Mod1 Flashcards
How Many branches of Government did the Constitution establish?
Three
What was the predecessor to the Constitution?
The Articles of the Confederation
Where are all federal-level laws enacted?
Congress
In which article of the Constitution is the power to raise taxes found?
Article 1
What occurs when Congress is not in session and the President does not sign a properly-presented enrolled bill within 10 days?
Pocket Veto
How frequently does Congress review the DoD budget request?
Annually
Approximately what percentage of total federal spending is discretionary spending?
Thirty percent (30%)
Which branch of Government implements laws?
Executive Branch
Which branch of Government is authorized to raise taxes and borrow money?
Legislative Branch (Congress)
Which committee attempts to resolve differences between House and Senate versions of a bill?
The Conference Committee, sometimes referred to as “The Third Chamber”
Which agency issues directions for use by other agencies in submitting their budget estimates?
Office of Management and Budget
What type of legislation provides an agency with budget authority?
Appropriation Acts provide budget authority
What term is used to describe a subdivision of an apportionment?
Allotment
What agency issues apportionments?
Office of Management and Budget (OMB)
Which branch of Government conducts hearings on the effectiveness of Government programs?
Legislative Branch (Congress)
In the federal budget process, which organizations actually prepare budget estimates?
Federal Agencies
What is the largest single source of Federal Government tax revenues?
Individual Income Taxes (50% in 2020)
What are requests for funds in addition to amounts already appropriated called?
Supplemental
What financial control document is issued by the Treasury Department following signature of the Appropriations Act?
Appropriation Warrant
What term describes a postponement in the use of appropriated funds?
Deferral
What term describes a cancellation of appropriated funds?
Rescission
After the DoD Appropriations Bill is signed into law, what does DoD request from OMB?
Apportionment
An administrative reservation of funds is known as what?
Commitment
What gives a federal agency the legal authority to operate a program?
Authorization Legislation
Article 1, section 8, Clause 1 of the U.S. Constitution empowers which branch of the Federal Government to collect taxes?
The Legislative Branch
OMB stands for?
Office of Management and Budget
Where can the rules for calculating FTE employment be found?
OMB Circular A-11
What term is used to refer to the totality of units in a DoD component?
Force Structure
What term is used to refer to the authorized and programmed strength at the end of the fiscal year for the active forces, the Selected Reserve, and the appropriated-fund civilian employees in the FYDP?
Peacetime Strength
What process involves assembling, organizing, and using manpower and material resources in preparation of war or other emergency?
Mobilization
What is the maximum number of days that units of the Selected Reserve and members of the Individual Ready Reserve may be ordered to active duty (other than for training) without the consent of Congress?
365
What is the maximum number of members of the Selected Reserve and the Individual Ready Reserve who may be on duty at any one time? Of these, what is the maximum number who may be members of the Individual Ready Reserve?
200,000: 30,000
What term is used to describe a civilian who could be deployed to a crisis area?
Emergency Essential Employee (E-E)
What types of activities are excluded from competition under OMB Circular A-76?
Inherently Governmental
How frequently must federal agencies compile lists of activities that are not inherently governmental?
Annually
What kind of activity is so intimately related to the public interest as to mandate performance by federal employees?
Inherently Governmental Activity
What is one of the exceptions to the ban on gifts from outside sources?
The value of the gift is $20.00 or less
FYDP is?
Future Years Defense Program (FYDP)
What is the name of the Department’s internal control effort?
Manager’s Internal Control Program
The purposes of the Federal Managers’ Financial Integrity Act of 1982 are to prevent waste or misuse of agency funds or property and to assure the accountability of what?
Assets
What do internal controls reasonably ensure?
Programs achieve intended results; Resources are used efficiently; Programs/resources are protected from waste, fraud and mismanagement; Laws and regulations are followed; Financial reporting is reliable and accurate
What agency issues “Standards for Internal Control in the Federal Government”?
Government Accountability Office (GAO)
Segregation of duties is a type of which internal control standard?
Control Activities
The Financial Managers Financial Integrity Act report must include agency plans to correct what type of weakness?
Material Weakness
Who decides whether a weakness is material enough to warrant reporting as a “material weakness” to the next higher level?
It is a management judgment
What should be the last milestone of the corrective action plan for each material weakness?
Correction Validation
The DoD component head’s Statement of Assurance must take one of how many forms?
Three
How many components are there in the GAO Standards of Internal Controls?
