Full text of Budget of the United States Government - Appendix : Fiscal Year 2008 : Department of Agriculture

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DEPARTMENT OF AGRICULTURE
OFFICE

OFFICE OF THE SECRETARY
Federal Funds
OFFICE

OF THE

SECRETARY

For necessary expenses of the Office of the Secretary of Agriculture,
$18,355,000: Provided, That not to exceed $11,000 of this amount
shall be available for official reception and representation expenses,
not otherwise provided for, as determined by the Secretary.
OFFICE

ASSISTANT SECRETARY

OF THE

FOR

ADMINISTRATION

For necessary salaries and expenses of the Office of the Assistant
Secretary for Administration, $739,000.
OFFICE

OF THE

ASSISTANT SECRETARY
RELATIONS

FOR

CONGRESSIONAL

OF THE

UNDER SECRETARY FOR FOOD, NUTRITION
CONSUMER SERVICES

AND

For necessary salaries and expenses of the Office of the Under Secretary for Food, Nutrition and Consumer Services to administer the
laws enacted by the Congress for the Food and Nutrition Service,
$655,000.
OFFICE

OF THE

ASSISTANT SECRETARY

FOR

CIVIL RIGHTS

For necessary salaries and expenses of the Office of the Assistant
Secretary for Civil Rights, $897,000.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)

(INCLUDING TRANSFERS OF FUNDS)

For necessary salaries and expenses of the Office of the Assistant
Secretary for Congressional Relations to carry out the programs funded by this Act, including programs involving intergovernmental affairs
and liaison within the executive branch, $4,099,000: Provided, That
these funds may be transferred to agencies of the Department of Agriculture funded by this Act to maintain personnel at the agency level:
Provided further, That no other funds appropriated to the Department
by this Act shall be available to the Department for support of activities of congressional relations.
OFFICE

OF THE

UNDER SECRETARY FOR RESEARCH, EDUCATION
ECONOMICS

AND

For necessary salaries and expenses of the Office of the Under Secretary for Research, Education and Economics to administer the laws
enacted by the Congress for the Economic Research Service, the National Agricultural Statistics Service, the Agricultural Research Service, and the Cooperative State Research, Education, and Extension
Service, $654,000.
OFFICE

OF THE

UNDER SECRETARY FOR MARKETING
REGULATORY PROGRAMS

OF THE

UNDER SECRETARY

FOR

FOOD SAFETY

For necessary salaries and expenses of the Office of the Under Secretary for Food Safety to administer the laws enacted by the Congress
for the Food Safety and Inspection Service, $659,000.
OFFICE

OF THE

UNDER SECRETARY FOR FARM
AGRICULTURAL SERVICES

AND

OF THE

UNDER SECRETARY FOR NATURAL RESOURCES
ENVIRONMENT

AND

For necessary salaries and expenses of the Office of the Under Secretary for Natural Resources and Environment to administer the laws
enacted by the Congress for the Forest Service and the Natural Resources Conservation Service, $822,000.
OFFICE

OF THE

UNDER SECRETARY

FOR

2007 est.

2008 est.

5
4
16
11
10
11
1
1
2
3 ................... ...................
4 ................... ...................
11
11
11
3
3
3

10.00

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

21.40
22.00
22.10

2
40

6
29

6
43

23.90
23.95
23.98

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 .............................................................
Spending authority from offsetting collections:
58.00
Offsetting collections (cash) ................................
58.10
Change in uncollected customer payments from
Federal sources (unexpired) .............................
58.90
70.00

3 ................... ...................
45
35
49
¥38
¥29
¥43
¥1 ................... ...................
6

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

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

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

FOREIGN

For necessary salaries and expenses of the Office of the Under Secretary for Farm and Foreign Agricultural Services to administer the
laws enacted by Congress for the Farm Service Agency, the Foreign
Agricultural Service, the Risk Management Agency, and the Commodity Credit Corporation, $695,000.
OFFICE

2006 actual

Obligations by program activity:
00.01 Office of the Secretary ...................................................
00.02 Under/Assistant Secretaries ...........................................
00.03 Trade negotiations and biotechnology resources ..........
00.04 Info share (CCE/HS) .......................................................
00.05 Avian influenza supplemental .......................................
09.01 Homeland security reimbursable ...................................
09.02 Reimbursable program ..................................................

24.40

AND

For necessary salaries and expenses of the Office of the Under Secretary for Marketing and Regulatory Programs to administer programs under the laws enacted by the Congress for the Animal and
Plant Health Inspection Service; the Agricultural Marketing Service;
and the Grain Inspection, Packers and Stockyards Administration;
$792,000.
OFFICE

Identification code 12–9913–0–1–352

RURAL DEVELOPMENT

For necessary salaries and expenses of the Office of the Under Secretary for Rural Development to administer programs under the laws
enacted by the Congress for the Rural Housing Service, the Rural
Business-Cooperative Service, and the Rural Utilities Service,
$695,000.

Change in obligated balances:
Obligated balance, start of year ...................................
Total new obligations ....................................................
Total outlays (gross) ......................................................
Adjustments in expired accounts (net) .........................
Recoveries of prior year obligations ..............................
Change in uncollected customer payments from Federal sources (unexpired) ............................................
74.10 Change in uncollected customer payments from Federal sources (expired) ................................................
72.40
73.10
73.20
73.40
73.45
74.00

74.40

86.90
86.93
87.00

Obligated balance, end of year ................................

1
5
8
38
29
43
¥27
¥26
¥43
1 ................... ...................
¥3 ................... ...................
¥6 ................... ...................
1 ................... ...................
5

Outlays (gross), detail:
Outlays from new discretionary authority .....................
27
Outlays from discretionary balances ............................. ...................

25
1

39
4

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

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

¥9

¥14

OFFICE OF THE SECRETARY—Continued
Federal Funds—Continued

56
OFFICE

OF THE

ASSISTANT SECRETARY
Continued

THE BUDGET FOR FISCAL YEAR 2008
CIVIL RIGHTS—

FOR

89.00
90.00

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

Program and Financing (in millions of dollars)—Continued
Identification code 12–9913–0–1–352

88.95
88.96

89.00
90.00

2006 actual

2007 est.

2008 est.

¥6 ................... ...................

The Federal Agriculture Improvement and Reform Act of
1996 (1996 Act) initially established the Fund for Rural America to provide support to rural communities across the United
States. The 2002 Farm Bill (Farm Security and Rural Investment Act of 2002) repealed the Fund for Rural America.

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

Trust Funds

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

26
18

15
12

GIFTS

29
29

AND

BEQUESTS

Special and Trust Fund Receipts (in millions of dollars)

The Office of the Secretary covers the overall planning,
coordination and administration of the Department’s programs. This includes the Secretary, Deputy Secretary, Under
Secretaries, Assistant Secretaries, and their immediate staffs,
who provide top policy guidance for the Department; maintain
relationships with agricultural organizations and others in
the development of farm programs; and provide liaison with
the Executive Office of the President and Members of Congress on all matters pertaining to agricultural policy.
Funds are proposed for the Office of the Secretary’s account
for negotiating and monitoring trade agreements; for technical
trade support in the areas of biotechnology, sanitary and
phyto-sanitary issues. Additional funding is also proposed for
the expenses of the Provincial Reconstruction Teams in Iraq
and Afghanistan. USDA continues to support the agricultural
reconstruction and development in these countries by providing agricultural advisors to assist on activities such as
irrigation system rehabilitation, post-harvest loss reduction,
and marketing system improvements. USDA has placed advisors in the Ministry of Agriculture in Iraq to assist agriculture planning, extension, and food safety and inspection.

2006 actual

2007 est.

2008 est.

25.2

1 ................... ...................
15
4
17

99.0
99.0
99.5

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

25
15
29
11
14
14
2 ................... ...................

99.9

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

11.1
12.1
23.3

7
2

1001

2006 actual

Direct:
Civilian full-time equivalent employment .....................

9
2

10
2

2007 est.

2008 est.

FUND

FOR

RURAL AMERICA

Program and Financing (in millions of dollars)
Identification code 12–0012–0–1–999

Change in obligated balances:
72.40 Obligated balance, start of year ...................................
73.20 Total outlays (gross) ......................................................
74.40

86.98

2006 actual

2008 est.

04.00

Total: Balances and collections ....................................
Appropriations:
05.00 Gifts and bequests ........................................................
07.99

¥1

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

Program and Financing (in millions of dollars)
Identification code 12–8203–0–7–352

2006 actual

2007 est.

2008 est.

00.01

Obligations by program activity:
Gifts and bequests ........................................................

10.00

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

21.40
22.00

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

2
1

23.90
23.95

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

3
¥1

Unobligated balance carried forward, end of year

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

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

1
1
¥1

86.97

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

89.00
90.00

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

1
1

72.40
73.10
73.20
74.40

Obligated balance, end of year ................................

The Secretary is authorized to accept and administer gifts
and bequests of real and personal property to facilitate the
work of the Department. Property and the proceeds thereof
are used in accordance with the terms of the gift or bequest
(7 U.S.C. 2269).
f

2007 est.

2008 est.

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

Obligated balance, end of year ................................ ................... ................... ...................
Outlays (gross), detail:
Outlays from mandatory balances ................................

2007 est.

Balance, start of year .................................................... ................... ................... ...................
Receipts:
02.60 Gifts and bequests, Departmental Administration .......
1
1
1

Employment Summary
Identification code 12–9913–0–1–352

2006 actual

01.99

24.40

Object Classification (in millions of dollars)
Identification code 12–9913–0–1–352

Identification code 12–8203–0–7–352

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

EXECUTIVE OPERATIONS
Federal Funds
EXECUTIVE OPERATIONS
CHIEF ECONOMIST
For necessary expenses of the Chief Economist, including economic
analysis, risk assessment, cost-benefit analysis, energy and new uses,
and the functions of the World Agricultural Outlook Board, as author-

EXECUTIVE OPERATIONS—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
ized by the Agricultural Marketing Act of 1946 (7 U.S.C. 1622g),
$11,347,000.
NATIONAL APPEALS DIVISION
For necessary
$15,056,000.
OFFICE

expenses
OF

BUDGET

the
AND

National

Appeals

Division,

PROGRAM ANALYSIS

For necessary expenses of the Office of Budget and Program Analysis, $9,035,000.

policies and programs and proposed legislation. The Office
serves as the single focal point for the Nation’s economic
intelligence and analysis, risk assessment, and cost-benefit
analysis related to domestic and international food and agriculture, provides policy direction for biofuels and new uses,
and is responsible for coordination and clearance review of
all commodity and aggregate agricultural and food-related
data used to develop outlook and situation material within
the Department.

HOMELAND SECURITY STAFF
WORKLOAD INDICATORS

For necessary expenses of the Homeland Security Staff, $2,412,000.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
Identification code 12–0705–0–1–352

2
39

Object Classification (in millions of dollars)

8
37
¥35

12
36
¥35

13
39
¥39

10.00

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

22.00
23.95
23.98

Budgetary resources available for obligation:
New budget authority (gross) ........................................
Total new obligations ....................................................
Unobligated balance expiring or withdrawn .................

38
36
39
¥37
¥36
¥39
¥1 ................... ...................

Unobligated balance carried forward, end of year ................... ................... ...................

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

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

Identification code 12–0705–0–1–352

¥2 ................... ...................
4 ................... ...................

74.40

Obligated balance, end of year ................................

86.90
86.93
86.97

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

27
6
2

30
3
2

33
4
2

87.00

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

89.00
90.00

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

2006 actual

¥2 ................... ...................

99.0
99.0

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

35
2

35
1

38
1

99.9

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

39
39

Executive Operations provides support for USDA policy officials and selected Department-wide services.
The Office of the Chief Economist advises the Secretary
of Agriculture on the economic implications of Department

23
5
1

24
5
1

1
6
1

1
4
1

1
6
1

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................

2007 est.

2008 est.

219

240

252

OFFICE
36
35

21
5
1

Employment Summary

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

36
33

2008 est.

25.2
26.0

11.1
12.1
21.0
23.3

Identification code 12–0705–0–1–352

¥2 ................... ...................

2007 est.

Direct obligations:
Personnel compensation: Full-time permanent ........
Civilian personnel benefits .......................................
Travel and transportation of persons .......................
Communications, utilities, and miscellaneous
charges .................................................................
Other services ............................................................
Supplies and materials .............................................

12
52

2008 est.

11
15
9
2
2

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

12
52

2007 est.

11
14
8
1
2

70.00

12
52

2008 est.

2006 actual

12
14
8
1
2

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
58.10
Spending authority from offsetting collections:
Change in uncollected customer payments from
Federal sources (unexpired) ..................................
Mandatory:
62.00
Transferred from other accounts ..............................

2007 est.

The National Appeals Division conducts administrative
hearings and reviews of adverse program decisions made by
the Farm Service Agency, the Risk Management Agency, the
Natural Resources Conservation Service, and the Rural Development mission area.
The Office of Budget and Program Analysis coordinates the
preparation of departmental budget estimates and legislative
reports; administers systems for the allotment and apportionment of funds; provides policy, program and budgetary analysis of United States Department of Agriculture (USDA) programs and proposals; and provides staff assistance to USDA
agencies in meeting their responsibility for the development
and review of regulations.
The Homeland Security Staff formulates emergency preparedness policies and objectives for USDA. The Staff directs
and coordinates all of the Department’s program activities
that support USDA emergency programs and liaison functions
with the Congress, the Department of Homeland Security,
and other Federal departments and agencies involving homeland security, natural disasters, other emergencies, and agriculture-related international civil emergency planning and intelligence activities.

Obligations by program activity:
00.01 Chief Economist .............................................................
00.03 National Appeals Division ..............................................
00.04 Budget and program analysis .......................................
00.05 Homeland Security Staff ................................................
09.01 Reimbursable program ..................................................

24.40

2006 actual

World Agricultural Supply and Demand Estimates Reports
issued ......................................................................................
Weekly Weather and Crop Bulletin issued ..................................

OF THE

CHIEF FINANCIAL OFFICER

For necessary expenses of the Office of the Chief Financial Officer,
$30,863,000, of which $24,787,000 shall be available until expended:
Provided, That hereafter the Chief Financial Officer shall actively
market and expand cross-servicing activities of the National Finance
Center.
Note.—A regular 2007 appropriation for this account had not been enacted at the time
the budget was prepared; therefore, this account is operating under a continuing resolution

EXECUTIVE OPERATIONS—Continued
Federal Funds—Continued

OFFICE

OF THE

THE BUDGET FOR FISCAL YEAR 2008

CHIEF FINANCIAL OFFICER—Continued

PERFORMANCE MEASURES

(P.L. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
Identification code 12–0014–0–1–352

2006 actual

2007 est.

2006 actual

Achieve an unqualified opinion on the USDA financial
statements .................................................................
Anti-deficiency violations ...............................................

2008 est.

2007 est.

2008 est.

Unqualified
No

Object Classification (in millions of dollars)

Obligations by program activity:
00.01 Office of the Chief Financial Officer .............................
09.01 Reimbursable .................................................................

6
3

31
3

10.00

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

22.00
23.95

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

10
¥9

11
¥9

36
¥34

Identification code 12–0014–0–1–352

2006 actual

2007 est.

2008 est.

58.90

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

4
1
1

4
1
26

99.0
99.0

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

6
3

31
3

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

Employment Summary
Identification code 12–0014–0–1–352

2006 actual

Direct:
Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................
1001

2007 est.

2008 est.

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

4
1
1

99.9
New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
6
6
31
Spending authority from offsetting collections:
58.00
Offsetting collections (cash) ................................ ...................
5
5
58.10
Change in uncollected customer payments from
Federal sources (unexpired) .............................
4 ................... ...................

11.1
12.1
25.2

Direct obligations:
Personnel compensation: Full-time permanent ........
Civilian personnel benefits .......................................
Other services ............................................................

70.00

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

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

87.00

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

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

¥2
34
¥34

¥4 ................... ...................

¥2

Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

¥5

Program and Financing (in millions of dollars)

¥2
Identification code 12–0013–0–1–352

6
11
34
4 ................... ...................
10

CHIEF INFORMATION OFFICER

For necessary expenses of the Office of the Chief Information Officer,
$17,024,000.

8 ................... ...................

Obligated balance, end of year ................................ ...................

86.90
86.93

89.00
90.00

¥3 ...................
9
9
¥10
¥11

OF THE

¥5

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Office of the Chief Information Officer .........................
09.01 Reimbursable program ..................................................

16
55

17
55

10.00

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

22.00
23.95
23.98

91
71
72
¥71
¥71
¥72
¥21 ................... ...................

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

6
5

58.90

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

70.00

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

¥4 ................... ...................

6
6

31
29

The Secretary established the Office of the Chief Financial
Officer (OCFO) in 1995 under authority provided in Reorganization Plan Number 2 of 1953 (7 U.S.C. 2201) to comply
with the CFO Act of 1990. OCFO focuses on the Department’s
financial and performance management activities to improve
program delivery and assure maximum contribution to the
Secretary’s Strategic Goals.
Funding is requested to implement the Financial Management Modernization Initiative (FMMI) for the Department.
Through FMMI, USDA will replace outdated mainframe technology with a modern, interactive core financial system which
will strengthen the Departments internal controls, eliminate
material weaknesses, and diminish improper payments. By
consolidating several systems from across the Department,
FMMI will allow for improved financial management and
functional capability for USDA.

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) ................................................
72.40
73.10
73.20
73.40
74.00

74.40

Obligated balance, end of year ................................

86.90
86.93

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

87.00

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

57 ................... ...................

2
¥29
¥29
71
71
72
¥67
¥71
¥72
¥1 ................... ...................
¥57 ................... ...................
23 ................... ...................
¥29

¥29

43
71
72
24 ................... ...................
67

EXECUTIVE OPERATIONS—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
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 ...................................................
Net budget authority and outlays:
89.00 Budget authority ............................................................
90.00 Outlays ...........................................................................

¥41

¥55

100%

2007 est.

2008 est.

¥57 ................... ...................
23 ................... ...................

16
26

16
16

17
17

The Clinger-Cohen Act of 1996 required the establishment
of a Chief Information Officer (CIO) for all major Federal
agencies. The Act requires USDA to maximize the value of
information technology acquisitions to improve the efficiency
and effectiveness of USDA programs. To meet the intent of
the law and to provide a Departmental focus for information
resources management issues, Secretary’s Memorandum
1030–30, dated August 8, 1996, established the Office of the
Chief Information Officer (OCIO). The CIO serves as the primary advisor to the Secretary and Mission Area Heads on
information technology issues. OCIO provides leadership for
the Department’s information and information technology (IT)
management activities in support of USDA program delivery.
OCIO is leading USDA’s efforts to transform the Department’s delivery of information, programs, and services using
integrated services that simplify citizen’s interaction with
their Government. OCIO is designing the Department’s Enterprise Architecture to efficiently support USDA’s move towards
consolidation and standardization. OCIO is strengthening
USDA’s Computer Security Program to mitigate threats to
USDA’s information and IT assets and support the Department’s Homeland Security efforts. OCIO continues to facilitate the USDA IT Capital Planning and Control investment
review process by providing guidance and support to the Department’s Executive IT Investment Review Board, which approves all major technology investments to ensure that they
economically and effectively support program delivery.
In addition, OCIO is coordinating the Departments participation in 21 Presidential E-Government initiatives and 8
Lines of Business to support the President’s Management
Agenda goal to expand E-Government. Through these activities, the Department is transforming and enhancing its program delivery while improving the availability of information
to the public.
Funded through the USDA Working Capital Fund, OCIO
provides automated data processing (ADP) and wide-area telecommunications services to all USDA agencies through the
National Information Technology Center and the Telecommunications Services and Operations organization, with
locations in Ft. Collins, Colorado; Kansas City, Missouri; and
Washington, D.C. Direct ADP services are provided to the
Office of the Secretary, Office of the General Counsel, Office
of Communications, Office of the Chief Financial Office, and
Executive Operations.
OCIO also has direct management responsibility for the
IT component of the Service Center Modernization Initiative.
This includes the implementation of a common technology
infrastructure to replace the outdated and stove-piped systems supporting the Farm Service Agency, the Natural Resources Conservation Service, and Rural Development.
PERFORMANCE MEASURES
Office of the Chief Information Officer
FY 2005

Increase Return on Investment (ROI) for eGovernment and
Lines of Business (LOB) common solutions ...........................
Percent of USDA IT systems that are certified, accredited, or
otherwise authorized as being properly secured ....................
Percent of identified population that completed annual security awareness refresher training ...........................................

Number of program security reviews completed ........................
Through the use of Earned Value Management (EVM), increase
the percentage of USDA IT projects that are within 10% of
cost/schedule/performance objectives ....................................

FY 2006

Object Classification (in millions of dollars)
Identification code 12–0013–0–1–352

2006 actual

7
1

25.2

1
7

1
8

99.0
99.0

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

16
55

17
55

99.9

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

11.1
12.1
23.3

Employment Summary
Identification code 12–0013–0–1–352

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................

2007 est.

2008 est.

COMMON COMPUTING ENVIRONMENT
Program and Financing (in millions of dollars)
Identification code 12–0113–0–1–352

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Common computing environment ..................................
09.01 Reimbursable program ..................................................

110
21

45 ...................
21
5

10.00

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

131

21.40
22.00
22.10

14
118

27
49

10
5

26 ................... ...................

23.90
23.95

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

158
¥131

76
¥66

15
¥5

24.40

Unobligated balance carried forward, end of year

110
38 ...................
¥1 ................... ...................

43.00

109

58.00
58.10

38 ...................
11

¥2 ................... ...................

58.90

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

70.00

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

118

72.40
73.10
73.20
73.45
74.00

64
18
15
131
66
5
¥153
¥69
¥20
¥26 ................... ...................
2 ................... ...................

FY 2007

74.40
N.A.

100%

90%

Obligated balance, end of year ................................

15 ...................

86.90
86.93

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

97
56

49
20

5%
5
15

EXECUTIVE OPERATIONS—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008
09.09
09.12
09.13
09.15

COMMON COMPUTING ENVIRONMENT—Continued
Program and Financing (in millions of dollars)—Continued
Identification code 12–0113–0–1–352

87.00

2006 actual

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

2007 est.

2008 est.

¥11

¥5

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

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

565
4
8
3

586
6
6
5

09.19

153

Subtotal, operating expenses ....................................
621
Finance and management .............................................
16
Information technology .................................................. ...................
Corporate systems .........................................................
9
Subtotal, purchase of equipment .............................

10.00

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

646

580

603

98
637

93
596

109
588

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
New budget authority (gross) ........................................
Resources available from recoveries of prior year obligations .......................................................................
22.22 Unobligated balance transferred from other accounts
21.40
22.00
22.10

1 ................... ...................
3 ................... ...................

109
142

38 ...................
58
15

The Department of Agriculture Reorganization Act of 1994
requires the Secretary of Agriculture to procure and use computer systems in a manner that enhances efficiency, productivity, and client services, and that promotes computer information sharing among agencies of the Department. The
USDA Service Center Modernization Initiative (SCMI) created
the common computing environment (CCE) to optimize information sharing, customer service, and staff efficiencies. The
funds provided under this account fund essential capital investments. Without these investments, the Department’s ability to provide timely and efficient services will continue to
erode. A reorganization that combines the information technology (IT) staffs of the Service Center Agencies (SCA) into
one IT organization with OCIO went into effect on November
28, 2004. The organization, the Information Technology Services (ITS), replaced a network of cross-agency teams used
to co-ordinate IT infrastructure investment within the SCA
and allows for unified management of the IT infrastructure.
The ITS delivers the following classes of technology services:
Acquisition and Asset Management, Application Development
and Deployment, Customer Support and End User Computing, Data Utility, Hosting, Security, Telecommunications
and Web Services. Service Level Agreements (SLAs) that
specify performance metrics will be negotiated with the SCA
for each class of service. For 2008, funding for this account
is being requested through the individual agencies.

23.90
23.95

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

739
¥646

689
¥580

697
¥603

24.40

89.00
90.00

Unobligated balance carried forward, end of year

109

60 ................... ...................
668

596

588

¥91 ................... ...................

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

577

596

588

70.00

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

637

596

588

72.40
73.10
73.20
73.45
74.00

¥42
73
33
646
580
603
¥621
¥620
¥589
¥1 ................... ...................
91 ................... ...................

Identification code 12–0113–0–1–352

2006 actual

2007 est.

99.0
99.0

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

110
21

45 ...................
21
5

99.9

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

131

2 ................... ...................
36
45 ...................
30 ................... ...................
20 ................... ...................
22 ................... ...................

WORKING CAPITAL FUND
Program and Financing (in millions of dollars)
Identification code 12–4609–0–4–352

Obligations by program activity:
09.01 Administration ................................................................
09.02 Communications ............................................................
09.03 Finance and management .............................................
09.04 Information technology ..................................................
09.05 Executive secretariat ......................................................
09.06 Corporate systems .........................................................

86.90
86.93

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

547
74

516
104

509
80

87.00

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

621

620

589

¥661
¥7

¥592
¥4

¥584
¥4

¥668

¥596

¥588

88.95

26.0
31.0

25.2
25.3

2008 est.

Direct obligations:
Communications, utilities, and miscellaneous
charges .................................................................
Other services ............................................................
Other purchases of goods and services from Government accounts .................................................
Supplies and materials .............................................
Equipment .................................................................

23.3

Obligated balance, end of year ................................

88.90

Object Classification (in millions of dollars)

74.40

2006 actual

33
8
210
311
3
56

2007 est.

28
7
180
277
3
70

2008 est.

28
7
190
283
3
75

89.00
90.00

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

91 ................... ...................

60 ................... ...................
¥47
24
1

This fund finances by advances or reimbursements certain
central services in the Department of Agriculture, including
duplicating and other visual information services, art and
graphics, video services, supply, centralized accounting systems, centralized automated data processing systems for payroll, personnel, and related services, voucher payments services, and Information Technology systems. The National Finance Center’s expenses are also funded through this fund.
The capital consists of $400 thousand appropriated (7 U.S.C.
2235), and subsequent appropriations of $45 million as of
September 30, 2006. Earnings are kept at a low level through
adjustments in rates charged for services to maintain as nearly as possible the nonprofit nature of the fund.
Object Classification (in millions of dollars)
Identification code 12–4609–0–4–352

Reimbursable obligations:

2006 actual

2007 est.

2008 est.

DEPARTMENTAL ADMINISTRATION
Federal Funds

DEPARTMENT OF AGRICULTURE

11.1
11.3
11.5

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

154
1
9

169
2
1

165
2
1

11.9
12.1
21.0
22.0
23.1
23.2
23.3
24.0
25.2
26.0
31.0

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

164
43
6
1
3
10
107
1
256
16
39

172
46
4
1
5
2
66
1
249
13
21

168
45
4
1
4
3
83
1
256
13
25

99.9

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

646

580

603

Employment Summary
Identification code 12–4609–0–4–352

2006 actual

Reimbursable:
2001 Civilian full-time equivalent employment .....................

2007 est.

2,325

2008 est.

2,965

89.00
90.00

Against gross budget authority only:
Change in uncollected customer payments from
Federal sources (unexpired) ..................................
Portion of offsetting collections (cash) credited to
expired accounts ...................................................
Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

CIVIL RIGHTS

For necessary expenses of the Office of Civil Rights, $23,147,000.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

2008 est.

20
4

23
5

10.00

25
¥25

24
¥24

99.0
99.0
99.5

99.9

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

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

2008 est.

13
3
2
4

19
20
5
4
1 ...................

22
4
2

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................

28
¥28

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

72.40
73.10
73.20
73.40
74.00

2007 est.

2008 est.

140

144

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
20
20
23
Spending authority from offsetting collections:
58.00
Offsetting collections (cash) ................................ ...................
4
5
58.10
Change in uncollected customer payments from
Federal sources (unexpired) .............................
5 ................... ...................

70.00

2006 actual

Identification code 12–3800–0–1–352

20
5

58.90

23
23

Employment Summary
2007 est.

Obligations by program activity:
00.01 Office of Civil Rights .....................................................
09.01 Reimbursable program ..................................................

20
20

Direct obligations:
Personnel compensation: Full-time permanent ........
12
13
Civilian personnel benefits .......................................
3
3
Other services ............................................................ ................... ...................
Other purchases of goods and services from Government accounts .................................................
4
4

Program and Financing (in millions of dollars)

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

20
17

Object Classification (in millions of dollars)

(INCLUDING TRANSFERS OF FUNDS)

2006 actual

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

11.1
12.1
25.2
25.3

Federal Funds

Identification code 12–3800–0–1–352

¥5 ................... ...................

The Office of Civil Rights (CR) provides overall leadership
responsibility for all Department-wide civil rights activities
including employment opportunity and program non-discrimination policy development, analysis, coordination, and compliance. CR is responsible for providing leadership in the implementation of best practices that will create an environment
where diversity is valued as a source of strength. CR has
the responsibility for monitoring program activities to ensure
that all USDA programs are delivered in a non-discriminatory
manner.

Identification code 12–3800–0–1–352

OFFICE OF CIVIL RIGHTS
OF

88.96

2,723

OFFICE

88.95

¥1
7
7
25
24
28
¥22
¥24
¥28
5 ................... ...................

DEPARTMENTAL ADMINISTRATION
Federal Funds
DEPARTMENTAL ADMINISTRATION
(INCLUDING TRANSFERS OF FUNDS)

For Departmental Administration, $24,608,000, to provide for necessary expenses for management support services to offices of the Department and for general administration, security, repairs and alterations, and other miscellaneous supplies and expenses not otherwise
provided for and necessary for the practical and efficient work of
the Department: Provided, That this appropriation shall be reimbursed from applicable appropriations in this Act for travel expenses
incident to the holding of hearings as required by 5 U.S.C. 551–
558.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

¥5 ................... ...................
5 ................... ...................
7

Program and Financing (in millions of dollars)
Identification code 12–0120–0–1–352

2006 actual

2007 est.

2008 est.

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

¥5

¥4

22
23

23
17

25
18

10.00

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

Obligations by program activity:
00.08 Departmental administration .........................................
09.01 Reimbursable program ..................................................
Total new obligations ................................................

22.00

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

¥5

DEPARTMENTAL ADMINISTRATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008
11.1
12.1
23.3

(INCLUDING TRANSFERS OF FUNDS)—Continued

Program and Financing (in millions of dollars)—Continued
Identification code 12–0120–0–1–352

23.95
23.98

Total new obligations ....................................................
Unobligated balance expiring or withdrawn .................

2006 actual

2007 est.

¥45
¥40
¥43
¥3 ................... ...................

21 ................... ...................
25

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

Obligated balance, end of year ................................

86.90
86.93

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

87.00

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

22
22
1

22
16
2

24
17
2

99.9

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

70.00

74.40

2008 est.

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

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) ................................................

99.0
99.0
99.5

25.2
25.3

58.90

72.40
73.10
73.20
73.40
74.00

Personnel compensation: Full-time permanent ........
Civilian personnel benefits .......................................
Communications, utilities, and miscellaneous
charges .................................................................
Other services ............................................................
Other purchases of goods and services from Government accounts .................................................
Equipment .................................................................

14
3

31.0

DEPARTMENTAL ADMINISTRATION—Continued

Identification code 12–0120–0–1–352

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................

2007 est.

2008 est.

176

180

HAZARDOUS MATERIALS MANAGEMENT
(INCLUDING TRANSFERS OF FUNDS)

¥18

¥12

44
38
¥2 ...................

41
2

¥17

1
1
2
1 ................... ...................

¥12

¥14

1
2

10 ................... ...................

1 ...................
2
2

For necessary expenses of the Department of Agriculture, to comply
with the Comprehensive Environmental Response, Compensation, and
Liability Act (42 U.S.C. 9601 et seq.) and the Resource Conservation
and Recovery Act (42 U.S.C. 6901 et seq.), $12,200,000, to remain
available until expended: Provided, That appropriations and funds
available herein to the Department for Hazardous Materials Management may be transferred to any agency of the Department for its
use in meeting all requirements pursuant to the above Acts on Federal
and non-Federal lands. (42 U.S.C. 6961, et seq., 42 U.S.C. 9601,
et seq.)

¥21 ................... ...................

15
4

Employment Summary

¥7
¥14
¥12
45
40
43
¥42
¥38
¥43
1 ................... ...................

¥14

15
4

Program and Financing (in millions of dollars)
¥21 ................... ...................
Identification code 12–0500–0–1–304

10 ................... ...................

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Hazardous materials management ................................

25
25

10.00

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

Departmental Administration is comprised of activities that
provide staff support to top policy officials and overall direction and coordination of the Department. These activities include Department-wide programs for human capital management, ethics, occupational safety and health management,
real and personal property management, acquisitions and contracting, motor vehicle and aircraft management, supply management, participation of small and disadvantaged businesses,
service-disabled veterans programs, emergency preparedness,
and the regulatory hearing and administrative proceedings
conducted by the Administrative Law Judges, and Judicial
Officer.
Departmental Administration is also responsible for representing USDA in the development of Government-wide policies and initiatives; analyzing the impact of Government-wide
trends and developing appropriate USDA principles, policies,
and standards. In addition, Departmental Administration engages in strategic planning and evaluating programs to ensure USDA-wide compliance with applicable laws, rules, and
regulations pertaining to administrative matters for the Secretary and general officers of the Department.

21.40
22.00

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

6
12

1
12

23.90
23.95

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

18
¥17

13
¥12

24.40

Unobligated balance carried forward, end of year

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

72.40
73.10
73.20

18
17
¥11

24
12
¥13

23
12
¥13

74.40

Obligated balance, end of year ................................

Outlays (gross), detail:
Outlays from new discretionary authority .....................
11
Outlays from discretionary balances ............................. ...................

11
2

89.00
90.00

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

23
28

23
21

Direct obligations:

2006 actual

2007 est.

2008 est.

87.00

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

89.00
90.00

Object Classification (in millions of dollars)
Identification code 12–0120–0–1–352

86.90
86.93

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

12
11

12
13

Under the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA) and the Resource Con-

OFFICE OF COMMUNICATIONS
Federal Funds

DEPARTMENT OF AGRICULTURE

servation and Recovery Act (RCRA), the Department has the
responsibility to meet the same standards for environmental
cleanup and regulatory compliance regarding hazardous
wastes and hazardous substances as private businesses. With
substantial commitments under these Acts, a central fund
has been established so that the Department’s agencies may
be reimbursed for their cleanup efforts. Projects are selected
for funding according to objective criteria.

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................

2007 est.

AND

FACILITIES

AND

RENTAL PAYMENTS

74.40

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

52
18
20
195
182
220
¥215
¥180
¥220
¥12 ................... ...................
¥2 ................... ...................

Obligated balance, end of year ................................

87.00

2008 est.

AGRICULTURE BUILDINGS

86.90
86.93

Employment Summary
Identification code 12–0500–0–1–304

72.40
73.10
73.20
73.45
74.00

188
180
27 ...................

218
2

215

180

220

¥2

¥3

¥2 ................... ...................

(INCLUDING TRANSFERS OF FUNDS)

For payment of space rental and related costs pursuant to Public
Law 92–313, including authorities pursuant to the 1984 delegation
of authority from the Administrator of General Services to the Department of Agriculture under 40 U.S.C. 486, for programs and activities
of the Department which are included in this Act, and for alterations
and other actions needed for the Department and its agencies to consolidate unneeded space into configurations suitable for release to
the Administrator of General Services, and for the operation, maintenance, improvement, and repair of Agriculture buildings and facilities,
and for related costs, $216,837,000, to remain available until expended, of which $156,590,000 shall be available for payments to
the General Services Administration for rent and the Department of
Homeland Security for building security: Provided, That amounts
which are made available for space rental and related costs for the
Department of Agriculture in this Act may be transferred between
such appropriations to cover the costs of additional, new, or replacement space 15 days after notice thereof is transmitted to the Appropriations Committees of both Houses of Congress.

89.00
90.00

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

Identification code 12–0117–0–1–352

2006 actual

Program and Financing (in millions of dollars)

25.2

Direct obligations:
Personnel compensation: Full-time permanent ........
Civilian personnel benefits .......................................
Rental payments to GSA ...........................................
Communications, utilities, and miscellaneous
charges .................................................................
Other services ............................................................

99.0
99.0

147
140
157
41
39
60
2 ................... ...................
5
3
3

99.9

195

Identification code 12–0117–0–1–352

00.01
00.02
00.04
09.02

Obligations by program activity:
Rental payments to GSA: Non-recurring repairs ...........
Building operations and maintenance ..........................
Strategic space plan .....................................................
Reimbursable program ..................................................

10.00

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

21.40
22.00
22.10
23.90
23.95
24.40

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 carried forward, end of year

4
190

2007 est.

2008 est.

182

11
182

220

11
220

12 ................... ...................
206
¥195
11

193
¥182
11

188
179
217
¥2 ................... ...................

43.00

186

179

217

58.00
58.10
58.90

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

2008 est.

7
2
140

7
2
157

9
26

8
22

10
41

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

190
5

179
3

217
3

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

195

182

220

Employment Summary
2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................

2007 est.

2008 est.

OFFICE OF COMMUNICATIONS
Federal Funds
OFFICE

COMMUNICATIONS

For necessary expenses to carry out services relating to the coordination of programs involving public affairs, for the dissemination of
agricultural information, and the coordination of information, work,
and programs authorized by Congress in the Department, $9,720,000:
Provided, That not to exceed $2,000,000 may be used for farmers’
bulletins.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)

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

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

190

182

220

Identification code 12–0150–0–1–352

70.00

2007 est.

6
2
147

231
¥220
11

217
217

Object Classification (in millions of dollars)

11.1
12.1
23.1
23.3

2006 actual

179
177

This account finances the General Services Administration’s
fees for rental of space and the Department of Homeland
Security for security-related fees. The appropriation covers
all fees for all regular appropriated accounts within the Department of Agriculture with the exception of the Forest Service. This account also finances the day to day operations,
repair, improvement and maintenance activities of the four
buildings in the Headquarters complex.

Identification code 12–0117–0–1–352

186
213

Obligations by program activity:

2006 actual

2007 est.

2008 est.

OFFICE OF COMMUNICATIONS—Continued
Federal Funds—Continued

OFFICE

THE BUDGET FOR FISCAL YEAR 2008

COMMUNICATIONS—Continued

OFFICE OF THE INSPECTOR GENERAL

Program and Financing (in millions of dollars)—Continued
Identification code 12–0150–0–1–352

2006 actual

Federal Funds

2007 est.

OFFICE

2008 est.

00.01

Public affairs .................................................................

10.00

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

22.00
23.95

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

9
¥9

10
¥9

11
¥10

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
9
58.00
Spending authority from offsetting collections: Offsetting collections (cash) ..................................... ...................

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

INSPECTOR GENERAL

For necessary expenses of the Office of the Inspector General, including employment pursuant to the Inspector General Act of 1978,
$83,998,000, including such sums as may be necessary for contracting
and other arrangements with public agencies and private persons
pursuant to section 6(a)(9) of the Inspector General Act of 1978, and
including not to exceed $125,000 for certain confidential operational
expenses, including the payment of informants, to be expended under
the direction of the Inspector General pursuant to Public Law 95–
452 and section 1337 of Public Law 97–98. (7 U.S.C. 450b, 2201,
2202, 2220, 2270; Public Law 100–504.)

70.00

OF THE

Program and Financing (in millions of dollars)
Identification code 12–0900–0–1–352

Change in obligated balances:
72.40 Obligated balance, start of year ...................................
1
73.10 Total new obligations ....................................................
9
73.20 Total outlays (gross) ......................................................
¥9
73.40 Adjustments in expired accounts (net) ......................... ...................
74.40

Obligated balance, end of year ................................

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

1
10
¥11
1

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

82
3

10.00

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

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

3
85

4
83

2
88

9
1

10
1

23.90
23.95

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

88
¥84

87
¥85

90
¥85

24.40

Unobligated balance carried forward, end of year

¥1

9
9

10
10

9
9

Public affairs.—This office provides general direction, leadership, and coordination of the Department’s information program. The major objective is to provide a balanced and useful
information program that reports on USDA’s research, administrative action, and regulatory activities using all communications media in order to enable the general public and
the agricultural industry to have a better understanding of
agriculture’s services to farmers and to society and to provide
accurate, timely information during an emergency.
Object Classification (in millions of dollars)
Identification code 12–0150–0–1–352

2006 actual

2008 est.

81
3

2007 est.

21.40
22.00

1
9
¥10
1

Outlays (gross), detail:
86.90 Outlays from new discretionary authority .....................
9
86.93 Outlays from discretionary balances ............................. ...................
87.00

2006 actual

Obligations by program activity:
00.01 Office of the Inspector General .....................................
09.01 Reimbursable program ..................................................

2007 est.

58.00
58.10
58.90
70.00

81
79
84
¥1 ................... ...................
80

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) ................................................
72.40
73.10
73.20
73.40
74.00

5
8
13
84
85
85
¥82
¥83
¥87
¥1 ................... ...................
¥1 ................... ...................
3

74.40

2008 est.

Obligated balance, end of year ................................

11.1
12.1

Direct obligations:
Personnel compensation: Full-time permanent ........
Civilian personnel benefits .......................................

6
1

86.90
86.93

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

75
7

76
7

80
7

99.0
99.0
99.5

Direct obligations ..................................................
8
7
Reimbursable obligations .............................................. ...................
2
Below reporting threshold ..............................................
1 ...................

7
2
1

87.00

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

¥7

¥4

99.9

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

7
1

Employment Summary
Identification code 12–0150–0–1–352

1001

Direct:
Civilian full-time equivalent employment .....................

2006 actual

2007 est.

2008 est.

89.00
90.00

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

¥1 ................... ...................
3 ................... ...................

80
75

79
79

84
83

ECONOMIC RESEARCH SERVICE
Federal Funds

DEPARTMENT OF AGRICULTURE

The Office keeps the Secretary and Congress informed
about fraud, other serious problems, mismanagement, and
deficiencies in Department programs and operations, recommends corrective action, and reports on the progress
made in correcting the problems. It reviews existing and
proposed legislation and regulations and makes recommendations to the Secretary and Congress regarding the
impact these laws have on the Department’s programs and
the prevention and detection of fraud and mismanagement
in such programs. The Office provides policy direction and
conducts, supervises, and coordinates all audits and investigations. The Office supervises and coordinates other activities in the Department and between the Department
and other Federal, State and local government agencies
whose purposes are to: (a) promote economy and efficiency;
(b) prevent and detect fraud and mismanagement; and (c)
identify and prosecute people involved in fraud or mismanagement.

70.00

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

72.40
73.10
73.20

2
42
¥40

4
43
¥43

4
46
¥46

74.40

Obligated balance, end of year ................................

86.90
86.93

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

38
2

41
2

44
2

87.00

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

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

¥3

¥4

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

39
37

39
39

42
42

89.00
90.00

Object Classification (in millions of dollars)
Identification code 12–0900–0–1–352

2006 actual

2007 est.

2008 est.

26.0
31.0

Direct obligations:
Personnel compensation: Full-time permanent ........
Civilian personnel benefits .......................................
Travel and transportation of persons .......................
Communications, utilities, and miscellaneous
charges .................................................................
Other services ............................................................
Other purchases of goods and services from Government accounts .................................................
Supplies and materials .............................................
Equipment .................................................................

99.0
99.0

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

81
3

82
3

99.9

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

The Office of the General Counsel of the Department of
Agriculture provides all legal advice, counsel, and services
to the Secretary and to all agencies, offices, and corporations
of the Department on all aspects of their operations. It represents the Department in administrative proceedings; nonlitigation debt collection proceedings; state water rights adjudications; proceedings before the Environmental Protection
Agency, Federal Maritime Administration, International
Trade Commission, and other Federal agencies; and, in conjunction with the Department of Justice, in judicial proceedings and litigation. All attorneys and related support personnel devoted to those efforts are under the supervision of
the General Counsel.

11.1
12.1
21.0
23.3
25.2
25.3

52
15
5

52
16
5

2
4

1
1
1

Identification code 12–2300–0–1–352

Employment Summary
Identification code 12–0900–0–1–352

1001

595

615

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

39
3

39
4

42
4

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

620

Federal Funds
GENERAL COUNSEL

For necessary expenses of the Office of the General Counsel,
$41,721,000. (7 U.S.C. 2201; 2202, 2214a.)
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
Identification code 12–2300–0–1–352

2006 actual

2007 est.

28
7

29
7

31
8

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

Employment Summary
Identification code 12–2300–0–1–352

2006 actual

Direct:
Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................
1001

2007 est.

2008 est.

295

301

306

2008 est.

Obligations by program activity:
00.01 Office of the General Counsel .......................................
09.00 Reimbursable program ..................................................

39
3

39
4

42
4

10.00

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

2008 est.

99.0
99.0

11.1
12.1
23.3

2008 est.

OFFICE OF THE GENERAL COUNSEL
OF THE

2007 est.

Direct obligations:
Personnel compensation: Full-time permanent ........
Civilian personnel benefits .......................................
Communications, utilities, and miscellaneous
charges .................................................................
Other services ............................................................
Supplies and materials .............................................
Equipment .................................................................

99.9

2007 est.

OFFICE

2006 actual

25.2
26.0
31.0

2006 actual

Direct:
Civilian full-time equivalent employment .....................

Object Classification (in millions of dollars)

ECONOMIC RESEARCH SERVICE
Federal Funds
ECONOMIC RESEARCH SERVICE

42
¥42

43
¥43

46
¥46

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
58.00
Spending authority from offsetting collections: Offsetting collections (cash) .....................................

For necessary expenses of the Economic Research Service in conducting economic research and analysis, $82,544,000. (7 U.S.C. 292,
411, 427, 1441a, 1704, 1761–68, 2201, 2202, 2225, 3103, 3291, 3311,
3504; 22 U.S.C. 3101; 42 U.S.C. 1891–93; 44 U.S.C. 3501–11; 50
U.S.C. 2061 et seq.)
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

ECONOMIC RESEARCH SERVICE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008
25.2
25.3

Other services ............................................................
Other purchases of goods and services from Government accounts .................................................
Research and development contracts .......................
Supplies and materials .............................................
Equipment .................................................................
Grants, subsidies, and contributions ........................

25.5
26.0
31.0
41.0

11
5
1
1
1

11
7
1
1
1

99.0
99.0

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

75
1

75
2

83
2

99.9

ECONOMIC RESEARCH SERVICE—Continued

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

Program and Financing (in millions of dollars)
Identification code 12–1701–0–1–352

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Economic Research Service ...........................................
09.00 Reimbursable program ..................................................

75
1

75
2

83
2

10.00

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

Budgetary resources available for obligation:
22.00 New budget authority (gross) ........................................
23.95 Total new obligations ....................................................
New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
40.35
Appropriation permanently reduced ..........................
43.00
58.00

76
¥76

77
¥77

85
¥85

Employment Summary
Identification code 12–1701–0–1–352

76
75
83
¥1 ................... ...................

Appropriation (total discretionary) ........................
Spending authority from offsetting collections: Offsetting collections (cash) .....................................

70.00

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

72.40
73.10
73.20
73.40
74.10

28
30
23
76
77
85
¥74
¥84
¥84
¥2 ................... ...................
2 ................... ...................

74.40

Obligated balance, end of year ................................

86.90
86.93

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

57
17

67
17

74
10

87.00

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

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

¥1

¥2

75
82

83
82

The Economic Research Service provides economic and
other social science research and analysis for public and private decisions on agriculture, food, natural resources, and
rural America.
Miscellaneous funds received from States, local organizations, and others are available for support of economic research and analysis (7 U.S.C. 450b, 450h, 3318b).
The 2008 Budget request includes a program increase of
$5 million to strengthen and enhance the ERS market analysis and outlook program to provide timely analysis of global
agricultural product markets and a program increase of $1
million to strengthen ERS’ research and modeling capacity
in the area of bio-energy. Particular emphasis will be given
to the market impacts associated with bio-energy development.
Object Classification (in millions of dollars)
Identification code 12–1701–0–1–352

11.1
11.3
11.5
11.9
12.1
13.0
21.0
23.3

2006 actual

2007 est.

38
1
1

42
1
1

39
40
44
8
8
9
1 ................... ...................
1
1
1
1

412

442

Federal Funds
For necessary expenses of the National Agricultural Statistics Service in conducting statistical reporting and service work, $167,699,000,
of which up to $54,325,000 shall be available until expended for
the Census of Agriculture. (7 U.S.C. 411, 411a, 411b, 427, 471, 475,
476, 501, 951, 953, 955–57, 2201, 2202, 2204, 2225, 2248, 3103, 3311,
3504; 18 U.S.C. 1902, 1905, 2072; 42 U.S.C. 1891–93; 44 U.S.C.
3501–11; 50 U.S.C. 2061 et seq., 2251 et seq.)
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
2006 actual

2007 est.

2008 est.

00.01
00.02
00.03
09.01

Obligations by program activity:
Agricultural estimates ...................................................
Statistical research and service ....................................
Census of agriculture ....................................................
Reimbursable program ..................................................

103
6
31
21

104
7
29
18

107
7
54
15

10.00

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

161

158

183

21.40
22.00

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

2
160

1
158

1
183

23.90
23.95

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

162
¥161

159
¥158

184
¥183

24.40

Unobligated balance carried forward, end of year

140
140
168
¥1 ................... ...................

43.00

139

140

168

58.90
37
1
1

400

NATIONAL AGRICULTURAL STATISTICS SERVICE

58.00
58.10

2008 est.

NATIONAL AGRICULTURAL STATISTICS
SERVICE

Identification code 12–1801–0–1–352

75
73

2007 est.

¥2

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

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................

10 ................... ...................

60.26

Spending authority from offsetting collections
(total discretionary) ..........................................
Mandatory:
Appropriation (trust fund) .........................................

70.00

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

160

158

183

72.40
73.10
73.20

16
161
¥163

13
158
¥161

10
183
¥185

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

AGRICULTURAL RESEARCH SERVICE
Federal Funds

DEPARTMENT OF AGRICULTURE
74.00
74.10
74.40

Change in uncollected customer payments from Federal sources (unexpired) ............................................
Change in uncollected customer payments from Federal sources (expired) ................................................
Obligated balance, end of year ................................

¥10 ................... ...................

99.0
99.0

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

140
21

140
18

168
15

9 ................... ...................

99.9

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

161

158

183

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

139
143
165
23
18
20
1 ................... ...................

87.00

163

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

161

185

¥15
¥5

¥15
¥3

¥12
¥3

88.90

¥20

¥18

¥15

88.95
88.96

89.00
90.00

Total, offsetting collections (cash) .......................
Against gross budget authority only:
Change in uncollected customer payments from
Federal sources (unexpired) ..................................
Portion of offsetting collections (cash) credited to
expired accounts ...................................................
Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

11.1
11.3
11.5
11.9
12.1
21.0
22.0
23.3
25.2
25.3
25.7
26.0
31.0

Total personnel compensation ..............................
Civilian personnel benefits .......................................
Travel and transportation of persons .......................
Transportation of things ...........................................
Communications, utilities, and miscellaneous
charges .................................................................
Other services ............................................................
Other purchases of goods and services from Government accounts .................................................
Operation and maintenance of equipment ...............
Supplies and materials .............................................
Equipment .................................................................

Identification code 12–1801–0–1–352

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................

2007 est.

2008 est.

1,029

1,033

106

AGRICULTURAL RESEARCH SERVICE
Federal Funds
SALARIES

¥10 ................... ...................
10 ................... ...................

140
143

168
170

Object Classification (in millions of dollars)

Employment Summary

Agricultural estimates.—The Service provides the official
National and State estimates of acreage, yield, and production
of crops, stocks, and value of farm commodities, and numbers
of inventory values of livestock items. Data on approximately
120 crops and 45 livestock products are covered in over 500
reports issued each year. Detailed data are also collected on
agricultural chemical use, labor, and expenditures. In addition, the Census of Agriculture is conducted every five years
which provides comprehensive data on the Nation’s agricultural industry down to the county level. Incentives and promotional items are used by NASS to support outreach efforts
to maximize response rates on surveys and the Census of
Agriculture.
The work under this activity is conducted through 46 field
offices serving the 50 States and Puerto Rico; most of these
offices are operated as joint State and Federal services. Cooperative arrangements with State agencies provide additional
State and county data.
Census of Agriculture.—The Census of Agriculture is conducted every five years. A proposed program increase of $24.7
million due to cyclical activities will be used for many significant data collection and processing activities to occur in 2008.
Miscellaneous funds received from local organizations, commodity groups, and others are available for dissemination
of reports and for survey work conducted under cooperative
agreements (7 U.S.C. 450b, 450h, 3318b).

Identification code 12–1801–0–1–352

2006 actual

2007 est.

2008 est.

71
1
1

75
1
1

77
1
1

73
18
2
1

77
18
2
1

79
20
2
1

5
22

9
35

9
3
2
5

7
1
2
5

14
1
2
5

AND

EXPENSES

For necessary expenses to enable the Agricultural Research Service
to perform agricultural research and demonstration relating to production, utilization, marketing, and distribution (not otherwise provided for); home economics or nutrition and consumer use including
the acquisition, preservation, and dissemination of agricultural information; and for acquisition of lands by donation, exchange, or purchase at a nominal cost not to exceed $100, and for land exchanges
where the lands exchanged shall be of equal value or shall be equalized by a payment of money to the grantor which shall not exceed
25 percent of the total value of the land or interests transferred out
of Federal ownership, $1,021,517,000: Provided, That appropriations
hereunder shall be available for the operation and maintenance of
aircraft and the purchase of not to exceed one for replacement only:
Provided further, That appropriations hereunder shall be available
pursuant to 7 U.S.C. 2250 for the construction, alteration, and repair
of buildings and improvements, but unless otherwise provided, the
cost of constructing any one building shall not exceed $375,000, except
for headhouses or greenhouses which shall each be limited to
$1,200,000, and except for 10 buildings to be constructed or improved
at a cost not to exceed $750,000 each, and the cost of altering any
one building during the fiscal year shall not exceed 10 percent of
the current replacement value of the building or $375,000, whichever
is greater: Provided further, That the limitations on alterations contained in this Act shall not apply to modernization or replacement
of existing facilities at Beltsville, Maryland: Provided further, That
appropriations hereunder shall be available for granting easements
at the Beltsville Agricultural Research Center: Provided further, That
the foregoing limitations shall not apply to replacement of buildings
needed to carry out the Act of April 24, 1948 (21 U.S.C. 113a): Provided further, That funds may be received from any State, other political subdivision, organization, or individual for the purpose of establishing or operating any research facility or research project of the
Agricultural Research Service, as authorized by law: Provided further,
That the Secretary, through the Agricultural Research Service, or successor, is authorized to lease approximately 40 acres of land at the
Central Plains Experiment Station, Nunn, Colorado, to the Board
of Governors of the Colorado State University System, for its
Shortgrass Steppe Biological Field Station, on such terms and conditions as the Secretary deems in the public interest: Provided further,
That the Secretary understands that it is the intent of the University
to construct research and educational buildings on the subject acreage
and to conduct agricultural research and educational activities in
these buildings: Provided further, That as consideration for a lease,
the Secretary may accept the benefits of mutual cooperative research
to be conducted by the Colorado State University and the Government
at the Shortgrass Steppe Biological Field Station: Provided further,
That the term of any lease shall be for no more than 20 years, but
a lease may be renewed at the option of the Secretary on such terms
and conditions as the Secretary deems in the public interest: Provided
further, That the Agricultural Research Service may convey all rights
and title of the United States, to a parcel of land comprising approximately 19 acres, located in Section 2, Township 18 North, Range
14 East in Oktibbeha County, Mississippi, originally conveyed by the
Board of Trustees of the Institution of Higher Learning of the State
of Mississippi, and described in instruments recorded in Deed Book
306 at pages 553–554, Deed Book 319 at page 219, and Deed Book
33 at page 115, of the public land records of Oktibbeha County,
Mississippi, including facilities, and fixed equipment, to the Mis-

AGRICULTURAL RESEARCH SERVICE—Continued
Federal Funds—Continued

SALARIES

AND

THE BUDGET FOR FISCAL YEAR 2008
74.10

EXPENSES—Continued

sissippi State University, Starkville, Mississippi, in their ‘‘as is’’ condition, when vacated by the Agricultural Research Service: Provided
further, That none of the funds appropriated under this heading shall
be available to carry out research related to the production, processing,
or marketing of tobacco or tobacco products. (7 U.S.C. 328, 427, 427i,
1281 note, 1621, 2201, 2204, 2225, 3101 note; 10 U.S.C. 2306; 16
U.S.C. 590(a)-590(b), 590(k); 18 U.S.C. 1114; 19 U.S.C. 1306(a),
1306(c); 20 U.S.C. 191–194; 21 U.S.C. 114c, 114e–131; 42 U.S.C.
1476(e), 1483.)

Special and Trust Fund Receipts (in millions of dollars)
2006 actual

2007 est.

2008 est.

74.40

Obligated balance, end of year ................................

303

317

330

86.90
86.93

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

953
266

850
293

825
271

87.00

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

1,219

1,143

1,096

¥71
¥13

¥71
¥16

¥84

¥87

88.95

01.00

Balance, start of year .................................................... ...................
6
6
Adjustments:
01.91 Adjustments ...................................................................
4 ................... ...................
01.99

54 ................... ...................

88.90

Identification code 12–1400–0–1–352

Change in uncollected customer payments from Federal sources (expired) ................................................

Balance, start of year ....................................................
Receipts:
02.20 Proceeds of land sales, ARS .........................................

04.00

Total: Balances and collections ....................................

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

¥58 ................... ...................
54 ................... ...................

07.99

88.96

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

Program and Financing (in millions of dollars)
Identification code 12–1400–0–1–352

Obligations by program activity:
00.01 Product quality/value added ..........................................
00.02 Livestock production ......................................................
00.03 Crop production .............................................................
00.04 Food safety .....................................................................
00.05 Livestock protection .......................................................
00.06 Crop protection ..............................................................
00.07 Human nutrition research ..............................................
00.08 Environmental stewardship ...........................................
00.09 National Agricultural Library .........................................
00.10 Repair and maintenance of facilities ...........................
00.11 Collaborative research program ....................................
00.12 Homeland security .........................................................
00.13 Construction/miscellaneous fees ...................................
09.00 Reimbursable program ..................................................

2006 actual

2007 est.

2008 est.

105
99
104
85
80
71
201
190
169
95
90
80
66
62
65
187
176
150
84
80
84
223
210
171
24
21
20
18
17
17
6 ................... ...................
36
33
91
5
12 ...................
87
87
87

10.00

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

1,222

1,157

21.40
22.00

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

2
1,235

12 ...................
1,145
1,109

23.90
23.95
23.98

Total budgetary resources available for obligation
Total new obligations ....................................................
Unobligated balance expiring or withdrawn .................

1,237
1,157
1,109
¥1,222
¥1,157
¥1,109
¥3 ................... ...................

24.40

Unobligated balance carried forward, end of year

12 ................... ...................

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
40.35
Appropriation permanently reduced ..........................
42.00 Transferred from other accounts ...................................

1,152
1,058
1,022
¥11 ................... ...................
6 ................... ...................

43.00

1,147

1,058

1,022

58.00
58.10
58.90

1,109

58 ................... ...................

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

70.00

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

1,235

1,145

1,109

72.40
73.10
73.20
74.00

304
1,222
¥1,219

303
1,157
¥1,143

317
1,109
¥1,096

¥58 ................... ...................

89.00
90.00

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

1,147
1,135

1,058
1,056

1,022
1,009

The Agricultural Research Service conducts research to provide the means for a safer, more economical supply of agricultural products for the Nation and to provide producers with
technologies to competitively supply these products. Technology needs of regulatory, technical assistance and education
agencies of USDA and other Federal agencies are supported
through ARS research. The Service uses coordinated, interdisciplinary approaches to perform basic and applied research
on soil and water conservation, plant and animal sciences,
commodity conversion and delivery, human nutrition, and integrated agricultural systems. In 2008, the Service proposes
increased emphases for critical research needs in agriculture,
such as: support for homeland security efforts to protect the
Nations food supply (emerging and exotic diseases of animals,
food safety, and security for overseas biological control laboratories); renewable energy sources; equipment for the National
Centers for Animal Health; obesity; genomics; genetic resources (specialty crops and plant introduction stations); organic production systems; and agricultural information services. Consistent with the 2007 Budget, the 2008 Budget also
proposes to eliminate funding for unrequested Congressional
earmarks added to the Service since 2001. In 2006, the Service submitted 83 new patent applications, participated in 54
new Cooperative research and development agreements
(CRADAs), licensed 25 new products, and developed 51 new
plant varieties to release to industry for further development
and marketing.
Product Quality/Value Added.—New products, new uses,
and value-added processes that appeal to consumers will create additional demand-driven need for agricultural production, thus providing more opportunities for agricultural producers and businesses. Biobased technologies promise new
opportunities for energy, industrial and pharmacological markets for U.S. farmers. New markets are emerging for environmental activities and products that mitigate environmental
concerns.
Livestock Production.—Intense competition in global markets emphasizes the need for American agriculture to pursue
and market higher value animal products. Research must
respond to consumer demands for healthier and safer products to ensure a sustainable and profitable livestock production system that produces affordable value-added food, fiber,
and industrial products. These superior technologies must effectively differentiate U.S. agricultural products from competing sources and provide customers with value-added processes that enhance product quality.

AGRICULTURAL RESEARCH SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE

Crop Production.—ARS will develop and disseminate
science-based information to provide U.S. crop producers with
increased flexibility to effectively manage unforeseen risks
that impact profitability and product quality. U.S. agricultural
production and marketability is constantly influenced by factors such as unpredictable weather, disease and pest outbreaks, and changing consumer demands. Use of genetically
diverse germplasm resource collections and best management
practices require research that helps improve production efficiency and productivity through the development of pest resistant varieties and information to facilitate decision-making.
Food Safety.—For the Nation to have affordable and safe
food, the food system must be protected at each step from
production to consumption. The production and distribution
system for food in the United States has been a diverse,
extensive, and easily accessible system. This open system is
vulnerable to the introduction of pathogens and toxins
through natural processes, global commerce, and by intentional means. Thus, the food supply must be protected during
production, processing, and preparation from pathogens, toxins, and chemical contamination that cause disease in humans.
Livestock Protection.—Economic sustainability of livestock
production systems in both domestic and global markets is
limited by the disease status of the animals. Many factors
affect the likelihood of diseases in livestock. These include
globalization and international commerce, presence of pathogen vectors, industrialization of agriculture, availability of
vaccines and protection systems, movements of animals during production, continued emergence of new diseases, genetic
resistance, and the availability of vaccines and protection systems, movements of animals during production, continued
emergence of new disease, genetic resistance, and the availability of trained animal health specialists. Livestock production systems are in transition from open and extensive systems to more closely monitored intensive management systems which remain vulnerable to accidental and intentional
exposure to pathogens. Many of these pathogens are zoonotic
and impact public health.
Crop Protection.—Economic sustainability of agricultural
crop production in both domestic and global markets is limited by the disease status of crops. Many factors affect the
likelihood of diseases to crops including, globalization and
international commerce, presence of pathogen vectors, availability of protection systems, continued emergence of new disease, genetic resistance of crops, and the availability of
trained plant health specialists. Crop systems have limited
diversity and will remain extensive and thereby more vulnerable to intentional exposure to pathogens.
Human Nutrition.—Improving the Nation’s health requires
enhancing the quality of the American diet. The United States
is experiencing an obesity epidemic resulting from multifaceted causes including a ‘‘more is better’’ mindset, a sedentary lifestyle, and the selection of readily available high
calorie foods. In addition, four of the top ten causes of death
in the U.S.—cardiovascular disease, cancer, stroke, and diabetes—are associated with the quality of our diets—diets too
high in calories, total fat, saturated fat, cholesterol, or too
low in fiber. Americans want fresh foods that taste good,
are convenient to prepare and consume, and yet, offer nutrition and health benefits. Building a strong connection between agriculture and human health is an important step
to providing a nutritionally enhanced food supply. Promoting
healthier food choices and educating Americans to balance
caloric intake with sufficient daily physical activity are vital
steps to preventing obesity and decreasing risk for chronic
disease.
Environmental Stewardship.—Agriculture relies on a natural resource base whose sustainability depends on sound,
science-based production practices. The management of our

renewable resources often seems to be a continuous balancing
of conflicting and competing goals and concerns. While this
is often the case, particularly in the short-term, longer-term
management strategies combined with adequate knowledge
of the complex natural systems can yield maximum sustainable benefits from our resources that can satisfy most competing concerns. The outcome will be technology and practices
that will mitigate the adverse impact of agriculture on the
environment, moderate the build up of green house gasses
that may contribute to climate change, and remove the necessity of farming environmentally sensitive marginal lands.
Library and Information Services.—Timely, relevant information is an essential raw material for the research process
as well as for effective policy development and decision-making. Targeted information services are also required to support specialized USDA audiences such as inspectors, regulators, nutritionists, and others, as well as their peers, customers and stakeholders nationwide. The general public requires information on a very broad set of agriculture-related
topics, ranging from small business development to gardening
to nutrition to food safety to farming to textiles to statistics
and beyond. Also, the permanent preservation of USDAs and
the Nation’s agricultural intellectual heritage is a key national responsibility. The National Agricultural Library (NAL)
is mandated to fulfill these roles and is a national resource
for all users of agricultural information. NAL’s work in collecting, preserving and ensuring access to agricultural information is fundamental to the continued wellbeing and growth
of U.S. agriculture, and the development of food supplies for
the nation and world.
Repair and maintenance of facilities.—Funds are used to
restore, upgrade, and maintain Federal facilities to meet
OSHA and EPA requirements, provide suitable workspace for
in-house research programs, and to retrofit existing structures
for better energy utilization.
Collaborative Research Program.—Funds from the U.S.
Agency for International Development (AID), allow USDA to
provide short-term scientific exchanges to the New Independent States of the former Soviet Union (NIS), in developing a market-based agricultural system necessary to meet
the food needs of their populations and to develop and
strengthen trade linkages between their countries and related
agribusiness and agricultural enterprise in the U.S.
Reimbursements.—Agricultural Research Service performs
program research activities and services for other USDA, Federal, and non-Federal agencies. These activities and services
are paid for on a reimbursable basis.
Object Classification (in millions of dollars)
Identification code 12–1400–0–1–352

11.1
11.3
11.5
11.9
12.1
21.0
22.0
23.2
23.3
24.0
25.1
25.2
25.3
25.4
25.5
25.7
25.8
26.0
31.0

Direct obligations:
Personnel compensation:
Full-time permanent .............................................
Other than full-time permanent ...........................
Other personnel compensation .............................
Total personnel compensation ..............................
Civilian personnel benefits .......................................
Travel and transportation of persons .......................
Transportation of things ...........................................
Rental payments to others ........................................
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 facilities ..................
Research and development contracts .......................
Operation and maintenance of equipment ...............
Subsistence and support of persons ........................
Supplies and materials .............................................
Equipment .................................................................

2006 actual

2007 est.

2008 est.

512
13
13

516
13
13

538
144
22
1
1

542
146
19
1
1

542
147
17
1
1

48
2
1
1

36
1
1
6

32
1
1
1

1
37
172
9
1
92
43

1
28
157
7
1
72
33

1
24
138
7
1
63
29

AGRICULTURAL RESEARCH SERVICE—Continued
Federal Funds—Continued

SALARIES

AND

THE BUDGET FOR FISCAL YEAR 2008

EXPENSES—Continued

Object Classification (in millions of dollars)—Continued
Identification code 12–1400–0–1–352

2006 actual

2007 est.

2008 est.

32.0
41.0

Land and structures ..................................................
Grants, subsidies, and contributions ........................

6
16

5
13

4
12

99.0
99.0

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

1,135
87

1,070
87

1,022
87

99.9

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

1,222

1,157

1,109

Agricultural Research Service. The 2008 Budget request provides for additional funding required for the planning and
design of the Southeast Poultry Researh Laboratory at Athens, Georgia.
Object Classification (in millions of dollars)
Identification code 12–1401–0–1–352

2006 actual

2007 est.

2008 est.

Direct obligations:
Other services ................................................................
Land and structures ......................................................

268
3

103
1

94
1

99.9

Employment Summary

25.2
32.0

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

271

104

f
Identification code 12–1400–0–1–352

2006 actual

Direct:
Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................
1001

2007 est.

2008 est.

8,390

8,273
184

MISCELLANEOUS CONTRIBUTED FUNDS

8,023

184

Trust Funds

184

Special and Trust Fund Receipts (in millions of dollars)
Identification code 12–8214–0–7–352

2006 actual

2007 est.

2008 est.

01.99

BUILDINGS

AND

FACILITIES

For acquisition of land, construction, repair, improvement, extension, alteration, and purchase of fixed equipment or facilities as necessary to carry out the agricultural research programs of the Department of Agriculture, where not otherwise provided, $16,000,000, to
remain available until expended. In addition, of the unobligated balances available under this heading, $16,000,000 are cancelled.

Balance, start of year .................................................... ................... ................... ...................
Receipts:
02.20 Deposits of miscellaneous contributed funds, Science
and Education Administration ..................................
17
18
18
04.00

Total: Balances and collections ....................................
Appropriations:
05.00 Miscellaneous contributed funds ...................................
07.99

¥17

¥18

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

Program and Financing (in millions of dollars)
Identification code 12–8214–0–7–352

Program and Financing (in millions of dollars)
Identification code 12–1401–0–1–352

2006 actual

2007 est.

2008 est.

2007 est.

2008 est.

00.01

Obligations by program activity:
Miscellaneous contributed funds ...................................

10.00

2006 actual

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

00.01

Obligations by program activity:
Building and facilities projects .....................................

271

104

10.00

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

271

104

21.40
22.00

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

14
17

15
18

16
18

21.40
22.00

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

373
159

261
297
140 ...................

23.90
23.95

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

31
¥16

33
¥17

34
¥17

23.90
23.95

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

532
¥271

401
¥104

297
¥95

24.40

Unobligated balance carried forward, end of year

24.40

Unobligated balance carried forward, end of year

261

297

202

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

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
160
140
16
40.35
Appropriation permanently reduced ..........................
¥1 ................... ...................
40.36
Unobligated balance permanently reduced .............. ................... ...................
¥16

72.40
73.10
73.20

5
16
¥16

5
17
¥17

5
17
¥18

43.00

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

159

74.40

Obligated balance, end of year ................................

72.40
73.10
73.20

137
271
¥171

237
104
¥152

189
95
¥135

86.97
86.98

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

13
3

13
4

13
5

87.00

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

74.40

Obligated balance, end of year ................................

237

189

149
89.00
90.00

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

17
16

18
17

18
18

140 ...................

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

69
102

21 ...................
131
135

87.00

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

171

152

89.00
90.00

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

159
171

140 ...................
152
135

135

This account provides funds for the acquisition of land,
construction, repair, improvement, extension, alterations, and
purchases of fixed equipment or facilities of or used by the

Miscellaneous contributed funds received from States, local
organizations, individuals, and others are available for work
under cooperative agreements on research activities.
Object Classification (in millions of dollars)
Identification code 12–8214–0–7–352

Direct obligations:
Personnel compensation:

2006 actual

2007 est.

2008 est.

COOPERATIVE STATE RESEARCH, EDUCATION, AND EXTENSION SERVICE
Federal Funds

DEPARTMENT OF AGRICULTURE
11.1
11.5

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

4
1

70.00

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

11.9
12.1
21.0
25.2
25.5
26.0

5
1
1
3
3
3

5
1
1
4
3
3

72.40
73.10
73.20
73.40

74.40

Obligated balance, end of year ................................

131

130

99.9

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

17
86.90
86.93
86.98

8
43
2

7
47
6

7
50
6

87.00

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

89.00
90.00

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

58
53

59
60

23
63

Employment Summary
Identification code 12–8214–0–7–352

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................

2007 est.

2008 est.

COOPERATIVE STATE RESEARCH,
EDUCATION, AND EXTENSION SERVICE
Federal Funds
INTEGRATED ACTIVITIES
For the integrated research, education, and extension grants programs, including necessary administrative expenses, $20,120,000, as
follows: for a competitive international science and education grants
program authorized under section 1459A of the National Agricultural
Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C.
3292b), to remain available until expended, $1,990,000; for grants
programs authorized under section 2(c)(1)(B) of Public Law 89–106,
as amended, $2,475,000, to remain available until September 30, 2009
for the critical issues program; $1,378,000 for the regional rural development centers program; and $14,277,000 for the Food and Agriculture Defense Initiative authorized under section 1484 of the National Agricultural Research, Extension, and Teaching Act of 1977,
to remain available until September 30, 2009. (7 U.S.C. 450i(c)(1)(B),
3292b, 3351, 7626.)
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
Identification code 12–1502–0–1–352

Obligations by program activity:
00.10 Organic research and extension init. ............................
00.20 Water quality ..................................................................
00.30 Food safety .....................................................................
00.40 Regional pest management centers ..............................
00.50 Crops at risk from food quality protection act implementation ..................................................................
00.60 Food quality protection act risk mitigation program
00.70 Methyl bromide transition program ...............................
00.71 Homeland Security .........................................................
00.86 International science and education grants .................
00.87 Rural development centers ............................................
00.88 Organic transition ..........................................................
00.89 Critical issues—plant and animal diseases ................
10.00

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

Budgetary resources available for obligation:
21.40 Unobligated balance carried forward, start of year
22.00 New budget authority (gross) ........................................
23.90
23.95
24.40

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

60.00

2007 est.

2008 est.

3
13
15
4

3
3
13 ...................
15 ...................
4 ...................

1
4
3
10
1
1
2
2

1
4
3
10
2
1
2
1

...................
...................
...................
14
2
1
...................
3

Appropriation (total discretionary) ........................
Mandatory:
Appropriation .............................................................

126
131
130
59
59
23
¥53
¥60
¥63
¥1 ................... ...................

Under the Integrated Activities account, research, education
and/or extension grants are awarded for competitive and noncompetitive programs. In 2008, the Budget proposes that Section 406 activities, formerly supported under the Integrated
account, be supported within the Research and Education
account. These grants will be administered through the National Research Initiative (NRI). This will allow greater flexibility and responsiveness to changing needs in these targeted
activities.
Critical issues program.—Funds are proposed to develop
early intervention strategies to prevent, manage or eradicate
new and emerging diseases, both plant and animal, which
would prevent loss of revenue to growers or producers.
Regional rural development centers.—Funding supports activities that pursue a holistic development strategy that tailors programming to meet regional and local needs and addresses areas of opportunity arising from a consumer-driven
agricultural economy.
Food and agriculture defense initiative (homeland security).—The program provides support to an unified network
of public agricultural institutions to identify and respond to
high risk biological pathogens in the food and agricultural
system. The 2008 Budget includes an increase to enhance
agricultural defense. In particular, funding will maintain and
enhance risk management tools for Asian soybean rust and
other pathogens of legumes. Additional funding for these laboratories is included in the Animal and Plant Health Inspection Service.

Object Classification (in millions of dollars)

1 ................... ...................
58
59
23
59
¥59

59
¥59

Identification code 12–1502–0–1–352

2006 actual

11.1
41.0

Direct obligations:
Personnel compensation: Full-time permanent .............
Grants, subsidies, and contributions ............................

99.9

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

2007 est.

2008 est.

1 ................... ...................
58
59
23
59

Employment Summary
Identification code 12–1502–0–1–352

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................

23
¥23

Unobligated balance carried forward, end of year ................... ................... ...................

2006 actual

2007 est.

2008 est.

INITIATIVE

FOR

FUTURE AGRICULTURE

AND

FOOD SYSTEMS

Program and Financing (in millions of dollars)
56
56
20
¥1 ................... ...................
55

Identification code 12–1503–0–1–352

Change in obligated balances:
72.40 Obligated balance, start of year ...................................
73.20 Total outlays (gross) ......................................................
73.40 Adjustments in expired accounts (net) .........................

2006 actual

2007 est.

2008 est.

18
1
1
¥18 ................... ...................
1 ................... ...................

COOPERATIVE STATE RESEARCH, EDUCATION, AND EXTENSION SERVICE—Continued
Federal Funds—Continued

INITIATIVE

FOR

FUTURE AGRICULTURE
Continued

AND

THE BUDGET FOR FISCAL YEAR 2008

FOOD SYSTEMS—

Program and Financing (in millions of dollars)—Continued
Identification code 12–1503–0–1–352

2006 actual

2007 est.

2008 est.

74.40

Obligated balance, end of year ................................

86.98

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

89.00
90.00

cation Activities, $9,965,000, of which $2,723,000 for the Research,
Education, and Economics Information System and $2,151,000 for
the Electronic Grants Information System, are to remain available
until expended: Provided, That none of the funds appropriated under
this heading shall be available to carry out research related to the
production, processing, or marketing of tobacco or tobacco products:
Provided further, That this paragraph shall not apply to research
on the medical, biotechnological, food, and industrial uses of tobacco.
NATIVE AMERICAN INSTITUTIONS ENDOWMENT FUND

18 ................... ...................

1998 Research Act.—Adequate funding for similar research
is proposed through other USDA research programs.

For the Native American Institutions Endowment Fund authorized
by Public Law 103–382 (7 U.S.C. 301 note), $11,880,000, to remain
available until expended.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Special and Trust Fund Receipts (in millions of dollars)

RESEARCH

AND

EDUCATION ACTIVITIES

For payments to agricultural experiment stations, for cooperative
forestry and other research, for facilities, and for other expenses,
$562,518,000, as follows: to carry out the provisions of the Hatch
Act of 1887 (7 U.S.C. 361a-i), $164,430,000, of which, notwithstanding
the provisions of section 3(b) and (c) of the Hatch Act of 1887 (7
U.S.C. 361c(b) and (c)) and after allocation of the amount provided
under section 3(c)(4) of such act (7 U.S.C. 361c(c)(4)), $66,070,000
shall be allocated in the same proportions as funds were allocated
under sections 3(b), 3(c)(1) and (2) of such act (7 U.S.C. 361c(b)
and (c)(1) and (2)) for fiscal year 2007, and $98,360,000 shall be
available for continued funding of current grants and competitive
award of grants with terms not to exceed five years under the
Multistate Research Fund established under section 3(c)(3) of such
act (7 U.S.C. 361c(c)(3)); for grants for cooperative forestry research
(16 U.S.C. 582a through a–7), $20,487,000, of which $7,515,000 shall
be allocated to eligible institutions on the same basis as such funds
were allocated in FY 2007 and $12,972,000 shall be available for
competitive grants to institutions eligible under 16 U.S.C. 582a–1
under the terms specified in subsections (c) through (f) of section
1232 of Public Law 101–624 (16 U.S.C. 582a–8(c) through (f)) subject
to a 100 percent match by the recipient; for payments to the 1890
land-grant colleges, including Tuskegee University and West Virginia
State University (7 U.S.C. 3222), $38,331,000, of which $1,507,000
shall be made available only for the purpose of ensuring that each
institution shall receive no less than $1,000,000; for special grants
for agricultural research (7 U.S.C. 450i(c)), $3,258,000; for special
grants for agricultural research on improved pest control (7 U.S.C.
450i(c)), $14,856,000; for competitive research grants (7 U.S.C.
450i(b)), $256,500,000, to remain available until expended; for the
1994 research grants program for 1994 institutions pursuant to section
536 of Public Law 103–382 (7 U.S.C. 301 note), $1,067,000, to remain
available until expended; for higher education graduate fellowship
grants (7 U.S.C. 3152(b)(6)), $4,455,000, to remain available until
expended (7 U.S.C. 2209b); for higher education challenge grants (7
U.S.C. 3152(b)(1)), $5,445,000; for a higher education multicultural
scholars program (7 U.S.C. 3152(b)(5)), $988,000, to remain available
until expended (7 U.S.C. 2209b); for a higher education agrosecurity
education program (7 U.S.C. 3351), $5,000,000 to remain available
until expended; for an education grants program for Hispanic-serving
Institutions (7 U.S.C. 3241), $5,588,000; for noncompetitive grants
for the purpose of carrying out all provisions of 7 U.S.C. 3242 (section
759 of Public Law 106–78) to individual eligible institutions or consortia of eligible institutions in Alaska and in Hawaii, with funds
awarded equally to each of the States of Alaska and Hawaii,
$2,967,000; for a secondary agriculture education program and 2year post-secondary education (7 U.S.C. 3152(j)), $990,000; for aquaculture grants (7 U.S.C. 3322), $3,956,000; for sustainable agriculture
research and education (7 U.S.C. 5811), $9,138,000; for a program
of capacity building grants (7 U.S.C. 3152(b)(4)) to colleges eligible
to receive funds under the Act of August 30, 1890 (7 U.S.C. 321–
326 and 328), including Tuskegee University and West Virginia State
University, $12,375,000, to remain available until expended (7 U.S.C.
2209b); for payments to the 1994 Institutions pursuant to section
534(a)(1) of Public Law 103–382, $2,227,000; for resident instruction
grants for insular areas under section 1491 of the National Agricultural Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C.
3363), $495,000; and for necessary expenses of Research and Edu-

Identification code 12–1500–0–1–352

01.00

2006 actual

2007 est.

2008 est.

Balance, start of year ....................................................

Balance, start of year ....................................................
Receipts:
02.40 Earnings on investments, Native American institutions
endowment fund ........................................................

04.00

¥3
12

01.99

Total: Balances and collections ....................................
Appropriations:
05.00 Research and education activities ................................
05.01 Research and education activities ................................
05.99

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

07.99

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

103

Program and Financing (in millions of dollars)
Identification code 12–1500–0–1–352

2006 actual

2007 est.

2008 est.

Obligations by program activity:
Payments under the Hatch Act .....................................
Cooperative forestry research ........................................
Payments to 1890 colleges and Tuskegee Univ. and
West Virginia State College ......................................
00.04 Special research grants .................................................
00.05 National research initiative competitive grants ............
00.06 Animal health and disease research ............................
00.07 Federal Administration ...................................................
00.08 Higher education ............................................................
00.09 Native American Institutions Endowment Fund ............
00.10 Veterinary Medical Services Act ....................................
09.00 Reimbursable program ..................................................

37
38
38
164
139
32
171
267
257
5
5 ...................
51
40
10
44
35
41
3
3
3
1 ................... ...................
12
15
15

10.00

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

687

748

581

21.40
22.00

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

116
687

116
670

38
581

23.90
23.95

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

803
¥687

786
¥748

619
¥581

24.40

Unobligated balance carried forward, end of year

116

00.01
00.02
00.03

177
22

183
23

165
20

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
691
664
575
40.00
Appropriation ............................................................. ................... ................... ...................
40.20
Appropriation (special fund) .....................................
3
3
3
40.35
Appropriation permanently reduced ..........................
¥7 ................... ...................
40.45
Portion precluded from obligation (¥) ....................
¥12
¥12
¥12
41.00 Transferred to other accounts .......................................
¥1 ................... ...................
42.00 Transferred from other accounts ...................................
1 ................... ...................
43.00
58.00
58.10
58.90

Appropriation (total discretionary) ........................
675
655
566
Spending authority from offsetting collections:
Offsetting collections (cash) ................................ ...................
15
15
Change in uncollected customer payments from
Federal sources (unexpired) .............................
12 ................... ...................
Spending authority from offsetting collections
(total discretionary) ..........................................

