United States
General Accounting Office
Washington, D.C. 20548
National Security and
International Affairs Division
B-278783
August 12, 1998
The Honorable David R. Obey
Ranking Minority Member
Committee on Appropriations
House of Representatives
Dear Mr. Obey:
The Department of Defense (
DOD
) spends over $200 billion annually for contracts and compensation across the country. These dollars, entering each state’s economy, are generally associated with employment and other economic benefits. As you requested, we reviewed (1) the overall trends and geographical distribution of defense spending between 1988 and 1997 and (2) defense spending in conjunction with each state’s population and income tax contributions.
During fiscal year 1997, the federal government spent about $1.4 trillion on various programs in the United States. These funds, in part, procured products and services, paid salaries and wages to federal employees, provide public assistance, and fund federal retirement programs and social security. DOD prime contracts and compensation discussed in this report accounted for about $204 billion, or about 14 percent, of the federal expenditures.
Defense spending data are available to users in and outside the government and are regularly used in policy formulation and evaluation.
DOD contractors have used federal government data in support of their work for
DOD
on the economic impacts of base realignment and closure actions. Federal expenditure data have also been used to provide information to communities, businesses, and individuals adjusting to the effects of defense downsizing and other changing economic conditions.
Researchers at private companies, universities, and state government offices also use these data in a wide array of research projects and publications.
Defense spending covered in this report includes
DOD
prime contract awards and DOD compensation. Compensation includes civilian pay, military active duty pay, reserve and national guard pay, and retired military pay. National totals for DOD contracts and compensation are
Page 1 GAO/NSIAD-98-195 Defense Spending

B-278783
considered to be accurate. However, when these numbers are broken down for individual states, the numbers are often viewed as less reliable.
We recently reported 1 that, due to certain key limitations, federal government sources do not provide data for determining the full and complete economic magnitude of federal expenditures in states. Most importantly,
DOD
’s contract database does not include data on the location of subcontracts, making it difficult to measure contract activity within a state. A substantial portion of prime contracts could be subcontracted out-of-state. In contrast, contractors within the state could be awarded subcontracts by out-of-state prime contractors, yet these subcontracts would not be recognized within the state’s total.
However, existing data are not without value, nor should the government necessarily strive for increased data collection that could actually entail more costs than benefits. Those who rely on federal data need to be alert to their drawbacks and exercise discretion when using them. See appendix
I for details of our scope and methodolgy.
The award of
DOD
prime contracts in the United States declined from
$164 billion to $107 billion from 1988-97. There were large declines in equipment and research prime contracts, while service prime contracts have become a more significant portion of total prime contracts.
Meanwhile,
DOD
compensation decreased from $111 billion to $97 billion.
Data were adjusted for inflation and shown in constant 1997 dollars.
Four states—California, Virginia, Texas, and Florida— accounted for
$81 billion, or about 40 percent, of
DOD
prime contract awards and
DOD compensation in 1997. Over the period 1988-97, changes in the prime contract awards have occurred throughout the 50 states; California has experienced the largest decrease. States with the largest decreases had major reductions in prime contracts for equipment. In some states, gains in prime contracts for services lessened the impact of significant decreases in equipment prime contracts.
Defense dollars are generally associated with employment and other economic benefits to the states; therefore, Congress and other decisionmakers are also often interested in measuring defense spending against state population and income tax contributions. Large variances
1 Defense Spending and Employment: Information Limitations Impede Thorough Assessments
(GAO/NSIAD-98-57, Jan. 14, 1998).
Page 2 GAO/NSIAD-98-195 Defense Spending

B-278783 occur within these measures. For example,
DOD
prime contract awards and
DOD compensation per dollar of personal tax contributions in 1996 ranged from $0.78 per dollar in Hawaii to $0.04 per dollar in several states.
DOD prime contract awards and DOD compensation in the United States have declined significantly 2 since 1988. Despite some fluctuations during the decade, DOD compensation decreased from $111 billion to $97 billion.
Meanwhile,
DOD
prime contract awards decreased from $164 billion to
$107 billion. (See fig. 1.)
2 The DOD prime contracts amounts shown in this report represent the amounts that could be designated for specific states. For example, during 1997, prime contracts amounted to $128.4 billion, but only $106.6 billion was allocable to specific states.
Page 3 GAO/NSIAD-98-195 Defense Spending

