Summary Tables

**Table S–1. Budget Totals**
	2002	2003	2004	2005	2006	2007
In billions of dollars:
Outlays	2,052	2,128	2,189	2,277	2,369	2,468
Receipts	1,946	2,048	2,175	2,338	2,455	2,572
Deficit/surplus	-106	-80	-14	61	86	104
Debt held by the public	3,477	3,570	3,600	3,548	3,470	3,379
As a percent of GDP:
Outlays	19.8	19.5	19.0	18.7	18.5	18.3
Receipts	18.8	18.8	18.9	19.2	19.2	19.1
Deficit/surplus	-1.0	-0.7	-0.1	0.5	0.7	0.8
Debt held by the public	33.6	32.7	31.2	29.2	27.1	25.1

**Table S–2. Budget Summary by Category**
(In billions of dollars)
	2002	2003	2004	2005	2006	2007	Total
	2002	2003	2004	2005	2006	2007	2003–2007	2003–2012
Outlays:
Discretionary:
Defense	336	368	390	412	428	442	2,041	4,531
Non-defense	382	405	418	423	429	437	2,112	4,454
Subtotal, discretionary	718	773	808	835	857	880	4,153	8,984
Emergency Response Fund	22	16	7	3	1	*	27	27
Mandatory:
Social Security	456	472	491	515	542	571	2,591	6,001
Medicare	223	231	241	257	278	302	1,308	3,141
Medicaid	145	159	170	184	200	217	930	2,315
Other mandatory	310	297	283	291	303	313	1,488	3,243
Subtotal, mandatory	1,133	1,159	1,185	1,248	1,323	1,402	6,318	14,700
Net interest	178	181	189	190	188	185	933	1,767
Total Outlays	2,052	2,128	2,189	2,277	2,369	2,468	11,431	25,478
Receipts	1,946	2,048	2,175	2,338	2,455	2,572	11,588	26,481
Unified Surplus	-106	-80	-14	61	86	104	157	1,002

On-budget surplus	-262	-259	-208	-156	-142	-139	-904	-1,464
Off-budget surplus	155	179	195	217	228	243	1,061	2,466

* $500 million or less

**Table S–3. Impact of Budget Policy on the Surplus**
(In billions of dollars)
	2003	2004	2005	Total 2003–2007
Current baseline surplus	51	109	169	764

Budget proposals:
Defense and homeland security	-31	-38	-45	-224
Strengthening Medicare	-2	-3	-5	-50
Farm bill reauthorization	-7	-7	-7	-34
Provide incentives for charitable giving	-2	-2	-3	-15
Health tax credits	-1	-7	-9	-36
Reform unemployment	-1	-1	-3	-18
Extend expiring tax provisions	-3	-3	-5	-26
Other proposals	-6	1	-4	-20
Related debt service	-1	-4	-7	-43
Subtotal, budget proposals	-54	-65	-88	-466

Budget surplus/deficit, pre-economic security plan	-3	43	81	298

Bipartisan economic security plan	-77	-57	-20	-141

Budget surplus/deficit, including economic security plan	-80	-14	61	157

**Table S–4. Discretionary Totals**
(Budget authority; dollar amounts in billions)
	2001	2002		2003	Change 2002–2003
	2001	2002		2003	Delta	Percent

Discretionary budget authority:
Homeland security	10	12		25	13	111
Department of Defense	303	328		366	38	12
Other operations of government	330	348		355	7	2
Total, discretionary budget authority¹	643	688	²	746	59	9

Adjustments, contingent upon adoption of proposal:
Full funding of federal employee retirement costs	8	9		9
Total, including contingent adjustments	651	696		755

Emergency Response Fund:
War on terrorism	13	3		10
Homeland security	3	8		—
Other September 11^th response	5	9		—
Total, Emergency Response Fund	20	20		10

¹ Excludes budget authority associated with the mass transit budget category.
² Includes a $1.7 billion upward adjustment, from the 2002 appropriated level, for discretionary spending offset by mandatory savings enacted in appropriations bills.

**Table S–5. Homeland Security**
(Budget authority in billions of dollars)
	2001	2002	2003

Total, Homeland Security	16.0	19.5	37.7
Supporting first responders	0.3	0.3	3.5
Defending against biological terrorism	1.4	1.4	5.9
Securing our borders	7.6	8.8	10.6
Sharing information and using information technology to secure the homeland	0.1	0.2	0.7
Aviation security	0.4	1.5	4.8
Other homeland security	6.3	7.4	12.2

Defense and mandatory/fee funded programs included above:
Department of Defense (DoD)	-4.0	-4.7	-7.8
Mandatory/fee funded	-1.5	-2.9	-4.7

Total, Homeland Security, non-DoD discretionary	10.5	11.9	25.2

Emergency Response Fund	2.5	8.1	—

**Table S–6. Year-to-Year Percentage Growth in Discretionary Budget Authority**
	1998	1999	2000	2001	2002	Average
Agency	to	to	to	to	to	Growth
	1999	2000	2001	2002	2003	1998–2003

