NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
A. Reporting Entity
The U.S. Department of Labor (DOL), a cabinet level agency of the
Executive Branch of the United States Government, was established in 1913, to
promote the welfare of the wage earners of the United States. Today the
Department's mission remains the same: to foster and promote the welfare of the
job seekers, wage earners and retirees of the United States by improving their
working conditions, advancing their opportunities for profitable employment,
protecting their retirement and health care benefits, helping employers find
workers, strengthening free collective bargaining, and tracking changes in
employment, prices, and other economic measurements.
DOL is organized into major program agencies, which administer the
various statutes and programs for which the Department is responsible. Through
the execution of its congressionally approved budget, DOL conducts operations
in five major Federal program areas, under three major budget functions:
education, training, employment and social services, health (occupational
health and safety) and income security. DOL's major program agencies and the
major programs in which they operate, are shown below.
1. Major program agencies
- Employment and Training Administration (ETA)
- Employment Standards Administration (ESA)
- Occupational Safety and Health Administration (OSHA)
- Bureau of Labor Statistics (BLS)
- Mine Safety and Health Administration (MSHA)
- Pension and Welfare Benefits Administration (PWBA)
- Veterans' Employment and Training (VETS)
- Other Departmental Programs
- Office of the Assistant Secretary for Administration and
Management - Office of the Solicitor - Office of the Chief Financial
Officer - Office of the Inspector General - Bureau of International
Labor Affairs - Women's Bureau
2. Major programs
- Income maintenance
- Employment and training
- Labor, employment and pension standards
- Worker safety and health
- Statistics
The Pension Benefit Guaranty Corporation (PBGC), a wholly owned
Federal government corporation under the chairmanship of the Secretary of
Labor, has been designated by the Office of Management and Budget (OMB) as a
separate reporting entity for financial statement purposes and has been
excluded from the DOL reporting entity.
3. Fund accounting structure
DOL's financial activities are accounted for by Federal account
symbol, utilizing individual funds and fund accounts within distinct fund
types, as discussed below.
The Unemployment Trust Fund was established under the
authority of Section 904 of the Social Security Act of 1935, as amended, to
receive, hold, invest and disburse monies collected under the Federal
Unemployment Tax Act, as well as state unemployment taxes collected by the
states and transferred to the Fund, and unemployment taxes collected by the
Railroad Retirement Board and transferred to the Fund.
The Longshore and Harbor Workers' Compensation Act Trust
Fund, established under the authority of the Longshore and Harbor Workers'
Compensation Act, provides medical benefits, compensation for lost wages and
rehabilitation services for job related injuries and diseases or death to
private sector workers in certain maritime and related employment.
The District of Columbia Workmens' Compensation Act Trust
Fund, established under the authority District of Columbia Workmens'
Compensation Act provides compensation and medical payments to District of
Columbia employees for work related injuries or death which occurred prior to
July 26, 1982.
The Black Lung Disability Trust Fund, established under the
Black Lung Benefit Act, provides compensation and medical benefits to coal
miners who suffer disability due to pneumoconiosis, and compensation benefits
to their dependent survivors.
The Hazardous Substance Response Fund provides for clean
up of hazardous substance emergencies and abandoned hazardous waste sites.
Gifts and Bequests uses miscellaneous funds received by
gift or bequest to support various activities of the Secretary of Labor.
Salaries and Expenses include appropriated funds which
are used to carry out the missions and functions of the Department, except
where specifically provided for from other Departmental funds.
Training and Employment Services provides for a
flexible, decentralized system of Federal and local programs of training and
other services for the economically disadvantaged designed to lead to permanent
gains in employment, through grants to states and Federal programs such as Job
Corps, authorized by the Workforce Investment Act and the Job Training
Partnership Act.
Welfare to Work Jobs provides funding for the activities
of the Welfare-to-Work Grants program established by the Balanced Budget Act of
1997. The program provides formula grants to States and Federally administered
competitive grants to other eligible entities to assist welfare recipients in
securing lasting unsubsidized employment.
State Unemployment Insurance and Employment Service
Operations includes grants to states for administering the Unemployment
Compensation and Employment Service programs. Unemployment Compensation
provides administrative grants to state agencies which pay unemployment
benefits to eligible workers and collect state unemployment taxes from
employers. The Employment Service is a nationwide system providing no-fee
employment services to individuals seeking employment and to employers seeking
workers. Employment Service activities are financed by allotments to states
distributed under a demographically based funding formula established under the
Wagner-Peyser Act, as amended.
Payments to the Unemployment Trust Fund was initiated as
a result of amendments to the Emergency Unemployment Compensation (EUC) law,
which provided general fund financing to the Unemployment Trust Fund to pay
emergency unemployment benefits and associated administrative costs. The Fund
continues to process benefit overpayment refunds for the terminated EUC
program.
Advances to the Unemployment Trust Fund and Other Funds
provides advances to other accounts within the Unemployment Trust Fund to pay
unemployment compensation whenever the balances in these accounts prove
insufficient or whenever reimbursements to certain accounts, as allowed by law,
are to be made. This account also provides repayable advances to the Black Lung
Disability Trust Fund, to make disability payments whenever the fund balance
proves insufficient.
Federal Unemployment Benefits and Allowances provides
for payment of benefits, training, job search and relocation allowances as
authorized by the Trade Act of 1974.
Community Service Employment for Older Americans
provides part time work experience in community service activities to
unemployed, low income persons aged 55 and over.
The Federal Employees' Compensation Act Special Benefit
Fund provides wage replacement benefits and payment for medical services to
covered Federal civilian employees injured on the job, employees who have
incurred a work related occupational disease and beneficiaries of employees
whose death is attributable to a job related injury. The Fund also provides for
rehabilitation of injured employees to facilitate their return to work.
The Energy Employees Occupational Illness Compensation
Fund was established to adjudicate, administer and pay claims for benefits
under the Energy Employees Occupational Illness Compensation Program Act of
2000. The Act authorizes lump sum payments and the reimbursement of medical
expenses to employees of the Department of Energy (DOE) or of private companies
under contract with DOE, who suffer from specified diseases as a result of
their work in the nuclear weapons industry. The Act also authorizes
compensation to the survivors of these employees under certain circumstances.
The Working Capital Fund maintains and operates a program
of centralized services in the national office and the field. The Fund is paid
in advance by the agencies, bureaus and offices for which centralized services
are provided, at rates which return the full cost of operations.
The Panama Canal Commission Compensation Fund was
established to pay workers compensation obligations of the Panama Canal
Commission under the Federal Employees' Compensation Act from funding provided
by the Commission.
Salaries and Expenses, (H-1b Funded) provides
demonstration grants to regional and local entities to provide technical skills
training to unemployed and incumbent workers. The fund is supported by fees
paid by employers applying for foreign workers under the H-1b temporary alien
labor certification program authorized by the American Competitiveness and
Workforce Improvement Act of 1998.
Deposit funds account for monies held temporarily by DOL
until ownership is determined, or monies held by DOL as an agent for
others.
- Miscellaneous receipt and clearing accounts
Miscellaneous receipt accounts hold non entity receipts
and accounts receivable from DOL activities which by law, cannot be deposited
into funds under DOL control. The U.S. Department of the Treasury automatically
transfers all cash balances in these receipt accounts to the general fund of
the Treasury at the end of each fiscal year.
Clearing accounts hold monies which belong to DOL, but
for which a specific receipt account has not been determined.
