Departmental Offices Salaries and Expenses

Program Summary by Budget Activity

Dollars in Thousands

 FY 2015 FY 2016 FY 2017 FY 2016 TO FY 2017

Budget Activity Enacted Enacted Request 2/ $ Change % Change

DO S&E

 Executive Direction $36,002 $37,943 $38,240 $297 0.78%

 International Affairs and Economic Policy $56,266 $58,520 $59,467 $947 1.62%

 Domestic Finance and Tax Policy $78,589 $84,591 $76,304 ($8,287) -9.80%

 Treasury-wide Management and Programs $39,143 $41,446 $43,365 $1,919 4.63%

 Terrorism and Financial Intelligence $0 $0 $117,000 $117,000 NA

TFI

 Terrorism and Financial Intelligence 1/ $112,500 $117,000 $0 ($117,000) -100.00%

Subtotal, Departmental Offices - S & E $322,500 $339,500 $334,376 ($5,124) -1.51%

DO S&E – Reimbursables 1/ $130,032 $123,026 $102,892 ($20,134) -16.37%

TFI Reimbursables $18,442 $6,966 $0 ($6,966) -100.00%

Total Program Operating Level $470,974 $469,492 $437,268 ($32,224) -6.86%

DO S&E - Direct FTE 781 872 1,290 418 47.94%

TFI - Direct FTE 377 377 0 (377) -100.00%

DO S&E - Reimbursable FTE 184 197 166 (31) -15.74%

TFI - Reimbursable FTE 39 29 0 (29) -100.00%

Total FTE 1,381 1,475 1,456 (19) -1.29%

1/ In FY 2016, the Office of Terrorism and Financial Intelligence (TFI) was funded through a separate 

appropriation of $117.0 million, which includes $27.1 million for administrative support.

2/ The FY 2017 Budget maintains TFI at $117.0 million and includes TFI activities in the DO S&E appropriation, 

where it has been each year except FY 2015 and FY 2016.

3/ The Budget also proposes to transfer $7.0 million from the Gulf Coast Restoration Trust Fund for DO’s 

administration and oversight responsibilities for this program. This funding is not included above.

Summary

Departmental Offices (DO) is the headquarters 

bureau for the Department of the Treasury. It

provides leadership in economic and financial 

policy, financial intelligence and enforcement,

and general management. Treasury utilizes 

effective management, policies, and leadership 

to protect our national security through 

targeted financial actions, to promote the

stability of the nation’s financial markets, and 

to ensure the Government’s ability to collect 

revenue and fund its operations. The

Department’s strategic plan guides program 

and budget decisions for DO. 

The FY 2017 Budget request supports DO’s 

leading role in accomplishing the Treasury

strategic goals:

• Promote domestic economic growth and 

stability while continuing to reform the

financial system;

• Enhance U.S. competitiveness and job 

creation, and promote international

financial stability and more balanced

global growth;

• Fairly and effectively reform and 

modernize Federal financial management, 

accounting, and tax systems;
• Safeguard the financial system and use

financial measures to counter national 

security threats; and

• Create a 21st-century approach to

government by improving efficiency,

effectiveness and customer interaction.

DO FY 2017 Budget Highlights

Dollars in Thousands

Departmental Offices - S & E FTE Amount

FY 2016 Enacted 1,249 $339,500

DO S&E 872 $222,500

TFI 377 $117,000

Changes to Base:

Adjustment to Request (22) ($10,050)

Fund RESTORE Act Administrative 

Expenses from Trust Fund (14) ($7,000)

DO Cybersecurity Enhancements (2) ($1,050)

Digital Infrastructure Security Team (6) ($2,000)

Maintaining Current Levels (MCLs): - $5,312

Pay-Raise - $2,316

Pay Annualization - $682

Non-Pay - $2,314

Non-Recurring Costs: - ($1,050)

Kline-Miller Amendment - ($1,050)

Efficiency Savings: - ($1,430)