COOPERATIVE STATE RESEARCH, EDUCATION, AND EXTENSION SERVICE—Continued

DEPARTMENT OF AGRICULTURE
70.00

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) ................................................
72.40
73.10
73.20
73.40
74.00

687

670

581

758
834
882
687
748
581
¥610
¥700
¥674
¥5 ................... ...................
¥12 ................... ...................
16 ................... ...................

74.40

Obligated balance, end of year ................................

834

882

789

86.90
86.93

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

369
241

351
349

305
369

87.00

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

610

700

674

¥16

¥15

Offsets:
Against gross budget authority and outlays:
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 ...................................................
88.00

89.00
90.00

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

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

¥12 ................... ...................
16 ................... ...................

675
594

655
685

566
659

92.01

Cooperative State Research, Education, and Extension Service participates in a nationwide system of agricultural research and education program planning and coordination between State institutions and the U.S. Department of Agriculture. It assists in maintaining cooperation among the State
institutions, and between the State institutions and their Federal research partners. The agency administers grants and
payments to State institutions to supplement State and local
funding for agricultural research and higher education.
Payments under the Hatch Act.—Funds under the Hatch
Act are allocated on a formula basis to agricultural experiment stations of the land-grant colleges in the 50 States,
the District of Columbia, Puerto Rico, Guam, the Virgin Islands, American Samoa, Micronesia, and Northern Mariana
Islands. The Budget proposes that beginning in 2008, an alternative approach be taken to expand and continuously recompete the Hatch Act multi-state awards by redirecting a
portion of the formula funds to nationally, competitively
awarded multi-state/multi-institutional projects.
Cooperative forestry research.—These funds are allocated by
formula to land-grant colleges or agricultural experiment stations in the 50 States, Puerto Rico, Guam, the Virgin Islands,
and other State-supported colleges and universities having
a forestry school and offering graduate training in forestry
sciences. The 2008 Budget proposes an alternative approach
under this program to redirect a portion of the formula funds
to nationally, competitively awarded multi-state/multi-institutional projects.
Animal health and disease research.—Funds, distributed by
formula, support livestock and poultry disease research in
approximately sixty-seven colleges of veterinary medicine and
in eligible agricultural experiment stations. No funding is
proposed for this program in 2008.
Payments to 1890 colleges and Tuskegee University and
West Virginia State University.—Funds allocated on a formula
basis support agricultural research and broaden the curricula
at the eighteen 1890 land-grant colleges, including Tuskegee
University and West Virginia State University.

Special research grants.—This program addresses research
areas of national interest. Funding is proposed for grant programs in IR–4 minor crop pest management, pest management alternatives, and sustainable agriculture. Funding is
also proposed for integrated pest management. Advances in
these areas will provide producers with safe, alternative pest
control methods resulting in more farmers increasing the
number of acres on which Integrated Pest Management (IPM)
methods are used. Funding proposed for IR–4 minor crop
pest management and minor use animal drugs will address
the growing need for registration of safe pesticides and drugs
for minor crops and animals and lead to reduced levels of
chemical and drug residues in food products by half. These
pest management programs will be coordinated to address
Food Quality and Protection Act issues. The IR–4 and IPM
programs are contained under improved pest control funding.
Improved pest control also includes Pest Management Alternatives, and Expert IPM Decision Support System Programs.
A grant program for global change is proposed for research
at universities as part of a coordinated Federal initiative.
Funding is also proposed for the National Biological Impact
Assessment Program, and aquaculture centers. The 2008
Budget eliminates funding for unrequested earmarks.
National research initiative competitive grants.—Funding is
being proposed for the National Research Initiative (NRI).
Research scientists throughout the U.S. scientific community
compete for funding under this program. The performance
goal has been to attract the widest possible involvement of
U.S. scientists in agricultural research to increase the knowledge base related to U.S. agriculture, food, and the environment and maintain world leadership in agricultural science
and engineering. NRI funding has resulted in increased participation by universities which are not traditionally considered agricultural schools and of highly skilled researchers
in projects addressing agricultural issues. The outcomes include the efficient communication of research results to scientific, engineering, and community user groups. These grants
support research in plants and animals; natural resources
and the environment; nutrition, food safety, and health; markets, trade, and rural development; and processing for adding
value or developing new products. In 2008, the Budget proposes that Section 406 activities, formerly supported under
the Integrated account, be supported within the Research and
Education account and administered under the NRI.
1994 Institutions Research.—Funding is proposed to continue the competitive research grants program to build the
research capacity at the thirty-three 1994 institutions by supporting agricultural research activities that address tribal,
national and multistate priorities.
Federal administration.—A coordinating and review staff
assists in maintaining cooperation within and among the
States, and between the States and their Federal research
partners. This staff also administers research and education
grants and payments to States. Federal administration is
funded from a combination of program set-asides from formula and grant programs and from direct appropriation for
administration.
Higher education.—Funding is proposed for graduate fellowships grants, competitive challenge grants, Hispanic-serving
institutions education grants program, and a multicultural
scholars program. Funding is also proposed for Native American institutions, Alaska Native-serving and Native Hawaiianserving Institutions, Secondary Agriculture Education and 2year Post-secondary and Resident Instruction Grants for Insular Areas programs. These programs enable universities to
broaden their curricula; increase faculty development; student
research projects; and the number of new scholars recruited
in the food and agricultural sciences. In addition, an increased
number of graduate students, including minority graduate
students, will be enrolled in the agricultural sciences. Fund-

COOPERATIVE STATE RESEARCH, EDUCATION, AND EXTENSION SERVICE—Continued

RESEARCH

AND

THE BUDGET FOR FISCAL YEAR 2008

EDUCATION ACTIVITIES—Continued

EXTENSION ACTIVITIES

ing is also proposed for a capacity building program at the
1890 institutions as part of the USDA initiative to strengthen
these institutions through a broadening of curricula, increased
faculty development and student research projects. Funding
is proposed in the 2008 Budget for a Higher Education
Agrosecurity Program to provide educational and professional
development for personnel in securing the Nation’s agriculture and food supply.
Reimbursable program.—Funds support basic and applied
agriculture research and activities performed for other USDA,
Federal, and non-Federal agencies.
Native American Institutions Endowment Fund.—This program provides for an endowment for the 1994 land-grant institutions (33 Tribally controlled colleges) to strengthen the
infrastructure of these institutions and develop Indian expertise for the food and agricultural sciences and businesses and
their own communities. At the termination of each fiscal year,
the Secretary shall withdraw the income from the endowment
fund for the fiscal year, and after making adjustments for
the cost of administering the fund, distribute the adjusted
income on a formula basis to the 1994 land-grant institutions.
Object Classification (in millions of dollars)
Identification code 12–1500–0–1–352

2006 actual

2007 est.

2008 est.

11.1
12.1
21.0
23.1
25.1
25.2
25.5
26.0
41.0

18
18
19
5
5
5
2
1
1
1 ................... ...................
1
1
1
2
1
1
5
3
1
1 ................... ...................
640
702
537

99.0
99.0

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

675
12

731
17

565
16

99.9

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

687

748

581

Employment Summary
Identification code 12–1500–0–1–352

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................

2007 est.

2008 est.

234

242

BUILDINGS

AND

FACILITIES

Program and Financing (in millions of dollars)
Identification code 12–1501–0–1–352

2006 actual

2007 est.

2008 est.

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

24.40

For payments to States, the District of Columbia, Puerto Rico,
Guam, the Virgin Islands, Micronesia, Northern Marianas, and American Samoa, $431,125,000, as follows: payments for cooperative extension work under the Smith-Lever Act, to be distributed under sections
3(b) and 3(c) of said Act, and under section 208(c) of Public Law
93–471, for retirement and employees’ compensation costs for extension
agents, $273,181,000; payments for extension work at the 1994 Institutions under the Smith-Lever Act (7 U.S.C. 343(b)(3)), $3,240,000; payments for the nutrition and family education program for low-income
areas under section 3(d) of the Act, $62,280,000; payments for the
pest management program under section 3(d) of the Act, $10,651,000;
payments for New Technologies for Ag Extension under Section 3(d)
of the Act, $2,970,000; payments to upgrade research, extension, and
teaching facilities at the 1890 land-grant colleges, including Tuskegee
University and West Virginia State University, as authorized by section 1447 of Public Law 95–113 (7 U.S.C. 3222b), $16,609,000, to
remain available until expended; payments for youth-at-risk programs
under section 3(d) of the Smith-Lever Act, $8,396,000; for youth farm
safety education and certification extension grants, to be awarded
competitively under section 3(d) of the Act, $494,000; payments for
carrying out the provisions of the Renewable Resources Extension Act
of 1978 (16 U.S.C. 1671 et seq.), $4,052,000; payments for federallyrecognized Tribes Extension Program under section 3(d) of the SmithLever Act, $2,970,000; payments for sustainable agriculture programs
under section 3(d) of the Act, $3,754,000; payments for cooperative
extension work by the colleges receiving the benefits of the second
Morrill Act (7 U.S.C. 321–326 and 328) and Tuskegee University
and West Virginia State University, $34,073,000, of which $1,724,884
shall be made available only for the purpose of ensuring that each
institution shall receive no less than $1,000,000; and for necessary
expenses of Extension Activities, $8,455,000.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
Identification code 12–0502–0–1–352

Unobligated balance carried forward, end of year

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Smith-Lever Act, 3(b) and 3(c) .....................................
273
273
273
00.02 Youth at risk ..................................................................
8
7
8
00.04 Expanded food and nutrition education program
(EFNEP) ......................................................................
62
62
62
00.05 Pest management ..........................................................
10
10
11
00.06 Farm Safety ....................................................................
5
5 ...................
00.09 Indian reservation extension agents .............................
2
2
3
00.13 Payments to 1890 colleges and Tuskegee Univ. and
West Virginia State College ......................................
34
34
34
00.15 Renewable resources extension act ...............................
4
4
4
00.16 Federal administration ...................................................
25
25
8
00.19 1890 facilities (section 1447) .......................................
17
17
17
00.21 Sustainable agriculture .................................................
4
4
4
00.22 1994 institutions activities ...........................................
3
3
3
00.23 Youth farm safety program ........................................... ................... ...................
1
00.24 Rural health and safety education ...............................
2
2 ...................
00.25 Grants to youth serving organizations ..........................
2
2 ...................
00.26 Risk management education .........................................
5
5
5
00.27 New technologies for ag. extension ...............................
1
1
3
09.00 Reimbursable program ..................................................
19
20
20

476

456

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

476
¥476

456
¥456

74.40

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

22.00
23.95

Change in obligated balances:
72.40 Obligated balance, start of year ...................................

10.00

89.00
90.00

Obligated balance, end of year ................................

Funds provide grants to States and other eligible recipients
for the acquisition of land, construction, repair, improvement,
extension, alteration and purchase of fixed equipment or facilities to carry out agricultural research, extension, and
teaching programs. No funding is proposed in 2008.

456
451
431
¥5 ................... ...................

43.00

451

431

58.00
58.10
58.90

19 ................... ...................
20

COOPERATIVE STATE RESEARCH, EDUCATION, AND EXTENSION SERVICE—Continued

DEPARTMENT OF AGRICULTURE
62.00

Transferred from other accounts ..............................

70.00

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

476

456

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) ................................................
72.40
73.10
73.20
73.40
74.00

330
367
380
476
476
456
¥440
¥463
¥516
4 ................... ...................

farm safety education and certification pilot project, Federally-recognized Tribes extension, sustainable agriculture, new
technologies for Agricultural Extension, Renewable Resources
Extension Act, 1994 (Native American) institutions, and 1890
colleges and Tuskegee University and West Virginia State
University facilities.
Object Classification (in millions of dollars)

¥19 ................... ...................
Identification code 12–0502–0–1–352

2006 actual

2007 est.

2008 est.

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

Obligated balance, end of year ................................

367

380

320

86.90
86.93
86.98

273
163
4

291
167
5

279
232
5

87.00

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

440

463

516

¥17

¥20

11.1
12.1
21.0
25.2
25.5
41.0

10
2
1
4
3
437

12
2
1
5
2
434

12
3
1
2
1
417

99.0
99.0

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

457
19

456
20

436
20

99.9

74.40

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

476

456

¥20

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

Employment Summary
¥19 ................... ...................
16 ................... ...................

456
423

456
443

Identification code 12–0502–0–1–352

436
496

165

2007 est.

2008 est.

183

OUTREACH

The Cooperative Extension System, a national educational
network, is a dynamic organization pledged to meeting the
country’s needs for research-based educational programs that
will enable people to make practical decisions to improve their
lives. To accomplish its mission, the Cooperative Extension
System adjusts programs to meet the shifting needs and priorities of the people it serves.
The nonformal educational network combines the expertise
and resources of Federal, State, and local partners. The partners in this unique System are: (a) The Cooperative State
Research, Education, and Extension Service at the U.S. Department of Agriculture; (b) Extension professionals at landgrant universities throughout the United States and its territories; and (c) Extension professionals in nearly all of the
Nation’s 3,150 counties. Thousands of paraprofessionals and
nearly 3 million volunteers support this partnership and magnify its impact. Strong linkages with both public and private
external groups are also crucial to the Cooperative Extension
System’s strength and vitality.
Programs supported with Smith-Lever 3(b) and (c) legislated formula funds, are the major educational efforts central
to the mission of the System and common to most Extension
units. These programs are the foundation of the Extension
organization and partnership that are intended to increase
the number of community-based projects, families, and individuals reached to disseminate research findings as widely
and quickly as possible. The use of electronic mail, satellite
transmission of courses, and computer-assisted instruction are
encouraged to communicate ideas.
Extension resources are provided to the States by these
formula funds and competitively-awarded programs such as
sustainable agriculture. Smith-Lever 3(b) and (c) funds and
payments to the 1890 colleges and Tuskegee University and
West Virginia State University provide funds to support the
Extension’s infrastructure.
Funds for designated programs, funded by Smith-Lever 3(d)
such as Youth-At-Risk and Expanded Food and Nutrition
Education Program (EFNEP), provide support for the Cooperative Extension System to address identified priority issues.
In 2008, funding has been requested for the EFNEP, pest
management, children, youth and families at risk, a youth

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................

FOR

SOCIALLY DISADVANTAGED FARMERS

For grants and contracts pursuant to section 2501 of the Food,
Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 2279),
$6,930,000, to remain available until expended.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
Identification code 12–0601–0–1–351

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.10 Outreach for socially disadvantaged farmers ...............

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

6
¥6

7
¥7

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

72.40
73.10
73.20

11
6
¥6

11
6
¥8

9
7
¥9

74.40

Obligated balance, end of year ................................

Outlays (gross), detail:
Outlays from new discretionary authority .....................
6
Outlays from discretionary balances ............................. ...................

6
2

7
2

86.90
86.93
87.00

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

89.00
90.00

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

6
6

6
8

7
9

Outreach for Socially Disadvantaged Farmers Grants.—This
competitive program is authorized under section 2501 of Title
XXV of the Food, Agriculture, Conservation, and Trade Act
of 1990. The Secretary of Agriculture is authorized to make
grants to eligible institutions and organizations so that they

COOPERATIVE STATE RESEARCH, EDUCATION, AND EXTENSION SERVICE—Continued

OUTREACH

FOR

THE BUDGET FOR FISCAL YEAR 2008

SOCIALLY DISADVANTAGED FARMERS—Continued

Receipts:
Fees, Animal welfare user fee account—legislative
proposal subject to PAYGO ....................................... ................... ...................
02.60 1990 food, agricultural quarantine inspection fees
418
455

9
494

02.99

02.20

may provide outreach and technical assistance to encourage
and assist socially disadvantaged farmers and ranchers to
own and operate farms and ranches and to participate in
agricultural programs.
Employment Summary
Identification code 12–0601–0–1–351

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................

2007 est.

Federal Funds
EXPENSES

(INCLUDING TRANSFERS OF FUNDS)

For expenses, not otherwise provided for, necessary to prevent, control, and eradicate pests and plant and animal diseases; to carry
out inspection, quarantine, and regulatory activities; and to protect
the environment, as authorized by law, $945,550,000, of which
$4,163,000 shall be available for the control of outbreaks of insects,
plant diseases, animal diseases and for control of pest animals and
birds to the extent necessary to meet emergency conditions; of which
$16,098,000 shall be used for the Cotton Pests program for cost share
purposes or for debt retirement for active eradication zones; of which
$33,125,000 shall be available for a National Animal Identification
program; of which $57,044,000 shall be used to conduct a surveillance
and preparedness program for highly pathogenic avian influenza: Provided, That no funds shall be used to formulate or administer a
brucellosis eradication program for the current fiscal year that does
not require minimum matching by the States of at least 40 percent:
Provided further, That this appropriation shall be available for the
operation and maintenance of aircraft and the purchase of not to
exceed four, of which two shall be for replacement only: Provided
further, That, in addition, for sudden, urgent and unforeseen circumstances which threaten any segment of the agricultural production
industry of this country, the Secretary may transfer from other appropriations or funds available to the agencies or corporations of the
Department such sums as may be deemed necessary, to be available
only in such emergencies for the arrest and eradication of contagious
or infectious disease or pests of animals, poultry, or plants, and for
expenses in accordance with sections 10411 and 10417 of the Animal
Health Protection Act (7 U.S.C. 8310 and 8316) and sections 431
and 442 of the Plant Protection Act (7 U.S.C. 7751 and 7772), and
any unexpended balances of funds transferred for such emergency
purposes in the preceding fiscal year shall be merged with such transferred amounts: Provided further, That appropriations hereunder shall
be available pursuant to law (7 U.S.C. 2250) for the repair and
alteration of leased buildings and improvements, but unless otherwise
provided the cost of altering any one building during the fiscal year
shall not exceed 10 percent of the current replacement value of the
building.
In fiscal year 2008, the agency is authorized to collect fees to cover
the total costs of providing technical assistance, goods, or services
requested by States, other political subdivisions, domestic and international organizations, foreign governments, or individuals, provided
that such fees are structured such that any entity’s liability for such
fees is reasonably based on the technical assistance, goods, or services
provided to the entity by the agency, and such fees shall be credited
to this account, to remain available until expended, without further
appropriation, for providing such assistance, goods, or services.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Special and Trust Fund Receipts (in millions of dollars)
Identification code 12–1600–0–1–352

503

Total: Balances and collections ....................................
Appropriations:
05.00 Salaries and expenses ...................................................

505

542

590

¥418

¥455

¥494

04.00

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

Program and Financing (in millions of dollars)
Identification code 12–1600–0–1–352

ANIMAL AND PLANT HEALTH INSPECTION
SERVICE
AND

455

SALARIES

418

07.99

2008 est.

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

2006 actual

2007 est.

2008 est.

01.00

Balance, start of year ....................................................

2006 actual

2007 est.

2008 est.

157
156
182
183
229
299
343
334
325
18
18
22
79
79
103
5
4
4
151 ................... ...................
4
5
5
1
1
6
377
100 ...................
183
182
194

01.00
09.01

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

1,501
94

1,108
89

1,140
89

10.00

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

1,595

1,197

1,229

21.40
22.00
22.10

255
1,597

305
1,196

304
1,229

23.90
23.95
23.98

Total budgetary resources available for obligation
Total new obligations ....................................................
Unobligated balance expiring or withdrawn .................

24.40

Unobligated balance carried forward, end of year

49 ................... ...................
1,901
1,501
1,533
¥1,595
¥1,197
¥1,229
¥1 ................... ...................
305

304

887
825
946
¥8 ................... ...................
60 ................... ...................

43.00

939

825

946

58.00
58.10
58.90

60.20
61.00
62.50
69.00
69.10
69.90
70.00

Appropriation (total discretionary) ........................
Spending authority from offsetting collections:
Offsetting collections (cash) ................................
Change in uncollected customer payments from
Federal sources (unexpired) .............................
Spending authority from offsetting collections
(total discretionary) ..........................................
Mandatory:
Appropriation (special fund) .....................................
Transferred to other accounts .......................................
Appropriation (total mandatory) ...........................
Spending authority from offsetting collections:
Offsetting collections (cash) ................................
Change in uncollected customer payments from
Federal sources (unexpired) .............................

¥7 ................... ...................
82

418
¥241

455
¥273

494
¥300

177

182

194

400

100 ...................

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

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

399

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

1,597

100 ...................
1,196

1,229

472
434
373
1,595
1,197
1,229
¥1,603
¥1,258
¥1,210
¥4 ................... ...................
¥49 ................... ...................
8 ................... ...................
15 ................... ...................

01.99

Obligations by program activity:
00.01 Pest and disease exclusion ...........................................
00.02 Plant and animal health monitoring .............................
00.03 Pest and disease management programs ....................
00.04 Animal care ....................................................................
00.05 Scientific and technical services ..................................
00.06 Contingencies .................................................................
00.07 Emergency program funding .........................................
00.08 Information technology infrastructure ...........................
00.10 Physical/operational security .........................................
00.11 Citrus Canker/Section 32 ...............................................
00.12 Agricultural Quarantine Inspection User Fees ...............

74.40

Obligated balance, end of year ................................

434

373

392

ANIMAL AND PLANT HEALTH INSPECTION SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE

86.90
86.93
86.97
86.98

761
319
512
11

790
101
273
94

893
124
184
9

87.00

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

1,603

1,258

1,210

¥432
¥68

¥130
¥59

¥30
¥59

88.90

¥500

¥189

¥89

88.95
88.96

89.00
90.00

Total, offsetting collections (cash) .......................
Against gross budget authority only:
Change in uncollected customer payments from
Federal sources (unexpired) ..................................
Portion of offsetting collections (cash) credited to
expired accounts ...................................................
Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

8 ................... ...................
11 ................... ...................

1,116
1,103

1,007
1,069

1,140
1,121

The major objective of the Animal and Plant Health Inspection Service (APHIS) is to protect the health and value of
American agriculture and natural resources against a variety
of threats. To achieve this mission, APHIS has developed
a protection system that is based on a strategic premise that
safeguarding the health of animals, plants, and ecosystems
makes possible safe agricultural trade and reduces losses to
agricultural and natural resources. This mission is carried
out under the five major areas of activity, as follows:
Pest and disease exclusion.—The Agency develops protocols
for trade and travel to prevent the entry of plant or animal
pests and diseases into the United States and conducts quarantines and treatments of regulated products. APHIS develops and conducts preclearance programs to ensure that agricultural products destined for U.S. ports-of-entry do not
present a risk to U.S. agriculture. APHIS engages in cooperative programs in foreign countries to control pests of imminent concern to the United States. APHIS also certifies plants
and plant products for export and regulates imports and exports of designated endangered plant species. The 2008 Budget proposes increases to enhance overseas surveillance and
eradication efforts such as the fruit fly, foot-and-mouth disease, and screwworm and to identify exotic animal diseases
more effectively.
Plant and animal health monitoring.—The Agency conducts
programs to assess animal and plant health and to detect
endemic and exotic diseases and pests. The plant and animal
health monitoring programs are primarily cooperative efforts
of the Federal and State governments, and industry. The
Agency also carries out surveys in cooperation with the States
to detect harmful plant and animal pests and diseases and
to determine if there is a need for pest eradication programs.
The 2008 Budget includes significant increases in monitoring
programs to enhance agricultural defense efforts including
the National Animal Health Laboratory, National Veterinary
Stockpile, plant safeguarding activities, emergency coordination at the national level, and the regulatory oversight and
inspection activities related to select agents. The request includes $57 million for an early detection system and preparedness plan for highly pathogenic avian influenza.
Pest and disease management programs.—The Agency carries out programs to control and eradicate infestations and
animal diseases that threaten the United States; to reduce
agricultural losses caused by predatory animals, birds, and
rodents; to provide technical assistance to States, counties,
farmer or rancher groups, and foundations; and to ensure
compliance with interstate movement and disease control regulations. Interstate shipments of plants, livestock, and related
materials are monitored and regulated to prevent the spread
of disease. APHIS protects agriculture from detrimental ani-

mal predators through identification, demonstration, and application of the most appropriate methods of control. The
Budget implements a consistent set of cost-share criteria
among Federal and non-Federal partners to respond to a
plant and animal infestation. In addition, the 2008 Budget
includes increases related to pests and diseases such as emerald ash borer, low pathogenic avian influenza, potato cyst
nematode, sudden oak death, and tuberculosis.
Animal care.—The Agency conducts regulatory activities
that ensure the humane care and handling of animals used
in research, exhibition, or the wholesale pet trade. The Agency is also responsible for administering the Horse Protection
Act, which prohibits the showing, selling, or exhibition of
sore horses. The 2008 request includes additional funding
for increased inspection activities as well as for programs
related to birds, rats and mice.
Scientific and technical services.—APHIS develops methods
to control animals and pests that are detrimental to agriculture, other wildlife, and public safety. The Agency regulates genetic research to guard against the release of potentially harmful organisms into the environment. APHIS also
conducts veterinary diagnostic laboratory activities and biologic regulatory enforcement to ensure that the products developed for combatting disease are potent, safe, and pure.
It also provides and directs technology development in coordination with other groups in APHIS to support programs of
the Agency and its cooperators at the State, national, and
international levels. The 2008 Budget includes increases for
biotechnology regulatory services, plant methods, veterinary
biologics, and veterinary diagnostics. Several of these increases enhance agricultural defense.
The 2008 Budget also proposes significant increases to continue enhanced security efforts initially implemented with
2002 emergency supplemental funds in response to the September 11, 2001, terrorist attacks.
Object Classification (in millions of dollars)
Identification code 12–1600–0–1–352

11.1
11.3
11.5

2006 actual

2007 est.

2008 est.

328
16
31

302
9
5

340
11
7

375
107
2
37
12
10
2

316
95
1
31
11
4
1

358
107
1
35
13
5
1

25
3
390
68
45

21
2
365
69
42

24
2
414
78
46

41.0
41.0
41.0
42.0
43.0

Total personnel compensation ..............................
Civilian personnel benefits .......................................
Benefits for former personnel ...................................
Travel and transportation of persons .......................
Transportation of things ...........................................
Rental payments to GSA ...........................................
Rental payments to others ........................................
Communications, utilities, and miscellaneous
charges .................................................................
Printing and reproduction .........................................
Other services ............................................................
Supplies and materials .............................................
Equipment .................................................................
United States-Colombia Commission to Prevent
Foot-and-Mouth Disease .......................................
Joint Screwworm eradication programs ....................
Joint Commission on the Mediterranean Fruit Fly
Other grants, subsidies, and contributions ..............
Other insurance claims and indemnities .................
Interest and dividends ..............................................

1
10
6
231
176
1

1
10
6
68
64
1

1
10
6
22
16
1

99.0
99.0

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

1,501
94

1,108
89

1,140
89

99.9

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

1,595

1,197

1,229

11.9
12.1
13.0
21.0
22.0
23.1
23.2
23.3
24.0
25.2
26.0
31.0
41.0

Employment Summary
Identification code 12–1600–0–1–352

Direct:
1001 Civilian full-time equivalent employment .....................
Reimbursable:

2006 actual

6,316

2007 est.

6,447

2008 est.

6,203

ANIMAL AND PLANT HEALTH INSPECTION SERVICE—Continued
Federal Funds—Continued

SALARIES

AND

THE BUDGET FOR FISCAL YEAR 2008
26.0

(INCLUDING TRANSFERS OF FUNDS)—Continued

Supplies and materials .................................................

99.9

EXPENSES—Continued

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

Employment Summary—Continued
Identification code 12–1600–0–1–352

2001

2006 actual

Civilian full-time equivalent employment .....................

833

2007 est.

Trust Funds

2008 est.

833

MISCELLANEOUS TRUST FUNDS

833

Special and Trust Fund Receipts (in millions of dollars)

Identification code 12–9971–0–7–352

BUILDINGS

AND

FACILITIES

2006 actual

2007 est.

2008 est.

01.99

For plans, construction, repair, preventive maintenance, environmental support, improvement, extension, alteration, and purchase of
fixed equipment or facilities, as authorized by 7 U.S.C. 2250, and
acquisition of land as authorized by 7 U.S.C. 428a, $8,931,000, to
remain available until expended.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Total: Balances and collections ....................................
Appropriations:
05.00 Miscellaneous trust funds .............................................
07.99

¥16

¥14

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

Program and Financing (in millions of dollars)
Program and Financing (in millions of dollars)
Identification code 12–9971–0–7–352
Identification code 12–1601–0–1–352

2006 actual

2007 est.

2008 est.

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Miscellaneous trust funds .............................................

Obligations by program activity:
Buildings and facilities .................................................

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

21.40
22.00

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

12
16

12
14

23.90
23.95

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

28
¥16

26
¥14

24.40

Unobligated balance carried forward, end of year

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

72.40
73.10
73.20

1
16
¥15

2
14
¥14

74.40

Obligated balance, end of year ................................

86.97

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

89.00
90.00

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

16
15

14
14

10.00

00.01

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

10
5

7
6

3
9

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

23.90
23.95

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

17
¥10

13
¥10

12
¥7

24.40

Unobligated balance carried forward, end of year

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

72.40
73.10
73.20
73.45

74.40

Obligated balance, end of year ................................

86.90
86.93

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

1
4

1
7

2
8

87.00

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

5
5

6
8

9
10

5
8
10
10
10
7
¥5
¥8
¥10
¥2 ................... ...................

The buildings and facilities account provides for construction, repairs, preventive maintenance, and alterations, as
needed, for APHIS operated facilities, which include animal
quarantine stations, border inspection stations, sterile insect
rearing facilities, and laboratories.
The 2008 Budget proposes $8.9 million for this program,
which consists of repairs, alterations, preventive maintenance,
and renovations for currently owned APHIS facilities, including additional funding to address safety issues with several
facilities.
Object Classification (in millions of dollars)
Identification code 12–1601–0–1–352

25.2

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

2006 actual

2007 est.

2008 est.

The following services are financed by fees and miscellaneous contributions advanced by importers, manufacturers,
States, organizations, individuals, and others:
Miscellaneous contributed funds.—Funds are received from
States, local organizations, individuals, and others and are
available for plant and animal quarantine inspection and cooperative plant and animal disease and pest control activities
(7 U.S.C. 450b, 2220). Commencing in 1979, fees were collected for the importation of commercial birds.
Object Classification (in millions of dollars)
Identification code 12–9971–0–7–352

Direct obligations:
Personnel compensation:
11.1
Full-time permanent ..................................................
11.5
Other personnel compensation ..................................
11.9
12.1
21.0
25.2
26.0

2006 actual

2007 est.

2008 est.

8
2

7
1

10
1
2
1
1

8
1
2
1
1

FOOD SAFETY AND INSPECTION SERVICE
Federal Funds

DEPARTMENT OF AGRICULTURE
31.0

Equipment ......................................................................

43.00

99.9

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

58.00
58.10

Employment Summary
58.90
Identification code 12–9971–0–7–352

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................

2007 est.

150

2008 est.

150

Federal Funds
AND

EXPENSES

For necessary expenses to carry out services authorized by the Federal Meat Inspection Act, the Poultry Products Inspection Act, and
the Egg Products Inspection Act, including not to exceed $50,000 for
representation allowances and for expenses pursuant to section 8 of
the Act approved August 3, 1956 (7 U.S.C. 1766), $930,120,000, of
which no less than $839,130,000 shall be available for Federal food
safety inspection; and in addition, $1,000,000 may be credited to this
account from fees collected for the cost of laboratory accreditation
as authorized by section 1327 of the Food, Agriculture, Conservation
and Trade Act of 1990 (7 U.S.C. 138f): Provided, That of the total
amount made available under this heading, no less than $20,653,000
shall be obligated for regulatory and scientific training: Provided further, That not to exceed $565,000 is for construction of a laboratory
sample receiving facility at the Russell Research Center in Athens,
Georgia: Provided further, That this appropriation shall be available
pursuant to law (7 U.S.C. 2250) for the alteration and repair of
buildings and improvements, but the cost of altering any one building
during the fiscal year shall not exceed 10 percent of the current replacement value of the building. (7 U.S.C. 450, 1901–06; 10 U.S.C.
2306; 18 U.S.C. 1114; 21 U.S.C. 451–470, 601–624, 641–645, 661,
671–680, 691–692; 694–695; Public Law 99–641.)
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Special and Trust Fund Receipts (in millions of dollars)
Identification code 12–3700–0–1–554

2006 actual

2007 est.

2008 est.

01.99

Balance, start of year .................................................... ................... ................... ...................
Receipts:
02.20 Fees, Food safety inspection user fee account—legislative proposal subject to PAYGO ............................. ................... ...................
96
04.00

Total: Balances and collections .................................... ................... ...................

07.99

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

Program and Financing (in millions of dollars)
Identification code 12–3700–0–1–554

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Salaries and expenses ...................................................
09.01 Reimbursable program ..................................................

830
142

830
126

930
130

10.00

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

972

956

1,060

21.40
22.00

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

26
953

4
956

4
1,060

23.90
23.95
23.98

Total budgetary resources available for obligation
Total new obligations ....................................................
Unobligated balance expiring or withdrawn .................

24.40

Unobligated balance carried forward, end of year

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
40.35
Appropriation permanently reduced ..........................
41.00 Transferred to other accounts .......................................
42.00 Transferred from other accounts ...................................

979
960
1,064
¥972
¥956
¥1,060
¥3 ................... ...................
4

838
830
930
¥8 ................... ...................
¥4 ................... ...................
4 ................... ...................

830

930

130

126

130

¥7 ................... ...................

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

123

126

130

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

953

956

1,060

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) ................................................
72.40
73.10
73.20
73.40
74.00

FOOD SAFETY AND INSPECTION SERVICE
SALARIES

70.00

82
95
93
972
956
1,060
¥962
¥958
¥1,049
¥6 ................... ...................
7 ................... ...................
2 ................... ...................

74.40

Obligated balance, end of year ................................

104

86.90
86.93

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

871
91

875
83

968
81

87.00

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

962

958

1,049

¥6
¥124

¥2
¥124

¥2
¥128

88.90

¥130

¥126

¥130

88.95

89.00
90.00

7 ................... ...................

830
832

930
919

The primary objectives of the Food Safety and Inspection
Service (FSIS) are to ensure that meat, poultry, and egg
products are wholesome, unadulterated, and properly labeled
and packaged, as required by the Federal Meat Inspection
Act, the Poultry Products Inspection Act, and the Egg Products Inspection Act. In carrying out this mission, FSIS oversight responsibility covers 20 percent of the American food
dollar. Providing adequate resources for Federal food safety
agencies is a priority of the Administration, and the 2008
Budget proposes a $100 million increase from the 2006 enacted funding level for inspection of meat, poultry, and egg
products. This increase includes initiatives to cover the pay
costs for existing employees in the Federal and State inspection programs, to support the full cost of expanding the inspection force to meet industry demand, for food and agriculture defense initiatives, and to prepare for risk-based inspection. In addition, legislation will be submitted for two
new user fees. One fee is a licensing fee that all facilities
will pay based on production levels. The second fee will be
a performance fee charged to facilities that fail testing, have
recalls, or are linked to outbreaks.
FEDERALLY FUNDED INSPECTION ACTIVITIES
2006 actual

Federally inspected establishments:
Slaughter plants .....................................................................
Processing plants ...................................................................
Combination slaughter and processing plants ......................
Talmadge-Aiken plants ...........................................................
Import establishments ............................................................
Egg plants ..............................................................................
Other plants ............................................................................
Federally inspected and passed production (millions of
pounds):
Meat slaughter ........................................................................
Poultry slaughter .....................................................................

2007 est.

2008 est.

121
4,029
927
368
151
64
622

124
3,997
922
375
153
67
618

128
3,992
920
370
155
68
620

46,855
56,683

47,000
57,000

47,500
57,500

FOOD SAFETY AND INSPECTION SERVICE—Continued
Federal Funds—Continued

SALARIES

AND

THE BUDGET FOR FISCAL YEAR 2008
1001

Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................

EXPENSES—Continued

FEDERALLY FUNDED INSPECTION ACTIVITIES—Continued
2006 actual

Egg products ...........................................................................
Import/export activity (millions of pounds):
Meat and poultry imported .....................................................
Meat and poultry exported ......................................................
States and territories with cooperative programs: 1
Intrastate inspection ...............................................................
Talmadge-Aiken inspection .....................................................
Number of slaughter and/or processing plants (excludes
exempt plants) ...................................................................
Pounds inspected slaughter (millions) ...................................
Compliance activities:
Surveillance activities .............................................................
Enforcement actions completed .............................................
Product Testing (samples analyzed):
Food chemistry ........................................................................
Food microbiology ...................................................................
Chemical residues ..................................................................
Antibiotic residues ..................................................................
Pathology samples ..................................................................
Egg Products:
Food microbiology ...................................................................
Chemical residues ..................................................................
Consumer Education and public outreach:
Meat and poultry hotline calls received .................................
Website visits ..........................................................................
Electronic messages received .................................................
Publications distributed ..........................................................
Personal contacts (meetings, workshops, etc.) ......................
E-mail alert service subscribers ............................................
Epidemiological Investigations:
Cooperative efforts with State and public health offices
Illnesses reported and treated 2 ............................................
Field Automation and Information Management Project:
Number of computers to be provided to federal field inspection staff .....................................................................
Number of computers to be provided to state field inspection staff ............................................................................

2007 est.

2008 est.

4,400

4,400
4,100
7,698

4,300
8,310

27
9

1,981
500

2,001
500

2,021
500

19,349
2,101

20,300
2,200

21,315
2,300

2,529
88,882
30,795
120,192
4,734

2,500
95,000
30,000
120,000
4,700

2,500
100,000
30,000
120,000
4,700

1,346
14

1,400
0

84,500
35,000,000
6,500
939,000
1,000
25,000

85,000
35,500,000
17,000
948,500
30,000
30,000

85,500
36,000,000
17,500
956,000
30,000
35,000

63
1,419

70
1,500

519
100

9,339

9,430

4,400

3,889
7,096

9,339

Trust Funds
EXPENSES

AND

REFUNDS, INSPECTION
PRODUCTS

AND

GRADING

FARM

Special and Trust Fund Receipts (in millions of dollars)
Identification code 12–8137–0–7–352

2006 actual

2007 est.

2008 est.

01.99

Balance, start of year .................................................... ................... ................... ...................
Receipts:
02.20 Deposits of fees, Inspection and grading of farm
products, Food Safety and Quality Service ...............
6
6
6
04.00

Total: Balances and collections ....................................
Appropriations:
05.00 Expenses and refunds, inspection and grading of
farm products ............................................................
07.99

¥6

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

Program and Financing (in millions of dollars)
Identification code 12–8137–0–7–352

2006 actual

2007 est.

2008 est.

00.01

Obligations by program activity:
Expenses and refunds, inspection and grading of
farm products ............................................................

75
1,500

10.00

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

1,612

949

21.40
22.00

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

1
6

235

540

23.90
23.95

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

7
¥6

24.40

Unobligated balance carried forward, end of year

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

1 States

with cooperative agreements which are operating programs.
must be collected over a number of years to chart national trends and estimate the incidence of
foodborne illness and treatment.
2 Data

Object Classification (in millions of dollars)
Identification code 12–3700–0–1–554

11.1
11.3
11.5
11.9
12.1
13.0
21.0
22.0
23.1
23.2
23.3
24.0
25.1
25.2
25.3
25.4
25.7
26.0
31.0
41.0
42.0

2006 actual

2007 est.

2008 est.

480
13
23

507
14
23

73.10
73.20

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

6
¥6

Total personnel compensation ..............................
504
516
Civilian personnel benefits .......................................
169
172
Benefits for former personnel ...................................
1
2
Travel and transportation of persons .......................
32
32
Transportation of things ...........................................
4
4
Rental payments to GSA ...........................................
1
1
Rental payments to others ........................................
1
1
Communications, utilities, and miscellaneous
charges .................................................................
10
10
Printing and reproduction .........................................
2
2
Advisory and assistance services .............................
4
4
Other services ............................................................
28
11
Other purchases of goods and services from Government accounts .................................................
16
16
Operation and maintenance of facilities .................. ................... ...................
Operation and maintenance of equipment ...............
1
1
Supplies and materials .............................................
10
10
Equipment .................................................................
3
3
Grants, subsidies, and contributions ........................
43
43
Insurance claims and indemnities ...........................
1
1

544
190
2
42
5
1
1

86.97

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

89.00
90.00

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

6
6

469
13
22

14
2
4
36
17
1
2
14
8
46
1

Under authority of the Agricultural Marketing Act of 1946,
Federal meat and poultry inspection services are provided
upon request and for a fee in cases where inspection is not
mandated by statute. This service includes: certifying products for export beyond the requirements of export certificates;
inspecting certain animals and poultry intended for human
food where inspection is not required by statute, such as
buffalo, rabbit, and quail; and inspecting products intended
for animal consumption.
Object Classification (in millions of dollars)

99.0
99.0
99.5
99.9

830
140
2
972

829
930
126
130
1 ...................
956

1,060

Employment Summary
Identification code 12–3700–0–1–554

Direct:

2006 actual

2007 est.

2008 est.

Identification code 12–8137–0–7–352

2006 actual

2007 est.

2008 est.

Direct obligations:
Personnel compensation:
11.1
Full-time permanent ..................................................
11.5
Other personnel compensation ..................................

2
2

11.9
12.1
25.2

4
1
1

Total personnel compensation ..............................
Civilian personnel benefits ............................................
Other services ................................................................

GRAIN INSPECTION, PACKERS AND STOCKYARDS ADMINISTRATION
Federal Funds

DEPARTMENT OF AGRICULTURE
99.9

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

Employment Summary
Identification code 12–8137–0–7–352

1001

2006 actual

Direct:
Civilian full-time equivalent employment .....................

2007 est.

2008 est.

GRAIN INSPECTION, PACKERS AND
STOCKYARDS ADMINISTRATION
Federal Funds
SALARIES

AND

EXPENSES

For necessary expenses to carry out the provisions of the United
States Grain Standards Act, for the administration of the Packers
and Stockyards Act, for certifying procedures used to protect purchasers of farm products, and the standardization activities related
to grain under the Agricultural Marketing Act of 1946, $44,385,000:
Provided, That this appropriation shall be available pursuant to law
(7 U.S.C. 2250) for the alteration and repair of buildings and improvements, but the cost of altering any one building during the fiscal
year shall not exceed 10 percent of the current replacement value
of the building. (7 U.S.C. 71, 74–79, 84–87, 181–229, 1621–27.)
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Special and Trust Fund Receipts (in millions of dollars)
Identification code 12–2400–0–1–352

2006 actual

2007 est.

2008 est.

01.99

Balance, start of year .................................................... ................... ................... ...................
Receipts:
02.20 Fees, Grain inspection, packers and stockyards user
fee account—legislative proposal subject to PAYGO ................... ...................
22
04.00

Total: Balances and collections .................................... ................... ...................

07.99

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

Program and Financing (in millions of dollars)
Identification code 12–2400–0–1–352

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Standardization ..............................................................
00.02 Compliance ....................................................................
00.03 Methods development ....................................................
00.04 Packers and stockyards program ..................................
09.01 Reimbursable program ..................................................

4
7
7
20
1

4
7
8
24
1

10.00

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

22.00
23.95

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

39
¥39

38
¥39

44
¥44

70.00

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

72.40
73.10
73.20

10
39
¥38

11
39
¥38

12
44
¥43

74.40

Obligated balance, end of year ................................

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

33
5

31
7

36
7

87.00

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

89.00
90.00

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

Offsets:
Against gross budget authority and outlays:

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

38
37

38
38

44
43

The Grain Inspection, Packers and Stockyards Administration’s (GIPSA) Grain Regulatory Program promotes and enforces the accurate and uniform application of the United
States Grain Standards Act (USGSA) and applicable provisions of the Agricultural Marketing Act of 1946 (AMA).
GIPSA identifies, evaluates, and implements new or improved
techniques for measuring grain quality. GIPSA also establishes and updates testing and grading standards to facilitate
the marketing of U.S. grain, oilseeds, and related products.
GIPSA briefs foreign buyers, assesses foreign inspection and
weighing techniques, and responds to foreign quality and
quantity complaints. An advisory committee consisting of
members from the grain industry exists to advise the Agency
regarding efficient and economical implementation of the
USGSA. The Grain Quality Improvement Act of 1986 was
enacted on November 10, 1986, to improve the quality of
U.S. grain by prohibiting the introduction and reintroduction
of dockage and foreign material to grain.
GIPSA’s Packers and Stockyards Program is responsible
for administering the Packers and Stockyards Act of 1921
(P&S Act), which prohibits unfair, deceptive, and fraudulent
practices by market agencies, dealers, packers, swine contractors, and live poultry dealers in the livestock, poultry, and
meatpacking industries. The P&S Act makes it unlawful for
a regulated entity to engage in unfair, unjustly discriminatory, or deceptive practices. Packers, live poultry dealers, and
swine contractors are also prohibited from engaging in specific
anti-competitive practices. GIPSA conducts two broad types
of activities, regulatory and investigative, in its administration and enforcement of the P&S Act. GIPSA activities cover
two general areas: Business Practices and Financial Protection. Business Practices are further divided into Competition
and Trade Practices. The Agency also carries out the Secretary’s responsibilities under Section 1324 of the Food Security Act of 1985 covering ‘‘central filing systems’’ established
by States for pre-notification of security interests against farm
products.
MAIN WORKLOAD FACTORS
Grain Regulatory Program

U.S. standards and factors (attribute tests) in effect at end of
year .........................................................................................
Standards reviews and factors in progress ...............................
Standards reviews and factors completed .................................
On-site investigations .................................................................
Designations renewed .................................................................
Registration certificates issued ..................................................
Packers and Stockyards Program

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

Offsetting collections (cash) from: Federal sources

86.90
86.93

88.00

Investigations ..............................................................................
Regulatory Activities ....................................................................
Market agencies/dealers registered ............................................
Stockyards posted .......................................................................
Slaughtering and processing packers subject to the Act (estimated) .....................................................................................
Distributors, brokers, and dealers subject to the Act (estimated) .....................................................................................
Poultry operations subject to the Act .........................................

2006 actual

132
3
3
3
18
88
2006 actual

2007 est.

2008 est.

134
2
2
3
18
90
2007 est.

136
2
2
3
18
90
2008 est.

625
1,383
5,547
1,426

635
1,400
5,550
1,420

650
1,450
5,550
1,420

6,000

6,800
200

Object Classification (in millions of dollars)
Identification code 12–2400–0–1–352

11.1
12.1
21.0
23.3
25.2

Direct obligations:
Personnel compensation: Full-time permanent ........
Civilian personnel benefits .......................................
Travel and transportation of persons .......................
Communications, utilities, and miscellaneous
charges .................................................................
Other services ............................................................

2006 actual

2007 est.

2008 est.

22
6
2

26
7
2

1
5

GRAIN INSPECTION, PACKERS AND STOCKYARDS ADMINISTRATION—Continued
Federal Funds—Continued

SALARIES

AND

THE BUDGET FOR FISCAL YEAR 2008
88.95

EXPENSES—Continued

Change in uncollected customer payments from
Federal sources (unexpired) ..................................

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

Object Classification (in millions of dollars)—Continued
Identification code 12–2400–0–1–352

2006 actual

2007 est.

89.00
90.00

2008 est.

26.0
31.0

Supplies and materials .............................................
Equipment .................................................................

1
1

99.0
99.0

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

38
1

43
1

99.9

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

Employment Summary
Identification code 12–2400–0–1–352

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................

2007 est.

2008 est.

311

316

332

LIMITATION

INSPECTION

AND

WEIGHING SERVICES EXPENSES

Not to exceed $42,463,000 (from fees collected) shall be obligated
during the current fiscal year for inspection and weighing services:
Provided, That if grain export activities require additional supervision
and oversight, or other uncontrollable factors occur, this limitation
may be exceeded by up to 10 percent with notification to the Committees on Appropriations of both Houses of Congress. (7 U.S.C. 71,
74–79, 84–87, 1621–27.)
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
Identification code 12–4050–0–3–352

2006 actual

2007 est.

2008 est.

Obligations by program activity:
Limitation on inspection and weighing services expenses .......................................................................

10.00

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

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

4
39

6
42

23.90
23.95

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

43
¥37

48
¥42

24.40

Unobligated balance carried forward, end of year

The Grain Inspection, Packers and Stockyards Administration (GIPSA) provides a uniform system for the inspection
and weighing of grain. Services provided under this system
are financed through a fee supported revolving fund. This
authority has been extended through September 2015.
Fee supported programs include direct services, supervision
activities and administrative functions. Direct services include
official grain inspection and weighing by GIPSA employees
at certain export ports as well as the inspection of U.S. grain
shipped through Canada. The Agency supervises the inspection and weighing activities performed by its own employees.
The Agency also oversees the inspection and weighing of grain
performed by employees of 6 delegated States and 55 designated State and private agencies. The Agency provides an
appeal service of original grain inspections and a registration
system for grain exporting firms. Through support from the
Association of American Railroads and user fees, GIPSA conducts a railroad track scale testing program. In addition, the
agency provides grading services, on request, for rice and
grain related products under the authority of the Agricultural
Marketing Act of 1946 (AMA).
2006 actual

Export grain inspected and/or weighed (million metric tons):
By Federal personnel ..............................................................
By delegated States ................................................................
Quantity of grain inspected (official inspections) domestically
(million metric tons) ...............................................................
Number of grain official inspections and reinspections:
By Federal personnel ..............................................................
By delegated state/official agency licenses ...........................
Number of appeals (Grain, Rice, and Pulses) ............................
Number of appeals to the Board of Appeals and Review
(Grain, Rice, and Pulses) .......................................................
Quantity of rice inspected (million metric tons) ........................
Quantity of rice exports (million metric tons) ............................

76.2
26.6
174.8

2007 est.

2008 est.

73.9
34.4

83.2
37.0

139.0

136.7

93,067
2,799,169
4,075

100,000
3,000,000
1,700

100,000
3,200,000
1,700

634
2.8
3.6

400
3.1
3.8

400
3.1
3.7

21.40
22.00

09.00

New budget authority (gross), detail:
Mandatory:
Spending authority from offsetting collections:
69.00
Offsetting collections (cash) ................................
69.10
Change in uncollected customer payments from
Federal sources (unexpired) .............................
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) ......................................................
74.00 Change in uncollected customer payments from Federal sources (unexpired) ............................................
74.40

Obligated balance, end of year ................................

Object Classification (in millions of dollars)

¥2 ................... ...................
39

¥3
37
¥38

¥2
42
¥42

2 ................... ...................
¥2

¥2

Identification code 12–4050–0–3–352

2006 actual

Reimbursable obligations:
Personnel compensation:
11.1
Full-time permanent ..................................................
11.3
Other than full-time permanent ...............................
11.5
Other personnel compensation ..................................
11.9
12.1
21.0
23.1
23.3
25.2
26.0
99.9

2007 est.

2008 est.

17
1
8

22
1
6

Total personnel compensation ..............................
26
Civilian personnel benefits ............................................
5
Travel and transportation of persons ............................
1
Rental payments to GSA ................................................ ...................
Communications, utilities, and miscellaneous charges
1
Other services ................................................................
3
Supplies and materials .................................................
1

29
6
1
1
1
3
1

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

Employment Summary
Identification code 12–4050–0–3–352

2001

2006 actual

Reimbursable:
Civilian full-time equivalent employment .....................

329

2007 est.

2008 est.

353

¥2
f

Outlays (gross), detail:
86.97 Outlays from new mandatory authority .........................
Offsets:
Against gross budget authority and outlays:
88.40
Offsetting collections (cash) from: Non-Federal
sources ..................................................................
Against gross budget authority only:

AGRICULTURAL MARKETING SERVICE
Federal Funds
MARKETING SERVICES

¥41

¥42

For necessary expenses to carry out services related to consumer
protection, agricultural marketing and distribution, transportation,

AGRICULTURAL MARKETING SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
and regulatory programs, as authorized by law, and for administration and coordination of payments to States, $74,988,000, including
funds for the wholesale market development program for the design
and development of wholesale and farmer market facilities for the
major metropolitan areas of the country: Provided, That this appropriation shall be available pursuant to law (7 U.S.C. 2250) for the
alteration and repair of buildings and improvements, but the cost
of altering any one building during the fiscal year shall not exceed
10 percent of the current replacement value of the building.
Fees may be collected for the cost of standardization activities, as
established by regulation pursuant to law (31 U.S.C. 9701). (7 U.S.C.
91–99, 136i–136l, 138–138l, 291–292, 415b–415d, 471–476, 501–508,
581–599, 951–957, 1031–1056, 1291, 1551–56, 1621–27, 2204(b)(c),
4401–06, 6501–22; 15 U.S.C. 714–714p; 21 U.S.C. 1031–56; 26 U.S.C.
6804, 7233, 7263, 7492–93, 7701; 49 U.S.C. 1653.)
LIMITATION ON ADMINISTRATIVE EXPENSES

Not to exceed $61,233,000 (from fees collected) shall be obligated
during the current fiscal year for administrative expenses: Provided,
That if crop size is understated and/or other uncontrollable events
occur, the agency may exceed this limitation by up to 10 percent
with notification to the Committees on Appropriations of both Houses
of Congress.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
Identification code 12–2500–0–1–352

2006 actual

2007 est.

2008 est.

00.01
00.02
00.03
00.04
00.05
09.01

Obligations by program activity:
Market news service ......................................................
Inspection and standardization .....................................
Market protection and promotion ..................................
Wholesale market development .....................................
Transportation services ..................................................
Reimbursable program ..................................................

31
7
29
4
3
57

31
7
30
4
3
70

35
8
25
4
3
64

10.00

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

131

145

89.00
90.00

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

75
67

30
145

30
139

2006 actual

97%

Total budgetary resources available for obligation
Total new obligations ....................................................
Unobligated balance expiring or withdrawn .................

24.40

Unobligated balance carried forward, end of year

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

162
175
169
¥131
¥145
¥139
¥1 ................... ...................
30

2007 est.

95%

2008 est.

95%

COTTON AND TOBACCO USER FEE PROGRAM
2006 actual

23.90
23.95
23.98

75
77

MARKET NEWS PROGRAM
Percentage of reports released on time .....................................

27
135

75
76

Agricultural Marketing Service activities assist producers
and handlers of agricultural commodities by providing a variety of marketing services. These services continue to become
more complex as the volume of agricultural commodities increases, as a greater number of new processed commodities
are developed, and as the agricultural market structure undergoes extensive changes. Marketing changes include increased concentration in food retailing, direct buying, decentralization of processing, growth of interregional competition,
vertical integration, and contract farming.
The individual Marketing Services activities include:
Market news service.—The market news program provides
the agricultural community with information pertaining to
the movement of agricultural products. This nationwide service provides daily reports on the supply, demand, and price
of over 700 commodities on domestic and foreign markets.
Inspection, grading and standardization.—Nationally uniform standards of quality for agricultural products are established and applied to specific lots of products to: promote
confidence between buyers and sellers; reduce hazards in marketing due to misunderstandings and disputes arising from
the use of nonstandard descriptions; and encourage better
preparation of uniform quality products for market. Grading
services are provided on request for cotton and tobacco.
Quarterly inspection of egg handlers and hatcheries is conducted to ensure the proper disposition of shell eggs unfit
for human consumption.

139

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

Cotton classed (bales in millions) ..............................................
Domestic tobacco graded (million pounds) ................................
Imported tobacco inspected (million kilograms) ........................

25
16
175

2007 est.

21
16
175

2008 est.

20
16
175

FEDERALLY FUNDED INSPECTION AND MARKETING ACTIVITIES
2006 actual

135

145

States and Commonwealths with cooperative agreements ........
Percentage of noncomplying shell egg lots that are reprocessed or diverted ....................................................................

2007 est.

2008 est.

100%

139

STANDARDIZATION ACTIVITIES
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) .........................
74.10 Change in uncollected customer payments from Federal sources (expired) ................................................

2006 actual

21
27
26
131
145
139
¥127
¥146
¥141
¥1 ................... ...................
3 ................... ...................

74.40

Obligated balance, end of year ................................

86.90
86.93

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

81
46

137
9

131
10

87.00

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

127

146

141

¥2
¥58

¥3
¥67

¥3
¥61

88.90

¥60

¥70

¥64

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

International and U.S. standards in effect, end of fiscal year
Number of commodities covered .................................................

494
226

2007 est.

496
227

2008 est.

507
237

Market protection and promotion.—This program consists
of: (1) the research and promotion programs which are designed to improve the competitive position and expand markets for cotton, eggs and egg products, honey, pork, beef,
dairy products, potatoes, watermelons, mushrooms, soybeans,
fluid milk, popcorn, blueberries, avocados, lamb, mangos and
peanuts; (2) the Federal Seed Act; and (3) the administration
of the Capper-Volstead Act and the Agricultural Fair Practices Act.
The pesticide recordkeeping program monitors compliance
of private certified applicators with Federal regulations requiring them to keep records of restricted pesticides used
in agricultural production.
The pesticide data program develops comprehensive, statistically defensible information on pesticide residues in food
to improve government dietary risk procedures.

AGRICULTURAL MARKETING SERVICE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008
99.9

LIMITATION ON ADMINISTRATIVE EXPENSES—Continued

Federal seed inspectors conduct tests on seed samples to
help ensure truthful labeling of agricultural and vegetable
seeds sold in interstate commerce.
The Capper-Volstead Act and the Agricultural Fair Practices Act protect producers against discriminatory practices
by handlers, permit producers to engage in cooperative efforts,
and ensure that such cooperatives do not engage in practices
that monopolize or restrain trade.
The national organic program certifies that organically produced food products meet national standards.
MARKET PROTECTION AND PROMOTION ACTIVITIES
2006 actual

Pesticide data program:
Number of analyses performed ..............................................
Percentage of sampling and analysis goal ...........................
Pesticide recordkeeping:
Number of State/Federal Inspections conducted ...................
Percentage of sampling goal attained ...................................
Seed Act:
Interstate investigations:
Completed ...........................................................................
Pending ...............................................................................
Seed samples tested ..............................................................
Percentage of cases submitted that are completed ..............
Plant Variety Protection Act:

2007 est.

2008 est.

151,633
127%

131,500
100%

4,662
122%

4,000
100%

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

131

145

139

Employment Summary
Identification code 12–2500–0–1–352

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................

2007 est.

2008 est.

450

454

597

595

586

PAYMENTS

STATES

AND

POSSESSIONS

For payments to departments of agriculture, bureaus and departments of markets, and similar agencies for marketing activities under
section 204(b) of the Agricultural Marketing Act of 1946 (7 U.S.C.
1623(b)), $1,334,000.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
390
374
1,911
104%

370
350
2,000
100%

304
233
487

280
300
500

300
300
500

100%

92%

Identification code 12–2501–0–1–352

2006 actual

2007 est.

2008 est.

Wholesale market development.—This program is designed
to enhance the marketing of agricultural commodities in the
United States by conducting research into more efficient marketing methods for agricultural commodities and by providing
technical assistance to urban areas interested in improving
their food distribution facilities.
Transportation Services.—The activities are designed to ensure that the Nation’s transportation systems will adequately
serve the needs of agriculture and rural areas of the United
States.

Number of projects completed ....................................................

2007 est.

11.1
11.3
11.9
12.1
21.0
23.2
23.3

26.0
31.0

Total personnel compensation ..............................
Civilian personnel benefits .......................................
Travel and transportation of persons .......................
Rental payments to others ........................................
Communications, utilities, and miscellaneous
charges .................................................................
Printing and reproduction .........................................
Other services ............................................................
Other purchases of goods and services from Government accounts .................................................
Supplies and materials .............................................
Equipment .................................................................

99.0
99.0

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

24.0
25.2
25.3

21.40
22.00

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year ...................
New budget authority (gross) ........................................
11

23.90
23.95

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

24.40

Unobligated balance carried forward, end of year

11
¥4

7 ...................
1
1
8
¥8

1
¥1

7 ................... ...................

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

72.40
73.10
73.20

8
4
¥5

7
8
¥1

14
1
¥1

Obligated balance, end of year ................................

86.90
86.93

Outlays (gross), detail:
Outlays from new discretionary authority .....................
5 ................... ...................
Outlays from discretionary balances ............................. ...................
1
1

2006 actual

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

89.00
90.00

2007 est.

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

11
5

1
1

2008 est.

Object Classification (in millions of dollars)

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

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

87.00

2006 actual

Identification code 12–2500–0–1–352

2008 est.

TRANSPORTATION SERVICES ACTIVITIES
Number of projects completed ....................................................

74.40

WHOLESALE MARKET DEVELOPMENT ACTIVITIES
2006 actual

10.00
Number of applications received ............................................
Certificates of protection issued ............................................
Research and promotion collections (dollars in millions) ..........
Percentage of board budgets and marketing plans approved
within time frame goal ...........................................................

Obligations by program activity:
00.01 Payments to States and possessions ............................

2007 est.

2008 est.

29
3

36
3

37
3

32
9
2
1

39
10
1
1

40
10
1
1

2
1
18

Grants are made on a matching fund basis to State departments of agriculture to carry out specifically approved programs designed to enhance marketing efficiency. Under this
activity, specialists work with farmers, marketing firms, and
other agencies in solving marketing problems and in using
research results.

1
1
1 ...................
14
13

PERISHABLE AGRICULTURAL COMMODITIES ACT FUND
Special and Trust Fund Receipts (in millions of dollars)
Identification code 12–5070–0–2–352

6
1
2

5
1
2

6
1
2

74
57

75
70

75
64

2006 actual

2007 est.

2008 est.

01.99

Balance, start of year .................................................... ................... ................... ...................
Receipts:
02.60 Deposits, Perishable Agricultural Commodities Act
fund ...........................................................................
7
7
7
04.00

Total: Balances and collections ....................................

AGRICULTURAL MARKETING SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE

05.00
07.99

Appropriations:
Perishable Agricultural Commodities Act fund .............

Object Classification (in millions of dollars)
¥7

¥7

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

2006 actual

2007 est.

Identification code 12–5070–0–2–352

11.1
12.1
23.3
25.3

Program and Financing (in millions of dollars)
Identification code 12–5070–0–2–352

2008 est.

Obligations by program activity:
00.01 Perishable Agricultural Commodities Act ......................

10.00

2006 actual

Direct obligations:
Personnel compensation: Full-time permanent .............
Civilian personnel benefits ............................................
Communications, utilities, and miscellaneous charges
Other purchases of goods and services from Government accounts ...........................................................

2007 est.

2008 est.

5
1
1

6
1
1

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

99.9

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

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

21
7

18
7

15
7

23.90
23.95

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

28
¥10

25
¥10

22
¥10

24.40

Unobligated balance carried forward, end of year

Identification code 12–5070–0–2–352

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................

2007 est.

2008 est.

FUNDS
New budget authority (gross), detail:
Mandatory:
60.20
Appropriation (special fund) .....................................

2
10
¥11

1
10
¥7

4
10
¥7

FOR

STRENGTHENING MARKETS, INCOME,
(SECTION 32)

SUPPLY

(INCLUDING TRANSFERS OF FUNDS)

74.40

Obligated balance, end of year ................................

86.97
86.98

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

87.00

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

89.00
90.00

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

7
11

7
7

Funds available under section 32 of the Act of August 24, 1935
(7 U.S.C. 612c), shall be used only for commodity program expenses
as authorized therein, and other related operating expenses, including
not less than $20,000,000 for replacement of a system to support
commodity purchases, except for: (1) transfers to the Department of
Commerce as authorized by the Fish and Wildlife Act of August 8,
1956; (2) transfers otherwise provided in this Act; and (3) not more
than $16,798,000 for formulation and administration of marketing
agreements and orders pursuant to the Agricultural Marketing Agreement Act of 1937 and the Agricultural Act of 1961.

7
7

7
7
7
4 ................... ...................

Special and Trust Fund Receipts (in millions of dollars)
Identification code 12–5209–0–2–605

License fees are deposited in this special fund and are
used to meet the costs of administering the Perishable Agricultural Commodities and the Produce Agency Acts (7 U.S.C.
491–497, 499a–499s).
The Acts are intended to ensure equitable treatment to
farmers and others in the marketing of fresh and frozen fruits
and vegetables. Commission merchants, dealers, and brokers
handling these products in interstate and foreign commerce
are licensed. Complaints of violations are investigated and
violations dealt with by (a) informal agreements between the
two parties, (b) formal decisions involving payment of reparation awards, and/or (c) suspension or revocation of license
and/or publication of the facts. Beginning October 1, 1994,
an additional fee was instituted for the filing of formal and
informal complaints of violations of the Act. The November
1995 amendments to the Perishable Agricultural Commodities
Act: (1) increased the license fee and phased out fees for
wholesale grocers and retailers by 1999; (2) provided permanent authority to the Secretary of Agriculture to set license
and reparation complaint filing fees; and (3) repealed the
25 percent maximum funding reserve cap.
A 1984 amendment to the Perishable Agricultural Commodities Act requires traders to have trust assets on hand to
meet their obligations to fruit and vegetable suppliers. To
preserve their trust and establish their rights ahead of other
creditors, unpaid suppliers file notice with both the Department and their debtors that payment is due.

2006 actual

92%

2007 est.

85%

01.00

Balance, start of year ....................................................

2006 actual

2007 est.

2008 est.

11,618

12,485

13,487

Balance, start of year ....................................................
11,618
Receipts:
02.40 General fund payment, Funds for strengthening markets, income, and supply (section 32) ..................... ...................
02.60 30 percent of customs duties, funds for strengthening
markets, income and supply (section 32] ................
7,349

12,485

13,487

8,030

8,864

8,031

8,865

Total: Balances and collections ....................................
18,967
20,516
Appropriations:
05.00 Funds for strengthening markets, income, and supply
(section 32) ............................................................... ................... ...................
05.01 Funds for strengthening markets, income, and supply
(section 32) ...............................................................
¥6,482
¥7,029

22,352

01.99

02.99

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

7,349

04.00

¥37
¥7,552

05.99

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

¥6,482

¥7,029

¥7,589

07.99

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

12,485

13,487

14,763

Program and Financing (in millions of dollars)
Identification code 12–5209–0–2–605

00.01
00.02
00.03
00.04
00.05
00.06
00.07

2006 actual

2007 est.

2008 est.

Obligations by program activity:
Child nutrition program purchases ...............................
550
615
665
Emergency surplus removal ...........................................
81
302
416
Direct payments .............................................................
450
100 ...................
State option contract ..................................................... ...................
5
5
Removal of defective commodities ................................ ...................
1
1
Disaster Relief ...............................................................
2 ................... ...................
Direct payments, Hurricane relief ..................................
250 ................... ...................

00.91
01.01

PERISHABLE AGRICULTURAL COMMODITIES ACT ACTIVITIES
Percentage of informal reparation complaints completed within time frame goal .................................................................

AND

2008 est.

85%

Subtotal, Commodity program payments ..................
Administrative expenses ................................................

1,333
44

1,023
38

1,087
49

01.92
09.11

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

1,377
1

1,061
1

1,136
1

AGRICULTURAL MARKETING SERVICE—Continued
Federal Funds—Continued

86
FUNDS

FOR

THE BUDGET FOR FISCAL YEAR 2008

STRENGTHENING MARKETS, INCOME,
(SECTION 32)—Continued

SUPPLY

AND

(INCLUDING TRANSFERS OF FUNDS)—Continued

Program and Financing (in millions of dollars)—Continued
Identification code 12–5209–0–2–605

10.00

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

21.40
22.00
22.10

2006 actual

2007 est.

2008 est.

1,378

1,062

1,137

286
1,178

146
1,216

300
1,138

60 ................... ...................

23.90
23.95

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

1,524
¥1,378

1,362
¥1,062

1,438
¥1,137

24.40

Unobligated balance carried forward, end of year

146

300

301

New budget authority (gross), detail:
Discretionary:
40.20
Appropriation (special fund) (Replacement of computer system) ........................................................ ................... ...................
40.36
Unobligated balance permanently reduced .............. ................... ...................
43.00
60.20
60.36
61.00
62.50
69.00

ities that are distributed to schools as part of child nutrition
program entitlements. Furthermore, funds are transferred to
the Food and Nutrition Service for commodity purchases
under section 6 of the National School Lunch Act and other
authorities specified in the child nutrition appropriation. In
recent years, program funds have also been used to provide
specialty crop, livestock, sheep and lamb producers with disaster assistance in the form of direct payments and commodities.

37
¥65

Appropriation (total discretionary) ........................ ................... ...................
¥28
Mandatory:
Appropriation (special fund) .....................................
6,482
7,029
7,552
Unobligated balance permanently reduced ..............
¥38 ................... ...................
Transferred to other accounts .......................................
¥5,267
¥5,814
¥6,387
Appropriation (total mandatory) ...........................
Spending authority from offsetting collections: Offsetting collections (cash) .....................................

1,177

1,215

1,165

70.00

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

1,178

1,216

74.40

Obligated balance, end of year ................................

Identification code 12–5209–0–2–605

64
56
55
1,378
1,062
1,137
¥1,326
¥1,063
¥1,138
¥60 ................... ...................
56

2006 actual

31.0

Direct obligations:
Personnel compensation: Full-time permanent ........
Civilian personnel benefits .......................................
Travel and transportation of persons .......................
Transportation of things ...........................................
Communications, utilities, and miscellaneous
charges .................................................................
Printing and reproduction .........................................
Other services ............................................................
Other purchases of goods and services from Government accounts .................................................
Operation and maintenance of equipment ...............
Supplies and materials: Grants of commodities to
States ....................................................................
Equipment .................................................................

99.0
99.0
99.9

11.1
12.1
21.0
22.0
23.3

2007 est.

2008 est.

12
3
1
1

1
2
157

2
2
58

2
2
15

80
1

81
1

2
1

1,118
1

899
1

1,096
1

1,377
1

1,061
1

1,136
1

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

25.7
26.0

12
3
1
1

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

24.0
25.2
25.3

12
3
1
1

1,378

1,062

1,137

1,138

72.40
73.10
73.20
73.45

Object Classification (in millions of dollars)

Employment Summary
Identification code 12–5209–0–2–605

2006 actual

Direct:
Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................
1001

2007 est.

2008 est.

111

54
f

Outlays (gross), detail:
86.90 Outlays from new discretionary authority ..................... ................... ...................
86.97 Outlays from new mandatory authority .........................
976
862
86.98 Outlays from mandatory balances ................................
350
201

¥28
866
300

87.00

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

1,326

1,063

¥1

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

1,177
1,325

1,215
1,062

1,137
1,137

EXPENSES

1,138

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

Trust Funds

89.00
90.00

AND

REFUNDS, INSPECTION
PRODUCTS

GRADING

FARM

Special and Trust Fund Receipts (in millions of dollars)
Identification code 12–8015–0–7–352

01.00

2006 actual

2007 est.

2008 est.

Balance, start of year ....................................................

Balance, start of year ....................................................
Receipts:
02.00 Interest on investments in public debt securities,
AMS ............................................................................
02.01 Payments from general fund, Wool research, development, and promotion trust fund ...............................
02.20 Deposits of fees, inspection and grading of farm
products, AMS ...........................................................

01.99

The Agriculture Appropriations Act of 1935 established the
Section 32 program (7 U.S.C. 612c) which provides that 30
percent of U.S. Customs receipts for each calendar year are
transferred to this account within the Department of Agriculture (USDA). The purpose of the Section 32 program is
three-fold: to encourage the exportation of agricultural commodities and products, to encourage domestic consumption
of agricultural products by diverting them, and to reestablish
farmers’ purchasing power by making payments in connection
with the normal production of any agricultural commodity
for domestic consumption. There is also a requirement that
the funds available under Section 32 shall be principally devoted to perishable agricultural commodities (e.g., fruits and
vegetables). Program funds are used for a variety of purposes
in support of the three primary purposes specified in the
program’s authorizing legislation. Funds may be used to stabilize market conditions through purchasing surplus commodities which are in turn, distributed to nutrition assistance
programs. Program funds are also used to purchase commod-

AND

02.99

1 ................... ...................
2

141

123

127

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

144

125

129

146

128

133

¥143

¥124

¥126

04.00

07.99

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

Program and Financing (in millions of dollars)
Identification code 12–8015–0–7–352

Obligations by program activity:
00.01 Dairy products ................................................................
00.02 Fruits and vegetables ....................................................
00.03 Meat grading .................................................................
00.04 Poultry products .............................................................
00.05 Miscellaneous agricultural commodities .......................

2006 actual

5
60
24
36
17

2007 est.

6
55
23
28
14

2008 est.

6
57
23
29
14

AGRICULTURAL MARKETING SERVICE—Continued
Trust Funds—Continued

DEPARTMENT OF AGRICULTURE
10.00

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

142

126

129

21.40
22.00

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

35
145

38
126

38
128

23.90
23.95

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

180
¥142

164
¥126

166
¥129

24.40

Unobligated balance carried forward, end of year

124
2

126
2

62.50

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

145

126

128

72.40
73.10
73.20

25
142
¥149

18
126
¥126

18
129
¥128

74.40

Obligated balance, end of year ................................

86.97
86.98

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

87
62

121
5

123
5

87.00

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

149

126

128

89.00
90.00

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

145
149

126
126

128
128

Expenses and refunds, inspection and grading of farm products.—The commodity grading programs provide grading, examination, and certification services for a wide variety of
fresh and processed food commodities using federally approved grade standards and purchase specifications. Commodities graded include poultry, livestock, meat, dairy products,
and fresh and processed fruits and vegetables. These programs use official grade standards which reflect the relative
quality of a particular food commodity based on laboratory
testing and characteristics such as taste, color, weight, and
physical condition. Producers voluntarily request grading and
certification services which are provided on a fee for service
basis.
WORKLOAD INDICATORS
2006 actual

$0.23

2007 est.

$0.21

2008 est.

$0.21

11.9
12.1
13.0
21.0
22.0
23.2
23.3
25.2
25.3
26.0
31.0
41.0

Total personnel compensation ..............................
Civilian personnel benefits ............................................
Benefits for former personnel ........................................
Travel and transportation of persons ............................
Transportation of things ................................................
Rental payments to others ............................................
Communications, utilities, and miscellaneous charges
Other services ................................................................
Other purchases of goods and services from Government accounts ...........................................................
Supplies and materials .................................................
Equipment ......................................................................
Grants, subsidies, and contributions ............................

99.9

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

2007 est.

1,527

1,602

2008 est.

1,602

MILK MARKET ORDERS ASSESSMENT FUND

2006 actual

Identification code 12–8412–0–8–351

09.01
09.02
09.03

Obligations by program activity:
Administration ................................................................
Marketing service ...........................................................
Purchase of non-Federal securities ...............................

10.00

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

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

24.40

2007 est.

69.90

72.40
73.10
73.20
74.40

58
6
15

85
79
80
25
19
20
1
1
1
7
7
7
1 ................... ...................
2
2
2
3
2
2
9
10
11
4 ................... ...................
2
2
2
1
2
2
2
2
2
142

126

129

Spending authority from offsetting collections
(total mandatory) .............................................
Change in obligated balances:
Obligated balance, start of year ...................................
Total new obligations ....................................................
Total outlays (gross) ......................................................

2008 est.

43
47
48
5
6
7
24 ................... ...................
72

26 ................... ...................
46
53
55
72
¥72

53
¥53

55
¥55

1 ................... ...................
72
53
55
¥73
¥53
¥55

Obligated balance, end of year ................................ ................... ................... ...................
Outlays (gross), detail:
Outlays from new mandatory authority .........................
Outlays from mandatory balances ................................

87.00

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

46
53
55
27 ................... ...................
73

Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash) from:
88.40
Non-Federal sources .............................................
¥46
88.40
Non-Federal sources (Proceeds from non-Federal
securities not immediately reinvested) ............ ...................

¥43

¥10

¥12

¥46

¥53

¥55

2008 est.

59
6
15

2007 est.

Unobligated balance carried forward, end of year ................... ................... ...................

86.97
86.98

89.00
90.00
69
6
10

2006 actual

New budget authority (gross), detail:
Mandatory:
Spending authority from offsetting collections:
69.00
Offsetting collections (cash) ................................
46
69.00
Offsetting collections (Proceeds from non-Federal
securities not immediately reinvested) ............ ...................

88.90

Object Classification (in millions of dollars)

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

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................

Program and Financing (in millions of dollars)
143
2

Identification code 12–8015–0–7–352

Employment Summary
Identification code 12–8015–0–7–352

New budget authority (gross), detail:
Mandatory:
60.26
Appropriation (trust fund) .........................................
62.00 Transferred from other accounts ...................................

Weighted average cost per cwt. (1990 index) ............................

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

Memorandum (non-add) entries:
Total investments, start of year: non-Federal securities: Market value ..................................................... ...................
92.04 Total investments, end of year: non-Federal securities:
Market value ..............................................................
24
92.03

The Secretary of Agriculture is authorized by the Agricultural Marketing Agreement Act of 1937, as amended under
certain conditions to issue Federal milk marketing orders establishing minimum prices which handlers are required to
pay for milk purchased from producers. There are currently
10 Federally-sanctioned milk market orders in operation.
Market administrators are appointed by the Secretary and
are responsible for carrying out the terms of specific marketing orders. Their operating expenses, partly financed by
assessments on regulated handlers and partly by deductions

AGRICULTURAL MARKETING SERVICE—Continued
Trust Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008

MILK MARKET ORDERS ASSESSMENT FUND—Continued

from producers, are reported in these schedules. The majority
of these funds are collected and deposited in checking and
savings accounts in local banks, and disbursed directly by
the market administrator. A portion of the funds collected
are invested in securities such as certificates of deposit.
Expenses of local offices are met from an administrative
fund and a marketing service fund, which are prescribed in
each order. The administrative fund is derived from prorated
handler assessments. The marketing service fund of the individual order disseminates market information to producers
who are not members of a qualified cooperative. It also provides for the verification of the weights, sampling, and testing
of milk from these producers. The cost of these services is
borne by such producers.
The maximum rates for administrative assessment and for
marketing services are set forth in each order and adjustments below these rates are made from time to time upon
recommendations by the market administrator and upon approval of the Agricultural Marketing Service to provide reserves at about a 6-month operating level. Upon termination
of any order, the statute provides for distributing the proceeds
from net assets pro rata to contributing handlers or producers, as the case may be.
Object Classification (in millions of dollars)
Identification code 12–8412–0–8–351

11.1
12.1
21.0
23.2
23.3
25.2
26.0
31.0
33.0
99.9

2006 actual

2007 est.

2008 est.

Reimbursable obligations:
Personnel compensation: Full-time permanent .............
31
32
33
Civilian personnel benefits ............................................
8
10
11
Travel and transportation of persons ............................
3
3
3
Rental payments to others ............................................
3
3
3
Communications, utilities, and miscellaneous charges
1
2
2
Other services ................................................................ ...................
1
1
Supplies and materials .................................................
1
1
1
Equipment ......................................................................
1
1
1
Investments and loans ..................................................
24 ................... ...................
Total new obligations ................................................

Employment Summary
Identification code 12–8412–0–8–351

2006 actual

Reimbursable:
2001 Civilian full-time equivalent employment .....................

2007 est.

423

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

72.40
73.10
73.20
73.40

21
76
¥74
¥2

21
79
¥78
¥1

74.40

Obligated balance, end of year ................................

86.90
86.93

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

53
21

55
23

87.00

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

89.00
90.00

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

76
74

79
78

This appropriation provides funding for the administrative
and operating expenses of the Risk Management Agency
(RMA). The Agricultural Risk Protection Act (ARPA) of 2000
significantly enhanced RMA’s role in protecting the integrity
of the Federal Crop Insurance program for farmers. ARPA
imposed new regulatory responsibilities and expanded the
scope of program compliance and monitoring activities. Accordingly, it impacted on the amount and type of information
RMA collects. The budget requests additional funding to fully
implement these responsibilities.
The Federal Crop Insurance program is delivered through
private insurance companies. Certain administrative expenses
incurred by the companies are reimbursed through mandatory
funding that is reflected in the account for the Federal Crop
Insurance Fund. In addition, the data mining project and
RMA’s portion of the Common Information Management System are proposed to be funded through a general provision
that will expand the uses of research and development funding in the Crop Insurance Act to include these purposes,
up to $11.2 million.
Object Classification (in millions of dollars)
Identification code 12–2707–0–1–351

Federal Funds
OPERATING EXPENSES

For administrative and operating expenses, as authorized by section
226A of the Department of Agriculture Reorganization Act of 1994
(7 U.S.C. 6933), $79,062,000: Provided, That not to exceed $1,000
shall be available for official reception and representation expenses,
as authorized by 7 U.S.C. 1506(i).

2007 est.

2008 est.

Obligations by program activity:
00.01 Administrative and operating expenses ........................

10.00

22.00
23.95

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

76
¥76

2008 est.

39
1

11.9
12.1
21.0
23.2
23.3
25.2
26.0
31.0

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

39
10
2
1
1
19
2
2

40
9
2
1
1
21
1
1

40
9
2
1
1
24
1
1

99.9

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

Employment Summary
Identification code 12–2707–0–1–351

Program and Financing (in millions of dollars)
2006 actual

2007 est.

38
1

Identification code 12–2707–0–1–351

2006 actual

Direct obligations:
Personnel compensation:
11.1
Full-time permanent ..................................................
11.3
Other than full-time permanent ...............................

RISK MANAGEMENT AGENCY
AND

77
76
79
¥1 ................... ...................

43.00

2008 est.

ADMINISTRATIVE

76
¥76

79
¥79

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................

477

2007 est.

553

2008 est.

553

CORPORATIONS
The following corporations and agencies are hereby authorized to
make expenditures, within the limits of funds and borrowing authority
available to each such corporation or agency and in accord with
law, and to make contracts and commitments without regard to fiscal

RISK MANAGEMENT AGENCY—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
year limitations as provided by section 104 of the Government Corporation Control Act as may be necessary in carrying out the programs
set forth in the budget for the current fiscal year for such corporation
or agency, except as hereinafter provided.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.
f

FEDERAL CROP INSURANCE CORPORATION FUND
For payments as authorized by section 516 of the Federal Crop
Insurance Act (7 U.S.C. 1516), such sums as may be necessary, to
remain available until expended.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
Identification code 12–4085–0–3–351

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Indemnities ....................................................................
00.02 A&O reimbursements .....................................................
00.03 ARPA obligations ............................................................
09.01 Reimbursable program—indemnities ...........................