4. Inter-Departmental relationships
DOL and the Department of the Treasury (Treasury) are jointly
responsible for the operations of the Unemployment Trust Fund and the Black
Lung Disability Trust Fund. DOL is responsible for the administrative oversight
and policy direction of the programs financed by these trust funds. Treasury
acts as custodian over monies deposited into the funds and also invests amounts
in excess of disbursing requirements in Treasury securities on behalf of DOL.
DOL consolidates the financial results of the Unemployment Trust Fund and the
Black Lung Disability Trust Fund into these financial statements.
B. Basis of Accounting and
Presentation
These consolidated financial statements present the financial
position, net cost of operations, changes in net position, budgetary resources,
financing and custodial activities of the U.S. Department of Labor, in
accordance with accounting principles generally accepted in the United States
of America and the form and content requirements of OMB Bulletin 97-01. They
have been prepared from the books and records of DOL, and include the accounts
of all funds under the control of the DOL reporting entity. All interfund
balances and transactions have been eliminated.
The consolidated financial statements also include Federal
employee pension and other retirement benefit costs paid by the Office of
Personnel Management (OPM) and imputed to DOL. They do not include the effect
of any other centrally administered assets and liabilities related to the
Federal government as a whole, which may be attributable to DOL.
Accounting principles generally accepted in the United States of
America encompass both accrual and budgetary transactions. Under accrual
accounting, revenues are recognized when earned, and expenses are recognized
when a liability is incurred. Budgetary accounting facilitates compliance with
legal constraints on, and controls over, the use of federal funds. These
consolidated financial statements are different from the financial reports,
also prepared by DOL pursuant to OMB directives, used to monitor DOL's use of
budgetary resources.
C. Funds with U.S. Treasury
DOL's cash receipts and disbursements are processed by the U.S.
Treasury. Funds with U.S. Treasury represent obligated and unobligated balances
available to finance allowable expenditures and restricted balances, including
amounts related to expired authority and amounts not available for use by DOL.
(See Note 2.)
D. Investments
DOL trust fund balances not required to meet current expenditures
are invested by Treasury in interest bearing securities of the U.S. government.
Balances held in the Unemployment Trust Fund are invested in non-marketable,
special issue Treasury securities, available for purchase exclusively by
Federal government agencies and trust funds. Special issues are purchased and
redeemed at face value (cost), which is equivalent to their net carrying value
on the Consolidated Balance Sheet. Interest rates and maturity dates vary.
Balances held in the Longshore and Harbor Workers' Trust Fund and
the District of Columbia Trust Fund, as well as balances held in the Panama
Canal Commission Compensation Fund, the Energy Employees Occupational Illness
Compensation Fund and the Backwage Restitution Fund are invested in marketable
Treasury securities. These investments are stated at amortized cost, which is
equivalent to their net carrying value on the Consolidated Balance Sheet.
Discounts and premiums are amortized using the straight-line method, which
approximates the effective interest method. Interest rates and maturity dates
vary.
Management expects to hold these marketable securities until
maturity; therefore, no provision is made in the financial statements for
unrealized gains or losses. (See Note 3.)
E. Accounts Receivable, Net of
Allowance
Accounts receivable consists of intra-governmental amounts due to
the Department, as well as amounts due from the public.
1. Intra-governmental accounts receivable
DOL recognizes as intra-governmental accounts receivable,
accrued interest income on investments in Treasury securities held by the
Unemployment Trust Fund. (See Note 3.)
The Federal Employees Compensation (FEC) account within the
Unemployment Trust Fund provides unemployment insurance to eligible Federal
workers (UCFE) and ex-service members (UCX). DOL recognizes as accounts
receivable amounts due from other Federal agencies for unreimbursed UCFE and
UCX benefits.
DOL's Federal Employees' Compensation Act Special Benefit Fund
provides workers' compensation (FECA) benefits to eligible Federal workers on
behalf of other Federal agencies. DOL recognizes as accounts receivable amounts
due from other Federal agencies to the Special Benefit Fund for unreimbursed
FECA benefits .
DOL also has receivables from other Federal agencies for work
performed on their behalf under various reimbursable agreements. 2.
Accounts receivable due from the public
DOL recognizes as accounts receivable State unemployment taxes
due from covered employers. Also recognized as accounts receivable are benefit
overpayments made by DOL to individuals not entitled to receive the benefit.
DOL recognizes as accounts receivable amounts due from the
public for fines and penalties levied against employers by OSHA, MSHA, ESA and
PWBA; for amounts due for backwages assessed against employers by ESA; and for
amounts due from grantees and contractors for grant and contract costs
disallowed by ETA. 3. Allowance for doubtful accounts
Accounts receivable are stated net of an allowance for
uncollectible accounts. The allowance is estimated based on an aging of account
balances, past collection experience and an analysis of outstanding accounts at
year end. (See Note 4.)
F. Advances
DOL advances consist primarily of payments made to State
employment security agencies (SESAs) and to grantees and contractors to provide
for future DOL program expenditures. These advance payments are recorded by DOL
as an asset, which is reduced when actual expenditures or the accrual of
unreported expenditures are recorded by DOL. (See Note
5.)
G. Property, Plant and Equipment, Net of
Depreciation
The majority of DOL's property, plant and equipment (PP&E) is
general purpose PP&E held by Job Corps centers owned and operated by DOL
through a network of contractors. DOL maintains the Capital Asset Tracking and
Reporting System (CATARS) to account for Job Corp's PP&E, as well as other
general purpose PP&E used by the Department. Internal use software is
considered general purpose PP&E.
Property, plant and equipment (excluding internal use software)
with a cost greater than $25,000 ($5,000 for the Working Capital Fund) and a
useful life of 2 or more years and internal use software with a cost greater
than $300,000 and a useful life of 2 or more years are capitalized. Property,
plant and equipment (excluding internal use software) costing less than $25,000
($5,000 for the Working Capital Fund) or having a useful life of less than 2
years and internal use software costing less than $300,000 or having a useful
life of less than 2 years are charged to expense at the time of purchase. Prior
to 2001, internally developed software in the Working Capital Fund with a cost
greater than $5,000 was capitalized, when the cost was intended to be recovered
through charges to other DOL users. Prior to 1996, property, plant and
equipment with a cost greater than $5,000 and a useful life of 2 or more years
were capitalized.
Property, plant and equipment purchases and additions are stated
at cost. Normal repairs and maintenance are charged to expense as incurred.
Plant and equipment are depreciated over their estimated useful lives using the
straight-line method of depreciation.
Job Corps center construction costs are capitalized as
construction-in-progress until completed. Upon completion they are reclassified
as structures or facilities, and depreciated over their estimated useful life.
Leasehold improvements made at Job Corps centers and DOL facilities leased from
the General Services Administration are recorded at cost and amortized over
their useful lives, using the straight-line method of amortization. ( DOL has
no operating leases which extend for a period of more than one year.)
Internal use software development costs are capitalized as
software development in progress until the development stage has been completed
and successfully tested. Upon completion and testing, software
development-in-progress costs are reclassified as ADP equipment and amortized
over their estimated useful life.
The table below shows the major classes of DOL's depreciable plant
and equipment, and the depreciation periods used for each major classification.
(See Note 6.)
|
Years |
Structures, facilities and improvements |
20 - 50 |
Furniture and equipment |
2 - 36 |
ADP software |
2 - 15 |
DOL grantees have acquired real and tangible property with Federal
grant funds in which DOL has a reversionary interest when the property is
disposed of or no longer used for its authorized purpose. DOL is entitled to a
pro rata share of the proceeds from sale of the property or a pro rata share of
the property's fair market value, if the property is retained by the grantee
but no longer used for DOL purposes.
