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Presentation to the SGL Board

February 24, 1999

Proposal to Establish a Standard General Ledger Account

For 

Allocation Transfers from Prior Year Balances

This proposal illustrates an allocation transfer of prior year balances and is applicable to general 

funds. It was recommended that a separate account be established for allocation transfer of prior 

year balances by a FACTS II subcommittee whose purpose is to ensure that the SGL and FACTS 

II provide consistent guidance. Currently, only allocation transfers from current year balances 

are captured in an SGL account (4175-Allocation Transfers from Current-Year Balances). The 

following outline summarizes some important aspects of allocation transfers for both current year 

and prior year. 

1. Purpose:

Transfers to Carry Out the Purposes of the Parent Treasury Appropriation Fund 

Symbol (TAFS). 

2. Establishment:

The authority to obligate and spend funds made available to one TAFS may be 

delegated to another TAFS in law. The authority is made available to the parent 

TAFS while the authority to obligate and spend is delegated to the transfer TAFS.

3. TAFS Accounts:

The allocation account carries the same symbol and title as the parent account 

with the 2-digit prefix of the receiving agency. 

Parent TAFS: 12X0200

Transfer TAFS: 46-12X0200

4. Availability:

Available for obligation only for the same period as the parent TAFS

5. Apportionment:

Parent will submit a consolidated S.F. 132 covering both the parent and all 

allocations.
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6. Reports on Budget Execution: 

The parent will submit a consolidated S.F. 133 covering both the parent and the 

transfer TAFS.

In the following scenario transactions are shown for both the parent TAFS and the transfer 

(receiving TAFS). The parent receives the authority in year 1 and transfers the allocation in year 

2 via 1151 Non- expenditure Transfer Authorization. The transfer TAFS obligates and expends 

the authority in year 2. The parent TAFS expires at the end of year 2 and is canceled five years 

later.
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February 24, 1999

Events Parent TAFS Transfer TAFS 

1. Postclosing Trial Balance 

Year 1

Proprietary

Debit Credit

1010 1,000

3100 1,000

Budgetary

4201 1,000

4450 1,000

Proprietary

Debit Credit

1010 0 

3100 0

Budgetary

4201 0

4450 0

2. At the beginning of year 2 , 

the Parent TAFS submits an 

SF-132 requesting OMB to 

apportion $1,000. OMB 

approves the request SF 132 

apportioning the full amount 

requested.1

Proprietary

No entry

Budgetary

4450 Unapportioned Authority 1,000

4510 Apportionments 1,000

Proprietary

No entry

Budgetary

No entry

3. In year 2, the actual transfer 

of authority based on an 

approved allocation transfer 

Proprietary

3100 Unexpended Appropriations 100

1010 Fund Balance with 

Proprietary

1010 Fund Balance with Treasury 100

3100 Unexpended Appropriations 100

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Per A-34, section 11.2: The agency responsible for administering the parent appropriation will submit a consolidated SF 132 

covering both the parent account and all allocations therefrom. (Usually, the receiving agencies will not prepare an SF 132 for transfer 

appropriation accounts unless requested by OMB).
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Inter-agency agreement (IAG) 

is recorded for $100. The SF 

1151 is prepared and processed.

Treasury 100

Budgetary

4510 Apportionments 100

4176 Allocation Transfer - Prior

Year Balances 100

Budgetary

4176 Allocation Transfer - Prior Year 

Balances 100

4510 Apportionments 100

4. In year 2, the Transfer TAFS 

allots the funding authority 

from the IAG in the amount of 

$100.

Proprietary

No Entry

Budgetary

No Entry

Proprietary

No Entry

Budgetary

4510 Apportionments 100

4610 Allotments-Realized 

Resources 100

5. In year 2, the Transfer TAFS 

Agency enters into a $50 

commitment.

Proprietary

No Entry

Budgetary

No Entry

Proprietary

No Entry

Budgetary

4610 Allotments-Realized Resources 50

4700 Commitments 50

6. In year 2, the Transfer TAFS 

incurs a $50 obligation.

Proprietary

No Entry

Budgetary

No Entry

Proprietary

No Entry

Budgetary

4700 Commitments 50

4801 Unexpended Obligations
5

- Unpaid 50

7. In year 2, the Transfer TAFS 

expends the $50 obligation.

Proprietary

No Entry

Budgetary

No Entry

Proprietary

6100 Operating Expenses/Program

Costs 50

1010 Fund Balance with 

Treasury 50

3100 Unexpended Appropriations 50

5700 Expended Appropriations 

Used 50

Budgetary

4801 Unexpended Obligations 

- Unpaid 50

4902 Expended Authority

- Paid 50

8. The preclosing adjusted trial 

balance is prepared for year 2.

Proprietary

Debit Credit

1010 900

3100 900

Budgetary

4176 100

4201 1,000

4450 0

4510 900

Proprietary

Debit Credit

1010 50

3100 50

5700 50

6100 50 

 

Budgetary

4176 100

4510 0

4610 50
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4700 0

4801 0

4902 50

9. Closing entries for year 2 are 

recorded.

Budgetary

9a. To consolidate resources

9b. To close expended authority

9c. To record expired authority

Proprietary

9d. To close expenses to 

cumulative results of operations

9e. To close expended 

appropriations used to 

cumulative results of 

operations.

