Federal, State, and Local Governments
Government Finance and Employment Classification Manual
Part 2. Government Finance Statistics
| Main | Classification Manual |
As noted in Chapter 2 and described also in Chapter 8, the social insurance trust sector is comprised of two major groups:
• Public employee retirement systems, embracing both contributory and noncontributory systems administered by a government for public employees (including employees of other governments). These are detailed in Chapter 8.
• Federal and state social insurance trust systems other than public employee retirement systems, including the unemployment compensation system, state government workers' compensation programs, and other state social insurance trusts, and Federal social insurance trusts. The latter consist of the Federal Government's Social Security and Medicare program (OASDHI), veterans' life insurance, and railroad retirement. These types of other social insurance systems are not applied to local government finances, with the exception of the District of Columbia's unemployment compensation plan.
To be categorized as a social insurance trust for purposes of Census Bureau statistics, a system must meet all five characteristics of a social insurance trust described below in Section 9.1. As of 2005, many state governments were beginning to expand their activity in the area of social programs. Included are disaster assistance programs, as well as health care coverage programs. The latter include coverage for retirees and, in some cases, coverage for selected groups of citizens such as children under a certain age. These will be classified, by sector, in accordance with standard Census Bureau methodology on a case-by-case basis.
This chapter has no applicability to the Census Bureau's statistical program on public employment. This follows from the Census Bureau's definition of government sectors. For purposes of regular finance statistics, all administrative costs associated with other social insurance trust systems are classified in the general government sector, by definition. Consequently, all employees engaged in the activity of administering these systems also are classified in the general government sector.
9.1 Social Insurance Trust System Definition
To be categorized as a social insurance trust system for Census Bureau purposes, a government's system must meet all of the following criteria:1
1. The system must be financed by a separate accounting fund of the administering government. This criterion excludes many "pay-as-you-go" plans.
2. This fund must have some type of assured revenue stream or dedicated revenue source other than appropriations from the administering government (generally, contributions or premiums imposed on its members and/or member employers).
3. The system must be a social insurance plan - that is, it must have a social purpose such as benefiting the disabled or disadvantaged, aiding individuals who cannot afford private insurance, providing future income, and the like.
4. The members of the system must be outside the government itself - that is, the plan cannot be for insuring the government itself against risks. For this criterion, public employees are considered to be outside the government.
5. The plan must be administered directly by the government itself - that is, it cannot just collect contributions and then turn them over to a private insurer who assumes the actual risks and administers the plan.
The Federal Government administers a number of other insurance-type programs, such as crop and farm mortgage insurance, investment guarantees, and home mortgage insurance (e.g., FHA and VA). For Census Bureau purposes, these are reported in the general government sector rather than as insurance trusts, because they do not meet all of the criteria contained in the Census Bureau's definition, outlined above.
Note that the insurance trust category applies only to the government actually administering the system. A government's participation in an insurance trust administered either privately or by another government is not treated as an insurance trust activity of the participating government. Generally, it would be treated as a current operations expenditure for the paying activity in the general government, utilities, or liquor stores sector.
1Note that of the four types of insurance trust systems recognized by the Census Bureau, only the public employee retirement systems category applies to local government finances (plus the District of Columbia's unemployment compensation system). All other types apply to Federal and/or state governments.
9.1.1 Examples of Social Insurance Trust Systems Included by this Definition
The examples below illustrate the types of insurance programs (other than for public employee retirement) that meet the above criteria. Note that as of this edition of Classification Manual, "other" social insurance trust systems are confined to those administered by the Federal Government and the state governments only, with one exception for the Washington, DC unemployment insurance trust system.
• For the Federal Government, the Railroad retirement system is included. It provides retirement-survivor benefits to railroad workers and their families.
• Many, but not all, state governments operate a workers' compensation insurance trust system. One example of such a system that meets the Census Bureau criteria noted above is the New York State Workers Compensation Board.
• A state government insurance plan to protect homeowners against certain catastrophic risks, either because private insurance is unavailable or unaffordable, would meet the social criteria test and would be classified as an insurance trust as long as it met the other four criteria. The Citizens Property Insurance Corporation in Florida is an example.
9.1.2 Examples of Social Insurance Trust Systems Excluded by this Definition
The following examples illustrate the types of insurance programs (other than for public employee retirement) that do not meet the above criteria:
• Since the Federal Government's own workers' compensation program is a "pay-as-you-go" plan funded by agency operating funds and having no separate accounting fund, it fails the first two criteria for being an insurance trust system.
• Some state governments operate pooled, self-insurance programs providing general liability insurance to local governments within the state, funded by premiums levied against its members. Generally, their purpose is to provide a low-cost alternative to more expensive (or unavailable) private insurance. Since these types of insurance plans, however, are designed to protect the governments themselves, they do not meet the social benefit test of criteria three.
• Since most self-insurance or risk management funds are designed to insure the government itself, they fail to meet the fourth criteria regarding outside membership.
• Selected Federal Government programs that are generally labeled as insurance, including crop and farm mortgage insurance, investment guarantees, and home mortgage insurance (e.g., FHA and VA), are excluded by definition. Their exclusion is based primarily on the fact that they are funded through general appropriations on an annual basis, and not maintained as actuarially-based systems.
9.2 Types of Social Insurance Trust Systems
The Census Bureau recognizes four types of insurance trust systems, including an "other" category that encompasses three major Federal-only social insurance trusts.
9.2.1 Public Employee Retirement Systems
This category covers retirement systems sponsored by a recognized unit of government whose membership is comprised primarily of public employees compensated with public funds and which holds identifiable assets to finance retirement and associated benefits. They were described in Chapter 8.