The value of DOL's reversionary interest in real and tangible
property acquired with Federal grant funds can not be determined until the
grantee's intention to sell or convert the property is known.
H. Non-Entity Assets
Assets held by DOL which are not available to DOL for obligation
are considered non-entity assets. DOL holds non-entity assets for the Railroad
Retirement Board and for transfer to the U.S. Treasury. (See Note 7.)
I. Liabilities
Liabilities represent probable amounts to be paid by DOL as a
result of past transactions, and are recognized when incurred, regardless of
whether there are budgetary resources available to pay them. However, the
liquidation of these liabilities will consume budgetary resources and cannot be
made until available resources have been obligated. For financial reporting
purposes, DOL's liabilities are classified as covered or not covered by
budgetary resources. Liabilities are classified as covered by budgetary
resources if budgetary resources are available for consumption, regardless of
whether the available resources have been obligated. Liabilities are classified
as not covered by budgetary resources if budgetary resources are not available
for consumption. These classifications differ from budgetary reporting , which
categorizes liabilities as obligated, consuming budgetary resources, or
unobligated, not consuming budgetary resources. Unobligated liabilities include
those covered liabilities for which available budgetary resources have not been
obligated, as well as liabilities not covered for which budgetary resources are
not available. (See Notes 12 and
13.)
J. Advances from U.S. Treasury
The Benefits Revenue Act provides for repayable advances to DOL's
Black Lung Disability Trust Fund, in the event fund resources are not adequate
to meet fund obligations. Spending authority is derived from the Black Lung
Disability Trust Fund's indefinite authority to borrow. Repayable advances are
provided through transfers from the Advances to the Unemployment Trust Fund and
Other Funds appropriation, to the extent of borrowings under the authority.
Advances are repayable with interest at a rate determined by the Secretary of
the Treasury to be equal to the current average market yield on outstanding
marketable obligations of the United States with remaining periods to maturity
comparable to the anticipated period during which the advance will be
outstanding. Advances made prior to 1982 carried rates of interest equal to the
average rate borne by all marketable interest-bearing obligations of the United
States then forming a part of the public debt. Outstanding advances at
September 30, 2001 bear interest rates ranging from 5.500% to 13.875%.
Outstanding advances at September 30, 2000 bear interest rates ranging from
5.625% to 13.875%. Amounts in the trust fund shall be available, as provided by
appropriation acts, for the payment of interest on, and the repayment of these
repayable advances. Interest and principal are paid to the general fund of the
Treasury when the Secretary of the Treasury determines that funds are available
in the trust fund for such purposes. (See Note 8.)
K. Accrued Leave
A liability for annual and compensatory leave is accrued as leave
is earned and paid when leave is taken. At year end, leave balances are
revalued to reflect current wages. The balance of leave earned but not taken
will be paid from future funding sources. Sick leave and other types of
nonvested leave are expensed as taken.
L. Accrued Benefits
The financial statements include a liability for unemployment,
workers' compensation and disability benefits payable from various DOL funds,
as discussed below. (See Note 9.)
1. Unemployment benefits payable
The Unemployment Trust Fund provides benefits to unemployed
workers who meet State and Federal eligibility requirements. Regular and
extended unemployment benefits are paid from State accounts within the
Unemployment Trust Fund, financed primarily by a State unemployment tax on
employer payrolls. Fifty percent of the cost of extended unemployment benefits
is paid from the Extended Unemployment Compensation Account within the
Unemployment Trust Fund, financed by a Federal unemployment tax on employer
payrolls. Unemployment benefits to unemployed Federal workers are paid from the
Federal Employment Compensation Account within the Unemployment Trust Fund.
These benefit costs are reimbursed by the responsible Federal agency. A
liability is recognized for unpaid unemployment benefits applicable to the
current period and for benefits paid by states that have not been reimbursed by
the fund. DOL also recognizes a liability for Federal employees' unemployment
benefits to the extent of unpaid benefits for existing claims filed during the
current period, payable in the subsequent period.
2. Federal employees disability and 10h benefits payable
The Federal Employees' Compensation Act Special Benefit Fund
provides income and medical cost protection to covered Federal civilian
employees injured on the job, employees who have incurred a work-related
occupational disease and beneficiaries of employees whose death is attributable
to a job-related injury or occupational disease. The fund is reimbursed by
other Federal agencies for the FECA benefit payments made on behalf of their
workers. The fund assumes the liability for unreimbursed (non-chargeable) FECA
benefits. The fund also provides 50% of the annual cost-of-living adjustments
for pre-1972 compensation cases under the authority of Section 10(h) of the
Longshore and Harbor Workers' Compensation Act and the District of Columbia
Workmen's Compensation Act.
A liability for FECA benefits payable by the Special Benefit
Fund to the employees of other Federal agencies and for 10(h) benefits is
accrued to the extent of unpaid benefits applicable to the current period.
3. Black lung disability benefits payable
The Black Lung Disability Trust Fund provides for compensation
and medical benefits for eligible coal miners who are disabled due to
pneumoconiosis (black lung disease). DOL recognizes a liability for disability
benefits to the extent of unpaid benefits applicable to the current period.
4. Longshore and harbor workers' and District of Columbia
disability benefits payable
The Longshore and Harbor Workers' Compensation Trust Fund and
the District of Columbia Workmens' Compensation Trust Fund provide compensation
and medical benefits for work related injuries to workers in certain maritime
employment and to employees of the District of Columbia, respectively. DOL
recognizes a liability for disability benefits payable by these funds to the
extent of unpaid benefits applicable to the current period.
M. Future Workers' Compensation
Benefits
The financial statements include a liability for future workers'
compensation benefits payable by DOL to its employees, to employees of the
Panama Canal Commission and to enrollees of the Job Corps, as well as benefits
not chargeable to other Federal agencies, which must be paid by DOL's Federal
Employees' Compensation Act Special Benefit Fund . The liability includes the
expected payments for death, disability, medical and miscellaneous costs for
approved compensation cases, as well as a component for incurred but not
reported claims. The liability is determined using historical benefit payment
patterns related to a specific incurred period to predict the ultimate payments
related to that period. The methodology provides for the effects of inflation
and adjusts historical payments to current year constant dollars by applying
wage inflation factors (cost of living adjustments or COLAs) and medical
inflation factors (consumer price index medical or CPIMs) to the calculation of
projected benefits. The compensation COLAs and CPIMs used in the projections
for 2001 and 2000 were as follows:
|
2001 |
2000 |
2001 |
2000 |
|
|
|
|
|
|
2001 |
2000 |
2001 |
2000 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
FY |
COLA |
COLA |
CPIM |
CPIM |
|
|
|
|
|
FY |
COLA |
COLA |
CPIM |
CPIM |
1989 |
- |
4.52% |
- |
6.98% |
|
|
|
|
|
1998 |
2.70% |
2.67% |
2.77% |
2.76% |
1990 |
4.43% |
4.32% |
8.40% |
8.40% |
|
|
|
|
|
1999 |
1.53% |
1.53% |
3.51% |
3.51% |
1991 |
5.03% |
5.05% |
9.36% |
9.36% |
|
|
|
|
|
2000 |
1.97% |
1.97% |
3.70% |
3.69% |
1992 |
5.00% |
5.06% |
7.96% |
7.96% |
|
|
|
|
|
2001 |
2.93% |
2.83% |
4.42% |
4.24% |
1993 |
2.83% |
2.82% |
6.61% |
6.61% |
|
|
|
|
|
2002 |
3.33% |
2.90% |
4.44% |
4.10% |
1994 |
2.77% |
2.74% |
5.27% |
5.27% |
|
|
|
|
|
2003 |
3.00% |
2.53% |
4.15% |
4.16% |
1995 |
2.57% |
2.56% |
4.72% |
4.72% |
|
|
|
|
|
2004+ |
- |
2.60% |
- |
4.16% |
1996 |
2.63% |
2.60% |
3.99% |
4.00% |
|
|
|
|
|
2004 |
2.56% |
- |
4.09% |
- |
1997 |
2.77% |
2.85% |
3.11% |
3.11% |
|
|
|
|
|
2005+ |
2.50% |
- |
4.09% |
- |
Projected annual payments were discounted to present value based
on OMB's interest rate assumptions for ten year Treasury notes. For 2001,
interest rate assumptions were 5.21% in year one and thereafter. For 2000,
interest rate assumptions were 6.30% in year one and thereafter. (See
Note 10.)