Agriculture	4	4	13	*	*	4
Commerce¹	29	61	-41	2	*	4
Defense	6	5	5	8	12	7
Education²	-3	2	37	24	1	11
Energy	7	-1	13	4	5	5
Health and Human Services	12	9	19	10	9	12
Housing and Urban Development³	12	-6	34	4	7	9
Interior	-1	6	21	*	*	5
State and International Assistance Programs⁴	23	2	-4	7	4	6
Justice	5	2	13	1	-1	4
Labor	3	-20	36	2	-7	1
Transportation	-14	13	28	-7	19	6
Treasury	12	-2	16	5	5	7
Veterans Affairs	2	9	7	6	7	6
Corps of Engineers	-2	1	14	-4	-10	-1
Environmental Protection Agency Operating Program	5	1	9	1	2	4
Federal Emergency Management Agency	18	37	-38	26	114	22
National Aeronautics and Space Administration	*	*	5	4	1	2
National Science Foundation	7	6	13	8	5	8
Small Business Administration	16	7	1	-15	2	2
Social Security Administration	*	2	8	6	5	4
Smithsonian Institution	2	6	4	9	6	6
Total (excludes full funding of federal employee retirement costs and Emergency Response Fund)	6	4	10	7	9	7

* 0.5 percent or less
¹ 2000 Commerce data includes funding for Census 2000.
² 2002 funding includes a $1.3 billion supplemental proposal for Pell Grants.
³ 1998 and 1999 have been adjusted for reclassification of Federal Housing Administration receipts.
⁴ International Affairs Program totals do not include P.L. 480 Title II food aid, which is included in the totals for Agriculture; 1999 data is also adjusted to remove $18.2 billion in one-time funding for the International Monetary Fund.

**Table S–7. Discretionary Budget Authority by Agency**
(In billions of dollars)
Agency	2001 Actual	Estimates			Change:
Agency	2001 Actual	2002		2003	2002–2003
Legislative Branch	2.9	3.1		3.5	0.4
Judicial Branch	4.1	4.4		5.1	0.6
Agriculture	19.8	19.8		19.8	–*
Commerce	5.2	5.3		5.3	*
Defense-Military	305.6	330.8		369.3	38.4
Education	40.1	49.8	¹	50.3	0.5
Energy	20.2	21.0		21.9	1.0
Health and Human Services	54.5	59.8		65.3	5.5
Housing and Urban Development	28.4	29.5		31.5	2.0
Interior	10.5	10.5		10.5	*
Justice	21.6	21.9		21.8	–0.1
Labor	12.0	12.3		11.4	–0.9
State	7.8	8.9		9.2	0.4
Transportation	18.0	16.6		19.8	3.2
Treasury	15.1	15.8		16.6	0.8
Veterans Affairs	23.2	24.7		26.4	1.8
Corps of Engineers	4.8	4.6		4.1	–0.5
Other Defense Civil Programs	0.1	0.2		0.2	–*
Environmental Protection Agency	7.9	8.0		7.7	–0.3
Operating program	(3.9)	(3.9)		(4.0)	(0.1)
Executive Office of the President	0.3	0.3		0.3	0.1
Federal Emergency Management Agency	2.4	3.1		6.6	3.5
General Services Administration	0.5	0.6		0.6	–*
International Assistance Programs	12.6	13.1		13.9	0.7
National Aeronautics and Space Administration	14.4	14.9		15.1	0.2
National Science Foundation	4.4	4.8		5.0	0.2
Office of Personnel Management	0.2	0.2		0.3	*
Small Business Administration	0.9	0.8		0.8	*
Social Security Administration	6.3	6.7		7.0	0.3
Other Independent Agencies	6.8	6.3		6.3	*
Allowances	—	–1.3		–0.4	0.9
Subtotal	650.7	696.5		755.4	59.0

Remove contingent adjustment for full funding of federal employee retirement costs	–8.1	–8.5		–9.0	–0.4
Total	642.6	687.9	²	746.5	58.5

Emergency Response Fund	20.0	20.0		10.0	–10.0
* $50 million or less
¹ Includes a $1.3 billion supplemental proposal for Pell Grants. ² Includes a $1.7 billion upward adjustment, from the 2002 appropriated level, for discretionary spending offset by mandatory savings enacted in appropriations bills.

**Table S–8. Discretionary Proposals By Appropriations Subcommittee**
(Budget authority in billions of dollars)
Appropriations Subcommittee	2001 Actual	2002 Estimate		2003 Proposed	Change: 2002–2003

Agriculture and Rural Development	16.7	16.9		17.2	0.3
Commerce, Justice, State, and the Judiciary	39.7	40.5		41.2	0.7
Defense	296.6	320.5		360.4	40.0
District of Columbia	0.5	0.4		0.4	*
Energy and Water Development	24.4	24.8		25.3	0.5
Foreign Operations	14.6	15.5		16.1	0.7
Interior and Related Agencies	19.5	19.6		19.5	-0.1
Labor, Health and Human Services, and Education	110.5	124.6		131.2	6.6
Legislative	2.8	3.1		3.5	0.4
Military Construction	9.1	10.5		9.0	-1.6
Transportation and Related Agencies	17.8	16.4		19.7	3.3
Treasury and General Government	16.7	17.9		18.7	0.9
Veterans Affairs, Housing and Urban Development	81.7	85.8		93.5	7.7
Allowances	—	—		-0.4	-0.4
Total with full funding of federal employee retirement costs	650.7	696.5		755.4	59.0
Remove full funding of federal employee retirement costs	-8.1	-8.5		-9.0	-0.4
Total	642.6	687.9	¹	746.5	58.5

Emergency Response Fund	20.0	20.0		10.0	-10.0

*$50 million or less
¹ Includes a $1.7 billion upward adjustment, from the 2002 appropriated level, for discretionary spending offset by mandatory savings enacted in appropriations bills.

