2004 Budget of the United States Government - tables

SUMMARY TABLES THE BUDGET FOR FISCAL YEAR 2004 Table S–1. Budget Totals (Dollar amounts in billions) 2002 In billions of dollars: Receipts ............................................ Outlays.............................................. Deficit ............................................ Debt held by the public ..................... As a percent of GDP: Receipts ............................................ Outlays.............................................. Deficit ............................................ Debt held by the public ..................... 2003 2004 2005 2006 2007 2008 1,853 2,011 -158 3,540 1,836 2,140 -304 3,878 1,922 2,229 -307 4,166 2,135 2,343 -208 4,387 2,263 2,464 -201 4,603 2,398 2,576 -178 4,797 2,521 2,711 -190 5,003 17.9 19.5 -1.5 34.3 17.1 19.9 -2.8 36.1 17.0 19.7 -2.7 36.9 18.0 19.7 -1.8 36.9 18.1 19.7 -1.6 36.9 18.3 19.7 -1.4 36.6 18.3 19.7 -1.4 36.4 311 312 Table S–2. Budget Summary by Category (In billions of dollars) 2002 Outlays: Discretionary: Defense (050)................................................................ Nondefense ................................................................... Total, Discretionary .................................................... Mandatory: Social Security .............................................................. Medicare........................................................................ Medicaid and SCHIP ..................................................... Other ............................................................................. Total, Mandatory ........................................................ Net interest........................................................................ Total Outlays......................................................................... Receipts................................................................................ Deficit ................................................................................ On-budget deficit............................................................... Off-budget surplus ............................................................ 2003 2004 2005 2006 2007 2008 Total 2004–2008 349 385 734 452 228 151 274 1,106 171 2,011 1,853 -158 -317 160 376 416 791 474 241 167 305 1,188 161 2,140 1,836 -304 -468 163 390 429 819 493 255 185 301 1,234 176 2,229 1,922 -307 -482 175 410 440 850 512 272 199 307 1,289 204 2,343 2,135 -208 -407 199 423 447 870 533 301 217 319 1,369 225 2,464 2,263 -201 -412 211 436 455 891 559 323 234 329 1,445 240 2,576 2,398 -178 -406 228 460 466 926 587 345 254 344 1,531 254 2,711 2,521 -190 -433 243 2,119 2,237 4,356 2,684 1,497 1,089 1,599 6,868 1,099 12,323 11,239 -1,084 -2,140 1,056 SUMMARY TABLES THE BUDGET FOR FISCAL YEAR 2004 Table S–3. Impact of Budget Policy (In billions of dollars) 2003 Current baseline surplus/deficit ................. Budget proposals: Economic growth package ..................... Defense and homeland security ............ Strengthening Medicare......................... Aid to education ..................................... Incentives for charitable giving............... Health tax credits ................................... Extension of expiring tax provisions....... Other proposals ..................................... Related debt service .............................. Subtotal, budget proposals........................ Budget deficit............................................. * $500 million or less. 2004 -158 2005 -40 2006 5 2007 29 2008 51 Total 2004-2008 -114 -264 -33 -3 — -* -* — -1 -3 -* -40 -304 -114 -12 -6 -1 -2 -1 -5 -5 -4 -149 -307 -88 -22 -10 -6 -2 -7 -14 -8 -11 -168 -208 -69 -28 -33 -10 -2 -12 -18 -14 -20 -205 -201 -56 -31 -38 -11 -2 -13 -7 -20 -30 -207 -178 -54 -45 -43 -11 -2 -15 -8 -22 -40 -241 -190 -380 -138 -130 -39 -9 -48 -53 -68 -105 -970 -1,084 313 314 Table S–4. Discretionary Totals (Budget authority; dollar amounts in billions) 2002 Enacted Estimate 2003 Discretionary budget authority: Homeland security (non-Defense) ...................................... Department of Defense ...................................................... Other operations of government ......................................... Total, Discretionary budget authority................................. 2004 2003-2004 Change Dollar Percent 13 328 350 691 Estimate 2004 27 365 360 752 28 380 374 782 2004-2005 Change Dollar 31 1 15 14 30 1 5.5% 4.2% 3.8% 4.0% 2005 813 Percent 4.0% Total, Discretionary budget authority................................. 782 Assumptions: — All totals include mass transit budget authority. — 2002: $686 billion enacted discretionary funding adjusted for technical re-estimates. In addition, $44 billion was provided in supplemental acts, $29 billion for recurring purposes. — 2003: Presidentially approved spending level: House passed budget resolution, adjusted for mass transit. 1 Discretionary homeland security only. Including mandatory and fee funded costs, homeland security grows 7.6 percent. SUMMARY TABLES THE BUDGET FOR FISCAL YEAR 2004 Table S–5. Homeland Security Funding by Agency (Budget authority in millions of dollars) 2002 Enacted Supplemental Non-Defense Homeland Security Funding: Department of Agriculture............................................................................... Department of Commerce .............................................................................. Department of Energy..................................................................................... Department of Health and Human Services ................................................... Department of Homeland Security.................................................................. Department of Justice..................................................................................... Department of State........................................................................................ Department of the Treasury ............................................................................ Department of Transportation ......................................................................... Department of Veterans Affairs....................................................................... Corps of Engineers ......................................................................................... Environmental Protection Agency................................................................... Social Security Administration ........................................................................ National Aeronautics and Space Administration............................................. National Science Foundation .......................................................................... Postal Service ................................................................................................. Other Agencies ............................................................................................... Total, Non-Defense Homeland Security Funding .......................................... Department of Defense—Military.................................................................... Total, Homeland Security Funding, including Defense................................. Estimate 2003 2004 230 99 1,067 433 11,398 1,019 438 84 635 47 — 13 113 114 240 — 267 16,197 4,423 20,620 322 19 153 1,480 5,982 1,125 39 32 785 2 139 174 8 109 19 587 556 11,531 733 12,264 396 133 1,164 3,987 22,035 1,947 658 80 258 132 65 134 132 164 264 — 623 32,172 8,863 41,035 390 153 1,361 3,776 23,890 2,290 811 91 284 145 104 124 147 170 307 — 590 34,633 1 6,714 41,347 Total, Homeland Security Funding, including Defense ..................................................... Less Mandatory Homeland Security Funding 2 ............................................................. Less Discretionary Fee-Funded Activities 3................................................................... Less Department of Defense—Military ......................................................................... Net Non-Defense Discretionary Homeland Security Budget Authority............................. 20,620 -1,656 -1,828 -4,423 12,713 12,264 — — -733 11,531 41,035 -2,006 -3,406 -8,863 26,760 41,347 -2,897 -3,497 -6,714 28,239 1 2 3 Defense homeland security funding falls in 2004 due to one-time force protection investments in 2003. Mandatory homeland security programs include Agricultural Quarantine and Inspections, Border Protection, and Immigration Enforcement. Discretionary fee-funded homeland security programs include Visa Processing, Airport Security, and Social Security physical and computer security measures. 315 316 Table S–6. Percentage Year-to-Year Growth in Discretionary Budget Authority Agency Agriculture .......................................................... Commerce .......................................................... Defense .............................................................. Education............................................................ Energy ................................................................ Health and Human Services............................... Housing and Urban Development....................... Interior ................................................................ State and International Assistance Programs .... Labor .................................................................. Veterans Affairs .................................................. Corps of Engineers............................................. Environmental Protection Agency Operating Program .......................................................... National Aeronautics and Space Administration National Science Foundation.............................. Small Business Administration ........................... Social Security Administration ............................ Homeland Security Agencies (see below).......... Other Agencies................................................... Total (excluding emergency response funding) ....................................................... Total (including emergency response funding) 1998 to 1999 4 29 6 -3 7 12 12 -1 23 3 2 -2 5 * 7 16 * 1 5 6 6 1999 to 2000 4 61 5 2 -1 9 -6 6 2 -20 9 1 1 * 6 7 2 6 -3 4 4 2000 to 2001 13 -41 5 37 13 19 34 21 -4 36 7 14 9 5 13 1 8 14 * 10 13 2001 to 2002 3 6 8 21 4 10 4 2 6 2 6 -4 1 4 8 -15 6 7 -14 8 11 2002 to 2003 -2 -5 11 4 5 9 5 -2 7 -4 6 -10 2 1 5 2 5 11 14 9 2 2003 to 2004 * 5 4 6 6 3 1 3 12 -1 11 1 7 3 9 2 9 3 7 4 4 Average Growth 1998-2004 4 4 7 10 6 10 8 5 7 1 7 * 4 2 8 2 5 7 1 7 7 Agencies principally affected by creation of the Department of Homeland Security 1: Department of Homeland Security ..................... Justice 2 ............................................................... Transportation 2 ................................................... Treasury 2 ............................................................ Federal Emergency Management Agency 2 ....... 62 -1 * 5 5 -3 6 4 Average Growth 2002 to 2004 SUMMARY TABLES 5 -14 12 18 2 13 -2 37 13 28 16 -38 -12 -30 -27 26 31 -2 3 4 * 0.5 percent or less. 1 For agencies in the box, the comparable amounts back to 1998 are not available as of the printing of this budget. These agencies are shown as transferred to the Department of Homeland Security from 2002 to 2004 for comparability. 2 Growth rates shown for 1998 to 2001 reflect the old structure. THE BUDGET FOR FISCAL YEAR 2004 Table S–7. Discretionary Budget Authority by Agency (Dollars in billions) Agency 2002 Actual 20.0 5.4 327.8 48.5 20.9 59.5 15.7 29.4 10.5 23.0 18.6 12.1 12.9 10.5 23.8 4.5 7.9 3.9 14.8 4.8 0.8 6.4 13.2 — 690.9 43.8 734.7 Estimate 2003 19.5 5.1 364.6 50.3 22.1 64.6 25.4 30.9 10.2 24.5 18.3 11.6 12.9 11.0 25.4 4.0 7.6 4.0 15.0 5.0 0.8 6.7 15.1 1.1 751.8 * 751.8 2004 19.5 5.4 379.9 53.1 23.4 66.2 26.7 31.3 10.6 27.4 17.7 11.5 13.7 11.4 28.1 4.0 7.6 4.3 15.5 5.5 0.8 7.3 16.1 -0.5 782.2 * 782.2 Change: 2003–2004 * 0.3 15.3 2.8 1.3 1.6 1.3 0.4 0.4 2.9 -0.6 -0.1 0.8 0.4 2.7 * * 0.3 0.5 0.5 * 0.6 1.1 –1.7 30.4 * 30.4 Agriculture ............................................................................................ Commerce ............................................................................................ Defense ................................................................................................ Education.............................................................................................. Energy .................................................................................................. Health and Human Services................................................................. Homeland Security ............................................................................... Housing and Urban Development......................................................... Interior .................................................................................................. State and International Assistance Programs ...................................... Justice .................................................................................................. Labor .................................................................................................... Transportation....................................................................................... Treasury................................................................................................ Veterans Affairs .................................................................................... Corps of Engineers............................................................................... Environmental Protection Agency ........................................................ Environmental Protection Agency Operating Program ..................... National Aeronautics and Space Administration .................................. National Science Foundation................................................................ Small Business Administration ............................................................. Social Security Administration .............................................................. Other Agencies..................................................................................... Allowances 1 .......................................................................................... Total, excluding emergency response funding.................................. Emergency response funding............................................................... Total, including emergency response funding................................... * $50 million or less. 1 Adjusted in 2003 for the Presidentially approved spending level (the House-passed budget resolution, adjusted for mass transit) and includes a $1.3 billion adjustment for the reclassification of the Crime Victims fund as mandatory. 317 318 Table S–8. Discretionary Proposals By Appropriations Subcommittee (Budget authority in billions of dollars) Appropriations Subcommittee Agriculture and Rural Development.............................................. Commerce, Justice, State, and the Judiciary ............................... Defense ........................................................................................ District of Columbia ...................................................................... Energy and Water Development................................................... Foreign Operations....................................................................... Interior and Related Agencies ...................................................... Labor, Health and Human Services, and Education..................... Legislative..................................................................................... Military Construction..................................................................... Transportation and Related Agencies .......................................... Treasury and General Government .............................................. Veterans Affairs, Housing and Urban Development ..................... Allowances 1 .................................................................................. Department of Homeland Security ............................................... Total, excluding emergency response funding.......................... Emergency response funding....................................................... 2002 Enacted 16.9 37.5 317.3 0.3 24.8 15.1 19.5 123.7 3.0 10.6 12.8 12.1 81.6 — 15.7 690.9 43.8 2003 Estimate 17.0 38.0 354.3 0.2 25.4 16.5 19.1 130.2 3.4 10.5 12.8 12.8 85.1 1.1 25.4 751.8 — 2004 Change: Estimate 2003-2004 16.9 38.6 371.0 0.3 26.8 18.8 19.7 135.1 3.8 9.0 13.5 13.5 89.1 -0.5 26.7 782.2 — -0.1 0.6 16.7 * 1.4 2.3 0.5 4.9 0.3 -1.5 0.7 0.7 4.0 -1.7 1.3 30.4 — * $50 million or less. 1 Adjusted in 2003 for the Presidentially approved spending level (the House-passed budget resolution, adjusted for mass transit) and includes a $1.3 billion adjustment for the reclassification of the Crime Victims fund as mandatory. SUMMARY TABLES THE BUDGET FOR FISCAL YEAR 2004 Table S–9. Mandatory Proposals (In millions of dollars) 2003 2004 2005 2006 2007 2008 Total 2004–2008 2004–2013 130,000 400,000 Medicare Modernization.......................................................... Economic Growth Plan: 1 Personal Re-employment Accounts....................................... Refundable Child Tax Credit .................................................. Subtotal, Economic Growth Package ................................. Medicaid/State Children’s Health Insurance Program (SCHIP): Medicaid/SCHIP Reform........................................................ Disability/New Freedom Initiatives ......................................... Medicaid Rebate Reform ....................................................... Other Medicaid Proposals...................................................... Subtotal, Medicaid/SCHIP.................................................. Welfare Reform: Temporary Assistance for Needy Families Reauthorization... Child Support Enforcement: Increase Collections and Improve Program Effectiveness.......................................... Child Welfare Program Option ............................................... Extend Abstinence Education ................................................ Subtotal, Welfare Reform ................................................... Other Proposals: Agriculture: Limit Conservation Security Program................................. Forest Service Recreation Fee Proposal ........................... School Lunch: Require Third-Party Verification of Income and Reinvest Program Savings ...................................... Subtotal, Agriculture ....................................................... Education: Teacher Loan Forgiveness ................................................. — 6,000 10,000 33,000 38,000 43,000 1,600 300 1,900 2,000 1,074 3,074 — 4,783 4,783 — 4,272 4,272 — 4,195 4,195 — 4,142 4,142 2,000 18,466 20,466 2,000 25,239 27,239 — — — 225 225 3,258 180 -384 359 3,412 1,053 184 -432 579 1,384 1,664 197 -481 426 1,805 1,213 212 -531 437 1,330 1,756 221 -581 457 1,854 8,944 993 -2,409 2,257 9,786 -66 1,338 -6,421 2,687 -2,462 -4 — — 7 3 147 -61 31 37 154 310 -47 88 42 393 334 10 127 47 519 325 51 -13 50 413 324 48 -205 36 204 1,441 2 28 212 1,683 3,069 221 40 218 3,548 — — — — — — — — — 178 -215 -17 — -232 47 -332 -12 — -344 50 -447 -7 — -454 54 -603 -2 — -605 55 -1,597 -38 — -1,635 384 -5,200 22 — -5,178 696 319 320 Table S–9. Mandatory Proposals—Continued (In millions of dollars) 2003 2004 2005 2006 2007 2008 Total 2004–2008 2004–2013 Energy: Power Marketing Associations to Directly Fund Corps of Engineers’ Operation and Maintenance Expenses......... Increase BPA’s Borrowing Authority................................... Arctic National Wildlife Refuge (ANWR), Lease Bonuses .. Subtotal, Energy ............................................................. Homeland Security: Extend Customs User Fees ............................................... Vaccine Biodefense ............................................................ Subtotal, Homeland Security .......................................... Interior: ANWR, Lease Bonuses: State of Alaska’s share: Receipts ...................................................................... Expenditure ................................................................. Federal share.................................................................. Compacts of Free Association - financial assistance ......... Permanent Recreation Fee Authority ................................. Correct trust accounting deficiencies in individual Indian money investments ......................................................... Increase Indian Gaming Commission Fees 1...................... Bureau of Land Management Land Sale Authority: Receipts.......................................................................... Expenditure..................................................................... Subtotal, Interior.......................................................... Labor: Reform Unemployment Insurance Administration .............. Reform Federal Employees Compensation Act (FECA) .... Refinance Black Lung Disability Trust Fund Debt: Black Lung Disability Trust Fund..................................... Interest Receipts on Repayable Advances ..................... Subtotal, Labor............................................................ Transportation: Federal-aid Highway Program: Increase Emergency Relief............................................................................... 149 — — 149 — — — 145 — — 145 -1,398 575 -823 148 85 -1,200 -967 -1,490 840 -650 151 430 — 581 -1,588 790 -798 154 185 — 339 -1,692 635 -1,057 158 — — 158 -1,804 578 -1,226 756 700 -1,200 256 -7,972 3,418 -4,554 1,603 700 -1,200 1,103 -18,939 5,593 -13,346 — — — — — 7 — — — 7 — — — — — — — — 19 — — — -10 — 9 — -10 1,851 -1,851 -10 –1,201 1,201 -1 20 -13 — 3 -25 — -16 — -17 -444 444 -17 -1 1 –1 21 12 — 4 -34 10 12 — -16 -433 433 -16 -101 101 -101 22 49 — 4 -42 25 –43 718 -9 -429 429 709 -1 1 -1 23 88 — 5 -50 34 99 1,712 -8 -423 423 1,704 -1,304 1,304 -104 105 136 — 16 -161 69 61 2,430 -60 122 -122 2,370 -1,588 1,588 -388 235 587 — 41 -444 337 368 17,336 -130 -1,913 1,913 17,206 SUMMARY TABLES — 27 68 84 94 100 373 873 THE BUDGET FOR FISCAL YEAR 2004 Table S–9. Mandatory Proposals—Continued (In millions of dollars) 2003 2004 2005 2006 2007 2008 Total 2004–2008 2004–2013 Treasury: Pay financial institutions for their services in lieu of providing compensating balances: Financial Agent Reimbursement Fund ........................... Interest on Treasury Debt Securities .............................. Subtotal, compensating balances ............................... Internal Revenue Service Collection Contractor Support... Move Asset Forfeiture Fund to the Department of Justice: Treasury Asset Forfeiture Fund ...................................... Justice Asset Forfeiture Fund ......................................... Extend the Rum Carryover for Puerto Rico........................ Outlay Effects of Refundable Tax Credits: 1 Child Credit ..................................................................... Earned Income Tax Credit .............................................. Education Credit ............................................................. Health Credit................................................................... Subtotal, refundable tax credits................................... Subtotal, Treasury ................................................... Veterans Affairs: Reverse Allen Case providing compensation for drug and alcohol abuse related disabilities .................................... Payment of full compensation to New Philippine Scouts and DIC survivors of Filipino veterans if they reside in the United States ............................................................ Eliminate the “45 Day Rule” for Death Pension .................. Revision to Montgomery G.I. Bill to Provide for On-the-Job Training in Self-Employment ........................................... Retroactivity for Second Headstone or Marker Benefit ...... Allow states to receive a burial plot allowance for all veterans buried at no cost in state veterans cemeteries. Alternate Beneficiary to Claim National Service Life Insurance and Veterans Special Life Insurance Policy Proceeds......................................................................... Amend the law to provide the same extension of time for using education benefits for members of the National Guard.............................................................................. — — — — — — — — — — — — — 386 -386 — 2 -221 221 57 — — 213 — 213 272 396 -638 -242 96 -221 221 78 — — 543 3,546 4,089 4,021 400 -540 -140 146 -221 221 19 — — 714 8,166 8,880 8,905 408 -539 -131 146 -221 221 — — — 796 9,251 10,047 10,062 416 -540 -124 146 -221 221 — — — 886 9,827 10,713 10,735 2,006 -2,643 -637 536 -1,105 1,105 154 — — 3,152 30,790 33,942 33,995 4,169 -5,321 -1,152 1,266 -2,210 2,210 154 20,781 3,744 3,626 87,608 115,759 116,027 — -127 -302 -392 -460 -502 -1,783 -4,559 — — — — — 3 1 * 5 * 4 1 * 3 * 4 1 * 3 * 4 1 * 1 * 5 1 * 1 * 19 6 2 13 2 46 13 4 13 4 — — — 6 5 4 15 17 321 — * * * 1 1 3 5 322 Table S–9. Mandatory Proposals—Continued (In millions of dollars) 2003 2004 2005 2006 2007 2008 Total 2004–2008 2004–2013 Move Transitional Housing Program from a mandatory loan to a discretionary grant program ............................. Subtotal, Veterans Affairs ............................................... Federal Communications Commission (FCC): Analog Spectrum Lease Fee.............................................. Extend Spectrum Auction Authority and Authorize Other Economic Mechanisms (Fees) ....................................... Subtotal, FCC.............................................................. Federal Deposit Insurance Corporation: Merge Bank Insurance Fund and Savings Association Insurance Fund............................................................... Office of Personnel Management (OPM): Postal Service Pension Proposal: On-budget....................................................................... Off-budget....................................................................... Simplify computation of annuities under the Civil Service Retirement Service for part-time service ........................ Subtotal, OPM............................................................. Social Security Administration (SSA): Close Loophole that Allows Some Workers to Avoid Government Pension Offset............................................ Reduce Improper Payments by Requiring Reporting of Non-Social Security Covered Pension Income ............... Compensation for 2000-01 Military Wage Credits: On-budget....................................................................... Off-budget....................................................................... Supplemental Security Income Pre-Effectuation Reviews and Other Technical Adjustments ................................... Subtotal, SSA.............................................................. Multi-Agency: Spectrum Relocation Fund................................................. — — — — — -5 -122 — — — -10 -303 — -10 -10 -10 -387 — -25 -25 -10 -457 -500 1,950 1,450 -5 -495 -500 1,900 1,400 -40 -1,764 -1,000 3,815 2,815 -40 -4,498 -2,530 -4,060 -6,590 — 440 824 295 — 21 1,580 1,805 3,490 -3,490 — — 2,658 -2,658 3 3 2,851 -2,851 8 8 2,873 -176 14 2,711 3,065 — 20 3,085 3,411 — 27 3,438 14,858 -5,685 72 9,245 36,719 -5,685 313 31,347 — — — — — — — — — 628 -628 — — — — — — — -16 -16 200 -5 -195 — — -36 -236 400 -5 -295 — — -57 -357 500 -10 -260 — — -85 -355 600 -20 -750 628 -628 -194 -964 1,700 -90 -2,180 628 -628 -1,062 -3,337 2,500 SUMMARY TABLES THE BUDGET FOR FISCAL YEAR 2004 Table S–9. Mandatory Proposals—Continued (In millions of dollars) 2003 2004 2005 2006 2007 2008 Total 2004–2008 2004–2013 Indirect Impact of Other Proposals (Third Scorecard): Medicare Program Management User Fee Effects on Supplemental Medical Insurance Premiums .................. Postal Service Pension Proposal Effect on Federal Financing Bank Revolving Fund ..................................... Enact FECA Surcharge ...................................................... Total, Mandatory Proposals ................................................ Total, Excluding Medicare Modernization........................... * $500,000 or less. 1 Affects both receipts and outlays. Only the outlay effect is shown here. — 2 — 2,286 2,286 — 5 — 12,764 6,764 35 9 -4 19,557 9,557 12 11 -5 50,846 17,846 — 11 -5 57,870 19,870 — 10 -3 64,836 21,836 47 46 -17 205,872 75,872 298 86 -24 567,666 167,666 323 324 Table S–10. Effect of Proposals on Receipts (In millions of dollars) 2003 Economic Growth Package: Accelerate 10-percent individual income tax rate bracket expansion .................................................................... Accelerate reduction in individual income tax rates ........ Accelerate marriage penalty relief .................................. Accelerate increase in child tax credit 1 ........................... Eliminate the double taxation of corporate earnings....... Increase expensing for small business ........................... Provide minimum tax relief to individuals........................ Total economic growth package .................................. Tax Incentives: Provide incentives for charitable giving: Provide charitable contribution deduction for nonitemizers ............................................................ Permit tax-free withdrawals from IRAs for charitable contributions ............................................................ Expand and increase the enhanced charitable deduction for contributions of food inventory ........... Reform excise tax based on investment income of private foundations .................................................. Modify tax on unrelated business taxable income of charitable remainder trusts ...................................... Modify basis adjustment to stock of S corporations contributing appreciated property ............................ Repeal the $150 million limitation on qualified 501(c)(3) bonds ....................................................... Repeal restrictions on the use of qualified 501(c)(3) bonds for residential rental property ........................ Strengthen and reform education: Provide refundable tax credit for certain costs of attending a different school for pupils assigned to failing public schools 2 .............................................. Extend, increase and expand the above-the-line deduction for qualified out-of-pocket classroom expenses ................................................................. Invest in health care: 2004 2005 2006 2007 2008 Total 2004–2008 2004–2013 -978 -7,782 -5,808 -35,693 -2,776 -27,134 -13,527 -5,060 -3,801 -24,874 -1,023 -1,652 -3,141 -8,534 -31,054 -110,729 -6,112 -17,470 -14,680 -10,735 -22,062 -1,776 -10,353 -83,188 -6,117 -4,939 -7,642 -8,534 -28,218 -1,912 -6,931 -64,293 -6,495 — -3,595 -8,532 -31,126 -1,601 — -51,349 -4,275 — -1,735 -8,502 -33,952 -1,431 — -49,895 -30,781 -58,102 -54,786 -41,363 -140,232 -8,372 -25,818 -359,454 -47,194 -58,102 -55,210 -53,306 -360,324 -14,583 -25,818 -614,537 -199 -66 -19 -16 -1 — -2 — -1,358 -437 -54 -264 -3 -12 -6 -2 -1,067 -361 -59 -172 -4 -11 -9 -6 -1,128 -376 -66 -178 -4 -14 -10 -11 -1,177 -382 -72 -186 -4 -16 -9 -17 -1,214 -388 -79 -198 -4 -19 -9 -24 -5,944 -1,944 -330 -998 -19 -72 -43 -60 -12,571 -4,076 -872 -2,192 -51 -216 -82 -276 SUMMARY TABLES — -13 -29 -38 -42 -46 -168 -192 — -23 -229 -240 -249 -260 -1,001 -2,352 THE BUDGET FOR FISCAL YEAR 2004 Table S–10. Effect of Proposals on Receipts—Continued (In millions of dollars) 2003 Provide refundable tax credit for the purchase of health insurance 3 ..................................................... Provide an above-the-line deduction for long-term care insurance premiums ........................................ Allow up to $500 in unused benefits in a health flexible spending arrangement to be carried forward to the next year .................................................................. Provide additional choice with regard to unused benefits in a health flexible spending arrangement.. Permanently extend and reform Archer MSAs ............ Provide an additional personal exemption to home caregivers of family members .................................. Allow the orphan drug tax credit for certain pre-designation expenses........................................ Encourage telecommuting: Exclude from income the value of employer-provided computers, software and peripherals....................... Increase housing opportunities: Provide tax credit for developers of affordable single-family housing ............................................... Encourage saving: Establish Individual Development Accounts (IDAs)..... Protect the environment: Permanently extend expensing of brownfields remediation costs..................................................... Exclude 50 percent of gains from the sale of property for conservation purposes ....................................... Increase energy production and promote energy conservation: Extend and modify the tax credit for producing electricity from certain sources ................................ Provide tax credit for residential solar energy systems Modify treatment of nuclear decommissioning funds .. Provide tax credit for purchase of certain hybrid and fuel cell vehicles....................................................... Provide tax credit for energy produced from landfill gas ........................................................................... 2004 2005 2006 2007 2008 Total 2004–2008 2004–2013 -3,210 -6,641 -1,550 -28,255 — — -324 -112 -1,449 -559 -889 -984 -409 -1,923 -139 -3,063 — — — — — -367 -19 -26 -70 — -640 -33 -284 -465 — -723 -39 -432 -437 -1 -782 -45 -486 -422 -1 -830 -52 -549 -417 -1 -3,342 -188 -1,777 -1,811 -3 -8,385 -595 -5,134 -3,892 -8 — -35 -51 -53 -54 -56 -249 -554 — — -7 — -78 -124 -315 -267 -750 -319 -1,316 -300 -2,466 -1,010 -16,133 -1,347 — — -185 -21 -282 -44 -268 -46 -257 -48 -248 -50 -1,240 -209 -2,356 -531 -124 -4 -14 -44 -5 -264 -7 -251 -154 -28 -355 -10 -180 -316 -65 -209 -18 -191 -524 -88 -90 -25 -201 -793 -99 -92 -11 -212 -631 -112 -1,010 -71 -1,035 -2,418 -392 -1,492 -71 -2,260 -3,202 325 -707 326 Table S–10. Effect of Proposals on Receipts—Continued (In millions of dollars) 2003 Provide tax credit for combined heat and power property ................................................................... Provide excise tax exemption (credit) for ethanol 4 ...... Promote trade: Implement free trade agreements with Chile and Singapore 5............................................................... Improve tax administration: Implement IRS administrative reforms ........................ Permit private collection agencies to engage in specific, limited activities to support IRS collection efforts....................................................................... Combat abusive tax avoidance transactions ............... Limit related party interest deductions ........................ Reform unemployment insurance: Reform unemployment insurance administrative financing 5 ................................................................ Total tax incentives............................................... Other Proposals: Deposit full amount of excise tax imposed on gasohol in the Highway Trust Fund 5 ............................................. Increase Indian gaming activity fees............................... Total other proposals ............................................... Simplify the Tax Laws: Establish uniform definition of a qualifying child ............. Simplify adoption tax provisions...................................... Expand tax-free savings opportunities............................ Consolidate employer-based savings accounts.............. Total simplify the tax laws ........................................ Expiring Provisions: Temporarily extend expiring provisions: Combined work opportunity/welfare-to-work tax credit ........................................................................ Minimum tax relief for individuals ................................ 2004 2005 2006 2007 2008 Total 2004–2008 2004–2013 -292 — -250 — -45 — -71 — -66 — -64 — -77 — -14 — — — -25 78 -51 54 -68 56 -80 57 -92 59 -316 304 -913 624 — 12 10 46 45 104 128 83 190 111 98 239 94 99 293 97 103 351 476 428 1,177 1,008 1,007 3,987 — -517 — -3,865 -1,068 -7,612 -1,439 -8,616 -3,368 -11,840 -2,016 -11,832 -7,891 -43,765 -13,401 -107,290 — — — — — — — 3 3 558 4 562 576 4 580 590 5 595 1,724 16 1,740 4,912 41 4,953 -2 -4 1,390 -5 1,379 -43 -36 10,572 -185 10,308 -23 -37 4,803 -253 4,490 -24 -39 1,915 -263 1,589 -28 -40 -648 -276 -992 -19 -42 -1,822 -292 -2,175 -137 -194 14,820 -1,269 13,220 -211 -429 2,002 -3,011 -1,649 SUMMARY TABLES — — -54 -260 -201 -7,286 -268 -10,343 -181 — -96 — -800 -17,889 -873 -17,889 THE BUDGET FOR FISCAL YEAR 2004 Table S–10. Effect of Proposals on Receipts—Continued (In millions of dollars) 2003 DC tax incentives ........................................................ Authority to issue Qualified Zone Academy Bonds ..... Deduction for corporate donations of computer technology ............................................................... Net operating loss offset of 100 percent of AMTI ........ IRS user fees............................................................... Abandoned mine reclamation fees.............................. Permanently extend expiring provisions: Provisions expiring in 2010: Marginal individual income tax rate reductions........ Child tax credit 6 ....................................................... Marriage penalty relief 7 ........................................... Education incentives................................................ Repeal of estate and generation-skipping transfer taxes, and modification of gift taxes ..................... Modifications of IRAs and pension plans................. Other incentives for families and children ................ Other provisions: Research & Experimentation (R&E) tax credit ........ Suspension of disallowance of certain deductions of mutual life insurance companies ...................... Total expiring provisions ................................... Total budget proposals .................................................... 