[Appendix, Budget of the United States Government, Fiscal Year 1998]
[Page 297-301]


                     THE BUDGET FOR FISCAL YEAR 1998

[[Page 297]]


                     DEPARTMENT OF DEFENSE--MILITARY


                           MILITARY PERSONNEL


 
                              ACTIVE FORCES

    These appropriations finance the personnel costs of the active duty 
forces of the Army, Navy, Marine Corps, and Air Force. Changes in 
financial requirements are primarily related to military personnel 
strengths. In addition, these appropriations finance the future 
retirement benefits of the current active forces. While most of the 
entitlements financed by these appropriations are set by statute, the 
estimates reflect continuing efforts to improve management, including 
implementation of audit recommendations, improved management of military 
travel, and prudent use of bonus programs, and other pay programs.

    Included in the 1998 request is funding for a 2.8% pay raise. This 
raise will help ensure that military compensation remains attractive and 
competitive with private sector pay and that the military services 
continue to attract and retain highly qualified people. Illustrative of 
the high quality of service members is their educational achievements. 
Over 96% of the individuals recruited into the military services in 1996 
were high school graduates compared to 75% of the youth of the same age 
in the general population. Over 97% of personnel entering the services 
as commissioned officers are college graduates. Over 42% of the officers 
on active duty have advanced college degrees compared to less than 7% in 
the general population.

    The numbers of active duty military personnel provided for are shown 
in the following table.

                             YEAR-END NUMBER

                                                  1996 actual    1997 est.        1998 est.       1999 est.
Defense total...................1,471,722------ 1,452,100-----1,431,379------1,424,709-------
                                          --------------  ------------   ----------------   -----------

 Officers.......................232,424-------- 229,001-------226,705--------225,526---------
 Enlisted.......................1,227,110------ 1,211,099-----1,192,674------1,187,183-------
 Academy cadets and midshipmen..12,188--------- 12,000--------12,000---------12,000----------
                                           ==============  ===========   =============   ==============

Army............................491,103-------- 495,000-------495,000--------495,000---------
                                          --------------  ------------   ----------------   -----------

 Officers.......................80,628--------- 80,300--------80,300---------80,300----------
 Enlisted.......................406,502-------- 410,700-------410,700--------410,700---------
 Military Academy cadets........3,973---------- 4,000---------4,000----------4,000-----------
                                           ==============  ===========   =============   ==============

Navy............................416,735-------- 402,013-------390,802--------384,888---------
                                          --------------  ------------   ----------------   -----------

 Officers.......................57,477--------- 56,265--------55,695---------55,008----------
 Enlisted.......................355,048-------- 341,748-------331,107--------325,880---------
 Naval Academy midshipmen.......4,210---------- 4,000---------4,000----------4,000-----------
                                           ==============  ===========   =============   ==============

Marine Corps....................174,883-------- 174,000-------174,000--------174,000---------
                                          --------------  ------------   ----------------   -----------

 Officers.......................17,931--------- 17,978--------17,978---------17,978----------
 Enlisted.......................156,952-------- 156,022-------156,022--------156,022---------
                                           ==============  ===========   =============   ==============

Air Force.......................389,001-------- 381,087-------371,577--------370,821---------
                                          --------------  ------------   ----------------   -----------

 Officers.......................76,388--------- 74,458--------72,732---------72,240----------
 Enlisted.......................308,608-------- 302,629-------294,845--------294,581---------
 Air Force Academy cadets.......4,005---------- 4,000---------4,000----------4,000-----------
                                           ==============  ===========   =============   ==============

                             AVERAGE NUMBER

                                                  1996 actual    1997 est.        1998 est.       1999 est.
Defense total...................1,497,939------ 1,458,596-----1,439,158------1,418,798-------
                                          --------------  ------------   ----------------   -----------

 Officers.......................236,610-------- 231,119-------228,105--------226,414---------
 Enlisted.......................1,249,601------ 1,215,835-----1,199,377------1,180,710-------
 Academy cadets and midshipmen..11,728--------- 11,642--------11,676---------11,674----------
                                           ==============  ===========   =============   ==============

Army............................501,247-------- 490,775-------495,118--------494,854---------
                                          --------------  ------------   ----------------   -----------

 Officers.......................82,697--------- 80,245--------80,272---------80,598----------
 Enlisted.......................414,716-------- 406,700-------410,972--------410,382---------
 Military Academy cadets........3,834---------- 3,830---------3,874----------3,874-----------
                                           ==============  ===========   =============   ==============

