What does the Antideficiency Act do?

The Antideficiency Act (ADA) ( Pub. L. 97–258, 96 Stat. 923) is legislation enacted by the United States Congress to prevent the incurring of obligations or the making of expenditures (outlays) in excess of amounts available in appropriations or funds.

What are exceptions to the Antideficiency Act?

Exceptions to the Antideficiency Act permit expenditures or obligations in excess of an appropriation where “authorized by law” or necessary to address “emergencies involving the safety of human life or the protection of property.” Id.

What are the 3 phases of the appropriation life cycle?

Each appropriation category has three distinct periods during its lifecycle: current period, expired period, and cancelled period.

What is the three part purpose test?

The “Necessary Expense Doctrine” (a.k.a. The 3-part Purpose Test). The purpose statute does not require every expenditure to be specified in an appropriation act. That is not possible or feasible. “The spending agency has reasonable discretion in determining how to carry out the objects of the appropriation.”

What is Antideficiency Act violation?

The Antideficiency Act prohibits Federal Employees from obligating funds unless both the amount and purpose of such spending has been approved by Congress in the form of enacted law. An Antideficiency Act Violation occurs when this prohibition is violated, and which includes both administrative and criminal penalties.

What are the three types of restrictions on funds?

Appropriated funds are subject to three basic fiscal constraints: time, purpose, and amount.

What is a no year appropriation?

No Year Appropriations — Appropriations available for obligations for an indefinite period of time without fiscal year limitation. They are available until they are used up. Funds may still be available for the recording and/or payment (liquidation) of obligations properly incurred.

What are the two types of interagency acquisitions?

There are two types of interagency acquisitions: direct acquisitions and assisted acquisitions.

What does the bona fide rule require?

The bona fide needs rule is a rule of appropriations law. It mandates that a fiscal year’s appropriations only be obligated to meet a legitimate—or bona fide—need arising in (or sometimes before) the fiscal year for which the appropriation was made.

What penalties can result from Antideficiency Act violations?

Penalties for Antideficiency Act violations include administrative discipline, such as suspension from duty without pay or removal from office.

What is Misappropriation Act?

Misappropriation. Misappropriation is the intentional and illegal use of funds for another use or other unauthorized purpose than its intended purpose. (31 USC, Section 1301) requires that funds appropriated by Congress be used only for the programs and purposes for which the appropriation was made.