Full text of Budget of the United States Government - Appendix : Fiscal Year 2009 : Department of Education

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DEPARTMENT OF EDUCATION
OFFICE OF ELEMENTARY AND SECONDARY
EDUCATION

74.40

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

10,866

11,034

12,345

Federal Funds

86.90
86.93

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

2,380
12,107

6,069
8,966

6,521
8,785

87.00

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

14,487

15,035

15,306

89.00
90.00

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

14,725
14,487

14,938
15,035

16,617
15,306

EDUCATION

FOR THE

DISADVANTAGED

For carrying out title I of the Elementary and Secondary Education
Act of 1965 (‘‘ESEA’’), section 6201 of the America COMPETES Act,
and section 418A of the Higher Education Act of 1965,
ø$15,755,083,000¿ $16,617,059,000, of which ø$7,639,035,000¿
$8,409,108,000 shall become available on July 1, ø2008¿ 2009, and
shall remain available through September 30, ø2009¿ 2010, and of
which $7,934,756,000 shall become available on October 1, ø2008¿
2009, and shall remain available through September 30, ø2009¿ 2010,
for academic year ø2008–2009¿ 2009–2010: Provided, That
ø$6,835,271,000¿ $6,597,946,000 shall be for basic grants under section 1124: Provided further, That up to $4,000,000 of these funds
shall be available to the Secretary of Education on October 1, ø2007¿
2008, to obtain annually updated local educational-agency-level census poverty data from the Bureau of the Census: Provided further,
That $1,365,031,000 shall be for concentration grants under section
1124A: Provided further, That ø$2,967,949,000¿ $3,373,975,000 shall
be for targeted grants under section 1125: Provided further, That
$2,967,949,000 shall be for education finance incentive grants under
section 1125A: Provided further, That ø$9,330,000¿ $9,167,000 shall
be to carry out sections 1501 and 1503ø: Provided further, That
$1,634,000 shall be available for a comprehensive school reform clearinghouse¿. (Department of Education Appropriations Act, 2008.)

Summary of Budget Authority and Outlays
(in millions of dollars)
2007 actual

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

2007 actual

2008 est.

2009 est.

Obligations by program activity:
00.01 Grants to local educational agencies ...........................
12,833
13,369
14,305
00.02 School improvement grants ........................................... ...................
616
491
00.03 Reading first State grants ............................................
1,023
464
1,000
00.04 Early reading first ..........................................................
118
113
113
00.05 Striving readers .............................................................
26
64
100
00.06 Even start ......................................................................
88
69 ...................
00.07 Literacy through school libraries ...................................
19
19
19
00.08 State agency programs ..................................................
439
445
452
00.09 Comprehensive school reform ........................................
2
2 ...................
00.10 Evaluation ......................................................................
9
9
9
00.11 Migrant education projects ............................................
34
33
33
00.12 Math Now ....................................................................... ................... ...................
95
10.00

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

21.40
22.00
22.10

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

23.90
23.95

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

24.40

Unobligated balance carried forward, end of year

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40.00
40.33

14,591

15,203

16,617

129
14,725

265 ...................
14,938
16,617

2 ................... ...................
14,856
¥14,591

15,203
¥15,203

16,617
¥16,617

265 ................... ...................

New budget authority (gross), detail:
Discretionary:
Appropriation .............................................................
7,342
Appropriation permanently reduced (P.L. 110–161) ...................

7,821
8,682
¥266 ...................

43.00
55.00

Appropriation (total discretionary) ........................
Advance appropriation ..............................................

7,342
7,383

7,555
7,383

8,682
7,935

70.00

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

14,725

14,938

16,617

72.40
73.10
73.20
73.40
73.45

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

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10,803
10,866
11,034
14,591
15,203
16,617
¥14,487
¥15,035
¥15,306
¥39 ................... ...................
¥2 ................... ...................
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2009 est.

14,725
14,487

16,617
15,306
300
6

14,938
15,035

16,917
15,312

SUMMARY OF PROGRAM LEVEL
(in millions of dollars)

Program and Financing (in millions of dollars)
Identification code 91–0900–0–1–501

2008 est.

Enacted/requested:
Budget Authority .....................................................................
14,725
14,938
Outlays ....................................................................................
14,487
15,035
Legislative proposal, not subject to PAYGO:
Budget Authority ..................................................................... .................... ....................
Outlays .................................................................................... .................... ....................

2007–2008
Academic
Year

2008–2009
Academic
Year

2009–2010
Academic
Year

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

7,342
7,383

7,555
7,383

8,682
7,935

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

14,726

14,938

16,617

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

Note: Additional authorizing language is sought for
$16,488,725,000 in this account.
Grants to local educational agencies.—Funds are allocated
through four formulas—Basic Grants, Concentration Grants,
Targeted Grants and Education Finance Incentive Grants—
for local programs that provide extra academic support to
help raise the achievement of eligible students in high-poverty
schools or, in the case of schoolwide programs, help all students in high-poverty schools to meet challenging State academic standards. States must annually assess all students
in at least reading, mathematics, and science. School districts
must identify for improvement, and provide assistance to,
participating schools that for two consecutive years do not
make adequate yearly progress toward ensuring that all students reach the proficient level on the State assessments in
reading and mathematics by 2014. Districts must provide students attending such schools the choice of attending another
public school that is not identified for improvement. After
three or more years of a school not making adequate yearly
progress, low-income students who remain in the school may
obtain supplemental educational services from a public- or
private-sector provider. Schools that do not improve are subject to progressively stronger interventions and, after six
years of not making adequate yearly progress, reconstitution
under a restructuring plan. Fiscal year 2009 funds would
be expended under a reauthorization proposal to expand the
benefits of the program to more high school students, refine
accountability systems, include science in accountability determinations, and give students in low-performing schools
more options.
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EDU

339

340

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

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EDUCATION

FOR THE

THE BUDGET FOR FISCAL YEAR 2009
25.3

DISADVANTAGED—Continued

School improvement grants.—Funds support grants to
States to assist schools identified as in need of improvement
because they have not met their student achievement goals
for at least two consecutive years. Activities may include the
development and implementation of school improvement
plans, professional development for teachers and staff, corrective actions such as instituting a new curriculum, and the
provision of public school choice and supplemental educational
services.
Reading first State grants.—Funds provide assistance to
State and local educational agencies in establishing reading
programs for students in grades K–3 that are grounded in
scientifically based reading research, in order to ensure that
every student can read at grade level or above by the end
of third grade.
Early reading first.—Competitive grants provide assistance
to support local efforts to enhance the school readiness of
young children, particularly those from low-income families,
through scientific, research-based strategies and professional
development that are designed to enhance the verbal skills,
phonological awareness, letter knowledge, pre-reading skills,
and early language development of children ages three
through five. For the reauthorization of ESEA, the Department is proposing amendments to strengthen partnerships
between preschool providers and institutions of higher education that provide professional development to early childhood educators.
Striving readers.—Funds support the development, implementation, and evaluation of scientifically based reading
interventions for middle school or high school students reading significantly below grade level. The program complements
the Reading First program, which improves reading in elementary schools.
Math now for elementary school and middle school students.—Funds support competitive grants to improve instruction in mathematics for students in kindergarten through
9th grade.
Literacy through school libraries.—Funds support competitive grants to local educational agencies to provide students
with increased access to up-to-date school library materials
and certified professional library media specialists.
State agency migrant program.—Funds support formula
grants to States for educational services to children of migratory farmworkers and fishers, with resources and services
focused on children who have moved within the past 36
months.
State agency neglected and delinquent program.—Funds
support formula grants to States for educational services to
children and youth through age 21 in local and State-run
institutions for neglected or delinquent youths, and adult correction facilities.
Evaluation.—Funds support a series of impact studies designed to identify effective reading interventions in Title I
and studies of the implementation of key No Child Left Behind Act requirements, including assessments, accountability
systems, school improvement requirements, public school
choice, and supplemental educational services.
Migrant education projects.—Funds support grants to institutions of higher education and nonprofit organizations that
assist migrant students in earning a high school equivalency
certificate or in completing their first year of college.
Object Classification (in millions of dollars)
Identification code 91–0900–0–1–501

2007 actual

Direct obligations:
24.0 Printing and reproduction ..............................................
25.1 Advisory and assistance services ..................................
25.2 Other services ................................................................
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2
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2009 est.

3
2
46

3
4
53

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41.0

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

3
14,538

4
15,148

4
16,553

99.9

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

14,591

15,203

16,617

EDUCATION

FOR THE

DISADVANTAGED

(Legislative proposal, not subject to PAYGO)
Program and Financing (in millions of dollars)
Identification code 91–0900–2–1–501

2007 actual

2008 est.

2009 est.

Obligations by program activity:
00.01 Pell grants for kids ........................................................ ................... ...................

300

10.00

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

300

22.00
23.95

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

300
¥300

24.40

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

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

300

73.10
73.20

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

300
¥6

74.40

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

294

86.90

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

89.00
90.00

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

300
6

The resources in this schedule are proposed for later transmittal under proposed legislation to revise and reauthorize
programs currently authorized under the Elementary and Secondary Education Act.
Pell Grants for Kids.—Funds would support competitive
grants to States, municipalities, local educational agencies
(LEAs), and public or private nonprofit organizations for
scholarships to enable low-income students in grades K–12
enrolled in persistently low-performing schools to attend a
private or out-of-district public school.
Object Classification (in millions of dollars)
Identification code 91–0900–2–1–501

2007 actual

2008 est.

2009 est.

25.1
41.0

Direct obligations:
Advisory and assistance services .................................. ................... ...................
Grants, subsidies, and contributions ............................ ................... ...................

3
297

99.9

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

300

IMPACT AID
For carrying out programs of financial assistance to federally affected schools authorized by title VIII of the Elementary and Secondary Education Act of 1965, ø$1,262,778,000¿ $1,240,718,000, of
which ø$1,125,192,000¿ $1,105,535,000 shall be for basic support payments under section 8003(b), ø$49,466,000¿ $48,602,000 shall be for
payments for children with disabilities under section 8003(d),
ø$17,820,000¿ $17,509,000 shall be for construction under section
8007(b) and shall remain available through September 30, ø2009,¿
ø$65,350,000¿ 2010, $64,208,000 shall be for Federal property payments under section 8002, and ø$4,950,000¿ $4,864,000, to remain
available until expended, shall be for facilities maintenance under
section 8008: Provided, That for purposes of computing the amount
of a payment for an eligible local educational agency under section
8003(a) for school year ø2007–2008¿ 2008–2009, children enrolled
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OFFICE OF ELEMENTARY AND SECONDARY EDUCATION—Continued
Federal Funds—Continued

DEPARTMENT OF EDUCATION
ment under section 8003(a)(1)(B) of such Act, but due to the deployment of both parents or legal guardians, or a parent or legal guardian
having sole custody of such children, or due to the death of a military
parent or legal guardian while on active duty (so long as such children reside on Federal property as described in section 8003(a)(1)(B)),
are no longer eligible under such section, shall be considered as
eligible students under such section, provided such students remain
in average daily attendance at a school in the same local educational
agency they attended prior to their change in eligibility status. (Department of Education Appropriations Act, 2008.)
Program and Financing (in millions of dollars)
Identification code 91–0102–0–1–501

2007 actual

2008 est.

2009 est.

Obligations by program activity:
00.01 Basic support payments ................................................
00.02 Payments for children with disabilities ........................

1,092
49

1,106
49

00.91
01.01
02.01
03.01

Direct Program by Activities—Subtotal (1 level)
Facilities maintenance ...................................................
Construction ...................................................................
Payments for Federal property .......................................

1,141
1,155
8
5
18 ...................
64
64

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

1,231

1,224

1,242

21.40
22.00

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

6
1,228

3
1,241

20
1,241

23.90
23.95

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

1,234
¥1,231

1,244
¥1,224

1,261
¥1,242

24.40

Unobligated balance carried forward, end of year

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
1,228
40.33
Appropriation permanently reduced (P.L. 110–161) ...................

1,263
1,241
¥22 ...................

43.00

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

1,241

72.40
73.10
73.20
73.40

74.40

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

446

281

236

86.90
86.93

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

1,020
143

1,099
290

1,099
188

87.00

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

1,163

1,389

1,287

89.00
90.00

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900 local educational agencies. Average per-student payments
will be approximately $900.
Facilities maintenance.—Funds will be used to provide
emergency repairs for school facilities that serve military dependents and are owned by the Department of Education.
Funds will also be used to transfer the facilities to local
educational agencies.
Construction.—Approximately 20 construction grants will be
awarded competitively to the highest need impact aid districts
for emergency repairs and modernization of school facilities.
Payments for Federal property.—Payments will be made to
approximately 200 local educational agencies in which real
property owned by the Federal Government represents 10
percent or more of the assessed value of real property in
the local educational agency.

1,155
5
18
64

10.00

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

1,228
1,163

1,241
1,389

1,241
1,287

1,228

1,241

379
446
281
1,231
1,224
1,242
¥1,163
¥1,389
¥1,287
¥1 ................... ...................

Note: Additional authorizing language is sought for all of
the resources requested in this account.
Impact Aid helps to replace the lost local revenue that
would otherwise be available to educate federally connected
children. The presence of certain students living on Federal
property, such as students who are military dependents or
who reside on Indian lands, can place a financial burden
on local educational agencies that educate them. The property
on which the children live and their parents work is exempt
from local property taxes, denying local educational agencies
access to the primary source of revenue used by most communities to finance education.
Basic support payments.—Payments will be made on behalf
of approximately 1.0 million federally connected students enrolled in about 1,240 local educational agencies to assist them
in meeting their operation and maintenance costs. Average
per-student payments will be approximately $1,100.
Payments for children with disabilities.—Payments in addition to those provided under the Individuals with Disabilities
Education Act will be provided on behalf of approximately
55,000 federally connected students with disabilities in about
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SCHOOL IMPROVEMENT PROGRAMS
For carrying out school improvement activities authorized by parts
A and B of title II, part B of title IV, øsubparts 6 and¿ subpart
9 of part D of title V, and parts A and B of title VIø, and parts
B and C of title VII¿ of the Elementary and Secondary Education
Act of 1965 (‘‘ESEA’’); the McKinney-Vento Homeless Assistance Act;
section 203 of the Educational Technical Assistance Act of 2002;
the Compact of Free Association Amendments Act of 2003; and the
Civil Rights Act of 1964, ø$5,383,119,000¿ $4,566,323,000, of which
ø$3,763,355,000¿ $3,023,879,000 shall become available on July 1,
ø2008¿ 2009, and remain available through September 30, ø2009¿
2010, and of which $1,435,000,000 shall become available on October
1, ø2008¿ 2009, and shall remain available through September 30,
ø2009¿ 2010, for academic year ø2008–2009¿ 2009–2010: Provided,
That øfunds made available to carry out part B of title VII of the
ESEA may be used for construction, renovation and modernization
of any elementary school, secondary school, or structure related to
an elementary school or secondary school, run by the Department
of Education of the State of Hawaii, that serves a predominantly
Native Hawaiian student body: Provided further, That from the funds
referred to in the preceding proviso, not less than $1,250,000 shall
be for a grant to the Department of Education of the State of Hawaii
for the activities described in such proviso, and $1,250,000 shall be
for a grant to the University of Hawaii School of Law for a Center
of Excellence in Native Hawaiian law: Provided further, That funds
made available to carry out part C of title VII of the ESEA may
be used for construction: Provided further, That up to 100 percent
of the funds available to a State educational agency under part D
of title II of the ESEA may be used for subgrants described in section
2412(a)(2)(B) of such Act: Provided further,¿ $408,732,000 shall be
for State assessments and related activities authorized under sections
6111 and 6112 of the ESEA: Provided further, That ø$58,129,000¿
$57,113,000 shall be available to carry out section 203 of the Educational Technical Assistance Act of 2002: Provided further, That
ø$33,707,000¿ $25,655,000 shall be available to carry out part D
of title V of the ESEA: Provided further, That no funds appropriated
under this heading may be used to carry out section 5494 under
the ESEA: Provided further, That ø$18,001,000¿ $17,687,000 shall
be available to carry out the Supplemental Education Grants program
for the Federated States of Micronesia and the Republic of the Marshall Islands: Provided further, That up to 5 percent of these amounts
may be reserved by the Federated States of Micronesia and the Republic of the Marshall Islands to administer the Supplemental Education Grants programs and to obtain technical assistance, oversight
and consultancy services in the administration of these grants and
to reimburse the United States Departments of Labor, Health and
Human Services, and Education for such services: Provided further,
That ø$2,400,000¿ at least $7,360,000 of the funds available for the
Foreign Language Assistance Program shall be available for 5-year
grants to local educational agencies that would work in partnership
with one or more institutions of higher education to establish or
expand articulated programs of study in languages critical to United
States national security that will enable successful students to advance from elementary school through college to achieve a superior
level of proficiency in those languages. (Department of Education
Appropriations Act, 2008.)
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OFFICE OF ELEMENTARY AND SECONDARY EDUCATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2009

SCHOOL IMPROVEMENT PROGRAMS—Continued
Program and Financing (in millions of dollars)
Identification code 91–1000–0–1–501

2007 actual

2008 est.

2009 est.

Obligations by program activity:
00.01 Improving teacher quality State grants ........................
00.02 Early childhood educator professional development .....
00.03 Mathematics and science partnerships ........................
00.04 Educational technology State grants ............................
00.05 21st Century learning opportunities ..............................
00.06 State grants for innovative programs ...........................
00.07 Javits gifted and talented education ............................
00.08 Foreign language assistance .........................................
00.09 State assessments .........................................................
00.10 Education for homeless children and youth .................
00.11 Education for Native Hawaiians ....................................
00.12 Alaska Native education equity .....................................
00.13 Training and advisory services ......................................
00.14 Rural education .............................................................
00.15 Supplemental education grants ....................................
00.16 Comprehensive centers ..................................................

2,877
2,964
2,835
15 ................... ...................
179
184
179
272
274 ...................
979
1,093
800
99
1 ...................
8
7 ...................
24
26
25
406
418
409
62
64
64
34
33 ...................
34
33 ...................
7
7
7
169
173
172
18
18
18
56
57
57

10.00

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

5,239

5,352

21.40
22.00
22.10

46
5,255

63 ...................
5,289
4,566

23.90
23.95

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

24.40

4,566

1 ................... ...................
5,302
¥5,239

Unobligated balance carried forward, end of year

5,352
¥5,352

4,566
¥4,566

63 ................... ...................

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
3,820
40.33
Appropriation permanently reduced (P.L. 110–161) ...................

3,948
3,131
¥94 ...................

43.00
55.00

Appropriation (total discretionary) ........................
Advance appropriation ..............................................

3,820
1,435

3,854
1,435

3,131
1,435

70.00

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

5,255

5,289

4,566

72.40
73.10
73.20
73.40
73.45

74.40

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

6,366

6,346

5,679

86.90
86.93

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

796
4,687

967
4,405

952
4,281

87.00

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

5,483

5,372

5,233

89.00
90.00

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

5,255
5,483

5,289
5,372

4,566
5,233

6,712
6,366
6,346
5,239
5,352
4,566
¥5,483
¥5,372
¥5,233
¥101 ................... ...................
¥1 ................... ...................

Mathematics and science partnerships.—Funds support
State and local efforts to improve students’ academic achievement in mathematics and science by promoting strong teaching skills for elementary and secondary school teachers. These
efforts may include the integration of teaching methods based
on scientifically based research and technology into the curriculum.
Other Activities:
21st Century learning opportunities (formerly 21st Century
community learning centers).—Funds in this revised program
support formula grants to States, which award subgrants to
public or private organizations to provide scholarships for extended learning opportunities to low-income students in
under-performing schools.
Foreign language assistance.—Funds support competitive
grants to States and school districts to create innovative
model programs providing for the establishment, improvement, or expansion of foreign language study for elementary
and secondary school students.
State assessments.—Funds support formula and competitive
grants to States to develop and implement the assessments,
and related accountability efforts, that States use to test children in reading, mathematics, and science.
Education for homeless children and youth.—Funds support
formula grants to States to provide educational and support
services that enable homeless children and youth to attend
and achieve success in school.
Training and advisory services.—Funds support grants to
regional equity assistance centers that provide technical assistance to school districts in addressing educational equity
related to issues of race, gender, and national origin.
Rural education.—Funds support formula grants under two
programs: Small, Rural Schools Achievement and Rural and
Low-Income Schools. The Small, Rural Schools Achievement
program provides rural local educational agencies with small
enrollments with additional formula funds and flexibility in
the use of other Federal formula funds. Funds under the
Rural and Low-Income Schools program, which targets rural
local educational agencies that serve concentrations of poor
students, are allocated by formula to States, which in turn
allocate funds to eligible local educational agencies within
the States.
Supplemental education grants.—Funds support grants to
the Federated States of Micronesia and to the Republic of
the Marshall Islands in place of grant programs discontinued
by the Compact of Free Association Amendments Act of 2003.
Comprehensive centers.—Funds support 21 comprehensive
centers that focus on building State capacity to help school
districts and schools meet the requirements of the No Child
Left Behind Act.
Object Classification (in millions of dollars)

SUMMARY OF PROGRAM LEVEL

Identification code 91–1000–0–1–501

2007 actual

2008 est.

2009 est.

(in millions of dollars)
2007–2008
Academic
Year

2008–2009
Academic
Year

2009–2010
Academic
Year

ebenthall on PROD1PC69 with BUDGET PAG

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

3,820
1,435

3,854
1,435

3,131
1,435

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

5,255

5,289

4,566

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

Direct obligations:
25.1 Advisory and assistance services ..................................
25.2 Other services ................................................................
41.0 Grants, subsidies, and contributions ............................

10
25
5,204

10
26
5,316

9
22
4,535

99.9

5,239

5,352

4,566

Note: Additional authorizing language is sought for
$4,484,534,000 in this account.
Improving teacher quality:
Improving teacher quality State grants.—Funds support
State and school district activities to prepare, train, and recruit high-quality teachers to improve student achievement.
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Total new obligations ................................................
f

INDIAN EDUCATION
For expenses necessary to carry out, to the extent not otherwise
provided, title VII, part A of the Elementary and Secondary Education Act of 1965, ø$121,690,000¿ $119,564,000. (Department of Education Appropriations Act, 2008.)
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EDU

OFFICE OF INNOVATION AND IMPROVEMENT
Federal Funds

DEPARTMENT OF EDUCATION

READING EXCELLENCE

Program and Financing (in millions of dollars)
Identification code 91–0101–0–1–501

2007 actual

Obligations by program activity:
00.01 Grants to local educational agencies ...........................
00.02 Special programs for Indian children ...........................
00.03 National activities ..........................................................
10.00

22.00
23.95

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

2008 est.

Program and Financing (in millions of dollars)

2009 est.

Identification code 91–0011–0–1–501

96
19
4

97
19
4

119

120

2007 actual

2008 est.

2009 est.

120

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

89.00
90.00
119
¥119

120
¥120

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
119
40.33
Appropriation permanently reduced (P.L. 110–161) ...................

122
120
¥2 ...................

43.00

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

120

72.40
73.10
73.20
73.40

74.40

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

136

139

141

86.90
86.93

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

8
110

6
111

6
112

87.00

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

118

117

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

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

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

118

89.00
90.00

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

119

119
118

2007 actual

120
117

120
118

2008 est.

2009 est.

1
3
115

1
3
116

99.9

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

119

120

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72.40
73.20
73.40

2007 actual

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

2008 est.

2009 est.

5 ................... ...................
¥1 ................... ...................
¥4 ................... ...................

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

PO 00000

86.93

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

89.00
90.00

15:42 Jan 24, 2008

Identification code 91–0500–0–1–501

74.40

25.1
25.2
41.0

VerDate Aug 31 2005

EDUCATION REFORM
Program and Financing (in millions of dollars)

140
136
139
119
120
120
¥118
¥117
¥118
¥5 ................... ...................

Object Classification (in millions of dollars)
Identification code 91–0101–0–1–501

120

Note: Additional authorizing language is sought for all of
the resources requested in this account.
The Indian Education programs support the efforts of local
educational agencies and tribal schools to improve teaching
and learning for the Nation’s American Indian and Alaska
Native Children.
Grants to local educational agencies.—Formula grants support local educational agencies in their efforts to reform elementary and secondary school programs that serve Indian
students, with the goal of ensuring that such programs assist
participating students in meeting the same academic standards as all other students. In 2007, the Department made
1,237 formula grants to local educational agencies and tribal
schools serving more than 474,000 students.
Special programs for Indian children.—The Department
makes competitive awards for demonstration projects in early
childhood education and college preparation, as well as professional development grants for training Native American
teachers and administrators for employment in school districts with concentrations of Indian students.
National activities.—Funds support research, evaluation,
data collection, and related activities.
ebenthall on PROD1PC69 with BUDGET PAG

343

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

Programs in this account have been transferred to the
School Improvement Programs account or discontinued.
Amounts in this schedule reflect balances that are spending
out from prior-year appropriations.
f

OFFICE OF INNOVATION AND IMPROVEMENT
Federal Funds
INNOVATION

AND

IMPROVEMENT

For carrying out activities authorized by øpart G of title I, subpart
5 of part A and¿ parts C and D of title II, and parts B, C, and
D of title Vø, and section 1504¿ of the Elementary and Secondary
Education Act of 1965 (‘‘ESEA’’), ø$1,003,040,000¿ and by part II
of subtitle A of title VI of the America COMPETES Act, $857,517,000:
Provided, That ø$9,821,000 shall be provided to the National Board
for Professional Teaching Standards to carry out section 2151(c) of
the ESEA: Provided further, That¿ from funds for subpart 4, part
C of title II of the ESEA, up to 3 percent shall be available to
the Secretary for technical assistance and dissemination of information: Provided further, That ø$357,059,000¿ $252,300,000 shall be
available to carry out part D of title V of the ESEA: øProvided
further, That $100,573,000 of the funds for subpart 1, part D of
title V of the ESEA shall be available for the projects and in the
amounts specified in the explanatory statement described in section
4 (in the matter preceding division A of this consolidated Act):¿ Provided further, That ø$99,000,000¿ $200,000,000 of the funds for subpart 1, part D of title V of the ESEA shall be for competitive grants
to local educational agencies, including charter schools that are local
educational agencies, or States, or partnerships of: (1) a local educational agency, a State, or both; and (2) at least one non-profit
organization to develop and implement performance-based teacher
and principal compensation systems in high-need schools: Provided
further, That such performance-based compensation systems must
consider gains in student academic achievement as well as classroom
evaluations conducted multiple times during each school year among
other factors and provide educators with incentives to take on addiSfmt 3616

E:\BUDGET\EDU.XXX

EDU

344

OFFICE OF INNOVATION AND IMPROVEMENT—Continued
Federal Funds—Continued

INNOVATION

AND

THE BUDGET FOR FISCAL YEAR 2009
87.00

IMPROVEMENT—Continued

tional responsibilities and leadership roles: Provided further, That
up to 5 percent of such funds for competitive grants shall be available
for technical assistance, training, peer review of applications, program
outreach and evaluation activities: Provided further, That of the funds
available for part B of title V of the ESEA, the Secretary shall
use up to ø$24,783,000¿ $82,642,000 to carry out activities under
section 5205(b) and under subpart 2, and shall use not less than
$190,000,000 to carry out other activities authorized under subpart
1: Provided further, That funds available for part II of subtitle A
of title VI of the America COMPETES Act shall first be used for
grants under section 1704 of the ESEA and for continuation grants
under section 1705 of the ESEA. (Department of Education Appropriations Act, 2008.)
Program and Financing (in millions of dollars)
Identification code 91–0204–0–1–501

2007 actual

Obligations by program activity:
00.01 Teacher incentive fund ..................................................
00.02 Troops-to-teachers .........................................................
00.03 Transition to teaching ...................................................
00.04 National writing project .................................................
00.05 Teaching American history ............................................
00.06 School leadership ...........................................................
00.07 Advanced credentialing .................................................
School choice and flexibility:
00.08
Charter schools grants ..............................................
00.09
Credit enhancement for charter school facilities
00.10
Voluntary public school choice .................................
00.11
Magnet schools assistance .......................................
00.12 Advanced placement ......................................................
00.13 Close Up fellowships .....................................................
00.14 Ready-to-learn-television ...............................................
00.15 Academies for American history and civics ..................
00.16 FIE programs of national significance ..........................
00.17 Reading is fundamental/Inexpensive book distribution
00.18 Star schools ...................................................................
00.19 Ready to teach ...............................................................
00.20 Exchanges with historic whaling and trading partners
00.21 Excellence in economic education .................................
00.22 Mental health integration in schools ............................
00.23 Foundations for learning ...............................................
00.24 Arts in education ...........................................................
00.25 Parental information and resource centers ...................
00.26 Womens educational equity ...........................................

