E:\BUDGET\EDU.XXX

EDU

OFFICE OF STUDENT FINANCIAL ASSISTANCE—Continued
Federal Funds—Continued

DEPARTMENT OF EDUCATION
22.00
22.40

New budget authority (gross) ........................................
Capital transfer to general fund ...................................

4,269
4,813
5,684
¥1,085 ................... ...................

23.90
23.95
24.40

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

5,646
¥4,477
1,169

New budget authority (gross), detail:
Mandatory:
69.00
Offsetting collections (cash) .....................................

73.10
73.20

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

5,982
¥4,911
1,071

6,755
¥5,780
975

Credit accounts:
FEDERAL DIRECT STUDENT LOAN PROGRAM, PROGRAM ACCOUNT
Program and Financing (in millions of dollars)

4,813

4,477
¥4,477

4,911
¥4,911

5,684

5,780
¥5,780

00.05
00.06
00.09

4,269
208

4,813
98

5,684
96

87.00

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

4,477

4,911

5,780

21.40
22.00
22.10

Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash) from:
88.00
Federal sources .....................................................
88.40
Non-Federal sources .............................................

¥3,919
¥350

¥4,497
¥316

¥5,300
¥384

23.90
23.95
24.40

88.90

¥4,269

¥4,813

¥5,684

89.00
90.00

The Higher Education Amendments of 1998 clarified that
reserve funds held by public and non-profit guaranty agencies
participating in the Federal Family Education Loan (FFEL)
program are Federal property. These reserves are used to
pay default claims from FFEL lenders and fees to support
agency efforts to successfully avert defaults. The Federal Government reimburses these reserves for default claim payments. In addition, optional borrower guarantee fees are deposited into the reserves (agencies may charge borrowers up
to 1 percent of loan principal as a guarantee fee). The following schedules reflect the balances in these guaranty agency funds.

62.50
69.00
69.27

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

231

–208

–98

–96

87.00

2003 est.

1,169

1,071

975

1999

2,462

1,169

1,071

975

2,462

1,169

1,071

975

Total assets ........................................
NET POSITION:
3300 Cumulative results of operations ............
3999

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

2,462

1,169

1,071

975

4999

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

2,462

1,169

1,071

975

Object Classification (in millions of dollars)
2002 actual

Identification code 91–4257–0–3–502

2003 est.

2004 est.

41.0
42.0

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

418
4,059

253
4,658

271
5,509

99.9

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

4,477

4,911

5,780

Frm 00021

Fmt 3616

VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

PO 00000

795
919
¥919

780

4,591 ...................

340
302
70
800
4,591 ...................
¥819
¥4,822
¥80
¥19 ................... ...................
302
70
¥10

¥511
¥193
511
273

819

4,822

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

¥722

¥488

¥919

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

58
97

4,103
4,334

¥919
¥839

89.00
90.00
2,462

5,386
488
¥488

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

2004 est.

ASSETS:
1101 Federal assets: Fund balances with
Treasury ...............................................

795
795
4,591 ...................

Outlays (gross), detail:
Outlays from new discretionary authority ..................... ...................
¥510
Outlays from discretionary balances ............................. ................... ...................
Outlays from new mandatory authority .........................
578
5,100
Outlays from mandatory balances ................................
241
232

0105

2002 actual

780
722
¥722

¥795

5,684
–5,780

2001 actual

Appropriation (total mandatory) ...........................
Offsetting collections (cash) .........................................
Capital transfer to general fund ...................................

¥795

72.40
73.10
73.20
73.45
74.40

4,813
–4,911

Identification code 91–4257–0–3–502

814
4,591 ...................
¥800
¥4,591 ...................
14 ................... ...................

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

4,269
–4,477

Balance Sheet (in millions of dollars)

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

70.00

3,826
–3,595

2004 est.

4,591 ...................

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

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

2003 est.

800

69.90

0101
0102

2002 actual

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

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation ............................................................. ...................
Mandatory:
Appropriation:
60.00
Appropriation .........................................................
780
60.00
Appropriation (indefinite)—Upward reestimate ... ...................

86.90
86.93
86.97
86.98

2001 actual

2004 est.

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
15
14 ...................
New budget authority (gross) ........................................
780
4,591 ...................
Resources available from recoveries of prior year obligations .......................................................................
19 ................... ...................
22.40 Capital transfer to general fund ................................... ...................
¥14 ...................

Statement of Operations (in millions of dollars)
Identification code 91–4257–0–3–502

2003 est.

Obligations by program activity:
Upward Restimate Principal .......................................... ...................
3,721 ...................
Interest on Upward Reestimate ..................................... ...................
870 ...................
Student Loan Administrative Expenses .........................
800 ................... ...................

10.00
Outlays (gross), detail:
86.97 Outlays from new mandatory authority .........................
86.98 Outlays from mandatory balances ................................

Total, offsetting collections (cash) ..................

2002 actual

Identification code 91–0243–0–1–502

4,269

343

99.00
99.01

Additional net budget authority and outlays to cover cost of fully accruing retirement:
Budget authority ............................................................ ................... ................... ...................
Outlays ........................................................................... ................... ................... ...................

Summary of Budget Authority and Outlays
(in millions of dollars)

Enacted/requested:
2002 actual
2003 est.
Budget Authority .....................................................................
58
4,103
Outlays ....................................................................................
97
4,334
Legislative proposal, subject to PAYGO:
Budget Authority ..................................................................... .................... ....................
Outlays .................................................................................... .................... ....................
Total:
Budget Authority .....................................................................
Outlays ....................................................................................
Sfmt 3647

E:\BUDGET\EDU.XXX

EDU

58
97

4,103
4,334

2004 est.

–919
–839
53
53
–866
–786

344

OFFICE OF STUDENT FINANCIAL ASSISTANCE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2004

Credit accounts—Continued
FEDERAL DIRECT STUDENT LOAN PROGRAM, PROGRAM ACCOUNT—
Continued
Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
2002 actual

Identification code 91–0243–0–1–502

2003 est.

2004 est.

5,722
4,626
1,491
9,325

6,613
5,497
1,732
7,497

6,933
5,946
1,914
6,161

21,164

21,339

20,954

3.63
¥12.05
¥8.89
¥3.78

0.29
¥12.38
¥12.83
2.59

¥0.12
¥14.91
¥14.72
1.13

132901 Weighted average subsidy rate .....................................
Direct loan subsidy budget authority:
133001 Stafford ..........................................................................
133002 Unsubsidized Stafford ....................................................
133003 PLUS ...............................................................................
133004 Consolidated ..................................................................

¥3.95

¥3.23

¥5.28

208
¥557
¥133
¥353

19
¥681
¥222
194

¥8
¥887
¥282
70

133901 Total subsidy budget authority ......................................
Direct loan subsidy outlays:
134001 Stafford ..........................................................................
134002 Unsubsidized Stafford ....................................................
134003 PLUS ...............................................................................
134004 Consolidated ..................................................................

¥835

¥690

¥1,107

247
¥501
¥119
¥349

73 ...................
¥578
¥748
¥175
¥241
191
70

134901 Total subsidy outlays .....................................................
Direct loan upward reestimate subsidy budget authority:
135001 Stafford ..........................................................................
135002 Unsubsidized Stafford ....................................................
135003 PLUS ...............................................................................
135004 Consolidated ..................................................................

¥722

¥489

¥919

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

1,538
3,141
603
73

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

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

5,355 ...................

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

1,538
3,141
603
73

115901 Total direct loan levels ..................................................
Direct loan subsidy (in percent):
132001 Stafford ..........................................................................
132002 Unsubsidized Stafford ....................................................
132003 PLUS ...............................................................................
132004 Consolidated ..................................................................

135901 Total upward reestimate budget authority ....................
Direct loan upward reestimate subsidy outlays:
136001 Stafford ..........................................................................
136002 Unsubsidized Stafford ....................................................
136003 PLUS ...............................................................................
136004 Consolidated ..................................................................

136901 Total upward reestimate outlays ................................... ...................
Direct loan downward reestimate subsidy budget authority:
137001 Stafford .......................................................................... ...................
137004 Consolidated .................................................................. ...................

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

5,355 ...................
¥32 ...................
¥732 ...................

137901 Total downward reestimate budget authority ............... ...................
Direct loan downward reestimate subsidy outlays:
138001 Stafford .......................................................................... ...................
138004 Consolidated .................................................................. ...................

¥764 ...................

138901 Total downward reestimate subsidy outlays ................. ...................

¥764 ...................

Student loan administrative expense data:
351001 Budget authority ............................................................
359001 Outlays ...........................................................................

¥32 ...................
¥732 ...................

804 ................... ...................
819
232
80

The Federal Government operates two major student loan
programs: the Federal Family Education Loan (FFEL) program—formerly the Guaranteed Student Loan (GSL) program—and the William D. Ford Federal Direct Loan (Direct
Loan) program. For 2004, the President is committed to improving the efficiency of both programs and allowing individual institutions to choose which of these two programs
best meets their needs and the needs of their students.
This summary section outlines the structure of these two
programs, highlights their differences and similarities, and
provides text tables displaying program cost data; loan volume, subsidy, default, and interest rates; and other descriptive information. As part of his 2004 budget, the President
is proposing a change to the loan forgiveness provisions of
the Direct Loan and FFEL programs. This proposal is discussed as part of this program description.
VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

PO 00000

Frm 00022

Fmt 3616

From its inception in 1965 through 2001, the FFEL program has provided over $347 billion in loans to postsecondary
students and their parents. Since July 1, 1994, the Direct
Loan program has provided $92 billion in new and consolidation loans to students and parents. Taken together, the FFEL
and Direct Loan programs will make more than $44 billion
in new loans available in 2003. Because funding for these
two programs is provided on a permanent indefinite basis,
for budget purposes they are considered separately from other
Federal student financial assistance programs. The FFEL and
Direct Loan programs should be viewed in combination with
these other programs, however as part of the overall Federal
effort to ensure access to higher education.
Loan capital in the FFEL program is provided by private
lenders. State and private nonprofit guaranty agencies act
as agents of the Federal Government, providing a variety
of services including collection of some defaulted loans, default
avoidance activities, and counseling to schools, students, and
lenders. The Government provides substantial payments to
these guaranty agencies. The Government also pays interest
subsidies to lenders for certain borrowers, as well as most
costs associated with loan defaults and other write-offs.
The Direct Loan program was created by the Student Loan
Reform Act of 1993. Under this program, the Federal Government provides loan funds to postsecondary institutions directly or through an alternative originator. The Direct Loan
program began operation in academic year 1994–1995 with
7 percent of overall loan volume and is expected to account
for 30 percent in academic year 2002–2003. All eligible institutions are free to participate in either the Direct Loan or
FFEL program.
The Direct Loan and FFEL programs share many basic
elements. Each program offers four types of loans: Stafford,
Unsubsidized Stafford, PLUS for parents, and Consolidation.
Evidence of financial need is required for a student to receive
a subsidized Stafford loan. The other three loan programs
are available to borrowers at all income levels. Loans can
be used only to meet qualified educational expenses.
The borrower interest rate for new Stafford Loans equals
the 91-day Treasury bill rate plus 1.7 percent during inschool, grace, and deferment periods, and the 91-day Treasury
bill plus 2.3 percent at all other times, with a cap of 8.25
percent, adjusted annually. Interest payments for these loans
are fully subsidized by the Government while a student is
in school and during grace and deferment periods. Unsubsidized Stafford loans carry the same borrower interest rate
as Stafford loans, but have no interest subsidy. For new PLUS
loans, the borrower interest rate equals the 91-day Treasury
bill rate plus 3.1 percent, with a cap of 9 percent and no
interest subsidy.
In the FFEL program, lenders may receive an interest subsidy, called a special allowance, from the Government to ensure a guaranteed rate of return on their loans. Special allowance payments vary by loan type, are determined quarterly,
and are based on current borrower interest rates and marketyield formulas. For new Stafford and Unsubsidized Stafford
loans, for example, the Federal Government must pay lenders
a special allowance if the average 3-month commercial paper
rate for a given quarter plus 2.34 percent—or 1.74 percent
during in-school, grace, or deferment periods—is higher than
the current interest rate charged borrowers.
Consolidation loans allow borrowers to combine loans made
under Title IV of the Higher Education Act—FFEL, Direct
Loans, and Perkins Loans—as well as some loans made under
the Public Health Service Act. The interest rate for new FFEL
and Direct Consolidation loans equals the weighted average
of the interest rate on the loans consolidated, rounded up
to the nearest one-eighth of one percent. Lenders may choose
to offer a lower rate. Interest rates for all new FFEL and
Direct Consolidation Loans are capped at 8.25 percent.
Sfmt 3616