TFI Contractual Support - ($1,325)

Virtualization of the Foreign Credit 

Reporting System - ($105)

Other Adjustments 60 -

Technical FTE Adjustment 60 -

Subtotal Changes to Base 38 ($7,218)

Total FY 2017 Base 1,287 $332,282

Program Changes:

Program Decreases: - -

Program Increases: 3 $2,094

Rationalization of the Tax Code - $392

Corporate Bond Yield Curve 1 $202

Data and Risk Analysis 2 $1,500

Total FY 2017 Request 1,290 $334,376

FY 2017 Budget Adjustments

Adjustment to Request

Fund RESTORE Act Administrative 

Expenses from Trust Fund -$7,000,000 /

-14 FTE

For FY 2017, the Department proposes 

legislative language to allow Treasury to draw 

$7,000,000 from the Gulf Coast Restoration 

Trust Fund (GCRTF) for management of the 

fund, including administering the civil and 

administrative penalties arising from the Deep 

Water Horizon oil spill, supporting 

environmental and economic restoration of the 

Gulf Coast region, as well as managing grants, 

compliance, and audit programs.

DO Cybersecurity Enhancements -$1,050,000 

/ -2 FTE

In the FY 2016 Consolidated Appropriations 

Act, $1,050,000 and two FTE were provided 

for Security Enhancements to Classified 

Networks and expansion of Departmental 

Offices’ (DO) Wireless Intrusion Prevention 

System. For FY 2017, DO proposes to fund 

this request through the new appropriation 

account, “Cybersecurity Enhancement

Account.”

Digital Infrastructure Security Team -

$2,000,000 / -6 FTE

In the FY 2016 Consolidated Appropriations 

Act, $2,000,000 and six FTE were provided 

for the Digital Infrastructure Security Team. 

For FY 2017, DO proposes to fund this request 

through the new appropriation account, 

“Cybersecurity Enhancement Account.”

Maintaining Current Levels (MCLs)

Pay-Raise +$2,316,000 / +0 FTE

Funds are requested for the proposed January 

2017 pay-raise.

Pay Annualization +$682,000 / +0 FTE

Funds are requested for annualization of the 

January 2016 pay-raise.

Non-Pay +$2,314,000 / +0 FTE

Funds are requested for inflation adjustments 

in non-labor costs such as travel, contracts, 

rent, supplies, and equipment.

Non-Recurring Costs

Kline-Miller Amendment -$1,050,000 / 

+0 FTE

In the FY 2016 Consolidated Appropriations 

Act, $3,000,000 and six FTE were provided to 

support Treasury’s responsibilities under the 

Kline-Miller Amendment (previously referred 

to in the FY 2016 budget request as 

Multiemployer Pension Reform Act) of the 

FY 2015 Omnibus Bill. For FY 2017, 
DO would reduce the contractual support to 

this program, which is for a surge in program 

applications.

Efficiency Savings

TFI Contractual Support -$1,325,000 / 

+0 FTE

DO will achieve cost savings and efficiencies 

in TFI contract services through more efficient 

oversight of all TFI contracts, consolidating 

contracts where appropriate, and partnering 

with other agencies and DO components to 

leverage common technology or administrative 

support needs.

Virtualization of the Foreign Credit 

Reporting System -$105,000 / +0 FTE

DO plans to virtualize the Federal Credit 

Reporting System (FCRS) in FY 2016, at the 

end of the current server’s lifecycle. FCRS 

provides for the input, retrieval, and analysis 

of foreign credit and related data.

Virtualization will eliminate data center 

hosting charges and reduce system operations 

and maintenance costs as well.

Other Adjustments

Technical FTE Adjustment +$0 / +60 FTE

An estimated 60 reimbursable FTE, supporting 

TFI) in FY 2016, will be converted to direct 

FTE in FY 2017. The mission for the 

converted FTE remains the same--full 

administrative support of the TFI program.