9.2.2 Unemployment Compensation Systems
This category refers to the Federal-state cooperative program for unemployment insurance and also covers the District of Columbia, the only local government member. These data are obtained from the Employment and Training Administration of the U.S. Department of Labor, but can also be found in the CAFRs of most state governments. CAFR data are used especially where state fiscal years differ from the standard June 30 ending date.
The unemployment compensation system is unique.2 The financial transactions of the Federal-state and railroad unemployment insurance systems are made through the Unemployment Trust Fund. All state and Federal unemployment "tax" receipts are deposited in the trust fund and invested in Federal Government securities. If necessary, the Federal general fund advances monies to the trust fund.
State governments and the District of Columbia pay for unemployment benefits from this trust fund. They also might receive repayable advances from the fund when their balances in the fund are insufficient to pay benefits.
State payroll "taxes" (i.e., Contributions, code Y01) finance all regular state government benefits. For Census Bureau purposes, these are classified as insurance trust contributions, rather than as taxes. The overriding factor in this classification decision is that these payroll "taxes" are dedicated for unemployment insurance use only, and the latter is classified as an insurance trust activity.
During high periods of unemployment, extended benefits are paid. These are financed equally between state and Federal payroll taxes. Benefits to former Federal civilian employees, Postal Service workers, and ex-service members are also paid by the state governments from the trust fund. However the respective state trust fund accounts are reimbursed by the various Federal agencies, on an as-needed basis.
2Based largely on information in the appendix to the Budget of the United States. References to state governments in this description also refer to the District of Columbia.
9.2.3 Workers' Compensation Systems
This category includes state government-administered plans for compulsory accident and injury insurance of workers (public or private) through the accumulation of assets in order to provide disability or death benefits related to on-the-job injury or accident. Not all states have such a system, while some states actually operate more than one such system, or operate a mix of state-administered and privately-administered systems. As of 2005, the Census Bureau classified systems in forty-one states as workers' compensation insurance trust systems.
The Federal Government workers' compensation program is not classified as an insurance trust system because it is financed directly from agency operating funds rather than through an insurance fund financed by contributions (i.e., it is a pay-as-you-go plan).
9.2.4 Other Federal and State Social Insurance Trust Systems
This category includes any other Federal or state government-administered insurance trust system that meets the Bureau's definition of a social insurance trust.
Two examples are noted here:
• The state of Maryland administers the Maryland Automobile Insurance Fund. Legal owner/operators who cannot obtain insurance via private carriers are required to purchase insurance through this state-sponsored carrier.
• A state government insurance plan to protect homeowners against certain catastrophic risks, either because private insurance is unavailable or unaffordable, would meet the social criteria test and would be classified as an insurance trust as long as it met the other four criteria. The Citizens Property Insurance Corporation in Florida is an example.
The number of such systems and the states that sponsor them change regularly.
For the Federal Government, this category includes social insurance programs unique to the U.S. Government, including the biggest insurance trust:3
• The Social Security and Medicare programs, also referred to as OASDHI (Old-Age Survivors', Disability, and Health Insurance program). It actually consists of multiple insurance funds, including the Old-Age and Survivors Insurance Trust Fund (OASI), Disability Insurance Trust Fund (DI), Hospital Insurance Trust Fund (HI), and Supplementary Medical Insurance Trust Fund (SMI), The last two funds constitute the Federal Medicare program.
• Veterans' life insurance system which provides low-cost life insurance to eligible veterans of the armed services.
• Railroad retirement system which provides retirement-survivor benefits to railroad workers and their families. The unemployment portion of this system is included with the unemployment compensation data.
Many Federal-only insurance programs are excluded from insurance trust data, by definition, and reported in the general government sector. These include Federal insurance programs such as crop and farm mortgage insurance, investment guarantees, home mortgage insurance (e.g., FHA, TVA), and the like. The rationale for their classification in the general sector, as opposed to the insurance trust sector, lies in the fact that these do not meet the second criterion in the definition of social insurance trust systems. Specifically, these programs are funded by general, annual appropriations of the Federal Government and not by a dedicated revenue source (contributions or premiums imposed on its members and/or member employers).
3The Federal Government also administers its own public employee retirement systems and is a member of the Federal-state cooperative unemployment compensation program.
9.3 Regular Finance Statistics and Exhibit Finance Statistics - Explanations
The Census Bureau classification system contains two types of statistics on other social insurance trust systems. First, they are reported with the regular statistics for finance data about governments. Second, since insurance trust systems involve major financial activities that fall outside the scope of the regular classification system, the Census Bureau uses additional exhibit statistics.
Regular Census Bureau finance statistics provide only selected (partial) information on insurance trusts. The critical perspective in the regular statistics program is to present the financial activity for the government as a whole. Regular statistics covering government financial activity for other social insurance trust systems include the revenue statistics described in Chapter 4, the expenditure statistics described in Chapter 5, and the cash and security holding statistics described in Chapter 7. There are no debt statistics associated with other social insurance trust systems directly, since they are not authorized to issue debt or otherwise borrow money. Any such borrowing always is the responsibility of the parent government administering the system. See Section 9.6.1 for additional information.
Exhibit statistics are used to enhance the regular statistics in two ways. First, they add additional detail to the regular statistics, showing further breakdowns of financial activity not needed for purpose of the regular finance statistics. Secondly, the exhibit statistics are designed to include financial transactions that occur between the insurance trust system and its parent government. Such transactions are excluded from regular statistics, by definition.