E:\BUDGET\EDU.XXX

EDU

OFFICE OF STUDENT FINANCIAL ASSISTANCE—Continued
Federal Funds—Continued

DEPARTMENT OF EDUCATION

FFEL borrowers pay an origination fee to the Government
equal to 3 percent of principal, and are also liable for a
guaranty agency insurance premium of up to 1 percent of
principal. Guaranty agencies have the option of waiving this
premium and FFEL lenders have the option of paying some
or all of a borrower’s origination fee for Stafford Loan borrowers. Direct Loan borrowers are charged an origination fee
equal to 3 percent of principal, which partially offsets Federal
program operation costs. Borrowers in both programs may
be offered financial incentives to encourage prompt repayment.
Loan limits are also identical across the two programs.
In addition, loans made under both programs are discharged
when borrowers die, are totally and permanently disabled,
or, under some circumstances, declare bankruptcy.
Under both programs, new borrowers after October 1, 1998,
who are employed as teachers in schools serving low-income
populations for five consecutive, complete school years, qualify
for up to $5,000 in loan forgiveness. The Administration is
proposing to increase this benefit to a maximum of $17,500
for mathematics, science, and special education teachers considered highly qualified under criteria established in the No
Child Left Behind Act of 2001.
Borrowers under Direct Loans may choose from among five
repayment plans including income-contingent repayment
(‘‘pay-as-you-can’’), under which annual repayment amounts
vary based on the income of the borrower and the amount
borrowed, and payments can be made over 25 years. Borrowers may switch between repayment plans at any time.
(Income-contingent repayment is not available to Direct PLUS
borrowers).
FFEL borrowers may choose from among four repayment
plans. Repayment periods under standard, graduated, and
income-sensitive repayment may not exceed 10 years. An extended repayment plan of up to 25 years is available for
new borrowers with outstanding loans totalling more than
$30,000. FFEL borrowers may change repayment plans annually.
Student loan program administration activities are supported from a variety of sources, including a permanent appropriation authorized under Section 458 of the Higher Education Act, a small discretionary appropriation partially supporting FFEL program administration, a portion of funds appropriated under the Department’s discretionary Program Administration account, and subsidy funds associated with the
origination of Direct Consolidation Loans. In order to improve
accountability and simplify the funding process for these administrative activities, the President is proposing to create
a unified, discretionary Student Aid Administration account.
The following tables display performance indicators and
program data; including projected overall Direct Loan and
FFEL costs; loan volume, number of loans, and average loan
amount; descriptive data, and program activity under the
President’s budget and legislative request.

Consolidation ........................................................
Reestimate of Prior Year Costs ............................
Non-Contractual Modifications 2 ...........................
Total, Direct Loans .......................................
Administration
FFEL 3 .........................................................................
Student Aid 4 .............................................................

(348,767)
0
0
(721,929)

191,199
4,590,922
0
4,102,790

69,623
0
44,167
(865,900)

48,836
780,063

0
0

Subtotal, Administration .......................................
Total, FFEL and Direct Loans ......................
Program Cost Outlays

828,899
3,890,834

0
6,851,267

0
4,857,339

(1,493,940)

(675,015)

(548,878)

2,806,338
984,049
0
0

3,161,836
2,596,007
(2,979,866)
0

3,505,515
2,049,157
0
103,057

3,790,387
2,296,447

2,777,976
2,102,961

5,657,728
5,108,851

(373,162)
(348,767)
......................
......................

(679,331)
191,199
4,590,922
......................

(979,690)
69,623
......................
44,167

Total, Direct Loans .......................................
Administration
FFEL 3 .........................................................................
Student Aid 4 .............................................................

(721,929)

4,102,790

(865,900)

46,382
819,233

12,410
231,602

3,403
80,402

Subtotal, Administration .......................................
Total, FFEL and Direct Loans ......................

865,615
2,440,133

244,012
6,449,764

83,805
4,326,755

FFEL
Liquidating 1 ..............................................................
Program:
Regular ..................................................................
Consolidation ........................................................
Reestimate of Prior Year Costs ............................
Non-Contractual Modifications 2 ...........................
Subtotal, Program ............................................
Total, FFEL ...................................................
Direct Loans
Program
Regular ..................................................................
Consolidation ........................................................
Reestimate of Prior Year Costs ............................
Non-Contractual Modifications 2 ...........................

1 Liquidating

account reflects loans made prior to 1992.
the cost or savings associated with policy changes that would affect the terms of existing loans.
annual discretionary appropriation.
4 Supports account maintenance fee payments to FFEL guaranty agencies, Direct Loan origination and servicing,
and a range of administrative activities such as application printing, mailing, and processing that are common
to all Federal student financial assistance programs.
2 Reflects
3 Reflects

Summary of Loans Available (net commitments in millions of dollars) 1
2002 actual

2004 est.

13,441
11,976
3,189

14,560
13,440
3,537

15,340
14,674
3,931

Subtotal ..............................................................................
Consolidation ..........................................................................

28,606
22,693

31,536
16,986

33,945
12,999

Total, FFEL ..........................................................................
Direct Loans:
Stafford ...................................................................................
Unsubsidized Stafford .............................................................
PLUS ........................................................................................

51,299

48,522

46,944

5,765
4,481
1,444

6,177
4,988
1,598

6,476
5,394
1,765

Subtotal ..............................................................................
Consolidation ..........................................................................

11,689
8,845

12,763
7,425

13,636
6,098

Total, Direct Loans .............................................................
Total, All Loans ..................................................................

20,533
71,832

20,188
68,710

19,734
66,678

1 Net

commitments equal gross commitments minus loan cancellations.

Number of Loans (In thousands)
2002 actual

2003 est.

FFEL:
Stafford ...................................................................................
Unsubsidized Stafford .............................................................
PLUS ........................................................................................

Funding Levels (in thousands of dollars)
2002 actual

345

2003 est.

2004 est.

3,964
2,907
404

4,280
3,215
423

4,493
3,478
444

Subtotal ..............................................................................
Consolidation ..........................................................................

7,274
726

7,919
572

8,415
436

8,001

8,490

8,851

1,600
1,120
188

1,678
1,213
195

1,754
1,302
204

Program Cost
FFEL
Liquidating 1 ..............................................................
Program
Regular ..................................................................
Consolidation ........................................................
Reestimate of Prior Year Costs ............................
Non-Contractual Modifications 2 ...........................

(527,874)

(673,304)

(548,878)

3,324,164
987,575
0
0

3,769,228
2,632,419
(2,979,866)
0

4,093,939
2,075,121
0
103,057

Subtotal, Program ............................................

4,311,738

3,421,781

6,272,117

Total FFEL ....................................................
Direct Loans
Program
Regular ..................................................................

3,783,864

2,748,477

5,723,239

Subtotal ..............................................................................
Consolidation ..........................................................................

2,908
364

3,086
339

3,259
277

(373,162)

(679,331)

(979,690)

Total, Direct Loans .............................................................

3,272

3,425

3,537

VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

PO 00000

Frm 00023

Fmt 3616

Sfmt 3643

E:\BUDGET\EDU.XXX

EDU

346

OFFICE OF STUDENT FINANCIAL ASSISTANCE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2004

Credit accounts—Continued

Composition of Loan Collections (In thousands of dollars)

FEDERAL DIRECT STUDENT LOAN PROGRAM, PROGRAM ACCOUNT—
Continued
Number of Loans (In thousands)—Continued
2002 actual

Total, All Loans ..................................................................

11,273

2003 est.

11,915

2004 est.

12,387

Average Loan Size (in whole dollars)
2002 actual

3,391
4,120
7,894

2003 est.

3,402
4,180
8,359

FFEL:
Collections by Guaranty Agencies 1 ........................................
Collections by Department of Education 2 ..............................
Internal Revenue Service Tax Refund Offsets ........................
Total, FFEL .................................................................
Direct Loans:
Collections by Department of Education 2 ..............................
Internal Revenue Service Tax Refund Offsets ........................
Total, Direct Loans ....................................................
Total, FFEL and Direct Loan ..........................................

2002 actual

2003 est.

2004 est.

2,611,594
956,991
723,283
4,291,868

1,404,685
741,378
757,509
2,903,571

1,616,222
723,687
837,102
3,177,011

362,890
42,387
405,278
4,697,146

589,264
127,483
716,747
3,620,318

768,158
176,377
944,535
4,121,546

2004 est.

3,414
4,219
8,854

Weighted Average, without Consolidations ........................

3,932

3,982

4,034

Consolidation ..........................................................................

31,246

29,711

29,845

Weighted Average, FFEL .....................................................
Direct Loans:
Stafford ...................................................................................
Unsubsidized Stafford .............................................................
PLUS ........................................................................................

6,412

5,715

5,304

3,603
3,999
7,692

3,680
4,114
8,181

3,693
4,144
8,659

Weighted Average, Without Consolidations ........................

4,020

4,135

4,184

Consolidation ..........................................................................

24,286

21,926

21,996

Weighted Average, Direct Loans ........................................
Weighted Average, All Loans ..............................................

6,275
6,372

5,894
5,766

5,580
5,383

1 These figures show collections net of the amount agencies are allowed to retain under the provisions of
the Higher Education Act of 1965. Agencies may retain 24 percent of most collections, and 18.5 percent of
amounts collected through the consolidation of existing defaulted loans.
2 These figures include amounts subsequently paid to Department contract collections agencies; contract collection
costs total $158 million for 2002 ($102 million for FFEL and $56 million for Direct Loans); $211 million for
2003 ($117 million for FFEL and $94 million for Direct Loans); and $237 million for 2004 ($115 million for
FFEL and $122 million for Direct Loans).

Projected Participation in Repayment Plans 1 (in percent)

Summary of Subsidy Rates, Default and Interest Rates
2002 actual

Subsidy Rates (in percent) 1
FFEL:
Stafford ...................................................................................
Unsubsidized Stafford .............................................................
PLUS ........................................................................................
Consolidation ..........................................................................
Weighted Average, FFEL .....................................................
Direct Loans:
Stafford ...................................................................................
Unsubsidized Stafford .............................................................
PLUS ........................................................................................
Consolidation ..........................................................................
Weighted Average, Direct Loans ........................................
Default Rates (in percent) 2
FFEL:
Stafford ...................................................................................
Unsubsidized Stafford .............................................................
PLUS ........................................................................................
Consolidated ...........................................................................
Weighted Average, FFEL .....................................................
Direct Loans:
Stafford ...................................................................................
Unsubsidized Stafford .............................................................
PLUS ........................................................................................
Consolidation ..........................................................................
Weighted Average, Direct Loans ........................................
Borrower Interest Rates (in percent) 3
FFEL:
Stafford ...................................................................................
Unsubsidized Stafford .............................................................
PLUS ........................................................................................
Consolidation (reflects Sub and Unsub Stafford Only) ..........
Direct Loans:
Stafford ...................................................................................
Unsubsidized Stafford .............................................................
PLUS ........................................................................................
Consolidation (reflects Sub and Unsub Stafford only) ..........

2003 est.

2004 est.

16.41%
6.21%
4.72%
5.73%
8.96%

16.55%
5.70%
3.61%
15.30%
12.00%

17.75%
5.03%
3.26%
15.76%
11.85%

3.63%
¥12.05%
¥8.89%
¥3.78%
¥3.94%

0.29%
¥12.38%
¥12.83%
2.59%
¥3.23%

¥0.02%
¥14.79%
¥14.72%
1.13%
¥5.22%

16.26
14.31
9.52
20.53
17.27

16.38
14.37
9.49
20.52
16.77

16.46
14.47
9.53
20.51
16.38

14.48
13.17
8.89
31.09
20.95

14.60
13.26
8.88
31.98
20.21

14.66
13.36
8.89
33.31
19.55

6.62
6.62
6.31
5.50

6.66
6.66
6.39
4.10

6.68
6.68
6.84
4.40

6.62
6.62
6.31
5.48

6.66
6.66
6.39
4.10

6.68
6.68
6.84
4.43

1 Subsidy

rates represent the Federal portion of non-administrative costs—principally interest subsidies and defaults—associated with each borrowed dollar. For example, a $1,000 loan with Federal subsidy costs of $100
would have a subsidy rate of 10 percent.
2 Default rates displayed in this table, which reflect projected defaults over the life of a loan cohort, are
used in developing program cost estimates. The Department uses other rates based on defaults occurring in
the first three years of repayment to determine institutional eligibility to participate in Federal loan programs.
These three-year rates tend to be lower than those included in this table.
3 These represent average borrower interest rates during repayment for a typical borrower under standard repayment
over the life of the loan.

VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

PO 00000

Frm 00024

Fmt 3616

2002 actual

Direct Loans 1
Standard
Percent of Loan Volume 2
Stafford ..........................................................................
Unsubsidized Stafford ....................................................
PLUS ...............................................................................
Consolidation .................................................................
Subsidy Rate (in percent)
Stafford ..........................................................................
Unsubsidized Stafford ....................................................
PLUS ...............................................................................
Consolidation .................................................................
Graduated 3
Percent of Loan Volume 2
Stafford ..........................................................................
Unsubsidized Stafford ....................................................
PLUS ...............................................................................
Consolidation .................................................................
Subsidy Rate (in percent)
Stafford ..........................................................................
Unsubsidized Stafford ....................................................
PLUS ...............................................................................
Consolidation .................................................................
Extended 3
Percent of Loan Volume 2
Stafford ..........................................................................
Unsubsidized Stafford ....................................................
PLUS ...............................................................................
Consolidation .................................................................
Subsidy Rate (in percent)
Stafford ..........................................................................
Unsubsidized Stafford ....................................................
PLUS ...............................................................................
Consolidation .................................................................
Income-Contingent
Percent of Loan Volume 2
Stafford ..........................................................................
Unsubsidized Stafford ....................................................
Consolidation .................................................................
Subsidy Rate (in percent)
Stafford ..........................................................................
Unsubsidized Stafford ....................................................
Consolidation .................................................................

