DEPARTMENT OF EDUCATION

Department of Education

NO BUREAU GROUP

Department of Education

Federal Funds

General Fund Proprietary Interest Receipts, not Otherwise Classified

Enacted/requested

Federal Family Education Loan Program, Negative Subsidies

Enacted/requested

Legislative proposal, subject to PAYGO

Federal Family Education Loan Program, Downward Reestimates of Subsidies

Enacted/requested

College Housing and Academic Facilities Loan, Downward Reestimates of Subsidies

Enacted/requested

Federal Direct Student Loan Program, Negative Subsidies

Enacted/requested

Legislative proposal, subject to PAYGO

Federal Direct Student Loan Program, Downward Reestimates of Subsidies

Enacted/requested

Federal Perkins Loan, Negative Subsidies

Enacted/requested

Legislative proposal, subject to PAYGO

TEACH Grant Program, Negative Subsidies

Enacted/requested

TEACH Grant Program, Downward Reestimates of Subsidies

Enacted/requested

Health Education Assistance Loans, Downward Reestimates of Subsidies

Enacted/requested

Repayment of Loans, Capital Contributions, Higher Education Activities

Enacted/requested

All Other General Fund Proprietary Receipts Including Budget Clearing Accounts

Enacted/requested

Undistributed Intragovernmental Payments and Receivables from Cancelled Accounts

Enacted/requested

Student Financial Assistance Debt Collection

Enacted/requested

Trust Funds

Contributions

Enacted/requested

Office of Elementary and Secondary Education

Federal Funds

Accelerating Achievement and Ensuring Equity

Enacted/requested

Education for the Disadvantaged

Accelerating Achievement and Ensuring Equity

For carrying out title I of the Elementary and Secondary Education Act of 1965 (referred to in this Act as "ESEA'') and section 418A of the Higher Education Act of 1965 (referred to in this Act as "HEA''), $15,750,983,000, of which $4,817,117,000 shall become available on July 1, 2012, and shall remain available through September 30, 2013, and of which $10,841,177,000 shall become available on October 1, 2012, and shall remain available through September 30, 2013, for academic year 2012–2013: Provided, That $6,584,750,000 shall be for basic grants under section 1124 of the ESEA: Provided further, That up to $3,992,000 of these funds shall be available to the Secretary of Education (referred to in this title as "Secretary'') on October 1, 2011, to obtain annually updated local educational agency-level census poverty data from the Bureau of the Census: Provided further, That $1,362,301,000 shall be for concentration grants under section 1124A of the ESEA: Provided further, That $3,288,183,000 shall be for targeted grants under section 1125 of the ESEA: Provided further, That $3,288,183,000 shall be for education finance incentive grants under section 1125A of the ESEA: Provided further, That $3,200,000 shall be to carry out sections 1501 and 1503 of the ESEA: Provided further, That $534,562,000 shall be available for school improvement grants under section 1003(g) of the ESEA, which shall be allocated by the Secretary through the formula described in section 1003(g)(2) and shall be used consistent with the requirements of section 1003(g), except that State and local educational agencies may use such funds to serve any school eligible to receive assistance under part A of title I that has not made adequate yearly progress for at least 2 years or is in the State's lowest quintile of performance based on proficiency rates and, in the case of secondary schools, priority shall be given to those schools with graduation rates below 60 percent: Provided further, That notwithstanding section 1003(g)(5)(A), each State educational agency may establish a maximum subgrant size of not more than $2,000,000 for each participating school applicable to such funds: Provided further, That the Secretary may reserve up to 5 percent of the funds available for section 1003(g) of the ESEA to carry out activities to build State and local educational agency capacity to implement effectively the school improvement grants program: Provided further, That $160,000,000 shall be available under section 1502 of the ESEA for a comprehensive literacy development and education program to advance literacy skills, including pre-literacy skills, reading, and writing, for students from birth through grade 12, including limited-English-proficient students and students with disabilities, of which one-half of 1 percent shall be reserved for the Secretary of the Interior for such a program at schools funded by the Bureau of Indian Education, one-half of 1 percent shall be reserved for grants to the outlying areas for such a program, up to 5 percent may be reserved for national activities, and the remainder shall be used to award competitive grants to State educational agencies for such a program, of which a State educational agency may reserve up to 5 percent for State leadership activities, including technical assistance and training, data collection, reporting, and administration, and shall subgrant not less than 95 percent to local educational agencies or, in the case of early literacy, to local educational agencies or other nonprofit providers of early childhood education that partner with a public or private nonprofit organization or agency with a demonstrated record of effectiveness in improving the early literacy development of children from birth through kindergarten entry and in providing professional development in early literacy, giving priority to such agencies or other entities serving greater numbers or percentages of disadvantaged children: Provided further, That the State educational agency shall ensure that at least 15 percent of the subgranted funds are used to serve children from birth through age 5, 40 percent are used to serve students in kindergarten through grade 5, and 40 percent are used to serve students in middle and high school including an equitable distribution of funds between middle and high schools: Provided further, That eligible entities receiving subgrants from State educational agencies shall use such funds for services and activities that have the characteristics of effective literacy instruction through professional development, screening and assessment, targeted interventions for students reading below grade level and other research-based methods of improving classroom instruction and practice.

(Department of Education Appropriations Act, 2012.)

SUMMARY OF PROGRAM LEVEL(in millions of dollars)2011–12 Academic Year2012–13 Academic Year2013–14 Academic YearNew Budget Authority$4,675$4,721$3,877Advance appropriation10,82110,84111,682Total program level15,49515,56215,559Change in advance appropriation from the previous year–2020+84111To account for the Administration's ESEA reauthorization proposal, the 2013 Budget eliminates the $1.7 billion advance appropriation that was previously in the Education Improvement Programs account and replaces it with corresponding increases to advance appropriations in the Accelarating Achievement and Ensuring Equity account ($841 million) and the Special Education account ($841 million). Total advance appropriations in the Department of Education remain $21.9 billion.

The Administration is proposing legislation reauthorizing programs included in the Elementary and Secondary Education Act (ESEA), including programs in this account. Consistent with this reauthorization proposal, the Budget proposes to realign programs in ESEA accounts. When new authorizing legislation is enacted, resources will be requested for these programs. See the "Legislative proposal, not subject to PAYGO" schedule for additional details.Program and Financing(in millions of dollars)Identification code 91–0900–0–1–5012011 actual2012 est.2013 est.Obligations by program activity:0001Grants to local educational agencies14,47214,49810,8410002School improvement grants5471,0670003Striving readers2001600004Even start40005State agency programs4444520006Evaluation830007Special programs for migrant students37370008High school graduation initiative48490900Total new obligations15,76016,26610,841Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 1769544Budget authority:Appropriations, discretionary:1100Appropriation4,7264,9111130Appropriations permanently reduced–91143Approp permanently reduced (Sec 527, HR 2055)–101160Appropriation, discretionary (total)4,7174,901Advance appropriations, discretionary:1170Advance appropriation10,84110,84110,8411173Advance appropriations permanently reduced–221175Adv approp permanently reduced (Sec 527, HR 2055)–201180Advanced appropriation, discretionary (total)10,81910,82110,8411900Budget authority (total)15,53615,72210,8411930Total budgetary resources available16,30516,26610,841Memorandum (non-add) entries:1940Unobligated balance expiring–11941Unexpired unobligated balance, end of year544Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)16,60012,7898,8463030Obligations incurred, unexpired accounts15,76016,26610,8413031Obligations incurred, expired accounts13040Outlays (gross)–19,538–20,209–15,3333081Recoveries of prior year unpaid obligations, expired–34Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)12,7898,8464,3543100Obligated balance, end of year (net)12,7898,8464,354Budget authority and outlays, net:Discretionary:4000Budget authority, gross15,53615,72210,841Outlays, gross:4010Outlays from new discretionary authority7,4938,8098,4564011Outlays from discretionary balances12,04511,4006,8774020Outlays, gross (total)19,53820,20915,333Offsets against gross budget authority and outlays:Offsetting collections (collected) from:4033Non-Federal sources–2Additional offsets against gross budget authority only:4052Offsetting collections credited to expired accounts24070Budget authority, net (discretionary)15,53615,72210,8414080Outlays, net (discretionary)19,53620,20915,3334180Budget authority, net (total)15,53615,72210,8414190Outlays, net (total)19,53620,20915,333

Summary of Budget Authority and Outlays(in millions of dollars)2011 actual2012 est.2013 est.Enacted/requested:Budget Authority15,53615,72210,841Outlays19,53620,20915,333Legislative proposal, not subject to PAYGO:Budget Authority3,877Outlays78Total:Budget Authority15,53615,72214,718Outlays19,53620,20915,411

Object Classification(in millions of dollars)Identification code 91–0900–0–1–5012011 actual2012 est.2013 est.Direct obligations:25.1Advisory and assistance services53625.2Other services from non-Federal sources31541.0Grants, subsidies, and contributions15,72416,22510,84199.9Total new obligations15,76016,26610,841

Legislative proposal, not subject to PAYGO

The resources in this schedule are proposed for later transmittal under proposed legislation to reauthorize the Elementary and Secondary Education Act of 1965.

College- and career-ready students (formerly Grants to local educational agencies)

Funds would be allocated via formula for programs that provide academic support to help students in high-poverty schools meet college- and career-ready standards. States would assess annually all students in certain grades in at least English language arts and mathematics, and use the results of these assessments to measure local educational agency (LEA) and school progress in ensuring that all students are meeting, or are on track to meet, college- and career-ready standards; to inform families about whether their children are meeting or are on track to meet such standards; and, with additional information, to develop appropriate improvement and support strategies for schools and LEAs. States would develop systems for differentiating among schools and LEAs on the basis of performance, including recognition and rewards for highly effective schools and LEAs, the implementation of rigorous school intervention models in the lowest-achieving schools, and State-approved, research-based interventions in low-performing schools that are not serving their students well.

School turnaround grants

Funds would primarily support grants to States to help LEAs turn around their lowest-achieving schools by implementing one of four rigorous school intervention models. In general, such schools would rank in the bottom 5 percent of performance in their States, based on proficiency rates and lack of progress, or, in the case of high schools, have a graduation rate below 60 percent. Once States have served their lowest-achieving schools, funds could be used for other school improvement and support efforts in eligible schools.

State agency migrant program

Funds would 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 children and youth education program

Funds would support formula grants to States for educational services to neglected or delinquent children and youth in State-run institutions, attending community day programs, and in other correctional facilities.

Homeless children and youth education

Funds would support formula grants to States to provide educational and support services that enable homeless children and youth to attend and achieve success in school.

Program and Financing(in millions of dollars)Identification code 91–0900–2–1–5012011 actual2012 est.2013 est.Obligations by program activity:0001College- and career-ready students2,8350002School turnaround grants5340004State agency programs4430005Homeless children and youth education650900Total new obligations3,877Budgetary Resources:Budget authority:Appropriations, discretionary:1100Appropriation3,8771160Appropriation, discretionary (total)3,8771900Budget authority (total)3,8771930Total budgetary resources available3,877Change in obligated balance:3030Obligations incurred, unexpired accounts3,8773040Outlays (gross)–78Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)3,7993100Obligated balance, end of year (net)3,799Budget authority and outlays, net:Discretionary:4000Budget authority, gross3,877Outlays, gross:4010Outlays from new discretionary authority784180Budget authority, net (total)3,8774190Outlays, net (total)78

Object Classification(in millions of dollars)Identification code 91–0900–2–1–5012011 actual2012 est.2013 est.Direct obligations:25.1Advisory and assistance services3425.2Other services from non-Federal sources441.0Grants, subsidies, and contributions3,83999.9Total new obligations3,877

Impact Aid

Enacted/requested

Impact Aid

For carrying out programs of financial assistance to federally affected schools authorized by title VIII of the ESEA, $1,293,631,000, of which $1,155,724,000 shall be for basic support payments under section 8003(b), $48,505,000 shall be for payments for children with disabilities under section 8003(d), $17,474,000 shall be for construction under section 8007(b) and shall remain available through September 30, 2013, $67,074,000 shall be for Federal property payments under section 8002, and $4,854,000, 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 2011–2012, children enrolled in a school of such agency that would otherwise be eligible for payment 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, 2012.)

The Administration is proposing legislation reauthorizing Impact Aid programs included in the Elementary and Secondary Education Act (ESEA). When new authorizing legislation is enacted, resources will be requested for these programs. See the "Legislative proposal, not subject to PAYGO" schedule for additional details.Program and Financing(in millions of dollars)Identification code 91–0102–0–1–5012011 actual2012 est.2013 est.Obligations by program activity:0001Basic support payments1,1361,1540002Payments for children with disabilities49480091Subtotal1,1851,2020101Facilities maintenance650201Construction17170301Payments for Federal property67670900Total new obligations (object class 41.0)1,2751,27417Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 143201021Recoveries of prior year unpaid obligations11050Unobligated balance (total)5320Budget authority:Appropriations, discretionary:1100Appropriation1,2761,2931130Appropriations permanently reduced–31143Approp permanently reduced (Sec 527, HR 2055)–21160Appropriation, discretionary (total)1,2731,2911930Total budgetary resources available1,2781,29420Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year3203Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)5464852573030Obligations incurred, unexpired accounts1,2751,274173031Obligations incurred, expired accounts3343040Outlays (gross)–1,335–1,502–1703080Recoveries of prior year unpaid obligations, unexpired–13081Recoveries of prior year unpaid obligations, expired–334Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)4852571043100Obligated balance, end of year (net)485257104Budget authority and outlays, net:Discretionary:4000Budget authority, gross1,2731,291Outlays, gross:4010Outlays from new discretionary authority1,1021,1584011Outlays from discretionary balances2333441704020Outlays, gross (total)1,3351,5021704180Budget authority, net (total)1,2731,2914190Outlays, net (total)1,3351,502170

Summary of Budget Authority and Outlays(in millions of dollars)2011 actual2012 est.2013 est.Enacted/requested:Budget Authority1,2731,291Outlays1,3351,502170Legislative proposal, not subject to PAYGO:Budget Authority1,224Outlays1,099Total:Budget Authority1,2731,2911,224Outlays1,3351,5021,269

Legislative proposal, not subject to PAYGO

The resources in this schedule are proposed for later transmittal under proposed legislation to reauthorize the Elementary and Secondary Education Act of 1965.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 950,000 federally connected students enrolled in about 1,200 local educational agencies to assist them in meeting their operation and maintenance costs. Average per-student payments will be approximately $1,200.

Payments for children with disabilities

Payments in addition to those provided under the Individuals with Disabilities Education Act (IDEA) will be provided on behalf of approximately 54,000 federally connected students with disabilities in about 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 12 construction grants will be awarded competitively to the highest-need impact aid districts for emergency repairs and modernization of school facilities.

Program and Financing(in millions of dollars)Identification code 91–0102–2–1–5012011 actual2012 est.2013 est.Obligations by program activity:0001Basic support payments1,1540002Payments for children with disabilities480091Subtotal1,2020101Facilities maintenance50201Construction10900Total new obligations (object class 41.0)1,208Budgetary Resources:Budget authority:Appropriations, discretionary:1100Appropriation1,2241160Appropriation, discretionary (total)1,2241930Total budgetary resources available1,224Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year16Change in obligated balance:3030Obligations incurred, unexpired accounts1,2083040Outlays (gross)–1,099Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)1093100Obligated balance, end of year (net)109Budget authority and outlays, net:Discretionary:4000Budget authority, gross1,224Outlays, gross:4010Outlays from new discretionary authority1,0984011Outlays from discretionary balances14020Outlays, gross (total)1,0994180Budget authority, net (total)1,2244190Outlays, net (total)1,099

Education Improvement Programs

Enacted/requested

School Improvement Programs

Education Improvement Programs

For carrying out school improvement activities authorized by parts A and B of title II, part B of title IV, parts A and B of title VI, and parts B and C of title VII of the 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, $4,550,018,000 $68,732,000, of which $2,725,246,000 shall become available on July 1, 2012, and remain available through September 30, 2013, and of which $1,681,441,000 shall become available on October 1, 2012, and shall remain available through September 30, 2013, for academic year 2012–2013: Provided, That funds 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 funds made available to carry out part C of title VII of the ESEA shall be awarded on a competitive basis, and also may be used for construction: Provided further, That $51,210,000 $51,113,000 shall be available to carry out section 203 of the Educational Technical Assistance Act of 2002: Provided further, That $17,652,000 $17,619,000 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

the amount

referred to in the previous proviso 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 up to 1.5 percent of the funds for subpart 1 of part A of title II of the ESEA shall be reserved by the Secretary for competitive awards for teacher or principal training or professional enhancement activities to national not-for-profit organizations. (Department of Education Appropriations Act, 2012.)

SUMMARY OF PROGRAM LEVEL(in millions of dollars)2011–12 Academic Year2012–12 Academic Year2013–14 Academic YearNew Budget Authority$2,916$2,863$1,219Advance Appropriation1,6781,6810Total program level4,5944,5451,219Change in advance appropriation over previous year0+3–168111To account for the Administration's ESEA reauthorization proposal, the 2013 Budget eliminates the $1.7 billion advance appropriation that was previously in the School Improvement Programs account (renamed the Education Improvement Programs account) and replaces it with corresponding increases to advance appropriations in the Education for the Disadvantaged account ($841 million, renamed the Accelerating Achievement and Ensuring Equity account) and the Special Education account ($841 million). Total advance appropriations in the Department of Education remain $21.9 billion.

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.

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 in which those Freely Associated States no longer participate pursuant to the Compact of Free Association Amendments Act of 2003.

Comprehensive centers

Funds support at least 20 comprehensive centers that focus on building State capacity to help school districts and schools meet the requirements of the ESEA.

Program and Financing(in millions of dollars)Identification code 91–1000–0–1–5012011 actual2012 est.2013 est.Obligations by program activity:0001Improving teacher quality State grants2,4602,4741,7110002Mathematics and science partnerships1791510003Educational technology State grants2000421st century community learning centers1,1571,1630005Foreign language assistance270006State assessments3933990007Education for homeless children and youth65650008Education for Native Hawaiians34340009Alaska Native education equity33330010Training and advisory services7770011Rural education1751790012Supplemental education grants1818180013Comprehensive centers5151510900Total new obligations4,6014,5741,787Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 1676330Budget authority:Appropriations, discretionary:1100Appropriation2,9252,869761130Appropriations permanently reduced–61143Approp permanently reduced (Sec 527, HR 2055)–61160Appropriation, discretionary (total)2,9192,86376Advance appropriations, discretionary:1170Advance appropriation1,6811,6811,6811173Advance appropriations permanently reduced–31175Adv approp permanently reduced (Sec 527, HR 2055)–31180Advanced appropriation, discretionary (total)1,6781,6781,6811900Budget authority (total)4,5974,5411,7571930Total budgetary resources available4,6644,6041,787Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year6330Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)6,4475,5675,0843030Obligations incurred, unexpired accounts4,6014,5741,7873040Outlays (gross)–5,443–5,057–4,5233081Recoveries of prior year unpaid obligations, expired–38Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)5,5675,0842,3483100Obligated balance, end of year (net)5,5675,0842,348Budget authority and outlays, net:Discretionary:4000Budget authority, gross4,5974,5411,757Outlays, gross:4010Outlays from new discretionary authority9171,0981,0114011Outlays from discretionary balances4,5263,9593,5124020Outlays, gross (total)5,4435,0574,5234180Budget authority, net (total)4,5974,5411,7574190Outlays, net (total)5,4435,0574,523

Summary of Budget Authority and Outlays(in millions of dollars)2011 actual2012 est.2013 est.Enacted/requested:Budget Authority4,5974,5411,757Outlays5,4435,0574,523Legislative proposal, not subject to PAYGO:Budget Authority1,143Outlays23Total:Budget Authority4,5974,5412,900Outlays5,4435,0574,546

Object Classification(in millions of dollars)Identification code 91–1000–0–1–5012011 actual2012 est.2013 est.Direct obligations:25.1Advisory and assistance services716325.2Other services from non-Federal sources20121641.0Grants, subsidies, and contributions4,5744,5461,76899.9Total new obligations4,6014,5741,787

Legislative proposal, not subject to PAYGO

The resources in this schedule are proposed for later transmittal under proposed legislation to reauthorize the Elementary and Secondary Education Act of 1965.

Effective teaching and learning: literacy

Funds would support competitive grants to States to support the development and implementation of comprehensive State and local efforts to provide high-quality literacy programs, aligned with college- and career-ready English-language arts standards, for students from preschool through grade 12.

Effective teaching and learning: science, technology, engineering, and mathematics (STEM)

Funds would support competitive grants to States to implement comprehensive strategies to improve the teaching and learning of STEM subjects.

Effective teaching and learning for a well-rounded education

Funds would support competitive grants to States and high-need school districts to develop and expand innovative practices to improve teaching and learning in the arts, health education, foreign languages, civics and government, history, geography, environmental education, economics, financial literacy, and other subjects.

College pathways and accelerated learning

Funds would support competitive grants to high-need school districts for programs that prepare students to enter and succeed in college by providing college-level and other accelerated courses and instruction in middle and high schools as well as accelerated learning opportunities in elementary schools.

Assessing achievement

Funds would support formula and competitive grants to States to develop and implement assessments that are aligned with college- and career-ready academic standards.

Rural education

Funds would support formula grants under two programs: Small, Rural School Achievement and Rural and Low-Income Schools. The Small, Rural School Achievement program provides rural local educational agencies with small enrollments with additional formula funds. Funds under the Rural and Low-Income School 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.

Native Hawaiian student education

Funds would support competitive grants to public and private entities to develop or operate innovative projects that enhance the educational services provided to Native Hawaiian children and adults.

Alaska Native student education

Funds would support competitive grants to school districts and other public and private organizations to develop or operate innovative projects that enhance the educational services provided to Alaska Native children and adults.

Program and Financing(in millions of dollars)Identification code 91–1000–2–1–5012011 actual2012 est.2013 est.Obligations by program activity:0001Effective teaching and learning: Literacy1870002Effective teaching and learning: Science, technology, engineering, and mathematics1500003Effective teaching and learning for a well-rounded education900004College pathways and accelerated learning810005Assessing achievement3890006Rural education1790007Education for Native Hawaiians340008Alaska Native education equity330900Total new obligations1,143Budgetary Resources:Budget authority:Appropriations, discretionary:1100Appropriation1,1431160Appropriation, discretionary (total)1,1431930Total budgetary resources available1,143Change in obligated balance:3030Obligations incurred, unexpired accounts1,1433040Outlays (gross)–23Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)1,1203100Obligated balance, end of year (net)1,120Budget authority and outlays, net:Discretionary:4000Budget authority, gross1,143Outlays, gross:4010Outlays from new discretionary authority234180Budget authority, net (total)1,1434190Outlays, net (total)23

Object Classification(in millions of dollars)Identification code 91–1000–2–1–5012011 actual2012 est.2013 est.Direct obligations:25.2Other services from non-Federal sources2441.0Grants, subsidies, and contributions1,11999.9Total new obligations1,143

Supporting Student Success

Enacted/requested

Safe Schools and Citizenship Education

Supporting Student Success

For carrying out activities authorized by part A of title IV and subparts 1, 2, and 10 of part D of title V of the ESEA, $256,237,000: Provided, That $65,000,000 shall be available for subpart 2 of part A of title IV: Provided further, That $60,000,000 shall be available for Promise Neighborhoods and shall be available through December 31, 2012.

(Department of Education Appropriations Act, 2012.)

The Administration is proposing legislation reauthorizing the Elementary and Secondary Education Act (ESEA), including programs in this account. Consistent with this reauthorization proposal, the Budget proposes to realign programs in ESEA accounts. When new authorizing legislation is enacted, resources will be requested for these programs. See the "Legislative proposal, not subject to PAYGO" schedule for additional details.Program and Financing(in millions of dollars)Identification code 91–0203–0–1–5012011 actual2012 est.2013 est.Obligations by program activity:0001National activities120720002Alcohol abuse reduction70003Elementary and secondary school counseling52520004Physical education program79790005Civic education10006Promise neighborhoods900500Direct program activities, subtotal2592930799Total direct obligations2592930803Reimbursable program activity5720900Total new obligations316295Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 1637Budget authority:Appropriations, discretionary:1100Appropriation2892561130Appropriations permanently reduced–11160Appropriation, discretionary (total)288256Spending authority from offsetting collections, discretionary:1700Collected5721701Change in uncollected payments, Federal sources21750Spending auth from offsetting collections, disc (total)5921900Budget authority (total)3472581930Total budgetary resources available353295Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year37Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)8356414493010Uncollected pymts, Fed sources, brought forward, Oct 1–2–23020Obligated balance, start of year (net)8356394473030Obligations incurred, unexpired accounts3162953040Outlays (gross)–490–487–3083050Change in uncollected pymts, Fed sources, unexpired–23081Recoveries of prior year unpaid obligations, expired–20Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)6414491413091Uncollected pymts, Fed sources, end of year–2–2–23100Obligated balance, end of year (net)639447139Budget authority and outlays, net:Discretionary:4000Budget authority, gross347258Outlays, gross:4010Outlays from new discretionary authority554011Outlays from discretionary balances4854823084020Outlays, gross (total)490487308Offsets against gross budget authority and outlays:Offsetting collections (collected) from:4030Federal sources–57–2Additional offsets against gross budget authority only:4050Change in uncollected pymts, Fed sources, unexpired–24070Budget authority, net (discretionary)2882564080Outlays, net (discretionary)4334853084180Budget authority, net (total)2882564190Outlays, net (total)433485308

Summary of Budget Authority and Outlays(in millions of dollars)2011 actual2012 est.2013 est.Enacted/requested:Budget Authority288256Outlays433485308Legislative proposal, not subject to PAYGO:Budget Authority1,448Outlays29Total:Budget Authority2882561,448Outlays433485337

Object Classification(in millions of dollars)Identification code 91–0203–0–1–5012011 actual2012 est.2013 est.Direct obligations:25.1Advisory and assistance services125.2Other services from non-Federal sources8425.3Other goods and services from Federal sources141.0Grants, subsidies, and contributions24928999.0Direct obligations25929399.0Reimbursable obligations57299.9Total new obligations316295

Legislative proposal, not subject to PAYGO

The resources in this schedule are proposed for later transmittal under proposed legislation to reauthorize the Elementary and Secondary Education Act of 1965.

