DEPARTMENT OF VETERANS AFFAIRS

Veterans Health Administration

Federal Funds

Medical Services

For necessary expenses for furnishing, as authorized by law, inpatient and outpatient care and treatment to beneficiaries of the Department of Veterans Affairs and veterans described in section 1705(a) of title 38, United States Code, including care and treatment in facilities not under the jurisdiction of the Department, and including medical supplies and equipment, bioengineering services, food services, and salaries and expenses of health care employees hired under title 38, United States Code, aid to State homes as authorized by section 1741 of title 38, United States Code, assistance and support services for caregivers as authorized by section 1720G of title 38, United States Code, and loan repayments authorized by section 604 of the Caregivers and Veterans Omnibus Health Services Act of 2010 (Public Law 111–163; 124 Stat. 1174; 38 U.S.C. 7681 note); $157,500,000, which shall be in addition to funds previously appropriated under this heading that became available on October 1, 2013; and, in addition, $45,015,527,000, plus reimbursements, shall become available on October 1, 2014, and shall remain available until September 30, 2015: Provided, That, of the amount made available on October 1, 2014, under this heading, $1,400,000,000 shall remain available until September 30, 2016: Provided further, That notwithstanding any other provision of law, the Secretary of Veterans Affairs shall establish a priority for the provision of medical treatment for veterans who have service-connected disabilities, lower income, or have special needs: Provided further, That notwithstanding any other provision of law, the Secretary of Veterans Affairs shall give priority funding for the provision of basic medical benefits to veterans in enrollment priority groups 1 through 6: Provided further, That notwithstanding any other provision of law, the Secretary of Veterans Affairs may authorize the dispensing of prescription drugs from Veterans Health Administration facilities to enrolled veterans with privately written prescriptions based on requirements established by the Secretary: Provided further, That the implementation of the program described in the previous proviso shall incur no additional cost to the Department of Veterans Affairs.

Note.—This account receives advance appropriations; a full-year 2013 appropriation for this account was enacted in the Consolidated Appropriations Act, 2012 (P.L. 112–74). The amounts included for 2013 also reflect the annualized level provided by the Continuing Appropriations Resolution, 2013 (P.L. 112–175) as well as amounts from P.L. 113–2, the Disaster Relief Appropriations Act, 2013.

Special and Trust Fund Receipts (in millions of dollars)


Identification code 36–0160–0–1–703 2012 actual 2013 CR 2014 est.

0100 Balance, start of year 233 217 217
Receipts:
0220 Pharmaceutical Co-payments, MCCF 707 724 799
0221 Medical Care Collections Fund, Third Party Prescription Claims 102 100 100
0222 Enhanced-use Lease Proceeds, MCCF 10 2 2
0223 First Party Collections, MCCF 184 188 189
0224 Third Party Collections, MCCF 1,746 1,760 1,778
0225 Third Party Collections, MCCF 129
0226 Parking Fees, MCCF 4 4 4
0227 Compensated Work Therapy, MCCF 59 57 57
0228 MCCF, Long-term Care Copayments 3 4 4
0240 Payments from Compensation and Pension, MCCF 2 2 2
Adjustments:
0290 Adjustment - rounding –3



0299 Total receipts and collections 2,814 2,841 3,064



0400 Total: Balances and collections 3,047 3,058 3,281
Appropriations:
0500 Medical Care Collections Fund –2,830 –2,841 –2,935
0501 Medical Care Collections Fund –129



0599 Total appropriations –2,830 –2,841 –3,064



0799 Balance, end of year 217 217 217

Program and Financing (in millions of dollars)


Identification code 36–0160–0–1–703 2012 actual 2013 CR 2014 est.

Obligations by program activity:
0001 Ambulatory care 19,646 20,164 20,340
0002 Inpatient care 7,672 8,031 8,459
0003 Rehabilitation Care 413 461 514
0004 Mental health care 4,202 4,788 5,431
0005 Long-term care 4,867 5,557 6,415
0006 Prosthetics care 1,768 1,973 2,180
0007 Dental care 474 513 559
0008 CHAMPVA and Other dependent programs 1,233 1,340 1,460
0009 Readjustment counseling 170 189 200



0091 Total operating expenses 40,445 43,016 45,558
0101 Ambulatory care 1,135 782 505
0102 Inpatient care 580 406 260
0103 Rehabilitation care 46 32 20
0104 Mental health care 341 239 153
0105 Long-term care 238 167 107
0106 Prosthetics care 23 16 10
0107 Dental care 41 29 19
0109 Readjustment counseling 7 5 3
0110 Provided by the continuing resolution (P.L. 112–175) 1,409



0191 Total capital investment 2,411 3,085 1,077



0799 Total direct obligations 42,856 46,101 46,635
0801 Reimbursable program 176 287 200



0900 Total new obligations 43,032 46,388 46,835

Budgetary Resources:
Unobligated balance:
1000 Unobligated balance brought forward, Oct 1 1,016 491
Budget authority:
Appropriations, discretionary:
1100 Appropriation 1,400 1,430 1,558
1120 Appropriations transferred to other accts [36–0169] –173
1120 Appropriations transferred to other accts [36–0165] –15 –15 –15
1121 Appropriations transferred from other accts [36–5287] 2,814 2,841 2,935
1121 Appropriations transferred from other accts [36–0152] 56



1160 Appropriation, discretionary (total) 4,082 4,256 4,478
Advance appropriations, discretionary:
1170 Advance appropriation 39,650 41,354 43,557
1173 Advance appropriations permanently reduced –1,400 –1,400



1180 Advanced appropriation, discretionary (total) 38,250 41,354 42,157
Spending authority from offsetting collections, discretionary:
1700 Collected 171 287 200
1701 Change in uncollected payments, Federal sources 4



1750 Spending auth from offsetting collections, disc (total) 175 287 200
1900 Budget authority (total) 42,507 45,897 46,835
1930 Total budgetary resources available 43,523 46,388 46,835
Memorandum (non-add) entries:
1941 Unexpired unobligated balance, end of year 491

Change in obligated balance:
Unpaid obligations:
3000 Unpaid obligations, brought forward, Oct 1 5,151 7,484 10,217
3010 Obligations incurred, unexpired accounts 43,032 46,388 46,835
3011 Obligations incurred, expired accounts –316
3020 Outlays (gross) –40,383 –43,655 –45,922



3050 Unpaid obligations, end of year 7,484 10,217 11,130
Uncollected payments:
3060 Uncollected pymts, Fed sources, brought forward, Oct 1 –12 –7 –7
3070 Change in uncollected pymts, Fed sources, unexpired –4
3071 Change in uncollected pymts, Fed sources, expired 9



3090 Uncollected pymts, Fed sources, end of year –7 –7 –7
Memorandum (non-add) entries:
3100 Obligated balance, start of year 5,139 7,477 10,210
3200 Obligated balance, end of year 7,477 10,210 11,123

Budget authority and outlays, net:
Discretionary:
4000 Budget authority, gross 42,507 45,897 46,835
Outlays, gross:
4010 Outlays from new discretionary authority 35,398 38,690 40,394
4011 Outlays from discretionary balances 4,985 4,965 5,528



4020 Outlays, gross (total) 40,383 43,655 45,922
Offsets against gross budget authority and outlays:
Offsetting collections (collected) from:
4030 Baseline Program [Medical services] –36 –63 –63
4033 Non-Federal sources –148 –224 –137



4040 Offsets against gross budget authority and outlays (total) –184 –287 –200
Additional offsets against gross budget authority only:
4050 Change in uncollected pymts, Fed sources, unexpired –4
4052 Offsetting collections credited to expired accounts 13



4060 Additional offsets against budget authority only (total) 9



4070 Budget authority, net (discretionary) 42,332 45,610 46,635
4080 Outlays, net (discretionary) 40,199 43,368 45,722
4180 Budget authority, net (total) 42,332 45,610 46,635
4190 Outlays, net (total) 40,199 43,368 45,722

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


2012 actual 2013 CR 2014 est.

Enacted/requested:
Budget Authority 42,332 45,610 46,635
Outlays 40,199 43,368 45,722
Legislative proposal, not subject to PAYGO:
Budget Authority 129
Outlays 71
Total:
Budget Authority 42,332 45,610 46,764
Outlays 40,199 43,368 45,793

For 2015, the Budget requests $55.6 billion in advance appropriations for the three medical care appropriations: Medical Services, Medical Support and Compliance, and Medical Facilities. This request for advance appropriations fulfills the Administration's commitment to provide reliable and timely resources to support the delivery of accessible and high-quality medical services for veterans. Advance appropriations require a multi-year approach to budget planning whereby one year builds off the previous year. This funding enables timely and predictable funding for VA's medical care to prevent our Nation's veterans from being adversely affected by budget delays, and provides opportunities to more effectively use resources in a constrained fiscal environment. For example, estimated savings from management improvements to be achieved in 2013, 2014 and 2015 will reduce the requirements for the 2014 and 2015 appropriations.

For 2014, Medical Care appropriations are increased by $157.5 million over the 2014 advance appropriations request of $54.5 billion. Each year, VA updates its budget estimates to incorporate the most recent data on health care utilization rates, actual program experience, and other factors, such as economic trends in unemployment and inflation. As a result of these updates, the adjusted budget estimates more accurately reflect the projected medical demands of veterans enrolled in the VA health care system.

With the resources requested for 2014 and 2015, VA will provide the highest quality health care services for veterans. VA estimates it will treat 6.5 million patients in 2014 and 6.6 million patients in 2015. Operation Enduring Freedom, Operation Iraqi Freedom and Operation New Dawn (OEF/OIF/OND) veterans are expected to reach 674,754 in 2014 (10.4 percent of the total) and 742,146 in 2015 (11.3 percent of the total).

Medical Services._For Medical Services, the Budget reflects the following appropriation funding: the 2013 enacted advance appropriation of $41.4 billion, augmented by supplemental funding (as provided in P.L. 113–2) and the annualized level provided by the continuing resolution (P.L. 112–175) (see Note below); the 2014 advance appropriation request of $43.7 billion; and the 2015 advance appropriation request of $45.0 billion. This appropriation provides for a comprehensive, integrated health care delivery system that addresses the needs of eligible veterans and beneficiaries in VA medical centers, outpatient clinic facilities, contract hospitals, State homes, and outpatient programs on a fee basis. Hospital and outpatient care is also provided by the private sector for certain dependents and survivors of veterans under the Civilian Health and Medical Programs for the Department of Veterans Affairs (CHAMPVA).

Note._The funding level displayed for 2013 shows the enacted advance appropriation augmented by supplemental funding (as provided in P.L. 113–2) and the annualized level provided by the continuing resolution (P.L. 112–175). The annualized level reflects an additional $1,409 million in funding. Most of this additional funding is an unintended result of the mechanism by which Congress rescinded a portion of the enacted 2012 advance appropriation and appropriated the same amount with two-year availability. The rescission does not recur as a term and condition under the continuing resolution, but the appropriation does. The additional funding of $1,409 million is anticipated to be cancelled upon enactment of either a 2013 full-year continuing resolution or regular appropriation.

Medical Care Collections Fund (MCCF)._VA estimates collections of nearly $3.1 billion in 2014 and nearly $3.2 billion in 2015, representing five percent of available resources in both years. VA has the authority to collect inpatient and outpatient co-payments, medication co-payments, and nursing home co-payments; authority for certain income verification; authority to recover third-party insurance payments from veterans for nonservice-connected conditions; and authority to collect revenue from enhanced use leases. These collections also include those collected from the Compensated Work Therapy Program, Compensation and Living Expenses Program, and the Parking Program.

WORKLOAD

Ambulatory care._Obligations for 2014 are estimated to be $20,974 million for this health service category which includes funding for ambulatory care in VA hospital-based and community-based clinics. Contract fee care is provided to eligible beneficiaries when VA facilities are not geographically accessible, services are not available at a particular facility, or when care cannot be provided in a timely manner.
Estimated operating levels are:


Outpatient Visits: 2012 actual 2013 est. 2014 est.

Staff 74,309,650 77,271,844 79,949,871
Fee 12,874,997 13,366,815 13,939,209
Total 87,184,647 90,638,659 93,889,080

Inpatient care._Obligations for 2014 are estimated to be $8,719 million. VA delivers inpatient acute care in its hospitals and through inpatient contract care.
Estimated operating levels are:


2012 actual 2013 est. 2014 est.

Patients Treated 630,952 639,502 644,801

Rehabilitative care._Obligations for 2014 are estimated to be $534 million for the provision of rehabilitative care, including Blind Rehabilitation and Spinal Cord Injury programs. These services include inpatient and outpatient blind and vision rehabilitation programs, adjustment to blindness counseling, patient and family education, and assistive technology. The mission of Spinal Cord Injury and Disorders (SCI/D) Services is to promote the health, independence, quality of life and productivity of individuals with spinal cord injury and disorders through efficient delivery of acute rehabilitation, psychological, social, vocational, medical and surgical care, professional training, as well as patient and family education.
Estimated operating levels are:


2012 actual 2013 est. 2014 est.

Patients treated 16,091 16,465 16,764

Mental health care._Obligations for 2014 are estimated to be $5,584 million for the inpatient, residential, and outpatient care of veterans with conditions related to mental illness, including alcohol and drug problems. Mental health services and operations ensure the availability of a range of services, from treatment of a variety of common mental health conditions in primary care to more intensive interventions in specialty mental health programs for more severe and persisting mental health conditions. Specialty services such as evidence-based psychotherapies, intensive outpatient programs, residential rehabilitation treatment, and inpatient care are available to meet the range of veterans' needs.
Estimated operating levels are:


2012 actual 2013 est. 2014 est.

Average daily census 9,212 9,154 8,994
Outpatient Visits/Encounters 11,556,003 12,023,995 12,467,700

Long-term care._Obligations for 2014 are estimated to be $6,522 million for the care of veteran residents in long-term care programs. VA offers a spectrum of geriatric and extended care services to veterans enrolled in its health care system. The spectrum of long-term care services includes non-institutional and institutional services. All VA medical centers provide home- and community-based long-term care programs. The patient-focused approach supports veterans who wish to live safely at home in their own communities for as long as possible. In addition, veterans receive institutional long-term care through one of four venues: VA Community Living Centers (CLCs); Community Nursing Homes; State Veterans Nursing Homes; and State Veterans Home Domiciliaries.
Estimated operating levels are:


2012 actual 2013 est. 2014 est.

Institutional (ADC) 40,847 41,580 42,466
Non-Institutional Visits/Procedures 11,458,105 13,222,722 14,205,014

Prosthetics care._Obligations for 2014 are estimated to be $2,190 million for veterans. Prosthetic and Sensory Aids Service is an integrated delivery system designed to provide medically prescribed prosthetic and sensory aids, medical devices, assistive aids, repairs and services to eligible disabled veterans to maximize the independence and enhance their quality of life. This includes, but is not limited to, artificial limbs, hearing aids, and home oxygen; items that improve accessibility such as ramps and vehicle modifications, wheelchairs and mobility aids; and devices surgically placed in the veteran, such as stents.

Dental care._Obligations for 2014 are estimated to be $578 million for the treatment of veterans who require dental care. Dental care services are provided to eligible veterans with a "medical condition negatively impacted by poor dentition." These patients may include poorly controlled diabetic patients, patients with head or neck cancer, organ transplant patients and others. Veterans with a 100 percent service-connected disability are eligible for comprehensive dental care as needed. In addition, homeless veterans enrolled in certain residential treatment programs are also eligible for dental treatment.
Estimated operating levels are:


2012 actual 2013 est. 2014 est.

Dental Procedures 4,089,217 4,267,492 4,436,598

Civilian Health and Medical Program of the Department of Veterans Affairs (CHAMPVA) and Other Dependent Programs._Obligations for 2014 are estimated to be $1,460 million for the care of veterans and beneficiaries of these programs. The Veterans Health Care Expansion Act of 1973, Public Law 93–82, authorized VA to provide a health benefits program that shares the cost of medical supplies and services with eligible beneficiaries. The Veterans' Survivor Benefits Improvements Act of 2001, Public Law 107–14, extended CHAMPVA benefits, as a secondary payer to Medicare, to CHAMPVA beneficiaries over age 6. CHAMPVA programs also include Foreign Medical Program (FMP), Spina Bifida Health Care Program, and Children of Women Vietnam Veterans Health Care Program (CWVV). The Veterans Caregivers and Veterans Omnibus Health Services Act of 2010, Public Law 111–163, further expanded CHAMPVA to include primary family caregivers of certain seriously injured Veterans. Eligible primary family caregivers are authorized to receive health care benefits through the existing CHAMPVA Program when the primary family caregiver has no other health care coverage (including Medicare and Medicaid).
Estimated operating levels are:


2012 actual 2013 est. 2014 est.

Outpatient Workloads 12,691,000 13,706,000 14,802,000

Readjustment Counseling._Obligations for 2014 are estimated to be $203 million. This program provides readjustment counseling services at VA Vet Centers. Vet Centers are community-based counseling centers that provide a wide range of social and psychological services to include: professional readjustment counseling to veterans who have served in a combat zone, military sexual trauma counseling, bereavement counseling for families who experience an active duty death, substance abuse assessments and referral, medical referral, VBA benefits explanation and referral, and employment counseling. Services are also extended to the family members of eligible veterans for issues related to military service and the readjustment of those veterans.
Estimated operating levels are:


2012 actual 2013 est. 2014 est.

Visits 1,505,000 1,540,000 1,574,000

PERFORMANCE MEASURES

Quality and timeliness of care._VA's budget request focuses on the Department's priority of providing timely, accessible, and high-quality health care. To achieve this priority, VA has several key measures that provide detail into quality of care. VA measures its impact on population health using the Clinical Practice Guidelines IV and the Prevention Index V to ensure health system actions improve the health of the veteran community. Clinical Practice Guidelines Index IV assesses the progress and results associated with the management of common chronic diseases that impact the health trajectories of Veterans. The Clinical Practice Guidelines Index IV is expected to reach 93% in 2014, with a strategic target of 94%. Prevention Index V measures VA's efforts in preventing illness through measures such as immunization and screening. VA expects the Prevention Index V to reach 94% in 2014, with a strategic target of 95%.


2012 actual 2013 est. 2014 est.

Prevention Index V 94% 93% 94%
Clinical Practice Guidelines Index IV 94% 92% 93%

Access to medical care._VA examines wait times for completed appointments with the ultimate goal of delivering high quality service at the time wanted and needed by each veteran. In 2014, VA will measure wait times for primary care, specialty care, and mental health appointments for new and established patients. In 2013, VHA updated the methodologies to measure wait times for new and established patient appointments to improve reliability and consistency. Therefore, no targets are set in 2013 and 2014 so that baseline performance can be established.


