FY 2010

U.S. OCCUPATIONAL SAFETY & HEALTH 

REVIEW COMMISSION

FY 2010

 Performance and Accountability Report 
U.S. OCCUPATIONAL SAFETY & HEALTH REVIEW COMMISSION

FINANCIAL STATEMENTS

FOR THE FISCAL YEARS ENDED SEPTEMBER 30, 2010 AND 2009

TABLE OF CONTENTS

AGENCY HEAD MESSAGE

MANAGEMENT DISCUSSION AND ANALYSIS...............................................................1

FINANCIAL SECTION

 INDEPENDENT AUDITOR'S REPORT ON THE FINANCIAL STATEMENTS......................13

 INDEPENDENT AUDITOR'S REPORT ON INTERNAL CONTROL...................................14

 INDEPENDENT AUDITOR'S REPORT ON COMPLIANCE WITH LAWS AND 

 REGULATIONS...................................................................................................15

 BALANCE SHEET................................................................................................16

 STATEMENT OF NET COST...................................................................................17

 STATEMENT OF CHANGES IN NET POSITION..........................................................18

 STATEMENT OF BUDGETARY RESOURCES............................................................19

 NOTES TO THE FINANCIAL STATEMENTS..............................................................20

Occupational Safety and Health Review Commission

FY 2010 Performance and Accountability Report

Management Discussion and Analysis

Overview

The Occupational Safety and Health Review Commission (OSHRC or Review Commission) is 

an independent, adjudicatory agency created by the Occupational Safety and Health Act of 1970. 

Its sole statutory mandate is to serve as an administrative court providing fair and expeditious 

resolution of disputes involving the Occupational Safety and Health Administration (OSHA), 

employers charged with violations of Federal safety and health standards, and employees and/or 

their representatives. The Review Commission was created by Congress as an agency 

completely independent of the Department of Labor to ensure that OSHA’s enforcement actions 

are carried out in accordance with the law and that all parties are treated consistent with due 

process when disputes arise.

The Occupational Safety and Health Act and the Review Commission’s Rules of Procedure 

provide for two levels of adjudication when an employer contests an OSHA citation for alleged 

violations of the Act or failure to abate such alleged violations. The first is a trial level, which 

affords an opportunity for a hearing before a Review Commission Administrative Law Judge

(ALJ). The Judge’s decision becomes final unless the decision is directed for review to the 

Commission by an individual Commissioner. The second level of review is by Commission 

members who are appointed by the President with the advice and consent of the Senate. Both 

before its Judges and the Commissioners, the Review Commission provides fair and impartial 

adjudication of cases concerning the safety and health of employees’ working conditions in the 

United States.

Mission and Organizational Structure

The mission of the Review Commission is to provide an impartial forum for the just and prompt 

adjudication of workplace safety and health disputes involving the Department of Labor, 

employers, and employees and/or their representatives under the Occupational Safety and Health 

Act of 1970.

The Review Commission has three members, who serve six-year terms, each of whom is 

appointed by the President and confirmed by the Senate. One of the members also serves as 

Chairman of the agency. The Review Commission has three major functions: the Commission 

function, the Administrative Law Judge function, and the Office of the Executive Director

function. 

The principal (national) office of the Review Commission is located in Washington, D.C. There 

are two regional offices, one in Atlanta, Georgia, and the other in Denver, Colorado.
2

Our vision is simple, direct and performance oriented. We strive to be:

• A quasi-judicial body that is -- and is recognized for being -- objective, fair, 

prompt, and professional;

• An agency that creates a body of law through its decisions that define and 

explain the rights and responsibilities of employers and employees under the 

Occupational Safety and Health Act of 1970;

• A model Federal agency with highly effective processes, a highly motivated, 

qualified and diverse workforce, and modern information management, 

communications, and administrative systems; and;

• An agency that values team work, develops its employees, and strives to 

improve its performance, service, and value to the American people.

Challenges and Opportunities

The Review Commission’s ability to meet its case disposition goals depend on a variety of 

factors. These include: (1) continued presence of a quorum at the Commission level; (2) the 

magnitude and nature of the cases received; (3) the success of the parties’ settlement negotiations 

and the Agency’s Simplified Proceedings and Mandatory Settlement programs in reducing the 

number of hearings needed; and (4) the number, location, length and complexity of hearings 

held. Although these factors are largely outside the Review Commission’s control, the Review 

Commission is committed to working within such constraints to improve its service to the public.

The Commission consists of three members appointed by the President with the advice and 

consent of the Senate. The Occupational Safety and Health Act requires a quorum of two 

Commissioners. By statute, decisions can only be decided on the affirmative vote of two 

Commissioners. During periods when the Commission lacks a quorum, no cases can be decided. 

In addition, with only two Commissioners, it may be more difficult to reach agreement sufficient 

to dispose of some cases. In cases where such agreement cannot be reached, deadlocks result. 

As a result, action on important issues may be postponed and issuance of some pending cases 

will be delayed.

The Commission began FY 2010 with two Commissioners and one vacancy. Beginning in midFebruary 2010 and through the end of the fiscal year, a full Commission of three Members has 

been in place. 

The number of safety and health inspections carried out by OSHA each year, the nature of those 

inspections, and the rate at which employers choose to contest the citations issued and penalties 

proposed by OSHA all have an impact on the number of cases contested before the Review 

Commission. In addition, OSHA’s targeting during recent years of workplaces experiencing 
3

more serious workplace hazards, and the consequent increase in proposed penalties, has resulted 

in a greater number of complex cases, and more extensive pretrial and trial processes. 

Consequently, both the size and complexity of the cases at both the Administrative Law Judge 

and Commission levels has increased in recent years.

OSHA conducted close to 41,000 inspections in FY 2010. The number of OSHA inspections and 

their likely focus on the highest hazard workplaces affects the Review Commission’s ALJ 

caseload. These inspections have tended to result in more complex and contentious cases, which 

consume extensive judicial time. For such cases, the discovery process is lengthy and time 

consuming, motion practice is expanded, legal research and decision-writing time is protracted 

and, of necessity, the trial process is elongated and complicated. 

The Commission utilizes two alternative procedures to facilitate case adjudication in appropriate 

circumstances – Settlement Part, for certain relatively complex cases, and Simplified 

Proceedings, for certain relatively simple cases.