**Table S–9. Mandatory Proposals**
(In millions of dollars)
	2002	2003	2004	2005	2006	2007	Total
	2002	2003	2004	2005	2006	2007	2003–2007	2003–2012

Strengthening Medicare	—	1,680	3,375	5,068	17,485	22,497	50,105	190,159

Farm Bill ¹	4,200	7,271	7,019	6,688	6,727	6,774	34,479	67,576

Bipartisan Economic Security Plan ²	27,000	8,000	1,500	—	—	—	9,500	9,500

Medicaid/SCHIP:
Medicaid/SCHIP reform	—	348	125	309	144	161	1,087	1,781
Rationalizing prescription drug payments	—	-290	-650	-1,090	-1,620	-1,800	-5,450	-17,640

Welfare reform:
TANF reauthorization	—	46	314	270	340	387	1,358	3,069
Food Stamps reauthorization	—	29	148	262	329	355	1,123	4,191
Child support enforcement:
Federal collections and payments to States	—	-66	-53	60	116	119	176	798
Food Stamps savings	—	—	—	-37	-47	-49	-133	-402
Medicaid savings	—	—	—	-5	-15	-20	-40	-210
Subtotal, child support enforcement	—	-66	-53	18	54	50	3	186
Supplemental Security Income	—	—	-2	-7	-13	-19	-41	-262
Medicaid savings	—	—	-3	-11	-25	-43	-82	-641
Subtotal, SSI	—	—	-5	-18	-38	-62	-123	-903
Subtotal, excluding Food Stamps reauthorization	—	-20	256	270	356	375	1,238	2,352
Total, welfare reform	—	9	404	532	685	730	2,361	6,543

Other Proposals:
Agriculture:
Increase timber competition (use of sealed bids)	—	—	-5	-10	-14	-15	-44	-139
Non-timber interests bidding	—	—	-5	-5	-10	-10	-30	-80
Collect fair market value from ski resorts	—	—	-3	-10	-14	-15	-42	-117
Accelerate repayment to reforestation trust fund and payments from special use permits to enhance environmental protection for lands used by ski resorts	—	—	13	25	38	40	116	336
Provide permanent recreation fee authority	—	—	—	-10	1	1	-8	-3
Education:
Teacher loan forgiveness	—	45	14	17	18	18	112	211
Energy:
Power marketing associations to directly fund Corps of Engineers' operations and maintenance expenses	—	149	149	150	150	150	748	1,498
Increase BPA's borrowing authority	—	—	113	498	89	—	700	700
ANWR, lease bonuses	—	—	-1,200	—	—	—	-1,200	-1,200
Health and Human Services:
Abstinence education	—	14	37	42	47	50	190	440
Interior:
ANWR, lease bonuses:
State of Alaska's share:
Receipts	—	—	-1,201	-1	-101	-1	-1,304	-1,587
Expenditure	—	—	1,201	1	101	1	1,304	1,587
Federal share	—	—	-1	-1	-101	-1	-104	-387
Provide permanent recreation fee authority	—	—	—	-17	7	48	38	490
Correct trust accounting deficiencies in individual Indian money investments	—	7	—	—	—	—	7	7
Labor:
Reform Unemployment Insurance	—	—	—	319	1,929	3,072	5,320	21,812
Refinance Black Lung Disability Trust Fund debt:
Black Lung Disability Trust Fund	—	1,606	-446	-435	-430	-427	-132	-2,184
Treasury's interest receipts	—	-1,606	446	435	430	427	132	2,184
Propose reforms of FECA for future beneficiaries	—	-3	-4	-6	-5	-5	-23	-46
Redirect H-1B training	—	80	-15	-48	-17	—	—	—
Treasury:
Outlay effect of refundable tax credits	—	832	5,634	6,991	7,535	7,654	28,646	74,300
Veterans Affairs:
IRS income verification on means tested veterans and survivors benefits	—	—	-6	-6	-6	-6	-24	-54
Army Corps of Engineers:
Recreation user fee increase	—	-6	-1	-1	-1	4	-5	15
FCC:
Shift spectrum auction deadlines:
Spectrum receipts	—	4,000	-3,300	-2,700	-4,700	—	-6,700	-6,700
Spectrum relocation	—	50	-50	—	—	—	—	—
Impose annual analog fees after 2006	—	—	—	—	—	-500	-500	-2,680
FEMA: Reform National Flood Insurance	—	-43	-75	-115	-165	-227	-625	-2,080
OPM:
Simplify computation of annuities under the CSRS for individuals with part-time service	—	3	8	14	20	27	72	313
Multi-Agency:
Authorize spending of reimbursements for spectrum relocating costs	—	100	50	100	165	100	515	715
Indirect impact of other proposals (third scorecard):
Enact FECA surcharge	—	—	-1	-5	-7	-7	-20	-50
Impact of accrual accounting	—	-34	-23	198	420	618	1,179	7,686
Total, mandatory proposals	31,200	22,213	13,102	16,927	28,800	39,358	120,400	352,906