9.3.1 Exhibit Statistics - Additional Detail
In the case of public employee retirement systems, the additional detail added to the regular statistics consisted primarily of statistics on cash and security holdings. This is not so important a factor for other social insurance trust systems.
9.3.2 Exhibit Statistics - Enterprise Perspective
As described in Chapter 2, the basis of reporting for Census Bureau statistics is the government entity. The definitions are such that many financial activities of dependent agencies, or financial transactions between the parent government and its dependent public employee retirement system, are excluded from basic measures. Exhibit statistics enable the Census Bureau to treat selected government activities independently of the parent government and give users an important perspective on financial activities of government-related enterprises. For other social insurance trust systems, the additional detail covered by exhibit statistics primarily covers internal transactions between the parent government and the system. These transactions "balance" out the flows of funds between receipts and expenses when users view the social insurance trust systems as individual entities.
9.3.3 Other Federal and State Social Insurance Trust Systems - Exhibit Codes
As explained in Chapter 8, statistics on public employee retirement systems have more exhibit codes than any other insurance trust category, reflecting the greater complexity of their finances. Some of these codes represent additional detail for a regular finance code (e.g., Cash and Short-Term Investment, code X21, is divided into three exhibit categories). Other codes are used solely for data collection and are never published (although they do appear in the special retirement data file).
The only exhibit code for unemployment compensation systems pertains to the Federal Government and reflects the fact that all its investments are in Federal securities whose interest payments represent interfund transfers. Code Y99 represents interest on U.S. securities held by the Federal Government.
Exhibit codes for workers' compensation system are limited to one each for revenue and expenditure. Contributions to Own System, code Y10, represents a state government's own contributions to its own workers' compensation system. Administrative Expenses, code Y15, represents administration, investment fees, losses on sale of investments, and other costs not representing benefits or withdrawals.
Similarly, exhibit codes for other state government social insurance trust systems are limited to one each for revenue and expenditure. Contributions to Own System, code Y50, again represents a state's contributions to its own system and Administrative Expenses, code Y54, represents administration, investment fees, losses on sale of investments, and other costs not representing benefits or withdrawals.
In addition, each of the three Federal-only social insurance trust systems has an exhibit code reflecting the fact that all its investments are in Federal securities whose interest payments represent interfund transfers. These are Interest on Investments in U.S. Securities, codes Y22, Y32, and Y42.
Table 9.1 contains the complete listing of all codes related to social insurance trust finances (exclusive of public employee retirement systems described in Chapter 8) including the exhibit codes.
9.4 Measurement Issues for Social Insurance Trust System Statistics
The following are explanations of how financial transactions of social insurance trust systems (other than for public employee retirement) are measured for statistical purposes.
9.4.1 Measurement Issues: Timing
As with other Census Bureau statistics on government finances, the fiscal year is the basis of measurement for social insurance trust statistics. The same rules described in Section 3.2 for governments apply to social insurance trust systems. Most, but not all, social insurance trust systems have the same fiscal year as their parent government. Where their fiscal year differs from that of the parent government, the Census Bureau uses the 12-month fiscal year of the social insurance trust system as the basis for measuring finances. For this reason, Census Bureau statistics on social insurance trust system finances might differ from financial statistics that appear in the parent government records, such as the CAFR. The following considerations are applicable to measurement during the fiscal year:
• Receipts and expenses are measured over the course of the fiscal year and represent total amounts received or expended for that year.
• Cash and security holdings are measured as of the end of the fiscal year.
9.4.2 Measurement Issues: Aggregation and Tabulation
The Census Bureau uses three different methods for aggregating and tabulating statistics involving social insurance trust systems. First, the regular statistics only are incorporated into the aggregate statistics used to measure the finances of the parent government. Hence selected "receipts" statistics are aggregated into the parent government's revenue data, and selected "expenses" statistics are aggregated into the parent government's expenditure statistics. In turn, such statistics are tabulated in totals by type of government, by state, by level of government, and so forth. For example, national totals of social insurance trust revenue, as used in Census Bureau publications on government finance, include only the regular statistics identified in this chapter.
Exhibit statistics for individual social insurance trust systems complement the regular statistics. When combined, regular and exhibit statistics are aggregated for individual insurance trust systems. These two statistical types represent a complete financial picture of the insurance trust system, without regard for the parent government.
9.4.3 Measurement Issues: Valuation
As discussed in Section 3.12, the Census Bureau program is first and foremost statistical in nature and is not intended to reflect the same types of measures developed for purely accounting purposes. Nevertheless, the Census Bureau uses standard accounting records to develop its government finance statistics, so accounting definitions and concepts must be taken into account in the Census Bureau statistical program.
For other social insurance trust systems, all receipts and expenses are measured only in current dollars. Each represents the total of financial transactions that occurred during the fiscal year.
Measurement is handled differently for statistics on cash and security holdings, however. Such holdings are measured at market value as of the close of each system's fiscal year.
9.5 Federal and State Social Insurance Trust System Finances - Basic Concepts
The following sections explain the concepts pertinent to receipts, expenses, and cash and security holdings, as well as special treatment of selected financial activities of other social insurance trust systems. These essentially repeat information explained in Chapter 8 for public employee retirement systems.
The principle differences between the regular statistics and the exhibit statistics can be summarized as follows:
1. Regular finance insurance trust revenue excludes (as an intragovernmental transfer) contributions and other payments from the administering government. Insurance trust revenue statistics, on the other hand, include these sources of funds.
