Where your federal dollars are spent
The federal government disbursed $2.45 trillion in domestic spending in 2006, according to two reports recently published by the U.S. Census Bureau. The amount represented a 7.5 percent increase in federal spending over 2005.
Nearly half of that spending—$1.16 trillion—went to Social Security, Medicare and Medicaid, according to the reports. The one-year increase in spending for the three programs was approximately $170 for every person living in the United States.
The government spent $739 billion on retirement and disability. Of that amount, 80 percent, or $594 billion, went to Social Security. Parts of Social Security included: retirement insurance payments ($350 billion); survivors insurance ($107 billion); disability insurance ($99 billion); and supplemental security income payments ($38 billion).
The remaining federal dollars spent on retirement and disability went to civilian government workers’ retirements ($59 billion), military retirements ($36 billion) and veterans’ benefits ($34 billion), according to the reports.
Defense spending in 2006 totaled $400 billion. The amount includes procurement contracts, payroll, military pensions and grants. Department of Homeland Security spending totaled $57 billion.
Louisiana received most federal funding
Per-capita spending among states was highest for Louisiana ($16,263). Mississippi was second ($14,516), followed by Alaska ($13,805). The states that received the lowest per-capita distribution of federal funds were Nevada ($5,852), Utah ($6,162) and Minnesota ($6,175).
California received 10.3 percent of the total distribution of federal expenditures, while Texas received 6.8 percent, followed by New York at 6.2 percent.
California received the largest share of civilian federal government employee retirement and disability dollars ($5 billion), followed by Virginia ($4 billion). Florida received the most in military retirements ($3.7 billion), while Texas received the largest share of veterans’ benefits ($3.1 billion), according to the reports.
Defense Department dominated procurement contract activity
Procurement contracts for the federal government totaled $409 billion in 2006, with most going to the Defense Department ($266 billion). The Army received the largest share ($83 billion), followed by the Navy ($73 billion), the Air Force ($60 billion) and other defense ($50 billion), according to the reports.
Among the $143 billion in goods and services procured by nondefense agencies, the Department of Energy had the largest amount ($22 billion), followed by the Department of Veterans Affairs ($16 billion), Postal Service ($15 billion), Homeland Security ($15 billion), General Services Administration ($12 billion) and NASA ($11 billion).
In addition to procurement funding, the federal government issued grants totaling $494 billion. Of these, Health and Human Services accounted for $283 billion, followed by Transportation ($58 billion), Education ($38 billion), Housing and Urban Development ($37 billion) and Agriculture ($26 billion).
The recent Census Bureau reports highlight federal spending data. “Consolidated Federal Funds Report: 2006” provides a broad overview of how and where the federal government allocates funds. Statistics are provided for each federal department and agency, and presented by state, county and sub-county area. “Federal Aid to States for Fiscal Year 2006”contains data on federal grants to state and local governments.