94
15
44
21
120
15
17

2008 est.

2009 est.

97
200
14
14
44
44
23 ...................
118
50
14 ...................
10 ...................

215
211
236
37 ...................
37
26
26
26
107
105
105
37
44
70
1
2 ...................
24
24
24
2
2 ...................
16
122
52
25
25 ...................
12 ................... ...................
11
11 ...................
9
9 ...................
1
1 ...................
1
5 ...................
5
1 ...................
35
37 ...................
40
39 ...................
2
2 ...................

01.00
09.01

Total direct program .................................................
DC School Choice ...........................................................

932
14

986
15

858
18

10.00

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

946

1,001

876

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

94 ................... ...................
852
1,001
876
946
¥946

876
¥876

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

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
838
40.33
Appropriation permanently reduced (P.L. 110–161) ...................

1,003
858
¥17 ...................

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

838

986

858

70.00
ebenthall on PROD1PC69 with BUDGET PAG

43.00
58.00

1,001
¥1,001

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

852

1,001

876

72.40
73.10
73.20
73.40

74.40

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

1,617

1,304

1,375

86.90
86.93

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

28
832

50
1,264

44
761

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1,535
1,617
1,304
946
1,001
876
¥860
¥1,314
¥805
¥4 ................... ...................

PO 00000

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

860

1,314

805

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

¥14

¥15

¥18

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

838
846

986
1,299

858
787

89.00
90.00

Summary of Budget Authority and Outlays
(in millions of dollars)
2007 actual

2008 est.

Enacted/requested:
Budget Authority .....................................................................
838
986
Outlays ....................................................................................
846
1,299
Legislative proposal, not subject to PAYGO:
Budget Authority ..................................................................... .................... ....................
Outlays .................................................................................... .................... ....................
Total:
Budget Authority .....................................................................
Outlays ....................................................................................

838
846

986
1,299

2009 est.

858
787
10
1

868
788

Note: Additional authorizing language is sought for
$787,517,000 in this account.
Recruiting and training high-quality teachers and principals:
Teacher incentive fund.—Funds support the development
of performance-based compensation systems that reward
teachers and principals who are raising student achievement
and closing the achievement gap.
Troops-to-teachers.—Funds assist eligible members of the
armed forces to obtain certification as teachers and to become
highly qualified teachers.
Transition to teaching.—Funds support competitive grants
to establish programs to recruit and retain mid-career professionals and recent college graduates as teachers in high-need
schools.
Teaching American history.—Funds support competitive
grants to school districts for activities to improve history instruction and provide professional development for teachers
of American history.
School choice and flexibility:
Charter schools grants.—Funds support competitive grants
to State educational agencies and charter schools to support
the planning, design, initial implementation, and dissemination of information regarding charter schools. These schools
are created by teachers, parents, and members of the community, and may receive waivers from certain local, State, and
Federal regulations. A portion of the funding supports State
efforts to assist charter schools in obtaining facilities.
Credit enhancement for charter school facilities.—Funds
support competitive grants to State and local governments,
nonprofit entities, and public and nonprofit consortia, to assist
charter schools in acquiring, leasing, and renovating school
facilities.
Voluntary public school choice.—Funds support competitive
grants to State and local educational agencies to implement
programs that provide students, particularly students who
attend low-performing schools, with expanded public school
choice options.
Magnet schools assistance.—Funds support competitive
grants to local educational agencies to establish and operate
magnet school programs that are part of an approved desegregation plan.
Other activities:
Advanced placement.—Funds support competitive grants to
State educational agencies, local educational agencies, and
national nonprofit educational entities to expand access for
low-income individuals to Advanced Placement (AP) or International Baccalaureate (IB) courses, and grants to States to
Sfmt 3616

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EDU

OFFICE OF SAFE AND DRUG-FREE SCHOOLS
Federal Funds

DEPARTMENT OF EDUCATION

pay test fees for low-income students who are enrolled in
AP or IB courses.
Ready-to-learn television.—Funds support the development,
distribution, and production of educational video programming and accompanying materials and services for preschool
and elementary school children and their parents to facilitate
student academic achievement.
FIE programs of national significance.—Funds support nationally significant projects to improve the quality of elementary and secondary education in order to help all children
meet challenging State content and student achievement
standards.
Object Classification (in millions of dollars)
Identification code 91–0204–0–1–501

2007 actual

2008 est.

2009 est.

25.1
25.2
41.0

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

3
48
880

3
51
931

99.0
99.0
99.5

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

931
13
2

985
858
15
18
1 ...................

99.9

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

946

1,001

3
45
810

D of title V¿ of the Elementary and Secondary Education Act of
1965
ø(‘‘ESEA’’),
$705,733,000¿
$281,963,000,
of
which
ø$300,000,000¿ $100,000,000 shall become available on July 1,
ø2008¿ 2009, and remain available through September 30, ø2009¿
2010: Provided, That ø$300,000,000¿ $100,000,000 shall be available
for subpart 1 of part A of title IV and ø$222,519,000¿ $181,963,000
shall be available for subpart 2 of part A of title IV, of which ønot
less than $1,500,000¿ $5,000,000, to remain available until expended,
shall be for the Project School Emergency Response to Violence
(‘‘Project SERV’’) program to provide education-related services to
local educational agencies and to institutions of higher education
in which the learning environment has been disrupted due to a violent or traumatic crisisø: Provided further, That Project SERV funds
appropriated in previous fiscal years may be used to provide services
to local educational agencies and to institutions of higher education
in which the learning environment has been disrupted due to a violent or traumatic crisis: Provided further, That $150,729,000 shall
be available to carry out part D of title V of the ESEA: Provided
further, That of the funds available to carry out subpart 3 of part
C of title II, up to $12,072,000 may be used to carry out section
2345 and $2,950,000 shall be used by the Center for Civic Education
to implement a comprehensive program to improve public knowledge,
understanding, and support of the Congress and the State legislatures¿. (Department of Education Appropriations Act, 2008.)
Program and Financing (in millions of dollars)

876
Identification code 91–0203–0–1–501

INNOVATION

AND

IMPROVEMENT
00.01
00.02
00.03
00.04

(Legislative proposal, not subject to PAYGO)
Program and Financing (in millions of dollars)
Identification code 91–0204–2–1–501

2007 actual

2008 est.

345

2009 est.

00.91

2007 actual

2008 est.

2009 est.

Obligations by program activity:
State grants ...................................................................
National activities ..........................................................
Alcohol abuse reduction ................................................
Mentoring program ........................................................

344
147
32
49

299
100
143
182
32 ...................
49 ...................

Subtotal, Safe and drug-free schools and communities .....................................................................
Character education ......................................................
Elementary and secondary school counseling ...............
Physical education program ..........................................
Civic education ..............................................................

572
24
35
73
29

523
24
48
76
32

282
...................
...................
...................
...................

Obligations by program activity:
00.01 Adjunct Teacher Corps ................................................... ................... ...................

10.00

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

01.01
02.01
03.01
04.01

22.00
23.95

10
¥10

06.00
09.00

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

733
73

703
73

282
73

10.00

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

806

776

355

21.40
22.00

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

5
811

10 ...................
766
355

23.90
23.95

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

816
¥806

24.40

Unobligated balance carried forward, end of year

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

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

10
¥1

74.40

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

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

ebenthall on PROD1PC69 with BUDGET PAG

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

10
1

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

738

693

282

70.00

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

811

766

355

72.40
73.10
73.20
73.40

74.40

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

1,233

1,161

738

86.90
86.93

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

23
804

15
833

7
771

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

827

848

778

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

¥73

OFFICE OF SAFE AND DRUG-FREE SCHOOLS
Federal Funds
AND

CITIZENSHIP EDUCATION

For carrying out activities authorized by øsubpart 3 of part C
of title II,¿ part A of title IV ø, and subparts 2, 3, and 10 of part
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706
282
¥13 ...................

87.00

The resources in this schedule are proposed for later transmittal under proposed legislation to revise and reauthorize
programs currently authorized under the Elementary and Secondary Education Act.
Adjunct teacher corps.—Funds would support partnerships
between school districts and appropriate public and/or private
institutions to enable well-qualified professionals to teach specific high-school courses in the core academic subjects, particularly mathematics and science.

SAFE SCHOOLS

355
¥355

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

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
738
40.33
Appropriation permanently reduced (P.L. 110–161) ...................
43.00
58.00

776
¥776

Frm 00007

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E:\BUDGET\EDU.XXX

EDU

1,257
1,233
1,161
806
776
355
¥827
¥848
¥778
¥3 ................... ...................

346

OFFICE OF SAFE AND DRUG-FREE SCHOOLS—Continued
Federal Funds—Continued

SAFE SCHOOLS

AND

THE BUDGET FOR FISCAL YEAR 2009
40.33

CITIZENSHIP EDUCATION—Continued

Appropriation permanently reduced (P.L. 110–161) ...................

43.00

Identification code 91–0203–0–1–501

2007 actual

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

2008 est.

738
754

693
775

282
705

Object Classification (in millions of dollars)
2007 actual

2008 est.

2009 est.

1
4
12

41.0

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

3
713

3
683

3
262

99.0
99.0

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

733
73

703
73

99.9

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

806

776

24.0
25.1
25.2
25.3

72.40
73.10
73.20
73.40

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

915

827

916

86.90
86.93

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

5
724

35
763

37
604

87.00

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

729

798

641

89.00
90.00

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

669
729

700
798

730
641

2009 est.

Note: Additional authorizing language is sought for all of
the resources requested in this account.
Safe and drug-free schools and communities:
State grants.—Funds provide formula grants to State educational agencies to provide local educational agencies with
training, technical assistance, and information regarding effective models for the creation of safe, healthy, drug-free,
and secure schools.
National programs.—Funds support programs and activities
in the areas of (1) emergency management planning, (2) preventing violence and drug use, including student drug testing,
(3) school culture and climate, including character education,
and (4) other needs related to improving students’ learning
environment to enable those students to meet challenging
academic standards.

Identification code 91–0203–0–1–501

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

74.40

Program and Financing (in millions of dollars)—Continued

Identification code 91–1300–0–1–501

2007 actual

2
708

2
728

355

99.9

666

710

730

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

OFFICE OF SPECIAL EDUCATION AND
REHABILITATIVE SERVICES
Federal Funds
SPECIAL EDUCATION

Program and Financing (in millions of dollars)
2007 actual

2008 est.

2009 est.

Obligations by program activity:
00.01 English language acquisition grants ............................

666

710

730

10.00
ebenthall on PROD1PC69 with BUDGET PAG

2009 est.

2
664

ENGLISH LANGUAGE ACQUISITION

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

666

710

730

21.40
22.00

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

7
669

10 ...................
700
730

23.90
23.95

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

676
¥666

24.40

Unobligated balance carried forward, end of year

Jkt 214754

2008 est.

282
73

For carrying out part A of title III of the Elementary and Secondary
Education Act of 1965, ø$712,848,000¿ $730,000,000, which shall become available on July 1, ø2008¿ 2009, and shall remain available
through September 30, ø2009¿ 2010, except that 6.5 percent of such
amount shall be available on October 1, ø2007¿ 2008, and shall
remain available through September 30, ø2009¿ 2010, to carry out
activities under section 3111(c)(1)(C). (Department of Education Appropriations Act, 2008.)

15:42 Jan 24, 2008

983
915
827
666
710
730
¥729
¥798
¥641
¥5 ................... ...................

Object Classification (in millions of dollars)

Federal Funds

VerDate Aug 31 2005

730

Direct obligations:
25.5 Research and development contracts ...........................
41.0 Grants, subsidies, and contributions ............................

OFFICE OF ENGLISH LANGUAGE
ACQUISITION

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

700

Note: Additional authorizing language is sought for all of
the resources requested in this account.
Language acquisition State grants.—-This program provides
formula grants to States to improve services for limited
English proficient and immigrant students. States are accountable for demonstrating that limited English proficient
students are learning English and meeting the same high
State standards as all other students. The statute also authorizes national activities including professional development
and evaluation, and requires funding for a national information clearinghouse on English language acquisition.

Identification code 91–1300–0–1–501

669

¥12 ...................

710
¥710

730
¥730

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

669
PO 00000

712

730

Frm 00008

Fmt 3616

For carrying out the Individuals with Disabilities Education Act
(‘‘IDEA’’) øand the Special Olympics Sport and Empowerment Act
of
2004,
$12,181,473,000¿,
$12,335,943,000,
of
which
ø$5,084,406,000¿ $4,446,820,000 shall become available on July 1,
ø2008¿ 2009, and shall remain available through September 30,
ø2009¿ 2010, and of which ø$6,856,444,000¿ $7,647,444,000 shall
become available on October 1, ø2008¿ 2009, and shall remain available through September 30, ø2009¿ 2010, for academic year ø2008–
2009¿ 2009–2010: øProvided, That $13,000,000 shall be for Recording
for the Blind and Dyslexic, Inc., to support activities under section
674(c)(1)(D) of the IDEA: Provided further, That $1,500,000 shall
be for the recipient of funds provided by Public Law 105–78 under
section 687(b)(2)(G) of the IDEA (as in effect prior to the enactment
of the Individuals with Disabilities Education Improvement Act of
2004) to provide information on diagnosis, intervention, and teaching
strategies for children with disabilities:¿ Provided øfurther¿, That
the amount for section 611(b)(2) of the IDEA shall be equal to the
lesser of the amount available for that activity during fiscal year
ø2007¿ 2008, increased by the amount of inflation as specified in
section 619(d)(2)(B) of the IDEA, or the percentage increase in the
funds appropriated under section 611(i) of the IDEAø: Provided further, That nothing in section 674(e) of the IDEA shall be construed
to establish a private right of action against the National Instructional Materials Access Center for failure to perform the duties of
such center or otherwise authorize a private right of action related
to the performance of such center: Provided further, That $7,500,000
shall be available to support the 2009 Special Olympics World Winter
Games¿. (Department of Education Appropriations Act, 2008.)
Sfmt 3616

E:\BUDGET\EDU.XXX

EDU

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

DEPARTMENT OF EDUCATION
Program and Financing (in millions of dollars)
Identification code 91–0300–0–1–501

2007 actual

2008 est.

2009 est.

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

10,822
378
442

9,582
377
445

10,493
374
436

00.91

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

11,642

10,404

11,303

01.01
01.02
01.03
01.04
01.05

50
49
90
26
38

23
48
88
26
39

48
48
88
26
31

01.91

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

253

224

241

02.00
02.01

Total Direct Program .................................................
11,895
Special Olympics education programs .......................... ...................

10,628
11,544
12 ...................

10.00

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

11,895

10,640

21.40
22.00

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

171
11,803

23.90
23.95

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

11,974
¥11,895

24.40

Unobligated balance carried forward, end of year

cational agencies to provide children with disabilities with
access to high quality education that will help them meet
challenging standards and prepare them for employment and
independent living.
Grants for infants and families.—Formula grants are provided to assist States to implement statewide systems of coordinated, comprehensive, multi-disciplinary interagency programs to provide early intervention services to children with
disabilities, birth through age 2, and their families.
The goal of this program is to help States provide a comprehensive system of early intervention services that will enhance child and family outcomes.
National activities.—These activities include personnel
preparation, technical assistance, and other activities to support State efforts to improve results for children with disabilities under the State Grants programs.
The goal of National Activities is to link States, school
systems, and families to best practices to improve results
for infants, toddlers, and children with disabilities.
Performance data related to program goals include:

79 ...................
10,561
11,544
10,640
¥10,640

70.00

Appropriation (total discretionary) ........................
Advance appropriation ..............................................
Total new budget authority (gross) ..........................

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

11,544
¥11,544

79 ................... ...................

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
6,379
40.33
Appropriation permanently reduced (P.L. 110–161) ...................
43.00
55.00

11,544

2003–2004
actual

5,137
5,424

11,803

10,561

4,688
6,856
11,544

9,212
9,317
8,185
11,895
10,640
11,544
¥11,778
¥11,772
¥11,938
¥12 ................... ...................

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

9,317

8,185

3,208
8,570

4,385
7,387

5,429
6,509

2005–2006
actual

54.2
13.1
30.9
1.8

54.4
15.5
28.3
1.8

56.5
15.3
26.2
1.9

Object Classification (in millions of dollars)
Identification code 91–0300–0–1–501

2007 actual

2008 est.

2009 est.

Direct obligations:
25.1 Advisory and assistance services ..................................
41.0 Grants, subsidies, and contributions ............................

6
11,888

99.0
99.5

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

11,894
10,640
11,544
1 ................... ...................

99.9

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

7,791

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

2004–2005
actual

Status of Exiting Students

Percent of students with disabilities aged 14–21 leaving
school:
Graduated with a diploma .....................................................
Graduated through certification .............................................
Dropped out of school/not known to continue .......................
Reached maximum age for services/other .............................

5,325
4,688
¥188 ...................

6,379
5,424

347

11,895

6
10,634

10,640

6
11,538

11,544

REHABILITATION SERVICES

AND

DISABILITY RESEARCH

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

$5,359
5,424

$4,091
6,856

$3,638
7,647

For carrying out, to the extent not otherwise provided, the Rehabilitation Act of 1973, the Assistive Technology Act of 1998, and the
Helen Keller National Center Act, ø$3,283,929,000¿ $3,218,264,000,
of which ø$1,000,000¿ $2,874,043,000 shall be øawarded to the American Academy of Orthotists and Prosthetists for activities that further
the purposes of the grant received by the Academy for the period
beginning October 1, 2003, including activities to meet the demand
for orthotic and prosthetic provider services and improve patient care:
Provided, That $3,155,000 of the funds for section 303 of the Rehabilitation Act of 1973 shall be available for the projects and in the
amounts specified in the explanatory statement described in section
4 (in the matter preceding division A of this consolidated Act)¿ for
grants for vocational rehabilitation services under Title I of the Rehabilitation Act of 1973. (Department of Education Appropriations Act,
2008.)

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

10,783

10,948

11,285

Program and Financing (in millions of dollars)

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

+1,432

+791

87.00

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

11,778

11,772

11,938

89.00
90.00

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

11,803
11,778

10,561
11,772

11,544
11,938

SUMMARY OF GRANTS TO STATES PROGRAM LEVEL
[In millions of dollars]

ebenthall on PROD1PC69 with BUDGET PAG

2007–2008
academic
year

2008–2009
academic
year

2009–2010
academic
year

State Grants:
Grants to States.—Formula grants are provided to States
to assist them in providing special education and related services to children with disabilities ages 3 through 21.
Preschool grants.—Formula grants provide additional funds
to States to further assist them in providing special education
and related services to children with disabilities ages 3
through 5 served under the Grants to States program.
The goal of both of these programs is to improve results
for children with disabilities by assisting State and local eduVerDate Aug 31 2005

15:42 Jan 24, 2008

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Identification code 91–0301–0–1–506

00.01
00.02
00.03
00.04
00.05
00.06
00.07
00.08
00.09
00.10
00.11
00.12

2007 actual

Obligations by program activity:
Vocational rehabilitation State grants ..........................
Client assistance State grants ......................................
Training ..........................................................................
Demonstration and training programs ..........................
Migrant and seasonal farmworkers ...............................
Recreational programs ...................................................
Protection and advocacy of individual rights ...............
Projects with industry ....................................................
Supported employment State grants .............................
Independent living .........................................................
Program improvement ....................................................
Evaluation ......................................................................

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EDU

2,837
12
38
9
2
3
16
17
30
130
1
1

2008 est.

2,874
11
38
10
2
2
16
19
29
128
1
1

2009 est.

2,874
11
38
9
...................
...................
16
...................
...................
128
1
2

348

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

REHABILITATION SERVICES

AND

THE BUDGET FOR FISCAL YEAR 2009

DISABILITY RESEARCH—Continued

Program and Financing (in millions of dollars)—Continued
Identification code 91–0301–0–1–506

00.13
00.14

2007 actual

2008 est.

2009 est.

00.15

Helen Keller National Center .........................................
National Institute on Disability and Rehabilitation Research ........................................................................
Assistive technology .......................................................

107
30

106
30

106
25

01.00
09.01

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

3,242
2

3,275
2

3,218
2

10.00

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

3,244

3,277

3,220

22.00
23.95

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

3,244
¥3,244

3,279
¥3,277

3,221
¥3,220

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
405
40.33
Appropriation permanently reduced (P.L. 110–161) ...................
43.00
58.00

410
244
¥7 ...................

60.00

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

70.00

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

72.40
73.10
73.20
73.40

74.40

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

1,430

1,102

1,062

86.90
86.93
86.97
86.98

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

77
334
1,966
800

283
406
2,012
904

172
143
2,082
863

87.00

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

3,177

3,605

3,260

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

¥2

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

3,242
3,175

3,277
3,603

3,219
3,258

ebenthall on PROD1PC69 with BUDGET PAG

89.00
90.00

405

403

244

2,837

2,874

2,975

3,244

3,279

3,221

1,396
1,430
1,102
3,244
3,277
3,220
¥3,177
¥3,605
¥3,260
¥33 ................... ...................

Vocational rehabilitation State grants.—The basic State
grants program provides Federal matching funds to State vocational rehabilitation (VR) agencies to assist individuals with
physical or mental impairments to become gainfully employed. Services are tailored to the specific needs of the individual. Priority is given to serving those with the most significant disabilities. Current law requires that between 1.0 percent and 1.5 percent of the funds appropriated for the VR
State grants program be set aside for Grants for Indians.
The program performance measures for this program are
based on State VR agency performance indicators developed
pursuant to Section 106 of the Rehabilitation Act. One of
these indicators measures the percentage of general and combined State VR agencies that assist at least 55.8 percent
of individuals receiving services to achieve an employment
outcome. In 2006, 82 percent of the agencies met this performance criterion. Another indicator measures the percentage of
general and combined State VR agencies that assist at least
85 percent of individuals with employment outcomes to
achieve competitive employment. In 2006, 96 percent of general and combined agencies met this performance criterion.
These outcome data are based on the approximately 352,140
individuals whose service records were closed in 2006 after
receiving services.
VerDate Aug 31 2005

15:42 Jan 24, 2008

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The 2009 Budget reflects a multi-year Administration effort
to reform job training programs, target resources to programs
with documented effectiveness, and eliminate funding for duplicative and overlapping programs. Consistent with this
crosscutting reform, the budget eliminates funding for three
programs (Supported Employment State Grants, Projects with
Industry, and the Migrant and Seasonal Farmworkers program). The services provided by these programs can continue
to be provided by the larger Vocational Rehabilitation State
Grants program.
Client assistance State grants.—Formula grants are made
to States to provide assistance in informing and advising clients and applicants of benefits available under the Rehabilitation Act and, if requested, to pursue legal or administrative
remedies to ensure the protection of the rights of individuals
with disabilities.
Training.—Grants are made to States and public or nonprofit agencies and organizations, including institutions of
higher education, to increase the number of skilled personnel
available for employment in the field of rehabilitation and
to upgrade the skills of those already employed.
Demonstration and training programs.—Grants are made
for programs that expand and improve the provision of rehabilitation services or that further the purposes of the Rehabilitation Act.
Protection and advocacy of individual rights.—Formula
grants are made to State protection and advocacy systems
to protect the legal and human rights of individuals with
disabilities.
Independent living.—Grants are awarded to States and nonprofit agencies to assist individuals with significant disabilities in their achievement of self-determined independent living goals. Grants are also awarded to provide support services
to older blind individuals to increase their ability to care
for their own needs.
Program improvement.—Funds are used to promote broadbased planning and coordination, improve accountability, and
enhance the Department’s ability to address critical areas
of national significance in achieving the goals of the Rehabilitation Act. Examples of program improvement activities include technical assistance, dissemination, and performance
measurement activities.
Evaluation.—Studies are conducted to evaluate the impact
and effectiveness of various programs authorized under the
Rehabilitation Act.
Helen Keller National Center for Deaf-Blind Youths and
Adults.—The Center provides services to deaf-blind youths
and adults and provides training and technical assistance
to professional and allied personnel at its national headquarters center and through its regional representatives and
affiliate agencies.
National Institute on Disability and Rehabilitation Research.—The Institute carries out a comprehensive and coordinated program of rehabilitation research and related activities. Through grants and contracts, it supports the conduct
and dissemination of research and development aimed at improving the lives of individuals with disabilities. The Institute
also promotes the development and utilization of new technologies to assist these individuals in achieving greater independence and integration into society.
Assistive technology.—Formula grants are made to States
to implement comprehensive Statewide programs designed to
maximize the ability of individuals with disabilities of all
ages to obtain assistive technology. States conduct activities
that include alternative financing programs, device reutilization programs, device loan programs, and device demonstrations. Funds also support national technical assistance activities.
Sfmt 3616

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EDU

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

DEPARTMENT OF EDUCATION
00.01
00.02

Object Classification (in millions of dollars)
Identification code 91–0301–0–1–506

2007 actual

2008 est.