Five
For what program is the full scope of management responsibility defined in DoD instruction 5010.40?
DoD’s Managers’ Internal Control Program
When a DoD component head provides a Statement of Assurance that the component’s controls are in place and achieving their intended objectives, is this a statement of absolute assurance or reasonable assurance?
Reasonable Assurance
What is the term for the probable or potential adverse effects from inadequate internal control that may result in the loss of Government resources or cause an agency to fail to accomplish significant mission objectives through fraud, waste, or mismanagement?
Risk
What kind of weakness significantly impairs the fulfillment of a DoD component’s mission?
Material Weakness
True or False: The July 15, 2016 updated version of OMB Circular A-123 requires CFO Act Agencies to hire a Chief Risk Officer for the purpose of establishing an Enterprise Risk Management capability within the agency.
FALSE
What are the two major categories of control areas included in GAO’s Federal Information System Controls Audit Manual (FISCAM)?
General and Business Process Application Controls
What are the 3 documents that are the genesis of the US Federal Legislative process?
Declaration of Independence
Articles of Confederation
Constitution
What are the 4 major events that are the genesis of the US Federal legislative process?
Declaration of Independence adopted July 4, 1776
Articles of Confederation ratified March 1, 1781
Constitution ratified by 9 states on June 1788
Constitution took effect on March 4, 1789
When was the Declaration of Independence adopted?
July 4, 1776
When were the Articles of Confederation ratified?
March 1, 1781
When was the Constitution ratified? And by how many states?
June 1788 and by 9 states
When did the Constitution take effect?
March 4, 1789
What was notable about the Articles of Confederation?
Precursor to the Constitution
Explicit in guarding the independence of the States
Did not provide for a Federal Chief Executive or Judicial System
What are 3 ways that the Constitution defines the fundamental of the US Federal Government?
Sets forth the 3 principal branches
Outlines their jurisdictions
Propounding the basic rights of the US Citizen
What was one of the main purposes of the Constitution?
The Constitution established the 3 branches of Government and defined their roles
What is the essential principle of the constitution?
The essential principle of the Constitution is that the Government must be confined to the rule of law.
What does Article 1, Section 8 of the Constitution state?
Art 1, Sect 8 states - Congress shall have the authority ‘To make all Laws which shall be necessary and proper for carrying into Execution (the various powers allotted to the Federal Government by the Constitution)’
What is one of the most important excerpts from the Preamble?
We the People of the United States, in Order to form a more perfect union, establish Justice, insure domestic Tranquility, provide for the common defense, promote the general Welfare, and secure the Blessings of Liberty to ourselves and our Posterity, do ordain and establish this Constitution for the United States of America.
What is the purpose of Article 1 of the Constitution?
Article 1 establishes the Legislative Branch of the Federal Government.
What is the main purpose of Article 1 Section 1 of the Constitution?
Article 1 Section 1 states in part ‘All legislative Powers herein granted shall be vested in a Congress of the United States, which shall consist of a Senate and House of Representatives.’
What is the main purpose of Article 1 Section 2 of the Constitution?
Article 1 Section 2 states that ‘The House of Representatives shall be composed of members chosen every second Year by the People of the several States, and the Electors in each State shall have the Qualification requisite for Electors of the most numerous Branch of the State Legislature.’
What is the main purpose of Article 1 Section 3 of the Constitution?
Article 1 Section 3 states ‘The Senate of the United States shall be composed of 2 Senators from each State, (Chosen by the Legislature thereof) for 6 years and each Senator shall have one Vote.’
The way that Senators were chosen changed in what year and how?
Senators were to be chosen by the people vice the legislature due to the 17th Amendment to the Constitution ratified in 1913.
What is the main purpose of Article 1 Section 7 of the Constitution?
Article 1 Section 7 states ‘All bills for raising Revenue shall originate in the House of Representatives, but the Senate may propose or concur with Amendments as on other Bills.’
What is the main purpose of Article 1 Section 8 of the Constitution?
Article 1 Section 8 States ‘The Congress shall have power to lay and collect Taxes, Duties, Imposts and Excises, to pay the Debts and provide for the common Defense and general Welfare of the United States: but (all) shall be uniform throughout the United States’
What are 10 functions granted by Article 1 Section 8 of the Constitution?