2. Intergovernmental transfers, taxes levied specifically to support insurance trusts, or other sources of general revenue to finance insurance trusts activities are classified as general revenue, not as insurance trust revenue. For Census Bureau purposes, the state unemployment payroll "taxes" are outside the scope of the general sector, and are classified as insurance trust contributions.
3. The cost of administering an insurance trust system is classified as a general expenditure of the administering government. It is recorded also under a special exhibit code for displaying insurance trust statistics.
Both regular and insurance trust exhibit statistics on revenue and expenditure exclude the purchase and sale of investments. Primarily applicable to public employee retirement systems, this financial activity was described previously in Chapter 8.
9.5.1 Social Insurance Trust Systems: Revenue and Receipts
As described in Chapter 4, insurance trust revenue comprises only social insurance contributions and net earnings on investments. Transfers or contributions from other funds of the same government are not classified as insurance trust revenue for purposes of regular statistics on government finances. Insurance trust revenue excludes (as interfund transfers) contributions from the government which administers the system, whether they are paid on behalf of its employees covered by the plan or for supplemental support.4 Also excluded from insurance trust revenue and classified as general revenue are tax receipts credited directly to insurance trust funds and intergovernmental aid, such as grants and shared taxes for support of insurance trust activities.5 Excluded entirely as revenue (insurance trust or general) are proceeds from borrowing for insurance trust purposes.
However, Census Bureau statistics on other social insurance trust system receipts are broader in concept and include both the regular and exhibit statistics explained earlier. "Receipts" include the following:
• Amounts derived from contributions (mandatory or voluntary).
• Net earnings on investments set aside to provide income for insurance trusts.6 Note that losses on investments are classified as expenditures for other social insurance trust systems.
• Transfers or contributions from the parent government that administers the system (either as employer contributions or for general financial support).
• Interest earnings on their own or other governments' securities held for investment are included because of the difficulty in identifying such transactions.
The payment by one government, for general financial support, to another government's insurance trust is treated as a current operation expenditure of the paying government (for the function involved) and as an insurance trust revenue of the receiving government, not as intergovernmental transactions. The purpose of this treatment is to avoid an imbalance between intergovernmental revenue and expenditure. Since intergovernmental revenue and expenditure are "two sides of the same coin," in theory the two should always equal. Also, contributions for an insurance trust system are insurance trust revenue so long as they come from outside the administering government. To avoid the imbalance between intergovernmental revenue and expenditure that would result if the payment of the contribution were treated as intergovernmental expenditure and the receipt were treated as insurance trust revenue, neither of these transactions is treated as intergovernmental.
4Such contributions by the administering government, however, are recorded under special exhibit codes and included in insurance trust revenue when data are published solely for insurance trust systems.
5On the other hand, funds from other governments which represent the latter's employer share of contributions to an insurance trust system to which their employees are members are classified as insurance trust revenue.
6The substantial amount of interest paid by the U.S. Treasury to Federal insurance trust systems (which have all their reserves invested in Federal securities) is excluded from Federal insurance trust revenue since it is an intragovernmental transfer. The principle of eliminating these interfund transactions, however, is not followed in the case of interest paid by a state or local government on any of its own securities held as investments by insurance trust funds it administers - mainly because of the difficulty of identifying such transactions.
9.5.2 Social Insurance Trust Systems: Expenditure and Expenses
As described in Chapter 4, insurance trust expenditure statistics are limited to the perspective of the parent government and its dependent agencies in total. As such, regular expenditure statistics consist of social insurance payments to beneficiaries and withdrawals of insurance contributions. In effect, it only includes amounts paid to beneficiaries or members of the systems. Under this concept, the following are excluded from regular statistics on expenditure:
• Costs of administering the system, including management of investments (classified as a general government expenditure).
• Contributions to a government's own system (an intragovernmental transfer).
• Contributions or other payments to systems administered by another government (classified as current operation expenditure when such amounts represent employer contributions on behalf of the contributing government's employees and as agency transaction when such amounts represent sums withheld from employee salaries and wages).
• "Pay-as-you-go" plans.
Census Bureau statistics on other social insurance trust system expenses are broader in concept and include both the regular and exhibit statistics explained earlier.
1. Benefits and Withdrawals: Cash payments to, or on behalf of, participants in the system or members thereof, depending on the systems coverage. For unemployment compensation systems, expenses reflect monthly payments while unemployed. For workers' compensation systems, these could reflect payments while unable to work. For other state systems, benefits could reflect compensation for losses covered by the system, such as from Maryland's uninsured motorists fund.
2. Other Payments: Expenses include the exhibit codes for administering the system or managing its assets (also reported at Financial Administration, code *23, for regular expenditure statistics on government finances) and other costs or payments not representing benefits or withdrawals (except purchase of investments).
9.5.3 Social Insurance Trust System Cash and Security Holdings
Unlike statistics on receipts and expenses, there are very few differences between regular statistics and exhibit statistics on cash and security holdings of other social insurance trust systems. The concepts and definitions in Chapter 7 apply almost equally to both sets of statistics, as do the definitions for each type of asset included in the Census Bureau program. The only difference involves the insurance trust systems of the Federal Government. The Census Bureau does not include cash and security holdings of the Federal systems.
Insurance trust finances are among the most complicated in the field, partly as a result of the large amount of intragovernmental transactions. This section discusses some of the more complex topics and describes how they are treated for Census Bureau statistics.