Under Commission Rule 2200.120, where the parties consent thereto, the Chief Administrative

Law Judge may assign a Settlement Judge to a pending proceeding to aid the parties in disposing 

of cases. Where the aggregate amount of the penalty sought by the Secretary of Labor is 

$100,000 or greater, the Mandatory Settlement procedure goes into effect. The Settlement Judge 

appointed by the Chief Administrative Law Judge has full control of the proceeding and may 

require that the parties’ representatives be accompanied by officials having full settlement 

authority. This procedure has aided the Commission in disposing of some extremely complex 

cases, with the approval of all parties.

The Simplified Proceedings process has been expanded to include cases where proposed 

penalties are not more than $20,000, and up to $30,000, when found eligible by the Chief Judge. 

The Simplified Proceedings process allows parties with relatively simple cases to have their “day 

in court” unencumbered by the formal Rules of Procedure and evidence, while ensuring that due 

process requirements will be maintained. Under this process, a business, with or without 

counsel, can present its case before an administrative law judge and receive a prompt decision. 

Most paperwork, including legal filings, has been eliminated so that justice can be rendered 

swiftly and inexpensively. The process is intended to reduce the time and legal expenses to 

employers contesting relatively small penalty cases.

Performance Goals and Results

OSHRC’s case resolution strategic goal is straightforward: To ensure fair, just, and expeditious 

adjudication of disputes brought before the Commission and its Administrative Law Judges. The 

Review Commission’s Strategic Plan covering the period FY 2010 - 2015 reflects this objective.

It also reflects the Review Commission’s overall goal of management excellence.
4

Commission Function

The function of the Commissioners is to review and decide cases contested under the Act, 

following an initial decision by an Administrative Law Judge. This higher level of review must 

be prompt, fair, and protective of the parties’ rights, consistent with our overall strategic goals.

In FY 2010, the Commission had 22 cases pending at the beginning of the year. It received 24

new cases and resolved 15 cases by year-end. Thus, the Commission entered FY 2011 with 31

cases pending review. 

The Commission began FY 2010 with two Commissioners and one vacancy (which was filled in 

mid-February when a third Commissioner took office) and ended the fiscal year with all three 

Members in place. 

The following new performance goals have been developed for fiscal year 2010 and 2011 to 

support the FY 2010 – 2015 Strategic Plan:

Outcome Goals Performance 

Measures

FY 2010

Actual

(Target)

FY

2011 

(Target)

FY 

2012 

(Target)

Resolve the oldest 

cases on the Review 

Commission’s 

docket. 

All cases docketed at 

the Commission level 

prior to 2008 resolved. 

20%

Target Not 

Met

(30% of 

oldest 

cases)

(70% of oldest 

cases)

Completed by 

end of

FY 2011

Reduce the average 

age of open cases at 

the Commissionlevel. *

Average age of open 

cases.

32 months

Target Met

(41 months 

or less) 

(36 months or 

less)

(33 months or 

less)

Resolve all priority 

cases in a timely 

manner.

Percent of priority 

cases disposed of 

within 6 months.

100%

Target Met

(100%)

(100%) (100%)

* As of September 30, 2009, the average (mean) period of time for a case on the Review Commission’s docket was 46 

months. The Review Commission’s revised Strategic Plan (FY 2010 - 2015) anticipates reducing this average to 24 months 

by the end of FY 2015. However, resolving the oldest cases on the Review Commission’s docket, e.g., those cases docketed 

prior to 2008, which is reflected under the first outcome goal in this chart, is the highest priority. It is possible that, in the 

short term, the average age of open cases may increase. While this is not anticipated to occur, the presence of a full 

Commission will be an important factor in achieving our goal.
5

The Commission met two of its three Commission-level case resolution targets. While the 

Commission did not meet its third target of resolving 30 percent (or three) of the oldest cases on 

its docket during FY 2010, it did succeed in resolving two of its oldest cases during the fiscal 

year. In particular, in September, the Commission issued a decision in what was then the oldest 

case on the Commission’s docket, Dayton Tire, Bridgestone/Firestone (No. 94-1374). Earlier, in 

August, the Commission issued a decision in Summit Contractors, Inc. (No. 05-0839).

The following table summarizes actual Commission case activity for fiscal years 2007, 2008, 

2009, and 2010, and provides estimated case activity for fiscal years 2011 and 2012.

Commission Case Activity

FY 2007

Actual

FY 2008

Actual

FY 2009

Actual

FY2010

Actual 

FY 2011

Estimate

FY 2012

Estimate

New Cases:

Cases Directed for 

Review: 21 11 16 24 23 28

Other New Cases:

 Interlocutory

 Appeals 0 0 0 0 0 0

 Remands 4 2 6 0 1 1

 Other 0 0 0 0 0 0

 Total Other New

 Cases: 4

2

6 0 1 1

Total New Cases: 25 13 22 24 24 29

Case Inventory 

from Prior Year: 27 25 20 22 31 36

Total Caseload: 52 38 42 46 55 65

Dispositions: 27 18 20 15 19 28

Case Inventory, 

End of Year: 25 20 22 31 36 37

Administrative Law Judge Function

The function of the Review Commission’s Administrative Law Judges is to conduct formal 

hearings and related proceedings in a fair, just, and expeditious manner, consistent with 

OSHRC’s overall strategic goals. 
6

The Administrative Law Judge function began the fiscal year with 777 cases in its inventory and 

received 2,565 new cases during the year, for a total of 3,342 cases. A total of 2,359 cases were 

disposed of, leaving 983 cases in the inventory at the end of the fiscal year. 

The following table provides the performance goals and results for this function for FYs 2007-

2010.

Outcome Goals Performance 

Measures

FY 2007

Actual

(Target)

FY 2008

Actual

(Target)

FY 2009

Actual

(Target)

FY 2010

Actual

(Target)

Ensure that a significant 

proportion of non-complex 

cases at the ALJ level are 

resolved in less than one year.

Percent within 

one year.

99%

Target 

exceeded

(97%)

99%

Target 

met

(99%)

98 %

Target 

met

(98%)

98%

Target

Met

(98%)

Ensure that a significant 

proportion of complex cases at 

the ALJ level are resolved in 

less than one year.

Percent within 

one year.*

97%

Target not 

met

(98%)

99%

Target 

met

(99%)

98%

Target 

Exceeded

(95%)

89%

Target not 

met

(95%)

*Note: For FY 2007 – 2009, the target case resolution period for complex cases at the ALJ level was 18 months 

(540 days). In accordance with the Review Commission’s revised Strategic Plan (FY 2010- 2015), the target period 

has been reduced to one year commencing in FY 2010. 

