Treasury Forfeiture Fund 

Mission Statement 

To affirmatively influence the consistent and strategic use of asset forfeiture by law enforcement 

bureaus participating in the Treasury Forfeiture Fund to disrupt and dismantle criminal 

enterprises. 

Program Summary by Budget Activity 

Dollars in Thousands 

FY 2009 FY 2010 FY 2011

Actual Estimated Estimated $ Change % Change

 Asset Forfeiture Fund $483,586 $600,000 $526,000 ($74,000) (12.3%) 

Total Resources $483,586 $600,000 $526,000 ($74,000) (12.3%)

Total FTE 20 22 22 - -

FY 2011 Priorities 

Use of high impact forfeiture to dismantle criminal enterprise: 

• Continue to cultivate and strengthen relationships at the federal and state and local levels to 

use high impact asset forfeiture to disrupt and dismantle criminal enterprise. 

• Educate and focus stakeholders and others on the vision and mission of Treasury’s multiDepartmental asset forfeiture program. 

• Focus resources in a high impact manner that enhances enforcement against: terrorist 

financing, illegal immigration, bulk cash smuggling, and money laundering, providing 

support to the National Money Laundering Strategy. 

• Foster and support the investment of forfeiture resources in the needs of our participating law 

enforcement bureaus, including new technologies and data collection, in order to promote 

program excellence and strengthen the overall quality of high impact criminal investigations. 

• Reinforce relationships with member bureaus that extend across Departmental boundaries 

and with state, local and foreign law enforcement agencies that extend the reach of federal 

law enforcement. 

• Develop and modify forfeiture training and awareness programs that are responsive to 

today’s needs and continually re-evaluate such training initiatives for best practices. 

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Table of Contents 

Section 1 – Purpose ........................................................................................................... 3

1A – Description of Bureau Vision and Priorities .......................................................... 3 

1B – Program History and Future Outlook ..................................................................... 3 

Section 2 – Budget Adjustments and Appropriation Language ................................... 6

2.2 – Operating Levels Table .......................................................................................... 6 

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

2B – Appropriations Language and Explanation of Changes ......................................... 7 

2C – Legislative Proposals .............................................................................................. 7 

Section 3 – Budget and Performance Plan ..................................................................... 8

3.1 – Budget by Strategic Outcome ................................................................................ 8 

Section 4 – Supporting Materials .................................................................................. 11

4A – Human Capital Strategy Description ................................................................... 11 

4B – Information Technology Strategy ........................................................................ 11 

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Section 1 – Purpose

1A – Description of Bureau Vision and Priorities 

The Treasury Forfeiture Fund (the Fund) is the receipt account for the deposit of non-tax 

forfeitures made pursuant to laws enforced or administered by bureaus participating in the 

Treasury Forfeiture Fund. The member bureaus include the Internal Revenue Service’s Criminal 

Investigation (IRS-CI), Customs and Border Protection (CBP), Immigration and Customs 

Enforcement (ICE), and the U.S. Secret Service (Secret Service.) The latter three bureaus are 

part of the Department of Homeland Security, transferred as part of the Homeland Security Act 

of 2002. These member bureaus are joined by the U.S. Coast Guard, Department of Homeland 

Security, as the result of a long-standing close law enforcement relationship with legacy 

Customs. 

Vision: The focus of Fund management is on strategic cases and investigations that result in 

high impact forfeitures. This approach will have the greatest impact on criminal organizations 

and thus will accomplish the ultimate mission of the Fund to disrupt and dismantle criminal 

enterprises. The enhancement of forfeiture activity requires longer, more in-depth investigations. 

To this end, Fund management emphasizes the use of mandatory funding authorities that support 

large case initiatives including the purchase of evidence and information, joint operations 

expenses, investigative expenses leading to seizure, and asset identification and removal teams. 

In addition, it is also a priority to fund revenue-enhancing projects such as major case funding, 

database development and computer forensics through the use of the Secretary’s Enforcement 

Fund or Super Surplus funds when available. 

Priorities: Asset seizure and forfeiture is a priority for the Fund’s participating law 

enforcement organizations, as well as the Department of the Treasury, and is linked directly to 

the National Money Laundering Strategies. In this regard, management has identified the 

following priorities for mission success: 

• Continue to educate and focus stakeholders, and others, on the vision and mission of 

Treasury’s multi-Departmental asset forfeiture program (i.e., affirmatively influence the 

consistent and strategic use of asset forfeiture by law enforcement bureaus participating in 

the Treasury Forfeiture Fund to disrupt and dismantle criminal enterprises); 

• Focus resources in a manner that enhances support of law enforcement’s national money 

laundering strategy and anti-terrorism financing efforts; and 

• Foster and support the investment of forfeiture resources in the needs of our participating law 

enforcement bureaus in order to promote program excellence and strengthen the overall 

quality of criminal investigations. 

