**Proposed FY 2020 Changes to BA and CA:**

**Proposed Changes for Borrowing Authority:**

**New:**

**Account Title:**Current-Year Definite Borrowing Authority  

**Account Number:**414120

**Normal Balance:**Debit 

**Definition:**The amount of new definite borrowing authority available to obligate.  Once obligated, the amount is available to be exercised and converted to cash based on monies borrowed from the Bureau of the Fiscal Service or Federal Financing Bank in order to liquidate unpaid obligations. In limited situations, there may be legal authority to substitute spending authority from offsetting collections for the borrowing authority.

**Justification:**Separate current-year definite contract authority from current-year indefinite contract authority.

**Delete:**

**Account Title:**Estimated Indefinite Borrowing Authority 

**Account Number:**404200 

**Normal Balance:**Debit 

**Definition:**The amount of estimated indefinite borrowing authority required to finance estimated obligations during the current year. The balance in this account will be adjusted to zero at yearend.

**Justification:**Based on USSGL account changes related to borrowing authority,****there is no need to have an estimate for Indefinite Borrowing Authority.

**Modification:**

**Account Title:**Current-Year Indefinite Borrowing Authority ~~Realized~~

**Account Number:**414100 

**Normal Balance:**Debit 

**Definition:**The ~~authorized~~ amount of new indefinite borrowing authority available to obligate.  Once obligated, the amount is available to be exercised and converted to cash based on ~~to expend~~ monies borrowed from the Bureau of the Fiscal Service or ~~other investors~~ Federal Financing Bank in order to liquidate unpaid obligations. ~~Report authority borrowed for such obligations even though the Federal agency ultimately will use subsequent appropriations or offsetting collections to liquidate the obligations.~~ In limited situations, there may be legal authority to substitute spending authority from offsetting collections for the borrowing authority.

**Justification:**Separate current-year indefinite borrowing authority from current-year definite borrowing authority.

**Account Title:**Current-Year Decreases to Indefinite Borrowing Authority ~~Realized~~

**Account Number:**414300 

**Normal Balance:**Credit 

**Definition:**The amount ~~necessary~~ needed to reconcile current-year indefinite borrowing authority ~~realized~~ to the amount of obligations incurred for a Treasury Appropriation Fund Symbol as of yearend.~~s that are funded with indefinite borrowing authority.~~

**Justification:**Make the language clearer.

**Proposed Changes to Borrowing Authority TCs:**

**Delete:**

**A162**To record an estimate of indefinite borrowing authority to cover obligations for the current year. 

**Reference:**USSGL implementation guidance; USSGL Budgetary Accounting Guide 

**Budgetary Entry**

Debit 404200 Estimated Indefinite Borrowing Authority 

   Credit 445000 Unapportioned Authority 

   Credit 462000 Unobligated Funds Exempt From Apportionment 

**Proprietary Entry**

None

**Justification:**Account 404200 has been deleted so this TC is no longer needed.

**A154**To record the realization of borrowing authority that was previously estimated. 

**Comment:**When borrowing authority is estimated, the actual borrowing authority is realized based on the amount obligated. Also post USSGL TC-B306. 