¹Excludes Food Stamps reauthorization of $4,191 million over 10 years shown under the welfare reform and the receipt effect of FFARRM account tax incentives of $1,233 million over 10 years shown in Table S–10.
² Affects both receipts and outlays. Only the outlay effect is shown here. The receipt effect is -$62,000 million for 2002, -$65,000 million for 2003, -$47,000 million for 2004, -$9,500 million for 2005, $17,000 million for 2006, $18,000 million for 2007, -$87,000 million for 2003–2007, and -$43,500 million for 2003–2012.

**Table S–10. Effect of Proposals on Receipts**
(In millions of dollars)
	2002	2003	2004	2005	2006	2007	Total
	2002	2003	2004	2005	2006	2007	2003–2007	2003–2012

Bipartisan Economic Security Plan ¹	-62,000	-65,000	-47,500	-9,500	17,000	18,000	-87,000	-43,500

Tax Incentives:
Provide incentives for charitable giving:
Provide charitable contribution deduction for nonitemizers	-570	-1,429	-1,437	-2,288	-3,567	-3,591	-12,312	-32,636
Permit tax-free withdrawals from IRAs for charitable contributions	-93	-192	-205	-219	-230	-238	-1,084	-2,632
Raise the cap on corporate charitable contributions	-24	-169	-121	-127	-139	-156	-712	-1,730
Expand and increase the enhanced charitable deduction for contributions of food inventory	-10	-49	-54	-59	-66	-72	-300	-789
Reform excise tax based on investment income of private foundations	-122	-177	-181	-189	-198	-205	-950	-2,101
Modify tax on unrelated business taxable income of charitable remainder trusts	-1	-3	-3	-4	-4	-4	-18	-48
Modify basis adjustment to stock of S corporations contributing appreciated property	-8	-11	-13	-17	-21	-25	-87	-282
Allow expedited consideration of applications for exempt status²	—	—	—	—	—	—	—	—
Strengthen and reform education:
Provide refundable tax credit for certain costs of attending a different school for pupils assigned to failing public schools³	—	-10	-24	-38	-52	-62	-186	-219
Allow teachers to deduct out-of-pocket classroom expenses	—	—	-16	-163	-191	-207	-577	-1,718
Invest in health care:
Provide refundable tax credit for the purchase of health insurance⁴	—	-245	-1,689	-2,811	-2,774	-2,951	-10,470	-29,116
Provide an above-the-line deduction for long-term care insurance premiums	—	-328	-406	-605	-1,222	-2,158	-4,719	-20,730
Allow up to $500 in unused benefits in a health flexible spending arrangement to be carried forward to the next year	—	—	-441	-723	-782	-830	-2,776	-7,819
Provide additional choice with regard to unused benefits in a health flexible spending arrangement	—	—	-23	-39	-45	-52	-159	-566
Permanently extend and reform Archer MSAs	—	—	-43	-468	-530	-607	-1,648	-5,691
Provide an additional personal exemption to home caretakers of family members	—	-314	-383	-362	-345	-348	-1,752	-3,957
Assist Americans with disabilities:
Exclude from income the value of employer-provided computers, software and peripherals	—	—	-2	-6	-6	-6	-20	-52
Help farmers and fishermen manage economic downturns:
Establish FFARRM savings accounts	—	—	-133	-350	-244	-171	-898	-1,233
Increase housing opportunities:
Provide tax credit for developers of affordable single-family housing	—	-7	-76	-302	-715	-1,252	-2,352	-15,257
Encourage saving:
Establish Individual Development Accounts (IDAs)	—	-124	-267	-319	-300	-255	-1,265	-1,722
Protect the environment:
Permanently extend expensing of brownfields remediation costs	—	—	-193	-306	-299	-289	-1,087	-2,390
Exclude 50 percent of gains from the sale of property for conservation purposes	—	-2	-44	-90	-94	-98	-328	-918
Increase energy production and promote energy conservation:
Extend and modify tax credit for producing electricity from certain sources	-92	-227	-303	-212	-143	-146	-1,031	-1,779
Provide tax credit for residential solar energy systems	-3	-6	-7	-8	-17	-24	-62	-72
Modify treatment of nuclear decommissioning funds	-89	-156	-168	-178	-188	-199	-889	-2,042
Provide tax credit for purchase of certain hybrid and fuel cell vehicles	-21	-80	-181	-349	-530	-763	-1,903	-3,027
Provide tax credit for energy produced from landfill gas	-12	-34	-59	-86	-120	-140	-439	-1,130
Provide tax credit for combined heat and power property	-97	-208	-235	-238	-296	-139	-1,116	-1,091
Provide excise tax exemption (credit) for ethanol²	—	—	—	—	—	—	—	—
Promote trade:
Extend and expand Andean trade preferences⁵	-130	-192	-213	-226	-58	—	-689	-689
Initiate a new trade preference program for Southeast Europe⁵	—	-19	-23	-25	-7	—	-74	-74
Implement free trade agreements with Chile and Singapore⁵	—	-21	-86	-109	-131	-155	-502	-1,560
Improve tax administration:
Implement IRS administrative reforms	—	60	49	50	52	54	265	559
Reform unemployment insurance:
Reform unemployment insurance administrative financing⁵	—	-1,002	-1,451	-2,902	-2,982	-4,429	-12,766	-6,924
Expiring Provisions:
Extend provisions that expired in 2001 for two years:
Work opportunity tax credit	-43	-153	-200	-127	-60	-29	-569	-576
Welfare-to-work tax credit	-9	-37	-57	-48	-32	-22	-196	-209
Minimum tax relief for individuals	-122	-353	-256	—	—	—	-609	-609
Exceptions provided under subpart F for certain active financing income	-864	-1,502	-630	—	—	—	-2,132	-2,132
Suspension of net income limitation on percentage depletion from marginal oil and gas wells	-25	-44	-18	—	—	—	-62	-62
Generalized System of Preferences (GSP) ⁵	-370	-415	—	—	—	—	-415	-415
Authority to issue qualified zone academy bonds	-4	-13	-25	-35	-37	-37	-147	-332
Permanently extend expiring provisions:
Provisions expiring in 2010:
Marginal individual income tax rate reductions	—	—	—	—	—	—	—	-183,769
Child tax credit ⁶	—	—	—	—	—	—	—	-31,697
Marriage penalty relief ⁷	—	—	—	—	—	—	—	-12,976
Education incentives	-1	-5	-10	-15	-20	-26	-76	-2,810
Repeal of estate and generation-skipping transfer taxes, and modification of gift taxes	178	-550	-1,097	-1,485	-1,987	-2,178	-7,297	-103,659
Modifications of IRAs and pension plans	—	—	—	—	—	—	—	-6,490
Other incentives for families and children	—	—	—	—	—	—	—	-1,298
Research & Experimentation (R&E) tax credit	—	—	-906	-2,949	-4,654	-5,623	-14,132	-51,051
Total budget proposals	-64,532	-73,017	-59,130	-27,927	-6,034	-9,433	-175,541	-591,020
¹ Affects both receipts and outlays. Only the receipt effect is shown here. The outlay effect is $27,000 million for 2002, $8,000 million for 2003, $1,500 million for 2004, $9,500 million for 2003-2007, and $9,500 million for 2003-2012.
² Policy proposal with a receipt effect of zero.
³ Affects both receipts and outlays. Only the receipt effect is shown here. The outlay effect is $165 million for 2003, $449 million for 2004, $699 million for 2005, $975 million for 2006, $1,213 million for 2007, $3,501 million for 2003-2007, and $4,155 million for 2003-2012.
⁴ Affects both receipts and outlays. Only the receipt effect is shown here. The outlay effect is $677 million for 2003, $5,185 million for 2004, $6,292 million for 2005, $6,560 million for 2006, $6,441 million for 2007, $25,145 million for 2003-2007, and $59,873 million for 2003-2012.
⁵ Net of income offsets.
⁶ Affects both receipts and outlays. Only the receipt effect is shown here. The outlay effect is $8,745 million for 2003-2012.
⁷ Affects both receipts and outlays. Only the receipt effect is shown here. The outlay effect is $1,527 million for 2003-2012.