2009 est.

Operations ......................................................................
56
Construction ................................................................... ...................

349
58
2

58
1

10.00

25.1
25.2
41.0

8
2
3,232

10
1
3,264

10
1
3,207

99.0
99.0

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

3,242
2

3,275
2

3,218
2

99.9

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

3,244

3,277

3,220

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

22.00
23.95

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

56
¥56

60
¥60

59
¥59

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
56
40.33
Appropriation permanently reduced (P.L. 110–161) ...................

61
59
¥1 ...................

43.00

SPECIAL INSTITUTIONS

FOR

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

72.40
73.10
73.20

PERSONS WITH DISABILITIES

AMERICAN PRINTING HOUSE FOR THE BLIND

For carrying out the Act of March 3, 1879, ø$22,000,000¿
$21,616,000. (Department of Education Appropriations Act, 2008.)

74.40

Program and Financing (in millions of dollars)

2 ...................
56
60
¥58
¥55

5
59
¥59

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

2007 actual

2008 est.

56
55
2 ...................

55
4

86.90
86.93

2009 est.

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

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

89.00
90.00

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

56
58

60
55

59
59

10.00

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

87.00

Identification code 91–0600–0–1–501

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

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

18
¥18

22
¥22

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

72.40
73.10
73.20

4
18
¥18

4
22
¥22

74.40

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

This residential program provides postsecondary technical
and professional education for people who are deaf to prepare
them for employment, provides training, and conducts applied
research into employment-related aspects of deafness. In
2007, the Federal appropriation represented 79 percent of
the Institute’s operating budget. The request includes funds
for a variety of construction projects. The request also includes funds for the Endowment Grant program.
f

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

14
4

21
1

87.00

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

89.00
90.00

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

18
18

22
22

The Federal appropriation supports: the production and distribution of free educational materials for students below the
college level who are blind, research related to developing
and improving products, and advisory services to consumer
organizations on the availability and use of materials. In
2007, the portion of the Federal appropriation allocated to
educational materials represented approximately 64.2 percent
of the Printing House’s total sales. The full appropriation
represented approximately 66.4 percent of the Printing
House’s total budget.

NATIONAL TECHNICAL INSTITUTE

ebenthall on PROD1PC69 with BUDGET PAG

Program and Financing (in millions of dollars)
Identification code 91–0602–0–1–502

00.01
00.02

2007 actual

FOR THE

Obligations by program activity:
Operations ......................................................................
107
113
Construction ................................................................... ................... ...................

2007 actual

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

107

113

119

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

107
¥107

113
¥113

119
¥119

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
107
40.33
Appropriation permanently reduced (P.L. 110–161) ...................

115
119
¥2 ...................

43.00

113

119

Change in obligated balances:
Obligated balance, start of year ................................... ................... ...................
Total new obligations ....................................................
107
113
Total outlays (gross) ......................................................
¥107
¥106

7
119
¥114

2008 est.

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

74.40
PO 00000

Frm 00011

107

2009 est.

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

Obligations by program activity:
Jkt 214754

113
6

10.00

72.40
73.10
73.20

Program and Financing (in millions of dollars)

15:42 Jan 24, 2008

2009 est.

DEAF

For the National Technical Institute for the Deaf under titles I
and II of the Education of the Deaf Act of 1986, ø$60,757,000¿
$59,195,000, of which ø$1,705,000¿ $1,175,000 shall be for construction and shall remain available until expended: Provided, That from
the total amount available, the Institute may at its discretion use
funds for the endowment program as authorized under section 207
of such Act. (Department of Education Appropriations Act, 2008.)

VerDate Aug 31 2005

2008 est.

22.00
23.95

Identification code 91–0601–0–1–502

GALLAUDET UNIVERSITY
For the Kendall Demonstration Elementary School, the Model Secondary School for the Deaf, and the partial support of Gallaudet
University under titles I and II of the Education of the Deaf Act
of 1986, ø$115,400,000¿ $119,384,000, of which $6,000,000 shall be
for construction and shall remain available until expended: Provided,
That from the total amount available, the University may at its
discretion use funds for the endowment program as authorized under
section 207. (Department of Education Appropriations Act, 2008.)

Fmt 3616

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350

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

THE BUDGET FOR FISCAL YEAR 2009

GALLAUDET UNIVERSITY—Continued
Program and Financing (in millions of dollars)—Continued
Identification code 91–0602–0–1–502

86.90
86.93

2007 actual

2008 est.

2009 est.

Outlays (gross), detail:
Outlays from new discretionary authority .....................
107
106
Outlays from discretionary balances ............................. ................... ...................

107
7

87.00

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

107

106

114

89.00
90.00

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

107
107

113
106

119
114

This institution provides undergraduate and continuing
education programs for persons who are deaf, and graduate
programs related to deafness for students who are deaf and
students who are hearing. The University also conducts basic
and applied research and provides public service programs
for persons who are deaf and persons who work with them.
Gallaudet operates two elementary and secondary education
programs on the main campus of the University. The Kendall
Demonstration Elementary School serves students who are
deaf from infancy through age 15, and the Model Secondary
School for the Deaf (MSSD) serves high school age students
who are deaf. Both schools also develop and disseminate information on effective educational techniques and strategies for
teachers and professionals working with students who are
deaf or hard of hearing.
In 2007, the appropriation for Gallaudet represented 61.0
percent of the total revenue for university-level programs and
97.8 percent of the revenue related to the elementary and
secondary schools. In addition, the University receives other
Federal funds such as student financial aid, vocational rehabilitation, Endowment Grant program income, and competitive grants and contracts. The request includes $6,000,000
for construction related to a soil stabilization problem affecting the MSSD dormitories and classroom building. The request also includes funds for the Endowment Grant program.

able for the Adult Education and Family Literacy Act, ø$7,000,000¿
$14,000,000 shall be for national leadership activities under section
243 and ø$6,583,000¿ $6,468,000 shall be for the National Institute
for Literacy under section 242 .ø: Provided further, That $81,532,000
shall be available to support the activities authorized under subpart
4 of part D of title V of the ESEA, of which up to 5 percent shall
become available October 1, 2007, and shall remain available through
September 30, 2009, for evaluation, technical assistance, school networks, peer review of applications, and program outreach activities,
and of which not less than 95 percent shall become available on
July 1, 2008, and remain available through September 30, 2009,
for grants to local educational agencies: Provided further, That funds
made available to local educational agencies under this subpart shall
be used only for activities related to establishing smaller learning
communities within large high schools or small high schools that
provide alternatives for students enrolled in large high schools¿. (Department of Education Appropriations Act, 2008.)
Program and Financing (in millions of dollars)
Identification code 91–0400–0–1–501

2007 actual

2008 est.

2009 est.

Obligations by program activity:
00.01 State grants ...................................................................
00.02 National programs .........................................................
00.04 Tech prep education State grants .................................

1,181
9
104

1,164
791
18 ...................
103 ...................

00.91
01.01
01.02
01.03

Total, Career and technical education .....................
State grants ...................................................................
National leadership activities ........................................
National Institute for Literacy .......................................

1,294
564
10
6

1,285
565
15
13

01.91
02.01
03.01

Total, adult education ...............................................
Smaller learning communities .......................................
State grants for incarcerated youth offenders ..............

580
94
23

10.00

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

1,991

2,074

21.40
22.00

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

131
1,992

132 ...................
1,942
1,366

23.90
23.95

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

2,123
¥1,991

24.40

Unobligated balance carried forward, end of year

791
554
14
7

593
575
174 ...................
22 ...................

2,074
¥2,074

1,366

1,366
¥1,366

132 ................... ...................

Federal Funds

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CAREER, TECHNICAL,

AND

ADULT EDUCATION

For carrying out, to the extent not otherwise provided, øthe Carl
D. Perkins Career and Technical Education Act of 2006,¿ the Adult
Education and Family Literacy Act, øsubpart 4 of part D of title
V of the Elementary and Secondary Education Act of 1965 (‘‘ESEA’’)
and title VIII-D of the Higher Education Amendments of 1998,
$1,976,166,000, of which $4,077,000¿ $574,590,000, which shall become available on øOctober 1, 2007 and remain available until September 30, 2009, of which $1,181,089,000 shall become available on¿
July 1, ø2008¿ 2009, and shall remain available through September
30, ø2009, and of which $791,000,000 shall become available on October 1, 2008, and shall remain available through September 30, 2009¿
2010: Provided, That of the amount provided for Adult Education
State Grants, $67,896,000 shall be made available for integrated
English literacy and civics education services to immigrants and other
limited English proficient populations: Provided further, That of the
amount reserved for integrated English literacy and civics education,
notwithstanding section 211 of the Adult Education and Family Literacy Act, 65 percent shall be allocated to States based on a State’s
absolute need as determined by calculating each State’s share of
a 10-year average of the United States Citizenship and Immigration
Services data for immigrants admitted for legal permanent residence
for the 10 most recent years, and 35 percent allocated to States
that experienced growth as measured by the average of the 3 most
recent years for which United States Citizenship and Immigration
Services data for immigrants admitted for legal permanent residence
are available, except that no State shall be allocated an amount
less than $60,000: Provided further, That of the amounts made availVerDate Aug 31 2005

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New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
1,201
40.33
Appropriation permanently reduced (P.L. 110–161) ...................

1,185
575
¥34 ...................

43.00
55.00

OFFICE OF VOCATIONAL AND ADULT
EDUCATION

Appropriation (total discretionary) ........................
Advance appropriation from prior year .....................

1,201
791

1,151
791

575
791

70.00

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

1,992

1,942

1,366

72.40
73.10
73.20
73.40

74.40

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

1,792

1,739

1,228

86.90
86.93

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

620
1,336

651
1,476

583
1,294

87.00

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

1,956

2,127

1,877

89.00
90.00

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

1,992
1,956

1,942
2,127

1,366
1,877

1,762
1,792
1,739
1,991
2,074
1,366
¥1,956
¥2,127
¥1,877
¥5 ................... ...................

Adult education:
State programs.—Funds support formula grants to States
to help eliminate functional illiteracy among the Nation’s
adults, to assist adults in obtaining a high school diploma
or its equivalent, and to promote family literacy. A portion
of the funds is reserved for formula grants to States to proSfmt 3616

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EDU

OFFICE OF POSTSECONDARY EDUCATION
Federal Funds

DEPARTMENT OF EDUCATION

vide English literacy and civics education for immigrants and
other limited English proficient adults.
National Institute for Literacy.—Funds support the Institute’s national leadership activities to improve and expand
the Nation’s system for delivery of literacy services.
National leadership activities.—Funds support discretionary
activities to evaluate the effectiveness of Federal, State, and
local adult education programs, and to test and demonstrate
methods of improving program quality.
Object Classification (in millions of dollars)
Identification code 91–0400–0–1–501

11.3
25.1
25.2
25.5
41.0

2007 actual

Direct obligations:
Personnel compensation: Other than full-time permanent ...........................................................................
Advisory and assistance services ..................................
Other services ................................................................
Research and development contracts ...........................
Grants, subsidies, and contributions ............................

1
1
6
11
1,970

2008 est.

2009 est.

1
1
6
2
12
16
5 ...................
2,048
1,345

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

00.91
01.01
01.02

99.0
99.5

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

1,989
2

2,072
2

1,364
2

01.04

99.9

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

1,991

2,074

1,366

01.05
01.06

Identification code 91–0400–0–1–501

01.91
2007 actual

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

2008 est.

2009 est.

OFFICE OF POSTSECONDARY EDUCATION
Federal Funds

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HIGHER EDUCATION
For carrying out, to the extent not otherwise provided, titles øII,¿
III, IV, V, VI, and VII of the Higher Education Act of 1965 (‘‘HEA’’),
øsection 1543 of the Higher Education Amendments of 1992,¿ the
Mutual Educational and Cultural Exchange Act of 1961, øtitle VIII
of the Higher Education Amendments of 1998, part I of subtitle
A of title VI of the America COMPETES Act, and section 117 of
the Carl D. Perkins Career and Technical Education Act of 2006,¿and
subtitle C of title VI of the America COMPETES Act, ø$2,057,801,000¿
$1,733,684,000: Provided, That ø$9,699,000¿ $9,844,000, to remain
available through September 30, ø2009¿ 2010, shall be available to
fund fellowships for academic year ø2009–2010¿ 2010–2011 under
subpart 1 of part A of title VII of the HEA, under the terms and
conditions of such subpart 1: Provided further, That ø$620,000¿
$1,609,000 is for data collection and evaluation activities for programs
under the HEA, including such activities needed to comply with the
Government Performance and Results Act of 1993: Provided further,
That notwithstanding any other provision of law, funds made available in this Act to carry out title VI of the HEA and section 102(b)(6)
of the Mutual Educational and Cultural Exchange Act of 1961 may
be used to support visits and study in foreign countries by individuals
who are participating in advanced foreign language training and
international studies in areas that are vital to United States national
security and who plan to apply their language skills and knowledge
of these countries in the fields of government, the professions, or
international development: Provided further, That of the funds referred to in the preceding proviso up to 1 percent may be used
for program evaluation, national outreach, and information dissemination activitiesø: Provided further, That the funds provided for title
II of the HEA shall be allocated notwithstanding section 210 of such
Act: Provided further, That $100,668,000 of the funds for part B
of title VII of the Higher Education Act of 1965 shall be available
for the projects and in the amounts specified in the explanatory
statement described in section 4 (in the matter preceding division
A of this consolidated Act)¿. (Department of Education Appropriations
Act, 2008.)
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2007 actual

Obligations by program activity:
00.01 Strengthening institutions .............................................
79
00.02 Strengthening tribally controlled colleges and universities ..........................................................................
24
00.03 Strengthening Alaska Native and Native Hawaiianserving institutions ...................................................
12
00.04 Strengthening historically black colleges and universities ..........................................................................
238
00.05 Strengthening historically black graduate institutions
58
00.06 Minority science and engineering improvement ............
9
00.07 Strengthening predominantly Black institutions ........... ...................
00.08 Strengthening Asian American and Native American
Pacific Islander-serving institutions ......................... ...................
00.09 Strengthening Native American-serving nontribal institutions ....................................................................... ...................

01.03

Employment Summary

351

02.01
02.02
02.03
02.04
02.05
02.06
02.07
02.08
02.91
03.01
03.02
03.03
03.04
03.05
03.06
03.07

Subtotal, aid for institutional development ..............
Other aid for institutions:
Developing Hispanic-serving institutions .................
International education and foreign language studies .........................................................................
Fund for the Improvement of Postsecondary Education ....................................................................
Demonstration projects to ensure quality higher
education for students with disabilities ..............
Interest subsidy grants .............................................
Tribally controlled postsecondary vocational and
technical institutions ............................................
Subtotal, other aid for institutions ......................
Assistance for students:
Federal TRIO programs ..............................................
Gaining early awareness and readiness for undergraduate programs (GEAR UP) .............................
Byrd honors scholarships ..........................................
Javits fellowships ......................................................
Graduate assistance in areas of national need
Thurgood Marshall legal educational opportunity ....
B.J. Stupak Olympic scholarships .............................
Child care access means parents in school ............

2008 est.

2009 est.

323
57
9
15

238
57
9
15

420

571

452

193

174

106

109

110

120

7
1

7 ...................
1 ...................

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

238

438

321

828

885

303
40
10
30
3
1
16

303
303
40 ...................
10
10
29
33
3 ...................
1 ...................
16
16

Subtotal, assistance for students ........................
1,231
1,287
1,247
Teachers for a competitive tomorrow ............................ ...................
2 ...................
Teacher quality enhancement ........................................
60
34 ...................
GPRA data/HEA program evaluation .............................
1
1
2
Underground railroad program ......................................
2
2 ...................
Advancing America through foreign language partnerships .......................................................................... ................... ...................
24
College access challenge grant program ...................... ...................
66
66
Hurricane aid for postsecondary institutions ................
30 ................... ...................

03.91

Subtotal, other higher education activities ..............

105

10.00

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

1,982

2,401

2,112

21.40
22.00

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

14
1,981

13
2,400

12
2,112

23.90
23.95

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

1,995
¥1,982

2,413
¥2,401

2,124
¥2,112

24.40

Unobligated balance carried forward, end of year

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
1,981
40.33
Appropriation permanently reduced (P.L. 110–161) ...................

2,058
1,734
¥36 ...................

43.00

2,022

1,734

378

2,400

2,112

60.00

Appropriation (total discretionary) ........................
1,981
Mandatory:
Appropriation ............................................................. ...................

70.00

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

72.40
73.10
73.20
73.40

74.40

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

2,719

3,028

2,822

86.90

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

101

Sfmt 3643

E:\BUDGET\EDU.XXX

EDU

1,981

2,746
2,719
3,028
1,982
2,401
2,112
¥1,951
¥2,092
¥2,318
¥58 ................... ...................

352

OFFICE OF POSTSECONDARY EDUCATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2009

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

86.93
86.97
86.98

2007 actual

2008 est.

Outlays from discretionary balances .............................
1,905
1,972
Outlays from new mandatory authority ......................... ...................
19
Outlays from mandatory balances ................................ ................... ...................

2009 est.

1,955
19
257

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

1,951

2,092

2,318

89.00
90.00

ebenthall on PROD1PC69 with BUDGET PAG

87.00

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

1,981
1,951

2,400
2,092

2,112
2,318

Aid for institutional development:
Strengthening institutions.—Funds support planning and
development grants for improving academic programs and financial management at schools that enroll high proportions
of disadvantaged students and have low per-student expenditures.
Strengthening tribally controlled colleges and universities.—
Mandatory (College Cost Reduction and Access Act) funds
support grants to American Indian tribally controlled colleges
and universities with scarce resources to enable them to improve and expand their capacity to serve Indian students.
Strengthening Alaska Native and Native Hawaiian-serving
institutions.—Mandatory (College Cost Reduction and Access
Act) funds support Alaska Native and Native Hawaiian-serving institutions to enable them to improve and expand their
capacity to serve Alaska Native and Native Hawaiian students.
Strengthening historically Black colleges and universities.—
Discretionary and mandatory (College Cost Reduction and Access Act) funds support grants to help historically Black undergraduate institutions to improve and expand their capacity
to serve students, and to strengthen management and fiscal
operations.
Strengthening historically Black graduate institutions.—
Funds support grants to help historically Black graduate institutions to improve and expand their capacity to serve students, and to strengthen management and fiscal operations.
Minority science and engineering improvement.—Funds support grants to predominantly minority institutions to help
them make long-range improvements in science and engineering education and to increase the participation of minorities
in scientific and technological careers.
Strengthening predominantly Black institutions.—Mandatory (College Cost Reduction and Access Act) funds support
grants to predominantly Black institutions for programs in
any of the following areas: science, technology, engineering,
or mathematics; health education; internationalization or
globalization; teacher preparation; or improving educational
outcomes of African American males.
Strengthening Asian American and Native American Pacific
Islander-serving institutions.—Mandatory (College Cost Reduction and Access Act) funds support grants to help Asian
American and Native American Pacific Islander-serving institutions to improve and expand their capacity to serve students, and to strengthen management and fiscal operations.
Strengthening Native American-serving nontribal institutions.—Mandatory (College Cost Reduction and Access Act)
funds support grants to help Native American-serving nontribal institutions to improve and expand their capacity to
serve Native American students.
Other aid for institutions:
Developing Hispanic-serving institutions.—Discretionary
funds support Hispanic-serving institutions to enable them
to improve and expand their capacity to serve students. Mandatory (College Cost Reduction and Access Act) funds provide
additional support for activities to increase the number of
Hispanic and other low income students attaining degrees
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in the fields of science, technology, engineering, or mathematics (STEM); and to develop model transfer and articulation agreements between 2-year Hispanic-serving institutions
and 4-year institutions in STEM fields.
International education and foreign language studies programs.—Funds promote the development and improvement
of domestic and overseas international and foreign language
programs, and an Institute for International Public Policy.
Fund for the improvement of postsecondary education.—
Funds support a broad range of postsecondary reform and
improvement projects, as well as international consortia programs.
Interest subsidy grants.—Balances from prior year appropriations meet mandatory interest subsidy costs of construction loan commitments made prior to 1974.
Assistance for students:
Federal TRIO programs.—Discretionary funds support postsecondary education outreach and student support services
to help individuals from disadvantaged backgrounds prepare
for, enter, and complete college and graduate studies. Mandatory (College Cost Reduction and Access Act) funds provide
additional support for the TRIO Upward Bound program.
Gaining early awareness and readiness for undergraduate
programs.—Funds support early college preparation and
awareness activities at the State and local levels to ensure
that low-income elementary and secondary school students
are prepared for and pursue postsecondary education.
Javits fellowships.—Funds support fellowships to students
of superior ability who have financial need and who are pursuing doctoral degrees in the arts, humanities, and social
sciences.
Graduate assistance in areas of national need.—Funds support fellowships to graduate students of superior ability who
have financial need for study in areas of national need.
Child care access means parents in school.—Funds support
a program designed to bolster the participation of low-income
parents in postsecondary education through the provision of
campus-based child care services.
Other activities:
GPRA data/HEA program evaluation.—Funds support data
collection and evaluation activities for programs under the
Higher Education Act of 1965, including such activities needed to comply with the Government Performance and Results
Act of 1993.
Advancing America through foreign language partnerships.—Funds support an initiative to establish fully articulated language programs of study in languages critical to
U.S. national security through grants to institutions of higher
education for partnerships with school districts for language
learning from kindergarten through high school and into advanced language learning at the postsecondary education
level.
College access challenge grant program.—Mandatory (College Cost Reduction and Access Act) funds support partnerships among Federal, State and local government entities,
and philanthropic organizations through matching challenge
grants aimed at increasing the number of underrepresented
students who enter and remain in postsecondary education.
Object Classification (in millions of dollars)
Identification code 91–0201–0–1–502

2007 actual

2008 est.

2009 est.

4
4

4
8

5
6

25.7
41.0

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

2
1
1,971

2
1
2,386

2
1
2,098

99.9

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

1,982

2,401

2,112

25.1
25.2
25.3

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EDU

OFFICE OF POSTSECONDARY EDUCATION—Continued
Federal Funds—Continued

DEPARTMENT OF EDUCATION
HOWARD UNIVERSITY
For partial support of Howard University, ø$237,392,000¿
$233,245,000, of which not less than ø$3,526,000¿ $3,600,000 shall
be for a matching endowment grant pursuant to the Howard University Endowment Act (Public Law 98–480) and shall remain available
until expended. (Department of Education Appropriations Act, 2008.)
Program and Financing (in millions of dollars)

353

$100,000,000. In addition, for administrative expenses to carry out
the Historically Black College and University Capital Financing Program entered into pursuant to part D of title III of the Higher
Education Act of 1965, ø$188,000¿ $354,000. (Department of Education Appropriations Act, 2008.)
Program and Financing (in millions of dollars)
Identification code 91–0241–0–1–502

2007 actual

2008 est.

2009 est.

00.01
00.02

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

215
29

204
29

Obligations by program activity:
00.01 Direct loan subsidy ........................................................
00.05 Reestimates of direct loan subsidy ...............................
00.06 Interest on reestimates of direct loan subsidy .............
00.09 Federal administration ...................................................

10.00

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

244

233

10.00

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

319

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

11
237

4
233

22.00
23.95

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

319
¥319

19
¥19

11
¥11

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
Mandatory:
60.00
Appropriation .............................................................

305

70.00

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

319

73.10
73.20

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

319
¥319

19
¥19

11
¥11

86.90
86.97

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

305
14

1
11
18 ...................

87.00

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

319

89.00
90.00

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

319
319

19
19

11
11

Identification code 91–0603–0–1–502

2007 actual

2008 est.

2009 est.

23.90
23.95

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

248
¥244

237
¥233

24.40

Unobligated balance carried forward, end of year

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
237
237
233
40.33
Appropriation permanently reduced (P.L. 110–161) ...................
¥4 ...................
41.00
Transferred to other accounts ...................................
¥4 ................... ...................
42.00
Transferred from other accounts ..............................
4 ................... ...................
43.00

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

237

233

Change in obligated balances:
72.40 Obligated balance, start of year ................................... ................... ...................
73.10 Total new obligations ....................................................
244
233
73.20 Total outlays (gross) ......................................................
¥244
¥223
74.40

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

10
233
¥233

233
11

219
4

219
14

87.00

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

244

223

233

89.00
90.00

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

237
244

233
223

233
233

HISTORICALLY BLACK COLLEGE AND UNIVERSITY CAPITAL FINANCING
PROGRAM ACCOUNT

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2007 actual

Direct loan levels supportable by subsidy budget authority:
115002 Historically Black Colleges and Universities .................
115003 HBCU Hurricane Supplemental ......................................
115999 Total direct loan levels ..................................................
Direct loan subsidy (in percent):
132002 Historically Black Colleges and Universities .................
132003 HBCU Hurricane Supplemental ......................................

2008 est.

2009 est.

67 ...................
61
400 ................... ...................
467 ...................
0.00
76.14

0.00
0.00

61
16.31
0.00

132999 Weighted average subsidy rate .....................................
65.22
0.00
16.31
Direct loan subsidy budget authority:
133002 Historically Black Colleges and Universities ................. ................... ...................
10
133003 HBCU Hurricane Supplemental ......................................
304 ................... ...................

ACADEMIC FACILITIES LOANS PROGRAM

For Federal administrative expenses to carry out activities related
to existing facility loans pursuant to section 121 of the Higher Education Act of 1965, ø$481,000¿ $461,000.

Notwithstanding the limitations contained in section 344(a) of the
Higher Education Act of 1965, the aggregate principal amount of
outstanding bonds insured under the Historically Black College and
University Capital Financing Program is authorized to equal but not
exceed $725,000,000, which may be used for loans to public and private historically Black colleges and universities without regard to
paragraphs (1) and (2) of section 344(a).
For the cost of guaranteed loans, $10,000,000, as authorized pursuant to title III, Part D of the Higher Education Act of 1965: Provided,
That such costs, including the cost of modifying such loans, shall
be as defined in section 502 of the Congressional Budget Act of 1974:
Provided further, That these funds are available to subsidize total
loan principal, any part of which is to be guaranteed, not to exceed
VerDate Aug 31 2005

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

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
Identification code 91–0241–0–1–502

Howard University is a private, nonprofit educational institution consisting of 12 schools and colleges. Federal funds
are used to provide partial support for university programs
as well as for the teaching hospital facilities. In 2007, Federal
funding represented approximately 50 percent of the university’s revenue.

