1965 1966 estimate estimate 1,650 4,000 1.183 14,099 18.099 2,833 1965 estimate 8,867 164 1,080 10,111 2,100 16 2,116 12,227 1966 estimate 17,261 -19,867 -2,606 -1,700 1,650 140,197 1966 estimate 9.436 185 1,216 2,500 16 2,516 -4,704 -1,695 -14 -105 -30,736-31,135 -101 -30,250 -1,614 -100,170 115,120-140,197 13,353 -1,825 Identification code 29-00-4011-0-3-805 7,000 160,269 Program and Financing (in thousands of dollars)—Continued 93 94 Cash transactions: Gross expenditures.. Applicable receipts. expenses. Budget program-1. Death claims.-Payments to surviving beneficiaries continue to increase as deaths occur among policyholders. 2. Disability claims.-Payments to individuals who have purchased total disability coverage and who subsequently become totally disabled began in 1960. 3. Cash surrenders.-A policyholder may terminate hist insurance by cashing in his policy for its cash value. 4. Special dividend.-Payments were authorized to insureds converting old term policies to new insurance 10,837 plans. This special authority expired in 1964. 6. Policy loans made.--The policyholders who converted their insurance from term to permanent plan were subsequently entitled to borrow up to 94% of the cash value of the new policy. Number of policies Insurance in force. -14,950 -26,727 -27,072 8,120 9,125 9,153 -9,125 -9,153 -8,981 -15,955-26,755 -26,900 June 30, 1963 June 30, June 30, 645,195 645,298 -5,440 $5.700,398 $5,674,079 $5,596,000 $5,525,000 Financing. Payments from this fund are financed -1,900 primarily from premium receipts and interest on invest -15 ments. -110 20,007 12,208 -35,962 -38,963-40,413 The fund finances the payment of claims on nonparticipating insurance policies issued before January 1, 1957, to veterans who served in the Armed Forces subsequent to April 1951 (38 U.S.C., sec. 723). Policyholders were given the right (72 Stat. 1716) to convert to a permanent plan of insurance or to a new form of term insurance. Those who converted to a permanent plan also acquired the right to purchase total disability income coverage with an additional premium. Administrative expenses are paid from the appropriation, General operating 13,513 The following table reflects the decrease in the number of policies and the amount of insurance in force (dollars in thousands): June 30, 1964 Operating results and financial condition.-Favorable mortality experience on insurance written against this fund has kept death claim payments well below the amount of premium and interest receipts, thereby producing an annual increase in the retained earnings of the fund. Part of the surplus retained earnings were used to finance the special dividend which expired in 1964. In 1965 it is proposed to transfer $1.7 million of surplus retained earnings to the new Veterans reopened insurance fund to provide initial capital for that account. In 1966 it is planned to use $7 million of the surplus retained earnings to partially offset new obligational authority in the Veterans insurance and indemnities appropriation. Public enterprise funds-Continued VOCATIONAL REHABILITATION REVOLVING FUND-Continued Assets: Treasury balance.......... Accounts receivable, net. Loans receivable............ Total assets... Liabilities: Government equity: Non-interest-bearing capital.. Total Government equity. 1963 actual services program: Cost of goods sold.. 1. Procurement, distribution and program: Cost of goods sold....... Other expense.. Other expense...... 2. Publications and reproduction Analysis of Government Equity (in thousands of dollars) 322 389 Capital outlay, funded: 1. Procurement, distribution and 324 67 395 2. Publications and reproduction ment.. 6 400 -11 Financing: Receipts and reimbursements from: 21.98 Unobligated balance, start of year: Total capital outlay, funded.. 1 Total obligations......... 389 SUPPLY FUND Program and Financing (in thousands of dollars) 1964 actual 294 96 390 1964 actual Total operating costs, funded. 171,832 400 400 -12 -12 388 388 163,140 2 1,625 1,201 2222 96 388 1965 1966 estimate estimate 60 294 96 390 55 115 2 292 96 388 155,842 1,637 1,239 164,990 The Supply fund finances, on a reimbursable basis, the procurement of supplies and certain equipment throughout the Veterans Administration in accordance with the provisions of 38 U.S.C. 5011, and nonperishable subsistence and drugs for all civilian agencies. Budget program.