Although Review Commission ALJs met their target goal for resolution of non-complex cases 

within one year, the resolution of complex cases was more problematic. There were several 

reasons for this. First, the ALJs FY 2010 workload substantially increased over prior FYs and 

included a 60% increase in the number of cases disposed of with hearings. Hearings are

necessarily time consuming, and this had an effect on case disposal. In addition, some of the 

complex cases resolved by the ALJs were extraordinarily complicated and included some of the 

largest proposed OSHA penalties in history. Examples of such matters included the Imperial 

Sugar and BP cases, both of which were ultimately resolved by Review Commission ALJs 

utilizing Settlement Part procedures. 
7

The following table provides actual Administrative Law Judge workloads for fiscal years 2007, 

2008, 2009, and 2010, and estimated workloads for fiscal years 2011 and 2012.

FY 2007

Actual

FY 2008

Actual

FY 2009

Actual

FY2010

Actual

FY 2011

Estimate

FY 2012

Estimate

OSHA Inspections*: 39,324 38,591 40,549 40,942 42,250 42,500

Administrative Law Judge Workload:

a. Case Inventory,

Start of Year 685 625 739 777 983 1333

b. New Cases 1,998 1,962 2,058 2,565 3,250 3,250

c. Total Caseload 2,683 2,587 2,797 3,342 4,233 4,583

d. Disposals

(1) With Hearing 60 69 67 107 110 130

(2) Without 

Hearing 1,998 1,779 1,953 2,252 2,790 2,920

e. Total Dispositions 2,058 1,848 2,020 2,359 2,900 3,050

Total Case Inventory, 

End of Year

625 739 777 983 1,333 1,533

*Provided by Directorate of Evaluation and Analysis, OSHA.
8

Office of the Executive Director Function

The Office of the Executive Director provides administrative services to support the Review 

Commission in fulfilling its mission.

The Executive Director function provides strategic planning and operational management for the 

organization. The Office of the Executive Director also includes: technology management, 

computer and information security, financial, and administrative services. The Office of the 

Executive Director also supervises the non-case related work of the Office of the Executive 

Secretary, which is responsible for docketing cases at both the Commission and Administrative 

Law Judge levels. The day-to-day work performed under the direction of the Executive Director 

includes: 

• Supporting the development and implementation of the Agency’s strategic goals;

• Maintaining and enhancing a website to provide the public with access to Review 

Commission information;

• Providing agency-wide support in the areas of finance, budget, procurement, human 

resources, equal opportunity and general administrative services;

• Providing personnel, payroll, benefits, reproduction, mail services, and travel assistance to 

agency employees;

• Procuring goods and services, maintenance and needed repairs of equipment, training, 

reference materials, supplies and office space;

• Implementing case management and administrative systems through information technology 

hardware and software;

• Developing and maintaining computer systems and information security enhancements; and

• Enhancing telecommunications and improving technology efficiency and effectiveness.

Analysis of Financial Statements

The Review Commission had biennial audits of its financial statements from 1996 through 2002. 

Consistent with the Accountability of Tax Dollars Act of 2002, OSHRC began annual audits in

FY 2003. OSHRC has received an “unqualified” opinion for each biennial and annual review 

conducted by an independent auditor. 

Since 2002, the Review Commission has contracted with the Treasury Franchise Fund, 

Administrative Resources Center (Bureau of the Public Debt – BPD), for accounting services. 

The Administrative Resources Center prepared the Review Commission’s FY 2010 financial 

statements, which include comparative data for FY 2009. The principal financial statements 

include the Balance Sheet, Statement of Net Cost, Statement of Changes in Net Position, and 

Statement of Budgetary Resources. The Statement of Financing is now part of the Notes to the 

financial statements.
9

The changes described in the analyses below generally indicate that during FY 2010 OSHRC’s 

budget execution process was more effective than in prior fiscal years. This is due to improved 

budget management, higher payroll costs, the costs of improving our IT infrastructure, and 

higher costs for goods and services to maintain operations and fulfill our mission.

Analysis of the Balance Sheet

OSHRC’s assets in fiscal year 2010 were $3,230,483 as of September 30, 2010. This represents 

a decrease of $311,998 from fiscal year 2009. The Fund Balance with Treasury of $3,189,341

represents OSHRC’s largest asset as of September 30, 2010. This is a decrease of approximately 

7.5 percent from fiscal year 2009 and represents approximately 98 percent of the agency’s total 

assets. General Property, Plant, and Equipment account for approximately 1.2 percent of 

OSHRC’s total assets as of September 30, 2010. The net fixed asset value of $41,142 equals the 

cost less accumulated depreciation and represents the current book value of those assets. 

OSHRC’s liabilities in fiscal year 2010 totaled $1,298,934 as of September 30, 2010. This is an

increase of $95,291 from fiscal year 2009. The accounts payable balance at September 30, 2010,

was $139,708, a decrease of $10,023 from September 30, 2009. Unfunded annual leave 

increased $46,950 in 2010 from 2009. Unfunded annual leave represents approximately 53 

percent of total agency liabilities.

Net Position is the difference between total assets and total liabilities. The total net position for 

fiscal year 2010 decreased by $407,289 from fiscal year 2009. 

Analysis of Statement of Net Cost

The Statement of Net Cost shows the net cost of operations for the agency, and it is broken out 

between OSHRC’s two major programs, Administrative Law Judge and Commission. The Total 

net cost of operations in 2010 was $12,520,592, an increase of $1,835,574, or 17.18 percent 

more than the 2009 net cost of operations of $10,685,018.

Analysis of the Statement of Changes in Net Position

The Statement of Changes in Net Position reports the change in the agency’s net position during 

the reporting period. The net position consists of two components, the unexpended 

appropriations and the cumulative results of operations. The Net Position decreased $407,289 in 

2010 from 2009, a change of approximately 17.4 percent.

Analysis of the Statement of Budgetary Resources

The Statement of Budgetary Resources presents how the budgetary resources were made 

available and the status of the budgetary resources at the end of the reporting period. The total 

budgetary resources must always equal the total status of budgetary resources. For fiscal year 
10

2010 OSHRC had total budgetary resources of $12,947,725, which is $934,559 more than in 

2009.

Management Assurances

Systems, Controls, and Legal Compliance

The Review Commission is in compliance with the Federal Managers Financial Integrity Act and 

OMB Circular A-123, Management’s Responsibility for Internal Control. The system of internal 

controls for this agency is functioning well. It provides reasonable assurance as to the efficiency 

and effectiveness of programs and operations, reliability of financial and performance 

information, and compliance with laws and regulations. These controls satisfy the requirements 

of the Federal Managers’ Financial Integrity Act. 