AND

233

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

COLLEGE HOUSING

304 ...................
10
11
2 ...................
3
16 ...................
1
1
1

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133999 Total subsidy budget authority ......................................
304 ...................
10
Direct loan subsidy outlays:
134002 Historically Black Colleges and Universities ................. ................... ...................
10
134003 HBCU Hurricane Supplemental ......................................
304 ................... ...................
134999 Total subsidy outlays .....................................................
304 ...................
10
Direct loan upward reestimates:
135002 Historically Black Colleges and Universities .................
14
2 ...................
135003 HBCU Hurricane Supplemental ...................................... ...................
16 ...................
135999 Total upward reestimate budget authority ....................
14
Direct loan downward reestimates:
137001 College housing and academic facilities loans ............ ...................
137002 Historically Black Colleges and Universities ................. ...................
137003 HBCU Hurricane Supplemental ...................................... ...................

¥2 ...................
¥1 ...................
¥17 ...................

137999 Total downward reestimate budget authority ............... ...................

¥20 ...................

3510
3590

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

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1
1

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

1
1

354

OFFICE OF POSTSECONDARY EDUCATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2009

HISTORICALLY BLACK COLLEGE AND UNIVERSITY CAPITAL FINANCING
PROGRAM ACCOUNT—Continued

As required by the Federal Credit Reform Act of 1990,
this account records the subsidy costs associated with the
direct loans obligated and loan guarantees committed in 1992
and beyond, as well as any administrative expenses for the
College Housing and Academic Facilities Loans Program and
the Historically Black College and University Capital Financing Program. The subsidy amounts are estimated on a present
value basis; the administrative expenses are estimated on
a cash basis. These programs are administered separately
but consolidated in the President’s budget for presentation
purposes.
College Housing and Academic Facilities Loans Program.—
Funds for this activity pay the Federal costs for administering
the College Housing and Academic Facilities Loans (CHAFL),
College Housing Loans (CHL), and Higher Education Facilities Loans (HEFL) programs. Prior to 1994, these programs
provided financing for the construction, reconstruction, and
renovation of housing, academic, and other educational facilities. Although no new loans have been awarded since fiscal
year 1993, costs for administering the outstanding loans will
remain through 2030.
Historically Black College and University Capital Financing
Program.—The Historically Black College and University
(HBCU) Capital Financing Program provides HBCUs with
access to capital financing for the repair, renovation, and
construction of classrooms, libraries, laboratories, dormitories,
instructional equipment, and research instrumentation. The
Higher Education Amendments of 1992 granted the Department authority to enter into insurance agreements with a
private for-profit Designated Bonding Authority to guarantee
no more than $375,000,000 in outstanding principal and unpaid accrued interest combined. The bonding authority issues
the loans and maintains an escrow account in which five
percent of each institution’s principal is deposited. The program has now surpassed the statutory loan cap. The Administration’s proposal for fiscal year 2009 would increase the loan
cap to $725 million. Analysis has shown that the program
can no longer be operated as a zero subsidy program. As
a result, the Administration’s proposal would include $10 million in loan subsidy, allowing the program to guarantee an
estimated $61 million in new loans in fiscal year 2009. The
Administration will work with the Designated Bonding Authority to target available loan authority at those HBCUs
whose financial status restricts their access to traditional
sources of capital financing, such as bank loans and bond
financing. The Administration is committed to working with
Congress to identify and implement any legislative changes
as necessary to target the new loan authority in this manner.
In addition, the Administration’s proposal provides increased
funds for Federal administrative activities. These additional
funds will allow the Department to expand the technical assistance activities that it provides to HBCUs to increase their
financial stability and knowledge.

AND

ACADEMIC FACILITIES LOANS FINANCING
ACCOUNT

Program and Financing (in millions of dollars)
Identification code 91–4252–0–3–502

2007 actual

22.00
23.95

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

1
¥1

3
¥3

1
¥1

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

4
¥3

2
1

2
¥1

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

73.10
73.20

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

1
¥1

3
¥3

1
¥1

87.00

Outlays (gross), detail:
Total financing disbursements (gross) .....................

69.90

Offsets:
Against gross financing authority and financing disbursements:
Offsetting collections (cash) from:
88.00
Federal sources ..................................................... ................... ...................
¥1
88.40
Interest repayments ..............................................
¥1
¥1
¥1
88.40
Principal repayments ............................................
¥3
¥1 ...................
88.90

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

¥4

¥2

89.00
90.00

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

¥3
¥3

1
1

¥1
¥1

Status of Direct Loans (in millions of dollars)
Identification code 91–4252–0–3–502

2007 actual

Cumulative balance of direct loans outstanding:
1210 Outstanding, start of year .............................................
1251 Repayments: Repayments and prepayments .................
1290

2008 est.

2009 est.

18
15
15
¥3 ................... ...................

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 fiscal
years 1992 and 1993. The amounts in this account are a
means of financing and are not incuded in the budget totals.
Balance Sheet (in millions of dollars)
2006 actual

99.5

10
1

99.9

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

319

1499

2009 est.

2 ...................
3

18
1

2008 est.

318
1

2007 actual

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

Direct obligations: Grants, subsidies, and contributions ...........................................................................
Below reporting threshold ..............................................

41.0

2009 est.

10.00

ASSETS:
Net value of assets related to post–1991 direct loans receivable:
1401 Direct loans receivable, gross ....................................................
1402 Interest receivable ........................................................................
1405 Allowance for subsidy cost (–) ..................................................

Identification code 91–0241–0–1–502

2008 est.

Obligations by program activity:
00.02 Interest paid to Treasury ...............................................
1
08.04 Payment of interest on downward reestimates to receipt account ............................................................. ...................

Identification code 91–4252–0–3–502

Object Classification (in millions of dollars)

ebenthall on PROD1PC69 with BUDGET PAG

COLLEGE HOUSING

2007 actual

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Total assets ..................................................................................
LIABILITIES:
2103 Federal liabilities: Debt ...............................................................
2007 actual

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

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

2999
1001

16
....................
–3

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

4999

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

1999

Employment Summary
Identification code 91–0241–0–1–502

19
1
–3

4
PO 00000

2008 est.

2009 est.

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EDU

OFFICE OF POSTSECONDARY EDUCATION—Continued
Federal Funds—Continued

DEPARTMENT OF EDUCATION
COLLEGE HOUSING

AND

1999

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

Program and Financing (in millions of dollars)
2007 actual

2008 est.

2009 est.

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

10.00

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

23.90
23.95

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

221

76
185

67
154

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

261

221

4999

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

261

221

21.40
22.00
22.40

261

2999

ACADEMIC FACILITIES LOANS LIQUIDATING
ACCOUNT

Identification code 91–0242–0–1–502

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

7
¥7

HISTORICALLY BLACK COLLEGE AND UNIVERSITY CAPITAL FINANCING
DIRECT LOAN FINANCING ACCOUNT
Program and Financing (in millions of dollars)
Identification code 91–4255–0–3–502

00.01
00.02
2

41
¥27
¥9

28
¥20
¥3

27
¥19
¥3

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

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

1 ................... ...................
7
7
7
¥1 ................... ...................
7
¥7

00.91
08.02

Obligations by program activity:
Direct loan awards ........................................................
Interest paid to Treasury ...............................................

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

1
7
¥7

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

474

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year ...................
New financing authority (gross) ....................................
793
Portion applied to repay debt ........................................ ...................
Total budgetary resources available for obligation
Total new obligations ....................................................

24.40

Unobligated balance carried forward, end of year

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

2008 est.

467 ...................
7
10

Direct Program by Activities—Subtotal (1 level)
474
Payment of downward reestimate ................................. ...................

10.00

21.40
22.00
22.60

2007 actual

23.90
23.95

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

355

793
¥474

2009 est.

61
11

10
72
18 ...................
28

319 ...................
28
83
¥319
¥4
28
¥28

79
¥72

319 ...................

467 ...................

¥32
¥9

¥19
¥9

¥19
¥8

88.90

¥41

¥28

37
¥9

35
¥13

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

326

70.00

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

793

72.40
73.10
73.20

11
474
¥177

308
28
¥201

135
72
¥159

74.40

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

308

135

87.00

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

337
¥11

Outlays (gross), detail:
Total financing disbursements (gross) .....................

177

201

159

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

¥319
¥7
¥11

¥18
¥10
¥9

¥10
¥12
¥13

88.90

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

¥337

¥37

¥35

89.00
90.00

456
¥160

¥9
164

48
124

¥27

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

69.90

¥34
¥34

¥21
¥21

¥20
¥20

Status of Direct Loans (in millions of dollars)
Identification code 91–0242–0–1–502

2007 actual

2008 est.

2009 est.

Cumulative balance of direct loans outstanding:
Outstanding, start of year .............................................
Repayments: Repayments and prepayments .................

248
¥32

216
¥3

213
¥3

1290

ebenthall on PROD1PC69 with BUDGET PAG

1210
1251

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

216

213

210

As required by the Federal Credit Reform Act of 1990,
the College Housing and Academic Facilities Loans Liquidating Account records all cash flows to and from the Government resulting from direct loans obligated prior to 1992. This
account includes loans made under the College Housing and
Academic Facilities Loans, College Housing Loans, and Higher Education Facilities Loans programs, which continue to
be administered separately.

Status of Direct Loans (in millions of dollars)
Identification code 91–4255–0–3–502

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

2006 actual

2007 actual

1601
1602

ASSETS:
Direct loans, gross ......................................................................
Interest receivable ........................................................................

255
6

216
5

1699

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

261

221

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2007 actual

2008 est.

2009 est.

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

216 ...................
251 ...................

100
¥39

1150

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

467 ...................

1210

Cumulative balance of direct loans outstanding:
Outstanding, start of year .............................................

Sfmt 3643

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EDU

155

314

497

356

OFFICE OF POSTSECONDARY EDUCATION—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2009

HISTORICALLY BLACK COLLEGE AND UNIVERSITY CAPITAL FINANCING
DIRECT LOAN FINANCING ACCOUNT—Continued

03.01

Leveraging educational assistance partnership ...........

64 ...................

10.00

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

16,244

17,281

16,651

21.40
22.00
22.10

2,693
15,542

2,190
18,122

3,031
19,922

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

Status of Direct Loans (in millions of dollars)—Continued
Identification code 91–4255–0–3–502

1231
1251
1290

2007 actual

Disbursements: Direct loan disbursements ...................
Repayments: Repayments and prepayments .................

2008 est.

170
¥11

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

192
¥9

314

497

2009 est.

147
¥13
631

As required by the Federal Credit Reform Act of 1990,
this non-budgetary account records all cash flows to and from
the Federal Government resulting from direct loans obligated
in fiscal year 1996 and beyond. The Federal Financing Bank
(FFB) purchases bonds issued by the HBCU Designated Bonding Authority. Under the policies governing Federal credit
programs, bonds purchased by the FFB and supported by
the Department of Education with a letter of credit create
the equivalent of a Federal direct loan. HBCU bonds are
also available for purchase by the private sector, and these
will be treated as loan guarantees. However, the Department
anticipates that all HBCU loans will be financed by the FFB.
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 91–4255–0–3–502

2006 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 ........................................................................

2007 actual

423 ................... ...................
18,658
20,312
22,953
¥16,244
¥17,281
¥16,651
¥224 ................... ...................
2,190

3,031

6,302

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
15,542
40.33
Appropriation permanently reduced (P.L. 110–161) ...................

16,114
17,832
¥33 ...................

43.00

16,081

60.00

Appropriation (total discretionary) ........................
15,542
Mandatory:
Appropriation ............................................................. ...................

70.00

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

72.40
73.10
73.20
73.40
73.45

74.40

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

319

15,542

17,832

2,041

2,090

18,122

19,922

8,723
9,559
9,993
16,244
17,281
16,651
¥14,927
¥16,847
¥18,620
¥58 ................... ...................
¥423 ................... ...................
9,559

9,993

8,024

Outlays (gross), detail:
Outlays from new discretionary authority .....................
4,112
Outlays from discretionary balances .............................
10,815
Outlays from new mandatory authority ......................... ...................
Outlays from mandatory balances ................................ ...................

4,731
11,554
559
3

5,246
11,348
564
1,462

155
3

314
5

86.90
86.93
86.97
86.98

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

158

319

87.00

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

14,927

16,847

18,620

Total assets ..................................................................................
LIABILITIES:
Federal liabilities:
2102 Interest payable ............................................................................
2103 Debt ...............................................................................................
2201 Non-Federal liabilities: Undisbursed direct loans .....................

180

638

3
155
22

5
314
319

89.00
90.00

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

15,542
14,927

18,122
16,847

19,922
18,620

2999

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

180

638

4999

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

180

638

1499
1999

Status of Direct Loans (in millions of dollars)
Identification code 91–0200–0–1–502

OFFICE OF FEDERAL STUDENT AID
Federal Funds

1290

STUDENT FINANCIAL ASSISTANCE
(INCLUDING

øRESCISSION¿

CANCELLATION)

ebenthall on PROD1PC69 with BUDGET PAG

For carrying out øsubparts¿ subpart 1ø, 3, and 4¿ of part A andø,¿
part C øand part E¿ of title IV of the Higher Education Act of
1965, ø$16,114,317,000¿ $17,831,551,000, which shall remain available through September 30, ø2009¿ 2010.
The maximum Pell Grant for which a student shall be eligible
during award year ø2008–2009¿ 2009–2010 shall be ø$4,241¿ $4,310.
Of the unobligated funds available under section 401A(e)(1)(C) of
the Higher Education Act of 1965, ø$525,000,000¿ $652,000,000 are
ørescinded¿ hereby permanently cancelled. (Department of Education
Appropriations Act, 2008.)
Program and Financing (in millions of dollars)
Identification code 91–0200–0–1–502

2007 actual

Obligations by program activity:
01.01 Federal Pell grants ........................................................
02.01 Federal supplemental educational opportunity grants
(SEOG) .......................................................................
02.02 Federal work-study .........................................................
02.04 Federal Perkins loans: Loan cancellations ....................
02.91

Campus-based activities—Subtotal (1 level) ..........

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Jkt 214754

14,357
772
985
65
1,822
PO 00000

2008 est.

15,412

2009 est.

15,671

759 ...................
982
980
64 ...................
1,805

980

Frm 00018

Fmt 3616

2007 actual

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

2008 est.

2009 est.

322
¥25

313
¥25

304
¥24

¥14
30

¥13
29

¥13
28

313

304

295

Notes: Figures include, in all years, institutional matching share of defautled notes assigned from institutions to the Education Department.

Funding from the Student Financial Assistance account and
related matching funds would provide nearly 6.6 million
awards totaling over $19.4 billion in available aid in award
year 2009–2010.
Federal Pell Grants.—Pell Grants are the single largest
source of grant aid for postsecondary education. Funding for
this program is provided from two sources: discretionary appropriations and, beginning in fiscal year 2008, mandatory
funding authorized under the College Cost Reduction and Access Act of 2007. In 2008, more than 5.7 million undergraduates will receive up to $4,241 from discretionary funding and
an additional $490 from mandatory funds to help pay for
postsecondary education. Undergraduate students establish
eligibility for these grants under award and need determination rules set out in the authorizing statute and the annual
appropriations act.
Federal Work Study.—Federal funds are awarded by formula to qualifying institutions, which provide part-time jobs
Sfmt 3616

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EDU

OFFICE OF FEDERAL STUDENT AID—Continued
Federal Funds—Continued

DEPARTMENT OF EDUCATION

to eligible undergraduate and graduate students. Hourly earnings under this program must be at least equal to the Federal
minimum wage. Federal funding in most cases pays 75 percent of a student’s hourly wages, with the remaining 25 percent paid by the employer. The Federal Work-Study program
also requires participating institutions to use at least seven
percent of the total funds granted to compensate students
employed in community service jobs. The 2009 Budget includes $980 million for Work-Study, which would generate
$1.2 million in new aid to nearly 800,000 students.
Funding tables.—The following tables display student aid
funds available, the number of aid awards, average awards,
and the unduplicated count of recipients from any Federal
student aid program. The tables include aid from programs
in the Student Financial Assistance account, as well as aid
from the Academic Competitiveness/SMART Grant, TEACH
Grant, Federal Family Education Loan, William D. Ford Direct Student Loan, and proposed Loans for Short-Term Training programs. Loan amounts reflect the capital actually
loaned, not the Federal cost of these loans. The data in these
tables include matching funds wherever appropriate. The
2009 data in these tables reflect the Administration’s legislative proposals.

Academic competitiveness grants .....................................
SMART grants .....................................................................
TEACH grants .....................................................................
Guaranteed student loans-Stafford loans .........................
Guaranteed student loans-Unsubsidized Stafford loans
Guaranteed student loans-PLUS ........................................
Guaranteed student loans-Consolidation ...........................
Direct student loans-Stafford loans ..................................
Direct student loans-Unsubsidized Stafford loans ............
Direct student loans-PLUS .................................................
Direct student loans—Consolidation .................................
Perkins loans ......................................................................
Loans for short-term training ............................................
Work-study ..........................................................................
Supplemental educational opportunity grants ...................
Leveraging educational assistance partnerships ..............

768
3,194
0
3,592
4,538
10,798
28,072
3,914
4,673
9,895
23,074
2,190
0
1,478
764
1,000

357

787
3,291
2,774
3,724
4,688
11,152
29,667
4,093
4,887
10,410
23,396
2,190
0
1,478
764
1,000

762
3,176
2,780
3,738
4,733
11,726
30,752
4,109
4,939
10,943
23,697
0
962
1,478
0
0

10,560

10,857

NUMBER OF STUDENTS AIDED
[in thousands]

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

10,075

ADMINISTRATIVE PAYMENTS TO INSTITUTIONS
[in thousands of dollars]
2006

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

27,140
73,267
39,035
44,180

2007

2008

27,890
73,277
38,353
44,136

28,820
73,277
0
0

AID FUNDS AVAILABLE FOR POSTSECONDARY EDUCATION AND TRAINING
f

[in thousands]
2007

2008

2009

Pell grants ................................................................................... 14,381,860 16,428,110 18,180,180
Academic competitiveness grants ..............................................
350,000
440,000
490,000
SMART grants ..............................................................................
230,000
260,000
270,000
TEACH grants ..............................................................................
0
86,000
114,000
Student loans:
Guaranteed student loans:
Stafford loans ..................................................................... 21,712,624 24,049,531 24,866,360
Unsubsidized Stafford loans .............................................. 21,400,361 23,384,163 24,696,064
PLUS ................................................................................... 8,206,854 8,808,082 9,745,297
Direct student loans:
Stafford loans ..................................................................... 5,780,587 6,247,573 6,453,401
Unsubsidized Stafford loans .............................................. 4,918,136 5,307,183 5,597,101
PLUS ................................................................................... 2,323,383 2,548,716 2,816,018
Consolidation:
FFEL .................................................................................... 46,940,683 33,939,925 38,862,640
Direct Loans ....................................................................... 3,484,288 4,116,185 4,425,596
Perkins loans .......................................................................... 1,104,497 1,103,398
0
Loans for short-term training .................................................
0
0
362,593
Student loans, subtotal ................................................. 115,871,414 109,504,756 117,825,070
Work study ................................................................................... 1,171,225 1,171,395 1,171,395
Supplemental educational opportunity grants ............................
975,865
958,816
0
Leveraging educational assistance partnerships .......................
164,961
161,555
0
Total aid available ......................................................... 133,145,324 129,010,631 138,050,645

NUMBER OF AID AWARDS
[in thousands]

ebenthall on PROD1PC69 with BUDGET PAG

2007

2008

2009

Pell grants ..........................................................................
Academic competitiveness grants .....................................
SMART grants .....................................................................
TEACH grants .....................................................................
Guaranteed student loans-Stafford loans .........................
Guaranteed student loans-Unsubsidized Stafford loans
Guaranteed student loans-PLUS ........................................
Guaranteed student loans-Consolidation ...........................
Direct student loans-Stafford loans ..................................
Direct student loans-Unsubsidized Stafford loans ............
Direct student loans-PLUS .................................................
Direct student loans—Consolidation .................................
Perkins loans ......................................................................
Loans for short-term training ............................................
Work-study ..........................................................................
Supplemental educational opportunity grants ...................
Leveraging eduational assistance partnerships ................

5,428
456
72
0
6,044
4,715
760
1,672
1,477
1,052
235
151
504
0
792
1,227
165

5,578
559
79
31
6,458
4,988
790
1,144
1,526
1,086
245
176
504
0
793
1,255
162

5,764
643
85
41
6,653
5,218
831
1,264
1,571
1,133
257
187
0
377
793
0
0

Total awards ..................................................................

24,801

25,372

ACADEMIC COMPETITIVENESS/SMART GRANT PROGRAM
Program and Financing (in millions of dollars)
Identification code 91–0205–0–1–502

2007 actual

2008 est.

2009 est.

Obligations by program activity:
00.01 ACG/SMART Grants ........................................................

1,024

352

730

10.00

1,024

352

730

395

308

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

Budgetary resources available for obligation:
New budget authority (gross) ........................................
850
Resources available from recoveries of prior year obligations ....................................................................... ...................
22.30 Expired unobligated balance transfer to unexpired account ..........................................................................
743
22.00
22.10

23.90
23.95
23.98

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

1,593
¥1,024
¥569

45 ...................
569

657

1,009
¥352
¥657

965
¥730
¥235

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation ............................................................. ................... ...................
¥652
Mandatory:
60.00
Appropriation .............................................................
850
920
960
60.35
Appropriation permanently reduced (H.R. 2764) ...... ...................
¥525 ...................
62.50

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

850

395

960

70.00

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

850

395

308

24,816

72.40
73.10
73.20
73.45

Change in obligated balances:
Obligated balance, start of year ...................................
3
Total new obligations ....................................................
1,024
Total outlays (gross) ......................................................
¥449
Recoveries of prior year obligations .............................. ...................

578
286
352
730
¥599
¥705
¥45 ...................

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

578

286

311

86.97
86.98

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

446
3

70
529

76
629

87.00

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

449

599

705

89.00
90.00

AVERAGE AID AWARDS

74.40

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

850
449

395
599

308
705

[in whole dollars]
2007

Pell grants ..........................................................................
VerDate Aug 31 2005

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2,650
PO 00000

2008

2009

2,945

3,154

Frm 00019

Fmt 3616

These need-based programs provide grants to U.S citizens
who attend school on a full-time basis. Students receiving
Sfmt 3616

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EDU

358

OFFICE OF FEDERAL STUDENT AID—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2009
Direct loan subsidy budget authority:
133001 TEACH Grants ................................................................. ...................

ACADEMIC COMPETITIVENESS/SMART GRANT PROGRAM—Continued

grants must be eligible to receive a Pell Grant and, for second-, third-, and fourth-year students, must maintain at least
a 3.0 grade point average.
Academic Competitiveness Grants (ACG). These grants are
awarded to first-year and second-year students who have completed a rigorous course of study in high school. Grant levels
are $750 for first-year students and $1,300 for second-year
students.
Science and Mathematics Access to Retain Talent (SMART)
Grants. These grants are awarded to third-year and fourthyear students pursuing a major in mathematics, science, or
a foreign language deemed critical to national security. Grant
levels are $4,000 for both third- and fourth-year students.
Taken together with other Federal student aid, grants cannot exceed a student’s cost of attendance. Program funding
in excess of the amount needed to fund grants in a given
year can be carried over for use in subsequent years; if the
mandatory funding level is insufficient to fund program
grants, grant levels are reduced.
In 2009, the Administration proposes to rescind $652 million in unobligated balances. Remaining balances are sufficient to meet estimated demand in these programs through
the 2010–2011 academic year, when the authorizing statute
specifies the program will sunset.
f

TEACH GRANT PROGRAM ACCOUNT
Program and Financing (in millions of dollars)
Identification code 91–0206–0–1–502

2007 actual

2008 est.

2009 est.

133999 Total subsidy budget authority ...................................... ...................
Direct loan subsidy outlays:
134001 TEACH Grants ................................................................. ...................

134999 Total subsidy outlays ..................................................... ...................

The TEACH grant program, authorized by the College Cost
Reduction and Access Act of 2007, awards annual grants of
up to $4,000 to full- or part-time undergraduate and graduate
students who agree to teach mathematics, science, foreign
languages, bilingual education, or special education, or reading at a high-poverty school for not less than four years
within eight years of graduating. The program will begin
awarding grants in the 2008–2009 award year. Students must
have a grade point average of 3.25 or higher to be eligible
to receive a grant. Students who fail to fulfill the service
requirements must repay the grants, including interest accrued from the time of award.
Because TEACH grants turn into loans in cases where the
service requirements are not fulfilled, for budget and accounting purposes the program is operated consistent with the
requirements of the Federal Credit Reform Act of 1990. This
program account records subsidy costs reflecting the net
present value of the estimated lifetime Federal program costs
for grants awarded in a given fiscal year. Under this approach
the subsidy cost reflects the cost of grant awards net of expected future repayments for grants that are converted to
loans. This treatment will be reexamined for the 2010 Budget,
following a review of program implementation and the completion of final program regulations a different approach may
ultimately be deemed more appropriate.

00.01

Obligations by program activity:
TEACH Grant subsidy ..................................................... ...................

10.00

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

TEACH GRANT FINANCING ACCOUNT

22.00
23.95

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

7
¥7

14
¥14

24.40

Program and Financing (in millions of dollars)

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

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

72.40
73.10
73.20
74.40

86.97
86.98
87.00

Identification code 91–4290–0–3–502

2007 actual

2008 est.

2009 est.

Obligations by program activity:
00.01 TEACH Grants ................................................................. ...................
00.02 Interest payments to Treasury ....................................... ...................

57
1

105
4

109

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year ................... ...................
New financing authority (gross) .................................... ...................
61
Portion applied to repay debt ........................................ ................... ...................

3
120
¥3

10.00

Change in obligated balances:
Obligated balance, start of year ................................... ................... ...................
Total new obligations .................................................... ...................
7
Total outlays (gross) ...................................................... ...................
¥3

4
14
¥11

21.40
22.00
22.60

23.90
23.95

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

61
¥58

120
¥109

Outlays (gross), detail:
Outlays from new mandatory authority ......................... ...................
3
Outlays from mandatory balances ................................ ................... ...................

8
3

24.40

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

New financing authority (gross), detail:
Mandatory:
67.10
Authority to borrow .................................................... ...................
69.00
Spending authority from offsetting collections: Offsetting collections (cash) ..................................... ...................