Navy............................426,099-------- 405,725-------390,159--------376,392---------
                                          --------------  ------------   ----------------   -----------

 Officers.......................58,024--------- 56,274--------54,775---------54,147----------
 Enlisted.......................364,129-------- 345,596-------331,530--------318,391---------
 Naval Academy midshipmen.......3,946---------- 3,855---------3,854----------3,854-----------
                                           ==============  ===========   =============   ==============

Marine Corps....................173,504-------- 173,424-------172,832--------172,849---------
                                          --------------  ------------   ----------------   -----------

 Officers.......................17,956--------- 18,028--------18,006---------18,007----------
 Enlisted.......................155,548-------- 155,396-------154,826--------154,842---------
                                           ==============  ===========   =============   ==============

Air Force.......................397,089-------- 388,672-------381,049--------374,703---------
                                          --------------  ------------   ----------------   -----------

 Officers.......................77,933--------- 76,572--------75,052---------73,662----------
 Enlisted.......................315,208-------- 308,143-------302,049--------297,095---------
 Air Force Academy cadets.......3,948---------- 3,957---------3,948----------3,946-----------
                                           ==============  ===========   =============   ==============

                                <F-dash>

                              Federal Funds

General and special funds:

                        Military Personnel, Army

    For pay, allowances, individual clothing, subsistence, interest on 
deposits, gratuities, permanent change of station travel (including all 
expenses thereof for organizational movements), and expenses of 
temporary duty travel between permanent duty stations, for members of 
the Army on active duty (except members of reserve components provided 
for elsewhere), cadets, and aviation cadets; and for payments pursuant 
to section 156 of Public Law 97-377, as amended (42 U.S.C. 402 note), to 
section 229(b) of the Social Security Act (42 U.S.C. 429(b)), and to the 
Department of Defense Military Retirement Fund; [$20,633,998,000] 
$20,529,257,000.
    Further, for the foregoing purposes, $20,962,928,000, to be 
available only during fiscal year 1999. (10 U.S.C. 701-04, 744, 956, 
1035, 1037, 1047-49, 1212, 1475-80, 2389, 2421, 2634, 3687, 4561, 4562, 
4741; chapters 3, 5, 7, and 9 of title 37, United States Code; 
Department of Defense Appropriations Act, 1997.)

                         Program and Financing (in millions of dollars)

-----------------------------------------------------------------------------------------------
Identification code   21-2010-0-1-051    1996 actual      1997 est.     1998 est.      1999 est.
-----------------------------------------------------------------------------------------------

    Obligations by program activity:

      Direct program:

00.01   Pay and allowances of officers..       5,808          5,826         5,741          5,958
00.02   Pay and allowances of enlisted 
          personnel.....................      12,457         12,476        12,470         12,625
00.03   Pay and allowances of cadets....          35             37            39             40
00.04   Subsistence of enlisted 
          personnel.....................         769          1,045         1,036          1,069
00.05   Permanent change of station 
          travel........................       1,066          1,056         1,065          1,089
00.06   Other military personnel costs..         200            207           179            182
                                        ------------ --------------  ------------  -------------
00.91     Total direct program..........      20,335         20,648        20,529         20,963
01.01 Reimbursable program..............         162            207           207            214
                                        ------------ --------------  ------------  -------------
10.00   Total obligations...............      20,497         20,856        20,736         21,177
--------------------------------------------------------------------------------------------------
    Budgetary resources available for 
        obligation:

21.40 Unobligated balance available, 
        start of year: Uninvested 
        balance.........................           3
22.00 New budget authority (gross)......      20,497         20,856        20,736         21,177
22.75 Balance of contract authority 
        withdrawn.......................          -3
                                        ------------ --------------  ------------  -------------
23.90   Total budgetary resources 
          available for obligation......      20,497         20,856        20,736         21,177
23.95 New obligations...................     -20,497        -20,856       -20,736        -21,177
--------------------------------------------------------------------------------------------------
    New budget authority (gross), 
        detail:

      Current:

40.00   Appropriation...................      20,208         20,634        20,529
40.75   Reduction pursuant to P.L. 104-
          208...........................                        -19

[[Page 298]]