2,375
962
43
1,208

3,702
1,111
70
1,184

3,671
1,190
70
1,401

10.00

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

4,588

6,067

6,332

21.40
22.00

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

1,355
4,499

1,266
5,558

757
6,214

23.90
23.95

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

5,854
¥4,588

6,824
¥6,067

6,971
¥6,332

24.40

Unobligated balance carried forward, end of year

1,266

757

639

New budget authority (gross), detail:
Mandatory:
60.00
Appropriation .............................................................
61.00
Transferred to other accounts ...................................

3,296
¥5

4,379
¥5

4,818
¥5

Appropriation (total mandatory) ...........................
Spending authority from offsetting collections: Offsetting collections (cash) .....................................

3,291

4,374

4,813

1,208

1,184

1,401

70.00

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

4,499

5,558

6,214

72.40
73.10
73.20

246
4,588
¥4,580

254
6,067
¥5,102

1,219
6,332
¥5,943

74.40

Obligated balance, end of year ................................

254

1,219

1,608

86.97
86.98

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

3,225
1,355

3,836
1,266

4,458
1,485

87.00

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

4,580

5,102

5,943

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

¥1,208

¥1,184

¥1,401

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

3,291
3,372

4,374
3,918

4,813
4,542

62.50
69.00

89.00
90.00

The Federal Crop Insurance Corporation (FCIC), a whollyowned government corporation, provides multi-peril and catastrophic crop insurance protection against losses from unavoidable natural events. The Federal Crop Insurance Reform
Act of 1994 (Reform Act) and the Federal Agriculture Improvement and Reform Act of 1996 (1996 Act) brought many
changes to the program. The crop insurance program is an
integral part of the broad-based safety net and includes programs involving yield and revenue insurance, pasture, range-

land and forage, livestock, and other educational and risk
mitigation initiatives/tools to manage risk.
Commercial insurance companies deliver crop insurance
policies to producers in all states. For producers who obtain
Catastrophic Crop Insurance (CAT), which compensates the
farmer for losses up to 50 percent of the individual’s average
yield at 55 percent of the expected market price, the premium
is entirely subsidized. The cost to the producer for this type
of coverage is an annual administrative fee of $100 per crop
per county.
Additional coverage is available to producers who wish to
insure crops above the 50 percent coverage level/55 percent
price level. Policyholders can elect to be paid up to 100 percent of the market price established by FCIC for each unit
of production their actual yield is less than the individual
yield guarantee. Premium rates for additional coverage depend on the level of protection selected and vary from crop
to crop and county to county. Producers are assessed a fee
of $30 per crop, per county, in addition to a share of the
premium. The additional levels of insurance coverage are
more attractive to farmers due to availability of optional
units, other policy provisions not available with CAT coverage, and the ability to obtain a level of protection that
permits them to use crop insurance as loan collateral and
to achieve greater financial security.
Revenue protection for all products is provided by extending
traditional multi-peril crop insurance protection, based on actual production history, to include price variability. Revenue
insurance helps to ensure a certain level of a crop’s annual
income. FCIC is also piloting an Adjusted Gross Revenue
(AGR) program, which is designed to insure a portion of a
producer’s gross revenue based on their Schedule F Farm
and income tax reports.
The Adjusted Gross Revenue-Lite (AGR-Lite) insurance
plan, a modification of AGR, was approved in late 2002 and
offered for sale in 2003. This product was submitted to FCIC
through Section 508(h) of the Act. For 2006, AGR-Lite covers
whole farm revenue up to $1 million, including revenue from
animals and animal products. AGR-Lite covers the adjusted
gross revenue from the whole farm based on five years of
tax forms and a farm plan. AGR-Lite initially began as a
pilot in Pennsylvania and recently expanded to cover 28
States starting with the 2007 crop year.
During 2006, RMA continued, as one of its highest priorities, the contracted development of new insurance programs
for pasture, rangeland and forage, implementing two new
pilot programs effective for the 2007 crop year in 9 states,
the Rainfall and Vegetative Index programs. In addition,
RMA presented two new alternatives for addressing situations
of declining actual production history yields due to successive
years of yield loss to the Board of Directors for consideration
of expert review. Also, RMA awarded 8 research and development partnership agreements totaling over $3 million to develop financial and risk management decision support tools,
and for funding technical and scientific innovations for better
disease management and to increase information on expected
yield impacts associated with reduced irrigation water application. Additionally RMA funded approximately $3 million
for improvements and expansion to decision support tools for
production practices to manage soybean rust and to help in
the establishment of sentinel plots to assist in keeping the
nation informed on the movement of the rust disease.
In crop year 2006, 242 million acres were insured, with
an estimated $4,579 million in total premium income, including $2,681 million in premium subsidy.
ARPA provided RMA with mandatory funding to implement
data mining and data warehousing to improve compliance
and integrity in the crop insurance program in years 2001–
2005. In 2006, $3.6 million was appropriated in the Administrative and Operating Account for data mining and data

RISK MANAGEMENT AGENCY—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008
Producer premium ...................................................................

FEDERAL CROP INSURANCE CORPORATION FUND—Continued

warehousing activities. To ensure data mining has annual
funding, RMA is requesting authorization to fund data mining
costs through ARPA. The 2008 Budget also requests authorization to fund the Common Information Management System
through ARPA.
The 2008 Budget includes a proposal to implement a participation fee in the Federal crop insurance program. The
proposed participation fee would initially be used to fund
modernization of the existing information technology (IT) system and would supplement the annual appropriation provided
by Congress. Subsequently, the fee would be shifted to maintenance and would be expected to reduce the annual appropriation. The participation fee would be charged to insurance
companies participating in the Federal crop insurance program; based on a rate of about one-half cent per dollar of
premium sold, the fee is expected to generate an amount
not to exceed $15 million annually. In recent years, the Administration has included several proposals in the Budget
to modernize the IT system used by RMA to administer the
Federal crop insurance program. The existing IT system is
nearing the end of its useful life and recent years have seen
increases in ‘‘down-time’’ resulting from system failures. Over
the years, numerous changes have occurred in the Federal
crop insurance program; including, the development of revenue, livestock, and pasture/rangeland insurance which have
greatly expanded the program and taxed the IT system due
to new requirements, such as daily livestock pricing, which
were not envisioned when the existing IT system was designed. These new requirements contribute to increased maintenance costs and limit RMA’s ability to comply with Congressional mandates pertaining to data reconciliation with the
Farm Service Agency.
The following table compares the scope of the insurance
operations planned for 2008. Amounts in the 2006 column
are as of September 30, 2006, and pertain to the 2006 crop
year.

1,161

1,141

1,357

Total premiums ..............................................................

3,452

3,868

4,824

Indemnities:
Additional coverage ................................................................
Catastrophic coverage—Reinsurance ....................................

3,338
251

4,801
151

5,000
253

Total indemnities ...........................................................

3,589

4,952

5,253

The following table summarizes the insurance operations
for 2006, 2007, and 2008:
NET INCOME OR LOSS (–) ON INSURANCE OPERATIONS
[In millions of dollars]
FY 2006
actual

FY 2007 est.

FY 2008 est.

Producer premium less indemnities ...........................................
Interest expense, net ...................................................................
Delivery expenses1 .......................................................................
Other income or expense, net .....................................................
ARPA costs ..................................................................................
Reinsurance underwriting gain (+) or loss (–) ..........................

–2,428
0
–962
47
–43
–924

–3,811
0
–1,111
43
–75
–790

–3,896
0
–1,190
44
–75
–892

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

–4,310

–5,744

–6,009

1 Figures

reflect delivery expenses borne by the Fund in accordance with the Agriculture Research, Extension
and Education Reform Act of 1998, P.L. 105–185.

Balance Sheet (in millions of dollars)
Identification code 12–4085–0–3–351

2005 actual

2006 actual

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

1,601
1,369
1

1,431
1,713
1

1999

2,971

3,145

2007 CY est.

2008 CY est.

50
3,066
49,930
242

50
3,066
63,004
262

50
3,066
67,796
288

Producer premium (millions)1 .....................................................
Premium subsidy (millions)1 .......................................................

$1,898
$2,681

$2,235
$3,144

$2,388
$3,368

Total premium (millions)1 .............................................

$4,579

$5,379

$4,505
.98

$5,771
1.075

$6,087
1.075

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

14
3,485

11
3,916

2999

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

3,500

3,927

465
–994

510
–1,292

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

–529

–782

4999

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

2,971

3,145

$5,756

Indemnities (millions)1 ................................................................
Loss ratio .....................................................................................

3999

2006 CY est.

Number of States ........................................................................
Number of counties .....................................................................
Insurance in force (millions) .......................................................
Insured acreage (millions) ..........................................................

Total assets ..................................................................................
LIABILITIES:
2105 Federal liabilities: Other ..............................................................
Non-Federal liabilities:
2201 Accounts payable .........................................................................
2207 Other ..............................................................................................

1Includes

amounts that will appear on the books of the reinsured companies.

Financing.—The Corporation is authorized under the Federal Crop Insurance Act, as amended, to use funds from the
issuance of capital stock which provides working capital for
the Corporation.
Receipts, which are for deposit to this fund, come mainly
from premiums paid by farmers. The principal payments from
this fund are for indemnities to insured farmers, and administrative expenses for approved insurance providers.
Premium subsidies are authorized by section 508(b) of the
Federal Crop Insurance Act, as amended, and are received
through appropriations.

25.2
25.2
42.0

2006 actual

Direct obligations:
Other services-ARPA requirements ................................
Other services ................................................................
Insurance claims and indemnities (reinsured buyup)

2007 est.

2008 est.

43
962
2,375

70
1,111
3,702

70
1,190
3,671

99.0
42.0

Direct obligations ......................................................
Reimbursable obligations: Insurance claims and indemnities ...................................................................

3,380

4,883

4,931

1,208

1,184

1,401

99.9

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

4,588

6,067

6,332

FARM SERVICE AGENCY
Federal Funds
AND

EXPENSES

(INCLUDING TRANSFERS OF FUNDS)

[In millions of dollars]
FY 2006
actual

Subtotal, premium subsidy ................................................

Identification code 12–4085–0–3–351

SALARIES

PREMIUM AND SUBSIDY

Premiums:
Additional coverage premium subsidy ...................................
Catastrophic coverage—Reinsurance premium subsidy .......

Object Classification (in millions of dollars)

FY 2007 est.

FY 2008 est.

2,045
246

2,510
217

3,218
248

2,291

2,727

3,467

For necessary expenses for carrying out the administration and implementation of programs administered by the Farm Service Agency,
$1,228,662,000: Provided, That the Secretary is authorized to use the
services, facilities, and authorities (but not the funds) of the Commodity Credit Corporation to make program payments for all programs administered by the Agency: Provided further, That other funds

FARM SERVICE AGENCY—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
made available to the Agency for authorized activities may be advanced to and merged with this account.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
Identification code 12–0600–0–1–351

Obligations by program activity:
00.01 Conservation ..................................................................
00.02 Income support ..............................................................
00.05 Commodity operations ...................................................

2006 actual

2007 est.

2008 est.

140
802
61

136
770
59

191
961
77

03.00
09.01
09.02

Subtotal, direct program ...........................................
Farm loans .....................................................................
Other programs ..............................................................

1,003
301
182

965
302
102

1,229
312
99

09.99

Subtotal, reimbursable program ...............................

483

404

411

10.00

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

1,486

1,369

1,640

21.40
22.00
22.30

24
1,503

77
1,369

77
1,640

23.90
23.95
23.98

Total budgetary resources available for obligation
Total new obligations ....................................................
Unobligated balance expiring or withdrawn .................

24.40

Unobligated balance carried forward, end of year

46 ................... ...................
1,573
1,446
1,717
¥1,486
¥1,369
¥1,640
¥10 ................... ...................
77

1,030
965
1,229
¥10 ................... ...................

43.00

1,020

965

1,229

473

404

411

58.00
58.10
58.90
70.00

10 ................... ...................

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

483

404

411

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

1,503

1,369

1,640

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) ................................................
72.40
73.10
73.20
73.40
74.00

104
159
159
1,486
1,369
1,640
¥1,443
¥1,369
¥1,613
¥2 ................... ...................
¥10 ................... ...................
24 ................... ...................

74.40

Obligated balance, end of year ................................

159

186

86.90
86.93

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

1,327
116

1,270
99

1,514
99

87.00

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

1,443

1,369

1,613

¥482
¥24

¥387
¥17

¥394
¥17

88.90

¥506

¥404

¥411

88.95
88.96

89.00
90.00

Total, offsetting collections (cash) .......................
Against gross budget authority only:
Change in uncollected customer payments from
Federal sources (unexpired) ..................................
Portion of offsetting collections (cash) credited to
expired accounts ...................................................
Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

¥10 ................... ...................
33 ................... ...................

1,020
937

965
965

1,229
1,202

The Farm Service Agency (FSA) was established October
3, 1994, pursuant to the Federal Crop Insurance Reform and
Department of Agriculture Reorganization Act of 1994, P.L.
103–354. The Department of Agriculture Reorganization Act
of 1994 was amended on April 4, 1996, by the Federal Agriculture Improvement and Reform Act of 1996 (1996 Act), P.L.
104–127. The FSA administers a variety of activities, such
as farm income support programs through various loans and
payments; the Conservation Reserve Program (CRP); the
Emergency Conservation Program; the Hazardous Waste
Management Program; the Commodity Operation Programs
including the warehouse examination function; farm ownership, farm operating, emergency disaster, and other loan programs; and the Noninsured Crop Disaster Assistance Program
(NAP), which provides crop loss protection for growers of
many crops for which crop insurance is not available. The
Agency also assists in the administration of several conservation cost-share programs financed by the Commodity Credit
Corporation (CCC), including the Grasslands Reserve Program (GRP). In addition, FSA currently provides certain administrative support services to the Foreign Agricultural
Service (FAS) and to the Risk Management Agency (RMA).
This consolidated administrative expenses account includes
funds to cover expenses of programs administered by, and
functions assigned to, the Agency. The funds consist of a
direct appropriation, transfers from program loan accounts
under credit reform procedures, user fees, and advances and
reimbursements from other sources. This is a consolidated
account for administrative expenses of national, regional,
State, and county offices.
USDA’s FSA, Natural Resources Conservation Service
(NRCS), and Rural Development (RD) offices act as separate
franchises, with offices often located adjacent to each other.
Prior efforts to improve the efficiency of USDA’s county-based
offices have resulted in significant co-location, and introduction of new information technology to simplify customer transactions.
During 2003 FSA also began to consolidate loan servicing
functions such as billings and mass mailings and is in the
process of implementing an interactive voice response system
to handle routine information requests from borrowers. These
efforts will help improve customer service while also reducing
annual costs to the Government. However, the separate hierarchical structures at State, regional, and headquarter levels
are set in law, and this hinders further attempts to achieve
additional efficiencies.
Farm programs.—These programs provide an economic
safety net through farm income support to eligible producers,
cooperatives, and associations to help improve the economic
stability and viability of the agricultural sector and to ensure
the production of an adequate and reasonably priced supply
of food and fiber. Objectives of the Agency include providing
direct and counter-cyclical payments, providing marketing assistance loans and loan deficiency payments enabling recipients to continue farming operations without marketing their
product immediately after harvest, and providing a financial
assistance safety net to eligible producers when natural disasters result in a catastrophic loss of production or prevent
planting of noninsured crops, and timely approval of crop
prices, average yields, and payment factors for the Noninsured Crop Disaster Assistance Program (NAP).
Farm program activities include the following functions
dealing with the administration of programs carried out
through the farmer committee system of the FSA: (a) developing program regulations and procedures; (b) collecting and
compiling basic data for individual farms; (c) establishing individual farm allotments for farm planting history; (d) notifying producers of established allotments and farm planting
histories; (e) conducting referendums and certifying results;
(f) accepting farmer certifications and checking compliance

FARM SERVICE AGENCY—Continued
Federal Funds—Continued

SALARIES

AND

THE BUDGET FOR FISCAL YEAR 2008
11.3
11.5

EXPENSES—Continued

(INCLUDING TRANSFERS OF FUNDS)—Continued

for specific purposes; (g) processing commodity loan documents and issuing checks; (h) processing direct and countercyclical payments and issuing checks; (i) certifying payment
eligibility and monitoring payment limitations; and (j) processing farm storage facility loans and issuing checks.
Conservation and environment.—These programs assist agricultural producers and landowners in achieving a high level
of stewardship of soil, water, air, and wildlife resources on
America’s farmland and ranches while protecting the human
and natural environment. Objectives of the Agency include
improving environmental quality, protecting natural resources, and enhancing habitat for fish and wildlife, including
threatened and endangered species, providing Emergency
Conservation Program funding for farmers and ranchers to
rehabilitate damaged farmland and for carrying out emergency conservation measures during periods of severe drought
or flooding, protecting the public health of communities
through implementation of the Hazardous Waste Management Program, and implementing administrative processes
and procedures for contracting, financial reporting, and other
financial operations. This activity includes: (a) processing producer requests for conservation cost-sharing and issuing conservation reserve rental payments; and (b) issuing checks for
other conservation programs.
Commodity operations.—This activity includes: (a) overall
management of CCC-owned commodities; (b) purchasing commodities; (c) donating commodities; (d) selling commodities;
(e) accounting for loans and commodities; and (f) commercial
warehouse activities, which include improving the effectiveness and efficiency of FSA’s commodity acquisition, procurement, storage, and distribution activities to support domestic
and international food assistance programs and administering
the U.S. Warehouse Act (USWA). The Agency provides for
the examination of warehouses licensed under the USWA and
non-licensed warehouses storing CCC-owned or pledged commodities. Examiners perform periodic examinations of the facilities and the warehouse records to ensure protection of
depositors against potential losses of the stored commodities
and to ensure compliance with the USWA and any CCC storage agreements.
Farm loans (reimbursable).—Provides for administering the
direct and guaranteed loan programs covered under the Agricultural Credit Insurance Fund (ACIF). Objectives of the
Agency include improving the economic viability of farmers
and ranchers, reducing losses in direct loan programs, responding to loan making and servicing requests, and maximizing financial and technical assistance to under-served
groups. Activities include reviewing applications, servicing the
loan portfolio, and providing technical assistance and guidance to borrowers. Funding for farm loan administrative expenses is paid to this consolidated account from the ACIF.
Appropriations representing subsidy amounts necessary to
support the individual program loan levels under Federal
Credit Reform are made to the ACIF account.
Other reimbursable activities.—FSA collects a fee or is reimbursed for performing a variety of services for other Federal
agencies, CCC, industry, and others, including certain administrative support services for the Risk Management Agency
and the Foreign Agricultural Service, and for county office
services provided to Federal and non-Federal entities, including a variety of services to producers.
Object Classification (in millions of dollars)
Identification code 12–0600–0–1–351

11.1

Direct obligations:
Personnel compensation:
Full-time permanent .............................................

2006 actual

143

2007 est.

145

2008 est.

154

Other than full-time permanent ...........................
Other personnel compensation .............................

3
3

11.9
12.1
21.0
22.0
23.3
24.0
25.2
26.0
31.0
41.0

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

149
151
44
45
9 ...................
3 ...................

160
47
17
4

7
17
1 ...................
146
163
6 ...................
3 ...................
635
589

35
1
273
4
1
687

99.0
99.0

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

1,003
483

965
404

1,229
411

99.9

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

1,486

1,369

1,640

Employment Summary
Identification code 12–0600–0–1–351

2006 actual

Direct:
Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................
1001

2007 est.

2008 est.

2,001

2,023

2,079

3,234

3,230

3,174

STATE MEDIATION GRANTS
For grants pursuant to section 502(b) of the Agricultural Credit
Act of 1987, as amended (7 U.S.C. 5101–5106), $4,000,000.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
Identification code 12–0170–0–1–351

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 State mediation grants ..................................................

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

4
¥4

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

72.40
73.10
73.20

3
4
¥4

74.40

Obligated balance, end of year ................................

86.90
86.93

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

2
2

87.00

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

89.00
90.00

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

4
4

This grant program is authorized by Title V of the Agricultural Credit Act of 1987, P.L. 100–233, as amended. Originally designed to address agricultural credit disputes, the
program was expanded by the Federal Crop Insurance Reform
and Department of Agriculture Reorganization Act of 1994
(P.L. 103–354) to include other agricultural issues such as
wetland determinations, conservation compliance, rural water
loan programs, grazing on National Forest System lands, and
pesticide use. Grants are made to States whose agricultural

FARM SERVICE AGENCY—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE

mediation programs have been certified by the Farm Service
Agency. A grant will not exceed 70 percent of the total fiscal
year funds that a qualifying State requires to operate and
administer its agricultural mediation program. In no case
will the total amount of a grant exceed $500,000 annually.
GRANT OBLIGATIONS
2006 actual

Number of States receiving grants .............................................
Amount of grants (in millions of dollars) ..................................

2007 est.

33
4

36
4

2008 est.

36
4

00.01

Emergency conservation program ..................................

108

120

10.00

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

108

120

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

258
¥108

24.40

Unobligated balance carried forward, end of year

150

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

TREE ASSISTANCE PROGRAM
Program and Financing (in millions of dollars)

96
150
30
162 ................... ...................
150
¥120

30
¥30

30 ...................

200 ................... ...................
¥38 ................... ...................

2006 actual

2007 est.

Obligated balance, end of year ................................

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

72.40
73.10
73.20

41
108
¥88

61
120
¥135

46
30
¥50

74.40

Obligated balance, end of year ................................

86.93
86.98

Outlays (gross), detail:
Outlays from discretionary balances .............................
Outlays from mandatory balances ................................
Total outlays (gross) .................................................

89.00
90.00

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

2008 est.

Change in obligated balances:
72.40 Obligated balance, start of year ...................................
3
2 ...................
73.20 Total outlays (gross) ......................................................
¥1 ................... ...................
73.40 Adjustments in expired accounts (net) ......................... ...................
¥2 ...................
74.40

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

87.00

Identification code 12–2701–0–1–351

43.00

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

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

Net budget authority and outlays:
89.00 Budget authority ............................................................ ................... ................... ...................
90.00 Outlays ...........................................................................
1 ................... ...................

The tree assistance program (TAP) was reauthorized by
the Farm Security and Rural Investment Act of 2002 with
some modifications.
The most reccent appropriation for TAP was in 2004, when
the Consolidated Appropriations Act, P.L. 108–199, appropriated $12.5 million for the program in southern California.
During the year, $4 million was obligated, $6 million was
transferred to the USDA Working Capital Fund per Section
704 of P.L. 108–199, and the remaining $2 million unobligated balance will expire at the end of 2009.
For 2006, no appropriation was provided for TAP. However,
funding was provided under the Commodity Credit Corporation. During 2006, $550,302 was paid to producers in Southern California from 2004 obligations.
No funding is requested for 2008.
f

AGRICULTURAL CONSERVATION PROGRAM

This program was terminated at the beginning of 1997 in
accordance with the Federal Agriculture Improvement and
Reform Act of 1996. The objectives of the Agricultural Conservation Program (ACP) were incorporated into the Environmental Quality Incentives Program which is funded by the
Commodity Credit Corporation and administered under the
lead of the Natural Resources Conservation Service.
The primary objective of the program was to conserve soil
and water resources. Along with annual agreements, cost
sharing was authorized for long-term agreements of 3–10
years. In 2006 a transfer of $100,000 in unobligated funds
was made to the USDA Working Capital Fund as authorized
in Section 705 of the Agriculture Appropriations Act, 2006,
P.L. 109–97. Outlays to States in 2006 totaled $2,000.
f

162 ................... ...................

72
135
50
16 ................... ...................
88

135

162 ................... ...................
88
135
50

The Emergency Conservation Program (ECP) was authorized by the Agricultural Credit Act of 1978 (16 U.S.C. 2201–
05). It provides funds for sharing the cost of emergency measures to deal with cases of severe damage to farmlands and
rangelands resulting from natural disasters.
For 2006, the Emergency Supplemental Appropriations to
Address Hurricanes in the Gulf of Mexico and Pandemic Influenza, 2006, P.L. 109–148, provided $199.8 million to repair
damage caused by hurricanes during the 2005 calendar year,
including damage to nursery, oyster, poultry, and nonindustrial forestland operations. In addition, the program continued
to operate nationwide using unobligated funds carried forward
from 2005 along with recoveries from prior fiscal years. These
funds are available until expended. On June 15, 2006, the
President approved P.L. 109–234, transferring $38 million
from the ECP to the National Oceanic and Atmospheric Administration. The $38 million transfer will be used for oyster
damage caused by hurricanes during calendar year 2005.
Under the 2006 program, cost-sharing and technical assistance were provided in 38 States to treat farmlands damaged
by hurricanes, drought, floods, ice storms, tornadoes, and
other natural disasters. Outlays to States in 2006 totaled
$88 million, including $25,186,086 for damage caused by hurricanes during the 2005 calendar year.
The 2008 Budget proposes no funding for this program.
f

GRASSROOTS SOURCE WATER PROTECTION PROGRAM
Program and Financing (in millions of dollars)
Identification code 12–3304–0–1–302

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Grassroots source water payments ...............................

4 ...................

10.00

EMERGENCY CONSERVATION PROGRAM

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

4 ...................

22.00
23.95

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

4
¥4

4 ...................
¥4 ...................

Program and Financing (in millions of dollars)
Identification code 12–3316–0–1–453

Obligations by program activity:

2006 actual

2007 est.

2008 est.

FARM SERVICE AGENCY—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008

GRASSROOTS SOURCE WATER PROTECTION PROGRAM—Continued
Program and Financing (in millions of dollars)—Continued
Identification code 12–3304–0–1–302

2006 actual

2007 est.

2008 est.

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

4 ...................

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

4
¥4

4 ...................
¥4 ...................

86.90

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

4 ...................

89.00
90.00

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

4
4

4 ...................
4 ...................

00.01
00.02
00.05
00.06
00.07
00.08
00.09
00.10

Direct loan subsidy ........................................................
Guaranteed loan subsidy ...............................................
Reestimates of direct loan subsidy ...............................
Interest on reestimates of direct loan subsidy .............
Reestimates of guaranteed loan subsidy ......................
Interest on reestimate of guaranteed loan subsidy
Administrative expenses—salaries and expenses ........
Administrative expenses—PLCE ....................................

83
67
143
31
4
3
302
6

93
65
30
16
47
10
301
8

97
62
...................
...................
...................
...................
312
8

10.00

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

639

570

479

21.40
22.00

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

22
640

16
562

8
472

23.90
23.95
23.98

Total budgetary resources available for obligation
Total new obligations ....................................................
Unobligated balance expiring or withdrawn .................

24.40

Unobligated balance carried forward, end of year

662
578
480
¥639
¥570
¥479
¥7 ................... ...................
16

464
459
472
¥5 ................... ...................

AGRICULTURAL CREDIT INSURANCE FUND PROGRAM ACCOUNT

43.00

459

60.00

Appropriation (total discretionary) ........................
Mandatory:
Appropriation .............................................................

459

(INCLUDING TRANSFERS OF FUNDS)

181

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

70.00

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

640

562

72.40
73.10
73.20
73.40

74.40

Obligated balance, end of year ................................

86.90
86.93
86.97

444
11
181

437
449
19
29
103 ...................

87.00

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

636

559

478

89.00
90.00

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

640
636

562
559

472
478

For gross obligations for the principal amount of direct and guaranteed farm ownership (7 U.S.C. 1922 et seq.) and operating (7 U.S.C.
1941 et seq.) loans, Indian tribe land acquisition loans (25 U.S.C.
488), and boll weevil loans (7 U.S.C. 1989), to be available from
funds in the Agricultural Credit Insurance Fund, as follows: farm
ownership loans, $1,423,857,000, of which $1,200,000,000 shall be
for unsubsidized guaranteed loans and $223,857,000 shall be for direct loans; operating loans, $1,879,595,000, of which $1,000,000,000
shall be for unsubsidized guaranteed loans, $250,000,000 shall be
for subsidized guaranteed loans, and $629,595,000 shall be for direct
loans; Indian tribe land acquisition loans, $3,960,000; and for boll
weevil eradication program loans, $59,400,000: Provided, That the
Secretary shall deem the pink bollworm to be a boll weevil for the
purpose of boll weevil eradication program loans.
For the cost of direct and guaranteed loans, including the cost
of modifying loans as defined in section 502 of the Congressional
Budget Act of 1974, as follows: farm ownership loans, $14,762,000,
of which $4,800,000 shall be for unsubsidized guaranteed loans and
$9,962,000 shall be for direct loans; operating loans, $137,446,000,
of which $24,200,000 shall be for unsubsidized guaranteed loans,
$33,350,000 shall be for subsidized guaranteed loans, and $79,896,000
shall be for direct loans; and Indian tribe land acquisition loans,
$125,000.
In addition, for administrative expenses necessary to carry out the
direct and guaranteed loan programs, $319,657,000, of which
$311,737,000 shall be paid to the appropriation for ‘‘Farm Service
Agency, Salaries and Expenses’’.
Funds appropriated by this Act to the Agricultural Credit Insurance
Program Account for farm ownership and operating direct loans and
guaranteed loans may be transferred among these programs: Provided,
That the Committees on Appropriations of both Houses of Congress
are notified at least 15 days in advance of any transfer.
DAIRY INDEMNITY PROGRAM
(INCLUDING TRANSFER OF FUNDS)

For necessary expenses involved in making indemnity payments to
dairy farmers and manufacturers of dairy products under a dairy
indemnity program, $100,000, to remain available until expended:
Provided, That such program is carried out by the Secretary in the
same manner as the dairy indemnity program described in the Agriculture, Rural Development, Food and Drug Administration, and Related Agencies Appropriations Act, 2001 (Public Law 106–387, 114
Stat. 1549A–12).
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
Identification code 12–1140–0–1–351

Obligations by program activity:

2006 actual

2007 est.

2008 est.

472

15
16
27
639
570
479
¥636
¥559
¥478
¥2 ................... ...................
27

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
Identification code 12–1140–0–1–351

2006 actual

Direct loan levels supportable by subsidy budget authority:
115001 Farm ownership .............................................................
275
115002 Farm operating ..............................................................
641
115003 Emergency disaster ........................................................
51
115004 Indian tribe land acquisition ......................................... ...................
115005 Boll weevil eradication ..................................................
22

2007 est.

2008 est.

223
649
60
4
59

224
630
60
4
59

989

995

977

5.12
9.95
10.94
0.00
¥18.09

4.19
11.69
11.77
21.15
1.90

4.45
12.69
11.15
3.15
¥0.27

132999 Weighted average subsidy rate .....................................
8.03
Direct loan subsidy budget authority:
133001 Farm ownership .............................................................
14
133002 Farm operating ..............................................................
64
133003 Emergency disaster ........................................................
6
133004 Indian tribe land acquisition ......................................... ...................
133005 Boll weevil eradication ..................................................
¥4

9.47

9.88

115999 Total direct loan levels ..................................................
Direct loan subsidy (in percent):
132001 Farm ownership .............................................................
132002 Farm operating ..............................................................
132003 Emergency disaster ........................................................
132004 Indian tribe land acquisition .........................................
132005 Boll weevil eradication ..................................................

9
10
76
80
7
7
1 ...................
1 ...................

133999 Total subsidy budget authority ......................................
80
94
97
Direct loan subsidy outlays:
134001 Farm ownership .............................................................
13
9
10
134002 Farm operating ..............................................................
61
70
77
134003 Emergency disaster ........................................................
5
7
7
134004 Indian tribe land acquisition ......................................... ...................
1 ...................
134005 Boll weevil eradication ..................................................
¥3 ................... ...................

FARM SERVICE AGENCY—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
134999 Total subsidy outlays .....................................................
Direct loan upward reestimates:
135001 Farm ownership .............................................................
135002 Farm operating ..............................................................
135003 Emergency disaster ........................................................
135005 Boll weevil eradication ..................................................
135009 Indian Land, Credit Sales, Seed, Soil & Water .............

37
10 ...................
16 ................... ...................
1
14 ...................
119
20 ...................
1
2 ...................

135999 Total upward reestimate budget authority ....................
174
46 ...................
Direct loan downward reestimates:
137001 Farm ownership .............................................................
¥70
¥40 ...................
137002 Farm operating ..............................................................
¥89 ................... ...................
137003 Emergency disaster ........................................................
¥18
¥4 ...................
137004 Indian tribe land acquisition .........................................
¥1
¥1 ...................
137005 Boll weevil eradication .................................................. ...................
¥5 ...................
137006 Seed Cotton .................................................................... ...................
¥2 ...................
137008 Farm ownership credit sales .........................................
¥1
¥1 ...................

that have been registered and approved by the Federal Government, other chemicals, nuclear radiation, or nuclear fallout. Indemnification may also be paid for cows producing
such milk.
In 2006, $132 thousand was paid to producers who filed
claims under the program.
The 2008 Budget requests $100 thousand for this program.
Object Classification (in millions of dollars)
Identification code 12–1140–0–1–351

2006 actual

2007 est.

2008 est.

Guaranteed loan levels supportable by subsidy budget
authority:
215001 Farm ownership, unsubsidized ......................................
215002 Farm operating, unsubsidized .......................................
215003 Farm operating, subsidized ...........................................

¥179

¥53 ...................

307
332

309
261

320
159

99.9

137999 Total downward reestimate budget authority ...............

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

639

570

479

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

934
941
272

1,201
1,151
272

1,200
1,000
250

215999 Total loan guarantee levels ...........................................
Guaranteed loan subsidy (in percent):
232001 Farm ownership, unsubsidized ......................................
232002 Farm operating, unsubsidized .......................................
232003 Farm operating, subsidized ...........................................

2,147

2,624

2,450

0.48
3.03
12.50

0.58
2.47
10.07

0.40
2.42
13.34

232999 Weighted average subsidy rate .....................................
Guaranteed loan subsidy budget authority:
233001 Farm ownership, unsubsidized ......................................
233002 Farm operating, unsubsidized .......................................
233003 Farm operating, subsidized ...........................................

3.12

2.39

2.54

5
28
34

7
30
28

5
24
33

233999 Total subsidy budget authority ......................................
Guaranteed loan subsidy outlays:
234001 Farm ownership, unsubsidized ......................................
234002 Farm operating, unsubsidized .......................................
234003 Farm operating, subsidized ...........................................

4
28
34

8
26
24

5
25
32

234999 Total subsidy outlays .....................................................
66
58
62
Guaranteed loan upward reestimates:
235001 Farm ownership, unsubsidized ......................................
7 ................... ...................
235002 Farm operating, unsubsidized ....................................... ...................
10 ...................
235003 Farm operating, subsidized ........................................... ...................
47 ...................
235999 Total upward reestimate budget authority ....................
Guaranteed loan downward reestimates:
237001 Farm ownership, unsubsidized ......................................
237002 Farm operating, unsubsidized .......................................
237003 Farm operating, subsidized ...........................................

57 ...................

¥6
¥95
¥112

¥15 ...................
¥16 ...................
¥4 ...................

237999 Total downward reestimate subsidy budget authority

¥213

¥35 ...................

Administrative expense data:
3510 Budget authority ............................................................
3590 Outlays from new authority ...........................................

301
301

309
309

320
320

The Agricultural credit insurance fund program account’s
loans are authorized by title III of the Consolidated Farm
and Rural Development Act, as amended.
This program account includes subsidies to provide direct
and guaranteed loans for farm ownership, farm operating,
and emergency loans to individuals. Indian tribes and tribal
corporations are eligible for Indian land acquisition loans.
Boll weevil eradication loans are available to eliminate the
cotton boll weevil pest from infested areas.
As required by the Federal Credit Reform Act of 1990,
this account records, for this program, the subsidy costs associated with the direct loans obligated and loan guarantees
committed in 1992 and beyond (including credit sales of acquired property), as well as administrative expenses of this
program. The subsidy amounts are estimated on a present
value basis; the administrative expenses are estimated on
a cash basis.
Under the Dairy Indemnity Program (DIP), payments are
made to farmers and manufacturers of dairy products who
are directed to remove their milk or milk products from commercial markets because they contain residues of chemicals

AGRICULTURAL CREDIT INSURANCE FUND DIRECT LOAN FINANCING
ACCOUNT
Program and Financing (in millions of dollars)
Identification code 12–4212–0–3–351

Obligations by program activity:
00.01 Direct loan obligations ..................................................
00.02 Payments of interest to Treasury ..................................
00.03 Fees, collateral and other ..............................................
00.04 Advances on behalf of borrowers ..................................

2006 actual

989
308
2
5

2007 est.

2008 est.

995
250
4
3

977
250
4
3

00.91
08.01
08.02
08.04

Direct program by activities—subtotal (1 level)
Negative subsidy ............................................................
Downward reestimate ....................................................
Interest on downward reestimate ..................................

08.91

Direct program by activities—Subtotal (1 level)

183

10.00

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

1,487

1,305

1,234

1,909
714

596
710

1
1,234

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 ........................................
22.70 Balance of authority to borrow withdrawn ....................
21.40
22.00
22.10

1,304
1,252
1,234
4 ................... ...................
145
44 ...................
34
9 ...................
53 ...................

14 ................... ...................
¥542 ................... ...................
¥12 ................... ...................

23.90
23.95

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

2,083
¥1,487

1,306
¥1,305

1,235
¥1,234

24.40

Unobligated balance carried forward, end of year

596

1,259

1,039

1,007

1,363

1,261

1,177

New financing authority (gross), detail:
Mandatory:
67.10
Authority to borrow ....................................................
Spending authority from offsetting collections:
69.00
Offsetting collections (cash) ................................
69.10
Change in uncollected customer payments from
Federal sources (unexpired) .............................
69.47
Portion applied to repay debt ...............................

1 ................... ...................
¥1,909
¥1,590
¥950

69.90

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

¥545

¥329

227

70.00

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

714

710

1,234

72.40
73.10
73.20
73.45
74.00

Change in obligated balances:
Obligated balance, start of year ...................................
Total new obligations ....................................................
Total financing disbursements (gross) .........................
Recoveries of prior year obligations ..............................
Change in uncollected customer payments from Federal sources (unexpired) ............................................

170
188
371
1,487
1,305
1,234
¥1,454
¥1,122
¥1,103
¥14 ................... ...................
¥1 ................... ...................

74.40

Obligated balance, end of year ................................

188

371

502

87.00

Outlays (gross), detail:
Total financing disbursements (gross) .........................

1,454

1,122

1,103

Offsets:
Against gross financing authority and financing disbursements:

FARM SERVICE AGENCY—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008

AGRICULTURAL CREDIT INSURANCE FUND DIRECT LOAN FINANCING
ACCOUNT—Continued

4999

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

5,906

4,657

Program and Financing (in millions of dollars)—Continued
Identification code 12–4212–0–3–351

88.00
88.00
88.25
88.40
88.40
88.40
88.40
88.40
88.90

Offsetting collections (cash) from:
Federal Sources: Reestimate payment from program account ...................................................
Federal Sources: Subsidy payment from program
account .............................................................
Federal Sources: Interest on uninvested funds
Repayments of principal .......................................
Repayments of interest .........................................
Interest and principal repayments—judgements
Proceeds from sale of acquired property .............
Fees, shared appreciation, other ..........................

88.95

Total, offsetting collections (cash) .......................
Against gross financing authority only:
Change in receivables from program accounts .......

89.00
90.00

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

2006 actual

2007 est.

Program and Financing (in millions of dollars)
¥174

¥46 ...................

Position with respect to appropriations act limitation
on obligations:
1111 Limitation on direct loans .............................................
1121 Limitation available from carry-forward .......................
1143 Unobligated limitation carried forward (P.L. 106–113)
(¥) ...........................................................................
1150

1290

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

2007 est.

2008 est.

¥1,177

00.91
08.02
08.04

Direct program by activities—subtotal (1 level)
Downward reestimate of subsidy ..................................
Downward reestimate of subsidy-interest .....................

111
166
46

159
159
28 ...................
7 ...................

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

08.91

Subtotal, reestimates ................................................

212

35 ...................

10.00

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

323

194

159

21.40
22.00
22.10

237
207

185
221

212
168

¥1,363

¥1,261

¥650
92

¥551
¥139

57
¥74

2006 actual

2007 est.

2008 est.

936
177

933
124

917
62

¥124

¥62

¥2

989

995

977

4,342
965
¥868
¥5

4,434
820
¥815
¥50

4,389
853
¥762
¥50

4,434

4,389

4,430

As required by the Federal Credit Reform Act of 1990,
this non-budgetary account records all cash flows to and from
the Government resulting from direct loans obligated in 1992
and beyond (including credit sales of acquired property that
resulted from obligations in any year). The amounts in this
account are a means of financing and are not included in
the budget totals.
This account finances direct loans for farm ownership, farm
operating, emergency disaster, Indian land, boll weevil eradication, and credit sales of acquired property.
Balance Sheet (in millions of dollars)
Identification code 12–4212–0–3–351

ASSETS:
Federal assets:
1101 Fund balances with Treasury .....................................................
Investments in US securities:
1106 Receivables, net ...........................................................................
Net value of assets related to post–1991 direct loans receivable:
1401 Direct loans receivable, gross ....................................................
1402 Interest receivable ........................................................................
1403 Accounts receivable from foreclosed property ...........................
1405 Allowance for subsidy cost (–) ..................................................

2005 actual

149

4,342
190
3
–687

4,434
191
4
–627

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

3,848

4,002

5,906

4,657

5,709
197

4,489
168

2999

5,906

4,657

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

64 ................... ...................

23.90
23.95

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

508
¥323

406
¥194

380
¥159

24.40

Unobligated balance carried forward, end of year

185

212

221

New financing authority (gross), detail:
Mandatory:
67.10
Authority to borrow ....................................................
69.00
Spending authority from offsetting collections: Offsetting collections (cash) .....................................

118

168

115

70.00

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

207

221

168

72.40
73.10
73.20
73.45

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

74.40

Obligated balance, end of year ................................

275

300

314

87.00

Outlays (gross), detail:
Total financing disbursements (gross) .........................

297

169

145

Offsets:
Against gross financing authority and financing disbursements:
Offsetting collections (cash) from:
88.00
Payments from program account upward reestimate .................................................................
88.00
Payments from program account subsidy ............
88.25
Interest on uninvested funds ...............................
88.40
Fees and premiums ..............................................
88.40
Loss recoveries and repayments ..........................
88.40
Miscellaneous ........................................................

313
275
300
323
194
159
¥297
¥169
¥145
¥64 ................... ...................

¥7
¥57 ...................
¥66
¥58
¥62
¥23
¥25
¥25
¥17
¥22
¥22
¥4
¥6
¥6
¥1 ................... ...................

88.90
597

1999

36
47
47
5
2
2
1 ................... ...................
69
110
110

2006 actual

1,909

1499

2006 actual

Obligations by program activity:
Default claims ...............................................................
Payment of Interest to Treasury ....................................
Guaranteed debt offset/purchases/settlement expense
Interest assistance ........................................................

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

Identification code 12–4213–0–3–351

00.01
00.02
00.03
00.04

¥79
¥88
¥94
¥127
¥115
¥115
¥807
¥815
¥762
¥169
¥197
¥206
¥3 ................... ...................
¥1 ................... ...................
¥3 ................... ...................

Status of Direct Loans (in millions of dollars)
Identification code 12–4212–0–3–351

AGRICULTURAL CREDIT INSURANCE FUND GUARANTEED LOAN
FINANCING ACCOUNT

2008 est.

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

¥118

¥168

¥115

89.00
90.00

89
178

53
1

53
30

Status of Guaranteed Loans (in millions of dollars)
Identification code 12–4213–0–3–351

2006 actual

2007 est.

2008 est.

Position with respect to appropriations act limitation
on commitments:
2111 Limitation on guaranteed loans made by private lenders ..............................................................................
2121 Limitation available from carry-forward .......................
2143 Uncommitted limitation carried forward .......................

2,147
83
¥83

2,622
83
¥81

2,450
81
¥81

2150
2199

2,147
1,931

2,624
2,434

2,450
2,238

Total guaranteed loan commitments ........................
Guaranteed amount of guaranteed loan commitments

FARM SERVICE AGENCY—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
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

2290

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

2299

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

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

10.00
10,208
2,146
¥2,231

10,087
2,569
¥2,167

10,442
2,125
¥2,196

¥18

¥29

10,087

10,442

10,324

51
28

24 ...................
13
13

9,046

9,294

25
18
¥2
¥3

38
18
¥6
¥5

45
18
¥6
¥7

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

Balance Sheet (in millions of dollars)
Identification code 12–4213–0–3–351

2005 actual

ASSETS:
Federal assets:
1101 Fund balances with Treasury .....................................................
Investments in US securities:
1106 Receivables, net ...........................................................................
1206 Non-Federal assets: Receivables, net ........................................
Net value of assets related to post–1991 acquired defaulted
guaranteed loans receivable:
1501 Defaulted guaranteed loans receivable, gross ..........................
1502 Interest receivable ........................................................................
1505 Allowance for subsidy cost (–) ..................................................

2006 actual

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

8 ................... ...................
¥51
¥24 ...................

23.90
23.95

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

36
¥12

24.40

As required by the Federal Credit Reform Act of 1990,
this non-budgetary account records all cash flows to and from
the Government resulting from loan guarantees committed
in 1992 and beyond. The amounts in this account are a means
of financing and are not included in the budget totals.
This account finances commitments made for farm ownership and operating- guaranteed loan programs.

1599

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

Unobligated balance carried forward, end of year

21.40
22.00
22.10

New budget authority (gross), detail:
Mandatory:
Spending authority from offsetting collections:
69.00
Offsetting collections (cash) ................................
69.27
Capital transfer to general fund ..........................
69.90

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

13
¥13

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

473
¥445

469
¥456

420
¥407

72.40
73.10
73.20
73.45

74.40

Obligated balance, end of year ................................

86.97

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

1
2
2
12
13
13
¥3
¥13
¥13
¥8 ................... ...................

Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash) from:
88.00
Federal sources .....................................................
¥1
¥1
¥1
88.40
Guaranteed loans purchased from holders—
principal ...........................................................
¥1 ................... ...................
88.40
Interest on loans ...................................................
¥139
¥145
¥145
88.40
Miscellaneous undistributed receipts ................... ...................
¥1
¥1
88.40
Interest on judgments ..........................................
¥1
¥2
¥2
88.40
Repayments on loans—principal .........................
¥299
¥286
¥239
88.40
Judgments—principal ..........................................
¥9
¥9
¥7
88.40
Shared appreciation recapture .............................
¥5
¥10
¥10
88.40
Sale of acquired property/chattels .......................
¥11
¥14
¥14
88.40
Write-offs ..............................................................
¥7
¥1
¥1

550
7
3

36
1
–22

88.90

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

¥473

¥469

¥420

1999

....................
57

25
–2
–18

Net present value of assets related to defaulted guaranteed
loans .........................................................................................

460

89.00
90.00

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

¥445
¥470

¥456
¥456

¥407
¥407

Total assets ..................................................................................
LIABILITIES:
Federal liabilities:
2104 Resources payable to Treasury ...................................................
2105 Other ..............................................................................................
Non-Federal liabilities:
2201 Accounts payable .........................................................................
2204 Liabilities for loan guarantees ...................................................

565

532

13
213

102
34

313
26

275
121

2999

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

565

532

4999

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

565

532

Status of Direct Loans (in millions of dollars)
Identification code 12–4140–0–3–351

2006 actual

2007 est.

2008 est.

Cumulative balance of direct loans outstanding:
1210 Outstanding, start of year .............................................
2,328
1,989
1,675
1251 Repayments: Repayments and prepayments .................
¥299
¥286
¥239
1261 Adjustments: Capitalized interest ................................. ................... ................... ...................
1263 Write-offs for default: Direct loans ...............................
¥40
¥28
¥20
1290

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

1,989

1,675

1,416

Status of Guaranteed Loans (in millions of dollars)
AGRICULTURAL CREDIT INSURANCE FUND LIQUIDATING ACCOUNT
Identification code 12–4140–0–3–351

Program and Financing (in millions of dollars)
Identification code 12–4140–0–3–351

00.08
00.09

Obligations by program activity:
Loan recoverable costs ..................................................
Minor capital improvements ..........................................

2006 actual

2007 est.

2008 est.

2
1

5
1

Direct program by activities—subtotal (1 level)
3
Admininstrative expenses—Department of Justice fees
1
Costs incidental to acquisition of real property ........... ...................
Interest assistance—guaranteed loans ........................
8
Loss settlement expenses guaranteed loans ................ ...................
Civil rights settlements ................................................. ...................

6
1
2
1
1
2

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

2006 actual

2007 est.

2008 est.

130
¥43

86
¥25

60
¥20

¥1

2290
00.91
01.08
01.09
01.13
01.14
01.18
01.91

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

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

2299

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

Addendum:
Cumulative balance of defaulted guaranteed loans
that result in loans receivable:

FARM SERVICE AGENCY—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008

AGRICULTURAL CREDIT INSURANCE FUND LIQUIDATING ACCOUNT—
Continued

HAZARDOUS WASTE MANAGEMENT

Status of Guaranteed Loans (in millions of dollars)—Continued

For the current fiscal year, the Commodity Credit Corporation shall
not expend more than $5,000,000 for site investigation and cleanup
expenses, and operations and maintenance expenses to comply with
the requirement of section 107(g) of the Comprehensive Environmental
Response, Compensation, and Liability Act (42 U.S.C. 9607(g)), and
section 6001 of the Resource Conservation and Recovery Act (42 U.S.C.
6961).

Identification code 12–4140–0–3–351

2310
2351
2361
2390

2006 actual

2007 est.

(LIMITATION ON EXPENSES)

2008 est.

Outstanding, start of year ........................................
9
8
7
Repayments of loans receivable ...............................
¥1
¥1
¥1
Write-offs of loans receivable ................................... ................... ................... ...................
Outstanding, end of year ......................................

As required by the Federal Credit Reform Act of 1990,
this account records for the farm loan programs all cash flows
to and from the Government resulting from direct loans obligated, loan guarantees committed, and grants made prior to
1992. New loan activity in 1992 and beyond (including credit
sales of acquired property that resulted from obligations or
commitments in any year) is recorded in corresponding program and financing accounts. Payments to settle certain discrimination claims against USDA may also be made from
this account.
Balance Sheet (in millions of dollars)
Identification code 12–4140–0–3–351

2005 actual

ASSETS:
1101 Federal assets: Fund balances with Treasury ..........................
1601 Loans Receivable ..........................................................................
1602 Interest receivable ........................................................................
1603 Allowance for estimated uncollectible loans and interest (–)

2006 actual

52
....................
419
–267

26
1,989
351
–397

1604
1605
1606

Direct loans and interest receivable, net .................................
Accounts receivable/judgments receivable .................................
Foreclosed property .......................................................................

152
82
21

1,943
....................
13

1699
1701

Value of assets related to direct loans ...................................
Defaulted guaranteed loans, gross ............................................

255
9

1,956
8

Total assets ..................................................................................
LIABILITIES:
2104 Federal liabilities: Resources payable to Treasury ...................
Non-Federal liabilities:
2201 Accounts payable .........................................................................
2204 Liabilities for loan guarantees ...................................................
2207 Other ..............................................................................................

316

1,990

313

1,980

1
2
....................

1
1
8

1999

2999

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

316

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

316

1,990

Program and Financing (in millions of dollars)
Identification code 12–4336–0–3–999

2006 actual

2007 est.

Obligations by program activity:
00.01 Commodity purchases and related inventory transactions .......................................................................
5,891
3,635
00.02 Storage, transportation and other obligations ..............
290
225
00.04 Market access program .................................................
157
173
00.05 Dairy export incentive program ..................................... ...................
3
00.07 Foreign market development cooperative ......................
36
35
00.08 Quality samples program ..............................................
1
3
00.10 Feed grains ....................................................................
9,019
2,330
00.11 Wheat .............................................................................
1,155
1,076
00.12 Rice ................................................................................
657
297
00.13 Cotton .............................................................................
2,654
1,686
00.14 Dairy program ................................................................
440
236
00.15 Tobacco program ...........................................................
967
960
00.16 Peanut program .............................................................
324
174
00.17 Wool and Mohair program .............................................
8
9
00.19 Lentils ............................................................................
15
3
00.21 Dry Peas program ..........................................................
45
10
00.23 Non-Insured assistance program ..................................
66
328
00.24 Oilseeds payment program ............................................
635
502
00.25 Marketing loan writeoffs ................................................
280
68
00.27 Crop disaster program ...................................................
178
152
00.32 Livestock assistance ......................................................
194
95
00.33 Livestock Indemnity ....................................................... ...................
45
00.34 Tree Assistance Program ...............................................
4
35
00.35 American Indian Livestock Assistance ..........................
7 ...................
00.36 Conservation reserve program (CRP) ............................
1,801
1,900
00.47 Reimbursable agreement/transfers to State and Federal Agencies .............................................................
51
55
00.48 Treasury ..........................................................................
557
346
00.49 Other Interest .................................................................
5
5
00.52 Technical assistance .....................................................
129
87
00.57 BEHT Non-Commodity Costs .......................................... ...................
140
00.58 Section 416b/FFP/ocean transportation .........................
54
61

2008 est.

3,585
132
200
3
35
3
2,396
1,126
439
2,347
...................
960
209
10
3
17
325
706
18
...................
...................
...................
...................
...................
1,949
53
321
4
64
140
61

1,990

4999

Identification code 12–4140–0–3–351

2006 actual

2008 est.

12
1

99.9

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

14,674
11,347

15,106
10,066

495
803

543
680

463
653

09.09

Subtotal, reimbursable programs .............................

13,312

12,570

11,182

10.00

2007 est.

Direct obligations:
25.2 Other services ................................................................
12
43.0 Interest and dividends ................................................... ...................

Total support and related programs .........................
Commodity loans ...........................................................
Commodities procured—PL480 Titles II / III Commodity costs ..............................................................
P. L. 480 ocean transportation .....................................

25,620
12,014

09.04

Object Classification (in millions of dollars)

01.92
09.01
09.02

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

38,932

27,244

26,288

964
33,865

741
27,244

138
26,201

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

4,851 ................... ...................
¥7
¥603
¥51

COMMODITY CREDIT CORPORATION FUND

23.90
23.95

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

39,673
¥38,932

REIMBURSEMENT FOR NET REALIZED LOSSES

24.40

Unobligated balance carried forward, end of year

741

For the current fiscal year, such sums as may be necessary to
reimburse the Commodity Credit Corporation for net realized losses
sustained, but not previously reimbursed, pursuant to section 2 of
the Act of August 17, 1961 (15 U.S.C. 713a–11): Provided, That of
the funds available to the Commodity Credit Corporation under section 11 of the Commodity Credit Corporation Charter Act (15 U.S.C
714i) for the conduct of its business with the Foreign Agricultural
Service, up to $5,000,000 may be transferred to and used by the
Foreign Agricultural Service for information resource management activities of the Foreign Agricultural Service that are not related to
Commodity Credit Corporation business.

27,382
¥27,244

26,288
¥26,288

138 ...................

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
60 ................... ...................
40.35
Appropriation permanently reduced .......................... ................... ...................
¥87
41.00
Transferred to other accounts ...................................
¥60 ................... ...................
43.00
60.00
60.47
61.00

Appropriation (total discretionary) ........................ ................... ...................
Mandatory:
Appropriation .............................................................
25,371
23,098
Portion applied to repay debt ...................................
¥23,567
¥20,594
Transferred to other accounts ...................................
¥1,804
¥2,504

¥87
12,983
¥10,676
¥2,307

FARM SERVICE AGENCY—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
62.50
67.10
69.00
69.00
69.10
69.47
69.90

Appropriation (total mandatory) ........................... ................... ................... ...................
Authority to borrow ....................................................
36,924
10,778
10,587
Spending authority from offsetting collections:
Offsetting collections (cash) ................................
14,563
16,460
15,692
MARAD Cargo Preference Reimbursements ..........
15
6
9
Change in uncollected customer payments from
Federal sources (unexpired) .............................
54 ................... ...................
Portion applied to repay debt ...............................
¥17,691 ................... ...................

Cumulative balance of direct loans outstanding:
Outstanding, start of year .............................................
1,108
1,463
1,721
Disbursements: Direct loan disbursements ...................
11,119
11,347
10,066
Repayments: Repayments and prepayments .................
¥10,636
¥11,022
¥10,176
Write-offs for default:
1263
Direct loans ............................................................... ................... ................... ...................
1264
Other adjustments, net .............................................
¥128
¥67
¥302
1210
1231
1251

1290

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

¥3,059

16,466

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

33,865

27,244

26,201

72.40
73.10
73.20
73.45
74.00

74.40

Obligated balance, end of year ................................

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

1,463

1,721

1,309

15,701

70.00

86.90
86.97
86.98
87.00

88.95

89.00
90.00

¥54 ................... ...................
4,873

4,815

Outlays (gross), detail:
Outlays from new discretionary authority ..................... ................... ...................
Outlays from new mandatory authority .........................
33,618
11,758
Outlays from mandatory balances ................................
1,090
17,105

¥87
11,599
14,834

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

Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash) from:
88.00
Sales to special activities ....................................
88.00
Advances from Foreign Assistance Programs
(P.L. 480) ..........................................................
88.00
Other Revenue .......................................................
88.00
Tobacco Trust Fund ..............................................
88.00
MARAD Reimbursements .......................................
88.40
Sales and other proceeds .....................................
88.40
Interest Revenue ...................................................
88.40
Loans Repaid ........................................................
88.40
Commodity Certificates Redeemed .......................
88.40
Export Credit Sales Program Repayments ............
88.40
Interest Revenue ...................................................
88.90

7,173
6,492
4,873
38,932
27,244
26,288
¥34,708
¥28,863
¥26,346
¥4,851 ................... ...................

6,492

34,708

28,863

26,346

¥495

¥543

¥462

¥1,501
¥1,223
¥1,116
¥1,490 ................... ...................
¥891
¥960
¥960
¥15
¥6
¥9
¥181
¥114
¥25
¥103
¥182
¥158
¥5,848
¥11,022
¥10,177
¥4,048
¥2,411
¥2,790
¥4
¥3
¥3
¥2
¥2
¥1
¥14,578

¥16,466

¥15,701

¥54 ................... ...................

19,233
20,130

10,778
12,397

10,500
10,645

Summary of Budget Authority and Outlays
(in millions of dollars)
2006 actual

2007 est.

Enacted/requested:
Budget Authority .....................................................................
19,233
10,778
Outlays ....................................................................................
20,130
12,397
Legislative proposal, subject to PAYGO:
Budget Authority ..................................................................... .................... ....................
Outlays .................................................................................... .................... ....................
Total:
Budget Authority .....................................................................
Outlays ....................................................................................

19,233
20,130

10,778
12,397

2008 est.

10,500
10,645
500
500
11,000
11,145

Status of Direct Loans (in millions of dollars)
Identification code 12–4336–0–3–999

Cumulative balance of direct loans outstanding:
1210 Outstanding, start of year .............................................
1251 Repayments: Repayments and prepayments .................
1290

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

2006 actual

2007 est.

2008 est.

29
¥5

24
¥3

21
¥3

Position with respect to appropriations act limitation
on obligations:
1111 Limitation on direct loans ............................................. ................... ................... ...................
1131 Direct loan obligations exempt from limitation ............
12,014
11,347
10,066
1150

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

12,014

11,347

10,066

The Commodity Credit Corporation (CCC) was created to:
stabilize, support, and protect farm income and prices; help
maintain balanced and adequate supplies of agricultural commodities, their products, foods, feeds, and fibers; and help
in their orderly distribution.
The Corporation’s capital stock of $100 million is held by
the U.S. Treasury. Under present law, up to $30 billion may
be borrowed from the U.S. Treasury to finance operations.
Current, indefinite appropriation authority is requested to
cover all net realized losses. Appropriations to the Corporation
for net realized losses have no effect on budget authority,
as they are used to repay debt directly with the Treasury.
Budget assumptions.—The following general assumptions
form the basis for the Corporation’s 2007 and 2008 budget
estimates: (a) national income will rise both in 2007 and
2008 from the present level; (b) 2007 crop production will
increase from 2006 crop levels for some commodities; (c) generally, exports of agricultural commodities in 2008 are expected to be higher than 2007 levels; and (d) yields for the
2007 crops are based on recent averages adjusted for trends.
It is difficult to accurately forecast requirements for the
year ending September 30, 2008, since the projections are
subject to complex and unpredictable factors such as weather,
other factors which affect the volume of production of crops
not yet planted, feed, food, and energy needs here and overseas, and available dollar exchange.
The 2002 Act re-authorized CRP enrollment through calendar year 2007, increased maximum CRP enrollment at any
one time from 36.4 million acres to 39.2 million acres, expanded the Farmable Wetlands Program (FWP) from six
states to nationwide with a 1-million-acre cap, and included
provisions for managed haying and grazing. Enrollment under
competitive general CRP sign-up provisions and under noncompetitive continuous CRP (CCRP), Conservation Reserve
Enhancement Program (CREP), and the FWP are guided by
eligibility and selection criteria rules published in May 2003
and May 2004.
Subsequent to passage of the 2002 Act, USDA initiated
several enhancements to CRP continuous signup, including:
1) A goal of enrolling 500,000 acres of bottomland hardwood
trees to enhance wildlife habitats and sequester carbon; 2)
Setting aside 500,000 and 250,000 acres, respectively, for enrollment of floodplain and non-floodplain wetlands; 3) Setting
aside 250,000 acres for enrollment of upland bird habitat
buffers; 4) Setting aside 100,000 acres to provide habitat for
duck nesting in wetland complexes located outside the recognized 100-year floodplain; and 5) Setting aside 250,000 acres
for enrollment of longleaf pine. Also, in August 2004, the
Administration announced it was committed to full enrollment
of CRP. Recognizing that contracts on 28.6 million acres mature during 2007—2010, the Administration announced it
would provide for early re-enrollment and extension.
Total CRP enrollment, about 36.0 million acres at the end
of 2006, is projected to increase to 37.1 million acres at the
end of 2007. Enrollment is then expected to decline in 2008
and 2009 before steadily increasing to 39.2 million acres by
2016. As for EFCRP, USDA estimates total enrollment during
calendar year 2006 to be 215,000 acres.
There are no general sign-ups assumed during 2007 or
2008. Continuous sign-up enrollment is assumed as follows
(by sign-up year):

100

FARM SERVICE AGENCY—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008

COMMODITY CREDIT CORPORATION FUND—Continued
(LIMITATION ON EXPENSES)—Continued

2007: 556,000 (250,000 acres of new lands and 306,000
acres of re-enrolled lands)
2008: 395,000 (250,000 acres of new lands and 145,000
acres of re-enrolled lands)
To encourage participation in CCRP and CREP, USDA will
provide financial incentives including a signing bonus and
a payment based on practice installation cost are expected
to total about $63 million in 2007 and $39 million in 2008.
P.L. 108–498, signed into law December 23, 2004, provides
independent authority beginning October 1, 2004, for CRP
funds to be used for technical assistance.
Appropriations are made to reimburse the Corporation for
net realized losses sustained in carrying out its operations.
USDA has incorporated stochastic price and production variability into its 10-year budget baseline process starting with
the 2007 President’s Budget. For the 2007–2016 crops, Commodity Credit Corporation outlay projections for counter-cyclical payments, marketing loan benefits, and milk income loss
contract payments are based on price probability distributions
and flexibilities generated by the Economic Research Service’s
Food and Agricultural Policy Simulation model. This approach
was used for feed grains (corn, barley, sorghum, oats), wheat,
rice, upland cotton, soybeans, and dairy.
2008 ESTIMATE
[In millions of dollars]
Program

Farm income, marketing assistance loans, and price support:
Commodity loans ....................................................................
Feed grain payments ..............................................................
Wheat payments .....................................................................
Rice payments ........................................................................
Cotton payments .....................................................................
Other support and related ......................................................
Other items not distributed by program:
Interest ....................................................................................
All other ..................................................................................
Total, farm income, marketing assistance loans, and
price-support programs .............................................
Conservation programs:
Conservation reserve program ................................................
Total, conservation programs .............................................
Total, Commodity Credit Corporation ........................

Gross
obligations

Net outlays

Net realized
loss for year

10,066
2,396
1,126
439
2,347
6,394

2,848
2,396
1,126
439
2,347
–919

0
2,396
1,126
439
2,347
4,336

326
65

182
300

166
65

23,159

8,719

10,875

2,013

2,013
25,172

2,013
10,732

2,013
12,888

PROGRAMS OF THE CORPORATION

Price support, marketing assistance loans, and related stabilization programs.—The Corporation conducts programs to
support farm income and prices and stabilize the market for
agricultural commodities. Price support is provided to producers of agricultural commodities through loans, purchases,
payments, and other means. This is done mainly under the
Commodity Credit Corporation Charter Act, as amended, the
Agricultural Act of 1949 (the 1949 Act), as amended, and
the Farm Security and Rural Investment Act of 2002 (the
2002 Farm Bill).
Price support is mandatory for sugar and dairy products.
Marketing assistance loans are mandatory for wheat, feed
grains, oilseeds, upland cotton, peanuts, and rice. Loans are
also required to be made for sugar, honey, wool, mohair,
extra long staple cotton, and the pulse crops.
One method of providing support is loans to and purchases
from producers. With limited exceptions, loans made on commodities are nonrecourse. The commodities serve as collateral
for the loan and on maturity the producer may deliver or
forfeit such collateral to satisfy the loan obligation without
further payment.
Direct purchases may be made from processors as well as
producers, depending on the commodity involved. Also, special

purchases are made under various laws for the removal of
surpluses; for example, the Act of August 19, 1958, as amended, and section 416 of the Agricultural Act of 1949, as amended.
Direct Payments and Counter-Cyclical Payments.—The 2002
Farm Bill established direct payments and counter-cyclical
payments for May 2002 through 2007. The eligible commodities for both direct payments and counter-cyclical payments
are wheat, corn, grain sorghum, barley, oats, upland cotton,
rice, soybeans, other oilseeds, and peanuts.
Direct Payments are payments to producers for which payment yields and base acres are established. The commodity
payment amount is calculated as follows: Payment Amount
= specified rate x payment acres x payment yield. At the
option of the producer, the producer can choose to receive
advance payments (up to 50%) during the producer’s selected
month. The month selected may be any month during the
period beginning on December 1 of the calendar year before
the calendar year in which the crop of the covered commodity
is harvested through the month within which the direct payment would otherwise be made.
Counter-Cyclical Payments are payments to producers for
which payment yields and base acres are established for eligible commodities if it is determined that the effective commodity price is less than the target commodity price. Countercyclical payments will be made for the crop as soon as practicable after the end of the 12-month marketing year for
the eligible commodity. If, before the end of the 12-month
marketing year it is determined that counter-cyclical payments will be required for the eligible commodity, producers
will be provided the option to receive partial payment of the
projected counter-cyclical payment.
Marketing assistance loans.—The 2002 Farm Bill authorized producers of eligible crops to receive non-recourse marketing assistance loans from the government for any quantity
of a loan commodity produced on the farm by pledging their
production as loan collateral. This loan shall have a term
of 9 months beginning on the first day of the first month
after the month in which the loan is made. The loan cannot
be extended. As a condition of the receipt of a marketing
assistance loan, the producer shall comply with applicable
conservation requirements under subtitle B of title XII of
the Food Security Act of 1985 and applicable wetland protection requirements under subtitle C of title XII of the Act
during the term of the loan. Producers of eligible commodities
can repay a marketing assistance loan at a rate that is the
lesser of (1) the loan rate established for the commodity plus
interest; or (2) a rate that the Secretary determines. Special
rules apply to upland cotton, rice, and extra long staple cotton. Crops eligible for marketing assistance loans include
wheat, corn, barley, oats, grain sorghum, rice, upland cotton,
soybeans, extra long staple cotton, other oilseeds, dry peas,
lentils, small chickpeas, honey, wool, and mohair.
Peanut price support program.—Under the 2002 Farm Bill,
peanuts qualify for direct payments, counter-cyclical payments, marketing assistance loans and loan deficiency payments for the 2002 through 2007 crops.
The 2002 Farm Bill terminated the marketing quota programs and repealed price support programs. The prior quota
programs stayed in effect for the 2001 crop only, with quota
buyout compensation payments being made during 2002
through 2006. The prior price support programs remained
in effect for the 2002 crop only, notwithstanding any other
provision of law or crop insurance policy.
The 2002 Farm Bill established marketing assistance loans
for the 2002 through 2007 crops, with the loan rate for peanuts of $355 per ton. The payment rate shall be the amount
by which the established loan rate exceeds the rate at which
a loan may be repaid. The Farm Bill also requires that for
crop years 2002 through 2006 CCC will pay storage, handling,

DEPARTMENT OF AGRICULTURE

and other associated costs to ensure proper storage of peanuts
for which a loan is made. This authority terminates beginning
with the 2007 crop.
Tobacco program.—The American Jobs Creation Act of
2004, P.L. 108–357, eliminated the program effective with
the 2005 crop. In return for losing the program, growers and
quota holders will receive a buyout. The owners of quota
will be paid $7 per pound for the quota they hold. The actual
producers will be paid $3 per pound for the quota they produced. The legislation eliminates all geographic and poundage
restrictions on tobacco production as well as price support.
The buyout will be funded by assessments on the tobacco
product manufacturers and importers. The program will cost
$10.14 billion, and the growers and quota holders will be
paid over a 10-year period.
Sugar program.—Sugar qualifies for price support. The
2002 Farm Bill extended the national average sugar loan
rates to cover through the 2007 crops at 18 cents per pound
for raw cane sugar and 22.9 cents per pound for refined
beet sugar. Loans are available to processors of domestically
grown sugarcane and sugar beets for a term of nine months
that does not begin or extend beyond the end/beginning of
a fiscal year. The non-recourse loans are extended through
the 2007 crop for processors of domestically produced sugar
beets and sugarcane including for in-process sugar. Loans
for in-process sugar have a loan rate of 80% of the loan
rate for raw cane sugar or refined beet sugar (based on the
source material used). If forfeitures occur, the processor shall
convert the in-process into final product at no cost to the
CCC. Upon transfer, the processor will receive payment based
on the loan rate less 80% of raw cane or refined beet sugar
rate times the quantity of sugar transferred. The loan program is assumed to continue through the 2012 crop. The
2002 Farm Bill did not resume the sugar marketing assessment collections but authorized marketing allotments. The
2002 Act provides assistance for sugar donations in the
amount of 10,000 tons to compensate sugar producers who
suffer losses incurred beyond existing CCC administered programs.
Dairy program.—The 2002 Farm Bill extended the Dairy
Price Support Program from June 1, 2002 through December
31, 2007 at a rate of $9.90 per hundredweight for milk containing 3.67% butterfat. The support program is carried out
through the purchase of butter, nonfat dry milk, and cheese
at prices that enable processors to pay dairy farmers, on
average, the support price for milk. As under previous law,
the Secretary may allocate the rate of price support between
the purchase prices for nonfat dry milk and butter in a manner that minimizes CCC expenditures or other objectives, as
the Secretary considers appropriate. Cash CCC inventory
sales (with some exceptions) shall be at any price that the
Secretary determines will maximize CCC returns. The 2002
Farm Bill repealed all legislative authority for the Dairy Recourse Loan Program but established a new Milk Income
Loss Contract Program (MILC), under which the Secretary
may contract with eligible producers to make monthly payments when milk prices fall below specified levels.
Payment Limitations.—In general, the 2002 Farm Bill revised the Food Security Act of 1985 (7 U.S.C. 1308) for payment limitations. The total amount of direct payments made
to a person during any crop year for 1 or more covered commodities may not exceed $40,000. The total amount of
counter-cyclical payments made to a person during any crop
year for 1 or more covered commodities may not exceed
$65,000. Separate limits apply to direct and counter-cyclical
payments for peanuts. The total amount of gains and payments that a person may receive during any crop year under
marketing assistance loan and loan deficiency payment provisions may not exceed $75,000. Notwithstanding any other
provision of law, an individual or entity shall not be eligible

FARM SERVICE AGENCY—Continued
Federal Funds—Continued

101

to receive any benefit described above if the average adjusted
annual gross income of the individual or entity exceeds
$2,500,000, unless not less than 75 percent of the average
adjusted gross income of the individual or entity is derived
from farming, ranching, or forestry operations, as determined
by the Secretary. This shall apply during the 2003 through
2007 crop years.
Disaster Payments.—The Agricultural Disaster Assistance
Act of 2006, P.L. 109–234, authorized almost $500 million
in financial relief for farmers, ranchers, foresters, and other
agricultural producers who incurred losses due to hurricanes.
Noninsured Assistance Program.—The Agricultural Risk
Protection Act of 2000 eliminated the area loss requirement
for triggers and made other changes. It also included a provision that all types or varieties of a crop or commodity may
be considered to be a single eligible crop for NAP assistance.
Dairy Export Incentive Program (DEIP).—DEIP provides
cash bonus payments to exporters to facilitate commercial
sales of U.S. dairy products in overseas markets. Estimates
of the quantity of dairy products to be exported under DEIP
and associated expenditures were formulated within the maximum allowable expenditure and quantity levels specified in
conjunction with provisions of the Uruguay Round Agreement.
Consequently, current baseline projections assume that DEIP
will not exceed $116.6 million annually during 2002–2012.
Actual DEIP subsidies are further limited on a product-byproduct basis under the Uruguay Round.
Export Enhancement Program (EEP).—The 2002 Farm Bill
authorizes funding up to $478 million annually for EEP
through 2007, which will be available for EEP programming
should market conditions warrant. Actual subsidies for EEP
are further limited on a product-by-product basis under the
Uruguay Round.
Market Access Program (MAP).—Under the MAP, CCC
Funds are used to reimburse participating organizations for
a portion of the costs of carrying out overseas marketing
and promotional activities. The 2002 Farm Bill continued the
authority for the MAP program and increased the funding
as follows: $100 million for 2002, $110 million for 2003, $125
million for 2004, $140 million for 2005, and $200 million
for 2006 and 2007.
Foreign Market Development Cooperator Program (FMD)
and Quality Samples Program.—Under the FMD program,
cost-share assistance is provided to nonprofit commodity and
agricultural trade associations to support overseas market development activities that are designed to remove long-term
impediments to increased U.S. trade. The 2002 Farm Bill
increased the available funds for this program to $34.5 million
for 2002 through 2007.
CCC will fund the Quality Samples Program at an authorized annual level of $2.5 million. Under this initiative, samples of U.S. agricultural products will be provided to foreign
importers to promote a better understanding and appreciation
for the high quality of U.S. products.
Commodity Donations.—The 2002 Farm Bill authorizes the
donation of surplus commodity inventory to domestic nutrition
programs. The Corporation may also donate commodities
under the authority of section 416(b) of the Agricultural Act
of 1949 to carry out programs of assistance in developing
countries and friendly countries and pay costs associated with
making the commodities available. Commodities that are acquired by CCC in the normal course of its domestic support
operations will be available for donation. The current CCC
inventory has nonfat dry milk available for donation. The
Corporation may also use its funds to furnish commodities
overseas under the authority of the Food for Progress Act
of 1985; however, not more than $40 million of the funds
of the Corporation (exclusive of the costs of commodities) may
be used for each fiscal year.

102

FARM SERVICE AGENCY—Continued
Federal Funds—Continued

COMMODITY CREDIT CORPORATION FUND—Continued
(LIMITATION ON EXPENSES)—Continued

The Bill Emerson Humanitarian Trust.—The Bill Emerson
Humanitarian Trust (BEHT) is a commodity reserve that was
established to ensure that the United States can meet its
international food aid commitments. Commodities authorized
for the 4-million-ton reserve include wheat, corn, grain sorghum, and rice. The Secretary is authorized to release up
to 500,000 metric tons for urgent humanitarian relief in disasters in the case of unanticipated need and to release an additional 500,000 metric tons of eligible commodities that could
have been released but were not released in previous years.
The Secretary is authorized to release eligible commodities
from the reserve when supplies are so limited that eligible
commodities cannot be made available for programming under
P.L. 480. The 2002 Farm Bill extended the authorization to
replenish the BEHT through 2007. CCC is authorized to hold
funds as well as commodities in the reserve.
Conservation Programs.—Title II of the Farm Security and
Rural Investment Act of 2002, P.L. 107–171, authorizes funding for new and existing conservation programs implemented
by the Farm Service Agency or the Natural Resources Conservation Service and funded through the Commodity Credit
Corporation. The bill provides additional funding to help
farmers adopt and maintain conservation systems that protect
water quality, reduce soil erosion, protect and enhance wildlife habitat and wetlands, conserve water, and sequester carbon. One such program is the Conservation Reserve Program
administered by FSA.
Up to 39.2 million acres may be enrolled at any one time.
CRP is USDA’s largest conservation/environmental program.
The purpose of CRP is to cost-effectively assist farm owners
and operators in conserving and improving soil, water, air,
and wildlife resources by converting highly erodible and other
environmentally sensitive acreage normally devoted to the
production of agricultural commodities to a long-term resource-conserving cover. CRP participants enroll contracts for
periods from 10 to 15 years in exchange for annual rental
payments and cost-share and technical assistance for installing approved conservation practices.
The CRP is authorized in all 50 States, Puerto Rico, and
the Virgin Islands, on all highly erodible cropland, other environmentally sensitive cropland, and certain marginal
pastureland meeting the eligibility criteria. In addition to
cropland in areas adjacent to lakes and streams that can
be devoted to filter strips, and cropland subject to overflow
and suffering from scour erosion, eligible land may include
cropland contributing to water quality problems, and other
lands posing environmental threats. Also eligible for the CRP
are water quality or wildlife habitat impaired areas that do
not meet the highly erodible land (HEL) criteria, such as
the Chesapeake Bay, Great Lakes, and Long Island Sound
watershed regions.
The financial assistance for conservation programs where
the Natural Resources Conservation Service (NRCS) is the
lead agency, is transferred from CCC to NRCS’s Farm Security and Rural Investment Programs account (see the NRCS
section). Specifically, these programs include the Environmental Quality Incentives Program, Wetlands Reserve Program, Wildlife Habitat Incentives program, Farm and Ranch
Lands Protection Program, Conservation Security Program,
and Grassland Reserve Program.
The Agricultural Risk Protection Act of 2000 authorized
CCC funding of $10 million for 2001 and subsequent years
for the Agricultural Management Assistance Program
(AMAP). AMAP provides cost-share assistance to producers
in not less than 10, nor more than 15, States in which the
Federal Crop Insurance Program is historically low as determined by the Secretary of Agriculture. The 2002 Farm Bill

THE BUDGET FOR FISCAL YEAR 2008

increased CCC funding to $20 million annually through 2007.
The Secretary delegated authority to Natural Resources Conservation Service, Risk Management Agency, and the Agricultural Marketing Service. The 2008 Budget assumes the $10
million authorized for use will not be funded because the
assistance AMAP provides is duplicative of other priority conservation programs, such as the Environmental Quality Incentives Program.
Emergency Forestry Conservation Reserve Program.—The
Emergency Supplemental Appropriations to Address Hurricanes in the Gulf of Mexico and Pandemic Influenza, 2006,
P.L. 109–148, mandates that during calendar year 2006, the
Secretary shall carry out an emergency pilot program in
States that the Secretary determines have suffered damage
to merchantable timber in counties affected by hurricanes
during the 2005 calendar year. The Act provides $404.1 million for this program. The Agricultural Disaster Assistance
Act ot 2006, P.L. 109–234, authorized another $100 million
for this program. By the end of calendar year 2006, USDA
estimates that it will have enrolled about 215,000 acres into
EFCRP.
Loan operations.—The following table reflects commodity
loan operations of the Corporation:
[In millions of dollars]
Item

2006 actual

Loans outstanding, gross, start of year:
Commodity Credit Corporation ................................................
Additional loans made ............................................................
Deduct:
Loans repaid ...........................................................................
Acquisition of loan collateral .................................................
Write-offs ................................................................................

1,108
12,014

2007 est.

1,463
11,347

2008 est.

1,721
10,066

–11,472
–11,022
–10,176
–128
–67
–302
–59 .................... ....................

Total loans outstanding, gross, end of year .................

1,463

1,721

1,309

Inventory operations.—The following table reflects the inventory operations applicable to the preceding programs:
AGRICULTURAL COMMODITIES
[In millions of dollars]
Item

On hand, start of year, gross .....................................................

2006 actual

2007 est.

2008 est.

304

226

149

128
4
5,885
–1

67
3
3,618
0

302
0
3,575
0

4
96
4

14
98
2

10
20
5

Total acquisitions ..........................................................

6,020

3,702

3,887

Dispositions:
Domestic donations to:
Families ..............................................................................
Institutions .........................................................................

27
43

1
40

17
23

Total domestic donations ..............................................

Export donations .....................................................................
Sales and transfers:
Special programs: Title II, Public Law 480 .......................
Other sales .........................................................................
Net loss or gain (–) on sales and transfers .....................

198

117

485
4,220
1,125

543
2,510
568

463
2,813
158

Total sales and transfers ..............................................

5,830

3,621

3,434

Total dispositions ...........................................................

6,098

3,779

3,591

On hand, end of year, gross .......................................................
Allowances for losses ..................................................................

226
–171

149
–113

445
–337

On hand, end of year, net ..........................................................

108

Acquisitions:
Forfeiture of loan collateral ....................................................
Excess of collateral acquired over loans canceled ................
Purchases ................................................................................
Transfers and exchanges ........................................................
Carrying charges:
Charges to inventory ...............................................................
Storage and handling (non-add) ............................................
Transportation (non-add) ........................................................

Other data.—The following table reflects other data which
are applicable to price support and related programs:

FARM SERVICE AGENCY—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
DATA ON SUPPORT AND RELATED PROGRAMS
[In millions of dollars]
Item

2006 actual

Loans made .................................................................................
Loans repaid ................................................................................
Loan collateral forfeited ..............................................................
Loans outstanding, end of year ..................................................
Acquisitions .................................................................................
Cost of commodities sold ...........................................................
Cost of commodities donated .....................................................
Inventory, end of year .................................................................
Investment in loans and inventory, end of year ........................
Direct producer payments ...........................................................
Net expenditures ..........................................................................
Realized losses ............................................................................

12,014
11,472
128
1,463
6,020
5,830
268
226
1,689
17,950
20,146
23,098

2007 est.

11,347
11,022
67
1,721
3,702
3,621
158
149
1,870
11,093
12,397
12,983

2008 est.