The Review Commission is a small agency and does not have a separate Inspector General 

Office. Therefore, the Review Commission’s management team assumes the responsibility for 

assessing the Agency’s internal operations and determining if there are any weaknesses that need 

correction. In FY 2010, two program reviews took place: an audit of FY 2010 financial 

statements, and an audit of computer and information security.

Financial Audit

The Review Commission has had annual audits of its financial statements since FY 2003, 

including reviews of the adequacy of the Review Commission’s internal control systems. The 

Review Commission has received an unqualified opinion for each financial audit conducted, 

including FY 2010.

With regard to financial management, the National Finance Center (NFC) provided payroll 

services, and the Bureau of Public Debt (BPD) provided accounting, disbursement, and financial 

statement preparation services for the agency. Accordingly, certain aspects of the Review 

Commission’s financial management system are largely influenced by the practices and 

procedures of the NFC and the BPD. 

In addition to the practices and procedures of the NFC and BPD, the Review Commission has 

established certain internal controls and procedures that safeguard assets and ensure that 

obligations and disbursements are made consistent with management’s direction. For example, 

BPD reports are reviewed and reconciled to assure that the agency’s obligation and disbursement 

actions are properly recorded and that the year-end financial statements are correctly stated. The 

agency’s Budget and Finance Office also prospectively certifies funds availability for all 

payments and conducts periodic reviews of internal systems including travel, payroll, and 

procurement. 
11

The financial audit resulted in an “unqualified” opinion with no reported material weaknesses or 

other significant deficiencies. Generally, the system of internal controls for this Agency is 

functioning well. It provides reasonable assurance as to the efficiency and effectiveness of 

programs and operations, reliability of financial and performance information, and compliance 

with laws and regulations. These controls satisfy the requirements of the Federal Managers' 

Financial Integrity Act. As previously mentioned, the Review Commission has had annual 

audits of its financial statements since 2003, including reviews of the adequacy of the Review 

Commission’s internal control systems. The Review Commission has received an unqualified 

opinion for each audit conducted.

The Review Commission contracts with the Treasury Franchise Fund, Administrative Resource 

Center, (Bureau of Public Debt (BPD)), for accounting, disbursement, and travel services and 

with the National Finance Center for payroll and personnel services. In addition to the Agency’s 

internal controls and procedures that safeguard assets and ensure that obligations and 

disbursements are made consistent with management’s direction, the BPD and the National 

Finance Center have established practices and procedures that assure appropriate internal 

controls. The two agencies’ internal control systems are evaluated independently.

Computer and Information Security Program 

Since FY 2003, the Review Commission has contracted for annual independent evaluations of its 

computer and information security programs, consistent with the Federal Information Security 

Management Act (December 17, 2002) which was signed into law as part of the E-Government 

Act (Public Law 107-347). These evaluations are conducted under the requirements of the 

Government Information Security Reform Act (the predecessor to Federal Information Security 

Management Act (FISMA)), as well as the Office of Management and Budget’s (OMB) 

implementing guidelines, and National Institute of Standards and Technology (NIST) guidance. 

Our FISMA audits have revealed no material weakness in policies and procedures. OSHRC has 

completed its Certification and Authorization (C&A) program, updated all security processes, 

and has a system security plan that complies with NIST standards. OSHRC tested its continuity 

of operations plan (COOP) during a May 2010 Department of Homeland Security exercise and is 

in the process of fine-tuning the plan to fully incorporate all newly adopted technologies.

The executive summary for the current (FY 2010) FISMA Program Review Report reveals that 

the Review Commission continues to take steps to enhance its computer security posture. 

The provisions of the Review Commission’s security policy directive apply to all Review 

Commission employees and contractors who use our computer and network systems or gain 

access to our computer generated information. 

The agency’s information security program will, at a minimum, continue to implement 

appropriate recommendations made by the independent evaluator; incorporate performance 
12

measures to ensure that the security plan is practiced throughout the life cycle of the agency’s 

system; establish additional personnel controls for sensitive information; monitor procedures for 

program effectiveness and compliance with security requirements; assure that systems and 

applications operate effectively and provide appropriate confidentiality, integrity and 

availability; and protect information commensurate with the level of risk and magnitude of harm 

resulting from loss, misuse, unauthorized access, or modification.

Performance Data Verification

For each strategic goal and its related objectives, the Review Commission formulated 

performance measures and numerical annual targets, whenever possible. A few measures are 

necessarily qualitative in nature. Case processing and adjudication measurements are used for 

several objectives contained in our Public Service Goal. Most of the data related to the Public 

Service Goal resides in the Review Commission’s case management/tracking system. In FY 

2010, each of the 2,565 new cases docketed at the Administrative Law Judge level were entered 

into the case management system, and progress on all cases was tracked. In order to assure the 

quality of the data, management periodically reviews the information in the case 

management/tracking system. The agency conducts test runs of the data to ensure that 

information is entered and updated on a timely basis. The reports are used to assess workload 

and make workload adjustments, when necessary. At the end of the year, this data is used by the 

offices to measure performance related to the goals and to improve management. 

Limitations of the Financial Statements

The principal financial statements have been prepared to report the financial position and results 

of operations of the Review Commission, pursuant to the requirements of 31 U.S.C. 3515(b).

The statements have been prepared from the books and records of the Review Commission in 

accordance with generally accepted accounting principles (GAAP) for Federal entities and 

formats prescribed by the Office of Management and Budget (OMB). The statements are in 

addition to the financial reports used to monitor and control budgetary resources, which are 

prepared from the same books and records. These statements should be read with the realization 

that they are for a component of the United States Government, a sovereign entity.
13 13
14 14
15 15
FINANCIAL STATEMENTS AND NOTES
The accompanying notes are an integral part of these statements.