The 10 functions granted by Article 1 Section 8 are:
Borrow money on the credit of the United States
Regulate Commerce with foreign Nations, and among the several States, and with the Indian Tribes
Coin Money, regulate the Value thereof, and of foreign Coin, and fix the standard of Weights and Measures
Constitute Tribunals inferior to the Supreme Court
Declare War, grant Letters of Marque and Reprisal, and make rules concerning Captures on Land and Water
Raise and support Armies, but no Appropriation of Money to that Use shall be for a longer Term than 2 years
Provide and maintain a Navy
Make Rules of rate Government and Regulation of the land and naval Forces
Provide for calling forth the Militia to execute the Laws of the Union, suppress Insurrections and repel Invasions
Make all Laws which shall be necessary and proper for carrying into Execution the foregoing Powers, and all other Powers vested by this Constitution in the Government of the United States, or in and Department or Officer thereof.
What is the main purpose of Article 1 Section 9 of the Constitution?
Article 1 Section 9 states ‘No money shall be drawn from the Treasury, but in Consequence of Appropriations made by Law; and a regular Statement and Account of Receipts and Expenditures of all public Money shall be published from time to time.’
What is the main purpose of Article 2 of the constitution?
Article 2 of the Constitution establishes the Executive Branch of the Federal Government and directs the President to execute laws
What are the main points of the first 3 sections of Article 2?
Article 2 Section 1 - The President us the United States of America shall hold his Office during the term of 4 years
Article 2 Section 2 - The President shall be Commander in Chief..
Article 2 Section 2 - Shall from time to time give to the Congress Information of the State of the Union, and recommend to the Consideration such measures as he shall judge necessary…
What is the main purpose of Article 3 of the Constitution?
Article 3 establishes the Judicial Branch of the Federal Government.
What are the 2 main roles of the Judicial Branch?
The Judicial branch main roles are to be the Supreme Court and to interpret law
Who establishes inferior courts?
The Legislative Branch establishes all courts inferior to the Supreme Court
What is the purpose of Article 3 Section 1 of the Constitution?
Article 3 Section 1 states ‘the judicial Power of the United States, shall be vested in on supreme Court, and in such inferior Courts… the Judges .. Shall hold their Offices during good Behavior… receive for their Services a Compensation which shall not be diminished during their Continuance in Office
What is the purpose of Article 3 Section 2 of the Constitution?
Article 3 Section 2 states ‘the judicial Power shall extend to all Cases, in Law and Equity, arising under this Constitution, the Laws of the United States, and Treaties made, or which shall be made, under their Authority..’
What are the 4 types of legislative documents that congress uses?
The 4 types of documents that are used in Congress are:
Bills
Joint Resolutions
Concurrent Resolutions
Simple Resolutions
Which types of documents from Congress go to the President for signature?
Congress sends bills and Joint Resolutions to the President for signature
What does Congress use in order to propose an amendment to the Constitution?
Congress proposes amendments to the Constitution using Joint Resolutions
What are the 3 ways that legislation is introduced into Congress?
The 3 ways that legislation may be introduced into Congress are from:
Recommendations by the President
Introduced by Members either the Senate or the House
Introduced by Committees of either the Senate or the House
What does one have to do in order to introduce a bill to Congress?
In order to introduce a bill to Congress a bill must be placed in the ‘Hopper’.
Where is the first place a bill goes when introduced to Congress?
All bills introduced to Congress must first go to the appropriate committee
What is usually the first step when considering a bill in committee?
When considering a bill in committee the first step is usually public hearings
After the committee hears all public opinion what is the next phase for a bill that is being considered?
After the public hearings the next phase is popularly known as the ‘mark up’ session.
If a bill has been marked up or amended extensively and the committee decides to completely rewrite the bill with all changes and a new number, what is the bill then called?
When a bill has been extensively marked up and rewritten as a new bill with a new number, that bill is now called a ‘clean bill’.
After a bill is marked up / amended or rewritten what happens to it?
After a bill has been marked up / amended or rewritten the bill is voted upon by the committee or subcommittee and can be reported (with or without amendments, tabled (which means no further action will be taken) or rewritten (clean bill is created and has a new number)
What is the label for a bill that has passed one part of Congress (House or Senate) but not yet passed the second?
The identifier for a bill that has passed one body of Congress but not yet the other is called an ‘engrossed’ bill.
When a bill is not acceptable to one body of Congress or the other and must be resolved, what entity is called upon to resolve the differences and what is a common term for it?