105

70.00

120

Change in obligated balances:
Obligated balance, start of year ................................... ................... ...................
Total new obligations .................................................... ...................
58
Total financing disbursements (gross) ......................... ...................
¥31

27
109
¥100

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

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

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

7
3

14
11

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
ebenthall on PROD1PC69 with BUDGET PAG

Identification code 91–0206–0–1–502

2007 actual

Direct loan levels supportable by subsidy budget authority:
115001 TEACH Grants ................................................................. ...................
115999 Total direct loan levels .................................................. ...................
Direct loan subsidy (in percent):
132001 TEACH Grants ................................................................. ...................
132999 Weighted average subsidy rate ..................................... ...................
VerDate Aug 31 2005

15:42 Jan 24, 2008

Jkt 214754

PO 00000

2008 est.

2009 est.

72.40
73.10
73.20

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

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

74.40
57

105

13.03

13.05

13.03

13.05

Frm 00020

Fmt 3616

87.00

Outlays (gross), detail:
Total financing disbursements (gross) ..................... ...................

100

105

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

Offsets:
Against gross financing authority and financing disbursements:
Sfmt 3643

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EDU

OFFICE OF FEDERAL STUDENT AID—Continued
Federal Funds—Continued

DEPARTMENT OF EDUCATION

88.00
88.40

Offsetting collections (cash) from:
Federal sources ..................................................... ...................
Non-Federal sources ............................................. ...................

¥3
¥1

¥11
¥4

88.90

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

¥4

¥15

Status of Direct Loans (in millions of dollars)

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

57
27

105
85

2007 actual

2008 est.

2009 est.

Position with respect to appropriations act limitation
on obligations:
1111 Limitation on direct loans ............................................. ................... ................... ...................
1131 Direct loan obligations exempt from limitation ............ ...................
57
105
1150

1210
1231
1251
1261
1264
1290

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: Other adjustments, net (+ or
-) ................................................................................

Identification code 91–0219–4–1–502

105

................... ...................
29
...................
30
96
...................
¥1
¥4
................... ................... ...................

121

As required by the Federal Credit Reform Act of 1990,
this nonbudgetary account records all cash flows to and from
the Government resulting from the TEACH Grant program.
Amounts in this account are a means of financing and are
not included in the budget totals.

Program and Financing (in millions of dollars)
2007 actual

2008 est.

Obligations by program activity:
Institutional Share of Perkins Collections ..................... ................... ...................

240

10.00

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

240

22.00
23.95

240
¥240

New budget authority (gross), detail:
Mandatory:
Spending authority from offsetting collections:
69.00
Offsetting collections (cash) ................................ ................... ...................
69.27
Capital transfer to general fund .......................... ................... ...................

STUDENT AID ADMINISTRATION
For Federal administrative expenses to carry out part D of title
I, and subparts 1, 3, and 4 of part A, and parts B, C, D, and
E of title IV of the Higher Education Act of 1965, ø$708,216,000¿
$714,000,000, which shall remain available until expended. (Department of Education Appropriations Act, 2008.)
Program and Financing (in millions of dollars)
Identification code 91–0202–0–1–502

ebenthall on PROD1PC69 with BUDGET PAG

2008 est.

2009 est.

718

696

714

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

718

696

714

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

718
¥718

696
¥696

714
¥714

240
¥240

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

¥1,356

¥1,116
¥1,116

Frm 00021

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
720
708
714
40.33
Appropriation permanently reduced (P.L. 110–161) ...................
¥12 ...................
40.35
Appropriation permanently reduced ..........................
¥1 ................... ...................
41.00
Transferred to other accounts ...................................
¥1 ................... ...................
43.00

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

718

696

714

44
718
¥429

333
696
¥629

400
714
¥688

74.40

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

333

400

426

86.90
86.93

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

394
35

401
228

412
276

87.00

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

429

629

688

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

718
429

696
629

714
688

240

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

PO 00000

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

89.00
90.00

1,356
¥1,116

240

Jkt 214754

2007 actual

72.40
73.10
73.20

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

15:42 Jan 24, 2008

7,390

2009 est.

01.01

VerDate Aug 31 2005

¥54
8,200

The 2009 Budget proposes to eliminate the Perkins Loan
program and to recall the entire Federal portion of revolving
funds held by participating institutions. The program is duplicative of the larger and more broadly available Federal Family Education Loan and Federal Direct Student Loan programs. The Perkins Loan account records amounts recalled
from Perkins Loan institutions and subsequent repayments
on outstanding Perkins Loans, as well as reimbursements
of institutional funds to participating schools.

24.40

89.00
90.00

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

22.00
23.95

(Legislative proposal, subject to PAYGO)

73.10
73.20

................... ................... ...................
................... ...................
¥756

10.00

PERKINS LOAN ASSETS

69.90

2009 est.

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

Identification code 91–0219–4–1–502

2008 est.

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

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

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

2007 actual

Status of Direct Loans (in millions of dollars)
Identification code 91–4290–0–3–502

359

Fmt 3616

The Department of Education manages Federal student aid
programs that will provide $138 billion in Federal student
aid grants and loans to 10.9 million students and parents
in 2009. Primary responsibility for administering these programs lies with the Office of Postsecondary Education and
the performance-based Federal Student Aid (FSA), which are
both overseen by the Office of the Under Secretary. FSA
was created by Congress in 1998 with a mandate to improve
Sfmt 3616

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EDU

360

OFFICE OF FEDERAL STUDENT AID—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2009
69.00
69.27

STUDENT AID ADMINISTRATION—Continued

service to students and other student aid program participants, reduce student aid administration costs, and improve
accountability and program integrity.
The 2009 Budget includes $714 million for student aid administration. Most of these funds support systems maintained
by private contractors to process student aid applications;
provide and track aid awards to students, parents, and
schools; and service the over-$100 billion portfolio of William
D. Ford Direct Student Loans.
Consistent with the 2008 Budget, the Department of Education and the Internal Revenue Service are continuing the
implementation of a process to verify students’ (and their
parents’) income, tax and certain household information appearing on their income tax return that they provided as
part of their application for Federal student aid. This process
is part of ongoing efforts to ensure students receive the correct amount of Federal student aid, and is a key component
of the Administration’s efforts to reduce erroneous payments
government-wide.
Object Classification (in millions of dollars)
Identification code 91–0202–0–1–502

2007 actual

Direct 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
24.0
25.1
25.2
25.3
25.7
26.0
31.0
32.0
99.9

2008 est.

2009 est.

94
108
111
4 ................... ...................
2
2
2

Total personnel compensation ..............................
100
Civilian personnel benefits ............................................
25
Travel and transportation of persons ............................
3
Rental payments to GSA ................................................
15
Communications, utilities, and miscellaneous charges
7
Printing and reproduction ..............................................
7
Advisory and assistance services ..................................
6
Other services ................................................................
36
Other purchases of goods and services from Government accounts ...........................................................
11
Operation and maintenance of equipment ...................
503
Supplies and materials .................................................
1
Equipment ......................................................................
4
Land and structures ...................................................... ...................

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

8,517

9,304

9,843

73.10
73.20

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

7,978
¥7,978

9,162
¥9,162

9,674
¥9,673

86.97
86.98

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

7,966
12

9,304
¥142

9,843
¥170

87.00

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

7,978

9,162

9,673

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

¥7,966
¥805

¥8,630
¥674

¥9,118
¥725

88.90

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

¥8,771

¥9,304

¥9,843

89.00
90.00

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

The Higher Education Amendments of 1998 clarified that
reserve funds held by public and non-profit guaranty agencies
participating in the Federal Family Education Loan (FFEL)
program are Federal property. These reserves are used to
pay default claims from FFEL lenders and fees to support
agency efforts to avert defaults. The Federal Government reimburses these reserves for default claim payments.
The following schedule reflects the balances in these guaranty agency funds. During 2008, OMB, Treasury and the
Department will continue an ongoing review of the budgetary
and financial presentation of these funds in the context of
relevant laws and guidance.

12
464
1
1
1

Identification code 91–4257–0–3–502

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

579

1,105

696

718

113
30
5
16
6
8
4
53

714

1999

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

579

1,105

579

1,105

3999

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

579

1,105

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

579

1,105

2008 est.

1,050

1,140

2009 est.

Balance Sheet (in millions of dollars)

1,140

Program and Financing (in millions of dollars)

2007 actual

Identification code 91–0243–0–1–502
2008 est.

2009 est.

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

7,978

9,162

9,674

10.00

ebenthall on PROD1PC69 with BUDGET PAG

01.02

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

7,978

9,162

9,674

21.40
22.00
22.40

23.90
23.95

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

9,083
¥7,978

10,409
¥9,162

11,090
¥9,674

24.40

Unobligated balance carried forward, end of year

1,105

1,247

1,416

579
1,105
1,247
8,517
9,304
9,843
¥13 ................... ...................

Jkt 214754

2007 actual

2008 est.

2009 est.

Obligations by program activity:
00.01 Direct Loan Subsidy .......................................................
265
256
00.03 Subsidy modification, upward ....................................... ...................
4,143
00.05 Upward Reestimate ........................................................
3,614
885
00.06 Interest on Upward Reestimate .....................................
1,088
273
00.09 Administrative expenses ................................................
4 ...................
10.00

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

21.40
22.00
22.10

385
...................
...................
...................
...................

4,971

5,557

385

28
4,967

28
5,532

3
385

4 ................... ...................

PO 00000

Frm 00022

Fmt 3616

23.90
23.95

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

4,999
¥4,971

5,560
¥5,557

388
¥385

24.40

New budget authority (gross), detail:
Mandatory:
Spending authority from offsetting collections:
15:42 Jan 24, 2008

2007 actual

FEDERAL DIRECT STUDENT LOAN PROGRAM PROGRAM ACCOUNT

Program and Financing (in millions of dollars)

VerDate Aug 31 2005

2006 actual

FEDERAL STUDENT LOAN RESERVE FUND

Identification code 91–4257–0–3–502

¥254 ................... ...................
¥793
¥142
¥170

12
456
1
1
1

2007 actual

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

69.90

110
29
4
15
4
8
5
50

Employment Summary

1001

8,771
9,304
9,843
¥254 ................... ...................

4999

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

Identification code 91–0202–0–1–502

Offsetting collections (cash) ................................
Capital transfer to general fund ..........................

Unobligated balance carried forward, end of year

Sfmt 3643

E:\BUDGET\EDU.XXX

EDU

OFFICE OF FEDERAL STUDENT AID—Continued
Federal Funds—Continued

DEPARTMENT OF EDUCATION
New budget authority (gross), detail:
Mandatory:
60.00
Appropriation (indefinite)—loan subsidy .................
265
60.00
Appropriation—upward modification ........................ ...................
60.00
Appropriation (indefinite)—Upward reestimate .......
4,702
60.36
Unobligated balance permanently reduced .............. ...................

256
385
4,143 ...................
1,158 ...................
¥25 ...................

62.50

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

5,532

72.40
73.10
73.20
73.40
73.45

74.40

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

86.93
86.97
86.98

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

87.00

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

5,391

5,609

402

89.00
90.00

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

4,967
5,391

5,532
5,609

385
402

137001
137002
137003
137004
137005

Stafford ..........................................................................
¥157
Unsubsidized Stafford ....................................................
¥45
PLUS ...............................................................................
¥61
Consolidation .................................................................
¥870
Federal Direct Student Loan Reestimates ..................... ...................

137999 Total downward reestimate budget authority ...............
4,967

212
52
17
4,967
5,557
385
212 ................... ...................

Summary of Budget Authority and Outlays
(in millions of dollars)
2007 actual

2008 est.

2009 est.

Enacted/requested:
Budget Authority .....................................................................
4,967
5,532
Outlays ....................................................................................
5,391
5,609
Legislative proposal, subject to PAYGO:
Budget Authority ..................................................................... .................... ....................
Outlays .................................................................................... .................... ....................

–56
–56

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

329
346

4,967
5,391

5,532
5,609

385
402

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
Identification code 91–0243–0–1–502

2007 actual

Direct loan levels supportable by subsidy budget authority:
115001 Stafford ..........................................................................
115002 Unsubsidized Stafford ....................................................
115003 PLUS ...............................................................................
115004 Consolidation .................................................................

2009 est.

6,235
5,562
2,560
4,493

6,946
6,047
2,701
4,197

7,174
6,378
2,984
4,512

18,850

19,891

21,048

10.11
¥7.84
¥8.13
6.05

9.74
¥10.31
¥11.75
9.88

10.92
¥9.82
¥11.75
11.03

1.37

0.76

1.44

630
¥436
¥208
272

609
¥547
¥300
407

705
¥550
¥331
488

258

169

312

570
¥374
¥175
274

588
¥485
¥262
405

681
¥553
¥318
488

134999 Total subsidy outlays .....................................................
295
Direct loan upward reestimates:
135001 Stafford ..........................................................................
382
135002 Unsubsidized Stafford ....................................................
732
135003 PLUS ...............................................................................
166
135004 Consolidation .................................................................
3,571
135005 Federal Direct Student Loan Reestimates ..................... ...................

246

298

...................
...................
...................
...................
1,158

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

115999 Total direct loan levels ..................................................
Direct loan subsidy (in percent):
132001 Stafford ..........................................................................
132002 Unsubsidized Stafford ....................................................
132003 PLUS ...............................................................................
132004 Consolidation .................................................................
132999 Weighted average subsidy rate .....................................
Direct loan subsidy budget authority:
133001 Stafford ..........................................................................
133002 Unsubsidized Stafford ....................................................
133003 PLUS ...............................................................................
133004 Consolidation .................................................................

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2008 est.

133999 Total subsidy budget authority ......................................
Direct loan subsidy outlays:
134001 Stafford ..........................................................................
134002 Unsubsidized Stafford ....................................................
134003 PLUS ...............................................................................
134004 Consolidation .................................................................

135999 Total upward reestimate budget authority ....................
Direct loan downward reestimates:
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...................
...................
...................
...................
...................

¥574 ...................

385

517
70
18
4,971
5,557
385
¥5,391
¥5,609
¥402
¥23 ................... ...................
¥4 ................... ...................
70

¥1,133

...................
...................
...................
...................
¥574

361

Fmt 3616

The Federal Government operates two major student loan
programs: the Federal Family Education Loan (FFEL) program and the William D. Ford Federal Direct Loan (Direct
Loan) program. For 2009, the President is committed to improving the efficiency of both programs and allowing institutions of higher education to choose which of these two programs best meets their needs and the needs of their students.
This summary section outlines the structure of these two
programs, highlights their differences and similarities, and
provides text tables displaying program cost data; loan volume, subsidy, default, and interest rates; and other descriptive information. This section also concludes with a comprehensive discussion of the Administration’s policy proposals
for the Federal student financial aid programs.
From its inception in 1965 through 2007, the FFEL program has provided $735 billion in loans to postsecondary students and their parents. Since July 1, 1994, the Direct Loan
program has provided $194 billion in new and consolidation
loans to students and parents. Taken together, the FFEL
and Direct Loan programs will make over $70 billion in new
loans available in 2008. Because funding for these two programs is provided on a permanent indefinite basis, for budget
purposes they are considered separately from other Federal
student financial assistance programs. The FFEL and Direct
Loan programs should be viewed in combination with these
other programs, however, as part of the overall Federal effort
to expand access to higher education.
Loan capital in the FFEL program is provided by private
lenders. State and private nonprofit guaranty agencies act
as agents of the Federal Government, providing a variety
of services including collection of some defaulted loans, default
avoidance activities, and counseling to schools, students, and
lenders. The Government provides substantial payments to
these guaranty agencies. The Government also pays interest
subsidies to lenders for certain borrowers, as well as most
costs associated with loan defaults and other write-offs.
The Direct Loan program was created by the Student Loan
Reform Act of 1993. Under this program, the Federal Government provides loan funds to postsecondary institutions directly. The Direct Loan program began operation in academic
year 1994–1995 with 7 percent of overall loan volume and
is expected to account for 20 percent in academic year 2008–
2009. All eligible institutions are free to participate in either
the Direct Loan or FFEL program.
The Direct Loan and FFEL programs share many basic
elements. Each program offers four types of loans: Stafford,
Unsubsidized Stafford, PLUS, and Consolidation. Evidence of
financial need is required for a student to receive a subsidized
Stafford loan. The other three loan programs are available
to borrowers at all income levels. Loans can be used only
to meet qualified educational expenses.
For Stafford Loans made on or after July 1, 2006, and
before July 1, 2008, the borrower interest rate is fixed at
6.8 percent. The College Cost Reduction and Access Act of
2007 (CCRAA) included a phased interest rate reduction for
new Stafford Loans, with fixed rates dropping to 6.0 percent
on July 1, 2008, 5.6 percent on July 1, 2009, 4.5 percent
on July 1, 2010, and 3.4 percent on July 1, 2011. Rates
for new loans originated on or after July 1, 2012, return
to 6.8 percent. For most loans made immediately prior to
July 1, 2006, the borrower interest rate equals the 91-day
Treasury bill rate plus 1.7 percent during in-school, grace,
and deferment periods, and the 91-day Treasury bill plus
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362

OFFICE OF FEDERAL STUDENT AID—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2009

ebenthall on PROD1PC69 with BUDGET PAG

FEDERAL DIRECT STUDENT LOAN PROGRAM PROGRAM ACCOUNT—
Continued

2.3 percent at all other times, with a cap of 8.25 percent,
adjusted annually. Interest payments for these loans are fully
subsidized by the Government while a student is in school
and during grace and deferment periods. Unsubsidized Stafford loans generally carry the same borrower interest rate
as Stafford loans, but have no interest subsidy. (Borrower
interest rates on new Unsubsidized Stafford loans were not
reduced under the CCRAA, and so will remain at a fixed
6.8 percent.) For most PLUS loans made prior to July 1,
2006, the borrower interest rate equals the 91-day Treasury
bill rate plus 3.1 percent, with a cap of 9 percent and no
interest subsidy. The fixed borrower interest rate on PLUS
loans made on or after July 1, 2006, is 7.9 percent for Direct
Loans and 8.5 percent for FFEL.
In the FFEL program, lenders may receive an interest subsidy, called a special allowance, from the Government to ensure a guaranteed rate of return on their loans. Special allowance payments vary by loan type, are determined quarterly,
and are based on current borrower interest rates and marketyield formulas. For periods when the borrower interest rate
exceeds the special allowance rate on loans made on or after
April 1, 2006, lenders remit the difference to the government.
The CCRAA reduced special allowance rates and created separate subsidy levels for for-profit and not-for profit loan holders. For Stafford and Unsubsidized Stafford loans made on
or after October 1, 2007, for example, the Federal Government
must pay lenders a special allowance if the average 3-month
commercial paper rate for a given quarter plus 1.79 percent
for for-profit holders or 1.94 percent for not-for-profit holders
is higher than the current interest rate charged to borrowers.
The CCRAA also reduced the guarantee percentage paid to
lenders on most defaults from 97 percent to 95 percent of
unpaid loan principal. The Administration will closely monitor
the effects of the CCRAA’s provisions to ensure they do not
cause unintended consequences, increase taxpayer costs, or
upset the vital competitive balance between the Federal Family Education Loan and Direct Loan programs.
Consolidation loans allow borrowers to combine loans made
under Title IV of the Higher Education Act—FFEL, Direct
Loans, and Perkins Loans as well as some loans made under
the Public Health Service Act. The interest rate for new FFEL
and Direct Consolidation loans equals the weighted average
of the interest rate on the loans consolidated, rounded up
to the nearest one-eighth of one percent. Lenders may choose
to offer a lower rate. Interest rates for all new FFEL and
Direct Consolidation Loans are capped at 8.25 percent.
FFEL borrowers pay an origination fee to the Government
equal to 3 percent of principal, and are also liable for a
guaranty agency insurance premium of up to 1 percent of
principal. Guaranty agencies and lenders have the option of
paying some or all of a student borrower’s insurance premium
and origination fee. Direct Loan borrowers are charged an
origination fee equal to 3 percent of principal. The Higher
Education Reconciliation Act of 2005 included phased reductions that eliminate FFEL origination fees by July 1, 2010,
and lower Direct Loan fees to 1 percent by the same date;
the Act also required guaranty agencies to collect the insurance premium. Borrowers in both programs may be offered
financial incentives to encourage prompt repayment.
Loan limits are also identical across the two programs.
Loans made under both programs are discharged when borrowers die, are totally and permanently disabled, or, under
some circumstances, declare bankruptcy.
Under both programs, new borrowers after October 1, 1998,
who are employed as teachers in schools serving low-income
populations for five consecutive, complete school years, qualify
for up to $5,000 in loan forgiveness; this benefit is increased
to $17,500 for mathematics, science, and special education
VerDate Aug 31 2005

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teachers considered highly qualified under criteria established
in the No Child Left Behind Act of 2001. In addition, the
CCRAA created a new loan forgiveness program for publicsector employees under which qualifying borrowers who have
worked for 10 years while making payments on their student
loan will have any remaining loan balance forgiven. This new
benefit is only available in the Direct Loan program, though
FFEL borrowers may access the benefit by taking out a Direct
Consolidation Loan. Under the CCRAA, loan forgiveness for
public-sector employees is available for all borrowers, regardless of when they took out thier loans; the Budget proposes
to limit eligibility to new loans originated on or after July
1, 2009. The five-year savings from this proposal are $1.464
billion.
Borrowers under Direct Loans may choose from among five
repayment plans including income-contingent repayment
(‘‘pay-as-you-can’’), under which annual repayment amounts
vary based on the income of the borrower and the amount
borrowed, and payments can be made over 25 years. Borrowers may switch between repayment plans at any time.
(Income-contingent repayment is not available to Direct PLUS
borrowers). FFEL borrowers may choose from among four
repayment plans. Repayment periods under standard, graduated, and income-sensitive repayment may not exceed 10
years. An extended repayment plan of up to 25 years is available for new borrowers with outstanding loans totalling more
than $30,000. FFEL borrowers may change repayment plans
annually. The CCRAA created a new partial economic hardship deferment that allows qualifying student borrowers in
both programs to choose an income-based repayment plan
under which Stafford Loan interest payment are paid by the
Federal Government for up to three years and outstanding
balances are forgiven after 25 years in repayment. The interest subsidy is also available for the Stafford Loan portion
of Consolidation Loans. The Budget proposes to eliminate the
interest subsidy under the income-based plan, as similar subsidies are already available through economic hardship and
unemployment deferments. The five-year savings from this
proposal are $457 million.
The CCRAA created a pilot program under which the rights
to originate PLUS loans to parents in each state will be
determined through a competitive auction. The two lowest
bidders in each state will win the exclusive right to originate
new PLUS loans at institutions in that State beginning on
July 1, 2009. New auctions will be held every two years.
The following tables display performance indicators and
program data; including projected overall Direct Loan and
FFEL costs; loan volume, number of loans, and average loan
amount; descriptive data, and program activity assuming passage of the President’s budget and legislative request.
Federal Budget Authority and Outlays
(in thousands of dollars)
2007

2008

Program Cost:
FFEL:
(491,770)
(615,033)
Liquidating1 ............................................................................
Program:
Regular ............................................................................... 4,098,489 2,704,947
Consolidation ...................................................................... 2,751,609 (1,628,520)
Net Reestimate of Prior Year Costs ................................... (3,159,611)
989,951
0 (2,464,349)
Net Modification2 ...............................................................
Subtotal, Program ..........................................................
Total FFEL ..................................................................
Direct Loans:
Program:
Regular ...............................................................................
Consolidation ......................................................................
Net Reestimate of Prior Year Costs ...................................
Net Modification2 ...............................................................
Total, Direct Loans .........................................................
Sfmt 3647

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EDU

3,690,487

2009

(553,095)
3,292,800
(885,537)
0
0

(397,971)

2,407,263

3,198,717 (1,013,004)

1,854,168

(1,702)
266,315
3,717,563
0

(148,678)
(110,959)
404,237
439,629
584,519
0
4,143,273 (1,591,034)

3,982,176

4,983,351 (1,262,364)

OFFICE OF FEDERAL STUDENT AID—Continued
Federal Funds—Continued

DEPARTMENT OF EDUCATION
Total, FFEL and Direct Loans ........................................ 7,180,893 3,970,347
Program Cost Outlays:
FFEL:
(661,436)
(615,033)
Liquidating1 ............................................................................
Program:
Regular ............................................................................... 3,620,193 2,731,020
Consolidation ...................................................................... 2,759,604 (1,592,035)
Net Reestimate of Prior Year Costs ................................... (3,159,611)
989,951
0 (2,464,349)
Net Modification2 ...............................................................

591,804

(553,095)
2,702,822
(885,365)
0
0

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

3,220,186

(335,413)

1,817,457

Total, FFEL .................................................................
Direct Loans:
Program:
Regular ...............................................................................
Consolidation ......................................................................
Net Reestimate of Prior Year Costs ...................................
Net Modification2 ...............................................................

2,558,750

(950,446)

405,168
(159,302)
584,519
4,143,273

442,072
(200,413)
0
0

Total, Direct Loans .........................................................
Total, FFEL and Direct Loans ........................................

4,012,356
6,571,106

4,973,658 (1,349,375)
4,023,212
(85,013)

3,914
4,673
9,895

4,093
4,887
10,410

4,109
4,939
10,943

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

4,711

4,936

5,020

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

23,074

23,396

23,697

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

5,663
7,126

6,007
6,605

6,128
6,864

account reflects loans made prior to 1992.
the cost or savings associated with policy changes, including those contained in the College Cost
Reduction and Access Act of 2007, that would affect the terms of existing loans.
2 Reflects

Summary of Loans Available
(net commitments in millions of dollars)1
2007 actual

2008 est.

2009 est.

21,713
24,400
8,207

24,050
23,384
8,808

24,866
24,696
9,745

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

51,320
46,941

56,242
33,940

59,308
38,863

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

98,261

90,182

98,170

5,781
4,918
2,323

6,248
5,307
2,549

6,453
5,597
2,816

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

13,022
3,484

14,103
4,116

14,867
4,426

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

16,506
114,767

18,220
108,401

19,292
117,462

1 Net

Summary of Default Rates
2007 est.

1 Liquidating

commitments equal gross commitments minus loan cancellations.

Number of Loans
(in thousands)
2007 actual

2008 est.

2009 est.

6,044
4,715
760

6,458
4,988
790

6,653
5,218
831

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

11,519
1,672

12,235
1,144

12,702
1,264

13,191

13,379

1,477
1,052
235

1,526
1,086
245

1,571
1,133
257

2,764
151

2,857
176

2,961
187

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

2,915
16,106

3,033
16,413

3,148
17,114

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

2007 actual

3,592
4,538
10,798

2008 est.

