United States Mint 

Mission Statement 

The men and women of the United States Mint serve the nation by exclusively and efficiently 

creating the highest quality, most beautiful and inspiring coins and medals that enable commerce; 

reflect American values; advance artistic excellence; educate the public by commemorating 

people, places and events; and fulfill retail demand.

Program Summary by Budget Activity 

Dollars in Thousands

FY 2007 FY 2008 FY 2009

United States Mint Obligated Estimated Estimated $ Change % Change 

Manufacturing $1,770,265 $2,129,806 $2,079,192 ($50,614) -2.38%

Protection 43,943 45,520 46,624 1,104 2.43%

Total Resources $1,814,208 $2,175,326 $2,125,816 ($49,510) -2.28%

Capital Investments $22,654 $44,763 $37,116 ($7,642) -17.0% 

(Not included in Total Resources Above)

FY 2009 Priorities 

• Efficiently and effectively produce and distribute approximately 15.4 billion coins to meet 

demand for circulating coins during FY 2009 to effectively enable commerce, an important 

strategic objective for the Department of the Treasury’s manufacturing activities. 

• Mint and issue Presidential $1 Coins for circulation to honor Presidents Martin Van Buren, 

William Henry Harrison, John Tyler and James K. Polk. 

• Continue to produce and ship other Presidential $1 Coin Act products, including the 24-Karat 

First Spouse Gold Bullion Coins and 24-Karat American Buffalo Gold Bullion Coins, and to 

mint and issue Native American $1 Coins. 

• Produce and distribute new 2009 coin and commemorative programs including redesigned 

one-cent coin, new quarters and the Lincoln and Braille commemorative programs. 

• Produce and distribute recurring numismatic products and sets, as well as other numismatic 

items, in quantities sufficient to make them accessible, available, and affordable to Americans 

who choose to purchase them. 
Table of Contents 

Section 1 – Purpose ........................................................................................................... 1

1A – Description of Bureau Vision and Priorities.......................................................... 1 

1B – Program History and Future Outlook..................................................................... 1 

1C – Industry Outlook .................................................................................................... 3 

Section 2 – Budget Adjustments and Appropriation Language................................... 5

2.2 – Operating Levels Table.......................................................................................... 5 

2.3 – Resource Detail Table............................................................................................ 6 

2B – Appropriations Language and Explanation of Changes......................................... 6 

2C – Legislative Proposals ............................................................................................. 6 

Section 3 – Budget and Performance Plan ..................................................................... 7

3.1 – Budget by Strategic Outcome ................................................................................ 7 

3A – Manufacturing........................................................................................................ 7 

3.2.1 – Manufacturing Budget and Performance Plan.................................................. 10 

3B – Protection ............................................................................................................. 11 

3.2.2 – Protection Budget and Performance Plan ......................................................... 11 

Section 4 – Supporting Materials.................................................................................. 13

4A – Human Capital Strategy Description ................................................................... 13 

4.1 – Summary of IT Resources Table ......................................................................... 14 

4B – Information Technology Strategy ........................................................................ 15 

4.2 – PART Evaluation Table....................................................................................... 16 
Section 1 – Purpose

1A – Description of Bureau Vision and Priorities 

The United States Mint is the world’s largest coin manufacturer with operations in California, 

Colorado, Kentucky, New York, Pennsylvania, and Washington, D.C. The United States Mint’s 

vision is “to embody the American spirit through the creation of our nation’s coins and medals.” 

The United States Mint is committed to holding down costs, streamlining operations, and 

providing value to the American people. Every coin and medal that the United States Mint makes 

should represent something great about America; (the workers that made it, the flawless quality 

of “Made in America”, and the beautiful designs). 

The United States Mint has established the following strategic goals for achieving its mission in 

line with this vision: 

• Establish and reinforce the exclusive brand identity of the United States Mint 

• Create and execute the most effective coin and medal portfolio strategy 

• Achieve greater excellence in coin and medal design 

• Increase operational efficiency while meeting the highest quality standards 

• Develop optimal workforce and workplace culture 

1B – Program History and Future Outlook 

Since FY 1996, the United States Mint has been operating under the United States Mint’s Public 

Enterprise Fund (PEF). As authorized by Public Law 104-52 (codified at 31 U.S.C. § 5136), the 

PEF eliminates the need for appropriations. Proceeds from the sales of circulating coins to the 

Federal Reserve Banks (FRB) and numismatic items to the public are the source of funding for 

operations. Both operating expenses and capital investments are associated with the production 

of circulating and numismatic coins and coin-related products and protective services. Revenues 

in excess of amounts required by the PEF are transferred to the United States Treasury General 

Fund. 

The United States Mint’s consolidated earned revenue, plus other financing sources (seigniorage), 

increased to $2.6 billion in FY 2007 from $2.3 billion in FY 2006. These results reflect increases 

in the demand for both circulating and numismatic products. As a result of operations, the United 

States Mint transferred $825 million to the Treasury General Fund in FY 2007, compared with

$750 million in FY 2006. This increase is primarily attributable to the release of the first three 

Presidential $1 Coins. 