B-278783
Figure 1: DOD Prime Contract Awards and DOD Compensation in the United States (1988-97)
Dollars in billions
180
160
140
120
100
Contracts
Compensation
80
1988 1989 1990 1991 1992 1993 1994 1995 1996 1997
164 150 146 143 126 125 118 114 112 107
111 116 106 112 112 110 107 103 102 97
Source: Our analysis of DOD data.
Page 4 GAO/NSIAD-98-195 Defense Spending

B-278783
DOD
has three broad categories for its contracts: research, development, test, and evaluation (research); other services and construction; and supplies and equipment. Figure 2 shows that both equipment and research prime contracts experienced decreases, while service prime contracts remained nearly constant. Equipment prime contracts dropped 53 percent, from $95 billion to $45 billion.
Figure 2: Equipment, Service, and Research Prime Contracts (1988-97)
Dollars in billions
100
80
60
40
20
Equipment
Services
Research
0
1988 1989 1990 1991 1992 1993 1994 1995 1996 1997
95 85 80 78 62 60 52 49 49 45
40
29
37
29
39
26
42
24
40
24
41
24
43
23
43
22
42
20
42
20
Source: Our analysis of DOD data.
Page 5 GAO/NSIAD-98-195 Defense Spending

B-278783
One discernible trend not readily apparent in the preceding figure is that service prime contracts have become a more significant portion of DOD prime contracts over the decade. Figure 3 shows the changes in the percent-to-total for the three types of contracts between 1988 and 1997.
Equipment prime contracts decreased by 16 percentage points, research prime contracts remained nearly constant, and service prime contracts increased by 16 percentage points.
Figure 3: Percentages for Equipment, Services, and Research Prime Contracts (1988-97)
Percent of DOD contract dollars
70
60
50
40
30
20
Equipment
Services
Research
10
1988 1989 1990 1991 1992 1993 1994 1995 1996 1997
58 56 55 54 49 48 44 43 44 42
24
18
24
19
27
18
29
17
32
19
32
19
36
20
38
20
38
18
40
18
Source: Our analysis of DOD data.
Page 6 GAO/NSIAD-98-195 Defense Spending

B-278783
In 1997, service prime contracts totaled about $42 billion, of which
36 percent was associated with the selected large service industries described in figure 4. Engineering and architectural services represented the largest service industry by a wide margin.
Figure 4: Growth in DOD Prime Contract Awards for Selected Service Industries (1988-97)
Dollars in billions
9
8
7
6
5
4
Engineering (1)
Computers (2)
Management (3)
Construction (4)
3
2
1
0
1988 1989 1990 1991 1992 1993 1994 1995 1996 1997
5.1
6.3
1.6
2.2
6.1
2.4
6.8
2.6
7.4
2.7
8.2
2.7
8.5
3.0
7.9
3.3
8.1
3.5
7.7
3.7
0.7
1.4
0.8
0.9
1.5
0.4
1.9
0.8
1.9
2.0
0.6
0.9
1.8
1.3
1.9
1.2
1.9
1.5
2.3
1.5
(1) Engineering and Architecture
(2) Computers and Data Processing
(3) Management and Public Relations
(4) Residential Building Construction
Source: Our analysis of DOD data.
Page 7 GAO/NSIAD-98-195 Defense Spending

B-278783
Figure 5 shows that
DOD
prime contract awards amounts and
DOD compensation for 1997 were concentrated within a few states. For 1997,
DOD
prime contract awards and
DOD
compensation in the United States amounted to $204 billion. Four states—California, Virginia, Texas, and
Florida— accounted for $81 billion, or about 40 percent, of the total. For the other years between 1988 and 1997, DOD prime contract awards and
DOD
compensation were similarly concentrated within a few states. For example, in 1988 the same four states accounted for 39 percent of the total, and, again in 1992, they accounted for 39 percent of the total.
Page 8 GAO/NSIAD-98-195 Defense Spending