**Reference:**USSGL implementation guidance; Borrowing Authority Case Studies 

**Budgetary Entry**

Debit 414100 Current-Year Borrowing Authority Realized

   Credit 404200 Estimated Indefinite Borrowing Authority

**Proprietary Entry**

None

**Justification:**Account 404200 has been deleted so this TC is no longer needed.

**Modifications:**

**A152**To record indefinite or definite borrowing authority. 

**Comment:**To cover reductions of indefinite borrowing authority, see USSGL TC-A148.

**Reference:**USSGL implementation guidance; USSGL Budgetary Accounting Guide 

**Budgetary Entry**

Debit 414100 Current-Year Indefinite Borrowing Authority ~~Realized~~

Debit 414120 Current-Year Definite Borrowing Authority

   Credit 445000 Unapportioned Authority 

   Credit 462000 Unobligated Funds Exempt From Apportionment 

**Proprietary Entry**

None

**A158**To record actual reductions to indefinite borrowing authority previously anticipated. 

**Comment:**See USSGL TC-A164 for anticipated reductions to borrowing authority. 

**Reference:**USSGL implementation guidance; USSGL Budgetary Accounting Guide 

**Budgetary Entry**

Debit 404400 Anticipated Reductions to Borrowing Authority 

   Credit 414300 Current-Year Decreases to Indefinite Borrowing Authority ~~Realized~~

**Proprietary Entry**

None

**Proposed Changes for Contract Authority:**

**New:**

**Account Title:**Current-Year Definite Contract Authority  

**Account Number:**413120

**Normal Balance:**Debit 

**Definition:**The amount of new definite contract authority to incur obligations in advance of a separate appropriation of liquidating cash or collections.  

**Justification:**Separate current-year definite contract authority from current-year indefinite contract authority.

**Delete:**

**Account Title:**Estimated Indefinite Contract Authority 

**Account Number:**403200 

**Normal Balance:**Debit 

**Definition:**The estimated amount of indefinite contract authority during the fiscal year that permits a Federal agency to incur obligations in advance of liquidating authority.

**Justification:**Based on USSGL account changes related to contract authority,****there is no need to have an estimate for Indefinite Contract Authority.

**Modifications:**

**Account Title:**Current-Year Indefinite Contract Authority ~~Realized~~

**Account Number:**413100 

**Normal Balance:**Debit 

**Definition:**The amount of new indefinite contract authority to incur obligations in advance of a separate appropriation of liquidating cash or collections.

**Justification:**Separate current-year indefinite contract authority from current-year definite contract authority.

**Proposed Changes to Contract Authority TCs:**

**Delete:**

**A168**To record the realization of contract authority that was previously anticipated. 

**Comment:**When contract authority is estimated, the actual contract authority is realized based on the amount obligated. Also post USSGL TC-B306. 

**Reference:**USSGL implementation guidance; Contract Authority Case Studies 

**Budgetary Entry**

Debit 413100 Current-Year Contract Authority Realized 

   Credit 403200 Estimated Indefinite Contract Authority 

**Proprietary Entry**

None

**A176**To record the anticipated indefinite contract authority to cover anticipated obligations for the current year. 

**Reference:**USSGL implementation guidance; Contract Authority Case Studies 

**Budgetary Entry**

Debit 403200 Estimated Indefinite Contract Authority 

   Credit 445000 Unapportioned Authority 

   Credit 462000 Unobligated Funds Exempt From Apportionment 

**Proprietary Entry**

None

**Modifications:**

**A166**To record definite and indefinite contract authority based on legislation. 

**~~Reference:~~**~~USSGL implementation guidance; Contract Authority Case Studies~~

**Budgetary Entry**

Debit 413100 Current-Year Indefinite Contract Authority ~~Realized~~

Debit 413120 Current-Year Definite Contract Authority 

   Credit 445000 Unapportioned Authority 

   Credit 462000 Unobligated Funds Exempt From Apportionment 

**Proprietary Entry**

None

**A174**To record an unanticipated actual decrease to indefinite contract authority. 

**Comment:**For the reduction of unobligated balances for indefinite contract authority, record the yearend preclosing USSGL TC-F112. 