Although the challenge of rising metal prices continued to burden the United States Mint’s

circulating coinage operations in FY 2007, the face value of circulating coins shipped to the 

Federal Reserve increased to $1,727.8 million, $455.9 million higher than $1,271.9 million in FY 

2006. The average market prices through September 2007 for copper, nickel, and zinc increased 

7 percent, 78 percent, and 23 percent, respectively, from FY 2006. Rising metal prices have had 

a significant effect on circulating coinage results and are causing the one-cent coin (penny) and 

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5-cent coin (nickel) to cost more than their face value to manufacture on a per-unit basis. The 

United States Mint has been working with the Department of the Treasury and Congress to keep 

the public informed and to examine alternatives that could mitigate the effect that current metal

prices are having on the circulating coinage. In July 2007, the Administration transmitted to 

Congress a United States Mint legislative proposal that would allow the Secretary of the Treasury

to change the compostion of coins to less expensive materials. As a result, the “Coinage 

Materials Modernization Act of 2007” (H.R. 3330 and S. 1986) was introduced. Changing the 

composition of pennies and nickels to less expensive materials could save the United States 

Treasury approximately $100 million a year without compromising the utility of these coins. 

The United States Mint’s numismatic and bullion operations’ sales to the public decreased to 

$907.6 million from $1.052 billion in FY 2006. The decrease is attributable to a decline in 

bullion coin demand. 

The United States Mint is positioning itself for a future environment that is expected to bring new 

challenges and opportunities. Future success depends on further developing coin production 

expertise, increasing organizational flexibility, and implementing new production technology. To 

achieve this, innovative new technologies and materials are being considered to increase 

capability and agility in the design and manufacture of new products and to streamline 

administrative and related support services.

Challenges

United States Mint operations face key challenges. The new products legislated by the 

Presidential $1 Coin Act of 2005, coupled with efforts for the core recurring numismatic 

products, offer the public many new opportunities for collections, gifts, or investments. Some of 

the key challenges the United States Mint expects to face in the coming years are: 

• Promoting Robust Circulation of $1 Coins – While first-year orders for the Presidential $1 

Coins approached 1 billion, the coins have not yet entered into general circulation. The 

United States Mint is finalizing plans to educate more vendors, transit agencies, retailers and 

citizens on the utility of the $1 coin to promote general circulation. In addition, continued 

efforts are needed to facilitate the most efficient and effective distribution from the United 

States Mint and Federal Reserve into the hands of consumers. 

• Rising Prices of Metal Leading to Higher Production Costs – Steady and dramatic increases 

in the prices of zinc, copper, and nickel have increased the cost of producing circulating 

coinage. This is causing the one-cent and 5-cent coins to cost more than their face value on a 

per-unit basis. As a result, the Department of the Treasury is working with Congress to 

explore alternatives to mitigate the effect of high metals prices, and legislation has been 

introduced to allow the Secretary of the Treasury to change the metal composition of coins. 

• Conclusion of the 50 State Quarters® Program – In recent years, there has been an increased 

demand for numismatic products – much of it because of the popularity of the 50 State 

Quarters products. However, this numismatic product line will cease when the 50 State 

Quarters Program ends in December 2008. 

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1C – Industry Outlook 

Historic coin production levels reflect a long-term underlying increase in the need for circulating 

coins. While demand in individual years may fluctuate, the United States Mint sees a future in

which the demand for circulating coinage is relatively stable from year to year. In this 

environment, there is opportunity for growth with numismatic coins, as evidenced by the 

popularity of circulating commemorative programs such as the 50 State Quarters Program and the 

Westward Journey Nickel SeriesTM. To position operations to accommodate new designs and 

new products, it is necessary to analyze the market and communicate with the public, in addition 

to developing the production techniques and capacity.

United States Mint plans for addressing these challenges include the following: 

Establish and reinforce the exclusive brand identity of the United States Mint 

The United States Mint is a well-known brand within the numismatic and coin collecting 

community, but its brand identity among the general public and in the commercial marketplace is 

less pervasive. Strengthening the United States Mint brand is essential to building the 

numismatic business line. The current strategic planning process encompasses the design and 

development of cost-effective programs to build the United States Mint brand image into one of 

the most recognized names in the marketplace. At the same time, the United States Mint will 

strive to improve customer satisfaction. 

Create and execute the most effective coin and medal portfolio strategy

The United States Mint has had substantial growth in its numismatic business over the past 

several years. While circulating coin demand has remained stable, there are many opportunities 

to expand the numismatic business to meet the needs of the public. A key element of the United 

States Mint strategy is to analyze current and historic products, reassess customer demand, and 

explore ethnic and geographic markets to develop the optimal product portfolio. The United 

State’s Mint will then create and execute a portfolio strategy that not only meets the needs of the 

collector marketplace, but also leads to an increased customer base and increased units sold with 

lower customer acquisition costs.