**Table S–11. Receipts by Source—Summary**
(In billions of dollars)
Source	2001 Actual	Estimates
Source	2001 Actual	2002	2003	2004	2005	2006	2007
Individual income taxes	994.3	949.2	1,006.4	1,058.6	1,112.0	1,157.3	1,221.7
Corporation income taxes	151.1	201.4	205.5	212.0	237.1	241.4	250.6
Social insurance and retirement receipts	694.0	708.0	749.2	789.8	835.2	868.7	908.3
On-budget	(186.4)	(190.8)	(203.9)	(216.3)	(227.0)	(235.1)	(243.0)
Off-budget	(507.5)	(517.2)	(545.3)	(573.5)	(608.2)	(633.7)	(665.3)
Excise taxes	66.1	66.9	69.0	71.2	73.6	75.3	77.5
Estate and gift taxes	28.4	27.5	23.0	26.6	23.4	26.4	23.2
Customs duties	19.4	18.7	19.8	21.9	23.0	24.7	26.2
Miscellaneous receipts	37.8	36.4	40.2	42.8	43.2	44.4	46.2
Bipartisan economic security plan	—	–62.0	–65.0	–47.5	–9.5	17.0	18.0
Total receipts	1,991.0	1,946.1	2,048.1	2,175.4	2,338.0	2,455.3	2,571.7
On-budget	(1,483.5)	(1,428.9)	(1,502.7)	(1,601.9)	(1,729.8)	(1,821.6)	(1,906.4)
Off-budget	(507.5)	(517.2)	(545.3)	(573.5)	(608.2)	(633.7)	(665.3)

**Table S–12. Budget Authority Totals by Function**
(In billions of dollars)
Function	2001 Actual	Estimates
Function	2001 Actual	2002	2003	2004	2005	2006	2007

