Note 12 - Statement Of Budgetary Resources (Reissued June 30, 2005)

Statement of Budgetary Resources
at September 30, 2004 and 2003

	2004	2003
The amount of direct and reimbursable obligations incurred against amounts apportioned under Category A, B and exempt from apportionment as of September 30, 2004	$38,205,516	$39,601,124
Available contract authority as of September 30, 2004 (FY 2004 amount was previously reported as $29,064,685)	$32,030,514	$27,332,182

Unobligated balances of budgetary resources of unexpired accounts are available in subsequent years upon apportionment from OMB, and are subject to the obligation limitation contained in DOT Appropriations Acts. As a result of the obligation limitation, $24,222,017 (amount previously reported as $23,591,357) was not available for obligation in FY 2004. Unobligated balances of expired accounts are not available.

Appropriations received consist of liquidating contract authority that has been appropriated in the current year's appropriation bill (P.L. 108-199).

The Statement of Budgetary Resources (SBR) is combined and as such, intra-entity transactions have not been eliminated.

Adjustments to the Beginning Balance of Budgetary Resources
at September 30, 2004 and 2003

	2004	2003
Adjustments to the beginning balance of budgetary resources during FY 2004 and FY 2003 were as follows:
Unobligated balance at beginning of period	$     3,373	$         -
Rescissions	-	1,627,108
Prior Year Recoveries	-	(14,322)
Cancelled Authority	-	16,745
Liquidating Authority	-	37,262,464
Total Adjustments to Beginning Balance of Budgetary Resources	$     3,373	$38,891,995

HTF Agencies did not have borrowing authority, repayment requirements, permanent indefinite appropriations, or receive any contributed capital in FY 2004.

The Federal-Aid Highway Act of 1956, as amended by subsequent legislation, established the Highway Trust Fund (HTF) as a mechanism for financing the accelerated highway program.  It is a user-supported fund, with the revenues of the HTF identified for financing highways, and the taxes dedicated to the HTF paid by the users of highways. The HTF Corpus is a utility account that receives no budgetary resources.  Excise and user taxes are collected by the Treasury and deposited to the HTF Corpus.  Deposits not needed immediately for payments are invested by the Treasury’s Bureau of Public Debt (BPD) in non-interest bearing public debt securities.  As funds are needed for payments, HTF Corpus investments are liquidated and funds transferred to FHWA for payment of obligations.  Given the nature of the HTF Corpus activity, the budgetary resources relating to “HTF Corpus” account activity is not reflected in the HTF Statement of Budgetary Resources at September 30, 2004; however, such budgetary resources are reflected in the “Budget of the United States Government”. There are other differences between the information required by SFFAS No. 7 and the amounts in the amounts described as “actual” FY 2004 “Budget of the United States Government” aggregating approximately $980,000 for which management is researching with Treasury.

FHWA’s current practice nets current year obligations against current and prior year recoveries.  This treatment was specifically recognized in OMB Circular No. A-34, and later amended by Circular No. A-11, Part 4, and confirmed  via a letter dated September 30, 2003.

Budget authority was allocated to and administered by departments outside of DOT in the amount of $259,468 in FY 2004 and $367,504 in FY 2003.