2003 est.

2004 est.

73.25
69.96
73.52
19.81

73.25
69.96
73.52
19.40

73.25
69.96
73.52
18.80

4.21
¥11.56
¥7.23
0.92

1.46
¥11.11
¥10.33
4.19

1.14
¥13.52
¥12.18
2.70

19.02
20.65
20.12
17.74

19.02
20.65
20.12
17.40

19.02
20.65
20.12
16.91

2.08
¥14.09
¥14.37
2.96

¥2.93
¥16.10
¥20.09
10.44

¥3.27
¥18.64
¥22.08
7.19

6.18
7.73
6.36
20.10

6.18
7.73
6.36
19.62

6.18
7.73
6.36
18.92

2.53
¥13.56
¥12.83
2.71

¥2.26
¥15.36
¥18.80
9.97

¥2.59
¥17.88
¥20.79
6.82

1.55
1.67
42.35

1.55
1.67
43.58

1.55
1.67
45.38

0.15
¥0.13
¥12.13

¥5.66
¥5.84
¥4.58

¥5.57
¥5.73
¥4.14

1 For modeling purposes, all FFEL borrowers are assumed to have chosen Standard repayment. For Direct Loans,
no data is included for the Alternative repayment plan, since borrowers are not expected to participate in this
plan due to the flexibility available under the other options. Income-contingent repayment is not available for
Direct PLUS borrowers.
2 Percent of Loan Volume represents aggregate data. Individual borrowers may move between plans over time.
3 Maximum terms under the Extended and Graduated repayment plans reflect the following ‘‘classes’’ based
on borrower debt levels.

Maximum Term (in
years)

Debt Level

Below $10,000 ..........................................................................................
$10,000–$20,000 ......................................................................................
$20,000–$40,000 ......................................................................................
$40,000–$60,000 ......................................................................................
Above $60,000 ..........................................................................................

12
15
20
25
30

Percent of Volume
Within Direct Extended and Graduated
Plans (Stafford) FY 03
13.00
34.97
36.81
10.65
4.57

The Higher Education Amendments of 1998 broadened the
availability of alternative repayment plans in the FFEL proSfmt 3616

E:\BUDGET\EDU.XXX

EDU

OFFICE OF STUDENT FINANCIAL ASSISTANCE—Continued
Federal Funds—Continued

DEPARTMENT OF EDUCATION

gram. As noted in the table above, data on the extent to
which FFEL borrowers will take advantage of these plans
is not yet available.
Consistent with the Federal Credit Reform Act of 1990,
the Office of Management and Budget establishes procedures
for the estimation of subsidy rates for the Federal student
loan programs. Subsidy costs for each loan type are estimated
separately and, because costs can vary widely within a program depending on the characteristics of the individual borrower, cost estimates are aggregated from data for homogeneous groups within risk categories.
Risk categories for Stafford and Unsubsidized Stafford
Loans are based on the type of school attended by the borrower. Since PLUS loan borrowers are all parents, they are
assumed to share similar risk profiles and are grouped together in a single category. For Consolidation Loans, risk
categories distinguish between standard Consolidation
Loans—in which borrowers in repayment consolidate a number of outstanding loans—and loans consolidated out of default.
Default rates are a major cause of differences in subsidy
between risk categories. The default rates in the following
tables reflect estimates of the percent of borrowers who will
default over the lifetime of the loans. These estimates are
revised annually based on an analysis of default trends. Within each risk group, it is assumed that borrowers choosing
similar repayment plans will have similar default rates, regardless of whether they borrow under the FFEL or Direct
Loan program.

DIRECT LOAN RISK CATEGORIES: STAFFORD LOANS
Subsidy Rate (as a percentage of loan commitments)

Risk Categories:
Category 1: 4 year college, 1st and 2nd year students
Category 2: 4 year college, 3rd and 4th year students
Category 3: 2 year college, all students ................................
Category 4: Proprietary school, all students ..........................
Category 5: Graduate students ..............................................

6.92
2.13
5.64
2.97
3.16

2002 actual

2003 est.

21.21
15.26
17.75
9.74
15.80

2004 est.

22.63
16.56
18.83
10.47
16.94

20.35
12.63
31.41
45.51
8.12

2003 est.

20.38
12.62
31.43
45.36
8.11

20.38
12.62
31.48
45.39
8.12

2002 actual

7.65
5.57
10.79
10.48
4.63

2003 est.

7.10
5.49
8.16
5.89
4.83

6.59
4.97
7.45
5.17
4.01

2002 actual

20.30
11.70
27.68
35.56
8.21

2003 est.

20.39
11.69
27.66
35.45
8.20

2004 est.

20.32
11.69
27.68
35.43
8.20

PLUS LOANS
Subsidy Rate (as a percentage of loan commitments)
2002 actual

4.72

2003 est.

3.61

2004 est.

2002 actual

9.52
Jkt 193833

19.85
12.34
31.41
44.84
7.95

2002 actual

–10.58
–12.58
–5.36
–3.24
–13.95

2003 est.

–11.38
–12.68
–8.33
–8.15
–13.48

2004 est.

–13.63
–15.03
–11.06
–11.14
–15.95

2002 actual

2003 est.

19.56
11.44
27.36
34.93
8.05

2002 actual

All PLUS Loans ........................................................................

–8.89

19.56
11.43
27.34
34.81
8.05

2003 est.

–12.83

2004 est.

19.59
11.43
27.36
34.79
8.05

2004 est.

–14.72

Gross Default Rates (in percent)
2002 actual

All PLUS Loans ........................................................................

2003 est.

8.89

8.88

2004 est.

8.89

PO 00000

2003 est.

2002 actual

FFEL:
Interest costs:
Interest benefits:
FFEL Liquidating ........................................................
FFEL Program ............................................................

2003 est.

2004 est.

40,896
2,129,956

463
1,060,641

0
1,274,592

Total ......................................................................
Special allowance
FFEL Liquidating ........................................................
FFEL Program ............................................................

2,170,852

1,061,104

1,274,592

19,418
201,410

12,282
688,624

6,065
2,542,307

Total ......................................................................
Default costs and offsets:
Default claims:
FFEL Liquidating ........................................................
FFEL Program ............................................................

220,827

700,906

2,548,372

76,997
2,796,593

24,203
4,045,386

4,899
4,804,998

2,873,571

4,069,589

4,809,898

1,796,498
2,495,370

791,883
2,111,688

619,794
2,557,217

Total ......................................................................
Contract collection costs:
FFEL Liquidating ........................................................
FFEL Program ............................................................

4,291,868

2,903,571

3,177,011

82,896
19,345

57,190
60,196

44,185
71,025

Total ......................................................................
Death, disability, and bankruptcy costs:
FFEL Liquidating ...................................................
FFEL Program ........................................................

102,240

117,386

115,210

24,849
421,474

30,793
557,375

18,874
659,644

446,323

588,168

678,518

776,458
210,694
41,065

917,090
237,915
43,400

997,342
231,238
39,300

Total ......................................................................
Net default collections:
FFEL Liquidating ........................................................
FFEL Program ............................................................

3.26

Gross Default Rates (in percent)

14:59 Jan 23, 2003

2004 est.

Gross Default Rates (in percent)

All PLUS Loans

19.84
12.34
31.37
44.82
7.94

Gross Default Rates (in percent)

2004 est.

Subsidy Rate (as a percentage of loan commitments)

All PLUS Loans

2003 est.

Selected Program Costs and Offsets 1 (in thousands of dollars)

2002 actual

UNSUBSIDIZED STAFFORD LOANS

4.14
–1.41
2.22
–3.07
–1.05

UNSUBSIDIZED STAFFORD LOANS

Gross Default Rates (in percent)

2004 est.

Subsidy Rate (as a percentage of loan commitments)

PLUS LOANS

20.06
14.86
17.80
12.78
15.89

4.28
–1.17
2.88
–1.97
–0.69

19.75
12.35
31.40
44.94
7.95

Subsidy Rate (as a percentage of loan commitments)

2002 actual

2003 est.

Gross Default Rates (in percent)

Subsidy Rate (as a percentage of loan commitments)

VerDate Dec 13 2002

2002 actual

FFEL RISK CATEGORIES: STAFFORD LOANS
Risk Categories:
Category 1: 4 year college, 1st and 2nd year students
Category 2: 4 year college, 3rd and 4th year students
Category 3: 2 year college, all students ................................
Category 4: Proprietary school, all students ..........................
Category 5: Graduate students ..............................................

347

2004 est.

9.49

9.53

Frm 00025

Fmt 3616

Total ......................................................................
Fees:
Borrower origination fees ..........................................
Lender origination fee ...............................................
Sallie Mae offset fee .................................................
Sfmt 3653

E:\BUDGET\EDU.XXX

EDU

348

OFFICE OF STUDENT FINANCIAL ASSISTANCE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2004
New budget authority (gross), detail:
Mandatory:
60.00
Appropriation (modification) ..................................... ................... ...................
69.00 Offsetting collections (cash) ......................................... ................... ...................
69.27 Capital transfer to general fund ................................... ................... ...................

Credit accounts—Continued
FEDERAL DIRECT STUDENT LOAN PROGRAM, PROGRAM ACCOUNT—
Continued

44
¥9
9

Selected Program Costs and Offsets 1 (in thousands of dollars)—Continued
2002 actual

Consolidation loan holder fees .................................
Direct Loans
Borrower origination fees ..........................................
Net default Collections ..............................................
Contact Collection Costs ...........................................
Administrative Costs 2
Federal administration:
FFEL ...........................................................................
Student Aid Management (SAM) 3 .............................
Guaranty agency administrative payments:
Account Maintenance Fee (included in SAM) ...........
Loan Issuance and Processing Fee ...........................

2003 est.

2004 est.

382,578

668,261

748,847

333,810
405,278
56,202

388,502
716,747
93,808

418,860
944,535
122,288

48,836
780,063

0
0

180,000
194,206

195,000
234,795

195,000
155,589

Details may not sum to totals due to rounding.
1 This table represents explicit cash flows in the FFEL and Direct Loan financing accounts. Examples of these
flows would include payments of FFEL interest benefits, default claims, and discharge claims, or collections on
FFEL or Direct Loan defaults, all of which involve explicit events that are reflected in the Department’s financial
systems as they occur. Non-events, such as Direct Loan interest benefits, defaults, or discharges, involve payments
that are not received, and hence not recorded in the Department’s financial systems in the same way. For
that reason, these non-events are not included in this table.
2 For 2003, no funds are requested for loan administration, as these costs would be part of the proposed
discretionary Student Aid Administration account.
3 A number of expenses related to the administration of the student assistance programs are paid out of
Student Aid Management funds. One of these expenses, account maintenance fee payments to guaranty agencies,
is shown as a separate line.

11.1
11.3
11.5

2002 actual

11.9
12.1
21.0
23.1
23.3
24.0
25.1
25.2
25.3

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

2003 est.

2004 est.

43 ................... ...................
1 ................... ...................
2 ................... ...................
46
10
4
11
46
7
4
31

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

25.6
25.7
26.0
31.0
32.0
41.0

Total personnel compensation ..............................
Civilian personnel benefits ............................................
Travel and transportation of persons ............................
Rental payments to GSA ................................................
Communications, utilities, and miscellaneous charges
Printing and reproduction ..............................................
Advisory and assistance services ..................................
Other services ................................................................
Other purchases of goods and services from Government accounts ...........................................................
Training ..........................................................................
Operation and maintenance of equipment ...................
Supplies and materials .................................................
Equipment ......................................................................
Land and structures ......................................................
Grants, subsidies, and contributions ............................

8
5
445
1
3
3
176

...................
...................
...................
...................
...................
...................
4,591

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

99.9

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

800

4,591 ...................

Personnel Summary
2002 actual

Identification code 91–0243–0–1–502

Total compensable workyears:
1001 Civilian full-time equivalent employment .....................

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

70.00

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

73.10
73.20

44
¥44

86.97

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

88.00

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

89.00
90.00

53
53

99.00
99.01

Additional net budget authority and outlays to cover cost of fully accruing retirement:
Budget authority ............................................................ ................... ................... ...................
Outlays ........................................................................... ................... ................... ...................

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)

Object Classification (in millions of dollars)
Identification code 91–0243–0–1–502

69.90

2003 est.

2004 est.