9.6.1 Special Topics: Classifying Debt for Unemployment Compensation Funds
In rare cases, a government may issue debt to bolster its unemployment compensation (UC) system. Typically, it raises the contribution rate it levies on employers to cover debt service. This situation is classified in the following manner:
• Revenue, Contributions, Code Y01: The government's unemployment compensation revenue consists of two parts: the "normal" payment to the UC fund and the amount needed to cover debt service (principal and interest). The former is treated as an UC revenue, code Y01; the latter is classified under Miscellaneous General Revenue , code U99.
• Revenue, Federal Advances and Contributions, Code Y04: One possible reason for such debt is to repay the Federal Government for advancing funds when the government's UC account was insufficient to pay benefits. As described in Chapter 7, repayment of Federal advances is deducted from code Y04, leading to the possibility of a negative value for this revenue code. Note that, in a situation requiring a government to issue debt to repay the advances, it is possible that the repayment is so large that not only is code Y04 negative, but so is total unemployment compensation revenue.
• Debt Retired, Issued, and Outstanding: This debt is classified in the "unspecified public purpose" category. Note that the transfer of the proceeds to the insurance trust fund would be an intragovernmental transfer. (Expenditures from it will eventually be reported as an insurance trust outlay.)
• Interest on Debt: Interest on the debt outstanding is reported under Interest on General Debt, code I89.
9.6.2 Special Topics: Loans to Parent Government by Social Insurance Trust Systems
Because of their large amounts of cash and security holdings, insurance trust systems sometimes help out their parent government during times of fiscal distress. How these financial transactions are treated depends on the situation involved.
The insurance trust system may help out its parent government by purchasing its regular debt instruments; these are treated the same as other debt and investment transactions. That is:
• It is not reported as either revenue of the parent government or as expenditure of the insurance trust.
• It is reported under debt statistics of the parent government (debt issued and outstanding) and under cash and security holdings data of the insurance trust.
• Interest payments on the debt are reported as interest expenditure of the parent government (Interest on Debt, code I89) and as earnings on investment of the insurance trust. No effort is made to exclude this transaction as an interfund transfer.
The insurance trust system may loan money directly to the parent government with a special note being involved. In these situations, the loan is not treated as debt of the parent government nor as a cash and security holding of the parent government. It is not reported as an insurance trust expenditure. The purpose of this treatment is to avoid duplication.
9.6.3 Special Topics: "Internal" Investment Transactions
Insurance trust systems often hold for investment purposes securities issued by their own government. Since these types of transactions are generally not identified in a government's records, the interest paid by the government for such securities is reported as interest expenditure (e.g., at Interest on Debt, code I89) and the interest received by the insurance trust system is reported as earnings on investments. The exception is the interest earnings of Federal Government insurance trusts since all their investments are in U.S. securities. These are treated exclusively as exhibit code items in Census Bureau statistics on Federal Government finance.
9.7 Description Pages for Federal and State Social Insurance Trust System Statistics
The following pages contain all of the codes used in Census Bureau for other Federal and state social insurance trust systems. These include the regular and exhibit statistic codes that comprise all financial categories (receipts, expenses, and cash and security holdings). The presentation is similar to that used in Chapters 4 through 7 for regular finance statistics. The codes are presented in order (receipts, expenses, cash and security holdings). For all statistics, each code is defined and, as appropriate, inclusions and exclusions are listed. Examples are cited if necessary.
Each code is clearly identified as being part of the regular finance statistics or as being an exhibit statistic. This is useful information for understanding how these statistics are incorporated into the Census Bureau's regular statistics on government finances. Codes that are sub-categories of a larger aggregate category follow in order.
| UNEMPLOYMENT COMPENSATION SYSTEMS |
ALL CODES |
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|---|---|---|
| RECEIPTS |
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| Contributions from employees and governments (as employers) and interest earnings on deposits in U.S. Treasury for the cooperative Federal-state unemployment compensation insurance system and for Federal railroad unemployment compensation. This category applies only to the Federal Government, state governments, and the District of Columbia. |
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Regular Code Y01 |
Contributions |
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Definition: Payroll levies (or "taxes") collected from private and public employers (and in some cases employees) to provide for unemployment compensation benefits. |
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Excludes: Borrowing of funds (nonrevenues) and contributions (including special payroll levies) to pay debt service on loans issued to cover fund deficits (report at Miscellaneous General Revenue, NEC, code U99). |
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Regular Code Y02 |
Interest Credited by U.S. Government |
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|---|---|---|
Definition: Interest earned on deposits held in the Unemployment Trust Fund of the U.S. Treasury and credited to individual state governments and to the District of Columbia. |
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Regular Code Y04 |
Federal Advances and Contributions |
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Definition: Net amounts credited to the accounts of the individual state governments and District of Columbia during periods where contributions and interest are insufficient to pay benefits. |
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Special Considerations: |
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Exhibit Code Y99
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Interest on U.S. Securities Held by Federal Trusts
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Definition: Interest on Federal securities held in trust by Federal portion of the Unemployment Compensations trust funds |
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Special Considerations: |