Promise neighborhoods

Funds would support competitive grants and other activities for projects designed to improve significantly the educational and developmental outcomes of children within the Nation's most distressed communities, with the goal of transforming those communities so that all children in the community have access to a cradle-through-college-to-career continuum of academic programs and community supports, including effective schools and services.

Successful, safe, and healthy students

Funds would support competitive grants and other activities to assist States, local educational agencies (LEAs), and partnerships between LEAs and non-profit organizations or local government entities in improving school climate; reducing or preventing drug use, violence, bullying, or harassment; and promoting and supporting the physical and mental well-being of students so that schools are safe, healthy, and drug-free environments.

21st century community learning centers

Funds would support competitive grants to States, LEAs, non-profit organizations, or local governmental entities for projects that provide the additional time, support, and enrichment activities needed to improve student achievement, including expanding learning time by significantly increasing the number of hours in a regular school schedule and comprehensively redesigning the school schedule for all students in a school. All local projects would provide additional time for students to participate in (1) academic activities that are aligned with the instruction those students receive during the regular school day and are targeted to their academic needs; and (2) enrichment and other activities that complement the academic program. Projects could also provide teachers the time they need to collaborate, plan, and engage in professional development within and across grades and subjects.

Program and Financing(in millions of dollars)Identification code 91–0203–2–1–5012011 actual2012 est.2013 est.Obligations by program activity:0001Promise Neighborhoods1000002Successful, safe, and healthy students196000321st century community learning centers1,1520500Direct program activities, subtotal1,4480900Total new obligations1,448Budgetary Resources:Budget authority:Appropriations, discretionary:1100Appropriation1,4481160Appropriation, discretionary (total)1,4481930Total budgetary resources available1,448Change in obligated balance:3030Obligations incurred, unexpired accounts1,4483040Outlays (gross)–29Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)1,4193100Obligated balance, end of year (net)1,419Budget authority and outlays, net:Discretionary:4000Budget authority, gross1,448Outlays, gross:4010Outlays from new discretionary authority294180Budget authority, net (total)1,4484190Outlays, net (total)29

Object Classification(in millions of dollars)Identification code 91–0203–2–1–5012011 actual2012 est.2013 est.Direct obligations:25.2Other services from non-Federal sources3041.0Grants, subsidies, and contributions1,41899.9Total new obligations1,448

Indian Student Education

Enacted/requested

Indian Education

Indian Student Education

For expenses necessary to carry out, to the extent not otherwise provided, title VII, part A of the ESEA, $131,027,000.

(Department of Education Appropriations Act, 2012.)

Summary of Budget Authority and Outlays(in millions of dollars)2011 actual2012 est.2013 est.Enacted/requested:Budget Authority127131Outlays122115122Legislative proposal, not subject to PAYGO:Budget Authority131Outlays7Total:Budget Authority127131131Outlays122115129

Object Classification(in millions of dollars)Identification code 91–0101–0–1–5012011 actual2012 est.2013 est.Direct obligations:25.2Other services from non-Federal sources4541.0Grants, subsidies, and contributions12312699.9Total new obligations127131

Legislative proposal, not subject to PAYGO

The resources in this schedule are proposed for later transmittal under proposed legislation to reauthorize the Elementary and Secondary Education Act of 1965.The Indian Education programs support the efforts of local educational agencies (LEA) 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 LEAs 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 2011, the Department made 1,276 formula grants to LEAs, tribal schools and Department of the Interior/Bureau of Indian Education schools serving over 477,000 Indian students.

Special programs for Indian children

Funds support 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.

Program and Financing(in millions of dollars)Identification code 91–0101–2–1–5012011 actual2012 est.2013 est.Obligations by program activity:0001Grants to local educational agencies1060002Special programs for Indian children190003National activities60900Total new obligations131Budgetary Resources:Budget authority:Appropriations, discretionary:1100Appropriation1311160Appropriation, discretionary (total)1311930Total budgetary resources available131Change in obligated balance:3030Obligations incurred, unexpired accounts1313040Outlays (gross)–7Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)1243100Obligated balance, end of year (net)124Budget authority and outlays, net:Discretionary:4000Budget authority, gross131Outlays, gross:4010Outlays from new discretionary authority74180Budget authority, net (total)1314190Outlays, net (total)7

Object Classification(in millions of dollars)Identification code 91–0101–2–1–5012011 actual2012 est.2013 est.Direct obligations:25.2Other services from non-Federal sources541.0Grants, subsidies, and contributions12699.9Total new obligations131

Education Jobs Fund

Enacted/requested

Program and Financing(in millions of dollars)Identification code 91–0012–0–1–5012011 actual2012 est.2013 est.Obligations by program activity:0001Education Jobs Fund9930900Total new obligations (object class 41.0)993Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 19931930Total budgetary resources available993Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)7,7753,7123030Obligations incurred, unexpired accounts9933040Outlays (gross)–5,056–3,712Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)3,7123100Obligated balance, end of year (net)3,712Budget authority and outlays, net:Mandatory:Outlays, gross:4101Outlays from mandatory balances5,0563,7124190Outlays, net (total)5,0563,712

State Fiscal Stabilization Fund, Recovery Act

Enacted/requested

Amounts in this schedule reflect balances that are spending out from a prior-year appropriation.Program and Financing(in millions of dollars)Identification code 91–1909–0–1–9992011 actual2012 est.2013 est.Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)17,8845,4563040Outlays (gross)–12,428–5,456Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)5,4563100Obligated balance, end of year (net)5,456Budget authority and outlays, net:Discretionary:Outlays, gross:4011Outlays from discretionary balances12,4285,4564190Outlays, net (total)12,4285,456

Office of Innovation and Improvement

Federal Funds

Innovation and Instructional Teams

Enacted/requested

Innovation and Improvement

Innovation and Instructional Teams

For carrying out activities authorized by part G of title I, subpart 5 of part A and parts C and D of title II, parts B, C, and D of title V of the ESEA, and sections 14006 and 14007 of division A of the American Recovery and Reinvestment Act of 2009, as amended, $1,530,429,000: Provided, That the Secretary may use up to $550,000,000, which shall remain available for obligation through December 31, 2012, for section 14006 of division A of Public Law 111–5, as amended, to make awards (including on the basis of previously submitted applications) to States or to local educational agencies, or both, in accordance with the applicable requirements of that section, as determined by the Secretary, and may use up to 5 percent of such funds for technical assistance and evaluation of the activities carried out under that section: Provided further, That up to $149,700,000 shall be available for obligation through December 31, 2012 for section 14007 of division A of Public Law 111–5, and up to 5 percent of such funds may be used for technical assistance and the evaluation of activities carried out under such section: Provided further, That $300,000,000 of the funds for subpart 1 of 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 nonprofit organization to develop and implement performance-based compensation systems for teachers, principals, and other personnel 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 additional responsibilities and leadership roles: Provided further, That recipients of such grants shall demonstrate that such performance-based compensation systems are developed with the input of teachers and school leaders in the schools and local educational agencies to be served by the grant: Provided further, That recipients of such grants may use such funds to develop or improve systems and tools (which may be developed and used for the entire local educational agency or only for schools served under the grant) that would enhance the quality and success of the compensation system, such as high-quality teacher evaluations and tools to measure growth in student achievement: Provided further, That applications for such grants shall include a plan to sustain financially the activities conducted and systems developed under the grant once the grant period has expired: 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 not less than $23,000,000 to carry out activities under section 5205(b) and under subpart 2: Provided further, That of the funds available for subpart 1 of part B of title V of the ESEA, and notwithstanding section 5205(a), the Secretary may reserve up to $55,000,000 to make multiple awards to non-profit charter management organizations and other entities that are not for-profit entities for the replication and expansion of successful charter school models and shall reserve up to $11,000,000 to carry out the activities described in section 5205(a), including improving quality and oversight of charter schools and providing technical assistance and grants to authorized public chartering agencies in order to increase the number of high-performing charter schools: Provided further, That each application submitted pursuant to section 5203(a) shall describe a plan to monitor and hold accountable authorized public chartering agencies through such activities as providing technical assistance or establishing a professional development program, which may include evaluation, planning, training, and systems development for staff of authorized public chartering agencies to improve the capacity of such agencies in the State to authorize, monitor, and hold accountable charter schools: Provided further, That each application submitted pursuant to section 5203(a) shall contain assurances that State law, regulations, or other policies require that: (1) each authorized charter school in the State operate under a legally binding charter or performance contract between itself and the school's authorized public chartering agency that describes the obligations and responsibilities of the school and the public chartering agency; conduct annual, timely, and independent audits of the school's financial statements that are filed with the school's authorized public chartering agency; and demonstrate improved student academic achievement; and (2) authorized public chartering agencies use increases in student academic achievement for all groups of students described in section 1111(b)(2)(C)(v) of the ESEA as the most important factor when determining to renew or revoke a school's charter.

(Department of Education Appropriations Act, 2012.)

The Administration is proposing legislation reauthorizing the Elementary and Secondary Education Act (ESEA), including the programs in this account. Consistent with this reauthorization proposal, the Budget proposes to realign programs in ESEA accounts. When new authorizing legislation is enacted, resources will be requested for these programs. See the "Legislative proposal, not subject to PAYGO" schedule for additional details.Program and Financing(in millions of dollars)Identification code 91–0204–0–1–5012011 actual2012 est.2013 est.Obligations by program activity:0001Teacher incentive fund3992990002Transition to teaching41260003Teaching American history460004School leadership29290005Charter schools grants2452550006Credit enhancement for charter school facilities100007Voluntary public school choice260008Magnet schools assistance1001000009Advanced placement43270010Ready-to-learn-television27270011FIE programs of national significance12410012Excellence in economic education10013Arts in education27250014Race to the Top27285170015Investing in Innovation11561410100Total direct program1,0091,7136580799Total direct obligations1,0091,7136580801DC Schools1860600900Total new obligations1,0271,773718Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 12846661Budget authority:Appropriations, discretionary:1100Appropriation1,8601,5311130Appropriations permanently reduced–41143Approp permanently reduced (Sec 527, HR 2055)–31160Appropriation, discretionary (total)1,8561,528Spending authority from offsetting collections, discretionary:1700Collected1560601750Spending auth from offsetting collections, disc (total)1560601900Budget authority (total)1,8711,588601930Total budgetary resources available1,8732,434721Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year8466613Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)2,2522,2162,0583030Obligations incurred, unexpired accounts1,0271,7737183031Obligations incurred, expired accounts13040Outlays (gross)–1,050–1,931–1,6423081Recoveries of prior year unpaid obligations, expired–14Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)2,2162,0581,1343100Obligated balance, end of year (net)2,2162,0581,134Budget authority and outlays, net:Discretionary:4000Budget authority, gross1,8711,58860Outlays, gross:4010Outlays from new discretionary authority117934011Outlays from discretionary balances1,0391,8521,6394020Outlays, gross (total)1,0501,9311,642Offsets against gross budget authority and outlays:Offsetting collections (collected) from:4033Non-Federal sources–15–60–604180Budget authority, net (total)1,8561,5284190Outlays, net (total)1,0351,8711,582

Summary of Budget Authority and Outlays(in millions of dollars)2011 actual2012 est.2013 est.Enacted/requested:Budget Authority1,8561,528Outlays1,0351,8711,582Legislative proposal, not subject to PAYGO:Budget Authority4,332Outlays217Total:Budget Authority1,8561,5284,332Outlays1,0351,8711,799

Object Classification(in millions of dollars)Identification code 91–0204–0–1–5012011 actual2012 est.2013 est.Direct obligations:25.1Advisory and assistance services432425.2Other services from non-Federal sources3941.0Grants, subsidies, and contributions9631,68065899.0Direct obligations1,0091,71365899.0Reimbursable obligations18606099.9Total new obligations1,0271,773718

Legislative proposal, not subject to PAYGO

The resources in this schedule are proposed for later transmittal under proposed legislation to reauthorize the Elementary and Secondary Education Act of 1965.

Race to the top

Funds would support grants to State educational agencies (SEAs) and local educational agencies (LEAs) to implement systemic reforms in five areas where fundamental reforms are most needed: implementing rigorous standards and assessments; using data to improve instruction and decision-making; recruiting and retaining effective teachers and principals; turning around the lowest-performing schools; and improving State systems of early learning and care. Funds would enable the program to deepen its investments in reforming elementary and secondary education, as well as provide resources for the Early Learning Challenge program to support improving outcomes in early childhood education.

Investing in innovation

Funds would support grants to LEAs or to nonprofit organizations in consortium with one or more schools or LEAs to develop and expand innovative strategies and practices that have been shown to be effective in improving educational outcomes for students. A portion of the funds would be used to launch the Advanced Research Projects Agency—Education, which would pursue breakthrough developments in educational technologies and other strategies for raising achievement. Funds may also be used for "pay-for-success" projects, such as projects that make use of performance-based contracts or social impact bonds, to engage social investors, the Federal Government, and a State or local community to collaboratively finance effective interventions.

Effective teachers and leaders State grants

Funds would support formula grants to States and LEAs to promote and enhance the teaching profession; recruit, prepare, develop, reward, and retain effective and highly effective teachers, principals, and other school leaders and foster excellent instructional teams, especially in high-need LEAs, schools, fields, and subjects; ensure the equitable distribution of effective and highly effective teachers and principals; increase the effectiveness of teachers and principals; strengthen teacher and principal evaluation systems; ensure that teachers have the knowledge, skills, data, support, and collaborative opportunities needed to be effective in the classroom; and improve the management of the education workforce in States and LEAs. The Department would reserve up to 25 percent of the appropriation for this program to build evidence on how to best recruit, train, and support effective teachers and school leaders; recruit and prepare effective science, technology, engineering, and mathematics teachers; and invest in efforts to enhance the teaching and leadership professions.

Teacher and leader innovation fund

Funds would support competitive grants to States and LEAs willing to implement bold approaches to improving the effectiveness of the education workforce in high-need schools and districts by creating the conditions needed to identify, reward, retain, and advance effective teachers, principals, and school leadership teams in those schools, and enabling schools to build the strongest teams possible.

Teacher and leader pathways

Funds would support continuation costs for the School Leadership, Teacher Quality Partnership, and Transition to Teaching programs.

Expanding educational options

Funds would support competitive grants to SEAs, charter school authorizers, charter management organizations, LEAs, and other nonprofit organizations to start or expand high-performing charter and other autonomous public schools in high-need areas.

Magnet schools assistance

Funds would support competitive grants to LEAs to establish and operate magnet school programs that are part of an approved desegregation plan.

Fund for the improvement of education: programs of national significance

Funds would support nationally significant projects to improve the quality of elementary and secondary education, including an interagency initiative to strengthen services provided to disconnected youth and continuation of efforts to improve the quality, analysis, and reporting of elementary and secondary education performance data. Funds would also go towards an evidence-based math initiative and to support the Institute of Education Sciences (IES) in becoming a resource for improving the evidence base for STEM programs across the Federal Government.

Program and Financing(in millions of dollars)Identification code 91–0204–2–1–5012011 actual2012 est.2013 est.Obligations by program activity:0001Race to the top8500002Investing in innovation1500003Effective teachers and leaders State grants2,4360004Teacher and leader innovation fund4000005Teacher and leader pathways750006Expanding educational options2550007Magnet schools assistance1000008FIE Programs of national significance360100Total direct program4,3020900Total new obligations4,302Budgetary Resources:Budget authority:Appropriations, discretionary:1100Appropriation4,3321160Appropriation, discretionary (total)4,3321930Total budgetary resources available4,332Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year30Change in obligated balance:3030Obligations incurred, unexpired accounts4,3023040Outlays (gross)–217Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)4,0853100Obligated balance, end of year (net)4,085Budget authority and outlays, net:Discretionary:4000Budget authority, gross4,332Outlays, gross:4010Outlays from new discretionary authority2174180Budget authority, net (total)4,3324190Outlays, net (total)217

Object Classification(in millions of dollars)Identification code 91–0204–2–1–5012011 actual2012 est.2013 est.Direct obligations:25.1Advisory and assistance services10525.2Other services from non-Federal sources1941.0Grants, subsidies, and contributions4,17899.9Total new obligations4,302

Office of English Language Acquisition

Federal Funds

English Learner Education

Enacted/requested

English Language Acquisition

English Learner Education

For carrying out part A of title III of the ESEA, $733,530,000, which shall become available on July 1, 2012, and shall remain available through September 30, 2013, except that 6.5 percent of such amount shall be available on October 1, 2011, and shall remain available through September 30, 2013, to carry out activities under section 3111(c)(1)(C): Provided, That the Secretary shall use estimates of the American Community Survey child counts for the most recent 3-year period available to calculate allocations under such part.

(Department of Education Appropriations Act, 2012.)

Summary of Budget Authority and Outlays(in millions of dollars)2011 actual2012 est.2013 est.Enacted/requested:Budget Authority734732Outlays782762724Legislative proposal, not subject to PAYGO:Budget Authority732Outlays7Total:Budget Authority734732732Outlays782762731

Object Classification(in millions of dollars)Identification code 91–1300–0–1–5012011 actual2012 est.2013 est.Direct obligations:25.1Advisory and assistance services56225.5Research and development contracts241.0Grants, subsidies, and contributions742729499.9Total new obligations7497356

Legislative proposal, not subject to PAYGO

The resources in this schedule are proposed for later transmittal under proposed legislation to reauthorize the Elementary and Secondary Education Act of 1965.

Language acquisition State grants

This program provides formula grants to States to improve services for English Learners. States are accountable for demonstrating that English Learners are making progress toward proficiency in English and meeting the same high State academic standards as all other students. The statute also authorizes national activities, including professional development, evaluation, a national information clearinghouse on English language acquisition, and, under the proposed reauthorization, technical assistance to grantees and funding for demonstration projects to replicate proven practices.

Program and Financing(in millions of dollars)Identification code 91–1300–2–1–5012011 actual2012 est.2013 est.Obligations by program activity:0001English language acquisition grants732Budgetary Resources:Budget authority:Appropriations, discretionary:1100Appropriation7321160Appropriation, discretionary (total)7321930Total budgetary resources available732Change in obligated balance:3030Obligations incurred, unexpired accounts7323040Outlays (gross)–7Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)7253100Obligated balance, end of year (net)725Budget authority and outlays, net:Discretionary:4000Budget authority, gross732Outlays, gross:4010Outlays from new discretionary authority74180Budget authority, net (total)7324190Outlays, net (total)7

Object Classification(in millions of dollars)Identification code 91–1300–2–1–5012011 actual2012 est.2013 est.Direct obligations:25.1Advisory and assistance services225.5Research and development contracts141.0Grants, subsidies, and contributions72999.9Total new obligations732

Office of Special Education and Rehabilitative Services

Federal Funds

Special Education

Enacted/requested

Special Education

For carrying out the Individuals with Disabilities Education Act ("IDEA'') and the Special Olympics Sport and Empowerment Act of 2004, $12,647,066,000 $12,687,307,000, of which $3,115,716,000 $2,289,108,000 shall become available on July 1, 2012 2013, and shall remain available through September 30, 2013 2014, and of which $9,283,383,000 $10,124,103,000 shall become available on October 1, 2012 2013, and shall remain available through September 30, 2013 2014, for academic year 2012–2013 2013–2014: Provided, 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 2011 2012, increased by the amount of inflation as specified in section 619(d)(2)(B) of the IDEA, or the percent change in the funds appropriated under section 611(i) of the IDEA, but not less than the amount for that activity during fiscal year 2011 2012: Provided further, That the Secretary shall, without regard to section 611(d) of the IDEA, distribute to all other States (as that term is defined in section 611(g)(2)), subject to the third proviso, any amount by which a State's allocation under section 611(d), from funds appropriated under this heading, is reduced under section 612(a)(18)(B), according to the following: 85 percent on the basis of the States' relative populations of children aged 3 through 21 who are of the same age as children with disabilities for whom the State ensures the availability of a free appropriate public education under this part, and 15 percent to States on the basis of the States' relative populations of those children who are living in poverty: Provided further, That the Secretary may not distribute any funds under the previous proviso to any State whose reduction in allocation from funds appropriated under this heading made funds available for such a distribution: Provided further, That the States shall allocate such funds distributed under the second proviso to local educational agencies in accordance with section 611(f): Provided further, That the amount by which a State's allocation under section 611(d) of the IDEA is reduced under section 612(a)(18)(B) and the amounts distributed to States under the previous provisos in fiscal year 2012 or any subsequent year shall not be considered in calculating the awards under section 611(d) for fiscal year 2013 or for any subsequent fiscal years: Provided further, that the Secretary may, notwithstanding section 643(e)(1) of the IDEA, reserve up to $2,710,000 of the amount provided under section 644 for incentive grants to States to carry out section 635(c): Provided further, that funds made available for the Special Olympics Sport and Empowerment Act of 2004 may be used to support expenses associated with the Special Olympics National and World Games: Provided further, That $2,000,000 $30,000,000, to remain available for obligation through September 30, 2013 2014, shall be for competitive grants to States, incentive payments, and related activities aimed at improving the outcomes of children receiving Supplemental Security Income (SSI) and their families, which may include competitive grants to States as may be necessary to improve the provision and coordination of services and supports for Supplemental Security Income (SSI) child recipients and their families or households in order to achieve improved health status outcomes, including both physical and emotional health, and education and post-school outcomes, including completion of such as completing postsecondary education and job training and obtaining employment, and to improve services and supports to the families or households of the SSI child recipient, such as education and job training for the parents that may result in long-term improvements in the SSI child recipient's economic self-sufficiency: Provided further, That States may award subgrants for a portion of the funds to other public and private, non-profit entities: Provided further, That not to exceed $15,000,000 of amounts provided in the eighth proviso may be used for performance-based awards for Pay for Success projects: Provided further, That, with respect to the previous proviso, any funds obligated for such projects shall remain available for disbursement until expended, notwithstanding 31 U.S.C. 1552(a): Provided further, That, with respect to the tenth proviso, any deobligated funds from such projects shall immediately be available for section 611 of the IDEA. (Department of Education Appropriations Act, 2012.)

SUMMARY OF GRANTS TO STATES PROGRAM LEVEL[in millions of dollars]2011–2012 Academic Year2012–2013 Academic Year2013–2014 Academic YearCurrent Budget Authority$2,890$2,295$1,454Advance appropriation8,5769,28310,124Total program level11,46611,57811,578Change in advance appropriation from the previous year–1670784111To account for the Administration's ESEA reauthorization proposal, the 2013 Budget eliminates the $1.7 billion advance appropriation that was previously in the School Improvement Programs account (renamed the Education Improvement Programs account) and replaces it with corresponding increases to advance appropriations in the Education for the Disadvantaged ($841 million, renamed the Accelerating Achievement and Ensuring Equity account) and Special Education ($841 million) accounts. Total advance appropriations in the Department of Education remain the same at $21.9 billion.

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 three through five served under the Grants to States program.The goal of both of these programs is to improve results for children with disabilities by assisting State and local educational agencies to provide children with disabilities with access to high quality education that will help them meet challenging standards and prepare them for employment and independent living.

Grants for infants and families

Formula grants are provided to assist States to implement statewide systems of coordinated, comprehensive, multi-disciplinary interagency programs to provide early intervention services to children with disabilities, birth through age two, 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 and development, 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.

Special Olympics education programs

This program funds activities that promote the expansion of the Special Olympics and the design and implementation of Special Olympics education programs.

PROMISE: Promoting Readiness of Minors in SSI

This program funds demonstration programs in select States to improve the provision and coordination of existing services for which children receiving Supplemental Security Income and their families are already eligible. The goal of this program is to improve outcomes for SSI child recipients and their families. A portion of these funds may be used for Pay for Success bonds to engage social investors, the Federal Government, and a State or local community to collaboratively finance effective interventions.Performance data related to program goals include:

2007–2008 actual2008–2009 actual2009–2010 actualStatus of Exiting StudentsPercent / number of students with disabilities aged 14–21 exiting special education:Graduated with a diploma34.4% / 217,90535.6% / 247,29937.9% / 256,102Graduated through certification8.4% / 53,2608.9% / 61,5088.9% / 60,001Transferred to regular education8.2% / 51,7869.6% / 66,3649.9% / 66,920Dropped out of school/not known to continue14.3% / 90,76613.2% / 91,31812.7% / 86,327Moved, but known to have continued in education33.5% / 212,33731.6% / 219,02029.6% / 199,899Reached maximum age for services/other1.2% / 7,1871.1% / 7,7731.0% / 6,628Total100% / 633,241100% / 693,282100% / 675,877Note-Percentages may not add to 100% due to rounding.Note-Previous versions of this table did not contain the categories "Transferred to regular education" and "Moved, but known to have continued in education." The Department of Education revised its data collection forms to include these additional items, which track additional students with disabilities ages 14 and older who leave special education, and are mutually exclusive with other categories included in this table. Because this is the case, the percentages reported in this table are not comparable with percentages reported in the same table in previous years.