41.00   Transferred to other DoD 
          accounts......................          -1
42.00   Transferred from other DoD 
          accounts......................         128             34
                                        ------------ --------------  ------------  -------------
43.00     Appropriation (total).........      20,335         20,648        20,529
      Permanent:

65.00   Advance appropriation (definite)                                                  20,963
        Spending authority from 
            offsetting collections:
68.00     Offsetting collections (cash).         137            207           207            214
68.10     Change in orders on hand from 
            Federal sources.............          23
68.15     Adjustment to orders on hand 
            from Federal sources........           2
                                        ------------ --------------  ------------  -------------
68.90       Spending authority from 
              offsetting collections 
              (total)...................         162            207           207            214
                                        ------------ --------------  ------------  -------------
70.00   Total new budget authority 
          (gross).......................      20,497         20,856        20,736         21,177
--------------------------------------------------------------------------------------------------
    Change in unpaid obligations:

      Unpaid obligations, start of year:

        Obligated balance:
72.40     Appropriation.................         529          1,571         1,627          1,561
72.49     Contract authority............           3
72.95   Orders on hand from Federal 
          sources.......................         224            247           247            247
                                        ------------ --------------  ------------  -------------
72.99     Total unpaid obligations, 
            start of year...............         755          1,818         1,875          1,808
73.10 New obligations...................      20,497         20,856        20,736         21,177
73.20 Total outlays (gross).............     -19,424        -20,799       -20,803        -21,113
73.40 Adjustments in expired accounts...         -10
      Unpaid obligations, end of year:

74.40   Obligated balance: Appropriation       1,571          1,627         1,561          1,625
74.95   Orders on hand from Federal 
          sources.......................         247            247           247            247
                                        ------------ --------------  ------------  -------------
74.99     Total unpaid obligations, end 
            of year.....................       1,818          1,875         1,808          1,872
--------------------------------------------------------------------------------------------------
    Outlays (gross), detail:

86.90 Outlays from new current authority      19,115         19,575        19,462
86.93 Outlays from current balances.....         172          1,017         1,134          1,026
86.97 Outlays from new permanent 
        authority.......................         137            207           207         20,087
                                        ------------ --------------  ------------  -------------
87.00   Total outlays (gross)...........      19,424         20,799        20,803         21,113
--------------------------------------------------------------------------------------------------
    Offsets:

      Against gross budget authority and 
          outlays:

        Offsetting collections (cash) 
            from:
88.00     Federal sources...............        -129           -199          -198           -205
88.40     Non-Federal sources...........          -8             -8            -9             -9
                                        ------------ --------------  ------------  -------------
88.90       Total, offsetting 
              collections (cash)........        -137           -207          -207           -214
88.95 Change in orders on hand from 
        Federal sources.................         -23
88.96 Adjustment to orders on hand from 
        Federal sources.................          -2
--------------------------------------------------------------------------------------------------
    Net budget authority and outlays:

89.00 Budget authority..................      20,335         20,648        20,529         20,963
90.00 Outlays...........................      19,287         20,592        20,596         20,899
-----------------------------------------------------------------------------------------------

            Status of Contract Authority (in millions of dollars)

----------------------------------------------------------------------------
Identification code 21-2010-0-1-051      1996 actual   1997 est.   1998 est.
----------------------------------------------------------------------------
0100  Balance, start of year............           3
0600  Balance of contract authority 
        withdrawn.......................          -3
---------------------------------------------------------------------------

                         Object Classification (in millions of dollars)

-----------------------------------------------------------------------------------------------
Identification code   21-2010-0-1-051    1996 actual      1997 est.     1998 est.      1999 est.
-----------------------------------------------------------------------------------------------
      Direct obligations:

11.7    Personnel compensation: Military 
          personnel.....................      13,578         13,660        13,915         14,246
        Military personnel benefits:
12.2      Accrued retirement benefits...       3,466          3,407         3,267          3,308
12.2      Other personnel benefits......       2,098          2,106         1,904          1,931
13.0    Benefits for former personnel...         136            131           119            121
21.0    Travel and transportation of 
          persons.......................         307            307           302            307
22.0    Transportation of things........         653            646           657            670
25.2    Other services..................          22             23            22             23
25.8    Subsistence and support of 
          persons.......................                        339           313            324
26.0    Supplies and materials..........          73             28            28             30
42.0    Insurance claims and indemnities           2              2             2              2
                                        ------------ --------------  ------------  -------------
99.0      Subtotal, direct obligations..      20,335         20,648        20,529         20,963
99.0  Reimbursable obligations..........         162            207           207            214
99.5  Below reporting threshold.........                                                       2
                                        ------------ --------------  ------------  -------------
99.9    Total obligations...............      20,497         20,856        20,736         21,177
-----------------------------------------------------------------------------------------------