B-278783
Figure 5: DOD Prime Contract Awards and DOD Compensation (1997)
$6.2
$.3
$.7
$.5
$.3
$30.9
$1.0
$1.3
$4.2
$3.9
$1.6
$1.5
$.5
$.3
$1.0
$1.6
$2.8
$1.5
$1.5
$.7
$6.2
$1.0
$4.9
$1.9
$5.3
$3.3
$2.6
$4.9
$2.6
$.4
$21.7
$5.2
$2.1
$.2
$4.6
D.C.
$2.7
$3.1
$.7
$.4
$5.8
$.8
$7.2
$1.0
$3.0
$2.7
$4.3
$8.0
$3.0
$15.5
$13.3
$3.2
Dollars in billions
Over $10
$5-10
$1- 5
Under $1
Total
States
24
16
4
7
51
(State amounts are rounded.)
Amount spent
$81.4
43.9
69.0
9.6
$203.9
Percent
39.9
21.5
33.9
4.7
100.0
Source: Our analysis of DOD data.
Page 9 GAO/NSIAD-98-195 Defense Spending

B-278783
The five states with the largest increases in
DOD
prime contract awards and the five with the largest decreases 3 are shown in figure 6. (See app. II for state listing with additional data.) During this period, nearly all states experienced reductions in equipment prime contracts. The states with the largest decreases in prime contracts all had sizable reductions in equipment.
Figure 6: States With the Largest
Increases and Decreases in DOD
Prime Contract Awards (1988-97)
0
-1
-2
-3
-4
-5
-6
-7
-8
Dollars in billions
2
1
GA VA FL KY HI CA NY MA CT OH
1.5
1.0
0.5
0.4
0.1
-7.1
-4.2
-3.6
-2.9
-2.4
Source: Our analysis of DOD data.
Equipment reductions in some states were offset to some degree by increases in service prime contracts. Figure 7 provides data on the five
3 The states with the largest increases and decreases were determined by measuring the differences in
5-year averages for each state (the average for 1993-97 less the average for 1988-92).
Page 10 GAO/NSIAD-98-195 Defense Spending

B-278783 states with the largest increases in service prime contracts. (See app. III for state listing with additional data.)
Figure 7: States With Largest
Increases in Service Prime Contract
Awards (1988-97)
Dollars in billions
2
1
0
-1
-2
-3
-4
-5
Equipment
Service
VA
-0.7
1.3
PA
-0.7
0.5
CA
-4.3
0.4
FL
-0.4
0.4
KY
0.0
0.4
Source: Our analysis of DOD data.
DOD
prime contracts, which account for the majority of defense spending, may be awarded based on a number of factors such as contract price, contractors’ past performance, and company expertise and technical superiority. Thus, defense amounts awarded for prime contracts in each state would not be expected to be proportional with statistical indicators such as state population or state income tax contributions. Because defense dollars are generally associated with employment and other economic benefits to the states, however, Congress and other
Page 11 GAO/NSIAD-98-195 Defense Spending

B-278783 decisionmakers are often interested in measuring defense spending against population and income tax data.
Figure 8 shows, for each state, the per capita amount of DOD prime contract awards and
DOD
compensation for 1997. (See app. IV for state listing with additional data.) Per capita amounts ranged from $5,137 in
Washington, D.C., to $187 in Wisconsin, while the national average was at
$762.
Figure 8: Per Capita Amounts for DOD Prime Contract Awards and DOD Compensation (1997)
$1,111
$211
$406
$383
$547
$587
$648
$1,070
$957
$855
$948
$776
$986
$1,074
$1,200
$433
$575
$626
$855
$320
$241
$1,143
$379
$187
$279
$195
$441
$441
$674
$437
$234
$3,227
$314
$268
$572
$554
$1,420
D.C
$5,137
$562
$944
$766
$960
$697
$398
$810
$992
$796 $699
$2,410
$908
$2,681
Source: Our analysis of DOD and Department of Commerce data.
Page 12 GAO/NSIAD-98-195 Defense Spending

B-278783
The amounts of
DOD
prime contract awards and
DOD
compensation per dollar of personal tax contributions for each state are shown in figure 9.
(See app. V for state listing with additional data.) These amounts ranged from $0.78 per dollar in Hawaii to $0.04 per dollar in several states, while the national average was at $0.16.
Figure 9: DOD Prime Contract Awards and DOD Compensation Per Dollar of Personal Tax Contributions (1996)
.24
.21
.05
.15
.59
.11
.18
.33
.17
.18
.20
.40
.78
.27
.16
.12
.15
.20
.20
.04
.06
.32
.10
.04
.04
.48
.11
.04
.09
.30
.20
.09
.24
.10
.26
.10
.04
.36
.16
.08
.16
.15
.18
.13
.07
.74
.21
IRS combines
Maryland and
D.C.
.26
.18
.21
Note: Internal Revenue Service data on tax contributions were not available for 1997 at the conclusion of our review.
Source: Our analysis of DOD and Internal Revenue Service data.
Page 13 GAO/NSIAD-98-195 Defense Spending