10,066
10,177
302
1,309
3,887
3,434
157
445
1,753
9,591
10,732
12,888

Operating expenses.—The Corporation carries out its functions through utilization of employees and facilities of other
Government agencies. Administrative expenses are incurred
by: the Farm Service Agency (FSA); the Foreign Agricultural
Service; the Natural Resources Conservation Service; the Risk
Management Agency; other agencies of the Department engaged in the Corporation’s activities; and the Office of the
Inspector General for audit functions. Additional expenses are
incurred by FSA county offices for work related to programs
of the Corporation, other FSA expenses offset by revenue,
custodian, and agency expenses of the Federal Reserve banks
and lending agencies, and miscellaneous costs.
Expenses are incurred for acquisition, operation, maintenance, improvement, or disposition of existing property that
the Corporation owns or in which it has an interest. These
expenses are treated as program expenses. Such program expenses include inspection, classing, and grading work performed on a fee basis by Federal employees or Federal- or
State-licensed inspectors; and special services performed by
Federal agencies within and outside this Department. Most
of these general expenses, including storage and handling,
transportation, inspection, classing and grading, and producer
storage payments, are included in program costs. They are
shown in the program and financing schedule in the entries
entitled ‘‘Storage, transportation, and other obligations not
included above,’’ and ‘‘Producer storage payments.’’
Section 161 of the 1996 Act amended Section 11 of the
CCC Charter Act to limit the use of CCC funds for the transfer and allotment of funds to State and Federal agencies.
The Section 11 cap of $56 million including FSA loan service
fees remains at $56 million in 2006.
The Corporation receives reimbursement for grain requisitioned pursuant to Public Law 87–152 by the States from
Corporation stocks to feed resident wildlife threatened with
starvation through the appropriation reimbursement for net
realized losses. There have been no requisitions in recent
years, however. The Corporation receives reimbursement for
the commodity costs and other costs, including administrative
costs, for commodities supplied to domestic nutrition programs and international food aid programs.
FINANCING

Borrowing authority.—The Corporation has an authorized
capital stock of $100 million held by the U.S. Treasury and,
effective in 1988, authority to have outstanding borrowings
up to $30 billion at any one time.
Funds are borrowed from the Treasury and may also be
borrowed from private lending agencies and others. The Corporation reserves a sufficient amount of its borrowing authority to purchase at any time all notes and other obligations
evidencing loans made to the Corporation by such agencies
and others. All bonds, notes, debentures, and similar obligations issued by the Corporation are subject to approval by
the Secretary of the Treasury as required by the Act of March
8, 1938.
Interest on borrowings from the Treasury (and on capital
stock) is paid at a rate based upon the average interest rate
of all outstanding marketable obligations (of comparable ma-

103

turity date) of the United States as of the preceding month.
Interest is also paid on other notes and obligations at a rate
prescribed by the Corporation and approved by the Secretary
of the Treasury.
The Department of Agriculture and Related Agencies Appropriation Act, 1966, made provision for terminating interest
after June 30, 1964 on the portion of the Corporation’s borrowings from the Treasury equal to the unreimbursed realized
losses recorded on the books of the Corporation after the
end of the fiscal year in which such losses are realized.
POSITION WITH RESPECT TO BORROWING AUTHORITY, END OF YEAR
[In millions of dollars]
Item

2006 actual

Statutory borrowing authority ......................................................
Deduct: Borrowings from Treasury ..............................................
Net statutory borrowing authority available ...............................

30,000
16,420
13,580

2007 est.

30,000
8,158
21,842

2008 est.

30,000
8,186
21,814

Note.—Accounts payable, accrued liabilities, and other outstanding obligations not reflected on this table do not become
charges against the statutory borrowing authority until they
result in borrowings from the Treasury.
Contract authority.—Price support and other programs required by statute may result in the Corporation incurring
obligations in excess of available funds and borrowing authority. Such obligations are liquidated from subsequent appropriations and other funds that may become available to the
Corporation. Any increase in obligations in excess of available
fund resources is reported as contract authority in the year
involved; a decrease is reported as the application of appropriations and other funds to liquidate the authority.
Appropriations.—Under section 2 of Public Law 87–155 annual appropriations are authorized for each fiscal year to
reimburse the Corporation for net realized losses incurred
as of the close of each year.
The special activities are financed as indicated in the program descriptions above. In addition to certain reimbursements from other agencies, appropriations are made for foreign assistance programs.
Deficit.—The net realized losses of the Corporation have
previously been reimbursed as follows:
SUPPORT AND RELATED PROGRAMS
[In millions of dollars]
2006 actual

Realized losses, 1933 to 2006, inclusive ..............................................................................
441,542
Reimbursements by the Treasury:
.......................
Reimbursements of realized losses:
.......................
Appropriations (67 times) .........................................................................................
415,286
Note cancellations (6 times) ....................................................................................
2,698
Less dividends paid to Treasury (4 times) ..............................................................
¥138
Total reimbursements for net realized losses ..........................................................

417,846

Other reimbursements:
.......................
Appropriations (2 times) ....................................................................................................
542
Note cancellation (1 time) .................................................................................................
56
Total other reimbursements ..........................................................................................

598

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

418,444

Realized deficit as of September 30, 2006, support and related programs ........................

23,098

Commodity Certificates.—Subtitle B of the 2000 Act allows
for the use of commodity certificates. In making in-kind payments, CCC may (a) ‘‘acquire and use commodities that have
been pledged to the Commodity Credit Corporation as collateral for loans made by the Corporation’’; (b) ‘‘use other commodities owned by the Commodity Credit Corporation’’; and
(c) ‘‘redeem negotiable marketing certificates for cash under
terms and conditions established’’. Commodity certificates discourage producers from forfeiting commodities pledged as collateral for CCC commodity loans. Certificates are used to

104

FARM SERVICE AGENCY—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008

COMMODITY CREDIT CORPORATION FUND—Continued

COMMODITY CREDIT CORPORATION

FUND

(LIMITATION ON EXPENSES)—Continued

(Legislative proposal, subject to PAYGO)

repay marketing assistance loans when the adjusted world
price (for rice and upland cotton) or the posted county price
(for wheat, feed grains, soybeans, wool, mohair, honey, peanuts, dry peas, lentils, small chickpeas, and designated minor
oilseeds) is lower than the applicable loan rate. The Budget
assumes that commodity certificates may be exchanged for
loan collateral through crop year 2016.

Program and Financing (in millions of dollars)
2006 actual

2007 est.

2008 est.

2005 actual

ASSETS:
Federal assets:
1101 Fund balances with Treasury .....................................................
Investments in US securities:
1106 Receivables, net ...........................................................................
1107 Advances and prepayments ........................................................
Non-Federal assets:
1206 Receivables, net ...........................................................................
1207 Advances and prepayments ........................................................
1601 Direct loans, gross ......................................................................
1602 Interest receivable ........................................................................
1603 Allowance for estimated uncollectible loans and interest (–)

00.59

Obligations by program activity:
Farm bill proposal ......................................................... ................... ...................

500

10.00

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

500

22.00
23.95

Balance Sheet (in millions of dollars)
Identification code 12–4336–0–3–999

Identification code 12–4336–4–3–999

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

500
¥500

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

500

73.10
73.20

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

500
¥500

2006 actual

–975

–1,372

1,557
1

1,689
1

357
28
1,137
17
–97

60
32
1,487
30
–137

86.97

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

500

89.00
90.00

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

500
500

1604

Direct loans and interest receivable, net .................................

1,057

1,380

1699

Value of assets related to direct loans ...................................
Other Federal assets:
Cash and other monetary assets ..............................................
Inventories and related properties .............................................
Property, plant and equipment, net ..........................................

1,057

1,380

59
29
52

33
55
52

1801
1802
1803
1999

Total assets ..................................................................................
LIABILITIES:
Federal liabilities:
2101 Accounts payable .........................................................................
2102 Interest payable ............................................................................
2103 Debt ...............................................................................................
2105 Other ..............................................................................................
Non-Federal liabilities:
2201 Accounts payable .........................................................................
2207 Other ..............................................................................................

2,165

1,930

814
323
19,491
759

....................
427
16,595
1,038

466
14,695

151
7,390

2999

36,548

25,601

Total liabilities .............................................................................
NET POSITION:
3300 Cumulative results of operations ...............................................

–34,383

–23,671

3999

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

–34,383

–23,671

4999

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

2,165

1,930

22.0
25.2
25.2
26.0

Direct obligations:
Transportation of things ...........................................
Other services ............................................................
Other services: Storage and handling ......................
Supplies and materials: Costs of commodities sold
or donated .............................................................
Grants, subsidies, and contributions ........................
Interest and dividends ..............................................

2006 actual

2007 est.

2008 est.

58
283
96

203
102
98

206
114
20

5,891
18,730
562

3,635
10,285
351

3,585
10,856
325

25,620

14,674

15,106

803

680

653

33.0

Direct obligations ..................................................
Reimbursable obligations:
Transportation of things: P. L. 480 ocean transportation .....................................................................
Supplies and materials—Cost of Commodities Procured/Donated—PL 480 .......................................
Investments and loans ..............................................

495
12,014

543
11,347

463
10,066

99.0

Reimbursable obligations ..............................................

13,312

12,570

11,182

99.9

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

38,932

27,244

26,288

41.0
43.0
99.0
22.0
26.0

Identification code 12–4336–4–3–999

2006 actual

2007 est.

2008 est.

Cumulative balance of direct loans outstanding:
1210 Outstanding, start of year ............................................. ................... ................... ...................
1251 Repayments: Repayments and prepayments ................. ................... ...................
1
1290

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

Position with respect to appropriations act limitation
on obligations:
1111 Limitation on direct loans ............................................. ................... ...................
1131 Direct loan obligations exempt from limitation ............ ................... ...................

1
1

1150

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

Cumulative balance of direct loans outstanding:
Outstanding, start of year .............................................
Disbursements: Direct loan disbursements ...................
Repayments: Repayments and prepayments .................
Write-offs for default:
1263
Direct loans ...............................................................
1264
Other adjustments, net .............................................
1210
1231
1251

1290

Object Classification (in millions of dollars)
Identification code 12–4336–0–3–999

Status of Direct Loans (in millions of dollars)

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

1
1
1

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

1
1

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

COMMODITY CREDIT CORPORATION EXPORT LOANS PROGRAM
ACCOUNT
(INCLUDING TRANSFERS OF FUNDS)

For administrative expenses to carry out the Commodity Credit Corporation’s export guarantee program, GSM 102 and GSM 103,
$5,344,000; to cover common overhead expenses as permitted by section
11 of the Commodity Credit Corporation Charter Act and in conformity with the Federal Credit Reform Act of 1990, of which
$4,985,000 may be transferred to and merged with the appropriation
for ‘‘Foreign Agricultural Service, Salaries and Expenses’’, including
$775,000 to be made available for debt recovery, and of which
$359,000 may be paid to the appropriation for ‘‘Farm Service Agency,
Salaries and Expenses’’.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

FARM SERVICE AGENCY—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE

237002 Supplier Credit ...............................................................
¥6
¥2 ...................
237003 Export guarantee program—Facilities ..........................
¥4 ................... ...................
237004 GSM 103 ........................................................................ ...................
¥9 ...................

Program and Financing (in millions of dollars)
Identification code 12–1336–0–1–351

Obligations by program activity:
00.02 Guaranteed loan subsidy ...............................................
00.03 Adjustment to the prior year .........................................
00.07 Reestimates of subsidy .................................................
00.08 Interest on reestimates ..................................................
00.09 Administrative expenses ................................................

2006 actual

2007 est.

2008 est.

237999 Total downward reestimate subsidy budget authority
71
61
64
1 ................... ...................
64
77 ...................
4
6 ...................
5
5
5

5
5

112

Object Classification (in millions of dollars)

149

21.40
22.00

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

104
202

161
149

161
69

23.90
23.95

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

306
¥145

310
¥149

230
¥69

24.40

Unobligated balance carried forward, end of year

161

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

129
68

62.50

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

197

144

70.00

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

202

149

72.40
73.10
73.20

166
145
¥142

169
149
¥200

118
69
¥68

74.40

Obligated balance, end of year ................................

169

118

119

86.90
86.97
86.98

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

5
68
69

5
126
69

5
45
18

87.00

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

142

200

89.00
90.00

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

202
142

149
200

69
68

61
64
83 ...................

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
2006 actual

2007 est.

Guaranteed loan levels supportable by subsidy budget
authority:
215001 GSM 102 ........................................................................
1,453
1,964
215002 Supplier Credit ............................................................... ................... ...................
215003 Export guarantee program—Facilities .......................... ...................
26

2008 est.

2,214
200
26

1,453

1,990

2,440

4.88
0.00
0.00

3.04
4.55
0.34

2.39
5.60
¥0.05

232999 Weighted average subsidy rate .....................................
4.88
3.00
Guaranteed loan subsidy budget authority:
233001 GSM 102 ........................................................................
71
60
233002 Supplier Credit ............................................................... ................... ...................
233003 Export guarantee program—Facilities .......................... ...................
1

2.63
53
11
¥1

234999 Total subsidy outlays .....................................................
69
112
63
Guaranteed loan upward reestimates:
235001 GSM 102 ........................................................................ ...................
2 ...................
235002 Supplier Credit ...............................................................
63
81 ...................
235003 Export guarantee program—Facilities ..........................
5 ................... ...................
235999 Total upward reestimate budget authority ....................
Guaranteed loan downward reestimates:
237001 GSM 102 ........................................................................

5
5

145

233999 Total subsidy budget authority ......................................
Guaranteed loan subsidy outlays:
234001 GSM 102 ........................................................................

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

3510
3590

¥390 ...................

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

215999 Total loan guarantee levels ...........................................
Guaranteed loan subsidy (in percent):
232001 GSM 102 ........................................................................
232002 Supplier Credit ...............................................................
232003 Export guarantee program—Facilities ..........................

¥551

This is the program account for the GSM–102 CCC Export
Credit Guarantee Program. The GSM–102 Export Credit
Guarantee Program covers credit terms of up to 3 years.
Under this program, CCC does not provide financing, but
guarantees payments due from foreign banks and buyers. Because payment is guaranteed, financial institutions in the
United States can offer competitive credit terms to foreign
banks, usually with interest rates based on the London InterBank Offered Rate (LIBOR). If the foreign bank fails to make
any payment as agreed, the exporter or assignee must submit
a notice of default to the CCC. A claim for loss must be
filed, and the CCC will promptly pay claims found to be
in good order. CCC usually guarantees 98 percent of the
principal payment due and interest based on a percentage
of the one-year Treasury rate.
A portion of the guarantees made available under the
GSM–102 program is provided as Supplier Credit Guarantees.
Under this activity, CCC guarantees a portion of payment
due from importers under short-term financing (for up to
180 days) that exporters have extended directly to the importers for the purchase of U.S. agricultural commodities and
products. CCC does not provide financing, but guarantees
payment due from an importer. A substantially smaller portion of the value of exports (currently 65 percent) is guaranteed under Supplier Credit Guarantees than under regular
GSM–102 guarantees where CCC is guaranteeing foreign
bank obligations.
A portion of the GSM–102 guarantees is also made available as Facilities Guarantees. Under this activity, CCC guarantees export financing for capital goods and services to improve handling, marketing, processing, storage, or distribution
of imported agricultural commodities and products.
The subsidy estimates for the GSM–102 program is determined in large part by the obligor’s sovereign or non-sovereign
country risk grade. These grades are developed annually by
the International Credit Risk Assessment System Committee
(ICRAS). In unusual circumstances, an ICRAS grade for a
country may change during the fiscal year. The default estimates for GSM guarantees are determined in large part by
the risk premia assigned for each risk grade.
As required by the Federal Credit Reform Act of 1990,
this account records, for this program, the subsidy costs associated with the credit guarantees committed in 1992 and beyond (including modifications of credit guarantees that resulted from obligations or commitments in any year), as well
as administrative expenses of this program. The subsidy
amounts are estimated on a present value basis; the administrative expenses are estimated on a cash basis. The 2008
Budget displays the GSM loan guarantee volume and the
subsidy level that can be justified by forecast economic conditions, the expected supply/demand conditions of countries requesting GSM loan guarantees.

10.00

Identification code 12–1336–0–1–351

105

Identification code 12–1336–0–1–351

2006 actual

2007 est.

2008 est.

83 ...................

¥541

¥379 ...................

5
140

5
144

5
64

99.9

145

149

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

106

FARM SERVICE AGENCY—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008

COMMODITY CREDIT CORPORATION EXPORT GUARANTEE FINANCING
ACCOUNT
Program and Financing (in millions of dollars)
Identification code 12–4337–0–3–351

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Default claims ...............................................................
24
00.02 Interest on debt to Treasury ..........................................
65
00.03 Modification savings ...................................................... ...................

52
61
155
163
20 ...................

00.91
08.02
08.04

Subtotal, new loans ..................................................
Reestimates of guaranteed loan subsidy ......................
Interest on reestimates of guaranteed loan subsidy

89
430
121

227
224
308 ...................
82 ...................

08.91

Subtotal, reestimates ................................................

551

390 ...................

10.00

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

640

617

21.40
22.00
22.60

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
New financing authority (gross) ....................................
Portion applied to repay debt ........................................

23.90
23.95

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

1,535
¥640

1,697
¥617

1,339
¥224

24.40

Unobligated balance carried forward, end of year

895

1,080

1,115

224

1,159
895
1,080
913
802
259
¥537 ................... ...................

New financing authority (gross), detail:
Mandatory:
67.10
Authority to borrow ....................................................
233 ................... ...................
Spending authority from offsetting collections:
69.00
Offsetting collections (cash) ................................
709
341
259
69.00
Offsetting collections —Prepayments .................. ...................
461 ...................
69.10
Receivable from Federal sources ..........................
¥29 ................... ...................
69.90

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

680

802

259

70.00

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

913

802

259

72.40
73.10
73.20
74.00

Change in obligated balances:
Obligated balance, start of year ...................................
Total new obligations ....................................................
Total financing disbursements (gross) .........................
Change in uncollected customer payments from Federal sources (unexpired) ............................................

¥160
640
¥639

¥130
617
¥617

¥130
224
¥224

3,180
1,952
¥2,074

¥24
¥52
¥61
¥13 ................... ...................

2299

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

2,925 ................... ...................

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 ...............................
2364
Other adjustments, net .............................................

1,604
1,189
1,199
20
52
61
¥533
¥42
¥49
98 ................... ...................

2390

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

3,022

3,180

1,189

1,199

2,997

1,211

As required by the Federal Credit Reform Act of 1990,
this non-budgetary account records all cash flows to and from
the Government resulting from loan guarantees committed
in 1992 and beyond. The amounts in this account are a means
of financing and are not included in the budget totals.
Balance Sheet (in millions of dollars)
Identification code 12–4337–0–3–351

2005 actual

ASSETS:
Federal assets:
1101 Fund balances with Treasury .....................................................
1101 Accounts Receivable, net ............................................................
Net value of assets related to post–1991 acquired defaulted
guaranteed loans receivable:
1501 Defaulted guaranteed loans receivable, gross ..........................
1502 Interest receivable ........................................................................
1505 Allowance for subsidy cost (–) ..................................................

2006 actual

997
233

1,605
24
–691

Net present value of assets related to defaulted guaranteed
loans .........................................................................................

765
214

1,189
20
–406

938

803

2,168

1,782

398
1,342
161
267

394
1,038
131
219

2999

¥130

87.00

Outlays (gross), detail:
Total financing disbursements (gross) .........................

639

617

224

Offsets:
Against gross financing authority and financing disbursements:
Offsetting collections (cash) from:
88.00
Payments from program account .........................
88.25
Interest on uninvested funds ...............................
88.40
Loan origination fee ..............................................
88.40
Principal collections ..............................................
88.40
Interest collections ................................................
88.40
Other actual collections Non-Federal sources ......

¥137
¥195
¥63
¥42
¥54
¥54
¥10
¥15
¥15
¥432
¥487
¥81
¥91
¥51
¥46
3 ................... ...................

88.90

¥709

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

3,022
1,899
¥1,689

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

1599

Obligated balance, end of year ................................

88.95

2,461
1,030
¥432

2290

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

2,168

1,782

4999

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

2,168

1,782

29 ................... ...................

74.40

Total, offsetting collections (cash) .......................
Against gross financing authority only:
Change in receivables from program accounts .......

Cumulative balance of guaranteed loans outstanding:
Outstanding, start of year .............................................
Disbursements of new guaranteed loans ......................
Repayments and prepayments ......................................
Adjustments:
2263
Terminations for default that result in claim payments ....................................................................
2264
Other adjustments, net .............................................
2210
2231
2251

¥802

1999

COMMODITY CREDIT CORPORATION GUARANTEED LOANS LIQUIDATING
ACCOUNT

¥259

29 ................... ...................

Program and Financing (in millions of dollars)
Identification code 12–4338–0–3–351

2006 actual

2007 est.

2008 est.

10.00

233 ................... ...................
¥70
¥185
¥35

Obligations by program activity:
00.01 Operating expenses ........................................................
Total new obligations (object class 25.3) ................

21.40
22.00
22.40

5
80
¥5

23.90
23.95

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

80
¥6

24.40

Unobligated balance carried forward, end of year

Status of Guaranteed Loans (in millions of dollars)
Identification code 12–4337–0–3–351

2006 actual

2007 est.

2008 est.

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
1,453
1,990
2,440
2150
2199

Total guaranteed loan commitments ........................
Guaranteed amount of guaranteed loan commitments

1,453
1,366

1,990
1,890

2,440
2,324

New budget authority (gross), detail:
Mandatory:

74 ...................
5
4
¥74 ...................
5
¥5

4
¥4

74 ................... ...................

FARM SERVICE AGENCY—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE

69.00
69.27
69.90

Spending authority from offsetting collections:
Offsetting collections (cash) ................................
Capital transfer to general fund ..........................

980
¥900

196
¥191

45
¥41

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

72.40
73.10
73.20

3
6
¥6

3
5
¥5

3
4
¥4

74.40

Obligated balance, end of year ................................

86.97

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

(P.L. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
Identification code 12–3301–0–1–351

¥885
¥174
¥30
¥86
¥22
¥15
¥9 ................... ...................

88.90

¥980

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Direct loan subsidy ........................................................ ................... ...................
1
00.05 Upward reestimate .........................................................
3 ................... ...................
00.09 Administrative expenses ................................................ ................... ...................
5
10.00

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

21.40
22.00
22.40

23.90
23.95

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

107

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

24.40

Unobligated balance carried forward, end of year

3 ...................

1
1
1
4 ...................
6
¥1 ................... ...................
4
1
¥3 ...................

¥196

¥900
¥974

¥191
¥191

¥45

¥41
¥41

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation ............................................................. ................... ...................
Mandatory:
60.00
Appropriation .............................................................
4 ...................

5
1

70.00

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

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

4 ...................

73.10
73.20

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

3 ...................
¥3 ...................

6
¥6

86.90
86.97

5
1

Status of Guaranteed Loans (in millions of dollars)
Identification code 12–4338–0–3–351

2006 actual

Addendum:
Cumulative balance of defaulted guaranteed loans
that result in loans receivable:
2310
Outstanding, start of year ........................................
2351
Repayments of loans receivable ...............................

2007 est.

2008 est.

1,401
¥885

516
¥174

342
¥30

516

342

7
¥6

312

87.00
2390

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

Note.—Includes amounts for activities previously funded in
the Commodity Credit Corporation Fund.
As required by the Federal Credit Reform Act of 1990,
this account records, for this program, all cash flows to and
from the Government resulting from loan guarantees committed prior to 1992. This account is shown on a cash basis.
All new activity in this program in 1992 and beyond is recorded in corresponding program and financing accounts.
Balance Sheet (in millions of dollars)
Identification code 12–4338–0–3–351

2005 actual

2006 actual

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

3 ...................

89.00
90.00

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

4 ...................
3 ...................

6
6

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
Identification code 12–3301–0–1–351

2006 actual

Direct loan levels supportable by subsidy budget authority:
115001 Farm Storage facility loans ...........................................
111
115002 Sugar Storage facility Loans ......................................... ...................
115999 Total direct loan levels ..................................................
Direct loan subsidy (in percent):
132001 Farm Storage facility loans ...........................................
132002 Sugar Storage facility Loans .........................................

2007 est.

2008 est.

71
3

90
3

111

¥0.62
0.00

0.38
¥2.71

1.12
0.98

¥0.62

0.25

1.12

¥1 ...................

1101
1701
1702
1703

ASSETS:
Federal assets: Fund balances with Treasury ..........................
Defaulted guaranteed loans, gross ............................................
Interest receivable ........................................................................
Allowance for estimated uncollectible loans and interest (–)

8
1,401
15
–122

77
516
7
–137

1799

Value of assets related to loan guarantees ............................

1,294

386
1

1,302

463

133999 Total subsidy budget authority ......................................
Direct loan subsidy outlays:
134001 Farm Storage facility loans ...........................................

¥1 ...................

3
1,294
5

3
452
8

134999 Total subsidy outlays .....................................................
Direct loan upward reestimates:
135001 Farm Storage facility loans ...........................................

¥1 ...................

2999

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

1,302

463

4999

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

1,302

463

135999 Total upward reestimate budget authority ....................
Direct loan downward reestimates:
137001 Farm Storage facility loans ...........................................

¥4 ................... ...................

137999 Total downward reestimate budget authority ...............

¥4 ................... ...................

1999

132999 Weighted average subsidy rate .....................................
Direct loan subsidy budget authority:
133001 Farm Storage facility loans ...........................................

FARM STORAGE FACILITY LOANS PROGRAM ACCOUNT
For administrative expenses necessary to carry out the Farm Storage
and Sugar Storage Facility Loan Programs, $4,660,000, shall be paid
to the appropriation for ‘‘Farm Service Agency, Salaries and Expenses’’.
Note.—A regular 2007 appropriation for this account had not been enacted at the time
the budget was prepared; therefore, this account is operating under a continuing resolution

3510
3590

3 ................... ...................
3 ................... ...................

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

5
5

Farm Storage Facility Loan (FSFL) Program.The FSFL program was established by CCC in 1949 to offer low-cost financing to producers for the construction or upgrade of on-farm

108

FARM SERVICE AGENCY—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008
¥4 ................... ...................

FARM STORAGE FACILITY LOANS PROGRAM ACCOUNT—Continued

73.45

Recoveries of prior year obligations ..............................

storage facilities. The program was discontinued in the early
1980’s when studies showed sufficient storage space was
available. The FSFL was re-established in 2000 due to a
severe shortage of sufficient available storage. The program
was implemented in 2000 by CCC under Section 504(c) of
the Federal Credit Reform Act of 1990. The program provides
producers financing with five- to ten-year repayment terms
and low interest rates. The program gives producers greater
marketing flexibility when farm storage is limited and/or
transportation difficulties cause storage problems, allows
farmers to benefit from new marketing and technological advances, and maximizes their returns through identity-preserved marketing.
Sugar Storage Facility Loans.The 2002 Farm Bill directs
that the CCC establish a sugar storage facility loan program
to provide financing for processors of domestically produced
sugarcane and sugar beets to construct or upgrade storage
and handling facilities for raw sugars and refined sugars.
The loan term is a minimum of 7 years with the amount
and terms being determined as any other commercial loan.
As required by the Federal Credit Reform Act of 1990,
this account records the subsidy costs associated with the
direct loans obligated in 1992 and beyond, as well as administrative expenses of this program. The subsidy amounts are
estimated on a prevent value basis; the administrative expenses are estimated on a cash basis.

74.40

Obligated balance, end of year ................................

87.00

Outlays (gross), detail:
Total financing disbursements (gross) .........................

102

Offsets:
Against gross financing authority and financing disbursements:
Offsetting collections (cash) from:
88.00
Payments from Program Account .........................
88.25
Interest on uninvested funds ...............................
88.40
Principal collections ..............................................
88.40
Interest collections ................................................

¥3 ...................
¥7
¥6
¥43
¥52
¥9
¥11

¥1
¥6
¥62
¥13

88.90

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

¥62

¥69

¥82

89.00
90.00

85
40

36
15

106
17

Status of Direct Loans (in millions of dollars)
Identification code 12–4158–0–3–351

2006 actual

2007 est.

2008 est.

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

111

FARM STORAGE FACILITY DIRECT LOAN FINANCING ACCOUNT

1210
1231
1251

210
81
¥43

248
84
¥52

280
82
¥62

Program and Financing (in millions of dollars)

1290

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

248

280

300

Identification code 12–4158–0–3–351

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Direct loans ....................................................................
00.02 Payment of interest to Treasury ....................................

111
15

00.91
08.01
08.02

Obligations associated with loans ............................
Negative subsidies paid to receipt account .................
Downward reestimates paid to receipt accounts ..........

126
86
106
1 ................... ...................
4 ................... ...................

08.91

Other obligations by program activities ...................

10.00

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

74
12

93
13

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

5 ................... ...................
131

Balance Sheet (in millions of dollars)

106

Identification code 12–4158–0–3–351

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

2005 actual

22
105

19
188

4 ................... ...................
¥18
¥22
¥18
¥9 ................... ...................

23.90
23.95

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

153
¥131

105
¥86

189
¥106

24.40

Unobligated balance carried forward, end of year

ASSETS:
Federal assets:
1101 Fund balances with Treasury .....................................................
Investments in US securities:
1106 Receivables, net ...........................................................................
Net value of assets related to post–1991 direct loans receivable:
1401 Direct loans receivable, gross ....................................................
1402 Interest receivable ........................................................................
1405 Allowance for subsidy cost (–) ..................................................
1499

29
147

2006 actual

210
22
–21

248
25
–70

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

211

203

Total assets ..................................................................................
LIABILITIES:
Federal liabilities:
2103 Debt payable to Treasury ............................................................
2105 Other Federal Liabilities ..............................................................

290

345

286
4

344
1

2999

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

290

345

4999

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

290

345

New financing authority (gross), detail:
Mandatory:
67.10
Authority to borrow ....................................................
134
86
106
Spending authority from offsetting collections:
69.00
Payments from program account .........................
3 ...................
1
69.00
Principal ................................................................
52
52
62
69.00
Interest collections (cash) .................................... ...................
11
13
69.00
Interest on Uninvested Funds ...............................
7
6
6
69.47
Portion applied to repay debt ...............................
¥49
¥50 ...................
69.90

1999

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

70.00

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

147

105

188

APPLE LOANS PROGRAM ACCOUNT

72.40
73.10
73.20

47
131
¥102

72
86
¥84

74
106
¥99

The Agricultural Risk Protection Act of 2000 authorized
up to $5 million for the cost to provide loans to producers
of apples for economic losses as the result of low prices. Although the program is funded through CCC, program man-

FARM SERVICE AGENCY—Continued
Trust Funds

DEPARTMENT OF AGRICULTURE

agement is performed through farm loan programs. No further funding is requested for this program.
As required by the Federal Credit Reform Act of 1990,
this account records, for this program, the subsidy costs associated with the direct loans obligated in 1992 and beyond
(including modifications of direct loans or loan guarantees
that resulted from obligations or commitments in any year),
as well as administrative expenses of this program. The subsidy amounts are estimated on a present value basis; the
administrative expenses are estimated on a cash basis.

89.00
90.00

¥4 ................... ...................

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

Net financing authority and financing disbursements:
Financing authority ........................................................ ................... ................... ...................
Financing disbursements ...............................................
¥3 ................... ...................

Status of Direct Loans (in millions of dollars)
Identification code 12–4221–0–3–351

2006 actual

2007 est.

2008 est.

EMERGENCY BOLL WEEVIL LOAN PROGRAM ACCOUNT
Program and Financing (in millions of dollars)
2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.05 Upward reestimate .........................................................

3 ................... ...................

10.00

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

3 ................... ...................

22.00
23.95

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

3 ................... ...................
¥3 ................... ...................

Cumulative balance of direct loans outstanding:
1210 Outstanding, start of year .............................................

1290

Identification code 12–3303–0–1–351

88.90

109

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

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

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

3 ................... ...................

73.10
73.20

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

3 ................... ...................
¥3 ................... ...................

86.97

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

3 ................... ...................

Identification code 12–4221–0–3–351

2005 actual

10
–10

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

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

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

2999

89.00
90.00

1499

2006 actual

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

4999

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

1999
3 ................... ...................
3 ................... ...................

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

f
Identification code 12–3303–0–1–351

2006 actual

2007 est.

2008 est.

Trust Funds

Direct loan upward reestimates:
135001 Emergency boll weevil loans .........................................

3 ................... ...................

TOBACCO TRUST FUND

135999 Total upward reestimate budget authority ....................

3 ................... ...................

Special and Trust Fund Receipts (in millions of dollars)
Identification code 12–8161–0–7–351

2006 actual

2007 est.

2008 est.

01.99

Balance, start of year .................................................... ................... ................... ...................
Receipts:
02.60 Excise taxes for tobacco assessments, Tobacco trust
fund ...........................................................................
891
960
960

EMERGENCY BOLL WEEVIL DIRECT LOAN FINANCING ACCOUNT
Program and Financing (in millions of dollars)

04.00
Identification code 12–4221–0–3–351

2006 actual

2007 est.

Total: Balances and collections ....................................
Appropriations:
05.00 Tobacco trust fund ........................................................

2008 est.

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

1
5
5
4 ................... ...................

23.90

Total budgetary resources available for obligation

24.40

Unobligated balance carried forward, end of year

New financing authority (gross), detail:
Mandatory:
69.00
Spending authority from offsetting collections: Offsetting collections (cash) .....................................
Offsets:
Against gross financing authority and financing disbursements:
Offsetting collections (cash) from:
88.00
Federal sources .....................................................
88.45
Offsetting governmental collections (from nonFederal sources) ...............................................

07.99

891

960

¥891

¥960

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

Program and Financing (in millions of dollars)
Identification code 12–8161–0–7–351

2006 actual

2007 est.

2008 est.

09.01

¥3 ................... ...................
¥1 ................... ...................

891

960

10.00

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

891

960

22.00
23.95

4 ................... ...................

Obligations by program activity:
Tobacco buyout cost reimbursement to CCC ................

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

891
¥891

960
¥960

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

891

960

110

FARM SERVICE AGENCY—Continued
Trust Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008
23.90
23.95
23.98

Program and Financing (in millions of dollars)—Continued
Identification code 12–8161–0–7–351

2006 actual

2007 est.

Total budgetary resources available for obligation
Total new obligations ....................................................
Unobligated balance expiring or withdrawn .................

905
864
846
¥874
¥864
¥846
¥2 ................... ...................

24.40

TOBACCO TRUST FUND—Continued

Unobligated balance carried forward, end of year

29 ................... ...................

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
40.35
Appropriation permanently reduced ..........................
40.36
Unobligated balance permanently reduced ..............

840
791
802
¥8 ................... ...................
¥10 ................... ...................

2008 est.

73.10
73.20

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

891
¥891

960
¥960

86.97

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

891

960

89.00
90.00

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

891
891

960
960

43.00
58.00
58.10
58.90

791

802

¥20 ................... ...................
31

70.00

NATURAL RESOURCES CONSERVATION
SERVICE
Federal Funds
CONSERVATION OPERATIONS
For necessary expenses for carrying out the provisions of the Act
of April 27, 1935 (16 U.S.C. 590a–f), including preparation of conservation plans and establishment of measures to conserve soil and
water (including farm irrigation and land drainage and such special
measures for soil and water management as may be necessary to
prevent floods and the siltation of reservoirs and to control agricultural related pollutants); operation of conservation plant materials
centers; classification and mapping of soil; dissemination of information; acquisition of lands, water, and interests therein for use in the
plant materials program by donation, exchange, or purchase at a
nominal cost not to exceed $100 pursuant to the Act of August 3,
1956 (7 U.S.C. 428a); purchase and erection or alteration or improvement of permanent and temporary buildings; and operation and maintenance of aircraft, $801,825,000, to remain available until June 30,
2009, of which not less than $10,760,000 is for snow survey and
water forecasting, and not less than $10,858,000 is for operation and
establishment of the plant materials centers, and not less than
$10,000,000 shall be for the grazing lands conservation initiative:
Provided, That appropriations hereunder shall be available pursuant
to 7 U.S.C. 2250 for construction and improvement of buildings and
public improvements at plant materials centers, except that the cost
of alterations and improvements to other buildings and other public
improvements shall not exceed $250,000: Provided further, That when
buildings or other structures are erected on non-Federal land, that
the right to use such land is obtained as provided in 7 U.S.C. 2250a:
Provided further, That this appropriation shall be available for technical assistance and related expenses to carry out programs authorized
by section 202(c) of title II of the Colorado River Basin Salinity Control Act of 1974 (43 U.S.C. 1592(c)): Provided further, That qualified
local engineers may be temporarily employed at per diem rates to
perform the technical planning work of the Service. (7 U.S.C. 2201–
02; 16 U.S.C. 1101—5; 33 U.S.C. 7016–11.)
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

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

853

835

846

72.40
73.10
73.20
73.45
74.00

312
297
213
874
864
846
¥889
¥948
¥861
¥20 ................... ...................
20 ................... ...................

74.40

Obligated balance, end of year ................................

297

213

198

86.90
86.93

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

704
185

685
263

694
167

87.00

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

889

948

861

¥42
¥9

¥30
¥14

¥39
¥5

88.90

¥51

¥44

88.95

89.00
90.00

20 ................... ...................

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

822
838

2007 est.

2008 est.

00.01
00.02
00.03
00.04
09.00

Obligations by program activity:
Technical assistance .....................................................
Soil surveys ....................................................................
Snow survey and water forecasting ..............................
Plant materials centers .................................................
Reimbursable program ..................................................

727
88
11
11
37

708
89
11
12
44

689
91
11
11
44

10.00

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

874

864

846

21.40
22.00
22.10

32
853

29 ...................
835
846

20 ................... ...................

791
904

802
817

Technical assistance.—Technical assistance is provided
through 2,955 conservation districts or special districts to
land users and decisionmakers, including individual landowners and operators, community groups, units of government, Indian tribes, and others for the planning of conservation programs and installation of needed conservation systems
on the land, including design, layout, installation, and consultation services.
MAIN WORKLOAD FACTORS
2006 actual

Program and Financing (in millions of dollars)
2006 actual

822

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

Identification code 12–1000–0–1–302

Customers receiving technical assistance for planning & application, number ....................................................................
Conservation systems planned, acres ........................................
Cropland with conservation applied to improve soil quality,
acres .......................................................................................
Grazing and forest land with conservation applied to protect
and improve the resource base, acres ...................................

2007 est.

2008 est.

132,400
45.7

125,000
42.0

120,000
40.5

6.4

6.0

5.7

11.7

8.0

7.7

Inventory and monitoring, resource appraisal, and program
development activities are also funded through this account.
Resource inventories are conducted to provide soil, water, and
related resource data for evaluating land-use changes and
trends; and for guidance in the development and implementation of Federal, State, and local resource conservation programs. Resource appraisal and program development provides
periodic reports to the public and Congress as required by

NATURAL RESOURCES CONSERVATION SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE

the Soil and Water Resources Conservation Act of 1977 as
amended.
The 2008 Budget specifically targets invasive species conservation priorities by including $10 million for the Grazing
Lands Conservation Initiative. This funding will help ranchers and range managers fight and control priority invasive
species by funding a competitive grants program that funds
cooperative and cost-effective strategies to address invasive
species on private grazing lands.
Soil surveys.—Soil surveys and investigations are made on
the soil resources of the Nation’s private lands. NRCS provides this information as electronic and printed publications
for use by the American public and other Federal, State and
local agencies in making land-use decisions. NRCS uses the
information for program development, resource conservation
planning, and installation of planned practices. NRCS provides national leadership for the National Cooperative Soil
Survey and digitizing of soil surveys in cooperation with
States, and other users of soil survey data.
MAIN WORKLOAD FACTORS
2006 actual

Acres mapped annually (millions) .................................
New or updated Web Soil Surveys published, number

2007 est.

35.5
126

2008 est.

32.5
80

35.0
60

Snow survey and water supply forecasting.—Water supply
forecasts prepared from snow surveys in western states are
used in making efficient seasonal use of water for irrigation,
flood control, fish and wildlife, recreation, power generation,
municipal and industrial water supply, emergency management, and water quality management.
Operation of plant materials centers.—The selection, evaluation and release of plant materials are made at 27 plant
materials centers through field trials to determine their suitability for erosion control, water quality and quantity, range
and pasture management, biofuel and biomass, air quality,
wildlife management, and other environmental improvements.
Plant science technology is also documented in fact sheets,
technical notes, and the Field Office Technical Guide.
Object Classification (in millions of dollars)
Identification code 12–1000–0–1–302

11.1
11.3
11.5

2006 actual

FARM SECURITY

Identification code 12–1004–0–1–302

Obligations by program activity:
00.01 Wetlands Reserve program ............................................
00.02 Environmental Quality Incentives program ...................
00.03 Ground and Surface Water Conservation ......................
00.04 Klamath Basin ...............................................................
00.05 Wildlife Habitat Incentives program ..............................
00.06 Farm and Ranch Lands Protection program .................
00.07 Conservation Security program ......................................
00.08 Grassland Reserve program ..........................................
00.10 Agricultural Management Assistance program .............
09.00 Reimbursable program-CRP ..........................................
09.01 Reimbursable program—Other .....................................
10.00

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

22.00
23.95
23.98

408
7
5

395
7
5

428
119
13
5
22

420
116
13
5
22

407
113
12
4
20

24.0
25.2
26.0
31.0
42.0

Total personnel compensation ..............................
Civilian personnel benefits .......................................
Travel and transportation of persons .......................
Transportation of things ...........................................
Rental payments to others ........................................
Communications, utilities, and miscellaneous
charges .................................................................
Printing and reproduction .........................................
Other services ............................................................
Supplies and materials .............................................
Equipment .................................................................
Insurance claims and indemnities ...........................

13
3
203
13
17
1

13
3
198
13
16
1

12
2
184
12
35
1

99.0
99.0

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

837
37

820
44

99.9

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

874

864

846

Employment Summary
Identification code 12–1000–0–1–302

Direct:
Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................
1001

2006 actual

2007 est.

2008 est.

7,115

6,855

6,458

204

221

201

2007 est.

191
264
992
1,017
70
51
11
6
43
43
74
50
257
259
35
16
5
6
78
80
1 ...................
1,757

1,792

2008 est.

455
1,000
60
...................
...................
97
316
...................
...................
58
...................
1,986

1,848
1,792
1,986
¥1,757
¥1,792
¥1,986
¥91 ................... ...................

69.90

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

70.00

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

1,848

1,792

1,986

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) ................................................
72.40
73.10
73.20
73.40
74.00

86.90
86.93
86.97
86.98

802
44

11.9
12.1
21.0
22.0
23.2
23.3

2006 actual

New budget authority (gross), detail:
Discretionary:
40.35
Appropriation permanently reduced .......................... ...................
¥639
¥360
Mandatory:
62.00
Transferred from other accounts ..............................
1,768
2,351
2,288
Spending authority from offsetting collections:
69.00
Offsetting collections (cash) ................................
51
80
58
69.10
Change in uncollected customer payments from
Federal sources (unexpired) .............................
29 ................... ...................

2008 est.

416
7
5

RURAL INVESTMENT PROGRAMS

Program and Financing (in millions of dollars)

74.40
2007 est.

AND

111

87.00

Obligated balance, end of year ................................

2,702
2,706
2,945
1,757
1,792
1,986
¥1,591
¥1,553
¥1,506
¥161 ................... ...................
¥29 ................... ...................
28 ................... ...................
2,945

3,425

Outlays (gross), detail:
Outlays from new discretionary authority ..................... ...................
¥204
Outlays from discretionary balances ............................. ................... ...................
Outlays from new mandatory authority .........................
707
816
Outlays from mandatory balances ................................
884
941

¥115
¥153
785
989

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

2,706

1,591

1,553

1,506

¥78
¥80
¥58
¥1 ................... ...................

88.90

¥79

88.95
88.96

89.00
90.00

Total, offsetting collections (cash) .......................
Against gross budget authority only:
Change in uncollected customer payments from
Federal sources (unexpired) ..................................
Portion of offsetting collections (cash) credited to
expired accounts ...................................................
Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

¥80

¥58

¥29 ................... ...................
28 ................... ...................

1,768
1,512

1,712
1,473

1,928
1,448

The Farm Security and Rural Investment Act of 2002 (P.L.
107–171) reauthorizes a number of USDA’s conservation programs. NRCS is responsible for implementing many of these
programs. All of the assistance for programs where NRCS
is the lead implementation agency is transferred from the
Commodity Credit Corporation (CCC) to the Farm Security
and Rural Investment Programs account. This account funds

112

NATURAL RESOURCES CONSERVATION SERVICE—Continued
Federal Funds—Continued

FARM SECURITY

AND

RURAL INVESTMENT PROGRAMS—Continued

the cost-share, monitoring, easement, and other financial assistance activities associated with the programs under title
II of the 2002 Farm Bill. In addition, this account funds
the technical assistance costs necessary for delivering the Environmental Quality Incentives Program, Ground and Surface
Water Conservation, Klamath Basin, Wildlife Habitat Incentives Program, Farm and Ranch Land Protection Program,
Conservation Security Program, Grassland Reserve Program,
and Wetlands Reserve Program.
The following programs are funded in this account.
Wetlands Reserve Program (WRP) is authorized under Section 1237 of the Food Security Act of 1985, as amended.
The authority provides for a total acreage enrollment cap
of 2,275,000 acres. The purpose of the WRP is to preserve,
protect, and restore valuable wetlands. Because the program’s
authority to use CCC funds to enroll new contracts expires
at the end of 2007, the 2008 Budget includes a general provision to extend WRP’s authority to enroll acres through 2008.
USDA estimates that extending WRP’s enrollment authority
through 2008 will allow NRCS to reach the program’s total
acreage cap.
Environmental Quality Incentives Program (EQIP) was reauthorized in the Deficit Reduction Act of 2005. The purpose
of the program is to promote agricultural production and environmental quality as compatible national goals. The 2008
Budget proposes canceling mandatory funds in excess of $1
billion for this program in 2008.
Ground and Surface Water Program (GSW) is authorized
by Section 1240I of Title XII of the Food Security Act of
1985. Funding is authorized at $310 million over six years.
The purpose of the program is to promote ground and surface
water conservation by providing cost-share payments and incentive payments to producers to carry out eligible water
conservation activities. Authorization for mandatory funding
for this program expires at the end of 2007.
Klamath Basin is authorized by Section 1240I of Title XII
of the Food Security Act of 1985. Funding is authorized at
$50 million over 6 years. The purpose of the Klamath Basin
program is to carry out water conservation activities in the
Klamath Basin located in California and Oregon. This program will reach its authorized funding level by the end of
2007.
Farm and Ranch Lands Protection Program (FRPP). The
Farm Security and Rural Investment Act of 2002 repealed
the Farmland Protection Program authorized by the Federal
Agriculture Improvement and Reform Act of 1996 and authorized a new Farmland Protection Program. Funding is authorized at $597 million over 6 years. The purpose of the program
is to protect soil by limiting nonagricultural use of prime
and unique farm and ranch land. Authorization for mandatory
funding for this program expires at the end of 2007.
Wildlife Habitat Incentives Program (WHIP) is authorized
by Section 1240N of the Food Security Act of 1985. Funding
is authorized at $360 million over 6 years. The purpose of
the program is to develop habitat for upland wildlife, wetlands wildlife, threatened and endangered species, fish, and
other types of wildlife. Authorization for mandatory funding
for this program expires at the end of 2007.
Conservation Security Program (CSP) was reauthorized in
the Deficit Reduction Act of 2005. The purpose of the program
is to provide financial and technical assistance for the conservation, protection, and improvement of natural resources
on Tribal and private working lands. The program provides
assistance to producers who have already implemented high
levels of conservation in order to reward and maintain their
model stewardship. CSP also pays qualified producers to do
further environmental enhancements to improve natural resource conditions on their agricultural operations. The 2008
Budget proposes to both block spending authority in excess

THE BUDGET FOR FISCAL YEAR 2008

of $316.2 million in 2008 and to reduce the program’s tenyear (2006 through 2015) budget authority limit by $80 million.
Grassland Reserve Program (GRP) is authorized by Section
1238N of Title XII, of Food Security Act of 1985. Funding
is authorized at $254 million over 5 years. The purpose of
the program is to assist landowners in restoring and protecting grassland. This program will reach its authorized level
by the end of 2007.
Agricultural Management Assistance Program (AMA) is authorized by Section 211 of the Agriculture Risk Protection
Act of 2000. Subtitle F, Section 2501(l)(4)(ii) of the Farm
Security and Rural Investment Act of 2002 provides $20 million annually for financial assistance in 15 states, as determined by the Secretary, in which participation in the Federal
Crop Insurance Program is historically low. The program provides assistance to producers to mitigate financial risk by
using conservation measures to reduce soil erosion and improve water quality. The Budget proposes canceling funds
in the amount of $10 million in 2008.
NRCS works to deliver these conservation programs using
its technical field staff and by partnering with public and
private entities through the Technical Service Provider (TSP)
system. NRCS can contract with TSPs to help deliver the
Farm Bill programs, or agricultural producers may select
TSPs to help plan and implement conservation practices on
their operations.
Object Classification (in millions of dollars)
Identification code 12–1004–0–1–302

11.1
11.3
11.5
11.9
12.1
21.0
22.0
23.2
23.3

2006 actual

24.0
25.2
26.0
31.0
32.0
41.0

Total personnel compensation ..............................
Civilian personnel benefits .......................................
Travel and transportation of persons .......................
Transportation of things ...........................................
Rental payments to others ........................................
Communications, utilities, and miscellaneous
charges .................................................................
Printing and reproduction .........................................
Other services ............................................................
Supplies and materials .............................................
Equipment .................................................................
Land and structures ..................................................
Grants, subsidies, and contributions ........................

99.0
99.0
99.5

99.9

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

2007 est.

2008 est.

179
2
2

213
3
3

220
3
2

183
54
5
1
10

219
63
6
1
11

225
65
7
1
13

6
1
74
7
7
164
1,165

7
1
93
8
7
231
1,065

8
1
94
8
8
429
1,069

1,677
1,712
1,928
79
80
58
1 ................... ...................
1,757

1,792

1,986

Employment Summary
Identification code 12–1004–0–1–302

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................

2007 est.

2008 est.

3,055

3,571

3,307

755

691

478

WATERSHED SURVEYS

AND

PLANNING

Program and Financing (in millions of dollars)
Identification code 12–1066–0–1–301

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Watershed surveys and planning ..................................

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

10.00

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

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

NATURAL RESOURCES CONSERVATION SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE

22.00
23.95

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

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

22.10
6
¥6

6 ...................
¥6 ...................

3
6
¥7

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

2
2
6 ...................
¥6
¥1

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

24.40

Unobligated balance carried forward, end of year

323 ................... ...................

426
40 ...................
¥1 ................... ...................

43.00

425

40 ...................

28 ...................

58.00
58.10
5
2

5 ...................
1
1

87.00

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

89.00
90.00

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

6
7

6 ...................
6
1

58.90

2006 actual

2007 est.

2008 est.

5
1

5 ...................
1 ...................

99.9

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

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

Employment Summary
2006 actual

Direct:
Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................

2007 est.

2008 est.

43 ...................

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

WATERSHED

AND

FLOOD PREVENTION OPERATIONS

Program and Financing (in millions of dollars)
Identification code 12–1072–0–1–301

28 ...................

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

446

68 ...................

72.40
73.10
73.20
73.45
74.00

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Watershed operations (P.L. 534) ...................................
00.03 Emergency watershed protection operations .................
00.04 Small watershed operations (P.L. 566) .........................
09.01 Reimbursable program ..................................................

7
234
96
25

7
311
47
26

10.00

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

362

391 ...................

21.40
22.00

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

178
446

323 ...................
68 ...................

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

461
405
412
362
391 ...................
¥356
¥384
¥205
¥61 ................... ...................
¥1 ................... ...................

74.40

Obligated balance, end of year ................................

405

412

86.90
86.93

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

87
269

48 ...................
336
205

87.00

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

356

384

207

205

¥13
¥28 ...................
¥7 ................... ...................

88.90

¥20

3 ...................
1 ...................
1 ...................

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

1001

1 ................... ...................
21

88.95
3
1
1

99.0
99.5

Identification code 12–1066–0–1–301

391 ...................
¥391 ...................

70.00

Object Classification (in millions of dollars)

685
¥362

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

Under the authorities of Public Law 83–566, watershed
planning assistance is provided to States and communities
to address specific resource problems on a watershed scale.
The funds are used to cooperate with other agencies and
the States in providing local decision makers with resource
data, derived from cooperative river basin surveys and floodplain management studies, for use in decision making. Watershed plans are used to develop the small watershed projects.
Watershed work plans are prepared by sponsoring local
organizations with the Department’s assistance or through
State and local resources. The 2008 Budget does not request
funding for this program because the Budget is also not proposing to fund additional watershed operations projects.

11.1
12.1
25.2

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

23.90
23.95

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

Identification code 12–1066–0–1–301

Resources available from recoveries of prior year obligations .......................................................................

113

89.00
90.00

¥28 ...................

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

425
336

40 ...................
356
205

These programs provide for cooperative actions between the
Federal Government and States and their political subdivisions to reduce damage from floodwater, sediment, and erosion, for the conservation, development, utilization, and disposal of water, and for the conservation and proper utilization
of land. Funds in Watershed and Flood Prevention Operations
can be used for either flood prevention projects or flood damage rehabilitation efforts, depending upon the needs and opportunities. In order to improve the environmental and economic benefits of these projects, NRCS intends to focus on
developing and funding non-structural flood prevention measures.
Emergency watershed protection.—This program authorizes
the Secretary of Agriculture to undertake such emergency
measures for runoff retardation and soil erosion prevention
as may be needed to safeguard life and property from floods
and the products of erosion on any watershed whenever natural elements or forces cause a sudden impairment of that
watershed. An emergency is considered to exist when a watershed is suddenly impaired by flood, fire, wind, earthquake,
drought or other natural causes and consequently life and
property are endangered by floodwater, erosion, or sediment
discharge. The emergency area need not be declared a national disaster area to be eligible for emergency watershed
protection. Emergency watershed protection is applicable to

114

NATURAL RESOURCES CONSERVATION SERVICE—Continued
Federal Funds—Continued

WATERSHED

AND

THE BUDGET FOR FISCAL YEAR 2008

FLOOD PREVENTION OPERATIONS—Continued

small scale, localized disasters as well as large scale disasters.
State environmental, natural resource, fish and game, and
other agencies participate in planning and coordinating emergency work. Funding for the emergency watershed protection
program is typically provided through emergency supplemental appropriations.
Watershed operations authorized by Public Law 78–534.—
The Department cooperates with soil conservation districts
and other local organizations in planning and installing flood
prevention improvements in 11 watersheds authorized by the
Flood Control Act of 1944. The Federal Government shares
the cost of improvements for flood prevention, agricultural
water management, recreation, and fish and wildlife development.
Small watershed operations authorized by Public Law 83–
566.—The Department provides technical and financial assistance to local organizations to install measures for watershed
protection, flood prevention, agricultural water management,
recreation, and fish and wildlife enhancement. At least 60
percent of the funding provided is used for financial assistance.
Loans through the Agricultural Credit Insurance Fund have
been made in previous years to the local sponsors in order
to fund the local cost of Public Law 83–566 or 78–534 projects.
No funding for these loans is assumed in 2008.
The 2008 Budget does not request funding for the watershed operations programs and instead redirects their resources to other priority programs within the Agency.
The following tabulation shows the status of Public Law
83–566 projects:

Employment Summary
Identification code 12–1072–0–1–301

2006 actual

2007 est.

104
196
65

Subtotal active projects .................................................
Projects continuing post-installation assistance ...................
Inactive projects .....................................................................
Project life completed .............................................................
Deauthorized projects .............................................................

365
1006
187
41
157

362
1006
187
49
157

Total operational projects ..............................................
New projects approved during year ........................................

425

620 ...................

28 ...................

WATERSHED REHABILITATION PROGRAM
For necessary expenses to carry out rehabilitation of structural
measures, in accordance with section 14 of the Watershed Protection
and Flood Prevention Act (16 U.S.C. 1012), and in accordance with
the provisions of laws relating to the activities of the Department,
$5,807,000, to remain available until expended. (16 U.S.C. 1001 et
seq.)
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
Identification code 12–1002–0–1–301

2006 actual

2007 est.

2008 est.

00.01

Obligations by program activity:
Watershed rehabilitation program .................................

10.00

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

21.40
22.00
22.10

1
31

3 ...................
29
6

23.90
23.95

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

1 ................... ...................
33
¥30

32
¥32

6
¥6

3 ................... ...................

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
31
40.35
Appropriation permanently reduced .......................... ...................

29
6
¥65 ...................

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

43.00

¥36

1756

1761 ....................

58.90

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

100 ....................
197 ....................
65 ....................

58.00
58.10

62.00

2006 actual

Direct obligations:
Personnel compensation:
Full-time permanent .............................................
26
Other than full-time permanent ........................... ...................
Other personnel compensation .............................
3

2007 est.

2008 est.

38 ...................
1 ...................
7 ...................

29
7
3
1

46
11
4
2

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

25.2
25.2
26.0
31.0
41.0

Total personnel compensation ..............................
Civilian personnel benefits .......................................
Travel and transportation of persons .......................
Rental payments to others ........................................
Communications, utilities, and miscellaneous
charges .................................................................
Other services ............................................................
Other services ............................................................
Supplies and materials .............................................
Equipment .................................................................
Grants, subsidies, and contributions ........................

1
19
134
1
1
140

2
34
124
1
2
138

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

99.0
99.0
99.5

336
24
2

364 ...................
24 ...................
3 ...................

99.9

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

362

391 ...................

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

72.40
73.10
73.20
73.45
74.00

74.40

Obligated balance, end of year ................................

86.90
86.93
86.97
86.98
87.00

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

Spending authority from offsetting collections
(total discretionary) .......................................... ................... ................... ...................
Mandatory:
Transferred from other accounts .............................. ...................
65 ...................

70.00

Object Classification (in millions of dollars)

11.9
12.1
21.0
23.2
23.3

2008 est.

Status of operational projects:
Projects receiving land treatment ..........................................
Structural projects ..................................................................
Land treatment and structural ...............................................

11.1
11.3
11.5

2007 est.

24.40

MAIN WORKLOAD FACTORS

Identification code 12–1072–0–1–301

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................

40
48
58
30
32
6
¥22
¥22
¥21
¥1 ................... ...................
1 ................... ...................
48

Outlays (gross), detail:
Outlays from new discretionary authority .....................
10
¥11
2
Outlays from discretionary balances .............................
12
12
¥4
Outlays from new mandatory authority ......................... ...................
21 ...................
Outlays from mandatory balances ................................ ................... ...................
23
Total outlays (gross) .................................................

Offsets:
Against gross budget authority and outlays:
88.40
Offsetting collections (cash) from: Non-Federal
sources ..................................................................
Against gross budget authority only:
88.95
Change in uncollected customer payments from
Federal sources (unexpired) ..................................

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

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

NATURAL RESOURCES CONSERVATION SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
58.90
31
21

29
22

2007 est.

Direct obligations:
Personnel compensation: Full-time permanent .............
Civilian personnel benefits ............................................
Other services ................................................................
Other services ................................................................
Grants, subsidies, and contributions ............................

6
2
4
5
11

7
3
2
1
4
2
6 ...................
11 ...................

99.0
99.5

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

28
2

30
6
2 ...................

99.9

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

Employment Summary

1001

2006 actual

Direct:
Civilian full-time equivalent employment .....................

2007 est.

2008 est.

RESOURCE CONSERVATION

AND

DEVELOPMENT

For necessary expenses in planning and carrying out projects for
resource conservation and development and for sound land use pursuant to the provisions of sections 31 and 32 of the Bankhead-Jones
Farm Tenant Act (7 U.S.C. 1010–1011; 76 Stat. 607); the Act of
April 27, 1935 (16 U.S.C. 590a–f); and subtitle H of title XV of
the Agriculture and Food Act of 1981 (16 U.S.C. 3451–3461),
$14,653,000, to remain available until expended. (7 U.S.C. 2225.)
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
Identification code 12–1010–0–1–302

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.02 Technical assistance .....................................................
09.01 Reimbursable program ..................................................

51
1

52
1

15
1

10.00

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

21.40
22.00
22.10

1
51

1 ...................
52
16

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

23.90
23.95

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

24.40

Unobligated balance carried forward, end of year

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

51
51
15
¥1 ................... ...................

43.00
58.00
58.10

53
¥52

Appropriation (total discretionary) ........................
50
Spending authority from offsetting collections:
Offsetting collections (cash) ................................ ...................
Change in uncollected customer payments from
Federal sources (unexpired) .............................
1

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

72.40
73.10
73.20
73.45
74.00

10
9
6
52
53
16
¥51
¥57
¥18
¥1 ................... ...................
¥1

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

53
¥53

16
¥16

¥1 ...................

74.40

Obligated balance, end of year ................................

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

44
7

47
10

15
3

87.00

2008 est.

11.1
12.1
25.2
25.2
41.0

Identification code 12–1002–0–1–301

86.90
86.93

Object Classification (in millions of dollars)
2006 actual

6
21

Under the authorities of section 14 of the Watershed Protection and Flood Prevention Act assistance is provided to communities to address concerns about local aging dams. The
2008 Budget request will support rehabilitation of the highest
priority dam projects that have reached the end of their design life. NRCS may provide technical and financial assistance for the planning, design, and implementation of rehabilitation projects that may include upgrading or removing the
dams.

Identification code 12–1002–0–1–301

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

70.00

89.00
90.00

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

115

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

Offsets:
Against gross budget authority and outlays:
88.40
Offsetting collections (cash) from: Non-Federal
sources .................................................................. ...................
Against gross budget authority only:
88.95
Change in uncollected customer payments from
Federal sources (unexpired) ..................................
¥1

¥2

¥1

89.00
90.00

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

50
51

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

51
55

15
17

The Resource Conservation and Development (RC&D) Program was developed under the Soil Conservation and Domestic Allotment Act, (16 U.S.C 590a–590f), the Bankhead-Jones
Farm Tenant Act, (16 U.S.C. 1010 and 1011), and the Food
and Agricultural Act of 1962 (P.L. 87–703) and is authorized
under subtitle H, title XV of the Agricultural and Food Act
of 1981, (16 U.S.C. 3451–3461), as amended. The Food Security and Rural Investment Act of 2002 (2002 Act) permanently
authorized the program. The Natural Resources Conservation
Service (NRCS) administers the program. In 1981, sections
1528–1538 of the Agriculture and Food Act authorized a program to encourage and improve the capability of State and
local units of government and local nonprofit organizations
in rural areas to plan, develop, and implement programs for
resource conservation and development. Through the program, RC&D areas establish or improve coordination systems
in rural communities and build rural community leadership
skills to effectively use Federal, State and local programs
for the communities’ benefit. The 2002 Act further strengthened the relationship between the Department of Agriculture
(USDA) and the RC&D areas.
The NRCS provides program administration and assistance
to RC&D areas through volunteer non-profit RC&D Councils.
Other USDA agencies with conservation or development activities are involved in the development of program policy
and guidance and are members of the USDA RC&D Policy
Advisory Board and Working Group. These agencies provide
limited technical and financial assistance to RC&D Councils.
Councils also obtain the assistance from other local, State,
and Federal agencies, private organizations, and foundations
to carry out their specific projects.
The RC&D program provides assistance to local communities to develop strategic plans that address their locally
identified natural resource and economic development concerns.
The budget proposes to consolidate the RC&D Coordinator
functions at the State level, reducing the number of coordinator positions from 375 to about 50. Additionally, it will
support RC&D assistance as collateral duties for field staff.
The request would maintain the current number of authorized
RC&D areas nationwide without any increases, decreases,
substitutions, or consolidations. The responsibilities and duties of the RC&D Coordinator position would be modified

116

NATURAL RESOURCES CONSERVATION SERVICE—Continued
Federal Funds—Continued

RESOURCE CONSERVATION

AND

THE BUDGET FOR FISCAL YEAR 2008

MAIN WORKLOAD FACTORS
2006 actual

2007 est.

375
375
4,362
3,350

2008 est.

375
375
4,000
3,000

375
375
520
390

Object Classification (in millions of dollars)
Identification code 12–1010–0–1–302

11.1
11.3

2006 actual

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

2007 est.

¥2

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

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

2
2
¥2

2
2
¥3

86.90
86.93

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

1
1

1
2

87.00

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

89.00
90.00

to provide more programmatic oversight instead of handson day-to-day activities. RC&D Councils would be responsible
for operation of their non-profit corporations without an
NRCS employee being involved in day-to-day activities.
The program’s long-term goal is to improve the capability
of local communities to plan and deliver improvement
projects. This reduction in funding for the RC&D program
will require that coordinators’ activities be more focused on
multi-county/parish planning, intergovernmental relations,
serving as the Federal Government Representative on any
Federal contracts with RC&D Councils, and coordinating
USDA assistance available toward implementation of RC&D
Area Plans.
The following tabulation shows the status of RC&D areas
authorized to receive technical and financial assistance.

Areas funded at beginning of year .............................................
Areas funded at end of year .......................................................
Project plans adopted .................................................................
Projects completed ......................................................................

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

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

2
2

2
3

23.95

DEVELOPMENT—Continued

2008 est.

29
1

30
9
1 ...................

30
8
1
2

31
9
8
2
2
1
2 ...................

25.2
26.0
31.0

1
7
1
1

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

99.0
99.0

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

51
1

52
1

15
1

99.9

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

72.40
73.10
73.20
74.40

Obligated balance, end of year ................................

Title V of the Healthy Forests Restoration Act of 2003
(Public Law 108–148) authorizes the establishment of the
Healthy Forests Reserve Program (HFRP). The purpose of
this program is to assist landowners in restoring, enhancing
and protecting forest ecosystems to 1) promote the recovery
of threatened and endangered species, 2) improve biodiversity,
and 3) enhance carbon sequestration. HFRP supports the
NRCS mission goal of Healthy Plant and Animal Communities.
NRCS provides national leadership for the implementation
of this voluntary program. At the state level, the NRCS State
Conservationist determines how best to deliver HFRP and
implement national policies in an efficient manner based on
the national priorities identified in each sign-up announcement. Only privately held land is eligible for enrollment into
HFRP. Land enrolled in the HFRP must have a restoration
plan that includes practices necessary to restore and enhance
habitat for species listed as threatened or endangered or candidates for the threatened or endangered species list. Technical assistance will be provided by USDA to assist owners
in complying with the terms of restoration plans under the
HFRP.

11.9
12.1
21.0
23.2
23.3

Employment Summary
Identification code 12–1010–0–1–302

Identification code 12–1090–0–1–302
2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................

2007 est.

2008 est.

456

454

123

HEALTHY FORESTS RESERVE PROGRAM
For necessary expenses to carry out the Healthy Forests Reserve
Program authorized under Title V of Public Law 108–148 (16 U.S.C.
6571–6578), $2,476,000.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
2006 actual

2007 est.

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................

Identification code 12–1090–0–1–302

Employment Summary

2008 est.

2007 est.

2008 est.

GREAT PLAINS CONSERVATION PROGRAM

The 1996 Farm Bill combined the authority for this and
several other conservation programs into the Environmental
Quality Incentives Program. Prior-year account balances are
maintained in this account until expended.
This program provides cost-share assistance to participating
landowners or operators in the Great Plains area in the development and installation of long-term conservation plans and
practices for their land under contracts entered into in prior
years. It is a voluntary program in 556 designated counties
of 10 Great Plains States. Contracts with individual landowners range in time from 3 to 10 years.
MAIN WORKLOAD FACTORS
2006 actual

2007 est.

Obligations by program activity:
00.01 Healthy forests reserve program ...................................

10.00

Total new obligations (object class 32.0) ................

Program participants: .................................................................................... ...................... ....................
Number of contracts serviced during year ...............................................
31
—
Number of acres under contracts .............................................................
148,900
—

22.00

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

Co-landowners or operators finance the entire cost of installing recurring management-type practices and pay a speci-

NATURAL RESOURCES CONSERVATION SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE

fied part of the cost-shared practices installed on their land.
Program regulations provide that cost-share rates offered in
any contract cannot exceed 80 percent of the cost of installing
eligible practices within the designated county. There is a
cost-sharing limitation of $35,000 for any contract.

117

COLORADO RIVER BASIN SALINITY CONTROL PROGRAM
Program and Financing (in millions of dollars)
Identification code 12–3318–0–1–304

2006 actual

2007 est.

2008 est.

24.40

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

FORESTRY INCENTIVES PROGRAM
89.00
90.00

Program and Financing (in millions of dollars)
Identification code 12–3336–0–1–302

2006 actual

2007 est.

24.40

72.40
73.20
74.40

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

2
3
1 ...................

86.93

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

89.00
90.00

¥1 ...................

No funds are proposed for the Forestry Incentives Program
(FIP). The FIP was not reauthorized by the Farm Security
and Rural Investment Act of 2002 (P.L. 107–171). Prior-year
account balances are maintained in this account until expended.
FIP shares up to 65 percent of the cost of tree planting
and timber stand improvement. The percentage cost-shared
depends on the rate set in a particular State and county
by NRCS, after consulting with the State forester. The program is available in designated counties based on a Forest
Service survey of total eligible private timberland available
for production of timber products. Technical assistance is provided by the Forest Service.

Program and Financing (in millions of dollars)

WETLANDS RESERVE PROGRAM
Program and Financing (in millions of dollars)
Identification code 12–1080–0–1–302

2006 actual

2007 est.

2008 est.

2006 actual

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

24.40

Unobligated balance carried forward, end of year

Change in obligated balances:
Obligated balance, start of year ...................................

Obligated balance, end of year ................................

89.00
90.00
2007 est.

2008 est.

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

24.40

89.00
90.00

74.40

WATER BANK PROGRAM

Unobligated balance carried forward, end of year

The Colorado River Basin Salinity Control Program
(CRBSC), was authorized under section 202(c) of Title II of
the Colorado River Basin Salinity Control Act, as amended
by section 334, subtitle D, Title III of the Federal Agriculture
Improvement Act (FAIR Act) of 1996. The FAIR Act combined
the authorities of the Agricultural Conservation Program
(ACP), Water Quality Incentive Program (WQIP), Great
Plains Conservation Program (GPCP), and the Colorado River
Basin Salinity Control Program (CRBSC), into the Environmental Quality Incentives Program (EQIP). The FAIR Act
also repealed CRBSC authority, while maintaining program
account balances until expended.
Beginning in 1996, EQIP was implemented on an interim
program level for CRBSC. Program funding provided costshare assistance to landowners and others in the Colorado
River Basin States to include: Colorado, Utah and Wyoming.
The program’s main objective is to enhance the supply and
quality of water in the Colorado River for delivery to downstream users in the U.S. and Mexico.

72.40

Identification code 12–3320–0–1–302

2008 est.

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

Unobligated balance carried forward, end of year

The 2002 Farm Bill reauthorized WRP through 2007. Funding for WRP is now provided through NRCS’ Farm Security
and Rural Investment Account.
Information displayed in this section represents unobligated
balances from the non-CCC account in which WRP was funded prior to the 1996 Farm Bill.
f

The objectives of the Water Bank Program are to conserve
water; preserve, maintain, and improve the Nation’s wetlands;
increase waterfowl habitat in migratory waterfowl nesting,
breeding, and feeding areas in the United States; and secure
recreational and environmental benefits for the Nation. The
program was authorized by the Water Bank Act of 1970,
as amended by Public Law 96–182, approved January 2, 1980.
Funding for the expiring 1985 Water Bank agreements were
transferred from the Wetlands Reserve Program 1995 appropriation to this account as authorized under the Water Bank
Extension Act of 1994. The 2008 Budget does not request
program funding.

WILDLIFE HABITAT INCENTIVES PROGRAM
Program and Financing (in millions of dollars)
Identification code 12–3322–0–1–302

Budgetary resources available for obligation:
21.40 Unobligated balance carried forward, start of year
22.10 Resources available from recoveries of prior year obligations .......................................................................

2006 actual

2007 est.

2008 est.

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

23.90

Total budgetary resources available for obligation

24.40

Unobligated balance carried forward, end of year

118

NATURAL RESOURCES CONSERVATION SERVICE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008
235999 Total upward reestimate budget authority ....................
Guaranteed loan downward reestimates:
237001 Agricultural resource conservation demo ......................

Program and Financing (in millions of dollars)—Continued
Identification code 12–3322–0–1–302

2006 actual

2007 est.

2008 est.

72.40
73.20
73.45

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

74.40

Obligated balance, end of year ................................

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

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

86.98

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

237999 Total downward reestimate subsidy budget authority

WILDLIFE HABITAT INCENTIVES PROGRAM—Continued

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

13
10
8
¥1
¥2
¥3
¥2 ................... ...................

AGRICULTURAL RESOURCE CONSERVATION DEMONSTRATION
GUARANTEED LOAN FINANCING ACCOUNT
Program and Financing (in millions of dollars)
Identification code 12–4177–0–3–351

2006 actual

2007 est.

2008 est.

AGRICULTURAL RESOURCE CONSERVATION DEMONSTRATION PROGRAM
ACCOUNT
Program and Financing (in millions of dollars)
Identification code 12–2086–0–1–351

2006 actual

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

10.00

Section 1240N of the Food Security Act of 1985, as amended
by Section 2502 of the Farm Security and Rural Investment
Act of 2002 (2002 Farm Bill), authorized the Wildlife Habitat
Incentives Program (WHIP) as a voluntary approach to improving wildlife habitat in our nation. The Natural Resources
Conservation Service (NRCS) provides program administration for WHIP.
WHIP is a voluntary program that provides assistance to
eligible participants to develop upland wildlife, wetland wildlife, threatened and endangered species, fish and other types
of wildlife habitat in an environmentally beneficial and cost
effective manner. The purpose of the program is to create
high-quality wildlife habitats that support wildlife populations
of local, state, and national significance.
The 2002 Farm Bill reauthorized WHIP through 2007.
Funding for WHIP is now provided through NRCS’s Farm
Security and Rural Investment Account. Information displayed in this section represents unobligated balances remaining from the 1996 Farm Bill only.

Obligations by program activity:
08.02 Downward reestimate payment to receipt account .......
Total new obligations ................................................

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

21.40
22.00
22.60

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

23.90
23.95

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

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

24.40

New financing authority (gross), detail:
Mandatory:
69.00
Spending authority from offsetting collections: Offsetting collections (cash) .....................................

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

73.10
73.20

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

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

87.00

Outlays (gross), detail:
Total financing disbursements (gross) .........................

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

Offsets:
Against gross financing authority and financing disbursements:
88.00
Offsetting collections (cash) from: Federal sources

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

89.00
90.00
2007 est.

2008 est.

00.07

Obligations by program activity:
Reestimate of loan guarantee subsidy .........................

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

10.00

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

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

22.00
23.95

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

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

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

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

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

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

73.10
73.20

Unobligated balance carried forward, end of year ................... ................... ...................

This program, also known as ‘‘Farms for the Future,’’ provides guarantees and interest assistance on loans made to
State trust funds, who in turn finance acquisitions to preserve
farmland in selected states. No guarantees have been made
since 1993.
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 guaranteed loans committed
in 1992 and beyond. The amounts in this account are a means
of financing and are not included in the budget totals.
Balance Sheet (in millions of dollars)
Identification code 12–4177–0–3–351

Outlays (gross), detail:
86.97 Outlays from new mandatory authority .........................
Net budget authority and outlays:
89.00 Budget authority ............................................................
90.00 Outlays ...........................................................................

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

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

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
Identification code 12–2086–0–1–351

Guaranteed loan upward reestimates:
235001 Agricultural resource conservation demo ......................

2006 actual

2007 est.

2008 est.

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

2005 actual

2006 actual

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

1999

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

1
1

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

2999

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

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

4999

Negative subsidy BA total [12–2086] .......................................

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

RURAL DEVELOPMENT
Federal Funds

DEPARTMENT OF AGRICULTURE

Trust Funds
MISCELLANEOUS CONTRIBUTED FUNDS
Special and Trust Fund Receipts (in millions of dollars)
Identification code 12–8210–0–7–302

01.00

2006 actual

2007 est.

2008 est.

Balance, start of year ....................................................

Balance, start of year ....................................................
Receipts:
02.20 Miscellaneous contributed funds ...................................

04.00

01.99

Total: Balances and collections ....................................
Appropriations:
05.00 National Agricultural Statistics Service ........................
05.01 Miscellaneous contributed funds ...................................

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

05.99

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

¥2 ................... ...................

07.99

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

2006 actual

$208,194,000: Provided, That notwithstanding any other provision of
law, funds appropriated under this section may be used for advertising and promotional activities that support the Rural Development
mission area: Provided further, That not more than $10,000 may
be expended to provide modest nonmonetary awards to non-USDA
employees: Provided further, That any balances available from prior
years for the Rural Utilities Service, Rural Housing Service, and the
Rural Business-Cooperative Service salaries and expenses accounts
shall be transferred to and merged with this appropriation.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
Identification code 12–0403–0–1–452

2006 actual

2007 est.

2008 est.

2007 est.

2008 est.

Obligations by program activity:
00.01 Salaries and expenses ...................................................
09.01 Reimbursable program ..................................................

166
503

157
453

208
476

10.00

Program and Financing (in millions of dollars)
Identification code 12–8210–0–7–302

119

669

610

684

21.40
22.00

Obligations by program activity:
00.01 Miscellaneous contributed funds ...................................
Total new obligations (object class 25.2) ................

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

21.40
22.00

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

4
3
3
1 ................... ...................

23.90
23.95

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

5
3
3
¥2 ................... ...................

24.40

Unobligated balance carried forward, end of year

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year ...................
New budget authority (gross) ........................................
678

6 ...................
610
684

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

10.00

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

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

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

Change in obligated balances:
72.40 Obligated balance, start of year ...................................
1
3
1
73.10 Total new obligations ....................................................
2 ................... ...................
73.20 Total outlays (gross) ...................................................... ...................
¥2 ...................
74.40

Obligated balance, end of year ................................

Outlays (gross), detail:
86.98 Outlays from mandatory balances ................................ ...................

89.00
90.00

24.40

Unobligated balance carried forward, end of year

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

166
157
208
¥2 ................... ...................
164

157

208

513

453

476

58.00
58.10

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

Funds received from State and local organizations, and others are available for work under cooperative agreements for
soil survey, watershed protection, and resource conservation
and development activities.

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................

2007 est.

2008 est.

RURAL DEVELOPMENT

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

58.90

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

514

453

476

70.00

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

678

610

684

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) ................................................
72.40
73.10
73.20
73.40
74.00

132
118
135
669
610
684
¥670
¥593
¥675
¥14 ................... ...................
¥1 ................... ...................
2 ................... ...................

74.40

Obligated balance, end of year ................................

118

135

144

86.90
86.93

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

588
82

518
75

582
93

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

670

593

675

¥514

¥453

¥476

Federal Funds
AND

616
684
¥610
¥684
¥6 ...................

87.00

Employment Summary

SALARIES

678
¥669
¥3

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

Identification code 12–8210–0–7–302

Total budgetary resources available for obligation
Total new obligations ....................................................
Unobligated balance expiring or withdrawn .................

43.00

23.90
23.95
23.98

EXPENSES

(INCLUDING TRANSFERS OF FUNDS)

For necessary expenses for carrying out the administration and implementation of programs in the Rural Development mission area,
including activities with institutions concerning the development and
operation of agricultural cooperatives; and for cooperative agreements;

89.00
90.00

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

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

164
156

157
140

208
199

Since 2001, Rural Development has had a consolidated Salaries and Expenses account to administer all Rural Development programs, including programs administered by the

120

RURAL DEVELOPMENT—Continued
Federal Funds—Continued

SALARIES

AND

THE BUDGET FOR FISCAL YEAR 2008

EXPENSES—Continued

(INCLUDING TRANSFERS OF FUNDS)—Continued

Rural Utilities Service (RUS), the Rural Housing Service
(RHS), and the Rural Business-Cooperative Service (RBS).
RUS provides grants, direct loans and loan guarantees to
suppliers of electric, telecommunications (for general purpose
and for distance learning/telemedicine), and water and wastewater services in rural areas. Through the water and wastewater program, RUS also provides technical assistance. Most
of the programs are administered in Washington, DC. The
Rural Development field office staff performs the services related to the water and wastewater grant and loan programs.
For the electric and telecommunication loans, general field
representatives visit borrowers periodically and maintain liaisons between the borrowers and headquarters.
RHS was formed from the Rural Housing section of the
Farmers Home Administration and the Community Facilities
Division of the Rural Development Administration. RHS delivers rural housing and community facility programs through
a system of State, area, and local offices.
RBS includes programs from the former Rural Development
Administration, rural development programs and from the
former Rural Electrification Administration. This agency delivers loan and grant programs, as well as technical assistance, to cooperatives and rural businesses.
Object Classification (in millions of dollars)
Identification code 12–0403–0–1–452

11.1
11.3
11.5
11.9
12.1
21.0
23.1
23.2
23.3

00.14
00.15
00.16
00.18
00.20
00.21
00.26

Reestimates of Guaranteed Loan Subsidy ....................
Interest on Reestimate of Guaranteed Loan Subsidy
Water and waste disposal systems grants ...................
Water and waste disposal systems emergency supplemental grants ............................................................
Emergency and imminent community water assistance
grants ........................................................................
Solid waste management grants ..................................
Community facility grants .............................................
Community facility emergency supplemental grants
Economic impact initiative grants ................................
Rural business enterprise grants ..................................
Rural business opportunity grants ................................
Rural Community Development Initiative Grants ..........

10.00

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

21.40
22.00
22.10

00.13

74 ................... ...................
14 ................... ...................
437
464 ...................
26

30 ...................

7
3
26
3
18
44
3
8

14
4
25
19
19
42
3
15

775 ...................

60
834

146 ...................
629 ...................

39 ................... ...................

23.90
23.95

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

24.40

Unobligated balance carried forward, end of year

146 ................... ...................

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
40.35
Appropriation permanently reduced ..........................
41.00
Transferred to other accounts ...................................

776
655 ...................
¥7 ................... ...................
¥26
¥26 ...................

43.00
2007 est.

933
¥787

96
1
1

126
2
1

98
98
26
26
4
4
5
6
1 ...................

129
33
4
8
2

25.4
25.5
25.7
26.0
31.0

Total personnel compensation ..............................
Civilian personnel benefits .......................................
Travel and transportation of persons .......................
Rental payments to GSA ...........................................
Rental payments to others ........................................
Communications, utilities, and miscellaneous
charges .................................................................
Printing and reproduction .........................................
Other services ............................................................
Other purchases of goods and services from Government accounts .................................................
Operation and maintenance of facilities ..................
Research and development contracts .......................
Operation and maintenance of equipment ...............
Supplies and materials .............................................
Equipment .................................................................