2010 2009

Assets:

Intragovernmental

Fund Balance With Treasury (Note 2) $ 3,189,341 $ 3,447,643

Total Intragovernmental 3,189,341 3,447,643

Accounts Receivable, Net (Note 3) - 329

Property, Equipment, and Software, Net (Note 4) 41,142 94,509

Total Assets $ 3,230,483 $ 3,542,481

Liabilities:

Intragovernmental

Accounts Payable $ 3,696 $ 16,653

Other (Note 6) 79,379 66,307

Total Intragovernmental 83,075 82,960

Accounts Payable 136,012 133,078

Other (Note 6) 1,079,847 987,605

Total Liabilities $ 1,298,934 $ 1,203,643

Net Position:

Unexpended Appropriations $ 2,582,875 $ 2,889,409

Cumulative Results of Operations (651,326) (550,571)

Total Net Position $ 1,931,549 $ 2,338,838

Total Liabilities and Net Position $ 3,230,483 $ 3,542,481

U.S. OCCUPATIONAL SAFETY & HEALTH REVIEW COMMISSION

BALANCE SHEET

AS OF SEPTEMBER 30, 2010 AND 2009

(In Dollars)

16
The accompanying notes are an integral part of these statements.

2010 2009

Program Costs:

Administrative Law Judge (Note 8) $ 5,458,978 $ 4,658,667

Commission (Note 8) 7,061,614 6,026,351

Net Cost of Operations $ 12,520,592 $ 10,685,018

U.S. OCCUPATIONAL SAFETY & HEALTH REVIEW COMMISSION

STATEMENT OF NET COST

FOR THE FISCAL YEARS ENDED SEPTEMBER 30, 2010 AND 2009

(In Dollars)

17
The accompanying notes are an integral part of these statements.

2010 2009

Cumulative Results of Operations:

Beginning Balances $ (550,571) $ (447,678)

Budgetary Financing Sources:

Appropriations Used 11,621,084 9,992,029

Other Financing Sources (Non-Exchange):

Imputed Financing Sources (Note 9) 798,753 590,096

Total Financing Sources 12,419,837 10,582,125

Net Cost of Operations (12,520,592) (10,685,018)

Net Change (100,755) (102,893)

Cumulative Results of Operations $ (651,326) $ (550,571)

Unexpended Appropriations:

Beginning Balances $ 2,889,409 $ 2,145,394

Budgetary Financing Sources:

Appropriations Received 11,712,000 11,186,000

Other Adjustments (397,450) (449,956)

Appropriations Used (11,621,084) (9,992,029)

Total Budgetary Financing Sources (306,534) 744,015

Total Unexpended Appropriations $ 2,582,875 $ 2,889,409

Net Position $ 1,931,549 $ 2,338,838

U.S. OCCUPATIONAL SAFETY & HEALTH REVIEW COMMISSION

STATEMENT OF CHANGES IN NET POSITION

FOR THE FISCAL YEARS ENDED SEPTEMBER 30, 2010 AND 2009

(In Dollars)

18
The accompanying notes are an integral part of these statements.

2010 2009

Budgetary Resources:

Unobligated Balance Brought Forward, October 1 $ 1,460,066 $ 1,187,176

Recoveries of Prior Year Unpaid Obligations 173,109 89,946

Budget Authority

Appropriation 11,712,000 11,186,000

Permanently Not Available (397,450) (449,956)

Total Budgetary Resources $ 12,947,725 $ 12,013,166

Status of Budgetary Resources:

Obligations Incurred (Note 11)

Direct $ 11,755,515 $ 10,553,100

Unobligated Balance

Apportioned 28,527 660,181

Unobligated Balance Not Available 1,163,683 799,885

Total Status of Budgetary Resources $ 12,947,725 $ 12,013,166

Change in Obligated Balance:

Obligated Balance, Net

Unpaid Obligations, Brought Forward, October 1 $ 1,987,577 $ 1,516,738

Obligations Incurred Net 11,755,515 10,553,100

Gross Outlays (11,572,852) (9,992,315)

Recoveries of Prior Year Unpaid

Obligations, Actual (173,109) (89,946)

Total, Unpaid Obligated Balance, Net, End of Period $ 1,997,131 $ 1,987,577

Net Outlays:

Gross Outlays $ 11,572,852 $ 9,992,315

Net Outlays $ 11,572,852 $ 9,992,315

U.S. OCCUPATIONAL SAFETY & HEALTH REVIEW COMMISSION

STATEMENT OF BUDGETARY RESOURCES

FOR THE FISCAL YEARS ENDED SEPTEMBER 30, 2010 AND 2009

(In Dollars)

19
U.S. OCCUPATIONAL SAFETY & HEALTH REVIEW 

COMMISSION

NOTES TO THE FINANCIAL STATEMENTS

NOTE 1. SUMMARY OF SIGNIFICANT 

ACCOUNTING POLICIES

A. Reporting Entity

The Occupational Safety and Health Review 

Commission (The Review Commission) is an 

independent, adjudicatory agency created by 

the Occupational Safety and Health Act 

(OSHA) of 1970. Its sole statutory mandate is 

to serve as an administrative court providing 

just and expeditious resolution of disputes 

involving OSHA, employers charged with 

violations of Federal safety and health 

standards, and employees and/or their 

representatives. The Review Commission was 

created by Congress as an agency completely 

independent of the Department of Labor to 

ensure that OSHA’s enforcement actions are 

carried out in accordance with the law and that 

all parties are treated consistent with due 

process should a dispute arise. 

The Review Commission reporting entity is 

comprised of General Funds and General 

Miscellaneous Receipts.

General Funds are accounts used to record 

financial transactions arising under 

congressional appropriations or other 

authorizations to spend general revenues. 

General Fund Miscellaneous Receipts are 

accounts established for receipts of nonrecurring activity, such as miscellaneous 

receipts for services and benefits.

The Review Commission receives custodial 

collections and holds custodial receivables that 

are non-entity assets and are transferred to 

Treasury at fiscal year end. 

B. Basis of Presentation

The financial statements have been prepared to 

report the financial position, net cost of 

operations, changes in net position, and the 

status and availability of budgetary resources 

of The Review Commission. The statements 

are a requirement of the Chief Financial 

Officers Act of 1990, the Government 

Management Reform Act of 1994 and the 

Accountability of Tax Dollars Act of 2002. 

They have been prepared from, and are fully 

supported by, the books and records of The 

Review Commission in accordance with the 

hierarchy of accounting principles generally 

accepted in the United States of America, 

standards approved by the Federal Accounting 

Standards Advisory Board (FASAB), OMB 

Circular A-136, Financial Reporting 

Requirements and The Review Commission’s 

accounting policies which are summarized in 

this note. These statements, with the exception 

of the Statement of Budgetary Resources, are 

different from financial management reports, 

which are also prepared pursuant to OMB 

directives that are used to monitor and control 

The Review Commission’s use of budgetary 

resources.

The statements consist of the Balance Sheet, 

Statement of Net Cost, Statement of Changes 

in Net Position, and the Statement of 

Budgetary Resources. In accordance with 

OMB Circular A-136, the financial statements 

and associated notes are presented on a 

comparative basis. Unless specified otherwise, 

all amounts are presented in dollars.

