31 U.S.C. § 1553 — Availability of appropriation accounts to

Page 202 TITLE 31—MONEY AND FINANCE § 1552 ‘‘(i) one percent of the total amount of the appro- priations for that account; or ‘‘(ii) one percent of the total amount of the appro- priations for the expired account. ‘‘(C) No obligation or adjustment of an obligation may be charged pursuant to the provisions of this para- graph until the Committees on Armed Services and the Committees on Appropriations of the Senate and House of Representatives are notified of the intent to make such a charge and a period of 30 days elapses after the notification is submitted. ‘‘(D) CERTIFICATIONS.—No obligation or adjustment of an obligation may be charged pursuant to the provi- sions of this paragraph until the Secretary of Defense (except as otherwise provided in subparagraph (E)) cer- tifies to Congress the following: ‘‘(i) That the limitations on expending and obli- gating amounts established pursuant to section 1341 of title 31, United States Code, are being observed within the Department of Defense. ‘‘(ii) That reports on any violations of such section 1341, whether intentional or inadvertent, are being submitted to the President and Congress imme- diately and with all relevant facts and a statement of actions taken as required by section 1351 of title 31, United States Code. ‘‘(E) ALTERNATIVE TO CERTIFICATION.—If the Sec- retary of Defense is unable to make the certifications referred to in subparagraph (D) within 60 days after the date of the enactment of this subparagraph [Oct. 23, 1992], the Secretary shall submit to the Congress a re- port stating that the Secretary is unable to make such certifications and setting forth the actions that the Secretary will take in order to enable the Secretary to make such certifications after the end of that period.’’ § 1552. Procedure for appropriation accounts available for definite periods (a) On September 30th of the 5th fiscal year after the period of availability for obligation of a fixed appropriation account ends, the account shall be closed and any remaining balance (whether obligated or unobligated) in the ac- count shall be canceled and thereafter shall not be available for obligation or expenditure for any purpose. (b) Collections authorized or required to be credited to an appropriation account, but not re- ceived before closing of the account under sub- section (a) or under section 1555 of this title shall be deposited in the Treasury as miscella- neous receipts. (Pub. L. 97–258, Sept. 13, 1982, 96 Stat. 935; Pub. L. 101–510, div. A, title XIV, § 1405(a)(1), Nov. 5, 1990, 104 Stat. 1676.) HISTORICAL AND REVISION NOTES Revised Section Source (U.S. Code) Source (Statutes at Large) 1552(a) ..... 31:701(a)(1). July 25, 1956, ch. 727, § 1(a)(1), 70 Stat. 647; restated July 12, 1974, Pub. L. 93–344, § 503(a), 88 Stat. 321. 31:701(a)(2). July 25, 1956, ch. 727, § 1(a)(2), 70 Stat. 648; June 29, 1960, Pub. L. 86–533, § 1(25), 74 Stat. 249. 31:701(b). July 25, 1956, ch. 727, § 1(b), 70 Stat. 648; restated July 12, 1974, Pub. L. 93–344, § 503(b), 88 Stat. 322; Apr. 21, 1976, Pub. L. 94–273, § 45, 90 Stat. 382. 1552(b) ..... 31:701(c)(last sen- tence). July 25, 1956, ch. 727, §§ 1(c)(last sentence), (d), 5, 70 Stat. 648, 649. 1552(c) ..... 31:701(d). 1552(d) ..... 31:705. In subsection (a), the text of 31:701(b)(1)(A) and (2)(A) and the words ‘‘for the period commencing on July 1, 1976, and ending on September 30, 1976, and for any fis- cal year commencing on or after October 1, 1976’’ are omitted as executed. In subsection (a)(1), the words ‘‘period of availability ends’’ are substituted for ‘‘that period or the fiscal year or years, as the case may be, for which the appropria- tion is available for obligation’’ to eliminate unneces- sary words. In subsection (a)(2), the words ‘‘reverts to the Treas- ury’’ are substituted for ‘‘if the appropriation was de- rived in whole or in part from the general fund, shall revert to such fund’’ to eliminate unnecessary words. In subsection (b), the words ‘‘not received before’’ are substituted for ‘‘not received until after’’ for clarity. The words ‘‘unless otherwise authorized by law’’ are omitted as surplus. The words ‘‘Comptroller General’’ are substituted for ‘‘General Accounting Office’’ for consistency. In subsection (c), the text of 31:701(d)(last sentence) is omitted as executed. In subsection (d), before clause (1), the word ‘‘head- ing’’ is substituted for ‘‘heads’’ for clarity and consist- ency. Editorial Notes AMENDMENTS 1990—Pub. L. 101–510 amended text generally, revising and restating former subsecs. (a) to (d) as subsecs. (a) and (b). Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101–510 applicable to any ap- propriation account the obligated balance of which, on Nov. 5, 1990, has not been transferred under subsec. (a)(1) of this section, as in effect Nov. 4, 1990, with tran- sitional provisions, see section 1405(b) of Pub. L. 101–510, set out as a note under section 1551 of this title. AUDIT OF OBLIGATED BALANCES OF DEPARTMENT OF DEFENSE Pub. L. 101–510, div. A, title XIV, § 1406, Nov. 5, 1990, 104 Stat. 1680, required the Secretary of Defense to pro- vide for an audit of each account of the Department of Defense established under subsec. (a)(1) of this section, as in effect on the day before Nov. 5, 1990, and to pro- vide Congress with a final report on the audit by Dec. 31, 1991. § 1553. Availability of appropriation accounts to pay obligations (a) After the end of the period of availability for obligation of a fixed appropriation account and before the closing of that account under sec- tion 1552(a) of this title, the account shall retain its fiscal-year identity and remain available for recording, adjusting, and liquidating obligations properly chargeable to that account. (b)(1) Subject to the provisions of paragraph (2), after the closing of an account under section 1552(a) or 1555 of this title, obligations and ad- justments to obligations that would have been properly chargeable to that account, both as to purpose and in amount, before closing and that are not otherwise chargeable to any current ap- propriation account of the agency may be charged to any current appropriation account of the