Program and Financing(in millions of dollars)Identification code 91–0300–0–1–5012011 actual2012 est.2013 est.Obligations by program activity:0001Grants to States11,47510,89010,7370002Preschool grants3733733720003Grants for infants and families4394434630091Subtotal, State grants12,28711,70611,5720101State personnel development4744450102Technical assistance and dissemination4955470103Personnel preparation8888860104Parent information centers2829290105Technology and media services2929290191Subtotal, National activities2412452360200Total Direct Program12,52811,95111,8080201Special Olympics education programs880203PROMISE: Promoting Readiness of Minors in SSI2300291Direct program activities, subtotal82380900Total new obligations12,53611,95311,846Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 11320Budget authority:Appropriations, discretionary:1100Appropriation3,9763,3642,5631130Appropriations permanently reduced–81143Approp permanently reduced (Sec 527, HR 2055)–71160Appropriation, discretionary (total)3,9683,3572,563Advance appropriations, discretionary:1170Advance appropriation (Advance appropriated in previous year)8,5928,5929,2831173Advance appropriations permanently reduced–171175Adv approp permanently reduced (Sec 527, HR 2055)–161180Advanced appropriation, discretionary (total)8,5758,5769,2831900Budget authority (total)12,54311,93311,8461930Total budgetary resources available12,55611,95311,846Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year20Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)13,1708,6356,0513030Obligations incurred, unexpired accounts12,53611,95311,8463040Outlays (gross)–17,062–14,537–12,6833081Recoveries of prior year unpaid obligations, expired–9Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)8,6356,0515,2143100Obligated balance, end of year (net)8,6356,0515,214Budget authority and outlays, net:Discretionary:4000Budget authority, gross12,54311,93311,846Outlays, gross:4010Outlays from new discretionary authority5,5567,0687,6224011Outlays from discretionary balances11,5067,4695,0614020Outlays, gross (total)17,06214,53712,6834180Budget authority, net (total)12,54311,93311,8464190Outlays, net (total)17,06214,53712,683

Object Classification(in millions of dollars)Identification code 91–0300–0–1–5012011 actual2012 est.2013 est.Direct obligations:25.2Other services from non-Federal sources55541.0Grants, subsidies, and contributions12,53111,94811,84199.9Total new obligations12,53611,95311,846

Rehabilitation Services and Disability Research

Enacted/requested

Rehabilitation Services and Disability Research

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, $3,512,019,000 $3,517,710,000: Provided, That, of the amount provided for the Vocational Rehabilitation State Grants program, the Secretary shall reserve $10,000,000 to remain available to the Secretary until September 30, 2014, for the Workforce Innovation Fund, as established by this Act: Provided further, That, after reserving the amount needed to pay the continuation costs of grants awarded under section 304 of the Rehabilitation Act, the Secretary may allocate to States, in accordance with a formula determined by the Secretary, up to $35,657,000 of the amount provided for the Vocational Rehabilitation State Grants program: Provided further, That section 302(g)(3) of the Rehabilitation Act shall not apply to funds provided under section 302 of such Act: Provided further, That the Secretary may use amounts provided in this Act that remain available subsequent to the reallotment of funds to States pursuant to section 110(b) of the Rehabilitation Act for innovative activities aimed at improving the outcomes of individuals with disabilities as defined in section 7(20)(B) of the Rehabilitation Act, including activities aimed at improving the health, education, and post-school outcomes of children receiving Supplemental Security Income (SSI) and their families, including competitive grants to States to improve the provision and coordination of services for SSI child recipients in order to achieve improved health status, education and post-school outcomes, including completion of postsecondary education and employment, and to improve services and supports to the family or households of that may result in long-term improvement in the SSI child recipient's

, such as education and job training for the parents

economic status and self-sufficiency: Provided further, That States may award subgrants for a portion of the funds to other public and private, non-profit entities: Provided further, That any funds made available subsequent to reallotment for innovative activities aimed at improving the outcomes of children receiving SSI and their families individuals with disabilities shall remain available until September 30, 2013 2014: Provided further, That not to exceed $20,000,000 of the amounts made available in the fourth proviso may be used for performance-based awards for Pay for Success projects: Provided further, That, with respect to the previous proviso, any funds obligated for such projects shall remain available for disbursement until expended, notwithstanding 31 U.S.C. 1552(a): Provided further, That, with respect to the sixth proviso, any deobligated funds from such projects shall immediately be available for programs authorized under the Rehabilitation ActProvided further, That $2,000,000 shall be for competitive grants to support alternative financing programs that provide for the purchase of assistive technology devices, such as a low-interest loan fund; an interest buy-down program; a revolving loan fund; a loan guarantee; or insurance program: Provided further, That applicants shall provide an assurance that, and information describing the manner in which, the alternative financing program will expand and emphasize consumer choice and control: Provided further, That State agencies and community-based disability organizations that are directed by and operated for individuals with disabilities shall be eligible to compete.(Department of Education Appropriations Act, 2012.)

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 2010, 48 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 2010, 95 percent of general and combined agencies met this performance criterion. These outcome data are based on the approximately 331,310 individuals whose service records were closed in 2010 after receiving services. The request for the VR State Grants program reflects the Administration's proposal to consolidate the funds of the smaller VR-related programs and eliminate their separate funding authorities under the Rehabilitation Act in order to reduce duplication of effort and administrative costs, streamline program administration at the Federal and local level, and improve accountability. A total of $35.657 million would be made available to the VR State Grants program from the consolidation of employment-related programs. The request also includes $10 million to be set aside to support a cross-agency Workforce Innovation Fund (WIF) that would be jointly administered by the Departments of Education and Labor to test innovative strategies and replicate evidence-based practices in the workforce system. The Fund is described in more detail in the Title V General Provisions. The FY 2013 request also includes language that would allow the Secretary to use amounts provided in this Act for the VR State Grants program that remain available subsequent to the reallotment of funds to States pursuant to section 110(b) of the Rehabilitation Act to support innovative activities aimed at improving outcomes for individuals with disabilities, including activities under the PROMISE program in the Special Education account. A portion of these funds may be used for Pay for Success bonds to engage social investors, the Federal Government, and a State or local community to collaboratively finance effective interventions.

Client assistance State grants

Formula grants are made to States to provide assistance in informing and advising clients and applicants about 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. Funds currently provided to State VR agencies to support in-service training for agency personnel under section 302(g)(3) of the Training program ($5.327 million) would be included in the VR State Grants consolidation.

Demonstration and training programs

Competitive grants and contracts are awarded to expand and improve the provision and effectiveness of programs and services authorized under the Rehabilitation Act or further the purposes of the Act in promoting the employment and independence of individuals with disabilities in the community. Funds are used to support model demonstrations, technical assistance, and projects designed to improve program performance and the delivery of vocational rehabilitation and independent living services.

Independent living

Grants are awarded to States and consumer-controlled nonprofit organizations 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.

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.

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. Funds would also be used to conduct rigorous evaluations of programs and activities 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.

Assistive technology

Assistive Technology (AT) programs support AT State formula grants 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. Formula grants are also provided under the AT Protection and Advocacy program to systems established under the Developmental Disabilities Assistance and Bill of Rights Act for protection and advocacy services to assist individuals with disabilities of all ages. Funds also support national technical assistance activities for these formula grant programs.

Program and Financing(in millions of dollars)Identification code 91–0301–0–1–5062011 actual2012 est.2013 est.Obligations by program activity:0001Vocational rehabilitation State grants3,0263,1223,1670002Client assistance State grants1212120003Supported employment State grants29290004Migrant and seasonal farmworkers220005Training3635300006Demonstration and training programs6560007Independent living1381371380008Protection and advocacy of individual rights1818180009National Institute on Disability and Rehabilitation Research1091091070011Helen Keller National Center9990012Assistive technology3133310100Total direct program3,4163,5113,5180799Total direct obligations3,4163,5113,5180801Reimbursable program2220900Total new obligations3,4183,5133,520Budgetary Resources:Budget authority:Appropriations, discretionary:1100Appropriation3913902871130Appropriations permanently reduced–11143Approp permanently reduced (Sec 527, HR 2055)–11160Appropriation, discretionary (total)390389287Appropriations, mandatory:1200Appropriation3,0853,1223,2311260Appropriations, mandatory (total)3,0853,1223,231Spending authority from offsetting collections, discretionary:1700Collected2221750Spending auth from offsetting collections, disc (total)2221900Budget authority (total)3,4773,5133,5201930Total budgetary resources available3,4773,5133,520Memorandum (non-add) entries:1940Unobligated balance expiring–59Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)2,4952,3361,6253030Obligations incurred, unexpired accounts3,4183,5133,5203031Obligations incurred, expired accounts13040Outlays (gross)–3,543–4,224–3,6323081Recoveries of prior year unpaid obligations, expired–35Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)2,3361,6251,5133100Obligated balance, end of year (net)2,3361,6251,513Budget authority and outlays, net:Discretionary:4000Budget authority, gross392391289Outlays, gross:4010Outlays from new discretionary authority832461824011Outlays from discretionary balances6654661724020Outlays, gross (total)748712354Offsets against gross budget authority and outlays:Offsetting collections (collected) from:4030Federal sources–2–2–2Mandatory:4090Budget authority, gross3,0853,1223,231Outlays, gross:4100Outlays from new mandatory authority1,3361,9662,0364101Outlays from mandatory balances1,4591,5461,2424110Outlays, gross (total)2,7953,5123,2784180Budget authority, net (total)3,4753,5113,5184190Outlays, net (total)3,5414,2223,630

Object Classification(in millions of dollars)Identification code 91–0301–0–1–5062011 actual2012 est.2013 est.Direct obligations:25.1Advisory and assistance services65525.2Other services from non-Federal sources1125.3Other goods and services from Federal sources1141.0Grants, subsidies, and contributions3,4083,5053,51299.0Direct obligations3,4163,5113,51899.0Reimbursable obligations22299.9Total new obligations3,4183,5133,520

American Printing House for the Blind

Enacted/requested

Special Institutions for Persons With Disabilities

american printing house for the blindFor carrying out the Act of March 3, 1879, $24,551,000 $24,505,000.(Department of Education Appropriations Act, 2012.)

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 2011, the portion of the Federal appropriation allocated to educational materials represented approximately 75 percent of the Printing House's total sales. The full appropriation represented approximately 86 percent of the Printing House's total budget.Program and Financing(in millions of dollars)Identification code 91–0600–0–1–5012011 actual2012 est.2013 est.Obligations by program activity:0001American printing house for the blind2525250900Total new obligations (object class 41.0)252525Budgetary Resources:Budget authority:Appropriations, discretionary:1100Appropriation2525251160Appropriation, discretionary (total)2525251930Total budgetary resources available252525Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)6813030Obligations incurred, unexpired accounts2525253040Outlays (gross)–23–32–26Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)813100Obligated balance, end of year (net)81Budget authority and outlays, net:Discretionary:4000Budget authority, gross252525Outlays, gross:4010Outlays from new discretionary authority1724244011Outlays from discretionary balances6824020Outlays, gross (total)2332264180Budget authority, net (total)2525254190Outlays, net (total)233226

National Technical Institute for the Deaf

Enacted/requested

National Technical Institute for the Deaf

For the National Technical Institute for the Deaf under titles I and II of the Education of the Deaf Act of 1986, $65,546,000 $65,037,000, of which $2,000,000, to remain available until expended, shall be for construction: 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, 2012.)

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 2011, the Federal appropriation represented approximately 73 percent of the Institute's operating budget. The 2013 request includes funds for the establishment of a deferred maintenance account. The request includes funds that may be used for the Endowment Grant program. Program and Financing(in millions of dollars)Identification code 91–0601–0–1–5022011 actual2012 est.2013 est.Obligations by program activity:0001Operations6665630002Construction20900Total new obligations (object class 41.0)666565Budgetary Resources:Budget authority:Appropriations, discretionary:1100Appropriation6665651160Appropriation, discretionary (total)6665651930Total budgetary resources available666565Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)2353030Obligations incurred, unexpired accounts6665653040Outlays (gross)–65–63–63Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)3573100Obligated balance, end of year (net)357Budget authority and outlays, net:Discretionary:4000Budget authority, gross666565Outlays, gross:4010Outlays from new discretionary authority6561594011Outlays from discretionary balances244020Outlays, gross (total)6563634180Budget authority, net (total)6665654190Outlays, net (total)656363

Gallaudet University

Enacted/requested

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, $125,754,000, of which $7,990,000 shall be for construction and shall remain available until expended $117,541,000: Provided, That from the total amount available, the University may at its discretion use funds for the endowment program as authorized under section 207:

of such Act

Provided further, That, of the amount provided under this heading, up to $7,000,000, to remain available until expended, may be used for construction.(Department of Education Appropriations Act, 2012.)

This institution provides undergraduate, continuing education, and graduate programs related to deafness for students who are deaf and hard of 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 the Laurent Clerc National Deaf Education Center, which includes 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. The Clerc Center also develops and disseminates information on effective educational techniques and strategies for teachers and professionals working with students who are deaf or hard of hearing.In 2011, the appropriation for Gallaudet represented approximately 69 percent of total revenue for the University. Approximately 25 percent of the Federal appropriation was used to support activities at the Clerc Center, which received nearly 100 percent of its revenue through the appropriation. 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 funds that may be used for the Endowment Grant program, and for construction.Program and Financing(in millions of dollars)Identification code 91–0602–0–1–5022011 actual2012 est.2013 est.Obligations by program activity:0001Operations1181181180002Construction580900Total new obligations (object class 41.0)123126118Budgetary Resources:Budget authority:Appropriations, discretionary:1100Appropriation1231261181160Appropriation, discretionary (total)1231261181930Total budgetary resources available123126118Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)811203030Obligations incurred, unexpired accounts1231261183040Outlays (gross)–120–117–124Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)1120143100Obligated balance, end of year (net)112014Budget authority and outlays, net:Discretionary:4000Budget authority, gross123126118Outlays, gross:4010Outlays from new discretionary authority1171121114011Outlays from discretionary balances35134020Outlays, gross (total)1201171244180Budget authority, net (total)1231261184190Outlays, net (total)120117124

Office of Vocational and Adult Education

Federal Funds

Career, Technical and Adult Education

Enacted/requested

Career, Technical, and Adult Education

For carrying out, to the extent not otherwise provided, the Carl D. Perkins Career and Technical Education Act of 2006 and the Adult Education and Family Literacy Act (referred to in this Act as the "AEFLA''), $1,738,946,000 $606,295,000, of which $947,946,000 shall become available on July 1, 2012 2013, and shall remain available through September 30, 2013, and of which $791,000,000 shall become available on October 1, 2012, and shall remain available through September 30, 2013 2014: Provided, That of the amount provided for Adult Education State Grants, $15,000,000 shall be made available to the Secretary for the Workforce Innovation Fund, as established by this Act; and

$74,850,000

$74,709,000 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 AEFLA, 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 available for AEFLA, $11,323,000 $11,302,000 shall be for national leadership activities under section 243.(Department of Education Appropriations Act, 2012.)

SUMMARY OF PROGRAM LEVEL(in millions of dollars) 2011–12 Academic Year 2012–13 Academic Year 2013–14 Academic YearNew Budget Authority$948$946$946Advance Appropriation791790791Total program level1,7391,7361,737Change in advance appropriation over previous year0–1+1

The Administration is proposing legislation reauthorizing the Carl D. Perkins Career and Technical Education Act of 2006, including programs in this account. When new authorizing legislation is enacted, resources will be requested for these programs. See the "Legislative proposal, not subject to PAYGO" schedule for additional details.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 provide English literacy and civics education for immigrants and other limited English proficient adults. In addition, the Budget proposes a set-aside of $15 million to be used for the Workforce Innovation Fund to test and validate more effective approaches to achieving positive employment outcomes for program participants, particularly the most vulnerable populations. The Fund will support cross-program collaboration and bold systemic reforms to improve education and employment outcomes for participants. The Departments of Education and Labor will jointly administer the Fund, which is described in the Title V General Provisions.

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.

Program and Financing(in millions of dollars)Identification code 91–0400–0–1–5012011 actual2012 est.2013 est.Obligations by program activity:0001State grants1,1261,1237910002National programs8880091Total, Career and technical education1,1341,1317990101State grants5965955950102National leadership activities1111110191Total, adult education6076066060201Smaller learning communities740900Total new obligations1,8151,7371,405Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 11063030Budget authority:Appropriations, discretionary:1100Appropriation9519486061130Appropriations permanently reduced–21143Approp permanently reduced (Sec 527, HR 2055)–21160Appropriation, discretionary (total)949946606Advance appropriations, discretionary:1170Advance appropriation from prior year7917917911173Advance appropriations permanently reduced–21175Adv approp permanently reduced (Sec 527, HR 2055)–11180Advanced appropriation, discretionary (total)789790791Spending authority from offsetting collections, discretionary:1700Collected11701Change in uncollected payments, Federal sources11750Spending auth from offsetting collections, disc (total)111900Budget authority (total)1,7391,7371,3971930Total budgetary resources available1,8451,7671,427Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year303022Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)1,7621,6071,4453010Uncollected pymts, Fed sources, brought forward, Oct 1–1–13020Obligated balance, start of year (net)1,7621,6061,4443030Obligations incurred, unexpired accounts1,8151,7371,4053031Obligations incurred, expired accounts13040Outlays (gross)–1,968–1,899–1,6863050Change in uncollected pymts, Fed sources, unexpired–13081Recoveries of prior year unpaid obligations, expired–3Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)1,6071,4451,1643091Uncollected pymts, Fed sources, end of year–1–1–13100Obligated balance, end of year (net)1,6061,4441,163Budget authority and outlays, net:Discretionary:4000Budget authority, gross1,7391,7371,397Outlays, gross:4010Outlays from new discretionary authority5996405994011Outlays from discretionary balances1,3691,2591,0874020Outlays, gross (total)1,9681,8991,686Offsets against gross budget authority and outlays:Offsetting collections (collected) from:4030Federal sources–1Additional offsets against gross budget authority only:4050Change in uncollected pymts, Fed sources, unexpired–14070Budget authority, net (discretionary)1,7381,7361,3974080Outlays, net (discretionary)1,9681,8981,6864180Budget authority, net (total)1,7381,7361,3974190Outlays, net (total)1,9681,8981,686

Summary of Budget Authority and Outlays(in millions of dollars)2011 actual2012 est.2013 est.Enacted/requested:Budget Authority1,7381,7361,397Outlays1,9681,8981,686Legislative proposal, not subject to PAYGO:Budget Authority340Outlays17Total:Budget Authority1,7381,7361,737Outlays1,9681,8981,703

Object Classification(in millions of dollars)Identification code 91–0400–0–1–5012011 actual2012 est.2013 est.Direct obligations:25.2Other services from non-Federal sources22225.5Research and development contracts1211925.7Operation and maintenance of equipment11141.0Grants, subsidies, and contributions1,8001,7231,39399.9Total new obligations1,8151,7371,405

Legislative proposal, not subject to PAYGO

The resources in this schedule are proposed for later transmittal under proposed legislation to reauthorize the Carl D. Perkins Career and Technical Education Act of 2006.Career and Technical Education:

State grants

Funds support formula grants to States for programs that focus on improving the academic achievement and career and technical skills of secondary and postsecondary students.

National programs

Funds would support discretionary activities to support research, evaluation, data collection, technical assistance, and other national leadership activities aimed at improving the quality and effectiveness of career and technical education.

Program and Financing(in millions of dollars)Identification code 91–0400–2–1–5012011 actual2012 est.2013 est.Obligations by program activity:0001State grants332Budgetary Resources:Budget authority:Appropriations, discretionary:1100Appropriation3401160Appropriation, discretionary (total)3401900Budget authority (total)3401930Total budgetary resources available340Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year8Change in obligated balance:3030Obligations incurred, unexpired accounts3323040Outlays (gross)–17Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)3153100Obligated balance, end of year (net)315Budget authority and outlays, net:Discretionary:4000Budget authority, gross340Outlays, gross:4010Outlays from new discretionary authority174180Budget authority, net (total)3404190Outlays, net (total)17

Object Classification(in millions of dollars)Identification code 91–0400–2–1–5012011 actual2012 est.2013 est.Direct obligations:25.2Other services from non-Federal sources125.5Research and development contracts225.7Operation and maintenance of equipment141.0Grants, subsidies, and contributions32899.9Total new obligations332

Office of Postsecondary Education

Federal Funds

Higher Education

Enacted/requested

Higher Education

For carrying out, to the extent not otherwise provided, titles II, III, IV, V, VI, VII, and VIII of the HEA, the Mutual Educational and Cultural Exchange Act of 1961, and section 117 of the Carl D. Perkins Career and Technical Education Act of 2006, $1,873,196,000 $1,950,590,000: Provided, That $608,000 $607,000 shall be 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 activities: Provided further, That notwithstanding any other provision of law, a recipient of a multi-year award under section 316 of the HEA, as that section was in effect prior to the date of enactment of the Higher Education Opportunity Act (referred to in this Act as "HEOA''), that would have otherwise received a continuation award for fiscal year 2012 under that section, shall receive under section 316, as amended by the HEOA, not less than the amount that such recipient would have received under such a continuation award: Provided further, That the portion of the funds received under section 316 by a recipient described in the preceding proviso that is equal to the amount of such continuation award shall be used in accordance with the terms of such continuation award not to exceed $10,000,000 of the funds made available under this Act for part B of title VII may be used for college completion-related performance-based awards for Pay for Success projects: Provided further, That, with respect to the previous proviso, any funds obligated for such projects shall remain available for disbursement until expended, notwithstanding 31 U.S.C. 1552(a): Provided further, That, with respect to the fourth proviso, any deobligated funds from such projects shall immediately be available for part B of title VII: Provided further, That, of the amount available under subpart 2 of part A of title VII of the HEA, the Secretary may use up to $4,451,000 to fund continuation awards for projects originally supported under subpart 1 of part A of title VII of the HEA: Provided further, That the Secretary may use amounts provided in this Act for carrying out Titles III and V and funds provided under Part F of Title III and Part AA of Title VIII of the HEA that would otherwise lapse by September 30, 2013 for grants under Part B of Title VII of the HEA to improve college completion at minority-serving institutions.(Department of Education Appropriations Act, 2012.)

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

Discretionary and mandatory 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 students, and to strengthen management and fiscal operations.

Strengthening Alaska Native and Native Hawaiian-serving institutions

Discretionary and mandatory funds support Alaska Native and Native Hawaiian-serving institutions to enable them to improve and expand their capacity to serve students, and to strengthen management and fiscal operations.

Strengthening historically Black colleges and universities

Discretionary and mandatory 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.

Master's degree programs at historically Black colleges and universities and predominantly Black institutions

Mandatory funds support Historically Black Colleges and Universities (HBCUs) and Predominantly Black Institutions (PBIs) to improve and expand their capacity to serve students, and to strengthen management and fiscal operations.

Strengthening predominantly Black institutions

Discretionary and mandatory funds support grants to predominantly Black institutions to improve and expand their capacity to serve students.

Strengthening Asian American and Native American Pacific Islander-serving institutions

Discretionary and mandatory funds support grants to help Asian American and Native American Pacific Islander-serving institutions improve and expand their capacity to serve students, and to strengthen management and fiscal operations.

Strengthening Native American-serving nontribal institutions

Discretionary and mandatory funds support grants to help Native American-serving nontribal institutions 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.Aid for Hispanic-serving institutions:

Developing Hispanic-serving institutions

Funds support Hispanic-serving institutions to help them improve and expand their capacity to serve students.

Developing Hispanic-serving Institutions STEM and Articulation Programs

Mandatory funds support Hispanic-serving institutions to help them improve and expand their capacity to serve students with priority given to applications that propose to increase the number of Hispanics and other low-income students attaining degrees in the fields of science, technology, engineering, or mathematics; and to develop model transfer and articulation agreements between 2-year Hispanic-serving institutions and 4-year institutions in such fields.

Promoting postbaccalaureate opportunities for Hispanic Americans

Discretionary and mandatory funds support Hispanic-serving Institutions to help them expand and improve postbaccalaureate educational opportunities. Other aid for institutions:

International education and foreign language studies programs

Funds promote the development and improvement of domestic and overseas international and foreign language programs.

Fund for the improvement of postsecondary education

Funds support a broad range of postsecondary reform and improvement projects. The majority of funds in 2013 would support the First in the World competition, which would be modeled after the Investing in Innovation program for K-12.

Tribally controlled postsecondary vocational and technical institutions

Funds support the operation and improvement of eligible tribally controlled postsecondary vocational institutions, to ensure continued and expanded educational opportunities for Indian students.

Special programs for migrant students

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.

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

Funds support postsecondary education outreach and student support services to help individuals from disadvantaged backgrounds prepare for, enter, and complete college and graduate studies.

Gaining early awareness and readiness for undergraduate programs

Funds support early college preparation and awareness activities at the State and local levels to ensure that low-income elementary and secondary school students are prepared for and pursue postsecondary education.

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 and continuation awards for Javits Fellowships to students of superior ability who have financial need and who are pursuing terminal degrees in the arts, humanities, and social sciences.

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 (HEA) of 1965, including such activities needed to comply with the Government Performance and Results Act (GPRA) of 1993.

College access challenge grants

Mandatory funds support grants to States to promote activities designed to increase the number of low-income students who are prepared to enter and succeed in postsecondary education.

Hawkins centers for excellence

Funds support a program designed to increase the talent pool of effective minority educators by expanding and reforming teacher education programs at minority-serving institutions.

Program and Financing(in millions of dollars)Identification code 91–0201–0–1–5022011 actual2012 est.2013 est.Obligations by program activity:0001Strengthening institutions8481810002Strengthening tribally controlled colleges and universities5756560003Strengthening Alaska Native and Native Hawaiian-serving institutions2528280004Strengthening historically Black colleges and universities3213133130005Strengthening historically Black graduate institutions6159590006Masters degree programs for HBCUs and predominantly Black institutions1212120007Strengthening predominantly Black institutions2524240008Strengthening Asian American and Native American Pacific Islander-serving institutions7880009Strengthening Native American-serving nontribal institutions7880010Minority science and engineering improvement9990091Subtotal, aid for institutional development6085985980101Developing Hispanic-serving institutions1041001000102Developing Hispanic-serving institution STEM and articulation programs1001001000103Promoting baccalaureate opportunities for Hispanic Americans2121210104International education and foreign language studies7574760105Fund for the Improvement of Postsecondary Education214700107Interest subsidy grants10108Model transition programs for students with intellectual disabilities into higher education8110109Tribally controlled postsecondary vocational and technical institutions11880110Special programs for migrant students370191Subtotal, other aid for institutions3413184120201Federal TRIO programs8838408400202Gaining early awareness and readiness for undergraduate programs (GEAR UP)3033023020204Javits fellowships1070205Graduate assistance in areas of national need3131310208Child care access means parents in school1616160291Subtotal, assistance for students1,2431,1961,1890302Teacher quality partnerships43430303GPRA data/HEA program evaluation1110305College access challenge grants1501501500306Hawkins Centers of Excellence300391Subtotal, other higher education activities1941941810900Total new obligations2,3862,3062,380Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 11281012Unobligated balance transfers between expired and unexpired accounts1251050Unobligated balance (total)1378Budget authority:Appropriations, discretionary:1100Appropriation1,9081,8741,9521130Appropriations permanently reduced–41143Approp permanently reduced (Sec 527, HR 2055)–41160Appropriation, discretionary (total)1,9041,8701,952Appropriations, mandatory:1200Appropriation4854284281260Appropriations, mandatory (total)4854284281900Budget authority (total)2,3892,2982,3801930Total budgetary resources available2,5262,3062,380Memorandum (non-add) entries:1940Unobligated balance expiring–1321941Unexpired unobligated balance, end of year8Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)3,5803,4613,1213030Obligations incurred, unexpired accounts2,3862,3062,3803031Obligations incurred, expired accounts43040Outlays (gross)–2,479–2,646–2,3593081Recoveries of prior year unpaid obligations, expired–30Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)3,4613,1213,1423100Obligated balance, end of year (net)3,4613,1213,142Budget authority and outlays, net:Discretionary:4000Budget authority, gross1,9041,8701,952Outlays, gross:4010Outlays from new discretionary authority3256594011Outlays from discretionary balances2,0912,0751,8564020Outlays, gross (total)2,1232,1311,915Mandatory:4090Budget authority, gross485428428Outlays, gross:4100Outlays from new mandatory authority2313134101Outlays from mandatory balances3335024314110Outlays, gross (total)3565154444180Budget authority, net (total)2,3892,2982,3804190Outlays, net (total)2,4792,6462,359

Object Classification(in millions of dollars)Identification code 91–0201–0–1–5022011 actual2012 est.2013 est.Direct obligations:25.1Advisory and assistance services22225.2Other services from non-Federal sources88825.5Research and development contracts11125.7Operation and maintenance of equipment22241.0Grants, subsidies, and contributions2,3732,2932,36799.9Total new obligations2,3862,3062,380

Race to the Top: College Affordability and Completion

Enacted/requested

Legislative proposal, not subject to PAYGO

Race to the Top: College Affordability and Completion

Drives systemic State reforms that create incentives for institutions to lower costs and increase completion rates at public colleges.