Identification code 91–0243–4–1–502

Direct loan levels supportable by subsidy budget authority:
115001 Stafford ..........................................................................
115002 Unsubsidized Stafford ....................................................
115003 PLUS ...............................................................................
115004 Consolidated ..................................................................
115901 Total direct loan levels ..................................................
Direct loan subsidy (in percent):
132001 Stafford ..........................................................................
132002 Unsubsidized Stafford ....................................................
132003 PLUS ...............................................................................
132004 Consolidated ..................................................................
132901 Weighted average subsidy rate .....................................
Direct loan subsidy budget authority:
133001 Stafford ..........................................................................
133002 Unsubsidized Stafford ....................................................
133003 PLUS ...............................................................................
133004 Consolidated ..................................................................
133005 Modification ...................................................................
133901 Total subsidy budget authority ......................................
Direct loan subsidy outlays:
134001 Stafford ..........................................................................
134002 Unsubsidized Stafford ....................................................
134003 PLUS ...............................................................................
134004 Consolidated ..................................................................
134005 Modification ...................................................................

2002 actual

2003 est.

2004 est.

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

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

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

0.03
0.03
0.00
0.00

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

0.06

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

...................
7
...................
7
................... ...................
................... ...................
...................
44

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

...................
4
...................
5
................... ...................
................... ...................
...................
44

134901 Total subsidy outlays ..................................................... ................... ...................

621 ................... ...................
Student loan administrative expense data:
351001 Budget authority ............................................................ ................... ................... ...................
359001 Outlays ........................................................................... ................... ................... ...................

FEDERAL DIRECT STUDENT LOAN PROGRAM, PROGRAM ACCOUNT
FEDERAL DIRECT STUDENT LOAN PROGRAM, FINANCING ACCOUNT

(Legislative proposal, subject to PAYGO)

Program and Financing (in millions of dollars)

Program and Financing (in millions of dollars)
2002 actual

Identification code 91–0243–4–1–502

2003 est.

2004 est.

00.03

Obligations by program activity:
Modification ................................................................... ................... ...................

10.00

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

22.00
23.95

44
¥44

Obligations by program activity:
Direct loans:
01.01
Stafford ......................................................................
01.02
Unsubsidized Stafford ...............................................
01.03
PLUS ..........................................................................
01.04
Consolidated ..............................................................
01.91
02.01

VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

PO 00000

Frm 00026

Fmt 3616

2002 actual

Identification code 91–4253–0–3–502

Subtotal, direct loans obligations ........................
Payment for consolidations:
Interest rate rebate, Stafford ....................................

Sfmt 3643

E:\BUDGET\EDU.XXX

EDU

2003 est.

2004 est.

5,709
4,560
1,454
9,195

6,613
5,497
1,732
7,496

6,933
5,946
1,914
6,160

20,918

21,338

20,953

OFFICE OF STUDENT FINANCIAL ASSISTANCE—Continued
Federal Funds—Continued

DEPARTMENT OF EDUCATION
02.02
02.03

Interest rate rebate, Unsubsidized Stafford .............
Interest rate rebate, PLUS .........................................

62
19

72
23

79
26

1150

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

02.91
03.01
04.01
05.01

161
28
56
5,716

186
24
94
5,297

201
22
122
6,042

1210
1231
1251
1261
1264

Cumulative balance of direct loans outstanding:
Outstanding, start of year .............................................
Disbursements: Direct loan disbursements ...................
Repayments: Repayments and prepayments .................
Adjustments: Capitalized interest .................................
Write-offs for default: Other adjustments, net .............

08.01

Direct Program by Activities—Subtotal (1 level)
Consolidation loans-Payment of Orig. Services ............
Payment of contract collections ....................................
Interest payment to Treasury .........................................
Other obligations:
Obligation of negative subsidy .................................

835

689

1,107
1290

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

10.00

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

27,714

27,628

28,447

3
28,210

499 ...................
27,130
28,447

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
New financing authority (gross) ....................................
Resources available from recoveries of prior year obligations .......................................................................
22.60 Portion applied to repay debt ........................................
21.40
22.00
22.10

23.90
23.95
24.40

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

New financing authority (gross), detail:
Mandatory:
67.10
Authority to borrow ....................................................
69.00 Offsetting collections (cash) .........................................
69.47 Portion applied to repay debt ........................................

8 ................... ...................
¥8 ................... ...................
28,213
27,629
28,447
¥27,714
¥27,628
¥28,447
499 ................... ...................

21,996
14,502
¥8,288

21,529
15,538
¥9,937

22,060
13,118
¥6,731

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

6,214

5,601

6,387

70.00

Total new financing authority (gross) ......................

28,210

27,130

28,447

72.40
73.10
73.20
73.45
74.40
87.00

Change in obligated balances:
Obligated balance, start of year ...................................
Total new obligations ....................................................
Total financing disbursements (gross) .........................
Recoveries of prior year obligations ..............................
Obligated balance, end of year .....................................
Total financing disbursements (gross) .........................

69.90

4,240
5,404
4,532
27,714
27,628
28,447
¥26,542
¥28,501
¥28,191
¥8 ................... ...................
5,404
4,532
4,788
26,542
28,501
28,191

Offsets:
Against gross financing authority and financing disbursements:
Offsetting collections (cash) from:
Federal sources:
Payments from program account:
88.00
Upward reestimate ....................................... ...................
¥3,721 ...................
88.00
Upward reestimate, interest ........................ ...................
¥870 ...................
88.25
Interest on uninvested funds ...............................
¥972 ................... ...................
Non-Federal sources:
Stafford loans:
88.40
Repayment of principal, Stafford ................
¥4,207
¥2,455
¥2,945
88.40
Interest received on loans, Stafford ............
¥504
¥1,022
¥1,226
88.40
Origination Fees, Stafford ............................
¥164
¥182
¥192
88.40
Other fees, Stafford .....................................
¥14 ................... ...................
88.40
Repayment of principal, Unsubsidized Stafford ..........................................................
¥3,196
¥1,681
¥2,077
88.40
Interest received on loans, Unsubsidized
Stafford ....................................................
¥475
¥722
¥898
88.40
Origination Fees, Unsubsidized Stafford .....
¥125
¥145
¥159
88.40
Other fees, Unsubsidized Stafford ...............
¥10 ................... ...................
88.40
Repayment of principal, PLUS .....................
¥1,156
¥616
¥739
88.40
Interest received on loans, PLUS .................
¥241
¥308
¥384
88.40
Origination Fees, PLUS ................................
¥45
¥62
¥68
88.40
Other fees, PLUS ..........................................
¥4 ................... ...................
88.40
Payment of principal, Consolidation ...........
¥2,522
¥1,616
¥2,023
88.40
Interest received on loans, Consolidation
¥859
¥2,138
¥2,407
88.40
Other fees, Consolidation ............................
¥8 ................... ...................
88.90

Total, offsetting collections (cash) ..................

¥14,502

¥15,538

¥13,118

89.00
90.00

13,708
12,039

11,592
12,963

15,329
15,073

2003 est.

2004 est.

STAFFORD
Position with respect to appropriations act limitation
on obligations:
1111 Limitation on direct loans ............................................. ................... ................... ...................
1131 Direct loan obligations exempt from limitation ............
5,709
6,613
6,933
VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

PO 00000

Frm 00027

Fmt 3616

6,933

26,488
27,470
31,023
5,059
6,062
6,397
¥4,207
¥2,455
¥2,945
169 ................... ...................
¥39
¥54
¥59
27,470

31,023

34,416

1150

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

4,560

5,497

5,946

1210
1231
1251
1261
1264

17,170
3,951
¥3,196
618
¥28

18,515
4,827
¥1,682
495
¥35

22,120
5,288
¥2,077
445
¥40

1290

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

18,515

22,120

25,736

PLUS
Position with respect to appropriations act limitation
on obligations:
1111 Limitation on direct loans ............................................. ................... ................... ...................
1131 Direct loan obligations exempt from limitation ............
1,454
1,732
1,914
1150

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

1210
1231
1251
1261
1264

1290

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

1,454

1,732

1,914

4,003
4,279
5,175
1,225
1,546
1,708
¥1,156
¥616
¥739
226 ................... ...................
¥19
¥34
¥39
4,279

5,175

6,105

CONSOLIDATED
Position with respect to appropriations act limitation
on obligations:
1111 Limitation on direct loans ............................................. ................... ................... ...................
1131 Direct loan obligations exempt from limitation ............
9,195
7,497
6,161
1150

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

1210
1231
1251
1261
1264

1290

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

9,195

7,497

6,161

22,884
29,807
35,524
9,228
7,436
6,106
¥2,522
¥1,617
¥2,023
312 ................... ...................
¥95
¥102
¥127
29,807

35,524

39,480

Balance Sheet (in millions of dollars)
Identification code 91–4253–0–3–502

Net present value of assets related
to direct loans ...........................
Other Federal assets: Other assets ........

1999
2002 actual

Identification code 91–4253–0–3–502

6,613

UNSUBSIDIZED STAFFORD
Position with respect to appropriations act limitation
on obligations:
1111 Limitation on direct loans ............................................. ................... ................... ...................
1131 Direct loan obligations exempt from limitation ............
4,560
5,497
5,946

1901

Status of Direct Loans (in millions of dollars)

5,709

349

2001 actual

2002 actual

2003 est.

2004 est.

603

970

4,532

4,788

70,313
2,616
1,739

80,070
2,661
2,115

93,842
6,088
2,158

105,737
7,047
2,119

74,668
2,497

84,846
3,769

102,088
..................

114,903
..................

Total assets ........................................
LIABILITIES:
Federal liabilities:
2101
Accounts payable ................................
2103
Debt .....................................................

77,768

89,585

106,620

119,691

579
77,189

87
89,498

5,531
101,089

3,272
116,419

2999

77,768

89,585

106,620

119,691

Total liabilities ....................................
NET POSITION:

Sfmt 3633

E:\BUDGET\EDU.XXX

EDU

OFFICE OF STUDENT FINANCIAL ASSISTANCE—Continued
Federal Funds—Continued

350

THE BUDGET FOR FISCAL YEAR 2004

Credit accounts—Continued
FEDERAL DIRECT STUDENT LOAN PROGRAM, FINANCING ACCOUNT—
Continued
Balance Sheet (in millions of dollars)—Continued
Identification code 91–4253–0–3–502

2001 actual

2002 actual

2003 est.

2004 est.

3999

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

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

4999

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

77,768

89,585

106,620

119,691

As required by the Federal Credit Reform Act of 1990,
this non-budgetary account records all cash flows to and from
the Government resulting from Direct Loans. The amounts
in this account are a means of financing and are not included
in the budget totals.
f

FEDERAL DIRECT STUDENT LOAN PROGRAM, FINANCING ACCOUNT

22.00
22.40

New budget authority (gross) ........................................
4,361
Capital transfer to general fund ................................... ...................

23.90
23.95
23.98
24.40

4,363
6,402
6,131
¥4,361
¥6,402
¥6,131
¥1 ................... ...................
2 ................... ...................

50 ................... ...................
¥1 ................... ...................

43.00
60.00
69.00
69.27

2002 actual

Identification code 91–4253–4–3–502

2003 est.

2004 est.

Obligations by program activity:
Interest payment to Treasury ......................................... ................... ...................
Other obligations:
08.01
Obligation of negative subsidy ................................. ................... ...................

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

70.00

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

72.40
73.10
73.20
73.40
74.40

870
1,393
2,024
4,361
6,402
6,131
¥3,837
¥5,770
¥5,536
¥1 ................... ...................
1,393
2,024
2,619

¥14

86.90
86.93
86.97
86.98

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

38 ................... ...................
9
12
3
2,935
4,794
4,425
855
964
1,108

10.00

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

¥15

22.00
23.95
24.40

Budgetary resources available for obligation:
New financing authority (gross) .................................... ................... ...................
Total new obligations .................................................... ................... ...................
Unobligated balance carried forward, end of year ....... ................... ...................

¥18
15
¥3

87.00

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

¥1

05.01

New financing authority (gross), detail:
Mandatory:
67.10
Authority to borrow ....................................................
69.00 Offsetting collections (cash) .........................................
69.27 Capital transfer to general fund ...................................
69.47 Portion applied to repay debt ........................................
69.90

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

¥14
44
¥3
¥45

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

¥4

Total new financing authority (gross) ...................... ................... ...................

¥18

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

Appropriation (total discretionary) ........................
49 ................... ...................
Mandatory:
Appropriation .............................................................
4,312
6,402
6,131
Offsetting collections (cash)—downward reestimate ... ...................
2,980 ...................
Capital transfer to general fund ................................... ...................
¥2,980 ...................

69.90

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

6,402
6,131
¥2 ...................

4,361

3,837

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

89.00
90.00

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

4,361
3,837

6,402

5,770

6,131

5,536

¥2,980 ...................

3,422
2,790

6,131
5,536

Summary of Budget Authority and Outlays
(in millions of dollars)

70.00

Change
73.10 Total
73.20 Total
87.00 Total

in obligated balances:
new obligations .................................................... ................... ...................
financing disbursements (gross) ......................... ................... ...................
financing disbursements (gross) ......................... ................... ...................

¥15
15
¥15

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

Offsets:
Against gross financing authority and financing disbursements:
Payments from program account:
88.00
Offsetting collections (cash) from: Modification ................... ...................