2012 actual 2013 est. 2014 est.

Appointment performance measures are provided below:
Percent of new primary care appointments completed within 14 days of the create date for the appointment1 N/Av TBD TBD
Percent of established primary care patients with a scheduled appointment within 14 days of the desired date for the appoinment2 N/Av TBD TBD
Percent of new specialty care appointments completed within 14 days of the create date of the apppoinment1 N/Av TBD TBD
Percent of established specialty care patients with a scheduled appointment within 14 days of the desired date for the appointment2 N/Av TBD TBD
Percent of new mental health appointments completed within 14 days of the create date for the appointment1 N/Av TBD TBD
Percent of established mental health patients with a scheduled appointment within 14 days of the desired date for the appointment2 N/Av TBD TBD

1 In 2013, VHA updated the methodology to measure wait times for new patient appointments to improve reliability and consistency. Appointments for new patients will use the create date, defined as when the appointment was made and automatically captured by the scheduling system. Therefore, no targets are set in 2013 and 2014 so baseline performance can be established.2 In 2013, VHA updated the methodology to measure wait times for established patient appointments to improve reliability and consistency. Appointments for established patients will use the desired date, defined as the agreed upon date determined together by provider and patient. Desired date is measured prospectively to better represent patient satisfaction. Therefore, no targets are set in 2013 and 2014 so baseline performance can be established.

Object Classification (in millions of dollars)


Identification code 36–0160–0–1–703 2012 actual 2013 CR 2014 est.

Direct obligations:
Personnel compensation:
11.1 Full-time permanent 13,831 14,381 14,992
11.3 Other than full-time permanent 287 292 311
11.5 Other personnel compensation 1,595 1,663 1,729



11.9 Total personnel compensation 15,713 16,336 17,032
12.1 Civilian personnel benefits 4,676 4,922 5,310
13.0 Benefits for former personnel 14 14 14
21.0 Employee travel 53 53 53
21.0 Beneficiary travel 860 903 937
21.0 Interagency motor pool payments 19 19 19
21.0 All other 6 6 6
22.0 Transportation of things 11 12 14
23.2 Rental payments to others 3
23.3 Communications, utilities, and miscellaneous charges 316 352 394
24.0 Printing and reproduction 18 18 18
25.2 Other contractual services 4,435 4,823 5,025
25.6 Outpatient dental fees 98 102 107
25.6 Medical and nursing fees 1,604 1,738 1,884
25.6 Community nursing homes 617 662 725
25.6 Contract hospitalization 1,587 1,753 1,937
25.6 Civilian Health and Medical Program of the Department of Veterans Affairs (CHAMPVA) 929 1,019 1,113
26.0 Medical supplies and materials 8,325 8,806 9,368
31.0 Equipment 2,404 1,676 1,077
32.0 Land and structures 6
41.0 Medical grants, subsidies, and contributions 852 975 1,066
41.0 Medical grants to private organizations 310 503 536
92.0 Undistributed - provided by the continuing resolution (P.L.112–175) 1,409



99.0 Direct obligations 42,856 46,101 46,635
99.0 Reimbursable obligations 176 287 200



99.9 Total new obligations 43,032 46,388 46,835

Employment Summary


Identification code 36–0160–0–1–703 2012 actual 2013 CR 2014 est.

1001 Direct civilian full-time equivalent employment 185,531 192,880 199,793
2001 Reimbursable civilian full-time equivalent employment 1,782 1,872 1,872

Medical Services

(Legislative proposal, not subject to PAYGO)

Program and Financing (in millions of dollars)


Identification code 36–0160–2–1–703 2012 actual 2013 CR 2014 est.

Obligations by program activity:
0001 Ambulatory care 129



0900 Total new obligations (object class 25.2) 129

Budgetary Resources:
Budget authority:
Appropriations, discretionary:
1121 Appropriations transferred from other accts [36–5287] 129



1160 Appropriation, discretionary (total) 129
1930 Total budgetary resources available 129

Change in obligated balance:
Unpaid obligations:
3010 Obligations incurred, unexpired accounts 129
3020 Outlays (gross) –71



3050 Unpaid obligations, end of year 58
Memorandum (non-add) entries:
3200 Obligated balance, end of year 58

Budget authority and outlays, net:
Discretionary:
4000 Budget authority, gross 129
Outlays, gross:
4010 Outlays from new discretionary authority 71
4180 Budget authority, net (total) 129
4190 Outlays, net (total) 71

VA is proposing to increase the Department's ability to bill private insurers for care provided to treat nonservice-connected conditions. The proposals would allow VA to be considered as a participating provider for purposes of reimbursement and would allow for disclosure of health care information for billing purposes to be consistent with the use of this information for treatment purposes (subject to all applicable privacy laws and regulations).

Medical Support and Compliance

For necessary expenses in the administration of the medical, hospital, nursing home, domiciliary, construction, supply, and research activities, as authorized by law; administrative expenses in support of capital policy activities; and administrative and legal expenses of the Department for collecting and recovering amounts owed the Department as authorized under chapter 17 of title 38, United States Code, and the Federal Medical Care Recovery Act (42 U.S.C. 2651 et seq.); $5,879,700,000, plus reimbursements, shall become available on October 1, 2014, and shall remain available until September 30, 2015: Provided, That, of the amount available under this heading, $100,000,000 shall remain available until September 30, 2016.

Note.—This account receives advance appropriations; a full-year 2013 appropriation for this account was enacted in the Consolidated Appropriations Act, 2012 (P.L. 112–74).

Program and Financing (in millions of dollars)


Identification code 36–0152–0–1–703 2012 actual 2013 CR 2014 est.

Obligations by program activity:
0001 Ambulatory care 2,584 3,029 3,197
0002 Inpatient care 1,037 1,037 1,037
0003 Rehabilitation care 75 75 75
0004 Mental health care 707 707 707
0005 Long-term care 580 580 580
0006 Prosthetics care 155 155 155
0007 Dental care 84 84 84
0008 CHAMPVA and other dependent programs 77 96 108



0091 Total operating expenses 5,299 5,763 5,943
0101 Ambulatory care 44 42 43
0102 Inpatient care 17 17 17
0103 Rehabilitation care 1 1 1
0104 Mental health care 13 13 13
0105 Long-term care 11 11 11
0106 Prosthetics care 4 4 4
0107 Dental care 1 1 1
0110 Provided by the continuing resolution (P.L. 112–175) 101



0191 Total capital investment 91 190 90



0293 Total direct program 5,390 5,953 6,033



0799 Total direct obligations 5,390 5,953 6,033
0801 Reimbursable program activity 37 78 40



0900 Total new obligations 5,427 6,031 6,073

Budgetary Resources:
Unobligated balance:
1000 Unobligated balance brought forward, Oct 1 103 106
Budget authority:
Appropriations, discretionary:
1100 Appropriation 100 101 100
1120 Appropriations transferred to other accts [36–0169] –24
1120 Appropriations transferred to other accts [36–0160] –56
1120 Appropriations transferred to other accts [36–0165] –50



1160 Appropriation, discretionary (total) –30 101 100
Advance appropriations, discretionary:
1170 Advance appropriation 5,535 5,746 6,033
1173 Advance appropriations permanently reduced –100 –100



1180 Advanced appropriation, discretionary (total) 5,435 5,746 5,933
Spending authority from offsetting collections, discretionary:
1700 Collected 35 78 40
1701 Change in uncollected payments, Federal sources 1



1750 Spending auth from offsetting collections, disc (total) 36 78 40
1900 Budget authority (total) 5,441 5,925 6,073
1930 Total budgetary resources available 5,544 6,031 6,073
Memorandum (non-add) entries:
1940 Unobligated balance expiring –11
1941 Unexpired unobligated balance, end of year 106

Change in obligated balance:
Unpaid obligations:
3000 Unpaid obligations, brought forward, Oct 1 897 897 1,222
3010 Obligations incurred, unexpired accounts 5,427 6,031 6,073
3011 Obligations incurred, expired accounts –101
3020 Outlays (gross) –5,326 –5,706 –5,955



3050 Unpaid obligations, end of year 897 1,222 1,340
Uncollected payments:
3060 Uncollected pymts, Fed sources, brought forward, Oct 1 –3 –1 –1
3070 Change in uncollected pymts, Fed sources, unexpired –1
3071 Change in uncollected pymts, Fed sources, expired 3



3090 Uncollected pymts, Fed sources, end of year –1 –1 –1
Memorandum (non-add) entries:
3100 Obligated balance, start of year 894 896 1,221
3200 Obligated balance, end of year 896 1,221 1,339

Budget authority and outlays, net:
Discretionary:
4000 Budget authority, gross 5,441 5,925 6,073
Outlays, gross:
4010 Outlays from new discretionary authority 4,642 5,192 5,384
4011 Outlays from discretionary balances 684 514 571



4020 Outlays, gross (total) 5,326 5,706 5,955
Offsets against gross budget authority and outlays:
Offsetting collections (collected) from:
4030 Federal sources –34 –78 –40
4033 Non-Federal sources –4



4040 Offsets against gross budget authority and outlays (total) –38 –78 –40
Additional offsets against gross budget authority only:
4050 Change in uncollected pymts, Fed sources, unexpired –1
4052 Offsetting collections credited to expired accounts 3



4060 Additional offsets against budget authority only (total) 2



4070 Budget authority, net (discretionary) 5,405 5,847 6,033
4080 Outlays, net (discretionary) 5,288 5,628 5,915
4180 Budget authority, net (total) 5,405 5,847 6,033
4190 Outlays, net (total) 5,288 5,628 5,915

For 2015, the Budget requests $5.9 billion in advance appropriations for Medical Support and Compliance. This request for advance appropriations fulfills the Administration's commitment to provide reliable and timely resources to support the delivery of accessible and high-quality medical services for veterans.

For Medical Support and Compliance, the Budget reflects the following appropriation funding: the 2013 enacted advance appropriation of $5.7 billion, augmented by the annualized level provided by the continuing resolution (P.L. 112–175) (see Note below); the 2014 appropriation request of $6.0 billion; and the 2015 advance appropriation request of $5.9 billion. The Medical Support and Compliance appropriation finances the expenses of management, security, and administration of the VA health care system through the operation of VA medical centers, other facilities, Veterans Integrated Service Network offices and facility director offices, chief of staff operations, quality of care oversight, legal services, billing and coding activities, procurement, financial management, and human resource management.

Note._The funding level displayed for 2013 shows the enacted advance appropriation augmented by the annualized level provided by the continuing resolution (P.L. 112–175). The annualized level reflects an additional $101 million in funding. Most of this additional funding is an unintended result of the mechanism by which Congress rescinded a portion of the enacted 2012 advance appropriation and appropriated the same amount with two-year availability. The rescission does not recur as a term and condition under the continuing resolution, but the appropriation does. The additional funding of $101 million is anticipated to be cancelled upon enactment of either a 2013 full-year continuing resolution or regular appropriation.

Object Classification (in millions of dollars)


Identification code 36–0152–0–1–703 2012 actual 2013 CR 2014 est.

Direct obligations:
Personnel compensation:
11.1 Full-time permanent 2,669 2,743 2,856
11.3 Other than full-time permanent 55 54 59
11.5 Other personnel compensation 308 318 330



11.9 Total personnel compensation 3,032 3,115 3,245
12.1 Civilian personnel benefits 938 981 1,033
13.0 Benefits for former personnel 5 5 5
21.0 Employee travel 63 63 63
21.0 All other 5 5 5
22.0 Transportation of things 11 12 12
23.3 Communications, utilities, and miscellaneous charges 118 125 135
24.0 Printing and reproduction 14 15 15
25.2 Other contractual services 1,010 1,351 1,328
25.6 Medical and nursing fees 5
26.0 Medical supplies and materials 97 90 102
26.0 Provisions 2
31.0 Equipment 89 90 90
32.0 Land and structures 1
92.0 Undistributed - provided by the continuing resolution (P.L. 112–175) 101



99.0 Direct obligations 5,390 5,953 6,033
99.0 Reimbursable obligations 37 78 40



99.9 Total new obligations 5,427 6,031 6,073

Employment Summary


Identification code 36–0152–0–1–703 2012 actual 2013 CR 2014 est.

1001 Direct civilian full-time equivalent employment 46,190 47,735 49,060
2001 Reimbursable civilian full-time equivalent employment 831 869 869

DOD-VA Health Care Sharing Incentive Fund

Program and Financing (in millions of dollars)


Identification code 36–0165–0–1–703 2012 actual 2013 CR 2014 est.

Obligations by program activity:
0001 DOD-VA health care sharing incentive fund 58 94 94

Budgetary Resources:
Unobligated balance:
1000 Unobligated balance brought forward, Oct 1 189 263 199
1021 Recoveries of prior year unpaid obligations 2



1050 Unobligated balance (total) 191 263 199
Budget authority:
Appropriations, discretionary:
1121 Transferred from VA account [36–0160] 15 15 15
1121 Transferred from DOD account [97–0130] 65 15 15
1121 Transferred from VA account [36–0152] 50



1160 Appropriation, discretionary (total) 130 30 30
1930 Total budgetary resources available 321 293 229
Memorandum (non-add) entries:
1941 Unexpired unobligated balance, end of year 263 199 135

Change in obligated balance:
Unpaid obligations:
3000 Unpaid obligations, brought forward, Oct 1 42 37 1
3010 Obligations incurred, unexpired accounts 58 94 94
3020 Outlays (gross) –61 –130 –80
3040 Recoveries of prior year unpaid obligations, unexpired –2



3050 Unpaid obligations, end of year 37 1 15
Memorandum (non-add) entries:
3100 Obligated balance, start of year 42 37 1
3200 Obligated balance, end of year 37 1 15

Budget authority and outlays, net:
Discretionary:
4000 Budget authority, gross 130 30 30
Outlays, gross:
4011 Outlays from discretionary balances 61 130 80
4180 Budget authority, net (total) 130 30 30
4190 Outlays, net (total) 61 130 80

The purpose of the Department of Defense-Veterans Affairs Health Care Sharing Incentive Fund, often referred to as the Joint Incentive Fund (JIF), is to enable the Departments to carry out a program to identify and provide incentives to implement creative sharing initiatives at the facility, intra-regional and nationwide levels. The JIF promotes collaboration and new approaches to problem solving to enable the Departments to improve the coordination of health care services. The Departments have established the fund and developed processes and criteria to solicit and select projects. Section 721 of the 2003 National Defense Authorization Act, Public Law 107–314, established the fund and requires VA and Department of Defense to establish a joint incentive program. In 2014, each Secretary shall contribute a minimum of $15 million to the fund after the appropriation is enacted.

Object Classification (in millions of dollars)


Identification code 36–0165–0–1–703 2012 actual 2013 CR 2014 est.

Direct obligations:
11.1 Personnel compensation: Full-time permanent 10 15 15
12.1 Civilian personnel benefits 3 3
25.1 Advisory and assistance services 43 58 58
26.0 Supplies and materials 1 6 6
31.0 Equipment 2 9 9
32.0 Land and structures 2 3 3



99.9 Total new obligations 58 94 94

Employment Summary


Identification code 36–0165–0–1–703 2012 actual 2013 CR 2014 est.

1001 Direct civilian full-time equivalent employment 151 225 250

Medical Facilities

For necessary expenses for the maintenance and operation of hospitals, nursing homes, domiciliary facilities, and other necessary facilities of the Veterans Health Administration; for administrative expenses in support of planning, design, project management, real property acquisition and disposition, construction, and renovation of any facility under the jurisdiction or for the use of the Department; for oversight, engineering, and architectural activities not charged to project costs; for repairing, altering, improving, or providing facilities in the several hospitals and homes under the jurisdiction of the Department, not otherwise provided for, either by contract or by the hire of temporary employees and purchase of materials; for leases of facilities; and for laundry services, $4,739,000,000, plus reimbursements, shall become available on October 1, 2014, and shall remain available until September 30, 2015: Provided, That, of the amount made available under this heading, $250,000,000 shall remain available until September 30, 2016.

Note.—This account receives advance appropriations; a full-year 2013 appropriation for this account was enacted in the Consolidated Appropriations Act, 2012 (P.L. 112–74). The amounts included for 2013 also reflect the annualized level provided by the Continuing Appropriations Resolution, 2013 (P.L. 112–175) as well as amounts from P.L. 113–2, the Disaster Relief Appropriations Act, 2013.

Program and Financing (in millions of dollars)


Identification code 36–0162–0–1–703 2012 actual 2013 CR 2014 est.

Obligations by program activity:
0001 Ambulatory care 1,701 1,942 1,900
0002 Inpatient care 712 712 712
0003 Rehabilitation care 52 52 52
0004 Mental health care 499 499 499
0005 Long-term care 390 390 390
0006 Prosthetics care 123 123 123
0007 Dental care 59 59 59
0008 CHAMPVA and other dependent programs 5 6 6
0009 Readjustment counseling 25 25 25



0091 Total operating expenses 3,566 3,808 3,766
0101 Ambulatory care 850 781 514
0102 Inpatient care 402 370 244
0103 Rehabilitation care 27 25 17
0104 Mental health care 282 259 171
0105 Long-term care 220 202 133
0106 Prosthetics care 10 9 6
0107 Dental care 32 29 19
0109 Readjustment counseling 3 3 2
0110 Provided by the continuing resolution (P.L. 112–175) 252



0191 Total capital investment 1,826 1,930 1,106



0799 Total direct obligations 5,392 5,738 4,872
0801 Reimbursable program 17 43 25



0900 Total new obligations 5,409 5,781 4,897

Budgetary Resources:
Unobligated balance:
1000 Unobligated balance brought forward, Oct 1 43 39
Budget authority:
Appropriations, discretionary:
1100 Appropriation 250 258 250
1120 Appropriations transferred to other accts [36–0169] –37



1160 Appropriation, discretionary (total) 213 258 250
Advance appropriations, discretionary:
1170 Advance appropriation 5,426 5,441 4,872
1173 Advance appropriations permanently reduced –250 –250



1180 Advanced appropriation, discretionary (total) 5,176 5,441 4,622
Spending authority from offsetting collections, discretionary:
1700 Collected 18 43 25



1750 Spending auth from offsetting collections, disc (total) 18 43 25
1900 Budget authority (total) 5,407 5,742 4,897
1930 Total budgetary resources available 5,450 5,781 4,897
Memorandum (non-add) entries:
1940 Unobligated balance expiring –2
1941 Unexpired unobligated balance, end of year 39

Change in obligated balance:
Unpaid obligations:
3000 Unpaid obligations, brought forward, Oct 1 3,318 3,247 3,702
3010 Obligations incurred, unexpired accounts 5,409 5,781 4,897
3011 Obligations incurred, expired accounts –20
3020 Outlays (gross) –5,460 –5,326 –4,899



3050 Unpaid obligations, end of year 3,247 3,702 3,700
Memorandum (non-add) entries:
3100 Obligated balance, start of year 3,318 3,247 3,702
3200 Obligated balance, end of year 3,247 3,702 3,700

Budget authority and outlays, net:
Discretionary:
4000 Budget authority, gross 5,407 5,742 4,897
Outlays, gross:
4010 Outlays from new discretionary authority 3,358 4,165 3,666
4011 Outlays from discretionary balances 2,102 1,161 1,233



4020 Outlays, gross (total) 5,460 5,326 4,899
Offsets against gross budget authority and outlays:
Offsetting collections (collected) from:
4030 Federal sources –6 –16 –16
4033 Non-Federal sources –12 –27 –9



4040 Offsets against gross budget authority and outlays (total) –18 –43 –25



4070 Budget authority, net (discretionary) 5,389 5,699 4,872
4080 Outlays, net (discretionary) 5,442 5,283 4,874
4180 Budget authority, net (total) 5,389 5,699 4,872
4190 Outlays, net (total) 5,442 5,283 4,874

For 2015, the Budget requests advance appropriations of $4.7 billion for Medical Facilities. This request for advance appropriations fulfills the Administration's commitment to provide reliable and timely resources to support the delivery of accessible and high-quality medical services for veterans.