Program and Financing(in millions of dollars)Identification code 91–0016–2–1–5022011 actual2012 est.2013 est.Obligations by program activity:0001Race to the Top: College Affordability and Completion1,0000900Total new obligations (object class 41.0)1,000Budgetary Resources:Budget authority:Appropriations, discretionary:1100Appropriation1,0001160Appropriation, discretionary (total)1,0001930Total budgetary resources available1,000Change in obligated balance:3030Obligations incurred, unexpired accounts1,0003040Outlays (gross)–50Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)9503100Obligated balance, end of year (net)950Budget authority and outlays, net:Discretionary:4000Budget authority, gross1,000Outlays, gross:4010Outlays from new discretionary authority504180Budget authority, net (total)1,0004190Outlays, net (total)50

Howard University

Enacted/requested

Howard University

For partial support of Howard University, $234,507,000 $234,064,000, of which not less than $3,600,000 $3,593,000 shall be for a matching endowment grant pursuant to the Howard University Endowment Act and shall remain available until expended. (Department of Education Appropriations Act, 2012.)

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 2011, Federal funding represented approximately 43 percent of the university's revenue.Program and Financing(in millions of dollars)Identification code 91–0603–0–1–5022011 actual2012 est.2013 est.Obligations by program activity:0001General support2352062050002Howard University Hospital29290900Total new obligations (object class 41.0)235235234Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 111Budget authority:Appropriations, discretionary:1100Appropriation2352342341160Appropriation, discretionary (total)2352342341930Total budgetary resources available236235234Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year1Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)95163030Obligations incurred, unexpired accounts2352352343040Outlays (gross)–239–224–234Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)516163100Obligated balance, end of year (net)51616Budget authority and outlays, net:Discretionary:4000Budget authority, gross235234234Outlays, gross:4010Outlays from new discretionary authority2312202204011Outlays from discretionary balances84144020Outlays, gross (total)2392242344180Budget authority, net (total)2352342344190Outlays, net (total)239224234

College Housing and Academic Facilities Loans Program Account

Enacted/requested

College Housing and Academic Facilities Loans Program

For Federal administrative expenses to carry out activities related to existing facility loans pursuant to section 121 of the HEA, $460,000 $459,000.

Historically Black College and University Capital Financing Program Account

For the cost of guaranteed loans, $20,188,000 $20,150,000 as authorized pursuant to part D of title III of the HEA, which shall remain available through September 30, 2014: 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 $367,255,000 $320,350,000: Provided further, That these funds may be used to support loans to public and private Historically Black Colleges and Universities without regard to the limitations within section 344(a) of the HEA.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 HEA, $353,000 $352,000.(Department of Education Appropriations Act, 2012.)

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 on a cash basis. These programs are administered separately but consolidated in the Budget for presentation purposes.

College Housing and Academic Facilities Loans Program

Funds for this activity pay the Federal costs of 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 1993, the Department of Education will incur costs for administering the outstanding loans 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 authorizing statute gives the Department authority to enter into insurance agreements with a private for-profit Designated Bonding Authority. The bonding authority issues the loans and maintains an escrow account in which 5 percent of each institution's principal is deposited. The Budget requests $20.150 million in new loan subsidies, allowing the program to guarantee an estimated $320 million in new loans in 2013. The Budget also requests a 2-year period of availability for this loan subsidy. In addition, the Budget requests funds for the Federal costs of administering the program and providing technical assistance activities that improve the financial stability of HBCUs.

Program and Financing(in millions of dollars)Identification code 91–0241–0–1–5022011 actual2012 est.2013 est.Obligations by program activity:Credit program obligations:0701Direct loan subsidy1120200703Subsidy for modifications of direct loans100705Reestimates of direct loan subsidy85100706Interest on reestimates of direct loan subsidy1120709Administrative expenses110900Total new obligations1173321Budgetary Resources:Budget authority:Appropriations, discretionary:1100Appropriation2121211160Appropriation, discretionary (total)212121Appropriations, mandatory:1200Appropriation96121260Appropriations, mandatory (total)96121900Budget authority (total)11733211930Total budgetary resources available1173321Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)1628303030Obligations incurred, unexpired accounts11733213040Outlays (gross)–105–31–12Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)2830393100Obligated balance, end of year (net)283039Budget authority and outlays, net:Discretionary:4000Budget authority, gross212121Outlays, gross:4010Outlays from new discretionary authority9554011Outlays from discretionary balances1474020Outlays, gross (total)91912Mandatory:4090Budget authority, gross9612Outlays, gross:4100Outlays from new mandatory authority96124180Budget authority, net (total)11733214190Outlays, net (total)1053112

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program(in millions of dollars)Identification code 91–0241–0–1–5022011 actual2012 est.2013 est.Direct loan levels supportable by subsidy budget authority:115002Historically Black Colleges and Universities154368320115999Total direct loan levels154368320Direct loan subsidy (in percent):132002Historically Black Colleges and Universities7.245.506.29132999Weighted average subsidy rate7.245.506.29Direct loan subsidy budget authority:133002Historically Black Colleges and Universities112020133999Total subsidy budget authority112020Direct loan subsidy outlays:134002Historically Black Colleges and Universities71010134999Total subsidy outlays71010Direct loan upward reestimates:135001College housing and academic facilities loans1135002Historically Black Colleges and Universities198135003HBCU Hurricane Supplemental764135999Total upward reestimate budget authority9612Direct loan downward reestimates:137002Historically Black Colleges and Universities–23–20137999Total downward reestimate budget authority–23–20Administrative expense data:3510Budget authority1113590Outlays from new authority111

Object Classification(in millions of dollars)Identification code 91–0241–0–1–5022011 actual2012 est.2013 est.41.0Direct obligations: Grants, subsidies, and contributions117332099.5Below reporting threshold199.9Total new obligations1173321

Employment SummaryIdentification code 91–0241–0–1–5022011 actual2012 est.2013 est.1001Direct civilian full-time equivalent employment444

College Housing and Academic Facilities Loans Financing Account

Enacted/requested

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 1993. The amounts in this account are a means of financing and are not included in the budget totals.Program and Financing(in millions of dollars)Identification code 91–4252–0–3–5022011 actual2012 est.2013 est.Obligations by program activity:Credit program obligations:0713Payment of interest to Treasury1110900Total new obligations111Budgetary Resources:Financing authority:Spending authority from offsetting collections, mandatory:1800Collected4111825Spending authority from offsetting collections applied to repay debt–31850Spending auth from offsetting collections, mand (total)1111930Total budgetary resources available111Change in obligated balance:3030Obligations incurred, unexpired accounts1113040Financing disbursements (gross)–1–1–1Financing authority and disbursements, net:Mandatory:4090Financing authority, gross111Financing disbursements:4110Financing disbursements, gross111Offsets against gross financing authority and disbursements:Offsetting collections (collected) from:4120Federal sources–14123Interest repayments–3–1–14130Offsets against gross financing auth and disbursements (total)–4–1–14160Financing authority, net (mandatory)–34170Financing disbursements, net (mandatory)–34180Financing authority, net (total)–34190Financing disbursements, net (total)–4

Status of Direct Loans(in millions of dollars)Identification code 91–4252–0–3–5022011 actual2012 est.2013 est.Cumulative balance of direct loans outstanding:1210Outstanding, start of year1111111251Repayments: Repayments and prepayments1290Outstanding, end of year111111

Balance Sheet(in millions of dollars)Identification code 91–4252–0–3–5022010 actual2011 actualASSETS:Net value of assets related to post-1991 direct loans receivable:1401Direct loans receivable, gross11111405Allowance for subsidy cost (-)–1–11499Net present value of assets related to direct loans10101999Total assets1010LIABILITIES:2103Federal liabilities: Debt10104999Total liabilities and net position1010

College Housing and Academic Facilities Loans Liquidating Account

Enacted/requested

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. Program and Financing(in millions of dollars)Identification code 91–0242–0–1–5022011 actual2012 est.2013 est.Obligations by program activity:Credit program obligations:0713Payment of interest to Treasury5660900Total new obligations (object class 43.0)566Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 181023Unobligated balances applied to repay debt–8Budget authority:Appropriations, mandatory:1200Appropriation2221260Appropriations, mandatory (total)222Spending authority from offsetting collections, mandatory:1800Collected2523231820Capital transfer of spending authority from offsetting collections to general fund–14–15–151825Spending authority from offsetting collections applied to repay debt–4–41850Spending auth from offsetting collections, mand (total)11441900Budget authority (total)13661930Total budgetary resources available1366Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year8Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)1113030Obligations incurred, unexpired accounts5663040Outlays (gross)–5–6–6Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)1113100Obligated balance, end of year (net)111Budget authority and outlays, net:Mandatory:4090Budget authority, gross1366Outlays, gross:4100Outlays from new mandatory authority566Offsets against gross budget authority and outlays:Offsetting collections (collected) from:4123Non-Federal sources–25–23–234180Budget authority, net (total)–12–17–174190Outlays, net (total)–20–17–17

Status of Direct Loans(in millions of dollars)Identification code 91–0242–0–1–5022011 actual2012 est.2013 est.Cumulative balance of direct loans outstanding:1210Outstanding, start of year1591411371251Repayments: Repayments and prepayments–18–4–41290Outstanding, end of year141137133

Balance Sheet(in millions of dollars)Identification code 91–0242–0–1–5022010 actual2011 actualASSETS:1601Direct loans, gross1591411602Interest receivable661699Value of assets related to direct loans1651471999Total assets165147LIABILITIES:Federal liabilities:2103Debt51512104Resources payable to Treasury114962999Total liabilities1651474999Total liabilities and net position165147

Historically Black College and University Capital Financing Direct Loan Financing Account

Enacted/requested

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 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.Program and Financing(in millions of dollars)Identification code 91–4255–0–3–5022011 actual2012 est.2013 est.Obligations by program activity:0003Subsidy Payments - Interest Subsidy13110004Interest paid to Treasury (FFB)14140091Subtotal131515Credit program obligations:0710Direct loan obligations1543683200742Downward reestimate paid to receipt account17140743Interest on downward reestimates760791Direct program activities, subtotal1783883200900Total new obligations191403335Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 12453904031021Recoveries of prior year unpaid obligations121050Unobligated balance (total)257390403Financing authority:Borrowing authority, mandatory:1400Borrowing authority1783683201440Borrowing authority, mandatory (total)178368320Spending authority from offsetting collections, mandatory:1800Collected14369571801Change in uncollected payments, Federal sources121825Spending authority from offsetting collections applied to repay debt–9–21–211850Spending auth from offsetting collections, mand (total)14648361900Financing authority(total)3244163561930Total budgetary resources available581806759Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year390403424Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)2271933863010Uncollected pymts, Fed sources, brought forward, Oct 1–10–22–223020Obligated balance, start of year (net)2171713643030Obligations incurred, unexpired accounts1914033353040Financing disbursements (gross)–213–210–2103050Change in uncollected pymts, Fed sources, unexpired–123080Recoveries of prior year unpaid obligations, unexpired–12Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)1933865113091Uncollected pymts, Fed sources, end of year–22–22–223100Obligated balance, end of year (net)171364489Financing authority and disbursements, net:Mandatory:4090Financing authority, gross324416356Financing disbursements:4110Financing disbursements, gross213210210Offsets against gross financing authority and disbursements:Offsetting collections (collected) from:4120Federal sources–103–22–104122Interest on uninvested funds–17–12–124123Interest repayments–13–14–144123Principal repayments–10–21–214130Offsets against gross financing auth and disbursements (total)–143–69–57Additional offsets against financing authority only (total):4140Change in uncollected pymts, Fed sources, unexpired–124160Financing authority, net (mandatory)1693472994170Financing disbursements, net (mandatory)701411534180Financing authority, net (total)1693472994190Financing disbursements, net (total)70141153

Status of Direct Loans(in millions of dollars)Identification code 91–4255–0–3–5022011 actual2012 est.2013 est.Position with respect to appropriations act limitation on obligations:1111Limitation on direct loans1783683201142Unobligated direct loan limitation (-)–241150Total direct loan obligations154368320Cumulative balance of direct loans outstanding:1210Outstanding, start of year7048229871231Disbursements: Direct loan disbursements1371861861251Repayments: Repayments and prepayments–19–21–211290Outstanding, end of year8229871,152

Balance Sheet(in millions of dollars)Identification code 91–4255–0–3–5022010 actual2011 actualASSETS:1101Federal assets: Fund balances with Treasury280280Net value of assets related to post-1991 direct loans receivable:1401Direct loans receivable, gross7058221402Interest receivable12121499Net present value of assets related to direct loans7178341999Total assets9971,114LIABILITIES:Federal liabilities:2102Interest payable12122103Debt7058222201Non-Federal liabilities: Undisbursed direct loans2802802999Total liabilities9971,1144999Total upward reestimate subsidy BA [91–0241]9971,114

Office of Federal Student Aid

Federal Funds

Student Financial Assistance

Enacted/requested

Student Financial Assistance

For carrying out subparts 1 and 3 of part A, and part C of title IV of the HEA, $24,538,521,000 $24,685,281,000, which shall remain available through September 30, 2013 2014: Provided, That, of amounts provided under this heading, $1,522,000,000 shall also be available for Pell Grants for award year 2014–2015.The maximum Pell Grant for which a student shall be eligible during award year 2012–2013 2013–2014 shall be $4,860.(Department of Education Appropriations Act, 2012.)

Notes

Figures include, in all years, institutional matching share of defaulted notes assigned from institutions to the Education Department.Funding from the Student Financial Assistance account and related matching funds would provide over 12.5 million awards totaling more than $39.8 billion in available aid in award year 2013–2014.

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 2008, mandatory funding authorized under the College Cost Reduction and Access Act of 2007. The Recovery Act provided additional discretionary and mandatory budget authority in 2009. In 2010, the Health Care and Education Reconciliation Act provided additional budget authority for 2011 and also changed how the mandatory add-on to a student's Pell Grant is calculated and funded. In 2011, the Budget Control Act and the 2011 appropriations act made changes to the eligibility for the Pell program (in particular, ending the costly year-round Pell which allowed students to draw two full Pell awards in one year) and to the student loan programs, and used the budgetary savings to provide additional mandatory budget authority to the Pell program. Finally, the 2012 appropriations act made changes to Pell eligibility and student loan benefits, and reinvested the savings into the Pell program.In 2013, more than 9.7 million undergraduates will receive up to $4,860 from the discretionary award and an additional $775 from the mandatory add-on 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 annual appropriations act. The Budget request includes $36.1 billion for Pell Grants in 2013, of which $22.8 billion is discretionary, to support a projected maximum award of $5,635.

Federal supplemental educational opportunity grants (SEOG)

Federal funds are awarded by formula to qualifying institutions, which use these funds to award grants to undergraduate students. While institutions have discretion in awarding these funds, they are required to give priority to Pell Grant recipients and other students with exceptional need. The Federal share of these grants cannot exceed 75 percent of the total grant. The 2013 Budget includes $735 million for SEOG, which would generate $930 million in aid to 1.4 million students.

Federal work-study

Federal funds are awarded by formula to qualifying institutions, which provide part-time jobs to eligible undergraduate and graduate students. Hourly earnings under this program must be at least 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 their total funds for students employed in community service jobs. The 2013 Budget includes $1.13 billion for Work-Study, which would generate $1.35 billion in aid to 793,000 students, an increase of $150 million over the 2012 level.

Federal Perkins loans

Institutions award low-interest loans from institutional revolving funds, which are comprised of Federal Capital Contributions, institutional matching funds, and student repayments on outstanding loans. No new Federal Capital Contributions have been appropriated since 2004. The Budget proposes to modernize and expand the Perkins Loan program so more colleges can participate and more students receive access to these loans. The proposal would increase, beginning on July 1, 2013, the annual loan amounts available to students to $8.5 billion from the current $1 billion. Rather than operating through institutional revolving funds, the Federal Government would originate and service Perkins Loans. Loan volume would be allocated among degree-granting institutions. This new formula will encourage colleges to control costs and offer need-based aid to prevent excessive indebtedness. Schools would have some discretion about student eligibility. Perkins Loan borrowers would be charged a 6.8 percent interest rate, the same as in the Unsubsidized Stafford Loan program. These loans would accrue interest while students are in school and other loan terms and conditions would be the same as current Unsubsidized Stafford loans. As current Perkins Loan borrowers repay their loans, schools would remit the Federal share of those payments to the Department of Education, beginning at the statutory date described in the Higher Education Act of 1965. Schools would retain their own share of the revolving funds, as well as amounts sufficient to cover the costs of the various Perkins Loan forgiveness provisions. Mandatory loan subsidy costs of this proposal would reduce 2013 outlays by $648 million and are displayed in the Federal Perkins Loan program account.

Iraq and Afghanistan service grants

This program, which became effective July 1, 2010, provides non-need-based grants to students whose parent or guardian was a member of the Armed Forces and died in Iraq or Afghanistan as a result of performing military service after September 11, 2001. Service Grants are equal to the maximum Pell Grant for a given award year. The Administration anticipates spending $334,000 to support an estimated maximum of 1,000 awards in 2013.

Funding tables

The following tables display student aid funds available, the number of aid awards, average awards, and the unduplicated count of recipients from each Federal student aid program. Loan amounts reflect the amount actually loaned to borrowers, not the Federal cost of these loans. The data in these tables include matching funds wherever appropriate. The 2013 data in these tables reflect the Administration's legislative proposals.

AID FUNDS AVAILABLE FOR POSTSECONDARY EDUCATION AND TRAINING [in thousands]201120122013Pell grants35,685,48535,648,96536,580,260Student loans:Direct student loans:Stafford loans41,774,52635,554,30332,044,241Unsubsidized Stafford loans48,081,62558,468,24466,160,262PLUS19,070,15220,651,54522,617,667Consolidation23,805,62163,477,54828,398,445Perkins loans970,705970,705970,705Unsubsidized Perkins loans004,163,742Student loans, subtotal133,702,629179,122,344154,355,061Work-study1,168,4281,161,1501,348,820Supplemental educational opportunity grants931,633929,872929,872Iraq and Afghanistan service grants293330391TEACH grants136,951154,07083,621Presidential teaching fellows00149,030Total aid available171,620,419217,016,731193,447,056

NUMBER OF AID AWARDS [in thousands]201120122013Pell grants9,7039,6079,748Direct student loans-Stafford loans10,8839,9669,466Direct student loans-Unsubsidized Stafford loans10,79610,80411,398Direct student loans-PLUS1,5391,5861,654Direct student loans-Consolidation5942,737673Perkins loans524524524Unsubsidized Perkins loans00935Work-study684683793Supplemental educational opportunity grants1,3931,3901,390Iraq and Afghanistan service grants010101TEACH grants424729Presidential teaching fellows0015Total awards36,15937,34536,6251Number of recipients is fewer than 1,000.

AVERAGE AID AWARDS[in whole dollars]201120122013Pell grants3,6783,7113,753Direct student loans-Stafford loans3,8383,5683,385Direct student loans-Unsubsidized Stafford loans4,4545,4125,804Direct student loans-PLUS12,39013,01913,675Direct student loans-Consolidation40,07423,19042,221Perkins loans1,8521,8521,852Unsubsidized Perkins loans004,454Work-study1,7001,7001,700Supplemental educational opportunity grants669669669Iraq and Afghanistan service grants4,4184,4284,476TEACH grants3,2573,2572,889Presidential teaching fellows0010,000

NUMBER OF STUDENTS AIDED[in thousands]201120122013Unduplicated student count14,71314,80515,246

ADMINISTRATIVE PAYMENTS TO INSTITUTIONS[in thousands of dollars]201120122013Pell grants48,51548,03548,740Work-study72,84972,70872,708Supplemental educational opportunity grants37,26537,19537,195Perkins loans38,82838,82838,828

Program and Financing(in millions of dollars)Identification code 91–0200–0–1–5022011 actual2012 est.2013 est.Obligations by program activity:0101Federal Pell grants41,45831,34636,4890201Federal supplemental educational opportunity grants (SEOG)7407367350202Federal work-study9869781,1270291Campus-based activities - Subtotal1,7261,7141,8620301Leveraging educational assistance partnership10900Total new obligations (object class 41.0)43,18533,06038,351Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 11531,00611,2291021Recoveries of prior year unpaid obligations3091050Unobligated balance (total)4621,00611,229Budget authority:Appropriations, discretionary:1100Appropriation24,72024,53824,6851130Appropriations permanently reduced–491143Approp permanently reduced (Sec 527, HR 2055)–31160Appropriation, discretionary (total)24,67124,53524,685Appropriations, mandatory:1200Appropriation19,06018,74813,2941260Appropriations, mandatory (total)19,06018,74813,2941900Budget authority (total)43,73143,28337,9791930Total budgetary resources available44,19344,28949,208Memorandum (non-add) entries:1940Unobligated balance expiring–21941Unexpired unobligated balance, end of year1,00611,22910,857Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)17,69322,66918,7713030Obligations incurred, unexpired accounts43,18533,06038,3513031Obligations incurred, expired accounts2403040Outlays (gross)–37,894–36,958–37,6753080Recoveries of prior year unpaid obligations, unexpired–3093081Recoveries of prior year unpaid obligations, expired–246Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)22,66918,77119,4473100Obligated balance, end of year (net)22,66918,77119,447Budget authority and outlays, net:Discretionary:4000Budget authority, gross24,67124,53524,685Outlays, gross:4010Outlays from new discretionary authority9,2756,3335,9384011Outlays from discretionary balances14,37715,30218,1844020Outlays, gross (total)23,65221,63524,122Mandatory:4090Budget authority, gross19,06018,74813,294Outlays, gross:4100Outlays from new mandatory authority11,0067,3603,6414101Outlays from mandatory balances3,2367,9639,9124110Outlays, gross (total)14,24215,32313,5534180Budget authority, net (total)43,73143,28337,9794190Outlays, net (total)37,89436,95837,675

Status of Direct Loans(in millions of dollars)Identification code 91–0200–0–1–5022011 actual2012 est.2013 est.Cumulative balance of direct loans outstanding:1210Outstanding, start of year3053083111251Repayments: Repayments and prepayments–19–19–19Write-offs for default:1263Direct loans–3–3–31264Other adjustments, net (+ or -)2525251290Outstanding, end of year308311314

Amounts included in the adjusted baseline

Legislative proposal, not subject to PAYGO

Legislative proposal, subject to PAYGO

Student Aid Administration

Enacted/requested

Student Aid Administration

For Federal administrative expenses to carry out part D of title I, and subparts 1, 3, 4, 9, and 10 9 of part A, and parts B, C, D, and E of title IV of the HEA, $1,045,363,000 $1,126,363,000, to remain available until September 30, 2013 2014. (Department of Education Appropriations Act, 2012.)