When a bill cannot be reconciled between both bodies of Congress it must go to a combined committee called a Conference Committee which is commonly referred to as the ‘Third Chamber’ of Congress
Who decides what members will comprise the Conference Committee?
Conference Committees are selected by the ranking majority and minority members of the committees and may include committee and non-committee members.
What is the identifier of a bill that has passed both bodies of Congress?
After a bill has passed both parts of Congress and is to be sent to the President it is called an ‘enrolled’ bill.
What 4 actions does the President have after receipt of a bill passed by Congress?
Once the President receives a bill passed by Congress, the President must:
Approve the bill by signing
Not sign the bill but it still becomes law if sits for 10 days while congress is still in session
if Congress has adjourned then the President may allow the bill to remain unsigned and it is stagnant
Veto the bill and send it back to Congress
May Congress overrule the Presidential Veto and how?
The bill goes back to the originating body of congress and can be passed with a 2/3 majority vote be sent to the other body and if passed with a 2/3 majority vote there will become law without the Presidents signature.
what are the 3 phases of the Budget Process / cycle?
The 3 main phases of the budget process or cycle are:
Budget Formulation
Congressional Action
Budget Execution
What are the 6 steps of the budget formulation phase?
The 6 steps of the budget formulation phase are:
OMB Issues Guidance
Organization develops draft
Agency submits budget estimates to OMB
OMB holds hearings on Agency budgets
President makes final decisions on Agency budgets
President transmits the budget to Congress
What legislation (law) requires the President to submit the budget of the federal government for the next FY?
the 1974 Congressional Budget Act requires the President to submit the budget for the next FY NLT the 1st Monday in February.
What documentation governs the budget formulation phase?
The budget formulation process is governed by OMB Circular A-11
Inside the DoD what is the process that is used to formulate the budget?
The DoD use the Planning, Programming, Budgeting, and Execution (PPBE) process to formulate the DoD portion of the Presidents budget.
When is the Presidents budget submitted to Congress for consideration?
NLT the first Monday in February
when must an Agency submit their budget to OMB?
All other Executive Agencies are required to submit their budget to OMB in September, however, DoD does not submit until mid-January.
What is the DoD budget having done to it from September to Mid-January when it must be submitted to OMB?
From September to Mid-January the OSD and senior OMB budget examiners conduct an review of the submissions from the services and defense agencies called the ‘fall review’.
Who submits the DoD budget?
The USD(C) submits the DoD budget on behalf of the SECDEF.
After OMB reviews the submissions from the agencies, what happens?
The Director of OMB provides a letter to the Director of each Agency with changes to funding, or adjustments to Agency budgets. This letter is called the OMB ‘Passback’
Can Passback results be appealed? And by whom to whom?
Passback results can be appealed to the President by the Agency Head.
What are the 4 steps for the decision process for the budget for the President?
1 as portions of the review are completed, OMB Director’s recommendations, together with those of the Agency are placed before the President
2 when President makes decision Agencies are notified
3 Revisions of the individual budget schedules for each agency are completed, and the figures from the revised schedules are summarized by agency
4 Figures are consolidated to make up overall summary tables that present agencies with final revenue estimates prepared by the Treasury Department and set forth in the Government-wide budget totals.
What is the name of the Act that drives the Congressional Action concerning the Federal budget process?
The congressional process is driven by the Congressional Budget and Impoundment Control Act of 1974.
Has the Congressional Budget and Impoundment Control Act of 1974 been amended and what was the name of that legislation?
The congressional Budget and Impoundment Control Act of 1974 was amended by the Gramm, Rudman, Hollings Budget Control Act and its amendments
What are the 3 main actions to from the Congressional Budget and Impoundment Control Act of 1974?
Congress focuses on overall budget totals and relates individual appropriation actions to one another within a general set of spending priorities
New budget committee was established in each house and a new, professionally staffed Congressional Budget Office (CBO) was also established
Fiscal year shifted from July/June to October 1/September 30. This action was designed to give Congress additional time to complete action on the Federal budget.
What are the 3 separate, but related, processes that occur in eh Congress associated with the congressional action phase of the budget process?
The Budget Resolution Process
The Authorization Process
The Appropriation Process
During the congressional action phase testimony is received from what groups?