Achieve greater excellence in coin and medal design 

Programs such as the Artistic Infusion Program (AIP) have proven very successful and have 

increased the quality of designs significantly. The AIP was launched in 2004 to enrich and 

invigorate the design of the nation’s coins and medals. The artists, selected from a nationwide 

competition, represent a broad range of disciplines from illustration drawing, sculpture, painting, 

and graphic design. Several Master Designer artists who have been with the program for a 

number of years have developed into top performers earning an impressive list of design credits. 

The United States Mint’s goal is to continue to develop and mentor new and existing AIP artists 

to become successful coin and medal designers. 

In addition, the United States Mint is placing more emphasis on coinability requirements and has 

raised the standards for excellence in design overall. Most notably, great strides are being made 

in the development of 2D digital design and 3D digital sculpting, resulting in consistently higher 

quality coins and medals. 

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During the American Numismatic Association convention held in August 2007, the United States 

Mint received the prestigious “Coin of the Year” award for its Marine Corps 230th Anniversary

Silver Dollar. Coins from throughout the world are selected on the basis of excellence in 

artisanship, practicality, and general appeal. With greater emphasis placed on excellence in 

design, more design awards are anticipated in the near future. 

While prior successes in coin and medal design are noteworthy, the United States Mint strives to 

reach new levels in coin design excellence. By assembling the right talent, providing the right 

inspiration, communicating American values and evoking the American spirit, the United States 

Mint will introduce a new era in coin and medal design. 

Increase operational efficiency while meeting the highest quality standards 

The United States Mint continually strives to improve production and administrative efficiencies. 

With new designs such as the Presidential $1 Coin products, it is necessary to have the shortest 

time to take a coin from authorizing legislation to the finished product for sale. It also maximizes 

the availability of coins for purchase by the public. 

• The United States Mint is researching and developing new technologies and new materials to 

achieve greater capabilities and efficiencies in the design and manufacturing processes. 

Initiatives include establishing a technology center at the United States Mint at Philadelphia, 

assessing new technologies in digital engraving, and developing a plan to improve the 

response and capability of die manufacturing operations. These initiatives are designed to 

improve quality and lower the costs per coin. 

• Coin manufacturing positions are under review to create a more efficient and effective 

position management structure. This includes developing a coin and die competency-based 

certification program to ensure skill proficiency now and for the future. 

Develop optimal workforce and workplace culture 

• The United States Mint is positioning itself to meet current and future challenges by ensuring

its workforce has the necessary skills to perform the duties of the future and to be engaged in 

accomplishing the mission of the United States Mint. The United States Mint is working 

towards improving standings in workplace surveys so that all employees contribute and feel 

valued for their contribution. The United States Mint is committed to ensuring a safe work 

environment for its employees. While the current accident rate is already low compared to 

industry standards, the United States Mint will strive to improve on this safety record 

whenever possible. 

• Projected Full Time Equivalent (FTE) levels for both FY 2008 and FY 2009 are 

increasing slightly to 2,071 and 2,065 from 1,944 actual usage in FY 2007. This 

reflects increases at the manufacturing facilities to keep up with increased production 

of new and ongoing programs.

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Section 2 – Budget Adjustments and Appropriation Language 

2.2 – Operating Levels Table 

Dollars in Thousands

Bureau: United States Mint FY 2007 

Obligated

FY 2008 

Estimated

FY 2009 

Estimated

FTE 1,944 2,071 2,065

Object Classification:

 11.1 - Full-time permanent 118,587 137,207 141,712

 11.3 - Other than full-time permanent 0 0 0

 11.5 - Other personnel compensation 21,098 15,157 14,987

 11.8 - Special personal services payments 0 0 0

 12 - Personnel benefits 27,892 44,609 45,960

 13 - Benefits for former personnel 883 1,055 125

 21 - Travel and transportation of persons 3,235 3,436 3,509

 22 - Transportation of things 26,088 28,933 28,803

 23.1 - Rental payments to GSA 592 407 408

 23.2 - Rental payments to others 13,874 17,584 17,888

 23.3 - Comm, utilities, and misc charges 12,959 22,800 23,988

 24 - Printing and reproduction 3,167 4,370 4,372

 25 - Other contractual Services 0 0 0

 25.1 - Advisory and assistance services 44,842 77,413 61,550

 25.2 - Other services 29,722 84,805 67,429

 25.3 - Other purchases of goods and services from Govt. accounts 0 12,175 12,283

 25.4 - Operation and maintenance of facilities 0 0 0

 25.5 - Research and development contracts 0 3,000 2,443

 25.6 - Medical care 0 0 0

 25.7 - Operation and maintenance of equip 21,883 26,408 20,996

 25.8 - Subsistence and support of persons 0 0 0

 26 - Supplies and materials 1,481,202 1,693,715 1,677,088

 31 - Equipment 8,160 2,147 2,165

 32 - Land and structures 0 0 0

 33 - Investments and loans 0 0 0

 41 - Grants, subsidies, and contributions 0 0 0

 42 - Insurance claims and indemnities 24 105 110

 43 - Interest and dividends 0 0 0

 44 - Refunds 0 0 0

Total Budget Authority $1,814,208 $2,175,326 $2,125,816

Budget Activities:

 Manufacturing 1,770,265 2,129,806 2,079,192

 Protection 43,943 45,520 46,624

Total Budget Authority $1,814,208 $2,175,326 $2,125,816

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2.3 – Resource Detail Table 

FTE AMOUNT FTE AMOUNT FTE AMOUNT FTE AMOUNT

Budgetary Resources:

Revenue / Offsetting Collections

Circulating $1,049,977 $974,250 $1,442,940 48.11%

Commemorative Quarters 677,800 748,000 165,500 -77.87%

Numismatic 907,572 1,117,412 1,065,033 -4.69%

Total Revenue / Offsetting Collections $2,635,349 $2,839,662 $2,673,473 -5.85%

Unobligated balances, Start of year 0 0 0

 Recoveries of prior year obligations 0 0 0

BA: Offsetting Collections - Anticipated, without advance 0 0 0

Total budgetary resources available $2,635,349 $2,839,662 $2,673,473 -5.85%

Expenditures/Obligations

Circulating 435 472,088 438 613,827 699 923,603 59.59% 50.47%

Commemorative Quarters 323 353,241 330 417,547 83 106,858 -74.85% -74.41%

Numismatic 818 944,936 920 1,098,432 900 1,048,732 -2.17% -4.52%

Protection 368 43,943 383 45,520 383 46,624 0.00% 2.43%

Total Expenditures / Obligations 1,944 $1,814,208 2,071 $2,175,326 2,065 $2,125,816 -0.29% -2.28%

 Capital Investments $22,654 $44,763 $37,116

Net Results $821,141 $664,336 $547,657 -3.58%

 Coin Shipments (In Millions)

Circulating:

One-Cent 8,080 7,660 8,079

Five-Cent 1,306 1,451 1,413

Dime 2,342 2,771 2,710

Quarter 2,799 2,992 2,648

Half-Dollar 2 6 6

Dollar 896 545 521

Total Circulating 15,425 15,425 15,377

Numismatic 13 14 12

Bullion 10 10 10

FY 2007 FY 2008 FY 2009 FY 2008

% Change

Actual Estimated Estimated to FY 2009

0.00%

0.00%

0.00%

2B – Appropriations Language and Explanation of Changes 

Appropriations Language Explanation of 

Changes 

DEPARTMENT OF THE TREASURY 

UNITED STATES MINT PUBLIC ENTERPRISE FUND 

Federal Funds 

Pursuant to section 5136 of title 31, United States Code, the 

United States Mint is provided funding through the United States 

Mint Public Enterprise Fund for costs associated with the 

production of circulating coins, numismatic coins, and protective 

services, including both operating expenses and capital 

investments. The aggregate amount of new liabilities and 

obligations incurred during fiscal year [2008]2009 under such 

section 5136 for circulating coinage and protective service capital 

investments of the United States Mint shall not exceed 

[$33,200,000]$42,150,000. (Department of the Treasury 

Appropriations Act, 2008.

2C – Legislative Proposals 

The United States Mint has no legislative proposals for FY 2009. 

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Section 3 – Budget and Performance Plan

This table lists all FY 2009 resources by strategic goal, objective and outcome outlined in 

the FY 2007-2012 Treasury Department Strategic Plan. The Treasury Strategic Plan is a 

corporate level plan for the Department that provides a description of what the agency 

intends to accomplish over the next five years. 

For detailed information about the FY 2007-2012 Treasury Strategic Plan, please go to: 

http://www.treasury.gov/offices/management/budget/strategic_plan.shtml

3.1 – Budget by Strategic Outcome 

Dollars in Thousands

TREASURY Strategic Outcome FY 2008 FY 2009 Percent

Estimated Estimated Change

AMOUNT AMOUNT AMOUNT 

 U.S. notes & coins 2,175,326 2,125,816 -2.3%

Total $2,175,326 $2,125,816 -2.3%

3A – Manufacturing ($2,079,192,000 from reimbursable programs): The United States 

Mint manufactures and sells products. For budget reporting purposes, these products are grouped 

into three programs: Circulating Coinage, 50 State Quarters, and Numismatic. 

Circulating Program

Circulating Coinage includes the one-cent coin, 5-cent coin, dime, half-dollar and dollar used to 

enable the conduct of trade and commerce. The focus of this mission is to produce coins for 

circulation to meet the needs of the United States in a cost efficient and safe manner using stateof-the-art manufacturing technology and equipment. The United States Mint delivers the 

circulating coinage to the Federal Reserve Bank for distribution. 

The current FY 2009 budget estimate includes resource needs of $924 million to produce and 

ship 14.7 billion coins and generate $1.443 billion in face value (excluding 50 State Quarters).

