FY2013 Ann ual Re

May 1, 2014

The Honorable Joseph R. Biden

The President of the Senate

The Honorable John A. Boehner

The Speaker of the House of Representatives

Sirs:

I have the honor to transmit herewith the Annual Report of the U.S. Government Printing Office 

(GPO) for the fiscal year ending September 30, 2013. The report contains the results of an audit 

of GPO’s financial statements conducted by an independent accounting firm.

Respectfully submitted,

DAVITA VANCE-COOKS

Public Printer

U. S. GOVERNMEN T P R I N T I N G O F F I C E 

Keeping America Informed I www.gpo.gov

DAVITA VANCE-COOKS

Public Printer of the United States

732 North Capitol Street, NW, Washington, DC 20401-0001 | dvance-cooks@gpo.gov
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FY 2013 was a year of unusual challenges as GPO, like other Federal agencies, 

confronted the fiscal limits imposed by sequestration and, at year’s end, began 

preparations for a shutdown of Government operations. As the 27th Public Printer 

of the United States, I am pleased to report that in spite of those challenges, 

by the end of the year we emerged with our finances sound, our digital 

transformation validated, and our record of providing continuing improvements 

for Congress, Federal agencies, and the public intact. And as if those results 

weren’t satisfying enough, in 2013 GPO was designated by our employees — through 

participation in the Office of Personnel Management’s Employee Viewpoint 

Survey — as one of the best places to work among Federal agencies. Our sustained 

transformation during the year also laid the groundwork for another, important development: a 

legislative proposal to change our name to the Government Publishing Office. 

Managing our finances was the most immediate and 

pressing task we faced in FY 2013. Our appropriated 

funding for the year was reduced by $8.7 million, or 6.9 

percent, from the previous year, including application 

of the sequester. Although passport production 

continued unchanged during the year, we were greatly 

concerned that reduced funding across the Government 

would result in a significant decline in work, potentially 

requiring us to activate furloughs for our employees. 

In response, we made a concerted effort to control 

spending, reprioritize capital investment plans, and 

closely monitor costs.

These efforts paid off. We were able to continue 

fulfilling the information product requirements of 

Congress, Federal agencies, and the public without any 

interruption in service and without having to implement 

furloughs due to sequestration. At the end of the year, 

we posted an operating gain of $7.3 million, net of 

revenues for passport-related capital investments and a 

decrease in long-term workers’ compensation liability. 

In part this achievement was due to savings from the 

buyout we conducted in 2011-12 and the aggressive 

measures we’ve taken to reduce discretionary spending 

since then. These measures, which in 2013 included 

negotiating new long-term wage contracts for GPO’s 

employees that set future increases at the rate provided 

by the President and Congress to all other Civil Service 

employees, will improve GPO’s financial position in the 

coming years. 

In addition to our financial position, our digital 

transformation is now strongly supported by the 

findings of an independent study commissioned by 

Congress in 2011 and released in January 2013 by 

the highly respected National Academy of Public 

Administration. The Academy’s report, Rebooting the 

Government Printing Office: Keeping America Informed in 

the Digital Age (http://www.napawash.org/2013/1437-

rebooting-the-government-printing-office.html) 

affirms that “GPO’s core mission of authenticating, 

preserving, and distributing Federal information 

remains critically important to American democracy” 

in the digital age. The report makes recommendations 

designed to help position GPO and the Federal 

Government to continue meeting the challenges of an 

increasingly digital world. These recommendations now 

form part of our strategic planning process, guiding our 

decision-making and resource allocation for the future.

Our digital transformation points to a profound 

change in the way GPO operates today. We provide 

value to Congress, Federal agencies, and the public 

because we have a diversified product and services 

portfolio that focuses on digital. We support openness 

and transparency in Government by providing 

permanent public access to Federal Government 

information at no charge through our Federal Digital 

System, FDsys, which has nearly 1 million titles 

available online with more than 38 million documents 

downloaded on the average each month in 2013. Along 

with printing, we build databases, create bulk data 

A Message from Public Printer Davita Vance-Cooks
3

downloads, produce e-passports and 

secure credentials, offer eBooks, develop 

mobile apps, provide Web site design 

and hosting, engage in e-commerce 

activity, offer electronic content services, 

utilize digital equipment, develop 

digital products, and implement digital 

workflow processes.

In 2013, the results of our continuing 

transformation were on full display. 

For Congress we released a version 

of the 113th Congress Mobile Member 

Guide app and, right after the 2012 

Presidential election, made the popular 

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(Above) Then-Acting Public Printer Davita Vance-Cooks holds a town 

hall meeting to discuss sequestration and its potential impacts on 

GPO. (Below) GPO managers convene to review the results of the 

2013 Federal Employee Viewpoint Survey.
Plum Book available as an app. We 

worked with the Library of Congress to 

make House bill summaries prepared 

by the Congressional Research Service 

available in XML bulk data format, 

and to develop a Web publication that 

makes the analysis and interpretation 

of constitutional case law by Library 

experts accessible online in concert with 

the issuance of the centennial edition 

of The Constitution of the United States 

of America: Analysis and Interpretation. 

The work we began last year in support 

of the Joint Congressional Committee 

on Inaugural Ceremonies was used 

throughout the 2013 Presidential 

inauguration, including the secure law 

enforcement credentials we produced at 

the request of the U.S. Capitol Police.

For Federal agencies, we made 

the FY 2014 Budget of the U.S. 

Government available as a mobile web 

app, which in the first few days had 

nearly 62,000 users. Our GPOExpress

program, operated in partnership with 

FedExOffice, achieved a milestone of 

100,000 orders since it began operation 

in 2005. We began work on the 

development of the next generation 

passport, and we completed the 

installation of a continuity-of-operations 

(COOP) capability for secure card 

production at our facility in Mississippi 

on time and under budget. We were 

interested to see that a 2013 Government 

Accountability Office report, which 

was conducted at the request of the 

Joint Committee on Printing, identified 

approximately 80 Federal printing plants 

still in operation government-wide. 

We strongly believe that additional 

savings for taxpayers could occur if 

the procurable work these plants may 

be producing is transferred instead to 

GPO’s partnership with the private 

sector printing and information product 

industry.

For the public, we continued 

expanding collections on FDsys, adding 

content from the Department of 

Treasury’s library in addition to other 

information, and began development 

of the next generation of FDsys, which 

will provide improved search and 

retrieval, expanded storage, and a mobile 

capability. We launched the Federal 

Depository Library Community Training 

Program to meet the education needs 

of Government information librarians 

across the Nation. We now have more 

than 300 titles available as eBooks for 

sale, and we launched an upgraded 

version of the U.S. Government Online 

Bookstore that provides improved 

search capabilities and usability. Our 

social media presence on Facebook, 

Twitter, YouTube, and our Government 

Book Blog continued to grow, and we 

launched a presence on Pinterest, which 

we use to share historic photos, videos, 

products, and Government publications 

with the public.

Throughout FY 2013, our 

achievements were the direct result of 

the expertise and professional dedication 

of the men and women who make 

up the GPO, and who are integral to 

the successful operation of legislative 

operations in Congress, the work of 

Federal agencies, and the provision 

of public access to Government 

information every day. The greatest 

part of my job is to be part of GPO’s 

extraordinary staff, and I am committed 

to listening to employees and acting on 

their concerns to make GPO a better 

place for all of us to work. In that 

respect, we made significant progress this 

past year when GPO was rated among 

the top ten best places to work among 

medium-sized Federal agencies, based 

on rankings produced by Partnership 

for Public Service from data provided 

by GPO employees participating in 

the Office of Personnel Management’s 

2013 Federal Employee Viewpoint 

Public Printer’s Message (continued)

4

Then-Acting Public Printer Davita Vance-Cooks appeared before the Senate 

Committee on Rules and Administration in June 2013 to testify at the hearing 

on her nomination to be Public Printer.
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Survey. Some of the key areas in which 

we received high rankings included 

leadership’s practice of communicating 

and listening to employees and using 

feedback to make changes, embracing 

of teleworking and alternative work 

schedules, and assuring emergency 

preparedness. We have a lot more work 

to do to cement this finding in place, but 

I am very happy that we are moving in 

this direction.

With so much of the Government’s 

information being published digitally, 

and with GPO’s products, services, 

processes, and employees now so heavily 

invested in digital technology, I firmly 

I am truly humbled by President 

Obama’s nomination of me as Public 

Printer in 2013, and by my confirmation 

by the Senate, and I pledge to continue 

following the transformation to which 

we have committed ourselves as the 

Nation’s Publisher. I am proud to lead 

a workforce that believes our future lies 

in providing Government information 

to the American people in the forms 

and formats they want and need, and I 

fully expect the men and women of GPO 

will be able to repeat if not exceed the 

achievements of the past year in FY 2014. 

We deeply appreciate all the support we 

were given this past year, and together 

we look forward to carrying out the 

mission we have been given on behalf 

of the Congress, the agencies, and the 

public we serve.

DAVITA VANCE-COOKS

Public Printer

believe the time has come for our name 

to change. Our current name reflects a 

century and a half of proud tradition 

and history that I respectfully embrace. 

But I also acknowledge that it is limiting. 

Our current name does not adequately 

describe who we are. It does not 

adequately describe what we do. We are so 

much more than that. It is time for GPO’s 

name to catch up with who we are. We are 

no longer the Government Printing Office. 

We are the Government Publishing Office. 

Early in FY 2014, I was extremely pleased 

to see that legislation was introduced in 

the Senate make this change.

GPO’s 2013 observance of Fitness Day drew 

an enthusiastic crowd.
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Along with sales of publications in 

digital and tangible formats to the 

public, GPO supports openness 

and transparency in Government by 

providing permanent public access 

to Federal Government information 

at no charge through our Federal 

Digital System (FDsys, at www.fdsys.

gov), which today makes nearly 1 

million Federal titles available online 

from both GPO’s servers and links to 

servers in other agencies, and in 2013 

averaged 38.7 million downloads per 

month (with a spike of up to 47.5 

million retrievals during the October 

2013 Government shutdown). We also 

provide public access to Government 

information through partnerships 

with approximately 1,200 libraries 

nationwide participating in the Federal 

Depository Library Program.

In addition to GPO’s Web site, www.

gpo.gov, we communicate with the 

public routinely via Twitter twitter.

The U.S. Government Printing Office (GPO)

GPO is the OFFICIAL, DIGITAL, SECURE resource for publishing the 

official information products of the Federal Government. Under Title 44 of

the U.S. Code, GPO is responsible for the production and distribution of 

information products for all three branches of the Government, including 

the official publications of Congress and the White House, U.S. passports

for the Department of State, and the official publications of other Federal 

agencies and the courts. Once primarily a printing operation, we are 

now an integrated publishing organization and carry out our mission 

using an expanding range of digital as well as conventional formats. 

Total GPO employment today is 1,879

com/USGPO, YouTube youtube.com/

user/gpoprinter, Facebook facebook.

com/USGPO, and most recently 

Pinterest pinterest.com/usgpo/. 

Our Government Book Blog is at 

govbooktalk.gpo.gov/.

History From the Mayflower Compact 

to the Declaration of Independence and 

the papers leading to the creation and 

ratification of the Constitution, America 

is a Nation based on documents. Our 

governmental tradition reflects that fact. 

Article I, section 5 of the Constitution 

requires that “each House shall keep 

a journal of its proceedings and from 

time to time publish the same.” After 

years of struggling with various systems 

of contracting for printed documents 

that were beset with scandal and 

corruption, in 1860 Congress created the 

Government Printing Office as its official 

printer. GPO first opened its doors for 

business on March 4, 1861, the same day 

Abraham Lincoln was inaugurated as the 

16th President.

Since that time, GPO has produced 

and distributed the official version 

of every great American state paper 

— and an uncounted number of 

other Government publications, 

documents, and forms — including 

the Emancipation Proclamation, the 

legislative publications and acts of 

Congress, Social Security cards, Medicare 

and Medicaid information, census forms, 

tax forms, citizenship forms, passports, 

military histories ranging from the 

Official Records of the War of the Rebellion

to the latest accounts of our forces in 

Afghanistan, the 9/11 Commission 

Report, Presidential inaugural addresses, 

and Supreme Court opinions. All these 

as well as millions of other documents 

from the historic to the humble have 

been published by GPO for the use 

of Congress, Federal agencies, and the 

public. This work goes on today, in both 

digital and print forms.

The War of the Rebellion: A Compilation of the Official Records of the Union 

and Confederate Armies was printed by GPO over twenty years beginning in 

1880. Consisting of 138,000 pages and more than 1,000 maps assembled in 

128 volumes, it was GPO’s largest single printing job ever.
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Technology Transformation GPO 

has continually transformed itself 

throughout its history by adapting to 

changing technologies. In the ink-onpaper era, this meant moving from 

hand-set to machine typesetting, from 

slower to high-speed presses, and from 

hand to automated bookbinding. These 

changes were significant for their time.

Yet they pale by comparison with the 

transformation that accompanied our 

incorporation of electronic information 

technologies, which began over 50 years 

ago in 1962 when the Joint Committee 

on Printing directed the agency to 

develop a new system of computerbased composition. That order led to the 

development of GPO’s first electronic 

photocomposition system, which 

by the early 1980’s had completely 

supplanted machine-based hot metal 

typesetting. Following the enactment 

of the GPO Electronic Information 

Access Enhancement Act in 1993, the 

databases generated by our composition 

system were uploaded to the Internet via 

GPO’s first Web site, GPO Access, vastly 

expanding the agency’s information 

dissemination capabilities. Those 

functions continue today with FDsys on a 

more complex and comprehensive scale.

While transforming to an increasingly digital footing, GPO continues to 

provide an array of printing services to 

support the needs of Congress, Federal agencies, and the public. GPO is 

retooling its print operations to utilize 

a smaller, more flexible, more digitallybased equipment profile than previously. 

In FY 2013, we began preparing space 

for the delivery of a new high efficiency 

shaftless press to support both congressional and agency printing requirements. 

The new press will replace two aging 

presses that have been in place since 

1979. Our annual spending plan for the 

coming year includes the acquisition of 

a new digital binding line to replace our 

automated binding line that has been 

in place since 1983. Likewise, we are 

continually reviewing other product and 

equipment options to ensure that printing is produced with the most efficient, 

effective technologies available.

GPO is now fundamentally different 

from what it was as recently as a 

generation ago: smaller, leaner, and 

equipped with digital production 

capabilities that are the bedrock of the 

information systems relied upon daily 

by Congress, Federal agencies, and the 

public to ensure open and transparent 

Government in the digital era. As we 

prepare GPO for the Government 

information environment and 

technology challenges of the future, our 

transformation is continuing with the 

development of new ways of delivering 

Government information, including 

apps and bulk data download files.

Strategic Vision and Plan GPO is 

transforming from a print-centric to a 

content-centric publishing operation. 

Our implementation of a digital 

transformation is consistent with the 

goals outlined in President Obama’s 

Roadmap for a Digital Government 

(Digital Government: Building a 21st 

Century Platform to Better Serve the 

American People, May 2012). In the years 

ahead, GPO will continue to develop 

an integrated, diversified product and 

services portfolio that primarily focuses 

on digital. Although industry experts 

predict tangible print will continue to be 

required because of official use, archival 

purposes, authenticity, specific industry 

requirements, and segments of the 

population that either have limited or 

no access to digital formats, we recognize 

that the volume of tangible print that is 

requisitioned from GPO will continue to 

decline.
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 GPO’s strategic plan, available 

for public review at http://www.gpo.

gov/about/, is built around four 

continuing strategic goals: satisfying 

our stakeholders, offering products 

and services, strengthening our 

organizational foundation, and engaging 

our workforce. The plan provides the 

blueprint for how GPO will continue 

to achieve its mission of Keeping 

America Informed with an emphasis on 

being OFFICIAL, DIGITAL, SECURE. 

GPO’s senior managers convene at the 

beginning of the fiscal year to review the 

plan and approve it before it is issued. 

GPO’s customers are involved 

in the digital world and understand 

technological change. Accordingly, 

it is important that GPO fosters an 

environment that embraces change and 

innovation, which leads to new products 

and services, new methods, and new ways 

of thinking. While tangible printing still 

continues today at GPO, the demand for 

printed publications is declining. At the 

same time, there has been an exponential 

growth in digital requirements by 

Congress and Federal agencies. Moreover, 

the public – including the library 

and Government information user 

communities – has signaled its strong 

desire for increased access to Government 

information digitally. 

GPO has changed to anticipate and 

accommodate those requirements. 

The content received from Congress 

and Federal agencies is managed by 

GPO through a life cycle process that 

supports the primary requirement to 

make the digital version of publications 

permanently available online, and to 

print only when required. This policy is 

consistent with the President’s executive 

order of November 2011 dealing with 

printing.

In transforming its business model, 

GPO is focusing on managing content 

for customer and public use both 

today and tomorrow. GPO uses its 

extensive experience and expertise 

with digital systems to provide both 

permanent public access to Government 

information in a variety of formats and 

the most efficient and effective means 

for printing when required, all within a 

secure setting that is responsive to the 

customer’s needs.

National Academy of Public 

Administration Report GPO’s ongoing 

technology transformation and strategic 

vision were validated by the National 

Academy of Public Administration in 

a January 2013 report that had been 

commissioned by Congress. 

The report, Rebooting the Government 

Printing Office: Keeping America Informed 

in the Digital Age, affirms that “GPO’s 

core mission of authenticating, preserving, and distributing Federal information 

remains critically important to American democracy” in the digital age while 

recommending measures to strengthen 

the agency’s business model for the 

future. The study was overseen by a 

panel of distinguished Academy fellows 

and conducted by a team of Academy 

professionals. The 10-month study 

involved extensive data analysis and 

review supplemented by interviews with 

GPO management, employees, and labor 

representatives as well as stakeholders 

from the congressional, Federal agency, 

library, and printing communities. The 

resulting report contains 27 findings and 

15 recommendations. 

 The focus of the Academy’s report 

is the need for GPO—and the rest of 

the Federal Government—to continue 

“rebooting” for the digital age. While 

pointing out that “GPO’s leaders 

have made considerable progress in 

transforming the agency into an efficient, 

future-oriented organization,” and that 

the agency has “expanded products 

and services for the digital age and 

made difficult decisions to ensure that 

revenues are in line with expenditures,” 

the report makes recommendations 

designed to help position GPO and the 

Federal Government to continue meeting 

the challenges of an increasingly digital 

world. 

 The report calls for GPO to “serve 

as a critical player in the collaborative 

development of a government-wide 

strategy” for managing the lifecycle of 

Government information. To strengthen 

GPO for the future, it recommends 

that the agency continue offering an 

expanded set of services for the digital 

age, preserve the viability of the Federal 

depository library program, retain the 

production of executive branch printing, 

improve strategic and staffing planning, 

further consolidate operations, automate 

more agency functions, and related 

measures. It also recommends expanding 

the sales of publications into new 

markets, and increasing the leasing of 

underutilized GPO building space.

GPO History Exhibit In 2013, GPO’s 

history exhibit, which was originally 

opened on our 150th anniversary in 2011, 

was refreshed with a new display. Titled 

Lincoln and His Printers: GPO in the Civil 

War, the exhibit focuses on the prominent 

role the agency played in the preparation 

The U.S. Government Printing Office (GPO) (continued)
9

of documents for President Lincoln, the 

close relationship between Lincoln and 

the head of the GPO, John D. Defrees, 

and the role GPO employees played in 

defending Washington from Confederate 

attack in the summer of 1864. 

The display features authentic 

documents from the Library of Congress 

showing the close working relationship 

between President Lincoln and Defrees. 

One document is President Lincoln’s 

message to Congress of July 4, 1861, 

detailing the executive actions taken in the 

early weeks of the Civil War and setting 

forth his views on the aims of the war. The 

exhibit details how GPO printers set the 

text of the President’s message in type as 

he prepared his message. The exhibit also 

tells the story of GPO’s first veterans, the 

employees who formed two companies 

of the Interior Department Regiment and 

helped to defend Washington, DC, from 

imminent attack in 1864. Additionally, 

on October 24, 1863, President Lincoln 

visited GPO where he toured the plant 

and spoke to employees. He remains the 

only sitting President to have visited the 

agency.

Historian Marc Leepson, author of Desperate Engagement (2007), speaks to 

GPO employees about his account of the 1864 battle at Fort Stevens that saved 

Washington, DC, from invasion by Confederate forces. During that battle, GPO 

typesetters, pressmen, and bookbinders helped man local defenses of the city.
10

For the Clerk of the House, the Secretary 

of the Senate, and the committees of the 

House and the Senate, we produce the 

documents and publications required 

by the legislative and oversight processes 

of Congress. This includes the daily 

Congressional Record, bills, reports, 

legislative calendars, hearings, committee 

prints, and documents, as well as 

stationery, franked envelopes, memorials 

and condolence books, programs and 

invitations, phone books, and other 

products needed to conduct the business 

of Congress. We also detail expert staff 

to support the publishing requirements 

of House and Senate committees and 

congressional offices such as the House 

and Senate Offices of Legislative Counsel. 

We work with Congress to ensure the 

provision of these services under any 

circumstances through continuity-ofoperations (COOP) planning.

Today the activities associated with 

creating congressional information 

databases comprise the vast majority 

of the work we do for Congress. In 

addition to using these databases to 

produce printed products as required by 

Congress, GPO makes them available 

to the Internet via FDsys, and they 

are the source of the apps we build 

for congressional information. Our 

advanced digital authentication system, 

supported by public key infrastructure 

(PKI), is an essential component 

for assuring the digital security of 

congressional documents.

GPO’s congressional information 

systems also form the building 

blocks of other information systems 

supporting Congress. Our congressional 

information databases are provided 

directly to the Library of Congress to 

support its new Congress.gov system 

as well as the legislative information 

systems the Library makes available 

to House and Senate offices. We are 

collaborating with the Library on 

the digitization of previously printed 

documents, such as the Congressional 

Record dating from 1873 to 1998, to 

make them more broadly available to 

Congress and the public.

GPO’s Official Journals of 

Government business unit acts as the 

liaison between the offices of the Clerk 

of the House of Representatives and 

the Secretary of the Senate as well as 

the committees and other offices of 

each chamber for their information 

product requirements. Our Plant 

Operations business unit provides 

in-plant production services for 

those requirements to meet the quick 

turnaround needs of the legislative 

process in Congress. 