During the congressional action phase committees and subcommittees hold separate hearings to review the justifications from each agency and receive testimony from:
Members of Congress
Representatives of Federal departments and agencies
General public
Organizations that the committees deem appropriate
Who manages the budget resolution step of the congressional action phase?
the House and Senate budget committees manage the budget resolution step
Who provides the analysis that is used by the House and Senate budget committees?
the Congressional Budget Office (CBO) provides analysis that is used in conjunction with other data
What is the date that the House and Senate budget committees should receive reports from all other congressional committees on their respective views and estimates?
The House and Senate budget committees should receive reports not March 15.
What are the reports that should be received NLT March 15 by the House and Senate budget committees on the respective views and estimates?
The reports received from all other congressional committees on the respective views and estimates of the appropriate levels of:
Total budget outlays
Total new budget authority
public debt (art 1, Sect 8 gives Congress the power to ‘borrow money on the credit of the United States’)
Surplus or deficit
Federal revenues
What is another of the functions of the Congressional Budget Office?
The Congressional Budget Office provides support thru Scorekeeping.
What is scorekeeping accomplished by the Congressional Budget Office (CBO)?
Scorekeeping is the process of estimating the budgetary effects of pending legislation and comparing them to a baseline such as the budget resolution or to any limits that may be set in law.
What is a concurrent budget resolution (CBR) and who generates it?
Each House and Senate budget committee drafts a budget resolution to eventually be passed by both houses. The end product of this is a Concurrent Budget Resolution (CBR) which represents a very high-level overall budget plan that includes revenue and spending.
What is the culmination of the first step in the Congressional budget process and who authorizes it?
The Concurrent Budget Resolution (CBR) does NOT require the signature of the President and signifies the culmination of the first step of the Congressional budget process.
What are the 3 main goals of the Concurrent Budget Resolution?
The Concurrent Budget Resolution (CBR) fixes max for the new budget authority and sets outlay targets (total of checks issued, interest on Federal Debt, or other payments) for the budget as a whole and for the various major functions of the Federal Government.
Establishes targets for the Gross National Debt, Federal revenues, and the surplus or deficit.
Is used to develop a joint explanatory statement that includes estimated allocation of the budget total to each committee having jurisdiction over spending or revenue measures. Appropriations committees then subdivide the allocations among subcommittees.
What is the 2nd step in the congressional budget process and what does it do?
The 2nd step in the congressional budget process is the Authorization Process and the output may be considered ‘enabling’ or ‘organic’ legislation that creates an agency, establishes a program, or prescribes a function.
May funding be provided during the Authorization process?
(in rare situations) Generally, the authorization process does not give an agency the authority to obligate funds or permit the withdrawal of funds from the US Treasury, only the appropriation act permits those actions
What is the name of the authorization for the DoD?
The DoD is authorized every year by the National Defense Authorization Act (NDAA)
What are the names of the Committees that manage the authorization process for DoD?
The House Armed Services Committee (HASC) and the Senate Armed Services Committee (SASC) manage the Authorization process for DoD.
There are 7 House and Senate Authorization Committees, they are?
HASC & SASC,
Permanent Select Committee on Intelligence (House)
Select Committee on Intelligence (Senate)
Energy and Natural Resources Committee (Senate)
Energy and Commerce Committee (House)
Environment and Public Works (Senate)
The third/final step in congressional budget process is called?
The third/final step in the congressional budget process is called the Appropriations Process
Are appropriations required to follow funding ceilings dictated in authorization bills?
The appropriations committees generally follow the lead on the authorizing committees but are not required to, and often do not, adhere to funding ceilings set in the authorization bills.
What are the 3 main congressional actions on appropriations?
OSD prepares and submits justification, providing detailed information to support the President’s budget requests for consideration by the appropriations committees and their subcommittees
Justification material presented to the Committees generally is the same type of material earlier given to OSD but is revised to reflect the President’s decisions on the budget
Agency witnesses appear before Appropriations Subcommittees to explain the estimates and answer questions.
What are the 2 main committees that control the appropriations process and how many subcommittees are a part of them?
The House and Senate Appropriations Committees (HAC & SAC) are responsible for the 12 Appropriations and have that number subcommittees
How many appropriations are there and what are they called?
The 12 annual Appropriations are:
Agriculture, Rural Development, Food & Drug Administration, and related agencies
Commerce, Justice, Science, and related agencies
Energy and Water Development, and related agencies
Defense
Homeland Security
Labor, Health & Human Services, Education, and related agencies
State, Foreign Operations, and related agencies
Military Construction, Veterans Affairs, and related agencies
Interior, Environment, and related agencies
Transportation, Housing & Urban Development, and related agencies
Financial Services and General Government
Legislative Branch
What is the process for changing revenue laws? And who are they referred to?