¥44

Net financing authority and financing disbursements:
Financing authority ........................................................ ................... ...................
Financing disbursements ............................................... ................... ...................

¥62
¥59

89.00
90.00

FEDERAL FAMILY EDUCATION LOAN PROGRAM ACCOUNT
Program and Financing (in millions of dollars)
2002 actual

Obligations by program activity:
Guaranteed Loan Net Subsidy .......................................
Administrative expenses:
00.09
Administrative expenses due to limitations .............
00.02

4,312

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

4,361

21.40

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year

14:59 Jan 23, 2003

Jkt 193833

2004 est.

6,402

6,131

49 ................... ...................

10.00

VerDate Dec 13 2002

2003 est.

PO 00000

6,402

6,131

2 ...................
Frm 00028

Fmt 3616

4,361
3,837

3,422
2,790

2004 est.

6,131
5,536
141
125
6,272
5,661

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
2002 actual

Identification code 91–0231–0–1–502

Enacted/requested:
2002 actual
2003 est.
Budget Authority .....................................................................
4,361
3,422
Outlays ....................................................................................
3,837
2,790
Legislative proposal, subject to PAYGO:
Budget Authority ..................................................................... .................... ....................
Outlays .................................................................................... .................... ....................

2003 est.

2004 est.

14,305
13,092
3,470
17,235

16,534
15,584
4,004
17,205

17,423
17,023
4,451
13,167

215901 Total loan guarantee levels ...........................................
Guaranteed loan subsidy (in percent):
232001 Stafford ..........................................................................
232002 Unsubsidized Stafford ....................................................
232003 PLUS ...............................................................................
232004 Consolidated ..................................................................

48,102

53,327

52,064

16.41
6.21
4.72
5.73

16.55
5.70
3.61
15.30

17.64
4.92
3.26
15.76

232901 Weighted average subsidy rate .....................................
Guaranteed loan subsidy budget authority:
233001 Stafford ..........................................................................
233002 Unsubsidized Stafford ....................................................
233003 PLUS ...............................................................................

8.96

12.00

11.78

2,347
813
164

2,736
888
145

3,073
838
145

Sfmt 3643

E:\BUDGET\EDU.XXX

EDU

OFFICE OF STUDENT FINANCIAL ASSISTANCE—Continued
Federal Funds—Continued

DEPARTMENT OF EDUCATION
233004 Consolidated ..................................................................

988

2,632

2,075

233901 Total subsidy budget authority ......................................
Guaranteed loan subsidy outlays:
234001 Stafford ..........................................................................
234002 Unsubsidized Stafford ....................................................
234003 PLUS ...............................................................................
234004 Consolidated ..................................................................

4,312

6,401

6,131

2,054
632
120
984

2,287
740
135
2,596

2,616
740
128
2,049

234901 Total subsidy outlays .....................................................
3,790
Guaranteed loan upward reestimate subsidy budget authority:
235002 Unsubsidized Stafford .................................................... ...................
235003 PLUS ............................................................................... ...................
235004 Consolidated .................................................................. ...................

5,758

5,533

31.0
41.0

Equipment ......................................................................
Grants, subsidies, and contributions ............................

99.9

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

1001

455 ...................

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

343 ...................
80 ...................
32 ...................

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

455 ...................

237901 Total downward reestimate subsidy budget authority
Guaranteed loan downward reestimate subsidy outlays:
238001 Stafford ..........................................................................
238002 Unsubsidized Stafford ....................................................
238003 PLUS ...............................................................................
238004 Consolidated ..................................................................
238005 SLS .................................................................................

11.9
12.1
23.1
23.3
25.2
25.3
25.7

Total personnel compensation ..............................
Civilian personnel benefits ............................................
Rental payments to GSA ................................................
Communications, utilities, and miscellaneous charges
Other services ................................................................
Other purchases of goods and services from Government accounts ...........................................................
Operation and maintenance of equipment ...................

VerDate Jan 23 2003

21:23 Jan 23, 2003

Jkt 193833

320 ................... ...................

FEDERAL FAMILY EDUCATION LOAN PROGRAM ACCOUNT
(Legislative proposal, subject to PAYGO)
Program and Financing (in millions of dollars)
2002 actual

2003 est.

2004 est.

10.00

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

141

22.00
23.95

141
¥141

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

141

¥3,435 ...................

73.10
73.20
74.40

141
¥125
16

49 ................... ...................
46
12
3

86.97

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

125

89.00
90.00

141
125

¥2,643
¥207
¥5
¥509
¥71

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

¥3,435 ...................

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

¥2,643
¥207
¥5
¥509
¥71

2002 actual

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

2004 est.

141

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

Object Classification (in millions of dollars)

11.1
11.5

2003 est.

Obligations by program activity:
Guaranteed Loan Net Subsidy ....................................... ................... ...................

As required by the Federal Credit Reform Act of 1990,
this program account records the subsidy costs associated
with Federal Family Education Loans (FFEL), formerly guaranteed student loans (GSL), committed in 1992 and beyond,
as well as certain administrative expenses of the program.
Administrative expenses include discretionary expenses for
salaries, expenses and overhead of employees working directly
on the program. Consistent with the Administration’s proposal to consolidate student aid administrative activities in
a single discretionary account, these expenses are not reflected for 2003 and 2004. For a discussion of this proposal,
see the narrative description above in the Student Aid Administration account. Beginning with the 1993 cohort, mandatory
administrative costs, specifically contract collection costs, are
included in the FFEL subsidy estimates of each year’s cohort.
Subsidy amounts are estimated on a net present value basis.
A description of the FFEL program and accompanying tables are included under the Federal Direct Student Loan program account.

Identification code 91–0231–0–1–502

6,131

00.02

238901 Total downward reestimate subsidy outlays ................. ...................
Administrative expense data:
351001 Budget authority ............................................................
359001 Outlays ...........................................................................

6,402

Identification code 91–0231–4–1–502

236901 Total upward reestimate subsidy outlays .....................
Guaranteed loan downward reestimate subsidy budget
authority:
237001 Stafford ..........................................................................
237002 Unsubsidized Stafford ....................................................
237003 PLUS ...............................................................................
237004 Consolidated ..................................................................
237005 SLS .................................................................................

4,361

2002 actual

Total compensable workyears:
Civilian full-time equivalent employment .....................

343 ...................
80 ...................
32 ...................

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

1 ................... ...................
4,312
6,402
6,131

Personnel Summary
Identification code 91–0231–0–1–502

235901 Total upward reestimate budget authority ....................
Guaranteed loan upward reestimate subsidy outlays:
236002 Unsubsidized Stafford ....................................................
236003 PLUS ...............................................................................
236004 Consolidated ..................................................................

351

2003 est.

2004 est.

23 ................... ...................
1 ................... ...................
24
5
3
2
1

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

1 ................... ...................
12 ................... ...................
PO 00000

Frm 00029

Fmt 3616

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
Identification code 91–0231–4–1–502

Guaranteed loan levels supportable by subsidy budget
authority:
215001 Stafford ..........................................................................
215002 Unsubsidized Stafford ....................................................
215003 PLUS ...............................................................................
215004 Consolidated ..................................................................
215901 Total loan guarantee levels ...........................................
Guaranteed loan subsidy (in percent):
232001 Stafford ..........................................................................
232002 Unsubsidized Stafford ....................................................
232003 PLUS ...............................................................................
232004 Consolidated ..................................................................
232901 Weighted average subsidy rate .....................................
Guaranteed loan subsidy budget authority:
233001 Stafford ..........................................................................
233002 Unsubsidized Stafford ....................................................
233003 PLUS ...............................................................................
233004 Consolidated ..................................................................
233005 Modification ...................................................................
233901 Total subsidy budget authority ......................................
Guaranteed loan subsidy outlays:
234001 Stafford ..........................................................................
234002 Unsubsidized Stafford ....................................................
234003 PLUS ...............................................................................
234004 Consolidated ..................................................................
234005 Modification ...................................................................

2002 actual

2003 est.

2004 est.

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

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

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

0.03
0.04
0.00
0.00

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

0.07

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

...................
19
...................
19
................... ...................
................... ...................
...................
103

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

141

...................
11
...................
11
................... ...................
................... ...................
...................
103

234901 Total subsidy outlays ..................................................... ................... ...................
125
Guaranteed loan upward reestimate subsidy budget authority:
235002 Unsubsidized Stafford .................................................... ................... ................... ...................
Sfmt 3643

E:\BUDGET\EDU.XXX

EDU

352

OFFICE OF STUDENT FINANCIAL ASSISTANCE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2004

Credit accounts—Continued
FEDERAL FAMILY EDUCATION LOAN PROGRAM ACCOUNT—Continued
Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program
(in millions of dollars)—Continued
2002 actual

Identification code 91–0231–4–1–502

2003 est.

2004 est.

235003 PLUS ............................................................................... ................... ................... ...................
235004 Consolidated .................................................................. ................... ................... ...................
235901 Total upward reestimate budget authority ....................
Guaranteed loan upward reestimate subsidy outlays:
236002 Unsubsidized Stafford ....................................................
236003 PLUS ...............................................................................
236004 Consolidated ..................................................................
236901 Total upward reestimate subsidy outlays .....................
Guaranteed loan downward reestimate subsidy budget
authority:
237001 Stafford ..........................................................................
237002 Unsubsidized Stafford ....................................................
237003 PLUS ...............................................................................
237004 Consolidated ..................................................................
237005 Downward reestimate ....................................................
237901 Total downward reestimate subsidy budget authority
Guaranteed loan downward reestimate subsidy outlays:
238001 Stafford ..........................................................................
238002 Unsubsidized Stafford ....................................................
238003 PLUS ...............................................................................
238004 Consolidated ..................................................................
238005 Downward reestimate subsidy outlays ..........................

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

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

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

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

238901 Total downward reestimate subsidy outlays ................. ................... ................... ...................
Administrative expense data:
351001 Budget authority ............................................................ ................... ................... ...................
359001 Outlays ........................................................................... ................... ................... ...................

04.07
04.08

Contract collection costs ...........................................
Vol Flex Agree Perf. Fee ............................................

04.91
05.02
05.03
05.04
05.07
05.08

Subtotal, SLS loans ..............................................
Consolidation loans:
Special allowance ......................................................
Default claims ...........................................................
Death, disability, and bankruptcy claims .................
Contract collection costs ...........................................
Vol Flex Agree Perf. Fee ............................................

05.91
08.02
08.04

Subtotal, Consolidations loans .............................
734
Payment of downward reestimate to Program accnt ...................
Interest on downward reestimate .................................. ...................

1,696
2,603
2,206 ...................
774 ...................

08.91

Downward Reestimate- Subtotal (1 level) ................ ...................

2,980 ...................

10.00

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

5,897

9,633

9,515

21.40
22.00

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

5,092
8,110

7,305
10,292

7,964
10,742

23.90
23.95
24.40

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

13,202
¥5,897
7,305

17,597
¥9,633
7,964

18,706
¥9,515
9,191

New financing authority (gross), detail:
Mandatory:
69.00
Offsetting collections (cash) .....................................

8,110

10,292

10,742

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

1,252
5,897
¥5,767
1,382
5,767

1,382
9,633
¥8,758
2,257
8,758

2,257
9,515
¥9,542
2,230
9,542

72.40
73.10
73.20
74.40
87.00

1
6
7
2 ................... ...................
79

34
40
509
522
1,410
1,779
126
237
303
2
9
12
50 ................... ...................

FEDERAL FAMILY EDUCATION LOAN PROGRAM, FINANCING ACCOUNT
Note.—The financing account includes all cash flows to and from the Government from
guaranteed student loans committed after 1991.

Program and Financing (in millions of dollars)
2002 actual

Identification code 91–4251–0–3–502

2003 est.

2004 est.

Obligations by program activity:
Stafford loans:
01.01
Interest benefits ........................................................
2,130
1,061
1,275
01.02
Special allowance ......................................................
97
344
1,089
01.03
Default claims ...........................................................
1,363
1,525
1,691
01.04
Death, disability, and bankruptcy claims .................
144
148
160
01.05
Teacher loan forgiveness, other write-offs ............... ...................
3
3
01.07
Contract collection costs ...........................................
11
36
41
01.08
Loan Processing Fee ..................................................
120
107
70
01.09
Vol Flex Agree Perf. Fee ............................................
50 ................... ...................
01.91
02.02
02.03
02.04
02.05
02.07
02.08
02.09
02.91
03.02
03.03
03.04
03.07
03.08
03.09
03.91
04.02
04.03
04.04

Subtotal, Stafford loans .......................................
3,915
3,224
4,329
Unsubsidized Stafford loans:
Special allowance ......................................................
66
272
911
Default claims ...........................................................
752
894
1,104
Death, disability, and bankruptcy claims .................
88
89
103
Teacher loan forgiveness, other write-offs ............... ...................
3
3
Contract collection costs ...........................................
4
8
11
Loan Processing Fee ..................................................
66
101
68
Vol Flex Agree Perf. Fee ............................................
25 ................... ...................
Subtotal, Unsubsidized Stafford loans .................
PLUS loans:
Special allowance ......................................................
Default claims ...........................................................
Death, disability, and bankruptcy claims .................
Contract Collection Costs ..........................................
Loan Processing Fee ..................................................
Vol Flex Agree Perf. Fee ............................................