N. Energy Employees Occupational Illness
Compensation Benefits
The Energy Employees Occupational Illness Compensation Fund,
established under the authority of the Energy Employees Occupational Illness
Compensation Program Act of 2000 (EEOICPA), provides benefits to eligible
current or former employees of the Department of Energy (DOE) and its
contractors, or to certain survivors of those employees and contractors, as
well as benefits to certain beneficiaries of the Radiation Exposure
Compensation Act. DOL is responsible for adjudicating and administering claims
filed under the EEOICPA. Effective July 31, 2001, compensation of $150,000 and
payment of medical expenses from the date a claim is filed are available to
covered individuals suffering from designated illnesses incurred as a result of
their work with DOE. Compensation of $50,000 and payment of medical expenses
from the date a claim is filed are available to individuals eligible for
compensation under of the Radiation Exposure Compensation Act. Projected
estimates of the liability determined from OMB and the Congressional Budget
Office (CBO) data ranged from $3.2 billion to $4.0 billion. DOL has recognized
a $3.2 billion liability for estimated future benefits payable by DOL at
September 30, 2001 to eligible individuals under the EEOICPA. The liability
includes the expected lump sum and medical payments for approved compensation
cases and cases filed pending approval, as well as claims incurred but not yet
filed. The liability was projected over a twenty year period and discounted to
present value based on OMB assumptions.
O. Employee Health and Life Insurance
Benefits
DOL employees are eligible to participate in the contributory
Federal Employees Health Benefit Program (FEHBP) and the Federal Employees
Group Life Insurance Program (FEGLIP). DOL matches the employee contributions
to each program to pay for current benefits. During 2001, DOL's contributions
to the FEHBP and FEGLIP were $50.0 and $1.7 million, respectively. During 2000,
DOL's contributions to the FEHBP and FEGLIP were $45.1 and $1.6 million,
respectively. These contributions are recognized as current operating
expenses.
P. Other Retirement Benefits
DOL employees eligible to participate in the FEHBP and the FEGLIP
may continue to participate in these programs after their retirement. DOL
recognizes a current operating expense for the future cost of these other
retirement benefits (ORB) at the time the employee's services are rendered.
This ORB expense must be financed by OPM, and is offset by DOL through
recognition of an imputed financing source. Using cost factors supplied by OPM,
DOL recorded ORB expense and imputed financing sources of $44.9 million in 2001
and $40.1 million in 2000.
Q. Employee Pension Benefits
DOL employees participate in either the Civil Service Retirement
System (CSRS) or the Federal Employees' Retirement System (FERS). For employees
participating in CSRS, 7.0% of their gross earnings is withheld and transferred
to the Civil Service Retirement and Disability Fund. DOL contributes an
additional 8.51% of the employee gross earnings to the CSRS Retirement and
Disability Fund. For employees participating in FERS, DOL withholds 0.8% of
gross earnings, and matches the withholding with a 10.7% employer contribution.
This total is transferred to the Federal Employees' Retirement Fund. The CSRS
and FERS retirement funds are administered by the OPM. DOL contributions to the
CSRS and FERS are recognized as current operating expenses. FERS participants
are also covered under the Federal Insurance Contribution Act (FICA) and are
subject to FICA withholdings. DOL makes matching contributions to FICA,
recognized as operating expenses. DOL's matching FICA contributions were $44.6
million in 2001 and $41.7 million in 2000.
The Thrift Savings Plan (TSP) is a defined contribution retirement
savings and investment plan for employees covered by either CSRS or FERS. CSRS
participants may contribute up to 6% of their gross pay to the TSP, but there
is no departmental matching contribution. FERS participants may contribute up
to 11% of their gross pay to the TSP. For employees covered under FERS, DOL
contributes 1% of the employees' gross pay to the TSP. DOL also matches 100% of
the first 3% contributed and 50% of the next 2% contributed. DOL contributions
to the TSP are recognized as current operating expenses. The maximum amount
that either FERS or CSRS employees may contribute to the TSP in a calendar year
is $10,500. Employee and employer contributions to the TSP are transferred to
the Federal Retirement Thrift Investment Board.
DOL recognizes the full cost of providing future CSRS and FERS
pension benefits to covered employees at the time the employees' services are
rendered. The pension expense recognized in the financial statements equals the
service cost for covered DOL employees, less amounts contributed by these
employees. Service cost represents the actuarial present value of benefits
attributed to services rendered by covered employees during the accounting
period.
The measurement of service cost requires the use of actuarial cost
methods to determine the percentage of the employees' basic compensation
sufficient to fund their projected pension benefit. These percentages (cost
factors) are provided by OPM, and applied by DOL to the basic annual
compensation of covered employees to arrive at the amount of total pension
expense to be recognized in DOL's financial statements.
The excess of total pension expense over the amount contributed by
the Department and by DOL's employees represents the amount of pension expense
which must be financed directly by OPM. DOL recognized as non-exchange revenue
an imputed financing source equal to the excess amount. DOL does not recognize
in its financial statements FERS or CSRS assets, accumulated plan benefits or
unfunded liabilities, if any, applicable to its employees. (See
Note 14.)
R. Net Position
DOL's net position at September 30, 2001, consisted of the
following:
1. Unexpended appropriations
Unexpended appropriations include the unobligated balances and
undelivered orders of DOL's appropriated funds. Unobligated balances associated
with appropriations that expire at the end of the fiscal year remain available
for obligation adjustments, but not new obligations, until that appropriation
is closed, five years after the appropriations expire. Multi-year
appropriations remain available to DOL for obligation in future periods. (See
Note 13).
2. Cumulative results of operations
Cumulative results of operations includes - the accumulated
historical difference between expenses consuming budgetary resources and
financing sources providing budgetary resources in DOL's trust, revolving and
special funds - liabilities not consuming budgetary resources net of assets not
providing budgetary resources - and DOL's net investment in capitalized assets.
(See Note 13).
S. Net Cost of Operations
1. Operating costs
Full operating costs are comprised of all direct costs consumed
by the program and those indirect costs which can be reasonably assigned or
allocated to the program. Full costs are reduced by exchange (earned) revenues
to arrive at the program's net operating cost. The full and net operating costs
of DOL's major programs are presented in the Consolidated Statement of Net
Cost, and are also reported by suborganization in
Note 15 to the financial statements.
Note 15 also presents DOL's net
operating costs by the outcome goals adopted in the Department's Annual
Performance Plan for FY 2001 and DOL's net operating costs by budget
function.