C. Budgets and Budgetary Accounting

Congress usually enacts appropriations to 

permit The Review Commission to incur 

obligations for specified purposes. In fiscal 

20
years 2010 and 2009, The Review Commission

was accountable for General Fund 

appropriations. The Review Commission

recognizes budgetary resources as assets when 

cash (funds held by the U.S. Treasury) is made 

available through the Department of Treasury 

General Fund warrants.

D. Basis of Accounting

Transactions are recorded on both an accrual 

accounting basis and a budgetary basis. Under 

the accrual method, revenues are recognized 

when earned, and expenses are recognized 

when liabilities are incurred, without regard to 

receipt or payment of cash. Budgetary 

accounting facilitates compliance with legal 

requirements on the use of federal funds. 

E. Revenues & Other Financing Sources

The Review Commission receives all funding 

through Congressional appropriation from the 

budget of the United States. Annual 

appropriations are used, within statutory limits, 

for salaries and administrative expenses and 

operating and capital expenditures for essential 

personal property. 

Appropriations are recognized as revenues at 

the time the related program or administrative 

expenses are incurred. Appropriations 

expended for capitalized property and 

equipment are recognized as expenses when an 

asset is consumed in operations.

The Review Commission recognizes as an 

imputed financing source the amount of 

accrued pension and post-retirement benefit 

expenses for current employees paid on its

behalf by the Office of Personnel Management 

(OPM).

F. Taxes 

The Review Commission, as a Federal entity, 

is not subject to Federal, State, or local income 

taxes, and, accordingly, no provision for 

income taxes has been recorded in the 

accompanying financial statements.

G. Fund Balance with Treasury

The U.S. Treasury processes cash receipts and 

disbursements. Funds held at the Treasury are 

available to pay agency liabilities. The 

Review Commission does not maintain cash in 

commercial bank accounts or foreign currency 

balances. 

H. Accounts Receivable 

Accounts receivable consists of amounts owed 

to The Review Commission by other Federal 

agencies and the general public. Amounts due 

from Federal agencies are considered fully 

collectible. Accounts receivable from the 

public include reimbursements from 

employees. An allowance for uncollectible 

accounts receivable from the public is 

established when, based upon a review of 

outstanding accounts and the failure of all 

collection efforts, management determines that 

collection is unlikely to occur considering the 

debtor’s ability to pay.

I. Property, Equipment, and Software

The Review Commission's property and 

equipment represent furniture, fixtures, 

equipment, and information technology 

hardware which are recorded at original 

acquisition cost and are depreciated or 

amortized using the straight-line method over

the estimated useful life of the asset. Major 

alterations and renovations are capitalized, 

while maintenance and repair costs are 

expensed as incurred. The Review 

Commission's capitalization threshold is 

$50,000 for individual purchases and $500,000 

for bulk purchases. Applicable standard 

governmental guidelines regulate the disposal 

and convertibility of agency property and 

equipment. The useful life classifications for 

capitalized assets are as follows:

Description

Office Furniture

Useful Life (years)

7

Office Equipment 5

21
J. Advances and Prepaid Charges

Advance payments are generally prohibited by 

law. There are some exceptions, such as 

reimbursable agreements, subscriptions and 

payments to contractors and employees. 

Payments made in advance of the receipt of 

goods and services are recorded as advances or 

prepaid charges at the time of prepayment and 

recognized as expenses when the related goods 

and services are received.

K. Liabilities

Liabilities represent the amount of monies or 

other resources likely to be paid by The 

Review Commission as a result of transactions 

or events that have already occurred. 

Intragovernmental liabilities are claims against 

The Review Commission by other Federal 

agencies. Liabilities covered by budgetary or 

other resources are those liabilities for which 

Congress has appropriated funds or funding is 

otherwise available to pay amounts due. 

Liabilities for which an appropriation has not 

been enacted or other funds received are, 

therefore, classified as not covered by 

budgetary resources. No liability can be paid, 

however, absent an appropriation or other 

funding. There is no certainty that the 

appropriation will be enacted. Additionally, 

the Government, acting in its sovereign 

capacity, can abrogate liabilities. 

L. Accounts Payable 

Accounts payable consists primarily of 

amounts owed to other Federal agencies and 

the public for contracts for goods or services, 

such as leases, utilities, telecommunications 

and consulting and support services. 

M. Annual, Sick, and Other Leave

Annual leave is accrued as it is earned, and the 

accrual is reduced as leave is taken. The 

balance in the accrued leave account is 

adjusted to reflect current pay rates. Liabilities 

associated with other types of vested leave, 

including compensatory, restored leave, and 

sick leave in certain circumstances, are accrued 

at year-end, based on latest pay rates and 

unused hours of leave. Funding will be 

obtained from future financing sources to the 

extent that current or prior year appropriations 

are not available to fund annual and other 

types of vested leave earned but not taken. 

Nonvested leave is expensed when used. Any 

liability for sick leave that is accrued but not 

taken by a Civil Service Retirement System 

(CSRS)-covered employee is transferred to 

OPM upon the retirement of that individual. 

Credit is given for sick leave balances in the 

computation of annuities upon the retirement 

of Federal Employees Retirement System 

(FERS)-covered employees effective at 50% 

beginning FY2010 and 100% in 2014. 

N. Accrued and Actuarial Workers’ 

Compensation

The Federal Employees' Compensation Act 

(FECA) administered by the U.S. Department 

of Labor (DOL) addresses all claims brought 

by The Review Commission employees for onthe-job injuries. A liability is recorded for 

actual and estimated future payments to be 

made for workers' compensation pursuant to 

the FECA. The DOL bills each agency 

annually as its claims are paid, but payment of 

these bills is deferred for two years to allow for 

funding through the budget process. Similarly, 

employees that The Review Commission

terminates without cause may receive 

unemployment compensation benefits under 

the unemployment insurance program also 

administered by the DOL, which bills each 

agency quarterly for paid claims. Future 

appropriations will be used for the 

reimbursement to DOL. The liability consists 

of (1) the net present value of estimated future 

payments calculated by the DOL, and (2) the 

unreimbursed cost paid by DOL for 

compensation to recipients under the FECA. 

O. Retirement Plans

The Review Commission employees 

participate in either the CSRS or the FERS. 

The employees who participate in CSRS are 

beneficiaries of The Review Commission's

contribution, equal to seven percent of pay, 

22
distributed to their annuity account in the Civil 

Service Retirement and Disability Fund.