3,724
4,688
11,152

2009 est.

3,738
4,733
11,726

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

4,455

4,597

4,669

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

28,072

29,667

30,752

Weighted Average, FFEL .....................................................

7,449

6,740

7,029

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2009 est.

11.21
10.15
4.51
14.34
11.92

11.65
10.05
4.48
14.50
11.61

11.60
10.01
4.47
14.45
11.62

11.60
10.84
5.59
27.33
13.85

11.89
10.75
5.55
26.26
13.92

11.85
10.71
5.53
26.88
14.04

FFEL program payments are made to lenders (interest subsidies, loan defaults and discharges) and guaranty agencies
(default collection costs, administrative services). These payments are partially offset by borrower origination fees and
lender fees for originations and an annual consolidation loan
holder fee. In Direct Loans, cash outflows are primarily payments to Treasury. Cash inflows include principal and interest payments on outstanding Direct Loans.
The following table shows government payments to and
from lenders, guaranty agencies, and borrowers for specific
years, regardless of when loans were originated. These flows
do not reflect long-term costs to the government, nor the
value of outstanding loan assets: these are reflected in credit
reform subsidy estimates. For example, defaulted FFEL loans
that are repaid through consolidation produce cash revenue
in the current year as the underlying loans are paid off,
which is included in the table. But these consolidations also
incur estimated future costs — such as subsequent re-defaults, loan discharges, and lender interest subsidy payments
— that are not reflected.
The Federal Credit Reform Act of 1990 accounts for differences in the amount and timing of cash flows among direct
and guaranteed loan programs to make cost estimates for
these programs comparable with each other and other federal
programs.
Selected Program Costs and Offsets
(in thousands of dollars)
2007 actual

2008 est.

2009 est.

FFEL:
Payments to lenders
Interest benefits ......................................................................
Special allowance payments ..................................................
Default claims ........................................................................
Loan discharges ......................................................................
Teacher loan forgiveness ........................................................

3,520,115
7,728,251
6,327,418
1,090,043
36,783

4,215,506
4,449,541
5,412,379
1,357,311
227,392

4,283,168
3,077,099
6,456,088
1,512,615
230,887

Administrative payments to guaranty agencies .........................

Average Loan Size (in whole dollars)
FFEL:
Stafford ...................................................................................
Unsubsidized Stafford .............................................................
PLUS ........................................................................................

2008 est.

1 Default rates displayed in this table, which reflect projected defaults over the life of a loan cohort, are
used in developing program cost estimates. The Department uses other rates based on defaults occurring in
the first two years of repayment to determine institutional eligibility to participate in Federal loan programs.
These two-year rates tend to be lower than those included in this table.

13,966

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

ebenthall on PROD1PC69 with BUDGET PAG

Direct Loans:
Stafford ...................................................................................
Unsubsidized Stafford .............................................................
PLUS ........................................................................................

1,264,362

21,300
273,493
3,717,563
0

363

876,500

711,497

551,294

Fees paid to the Department of Education
Borrower origination fees ........................................................ (1,033,948)
(950,843)
(726,787)
Lender origination fees ...........................................................
(536,763)
(795,064)
(941,774)
Loan holder fees ..................................................................... (2,286,124) (2,554,234) (2,739,042)
Other Major Transactions
Net default collections ............................................................ (4,465,188) (4,806,114) (5,218,267)
Contract collection costs ........................................................
103,017
88,999
86,233
Federal administrative costs ..................................................
224,853
218008
223,696
Net Cash Flow, FFEL ................................................................... 11,584,956 7,574,380 6,795,209
Direct Loans
Loan disbursements to borrowers .......................................... 16,048,920 18,152,570 19,236,578
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364

OFFICE OF FEDERAL STUDENT AID—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2009

FEDERAL DIRECT STUDENT LOAN PROGRAM PROGRAM ACCOUNT—
Continued
Selected Program Costs and Offsets—Continued
(in thousands of dollars)
2007 actual

Borrower interest payments ....................................................
Borrower principal payments ..................................................
Borrower origination fees ........................................................
Net default collections ............................................................
Contract collection costs ........................................................
Federal administrative costs ..................................................
Net Operating Cash Flows ......................................................
Loan capital borrowings from Teasury ...................................
Net interest payments to Treasury .........................................
Principal payments to Treasury ..............................................
Subtotal Treasury activity .......................................................
Net Cash Flow, Direct Loans .......................................................

(2,248,496)
(11,392,475)
(370,612)
(752,953)
214,891
345,496
1,844,772
(16,048,920)
4,423,886
8,068,532
(3,556,502)
(1,711,730)

2008 est.

(2,962,750)
(11,376,407)
(388,123)
(1,842,926)
143,343
334,979
2,060,687
(18,152,570)
5,876,002
10,326,572
(1,949,995)
110,692

2009 est.

(2,996,921)
(12,306,593)
(352,005)
(2,004,563)
158,320
343,720
2,078,535
(19,236,578)
6,257,024
11,008,389
(1,971,165)
107,371

Details may not sum to total due to rounding.

by the College Cost Reduction and Access Act of 2007 resulted
in a net decrease in FFEL program costs and an increase
in Direct Loan program costs. As a result, for new loans
the cost difference between FFEL and Direct Loans is smaller
than in previous years.
For Consolidation Loans, Direct Loan costs are substantially higher than those in FFEL, largely because roughly
half of Direct Loan consolidation volume is from underlying
defaulted loans. In comparison, consolidations from default
respresent less than 2 percent of FFEL consolidation volume.
Consolidations from default are much more likely to re-default
than other consolidations, resulting in much higher Federal
costs. Information on FFEL and Direct Loan consolidation
costs and loan volume composition are provided below, as
is a table comparing costs across programs by subsidy component.
Consolidation Loan Subsidy Rates and Loan Volume

Student Loan Program Costs: Comparative Analysis including Program and
Administrative Expenses

(expressed as percentages)
2007 est.

2008 est.

2009 est.

2008 est.

2009 est.

Subsidy Rates
FFEL
Not from default .................................................................
From default .......................................................................

7.75
8.48

–4.83
–1.22

–2.33
0.59

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

7.76

–4.78

–2.27

1.44
24.79

–3.25
24.21

–4.16
24.40

FFEL
New Loans
Stafford ...............................................................................
Unsubsidized Stafford ........................................................
PLUS ...................................................................................

17.46
–0.79
–3.93

15.42
–3.73
–5.96

16.67
–3.07
–5.94

Subtotal, new loan subsidy ...........................................

6.38

4.07

4.70

Federal administrative costs ..............................................

0.55

Direct Loans
Not from default .................................................................
From default .......................................................................

Subtotal, new loans .......................................................

6.92

4.61

5.24

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

13.27

9.88

9.98

Consolidation Loans
Loan subsidy ......................................................................
Federal administrative costs ..............................................

7.76
0.04

–4.78
0.04

–2.27
0.04

Percent of Loan Volume
FFEL
Not from default .................................................................
From default .......................................................................

98.86
1.14

98.44
1.56

98.58
1.42

Subtotal, consolidation loans ........................................

7.80

–4.74

–2.23

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

100.00

New and Consolidation Loans
Loan subsidy ......................................................................
Federal administrative costs ..............................................

6.99
0.37

1.07
0.37

2.21
0.37

Direct Loans
Not from default .................................................................
From default .......................................................................

49.32
50.68

52.16
47.84

50.54
49.46

Total, FFEL ..............................................................................

7.36

1.44

2.58

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

100.00

Direct Loans
New Loans
Stafford ...............................................................................
Unsubsidized Stafford ........................................................
PLUS ...................................................................................

10.67
–8.10
–9.77

9.74
–10.31
–11.75

10.80
–9.97
–11.75

Subtotal, new loan subsidy ...........................................

–0.06

–1.68

–1.28

Federal administrative costs ..............................................

2.05

Subtotal, new loans .......................................................

1.98

0.37

0.77

Consolidation Loans
Loan subsidy ......................................................................
Federal administrative costs ..............................................

13.27
0.27

9.88
0.27

9.98
0.27

Total ...............................................................................
Federal administrative costs ..................................................

6.99
0.37

1.07
0.37

2.21
0.37

Total ...............................................................................
Direct Loans
Program costs:1
Interest subsidies and income, net ...................................
Net defaults ........................................................................
Fees ....................................................................................
Other ...................................................................................

7.36

1.44

2.58

–5.31
2.45
–2.47
7.89

–7.39
1.98
–2.10
8.26

–6.86
2.06
–1.78
7.71

Total ...............................................................................
Federal administrative costs ..................................................

2.56
1.50

0.76
1.50

1.13
1.50

Total adjusted cost ........................................................

4.06

2.26

2.64

2.56
1.50

0.76
1.50

1.13
1.50

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

ebenthall on PROD1PC69 with BUDGET PAG

10.25

4.06

2.26

2.64

The chart above compares total FFEL and Direct Loan costs
on a subsidy rate basis: program costs calculated under the
Federal Credit Reform Act of 1990 and comparably projected
estimates of Federal administrative costs, including expenses
related to FFEL program oversight and servicing the Direct
Loan portfolio. As with any long-term projection, the comparison is based on assumed future interest rates, borrower characteristics, administrative costs, and other factors over the
life of the loan cohort. To the degree actual conditions differ
from projections, estimated subsidy rates will change.
Cost estimates for the two programs have changed since
the 2008 President’s Budget, as legislative changes enacted
Frm 00026

2009 est.

2.81
0.89
–4.48
2.98

10.15

PO 00000

2008 est.

1.92
0.87
–4.68
2.96

13.54

Jkt 214754

2007 est.

7.71
1.16
–4.96
3.07

Subtotal, consolidation loans ........................................

15:42 Jan 24, 2008

(expressed as percentages)

FFEL
Program costs:1
Interest subsidies ...............................................................
Net defaults ........................................................................
Fees ....................................................................................
Other ...................................................................................

New and Consolidation Loans
Loan subsidy ......................................................................
Federal administrative costs ..............................................

VerDate Aug 31 2005

Student Loan Program Costs: Comparative Analysis Including Program and
Administrative Activities

Fmt 3616

1 Fees primarily reflect borrower origination fees and, in FFEL, lender origination and consolidation loan holder
fees. Other primarily reflects loan discharges due to death, disability, or bankruptcy; contract collection costs,
loan forgiveness, and Direct Loan interest rate rebates.
Totals may not add due to rounding.

The Federal Credit Reform Act of 1990 requires the cost
of existing loan cohorts to be reestimated to reflect changes
in actual and assumed borrower behavior, interest rates, and
other factors. The following table shows the impact of these
reestimates in FFEL and Direct Loans.
Sfmt 3616

E:\BUDGET\EDU.XXX

EDU

OFFICE OF FEDERAL STUDENT AID—Continued
Federal Funds—Continued

DEPARTMENT OF EDUCATION

365

133002 Unsubsidized Stafford .................................................... ................... ...................
133004 Consolidation ................................................................. ................... ...................

Loan Disbursement and Subsidy Costs

¥8
¥46

133999 Total subsidy budget authority ......................................
Direct loan subsidy outlays:
134001 Stafford ..........................................................................
134002 Unsubsidized Stafford ....................................................
134004 Consolidation .................................................................

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

¥62

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

¥5
¥5
¥46

134999 Total subsidy outlays ..................................................... ................... ...................

¥56

Total Subsidy Costs—1992–2008
FFEL

Original Subsidy Costs ..................................................................................
Cumulative Reestimates ................................................................................
Net Subsidy Costs ..........................................................................................
Total Disbursements ..................................................................................

+$78.0bil
+$1.0bil
+$78.9bil
$745.1bil

Direct Loans

+$0.7bil
+$11.1bil
+$11.8bil
$225.7bil

Changes in interest rate projections are a significant factor
in FFEL and Direct Loan reestimates; recent declines in interest rates below historical averages have accordingly been
a major driver in changes to program costs. Changes in borrower behavior (notably, prepayment of loans through consolidation and reduction in defaults) have also contributed to
these reestimates. The average lifetime subsidy rate for all
outstanding FFEL loans after the most recent reestimate is
10.59; the comparable Direct Loan rate is 5.25. For the oldest
loan cohorts, many of the subsidy costs have been expended
(e.g., in-school interest subsidies).
Object Classification (in millions of dollars)
Identification code 91–0243–0–1–502

2007 actual

25.7
41.0

Direct obligations:
Operation and maintenance of equipment ...................
Grants, subsidies, and contributions ............................

99.9

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

2008 est.

2009 est.

4 ................... ...................
4,967
5,557
385
4,971

5,557

385

FEDERAL DIRECT STUDENT LOAN PROGRAM PROGRAM ACCOUNT
(Legislative proposal, subject to PAYGO)

2007 actual

2008 est.

2009 est.

00.01

Obligations by program activity:
Direct Loan Subsidy ....................................................... ................... ...................

¥56

10.00

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

¥56

Budgetary resources available for obligation:
22.00 New budget authority (gross) ........................................ ................... ...................
23.95 Total new obligations .................................................... ................... ...................
24.40

¥56
56

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

New budget authority (gross), detail:
Mandatory:
60.00
Appropriation -federal administration ...................... ................... ................... ...................
60.00
Appropriation (indefinite)—loan subsidy ................. ................... ...................
¥56
60.00
Appropriation—upward modification ........................ ................... ................... ...................
62.50

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

¥56

73.10
73.20

¥56
56

74.40

FEDERAL DIRECT STUDENT LOAN PROGRAM FINANCING ACCOUNT
Program and Financing (in millions of dollars)
Identification code 91–4253–0–3–502

2007 actual

00.01
00.02
00.03

Obligations by program activity:
Direct Loan Obligations .................................................
Interest payment to Treasury .........................................
New Loan Obligations for prior cohorts ........................

00.91
02.01
02.02
02.03

Direct Program by Activities—Subtotal (1 level)
Interest rate rebate, Stafford ........................................
Interest rate rebate, Unsubsidized Stafford ..................
Interest rate rebate, PLUS .............................................

02.91
03.01
04.01
08.01
08.02
08.04

Direct Program by Activities—Subtotal (1 level)
184
Consolidation loans-Payment of Orig. Services ............
17
Payment of contract collection costs ............................
215
Obligation of negative loan subsidy ............................. ...................
Downward reestimate to receipt account ......................
940
Interest on downward reestimate ..................................
45

2008 est.

2009 est.

18,850
18,220
19,292
5,675
5,876
6,216
724 ................... ...................
25,249
81
69
34

24,096
92
78
37

25,508
96
82
41

207
219
17
18
143
158
97
73
477 ...................
97 ...................

08.91

Program and Financing (in millions of dollars)
Identification code 91–0243–4–1–502

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

Direct Program by Activities—Subtotal (1 level)

985

671

10.00

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

26,650

25,134

25,976

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year
6,479
New financing authority (gross) ....................................
27,782
Resources available from recoveries of prior year obligations .......................................................................
2,611
22.60 Portion applied to repay debt ........................................
¥6,659
22.70 Balance of authority to borrow withdrawn .................... ...................
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

30,213
¥26,650

3,563 ...................
25,133
25,976
5,497
2,925
¥3,562 ...................
¥5,497
¥2,925
25,134
¥25,134

25,976
¥25,976

3,563 ................... ...................

New financing authority (gross), detail:
Mandatory:
60.00
Appropriation ............................................................. ...................
122 ...................
67.10
Authority to borrow ....................................................
19,570
18,766
18,980
Spending authority from offsetting collections:
69.00
Offsetting collections (cash) ................................
21,013
22,127
18,045
69.10
Change in uncollected customer payments from
Federal sources (unexpired) .............................
¥30 ................... ...................
69.27
Capital transfer to general fund .......................... ...................
¥131 ...................
69.47
Portion applied to repay debt ...............................
¥12,771
¥15,751
¥11,049
69.90

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

8,212

6,245

6,996

27,782

25,133

25,976

9,379
26,650
¥22,732
¥2,611

10,716
25,134
¥24,772
¥5,497

5,581
25,976
¥25,716
¥2,925

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

¥56

70.00

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

¥56
¥56

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

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

10,716

5,581

2,916

87.00

Outlays (gross), detail:
Total financing disbursements (gross) .....................

22,732

24,772

25,716

ebenthall on PROD1PC69 with BUDGET PAG

89.00
90.00

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
Identification code 91–0243–4–1–502

2007 actual

2008 est.

Direct loan subsidy (in percent):
132001 Stafford .......................................................................... ................... ...................
132002 Unsubsidized Stafford .................................................... ................... ...................
132004 Consolidation ................................................................. ................... ...................
132999 Weighted average subsidy rate ..................................... ................... ...................
Direct loan subsidy budget authority:
133001 Stafford .......................................................................... ................... ...................
VerDate Aug 31 2005

15:42 Jan 24, 2008

Jkt 214754

PO 00000

Frm 00027

2009 est.

¥0.12
¥0.15
¥1.04
¥0.30
¥8
Fmt 3616

Offsets:
Against gross financing authority and financing disbursements:
Offsetting collections (cash) from:
Sfmt 3643

E:\BUDGET\EDU.XXX

EDU

30 ................... ...................

366

OFFICE OF FEDERAL STUDENT AID—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2009

FEDERAL DIRECT STUDENT LOAN PROGRAM FINANCING ACCOUNT—
Continued
Program and Financing (in millions of dollars)—Continued
Identification code 91–4253–0–3–502

88.00
88.00
88.00
88.00
88.25
88.40
88.40
88.40
88.40
88.40
88.40
88.40
88.40
88.40
88.40
88.40
88.40
88.40
88.40
88.40
88.90
88.95

2007 actual

2008 est.

2009 est.

Direct Loan Subsidy ..............................................
¥295
¥256
¥385
Upward reestimate ................................................
¥3,614
¥885 ...................
Upward reestimate, interest .................................
¥1,088
¥273 ...................
Upward Modification ............................................. ...................
¥4,143 ...................
Interest on uninvested funds ...............................
¥1,251 ................... ...................
Repayment of principal, Stafford .........................
¥3,704
¥4,007
¥4,356
Interest received on loans, Stafford .....................
¥490
¥612
¥605
Origination Fees, Stafford .....................................
¥163
¥157
¥131
Other fees, Stafford ..............................................
¥38 ................... ...................
Repayment of principal, Unsubsidized Stafford
¥2,798
¥3,343
¥3,849
Interest received on loans, Unsubsidized Stafford
¥480
¥504
¥522
Origination Fees, Unsubsidized Stafford ..............
¥139
¥133
¥113
Other fees, Unsubsidized Stafford ........................
¥3 ................... ...................
Repayment of principal, PLUS ..............................
¥1,246
¥1,582
¥1,770
Interest received on loans, PLUS ..........................
¥303
¥410
¥432
Origination Fees, PLUS .........................................
¥69
¥98
¥108
Other fees, PLUS ...................................................
¥5 ................... ...................
Payment of principal, Consolidation ....................
¥4,012
¥3,824
¥3,825
Interest received on loans, Consolidation ............
¥1,284
¥1,900
¥1,949
Other fees, Consolidation .....................................
¥31 ................... ...................
Total, offsetting collections (cash) .......................
Against gross financing authority only:
Change in receivables from program accounts .......

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

¥21,013

¥22,127

¥18,045

6,799
1,719

2007 actual

3,006
2,645

7,931
7,671

2008 est.

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

1210
1231
1251
1261
1264

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

1290

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

6,235

6,248

6,453

22,524
24,331
26,403
5,391
6,172
6,384
¥3,704
¥4,007
¥4,356
152 ................... ...................

ebenthall on PROD1PC69 with BUDGET PAG

15:42 Jan 24, 2008

Jkt 214754

5,846

6,683

7,610

1290

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

4,493

4,116

4,426

53,657
53,777
53,821
3,575
4,114
4,424
¥4,012
¥3,824
¥3,825
628 ................... ...................
¥71

¥246

¥266

53,777

53,821

54,154

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 Federal Direct Student Loans.
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 91–4253–0–3–502

2006 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 direct loans receivable:
1401 Direct loans receivable, gross ....................................................
1402 Interest receivable ........................................................................
1405 Allowance for subsidy cost (–) ..................................................

5,365

4,631
....................

611
6

97,307
3,702
–8,405

102,440
4,807
–8,245

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

92,604

99,002

Total assets ..................................................................................
LIABILITIES:
Federal liabilities:
2101 Accounts payable .........................................................................
2103 Debt ...............................................................................................
2201 Non-Federal liabilities: Accounts payable ..................................

105,856

104,984

426
105,430
....................

497
103,893
594

28,333

1999

5,562

5,307

5,597

16,361
4,610
¥2,798
338

18,486
5,207
¥3,343
526

20,797
5,495
¥3,849
641

¥25

¥79

¥84

18,486

20,797

23,000

2,560
PO 00000

2,549

2,816

Frm 00028

Fmt 3616

2007 actual

8,621

2999

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

105,856

104,984

4999

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

105,856

104,984

FEDERAL DIRECT STUDENT LOAN PROGRAM FINANCING ACCOUNT
(Legislative proposal, subject to PAYGO)
Program and Financing (in millions of dollars)
Identification code 91–4253–4–3–502

2007 actual

2008 est.

2009 est.

Obligations by program activity:
00.02 Interest payment to Treasury ......................................... ................... ...................
08.01 Obligation of negative subsidy ...................................... ................... ...................
08.05 Obligation of downward modification to negative subsidy receipt account .................................................. ................... ...................

1,591

08.91

Direct Program by Activities—Subtotal (1 level) ................... ...................

1,597

10.00

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

1,638

22.00
23.95

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

1,638
¥1,638

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

VerDate Aug 31 2005

¥49

1210
1231
1251
1261
1264

26,403

PLUS
Position with respect to appropriations act limitation
on obligations:
1111 Limitation on direct loans ............................................. ................... ................... ...................
1131 Direct loan obligations exempt from limitation ............
2,560
2,549
2,816

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

¥45

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

24,331

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

1150

¥8

1150

1499

1150

6,683
2,715
¥1,770
31

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

¥98

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

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

5,846
2,453
¥1,582
11

1150

¥93

1150

1290

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

4,765
2,289
¥1,246
46

CONSOLIDATION
Position with respect to appropriations act limitation
on obligations:
1111 Limitation on direct loans ............................................. ................... ................... ...................
1131 Direct loan obligations exempt from limitation ............
4,493
4,116
4,426

¥32

UNSUBSIDIZED STAFFORD
Position with respect to appropriations act limitation
on obligations:
1111 Limitation on direct loans ............................................. ................... ................... ...................
1131 Direct loan obligations exempt from limitation ............
5,562
5,307
5,597

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 .................................
1264 Write-offs for default: Other adjustments, net (+ or
-) ................................................................................

1290

2009 est.

STAFFORD
Position with respect to appropriations act limitation
on obligations:
1111 Limitation on direct loans ............................................. ................... ................... ...................
1131 Direct loan obligations exempt from limitation ............
6,235
6,248
6,453
1150

30 ................... ...................

Status of Direct Loans (in millions of dollars)
Identification code 91–4253–0–3–502

1210
1231
1251
1261
1264

Sfmt 3643

E:\BUDGET\EDU.XXX

EDU

41
6

OFFICE OF FEDERAL STUDENT AID—Continued
Federal Funds—Continued

DEPARTMENT OF EDUCATION
24.40

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

New financing authority (gross), detail:
Mandatory:
60.00
Appropriation .............................................................
67.10
Authority to borrow ....................................................
Spending authority from offsetting collections:
69.00
Offsetting collections (cash) ................................
69.27
Capital transfer to general fund ..........................
69.47
Portion applied to repay debt ...............................

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
Identification code 91–0231–0–1–502

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

57
1,728

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

¥56
¥75
¥16

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

¥147

70.00

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

1,638

73.10
73.20

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

1,638
¥1,632

74.40

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

87.00

Outlays (gross), detail:
Total financing disbursements (gross) ..................... ................... ...................

367

2007 actual

Guaranteed loan levels supportable by subsidy budget
authority:
215001 Stafford ..........................................................................
215002 Unsubsidized Stafford ....................................................
215003 PLUS ...............................................................................
215004 Consolidation .................................................................

2008 est.

2009 est.

24,933
25,811
10,108
48,021

28,259
28,069
10,162
34,069

29,219
29,646
11,242
39,010

215999 Total loan guarantee levels ...........................................
Guaranteed loan subsidy (in percent):
232001 Stafford ..........................................................................
232002 Unsubsidized Stafford ....................................................
232003 PLUS ...............................................................................
232004 Consolidation .................................................................

108,873

100,559

109,117

17.32
¥0.19
¥1.69
5.73

15.42
¥3.73
¥5.96
¥4.78

16.67
¥3.07
¥5.94
¥2.27

6.29

1.07

2.21

1,632

232999 Weighted average subsidy rate .....................................
Guaranteed loan subsidy budget authority:
233001 Stafford ..........................................................................
233002 Unsubsidized Stafford ....................................................
233003 PLUS ...............................................................................
233004 Consolidation .................................................................

4,318
¥49
¥171
2,752

4,358
¥1,047
¥606
¥1,628

4,871
¥910
¥668
¥886

Offsets:
Against gross financing authority and financing disbursements:
88.00
Offsetting collections (cash) from: Direct Loan Subsidy ........................................................................ ................... ...................

6,850

1,076

2,407

233999 Total subsidy budget authority ......................................
Guaranteed loan subsidy outlays:
234001 Stafford ..........................................................................
234002 Unsubsidized Stafford ....................................................
234003 PLUS ...............................................................................
234004 Consolidation .................................................................

3,614
89
¥82
2,759

3,694
¥582
¥381
¥1,592

4,058
¥802
¥553
¥886

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

1,694
1,688

69.90

89.00
90.00

FEDERAL FAMILY EDUCATION LOAN PROGRAM ACCOUNT
Program and Financing (in millions of dollars)
Identification code 91–0231–0–1–502

2007 actual

2008 est.

2009 est.

Obligations by program activity:
00.02 Guaranteed loan subsidy ...............................................
6,850
00.04 Modification subsidy, upward ........................................ ...................
00.07 Upward reestimate, principal ........................................
183
00.08 Upward reestimate, interest ..........................................
372

1,076
2,407
11 ...................
1,893 ...................
1,553 ...................

10.00

7,405

4,533

2,407

7,405

4,533

2,407

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

Budgetary resources available for obligation:
New budget authority (gross) ........................................
Resources available from recoveries of prior year obligations .......................................................................
22.40 Capital transfer to general fund ...................................
22.00
22.10

23.90
23.95

802
¥802

673 ...................
¥673 ...................