By spending $924 million on circulating coinage in FY 2009, the United States Mint will produce 

and ship approximately: 

• 8.1 billion one-cent coins with an aggregate value of $81 million, 

• 1.4 billion 5-cent coins with an aggregate value of $71 million, 

• 2.7 billion dime coins with an aggregate value of $270 million, 

• 2.0 billion quarter-dollar coins (non-50 State Quarters coins) with an aggregate value of $500 

million, 

• 521 million dollar coins with an aggregate value of $521 million. 

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50 State Quarters® Program 

A significant component of operations is the 50 State Quarters Program, which began in 1999 to 

commemorate and honor each of the 50 states over a ten-year period. Five new commemorative 

quarter-dollar coins are produced each year. Each quarter’s reverse celebrates one of the 50 states 

with a design honoring that state’s unique history, traditions, and symbols. The quarters are 

released in the same order in which the states ratified the United States Constitution or were 

admitted into the Union. The releases for calendar year 2008 quarters are Oklahoma, New 

Mexico, Arizona, Alaska and Hawaii. The quarters are circulating coins; however, by statute, the 

revenue from this program is considered numismatic for budgetary reporting purposes. The 

Program is displayed separately in the narrative and the financial schedules to present a clearer 

picture of its impact. The 50 State Quarters Program will come to an end in December 2008. 

During the first three months of FY 2009, the United States Mint will continue to produce 2008 

50 State Quarters. The United States Mint plans to spend $107 million to produce and ship 

approximately 664 million 50 State Quarters coins, generating revenues of $166 million dollars in 

FY 2009. 

Impact of the FY 2008 Consolidated Appropriations Act on Mint 

A provision of the FY 2008 Consolidated Appropriations Act, Public Law (P.L. 110-161) 

authorizes the Secretary of the Treasury to issue a series of circulating commemorative quarterdollar coins in calendar year 2009 with reverse designs emblematic of the District of Columbia 

and each of the United States Territories. In 2009, six quarter-dollar coins will be minted and 

issued by the United States Mint in honor of the District of Columbia and the five United States 

Territories: the Commonwealth of Puerto Rico, Guam, American Samoa, the United States Virgin 

Islands, and the Commonwealth of the Northern Mariana Islands.

Public Law (P.L. 110-161) also includes an amendment to move the inscription “In God We 

Trust” from the edge of the Presidential $1 Coins and Native American $1 Coins to the face.

Numismatic Program 

The Numismatic program includes six types of coin products, which the United States Mint 

markets and sells to the public, including (1) Bullion Coins, (2) American Eagle Proof Coins, (3) 

24-Karat Gold Proof Program, (4) Recurring Coin Programs, (5) Commemorative Coins, and (6) 

Medals. The program focuses on providing quality products and services, expanding markets and 

supporting the long-term objectives. The current FY 2009 budget estimate includes resource 

needs of $1,049 million to generate $1,065 million in revenues from the sale of these products. 

Bullion coins are largely bought by precious metal dealers and sold to consumers who desire 

precious metals as part of an investment portfolio. Gold and platinum bullion coins are issued 

with one-tenth, one-quarter, one-half or one ounce precious metal content. Silver bullion coins 

are issued with one ounce of silver metal content. The demand for bullion coins can be greatly

affected by the performance of other investment options, such as equities markets or currency 

markets, and therefore is highly unpredictable. As required by law, in 2006, new 24-karat gold

bullion coins were introduced as part of the American Buffalo Gold Coin Program, and the coins 

in this program complement the popular 22-Karat gold bullion coins. 24-karat (99.99 percent 

fineness) has become the global standard for gold investment coins. The new coins give investors 

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a second option to purchase gold bullion coins whose content and purity are backed by the United 

States Government in the global precious metal market. 

American Eagle Proof Coin products include platinum, gold, and silver and are issued in proof 

quality. Gold and platinum proof coins are issued with one-tenth, one-quarter, one-half or one 

ounce precious metal content. Silver proof coins are issued with one ounce of silver metal 

content. The proof quality coins are considered numismatic products and are sold directly to

consumers from the United States Mint, either as individual coins or in sets. 

The 24-Karat Gold Proof coins are collector versions of the official United States Mint American 

Buffalo Gold Bullion Coins and are available in limited mintages. The obverse features a profile 

of a Native American. The reverse features an American Buffalo. These are the first 24-karat 

gold coins ever issued by the United States Government. 

The First Spouse Program, which honors our nation’s first spouses in the order they served as 

first spouses, is also a feature product of the 24-karat gold coins produced by the United States 

Mint. These one-half ounce gold coins are issued on the same schedule as the Presidential $1 

Coins. 

Recurring products are circulating-derived products, such as proof sets; uncirculated sets; silver 

proof sets; and rolls and bags of quarter-dollars, half-dollars, and dollars. These products are 

designed for mass appeal. 