B-278783
We requested comments on a draft of this report from the Secretary of
Defense or his designee. On June 30, 1998, the Office of the Director of
Defense Procurement indicated that
DOD
has no comments on the report.
We are providing copies of this report to other interested congressional committees and members. Copies will also be made available to others upon request.
Please contact me at (202) 512-8412 if you or your staff have any questions concerning this letter report. Major contributors to this report were Ralph
Dawn, Kendall Graffam, and John Ting.
Sincerely yours,
David E. Cooper
Associate Director
Defense Acquisitions Issues
Page 14 GAO/NSIAD-98-195 Defense Spending

Page 15 GAO/NSIAD-98-195 Defense Spending

Page 16 GAO/NSIAD-98-195 Defense Spending
1
18
20
22
24
26

Contents
Figure 1: DOD Prime Contract Awards and DOD Compensation in the United States
Figure 2: Equipment, Service, and Research Prime Contracts
Figure 3: Percentages for Equipment, Services, and Research
Prime Contracts
Figure 4: Growth in DOD Prime Contract Awards for Selected
Service Industries
Figure 5: DOD Prime Contract Awards and DOD Compensation
Figure 6: States With the Largest Increases and Decreases in DOD
Prime Contract Awards
Figure 7: States With Largest Increases in Service Prime Contract
Awards
Figure 8: Per Capita Amounts for DOD Prime Contract Awards and DOD Compensation
Figure 9: DOD Prime Contract Awards and DOD Compensation
Per Dollar of Personal Tax Contributions
9
10
11
12
13
4
5
6
7
Abbreviations
DOD
IRS
Department of Defense
Internal Revenue Service
Page 17 GAO/NSIAD-98-195 Defense Spending

Appendix I
In conducting our work, we analyzed data on Department of Defense
( DOD ) prime contract awards and compensation during fiscal year 1997 as well as the trends between 1988 and 1997. As requested, we analyzed the data on a national basis as well as on a state-by-state basis. In this report, we provide data for the 50 states and the District of Columbia on defense spending, population, per capita defense spending, and tax contributions.
The data were adjusted for inflation and shown in constant 1997 dollars to show real growth and declines between 1988 and 1997. Specific values for each of the states are presented in appendixes II, III, IV, and V.
DOD
reports information on its prime contract awards and its compensation, by state, in the Atlas/Data Abstract for the United States and Selected Areas. The prime contract amounts shown in this report represent the amounts that could be designated for the specific states.
1
The ultimate source of data on prime contract awards comes from the computerization of information contained in the DD Form 350 (Individual
Contracting Action Report). Because of reliability concerns, data on
DOD grants was excluded from our analysis.
Population data were obtained from the Bureau of Economic Analysis,
Department of Commerce. Internal Revenue Service (
IRS
) data were extracted from its yearly publication Internal Revenue Service Data Book.
IRS
personal tax contributions were used in our analysis and derived by subtracting corporation income tax contributions from total revenue collections for the states. Our analysis was hampered because data on
IRS contributions were not available for 1997 at the conclusion of our review.
We, therefore, used 1996
IRS
data for our analysis.
In our analysis of
DOD
prime contract awards, we found that large variations occurred on a year-to-year basis. For a specific state, large increases in contracts in one year were often followed by large decreases in contracts for the next year or vice versa. As a result, the states with the largest increases and decreases were determined by measuring the differences in 5-year averages for each state (the average for 1993-97 less the average for 1988-92).
We prepared some computer-generated reports from the DD Form 350 database to assist in our analysis. In addition to the use of the Federal
Supply Class or Service Codes, we used the commercial Standard
1 For example, during 1997, DOD prime contract awards amounted to $128.4 billion but only
$106.6 billion was allocable to the states because of work located outside the United States
($6.8 billion), contracts with values under a $25,000 reporting threshold ($11.7 billion), and expenditures not assigned to a specific state ($3.3 billion).
Page 18 GAO/NSIAD-98-195 Defense Spending