GPO Cuts the Cost of Congressional 

Work The use of electronic information 

technologies by GPO has been a 

principal contributor to lowering 

the cost, in real economic terms, of 

congressional information products. 

In FY 1980, as we began replacing 

hot metal typesetting with electronic 

photocomposition, our appropriation 

for congressional work was $91.6 

million, the equivalent in today’s dollars 

GPO and Congress

Information is the lifeblood of the congressional process. Bills, 

amendments, resolutions, hearings, committee reports, committee prints, 

and the record of floor proceedings contained in the Congressional 

Record – all these are essential to the conduct of legislative business on 

Capitol Hill. Without them, there would be no record of business and the 

legislative process would grind to a halt. To produce congressional 

products under the close guidance and control of the House 

of Representatives and the Senate is why GPO was originally 

established, and this work continues as the agency’s primary 

mission.
11

Oversight and 

Government 

Reform, 

available as an 

app. The Plum 

Book app 

allows users 

to view the 

publication, 

containing 

listings of 

more than 8,000 Federal civil service 

leadership and support positions in 

the executive and legislative branches 

that may be subject to noncompetitive 

appointment, in an easy to use mobile 

format. The publication can be searched 

by agency, position title, location, 

appointment type, pay plan and level, 

tenure and term expiration, and vacancy.

At the direction of the House 

Appropriations Committee, and in 

support of the House’s task force on 

bulk data, in 2013 we worked with 

the Library of Congress to make 

House bill summaries prepared by the 

Congressional Research Service available 

in XML bulk data format. This follows 

the work we did last year to make House 

bills available in XML bulk data format.

For the last two years, GPO has been 

a participant and presenter at the House 

Legislative Data and Transparency 

of $259 million. By comparison, our 

approved funding for FY 2013 was $83.6 

million, a reduction of more than twothirds in constant dollar terms.

Productivity increases resulting 

from technology have enabled us to 

make substantial reductions in staffing 

requirements while continuing to 

improve services for Congress. In 1980, 

GPO employment was 6,450. Today, 

we have 1,879 employees on board, 

representing a reduction of 4,571, or 

more than 70%. This is the smallest 

GPO workforce of any time in the past 

century. Yet output for Congress has 

expanded to include both print and 

multiple digital formats, with a vastly 

superior ability to reach a larger portion 

of the public than ever before.

Highlights of Work for Congress 

In 2013, we released a version of the 

113th Congress Mobile Member Guide 

app, containing data equivalent to the 

Congressional Pictorial Directory, with 

further updates to be completed this year.

As we reported previously, following 

the Presidential election in early FY 

2013, we made the United States Policy 

and Supporting Positions, popularly known 

as the “Plum Book,” issued by the 

House of Representatives Committee on 

Conference, along with staff from other 

legislative branch agencies, data users, 

and transparency advocates. In 2013, 

we discussed preservation objectives, 

practices, and strategies that ensure 

legislative content is permanently 

available in electronic format. We also 

presented information on a committee 

vote utility initiative that will record and 

organize the votes of each committee 

Member in an XML format into the 

committee report. This will take the 

place of users having to type in the 

Member names and vote results for 

commonly taken votes.

GPO worked with the Senate 

Committee on Rules and Administration 

and the Library of Congress in 

2013 to develop a Web publication 

making analysis and interpretation 

of constitutional case law by Library 

experts accessible in concert with the 

issuance of the centennial edition of 

The Constitution of the United States 

of America: Analysis and Interpretation 

as well as an app prepared by the 

Library. Popularly known as the 

Constitution Annotated, or CONAN, this 

authoritative volume previously was 

published as a bound edition every 

10 years, with updates addressing new 

constitutional law cases issued every 

two years. The new resources, which 

include analysis of Supreme Court 

cases through June 26, 2013, will be 

updated multiple times each year as 

new court decisions are issued. Legal 

professionals, teachers, students and 

anyone researching the constitutional 

implications of a particular topic can 

easily locate constitutional amendments 

and Federal and state laws that were 

Then-Acting Public Printer Davita 

Vance-Cooks testifies before the 

House Subcommittee on Legislative 

Branch Appropriations about GPO’s 

FY 2014 budget request.
12

held unconstitutional, and tables of 

recent cases with corresponding topics 

and constitutional implications. The 

improved Web publication as well as 

the app will make the nearly 3,000-page 

CONAN more accessible to more people 

and enable updates of new case analyses 

three or four times each year.

As of the end of 2013, GPO had 

produced the first 21 volumes of the 

2012 main edition of the U.S. Code. 

The balance of the 2012 main edition 

volumes will be delivered by the end of 

FY 2014.

As we reported last year, GPO was 

involved in preparations for the 2013 

Presidential inauguration through work we 

produced under the direction of the Joint 

Congressional Committee on Inaugural 

Ceremonies. We designed and produced 

approximately 80 different products for 

this event, including invitations, tickets, 

signs, pins, and other items that supported 

GPO and Congress (continued)

High-speed digital printing equipment is readied for use in GPO’s newly relocated Digital Print Center.
13

the organization and conduct of the 

inaugural ceremonies. We also produced 

secure credentials for the event at the 

request of the U.S. Capitol Police.

Sequester and Shutdown: Impact 

on Congressional Work The sequester 

implemented during 2013 reduced 

funding for the Congressional Printing 

and Binding Appropriation. In response, 

we implemented increased controls on 

spending, reprioritized capital investment 

plans, and closely monitored costs. 

We also developed furlough plans that 

fortunately did not have to be activated. 

GPO was able to continue its support 

of Congress’ information product 

requirements throughout the sequester 

period without any interruption or 

reduction in service. In preparation for 

the Government shutdown in October 

2013, we excepted a small workforce 

from being furloughed in order to 

produce the essential information 

products that would be required by 

Congress and provide public access to 

digital congressional information.

GPO staff prepare tickets and other materials for the 2013 Presidential Inauguration.
14

GPO and Federal Agencies

Federal agencies are major generators of information in the United States, and 

access to Government information is vital to our economy and society. The 

business and financial communities, agricultural workers, scientists and 

engineers, first responders, students, teachers, health care workers – 

these and a wide range of occupations and professions rely every day 

on information generated by Federal agencies with a diverse range of 

missions. So, too, do Federal agencies and the public rely on a growing variety 

of secure credentials produced by GPO for Federal agencies, from travelers 

holding U.S. passports to frequent U.S. border crossers, Medicare beneficiaries 

in Puerto Rico, and other users.

GPO’s digital systems support key 

Federal agency publications, including 

the annual Budget of the U.S. Government, 

the Federal Register, and associated 

products. As it does for congressional 

documents, our digital authentication 

system, supported by public key 

infrastructure (PKI), assures the digital 

security of agency documents.

GPO’s Official Journals of 

Government business unit acts as the 

liaison between the Office of the Federal 

Register and the agency, while our Plant 

Operations business unit provides 

in-plant production services for those 

requirements. The agency’s Customer 

Services business unit maintains liaison 

with Federal agencies and arranges for 

the production of their requirements 

primarily by contracting out to the 

private sector printing and information 

product industry from Washington, 

DC, as well as from 15 regional offices 

around the United States.

Highlights of Operations for Federal 

Agencies For the second consecutive 

year, GPO made the Budget of the U.S. 

Government available as a mobile web 

app. The app provides users with access 

to the text and images of the FY 2014 

Budget, including the Budget Message 

of the President, information on the 

President’s priorities, and budget 

overviews organized by agency. The app 

provides links to GPO’s Federal Digital 

System (FDsys) where summary tables 

and additional books of the Budget, 

including the Analytical Perspectives, 

Appendix, and Historical Tables are 

available. The FY 2014 Budget on FDsys 

had nearly 122,000 users in the first few 

days of availability, and our mobile Web 

app had approximately 62,000 users. 

One of GPO’s major agency 

customers is the Office of the Federal 

Register (OFR), which produces the 

daily Federal Register and related 

publications such as the Code of Federal 

Regulations, and other key information 

products like the Daily Compilation of 

Presidential Documents and the Public 

Papers of the President. GPO produces 

these publications in both digital and 

print formats. In preparation for the 

Government shutdown that occurred 

in October 2013, GPO excepted a small 

(Upper right) Release of the FY 2014 Budget at GPO in March 2013. 

(Above) GPO prepares covers for the FY 2014 Budget of the United States. 
15

workforce from being furloughed in 

order to continue producing the Federal 

Register and provide public access to it 

via FDsys. 

GPO’s plant produced the 2013 

Trafficking in Persons Report for the 

Department of State. At a reception at 

the Department, then-Acting Public 

Printer Davita Vance-Cooks presented 

Secretary of State John Kerry with a 

bound copy of the report.

In 2013, the GPOExpress program, 

operated in partnership with 

FedExOffice, achieved a milestone of 

100,000 orders since it began operation 

in 2005. GPOExpress provides Federal 

agencies with discounted services to 

meet their small and short turnaround 

printing and binding needs. By 

enrolling in the program, Federal agency 

employees receive a GPOExpress card 

that allows them to take advantage of 

pre-negotiated prices that are up to 80 

percent below retail rates. GPOExpress 

currently has 4,000 Federal Government 

employees enrolled. The program utilizes 

the FedEx Office network of more than 

1,800 locations nationwide to provide 

Federal agencies with convenient, lowcost professional services, including 

printing, binding, and finishing; banner 

and sign production; direct mail services; 

and digital content management through 

the FedEx Office DocStore system.

Passports and Secure Credentials 

A major document that GPO produces 

is the U.S. passport for the Department 

of State, which we have been responsible 

for since 1926. At one time no more than 

a conventionally printed document, the 

U.S. passport since 2007 has incorporated 

a digital chip and antenna array capable 

of carrying biometric identification data. 

With other security printing features, this 

document — produced in Washington, 

DC, as well as a secure remote facility 

in Mississippi — is now the most secure 

identification credential obtainable. In 

2013, we were directed by the Department 

of State to begin work on development of 

the next generation passport, a project that 

is now underway.

Since 2008, we have served as an 

integrator of secure identification smart 

cards to support the credentialing 

requirements of Federal agencies 

and other Government entities that 

requisition them from us. Our secure 

credential unit has been certified by the 

General Services Administration (GSA) 

(Left) The mobile Web app for the FY 2014 Budget. (Above) More than 95 

representatives of Federal agencies attended GPO’s 2013 Open House to learn 

about GPO’s products and services.
16

GPO and Federal Agencies (continued)

as the only government-to-government 

provider of credentials meeting the 

requirements of Homeland Security 

Presidential Directive 12 (HSPD-12). In 

2013, following the approval of the Joint 

Committee on Printing, we completed 

the installation of a COOP facility 

for card production at our facility in 

Mississippi on time and under budget. 

GPO in Partnership with Industry 

Other than congressional and inherently 

governmental work such as the Federal 

Register, the Budget, and security and 

intelligent documents, we produce virtually all other Federal agency information 

product requirements via contracts in 

partnership with the private sector printing and information product industry. 

This work amounts to more than $300 

million annually. Approximately 16,000 

individual firms are registered to do 

business with GPO, the vast majority of 

whom are small businesses averaging 

20 employees per firm. Contracts are 

awarded on a purely competitive basis; 

there are no set-asides or preferences in 

contracting other than what is specified in law and regulation, including 

a requirement for Buy American. This 

partnership provides great economic opportunity for the private sector.

The decline in printing governmentwide has reduced the amount of work 

we produce through this partnership, 

the result of the ongoing transformation 

of Federal agency information 

requirements from print to digital, the 

President’s initiative to reduce Federal 

printing, and to some extent funding 

reductions for overall Federal spending 

including sequestration. However, this 

partnership achieves significant savings 

and efficiencies for the printing that it 

continues to produce, and in the process 

generates private sector jobs nationwide.

We have long advocated that where 

Federal agency printing is required, 

this partnership is the most costeffective way of producing it. In 2013, 

the Government Accountability Office 

issued the results of a study conducted 

at the request of the Joint Committee on 

Printing that identified approximately 80 

Federal printing plants still in operation 

government-wide. Additional savings for 

taxpayers could occur if the procurable 

work these plants may be producing is 

transferred instead to GPO’s partnership 

with the private sector printing and 

information product industry.

Sequester and Shutdown The 

sequester implemented during 2013 

reduced funding for Federal agencies. 

As with our congressional publishing 

operations, we implemented increased 

cost controls to prepare for a possible 

reduction in Federal agency printing 

and other information product orders 

to GPO, and we developed furlough 

plans that fortunately did not have to 

be activated. We were able to continue 

our support of Federal agency printing 

and information product requirements 

throughout the sequester period without 

any interruption or reduction in service. 

The sequester did not affect the planned 

production of passports. In preparation 

for the Government shutdown that 

occurred in October 2013, we scaled back 

support of Federal agency requirements, 

including cessation of passport 

operations, consistent with Office of 

Management and Budget and related 

requirements for a lapse in funding.

(Above) Then-Acting Public Printer 

Davita Vance-Cooks is briefed on 

secure credentials production by 

staff of GPO’s Stennis, MS, Secure 

Production Facility.
17

GPO and Open, Transparent Government

Producing and distributing the official publications and information products of 

the Government fulfills an informing role originally envisioned by the Founders, 

as James Madison once said:

A popular Government without popular information, or the 

means of acquiring it, is but a Prologue to a Farce or a 

Tragedy, or perhaps both. Knowledge will forever govern 

ignorance, and a people who mean to be their own Governors, 

must arm themselves with the power which knowledge gives.

GPO operates a variety of programs that provide the public with “the means 

of acquiring” Government information that Madison spoke of. These programs

include the Federal Depository Library program (FDLP), Federal Digital Syste

(FDsys), Publications Sales, and Social Media.

Federal Depository Library Program 

The FDLP has legislative antecedents 

that date back 200 years, to 1813. Across 

those years, Federal depository libraries 

have served as critical links between “We 

the People” and the information made 

available by the Federal Government. 

depository library users. The program 

today serves millions of Americans 

through a network of approximately 

1,200 public, academic, law, and other 

libraries located across the Nation, 

averaging nearly three per congressional 

district. Once limited to the distribution 

of printed and microfiche products, 

the FDLP today is primarily digital, 

supported by FDsys and other digital 

resources.

In 2013, GPO continued work on 

our FDLP Forecast Study, a collaborative 

research project between GPO and 

depository libraries, which has surveyed 

all depository libraries to assess the 

current conditions of the program 

and their needs for the future. Primary 

needs identified by libraries and States 

that participated in the study include 

improved online access, enhanced 

catalog records, easily discoverable 

information, digitized historical 

content, flexibility in managing 

library collections, more educational 

opportunities, and preservation. The 

results from this initiative will serve as a 

blueprint for developing a new national 

plan for the future of the FDLP.

In 2013, the FDLP Community 

Training Program was launched to meet 

the education needs of Government 

information librarians across the Nation. 

During the year, GPO offered 11 FDLP 

(Upper right) Superintendent of Documents Mary Alice Baish opens the annual 

Federal Depository Library Council Conference in October 2012. (Above) Public 

Printer Davita Vance-Cooks with the management and staff of GPO’s cataloging 

operation. GPO was named one of the top 10 catalogers in the world in 2013.

GPO provides the libraries with 

information products in digital and, in 

some cases, tangible formats, and the 

libraries in turn make these available to 

the public at no charge while providing 

additional help and assistance to 
18

educational webinars that reached 

more than 1,100 individuals. GPO also 

conducted its first all-virtual multi-day 

meeting in April 2013 for the FDLP 

community. Held during Preservation 

Week, 115 registrants participated in 

presentations and discussions from GPO 

and other FDLP community members.

To provide permanent public access 

to Federal agency Web-based dissemination products, GPO is harvesting, 

cataloging, and archiving Federal agency 

Web content. Following a successful pilot program in 2012, GPO expanded its 

existing Web harvesting and archiving efforts using the automated harvesting and 

hosting service, Archive-It. In 2013, Web 

content from 19 Federal agencies was 

harvested and cataloged in the Catalog 

of U.S. Government Publications with live 

links to the harvested sites.

GPO was named one of the top 

10 original catalogers in 2013 by the 

Online Computer Library Center, Inc. 

(OCLC) – the world’s largest library 

cooperative. During the year, GPO 

implemented Resource Description and 

Access (RDA), a cataloging/metadata 

standard developed by the international 

library community to better describe and 

enhance access to resources in all media.

In 2013, GPO administered the 

Biennial Survey of Federal Depository 

Libraries. The survey provides important 

information about conditions in 

individual depository libraries and the 

FDLP as a whole. The results of the 

survey will be finalized and reported to 

the depository library community in the 

Spring of 2014.

During the year, approximately 

15,400 new Government titles in 

tangible and intangible formats were 

acquired for the FDLP, 15,200 titles were 

cataloged, and more than 1.8 million 

copies of Government publications 

in tangible formats were distributed 

to Federal depository libraries across 

the Nation. While the number of titles 

cataloged decreased temporarily from 

the previous year as GPO implemented 

RDA, the number of copies of tangible 

formats distributed increased by more 

than 386,000.

Federal Digital System GPO has been 

providing online access to congressional 

and Federal agency documents since 

1994. Today, FDsys provides the majority 

of congressional and Federal agency 

content to the FDLP as well as other 

online users. This system has reduced 

the cost of providing public access to 

Government information significantly 

when compared with print, while 

expanding public access dramatically 

through the Internet. Public utilization 

of FDsys has increased substantially. In 

2013, FDsys recorded its 500 millionth 

document retrieval since replacing our 

original online Web site, GPO Access. 

Currently, FDsys serves as a secure 

preservation repository for nearly 1 

million individual titles from all three 

branches of the Government, the only 

system of its kind in operation today. 

FDsys averaged 38.7 million downloads 

per month during 2013, with a spike 

up to 47.5 million retrievals during the 

recent Government shutdown. 

GPO is continually adding collections 

to FDsys to provide increased public 

access to Government information. In 

2013, we partnered with the Treasury 

Department and completed a pilot project to make historical, digitized content 

from the Treasury library available on 

FDsys. Through the project, the Treasury 

Reporting Rates of Exchange, 1956-2005, 

which list the exchange rates of foreign 

currencies based on the dollar, are now 

available on FDsys. GPO also added 

these historical Treasury titles: the Official 

Register of the United States; an Account of 

the Receipts and Expenditures of the United 

States; the Combined Statement of the Receipts and Expenditures of the United States, 

1872-1983; and Internal Revenue Cumulative Bulletins, 1919-2008. Also in 2013, 

GPO began development of the next 

generation of FDsys, which will provide 

improved search and retrieval, expanded 

storage, and a mobile capability.

Digital Information Dissemination 

Achieves Savings Since 1995, the first 

full year of our online operations, the 

cost of printing and distributing millions 

of copies of printed publications to Federal depository libraries nationwide was 

funded at $17.6 million, the equivalent 

of $26.9 million in constant dollars. For 

GPO and Open, and Transparent Government (continued)
19

FY 2013, we funded this function at $8.5 

million, a reduction of more than 67% 

in constant dollar terms. Along with occasional appropriations to GPO’s Revolving Fund, we have used the savings from 

reduced printing and distribution costs 

to pay for the establishment and operation of our digital information dissemination operations, achieving additional 

savings for the taxpayers and vastly 

expanding public access to Government 

information.

Sequester and Shutdown FDsys operations continued without being impacted 

by the sequester. In preparation for the 

Government shutdown that occurred 

in October 2013, GPO excepted a small 

workforce from being furloughed to 

ensure that the FDsys congressional and 

regulatory information collections were 

continually updated to provide public 

access to this information. The other collections on FDsys were not updated but 

were still accessible. 

Publication and Information Sales 

Program Along with the FDLP and 

FDsys, which are no-fee public access 

programs, GPO’s Publication and 

Information Sales business unit provides 

public access to Government information 

through a retail and online bookstore 

making Federal agency publications 

available to the public. GPO has more 

than 4,000 Federal titles available 

in print and more than 300 titles 

available as eBooks for sale. In 2013, we 

launched an upgraded version of the 

U.S. Government Online Bookstore. 

The new website includes improved 

search capabilities and usability, option 

to browse for products by topic or by 

Government agency, enhanced product 

detail page that includes product image 

and description, suggested related items, 

reviews, author information and links to 

other available formats, and option to 

sort products alphabetically, by date of 

publication, popularity, or price. 

As a one-stop shop for eBook design, 

conversion, and dissemination, our 

presence in the eBook market continues 

to grow. We now have agreements with 

Apple, Google’s eBookstore, Barnes & 

Noble, OverDrive, Ingram, Zinio, and 

other online vendors to make popular 

Government titles such as the Public 

Papers of the President-Barack Obama, 

the Financial Crisis Inquiry Report, and 

Ponzimonium: How Scam Artists are 

Ripping Off America available as eBooks. 

Additionally, we are working with 

Congress to make various publications, 

including Women in Congress, Black 

Americans in Congress, and the upcoming 

Hispanic Americans in Congress, available 

as eBooks.

Reimbursable Distribution Program 

We operate distribution programs for 

the information products of other Federal agencies on a reimbursable basis, 

including General Services Administration (GSA) Consumer Information 

Center publications, from our facilities 

in Pueblo, CO, and Laurel, MD.

GPO’s Congressman Frank Evans 

Document Distribution Center in 

Pueblo, CO, has achieved the milestone 

of distributing more than one billion 

consumer publications since it opened 

in 1971. The one billionth publication 

distributed was the GSA’s Consumer 

Information Catalog, which lists 

approximately 200 free and lowcost publications 

available to the 

public from 

Federal agencies 

on topics related 

to money, health, 

employment, housing, Federal programs, 

education and travel. The Center started 

distributing the catalog in 1973. The 

Center has a reputation for excellent 

customer service and consistently scores 

high on customer satisfaction surveys.

GPO and Social Media We use 

Facebook, Twitter, YouTube, Pinterest, 

and a book blog to share information 

about GPO news and events and to 

promote specific publications and 

products. By the end of 2013, we had 

2,731 likes on our Facebook page, 5,000 

followers on Twitter, 93,700 views 

across nearly 53 videos on YouTube, 

and 288 followers pinning on 15 boards 

of Federal Government information. 