99.0
99.0

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

166
503

157
453

208
476

99.9

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

669

610

Appropriation (total discretionary) ........................
Mandatory:
Appropriation .............................................................

743

60.00

2008 est.

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

787

70.00

2006 actual

00.07
00.08
00.11
00.12

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

834

72.40
73.10
73.20
73.31
73.45

775 ...................
¥775 ...................

629 ...................

91 ................... ...................
629 ...................

Change in obligated balances:
Obligated balance, start of year ...................................
2,519
2,390
2,340
Total new obligations ....................................................
787
775 ...................
Total outlays (gross) ......................................................
¥877
¥825 ...................
Obligated balance transferred to other accounts ......... ................... ...................
¥2,340
Recoveries of prior year obligations ..............................
¥39 ................... ...................

684

24.0
25.2
25.3

1
1
14

1
1
7

2
2
10

1
1
6
4
2
2

1
4
6
1
1
1

2
6
6
2
1
1

74.40

Obligated balance, end of year ................................

86.90
86.93
86.97

87.00

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

877

825 ...................

89.00
90.00

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

834
877

629 ...................
825 ...................

Identification code 12–0403–0–1–452

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................

2007 est.

1,520

1,490

1,512

4,955

4,810

4,788

RURAL COMMUNITY ADVANCEMENT PROGRAM
Program and Financing (in millions of dollars)

00.01
00.02
00.05
00.06

Obligations by program activity:
Direct loan subsidy ........................................................
Guaranteed loan subsidy ...............................................
Reestimate of Direct Loan Subsidy ...............................
Interest on Reestimates of Direct Loan Subsidy ...........

2006 actual

2007 est.

67
45
¥159
719
780
159
91 ................... ...................

Direct loan levels supportable by subsidy budget authority:
115001 Direct water and waste disposal ..................................
115002 Direct community facility ...............................................

2006 actual

2007 est.

2008 est.

83
91 ...................
38
49 ...................
2 ................... ...................
1 ................... ...................

1,008
398

737 ...................
272 ...................

115999 Total direct loan levels ..................................................
Direct loan subsidy (in percent):
132001 Direct water and waste disposal ..................................
132002 Direct community facility ...............................................

1,406

1,009 ...................

6.91
3.35

9.96 ...................
6.41 ...................

132999 Weighted average subsidy rate .....................................
Direct loan subsidy budget authority:
133001 Direct water and waste disposal ..................................
133002 Direct community facility ...............................................

2008 est.

Identification code 12–0400–0–1–452

2,340 ...................

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
Identification code 12–0400–0–1–452

Employment Summary

2,390

5.90

9.00 ...................

70
13

73 ...................
17 ...................

133999 Total subsidy budget authority ......................................
Direct loan subsidy outlays:
134001 Direct water and waste disposal ..................................
134002 Direct community facility ...............................................

90 ...................

51
13

84 ...................
18 ...................

102 ...................

134999 Total subsidy outlays .....................................................
Direct loan upward reestimates:

RURAL HOUSING SERVICE
Federal Funds

DEPARTMENT OF AGRICULTURE

121

135001 Direct water and waste disposal ..................................
135002 Direct community facility ...............................................

2 ................... ...................
1 ................... ...................

24.40

Unobligated balance carried forward, end of year ................... ................... ...................

135999 Total upward reestimate budget authority ....................
Direct loan downward reestimates:
137001 Direct water and waste disposal ..................................
137002 Direct community facility ...............................................

3 ................... ...................
¥78 ................... ...................
¥24 ................... ...................

89.00
90.00

137999 Total downward reestimate budget authority ...............

¥102 ................... ...................

Guaranteed loan levels supportable by subsidy budget
authority:
215001 Waste and waste disposal loan guarantees .................
215002 Community facility loan guarantees .............................
215003 Business and industry loan guarantees .......................
215999 Total loan guarantee levels ...........................................
Guaranteed loan subsidy (in percent):
232001 Waste and waste disposal loan guarantees .................
232002 Community facility loan guarantees .............................
232003 Business and industry loan guarantees .......................

3
164
766

75 ...................
20 ...................
1,102 ...................

933

The Northern Great Plains Regional Authority was established under section 6028 of the Farm Security and Rural
Investment Act of 2002 Public Law 107–171. This account
is for the Federal share of the administrative expenses associated with the Northern Great Plains Regional Authority.

1,197 ...................

¥0.90
0.36
4.79

¥0.90
3.66
4.36
4.02

0.00

RURAL HOUSING SERVICE

0.00
0.00
0.00

232999 Weighted average subsidy rate .....................................
3.99
Guaranteed loan subsidy budget authority:
233001 Waste and waste disposal loan guarantees ................. ...................
233002 Community facility loan guarantees .............................
1
233003 Business and industry loan guarantees .......................
37

¥1 ...................
1 ...................
48 ...................

233999 Total subsidy budget authority ......................................
Guaranteed loan subsidy outlays:
234003 Business and industry loan guarantees .......................

48 ...................

34 ...................

234999 Total subsidy outlays .....................................................
Guaranteed loan upward reestimates:
235002 Community facility loan guarantees .............................
235003 Business and industry loan guarantees .......................

34 ...................

235999 Total upward reestimate budget authority ....................
Guaranteed loan downward reestimates:
237003 Business and industry loan guarantees .......................

87 ................... ...................
¥14 ................... ...................

237999 Total downward reestimate subsidy budget authority

¥14 ................... ...................

28 ................... ...................
59 ................... ...................

Federal Funds
RURAL HOUSING ASSISTANCE GRANTS
For grants and contracts for very low-income housing repair, supervisory and technical assistance, compensation for construction defects,
and rural housing preservation made by the Rural Housing Service,
as authorized by 42 U.S.C. 1474, 1479(c), 1490e, and 1490m,
$39,000,000, to remain available until expended: Provided, That of
the total amount appropriated, $1,188,000 shall be available through
June 30, 2008, for authorized empowerment zones and enterprise communities and communities designated by the Secretary of Agriculture
as Rural Economic Area Partnership Zones: Provided further, That
any balances to carry out a housing demonstration program to provide
revolving loans for the preservation of low-income multi-family housing projects as authorized in Public Law 108–447 and Public Law
109–97 shall be transferred to and merged with ‘‘Rural Housing Service, Multifamily Housing Revitalization Program Account’’.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)

This account consolidates under the Rural Community Advancement Program (RCAP) funding for the direct and guaranteed water and waste disposal loans, water and waste disposal grants, emergency community water assistance grants,
solid waste management grants, direct and guaranteed community facility loans, community facility grants, direct and
guaranteed business and industry loans, rural business enterprise grants, and rural business opportunity grants. This is
in accordance with the provisions set forth in the Federal
Agriculture Improvement and Reform Act of 1996, as amended, Public Law 104–127 (the 1996 Act).
RCAP is composed of the following three funding streams:
Rural Community Facilities, Rural Utilities, and Rural Business. Funds for Native American Communities are provided
as part of the whole amount appropriated for these streams,
but are earmarked to the Rural Utilities funding streams.
For 2008, funding for the three streams will no longer be
combined in RCAP. Instead, each stream will be funded separately, with separate appropriations language. The new accounts and appropriations language appear in each stream’s
respective Service. The Water and Wastewater funding
stream is in the Rural Utilities Service, the Community Facilities funding stream is in the Rural Housing Service, and
the Business stream is in the Rural Business Service. Specific
descriptions of each program funded in the streams appear
with new accounts.

Identification code 12–1953–0–1–604

Obligations by program activity:
Multi-Family Housing Preservation Demo Revolving
Fund Direct Subsidy ..................................................
2
4
00.11 Farm Labor Grants Natural Disaster ............................. ...................
1
00.12 Very Low-Income Housing Repair Grants ......................
30
28
00.13 Very Low-Income Housing Repair Natural Disaster
Grants ........................................................................
1
7
00.14 Supervisory and Technical Assistance Grants ..............
1
1
00.15 Processing Workers Housing Grants ..............................
1
7
00.16 Rural Housing Preservation Grants ...............................
10
9
00.17 Domestic Farm Labor Housing Grants 2005 Hurricanes
Emer Supp. ................................................................
16 ...................

Program and Financing (in millions of dollars)

21.40
23.98

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
Unobligated balance expiring or withdrawn .................

2007 est.

2008 est.

10.00

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

21.40
22.00
22.10

23.90
23.95

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

24.40

Unobligated balance carried forward, end of year

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

...................
...................
30
...................
...................
...................
9
...................

12
64

16 ...................
41
39

1 ................... ...................
77
¥61

57
¥57

39
¥39

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

72.40
73.10
73.20
73.45

NORTHERN GREAT PLAINS REGIONAL AUTHORITY

2006 actual

2007 est.

00.01

Identification code 12–0404–0–1–452

2006 actual

2008 est.

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

74.40

Obligated balance, end of year ................................

86.90
86.93

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

41
15

25
24

27
24

35
39
47
61
57
39
¥56
¥49
¥51
¥1 ................... ...................

122

RURAL HOUSING SERVICE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008

RURAL HOUSING ASSISTANCE GRANTS—Continued

MULTIFAMILY HOUSING REVITALIZATION DIRECT LOAN FINANCING
ACCOUNT

Program and Financing (in millions of dollars)—Continued

Program and Financing (in millions of dollars)
Identification code 12–1953–0–1–604

2006 actual

2007 est.

2008 est.
Identification code 12–4269–0–3–604

87.00

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

64
56

41
49

Direct loan levels supportable by subsidy budget authority:
115001 Multi-family housing revitalization ................................

2006 actual

2007 est.

2008 est.

11 ...................
40 ...................

10.00

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

51 ...................

Budgetary resources available for obligation:
New financing authority (gross) ....................................
Balance of authority to borrow withdrawn ....................

23.90
23.95

2008 est.

10
48

22.00
22.70

39
51

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
Identification code 12–1953–0–1–604

2006 actual

Obligations by program activity:
00.01 Direct loan obligations ..................................................
08.03 Adjusting payments to liquidating accounts ................

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

24.40
4

8 ...................

46.76

47.82 ...................

46.76

47.82 ...................

4 ...................

133999 Total subsidy budget authority ......................................
2
Direct loan subsidy outlays:
134001 Multi-family housing revitalization ................................ ...................

51
3
¥51 ...................

Unobligated balance carried forward, end of year ................... ...................

134999 Total subsidy outlays ..................................................... ...................

58
¥58

4 ...................
3

59
51
3
¥1 ................... ...................

115999 Total direct loan levels ..................................................
Direct loan subsidy (in percent):
132001 Multi-family housing revitalization ................................
132999 Weighted average subsidy rate .....................................
Direct loan subsidy budget authority:
133001 Multi-family housing revitalization ................................

New financing authority (gross), detail:
Mandatory:
67.10
Authority to borrow ....................................................
45
Spending authority from offsetting collections:
69.00
Offsetting collections (cash) ................................ ...................
69.10
Change in uncollected customer payments from
Federal sources (unexpired) .............................
14

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

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

70.00

The rural housing for domestic farm labor grant program
is authorized under section 516 of the Housing Act of 1949.
The very low-income housing repair grant program is authorized under section 504 of the Housing Act of 1949, as amended. This grant program enables very low-income elderly residents in rural areas to improve or modernize their dwellings,
to make the dwelling safer or more sanitary, or to remove
health and safety hazards. The Budget provides $30 million
for this program in 2008.
The supervisory and technical assistance grant program is
carried out under the provisions of section 509(f) and 525
of the Housing Act of 1949, as amended. Under section 509,
grants are made to public and private nonprofit organizations
for packaging loan applications for housing under sections
502, 504, 514/516, 515, and 533 of the Housing Act of 1949,
as amended. The assistance is to be directed to underserved
areas where at least 20 percent or more of the population
is at or below the poverty level, and at least 10 percent
or more of the population resides in substandard housing.
Under section 525, grants are made to public and private
nonprofit organizations and other associations for the developing, conducting, administering or coordinating of technical
and supervisory assistance programs to demonstrate the benefits of Federal, State, and local housing programs for lowincome families in rural areas. Funding for this activity
should be through the use of carryover balances or redirection
of funding from housing preservation or housing repair grants
since no allocation of funds are provided specifically for this
activity in 2008.
The rural housing preservation grant program is authorized
under section 533 of the Housing Act of 1949, as amended.
Grants are made to eligible nonprofit groups, Indian tribes,
or government agencies for rehabilitation of single family
housing owned by low- and very low-income families and the
rehabilitation of rental and cooperative housing for low- and
very low-income families. $9 million is provided for this program in 2008.

69.90

45 ...................

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

72.40
73.10
73.20
74.00

Change in obligated balances:
Obligated balance, start of year ...................................
Total new obligations ....................................................
Total financing disbursements (gross) .........................
Change in uncollected customer payments from Federal sources (unexpired) ............................................

3
58
¥1

46
90
51 ...................
¥6 ...................

¥14

¥1 ...................

74.40

Obligated balance, end of year ................................

87.00

Outlays (gross), detail:
Total financing disbursements (gross) .........................

Offsets:
Against gross financing authority and financing disbursements:
88.00
Offsetting collections (cash) from: Federal sources ...................
Against gross financing authority only:
88.95
Change in receivables from program accounts .......
¥14

89.00
90.00

Net financing authority and financing disbursements:
Financing authority ........................................................
45
Financing disbursements ............................................... ...................

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

¥5

¥3

¥1 ...................

45 ...................
1
¥3

Status of Direct Loans (in millions of dollars)
Identification code 12–4269–0–3–604

2006 actual

2007 est.

2008 est.

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

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

Cumulative balance of direct loans outstanding:
Outstanding, start of year ............................................. ...................
1
91
Disbursements:
1231
Direct loan disbursements ........................................ ...................
3 ...................
1233
Purchase of loans assets from a liquidating account .....................................................................
1
87 ...................
1251 Repayments: Repayments and prepayments ................. ................... ................... ...................
1210

1290

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

FARM LABOR PROGRAM ACCOUNT
For the cost of direct loans, grants, and contracts, as authorized
by 42 U.S.C. 1484 and 1486, $9,849,000, to remain available until

RURAL HOUSING SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
expended, for direct farm labor housing loans and domestic farm
labor housing grants and contracts.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
Identification code 12–1954–0–1–604

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Direct loan subsidy ........................................................
00.11 Farm labor housing grants ............................................

9
26

5
26

6
4

10.00

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

Budgetary resources available for obligation:
21.40 Unobligated balance carried forward, start of year ...................
4 ...................
22.00 New budget authority (gross) ........................................
31
27
10
22.10 Resources available from recoveries of prior year obligations .......................................................................
8 ................... ...................
23.90
23.95

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

24.40

Unobligated balance carried forward, end of year

39
¥35

31
¥31

10
¥10

Program and Financing (in millions of dollars)
Identification code 12–0137–0–1–604

2006 actual

2007 est.

2008 est.

129
141
141
35
31
10
¥15
¥31
¥38
¥8 ................... ...................
141

141

113

86.93

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

89.00
90.00

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

31
15

27
31

10
38

2007 est.

Obligations by program activity:
Rental assistance program ...........................................

647

335

567

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

647

335

567

22.00
23.95

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

647
¥647

335
¥335

567
¥567

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
708
335
567
40.00
Appropriation ............................................................. ...................
56
56
40.35
Appropriation permanently reduced ..........................
¥6 ................... ...................
40.47
Portion applied to repay debt ................................... ...................
¥56
¥56
40.53
Portion substituted for borrowing authority ..............
¥55 ................... ...................
Appropriation (total discretionary) ........................

647

335

567

Change in obligated balances:
Unpaid obligations, appropriation, start of year ..........
Total new obligations ....................................................
Total outlays (gross) ......................................................

2,363
647
¥857

2,153
335
¥1,069

1,419
567
¥1,120

74.40

2008 est.

43.00

72.40
73.10
73.20

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
2006 actual

00.01

Obligated balance, end of year ................................

Direct loan levels supportable by subsidy budget authority:
115001 Direct loan levels ...........................................................

RENTAL ASSISTANCE PROGRAM
For rental assistance agreements entered into or renewed pursuant
to the authority under section 521(a)(2) or agreements entered into
in lieu of debt forgiveness or payments for eligible households as
authorized by section 502(c)(5)(D) of the Housing Act of 1949,
$567,000,000 to remain available until September 30, 2009; and, in
addition, such sums as may be necessary, as authorized by section
521(c) of the Act, to liquidate debt incurred prior to fiscal year 1992
to carry out the rental assistance program under section 521(a)(2)
of the Act: Provided, That agreements entered into or renewed during
the current fiscal year shall be funded for a one-year period: Provided
further, That the life of any such agreement may be extended to
fully utilize amounts obligated.

10.00

4 ................... ...................

74.40

Identification code 12–1954–0–1–604

123

Obligated balance, appropriation, end of year .........

2,153

1,419

866

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

50
807

221
848

340
780

86.90
86.93

44.59

47.95

43.26

87.00

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

857

1,069

1,120

132999 Weighted average subsidy rate .....................................
Direct loan subsidy budget authority:
133001 Subsidy budget authority ...............................................

44.59

47.95

43.26

89.00
90.00

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

647
857

335
1,069

567
1,120

133999 Total subsidy budget authority ......................................
Direct loan subsidy outlays:
134001 Net subsidy outlays .......................................................

134999 Total subsidy outlays .....................................................

The direct farm labor loan program is authorized under
section 514 and the rural housing for domestic farm labor
grant program is authorized under section 516 of the Housing
Act of 1949, as amended. The loans, grants, and contracts
are made to public and private nonprofit organizations for
low-rent housing and related facilities for domestic farm labor.
Grants assistance may not exceed 90 percent of the cost of
a project. Loans and grants may be used for construction
of new structures, site acquisition and development, rehabilitation of existing structures, and purchase of furnishings and
equipment for dwellings, dining halls, community rooms, and
infirmaries. Total program level provided in 2008 is $18 million ($4 million in grants and $14 million in loan level).

The rental assistance program is authorized under section
521(a)(2) of the Housing Act of 1949, as amended, and is
designed to reduce rents paid by very low-income and lowincome families living in RHS-financed rural rental and farm
labor housing projects. Funding under this account is provided
for renewals of existing rental assistance contracts, assistance
for newly constructed units financed by the section 515 rural
rental and cooperative housing program or the 514/516 farm
labor housing loan and grant programs, and for additional
servicing assistance for existing projects.
For 2008, the request for rental assistance grants is for
one year contracts with two-year availability, with a total
funding level of $567 million.
From 1978 through 1991, the rental assistance program
was funded under the Rural Housing Insurance Fund. Beginning in 1992, pursuant to Credit Reform, a separate grant
account was established for this program.

124

RURAL HOUSING SERVICE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008

MULTIFAMILY HOUSING REVITALIZATION PROGRAM ACCOUNT
For the rural housing voucher program as authorized under section
542 of the Housing Act of 1949, but notwithstanding subsection (b)
of such section, $27,800,000, to remain available until expended: Provided, That such vouchers shall be available to any low-income household (including those not receiving rental assistance) residing in a
property financed with a section 515 loan which has been prepaid
after September 30, 2005: Provided further, That the amount of the
voucher shall be the difference between comparable market rent for
the section 515 unit and the tenant paid rent for such unit: Provided
further, That funds made available for such vouchers, shall be subject
to the availability of annual appropriations: Provided further, That
the Secretary shall, to the maximum extent practicable, administer
such vouchers with current regulations and administrative guidance
applicable for section 8 housing vouchers administered by the Secretary of the Department of Housing and Urban Development (including the ability to pay administrative costs related to delivery of the
voucher funds): Provided further, That funds made available under
this paragraph may also be used for preservation and revitalization
of the section 515 multifamily rental housing properties including
debt restructuring, subject to authorization.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
Identification code 12–2002–0–1–604

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Choctaw Indians housing relending loan program direct subsidy ...............................................................
00.03 Administrative expenses ................................................
00.11 Vouchers .........................................................................

1
1
1

1 ...................
1
3
2
25

10.00

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year ...................
New budget authority (gross) ........................................
17

14
4

14
28

21.40
22.00

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

23.90
23.95

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

17
¥3

18
¥4

42
¥28

24.40

Unobligated balance carried forward, end of year

40.00

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

72.40
73.10
73.20

Change in obligated balances:
Obligated balance, start of year ...................................
1
Total new obligations ....................................................
3
Total outlays (gross) ...................................................... ...................

4
4
¥2

6
28
¥12

8
4

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

134999 Total subsidy outlays ..................................................... ...................

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

74.40

Obligated balance, end of year ................................

Object Classification (in millions of dollars)
Identification code 12–2002–0–1–604

2006 actual

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

89.00
90.00

Net budget authority and outlays:
Budget authority ............................................................
17
Outlays ........................................................................... ...................

4
2

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

115999 Total direct loan levels ..................................................
Direct loan subsidy (in percent):
132001 Subsidy rate ...................................................................
132999 Weighted average subsidy rate .....................................
Direct loan subsidy budget authority:
133001 Subsidy budget authority ...............................................

2006 actual

2008 est.

1
2

2
2

3
25

28
12

Direct loan levels supportable by subsidy budget authority:
115001 Direct loan levels ...........................................................

2007 est.

Direct obligations:
25.1 Advisory and assistance services ..................................
41.0 Grants, subsidies, and contributions ............................
99.9

87.00

Identification code 12–2002–0–1–604

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

USDA’s portfolio of multifamily housing projects provides
housing for nearly half a million low-income families, many
of whom are elderly. Recent Federal court rulings allow
projects that received their financing prior to 1989 to prepay
and leave the program. A recent assessment of the capital
and operating needs of the projects indicated that about 10
percent of the projects have economically viable prepayment
potential and that about 46,000 tenants of these projects risk
substantial rent increases and possible loss of their housing
if these projects are prepaid. Current law allows USDA to
assist these families by providing them with letters of priority
and vouchers, which were newly funded in 2006, but have
been minimally used. The 2008 Budget includes $28 million
to continue the multifamily housing revitalization proposal
that was initially proposed in the 2006 Budget. The funding
may be used for housing vouchers for residents of projects
whose sponsors prepay their outstanding indebtedness on
USDA loans and leave the program. The appropriation language for this funding is consistent with the 2006 appropriation language that requires such vouchers to be administered,
to the maximum extent possible, under current regulations
and administrative guidance applicable to section 8 vouchers,
including delivery costs; and allows the number of such vouchers to exceed 5,000, and allows the vouchers to all low-income
residents who are affected by prepayment, regardless of
whether they were receiving rental assistance payments. In
addition, the 2008 appropriation language provides the flexibility to use the $28 million for debt restructuring and other
revitalization incentives when they are authorized. Draft legislation will be resubmitted to Congress to authorize this
revitalization effort. We expect this authorization to be passed
before or during 2008.
Prior year obligated balances reflect funding for rental assistance for newly constructed units provided in limited
amounts in 1984 and 1985. From 1986 through 1991 rental
assistance for newly constructed units, as well as existing
rental assistance contract renewals and additional servicing
assistance for existing projects, had been funded under the
Rural Housing Insurance Fund. Beginning in 1992, pursuant
to Credit Reform, a separate grant account was established
for the rental assistance program.

Outlays (gross), detail:
86.90 Outlays from new discretionary authority ..................... ................... ...................
86.93 Outlays from discretionary balances ............................. ...................
2

133999 Total subsidy budget authority ......................................
1
Direct loan subsidy outlays:
134001 Net subsidy outlays ....................................................... ...................

2007 est.

2008 est.

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

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

MUTUAL

AND

SELF-HELP HOUSING GRANTS

For grants and contracts pursuant to section 523(b)(1)(A) of the
Housing Act of 1949 (42 U.S.C. 1490c), $9,500,000, to remain available until expended.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

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

Program and Financing (in millions of dollars)
46.76

47.82

0.00

46.76

47.82

0.00

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

Identification code 12–2006–0–1–604

Obligations by program activity:
00.01 Mutual and self-help housing grants ...........................

2006 actual

2007 est.

2008 est.

RURAL HOUSING SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
10.00

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

21.40
22.00
22.10

1
34

2
34

1
10

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

23.90
23.95

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

36
¥34

36
¥35

11
¥10

24.40

Unobligated balance carried forward, end of year

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

72.40
73.10
73.20
73.45

74.40

Obligated balance, end of year ................................

58
55
54
34
35
10
¥36
¥36
¥33
¥1 ................... ...................
55

125

year balances for high cost energy grants authorized by section 19
of the Rural Electrification Act of 1936 (7 U.S.C. 901(19)) shall be
transferred to and merged with the ‘‘Rural Utilities Service, High
Energy Costs Grants’’ account: Provided further, That sections 381E–
H and 381N of the Consolidated Farm and Rural Development Act,
are not applicable to funds made available under this heading: Provided further, That any prior year balances in the ‘‘Rural Development, Rural Community Advancement Program’’ account for programs
authorized by 7 U.S.C. 1926 and 1932 and described in section
381E(d)(1) of the Consolidated Farm and Rural Development Act (7
U.S.C. 1921 note) shall be transferred and merged with this account:
Provided further, That the Secretary shall transfer and merge with
this account any other prior balances from the ‘‘Rural Development,
Rural Community Advancement Program’’ account that the Secretary
determines is appropriate to transfer.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
Identification code 12–1951–0–1–452

2006 actual

2007 est.

2008 est.

86.90
86.93

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

7
29

6
30

2
31

Obligations by program activity:
00.01 Direct Loan Subsidy ....................................................... ................... ...................
00.02 Guaranteed Loan Subsidy .............................................. ................... ...................

87.00

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

10.00

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

89.00
90.00

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

34
36

10
33

22.00
23.95

25
¥25

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

73.10
73.20
73.32

25
¥86
174

74.40

Obligated balance, end of year ................................ ................... ...................

113

86.90
86.93

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

3
83

87.00

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

89.00
90.00

25
86

This program is authorized under section 523 of the Housing Act of 1949, as amended. Grants and contracts are made
for the purpose of providing technical and supervisory assistance to groups of families to enable them to build their own
homes through the mutual exchange of labor.
f

RURAL COMMUNITY GRANTS

Rural firefighters and emergency personnel grants are authorized under 7 U.S.C. 2655. Grants are provided to local
government and Indian tribes to pay the cost of training
firefighters and emergency personnel in firefighting, emergency medical practices, and responding to hazardous materials and bioagents in rural areas. Not less than 60 percent
of the amounts made available for training grants shall be
used to provide grants to fund partial scholarships for training of individuals at training centers. The remaining funding
may be made available for grants to provide financial assistance to State and regional centers that provide training for
firefighters and emergency medical personnel for improvements to the training facility, equipment, curricula, and personnel. No funds are provided in the Budget because this
type of program activity is redundant with other programs
in Forest Service, Federal Emergency Management Agency,
and the Bureau of Land Management, which provide significant funding for this purpose.
f

17
8

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
Identification code 12–1951–0–1–452

2006 actual

2007 est.

Direct loan levels supportable by subsidy budget authority:
115002 Direct community facility ............................................... ................... ...................
115999 Total direct loan levels .................................................. ................... ...................
Direct loan subsidy (in percent):
132002 Direct community facility ............................................... ................... ...................

2008 est.

302
302
5.55

132999 Weighted average subsidy rate ..................................... ................... ...................
Direct loan subsidy budget authority:
133002 Direct community facility ............................................... ................... ...................

5.55

133999 Total subsidy budget authority ...................................... ................... ...................
Direct loan subsidy outlays:
134002 Direct community facility ............................................... ................... ...................

17
18

134999 Total subsidy outlays ..................................................... ................... ...................

Guaranteed loan levels supportable by subsidy budget
authority:
215002 Community facility loan guarantees ............................. ................... ...................

210

RURAL COMMUNITY FACILITY PROGRAM ACCOUNT
(INCLUDING TRANSFER OF BALANCES)

For the costs of direct loans, loan guarantees, and grants for rural
community programs as authorized by 7 U.S.C. 1926 and 1932 and
described in section 381E(d)(1) of the Consolidated Farm and Rural
Development Act (7 U.S.C. 1921 note), $24,512,000, to remain available until expended: Provided, That of the amount appropriated under
this heading, not to exceed $100,000 shall be available through June
30, 2008, for authorized empowerment zones and enterprise communities designated by the Secretary of Agriculture as Rural Economic
Area Partnership Zones for the rural community programs described
in section 381E(d)(1) of such Act: Provided further, That any prior

215999 Total loan guarantee levels ........................................... ................... ...................
Guaranteed loan subsidy (in percent):
232002 Community facility loan guarantees ............................. ................... ...................

210
3.68

126

RURAL HOUSING SERVICE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008
70.00

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

72.40
73.10
73.20
73.45
74.00

Change in obligated balances:
Obligated balance, start of year ...................................
Total new obligations ....................................................
Total financing disbursements (gross) .........................
Recoveries of prior year obligations ..............................
Change in uncollected customer payments from Federal sources (unexpired) ............................................

74.40

RURAL COMMUNITY FACILITY PROGRAM ACCOUNT—Continued

Obligated balance, end of year ................................

1,158

935

810

87.00

Outlays (gross), detail:
Total financing disbursements (gross) .........................

541

634

574

¥15
¥16
¥80
¥80

¥19
¥29
¥122
¥88

¥18
¥31
¥145
¥79

¥191

¥258

¥273

421
350

146
376

176
301

(INCLUDING TRANSFER OF BALANCES)—Continued

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)—Continued
Identification code 12–1951–0–1–452

2006 actual

2007 est.

2008 est.

232999 Weighted average subsidy rate ..................................... ................... ...................
Guaranteed loan subsidy budget authority:
233002 Community facility loan guarantees ............................. ................... ...................

234999 Total subsidy outlays ..................................................... ................... ...................

403

448

1,226
1,158
935
533
410
448
¥541
¥634
¥574
¥63 ................... ...................

3.68

233999 Total subsidy budget authority ...................................... ................... ...................
Guaranteed loan subsidy outlays:
234002 Community facility loan guarantees ............................. ................... ...................

609

This account funds the direct and guaranteed community
facility loans and community facility grants. Since the passage
of the Federal Agriculture Improvement and Reform Act of
1996 through 2007, the funding for these programs was provided as part of the Rural Community Advancement Program
(RCAP). For 2008, no funding is proposed in the RCAP account and instead, each funding stream is being appropriated
separately in a new account. This is the new account for
the Community programs funding stream.
Community facility loans and grants are authorized under
sections 306(a)(1) and 306(a)(19) of the Consolidated Farm
and Rural Development Act, as amended. Loans are provided
to local governments and nonprofit organizations for the construction and improvement of community facilities providing
essential services in rural areas of not more than 20,000
population, such as hospitals and fire stations. Total program
level in 2008 is projected to be $512 million.
f

Program and Financing (in millions of dollars)

Obligations by program activity:
00.01 Direct loans ....................................................................
00.02 Interest on Treasury borrowing ......................................
00.91
08.01
08.02
08.04

Direct Program by Activities—Subtotal (1 level)
Negative subsidy ............................................................
Downward reestimate paid to receipt account .............
Interest paid on downward reestimates paid to receipt
account ......................................................................

2006 actual

397
111

2007 est.

2008 est.

272
137

302
146

508
409
448
1
1 ...................
18 ................... ...................
6 ................... ...................

08.91

Direct Program by Activities—Subtotal (1 level)

10.00

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

533

410

4
609

7 ...................
403
448

23.90
23.95

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

24.40

Unobligated balance carried forward, end of year

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

88.95

Total, offsetting collections (cash) .......................
Against gross financing authority only:
Change in receivables from program accounts .......

89.00
90.00

Status of Direct Loans (in millions of dollars)
Identification code 12–4225–0–3–452

1 ...................
448

63 ................... ...................
¥76 ................... ...................
¥60 ................... ...................
540
¥533

410
¥410

448
¥448

7 ................... ...................

421

146

176

191

258

273

¥3

¥1

188

257

272

2006 actual

2007 est.

2008 est.

RURAL COMMUNITY FACILITY DIRECT LOANS FINANCING ACCOUNT

Identification code 12–4225–0–3–452

88.90

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

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:
1263
Direct loans ...............................................................
1264
Other adjustments, net .............................................
1210
1231
1251
1261

1290

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

397

272

302

1,662
1,982
2,356
405
496
428
¥80
¥122
¥145
1 ................... ...................
¥5 ................... ...................
¥1 ................... ...................
1,982

2,356

2,639

As required by the Federal Credit Reform Act of 1990,
this non-budgetary account records all cash flows to and from
the Government resulting from direct loans obligated in 1992
and beyond. The amounts in this account are a means of
financing and are not included in the budget totals. Loans
made prior to 1992 are recorded in the Rural Development
Insurance Fund Liquidating Account.
This account provides funding to non-profit organizations
and local governments for the construction and improvement
of community facilities providing essential services in rural
areas, such as hospitals, telecommunications applications,
child care centers and fire stations.
Balance Sheet (in millions of dollars)
Identification code 12–4225–0–3–452

ASSETS:
Federal assets:
1101 Fund balances with Treasury .....................................................
Investments in US securities:
1106 Receivables, net ...........................................................................
Net value of assets related to post–1991 direct loans receivable:
1401 Direct loans receivable, gross ....................................................
1402 Interest receivable ........................................................................
1404 Foreclosed property .......................................................................
1405 Allowance for subsidy cost (–) ..................................................

2005 actual

2006 actual

–3

1,663
22
1
–74

1,982
29
....................
–63

RURAL HOUSING SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
1499

127

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

1,612

1,948

2131

Guaranteed loan commitments exempt from limitation

164

210

1,622

1,956

2150
2199

Total guaranteed loan commitments ........................
Guaranteed amount of guaranteed loan commitments

164
131

20
16

210
168

1,606
16

1,949
7

2999

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

1,622

1,956

488
132
¥56

564
142
¥97

607
150
¥105

4999

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

1,622

1,956

1999

2210
2231
2251

¥2
¥2
¥2
2 ................... ...................

RURAL COMMUNITY FACILITY GUARANTEED LOANS FINANCING
ACCOUNT

2290

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

564

607

650

Program and Financing (in millions of dollars)

2299

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

496

492

528

Identification code 12–4228–0–3–452

2006 actual

2007 est.

2008 est.

00.01
00.02

Obligations by program activity:
Default claims ...............................................................
Interest to Treasury ........................................................

1
1

2
1

10.00

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

21.40
22.00
22.60

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
9
New financing authority (gross) ....................................
26
Portion applied to repay debt ........................................ ...................

23.90
23.95

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

24.40

Unobligated balance carried forward, end of year

33 ...................
6
16
¥36
¥13

35
¥2

3
¥3

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 guaranteed loans committed
in 1992 and beyond. The amounts in this account are a means
of financing and are not included in the budget totals. Loans
made prior to 1992 are recorded in the Rural Development
Insurance Fund Liquidating Account.
This account finances loan guarantee commitments for essential community facilities in rural areas.
Balance Sheet (in millions of dollars)

33 ................... ...................
Identification code 12–4228–0–3–452

New financing authority (gross), detail:
Mandatory:
67.10
Authority to borrow ....................................................
1
3
3
Spending authority from offsetting collections:
69.00
Offsetting collections (cash) ................................
37
1
4
69.10
Change in uncollected customer payments from
Federal sources (unexpired) ............................. ...................
2
9
69.47
Portion applied to repay debt ...............................
¥12 ................... ...................

2005 actual

2006 actual

70.00

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

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

Change in obligated balances:
72.40 Obligated balance, start of year ...................................
1
1
2
73.10 Total new obligations ....................................................
2
3
3
73.20 Total financing disbursements (gross) .........................
¥2 ................... ...................
74.00 Change in uncollected customer payments from Federal sources (unexpired) ............................................ ...................
¥2
¥9
74.40

Obligated balance, end of year ................................

87.00

Outlays (gross), detail:
Total financing disbursements (gross) .........................

89.00
90.00

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

¥29 ...................
¥1 ...................
¥7
¥1

Total, offsetting collections (cash) .......................
¥37
Against gross financing authority only:
Change in receivables from program accounts ....... ...................
Net financing authority and financing disbursements:
Financing authority ........................................................
Financing disbursements ...............................................

¥4

¥2
¥1
¥1

¥1
¥2

¥9

3
¥1

¥11
¥34

¥4

3
¥4

Status of Guaranteed Loans (in millions of dollars)
Identification code 12–4228–0–3–452

2006 actual

2007 est.

2008 est.

1999

13
12

8
32

2999

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

4999

69.90

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

RURAL HOUSING INSURANCE FUND PROGRAM ACCOUNT
(INCLUDING TRANSFERS OF FUNDS)

For gross obligations for the principal amount of direct and guaranteed loans as authorized by title V of the Housing Act of 1949, to
be available from funds in the rural housing insurance fund, as follows: $4,848,611,000 for loans to section 502 unsubsidized guaranteed
loans; $22,855,000 for section 504 housing repair loans; $200,000,000
for section 538 guaranteed multi-family housing loans; $5,045,000
for section 524 site loans; and $11,408,000 for credit sales of acquired
property, of which up to $1,408,000 may be for multi-family credit
sales.
For the cost of direct and guaranteed loans, including the cost
of modifying loans, as defined in section 502 of the Congressional
Budget Act of 1974, as follows: section 502 loans, $10,070,000, to
remain available until expended, shall be for unsubsidized guaranteed
loans; section 504 housing repair loans, $6,461,000; section 538 multifamily housing guaranteed loans, $18,800,000; and credit sales of
acquired property, $523,000: Provided, That of the total amount appropriated in this paragraph, $180,000 shall be available through
June 30, 2008, for authorized empowerment zones and enterprise communities and communities designated by the Secretary of Agriculture
as Rural Economic Area Partnership Zones: Provided further, That
any balances for a demonstration program for the preservation and
revitalization of the section 515 multi-family rental housing properties
as authorized in Public Law 109–97 shall be transferred to and
merged with the ‘‘Rural Housing Service, Multifamily Housing Revitalization Program Account’’.
In addition, for administrative expenses necessary to carry out the
direct and guaranteed loan programs, $434,890,000, which shall be

128

RURAL HOUSING SERVICE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008

RURAL HOUSING INSURANCE FUND PROGRAM ACCOUNT—Continued
(INCLUDING TRANSFERS OF FUNDS)—Continued

paid to the appropriation for ‘‘Rural Development, Salaries and Expenses’’.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
Identification code 12–2081–0–1–371

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Direct loan subsidy ........................................................
199
195
7
00.02 Guaranteed loan subsidy ...............................................
41
63
29
00.03 Modifications of direct loans .........................................
5
8 ...................
00.04 Modification of guaranteed loans ................................. ...................
1 ...................
00.05 Reestimates of direct loan subsidy ...............................
240 ................... ...................
00.06 Interest on reestimates of direct loan subsidy .............
131 ................... ...................
00.07 Reestimates of loan guarantee subsidy ........................
48 ................... ...................
00.08 Interest on reestimates of loan guarantee subsidy
7 ................... ...................
00.09 Administrative expenses ................................................
450
409
435
10.00

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

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
New budget authority (gross) ........................................
Resources available from recoveries of prior year obligations .......................................................................
22.21 Unobligated balance transferred to other accounts
21.40
22.00
22.10

1,121

676

471

8
1,162

49 ...................
627
471

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

23.90
23.95

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

24.40

Unobligated balance carried forward, end of year

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

742
627
471
¥7 ................... ...................

43.00

735

60.00

Appropriation (total discretionary) ........................
Mandatory:
Appropriation .............................................................

70.00

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

1,162

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

1,170
¥1,121

676
¥676

627

471
¥471

471

427 ................... ...................
627

471

170
175
230
1,121
676
471
¥1,105
¥621
¥547
¥10 ................... ...................
¥1 ................... ...................

115014
115015
115016
115017

Single family credit sales .............................................. ...................
10
10
Multi-family credit sales ...............................................
2
1
1
502 ND Katrina hurricane supplemental ......................
81
107 ...................
Multi-family housing revitalization seconds .................
4 ................... ...................

115999 Total direct loan levels ..................................................
Direct loan subsidy (in percent):
132001 Direct 502 single family housing ..................................
132003 Direct 502 natural disaster ...........................................
132004 Direct 515 multi-family housing ...................................
132007 Direct 504 housing repair .............................................
132008 Direct 504 natural disaster ...........................................
132009 Direct 504, Katrina hurricane supplemental .................
132011 Direct Farm Labor Housing Supp. .................................
132012 Direct 524 site development .........................................
132013 Direct 523 self-help housing .........................................
132014 Single family credit sales ..............................................
132015 Multi-family credit sales ...............................................
132016 502 ND Katrina hurricane supplemental ......................
132017 Multi-family housing revitalization seconds .................

1,357

1,463

11.39
0.00
45.88
29.25
0.00
29.25
0.00
¥3.51
1.03
¥14.53
45.40
11.39
87.52

10.03
10.03
45.67
29.55
29.55
29.55
47.95
¥1.66
2.47
0.48
45.33
10.03
0.00

0.00
0.00
0.00
28.27
0.00
0.00
0.00
¥0.79
0.00
¥1.15
37.14
0.00
0.00

132999 Weighted average subsidy rate .....................................
14.57
13.22
Direct loan subsidy budget authority:
133001 Direct 502 single family housing ..................................
129
117
133004 Direct 515 multi-family housing ...................................
45
41
133007 Direct 504 housing repair .............................................
10
9
133008 Direct 504 natural disaster ........................................... ...................
1
133009 Direct 504, Katrina hurricane supplemental .................
1
14
133011 Direct Farm Labor Housing Supp. ................................. ...................
1
133015 Multi-family credit sales ...............................................
1
1
133016 502 ND Katrina hurricane supplemental ......................
9
11
133017 Multi-family housing revitalization seconds .................
4 ...................

17.23

133999 Total subsidy budget authority ......................................
199
195
7
Direct loan subsidy outlays:
134001 Direct 502 single family housing ..................................
131
111
29
134004 Direct 515 multi-family housing ...................................
38
53
43
134007 Direct 504 housing repair .............................................
10
8
7
134009 Direct 504, Katrina hurricane supplemental .................
1 ................... ...................
134010 Direct Farm Labor Housing ............................................
1 ................... ...................
134015 Multi-family credit sales ...............................................
1
1
1
134016 502 ND Katrina hurricane supplemental ......................
6
3 ...................
134017 Multi-family housing revitalization seconds ................. ...................
1
1
134999 Total subsidy outlays .....................................................
Direct loan upward reestimates:
135001 Direct 502 single family housing ..................................
135007 Direct 504 housing repair .............................................
135010 Direct Farm Labor Housing ............................................
135014 Single family credit sales ..............................................

188

177

357
1
3
10

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

135999 Total upward reestimate budget authority ....................
Direct loan downward reestimates:
137001 Direct 502 single family housing ..................................
137004 Direct 515 multi-family housing ...................................
137007 Direct 504 housing repair .............................................
137014 Single family credit sales ..............................................

371 ................... ...................

137999 Total downward reestimate budget authority ...............
74.40

Obligated balance, end of year ................................

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

175

230

1,162
1,105

621

627
621

2006 actual

Direct loan levels supportable by subsidy budget authority:
115001 Direct 502 single family housing ..................................
1,129
115003 Direct 502 natural disaster ........................................... ...................
115004 Direct 515 multi-family housing ...................................
98
115007 Direct 504 housing repair .............................................
33
115008 Direct 504 natural disaster ........................................... ...................
115009 Direct 504, Katrina hurricane supplemental .................
3
115011 Direct Farm Labor Housing Supp. ................................. ...................
115012 Direct 524 site development .........................................
3
115013 Direct 523 self-help housing .........................................
4

2007 est.

1,165
2
90
31
3
46
1
5
2

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

¥182 ................... ...................

Guaranteed loan levels supportable by subsidy budget
authority:
215001 Guaranteed 502 single family housing, purchase ........
215002 Guaranteed 502 refinance .............................................
215003 Guaranteed 538 multi-family housing ..........................
215004 Guaranteed 502 Katrina hurricane supplemental .........

2,891
4
98
180

3,662
798
247
61
63
200
1,026 ...................

3,173

4,998

1,059

1.16
0.29
5.42
1.16

1.21
0.50
7.74
1.21

1.20
0.81
9.40
0.00

232999 Weighted average subsidy rate .....................................
1.29
Guaranteed loan subsidy budget authority:
233001 Guaranteed 502 single family housing, purchase ........
34
233002 Guaranteed 502 refinance ............................................. ...................
233003 Guaranteed 538 multi-family housing ..........................
5
233004 Guaranteed 502 Katrina hurricane supplemental .........
2

1.26

2.73

547

471
547

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
Identification code 12–2081–0–1–371

¥86
¥60
¥16
¥20

154

610
539
460
68
82
87
427 ................... ...................
1,105

...................
...................
6
...................
...................
...................
1
...................
...................

2008 est.

...................
...................
...................
23
...................
...................
...................
5
...................

215999 Total loan guarantee levels ...........................................
Guaranteed loan subsidy (in percent):
232001 Guaranteed 502 single family housing, purchase ........
232002 Guaranteed 502 refinance .............................................
232003 Guaranteed 538 multi-family housing ..........................
232004 Guaranteed 502 Katrina hurricane supplemental .........

44
10
1 ...................
5
19
12 ...................

233999 Total subsidy budget authority ......................................
41
62
29
Guaranteed loan subsidy outlays:
234001 Guaranteed 502 single family housing, purchase ........
33
28
14
234002 Guaranteed 502 refinance ............................................. ...................
1 ...................
234003 Guaranteed 538 multi-family housing ..........................
5
3
13
234004 Guaranteed 502 Katrina hurricane supplemental .........
2 ................... ...................
234999 Total subsidy outlays .....................................................

RURAL HOUSING SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
Guaranteed loan upward reestimates:
235001 Guaranteed 502 single family housing, purchase ........
235003 Guaranteed 538 multi-family housing ..........................

39 ................... ...................
17 ................... ...................

235999 Total upward reestimate budget authority ....................
Guaranteed loan downward reestimates:
237001 Guaranteed 502 single family housing, purchase ........

56 ................... ...................

quired property), as well as administrative expenses of this
program. The subsidy amounts are estimated on a present
value basis; the administrative expenses are estimated on
a cash basis.

¥5 ................... ...................

237999 Total downward reestimate subsidy budget authority

129

¥5 ................... ...................

Object Classification (in millions of dollars)
Identification code 12–2081–0–1–371

Administrative expense data:
3510 Budget authority ............................................................
3590 Outlays from new authority ...........................................

450
450

409
409

435
435

Rural Housing Insurance Fund.—This fund was established
in 1965 (Public Law 89–117) pursuant to section 517 of title
V of the Housing Act of 1949, as amended.
The programs funded through the Rural Housing Insurance
Fund Program account are: section 502 very low and low
to moderate income homeownership loans and guarantees;
section 504 very low-income housing repair loans; section 515
rural rental housing loans; section 524 housing site loans,
single family and multi-family housing credit sales of acquired
property, and section 538 multi-family housing guarantees.
Starting in 2001, section 514 domestic farm labor housing
loans and grants are funded under the new Farm Labor Program Account in order to provide flexibility between loans
and the farm labor housing grants. The section 523 self-help
housing land development loan program is funded in this
account as of 1997, but no funds are provided for 2008, due
to expected lack of demand.
Loan programs are limited to rural areas that include
towns, villages, and other places which are not part of an
urban area and that have a population not in excess of 2,500
inhabitants, or is in excess of 2,500 but not in excess of
10,000 if rural in character, or has a population in excess
of 10,000 but not more than 20,000 and is not within a
standard metropolitan statistical area and has a serious lack
of mortgage credit for low- and moderate-income borrowers.
No funds are requested in 2008 for section 515 rural rental
housing loans. However, RHS will continue to revitalize the
existing 515 portfolio by providing a voucher program to assist tenants that have been displaced due to property owners
prepaying their loans. Additional authorizations are anticipated to assist in revitalizing the portfolio.
Guaranteed lending is the direction of Federal assistance
for mortgage credit. With improvements and innovations in
the banking industry, utilizing the private sector with guarantees is a more efficient way to deliver homeownership assistance. With that in mind, no funds are requested for 502
direct single family housing loans for 2008. A separate legislative proposal that goes along with the move to guaranteed
loans within single family housing programs will be proposed
to authorize subsidized guaranteed single family housing
loans for very-low and low income rural residents. Funding
requests for these new loans will follow authorization. Meanwhile the 502 guaranteed single family housing loan program
has been increased to $4.8 billion, replacing the lost lending
level from the 502 direct loans.
For 502 guaranteed single family housing loans in 2008,
the Budget reflects a 3.0 percent fee on new loans. This fee
will enable the program to make more loans available to
serve lower income rural Americans. In 2002, RHS approved
separate risk categories for the guarantee refinancing and
guarantees of new loans. The guarantee fee for the refinancing will remain at 0.5 percent. This change reflects the
lower risk on refinancing as compared to an unseasoned borrower receiving a new loan. It is consistent with the rate
that HUD and the VA charge on similar loans.
As required by the Federal Credit Reform Act of 1990,
this account records, for this program, the subsidy costs associated with the direct loans obligated and loan guarantees
committed in 1992 and beyond (including credit sales of ac-

2006 actual

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

RURAL

2007 est.

2008 est.

450
671

409
267

435
36

1,121

676

471

HOUSING INSURANCE FUND PROGRAM ACCOUNT

(Legislative proposal, not subject to PAYGO)
Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
Identification code 12–2081–2–1–371

2006 actual

2007 est.

2008 est.

Guaranteed loan levels supportable by subsidy budget
authority:
215001 Guaranteed 502 single family housing, purchase ........ ................... ...................

3,990

215999 Total loan guarantee levels ........................................... ................... ...................
Guaranteed loan subsidy (in percent):
232001 Guaranteed 502 single family housing, purchase ........ ................... ...................

3,990
¥1.00

232999 Weighted average subsidy rate ..................................... ................... ...................

¥2.16

For the 502 guarantee program, the Budget includes a general provision that allows for the guarantee fee on new 502
guaranteed loans to be increased to 3 percent from 2 percent.
This causes the loans to be less costly for the Government
without a significant additional burden to the borrowers,
given that they can finance the fee as part of the loan. This
proposal will allow funding in 2008 to be at an increased
amount of $4.8 billion for purchase loans. The increase is
meant to compensate for no funding for direct single family
housing loans.
f

RURAL HOUSING INSURANCE FUND DIRECT LOAN FINANCING
ACCOUNT
Program and Financing (in millions of dollars)
Identification code 12–4215–0–3–371

Obligations by program activity:
Direct loans including upward adjustments of prior
year obligations .........................................................
00.02 Interest on Treasury Borrowing ......................................
00.05 Advances on behalf of borrowers ..................................
00.06 Other expenses ...............................................................

2006 actual

2007 est.

2008 est.

00.01

00.91
08.02
08.04

Subtotal, Operating program ....................................
Downward subsidy reestimates paid to receipt account ..........................................................................
Interest on downward reestimates paid to receipt
account ......................................................................

08.91

Subtotal, Reestimates ...............................................

10.00

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

23.90
23.95

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

24.40

Unobligated balance carried forward, end of year

1,373
1,473
692
730
32 ...................
41
98

53
748
45
35

2,138

881

2,301

131 ................... ...................
51 ................... ...................
182 ................... ...................
2,320

2,301

881

572
2,030

80 ...................
2,221
881

95 ................... ...................
¥224 ................... ...................
¥73 ................... ...................
2,400
¥2,320

2,301
¥2,301

881
¥881

80 ................... ...................

130

RURAL HOUSING SERVICE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008

RURAL HOUSING INSURANCE FUND DIRECT LOAN FINANCING
ACCOUNT—Continued
Program and Financing (in millions of dollars)—Continued
Identification code 12–4215–0–3–371

2006 actual

2007 est.

2008 est.

1,075

373

314

2,152

1,971

1,710

¥8
¥1,189

¥15
¥108

¥30
¥1,113

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

955

1,848

567

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

2,030

2,221

881

Change in obligated balances:
Unpaid obligations, fund balance with Treasury, start
of year .......................................................................
73.10 Total new obligations ....................................................
73.20 Total financing disbursements (gross) .........................
73.45 Recoveries of prior year obligations ..............................
74.00 Change in uncollected customer payments from Federal sources (unexpired) ............................................

amounts in this account are a means of financing and are
not included in the budget totals.
This account finances direct rural housing loans for section
502 very low- and low-to-moderate-income home ownership
loan program; section 504 very low income housing repair
loan program; section 514 domestic farm labor housing loan
program; section 515 rural rental housing loan program; sections 523 self-help housing loans, and 524 site development
loans; and single family and multi-family housing credit sales
of acquired property.
Loan programs are limited to rural areas that include
towns, villages and other places which are not part of an
urban area and that have a population not in excess of 2,500
inhabitants, or is in excess of 2,500 but not in excess of
10,000 if rural in character, or has a population in excess
of 10,000 but not more than 20,000 and is not within a
standard metropolitan statistical area and has a serious lack
of mortgage credit for low and moderate-income borrowers.

72.40

74.40

Obligated balance, end of year ................................

Outlays (gross), detail:
87.00 Total financing disbursements (gross) .........................
Offsets:
Against gross financing authority and financing disbursements:
Offsetting collections (cash) from:
88.00
Federal sources: payments from program account .................................................................
88.25
Interest on uninvested funds ...............................
88.40
Non-Federal sources: Repayments of principal
88.40
Interest received on loans ....................................
88.40
Payments on judgments .......................................
88.40
Proceeds on sale of acquired property .................
88.40
Recaptured income ...............................................
88.40
Fees .......................................................................
88.40
Miscellaneous collections .....................................
88.90
88.95

Total, offsetting collections (cash) .......................
Against gross financing authority only:
Change in receivables from program accounts .......

570
535
969
2,320
2,301
881
¥2,268
¥1,882
¥2,191
¥95 ................... ...................

Identification code 12–4215–0–3–371

2005 actual

535

969

¥311

ASSETS:
Federal assets:
1101 Fund balances with Treasury .....................................................
Investments in US securities:
1106 Receivables, net ...........................................................................
Net value of assets related to post–1991 direct loans receivable:
1401 Direct loans receivable, gross ....................................................
1402 Interest receivable ........................................................................
1404 Foreclosed property .......................................................................
1405 Allowance for subsidy cost (–) ..................................................
1499

2006 actual

1,882

2,191

¥569
¥102
¥737
¥636
¥12
¥17
¥2
¥2
¥75

¥195
¥206
¥920
¥563
¥13
¥25
¥10
¥5
¥34

¥97
¥190
¥837
¥491
¥14
¥31
¥36
¥7
¥7

¥2,152

¥1,971
15

–77

192

12,761
132
18
–1,040

13,162
63
16
–2,036

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

11,871

11,205

Total assets ..................................................................................
LIABILITIES:
Federal liabilities:
2103 Debt ...............................................................................................
2105 Other ..............................................................................................
2207 Non-Federal liabilities: Other ......................................................

12,018

11,477

10,989
1,021
8

10,960
503
14

2999

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

12,018

11,477

Negative subsidy BA total [12–2081] .......................................

12,018

11,477

¥1,710

224

4999

2,268

1999

RURAL HOUSING INSURANCE FUND GUARANTEED LOAN FINANCING
ACCOUNT
¥114
116

265
¥89

¥799
481

2006 actual

Program and Financing (in millions of dollars)
Identification code 12–4216–0–3–371

Status of Direct Loans (in millions of dollars)
Identification code 12–4215–0–3–371

Balance Sheet (in millions of dollars)

2007 est.

2008 est.

2006 actual

Obligations by program activity:
00.01 Default claims ...............................................................
107
00.02 Interest assistance paid to lenders .............................. ...................

107
5

2008 est.

140
7

Cumulative balance of direct loans outstanding:
1210 Outstanding, start of year .............................................
1231 Disbursements: Direct loan disbursements ...................
1251 Repayments: Repayments and prepayments .................
1261 Adjustments: Capitalized interest .................................
Write-offs for default:
1263
Direct loans ...............................................................
1264
Other adjustments, net .............................................
1290

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

1,373

1,473

107
112
147
2 ................... ...................

Direct Program by Activities—Subtotal (1 level)

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

10.00

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

112

147

21.40
22.00

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

527
176

591
109

588
96

23.90
23.95

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

703
¥112

700
¥112

684
¥147

24.40

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

Direct Program by Activities—Subtotal (1 level)
Payments of downward estimates to receipt account
Payment of interest on downward reestimate to receipt account .............................................................

08.91

1150

00.91
08.02
08.04

2007 est.

Unobligated balance carried forward, end of year

591

588

537

3 ................... ...................

12,761
1,390
¥919
20

13,162
1,472
¥937
23

13,625
1,464
¥1,078
25

¥50
¥40

¥65
¥30

¥83
¥25

13,162

13,625

13,928

New financing authority (gross), detail:
Mandatory:
67.10
Authority to borrow ....................................................
67.35
Authority to borrow permanently reduced .................

5
5
8
¥14 ................... ...................

RURAL HOUSING SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
67.90
69.00
69.10
69.90
70.00

73.10
73.20
74.00

Authority to borrow (total mandatory) ..................
¥9
5
Spending authority from offsetting collections:
Offsetting collections (cash) ................................
185
104
Change in uncollected customer payments from
Federal sources (unexpired) ............................. ................... ...................

8
1106

Investments in US securities:
Receivables, net ...........................................................................

546

599

545
1

8
591

185

104

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

176

109

2999

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

546

599

4999

Negative subsidy BA total [12–2081] .......................................

546

599

Change in obligated balances:
Total new obligations ....................................................
112
112
Total financing disbursements (gross) .........................
¥112
¥112
Change in uncollected customer payments from Federal sources (unexpired) ............................................ ................... ...................

1999
¥1

147
¥148

RURAL

HOUSING INSURANCE FUND GUARANTEED LOAN FINANCING
ACCOUNT

(Legislative proposal, not subject to PAYGO)
Program and Financing (in millions of dollars)

112

148
Identification code 12–4216–2–3–371

89.00
90.00

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

88.95

89
Total assets ..................................................................................
LIABILITIES:
Non-Federal liabilities:
2204 Liabilities for loan guarantees ...................................................
2207 Other ..............................................................................................

Outlays (gross), detail:
87.00 Total financing disbursements (gross) .........................

88.90

131

¥96
¥27
¥62

¥32
¥25
¥47

Total, offsetting collections (cash) .......................
¥185
¥104
Against gross financing authority only:
Change in receivables from program accounts ....... ................... ...................
Net financing authority and financing disbursements:
Financing authority ........................................................
Financing disbursements ...............................................

Total guaranteed loan commitments ........................
Guaranteed amount of guaranteed loan commitments

2210
2231
2251
2263

Cumulative balance of guaranteed loans outstanding:
Outstanding, start of year .............................................
Disbursements of new guaranteed loans ......................
Repayments and prepayments ......................................
Adjustments: Terminations for default that result in
claim payments .........................................................

2290

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

2299

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

2008 est.

¥9
¥73

5
8

10.00

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

¥89

22.00
23.95

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

117
¥12

24.40

Unobligated balance carried forward, end of year ................... ...................

105

117

73.10
73.20

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

12
¥12

87.00

Outlays (gross), detail:
Total financing disbursements (gross) ......................... ................... ...................

Offsets:
Against gross financing authority and financing disbursements:
Offsetting collections (cash) from:
88.25
Interest on uninvested funds ............................... ................... ...................
88.40
Non-Federal sources: guarantee fees ................... ................... ...................

¥6
¥111

88.90

¥117

¥27
¥24
¥38

8
59

2006 actual

2007 est.

2008 est.

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
3,173
4,998
1,059
2150
2199

2007 est.

Status of Guaranteed Loans (in millions of dollars)
Identification code 12–4216–0–3–371

2006 actual

Obligations by program activity:
00.01 Default claim payments ................................................ ................... ...................

3,173
2,856

4,998
4,498

1,059
953

14,673
3,056
¥1,901

15,579
2,463
¥2,019

15,916
1,888
¥2,197

¥249

¥107

¥230

15,579

15,916

15,377

89.00
90.00

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

Status of Guaranteed Loans (in millions of dollars)
14,834

14,176

13,840

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 guaranteed loan commitments
made in 1992 and beyond. The amounts in this account are
a means of financing and are not included in the budget
totals.
This account finances the nonsubsidized guaranteed section
502 low-to-moderate-income home ownership loan program as
well as the re-financings those loans and section 538 multifamily housing loan program. The guaranteed programs enable RHS to utilize private sector resources for the making
and servicing of loans while the Agency provides a financial
guarantee to encourage private sector activity.

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

2006 actual

2007 est.

2008 est.

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 ................... ...................
3,990
2150
2199

2210
2231
2251
2263

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: Terminations for default that result in
claim payments .........................................................

3,990
3,591

................... ................... ...................
................... ...................
2,993
................... ...................
¥100

2005 actual

517

2006 actual

591

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

¥12

2290

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

2,881

2299

Balance Sheet (in millions of dollars)
Identification code 12–4216–0–3–371

Identification code 12–4216–2–3–371

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

2,582

This financing account data reflects the proposal on 502
guarantees contained in a general provision that allows for

RURAL HOUSING SERVICE—Continued
Federal Funds—Continued

132
RURAL

THE BUDGET FOR FISCAL YEAR 2008
1263
1264

HOUSING INSURANCE FUND GUARANTEED LOAN FINANCING
ACCOUNT—Continued

the guarantee fee on new 502 guaranteed loans to be increased to 3 percent from 2 percent.

Direct loans ...............................................................
Other adjustments, net .............................................

¥40
¥20

¥34
¥3

¥29
¥5

1290

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

11,468

10,853

10,273

Status of Guaranteed Loans (in millions of dollars)

Identification code 12–4141–0–3–371

RURAL HOUSING INSURANCE FUND LIQUIDATING ACCOUNT
Program and Financing (in millions of dollars)
Identification code 12–4141–0–3–371

Obligations by program activity:
00.02 Advances on behalf of borrowers ..................................
01.06 Interest credits on loans sold to investors ...................
01.07 Other costs incident to loans ........................................

2006 actual

2007 est.

2008 est.

40
38
35
1 ................... ...................
4
4
3

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

10.00

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

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
88
59 ...................
New budget authority (gross) ........................................ ...................
41
38
Resources available from recoveries of prior year obligations .......................................................................
58 ................... ...................
22.40 Capital transfer to general fund ...................................
¥42
¥58 ...................
21.40
22.00
22.10

24.40

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

New budget authority (gross), detail:
Mandatory:
Spending authority from offsetting collections:
69.00
Offsetting collections (cash) ................................
69.27
Capital transfer to general fund ..........................
69.90

7
¥1

6
¥1

5
¥1

38
¥38

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

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

2299

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

As required by the Federal Credit Reform Act of 1990,
this account records, for this program, all cash flows to and
from the Government resulting from direct loans obligated
and loan guarantees committed prior to 1992. New loan activity in 1992 and beyond is recorded in corresponding program
and financing accounts.
Balance Sheet (in millions of dollars)
Identification code 12–4141–0–3–371

2005 actual

ASSETS:
1101 Federal assets: Fund balances with Treasury ..........................
1601 Direct loans, gross ......................................................................
1602 Interest receivable ........................................................................
1603 Allowance for estimated uncollectible loans and interest (–)

2006 actual

160
12,149
711
–5,686

89
11,468
737
–5,735

1,132
¥1,091

1,054
¥1,016

1604
1606

Direct loans and interest receivable, net .................................
Foreclosed property .......................................................................

7,174
13

6,470
16

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

1699
1901

Value of assets related to direct loans ...................................
Other Federal assets: Other assets ...........................................

7,187
94

6,486
3

Total assets ..................................................................................
LIABILITIES:
Federal liabilities:
2102 Interest payable ............................................................................
2103 Debt ...............................................................................................
2104 Resources payable to Treasury ...................................................
Non-Federal liabilities:
2204 Liabilities for loan guarantees ...................................................
2207 Other ..............................................................................................

7,441

6,578

1
1
7,347

1
1
6,477

1
91

1
98

2999

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

7,441

6,578

4999

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

7,441

6,578

Change in obligated balances:
Unpaid fund balance with treasury, end of year ..........
Total new obligations ....................................................
Total outlays (gross) ......................................................
Recoveries of prior year obligations ..............................

74.40

Obligated balance, end of year ................................

87.00

42
¥42

2008 est.

1,204
¥1,204

72.40
73.10
73.20
73.45

86.97
86.98

104
¥45

2007 est.

2290

01.91

23.90
23.95

2006 actual

1999
72
29
30
45
42
38
¥30
¥41
¥38
¥58 ................... ...................
29

Outlays (gross), detail:
Outlays from new mandatory authority ......................... ...................
41
38
Outlays from mandatory balances ................................
30 ................... ...................
Total outlays (gross) .................................................

Object Classification (in millions of dollars)
Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash) from:
88.00
Federal sources .....................................................
88.40
Repayments of loans and advances ....................
88.40
Proceeds from sale of acquired property .............
88.40
Payments on judgments .......................................
88.40
Interest payments from borrowers ........................
88.40
Recapture of subsidies .........................................
88.40
Income from residual investment in loan asset
sale ...................................................................
88.40
Fees and other revenue ........................................

Identification code 12–4141–0–3–371

¥1 ................... ...................
¥629
¥588
¥556
¥9
¥12
¥13
¥5
¥8
¥9
¥423
¥356
¥311
¥115
¥156
¥155

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

¥1,204

¥1,132

¥1,054

89.00
90.00

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

¥1,204
¥1,174

¥1,091
¥1,091

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

RURAL BUSINESS—COOPERATIVE SERVICE
Federal Funds

Status of Direct Loans (in millions of dollars)

Cumulative balance of direct loans outstanding:
1210 Outstanding, start of year .............................................
1251 Repayments: Repayments and prepayments .................
1261 Adjustments: Capitalized interest .................................
Write-offs for default:

2008 est.

99.9

¥1,016
¥1,016

Identification code 12–4141–0–3–371

2007 est.

3
3
3
41
39
35
1 ................... ...................

¥14
¥12
¥10
¥8 ................... ...................

88.90

2006 actual

Direct obligations:
25.2 Other services ................................................................
33.0 Investments and loans ..................................................
43.0 Interest and dividends ...................................................

2006 actual

12,149
¥629
8

BIOMASS RESEARCH

AND

DEVELOPMENT

Program and Financing (in millions of dollars)
Identification code 12–1003–0–1–271

2007 est.

11,468
¥588
10

2008 est.

10,853
¥556
10

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Biomass research and development .............................

26 ...................

10.00

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

26 ...................

21.40

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

14 ...................

RURAL BUSINESS—COOPERATIVE SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
22.00

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

12 ...................

23.90
23.95

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

26
¥12

26 ...................
¥26 ...................

24.40

Unobligated balance carried forward, end of year

14 ................... ...................

New budget authority (gross), detail:
Discretionary:
40.35
Appropriation permanently reduced .......................... ...................
Mandatory:
62.00
Transferred from other accounts ..............................
12
70.00

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

¥4 ...................
16 ...................
12 ...................

133

87.00

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

89.00
90.00

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

11
13

11 ...................
13
12

The goal of the Empowerment Zone/Enterprise Community
(EZ/EC) initiative is to revitalize rural communities in a manner that attracts private sector investment and thereby provides self-sustaining community and economic development.
No funding is provided in 2008 for EZ/EC grants.
f

86.97
86.98

Obligated balance, end of year ................................

18
12
¥7
23

23
47
26 ...................
¥2
¥4
47

Outlays (gross), detail:
Outlays from new mandatory authority ......................... ...................
2 ...................
Outlays from mandatory balances ................................
7 ...................
4

87.00

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

89.00
90.00

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

12
7

12 ...................
2
4

Biomass Research and Development is authorized by the
Biomass Research and Development Act of 2000. The program
provides competitive grants for research, development, and
demonstration to encourage innovation and development related to biomass, and improved commercialization of biobased
products and energy. USDA and the Department of Energy
jointly administer the program.
Current priorities focus on the following: feedstock development and production; biobased products emphasizing environmental and economic performance; integrated resource management and biomass use; and effective and targeted incentive systems for biomass commercialization and adoption.

AND

ENTERPRISE COMMUNITY GRANTS

Program and Financing (in millions of dollars)
Identification code 12–0402–0–1–452

Program and Financing (in millions of dollars)
Identification code 12–1900–0–1–452

2006 actual

2007 est.

2008 est.

00.01

Obligations by program activity:
Rural empowerment zones and enterprise community
grants ........................................................................

14 ...................

10.00

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

14 ...................

21.40
22.00

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

4
11

3 ...................
11 ...................

23.90
23.95

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

15
¥12

14 ...................
¥14 ...................

24.40

Unobligated balance carried forward, end of year

10.00

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

21.40
22.00
22.10

15
29

1 ...................
28
21

23.90
23.95

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

74.40

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

2 ................... ...................
46
¥45

29
¥29

21
¥21

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

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
30
29
21
40.35
Appropriation permanently reduced .......................... ...................
¥40 ...................
40.40
Appropriations permanently reduced pursuant to PL
xx-xx (¥) ..............................................................
¥1 ................... ...................

60.36
62.00

Appropriation (total discretionary) ........................
29
Mandatory:
Unobligated balance permanently reduced .............. ...................
Transferred from other accounts .............................. ...................

62.50

2008 est.

34
20
15
3 ................... ...................

43.00

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

2007 est.

Obligations by program activity:
00.01 Rural Cooperative Development Grants .........................
00.10 Value-added Agricultural Product Marketing (mandatory) ...........................................................................
00.11 Value added Agricultural Product Marketing (discretionary) ......................................................................
00.12 Appropriate Technology Transfer for Rural Areas .........

24.40

RURAL EMPOWERMENT ZONES

RURAL COOPERATIVE DEVELOPMENT GRANTS
For rural cooperative development grants authorized under section
310B(e) of the Consolidated Farm and Rural Development Act (7
U.S.C. 1932), $20,928,000, of which not to exceed $1,473,000 shall
be for cooperatives or associations of cooperatives whose primary focus
is to provide assistance to small, minority producers and whose governing board and/or membership is comprised of at least 75 percent
minority; and of which $15,000,000, to remain available until expended, shall be for value-added agricultural product market development grants, as authorized by section 6401 of the Farm Security
and Rural Investment Act of 2002 (7 U.S.C. 1621 note).

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

¥11

¥1 ...................
40 ...................

3 ................... ...................
70.00
11

25
12
¥13

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

72.40
73.10
73.20
73.40
73.45

74.40

Obligated balance, end of year ................................

86.90
86.93

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

39 ...................
28

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

24
25
14 ...................
¥13
¥12

Obligated balance, end of year ................................

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

2
11

2 ...................
11
12

40
53
74
45
29
21
¥29
¥8
¥33
¥1 ................... ...................
¥2 ................... ...................
53

8
¥4
17 ...................

5
¥4

134

RURAL BUSINESS—COOPERATIVE SERVICE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008

RURAL COOPERATIVE DEVELOPMENT GRANTS—Continued

60.36

Program and Financing (in millions of dollars)—Continued

69.00
69.00
69.10

Identification code 12–1900–0–1–452

86.97
86.98
87.00

2006 actual

2007 est.

2008 est.

Outlays from new mandatory authority ......................... ...................
12 ...................
Outlays from mandatory balances ................................
4 ...................
32
Total outlays (gross) .................................................

29
29

28
8

21
33

Grants for rural cooperative development were authorized
under section 310B(e) of the Consolidated Farm and Rural
Development Act by Public Law 104–127, April 4, 1996. These
grants are made available to nonprofit corporations and institutions of higher education to fund the establishment and
operation of centers for rural cooperative development. The
primary purpose of the centers is the improvement of economic conditions of rural areas through the development of
new cooperatives and improving operations of existing cooperatives. RBS can fund up to 75 percent of any project
and associated administrative costs and requires at least a
25 percent matching share from the applicant which must
be from non-Federal sources. In 2006, the Rural Business
Service began a separate solicitation for the Small Minority
Producer Grant. These grants provide assistance to small,
minority producers through cooperatives and associations of
cooperatives.
The Appropriate Technology Transfer to Rural Areas
(ATTRA) program was first authorized by the Food Security
Act of 1985. The program provides information and technical
assistance to agricultural producers to adopt sustainable agricultural practices that are environmentally friendly and lower
production costs. The 2008 Budget provides no funding for
this purpose.
Additionally, USDA provides value added marketing grants
for producers of agricultural commodities. These grants can
be used for planning activities and for working capital for
marketing value-added agricultural products.
f

Unobligated balance permanently reduced ..............
Spending authority from offsetting collections:
Offsetting collections (cash) ................................
Offsetting collections (cash) ................................
Change in uncollected customer payments from
Federal sources (unexpired) .............................

¥170 ................... ...................
90
4

70
7

52
7

¥19

¥11

¥10

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

70.00

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

¥95

¥13

72.40
73.10
73.20
74.00

¥79
10
¥8

¥58
10
¥75

¥112
10
¥58

¥58

¥112

¥150

Outlays (gross), detail:
Outlays from new mandatory authority .........................
8
Outlays from mandatory balances ................................ ...................

66
9

49
9

69.90

74.40

86.97
86.98
87.00

Obligated balance, end of year ................................

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

¥90
¥4

¥70
¥7

¥52
¥7

88.90

¥94

¥77

¥59

¥170
¥86

¥79
¥2

¥34
¥1

88.95

89.00
90.00

This grant program is authorized under section 313 of the
Rural Electrification Act, as amended, and provides funds
for the purpose of promoting rural economic development and
job creation projects, including funding for project feasibility
studies, start-up costs, incubator projects and other expenses
for the purpose of fostering rural development.
Funding for this program is provided from the interest differential on Rural Utilities Service borrowers’ cushion of credit accounts.

RURAL ECONOMIC DEVELOPMENT GRANTS

(INCLUDING CANCELLATION OF FUNDS)

NATIONAL SHEEP INDUSTRY IMPROVEMENT CENTER

Of the funds derived from interest on the cushion of credit payments,
as authorized by section 313 of the Rural Electrification Act of 1936,
$34,000,000 is permanently cancelled.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Identification code 12–1906–0–1–452

2006 actual

2007 est.

2008 est.

2007 est.

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

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

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

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

24.40

2006 actual

Obligations by program activity:
00.01 Direct program ...............................................................
10.00

Program and Financing (in millions of dollars)
Identification code 12–3105–0–1–452

Program and Financing (in millions of dollars)

Unobligated balance carried forward, end of year

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

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

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

2008 est.

Obligations by program activity:
00.01 Rural economic development grants .............................

10.00

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

21.40
22.00

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

187
¥95

82
¥13

59
15

23.90
23.95

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

92
¥10

69
¥10

74
¥10

24.40

Unobligated balance carried forward, end of year

New budget authority (gross), detail:
Discretionary:
40.36
Unobligated balance permanently reduced .............. ...................
Mandatory:

¥79

¥34

72.40
73.10
73.20
74.40

6
1 ...................
1 ................... ...................
7
¥6

Change in obligated balances:
Obligated balance, start of year ................................... ...................
Total new obligations ....................................................
6
Total outlays (gross) ......................................................
¥1
Obligated balance, end of year ................................

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

5 ...................
1 ...................
¥6
¥1

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

¥1

RURAL BUSINESS—COOPERATIVE SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE

86.97
86.98
87.00

Outlays (gross), detail:
Outlays from new mandatory authority .........................
1 ................... ...................
Outlays from mandatory balances ................................ ...................
6
1
Total outlays (gross) .................................................

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

73.10
73.20
73.32

43
¥79
118

74.40

Obligated balance, end of year ................................ ................... ...................

86.90
86.93

17
62

87.00

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

89.00
90.00

43
79

1 ................... ...................
1
6
1

The Federal Agriculture Improvement Act of 1996 established the National Sheep Industry Improvement Center to
promote activities to strengthen and enhance production or
marketing of sheep and goat products in the United States.
This Program was privatized in September 2006, as required
by statute, and is now the American Sheep and Goat Center.
f

RURAL STRATEGIC INVESTMENT PROGRAM GRANTS

The Rural Strategic Investment Program is authorized
under 7 U.S.C. 2009dd. The Rural Strategic Investment Program provides rural communities with flexible resources to
develop comprehensive, collaborative, and locally-based strategic planning processes; and implemented innovative community and economic development strategies that optimize regional competitive advantages. The program was authorized
and funded in section 6030 of the Farm Security and Rural
Investment Act of 2002, Public Law 107–171. The Deficit
Reduction Act canceled the funding and no funds are provided
in the Budget.

135

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
Identification code 12–1902–0–1–452

2006 actual

2007 est.

2008 est.

Guaranteed loan levels supportable by subsidy budget
authority:
215003 Business and industry loan guarantees ....................... ................... ...................

1,000

215999 Total loan guarantee levels ........................................... ................... ...................
Guaranteed loan subsidy (in percent):
232003 Business and industry loan guarantees ....................... ................... ...................

1,000

232999 Weighted average subsidy rate ..................................... ................... ...................
Guaranteed loan subsidy budget authority:
233003 Business and industry loan guarantees ....................... ................... ...................

4.32

233999 Total subsidy budget authority ...................................... ................... ...................
Guaranteed loan subsidy outlays:
234003 Business and industry loan guarantees ....................... ................... ...................

234999 Total subsidy outlays ..................................................... ................... ...................

4.32

RURAL BUSINESS PROGRAM ACCOUNT
(INCLUDING TRANSFER OF BALANCES)

For the costs of loan guarantees and grants, for the rural business
and cooperative development programs as authorized by 7 U.S.C. 1926
and 1932 and described in sections 381E(d)(3) and 310B(f) of the
Consolidated Farm and Rural Development Act (7 U.S.C. 1921 note),
$43,200,000, to remain available until expended: Provided, That of
the amount appropriated under this heading, not to exceed $236,000
shall be available through June 30, 2008, for authorized empowerment
zones and enterprise communities and communities designated by the
Secretary of Agriculture as Rural Economic Area Partnership Zones
for the rural business and cooperative development programs described
in section 381E(d)(3) of such Act: Provided further, That sections
381E–H and 381N of the Consolidated Farm and Rural Development
Act, are not applicable to funds made available under this heading:
Provided further, That any prior year balances in the ‘‘Rural Development, Rural Community Advancement Program’’ account for programs
authorized by 7 U.S.C. 1926 and 1932 and described in sections
381E(d)(3) and 310B(f) of the Consolidated Farm and Rural Development Act (7 U.S.C. 1921 note) shall be transferred to and merged
with this account: Provided further, That the Secretary shall transfer
and merge with this account any other prior balances from the ‘‘Rural
Development, Rural Community Advancement Program’’ account that
the Secretary determines is appropriate to transfer.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

This account funds direct and guaranteed business and industry loans, rural business enterprise grants, and rural business opportunity grants. Since the passage of the Federal
Agriculture Improvement and Reform Act of 1996 through
2007, the funding for these programs was provided as part
of the Rural Community Advancement Program (RCAP). For
2008, no funding is proposed in the RCAP account and instead, each funding stream is being appropriated separately
in a new account. This is the new account for the Business
funding stream.
Business and industry guaranteed and direct loans are authorized under section 310B(a)(1) of the Consolidated Farm
and Rural Development, as amended. These loans are made
to public, private or cooperative organizations, Indian tribes
or tribal groups, corporate entities, or individuals for the purpose of improving the economic climate in rural areas. For
direct loans no funds were requested or provided since 2002,
and no funds are requested in 2008. 2008 projections for
loan guarantees are $1 billion. No funding is provided in
this account for the rural business enterprise grants or the
rural business opportunity grants.
f

Program and Financing (in millions of dollars)
Identification code 12–1902–0–1–452

2006 actual

RURAL BUSINESS
2007 est.

2008 est.

00.02

Obligations by program activity:
Guaranteed loan subsidy ............................................... ................... ...................
Total new obligations (object class 41.0) ................ ................... ...................

AND

INDUSTRY DIRECT LOANS FINANCING
ACCOUNT

10.00

22.00
23.95
24.40

Program and Financing (in millions of dollars)
Identification code 12–4223–0–3–452

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.02 Interest on Treasury borrowings ....................................
43
¥43

10.00

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

21.40

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

Unobligated balance carried forward, end of year ................... ................... ...................

9 ...................

136

RURAL BUSINESS—COOPERATIVE SERVICE—Continued
Federal Funds—Continued

RURAL BUSINESS

AND INDUSTRY DIRECT
ACCOUNT—Continued

THE BUDGET FOR FISCAL YEAR 2008

1401
1402
1405
1499

Program and Financing (in millions of dollars)—Continued
Identification code 12–4223–0–3–452

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

LOANS FINANCING

2006 actual

2007 est.

2008 est.

83
7
–75

70
7
–66

New financing authority (gross) ....................................
3
9
7
Portion applied to repay debt ........................................ ...................
¥17
¥6
Balance of authority to borrow withdrawn ....................
¥12 ................... ...................

23.90
23.95

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

24.40

Unobligated balance carried forward, end of year

New financing authority (gross), detail:
Mandatory:
Spending authority from offsetting collections:
69.00
Offsetting collections (cash) ................................
69.47
Portion applied to repay debt ...............................
69.90

10
¥1

1
¥1

9 ................... ...................

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

15
1

5
15

2999

22.00
22.60
22.70

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

4999

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

1999

13
9
7
¥10 ................... ...................

RURAL BUSINESS

AND

INDUSTRY GUARANTEED LOANS FINANCING
ACCOUNT

Program and Financing (in millions of dollars)

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

7
Identification code 12–4227–0–3–452

Change in obligated balances:
73.10 Total new obligations ....................................................
73.20 Total financing disbursements (gross) .........................

1
¥1

Outlays (gross), detail:
Total financing disbursements (gross) .........................

87.00

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Default claims ...............................................................
00.02 Interest to Treasury ........................................................
00.05 Purchase from Secondary Market ..................................
00.06 Other ..............................................................................

26
29
32
8
6
6
57
63
69
2 ................... ...................

00.91
08.02
08.04

Direct Program by Activities—Subtotal (1 level)
Subsidy reestimates paid to receipt account ...............
Interest on downward reestimates ................................

93
98
107
10 ................... ...................
4 ................... ...................

08.91

Direct Program by Activities—Subtotal (1 level)
Total new obligations ................................................

107

Offsets:
Against gross financing authority and financing disbursements:
Offsetting collections (cash) from:
88.25
Interest on uninvested funds ...............................
88.40
Repayments of principal .......................................