For Medical Facilities, the Budget reflects the following appropriation funding: the 2013 enacted advance appropriation of $5.4 billion, augmented by supplemental funding (as provided in P.L. 113–2) and the annualized level provided by the continuing resolution (P.L. 112–175) (see Note below); the 2014 appropriation request of $4.9 billion; and the 2015 advance appropriation request of $4.7 billion. Medical Facilities provides for the operations and maintenance of the capital infrastructure required to provide health care to the Nation's veterans. These costs include utilities, engineering, capital planning, leases, laundry services, grounds maintenance, trash removal, housekeeping, fire protection, pest management, facility repair, and property disposition and acquisition.

Note._The funding level displayed for 2013 shows the enacted advance appropriation augmented by supplemental funding (as provided in P.L. 113–2) and the annualized level provided by the continuing resolution (P.L. 112–175). The annualized level reflects an additional $252 million in funding. Most of this additional funding is an unintended result of the mechanism by which Congress rescinded a portion of the enacted 2012 advance appropriation and appropriated the same amount with two-year availability. The rescission does not recur as a term and condition under the continuing resolution, but the appropriation does. The additional funding of $252 million is anticipated to be cancelled upon enactment of either a 2013 full-year continuing resolution or regular appropriation.

Object Classification (in millions of dollars)


Identification code 36–0162–0–1–703 2012 actual 2013 CR 2014 est.

Direct obligations:
Personnel compensation:
11.1 Full-time permanent 1,052 1,081 931
11.3 Other than full-time permanent 22 21 22
11.5 Other personnel compensation 122 126 132



11.9 Total personnel compensation 1,196 1,228 1,085
12.1 Civilian personnel benefits 390 408 389
13.0 Benefits for former personnel 2 2 2
21.0 Employee travel 6 6 8
21.0 All other 27 27 26
22.0 Transportation of things 15 16 17
23.1 Rental payments to GSA 26 27 26
23.2 Rental payments to others 414 516 509
23.3 Communications, utilities, and miscellaneous charges 527 536 573
25.2 Other contractual services 648 717 888
26.0 Medical supplies and materials 315 325 372
31.0 Equipment 127 135 175
32.0 Medical land and structures 1,699 1,543 802
92.0 Undistributed - provided by the continuing resolution (P.L. 112–175) 252



99.0 Direct obligations 5,392 5,738 4,872
99.0 Reimbursable obligations 17 43 25



99.9 Total new obligations 5,409 5,781 4,897

Employment Summary


Identification code 36–0162–0–1–703 2012 actual 2013 CR 2014 est.

1001 Direct civilian full-time equivalent employment 22,843 23,678 23,224
2001 Reimbursable civilian full-time equivalent employment 478 490 490

Medical and Prosthetic Research

For necessary expenses in carrying out programs of medical and prosthetic research and development as authorized by chapter 73 of title 38, United States Code, $585,664,000, plus reimbursements, shall remain available until September 30, 2015.

Note.—A full-year 2013 appropriation for this account was not enacted at the time the budget was prepared; therefore, the budget assumes this account is operating under the Continuing Appropriations Resolution, 2013 (P.L. 112–175). The amounts included for 2013 reflect the annualized level provided by the continuing resolution.

Program and Financing (in millions of dollars)


Identification code 36–0161–0–1–703 2012 actual 2013 CR 2014 est.

Obligations by program activity:
0001 Bio-medical laboratory science research 270 286 271
0002 Rehabilitation research 85 101 95
0003 Health services research 80 96 90
0004 Clinical science research 96 127 116



0091 Total operating expenses 531 610 572
0101 Bio-medical laboratory science research 12 15 12
0102 Rehabilitation research 3 3 3
0103 Health services research 1 1 1
0104 Clinical science research 3 3 3



0191 Total capital investment 19 22 19



0799 Total direct obligations 550 632 591
0801 Reimbursable program 30 35 35



0900 Total new obligations 580 667 626

Budgetary Resources:
Unobligated balance:
1000 Unobligated balance brought forward, Oct 1 72 103 56
Budget authority:
Appropriations, discretionary:
1100 Appropriation 581 585 586



1160 Appropriation, discretionary (total) 581 585 586
Spending authority from offsetting collections, discretionary:
1700 Collected 31 35 35



1750 Spending auth from offsetting collections, disc (total) 31 35 35
1900 Budget authority (total) 612 620 621
1930 Total budgetary resources available 684 723 677
Memorandum (non-add) entries:
1940 Unobligated balance expiring –1
1941 Unexpired unobligated balance, end of year 103 56 51

Change in obligated balance:
Unpaid obligations:
3000 Unpaid obligations, brought forward, Oct 1 253 211 268
3010 Obligations incurred, unexpired accounts 580 667 626
3011 Obligations incurred, expired accounts –7
3020 Outlays (gross) –615 –610 –611



3050 Unpaid obligations, end of year 211 268 283
Memorandum (non-add) entries:
3100 Obligated balance, start of year 253 211 268
3200 Obligated balance, end of year 211 268 283

Budget authority and outlays, net:
Discretionary:
4000 Budget authority, gross 612 620 621
Outlays, gross:
4010 Outlays from new discretionary authority 363 441 442
4011 Outlays from discretionary balances 252 169 169



4020 Outlays, gross (total) 615 610 611
Offsets against gross budget authority and outlays:
Offsetting collections (collected) from:
4030 Federal sources –19 –35 –35
4033 Non-Federal sources –12



4040 Offsets against gross budget authority and outlays (total) –31 –35 –35



4070 Budget authority, net (discretionary) 581 585 586
4080 Outlays, net (discretionary) 584 575 576
4180 Budget authority, net (total) 581 585 586
4190 Outlays, net (total) 584 575 576

For 2014, the total budgetary resources of $1.9 billion is comprised of $586 million in direct appropriations, $586 million in medical care support, and $710 million in Federal and private sector grants. The research program will support 3,491 full time equivalents through direct appropriation.

This account is an intramural program that has had outstanding success performing research that has led to critical clinical achievements that improve the health and quality of life for veterans and the Nation. VA is at the forefront of producing new transformational approaches and technologies for preventing, diagnosing, and treating disease. VA research transforms medicine by engaging veterans as research volunteers and utilizing the results of that research in clinical care. Through technology, advancements, innovations, and information, research helps transform VA's health care into a leading example of medicine in the 21st Century.

High-priority research programs in 2014 will emphasize the critical needs of our newest veterans, specifically those from Operation Enduring Freedom, Operation Iraqi Freedom, and Operation New Dawn (OEF)/(OIF)/(OND), while continuing to address the special and unique health care needs of all veterans. In reflecting VA's commitment to maintain a research program supporting the world-class medical care our veterans deserve, VA research will increase its emphasis on critical areas that will impact VA for years to come: pain, traumatic brain injury, military occupational exposures, post-traumatic stress disorder (PTSD), suicide, patient centered care, complementary/alternative medicine, health care efficiency, women veterans, and homelessness.

Homelessness is a top priority for VA, and research will focus on interventions, risk factors and health care usage patterns in an effort to eliminate homelessness. Access to care is closely related to homelessness, and one of the critical missions of VA research is to identify system-wide gaps in veterans' health care. VA research has demonstrated an explicit focus on access to care as a component of validating the quality of care in all VA health care services, organizational structures, and mechanisms for delivering care. Current studies address new telemedicine and telehealth initiatives, community based outpatient clinics (CBOCs), collaborative care models, access for OEF/OIF/OND veterans, and access to specialized care such as VA rehabilitation services.

Emphasis will also be placed on personalized medicine where using information on a patients' genetic make-up can lead to a more tailored, precise, and effective level of care. The Million Veteran Program (MVP), with the goal of collecting one million genetic samples, will continue to be a significant undertaking in 2014 as VA investigates whether genetic influences in disease and/or responses to medications can be used to further advance personalized care with the ultimate goal to develop an evidence base for treatments that are optimized to each veteran's genetic makeup. Protocols are under development to use information from MVP to clarify biological pathways associated with PTSD; other efforts are targeting schizophrenia, bipolar disorder, and amyotrophic lateral sclerosis (Lou Gehrig's disease).

The reach and scope of VA research is further expanded by collaborations with other Federal agencies, academic medical centers, nonprofit organizations, and commercial entities nationwide. Through VA's academic affiliations, as well as collaborations with other Federal agencies, VA research is fully integrated with the larger biomedical research community.

Veterans' health issues are addressed comprehensively in the following four program divisions and the medical care research support required for these programs:

Biomedical laboratory._Supports preclinical research to understand life processes from a molecular, genomic, and physiological level in regard to diseases affecting veterans.

Clinical science._Administers investigations (i.e., human subject research such as drug, surgical, single subject, pilot, and multi-center cooperative studies. as well as feasibility trials) aimed at instituting new, more effective clinical care.

Health services._Supports studies to identify and promote effective and efficient strategies to improve the delivery of health care to veterans.

Rehabilitation._Develops novel approaches to restoring veterans with traumatic amputation, central nervous system injuries, loss of sight and/or hearing, or other physical and cognitive impairments to full and productive lives.
VA's Medical and Prosthetic Research programs are included in the Federal Research and Development (R&D) budget.

SUMMARY OF PROGRAM RESOURCES [in millions of dollars]


2012 actual 2013 est. 2014 est.

Medical and prosthetic research appropriation 581 585 586
Federal resources (includes VA Medical Care support funding) 1,096 1,100 1,101

Other non-federal resources 195 195 195




Total program resources 1,872 1,880 1,882




Object Classification (in millions of dollars)


Identification code 36–0161–0–1–703 2012 actual 2013 CR 2014 est.

Direct obligations:
Personnel compensation:
11.1 Full-time permanent 171 187 186
11.3 Other than full-time permanent 11 15 15
11.5 Other personnel compensation 33 40 40



11.9 Total personnel compensation 215 242 241
12.1 Civilian personnel benefits 80 85 86
21.0 Employee travel 6 6 5
23.1 Rental payments to GSA 2 3 3
23.3 Communications, utilities, and miscellaneous charges 1 3 3
24.0 Printing and reproduction 1 1 1
25.2 Other services from non-Federal sources 189 206 181
26.0 Supplies and materials 40 36 34
31.0 Equipment 16 50 37



99.0 Direct obligations 550 632 591
99.0 Reimbursable obligations 30 35 35



99.9 Total new obligations 580 667 626

Employment Summary


Identification code 36–0161–0–1–703 2012 actual 2013 CR 2014 est.

1001 Direct civilian full-time equivalent employment 3,015 3,045 3,010
2001 Reimbursable civilian full-time equivalent employment 481 481 481

Joint Department of Defense-Department of Veterans Affairs Medical Facility Demonstration Fund

Program and Financing (in millions of dollars)


Identification code 36–0169–0–1–703 2012 actual 2013 CR 2014 est.

Obligations by program activity:
0001 Direct program activity 370
0801 Reimbursable program activity 9



0900 Total new obligations 379

Budgetary Resources:
Unobligated balance:
1000 Unobligated balance brought forward, Oct 1 2 8 8
Budget authority:
Appropriations, discretionary:
1121 Appropriations transferred from other accts [36–0162] 37
1121 Appropriations transferred from other accts [36–0152] 24
1121 Appropriations transferred from other accts [36–0160] 173
1121 Appropriations transferred from other accts [36–0167] 7
1121 Appropriations transferred from other accts [97–0130] 119
1121 Appropriations transferred from other accts [36–5287] 16



1160 Appropriation, discretionary (total) 376
Spending authority from offsetting collections, discretionary:
1700 Collected 9



1750 Spending auth from offsetting collections, disc (total) 9
1900 Budget authority (total) 385
1930 Total budgetary resources available 387 8 8
Memorandum (non-add) entries:
1941 Unexpired unobligated balance, end of year 8 8 8

Change in obligated balance:
Unpaid obligations:
3000 Unpaid obligations, brought forward, Oct 1 37 65 30
3010 Obligations incurred, unexpired accounts 379
3020 Outlays (gross) –351 –35 –4



3050 Unpaid obligations, end of year 65 30 26
Memorandum (non-add) entries:
3100 Obligated balance, start of year 37 65 30
3200 Obligated balance, end of year 65 30 26

Budget authority and outlays, net:
Discretionary:
4000 Budget authority, gross 385
Outlays, gross:
4010 Outlays from new discretionary authority 317
4011 Outlays from discretionary balances 34 35 4



4020 Outlays, gross (total) 351 35 4
Offsets against gross budget authority and outlays:
Offsetting collections (collected) from:
4030 Federal sources –7
4033 Non-Federal sources –2



4040 Offsets against gross budget authority and outlays (total) –9



4070 Budget authority, net (discretionary) 376
4080 Outlays, net (discretionary) 342 35 4
4180 Budget authority, net (total) 376
4190 Outlays, net (total) 342 35 4

The Department of Veterans Affairs (VA) and the Department of Defense (DOD) intend to contribute 2013 and 2014 funding to the Joint Department of Defense-Department of Veterans Affairs Medical Facility Demonstration Fund, established by section 1704 of Public Law 111–84, the National Defense Authorization Act for Fiscal Year 2010. This funding will support the continuing operations of the Captain James A. Lovell Federal Health Care Center (FHCC), which opened on December 20, 2010. Specifically, VA and DOD anticipate transferring a total of $383 million ($247.4 million from VA and $135.6 million from DOD) to the Joint Fund for 2013, as authorized by the Continuing Appropriations Resolution, 2013 (P.L. 112–175). In 2013, VA expects to transfer funds from the Medical Services, Medical Support and Compliance, Medical Facilities, and Information Technology Systems accounts, while DOD expects to transfer funds from the Defense Health Program account. VA and DOD also expect to transfer 2014 funds from these accounts to support FHCC operations. VA and DOD anticipate supporting over 2,000 full time equivalent employees in both 2013 and 2014.

Object Classification (in millions of dollars)


Identification code 36–0169–0–1–703 2012 actual 2013 CR 2014 est.

Direct obligations:
11.1 Personnel compensation: Full-time permanent 160
12.1 Civilian personnel benefits 45
25.1 Advisory and assistance services 53
26.0 Supplies and materials 71
31.0 Equipment 13
32.0 Land and structures 28



99.0 Direct obligations 370
99.0 Reimbursable obligations 9



99.9 Total new obligations 379

Employment Summary


Identification code 36–0169–0–1–703 2012 actual 2013 CR 2014 est.

1001 Direct civilian full-time equivalent employment 1,957

Medical Care Collections Fund

Program and Financing (in millions of dollars)


Identification code 36–5287–0–2–703 2012 actual 2013 CR 2014 est.

Budgetary Resources:
Budget authority:
Appropriations, discretionary:
1101 Appropriation (special or trust fund) 2,830 2,841 2,935
1120 Appropriations transferred to other accts [36–0160] –2,814 –2,841 –2,935
1120 Appropriations transferred to other accts [36–0169] –16

VA has the authority to collect co-payments which are deposited into the Medical Care Collections Fund (MCCF) receipt account. As allowed by the provisions of the appropriations Act, these receipts are transferred to the Medical Services appropriation and the Joint Department of Defense-Department of Veterans Affairs Medical Facility Demonstration Fund (Joint Demonstration Fund) where they remain available until expended for the purposes of this account. In 2012, $2.8 billion was collected in the MCCF receipt account and transferred to the Medical Services appropriation and Joint Demonstration Fund to provide health care to our veterans. These collections consist of co-payments from veterans for inpatient, outpatient, and nursing home care, and prescribed medications; third-party insurance payments from veterans for nonservice-connected conditions; and collections from enhanced-use leases, the Compensated Work Therapy Program, Compensation and Living Expensed Program, and the Parking Program.

Medical Care Collections Fund

(Legislative proposal, not subject to PAYGO)

Program and Financing (in millions of dollars)


Identification code 36–5287–2–2–703 2012 actual 2013 CR 2014 est.

Budgetary Resources:
Budget authority:
Appropriations, discretionary:
1101 Appropriation (special or trust fund) 129
1120 Appropriations transferred to other accts [36–0160] –129

VA is proposing to increase the Department's ability to bill private insurers for care provided to treat nonservice-connected conditions. The proposals would allow VA to be considered as a participating provider for purposes of reimbursement and would allow for disclosure of health care information for billing purposes to be consistent with the use of this information for treatment purposes (subject to all applicable privacy laws and regulations).

Canteen Service Revolving Fund

Program and Financing (in millions of dollars)


Identification code 36–4014–0–3–705 2012 actual 2013 CR 2014 est.