Connecting people through things 

they find interesting is the founding 

principle of Pinterest and a natural fit 

with GPO’s core mission of Keeping 

America Informed. GPO uses Pinterest to 

share historic photos, videos, products, 

and Government publications with the 

public. Our book blog, Government 

Book Talk, focuses on increasing the 

awareness of new and classic Federal 

publications through reviews and 

discussions.

Representatives of multiple Federal 

agencies attended GPO’s seminar on 

eBook publishing in 2013.
20

Revolving Fund Unlike most Federal 

agencies, GPO operates like a business, 

providing products and services for 

Congress, Federal agencies, and the 

public and receiving payment in return. 

All GPO activities are financed 

through a business-like Revolving Fund, 

established by section 309 of Title 44, 

U.S.C. The Fund is used to pay all of 

GPO’s costs in performing congressional 

and agency publishing activities. It 

is reimbursed from payments from 

customer agencies, sales to the public, 

and transfers from GPO’s two annual 

appropriations: the Congressional 

Printing and Binding Appropriation and 

the Salaries and Expenses Appropriation 

of the Superintendent of Documents. 

The Revolving Fund functions as 

GPO’s checking account with the 

U.S. Treasury. GPO pays its expenses 

from this account either with a 

check or electronic transfer. The fund 

is reimbursed when the Treasury 

Department transfers money from 

agency appropriations accounts to 

the fund when agencies pay GPO 

invoices. This procedure also applies 

to the payment of transfers from the 

Congressional Printing and Binding and 

Salaries and Expenses Appropriations, 

and to deposits of funds collected from 

sales to the public.

GPO maintains a cash balance in the 

Revolving Fund that is used to pay all 

expenses. The cash balance fluctuates 

daily as payments are received from 

agency reimbursements, customer 

payments, and transfers from GPO 

appropriations.

Under GPO’s system of accrual 

accounting, annual earnings generated 

since the inception of the Revolving 

Fund have been accumulated as retained 

earnings. Retained earnings make it 

possible for GPO to finance many 

of its capital requirements. However, 

appropriations for essential investments 

in technology and plant upgrades are 

also requested annually.

Appropriated Funds GPO’s 

Congressional Printing and Binding 

Appropriation is used to reimburse the 

Revolving Fund for costs of publishing 

the documents required for the use of 

Congress in digital and print formats, 

as authorized by the provisions of 

chapters 7 and 9 of Title 44, U.S.C. The 

Salaries and Expenses Appropriation 

of the Superintendent of Documents 

is used to pay for costs associated with 

depository distribution, cataloging and 

indexing, statutory distribution, and 

international exchange distribution. 

The reimbursements from these 

appropriations are included in GPO’s 

Revolving Fund as revenue for work 

performed. Appropriations are also 

made to GPO’s Revolving Fund for 

specified purposes, to remain available 

until expended. 

Unlike most appropriations to other 

Federal agencies, GPO’s appropriations 

generally are for work that GPO itself 

does not control. The Congressional 

Printing and Binding Appropriation in 

effect is an appropriation by Congress 

to cover the costs of its own printing 

and information product requirements. 

The appropriation is not available for 

expenditure for any purposes other 

than congressional printing. Congress 

plays a major role in controlling the 

rate of spending of the Congressional 

Printing and Binding Appropriation. 

While GPO does its best to estimate 

the volume of congressional printing in 

any given year, that volume can change 

due to circumstances beyond GPO’s 

control. However, GPO can and does 

affect the rate of spending under this 

appropriation by ensuring the efficiency 

of its operations.

Like the Congressional Printing and 

Binding Appropriation, the Salaries and 

Expenses Appropriation is available 

only for specific programs: depository 

distribution, cataloging and indexing, 

statutory distribution, and international 

exchange. The publishing activities of 

the Government determine the workload 

handled by these programs, not GPO. 

However, GPO can affect the level of 

funding by ensuring the efficiency of its 

information dissemination operations.

For FY 2013, GPO received total 

appropriations (after application of the 

sequester) of $117.5 million, including 

$82.1 million for Congressional 

Printing and Binding, $31.5 million 

for the Salaries and Expenses of the 

Superintendent of Documents, and 

$3.9 million for the Revolving Fund for 

information technology and facilities 

repairs. This represented a reduction of 

$8.7 million overall from the previous 

year’s total of $126.2 million in 

appropriated funding.

In early FY 2013, before the sequester, 

GPO requested a budget of $128.5 

million for FY 2014, including $79.7 

million for Congressional Printing and 

Binding, $35.8 million for the Salaries 

and Expenses of the Superintendent 

of Documents, and $12.9 million for 

the Revolving Fund for information 

technology and facilities repairs. GPO 

was able to reduce the requirements 

for new funding for the congressional 

and Superintendent of Documents 

accounts by the transfer of unexpended 

balances of prior year appropriations 

forward. Final funding for FY 2014 

was approved in Public Law 113-76 

at $119.3 million, including $79.7 

million for Congressional Printing and 

Binding, $31.5 million for the Salaries 

and Expenses of the Superintendent of 

Documents, and $8.1 million for the 

Revolving Fund.

GPO Finances
21

of passports), procured printing, sales 

of publications, agency distribution 

services, and all administrative support 

functions, were financed through the 

Revolving Fund by revenues generated by 

payments from agencies and sales to the 

public. 

The largest single component of 

GPO’s annual expenses is procured 

printing. In FY 2013, the cost of procured 

printing totaled $277.2 million, or about 

40% of total expenses. The second largest component was personnel compensation and benefits. These totaled $202.7 

million, or about 29% of all expenses.

FY 2013 Financial Results Revenue totaled $718.9 million while total expenses 

were $690.9 million. In addition, there 

was a $1.4 million beneficial adjustment 

reflecting a decrease in the GPO long 

term liability for workers’ compensation. 

Before that adjustment and net of the 

accumulation of $20.7 million in reimbursements from the State Department 

reserved for capital investment supporting passport production, GPO’s operating net income was $7.3 million. In 

addition to increased revenues over the 

previous year, FY 2013 was the first year 

in which the reduction in costs due to 

the 2011-2012 buyout was fully realized. 

Additionally, management strengthened 

the agency’s cost-containment program 

in anticipation of the government-wide 

impact of sequestration on Federal 

agency orders for printing and information product work.

Funds appropriated directly by 

Congress provided nearly $110.4 million 

(including funds from the Congressional 

Printing and Binding and Salaries and 

Expenses appropriations, along with 

appropriations to the Revolving Fund), 

or about 15% of total revenue. All 

other GPO activities, including inplant 

printing (which includes the production 
22

2013 U.S. Government Printing Office Financial Statements

The following summary tables are excerpts from the full audited consolidated financial statements and are not intended to 

substitute for the full audited financial statements presented at http://www.gpo.gov/pdfs/congressional/archives/2013_

AnnualReport.pdf.

For fiscal year 2013 (October 1, 2012 - September 30, 2013) the GPO received a clean audit opinion on its consolidated 

financial statements from KPMG LLP.

GPO achieved positive financial results before other operating expenses and Passport Capital Reserve. Net income was 

$29.5 million in fiscal 2013 compared to net income of $2.9 million in fiscal 2012. 

GPO’s fiscal 2013 operating income included $20.7 million in reserved funds for planned capital investments for 

increasing production capacity for the next generation U.S. passport as arranged and agreed between the Department of 

State and GPO. Similar type funds totaled $4.2 million for fiscal year 2012. In both years, this resulted in revenues without 

corresponding expenses in the income statements. The expenses associated with these revenues will be reflected in future 

financial statements as these SID capital projects are completed and put into use.

Other operating expenses in 2013 included a credit of $1.4 million to reflect a reduction to the Agency’s future workers’ 

compensation liability. This long-term workers’ compensation credit adjustment is required to accurately record the actuarially 

determined liability at September 30, 2013. After adjusting for these two unique transactions, GPO had a net income after 

capital projects reserve and workers’ compensation liability adjustment of $7.3 million in fiscal 2013 compared to a net 

income after capital projects reserve and workers’ compensation liability adjustment of about $1 million in fiscal 2012. 

In fiscal 2013, operating revenue increased while operating expenses decreased from fiscal 2012. Operating revenue was up 

$5.1 million, or less than 1 percent (to $718.9 million from $713.8 million), while operating expenses dropped $17.7 million, 

or 2.5 percent (to $690.9 million from $708.6 million). The moderate increase in revenue was primarily due to an increase 

in Printing and Binding revenue partially offset by decreases in Appropriation, Sales of Publications, and Agency Distribution 

revenues.

The Security and Intelligent Documents (SID) business unit drove the increase in revenue as a result of strong demand 

for U.S. passports. Passport production grew by 30 percent to 13 million passport books in fiscal 2013 from 10 million units 

in fiscal 2012. In addition, SID recorded increases in other high-value products including the Trusted Traveler card and other 

smart card secure credential products in the year-on-year comparison. 

Cash provided by operations decreased by $44 million from the prior year due primarily to a reduction in customer 

deposit collections (deferred revenues). Operations provided approximately $56.8 million in cash in fiscal 2013 compared to 

$100.8 million in cash in fiscal 2012. The GPO invested $36.3 million for capital items in fiscal 2013 compared to about 

$18.7 million in fiscal 2012. 

Summary Statements of Cash Flows (in thousands) 2013 2012

Cash Flows from Operating Activities

Net Income $ 29,458 $ 2,858

Provided by (used in) operating activities

Depreciation and other 21,896 21,463

(Increase) decrease in assets 21,155 30,066 

(Increase) decrease in liabilities (14,259) 44,070

(Increase) decrease in workers’ compensation liability (1,418) 2,380

Total adjustments 27,374 97,979 

Net cash provided by operating activities 56,832 100,837

Cash flows used in investing activities (36,289) (18,655)

Cash flows provided by financing activities 7,117 11,571

Net Increase in cash balance $ 27,660 $ 93,753

Summary of Net Income (in thousands) 2013 2012

Net Income $ 29,458 $ 2,858

Less Passport Capital Projects Reserve (20,740) (4,200)

Increase (Decrease) in Workers’ Compensation Liability (1,418) 2,380

Net Income After Capital Projects Reserve and

 Workers’ Compensation Liability Adjustment $ 7,300 $ 1,038

22
2323

Summary Balance Sheets (in thousands) 2013 2012

Assets

Current Assets

Fund balance with Treasury $ 508,267 $ 480,607 

Accounts receivable, net 123,224 141,176 

Inventory, net 28,804 31,891 

Prepaid expenses 1,040 1,156

Total current assets 661,335 654,830 

General property, plant and equipment, net 114,900 100,473

Total Assets $ 776,235 $ 755,303

Liabilities and Net Position

Current Liabilities

Accounts payable and accrued expenses $ 96,155 $ 109,188 

Deferred revenues 198,947 200,429

Accrued annual leave 9,707 9,417 

Total current liabilities 304,809 319,034 

Noncurrent Liabilities

Workers’ compensation liability 69,106 70,524

Total Liabilities 373,915 389,558 

Net position

Cumulative results of operations

Retained earnings 197,604 168,146

Invested capital 92,879 92,879

Unexpended appropriations 111,837 104,720

Total Net Position 402,320 365,745

Total Liabilities and Net Position $ 776,235 $ 755,303

The GPO’s Balance Sheet continued to strengthen as a result of the operating performance. Working capital increased by 

$20.7 million, to $356.5 million in fiscal 2013 from $335.8 million in fiscal 2012, and total current assets increased by $6.5 

million, to $661.3 million in fiscal 2013 from $654.8 million in fiscal 2012. 

Total assets grew by $20.9 million to $776.2 million in 2013 from $755.3 million in 2012. Cash increased to $508.3 

million in fiscal 2013 from $480.6 million in fiscal 2012, due primarily to a decrease in accounts receivable combined with 

an increase in unrestricted cash. Also contributing to the increase in cash in fiscal 2013 was an increase of $7.1 million in 

unexpended appropriations from fiscal 2012. 

GPO ended fiscal 2013 with retained earnings of $197.6 million, compared to $168.1 million at the end of fiscal 2012.
24

PUBLIC PRINTER

DEPUTY PUBLIC PRINTER 

GENERAL COUNSEL CHIEF ADMINISTRATIVE 

OFFICER

SUPERINTENDENT

OF DOCUMENTS CHIEF OF STAFF

INSPECTOR GENERAL

HUMAN CAPITAL LABOR RELATIONS

EQUAL EMPLOYMENT 

OPPORTUNITY

INFORMATION TECHNOLOGY 

AND SYSTEMS

SECURITY SERVICES

PLANT OPERATIONS

CUSTOMER SERVICES

LIBRARY SERVICES AND 

CONTENT MANAGEMENT

PROGRAMS, STRATEGY 

AND TECHNOLOGY

CONGRESSIONAL

RELATIONS

PUBLIC RELATIONS

OFFICIAL JOURNALS

OF GOVERNMENT

PUBLICATIONS AND 

INFORMATION SALES

SECURITY AND 

INTELLIGENT DOCUMENTS

March, 2014

OFFICIAL DIGITAL SECURE

ACQUISITIONS

CHIEF FINANCIAL OFFICER

STRATEGY ADMINISTRATION PUBLIC ACCESS LEGAL FINANCE

MARKETING

U.S. Government Printing Office Organizational Chart
GPO’s main Web site: www.gpo.gov

GPO’s Federal Digital System: www.fdsys.gov

Facebook: http://www.facebook.com/USGPO

Twitter: http://twitter.com/USGPO

Pinterest: http://pinterest.com/usgpo

YouTube: http://www.youtube.com/user/gpoprinter

Government Book Talk blog: http://govbooktalk.gpo.gov/
U.S. GOVERNMENT PRINTING OFFICE

732 North Capitol Street, NW, Washington, DC 20401

www.gpo.gov | Keeping America Informed | www.fdsys.gov

Facebook http://www.facebook.com/USGPO

Twitter https://twitter.com/usgpo

Pinterest http://pinterest.com/usgpo/

YouTube http://www.youtube.com/user/gpoprinter

Government Book Talk Blog http://govbooktalk.gpo.gov
FINANCIAL YEAR IN REVIEW

FY 2013 AND 2012
 

U. S. Government Printing Office | Financial Year In Review – FY 2013 1

 

I. Management Discussion and Analysis (Unaudited).............................................................................................. 2 

 Mission.................................................................................................................................................................. 3 

 Basis of Financial Reporting ............................................................................................................................. 3 

 Programs and Operations ................................................................................................................................. 4

 Funding ......................................................................................................................................................... 4 

 Programs and Operations Overview ............................................................................................................. 5 

 Management Initiatives to Improve GPO Operations................................................................................... 7 

 Financial Position and Results for Fiscal Year 2013.......................................................................................10

 Consolidated Balance Sheets ........................................................................................................................10 

 Consolidated Statements of Revenues, Expenses, and Changes in Retained Earnings................................10 

 Consolidated Revenues..........................................................................................................................11 

 Consolidated Expenses ..........................................................................................................................13 

 Changes in Retained Earnings...............................................................................................................15 

 Consolidated Statements of Cash Flows.......................................................................................................16 

 Performance Measures... ..................................................................................................................................16 

 Operating Performance Measures.................................................................................................................16 

 Financial Performance Measures..................................................................................................................17 

 Possible Future Effects of Existing Events and Conditions............................................................................18

 Fiscal Year 2014 Financial Projections............................................................................................................20

II. Inspector General’s Report....................................................................................................................................21

III. Independent Auditors’ Report...............................................................................................................................26

IV. Financial Statements........................................................................................................................................38

 Consolidated Balance Sheets.............................................................................................................................39

 Consolidated Statements of Revenues, Expenses, and Changes 

 in Retained Earning.........................................................................................................................................40

 Consolidated Statements of Cash Flows...........................................................................................................41

 Notes to the Financial Statements.....................................................................................................................42

 1. Summary of Significant Accounting Policies................................................................................................42

 2. Fund Balance with Treasury...........................................................................................................................43

 3. Accounts Receivable, Net ..............................................................................................................................51

 4. Inventory, Net.................................................................................................................................................52

 5. Prepaid Expenses............................................................................................................................................53

 6. General Property, Plant and Equipment, Net .................................................................................................53

 7. Accounts Payable and Accrued Expenses......................................................................................................54

 8. Deferred Revenues..... ...................................................................................................................................54

 9. Workers’ Compensation Liability ..................................................................................................................55

 10. Commitments .................................................................................................................................................56

 11. Contingencies.... ............................................................................................................................................56

 12. Net Position.. .................................................................................................................................................57

 13. Appropriated Funds........................................................................................................................................60

 14. Employee Benefit Plans .................................................................................................................................62

 15. Major Customers............................................................................................................................................63

 16. Subsequent Events..........................................................................................................................................63

Acronym List.....................................................................................................................................................................64
 

 

U. S. Government Printing Office | Financial Year In Review – FY 2013 2

 SECTION I 

MANAGEMENT 

DISCUSSION 

AND

ANALYSIS 

(UNAUDITED) 

 

 

 
Section I: Management Discussion and Analysis

U. S. Government Printing Office | Financial Year In Review – FY 2013 3

U.S. Government Printing Office 

Management Discussion and Analysis

As of September 30, 2013

Mission

The core mission of the U.S. Government Printing Office (GPO or Agency) is Keeping America 

Informed, by producing, protecting, preserving, and distributing the official information products 

and publications of the Federal Government. To ensure Federal information is readily available to 

citizens, GPO makes information accessible in an array of communication mediums from secure 

digital documents, databases, and mobile web applications that are accessible through the Internet 

to traditional printed ink-on-paper products. GPO was created on June 23, 1860, with the 

enactment of Congressional Joint Resolution 25. GPO’s first day of operations was March 4, 

1861. 

 

Basis of Financial Reporting

GPO’s consolidated financial statements are prepared pursuant to the requirements of Title 31 

United States Code (U.S.C.), Money and Finance, § 3515, Financial Statements of Agencies. The 

consolidated financial statements have been audited by an independent external auditor in 

accordance with Title 44 U.S.C., Public Printing and Documents, § 309, Revolving Fund for 

Operation and Maintenance of Government Printing Office. 

The consolidated financial statements are prepared from GPO’s financial system on the accrual 

basis of accounting in conformity with U.S. generally accepted accounting principles (GAAP). 

Under the accrual basis, revenues are recognized (recorded) when earned, and expenses are 

recognized when incurred, without regard to the receipt or the payment of cash. 

GPO’s consolidated financial statements and accompanying notes provide information on the 

Agency’s financial position, results of operations, changes in net position, and cash flows, and 

disclose significant financial and economic events that may impact GPO, in conformity with 

applicable laws, regulations, standards, and policies relevant to financial reporting. GPO is 

committed to maintaining strong financial systems and internal controls to ensure accountability, 

integrity, and reliability. GPO’s internal controls are designed to provide reasonable assurance 

that obligations and costs comply with applicable laws and regulations and are within budgetary 

limits; that funds, property, and other assets are safeguarded against loss from unauthorized 

acquisition, use, or disposition; and that transactions are properly recorded. 

GPO Instruction 825.18A, Internal Control Program, establishes the internal control standards 

and assessment methodology employed by GPO to ensure adequate and effective systems of 

management control and compliance with applicable laws and regulations. Management monitors 

the internal control systems and regularly conducts vulnerability assessments and internal control 

reviews of GPO’s programs, operations, and other activities. 

GPO’s Office of the Inspector General (OIG) monitors the Internal Control Program at GPO and 

keeps the Public Printer informed of management’s progress in addressing internal control 

deficiencies identified in audits, reviews, and investigations. The OIG and occasionally the 
Section I: Management Discussion and Analysis

U. S. Government Printing Office | Financial Year In Review – FY 2013 4

Government Accountability Office (GAO) conduct audits of GPO’s programs and operations, and 

as such, evaluate management controls. GPO’s Internal Control Program, along with 

recommendations from audits, reviews, and investigations, has strengthened management controls 

and improved the economy, efficiency, and effectiveness of GPO’s programs, operations, and 

other activities. 

Programs and Operations 

The programs and operations managed by GPO are based on various public laws codified in Title 

44 U.S.C. GPO’s statutory responsibilities include fulfilling the printing and information product 

needs of the Federal Government and distributing official Federal publications to the public. 

Funding 

GPO’s programs and operations are funded through a business-type Revolving Fund, authorized 

by Title 44 U.S.C. and by annual and certain no-year and multi-year appropriations provided by 

the U.S. Congress. GPO’s Revolving Fund is authorized to be self-sustaining, without fiscal year 

limitations applicable to most annual appropriations. The Revolving Fund pays for the cost of the 

Agency’s programs and operations and is reimbursed at rates and prices that are intended to 

recover the full cost of goods and services delivered to customers. GPO’s rates and prices for 

products and services are developed using estimates of direct labor and direct material expenses, 

overhead expenses, and anticipated volumes. 

The major sources of reimbursement to GPO’s Revolving Fund are: 

 Payments from Federal customers for printing and binding, including U.S. passports and 

other secure credential documents and cards, blank paper and paper products, and 

information products and design services; 

 Sales of Government publications and information products to the general public,

bookstores, bookdealers, and businesses; and

 Fund transfers from the Congressional Printing and Binding (CP&B) Appropriation and 

the Salaries and Expenses (S&E) Appropriation of the Superintendent of Documents for 

work performed and authorized to be billed to these appropriations. 

The CP&B and S&E appropriations reimburse GPO’s Revolving Fund for costs incurred to 

produce congressional work and fulfill statutory requirements to disseminate Federal Government 

information to the public, respectively. Reimbursements to the Revolving Fund from the CP&B 

and S&E appropriations are recorded as revenue when related liabilities are incurred. 

Unexpended CP&B and S&E appropriation balances may be authorized to be transferred to the 

Revolving Fund for these purposes with the approval of the House and Senate Appropriations 

Committees. Otherwise, unexpended annual appropriations are returned to the Department of the 

Treasury after five years. 

Congress has also made no-year and multi-year appropriations available to GPO’s Revolving 

Fund for specific purposes. For example, appropriations have been made for building repairs and 

improvements, security enhancements, information systems, and workforce retraining. 
Section I: Management Discussion and Analysis

U. S. Government Printing Office | Financial Year In Review – FY 2013 5

Programs and Operations Overview

GPO is organized into separate business units to carry out the various programs and operations of 

the Agency. An overview of these business units follows. 