**~~Reference:~~**~~USSGL implementation guidance; Contract Authority Case Studies~~

**Budgetary Entry**

Debit 445000 Unapportioned Authority 

Debit 462000 Unobligated Funds Exempt From Apportionment 

   Credit 413300 Decreases to Indefinite Contract Authority 

**Proprietary Entry**

None

**Proposed Modifications to Closing TCs:**

**F112**To record adjustments for anticipated resources not realized. 

**Comment:**Balance in the anticipated accounts must be zero at yearend. 

**Budgetary Entry**

Debit 405000 Anticipated Reductions to Appropriations by Offsetting Collections or Receipts 

Debit 413100 Current-Year Indefinite Contract Authority ~~Realized~~

Debit 413120 Current-Year Definite Contract Authority

Debit 414100 Current-Year Indefinite Borrowing Authority ~~Realized~~

Debit 414120 Current-Year Definite Borrowing Authority

Debit 445000 Unapportioned Authority 

Debit 451000 Apportionments 

Debit 459000 Apportionments - Anticipated Resources - Programs Subject to Apportionment 

Debit 469000 Anticipated Resources - Programs Exempt From Apportionment 

~~Credit 403200 Estimated Indefinite Contract Authority~~

~~Credit 404200 Estimated Indefinite Borrowing Authority~~

   Credit 406000 Anticipated Collections From Non-Federal Sources 

   Credit 407000 Anticipated Collections From Federal Sources 

   Credit 412000 Anticipated Indefinite Appropriations 

   Credit 421000 Anticipated Reimbursements and Other Income 

   Credit 421500 Anticipated Expenditure Transfers from Trust Funds 

   Credit 431000 Anticipated Recoveries of Prior-Year Obligations 

   Credit 445000 Unapportioned Authority 

**Proprietary Entry**

None

**F113**To record the reduction of unobligated balances for indefinite contract or indefinite borrowing authority at yearend. 

**Comment:**Unobligated balances for indefinite contract or borrowing authority must be zero at yearend. 

**Reference:**~~USSGL implementation guidance;~~~~Contract Authority Case Studies~~

**Budgetary Entry**

Debit 445000 Unapportioned Authority 

Debit 451000 Apportionments 

Debit 461000 Allotments - Realized Resources 

Debit 462000 Unobligated Funds Exempt From Apportionment 

Debit 470000 Commitments - Programs Subject to Apportionment 

Debit 472000 Commitments - Programs Exempt From Apportionment 

   Credit 404800 Anticipated Transfers to the General Fund of the U.S. Government - Prior-Year 

   Balances             

   Credit 413300 Decreases to Indefinite Contract Authority 

   Credit 414300 Current-Year Decreases to Indefinite Borrowing Authority ~~Realized~~

**Proprietary Entry**

None

**F304**To record the closing of fiscal-year contract authority. 

**Budgetary Entry**

Debit 413200 Substitution of Contract Authority 

Debit 413300 Decreases to Indefinite Contract Authority 

Debit 413400 Contract Authority Withdrawn 

Debit 413500 Contract Authority Liquidated 

Debit 413900 Contract Authority Carried Forward 

Debit 439200 Permanent Reduction - New Budget Authority 

Debit 439300 Permanent Reduction - Prior-Year Balances 

   Credit 413100 Current-Year Indefinite Contract Authority ~~Realized~~

   Credit 413120 Current-Year Definite Contract Authority    

   Credit 413900 Contract Authority Carried Forward 

**Proprietary Entry**

None

**F306**To record the closing of fiscal-year borrowing authority.

**Budgetary Entry**

Debit 414000 Substitution of Borrowing Authority 

Debit 414300 Current-Year Decreases to Indefinite Borrowing Authority ~~Realized~~

Debit 414400 Borrowing Authority Withdrawn 

Debit 414500 Borrowing Authority Converted to Cash 

Debit 414900 Borrowing Authority Carried Forward 

Debit 439200 Permanent Reduction - New Budget Authority 

Debit 439300 Permanent Reduction - Prior-Year Balances 

   Credit 414100 Current-Year Indefinite Borrowing Authority ~~Realized~~

   Credit 414120 Current-Year Definite Borrowing Authority

   Credit 414900 Borrowing Authority Carried Forward 

**Proprietary Entry**

None

1                                                                      IRC Handout 4/23/19