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| UNEMPLOYMENT COMPENSATION SYSTEMS |
ALL CODES |
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|---|---|---|
EXPENSES |
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Distribution of cash benefits to eligible persons under the cooperative Federal-state unemployment compensation insurance programs. |
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Regular Code Y05 |
Regular Benefits
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Definition: |
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Excludes: A number of important aspects of the Unemployment Compensation Funds are excluded from these codes, as noted below. |
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Special Considerations: |
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Exhibit
Code Y06 |
Extended and Special Benefits |
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|---|---|---|
Definition: Payments for extended unemployment benefits in states with high rates of unemployment (funded equally by Federal and state payroll taxes) |
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Includes: Benefits under special programs, such as trade adjustment assistance and disaster assistance (funded by Federal appropriations), and benefits to special groups of former workers, such as railroad employees (funded by Federal tax on railroad payrolls). |
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Special Considerations: |
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| UNEMPLOYMENT COMPENSATION SYSTEMS |
ALL CODES |
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|---|---|---|
CASH AND SECURITY HOLDINGS |
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The Census Bureau uses two "By Type" classification categories for cash and securities of the state-administered Unemployment Compensation Systems. Both of the categories shown below are considered to be "cash and deposits." There are no securities, per se, for the holdings of the state Unemployment Compensation System accounts. Data for this category are obtained primarily from the Employment and Training Administration of the U.S. Department of Labor. However, as states have become more inclusive in their reporting as a result of GASB guidelines, Census Bureau analysts can make use of individual state financial statements where to obtain data, where the states include the Unemployment Compensation Systems activity in such accounting records. |
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Regular Code Y07 |
Trust Fund Account in U.S. Treasury |
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Definition: Balance held in each state's basic trust fund account in the U.S. Treasury. |
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Special Considerations: |
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Regular Code Y08 |
Other (Clearing and Benefit Accounts) |
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|---|---|---|
Definition: Balance held in each state's special trust fund account in the U.S. Treasury. |
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Special Considerations: 2. Pre-1988 versions of the Classification Manual showed code Y09 for negative balances and limited Y08 to positive balances. Code Y08 now represents the net balance, plus or minus. 3. This code does not apply to statistics on the Federal Government. |
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| Applicability of Codes, By Level and Type of Government | |||
|---|---|---|---|
| Category | Federal | State | Local* |
| Receipts | Y01, Y99 |
Y01,Y02, Y04 |
No - All Types |
| Expenses | Y05 |
Y05, Y06 |
No - All Types |
| Assets | No |
Y07, Y08 |
No - All Types |
* Statistics are applicable to Washington, DC, even though it is classified as a local (municipal) government for Census Bureau purposes. |
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| WORKERS' COMPENSATION SYSTEMS
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ALL CODES |
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|---|---|---|
RECEIPTS |
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Contributions and interest earnings of state government-operated insurance trust funds to provide accident, disability, and death benefits for private and public employees. This category applies solely to state governments. These codes apply only to state government systems. Both the Federal Government and the government of Washington, DC operate "pay-as-you-go" systems that do not meet the Census Bureau's definition. |
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Regular Code Y10 |
Contributions to Own System |
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Definition: Contributions from a state government to its own workers' compensation system. |
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Regular Code Y11 |
Contributions |
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Definition: Premiums, assessments, payroll "taxes" or other contributions collected from employers and employees to provide for workers' compensation benefits, including contributions from local governments as employers on behalf of their own employees. Also includes amounts received from employees of either state or local governments. |
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Excludes: Contributions from state government administering insurance trust system (use exhibit Contributions to Own System, code Y10); dividends or return of excess premiums (report as a deduction from revenues); penalties and fines (use Fines and Forfeits, code U30); charges for such services as copying documents (report at All Other General Charges, code A89); recovery of benefits and other miscellaneous revenues (use Miscellaneous General Revenue, NEC, code U99); and Federal grants (report at appropriate Intergovernmental Revenue from the Federal Government code). |
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Regular Code Y12 |
Earnings on Investments |
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|---|---|---|
| Definition: Interest earnings on investment securities, deposits, and other interest-bearing accounts, including accrued interest on investment securities sold; dividends; recorded profits on investment transactions (minus any recorded losses); rentals; and other earnings on investments. | ||
Special Consideration: |
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| WORKERS' COMPENSATION SYSTEMS |
ALL CODES |
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|---|---|---|
EXPENSES |
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Distribution of cash benefits to eligible persons under state-administered plans for compulsory accident and injury insurance of workers. |
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Regular Code Y14 |
Benefit Payments |
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|---|---|---|