Official Journals of Government – The Official Journals of Government business unit 

provides support services to the U.S. Senate and U.S. House of Representatives and their 

committees regarding the printing, binding, and electronic provision of information products 

required to carry out the legislative schedule and daily operations. This support includes the 

production of the Congressional Record, bills, reports, hearings, committee prints, and other 

authorized documents.

This business unit also works in close partnership with the Office of the Federal Register (OFR) 

to coordinate the timely production of the official documents of the OFR including the daily 

Federal Register, Code of Federal Regulations, List of CFR Sections Affected (LSA), and the 

Public Papers of the Presidents of the United States.

Plant Operations – The Plant Operations business unit publishes, in print and online, the 

important official journals of the Federal Government, along with many other Federal 

Government documents that are available to the public. This business unit provides Congress with 

all legislative printing and binding services, including overnight production of the Congressional 

Record, and congressional bills, reports, hearings, and other documents. GPO also produces the 

daily Federal Register and the Code of Federal Regulations for the Executive Branch. 

Congressional and Federal Register documents created in digital formats are posted on GPO's 

Federal Digital System (FDsys) (www.fdsys.gov). 

Security and Intelligent Documents – This business unit prints, manufactures, and 

distributes secure credentials, documents, forms, tickets, and smartcards for other Federal agency 

customers. These security products and services incorporate advanced electronic technologies and 

integrated security features to prevent fraud and counterfeit activities. Security and Intelligent 

Documents (SID) products and services include the production of all passports, secure diplomatic 

drivers licenses, and protocol cards for the U.S. Department of State. Additionally, SID supports 

the U.S. Department of Homeland Security’s Trusted Traveler border crossing smartcard program 

as well as the Homeland Security Presidential Directive Personal Identity Verification (HSPD-12 

PIV) card program used for access to Federal facilities and systems. SID also provides secure 

products and services for the U.S. Department of Health and Human Services, the U.S. 

Department of Defense, and the District of Columbia (DC) government. 

SID operates within a certified International Organization for Standardization (ISO) 9001 

production and quality control environment. SID protects the Personally Identifiable Information 

(PII) data of customers used in the personalization of credentials, and is certified by the General 

Services Administration (GSA) as the only Government entity capable of graphically 

personalizing the Nation’s HSPD-12 PIV smart cards now used in all agencies for physical access 

to Federal Government facilities and logical access to Federal Government computer systems. 

SID accomplishes all this by leveraging GPO’s long and successful security printing tradition 

with expertise in biometrics, advanced chip and antenna technologies, and state-of-the-art security 

features found in inks, threads, holograms, paper, and plastic substrates. 
Section I: Management Discussion and Analysis

U. S. Government Printing Office | Financial Year In Review – FY 2013 6

Customer Services – The vast majority of the Federal Government’s printing needs 

requisitioned through GPO are contracted out to the private sector using Customer Service’s 

partnerships with commercial printers and the overall information industry. This business model 

enables the Federal Government to take full advantage of the vast resources, expertise, and 

specialization within the private sector, and ensures open market competition for printing 

contracts among thousands of businesses, large and small. 

The Customer Services business unit provides pre-procurement consulting, print procurement 

(including specification writing, bid and solicitation management, and contract awarding), as well 

as life cycle contract administration to Federal customers. Customer Service teams are assigned to 

service specific customer agencies, and are in continuous contact with customer agency printing 

officers and program managers to maintain high levels of satisfaction and to expand their 

expertise on each agency’s specific mission, needs, and challenges. Customer Service’s 

performance measures for on-time delivery and quality acceptance (see Performance Measures 

section) underscore the effectiveness of this partnership between industry and Government. 

Creative and Digital Media Services – GPO’s Creative and Digital Media Services provides 

graphic design solutions, multimedia and Web services to Congress, the White House, and 

Federal agencies and commissions. This business unit assists customer agencies by creating 

effective visual communications solutions for their projects using the latest technology. The team 

is comprised of graphic designers who specialize in art, graphic design, web design and 

development, e-book design, illustration, photography, and multi-media. This business unit’s 

work includes designs for Presidential Inauguration materials, the U.S. passport and numerous 

other security design efforts. Other examples of recent Web design and development projects for 

agency clients include the National Interagency Fire Center, U.S. Department of Commerce, 

Federal Mine Safety and Health Review Commission, Open World Leadership Center, and the 

Federal Housing Finance Agency Office of the Inspector General, among others. This business 

unit also offers hosting services for Federal agency customers looking for in-government webhosting solutions.

Publication and Information Sales – This business unit increases public access to U.S. 

Government information through the sale of Government information products, primarily through 

GPO’s U.S. Government Bookstore website (http://bookstore.gpo.gov/). This site allows the 

public to purchase hard-copy and e-book copies of Federal Government publications and 

subscriptions. This business unit also works with commercial sales channels, including book 

distributors nationwide, to enhance Government information distribution. Publication and 

Information Sales also provides customer agencies with expert advice on how to make their 

publications more user-friendly and commercially viable. 

Reimbursable Services – This business unit provides a variety of global order fulfillment, 

inventory, and list management services to Federal agencies through distribution centers in 

Pueblo, CO, and Laurel, MD. This business unit also supports the GSA’s popular Federal Citizen 

Information Center in Pueblo. 

Library Services and Content Management – This business unit supports and manages the 

Federal Depository Library Program (FDLP), the Cataloging and Indexing Program, the By-Law 

Program, and the distribution component of the International Exchange Service of the Library of 
Section I: Management Discussion and Analysis

U. S. Government Printing Office | Financial Year In Review – FY 2013 7

Congress (LOC). The FDLP ensures equitable, secure, convenient, and permanent no-fee access 

to published U.S. Government information. 

The FDLP includes 1,190 designated Federal depository libraries throughout the United States 

and its territories and provides the American public free access to U.S. Government publications 

in tangible and electronic collections. Library Services and Content Management’s major 

operational functions include cataloging, acquiring new tangible and electronic publications for 

the FDLP, program planning, distributing publications to libraries, education and outreach, library 

technical services, and archival management. Working with other GPO units, this business unit 

also supports the enhancement and promotion of, and education about GPO’s FDsys 

(www.fdsys.gov), which provides direct online access to Federal Government publications. Other 

online services managed by this business unit include the Catalog of U.S. Government 

Publications (http://catalog.gpo.gov), the FDLP Desktop (www.fdlp.gov), the FDLP Community 

Site (http://community.fdlp.gov), and Ben’s Guide to the U.S. Government 

(http://bensguide.gpo.gov). 

Management Initiatives to Improve GPO Operations

GPO’s Strategic Plan for Fiscal Years 2014 through 2018 outlines goals the Agency will work 

toward in order to carry out its mission of Keeping America Informed in the evolving Digital Age. 

Keeping America Informed in this age requires that the information products and publications of 

the Federal Government offered are official, digital, and secure. The GPO Strategic Plan 

promotes the Agency’s core values of commitment, customer service, dependability, diversity, 

integrity, and teamwork. The document servers as a roadmap for the Agency in satisfying its 

stakeholders, strengthening GPO’s organizational foundation, offering benchmark products and 

service to its customers and pro-actively engaging its workforce. All Agency policy decisions, 

budgeting and capital investment decisions, workforce development, industry partnerships, 

customer relations, and operational decision-making are based on this strategic plan. The 

complete version of GPO’s Fiscal Years 2014 through 2018 Strategic Plan and previous plans are 

available online at http://www.gpo.gov/pdfs/about/2014-2018_GPO_Strategic_Plan.pdf. The 

following are some of the strategic accomplishments GPO achieved in fiscal 2013: 

FDsys Achievements

GPO’s FDsys is the content management, preservation repository, and advanced search engine 

system that allows users to search, browse, access, and download Federal information. Titles 

include the official versions of the: Congressional Record, Federal Register, Budget of the U.S. 

Government, Compilation of Presidential Documents, U.S. Code, Code of Federal Regulations, 

and many others. In fiscal 2013, GPO implemented the following improvements for FDsys users:

Provided Bulk Data Download Support for House Bills in XML – GPO made House 

bills available in XML format through the FDsys Bulk Data repository, beginning with the 

113th Congress.

Developed Code to Support the Digitized Bound Congressional Record – GPO 

provided access through FDsys to digitized historical content included analysis, design, and 

development as well as collaboration with the Library of Congress on descriptive metadata 

creation. The Library of Congress is currently digitizing the historic Bound Congressional 
Section I: Management Discussion and Analysis

U. S. Government Printing Office | Financial Year In Review – FY 2013 8

Record for ingest by GPO into FDsys in fiscal 2014. 

Published the Annotated Constitution – GPO published on the Web, and also made 

available as a new app, The Constitution of the United States of America (Analysis and 

Interpretation), in collaboration with the Library of Congress. This publication allows analysis 

and interpretation of Constitutional case law accessible for free to anyone with a computer or 

mobile device. 

Published Department of the Treasury Content – GPO added free, permanent, public 

access to five titles of digitized historical content from the Treasury Library. Titles include: 

Treasury Reporting Rates of Exchange, The Official Register of the United States, An Account 

of the Receipts and Expenditures of the United States, The Combined Statement of the Receipts 

and Expenditures of the United States, and The IRS Bulletins (1919-2008). 

Next Generation FDsys – GPO has started working on the next generation of FDsys which 

will include four interrelated initiatives: search engine refresh, responsive user interface 

design, usability testing and user interface improvements, and publication linking.

TIFF to JPEG 2000 Transformation – This effort enabled TIFF files conversion into 

compressed JPEG 2000 files via FDsys to save storage space for large digitized collections. 

United States Courts Opinions Collection – The number of courts available on FDsys 

was expanded from the initial 29 courts in fiscal 2012 to 64 courts in fiscal 2013. This includes 

U.S. District, Appellate, and Bankruptcy Court opinions from April 16, 2005, forward, per the 

E-Government Act of 2002. 

Publishing Achievements

In addition to printing the daily versions of the Congressional Record, Federal Register, and 

other previously mentioned titles, GPO accomplished the following initiatives in fiscal 2013 that 

advanced the Agency’s publishing role: 

Secure Document Materials Testing Laboratory SDMT – GPO’s Plant Operations 

purchased and installed a laboratory information management system that will allow the Plant 

to support SID and the Department of State in the development of the next generation passport 

and other secure documents. 

FDLP Desktop Replacement – GPO finalized implementation of the FDLP Desktop 

replacement, “beta.FDLP.gov,” that launched November 2012. The website was developed for 

viewing on multiple platforms, including mobile devices. 

Security Achievements

The Nation’s security program is supported by GPO’s role in producing secure credentials for 

Federal agencies. In addition to producing electronic U.S. passports for the U.S. Department of 

State GPO’s portfolio of secure credentials includes Trusted Traveler cards for Customs and 

Border Protection, HSPD-12 cards for the Department of Homeland Security, contractor IDs for 
Section I: Management Discussion and Analysis

U. S. Government Printing Office | Financial Year In Review – FY 2013 9

the Pentagon, and badges for visitors to the White House. 

Secure Federal Credentials – GPO plays a vital role in the security programs of our 

customers and our Nation. Over the last four years, GPO has produced more than 47 million of 

the latest-generation electronic passports for the Department of State. Proven passport 

capabilities are built into a family of secure credential products for our Agency customers. 

They acquire secure credential design, printing, manufacturing, personalization, and delivery—

all from GPO. Work is performed in Government facilities by Government employees with 

proper clearances. 

Smart Card and Credential Customers – SID worked closely with several Federal 

customers on the design, printing, personalization, and fulfillment of several product lines. 

These include U.S. Capitol Police (Inauguration Identification Documents), Department of 

State (United Nations Card), Homeland Security (Asian-Pacific Economic Cooperation 

Identification Documents), Transportation Security Administration (Transportation Worker 

Identification Card), Department of State (Border Crossing Card), and CIA (leather bound 

credentials). 

Card Personalization – SID successfully coordinated the GPO team that built-out, 

equipped and staffed a new Stennis Secure Credential Center and completed the project under 

budget. The site is live and operates every day to personalize Trusted Traveler Program cards. 

Other Notable Achievements

The Agency measures its production performance against commercial industry benchmarks and 

standards. In fiscal 2013, GPO received certifications and awards including the following. 

Industry Certifications – GPO Plant Operations secured and sustained the following best-inclass certifications: G7 Master Printer certification for GRACoL Proof, Digital Offset and Sheetfed Offset Printing; Graphic Arts Industry Color Viewing Standard ISO 3664:2009; and 

certification as an Institutional Member of the Library Binding Institute demonstrating 

compliance with ANSI/NISO/LBI Library Binding Standard Z39.78-2000. 

Green Initiatives – GPO Plant Operations secured Sustainable Green Printer (SGP) 

certification and completed a number of "green" projects to sustain this certification. This 

includes a chemistry neutralizing system to mitigate plate making environmental impact; new 

solvent recovery system to reduce Volatile Organic Compounds (VOC) emissions; and an 

upgrade of baler systems with Programmable Logic Controller (PLC)-equipped VariableFrequency Drives (VFD) to reduce electrical consumption. 

Optimization of GPO Office Space – GPO Plant Operations completed the build out of new 

spaces for tenants including the United States Commission for International Religious Freedom 

and the Architect of the Capitol. 
Section I: Management Discussion and Analysis

U. S. Government Printing Office | Financial Year In Review – FY 2013 10

Financial Position and Results for Fiscal Year 2013

The following is an overview of the financial position and operating results reflected in GPO’s 

basic financial statements as of and for the fiscal year ended September 30, 2013. 

Consolidated Balance Sheets 

The consolidated balance sheets present the combined amounts that GPO had available to use 

(assets) versus the amounts the Agency owed (liabilities), and the residual amounts (net position) 

after liabilities were subtracted from assets. 

GPO’s total assets, consisting of current assets and general property, plant and equipment, 

increased by $20.9 million (2.8 percent), to $776.2 million as of September 30, 2013, from $755.3 

million as of September 30, 2012. Current assets increased by $6.6 million, primarily due to a 

$27.7 million increase in fund balance with Treasury, an $18 million decrease in accounts 

receivable, and a $3.1 million decrease in inventory. The remaining increase in GPO’s total assets 

resulted from an increase in the value of general property, plant and equipment (PP&E) of $14.4 

million (14.3 percent) during fiscal 2013 (to $114.9 million as of September 30, 2013 from 

$100.5 million as of September 30, 2012). The increase in the value of PP&E during fiscal 2013 

was primarily due to the net effect of $36.3 million in capital acquisitions, which increased the 

value, offset by approximately $21.9 million in depreciation expense, which decreased the net 

value. 

GPO’s total liabilities (current and long-term) decreased by $15.6 million (4 percent), to $374 

million as of September 30, 2013, from $389.6 million as of September 30, 2012. The total 

decrease was primarily due to a decrease in current accounts payable and accrued expenses of 

approximately $13 million (11.9 percent) and a decrease in the long-term workers’ compensation 

liability of $1.4 million (2 percent). 

GPO’s net position increased to $402.3 million as of September 30, 2013 from $365.7 million as 

of September 30, 2012. The increase of $36.5 million (10 percent) in GPO’s net position was 

primarily the result of increases in unexpended appropriations of $7.1 million and retained 

earnings of $29.4 million. Unexpended appropriations increased as a result of the net of an 

increase in unexpended Revolving Fund appropriations of $2.6 million ($22.5 million at year-end 

2013 from $19.9 million at year-end 2012), and an increase in unexpended CP&B appropriations 

of $6 million ($63.8 million at year-end 2013 from $57.8 million at year-end 2012), which was 

offset by decreases in S&E appropriations of $1.4 million ($25.6 million at year-end 2013 from 

$27 million at year-end 2012).

Consolidated Statements of Revenues, Expenses, and Changes 

in Retained Earnings 

The consolidated statements of revenues, expenses, and changes in retained earnings present the 

accrued reimbursements for goods sold and services provided (revenues), the accrued cost of 

assets and services used (expenses) in the creation of revenues, and the changes, within the 

periods presented, of the accumulated net income of the Agency (changes in retained earnings). 
Section I: Management Discussion and Analysis

U. S. Government Printing Office | Financial Year In Review – FY 2013 11

Consolidated Revenues – GPO’s consolidated revenues (net of eliminations) are derived from 

four major sources: Printing & Binding; Appropriations; Sales of Publications; and Agency 

Distributions. Consolidated revenues were $718.9 million in fiscal 2013 and $713.8 million in 

fiscal 2012. The increase of $5.1 million (less than 1 percent) was attributable to an increase in 

Printing and Binding revenue and decreases in Appropriations, Sales of Publications, and Agency 

Distribution revenues. Printing and Binding revenues increased to $595.5 million in fiscal 2013 

from $584.3 million in fiscal 2012, an increase of $11.2 million (1.9 percent). Appropriations 

revenues decreased to $110.4 million in fiscal 2013 from $114.5 million in fiscal 2012, a $4.1 

million (3.6 percent) decrease. Sales of Publications revenue decreased by $1.8 million, to $7.8 

million in fiscal 2013 from $9.6 million in fiscal 2012. Agency Distributions revenues decreased 

to $5.3 million in fiscal 2013, down slightly from $5.4 million in fiscal 2012. 

■ Printing and Binding Revenues

GPO earns revenues from Federal Government customers for printing, binding, and related 

services performed by GPO business units and from work performed by commercial 

contractors. Printing and binding revenues were based on a system of rates, prices, and 

surcharges designed to recover costs. The revenues for printing and binding originate from the 

programs and operations of five business units at GPO: Plant Operations, Official Journals of 

Government, Security and Intelligent Documents, Customer Services, and Creative and 

Digital Media Services. The revenues earned from jobs produced by GPO employees are 

generally recognized on a value-added basis, as work is performed. Revenues from contracted 

jobs are generally recognized on the date that contract requirements are fulfilled, i.e., the date 

finished products are shipped by the contractor to the customer agency. Revenues from the 

production of passports for the U.S. Department of State are recognized at negotiated rates per 

passport at the time that the manufacturing process is completed. 

Plant Operations generated revenues of $52.5 million in fiscal 2013, compared with revenues 

of $51.4 million in fiscal 2012. This represents a moderate increase in work of $1.1 million 

(2.1 percent). Revenues were generated from the production of paper and digital versions of 

the Congressional Record and all other legislative materials, as well as other documents 

including the Federal Register and the Code of Federal Regulations. Plant Operations 

revenues in fiscal 2013 included $76.2 million from the CP&B Appropriations, compared to 

$80.2 million in fiscal 2012. 

Official Journals of Government generated revenues of $11.9 million in fiscal 2013, compared 

with revenues of $11.3 million in fiscal 2012. Revenues generated by providing 

administrative services to the U.S. Congress were approximately $5 million in fiscal 2013, 

compared to $4.8 million in fiscal 2012. Revenue from employees (printing specialists) 

detailed to House and Senate Committees was $4.5 million in each of the fiscal years 2013 

and 2012. 

Overall revenues for the Security and Intelligent Documents (SID) business unit increased to 

$230.8 million in fiscal 2013 from $179.3 million in fiscal 2012, or $51.5 million (28.7 

percent). SID’s major product is the U.S. passport. GPO produced about 13 million passports 

in fiscal 2013, compared to about 10 million in fiscal 2012. As a result, passport revenues 
Section I: Management Discussion and Analysis

U. S. Government Printing Office | Financial Year In Review – FY 2013 12

increased to $214.9 in fiscal 2013 from $168.8 million in fiscal 2012, an increase of $46.1 

million (27.3 percent). SID revenues in fiscal 2013 for the Trusted Traveler card and other 

smart card secure credentials for the U.S. Department of Homeland Security, other agencies, 

and the District of Columbia increased from $10.5 million in 2012 to $15.7 million in 2013, 

an increase of $5.2 million (50 percent). GPO manufactured 1.2 million smart cards in fiscal 

2013 compared to 849,000 in fiscal 2012, a 41.3 percent increase. 

Customer Services revenues decreased $41 million (12.1 percent) to $298.7 million in fiscal 

2013 from $339.7 million in fiscal 2012. Fiscal 2013 revenue decreased due to fewer 

customer orders from Defense Logistics Agency, U.S. Department of Health and Human 

Services, U.S. Department of the Treasury, U.S. Social Security Administration and U.S. 

Department of Commerce. Revenues from the GPOExpressSM program decreased $1 million 

to $6.1 million in fiscal 2013 from $7.1 million in fiscal 2012. The GPOExpressSM attained a 

milestone of its 100,000th order during fiscal year 2013 since program inception in 2005. 

Creative and Digital Media Services revenues were $1.6 million in fiscal 2013 compared with 

$2.6 million in fiscal 2012, a decrease of $1 million (38.5 percent). The decrease results from 

fewer requests from customer agencies for these services. 

■ Appropriation Revenues 

GPO receives annual, no-year, and multi-year appropriations from Congress to finance certain 

costs in accordance with the underlying appropriation act and enabling legislation. The 

Consolidated and Further Continuing Appropriations Act, 2013 (Public Law 113-6, March 17, 

2013) made a total of $117.5 million in annual appropriations available to the Agency for 

fiscal 2013. 

Revenues earned from appropriations provided to GPO totaled $110.4 million for fiscal 2013 

and $114.6 million for fiscal 2012. The decrease in appropriation revenue of $4.1 million (3.6 

percent) was primarily due to decreases in appropriation revenues from the CP&B and S&E

appropriations. Revenue from appropriations made directly to the Revolving Fund was $4.6 

million in fiscal 2013, which included $4 million from fiscal 2013 appropriations. In 

comparison, direct Revolving Fund appropriation revenue was $1.5 million in fiscal 2012, an 

increase of $3.1 million. Revolving Fund appropriation revenue is a reimbursement of 

qualifying expenses and is recognized when the qualifying expenses are incurred. The $4.6 

million recognized as revenues in fiscal 2013 included $3.4 million for FDsys implementation 

and approximately $712,000 for GPO’s composition system replacement software 

development project. In fiscal 2012, the $1.5 million recognized as revenues related to 

qualifying expenses of $500,000 for FDsys development and $1 million for roof and elevator 

repairs and infrastructure improvements. 