1,001

21:23 Jan 23, 2003

Jkt 193833

2,200

4
33
33
94
201
225
53
77
88
1
1
1
8
26
18
8 ................... ...................

Subtotal, PLUS loans ............................................
168
SLS loans:
Special allowance ...................................................... ...................
Default claims ...........................................................
66
Death, disability and bankruptcy claims ..................
10

VerDate Jan 23 2003

1,367

PO 00000

338

365

1 ...................
15
6
6
5

Frm 00030

Fmt 3616

Offsets:
Against gross financing authority and financing disbursements:
Offsetting collections (cash) from:
Federal sources:
Payments from program account:
88.00
Stafford loans ..............................................
¥2,054
¥2,287
¥2,616
88.00
Unsubsidized Stafford ..................................
¥632
¥740
¥740
88.00
PLUS loans ...................................................
¥120
¥135
¥128
88.00
Consolidated loans ......................................
¥984
¥2,596
¥2,049
88.25
Interest on uninvested funds ...............................
¥416
¥556
¥636
Non-Federal sources:
Student Loans: Stafford, Unsubsidized Stafford, PLUS, SLS & Consolidation:
88.40
Stafford recoveries on defaults ...................
¥1,304
¥1,101
¥1,245
88.40
Stafford origination fees ..............................
¥420
¥498
¥529
88.40
Stafford Sallie Mae offset fees ...................
¥21
¥22
¥19
88.40
Stafford Other Fees ......................................
¥62 ................... ...................
88.40
Unsubsidized Stafford recoveries on defaults .......................................................
¥488
¥397
¥508
88.40
Unsubsidized Stafford origination fees .......
¥375
¥453
¥502
88.40
Unsubsidized Stafford Sallie Mae offset
fees ..........................................................
¥13
¥16
¥15
88.40
Unsubsidized Stafford Other Fees ...............
¥24 ................... ...................
88.40
PLUS recoveries on defaults ........................
¥117
¥95
¥113
88.40
PLUS origination fees ..................................
¥101
¥119
¥132
88.40
PLUS Sallie Mae offset fees ........................
¥5
¥5
¥5
88.40
PLUS Other Fees ..........................................
¥5 ................... ...................
88.40
SLS recoveries on defaults ..........................
¥131
¥115
¥109
88.40
SLS Sallie Mae offset fees .......................... ................... ................... ...................
88.40
SLS Other Fees .............................................
¥6 ................... ...................
88.40
Consolidation recoveries on defaults ..........
¥344
¥404
¥582
88.40
Consolidation origination fees .....................
¥91
¥85
¥65
88.40
Consolidated loan holders fee .....................
¥383
¥668
¥749
88.40
Consolidation Other Fees .............................
¥14 ................... ...................
88.90

89.00
90.00

Total, offsetting collections (cash) ..................

¥8,110

¥10,292

¥10,742

Net financing authority and financing disbursements:
Financing authority ........................................................ ................... ................... ...................
Financing disbursements ...............................................
¥2,343
¥1,534
¥1,200

Sfmt 3643

E:\BUDGET\EDU.XXX

EDU

OFFICE OF STUDENT FINANCIAL ASSISTANCE—Continued
Federal Funds—Continued

DEPARTMENT OF EDUCATION
2199

Status of Guaranteed Loans (in millions of dollars)
2002 actual

Identification code 91–4251–0–3–502

2003 est.

2004 est.

STAFFORD
Position with respect to appropriations act limitation
on commitments:
2111 Limitation on guaranteed loans made by private lenders .............................................................................. ................... ................... ...................
2131 Guaranteed loan commitments exempt from limitation
14,305
16,534
17,423
2150
2199

Total guaranteed loan commitments ........................
Guaranteed amount of guaranteed loan commitments

14,305
14,305

Cumulative balance of guaranteed loans outstanding:
Outstanding, start of year .............................................
69,103
Disbursements of new guaranteed loans ......................
11,387
Repayments and prepayments ......................................
¥8,110
Adjustments:
2261
Terminations for default that result in loans receivable .......................................................................
¥1,374
2263
Terminations for default that result in claim payments ....................................................................
¥144
2264
Other adjustments, net ............................................. ...................
2210
2231
2251

16,534
16,534

17,423
17,423

70,862
14,217
¥10,779

72,622
15,128
¥11,298

¥1,527

¥1,695

¥148
¥3

¥160
¥3

2290

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

70,862

72,622

74,594

2299

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

70,862

72,622

74,594

Addendum:
Cumulative balance of defaulted guaranteed loans
that result in loans receivable:
2310
Outstanding, start of year ........................................
2331
Disbursements for guaranteed loan claims .............
2351
Repayments of loans receivable ...............................
2361
Write-offs of loans receivable ...................................
2364
Other adjustments, net .............................................
2390

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

Total guaranteed loan commitments ........................
Guaranteed amount of guaranteed loan commitments

2,497
2,668
3,062
1,374
1,527
1,695
¥1,304
¥1,101
¥1,245
¥27
¥32
¥37
128 ................... ...................
2,668

13,092
13,092

Cumulative balance of guaranteed loans outstanding:
Outstanding, start of year .............................................
41,838
Disbursements of new guaranteed loans ......................
10,162
Repayments and prepayments ......................................
¥4,064
Adjustments:
2261
Terminations for default that result in loans receivable .......................................................................
¥758
2263
Terminations for default that result in claim payments ....................................................................
¥88
2264
Other adjustments, net ............................................. ...................
2210
2231
2251

2290

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

Memorandum:
2299 Guaranteed amount of guaranteed loans outstanding,
end of year ................................................................
Addendum:
Cumulative balance of defaulted guaranteed loans
that result in loans receivable:
2310
Outstanding, start of year ........................................
2331
Disbursements for guaranteed loan claims .............
2351
Repayments of loans receivable ...............................
2361
Write-offs of loans receivable ...................................
2364
Other adjustments, net .............................................
2390

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

3,062

3,475

47,090

15,584
15,584

17,023
17,023

47,090
12,953
¥6,161

52,902
14,332
¥7,358

¥888

¥1,091

¥89
¥3

¥103
¥3

52,902

58,679

47,090

52,902

58,679

1,264

1,745

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

VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

3,470
PO 00000

4,004

4,451

9,625
2,618
¥1,493

10,529
3,400
¥2,001

11,663
3,785
¥2,180

¥95

¥188

¥225

¥126

¥77

¥88

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

10,529

11,663

12,955

2299

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

10,529

11,663

12,955

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

189
208
291
95
188
225
¥117
¥95
¥113
¥6
¥10
¥13
47 ................... ...................
208

291

390

1,856
¥504

1,276
¥378

869
¥283

¥66

¥23

¥8

¥10

¥6

¥5

2290

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

1,276

869

573

2299

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

1,276

869

573

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

614
554
459
66
23
8
¥131
¥115
¥109
¥4
¥3
¥3
9 ................... ...................
554

459

355

CONSOLIDATED
Position with respect to appropriations act limitation
on commitments:
2111 Limitation on guaranteed loans made by private lenders .............................................................................. ................... ................... ...................
2131 Guaranteed loan commitments exempt from limitation
17,235
17,205
13,167
Total guaranteed loan commitments ........................
Guaranteed amount of guaranteed loan commitments

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

922
1,264
1,745
758
888
1,091
¥488
¥397
¥508
¥7
¥10
¥13
79 ................... ...................

3,470

2290

2150
2199

17,235
17,235

17,205
17,205

13,167
13,167

32,383
20,106
¥2,476

49,434
17,013
¥4,199

60,712
13,003
¥5,372

¥526

¥1,299

¥1,753

¥53

¥237

¥303

2290

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

49,434

60,712

66,287

2299

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

49,434

60,712

66,287

1,116
526

1,404
1,299

2,285
1,753

2,315

PLUS
Position with respect to appropriations act limitation
on commitments:
2111 Limitation on guaranteed loans made by private lenders .............................................................................. ................... ................... ...................
2131 Guaranteed loan commitments exempt from limitation
3,470
4,004
4,451
2150

2390

UNSUBSIDIZED STAFFORD
Position with respect to appropriations act limitation
on commitments:
2111 Limitation on guaranteed loans made by private lenders .............................................................................. ................... ................... ...................
2131 Guaranteed loan commitments exempt from limitation
13,092
15,584
17,023
2150
2199

Guaranteed amount of guaranteed loan commitments

353

4,004

4,451

Frm 00031

Fmt 3616

Sfmt 3643

E:\BUDGET\EDU.XXX

EDU

OFFICE OF STUDENT FINANCIAL ASSISTANCE—Continued
Federal Funds—Continued

354

THE BUDGET FOR FISCAL YEAR 2004

Credit accounts—Continued
FEDERAL FAMILY EDUCATION LOAN PROGRAM, FINANCING
ACCOUNT—Continued
Status of Guaranteed Loans (in millions of dollars)—Continued
2002 actual

Identification code 91–4251–0–3–502

2351
2361
2364

Repayments of loans receivable ...............................
Write-offs of loans receivable ...................................
Other adjustments, net .............................................

2390

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

2003 est.

2004 est.

¥344
¥404
¥582
¥8
¥14
¥22
114 ................... ...................
1,404

2,285

ASSETS:
1101 Federal assets: Fund balances with
Treasury ...............................................
Net value of assets related to post–
1991 acquired defaulted guaranteed loans receivable:
1501
Defaulted guaranteed loans receivable, gross ......................................
1502
Interest receivable ..............................
1505
Allowance for subsidy cost (–) ...........

2001 actual

2002 actual

6,531

8,687

2003 est.

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

¥11
¥11
¥103
¥3

88.90

Total, offsetting collections (cash) .................. ................... ...................

¥128

89.00
90.00

¥5
¥127

3,434

Balance Sheet (in millions of dollars)
Identification code 91–4251–0–3–502

Offsets:
Against gross financing authority and financing disbursements:
Offsetting collections (cash) from:
Payments from program account:
Federal sources:
88.00
Stafford loans ..............................................
88.00
Unsubsidized Stafford ..................................
88.00
Modification .................................................
88.25
Interest on uninvested funds ...............................

Balance Sheet (in millions of dollars)

2004 est.

Identification code 91–4251–4–3–502

7,964

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

9,191

2001 actual

2002 actual

2003 est.

2004 est.

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

122

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

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

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

122

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

122

5,339
1,287
1,830

6,098
1,732
–2,580

7,841
1,871
–3,147

9,969
2,020
–3,839

8,456
336

5,250
339

6,565
..................

8,150
..................

1599

Total assets ........................................
LIABILITIES:
2101 Federal liabilities: Accounts payable ......
2204 Non-Federal liabilities: Liabilities for
loan guarantees ..................................

15,323

14,276

14,529

17,341

1901

2,827

2,706

3,537

6,899

1999

12,496

11,570

10,992

10,442

2999

Total liabilities ....................................

15,323

14,276

14,529

17,341

Total assets ........................................
Liabilities:
2101 Federal liabilities: Accounts payable ......
2204 Non-Federal liabilities: Liabilities for
loan guarantees ..................................

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

4999

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

15,323

14,276

14,529

17,341

2999

Total liabilities ....................................

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

122

4999

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

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

122

1599
1901

Net present value of assets related
to defaulted guaranteed loans
Other Federal assets: Other assets ........

1999

As required by the Federal Credit Reform Act of 1990,
this nonbudgetary account records all cash flows to and from
the Government resulting from Federal Family Education
Loans (FFEL), formerly guaranteed student loans (GSL), committed in 1992 and beyond. The amounts in this account
are a means of financing and are not included in the budget
totals.

(Legislative proposal, subject to PAYGO)
Program and Financing (in millions of dollars)
2002 actual

2003 est.

2004 est.

01.91

Obligations by program activity:
Stafford loans:
01.05
Teacher loan forgiveness, other write-offs ............... ................... ...................

10.00

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

22.00
23.95
24.40

123
¥1
122

New financing authority (gross), detail:
Mandatory:
69.00
Offsetting collections (cash) ..................................... ................... ...................
69.27
Capital transfer to general fund .............................. ................... ...................

73.10
73.20
87.00

Change
Total
Total
Total

Program and Financing (in millions of dollars)
2002 actual

Obligations by program activity:
Stafford loans:
01.01
Interest benefits, net of origination fees ..................
01.02
Special allowance net of origination fees ................
01.03
Default claims ...........................................................
01.04
Death, disability, and bankruptcy claims .................
01.07
Contract collection costs ...........................................

FEDERAL FAMILY EDUCATION LOAN PROGRAM FINANCING ACCOUNT

69.90

FEDERAL FAMILY EDUCATION LOAN LIQUIDATING ACCOUNT
Note.—The following tables display the liquidating account, which includes all cash flows
to and from the Government from guaranteed student loan commitments prior to 1992.

Identification code 91–0230–0–1–502

Identification code 91–4251–4–3–502

Net present value of assets related
to defaulted guaranteed loans
Other Federal assets: Other assets ........