Prior to December 31, 1983, all employees 

were covered under the CSRS program. From 

January 1, 1984 through December 31, 1986, 

employees had the option of remaining under 

CSRS or joining FERS and Social Security. 

Employees hired as of January 1, 1987 are 

automatically covered by the FERS program. 

FERS offers a savings plan to which The 

Review Commission automatically contributes 

one percent of pay and matches any employee 

contribution up to an additional four percent of 

pay. For FERS participants, The Review 

Commission also contributes the employer’s 

matching share of Social Security.

FERS employees and certain CSRS 

reinstatement employees are eligible to 

participate in the Social Security program after 

retirement. In these instances, The Review 

Commission remits the employer’s share of the 

required contribution. 

The Review Commission recognizes the 

imputed cost of pension and other retirement 

benefits during the employees’ active years of 

service. OPM actuaries determine pension 

cost factors by calculating the value of pension 

benefits expected to be paid in the future and 

communicate these factors to The Review 

Commission for current period expense 

reporting. OPM also provides information 

regarding the full cost of health and life 

insurance benefits. The Review Commission

recognized the offsetting revenue as imputed 

financing sources to the extent these expenses 

will be paid by OPM. 

The Review Commission does not report on its 

financial statements information pertaining to 

the retirement plans covering its employees. 

Reporting amounts such as plan assets, 

accumulated plan benefits, and related 

unfunded liabilities, if any, is the responsibility 

of the OPM.

P. Other Post-Employment Benefits

The Review Commission employees eligible to 

participate in the Federal Employees Health 

Benefit Plan (FEHBP) and the Federal

Employees Group Life Insurance Program 

(FEGLIP) may continue to participate in these 

programs after their retirement. The OPM has 

provided The Review Commission with certain 

cost factors that estimate the true cost of 

providing the post-retirement benefit to current 

employees. The Review Commission

recognizes a current cost for these and Other 

Retirement Benefits (ORB) at the time the 

employee's services are rendered. The ORB 

expense is financed by OPM, and offset by 

The Review Commission through the 

recognition of an imputed financing source. 

Q. Use of Estimates

The preparation of the accompanying financial 

statements in accordance with generally 

accepted accounting principles requires 

management to make certain estimates and 

assumptions that affect the reported amounts 

of assets and liabilities and disclosure of 

contingent assets and liabilities at the date of 

the financial statements and the reported 

amounts of revenues and expenses during the 

reporting period. Actual results could differ 

from those estimates. 

R. Net Position 

Net position is the residual difference between 

assets and liabilities and is comprised of 

unexpended appropriations and cumulative 

results of operations. Unexpended 

appropriations represent the amount of 

unobligated and unexpended budget authority. 

Unobligated balances are the amount of 

appropriations or other authority remaining 

after deducting the cumulative obligations 

from the amount available for obligation. The 

cumulative results of operations is the net 

result of The Review Commission’s operations 

since inception.

23
S. Imputed Costs/Financing Sources

Federal Government entities often receive 

goods and services from other Federal 

Government entities without reimbursing the 

providing entity for all the related costs. In 

addition, Federal Government entities also 

incur costs that are paid in total or in part by 

other entities. An imputed financing source is 

recognized by the receiving entity for costs 

that are paid by other entities. The Review 

Commission recognized imputed costs and 

financing sources in fiscal years 2010 and 

2009 to the extent directed by OMB.

T. Contingencies

A contingency is an existing condition, 

situation or set of circumstances involving 

uncertainty as to possible payment by The 

Review Commission. The uncertainty will 

ultimately be resolved when one or more 

future events occur or fail to occur. For 

pending, threatened or unasserted litigation, a 

liability/cost is recognized when a past 

transaction or event has occurred, a future 

outflow or other sacrifice of resources is 

probable, and the related future outflow or 

sacrifice of resources can be reasonably 

estimated. There are no commitments or 

contingencies that require disclosure.

U. Expired Accounts and Cancelled 

Authority

Unless otherwise specified by law, annual 

authority expires for incurring new obligations 

at the beginning of the subsequent fiscal year. 

The account in which the annual authority is 

placed is called the expired account. For five 

fiscal years, the expired account is available 

for expenditure to liquidate valid obligations 

incurred during the unexpired period. 

Adjustments are allowed to increase or 

decrease valid obligations incurred during the 

unexpired period but not previously reported. 

At the end of the fifth expired year, the expired 

account is cancelled.

NOTE 2. FUND BALANCE WITH TREASURY

Fund balance with Treasury account balances as of September 30, 2010 and 2009 were as 

follows: 

2010 2009

Fund Balances:

Appropriated Funds $ 3,189,341 $ 3,447,643 

Total $ 3,189,341 $ 3,447,643 

Status of Fund Balance with Treasury:

Unobligated Balance

 Available $ 28,527 $ 660,181 

 Unavailable 1,163,683 799,885 

Obligated Balance Not Yet Disbursed 1,997,131 1,987,577 

Total $ 3,189,341 $ 3,447,643 

24
NOTE 3. ACCOUNTS RECEIVABLE

Accounts receivable balances as of September 30, 2010 and 2009 were as follows: 

2010 2009

With the Public

Accounts Receivable $ - $ 329

Total Accounts Receivable $ - $ 329

Historical experience has indicated that most of the receivables are collectible. There are 

no material uncollectible accounts as of September 30, 2010 and 2009. 

NOTE 4. PROPERTY, EQUIPMENT, AND SOFTWARE

Schedule of Property, Equipment, and Software as of September 30, 2010 

Major Class

Acquisition 

Cost

Accumulated 

Amortization/ 

Depreciation

Net Book 

Value

Furniture & Equipment $ 361,344 $ 320,202 $ 41,142

Total $ 361,344 $ 320,202 $ 41,142

Schedule of Property, Equipment, and Software as of September 30, 2009 

Major Class

Acquisition 

Cost

Accumulated 

Amortization/ 

Depreciation

Net Book 

Value

Furniture & Equipment $ 361,344 $ 266,835 $ 94,509

Total $ 361,344 $ 266,835 $ 94,509

NOTE 5. LIABILITIES NOT COVERED BY BUDGETARY RESOURCES

The liabilities for The Review Commission as of September 30, 2010 and 2009, include liabilities 

not covered by budgetary resources. Congressional action is needed before budgetary resources 

can be provided. Although future appropriations to fund these liabilities are likely and 

anticipated, it is not certain that appropriations will be enacted to fund these liabilities. 