The Department of Education manages Federal student aid programs that will provide over $193 billion in new Federal student aid grants and loans to 15 million students and parents in 2013. 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 service to students and other student aid program participants, reduce student aid administration costs, and improve accountability and program integrity. Student Aid AdministrationThe 2013 Budget includes $726 million for student aid administration and $400 million for loan servicing activities, for a total of $1.126 billion in discretionary budget authority. It also proposes to transfer the Health Education Assistance Loan (HEAL) Program from the Secretary of Health and Human Services (HHS) to the Secretary of Education (ED) and includes a transfer of $3 million in discretionary funds from HHS to ED to service the HEAL portfolio.In addition, the 2013 Budget includes $359 million in mandatory funds for administrative costs of servicing contracts with not-for-profit loan servicers. These funds primarily support processing student aid applications; providing and tracking aid awards to students, parents, and schools; promoting efforts to reach key student populations; and simplifying the student aid application. The Budget also includes $8 million in mandatory funds for administering the new proposed Perkins Loan program, described in the Student Financial Assistance account. Servicing Cost Assumptions:The following table details the major assumptions driving servicing costs for Federal student loans. Servicing costs are largely determined by volume (average borrower accounts per month) and the average contractual unit costs negotiated to service the volume. Average borrower accounts per month are calculated by the distribution of new unique borrower accounts to one of the multiple servicers contracted with the Department. Currently, the Department contracts with six servicers, through the Common Servicers for Borrowers (CSB) contract, the Title IV Additional Servicers (TIVAS) contract, and the new Not-For-Profit Servicers (NFP) contract. The average unit cost to service each borrower is derived by contractual pricing schedules based on different borrower statuses (e.g., in-school, in-grace/current repayment, deferment/forbearance, and delinquency). Differences in distribution among loan statuses will affect overall unit costs due to different pricing for different statuses (e.g., in-repayment borrowers cost more to service than in-school borrowers). Trends in Assumptions: The increases in average unit cost from 2011 to 2012, and 2012 to 2013, are partly due to the maturity of the 100 percent Direct Loan portfolio as more loans shift from in-school to in-repayment, and the assumption that borrowers will be shifted from the CSB servicer to new NFP servicers, in accordance with Section 2212 of the Health Care and Education Reconciliation Act of 2010 (Pub.L. 111–152, 124 Stat. 1029). Student Aid Administration Servicing Variables201120122013For-Profit Servicers Average Borrower Accounts per Month18,955,86319,318,67319,875,866For-Profit Servicers Average Unit Cost per Month (whole dollars)$1.41$1.59$1.68Not-For-Profit Servicers Average Borrower Accounts per Month7,875,92311,741,03815,695,580Not-For-Profit Servicers Average Unit Cost per Month (whole dollars)$1.46$1.68$1.76

Program and Financing(in millions of dollars)Identification code 91–0202–0–1–5022011 actual2012 est.2013 est.Obligations by program activity:0001Student aid administration8299541,0880002Discretionary servicing activities3113684000900Total new obligations1,1401,3221,488Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 1121012Unobligated balance transfers between expired and unexpired accounts61021Recoveries of prior year unpaid obligations41050Unobligated balance (total)112Budget authority:Appropriations, discretionary:1100Appropriation9941,0451,1261121Appropriations transferred from other accts [75–0340]31130Appropriations permanently reduced–21143Approp permanently reduced (Sec 527, HR 2055)–21160Appropriation, discretionary (total)9921,0431,129Appropriations, mandatory:1200Appropriation1762773591230Appropriations and/or unobligated balance of appropriations permanently reduced–311260Appropriations, mandatory (total)1452773591900Budget authority (total)1,1371,3201,4881930Total budgetary resources available1,1481,3221,488Memorandum (non-add) entries:1940Unobligated balance expiring–61941Unexpired unobligated balance, end of year2Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)4735277663030Obligations incurred, unexpired accounts1,1401,3221,4883040Outlays (gross)–1,080–1,083–1,3273080Recoveries of prior year unpaid obligations, unexpired–43081Recoveries of prior year unpaid obligations, expired–2Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)5277669273100Obligated balance, end of year (net)527766927Budget authority and outlays, net:Discretionary:4000Budget authority, gross9921,0431,129Outlays, gross:4010Outlays from new discretionary authority5685856274011Outlays from discretionary balances3343174144020Outlays, gross (total)9029021,041Mandatory:4090Budget authority, gross145277359Outlays, gross:4100Outlays from new mandatory authority801331724101Outlays from mandatory balances98481144110Outlays, gross (total)1781812864180Budget authority, net (total)1,1371,3201,4884190Outlays, net (total)1,0801,0831,327

Summary of Budget Authority and Outlays(in millions of dollars)2011 actual2012 est.2013 est.Enacted/requested:Budget Authority1,1371,3201,488Outlays1,0801,0831,327Legislative proposal, subject to PAYGO:Budget Authority8Outlays4Total:Budget Authority1,1371,3201,496Outlays1,0801,0831,331

Object Classification(in millions of dollars)Identification code 91–0202–0–1–5022011 actual2012 est.2013 est.Direct obligations:Personnel compensation:11.1Full-time permanent13213613811.3Other than full-time permanent111.5Other personnel compensation32211.9Total personnel compensation13613814012.1Civilian personnel benefits37373921.0Travel and transportation of persons33323.1Rental payments to GSA17121623.3Communications, utilities, and miscellaneous charges1124.0Printing and reproduction23325.1Advisory and assistance services53525.2Other services from non-Federal sources66270582725.3Other goods and services from Federal sources20152125.7Operation and maintenance of equipment25540443231.0Equipment21132.0Land and structures199.9Total new obligations1,1401,3221,488

Employment SummaryIdentification code 91–0202–0–1–5022011 actual2012 est.2013 est.1001Direct civilian full-time equivalent employment1,2981,3211,321

Legislative proposal, subject to PAYGO

Program and Financing(in millions of dollars)Identification code 91–0202–4–1–5022011 actual2012 est.2013 est.Obligations by program activity:0002Servicing activities80900Total new obligations (object class 25.2)8Budgetary Resources:Budget authority:Appropriations, mandatory:1200Appropriation81260Appropriations, mandatory (total)81930Total budgetary resources available8Change in obligated balance:3030Obligations incurred, unexpired accounts83040Outlays (gross)–4Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)43100Obligated balance, end of year (net)4Budget authority and outlays, net:Mandatory:4090Budget authority, gross8Outlays, gross:4100Outlays from new mandatory authority44180Budget authority, net (total)84190Outlays, net (total)4

Academic Competitiveness/SMART Grant Program

Enacted/requested

These need-based programs provided grants to full- and part-time students who were eligible to receive a Pell Grant. Eligibility for second-, third-, and fourth-year students was based on maintenance of a 3.0 grade point average. The Ensuring Continued Access to Student Loans Act (ECASLA) expanded the grants to non-citizens, part-time students, and students pursuing certificate programs.

Academic Competitiveness Grants (ACG)

These grants were awarded to first-year and second-year students who completed a rigorous course of study in high school. Grant levels were $750 for first-year students and $1,300 for second-year students.

Science and Mathematics Access to Retain Talent (SMART) Grants

These grants were awarded to third-year and fourth-year students pursuing a major in mathematics, science, or a foreign language deemed critical to national security. Grant levels were $4,000 for both third- and fourth-year students. Taken together with other Federal student aid, grants could not exceed a student's cost of attendance. Program funding in excess of the amount needed to fund grants in a given year could be carried over for use in subsequent years; if the mandatory funding level was insufficient to fund program grants, grant levels were reduced. This program expired July 1, 2011.

Program and Financing(in millions of dollars)Identification code 91–0205–0–1–5022011 actual2012 est.2013 est.Obligations by program activity:0001ACG/SMART Grants3500900Total new obligations (object class 41.0)350Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 1449Budget authority:Appropriations, mandatory:1200Appropriation5611230Appropriations and/or unobligated balance of appropriations permanently reduced–5601260Appropriations, mandatory (total)11900Budget authority (total)11930Total budgetary resources available450Memorandum (non-add) entries:1940Unobligated balance expiring–100Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)383103030Obligations incurred, unexpired accounts3503031Obligations incurred, expired accounts6273040Outlays (gross)–1,041–103081Recoveries of prior year unpaid obligations, expired–309Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)103100Obligated balance, end of year (net)10Budget authority and outlays, net:Mandatory:4090Budget authority, gross1Outlays, gross:4101Outlays from mandatory balances1,04110Offsets against gross budget authority and outlays:Offsetting collections (collected) from:4123Non-Federal sources–221Additional offsets against gross budget authority only:4142Offsetting collections credited to expired accounts2214160Budget authority, net (mandatory)14170Outlays, net (mandatory)820104180Budget authority, net (total)14190Outlays, net (total)82010

Teacher Education Assistance

Enacted/requested

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, special education, or reading at a high-poverty school for not less than 4 years within 8 years of graduating. The program began 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. The 2013 Budget proposes to overhaul the TEACH Grant program, as of the end of the 2012–2013 academic year, and replace it with a new, targeted teacher recruitment and retention program called the Presidential Teaching Fellows. This new program would provide grants to States that meet certain conditions to supply scholarships of up to $10,000 to talented individuals attending the most effective programs in the State. These individuals would commit to teaching for at least three years in a high-need school and subject. To be eligible for funds, States would measure the effectiveness of their teacher preparation programs based on student achievement data of their graduates, among other measures, hold teacher preparation programs accountable for results, and upgrade licensure and certification standards. Program and Financing(in millions of dollars)Identification code 91–0206–0–1–5022011 actual2012 est.2013 est.Obligations by program activity:Credit program obligations:0701Direct loan subsidy2221230705Reestimates of direct loan subsidy180706Interest on reestimates of direct loan subsidy20900Total new obligations (object class 41.0)224123Budgetary Resources:Budget authority:Appropriations, mandatory:1200Appropriation (indefinite) - Loan subsidy2221231200Appropriation (indefinite) - Upward reestimate201260Appropriations, mandatory (total)2241231930Total budgetary resources available224123Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)48113030Obligations incurred, unexpired accounts2241233040Outlays (gross)–18–38–19Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)811153100Obligated balance, end of year (net)81115Budget authority and outlays, net:Mandatory:4090Budget authority, gross224123Outlays, gross:4100Outlays from new mandatory authority1427124101Outlays from mandatory balances41174110Outlays, gross (total)1838194180Budget authority, net (total)2241234190Outlays, net (total)183819

Summary of Budget Authority and Outlays(in millions of dollars)2011 actual2012 est.2013 est.Enacted/requested:Budget Authority224123Outlays183819Legislative proposal, subject to PAYGO:Budget Authority178Total:Budget Authority2241201Outlays183819

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program(in millions of dollars)Identification code 91–0206–0–1–5022011 actual2012 est.2013 est.Direct loan levels supportable by subsidy budget authority:115001TEACH Grants169178196115999Total direct loan levels169178196Direct loan subsidy (in percent):132001TEACH Grants13.3111.6911.71132999Weighted average subsidy rate13.3111.6911.71Direct loan subsidy budget authority:133001TEACH Grants222123133999Total subsidy budget authority222123Direct loan subsidy outlays:134001TEACH Grants171819134999Total subsidy outlays171819Direct loan upward reestimates:135001TEACH Grants20135999Total upward reestimate budget authority20Direct loan downward reestimates:137001TEACH Grants–6137999Total downward reestimate budget authority–6

Legislative proposal, subject to PAYGO

Program and Financing(in millions of dollars)Identification code 91–0206–4–1–5022011 actual2012 est.2013 est.Obligations by program activity:0002Presidential Teaching Fellows190Credit program obligations:0701Direct loan subsidy–120791Direct program activities, subtotal–120900Total new obligations (object class 41.0)178Budgetary Resources:Budget authority:Appropriations, mandatory:1200Appropriation(indefinite) - Loan Subisdy–121200Appropriation Presidential Teaching Fellows1901260Appropriations, mandatory (total)1781930Total budgetary resources available178Change in obligated balance:3030Obligations incurred, unexpired accounts178Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)1783100Obligated balance, end of year (net)178Budget authority and outlays, net:Mandatory:4090Budget authority, gross1784180Budget authority, net (total)178

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program(in millions of dollars)Identification code 91–0206–4–1–5022011 actual2012 est.2013 est.Direct loan levels supportable by subsidy budget authority:115001TEACH Grants–99115999Total direct loan levels–99Direct loan subsidy (in percent):132001TEACH Grants–0.82132999Weighted average subsidy rate–0.82Direct loan subsidy budget authority:133001TEACH Grants–12133999Total subsidy budget authority–12Direct loan subsidy outlays:134001TEACH Grants–6134999Total subsidy outlays–6

TEACH Grant Financing Account

Enacted/requested

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 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)Identification code 91–4290–0–3–5022011 actual2012 est.2013 est.Obligations by program activity:Credit program obligations:0710Direct loan obligations1691781960713Payment of interest to Treasury916220742Downward reestimate paid to receipt account60900Total new obligations184194218Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 1121021Recoveries of prior year unpaid obligations124261023Unobligated balances applied to repay debt–11024Unobligated balance of borrowing authority withdrawn–24–261050Unobligated balance (total)12Financing authority:Borrowing authority, mandatory:1400Borrowing authority1601761941440Borrowing authority, mandatory (total)160176194Spending authority from offsetting collections, mandatory:1800Collected2445311801Change in uncollected payments, Federal sources561825Spending authority from offsetting collections applied to repay debt–20–151850Spending auth from offsetting collections, mand (total)2430221900Financing authority(total)1842062161930Total budgetary resources available184206228Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year1210Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)4687493010Uncollected pymts, Fed sources, brought forward, Oct 1–4–4–93020Obligated balance, start of year (net)4283403030Obligations incurred, unexpired accounts1841942183040Financing disbursements (gross)–142–208–2113050Change in uncollected pymts, Fed sources, unexpired–5–63080Recoveries of prior year unpaid obligations, unexpired–1–24–26Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)8749303091Uncollected pymts, Fed sources, end of year–4–9–153100Obligated balance, end of year (net)834015Financing authority and disbursements, net:Mandatory:4090Financing authority, gross184206216Financing disbursements:4110Financing disbursements, gross142208211Offsets against gross financing authority and disbursements:Offsetting collections (collected) from:4120Upward Reestimate–184120Upward Reestimate, interest–24120Subsidy from Program Account–18–18–194122Interest on uninvested funds–34123Payment of Principal–3–4–74123Interest Received–3–54130Offsets against gross financing auth and disbursements (total)–24–45–31Additional offsets against financing authority only (total):4140Change in uncollected pymts, Fed sources, unexpired–5–64160Financing authority, net (mandatory)1601561794170Financing disbursements, net (mandatory)1181631804180Financing authority, net (total)1601561794190Financing disbursements, net (total)118163180

Status of Direct Loans(in millions of dollars)Identification code 91–4290–0–3–5022011 actual2012 est.2013 est.Position with respect to appropriations act limitation on obligations:1131Direct loan obligations exempt from limitation1691781961150Total direct loan obligations169178196Cumulative balance of direct loans outstanding:1210Outstanding, start of year1532784231231Disbursements: Direct loan disbursements1271491651251Repayments: Repayments and prepayments–2–4–71290Outstanding, end of year278423581

Balance Sheet(in millions of dollars)Identification code 91–4290–0–3–5022010 actual2011 actualASSETS:1101Federal assets: Fund balances with Treasury1428Net value of assets related to post-1991 direct loans receivable:1401Direct loans receivable, gross1532781402Interest receivable9221405Allowance for subsidy cost (-)–25–461499Net present value of assets related to direct loans1372541999Total assets151282LIABILITIES:Federal liabilities:2101Accounts payable12103Debt1502822999Total liabilities1512824999Total liabilities and net position151282

Legislative proposal, subject to PAYGO

Program and Financing(in millions of dollars)Identification code 91–4290–4–3–5022011 actual2012 est.2013 est.Obligations by program activity:Credit program obligations:0710Direct loan obligations–990713Payment of interest to Treasury–10900Total new obligations–100Budgetary Resources:Unobligated balance:1021Recoveries of prior year unpaid obligations–131024Unobligated balance of borrowing authority withdrawn13Financing authority:Borrowing authority, mandatory:1400Borrowing authority–951440Borrowing authority, mandatory (total)–95Spending authority from offsetting collections, mandatory:1800Collected–61801Change in uncollected payments, Federal sources–51850Spending auth from offsetting collections, mand (total)–111900Financing authority(total)–1061930Total budgetary resources available–106Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year–6Change in obligated balance:3030Obligations incurred, unexpired accounts–1003040Financing disbursements (gross)1063050Change in uncollected pymts, Fed sources, unexpired53080Recoveries of prior year unpaid obligations, unexpired13Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)193091Uncollected pymts, Fed sources, end of year53100Obligated balance, end of year (net)24Financing authority and disbursements, net:Mandatory:4090Financing authority, gross–106Financing disbursements:4110Financing disbursements, gross–106Offsets against gross financing authority and disbursements:Offsetting collections (collected) from:4120Subsidy from Program Account6Additional offsets against financing authority only (total):4140Change in uncollected pymts, Fed sources, unexpired54160Financing authority, net (mandatory)–954170Financing disbursements, net (mandatory)–1004180Financing authority, net (total)–954190Financing disbursements, net (total)–100

Status of Direct Loans(in millions of dollars)Identification code 91–4290–4–3–5022011 actual2012 est.2013 est.Position with respect to appropriations act limitation on obligations:1131Direct loan obligations exempt from limitation–991150Total direct loan obligations–99Cumulative balance of direct loans outstanding:1210Outstanding, start of year1231Disbursements: Direct loan disbursements–451251Repayments: Repayments and prepayments1290Outstanding, end of year–45

Perkins Loan Assets

Enacted/requested

Student Financial Assistance Debt Collection

Enacted/requested

Special and Trust Fund Receipts(in millions of dollars)Identification code 91–5557–0–2–5022011 actual2012 est.2013 est.0100Balance, start of yearReceipts:0220Student Financial Assistance Debt Collection1010100400Total: Balances and collections101010Appropriations:0500Student Financial Assistance Debt Collection–10–10–100799Balance, end of year

Program and Financing(in millions of dollars)Identification code 91–5557–0–2–5022011 actual2012 est.2013 est.Obligations by program activity:0001Student Financial Assistance Debt Collection5550900Total new obligations (object class 25.2)555Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 11616151021Recoveries of prior year unpaid obligations11022Capital transfer of unobligated balances to general fund–6–6–61050Unobligated balance (total)11109Budget authority:Appropriations, mandatory:1201Appropriation (special or trust fund)1010101260Appropriations, mandatory (total)1010101930Total budgetary resources available212019Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year161514Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)1113030Obligations incurred, unexpired accounts5553040Outlays (gross)–4–5–53080Recoveries of prior year unpaid obligations, unexpired–1Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)1113100Obligated balance, end of year (net)111Budget authority and outlays, net:Mandatory:4090Budget authority, gross101010Outlays, gross:4101Outlays from mandatory balances4554180Budget authority, net (total)1010104190Outlays, net (total)455

Federal Student Loan Reserve Fund

Enacted/requested

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. Program and Financing(in millions of dollars)Identification code 91–4257–0–3–5022011 actual2012 est.2013 est.Obligations by program activity:0102Obligations, non-Federal12,2018,0457,3530900Total new obligations (object class 42.0)12,2018,0457,353Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 12,9651,6641,3921020Adjustment of unobligated bal brought forward, Oct 1–8861050Unobligated balance (total)2,0791,6641,392Budget authority:Spending authority from offsetting collections, mandatory:1800Collected11,7867,7737,1091850Spending auth from offsetting collections, mand (total)11,7867,7737,1091930Total budgetary resources available13,8659,4378,501Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year1,6641,3921,148Change in obligated balance:3030Obligations incurred, unexpired accounts12,2018,0457,3533040Outlays (gross)–12,201–8,045–7,353Budget authority and outlays, net:Mandatory:4090Budget authority, gross11,7867,7737,109Outlays, gross:4100Outlays from new mandatory authority11,7867,7737,1094101Outlays from mandatory balances4152722444110Outlays, gross (total)12,2018,0457,353Offsets against gross budget authority and outlays:Offsetting collections (collected) from:4120Federal sources–11,607–7,615–6,9564123Non-Federal sources–179–158–1534130Offsets against gross budget authority and outlays (total)–11,786–7,773–7,1094170Outlays, net (mandatory)4152722444190Outlays, net (total)415272244

Balance Sheet(in millions of dollars)Identification code 91–4257–0–3–5022010 actual2011 actualASSETS:1101Federal assets: Fund balances with Treasury2,9651,6641999Total assets2,9651,664NET POSITION:3300Cumulative results of operations2,9651,6644999Total liabilities and net position2,9651,664

Federal Direct Student Loan Program Account

Enacted/requested

The Federal Government currently operates two major student loan programs: the Federal Family Education Loan (FFEL) program and the William D. Ford Federal Direct Loan (Direct Loan) program. The Health Care and Education Reconciliation Act of 2010 (HCERA) eliminated the authorization to originate new FFEL loans. Starting July 1, 2010, all new loans are originated in the Direct Loan program. This summary section outlines the structure of these two programs and provides text tables displaying program cost data; loan volume, subsidy, default, and interest rates; and other descriptive information.From its inception in 1965 through the end of June 2010, the FFEL program provided almost $899 billion in loans to postsecondary students and their parents. Although no new FFEL loans will be originated, billions of outstanding FFEL loans will continue to be served by lenders. Since July 1, 1994, the Direct Loan program has provided nearly $527 billion in new and consolidation loans to students and parents. The Direct Loan program will make over $120.8 billion in new loans available in 2013.Loan capital in the FFEL program was provided by private lenders, facilitated by the Federal guarantee on the loans. For the outstanding FFEL portfolio, 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 Budget proposes two technical changes to the guaranty agencies' compensation via the retention of loan rehabilitation funds: eliminating their current retention share of the original defaulted student loan amount, and reducing the fee they can charge to borrower on the borrower's outstanding balance to 16 percent. This policy requires agencies to send the rehabilitated loans to the Department of Education if they cannot find a private lender buyer, but maintains their right to the 16 percent collection fee. The Government also pays interest subsidies to lenders for certain borrowers, as well as most costs associated with loan defaults and other write-offs.Under the Direct Loan program, the Federal Government provides loan capital through the Treasury while loan origination and servicing is handled by private-sector companies under performance-based contracts with the Department. The Direct Loan program began operation in academic year 1994–1995 with seven percent of overall loan volume but will originate all future loans. The Direct Loan 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, 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 3.4 percent on July 1, 2011, and rising to 6.8 percent on July 1, 2012. Interest payments for these loans are fully subsidized by the Government while a student is in school and during grace and deferment periods. In light of current economic conditions, the Budget proposes to maintain the current 3.4 percent interest rate through July 1, 2013. The Budget Control Act of 2011 eliminated the availability of Stafford loans for graduate and professional students as of July 1, 2012. Annual and cumulative loan limits have been raised in the unsubsidized Stafford program to maintain these loan limits at their amounts prior to this legislative change. The Consolidated Appropriations Act, 2012 authorized that interest on Stafford loans issued between July 1, 2012 and July 1, 2014 will begin to accrue during the 6-month grace period after a borrower leaves school. The 2013 President's Budget proposes to further reduce the availability of the interest subsidy to borrowers who borrow for more than 150 percent of their program length. Beyond the 150 percent point, interest would begin to accrue.Borrower interest rates on new Unsubsidized Stafford loans are fixed at 6.8 percent. The fixed borrower interest rate on PLUS loans is 7.9 percent.For loans previously originated in the FFEL program, lenders may receive an interest subsidy, commonly known as a special allowance payment, from the Government to ensure a guaranteed rate of return on the loans. Special allowance payments vary by loan type, are determined quarterly, and are based on current borrower interest rates and market-yield 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. Special allowance rates differ 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 guarantee percentage paid to lenders on most defaults is 97 percent of unpaid loan principal (including any accrued interest on the full loan principal). The 2012 Appropriations Act gave holders of Federal student loans the option to change the basis for the special allowance calculation from commercial paper to the London Interbank Offered Rate (LIBOR) beginning April 1, 2012.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 Consolidation loans equals the weighted average of the interest rate on the loans consolidated, rounded up to the nearest one-eighth of one percent. Interest rates for new Consolidation Loans are capped at 8.25 percent. The Consolidation estimate in 2012 reflects a special, one-time, six-month program (January to June 2012) to encourage students who have both a FFEL and a Direct Loan to consolidate their loans into one Direct Loan. As an incentive to do so, qualified borrowers would be eligible for a 0.25 percent interest rate reduction. This program accounts for approximately $38 billion out of the $63 billion in total Consolidation activity during 2012. Direct Loan origination fees are 1 percent. Loans are discharged when borrowers die, are totally and permanently disabled, or under some circumstances, declare bankruptcy.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 teachers considered highly qualified under criteria established in the Elementary and Secondary Education Act.In addition, under a loan forgiveness program for public-sector employees, qualifying borrowers who have worked for 10 years while making payments on their student loans will have any remaining loan balance forgiven. This benefit is only available in the Direct Loan program, though FFEL borrowers may receive the benefit by taking out a Direct Consolidation Loan. It is available for all borrowers, regardless of when they took out their loans.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 totaling more than $30,000. FFEL borrowers may change repayment plans annually. Borrowers under Direct Loans may choose from the same repayment plans available in FFEL, except that instead of the income-sensitive repayment plan an income-contingent repayment is available (with terms similar to the new income-based repayment plan). Direct Loan borrowers may switch between repayment plans at any time.In addition, since July 1, 2009, qualifying student borrowers may choose an income-based repayment plan under which monthly loan payments (except Parent PLUS) are based on the borrower's income and outstanding balances, if any, are forgiven after 25 years in repayment. (In the first three years, an interest subsidy is available for Stafford Loans and the Stafford portion of Consolidation Loans.) Monthly loan payments can be up to 15 percent of a borrower's prior-year income. (Payments cannot exceed the amount calculated under the Standard 10-year repayment option.) Beginning July 1, 2014, new loans will be eligible for a reduced maximum assessment rate of 10 percent of prior-year income with a maximum of 20 years in repayment. In October 2011, the President announced a plan that, starting in 2012, would allow about 1.6 million students to take advantage of a similar option even earlier.The following tables display performance indicators and program data; including projected overall Direct Loan and FFEL costs; and summary of default rates.Federal Budget Authority and Outlays (in thousands of dollars)2011 actual2012 est.2013 est.Program Cost:FFEL:Liquidating1(268,797)(409,628)(334,797)Program:Net Reestimate of Prior Year Costs(24,492,931)(15,164,122)0Net Modification20249,710(3,390,397)Subtotal, Program(24,492,931)(14,914,412)(3,390,397)Total FFEL(24,761,728)(15,324,040)(3,725,194)Direct Loans:Program:New Loan Subsidies(21,759,701)(29,519,353)(33,474,791)Net Reestimate of Prior Year Costs(5,689,291)5,566,3310Net Modification2000Total, Direct Loans(27,448,992)(23,953,022)(33,474,791)Total, FFEL and Direct Loans(52,210,720)(39,277,062)(37,199,985)Program Cost Outlays:FFEL:Liquidating1(501,600)(409,628)(334,797)Program:Net Reestimate of Prior Year Costs(24,492,931)(15,164,122)0Net Modification20249,710(3,390,397)Subtotal, Program(24,492,931)(14,914,412)(3,390,397)Total, FFEL(24,994,531)(15,324,040)(3,725,194)Direct Loans:Program:Regular(17,031,332)(24,835,902)(28,709,333)Net Reestimate of Prior Year Costs(5,689,291)5,566,3310Net Modification2000Total, Direct Loans(22,720,623)(19,269,571)(28,709,333)Total, FFEL and Direct Loans(47,715,155)(34,593,611)(32,434,526)1Liquidating account reflects loans made prior to 1992.2Reflects the cost or savings associated with policy changes, including regulatory changes, those contained in the Consolidated Appropriations Act 2012, and those proposed in the 2013 President's Budget.

Summary of Default Rates1(expressed as percentages)2011 est.2012 est.2013 est.Direct Loans:Stafford16.8718.9720.42Unsubsidized Stafford16.4414.6213.80PLUS8.348.087.90Consolidation20.3413.6718.09Weighted Average, Direct Loans16.1114.3915.141Default rates displayed in this table, which reflect projected defaults over the life of a loan cohort, are used in developing program cost estimates. The Department uses other rates based on defaults occurring in the first three years of repayment to determine institutional eligibility to participate in Federal loan programs. These three-year rates tend to be lower than those included in this table.