128
¥5

02.01
02.02
02.05
02.06
02.91

Subtotal, PLUS/SLS loans .....................................

10.00

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

245

125

21.40
22.00
22.40

146
1,277
¥146

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

23.90
23.95
24.40

1
¥1
1

New budget authority (gross), detail:
Mandatory:
69.00
Offsetting collections (cash) .....................................
69.27
Capital transfer to general fund ..............................

Jkt 193833

PO 00000

Frm 00032

Fmt 3616

1 ...................
12
6
21
4
22
14
48
37

159

123

14:59 Jan 23, 2003

2004 est.

Subtotal, Stafford loans .......................................
PLUS/SLS loans:
Default claims ...........................................................
Death, disability, and bankruptcy claims .................
Contract collection costs ...........................................
Interest benefits, net of origination fees ..................

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

VerDate Dec 13 2002

41
16
14
18
70

2003 est.

Sfmt 3643

E:\BUDGET\EDU.XXX

EDU

104

63
3
1
7
9
5
13
9
7
3 ................... ...................

1,033 ...................
125
74
¥1,033 ...................

1,277
125
74
¥245
¥125
¥74
1,033 ................... ...................

1,805
¥528

798
¥673

623
¥549

OFFICE OF STUDENT FINANCIAL ASSISTANCE—Continued
Federal Funds—Continued

DEPARTMENT OF EDUCATION
69.90

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

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

1,277

125

65
¥2 ...................
245
125
74
¥312
¥123
¥74
¥2 ................... ...................

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

247
65

125
74
¥2 ...................

87.00

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

312

123

¥568

¥303

¥231

¥5

¥3

¥429

¥206

¥172

¥465
¥131
¥101
¥53 ................... ...................
¥2 ................... ...................
¥133

¥60

¥45

¥1

¥2

¥1

¥32

¥55

¥42

¥117

¥36

¥28

¥1,805

¥798

¥623

89.00
90.00

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

¥528
¥1,494

¥673
¥675

¥549
¥549

2002 actual

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

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

547

437

2299

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

672

547

437

2,026
121
¥282
¥29
205

2,041
12
¥66
¥29
¥5

1,953
1
¥49
¥28
¥3

2,041

1,953

1,874

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

Identification code 91–0230–0–1–502

0111
0112

VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

2002 actual

868
–296

1,467
–159

645
–104

507
–61

572

1,308

541

446

156
–45

282
–86

153
–21

116
–13

Stafford:
Revenue ...................................................
Expense ....................................................

0115

Net income or loss (–) ............................
PLUS/SLS:
0121 Revenue ...................................................
0122 Expense ....................................................

2003 est.

2004 est.

0125

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

111

196

132

103

0191

Total revenues .........................................

1,024

1,749

798

623

0192

Total expenses .........................................

–341

–245

–125

–74

0195

Total income or loss (–) .........................

683

1,504

673

549

0199

Total comprehensive income ...................

683

1,504

673

549

2003 est.

2004 est.

3,612
¥1,512

2,052
¥973

1,028
¥573

¥27

¥20

¥6

Identification code 91–0230–0–1–502

ASSETS:
1101 Federal assets: Fund balances with
Treasury ...............................................
Net value of assets related to pre–1992
direct loans receivable and acquired defaulted guaranteed loans
receivable:
1701
Defaulted guaranteed loans, gross ....
1702
Interest receivable ..............................
1703
Allowance for estimated uncollectible
loans and interest (–) ....................

¥21

¥31

¥19

1704

2,052

1,028

430

1799
1901

2,052

1,028

430

12,095
27
¥1,470
¥432
667

10,887
21
¥339
¥389
¥25

10,155
7
¥261
¥363
¥16

10,887

10,155

9,522

881
¥82

672
¥104

547
¥104

¥121

¥13

¥1

¥6

¥8

¥5

Frm 00033

Fmt 3616

PO 00000

2001 actual

2002 actual

2003 est.

2004 est.

191

1,031

928

835

14,160
1,740

12,928
1,284

12,108
948

11,396
700

–14,533

–13,175

–11,944

–10,828

Defaulted guaranteed loans and
interest receivable, net ..............

1,367

1,037

1,112

1,268

Value of assets related to loan
guarantees .................................
Other Federal assets: Other assets ........

1,367
62

1,037
62

1,112
62

1,268
62

1,620

2,130

2,102

2,165

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

2,007

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

8
1,612

14
109

23
2,079

38
2,127

1999

Total assets ........................................
LIABILITIES:
2104 Federal liabilities: Resources payable to
Treasury ...............................................
Non-Federal liabilities:
2201
Accounts payable ................................
2204
Liabilities for loan guarantees ...........
2999

Total liabilities ....................................

1,620

2,130

2,102

2,165

4999

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

1,620

2,130

2,102

2,165

1 Excludes

PLUS/SLS LOANS
Cumulative balance of guaranteed loans outstanding:
2210 Outstanding, start of year .............................................
2251 Repayments and prepayments ......................................
Adjustments:
2261
Terminations for default that result in loans receivable .......................................................................
2263
Terminations for default that result in claim payments ....................................................................

2001 actual

Balance Sheet (in millions of dollars)

Status of Guaranteed Loans (in millions of dollars)

2290

672

Statement of Operations (in millions of dollars)

Total, offsetting collections (cash) ..................

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

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

2390

88.90

Identification code 91–0230–0–1–502

2290
74

86.97
86.98

Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash) from:
Federal student loans:
Non-Federal sources:
88.40
Fed collections on defaulted loans, Stafford
88.40
Federal collections on bankruptcies, Stafford ..........................................................
88.40
Offsets against Federal tax refunds,Stafford ..........................................
88.40
Reimbursements from guaranty agencies,
Stafford ....................................................
88.40
Other Collections/Fees, Stafford ..................
88.40
Sallie Mae Offset Fee ..................................
88.40
Federal collections on defaulted loans,
PLUS/SLS .................................................
88.40
Federal collections on bankruptcies, PLUS/
SLS ...........................................................
88.40
Offsets against Federal tax refunds, PLUS/
SLS ...........................................................
PLUS/SLS loans:
88.40
Reimbursements from guaranty agencies, PLUS/SLS ............

355

interest and premium collections on insured loans.

As required by the Federal Credit Reform Act of 1990,
this liquidating account records, for this program, all cash
flows to and from the Government resulting from guaranteed
student loans committed prior to 1992. This account is shown
on a cash basis. All new loan activity in this program for
1992 and beyond is recorded in corresponding program and
financing accounts.
Sfmt 3616

E:\BUDGET\EDU.XXX

EDU

356

OFFICE OF STUDENT FINANCIAL ASSISTANCE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2004

Credit accounts—Continued
FEDERAL FAMILY EDUCATION LOAN LIQUIDATING ACCOUNT—
Continued
Object Classification (in millions of dollars)
2002 actual

Identification code 91–0230–0–1–502

2003 est.

2004 est.

25.2
33.0
41.0
42.0

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

83
77
60
25

57
24
13
31

44
5
6
19

99.9

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

245

125

INSTITUTE OF EDUCATION SCIENCES
Federal Funds
General and special funds:
INSTITUTE

EDUCATION SCIENCES

For carrying out activities authorized by Public Law 107–279,
$375,915,000, of which $185,000,000 shall remain available for obligation through September 30, 2005.
Note.—A regular 2003 appropriation for this account had not been enacted at the time
the budget was prepared; therefore, this account is operating under a continuing resolution
(P.L. 107–229, as amended). The amounts included for 2003 in this budget reflect the
Administration’s 2003 policy proposals.

Program and Financing (in millions of dollars)
2002 actual

Identification code 91–1100–0–1–503

Direct program:
Obligations by program activity:
Research and statistics:
00.01
Research, development, and dissemination .........
00.02
Statistics ...............................................................
00.03
Regional educational laboratories ............................
00.04
Assessment ................................................................
00.06
Fund for the Improvement of Education ...................
00.07
Technical assistance providers .................................
00.08
Eisenhower National Clearinghouse for Mathematics
and Science Education .........................................

2003 est.

2004 est.

122
175
185
85
95
95
67
68 ...................
111
95
96
1 ................... ...................
44 ................... ...................
5 ................... ...................

01.00
09.01

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

435
6

433
6

376
6

10.00

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

441

439

382

21.40
22.00

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

23.90
23.95

Total budgetary resources available for obligation
Total new obligations ....................................................

1 ................... ...................
441
439
382
442
¥441

439
¥439

382
¥382

444
433
376
¥9 ................... ...................

Appropriation (total discretionary) ........................
435
Spending authority from offsetting collections:
Offsetting collections (cash) ..................................... ...................
Change in uncollected customer payments from
Federal sources (unexpired) ..................................
6

433

376

¥6 ...................

68.90

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

70.00

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

441

439

382

86.90

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

VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

86.93

Outlays from discretionary balances .............................

493

586

341

87.00

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

625

699

439

¥12

¥6

Offsets:
Against gross budget authority and outlays:
88.00
Offsetting collections (cash) from: Federal sources ...................
Against gross budget authority only:
88.95
Change in uncollected customer payments from
Federal sources (unexpired) ..................................
¥6

89.00
90.00

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

435
625

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

433
687

376
433

Research and Statistics.—
Research, development, and dissemination.—Funds support the National Center for Education Research, which
oversees a diverse portfolio of directed research, field-initiated studies, research and development centers, and interagency initiatives. Funds also support dissemination activities that provide parents, teachers, and schools with valid
information on effective educational practice.
Statistics.—Funds support the Department’s statistical
data collection activities, which are conducted by the National Center for Education Statistics (NCES). NCES collects, analyzes, and disseminates statistics on education at
all levels, from preschool through postsecondary and adult
education, including statistics on international education activities.
Assessment.—Funds support the National Assessment of
Educational Progress (NAEP). NAEP administers assessments
to samples of students in order to gather reliable information
about educational attainment in important academic areas.
Funds support collection and reporting of national, State, and
long-term trend information, including the conduct of biennial
State NAEP in reading and mathematics at grades 4 and
8.
Object Classification (in millions of dollars)
2002 actual

Identification code 91–1100–0–1–503

11.1
11.3

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

11.9
24.0
25.1
25.2
25.3

2003 est.

2004 est.

1
1

2
1
1
95

2
1
3
93

25.5
25.7
41.0

Total personnel compensation .........................
Printing and reproduction .........................................
Advisory and assistance services .............................
Other services ............................................................
Other purchases of goods and services from Government accounts .................................................
Research and development contracts .......................
Operation and maintenance of equipment ...............
Grants, subsidies, and contributions ........................

19
121
2
193

17
105
2
209

17
39
2
218

99.0
99.0
99.5

434
6
1

432
6
1

375
6
1

99.9

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

441

439

382

Personnel Summary
876
683
429
441
439
382
¥625
¥699
¥439
¥3 ................... ...................

1001
¥6
683

6 ...................
429
372

132

113

Frm 00034

Fmt 3616

PO 00000

2002 actual

Identification code 91–1100–0–1–503

Total compensable workyears:
Civilian full-time equivalent employment .....................

Sfmt 3643

E:\BUDGET\EDU.XXX

EDU

2003 est.

2004 est.

DEPARTMENTAL MANAGEMENT
Federal Funds

DEPARTMENT OF EDUCATION

DEPARTMENTAL MANAGEMENT
Federal Funds
General and special funds:
PROGRAM ADMINISTRATION
For carrying out, to the extent not otherwise provided, the Department of Education Organization Act, including rental of conference
rooms in the District of Columbia and hire of three passenger motor
vehicles, $434,494,000, of which $13,644,000, to remain available until
expended, shall be for building alterations and related expenses for
the relocation of Department staff to Potomac Center Plaza in Washington, D.C.
Note.—A regular 2003 appropriation for this account had not been enacted at the time
the budget was prepared; therefore, this account is operating under a continuing resolution
(P.L. 107–229), as amended). The amounts included for 2003 in this budget reflect the
Administration’s 2003 policy proposals.

Program and Financing (in millions of dollars)
2002 actual

Identification code 91–0800–0–1–503

2003 est.

2004 est.

00.01
09.01

Obligations by program activity:
Program administration .................................................
Reimbursable program ..................................................

421
1

412
1

434
1

10.00

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

423

413

435

22.00
23.95
23.98

Budgetary resources available for obligation:
New budget authority (gross) ........................................
Total new obligations ....................................................
Unobligated balance expiring or withdrawn .................

423
413
435
¥423
¥413
¥435
¥2 ................... ...................

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
40.71
Reduction pursuant to P.L. 107–116 .......................
40.73
Reduction pursuant to P.L. 107–206 .......................
42.00
Transferred from other accounts ..............................

424
412
434
¥1 ................... ...................
¥5 ................... ...................
4 ................... ...................

