recognize actual savings for the first time in fiscal 1989 of $3.4 million for local service, equipment and long distance. Fiscal year 1992 savings were $3.4 million and savings of $2.4 million are anticipated in fiscal 1992 Total overall savings for the System 85 is estimated at $24.1 milton. The annual savings is less than originally expected because of increased maintenance fees associated with the installation of an additional System 85 procesBOY in May, 1990 and an increased number of telephones over original contract specifications, as well as the addition of equipment for enhanced voice, data, and cellular services to meet the needs of the House. The savings estimate is in constant dollars and does not take into consideration possible rate increases by local and long distance carriers. The estimated telecommunications savings in Fiscal year 1993 as a result of the acquisition and installation of the System 85 telephone switches are as follows: As anticipated the House continues to derive savings from the purchase and installation of the House telephone system and the management of long distance communications. When compared with 1986, the House will save over $2 million in 1993 for long distance services. Local service also reflects a $648.000 savings a result of terminating Centrex service, and installing the House owned System 85. The 1993 budget request includes funds for hardware and software upgrades of the system as may be necessary to keep current with today's technology. As a result of owning the telecommunications equipment, it is necessary to provide annual maintenance of $1,812,000. This amount reflects an increase over former projections because of the additional System 85 processor installed in May, 1990 and as a result of more telephones installed than the original contract specifications Maintenance was include in the 1986 leasing terms with AT&T and C&P. However, despite the maintenance charges, the House will realize an overall estimated savings in fiscal 1993 of $2.4 million. EQUIPMENT, PURCHASE, LEASE AND MAINTENANCE Mr. ANDERSON. Let's see. For net expenses of Purchase, Lease and Maintenance of Office Equipment, $7,300,000. And I would like to insert the tabular material at this point. The information follows:] EQUIPMENT, PURCHASE, LEASE AND MAINTENANCE-APPROPRIATIONS, ACTUAL EXPENDITURES, UNEXPENDED BALANCES Mr. ANDERSON. For Furniture and Furnishings, $1,901,000. And I would like to insert the tabular material to accompany that. [The information follows:] This appropriation funds the acquisition of furniture, carpets, draperies, lamps, file cabinets, and other furnishings which the Office of the Clerk provides the House office buildings and the House side of the Capitol. Also, funds are included for sup plies, materials and tools used by the various shops operating under the Clerk's Department of Office Furnishings (Property Supply and Repair Service.) The funds requested for FY '93 are budgeted as follows: (1) Supplies and Materials.... $546,000 630,000 630,000 95,000 1,901,000 FURNITURE AND FURNISHINGS APPROPRIATIONS, ACTUAL EXPENDITURES, UNEXPENDED BALANCES STENOGRAPHIC REPORTING OF COMMITTEE HEARINGS Mr. ANDERSON. For stenographic reporting of committee hearings, $1,100,000, and insert the table to accompany that. [The information follows:] This request includes costs of stenographic services and transcripts covered by commercial reporting firms in connection with any meetings or hearings of a committee, including Standing Committees, Special and Select. We prefer to use our own House reporters but are unable to staff all hearings. This is the same amount that was appropriated in fiscal year 1992. STENOGRAPHIC REPORTING OF COMMITTEE HEARINGS APPROPRIATIONS, ACTUAL EXPENDITURES, UNEXPENDED BALANCES REEMPLOYED ANNUITANTS REIMBURSEMENT Mr. ANDERSON. For reemployed Annuitants' Reimbursement, $1,160,000. These funds are required to compensate the Civil Service Retirement Fund for an amount equal to the annuities paid employees who retired under the Civil Service Retirement System (CSRS) and then accepted House employment. The uncertainty of the lump sum payment at the end of fiscal year 1990 caused a significant increase in the number of annuitants. The number started leveling off toward the end of fiscal year 1991. Trends point to remaining with approximately 48 reemployed annuitants. They received a 3.7% COLA on December 1, 1991. And I would like to insert the table. Mr. ANDERSON. For Government Contributions, $135,356,000. The funds for this account are used to pay the Government's (House) share of various employee programs. We must bear the burden of Mr. FAZIO. Are we finding that our employees are more than average inclined to be in the FERS investment program? Mr. HENY. Mr. Chairman, as we proceed through the years and more of our senior people are leaving the House, we are bringing in more junior people, and all those people come under FERS. Mr. FAZIO. In other words, they are automatically under the FERS. Mr. HENY. They are automatically enrolled in the new system, yes. Mr. Fazio. So much higher percentage of FERS. Mr. HENY. Yes, that is correct. Mr. FAZIO. What is the breakdown at the moment? Mr. HENY. We have currently 67 percent enrolled in FERS and 23 percent enrolled in CSRS. Mr. FAZIO. Just to give you some idea of the turnover here. Mr. FAZIO. What percentage of them are contributing to the matching fund investment program? I am sort of interested in knowing where we stand. Mr. HENY. I don't really have a feeling for that, but I would be glad to provide the information for the record. Mr. FAZIO. Would you? I would appreciate it. [The information follows:] Question. What percentage of the employees enrolled in FERS are contributing to the matching fund investment program? Answer. By the end of the year (1991) 37% of employees were participating in the TSP. Mr. ANDERSON. I would like to insert the rest of my testimony pertaining to Government contributions. [The information follows:] It is estimated that for every dollar paid to an employee, the House will pay 27.67 cents for benefits. This increase, up from 25.51 cents for 1991, is attributable, in part, to the continuing shift in population from Civil Service Retirement System (CSRS) to Federal Employees' Retirement System (FERS). As of December 31, 1991, 2,755 House employees were participating in CSRS as compared to 3,053 as of December 31, 1990. Not only is the government contribution to the basic retirement plan under FERS greater than under CSRS, but because Social Security coverage is mandatory for FERS employees and the Thrift Savings Plan (TSP) is an integral part of the FERS program, it means an increasing government contribution to both of these systems as well. Other contributing factors are premium increases under the Federal Employees' Health Benefits Program as well as the increase in the Maximum Taxable Wage Base for Medicare which establishes the level of gross salary subject to Medicare withholdings and government contribution. The Maximum Taxable Wage Base for OASDI effective January 1, 1992, is $55,500 and Medicare is $130,200. The programs are categorized as follows: STENOGRAPHIC REPORTING OF COMMITTEE HEARINGS Mr. ANDERSON. For stenographic reporting of committee hearings, $1,100,000, and insert the table to accompany that. [The information follows:] This request includes costs of stenographic services and transcripts covered by commercial reporting firms in connection with any meetings or hearings of a committee, including Standing Committees, Special and Select. We prefer to use our own House reporters but are unable to staff all hearings. This is the same amount that was appropriated in fiscal year 1992. STENOGRAPHIC REPORTING OF COMMITTEE HEARINGS-APPROPRIATIONS, ACTUAL EXPENDITURES, REEMPLOYED ANNUITANTS REIMBURSEMENT Mr. ANDERSON. For reemployed Annuitants' Reimbursement, $1,160,000. These funds are required to compensate the Civil Service Retirement Fund for an amount equal to the annuities paid employees who retired under the Civil Service Retirement System (CSRS) and then accepted House employment. The uncertainty of the lump sum payment at the end of fiscal year 1990 caused a significant increase in the number of annuitants. The number started leveling off toward the end of fiscal year 1991. Trends point to remaining with approximately 48 reemployed annuitants. They received a 3.7% COLA on December 1, 1991. And I would like to insert the table. Mr. ANDERSON. For Government Contributions, $135,356,000. The funds for this account are used to pay the Government's (House) share of various employee programs. We must bear the burden of |