Total Obligational Authority (TOA) has been used throughout this book to express the amounts in the Department of the Navy budget because it is the most accurate reflection of program value. While TOA amounts differ only slightly form Budget Authority (BA) in some cases, they can differ substantially in others.
The differences in TOA and BA, as evidenced in the table below, result from a combination of several factors.
TOA vs BA
(In Millions of Dollars)
FY 1995 FY 1996 FY 1997
Offsetting Receipts -652.2 -234.0 -219.0
Trust and Interfund 2.3 1.6 1.5
Financing Adjustments -1,167.0 -212.2 -42.2
Expiring Balances 239.2 - -
Land Sales Revenue - - -243.9
Total -1,577.7 - 444.6 -503.6
Offsetting Receipts are reflected in BA but not in TOA. Offsetting Receipts include such things as donations to the Navy and Marine Corps, recoveries from foreign military sales, deposits for survivor annuity benefits, interest on loans and investments, rents and utilities, and changes made under the Freedom of Information Act.
Trust Fund totals are also included in BA but not in TOA. These accounts include funds established for the Navy General Gift Fund, Office of Naval Records and History Fund, Naval Academy General Gift Fund, Ship Store Profits, Midshipman Store and the Naval Academy Museum Fund.
Financing Adjustments account for the majority of the differences between TOA and BA. Generally, funding changes are scored as budget authority adjustments in the fiscal year in which the change itself is effective; for TOA purposes, changes are reflected as adjustments to a specific program year, based on the original appropriation. For example, FY 1995 Congressional action provided for the transfer of $1.2 billion in FY 1994 National Defense Sealift Fund budget authority to FY 1995 Shipbuilding and Conversion, Navy account. Reappropriations and rescissions involving prior year programs and transfers to prior year programs are all examples of financing adjustments reflected against different fiscal periods as BA and TOA. Revolving fund and foreign currency transfers are other examples of financing adjustments which count differently in TOA and BA.
Expiring Balances also contribute to the differences as they represent BA available for FY 1995 annual accounts (Personnel and Operation and Maintenance), but not, for a variety of reasons, obligated prior to the end of the fiscal year. These amounts are therefore not included as part of the actual direct TOA for the fiscal year.
Land Sales Revenue represents anticipated proceeds to the U. S. Government from the sale of properties at Navy and Marine Corps activities scheduled for closure. The properties may transfer to another federal agency, state or local government at fair market value or discounted under a variety of statutory programs. The estimate for Land Sales Revenue assumes these properties will be sold at fair market value.
The TOA and BA levels for FY 1995 through FY 1997 along with DON outlay estimates, are summarized in Table 22.