Obligations by program activity:
0801 Reimbursable operating expenses 219 245 273
0802 Reimbursable direct operations 114 167 171
0810 Reimbursable capital investment: Sales program: Purchase of equipment and leasehold 18 21 1



0900 Total new obligations 351 433 445

Budgetary Resources:
Unobligated balance:
1000 Unobligated balance brought forward, Oct 1 2 16 21
Budget authority:
Spending authority from offsetting collections, mandatory:
1800 Collected 365 435 447
1801 Change in uncollected payments, Federal sources 3 3



1850 Spending auth from offsetting collections, mand (total) 365 438 450
1930 Total budgetary resources available 367 454 471
Memorandum (non-add) entries:
1941 Unexpired unobligated balance, end of year 16 21 26

Change in obligated balance:
Unpaid obligations:
3000 Unpaid obligations, brought forward, Oct 1 4 11 6
3010 Obligations incurred, unexpired accounts 351 433 445
3020 Outlays (gross) –344 –438 –450



3050 Unpaid obligations, end of year 11 6 1
Uncollected payments:
3060 Uncollected pymts, Fed sources, brought forward, Oct 1 –3 –3 –6
3070 Change in uncollected pymts, Fed sources, unexpired –3 –3



3090 Uncollected pymts, Fed sources, end of year –3 –6 –9
Memorandum (non-add) entries:
3100 Obligated balance, start of year 1 8
3200 Obligated balance, end of year 8 –8

Budget authority and outlays, net:
Mandatory:
4090 Budget authority, gross 365 438 450
Outlays, gross:
4100 Outlays from new mandatory authority 338 433 445
4101 Outlays from mandatory balances 6 5 5



4110 Outlays, gross (total) 344 438 450
Offsets against gross budget authority and outlays:
Offsetting collections (collected) from:
4120 Federal sources –1 –1
4123 Non-Federal sources –365 –434 –446



4130 Offsets against gross budget authority and outlays (total) –365 –435 –447
Additional offsets against gross budget authority only:
4140 Change in uncollected pymts, Fed sources, unexpired –3 –3
4170 Outlays, net (mandatory) –21 3 3
4190 Outlays, net (total) –21 3 3

The Veterans Canteen Service was established to furnish, at reasonable prices, meals, merchandise, and services necessary for the comfort and well-being of veterans in VA medical facilities.

Financing._ Operations will be financed from current revenues.

Object Classification (in millions of dollars)


Identification code 36–4014–0–3–705 2012 actual 2013 CR 2014 est.

Reimbursable obligations:
Personnel compensation:
11.1 Full-time permanent 136 139 143
11.3 Other than full-time permanent 1 1 1



11.9 Total personnel compensation 137 140 144
12.1 Civilian personnel benefits 3 4 5
21.0 Travel and transportation of persons 4 5 4
25.2 Other services from non-Federal sources 6 6 6
26.0 Supplies and materials 200 257 285
31.0 Equipment 1 21 1



99.9 Total new obligations 351 433 445

Employment Summary


Identification code 36–4014–0–3–705 2012 actual 2013 CR 2014 est.

2001 Reimbursable civilian full-time equivalent employment 3,294 3,500 3,550

Medical Center Research Organizations

Program and Financing (in millions of dollars)


Identification code 36–4026–0–3–703 2012 actual 2013 CR 2014 est.

Obligations by program activity:
0801 Operating expenses 244 285 298

Budgetary Resources:
Unobligated balance:
1000 Unobligated balance brought forward, Oct 1 6 6
Budget authority:
Spending authority from offsetting collections, mandatory:
1800 Collected 250 285 298



1850 Spending auth from offsetting collections, mand (total) 250 285 298
1930 Total budgetary resources available 250 291 304
Memorandum (non-add) entries:
1941 Unexpired unobligated balance, end of year 6 6 6

Change in obligated balance:
Unpaid obligations:
3000 Unpaid obligations, brought forward, Oct 1 6
3010 Obligations incurred, unexpired accounts 244 285 298
3020 Outlays (gross) –250 –285 –298
Memorandum (non-add) entries:
3100 Obligated balance, start of year 6

Budget authority and outlays, net:
Mandatory:
4090 Budget authority, gross 250 285 298
Outlays, gross:
4100 Outlays from new mandatory authority 244 285 298
4101 Outlays from mandatory balances 6



4110 Outlays, gross (total) 250 285 298
Offsets against gross budget authority and outlays:
Offsetting collections (collected) from:
4123 Non-Federal sources –250 –285 –298

These nonprofit corporations provide a flexible funding mechanism for the conduct of approved research at Department of Veterans Affairs medical centers. These organizations will derive funds to operate various research activities from Federal and non-Federal sources. No appropriation is required to support these activities.

Object Classification (in millions of dollars)


Identification code 36–4026–0–3–703 2012 actual 2013 CR 2014 est.

Reimbursable obligations:
21.0 Travel and transportation of persons 7 9 9
25.2 Other services from non-Federal sources 211 245 256
26.0 Supplies and materials 18 22 24
31.0 Equipment 8 9 9



99.9 Total new obligations 244 285 298

Trust Funds

General Post Fund, National Homes

Special and Trust Fund Receipts (in millions of dollars)


Identification code 36–8180–0–7–705 2012 actual 2013 CR 2014 est.

0100 Balance, start of year 3
Receipts:
0220 General Post Fund, National Homes, Deposits 24 28 29
0240 General Post Fund, National Homes, Interest on Investments 2 2 2



0299 Total receipts and collections 26 30 31



0400 Total: Balances and collections 26 30 34
Appropriations:
0500 General Post Fund, National Homes –26 –27 –28



0799 Balance, end of year 3 6

Program and Financing (in millions of dollars)


Identification code 36–8180–0–7–705 2012 actual 2013 CR 2014 est.

Obligations by program activity:
0001 Religious, recreational, and entertainment activities 23 23 24
0003 Therapeutic residence maintenance 1 1



0900 Total new obligations 23 24 25

Budgetary Resources:
Unobligated balance:
1000 Unobligated balance brought forward, Oct 1 80 83 86
Budget authority:
Appropriations, mandatory:
1201 Appropriation (special or trust fund) 26 27 28



1260 Appropriations, mandatory (total) 26 27 28
1930 Total budgetary resources available 106 110 114
Memorandum (non-add) entries:
1941 Unexpired unobligated balance, end of year 83 86 89

Change in obligated balance:
Unpaid obligations:
3000 Unpaid obligations, brought forward, Oct 1 4 3 2
3010 Obligations incurred, unexpired accounts 23 24 25
3020 Outlays (gross) –24 –25 –26



3050 Unpaid obligations, end of year 3 2 1
Memorandum (non-add) entries:
3100 Obligated balance, start of year 4 3 2
3200 Obligated balance, end of year 3 2 1

Budget authority and outlays, net:
Mandatory:
4090 Budget authority, gross 26 27 28
Outlays, gross:
4100 Outlays from new mandatory authority 24 25
4101 Outlays from mandatory balances 24 1 1



4110 Outlays, gross (total) 24 25 26
4180 Budget authority, net (total) 26 27 28
4190 Outlays, net (total) 24 25 26

Memorandum (non-add) entries:
5000 Total investments, SOY: Federal securities: Par value 81 63 45
5001 Total investments, EOY: Federal securities: Par value 63 45 25

This fund consists of gifts, bequests, and proceeds from the sale of property left in the care of the facilities by former beneficiaries; patients' fund balances; and proceeds from the sale of effects of beneficiaries who die leaving no heirs or without having otherwise disposed of their estate. Such funds are used to promote the comfort and welfare of veterans at hospitals, nursing homes, and domiciliaries where no general appropriation is available. Public Law 102–54 authorizes compensation work therapy and therapeutic transitional housing and loan programs to be funded from the General Post Fund. (38 U.S.C. chs. 83 and 85.)

Object Classification (in millions of dollars)


Identification code 36–8180–0–7–705 2012 actual 2013 CR 2014 est.

Direct obligations:
25.2 Other services from non-Federal sources 9 9 9
26.0 Supplies and materials 12 13 13
31.0 Equipment 2 2 2
32.0 Land and structures 1



99.9 Total new obligations 23 24 25

Benefits Programs

Federal Funds

Compensation and Pensions

(including transfer of funds)

For the payment of compensation benefits to or on behalf of veterans and a pilot program for disability examinations as authorized by section 107 and chapters 11, 13, 18, 51, 53, 55, and 61 of title 38, United States Code; pension benefits to or on behalf of veterans as authorized by chapters 15, 51, 53, 55, and 61 of title 38, United States Code; and burial benefits, the Reinstated Entitlement Program for Survivors, emergency and other officers' retirement pay, adjusted-service credits and certificates, payment of premiums due on commercial life insurance policies guaranteed under the provisions of title IV of the Servicemembers Civil Relief Act (50 U.S.C. App. 541 et seq.) and for other benefits as authorized by sections 107, 1312, 1977, and 2106, and chapters 23, 51, 53, 55, and 61 of title 38, United States Code, $71,248,171,000, to remain available until expended: Provided, That not to exceed $9,232,000 of the amount appropriated under this heading shall be reimbursed to "General operating expenses, Veterans Benefits Administration'', "Medical support and compliance'', and "Information technology systems'' for necessary expenses in implementing the provisions of chapters 51, 53, and 55 of title 38, United States Code, the funding source for which is specifically provided as the "Compensation and pensions'' appropriation: Provided further, That such sums as may be earned on an actual qualifying patient basis, shall be reimbursed to "Medical care collections fund'' to augment the funding of individual medical facilities for nursing home care provided to pensioners as authorized.

Note.—A full-year 2013 appropriation for this account was not enacted at the time the budget was prepared; therefore, the budget assumes this account is operating under the Continuing Appropriations Resolution, 2013 (P.L. 112–175). The amounts included for 2013 reflect the annualized level provided by the continuing resolution.

Program and Financing (in millions of dollars)


Identification code 36–0102–0–1–701 2012 actual 2013 CR 2014 est.

Obligations by program activity:
0101 Veterans 48,002 54,536 58,641
0102 Survivors 5,755 6,064 6,432



0191 Compensation sub-total 53,757 60,600 65,073



0200 Other compensation expenses 53,757 60,600 65,073
0201 Chapter 18 21 22 22
0202 Clothing allowance 82 92 99
0203 Misc assistance (EAJ, SAFD) 11 12 12
0204 Medical exam pilot program 206 248 229
0205 OBRA payment to VBA and IT 2 2 2
0206 Reinstated entitlement program for survivors 4 6 4



0291 Total other compensation expenses 326 382 368



0293 Total compensation 54,083 60,982 65,441
0302 Veterans 3,478 3,671 3,849
0303 Survivors 1,414 1,557 1,725



0391 Pensions sub total 4,892 5,228 5,574
0401 Reimbursements to GOE, IT and VHA 25 10 10



0492 Total pensions 4,917 5,238 5,584
0502 Burial allowance 22 30 31
0503 Burial plots 9 17 18
0504 Service-connected deaths 41 49 52
0505 Burial flags 18 20 21
0506 Headstones and markers 62 72 77
0508 Graveliners 4 9 9
0509 Pre-Placed Crypts 11 9 14



0591 Total burial program 167 206 222



0900 Total new obligations (object class 42.0) 59,167 66,426 71,247

Budgetary Resources:
Unobligated balance:
1000 Unobligated balance brought forward, Oct 1 12,930 5,001
Budget authority:
Appropriations, mandatory:
1200 Appropriation 51,238 60,600 71,247
1221 Appropriations transferred from other accts [36–0137] 825



1260 Appropriations, mandatory (total) 51,238 61,425 71,247
1930 Total budgetary resources available 64,168 66,426 71,247
Memorandum (non-add) entries:
1941 Unexpired unobligated balance, end of year 5,001

Change in obligated balance:
Unpaid obligations:
3000 Unpaid obligations, brought forward, Oct 1 278 4,691 4,921
3010 Obligations incurred, unexpired accounts 59,167 66,426 71,247
3020 Outlays (gross) –54,754 –66,196 –71,003



3050 Unpaid obligations, end of year 4,691 4,921 5,165
Memorandum (non-add) entries:
3100 Obligated balance, start of year 278 4,691 4,921
3200 Obligated balance, end of year 4,691 4,921 5,165

Budget authority and outlays, net:
Mandatory:
4090 Budget authority, gross 51,238 61,425 71,247
Outlays, gross:
4100 Outlays from new mandatory authority 41,545 56,503 66,083
4101 Outlays from mandatory balances 13,209 9,693 4,920



4110 Outlays, gross (total) 54,754 66,196 71,003
4180 Budget authority, net (total) 51,238 61,425 71,247
4190 Outlays, net (total) 54,754 66,196 71,003

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


2012 actual 2013 CR 2014 est.

Enacted/requested:
Budget Authority 51,238 61,425 71,247
Outlays 54,754 66,196 71,003
Legislative proposal, subject to PAYGO:
Budget Authority –39
Outlays –39
Total:
Budget Authority 51,238 61,425 71,208
Outlays 54,754 66,196 70,964

WORKLOAD


2012 actual 2013 est 2014 est.

Compensation:
Rating-Related Actions 895,000 1,131,469 1,323,461
Non Rating Actions 332,438 389,349 427,024
Pension:
Rating-Related Actions 100,841 105,548 110,403
Non Rating Actions 489,887 487,041 490,464

This appropriation provides for the payment of compensation, pension, and burial benefits to veterans and survivors.

Compensation is paid to veterans for disabilities incurred in or aggravated during active military service. Dependency and Indemnity Compensation is paid to survivors of servicepersons or veterans whose death occurred while on active duty or as a result of service-connected disabilities. Compensation and vocational rehabilitation is provided to the children of Vietnam veterans who were born with certain birth defects. The Secretary may pay a clothing allowance to each veteran who uses a prescribed medication for a service-connected skin condition or wears a prosthetic or orthopedic appliance (including a wheelchair) which, in the judgment of the Secretary, tends to damage or tear the clothing of such veteran.

Miscellaneous benefits provided for are:

(a) payments for claims made pursuant to the provision of the World War Adjusted Compensation Act of 1924, as amended;

(b) a special allowance (38 U.S.C. 1312) to dependents of certain Veterans who died after December 31, 1956, but who were not fully and currently insured under the Social Security Act; and

(c) payments authorized by the Equal Access to Justice Act.

The appropriation also provides for a program to allow VA to perform income matches for certain compensation recipients.

In accordance with Public Law 97–377, the Reinstated Entitlement Program for Survivors (REPS) program restores Social Security benefits to certain surviving spouses or children of veterans who died of service-connected causes.

Legislation is proposed to provide a cost-of-living adjustment comparable to the annual social security increase to recipients of disability compensation, dependency and indemnity compensation, and clothing allowances. The increase, effective with payments made on January 1, 2014, is expected to be 2.2 percent.

AVERAGE NUMBER OF COMPENSATION CASES AND PAYMENTS


2012 actual 2013 est 2014 est.

Veterans:
Cases 3,440,255 3,648,314 3,846,018

Average payment per case, per year $13,953 $14,949 $15,247




Total obligations (in millions) $48,002 $54,537 $58,641



Survivors:
Cases 348,499 355,226 364,564

Average payment per case, per year $16,515 $17,070 $17,643




Total obligations (in millions) $5,755 $6,064 $6,432



Chapter 18:
Children 1,184 1,195 1,206

Average payment per case, per year $17,736 $18,037 $18,434




Total obligations (in millions) $21 $22 $22



Clothing allowance:
Number of veterans 110,414 117,092 123,437

Average payment per case, per year $741 $784 $800




Total obligations (in millions) $82 $92 $99



Other compensation caseload:
Other compensation caseload: 50 50 50

Equal Access to Justice payments 2,140 2,140 2,140



REPS:
Cases 214 183 181

Average benefit $20,125 $32,679 $23,085




Obligations (in millions) $4 $6 $4




Pension benefits may be paid to veterans or their survivors. A veteran's entitlement is based on active duty service of a specific length (normally 90 days or more) during a designated war period, disabilities considered permanent and total, and countable income below established levels. There is no disability requirement for survivor cases or veterans age 65 or older. Income support is provided at established benefit levels.

An automatic annual cost-of-living increase comparable to the annual social security increase is provided for those pensioners in the improved program and to parents receiving dependency and indemnity compensation. The increase, effective with payments made on January 1, 2014, is expected to be 2.2 percent.

AVERAGE NUMBER OF PENSION CASES AND PAYMENTS


2012 actual 2013 est. 2014 est.

Veterans:
Cases 314,072 313,794 314,706

Average payment per case, per year $11,077 $11,700 $12,232




Total obligations (in millions) $3,479 $3,671 $3,849



Survivors:
Cases 203,996 202,448 202,226

Average payment per case, per year $6,930 $7,689 $8,532




Total obligations (in millions) $1,414 $1,557 $1,725




Burial benefits provide for: (a) the payment of an allowance of $724 (plus transportation charges where death occurs under VA care) to reimburse, in part, the burial and funeral expense of an eligible deceased veteran; (b) the payment of $724 for a plot allowance where an eligible veteran is not buried in a national cemetery or other cemetery under the jurisdiction of the United States; (c) the payment of a burial allowance up to $2,000 when a veteran dies as a result of a service-connected disability; (d) furnishing a flag to drape the casket of each deceased veteran entitled thereto; (e) furnishing a headstone or marker for the grave of a veteran and, in certain cases, eligible dependents; and (f) authority to provide outer burial receptacles in the National Cemetery Administration.

NUMBER OF BURIAL BENEFITS


2012 actual 2013 est. 2014 est.

Burial allowance 43,994 47,294 49,221
Burial plot 22,826 24,538 25,538
Service-connected deaths 22,295 24,639 26,091
Burial flags 477,942 500,002 500,002
Headstones and markers 352,365 349,171 344,826
Graveliners 26,732 27,814 27,428
Preplaced crypts 16,791 24,000 36,080

Compensation and Pensions

(Legislative proposal, subject to PAYGO)

Program and Financing (in millions of dollars)


Identification code 36–0102–4–1–701 2012 actual 2013 CR 2014 est.

Obligations by program activity:
0101 Extend round-down of COLA –42
0506 Expand burial benefits 3



0900 Total new obligations (object class 42.0) –39

Budgetary Resources:
Budget authority:
Appropriations, mandatory:
1200 Appropriation –39



1260 Appropriations, mandatory (total) –39
1930 Total budgetary resources available –39

Change in obligated balance:
Unpaid obligations:
3010 Obligations incurred, unexpired accounts –39
3020 Outlays (gross) 39

Budget authority and outlays, net:
Mandatory:
4090 Budget authority, gross –39
Outlays, gross:
4100 Outlays from new mandatory authority –39
4180 Budget authority, net (total) –39
4190 Outlays, net (total) –39

Legislation will be proposed to extend the rounding-down of the Compensation and Dependency and Indemnification Compensation (DIC) cost of living adjustment, expand eligibility for veterans medallion for headstones, allow for Government-furnished headstones, expand authority to provide headstones and markers at tribal veterans cemeteries, provide burial receptacles for certain new casketed gravesites, and cover burial expenses for remains of unclaimed veterans.