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

7,405
¥7,405

4,533
¥4,533

2,407
¥2,407

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

7,405

4,533

234999 Total subsidy outlays .....................................................
6,380
1,139
1,817
Guaranteed loan upward reestimates:
235001 Stafford ..........................................................................
114 ................... ...................
235004 Consolidation .................................................................
3,350 ................... ...................
235005 SLS .................................................................................
83 ................... ...................
235006 FFEL Reestimates ........................................................... ...................
3,446 ...................
235999 Total upward reestimate budget authority ....................
3,547
Guaranteed loan downward reestimates:
237001 Stafford ..........................................................................
¥3,669
237002 Unsubsidized Stafford ....................................................
¥2,590
237003 PLUS ...............................................................................
¥252
237004 Consolidation .................................................................
¥192
237005 SLS .................................................................................
¥4
237006 FFEL Reestimates ........................................................... ...................
237999 Total downward reestimate subsidy budget authority

3,446 ...................
...................
...................
...................
...................
...................
¥2,456

¥6,707

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

¥2,456 ...................

As required by the Federal Credit Reform Act of 1990,
this program account records the subsidy costs associated
with Federal Family Education Loans (FFEL), formerly guaranteed student loans (GSL), committed in 1992 and beyond.
Beginning with the 1993 cohort, mandatory administrative
costs, specifically contract collection costs, are included in the
FFEL subsidy estimates of each year’s cohort. Subsidy
amounts are estimated on a net present value basis.
A description of the FFEL program and accompanying tables are included under the Federal Direct Student Loan program account.

2,407

FEDERAL FAMILY EDUCATION LOAN PROGRAM FINANCING ACCOUNT
Change in obligated balances:
72.40 Obligated balance, start of year ...................................
73.10 Total new obligations ....................................................
73.20 Total outlays (gross) ......................................................
73.45 Recoveries of prior year obligations ..............................

2,247
7,405
¥6,935
¥802

1,915
1,076
4,533
2,407
¥4,699
¥1,817
¥673 ...................

ebenthall on PROD1PC69 with BUDGET PAG

74.40

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

1,915

1,076

1,666

86.97
86.98

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

5,491
1,444

3,457
1,242

993
824

87.00

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

6,935

4,699

1,817

89.00
90.00

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

7,405
6,935

4,533
4,699

2,407
1,817

Frm 00029

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15:42 Jan 24, 2008

Jkt 214754

PO 00000

Program and Financing (in millions of dollars)
Identification code 91–4251–0–3–502

2007 actual

2008 est.

2009 est.

Obligations by program activity:
01.01 Default claims ...............................................................
01.02 Special allowance ..........................................................
01.03 Interest benefits .............................................................
01.04 Death, disability, and bankruptcy claims .....................
01.05 Teacher loan forgiveness, other write-offs ....................
01.07 Contract collection costs ...............................................
01.08 Guaranty Agency loan processing issuance fees ..........
01.09 Voluntary flexible agreement performance fee ..............
01.10 Guaranty Agency account maintenance fees ................

1,956
427
2,617
161
20
15
71
106
78

1,406
1,685
95
182
3,371
3,682
182
194
132
134
14
15
94
98
118 ...................
53
60

01.91
02.02
02.03

5,451
1,489
357

5,465
1,197
87

Subtotal, Stafford loans ............................................
Default claims ...............................................................
Special allowance ..........................................................

Sfmt 3643

E:\BUDGET\EDU.XXX

EDU

6,050
1,465
180

368

OFFICE OF FEDERAL STUDENT AID—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2009

FEDERAL FAMILY EDUCATION LOAN PROGRAM FINANCING
ACCOUNT—Continued
Program and Financing (in millions of dollars)—Continued
Identification code 91–4251–0–3–502

2007 actual

2008 est.

2009 est.

02.04
02.05
02.07
02.08
02.09
02.10

Death, disability, and bankruptcy claims .....................
Teacher loan forgiveness, other write-offs ....................
Contract collection costs ...............................................
Guaranty Agency loan processing issuance fees ..........
Voluntary flexible agreement performance fee ..............
Guaranty Agency account maintenance fees ................

149
17
7
71
78
63

178
199
95
97
3
4
91
97
37 ...................
42
49

02.91
03.01
03.03
03.04
03.07
03.08
03.09
03.10

Subtotal, Unsubsidized Stafford loans .....................
Default claims ...............................................................
Special allowance ..........................................................
Death, disability, and bankruptcy claims .....................
Contract Collection Costs ..............................................
Guaranty Agency loan processing issuance fees ..........
Voluntary flexible agreement performance fee ..............
Guaranty Agency account maintenance fees ................

2,231
194
16
53
1
30
10
15

1,730
2,091
146
196
7
14
118
131
1
1
34
33
5 ...................
18
21

03.91
04.03
04.04
04.07
04.09
04.10

Subtotal, PLUS loans .................................................
Default claims ...............................................................
Death, disability and bankruptcy claims ......................
Contract collection costs ...............................................
Voluntary flexible agreement performance fee ..............
Guaranty Agency account maintenance fees ................

319
329
396
22
13
4
3
2 ...................
4
3
3
1
3 ...................
1 ................... ...................

04.91
05.01
05.02
05.03
05.04
05.05
05.07
05.08
05.10

Subtotal, SLS loans ...................................................
Default claims ...............................................................
Special allowance ..........................................................
Interest benefits .............................................................
Death, disability, and bankruptcy claims .....................
Teacher loan forgiveness, other write-offs ....................
Contract collection costs ...............................................
Voluntary flexible agreement performance fee ..............
Guaranty Agency account maintenance fees ................

31
21
7
2,561
2,571
3,034
6,948
4,968
4,217
890
835
596
706
859
973
18 ................... ...................
5
5
7
130
35 ...................
216
178
193

05.91
08.01
08.02
08.04
08.05

Subtotal, Consolidations loans .................................
11,474
Obligation of negative subsidy ...................................... ...................
Downward reestimate to receipt account ......................
3,582
Interest on downward reestimate ..................................
133
Downward Modification .................................................. ...................

08.91

Downward Reestimate- Subtotal (1 level) ................

3,715

10.00

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

23,221

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

40,011
16,008

9,451
103
2,082
374
2,475

9,020
...................
...................
...................
...................

5,034 ...................
22,030

33,230
15,585

17,564

26,785
13,891

432 ................... ...................

23.90
23.95

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

56,451
¥23,221

48,815
¥22,030

40,676
¥17,564

24.40

Unobligated balance carried forward, end of year

33,230

26,785

23,112

New financing authority (gross), detail:
Mandatory:
60.00
Appropriation ............................................................. ...................
Spending authority from offsetting collections:
69.00
Offsetting collections (cash) ................................
16,008
69.27
Capital transfer to general fund .......................... ...................

15,615
13,891
¥58 ...................

16,008

15,557

13,891

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

16,008

15,585

13,891

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

3,709

3,519

2,806

87.00

Outlays (gross), detail:
Total financing disbursements (gross) .....................

22,611

22,220

18,277

3,531
3,709
3,519
23,221
22,030
17,564
¥22,611
¥22,220
¥18,277
¥432 ................... ...................

Jkt 214754

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

¥16,008

¥15,615

Net financing authority and financing disbursements:
Financing authority ........................................................ ...................
Financing disbursements ...............................................
6,603

¥13,891

¥30 ...................
6,605
4,386

Status of Guaranteed Loans (in millions of dollars)
Identification code 91–4251–0–3–502

2007 actual

2008 est.

2009 est.

STAFFORD
Position with respect to appropriations act limitation
on commitments:
2111 Limitation on guaranteed loans made by private lenders .............................................................................. ................... ................... ...................
2131 Guaranteed loan commitments exempt from limitation
24,933
28,259
29,219
2150
2199

Total guaranteed loan commitments ........................
Guaranteed amount of guaranteed loan commitments

Cumulative balance of guaranteed loans outstanding:
Outstanding, start of year .............................................
Disbursements of new guaranteed loans ......................
Repayments and prepayments ......................................
Adjustments:
2261
Terminations for default that result in loans receivable .......................................................................
2263
Terminations for default that result in claim payments ....................................................................
2264
Other adjustments, net .............................................
2210
2231
2251

24,933
24,683

28,259
27,411

29,219
28,342

59,099
20,993
¥15,535

61,951
23,576
¥9,083

74,616
24,590
¥11,623

¥1,956

¥1,514

¥1,672

¥161
¥489

¥182
¥132

¥194
¥134

2290

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

61,951

74,616

85,583

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

61,332

72,378

83,016

Addendum:
Cumulative balance of defaulted guaranteed loans
that result in loans receivable:
2310
Outstanding, start of year ........................................
2331
Disbursements for guaranteed loan claims .............
2351
Repayments of loans receivable ...............................
2361
Write-offs of loans receivable ...................................
2364
Other adjustments, net .............................................
2390

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

3,046
4,027
3,801
1,956
1,514
1,672
¥1,059
¥1,579
¥1,630
¥161
¥161
¥157
245 ................... ...................
4,027

3,801

3,686

UNSUBSIDIZED STAFFORD
Position with respect to appropriations act limitation
on commitments:
2111 Limitation on guaranteed loans made by private lenders .............................................................................. ................... ................... ...................
2131 Guaranteed loan commitments exempt from limitation
25,811
28,069
29,646

PO 00000

Frm 00030

Fmt 3616

2150
2199

Total guaranteed loan commitments ........................
Guaranteed amount of guaranteed loan commitments

25,811
25,553

28,069
27,227

29,646
28,757

2210

Offsets:
Against gross financing authority and financing disbursements:
15:42 Jan 24, 2008

89.00
90.00

28 ...................

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

VerDate Aug 31 2005

88.90

2299

70.00

ebenthall on PROD1PC69 with BUDGET PAG

69.90

Offsetting collections (cash) from:
Program subsidy account .....................................
¥6,380
¥1,242
¥1,817
Upward reestimate ................................................
¥555
¥3,446 ...................
Modification .......................................................... ...................
¥11 ...................
Interest on uninvested funds ...............................
¥1,616
¥1,891
¥1,635
Stafford recoveries on defaults ............................
¥1,247
¥1,579
¥1,630
Stafford borrower origination fees ........................
¥417
¥344
¥226
Stafford lender origination fees ...........................
¥102
¥197
¥246
Stafford other fees ................................................
¥75 ................... ...................
Stafford special allowance rebate ........................ ...................
¥234
¥440
Unsubsidized Stafford recoveries on default .......
¥680
¥1,025
¥1,134
Unsubsidized Stafford borrower origination fees
¥421
¥352
¥254
Unsubsidized Stafford lender origination fees .....
¥103
¥191
¥242
Unsubsidized Stafford other fees .........................
¥42 ................... ...................
Unsubsidized Stafford special allowance rebate ...................
¥234
¥534
PLUS recoveries on defaults .................................
¥123
¥120
¥133
PLUS borrower origination fees ............................
¥196
¥255
¥247
PLUS lender origination fees ................................
¥38
¥69
¥73
PLUS other fees ....................................................
¥8 ................... ...................
PLUS special allowance rebate ............................
¥18
¥110
¥201
SLS recoveries on defaults ...................................
¥47
¥67
¥58
SLS other fees .......................................................
¥2 ................... ...................
Consolidation recoveries on defaults ...................
¥1,301
¥1,224
¥1,559
Consolidation lender origination fees ...................
¥294
¥339
¥380
Consolidation loan holders fee .............................
¥2,286
¥2,554
¥2,739
Consolidation other fees .......................................
¥54 ................... ...................
Consolidation special allowance rebate ...............
¥3
¥131
¥343

88.00
88.00
88.00
88.25
88.40
88.40
88.40
88.40
88.40
88.40
88.40
88.40
88.40
88.40
88.40
88.40
88.40
88.40
88.40
88.40
88.40
88.40
88.40
88.40
88.40
88.40

Cumulative balance of guaranteed loans outstanding:
Outstanding, start of year .............................................

49,928

54,588

65,993

Sfmt 3643

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EDU

OFFICE OF FEDERAL STUDENT AID—Continued
Federal Funds—Continued

DEPARTMENT OF EDUCATION
2231
2251

20,949
¥13,503

22,804
¥9,863

24,242
¥13,178

¥1,489

¥1,262

¥149
¥1,148

¥178
¥96

¥199
¥97

2290

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

54,588

65,993

75,312

2299

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

54,042

64,013

73,052

2261
2263

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

2,294
3,269
3,344
1,489
1,262
1,449
¥563
¥1,025
¥1,134
¥149
¥162
¥169
198 ................... ...................
3,269

3,344

3,490

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:
2261
Terminations for default that result in loans receivable .......................................................................
2263
Terminations for default that result in claim payments ....................................................................
2264
Other adjustments, net .............................................

10,108
10,007

10,162
9,857

11,242
10,905

10,469
8,239
¥6,407

13,624
8,495
¥4,204

17,641
8,244
¥5,093

¥194

¥156

¥192

¥53
¥118
¥130
1,570 ................... ...................

2290

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

13,624

17,641

20,470

2299

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

13,488

17,112

19,856

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

SLS
Cumulative balance of guaranteed loans outstanding:
2210 Outstanding, start of year .............................................
2251 Repayments and prepayments ......................................
Adjustments:
2261
Terminations for default that result in loans receivable .......................................................................
2263
Terminations for default that result in claim payments ....................................................................
2264
Other adjustments, net .............................................
2290

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

312
371
352
194
156
192
¥105
¥120
¥133
¥53
¥55
¥54
23 ................... ...................
371

352

357

201
¥105

187
¥17

153
¥13

¥22

¥15

¥6

¥3
¥2 ...................
116 ................... ...................
187

153

2361
2364

Write-offs of loans receivable ...................................
Other adjustments, net .............................................

2390

PLUS
Position with respect to appropriations act limitation
on commitments:
2111 Limitation on guaranteed loans made by private lenders .............................................................................. ................... ................... ...................
2131 Guaranteed loan commitments exempt from limitation
10,108
10,162
11,242

ebenthall on PROD1PC69 with BUDGET PAG

¥3
¥3
¥3
22 ................... ...................

¥1,449

2264

Disbursements of new guaranteed loans ......................
Repayments and prepayments ......................................
Adjustments:
Terminations for default that result in loans receivable .......................................................................
Terminations for default that result in claim payments ....................................................................
Other adjustments, net .............................................

369

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

381

15:42 Jan 24, 2008

Jkt 214754

186

375
22
¥35
PO 00000

149

2150
2199

Total guaranteed loan commitments ........................
Guaranteed amount of guaranteed loan commitments

48,021
47,541

34,069
33,047

39,010
37,840

203,604
46,596
¥14,948

231,279
33,991
¥18,652

243,145
38,018
¥19,597

¥2,561

¥2,614

¥3,016

¥706
¥859
¥973
¥706 ................... ...................

2290

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

231,279

243,145

257,577

2299

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

228,966

235,851

249,849

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

4,237
5,276
5,836
2,561
2,614
3,016
¥1,135
¥1,224
¥1,559
¥706
¥830
¥909
319 ................... ...................
5,276

381
15
¥67

326
6
¥58

Frm 00031

Fmt 3616

5,836

6,384

As required by the Federal Credit Reform Act of 1990,
this nonbudgetary account records all cash flows to and from
the Government resulting from Federal Family Education
Loans (FFEL), formerly guaranteed student loans (GSL), committed in 1992 and beyond. The amounts in this account
are a means of financing and are not included in the budget
totals.
Balance Sheet (in millions of dollars)
Identification code 91–4251–0–3–502

2006 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 (–) ..................................................
1599

Net present value of assets related to defaulted guaranteed
loans .........................................................................................

2007 actual

43,542

36,938

551
....................

1,983
29

10,263
1,823
–2,847

13,325
1,957
–2,755

9,239

12,527

Total assets ..................................................................................
LIABILITIES:
2101 Federal liabilities: Accounts payable ..........................................
Non-Federal liabilities:
2201 Accounts payable .........................................................................
2204 Liabilities for loan guarantees ...................................................

53,332

51,477

951

743

31
52,350

3
50,731

2999

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

53,332

51,477

4999

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

53,332

51,477

134

130

271

CONSOLIDATION
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
48,021
34,069
39,010

1999
Memorandum:
2299 Guaranteed amount of guaranteed loans outstanding,
end of year ................................................................

326

Sfmt 3633

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EDU

370

OFFICE OF FEDERAL STUDENT AID—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2009

FEDERAL FAMILY EDUCATION LOAN LIQUIDATING ACCOUNT

2261

Program and Financing (in millions of dollars)

2263

Identification code 91–0230–0–1–502

2007 actual

2008 est.

2009 est.

01.01
01.02
01.03
01.04
01.05
01.06

Obligations by program activity:
Interest benefits, net of origination fees ......................
Special allowance net of origination fees .....................
Default claims ...............................................................
Death, disability, and bankruptcy claims .....................
Contract collection costs ...............................................
Voluntary flexible agreements .......................................

13
2
94
14
60
5

9
5
2
1
68
61
14
12
53
47
3 ...................

01.91
02.01
02.02
02.05
02.07

Subtotal, Stafford loans ............................................
Default claims ...............................................................
Death, disability, and bankruptcy claims .....................
Contract collection costs ...............................................
Voluntary flexible agreements .......................................

188
10
5
11
1

149
126
11
10
5
5
10
9
1 ...................

02.91

Subtotal, PLUS/SLS loans ..........................................

10.00

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

215

176

150

243
394

190 ...................
176
150

11 ................... ...................
¥243
¥190 ...................

23.90
23.95

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

405
¥215

24.40

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

176
¥176

150
¥150

190 ................... ...................

2264

Terminations for default that result in loans receivable .......................................................................
Terminations for default that result in claim payments ....................................................................
Other adjustments, net .............................................

¥14
¥14
¥12
662 ................... ...................

2290

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

1,482

1,353

1,252

2299

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

1,467

1,312

1,215

7,511
93
¥271
¥14
¥260

7,059
74
¥325
¥13
¥41

6,754
65
¥289
¥12
¥37

7,059

6,754

6,481

648
¥6

174
¥3

155
¥1

¥10

¥11

2390

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

PLUS/SLS LOANS
Cumulative balance of guaranteed loans outstanding:
2210 Outstanding, start of year .............................................
2251 Repayments and prepayments ......................................
Adjustments:
2261
Terminations for default that result in loans receivable .......................................................................
2263
Terminations for default that result in claim payments ....................................................................
2264
Other adjustments, net .............................................

¥93

¥74

¥65

¥5
¥5
¥5
¥453 ................... ...................

2290

886
¥492

791
¥615

703
¥553

394

176

150

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

174

155

138

2299

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

172

149

134

1,220
10
¥35
¥5
¥42

1,148
11
¥55
¥4
¥6

1,094
11
¥49
¥4
¥5

2390

1,148

1,094

1,047

72.40
73.10
73.20
73.45

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

74.40

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

86.97

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

225

176

150

¥228
¥7
¥267

¥219
¥4
¥235

¥195
¥3
¥209

As required by the Federal Credit Reform Act of 1990,
this liquidating account records, for this program, all cash
flows to and from the Government resulting from guaranteed
student loans committed prior to 1992. This account is shown
on a cash basis. All new loan activity in this program for
1992 and beyond is recorded in corresponding program and
financing accounts.

¥193
¥58

¥165
¥48

¥147
¥43

Balance Sheet (in millions of dollars)

¥70
¥3
¥21

¥67
¥1
¥18

¥59
¥1
¥16

¥39

¥34

¥30

Offsets:
Against gross budget authority and outlays:
Offsetting collections (cash) from:
88.40
Fed collections on defaulted loans, Stafford .......
88.40
Federal collections on bankruptcies, Stafford ......
88.40
Offsets against Federal tax refunds,Stafford .......
88.40
Reimbursements from guaranty agencies, Stafford ...................................................................
88.40
Other collections/ fees, Stafford ...........................
88.40
Federal collections on defaulted loans, PLUS/
SLS ....................................................................
88.40
Federal collections on bankruptcies, PLUS/SLS
88.40
Offsets against Federal tax refunds, PLUS/SLS
88.40
Reimbursements from guaranty agencies, PLUS/
SLS ....................................................................

51
30
30
215
176
150
¥225
¥176
¥150
¥11 ................... ...................

ebenthall on PROD1PC69 with BUDGET PAG

88.90

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

¥886

¥791

¥703

89.00
90.00

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

¥492
¥661

¥615
¥615

¥553
¥553

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

Identification code 91–0230–0–1–502

2006 actual

ASSETS:
1101 Federal assets: Fund balances with Treasury ..........................
1701 Defaulted guaranteed loans, gross ............................................
1702 Interest receivable ........................................................................
1703 Allowance for estimated uncollectible loans and interest (–)
1704

Defaulted guaranteed loans and interest receivable, net .......

1799

Identification code 91–0230–0–1–502

2007 actual

STAFFORD LOANS
Cumulative balance of guaranteed loans outstanding:
2210 Outstanding, start of year .............................................
2251 Repayments and prepayments ......................................
Adjustments:
VerDate Aug 31 2005

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978
¥51
PO 00000

2008 est.

2009 est.

1,482
¥41

1,353
¥24

Frm 00032

Fmt 3616

295
8,730
336
–4,718

221
8,208
223
–4,396

4,348

4,035

Value of assets related to loan guarantees ............................

4,348

4,035

Total assets ..................................................................................
LIABILITIES:
2104 Federal liabilities: Resources payable to Treasury ...................
Non-Federal liabilities:
2201 Accounts payable .........................................................................
2204 Liabilities for loan guarantees ...................................................

4,643

4,256

4,555

4,108

–15
103

5
143

2999

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

4,643

4,256

4999

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

4,643

4,256

1999

Status of Guaranteed Loans (in millions of dollars)

2007 actual

Sfmt 3633

E:\BUDGET\EDU.XXX

EDU

OFFICE OF FEDERAL STUDENT AID—Continued
Federal Funds—Continued

DEPARTMENT OF EDUCATION
Object Classification (in millions of dollars)
Identification code 91–0230–0–1–502

2007 actual

2008 est.

2009 est.

25.2
33.0
41.0
42.0

Direct obligations:
Other services ................................................................
Investments and loans ..................................................
Grants, subsidies, and contributions ............................
Insurance claims and indemnities ................................

71
104
22
18

63
79
14
20

56
72
6
16

99.9

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

215

176

150

LOANS

FOR

SHORT-TERM TRAINING PROGRAM ACCOUNT

(Legislative proposal, not subject to PAYGO)
Program and Financing (in millions of dollars)
Identification code 91–0217–2–1–502

2007 actual

2008 est.

partments of Education and Labor, to help dislocated, unemployed, transitioning, or older workers and students. This
market-oriented program will allow participants to acquire
or upgrade job-related skills through short-term training programs. These programs are usually shorter than 10 weeks
and are not currently eligible for Federal student aid. Eligible
programs for the new loans must lead to an industry credential, certificate, or employer-endorsed technological/occupational skills.
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 2009 and beyond (including modifications of
direct loans and loan guarantees that resulted from obligations or commitments in any year). Subsidy amounts are estimated on a present value basis.

2009 est.

Obligations by program activity:
Loan Subsidy:
00.02
Loan subsidy ............................................................. ................... ...................

10.00

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

22.00
23.95

3
¥3

24.40

371

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

LOANS

FOR

SHORT-TERM TRAINING GUARANTEED LOAN FINANCING
ACCOUNT

(Legislative proposal, not subject to PAYGO)
Program and Financing (in millions of dollars)
Identification code 91–4573–2–0–502

2007 actual

2008 est.

2009 est.

Obligations by program activity:
00.01 Default Claims ............................................................... ................... ...................
00.06 Loan Processing and Issuance Fee ............................... ................... ...................

4
1

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

10.00

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

3
¥3

22.00
23.95

5
¥5

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

24.40

73.10
73.20
74.40

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

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

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program (in
millions of dollars)
Identification code 91–0217–2–1–502

2007 actual

2008 est.

Direct loan levels supportable by subsidy budget authority:
115001 Loans for Short Term Training ...................................... ................... ...................

132999 Weighted average subsidy rate ..................................... ................... ...................

ebenthall on PROD1PC69 with BUDGET PAG

5
¥4

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 ..................................................... ................... ...................
88.40
Special Allowance Payments ................................ ................... ...................

¥3
¥1

88.90

¥4

¥0.27
¥0.27

215999 Total loan guarantee levels ........................................... ................... ...................
Guaranteed loan subsidy (in percent):
232001 Loans for Short Term Training ...................................... ................... ...................

2009 est.

115999 Total direct loan levels .................................................. ................... ...................
Direct loan subsidy (in percent):
132001 Loans for Short Term Training ...................................... ................... ...................

Guaranteed loan levels supportable by subsidy budget
authority:
215001 Loans for Short Term Training ...................................... ................... ...................

87.00

3
3

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

74.40

73.10
73.20

New financing authority (gross), detail:
Mandatory:
67.10
Authority to borrow .................................................... ................... ...................
69.00
Spending authority from offsetting collections: Offsetting collections (cash) ..................................... ................... ...................
70.00

86.90

316
316
1.02

232999 Weighted average subsidy rate ..................................... ................... ...................
Guaranteed loan subsidy budget authority:
233001 Loans for Short Term Training ...................................... ................... ...................

3
3

234999 Total subsidy outlays ..................................................... ................... ...................

Net financing authority and financing disbursements:
Financing authority ........................................................ ................... ...................
1
Financing disbursements ............................................... ................... ................... ...................

1.02

233999 Total subsidy budget authority ...................................... ................... ...................
Guaranteed loan subsidy outlays:
234001 Loans for Short Term Training ...................................... ................... ...................

89.00
90.00

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

Loans for Short-Term Training.—The Administration proposes a new loan program, jointly administered by the DeVerDate Aug 31 2005

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Frm 00033

Status of Guaranteed Loans (in millions of dollars)

Fmt 3616

Identification code 91–4573–2–0–502

2007 actual

2008 est.

2009 est.

Position with respect to appropriations act limitation
on commitments:
2111 Limitation on guaranteed loans made by private lenders .............................................................................. ................... ...................
316
2131 Guaranteed loan commitments exempt from limitation ................... ................... ...................
2150
Sfmt 3643

Total guaranteed loan commitments ........................ ................... ...................
E:\BUDGET\EDU.XXX

EDU

316

OFFICE OF FEDERAL STUDENT AID—Continued
Federal Funds—Continued

372
LOANS

FOR

THE BUDGET FOR FISCAL YEAR 2009
Offsets:
Against gross financing authority and financing disbursements:
88.40
Offsetting collections (cash) from: Payment of Principal ...................................................................... ................... ...................