2. Earned revenue
Earned revenues arise from exchange transactions which occur
through the provision of goods and services for a price, and are deducted from
the full cost of DOL's major programs to arrive at net program cost. Earned
revenues are recognized by DOL to the extent reimbursements are payable from
other Federal agencies and from the public, as a result of costs incurred or
services performed on their behalf. Major sources of DOL's earned revenue
include reimbursements due to the Federal Employees' Compensation Act Special
Benefit Fund from Federal agencies for the costs of disability compensation and
medical care provided to or accrued on behalf of their employees, and
reimbursements due to the Unemployment Trust Fund from Federal agencies for the
cost of unemployment benefits provided to or accrued on behalf of their
employees.
T. Net Financing Sources
Financing sources other than earned revenues provide funding for
the Department's net cost of operations and are reported on the Consolidated
Statement of Changes in Net Position. These financing sources include
non-exchange revenue, appropriations used, imputed financing and transfers, as
discussed below:
1. Non-exchange revenue
Non-exchange revenues arise from the Federal government's power
to demand payments from and receive donations from the public. Non-exchange
revenues are recognized by DOL on the Consolidated Statement of Changes in Net
Position for the transfer of employer and excise taxes from the entities
collecting these taxes and for interest from investments, as discussed below:
(See Note 16.)
Employer tax revenues are recognized on a modified cash basis,
to the extent of cash transferred by the collecting entity to DOL, plus the
change in inter-entity balances between the collecting entity and DOL.
Inter-entity balances represent revenue received by the collecting entity, net
amounts due to the collecting entity and adjustments made to previous
transactions by the collecting entity which have not been transferred to the
receiving entity. Federal and state unemployment taxes represent non-exchange
revenues collected from employers based on wages paid to employees in covered
employment. Federal unemployment taxes are collected by the Internal Revenue
Service and transferred to designated accounts within the Unemployment Trust
Fund. State unemployment taxes are collected by each State and deposited in
separate State accounts within the Unemployment Trust Fund. Federal
unemployment taxes are used to pay the Federal share of extended unemployment
benefits and to provide for Federal and State administrative expenses related
to the operation of the unemployment insurance program. State unemployment
taxes are restricted in their use to the payment of unemployment benefits.
Excise taxes are collected from coal mine operators based on the sale of coal.
These excise taxes are collected by the Internal Revenue Service and
transferred to the Black Lung Disability Trust Fund.
The Unemployment Trust Fund, Longshore and Harbor Workers' Trust
Fund, District of Columbia Trust Fund, the Panama Canal Commission Compensation
Fund and the Energy Employees Occupational Illness Compensation Fund receive
interest on fund investments. Interest is also earned on Federal funds in the
possession of non-Federal entities. Interest is recognized as non-exchange
revenue when earned.
The Longshore and Harbor Workers' Trust Fund and District of
Columbia Trust Fund receive non-exchange revenues from assessments levied on
insurance companies and self-insured employers. Assessments are recognized as
non-exchange revenues when due.
- Reimbursement of unemployment benefits
The Unemployment Trust Fund receives reimbursements from state
and local government entities and non-profit organizations for the cost of
unemployment benefits provided to their employees. These reimbursements are
recognized as other non-exchange revenue when due.
2. Appropriations used
DOL receives financing sources through congressional
appropriations to support its operations. A financing source, appropriations
used, is recognized to the extent these appropriated funds have been consumed.
Appropriations are consumed through the recognition of accrued expenses for
which budgetary resources have been obligated. Accrued expenses not covered by
budgetary resources do not consume appropriated capital in the period
recognized, and must be funded from future appropriations. The consumption of
appropriations used to purchase capital items is recognized at the time of
purchase.
3. Imputed financing
A financing source is imputed by DOL to provide for pension and
other retirement benefit expenses recognized by DOL but financed by OPM. (See
Notes 1-O and P.)
4. Transfer of Energy Employees Occupational Illness
Compensation Benefits liability
Under the authority of the Energy Employees Occupational
Illness Compensation Program Act of 2000, the Department of Energy recorded at
September 30, 2000 a liability in the amount of $1.6 billion for future
compensation payments. In 2001, the responsibility for adjudicating and
administering claims under the EEOICPA was transferred to DOL. Consistent with
this transfer of administrative responsibility, DOE's $1.6 billion liability
was assumed by DOL, and included in the EEOICPA claims liability recorded by
DOL in 2001. (See Note 1-N.)
5. Transfers
Other transfers recognized as financing sources by DOL include
non-expenditure transfers from the Environmental Protection Agency to the
Occupational Safety and Health Administration Hazardous Substance Response Fund
to assist in the clean-up of hazardous substances; the transfer of property
from the General Services Administration to the Employment and Training
Administration (ETA) to be used in ETA job training programs; and the transfer
from various DOL general fund unexpended appropriation accounts to the Working
Capital Fund's cumulative results of operations. (See
Note 17.)
U. Custodial Activities
DOL collects and transfers to the general fund of the U.S.
Treasury custodial non-exchange revenues for penalties levied against employers
by OSHA, MSHA, ESA and PWBA for regulatory violations, for ETA disallowed grant
costs assessed against canceled appropriations and for FECA administrative
costs assessed against government corporations in excess of amounts reserved to
finance capital improvements in the Federal Employees' Compensation Act Special
Benefit Fund. These collections are not available to the agencies for
obligation or expenditure. Penalties and other assessments are recognized as
custodial revenues when collected or subject to collection. The source and
disposition of these revenues are reported on the Consolidated Statements of
Custodial Activities. (See Note
19.)