2010 2009

Intragovernmental – FECA $ - $ (108)

Unfunded Leave 692,468 645,518

Total Liabilities Not Covered by Budgetary Resources $ 692,468 $ 645,410

Total Liabilities Covered by Budgetary Resources 606,466 558,233

Total Liabilities $ 1,298,934 $ 1,203,643

Unfunded leave represents a liability for earned leave and is reduced when leave is taken. The 

balance in the accrued annual leave account is reviewed quarterly and adjusted as needed to 

25
accurately reflect the liability at current pay rates and leave balances. Accrued annual leave is 

paid from future funding sources and, accordingly, is reflected as a liability not covered by 

budgetary resources. Sick and other leave is expensed as taken.

NOTE 6. OTHER LIABILITIES

All other liabilities are considered current liabilities.

2010 2009

Intragovernmental Liabilities

FECA Liability $ - $ (108)

Payroll Taxes Payable 79,379 66,415

Total Intragovernmental Liabilities $ 79,379 $ 66,307

With the Public

 Payroll Taxes Payable $ 11,791 $ 7,851

 Accrued Funded Payroll and Leave 375,588 334,236

 Unfunded Leave 692,468 645,518

Total Public Liabilities $ 1,079,847 $ 987,605

NOTE 7. OPERATING LEASES

The Review Commission occupies office space under a lease agreements that are accounted for as 

operating leases. The leased office space is in Washington, DC, Atlanta, Georgia, and Denver, 

Colorado. Annual rent for each location is charged by the General Services Administration 

(GSA), which acts as the leasing agent for The Review Commission. The lease terms commence 

April 2008, for a period of 60 months, February 2009, for a period of 59 months, and the final 

lease commences on October 2008, and will run for a period of 120 months. Lease payments are 

increased annually based on the adjustments for operating cost and real estate tax escalations. 

Below is a schedule of future payments for the term of the lease.

Fiscal Year Totals

2011 $ 1,292,998

2012 1,304,658

2013 849,493

2014 124,520

2015 95,770

Thereafter 292,391

Total Future Payments $ 3,959,830

The operating lease amount does not include estimated payments for leases with annual renewal 

options. 

26
NOTE 8. INTRAGOVERNMENTAL COSTS

Intragovernmental costs represent goods and services exchange transactions made between two 

reporting entities within the Federal government, and are in contrast to those with non-federal 

entities (the public). Such costs are summarized as follows:

2010 2009

Administrative Law Judge

 Intragovernmental Costs $ 1,719,053 $ 1,476,326

 Public Costs 3,739,925 3,182,341

 Net Program Costs 5,458,978 4,658,667

Commission

 Intragovernmental Costs 2,223,730 1,909,744

 Public Costs 4,837,884 4,116,607

 Net Program Costs 7,061,614 6,026,351

Total Intragovernmental costs 3,942,783 3,386,070

Total Public costs 8,577,809 7,298,948

Total Net Cost $ 12,520,592 $ 10,685,018

The Review Commission had no earned revenues.

NOTE 9. IMPUTED FINANCING SOURCES

The Review Commission recognizes as imputed financing the amount of accrued pension and 

post-retirement benefit expenses for current employees. The assets and liabilities associated with 

such benefits are the responsibility of the administering agency, OPM. For the fiscal years ended 

September 30, 2010 and 2009, respectively, imputed financing was as follows. 

2010 2009

Office of Personnel Management $ 798,753 $ 590,096 

Total Imputed Financing Sources $ 798,753 $ 590,096 

NOTE 10. BUDGETARY RESOURCE COMPARISONS TO THE BUDGET OF THE 

UNITED STATES GOVERNMENT

The President’s Budget that will include FY10 actual budgetary execution information has not yet 

been published. The President’s Budget is scheduled for publication in February 2011 and can be 

found at the OMB Web site: http://www.whitehouse.gov/omb/. The 2011 Budget of the United 

States Government, with the Actual column completed for 2009, has been reconciled to the 

Statement of Budgetary Resources and there were no material differences. 

27
NOTE 11. APPORTIONMENT CATEGORIES OF OBLIGATIONS INCURRED

Obligations incurred and reported in the Statement of Budgetary Resources in 2010 and 2009 

consisted of the following: 

2010 2009

Direct Obligations, Category A $ 11,755,515 $ 10,553,100

Total Obligations Incurred $ 11,755,515 $ 10,553,100

Category A apportionments distribute budgetary resources by fiscal quarters. 

NOTE 12. UNDELIVERED ORDERS AT THE END OF THE PERIOD

Statement of Federal Financial Accounting Standards No. 7, Accounting for Revenue and Other 

Financing Sources and Concepts for Reconciling Budgetary and Financial Accounting, states that 

the amount of budgetary resources obligated for undelivered orders at the end of the period 

should be disclosed. For the fiscal years ended September 30, 2010 and 2009, undelivered orders 

amounted to the following:

2010 2009

Undelivered Orders $ 1,390,664 $ 1,429,343 

Total Undelivered Orders $ 1,390,664 $ 1,429,343 

NOTE 13. CUSTODIAL ACTIVITY

The Review Commission is an administrative agency collecting for the General Fund. The 

Review Commission reports cash collections and refunds as custodial activity. The type of cash 

collected primarily consists of Freedom of Information Act fees. While these collections are 

considered custodial, they are neither primary to the mission of The Review Commission nor 

material to the overall financial statements. The Review Commission's total custodial collections 

are $2,027 and $2,654 for the fiscal years ended September 30, 2010, and 2009, respectively. 

28
NOTE 14. RECONCILIATION OF NET COST OF OPERATIONS TO BUDGET 

The Review Commission has reconciled its budgetary obligations and non-budgetary resources 

available to its net cost of operations.

2010 2009

Resources Used to Finance Activities:

Budgetary Resources Obligated

Obligations Incurred $ 11,755,515 $ 10,553,100

Spending Authority From Offsetting Collections and Recoveries (173,109) (89,946)

Net Obligations 11,582,406 10,463,154

Other Resources

Imputed Financing From Costs Absorbed By Others 798,753 590,096

Net Other Resources Used to Finance Activities 798,753 590,096

Total Resources Used to Finance Activities 12,381,159 11,053,250

Resources Used to Finance Items Not Part of the Net Cost of Operations 39,007 (470,915)

Total Resources Used to Finance the Net Cost of Operations 12,420,166 10,582,335

Components of the Net Cost of Operations That Will Not Require or

Generate Resources in the Current Period: 100,426 102,683

Net Cost of Operations $ 12,520,592 $ 10,685,018

29