¥1
¥12

¥3
¥6

¥2
¥5

10.00

88.90

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

¥13

¥9

¥7

300
152
¥14

331
89
¥27

295
106
¥27

89.00
90.00

21.40
22.00
22.60

¥10 ................... ...................
¥12
¥8
¥6

23.90
23.95

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

438
¥107

393
¥98

374
¥107

24.40

Unobligated balance carried forward, end of year

331

295

267

129

70.00

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

152

106

73.10
73.20

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

107
¥107

98
¥98

107
¥107

87.00

Outlays (gross), detail:
Total financing disbursements (gross) .........................

107

Offsets:
Against gross financing authority and financing disbursements:
Offsetting collections (cash) from:
88.00
Federal sources .....................................................
¥90
88.25
Interest on uninvested funds ...............................
¥12
88.40
Interest and principal on purchased loans from
secondary market .............................................
¥27
88.40
Guarantee fees ...................................................... ...................

¥34
¥8

¥42
¥9

¥25
¥8

¥30
¥9

Status of Direct Loans (in millions of dollars)
Identification code 12–4223–0–3–452

2006 actual

2007 est.

2008 est.

1210
1251
1263

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

81
¥8
¥4

69
¥6
¥4

59
¥5
¥4

1290

Outstanding, end of year ..........................................

14 ................... ...................

As required by the Federal Credit Reform Act of 1990,
this non-budgetary account records all cash flows to and from
the Government resulting from direct loans obligated in 1992
and beyond. The amounts in this account are a means of
financing and are not included in the budget totals. The subsidy cost of these programs is funded through the Rural Community Advancement Program. Loans made prior to 1992 are
recorded in the Rural Development Insurance Fund Liquidating Account.
Direct business and industry loans were made to public,
private, or cooperative organizations, Indian tribes or tribal
groups, corporate entities, or individuals for the purpose of
improving the economic climate in rural areas. Funding for
this purpose was discontinued beginning in 2002.

Identification code 12–4223–0–3–452

2005 actual

Total, offsetting collections (cash) .......................

¥129

¥75

¥90

89.00
90.00

Balance Sheet (in millions of dollars)

88.90

23
¥22

14
23

16
17

2006 actual

Status of Guaranteed Loans (in millions of dollars)
7
–6

9
....................

Identification code 12–4227–0–3–452

Position with respect to appropriations act limitation
on commitments:

2006 actual

2007 est.

2008 est.

RURAL BUSINESS—COOPERATIVE SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
2111
2131

Limitation on guaranteed loans made by private lenders .............................................................................. ................... ................... ...................
Guaranteed loan commitments exempt from limitation
766
1,102
1,000

2150
2199

Total guaranteed loan commitments ........................
Guaranteed amount of guaranteed loan commitments

Cumulative balance of guaranteed loans outstanding:
2210 Outstanding, start of year .............................................
2231 Disbursements of new guaranteed loans ......................
2251 Repayments and prepayments ......................................
Adjustments:
2263
Terminations for default that result in claim payments ....................................................................
2264
Other adjustments, net .............................................

766
613

1,102
881

1,000
800

4,183
489
¥674

3,884
889
¥662

3,978
1,018
¥698

137

00.09

Administrative expense ..................................................

10.00

Total new obligations ................................................

22.00
23.95

Budgetary resources available for obligation:
New budget authority (gross) ........................................
Total new obligations ....................................................

20
¥20

19
¥19

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................

2290

Outstanding, end of year ..........................................

3,884

3,978

4,142

2299

Memorandum:
Guaranteed amount of guaranteed loans outstanding,
end of year ................................................................

3,110

3,189

72.40
73.10
73.20
73.40

74.40

¥113
¥133
¥156
¥1 ................... ...................

Obligated balance, end of year ................................

86.90
86.93

Outlays (gross), detail:
Outlays from new discretionary authority .....................
Outlays from discretionary balances .............................

7
15

6
16

87.00

Total outlays (gross) .................................................

89.00
90.00

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

20
22

19
22

3,320

Identification code 12–4227–0–3–452

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
Identification code 12–2069–0–1–452

Balance Sheet (in millions of dollars)
2005 actual

2006 actual

49
43
41
20
20
19
¥22
¥22
¥22
¥4 ................... ...................

Direct loan levels supportable by subsidy budget authority:
115001 Rural development loan fund program .........................

2006 actual

2007 est.

2008 est.

300

332

216

162

1999

Total assets ..................................................................................
LIABILITIES:
Federal liabilities:
2104 Resources payable to Treasury ...................................................
2105 Other ..............................................................................................
2204 Non-Federal liabilities: Liabilities for loan guarantees ............

516

494

141
8
367

150
17
327

2999

Total liabilities .............................................................................

516

494

4999

Total liabilities and net position ...............................................

516

494

43.02

44.07

42.89

132999 Weighted average subsidy rate .....................................
Direct loan subsidy budget authority:
133001 Rural development loan fund program .........................

43.02

44.07

42.89

133999 Total subsidy budget authority ......................................
Direct loan subsidy outlays:
134001 Rural development loan fund program .........................

134999 Total subsidy outlays .....................................................
Direct loan downward reestimates:
137001 Rural development loan fund program .........................

¥3 ................... ...................

137999 Total downward reestimate budget authority ...............

¥3 ................... ...................

115999 Total direct loan levels ..................................................
Direct loan subsidy (in percent):
132001 Rural development loan fund program .........................

RURAL DEVELOPMENT LOAN FUND PROGRAM ACCOUNT
(INCLUDING TRANSFER OF FUNDS)

For the principal amount of direct loans, as authorized by the Rural
Development Loan Fund (42 U.S.C. 9812(a)), $33,772,000.
For the cost of direct loans, $14,485,000, as authorized by the Rural
Development Loan Fund (42 U.S.C. 9812(a)): Provided, That such
costs, including the cost of modifying such loans, shall be as defined
in section 502 of the Congressional Budget Act of 1974: Provided
further, That of the total amount appropriated, $880,000 shall be
available through June 30, 2008, for the cost of direct loans for authorized empowerment zones and enterprise communities and communities designated by the Secretary of Agriculture as Rural Economic
Area Partnership Zones.
In addition, for administrative expenses to carry out the direct loan
programs, $4,576,000 shall be paid to the appropriation for ‘‘Rural
Development, Salaries and Expenses’’.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

3510
3590

Administrative expense data:
Budget authority ............................................................
5
Outlays from new authority ........................................... ...................

5
5

This account finances loans to intermediary borrowers, who,
in turn, re-lend the funds to small rural businesses, community development corporations, and other organizations for
the purpose of improving economic opportunities in rural
areas. Through the use of local intermediaries, this program
serves small-scale enterprises and gives preference to those
communities with the greatest need.
As required by the Federal Credit Reform Act of 1990,
this account records, for this program, the subsidy costs associated with the direct loans obligated in 1992 and beyond,
as well as administrative expenses of this program. The subsidy amounts are estimated on a present value basis; the
administrative expenses are estimated on a cash basis.
Object Classification (in millions of dollars)

Program and Financing (in millions of dollars)
Identification code 12–2069–0–1–452
Identification code 12–2069–0–1–452

00.01

Obligations by program activity:
Direct loan subsidy ........................................................

2006 actual

2007 est.

2008 est.

Direct obligations:
25.3 Other purchases of goods and services from Government accounts ...........................................................

2006 actual

2007 est.

2008 est.

138

RURAL BUSINESS—COOPERATIVE SERVICE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008

RURAL DEVELOPMENT LOAN FUND PROGRAM ACCOUNT—Continued
89.00
90.00

(INCLUDING TRANSFER OF FUNDS)—Continued

17
17

24
37

24
27

Object Classification (in millions of dollars)—Continued
Status of Direct Loans (in millions of dollars)
Identification code 12–2069–0–1–452

2006 actual

2007 est.

2008 est.
Identification code 12–4219–0–3–452

41.0

Grants, subsidies, and contributions ............................

99.9

Total new obligations ................................................

2006 actual

2007 est.

2008 est.

Total direct loan obligations .....................................

1210
1231
1251

379
36
¥16

399
37
¥18

418
27
¥14

1290

Outstanding, end of year ..........................................

399

418

431

RURAL DEVELOPMENT LOAN FUND DIRECT LOAN FINANCING
ACCOUNT
Program and Financing (in millions of dollars)
Identification code 12–4219–0–3–452

Obligations by program activity:
00.01 Direct loans ....................................................................
00.02 Interest on Treasury Borrowing ......................................
00.91
08.02
08.04

2006 actual

34
15

2007 est.

33
16

2008 est.

34
16

Direct Program by Activities—Subtotal ....................
Downward subsidy reestimate paid to receipt account
Interest on downward subsidy reestimate paid to receipt account .............................................................

49
49
50
2 ................... ...................

08.91

Direct Program by Activities—Subtotal ....................

3 ................... ...................

10.00

Total new obligations ................................................

1 ................... ...................

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year ...................
1 ...................
New financing authority (gross) ....................................
49
66
59
Resources available from recoveries of prior year obligations .......................................................................
9 ................... ...................
22.60 Portion applied to repay debt ........................................ ...................
¥18
¥9
22.70 Balance of authority to borrow withdrawn ....................
¥5 ................... ...................
21.40
22.00
22.10

23.90
23.95

Total budgetary resources available for obligation
Total new obligations ....................................................

24.40

Unobligated balance carried forward, end of year

53
¥52

49
¥49

50
¥50

1 ................... ...................

As required by the Federal Credit Reform Act of 1990,
this non-budgetary account records all cash flows to and from
the Government resulting from direct loans obligated in 1992
and beyond. The amounts in this account are a means of
financing and are not included in the budget totals.
This account finances loans to intermediary borrowers, who
in turn relend the funds to small rural businesses, community
development corporations, or other organizations for the purpose of improving economic opportunities in rural areas.
Through the use of local intermediaries, this program serves
small-scale enterprises and gives preference to those communities with the greatest need.
Balance Sheet (in millions of dollars)
Identification code 12–4219–0–3–452

2005 actual

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 ........................................................................
1405 Allowance for subsidy cost (–) ..................................................

....................

379
2
–151

399
2
–154

70.00

247
247

243

247

Total liabilities .............................................................................

243

247

Total liabilities and net position ...............................................

243

247

1999

Total new financing authority (gross) ......................

230
243

2999

Spending authority from offsetting collections
(total mandatory) .............................................

Net present value of assets related to direct loans ..............

Total assets ..................................................................................
LIABILITIES:
2104 Federal liabilities: Resources payable to Treasury ...................

4999

69.90

¥6 ................... ...................
¥12 ................... ...................

1499

2006 actual

59
f

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 ..............................
74.00 Change in uncollected customer payments from Federal sources (unexpired) ............................................

57
52
22
52
49
50
¥54
¥79
¥62
¥9 ................... ...................
6 ................... ...................

74.40

Obligated balance, end of year ................................

87.00

Outlays (gross), detail:
Total financing disbursements (gross) .........................

RURAL DEVELOPMENT LOAN FUND LIQUIDATING ACCOUNT
Program and Financing (in millions of dollars)
Identification code 12–4233–0–3–452

New budget authority (gross), detail:
Mandatory:
Spending authority from offsetting collections:
69.00
Offsetting collections (cash) ................................
69.27
Capital transfer to general fund ..........................
69.90

2006 actual

6
¥6

2007 est.

6
¥6

2008 est.

5
¥5

Spending authority from offsetting collections
(total mandatory) ............................................. ................... ................... ...................

Offsets:
Against gross financing authority and financing disbursements:
Offsetting collections (cash) from:
88.00
Payments from program account .........................
¥17
88.25
Interest on uninvested funds ...............................
¥2
88.40
Non-Federal sources—repayment of principal ....
¥19
88.40
Non-Federal sources—interest on loans .............. ...................

¥17
¥3
¥17
¥5

¥17
¥4
¥12
¥2

Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash) from:
88.40
Loan repayments ...................................................
88.40
Borrower interest payments ..................................

¥5
¥1

¥4
¥1

¥38

¥42

¥35

88.90

Total, offsetting collections (cash) .......................

¥6

¥5

89.00

Net budget authority and outlays:
Budget authority ............................................................

¥6

¥5

88.90
88.95

Total, offsetting collections (cash) .......................
Against gross financing authority only:
Change in receivables from program accounts .......

6 ................... ...................

RURAL BUSINESS—COOPERATIVE SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
90.00

Outlays ...........................................................................

¥6

¥5

88.40

Status of Direct Loans (in millions of dollars)
Identification code 12–4233–0–3–452

2006 actual

2007 est.

89.00
90.00

2008 est.

1210
1251
1263

52
¥5
¥3

44
¥5
¥2

37
¥4
¥1

1290

Outstanding, end of year ..........................................

As required by the Federal Credit Reform Act of 1990,
this account records, for this program, all cash flows to and
from the Government resulting from direct loans obligated
prior to 1992. New loan activity in 1992 and beyond is recorded in corresponding program and financing accounts.

1699

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

6
6

¥7

5 ...................
5
¥2

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
Identification code 12–3108–0–1–452

2006 actual

Direct loan levels supportable by subsidy budget authority:
115001 Rural economic development loans program ................

2007 est.

2008 est.

2005 actual

2006 actual

1
52
....................
–25

....................
44
1
–22

19.97

21.84

22.59

19.97

21.84

22.59

133999 Total subsidy budget authority ......................................
Direct loan subsidy outlays:
134001 Rural economic development loans program ................

134999 Total subsidy outlays .....................................................
Direct loan upward reestimates:
135001 Rural economic development loans program ................

135999 Total upward reestimate budget authority ....................
Direct loan downward reestimates:
137001 Rural economic development loans program ................

1 ................... ...................
¥1 ................... ...................

137999 Total downward reestimate budget authority ...............

Identification code 12–4233–0–3–452

1604

Offsetting collections (cash) from: Non-Federal
sources .................................................................. ................... ...................

132999 Weighted average subsidy rate .....................................
Direct loan subsidy budget authority:
133001 Rural economic development loans program ................

Balance Sheet (in millions of dollars)

139

¥1 ................... ...................

115999 Total direct loan levels ..................................................
Direct loan subsidy (in percent):
132001 Rural economic development loans program ................

Direct loans and interest receivable, net .................................
Value of assets related to direct loans ...................................

Total assets ..................................................................................
LIABILITIES:
2104 Federal liabilities: Resources payable to Treasury ...................

2999

Total liabilities .............................................................................

4999

Total liabilities and net position ...............................................

1 ................... ...................

1999

RURAL ECONOMIC DEVELOPMENT LOANS PROGRAM ACCOUNT
Program and Financing (in millions of dollars)
Identification code 12–3108–0–1–452

00.01
00.05

Obligations by program activity:
Direct loan subsidy ........................................................
Reestimates of Direct Loan Subsidies ..........................

10.00

Total new obligations (object class 41.0) ................

2006 actual

2007 est.

2008 est.

5
5
7
1 ................... ...................
6

Total new budget authority (gross) ..........................

6
¥6

5
¥5

7
¥7

RURAL ECONOMIC DEVELOPMENT DIRECT LOAN FINANCING ACCOUNT

Identification code 12–4176–0–3–452

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Direct loans ....................................................................
00.02 Interest expense .............................................................

25
5

00.91
08.02

Direct Program by Activities—Subtotal (1 level)
Downward subsidy reestimate paid to receipt account

30
28
38
1 ................... ...................

10.00

Total new obligations ................................................

23
5

33
5

Budgetary resources available for obligation:
New financing authority (gross) ....................................
34
27
40
Resources available from recoveries of prior year obligations .......................................................................
2 ................... ...................
22.60 Portion applied to repay debt ........................................ ................... ...................
¥2
22.70 Balance of authority to borrow withdrawn ....................
¥6 ................... ...................
22.00
22.10

72.40
73.10
73.20

5
6
¥6

5
5
¥5

5
7
¥5

74.40

Obligated balance, end of year ................................

86.90
86.93
86.97

87.00

Total outlays (gross) .................................................
Offsets:
Against gross budget authority and outlays:

Program and Financing (in millions of dollars)

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
5
5 ...................
Mandatory:
60.00
Appropriation .............................................................
1 ................... ...................
69.00
Spending authority from offsetting collections: Offsetting collections (cash) ..................................... ................... ...................
7
70.00

Rural economic development loans are made for the purpose
of promoting rural economic development and job creation
projects. Loans are made to electric and telecommunication
borrowers, who, in turn, finance rural development projects
in their service areas. Program costs are derived from interest
earnings on borrowers’ ‘‘cushion of credit’’ loan prepayments.
As required by the Federal Credit Reform Act of 1990,
this account records, for this program, the subsidy costs associated with the direct loans obligated in 1992 and beyond.
The subsidy amounts are estimated on a present value basis.

2
1 ...................
3
4
3
1 ...................
2
6

23.90
23.95

Total budgetary resources available for obligation
Total new obligations ....................................................

30
¥31

27
¥28

38
¥38

¥1 ................... ...................
¥15
¥21
¥28

140

RURAL BUSINESS—COOPERATIVE SERVICE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008
4999

RURAL ECONOMIC DEVELOPMENT DIRECT LOAN FINANCING
ACCOUNT—Continued

Total liabilities and net position ...............................................

Program and Financing (in millions of dollars)—Continued
RURAL BUSINESS INVESTMENT PROGRAMS ACCOUNT
Identification code 12–4176–0–3–452

2006 actual

2007 est.

2008 est.

Program and Financing (in millions of dollars)
69.90
70.00

Spending authority from offsetting collections
(total mandatory) .............................................
Total new financing authority (gross) ......................

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 ..............................
74.00 Change in uncollected customer payments from Federal sources (unexpired) ............................................
74.40

Identification code 12–1907–0–1–452

Obligations by program activity:
00.02 Debenture subsidy .........................................................
00.09 Administrative expense ..................................................
00.10 Grants ............................................................................

2 ................... ...................
2 ................... ...................
1 ................... ...................

10.00

5 ................... ...................

20
15
16
31
28
38
¥35
¥27
¥40
¥2 ................... ...................
1 ................... ...................

Obligated balance, end of year ................................

21.40
22.00

Total new obligations ................................................

2006 actual

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
99
New budget authority (gross) ........................................ ...................

2007 est.

2008 est.

94 ...................
¥94 ...................

14
23.90
23.95

Outlays (gross), detail:
87.00 Total financing disbursements (gross) .........................

Total budgetary resources available for obligation
Total new obligations ....................................................

99 ................... ...................
¥5 ................... ...................

24.40

Unobligated balance carried forward, end of year

94 ................... ...................

Offsets:
Against gross financing authority and financing disbursements:
Offsetting collections (cash) from:
88.00
Federal Funds: Program Account ..........................
88.25
Interest on uninvested funds ...............................
88.40
Non-Federal sources: Repayment of Principal .....

¥6
¥1
¥14

¥5
¥2
¥20

¥5
¥4
¥31

88.90

¥21

¥27

¥40

72.40
73.10
73.20

1 ................... ...................

74.40

14 ................... ...................
14 ................... ...................

86.98

Outlays (gross), detail:
Outlays from mandatory balances ................................ ...................

3 ...................

89.00
90.00

Net budget authority and outlays:
Budget authority ............................................................ ...................
Outlays ........................................................................... ...................

¥94 ...................
3 ...................

88.95

Total, offsetting collections (cash) .......................
Against gross financing authority only:
Change in receivables from program accounts .......

89.00
90.00

New budget authority (gross), detail:
Mandatory:
60.36
Unobligated balance permanently reduced .............. ...................

Status of Direct Loans (in millions of dollars)
Identification code 12–4176–0–3–452

2006 actual

2007 est.

Total direct loan obligations .....................................

Change in obligated balances:
Obligated balance, start of year ................................... ...................
5
2
Total new obligations ....................................................
5 ................... ...................
Total outlays (gross) (¥) ............................................. ...................
¥3 ...................
Obligated balance, end of year ................................

Identification code 12–1907–0–1–452

Guaranteed loan levels supportable by subsidy budget
authority:
215001 Rural Business Investment Program .............................

83
19
¥20

82
24
¥23

215999 Total loan guarantee levels ...........................................
Guaranteed loan subsidy (in percent):
232001 Rural Business Investment Program .............................

232999 Weighted average subsidy rate .....................................
Guaranteed loan subsidy budget authority:
233001 Rural Business Investment Program .............................

2005 actual

2006 actual

ASSETS:
Federal assets: Fund balances with Treasury ..........................
Net value of assets related to post–1991 direct loans receivable:
1401 Direct loans receivable, gross ....................................................
1405 Allowance for subsidy cost (–) ..................................................

73
–5

83
–2

1499

Net present value of assets related to direct loans ..............

69
1

82
1

2999

1101

1999

Total liabilities .............................................................................

2006 actual

2007 est.

2008 est.

24 ................... ...................
24 ................... ...................
7.72

0.00

7.72

0.00

2 ................... ...................

233999 Total subsidy budget authority ......................................
2 ................... ...................
Guaranteed loan subsidy outlays:
234001 Rural Business Investment Program ............................. ...................
2 ...................
234999 Total subsidy outlays ..................................................... ...................

Balance Sheet (in millions of dollars)
Identification code 12–4176–0–3–452

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)

73
24
¥14

Outstanding, end of year ..........................................

2008 est.

¥94 ...................

3510
3580

2 ...................

Administrative expense data:
Budget authority ............................................................
2 ................... ...................
Outlays from balances ................................................... ...................
2 ...................

The Rural Business Investment Program is authorized
under 7 U.S.C. 2009cc. The purpose of this program is to
promote economic development and the creation of wealth
and job opportunities in rural areas and among individuals
living in those areas by encouraging developmental capital
investments in smaller enterprises primarily located in rural
areas. RBS may enter into participation agreements with
rural business investment companies and may guarantee debentures of rural business investment companies to enable
each rural business investment company to make developmental venture capital investments in smaller enterprises in
rural areas. Grants will be made to rural business investment

RURAL BUSINESS—COOPERATIVE SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE

companies and other entities for the purpose of providing
operational assistance to smaller enterprises financed by rural
business investment companies. The Rural Business Investment Program was authorized and provided mandatory funding by section 6029 of the Farm Security and Rural Investment Act of 2002, Public Law 107–171.
The Deficit Reduction Act cancelled the unobligated balance
and no funds are requested in the Budget.
As required by the Federal Credit Reform Act of 1990,
this account records, for this program, the subsidy costs associated with the loan guarantees committed in 1992 and beyond, as well as administrative expenses of this program.
The subsidy amounts are estimated on a present value basis;
the administrative expenses are estimated on a cash basis.

2006 actual

2007 est.

Cumulative balance of guaranteed loans outstanding:
Outstanding, start of year ............................................. ................... ...................
24
Disbursements of new guaranteed loans ...................... ...................
24 ...................
Repayments and prepayments ...................................... ................... ...................
¥1

2290

Outstanding, end of year .......................................... ...................

2299

Memorandum:
Guaranteed amount of guaranteed loans outstanding,
end of year ................................................................ ...................

Balance Sheet (in millions of dollars)
Identification code 12–4033–0–3–452

2008 est.

Direct obligations:
25.2 Administrative Expenses ................................................
41.0 Grants, subsidies, and contributions ............................

2 ................... ...................
3 ................... ...................

99.9

5 ................... ...................

Total new obligations ................................................
f

Program and Financing (in millions of dollars)
2006 actual

2007 est.

2008 est.

Budgetary resources available for obligation:
21.40 Unobligated balance carried forward, start of year ...................
2
2
22.00 New financing authority (gross) ....................................
2 ................... ...................
23.90

Total budgetary resources available for obligation

24.40

Unobligated balance carried forward, end of year

69.90

72.40
74.00
74.40

Spending authority from offsetting collections
(total mandatory) .............................................

RENEWABLE ENERGY PROGRAM

¥2 ...................
2 ...................

Identification code 12–1908–0–1–451

2006 actual

2007 est.

2008 est.

2
21

10
13

19
15

Total new obligations (object class 41.0) ................

22.00
23.95

Budgetary resources available for obligation:
New budget authority (gross) ........................................
Total new obligations ....................................................

23
¥23

34
¥34

24.40

¥2 ...................

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
23
Mandatory:
62.00
Transferred from other accounts .............................. ...................

70.00

Total new budget authority (gross) ..........................

72.40
73.10
73.20
73.40

2 ...................

2007 est.

Unobligated balance carried forward, end of year ................... ................... ...................

74.40

¥2 ................... ...................

Status of Guaranteed Loans (in millions of dollars)
2008 est.

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
24 ................... ...................
Total guaranteed loan commitments ........................
Guaranteed amount of guaranteed loan commitments

Program and Financing (in millions of dollars)

10.00

Net financing authority and financing disbursements:
89.00 Financing authority ........................................................ ................... ................... ...................
90.00 Financing disbursements ............................................... ...................
¥2 ...................

2150
2199

¥2 ...................

2 ................... ...................

2006 actual

....................

2 ...................

Identification code 12–4033–0–3–452

Obligations by program activity:
00.02 Guaranteed loan subsidy ...............................................
00.10 Renewable energy grants ..............................................

Change in obligated balances:
Obligated balance, start of year ................................... ...................
Change in uncollected customer payments from Federal sources (unexpired) ............................................
¥2
Obligated balance, end of year ................................

....................

New financing authority (gross), detail:
Mandatory:
Spending authority from offsetting collections:
69.00
Offsetting collections (cash) ................................ ...................
69.10
Change in uncollected customer payments from
Federal sources (unexpired) .............................
2

2006 actual

For the cost of a program of direct loans, loan guarantees, and
grants, under the same terms and conditions as authorized by section
9006 of the Farm Security and Rural Investment Act of 2002 (7
U.S.C. 8106), $33,941,000 for direct and guaranteed renewable energy
loans and grants: Provided, That the cost of direct loans and loan
guarantees, including the cost of modifying such loans, shall be as
defined in section 502 of the Congressional Budget Act of 1974.

RURAL BUSINESS INVESTMENT PROGRAM GUARANTEE FINANCING
ACCOUNT

Identification code 12–4033–0–3–452

2005 actual

ASSETS:
Federal assets: Investments in US securities:
1106 Receivables, net ...........................................................................
LIABILITIES:
2204 Non-Federal liabilities: Liabilities for loan guarantees ............

Object Classification (in millions of dollars)
Identification code 12–1907–0–1–452

2210
2231
2251

141

24 ................... ...................
24 ................... ...................

86.93
86.98

3 ...................
34

55
67
74
23
23
34
¥9
¥16
¥25
¥2 ................... ...................
67

Outlays (gross), detail:
Outlays from discretionary balances .............................
9
16
Outlays from mandatory balances ................................ ................... ...................

27
¥2

87.00

Total outlays (gross) .................................................

89.00
90.00

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

23
9

23
16

34
25

142

RURAL BUSINESS—COOPERATIVE SERVICE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008

RENEWABLE ENERGY PROGRAM—Continued

2263

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)

2290

Outstanding, end of year .......................................... ...................

2299

Memorandum:
Guaranteed amount of guaranteed loans outstanding,
end of year ................................................................ ...................

Identification code 12–1908–0–1–451

2006 actual

Guaranteed loan levels supportable by subsidy budget
authority:
215001 Renewable energy program ...........................................

2007 est.

2008 est.

Adjustments: Terminations for default that result in
claim payments ......................................................... ................... ................... ...................

154

195

154

195

6.45

6.49

9.69

Identification code 12–4267–0–3–451

232999 Weighted average subsidy rate .....................................
Guaranteed loan subsidy budget authority:
233001 Renewable energy program ...........................................

6.45

6.49

9.69

....................

233999 Total subsidy budget authority ......................................
Guaranteed loan subsidy outlays:
234001 Renewable energy program ...........................................

ASSETS:
1101 Federal assets: Fund balances with Treasury ..........................
Net value of assets related to post–1991 direct loans receivable:
1401 Direct loans receivable, gross ....................................................
1405 Allowance for subsidy cost (–) ..................................................

....................
....................

1
–1

2
1499

Net present value of assets related to direct loans ..............

....................

234999 Total subsidy outlays .....................................................

Total assets ..................................................................................
LIABILITIES:
2104 Federal liabilities: Resources payable to Treasury ...................

....................

2999

Total liabilities .............................................................................

....................

4999

Negative subsidy BA total [12–1908] .......................................

....................

215999 Total loan guarantee levels ...........................................
Guaranteed loan subsidy (in percent):
232001 Renewable energy program ...........................................

Renewable Energy Systems and Energy Efficiency Improvements are authorized under 7 U.S.C. 8106. This program
provides direct loans, loan guarantees, and grants to farmers,
ranchers, and small rural businesses to purchase renewable
energy systems and make energy efficiency improvements.
The Farm Security and Rural Investment Act of 2002, Public
Law 107–171, dated May 13, 2002, as amended by the Deficit
Reduction Act of 2005, Public Law 109–171, dated February
8, 2006, provides $3 million in mandatory funding in 2007
from the Commodity Credit Corporation, canceling $20 million.
f

1999

ALTERNATIVE AGRICULTURAL RESEARCH AND COMMERCIALIZATION
CORPORATION REVOLVING FUND
Program and Financing (in millions of dollars)
Identification code 12–4144–0–3–352

2006 actual

2007 est.

2008 est.

2007 est.

2008 est.

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
New financing authority (gross) ....................................

1
2

3
2

5
2

23.90

Total budgetary resources available for obligation

24.40

Unobligated balance carried forward, end of year

New financing authority (gross), detail:
Mandatory:
69.00
Spending authority from offsetting collections: Offsetting collections (cash) .....................................

Offsets:
Against gross financing authority and financing disbursements:
88.00
Offsetting collections (cash) from: Federal sources

¥2

Total budgetary resources available for obligation

24.40

21.40
22.00

Unobligated balance carried forward, end of year

New budget authority (gross), detail:
Discretionary:
58.00
Spending authority from offsetting collections: Offsetting collections (cash) .....................................

1 ................... ...................

Offsets:
Against gross budget authority and outlays:
88.40
Offsetting collections (cash) from: Non-Federal
sources ..................................................................

¥1 ................... ...................

¥2

89.00
90.00

2006 actual

23.90

Program and Financing (in millions of dollars)
2006 actual

2005 actual

Budgetary resources available for obligation:
21.40 Unobligated balance carried forward, start of year ...................
1
1
22.00 New budget authority (gross) ........................................
1 ................... ...................

RENEWABLE ENERGY GUARANTEED LOAN FINANCING ACCOUNT

Identification code 12–4267–0–3–451

Balance Sheet (in millions of dollars)

89.00
90.00

RURAL UTILITIES SERVICE

Federal Funds
HIGH ENERGY COST GRANTS

Status of Guaranteed Loans (in millions of dollars)
Identification code 12–4267–0–3–451

2006 actual

Program and Financing (in millions of dollars)

2007 est.

2008 est.

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
24
154
195
2150

Total guaranteed loan commitments ........................

154

195

Cumulative balance of guaranteed loans outstanding:
2210 Outstanding, start of year ............................................. ................... ...................
2231 Disbursements of new guaranteed loans ...................... ...................
5
2251 Repayments and prepayments ...................................... ................... ...................

5
38
¥2

Identification code 12–2042–0–1–452

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 High energy cost grants ................................................

39 ................... ...................

10.00

Total new obligations (object class 41.0) ................

39 ................... ...................

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 ....................................................

30
26

17 ...................
¥17 ...................

56 ................... ...................
¥39 ................... ...................

RURAL UTILITIES SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
24.40

Unobligated balance carried forward, end of year

17 ................... ...................

New budget authority (gross), detail:
Discretionary:
40.36
Unobligated balance permanently reduced .............. ...................
¥17 ...................
42.00
Transferred from other accounts ..............................
26 ................... ...................
43.00

Appropriation (total discretionary) ........................

72.40
73.10
73.20

74.40

Obligated balance, end of year ................................

¥17 ...................

10
28
12
39 ................... ...................
¥21
¥16
4
28

143

Development Act (7 U.S.C. 1921 note) shall be transferred and merged
with this account: Provided further, That the Secretary shall transfer
and merge with this account any other prior balances from the ‘‘Rural
Development, Rural Community Advancement Program’’ account that
the Secretary determines is appropriate to transfer.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
Identification code 12–1980–0–1–452

2006 actual

2007 est.

2008 est.

18
3

87.00

Total outlays (gross) .................................................

26
21

¥8 ...................
24
¥4
16

¥17 ...................
16
¥4

AND

Total new obligations (object class 41.0) ................ ................... ...................

503

22.00
23.95

503
¥503

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation ............................................................. ................... ...................

503

73.10
73.20
73.32

503
¥486
2,048

74.40

Obligated balance, end of year ................................ ................... ...................

2,065

86.90
86.93

22
464

87.00

Total outlays (gross) ................................................. ................... ...................

486

89.00
90.00

503
486

¥4

Funding has been provided since 2001 to support grants
for areas that have high energy costs. These grants can be
made to eligible entities or the Denali Commission to construct, extend, upgrade, and otherwise improve energy generation, transmission, or distribution facilities serving communities in which the average residential expenditure for home
energy is at least 275 percent of the national average residential expenditure for home energy (as determined by the Energy Information Agency using the most recent data available). Grants are also available to establish and support a
revolving fund to provide a more cost-effective means of purchasing fuel where the fuel cannot be shipped by means of
surface transportation.

RURAL WATER

153
346
4

10.00

Outlays (gross), detail:
86.90 Outlays from new discretionary authority .....................
86.93 Outlays from discretionary balances .............................

Obligations by program activity:
00.01 Direct Loan Subsidy ....................................................... ................... ...................
00.10 Water and waste disposal systems grants ................... ................... ...................
00.11 Solid waste management grants .................................. ................... ...................

WASTE DISPOSAL PROGRAM ACCOUNT

(INCLUDING TRANSFER OF BALANCES)

For the costs of direct loans, loan guarantees, and grants for the
rural utilities programs as authorized by 7 U.S.C. 1926, 1926a, 1926c,
1926d, and 1932 and described in sections 381E(d)(2), 360C(a)(2),
and 306D of the Consolidated Farm and Rural Development Act (7
U.S.C. 1921 note), $502,779,000, to remain available until expended:
Provided, That of the total amount appropriated in this account, not
to exceed $1,000,000 shall be available for the rural utilities program
described in section 306E of such Act: Provided further, That not
to exceed $9,000,000 of the amounts appropriated in this account
shall be for loans and grants to benefit Federally Recognized Native
American Tribes, including grants for drinking water and waste disposal systems pursuant to section 306C of such Act: Provided further,
That not to exceed $10,000,000 of the amounts appropriated in this
account shall be for water and waste disposal systems to benefit the
Colonias along the United States/Mexico border, including grants
pursuant to section 306C of such Act: Provided further, That not
to exceed $16,215,000 of the amount appropriated in this account
shall be for technical assistance grants for rural water and waste
systems pursuant to section 306(a)(14) of such Act: Provided further,
That not to exceed $9,500,000 of the amount appropriated in this
account shall be for contracting with qualified national organizations
for a circuit rider program to provide technical assistance for rural
water systems: Provided further, That not to exceed $13,400,000 of
the amounts appropriated in this account shall be available through
June 30, 2008, for authorized empowerment zones and enterprise communities and communities designated by Secretary of Agriculture as
Rural Economic Area Partnership Zones for the rural utilities programs described in section 381E(d)(2) of such Act: Provided further,
That sections 381E-H and 381N of such Act, are not applicable to
funds made available under this heading: Provided further, That any
prior year balances in the ‘‘Rural Development, Rural Community
Advancement Program’’ account for programs authorized by 7 U.S.C.
1926, 1926a, 1926c, 1926d, and 1932 and described in sections
381E(d)(2), 360C(a)(2), and 306D of the Consolidated Farm and Rural

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
Identification code 12–1980–0–1–452

2006 actual

2007 est.

Direct loan levels supportable by subsidy budget authority:
115001 Direct water and waste disposal .................................. ................... ...................

2008 est.

1,080

115999 Total direct loan levels .................................................. ................... ...................
Direct loan subsidy (in percent):
132001 Direct water and waste disposal .................................. ................... ...................

1,080

132999 Weighted average subsidy rate ..................................... ................... ...................
Direct loan subsidy budget authority:
133001 Direct water and waste disposal .................................. ................... ...................

14.20

133999 Total subsidy budget authority ...................................... ................... ...................
Direct loan subsidy outlays:
134001 Direct water and waste disposal .................................. ................... ...................

153

134999 Total subsidy outlays ..................................................... ................... ...................

Guaranteed loan levels supportable by subsidy budget
authority:
215001 Water and waste disposal loan guarantees ................. ................... ...................

215999 Total loan guarantee levels ........................................... ................... ...................
Guaranteed loan subsidy (in percent):
232001 Water and waste disposal loan guarantees ................. ................... ...................

14.20

153

75
¥0.82

232999 Weighted average subsidy rate ..................................... ................... ...................
Guaranteed loan subsidy budget authority:
233001 Water and waste disposal loan guarantees ................. ................... ...................

¥0.82

233999 Total subsidy budget authority ...................................... ................... ...................

¥1

This account funds the direct and guaranteed water and
waste disposal loans, water and waste disposal grants, emer-

144

RURAL UTILITIES SERVICE—Continued
Federal Funds—Continued

RURAL WATER

AND

THE BUDGET FOR FISCAL YEAR 2008

WASTE DISPOSAL PROGRAM ACCOUNT—
Continued

(INCLUDING TRANSFER OF BALANCES)—Continued

gency community water assistance grants, and solid waste
management grants. Since the passage of the Federal Agriculture Improvement and Reform Act of 1996 through 2007,
the funding for these programs was provided as part of the
Rural Community Advancement Program (RCAP). For 2008,
no funding is proposed in the RCAP account and instead,
each funding stream is being appropriated separately in a
new account. This is the new account for the Water and
Wastewater funding stream.
Water and waste disposal loans are authorized under 7
U.S.C. 1926. The program provides direct loans to municipalities, counties, special purpose districts, certain Indian Tribes,
and non-profit corporations to develop water and waste disposal systems in rural areas and towns with populations of
less than 10,000. The program also guarantees water and
waste disposal loans made by banks and other eligible lenders. The projected loan level for direct loans is $1.08 billion
in 2008 and for guarantees it is $75 million. The 2008 direct
loan subsidy rate reflects a reduction in the borrower’s interest rate for the direct loans, making them more affordable
to qualifying rural communities.
Water and waste disposal grants are authorized under Section 306(a)(2) of the Consolidated Farm and Rural Development Act, as amended. Grants are authorized to be made
to associations, including nonprofit corporations, municipalities, counties, public and quasi-public agencies, and certain
Indian tribes. The grants can be used to finance development,
storage, treatment, purification, or distribution of water or
the collection, treatment, or disposal of waste in rural areas
and cities or towns with populations of less than 10,000.
The amount of any development grant may not exceed 75
percent of the eligible development cost of the project. $346
million is projected for this program in 2008.
Emergency community water assistance grants are authorized under Section 306A of the Consolidated Farm and Rural
Development Act, as amended. Grants are made to public
bodies and nonprofit organizations for construction or extension of water lines, repair or maintenance of existing systems,
replacement of equipment, and payment of costs to correct
emergency situations. These grants are funded on an as needed basis using RCAP flexibility of funds authorization.
Solid waste management grants are authorized under Section 310B(b) of the Consolidated Farm and Rural Development Act, as amended. Grants are made to non-profit organizations to provide regional technical assistance to local and
regional governments and related agencies for the purpose
of reducing or eliminating pollution of water resources, and
for improving the planning and management of solid waste
disposal facilities. $3.5 million is projected for this program
in 2008.
f

RURAL WATER

AND

WASTE DISPOSAL DIRECT LOANS FINANCING
ACCOUNT

10.00

2006 actual

2007 est.

2008 est.

Obligations by program activity:
Operating program:
00.01
Direct loans ...............................................................
00.02
Interest on Treasury borrowing .................................
00.06 Other ..............................................................................

1,008
737
1,080
391
421
452
7 ................... ...................

00.91
08.02
08.04

Direct Program by Activities—Subtotal ....................
Subsidy reestimate paid to receipt account .................
Interest on reestimate paid to receipt account ............

1,406
1,158
1,532
58 ................... ...................
20 ................... ...................

08.91

Direct Program by Activities—Subtotal (1 level)

78 ................... ...................

1,484

1,158

1,532

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
187
17 ...................
New financing authority (gross) ....................................
1,416
1,365
1,757
Resources available from recoveries of prior year obligations .......................................................................
62 ................... ...................
22.60 Portion applied to repay debt ........................................ ...................
¥224
¥225
22.70 Balance of authority to borrow withdrawn ....................
¥164 ................... ...................
21.40
22.00
22.10

23.90
23.95

Total budgetary resources available for obligation
Total new obligations ....................................................

24.40

Unobligated balance carried forward, end of year

1,501
¥1,484

1,158
¥1,158

1,532
¥1,532

17 ................... ...................

1,017

753

1,042

605

623

645

13
¥11
70
¥219 ................... ...................

Spending authority from offsetting collections
(total mandatory) .............................................

399

612

715

70.00

Total new financing authority (gross) ......................

1,416

1,365

1,757

72.40
73.10
73.20
73.45
74.00

Change in obligated balances:
Obligated balance, start of year ...................................
Total new obligations ....................................................
Total financing disbursements (gross) .........................
Recoveries of prior year obligations ..............................
Change in uncollected customer payments from Federal sources (unexpired) ............................................

2,461
2,726
2,448
1,484
1,158
1,532
¥1,144
¥1,447
¥1,443
¥62 ................... ...................
¥13

¥70

74.40

Obligated balance, end of year ................................

2,726

2,448

2,467

87.00

Outlays (gross), detail:
Total financing disbursements (gross) .........................

1,144

1,447

1,443

Offsets:
Against gross financing authority and financing disbursements:
Offsetting collections (cash) from:
88.00
Federal sources .....................................................
88.25
Interest on uninvested funds ...............................
88.40
Repayment of principal ........................................
88.40
Interest Received on Loans ..................................
88.40
Non-Federal sources .............................................

¥53
¥84
¥37
¥40
¥219
¥244
¥308
¥255
12 ...................

¥82
¥41
¥252
¥264
¥6

88.90

¥605

¥623

¥645

¥13

¥70

798
539

753
824

1,042
798

88.95

Total, offsetting collections (cash) .......................
Against gross financing authority only:
Change in receivables from program accounts .......

89.00
90.00

Status of Direct Loans (in millions of dollars)
Identification code 12–4226–0–3–452

2006 actual

2007 est.

2008 est.

Total direct loan obligations .....................................

1210
1231
1251
1264

1290

Outstanding, end of year ..........................................

Program and Financing (in millions of dollars)
Identification code 12–4226–0–3–452

Total new obligations ................................................

1,008

737

1,080

6,639
7,105
7,887
675
1,026
984
¥213
¥244
¥252
4 ................... ...................
7,105

7,887

8,619

RURAL UTILITIES SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE

sidy cost of these loans is provided through the Rural Community Advancement Program. Loans made prior to 1992 are
recorded in the Rural Development Insurance Fund Liquidating Account.
The water and waste disposal program makes loans and
grants to finance water systems and waste disposal facilities
in rural areas.

145

2210
2231
2251

33
1
¥1

33
16
¥4

45
62
¥6

2290

Outstanding, end of year ..........................................

101

2299

Memorandum:
Guaranteed amount of guaranteed loans outstanding,
end of year ................................................................

Balance Sheet (in millions of dollars)
Identification code 12–4226–0–3–452

2005 actual

ASSETS:
Federal assets:
1101 Fund balances with Treasury .....................................................
Investments in US securities:
1106 Receivables, net ...........................................................................
Net value of assets related to post–1991 direct loans receivable:
1401 Direct loans receivable, gross ....................................................
1402 Interest receivable ........................................................................
1405 Allowance for subsidy cost (–) ..................................................
1499

2006 actual

–1

6,639
67
–705

7,104
76
–663

Net present value of assets related to direct loans ..............

6,001

6,517

6,072

6,537

6,022
50

6,506
31

2999

Total liabilities .............................................................................

6,072

6,537

4999

Total liabilities and net position ...............................................

6,072

6,537

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 guaranteed loans committed
in 1992 and beyond. The amounts in this account are a means
of financing and are not included in the budget totals. Loans
made prior to 1992 are recorded in the Rural Development
Insurance Fund Liquidating Account.
This account finances loan guarantee commitments for
water systems, and waste disposal facilities in rural areas.

1999

AND

WASTE WATER DISPOSAL GUARANTEED LOANS
FINANCING ACCOUNT

Program and Financing (in millions of dollars)
Identification code 12–4218–0–3–452

RURAL ELECTRIFICATION AND TELECOMMUNICATIONS LOANS
PROGRAM ACCOUNT
(INCLUDING TRANSFER OF FUNDS)

RURAL WATER

2006 actual

2007 est.

2008 est.

Obligations by program activity:
08.01 Negative subsidy ............................................................ ...................

10.00

Total new obligations ................................................ ...................

22.00
23.95

Budgetary resources available for obligation:
New financing authority (gross) .................................... ...................
Total new obligations .................................................... ...................

1
¥1

New financing authority (gross), detail:
Mandatory:
69.00
Spending authority from offsetting collections: Offsetting collections (cash) ..................................... ...................

Insured loans pursuant to the authority of section 305 of the Rural
Electrification Act of 1936 (7 U.S.C. 935) shall be made as follows:
5 percent rural electrification loans, $100,000,000; loans made pursuant to section 306 of that Act, rural electric, $4,000,000,000; 5 percent
rural telecommunications loans, $145,000,000; cost of money rural
telecommunications loans, $250,000,000; and for loans made pursuant
to section 306 of that Act, rural telecommunications loans,
$295,000,000.
For the cost, as defined in section 502 of the Congressional Budget
Act of 1974, including the cost of modifying loans, of direct and
guaranteed loans authorized by sections 305 and 306 of the Rural
Electrification Act of 1936 (7 U.S.C. 935 and 936), as follows: cost
of rural electric loans, $120,000, and the cost of telecommunications
loans, $3,620,000: Provided, That notwithstanding section 305(d)(2)
of the Rural Electrification Act of 1936, borrower interest rates may
exceed 7 percent per year.
In addition, for administrative expenses necessary to carry out the
direct and guaranteed loan programs, $37,009,000 which shall be
paid to the appropriation for ‘‘Rural Development, Salaries and Expenses’’.

Offsets:
Against gross financing authority and financing disbursements:
88.40
Offsetting collections (cash) from: Non-Federal
sources .................................................................. ...................

¥1

2006 actual

2007 est.

2008 est.

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
75
75
2150
2199

Total guaranteed loan commitments ........................
Guaranteed amount of guaranteed loan commitments

3
2

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Direct loan subsidy ........................................................
00.03 Subsidy for modifications of direct loans .....................
00.05 Reestimate of direct loan subsidy ................................
00.06 Interest on reestimates of direct loan subsidy .............
00.09 Administrative expenses subject to limitation ..............

6
4
4
1 ................... ...................
25 ................... ...................
8 ................... ...................
38
39
37

10.00

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year ...................
New budget authority (gross) ........................................
86

8
43

8
41

21.40
22.00

Total new obligations ................................................

23.90
23.95

Status of Guaranteed Loans (in millions of dollars)
Identification code 12–4218–0–3–452

Program and Financing (in millions of dollars)
Identification code 12–1230–0–1–271

Change in obligated balances:
73.10 Total new obligations .................................................... ...................

89.00
90.00

75
60

Total budgetary resources available for obligation
Total new obligations ....................................................

86
¥78

51
¥43

49
¥41

24.40

Unobligated balance carried forward, end of year

70.00

Total new budget authority (gross) ..........................

33 ................... ...................
43

146

RURAL UTILITIES SERVICE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008

RURAL ELECTRIFICATION AND TELECOMMUNICATIONS LOANS
PROGRAM ACCOUNT—Continued
(INCLUDING TRANSFER OF FUNDS)—Continued

Program and Financing (in millions of dollars)—Continued
Identification code 12–1230–0–1–271

72.40
73.10
73.20
73.40

74.40

Obligated balance, end of year ................................

2006 actual

2007 est.

2008 est.

87.00

Total outlays (gross) .................................................

89.00
90.00

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

86
79

43
48

41
44

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)

115999 Total direct loan levels ..................................................
Direct loan subsidy (in percent):
132001 Hardship electric ............................................................
132002 Municipal electric ..........................................................
132003 Treasury electric .............................................................
132004 FFB electric ....................................................................
132005 Hardship telephone ........................................................
132006 Treasury telephone .........................................................
132007 FFB telephone ................................................................
132008 Electric Underwriter .......................................................

2006 actual

2007 est.

2008 est.

99
101
990
2,700
145
420
125
1,500

99
100
99 ...................
990 ...................
3,000
4,000
143
145
247
250
299
295
500 ...................

6,080

5,377

4,790

0.92
5.05
0.01
¥0.48
¥1.80
0.05
¥1.57
¥1.26

2.14
1.51
0.00
¥1.19
0.37
0.03
¥1.49
¥0.44

0.12
0.00
0.00
¥0.70
0.08
0.67
0.62
0.00

132999 Weighted average subsidy rate .....................................
¥0.50
¥0.71
¥0.51
Direct loan subsidy budget authority:
133001 Hardship electric ............................................................
1
2 ...................
133002 Municipal electric ..........................................................
5
1 ...................
133004 FFB electric ....................................................................
¥13
¥36
¥28
133005 Hardship telephone ........................................................
¥3
1 ...................
133006 Treasury telephone ......................................................... ................... ...................
2
133007 FFB telephone ................................................................
¥2
¥4
2
133008 Electric Underwriter .......................................................
¥19
¥2 ...................
133999 Total subsidy budget authority ......................................
¥31
¥38
¥24
Direct loan subsidy outlays:
134001 Hardship electric ............................................................
4
1
1
134002 Municipal electric .......................................................... ...................
4
3
134003 Treasury electric .............................................................
¥1 ................... ...................
134004 FFB electric ....................................................................
¥38
¥34
¥36
134005 Hardship telephone ........................................................
1
4
3
134007 FFB telephone ................................................................
¥1
¥2
¥2
134008 Electric Underwriter .......................................................
¥16
¥5
¥2
134999 Total subsidy outlays .....................................................
Direct loan upward reestimates:
135001 Hardship electric ............................................................
135002 Municipal electric ..........................................................
135003 Treasury electric .............................................................
135004 FFB electric ....................................................................
135006 Treasury telephone .........................................................
135007 FFB telephone ................................................................
135999 Total upward reestimate budget authority ....................
Direct loan downward reestimates:
137001 Hardship electric ............................................................

3510
3590

Administrative expense data:
Budget authority ............................................................
Outlays from new authority ...........................................

¥55
¥14
¥3
¥19
¥25
¥15
¥144

...................
...................
...................
...................
...................
...................
...................

¥287 ................... ...................

39
39

38
38

37
37

40
39
37
6
9
7
33 ................... ...................

Direct loan levels supportable by subsidy budget authority:
115001 Hardship electric ............................................................
115002 Municipal electric ..........................................................
115003 Treasury electric .............................................................
115004 FFB electric ....................................................................
115005 Hardship telephone ........................................................
115006 Treasury telephone .........................................................
115007 FFB telephone ................................................................
115008 Electric Underwriter .......................................................

Municipal electric ..........................................................
Treasury electric .............................................................
FFB electric ....................................................................
Hardship telephone ........................................................
Treasury telephone .........................................................
FFB telephone ................................................................
Electric Underwriter .......................................................

137999 Total downward reestimate budget authority ...............
42
39
34
78
43
41
¥79
¥48
¥44
¥2 ................... ...................

Identification code 12–1230–0–1–271

137002
137003
137004
137005
137006
137007
137008

¥51

¥32

¥33

1
13
2
13
1
3

...................
...................
...................
...................
...................
...................

33 ................... ...................
¥12 ................... ...................

The Rural Utilities Service (RUS) conducts the rural electrification and the rural telecommunications loan programs.
The rural electrification loan program is financed through
RUS direct and guaranteed loans for the operation of generating plants, electric transmission, and distribution lines or
systems. The rural telecommunications loan program is financed through RUS direct loans for construction, expansion,
and operation of telecommunications lines and facilities or
systems.
Since 1992, RUS electric loans have been used primarily
to finance transmission, distribution and upgrades to generation facilities. During this time, generation has been deregulated and has become a more commercial operation. With
the increased needs for all aspects of electricity provision,
and to ensure adequate funding for rural areas, RUS loans
will continue to focus on transmission, distribution, and upgrading generation facilities. Construction of new generation
facilities should be financed through the commercial market.
USDA will propose rule changes to require recertification
of rural status for each electric and telecommunications borrower on the first loan request received in or after 2008
and on the first loan request received after each subsequent
Census.
USDA will determine if the current method of issuing loans,
‘‘first in; first out,’’ provides adequate support to the areas
with the highest priority needs. USDA analyzed borrower and
community characteristics for loans approved in 2005. The
$3.3 billion in financing, funding 94 distribution loans and
16 generation and transmission loans, supported projects in
1,682 of the 2,500 non-metropolitan counties, including 332
counties classified as persistent poverty counties. In addition,
of the over 2 million consumers supported by the 94 distribution loans, 92.5% were in areas classified as rural by the
U.S. Census.
RUS will cancel loans obligated, but not disbursed, more
than ten years ago. Most electric loans obligated more than
ten years ago have either been disbursed or cancelled. However, current law prohibits the cancellation of telecommunications loans in most instances. This has resulted in many
outstanding obligations that are older than ten years. Since
loans are issued for specific projects, and technology is changing at a very fast pace, it is doubtful that the original project
will be accomplished ten years after a loan is approved. Legislation will be proposed to allow the cancellation of all electric
and telecommunications loan obligations that are more than
ten years old.
As required by the Federal Credit Reform Act of 1990,
this account records, for rural electrification and telecommunications programs, the subsidy costs associated with the direct
and guaranteed loans obligated in 1992 and beyond (including
modifications of direct loans or loan guarantees that resulted
from obligations or commitments in any year), as well as
administrative expenses of this program. The subsidy
amounts are estimated on a present value basis; the administrative expenses are estimated on a cash basis.

RURAL UTILITIES SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
Object Classification (in millions of dollars)
Identification code 12–1230–0–1–271

2006 actual

2007 est.

89.00
90.00

2008 est.

Direct obligations:
Other purchases of goods and services from Government accounts ...........................................................
41.0 Grants, subsidies, and contributions ............................

38
40

39
4

37
4

99.9

25.3

Total new obligations ................................................
f

RURAL ELECTRIFICATION AND TELECOMMUNICATIONS DIRECT LOAN
FINANCING ACCOUNT

Identification code 12–4208–0–3–271

2006 actual

2007 est.

2008 est.

00.01
00.02

Obligations by program activity:
Direct loans ....................................................................
Interest on Treasury borrowing ......................................

00.91
08.01
08.02
08.03
08.04

Subtotal, Operating program ....................................
Negative subsidy paid to receipt account ....................
Downward subsidy amount paid to receipt account
Adjusting payments to liquidating account ..................
Interest on downward subsidy reestimate ....................

08.91

Direct Program by Activities—Subtotal (1 level)

343

Total new obligations ................................................

7,449

6,719

6,118

274
8,426

227 ...................
6,718
6,118

4,394
4,136

2006 actual

2007 est.

2008 est.

Total direct loan obligations .....................................

Cumulative balance of direct loans outstanding:
Outstanding, start of year .............................................
Disbursements:
1231
Direct loan disbursements ........................................
1233
Purchase of loans assets from a liquidating account .....................................................................
1251 Repayments: Repayments and prepayments .................
1261 Adjustments: Capitalized interest .................................
Write-offs for default:
1263
Direct loans ...............................................................
1264
Other adjustments, Reclassifed, net ........................

6,080

5,377

4,790

19,845

24,328

28,585

5,130

5,033

4,537

10.00

5,009
4,662

1210
Identification code 12–4208–0–3–271

6,703
4,816

Status of Direct Loans (in millions of dollars)

1150

Program and Financing (in millions of dollars)

147

23.90
23.95

Total budgetary resources available for obligation
Total new obligations ....................................................

24.40

Unobligated balance carried forward, end of year

6,080
1,026

5,377
1,300

4,790
1,300

7,106
6,677
6,090
36
42
28
223 ................... ...................
20 ................... ...................
64 ................... ...................

359 ................... ...................
¥664
¥226 ...................
¥719 ................... ...................
7,676
¥7,449

6,719
¥6,719

1290

Outstanding, end of year ..........................................

20 ................... ...................
¥680
¥776
¥775
2 ................... ...................
¥2 ................... ...................
13 ................... ...................
24,328

Balance Sheet (in millions of dollars)
Identification code 12–4208–0–3–271

New financing authority (gross), detail:
Mandatory:
67.10
Authority to borrow ....................................................
6,703
Spending authority from offsetting collections:
69.00
Offsetting collections (cash) ................................
1,725
69.10
Change in uncollected customer payments from
Federal sources (unexpired) .............................
¥2
69.47
Portion applied to repay debt ............................... ...................
69.90

5,709

5,972

1,715

1,731

¥6
¥700

¥7
¥1,578

Spending authority from offsetting collections
(total mandatory) .............................................

1,723

1,009

146

70.00

Total new financing authority (gross) ......................

8,426

6,718

6,118

72.40
73.10
73.20
73.45
74.00

Change in obligated balances:
Obligated balance, start of year ...................................
Total new obligations ....................................................
Total financing disbursements (gross) .........................
Recoveries of prior year obligations ..............................
Change in uncollected customer payments from Federal sources (unexpired) ............................................

11,586
12,137
12,485
7,449
6,719
6,118
¥6,541
¥6,377
¥5,867
¥359 ................... ...................
2

74.40

Obligated balance, end of year ................................

12,137

12,485

12,743

87.00

Outlays (gross), detail:
Total financing disbursements (gross) .........................

6,541

6,377

5,867

Offsets:
Against gross financing authority and financing disbursements:
Offsetting collections (cash) from:
88.00
Payment from program account ...........................
88.25
Interest on uninvested funds ...............................
88.40
Repayment of principal ........................................
88.40
Interest received on loans ....................................
88.40
Other .....................................................................
88.90
88.95

Total, offsetting collections (cash) .......................
Against gross financing authority only:
Change in receivables from program accounts .......

¥40
¥10
¥7
¥86
¥88
¥78
¥681
¥694
¥706
¥906
¥923
¥940
¥12 ................... ...................

32,347

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 electric and telecommunication direct loans obligated in 1992 and beyond (including
modifications of direct loans that resulted from obligations
in any year). The amounts in this account are a means of
financing and are not included in the budget totals.

6,118
¥6,118

227 ................... ...................

28,585

ASSETS:
Federal assets:
1101 Fund balances with Treasury .....................................................
Investments in US securities:
1106 Receivables, net ...........................................................................
Net value of assets related to post–1991 direct loans receivable:
1401 Direct loans receivable, gross ....................................................
1402 Interest receivable ........................................................................
1405 Allowance for subsidy cost (–) ..................................................
1499

2005 actual

2006 actual

245

167

17,858
2
–600

22,226
–22
–204

Net present value of assets related to direct loans ..............

17,260

22,000

Total assets ..................................................................................
LIABILITIES:
2103 Federal liabilities: Debt ...............................................................
2207 Non-Federal liabilities: Other ......................................................

17,522

22,185

17,384
138

21,932
253

2999

Total liabilities .............................................................................

17,522

22,185

4999

Total liabilities and net position ...............................................

17,522

22,185

1999

ASSETS:
Federal assets:
1101 Fund balances with Treasury .....................................................
Investments in US securities:
1106 Receivables, net ...........................................................................
Net value of assets related to post–1991 direct loans receivable:
1401 Direct loans receivable, gross ....................................................
1402 Interest receivable ........................................................................
1405 Allowance for subsidy cost (–) ..................................................

1,987
1
10

2,102
1
70

1499

Net present value of assets related to direct loans ..............

1,998

2,173

2,103

2,247

2,075
28

2,214
33

1999

¥1,725

¥1,715

¥1,731

2999

Total liabilities .............................................................................

2,103

2,247

4999

Negative subsidy BA total [12–1230] .......................................

2,103

2,247

148

RURAL UTILITIES SERVICE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008

RURAL ELECTRIFICATION AND TELECOMMUNICATIONS GUARANTEED
LOANS FINANCING ACCOUNT

73.20
73.45
74.00

Status of Guaranteed Loans (in millions of dollars)
Identification code 12–4209–0–3–271

2006 actual

2007 est.

2008 est.

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 ................... ................... ...................
2150
2199

Total guaranteed loan commitments ........................ ................... ................... ...................
Guaranteed amount of guaranteed loan commitments ................... ................... ...................

2210
2231
2251
2264

2290

Outstanding, end of year ..........................................

218

214

210

2299

Memorandum:
Guaranteed amount of guaranteed loans outstanding,
end of year ................................................................

218

214

210

221
218
214
3 ................... ...................
¥9
¥4
¥4
3 ................... ...................

TELECOMMUNICATIONS LIQUIDATING
ACCOUNT

Program and Financing (in millions of dollars)
2006 actual

2007 est.

2008 est.

Obligations by program activity:
Interest expense on certificates of beneficial ownership ............................................................................
226
197
197
00.02 Interest expense, FFB direct ..........................................
346
293
274
00.03 Other interest expense ................................................... ...................
13
17
00.05 Other: cushion of credit .................................................
70
59
49
00.07 Other RTB .......................................................................
1,437 ................... ...................
00.01

10.00

Total new obligations ................................................

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
New budget authority (gross) ........................................
Resources available from recoveries of prior year obligations .......................................................................
22.40 Capital transfer to general fund ...................................
22.60 Portion applied to repay debt ........................................
21.40
22.00
22.10

2,079

562

537

3,784
¥3

1,138
480

792
495

Total budgetary resources available for obligation
Total new obligations ....................................................

3,217
¥2,079

1,354
¥562

1,131
¥537

24.40

Unobligated balance carried forward, end of year

1,138

792

594

69.90

157

45 ...................

Outlays (gross), detail:
Outlays from new mandatory authority ......................... ...................
Outlays from mandatory balances ................................
2,154
Total outlays (gross) .................................................

459
215
674

2,154

439
143
582

Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash) from:
88.00
Federal sources .....................................................
¥21 ................... ...................
88.25
Interest on uninvested funds ...............................
¥46 ................... ...................
88.40
Loans repaid including Cushion of Credit of
282 ...................................................................
¥903
¥1,021
¥968
88.40
Interest repaid including Cushion of Credit of
308 ...................................................................
¥352
¥377
¥320
88.40
Fees—Electric Underwriter ................................... ...................
¥7
¥7

88.95

89.00
90.00

¥1,322

¥1,405

¥1,295

6 ................... ...................

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

¥1,319
832

¥925
¥731

¥800
¥713

Status of Direct Loans (in millions of dollars)
2006 actual

2007 est.

2008 est.

13,831
12,686
11,505
6
6
6
¥1,185
¥1,185
¥1,028
60 ................... ...................
¥7 ................... ...................
¥19
¥2
¥1

Outstanding, end of year ..........................................

12,686

11,505

10,482

Status of Guaranteed Loans (in millions of dollars)
Identification code 12–4230–0–3–999

2006 actual

2007 est.

2008 est.

Cumulative balance of guaranteed loans outstanding:
2210 Outstanding, start of year .............................................
233
167
149
2251 Repayments and prepayments ......................................
¥66
¥18
¥15
2263 Adjustments: Terminations for default that result in
claim payments ......................................................... ................... ................... ...................
2290

Outstanding, end of year ..........................................

167

149

134

2299

43 ................... ...................
¥540 ................... ...................
¥67
¥264
¥156

23.90
23.95

New budget authority (gross), detail:
Mandatory:
60.36
Unobligated balance permanently reduced ..............
Spending authority from offsetting collections:
69.00
Offsetting collections (cash) ................................
69.10
Change in uncollected customer payments from
Federal sources (unexpired) .............................
69.27
Capital transfer to general fund ..........................
69.47
Portion applied to repay debt ...............................

87.00

6 ................... ...................

Obligated balance, end of year ................................

Identification code 12–4230–0–3–999

AND

Identification code 12–4230–0–3–999

86.97
86.98

88.90

RURAL ELECTRIFICATION

74.40

¥2,154
¥674
¥582
¥43 ................... ...................

Total outlays (gross) ......................................................
Recoveries of prior year obligations ..............................
Change in uncollected customer payments from Federal sources (unexpired) ............................................

Memorandum:
Guaranteed amount of guaranteed loans outstanding,
end of year ................................................................

167

149

134

STATUS OF AGENCY DEBT
[In millions of dollars]
2006 actual

¥3 ................... ...................
1,322

1,405

1,295

¥6 ................... ...................
¥464 ................... ...................
¥852
¥925
¥800

Spending authority from offsetting collections
(total mandatory) ............................................. ...................

480

Agency debt held by FFB:
Outstanding FFB direct, start of year ....................................
Outstanding Certificate of Beneficial Ownership (CBO’s),
start of year .......................................................................
New agency borrowing, FFB direct .........................................
Repayments and prepayments, FFB Direct ............................
Repayments, CBO’s .................................................................
Outstanding FFB direct, end of year ......................................
Outstanding CBO’s, end of year .............................................

2007 est.

2008 est.

7,902

7,366

6,902

4,270
0
–536
0
7,366
4,270

4,270
0
–464
–354
6,902
3,916

3,916
0
–435
0
6,467
3,916

495

70.00

Total new budget authority (gross) ..........................

¥3

480

495

72.40
73.10

Change in obligated balances:
Obligated balance, start of year ...................................
Total new obligations ....................................................

269
2,079

157
562

45
537

As required by the Federal Credit Reform Act of 1990,
this account records, for rural electrification and telecommunications programs, all cash flows to and from the Government
resulting from direct loans obligated and loan guarantees
committed prior to 1992. All new activity in RETRF in 1992

RURAL UTILITIES SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE

and beyond is recorded in corresponding program and financing accounts.
The Rural Telephone Bank has dissolved. To accomplish
this, the Rural Telephone Bank liquidating account loans
were used to redeem a portion of the Government’s stock.
The Rural Telephone Bank liquidating account loans were
transferred to the Rural Electrification and Telecommunications liquidating account in 2006.
The Rural Utilities Service (RUS) will continue to service
all loans in this account providing business management and
technical assistance to the borrowers on a regular basis over
the life of the loans.
RUS will cancel loans obligated, but not disbursed, more
than ten years ago. Most electric loans obligated more than
ten years ago have either been disbursed or cancelled. However, current law prohibits the cancellation of telecommunications loans in most instances. This has resulted in many
outstanding obligations that are older than ten years. Since
loans are issued for specific projects, and technology is changing at a very fast pace, it is doubtful that the original project
will be accomplished ten years after a loan is approved. Legislation will be proposed to allow the cancellation of all electric
and telecommunications loan obligations that are more than
ten years old.
Rural electric.—This program is financed through RUS direct loans for the construction and operation of generating
plants, electric transmission, and distribution lines or systems.
The following tables reflect statistics on loans made through
the liquidating account only. Since 1992 new electric and
telephone loans have been made through a separate program
account.

Balance Sheet (in millions of dollars)
Identification code 12–4230–0–3–999

2005 actual

2006 actual

1,792
12,308
26
–1,599

927
11,969
25
–1,460

1604

Direct loans and interest receivable, net .................................

10,735

10,534

1699

Value of assets related to direct loans ...................................

10,735

10,534

Total assets ..................................................................................
LIABILITIES:
Federal liabilities:
2103 Debt ...............................................................................................
2104 Resources payable to Treasury ...................................................
2105 Other ..............................................................................................

12,527

11,461

13,936
–1,492
83

13,125
–1,729
65

2999

Total liabilities .............................................................................

12,527

11,461

4999

Total liabilities and net position ...............................................

12,527

11,461

2,205

371

369
1,523
9
–125

....................
1,235
42
–79

1,407

1,198

1999

ASSETS:
Federal assets: Fund balances with Treasury ..........................
Non-Federal assets: Investments in non-Federal securities,
net .............................................................................................
1601 Direct loans, gross ......................................................................
1602 Interest receivable ........................................................................
1603 Allowance for estimated uncollectible loans and interest (–)
1101
1201

1604

Direct loans and interest receivable, net .................................

1699

Value of assets related to direct loans ...................................

1,407

1,198

Total assets ..................................................................................
LIABILITIES:
Federal liabilities:
2103 Debt ...............................................................................................
2104 Resources payable to Treasury ...................................................
2105 Other ..............................................................................................

3,981

1,569

1,343
802
1,416

1,296
201
5

2999

3,561

1,502

420

1999

Total liabilities .............................................................................
NET POSITION:
3300 Cumulative results of operations ...............................................

ELECTRIC PROGRAM STATISTICS
[dollars in millions]
2006 actual

Cumulative RUS financed direct loans .......................................
Cumulative FFB financed direct loans .......................................
Cumulative RUS funds advanced ...............................................
Unadvanced RUS funds, end of year ..........................................
Cumulative RUS principal repaid ...............................................
Cumulative RUS interest paid ....................................................
Cumulative loan guarantee commitments ..................................
Number of borrowers ...................................................................

149

21,851
27,084
21,832
0
17,064
12,485
0
705

2007 est.

21,851
27,084
21,832
0
18,294
12,895
0
705

2008 est.

21,851
27,084
21,832
0
19,430
13,261
0
705

Rural telecommunications.—This loan program is financed
through RUS direct loans for the construction, expansion, and
operation of telecommunications lines and facilities or systems.

3999

Total net position ........................................................................

420

4999

Total liabilities and net position ...............................................

3,981

1,569

Object Classification (in millions of dollars)
Identification code 12–4230–0–3–999

2006 actual

2007 est.

2008 est.

Direct obligations:
25.2 Other services ................................................................
1,507
33.0 Investments and loans .................................................. ...................
43.0 Interest and dividends ...................................................
572

59
13
490

49
17
471

99.9

562

537

Total new obligations ................................................

2,079

TELECOMMUNICATIONS PROGRAM STATISTICS

RURAL TELEPHONE BANK PROGRAM ACCOUNT

[dollars in millions]

Program and Financing (in millions of dollars)
2006 actual

Cumulative RUS financed direct loans .......................................
Cumulative FFB financed direct loans .......................................
Cumulative RUS funds advanced ...............................................
Unadvanced RUS funds, end of period ......................................
Cumulative RUS principal repaid ...............................................
Cumulative RUS interest paid ....................................................
Cumulative loan guarantee commitments ..................................
Number of borrowers ...................................................................

6,023
562
5,903
105
4,595
3,162
0
487

2007 est.

6,023
562
5,908
100
4,751
3,188
0
487

2008 est.

6,023
562
5,918
90
4,882
3,210
0
487

RURAL TELEPHONE BANK PROGRAM STATISTICS
[dollars in millions]
2006 actual

Cumulative net loans ..................................................................
Cumulative loan funds, advanced ..............................................
Unadvanced loan funds, end of year .........................................
Cumulative principal repaid .......................................................
Cumulative interest paid ............................................................
Number of borrowers ...................................................................

2,052
2,485
32
2,471
2,449
255

2007 est.

2,487
2,502
15
2,551
2,489
253

2008 est.

2,515
2,502
15
2,574
2,500
251

Identification code 12–1231–0–1–452

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.09 Administrative expenses subject to limitation ..............

2 ................... ...................

10.00

Total new obligations (object class 25.2) ................

2 ................... ...................

22.00
23.95

Budgetary resources available for obligation:
New budget authority (gross) ........................................
Total new obligations ....................................................

3 ................... ...................
¥2 ................... ...................

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................

3 ................... ...................

16
13
12
2 ................... ...................
¥3
¥1
¥1
¥2 ................... ...................

72.40
73.10
73.20
73.40

150

RURAL UTILITIES SERVICE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008
24.40

RURAL TELEPHONE BANK PROGRAM ACCOUNT—Continued
Program and Financing (in millions of dollars)—Continued
Identification code 12–1231–0–1–452

74.40

86.90
86.93

2007 est.

2008 est.

Outlays (gross), detail:
Outlays from new discretionary authority .....................
3 ................... ...................
Outlays from discretionary balances ............................. ...................
1
1

87.00

Total outlays (gross) .................................................

89.00
90.00

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

3 ................... ...................
3
1
1

2006 actual

Direct loan subsidy outlays:
134001 Rural Telephone Bank ....................................................

2007 est.

¥1

¥27 ................... ...................

Administrative expense data:
Budget authority ............................................................
Outlays from new authority ...........................................

2 ................... ...................
2 ................... ...................

The Rural Telephone Bank completed dissolution in 2006
so no federally funded RTB loans are proposed.
RUS will cancel loans obligated, but not disbursed, more
than ten years ago. Current law prohibits the cancellation
of RTB loans in most instances. This has resulted in many
outstanding obligations that are older than ten years. Since
loans are issued for specific projects, and technology is changing at a very fast pace, it is doubtful that the original project
will be accomplished ten years after a loan is approved. Legislation will be proposed to allow the cancellation of all RTB
loan obligations that are more than ten years old.
As required by the Federal Credit Reform Act of 1990,
this account records, for the RTB, the subsidy costs associated
with the direct loans obligated in 1992 and beyond as well
as administrative expenses for the program. The subsidy
amounts are estimated on a present value basis; administrative expenses are estimated on a cash basis.
f

¥3
¥56

¥2
¥150

¥1
¥150

Spending authority from offsetting collections
(total mandatory) .............................................

Total new financing authority (gross) ......................

72.40
73.10
73.20
73.45
74.00

Change in obligated balances:
Obligated balance, start of year ...................................
Total new obligations ....................................................
Total financing disbursements (gross) .........................
Recoveries of prior year obligations ..............................
Change in uncollected customer payments from Federal sources (unexpired) ............................................

69.90

1,218
894
782
51
26
28
¥120
¥140
¥112
¥258 ................... ...................
3

Obligated balance, end of year ................................

894

782

699

87.00

Outlays (gross), detail:
Total financing disbursements (gross) .........................

120

140

112

Program and Financing (in millions of dollars)
2006 actual

2007 est.

Offsets:
Against gross financing authority and financing disbursements:
Offsetting collections (cash) from:
88.00
Federal sources ..................................................... ...................
¥1
¥1
88.25
Interest on uninvested funds ...............................
¥5
¥13
¥12
88.40
Principal received on loans ..................................
¥45
¥77
¥74
88.40
Interest received on loans ....................................
¥20
¥81
¥78
88.40
Sale of RTB Stock ................................................. ................... ................... ...................
88.90
88.95

Total, offsetting collections (cash) .......................
Against gross financing authority only:
Change in receivables from program accounts .......

89.00
90.00

¥70

¥172

¥165

¥29
49

¥103
¥32

¥87
¥53

Status of Direct Loans (in millions of dollars)
Identification code 12–4210–0–3–452

2006 actual

2007 est.

2008 est.

1210
1231
1251

356
66
¥44

378
114
¥77

415
85
¥75

1290

Outstanding, end of year ..........................................

378

415

425

RURAL TELEPHONE BANK DIRECT LOAN FINANCING ACCOUNT

2008 est.

Balance Sheet (in millions of dollars)

Obligations by program activity:
00.02 Interest on Treasury borrowing ......................................
08.02 Downward reestimates paid to receipt accounts ..........
08.04 Interest on downward reestimate paid to receipt account ..........................................................................

10 ................... ...................

08.91

Direct Program by Activities—Subtotal ....................

27 ................... ...................

10.00

Total new obligations ................................................

24
26
28
17 ................... ...................

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
82
3
41
New financing authority (gross) ....................................
38
67
77
Resources available from recoveries of prior year obligations .......................................................................
258 ................... ...................
22.60 Portion applied to repay debt ........................................ ...................
¥3 ...................
22.70 Balance of authority to borrow withdrawn ....................
¥324 ................... ...................
21.40
22.00
22.10

Total budgetary resources available for obligation
Total new obligations ....................................................

63
165

137999 Total downward reestimate budget authority ...............

23.90
23.95

47
172

74.40
¥1

¥27 ................... ...................

Identification code 12–4210–0–3–452

2008 est.

134999 Total subsidy outlays .....................................................
Direct loan downward reestimates:
137001 Rural Telephone Bank ....................................................

3510
3590

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
Identification code 12–1231–0–1–452

70.00

2006 actual

Obligated balance, end of year ................................

Unobligated balance carried forward, end of year

54
¥51

67
¥26

118
¥28

Identification code 12–4210–0–3–452

2005 actual

2006 actual

356
10

377
6

Net present value of assets related to direct loans ..............

366

383

380

387

336
44

374
13

1499
1999

RURAL UTILITIES SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
2999

Total liabilities .............................................................................

380

387

4999

Total liabilities and net position ...............................................

380

387

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
Identification code 12–1232–0–1–452

DISTANCE LEARNING, TELEMEDICINE,

AND

2006 actual

Direct loan levels supportable by subsidy budget authority:
115001 Distance Learning and Telemedicine ............................
115003 Direct Broadband Treasury Rate loans .........................

BROADBAND PROGRAM

For the principal amount of broadband telecommunication loans,
$300,000,000.
For grants for telemedicine and distance learning services in rural
areas, as authorized by 7 U.S.C. 950aaa et seq., $24,750,000, to remain available until expended.
For the cost of broadband loans, as authorized by 7 U.S.C. 901
et seq., $6,450,000: Provided, That the cost of direct loans shall be
as defined in section 502 of the Congressional Budget Act of 1974.

151

2008 est.

156 ...................
999
300

333

1,155

300

1.50
2.15

0.63
2.15

0.00
2.15

132999 Weighted average subsidy rate .....................................
2.14
Direct loan subsidy budget authority:
133001 Distance Learning and Telemedicine ............................ ...................
133003 Direct Broadband Treasury Rate loans .........................
7

1.94

2.15

133999 Total subsidy budget authority ......................................
7
Direct loan subsidy outlays:
134001 Distance Learning and Telemedicine ............................ ...................
134003 Direct Broadband Treasury Rate loans .........................
1

1
18

134999 Total subsidy outlays .....................................................
Direct loan upward reestimates:
135001 Distance Learning and Telemedicine ............................
135003 Direct Broadband Treasury Rate loans .........................

115999 Total direct loan levels ..................................................
Direct loan subsidy (in percent):
132001 Distance Learning and Telemedicine ............................
132003 Direct Broadband Treasury Rate loans .........................

4
329

2007 est.

135999 Total upward reestimate budget authority ....................

8 ................... ...................

1 ...................
21
6

Program and Financing (in millions of dollars)
Identification code 12–1232–0–1–452

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Direct loan subsidy ........................................................
00.05 Reestimate of direct loan subsidy ................................
00.06 Interest of reestimate of direct loan subsidy ...............
00.10 Grants ............................................................................

7
22
6
7 ................... ...................
1 ................... ...................
70
35
25

10.00

88
48

53
6

2
31

Total new obligations (object class 41.0) ................

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
New budget authority (gross) ........................................
Resources available from recoveries of prior year obligations .......................................................................
22.21 Unobligated balance transferred to other accounts
21.40
22.00
22.10

4 ................... ...................
¥2 ................... ...................

23.90
23.95

Total budgetary resources available for obligation
Total new obligations ....................................................

138
¥85

59
¥57

33
¥31

24.40

Unobligated balance carried forward, end of year

4 ................... ...................
4 ................... ...................

The loan and grant program provides access to advanced
telecommunications services for improved education and
health care in rural areas throughout the country. The loans
and grants help education and health care providers bring
the most modern technology, level of care, and education to
rural America so its citizens can compete regionally, nationally, and globally. The Budget provides discretionary funding
for loans to finance installation of broadband transmission
capacity.
Since there is little demand for the DLT loans and the
loans cost the Government, the Budget proposes to not provide any DLT loans in 2008.
f

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
40.35
Appropriation permanently reduced ..........................
40.36
Unobligated balance permanently reduced ..............
43.00
60.00
60.36
62.00

50
44
31
¥1
¥10 ...................
¥9 ................... ...................

Appropriation (total discretionary) ........................
40
34
31
Mandatory:
Appropriation .............................................................
8 ................... ...................
Unobligated balance permanently reduced .............. ...................
¥38 ...................
Transferred from other accounts .............................. ...................
10 ...................

62.50

Appropriation (total mandatory) ...........................

70.00

Total new budget authority (gross) ..........................

72.40
73.10
73.20
73.45

74.40

Obligated balance, end of year ................................

¥28 ...................
6

108
140
151
85
57
31
¥49
¥46
¥56
¥4 ................... ...................

DISTANCE LEARNING, TELEMEDICINE, AND BROADBAND DIRECT LOAN
FINANCING ACCOUNT
Program and Financing (in millions of dollars)
Identification code 12–4146–0–3–452

Outlays (gross), detail:
86.90 Outlays from new discretionary authority .....................
5
86.93 Outlays from discretionary balances .............................
36
86.97 Outlays from new mandatory authority .........................
8
86.98 Outlays from mandatory balances ................................ ...................
87.00

89.00
90.00

Total outlays (gross) .................................................
Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

48
49

151

126

¥1
2
56
57
¥10 ...................
1
¥3
46

6
46

31
56

2007 est.

2008 est.

333
13

1,155
20

300
25

10.00

346

1,175

325

Total new obligations ................................................

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
8
2 ...................
New financing authority (gross) ....................................
345
1,237
395
Resources available from recoveries of prior year obligations .......................................................................
12 ................... ...................
22.60 Portion applied to repay debt ........................................ ...................
¥64
¥70
22.70 Balance of authority to borrow withdrawn ....................
¥17 ................... ...................
21.40
22.00
22.10

23.90
23.95

Total budgetary resources available for obligation
Total new obligations ....................................................

24.40

140

2006 actual

Obligations by program activity:
00.01 Direct loans ....................................................................
00.02 Interest on Treasury borrowing ......................................

Unobligated balance carried forward, end of year

Spending authority from offsetting collections
(total mandatory) .............................................

348
¥346

1,175
¥1,175

325
¥325

2 ................... ...................

331

1,171

321

6 ...................
9
¥29 ................... ...................
14

152

RURAL UTILITIES SERVICE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008

DISTANCE LEARNING, TELEMEDICINE, AND BROADBAND DIRECT LOAN
FINANCING ACCOUNT—Continued

2999

Total liabilities .............................................................................

200

244

4999

Total liabilities and net position ...............................................

200

244

Program and Financing (in millions of dollars)—Continued
Identification code 12–4146–0–3–452

70.00

Total new financing authority (gross) ......................

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 ..............................
74.00 Change in uncollected customer payments from Federal sources (unexpired) ............................................
74.40

2006 actual

2007 est.

345

1,237

f
2008 est.

RURAL DEVELOPMENT INSURANCE FUND LIQUIDATING ACCOUNT

395

730
973
1,934
346
1,175
325
¥85
¥214
¥425
¥12 ................... ...................
¥6 ...................

22 ................... ...................

214

425

¥9
¥3
¥17
¥8

¥19
¥4
¥23
¥20

¥19
¥4
¥22
¥20

88.90

¥37

¥66

¥65

¥6 ...................