Commemorative coins are authorized by Congress to celebrate and honor American people, 

places, events, and institutions. Each is minted and issued by the United States Mint in limited 

quantity and is available only for a limited time. Included in the price is a surcharge that is 

authorized to be paid to the designated recipient organizations for projects that benefit the 

community. For example, the American Bald Eagle Recovery and National Emblem

Commemorative Coin Act (Public Law 108-486, dated December 23, 2004), requires the United 

States Mint to produce three coins in 2008 – one gold, one silver and one clad coin – to celebrate 

the recovery and restoration of the American bald eagle, the national symbol of the United States. 

The United States Mint also produces national medals—selective awards authorized by 

Congress—to commemorate significant historical events of the nation, or to honor those persons 

whose superior deeds and achievements have enriched our history, or the world. Some are 

produced as part of a continuing series, such as the Presidents of the United States, Secretaries of 

the Treasury, Directors of the Mint, and Historic Buildings of the United States. 

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Because of the creation of a new United States Mint Strategic Plan, new performance measures

are currently under development. The new measures tie to the strategic goals listed at the 

beginning of this document. The performance measures listed below are measures that were 

previously tracked, some of which may not be used in the future. 

Description of Performance: 

Conversion Cost per 1,000 Coin Equivalents 

The United States Mint’s costs vary by product, and the product mix has been variable over time. 

This makes it difficult to compare operating results from year to year. The coin equivalent 

calculation converts the production output to a common denominator based on the circulating 

quarter. Production costs, excluding metal and fabrication, are then divided by this standardized 

production level, thus resulting in “conversion costs per 1,000 coin equivalents.” This metric 

allows comparison of performance over time by negating the effects of changes in the product 

mix. Starting in FY 2008, the target and results will be presented as a percentage difference from

the baseline in order to allow for the impact of fixed costs as they get spread over varying levels 

of production. The dollar value of the target is then dependent upon the actual volume of coin 

equivalents produced. For example, at a production level of 21.9 billion coin equivalents, the 

baseline cost target would be $7.51 per 1,000 coin equivalents. The conversion cost per 1,000 

coin equivalents through September FY 2007 was $7.23, an improvement over the FY 2006 result 

of $7.55. The performance measure met the FY 2007 target of $7.27. 

Order fulfillment 

Overall order fulfillment is tracked for the circulating coins shipped to the Federal Reserve and 

the numismatic coins sold to the public. Order fulfillment is an important aspect of the United 

States Mint's operations. On-time fulfillment of Federal Reserve orders ensures adequate 

inventory of coins available for commerce. One important component of customer satisfaction 

with numismatic coin products is the timely fulfillment of orders. Both components are weighted 

by their respective share of the total revenues and other financing sources. Order fulfillment 

through FY 2007 was 98 percent, an increase from 95 percent in FY 2006. This means that 98 

percent of the United States Mint’s revenue and other financing sources through FY 2007 were 

3.2.1 – ManufacturingBudget and Performance Plan

Manufacturing Budget Activity

FY 2005 FY 2006 FY 2007 FY 2008 FY 2009

Resource Level Obligated Obligated Obligated Estimated Estimated

 Appropriated Resources

 Reimbursable Resources

$0 $0 $0 $0 $0

$979,159 $1,469,100 $1,770,265 $2,129,806 $2,079,192

Total Resources $979,159 $1,469,100 $1,770,265 $2,129,806 $2,079,192

Budget Activity Total $979,159 $1,469,100 $1,770,265 $2,129,806 $2,079,192

Manufacturing Budget Activity

 Measure FY 2005 FY 2006 FY 2007 FY 2008 FY 2009

Actual Actual Actual Target Target

Cost per 1000 Coin Equivalents ($)(E) $7.42 $7.55 $7.23 Discontinued Discontinued

Cost per 1000 C in Equivalents (% Deviation

%

o

From target )(E) N/A N/A N/A %

 98.00%

0.00

 Discontinued

0.00

Order Fulfillment (%)(Oe) 94.00% 95.00% Discontinued

Key: Oe - Outcome Measure, E- Efficiency Measure, Ot- Output/Workload Measure, and M- Management/Cust. Satisfaction

 

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earned from products that were shipped to the customer in a timely fashion, meeting the target of 

96 percent. 

As previously mentioned, new performance measures are currently under development and the 

Order Fulfillment measure will be discontinued after FY 2007. 

3B – Protection ($46,624,000 from reimbursable programs): The United States Mint 

secures over $100 billion in market value of the nation’s gold reserves, silver, and other assets. 

The United States Mint Police protects United States Mint assets while safeguarding its 

employees against potential threats at its facilities across the country. The United States Mint 

Police addresses possible threats by ensuring good perimeter security at all sites and coordinating 

with various federal, state and local law enforcement agencies. It also ensures that proper 

policies are in place, and procedures followed, in handling the assets used to produce and 

transport coinage. 