                                <F-dash>

                        Military Personnel, Navy

    For pay, allowances, individual clothing, subsistence, interest on 
deposits, gratuities, permanent change of station travel (including all 
expenses thereof for organizational movements), and expenses of 
temporary duty travel between permanent duty stations, for members of 
the Navy on active duty (except members of the Reserve provided for 
elsewhere), midshipmen, and aviation cadets; and for payments pursuant 
to section 156 of Public Law 97-377, as amended (42 U.S.C. 402 note), to 
section 229(b) of the Social Security Act (42 U.S.C. 429(b)), and to the 
Department of Defense Military Retirement Fund; [$16,986,976,000] 
$16,510,118,000.
    Further, for the foregoing purposes, $16,388,051,000, to be 
available only during fiscal year 1999. (10 U.S.C. 600, 683-4, 701-4, 
744, 956, 1035, 1037, 1047-49, 1212, 1475-80, 2421, 2634, 5413-14, 5441-
42, 5444, 5446, 5450-51, 5454, 5501, 5503, 6081-86, 6221, 6911-12, 6960, 
6969; 26 U.S.C. 3121; chapters 3, 5, 7, 9, and 10 of title 37, United 
States Code; Department of Defense Appropriations Act, 1997.)

                         Program and Financing (in millions of dollars)

-----------------------------------------------------------------------------------------------
Identification code   17-1453-0-1-051    1996 actual      1997 est.     1998 est.      1999 est.
-----------------------------------------------------------------------------------------------

    Obligations by program activity:

      Direct program:

00.01   Pay and allowances of officers..       4,297          4,286         4,205          4,265
00.02   Pay and allowances of enlisted 
          personnel.....................      11,510         11,207        10,851         10,682
00.03   Pay and allowances of cadets....          36             36            36             36
00.04   Subsistence of enlisted 
          personnel.....................         529            737           731            727
00.05   Permanent change of station 
          travel........................         625            589           582            576
00.06   Other military personnel costs..         102            118           106            102
                                        ------------ --------------  ------------  -------------
00.91     Total direct program..........      17,099         16,971        16,510         16,388
01.01 Reimbursable program..............         250            274           265            256
                                        ------------ --------------  ------------  -------------
10.00   Total obligations...............      17,349         17,245        16,776         16,644
--------------------------------------------------------------------------------------------------
    Budgetary resources available for 
        obligation:

22.00 New budget authority (gross)......      17,350         17,245        16,776         16,644
22.30 Unobligated balance expiring......
                                        ------------ --------------  ------------  -------------
23.90   Total budgetary resources 
          available for obligation......      17,349         17,245        16,776         16,644
23.95 New obligations...................     -17,349        -17,245       -16,776        -16,644
--------------------------------------------------------------------------------------------------
    New budget authority (gross), 
        detail:

      Current:

40.00   Appropriation...................      17,020         16,987        16,510
40.75   Reduction pursuant to P.L. 104-
          208...........................                        -16
42.00   Transferred from other DoD 
          accounts......................          79
                                        ------------ --------------  ------------  -------------
43.00     Appropriation (total).........      17,099         16,971        16,510
      Permanent:

65.00   Advance appropriation (definite)                                                  16,388
        Spending authority from 
            offsetting collections:
68.00     Offsetting collections (cash).         167            274           265            256
68.10     Change in orders on hand from 
            Federal sources.............          84
68.15     Adjustment to orders on hand 
            from Federal sources........          -1
                                        ------------ --------------  ------------  -------------
68.90       Spending authority from 
              offsetting collections 
              (total)...................         250            274           265            256
                                        ------------ --------------  ------------  -------------
70.00   Total new budget authority 
          (gross).......................      17,350         17,245        16,776         16,644
--------------------------------------------------------------------------------------------------
    Change in unpaid obligations:

      Unpaid obligations, start of year:

72.40   Obligated balance: Appropriation         492            943           969            983

[[Page 299]]

