Budget Authority Setup

010.FFM.L1.01 Budget Authority Set-Up
End-to-End Business Process: 010 Budget Formulation-to-Execution
Business Scenario(s) Covered
  • Funds Control at Appropriation, Apportionment, Allotment, Allocation, Suballocation 1, and Suballocation 2 Levels
  • Accounting Segments of Treasury Account Symbol/Fund, Organization, Program, Project, and Activity
  • Discretionary Appropriated Funds
  • Single Year, Multi-Year, and No-Year Appropriations
  • Program Allocation Exceeding Organization Allotment
Business Actor(s)
Budget Office; Finance Office; Office of Management and Budget (OMB); United States Congress (Congress)
Synopsis
Single year, multi-year, and no-year funds are included in a federal agency's discretionary appropriated funds. Apportionments for each fund are requested and received from OMB. A budget operating/spend plan is developed with funds control at the appropriation, apportionment, allotment, allocation, suballocation 1 and suballocation 2 levels for Treasury accounts/funds, organizations, programs, projects, and activities. A decision is made during budget setup to establish funds control at levels different from those in place for prior years. When implementing the budget operating/spend plan in the financial management system, a program allocation that exceeds an organization's allotment is discovered and brought to the attention of the Budget Office. The over-allocation is corrected and no portion of the allotment is posted until the correction is received.
Assumptions and Dependencies
  1. There may or may not be automated (near/real-time or batch) interfaces between functional areas/functions/activities or between provider solutions/systems.
  2. There is no presumption as to which activities are executed by which actor, or which activities are automated, semi-automated, or manual.
  3. Supporting information for general ledger transactions includes sub-ledger entries when sub-ledgers are used.
  4. Appropriate attributes (e.g., object class and project) are included as part of the accounting string.
  5. Relationships between use cases are described in the Framework for Federal Financial Management Use Cases found in the related overview document.
  6. All predecessor activities required to trigger the Initiating Event have been completed.
  7. The agency budget has been approved by Congress and OMB without enactment of a continuing resolution.
  8. A two-step process is used to receive and process the budget operating/spend plan; the funds control levels and accounting segments are first established, then appropriation and apportionment information are loaded.
  9. The outputs associated with the FFM event that receives and processes the budget operating/spend plan are the inputs required to enter the operating/spend plan in the financial system.
  10. Funds are not obligated, expended, or disbursed until budget authority has been established in the financial system.
  11. Funds availability checks are performed against appropriations/fund accounts for obligating funds, and against obligations for disbursing funds in accordance with OMB A-11, Section 150.2.
FFMSR ID Reference(s) 1.1.2; 2.1.1; 2.1.2
Initiating Event

A federal agency receives its appropriation warrants.


010.FFM.L1.01 BUDGET AUTHORITY SET-UP
Typical Flow of Events
FFM Event Non-FFM Event Input(s) Output(s) / Outcome(s)
1
  1. Request and receive apportionment for each single year, multi-year, and no-year Treasury Appropriation Fund Symbol (TAFS)
  2. Develop additional funding subdivisions for the budget operating/spend plan, including Program, Project, and Activity (PPA), FY Quarter, and organization information for allotments, sub-allotments, allowances, and allocations (BFM.030.010 Budget Operating/Spend Plan Development)
  • Appropriation warrants
  • OMB-approved apportionments
  • Budget operating/spend plan with TAFS/PPA/FY Quarter and organization information for appropriations, apportionments allotments, sub-allotments, allowances, and allocations
2
  1. Receive budget information and establish appropriated fund subdivisions and associated funding levels based on OMB apportionments and agency spend and operating plan (FFM.010.010 Budget Set- up and Maintenance)
  2. Set up the funds control structure, levels, and accounting segments, /for fund subdivisions based on budget operating/spend plan (FFM.010.010 Budget Set- up and Maintenance)
  3. Establish spending authority and apportionment funding for revolving fund and allotted funding for organizations (FFM.010.020 Funds Allocation and Control)
  • Budget operating/spend plan with TAFS/PPA/FY Quarter and organization information for appropriations, apportionments, allotments, sub-allotments, allowances, and allocations
  • Appropriate funds control levels and accounting segments established
  • Appropriate appropriation and apportionment funding entries created with reference to source information
  • Appropriate allotment funding entries created with reference to source information
  • Appropriate allocation and suballocation funding entries created with reference to source information
  • Notification one of the program allocations exceeded its organization allotment
3

Post appropriate budgetary, proprietary, and/or memorandum entries to the general ledger (GL) (FFM.090.020 General Ledger Posting)

  • GL entries
  • Appropriate GL accounts updated
4

Revise budget operating/spend plan to correct program allocation exceeding organization allotment (BFM.030.010 Budget Operating/Spend Plan Development)

  • Notification one of the program allocations exceeded its organization allotment
  • Revised budget operating/spend plan
5

Receive and process revised budget operating/spend plan with correction of program allocation (FFM.010.020 Funds Allocation and Control)

  • Revised budget operating/spend plan
  • Appropriate allocation and suballocation funding entries created with reference to source information
6

Post appropriate budgetary, proprietary, and/or memorandum entries to the general ledger (GL) (FFM.090.020 General Ledger Posting)

  • GL entries
  • Appropriate GL accounts updated

This page was last updated on November 17, 2022.