Funds with U.S. Treasury at September 30, 2001 consisted of the
following:
(Dollars in
thousands) |
|
Entity Assets |
Entity Assets |
Total |
Revolving Funds |
$ 19,185 |
$ |
- |
$ 19,185 |
|
|
|
|
Trust Funds |
430,921 |
69 |
430,990 |
|
|
|
|
Appropiated funds |
10,435,926 |
- |
10,435,926 |
|
|
|
|
Other |
-
|
78,809
|
78,809
|
|
$10,886,032
|
$78,878
|
$10,964,910
|
Funds with U.S. Treasury at September 30, 2000 consisted of the
following:
(Dollars in thousands) |
|
Entity Assets |
Entity Assets |
Total |
Revolving Funds |
$ 24,284 |
$ |
- |
$ 24,284 |
|
|
|
|
Trust Funds |
297,059 |
15 |
297,044 |
|
|
|
|
Appropiated funds |
9.575,528 |
- |
9,575,528 |
|
|
|
|
Other |
-
|
54,850
|
54,850
|
|
$ 9,896,871
|
$54,835
|
$9,951,706
|
Investments at September 30, 2001 consisted of the following:
(Dollars in
thousands) |
|
Face
Value |
|
Premium (Discount) |
|
Net Value |
|
Market Value |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-marketable |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Special issue U.S. Treasury
Bonds |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
6.750% maturing June 30, 2002 |
|
$20,240,350 |
|
$ |
- |
|
$20,240,350 |
|
$20,240,350 |
|
|
|
|
|
|
|
|
|
6.500% maturing June 30, 2003 |
|
21,000,000 |
|
- |
|
21,000,000 |
|
21,000,000 |
|
|
|
|
|
|
|
|
|
6.500% maturing June 30, 2004 |
|
20,691,993 |
|
- |
|
20,691,993 |
|
20,691,993 |
|
|
|
|
|
|
|
|
|
6.250% maturing June 30, 2004 |
|
3,000,000 |
|
- |
|
3,000,000 |
|
3,000,000 |
6.250% maturing June 30, 2005 |
|
23,705,952
|
|
-
|
|
23,705,952
|
|
23,705,952
|
|
|
88,638,295
|
|
-
|
|
88,638,295
|
|
88,638,295
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Marketable |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. Treasury
Notes 5.875% to 7.875% various maturities |
|
13,747 |
|
186
|
|
13,933 |
|
15,208 |
|
|
|
|
|
|
|
|
|
U.S. Treasury
Bonds 8.750% to 14.000% various maturities |
|
63,493 |
|
11,156 |
|
74,649 |
|
78,826
|
|
|
77,240
|
|
11,342
|
|
88,582
|
|
94,034
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Marketable |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. Treasury
Bills 2.350% maturing October 25, 2001 |
|
302,235 |
|
(493)
|
|
301,742 |
|
301,742 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Marketable |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. Treasury
Bills 2.240% to 3.440% various maturities |
|
59,082 |
|
(370)
|
|
58,712 |
|
58,712 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Marketable |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. Treasury
Bills 2.260% to 3.440% various maturities |
|
5,469 |
|
(36)
|
|
5,433 |
|
5,433 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Marketable |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. Treasury
Bill 3.590% maturing November 29, 2001 |
|
1,577 |
|
(17) |
|
1,560 |
|
1,560
|
|
|
|
|
|
|
|
|
|
|
|
$89,083,898
|
|
$10,426
|
|
$89,094,324
|
|
$89,099,776
|
|
|
|
|
|
|
|
|
|
|
$89,050,524 |
|
$10,443 |
|
$89,060,967 |
|
$89,066,419 |
|
|
|
|
|
|
|
|
|
Non-entity investments |
|
33,374
|
|
(17)
|
|
33,357
|
|
33,357
|
|
|
$89,083,898
|
|
$10,426
|
|
89,094,324
|
|
89,099,776
|
Investments at September 30, 2000 consisted of the following:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-marketable |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. Treasury Certificates of
Indebtedness 6.500% maturing June 30, 2001 |
|
$1,528,798 |
|
$ |
- |
|
$1,528,798 |
|
$1,528,798 |
|
|
|
|
|
|
|
|
|
Special issue U.S. Treasury
Bonds |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
6.750% maturing June 30, 2001 |
|
19,954,879 |
|
- |
|
19,954,879 |
|
19,954,879 |
|
|
|
|
|
|
|
|
|
6.750% maturing June 30, 2002 |
|
22,223,478 |
|
- |
|
22,223,478 |
|
22,223,478 |
|
|
|
|
|
|
|
|
|
6.500% maturing June 30, 2003
|
|
21,000,000 |
|
- |
|
21,000,000 |
|
21,000,000 |
|
|
|
|
|
|
|
|
|
6.500% maturing June 30, 2004 |
|
20,691,993
|
|
-
|
|
20,691,993
|
|
20,691,993
|
|
|
86,399,148
|
|
-
|
|
86,399,148
|
|
86,399,148
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Marketable |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. Treasury
Bill 5.765% maturing November 20, 2000 |
|
7,228 |
|
(46) |
|
7,182 |
|
7,182 |
|
|
|
|
|
|
|
|
|
U.S. Treasury
Notes 5.875% to 7.875% various maturities |
|
20,620 |
|
258 |
|
20,878 |
|
21,203 |
|
|
|
|
|
|
|
|
|
U.S. Treasury
Bonds 8.750% to 14.000% various maturities |
|
50,413
|
|
10,487
|
|
60,900
|
|
57,563
|
|
|
78,261
|
|
10,699
|
|
88,960
|
|
85,948
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Marketable |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. Treasury
Bills 5.840% to 6.090% various maturities |
|
59,144 |
|
(765)
|
|
58,379 |
|
58,379 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Marketable |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. Treasury
Bills 5.780% to 6.080% various maturities |
|
4,470
|
|
(49)
|
|
4,421
|
|
4,421
|
|
|
|
|
|
|
|
|
|
|
|
$86,541,023
|
|
$9,885
|
|
$86,550,908
|
|
86,547,896
|
|
$86,451,434 |
|
$9,885
|
|
$86,461,319 |
|
$86,458,307 |
|
|
|
|
|
|
|
|
|
89,589
|
|
(17)
|
|
89,589 |
|
89,589
|
|
|
$86,541,023
|
|
$9,885
|
|
$86,550,908
|
|
$86,547,896
|
Accounts receivable at September 30, 2001 consisted of the
following:
(Dollars in
thousands) |
|
|
|
Gross
Receivables |
|
Allowance |
|
Net Receivables |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Due for UCFE and UCX
benefits |
|
|
|
$ 194,564 |
|
$ |
- |
|
$ 194, 564 |
|
|
|
|
|
|
|
|
|
Due for workers'
compensation benefits |
|
|
|
3,317,132 |
|
$ |
- |
|
3,317,132 |
|
|
|
|
|
|
|
|
|
Interest from
Treasury securities |
|
|
|
1,438,713 |
|
- |
|
1,438,713 |
|
|
|
|
|
|
|
|
|
Other |
|
|
|
8,918
|
|
-
|
|
8,918
|
|
|
|
|
|
|
|
|
|
|
|
|
|
4,959,327
|
|
-
|
|
4,959,327
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
from Treasury Securities |
|
|
|
515
|
|
-
|
|
515
|
|
|
|
|
4,959,842
|
|
-
|
|
4,959,842
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
State unemployed taxes |
|
|
|
676,952 |
|
(511,105) |
|
165,847 |
|
|
|
|
|
|
|
|
|
Due from reimbursable
employers |
|
|
|
363,016 |
|
(36,643) |
|
326,373 |
|
|
|
|
|
|
|
|
|
Benefit overpayment |
|
|
|
2,360,671 |
|
(2,173,992) |
|
186,679 |
|
|
|
|
|
|
|
|
|
Other |
|
|
|
11,632
|
|
(913)
|
|
10,719
|
|
|
|
|
3,412,271
|
|
(2,779,554)
|
|
689,618
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fines and
penalties |
|
|
|
115,816 |
|
(52,949) |
|
62,867 |
|
|
|
|
|
|
|
|
|
Backwages |
|
|
|
11,158
|
|
(3,952)
|
|
7,206
|
|
|
|
|
|
|
|
|
|
|
|
|
|
126,974
|
|
(56,901)
|
|
70,073