Readjustment Benefits

For the payment of readjustment and rehabilitation benefits to or on behalf of veterans as authorized by chapters 21, 30, 31, 33, 34, 35, 36, 39, 41, 51, 53, 55, and 61 of title 38, United States Code, and for the payment of benefits under the Veterans Retraining Assistance Program, $13,135,898,000, to remain available until expended: Provided, That expenses for rehabilitation program services and assistance which the Secretary is authorized to provide under subsection (a) of section 3104 of title 38, United States Code, other than under paragraphs (1), (2), (5), and (11) of that subsection, shall be charged to this account.

Note.—A full-year 2013 appropriation for this account was not enacted at the time the budget was prepared; therefore, the budget assumes this account is operating under the Continuing Appropriations Resolution, 2013 (P.L. 112–175). The amounts included for 2013 reflect the annualized level provided by the continuing resolution.

Program and Financing (in millions of dollars)


Identification code 36–0137–0–1–702 2012 actual 2013 CR 2014 est.

Obligations by program activity:
0101 Sons and daughters 393 421 454
0102 Spouses 62 66 70



0191 Total education and training 455 487 524
0201 Vocational rehabilitation training 489 535 574
0202 Subsistence allowance 302 386 439
0203 Automobiles and adaptive equipment 110 117 123
0204 Housing grants 59 128 78
0205 Housing Technology Grants 1 1



0291 Total special assistance to disabled veterans 960 1,167 1,215
0301 Work study 35 39 48
0302 Payments to States 19 19 19
0303 All-volunteer assistance: Basic benefits and all other 9,277 10,337 11,384
0304 Veterans Retraining Assistance Program 6 1,101 498
0305 Tuition Assistance 10 8 7
0306 Licensing and Certification 2 2 2
0307 Reporting fees 11 13 13
0308 Reimbursement to GOE 5 1



0391 Total All-volunteer assistance and other 9,360 11,524 11,972



0799 Total direct obligations 10,775 13,178 13,711
0801 Veterans and servicepersons basic benefits 1 2 1
0802 Veterans and servicepersons supplementary benefits 130 105 106
0803 Chapter 1606 reservists benefits 97 100 97
0804 Chapter 1606 reservists supplementary benefits 60 61 60
0805 Chapter 1607 reservists benefits 77 54 40



0899 Total reimbursable obligations 365 322 304



0900 Total new obligations 11,140 13,500 14,015

Budgetary Resources:
Unobligated balance:
1000 Unobligated balance brought forward, Oct 1 1,221 2,554 575
Budget authority:
Appropriations, mandatory:
1200 Appropriation 12,108 12,024 13,136
1220 Appropriations transferred to other accts [36–0102] –825



1260 Appropriations, mandatory (total) 12,108 11,199 13,136
Spending authority from offsetting collections, mandatory:
1800 Collected 365 322 304



1850 Spending auth from offsetting collections, mand (total) 365 322 304
1900 Budget authority (total) 12,473 11,521 13,440
1930 Total budgetary resources available 13,694 14,075 14,015
Memorandum (non-add) entries:
1941 Unexpired unobligated balance, end of year 2,554 575

Change in obligated balance:
Unpaid obligations:
3000 Unpaid obligations, brought forward, Oct 1 101 546 585
3010 Obligations incurred, unexpired accounts 11,140 13,500 14,015
3020 Outlays (gross) –10,695 –13,461 –13,978



3050 Unpaid obligations, end of year 546 585 622
Memorandum (non-add) entries:
3100 Obligated balance, start of year 101 546 585
3200 Obligated balance, end of year 546 585 622

Budget authority and outlays, net:
Mandatory:
4090 Budget authority, gross 12,473 11,521 13,440
Outlays, gross:
4100 Outlays from new mandatory authority 9,374 10,361 12,819
4101 Outlays from mandatory balances 1,321 3,100 1,159



4110 Outlays, gross (total) 10,695 13,461 13,978
Offsets against gross budget authority and outlays:
Offsetting collections (collected) from:
4120 Federal sources –365 –322 –304
4180 Budget authority, net (total) 12,108 11,199 13,136
4190 Outlays, net (total) 10,330 13,139 13,674

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


2012 actual 2013 CR 2014 est.

Enacted/requested:
Budget Authority 12,108 11,199 13,136
Outlays 10,330 13,139 13,674
Legislative proposal, subject to PAYGO:
Budget Authority 12
Outlays 12
Total:
Budget Authority 12,108 11,199 13,148
Outlays 10,330 13,139 13,686

WORKLOAD - Vocational Rehabilitation and Employment


2012 actual 2013 est. 2014 est.

Evaluation and planning 77,944 78,723 79,511
Rehabilitation services 97,471 98,446 99,430
Employment services status 19,470 19,665 19,861
Vocational/educational counseling 24,077 24,318 24,561

WORKLOAD - Education


2012 actual 2013 est. 2014 est.

Original claims 493,696 562,800 599,382
Adjustments/supplemental claims 3,028,396 3,457,200 3,681,918

This appropriation finances educational assistance allowances for certain service persons, veterans, and for eligible dependents of those: (a) veterans who died from service-connected causes or have a total and permanent rated service-connected disability; and (b) servicepersons who were captured or missing in action. In addition, certain disabled veterans are provided with vocational rehabilitation, specially adapted housing grants, and automobile grants with the associated approved adaptive equipment. Voluntary contributions by eligible servicepersons and matching contributions provided by the Department of Defense are included in the Post-Vietnam Era Veterans Education Account.

The Post 9–11 GI Bill (Chapter 33)._Public Law 110–252 greatly expanded education benefits beginning on August 1, 2009. Based on length of active duty service and training rate, trainees may be entitled to benefits including: tuition and fees, housing allowance, books and supplies stipend, kickers, and Yellow Ribbon matching payments. Certain active duty members of the Armed Forces may transfer benefits to a spouse or children.

All volunteer force educational assistance (Montgomery GI Bill)._Public Law 98–525, enacted October 19, 1984, established two new educational programs: an assistance program for veterans who enter active duty during the period beginning July 1, 1985; and an assistance program for certain members of the Selected Reserve. Public Law 108–375 established a program to provide educational assistance to members of the reserve components called or ordered to active service in response to a war or national emergency declared by the President or the Congress, in recognition of the sacrifices that those members make in answering the call to duty. The Readjustment Benefit appropriation pays the basic benefit allowance for veterans, except for certain Post-Vietnam Era Veterans Education participants who transferred to the Montgomery GI Bill program. Supplementary educational assistance, Post-Vietnam Era Veterans Education converters, reservists, and the National Call to Service Program are financed by payments from Department of Defense.

Survivors and Dependents Educational Assistance (Chapter 35)._Benefits are provided to children and spouses of veterans who died of a service-connected disability or whose service-connected disability is rated permanent and total. In addition, dependents of servicepersons missing in action or interred by a hostile foreign government for more than 90 days are also eligible. The following table provides a comparison of trainees and costs for the Dependents Educational Assistance program.
The Veterans Retraining Assistance Program, established under Public Law 112–56, is a program that, from July 1, 2012 through March 31, 2014, provides up to 12 months of retraining assistance to veterans at least 35 years of age but not more than 60 years of age, who are unemployed, received an honorable discharge and have no eligibility remaining for other education benefits. Veterans participating in this program would receive monthly payments equal to the three-year payment rate under the Montgomery GI Bill (MGIB) chapter 30 program.
The following table shows a caseload and cost comparison for these beneficiaries under existing legislation.

CASELOAD AND AVERAGE COST DATA


2012 actual 2013 est. 2014 est.

Chapter 33:
Number of trainees 646,302 710,932 764,252

Average cost per trainee $13,080 $13,628 $14,249




Total cost (in millions) $8,453 $9,689 $10,890



Chapter 30:
Number of trainees 128,432 96,727 72,870

Average cost per trainee $7,860 $8,170 $8,866




Total cost (in millions) $932 $727 $592



Chapter 1606:
Number of trainees 60,393 59,292 54,934

Average cost per trainee $2,564 $2,682 $2,824




Total cost (in millions) $155 $159 $155



Chapter 1607:
Number of trainees 19,774 13,336 9,222

Average cost per trainee $3,893 $4,073 $4,288




Total cost (in millions) $77 $54 $40




Chapter 35 Sons and Daughters:
Number of trainees 73,102 74,801 76,540

Average cost per trainee (in dollars) $5,380 $5,628 $5,925




Total cost (in millions) $393 $421 $454



Chapter 35 Wives and Widow(ers):
Chapter 35 Wives and Widow(ers) 14,605 14,818 15,034

Average cost per trainee (in dollars) $4,245 $4,438 $4,672




Total cost (in millions) $62 $66 $70



Veterans Retraining Assistance Program:
Number of trainees 12,251 99,000 54,000

Average cost per trainee $501 $11,118 $9,231




Total cost (in millions) $6 $1,101 $498




Vocational Rehabilitation and Employment (Chapter 31)._Servicemembers and veterans with service-connected disabilities receive the assistance necessary to help them prepare for, obtain, and maintain suitable employment. Comprehensive assessments may include interest and aptitude testing as well as specialized assessments such as functional capacity examinations. During the training phase of the program, eligible servicemembers and veterans are provided assistance for necessary training such as tuition, fees, books and supplies at colleges, technical schools and other training programs. A veteran enrolled in training receives a monthly subsistence allowance. Eligible veterans may also receive specialized or adaptive equipment to help them overcome a disability or enable them to compete with non-disabled individuals. At the completion of training, veterans are provided with employment and placement services, including supplies and equipment needed to enter employment, adaptive equipment and workplace accommodations, incentives to employers to reimburse them for hiring and training veterans with disabilities, and two final months of subsistence allowance.

CASELOAD AND AVERAGE COST DATA


2012 actual 2013 est. 2014 est.

Chapter 31:
Rehabilitation, Evaluation, Planning and Service cases 28,850 30,287 31,195
Number of trainees 85,431 89,708 92,399

Average cost per trainee (in dollars) $9,255 $10,268 $10,960




Total cost (in millions) $791 $921 $1,013




Specially Adapted Housing Grants._Specially adapted housing grants are provided to certain severely disabled veterans. In 2012, the maximum grant amount was $63,870 and is projected to increase, based on a cost of construction index, to $66,538 in 2014. Veterans who suffer service-connected blindness or who have lost the use of both upper extremities can receive up to $12,756 in 2012. The maximum grant amount is projected to increase to $13,308 in 2014.

Specially Adapted Housing Assistive Technology Grants._Under the Veterans Benefits Act of 2010, (Public Law 111–275), VA may provide grants of up to $200,000 per fiscal year to individuals or entities for the development of specially adapted housing assistive technologies and limits to $1 million the aggregate amount of such grants VA may award in any fiscal year.

Automobile Grants and Adaptive Equipment._Certain disabled veterans are provided with automobile grants with the associated approved adaptive equipment. An allowance is provided to certain service-disabled veterans and servicepersons toward the purchase price of an automobile. The maximum allowance increased to $18,900 in 2012, under The Veterans Benefits Act of 2010, (Public Law 111–275) and will continue to increase based on the CPI-U. The maximum grant amount is projected to increase to $19,664 in 2014. Adaptive equipment and the maintenance and replacement of such equipment is also provided.

CASELOAD AND AVERAGE COST DATA


2012 actual 2013 est. 2014 est.

Housing grants:
Number of housing grants 1,501 3,617 2,469

Average cost per grant $39,321 $35,336 $31,601




Total cost (in millions) $59 $128 $78



Number of housing technology grants 0 5 5

Average cost per grant $0 $200,000 $200,000




Total cost (in millions) $0 $1 $1



Automobiles or other conveyances:
Number of conveyances 2,511 2,531 2,531

Average benefit $16,732 $17,067 $17,408




Obligations (in millions) $42 $43 $44



Adaptive equipment (including maintenance, repair, and installation for automobiles):
Number of items 7,816 7,816 7,816

Average benefit $8,732 $9,386 $10,088




Obligations (in millions) $68 $73 $79




Tuition Assistance._Public Law 106–398, enacted October 30, 2000, allows the military services to pay up to 100 percent of tuition and expenses charged by a school for service members. If a service department pays less than 100 percent, a service member eligible for the Montgomery GI Bill Active-duty (MGIB) or the Post 9–11 GI Bill (Chapter 33) can elect to receive VA benefits for all or a portion of the remaining expenses. Public Law 108–454 established a program that provides availability of education benefits for payment for national admissions exams and national exams for credit at institutions of higher education.

The National Exams._The benefit allows VA to reimburse for the fee charged for national tests for admission to institutions of higher learning and national tests providing an opportunity for course credit at institutions of higher learning.

Licensing and Certification Test Payments._Under Public Law 106–419, veterans and other eligible persons may receive up to $2,000 to pay fees required for civilian occupational licensing and certification examinations needed to enter, maintain, or advance in employment in a vocation or profession, effective March 1, 2001.

National Call to Service._The 2003 National Defense Authorization Act directs the Department of Defense to offer an active duty enlistment option of 15 months plus training time to facilitate interest in National Service. Program participants will be given the opportunity to select one of the following incentives: a $5,000 enlistment bonus, repayment of student loans up to $18,000, or one of two education allowances.

Work-Study._Certain veterans, reservists, and dependents pursuing a program of rehabilitation, education or training, who are enrolled as full-time students, can work up to 250 hours per semester, receiving the Federal ($7.25 as of July 24, 2009) or state minimum wage rate, whichever is higher.

Payments to States._State approving agencies are reimbursed for the costs of inspecting, approving, and supervising programs of education and training offered by educational institutions and training establishments in which veterans, dependents, and reservists are enrolled or are about to enter.

Reporting Fees._Reporting fees are paid to education and training institutions to help defray the costs of certifying education enrollment for veterans enrolled in training during a calendar year.

Object Classification (in millions of dollars)


Identification code 36–0137–0–1–702 2012 actual 2013 CR 2014 est.

41.0 Direct obligations: Grants, subsidies, and contributions 10,775 13,178 13,711
99.0 Reimbursable obligations 365 322 304



99.9 Total new obligations 11,140 13,500 14,015

Readjustment Benefits

(Legislative proposal, subject to PAYGO)

Program and Financing (in millions of dollars)


Identification code 36–0137–4–1–702 2012 actual 2013 CR 2014 est.

Obligations by program activity:
0201 Increase funding limitation for contracted counseling 1
0202 Extend round-down of COLA –1
0203 Extend authorization for work-study activities 1
0204 Improve Housing Grant Program 11



0393 Total Readjustment benefits direct program 12



0900 Total new obligations (object class 41.0) 12

Budgetary Resources:
Budget authority:
Appropriations, mandatory:
1200 Appropriation 12



1260 Appropriations, mandatory (total) 12
1900 Budget authority (total) 12
1930 Total budgetary resources available 12

Change in obligated balance:
Unpaid obligations:
3010 Obligations incurred, unexpired accounts 12
3020 Outlays (gross) –12

Budget authority and outlays, net:
Mandatory:
4090 Budget authority, gross 12
Outlays, gross:
4100 Outlays from new mandatory authority 12
4180 Budget authority, net (total) 12
4190 Outlays, net (total) 12

Legislation will be proposed to: extend rounding-down of education COLA through 2018; extend the pilot expansion of certain Work-study activities; increase the cap on contract vocational rehabilitation counseling; increase the limitation on new independent living cases; exclude temporary residence adaptation (TRA) grants from the specially adapted housing (SAH) grant limit; replace the SAH program's grant limit with limits to grant type; restore eligibility for housing adaptation; provide SAH grants to veterans living with family; provide refunds for the Montgomery GI Bill buy-up program.

Veterans Insurance and Indemnities

For military and naval insurance, national service life insurance, servicemen's indemnities, service-disabled veterans insurance, and veterans mortgage life insurance as authorized by chapters 19 and 21, title 38, United States Code, $77,567,000, to remain available until expended.

Note.—A full-year 2013 appropriation for this account was not enacted at the time the budget was prepared; therefore, the budget assumes this account is operating under the Continuing Appropriations Resolution, 2013 (P.L. 112–175). The amounts included for 2013 reflect the annualized level provided by the continuing resolution.

Program and Financing (in millions of dollars)


Identification code 36–0120–0–1–701 2012 actual 2013 CR 2014 est.

Obligations by program activity:
0010 VMLI death claims 23 23 23
0012 Payment to service-disabled veterans insurance 81 86 58



0100 Total direct expenses 104 109 81



0900 Total new obligations 104 109 81

Budgetary Resources:
Unobligated balance:
1000 Unobligated balance brought forward, Oct 1 1 1 1
Budget authority:
Appropriations, mandatory:
1200 Appropriation 100 105 77



1260 Appropriations, mandatory (total) 100 105 77
Spending authority from offsetting collections, mandatory:
1800 Collected 4 4 4



1850 Spending auth from offsetting collections, mand (total) 4 4 4
1900 Budget authority (total) 104 109 81
1930 Total budgetary resources available 105 110 82
Memorandum (non-add) entries:
1941 Unexpired unobligated balance, end of year 1 1 1

Change in obligated balance:
Unpaid obligations:
3000 Unpaid obligations, brought forward, Oct 1 1 1
3010 Obligations incurred, unexpired accounts 104 109 81
3020 Outlays (gross) –104 –110 –81



3050 Unpaid obligations, end of year 1
Memorandum (non-add) entries:
3100 Obligated balance, start of year 1 1
3200 Obligated balance, end of year 1

Budget authority and outlays, net:
Mandatory:
4090 Budget authority, gross 104 109 81
Outlays, gross:
4100 Outlays from new mandatory authority 104 109 81
4101 Outlays from mandatory balances 1



4110 Outlays, gross (total) 104 110 81
Offsets against gross budget authority and outlays:
Offsetting collections (collected) from:
4123 Non-Federal sources –4 –4 –4
4180 Budget authority, net (total) 100 105 77
4190 Outlays, net (total) 100 106 77

WORKLOAD


2012 actual 2013 est. 2014 est.