Requests to change revenue laws, which are referred to the Ways and Means Committee in the House and to the Finance Committee in the Senate, follow the same pattern as to appropriations bills in the HAC & SAC
What are the 3 main Appropriations Acts that concern DoD?
The 3 appropriations subcommittees in each house that directly impact DoD are the:
Appropriations Subcommittee on Defense, which drafts same named Bill
Appropriations Subcommittee on Military Construction/Veterans Affairs, which drafts same named Bill
Energy and Water Development subcommittee, which appropriations bills such as those that provide money to the Department of Energy for military purposes (e.g. nuclear fuel and nuclear warheads) and for the Army Corps of Engineers Civil Work projects
Are agencies able to appeal the actions taken on the budget by House and Senate authorization and appropriations committees? And what document dictates that process? And who does the appeal come from?
The Secretary of Defense may address a letter to the Chairman of the correct committee as dictated by DoD FMR 7000.14R, Volume 2A Paragraph 010406. The agency may submit an appeals package that may be referred to in that letter - 1 page for each action being appealed.
What is the difference between a Budget Amendment and a Supplemental Request?
Both documents are submitted to congress by the agency, however a budget amendment is an estimate that amends (revises) a budget estimate transmitted previously and on which Congress has not completed action, and a supplemental request is a request to provide funds in addition to amounts already appropriated for the ongoing fiscal year. Congress may not consider a supplemental request that would exceed the limits of the most recently approved concurrent resolution on the budget.
What happens if the budget process is not complete prior to October 1, the first day of the new fiscal year? And what can be done to avoid negative consequences?
If the process is not complete prior to the start of the fiscal year, the federal government is required to shut down. The only way to avoid this is thru the use of stopgap measures or temporary short term appropriation legislation called Continuing Resolutions.
What are some caveats to a continuing resolution?
A CR provides budget authority for specific ongoing activities for a specific period of time and congress can extend.
CRs are at the rate of the previous fiscal year, no new contracts may be entered increasing rate.
Extensions may run beyond the session of congress.
Portions can continue for the entire fiscal year
The regular appropriation, when enacted, supersedes the continuing resolution
Because a CR provides appropriated funds, those funds are also required to be apportioned by OMB.
What happens when the President signs an appropriation bill?
When the President signs the appropriation bill, it becomes an act (a law)
What are the 3 main restrictions concerning the availability of Budgetary Resources?
Purpose, Time, and Amount (PTA) are the 3 main restrictions when utilizing budgetary resources.
What is budget authority and how is it granted?
Budget authority is distributed to agencies by OMB as part of the apportionment process
What is the first step (key event) once the appropriation is signed into law aka the Budget Execution Phase? And when must it happen?
The first step after the appropriation is signed into law initiating the Budget Execution Phase, that must happen as soon as possible it that the Department of Treasury issues Appropriation Warrants (FMS form 6200) aka Treasury Warrants
What does FMS stand for and what is the FMS form 6200 used for?
FMS stands for Financial Management System (Department of Treasury) and the FMS form 6200 is the Treasury Warrant or Appropriation Warrant that grants appropriation authority to OMB.
What does budget authority become and when?
Budget authority, once apportioned by OMB becomes the authority to obligate, or ‘obligation authority’
What is the second key event in the budget execution phase?
Within 10 days after the appropriations act is signed into law by the President OSD/OMB negotiates apportionments (OSD must request apportionment via form SF-132) OMB has 30 days after the appropriations act passage to effect apportionment.
For the DoD what is the 3rd key event of the budget execution phase?
as soon as practical after apportionment by OMB the OSD allocates o Military Departments with a funds authorization document (FAD). The Military Departments then allot to subordinate units. OSD allots to Defense Agencies
What key event in the budget execution phase happens continuously throughout the fiscal year?
OSD and military departments obligate for goods and services
What key event in the budget execution phase happens throughout the FY but especially quarterly?
OSD monitors/reports financial activity and assesses performance against objectives. Agency controls obligations within allotted budget authority.
What key event in the budget execution phase happens quarterly?
OSD reports to OMB the status of expenditures using the SF-133
What key event in the budget execution phase happens mid-year?