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3,539,245
|
|
(2,779,554)
|
|
759,691
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$8,499,086
|
|
$(2,779554)
|
|
$5,719,533
|
Changes in the allowance for doubtful accounts during 2001
consisted of the following:
(Dollars in
thousands) |
Balance
at September 30, 2000 |
|
Write-offs |
|
Revenue
Adjustments |
|
Bad
Debt |
|
Balance
at September 30, 2001 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Due from reimbursable employers |
(46,943) |
|
13,819 |
|
(3,519) |
|
- |
|
(36,643) |
Benefit overpayments |
(2,108,150) |
|
139,645 |
|
- |
|
(205,487) |
|
(2,173993) |
|
|
|
|
|
|
|
|
|
|
Other |
(502)
|
|
1,136
|
|
-
|
|
(1,547)
|
|
(913)
|
|
|
|
|
|
|
|
|
|
|
|
(2,586,907) |
|
402,631 |
|
(331,343) |
|
(207,034) |
|
(2,722,653) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fines and penalties |
(53,229) |
|
12,131 |
|
(11,851) |
|
- |
|
(52,949) |
Backwages |
(3,000)
|
|
(952)
|
|
-
|
|
-
|
|
(3,952)
|
|
|
|
|
|
|
|
|
|
|
|
(56,229)
|
|
11,179
|
|
(11,851)
|
|
-
|
|
(56,901)
|
|
|
|
|
|
|
|
|
|
|
|
$(2,643136)
|
|
$413,810
|
|
$(343,194)
|
|
$(207,034)
|
|
$(2,779,554)
|
Accounts receivable at September 30, 2000 consisted of the
following:
(Dollars
in thousands) |
|
Gross
Receivables |
|
Allowance |
|
Net Receivables |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Due for UCFE and UCX benefits |
|
$ 236,327 |
|
$ |
- |
|
$ 194, 564 |
|
|
|
|
|
|
|
Due for workers' compensation
benefits |
|
3,266,919 |
|
- |
|
3,317,132 |
|
|
|
|
|
|
|
Interest from Treasury
securities |
|
1,418,585 |
|
- |
|
1,438,713 |
|
|
|
|
|
|
|
Other |
|
12,770
|
|
-
|
|
8,918
|
|
|
4,934,601
|
|
-
|
|
4,959,327
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Due from Internal
Revenue Service for tax overpayment |
|
26,033 |
|
(52,949) |
|
62,867 |
|
|
|
|
|
|
|
Interest from
Treasury securities |
|
1,470
|
|
(3,952)
|
|
7,206
|
|
|
27,503
|
|
(56,901)
|
|
70,073
|
|
|
4,962,104
|
|
(2,779,554)
|
|
759,691
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
State unemployment taxes |
|
676,150 |
|
(431,312) |
|
244,838 |
|
|
|
|
|
|
|
Due from reimbursable employers |
|
334,077 |
|
(46,943) |
|
287,134 |
|
|
|
|
|
|
|
Benefit overpayments |
|
2,269,327 |
|
(2,108,150) |
|
161,177 |
|
|
|
|
|
|
|
Other |
|
10,289
|
|
(502)
|
|
9,787
|
|
|
3,289,843
|
|
(2,586,907)
|
|
702,936
|
|
|
|
|
|
|
|
|
|
|
|
|
Fines and penalties |
|
121,509 |
|
(53,229) |
|
68,280 |
|
|
|
|
|
|
|
Back wages |
|
10,466 |
|
(3,000) |
|
7,446 |
|
|
|
|
|
|
|
Other |
|
4,664
|
|
-
|
|
4,664
|
|
|
136,619
|
|
(56,229)
|
|
80,390
|
|
|
3,426,462
|
|
(2,643,136)
|
|
783,326
|
|
|
$
8,388,566
|
|
$(2,643,136)
|
|
$
5,745,430
|
Changes in the allowance for doubtful accounts during 2000
consisted of the following:
(Dollars in
thousands) |
Balance at September
30, 1999 |
|
Write-offs |
|
Revenue
Adjustments |
|
Bad
Debt |
|
Balance at September
30, 2000 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
State unemployment taxes |
$ (413,910) |
|
$221,817 |
|
$ (239,219) |
|
$ |
- |
|
$ (431,312) |
|
|
|
|
|
|
|
|
|
|
Due from reimbursable employers |
(34,960) |
|
10,319 |
|
(22,302) |
|
- |
|
(46,943) |
|
|
|
|
|
|
|
|
|
|
Benefit overpayments |
(2,037,015) |
|
168,510 |
|
- |
|
(239,645) |
|
(2,108,150) |
|
|
|
|
|
|
|
|
|
|
Other |
(914)
|
|
585
|
|
-
|
|
(173)
|
|
(502)
|
|
|
|
|
|
|
|
|
|
|
|
(2,486,799)
|
|
401,231
|
|
(261,521)
|
|
(239,818)
|
|
(2,586,907)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fines and penalties |
(52,851) |
|
11,819 |
|
(12,197) |
|
- |
|
(53,229) |
|
|
|
|
|
|
|
|
|
|
Backwages |
(221)
|
|
(2,779)
|
|
-
|
|
-
|
|
(3,000)
|
|
(53,072)
|
|
9,040
|
|
(12,197)
|
|
-
|
|
(56,229)
|
|
|
|
|
|
|
|
|
|
|
|
$(2,539,871)
|
|
$410,271
|
|
$(273,718)
|
|
$(239,818)
|
|
$(2,643,136)
|
Advances at September 30, 2001 consisted of the following:
(Dollars in thousands) |
2001 |
|
2000 |
|
Advances to states for UI benefit
payments |
$ 169,095 |
|
$162,749 |
|
|
|
|
Advances to grantees and contractors to
finance future DOL program expenditures |
10,172 |
|
7,889 |
|
|
|
|
Other |
300
|
|
359
|
|
|
|
|
|
$ 179,567
|
|
$170,997
|
Property, plant and equipment at September 30, 2001 and 2000
consisted of the following:
|
|
2001 Accumulated
|
|
|
(Dollars in
thousands) |
|
Costs or
Basis |
|
Depreciation/Amorization |
|
Net Book
Value |
|
2000 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Structures and facilities |
|
$704,222 |
|
$(295,634) |
|
$408,588 |
|
353,585 |
|
|
|
|
|
|
|
|
|
Improvements to leased
facilities |
|
301,106
|
|
(128,724)
|
|
172,382
|
|
158,316
|
|
|
1,005,328
|
|
(424,358)
|
|
580,970
|
|
511,901
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equipment held by contractors |
|
179,721 |
|
(169,834) |
|
9,887 |
|
14,448 |
Furniture and equipment |
|
59,164
|
|
(26,442)
|
|
32,722
|
|
32,072
|
|
|
238,885
|
|
(196,276)
|
|
42,609
|
|
46,520
|
|
|
|
|
|
|
|
|
|
|
74,783 |
|
(32,104) |
|
42,679 |
|
26,626 |
|
|
|
|
|
|
|
|
|
52,620 |
|
- |
|
52,620 |
|
94,949 |
|
|
|
|
|
|
|
|
|
58,808
|
|
-
|
|
58,808
|
|
58,808
|
|
|
|
|
|
|
|
|
|
|
|
$1,430,424
|
|
$ (652,738)
|
|
$777,686
|
|
$738,804
|
Non-entity assets consisted of the following at September 30, 2001
and 2000:
(Dollars in thousands) |
|
2001 |
|
2000 |
|
|
|
|
|
Intra-governmental |
|
|
|
|
|
|
|
|
|
Funds with U.S. Treasury |
|
$78,878 |
|
$54,835 |
|
|
|
|
|
Investments |
|
33,357 |
|
89,589 |
|
|
|
|
|
Accounts receivable |
|
515
|
|
27,503
|
|
|
112,750 |
|
171,927 |
|
|
|
|
|
Accounts receivable, net of allowance |
|
70,073
|
|
80,390
|
|
|
|
|
|
|
|
$ 182,823
|
|
$ 252,317
|
Advances from U.S. Treasury to the Black Lung Disability Trust
Fund during 2001 consisted of the following:
(Dollars in
Thousands) |
|
Balance at September
30, 2000 |
|
Net
Borrowing |
|
Balance at September
30, 2000 |
|
|
|
|
|
|
|
Intra-governmental |
|
|
|
|
|
|
|
|
|
|
|
|
|
Borrowing from the treasury |
|
$6,748,557
|
|
$505,000
|
|
$7,253,557
|
|
|
$6,748,557
|
|
$505,000
|
|
$7,253,557
|
Advances from U.S. Treasury to the Black Lung Disability Trust
Fund during 2000 consisted of the following:
(Dollars in
Thousands) |
|
Balance at September
30, 1999 |
Net
Borrowing |
Balance at September
30, 2000 |
|
|
|
|
|
Intra-governmental |
|
|
|
|
|
|
|
|
|
Borrowing from the treasury |
|
$6,258,557
|
$490,000
|
$6,748,557
|
|
|
$6,258,557
|
$490,000
|
$6,748,557
|
Assuming the continuation of current operating conditions,
repayment of these and necessary future advances will require a change in the
statutory operating structure of the fund. (See
Note 20.)