Program Increases

Rationalization of the Tax Code +$392,000 / 

+0 FTE

The exponential growth, availability, and 

variety of data from multiple sources have

rapidly changed expectations regarding the

Office of Tax Policy’s analytical capabilities. 

To continue meeting the analytical requests of

the Secretary and the Administration, the

Office of Tax Policy must upgrade the existing 

computing platform. The current platform is 

at risk due to lack of commercially available 

resources. Therefore, the office must migrate

to a more current operating system. The 

FY 2017 request of $392,000 will provide the 

remaining resources necessary to upgrade the 

existing computing platform. 

Corporate Bond Yield Curve +$202,000 /

+1 FTE

Since 2006, the Office of Economic Policy has 

been producing the corporate bond yield 

curve, which single-employer defined-benefit 

pension plans are required by law to use to 

compute the present value of their current 

liabilities and lump sum payments. In 2014, 

the office began producing the Treasury 

constant maturity (TCM) curve. The TCM 

curve is used by several federal agencies to 

evaluate their pension liabilities and military 

disability payments, which amount to more 

than $6 trillion and are the second largest 

liability on the U.S. Balance Sheet. 

Production of both sets of data is a highly 

technical job that requires expertise in 

financial markets and the complexity of bond 

markets. Currently, this responsibility falls to 

one economist. The Office of Economic 

Policy requests one additional economist to 

ensure the continuity of this work, alleviate 

pressure on existing staff, and provide 

Economic Policy with additional flexibility to 

engage in forward-looking research and 

analysis.

Data and Risk Analysis +$1,500,000 / 

+2 FTE

To increase data and risk analysis across DO, 

the following are requested in FY 2017:

• $169,000 and one FTE in the Office of 

Risk Management (ORM). ORM was 

created with a mission to exercise 

leadership across a broad range of crossagency risk management efforts. 

• $237,000 and one FTE to establish a 

Digital Accountability and Transparency 

Act (DATA Act) Program Management 

Office (PMO) within the Office of the 
Deputy Chief Financial Officer to oversee 

and coordinate Treasury’s DATA Act 

implementation. The Departmental 

DATA Act PMO will coordinate, manage, 

and improve upon Treasury’s data 

transparency and standardization across 

financial management, procurement, 

grants, and loans as they relate to DATA 

Act requirements. The PMO would 

support expanded data analytics, 

consolidated management reporting, and 

potentially folding in current financial 

reporting functions from a single data 

repository by managing technical 

contractor support and implementing 

system enhancements within the scope of 

the DATA Act with its stakeholders. 

• $180,000 for the Office of the 

Procurement Executive to establish a

contract for Fed Data analytics. Use of 

FedDataCheck services increases the 

accuracy of the Department's procurement 

spending data in support of benchmarking 

and provides procurement spending data 

reporting in support of strategic sourcing 

opportunities. 

• $350,000 to enhance DO-wide eDiscovery 

capabilities, primarily for the Office of 

General Counsel. This funding will 

provide capability to more expeditiously 

and accurately identify, collect, process, 

review, analyze, redact (as appropriate), 

and produce emails and other electronic 

records in connection with litigation, 

Freedom of Information Act requests, and 

similar matters.

• $564,000 for the Office of International 

Affairs to develop enhanced capability for 

the interagency Committee on Foreign 

Investment in the United States (CFIUS), 

which Treasury chairs, to receive, track, 

and analyze data, including CFIUS case 

data, third party industry and merger and 

acquisitions data, and other data relevant 

to national security reviews conducted by 

CFIUS.

Explanation of Budget Activities

Executive Direction ($38,240,000 from direct 

appropriations, $12,177,000 from 

reimbursable resources)

Provides direction and policy guidance to the 

Department, and interacts with Congress and 

the public on departmental policy matters.

International Affairs and Economic Policy 

($59,467,000 from direct appropriations, 

$3,545,000 from reimbursable resources)

Monitors domestic and international economic 

conditions and collects and analyzes financial 

data.