SHORT-TERM TRAINING GUARANTEED LOAN FINANCING
ACCOUNT—Continued

Status of Guaranteed Loans (in millions of dollars)—Continued
Identification code 91–4573–2–0–502

2007 actual

2008 est.

................... ................... ...................
................... ...................
246
................... ...................
¥88

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

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

2299

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

¥3

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

2290

¥13

33
24

2009 est.

155

89.00
90.00

Status of Direct Loans (in millions of dollars)
Identification code 91–4574–2–0–502

1150
150

................... ...................
...................
3
...................
¥3
................... ...................
................... ...................

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 loan guarantees committed
in 1992 and beyond (including modifications that resulted
from commitments in any year). Amounts in this account
are a means of financing and are not included in budget
totals.

Cumulative balance of direct loans outstanding:
Outstanding, start of year .............................................
Disbursements: Direct loan disbursements ...................
Repayments: Repayments and prepayments .................
Write-offs for default: Other adjustments, net (+ or
-) ................................................................................

1290

(Legislative proposal, not subject to PAYGO)
Program and Financing (in millions of dollars)
2007 actual

2008 est.

2009 est.

Obligations by program activity:
00.01 Loan obligations ............................................................ ................... ...................

10.00

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

22.00
23.95

46
¥46

24.40

ebenthall on PROD1PC69 with BUDGET PAG

70.00

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

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

Outlays (gross), detail:
87.00
Total financing disbursements (gross) ..................... ................... ...................

INSTITUTE OF EDUCATION SCIENCES

15:42 Jan 24, 2008

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Frm 00034

EDUCATION SCIENCES

For carrying out activities authorized by the Education Sciences
Reform Act of 2002, the National Assessment of Educational Progress
Authorization Act, section 208 of the Educational Technical Assistance Act of 2002, and section 664 of the Individuals with Disabilities
Education Act, ø$555,815,000¿ $658,247,000, of which ø$293,155,000¿
$347,241,000 shall be available until September 30, ø2009¿ 2010:
Provided, That øof the amount¿ funds available to carry out section
208 of the Educational Technical Assistance Act may be used for
Statewide data systems that include postsecondary and workforce information: Provided further, That up to $5,000,000 of the funds available to carry out section 208 of the Educational Technical Assistance
Act may be used for State data coordinators and for awards to øentities, including entities other than States,¿public or private organizations or agencies to improve data coordination. (Department of Education Appropriations Act, 2008.)
Program and Financing (in millions of dollars)
2007 actual

2008 est.

2009 est.

160
90
65
93
72
25
8

162
88
66
104
71
48
11

167
104
68
139
71
100
9

01.00
09.01

13
¥13

Obligations by program activity:
00.01 Research, development, and dissemination ..................
00.02 Statistics ........................................................................
00.03 Regional educational laboratories .................................
00.04 Assessment ....................................................................
00.05 Research in special education ......................................
00.06 Statewide data systems ................................................
00.07 Special education studies and evaluations ..................
Total direct program .................................................
Reimbursable program ..................................................

513
1

550
1

658
1

10.00

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

514

551

659

46
¥37
9

21.40
22.00

Budgetary resources available for obligation:
Unobligated balance carried forward, start of year ...................
New budget authority (gross) ........................................
518

4 ...................
547
659

37
23.90

VerDate Aug 31 2005

Identification code 91–1100–0–1–503

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

Change in obligated balances:
73.10 Total new obligations .................................................... ................... ...................
73.20 Total financing disbursements (gross) ......................... ................... ...................
74.40

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

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 direct loans obligated in 1992
and beyond (including modifications that resulted from obligations in any year). Amounts in this account are a means
of financing and are not included in budget totals.

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

New financing authority (gross), detail:
Mandatory:
67.10
Authority to borrow .................................................... ................... ...................
Spending authority from offsetting collections:
69.00
Offsetting collections (cash) ................................ ................... ...................
69.47
Portion applied to repay debt ............................... ................... ...................
69.90

................... ................... ...................
................... ...................
37
................... ...................
¥13

Federal Funds

SHORT-TERM TRAINING GUARANTEED LOAN FINANCING
ACCOUNT

Identification code 91–4574–2–0–502

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

INSTITUTE
FOR

2009 est.

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

LOANS

2008 est.

Position with respect to appropriations act limitation
on obligations:
1111 Limitation on direct loans ............................................. ................... ...................
46
1131 Direct loan obligations exempt from limitation ............ ................... ................... ...................

1210
1231
1251
1264
...................
...................
...................
...................
...................

2007 actual

Fmt 3616

Sfmt 3643

Total budgetary resources available for obligation
E:\BUDGET\EDU.XXX

EDU

518

551

659

DEPARTMENTAL MANAGEMENT
Federal Funds

DEPARTMENT OF EDUCATION
23.95

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

24.40

Unobligated balance carried forward, end of year

¥514

¥551

¥659

4 ................... ...................

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
517
40.33
Appropriation permanently reduced (P.L. 110–161) ...................

556
658
¥10 ...................

43.00
58.00

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

517

546

658

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

518

547

659

72.40
73.10
73.20
73.40

74.40

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

826

947

1,145

86.90
86.93

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

101
337

31
399

37
424

87.00

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

438

430

461

sion of these data systems to include postsecondary and workforce information.
Special education studies and evaluations.—Funds support
studies, evaluations, and assessments related to the implementation of the Individuals with Disabilities Education Act
in order to improve special education and early intervention
services and results for infants, toddlers, and children with
disabilities.

70.00

759
826
947
514
551
659
¥438
¥430
¥461
¥9 ................... ...................

373

Object Classification (in millions of dollars)
Identification code 91–1100–0–1–503

11.1
11.3

2007 actual

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

2009 est.

1
1

2
10
158

2
11
173

2
12
205

¥1

517
437

¥1

546
429

¥1

25.5
31.0
41.0

Total personnel compensation ..............................
Advisory and assistance services .............................
Other services ............................................................
Other purchases of goods and services from Government accounts .................................................
Research and development contracts .......................
Equipment .................................................................
Grants, subsidies, and contributions ........................

99.0
99.0
99.5

512
1
1

548
1
2

656
1
2

99.9

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

11.9
25.1
25.2
25.3

2008 est.

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

514

551

659

658
460

Employment Summary

ebenthall on PROD1PC69 with BUDGET PAG

Identification code 91–1100–0–1–503

Research and Statistics:
Research, development, and dissemination.—Funds support
a diverse portfolio of directed research, evaluation studies,
research and development centers, and dissemination activities that provide parents, teachers, and schools with scientifically based information on effective educational practice.
Statistics.—Funds support the Department’s statistical data
collection activities, which are conducted by the National Center for Education Statistics (NCES). NCES collects, analyzes,
and disseminates statistics on education at all levels, from
preschool through postsecondary and adult education, including statistics on international education activities.
Regional educational laboratories.—Funds support a network of 10 regional laboratories that provide expert advice,
including training and technical assistance, to help States
and school districts apply proven research findings in their
school improvement efforts. 2009 funds would be used for
the fourth year of 5-year contracts for these laboratories and
for an evaluation.
Assessment.—Funds support the National Assessment of
Educational Progress (NAEP). NAEP administers assessments
to samples of students in order to gather reliable information
about educational attainment in important academic areas.
Funds support collection and reporting of national, State, and
long-term trend information, including the conduct of biennial
State NAEP in reading and mathematics at grades 4 and
8. In 2009, funds will also support costs of conducting assessments in U.S. History, civics, and geography in 2010 and
of expanding 12th grade State NAEP to include all States
in 2011.
Research in special education.—Funds support research to
address gaps in scientific knowledge in order to improve special education and early intervention services and results for
infants, toddlers, and children with disabilities.
Statewide data systems.—Funds support competitive awards
to State educational agencies to foster the design, development, and implementation of longitudinal data systems, including pre-kindergarten through grade 12. In 2009, funding
will also support data coordination activities and the expanVerDate Aug 31 2005

15:42 Jan 24, 2008

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Fmt 3616

9
9
5
116
117
109
1 ................... ...................
216
236
323

2007 actual

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

2008 est.

2009 est.

DEPARTMENTAL MANAGEMENT
Federal Funds
DEPARTMENTAL MANAGEMENT
PROGRAM ADMINISTRATION

For carrying out, to the extent not otherwise provided, the Department of Education Organization Act, including rental of conference
rooms in the District of Columbia and hire of three passenger motor
vehicles, ø$418,587,000¿ $444,439,000, of which ø$2,100,000¿
$7,939,000, to remain available until expended, shall be for øbuilding
alterations and related expenses for the move of¿ relocation of, and
renovation of buildings occupied by, Department staff øto the Mary
E. Switzer building in Washington, DC¿. (Department of Education
Appropriations Act, 2008.)
Program and Financing (in millions of dollars)
Identification code 91–0800–0–1–503

2007 actual

2008 est.

2009 est.

00.01
00.02
09.01

Obligations by program activity:
Program administration .................................................
Trust Fund ......................................................................
Reimbursable program ..................................................

10.00

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

444

414

447

21.40
22.00

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

26
421

3
414

3
447

23.90
23.95

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

447
¥444

417
¥414

450
¥447

24.40

Unobligated balance carried forward, end of year

416
411
444
25 ................... ...................
3
3
3

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
419
40.33
Appropriation permanently reduced (P.L. 110–161) ...................
Sfmt 3643

E:\BUDGET\EDU.XXX

EDU

418
444
¥7 ...................

374

DEPARTMENTAL MANAGEMENT—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2009
11.9
12.1
21.0
23.1
23.3

DEPARTMENTAL MANAGEMENT—Continued
PROGRAM ADMINISTRATION—Continued

Program and Financing (in millions of dollars)—Continued
Identification code 91–0800–0–1–503

43.00
58.00

2007 actual

2008 est.

2009 est.

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

419

411

444

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

421

414

447

72.40
73.10
73.20
73.40

74.40

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

24.0
25.1
25.2
25.3

70.00

Total personnel compensation ..............................
203
212
218
Civilian personnel benefits .......................................
50
54
56
Travel and transportation of persons .......................
6
5
6
Rental payments to GSA ...........................................
37
38
41
Communications, utilities, and miscellaneous
charges .................................................................
6
8
9
Printing and reproduction .........................................
2
4
4
Advisory and assistance services .............................
4
2
2
Other services ............................................................
25
21
22
Other purchases of goods and services from Government accounts .................................................
22
20
26
Operation and maintenance of equipment ...............
50
41
52
Supplies and materials .............................................
1
1
1
Equipment .................................................................
8
3
4
Land and structures .................................................. ................... ...................
3
Grants, subsidies, and contributions ........................
25 ................... ...................

147
164
125
444
414
447
¥424
¥453
¥439
¥3 ................... ...................

25.7
26.0
31.0
32.0
41.0

125

439
2
3

409
2
3

444
2
1

99.9

164

99.0
99.0
99.5

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

444

414

447

133

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

332
71
21

327
95
31

345
85
9

87.00

424

453

439

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

Employment Summary
Identification code 91–0800–0–1–503

1001
Offsets:
Against gross budget authority and outlays:
88.00
Offsetting collections (cash) from: Federal sources

ebenthall on PROD1PC69 with BUDGET PAG

¥3

11.1
11.3
11.5

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OFFICE
419
422

2007 actual

Jkt 214754

2,113

2,096

2009 est.

2,096

¥3

411
450

444
436

Object Classification (in millions of dollars)

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

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

2008 est.

¥2

The Program Administration account includes the direct
Federal costs of providing grants and administering elementary and secondary education, Indian education, English language acquisition, higher education, career, technical and
adult education, special education programs, and programs
for persons with disabilities. It also supports assessment, statistics, and research activities.
In addition, this account includes the cost of providing centralized support and administrative services, overall policy
development, and strategic planning for the Department. Included in the centralized activities are rent and mail services;
telecommunications; contractual services; financial management and accounting, including payments to schools, education agencies and other grant recipients, and preparation
of auditable financial statements; information technology
services; personnel management; personnel security; budget
formulation and execution; program evaluation; legal services;
congressional and public relations; and intergovernmental affairs.
Included in this account is the Department of Education’s
cost to relocate staff and renovate buildings occupied by Department staff.
Also included in this account are contributions from the
public. Activities supported include receptions for Blue Ribbon
Schools, Historically Black Colleges and Universities, and
School Recognition. Contributions not designated for a specific
purpose are in the account’s Gifts and Bequests Miscellaneous
Fund.
Reimbursable program.—Reimbursements to this account
are for providing administrative services to other agencies
and in-kind travel.

Identification code 91–0800–0–1–503

2007 actual

168
33
2
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2008 est.

2009 est.

197
11
4

202
12
4

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FOR

CIVIL RIGHTS

For expenses necessary for the Office for Civil Rights, as authorized
by section 203 of the Department of Education Organization Act,
ø$91,205,000¿ $101,040,000. (Department of Education Appropriations Act, 2008.)
Program and Financing (in millions of dollars)
Identification code 91–0700–0–1–751

2007 actual

2008 est.

2009 est.

00.01

Obligations by program activity:
Civil rights .....................................................................

101

10.00

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

101

22.00
23.95

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

91
¥91

90
¥90

101
¥101

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
91
40.33
Appropriation permanently reduced (P.L. 110–161) ...................

91
101
¥1 ...................

43.00

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

101

72.40
73.10
73.20

21
91
¥91

21
90
¥95

16
101
¥96

74.40

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

86.90
86.93

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

77
14

78
17

84
12

87.00

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

89.00
90.00

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

91
91

90
95

101
96

The Office for Civil Rights is responsible for ensuring that
no person is unlawfully discriminated against on the basis
of race, color, national origin, sex, disability, or age in the
delivery of services or the provision of benefits in programs
or activities of schools and institutions receiving financial assistance from the Department of Education. The authorities
under which the Office for Civil Rights operates are Title
VI of the Civil Rights Act of 1964 (racial and ethnic discrimiSfmt 3616

E:\BUDGET\EDU.XXX

EDU

HURRICANE EDUCATION RECOVERY
Federal Funds

DEPARTMENT OF EDUCATION

nation), Title IX of the Education Amendments of 1972 (sex
discrimination), section 504 of the Rehabilitation Act of 1973
(discrimination against individuals with a disability), the Age
Discrimination Act of 1975, the Americans with Disabilities
Act of 1990 and the Boy Scouts of America Equal Access
Act of 2002.
Object Classification (in millions of dollars)
Identification code 91–0700–0–1–751

11.1
11.3
11.5

2007 actual

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

2008 est.

2009 est.

51
54
3
3
1 ...................
55
13
1
8
1
2

57
15
1
8
1
1

60
15
1
9
1
5

25.7
31.0

3
6
1

2
4
1

3
6
1

99.0
99.5

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

90
90
101
1 ................... ...................

99.9

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

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

1001

2007 actual

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

OF THE

101

2008 est.

614

629

2009 est.

629

11.9
12.1
21.0
23.1
23.3
25.1
25.2
25.3

INSPECTOR GENERAL

2007 actual

99.0
99.5

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

49
1

50
1

54
1

99.9

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

2008 est.

270

2009 est.

280

Federal Funds
HURRICANE EDUCATION RECOVERY
Program and Financing (in millions of dollars)

22.00
23.95

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

50
¥50

51
¥51

55
¥55

Identification code 91–0013–0–1–500

New budget authority (gross), detail:
Discretionary:
40.00
Appropriation .............................................................
49
52
55
40.33
Appropriation permanently reduced (P.L. 110–161) ...................
¥1 ...................
42.00
Transferred from other accounts ..............................
1 ................... ...................
Appropriation (total discretionary) ........................

1
3
1

12
50
¥48

14
51
¥52

13
55
¥54

2007 actual

2008 est.

2009 est.

Obligations by program activity:
00.04 Hurricane educator assistance program .......................

30 ................... ...................

10.00

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

30 ................... ...................

22.00
23.95

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

30 ................... ...................
¥30 ................... ...................

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

30 ................... ...................

72.40
73.10
73.20

744
359 ...................
30 ................... ...................
¥415
¥359 ...................
359 ................... ...................

74.40

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

86.90
86.93

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

42
6

42
10

45
9

74.40

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

87.00

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

86.93

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

89.00

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

89.00

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

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PO 00000

282

Jkt 214754

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

2007 actual

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

2009 est.

15:42 Jan 24, 2008

25
28
9
10
2
2
5
5
1 ...................
3
3
1
1

HURRICANE EDUCATION RECOVERY
2008 est.

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

VerDate Aug 31 2005

23
25
27
1 ...................
1
2 ................... ...................
26
8
1
4
1
2
1

Identification code 91–1400–0–1–751

10.00

43.00

2009 est.

Total personnel compensation ..............................
Civilian personnel benefits ............................................
Travel and transportation of persons ............................
Rental payments to GSA ................................................
Communications, utilities, and miscellaneous charges
Advisory and assistance services ..................................
Other services ................................................................
Other purchases of goods and services from Government accounts ...........................................................
Operation and maintenance of equipment ...................
Equipment ......................................................................

Program and Financing (in millions of dollars)

Obligations by program activity:
00.01 Inspector General ...........................................................

2008 est.

Employment Summary

For expenses necessary for the Office of the Inspector General,
as authorized by section 212 of the Department of Education Organization Act, ø$51,753,000¿ $54,539,000. (Department of Education Appropriations Act, 2008.)

Identification code 91–1400–0–1–751

2007 actual

OFFICE

25.7
31.0

Employment Summary
Identification code 91–0700–0–1–751

Object Classification (in millions of dollars)
Identification code 91–1400–0–1–751

11.9
12.1
21.0
23.1
23.3
25.2
25.3

The Inspector General is responsible for the quality, coverage, and coordination of audit and investigation functions
relating to Federal education activities. The Inspector General
has the authority to inquire into all activities of the Department, including those performed under Federal education contracts, grants, or other agreements. Under the Chief Financial
Officers Act of 1990, the Inspector General is also responsible
for internal reviews of the Department’s financial systems
and audits of its financial statements.

56
3
1

Total personnel compensation ..............................
Civilian personnel benefits ............................................
Travel and transportation of persons ............................
Rental payments to GSA ................................................
Communications, utilities, and miscellaneous charges
Other services ................................................................
Other purchases of goods and services from Government accounts ...........................................................
Operation and maintenance of equipment ...................
Equipment ......................................................................

90.00

375

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EDU

415

359 ...................

30 ................... ...................

376

HURRICANE EDUCATION RECOVERY—Continued
Federal Funds—Continued

THE BUDGET FOR FISCAL YEAR 2009

HURRICANE EDUCATION RECOVERY—Continued
Program and Financing (in millions of dollars)—Continued
Identification code 91–0013–0–1–500

90.00

2007 actual

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

415

2008 est.

2009 est.

359 ...................

Amounts in this schedule reflect balances that are spending
out from prior-year appropriations.
f

GENERAL FUND RECEIPT ACCOUNTS
(in millions of dollars)
2007 actual

Offsetting receipts from the public:
91–143500 General Fund Proprietary Interest Receipts,
not Otherwise Classified ....................................................
91–271810 Federal Family Education Loan Program, Negative Subsidies ...................................................................
91–271830 Federal Family Education Loan Program,
Downward Reestimates of Subsidies .................................
91–274130 College Housing and Academic Facilities
Loan, Downward Reestimates of Subsidies .......................
91–278110 Federal Direct Student Loan Program, Negative Subsidies .....................................................................
Legislative proposal, subject to PAYGO ......................................
91–278130 Federal Direct Student Loan Program, Downward Reestimates of Subsidies .........................................
91–291500 Repayment of Loans, Capital Contributions,
Higher Education Activities ................................................
91–322000 All Other General Fund Proprietary Receipts
Including Budget Clearing Accounts .................................
General Fund Offsetting receipts from the public .....................

2008 est.

2009 est.

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

2,578 ...................

3,715

2,456 ...................

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

20 ...................

...................
10
................... ...................
985

87
1,591

574 ...................

115
4,870

47
5,747

47
1,787

Intragovernmental payments: ......................................................
91–388500 Undistributed Intragovernmental Payments
and Receivables from Cancelled Accounts ........................

General Fund Intragovernmental payments ................................

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GENERAL PROVISIONS
SEC. 301. No funds appropriated in this Act may be used for the
transportation of students or teachers (or for the purchase of equipment for such transportation) in order to overcome racial imbalance
in any school or school system, or for the transportation of students
or teachers (or for the purchase of equipment for such transportation)
in order to carry out a plan of racial desegregation of any school
or school system.
SEC. 302. None of the funds contained in this Act shall be used
to require, directly or indirectly, the transportation of any student
to a school other than the school which is nearest the student’s
home, except for a student requiring special education, to the school
offering such special education, in order to comply with title VI of
the Civil Rights Act of 1964. For the purpose of this section an
indirect requirement of transportation of students includes the transportation of students to carry out a plan involving the reorganization
of the grade structure of schools, the pairing of schools, or the clustering of schools, or any combination of grade restructuring, pairing
or clustering. The prohibition described in this section does not include the establishment of magnet schools.
SEC. 303. No funds appropriated in this Act may be used to prevent
the implementation of programs of voluntary prayer and meditation
in the public schools.
(TRANSFER OF FUNDS)

SEC. 304. Not to exceed 1 percent of any discretionary funds (pursuant to the Balanced Budget and Emergency Deficit Control Act of
1985) which are appropriated for the Department of Education in
this Act may be transferred between appropriations, but no such
appropriation shall be increased by more than 3 percent by any
such transfer: Provided, That the transfer authority granted by this
section shall be available only to meet emergency needs and shall
not be used to create any new program or to fund any project or
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activity for which no funds are provided in this Act: Provided further,
That the Committees on Appropriations of the House of Representatives and the Senate are notified at least 15 days in advance of
any transfer.
øSEC. 305. None of the funds made available in this Act may
be used to promulgate, implement, or enforce any revision to the
regulations in effect under section 496 of the Higher Education Act
of 1965 on June 1, 2007, until legislation specifically requiring such
revision is enacted.¿
øSEC. 306. (a) MAINTENANCE OF INTEGRITY AND ETHICAL VALUES
WITHIN DEPARTMENT OF EDUCATION.—Within 60 days after the enactment of this Act, the Secretary of Education shall implement procedures—
(1) to assess whether a covered individual or entity has a potential financial interest in, or impaired objectivity towards, a product
or service purchased with, or guaranteed or insured by, funds administered by the Department of Education or a contracted entity
of the Department; and
(2) to disclose the existence of any such potential financial interest or impaired objectivity.
(b) REVIEW BY INSPECTOR GENERAL.—
(1) Within 60 days after the implementation of the procedures
described in subsection (a), the Inspector General of the Department of Education shall report to the Committees on Appropriations of the House of Representatives and the Senate on the adequacy of such procedures.
(2) Within 1 year, the Inspector General shall conduct at least
1 review to ensure that such procedures are properly implemented
and are effective to uncover and disclose the existence of potential
financial interests or impaired objectivity described in subsection
(a).
(3) The Inspector General shall report to such Committees any
recommendations for modifications to such procedures that the Inspector General determines are necessary to uncover and disclose
the existence of such potential financial interests or impaired objectivity.
(c) DEFINITION.—For purposes of this section, the term ‘‘covered
individual or entity’’ means—
(1) an officer or professional employee of the Department of Education;
(2) a contractor or subcontractor of the Department, or an individual hired by the contracted entity;
(3) a member of a peer review panel of the Department; or
(4) a consultant or advisor to the Department.¿
øSEC. 307. (a) Notwithstanding section 8013(9)(B) of the Elementary and Secondary Education Act of 1965, North Chicago Community
Unit School District 187, North Shore District 112, and Township
High School District 113 in Lake County, Illinois, and Glenview Public School District 34 and Glenbrook High School District 225 in
Cook County, Illinois, shall be considered local educational agencies
as such term is used in and for purposes of title VIII of such Act
for fiscal years 2008 and 2009.
(b) Notwithstanding any other provision of law, federally connected
children (as determined under section 8003(a) of the Elementary and
Secondary Education Act of 1965) who are in attendance in the North
Shore District 112, Township High School District 113, Glenview
Public School District 34, and Glenbrook High School District 225
described in subsection (a), shall be considered to be in attendance
in the North Chicago Community Unit School District 187 described
in subsection (a) for purposes of computing the amount that the
North Chicago Community Unit School District 187 is eligible to
receive under subsection (b) or (d) of such section for fiscal years
2008 and 2009 if—
(1) such school districts have entered into an agreement for such
students to be so considered and for the equitable apportionment
among all such school districts of any amount received by the
North Chicago Community Unit School District 187 under such
section; and
(2) any amount apportioned among all such school districts pursuant to paragraph (1) is used by such school districts only for
the direct provision of educational services.¿
øSEC. 308. Prior to January 1, 2008, the Secretary of Education
may not terminate any voluntary flexible agreement under section
428A of the Higher Education Act of 1965 that existed on October
1, 2007. With respect to an entity with which the Secretary of Education had a voluntary flexible agreement under section 428A of
the Higher Education Act of 1965 on October 1, 2007 that is not
cost neutral, if the Secretary terminates such agreement on or after
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GENERAL PROVISIONS—Continued

DEPARTMENT OF EDUCATION
January 1, 2008, the Secretary of Education shall, not later than
March 31, 2008, negotiate to enter, and enter, into a new voluntary
flexible agreement with such entity so that the agreement is cost
neutral, unless such entity does not want to enter into such agreement.¿
øSEC. 309. Notwithstanding section 102(a)(4)(A) of the Higher Education Act of 1965, the Secretary of Education shall not take into
account a bankruptcy petition filed in the United States Bankruptcy
Court for the Northern District of New York on February 21, 2001,
in determining whether a nonprofit educational institution that is
a subsidiary of an entity that filed such petition meets the definition
of an ‘‘institution of higher education’’ under section 102 of that
Act.¿
ø(RESCISSION

458 of the Higher Education Act and the Higher Education Reconciliation Act of 2005, $25,000,000 are rescinded.¿
øSEC. 311. The Secretary of Education shall—
(1) deem each local educational agency that received a fiscal
year 2007 basic support payment for heavily impacted local educational agencies under section 8003(b)(2) of the Elementary and
Secondary Education Act of 1965 (20 U.S.C. 7703(b)(2)) as eligible
to receive a fiscal year 2008 basic support payment for heavily
impacted local educational agencies under such section; and
(2) make a payment to such local educational agency under such
section for fiscal year 2008. ¿ (Department of Education Appropriations Act, 2008.)

OF FUNDS)¿

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øSEC. 310. Of the unobligated balances available under the Federal
Direct Student Loan Program Administration authorized by section

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377

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EDU