Plans include efforts to leverage new technology to automate entry and exit procedures at United 

States Mint facilities. Innovative threat assessment strategies will continue to be pursued to 

effectively prevent and counteract any security threats against its operations.

3.2.2 – Protection Budget and Performance Plan 

Protection Budget Activity

FY 2005 FY 2006 FY 2007 FY 2008 FY 2009

Resource Level Obligated Obligated Obligated Estimated Estimated

 Appropriated Resources $0 $0 $0 $0 $0

 Reimbursable Resources $34,984 $36,917 $43,943 $45,520 $46,624

Total Resources $34,984 $36,917 $43,943 $45,520 $46,624

Budget Activity Total $34,984 $36,917 $43,943 $45,520 $46,624

Protection Budget Activity

 Measure FY 2005 FY 2006 FY 2007 FY 2008 FY 2009

Actual Actual Actual Target Target

Protection Cost Per Square Foot ($) (E) $32.43 $32.49 $31.75 $32.11 $32.00

Total Losses ($) (Oe) $1,135 $ 0 $0 $5,000 $2,000

Key: Oe - Outcome Measure, E - Efficiency Measure, Ot - Output/Workload Measure, and M - Management/Cust. Satisfaction 

Description of Performance: 

Protection Cost per Square Foot 

Protection cost per square foot is the Office of Protection’s total operating cost divided by the 

area of usable space, which is 90 percent of the total square footage. The cost per square foot 

provides a measurement of efficiency over time. The square footage of usable space at the 

United States Mint is a stable figure and will only change significantly with major events such as 

the addition or removal of a facility. Protection cost per square foot through September 2007 was 

$31.75, a decrease from $32.49 in FY 2006, meeting the performance target of $32.99. 

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Total Losses

The United States Mint performs its protection function by minimizing the vulnerability to theft 

and preventing unauthorized access to critical assets. Total losses measures the dollar amount of 

losses incurred in cases that have been investigated and closed. The total losses measure includes 

three categories of losses: 

• Financial Losses: intentional monetary losses, thefts or fraud from metal reserves, produced 

coinage, retail sales and other administrative losses 

• Cost of Intrusions: the cost of repair or recovery from an intentional intrusion, either 

electronically or physically, into United States Mint systems and facilities 

• Productivity Losses: the cost of intentional damage or destruction to production capabilities, 

including related costs for continuity of operations 

At the end of FY 2007, the United States Mint initiated a review to examine the policies and 

procedures that serve as the basis for this measure. The FY 2007 result for the Total Losses 

measure is pending the outcome of this review. The review is expected to be completed during 

FY 2008, and the results for FY 2007 will be published in subsequent budget reports and in the 

FY 2008 annual report.

For detailed information about each performance measure, including definition, 

verification and validation, please go to: 

http://www.treasury.gov/offices/management/dcfo/accountability-reports/2007-par.shtml

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Section 4 – Supporting Materials 

4A – Human Capital Strategy Description 

The United States Mint’s human capital strategies and efforts continue to evolve and include the 

following initiatives: 

• Creating a leadership development program to develop highly skilled supervisors and leaders 

and proactively plan for succession 

• Developing a coin and die competency-based certification program to ensure skill proficiency 

now and for the future 

• Ensuring employees are engaged in the mission 

 

As of September 2007, 46 percent of the United States Mint’s workforce is, or will become, 

eligible for retirement before FY 2011. Four mission-critical occupations are most affected by 

imminent retirements and lack of technical expertise and skills: Metal Forming Machine 

Operators, Coin Assembly Machine Operators, Toolmakers, and Production Machinery 

Mechanics. 

To mitigate this challenge, the United States Mint is developing a Coin and Die Manufacturer 

Certification Program. Its purpose is to build teams of multi-skilled workers in order to provide 

more flexibility and efficiency in operations, to identify skills needed for the future and plan for 

acquiring these skills, and to develop a career ladder program to provide a vehicle for further 

advancement. 
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4.1 – Summary of IT Resources Table 

Dollars in Thousands

Information Technology Investments

FY 2006

Major IT Investments / Funding Source Budget Activity

& Earlier 

Obligated 1/

FY 2007 

Obligated

FY 2008 

Estimated

Retail Sales System Manufacturing $4,800 $4,850 1.0% $4,900 Subtotal, Major IT Investments $4,800 $4,850 1.0% $4,900 Non-Major IT Investments $4,600 $4,540 -1.3% $4,700 Infrastructure Investments $35,900 $36,677 2.2% $35,935 Enterprise Architecture $1,100 $1,302 18.4% $3,050 Total IT Investments $46,400 $47,369 2.1% $48,585 1/ This chart includes resources only, and may not reflect total project costs.2/ This column reflects resources provided to a project in FY 2006 and any previous years.

% Change from

FY06 to FY07

% 
4B – Information Technology Strategy 

The United States Mint is a manufacturing agency whose primary mission is to produce coinage 

to effectively enable commerce. As such, capital investment requirements are predominantly for 

manufacturing-type equipment, rather than Information Technology purchases, as reflected in the 

chart below. 