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)2011 actual2012 est.2013 est.FFEL:Payments to lendersInterest benefits1,757,8901,185,874786,232Special allowance payments1(7,333,821)(4,937,351)(3,913,312)Default claims9,563,7196,761,8286,140,871Loan discharges2,756,000953,750855,702Teacher loan forgiveness185,251185,846191,989Administrative payments to guaranty agencies214,322216,890189,879Fees paid to the Department of EducationBorrower origination fees(8,510)––Lender origination fees(18,336)––Loan holder fees(2,217,342)(1,846,207)(1,581,762)Other Major TransactionsNet default collections(8,851,143)(7,483,485)(7,313,092)Contract collection costs73,00067,01864,219Federal administrative costs81,53773,57671,345Net Cash Flow, FFEL(3,797,433)(4,822,263)(4,507,929)Ensuring Continued Access to Student Loans (ECASLA)Inflows(9,083,565)(12,012,645)(13,515,141)Outflows8,977,26013,335,75714,168,835Federal administrative costs172,133199,706225,927Net Cash Flow, ECASLA65,8281,522,819879,621Direct LoansLoan disbursements to borrowers133,536,448176,699,498147,282,603Borrower interest payments(3,804,961)(8,586,181)(12,556,662)Borrower principal payments(12,221,212)(24,380,680)(37,638,217)Borrower origination fees(1,623,287)(1,727,301)(1,845,064)Net default collections(1,246,854)(2,612,585)(3,346,779)Contract collection costs293,158328,055282,415Federal administrative costs652,293777,803891,817Net operating cash flows115,595,585140,498,60793,070,114Loan capital borrowings from Treasury(133,536,448)(176,699,498)(147,282,603)Net interest payments to Treasury10,828,01921,461,26327,903,833Principal payments to Treasury10,972,13728,795,40327,173,549Subtotal Treasury activity(111,736,292)(126,442,832)(92,205,221)Net Cash Flow, Direct Loans3,859,29314,055,775864,893Details may not sum to totals due to rounding.1Includes Negative Special Allowance Payments.

Student Loan Program Costs: Analysis of Direct Loans including Program and Administrative Expenses(expressed as percentages)2011 actual2012 est.2013 est.Direct LoansNew LoansStafford10.635.94–0.95Unsubsidized Stafford–18.60–28.26–28.38PLUS–24.75–32.83–32.66Subtotal, new loan subsidy–8.42–18.29–21.78Federal administrative costs1.761.721.70Subtotal, new loans–6.66–16.57–20.08Consolidation LoansLoan subsidy–7.79–8.68–11.85Federal administrative costs0.380.380.38Subtotal, consolidation loans–7.41–8.30–11.47New and Consolidation LoansLoan subsidy–8.32–15.15–20.08Federal administrative costs1.511.241.45Total, Direct Loans–6.81–13.91–18.63Totals may not add due to rounding. Subsidies are weighted on Gross Volumes.Notes: For 2011, the rates are current; these include the actual executed rates for 2011 and the effect of re-estimates on those rates.

The chart above describes 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. 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.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.Loan Disbursement and Subsidy Costs Total Subsidy Costs 1992–2011(amounts in billions)FFELDirect LoansOriginal Subsidy Costs+$77.1-$27.1Cumulative Reestimates-$44.3+$9.8Net Subsidy Costs+$32.8-$17.3Total Disbursements+$898.7$526.6

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) have also contributed to these reestimates.Direct Loan Repayment Options(expressed as percentages)Subsidies by Repayment Option2011 actual12012 est.2013 est.StaffordStandard10.375.41–1.02Extended11.248.50–3.14Graduated12.249.63–2.03ICR/IBR17.6816.0216.06Unsubsidized StaffordStandard–18.00–27.58–27.69Extended–28.26–39.21–39.26Graduated–27.35–38.74–38.95ICR/IBR17.5715.9915.73PLUS2Standard–22.33–30.01–29.85Extended–38.65–48.69–48.45Graduated–39.50–50.05–49.90ConsolidatedStandard–12.47–8.75–14.84Extended–19.41–17.55–25.28Graduated–18.37–18.40–24.75ICR/IBR19.4118.9319.45

Direct Loan Repayment Options(gross volumes in millions)Volumes by Repayment Option2011 actual12012 est.2013 est.StaffordStandard41,45836,45032,741Extended1,1831,040934Graduated3,6483,2082,881ICR/IBR556489439Unsubsidized StaffordStandard48,37659,30267,198Extended1,7362,1282,412Graduated4,6225,6656,420ICR/IBR7819571,084PLUS2Standard17,18518,83920,625Extended632693758Graduated2,2252,4392,671ConsolidatedStandard7,36432,8058,808Extended5,81211,4836,964Graduated5,29011,4916,313ICR/IBR5,7737,8306,46012011 rates are current; these include actual executed rates for 2011 and the effect of re-estimates on those rates.2ICR/IBR are not available repayment options for PLUS loans.

Summary of Consolidation Initiative(in millions of dollars)2012 Est1Program Cost:Direct Loans:New Loan Volume38,553New Loan Subsidy Rate–6.85Net Subsidy Cost(2,641)Modification of FFEL loans2250Total Savings, FFEL and DIrect Loans(2,391)1Savings from the Consolidation loan incentive will be used to offset proposed changes to the Income-Contingent Repayment plan.2Modification of existing FFEL loans for cohorts 1994–2010. Net of $713 downward modification and $963 million upward modification.

Program and Financing(in millions of dollars)Identification code 91–0243–0–1–5022011 actual2012 est.2013 est.Obligations by program activity:Credit program obligations:0705Reestimates of direct loan subsidy2,3256,6140706Interest on reestimates of direct loan subsidy4573030900Total new obligations (object class 41.0)2,7826,917Budgetary Resources:Budget authority:Appropriations, mandatory:1200Appropriation (indefinite) - Upward reestimate2,7826,9171260Appropriations, mandatory (total)2,7826,9171930Total budgetary resources available2,7826,917Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)1163030Obligations incurred, unexpired accounts2,7826,9173040Outlays (gross)–2,787–6,923Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)63100Obligated balance, end of year (net)6Budget authority and outlays, net:Mandatory:4090Budget authority, gross2,7826,917Outlays, gross:4100Outlays from new mandatory authority2,7826,9174101Outlays from mandatory balances564110Outlays, gross (total)2,7876,9234180Budget authority, net (total)2,7826,9174190Outlays, net (total)2,7876,923

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program(in millions of dollars)Identification code 91–0243–0–1–5022011 actual2012 est.2013 est.Direct loan levels supportable by subsidy budget authority:115001Stafford49,63141,18636,995115002Unsubsidized Stafford60,47068,05277,114115003PLUS20,08021,97124,054115004Consolidation26,29263,60828,544115999Total direct loan levels156,473194,817166,707Direct loan subsidy (in percent):132001Stafford5.25–0.75–6.05132002Unsubsidized Stafford–25.89–28.26–28.38132003PLUS–30.32–32.83–32.66132004Consolidation–9.97–8.70–12.30132999Weighted average subsidy rate–13.91–16.57–21.29Direct loan subsidy budget authority:133001Stafford2,605–309–2,238133002Unsubsidized Stafford–15,656–19,231–21,885133003PLUS–6,088–7,213–7,856133004Consolidation–2,621–5,534–3,511133999Total subsidy budget authority–21,760–32,287–35,490Direct loan subsidy outlays:134001Stafford2,585454–1,474134002Unsubsidized Stafford–12,150–15,378–18,479134003PLUS–4,889–6,209–7,156134004Consolidation–2,577–5,523–3,487134999Total subsidy outlays–17,031–26,656–30,596Direct loan upward reestimates:135005Federal Direct Student Loans2,7826,917135999Total upward reestimate budget authority2,7826,917Direct loan downward reestimates:137005Federal Direct Student Loans–8,471–1,351137999Total downward reestimate budget authority–8,471–1,351

Legislative proposal, subject to PAYGO

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program(in millions of dollars)Identification code 91–0243–4–1–5022011 actual2012 est.2013 est.Direct loan subsidy (in percent):132001Stafford6.695.10132004Consolidation0.020.45132999Weighted average subsidy rate1.421.21Direct loan subsidy budget authority:133001Stafford2,7551,887133004Consolidation13128133999Total subsidy budget authority2,7682,015Direct loan subsidy outlays:134001Stafford1,8081,760134004Consolidation12127134999Total subsidy outlays1,8201,887

Federal Direct Student Loan Program Financing Account

Enacted/requested

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.Program and Financing(in millions of dollars)Identification code 91–4253–0–3–5022011 actual2012 est.2013 est.Obligations by program activity:0201Interest rate rebate, Stafford2821240202Interest rate rebate, Unsubsidized Stafford3271410203Interest rate rebate, PLUS1231680291Subtotal7324330301Consolidation loans-Payment of Orig. Services29124270401Payment of contract collection costs293328282Credit program obligations:0710Direct loan obligations156,473194,817166,7070713Payment of interest to Treasury14,32121,49728,0110740Negative subsidy obligations21,76032,28735,4900742Downward reestimate paid to receipt account7,9491,1030743Interest on downward reestimates5222480791Direct program activities, subtotal201,025249,952230,2080900Total new obligations202,079250,837230,517Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 12,3341,8181021Recoveries of prior year unpaid obligations7,2035,3896,6101023Unobligated balances applied to repay debt–3,696–1,8181024Unobligated balance of borrowing authority withdrawn–5,803–5,389–6,6101050Unobligated balance (total)38Financing authority:Borrowing authority, mandatory:1400Borrowing authority186,888228,456202,1971440Borrowing authority, mandatory (total)186,888228,456202,197Spending authority from offsetting collections, mandatory:1800Collected25,16144,22555,4221825Spending authority from offsetting collections applied to repay debt–8,190–21,844–27,1021850Spending auth from offsetting collections, mand (total)16,97122,38128,3201900Financing authority(total)203,859250,837230,5171930Total budgetary resources available203,897250,837230,517Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year1,818Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)55,29077,05895,8513030Obligations incurred, unexpired accounts202,079250,837230,5173040Financing disbursements (gross)–173,108–226,655–206,1993080Recoveries of prior year unpaid obligations, unexpired–7,203–5,389–6,610Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)77,05895,851113,5593100Obligated balance, end of year (net)77,05895,851113,559Financing authority and disbursements, net:Mandatory:4090Financing authority, gross203,859250,837230,517Financing disbursements:4110Financing disbursements, gross173,108226,655206,199Offsets against gross financing authority and disbursements:Offsetting collections (collected) from:4120Upward reestimate–2,325–6,6144120Upward reestimate, interest–457–3034122Interest on uninvested funds–3,4934123Repayment of principal, Stafford–3,334–5,739–8,8524123Interest received on loans, Stafford–566–1,195–1,8514123Origination Fees, Stafford–625–388–3184123Other fees, Stafford–284123Repayment of principal, Unsubsidized Stafford–3,333–7,162–11,5034123Interest received on loans, Unsubsidized Stafford–795–1,688–2,9394123Origination Fees, Unsubsidized Stafford–726–540–6524123Other fees, Unsubsidized Stafford–204123Repayment of principal, PLUS–2,744–3,814–6,1984123Interest received on loans, PLUS–936–1,712–2,5324123Origination Fees, PLUS–273–799–8754123Other fees, PLUS–54123Payment of principal, Consolidation–3,497–9,985–14,0724123Interest received on loans, Consolidation–1,955–4,286–5,6304123Other fees, Consolidation–494130Offsets against gross financing auth and disbursements (total)–25,161–44,225–55,4224160Financing authority, net (mandatory)178,698206,612175,0954170Financing disbursements, net (mandatory)147,947182,430150,7774180Financing authority, net (total)178,698206,612175,0954190Financing disbursements, net (total)147,947182,430150,777

Status of Direct Loans(in millions of dollars)Identification code 91–4253–0–3–5022011 actual2012 est.2013 est.STAFFORDPosition with respect to appropriations act limitation on obligations:1131Direct loan obligations exempt from limitation49,63141,18636,9951150Total direct loan obligations49,63141,18636,995Cumulative balance of direct loans outstanding:1210Outstanding, start of year57,69296,590129,5291231Disbursements: Direct loan disbursements41,86438,81231,8421251Repayments: Repayments and prepayments–3,334–5,739–8,8521261Adjustments: Capitalized interest8911101264Write-offs for default: Other adjustments, net (+ or -)–523–134–1521290Outstanding, end of year96,590129,529152,477UNSUBSIDIZED STAFFORDPosition with respect to appropriations act limitation on obligations:1131Direct loan obligations exempt from limitation60,47068,05277,1141150Total direct loan obligations1150Total direct loan obligations60,47068,05277,114Cumulative balance of direct loans outstanding:1210Outstanding, start of year59,487105,150155,2021231Disbursements: Direct loan disbursements48,61754,03865,1891251Repayments: Repayments and prepayments–3,333–7,162–11,5031261Adjustments: Capitalized interest9193,3105,0961264Write-offs for default: Other adjustments, net (+ or -)–540–134–1681290Outstanding, end of year105,150155,202213,816PLUSPosition with respect to appropriations act limitation on obligations:1131Direct loan obligations exempt from limitation20,08021,97124,0541150Total direct loan obligations1150Total direct loan obligations20,08021,97124,054Cumulative balance of direct loans outstanding:1210Outstanding, start of year19,86435,53152,0371231Disbursements: Direct loan disbursements18,28519,97021,8691251Repayments: Repayments and prepayments–2,744–3,814–6,1981261Adjustments: Capitalized interest3064257581264Write-offs for default: Other adjustments, net (+ or -)–180–75–981290Outstanding, end of year35,53152,03768,368CONSOLIDATIONPosition with respect to appropriations act limitation on obligations:1131Direct loan obligations exempt from limitation26,29263,60828,5441150Total direct loan obligations1150Total direct loan obligations26,29263,60828,544Cumulative balance of direct loans outstanding:1210Outstanding, start of year83,479104,552157,7261231Disbursements: Direct loan disbursements24,03863,44628,3821251Repayments: Repayments and prepayments–3,497–9,985–14,0721261Adjustments: Capitalized interest1,289291264Write-offs for default: Other adjustments, net (+ or -)–757–287–3551290Outstanding, end of year104,552157,726171,710

Balance Sheet(in millions of dollars)Identification code 91–4253–0–3–5022010 actual2011 actualASSETS:Federal assets:1101Fund balances with Treasury10,36917,606Investments in US securities:1106Receivables, net2,8501011206Non-Federal assets: Receivables, net47Net value of assets related to post-1991 direct loans receivable:1401Direct loans receivable, gross220,522341,8231402Interest receivable9,65513,7261405Allowance for subsidy cost (-)–1,96925,9051499Net present value of assets related to direct loans228,208381,4541999Total assets241,431399,168LIABILITIES:Federal liabilities:2101Accounts payable1453,3072103Debt237,190392,3742201Non-Federal liabilities: Accounts payable4,0963,4872999Total liabilities241,431399,1684999Total liabilities and net position241,431399,168

Legislative proposal, subject to PAYGO

Program and Financing(in millions of dollars)Identification code 91–4253–4–3–5022011 actual2012 est.2013 est.Obligations by program activity:Credit program obligations:0713Payment of interest to Treasury–35–1070740Negative subsidy obligations–2,768–2,0150900Total new obligations–2,803–2,122Budgetary Resources:Financing authority:Borrowing authority, mandatory:1400Borrowing authority–2,768–2,0151440Borrowing authority, mandatory (total)–2,768–2,015Spending authority from offsetting collections, mandatory:1800Collected–1–351825Spending authority from offsetting collections applied to repay debt–34–721850Spending auth from offsetting collections, mand (total)–35–1071900Financing authority(total)–2,803–2,1221930Total budgetary resources available–2,803–2,122Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)–9473030Obligations incurred, unexpired accounts–2,803–2,1223040Financing disbursements (gross)1,8561,994Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)–947–1,0753100Obligated balance, end of year (net)–947–1,075Financing authority and disbursements, net:Mandatory:4090Financing authority, gross–2,803–2,122Financing disbursements:4110Financing disbursements, gross–1,856–1,994Offsets against gross financing authority and disbursements:Offsetting collections (collected) from:4123Repayment of principal, Stafford–144123Repayment of interest, Stafford424123Payment of principal, Consolidation–24123Interest received on loans, Consolidation194130Offsets against gross financing auth and disbursements (total)1354160Financing authority, net (mandatory)–2,802–2,0874170Financing disbursements, net (mandatory)–1,855–1,9594180Financing authority, net (total)–2,802–2,0874190Financing disbursements, net (total)–1,855–1,959

Status of Direct Loans(in millions of dollars)Identification code 91–4253–4–3–5022011 actual2012 est.2013 est.STAFFORDCumulative balance of direct loans outstanding:1210Outstanding, start of year1251Repayments: Repayments and prepayments–141261Adjustments: Capitalized interest–471290Outstanding, end of year–61CONSOLIDATIONCumulative balance of direct loans outstanding:1210Outstanding, start of year1251Repayments: Repayments and prepayments–31290Outstanding, end of year–3

Federal Family Education Loan Program Account

Enacted/requested

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.Program and Financing(in millions of dollars)Identification code 91–0231–0–1–5022011 actual2012 est.2013 est.Obligations by program activity:Credit program obligations:0704Subsidy for modifications of loan guarantees9630705Reestimates of direct loan subsidy297160706Interest on reestimates of direct loan subsidy1860707Reestimates of loan guarantee subsidy78960708Interest on reestimates of loan guarantee subsidy69480900Total new obligations (object class 41.0)1771,909Budgetary Resources:Budget authority:Appropriations, mandatory:1200Appropriation1771,9091260Appropriations, mandatory (total)1771,9091930Total budgetary resources available1771,909Change in obligated balance:3030Obligations incurred, unexpired accounts1771,9093040Outlays (gross)–177–1,909Budget authority and outlays, net:Mandatory:4090Budget authority, gross1771,909Outlays, gross:4100Outlays from new mandatory authority1771,9094180Budget authority, net (total)1771,9094190Outlays, net (total)1771,909

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program(in millions of dollars)Identification code 91–0231–0–1–5022011 actual2012 est.2013 est.Direct loan upward reestimates:135012Direct Standard Put Reestimates31801135999Total upward reestimate budget authority31801Direct loan downward reestimates:137010Direct Participation Agreement Reestimates–5,352–1,621137012Direct Standard Put Reestimates–563–719137999Total downward reestimate budget authority–5,915–2,340Guaranteed loan subsidy outlays:234006FFEL Guarantees250234999Total subsidy outlays250Guaranteed loan upward reestimates:235006FFEL Guarantees146144235999Total upward reestimate budget authority146144Guaranteed loan downward reestimates:237006FFEL Guarantees–18,754–13,769237999Total downward reestimate subsidy budget authority–18,754–13,769

Legislative proposal, subject to PAYGO

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program(in millions of dollars)Identification code 91–0231–4–1–5022011 actual2012 est.2013 est.Guaranteed loan subsidy outlays:234006FFEL Guarantees–3,390234999Total subsidy outlays–3,390

Federal Family Education Loan Program Financing Account

Enacted/requested

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 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.Program and Financing(in millions of dollars)Identification code 91–4251–0–3–5022011 actual2012 est.2013 est.Obligations by program activity:0101Default claims2,5351,4911,1610102Special allowance3155330103Interest benefits1,2846804030104Death, disability, and bankruptcy claims343106790105Teacher loan forgiveness, other write-offs481051080107Contract collection costs2116150110Guaranty Agency account maintenance fees4331240191Subtotal, Stafford loans4,3052,4841,8230202Default claims2,2801,2539930203Special allowance2757340204Death, disability, and bankruptcy claims39794670205Teacher loan forgiveness, other write-offs7581840207Contract collection costs7890210Guaranty Agency account maintenance fees4526210291Subtotal, Unsubsidized Stafford loans2,8311,5191,2080301Default claims3082081770304Death, disability, and bankruptcy claims13551390307Contract Collection Costs2110310Guaranty Agency account maintenance fees11980391Subtotal, PLUS loans4562692250403Default claims70404Death, disability and bankruptcy claims30407Contract collection costs2110491Subtotal, SLS loans12110501Default claims4,3583,7413,7470502Special allowance8102840503Interest benefits4715033810504Death, disability, and bankruptcy claims1,8626876560505Teacher loan forgiveness, other write-offs630507Contract collection costs410120510Guaranty Agency account maintenance fees1141511370591Subtotal, Consolidations loans6,8805,1945,017Credit program obligations:0713Payment of interest to Treasury1,3300741Modification savings7130742Downward reestimate paid to receipt account14,53310,4500743Interest on downward reestimates4,2213,3190791Direct program activities, subtotal20,08414,4820900Total new obligations34,56823,9498,274Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 19,05211,8392,9611021Recoveries of prior year unpaid obligations1281050Unobligated balance (total)9,18011,8392,961Financing authority:Appropriations, mandatory:1200Appropriation731260Appropriations, mandatory (total)73Borrowing authority, mandatory:1400Borrowing authority18,7541440Borrowing authority, mandatory (total)18,754Spending authority from offsetting collections, mandatory:1800Collected18,47315,10812,6061820Capital transfer of spending authority from offsetting collections to general fund–1101850Spending auth from offsetting collections, mand (total)18,47314,99812,6061900Financing authority(total)37,22715,07112,6061930Total budgetary resources available46,40726,91015,567Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year11,8392,9617,293Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)2,6472,4542,4543030Obligations incurred, unexpired accounts34,56823,9498,2743040Financing disbursements (gross)–34,633–23,949–8,2743080Recoveries of prior year unpaid obligations, unexpired–128Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)2,4542,4542,4543100Obligated balance, end of year (net)2,4542,4542,454Financing authority and disbursements, net:Mandatory:4090Financing authority, gross37,22715,07112,606Financing disbursements:4110Financing disbursements, gross34,63323,9498,274Offsets against gross financing authority and disbursements:Offsetting collections (collected) from:4120Upward reestimate–78–964120Interest on upward reestimate–68–484120Upward Modification–9634122Interest on uninvested funds–464–48–54123Stafford recoveries on defaults–2,670–2,167–2,0194123Stafford borrower origination fees–24123Stafford lender origination fees–74123Stafford other fees–1034123Stafford special allowance rebate–2,070–1,130–8244123Unsubsidized Stafford recoveries on default–1,279–1,670–1,5874123Unsubsidized Stafford borrower origination fees–24123Unsubsidized Stafford lender origination fees–94123Unsubsidized Stafford other fees–764123Unsubsidized Stafford special allowance rebate–2,421–1,445–1,1164123PLUS recoveries on defaults–370–207–2064123PLUS borrower origination fees–54123PLUS lender origination fees–34123PLUS other fees–174123PLUS special allowance rebate–909–511–4074123SLS recoveries on defaults–73–26–184123SLS other fees–44123Consolidation recoveries on defaults–3,469–2,886–3,0424123Consolidation loan holders fee–1,846–1,5824123Consolidation other fees–2,2174123Consolidation special allowance rebate–156–2,065–1,8004123Consolidation special allowance rebate–2,0014130Offsets against gross financing auth and disbursements (total)–18,473–15,108–12,6064160Financing authority, net (mandatory)18,754–374170Financing disbursements, net (mandatory)16,1608,841–4,3324180Financing authority, net (total)18,754–374190Financing disbursements, net (total)16,1608,841–4,332

Status of Guaranteed Loans(in millions of dollars)Identification code 91–4251–0–3–5022011 actual2012 est.2013 est.STAFFORDCumulative balance of guaranteed loans outstanding:2210Outstanding, start of year76,90655,81839,1752251Repayments and prepayments–6,087–14,755–3,705Adjustments:2261Terminations for default that result in loans receivable–2,878–1,676–1,2312263Terminations for default that result in claim payments–343–106–792264Other adjustments, net–11,780–106–1092290Outstanding, end of year55,81839,17534,051Memorandum:2299Guaranteed amount of guaranteed loans outstanding, end of year54,14338,00032,349Addendum:Cumulative balance of defaulted guaranteed loans that result in loans receivable:2310Outstanding, start of year6,5576,9946,1902331Disbursements for guaranteed loan claims2,8781,6761,2312351Repayments of loans receivable–2,332–2,167–2,0192361Write-offs of loans receivable–343–313–2612364Other adjustments, net2342390Outstanding, end of year6,9946,1905,141UNSUBSIDIZED STAFFORDCumulative balance of guaranteed loans outstanding:2210Outstanding, start of year81,12358,59341,5762251Repayments and prepayments–6,421–15,410–5,049Adjustments:2261Terminations for default that result in loans receivable–2,677–1,432–1,0502263Terminations for default that result in claim payments–397–94–672264Other adjustments, net–13,035–81–842290Outstanding, end of year58,59341,57635,326Memorandum:2299Guaranteed amount of guaranteed loans outstanding, end of year56,83540,32933,560Addendum:Cumulative balance of defaulted guaranteed loans that result in loans receivable:2310Outstanding, start of year6,4907,8207,2032331Disbursements for guaranteed loan claims2,6771,4321,0502351Repayments of loans receivable–1,212–1,670–1,5872361Write-offs of loans receivable–397–379–3332364Other adjustments, net2622390Outstanding, end of year7,8207,2036,333PLUSCumulative balance of guaranteed loans outstanding:2210Outstanding, start of year20,79413,7919,5572251Repayments and prepayments–1,646–3,956–1,441Adjustments:2261Terminations for default that result in loans receivable–443–227–1852263Terminations for default that result in claim payments–135–51–392264Other adjustments, net–4,7792290Outstanding, end of year13,7919,5577,892Memorandum:2299Guaranteed amount of guaranteed loans outstanding, end of year13,3779,2717,498Addendum:Cumulative balance of defaulted guaranteed loans that result in loans receivable:2310Outstanding, start of year6046035062331Disbursements for guaranteed loan claims4432271852351Repayments of loans receivable–328–207–2062361Write-offs of loans receivable–135–117–912364Other adjustments, net192390Outstanding, end of year603506394SLSCumulative balance of guaranteed loans outstanding:2210Outstanding, start of year10694812251Repayments and prepayments–8–12–4Adjustments:2261Terminations for default that result in loans receivable–10–12263Terminations for default that result in claim payments–32264Other adjustments, net92290Outstanding, end of year948177Memorandum:2299Guaranteed amount of guaranteed loans outstanding, end of year917873Addendum:Cumulative balance of defaulted guaranteed loans that result in loans receivable:2310Outstanding, start of year3503062792331Disbursements for guaranteed loan claims1012351Repayments of loans receivable–61–26–182361Write-offs of loans receivable–3–2–22364Other adjustments, net102390Outstanding, end of year306279259CONSOLIDATIONCumulative balance of guaranteed loans outstanding:2210Outstanding, start of year210,665198,540164,7662251Repayments and prepayments–16,675–29,187–12,031Adjustments:2261Terminations for default that result in loans receivable–6,220–3,900–3,8112263Terminations for default that result in claim payments–1,862–687–6562264Other adjustments, net12,6322290Outstanding, end of year198,540164,766148,268Memorandum:2299Guaranteed amount of guaranteed loans outstanding, end of year187,693159,823140,854Addendum:Cumulative balance of defaulted guaranteed loans that result in loans receivable:2310Outstanding, start of year12,35814,06713,2642331Disbursements for guaranteed loan claims6,2203,9003,8112351Repayments of loans receivable–3,121–2,886–3,0422361Write-offs of loans receivable–1,862–1,817–1,6902364Other adjustments, net4722390Outstanding, end of year14,06713,26412,343