National defense	329.0	350.7	396.8	405.6	426.6	447.7	469.8
International affairs	18.7	22.3	23.9	24.8	25.6	26.3	27.2
General science, space, and technology	21.1	22.2	22.7	23.3	23.8	24.4	25.0
Energy	0.2	0.6	0.5	0.4	0.9	0.7	0.7
Natural resources and environment	29.8	30.9	30.0	31.3	32.3	31.7	32.3
Agriculture	29.2	29.0	23.8	23.0	21.3	20.4	20.3
Commerce and housing credit	12.4	10.7	14.1	9.8	9.4	8.5	10.7
On-budget	(8.4)	(7.8)	(8.9)	(9.4)	(8.9)	(8.1)	(9.5)
Off-budget	(4.1)	(2.8)	(5.2)	(0.4)	(0.5)	(0.4)	(1.2)
Transportation	67.6	66.1	63.7	58.4	64.6	65.9	67.2
Community and regional development	13.9	18.5	14.7	15.4	15.5	15.9	16.2
Education, training, employment, and social services	63.7	79.6	80.9	81.8	84.0	85.9	87.9
Health	182.1	201.0	234.3	259.0	278.4	298.0	319.9
Medicare	217.2	230.3	234.5	244.1	261.4	282.0	305.5
Income security	273.4	306.2	319.3	326.6	336.3	347.5	356.7
Social Security	440.5	461.3	476.9	497.6	521.8	548.5	577.8
On-budget	(11.7)	(13.9)	(14.3)	(15.2)	(16.1)	(16.9)	(18.0)
Off-budget	(428.8)	(447.4)	(462.6)	(482.5)	(505.8)	(531.6)	(559.8)
Veterans benefits and services	48.4	51.8	56.6	58.8	60.9	63.1	65.2
Administration of justice	45.0	37.3	38.2	41.0	38.9	39.8	40.7
General government	16.6	17.7	17.8	19.5	18.7	19.2	19.4
Net interest	206.2	178.4	180.7	188.8	190.2	188.3	185.3
On-budget	(275.0)	(255.2)	(264.5)	(280.9)	(291.2)	(299.3)	(307.4)
Off-budget	(-68.8)	(-76.8)	(-83.8)	(-92.0)	(-101.0)	(-111.0)	(-122.1)
Allowances	—	25.7	7.6	1.1	–0.4	–0.4	–0.4
Undistributed offsetting receipts	–55.2	–55.2	–74.1	–100.2	–100.4	–98.6	–98.4
On-budget	(-47.3)	(-45.9)	(-64.6)	(-89.9)	(-89.4)	(-86.8)	(-86.0)
Off-budget	(-7.9)	(-9.2)	(-9.6)	(-10.2)	(-11.0)	(-11.7)	(-12.4)
Total	1,959.7	2,085.0	2,162.9	2,210.2	2,309.7	2,414.7	2,529.0
On-budget	(1,603.6)	(1,720.9)	(1,788.5)	(1,829.6)	(1,915.5)	(2,005.4)	(2,102.6)
Off-budget	(356.2)	(364.2)	(374.4)	(380.6)	(394.2)	(409.3)	(426.4)

**Table S–13. Outlay Totals by Function**
(In billions of dollars)
Function	2001 Actual	Estimates
Function	2001 Actual	2002	2003	2004	2005	2006	2007

National defense	308.5	348.0	379.0	393.8	413.5	428.5	442.5
International affairs	16.6	23.5	22.5	22.8	23.3	23.9	24.6
General science, space, and technology	19.9	21.8	22.2	22.8	23.5	24.0	24.6
Energy	0.1	0.6	0.6	0.3	0.8	0.7	0.7
Natural resources and environment	26.3	30.2	30.6	31.1	31.7	32.4	32.8
Agriculture	26.6	28.8	24.2	22.8	21.3	20.4	20.3
Commerce and housing credit	6.0	3.8	3.7	5.1	3.1	1.2	1.7
On-budget	(3.7)	(1.7)	(5.1)	(4.4)	(3.3)	(2.1)	(2.5)
Off-budget	(2.3)	(2.0)	(-1.4)	(0.7)	(-0.2)	(-0.9)	(-0.8)
Transportation	55.2	62.1	59.4	56.3	56.0	56.9	58.6
Community and regional development	12.0	15.4	17.4	18.0	17.4	15.6	15.4
Education, training, employment, and social services	57.3	71.7	79.0	81.0	82.7	84.2	86.1
Health	172.6	195.2	231.9	258.8	277.8	297.0	318.3
Medicare	217.5	226.4	234.4	244.3	261.3	281.8	305.8
Income security	269.8	310.7	319.7	325.0	334.3	345.2	352.7
Social Security	433.1	459.7	475.9	495.7	519.7	546.2	575.3
On-budget	(11.7)	(13.9)	(14.3)	(15.2)	(16.1)	(16.9)	(18.0)
Off-budget	(421.4)	(445.7)	(461.6)	(480.5)	(503.6)	(529.3)	(557.3)
Veterans benefits and services	45.8	51.5	56.6	58.6	63.2	62.9	62.3
Administration of justice	30.4	34.4	40.6	43.5	39.5	39.7	40.4
General government	15.2	18.3	17.6	19.6	18.6	19.0	19.2
Net interest	206.2	178.4	180.7	188.8	190.2	188.3	185.3
On-budget	(275.0)	(255.2)	(264.5)	(280.9)	(291.2)	(299.3)	(307.4)
Off-budget	(-68.8)	(-76.8)	(-83.8)	(-92.0)	(-101.0)	(-111.0)	(-122.1)
Allowances	—	27.0	6.4	0.8	–0.5	–0.3	–0.4
Undistributed offsetting receipts	–55.2	–55.2	–74.1	–100.2	–100.4	–98.6	–98.4
On-budget	(-47.3)	(-45.9)	(-64.6)	(-89.9)	(-89.4)	(-86.8)	(-86.0)
Off-budget	(-7.9)	(-9.2)	(-9.6)	(-10.2)	(-11.0)	(-11.7)	(-12.4)
Total	1,863.9	2,052.3	2,128.2	2,189.1	2,276.9	2,369.1	2,467.7
On-budget	(1,516.9)	(1,690.6)	(1,761.5)	(1,810.1)	(1,885.5)	(1,963.4)	(2,045.8)
Off-budget	(347.0)	(361.7)	(366.8)	(379.0)	(391.4)	(405.7)	(421.9)