Policy service actions 941,142 908,140 874,246
Collections 919,415 844,200 770,600
Disability claims 44,695 58,380 58,310
Insurance awards 247,510 250,260 237,200

Note._Department of Veterans Affairs insurance policy loans are not an extension of Federal credit. Credit schedules previously shown for this account have been discontinued.
The insurance business line administers six life insurance programs, including two trust funds, two public enterprise funds, a trust revolving fund, and Veterans' Mortgage Life Insurance (VMLI), and supervises four additional programs for the benefit of servicepersons, veterans, and their beneficiaries through contracts with a commercial company. All programs are operated on a commercial basis, to the extent possible, consistent with all applicable statutes. The insurance appropriation is the supplemental funding mechanism for the following Government life insurance activities: National Service Life Insurance (NSLI); Service-Disabled Veterans Insurance Fund (S-DVI); and Veterans' Mortgage Life Insurance.

National Service Life Insurance._Payments are made to the NSLI fund for certain World War II veterans for: (a) extra hazards of service; (b) gratuitous insurance granted to certain persons unable to apply for National Service Life Insurance; and (c) death claims on policies under the waiver of a premium while the insured was on active duty.

Payment to Service-Disabled Veterans Insurance Fund._Payments are made to the S-DVI fund to supplement the premiums and other receipts of the fund in amounts necessary to pay claims on insurance policies issued to veterans with service-connected disabilities.

Veterans' Mortgage Life Insurance._Payments are made to mortgage holders under this program, which provides mortgage protection life insurance to veterans who have received a grant for specially adapted housing due to severe disabilities. The trend in the number and amount of insurance policies in force appears in the following table.

POLICIES AND INSURANCE IN FORCE


VMLI Policies 2012 actual 2013 est. 2014 est.

Number of Policies 2,466 2,390 2,390
Amount of Insurance (dollars in millions) $299 $313 $327

Object Classification (in millions of dollars)


Identification code 36–0120–0–1–701 2012 actual 2013 CR 2014 est.

42.0 Direct obligations: Insurance claims and indemnities 100 105 77
99.0 Reimbursable obligations 4 4 4



99.9 Total new obligations 104 109 81

Filipino Veterans Equity Compensation Fund

Program and Financing (in millions of dollars)


Identification code 36–1121–0–1–701 2012 actual 2013 CR 2014 est.

Obligations by program activity:
0001 Filipino veterans equity compensation fund 2 6 6



0900 Total new obligations (object class 42.0) 2 6 6

Budgetary Resources:
Unobligated balance:
1000 Unobligated balance brought forward, Oct 1 59 57 51
1930 Total budgetary resources available 59 57 51
Memorandum (non-add) entries:
1941 Unexpired unobligated balance, end of year 57 51 45

Change in obligated balance:
Unpaid obligations:
3010 Obligations incurred, unexpired accounts 2 6 6
3020 Outlays (gross) –2 –6 –6

Budget authority and outlays, net:
Discretionary:
Outlays, gross:
4011 Outlays from discretionary balances 2 6 6
4190 Outlays, net (total) 2 6 6

This fund was established under the Consolidated Security, Disaster Assistance, and Continuing Appropriations Act of 2009 (P.L. 110–329), to make payments to eligible persons who served in the Philippines during World War II. Payments were subsequently authorized by Congress in the American Recovery and Reinvestment Act of 2009 (P.L. 111–5). Original funding of $198,000,000 was supplemented by a transfer of $67,000,000 authorized by P.L. 111–212 that remains available until expended. Payments to citizens of the United States are $15,000. Payments to non-U.S. citizens are $9,000.

Service-disabled Veterans Insurance Fund

Program and Financing (in millions of dollars)


Identification code 36–4012–0–3–701 2012 actual 2013 CR 2014 est.

Obligations by program activity:
0801 Capital investment 20 22 23
0802 Death claims 94 112 124
0803 All other 8 9 9
0804 Payments to GOE and IT 7 7 8



0900 Total new obligations 129 150 164

Budgetary Resources:
Unobligated balance:
1000 Unobligated balance brought forward, Oct 1 20 44 56
Budget authority:
Spending authority from offsetting collections, mandatory:
1800 Collected 153 162 137



1850 Spending auth from offsetting collections, mand (total) 153 162 137
1900 Budget authority (total) 153 162 137
1930 Total budgetary resources available 173 206 193
Memorandum (non-add) entries:
1941 Unexpired unobligated balance, end of year 44 56 29

Change in obligated balance:
Unpaid obligations:
3000 Unpaid obligations, brought forward, Oct 1 14 13 13
3010 Obligations incurred, unexpired accounts 129 150 164
3020 Outlays (gross) –130 –150 –164



3050 Unpaid obligations, end of year 13 13 13
Memorandum (non-add) entries:
3100 Obligated balance, start of year 14 13 13
3200 Obligated balance, end of year 13 13 13

Budget authority and outlays, net:
Mandatory:
4090 Budget authority, gross 153 162 137
Outlays, gross:
4100 Outlays from new mandatory authority 96 93 95
4101 Outlays from mandatory balances 34 57 69



4110 Outlays, gross (total) 130 150 164
Offsets against gross budget authority and outlays:
Offsetting collections (collected) from:
4120 Federal sources –81 –86 –58
4123 Baseline Program [Interest on loans] –4 –4 –4
4123 Baseline Program [Premiums Earned] –51 –55 –58
4123 Baseline Program [Repayments of Loan/Liens] –17 –17 –17



4130 Offsets against gross budget authority and outlays (total) –153 –162 –137
4170 Outlays, net (mandatory) –23 –12 27
4190 Outlays, net (total) –23 –12 27

The Insurance Act of 1951 established the Service-Disabled Veterans Insurance (S-DVI) program for veterans with service-connected disabilities. S-DVI is open to veterans who separated from the service on or after April 25, 1951. This fund finances the payment of claims on existing life insurance policies and remains open for new issues at standard rates to veterans having service-connected disabilities.

Operating costs

Death claims._Represents payments to designated beneficiaries.

All other._Represents payments to policyholders who surrender their policies for their cash value and hold endowment policies which have matured.

Capital investment._A policyholder may borrow up to 94 percent of the value of his or her policy.

Payments to General Operating Expenses (GOE), Veterans Benefits Administration._Represents the administrative costs of claims processing and account maintenance.
The trend in the number and amount of policies in force is indicated in the following table.

POLICIES AND INSURANCE IN FORCE


2012 actual 2013 est. 2014 est.

Number of policies (EOY) 241,224 255,460 268,376
Insurance in force (dollars in millions) (EOY) $2,499 $2,660 $2,808

Financing._Operations are financed from premiums and other receipts. Additional funds are received by transfer from the Veterans Insurance and Indemnities appropriation, instead of direct appropriations to this fund.

Operating results and financial condition._Since premium and other receipts are insufficient to cover operations, the fund continues to project liabilities in excess of assets. The deficit is expected to reach an estimated $1,240 million by September 30, 2014.

Object Classification (in millions of dollars)


Identification code 36–4012–0–3–701 2012 actual 2013 CR 2014 est.

Reimbursable obligations:
33.0 Investments and loans 20 21 23
42.0 Insurance claims and indemnities 109 129 141



99.9 Total new obligations 129 150 164

Veterans Reopened Insurance Fund

Program and Financing (in millions of dollars)


Identification code 36–4010–0–3–701 2012 actual 2013 CR 2014 est.

Obligations by program activity:
0801 Death claims 32 34 32
0802 Dividends 5 4 3
0803 All other 5 5 5
0804 Capital investment: policy loans 1 1 1



0900 Total new obligations 43 44 41

Budgetary Resources:
Unobligated balance:
1000 Unobligated balance brought forward, Oct 1 237 212 184
Budget authority:
Spending authority from offsetting collections, mandatory:
1800 Collected 19 16 14
1801 Change in uncollected payments, Federal sources –1



1850 Spending auth from offsetting collections, mand (total) 18 16 14
1930 Total budgetary resources available 255 228 198
Memorandum (non-add) entries:
1941 Unexpired unobligated balance, end of year 212 184 157

Change in obligated balance:
Unpaid obligations:
3000 Unpaid obligations, brought forward, Oct 1 48 44 41
3010 Obligations incurred, unexpired accounts 43 44 41
3020 Outlays (gross) –47 –47 –45



3050 Unpaid obligations, end of year 44 41 37
Uncollected payments:
3060 Uncollected pymts, Fed sources, brought forward, Oct 1 –4 –3 –3
3070 Change in uncollected pymts, Fed sources, unexpired 1



3090 Uncollected pymts, Fed sources, end of year –3 –3 –3
Memorandum (non-add) entries:
3100 Obligated balance, start of year 44 41 38
3200 Obligated balance, end of year 41 38 34

Budget authority and outlays, net:
Mandatory:
4090 Budget authority, gross 18 16 14
Outlays, gross:
4100 Outlays from new mandatory authority 18 16 14
4101 Outlays from mandatory balances 29 31 31



4110 Outlays, gross (total) 47 47 45
Offsets against gross budget authority and outlays:
Offsetting collections (collected) from:
4121 Baseline Program [Fund Earnings] –14 –12 –10
4123 Baseline Program [Fund Premiums] –2 –2 –2
4123 Baseline Program [Cash Collections] –3 –2 –2



4130 Offsets against gross budget authority and outlays (total) –19 –16 –14
Additional offsets against gross budget authority only:
4140 Change in uncollected pymts, Fed sources, unexpired 1
4170 Outlays, net (mandatory) 28 31 31
4190 Outlays, net (total) 28 31 31

Memorandum (non-add) entries:
5000 Total investments, SOY: Federal securities: Par value 281 253 222
5001 Total investments, EOY: Federal securities: Par value 253 222 191

Note._Department of Veterans Affairs insurance policy loans are not an extension of Federal credit. Credit schedules previously shown for this account have been discontinued.
This fund pays claims and administrative costs on participating life insurance policies issued during the period May 1, 1965, through May 2, 1966, under three life insurance programs: (1) service-disabled standard insurance; (2) service-disabled rated insurance; and (3) nonservice-disabled insurance availing disabled World War II and Korean conflict veterans an opportunity to acquire life insurance coverage who were no longer eligible for other government insurance.
Budget program:

Death claims._Represents payments to designated beneficiaries.

Dividends._Policyholders participate in the distribution of annual dividends.

All other._This represents resources for the administrative costs of processing claims and maintaining the accounts, and to those policyholders who: (a) surrender their policies for cash value; (b) hold endowment policies which have matured; and (c) have purchased total disability income coverage and subsequently become disabled.

Policy loans made._A policyholder may borrow up to 94 percent of the cash value of his policy at an interest rate adjusted to reflect private sector borrowing costs.

The following table reflects the decrease in the number of policies and the amount of insurance in force:

POLICIES AND INSURANCE IN FORCE


2012 actual 2013 est. 2014 est.

Number of policies 23,983 20,673 17,603
Insurance in force (dollars in millions) $248 $217 $186

Financing._Operations are financed from premiums collected from policyholders and interest on investments. Excess earnings of the fund are distributed to the policyholders in the form of an annual dividend.

Object Classification (in millions of dollars)


Identification code 36–4010–0–3–701 2012 actual 2013 CR 2014 est.

Reimbursable obligations:
33.0 Investments and loans 1 1 1
42.0 Insurance claims and indemnities 35 37 35
43.0 Interest and dividends 7 6 5



99.9 Total new obligations 43 44 41

Servicemembers' Group Life Insurance Fund

Program and Financing (in millions of dollars)


Identification code 36–4009–0–3–701 2012 actual 2013 CR 2014 est.

Obligations by program activity:
0801 Premium payments 803 822 833
0802 Payments to carrier 276 247
0803 Payment to GOE 3 3 3



0900 Total new obligations (object class 41.0) 1,082 1,072 836

Budgetary Resources:
Unobligated balance:
1000 Unobligated balance brought forward, Oct 1 1 1 1
Budget authority:
Spending authority from offsetting collections, mandatory:
1800 Collected 1,082 1,072 836



1850 Spending auth from offsetting collections, mand (total) 1,082 1,072 836
1930 Total budgetary resources available 1,083 1,073 837
Memorandum (non-add) entries:
1941 Unexpired unobligated balance, end of year 1 1 1

Change in obligated balance:
Unpaid obligations:
3010 Obligations incurred, unexpired accounts 1,082 1,072 836
3020 Outlays (gross) –1,082 –1,072 –836

Budget authority and outlays, net:
Mandatory:
4090 Budget authority, gross 1,082 1,072 836
Outlays, gross:
4100 Outlays from new mandatory authority 1,082 1,072 836
Offsets against gross budget authority and outlays:
Offsetting collections (collected) from:
4123 Non-Federal sources –1,082 –1,072 –836

Memorandum (non-add) entries:
5000 Total investments, SOY: Federal securities: Par value 1 1 1
5001 Total investments, EOY: Federal securities: Par value 1 1 1

This fund finances the payment of group life insurance premiums to private insurance companies under the Servicemembers' Group Life Insurance (SGLI) Act of 1965, as amended. SGLI is a program for Servicemembers on active duty, ready reservists, members of the National Guard, members of the Commissioned Corps of the National Oceanic and Atmospheric Administration and the Public Health Service, cadets and midshipmen of the four service academies, and members of the Reserve Officer Training Corps. SGLI coverage is available in $50,000 increments up to the maximum of $400,000. Veterans' Group Life Insurance (VGLI) is a program of post-separation insurance which allows Servicemembers to convert their SGLI coverage to renewable term insurance. Family Servicemembers' Group Life Insurance (FSGLI) is a program extended to the spouses and dependent children of members insured under the SGLI program. FSGLI provides up to a maximum of $100,000 of insurance coverage for spouses, not to exceed the amount of SGLI the insured member has in force, and $10,000 of free coverage for dependent children. Spousal coverage is issued in increments of $10,000.

The Servicemembers' Group Life Insurance Traumatic Injury Protection Program (TSGLI) became effective December 1, 2005. TSGLI provides for payment between $25,000 and $100,000 (depending on the type of injury) to any member of the uniformed services covered by SGLI who sustains a traumatic injury that results in certain serious losses.

Object Classification (in millions of dollars)


Identification code 36–4009–0–3–701 2012 actual 2013 CR 2014 est.

Reimbursable obligations:
41.0 Grants, subsidies, and contributions 1,082 1,072 836
99.0 Reimbursable obligations 1,082 1,072 836

Veterans Housing Benefit Program Fund

For the cost of direct and guaranteed loans, such sums as may be necessary to carry out the program, as authorized by subchapters I through III of chapter 37 of title 38, United States Code: 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 during fiscal year 2014, within the resources available, not to exceed $500,000 in gross obligations for direct loans are authorized for specially adapted housing loans.

In addition, for administrative expenses to carry out the direct and guaranteed loan programs, $158,430,000.

Program and Financing (in millions of dollars)


Identification code 36–1119–0–1–704 2012 actual 2013 CR 2014 est.

Obligations by program activity:
Credit program obligations:
0702 Loan guarantee subsidy 66
0705 Reestimates of direct loan subsidy 402 35
0706 Interest on reestimates of direct loan subsidy 327 16
0707 Reestimates of loan guarantee subsidy 689 1,187
0708 Interest on reestimates of loan guarantee subsidy 91 142
0709 Administrative expenses 142 156 158



0900 Total new obligations 1,717 1,536 158

Budgetary Resources:
Unobligated balance:
1000 Unobligated balance brought forward, Oct 1 59 1
1029 Other balances withdrawn –43



1050 Unobligated balance (total) 16 1
Budget authority:
Appropriations, discretionary:
1100 Appropriation 155 156 158



1160 Appropriation, discretionary (total) 155 156 158
Appropriations, mandatory:
1200 Appropriation 1,560 1,379



1260 Appropriations, mandatory (total) 1,560 1,379
1900 Budget authority (total) 1,715 1,535 158
1930 Total budgetary resources available 1,731 1,536 158
Memorandum (non-add) entries:
1940 Unobligated balance expiring –13
1941 Unexpired unobligated balance, end of year 1

Change in obligated balance:
Unpaid obligations:
3000 Unpaid obligations, brought forward, Oct 1 1
3010 Obligations incurred, unexpired accounts 1,717 1,536 158
3020 Outlays (gross) –1,717 –1,535 –158



3050 Unpaid obligations, end of year 1 1
Memorandum (non-add) entries:
3100 Obligated balance, start of year 1
3200 Obligated balance, end of year 1 1

Budget authority and outlays, net:
Discretionary:
4000 Budget authority, gross 155 156 158
Outlays, gross:
4010 Outlays from new discretionary authority 142 156 158
Mandatory:
4090 Budget authority, gross 1,560 1,379
Outlays, gross:
4100 Outlays from new mandatory authority 1,560 1,379
4101 Outlays from mandatory balances 15



4110 Outlays, gross (total) 1,575 1,379
4180 Budget authority, net (total) 1,715 1,535 158
4190 Outlays, net (total) 1,717 1,535 158

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


Identification code 36–1119–0–1–704 2012 actual 2013 CR 2014 est.

Direct loan levels supportable by subsidy budget authority:
115001 Acquired Direct Loans 5 46 55
115004 Vendee Direct Loans 158 222 358



115999 Total direct loan levels 163 268 413
Direct loan subsidy (in percent):
132001 Acquired Direct Loans 4.09 –2.29 –5.00
132004 Vendee Direct Loans –2.12 –14.25 –24.13



132999 Weighted average subsidy rate –1.93 –12.20 –21.58
Direct loan subsidy budget authority:
133001 Acquired Direct Loans –1 –3
133004 Vendee Direct Loans –3 –32 –86



133999 Total subsidy budget authority –3 –33 –89
Direct loan subsidy outlays:
134001 Acquired Direct Loans –1 –3
134004 Vendee Direct Loans –3 –32 –86



134999 Total subsidy outlays –3 –33 –89
Direct loan upward reestimates:
135001 Acquired Direct Loans 12
135004 Vendee Direct Loans 13 9
135005 Acquired and Vendee Loan Reestimates 717 29



135999 Total upward reestimate budget authority 730 50
Direct loan downward reestimates:
137001 Acquired Direct Loans –12
137004 Vendee Direct Loans –2 –15
137005 Acquired and Vendee Loan Reestimates –1



137999 Total downward reestimate budget authority –14 –16

Guaranteed loan levels supportable by subsidy budget authority:
215001 Housing Guaranteed Loans 120,062 108,211 65,533
215002 Guaranteed Loan Sale Securities—Vendee 190



215999 Total loan guarantee levels 120,252 108,211 65,533
Guaranteed loan subsidy (in percent):
232001 Housing Guaranteed Loans –0.14 –0.10 –0.02
232002 Guaranteed Loan Sale Securities—Vendee 10.75 0.00 0.00



232999 Weighted average subsidy rate –0.12 –0.10 –0.02
Guaranteed loan subsidy budget authority:
233001 Housing Guaranteed Loans –163 –108 –13
233002 Guaranteed Loan Sale Securities—Vendee 20



233999 Total subsidy budget authority –143 –108 –13
Guaranteed loan subsidy outlays:
234001 Housing Guaranteed Loans –163 –108 –13
234002 Guaranteed Loan Sale Securities—Vendee 20



234999 Total subsidy outlays –143 –108 –13
Guaranteed loan upward reestimates:
235001 Housing Guaranteed Loans 707 1,294
235002 Guaranteed Loan Sale Securities—Vendee 74 34



235999 Total upward reestimate budget authority 781 1,328
Guaranteed loan downward reestimates:
237001 Housing Guaranteed Loans –78 –18
237002 Guaranteed Loan Sale Securities—Vendee –19



237999 Total downward reestimate subsidy budget authority –78 –37

Administrative expense data:
3510 Budget authority 155 156 158
3590 Outlays from new authority 140 156 158

As required by the Federal Credit Reform Act of 1990, this account records, for these programs, the subsidy costs associated with the direct loans obligated and loan guarantees committed in 1992 and beyond, (including modifications of direct loans or loan guarantees that resulted from obligations or commitments in any year), as well as for the administrative expenses of these programs. The subsidy amounts are estimated on a net present value basis.