Balance Sheet(in millions of dollars)Identification code 91–4251–0–3–5022010 actual2011 actualASSETS:Federal assets:1101Fund balances with Treasury11,32613,920Investments in US securities:1106Receivables, net9343331206Non-Federal assets: Receivables, net280115Net value of assets related to post-1991 acquired defaulted guaranteed loans receivable:1501Defaulted guaranteed loans receivable, gross26,35929,7901502Interest receivable2,4364,2361505Allowance for subsidy cost (-)–3,853–5,4001599Net present value of assets related to defaulted guaranteed loans24,94228,6261999Total assets37,48242,994LIABILITIES:Federal liabilities:2101Accounts payable11,1803,1922103Debt10,73029,485Non-Federal liabilities:2201Accounts payable2543332204Liabilities for loan guarantees15,3189,9842999Total liabilities37,48242,9944999Total liabilities and net position37,48242,994

Legislative proposal, subject to PAYGO

Program and Financing(in millions of dollars)Identification code 91–4251–4–3–5022011 actual2012 est.2013 est.Obligations by program activity:0102Special allowance—Stafford50203Special allowance—Unsubsidized Stafford60502Special allowance—Consolidation8Credit program obligations:0713Payment of interest to Treasury610741Modification savings3,3900791Direct program activities, subtotal3,4510900Total new obligations3,470Budgetary Resources:Financing authority:Appropriations, mandatory:1200Appropriation- Positive MAT4291260Appropriations, mandatory (total)429Borrowing authority, mandatory:1400Borrowing authority3,3901440Borrowing authority, mandatory (total)3,390Spending authority from offsetting collections, mandatory:1800Collected–691850Spending auth from offsetting collections, mand (total)–691900Financing authority(total)3,7501930Total budgetary resources available3,750Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year280Change in obligated balance:3030Obligations incurred, unexpired accounts3,4703040Financing disbursements (gross)–3,470Financing authority and disbursements, net:Mandatory:4090Financing authority, gross3,750Financing disbursements:4110Financing disbursements, gross3,470Offsets against gross financing authority and disbursements:Offsetting collections (collected) from:4122Interest on uninvested funds54123Stafford special allowance rebate84123Unsubsidized Stafford special allowance rebate114123PLUS special allowance rebate44123Consolidation special allowance rebate414130Offsets against gross financing auth and disbursements (total)694160Financing authority, net (mandatory)3,8194170Financing disbursements, net (mandatory)3,5394180Financing authority, net (total)3,8194190Financing disbursements, net (total)3,539

Status of Guaranteed Loans(in millions of dollars)Identification code 91–4251–4–3–5022011 actual2012 est.2013 est.STAFFORDAddendum:Cumulative balance of defaulted guaranteed loans that result in loans receivable:2310Outstanding, start of year2351Repayments of loans receivable–1182361Write-offs of loans receivable62390Outstanding, end of year–112UNSUBSIDIZED STAFFORDAddendum:Cumulative balance of defaulted guaranteed loans that result in loans receivable:2310Outstanding, start of year2351Repayments of loans receivable–942361Write-offs of loans receivable52390Outstanding, end of year–89PLUSAddendum:Cumulative balance of defaulted guaranteed loans that result in loans receivable:2310Outstanding, start of year2351Repayments of loans receivable–142361Write-offs of loans receivable32390Outstanding, end of year–11SLSAddendum:Cumulative balance of defaulted guaranteed loans that result in loans receivable:2310Outstanding, start of year2351Repayments of loans receivable–12390Outstanding, end of year–1CONSOLIDATIONAddendum:Cumulative balance of defaulted guaranteed loans that result in loans receivable:2310Outstanding, start of year2351Repayments of loans receivable–2452361Write-offs of loans receivable292390Outstanding, end of year–216

Temporary Student Loan Purchase Authority Financing Account

Enacted/requested

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 participation interest program authorized under the Ensuring Continued Access to Student Loans Act of 2008. Amounts in this account are a means of financing and are not included in the budget totals.Program and Financing(in millions of dollars)Identification code 91–4453–0–3–5022011 actual2012 est.2013 est.Obligations by program activity:0006Contract collection costs72659Credit program obligations:0713Payment of interest to Treasury2,9162,9142,7620742Downward reestimate paid to receipt account5,0401,4910743Interest on downward reestimates3121300791Direct program activities, subtotal8,2684,5352,7620900Total new obligations8,2754,5612,821Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 13,2521,0211021Recoveries of prior year unpaid obligations1,8861023Unobligated balances applied to repay debt–3,252–1,0211024Unobligated balance of borrowing authority withdrawn–9971050Unobligated balance (total)889Financing authority:Borrowing authority, mandatory:1400Borrowing authority5,3521,6211440Borrowing authority, mandatory (total)5,3521,621Spending authority from offsetting collections, mandatory:1800Collected5,4317,5448,4661825Spending authority from offsetting collections applied to repay debt–2,376–4,604–5,6451850Spending auth from offsetting collections, mand (total)3,0552,9402,8211900Financing authority(total)8,4074,5612,8211930Total budgetary resources available9,2964,5612,821Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year1,021Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)14,97711,65211,6523030Obligations incurred, unexpired accounts8,2754,5612,8213040Financing disbursements (gross)–9,714–4,561–2,8213080Recoveries of prior year unpaid obligations, unexpired–1,886Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)11,65211,65211,6523100Obligated balance, end of year (net)11,65211,65211,652Financing authority and disbursements, net:Mandatory:4090Financing authority, gross8,4074,5612,821Financing disbursements:4110Financing disbursements, gross9,7144,5612,821Offsets against gross financing authority and disbursements:Offsetting collections (collected) from:4122Interest on uninvested funds–3854123Principal repayments–4,287–5,839–6,5764123Interest repayments–755–1,705–1,8904123Fees–44130Offsets against gross financing auth and disbursements (total)–5,431–7,544–8,4664160Financing authority, net (mandatory)2,976–2,983–5,6454170Financing disbursements, net (mandatory)4,283–2,983–5,6454180Financing authority, net (total)2,976–2,983–5,6454190Financing disbursements, net (total)4,283–2,983–5,645

Status of Direct Loans(in millions of dollars)Identification code 91–4453–0–3–5022011 actual2012 est.2013 est.Cumulative balance of direct loans outstanding:1210Outstanding, start of year62,93161,12556,2831232Disbursements: Purchase of loans assets from the public1,4421251Repayments: Repayments and prepayments–5,046–5,838–6,5761261Adjustments: Capitalized interest1,1081,0031264Write-offs for default: Other adjustments, net (+ or -)1,798–112–1061290Outstanding, end of year61,12556,28350,604

Balance Sheet(in millions of dollars)Identification code 91–4453–0–3–5022010 actual2011 actualASSETS:Federal assets:1101Fund balances with Treasury10,1045,546Investments in US securities:1106Receivables, net5561,075Net value of assets related to post-1991 direct loans receivable:1401Direct loans receivable, gross62,93161,1251402Interest receivable1,6652,9931405Allowance for subsidy cost (-)5,0908,5641499Net present value of assets related to direct loans69,68672,6821999Total assets80,34679,303LIABILITIES:Federal liabilities:2101Accounts payable7692103Debt79,57779,3022201Non-Federal liabilities: Accounts payable12999Total liabilities80,34679,3034999Total liabilities and net position80,34679,303

Student Loan Acquisition Account

Enacted/requested

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 the standard and short-term put programs authorized under the Ensuring Continued Access to Student Loans Act of 2008. Amounts in this account are a means of financing and are not included in the budget totals. Program and Financing(in millions of dollars)Identification code 91–4449–0–3–5022011 actual2012 est.2013 est.Obligations by program activity:0005Contract collection costs71836Credit program obligations:0713Payment of interest to Treasury1,5521,7351,6250742Downward reestimate paid to receipt account5186580743Interest on downward reestimates46610791Direct program activities, subtotal2,1162,4541,6250900Total new obligations2,1232,4721,661Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 17682471021Recoveries of prior year unpaid obligations2,9761023Unobligated balances applied to repay debt–768–2471024Unobligated balance of borrowing authority withdrawn–2,976Financing authority:Borrowing authority, mandatory:1400Borrowing authority6477191440Borrowing authority, mandatory (total)647719Spending authority from offsetting collections, mandatory:1800Collected3,6955,2705,0481825Spending authority from offsetting collections applied to repay debt–1,972–3,517–3,3871850Spending auth from offsetting collections, mand (total)1,7231,7531,6611900Financing authority(total)2,3702,4721,6611930Total budgetary resources available2,3702,4721,661Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year247Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)4,3823063063030Obligations incurred, unexpired accounts2,1232,4721,6613040Financing disbursements (gross)–3,223–2,472–1,6613080Recoveries of prior year unpaid obligations, unexpired–2,976Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)3063063063100Obligated balance, end of year (net)306306306Financing authority and disbursements, net:Mandatory:4090Financing authority, gross2,3702,4721,661Financing disbursements:4110Financing disbursements, gross3,2232,4721,661Offsets against gross financing authority and disbursements:Offsetting collections (collected) from:4120Upward reestimate–29–7154120Upward reestimate interest–2–864122Interest on uninvested funds–764123Principal repayments–3,093–3,484–3,9424123Borrower interest repayments–491–985–1,1064123Fees–44130Offsets against gross financing auth and disbursements (total)–3,695–5,270–5,0484160Financing authority, net (mandatory)–1,325–2,798–3,3874170Financing disbursements, net (mandatory)–472–2,798–3,3874180Financing authority, net (total)–1,325–2,798–3,3874190Financing disbursements, net (total)–472–2,798–3,387

Status of Direct Loans(in millions of dollars)Identification code 91–4449–0–3–5022011 actual2012 est.2013 est.Cumulative balance of direct loans outstanding:1210Outstanding, start of year36,62335,82233,0161232Disbursements: Purchase of loans assets from the public1,0731251Repayments: Repayments and prepayments–3,588–3,484–3,9421261Adjustments: Capitalized interest7446531264Write-offs for default: Other adjustments, net (+ or -)1,714–66–641290Outstanding, end of year35,82233,01629,663

Balance Sheet(in millions of dollars)Identification code 91–4449–0–3–5022010 actual2011 actualASSETS:Federal assets:1101Fund balances with Treasury95784Investments in US securities:1106Receivables, net2,5191,661Net value of assets related to post-1991 direct loans receivable:1401Direct loans receivable, gross36,62335,8221402Interest receivable1,4001,8791405Allowance for subsidy cost (-)4,2564,4151499Net present value of assets related to direct loans42,27942,1161999Total assets45,75543,861LIABILITIES:Federal liabilities:2101Accounts payable5502103Debt45,20543,8602201Non-Federal liabilities: Accounts payable12999Total liabilities45,75543,8614999Total liabilities and net position45,75543,861

Temporary Student Loan Purchase Authority Conduit Financing Account

Enacted/requested

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 the asset-backed commercial paper conduit authorized under the Ensuring Continued Access to Student Loans Act of 2008. Amounts in this account are a means of financing and are not included in the budget totals.Program and Financing(in millions of dollars)Identification code 91–4459–0–3–5022011 actual2012 est.2013 est.Obligations by program activity:0003Contract collection costs127491Credit program obligations:0713Payment of interest to Treasury4845550900Total new obligations60119146Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 13791051023Unobligated balances applied to repay debt–3–79–105Financing authority:Spending authority from offsetting collections, mandatory:1800Collected2276277411825Spending authority from offsetting collections applied to repay debt–88–403–5081850Spending auth from offsetting collections, mand (total)1392242331930Total budgetary resources available139224233Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year7910587Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)73,26172,63771,7303030Obligations incurred, unexpired accounts601191463040Financing disbursements (gross)–684–1,026–850Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)72,63771,73071,0263100Obligated balance, end of year (net)72,63771,73071,026Financing authority and disbursements, net:Mandatory:4090Financing authority, gross139224233Financing disbursements:4110Financing disbursements, gross6841,026850Offsets against gross financing authority and disbursements:Offsetting collections (collected) from:4122Interest on uninvested funds–184123Direct Conduit Fees–141–53–444123Principal repayments–53–457–5664123Interest repayments–15–65–894123FFB Commitment Fee–52–424130Offsets against gross financing auth and disbursements (total)–227–627–7414160Financing authority, net (mandatory)–88–403–5084170Financing disbursements, net (mandatory)4573991094180Financing authority, net (total)–88–403–5084190Financing disbursements, net (total)457399109

Status of Direct Loans(in millions of dollars)Identification code 91–4459–0–3–5022011 actual2012 est.2013 est.Cumulative balance of direct loans outstanding:1210Outstanding, start of year5441,1211,5711232Disbursements: Purchase of loans assets from the public6329077041251Repayments: Repayments and prepayments–209–457–5661261Adjustments: Capitalized interest1264Write-offs for default: Other adjustments, net (+ or -)1541290Outstanding, end of year1,1211,5711,709

Balance Sheet(in millions of dollars)Identification code 91–4459–0–3–5022010 actual2011 actualASSETS:1101Federal assets: Fund balances with Treasury33538Net value of assets related to post-1991 direct loans receivable:1401Direct loans receivable, gross5441,1211402Interest receivable27551405Allowance for subsidy cost (-)–102–2331499Net present value of assets related to direct loans4699431999Total assets804981LIABILITIES:2103Federal liabilities: Debt8049632201Non-Federal liabilities: Accounts payable182999Total liabilities8049814999Total liabilities and net position804981

Federal Family Education Loan Liquidating Account

Enacted/requested

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.Program and Financing(in millions of dollars)Identification code 91–0230–0–1–5022011 actual2012 est.2013 est.Obligations by program activity:0101Interest benefits, net of origination fees3330103Default claims6759540104Death, disability, and bankruptcy claims1211100105Contract collection costs3126220191Subtotal, Stafford loans11399890201Default claims81090202Death, disability, and bankruptcy claims5440205Contract collection costs7540291Subtotal, PLUS/SLS loans2019170900Total new obligations133118106Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 1562361021Recoveries of prior year unpaid obligations51022Capital transfer of unobligated balances to general fund–56–2361050Unobligated balance (total)5Budget authority:Spending authority from offsetting collections, mandatory:1800Collected6335284411820Capital transfer of spending authority from offsetting collections to general fund–269–410–3351850Spending auth from offsetting collections, mand (total)3641181061900Budget authority (total)3641181061930Total budgetary resources available369118106Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year236Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)2421213030Obligations incurred, unexpired accounts1331181063040Outlays (gross)–131–118–1063080Recoveries of prior year unpaid obligations, unexpired–5Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)2121213100Obligated balance, end of year (net)212121Budget authority and outlays, net:Mandatory:4090Budget authority, gross364118106Outlays, gross:4100Outlays from new mandatory authority131981064101Outlays from mandatory balances204110Outlays, gross (total)131118106Offsets against gross budget authority and outlays:Offsetting collections (collected) from:4123Fed collections on defaulted loans, stafford–94–146–1224123Fed collections on bankruptcies, Stafford–2–3–24123Offsets against Federal tax refunds, Stafford–256–157–1314123Reimbursements from guaranty agencies, Stafford–147–110–924123Other collections, Stafford–30–32–274123Federal collections on defaulted loans, PLUS/SLS–61–44–374123Federal collections on bankruptcies, PLUS/SLS–1–1–14123Offsets against Federal tax refunds, PLUS/SLS–20–12–104123Reimbursements from guaranty agencies, PLUS/SLS–22–23–194130Offsets against gross budget authority and outlays (total)–633–528–4414160Budget authority, net (mandatory)–269–410–3354170Outlays, net (mandatory)–502–410–3354180Budget authority, net (total)–269–410–3354190Outlays, net (total)–502–410–335

Status of Guaranteed Loans(in millions of dollars)Identification code 91–0230–0–1–5022011 actual2012 est.2013 est.STAFFORD LOANSCumulative balance of guaranteed loans outstanding:2210Outstanding, start of year7676926212251Repayments and prepayments–22–16–13Adjustments:2261Terminations for default that result in loans receivable–79–44–402263Terminations for default that result in claim payments–12–11–102264Other adjustments, net382290Outstanding, end of year692621558Memorandum:2299Guaranteed amount of guaranteed loans outstanding, end of year672602530Addendum:Cumulative balance of defaulted guaranteed loans that result in loans receivable:2310Outstanding, start of year5,7675,3755,1632331Disbursements for guaranteed loan claims7944402351Repayments of loans receivable–297–217–1812361Write-offs of loans receivable–12–11–112364Other adjustments, net–162–28–232390Outstanding, end of year5,3755,1634,988PLUS/SLS LOANSCumulative balance of guaranteed loans outstanding:2210Outstanding, start of year10290792251Repayments and prepayments–3–3–2Adjustments:2261Terminations for default that result in loans receivable–13–4–32263Terminations for default that result in claim payments–5–4–42264Other adjustments, net92290Outstanding, end of year907970Memorandum:2299Guaranteed amount of guaranteed loans outstanding, end of year877767Addendum:Cumulative balance of defaulted guaranteed loans that result in loans receivable:2310Outstanding, start of year9158538122331Disbursements for guaranteed loan claims13432351Repayments of loans receivable–44–36–302361Write-offs of loans receivable–5–5–42364Other adjustments, net–26–4–42390Outstanding, end of year853812777

Balance Sheet(in millions of dollars)Identification code 91–0230–0–1–5022010 actual2011 actualASSETS:1101Federal assets: Fund balances with Treasury802561701Defaulted guaranteed loans, gross6,6826,2281702Interest receivable2234,0341703Allowance for estimated uncollectible loans and interest (-)–4,511–6,5871799Value of assets related to loan guarantees2,3943,6751999Total assets2,4743,931LIABILITIES:2104Federal liabilities: Resources payable to Treasury2,3993,886Non-Federal liabilities:2201Accounts payable342204Liabilities for loan guarantees72412999Total liabilities2,4743,9314999Total liabilities and net position2,4743,931

Object Classification(in millions of dollars)Identification code 91–0230–0–1–5022011 actual2012 est.2013 est.Direct obligations:33.0Investments and loans1131009041.0Grants, subsidies, and contributions33242.0Insurance claims and indemnities17151499.9Total new obligations133118106

Federal Perkins Loan Program Account

Enacted/requested

Legislative proposal, subject to PAYGO

Summary of Loan Levels, Subsidy Budget Authority and Outlays by Program(in millions of dollars)Identification code 91–0217–4–1–5022011 actual2012 est.2013 est.Direct loan levels supportable by subsidy budget authority:115001Federal Perkins Loans4,737115999Total direct loan levels4,737Direct loan subsidy (in percent):132001Federal Perkins Loans–29.10132999Weighted average subsidy rate–29.10Direct loan subsidy budget authority:133001Federal Perkins Loans–1,379133999Total subsidy budget authority–1,379Direct loan subsidy outlays:134001Federal Perkins Loans–648134999Total subsidy outlays–648

Federal Perkins Loan Financing Account

Enacted/requested

Legislative proposal, subject to PAYGO

Program and Financing(in millions of dollars)Identification code 91–4574–4–3–5022011 actual2012 est.2013 est.Obligations by program activity:Credit program obligations:0710Direct loan obligations4,7370713Payment of interest to Treasury540740Negative subsidy obligations1,3790900Total new obligations6,170Budgetary Resources:Financing authority:Borrowing authority, mandatory:1400Borrowing authority6,1471440Borrowing authority, mandatory (total)6,147Spending authority from offsetting collections, mandatory:1800Collected231850Spending auth from offsetting collections, mand (total)231900Financing authority(total)6,1701930Total budgetary resources available6,170Change in obligated balance:3030Obligations incurred, unexpired accounts6,1703040Financing disbursements (gross)–2,928Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)3,2423100Obligated balance, end of year (net)3,242Financing authority and disbursements, net:Mandatory:4090Financing authority, gross6,170Financing disbursements:4110Financing disbursements, gross2,928Offsets against gross financing authority and disbursements:Offsetting collections (collected) from:4123Payment of principal–14123Origination fees–224130Offsets against gross financing auth and disbursements (total)–234160Financing authority, net (mandatory)6,1474170Financing disbursements, net (mandatory)2,9054180Financing authority, net (total)6,1474190Financing disbursements, net (total)2,905

Status of Direct Loans(in millions of dollars)Identification code 91–4574–4–3–5022011 actual2012 est.2013 est.Position with respect to appropriations act limitation on obligations:1111Limitation on direct loans4,7371150Total direct loan obligations4,737Cumulative balance of direct loans outstanding:1210Outstanding, start of year1231Disbursements: Direct loan disbursements2,2261251Repayments: Repayments and prepayments–11261Adjustments: Capitalized interest1264Write-offs for default: Other adjustments, net (+ or -)1290Outstanding, end of year2,225

Health Education Assistance Loans Program Account

Enacted/requested

Consistent with the 2012 President's Budget, in 2013, the Health Education Assistance Loan (HEAL) program will be transferred to the Department of Education from the Department of Health and Human Services. The Department of Education will assume responsibility for the program and the authority to administer, service, collect, and enforce the program as well as the functions, assets, and liabilities of the Secretary of Health and Human Services will be permanently transferred to the Secretary of Education.

Health Education Assistance Loans Financing Account

Enacted/requested

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 the Health Education Assistance Loan 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)Identification code 91–4300–0–3–5522011 actual2012 est.2013 est.Obligations by program activity:Credit program obligations:0711Default claim payments on principal130900Total new obligations13Budgetary Resources:Unobligated balance:1011Unobligated balance transfer from other accts [75–4304]521050Unobligated balance (total)52Financing authority:Spending authority from offsetting collections, mandatory:1800Collected61850Spending auth from offsetting collections, mand (total)61930Total budgetary resources available58Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year45Change in obligated balance:3030Obligations incurred, unexpired accounts133040Financing disbursements (gross)–12Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)13100Obligated balance, end of year (net)1Financing authority and disbursements, net:Mandatory:4090Financing authority, gross6Financing disbursements:4110Financing disbursements, gross12Offsets against gross financing authority and disbursements:Offsetting collections (collected) from:4122Interest on uninvested funds–34123Non-Federal sources–34130Offsets against gross financing auth and disbursements (total)–64170Financing disbursements, net (mandatory)64190Financing disbursements, net (total)6

Status of Guaranteed Loans(in millions of dollars)Identification code 91–4300–0–3–5522011 actual2012 est.2013 est.Position with respect to appropriations act limitation on commitments:2143Uncommitted limitation carried forward2150Total guaranteed loan commitmentsCumulative balance of guaranteed loans outstanding:2210Outstanding, start of year2251Repayments and prepayments–15Adjustments:2261Terminations for default that result in loans receivable–92263Terminations for default that result in claim payments–42264Other adjustments, net4992290Outstanding, end of year471Memorandum:2299Guaranteed amount of guaranteed loans outstanding, end of year471Addendum:Cumulative balance of defaulted guaranteed loans that result in loans receivable:2310Outstanding, start of year2331Disbursements for guaranteed loan claims92351Repayments and prepayments–32361Write-offs of loans receivable2364Other adjustments, net1812390Outstanding, end of year187

Health Education Assistance Loans Liquidating Account

Enacted/requested

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 HEAL loans committed prior to 1992. This account is shown on a cash basis. All loan activity in this program for 1992 and beyond is recorded in corresponding program and financing accounts.Program and Financing(in millions of dollars)Identification code 91–4299–0–3–5522011 actual2012 est.2013 est.Obligations by program activity:Credit program obligations:0713Payment of interest to Treasury2Budgetary Resources:Budget authority:Appropriations, mandatory:1200Appropriation11260Appropriations, mandatory (total)1Spending authority from offsetting collections, mandatory:1800Collected101820Capital transfer of spending authority from offsetting collections to general fund–91850Spending auth from offsetting collections, mand (total)11900Budget authority (total)21930Total budgetary resources available2Change in obligated balance:3030Obligations incurred, unexpired accounts23040Outlays (gross)–2Budget authority and outlays, net:Mandatory:4090Budget authority, gross2Outlays, gross:4100Outlays from new mandatory authority2Offsets against gross budget authority and outlays:Offsetting collections (collected) from:4123Non-Federal sources–104180Budget authority, net (total)–84190Outlays, net (total)–8

Status of Guaranteed Loans(in millions of dollars)Identification code 91–4299–0–3–5522011 actual2012 est.2013 est.Cumulative balance of guaranteed loans outstanding:2210Outstanding, start of year2251Repayments and prepayments–10Adjustments:2261Terminations for default that result in loans receivable–12264Other adjustments, net692290Outstanding, end of year58Memorandum:2299Guaranteed amount of guaranteed loans outstanding, end of year58Addendum:Cumulative balance of defaulted guaranteed loans that result in loans receivable:2310Outstanding, start of year2331Disbursements for guaranteed loan claims12351Repayments of loans receivable–82361Write-offs of loans receivable–212364Other adjustments, net3462390Outstanding, end of year318

Object Classification(in millions of dollars)Identification code 91–4299–0–3–5522011 actual2012 est.2013 est.Direct obligations:33.0Investments and loans142.0Insurance claims and indemnities199.9Total new obligations2

Institute of Education Sciences

Federal Funds

Institute of Education Sciences

Enacted/requested

Institute of 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, $594,788,000 $621,150,000, which shall remain available through September 30, 2013 2014: Provided, That funds available to carry out section 208 of the Educational Technical Assistance Act may be used to link Statewide elementary and secondary data systems with early childhood, postsecondary, and workforce data systems, or to further develop such systems: Provided further, That up to $11,000,000 $26,000,000 of the funds available to carry out section 208 of the Educational Technical Assistance Act may be used for awards to public or private organizations or agencies to support activities to improve data coordination, quality, and use at the local, State, and national levels.(Department of Education Appropriations Act, 2012.)