Accrued benefits at September 30, 2001 and 2000:consisted of the
following:
(Dollars in Thousands) |
|
2001 |
2000 |
|
|
|
|
State regular and extended unemployment
benefits payable |
|
$1,275,564 |
$671,797 |
|
|
|
|
Federal extended unemployment benefits
payable |
|
20,729 |
18,100 |
|
|
|
|
Federal emergency unemployment benefits
payable |
|
11,058 |
11,053 |
|
|
|
|
Federal employees unemployment benfits
payable |
|
19,014 |
15,558 |
|
|
|
|
Federal employees' unemployment
benefits for exisiting claims due in the subsequent year |
|
80,803
|
80,711
|
|
|
|
|
Total unemployment benefits payable |
|
1,407,168 |
797,219 |
|
|
|
|
Black Lung disability benefits payable |
|
29,703 |
30,928 |
|
|
|
|
Federal employees disability and 10(h)
benefits payable |
|
120,115 |
113,208 |
|
|
|
|
Longshore and harbor workers disability
benefits payable |
|
1,739 |
1,285 |
|
|
|
|
District of Columbia disability
benefits payable |
|
121
|
92
|
|
|
$1,558,846
|
$942,732
|
DOL's liability for future workers' compensation benefits at
September 30, 2001 and 2000:consisted of the following:
|
|
|
|
|
(Dollars in thousands) |
|
2001 |
|
2000 |
|
|
|
|
|
Projected gross liability of the Federal government for
future FECA benefits |
|
$24,994,378 |
|
$21,787,649
|
Less liabilities attributed to
other agencies: |
|
|
|
|
U.S. Postal Service |
|
(7,399,470) |
|
(6,298,430) |
Department of Navy |
|
(2,968,541) |
|
(2,665,434) |
Department of Army |
|
(1,955,183) |
|
(1,731,678) |
Department of Veterans
Affairs |
|
(1,812,675) |
|
(1,585,031) |
Department of Air Force |
|
(1,529,893) |
|
(1,337,201) |
Department of Transportation
|
|
(1,202,987) |
|
(1,086,745) |
Tennessee Valley
Authority |
|
(657,530) |
|
(586,388) |
Department of Treasury |
|
(1,076,106) |
|
(915,638) |
Department of
Agriculture |
|
(878,963) |
|
(768,532) |
Department of Justice |
|
(1,193,590) |
|
(985,513) |
Department of Interior |
|
(663,471) |
|
(584,830) |
Department of Defense, Other
|
|
(954,116) |
|
(876,106) |
Department of Health and
Human Services |
|
(293,355) |
|
(263,893) |
Social Security
Administration |
|
(278,345) |
|
(239,414) |
General Services
Administration |
|
(198,853) |
|
(178,996) |
Department of Commerce |
|
(223,716) |
|
(155,647) |
Department of Energy |
|
(95,748) |
|
(84,485) |
Department of State |
|
(56,645) |
|
(49,916) |
Department of Housing &
Urban Development |
|
(84,758) |
|
(74,653) |
Department of Education |
|
(22,723) |
|
(18,820) |
National Aeronautics and
Space Administration |
|
(69,672) |
|
(61,581) |
Environmental Protection
Agency |
|
(39,633) |
|
(33,673) |
Federal Emergency Management
Association |
|
(25,241) |
|
(21,996) |
Small Business Administration
|
|
(32,255) |
|
(30,746) |
Office of Personnel
Management |
|
(13,752) |
|
(12,736) |
National Science
Foundation |
|
(1,806) |
|
(1,767) |
Nuclear Regulatory Commission
|
|
(10,849) |
|
(8,230) |
Agency for International
Development |
|
(30,905) |
|
(29,819) |
Other |
|
(637,380) |
|
(538,645)
|
|
|
24,408,161
|
|
21,226,543
|
|
|
$586,217
|
|
$561,106
|
|
|
|
|
|
Projected
liability of the Department of Labor for future FECA benefits
FECA benefits not chargeable to other Federal agencies payable by
DOL's Federal Employees' Compensation Act Special Benefit Fund
|
|
$261,755 |
|
$271,995 |
|
|
|
|
|
FECA benefits due to eligible
workers of DOL and Job Corp enrollees |
|
$250,278 |
|
$221,280 |
|
|
|
|
|
FECA benefits due to eligible workers of the Panama Canal Commission |
|
74,184
|
|
67,831
|
|
|
$586,217
|
|
$561,106
|
Other liabilities at September 30, 2001 and 2000 consisted of the
following current liabilities:
(Dollars in thousands) |
|
2001 |
|
2000 |
|
|
|
|
|
Intra-governmental |
|
|
|
|
|
|
|
|
|
Accrued payroll and benefits
|
|
$3,970 |
|
$10,581 |
|
|
|
|
|
Unearned FECA assessments
|
|
6,794 |
|
52,137 |
|
|
|
|
|
Non-entity receipts due to
U.S. Treasury |
|
62,866 |
|
68,280 |
|
|
|
|
|
Other due to U.S. Treasury
|
|
- |
|
62,067 |
|
|
|
|
|
Amounts held for the Railroad
Retirement Board |
|
32,381 |
|
91,044 |
|
|
|
|
|
Advances from
other Federal agencies |
|
1,412 |
|
1,011
|
Total
intra-governmental |
|
107,423 |
|
285,120
|
|
|
|
|
|
Accrued payroll and benefits |
|
22,760 |
|
33,430 |
|
|
|
|
|
Due to Backwage recipients |
|
47,162 |
|
49,520 |
|
|
|
|
|
Unearned assessment revenue |
|
37,272 |
|
38,342 |
|
|
|
|
|
Deposit and clearing accounts |
|
36,641 |
|
18,882 |
|
|
|
|
|
Readjustment
allowances and other Job Corps liabilities |
|
69,194 |
|
67,197 |
|
|
|
|
|
Other advances |
|
- |
|
36
|
|
|
213,029
|
|
207,407
|
|
|
$320,452
|
|
$492,527
|
Liabilities not covered by budgetary resources at September 30,
2001 and 2000 consisted of the following:
(Dollars in thousands) |
|
2001 |
|
2000 |
|
|
|
|
|
Intra-governmental |
|
|
|
|
Advances from U.S. Treasury
|
|
$7,253,557 |
|
$6,748,557
|
|
|
|
|
|
Accrued benefits |
|
- |
|
8,652 |
|
|
|
|
|
Future workers' compensation
benefits |
|
250,278 |
|
221,280 |
|
|
|
|
|
Accrued annual leave |
|
88,773 |
|
85,264 |
|
|
|
|
|
Readjustment allowances and other
Job Corps liabilities |
|
69,194 |
|
67,197
|
|
|
408,245 |
|
382,393
|
|
|
$7,661,802
|
|
$7,130,950
|
|