Revenues from the CP&B Appropriation were $76.2 million in fiscal 2013 compared to $80.2 

million in fiscal 2012, a decrease of approximately $4 million (5 percent). The annual CP&B 

Appropriation is used to fund printing and binding and related information product services 

provided to Congress by the Plant Operations business unit and services provided by the 

Official Journals of Government business unit. 
Section I: Management Discussion and Analysis

U. S. Government Printing Office | Financial Year In Review – FY 2013 13

The S&E Appropriation provided revenues of $29.6 million in fiscal 2013 and $32.9 million 

in fiscal 2012, a decrease of $3.3 million (10 percent). The S&E Appropriation is provided 

annually by Congress to fund the dissemination of Federal Government information to the 

public by GPO’s Library Services and Content Management business unit. 

■ Sales of Publications Revenues 

GPO earns revenues from the sales of publications in print and digital formats to the public 

and others. The Publication and Information Sales Program sells publications, subscriptions, 

and other Federal Government information products, including e-books, at prices designed to 

recover costs. Revenue from the sales of publications totaled $7.8 million for fiscal 2013 and 

$9.6 million for fiscal 2012, a decrease of $1.8 million (18 percent). The number of 

publications sold decreased from 171,000 in fiscal 2012 to 161,000 (5.8 percent decline) in 

fiscal 2013. Publication and subscription revenues have been declining as agencies publish in 

digital format and cancel subscriptions for traditional printed periodicals and other paperbased documents. 

■ Agency Distribution Revenues 

GPO earns revenues from Federal agencies for the storage, packaging, and distribution of 

Federal Government publications to the public and others. Agency Distributions provides 

these services on a cost reimbursement basis, at rates and prices designed to recover costs. 

Revenues from Agency Distributions totaled $5.3 million for fiscal 2013 and $5.4 million for 

fiscal 2012. Although the revenue decreased $100,000 (1.9 percent), the quantity of items 

processed increased from 27.5 million units in fiscal 2012 to 32.9 million units in fiscal 2013. 

Revenue and the number of items distributed do not have a one to one correlation. GPO and 

customer agencies have varying distribution requirements and varying reimbursement rates. 

Consolidated Expenses – GPO incurred total consolidated operating expenses, before other 

operating expenses, of $690.9 million for fiscal 2013 and $708.6 million for fiscal 2012, a 

decrease of $17.7 million (2.5 percent). The decrease in operating expenses was due primarily to 

a decrease in printing and reproduction, and personnel compensation expenses partially offset by 

an increase in supplies and materials expenses. A brief description of the major expense 

categories for the Agency follows: 

■ Printing and Reproduction Expenses

GPO incurred expenses for printing and reproduction of $277.2 million for fiscal 2013 and 

$314.2 million for fiscal 2012. This represents a decrease of $37 million (11.8 percent). The 

decrease was attributable to a reduction in purchases of printed products from private sector 

contractors by the Customer Services business unit on behalf of customer agencies. The 

decrease was driven by a reduction in the number of customer agency orders shipped. In 

fiscal 2013, GPO shipped about 68,000 customer agency orders, compared to about 80,200 

orders in fiscal 2012, a 15.2 percent decrease. 
Section I: Management Discussion and Analysis

U. S. Government Printing Office | Financial Year In Review – FY 2013 14

■ Personnel Compensation and Benefits Expenses

GPO incurred expenses for personnel compensation and benefits of $202.7 million during 

fiscal 2013 and $207 million during fiscal 2012. This represents a decrease in personnel 

compensation and benefit expense of $4.3 million (2.1 percent). The decrease in this category 

of expense is attributable to a decrease in full-time equivalents over the course of fiscal 2013 

compared to fiscal 2012. Full-time equivalents, which are computed using the number of 

regular hours worked to determine the effective workforce size over a period of time, were 

1,824 compared to 1,916 in fiscal 2012. This is a decrease of 92 full-time equivalents (4.8 

percent). GPO had 1,879 employees on the rolls at September 30, 2013, compared to 1,881 a 

year earlier. 

■ Supplies and Materials Expenses

The supplies and materials expense category includes production-related paper and materials, 

general office supplies, and equipment, furniture, and vehicle purchases that were expensed 

because they did not meet GPO’s capitalization threshold. GPO expenses for supplies and 

materials were $132 million in fiscal 2013 and $103.6 million in fiscal 2012. This represents 

an increase of $28.4 million (27.4 percent). The high cost of materials consumed in passport 

and smart card production were the primary reason for the increase. Passport volumes 

increased by 30 percent to 13 million passports in fiscal 2013 from about 10 million passports 

in fiscal 2012, while smart card production increased by 41.3 percent to about 1.2 million 

cards in fiscal 2013, compared to about 849,000 cards in fiscal 2012. 

■ Other Services Expenses

This expense category includes the cost of professional services provided by contractors for 

building security, consulting, system development, equipment maintenance, audits, 

investigations, and employee training. These expenses are recognized when services ordered 

have been performed. GPO incurred expenses for these services of $31.3 million in fiscal 

2013 and $33.4 million in fiscal 2012. This represents a decrease of $2.1 million (6.3 percent). 

The reduction in expenses were due primarily to decreases in FDsys support charges, 

miscellaneous services, maintenance, and training. 

■ Depreciation and Amortization Expenses

Total depreciation and amortization expenses increased to $21.9 million or $400,000 (1.9 

percent) in fiscal 2013 from $21.5 million in fiscal 2012. 

■ Rents, Communications, and Utilities Expenses

This expense group includes rents for building space outside of the immediate Washington, 

DC area, leased equipment and vehicles, and utilities. GPO incurred expenses for rents, 

communications, and utilities of $15.1 million for fiscal 2013 and $15.5 million for fiscal 

2012. This decrease of $400,000 (2.6 percent) was mainly due to reduced digital reproduction 

equipment leasing expenses. 

■ Travel, Transportation, and Postage Expenses

This expense category includes the cost of employee travel and relocation, commercial 
Section I: Management Discussion and Analysis

U. S. Government Printing Office | Financial Year In Review – FY 2013 15

transportation and delivery services, postage (including postage reimbursable from customer 

agencies), and commercial mailing services. GPO incurred expense for travel, transportation, 

and postage of $8.1 million for fiscal 2013 and $8.8 million for fiscal 2012. This represents a 

decrease of $700,000 (8 percent). The decrease was primarily due to a reduction in postage 

and commercial mailing expense of about $800,000. 

■ Publications Sold Expenses

This expense is incurred when GPO’s Publication and Information Sales business unit sells 

publications, subscriptions, and other Federal Government information products to customers. 

This expense totaled $2.6 million in fiscal 2013, compared to $4.6 million in fiscal 2012, a 

decrease of $2 million (43.5 percent). This significant decrease in expenses correlates with the 

decline in the volume of publications sold (161,000 publications in fiscal 2013 compared to 

171,400 in fiscal 2012) and subscriptions sold (244,700 subscriptions in fiscal 2013 compared 

to 387,000 in fiscal 2012), along with a significant decrease in the expenses related to obsolete 

books. 

Changes in Retained Earnings – GPO’s retained earnings increased by $29.5 million to $197.6 

million at the end of fiscal 2013, compared to $168.1 million at the end of fiscal 2012. 

As presented on the table below, GPO’s retained earnings include the planned uses of net income 

that is authorized by the responsible parties. The GPO and the Department of State annually agree 

to a price to be charged per passport, as well as a plan of capital investments required to produce 

future U.S. passports. As a result, a portion of the agreed upon price includes funding for these 

capital investments. 

GPO also includes in consolidated net income the net change in the long-term workers’ 

compensation liability. This unfunded liability is required to be included in GPO’s consolidated 

financial statements; however, GPO’s rates and prices are established only to recover the current 

fiscal year actual cost of workers’ compensation, and not the long-term liability estimate. 

Adjusting GPO financial results for these two items allows GPO’s management to better gauge 

the actual results of GPO operations. 

Excluding income required to be invested in capital projects to support the production of U.S. 

passports, and the Workers’ Compensation Liability adjustment, GPO had net income of about 

$8.7 million in fiscal 2013, compared to $1.3 million loss in the prior year. 

 
Section I: Management Discussion and Analysis

U. S. Government Printing Office | Financial Year In Review – FY 2013 16

Consolidated Statements of Cash Flows 

The consolidated statements of cash flows present GPO’s cash position at the beginning and end 

of the reporting period, and the sources and uses of cash for all operating, investing, and financing 

activities. 

Fund Balance with Treasury (cash) increased by $27.7 million during fiscal 2013, compared with 

an increase of $93.8 million in fiscal 2012. The increase in cash during fiscal 2013 was primarily 

the result of the following: 

 In fiscal 2013, GPO generated approximately $56.8 million from operations. The 

cash inflow was mainly attributed to net income from operations of about $29.5

million, depreciation expense (a non-cash expense) of about $21.9 million, and 

about $4.9 million from a net reduction in accounts receivable and accounts 

payable. 

 Cash invested in capital assets was $36.3 million in fiscal 2013. In fiscal 2013, 

investments were made primarily in new passport production equipment, 

information technology upgrades, and facilities improvements. 

 In fiscal 2013, GPO’s unexpended appropriations increased by $7.1 million, due

primarily to increases in the unexpended year-end balances in the Revolving 

Fund and CP&B appropriations of $2.6 million and $6 million, respectively. 

Contributing to the Revolving Fund increase was a $3.2 million transfer from the 

S&E appropriation to the Revolving Fund. 

Performance Measures

GPO gauges its overall efficiency and effectiveness using certain performance measures. 

Generally, these performance measures are based on established standards, goals, or objectives 

that are compared against actual performance or results for each fiscal year. The following 

sections discuss the major operating performance measures and financial performance measures 

used by the Agency. 

Operating Performance Measures 

On-Time Delivery of Congressional Record

The Congressional Record is the official record of the proceedings and debates of the U.S. 

Congress. This important information product is published daily when Congress is in session. 

GPO uses a performance measure to evaluate the timeliness of the delivery of this core product to 

Congress. To measure GPO’s success in delivering the Congressional Record to Congress ontime, GPO established a deadline of delivery to the House and Senate chambers before the start of 

the next day’s session when 100 percent of copy is received by midnight. The on-time delivery 

rate was 97.1 percent for fiscal 2013 and 89.2 percent for fiscal 2012. The Agency’s goal of 95 

percent or better was met for fiscal 2013. The goal will remain the same for fiscal 2014. 
Section I: Management Discussion and Analysis

U. S. Government Printing Office | Financial Year In Review – FY 2013 17

On-Time Delivery and Quality Acceptance of Procured Printing 

Customer Services contracted with commercial businesses to produce and ship approximately 

68,000 orders for GPO customers in fiscal 2013. For fiscal 2013, the goals were to have at least 

95 percent of procured printing orders delivered on schedule and a quality acceptance rate of at 

least 99 percent. Customer Services met both of these goals for fiscal 2013, with 97.4 percent of 

procured printing orders delivered on time and a quality acceptance rate of 99.8 percent. In 

comparison, GPO contractors shipped approximately 80,000 orders in fiscal 2012, with 97.3 

percent of the procured printing orders delivered on time and a quality acceptance rate of 99.8 

percent. The two goals will remain the same for fiscal 2014. 

Financial Performance Measures 

Cash Management

Payment Discounts Earned – In fiscal 2013, GPO continued to save millions of dollars by 

taking favorable prompt payment discounts offered by contractors for the payment of invoices 

within the discount period. GPO earned prompt payment discounts of $3.4 million on purchased 

printing expense of $277.2 million. In comparison, GPO earned $3.6 million in discounts on 

$314.2 million in printing expenses last year. The average discount rate earned was 1.2 percent 

and 1.1 percent for fiscal years 2013 and 2012, respectively. The average discount rate earned for 

fiscal 2013 met the targeted goal of 1.2 percent. The goal for fiscal 2014 will again be 1.2 

percent. 

Lost prompt payment discounts decreased to $426,000 in fiscal 2013 from $661,000 in fiscal 

2012. As a result, the percentage of discounts lost to discounts offered was 11.1 percent, 

compared to 15.4 percent in 2012. GPO will strive to equal or improve the percentage of 

discounts lost to total printing expense in fiscal 2014. 

Electronic Payments – Electronic Funds Transfer (EFT) is the most secure, efficient, and 

economical method of making payments to GPO contractors, employees, and other non-Federal 

entities. While it costs the U.S. Government $1.03 to issue each check payment, the cost is only 

10.5 cents to issue an EFT payment1

. In fiscal 2013, 89.1 percent of all payments were made by 

EFT. In comparison, about 89.5 percent of all payments were made by EFT in fiscal 2012. 

While the Agency's EFT payments fell just shy of the target of 90 percent for fiscal 2013, GPO 

will continue to work with vendors to increase EFT participation rates and strive to achieve that 

goal for fiscal 2014. 

1. Source: U.S. Department of the Treasury, http://www.fms.treas.gov/eft.index.html
Section I: Management Discussion and Analysis

U. S. Government Printing Office | Financial Year In Review – FY 2013 18

Possible Future Effects of Existing Events and Conditions

Several events and conditions may materially impact GPO’s programs and operations in the 

future. A synopsis of each of these conditions follows. 

Funding Lapse and Future Budget Uncertainties – On October 1, 2013, the Federal 

government shut down operations, except for exempt activities, due to a lapse in appropriations. 

The funding lapse lasted 16 calendar days. GPO’s Revolving Fund was adversely impacted by the 

shutdown, because the normal inflow of customer agency orders was interrupted. In addition, 

retroactive payment of GPO employee wages of approximately $10.6 million caused an outflow 

of financial resources without productivity and resultant revenue. Because GPO could only makeup a fraction of lost productivity, overall GPO estimates that the shutdown will have a negative 

financial impact on the Agency in fiscal 2014. 

Other Federal Appropriation Reductions – Printing and duplicating are considered a 

discretionary cost for Federal customers, generally. The potential for possible budget reductions 

and restrictions in the future may have an adverse effect on the availability of funds for Federal 

printing and duplicating provided by GPO. 

Shift in Demand from Ink-on-Paper Products to Expanding Digital Requirements – 

GPO continues to manufacture and sell a sizable array of Federal information products. The 

increase in Government documents on the Internet and a downward trend in customer demand for 

printed documents will continue to place downward pressure on printing revenues, both in-plant 

and purchased from the commercial sector, and publication sales. 

GPO’s customer base of Federal agencies will continue to need printed copies, albeit reduced 

quantities, to accomplish their respective missions. GPO is working with agencies to educate and 

assist them in effectively accomplishing the communications aspect of their missions. GPO will

continue outreach efforts for Federal agencies to adapt to the future of Federal Government 

communications. In transforming its business model, GPO is focusing on managing digital 

content for agency and public use, both today and tomorrow. The content received from Congress 

and Federal agencies will be managed through a life-cycle process that supports the primary 

requirement to make the digital version of publications permanently available online, and to print 

only when required or otherwise necessary. GPO’s transformation is continuing with the 

development of new ways of delivering Government information, including apps and bulk data 

download files. 

Some Plant Operations core ink-on-paper products, such as the Congressional Record and 

Federal Register, have shorter production runs than in past years because these products are 

available online. Production runs are expected to further decline as customers opt-out of paper 

copies and opt-into digital access. To offset potential decreases in revenue from lessening demand 

for printed products, GPO has committed to capitalizing on efficiencies in operations, 

implementing improved printing technologies, and utilizing digital print methods to satisfy 

requirements unique to Federal customers in order to provide best value. 
Section I: Management Discussion and Analysis

U. S. Government Printing Office | Financial Year In Review – FY 2013 19

The Publication and Information Sales Program business unit is still very much dependent on 

hard-copy sales for funding its operations. GPO has entered into e-book sales partnerships, as 

more people turn toward electronic publications. This business unit will continue to identify 

market segments for the program’s offerings, employ focused advertising, and provide worldclass customer service to a niche customer base. However, operational efficiencies will need to 

continue to improve in order to achieve positive operating margins. 

Rapid Changes in Technology – GPO has successfully adapted to changes in printing and 

information technology over the course of its history. In the last few years, the rate of change in 

technology has increased dramatically. Faced with a forecast of decreasing revenues and limited 

funds to invest in infrastructure improvements in fiscal 2013 and possibly beyond, GPO 

established an internal committee with the responsibility of identifying strategic capital 

investments and melding the opportunities into a short-term to long-term investment plan for the 

Public Printer’s endorsement. The committee places emphasis on adapting GPO to satisfy current 

and future congressional and other key customer needs and GPO sustainability, including 

improving efficiency and economy.
Section I: Management Discussion and Analysis

U. S. Government Printing Office | Financial Year In Review – FY 2013 20

Fiscal Year 2014 Financial Projections

On July 1, 1953, Congress established the GPO Revolving Fund to finance GPO’s operations on 

a self-sustaining basis. The Agency’s overall long-term financial objective has been to earn 

revenues through a system of rates, prices, and surcharges used to bill customers for goods 

delivered and services performed that are sufficient to recover all Agency costs, including 

depreciation and overhead, in accordance with Section 309 of Title 44 U.S.C. The receipts and 

disbursements from the continuous cycle of business-type operations are recorded in the GPO 

Revolving Fund. 

GPO’s fiscal 2014 operating budget plans for the Agency to achieve break-even, before the longterm Federal Employees’ Compensation Act (FECA) adjustment from the U.S. Department of 

Labor, and after adjusting for income from capital investments related to passport production. 

These capital investments for the U.S. Department of State are mutually agreed to and allow 

GPO to invest in state-of-the-art passport manufacturing technology. The GPO operating budget 

also provides sufficient cash to allow continued capital investment to achieve more efficient 

operations and better meet customer needs. The budget for 2014 will require that the Agency 

continue with the strict cost containment program implemented in fiscal 2011. 

The GPO’s focus on satisfying customers, producing authentic and secure products vital to 

customers, and managing through change are essential to maintaining Agency operations on 

sound footing, both organizationally and financially. Achieving adequate financial results will 

help ensure that the GPO Revolving Fund remains financially self-sustaining as Congress 

intended and that GPO can continue Keeping America Informed, as it has for over 150 years.
 

U. S. Government Printing Office | Financial Year In Review – FY 2013 21

 SECTION II 

INSPECTOR 

GENERAL’S 

REPORT 
U. S. Government Printing Office | Financial Year In Review – FY 2013 22
U. S. Government Printing Office | Financial Year In Review – FY 2013 23

M£t.t0AAN0Uiot 
U. S. Government Printing Office | Financial Year In Review – FY 2013 24

PaiNTING OfiiiCt. 

••• 

M£MORANOUM 
U. S. Government Printing Office | Financial Year In Review – FY 2013 25

MEMORANDUM 

U.S. G OVE RNM E N T PR I N T ! NG 0 FFI CE 

0 I I I < I 0 I I ' <; I' I ( I 0 H (, I N l It \ I 
 

U. S. Government Printing Office | Financial Year In Review – FY 2013 26

SECTION III 

INDEPENDENT 

AUDITORS’ 

REPORT 
Independent Auditors’ Report

The Public Printer 

United States Government Printing Office

Office of the Inspector General

Untied States Government Printing Office: 

Report on the Financial Statements

We have audited the accompanying consolidated financial statements of the United States Government 

Printing Office (GPO), which comprise the consolidated balance sheets as of September 30, 2013 and 

2012, and the related consolidated statements of revenues, expenses, and changes in retained earnings, and 

cash flows for the years then ended, and the related notes to the consolidated financial statements. 

Management’s Responsibility for the Financial Statements

Management is responsible for the preparation and fair presentation of these consolidated financial 

statements in accordance with U.S. generally accepted accounting principles; this includes the design, 

implementation, and maintenance of internal control relevant to the preparation and fair presentation of 

consolidated financial statements that are free from material misstatement, whether due to fraud or error. 

Auditors’ Responsibility

Our responsibility is to express an opinion on these consolidated financial statements based on our audits. 

We conducted our audits in accordance with auditing standards generally accepted in the United States of 

America and the standards applicable to financial audits contained in Government Auditing Standards, 

issued by the Comptroller General of the United States. Those standards require that we plan and perform 

the audit to obtain reasonable assurance about whether the consolidated financial statements are free from

material misstatement. 

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the 

consolidated financial statements. The procedures selected depend on the auditors’ judgment, including the 

assessment of the risks of material misstatement of the consolidated financial statements, whether due to 

fraud or error. In making those risk assessments, the auditor considers internal control relevant to the 

entity’s preparation and fair presentation of the consolidated financial statements in order to design audit 

procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on 

the effectiveness of the entity’s internal control. Accordingly, we express no such opinion. An audit also 

includes evaluating the appropriateness of accounting policies used and the reasonableness of significant 

accounting estimates made by management, as well as evaluating the overall presentation of the

consolidated financial statements. 

KPMG LLP

Suite 12000

1801 K Street, NW 

Washington, DC 20006

KPMG LLP is a Delaware limited liability partnership,

the U.S. member firm of KPMG International Cooperative

(“KPMG International”), a Swiss entity.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our

audit opinion. 

Opinion on the Financial Statements

In our opinion, the consolidated financial statements referred to above present fairly, in all material 

respects, the financial position of the United States Government Printing Office as of September 30, 2013 

and 2012, and the results of its operations and its cash flows for the years then ended in accordance with 

U.S. generally accepted accounting principles.

Other Matters

Other Information 

Our audits were conducted for the purpose of forming an opinion on the basic consolidated financial 

statements as a whole. The information in the Management’s Discussion and Analysis section is presented 

for purposes of additional analysis and is not a required part of the basic consolidated financial statements. 

Such information has not been subjected to the auditing procedures applied in the audits of the basic 

consolidated financial statements, and accordingly, we do not express an opinion or provide any assurance 

on it. 

Other Reporting Required by Government Auditing Standards

Internal Control over Financial Reporting

In planning and performing our audit of the consolidated financial statements, we considered the GPO’s 

internal control over financial reporting (internal control) to determine the audit procedures that are 

appropriate in the circumstances for the purpose of expressing our opinion on the consolidated financial 

statements, but not for the purpose of expressing an opinion on the effectiveness of the GPO’s internal 

control. Accordingly, we do not express an opinion on the effectiveness of the GPO’s internal control. 