72.95   Orders on hand from Federal 
          sources.......................          61            145           145            145
                                        ------------ --------------  ------------  -------------
72.99     Total unpaid obligations, 
            start of year...............         553          1,088         1,114          1,128
73.10 New obligations...................      17,349         17,245        16,776         16,644
73.20 Total outlays (gross).............     -16,814        -17,219       -16,761        -16,617
      Unpaid obligations, end of year:

74.40   Obligated balance: Appropriation         943            969           983          1,010
74.95   Orders on hand from Federal 
          sources.......................         145            145           145            145
                                        ------------ --------------  ------------  -------------
74.99     Total unpaid obligations, end 
            of year.....................       1,088          1,114         1,128          1,154
--------------------------------------------------------------------------------------------------
    Outlays (gross), detail:

86.90 Outlays from new current authority      16,393         16,292        15,850
86.93 Outlays from current balances.....         254            653           646            628
86.97 Outlays from new permanent 
        authority.......................         167            274           265         15,989
                                        ------------ --------------  ------------  -------------
87.00   Total outlays (gross)...........      16,814         17,219        16,761         16,617
--------------------------------------------------------------------------------------------------
    Offsets:

      Against gross budget authority and 
          outlays:

        Offsetting collections (cash) 
            from:
88.00     Federal sources...............          -3           -274          -265           -256
88.40     Non-Federal sources...........        -164
                                        ------------ --------------  ------------  -------------
88.90       Total, offsetting 
              collections (cash)........        -167           -274          -265           -256
88.95 Change in orders on hand from 
        Federal sources.................         -84
88.96 Adjustment to orders on hand from 
        Federal sources.................           1
--------------------------------------------------------------------------------------------------
    Net budget authority and outlays:

89.00 Budget authority..................      17,099         16,971        16,510         16,388
90.00 Outlays...........................      16,647         16,945        16,496         16,362
-----------------------------------------------------------------------------------------------

                         Object Classification (in millions of dollars)

-----------------------------------------------------------------------------------------------
Identification code   17-1453-0-1-051    1996 actual      1997 est.     1998 est.      1999 est.
-----------------------------------------------------------------------------------------------
      Direct obligations:

        Personnel compensation:
11.7      Military personnel............      12,074         11,893        11,728         11,689
                                        ------------ --------------  ------------  -------------
11.9        Total personnel compensation      12,074         11,893        11,728         11,689
        Military personnel benefits:
12.2      Military personnel benefits...       2,803          2,734         2,525          2,486
12.2      Other personnel benefits......       1,589          1,516         1,446          1,415
13.0    Benefits for former personnel...          85             89            84             80
21.0    Travel and transportation of 
          persons.......................         157            155           152            149
22.0    Transportation of things........         391            363           360            357
25.8    Subsistence and support of 
          persons.......................                        221           217            211
                                        ------------ --------------  ------------  -------------
99.0      Subtotal, direct obligations..      17,099         16,971        16,510         16,388
99.0  Reimbursable obligations..........         250            274           265            256
99.5  Below reporting threshold.........                                                       2
                                        ------------ --------------  ------------  -------------
99.9    Total obligations...............      17,349         17,245        16,776         16,644
-----------------------------------------------------------------------------------------------

                                <F-dash>

                    Military Personnel, Marine Corps

    For pay, allowances, individual clothing, subsistence, interest on 
deposits, gratuities, permanent change of station travel (including all 
expenses thereof for organizational movements), and expenses of 
temporary duty travel between permanent duty stations, for members of 
the Marine Corps on active duty (except members of the Reserve provided 
for elsewhere); and for payments pursuant to section 156 of Public Law 
97-377, as amended (42 U.S.C. 402 note), to section 229(b) of the Social 
Security Act (42 U.S.C. 429(b)), and to the Department of Defense 
Military Retirement Fund; [$6,111,728,000] $6,151,599,000.
    Further, for the foregoing purposes, $6,330,030,000, to be available 
only during fiscal year 1999. (10 U.S.C. 956, 1035, 1047-49, 1212, 1475-
80, 2634, 5413-14, 5441, 5443, 5446, 5451, 5454, 5456, 5458, 5502-03, 
6032, 6081-86, 6148, 6222; 12 U.S.C. 1715m; chapters 3, 5, 7, and 9 of 
title 37, United States Code; 41 U.S.C. 1594d; Department of Defense 
Appropriations Act, 1997.)