1B – Program History and Future Outlook 

Program History: The Treasury Forfeiture Fund continued in its capacity as a multiDepartmental Fund in FY 2009, representing the forfeiture interests of law enforcement 

components of the Departments of the Treasury and Homeland Security. In the midst of this 

period of growth and change, the Fund’s law enforcement bureaus continued their hard work of 

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federal law enforcement and the application of asset forfeiture as a sanction to bring criminals to 

justice. 

FY 2009 continued a pattern of robust revenue years with income from forfeitures and recoveries 

totaling $600 million. Among the forfeiture deposits during FY 2009 was $175 million forfeited 

by Lloyds TSB Bank (“Lloyds”) as part of a Deferred Prosecution Agreement. Lloyds, a 

financial institution registered and organized under the laws of England and Wales, agreed to 

forfeit $350 million as a settlement with the U.S. Government ($175 Million) and the State of 

New York ($175 Million) after U.S. investigators found that it falsified information on electronic 

fund transfers from Iranian and Sudanese banks to U.S. banks. 

Future Outlook: Management forecasts a continued robust program for FY 2010 and FY 2011 

with forfeiture revenue and recoveries estimated at $502 million, respectively. In FY 2009, the 

Forfeiture Fund continued to experience higher-than-anticipated revenues as a result of some 

unusually large forfeiture cases. While estimates for FY 2010 and FY 2011 reflect a higher level 

of revenue than that set by historical patterns; generally, it is difficult to predict forfeiture 

revenue into the future. Much depends on the staffing and workload priorities of member 

bureaus. Fund Management continues to monitor the status of high impact cases through 

performance measurement and monthly reporting by member bureaus. 

FY 2010: For FY 2010, Fund management will remain focused on support for strategic 

investigative initiatives that will have the greatest impact on national and international criminal 

enterprise including valuable training and investigative expense funding that emphasizes high 

impact forfeiture cases. Fund management plans to continue investment in technologies and 

data collection and to further develop and modify forfeiture training and forfeiture awareness 

programs that are responsive to today’s needs and designed to foster the understanding and 

application of asset forfeiture; and to continually re-evaluate our basic method of operation to 

ensure that this methodology is the best one. Fund management will continue its work to 

reinforce relationships with member bureaus that extend across Departmental boundaries to 

ensure that the vision, mission, and operating strategies and policies of the Treasury Forfeiture 

Fund continue to be recognized by the various Departments. 

FY 2011: The Treasury Forfeiture Fund is a vital, continuing, business enterprise that is 

essential in its importance to our member law enforcement bureaus. Given the priorities of the 

National Money Laundering Strategy and the law enforcement priorities of our member bureaus, 

the outlook for FY 2011 is similar to FY 2010; management intends to maintain a dynamic and 

evolving asset forfeiture program that is responsive to the needs of our member law enforcement 

bureaus. At this time, Fund management projects a Super Surplus of $42 million for FY 2011. 

Because it is difficult to project forfeiture revenue into the future, this estimate is contingent 

upon the actual performance of member bureaus during FY 2010. 

The FY2011 President’s Budget proposes to return $62 million from the Treasury Forfeiture 

Fund to the Treasury’s General Fund in order to reduce the need for Federal borrowing to 

finance government operations. In the last two appropriations bills, Congress has elected to 

enact a temporary rescission of Treasury Forfeiture Fund balances, rather than a permanent 

cancellation of balances. This budget treatment does not allow the rescinded amount to be 

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deposited into the General Fund, but rather simply delays spending for one year. The Forfeiture 

Fund will not be able to return the money to the Treasury’s General Fund thereby reducing 

budget deficit, unless the Congress enacts a permanent cancellation of balances. 
Section 2 – Budget Adjustments and Appropriation Language 

2.2 – Operating Levels Table 

Treasury Forfeiture Fund FY 2009 

Obligated

FY 2010 

Estimated

FY 2011 

Estimated

 

FTE 20 22 22

Object Classification: 

25.2 - Other services 144,137 215,000 215,000 

25.3 - Other purchases of goods and services from Govt. 155,669 235,000 161,000 

accounts 

41 - Grants, subsidies, and contributions 183,780 150,000 150,000 

Total Budget Authority $483,586 $600,000 $526,000

 