Our consideration of internal control was for the limited purpose described in the preceding paragraph and 

was not designed to identify all deficiencies in internal control that might be material weaknesses or 

significant deficiencies and therefore, material weaknesses or significant deficiencies may exist that have 

not been identified. However, as described in the accompanying Schedule of Findings, we identified certain 

deficiencies in internal control that we consider to be material weaknesses and significant deficiencies. 

A deficiency in internal control exists when the design or operation of a control does not allow management 

or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, 

misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in 

internal control such that there is a reasonable possibility that a material misstatement of the entity’s 

financial statements will not be prevented, or detected and corrected on a timely basis. We consider the 

deficiencies in controls over financial reporting described in the accompanying Schedule of Findings as 

item 2013-01 to be a material weakness. 

A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less 

severe than a material weakness, yet important enough to merit attention by those charged with governance. 

We consider the deficiencies in controls over information technology described in the accompanying 

Schedule of Findings as item 2013-02 to be a significant deficiency. 
Compliance and Other Matters

As part of obtaining reasonable assurance about whether GPO’s consolidated financial statements are free 

from material misstatement, we performed tests of GPO’s compliance with certain provisions of laws, 

regulations, and contracts, noncompliance with which could have a direct and material effect on the 

determination of the consolidated financial statement amounts. However, providing an opinion on 

compliance with these provisions was not an objective of our audit and, accordingly, we do not express 

such an opinion. The results of our tests of compliance as described above disclosed no instances of 

noncompliance or other matters that are required to be reported herein under Government Auditing 

Standards. 

GPO’s Responses to Findings 

GPO’s responses to the findings identified in our audit are described in the accompanying Schedule of 

Findings. GPO’s responses were not subjected to the auditing procedures applied in the audit of the 

consolidated financial statements and, accordingly, we express no opinion on the responses.

Purpose of the Other Reporting Required by Government Auditing Standards

The purpose of the communication described in the Other Reporting Required by Government Auditing 

Standards section is solely to describe the scope of our testing of internal control and compliance and the 

result of that testing, and not to provide an opinion on the effectiveness of GPO’s internal control or 

compliance. Accordingly, this communication is not suitable for any other purpose. 

February 7, 2014 
Fiscal Year 2013 Schedule of Findings

Material Weakness

2013-01 Controls over Financial Reporting 

During fiscal year (FY) 2013, we noted several matters that highlighted the need for improved internal 

controls over financial reporting in several key process areas relating to the preparation, review and 

posting of journal entries and the review and approval of account reconciliations. We also noted several 

instances where supervisory reviews were not performed timely or at a precision level that would detect 

and correct a material misstatement. Collectively, these matters are considered to be a material weakness 

in internal controls over financial reporting. Specifically, we identified the following: 

• The billings to revenue reconciliations for two of three months tested were not properly reviewed by 

management, which resulted in multiple errors in the reconciliations. For example, amounts in the 

reconciliations did not agree to the balances recorded in the general ledger; mathematical errors 

occurred in calculating sum totals; and some of the amounts identified as reconciling items were not 

true reconciling items. (13-NFR-03) 

• We noted that GPO used a report titled “Accounts Receivable and Cash Management Report” to 

monitor its government-related accounts receivables. However, periodic reconciliations of this report 

to the general ledger were not performed. As a result of our requests for such reconciliations, we were 

provided multiple versions of the reconciliations containing material errors. (13-NFR-03) For 

example:

• The September 2013 reconciliation reviewed by management listed a reconciling item of 

approximately $16.8 million. However, when we tested the reconciliation, we determined it was 

not a reconciling item but rather an item related to FY 2014 invoices. 

• The second version of the September 2013 reconciliation reviewed by management listed a 

reconciling item of approximately $2.5 million. However, when we tested the reconciliation, we 

determined it was not a reconciling item due to a clerical error. In addition, all reconciling items 

on the amended version of the September 2013 reconciliation were incorrectly identified as 

negative numbers when they should have been positive numbers, increasing the balance. 

• Our testing of deposit account reconciliations identified mathematical errors and items incorrectly 

identified as reconciling items, and the monthly journal entry to accrue for unapplied receipts was not 

posted to the general ledger. (13-NFR-03) 

• For the “Annual Allowance for Doubtful Accounts Calculation” as of September 30, 2013, we 

identified a difference between the FY 2013 "4 Bucket Report" and the general ledger where the 

general ledger was approximately $1 million less than the “4 Bucket Report.” We also noted that the 

balance of the accounts over 18 months old from the FY 2012 "4 Bucket Report" used in the FY 2013 

allowance calculation was less than the amount from FY 2012 "4 Bucket Report” and resulted in an 

understatement of the Allowance for Doubtful Accounts and the Bad Debt Expense as of and for the 

year ended September 30, 2013. As this was considered immaterial by GPO, management did not 

correct the error. (13-NFR-03) 

• Commercial and government accounts payable reconciliations as of September 30, 2013 were 

reviewed subsequently to GPO closing the month of September 2013 financial records. We also 

found that the March 2013 accounts payable reconciliations were not performed because the process 

owner was on leave and GPO had not assigned this responsibility to another individual in the owner’s 

absence. (13-NFR-03) 
• We identified journal entries that did not agree to the supporting documentation and an amount was 

recorded to an incorrect account. (13-NFR-03) 

• We found that the lag factor accrual schedule did not take into account the last 3 months of the fiscal 

year, which resulted in an understatement of revenue and expense by approximately $1.4 million. We 

also found that the lag factor accrual schedule contained mathematical errors, which understated the 

accrual by approximately $37 thousand. As this was considered immaterial by GPO, management did 

not correct the error. (13-NFR-03)

• We identified a commercial printing job for which GPO had paid the expense during the year but had 

not invoiced the customer as of September 30, 2013 resulting in $13,271 of revenue not being billed 

as of September 30, 2013. GPO subsequently billed for this amount. (13-NFR-07) 

• During our testwork over a sample of unbilled accounts receivable items totaling approximately $2.7 

million, we identified the following:

• Because of an error in coding one sample item in the amount of approximately $97 thousand, the 

item was erroneously not billed to the customer although the contractor had fulfilled the 

requirements of the contract as of September 30, 2013. As this was considered immaterial by 

GPO, management did not correct the error. (13-NFR-07)

• Two sample items related to projects completed in the prior year and no further billings were 

anticipated. Therefore, the billing variance related to these projects should have been recorded in 

a previous fiscal year and not in FY 2013. Because of the errors we identified, management 

performed an analysis over the unbilled accounts receivable account and determined the errors 

were isolated to (1) monthly jackets (a production and billing mechanism for print jobs) and (2) 

jackets prior to FY 2009 that had not been closed out even though no further billings were 

anticipated. As a result of this analysis, management determined that 585 jackets totaling $2.1 

million should have been closed out prior to FY 2013 as no further billings were anticipated. 

Management corrected this error. (13-NFR-10) 

• We performed test work on the advanced billings detail and identified projects that were still recorded 

in advance billings for which GPO had not properly recognized the revenue. The total balance related 

to these advanced billings was approximately $935 thousand as of September 30, 2013. GPO 

subsequently recorded an adjustment to remove these balances from advanced billings as of 

September 30, 2013. (13-NFR-09)

• We performed a statistical sample of commercial printing revenue and found that GPO had 

inadvertently invoiced a commercial printing project, resulting in an overstatement of advanced 

billings. The projected revenue overstatement as a result of this error is approximately $1.6 million, 

which includes the known overstatement of approximately $167 thousand. As this was considered 

immaterial by GPO, management did not correct the error. (13-NFR-09) 

The Government Accountability Office’s (GAO) Standards for Internal Control in the Federal 

Government requires the following:

• Control activities are the policies, procedures, techniques, and mechanisms that enforce 

management’s directives, such as the process of adhering to requirements or budget development and 

execution. They help ensure that actions are taken to address risks. Control activities are an integral 

part of an entity’s planning, implementing, reviewing, and accountability for stewardship of 

government resources and achieving effective results.

• Control activities occur at all levels and functions of the entity. They include a wide range of diverse 

activities such as approvals, authorizations, verifications, reconciliations, performance reviews, 
maintenance of security, and the creation and maintenance of related records which provide evidence 

of execution of these activities as well as appropriate documentation. Control activities may be 

applied in a computerized information system environment or through manual processes.

Management reviews are considered a key aspect of control monitoring. Examples of control activities 

include reviews by management at the functional or activity level. Specifically, the Standards for Internal 

Control in the Federal Government state:

Internal control should generally be designed to assure that ongoing monitoring 

occurs in the course of normal operations. It is performed continually and is 

ingrained in the agency's operations. It includes regular management and 

supervisory activities, comparisons, reconciliations, and other actions people take 

in performing their duties. 

Recommendations:

We recommend that GPO strengthen its controls over the timely and accurate preparation and review of 

reconciliations, journal entries, and other adjustments as follows: 

1. Establish a level of precision and timeframe for completion of account reconciliations in monthly 

financial information packages and year-end financial statements. We also recommend GPO 

management establish a policy for completion of timely reviews of account reconciliations to include 

evaluation of supporting schedules and reports for completeness and accuracy. 

2. Strengthen policies and procedures over the preparation and review of customer bills prior to sending 

them to customers to ensure completeness and accuracy of each bill and its components.

3. Develop and implement policies and procedures to ensure all commercial bills from the contractors 

are reviewed and ensure that the customer invoices are generated once the final bill from the 

contractor is received. 

4. Develop and implement policies and procedures to ensure that advanced billing related transactions 

and balances are properly recorded and evaluated throughout the year.

5. Develop and implement policies and procedures to ensure that balances recorded in unbilled accounts 

receivable are proper throughout the year and all final billed jackets are properly recorded.

6. Ensure that supervisors are properly reviewing reconciliations, journal entries and any supporting 

schedules used by GPO to determine final account balances, which includes tracing inputs to 

underlying data and testing the mathematical accuracy any schedules or calculations used.

Management Response:

Management concurs with the finding. GPO will revise and implement the revised SOPs for 

reconciliation review and journal entry reviews by June 30, 2014. The revisions will include a realistic 

timeline for completing reconciliations before the monthly performance information packages are 

published and completing the year-end reconciliations before the fiscal year is closed and provide 

guidance for cross footing supporting spreadsheets to eliminate the identified footing errors. The journal 

entry review SOP will provide guidance and review documentation procedures to establish the 

appropriate level of review and proofing based on the potential misstatement that could arise from an 

error in the entry.
Unbilled items will be reviewed on a weekly basis using the Partial Payment Report. Accounts Payable 

will check weekly all code 8 items when they reach 60 days old to determine if they should be moved to 

Code 9 (ready to bill). 

Significant Deficiency

2013-02 Internal Controls over Information Technology General and Application Controls 

During FY 2013, we identified deficiencies in the design and/or operations of GPO’s information 

technology (IT) general controls in the areas of Security Management, Access Controls, Segregation of 

Duties, and Contingency Planning. These conditions were generally due to resource constraints and 

competing priorities at GPO. The details of these conditions, several of which have been reported to 

management in prior years’ audit reports, are as follows:

We found that GPO major applications did not have finalized Certification and Accreditation (C&A) 

packages, including Authority to Operate Letters and System Security Plans.

Security Management

GPO management stated that IT Security did not have the resources to perform a security certification 

review of two of its major applications due to the workload of other, higher priority application C&A 

activities and IT Security operational activities.

The lack of completed C&A packages increases the likelihood of unidentified threats compromising the 

integrity and confidentiality of GPO financial information because system security risks and requirements 

have not been documented and assessed. GPO Directive 825.33B Information Technology (IT) Security 

Program Statement of Policy, dated May 24, 2011, states systems will undergo C&A before they process 

any data. Additionally, systems will be re-accredited at least every 3 years. (NFR-IT-2013-06) 

Federal Information Processing Standards (FIPS) Publication 200, Minimum Security Requirements for 

Federal Information and Information Systems, requires organizations to authorize the operation of 

organizational information systems. 

The National Institute of Standards and Technology (NIST) Special Publication (SP) 800-53, Revision 3, 

Recommended Security Controls for Federal Information Systems and Organizations, provides more 

detailed guidance for the security authorization process and directs organizations to: 

• Develop security plans for information systems that describe the security controls in place or 

planned for meeting the control requirements from NIST SP 800-53 including rationale for 

control tailoring and supplementation decisions, and

• Assess the planned security controls to determine the extent to which the controls are 

implemented correctly, operating as intended, and producing the desired outcome and to 

document the results of the assessment to provide to the authorizing official. 

• Ensure the final, agreed-upon set of security controls is documented with appropriate rationale in 

the security plan for the information system. The authorizing official or designated representative, 

by accepting the security plan, agrees to the set of security controls proposed to meet the security 

requirements for the information system.
Recommendation: 

We recommend that the Chief Information Officer (CIO) allocate the appropriate resources to complete 

the C&A package documents and process for both application systems and obtain an Authority to 

Operate. 

Access Controls

Overall, access controls at GPO continue to require strengthening in order to provide a more secure 

financial processing and computing environment. GPO management made progress in addressing the 

access control deficiencies noted in prior years. However, we noted the following access controls 

deficiencies that need improvement:

• User access was granted without the appropriate documented authorization (NFR-IT-2013-05): 

• One of 15 new GPO IT General Support System (GSS) users selected was granted access to the 

system before the user’s access was authorized by the supervisor. 

• GPO was unable to provide documented evidence that three of four new GSS operating system 

administrators were appropriately authorized prior to obtaining system administrator access. 

GPO did not consistently ensure that proper access authorization was documented and accounted for prior 

to granting new users access to the GPO GSS. Although general policies for restricting unauthorized 

access were documented, clear and defined procedures for authorizing and granting access to new users 

were not adequately documented. 

Creating user accounts without the proper documented authorization increases the likelihood that 

unauthorized users will gain access to information systems, increasing the risk that the confidentiality and 

integrity of information systems will be compromised.

• User access was not consistently removed after users left GPO or changed job duties (NFR-IT-2013-

02). Specifically, we found the following: 

• Four of 99 separated employees retained active GPO Financial System accounts for a period 

ranging from 114 to 139 days after their separation date as of our test work on September 13, 

2013. 

• One of 99 separated employees retained an active account for 136 days after their separation date 

as of our test work on September 13, 2013. 

• Three of 99 separated employees retained an active account for a period ranging from 51 to 326 

days after their separation date as of our test work on September 23, 2013. 

Supervisors did not consistently follow the account termination policies and procedures for separated 

users. In addition, GPO management did not actively monitor the systems to ensure that separated user 

accounts were disabled from the systems in a timely manner.

Failure to disable user access immediately upon termination increases the likelihood of unauthorized 

access to GPO systems, which increases the risk of a compromise of the confidentiality and integrity of 

GPO financial data and other sensitive information.
• Periodic reviews of user access were not consistently documented (NFR-IT-2013-03). Specifically, 

we found the following:

• There is no process in place to perform and document a periodic review of personnel with access 

to the system’s Platform to determine whether user access is appropriate. 

• GPO’s Finance Department was unable to provide evidence of a completed user account review 

for the application during the current fiscal year.

• Through inquiry, GPO management identified that user account reviews occur on a monthly 

basis. However, GPO was unable to provide evidence of user account reviews for one of the two 

months selected. 

GPO management had not formally documented and defined the frequency with which user accounts 

should be reviewed and the procedures involved with reviewing the accounts. Therefore, GPO 

management cannot properly monitor and consistently ensure that user accounts were reviewed 

appropriately and documentation retained. 

Failure to formally document the frequency and procedures involved with reviewing accounts and the 

failure to appropriately and timely recertify accounts on the network and applications increase the 

likelihood of unauthorized or inappropriate access. This increases the risk that the confidentiality and 

integrity of information and information systems will be compromised. 

GPO Directive 825.33B Information Technology (IT) Security Program Statement of Policy, dated May 

24, 2011, states:

• Users and administrators of IT resources are accountable for all activity performed under their 

unique User ID. 

• Each system will have a process in place that ensures individuals are denied access to the system 

when employment is terminated. 

• User lists and privileges will be periodically reviewed. The review will be the basis for modifying 

access levels, including denying access to individuals as a result of task changes or changes in 

employment status. 

• Access control lists will be reviewed and updated on a periodic basis. Access will be denied to 

individuals who have been terminated or, at the discretion of management, to those that are the 

subject of adverse personnel actions.

NIST SP 800-53, Revision 3, Recommended Security Controls for Federal Information Systems and 

Organizations, provides guidance for managing access controls and directs organizations to: 

• Grant access to the system based on a valid access authorization;

• Operate procedures for disabling and removing access when users are terminated, transferred, or 

information system usage or need-to-know/need-to-share changes;

• Periodically review accounts.
Recommendation: 

We recommend that the CIO:

1. Evaluate, revise as necessary and formally document GPO’s procedures for authorizing and granting 

new users access to the GPO system to help ensure that system access is not granted without the 

proper authorization. 

2. Evaluate, revise as necessary, and enforce policies and procedures regarding timely removal of

system access for separated personnel to help ensure that system access is removed immediately at 

the time personnel leave GPO.

3. Evaluate, revise as necessary and formally document policies and procedures for periodically 

reviewing access to GPO systems to help ensure that access is reviewed on a defined frequency and 

that the review is documented.

4. Establish and implement controls to monitor compliance with such policies.

Effective segregation of duties starts with effective entity-wide policies and procedures that are 

implemented at the system and application levels. Although Finance Office segregation of duties 

procedures document conflicting activities within the financial system, the procedures are not sufficiently 

detailed to identify which roles within the system are considered to be conflicting. Not identifying 

conflicting roles within the system may lead to system users having conflicting access to this key 

financial system, which could result in a user having end-to-end control over a transaction such that they 

could both initiate and approve an erroneous transaction (NFR-IT-2013-04). 

Segregation of Duties

GPO management stated that in an effort to mitigate the disconnect between the segregation of duties 

procedures and the system user listing they are in the process of implementing an Oracle Government, 

Risk, and Compliance module. However, due to resource constraints and other priorities, this issue is not 

scheduled to be mitigated until February 2014. 

Without the proper alignment of the segregation of duties procedures and the system user listing, it makes 

it difficult for management to identify and monitor users with conflicting roles and responsibilities. This 

increases the likelihood that users with conflicting roles and responsibilities can go undetected. 

GPO Directive 825.33B: Information Technology (IT) Security Program Statement of Policy, dated May 

2011, states the CIO is responsible for “(11) Ensuring that appropriate senior GPO officials are: (e) 

Maintaining appropriate segregation of duties and the periodic review of access levels for programs and 

systems over which they have control.”

NIST SP 800-53, Revision 3, Recommended Security Controls for Federal Information Systems and 

Organizations, provides guidance for managing access controls and directs organizations to: 

• Implement separation of duties through assigned information system access authorizations.
Recommendation: 

We recommend that the CIO:

1. Continue to implement the Oracle Government, Risk, and Compliance module in order to link the 

responsibilities of GBIS to user roles to ensure that users do not have conflicting responsibilities. 

2. Revise and update GPO’s procedures for maintaining segregation of duties within the system so that 

the procedures include sufficient detail to identify conflicting roles within the system.

Contingency Planning

The contingency plan for GPO’s GSS had not been finalized, approved or tested, and was still in draft 

form. GPO may not be able to successfully recover critical applications and systems to maintain business 

functions during the event of a service disruption without an effective contingency plan and testing 

process in place. Without documented contingency plan test results, management may be unaware of any 

weaknesses in disaster recovery capabilities that could have been revealed by disaster recovery testing. 

(NFR-IT-2013-01) 

GPO management stated that it had not finalized, approved, or fully tested the contingency plan for the 

GSS due to limited resources and the scope of the project.

NIST SP 800-53, Revision 3, Recommended Security Controls for Federal Information Systems and 

Organizations, states that organizations should develop contingency plans for their information systems 

that are reviewed and approved by designated officials, should test to determine the plans’ effectiveness, 

should review the contingency plan test results, and initiate corrective actions.

Recommendation: 

We recommend that the CIO ensure that:

1. GPO management finalize and approve the contingency plans for GPO’s GSS.

2. GPO management periodically perform contingency plan testing and document the test plans and the 

results for GPO’s GSS.

Management Response:

Management concurs with these recommendations and is in the process of implementing a corrective 

action plan. 
Section IV: Financial Statements

U. S. Government Printing Office | Financial Year In Review – FY 2013 38

SECTION IV

FINANCIAL

STATEMENTS
Section IV: Financial Statements

U. S. Government Printing Office | Financial Year In Review – FY 2013 39

U.S. Government Printing Office 

Consolidated Balance Sheets 

As of September 30, 2013 and 2012 (Dollars in Thousands) 

The accompanying notes are an integral part of these financial statements. 

2013 2012 

ASSETS 

Current assets 

Fund balance with Treasury (Note 2) $ 508,267 $ 480,607 

Accounts receivable, net (Note 3) 123,224 141,176 

Inventory, net (Note 4) 28,804 31,891 

Prepaid expenses (Note 5) 1,040 1,156 

Total current assets 661,335 654,830 

General property, plant and equipment, net (Note 6) 114,900 100,473 

Total assets $ 776,235 $ 755,303 

LIABILITIES AND NET POSITION 

Current liabilities 

Accounts payable and accrued expenses (Note 7) $ 96,155 $ 109,188 

Deferred revenues (Note 8) 198,947 200,429 

Accrued annual leave 9,707 9,417 

Total current liabilities 304,809 319,034 

Noncurrent liabilities 

Workers' compensation liability (Note 9) 69,106 70,524 

Total liabilities 373,915 389,558 

Commitments and contingencies (Notes 10 and 11) 

Net position (Note12) 

Cumulative results of operations: 

Retained earnings 197,604 168,146 

Invested capital 92,879 92,879 

Unexpended appropriations 111,837 104,720 

Total net position 402,320 365,745 

Total liabilities and net position $ 776,235 $ 755,303 
Section IV: Financial Statements

U. S. Government Printing Office | Financial Year In Review – FY 2013 40

U.S. Government Printing Office 

Consolidated Statements of Revenues, Expenses, 

and Changes in Retained Earnings 

For the Fiscal Years Ended September 30, 2013 and 2012 

(Dollars in Thousands) 

 

The accompanying notes are an integral part of these financial statements.
Section IV: Financial Statements

U. S. Government Printing Office | Financial Year In Review – FY 2013 41

U.S. Government Printing Office 

Consolidated Statements of Cash Flows 

For the Fiscal Years Ended September 30, 2013 and 2012 (Dollars in Thousands) 

The accompanying notes are an integral part of these financial statements. 