Appendix I
Scope and Methodology
Industrial Classification of Establishments to assess the growth in specific service industries.
In our 1997 report, we identified some key limitations on the use of the
DOD
data because certain data are not reported. Concerning the accuracy of the numbers that are reported, DOD does perform some reviews and edit checks of the data, but it does not perform full scale reliability assessments to ensure that the data are reliable. We did not systematically verify the accuracy of
DOD
’s data or conduct a reliability assessment of the database.
Our work was conducted between November 1997 and June 1998 in accordance with generally accepted government auditing standards.
Page 19 GAO/NSIAD-98-195 Defense Spending

Appendix II
Dollars in millions
Iowa
Kansas
Kentucky
Louisiana
Maine
Maryland
Massachusetts
Michigan
Minnesota
Mississippi
Missouri
Montana
Nebraska
Nevada
New Hampshire
New Jersey
New Mexico
New York
N. Carolina
N. Dakota
Ohio
State and District of Columbia
Alabama
Alaska
Arizona
Arkansas
California
Colorado
Connecticut
Delaware
D.C.
Florida
Georgia
Hawaii
Idaho
Illinois
Indiana
1,377
1,218
1,741
6,163
94
310
265
464
1,589
400
740
886
1,587
941
4,344
5,339
1993-97
5-year average
$1,929
612
2,488
288
21,084
2,402
2,771
119
1,442
6,457
4,094
832
106
1,313
2,959
695
3,881
1,309
137
3,021
1,636
2,155
2,275
6,756
89
306
268
533
2,091
577
1,098
527
1,749
970
5,000
8,915
1988-92
5-year average
$2,152
567
3,239
497
28,233
3,448
5,670
181
1,848
5,993
2,635
710
78
1,744
4,160
812
8,098
1,599
152
5,423
(259)
(937)
(534)
(593)
4
4
(3)
(69)
(503)
(177)
(357)
359
(162)
(29)
(656)
(3,576)
Increases or
(decreases)
($223)
45
(750)
(209)
(7,149)
(1,046)
(2,899)
(61)
(406)
464
1,459
122
28
(431)
(1,200)
(116)
(4,216)
(290)
(15)
(2,403)
(continued)
Page 20 GAO/NSIAD-98-195 Defense Spending

Appendix II
Trends in DOD Prime Contract Awards
(1988-97)
Dollars in millions
State and District of Columbia
Oklahoma
Oregon
Pennsylvania
Rhode Island
S. Carolina
S. Dakota
Tennessee
Texas
Utah
Vermont
Virginia
Washington
West Virginia
Wisconsin
Wyoming
Note: Numbers are rounded.
Source: Our analysis of DOD data.
1988-92
5-year average
806
370
3,622
547
855
87
1,640
11,172
1,016
121
9,093
2,917
206
1,157
75
1993-97
5-year average
761
167
3,228
380
974
104
1,158
8,879
499
135
10,075
2,284
180
684
72
Increases or
(decreases)
(45)
(203)
(395)
(168)
119
17
(482)
(2,293)
(517)
13
982
(634)
(26)
(474)
(2)
Page 21 GAO/NSIAD-98-195 Defense Spending

Appendix III
Dollars in million
State and District of Columbia
Alabama
Alaska
Arizona
Arkansas
California
Colorado
Connecticut
Delaware
D.C.
Florida
Georgia
Hawaii
Idaho
Illinois
Indiana
Iowa
Kansas
Kentucky
Louisiana
Maine
Maryland
Massachusetts
Michigan
Minnesota
Mississippi
Missouri
Montana
Nebraska
Nevada
New Hampshire
New Jersey
New Mexico
New York
N. Carolina
N. Dakota
270
224
620
1,192
50
157
225
105
411
109
600
317
610
136
2,026
1,171
1,371
431
1,760
650
86
Average
1988-92
$819
455
446
196
6,335
566
807
61
1,239
1,835
804
589
47
558
2,284
1,083
232
184
486
1,012
52
185
71
540
386
123
347
667
556
93
Services
Average
1993-97
$862
506
572
149
6,736
712
483
76
882
2,207
943
735
227
90
1,544
377
1,374
786
109
(38)
(39)
(134)
(181)
2
28
2
(15)
(25)
14
(253)
350
(55)
(43)
258
(87)
173
(55)
(385)
136
23
Increase
(decrease)
$43
52
126
(47)
401
146
(324)
15
(357)
372
139
146
24
(18)
Page 22
1,029
1,548
1,647
4,975
39
136
28
329
1,571
357
445
207
1,133
827
1,872
5,344
2,187
157
4,775
694
65
Average
1988-92
$795
112
2,401
296
14,170
394
4,631
104
528
3,077
1,408
104
28
1,036
1,248
2,420
971
775
1,215
4,094
40
109
26
683
1,092
197
382
216
1,018
841
Equipment
Average
1993-97
$459
103
1,592
121
9,899
272
1,952
37
431
2,645
1,319
78
32
255
1,021
117
1,852
441
26
(58)
(773)
(433)
(881)
2
(26)
4
(75)
(480)
(161)
(63)
9
(116)
13
(623)
(2,924)
Increase or
(decrease)
($336)
(9)
(809)
(175)
(4,272)
(122)
(2,679)
(68)
(97)
(432)
(89)
(26)
(3)
(352)
(1,167)
(40)
(2,923)
(254)
(39)
(continued)
GAO/NSIAD-98-195 Defense Spending