Budget Activities: 

Asset Forfeiture Fund 483,586 600,000 526,000 

Total Budget Authority $483,586 $600,000 $526,000

 

2.3 – Resource Detail Table 

Table 2.3 Resource Detail Table

Dollars in thousands

% Change

The Fund has no direct FTE. FY 2009 FY 2010 FY 2011 FY 2010

Actual Estimated Estimated to FY 2011

Revenue:

Sources:

 Carryover from prior year $183,082 $299,970 $141,970 -52.67%

 Restoration of temporary rescission $30,000 $90,000

 Current year forfeiture revenue 630,474 502,000 502,000 0.00%

 Total Revenue 813,556 831,970 733,970 -11.78%

Uses:

 Permanent Authority (Obligations) 483,586 600,000 526,000 -12.33%

 Total Obligations 483,586 600,000 526,000 -12.33%

Rescission of Unobligated Balances: 1/

 1. Public Law 111-8 Omnnibus Appropriatons Act, 2009 -30,000

 2. Public Law 111-117 Consolidated Appropriations Act, 2010 -90,000

Cancellation of Unobligated Balances:

 1. Proposed Cancellation of Unobligated Balances -62,000

 Subtotal, Reduction to Unobligated Balances -30,000 -90,000 -62,000 -31.11%

Carryover to next year 2

/ 299,970 141,970 145,970 2.82%

1/ In both FY 2009 and FY 2010, the Administration proposed a permanent cancellation of a portion of the Fund's unobligated balances.

In both of these years, Congress enacted appropriations legislation that made the rescissions temporary.

2/ The Fund incurs expenses immediately upon the start of the new year, including costs of an extensive array of property contracts

which must be funded without delay. Therefore, a carryover is required each year.

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2B – Appropriations Language and Explanation of Changes 

2C – Legislative Proposals 

The Treasury Forfeiture Fund has no legislative proposals for FY 2011. 

Appropriations Language Explanation of Changes

DEPARTMENT OF THE TREASURY

TREASURY FORFEITURE FUND

Of the unobligated balances available 

under this heading, [$90,000,000] 

$62,000,000 are [rescinded] hereby 

permanently cancelled.

For FY 2011, $62,000,000 of

unobligated balances is proposed for 

permanent cancellation.

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Section 3 – Budget and Performance Plan

This table lists all FY 2011 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 2010 

Estimated

FY 2011 

Estimated Percent Change

 National security 600,000 526,000 -12.33%

Total $600,000 $526,000 -12.33%

3A – Asset Forfeiture Fund ($526,000,000 from reimbursable programs): The function of the 

Treasury Forfeiture Fund (the Fund) is to ensure resources are managed to cover the costs of an 

effective asset seizure and forfeiture program, including the costs of seizing, evaluating, 

inventorying, maintaining, protecting, advertising, forfeiting and disposing of property. Asset 

forfeiture is used by federal law enforcement to disrupt and dismantle criminal enterprises. 

Summary of Treasury Forfeiture Fund Authorities: The Treasury Forfeiture Fund is a special 

fund with permanent, indefinite authority. Special funds are federal fund collections that are 

earmarked by law for a specific purpose, and which consist of separate receipt and expenditure 

accounts. The enabling legislation for the Treasury Forfeiture Fund (31 U.S.C. § 9703) defines 

those purposes for which the Fund’s revenue may be used. Forfeiture revenue on deposit in the 

Fund can be allocated and used as the result of a permanent indefinite appropriation provided by 

Congress. 

A forfeiture process begins once property or cash is seized. Upon forfeiture, seized currency, 

initially deposited into a suspense, or holding account, is transferred to the Fund as forfeited 

revenue. Once forfeited, physical properties are sold and the proceeds are deposited into the 

Fund as forfeited revenue. It is forfeiture revenue that composes the budget authority for 

meeting expenses of running the Treasury Forfeiture Fund program. 

Expenses of the Fund are set in a relative priority so that operating costs are met first. Expenses 

may not exceed revenue in the Fund. 

Types of spending authority of the Fund: 

The mandatory authority items are generally used to meet the operating costs of the Fund, 

including expenses of storing and maintaining seized and forfeited assets, valid liens and 

mortgages, investigative expenses incurred in pursuing a seizure, information and inventory 

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systems, and certain costs of local police agencies incurred in joint law enforcement operations. 

Following seizure, equitable shares are paid to state and local law enforcement agencies that 

contributed to the seizure activity at a level proportionate to their involvement. 