2013 2012 

CASH FLOWS FROM OPERATING ACTIVITIES 

Net income s 29,458 s 2,858 

Adjusbnents to reconcile net income to net cash 

provided by operating activities: 

Depreciation and amortization 21,896 21,463 

Changes In assets and liabilities: 

(Increase} decrease In assets: 

Accounts receivable 17,952 31,095 

Inventory 3,087 28 

Prepaid expenses 116 (1 ,057} 

Increase (decrease) in liabilities: 

Accounts payable, accrued expenses, and other (13,067} (11 ,789} 

Deferred revenues (1,482) 57,285 

Accrued annual leave 290 (1,426) 

Workers' compensation liabilities (1 ,418) 2,380 

Total adjustments 27,374 97,979 

Net cash provided by operating activities 56,832 100,837 

CASH FLOWS FROM INVESTING ACTIVITIES 

Capital purchases (36,324) (18,692) 

Proceeds from sale of general property, 

plant and equipment 36 37 

Net cash used in investing activities (36,289) (18,655) 

CASH FLOWS FROM FINANCING ACTIVITIES 

Increase in unexpended appropriations 7,117 11,671 

Net cash provided by financing activities 7,117 11,571 

Net increase in fund balance with Treasury 27,660 93,753 

Fund balance with Treasury, beginning of year 480,607 386,854 

Fund balance with Treasury, end of year $ 508,267 $ 480,607 
Section IV (con’t.): Notes to the Financial Statements

 

U. S. Government Printing Office | Financial Year In Review – FY 2013 42

NOTES TO THE

FINANCIAL

STATEMENTS
Section IV (con’t.): Notes to the Financial Statements

 

U. S. Government Printing Office | Financial Year In Review – FY 2013 43

U.S. Government Printing Office

Notes to the Financial Statements

September 30, 2013 and 2012

1. Summary of Significant Accounting Policies 

A. Reporting Entity

The U.S. Government Printing Office (GPO or Agency) is a Legislative Branch agency of 

the Federal Government. The Agency’s mission and authority are derived from various 

statutes codified in Title 44, Public Printing and Documents, of the United States Code

(U.S.C.). Congress established GPO to provide the Federal Government with an efficient 

and effective means for the production, procurement, and dissemination of Federal 

Government information to the Nation in traditional and electronics formats

The Public Printer of the United States, appointed by the President of the United States with 

the advice and consent of the U.S. Senate, serves as the Agency head and oversees GPO’s 

programs and operations. These programs and operations are funded through a business-type 

Revolving Fund, authorized by 44 U.S.C. Section 309, and annual and special appropriations 

provided by Congress. The GPO Revolving Fund maintains a system of accounts and 

records transactions to comply with the requirements of § 309 of Title 44 U.S.C.

The Joint Committee on Printing (JCP) has primary responsibility for congressional 

oversight of GPO’s programs and operations. The JCP is composed of five members of the 

U.S. House of Representatives and five members of the U.S. Senate. Every two years the 

JCP chairmanship and vice-chairmanship rotate between the House and the Senate.

B. Accounting Environment

Basis of Accounting

The Government Printing Office (GPO) has historically prepared its financial statements in 

conformity with U.S. generally accepted accounting principles (GAAP), based on accounting 

standards issued by the Financial Accounting Standards Board (FASB), the private-sector 

standards-setting body. 

Under such standards, the GPO prepares its financial statements using the full accrual basis 

of accounting under which revenues are recognized (recorded or accrued) when earned and 

expenses are recognized as incurred, regardless of when cash is exchanged. 

The Federal Accounting Standards Advisory Board (FASAB) has been designated by the 

American Institute of Certified Public Accountants as the standards-setting body for financial 

statements of Federal Government entities, with respect to the establishment of GAAP. 

FASAB has indicated that financial statements prepared based upon accounting standards 

published by the FASB may also be regarded as in conformity with GAAP for those Federal 

agencies, such as the GPO, that have issued financial statements based upon FASB 

accounting standards in the past. Accordingly, consistent with historical reporting, the GPO’s 
Section IV (con’t.): Notes to the Financial Statements

 

U. S. Government Printing Office | Financial Year In Review – FY 2013 44

financial statements are presented in accordance with accounting standards published by 

FASB.

Basis of Presentation and Consolidation

GPO prepares annual financial statements that reflect the overall financial position and 

results of operations to meet the requirements of GAAP and 31 U.S.C. § 3515(b) as 

mandated by 44 U.S.C. § 309(e). The accompanying consolidated financial statements 

include all funds under GPO’s control that have been established and maintained to account 

for the resources of the Agency. All significant intra-agency balances and transactions have 

been eliminated in the preparation of the consolidated financial statements. GPO’s 

consolidated financial statements do not include the effects of centrally administered assets 

and liabilities of the Federal Government, as a whole, such as interest on the public debt, 

which may in part be attributable to GPO. Other Federal agencies make financial decisions 

and report certain financial matters on behalf of the entire Federal Government, including 

matters in which individual agencies may be an indirect party. Financial matters maintained 

or reported by other Federal agencies in which GPO is indirectly involved include employee 

benefit plans and certain legal settlements.

Funds

GPO maintains a Revolving Fund and a general fund to account for its various programs and 

operations. Each of these funds is a distinct fiscal and accounting entity that accounts for 

cash and other financial resources together with all related liabilities and equities.

Revolving Fund – The GPO Revolving Fund is an inter-governmental fund established by 

Congress on July 1, 1953. This business-type Revolving Fund is available without fiscal 

limitation for financing the operation and maintenance of GPO, except for those information 

dissemination programs of the Agency that are funded by annual appropriations.

The GPO Revolving Fund is a self-sustaining financial entity used primarily to finance and 

account for GPO’s Printing and Binding Operations and Publication and Information Sales 

Program. Accordingly, the two major sources of revenue to the Revolving Fund are 

reimbursements from the Congressional Printing and Binding Appropriations and other 

Federal customers for providing printing, binding and distribution services, including U.S. 

passport production, and publication and subscription sales to the public.

The Printing and Binding Operations account for the revenues and expenses associated with 

services provided by in-plant printing and purchased printing. The costs of these services are 

recovered through a system of rates used to bill customers. These rates include direct costs, 

depreciation, overhead, and related expenses permitted under 44 U.S.C. § 309.

The Publication and Information Sales Program sells Federal Government information 

products to the public. The prices of Federal Government publications and subscriptions sold 

through this program are established in accordance with 44 U.S.C. § 1708. 

General Fund – The General Fund is financed by two annual congressional appropriations 

to the Agency. These appropriated funds finance the cost of GPO’s support of the Congress, 
Section IV (con’t.): Notes to the Financial Statements

 

U. S. Government Printing Office | Financial Year In Review – FY 2013 45

and the Government information dissemination services provided to the public without 

charge to the recipients.

The Congressional Printing and Binding (CP&B) Appropriation is used to pay the cost of the 

printing and binding requirements of the Congress, and the printing, binding, and distribution 

of publications authorized by law to be distributed to others without charge to the recipient. 

The Salaries and Expenses (S&E) Appropriation is used by the Library Services and Content 

Management, a GPO business unit, to fund four information dissemination programs: the 

Federal Depository Library Program (FDLP); the Cataloging and Indexing Program; the ByLaw Distribution Program; and the International Exchange Program. The majority of this 

annual appropriation is used to finance the FDLP. Expenditures from these appropriations 

are used to reimburse the GPO Revolving Fund for printing and binding, and other services 

and supplies furnished by GPO in accordance with Title 44 U.S.C.

C. Fund Balance with Treasury

Fund Balance with Treasury represents all balances in GPO accounts with the U.S. 

Department of the Treasury (Treasury). Treasury processes cash receipts and disbursements 

for GPO.

D. Accounts Receivable 

Accounts receivable consist of intra-governmental amounts due to GPO, as well as amounts 

due from the public. Accounts receivable are shown net of a provision for uncollectible 

accounts. The allowance for doubtful accounts is based on GPO’s recent debt collection 

experience.

E. Inventories

Inventories of paper, supplies and materials are shown net of a provision for obsolescence. 

Inventories of paper, supplies, and materials include the cost of production material (e.g., 

computer chips, ink, book cloth), as well as the cost of administrative-use supplies. These 

inventories are valued at the lower of cost, using the weighted moving average cost method, 

or market. The allowance for obsolescence is determined based on historical usage of paper, 

supplies, and materials. 

Inventories of publications held for sale are valued at the lower of cost, using the weighted 

average cost method, or market. The publication inventories are shown net of a provision for 

excess inventory that may be disposed of by the Agency in the future. The allowance for 

surplus publications is based on life cycle studies of product sales that provide a historical 

basis for determining the percentage of potential excess inventory stock items on hand. 

F. Property, Plant, and Equipment

Property, plant and equipment purchases are generally valued at their acquisition cost. GPO 

capitalizes the cost of the property as an asset when the cost is $25,000 or more, and the 

estimated useful life is two years or more. The costs of major alterations and renovations to 

the GPO facility are capitalized and depreciated, while the costs of maintenance and repairs 
Section IV (con’t.): Notes to the Financial Statements

 

U. S. Government Printing Office | Financial Year In Review – FY 2013 46

are expensed when incurred. The depreciation of property, plant and equipment is calculated 

on a straight-line basis over the estimated useful life of the asset. The depreciation of an 

asset commences the month after the asset is first placed in service.

The following table reflects the standard estimated useful life of each major depreciable asset 

category. Exceptions to these standard estimated asset lives are authorized when justified.

Asset Category

Estimated

Useful Life (Years)

Building Improvements 20

Building Appurtenances 20

Other Structures and Facilities 20

Furniture and Fixtures 20

Leasehold Improvements 10

Plant Machinery and Equipment 10

Office Machinery and Equipment 5

Motor Vehicles 5

Computer Software 3

Land has an indefinite life and is not subject to depreciation as well as construction in 

progress (CIP) and capitalized software in process (CSIP). Leasehold improvements are 

generally depreciated over 10 years or the remaining duration of the lease for real property, 

whichever is shorter.

Printing equipment transferred to GPO from other Federal agencies under the provisions of 

44 U.S.C. § 312 is valued in accordance with JCP Regulation Number 26, Government 

Printing and Binding Regulations. This valuation approximates fair market value at the time 

of the property transfer.

G. Deferred Revenues

Deferred revenues are funds received in advance from customers for the future delivery of 

goods and services. GPO records these advances as revenue when the goods are delivered or 

the services are performed.

H. Accrued Annual Leave

Annual leave is accrued as a liability when earned. The liability is reduced when leave is 

used. The annual leave liability is calculated using the current hourly salary or wage of 

employees multiplied by their total hours of unused annual leave. Employees will receive a 

lump-sum payment for any unused annual leave when they separate from Federal service or 

enter active military service.

Sick leave and other types of non-vested leave are expensed when used. Employees are not 

entitled to a lump-sum payment for their unused sick leave.
Section IV (con’t.): Notes to the Financial Statements

 

U. S. Government Printing Office | Financial Year In Review – FY 2013 47

I. Workers’ Compensation Liability

The Federal Employees’ Compensation Act (FECA) provides income and medical cost 

protection to covered Federal civilian employees injured on the job, employees who have 

incurred a work-related occupational disease and beneficiaries of employees whose death is 

attributable to a job-related injury or occupational disease. Claims incurred for benefits for 

GPO's employees under FECA are administered by U.S. Department of Labor (DOL) and are 

ultimately paid by GPO.

The FECA liability consists of two components. The first component, the accrued FECA 

liability, is based on actual claims paid by DOL but not reimbursed by GPO. GPO 

reimburses DOL for the amount of actual claims. As a result, GPO recognizes a current 

liability for actual claims paid by DOL. This liability is captured in Accounts Payable and 

Accrued Expenses.

The second component, the actuarial FECA liability, is the estimated liability for future 

benefit payments. These future estimates were generated from an application of actuarial 

procedures developed to estimate the liability for future FECA benefits. The actuarial 

liability for future workers’ compensation benefits includes the expected liability for death, 

disability, medical and miscellaneous costs for approved compensation cases, plus a 

component for incurred but not reported claims. The liability is determined using a method 

that utilizes historical benefit payment patterns related to a specific incurred period to predict 

the ultimate payments related to that period. 

J. Commitments and Contingencies

FASB Accounting Standards Codification, Asset Retirement Obligations (ASC 410-20), 

requires a reporting entity to recognize a liability for the fair value of a conditional asset 

retirement obligation if the fair value of the liability can reasonably be estimated. 

Accordingly, GPO has estimated and recorded the asset retirement obligation in accounts 

payable. Liabilities from loss contingencies, including environmental remediation costs not 

within the scope of ASC 410-20, arising from claims, assessments, litigation, fines and 

penalties, and other sources, are recorded in accounts payable when it is probable that a 

liability has been incurred and the amount of the assessment and/or remediation can be 

reasonably estimated. Loss contingencies that do not meet these criteria are not accrued. 

K. Revenue Recognition

Printing and Binding – GPO must be reimbursed for the cost of printing and binding 

services furnished to customers at rates set by the Public Printer in accordance with 44 

U.S.C. § 309. Revenues from in-house printing and binding work are recognized on a valueadded basis, as work is performed, while revenues from commercially procured printing and 

binding are recognized on the date the contract requirements are fulfilled, which is generally 

the date of shipment by the commercial printer to the customer agency. Revenues related to 

the manufacture of passports by GPO for the Department of the State are recognized at 

annually negotiated rates per passport at the time that the printing and binding process is 

complete.
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U. S. Government Printing Office | Financial Year In Review – FY 2013 48

Appropriations – Appropriation revenues are recorded when a liability is incurred for 

purposes permitted by the appropriations act and program legislation. Unexpended 

appropriations are recorded as a component of net position. Unexpended appropriation 

balances are generally canceled after 5 years, unless authorized for transfer by appropriations 

committees.

Sales of Publications – Revenues from the sale of publications and subscriptions to 

customers are recognized when shipped by the Publication and Information Sales Program.

Agency Distributions – Revenues from the storage, packaging, and distribution of 

publications for other Federal agencies are recorded when services have been performed.

L. Expense Recognition 

Printing and Reproduction – This expense includes the cost of printing, duplicating, and 

reproduction orders that are procured by GPO from the private sector to satisfy the needs of 

the Federal Government. The expense is generally recorded on the date of shipment by the 

contractor, and is shown net of vendor prompt payment discounts earned by the Agency.

Personnel Compensation and Benefits – Personnel compensation consists of the 

wages and salaries, including overtime premium and night differential, paid to GPO 

employees on a biweekly cycle. Personnel benefits include the Agency’s share of 

contributions towards Federal Employees Health Benefits, Federal Employees’ Group Life 

Insurance and two Federal Government civilian employee retirement programs. The two 

retirement programs are the Civil Service Retirement System (CSRS) and the Federal 

Employees Retirement System (FERS) that includes the related Thrift Savings Plan (TSP). 

Personnel benefits also include the current cost of workers’ compensation expense, transit 

benefits provided by GPO to employees, and the cost of incentive and performance awards to 

employees. Personnel compensation and benefits are recorded as expenses when earned by 

employees.

Supplies and Materials – Computer chips required for passport production are the most 

significant cost component within the category of supplies and materials. Passport supplies 

and materials are recorded as an expense when used in production operations. The second 

most significant component is paper and paper products that are commercially procured to 

satisfy GPO’s in-plant printing requirements and customer orders for blank paper. The 

expense is recorded when paper is drawn from inventory to fulfill an order or delivered to the 

customer, in the case of direct mill-to-customer shipments. This expense category also 

includes all other supplies and materials that are not capitalized as property, such as personal 

computers, furniture, and office supplies. The allowance for obsolete inventory is based on 

life cycle studies of product sales that provide a historical basis for the determination of 

potential excess inventory on hand. 

Other Services – This expense category includes the costs of professional services by 

contractors and the expenses related to a provision for uncollectible accounts receivable. The 
Section IV (con’t.): Notes to the Financial Statements

 

U. S. Government Printing Office | Financial Year In Review – FY 2013 49

expenses for professional services are recognized when the contracted services have been 

performed. The expenses for uncollectible accounts receivable are recognized when 

receivables are deemed as potentially uncollectible, based on GPO’s collection experience. 

Depreciation and Amortization – GPO uses the straight-line method of depreciation and 

amortization to allocate a portion of the acquisition cost of property, plant and equipment to 

each accounting period. The acquisition cost of each capitalized asset is depreciated, or 

amortized, over the asset’s estimated useful life which is generally measured in years. The 

monthly depreciation, or amortization, of a capitalized asset commences at the beginning of 

the first full- month after the date that the capitalized asset was placed in service.

Rents, Communications, and Utilities – Rent and lease costs are incurred for the use of 

building space, equipment, and motor vehicles. GPO leases office and warehouse space from 

the U.S. General Services Administration and commercial landlords. GPO also rents 

automobiles and other motor vehicles. Communications costs include data, voice, video, and 

wireless services. Utilities include electricity, gas, steam, and water. Expenses are recorded 

as services are provided and energy resources are used.

Travel, Transportation, and Postage – This category includes travel and transportation 

costs of persons or things, including employee relocation costs, and postage expenses. Travel 

costs are incurred by persons on official business for audits, attendance at conferences, 

inspections, investigations, training, or other authorized business of the Agency. 

Transportation includes shipping costs for printing and reproduction products from GPO or 

contractors to customer agencies, depository libraries, or other GPO locations. Incurred 

travel expenses are accrued when they are estimable, while transportation costs are generally 

recorded on the date of shipment. Postage and commercial mail services are recorded as 

expenses when the delivery services are provided by the U.S. Postal Service and commercial 

carriers.

Publications Sold – Publications sold expense represents the cost of publications sold to 

customers and the cost of subscriptions issued to subscribers. Expenses are recorded at the 

time of publication sale or subscription issuance. Additionally, this expense includes any 

change in the estimated cost of the publications held in inventory for sale to the public that 

are potentially obsolete, damaged, or surplus. The allowance for surplus publications is based 

on life cycle studies of product sales that provide a historical basis for the determination of 

potential excess inventory on hand.

M. Consolidated Statements of Cash Flows

The consolidated statements of cash flows report the cash provided by and used in operating, 

investing, and financing activity categories. This statement identifies cash flows from GPO 

operations, and is used to identify financing acquired from outside sources, and to identify 

the major non-operating (investing) uses of funds.
Section IV (con’t.): Notes to the Financial Statements

 

U. S. Government Printing Office | Financial Year In Review – FY 2013 50

N. Use of Estimates

The preparation of the consolidated financial statements in accordance with GAAP requires 

management to make estimates and assumptions that affect the reported amounts of assets 

and liabilities, as well as the disclosure of contingent liabilities at the date of the consolidated 

financial statements, and the amount of revenues and expenses reported during the reporting 

period. Actual results could differ from these estimates. 

The estimates that most significantly impact assets, liabilities, revenues, and expenses 

reflected in the accompanying consolidated financial statements are: the allowance for 

inventory obsolescence for supplies, materials, and publications held for sale; the allowance 

for doubtful accounts related to accounts receivable; the estimated useful lives of capitalized 

assets; the actuarial estimated liability for future workers’ compensation benefits; and the 

estimate for contingent liabilities.

O. Fair Value Measurement

GPO applies FASB Accounting Standards Codification, Fair Value Measurements and 

Disclosures (ASC 820-10) for fair value measurements of financial assets and financial 

liabilities that are recognized or disclosed at fair value in the financial statements on a 

recurring basis. ASC 820-10 defines “fair value” as the price that would be received to sell 

an asset, or paid to transfer a liability, in an orderly transaction between market participants 

at the measurement date. This standard establishes a fair value hierarchy that prioritizes the 

inputs to valuation techniques used to measure fair value. The hierarchy gives the highest 

priority to unadjusted price quote in active markets for identical assets or liabilities (Level 1 

measurements) and the lowest priority to measurements involving significant unobservable 

inputs (Level 3 measurements). GPO’s financial instruments are comprised of cash, accounts 

receivable, accounts payable, and accrued liabilities as of September 30, 2013 and 2012. The 

carrying amounts of these financial instruments approximate fair value because of the shortterm nature of these instruments. GPO holds no financial instruments that are measured at 

fair value on a recurring basis.

The approximate fair values in GPO’s financial instruments represent GPO’s best estimates 

of the amounts that would be received to sell those assets, or that would be paid to transfer 

those liabilities, in an orderly transaction between market participants at that date. Those fair 

value measurements maximize the use of observable inputs. GPO developed those judgments 

based on the best information available in the circumstances.

P. Tax Status

As a Legislative Branch agency within the Federal Government, GPO is not subject to 

Federal, state, or local income taxes. Accordingly, no provisions for income taxes are 

recorded by the Agency.
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U. S. Government Printing Office | Financial Year In Review – FY 2013 51

2. Fund Balance with Treasury

A table of items included in GPO’s fund balance with Treasury, including funds on-hand or intransit to the Treasury, as of September 30, 2013 and 2012 follows.

Unrestricted funds are available to meet the financial obligations of the Revolving Fund. 

Restricted funds are composed of customer deposit accounts, other deferred revenues, and 

restrictions for accrued wages and salaries, payroll taxes and other withholdings, and earned 

annual leave not used by employees. These funds can only be used for the purpose specified.

The use of general funds for CP&B and S&E are restricted by appropriation language. 

Supplemental and other general funds include unexpended appropriations made to GPO and are 

for specific purposes as discussed in Net Position, Unexpended Appropriations (Note 12B). 

The total fund balance with Treasury increased $27.7 million (5.8 percent) to $508.3 million in 

fiscal 2013 from $480.6 million in fiscal 2012. Contributing to the increase in this account from 

September 30, 2012 was $13.4 million of cash held for the State Department capital project 

reserve. Total general funds available increased $6.2 million, these funds are allocated to future 

approved projects.