Appendix III
Trends in DOD Service and Equipment
Prime Contracts (1988-97)
Dollars in million
State and District of Columbia
Ohio
Oklahoma
Oregon
Pennsylvania
Rhode Island
S. Carolina
S. Dakota
Tennessee
Texas
Utah
Vermont
Virginia
W. Virginia
Washington
Wisconsin
Wyoming
Average
1988-92
696
507
150
558
194
528
52
835
2,540
297
9
4,783
110
849
123
26
Services
Average
1993-97
809
546
71
1,047
216
792
52
576
2,738
250
9
6,039
135
966
132
42
Increase
(decrease)
114
39
(79)
490
22
264
0
(259)
198
(48)
(1)
1,256
25
117
9
16
Note: Numbers are rounded.
Source: Our analysis of DOD data.
Average
1988-92
3,891
259
196
2,069
322
283
35
608
7,316
569
96
3,397
68
1,325
969
48
Equipment
Average
1993-97
1,662
202
78
1,352
120
149
52
324
4,612
165
100
2,656
37
949
539
30
Increase or
(decrease)
(2,229)
(57)
(118)
(716)
(202)
(134)
17
(283)
(2,703)
(405)
4
(741)
(31)
(376)
(430)
(18)
Page 23 GAO/NSIAD-98-195 Defense Spending

Appendix IV
Iowa
Kansas
Kentucky
Louisiana
Maine
Maryland
Massachusetts
Michigan
Minnesota
Mississippi
Missouri
Montana
Nebraska
Nevada
New Hampshire
New Jersey
New Mexico
New York
N. Carolina
N. Dakota
Ohio
State and District of Columbia
Alabama
Alaska
Arizona
Arkansas
California
Colorado
Connecticut
Delaware
D.C.
Florida
Georgia
Hawaii
Idaho
Illinois
Indiana
Page 24
0.9
1.7
1.7
1.2
9.8
4.7
2.7
5.4
4.4
1.2
5.1
6.1
5.9
2.9
2.6
3.9
Population
(millions)
4.3
0.6
4.6
2.5
32.3
3.9
3.3
0.7
0.5
14.7
7.5
1.2
1.2
11.9
8.1
1.7
18.1
7.4
0.6
11.2
1,906
1,498
2,708
6,173
337
952
984
660
2,587
688
1,624
2,634
3,042
1,490
7,235
5,776
DOD amounts
(millions)
$4,256
1,467
3,895
956
30,873
4,167
3,138
405
2,717
13,304
8,040
3,183
492
3,321
4,605
1,640
4,853
5,172
497
4,932
572
948
268
697
776
441
(continued)
195
320
992
1,143
383
575
587
562
441
241
626
674
699
1,200
1,420
944
Per capita amounts
$986
2,410
855
379
957
1,070
960
554
5,137
908
1,074
2,681
406
279
GAO/NSIAD-98-195 Defense Spending

Appendix IV
Per Capita Amounts for DOD Prime
Contract Awards and DOD Compensation
(1997)
State and District of Columbia
Oklahoma
Oregon
Pennsylvania
Rhode Island
S. Carolina
S. Dakota
Tennessee
Texas
Utah
Vermont
Virginia
Washington
West Virginia
Wisconsin
Wyoming
United States
Note: Numbers are rounded.
Source: Our analysis of DOD and Department of Commerce data.
DOD amounts
(millions)
2,836
685
5,252
756
3,046
319
2,136
15,481
1,335
185
21,732
6,230
425
969
263
203,857
Population
(millions)
3.3
3.2
12.0
1.0
3.8
0.7
5.4
19.4
2.1
0.6
6.7
5.6
1.8
5.2
0.5
267.6
Per capita amounts
855
211
437
766
810
433
398
796
648
314
3,227
1,111
234
187
547
762
Page 25 GAO/NSIAD-98-195 Defense Spending