                         Program and Financing (in millions of dollars)

-----------------------------------------------------------------------------------------------
Identification code   17-1105-0-1-051    1996 actual      1997 est.     1998 est.      1999 est.
-----------------------------------------------------------------------------------------------

    Obligations by program activity:

      Direct program:

00.01   Pay and allowances of officers..       1,218          1,270         1,287          1,329
00.02   Pay and allowances of enlisted 
          personnel.....................       4,051          4,194         4,258          4,379
00.04   Subsistence of enlisted 
          personnel.....................         204            328           340            351
00.05   Permanent change of station 
          travel........................         227            228           225            230
00.06   Other military personnel costs..          43             42            41             41
                                        ------------ --------------  ------------  -------------
00.91     Total direct program..........       5,743          6,062         6,152          6,330
01.01 Reimbursable program..............          19             29            30             31
                                        ------------ --------------  ------------  -------------
10.00   Total obligations...............       5,762          6,090         6,182          6,361
--------------------------------------------------------------------------------------------------
    Budgetary resources available for 
        obligation:

22.00 New budget authority (gross)......       5,798          6,090         6,182          6,361
22.30 Unobligated balance expiring......         -36
                                        ------------ --------------  ------------  -------------
23.90   Total budgetary resources 
          available for obligation......       5,762          6,090         6,182          6,361
23.95 New obligations...................      -5,762         -6,090        -6,182         -6,361
--------------------------------------------------------------------------------------------------
    New budget authority (gross), 
        detail:

      Current:

40.00   Appropriation...................       5,888          6,112         6,152
40.75   Reduction pursuant to P.L. 104-
          208...........................                         -6
41.00   Transferred to other DoD 
          accounts......................        -109            -44
                                        ------------ --------------  ------------  -------------
43.00     Appropriation (total).........       5,779          6,062         6,152
      Permanent:

65.00   Advance appropriation (definite)                                                   6,330
        Spending authority from 
            offsetting collections:
68.00     Offsetting collections (cash).          13             29            30             31
68.10     Change in orders on hand from 
            Federal sources.............           6
                                        ------------ --------------  ------------  -------------
68.90       Spending authority from 
              offsetting collections 
              (total)...................          19             29            30             31
                                        ------------ --------------  ------------  -------------
70.00   Total new budget authority 
          (gross).......................       5,798          6,090         6,182          6,361
--------------------------------------------------------------------------------------------------
    Change in unpaid obligations:

      Unpaid obligations, start of year:

72.40   Obligated balance: Appropriation         190            329           293            315
72.95   Orders on hand from Federal 
          sources.......................          20             26            26             26
                                        ------------ --------------  ------------  -------------
72.99     Total unpaid obligations, 
            start of year...............         210            355           319            341
73.10 New obligations...................       5,762          6,090         6,182          6,361
73.20 Total outlays (gross).............      -5,581         -6,126        -6,160         -6,342
73.40 Adjustments in expired accounts...         -37
      Unpaid obligations, end of year:

74.40   Obligated balance: Appropriation         329            293           315            334
74.95   Orders on hand from Federal 
          sources.......................          26             26            26             26
                                        ------------ --------------  ------------  -------------
74.99     Total unpaid obligations, end 
            of year.....................         355            319           341            360
--------------------------------------------------------------------------------------------------
    Outlays (gross), detail:

86.90 Outlays from new current authority       5,484          5,862         5,949
86.93 Outlays from current balances.....          84            235           181            190
86.97 Outlays from new permanent 
        authority.......................          13             29            30          6,152
                                        ------------ --------------  ------------  -------------
87.00   Total outlays (gross)...........       5,581          6,126         6,160          6,342
--------------------------------------------------------------------------------------------------
    Offsets:

      Against gross budget authority and 
          outlays:

88.00   Offsetting collections (cash) 
          from: Federal sources.........         -13            -29           -30            -31
88.95 Change in orders on hand from 
        Federal sources.................          -6
--------------------------------------------------------------------------------------------------
    Net budget authority and outlays:

89.00 Budget authority..................       5,779          6,062         6,152          6,330
90.00 Outlays...........................       5,568          6,097         6,130          6,311
-----------------------------------------------------------------------------------------------

[[Page 300]]



                         Object Classification (in millions of dollars)

-----------------------------------------------------------------------------------------------
Identification code   17-1105-0-1-051    1996 actual      1997 est.     1998 est.      1999 est.
-----------------------------------------------------------------------------------------------
      Direct obligations:

11.7    Personnel compensation: Military 
          personnel.....................       4,006          4,320         4,446          4,591
        Military personnel benefits:
12.2      Accrued retirement benefits...       1,025          1,049         1,010          1,032
12.2      Other personnel benefits......         399            413           418            429
13.0    Benefits for former personnel...          35             35            34             34
21.0    Travel and transportation of 
          persons.......................          75             79            79             79
22.0    Transportation of things........         127            123           119            123
25.2    Other services..................          38
25.3    Purchases of goods and services 
          from Government accounts......           5              5             7              7
26.0    Supplies and materials..........          33             36            36             34
42.0    Insurance claims and indemnities           1              1             1              1
                                        ------------ --------------  ------------  -------------
99.0      Subtotal, direct obligations..       5,743          6,062         6,152          6,330
99.0  Reimbursable obligations..........          19             29            30             31
99.5  Below reporting threshold.........                                        2
                                        ------------ --------------  ------------  -------------
99.9    Total obligations...............       5,762          6,090         6,182          6,361
-----------------------------------------------------------------------------------------------

                                <F-dash>

                      Military Personnel, Air Force

    For pay, allowances, individual clothing, subsistence, interest on 
deposits, gratuities, permanent change of station travel (including all 
expenses thereof for organizational movements), and expenses of 
temporary duty travel between permanent duty stations, for members of 
the Air Force on active duty (except members of reserve components 
provided for elsewhere), cadets, and aviation cadets; and for payments 
pursuant to section 156 of Public Law 97-377, as amended (42 U.S.C. 402 
note), to section 229(b) of the Social Security Act (42 U.S.C. 429(b)), 
and to the Department of Defense Military Retirement Fund; 
[$17,069,490,000] $17,166,556,000.
    Further, for the foregoing purposes, $17,184,320,000, to be 
available only during fiscal year 1999. (10 U.S.C. 503, 504-09, 518-19, 
600, 683-84, 687, 701-04, 744, 956, 1035-37, 1047-49, 1211-12, 1331, 
1475-80, 2632, 2634, 8033, 8036, 8066, 8201-15, 8281, 8284-89, 8293-
8303, 8305-10, 8312-13, 8441-49, 8451-52, 8491, 8494-8504, 8531, 8687, 
8722, 9306, 9331-37, 9341-55, 9441, 9561-63, 9741-43; 12 U.S.C. 1715m; 
33 U.S.C. 855, 858; chapters 3, 5, 7, 9, 10, and 11 of title 37, United 
States Code; 49 U.S.C. 1657; Department of Defense Appropriations Act, 
1997.)

                         Program and Financing (in millions of dollars)

-----------------------------------------------------------------------------------------------
Identification code   57-3500-0-1-051    1996 actual      1997 est.     1998 est.      1999 est.
-----------------------------------------------------------------------------------------------

    Obligations by program activity:

      Direct program:

00.01   Pay and allowances of officers..       5,866          5,793         5,840          5,864
00.02   Pay and allowances of enlisted 
          personnel.....................       9,722          9,602         9,611          9,594
00.03   Pay and allowances of cadets....          36             36            36             36
00.04   Subsistence of enlisted 
          personnel.....................         688            739           744            745
00.05   Permanent change of station 
          travel........................         820            818           872            881
00.06   Other military personnel costs..          68             66            63             64
                                        ------------ --------------  ------------  -------------
00.91     Total direct program..........      17,200         17,053        17,167         17,184
01.01 Reimbursable program..............         192            243           237            236
                                        ------------ --------------  ------------  -------------
10.00   Total obligations...............      17,392         17,297        17,403         17,420
--------------------------------------------------------------------------------------------------
    Budgetary resources available for 
        obligation:

22.00 New budget authority (gross)......      17,398         17,297        17,403         17,420
22.30 Unobligated balance expiring......          -6
                                        ------------ --------------  ------------  -------------
23.90   Total budgetary resources 
          available for obligation......      17,392         17,297        17,403         17,420
23.95 New obligations...................     -17,392        -17,297       -17,403        -17,420
--------------------------------------------------------------------------------------------------
    New budget authority (gross), 
        detail:

      Current:

40.00   Appropriation...................      17,239         17,069        17,167
40.75   Reduction pursuant to P.L. 104-
          208...........................                        -16
41.00   Transferred to other DoD 
          accounts......................         -45
42.00   Transferred from other DoD 
          accounts......................          12
                                        ------------ --------------  ------------  -------------
43.00     Appropriation (total).........      17,206         17,053        17,167
      Permanent:

65.00   Advance appropriation (definite)                                                  17,184
        Spending authority from 
            offsetting collections:
68.00     Offsetting collections (cash).         231            243           237            236
68.10     Change in orders on hand from 
            Federal sources.............         -21
68.15     Adjustment to orders on hand 
            from Federal sources........         -19
                                        ------------ --------------  ------------  -------------
68.90       Spending authority from 
              offsetting collections 
              (total)...................         192            243           237            236
                                        ------------ --------------  ------------  -------------
70.00   Total new budget authority 
          (gross).......................      17,398         17,297        17,403         17,420
--------------------------------------------------------------------------------------------------
    Change in unpaid obligations:

      Unpaid obligations, start of year:

72.40   Obligated balance: Appropriation         870          1,646         1,535          1,556
72.95   Orders on hand from Federal 
          sources.......................         213            192           192            192
                                        ------------ --------------  ------------  -------------
72.99     Total unpaid obligations, 
            start of year...............       1,083          1,839         1,727          1,748
73.10 New obligations...................      17,392         17,297        17,403         17,420
73.20 Total outlays (gross).............     -16,572        -17,409       -17,382        -17,384
73.40 Adjustments in expired accounts...         -64
      Unpaid obligations, end of year:

74.40   Obligated balance: Appropriation       1,646          1,535         1,556          1,592
74.95   Orders on hand from Federal 
          sources.......................         192            192           192            192
                                        ------------ --------------  ------------  -------------
74.99     Total unpaid obligations, end 
            of year.....................       1,839          1,727         1,748          1,784
--------------------------------------------------------------------------------------------------
    Outlays (gross), detail:

86.90 Outlays from new current authority      16,150         16,167        16,274
86.93 Outlays from current balances.....         191            999           871            857
86.97 Outlays from new permanent 
        authority.......................         192            243           237         16,527
86.98 Outlays from permanent balances...          39
                                        ------------ --------------  ------------  -------------
87.00   Total outlays (gross)...........      16,572         17,409        17,382         17,384
--------------------------------------------------------------------------------------------------
    Offsets:

      Against gross budget authority and 
          outlays:

        Offsetting collections (cash) 
            from:
88.00     Federal sources...............        -224           -238          -232           -231
88.40     Non-Federal sources...........          -7             -5            -5             -5
                                        ------------ --------------  ------------  -------------
88.90       Total, offsetting 
              collections (cash)........        -231           -243          -237           -236
88.95 Change in orders on hand from 
        Federal sources.................          21
88.96 Adjustment to orders on hand from 
        Federal sources.................          19
--------------------------------------------------------------------------------------------------
    Net budget authority and outlays:

89.00 Budget authority..................      17,206         17,053        17,167         17,184
90.00 Outlays...........................      16,341         17,165        17,145         17,149
-----------------------------------------------------------------------------------------------

                         Object Classification (in millions of dollars)

-----------------------------------------------------------------------------------------------
Identification code   57-3500-0-1-051    1996 actual      1997 est.     1998 est.      1999 est.
-----------------------------------------------------------------------------------------------
      Direct obligations:

11.7    Personnel compensation: Military 
          personnel.....................      11,481         11,549        11,648         11,731
        Military personnel benefits:
12.2      Accrued retirement benefits...       2,918          2,924         2,740          2,738
12.2      Other personnel benefits......       2,021          1,820         1,974          1,902
13.0    Benefits for former personnel...          56             53            55             56
21.0    Travel and transportation of 
          persons.......................         217            209           224            222
22.0    Transportation of things........         481            470           497            507
25.3    Purchases of goods and services 
          from Government accounts......          25             27            27             27
42.0    Insurance claims and indemnities           2              1             1              1
43.0    Interest and dividends..........           1              1             1              1
                                        ------------ --------------  ------------  -------------
99.0      Subtotal, direct obligations..      17,200         17,053        17,167         17,184
99.0  Reimbursable obligations..........         192            243           237            236
99.5  Below reporting threshold.........          -2
                                        ------------ --------------  ------------  -------------
99.9    Total obligations...............      17,392         17,297        17,403         17,420
-----------------------------------------------------------------------------------------------

                                <F-dash>

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