3. Accounts Receivable, Net

Accounts receivable, net of an allowance for doubtful accounts, as of September 30, 2013 and 

2012, consisted of the following.
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U. S. Government Printing Office | Financial Year In Review – FY 2013 52

The majority of accounts receivable are due from other Federal agencies for goods and services 

provided by GPO. By law, these customers are required to reimburse the GPO Revolving Fund 

for the cost of products provided by GPO.

Unbilled accounts receivable results from the delivery of the goods and performance of services 

for which bills have not been presented to the customer for payment yet. Accordingly, unbilled 

accounts receivable includes the value of work in process and completed work for customer 

orders as of September 30, 2013 and 2012.

The majority of employee accounts receivable is owed by current and former employees who 

were advanced leave. Employees generally repay their leave indebtedness through biweekly 

installments from their earned leave or from leave donations from other employees under the 

GPO Leave Donation Program.

Net accounts receivable decreased by $16.8 million (11.9 percent) in fiscal 2013 from fiscal 

2012. This decrease was primarily attributable to the agency’s continued efforts to improve 

receivable collections. A decline in commercial printing activity also contributed to the decrease 

in receivables as Federal agencies reduce, postpone, or cancel print orders while operating under 

the sequester environment. As an example GPO’s Customer Services business unit revenue was 

down $42 million (12 percent) for fiscal year 2013 as agency customers reduce printing spends

due to sequester. 

4. Inventory, Net

Inventories, net of an allowance for surplus and obsolete stock decreased by $3.1 million (9.7 

percent) as of September 30, 2013 from prior year, detailed as follows.
Section IV (con’t.): Notes to the Financial Statements

 

U. S. Government Printing Office | Financial Year In Review – FY 2013 53

5. Prepaid Expenses

Prepaid expenses were $1 million as of September 30, 2013, and $1.2 million as of September 

30, 2012. The majority of this amount is for advance payments of $455,000 for passport chips

for calibrating new equipment and $512,000 in telecommunications charges, software licenses, 

and maintenance contracts that require prepayment. 

6. General Property, Plant, and Equipment, Net

Net property, plant, and equipment as of September 30, 2013 and 2012, consisted of the 

following.
Section IV (con’t.): Notes to the Financial Statements

 

U. S. Government Printing Office | Financial Year In Review – FY 2013 54

General property, plant, and equipment increased by $14.4 million in fiscal 2013 from fiscal 

2012 with capital additions of $36.3 million, offset by annual depreciation of $21.9 million. The 

majority of the capital additions were for PP&E assets of $14.6 million, with the primary project 

being implementation of next generation passport production equipment assets of $11 million. 

Additional GPO capital investments in fiscal year 2013 included $11.4 million for laser 

perforation equipment for the SID business unit as well as power system upgrades of $3.2 

million.

The capital additions for computers and computer software in fiscal 2013 included FDsys 

implementation for $3.3 million and GPO Business Information System GBIS improvements for 

$1.4 million.

Capitalized software in process as of September 30, 2013 included FDsys software 

enhancements for $2.2 million, Composition System Replacement (CSR) enhancements for $1.2 

million, and Netapp storage development for $1.2 million.

Depreciation expense was $21.9 million fiscal year 2013 and $21.5 million in fiscal year 2012.

7. Accounts Payable and Accrued Expenses

Accounts payable and accrued expenses as of September 30, 2013, and 2012, were composed of 

the following.

The decrease in accounts payable and accrued expenses of $13 million resulted in part from a 

decline in agency orders that impacted commercial printing payables. The Other category 

includes professional services including IT software development, maintenance, and systems 

security. 

8. Deferred Revenues 

As of September 30, 2013 and 2012, deferred revenues from customers consisted of the 

following.
Section IV (con’t.): Notes to the Financial Statements

 

U. S. Government Printing Office | Financial Year In Review – FY 2013 55

GPO held $195.5 million and $198.2 million in customer deposit accounts as of September 30, 

2013 and 2012, respectively. Of these amounts, Federal Government customers had advanced 

funds of $193.4 million and $195.8 million for printing and binding deposit accounts, and 

customers advanced $2.1 million and $2.4 million for publication and information sales program 

deposit accounts as of September 30, 2013 and 2012, respectively. The funds in these deposit 

accounts will be applied to future orders placed by customers or refunded on request.

Additionally, GPO held advanced funds from the Federal Government and other customers of 

$1.2 million and $1.5 million for subscriptions for the sales of publications as of September 30, 

2013 and 2012, respectively. 

GPO defers the recognition of revenues for subscription services that will be provided to 

customers in the future. Customers pay for ink-on-paper subscriptions to the Congressional 

Record, the Federal Register, and other publications in advance of delivery. The revenues from 

subscriptions are recognized as the periodicals are published and distributed to subscribers. The 

unfilled subscription balance will be refunded in instances where the subscription is no longer 

available for sale, or the customers cancel their subscription.

GPO also defers the recognition of revenues for unfilled customer orders of publications and 

other information products until the orders are shipped.

GPO defers the recognition of revenues for advance billings to Federal Government customers. 

Advance billings are occasionally used to finance the cost of producing certain large printing and 

binding jobs. GPO will recognize the revenue as work is completed.

9. Workers’ Compensation Liability

Claims incurred and paid by DOL as of September 30, 2013 and 2012, but not yet reimbursed to 

DOL by GPO on the report dates, are approximately $6.7 million and $7.5 million, respectively. 

GPO’s estimated non-current, actuarially derived future workers’ compensation liability was 

approximately $69.1 million and $70.5 million as of September 30, 2013 and 2012, respectively.

In fiscal 2013 GPO converted to the spot interest rate from the previously used DOL rates in 

fiscal 2012. If GPO continued to use the FASAB method the estimated non-current future 

workers’ compensation liability would have been approximately $72.5 million, an increase of $2 

million. GPO’s estimated, undiscounted, non-current, actuarially derived future workers’ 
Section IV (con’t.): Notes to the Financial Statements

 

U. S. Government Printing Office | Financial Year In Review – FY 2013 56

compensation liability was approximately $105.3 million and $102.8 million as of September 30, 

2013 and 2012, respectively.

10. Commitments

10. A. Operating Leases

As of September 30, 2013, GPO was committed to various non-cancelable operating leases, 

primarily covering warehouse and office space. Some of these leases contain escalation clauses 

and renewal options. Annual lease and rental expenses for real and personal property were $4.7

million in fiscal 2013 and $5 million in fiscal 2012.

A schedule of future minimum rental payments required under operating leases by type, which 

have initial or remaining non-cancelable lease terms in excess of one year, follows.

 

Future Minimum Rental Payments

Required Under Operating Leases

10. B. Obligations

GPO had unliquidated obligations of $242.1 million at both September 30, 2013 and 2012,

which $125.1 million and $125 million, respectively, are undelivered orders related to 

commercial printing. These obligations include purchase orders and contractual obligations by 

GPO to acquire goods and services from the private sector and other sources. Some of these 

orders are scheduled for delivery or performance in the next fiscal year.

11. Contingencies

11. A. Administrative Proceedings, Legal Actions, and Claims

GPO is a party in various administrative proceedings, legal actions, and claims brought against 

the Federal Government by employees, contractors, and other parties. The uncertainty involving 
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U. S. Government Printing Office | Financial Year In Review – FY 2013 57

the outcome of these pending matters will be resolved when future events occur or fail to occur. 

In some cases, legal matters relate to contractual arrangements GPO has entered into for goods 

and services procured on behalf of other Federal entities. The costs of administering, litigating, 

and resolving these actions are borne by the GPO Revolving Fund unless the costs are recovered 

from another Federal entity. As of September 30, 2013 and 2012, GPO has recorded estimated 

liabilities of zero and $291,000, respectively, related to claims that management believes the 

likelihood of an adverse result against GPO is probable. Such amounts are included in accounts 

payable and accrued expenses in the financial statements. 

Certain legal matters in which GPO is a named party may be administered and litigated on behalf 

of GPO by the U.S. Department of Justice (DoJ). In these cases, amounts paid under any 

judgment, compromise settlement, or award are funded from the Judgment Fund administered by 

the U.S. Department of the Treasury (31 U.S.C. § 1304). The Judgment Fund paid a total of $2.2 

million in fiscal 2013 on behalf of GPO, of which $2 million was to settle a suit in which GPO 

was one of 19 Federal agency defendants. The suit related to toxic waste that was disposed of by

GPO in 1992. The total settlement amount was recorded by DoJ against GPO in their reporting 

system, and DoJ did not attempt to attribute fair-shares of the settlement to each of the 19 

agencies involved. GPO estimates that the Agency’s fair-share of the settlement paid from the 

Judgment Fund on its behalf is approximately $100,000. GPO is a legislative branch agency 

and, as a result, is not responsible for reimbursement to the fund. These settlements do not

impact GPO’s financial statements and are not reflected in GPO’s consolidated financial 

statements. In fiscal 2012, DoJ paid $455,000 on behalf of GPO from the fund. 

11. B. Environmental Liabilities

GPO’s Central Office in Washington, DC, is located in an industrial facility comprising of four 

older buildings that contain asbestos building materials. When they were constructed, asbestos 

was a common building material used as flame retardant, thermal system insulation, and in a 

variety of building materials (e.g., wall, floor, and ceiling tiles). GPO asbestos abatement efforts 

have been successful in the removal, enclosure, and encapsulation of friable asbestos to comply 

with applicable laws and regulations when unexposed asbestos is detected during building 

renovation projects.

The estimated costs to remove exposed asbestos within the GPO facility, mainly encapsulated 

pipe insulation, were $453,000 as of September 30, 2013, and $454,000 as of September 30, 

2012. The reduced liability is the result of remediation of a portion of the area during recent 

renovations. These amounts are included in accounts payable and accrued expenses on the 

financial statements. The cost to remediate all unexposed asbestos has not been accrued in the 

financial statements due to the inability to reasonably estimate the extent of unexposed asbestos, 

the cost and manner of asbestos remediation, and the dates when the liability will be settled.

12. Net Position

12. A. Cumulative Results of Operations

Retained Earnings – Retained earnings include the net operating results of the GPO 

Revolving Fund, since inception, less certain required transfers to other Federal agencies.
Section IV (con’t.): Notes to the Financial Statements

 

U. S. Government Printing Office | Financial Year In Review – FY 2013 58

Invested Capital – Invested capital represents the resources of the Federal Government 

that were directly appropriated to the Agency by Congress for investment in GPO assets

(land, buildings, equipment, and capital).

12. B. Unexpended Appropriations

The following table presents unexpended appropriation balances from September 30, 2011, 

through September 30, 2013, for appropriations made available to GPO.

Unexpended Appropriations

As of September 30, 2013, GPO had obligated all the $63.8 million of the unexpended 

appropriations available for Congressional printing and binding, and all of the $25.6 million 

of the unexpended appropriations available for Salaries and Expenses. The obligations are 

based on the estimated cost of open orders as of September 30, 2013. At September 30, 

2012, the obligations were $57.8 million in Congressional Printing and Binding 

Appropriations and $27 million in Salaries and Expenses Appropriations.

The Revolving Fund unexpended appropriations balances at September 30, 2013 and 2012

were $22.5 million and $19.9 million, respectively. The Revolving Fund unexpended 

appropriations balances are primarily the result of the following appropriation activities: 

 In fiscal 2001, Congress authorized the transfer of $3.3 million to the Revolving Fund 

from prior year Salaries and Expenses Appropriations to pay for the printing and 

distribution of publications to depository libraries. As of September 30, 2013, GPO 

expended $2.6 million from this appropriation. At the end of fiscal 2013, the balance 

available for future expenditure was $740,000. At the end of fiscal 2012, there was 

$877,000 available.
Section IV (con’t.): Notes to the Financial Statements

 

U. S. Government Printing Office | Financial Year In Review – FY 2013 59

 In fiscal 2007, Congress appropriated $1 million to the Revolving Fund for workforce 

retraining. As of September 30, 2013, GPO had expended the entire appropriation. At the 

end of fiscal 2012, there was $237,000 available. 

 In fiscal 2009, Congress appropriated approximately $5 million to the Revolving Fund for 

information technology development and facilities repair. GPO expended the entire $5 

million from this appropriation as of September 30, 2012. 

 In fiscal 2010, Congress appropriated $12.8 million to the Revolving Fund for information 

technology development and facilities repair. As of September 30, 2013, GPO expended 

about $12.4 million from the appropriation, of which about $735,000 was expended in fiscal 

2013. At the end of fiscal 2013, a balance of $364,000 was available for expenditure. At 

the end of fiscal 2012, a balance of $1.1 million was available for expenditure. 

 In fiscal 2010, GPO transferred a total of $2.2 million from prior year Salaries and 

Expenses Appropriations to the Revolving Fund. This transfer was authorized to cover 

appropriation shortfalls (about $1.5 million of the $2.2 million) and for FDLP improvements 

(about $688,000 of the total). As of September 30, 2013 and 2012, a balance of $1.5

million was available for future expenditure.

 In fiscal 2011, GPO transferred $2.6 million from the Salaries and Expenses 

Appropriation to the Revolving Fund to cover salaries and expenses of the Superintendent 

of Documents. As of September 30, 2013, the balance of $2.6 million was available.

 In fiscal 2012, GPO transferred a total of $9.94 million unexpended prior year balances 

of Congressional Printing and Binding appropriations remaining from fiscal 2011 and fiscal 

2010 and $3.7 million from prior year Salaries and Expenses Appropriations to the 

Revolving Fund. These amounts are available to Congressional Printing and Binding and 

Salaries and Expenses, respectively to offset requirements for new budget authority for 

fiscal 2014, and liquidate obligations incurred in subsequent years. These amounts were 

unexpended as of September 30, 2013. 

 In fiscal 2013, GPO transferred $3.24 million from the Salaries and Expenses 

Appropriations to the Revolving Fund. These amounts are available to the Revolving Fund

to offset Salaries and Expenses requirements for new budget authority for fiscal 2014, and 

liquidate obligations incurred in subsequent years. 

 In fiscal 2013, Congress appropriated $4 million to the Revolving Fund for information 

technology development. As of September 30, 2013, GPO expended about $1 million 

from the appropriation. At the end of fiscal 2013, a balance of about $3 million was 

available.

 

 
Section IV (con’t.): Notes to the Financial Statements

 

U. S. Government Printing Office | Financial Year In Review – FY 2013 60

13. Appropriated Funds 

13. A. Total Appropriations Made Available 

The total appropriations made available to GPO for fiscal 2013 and 2012 were as follows.

Congressional printing and binding 

Salaries and expenses 

Revolving fund 

Total available appropriations 

(Dollars In thousands) 

2013 2012 

82,130 

31,437 

3,967 

117,534 

$ 90,700 

36,000 

500 

s 126,200 
Section IV (con’t.): Notes to the Financial Statements

 

U. S. Government Printing Office | Financial Year In Review – FY 2013 61

 

13. B. Expended Appropriations 

 

The total appropriations expended by GPO during fiscal 2013 and 2012 were as follows. 

Expended Appropriations 

(Dollars in thousands) 

2013 2012 

Congressional printing and binding: 

Hearings $ 18,339 $ 14,920 

Congressional Record products 18,818 21,394 

Miscellaneous publications and 

printing and binding 24,236 22,427 

Bills, resolutions, and amendments 4,496 6,488 

Details to Congress 4,232 4,066 

Business and committee calendars 2,209 3,724 

Committee reports 1,713 2,137 

Other 823 3,680 

Public document envelopes 492 1,042 

Committee prints 836 1,423 

Total Congressional printing and binding 78,113 80,200 

Salaries and expenses: 

Depository library distribution 20,246 23,317 

Cataloging and indexing 8,030 8,168 

International exchange 996 1,106 

By-law distribution 366 320 

Total salaries and expenses 29,827 1 32,900 

Revolving Fund: I 

Infrastructure improvements 4,423 1,366 

Workforce retraining 174 174 

Total revolving fund 4,697 1,529 

Total expended appropriations 110,417 114,629 

Reconciliation of expended appropriations to the 

consolidated statements of revenues, expenses, and 

changes in retained earnings: 

Total expended appropriations 110,417 114,629 

Eliminations Ontra-agency) (67) (117) 

Consolidated revenues from appropriations s 110,350 $ 114,512 
Section IV (con’t.): Notes to the Financial Statements

 

U. S. Government Printing Office | Financial Year In Review – FY 2013 62

14. Employee Benefit Plans 

GPO funds a portion of pension contributions for its employees under the Civil Service 

Retirement System (CSRS) and the Federal Employees Retirement System (FERS), and makes 

payroll deductions from employees for their pension contributions. Office of Personnel 

Management (OPM) determines the employer contributions for these defined benefit plans that 

are required to be paid by GPO. OPM is responsible for Government-wide reporting of CSRS 

and FERS assets, accumulated plan benefits, and unfunded liabilities. In accordance with FASB, 

and consistent with multi-employer pension plans, GPO has reflected only the required 

contribution to these programs in its financial statements. OPM is responsible for funding any 

other costs. Therefore, GPO is not required to disclose the unfunded pension liability and postemployment benefits relative to its employees.

Civil Service Retirement System

The CSRS is a defined benefit plan. Generally, it covers GPO employees first hired before 1984. 

Total GPO (employer) contributions to CSRS for employees covered under this retirement 

program were 7.5 percent of basic pay in both 2013 and 2012 for investigators and lawenforcement officers, and 7.0 percent of basic pay in both years for all other employees. GPO 

contributions were $2 million and $2.3 million for the years ended September 30, 2013 and 

2012, respectively.

Federal Employees Retirement System

Using Social Security benefits as a base, FERS provides a defined benefit plan (Basic Benefit 

Plan) and a voluntary defined contribution plan. GPO employees first hired after December 31, 

1983 were automatically covered by FERS and Social Security, while employees hired prior to 

January 1, 1984 were able to choose between joining this plan or remaining in CSRS.

The employer contribution rate to FERS for GPO law enforcement officers was 30.7 percent of 

basic pay in fiscal 2013 and 26.3 percent in fiscal 2012. The FERS contribution rate for all other 

employees was 14.2 percent in fiscal 2013 and 11.9 percent in fiscal 2012. GPO contributions to 

FERS totaled $14.4 million for fiscal 2013 and $14.2 million for fiscal 2012.

Thrift Savings Plan

The Thrift Savings Plan (TSP) allows employees to defer the recognition of income tax on 

contributions made to the plan. The TSP elective deferral limit for employees was $17,500 and 

$17,000 for 2013 and 2012, respectively. Employees, who were 50 years old or older, were 

allowed additional catch-up contributions of $5,500 in 2013 and 2012. For FERS employees, the 

employer is required to contribute 1 percent of the employee’s base pay to the TSP, and to match

voluntary employee contributions dollar-for-dollar for the first 3 percent of pay, and 50 cents on 

the dollar for the next 2 percent of pay. Thus, the employer contribution to the TSP can be up to 

5 percent for FERS employees. Employees participating in CSRS may contribute to the TSP, 

but they do not receive any matching contributions from the employer. GPO made employer 

contributions to the TSP of $4.7 million in both fiscal years 2013 and 2012.
Section IV (con’t.): Notes to the Financial Statements

 

U. S. Government Printing Office | Financial Year In Review – FY 2013 63

Social Security System

As an employer, GPO matches employee contributions to the U.S. Social Security 

Administration (SSA) under the Federal Insurance Contributions Act (FICA) for employees in 

the FERS. GPO contributes 6.2 percent of gross pay (up to $113,700 in 2013 and $110,100 in 

2013) to SSA's Old Age, Survivors, and Disability Insurance (OASDI) Program. Additionally, 

GPO makes matching contributions for all employees of 1.45 percent of gross pay, without limit, 

to SSA's Medicare Hospital Insurance Program. Contributions to these SSA programs for the 

years ended September 30, 2013 and 2012 totaled $9.7 million and $9.9 million, respectively.

Employment, Pension, and Other Post-Employment Benefits Provided by Others

OPM is responsible for the management, administration, and funding of certain Governmentwide programs that provide pension and other post-employment benefits to retired employees of 

the Federal Government. These OPM administered programs provide benefits to former 

employees of GPO. OPM administered pension programs include the CSRS and the FERS. 

Other OPM administered programs provide health, life, and long-term care insurance benefits to 

active, inactive, and retired employees. Permanent employees of GPO may participate in the 

Federal Employees Health Benefit Program, Federal Employee Group Life Insurance Program, 

and/or Federal Long Term Care Insurance Program before and after their retirement from the 

Agency.

15. Major Customers

GPO’s primary customers are the Congress and large Federal agencies in the Executive Branch 

of the Federal Government. The following reflects GPO’s Top 5 customers in fiscal years 2013

and 2012 .

16. Subsequent Events

GPO has evaluated subsequent events through February 7, 2014, the date which the financial 

statements were available to be issued. There were no material events that required adjustment, 

accrual, or disclosure.
Section IV (con’t.): Acronym List 

U. S. Government Printing Office | Financial Year In Review – FY 2013 64

ACRONYM LIST

ASC Accounting Standards Codification

CP&B Congressional Printing and Binding

CSRS Civil Service Retirement System

DOL U.S. Department of Labor

EFT Electronic Funds Transfer

FASAB Federal Accounting Standards Advisory Board

FASB Financial Accounting Standards Board

FDLP Federal Depository Library Program 

FDsys GPO’s Federal Digital System

FECA Federal Employees’ Compensation Act

FERS Federal Employees Retirement System

FICA Federal Insurance Contributions Act

LSCM Library Services and Content Management

GAAP U.S. Generally Accepted Accounting Principles

GAO U.S. Government Accountability Office

GPO or Agency U.S. Government Printing Office

HTML Hypertext Markup Language

IPAC Intra-governmental Payment and Collection (System)

ISO International Organization for Standardization

JCP Joint Committee on Printing

OASDI Old Age, Survivors, and Disability Insurance

OIG Office of the Inspector General

OMB Office of Management and Budget

OPM Office of Personnel Management

PDF Portable Document Format

PII Personal Identifiable Information

S&E Salaries and Expenses

SID Security and Intelligent Documents

SSA U.S. Social Security Administration

Treasury U.S. Department of the Treasury

TSP Thrift Savings Plan

U.S.C. United States Code

XML Extensible Markup Language
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