**Table S–14. Comparison of Economic Assumptions**
(Calendar years)
	Projections											Average
	2002	2003	2004	2005	2006	2007	2008	2009	2010	2011	2012	2002–2012

Real GDP (billions of 1996 dollars):
CBO January	9,398	9,782	10,146	10,471	10,804	11,145	11,493	11,850	12,216	12,590	12,972
Blue Chip Consensus January²	9,410	9,742	10,069	10,401	10,738	11,075	11,425	11,791	12,168	12,557	12,959
2003 Budget	9,382	9,739	10,101	10,462	10,802	11,136	11,482	11,838	12,204	12,583	12,973
Real GDP (chain-weighted):¹
CBO January	0.8	4.1	3.7	3.2	3.2	3.2	3.1	3.1	3.1	3.1	3.0	3.1
Blue Chip Consensus January²	1.0	3.4	3.4	3.3	3.2	3.1	3.2	3.2	3.2	3.2	3.2	3.1
2003 Budget	0.7	3.8	3.7	3.6	3.2	3.1	3.1	3.1	3.1	3.1	3.1	3.1
Chain-weighted GDP Price Index:¹
CBO January	1.4	2.0	2.0	2.0	2.0	2.0	2.0	2.0	2.0	2.0	2.0	1.9
Blue Chip Consensus January²	1.6	1.9	2.1	2.1	2.2	2.2	2.2	2.2	2.2	2.2	2.2	2.1
2003 Budget	2.0	1.8	1.7	1.8	1.9	1.9	1.9	1.9	1.9	1.9	1.9	1.9
Consumer Price Index (all-urban):¹
CBO January	1.8	2.5	2.5	2.5	2.5	2.5	2.5	2.5	2.5	2.5	2.5	2.4
Blue Chip Consensus January²	1.7	2.4	2.6	2.7	2.7	2.7	2.6	2.6	2.6	2.6	2.6	2.5
2003 Budget	1.8	2.2	2.3	2.4	2.4	2.4	2.4	2.4	2.3	2.3	2.3	2.3
Unemployment rate:³
CBO January	6.1	5.9	5.4	5.2	5.2	5.2	5.2	5.2	5.2	5.2	5.2	5.4
Blue Chip Consensus January²	6.1	5.7	4.9	4.9	4.8	4.9	4.9	4.9	4.9	4.9	4.9	5.1
2003 Budget	5.9	5.5	5.2	5.0	4.9	4.9	4.9	4.9	4.9	4.9	4.9	5.1
Interest Rates:³
91-day Treasury bills:
CBO January	2.2	4.5	4.9	4.9	4.9	4.9	4.9	4.9	4.9	4.9	4.9	4.6
Blue Chip Consensus January²	2.1	3.4	4.5	4.7	4.8	4.8	4.7	4.7	4.7	4.7	4.7	4.3
2003 Budget	2.2	3.5	4.0	4.3	4.3	4.3	4.3	4.3	4.3	4.3	4.3	4.0
10-year Treasury notes:³
CBO January	5.0	5.5	5.8	5.8	5.8	5.8	5.8	5.8	5.8	5.8	5.8	5.7
Blue Chip Consensus January²	5.1	5.6	5.7	5.7	5.7	5.8	5.8	5.8	5.8	5.8	5.8	5.7
2003 Budget	5.1	5.1	5.1	5.1	5.2	5.2	5.2	5.2	5.3	5.3	5.3	5.2

Source: Congressional Budget Office; Aspen Publishers, Inc., Blue Chip Economic Indicators.
¹ Year over year percent change.
² January 2002 Blue Chip Consensus forecast for 2002 and 2003; Blue Chip October 2001 long run extension for 2004–2012.
³ Annual averages, percent.