Research and Statistics:

Research, development, and dissemination

Funds support a diverse portfolio of investigator-led research and development, evaluation studies, research and development centers, and dissemination activities that provide parents, teachers, and schools with evidence-based information on effective educational practice. Funds requested in 2013 would be used to expand research and evaluation efforts on topics in early childhood, elementary, secondary, and postsecondary education.

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. The 2013 request would allow NCES to continue its on-going portfolio of activities, including collecting and reporting information on sub-baccalaureate education and training for adults, as well as to obtain State-level Program for International Student Assessment (PISA) data.

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.

Assessment

Funds support the National Assessment of Educational Progress (NAEP) and the National Assessment Governing Board (NAGB). NAEP administers assessments to samples of students in order to gather reliable information about educational attainment in important academic areas. NAGB is responsible for formulating NAEP policy. The request for 2013 would support the 2013 national and State reading and math assessments at grades 4, 8, and 12, as well as assessments in certain large urban districts, and preparation for future assessments.

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. In 2013, funding would support systems that include early childhood, postsecondary, and workforce information; awards to public and private agencies to improve data coordination, quality, and use at the local, State, and national levels; and a special postsecondary and workforce initiative designed to improve the quality of information on students as they move from high school into postsecondary education and training, and then into the workforce.

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.

Program and Financing(in millions of dollars)Identification code 91–1100–0–1–5032011 actual2012 est.2013 est.Obligations by program activity:0001Research, development, and dissemination2001902020002Statistics1101131150003Regional educational laboratories2971710004National Assessment1301351250005National Assessment Governing Board9980006Research in special education6050500007Statewide data systems2963530008Special education studies and evaluations1111110100Total direct program5786426350799Total direct obligations5786426350801Reimbursable program2220900Total new obligations580644637Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 12362131021Recoveries of prior year unpaid obligations71050Unobligated balance (total)306213Budget authority:Appropriations, discretionary:1100Appropriation6105956221130Appropriations permanently reduced–11143Approp permanently reduced (Sec 527, HR 2055)–11160Appropriation, discretionary (total)609594622Spending authority from offsetting collections, discretionary:1700Collected2121701Change in uncollected payments, Federal sources11750Spending auth from offsetting collections, disc (total)3121900Budget authority (total)6125956241930Total budgetary resources available642657637Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year6213Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)1,2401,1201,0253010Uncollected pymts, Fed sources, brought forward, Oct 1–1–2–23020Obligated balance, start of year (net)1,2391,1181,0233030Obligations incurred, unexpired accounts5806446373031Obligations incurred, expired accounts13040Outlays (gross)–688–739–5523050Change in uncollected pymts, Fed sources, unexpired–13080Recoveries of prior year unpaid obligations, unexpired–73081Recoveries of prior year unpaid obligations, expired–6Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)1,1201,0251,1103091Uncollected pymts, Fed sources, end of year–2–2–23100Obligated balance, end of year (net)1,1181,0231,108Budget authority and outlays, net:Discretionary:4000Budget authority, gross612595624Outlays, gross:4010Outlays from new discretionary authority12049514011Outlays from discretionary balances5686905014020Outlays, gross (total)688739552Offsets against gross budget authority and outlays:Offsetting collections (collected) from:4030Federal sources–1–1–24033Non-Federal sources–14040Offsets against gross budget authority and outlays (total)–2–1–2Additional offsets against gross budget authority only:4050Change in uncollected pymts, Fed sources, unexpired–14070Budget authority, net (discretionary)6095946224080Outlays, net (discretionary)6867385504180Budget authority, net (total)6095946224190Outlays, net (total)686738550

Object Classification(in millions of dollars)Identification code 91–1100–0–1–5032011 actual2012 est.2013 est.Direct obligations:Personnel compensation:11.1Full-time permanent11111.3Other than full-time permanent1111.9Total personnel compensation12225.1Advisory and assistance services24333225.2Other services from non-Federal sources26024024325.5Research and development contracts12410910625.7Operation and maintenance of equipment1141.0Grants, subsidies, and contributions16725625099.0Direct obligations57664163499.0Reimbursable obligations22299.5Below reporting threshold21199.9Total new obligations580644637

Employment SummaryIdentification code 91–1100–0–1–5032011 actual2012 est.2013 est.1001Direct civilian full-time equivalent employment141515

Departmental Management

Federal Funds

Program Administration

Enacted/requested

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, $447,104,000 $463,815,000, of which $2,211,000, to remain available until expended, shall be for relocation of, and renovation of buildings occupied by, Department staff.(Department of Education Appropriations Act, 2012.)

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; 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 and Historically Black Colleges and Universities. 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.

Special and Trust Fund Receipts(in millions of dollars)Identification code 91–0800–0–1–5032011 actual2012 est.2013 est.0100Balance, start of yearReceipts:0220Contributions10400Total: Balances and collections1Appropriations:0500Program Administration–10799Balance, end of year

Program and Financing(in millions of dollars)Identification code 91–0800–0–1–5032011 actual2012 est.2013 est.Obligations by program activity:0001Program administration4564464640801Reimbursable program3440900Total new obligations459450468Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 12321021Recoveries of prior year unpaid obligations11050Unobligated balance (total)332Budget authority:Appropriations, discretionary:1100Appropriation4564474641130Appropriations permanently reduced–11143Approp permanently reduced (Sec 527, HR 2055)–11160Appropriation, discretionary (total)455446464Appropriations, mandatory:1201Appropriation (special or trust fund)11260Appropriations, mandatory (total)1Spending authority from offsetting collections, discretionary:1700Collected2331701Change in uncollected payments, Federal sources11750Spending auth from offsetting collections, disc (total)3331900Budget authority (total)4594494671930Total budgetary resources available462452469Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year321Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)1481391303010Uncollected pymts, Fed sources, brought forward, Oct 1–1–1–13020Obligated balance, start of year (net)1471381293030Obligations incurred, unexpired accounts4594504683031Obligations incurred, expired accounts33040Outlays (gross)–460–459–4553050Change in uncollected pymts, Fed sources, unexpired–13051Change in uncollected pymts, Fed sources, expired13080Recoveries of prior year unpaid obligations, unexpired–13081Recoveries of prior year unpaid obligations, expired–10Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)1391301433091Uncollected pymts, Fed sources, end of year–1–1–13100Obligated balance, end of year (net)138129142Budget authority and outlays, net:Discretionary:4000Budget authority, gross458449467Outlays, gross:4010Outlays from new discretionary authority3593553634011Outlays from discretionary balances98103924020Outlays, gross (total)457458455Offsets against gross budget authority and outlays:Offsetting collections (collected) from:4030Federal sources–3–3–3Additional offsets against gross budget authority only:4050Change in uncollected pymts, Fed sources, unexpired–14052Offsetting collections credited to expired accounts14070Budget authority, net (discretionary)4554464644080Outlays, net (discretionary)454455452Mandatory:4090Budget authority, gross1Outlays, gross:4100Outlays from new mandatory authority14101Outlays from mandatory balances214110Outlays, gross (total)314180Budget authority, net (total)4564464644190Outlays, net (total)457456452

Object Classification(in millions of dollars)Identification code 91–0800–0–1–5032011 actual2012 est.2013 est.Direct obligations:Personnel compensation:11.1Full-time permanent19920921111.3Other than full-time permanent29141411.5Other personnel compensation43311.9Total personnel compensation23222622812.1Civilian personnel benefits63606113.0Benefits for former personnel2321.0Travel and transportation of persons65523.1Rental payments to GSA42424423.3Communications, utilities, and miscellaneous charges2324.0Printing and reproduction21125.1Advisory and assistance services33325.2Other services from non-Federal sources16181825.3Other goods and services from Federal sources27252825.7Operation and maintenance of equipment52587026.0Supplies and materials11131.0Equipment41132.0Land and structures51199.0Direct obligations45544646499.0Reimbursable obligations34499.5Below reporting threshold199.9Total new obligations459450468

Employment SummaryIdentification code 91–0800–0–1–5032011 actual2012 est.2013 est.1001Direct civilian full-time equivalent employment2,1282,0742,064

Office for Civil Rights

Enacted/requested

Office for Civil Rights

For expenses necessary for the Office for Civil Rights, as authorized by section 203 of the Department of Education Organization Act, $102,818,000 $105,318,000.(Department of Education Appropriations Act, 2012.)

The Office for Civil Rights is responsible for ensuring that no person is unlawfully discriminated against on the basis of race, color, national origin, sex, disability, or age in the delivery of services or the provision of benefits in programs or activities of schools and institutions receiving financial assistance from the Department of Education. The authorities under which the Office for Civil Rights operates are Title VI of the Civil Rights Act of 1964 (racial and ethnic discrimination), Title IX of the Education Amendments of 1972 (sex discrimination), section 504 of the Rehabilitation Act of 1973 (discrimination against individuals with a disability), the Age Discrimination Act of 1975, the Americans with Disabilities Act of 1990, and the Boy Scouts of America Equal Access Act of 2002.Program and Financing(in millions of dollars)Identification code 91–0700–0–1–7512011 actual2012 est.2013 est.Obligations by program activity:0001Civil rights103103105Budgetary Resources:Budget authority:Appropriations, discretionary:1100Appropriation1031031051160Appropriation, discretionary (total)1031031051930Total budgetary resources available103103105Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)2018193030Obligations incurred, unexpired accounts1031031053040Outlays (gross)–104–102–1033081Recoveries of prior year unpaid obligations, expired–1Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)1819213100Obligated balance, end of year (net)181921Budget authority and outlays, net:Discretionary:4000Budget authority, gross103103105Outlays, gross:4010Outlays from new discretionary authority9188894011Outlays from discretionary balances1314144020Outlays, gross (total)1041021034180Budget authority, net (total)1031031054190Outlays, net (total)104102103

Object Classification(in millions of dollars)Identification code 91–0700–0–1–7512011 actual2012 est.2013 est.Direct obligations:Personnel compensation:11.1Full-time permanent59595911.3Other than full-time permanent33311.5Other personnel compensation11111.9Total personnel compensation63636312.1Civilian personnel benefits17171721.0Travel and transportation of persons11123.1Rental payments to GSA98825.2Other services from non-Federal sources11125.3Other goods and services from Federal sources33325.7Operation and maintenance of equipment9101299.9Total new obligations103103105

Employment SummaryIdentification code 91–0700–0–1–7512011 actual2012 est.2013 est.1001Direct civilian full-time equivalent employment619603598

Office of the Inspector General

Enacted/requested

Office of the Inspector General

For expenses necessary for the Office of the Inspector General, as authorized by section 212 of the Department of Education Organization Act, $59,933,000 $62,401,000. (Department of Education Appropriations Act, 2012.)

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. Program and Financing(in millions of dollars)Identification code 91–1400–0–1–7512011 actual2012 est.2013 est.Obligations by program activity:0001Inspector General666562Budgetary Resources:Unobligated balance:1000Unobligated balance brought forward, Oct 1115Budget authority:Appropriations, discretionary:1100Appropriation6060621160Appropriation, discretionary (total)6060621930Total budgetary resources available716562Memorandum (non-add) entries:1941Unexpired unobligated balance, end of year5Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)1313203030Obligations incurred, unexpired accounts6665623040Outlays (gross)–65–58–603081Recoveries of prior year unpaid obligations, expired–1Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)1320223100Obligated balance, end of year (net)132022Budget authority and outlays, net:Discretionary:4000Budget authority, gross606062Outlays, gross:4010Outlays from new discretionary authority4947494011Outlays from discretionary balances1611114020Outlays, gross (total)6558604180Budget authority, net (total)6060624190Outlays, net (total)655860

Object Classification(in millions of dollars)Identification code 91–1400–0–1–7512011 actual2012 est.2013 est.Direct obligations:Personnel compensation:11.1Full-time permanent30292811.3Other than full-time permanent23111.5Other personnel compensation311.9Total personnel compensation35322912.1Civilian personnel benefits10111021.0Travel and transportation of persons22223.1Rental payments to GSA56625.1Advisory and assistance services41125.2Other services from non-Federal sources24425.3Other goods and services from Federal sources22225.7Operation and maintenance of equipment55531.0Equipment1132.0Land and structures1199.0Direct obligations66646199.5Below reporting threshold1199.9Total new obligations666562

Employment SummaryIdentification code 91–1400–0–1–7512011 actual2012 est.2013 est.1001Direct civilian full-time equivalent employment324295277

American Jobs Act

Enacted/requested

Legislative proposal, subject to PAYGO

School modernization

Funds would provide formula grants to States and school districts for the modernization, renovation, and repair of elementary and secondary school buildings. A portion ($5 billion) of the funds would be provided to States to modernize community colleges (including tribal colleges).

Teacher stabilization

Funds would support formula grants to States to retain, rehire, and hire early childhood, elementary, and secondary educators, including teachers, guidance counselors, classroom assistants, after-school personnel, tutors, and literacy and math coaches.

Strengthening the teaching profession

Funds would support reforms at each stage of the teaching profession.

Career academies

Funds would support grants to increase the number of students served by career academies.

Community College Initiative

Provides $8 billion to the Departments of Education and Labor to support State and community college partnerships with businesses to build the skills of American workers.

Program and Financing(in millions of dollars)Identification code 91–0702–4–1–5012011 actual2012 est.2013 est.Obligations by program activity:0001School modernization30,0000002Teacher stabilization25,0000003Strengthening the teaching profession5,0000004Career academies2000005Community College Initiative1,3331,3330900Total new obligations (object class 41.0)61,3331,533Budgetary Resources:Budget authority:Appropriations, mandatory:1200Appropriation61,3331,5331260Appropriations, mandatory (total)61,3331,5331930Total budgetary resources available61,3331,533Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)30,8163030Obligations incurred, unexpired accounts61,3331,5333040Outlays (gross)–30,517–19,577Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)30,81612,7723100Obligated balance, end of year (net)30,81612,772Budget authority and outlays, net:Mandatory:4090Budget authority, gross61,3331,533Outlays, gross:4100Outlays from new mandatory authority30,5172774101Outlays from mandatory balances19,3004110Outlays, gross (total)30,51719,5774180Budget authority, net (total)61,3331,5334190Outlays, net (total)30,51719,577

Hurricane Education Recovery

Federal Funds

Hurricane Education Recovery

Enacted/requested

Amounts in this schedule reflect balances that are spending out from prior-year appropriations.Program and Financing(in millions of dollars)Identification code 91–0013–0–1–5002011 actual2012 est.2013 est.Change in obligated balance:Obligated balance, start of year (net):3000Unpaid obligations, brought forward, Oct 1 (gross)92243040Outlays (gross)–28–243081Recoveries of prior year unpaid obligations, expired–40Obligated balance, end of year (net):3090Unpaid obligations, end of year (gross)243100Obligated balance, end of year (net)24Budget authority and outlays, net:Discretionary:Outlays, gross:4011Outlays from discretionary balances28244190Outlays, net (total)2824

No Fund Title

GENERAL FUND RECEIPT ACCOUNTS

Enacted/requested

(in millions of dollars)2011 actual2012 est.2013 est.Offsetting receipts from the public:91–143500General Fund Proprietary Interest Receipts, not Otherwise Classified30202091–271810Federal Family Education Loan Program, Negative Subsidies713Legislative proposal, subject to PAYGO3,39091–271830Federal Family Education Loan Program, Downward Reestimates of Subsidies24,67016,10991–274130College Housing and Academic Facilities Loan, Downward Reestimates of Subsidies232091–278110Federal Direct Student Loan Program, Negative Subsidies17,03126,65630,596Legislative proposal, subject to PAYGO–1,820–1,88791–278130Federal Direct Student Loan Program, Downward Reestimates of Subsidies8,4711,35191–278310Federal Perkins Loan, Negative Subsidies64891–279430TEACH Grant Program, Downward Reestimates of Subsidies691–291500Repayment of Loans, Capital Contributions, Higher Education Activities19282891–322000All Other General Fund Proprietary Receipts Including Budget Clearing Accounts504747General Fund Offsetting receipts from the public50,30043,12432,842Intragovernmental payments:91–388500Undistributed Intragovernmental Payments and Receivables from Cancelled Accounts–1044General Fund Intragovernmental payments–1044

GENERAL PROVISIONS

Enacted/requested

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.

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.

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)

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 not be used to create any new program or to fund any project or 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.

305 The Outlying Areas may consolidate funds received under this Act, pursuant to 48 U.S.C. 1469a, under part A of title V of the ESEA.

306 Section 105(f)(1)(B)(ix) of the Compact of Free Association Amendments Act of 2003 (48 U.S.C. 1921d(f)(1)(B)(ix)) shall be applied by substituting "2012'' "2013" for "2009''.

307a Notwithstanding any other provision of law, the Secretary is authorized to modify the terms and conditions of gulf hurricane disaster loans to affected institutions pursuant to section 2601 of Public Law 109–234 using the authority provided herein, on such terms as the Secretary, the Secretary of the Treasury, and the Director of the Office of Management and Budget jointly determine are in the best interests of both the United States and the borrowers, and necessary to mitigate the economic effects of Hurricanes Katrina and Rita. Any modification under this section shall not result in any net cost to the Federal Government, as jointly determined by the Secretary, the Secretary of the Treasury, and the Director of the Office of Management and Budget, beginning on the date on which the Secretary modifies a loan under this section.bFederal Register Notice.—The Secretary, the Secretary of the Treasury, and the Director of the Office of Management and Budget, shall jointly publish a notice in the Federal Register prior to any modification of loans under paragraph (a) that—1 establishes the terms and conditions governing the modifications authorized by paragraph (a);2 includes an outline of the methodology and factors that the Secretary, the Secretary of the Treasury, and the Director of the Office of Management and Budget, will jointly consider in evaluating the modification of the loans made under this title; and3 describes how the use of such methodology and consideration of such factors used to determine the modifications will ensure that loan modifications do not result in any net cost to the Federal Government.cFees.—An affected institution that receives a modification to its disaster loan pursuant to section 2601 of Public Law 109–234 shall pay a fee to the Secretary which shall be credited to the HBCU Hurricane Supplemental Loan Program. Such fees shall remain available without fiscal year limitation to pay the modification costs. The amount of the fee paid shall be equal to the modification cost as jointly determined by the Secretary, the Secretary of the Treasury, and the Director of the Office of Management and Budget, calculated in accordance with section 502 of the Federal Credit Reform Act of 1990, as amended, of such loan.

308 Section 14006(c)(2) of division A of the American Recovery and Reinvestment Act of 2009 (as amended by section 1832(b) of division B of Public Law 112–10) is amended by inserting before the period, "except that such a State may use its grant funds to make subgrants to public or private agencies and organizations for activities consistent with the purposes of the grant''.

309aFederal Pell Grant Eligibility.—1Minimum level.—Section 401(b)(4) of the HEA (20 U.S.C. 1070a(b)(4)) is amended by striking ", except that'' and all that follows and inserting a period.2Duration of award period.—Section 401(c)(5) of the HEA (20 U.S.C. 1070a(c)(5)) is amended—A by striking "18'' each place it appears and inserting "12''; andB by striking the last sentence.bZero Expected Family Contribution.—Section 479(c) of the HEA (20 U.S.C. 1087ss(c)) is amended—1 in paragraph (1)(B), by striking "$30,000'' and inserting "$23,000''; and2 in paragraph (2)(B), by striking "$30,000'' and inserting "$23,000''.cStudents Who Are Not High School Graduates.—1Amendment.—Section 484(d) of the HEA (20 U.S.C. 1091(d)) is amended—A in the matter preceding paragraph (1), by striking "meet one of the following standards:'';B by striking paragraphs (1), (2), and (4); andC in paragraph (3), by striking "(3) The student has'' and inserting "have''; and2Transition.—The amendment made by paragraph (1) shall apply to students who first enroll in a program of study on or after July 1, 2012.3Conforming change.—Section 101(a)(1) of the HEA (20 U.S.C. 1001(a)(1) is amended by striking "section 484(d)(3)'' and inserting "section 484(d)''.dTemporary Elimination of Interest Subsidy During Student Loan Grace Period.—1 Section 428(a)(3)(A)(i)(I) of the HEA (20 U.S.C. 1078(a)(3)(A)(i)(I)) is amended to read as follows:

"(I) which accrues prior to the date the student ceases to carry at least one-half the normal full-time academic workload (as determined by the institution), or''.

2 The amendment made by paragraph (1) shall apply to new Federal Direct Stafford Loans made on or after July 1, 2012 and before July 1, 2014.eRevised Special Allowance Calculation.—1Revised calculation rule.—Section 438(b)(2)(I) of the HEA (20 U.S.C. 1087–1(b)(2)(I)) is amended by adding at the end the following:

"(vii)Revised calculation rule to reflect financial market conditions.—"(I)Calculation based on libor.—For the calendar quarter beginning on April 1, 2012 and each subsequent calendar quarter, in computing the special allowance paid pursuant to this subsection with respect to loans described in subclause (II), clause (i)(I) of this subparagraph shall be applied by substituting 'of the 1-month London Inter Bank Offered Rate (LIBOR) for United States dollars in effect for each of the days in such quarter as compiled and released by the British Bankers Association' for 'of the quotes of the 3-month commercial paper (financial) rates in effect for each of the days in such quarter as reported by the Federal Reserve in Publication H-15 (or its successor) for such 3-month period'."(II)Loans eligible for libor-based calculation.—The special allowance paid pursuant to this subsection shall be calculated as described in subclause (I) with respect to special allowance payments for the 3-month period ending June 30, 2012, and each succeeding 3-month period, on loans for which the first disbursement is made on or after January 1, 2000, and before July 1, 2010, if, not later than April 1, 2012, the holder of the loan (or, if the holder acts as eligible lender trustee for the beneficial owner of the loan, the beneficial owner of the loan), affirmatively and permanently waives all contractual, statutory, or other legal rights to a special allowance paid pursuant to this subsection that is calculated using the formula in effect at the time the loans were first disbursed."(III)Terms of waiver.—"(aa)In general.—A waiver pursuant to subclause (II) shall be in a form (printed or electronic) prescribed by the Secretary, and shall be applicable to—"(AA) all loans described in such subclause that the lender holds solely in its own right under any lender identification number associated with the holder (pursuant to section 487B);"(BB) all loans described in such subclause for which the beneficial owner has the authority to make an election of a waiver under such subclause, regardless of the lender identification number associated with the loan or the lender that holds the loan as eligible lender trustee on behalf of such beneficial owner; and"(CC) all future calculations of the special allowance on loans that, on the date of such waiver, are loans described in subitem (AA) or (BB), or that, after such date, become loans described in subitem (AA) or (BB)."(bb)Exceptions.—Any waiver pursuant to subclause (II) that is elected for loans described in subitem (AA) or (BB) of item (aa) shall not apply to any loan described in such subitem for which the lender or beneficial owner of the loan demonstrates to the satisfaction of the Secretary that—"(AA) in accordance with an agreement entered into before the date of enactment of this section by which such lender or owner is governed and that applies to such loans, such lender or owner is not legally permitted to make an election of such waiver with respect to such loans without the approval of one or more third parties with an interest in the loans, and that the lender or owner followed all available options under such agreement to obtain such approval, and was unable to do so; or"(BB) such lender or beneficial owner presented the proposal of electing such a waiver applicable to such loans associated with an obligation rated by a nationally recognized statistical rating organization (as defined in section 3(a)(62) of the Securities Exchange Act of 1934), and such rating organization provided a written opinion that the agency would downgrade the rating applicable to such obligation if the lender or owner elected such a waiver.''.

2Conforming amendments.—Section 438(b)(2)(I) of the HEA (20 U.S.C. 1087–1(b)(2)(I)) is further amended—A in clause (i)(II), by striking "such average bond equivalent rate'' and inserting "the rate determined under subclause (I) (in accordance with clause (vii))''; andB in clause (v)(III), by striking "(iv), and (vi)'' and inserting "(iv), (vi), and (vii)''.fReappropriation of Mandatory Savings.—Section 401(b)(7)(A)(iv) of the HEA (20 U.S.C. 1070a(b)(7)(A)(iv)) is amended to read as follows:

"(iv) to carry out this section—"(I) $13,500,000,000 for fiscal year 2011;"(II) $13,795,000,000 for fiscal year 2012;"(III) $7,587,000,000 for fiscal year 2013;"(IV) $588,000,000 for fiscal year 2014;"(V) $0 for fiscal year 2015;"(VI) $0 for fiscal year 2016;"(VII) $1,574,000,000 for fiscal year 2017;"(VIII) $1,382,000,000 for fiscal year 2018;"(IX) $1,409,000,000 for fiscal year 2019;"(X) $1,430,000,000 for fiscal year 2020; and"(XI) $1,145,000,000 for fiscal year 2021 and each succeeding fiscal year.''.

gEffective Date.—The amendments made by subsections (a), (b), and (c) shall take effect on July 1, 2012.hInapplicability of Negotiated Rulemaking and Master Calendar Exception.—Sections 482(c) and 492 of the HEA (20 U.S.C. 1089(c), 1098a) shall not apply to the amendments made by this section, or to any regulations promulgated under those amendments.

307

The Secretary may reserve not more than 0.5 percent from each appropriation made available in this Act for the accounts identified in subsection (d), with the exception of the appropriation for subpart 1 of part A of title IV of the Higher Education Act of 1965, in order to carry out evaluations of any of the programs or activities that are funded under such accounts.

Any funds reserved under this section shall be available for obligation through September 30, 2014.

Such funds shall be in addition to any other funds available to the Secretary for evaluation.

The accounts referred to in subsection (a) are: "Accelerating Achievement and Ensuring Equity", "Impact Aid", "Education Improvement Programs", "Supporting Student Success", "Indian Student Education", "Innovation and Instructional Teams", "English Learner Education", "Rehabilitation Services and Disability Research", "Career, Technical, and Adult Education", "Student Financial Assistance", "Student Aid Administration", and "Higher Education."

(Department of Education Appropriations Act, 2012.)