Secretary’s Enforcement Fund (SEF) is derived from equitable shares received from the 

Department of Justice or U.S. Postal Service (USPS) forfeitures. These shares represent 

Treasury’s portion in the overall investigative effort that lead to a Justice or USPS forfeiture. 

SEF revenue is available for Federal law enforcement purposes of any law enforcement 

organization participating in the Treasury Forfeiture Fund. 

Super Surplus represents the remaining unobligated balance at the close of the fiscal year after 

an amount is reserved for Fund operations in the next fiscal year. Super Surplus can be used for 

any federal law enforcement purpose. 

3.2.1 – Asset Forfeiture Fund Budget and Performance Plan 

Asset Forfeiture Fund Budget Activity

Resource Level

FY 2007 FY 2008 FY 2009 FY 2010 FY 2011

Obligated Obligated Obligated Estimated Estimated

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

 Reimbursable Resources $391,512 $597,287 $483,586 $600,000 $526,000 

Total Resources $391,512 $597,287 $483,586 $600,000 $526,000

Budget Activity Total $391,512 $597,287 $483,586 $600,000 $526,000

Asset Forfeiture Fund

Performance Measure FY 2007 FY 2008 FY 2009 FY 2010 FY 2011

Actual Actual Target Actual Target Target

Percent of forfeited cash proceeds resulting 84.18 86.91 75 87.65 75 80 

from high-impact cases (%) (Oe) 

 Key: Oe - Outcome Measure, E - Efficiency Measure, Ot - Output/Workload Measure 

Description of Performance: For FY 2011, the Fund will continue to measure the performance 

of the participating law enforcement bureaus through the use of the performance measure: 

percent of forfeited cash proceeds resulting from high impact cases. This measures the 

percentage of forfeited cash proceeds resulting from high impact cases, which includes those 

with currency forfeitures in excess of $100,000. Focusing on strategic case and investigations 

that result in high impact forfeitures will do the greatest damage to criminal organizations while 

accomplishing the ultimate objective which is to disrupt and dismantle criminal activity. 

Target: A target of 80 percent has been set for this performance measure. The target allows for 

those cases that may not be high impact in nature but are important to the exercise of law 

enforcement. The measure is calculated by dividing the total amount of forfeited cash proceeds 

from cases that are equal to or greater than $100,000 by the total amount of cash proceeds from 

all cash forfeiture cases. The data is regularly available to Fund management and provided 

through accounting systems that record the data and is audited annually as part of the annual 

financial statement audit process. 

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Performance Exceeds Target: Member law enforcement bureaus participating in the Treasury 

Forfeiture Fund have met or exceeded the performance target in five of the last six fiscal years. 

For detailed information about each performance measure, including definition, verification and 

validation, please go to: 

http://treas.gov/offices/management/budget/

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Section 4 – Supporting Materials 

4A – Human Capital Strategy Description 

The Treasury Forfeiture Fund is managed by the Treasury Executive Office for Asset Forfeiture 

(TEOAF), a policy office that reports to the Assistant Secretary for Terrorist Financing. 

TEOAF will reimburse Treasury’s Departmental Offices covering the salaries and benefits of 

TEOAF staff, General Counsel positions, and Procurement Services Division staff. 

The Departmental Offices (DO) Office of Human Resources (OHR) ensures the availability of 

tools required to manage the human capital that supports accomplishment of DO’s strategic goals 

and mission. OHR does this through the provision of sound advice and guidance to managers 

and execution of processes related to staff employment, retention, recognition, employee and 

labor relations, benefits, performance management and development. 

4B – Information Technology Strategy 

The Treasury Forfeiture Fund uses Departmental Offices systems and is part of their information 

technology strategy. The Department is extremely reliant on its Information Technology 

infrastructure. The cost associated with this infrastructure represents one of the greatest 

opportunities the Department has for parlaying the savings from greater efficiency to the 

deployment of new capabilities. In light of this, the Treasury E-Board has endorsed the 

following multi-faceted strategy for assessing and executing against the opportunities that exist 

for reducing the cost of the Department’s IT infrastructure: 

• Converge our voice and data networks to a more capable and cost effective platform; 

• Expand the usage of virtualization technologies to further improve the cost efficiency of 

our computing centers; 

• Promote greater leverage of either Department-wide or multi-bureau IT capabilities (i.e., 

data centers, enterprise content management, etc.); and 

• Ensure the usage of cross enterprise licensing for commodity software and hardware.