**Table S–15. Baseline Category Totals**
(In billions of dollars)
	2002	2003	2004	2005	2006	2007	Total 2003–2007

Outlays:
Discretionary:
Defense	336	347	359	371	377	383	1,836
Non-defense	382	402	413	420	429	439	2,103
Subtotal, discretionary	718	749	772	791	806	822	3,939
Emergency Response Fund	22	9	5	2	1	*	17
Mandatory:
Social Security	456	472	491	515	542	571	2,591
Medicare	223	229	237	252	260	279	1,258
Medicaid	145	159	171	185	202	219	936
Other mandatory	279	277	272	278	290	294	1,412
Subtotal, mandatory	1,102	1,136	1,172	1,231	1,294	1,363	6,197
Net interest	177	175	177	172	165	156	846
Total Outlays	2,020	2,070	2,126	2,197	2,266	2,341	11,000
Receipts	2,011	2,121	2,234	2,366	2,461	2,581	11,764
Unified Surplus	-9	51	109	169	196	240	764
On-budget surplus	-165	-127	-86	-48	-33	-4	-298
Off-budget surplus	155	179	195	217	228	244	1,063

* $500 million or less

**Table S–16. Budget Surplus Reestimates**
(In billions of dollars)
	2002	2003	Total 2002–2011

April pre-policy baseline	283	334	5,637

Economic downturn	-197	-138	-1,345

Enacted policy:
Tax relief	-40	-94	-1,478
Other enacted legislation	-54	-51	-591

Current baseline	-9	51	2,222

Budget proposals	-7	-54	-1,325

Budget outlook, pre-economic security plan	-16	-3	896

Bipartisan economic security plan	-90	-77	-231

Budget outlook, including economic security plan	-106	-80	665

**Table S–17. Federal Government Financing and Debt**
(In billions of dollars)
	Actual 2001	Estimate
	Actual 2001	2002	2003	2004	2005	2006	2007

Financing:
Unified budget surplus (+)/ deficit (-)	127	-106	-80	-14	61	86	104

Financing other than the change in debt held by the public:
Premiums paid (-) on buybacks of Treasury securities¹	-11	-3	—	—	—	—	—
Net purchases (-) of non-Federal securities by the National Railroad Retirement Investment Trust	—	-15	-1	-*	*	*	*
Changes in:²
Treasury operating cash balance	8	-16	—	-5	—	—	-5
Checks outstanding, deposit funds, etc.³	-13	-1	-*	—	—	—	—
Seigniorage on coins	1	1	1	1	1	1	1
Less: Net financing disbursements:
Direct loan financing accounts	-19	-15	-15	-15	-15	-15	-15
Guaranteed loan financing accounts	-4	-2	3	3	4	5	5
Total, financing other than the change in debt held by the public	-37	-51	-13	-16	-9	-9	-13
Total, amount available to repay debt held by the public	90	-157	-93	-29	52	78	91

Change in debt held by the public	-90	157	93	29	-52	-78	-91

Debt Subject to Statutory Limitation, End of Year:
Debt issued by Treasury	5,743	6,110	6,499	6,867	7,182	7,482	7,780
Adjustment for Treasury debt not subject to limitation and agency debt subject to limitation⁴	-15	-15	-15	-15	-15	-15	-15
Adjustment for discount and premium⁵	5	5	5	5	5	5	5
Total, debt subject to statutory limitation⁶	5,733	6,099	6,489	6,856	7,172	7,472	7,770
Debt Outstanding, End of Year:
Gross Federal debt⁷:
Debt issued by Treasury	5,743	6,110	6,499	6,867	7,182	7,482	7,780
Debt issued by other agencies	27	27	26	26	25	24	23
Total, gross Federal debt	5,770	6,137	6,526	6,892	7,207	7,506	7,803
Held by:
Debt securities held by Government accounts	2,450	2,660	2,956	3,293	3,659	4,036	4,424
Debt securities held by the public⁸	3,320	3,477	3,570	3,600	3,548	3,470	3,379

* $500 million or less
¹Includes only premiums paid on buybacks through December 2001. Estimates are not made for subsequent buybacks.
²A decrease in the Treasury operating cash balance (which is an asset) would be a means of financing a deficit and therefore has a positive sign. An increase in checks outstanding or deposit fund balances (which are liabilities) would also be a means of financing a deficit and therefore would also have a positive sign.
³Besides checks outstanding and deposit funds, includes accrued interest payable on Treasury debt, miscellaneous liability accounts, allocations of special drawing rights, and, as an offset, cash and monetary assets other than the Treasury operating cash balance, miscellaneous asset accounts, and profit on sale of gold.
⁴Consists primarily of Federal Financing Bank debt.
⁵Consists of unamortized discount (less premium) on public issues of Treasury notes and bonds (other than zero-coupon bonds) and unrealized discount on Government account series securities.
⁶The statutory debt limit is $5,950 billion.
⁷Treasury securities held by the public and zero-coupon bonds held by government accounts are almost all measured at sales price plus amortized discount or less amortized premium. Agency debt securities are almost all measured at face value. Treasury securities in the government account series are measured at face value less unrealized discount (if any).
⁸At the end of 2001, the Federal Reserve Banks held $534.1 billion of federal securities and the rest of the public held $2,785.9 billion. Debt held by the Federal Reserve Banks is not estimated for future years.

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