Veterans Affairs (VA) housing program account._The housing program helps eligible veterans, active duty personnel, surviving spouses, and members of the Reserves and National Guard purchase, retain, and adapt homes in recognition of their service to the Nation. When a borrower purchases a home, the program operates by substituting the Federal Government's guaranty for a down payment that might otherwise be required. Under 38 U.S.C. 3703, the guaranty amount for a borrower with full entitlement is as follows:
(a) 50 percent for loans of $45,000 or less;
(b) $22,500 for loans greater than $45,000, but no more than $56,250;
(c) The lesser of $36,000 or 40 percent of the loan amount for loans greater than $56,250, but not more than $144,000;
(d) 25 percent of the loan amount for loans of $144,001 to $417,000; or
(e) For certain loans in excess of $417,000, the guaranty will be the lesser of: 25 percent of the county loan limit, or 25 percent of the loan.
This appropriation provides for the corporate leadership and operational support to VA's housing business line.
The housing program facilitates the extension of private capital, on more liberal terms than generally available to nonveterans, to assist veterans and servicepersons in obtaining housing credit, and assist veterans in retaining their homes during periods of temporary economic difficulty through intensive supplemental mortgage loan servicing.

Guaranteed transitional housing loans for homeless veterans._Established as a pilot project by the Veterans Benefits Improvement Act of 1998, Public Law 105–368, this program will not execute any new loans. The existing loan will continue to be serviced within the financing account and no further funds will be required from the program account.

WORKLOAD [In thousands]


2012 actual 2013 est. 2014 est.

Construction and valuation 395 346 202
Loan processing 1074 941 548
Loan service and claims 108 115 115

Object Classification (in millions of dollars)


Identification code 36–1119–0–1–704 2012 actual 2013 CR 2014 est.

Direct obligations:
25.2 Other services from non-Federal sources 142 156 158
41.0 Grants, subsidies, and contributions 1,575 1,380



99.9 Total new obligations 1,717 1,536 158

Housing Direct Loan Financing Account

Program and Financing (in millions of dollars)


Identification code 36–4127–0–3–704 2012 actual 2013 CR 2014 est.

Obligations by program activity:
0003 Property sales expense 1 3
0004 Property management/other expense 8 5 14



0091 Direct program activities, subtotal 8 6 17
Credit program obligations:
0710 Direct loan obligations 163 268 413
0713 Payment of interest to Treasury 112 97 105
0740 Negative subsidy obligations 3 33 89
0742 Downward reestimate paid to receipt account 13 15
0743 Interest on downward reestimates 1 1



0791 Direct program activities, subtotal 292 414 607



0900 Total new obligations 300 420 624

Budgetary Resources:
Unobligated balance:
1000 Unobligated balance brought forward, Oct 1 169 89
1023 Unobligated balances applied to repay debt –157 –89



1050 Unobligated balance (total) 12
Financing authority:
Borrowing authority, mandatory:
1400 Borrowing authority 1,278 420 624
1421 Borrowing authority applied to repay debt –1,008



1440 Borrowing authority, mandatory (total) 270 420 624
Spending authority from offsetting collections, mandatory:
1800 Collected 1,070 120 114
1825 Spending authority from offsetting collections applied to repay debt –963 –120 –114



1850 Spending auth from offsetting collections, mand (total) 107
1900 Financing authority (total) 377 420 624
1930 Total budgetary resources available 389 420 624
Memorandum (non-add) entries:
1941 Unexpired unobligated balance, end of year 89

Change in obligated balance:
Unpaid obligations:
3000 Unpaid obligations, brought forward, Oct 1 8 5
3010 Obligations incurred, unexpired accounts 300 420 624
3020 Financing disbursements (gross) –308 –415 –621



3050 Unpaid obligations, end of year 5 8
Memorandum (non-add) entries:
3100 Obligated balance, start of year 8 5
3200 Obligated balance, end of year 5 8

Financing authority and disbursements, net:
Mandatory:
4090 Financing authority, gross 377 420 624
Financing disbursements:
4110 Financing disbursements, gross 308 415 621
Offsets against gross financing authority and disbursements:
Offsetting collections (collected) from:
4120 Federal sources: Payments from program account –729 –50
4120 Reimbursements from DLFA –1 –1 –5
4120 Transfer of loan sales from loan sale security –190
4122 Interest on uninvested funds –81
4123 Interest and principal received on loans –59 –58 –76
4123 Fees –3 –3 –5
4123 Cash sale of properties –6 –8 –28
4123 Other –1



4130 Offsets against gross financing auth and disbursements (total) –1,070 –120 –114



4160 Financing authority, net (mandatory) –693 300 510
4170 Financing disbursements, net (mandatory) –762 295 507
4180 Financing authority, net (total) –693 300 510
4190 Financing disbursements, net (total) –762 295 507

Status of Direct Loans (in millions of dollars)


Identification code 36–4127–0–3–704 2012 actual 2013 CR 2014 est.

Position with respect to appropriations act limitation on obligations:
1131 Direct loan obligations exempt from limitation 163 268 413



1150 Total direct loan obligations 163 268 413

Cumulative balance of direct loans outstanding:
1210 Outstanding, start of year 670 598 809
1231 Disbursements: Direct loan disbursements 163 268 413
Repayments:
1251 Repayments and prepayments –38 –25 –32
1253 Proceeds from loan asset sales to the public with recourse –190
Write-offs for default:
1263 Direct loans –12 –32 –14
1264 Other adjustments, Data Reconciliation 5



1290 Outstanding, end of year 598 809 1,176

As required by the Federal Credit Reform Act of 1990, this non-budgetary account records all cash flows to and from the Government resulting from direct loans obligated in 1992 and beyond (including modifications of direct loans that resulted from obligations in any year). The amounts in this account are a means of financing and are not included in the budget totals.

Balance Sheet (in millions of dollars)


Identification code 36–4127–0–3–704 2011 actual 2012 actual

ASSETS:
Federal assets:
1101 Fund balances with Treasury 177 88
Investments in US securities:
1106 Receivables, net 761 28
Net value of assets related to post-1991 direct loans receivable:
1401 Direct loans receivable, gross 670 598
1402 Interest receivable 12 14
1404 Foreclosed property 8 7
1405 Allowance for subsidy cost –6 21


1499 Net present value of assets related to direct loans 684 640
1901 Other Federal assets: Other assets 1


1999 Total assets 1,622 757
LIABILITIES:
Federal liabilities:
2103 Debt 1,599 749
2105 Other 17 8
2207 Non-Federal liabilities: Other 6


2999 Total liabilities 1,622 757


4999 Total liabilities and net position 1,622 757

Housing Guaranteed Loan Financing Account

Program and Financing (in millions of dollars)


Identification code 36–4129–0–3–704 2012 actual 2013 CR 2014 est.

Obligations by program activity:
0002 Losses on defaulted loans 811 718 750
0004 Reimburse DLFA for loan sales 190
0005 Payment to trustee reserve 29 19 19
0009 Property sales expense 72 97 115
0010 Property management expense 107 86 100
0011 Property improvement expense 1 9 10
0012 Loans acquired 5 55 64



0091 Direct program activities, subtotal 1,215 984 1,058
Credit program obligations:
0711 Default claim payments on principal 1,209 1,379 1,638
0713 Payment of interest to Treasury 1
0740 Negative subsidy obligations 208 108 13
0741 Modification savings 4
0742 Downward reestimate paid to receipt account 35 25
0743 Interest on downward reestimates 43 12



0791 Direct program activities, subtotal 1,500 1,524 1,651



0900 Total new obligations 2,715 2,508 2,709

Budgetary Resources:
Unobligated balance:
1000 Unobligated balance brought forward, Oct 1 3,248 3,909 5,253
Financing authority:
Borrowing authority, mandatory:
1400 Borrowing authority 24 108 13



1440 Borrowing authority, mandatory (total) 24 108 13
Spending authority from offsetting collections, mandatory:
1800 Collected 3,357 3,852 3,098
1801 Change in uncollected payments, Federal sources –5
1825 Spending authority from offsetting collections applied to repay debt –108 –13



1850 Spending auth from offsetting collections, mand (total) 3,352 3,744 3,085
1900 Financing authority (total) 3,376 3,852 3,098
1930 Total budgetary resources available 6,624 7,761 8,351
Memorandum (non-add) entries:
1941 Unexpired unobligated balance, end of year 3,909 5,253 5,642

Change in obligated balance:
Unpaid obligations:
3000 Unpaid obligations, brought forward, Oct 1 284 307 48
3010 Obligations incurred, unexpired accounts 2,715 2,508 2,709
3020 Financing disbursements (gross) –2,692 –2,767 –2,702



3050 Unpaid obligations, end of year 307 48 55
Uncollected payments:
3060 Uncollected pymts, Fed sources, brought forward, Oct 1 –5
3070 Change in uncollected pymts, Fed sources, unexpired 5
Memorandum (non-add) entries:
3100 Obligated balance, start of year 279 307 48
3200 Obligated balance, end of year 307 48 55

Financing authority and disbursements, net:
Mandatory:
4090 Financing authority, gross 3,376 3,852 3,098
Financing disbursements:
4110 Financing disbursements, gross 2,692 2,767 2,702
Offsets against gross financing authority and disbursements:
Offsetting collections (collected) from:
4120 Payments from program account –846 –1,329
4120 Recoveries from DLFA –167 –210 –313
4122 Interest on uninvested funds –133 –383 –426
4123 Funding fees –1,179 –1,051 –944
4123 Cash sale of properties –791 –879 –1,415
4123 Redemption of properties and other –43
4123 Loan sale proceeds –198



4130 Offsets against gross financing auth and disbursements (total) –3,357 –3,852 –3,098
Additional offsets against financing authority only (total):
4140 Change in uncollected pymts, Fed sources, unexpired 5



4160 Financing authority, net (mandatory) 24
4170 Financing disbursements, net (mandatory) –665 –1,085 –396
4180 Financing authority, net (total) 24
4190 Financing disbursements, net (total) –665 –1,085 –396

Status of Guaranteed Loans (in millions of dollars)


Identification code 36–4129–0–3–704 2012 actual 2013 CR 2014 est.

Position with respect to appropriations act limitation on commitments:
2131 Guaranteed loan commitments exempt from limitation 120,062 108,211 65,533
2132 Guaranteed loan commitments for loan asset sales with recourse 190



2150 Total guaranteed loan commitments 120,252 108,211 65,533
2199 Guaranteed amount of guaranteed loan commitments 33,327 29,866 18,087

Cumulative balance of guaranteed loans outstanding:
2210 Outstanding, start of year 257,727 295,996 394,154
2231 Disbursements of new guaranteed loans 120,061 108,211 65,533
2232 Guarantees of loans sold to the public with recourse 190
2251 Repayments and prepayments –79,928 –7,882 –9,092
Adjustments:
2262 Terminations for default that result in acquisition of property –1,209 –1,379 –1,638
2263 Terminations for default that result in claim payments –845 –792 –833



2290 Outstanding, end of year 295,996 394,154 448,124

Memorandum:
2299 Guaranteed amount of guaranteed loans outstanding, end of year 85,772 111,467 125,395

As required by the Federal Credit Reform Act of 1990, this non-budgetary account records all cash flows to and from the Government resulting from loan guarantees committed in 1992 and beyond, including modifications of guaranteed loans that resulted from commitments in any year, and from the guarantee of loans sold through the securitization programs. The amounts in this account are a means of financing and are not included in the budget totals.

Balance Sheet (in millions of dollars)


Identification code 36–4129–0–3–704 2011 actual 2012 actual

ASSETS:
Federal assets:
1101 Fund balances with Treasury 3,527 4,216
Investments in US securities:
1106 Receivables, net 969 895
Net value of assets related to post-1991 acquired defaulted guaranteed loans receivable:
1504 Accounts receivable from foreclosed property 11 6
1504 Foreclosed property 852 813


1599 Net present value of assets related to defaulted guaranteed loans 863 819


1999 Total assets 5,359 5,930
LIABILITIES:
Federal liabilities:
2103 Debt 24
2105 Other liabilities 15 42
Non-Federal liabilities:
2201 Accounts payable 286 308
2204 Non-federal liabilities for loan guarantees 5,058 5,556


2999 Total liabilities 5,359 5,930


4999 Total liabilities and net position 5,359 5,930

Housing Liquidating Account

Program and Financing (in millions of dollars)


Identification code 36–4025–0–3–704 2012 actual 2013 CR 2014 est.

Obligations by program activity:
0105 Other operating expenses 2 2 2
Credit program obligations:
0711 Default claim payments on principal 3 2 2



0900 Total new obligations 5 4 4

Budgetary Resources:
Unobligated balance:
1000 Unobligated balance brought forward, Oct 1 1 3
1022 Capital transfer of unobligated balances to general fund –3



1050 Unobligated balance (total) 1
Budget authority:
Spending authority from offsetting collections, mandatory:
1800 Collected 14 12 11
1820 Capital transfer of spending authority from offsetting collections to general fund –7 –8 –7



1850 Spending auth from offsetting collections, mand (total) 7 4 4
1930 Total budgetary resources available 8 4 4
Memorandum (non-add) entries:
1941 Unexpired unobligated balance, end of year 3

Change in obligated balance:
Unpaid obligations:
3000 Unpaid obligations, brought forward, Oct 1 3 3
3010 Obligations incurred, unexpired accounts 5 4 4
3020 Outlays (gross) –5 –7 –4



3050 Unpaid obligations, end of year 3
Memorandum (non-add) entries:
3100 Obligated balance, start of year 3 3
3200 Obligated balance, end of year 3

Budget authority and outlays, net:
Mandatory:
4090 Budget authority, gross 7 4 4
Outlays, gross:
4100 Outlays from new mandatory authority 2 4 4
4101 Outlays from mandatory balances 3 3



4110 Outlays, gross (total) 5 7 4
Offsets against gross budget authority and outlays:
Offsetting collections (collected) from:
4120 Federal sources –1
4123 Loan repayments and prepayments –3 –2 –2
4123 Sale of homes, cash –2 –2 –1
4123 Interest on loans –1 –1 –1
4123 Interest on subordinate certificates –1 –1 –1
4123 Interest collection on Veteran liability debts –3 –2 –2
4123 Principal collection on Veteran liability debts –3 –4 –4



4130 Offsets against gross budget authority and outlays (total) –14 –12 –11



4160 Budget authority, net (mandatory) –7 –8 –7
4170 Outlays, net (mandatory) –9 –5 –7
4180 Budget authority, net (total) –7 –8 –7
4190 Outlays, net (total) –9 –5 –7

Memorandum (non-add) entries:
5010 Total investments, SOY: non-Fed securities: Market value 140 140 140
5011 Total investments, EOY: non-Fed securities: Market value 140 140 140

Status of Direct Loans (in millions of dollars)


Identification code 36–4025–0–3–704 2012 actual 2013 CR 2014 est.

Cumulative balance of direct loans outstanding:
1210 Outstanding, start of year 14 11 9
1251 Repayments: Repayments and prepayments –3 –2 –2



1290 Outstanding, end of year 11 9 7

Status of Guaranteed Loans (in millions of dollars)


Identification code 36–4025–0–3–704 2012 actual 2013 CR 2014 est.

Cumulative balance of guaranteed loans outstanding:
2210 Outstanding, start of year 587 461 362
2251 Repayments and prepayments –123 –97 –76
2262 Adjustments: Terminations for default that result in acquisition of property –3 –2 –2



2290 Outstanding, end of year 461 362 284

Memorandum:
2299 Guaranteed amount of guaranteed loans outstanding, end of year 196 153 120

Addendum:
Cumulative balance of defaulted guaranteed loans that result in loans receivable:
2310 Outstanding, start of year 15 31 19
2351 Repayments of loans receivable –4 –8 –6
2361 Write-offs of loans receivable –2 –4 –2
2364 Other adjustments, net 22



2390 Outstanding, end of year 31 19 11

As required by the Federal Credit Reform Act of 1990, this account records all cash flows to and from the Government resulting from direct loans obligated and loan guarantees committed prior to 1992. All new activity in this program in 1992 and beyond is recorded in the corresponding program and financing accounts.

Balance Sheet (in millions of dollars)


Identification code 36–4025–0–3–704 2011 actual 2012 actual

ASSETS:
1101 Federal assets: Fund balances with Treasury 4 5
1201 Non-Federal assets: Investments in non-Federal securities, net 140 140
1601 Direct loans, gross 14 11
1603 Allowance for estimated uncollectible loans and interest (-) –2


1604 Direct loans and interest receivable, net 12 11
1606 Foreclosed property direct loans 10 10


1699 Value of assets related to direct loans 22 21
1701 Defaulted guaranteed loans, gross 15 31
1703 Allowance for estimated uncollectible loans and interest (-) –14 –10


1704 Defaulted guaranteed loans and interest receivable, net 1 21
1706 Foreclosed property 4 4


1799 Value of assets related to loan guarantees 5 25


1999 Total assets 171 191
LIABILITIES:
2103 Federal liabilities: Debt 169 189
2207 Non-Federal liabilities: Other 2 2


2999 Total liabilities 171 191


4999 Total liabilities and net position 171 191

Object Classification (in millions of dollars)


Identification code 36–4025–0–3–704 2012 actual 2013 CR 2014 est.