Domestic Finance and Tax Policy 

($76,304,000 from direct appropriations, 

$24,346,000 from reimbursable resources)

Monitors and provides economic and financial 

policy expertise in the areas of domestic finance 

and tax policy. 

Terrorism and Financial Intelligence 

($117,000,000 from direct appropriations, 

$21,719,000 from reimbursable resources)

Develops and implements strategies to counter 

terrorist financing and money laundering.

Treasury-wide Management and Programs 

($43,365,000 from direct appropriations, 

$41,105,000 from reimbursable resources)

Provides strategic plans and policy direction in 

the fields of human resources, information 

technology security, and financial administration 

that include the formulation and management of 

the budget.

Legislative Proposals

Departmental Offices has no discretionary 

legislative proposals.
Mandatory Proposals

As in the FY 2016 Budget, Treasury proposes

legislative language for FY 2017 to allow 

Treasury to draw $7,000,000 from the Gulf 

Coast Restoration Trust Fund for management of 

the fund, including administering the civil and 

administrative penalties arising from the Deep 

Water Horizon oil spill, supporting 

environmental and economic restoration of the 

Gulf Coast region, and standing up grants, 

compliance, and audit programs.

The following are new proposals for mandatory 

funding, which are described in detail in the 

introduction to the Budget-in-Brief.

• Financing America’s Infrastructure Renewal 

(FAIR)

• Financial Innovation for Working Families 

Fund

• Allotment for Puerto Rico EITC Payments

• Pay for Success

DO Performance by Budget Activity

Budget Activity Performance Measure FY 2013 FY 2014 FY 2015 FY 2016 FY 2017

Actual Actual Actual Target Target

Domestic Finance and Tax Policy Variance Between Estimated and 

Actual Receipts (Annual 

Forecast)(%)

2.5 3.25 2.8 4.25 4.25

Terrorism and Financial 

Intelligence

Impact of TFI Programs and 

Activities

8.3 8.5 8.8 8.5 8.5

Treasury-wide Management and 

Programs

Treasury-wide Leaders Lead 

Index of the Federal Employee 

Viewpoint Survey (FEVS)

N/A 53.0 54.0 55.0 55.0

Key: DISC – Discontinued

Description of Performance

The following performance measures provide 

a snapshot of DO performance:

Variance between estimated and actual 

receipts (annual forecast) (percent): As part 

of managing the Government’s central 

operating account and cash position, the Office 

of Fiscal Projections (OFP) forecasts net cash 

flows to ensure that adequate funds are 

available daily to cover federal payments. To 

determine its overall effectiveness, one of 

OFP’s metrics is to measure the variance 

between actual and projected Federal receipts.

The actual variance for FY 2015 was 

2.8 percent, which is significantly lower than 

the 4.25 percent target for FY 2015. 

Therefore, performance was better than the 

target level. In addition, the FY 2015 

performance compares favorably with the 

actual variance for FY 2014, which was 

3.25 percent. The target for both FY 2016 and 

FY 2017 is 4.25 percent.

Impact of TFI Programs and Activities: In 

order to gauge its performance, TFI created a 

composite measure consisting of three 

program office focus areas related to its 

mission and strategic goals, including 

customer outreach, increasing budget 

production and dissemination of intelligence 

products, and implementing IT modernization 

projects. In FY 2015, TFI exceeded its 

performance goal of 8.5 with a score of 8.8 

and expects to achieve its FY 2016 and 

FY 2017 target of 8.5.
Treasury-wide “Leaders Lead” Index of 

Federal Employee Viewpoint Survey 

(FEVS): Treasury set the goal to increase the 

“Leaders Lead” index above 2014 results. 

Treasury’s score for the Leaders Lead Index 

increased from 53 percent in 2014 to 54 

percent in 2015 and set a target of 55 for 

FY 2016.