Definition: Claims paid directly to, or on behalf of, injured beneficiaries for compensation of wages lost, medical care, rehabilitation, funeral expenses, and other eligible benefits. Includes payments made from regular workers' compensation funds as well as from subsequent injury funds, second injury funds, and the like. |
||
Exhibit Code Y15 |
Administrative Expenses |
|
|---|---|---|
Definition: Administration, investment fees, losses on the sale of investments (also deducted at Y12), and other costs not representing either benefits or withdrawals. |
||
Includes: Adjudication of claims (also report at Financial Administration, code *23); recorded losses on investments (deduct from Investment Earnings, code Y12); other costs or payments not representing benefits (except purchase of investments). |
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| CASH AND SECURITY HOLDINGS |
||
|---|---|---|
Regular Code Y21 |
Cash and Securities for Workers' Compensation Systems |
|
Definition: Cash and security holdings of state government compulsory accident and injury insurance systems for workers' compensation. |
||
| Includes: Various cash and security assets as delineated in Table 7.1. | ||
Special Considerations: |
||
| Applicability of Codes, By Level and Type of Government | |||
|---|---|---|---|
| Category | Federal | State | Local* |
| Receipts | No - all codes |
Y10,Y11, Y12 |
No - All Types |
| Expenses | No - all codes |
Y14, Y15 |
No - All Types |
| Assets | No - all codes |
Y21 |
No - All Types |
|
|
|||
* The Workers' Compensation activity for both the Federal Government and the government of Washington, DC are classified as "pay-as-you-go" systems for purposes of Census Bureau statistics. These codes thus do not apply to either government. |
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| OTHER STATE SOCIAL INSURANCE TRUST SYSTEMS |
ALL CODES |
|
|---|---|---|
Data on these systems are collected by a separate mail canvass survey of state insurance trust systems. There is no equivalent classification categories for Census Bureau statistics on public employment. State employees for administering these system are classified at Financial Administration, code *23. The following categories and codes apply only to state governments. See Table 9.1. |
||
RECEIPTS |
||
Contributions and earnings on investments for state-administered social insurance systems for health benefits, disability benefits, and other purposes. This category applies solely to state governments. |
||
Exhibit Code Y50 |
Contributions to Own System |
|
|---|---|---|
Definition: State government contribution to its own "other social insurance trust system." |
||
Regular Code Y51
|
Contributions |
|---|
Definition: Premiums, assessments, or contributions collected from members to provide for benefits, including contributions from local governments as employers on behalf of their own employees. Also includes amounts received from employees of either state or local governments. |
||
Excludes: Contributions from state government administering insurance trust system (use exhibit Contributions to Own System, code Y50). |
||
Regular Code Y52 |
Earnings on Investments |
|
|---|---|---|
Definition: Interest earnings on investment securities, deposits, and other interest-bearing accounts, including accrued interest on investment securities sold; dividends; recorded profits on investment transactions (minus any recorded losses); rentals; and other earnings on investments. |
||
Special Consideration: |
||
| EXPENSES |
||
|---|---|---|
Regular Code Y53 |
Benefits and Withdrawals |
|
Definition: Distribution of cash benefits to eligible persons under state-administered plans for compulsory or voluntary social insurance programs not elsewhere classified, or withdrawals from such systems, as allowed by law. |
||
| Includes: Benefits include claims paid directly to, or on behalf of, beneficiaries for lost income, medical care, disaster reimbursement, and other eligible expenses. | ||
Excludes: Payments on group health, life, or other fringe benefit insurance plans for its employees (report at function involved or at Other and Unallocable, code *89). Exclude administrative costs from benefits and report them both at code Y54 and Financial Administration, code *23. |
||
Exhibit Code
Y54
|
Other Payments |
|
|---|---|---|
Definition: Expenses for administration of insurance plans (also report at Financial Administration, regular code *23) . |
||
| Includes: Administration, investment fees, recorded losses on investments (also deduct from Investment Earnings, code Y52) and other costs or payments not representing benefits (except purchase of investments). | ||
Excludes: • State government payments to own insurance trusts (interfund transfer). • Purchase of investments. • Self-insurance, risk management, insurance against fire or other hazards, and other types of non-social insurance (generally, report at Other and Unallocable, code *89). |
||
| CASH AND SECURITY HOLDINGS |
||
|---|---|---|
Regular Code Y61 |
Total Cash and Security Holdings, Other State Social Insurance Trust Systems |
|
Definition: Cash and security holdings of state government insurance trust systems other than employee retirement, unemployment compensation, and workers' compensation. |
||
| Includes: Various cash and security assets as delineated in Table 7.1. | ||
| Examples: Maryland Automobile Insurance Fund, a dependent agency of the state of Maryland. | ||
Special Considerations: |
||
| Applicability of Codes, By Level and Type of Government | |||
|---|---|---|---|
| Category | Federal | State | Local |
| Receipts | No - all codes |
Y50,Y51, Y52 |
No - All Types |
| Expenses | No - all codes |
Y53, Y54 |
No - All Types |
| Assets | No - all codes |
Y61 |
No - All Types |
| OTHER SOCIAL INSURANCE TRUST SYSTEMS: FEDERAL ONLY |
||
|---|---|---|
SOCIAL SECURITY AND MEDICARE RECEIPTS |
||
Regular
Code Y20
|
Contributions |
|
Definition: Contributions (employee, employer, and self-employed payroll taxes) to provide for benefits under the Federal Old-Age, Survivors, and Health and Disability Insurance Programs, commonly referred to as Social Security and Medicare. |
||
Exhibit Code Y22 |
Interest on Investments in U.S. Securities, Social Security and Medicare |
|
|---|---|---|
Definition: Interest earnings on Social Security and Medicare Funds, invested solely in special U.S. Treasury Securities. |
||
Special Considerations: |
||
| SOCIAL SECURITY AND MEDICARE EXPENSES |
|
|---|---|
Regular Code Y25 |
Benefits and Withdrawals |
Definition: Distribution of cash benefits to eligible persons under Federal-administered retirement, disability, hospital, and health social insurance programs. |
||
| Includes: Comprises cash benefits: to retirees or their dependents and survivors from the Federal Old-Age and Survivors' Insurance Trust Fund (OASI); to disabled workers or their dependents from the Federal Disability Insurance Trust Fund (DI); to elderly or disabled for hospital, nursing home, and other related care from the Federal Hospital Insurance Trust Fund (HI); and to such persons for physician services, outpatient care, renal dialysis, and other health care from the Federal Supplementary Medical Insurance Trust Fund (SMI). The OASI and DI funds are administered by the Department of Health and Human Services' (HHS) Social Security Administration (SSA) wile the HI and SMI funds are operated by HHS' Health Care Financing Administration (HCFA). | ||