Direct obligations:
32.0 Land and structures 3 2 2
33.0 Investments and loans 2 2 2



99.9 Total new obligations 5 4 4

Native American Veteran Housing Loan Program Account

For administrative expenses to carry out the direct loan program authorized by subchapter V of chapter 37 of title 38, United States Code, $1,109,000.

Vocational Rehabilitation Loans Program Account

For the cost of direct loans, $5,000, as authorized by chapter 31 of title 38, United States Code: 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 funds made available under this heading are available to subsidize gross obligations for the principal amount of direct loans not to exceed $2,500,000.

In addition, for administrative expenses necessary to carry out the direct loan program, $354,000, which may be paid to the appropriation for "General operating expenses, Veterans Benefits Administration''.

Note.—A full-year 2013 appropriation for this account was not enacted at the time the budget was prepared; therefore, the budget assumes this account is operating under the Continuing Appropriations Resolution, 2013 (P.L. 112–175). The amounts included for 2013 reflect the annualized level provided by the continuing resolution.

Program and Financing (in millions of dollars)


Identification code 36–1120–0–1–704 2012 actual 2013 CR 2014 est.

Obligations by program activity:
Credit program obligations:
0705 Reestimates of direct loan subsidy 10 5
0706 Interest on reestimates of direct loan subsidy 3 1
0709 Administrative expenses 1 1 1



0900 Total new obligations 14 7 1

Budgetary Resources:
Unobligated balance:
1000 Unobligated balance brought forward, Oct 1 2 3 3
Budget authority:
Appropriations, discretionary:
1100 Appropriation 1 1 1



1160 Appropriation, discretionary (total) 1 1 1
Appropriations, mandatory:
1200 Appropriation 14 6



1260 Appropriations, mandatory (total) 14 6
1900 Budget authority (total) 15 7 1
1930 Total budgetary resources available 17 10 4
Memorandum (non-add) entries:
1941 Unexpired unobligated balance, end of year 3 3 3

Change in obligated balance:
Unpaid obligations:
3010 Obligations incurred, unexpired accounts 14 7 1
3020 Outlays (gross) –14 –7 –1

Budget authority and outlays, net:
Discretionary:
4000 Budget authority, gross 1 1 1
Outlays, gross:
4010 Outlays from new discretionary authority 1 1 1
Mandatory:
4090 Budget authority, gross 14 6
Outlays, gross:
4100 Outlays from new mandatory authority 13 6
4180 Budget authority, net (total) 15 7 1
4190 Outlays, net (total) 14 7 1

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


Identification code 36–1120–0–1–704 2012 actual 2013 CR 2014 est.

Direct loan levels supportable by subsidy budget authority:
115002 Native American Direct Loans 6 11 11
115003 Vocational Rehabilitation 2 3 3



115999 Total direct loan levels 8 14 14
Direct loan subsidy (in percent):
132002 Native American Direct Loans –11.97 –17.84 –16.75
132003 Vocational Rehabilitation 0.63 0.68 0.20



132999 Weighted average subsidy rate –8.82 –13.87 –13.12
Direct loan subsidy budget authority:
133002 Native American Direct Loans –1 –2 –2



133999 Total subsidy budget authority –1 –2 –2
Direct loan subsidy outlays:
134002 Native American Direct Loans –1 –2 –2



134999 Total subsidy outlays –1 –2 –2
Direct loan upward reestimates:
135002 Native American Direct Loans 13 6



135999 Total upward reestimate budget authority 13 6
Direct loan downward reestimates:
137002 Native American Direct Loans –5 –3



137999 Total downward reestimate budget authority –5 –3

The Native American Veterans Housing Loan program provides direct loans to veterans living on trust lands under 38 U.S.C. chapter 37, section 3761. These loans are available to purchase, construct, or improve homes to be occupied as the veteran's residence. This program began as a pilot in 1993 and was made permanent on June 15, 2006 through Public Law 109–233.

The Vocational Rehabilitation Loan Program provides additional funding assistance to cover the costs of subsistence, tuition, books, supplies, and equipment in conjunction with service connected disability benefits provided to Veterans participating in VA's Vocational Rehabilitation and Counseling Program as authorized by chapter 31 of title 38, United States Code. Repayment of these loans is made in monthly installments, without interest, through deductions from future payments of compensation, pension, subsistence allowance, educational assistance allowance, or retired pay.

Object Classification (in millions of dollars)


Identification code 36–1120–0–1–704 2012 actual 2013 CR 2014 est.

Direct obligations:
25.2 Other services from non-Federal sources 1 1 1
41.0 Grants, subsidies, and contributions 13 6



99.9 Total new obligations 14 7 1

Native American Direct Loan Financing Account

Program and Financing (in millions of dollars)


Identification code 36–4130–0–3–704 2012 actual 2013 CR 2014 est.

Obligations by program activity:
Credit program obligations:
0710 Direct loan obligations 6 11 11
0713 Payment of interest to Treasury 3 3 3
0740 Negative subsidy obligations 1 2 2
0742 Downward reestimate paid to receipt account 4 2
0743 Interest on downward reestimates 1 1



0900 Total new obligations 15 19 16

Budgetary Resources:
Unobligated balance:
1000 Unobligated balance brought forward, Oct 1 7 4
1023 Unobligated balances applied to repay debt –7



1050 Unobligated balance (total) 4
Financing authority:
Borrowing authority, mandatory:
1400 Borrowing authority 22 15 17
1421 Borrowing authority applied to repay debt –5



1440 Borrowing authority, mandatory (total) 17 15 17
Spending authority from offsetting collections, mandatory:
1800 Collected 19 15 10
1825 Spending authority from offsetting collections applied to repay debt –17 –15 –10



1850 Spending auth from offsetting collections, mand (total) 2
1900 Financing authority (total) 19 15 17
1930 Total budgetary resources available 19 19 17
Memorandum (non-add) entries:
1941 Unexpired unobligated balance, end of year 4 1

Change in obligated balance:
Unpaid obligations:
3000 Unpaid obligations, brought forward, Oct 1 1 3 1
3010 Obligations incurred, unexpired accounts 15 19 16
3020 Financing disbursements (gross) –13 –21 –16



3050 Unpaid obligations, end of year 3 1 1
Memorandum (non-add) entries:
3100 Obligated balance, start of year 1 3 1
3200 Obligated balance, end of year 3 1 1

Financing authority and disbursements, net:
Mandatory:
4090 Financing authority, gross 19 15 17
Financing disbursements:
4110 Financing disbursements, gross 13 21 16
Offsets against gross financing authority and disbursements:
Offsetting collections (collected) from:
4120 Federal sources –13 –6
4122 Interest on uninvested funds –1
4123 Non-federal sources - Repayments and prepayments of principal –5 –6 –7
4123 Non-Federal sources - Interest received on loans –3 –3



4130 Offsets against gross financing auth and disbursements (total) –19 –15 –10



4160 Financing authority, net (mandatory) 7
4170 Financing disbursements, net (mandatory) –6 6 6
4180 Financing authority, net (total) 7
4190 Financing disbursements, net (total) –6 6 6

Status of Direct Loans (in millions of dollars)


Identification code 36–4130–0–3–704 2012 actual 2013 CR 2014 est.

Position with respect to appropriations act limitation on obligations:
1131 Direct loan obligations exempt from limitation 6 11 11



1150 Total direct loan obligations 6 11 11

Cumulative balance of direct loans outstanding:
1210 Outstanding, start of year 61 56 61
1231 Disbursements: Direct loan disbursements 4 11 11
1251 Repayments: Repayments and prepayments –3 –6 –7
1264 Write-offs for default: Adjustment - reduction in subsidy allowance to account for reestimates analysis –6



1290 Outstanding, end of year 56 61 65

As required by the Federal Credit Reform Act of 1990, these non-budgetary accounts record all cash flows to and from the Government resulting from direct loans obligated in 1992 and beyond (including modifications of direct loans that resulted from obligations in any year). The amounts in the accounts are a means of financing and are not included in the budget totals.

Balance Sheet (in millions of dollars)


Identification code 36–4130–0–3–704 2011 actual 2012 actual

ASSETS:
Federal assets:
1101 Fund balances with Treasury 9 6
Investments in US securities:
1106 Receivables, net 3 5
Net value of assets related to post-1991 direct loans receivable:
1401 Direct loans receivable, gross 61 56
1402 Interest receivable 1 1


1499 Net present value of assets related to direct loans 62 57
1901 Other Federal assets: Other assets 2


1999 Total assets 74 70
LIABILITIES:
Federal liabilities:
2103 Federal liabilities debt 73 64
2105 Other liabilities 1 6


2999 Total liabilities 74 70


4999 Total liabilities and net position 74 70

Transitional Housing Direct Loan Financing Account

Program and Financing (in millions of dollars)


Identification code 36–4258–0–3–704 2012 actual 2013 CR 2014 est.

Budgetary Resources:
Unobligated balance:
1000 Unobligated balance brought forward, Oct 1 5 5 5
1930 Total budgetary resources available 5 5 5
Memorandum (non-add) entries:
1941 Unexpired unobligated balance, end of year 5 5 5

Status of Direct Loans (in millions of dollars)


Identification code 36–4258–0–3–704 2012 actual 2013 CR 2014 est.

Position with respect to appropriations act limitation on obligations:
1121 Limitation available from carry-forward 95 95 95
1143 Unobligated limitation carried forward –95 –95 –95



1150 Total direct loan obligations

Cumulative balance of direct loans outstanding:
1210 Outstanding, start of year 5 5 5



1290 Outstanding, end of year 5 5 5

Balance Sheet (in millions of dollars)


Identification code 36–4258–0–3–704 2011 actual 2012 actual

ASSETS:
1101 Federal assets: Fund balances with Treasury 5 5
Net value of assets related to post-1991 direct loans receivable:
1401 Direct loans receivable, gross 5 5
1405 Allowance for subsidy cost (-) –5 –5


1499 Net present value of assets related to direct loans


1999 Total assets 5 5
LIABILITIES:
2103 Federal liabilities: Debt 5 5


4999 Total liabilities and net position 5 5

Vocational Rehabilitation Direct Loan Financing Account

Program and Financing (in millions of dollars)


Identification code 36–4112–0–3–702 2012 actual 2013 CR 2014 est.

Obligations by program activity:
Credit program obligations:
0710 Direct loan obligations 3 3 3



0900 Total new obligations 3 3 3

Budgetary Resources:
Unobligated balance:
1000 Unobligated balance brought forward, Oct 1 1 1 1
Financing authority:
Borrowing authority, mandatory:
1400 Authority to borrow (indefinite) 3 3 3
1421 Borrowing authority applied to repay debt –2



1440 Borrowing authority, mandatory (total) 1 3 3
Spending authority from offsetting collections, mandatory:
1800 Collected 3 3 3
1825 Spending authority from offsetting collections applied to repay debt –1 –3 –3



1850 Spending auth from offsetting collections, mand (total) 2
1900 Financing authority (total) 3 3 3
1930 Total budgetary resources available 4 4 4
Memorandum (non-add) entries:
1941 Unexpired unobligated balance, end of year 1 1 1

Change in obligated balance:
Unpaid obligations:
3010 Obligations incurred, unexpired accounts 3 3 3
3020 Financing disbursements (gross) –3 –3 –3

Financing authority and disbursements, net:
Mandatory:
4090 Financing authority, gross 3 3 3
Financing disbursements:
4110 Financing disbursements, gross 3 3 3
Offsets against gross financing authority and disbursements:
Offsetting collections (collected) from:
4123 Repayments and prepayments of principal –3 –3 –3

Status of Direct Loans (in millions of dollars)


Identification code 36–4112–0–3–702 2012 actual 2013 CR 2014 est.

Position with respect to appropriations act limitation on obligations:
1111 Limitation on direct loans 3 3 3



1150 Total direct loan obligations 3 3 3

Cumulative balance of direct loans outstanding:
1210 Outstanding, start of year 1 2 2
1231 Disbursements: Direct loan disbursements 3 3 3
1251 Repayments: Repayments and prepayments –2 –3 –3



1290 Outstanding, end of year 2 2 2

Balance Sheet (in millions of dollars)


Identification code 36–4112–0–3–702 2011 actual 2012 actual

ASSETS:
Federal assets: Investments in US securities:
1104 Investments US Securities 1 1
1401 Net value of assets related to post-1991 direct loans receivable: Direct loans receivable, gross 1 2


1999 Total assets 2 3
LIABILITIES:
2103 Federal liabilities: Debt 2 3


4999 Total liabilities and net position 2 3

Trust Funds

Post-Vietnam Era Veterans Education Account

Program and Financing (in millions of dollars)


Identification code 36–8133–0–7–702 2012 actual 2013 CR 2014 est.

Obligations by program activity:
0003 Participant disenrollments 1 1 1



0900 Total new obligations (object class 41.0) 1 1 1

Budgetary Resources:
Unobligated balance:
1000 Unobligated balance brought forward, Oct 1 64 64 64
Budget authority:
Spending authority from offsetting collections, mandatory:
1800 Collected 1 1 1



1850 Spending auth from offsetting collections, mand (total) 1 1 1
1900 Budget authority (total) 1 1 1
1930 Total budgetary resources available 65 65 65
Memorandum (non-add) entries:
1941 Unexpired unobligated balance, end of year 64 64 64

Change in obligated balance:
Unpaid obligations:
3000 Unpaid obligations, brought forward, Oct 1 1 1 1
3010 Obligations incurred, unexpired accounts 1 1 1
3020 Outlays (gross) –1 –1 –1



3050 Unpaid obligations, end of year 1 1 1
Memorandum (non-add) entries:
3100 Obligated balance, start of year 1 1 1
3200 Obligated balance, end of year 1 1 1

Budget authority and outlays, net:
Mandatory:
4090 Budget authority, gross 1 1 1
Outlays, gross:
4100 Outlays from new mandatory authority 1 1
4101 Outlays from mandatory balances 1



4110 Outlays, gross (total) 1 1 1
Offsets against gross budget authority and outlays:
Offsetting collections (collected) from:
4120 Federal sources –1 –1 –1

This account consists of voluntary contributions by eligible servicepersons and matching contributions provided by the Department of Defense. The fund provides educational assistance payments to participants who entered the service after December 31, 1976, and are pursuing training under chapter 32, title 38, U.S.C. Section 901 is a non-contributory program with educational assistance provided by the Department of Defense. Public Law 99–576, enacted October 28, 1986, closed the program permanently for new enrollments effective March 31, 1987. Public Law 106–419, enacted November 1, 2000, provides qualified participants in this program another opportunity (through October 31, 2001) to convert to the All-Volunteer Force Educational Assistance program (Montgomery GI Bill). The estimated activity in the fund follows:

CONTRIBUTIONS, PARTICIPANTS, DISENROLLMENTS, REFUNDS AND TRAINEES [dollars in millions]


2012 actual 2013 est. 2014 est.

Total budget authority $1 $1 $1
Servicepersons contributions $0 $0 $0
Transferred from Department of Defense (bonus) $0 $0 $0
Transferred from Department of Defense (matching) $0 $0 $0
Transferred from Department of Defense (section 901) $0 $0 $0
Total participants (end of year) 192,778 192,318 191,912
Number of disenrollments 446 396 346
Total refunds $1 $1 $1
Total trainees 72 68 65
Total trainee cost $1 $1 $1
Total trainee cost $1,092 $1,092 $1,092
Section 901 trainees 24 23 22

National Service Life Insurance Fund

Special and Trust Fund Receipts (in millions of dollars)


Identification code 36–8132–0–7–701 2012 actual 2013 CR 2014 est.

0100 Balance, start of year 6,367 5,825 5,214
Receipts:
0220 NSLI Fund, Premium and Other Receipts 71 65 55
0240 NSLI Fund, Interest 366 305 259



0299 Total receipts and collections 437 370 314



0400 Total: Balances and collections 6,804 6,195 5,528
Appropriations:
0500 National Service Life Insurance Fund –436 –370 –315
0501 National Service Life Insurance Fund –543 –611 –613



0599 Total appropriations –979 –981 –928



0799 Balance, end of year 5,825 5,214 4,600

Program and Financing (in millions of dollars)


Identification code 36–8132–0–7–701 2012 actual 2013 CR 2014 est.

Obligations by program activity:
0001 Death claims 696 714 680
0002 Disability claims 5 4 4
0003 Matured endowments 37 48 59
0004 Cash surrenders 27 28 28
0005 Dividends 125 100 76
0006 Interest paid on dividend credits and deposits 42 37 35
0007 Payment to general operating expenses 18 23 21



0091 Total operating expenses 950 954 903
0201 Capital investment: Policy loans 29 27 25



0799 Total direct obligations 979 981 928
0801 Death claims 130 108 93
0802 Disability claims 1 1 1
0803 Matured endowments 7 7 8
0804 Cash surrenders 5 4 4
0805 Dividends 23 15 10
0806 Interest paid on dividend credits and deposits 8 6 4
0807 Payment to general operating expenses 3 3 3



0899 Total reimbursable obligations 177 144 123



0900 Total new obligations 1,156 1,125 1,051

Budgetary Resources:
Unobligated balance:
1000 Unobligated balance brought forward, Oct 1 1 1
Budget authority:
Appropriations, mandatory:
1201 Appropriation (special or trust fund) 436 370 315
1203 Appropriation (previously unavailable) 543 611 613



1260 Appropriations, mandatory (total) 979 981 928
Spending authority from offsetting collections, mandatory:
1800 Collected 178 144 123



1850 Spending auth from offsetting collections, mand (total) 178 144 123
1900 Budget authority (total) 1,157 1,125 1,051
1930 Total budgetary resources available 1,157 1,126 1,052
Memorandum (non-add) entries:
1941 Unexpired unobligated balance, end of year 1 1 1

Change in obligated balance:
Unpaid obligations:
3000 Unpaid obligations, brought forward, Oct 1 1,182 1,089 1,003
3010 Obligations incurred, unexpired accounts 1,156 1,125 1,051
3020 Outlays (gross) –1,249 –1,211 –1,143



3050 Unpaid obligations, end of year 1,089 1,003 911
Memorandum (non-add) entries:
3100 Obligated balance, start of year 1,182 1,089 1,003
3200 Obligated balance, end of year 1,089 1,003 911

Budget authority and outlays, net:
Mandatory:
4090 Budget authority, gross 1,157 1,125 1,051
Outlays, gross:
4100 Outlays from new mandatory authority 514 438
4101 Outlays from mandatory balances 1,249 697 705



4110 Outlays, gross (total) 1,249 1,211 1,143
Offset