The United States Mint’s capital projects are focused on improving processes, developing new 

coin design capabilities, and expanding information handling. These investments are designed to 

reduce costs, shorten the overall time from product concept to production, and achieve greater 

flexibility to respond to shifts in market demands. The major IT investment planned for 2009 is 

in the Retail Sales System. 

The Retail Sales System (RS2) was developed in response to a growing need to meet the rapidly

expanding numismatic market and to take advantage of new technology that would better support 

the United States Mint's business requirements. RS2 was designed to meet high public demand

for E-Government services and provide an easy and secure way for customers to order products 

directly from the United States Mint. An integrated mail order and cataloging system supports 

the United States Mint's core mission as well as the President's E-Government initiative. 

Capital Investments 

(Dollars in Millions) 

FY 2007

Obligations

FY 2008

Estimated

FY 2009

Estimated

Circulating & Protection Capital Investments

Circulating Information Technology 1.286 3.012 0.971

Circulating Building Improvements 3.835 4.239 5.061

Circulating Equipment 5.208 7.218 8.617

Protection 2.008 8.940 3.475

Total Circulating and Protection 12.337 23.409 18.124

Numismatic Capital Investments

Numismatic Information Technology 1.286 3.012 0.970

Numismatic Building Improvements 1.165 6.787 6.668

Numismatic Equipment 7.866 11.555 11.354

Total Numismatic 10.317 21.354 18.992

Total Capital Investments 22.654 44.763 37.116

Major Investments

The United States Mint’s FY 2009 circulating and protection capital request is $18.1 million, 

which is $24.1 million below the projected circulation and protection depreciation (capital limit) 

amount of $42.2 million. 

Each year, the United States Mint commits funds for capital projects to maintain, upgrade or 

acquire physical structures, equipment, physical security, and information technology systems. 

Total capital projects are estimated to be $37.1 million in FY 2009. This includes approximately

$14.6 million for circulating projects, $3.5 million for security improvement projects, and $19.0 

million for numismatic projects. 
4.2 – PART Evaluation Table 

PART Name: Coin Production

Year PARTed: 2002

Rating: Effective

OMB Major Findings/Recommendations

Bureau Actions Planned or Underway

3. Establishing a performance target to reduce the time rquired to process raw materials into produce coins.

1. Reducing the maintenance down time of coin manufacturing machinery.

3. The Mint has shown some efficiency improvements in achieving reduced manufacturing costs. The Mint has achieved a 19 

percent reduction in manufacturing costs since 1997.

1. The Mint has established performance measures focused on customer satisfaction and improving cost efficiencies. For

instance, the Mint reports the results of a Federal Reserve Board Customer Satisfaction survey.

2. The Mint needs to improve customer satisfaction survey scores.

2. Competing customer service and order mailing staff to determine if contractors could handle these functions more

efficiently.

PART Name: Numismatic Program

Year PARTed: 2004

Rating: Effective

OMB Major Findings/Recommendations

Bureau Actions Planned or Underway

2. Continuing to streamline the production of numismatic products in order to reduce costs and improve efficiency.

1. The program has made enormous strides over the past several years to streamline the production of numismatic products. 

Between 1999 and 2003, the Mint reduced costs by 38 percent and reduced workforce by 50 percent. During that same time

period, production levels increased by 46 percent.

2. The Mint has an excellent internal management structure that is able to receive and analyze real-time financial, production, 

and other operating data on a daily basis. This enables the Mint to respond quickly to changing production and customer

demand.

3. The Mint is making significant progress toward meeting its inventory turnover target of 4.2 in 2005, which reflects the 

number of times per year the Mint works through its inventory. This measure improved 27 percent from 1.96 in 2003 to 2.48 in 

2004. By improving performance, the Mint reduces costs associated with inventory and the production planning process runs

more efficiently.

1. Continuing substantial progress toward reaching the Mint's target goal for inventory turnover.

PART Name: Protection Program

Year PARTed: 2005

Rating: Effective

OMB Major Findings/Recommendations

Bureau Actions Planned or Underway

2. Continue to improve employee confidence in the United States Mint protection program.

1. The United States Mint has developed adequate long-term performance measures with ambitous targets and timeframes. 

The Mint's target for total losses is $250,000 in 2005 and $0 in 2010

2. The United States Mint's Protection program has a clear purpose, is well planned, and managed effectively. However, it is

somewhat duplicative of other Federal efforts aimed at protecting money, such as the Bureau of Engraving and Printing, and 

the Federal Reserve Police forces.

3. The United States Mint regularly achieves its annual performance goals and works with other law enforcement partners to

assess threat levels and assist in achieving future goals. The United States Mint is a participant in the multi-agency CounterTerrorism Program.

1. Continue to assess and implement ways in which the cost of protection per square foot can be minimized.

For a complete list of PART results visit the following website: 

http://www.whitehouse.gov/omb/expectmore/all.html

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