agency available for the same purpose. (2) The total amount of charges to an account under paragraph (1) may not exceed an amount equal to 1 percent of the total appropriations for that account. (c)(1) In the case of a fixed appropriation ac- count with respect to which the period of avail- Page 203 TITLE 31—MONEY AND FINANCE § 1554 ability for obligation has ended, if an obligation of funds from that account to provide funds for a program, project, or activity to cover amounts required for contract changes would cause the total amount of obligations from that appro- priation during a fiscal year for contract changes for that program, project, or activity to exceed $4,000,000, the obligation may only be made if the obligation is approved by the head of the agency (or an officer of the agency within the Office of the head of the agency to whom the head of the agency has delegated the authority to approve such an obligation). (2) In the case of a fixed appropriation account with respect to which the period of availability for obligation has ended, if an obligation of funds from that account to provide funds for a program, project, or activity to cover amounts required for contract changes would cause the total amount obligated from that appropriation during a fiscal year for that program, project, or activity to exceed $25,000,000, the obligation may not be made until— (A) the head of the agency submits to the ap- propriate authorizing committees of Congress and the Committees on Appropriations of the Senate and the House of Representatives a no- tice in writing of the intent to obligate such funds, together with a description of the legal basis for the proposed obligation and the pol- icy reasons for the proposed obligation; and (B) a period of 30 days has elapsed after the notice is submitted. (3) In this subsection, the term ‘‘contract change’’ means a change to a contract under which the contractor is required to perform ad- ditional work. Such term does not include ad- justments to pay claims or increases under an escalation clause. (d)(1) Obligations under this section may be paid without prior action of the Comptroller General. (2) This subchapter does not— (A) relieve the Comptroller General of the duty to make decisions requested under law; or (B) affect the authority of the Comptroller General to settle claims and accounts. (Pub. L. 97–258, Sept. 13, 1982, 96 Stat. 936; Pub. L. 101–510, div. A, title XIV, § 1405(a)(1), Nov. 5, 1990, 104 Stat. 1676.) HISTORICAL AND REVISION NOTES Revised Section Source (U.S. Code) Source (Statutes at Large) 1553(a) ..... 31:702(1st sentence). July 25, 1956, ch. 727, § 2, 70 Stat. 648. 1553(b) ..... 31:702(last sen- tence). In subsection (a), the word ‘‘separately’’ is sub- stituted for ‘‘as one fund’’ for clarity. The words ‘‘re- mains available until expended’’ are substituted for ‘‘shall be available without fiscal year limitation’’ for consistency in the revised title. In subsection (b), the words ‘‘Comptroller General’’ are substituted for ‘‘Comptroller General of the United States’’ and ‘‘General Accounting Office’’ for consist- ency. The words ‘‘affect the authority’’ are substituted for ‘‘abridge the existing authority’’ to eliminate un- necessary words. The words ‘‘settle claims and ac- counts’’ are substituted for ‘‘settle and adjust claims, demands, and accounts’’ for consistency with chapter 35 of the revised title. Editorial Notes AMENDMENTS 1990—Pub. L. 101–510 amended text generally. Prior to amendment, text read as follows: ‘‘(a) Each appropriation account established under section 1552 of this title is accounted for separately and remains available until expended to pay obligations chargeable against any appropriation from which the account is derived. ‘‘(b) Under regulations prescribed by the Comptroller General, obligations under subsection (a) of this sec- tion may be paid without prior action of the Comp- troller General. However, this subchapter does not— ‘‘(1) relieve the Comptroller General of the duty to make decisions requested under law; or ‘‘(2) affect the authority of the Comptroller General to settle claims and accounts.’’ Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101–510 applicable to any ap- propriation account the obligated balance of which, on Nov. 5, 1990, has not been transferred under section 1552(a)(1) of this title, as in effect Nov. 4, 1990, with transitional provisions, see section 1405(b) of Pub. L. 101–510, set out as a note under section 1551 of this title. § 1554. Audit, control, and reporting (a) Any audit requirement, limitation on obli- gations, or reporting requirement that is appli- cable to an appropriation account shall remain applicable to that account after the end of the period of availability for obligation of that ac- count. (b)(1) After the close of each fiscal year, the head of each agency shall submit to the Presi- dent and the Secretary of the Treasury a report regarding the unliquidated obligations, unobli- gated balances, canceled balances, and adjust- ments made to appropriation accounts of that agency during the completed fiscal year. The re- port shall be submitted no later than 15 days after the date on which the President’s budget for the next fiscal year is submitted to Congress under section 1105 of this title. (2) Each report required by this subsection shall— (A) provide a description, with reference to the fiscal year of appropriations, of the amount in each account, its source, and an itemization of the appropriations accounts; (B) describe all current and expired appro- priations accounts; (C) describe any payments made under sec- tion 1553 of this title; (D) describe any adjustment of obligations during that fiscal year pursuant to section 1553 of this title; (E) contain a certification by the head of the agency that the obligated balances in each ap- propriation account of the agency reflect prop- er existing obligations and that expenditures from the account since the preceding review were supported by a proper obligation of funds and otherwise were proper; (F) describe all balances canceled under sec- tions 1552 and 1555 of this title. (3) The head of each Federal agency shall pro- vide a copy of each such report to the Speaker