-The fund provides for the procurement of supplies and equipment, the maintenance and operation of three supply depots located at Somerville, N.J., Hines, Ill., and Wilmington, Calif., the operation of service and reclamations shops at each supply depot, a centralized periodical procurement activity, and printing service to Veterans Administration installations on a centralized basis. The publications and reproduction program provides printing service to Veterans Administration installations. Printed matter is acquired in accordance with the rules of the Joint Committee on Printing from the Government Printing Office, the General Services Administration, a Veterans Administration-operated plant in Arlington, Va., and from commercial sources. The Veterans Administration has been designated as the Government's purchasing and distribution agent for nonperishable subsistence and drugs required by the civilian agencies. Contracting and purchasing of these commodities began in the latter part of 1961. The Veterans Administration is currently collaborating with the General Services Administration, Health, Education, and Welfare and Department of Defense in a study of distribution methods for subsistence items; it is anticipated that this joint study will be completed during 1965. 40 A decrease in procurement and sales volume in 1965 165,573 Financing. Consuming appropriations reimburse the fund for the cost of supplies and equipment provided and services rendered by the above specified activities. -168,830-162,420-162,693 Supply depot operating costs are recovered from the appropriations and funds receiving supplies and equipment from the depots. -2,900 Operating results and financial condition. The fund operated at a deficit of $221 thousand in 1964. It is 12,796 anticipated that the fund will recover this loss in 1965. 100 294 96 390 1965 1966 estimate estimate 57 157 171,947 165,147 167,732 167,652 2 -2,865 15, 107 10,464 400 -12 388 292 388 156,128 1,637 1,239 165,484 49 -2,900 Financial Condition (in thousands of dollars) 1963 actual 13,390 5,821 39,986 173 26.0 Supplies and materials. 31.0 Equipment for use of fund. Equipment for sale to others.. 20,415 -15,107 1964 actual 171,695 171,901 -206 Personnel compensation: Total personnel compensation.. 127 34,135 589 122 35,352 620 54,062 49,888 32 -47 13,903 03 10,123 12.0 Personnel benefits.... 21.0 Travel and transportation of persons... 22.0 Transportation of things............ 23.0 Rent, communications, and utilities. 24.0 Printing and reproduction.. 25.1 Other services. -15 -221 173 -173 -221 Total accrued expenditures...--94.0 Change in unpaid undelivered orders. 99.0 Total obligations........... 10,923 2,871 Government equity: 39,986 Total Government equity... 40,159 39,765 40,009 Analysis of Government Equity (in thousands of dollars) 14,988 -10,464 -853 34,851 36,094 40,159 1964 actual 165,320 165,593 252 34 6 -14 1964 1965 1966 actual estimate estimate -8 244 -221 4.196 1 36 23 11,591 3,000 11,240 17,000 -12,796 -853 36,658 39,765 40,009 1 The changes in these items are reflected on the program and financing schedule. Object Classification (in thousands of dollars) 6 -14 39,986 23 122 35,845 691 122 35,900 697 51,249 51,275 -8 26 23 11,556 3,000 49 11,240 39,986 49 40,035 17,000 -12,831 -853 36,719 40,035 1965 1966 estimate estimate 4,516 4,540 36 36 4,233 4,552 99 4,576 99 167,732 167,652 165,628 ADMINISTRATIVE PROVISIONS Not to exceed 5 per centum of any appropriation for the current fiscal year for "Compensation and pensions", "Readjustment benefits", and "Veterans insurance and indemnities" may be transferred to any other of the mentioned appropriations, but not to exceed 10 per centum of the appropriations so augmented. Appropriations available to the Veterans Administration for the current fiscal year for salaries and expenses shall be available for services as authorized by section 15 of the Act of August 2, 1946 (5 U.S.C. 55a). The appropriation available to the Veterans Administration for the current fiscal year for "Medical care" shall be available for funeral, burial, and other expenses incidental thereto (except burial awards authorized by section 902 of title 38, United States Code), for beneficiaries of the Veterans Administration receiving care under such appropriations. No part of the appropriations in this Act for the Veterans Administration (except the appropriation for "Construction of hospital and domiciliary facilities") shall be available for the purchase of any site for or toward the construction of any new hospital or home. No part of the foregoing appropriations shall be available for hospitalization or examination of any persons except beneficiaries entitled under the laws bestowing such benefits to veterans, unless reimbursement of cost is made to the appropriation at such rates as may be fixed by the Administrator of Veterans Affairs. (Independent Offices Appropriation Act, 1965.) |