1 2 3 4 5 6 7 2004 — — -53 -6 -74 -3,028 68 — 2005 -116 -18 -127 -2,274 81 308 2006 -58 -34 -52 -1,442 6 313 2007 -1 -52 — 420 — 319 2008 -4 -64 — 367 — 325 Total 2004–2008 2004–2013 -232 -174 -253 -5,957 155 1,265 -357 -514 -253 -4,890 155 2,978 — -639 — — — — — -2 46 — — — — -595 — — — -11 -292 — — -1,005 -123 -4,838 — — — -19 -810 — — -3,278 -137 -13,877 — — — -27 -1,319 — — -5,187 -65 -18,476 -89,234 — — — -33 -1,540 — — -6,291 -36 -7,395 -70,996 — — — -42 -1,736 — — -7,129 -24 -8,403 -71,710 — — — -132 -5,697 — — -22,890 -385 -52,989 -286,952 -46,893 -20,654 -4,685 -125,991 -11,236 -2,029 -67,922 -472 -588,477 -30,787 -109,124 -100,184 -441,248 -1,307,000 Affects both receipts and outlays. Only the receipt effect is shown here. The outlay effect is $300 million for 2003, $1,074 million for 2004, $4,783 million for 2005, $4,272 million for 2006, $4,195 million for 2007, $4,142 million for 2008, $18,466 million for 2004-2008, and $25,239 million for 2004-2013. Affects both receipts and outlays. Only the receipt effect is shown here. The outlay effect is $213 million for 2004, $543 million for 2005, $714 million for 2006, $796 million for 2007, $886 million for 2008, $3,152 million for 2004-2008, and $3,626 million for 2004-2013. Affects both receipts and outlays. Only the receipt effect is shown here. The outlay effect is $3,546 million for 2005, $8,166 million for 2006, $9,251 million for 2007, $9,827 million for 2008, $30,790 million for 2004-2008, and $87,608 million for 2004-2013. Policy proposal with a receipt effect of zero. Net of income offsets. Affects both receipts and outlays. Only the receipt effect is shown here. The outlay effect is $20,781 million for 2004-2013. Affects both receipts and outlays. Only the receipt effect is shown here. The outlay effect is $3,744 million for 2004-2013. 327 328 Table S–11. Receipts by Source - Summary (In billions of dollars) Source 2002 Actual 858.3 148.0 700.8 (185.4) (515.3) 67.0 26.5 18.6 33.9 — Estimates 2003 849.1 143.2 726.6 (195.0) (531.6) 68.4 20.2 19.1 34.7 -25.0 2004 849.9 169.1 764.5 (208.4) (556.2) 70.9 23.4 20.7 38.5 -15.0 2005 934.6 229.3 810.9 (221.4) (589.5) 73.3 21.1 21.2 44.8 — 2006 1,014.1 233.8 845.8 (231.0) (614.8) 75.6 23.2 23.9 46.9 — 2007 1,103.4 237.8 883.6 (239.1) (644.4) 77.8 20.8 26.0 48.8 — 2008 1,175.3 243.7 922.2 (249.0) (673.2) 80.0 21.2 27.6 51.0 — Individual income taxes ..................... Corporation income taxes.................. Social insurance and retirement receipts .......................................... (On-budget).................................... (Off-budget).................................... Excise taxes ...................................... Estate and gift taxes .......................... Customs duties.................................. Miscellaneous receipts ...................... Adjustment for revenue uncertainty 1 . Total, governmental receipts.............. (On-budget).................................... (Off-budget).................................... 1 1,853.2 1,836.2 1,922.0 2,135.2 2,263.2 2,398.1 2,520.9 (1,337.9) (1,304.7) (1,365.9) (1,545.7) (1,648.4) (1,753.6) (1,847.7) (531.6) (556.2) (589.5) (515.3) (614.8) (644.4) (673.2) These amounts reflect an additional adjustment to receipts beyond what the economic and tax models forecast and have been made in the interest of cautious and prudent forecasting. SUMMARY TABLES THE BUDGET FOR FISCAL YEAR 2004 Table S–12. Comparison of Economic Assumptions (Calendar years) Projections 2003 Real GDP (billions of 1996 dollars): CBO January ...................................................................... Blue Chip Consensus January 2.......................................... 2004 Budget........................................................................ Real GDP (chain-weighted): 1 CBO January ...................................................................... Blue Chip Consensus January 2 .......................................... 2004 Budget........................................................................ Chain-weighted GDP Price Index: 1 CBO January ...................................................................... Blue Chip Consensus January 2.......................................... 2004 Budget........................................................................ Consumer Price Index (all-urban): 1 CBO January ...................................................................... Blue Chip Consensus January 2.......................................... 2004 Budget........................................................................ Unemployment rate: 3 CBO January ...................................................................... Blue Chip Consensus January 2.......................................... 2004 Budget........................................................................ Interest rates: 3 91-day Treasury bills: CBO January................................................................... Blue Chip Consensus January 2 ...................................... 2004 Budget .................................................................... 10-year Treasury notes: CBO January................................................................... Blue Chip Consensus January 2 ...................................... 2004 Budget .................................................................... 1 2 3 2004 2005 2006 2007 2008 Average 2003–2008 9,673 9,704 9,710 2.5 2.8 2.9 1.6 1.6 1.3 2.3 2.2 2.2 5.9 5.9 5.7 10,018 10,050 10,061 3.6 3.6 3.6 1.7 1.9 1.5 2.2 2.2 2.1 5.7 5.5 5.5 10,358 10,383 10,414 3.4 3.3 3.5 2.0 2.1 1.5 2.4 2.5 2.1 5.4 5.1 5.2 10,697 10,709 10,760 3.3 3.1 3.3 2.1 2.1 1.7 2.5 2.6 2.2 5.3 5.1 5.1 11,037 11,041 11,102 3.2 3.1 3.2 2.1 2.1 1.7 2.5 2.5 2.2 5.2 5.1 5.1 11,380 11,384 11,446 3.1 3.1 3.1 2.2 2.1 1.8 2.5 2.5 2.3 5.2 5.1 5.1 3.2 3.2 3.3 2.0 2.0 1.6 2.4 2.4 2.2 5.5 5.3 5.3 1.4 1.6 1.6 4.4 4.4 4.2 3.5 2.9 3.3 5.2 5.2 5.0 4.8 4.2 4.0 5.7 5.6 5.3 4.9 4.4 4.2 5.8 5.8 5.4 4.9 4.6 4.2 5.8 5.7 5.5 4.9 4.4 4.3 5.8 5.7 5.6 4.1 3.7 3.6 5.4 5.4 5.2 Year over year percent change. January 2003 Blue Chip Consensus forecast for 2003 and 2004; Blue Chip October 2002 long run extension for 2005 - 2008. Annual averages, percent. 329 330 Table S–13. Baseline Summary by Category (In billions of dollars) 2002 Outlays: Discretionary: Defense (050)................................................................ Nondefense ................................................................... Total, Discretionary .................................................... Mandatory: Social Security .............................................................. Medicare........................................................................ Medicaid and SCHIP ..................................................... Other ............................................................................. Total, Mandatory ........................................................ Net interest........................................................................ Total Outlays......................................................................... Receipts................................................................................ Surplus/deficit ................................................................... On-budget deficit............................................................... Off-budget surplus ............................................................ 2003 2004 2005 2006 2007 2008 Total 2004–2008 349 385 734 452 228 151 274 1,106 171 2,011 1,853 -158 -317 160 375 410 785 474 241 167 303 1,185 161 2,131 1,867 -264 -425 160 383 412 795 493 249 182 297 1,221 173 2,189 2,031 -158 -330 172 393 420 813 512 262 198 298 1,269 193 2,276 2,235 -40 -237 197 400 424 825 533 268 215 302 1,318 205 2,384 2,352 5 -207 211 411 432 843 559 285 233 309 1,387 211 2,440 2,469 29 -199 228 421 441 862 587 302 252 323 1,465 214 2,541 2,593 51 -192 243 2,008 2,130 4,138 2,684 1,367 1,079 1,529 6,660 996 11,794 11,681 -114 -1,170 1,056 SUMMARY TABLES THE BUDGET FOR FISCAL YEAR 2004 Table S–14. Federal Government Financing and Debt (In billions of dollars) Function 2002 Actual Estimates 2003 2004 2005 2006 2007 2008 Financing: Unified budget deficit (-)............................................................. Financing other than the change in debt held by the public: Premiums paid (-) on buybacks of Treasury securities........... Net purchases (-) of non-Federal securities by the National Railroad Retirement Investment Trust ................................ Changes in: 1 Treasury operating cash balance........................................ Compensating balances 2 ................................................... Checks outstanding, etc. 3 ................................................... Seigniorage on coins.............................................................. Less: Net financing disbursements: Direct loan financing accounts............................................ Guaranteed loan financing accounts .................................. Total, financing other than the change in debt held by the public ..................................................................... Total, requirement to borrow from the public............ Change in debt held by the public.............................................. Change in Debt Subject to Statutory Limitation: Change in debt held by the public.............................................. Change in debt held by Government accounts.......................... Change in other factors.............................................................. Total, change in debt subject to statutory limitation................ Debt Subject to Statutory Limitation, End of Year: Debt issued by Treasury ............................................................ Adjustment for Treasury debt not subject to limitation and agency debt subject to limitation 4 .......................................... Adjustment for discount and premium 5 ...................................... Total, debt subject to statutory limitation 6 ........................... -158 -304 -307 -208 -201 -178 -190 -4 -2 -17 -14 -12 1 -15 -2 -63 -221 221 — -17 11 -10 -4 1 -16 1 -34 -338 338 — -* — 37 — 1 -19 1 20 -288 288 — 1 — — — 1 -15 * -12 -220 220 — 1 — — — 1 -20 2 -16 -216 216 — 1 — — — 1 -20 2 -16 -194 194 — 1 — — — 1 -21 2 -17 -206 206 221 208 * 429 338 216 16 569 288 281 * 569 220 296 * 517 216 300 * 516 194 310 * 505 206 324 1 531 6,171 -15 6 6,161 6,725 -* 6 6,731 7,294 -* 6 7,300 7,811 -* 6 7,817 8,327 -* 6 8,333 8,832 -* 6 8,837 9,363 -* 6 9,368 331 332 Table S–14. Federal Government Financing and Debt—Continued (In billions of dollars) Function 2002 Actual Estimates 2003 2004 2005 2006 2007 2008 Debt Outstanding, End of Year: Gross Federal debt 7: Debt issued by Treasury......................................................... Debt issued by other agencies ............................................... Total, gross Federal debt .................................................... Held by: Debt held by Government accounts ....................................... Debt held by the public 8 ......................................................... 6,171 27 6,198 2,658 3,540 6,725 27 6,752 2,874 3,878 7,294 27 7,321 3,155 4,166 7,811 26 7,837 3,451 4,387 8,327 26 8,353 3,751 4,603 8,832 26 8,858 4,061 4,797 9,363 25 9,388 4,385 5,003 * $500 million or less. 1 A decrease in the Treasury operating cash balance or compensating balances (which are assets) would be a means of financing a deficit and therefore has a positive sign. An increase in checks outstanding (which is a liability) would also be a means of financing a deficit and therefore also has a positive sign. 2 Compensating balances are non-interest bearing Treasury bank deposits that Treasury mainly uses to compensate banks for collecting taxes and non-tax receipts under financial agency agreements. The Administration is proposing legislation to replace them with an appropriation in 2004. 3 Besides checks outstanding, includes accrued interest payable on Treasury debt, miscellaneous liability accounts, allocations of special drawing rights; and, as an offset, cash and monetary assets (other than the Treasury operating cash balance and compensating balances), miscellaneous assets accounts, and profit on sale of gold. 4 Consists primarily of Federal Financing Bank debt in 2002. 5 Consists of unamortized discount (less premium) on pubic issues of Treasury notes and bonds (other than zero-coupon bonds) and unrealized discount on Government account series securities. 6 The statutory debt limit is $6,400 billion. 7 Treasury securities held by the public and zero-coupon bonds held by Government accounts are almost all measured at sales price plus amortized discount or less amortized premium. Agency debt securities are almost all measured at face value. Treasury securities in the Government account series are measured at face value less unrealized discount (if any). 8 At the end of 2002, the Federal Reserve Banks held $604.2 billion of federal securities and the rest of the public held $2,936.2 billion. Debt held by the Federal Reserve Banks is not estimated for future years. SUMMARY TABLES