funds, instead of being taken into the tables as receipts, are deducted from expenditures.

TRUST AND DEPOSIT FUNDS DISTINGUISHED

The funds which are covered in this part of the budget are of two types as follows:

Trust funds are those funds established to account for receipts which are held in a fiduciary capacity by the Government for use in carrying out specific purposes and programs in accordance with a trust agreement or a statute. Within the category of trust funds, there is a subcategory of trust revolving funds, which are trust funds used to carry on a cycle of business-type operations, including certain corporations which are partly owned by the Government and partly by private interests.

Deposit funds are those funds established to account for collections that are either (a) held in suspense temporarily and later refunded or paid into some other fund of the Government, or (b) held by the Government as banker or agent for others, being paid out in lump sums at the direction of the owner. Such funds are not available for paying salaries, expenses, grants, or other expenditures of the Government.

While the transactions in these groups of funds are a part of the financial program of the Government, trust and deposit funds are not fully owned by the Government; hence these transactions are excluded from budget totals.

TRUST FUND RECEIPTS AND EXPENDITURES

Receipts. Like budget receipts, trust fund receipts are based upon collections received and deposited, including U.S. Government securities received in lieu of cash and contributions to the trust funds from the general fund. Reported receipts exclude borrowing and the sale or redemptions of U.S. Government securities.

Expenditures.-Like budget expenditures, trust fund expenditures are stated on a checks-issued basis, less refunds collected. The repayment of borrowing and the purchase of U.S. Government securities are excluded from the expenditure figures.

Trust revolving funds. The small group of funds which constitute trust revolving funds are reported on a net

OBLIGATIONAL AUTHORITY FOR TRUST FUNDS

Most trust fund receipts are made available for use by permanent law, without requiring further action by Congress. In a few cases receipts of trust funds can be obligated and expended only in accordance with appropriations enacted by Congress from year to year. Examples are the funds of the U.S. Soldiers' Home and the general municipal revenues of the District of Columbia. In the case of the Highway trust fund, Congress controls expenditures by appropriations annually, but it grants contract authorizations in advance thereof. In a few other cases, the trust receipts are permanently available for program purposes, but Congress imposes annual limitations on administrative expenses.

DEPOSIT FUND EXPENDITURES

Deposit fund expenditures are shown in the summary table for this part of the appendix, but are not shown in the details. These expenditures are on a net basis; that is, the collections are deducted from checks issued, and the resulting figure is shown as an expenditure. Checks issued include transactions to move money into other funds, as well as refunds and the return of money to depositors. When the collections are larger than the gross expenditures, the amount shown as an expenditure is a negative item.

DETAIL OF TRUST FUND ESTIMATES

The detailed material in part II covers the trust funds Conwhich do not require annual action by Congress. solidated schedules are used for the smaller trust funds of each bureau or independent agency.

The material here follows the general format of the similar material in part I, with the principal exception that these schedules show receipts in place of showing appropriations. In cases where the receipts are not permanently appropriated as the money is collected, the schedules identify the portion of the unobligated balances on hand which is appropriated and the portion which is unappropriated. Also, no appropriation language appears here, and the narrative statement of program and performance usually consists only of an explanation of the sources of money for the fund, the purposes for which it is authorized to be spent, and the legal citations.

878

LEGISLATIVE BRANCH-Continued

LIBRARY OF CONGRESS—Continued LIBRARY OF CONGRESS TRUST FUND PRINCIPAL ACCOUNTS-Con.

This schedule covers two principal accounts-permanent loan and bequest of Gertrude M. Hubbard.

Both funds represent gifts or bequests in cash, which have been deposited with the Treasurer of the United States as permanent loans to the United States, the interest upon which, at 4% per annum, payable semiannually, is available to the Librarian for the purposes specified in each case.

As of June 30, 1961, the principal in the permanent

loan account, which shall not exceed the sum of $5 million (2 U.S.C. 158; 31 U.S.C. 725s), was distributed as follows (in thousands of dollars):

On June 30, 1961, there were 350 judges participating in the system which is exactly the same number participating as of June 30, 1960. Judicial participation remained the same notwithstanding an increase in the number of judgeship vacancies from 13 at the beginning of the year to 22 at the end of the year. However, on June 30, 1961, there were only 41 nonparticipants as compared with 44 a year ago.

There were 131 survivor annuitants on the roll as of June 30, 1961, as compared with 129 at the close of the previous year. Although the number of annuitants on the rolls has remained at approximately the same level during the past several years, the average annuity during this period has increased. It is expected the average annuity will continue to increase for the reason that future awards to annuitants will be computed on the basis of a higher 5-year average annual salary of judges, whereas, the present roll of survivor annuitants reflects the reduced annuities granted to existing widows at the beginning of the system.

The act of May 19, 1961, Public Law 87-36, created 73 additional judgeships, 10 circuit and 63 district. The estimates for 1962 and 1963 take into account the additional revenue expected by reason of the participation of judges appointed pursuant to this act.

3. Technical assistance, U.S. dollars advanced from foreign governments.

1,682

3,300

5.000

Program by activities:

Total obligations

287,180

725,721 468,100

1. Annuities.

Financing:

Cash.

103,122 62,957 67,468

Obligational authority granted in advance

534,935 61

456,415 514,183

Cash..

227,604

Advances, Foreign Assistance Act.. Technical assistance, U.S. dollars advanced from foreign governments Obligational authority granted in advance of

Applied to prior obligational authority. Unobligated balance carried forward:

Cash..

Obligational authority granted in advance of receipts (75 Stat. 437)..

445,000 395,000 2,110 5,000 5,000

122,994 703.000 335,000 -184,274-365,000 -325,000

-62,957-67,468-64,968 -456,415-514,183-458,583 287,180 725,721 468,100

1. Advances, Foreign Assistance Act.-Payments are received from foreign nations for defense articles and defense services which the U.S. military departments transfer from their stocks or procure under contract. In most cases, cash payments are made before delivery. However, when determined by the President to be in the best interests of the United States, payments for deliveries of material from stock may be made within a reasonable

time after delivery, not to exceed 3 years. Normally, this period is limited to 120 days. In the case of new procurement, the foreign governments must advance sufficient funds to meet required contract payments and, in addition, must provide the United States with a dependable undertaking to assure that no loss will accrue to the United States in case of contract cancellation or termination (22 U.S.C. 2315).

2. Philippine assistance.-By agreement with the Philippine Government, the Agency for International Development acts as its agent, utilizing dollars advanced by the Philippines to procure commodities for them (22 U.S.C. 2151).

3. Technical assistance, U.S. dollar advances from foreign governments. Funds advanced by foreign countries are used to pay some local costs of development programs in those countries in accordance with bilateral agreements (22 U.S.C. 2151).

Object Classification (in thousands of dollars)

Personnel Summary