4176 Allocation Transfer - Prior

 Year Balances 100

4201 Total Actual ResourcesCollected 100

No Entry

4510 Apportionments 900

4650 Allotments-Expired 

Authority 900

No Entry

4201 Total Actual ResourcesCollected 100

4176 Allocation Transfer - Prior

 Year Balances 100

4902 Expended Authority -Paid 50

4201 Total Actual ResourcesCollected 50

4610 Allotments-Realized 

Resources 50

4650 Allotments-Expired 

Authority 50

3310 Cumulative Results of 

Operations 50

6100 Operating Expenses/Program 

Costs 50

5700 Expended Appropriations 

Used 50

3310 Cumulative Results of

Operations 50
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10. Postclosing trial balance is 

prepare.

Proprietary

Debit Credit

1010 900

3100 900

Budgetary

4176 0

4201 900

4450 0

4510 0

4650 900

Proprietary

Debit Credit

1010 50

3100 50

3310 0

Budgetary

4176 0

4201 50

4510 0

4610 0

4650 50

4700 0

4801 0

4902 0

11. When either the work has 

been completed or the TAFS is 

about to be canceled, the 

unused/unobligated authority 

needs to be transferred back to 

the Parent TAFS. An 1151 is 

prepared and processed.

Proprietary

1010 Fund Balance with Treasury 50

3100 Unexpended Appropriations 50

Budgetary

4176 Allocation Transfer - Prior Year 

Balances 50

4650 Allotments - Expired Authority 50

Proprietary

3100 Unexpended Appropriations 50

1010 Fund Balance with Treasury 50

Budgetary

4650 Allotments - Expired Authority 50

4176 Allocation Transfer - Prior 

Year Balances 50

12. Unadjusted trial balance 

prior to cancellation

Proprietary

Debit Credit

1010 950

3100 950

Proprietary

Debit Credit

1010 0

3100 0
8

Budgetary

4176 50

4201 900

4450 0

4510 0

4650 950

Budgetary

4176 50

4201 50

4510 0

4610 0

4650 0

4700 0

4801 0

4902 0

13. An adjusting entry is made 

to cancel the expired authority.

Proprietary

3100 Unexpended Appropriations 950

1010 Fund Balance with 

Treasury 950

Budgetary

4650 Allotments-Expired Authority 950

4350 Canceled Authority 950

Proprietary

No Entry

Budgetary

No Entry

14. Preclosing adjusted trial 

balance is prepared.

Proprietary

Debit Credit

1010 0

3100 0

Budgetary

4176 50

4201 900

4350 950

Proprietary

Debit Credit

1010 0

3100 0

Budgetary

4176 50

4201 50

4350 0
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15. A closing entry to 

consolidate budgetary resources 

is recorded.

Budgetary

4201 Total Actual ResourcesCollected 50

4176 Allocation Transfer -

Prior Year Balances 50

Budgetary

4176 Allocation Transfer - Prior

Year Balances 50

4201 Total Actual ResourcesCollected 50

16. Postclosing trial balance is 

prepared.

Proprietary

Debit Credit

1010 0

3100 0

Budgetary

4176 0

4201 950

4350 950

Proprietary

Debit Credit

1010 0

3100 0

Budgetary

4176 0

4201 0

4350 0
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17. Statements - Year 2

17A. Consolidated SF 133 (Refer 

to the trial balance, transaction #8, 

page 5.)

Per A-34, section 11.2: Receiving 

agencies will submit to the parent 

the information required for reports 

on budget execution not later than 

15 calendar days following the 

close of the reporting period. The 

information shall be submitted in 

the form and manner required by 

the parent agency. Unless 

specifically requested by OMB, no 

separate submission to OMB is 

needed for allocation accounts. 

The agency administering the 

parent account will submit to OMB 

a consolidated SF 133 covering 

2. Unobligated balance, 

2A. Brought forward, Oct 1

4201B $1000

2B. Net transfers, prior year

balance, actual (+ or -)

4176E $(100)

4176E 100 $ 0

7. Total resources $1000

8. Obligations incurred

8A. Direct

4902E $ 50
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both the parent account and the 

related transfer appropriation 

accounts. 

9. Unobligated balance

9A1. Apportioned, available

4510E $ 900

4610E 50

11. Total status $1000

17B. USSGL 2108

The parent reports both the parent 

TAFS activity and the transfer 

TAFS activity on the USSGL 2108. 

However, for the USSGL 2108, the 

parent TAFS and the transfer TAFS 

maintain a separate identity.

Parent TAFS

Col 2: Provided by Treasury $900

Col 5: 1010E $900

Col 11:4510E $900

Transfer TAFS

Col 2: Provided by Treasury $ 50

Col 5: 1010E $ 50

Col 11:4610E $ 50
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Account Title: Allocation Transfer - Prior-Year Balances

Account Number: 4176

Normal Balance: Either

Type of Account: Posting

Definition: The amount of prior year balances transferred between a parent appropriation and a 

transfer appropriation during the fiscal year. Fund balance transfers, which may or may not occur 

at the time of the transfer of balances, will be accomplished via SF-1151 Nonexpenditure transfer 

Authorization.