¥9

302
47

321
360

2007 est.

1210
1231
1251
1264

Cumulative balance of direct loans outstanding:
Outstanding, start of year .............................................
Disbursements: Direct loan disbursements ...................
Repayments: Repayments and prepayments .................
Write-offs for default: Charge Off—Misc and Assn
Loans, net ..................................................................

1290

333

1,155

300

190
71
¥17

239
214
¥23

430
400
¥22

Spending authority from offsetting collections
(total mandatory) ............................................. ................... ................... ...................

Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash) from:
88.40
Non-Federal sources .............................................
88.40
Repayments of guaranteed loans purchased
from investors ..................................................
88.40
Interest revenue ....................................................
88.40
Other .....................................................................

¥165

¥234

¥203

1 ...................
¥1
¥102
¥141
¥132
¥5 ................... ...................

88.90

Total, offsetting collections (cash) .......................

¥271

¥375

¥336

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

¥271
¥271

¥375
¥375

¥336
¥336

Status of Direct Loans (in millions of dollars)
Identification code 12–4155–0–3–452

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 aje #1 Allocation, net ................
1290

Outstanding, end of year ..........................................

239

430

2006 actual

2007 est.

1,931
¥165

1,767
¥234

2008 est.

1,532
¥203

¥1
¥1
¥1
2 ................... ...................
1,767

1,532

1,328

Status of Guaranteed Loans (in millions of dollars)

808

Identification code 12–4155–0–3–452

Identification code 12–4146–0–3–452

ASSETS:
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 ........................................................................
1405 Allowance for subsidy cost (–) ..................................................
1101

2006 actual

2007 est.

2008 est.

36
¥7

29
¥4

25
¥3

2005 actual

2290

Outstanding, end of year ..........................................

2299

Balance Sheet (in millions of dollars)

Memorandum:
Guaranteed amount of guaranteed loans outstanding,
end of year ................................................................

2006 actual

190
2
3

239
3
....................

Net present value of assets related to direct loans ..............

195

242

200

244

200
....................

....................
244

1999

336
¥336

¥5 ................... ...................

1499

375
¥375

2008 est.

271
¥271

89.00
90.00

Status of Direct Loans (in millions of dollars)

1150

New budget authority (gross), detail:
Mandatory:
Spending authority from offsetting collections:
69.00
Offsetting collections (cash) ................................
69.27
Capital transfer to general fund ..........................
69.90

2006 actual

22 ...................
¥22 ...................

Unobligated balance carried forward, end of year

Identification code 12–4146–0–3–452

24
¥2

2008 est.

24.40

Outlays (gross), detail:
87.00 Total financing disbursements (gross) .........................

1,171
148

2007 est.

22 ................... ...................

1,825

2006 actual

Total budgetary resources available for obligation

1,934

89.00
90.00

Budgetary resources available for obligation:
21.40 Unobligated balance carried forward, start of year
22.40 Capital transfer to general fund ...................................
23.90

973

88.95

Identification code 12–4155–0–3–452

¥9

Obligated balance, end of year ................................

Total, offsetting collections (cash) .......................
Against gross financing authority only:
Change in receivables from program accounts .......

Program and Financing (in millions of dollars)

The Rural Development Insurance Fund (RDIF) was established on October 1, 1972, pursuant to section 116 of the
Rural Development Act of 1972 (Public Law 92–419).
The fund is used to insure or guarantee loans for water
systems and waste disposal facilities, community facilities,
and industrial development in rural areas. Communities unable to afford low interest loans for water and waste disposal
facilities are also able to obtain water and waste disposal
grants.
As required by the Federal Credit Reform Act of 1990,
this account records, for these loan programs, all cash flows
to and from the Government resulting from direct loans obli-

FOREIGN AGRICULTURAL SERVICE
Federal Funds

DEPARTMENT OF AGRICULTURE

gated and loan guarantees committed prior to 1992. All new
activity in these programs is recorded in corresponding program accounts and financing accounts.
The water and waste direct and guaranteed loan programs
are administered by the Rural Utilities Service, the community facility direct and guaranteed loan programs are
adminsitered by the Rural Housing Service, and the business
and industry direct and guaranteed loan programs are administered by the Rural Business-Cooperative Service.

153

1999

Total assets ..................................................................................
LIABILITIES:
2104 Federal liabilities: Resources payable to Treasury ...................

2999

Total liabilities .............................................................................

4999

Total liabilities and net position ...............................................

FOREIGN AGRICULTURAL SERVICE
Federal Funds

Balance Sheet (in millions of dollars)

SALARIES
Identification code 12–4155–0–3–452

2005 actual

2006 actual

34
1,931
29
–283

34
1,769
26
–240

1604

Direct loans and interest receivable, net .................................

1,677

1,555

1699
1901

Value of assets related to direct loans ...................................
Other Federal assets: Other assets ...........................................

1,677
3

1,555
4

Total assets ..................................................................................
LIABILITIES:
2104 Federal liabilities: Resources payable to Treasury ...................
Non-Federal liabilities:
2204 Liabilities for loan guarantees ...................................................
2207 Other ..............................................................................................

1,738

1,615

1,736

1,609

2
....................

1
5

1101
1201

1999

2999

Total liabilities .............................................................................

1,738

1,615

4999

Total liabilities and net position ...............................................

1,738

AND

EXPENSES

(INCLUDING TRANSFERS OF FUNDS)

For necessary expenses of the Foreign Agricultural Service, including
carrying out title VI of the Agricultural Act of 1954 (7 U.S.C. 1761–
1768), market development activities abroad, and for enabling the
Secretary to coordinate and integrate activities of the Department in
connection with foreign agricultural work, including not to exceed
$158,000 for representation allowances and for expenses pursuant to
section 8 of the Act approved August 3, 1956 (7 U.S.C. 1766),
$168,209,000: Provided, That the Service may utilize advances of
funds, or reimburse this appropriation for expenditures made on behalf of Federal agencies, public and private organizations and institutions under agreements executed pursuant to the agricultural food
production assistance programs (7 U.S.C. 1737) and the foreign assistance programs of the United States Agency for International Development.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

1,615

Special and Trust Fund Receipts (in millions of dollars)

f
Identification code 12–2900–0–1–352

RURAL COMMUNICATION DEVELOPMENT FUND LIQUIDATING ACCOUNT
Status of Direct Loans (in millions of dollars)
Identification code 12–4142–0–3–452

2006 actual

2007 est.

2006 actual

2007 est.

Balance, start of year .................................................... ................... ................... ...................
Receipts:
02.20 Deposits of miscellaneous contributed funds, International cooperation and development ..................... ...................
4
4

2008 est.

04.00
Cumulative balance of direct loans outstanding:
1210 Outstanding, start of year .............................................
4
4
4
1251 Repayments: Repayments and prepayments ................. ................... ................... ...................
1290

Outstanding, end of year ..........................................

Total: Balances and collections .................................... ...................
Appropriations:
05.00 Salaries and expenses ................................................... ...................
07.99

2210
2251
2264

2007 est.

Outstanding, end of year ..........................................

2299

Memorandum:
Guaranteed amount of guaranteed loans outstanding,
end of year ................................................................

¥4

2006 actual

2007 est.

2008 est.

Cumulative balance of guaranteed loans outstanding:
Outstanding, start of year .............................................
4
4
4
Repayments and prepayments ...................................... ................... ................... ...................
Adjustments: Other adjustments, net ........................... ................... ................... ...................

2290

Balance, end of year ..................................................... ................... ................... ...................

Identification code 12–2900–0–1–352
2006 actual

Program and Financing (in millions of dollars)

Status of Guaranteed Loans (in millions of dollars)
Identification code 12–4142–0–3–452

2008 est.

01.99

Obligations by program activity:
00.01 Market Access ................................................................
00.02 Trade Development ........................................................
00.03 Trade Related Technical Assistance ..............................
00.04 SPS Issues Resolution ...................................................
09.00 Reimbursable program ..................................................

51
51
29
20
97

52
49
29
21
97

61
52
33
27
97

10.00
4

The Rural Communication Development Fund was established pursuant to the Secretary’s Memorandum No. 1988,
approved May 22, 1979. No loans have been made through
this account since 1992.
Balance Sheet (in millions of dollars)
Identification code 12–4142–0–3–452

ASSETS:
1601 Direct loans, gross ......................................................................
1602 Interest receivable ........................................................................
1603 Allowance for estimated uncollectible loans and interest (–)

2005 actual

2006 actual

3
1
–1

1604

Direct loans and interest receivable, net .................................

1699

Value of assets related to direct loans ...................................

Total new obligations ................................................

248

270

21.40
22.00

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
New budget authority (gross) ........................................

22
254

24
247

23
269

23.90
23.95
23.98

Total budgetary resources available for obligation
Total new obligations ....................................................
Unobligated balance expiring or withdrawn .................

24.40

Unobligated balance carried forward, end of year

276
271
292
¥248
¥248
¥270
¥4 ................... ...................
24

148
146
168
¥1 ................... ...................
13 ................... ...................

43.00

160

146

168

58.00
58.10

35 ................... ...................

154

FOREIGN AGRICULTURAL SERVICE—Continued
Federal Funds—Continued

SALARIES

AND

THE BUDGET FOR FISCAL YEAR 2008

EXPENSES—Continued

(INCLUDING TRANSFERS OF FUNDS)—Continued

Program and Financing (in millions of dollars)—Continued
Identification code 12–2900–0–1–352

58.90
60.26
70.00

Spending authority from offsetting collections
(total discretionary) ..........................................
94
Mandatory:
Appropriation (trust fund) ......................................... ...................
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) ................................................
72.40
73.10
73.20
73.40
74.00

74.40

86.90
86.93
86.97
87.00

Obligated balance, end of year ................................

88.95
88.96

89.00
90.00

254

2007 est.

2008 est.

247

269

38
30
31
248
248
270
¥248
¥247
¥268
1 ................... ...................
¥35 ................... ...................
26 ................... ...................
30

Outlays (gross), detail:
Outlays from new discretionary authority .....................
241
Outlays from discretionary balances .............................
7
Outlays from new mandatory authority ......................... ...................

231
12
4

252
12
4

247

268

Total outlays (gross) .................................................

2006 actual

Total, offsetting collections (cash) .......................
Against gross budget authority only:
Change in uncollected customer payments from
Federal sources (unexpired) ..................................
Portion of offsetting collections (cash) credited to
expired accounts ...................................................
Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

248

¥104
¥97
¥97
23 ................... ...................
¥81

¥97

¥35 ................... ...................
22 ................... ...................

160
167

150
150

172
171

FAS’ mission is to create economic opportunity for American
agriculture by expanding global markets. FAS serves U.S.
agriculture’s interests by expanding and maintaining international export opportunities for U.S. agricultural, fish, and
forest products, supporting international economic development and trade capacity building, and improving the Sanitary
and Phytosanitary (SPS) system to facilitate agricultural
trade. FAS’ goals are three-fold: to level the playing field
for U.S. agricultural producers and exporters in the global
marketplace, to help developing and transitioning countries
to expand their ability to sustain economic growth and trade
capacity, and to make a concerted effort to reduce technical
trade barriers and restrictive SPS measures. The outcomes
envisioned are increased access to global markets for U.S.
agricultural producers and exporters, improved ability in developing countries to sustain economic growth and benefit
from international trade, and an improved global SPS system
for facilitating agricultural trade. In addition to its Washington-based staff, the agency maintains a network of overseas offices that serve as first responders in cases of market
disruption. The overseas offices also provide critical market
and policy intelligence to support their strategic goals, and
represent U.S. agriculture in consultations with foreign governments.
Market Access—Agricultural trade is important to America’s
agricultural and food sector and contributes to the overall
growth in the U.S. economy. As the global economy changes,
expansion and creation of new foreign market opportunities
is critical, as is maintaining existing market access for agri-

cultural products. FAS monitors the enforcement of agricultural trade agreements to ensure that U.S. agriculture receives the full economic benefit of international trade agreements and trade rules. FAS also analyzes tariff and nontariff barriers that continue to restrict trade, and works with
other government agencies to open markets through the negotiation of trade agreements. FAS programs that contribute
to market access include the: Market Access Program (MAP),
Technical Assistance for Specialty Crops (TASC) Program,
Emerging Markets Program (EMP), and the Cochran Fellowship Program (CFP).
Trade Development—FAS supports U.S. private sector efforts to develop and expand commercial markets through
trade-related programs which help U.S. producers and exporters realize the benefits that will flow from trade reform and
the resulting global market expansion. FAS programs that
contribute to trade development include the: MAP, TASC Program, EMP, Foreign Market Development (FMD) Program,
and Quality Samples Program which are carried out chiefly
in cooperation with non-profit agricultural trade associations
and private firms. These programs provide matching funds
to U.S. organizations to conduct a wide range of activities
including market research, consumer promotion, trade servicing, capacity building, and market access support. The
TASC Program provides grants to address sanitary,
phytosanitary, or technical barriers that prohibit or threaten
exports of U.S. specialty crops. Also, FAS administers price/
credit and risk-mitigation assistance programs designed to
leverage overseas market expansion for U.S. exporters. These
programs include the CCC Export Credit Guarantee Program,
the Export Enhancement Program and the Dairy Export Incentive Program. These programs give U.S. exporters the ability to counter export subsidies of foreign competitors and
allow U.S. exporters to compete with sales terms offered by
foreign competitors.
Trade Related Technical Assistance—U.S. agriculture benefits from growth in global trade and a trading system that
adheres to international rules and norms. Two-thirds of World
Trade Organization members are developing countries, many
of which lack the knowledge, expertise, and regulatory and
policy frameworks to participate in the global trading system.
FAS provides trade-related technical assistance or trade capacity building focused on developing capacity within governments to implement open, market-based trade policies and
to regulate trade in agricultural and food products on the
basis of transparent, science-based requirements. Trade capacity building supports the President’s 2002 National Security Strategy (NSS) by promoting free trade and open markets
as a way to spread economic prosperity. Food assistance programs such as the P.L. 480 Title I Program, McGovern Dole
Food for Education (FFE) and Child Nutrition Program, Section 416(b) Program, and Food for Progress (FFP) Program
help developing countries with humanitarian crises, economic
development, or transitioning from being food aid recipients
to commercial markets. Programs that contribute to trade
related technical assistance includes the: MAP, TASC Program, EMP, CFP, Borlaug Fellowship Program (BFP), FFE
Program, FFP Program, and the Section 416(b) Program. The
CFP provides short-term training in the United States for
international participants who meet with U.S. agribusiness,
attend food safety seminars, and receive technical training
related to short- and long-term market development and trade
capacity building. The BFP helps developing countries
strengthen their agricultural practices through the transfer
of new science and agricultural technologies, including those
related to production, processing, and marketing. The program also addresses obstacles to the adoption of technology,
such as ineffectual policies and regulations.
SPS Issues Resolution—Agricultural trade is unique with
respect to the risks associated with the transfer of pests and

FOREIGN ASSISTANCE PROGRAMS
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE

disease. Unnecessarily restrictive regulations to address
human and animal health (sanitary) and plant health
(phytosanitary) risks are major impediments to U.S. market
access and the expansion of global agricultural trade. As tariff
barriers have been reduced, there has been a dramatic increase in non-tariff barriers to trade, particularly in the SPS
area. In spite of the SPS Agreement within the WTO, countries have relied increasingly on erecting SPS barriers as
a means to protect domestic industries in the face of quickly
growing global trade. Given the increasingly global interdependence in the flow of food and agricultural products, the
ability and willingness of foreign countries to develop and
implement sound science-based regulatory systems is also
vital to the long-term safety of U.S. agriculture and our food
supply. U.S. agriculture benefits greatly from the development
of regulatory frameworks in other countries that can address
SPS issues and technical barriers to trade in a transparent
and scientifically based manner. FAS works on several fronts
to reduce technical barriers to trade and restrictive SPS and
TBT measures. These include enforcing international SPS
rules, promoting two-way trade, encouraging adoption of
international standards, and strengthening the global SPS
regulatory framework. Programs that contribute to SPS issues
resolution include the: MAP, TASC Program, and EMP.
Object Classification (in millions of dollars)
Identification code 12–2900–0–1–352

11.1
11.3
11.5
11.8
11.9
12.1
21.0
22.0
23.2
23.3

2006 actual

2007 est.

2008 est.

64
4
1
3

66
4
1
3

68
4
1
3

72
24
8
1
6

74
24
8
1
6

76
25
8
1
6

24.0
25.2
25.8
26.0
31.0
41.0

Total personnel compensation ..............................
Civilian personnel benefits .......................................
Travel and transportation of persons .......................
Transportation of things ...........................................
Rental payments to others ........................................
Communications, utilities, and miscellaneous
charges .................................................................
Printing and reproduction .........................................
Other services ............................................................
Subsistence and support of persons ........................
Supplies and materials .............................................
Equipment .................................................................
Grants, subsidies, and contributions ........................

1
1
32
1
1
3
1

1
1
32
1
1
1
1

1
1
51
1
1
1
1

99.0
99.0

Direct obligations ..................................................
Reimbursable obligations ..............................................

151
97

173
97

99.9

Total new obligations ................................................

248

270

Employment Summary
Identification code 12–2900–0–1–352

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................

2007 est.

2008 est.

738

784

220

TRADE ADJUSTMENT ASSISTANCE

FOR

FARMERS

Program and Financing (in millions of dollars)
Identification code 12–1406–0–1–351

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Payment to liquidating account ....................................
00.02 Trade adjustment assistance for farmers .....................

3
3

3 ...................
3 ...................

10.00

155

Unobligated balance expiring or withdrawn .................

¥84

¥84 ...................

New budget authority (gross), detail:
Mandatory:
60.00
Appropriation .............................................................

90 ...................

72.40
73.10
73.20
73.40

38
6
¥3
¥33

8
¥38
6 ...................
¥45 ...................
¥7 ...................

74.40

Obligated balance, end of year ................................

86.97

Outlays (gross), detail:
Outlays from new mandatory authority .........................

45 ...................

89.00
90.00

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

90
3

90 ...................
45 ...................

23.98

¥38

Trade Adjustment Assistance for farmers (TAA) is authorized by Title II of the Trade Act of 1974 as amended by
Subtitle C of Title I of the Trade Act of 2002. The statute
authorizes appropriations to the Department of Agriculture
not to exceed $90 million for 2003 through 2007 to carry
out the program. No funding is available in 2008, because
the program authority will have expired.
The statute requires the Secretary of Agriculture to provide
funds to eligible agricultural producers when: (a) the current
year’s price of an agricultural commodity is less than 80 percent of the national average price for such commodity for
the five marketing years preceding the most recent market
year; and (b) increases in imports contributed importantly
to the decline in the price, as determined by the Secretary.
TAA provides producers of raw commodities, who have been
adversely affected by import competition, free technical assistance and cash benefits of up to $10,000 per year.
TAA covers farmers, ranchers, fish farmers, and fishermen
competing with imported aquaculture products. It does not
cover the forest products industry.
f

FOREIGN ASSISTANCE PROGRAMS
USDA has multiple food aid programs that provide U.S.
commodities, technical and financial assistance to address
hunger and malnutrition needs worldwide. USDA, working
with USAID, delivers food aid programs to meet emergency
needs and fosters economic development activities to alleviate
global food insecurity.
Included in this category are the following activities carried
out under the Agricultural Trade Development and Assistance
Act of 1954, Public Law 480, 83rd Congress, as amended
(P.L. 480): Financing sales of agricultural commodities to developing countries for dollars on credit terms, or for local
currencies (including for local currencies on credit terms) for
use under sec. 104 (title I); for dispositions abroad (titles
II and III); and for furnishing commodities to carry out the
Food for Progress Act of 1985, as amended. Agreements may
provide for commodities to be made available on a multiyear basis. During 2003, USDA began implementation of the
McGovern-Dole International Food for Education and Child
Nutrition Program authorized by the 2002 Farm Bill. USDA
also has a commodity reserve in the Bill Emerson Humanitarian Trust for unanticipated, emergency food aid needs.

6 ...................

SUMMARY OF FOOD ASSISTANCE PROGRAMMING
[In millions of dollars]

22.00
23.95

Total new obligations (object class 25.2) ................
Budgetary resources available for obligation:
New budget authority (gross) ........................................
Total new obligations ....................................................

90
¥6

90 ...................
¥6 ...................

2006 actual

McGovern-Dole International Food for Education and Child Nutrition (budget authority) ........................................................
Public Law 480
Title I Credit (budget authority) .............................................

2007 est.

2008 est.

100

156

FOREIGN ASSISTANCE PROGRAMS—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008
90.00

SUMMARY OF FOOD ASSISTANCE PROGRAMMING—Continued

Outlays ...........................................................................

100

[In millions of dollars]
2006 actual

Title II Grants (budget authority) ...........................................
Food for Progress
CCC Funded ............................................................................
P.L. 480 Title I Funded (budget authority) ............................
CCC Surplus Commodity Donations (416) ..................................
Bill Emerson Humanitarian Trust ...............................................

2007 est.

2008 est.

1,489

1,223

1,219

131
73
3
0

151
39
0
*

163
0
0
*

*Up to 500,000 metric tons are avaliable annually for unanticipated emergency food assistance.
Miscellaneous funds are received from other Federal agencies, international organizations, and developing countries, for
USDA development assistance and international research
projects (22 U.S.C. 2392).

The Farm Security and Rural Investment Act of 2002 (Public Law 107–171) authorizes the McGovern-Dole International
Food for Education and Child Nutrition Program. The program provides for the donation of U.S. agricultural commodities and associated technical and financial assistance to carry
out preschool and school feeding programs in foreign countries
in order to improve food security, reduce the incidence of
hunger and malnutrition, and improve literacy and primary
education. Maternal, infant, and child nutrition programs also
are authorized.
Object Classification (in millions of dollars)
Identification code 12–2903–0–1–151

41.0

MCGOVERN-DOLE INTERNATIONAL FOOD FOR EDUCATION
NUTRITION PROGRAM GRANTS

AND

CHILD

For necessary expenses to carry out the provisions of section 3107
of the Farm Security and Rural Investment Act of 2002 (7 U.S.C.
1736o–1), $100,000,000, to remain available until expended: Provided,
That the Commodity Credit Corporation is authorized to provide the
services, facilities, and authorities for the purpose of implementing
such section, subject to reimbursement from amounts provided herein.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

99.0
99.9

2006 actual

Direct obligations: Grants, subsidies, and contributions ...........................................................................
99
Reimbursable obligations: reimbursable obligations ...................
Total new obligations ................................................

2007 est.

2008 est.

98
5

100
5

103

105

PUBLIC LAW 480 TITLE I OCEAN FREIGHT DIFFERENTIAL GRANTS
Program and Financing (in millions of dollars)
Identification code 12–2271–0–1–351

2006 actual

2007 est.

2008 est.

Obligations by program activity:
P.L. 480 grant—Title I: Ocean freight differential
(OFD) ..........................................................................
09.01 Reimbursable program ..................................................

7 ................... ...................
11
10
10

10.00

Total new obligations ................................................

00.01

Program and Financing (in millions of dollars)
Identification code 12–2903–0–1–151

2006 actual

Obligations by program activity:
00.01 McGovern-Dole International Food for Education &
Child Nutrition Program ............................................
99
09.00 Reimbursable program .................................................. ...................

2007 est.

2008 est.

98
5

100
5

21.40
22.00

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
New budget authority (gross) ........................................

37
¥2

17
19

26
19

10.00

Total new obligations ................................................

103

105

23.90
23.95

Total budgetary resources available for obligation
Total new obligations ....................................................

35
¥18

36
¥10

45
¥10

21.40
22.00

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
New budget authority (gross) ........................................

1
99

1
103

1
105

24.40

Unobligated balance carried forward, end of year

23.90
23.95

Total budgetary resources available for obligation
Total new obligations ....................................................

100
¥99

104
¥103

106
¥105

24.40

Unobligated balance carried forward, end of year

12 ................... ...................
¥35 ................... ...................

43.00
New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
40.35
Appropriation permanently reduced ..........................

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
40.36
Unobligated balance permanently reduced ..............

¥23 ................... ...................

69.00
100
98
100
¥1 ................... ...................

Appropriation (total discretionary) ........................
Mandatory:
Spending authority from offsetting collections: Offsetting collections (cash) .....................................

70.00

69.00
70.00

Appropriation (total discretionary) ........................
99
Mandatory:
Spending authority from offsetting collections: Offsetting collections (cash) ..................................... ...................
Total new budget authority (gross) ..........................

Obligated balance, end of year ................................

Total new budget authority (gross) ..........................

¥2

72.40
73.10
73.20

13
18
¥16

15
10
¥2

23
10
¥17

74.40

43.00

Obligated balance, end of year ................................

Outlays (gross), detail:
Outlays from discretionary balances .............................
7
¥9
Outlays from new mandatory authority .........................
9
11
Outlays from mandatory balances ................................ ................... ...................

¥1
11
7

100

103

105

1
99
¥98

2
103
¥103

2
105
¥105

86.93
86.97
86.98
87.00

Outlays (gross), detail:
86.90 Outlays from new discretionary authority .....................
98
86.97 Outlays from new mandatory authority ......................... ...................
87.00

Total outlays (gross) .................................................

Offsets:
Against gross budget authority and outlays:
88.00
Offsetting collections (cash) from: Federal sources ...................

89.00

Net budget authority and outlays:
Budget authority ............................................................

98
5

100
5

103

Total outlays (gross) .................................................

Offsets:
Against gross budget authority and outlays:
88.00
Offsetting collections (cash) from: Federal sources

¥21

¥19

105
89.00
90.00

¥5

100

¥23 ................... ...................
¥5
¥17
¥2

¥5

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

This account funds the title I ocean freight differential program. No funding is requested for 2008.

FOREIGN ASSISTANCE PROGRAMS—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
90.00

Object Classification (in millions of dollars)
Identification code 12–2271–0–1–351

41.0

2006 actual

99.0

Direct obligations: Grants, subsidies, and contributions ...........................................................................
Reimbursable obligations: reimbursable obligations

99.9

Total new obligations ................................................

2007 est.

1,251

1,172

Summary of Budget Authority and Outlays
7 ................... ...................
11
10
10
18

PUBLIC LAW 480 TITLE II GRANTS
For expenses during the current fiscal year, not otherwise recoverable, and unrecovered prior years’ costs, including interest thereon,
under the Agricultural Trade Development and Assistance Act of 1954,
for commodities supplied in connection with dispositions abroad under
title II of said Act, $1,219,400,000, to remain available until expended:
Provided, That if the Administrator of the United States Agency for
International Development determines it to be appropriate, up to 25
percent of the funds appropriated under this heading may be used,
notwithstanding any other provision of law, for the local or regional
purchase and distribution of food to assist people threatened by a
food security crisis. (7 U.S.C. 1691, 1721–26a, 1727–27e, 1731–36g–
3, 1737, 2209b.)
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.02 Title II .............................................................................
09.01 Reimbursable program ..................................................

1,632
141

1,223
82

1,219
124

10.00

Total new obligations ................................................

1,773

1,305

1,343

21.40
22.00
22.10

51
1,710

81
1,305

81
1,343

93 ................... ...................

23.90
23.95

Total budgetary resources available for obligation
Total new obligations ....................................................

1,854
¥1,773

1,386
¥1,305

1,424
¥1,343

24.40

Unobligated balance carried forward, end of year

1,500
1,223
1,219
¥11 ................... ...................

43.00

Appropriation (total discretionary) ........................
Mandatory:
Spending authority from offsetting collections: Offsetting collections (cash) .....................................

1,489

1,223

1,219

221

124

70.00

Total new budget authority (gross) ..........................

1,710

1,305

1,343

72.40
73.10
73.20
73.45

74.40

Obligated balance, end of year ................................

1,207

1,179

1,226

86.90
86.93
86.97
86.98

517
858
79
61

642
571
79
41

640
550
92
14

87.00

Total outlays (gross) .................................................

1,515

1,333

1,296

69.00

1,294

2008 est.

Identification code 12–2278–0–1–151

Outlays ...........................................................................

157

1,042
1,207
1,179
1,773
1,305
1,343
¥1,515
¥1,333
¥1,296
¥93 ................... ...................

(in millions of dollars)
2006 actual

Enacted/requested:
Budget Authority .....................................................................
1,489
Outlays ....................................................................................
1,294
Supplemental proposal:
Budget Authority ..................................................................... ....................
Outlays .................................................................................... ....................
Total:
Budget Authority .....................................................................
Outlays ....................................................................................

1,489
1,294

2007 est.

1,223
1,251

2008 est.

1,219
1,172

350 ....................
184
107

1,573
1,435

1,219
1,279

This account funds the non-credit components of Public Law
480. Under Title II, agricultural commodities are furnished
to meet famine or other emergency relief needs, combat malnutrition, carry out activities to alleviate the causes of hunger, mortality and morbidity, promote economic and community development, promote sound environmental practices,
and carry out feeding programs. Agricultural commodities are
provided through governments for emergencies only, and for
non-emergencies through public and private agencies, including intergovernmental organizations.
The Commodity Credit Corporation (Corporation) is authorized to pay the costs of acquisition, packaging, processing,
enrichment, preservation, fortification, transportation, handling, and other incidental costs incurred up to the time of
delivery at U.S. ports. The Corporation also pays ocean freight
charges, and pays transportation costs to points of entry other
than ports in the case of landlocked countries, where carriers
to a specific country are not available, where ports cannot
be used effectively, or where a substantial savings in costs
or time can be effected, and pays general average contributions arising from ocean transport. In addition, transportation
costs from designated points of entry or ports of entry abroad
to storage and distribution sites and associated storage and
distribution costs may be paid for commodities made available
under this title for non-emergency assistance for least-developed countries and for urgent and extraordinary relief.
The program is administered by the U.S. Agency for International Development.
In addition, the request includes language that would authorize the use of up to 25 percent of the P.L. 480 Title
II funds for the local or regional purchase and distribution
of food to assist people threatened by a food security crisis.
In particular, the language is intended to authorize the Administrator of USAID, when deemed appropriate, to procure
food locally or regionally from developing countries (in accordance with the OECD Development Assistance Committee List
of ODA Recipients) and to distribute such food in response
to a food security crisis. This would permit USAID to provide
food assistance in the most timely and efficient manner to
the most critical emergency food crises. This authority would
be used in those instances where the rapid use of cash assistance is critical to saving lives.
Object Classification (in millions of dollars)
Identification code 12–2278–0–1–151

41.0

2006 actual

2007 est.

2008 est.

Net budget authority and outlays:
89.00 Budget authority ............................................................

¥221

1,489

¥82

1,223

¥124

1,219

99.0

1,632
141

1,223
82

1,219
124

99.9

Offsets:
Against gross budget authority and outlays:
88.00
Offsetting collections (cash) from: Federal sources

Direct obligations: Grants, subsidies, and contributions ...........................................................................
Reimbursable obligations: reimbursable obligations
Total new obligations ................................................

1,773

1,305

1,343

158

FOREIGN ASSISTANCE PROGRAMS—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008

PUBLIC LAW 480 TITLE I DIRECT CREDIT AND FOOD
PROGRAM ACCOUNT

FOR

PROGRESS

(INCLUDING TRANSFERS OF FUNDS)

For administrative expenses to carry out the credit program of title
I, Public Law 83–480 $2,761,000, to be transferred to and merged
with the appropriation for ‘‘Farm Service Agency, Salaries and Expenses’’.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

2006 actual

2007 est.

10.00

Total new obligations ................................................

127

21.40
22.00

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
New budget authority (gross) ........................................

88
78

23.90
23.95

Total budgetary resources available for obligation
Total new obligations ....................................................

166
¥127

24.40

Unobligated balance carried forward, end of year

39 ................... ...................

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
40.00
Appropriation .............................................................
40.35
Appropriation permanently reduced ..........................

65 ................... ...................
3
3
3
¥1 ................... ...................

60.00

133999 Total subsidy budget authority ......................................
Direct loan subsidy outlays:
134001 P. L. 480 title I loans ....................................................

27 ................... ...................

39 ...................
16
3
55
¥55

3
¥3

Appropriation (total discretionary) ........................
67
3
3
Spending authority from offsetting collections: Offsetting collections (cash) .....................................
11 ................... ...................
Mandatory:
Appropriation ............................................................. ...................
13 ...................

70.00

Total new budget authority (gross) ..........................

135999 Total upward reestimate budget authority .................... ...................
Direct loan downward reestimates:
137001 P. L. 480 title I loans ....................................................
¥415

¥66 ...................

¥415

¥66 ...................

Administrative expense data:
Budget authority ............................................................
Outlays from new authority ...........................................

3
3

72.40
73.10
73.20

76
127
¥85

118
55
¥94

Obligated balance, end of year ................................

118

Outlays (gross), detail:
Outlays from new discretionary authority .....................
2
Outlays from discretionary balances .............................
83
Outlays from new mandatory authority ......................... ...................

3
3
78
36
13 ...................

13 ...................

3
3

As required by the Federal Credit Reform Act of 1990,
this account records, for the P.L. 480 Program, the subsidy
costs associated with the direct loans obligated in 1992 and
beyond (including modifications of direct loans that resulted
from obligation in any year), as well as administrative expenses of this program. The subsidy amounts are estimated
on a present value basis; the administrative expenses and
grants are estimated on a cash basis. The current balance
of Title I debt owed to USDA is $8.1 billion. No additional
funding is requested for new Title I loans in 2008. Food
for Progress grants will continue to be funded from the Commodity Credit Corporation.
Object Classification (in millions of dollars)
Identification code 12–2277–0–1–351

2006 actual

2007 est.

2008 est.

3
124

3
3
52 ...................

99.9

127

79
3
¥39

74.40

3510
3590

Total new obligations ................................................

86.90
86.93
86.97

21 ................... ...................

134999 Total subsidy outlays .....................................................
21 ................... ...................
Direct loan upward reestimates:
135001 P. L. 480 title I loans .................................................... ...................
13 ...................

2008 est.

Obligations by program activity:
00.01 Direct credit subsidy ......................................................
27 ................... ...................
00.05 Re-estimates of subsidy ................................................ ...................
8 ...................
00.06 Interest on re-estimates ................................................ ...................
5 ...................
00.09 Administrative expenses ................................................
3
3
3
00.10 Food for Progress Grants ...............................................
97
39 ...................

43.00
58.00

27 ................... ...................

137999 Total downward reestimate budget authority ...............

Program and Financing (in millions of dollars)
Identification code 12–2277–0–1–351

133001 P. L. 480 title I loans ....................................................

P.L. 480 DIRECT CREDIT FINANCING ACCOUNT
Program and Financing (in millions of dollars)
Identification code 12–4049–0–3–351

Obligations by program activity:
00.01 Direct loans ....................................................................
00.02 Interest on Treasury borrowing ......................................

2007 est.

2008 est.

39 ................... ...................
103
55
50

Total outlays (gross) .................................................

Offsets:
Against gross budget authority and outlays:
88.00
Offsetting collections (cash) from: Federal sources

89.00
90.00

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

¥11 ................... ...................

67
74

16
94

3
39

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
Identification code 12–2277–0–1–351

Direct loan levels supportable by subsidy budget authority:
115001 P. L. 480 title I loans ....................................................
115999 Total direct loan levels ..................................................
Direct loan subsidy (in percent):
132001 P. L. 480 title I loans ....................................................
132999 Weighted average subsidy rate .....................................
Direct loan subsidy budget authority:

2006 actual

2007 est.

2008 est.

39 ................... ...................

142
239

55
50
34 ...................

176

32 ...................

08.91

Direct Program by Activities—Subtotal (1 level)

415

66 ...................

Total new obligations ................................................

557

121

21.40
22.00
22.60

1,458
702
¥978

625
286
¥250

540
263
¥250

23.90
23.95

Total budgetary resources available for obligation
Total new obligations ....................................................

1,182
¥557

661
¥121

553
¥50

24.40

Direct Program by Activities—Subtotal (1 level)
Payment of downward reestimate to receipt account
Payment of interest on downward reestimate to receipt account .............................................................

10.00

87.00

00.91
08.02
08.04

2006 actual

Unobligated balance carried forward, end of year

625

540

503

437

265

231

213

702

286

263

67.92

0.00

67.92

0.00

70.00

39 ................... ...................

Total new financing authority (gross) ......................

FOREIGN ASSISTANCE PROGRAMS—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE

72.40
73.10
73.20

¥41
557
¥557

¥41
121
¥167

¥87
50
¥156

74.40

Obligated balance, end of year ................................

¥41

¥87

159

¥193

DEBT REDUCTION—FINANCING ACCOUNT
Program and Financing (in millions of dollars)
Identification code 12–4143–0–3–351

87.00

Outlays (gross), detail:
Total financing disbursements (gross) .........................

557

167

Offsets:
Against gross financing authority and financing disbursements:
Offsetting collections (cash) from:
88.00
Payments from program account .........................
¥21
88.25
Interest on uninvested funds ...............................
¥38
88.40
Interest received on loans ....................................
¥206
88.40
Principal received on loans .................................. ...................

156

2006 actual

Obligations by program activity:
00.02 Interest to Treasury ........................................................
11
08.02 Payment of downward reestimate to receipt account
17
08.03 Payments to financing and liquidating account for
debt reduction ........................................................... ...................
08.04 Payment of interest on downward reestimate to receipt account .............................................................
1

2007 est.

2008 est.

18
18
4 ...................
10

3 ...................

08.91

88.90

Total, offsetting collections (cash) .......................

¥265

¥231

¥213

89.00
90.00

437
292

55
¥64

50
¥57

Status of Direct Loans (in millions of dollars)

10.00

Total new obligations ................................................

21.40
22.00
22.60

23.90
23.95

Total budgetary resources available for obligation
Total new obligations ....................................................

109
¥29

124
¥35

142
¥53

24.40

¥13 ...................
¥37
¥37
¥42
¥37
¥139
¥139

Direct Program by Activities—Subtotal (1 level)

Unobligated balance carried forward, end of year

134
¥45

42
¥16

51
¥16

Spending authority from offsetting collections
(total mandatory) .............................................

70.00

Total new financing authority (gross) ......................

108

73.10
73.20

Change in obligated balances:
Total new obligations ....................................................
Total financing disbursements (gross) .........................

29
¥29

35
¥35

53
¥53

Position with respect to appropriations act limitation
on obligations:
1111 Limitation on direct loans .............................................

39 ................... ...................

New financing authority (gross), detail:
Mandatory:
Authority to borrow ....................................................
Spending authority from offsetting collections:
69.00
Offsetting collections (cash) ................................
69.47
Portion applied to repay debt ...............................

1150

39 ................... ...................

69.90

Identification code 12–4049–0–3–351

2006 actual

Total direct loan obligations .....................................

2007 est.

2008 est.

Cumulative balance of direct loans outstanding:
1210 Outstanding, start of year .............................................
2,273
2,166
2,027
1231 Disbursements: Direct loan disbursements ...................
39 ................... ...................
Repayments:
1251
Repayments and prepayments ..................................
¥154
¥139
¥139
1251
Loans transferred to debt reduction financing fund ................... ................... ...................
Write-offs for default:
1263
Direct loans ............................................................... ................... ................... ...................
1264
Other adjustments, net .............................................
8 ................... ...................
1290

Outstanding, end of year ..........................................

2,166

2,027

1,888

As required by the Federal Credit Reform Act of 1990,
this non-budgetary account records all cash flows to and from
the Government resulting from direct loans obligated in 1992
and beyond (including modifications of direct loans that resulted from obligations in any year). The amounts in this
account are a means of financing and are not included in
the budget totals.

67.10

74.40

87.00

ASSETS:
Federal assets:
1101 Fund balances with Treasury .....................................................
Investments in US securities:
1106 Receivables, net ...........................................................................
Net value of assets related to post–1991 direct loans receivable:
1401 Direct loans receivable, gross ....................................................
1402 Interest receivable ........................................................................
1405 Allowance for subsidy cost (–) ..................................................

2005 actual

2006 actual

Obligated balance, end of year ................................ ................... ................... ...................
Outlays (gross), detail:
Total financing disbursements (gross) .........................

Offsets:
Against gross financing authority and financing disbursements:
Offsetting collections (cash) from:
88.00
Federal sources—Subsidy from Debt account .....
¥117
88.25
Interest on uninvested funds ...............................
¥2
88.40
Loan Repayments—Principal ...............................
¥15
88.40
Loan Repayments- Interest ................................... ...................

¥26
¥2
¥10
¥4

¥35
¥2
¥10
¥4

88.90

Total, offsetting collections (cash) .......................

¥134

¥42

¥51

89.00
90.00

Net financing authority and financing disbursements:
Financing authority ........................................................
Negative subsidy BA total [11–0091] ...........................

¥26
¥106

2
¥7

2
2

Balance Sheet (in millions of dollars)
Identification code 12–4049–0–3–351

54
80
89
108
44
53
¥53 ................... ...................

Status of Direct Loans (in millions of dollars)
865

Identification code 12–4143–0–3–351

2006 actual

2007 est.

2008 est.

2,273
78
–1,028

2,166
33
–1,003

Net present value of assets related to direct loans ..............

1,323

1,196

Cumulative balance of direct loans outstanding:
Outstanding, start of year .............................................
521
382
382
Disbursements: Purchase of loans assets from a liquidating account ....................................................... ...................
10
35
1251 Repayments: Repayments and prepayments .................
¥9
¥10
¥10
1261 Adjustments: Capitalized interest ................................. ................... ................... ...................
1263 Write-offs for default: Direct loans ...............................
¥130 ................... ...................

2,231

1,278

1290

413
43
42
1,733

43
43
....................
1,192

2999

Total liabilities .............................................................................

2,231

1,278

4999

Total liabilities and net position ...............................................

2,231

1,278

1499
1999

1210
1233

Outstanding, end of year ..........................................

382

407

As required by the Federal Credit Reform Act of 1990,
this non-budgetary account records all cash flows to and from
the Government resulting from direct loans obligated in 1992
and beyond (including modifications of direct loans that resulted from obligations in any year). The amounts in this
account are a means of financing and are not included in
the budget totals.

160

FOREIGN ASSISTANCE PROGRAMS—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008

DEBT REDUCTION—FINANCING ACCOUNT—Continued

Status of Direct Loans (in millions of dollars)

Balance Sheet (in millions of dollars)

Identification code 12–2274–0–1–151

Identification code 12–4143–0–3–351

2005 actual

ASSETS:
Federal assets:
1101 Fund balances with Treasury .....................................................
Investments in US securities:
1106 Receivables, net ...........................................................................
Net value of assets related to post–1991 direct loans receivable:
1401 Direct loans receivable, gross ....................................................
1402 Interest receivable ........................................................................
1405 Allowance for subsidy cost (–) ..................................................

2006 actual

134

521
22
–363

382
1
–246

Net present value of assets related to direct loans ..............

180

137

348

221

82
19
246
1

....................
35
166
20

2999

Total liabilities .............................................................................

348

221

4999

Total liabilities and net position ...............................................

348

221

1499

1290

1999

EXPENSES, PUBLIC LAW 480, FOREIGN ASSISTANCE PROGRAMS,
AGRICULTURE LIQUIDATING ACCOUNT
Program and Financing (in millions of dollars)
Identification code 12–2274–0–1–151

2006 actual

2007 est.

2008 est.

00.01

Obligations by program activity:
Expenses, Public Law 480, Foreign Assistance Programs ........................................................................

10.00

Total new obligations (object class 41.0) ................

21.40
22.00
22.40

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
43
New budget authority (gross) ........................................
12
Capital transfer to general fund ................................... ...................

23.90
23.95

Total budgetary resources available for obligation
Total new obligations ....................................................

24.40

Unobligated balance carried forward, end of year

New budget authority (gross), detail:
Mandatory:
Spending authority from offsetting collections:
69.00
Offsetting collections (cash) (Principal and interest) ...............................................................
69.27
Capital transfer to general fund ..........................

55
¥2

53 ...................
67
2
¥118 ...................
2
¥2

2
¥2

53 ................... ...................

423
¥411

461
¥394

377
¥375

Spending authority from offsetting collections
(total mandatory) .............................................

73.10
73.20

Change in obligated balances:
Total new obligations ....................................................
Total outlays (gross) ......................................................

2
¥3

2
¥2

86.97

Outlays (gross), detail:
Outlays from new mandatory authority .........................

Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash) from:
88.40
Principal Collections .............................................
¥423
88.40
Interest Collections ............................................... ...................

¥323
¥138

¥267
¥110

69.90

88.90

Total, offsetting collections (cash) .......................

¥423

¥461

¥377

89.00
90.00

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

¥411
¥420

¥394
¥459

¥375
¥375

2006 actual

2007 est.

2008 est.

Cumulative balance of direct loans outstanding:
1210 Outstanding, start of year .............................................
5,909
5,600
5,139
1251 Repayments: Repayments and prepayments .................
¥295
¥461
¥377
1261 Adjustments: Capitalized interest ................................. ................... ................... ...................
Write-offs for default:
1263
Direct loans ............................................................... ................... ................... ...................
1264
Other adjustments, net .............................................
¥14 ................... ...................
Outstanding, end of year ..........................................

5,600

5,139

4,762

Financing sales of agricultural commodities to developing
countries for dollars on credit terms, or for local currencies
(including for local currencies on credit terms) for use under
sec. 104; and for furnishing commodities to carry out the Food
for Progress Act of 1985, as amended (title I).—Funds appropriated for P.L. 480 are used to finance all sales made pursuant to agreements concluded under the authority of Title I.
No 2008 funding is requested for new direct credit under
Title I; however, funding for administrative expenses associated with managing the existing loan portfolio is requested.
No funding is requested for Title I ocean freight differential
for 2008.
Financing sales of agricultural commodities for dollars on
credit terms (title I).—Sales are made to developing countries
as defined in section 402(4) of P.L. 480 and must not displace
expected commercial sales (secs. 403(e) and (h)). Agreements
are made with developing countries for delivery in accordance
with the terms of the agreement.
Payment by developing countries or private entities may
be made over a period of not more than 30 years with a
deferral of principal payments for up to 5 years. Interest
accrues at a concessional rate as determined appropriate.
Section 411 of P.L. 480 authorizes the President to waive
payments of principal and interest under dollar credit sales
agreements for countries that meet certain enumerated requirements. Such debt relief may be provided only if the
President notifies Congress and may not exceed the amount
approved for such purpose in an Act appropriating funds to
carry out P.L. 480.
Financing sales of agricultural commodities for local currency, including for local currency on credit terms.—Payment
by a recipient country may be made in local currencies for
use in carrying out activities under section 104 of P.L. 480.
Foreign currency received in payment for credit extended
may be used for payment of U.S. obligations abroad, subject
to the appropriation process. The P.L. 480 program is reimbursed for the dollar value of currencies so used.
The financing of sales of agricultural commodities for local
currencies on credit terms is subject to the same terms that
are applicable to dollar credit financing.
Furnishing commodities to carry out the Food for Progress
Act of 1985, as amended (title I).—Funds appropriated to
carry out title I may be used to furnish commodities to carry
out the Food for Progress Act of 1985. Such commodities
may be furnished on credit terms or on a grant basis in
order to assist developing countries and countries that are
emerging democracies that have made a commitment to introduce and expand free enterprise elements in their agricultural
economies.
Commodities supplied in connection with dispositions
abroad (title II).—Under title II, agricultural commodities are
furnished to meet famine or other emergency relief needs,
combat malnutrition, carry out activities to alleviate the
causes of hunger, mortality and morbidity, promote economic
and community development, promote sound environmental
practices, and carry out feeding programs. Agricultural commodities are provided through governments for emergencies
only, and for non-emergencies through public and private
agencies, including intergovernmental organizations.

FOOD AND NUTRITION SERVICE
Federal Funds

DEPARTMENT OF AGRICULTURE

The Corporation is authorized to pay the costs of acquisition, packaging, processing, enrichment, preservation, fortification, transportation, handling, and other incidental costs
incurred up to the time of delivery at U.S. ports. The Corporation also pays ocean freight charges, and pays transportation
costs to points of entry other than ports in the case of landlocked countries, where carriers to a specific country are not
available, where ports cannot be used effectively, or where
a substantial savings in costs or time can be effected, and
pays general average contributions arising from ocean transport. In addition, transportation costs from designated points
of entry or ports of entry abroad to storage and distribution
sites and associated storage and distribution costs may be
paid for commodities made available to meet urgent and extraordinary relief requirements. P.L. 480 funds reimburse the
Corporation for all of the cost items authorized above.
Balance Sheet (in millions of dollars)
Identification code 12–2274–0–1–151

1101
1601
1602
1603
1699

2005 actual

161

¥142
¥150
¥149
¥1 ................... ...................

73.20
73.40

Total outlays (gross) ......................................................
Adjustments in expired accounts (net) .........................

74.40

Obligated balance, end of year ................................

86.90
86.93

Outlays (gross), detail:
Outlays from new discretionary authority .....................
Outlays from discretionary balances .............................

121
21

121
29

127
22

87.00

Total outlays (gross) .................................................

142

150

149

Offsets:
Against gross budget authority and outlays:
88.00
Offsetting collections (cash) from: Federal sources

¥1

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

142
141

142
149

149
148

89.00
90.00

This account funds the majority of the Federal operating
expenses of the Food and Nutrition Service and the Center
for Nutrition Policy and Promotion.

2006 actual

Object Classification (in millions of dollars)

ASSETS:
Federal assets: Fund balances with Treasury ..........................
Direct loans, gross ......................................................................
Interest receivable ........................................................................
Allowance for estimated uncollectible loans and interest (–)

43
5,909
715
–2,588

52
5,600
68
–2,567

Value of assets related to direct loans ...................................

4,036

3,101

4,079

3,153

3,387
692

3,146
7

2999

Total liabilities .............................................................................

4,079

3,153

4999

Total liabilities and net position ...............................................

4,079

3,153

1999

Identification code 12–3508–0–1–605

11.1
11.3
11.5
11.9
12.1
21.0
23.3

2006 actual

2007 est.

2008 est.

91
1
1

96
1
1
98
23
2

93
22
2

25.2
26.0
41.0

Total personnel compensation ..............................
Civilian personnel benefits .......................................
Travel and transportation of persons .......................
Communications, utilities, and miscellaneous
charges .................................................................
Other services ............................................................
Supplies and materials .............................................
Grants, subsidies, and contributions ........................

2
19
2
2

2
2
19
23
2
1
2 ...................

FOOD AND NUTRITION SERVICE

99.0
99.0

Direct obligations ..................................................
Reimbursable obligations ..............................................

142
1

149
1

Federal Funds

99.9

Total new obligations ................................................

143

150

NUTRITION PROGRAMS ADMINISTRATION
For necessary administrative expenses of the domestic nutrition assistance programs funded under this Act, $148,926,000.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

2006 actual

2007 est.

140
2
1

10.00

Total new obligations ................................................

143

150

22.00
23.95

Budgetary resources available for obligation:
New budget authority (gross) ........................................
Total new obligations ....................................................

143
¥143

150
¥150

43.00
58.00

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................

1,194

2007 est.

1,141

2008 est.

1,141

FOOD STAMP PROGRAM

2008 est.

Obligations by program activity:
Direct program:
00.01
Nutrition programs administration ...........................
00.03
Congressional hunger center fellowships .................
09.01 Reimbursable administrative services provided to Federal agencies .............................................................

Identification code 12–3508–0–1–605

Program and Financing (in millions of dollars)
Identification code 12–3508–0–1–605

Employment Summary

140
149
2 ...................

143
142
149
¥1 ................... ...................

Appropriation (total discretionary) ........................
Spending authority from offsetting collections: Offsetting collections (cash) .....................................

142

149

70.00

Total new budget authority (gross) ..........................

143

150

72.40
73.10

Change in obligated balances:
Obligated balance, start of year ...................................
Total new obligations ....................................................

29
143

22
150

For necessary expenses to carry out the Food Stamp Act (7 U.S.C.
2011 et seq.), $39,838,223,000, of which $3,000,000,000 to remain
available through September 30, 2009, shall be placed in reserve for
use only in such amounts and at such times as may become necessary
to carry out program operations: Provided, That funds provided herein
shall be expended in accordance with section 16 of the Food Stamp
Act: Provided further, That this appropriation shall be subject to
any work registration or workfare requirements as may be required
by law: Provided further, That funds made available for Employment
and Training under this heading shall remain available until expended, as authorized by section 16(h)(1) of the Food Stamp Act:
Provided further, That immediately upon termination of the Commodity Supplemental Food Program (CSFP), notwithstanding section
5 of the Food Stamp Act, CSFP participants who are 60 years of
age or older and not already receiving food stamp benefits, shall
be eligible to receive food stamp benefits equaling $20 per month
either for six months or until they are determined eligible under section 5 of the Act and begin to participate in the Food Stamp Program,
whichever occurs first.
For making after May 31 of the current fiscal year, benefit payments
to individuals and payments to States or other non-Federal entities
for the necessary current year expenses of carrying out the Food Stamp
Act above the anticipated level, such sums as may be necessary.
Note.—A regular 2007 appropriation for this account had not been enacted at the time
the budget was prepared; therefore, this account is operating under a continuing resolution

162

FOOD AND NUTRITION SERVICE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008

FOOD STAMP PROGRAM—Continued

Summary of Budget Authority and Outlays

(P.L. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

(in millions of dollars)

Program and Financing (in millions of dollars)
Identification code 12–3505–0–1–605

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Benefits issued ..............................................................
30,123
30,444
31,909
00.02 State administration ......................................................
2,455
2,551
2,662
00.03 Employment and training program ...............................
323
316
324
00.04 Other program costs ......................................................
58
60
66
00.05 Nutrition Assistance for Puerto Rico .............................
1,518
1,551
1,615
00.06 Food distribution program on Indian reservations
(Commodities in lieu of food stamps) ......................
54
51
51
00.07 Food distribution program on Indian reservations (Cooperator administrative expense) ..............................
25
27
29
00.08 The emergency food assistance program (commodities) ..........................................................................
140
140
140
00.09 Modified food stamp program in American Samoa
6
6
6
00.10 Community food project .................................................
5
5
5
00.11 Commonwealth of the Northern Mariana Islands .........
8
9
9
00.13 Program access .............................................................
5
5
5
00.14 Disregard special military pays for deployed ................
1
1 ...................
00.15 CSFP transitional benefit ............................................... ................... ...................
22
09.01 Reimbursable program ..................................................
24
35
35
10.00

Total new obligations ................................................

21.40
22.00
22.10

34,745

35,201

36,878

2,042
40,748

3,033
38,186

3,018
39,873

11 ................... ...................

23.90
23.95
23.98

Total budgetary resources available for obligation
Total new obligations ....................................................
Unobligated balance expiring or withdrawn .................

42,801
¥34,745
¥5,023

41,219
¥35,201
¥3,000

42,891
¥36,878
¥3,000

24.40

Unobligated balance carried forward, end of year

3,033

3,018

2006 actual

2007 est.

2008 est.

Enacted/requested:
Budget Authority .....................................................................
40,700
38,151
Outlays ....................................................................................
34,620
35,564
Legislative proposal, subject to PAYGO:
Budget Authority ..................................................................... .................... ....................
Outlays .................................................................................... .................... ....................
Total:
Budget Authority .....................................................................
Outlays ....................................................................................

40,700
34,620

38,151
35,564

39,838
36,829
–12
–11

39,826
36,818

The Food Stamp Program is the primary source of nutrition
assistance for low-income Americans.
This account also includes funds for a grant to Puerto Rico
to administer a low-income nutrition assistance program, in
lieu of the Food Stamp Program; funds to carry out the Emergency Food Assistance Act of 1983; and funds for food distribution and administrative expenses for Native Americans
under section 4(b) of the Food Stamp Act.
Food Stamp Program costs are not fully predictable. In
the event that actual program needs exceed budget estimates,
the Budget provides a $3 billion contingency reserve. The
Budget also proposes indefinite funding authority which
would make funds available in the last four months of the
fiscal year if program needs exceed the anticipated level.
The Budget also provides temporary transitional benefits
to help elderly households transition from the Commodity
Supplemental Food Program to the Food Stamp Program.

3,013

Object Classification (in millions of dollars)
Identification code 12–3505–0–1–605

2006 actual

2007 est.

2008 est.

40,694
38,141
39,793
¥11 ................... ...................

62.50
69.00

Appropriation (total mandatory) ...........................
Spending authority from offsetting collections: Offsetting collections (cash) .....................................

40,683
48

70.00

Total new budget authority (gross) ..........................

40,748

38,186

39,873

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 ..............................

38,141

39,793

1,629
1,491
1,093
34,745
35,201
36,878
¥34,677
¥35,599
¥36,864
¥195 ................... ...................
¥11 ................... ...................

74.40

Obligated balance, end of year ................................

1,491

1,093

1,107

86.90
86.93
86.97
86.98

9
9
33,039
1,620

14
7
34,093
1,485

Total outlays (gross) .................................................

34,677

35,599

36,864

6
1
2

9
1
2

24.0
25.2
26.0
31.0
41.0

3
1
44
185
1
34,478

3
1
47
181
1
34,924

3
2
49
181
1
36,595

99.0
99.0

Direct obligations ..................................................
Reimbursable obligations ..............................................

34,721
24

35,166
35

36,843
35

Total new obligations ................................................

34,745

35,201

36,878

11.1
12.1
21.0
23.3

Employment Summary
Identification code 12–3505–0–1–605

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................

35
7
35,699
1,123

87.00

6
1
2

99.9

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
Mandatory:
60.00
Appropriation .............................................................
60.36
Unobligated balance permanently reduced ..............

Direct obligations:
Personnel compensation: Full-time permanent ........
Civilian personnel benefits .......................................
Travel and transportation of persons .......................
Communications, utilities, and miscellaneous
charges .................................................................
Printing and reproduction .........................................
Other services ............................................................
Supplies and materials .............................................
Equipment .................................................................
Grants, subsidies, and contributions ........................

FOOD

89.00
90.00

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

2008 est.

STAMP PROGRAM

(Legislative proposal, subject to PAYGO)
Program and Financing (in millions of dollars)
Identification code 12–3505–4–1–605

Offsets:
Against gross budget authority and outlays:
88.40
Offsetting collections (cash) from: Non-Federal
sources ..................................................................
Against gross budget authority only:
88.96
Portion of offsetting collections (cash) credited to
expired accounts ...................................................

2007 est.

2006 actual

2007 est.

2008 est.

¥35

¥12

10.00
¥57

Obligations by program activity:
Direct program:
00.01
Benefits issued .......................................................... ................... ...................
Total new obligations (object class 41.0) ................ ................... ...................

¥12

22.00
23.95

¥12
12

¥35

9 ................... ...................

24.40
40,700
34,620

38,151
35,564

39,838
36,829

Unobligated balance carried forward, end of year ................... ................... ...................
New budget authority (gross), detail:
Mandatory:

FOOD AND NUTRITION SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
60.00

Appropriation ............................................................. ................... ...................

¥12

10.00

Total new obligations ................................................

73.10
73.20

¥12
11

21.40
22.00
22.10

74.40

Obligated balance, end of year ................................ ................... ...................

¥1

23.90
23.95
23.98

Total budgetary resources available for obligation
Total new obligations ....................................................
Unobligated balance expiring or withdrawn .................

24.40

Unobligated balance carried forward, end of year

86.97

Outlays (gross), detail:
Outlays from new mandatory authority ......................... ................... ...................

¥11

89.00
90.00

¥12
¥11

This schedule shows the net effects of the following legislative proposals. The Budget proposes to exclude all retirement
and education savings accounts when determining if a household is eligible for food stamp benefits. It also proposes to
limit Food Stamp categorical eligibility status to households
which receive Supplemental Security Income or Temporary
Assistance for Needy Families cash assistance. Finally, the
Budget proposes to exclude combat-related military pay when
determining if a household is eligible for food stamp benefits.
This policy ensures that the families of the Nation’s servicemen and women do not lose food stamp benefits when their
family member serves in combat.

12,796

13,285

13,918

52
12,711

84
13,204

3
13,918

119 ................... ...................
12,882
13,288
13,921
¥12,796
¥13,285
¥13,918
¥2 ................... ...................
84

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
7
Mandatory:
60.00
Appropriation .............................................................
7,510
60.00
Appropriation- Permanent Appropriation .................. ...................
62.00
Transferred from other accounts ..............................
5,188

7,440
20
5,731

7,585
20
6,304

13,191

13,909

Appropriation (total mandatory) ...........................
Spending authority from offsetting collections: Offsetting collections (cash) .....................................

12,698

70.00

Total new budget authority (gross) ..........................

12,711

72.40
73.10
73.20
73.40
73.45

74.40

62.50
69.00

163

Obligated balance, end of year ................................

1,995

1,624

1,692

86.90
86.93
86.97
86.98

4
3
10,520
1,922

7
3
11,642
2,004

5
6
12,215
1,624

87.00

Total outlays (gross) .................................................

12,449

13,656

13,850

6 ................... ...................
13,204

13,918

1,739
1,995
1,624
12,796
13,285
13,918
¥12,449
¥13,656
¥13,850
28 ................... ...................
¥119 ................... ...................

CHILD NUTRITION PROGRAMS
(INCLUDING TRANSFERS OF FUNDS)

For necessary expenses to carry out the National School Lunch
Act (42 U.S.C. 1751 et seq.), except section 21, and the Child Nutrition
Act of 1966 (42 U.S.C. 1771 et seq.), except sections 17 and 21;
$13,897,272,000, to remain available through September 30, 2009,
of which $7,592,797,000 is hereby appropriated and $6,304,475,000
shall be derived by transfer from funds available under section 32
of the Act of August 24, 1935 (7 U.S.C. 612c): Provided, That up
to $5,505,000 shall be available for independent verification of school
food service claims.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
Identification code 12–3539–0–1–605

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Above 185 of poverty .....................................................
00.02 130–185 of poverty .......................................................
00.03 Below 130 of poverty .....................................................

468
951
6,149

489
998
6,368

510
1,040
6,631

00.91
01.01
01.02
01.03

Subtotal, school lunch program ................................
Above 185 of poverty .....................................................
130–185 of poverty .......................................................
Below 130 of poverty .....................................................

7,568
71
183
1,828

7,855
80
199
1,962

8,181
85
212
2,093

01.91
02.01
02.02
02.03
02.04

Subtotal, school breakfast program .........................
Above 185 of poverty .....................................................
130–185 of poverty .......................................................
Below 130 of poverty .....................................................
Audits .............................................................................

2,082
184
117
1,803
22

2,241
184
121
1,844
23

2,390
193
128
1,935
33

02.91
03.01
03.02
03.03
03.04

Subtotal, child and adult care feeding program
Summer food service program ......................................
Special milk program ....................................................
State administrative expenses ......................................
Commodity procurement ................................................

2,126
283
15
156
496

2,172
294
14
164
476

2,289
311
15
176
508

03.91
04.01
04.02
04.03
04.05
04.06

Subtotal, Other mandatory activities ........................
950
948
Team Nutrition ...............................................................
10
10
Coordinated review and CN pay costs ..........................
6
6
Computer support and processing ................................
9
9
Food safety education ....................................................
1
1
CACFP CRE ..................................................................... ................... ...................

1,010
10
6
9
1
2

04.91
05.01

Subtotal, discretionary activities ..............................
Food service management institute and information
clearinghouse and Reauthorization Activities ...........

Offsets:
Against gross budget authority and outlays:
88.40
Offsetting collections (cash) from: Non-Federal
sources ..................................................................
Against gross budget authority only:
88.96
Portion of offsetting collections (cash) credited to
expired accounts ...................................................

89.00
90.00

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

¥12 ................... ...................

6 ................... ...................

12,705
12,437

13,204
13,656

13,918
13,850

Summary of Budget Authority and Outlays
(in millions of dollars)
2006 actual

2007 est.

Enacted/requested:
Budget Authority .....................................................................
12,705
13,204
Outlays ....................................................................................
12,437
13,656
Legislative proposal, subject to PAYGO:
Budget Authority ..................................................................... .................... ....................
Outlays .................................................................................... .................... ....................
Total:
Budget Authority .....................................................................
Outlays ....................................................................................

12,705
12,437

13,204
13,656

2008 est.

13,918
13,850
–8
–7

13,910
13,843

Payments are made for cash and commodity meal subsidies
through the School Lunch, School Breakfast, Special Milk,
Summer Food Service, and Child and Adult Care Food programs.
Object Classification (in millions of dollars)
Identification code 12–3539–0–1–605

Direct obligations:
11.1 Personnel compensation: Full-time permanent .............
12.1 Civilian personnel benefits ............................................
21.0 Travel and transportation of persons ............................

2006 actual

9
3
1

2007 est.

11
3
1

2008 est.

12
3
1

164

FOOD AND NUTRITION SERVICE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008

CHILD NUTRITION PROGRAMS—Continued
(INCLUDING TRANSFERS OF FUNDS)—Continued

Object Classification (in millions of dollars)—Continued
Identification code 12–3539–0–1–605

2006 actual

2007 est.

2008 est.

24.0
25.2
26.0
41.0

Printing and reproduction ..............................................
Other services ................................................................
Supplies and materials (Commodities) .........................
Grants, subsidies, and contributions ............................

3
13
733
12,034

3
13
733
12,521

7
13
733
13,149

99.9

Total new obligations ................................................

12,796

13,285

13,918

Employment Summary
Identification code 12–3539–0–1–605

1001

2006 actual

Direct:
Civilian full-time equivalent employment .....................

2007 est.

160

155

2008 est.

164

CHILD NUTRITION PROGRAMS

those that have an announced policy of prohibiting smoking within
the space used to carry out the program: Provided further, That none
of the funds provided in this account shall be available for the purchase of infant formula except in accordance with the cost containment
and competitive bidding requirements specified in section 17 of such
Act: Provided further, That notwithstanding Section 17(h)(1)(B) of
the Child Nutrition Act of 1966, the amount of the national average
per participant grant shall be not more than $14.12: Provided further,
That none of the funds made available under this heading may be
used to provide WIC benefits to an individual who receives medical
assistance under title XIX of the Social Security Act, or is a member
of a family in which a pregnant woman or an infant receives assistance unless such individual’s family income is below 250 percent
of the applicable nonfarm income poverty limits: Provided further,
That none of the funds provided shall be available for activities that
are not fully reimbursed by other Federal Government departments
or agencies unless authorized by section 17 of such Act.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

(Legislative proposal, subject to PAYGO)

Program and Financing (in millions of dollars)

Program and Financing (in millions of dollars)
Identification code 12–3539–4–1–605

2006 actual

Identification code 12–3510–0–1–605
2007 est.

2008 est.

5,477

5,363

5,463

5,477

159
5,176

162
5,169

34
5,387

192

166

115

10.00

Total new obligations (object class 41.0) ................

10.00

Total new obligations (object class 41.0) ................ ................... ...................

¥8

22.00
23.95

21.40
22.00
22.10

¥8
8

23.90
23.95
23.98

Change in obligated balances:
73.10 Total new obligations .................................................... ................... ...................
73.20 Total outlays (gross) ...................................................... ................... ...................

¥8
7

74.40

Obligated balance, end of year ................................ ................... ...................

¥1

86.97

Outlays (gross), detail:
Outlays from new mandatory authority ......................... ................... ...................

¥7

Total budgetary resources available for obligation
Total new obligations ....................................................
Unobligated balance expiring or withdrawn .................

24.40

Unobligated balance carried forward, end of year

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
40.35
Appropriation permanently reduced ..........................
40.36
Unobligated balance permanently reduced ..............

¥8
¥7

This schedule shows the interactive effects of a legislative
proposal to limit Food Stamp Program categorical eligibility
to households which receive Supplemental Security Income
or Temporary Assistance for Needy Families cash assistance.
f

FOR

WOMEN, INFANTS,

For necessary expenses to carry out the special supplemental nutrition program as authorized by section 17 of the Child Nutrition Act
of 1966 (42 U.S.C. 1786), $5,386,597,000, to remain available through
September 30, 2009, of which, such sums as are necessary to restore
the contingency reserve to $200,000,000 shall be placed in reserve,
to remain available until expended, to be allocated as the Secretary
deems necessary, notwithstanding section 17(i) of such Act, to support
participation should cost or participation exceed budget estimates: Provided, That of the total amount available, the Secretary shall obligate
not less than $14,850,000 for a breastfeeding support initiative in
addition to the activities specified in section 17(h)(3)(A): Provided
further, That notwithstanding section 17(h)(10)(A) of such Act, only
the provisions of section 17(h)(10)(B)(i) shall be effective in 2008; including $13,860,000 for the purposes specified in section
17(h)(10)(B)(i): Provided further, That none of the funds in this Act
shall be available to pay administrative expenses of WIC clinics except

43.00
58.00

5,527
5,497
5,536
¥5,363
¥5,463
¥5,477
¥2 ................... ...................
162

5,257
5,169
5,387
¥53 ................... ...................
¥32 ................... ...................

Appropriation (total discretionary) ........................
Spending authority from offsetting collections: Offsetting collections (cash) .....................................

5,172

70.00

Total new budget authority (gross) ..........................

5,176

72.40
73.10
73.20
73.40
73.45

74.40

Net budget authority and outlays:
89.00 Budget authority ............................................................ ................... ...................
90.00 Outlays ........................................................................... ................... ...................

SPECIAL SUPPLEMENTAL NUTRITION PROGRAM
AND CHILDREN (WIC)

2008 est.

5,463

¥6
¥2

¥8

2007 est.

5,363

Obligations by program activity:
00.01 School Lunch .................................................................. ................... ...................
00.02 School Breakfast ............................................................ ................... ...................

New budget authority (gross), detail:
Mandatory:
60.00
Appropriation ............................................................. ................... ...................

2006 actual

Obligations by program activity:
00.01 Base grants ...................................................................

Obligated balance, end of year ................................

624

749

792

86.90
86.93

Outlays (gross), detail:
Outlays from new discretionary authority .....................
Outlays from discretionary balances .............................

4,457
603

4,737
435

4,887
432

87.00

Total outlays (gross) .................................................

5,060

5,172

5,319

Offsets:
Against gross budget authority and outlays:
88.40
Offsetting collections (cash) from: Non-Federal
sources ..................................................................

89.00
90.00

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

5,169

5,387

4 ................... ...................
5,169

5,387

519
624
749
5,363
5,463
5,477
¥5,060
¥5,172
¥5,319
¥6 ................... ...................
¥192
¥166
¥115

¥4 ................... ...................

5,172
5,056

5,169
5,172

5,387
5,319

The Special Supplemental Nutrition Program for Women,
Infants, and Children (WIC) provides low-income at-risk pregnant and post-partum women, infants, and children with
vouchers for nutritious supplemental food packages, nutrition

FOOD AND NUTRITION SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE

education and counseling, and health and immunization referrals. This request limits growth in funding for nutrition services and administration.
f

COMMODITY ASSISTANCE PROGRAM
For necessary expenses to carry out disaster assistance, as authorized by section 4(a) of the Agriculture and Consumer Protection Act
of 1973 (7 U.S.C. 612c note); the Emergency Food Assistance Act
of 1983; special assistance for the nuclear affected islands, as authorized by section 103(f)(2) of the Compact of Free Association Amendments Act of 2003 (Public Law 108–188); and the Farmers’ Market
Nutrition Program, as authorized by section 17(m) of the Child Nutrition Act of 1966, $70,370,000, to remain available through September
30, 2009: Provided, That none of these funds shall be available to
reimburse the Commodity Credit Corporation for commodities donated
to the program: Provided further, That notwithstanding any other
provision of law, effective with funds made available in fiscal year
2008 to support the Seniors Farmers’ Market Nutrition Program
(SFMNP), as authorized by section 4402 of Public Law 107–171, such
funds shall remain available through September 30, 2009: Provided
further, That no funds available for SFMNP in fiscal year 2008 shall
be used to pay State or local sales taxes on food purchased with
SFMNP coupons or checks: Provided further, That the value of assistance provided by the SFMNP shall not be considered income or resources for any purposes under any Federal, State or local laws related
to taxation, welfare and public assistance programs: Provided further,
That of the funds made available under section 27(a) of the Food
Stamp Act of 1977 (7 U.S.C. 2011 et seq.), the Secretary may use
up to $10,000,000 for costs associated with the distribution of commodities.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
Identification code 12–3507–0–1–605

2006 actual

2007 est.

2008 est.

00.01
00.02

Obligations by program activity:
Commodity procurement ................................................
Administrative costs ......................................................

84
28

78 ...................
29 ...................

00.91
02.01
03.01
04.01
05.01
09.01

Subtotal, commodity supplemental food program
TEFAP Administrative & Hurricane Assistance ..............
Senior farmers’ market ..................................................
Farmers’ market nutrition program ...............................
Pacific island and disaster assistance .........................
Reimbursable program (NSIP) .......................................

112
56
15
24
2
3

107 ...................
50
50
16
15
24
23
1
1
2 ...................

10.00

Total new obligations ................................................

212

200

21.40
22.00
22.10

1
207

1 ...................
194
85

213
¥212

200
¥200

89
¥89

23.90
23.95

Total budgetary resources available for obligation
Total new obligations ....................................................

24.40

Unobligated balance carried forward, end of year

1 ................... ...................

187

Total new budget authority (gross) ..........................

72.40
73.10
73.20
73.40
73.45
74.00

58.00
58.10
58.90

62.00

177

207

194

33
35
34
212
200
89
¥209
¥194
¥92
5 ................... ...................
¥5
¥5
¥4
¥1

¥2 ...................

74.40

Obligated balance, end of year ................................

86.90
86.93
86.97
86.98

175
19
8
7

149
30
8
7

47
30
8
7

87.00

Total outlays (gross) .................................................

209

194

¥10 ................... ...................
¥1 ................... ...................

88.90

¥11 ................... ...................

88.95
88.96

89.00
90.00

Total, offsetting collections (cash) .......................
Against gross budget authority only:
Change in uncollected customer payments from
Federal sources (unexpired) ..................................
Portion of offsetting collections (cash) credited to
expired accounts ...................................................
Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

¥1

¥2 ...................

7 ................... ...................

202
198

192
194

85
92

This account funds the Commodity Supplemental Food Program (CSFP), the Emergency Food Assistance Program
(TEFAP), farmers’ market nutrition programs, assistance for
the nuclear affected islands, and disaster relief.
TEFAP provides cash to support State administrative activities and to maintain the storage and distribution pipeline
for USDA and privately-donated commodities. The account
also funds two programs which provide low-income participants vouchers to purchase produce at farmers’ markets. The
Senior Farmers’ Market Nutrition Program (SFMNP) is funded by transfer from the Commodity Credit Corporation. The
WIC Farmers’ Market Program is funded by discretionary
appropriation.
The Budget eliminates funding for CSFP which is duplicative of the Food Stamp and WIC programs. Resources are
provided, within the Food Stamp and WIC accounts, to help
transition CSFP participants to those programs.
The Budget also proposes to prohibit farmers from charging
sales tax on food purchased with SFMNP benefits and to
ensure that SFMNP benefits are not considered as income
for tax purposes or for determining eligibility for any public
assistance benefit. These proposals are consistent with the
treatment of benefits in other Federal nutrition programs.

189
177
70
¥2 ................... ...................

43.00

70.00

165

Object Classification (in millions of dollars)
Identification code 12–3507–0–1–605

2006 actual

2007 est.

2008 est.

2 ...................

26.0
41.0

Direct obligations:
Supplies and materials (commodities) .....................
Grants, subsidies, and contributions ........................

2 ...................

99.0
99.0

Direct obligations ..................................................
Reimbursable obligations ..............................................

209
3

198
89
2 ...................

99.9

Total new obligations ................................................

212

200

4 ................... ...................

89
120

78 ...................
120
89

166

FOOD AND NUTRITION SERVICE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008
58.00
58.10

FOOD DONATIONS PROGRAMS
Program and Financing (in millions of dollars)
Identification code 12–3503–0–1–605

2006 actual

Change in obligated balances:
72.40 Obligated balance, start of year ...................................
1
73.20 Total outlays (gross) ...................................................... ...................
74.40

2007 est.

2008 est.

58.90

1,539

1,434

This account includes outlays of prior year funds for the
Nutrition Services Incentive Program (NSIP). NSIP was
transferred to the Department of Health and Human Services
(HHS) in 2003. NSIP grantees traditionally have had the
option to receive all or a portion of their grant in the form
of USDA-provided commodities. Between 2004 and 2007,
USDA was reimbursed by HHS for the cost of these commodities, the amounts for which are reflected in the Commodity
Assistance Programs account. Under the reauthorization of
the Older Americans Act, the authority for USDA to provide
commodities to NSIP grantees ends in 2008.

FOREST SERVICE
NATIONAL FOREST SYSTEM
(INCLUDING TRANSFERS OF FUNDS)

For necessary expenses of the Forest Service, not otherwise provided
for, for management, protection, improvement, and utilization of the
National Forest System, $1,344,377,000, to remain available until expended, which shall include 50 percent of all moneys received during
prior fiscal years as fees collected under the Land and Water Conservation Fund Act of 1965, as amended, in accordance with section
4 of the Act (16 U.S.C. 460l–6a(i)).
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 National forest system ...................................................
09.01 Reimbursable program ..................................................

1,469
92

1,464
90

1,344
90

10.00

Total new obligations ................................................

1,561

1,554

1,434

21.40
22.00
22.10

87
1,634

167
1,539

152
1,434

7 ................... ...................

23.90
23.95

Total budgetary resources available for obligation
Total new obligations ....................................................

1,728
¥1,561

1,706
¥1,554

1,586
¥1,434

24.40

Unobligated balance carried forward, end of year

167

152

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
40.20
Appropriation (special fund) .....................................
40.35
Appropriation permanently reduced ..........................
41.00
Transferred to other accounts ...................................
42.00
Transferred from other accounts ..............................

1,464
1,444
1,344
13 ................... ...................
¥21 ................... ...................
¥16 ................... ...................
18
5 ...................

43.00

1,458

1,449

1,344

¥86 ................... ...................

Obligated balance, end of year ................................

169

119

86.90
86.93

Outlays (gross), detail:
Outlays from new discretionary authority .....................
Outlays from discretionary balances .............................

1,239
253

1,309
295

1,219
331

87.00

Total outlays (gross) .................................................

1,492

1,604

1,550

¥66
¥24

88.90

¥90

88.95

89.00
90.00

Federal Funds

193
169
119
1,561
1,554
1,434
¥1,492
¥1,604
¥1,550
¥7 ................... ...................

74.40

Appropriation (total discretionary) ........................
Spending authority from offsetting collections:

1,634

72.40
73.10
73.20
73.45
74.00

89.00
90.00

86 ................... ...................
90

Total new budget authority (gross) ..........................

1 ...................

70.00

Outlays (gross), detail:
Outlays from discretionary balances ............................. ...................

176

1 ...................
¥1 ...................

86.93

Spending authority from offsetting collections
(total discretionary) ..........................................

1 ................... ...................

Obligated balance, end of year ................................

Identification code 12–1106–0–1–302

Offsetting collections (cash) ................................
Change in uncollected customer payments from
Federal sources (unexpired) .............................

¥86 ................... ...................

1,458
1,402

1,449
1,514

1,344
1,460

The 155 National Forests, 20 National Grasslands, and 6
land utilization projects located in 44 States, Puerto Rico,
and the Virgin Islands are managed under multiple-use and
sustained-yield principles. The natural resources of timber,
minerals, range, wildlife, outdoor recreation, watershed, and
soil are used in a planned combination that will best meet
the needs of the Nation without impairing productivity of
the land or damaging the environment. These management
and utilization principles are recognized in the Multiple-Use,
Sustained-Yield Act of 1960 (16 U.S.C. 528–531) and use an
ecological approach to managing the National Forest System.
National Forest System (NFS) operations and maintenance
provide for the planning, assessment, and conservation of ecosystems while delivering multiple public services and uses.
These are delivered through the principal NFS programs of
land management planning; inventory and monitoring; recreation, heritage, and wilderness; wildlife and fisheries habitat
management; grazing management; forest products; vegetation and watershed management; minerals and geology management; landownership management; the Valles Caldera National Preserve; and law enforcement operations. These programs maintain the capability to manage natural resources
in a manner consistent with ecological principles and responsibilities.
The Budget provides full funding for the Forest Service
component of the Northwest Forest Plan to ensure scientifically sound, ecologically credible, and legally responsible
strategies and implementation that produces a predictable
and sustainable level of timber sales and non-timber resources. The Budget also reflects continued use of streamlined
forest planning and authorities included in the President’s
Healthy Forests Initiative and the Healthy Forests Restoration Act, particularly stewardship contracting, through which
the average number of acres per contract increases by five
percent. The Budget provides for the use of an Environmental
Monitoring System, a new streamlined process improves forest planning that permits the efficient revision of national

FOREST SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE

forest plans, and the sustainable production of 3.5 billion
board feet of timber offered from national forests.
The Budget reflects a continuing emphasis on Forest Service performance and accountability by continuing use of two
performance measures for the National Forest System,consisting of volume sold as an annual output measure
for Forest Products and an annual efficiency measure consisting of the ratio of total receipts for each activity that
generates receipts to the obligations for each such respective
activity necessary to generate those receipts.
The Budget also continues a significant reform of the Forest
Service that streamlines its organization, improves accountability, and focuses on measurable results in the management
of our national forests. Specifically, the Budget will reduce
overhead, business management, and other indirect costs by
one-third to improve efficiency and program delivery. Results
will improve in two ways. First, national forest operations
will continue transformation by making additional ‘‘on-theground’’ resources available for resource management projects
that meet the objectives of the President’s Healthy Forests
Initiative by reducing indirect costs to $461 million, improving
procurement practices, and expanding use of competitive
sourcing. Secondly, program administration and execution will
continue to be enhanced through improvements in management accountability, reporting relationships, and oversight.
Object Classification (in millions of dollars)
Identification code 12–1106–0–1–302

11.1
11.3
11.5
11.9
12.1
13.0
21.0
22.0
23.1
23.2
23.3

2007 est.

Program and Financing (in millions of dollars)
Identification code 12–1103–0–1–302

594
38
36

625
40
38

574
36
35

668
205
10
48
11
15
33

703
215
10
51
11
16
35

645
198
10
46
10
14
32

26
3
4
222

28
3
4
191

25
3
4
175

99.0
99.0

Direct obligations ..................................................
Reimbursable obligations ..............................................

1,469
92

1,464
90

1,344
90

99.9

Total new obligations ................................................

1,561

1,554

1,434

77
68
61
1
1
1
1 ...................
1
8
8
8
52
46
42
21
18
16
1
1
1
60
53
48
4
3
4
¥1
¥1 ...................

Employment Summary

Direct:
Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................
Allocation account:
3001 Civilian full-time equivalent employment .....................