Comprehensive reviews of all performance indicators are conducted throughout DoD and programs are adjusted as required.
What key event in the budget execution phase happens throughout the FY?
Programs are adjusted to meet emerging conditions. Agencies/DoD reprograms/transfers funds with proper approvals.
What key event in the budget execution phase happens end of fiscal year?
OSD through services completes year-end closeout
Is the same budget execution phase used for both full appropriations and continuing resolutions?
No, a different warrant procedure is used if under continuing resolution. TD usually require that temporary warrants be prepared by the agency.
What is the first key event of the budget execution phase dictated by?
Apportionment, required by 31 USC 1512, is part of the government-wide system for administrative control of appropriations and funds.
What is another name for the SF-132?
The SF-132 submitted to OMB is also called an initial apportionment request
When is OMB required to act on the apportionment request?
OMB is required to act on the apportionment request within 30 days after the approval of the act providing new budget authority by the President.
What is the guiding principal behind the ‘purpose’ part of the ADA?
Funds may be obligated and expended only for the purposes authorized in appropriations acts or other laws.
What is the guiding principal behind the ‘time’ part of the ADA?
the period of time that budgetary resources may incur new obligations (ie order new goods or services) is different from the period of time during which the budgetary resources may be used to incur expenditures (eg pay bills)
What is the guiding principal behind the ‘amount’ part of the ADA?
Obligations and expenditures may not exceed the amounts established in law
what are the steps of the budget execution phase from start to finish?
Appropriations bill passed in identical form by both House and Senate
President’s signature
Treasury issues Appropriation Warrant
Agencies submit SF-132 and OMB issues apportionment
Agencies issue allotments
allotments are distributed via suballotments
obligations, then commitments, then outlays/disbursements occur
May the President withhold funds from appropriations without sufficient reason and why?
The President may not withhold funds without sufficient reason due to the Impoundment Control Act of 1974
Are there any reasons why the President may withhold funds from lawful appropriations?
Yes, due to the Impoundment Control Act of 1974 the President may withhold funds for programmatic or technical reasons.
What are the 2 reasons how the President may withhold funds from lawful appropriations?
The 2 reasons how the President may withhold funds from lawful appropriations are thru the use of deferrals or postponement of funds and rescission or cancellation of funds.
Where are the codifications for rescissions and deferrals?
The codifications for rescissions and deferrals are rescissions - 2 USC 683 and deferrals 2 USC 684
What are some stipulations concerning deferrals?
The President is required to send a notice to the appropriate committees in the event of a proposed deferral
these deferrals may be made either as reserves ‘to provide for contingencies’ under the Antideficiency Act of for other reasons under the Impoundment Control Act
the amounts deferred through the apportionment are withheld from obligation temporarily, until released by OMB. Amounts deferred must be released (ie apportioned) to the receiving agency in sufficient time prior to the funds going into an ‘expired’ status to allow the funds be obligated.
What must be known about rescissions within the budget execution phase?
Funds may be held pending congressional action on a proposal by the President that authority to obligate such funds be rescinded(cancelled).
As with deferrals, congress must be notified.
Congress has 45 days of session to complete action or the funds must be made available for obligation.
What are the 4 guiding documents (laws / regulations) for DoD Agency management of funds?
The 4 guiding laws / regulations for agency management of funds for DoD are
31 USC 1514
OMB Circular A-123, Appendix D
Compliance with the FFMIA of 1996
DoD FMR Volume 14
What does 31 USC 1514 require?
31 USC 1514 requires the official having administrative control of an appropriation to prescribe by regulation a system of administrative control consistent with account procedures prescribed under law. The system shall be designed to:
Restrict obligations or expenditures from each appropriation to the amount of apportionments or reapportionments of the appropriation.
Enable the official or the head of the executive agency to fix responsibility for an obligation or expenditure exceeding and an apportionment or reapportionment.
What does OMB Circulate A-123 Appendix D accomplish?
OMB Circular A-123, Appendix D issues requirements for the Executive Branch to implement 31 USC 1514
What does DoD FMR Volume 14 accomplish?
DoD FMR Volume 14 issues DoD actions to implement 31 USC 1415
Where are funds allotted?
Agencies distribute funds within the agency by allotment and suballotment.
What is the concept behind fund allotments?
The concept behind fund allotments is to place operational and obligational authority at the lower practical level to increase the likelihood of effective management.