Appendix V
Iowa
Kansas
Kentucky
Louisiana
Maine
Maryland
Massachusetts
Michigan
Minnesota
Mississippi
Missouri
Montana
Nebraska
Nevada
New Hampshire
New Jersey
New Mexico
New York
N. Carolina
N. Dakota
Ohio
State and District of Columbia
Alabama
Alaska
Arizona
Arkansas
California
Colorado
Connecticut
Delaware
D.C.
Florida
Georgia
Hawaii
Idaho
Illinois
Indiana
Page 26
2,005
1,354
3,213
8,723
388
1,033
1,062
808
2,574
615
1,842
2,597
2,411
1,322
7,402
5,518
DOD amounts
(millions)
$4,021
1,444
4,775
980
30,561
4,202
3,251
433
2,719
12,532
8,298
3,259
479
3,244
3,983
1,844
5,189
5,681
545
5,069
Personal tax contributions
(millions)
$13,367
2,438
14,294
10,014
145,113
21,075
24,903
5,182
DOD amounts/tax contributions
$0.30
0.59
0.33
0.10
0.21
0.20
0.13
0.08
37,298
53,587
35,331
6,737
27,189
2,248
8,524
7,286
4,918
56,951
4,592
117,309
26,818
1,995
56,985
60,135
35,204
4,169
4,418
74,815
23,242
10,014
12,054
12,806
13,632
3,700
0.16
0.07
0.40
0.04
0.21
0.27
0.09
(continued)
0.15
0.04
0.04
0.48
0.32
0.17
0.12
0.15
0.21
0.24
0.78
0.11
0.04
0.11
0.06
0.15
0.20
0.18
0.36
GAO/NSIAD-98-195 Defense Spending

Appendix V
DOD Prime Contract Awards and DOD
Compensation Per Dollar of Personal Tax
Contributions (1996)
State and District of Columbia
Oklahoma
Oregon
Pennsylvania
Rhode Island
S. Carolina
S. Dakota
Tennessee
Texas
Utah
Vermont
Virginia
Washington
West Virginia
Wisconsin
Wyoming
Combined-Maryland & D.C.
United States
Note: Numbers are rounded.
Source: Our analysis of DOD and IRS data.
DOD amounts
(millions)
2,943
684
5,906
771
3,275
368
2,209
17,202
1,310
315
20,919
6,195
441
964
324
209,202
Personal tax contributions
(millions)
14,762
13,216
60,359
4,403
12,447
2,319
23,877
88,174
7,263
1,981
28,197
26,328
4,216
23,259
1,771
39,372
1,290,288
DOD amounts/tax contributions
0.20
0.05
0.10
0.18
0.26
0.16
0.09
0.20
0.18
0.16
0.74
0.24
0.10
0.04
0.18
0.26
0.16
(707283) Page 27 GAO/NSIAD-98-195 Defense Spending

Ordering Information
The first copy of each GAO report and testimony is free.
Additional copies are $2 each. Orders should be sent to the following address, accompanied by a check or money order made out to the Superintendent of Documents, when necessary. VISA and MasterCard credit cards are accepted, also.
Orders for 100 or more copies to be mailed to a single address are discounted 25 percent.
Orders by mail:
U.S. General Accounting Office
P.O. Box 37050
Washington, DC 20013 or visit:
Room 1100
700 4th St. NW (corner of 4th and G Sts. NW)
U.S. General Accounting Office
Washington, DC
Orders may also be placed by calling (202) 512-6000 or by using fax number (202) 512-6061, or TDD (202) 512-2537.
Each day, GAO issues a list of newly available reports and testimony. To receive facsimile copies of the daily list or any list from the past 30 days, please call (202) 512-6000 using a touchtone phone. A recorded menu will provide information on how to obtain these lists.
For information on how to access GAO reports on the INTERNET, send an e-mail message with "info" in the body to: info@www.gao.gov
or visit GAO’s World Wide Web Home Page at: http://www.gao.gov
PRINTED ON RECYCLED PAPER