| Excludes: Governmental contributions as employer for Social Security and Medicare on behalf of its employees (report as current operation expenditure of function involved); Federal transfers to these Social Security or Health Care trust funds; transfers from Social Security Trust Funds to the railroad retirement accounts; interest payments on inter-trust borrowings (the preceding three are nonexpenditures); administration of these insurance trust funds (report at Social Insurance Administration, code *22); payments of HCFA for Medicaid program (report at Federal Categorical Assistance Programs, code *67); payments of SSA other than for the Social Security Trusts, such as SSI and AFDC (use code *67) and black lung benefits, child support enforcement, low income energy assistance, etc. (report at Other Public Welfare, code *79). | ||
Special Consideration: 2. The OASI and DI trusts comprise what is commonly referred to as Social Security. The HI and SMI trusts comprise what is commonly referred to as Medicare, Parts A and Part B, respectively. 3. In contrast to public welfare programs funded by appropriations and classified as general expenditure, these social insurance programs all have separate trust funds with dedicated revenues (either payroll taxes or voluntary premiums). 4. There is no equivalent function code for Census Bureau statistics on public employment. Employees engaged in administering this activity are classified at Social Insurance Administration, code *22. |
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| VETERANS' LIFE INSURANCE RECEIPTS |
||
|---|---|---|
Regular Code Y31 |
Veterans' Life Insurance Contributions |
|
Definition: Insurance premiums from veterans for purchase of annuities in life insurance programs administered by the U.S. Department of Veterans Affairs (formerly, U.S. Veterans Administration). |
||
Excludes: Appropriations from general and special revenue funds (intragovernmental transfers). |
||
Exhibit Code Y32 |
Interest on Investments in U.S. Securities, Veterans' Life Insurance |
|
|---|---|---|
Definition: Interest earnings on Veterans' Life Insurance Funds, invested solely in special U.S. Treasury Securities. |
||
Special Consideration: |
||
| VETERANS' LIFE INSURANCE EXPENSES |
||
|---|---|---|
Regular Code Y34 |
Benefits and Withdrawals |
|
Definition: Distribution of cash benefits and dividends to eligible veterans and their beneficiaries under Federal-administered veterans' life insurance programs. |
||
Includes: Death claims to beneficiaries; cash values of surrendered policies; distribution of excess earnings and related interest (dividends); disability claims or income payments under veterans' life insurance policies; and matured endowments. Comprises activities of National Service Life Insurance Fund as well as the Veterans Special Life Insurance Fund, Veterans Reopened Insurance Fund, US Government Life Insurance Fund, and others administered by the U.S. Department of Veterans Affairs. |
||
Excludes: Loans to policyholders borrowing against cash value of their policies; Federal Government contributions to these funds; purchase of securities (the preceding are nonexpenditures); Federal payments as employer contributions for group life insurance for its employees (report as current operation expenditure of function involved); administration of these life insurance programs (report at Other Veterans Services, code *85); and burial benefits not paid out of veterans' life insurance funds (use code *85). |
||
| RAILROAD RETIREMENT FUND RECEIPTS |
||
|---|---|---|
Regular Code Y41 |
Contributions |
|
Definition: Contributions (employee and employer) to provide for benefits under the Federal Railroad Retirement and Disability system. |
||
| Excludes: Contributions from Social Security trusts, tax subsidies, and any other Federal receipts representing interfund transfers; and contributions for Federal railroad unemployment compensation (use Contributions, code Y01). | ||
Exhibit Code Y42 |
Interest on Investments in U.S. Securities, Railroad Retirement |
|
|---|---|---|
Definition: Interest earnings on Railroad Retirement and related funds, invested solely in special U.S. Treasury Securities. |
||
Special Consideration: |
||
RAILROAD RETIREMENT FUND EXPENSES |
||
|---|---|---|
Exhibit Code
Y45 |
Benefits and Withdrawals |
|
Definition: Distribution of cash annuities and benefits to eligible retirees and their survivors under Federal-administered rail industry pension programs. |
||
| Includes: Distribution of cash annuities and benefits to eligible retirees and their survivors under Federal-administered rail industry pension programs. | ||
Excludes: Federal payments (transfers) to the railroad retirement accounts; Federal Old-Age and Survivors Insurance Trust Fund payments to the railroad retirement accounts; purchase of securities (the preceding are nonexpenditures); benefits from related Railroad Unemployment Insurance Fund (report at Unemployment Compensation Benefits, code Y05); and administration of railroad retirement program and railroad unemployment insurance fund (report at Social Insurance Administration, code *22). |
||
Special Considerations: |
||
| Applicability of Codes, By Level and Type of Government | |||
|---|---|---|---|
| Category | Federal | State | Local |
| Receipts | Y20, Y22, Y31, Y32, Y41, Y2 |
No - all codes |
No - All Types |
| Expenses | Y25, Y34, Y45 |
No - all codes |
No - All Types |
| Assets | None |
No - all codes |
No - All Types |
There are two tables associated with this chapter. Table 9.1, Applicability of Other Social Insurance Trust System Codes, by Level and Type of Government, contains information on regular and exhibit finance codes, and details their applicability by level of government. Where codes apply, they are valid and the implication is that data could exist for that type of financial category or transaction. Table 9.2, Summary of Federal and State Social Insurance Trust System Codes, lists all the codes in the classification system that pertain to Federal and state social insurance trust systems (other than for public employee retirement) and indicates what type of statistics they represent (regular, exhibit or descriptive). There are no derived statistical codes for these Federal and state social insurance trust systems.
Notes: |
|
|
|
|
|
|
Not a valid code for the level or type of government indicated (there are no statistics). |
|
Applicable code for the level or type of government indicated (statistics are collected and reported). |
|
Type of statistic (see Chapter 9.2). |
|
|
|
|
|
||
|
"Yes" | Indicates applicable for that type of statistic. |
| - | Indicates not applicable for that type of statistic. | |
There are no descriptive statistics for these social insurance trust systems. |
||
