Budget Legislation

Question 1

Government funds shall only be spent in pursuance of an appropriation made by law. Therefore, due process must be undertaken to legalize the proposed budget.

Answer 1

Budegt Legislation

Question 2

The Budget bill is tackled by Congress like any legislation. Thus, upon the receipt of the President’s Budget, the Committee on Appropriations of the House of Representatives holds public hearings on the proposed Budget. The Committee then prepares and sponsors the recommended General Appropriations Bill (GAB) before the House in plenary. Once approved, the House transmits the GAB to the Senate.

Answer 2

1. House Deliberations

Question 3

General Appropriations Bill

Answer 3

GAB

Question 4

Unlike normal legislation, the Constitution first requires the House to approve the GAB before the Senate considers the same. However, to expedite the process, the Senate Committee on Finance usually starts hearings on the President’s Budget well before the House formally transmits the GAB. Like in the House, the Committee on Finance sponsors the GAB in plenary, which then approves the Senate version of the GAB.

Answer 4

2. Senate Deliberations

Question 5

After the House and the Senate approve their versions of the GAB, they each form a panel of lawmakers that will constitute the Bicameral Conference Committee or Bicamto harmonize any conflicts between the Representatives and the Senate versions of the GAB.

Answer 5

3. Bicameral Deliberations

Question 6

The Harmonized or “Bicam” version of the GAB is then submitted back to both Houses, which then vote to ratify the final GAB. Both Houses then submit or “enroll” the ratified GAB to the President.

Answer 6

4. Ratification or Enrollment

Question 7

Budget legislation ends when the President signs the GAA into law. Prior to this, the President may veto or set conditions for implementation of certain items in the GAA, which are then specified in the President’s Veto Message. Unlike other legislation, the President may effect a “line item veto” of specific provisions of the GAB.

Answer 7

5. Enactment of the GAA

Question 8

are annual authorizations for incurring obligations during a specified budget year, as listed in the GAA.

Answer 8

New General Appropriations 01

Question 9

are the authorizations to support obligations for a specific purpose or project, such as multi-year construction projects which require the incurrence of obligations even beyond the budget year.

Answer 9

Continuing Appropriations 02

Question 10

are additional appropriations authorized by law to augment the original appropriations which proved to be insufficient for their intended purposes due to economic, political or social conditions supported by Certification of Availability of Funds from the BTr.

Answer 10

Supplemental Appropriations 03

Question 11

are the authorizations programmed annually or for some other period prescribed by law which do not require periodic action by the Congress

Answer 11

Automatic Appropriations 04

Question 12

are standby appropriations authorized by Congress in the annual FAA

Answer 12

Unprogrammed Funds 05

Question 13

collections which are authorized by law to be used directly by agencies concerned for their operation or specific purposes.

Answer 13

Retained Income/Funds 06

Question 14

receipts derived from business-type activities of departments/agencies which are authorized by law to be constituted as such and deposited in an AGDB. These funds shall be self-liquidating and all obligations and expenditures incurred by virtue of said business-type activity shall be charged against said fund.

Answer 14

Revolving Funds 07

Question 15

are receipts by any government agency acting as trustee, agent, or administrator for the fulfillment of some obligations or conditions.

Answer 15

Trust Receipts 08