43.00
68.00
68.10
68.90
70.00

Appropriation (total discretionary) ........................
423
412
434
Spending authority from offsetting collections:
Offsetting collections (cash) ..................................... ...................
1
1
Change in uncollected customer payments from
Federal sources (unexpired) ..................................
1 ................... ...................
Spending authority from offsetting collections
(total discretionary) ..........................................
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) .........................
Change in uncollected customer payments from Federal sources (unexpired) ............................................
74.10 Change in uncollected customer payments from Federal sources (expired) ................................................
74.40 Obligated balance, end of year .....................................
72.40
73.10
73.20
73.40
74.00

1
424

413

¥1 ................... ...................
2 ................... ...................

99.9

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

329
87

87.00

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

417

419

416

¥3

¥1

422
415

412
418

Jkt 193833

PO 00000

Frm 00035

11.9
12.1
21.0
23.1
23.3
24.0
25.1
25.2
25.3

434
415

Additional net budget authority and outlays to cover cost of fully accruing retirement:
99.00 Budget authority ............................................................
11
11
99.01 Outlays ...........................................................................
11
11
14:59 Jan 23, 2003

11.1
11.3
11.5

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

315
104

VerDate Dec 13 2002

2002 actual

Identification code 91–0800–0–1–503

99.0
99.0
99.5

2 ................... ...................
122
116
135

324
93

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

Object Classification (in millions of dollars)

25.7
26.0
31.0
32.0

¥1 ................... ...................

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

89.00
90.00

Note.—Excludes $54 million in budget authority in 2003 and $68 million in 2004 for
activities proposed to be transferred to the Student Aid Administration account. The comparable amount for 2002 ($57 million) is included above.

Total personnel compensation .........................
Civilian personnel benefits .......................................
Travel and transportation of persons .......................
Rental payments to GSA ...........................................
Communications, utilities, and miscellaneous
charges .................................................................
Printing and reproduction .........................................
Advisory and assistance services .............................
Other services ............................................................
Other purchases of goods and services from Government accounts .................................................
Operation and maintenance of equipment ...............
Supplies and materials .............................................
Equipment .................................................................
Land and structures ..................................................

86.90
86.93

Offsets:
Against gross budget authority and outlays:
88.00
Offsetting collections (cash) from: Federal sources
Against gross budget authority only:
88.95
Change in uncollected customer payments from
Federal sources (unexpired) ..................................
88.96
Portion of offsetting collections (cash) credited to
expired accounts ...................................................

The Program Administration account includes the direct
Federal costs of providing grants and administering elementary and secondary education, Indian education, English language acquisition, higher education, technical and adult education, and special education programs, and programs for persons with disabilities. It also supports assessment, statistics,
and research activities.
In addition, this account includes the cost of providing centralized support and administrative services, overall policy
development, and strategic planning for the Department. Included in the centralized activities are rent and mail services;
telecommunications; contractual services; financial management and accounting, including payments to schools, education agencies and other grant recipients, and preparation
of auditable financial statements; information technology
services; personnel management; personnel security; budget
formulation and execution; program evaluation; legal services;
congressional and public relations; and intergovernmental affairs.
Included in this account is the Department of Education’s
costs to relocate Department staff to Potomac Center Plaza,
including costs for building alterations, furniture, information
technology equipment and services, and telecommunications,
to remain available until expended. This account also provided funds for the renovation of the Department’s main
headquarters building which was completed in 1998.
Also included in this account are contributions from the
public. Activities supported include Presidential Scholars, Satellite Town Meetings, School Recognition, and the Gifts and
Bequests Miscellaneous Fund.
Reimbursable program.—Reimbursements to this account
are for providing administrative services to other agencies,
recycling activities, and in-kind travel.

435

133
122
116
423
413
435
¥417
¥419
¥416
¥16 ................... ...................

Fmt 3616

2003 est.

2004 est.

173
25
5

188
10
4

194
10
4

203
43
6
30

202
42
5
32

208
44
5
34

12
5
3
24

11
4
5
22

11
3
5
23

15
63
2
14
1

11
58
2
15
3

12
72
2
10
3

421
412
1
1
1 ...................

432
1
2

423

435

413

Personnel Summary
2002 actual

Identification code 91–0800–0–1–503

11
11

357

1001

Total compensable workyears:
Civilian full-time equivalent employment .....................

Sfmt 3643

E:\BUDGET\EDU.XXX

EDU

2,589

2003 est.

2,464

2004 est.

2,464

358

DEPARTMENTAL MANAGEMENT—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2004

General and special funds—Continued
OFFICE

FOR

CIVIL RIGHTS

For expenses necessary for the Office for Civil Rights, as authorized
by section 203 of the Department of Education Organization Act,
$91,275,000.
Note.—A regular 2003 appropriation for this account had not been enacted at the time
the budget was prepared; therefore, this account is operating under a continuing resolution
(P.L. 107–229, as amended). The amounts included for 2003 in this budget reflect the
Administration’s 2003 policy proposals.

25.7
31.0

Operation and maintenance of equipment ...............
Equipment .................................................................

6
1

8
2

7
2

99.0
99.5

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

78
1

84
2

87
4

99.9

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

Personnel Summary

1001
2002 actual

Identification code 91–0700–0–1–751

2003 est.

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

22.00
23.95
23.98

80
86
91
¥79
¥86
¥91
¥1 ................... ...................

17
15
21
79
86
91
¥79
¥81
¥90
¥2 ................... ...................
15
21
23

69
10

71
10

75
15

87.00

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

89.00
90.00

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

80
79

86
81

91
90

Additional net budget authority and outlays to cover cost of fully accruing retirement:
99.00 Budget authority ............................................................
3
3
99.01 Outlays ...........................................................................
3
3

3
3

The Office for Civil Rights is responsible for ensuring that
no person is unlawfully discriminated against on the basis
of race, color, national origin, sex, disability, or age in the
delivery of services or the provision of benefits in programs
or activities of schools and institutions receiving financial assistance from the Department of Education. The authorities
under which the Office for Civil Rights operates are Title
VI of the Civil Rights Act of 1964 (racial and ethnic discrimination), Title IX of the Education Amendments of 1972 (sex
discrimination), section 504 of the Rehabilitation Act of 1973
(discrimination against individuals with a disability), the Age
Discrimination Act of 1975, and the Americans with Disabilities Act of 1990.
Object Classification (in millions of dollars)

11.1
11.3
11.9
12.1
21.0
23.1
23.3

2002 actual

25.2
25.3

VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

OFFICE

OF THE

714

INSPECTOR GENERAL

Note.—A regular 2003 appropriations for this account had not been enacted at the time
the budget was prepared; therefore, this account is operating under a continuing resolution
(P.L. 107–229, as amended). The amounts include for 2003 in this budget reflect the Administration’s 2003 policy proposals.

Program and Financing (in millions of dollars)
2002 actual

Identification code 91–1400–0–1–751

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

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

714

For expenses necessary for the Office of the Inspector General, as
authorized by section 212 of the Department of Education Organization Act, $48,137,000.

86.90
86.93

Identification code 91–0700–0–1–751

698

2004 est.

10.00

Change in obligated balances:
72.40 Obligated balance, start of year ...................................
73.10 Total new obligations ....................................................
73.20 Total outlays (gross) ......................................................
73.40 Adjustments in expired accounts (net) .........................
74.40 Obligated balance, end of year .....................................

Total compensable workyears:
Civilian full-time equivalent employment .....................

2003 est.

2004 est.

Obligations by program activity:
00.01 Civil rights .....................................................................

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................

2002 actual

Identification code 91–0700–0–1–751

Program and Financing (in millions of dollars)

2003 est.

2004 est.

46
2

49
2

50
3

48
11
1
6

51
11
1
7

53
11
1
7

2
1

2
2

Frm 00036

Fmt 3616

PO 00000

2003 est.

2004 est.

00.01

Obligations by program activity:
Inspector General ...........................................................

10.00

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

22.00
23.95

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

39
¥39

41
¥41

48
¥48

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................

72.40
73.10
73.20
73.40
74.40

86.90
86.93

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

31
6

33
6

37
7

87.00

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

89.00
90.00

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

39
37

41
39

48
44

99.00
99.01

9
9
11
39
41
48
¥37
¥39
¥44
¥1 ................... ...................
9
11
16

1
1

The Inspector General is responsible for the quality, coverage, and coordination of audit and investigation functions
relating to Federal education activities. The Inspector General
has the authority to inquire into all activities of the Department including those performed under Federal education contracts, grants, or other agreements. Under the Chief Financial
Officers Act of 1990, the Inspector General is also responsible
for internal reviews of the Department’s financial systems
and audits of its financial statements.
Object Classification (in millions of dollars)
2002 actual

Identification code 91–1400–0–1–751

11.1

Direct obligations:
Personnel compensation:
Full-time permanent .............................................

Sfmt 3643

E:\BUDGET\EDU.XXX

EDU

2003 est.

2004 est.

GENERAL PROVISIONS

DEPARTMENT OF EDUCATION
11.3
11.5
11.9
12.1
21.0
23.1
23.3

Other than full-time permanent ........................... ................... ...................
1
Other personnel compensation .............................
1 ................... ...................
20
5
2
3

25.7
31.0

Total personnel compensation .........................
Civilian personnel benefits .......................................
Travel and transportation of persons .......................
Rental payments to GSA ...........................................
Communications, utilities, and miscellaneous
charges .................................................................
Advisory and assistance services .............................
Other services ............................................................
Other purchases of goods and services from Government accounts .................................................
Operation and maintenance of equipment ...............
Equipment .................................................................

99.0
99.5

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

38
1

40
48
1 ...................

99.9

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

25.1
25.2
25.3

22
6
2
3

23
6
2
3

1
1
2
3
1 ...................

1
7
1

1
1
2
2
1 ...................

1
3
1

or teachers (or for the purchase of equipment for such transportation)
in order to carry out a plan of racial desegregation of any school
or school system.
SEC. 302. None of the funds contained in this Act shall be used
to require, directly or indirectly, the transportation of any student
to a school other than the school which is nearest the student’s home,
except for a student requiring special education, to the school offering
such special education, in order to comply with title VI of the Civil
Rights Act of 1964. For the purpose of this section an indirect requirement of transportation of students includes the transportation of students to carry out a plan involving the reorganization of the grade
structure of schools, the pairing of schools, or the clustering of schools,
or any combination of grade restructuring, pairing or clustering. The
prohibition described in this section does not include the establishment
of magnet schools.
SEC. 303. No funds appropriated under this Act may be used to
prevent the implementation of programs of voluntary prayer and meditation in the public schools.
(TRANSFER

Personnel Summary
2002 actual

Identification code 91–1400–0–1–751

1001

Total compensable workyears:
Civilian full-time equivalent employment .....................

276

2003 est.

2004 est.

285

GENERAL FUND RECEIPT ACCOUNTS
(in millions of dollars)
2002 actual

2003 est.

2004 est.

Offsetting receipts from the public:
91–291500 Repayment of loans, capital contributions,
higher education activities ................................................

General Fund Offsetting receipts from the public .....................

GENERAL PROVISIONS
SEC. 301. No funds appropriated in this Act may be used for the
transportation of students or teachers (or for the purchase of equipment for such transportation) in order to overcome racial imbalance
in any school or school system, or for the transportation of students

VerDate Dec 13 2002

14:59 Jan 23, 2003

Jkt 193833

PO 00000

Frm 00037

Fmt 3616

359

OF FUNDS)

SEC. 304. Not to exceed 3 percent of any discretionary funds (pursuant to the Balanced Budget and Emergency Deficit Control Act of
1985, as amended) which are appropriated for the Department of
Education in this Act may be transferred between appropriations,
but no such appropriation shall be increased by more than 10 percent
by any such transfer: Provided, That the Appropriations Committees
of both Houses of Congress are notified at least 15 days in advance
of any transfer.
SEC. 305. (a) DISCRETIONARY FUNDING.—Section 458(a)(1) of the
Higher Education Act of 1965 (2 U.S.C. 1087h(a)(1)), is amended—
(1) in the matter preceding subparagraph (A), by striking ‘‘there
shall be available to the Secretary, from funds not otherwise appropriated, funds to be obligated for—’’ and inserting in lieu thereof,
‘‘there are authorized to be appropriated to carry out this section
such sums as may be necessary, for—’’;
(2) in subparagraph (B), by striking the comma at the end thereof
and inserting in lieu thereof a period; and
(3) by striking the flush language at the end thereof.
(b) EFFECTIVE DATE.—The amendments made by subsection (a)
shall be effective for fiscal year 2004 and succeeding fiscal years.
SEC. 306. Section 1202 of the Elementary and Secondary Education
Act of 1965 is amended by inserting the following subsection at the
end thereof:
‘‘(g) SUPPLEMENT, NOT SUPPLANT.—State or local educational agency shall use funds received under this subpart only to supplement
the level of non-Federal funds that, in the absence of funds under
this subpart, would be expended for activities authorized under this
subpart, and not to supplant those non-Federal funds.’’.

Sfmt 3616

E:\BUDGET\EDU.XXX

EDU

VerDate 25<JUN>98

07:49 Jul 16, 1998

Jkt 179129

PO 00000

Frm 00008

Fmt 8008

Sfmt 8092

Y:\SGML\179129F.XXX

pfrm08

PsN: 179129F