2007 est.

2008 est.

455
17

480
15

423
15

10.00

Total new obligations ................................................

472

495

438

21.40
22.00
22.10

100
471

101
448

54
438

2 ................... ...................

Total budgetary resources available for obligation
Total new obligations ....................................................

573
¥472

549
¥495

492
¥438

Unobligated balance carried forward, end of year

101

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
40.35
Appropriation permanently reduced ..........................
41.00
Transferred to other accounts ...................................

448
411
423
¥6 ................... ...................
¥4 ................... ...................

43.00

438

411

423

58.00
58.10
58.90

62.00

2006 actual

2007 est.

2008 est.

10,560

10,833

9,680

452

72.40
73.10
73.20
73.45
74.00

74.40

86.90
86.93
86.97
86.98

824

18 ................... ...................

Spending authority from offsetting collections
(total discretionary) ..........................................
33
Mandatory:
Transferred from other accounts .............................. ...................
Total new budget authority (gross) ..........................

Obligated balance, end of year ................................

471

22 ...................
448

438

289
194
200
472
495
438
¥547
¥489
¥441
¥2 ................... ...................
¥18 ................... ...................
194

200

197

Outlays (gross), detail:
Outlays from new discretionary authority .....................
318
319
328
Outlays from discretionary balances .............................
229
153
107
Outlays from new mandatory authority ......................... ...................
17 ...................
Outlays from mandatory balances ................................ ................... ...................
6
Total outlays (gross) .................................................

547

489

441

¥7
¥8

¥15

452

1,013

70.00

87.00

1001

2006 actual

Obligations by program activity:
00.01 Capital improvement and maintenance ........................
09.01 Reimbursable program ..................................................

2008 est.

25.4
25.5
25.7
26.0
31.0
32.0
41.0
42.0
44.0

Identification code 12–1106–0–1–302

MAINTENANCE

23.90
23.95

Total personnel compensation ..............................
Civilian personnel benefits .......................................
Benefits for former personnel ...................................
Travel and transportation of persons .......................
Transportation of things ...........................................
Rental payments to GSA ...........................................
Rental payments to others ........................................
Communications, utilities, and miscellaneous
charges .................................................................
Printing and reproduction .........................................
Advisory and assistance services .............................
Other services ............................................................
Other purchases of goods and services from Government accounts .................................................
Operation and maintenance of facilities ..................
Research and development contracts .......................
Operation and maintenance of equipment ...............
Supplies and materials .............................................
Equipment .................................................................
Land and structures ..................................................
Grants, subsidies, and contributions ........................
Insurance claims and indemnities ...........................
Refunds .....................................................................

24.0
25.1
25.2
25.3

AND

For necessary expenses of the Forest Service, not otherwise provided
for, $422,565,000, to remain available until expended, for construction,
capital improvement, maintenance, and acquisition of buildings and
other facilities and infrastructure; and for construction, capital improvement, decommissioning, and maintenance of forest roads and
trails by the Forest Service as authorized by 16 U.S.C. 532–538 and
23 U.S.C. 101 and 205: Provided, That up to $15,000,000 of the
funds provided herein for road maintenance shall be available for
the decommissioning of roads, including unauthorized roads not part
of the transportation system, which are no longer needed.

24.40

2006 actual

CAPITAL IMPROVEMENT

167

88.90
88.95

¥18 ................... ...................

168

FOREST SERVICE—Continued
Federal Funds—Continued

CAPITAL IMPROVEMENT

THE BUDGET FOR FISCAL YEAR 2008
AND

MAINTENANCE—Continued

Program and Financing (in millions of dollars)—Continued
Identification code 12–1103–0–1–302

89.00
90.00

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

2006 actual

438
532

2007 est.

433
474

2008 est.

423
426

Funding provides for capital improvement and maintenance
of facilities, roads, and trails. The program emphasizes: better
resource management decisions based on the best scientific
information and knowledge; an efficient and effective infrastructure that supports public and administrative uses; and
quality recreation experiences with minimal impact to ecosystem stability and conditions.
Facilities.—Provides for capital improvement and maintenance of research, recreation, fire, administrative, and other
(FA&O) facilities, including site components such as roads
and trails and the acquisition of buildings and other facilities
necessary to carry out the mission of the Forest Service. Capital improvement includes: new construction of a facility; alteration of an existing facility to change the function; and
expansion of a facility to change the capacity or to serve
needs that are different from what was originally intended.
Maintenance is divided into four primary areas: annual maintenance, deferred maintenance, decommissioning, and operations. Deferred maintenance work includes the repair, rehabilitation, or replacement of the facility or components of the
facility. Maintenance for FA&O projects costing less than
$250,000 are financed separately through a multi-program
assessment to Research, National Forest System, Wildland
Fire Management and the Capital Improvement and Maintenance appropriations along with eligible Permanent and Trust
Funds.
Roads.—Provides for capital improvement and maintenance
of roads. The program also focuses on decommissioning
unneeded roads and/or roads that are degrading the ecosystem. Capital improvement includes: new road construction;
alteration of an existing road to change the function; and
expansion of the road to change the capacity or to serve
needs that are different from what was originally intended.
The agency will continue to address the growing road system
maintenance backlog. Funding priorities are health and safety, resource protection, and mission critical needs. Maintenance is divided into four primary areas: annual road maintenance, deferred road maintenance, road operations, and decommissioning.
Trails.—Provides for capital improvement and maintenance
of trails. Capital improvement includes: new trail construction; alteration of an existing trail to change the function;
and expansion of the trail to change the capacity or to serve
needs that are different from what was originally intended.
Maintenance funding is used to protect capital investments
by keeping trails open for access and protecting vegetation,
soil, and water quality. Work includes clearing the pathway
of encroaching vegetation and fallen trees, and repairing or
improving trail signs, treadways, drainage facilities, and
bridges. Maintenance is divided into four primary areas: annual trail maintenance, deferred trail maintenance, trail operations, and trail decommissioning.
Infrastructure Improvement.—Ameliorates the backlog in
deferred maintenance of National Forest System roads and
trails as well as Forest Service fire, administrative, and recreation facilities. The funds focus on critical maintenance backlogs; i.e., these funds are for repair and rehabilitation of existing facilities and roads; funds may not be used for new and
expanded facilities or roads. The Budget reflects Forest Service improvements in addressing the deferred maintenance

backlog based upon agency implementation of PART recommendations.
The Budget reflects the Forest Service’s continued use of
new authorities that permit the agency to apply proceeds
from the sales of excess facilities to replace other deficient
facilities or perform needed rehabilitation work on existing
facilities. The Forest Service will continue with a facility assessment for the purpose of performing facility maintenance
and reducing the deferred maintenance backlog, and to use
assessments that include incentives to optimize utilization,
reduce costs, and improve facility conditions by reducing facility deferred maintenance at least 25 percent by 2010. The
Budget reflects a base rate for buildings plus a graduated
rate that recognizes different facility types, which together
are limited to 4 percent of the facility replacement value
and not to exceed $7 per square foot.
The Budget provides funding to the Forest Service to make
data quality improvements to the Forest Services INFRA
database and internal controls. Coupled with completion of
a strategy to address the deferred maintenance backlog and
to identify goals and objectives for managing deferred maintenance, these reforms allow the Forest Service to focus funds
on projects that have the highest priority as measured by
the improvement in its Facility Condition Index.
Object Classification (in millions of dollars)
Identification code 12–1103–0–1–302

11.1
11.3
11.5

2006 actual

2007 est.

2008 est.

151
13
7

138
12
7

141
12
7

171
44
5
9
3
3
8

157
40
5
8
2
3
8

160
41
5
8
2
3
8

8
1
83

7
1
110

7
1
79

25.4
25.7
26.0
31.0
32.0
41.0

Total personnel compensation ..............................
Civilian personnel benefits .......................................
Benefits for former personnel ...................................
Travel and transportation of persons .......................
Transportation of things ...........................................
Rental payments to GSA ...........................................
Rental payments to others ........................................
Communications, utilities, and miscellaneous
charges .................................................................
Advisory and assistance services .............................
Other services ............................................................
Other purchases of goods and services from Government accounts .................................................
Operation and maintenance of facilities ..................
Operation and maintenance of equipment ...............
Supplies and materials .............................................
Equipment .................................................................
Land and structures ..................................................
Grants, subsidies, and contributions ........................

33
6
4
19
9
31
18

42
8
4
24
11
28
22

30
5
4
17
8
29
16

99.0
99.0

Direct obligations ..................................................
Reimbursable obligations ..............................................

455
17

480
15

423
15

99.9

Total new obligations ................................................

472

495

438

11.9
12.1
13.0
21.0
22.0
23.1
23.2
23.3
25.1
25.2
25.3

Employment Summary
Identification code 12–1103–0–1–302

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................
Allocation account:
3001 Civilian full-time equivalent employment .....................

2007 est.

2008 est.

2,485

2,204

2,176

FOREST

AND

RANGELAND RESEARCH

For necessary expenses of forest and rangeland research as authorized by law, $263,000,000, to remain available until expended.

FOREST SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
GIFTS, DONATIONS

AND

BEQUESTS FOR FOREST
RESEARCH

AND

RANGELAND

For expenses authorized by 16 U.S.C. 1643(b), $56,000, to remain
available until expended, to be derived from the fund established
pursuant to the above Act.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
Identification code 12–1104–0–1–302

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.06 Forest and rangeland research .....................................
09.01 Reimbursable program ..................................................

307
33

329
49

285
49

10.00

Total new obligations ................................................

340

378

334

21.40
22.00

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
New budget authority (gross) ........................................

41
335

36
352

10
334

23.90
23.95

Total budgetary resources available for obligation
Total new obligations ....................................................

376
¥340

388
¥378

344
¥334

24.40

Unobligated balance carried forward, end of year

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
40.35
Appropriation permanently reduced ..........................
41.00
Transferred to other accounts ...................................
42.00
Transferred from other accounts ..............................

283
280
263
¥4 ................... ...................
¥1 ................... ...................
23
23
22

43.00

301

303

285

58.00
58.10

¥15 ................... ...................

58.90

Spending authority from offsetting collections
(total discretionary) ..........................................

Total new budget authority (gross) ..........................

335

352

334

tory, and the International Institute of Tropical Forestry located in Puerto Rico.
In 2008, FS R&D will continue to improve forest and rangeland managers’ abilities to reintroduce fire to its natural role
and mitigate losses from native insects and pathogens. FS
R&D researchers answer land managers’ scientific questions
about fire behavior, risk assessment and mitigation for multiple hazards, and utilization opportunities for the biomass
that contributes to overcrowded, unhealthy forests. Priority
will also be placed on making improvements in woody biomass
utilization for energy, alternative fuels, and value-added products to help stimulate removal of hazardous fuels from forests
at risk of wildfire. Tools and technologies will be modified,
adapted or developed to serve the priorities of land managers
dealing with wildland fire, invasive species, and other management challenges.
The Forest Inventory and Analysis program will continue
to provide up-to-date information on status and trends in
America’s forest resources including the distribution and type
of forest; growth, harvest, and mortality; forest structure and
composition; soils; vegetative diversity; and fuel loads. The
momentum to achieve the annualized inventory in all 50
States will be maintained.
Efficient delivery of science is essential to successful implementation of the President’s Healthy Forests Initiative. The
Budget continues efforts that optimize the delivery of research
findings by improving Forest Service management of investments in research, development, and applications. Funds will
be targeted to leading-edge technical assistance on a competitive basis with innovative partnerships and science and technology applications. The Budget also emphasizes increasing
the amount of research conducted on an extramural basis
from 13 percent of the current R&D budget to 20 percent
over the next four years.

70.00

72.40
73.10
73.20
74.00

70
340
¥341

84
378
¥325

137
334
¥340

15 ................... ...................

74.40

Obligated balance, end of year ................................

137

131

86.90
86.93

Outlays (gross), detail:
Outlays from new discretionary authority .....................
Outlays from discretionary balances .............................

256
85

246
79

234
106

87.00

Total outlays (gross) .................................................

341

325

340

¥46
¥3

88.90

¥49

88.95

89.00
90.00

Object Classification (in millions of dollars)
Identification code 12–1104–0–1–302

11.1
11.3
11.5

15 ................... ...................

301
292

303
276

285
291

Forest Service Research & Development (FS R&D) is one
of the world’s leading forestry research organizations. It conducts ecological and social science research to understand ecosystems, how humans influence those ecosystems, and how
forests can be managed sustainably to enable both environmental conservation and economic expansion. Research is conducted at six Research Stations, the Forest Products Labora-

2006 actual

2007 est.

2008 est.

137
8
6

139
8
6

131
7
6

151
42
2
13
2
4
3

153
42
2
14
2
4
3

144
40
2
13
2
4
3

7
1
19

7
1
25

6
1
18

25.4
25.5
25.7
26.0
31.0
41.0

Total personnel compensation ..............................
Civilian personnel benefits .......................................
Benefits for former personnel ...................................
Travel and transportation of persons .......................
Transportation of things ...........................................
Rental payments to GSA ...........................................
Rental payments to others ........................................
Communications, utilities, and miscellaneous
charges .................................................................
Printing and reproduction .........................................
Other services ............................................................
Other purchases of goods and services from Government accounts .................................................
Operation and maintenance of facilities ..................
Research and development contracts .......................
Operation and maintenance of equipment ...............
Supplies and materials .............................................
Equipment .................................................................
Grants, subsidies, and contributions ........................

99.0
99.0

Direct obligations ..................................................
Reimbursable obligations ..............................................

307
33

329
49

285
49

99.9

Total new obligations ................................................

340

378

334

11.9
12.1
13.0
21.0
22.0
23.1
23.2
23.3
24.0
25.2
25.3

169

7
8
6
1 ................... ...................
26
33
22
1
1
1
9
11
7
6
7
5
13
16
11

Employment Summary
Identification code 12–1104–0–1–302

Direct:
Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................
1001

2006 actual

2007 est.

2008 est.

2,145

2,122

1,949

141

160

170

FOREST SERVICE—Continued
Federal Funds—Continued

STATE

AND

THE BUDGET FOR FISCAL YEAR 2008
PRIVATE FORESTRY

For necessary expenses of cooperating with and providing technical
and financial assistance to States, territories, possessions, and others,
and for forest health management, including treatments of pests,
pathogens, and invasive or noxious plants and for restoring and rehabilitating forests damaged by pests or invasive plants, cooperative
forestry, and education and land conservation activities and conducting an international program as authorized, $202,458,000, to remain available until expended, as authorized by law, of which
$29,311,000 is to be derived from the Land and Water Conservation
Fund.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
Identification code 12–1105–0–1–302

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 State and private forestry .............................................
00.02 Forest Legacy .................................................................
09.01 Reimbursable program ..................................................

341
57
16

334
11
26

240
29
26

10.00

Total new obligations ................................................

414

371

295

21.40
22.00
22.10

55
416

58
335

22
295

1 ................... ...................

23.90
23.95

Total budgetary resources available for obligation
Total new obligations ....................................................

472
¥414

393
¥371

317
¥295

24.40

Unobligated balance carried forward, end of year

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
40.20
Appropriation (LWCF) .................................................
40.35
Appropriation permanently reduced ..........................
41.00
Transferred to other accounts ...................................
42.00
Transferred from other accounts ..............................

256
219
173
57
9
29
¥4 ................... ...................
¥1 ................... ...................
78
81
67

43.00

386

309

269

58.00
58.10
58.90

62.00

Spending authority from offsetting collections
(total discretionary) ..........................................
Mandatory:
Transferred from other accounts ..............................

70.00

Total new budget authority (gross) ..........................

72.40
73.10
73.20
73.45
74.00

¥1 ................... ...................
25

5 ................... ...................
416

335

295

587
555
482
414
371
295
¥446
¥444
¥397
¥1 ................... ...................

89.00
90.00

Obligated balance, end of year ................................

555

482

309
418

269
371

State and private forestry programs provide assistance to
manage, use, and protect forest resources on State and private lands, in both rural and urban areas, to meet domestic
and international demands for goods and services. Assistance
is provided to a wide range of customers including all 50
States, Puerto Rico, U.S. Virgin Islands, Guam, the Northern
Mariana Islands, and the Trust Territory of the Pacific.
Forest Health Management.—Includes funding for Federal
and cooperative lands to maintain healthy, productive ecosystems by preventing, detecting and suppressing damaging
native and invasive forest and tree insects and diseases across
all land ownerships and invasive plants on cooperative lands.
Through the use of a newly updated science-based forest
health risk map, the Budget reflects Forest Service allocations
of program funding that address national priorities and reduce risk in the most effective and efficient manner.
Cooperative Fire Protection.—Includes funding to enhance
the capacity of States to provide coordinated fire suppression
response, reduce hazardous fuels in and adjacent to communities, and to promote safe and effective initial fire attack
in wildland/urban interface areas by volunteer fire departments. The Forest Service will change the method of funding
allocation to include community-based hazard mitigation practices that are included in community wildfire protection plans
or equivalent as a condition of eligibility for grants.
Cooperative Forestry.—Includes the forest stewardship, forest legacy, and urban and community forestry programs. The
budget for this suite of complementary programs helps maintain the integrity of our nation’s valuable forested landscapes
and supports the Federal interest in obtaining social, economic, and environmental benefits from these landscapes. The
forest legacy program is a Federal program that partners
with States to protect environmentally sensitive forest lands.
The forest stewardship program provides professional forestry
assistance to non-industrial private forest (NIPF) landowners
to encourage sound environmental management of NIPF
lands. The urban and community forestry program provides
technical, financial, and educational assistance to cities, suburbs and towns nationwide so they can improve the condition
and extent of their trees and forests to achieve the full range
of benefits and services from these resources. The Forest Service will explore methods that promote cooperative conservation through peer-to-peer, citizen-centric forestry assistance.
International Programs.—The programs will emphasize
habitat protection for migratory birds along the length of
flyways, preventing the introduction of new invasive species,
and sustainable forestry techniques development for other
timber exporting nations. The Forest Service will develop performance measures for this program.

86.90
86.93
86.98

143
294
9

252
182
10

222
170
5

87.00

Total outlays (gross) .................................................

446

444

397

Object Classification (in millions of dollars)

380

Identification code 12–1105–0–1–302

¥20
¥6

88.90

¥26

88.95

391
420

1 ................... ...................

74.40

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

1 ................... ...................

11.1
11.3
11.5
11.9
12.1
13.0
21.0
22.0
23.1
23.2
23.3
24.0
25.2

2006 actual

2007 est.

2008 est.

48
3
2

52
3
2

51
3
2

53
14
1
6
1
1
2

57
56
15
15
1 ...................
7
7
1
1
1
1
2
2

2
1
18

2
1
15

2
1
10

FOREST SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
25.3
25.5
26.0
31.0
41.0

Other purchases of goods and services from Government accounts .................................................
Research and development contracts .......................
Supplies and materials .............................................
Equipment .................................................................
Grants, subsidies, and contributions ........................

3
1
2
2
291

2
2
1 ...................
1
1
2
1
237
170

99.0
99.0

Direct obligations ..................................................
Reimbursable obligations ..............................................

398
16

345
26

269
26

99.9

Total new obligations ................................................

414

371

171

295

Object Classification (in millions of dollars)
Identification code 12–1119–0–1–302

11.1
12.1
25.2
25.3
99.9

2007 est.

2008 est.

1
1
2

1
1
3

1
1
2

Total new obligations ................................................

Employment Summary
Identification code 12–1105–0–1–302

2006 actual

Direct obligations:
Personnel compensation: Full-time permanent .............
Civilian personnel benefits ............................................
Other services ................................................................
Other purchases of goods and services from Government accounts ...........................................................

Employment Summary
2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................

2007 est.

2008 est.

Identification code 12–1119–0–1–302

701

734

695

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................

2007 est.

2008 est.

WILDLAND FIRE MANAGEMENT
(INCLUDING TRANSFERS OF FUNDS)

MANAGEMENT

NATIONAL FOREST LANDS

FOR

SUBSISTENCE USES

For necessary expenses of the Forest Service to manage Federal
lands in Alaska for subsistence uses under title VIII of the Alaska
National Interest Lands Conservation Act (Public Law 96–487),
$5,053,000, to remain available until expended.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)
Identification code 12–1119–0–1–302

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Management of national forest lands for subsistence
uses ...........................................................................

10.00

Total new obligations ................................................

21.40
22.00

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
New budget authority (gross) ........................................

1
5

1 ...................
5
5

23.90
23.95

Total budgetary resources available for obligation
Total new obligations ....................................................

6
¥5

24.40

Unobligated balance carried forward, end of year

6
¥6

5
¥5

1 ................... ...................

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................

72.40
73.10
73.20

2
5
¥5

2
6
¥7

1
5
¥5

74.40

Obligated balance, end of year ................................

Outlays (gross), detail:
86.90 Outlays from new discretionary authority .....................
86.93 Outlays from discretionary balances .............................

3
2

5
5
2 ...................

87.00

Total outlays (gross) .................................................

For necessary expenses for forest fire presuppression activities on
National Forest System lands, for emergency fire suppression on or
adjacent to such lands or other lands under fire protection agreement,
hazardous fuels reduction on or adjacent to such lands, and for emergency rehabilitation of burned-over National Forest System lands and
water, $1,648,917,000, to remain available until expended: Provided,
That such funds including unobligated balances under this heading,
are available for repayment of advances from other appropriations
accounts previously transferred for such purposes: Provided further,
That such funds shall be available to reimburse State and other
cooperating entities for services provided in response to wildfire and
other emergencies or disasters to the extent such reimbursements by
the Forest Service for non-fire emergencies are fully repaid by the
responsible emergency management agency: Provided further, That
funds provided shall be available for emergency rehabilitation and
restoration, hazardous fuels reduction activities in the urban-wildland
interface, support to Federal emergency response, and wildfire suppression activities of the Forest Service: Provided further, That amounts
in this paragraph may be transferred to the ‘‘State and Private Forestry’’, ‘‘National Forest System’’, and ‘‘Forest and Rangeland Research’’ accounts to fund State fire assistance, volunteer fire assistance,
forest health management, forest and rangeland research, vegetation
and watershed management, heritage site rehabilitation, and wildlife
and fish habitat management and restoration: Provided further, That
the costs of implementing any cooperative agreement between the Federal Government and any non-Federal entity may be shared, as mutually agreed on by the affected parties: Provided further, That the
Secretary of the Interior and the Secretary of Agriculture may authorize the transfer of funds appropriated for wildland fire management,
in an aggregate amount not to exceed $9,000,000, between the Departments when such transfers would facilitate and expedite jointly funded
wildland fire management programs and projects: Provided further,
That the Secretary of Agriculture may use the amounts appropriated
under this heading for other activities authorized under this heading
on lands administered by the Forest Service or on adjacent nonFederal land for activities that benefit resources on lands administered
by the Forest Service.
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Program and Financing (in millions of dollars)

Identification code 12–1115–0–1–302

5
5

5
7

5
5

Funding under this program primarily supports fisheries
and wildlife habitat management activities in the areas of
population assessment, forecasting, harvest regulations, and
law enforcement to ensure that the subsistence needs of qualified rural Alaskans are met under the Alaska National Interest Lands Conservation Act (Public Law 96–487).

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Wildland fire management ............................................
09.01 Reimbursable program ..................................................

2,435
322

1,794
175

1,559
175

10.00

Total new obligations ................................................

2,757

1,969

1,734

21.40
22.00
22.10

769
2,132

211
1,877

119
1,735

67 ................... ...................

172

FOREST SERVICE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008

WILDLAND FIRE MANAGEMENT—Continued
(INCLUDING TRANSFERS OF FUNDS)—Continued

Program and Financing (in millions of dollars)—Continued
Identification code 12–1115–0–1–302

2006 actual

2007 est.

2008 est.

23.90
23.95

Total budgetary resources available for obligation
Total new obligations ....................................................

2,968
¥2,757

2,088
¥1,969

1,854
¥1,734

24.40

Unobligated balance carried forward, end of year

211

119

120

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
40.35
Appropriation permanently reduced ..........................
41.00
Transferred to other accounts ...................................
42.00
Transferred from other accounts ..............................
43.00
58.00
58.10
58.90

1,879
1,811
1,649
¥26 ................... ...................
¥115
¥109
¥89
41 ................... ...................
1,779

1,702

1,560

407

175

¥54 ................... ...................

Spending authority from offsetting collections
(total discretionary) ..........................................

353

175

70.00

Total new budget authority (gross) ..........................

2,132

1,877

1,735

72.40
73.10
73.20
73.45
74.00

303
757
667
2,757
1,969
1,734
¥2,290
¥2,059
¥1,750
¥67 ................... ...................
54 ................... ...................

74.40

Obligated balance, end of year ................................

757

667

651

86.90
86.93

Outlays (gross), detail:
Outlays from new discretionary authority .....................
Outlays from discretionary balances .............................

1,834
456

1,690
369

1,562
188

87.00

Total outlays (gross) .................................................

2,290

2,059

1,750

¥368
¥39

¥136
¥39

88.90

¥407

¥175

88.95

89.00
90.00

54 ................... ...................

1,779
1,883

1,702
1,884

1,560
1,575

Wildland Fire Management.—This appropriation provides
funding for Forest Service fire management, presuppression,
and suppression on National Forest System lands, adjacent
State and private lands, and other lands under fire protection
agreement.
Preparedness.—To protect National Forest System (NFS)
lands from damage by wildfires commensurate with the threat
to life, values at risk, public values, and management objectives.
Preparedness provides the basic fire organization and capability to prevent forest fires and to take prompt, effective
initial attack suppression operations action on wildfires. This
funding covers expenses associated with planning, prevention,
detection, information, and education; pre-incident training;
equipment and supply purchase and replacement; and other
preparedness activities, including the base salary and travel
of the regular Forest Service firefighting organization.
Through this program the Forest Service also assists other
Federal agencies and States with training programs, planning

assistance, sharing joint equipment use contracts, and interagency fire coordination centers.
Readiness levels reflect improvements in efficiencies, including those gained through a centralized aviation services office
similar to that of the Department of the Interior (DOI). The
Budget improves the transparency, accountability, and alignment of Forest Service budget execution with priorities and
includes establishment of a separate account for wildland firefighters. It also reflects deployment of a system that allocates
fire preparedness resources (e.g., firefighters and equipment)
effectively across geographic areas.
Fire Operations.—Risk-informed suppression of wildland
fires on or threatening NFS lands, Department of the Interior
lands, or other lands under fire protection agreement. The
Budget provides full funding of the ten-year average of suppression costs, adjusted for inflation and indirect charges.
To improve the management of wildland fire resources, the
Forest Service will:
—Utilize a Comptroller and support group to provide executive level oversight monitoring of Suppression expenditures.
—Implement key findings from 2006 and prior year large
fire cost reviews and the 2007 management efficiency analysis.
—Continue implementation of Program Assessment Rating
Tool (PART) performance measures including monitoring and
analyzing large fire suppression expenditures with the stratified cost index and reducing the number of human caused
ignitions.
—Utilize a risk-informed management response strategy for
unplanned ignitions to manage risk, maximize resource utilization, manage loss and contain costs.
—Examine the feasibility of and implement as appropriate,
a process to account for wildfires that contribute to attainment of desired ecological and natural resource conditions.
—Expand the use of the Wildland Fire Decision Support
System (WFDSS) to support managers in analyzing risk relative to strategic suppression decisions which affect suppression costs, firefighter and public safety, and impacts to property and resources.
—Expand use of the suppression allocation model for initial
response based on the analysis of a ‘‘mock up’’ allocation
model and process under development in 2007.
—Place priority on those projects associated with a community wildfire protection plan, or equivalent.
These actions highlight important refinements within the
Forest Services wildland fire management program that
strengthen oversight of suppression spending and use risk
management principles to guide decision-making at the strategic, program, and operational levels. By identifying and analyzing risk in a systematic fashion, the Forest Service is better equipped to assess wildfire intensity and associated
threats posed to lives, improved property, or the environment.
This risk-informed fire protection system allows agency administrators the ability to choose from a full spectrum of
wildfire management actions and appropriately scale their
responses to the risks posed. For example, many backcountry
wildfires pose less risk than those that occur near communities and do not always require full-scale suppression efforts.
These reforms, in concert with the establishment of wildland
firefighter account, improve agency performance while minimizing costs.
Object Classification (in millions of dollars)
Identification code 12–1115–0–1–302

11.1
11.3
11.5
11.8

2006 actual

372
60
266
47

2007 est.

357
58
256
45

2008 est.

279
45
200
35

FOREST SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
11.9
12.1
13.0
21.0
22.0
23.1
23.2
23.3

25.4
25.5
25.7
26.0
31.0
41.0
42.0
43.0

Total personnel compensation ..............................
Civilian personnel benefits .......................................
Benefits for former personnel ...................................
Travel and transportation of persons .......................
Transportation of things ...........................................
Rental payments to GSA ...........................................
Rental payments to others ........................................
Communications, utilities, and miscellaneous
charges .................................................................
Printing and reproduction .........................................
Advisory and assistance services .............................
Other services ............................................................
Other purchases of goods and services from Government accounts .................................................
Operation and maintenance of facilities ..................
Research and development contracts .......................
Operation and maintenance of equipment ...............
Supplies and materials .............................................
Equipment .................................................................
Grants, subsidies, and contributions ........................
Insurance claims and indemnities ...........................
Interest and dividends ..............................................

99.0
99.0

Direct obligations ..................................................
Reimbursable obligations ..............................................

2,435
322

1,794
175

1,559
175

99.9

Total new obligations ................................................

2,757

1,969

1,734

24.0
25.1
25.2
25.3

745
197
24
72
8
12
36

716
189
23
69
7
12
35

559
148
18
63
7
12
35

32
1
4
779

30
1
4
420

30
1
4
399

130
1
3
9
67
33
280
1
1

70
69
1 ...................
1
1
9
9
36
36
18
18
151
148
1
1
1
1

Employment Summary
Identification code 12–1115–0–1–302

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................

2007 est.

2008 est.

13,373

12,542
33

Identification code 12–1113–0–1–302

2006 actual

2007 est.

2008 est.

11.1
11.3
11.5
11.8

Direct obligations:
Personnel compensation:
Full-time permanent ..................................................
Other than full-time permanent ...............................
Other personnel compensation ..................................
Special personal services payments .........................

...................
...................
...................
...................

77
12
55
10

11.9
12.1
13.0
21.0
25.2

...................
...................
...................
...................
...................

154
41
5
5
15

Total new obligations ................................................ ................... ...................

220

99.9

Employment Summary
Identification code 12–1113–0–1–302

FIREFIGHTERS

2006 actual

2007 est.

2008 est.

Program and Financing (in millions of dollars)
2006 actual

3,200

For necessary expenses for wildland firefighters on National Forest
System lands, for emergency fire suppression on or adjacent to such
lands or other lands under fire protection agreement, $219,710,000,
to remain available until expended.

Identification code 12–1113–0–1–302

Object Classification (in millions of dollars)

Direct:
1001 Civilian full-time equivalent employment ..................... ................... ...................

WILDLAND

fessional wildland firefighters. It reflects an important refinement in the Forest Services management of wildland fire
that improves implementation of the Presidents Healthy Forests Initiative (HFI) and reduces the risk of catastrophic wildfire to communities and the environment. By establishing
a single account for professional wildland firefighters, the
Budget enhances performance, improves accountability, and
provides the Forest Service greater efficiency and flexibility
in managing wildland fires and in supporting all-hazard responses through the National Incident Management System.

8,950

129

173

2007 est.

2008 est.

Obligations by program activity:
00.01 Wildland firefighters ...................................................... ................... ...................

220

01.00

Direct Program by Activities—Subtotal (running) ................... ...................
Total new obligations ................................................ ................... ...................

220

10.00

RANGE BETTERMENT FUND
For necessary expenses of range rehabilitation, protection, and improvement, 50 percent of all moneys received during the prior fiscal
year, as fees for grazing domestic livestock on lands in National Forests in the 16 Western States, pursuant to section 401(b)(1) of Public
Law 94–579, as amended, to remain available until expended, of
which not to exceed 6 percent shall be available for administrative
expenses associated with on-the-ground range rehabilitation, protection, and improvements.

220

Special and Trust Fund Receipts (in millions of dollars)
Identification code 12–5207–0–2–302

Budgetary resources available for obligation:
22.00 New budget authority (gross) ........................................ ................... ...................
23.95 Total new obligations .................................................... ................... ...................

220
¥220

40.00

New budget authority (gross), detail:
Discretionary:
Appropriation ............................................................. ................... ...................

73.10
73.20

86.90

2006 actual

2007 est.

2008 est.

Balance, start of year ....................................................

Balance, start of year ....................................................
Receipts:
02.20 Receipts, Cooperative range improvements ..................

220

04.00

¥3

¥4

220
¥220

07.99

Outlays (gross), detail:
Outlays from new discretionary authority ..................... ................... ...................

220

01.00
01.99

Total: Balances and collections ....................................
Appropriations:
05.00 Range betterment fund .................................................
Balance, end of year .....................................................

Program and Financing (in millions of dollars)
Identification code 12–5207–0–2–302

2006 actual

2007 est.

2008 est.

Wildland Firefighters.— This appropriation provides funding for base salary, training and travel for up to 10,010 firefighters and 67 Type I crews.
The Budget addresses the complexity associated with
wildland fire and other hazards by providing funding for pro-

10.00

220
220

Obligations by program activity:
00.01 Range betterment fund .................................................
Total new obligations ................................................

21.40
22.00

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
New budget authority (gross) ........................................

1
3

1 ...................
3
4

23.90

Total budgetary resources available for obligation

174

FOREST SERVICE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008
73.10
73.20

Program and Financing (in millions of dollars)—Continued
Identification code 12–5207–0–2–302

2006 actual

23.95

Total new obligations ....................................................

24.40

Unobligated balance carried forward, end of year

5
¥6

¥1

¥2

86.97
86.98

Outlays (gross), detail:
Outlays from new mandatory authority ......................... ...................
Outlays from mandatory balances ................................ ...................

5
1

Total outlays (gross) ................................................. ...................

89.00
90.00

Net budget authority and outlays:
Budget authority ............................................................
4
Outlays ........................................................................... ...................

6
6

74.40

2007 est.

¥3

4
¥6

87.00

RANGE BETTERMENT FUND—Continued

Total new obligations ....................................................
1
Total outlays (gross) ...................................................... ...................
Obligated balance, end of year ................................

2008 est.

¥4

1 ................... ...................

New budget authority (gross), detail:
Discretionary:
40.20
Appropriation (special fund) .....................................

72.40
73.10
73.20

1
3
¥3

1
4
¥3

2
4
¥4

74.40

Obligated balance, end of year ................................

86.90
86.93

Outlays (gross), detail:
Outlays from new discretionary authority .....................
Outlays from discretionary balances .............................

2
1

3
1

87.00

Total outlays (gross) .................................................

Employment Summary
Identification code 12–5540–0–2–302

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................

2007 est.

2008 est.

2 ................... ...................

LAND ACQUISITION
Net budget authority and outlays:
89.00 Budget authority ............................................................
90.00 Outlays ...........................................................................

3
3

4
4

Fifty percent of grazing fees from National Forests in the
16 western States, once appropriated, are used to protect
and improve rangeland productivity primarily through revegetation, construction and reconstruction, and maintenance of
improvements under authority of the Federal Land Policy
and Management Act of 1976 (43 U.S.C. 1751), as amended.
Object Classification (in millions of dollars)
Identification code 12–5207–0–2–302

2006 actual

2007 est.

2008 est.

1
2

1
3

99.9

Employment Summary
Identification code 12–5207–0–2–302

1001

2006 actual

Direct:
Civilian full-time equivalent employment .....................

ACQUISITION OF LANDS FOR NATIONAL FORESTS SPECIAL ACTS

For acquisition of lands within the exterior boundaries of the Cache,
Uinta, and Wasatch National Forests, Utah; the Toiyabe National
Forest, Nevada; and the Angeles, San Bernardino, Sequoia, and Cleveland National Forests, California, as authorized by law, $1,053,000,
to be derived from forest receipts.
ACQUISITION OF LANDS TO COMPLETE LAND EXCHANGES

Direct obligations:
11.1 Personnel compensation: Full-time permanent .............
26.0 Supplies and materials .................................................
Total new obligations ................................................

For expenses necessary to carry out the provisions of the Land and
Water Conservation Fund Act of 1965, as amended (16 U.S.C. 460l–
4 through 11), including administrative expenses, and for acquisition
of land or waters, or interest therein, in accordance with statutory
authority applicable to the Forest Service, $15,703,000, to be derived
from the Land and Water Conservation Fund and to remain available
until expended.

2007 est.

2008 est.

For acquisition of lands, such sums, to be derived from funds deposited by State, county, or municipal governments, public school districts, or other public school authorities, and for authorized expenditures from funds deposited by non-Federal parties pursuant to Land
Sale and Exchange Acts, pursuant to the Act of December 4, 1967,
as amended (16 U.S.C. 484a), to remain available until expended.
(16 U.S.C. 4601–516–617a, 555a; P.L. 96–586; P.L. 76–589, 76–591;
and 78–310.)
Note.—A regular 2007 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. 109–289, Division B, as amended). The amounts included for 2007 in this budget
reflect the levels provided by the continuing resolution.

Special and Trust Fund Receipts (in millions of dollars)

STEWARDSHIP CONTRACTING PRODUCT SALES

Identification code 12–9923–0–2–302

Program and Financing (in millions of dollars)

01.00
Identification code 12–5540–0–2–302

2006 actual

2007 est.

2008 est.

10.00

Budgetary resources available for obligation:
21.40 Unobligated balance carried forward, start of year ...................
22.00 New budget authority (gross) ........................................
4

2008 est.

Balance, start of year ....................................................
11
5
Receipts:
02.20 Deposits, Acquisitions of lands for national forests,
special acts ...............................................................
1
1
02.21 Land acquisition proceeds for exchanges, acquisition
of lands to complete land exchanges ......................
29
1
02.22 Facility realignment and enhancement receipts, Acquisition of lands to complete land exchanges ............
4
48
02.23 Proceeds of land sales, Forest Service—legislative
proposal subject to PAYGO ....................................... ................... ...................

3
6

5
6

200

23.90
23.95

Total budgetary resources available for obligation
Total new obligations ....................................................

4
¥1

9
¥4

11
¥5

02.99

24.40

Unobligated balance carried forward, end of year

04.00

New budget authority (gross), detail:
Mandatory:
60.20
Appropriation (special fund) .....................................

2007 est.

01.99

Obligations by program activity:
00.01 Stewardship contracting ................................................
Total new obligations (object class 25.2) ................

Balance, start of year ....................................................

2006 actual

1
1
50

Change in obligated balances:
72.40 Obligated balance, start of year ................................... ...................

¥1

252

Total: Balances and collections ....................................
Appropriations:
05.00 Land acquisition ............................................................
05.01 Land acquisition ............................................................

258

¥1
¥39

¥1
¥48

¥1
¥50

05.99

Total appropriations ..................................................

¥40

¥49

¥51

07.99

Total receipts and collections ...................................

Balance, end of year .....................................................

207

FOREST SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE
Program and Financing (in millions of dollars)
Identification code 12–9923–0–2–302

Obligations by program activity:
00.01 Land Acquisitions ..........................................................
00.02 Land and Facility Enhancement Program .....................
09.01 Land Acquisition—Reimbursable Program ...................

2006 actual

2007 est.

2008 est.

89
37
17
22
38
49
1 ................... ...................

10.00

Total new obligations ................................................

112

21.40
22.00

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
New budget authority (gross) ........................................

82
78

48
57

30
67

23.90
23.95

Total budgetary resources available for obligation
Total new obligations ....................................................

160
¥112

105
¥75

97
¥66

24.40

Unobligated balance carried forward, end of year

175

Cache, Uinta, and Wasatch, Utah; the Toiyabe, Nevada; and
the Angeles, Cleveland, San Bernardino, and Sequoia, California. Appropriations are made from receipts on these national forests.
Acquisition of Lands to Complete Land Exchanges.—Deposits are made by State, county, or municipal governments,
public school authorities, or non-Federal parties for cash
equalization of certain land exchanges and are used to acquire
similar lands suitable for National Forest System purposes
in the same State as the national forest lands conveyed in
the land exchange or from non-Federal parties for authorized
expenditures.

Object Classification (in millions of dollars)
Identification code 12–9923–0–2–302

New budget authority (gross), detail:
Discretionary:
40.20
Appropriation (LWCF) .................................................
40.20
Appropriation (special act) .......................................
40.35
Appropriation permanently reduced ..........................
41.00 Transferred to other accounts .......................................
43.00
58.00
58.10
58.90

43
8
16
1
1
1
¥1 ................... ...................
¥5 ................... ...................
38

19 ................... ...................
¥18 ................... ...................

60.20

Spending authority from offsetting collections
(total discretionary) ..........................................
Mandatory:
Appropriation (special fund) .....................................

70.00

Total new budget authority (gross) ..........................

72.40
73.10
73.20
74.00

¥7
112
¥94

29
75
¥69

35
66
¥73

74.40

Obligated balance, end of year ................................

32.0
41.0
99.0
99.0

Direct obligations ..................................................
Reimbursable obligations ..............................................

99.9

Total new obligations ................................................

11.1
12.1
21.0
25.2
25.3

1 ................... ...................

2007 est.

2008 est.

7
5
5
2
2
1
1 ................... ...................
10
7
6
6
83
2

4
3
55
51
2 ...................

111
75
66
1 ................... ...................
112

Employment Summary
Identification code 12–9923–0–2–302

1001

2006 actual

Direct:
Civilian full-time equivalent employment .....................

2007 est.

122

2008 est.

18 ................... ...................
29

2006 actual

FOREST SERVICE PERMANENT APPROPRIATIONS

Special and Trust Fund Receipts (in millions of dollars)
Outlays (gross), detail:
86.90 Outlays from new discretionary authority .....................
86.93 Outlays from discretionary balances .............................
86.97 Outlays from new mandatory authority .........................
86.98 Outlays from mandatory balances ................................

29
56
8
1

6
10
32
21

11
3
33
26

87.00

Total outlays (gross) .................................................

89.00
90.00

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

¥19 ................... ...................

18 ................... ...................

77
75

57
69

67
73

This appropriation consolidates land acquisition authorities
for acquisition of lands, waters, or interest therein, as authorized by law.
Land and Water Conservation Fund.—Lands and other interests are acquired within areas of the National Forest System for public access for outdoor recreation, wilderness management, wildlife and fisheries habitat management areas,
conservation of endangered species, and other purposes.
Acquisition of Lands of National Forests, Special Acts.—
To acquire lands within critical watersheds to provide soil
stabilization and restoration of vegetation. Public Laws 76–
589, 76–591 and 78–310 (54 Stat. 297, 298, 299, and 402;
and 58 Stat. 227–228) authorize appropriations for the purchase of lands to minimize erosion and flood damage to critical watersheds within the following National Forests: the

Identification code 12–9921–0–2–999

01.00

2006 actual

2007 est.

2008 est.

Balance, start of year ....................................................

294

221

244

Balance, start of year ....................................................
Receipts:
02.20 National forests fund .....................................................
02.21 National forests fund, Payments to States ...................
02.22 National forests fund, Payments to States—legislative
proposal subject to PAYGO .......................................
02.23 Timber roads, Purchaser elections ................................
02.24 National forests fund, Roads and trails for States
02.25 Timber salvage sales .....................................................
02.26 Deposits, Brush disposal ...............................................
02.27 Rents and charges for quarters, Forest Service ...........
02.28 Timber sales pipeline restoration fund .........................
02.29 Recreational fee demonstration program, Forest Service ..............................................................................
02.30 Midewin national tallgrass prairie rental fees .............
02.31 Charges, user fees, and natural resource utilization,
Land between the lakes, Forest Service ...................
02.32 Administration of rights-of-way and other land uses
02.33 Miscellaneous collections, Valles Caldera fund ............
02.34 Proceeds from sales, Forest county safety net payments—legislative proposal subject to PAYGO .......
02.35 Funds retained, stewardship contracting product sales
02.36 National grasslands .......................................................
02.37 Miscellaneous special funds, Forest Service .................
02.38 National forest fund ......................................................

294

221

244

01.99

02.99

¥19 ................... ...................
273
113
116
................... ...................
7
4
15
15
67
66
12
11
8
8
4
7

67
4
15
67
11
8
7

53
...................

55
1

4
1
...................

4
4
1

4
5
1

................... ...................
4
6
¥41
14
3
8
...................
19

200
6
14
3
20

Total receipts and collections ...................................

391

336

604

Total: Balances and collections ....................................
Appropriations:
05.00 Stewardship contracting product sales .........................
05.01 Forest Service permanent appropriations ......................

685

557

848

¥4
¥460

¥6
¥307

05.99

¥464

¥313

04.00

Total appropriations ..................................................

176

FOREST SERVICE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008

FOREST SERVICE PERMANENT APPROPRIATIONS—Continued
Special and Trust Fund Receipts (in millions of dollars)—Continued
Identification code 12–9921–0–2–999

07.99

Balance, end of year .....................................................

2006 actual

221

2007 est.

2008 est.

244

535

Program and Financing (in millions of dollars)
Identification code 12–9921–0–2–999

2006 actual

2007 est.

2008 est.

Obligations by program activity:
Brush disposal ...............................................................
14
Restoration of forest lands and improvements ............
1
Recreation fee demonstration / enhancement programs ........................................................................
50
00.04 Timber roads—purchaser election program .................
2
00.05 Timber salvage sale program ........................................
76
00.06 Timber pipeline restoration fund (includes forest botanical products) .......................................................
7
00.07 Roads and trails (10 % Fund) ......................................
15
00.08 Midewin Tallgrass Prairie funds .................................... ...................
00.09 Operation and maintenance of quarters .......................
7
00.10 Land between the lakes management fund .................
3
00.11 Valles Caldera fund ....................................................... ...................
00.12 Administration of rights-of-way and other land uses
1
00.13 Payment to states—national forest fund .....................
117
00.14 Payment to states—transfers from Treasury ...............
296
00.15 Payments to Minnesota .................................................
2
00.16 Payments to counties—national grasslands ................
14
09.01 Admin rights of way—Reimbursable program ............. ...................

6
6
15
15
1
1
9
8
4
4
1
1
2
2
179
111
237 ...................
2
2
14
14
2
2

10.00

Total new obligations ................................................

605

635

315

21.40
22.00

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
New budget authority (gross) ........................................

566
746

707
546

618
309

23.90
23.95

Total budgetary resources available for obligation
Total new obligations ....................................................

1,312
¥605

1,253
¥635

927
¥315

24.40

Unobligated balance carried forward, end of year

707

618

612

00.01
00.02
00.03

New budget authority (gross), detail:
Discretionary:
41.00 Transferred to other accounts .......................................
Mandatory:
60.00
Appropriation .............................................................
60.20
Appropriation (special fund) .....................................
62.50
69.00

18
9

15
1

57
4
75

55
4
74

¥10 ................... ...................
296
460

237 ...................
307
307

Appropriation (total mandatory) ...........................
756
Spending authority from offsetting collections: Offsetting collections (cash) ..................................... ...................

544

307

70.00

Total new budget authority (gross) ..........................

746

546

309

72.40
73.10
73.20

49
605
¥595

59
635
¥568

126
315
¥310

74.40

Obligated balance, end of year ................................

126

131

86.97
86.98

Outlays (gross), detail:
Outlays from new mandatory authority .........................
Outlays from mandatory balances ................................

550
45

510
58

274
36

87.00

Total outlays (gross) .................................................

595

568

310

¥2

544
566

307
308

89.00
90.00

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

746
595

Operation and Maintenance of Quarters.—Quarters rental
deductions are collected from employees occupying Forest
Service facilities. Amounts are deposited into a special fund
and are available for the maintenance and operation of employee-occupied quarters. (5 U.S.C. 5911)

Resource Management, Timber Receipts.—Funds in this special account are available for trail maintenance, reconstruction, and construction; wildlife and fisheries habitat management; soil, water, and air management; cultural/heritage resource management; wilderness management; reforestation;
and timber sale administration and management.
Recreation Fee Program.—Pursuant to Sec. 8 of Division
J—Consolidated Appropriations Act, 2005, Title VII—Federal
Lands Recreation Enhancement Act, 2005, Public Law 108–
447 of December 8, 2004, the Secretary may establish, modify,
charge, and collect recreation fees at Federal recreational
lands and waters, including specific recreation sites or areas,
for expanded recreation amenities, and special recreation permits. Amounts collected shall be used for repair, maintenance,
interpretation, visitor information, limited habitat restoration,
and direct operating or capital costs and other identified appropriate expenses.
Midewin National Tallgrass Prairie Rental Fees.—Monies
received under a special use authorization (issued under subsection (b) of Public Law 104–106, Title XXIX, Subtitle A,
Section 2915, after distribution to the State of Illinois and
affected counties pursuant to the Act of May 23, 1908) are
available to cover the cost to the United States of prairie
improvement work at the Midewin National Tallgrass Prairie.
Midewin National Tallgrass Prairie Restoration Fund.—
Monies received from user fees and the salvage value proceeds
from sale of any facilities and improvements pursuant to Section 2915(d) and (e) of Public Law 104–106, as amended by
Public Law 105–83, are available to cover the costs of restoration and administrative activities.
Payment to Minnesota.—At the close of each fiscal year,
the State of Minnesota is paid 0.75 percent of the appraised
value of certain Superior National Forest lands in the counties of Cook Lake and St. Louis for distribution to these
counties (16 U.S.C. 577g).
Payments to Counties, National Grasslands.—This program
provides an annual payment to counties in which Title III—
Bankhead-Jones Acquired Lands are located for funding public schools and roads. Of the net revenues for use of Title
III—Bankhead-Jones Farm Tenant Act lands, 25 percent is
paid to the counties in which such lands are located for public
school and road purposes (7 U.S.C. 1012).
Payments to States.—The Secure Rural Schools and Community Self-Determination Act of 2000 (P.L. 106–393 dated
October 30, 2000) provides stabilized education and road
maintenance funding through predictable payments to counties, job creation in those counties and other opportunities
associated with the restoration, maintenance and stewardship
of Federal lands. Under P.L. 106–393, counties may elect
one of two methods to calculate Payments to States funding
they receive. Counties can either choose to continue receiving
funds established by the 25 percent fund or they can receive
their share of the State’s ‘‘full payment amount.’’ Full payment amount is the average of the highest three years of
payments to the State under the 25 percent fund through
the years 1986–1999. A county’s share of that amount is
generally determined by the State in cooperation with the
affected counties.
Since 1908, 25 percent of Forest Service revenues, such
as those from timber sales, mineral resources and grazing
fees, have been returned to states in which national forest
lands are located. The Budget ensures Knutsen-Vandenberg
(KV) or Salvage Sales Fund (SSF) collections reflect plans
that are funded with due regard for these shared receipts.
Reestablishment of this policy will increase receipts into the
National Forest Fund and in turn reduce the outlays required
from the Treasury.
Expenses, Brush Disposal.—Funds from payments by purchasers of National Forest timber to dispose of or treat slash

FOREST SERVICE—Continued
Federal Funds—Continued

DEPARTMENT OF AGRICULTURE

and other debris that result from cutting operations (16
U.S.C. 490).
Licensee programs, Forest Service.—Funds from fees for the
use of characters by private enterprises are collected under
regulations promulgated by the Secretary as follows:
Smokey Bear.—For furthering the nationwide forest fire
prevention campaign (16 U.S.C. 580(2)).
Woodsy Owl.—For promoting wise use of the environment
and programs which foster maintenance and improvement
of environmental quality (16 U.S.C. 580(1)).
Restoration of forestlands and improvements.—Funds from
claim settlements involving damage to lands or improvements
and from forfeiture of deposits and bonds by permittees and
timber purchasers are used for the restoration made necessary by the action which led to the settlement of forfeiture
(16 U.S.C. 579c).
Timber Purchaser Roads Constructed by Forest Service.—
Funds from timber receipts for Government constructed permanent roads for purchasers of timber who qualify as small
businesses and elect to have the Forest Service construct the
roads designated under the timber sale contract where costs
exceed $20,000 (16 U.S.C. 472a(i)).
Tongass Timber Supply Fund.—Funds from sales of Alaska
timber to maintain the timber supply from the Tongass National Forest at a specified level (16 U.S.C. 539d).
Timber Salvage Sales.—Funds are used for salvage of insect-infested, dead, damaged, or down timber, and to remove
associated trees for stand improvement (16 U.S.C. 472a(h)).
Timber Sales Pipeline Restoration Fund.—As authorized
under Section 327 of the Omnibus Consolidated Recissions
and Appropriations Act of 1996, funds from revenues received
from timber sales released under Section 2001(k) of the 1995
Supplemental Appropriations for Disaster Assistance and
Recissions Act for the purpose of restoring the timber pipeline
and funding the backlog of recreation projects on National
Forest System lands.
Valles Caldera Fund.—Funds authorized under the Valles
Caldera Preservation Act (Public Law 106–248) are available
without further appropriation for any purpose consistent with
the purposes of the Act. Notwithstanding sections 1341 and
3302 of title 31 of the United States Code, all monies received
from donations under subsection (g) or from the management
of the Preserve shall be retained and shall be available, without further appropriation, for the administration, preservation, restoration, operation and maintenance, improvement,
repair, and related expenses incurred with respect to properties under its management jurisdiction.
Forest Botanical Products.—This pilot program established
by Section 339 of the Consolidated Appropriations Act of FY
2000 (P.L. 106–113) provides for the recovery of fair market
value for the sale of forest botanical products; the collection
of fees to cover the costs of analyzing, granting, modifying,
and monitoring the harvest of these products; the determination of sustainable harvest levels; and the establishment of
personal use levels for which fees would not be collected.
Administration of Rights-of-Way and Other Land Uses.—
Fees collected from applicants and holders of special use authorizations are available to recover costs for processing applications and monitoring compliance with special use authorizations (31 U.S.C. 9701; 43 U.S.C. 1764(g); 30 U.S.C. 815(1)).
Object Classification (in millions of dollars)
Identification code 12–9921–0–2–999

13.0
21.0
22.0
23.1
23.2
23.3
24.0
25.2
25.3
25.7
26.0
31.0
32.0
41.0
99.0
99.0
99.9

Benefits for former personnel ...................................
Travel and transportation of persons .......................
Transportation of things ...........................................
Rental payments to GSA ...........................................
Rental payments to others ........................................
Communications, utilities, and miscellaneous
charges .................................................................
Printing and reproduction .........................................
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 ........................

177

1
4
1
1
2

1
3
1
1
2

5
1
52

5
1
53

5
1
19

9
1
11
3
2
411

9
1
12
3
2
435

4
1
5
1
2
170

Direct obligations ..................................................
605
Reimbursable obligations .............................................. ...................

633
2

313
2

635

315

Total new obligations ................................................

605

Employment Summary
Identification code 12–9921–0–2–999

2006 actual

2007 est.

Direct:
1001 Civilian full-time equivalent employment .....................
1,489
Reimbursable:
2001 Civilian full-time equivalent employment ..................... ...................

2008 est.

1,474

1,357

FOREST SERVICE PERMANENT APPROPRIATIONS
(Legislative proposal, subject to PAYGO)

The Budget includes a legislative proposal that would authorize the Secretary of Agriculture to dispose of certain
lands, up to $800 million, identified in National Forest plans
as suitable for exchange since they are isolated or inefficient
to manage. This proposal provides $400 million above the
current baseline for a four-year extension of USDA and Department of the Interior forest county safety net payments,
which will be targeted to the most affected areas, capped,
adjusted downward each year, and eventually phased out.
For administrative convenience, USDA will make the payments on behalf of both agencies. In addition, this proposal
provides $400 million for acquisition of land for the NFS
system, conservation education, access to public lands, habitat
improvement, and to cover administrative costs of disposal.
For the 2007 payment (to be made in 2008), the Administration will continue to work with Congress to identify mutually
agreeable offsets.
f

WORKING CAPITAL FUND
Program and Financing (in millions of dollars)
Identification code 12–4605–0–4–302

2006 actual

2007 est.

2008 est.

09.01

Obligations by program activity:
Working capital fund .....................................................

200

196

10.00

Total new obligations ................................................

200

196

21.40
22.00
22.10

103
190

94
196

90
194

1 ................... ...................

2007 est.

Total budgetary resources available for obligation
Total new obligations ....................................................

294
¥200

290
¥200

284
¥196

24.40

2006 actual

23.90
23.95

Unobligated balance carried forward, end of year

2008 est.

11.1
11.3
11.5

60
13
7

60
13
8

58
12
7

11.9
12.1

Total personnel compensation ..............................
Civilian personnel benefits .......................................

80
21

81
22

77
20

New budget authority (gross), detail:
Discretionary:
41.00
Transferred to other accounts ...................................
Mandatory:
Spending authority from offsetting collections:
69.00
Offsetting collections (cash) ................................

¥10 ................... ...................

201

196

194

178

FOREST SERVICE—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2008

WORKING CAPITAL FUND—Continued
Program and Financing (in millions of dollars)—Continued
Identification code 12–4605–0–4–302

69.10

2006 actual

2007 est.

2008 est.

Change in uncollected customer payments from
Federal sources (unexpired) .............................

¥1 ................... ...................

69.90

Spending authority from offsetting collections
(total mandatory) .............................................

200

196

194

70.00

Total new budget authority (gross) ..........................

190

196

194

72.40
73.10
73.20
73.45
74.00

25
29
33
200
200
196
¥196
¥196
¥195
¥1 ................... ...................
1 ................... ...................

74.40

Obligated balance, end of year ................................

86.97
86.98

Outlays (gross), detail:
Outlays from new mandatory authority .........................
Outlays from mandatory balances ................................

163
33

176
20

175
20

87.00

Total outlays (gross) .................................................

196

195

are sold to National Forests, Experiment Stations, and others
at cost.
Sign shops that manufacture and supply special signs for
the National Forests for use in regulating traffic and as information to the public and other users of the National Forests.
Signs are sold to National Forests and Experiment Stations
at cost.
Nurseries.—Seed supply services that provide tree seed for
direct seeding or sowing in nurseries for the production of
trees. Includes purchase or collection of cones, extraction of
seeds, cleaning and testing, and storage and delivery. Operates in conjunction with tree nurseries; that is, forest tree
nurseries and cold storage facilities for storage of tree seedlings. Tree seedlings are sold to national forests, State foresters, and other cooperators at cost.
The Budget includes Forest Service implementation, in conjunction with the General Services Administration, of a vehicle allocation methodology that analyzes fleet vehicle effectiveness, cost-to-serve, life cycle costs, vehicle pooling, procurement practices and reduction of operating costs.

¥188
¥13

¥183
¥13

¥181
¥13

88.90

¥201

¥196

¥194

88.95

89.00
90.00

1 ................... ...................

¥10 ................... ...................
¥5 ...................
1

The Working Capital Fund is a self-sustaining revolving
fund that provides services to national forests, to research
experiment stations, to other Federal agencies when necessary, to State and private agencies as provided by law,
and to persons who cooperate with the Forest Service in fire
control and other authorized programs.
Forestry-related supply and support services include:
Equipment Services.—The fund owns, operates, maintains,
replaces, and repairs common-use, motor-driven, and similar
equipment. This equipment is rented to administrative units,
that is, national forests, research experiment stations, and
other units, and, in some cases, to other agencies, at rates
which recover the cost of operation, repair and maintenance,
management, and depreciation. The rates also include an increment which provides additional cash which, when added
to depreciation earnings and the residual value of equipment,
provides sufficient funds to replace the equipment.
Aircraft Services.—The fund operates, maintains, and repairs Forest Service owned aircraft used in fire surveillance
and suppression and in other Forest Service programs. The
aircraft are rented to national forests, research experiment
stations, and in some cases to other agencies, at rates which
recover the cost of depreciation, operation, maintenance, repair, and improvements in the airworthiness of the aircraft.
Aircraft replacement costs are financed from either appropriated funds or the Forest Service Working Capital Fund,
or a combination of both.
Supply Services.—The fund operates the following common
services, and provides for cost-recovery of Working Capital
Fund Program Management:
Photo reproduction laboratories that store, reproduce, and
supply aerial photographs, aerial maps, and other photographs of National Forest lands. Photographic reproductions

Object Classification (in millions of dollars)
Identification code 12–4605–0–4–302

2006 actual

2007 est.

2008 est.

28
2
3

29
2
3

29
2
2

33
9
1
3
1
1
1
1
23

34
9
1
3
1
1
1
1
23

33
9
1
3
1
1
1
1
22

25.7
26.0
31.0
41.0

Total personnel compensation ..............................
Civilian personnel benefits ............................................
Benefits for former personnel ........................................
Travel and transportation of persons ............................
Transportation of things ................................................
Rental payments to others ............................................
Communications, utilities, and miscellaneous charges
Printing and reproduction ..............................................
Other services ................................................................
Other purchases of goods and services from Government accounts ...........................................................
Operation and maintenance of equipment ...................
Supplies and materials .................................................
Equipment ......................................................................
Grants, subsidies, and contributions ............................

3
20
49
54
1

3
20
49
53
1

3
20
48
52
1

99.9

Total new obligations ................................................

200

196

11.9
12.1
13.0
21.0
22.0
23.2
23.3
24.0
25.2
25.3

Employment Summary
Identification code 12–4605–0–4–302

2006 actual

Reimbursable:
2001 Civilian full-time equivalent employment .....................

2007 est.

529

525

2008 est.

500

Trust Funds
FOREST SERVICE TRUST FUNDS
Special and Trust Fund Receipts (in millions of dollars)
Identification code 12–9974–0–7–302

01.00

2006 actual

2007 est.

2008 est.

Balance, start of year ....................................................

156

Balance, start of year ....................................................
Receipts:
02.20 Forest Service cooperative fund ....................................
02.60 Transfers from general fund of amounts equal to
certain customs duties, Reforestation trust fund

156

02.99

Total receipts and collections ...................................

114

112

113

Total: Balances and collections ....................................
Appropriations:
05.00 Forest Service trust funds .............................................

270

268

269

¥114

¥112

¥113

156

01.99

04.00

07.99

Balance, end of year .....................................................

ADMINISTRATIVE PROVISIONS, FOREST SERVICE
Trust Funds—Continued

DEPARTMENT OF AGRICULTURE
22.0
23.1
23.2
23.3

Program and Financing (in millions of dollars)
Identification code 12–9974–0–7–302

2006 actual

2007 est.

2008 est.

Obligations by program activity:
00.01 Cooperative work trust fund ..........................................
319
00.02 Cooperative work advance payments ............................ ...................
00.03 Reforestation trust fund ................................................
31
00.04 Land Between the Lakes Trust Fund ............................. ...................
09.01 Reimbursable program-coop work other .......................
39

156
6
30
1
38

102
7
30
1
45

10.00

Total new obligations ................................................

389

231

185

21.40
22.00

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
New budget authority (gross) ........................................

611
151

373
153

295
160

23.90
23.95

Total budgetary resources available for obligation
Total new obligations ....................................................

762
¥389

526
¥231

Unobligated balance carried forward, end of year

373

295

270

25.7
26.0
31.0
41.0

Transportation of things ...........................................
Rental payments to GSA ...........................................
Rental payments to others ........................................
Communications, utilities, and miscellaneous
charges .................................................................
Other services ............................................................
Other purchases of goods and services from Government accounts .................................................
Operation and maintenance of equipment ...............
Supplies and materials .............................................
Equipment .................................................................
Grants, subsidies, and contributions ........................

99.0
99.0

Direct obligations ..................................................
Reimbursable obligations ..............................................

350
39

193
38

140
45

99.9

Total new obligations ................................................

389

231

185

455
¥185

24.40

New budget authority (gross), detail:
Mandatory:
60.26
Appropriation (trust fund) .........................................
69.00
Spending authority from offsetting collections: Offsetting collections (cash) .....................................

114

112

113

70.00

151

153

179

25.2
25.3

1
1
1

1 ...................
1
1
1
1

2
211

2
89

1
57

7
1
13
3
4

3
1
5
1
2

2
1
3
1
1

Employment Summary
Identification code 12–9974–0–7–302

2006 actual

Direct:
1001 Civilian full-time equivalent employment .....................
Reimbursable:
2001 Civilian full-time equivalent employment .....................

2007 est.

2008 est.

160

Total new budget authority (gross) ..........................

43
389
¥363

69
231
¥193

107
185
¥158

74.40

Obligated balance, end of year ................................

107

134

86.97
86.98

Outlays (gross), detail:
Outlays from new mandatory authority .........................
Outlays from mandatory balances ................................

116
247

123
70

128
30

87.00

Total outlays (gross) .................................................

363

193

158

Offsets:
Against gross budget authority and outlays:
88.40
Offsetting collections (cash) from: Non-Federal
sources ..................................................................

¥37

¥41

¥47

Net budget authority and outlays:
Budget authority ............................................................
Outlays ...........................................................................

114
326

112
152

113
111

89.00
90.00

Reforestation trust fund.—Amounts from this account are
used for reforestation as authorized by 16 U.S.C. 1606a (d)
and (e).
Cooperative work trust fund.—Funds, including deposits
from purchasers of timber, are received and used for specified
work in forest investigations, protection, and improvement
of the National Forest System, including protection, reforestation, and administration of private lands adjacent to National Forests (7 U.S.C. 2269; 16 U.S.C. 498, 535, 565a, 572,
572a, 576b, 1643; and 31 U.S.C. 1321).
Object Classification (in millions of dollars)
Identification code 12–9974–0–7–302

2006 actual

2007 est.

2008 est.

11.1
11.3
11.5

65
7
7

53
6
6

43
5
5

11.9
12.1
13.0
21.0

79
22
1
4

65
18
1
3

53
15
1
3

1,349

1,084

862

214

236

251

ADMINISTRATIVE PROVISIONS, FOREST
SERVICE
Appropriations to the Forest Service for the current fiscal year shall
be available for: (1) purchase of passenger motor vehicles; acquisition
of passenger motor vehicles from excess sources, and hire of such
vehicles; purchase, lease, operation, maintenance, and acquisition of
aircraft from excess sources to maintain the operable fleet for use
in Forest Service wildland fire programs and other Forest Service
programs; notwithstanding other provisions of law, existing aircraft
being replaced may be sold, with proceeds derived or trade-in value
used to offset the purchase price for the replacement aircraft; (2) services pursuant to 7 U.S.C. 2225, and not to exceed $100,000 for employment under 5 U.S.C. 3109; (3) purchase, erection, and alteration of
buildings and other public improvements (7 U.S.C. 2250); (4) acquisition of land, waters, and interests therein pursuant to 7 U.S.C. 428a;
(5) for expenses pursuant to the Volunteers in the National Forest
Act of 1972 (16 U.S.C. 558a, 558d, and 558a note); (6) the cost of
uniforms as authorized by 5 U.S.C. 5901–5902; and (7) for debt collection contracts in accordance with 31 U.S.C. 3718(c).
Any appropriations or funds available to the Forest Service may
be transferred to the Wildland Fire Management appropriation for
forest firefighting, emergency rehabilitation of burned-over or damaged
lands or waters under its jurisdiction, and fire preparedness due
to severe burning conditions upon notification of the House and Senate
Committees on Appropriations.
Funds appropriated to the Forest Service shall be available for
assistance to or through the Agency for International Development
and the Foreign Agricultural Service in connection with forest and
rangeland research, technical information, and assistance in foreign
countries, and shall be available to support forestry and related natural resource activities outside the United States and its territories
and possessions, including technical assistance, education and training, and cooperation with United States and international organizations.
Funds available to the Forest Service shall be available to conduct
a program of up to $2,500,000 for high priority projects within the
scope of the approved budget which shall be carried out by the Youth
Conservation Corps.
Of the funds available to the Forest Service, $4,000 is available
to the Chief of the Forest Service for official reception and representation expenses.
Pursuant to sections 405(b) and 410(b) of Public Law 101–593,
of the funds available to the Forest Service, up to $2,500,000 may
be advanced in a lump sum to the National Forest Foundation to
aid conservation partnership projects in support of the Forest Service
mission, without regard to when the Foundation incurs expenses, for
administrative expenses or projects on or benefitting National Forest
System lands or related to Forest Service programs: Provided, That
of the Federal funds made available to the Foundation, no more
than $200,000 shall be available for administrative expenses: Provided
further, That the Foundation shall obtain, by the end of the period

180

ADMINISTRATIVE PROVISIONS, FOREST SERVICE—Continued
Trust Funds—Continued

of Federal financial assistance, private contributions to match on at
least one-for-one basis funds made available by the Forest Service:
Provided further, That the Foundation may transfer Federal funds
to a non-Federal recipient for a project at the same rate that the
recipient has obtained the non-Federal matching funds: Provided further, That authorized investments of Federal funds held by the Foundation may be made only in interest-bearing obligations of the United
States or in obligations guaranteed as to both principal and interest
by the United States.
Pursuant to section 2(b)(2) of Public Law 98–244, up to $2,650,000
of the funds available to the Forest Service shall be advanced to
the National Fish and Wildlife Foundation in a lump sum to aid
cost-share conservation projects, without regard to when expenses are
incurred, on or benefitting National Forest System lands or related
to Forest Service programs: Provided, That such funds shall be
matched on at least a one-for-one basis by the Foundation or its
subrecipients: Provided further, That the Foundation may transfer
Federal funds to a Federal or non-Federal recipient for a project
at the same rate that the recipient has obtained the non-Federal
matching funds.
Funds appropriated to the Forest Service shall be available for
interactions with and providing technical assistance to rural communities and natural resource based businesses for sustainable rural
development purposes: Provided, That no more than 2 percent of any
unit’s budget may be used for such purposes: Provided further, That
no more than 5 percent of the funds in any budget line item may
be used for such purposes.
Funds appropriated to the Forest Service shall be available for
payments to counties within the Columbia River Gorge National Scenic Area, pursuant to sections 14(c)(1) and (2), and section 16(a)(2)
of Public Law 99–663.
Notwithstanding any other provision of law, any appropriations
or funds available to the Forest Service not to exceed $500,000 may
be used to reimburse the Office of the General Counsel (OGC), Department of Agriculture, for travel and related expenses incurred as a
result of OGC assistance or participation requested by the Forest Service at meetings, training sessions, management reviews, land purchase
negotiations and similar non-litigation related matters. Future budget
justifications for both the Forest Service and the Department of Agriculture should clearly display the sums previously transferred and
the requested funding transfers.
Any appropriations or funds available to the Forest Service may
be used for necessary expenses in the event of law enforcement emergencies as necessary to protect natural resources and public or employee safety: Provided, That such amounts shall not exceed $500,000.
An eligible individual who is employed in any project funded under
title V of the Older American Act of 1965 (42 U.S.C. 3056 et seq.)
and administered by the Forest Service shall be considered to be
a Federal employee for purposes of chapter 171 of title 28, United
States Code.
Any funds appropriated to the Forest Service may be used to meet
the non-Federal share requirement in section 502(c) of the Older American Act of 1965 (42 U.S.C. 3056(c)(2)).
Funds available to the Forest Service, not to exceed $45,000,000,
shall be transferred to the Capital Improvement and Maintenance
account for the purpose of performing facilities maintenance as authorized by 7 U.S.C. 2250. Such transfers shall occur using a square
foot rate charged on the same basis the agency uses to assess programs
for payment of rent, utilities, and other support services.
f

ALLOCATIONS

AND

ALLOTMENTS RECEIVED FROM OTHER ACCOUNTS

Note.—Obligations incurred under allocations or allotments from other accounts are included in the schedule of the parent appropriations, as follows:
Agriculture:
Agricultural Research Service.
Animal and Plant Health Inspection Service.
Natural Resources Conservation Service.
Watershed and flood prevention operations.
Resource conservation and development.
Conservation Reserve Program.
Department Administration:
Hazardous materials management.
Rural Housing; Rural community fire protection grants.
Transportation: Federal Highway Administration, Highway Trust Fund.
Labor: Employment and Training Administration, Training and employment services.

THE BUDGET FOR FISCAL YEAR 2008

GENERAL FUND RECEIPT ACCOUNTS
(in millions of dollars)
2006 actual

2007 est.

2008 est.

Offsetting receipts from the public:
12–143500 General fund proprietary interest receipts, not
otherwise classified ............................................................
12–270110 Agriculture credit insurance, Negative subsidies ..................................................................................
12–270130 Agriculture credit insurance, Downward reestimates of subsidies .......................................................
12–270210 Rural electrification and telephone loans,
Negative subsidies .............................................................
12–270230 Rural electrification and telephone loans,
Downward reestimates of subsidies ..................................
12–270330 Rural water and waste disposal, Downward
reestimates of subsidies ....................................................
12–270510 Rural community facility, Negative subsidies
12–270530 Rural community facility, Downward reestimates of subsidies .............................................................
12–270630 Rural housing insurance, Downward reestimates of subsidies .............................................................
12–270730 Rural business and industry, Downward reestimates of subsidies .......................................................
12–270830 P.L. 480 loan program, Downward reestimates
of subsidies ........................................................................
12–271030 Rural development loans, Downward reestimates of subsidies .............................................................
12–271130 Rural telephone bank loans, Downward reestimates of subsidies .............................................................
12–271330 Economic development loans, Downward reestimates of subsidies .......................................................
12–271430 Agricultural resource conservation, Downward
reestimates of subsidies ....................................................
12–275610 Negative subsidies, farm storage facility
loans ...................................................................................
12–275630 Farm storage facility loans, Downward reestimate of subsidies ..............................................................
12–275730 Commodity Credit Corporation export guarantee financing, Downward reestimate of subsidies ........
12–322000 All other general fund proprietary receipts
including budget clearing accounts ..................................
General Fund Offsetting receipts from the public .....................

11
2,060

Intragovernmental payments: ......................................................
12–388500 Undistributed intragovernmental payments
and receivables from cancelled accounts .........................

¥82

General Fund Intragovernmental payments ................................

¥82

1 ...................

392

88 ...................

287 ................... ...................
78 ................... ...................
1
1 ...................
24 ................... ...................
188 ................... ...................
14 ................... ...................
415

66 ...................

3 ................... ...................
27 ................... ...................
1 ................... ...................
1 ................... ...................
1 ................... ...................
4 ................... ...................
551

390 ...................
7
596

7
48

TITLE VII—GENERAL PROVISIONS
(INCLUDING CANCELLATIONS AND TRANSFERS OF FUNDS)

SEC. 701. Within the unit limit of cost fixed by law, appropriations
and authorizations made for the Department of Agriculture for the
current fiscal year under this Act shall be available for the purchase,
in addition to those specifically provided for, of not to exceed 182
passenger motor vehicles, of which 142 shall be for replacement only,
and for the hire of such vehicles.
SEC. 702. New obligational authority provided for the following
appropriation items in this Act shall remain available until expended:
Animal and Plant Health Inspection Service, the contingency fund
to meet emergency conditions, information technology infrastructure,
fruit fly program, emerging plant pests, boll weevil program, low
pathogen avian influenza program, high pathogen avian influenza
program, up to $4,505,000 in the pest and disease management program to control grasshoppers and Mormon cricket, up to $33,125,000
in animal health monitoring and surveillance for the animal identification system, up to $1,500,000 in the scrapie program for indemnities, up to $8,141,000 in the emergency management systems program for the vaccine bank, up to $1,000,000 for wildlife services methods development, up to $1,000,000 of the wildlife services operations
program for aviation safety, and up to 25 percent of the screwworm
program; Food Safety and Inspection Service, field automation and
information management project; Cooperative State Research, Education, and Extension Service, funds for the Native American Institutions Endowment Fund; Farm Service Agency, salaries and expenses
funds made available to county committees; Foreign Agricultural Serv-

DEPARTMENT OF AGRICULTURE
ice, middle-income country training program, and up to $2,000,000
of the Foreign Agricultural Service appropriation solely for the purpose
of offsetting fluctuations in international currency exchange rates, subject to documentation by the Foreign Agricultural Service.
SEC. 703. The Secretary of Agriculture may transfer unobligated
balances of discretionary funds appropriated by this Act or other
available unobligated discretionary balances of the Department of Agriculture to the Working Capital Fund for the acquisition of plant
and capital equipment necessary for the delivery of financial, administrative, and information technology services of primary benefit to the
agencies of the Department of Agriculture: Provided, That none of
the funds made available by this Act or any other Act shall be transferred to the Working Capital Fund without the prior notification
of the agency administrator: Provided further, That none of the funds
transferred to the Working Capital Fund pursuant to this section
shall be available for obligation without the prior notification of the
Committees on Appropriations of both Houses of Congress.
SEC. 704. No part of any appropriation contained in this Act shall
remain available for obligation beyond the current fiscal year unless
expressly so provided herein.
SEC. 705. No funds appropriated by this Act may be used to pay
negotiated indirect cost rates on cooperative agreements or similar
arrangements between the United States Department of Agriculture
and nonprofit institutions in excess of 10 percent of the total direct
cost of the agreement when the purpose of such cooperative arrangements is to carry out programs of mutual interest between the two
parties. This does not preclude appropriate payment of indirect costs
on grants and contracts with such institutions when such indirect
costs are computed on a similar basis for all agencies for which
appropriations are provided in this Act.
SEC. 706. Appropriations to the Department of Agriculture for the
cost of direct and guaranteed loans made available in the current
fiscal year shall remain available until expended to disburse obligations made in the current fiscal year for the following accounts: the
Rural Development Loan Fund program account, the Rural Electrification and Telecommunication Loans program account, and the
Rural Housing Insurance Fund program account.
SEC. 707. None of the funds appropriated by this Act may be used
to carry out section 410 of the Federal Meat Inspection Act (21 U.S.C.
679a) or section 30 of the Poultry Products Inspection Act (21 U.S.C.
471).
SEC. 708. None of the funds made available to the Department
of Agriculture by this Act may be used to acquire new information
technology systems or significant upgrades, as determined by the Office of the Chief Information Officer, without the notification of the
Chief Information Officer and the concurrence of the Executive Information Technology Investment Review Board: Provided, That notwithstanding any other provision of law, none of the funds appropriated
or otherwise made available by this Act may be transferred to the
Office of the Chief Information Officer unless prior notification has
been transmitted to the Committees on Appropriations of both Houses
of Congress.
SEC. 709. Notwithstanding any other provision of law, of the funds
made available in this Act for competitive research grants (7 U.S.C.
450i(b)), the Secretary may use up to 30 percent of the amount provided to carry out a competitive grants program under the same terms
and conditions as those provided in section 401 of the Agricultural
Research, Extension, and Education Reform Act of 1998 (7 U.S.C.
7621).
SEC. 710. Funds made available under section 1240I and section
1241(a) of the Food Security Act of 1985 in the current fiscal year
shall remain available until expended to disburse obligations made
in the current fiscal year, and are not available for new obligations.
Funds made available under section 524(b) of the Federal Crop Insurance Act, 7 U.S.C. 1524(b), in fiscal years 2004, 2005, 2006, 2007
and 2008 shall remain available until expended to disburse obligations made in fiscal years 2004, 2005, 2006, 2007 and 2008 respec-

TITLE VII—GENERAL PROVISIONS—Continued

181

tively, and except for fiscal year 2008 funds, are not available for
new obligations.
SEC. 711. None of the funds appropriated or otherwise made available by this or any other Act shall be used to pay the salaries and
expenses of personnel to carry out the following:
(a) an Environmental Quality Incentives Program authorized by
16 U.S.C. 3839aa, et seq., in excess of $1,000,000,000. Funds exceeding
this amount for fiscal year 2008 are hereby permanently cancelled;
(b) a Conservation Security Program authorized by 16 U.S.C. 3838
et seq., in excess of $316,212,000. Funds exceeding this amount for
fiscal year 2008 are hereby permanently cancelled. In addition, not
withstanding any other provision of law, section 1241(a)(3)(B) of the
Food Security Act of 1985 (16 U.S.C. 3841(a)(3)(B)) is amended by
striking
‘‘$5,650,000,000’’
and
inserting
the
following:
‘‘$5,570,000,000’’;
(c) an Agricultural Management Assistance Program as authorized
by section 524 of the Federal Crop Insurance Act (7 U.S.C. 1524).
$10,000,000 of the funds available for fiscal year 2008 are hereby
permanently cancelled; and
(d) a Marketing Assistance Loan Program to provide storage credits
for upland cotton, implemented by 7 CFR part 1427. Funds otherwise
available for fiscal year 2008 are hereby permanently cancelled.
SEC. 712. Section 502(h)(2) of the Housing Act of 1949 is amended
to add the following sentence to the end of the paragraph:
‘‘In addition the lender shall certify that—
‘‘(A) the lender would not otherwise provide a loan to the borrower
absent the guarantee, and
‘‘(B) the lender either—
‘‘(i) does not provide loans under any other federal housing
program, or
‘‘(ii) has determined that the borrower does not qualify for any
other federal housing program that the lender offers that would
serve the borrower’s housing needs.’’.
SEC. 713. Section 442 of Public Law 106–224 is amended by adding
the following new subsections at the end:
‘‘(c) PRECONDITIONS FOR A TRANSFER AVAILABILITY.—Funds may
be transferred to combat emergencies.
‘‘(d) DEFINITIONS.—For purposes of this subsection, an ‘emergency’
is an unanticipated event that requires a necessary expenditure that
is sudden, urgent and unforeseen.’’.
SEC. 714. Section 10417 of Public Law 107–171 is amended by
adding the following new subsections at the end:
‘‘(d) PRECONDITIONS FOR A TRANSFER AVAILABILITY.—Funds may
be transferred to combat emergencies.
‘‘(e) DEFINITIONS.—For purposes of this subsection, an ‘emergency’
is an unanticipated event that requires a necessary expenditure that
is sudden, urgent and unforeseen.’’.
SEC. 715. Section 739 of the Agriculture, Rural Development, Food
and Drug Administration, and Related Agencies Appropriation Act,
2001 (H.R. 5426 as enacted by Public Law 106–387, 115 Stat. 1549A–
34) is amended by striking ‘‘2 percent’’ and inserting ‘‘3 percent’’.
SEC. 716. Of the funds available under section 32 of the Act of
August 24, 1935, $65,452,000 are hereby permanently cancelled.
SEC. 717. Not more than $11,166,000 of the funds made available
under section 522(e) of the Federal Crop Insurance Act (7 U.S.C.
1522(e)) may be used for program compliance and integrity purposes,
including the data mining project, and for the Common Information
Management System.
SEC. 718. Not withstanding any other provision of law, the time
period for the Secretary of Agriculture to enroll not to exceed 2,275,000
acres in the Wetlands Reserve Program shall be extended through
fiscal year 2008. For fiscal year 2008, the Secretary shall use the
funds, facilities, and authorities of the Commodity Credit Corporation
to carry out this program.