**March 2000**

**SGL INTERIM GUIDANCE for**

**Authority Temporarily Precluded from Obligation**

**Effective FY 2000**

# Prelude

This document illustrates the FY 2000 INTERIM GUIDANCE for authority temporarily precluded from obligation.  The guidance is applicable to Treasury Appropriation Fund Symbols (TAFS) that have authority that becomes precluded either during the year (i.e. by legislation) or at the end of the year (i.e. certain trust funds whose receipts are immediately appropriated, but precluded from obligation by a provision of law, such as a benefit formula or limitation).  Furthermore, it is specific to TAFS that include both of the following in the President's Budget:  a) Schedule on Unavailable Collections (Schedule N) located directly above the Program and Financing Schedule (P&F), and b) one or more of the following lines reported on the P&F:  6045, 6845, 6028, 6826, 6926.  The transactions are effective immediately.

PLEASE NOTE that this is interim guidance, and not all TAFS using SGL account 4395 - Authority Unavailable Pursuant to Public Law-Temporary are subject to this accounting treatment.  For example, TAFS that do NOT have a Schedule N in the Budget will not follow this guidance.  Additionally, TAFS that do not report on the P&F lines mentioned above may not be subject to this guidance.

RECLASSIFICATION ENTRY for FY 2001

New accounts that were proposed to the SGL Board on February 17, 2000 for this activity will be effective in FY 2001, and are presented in a separate scenario.  When the new accounts become effective, Treasury Appropriation Fund Symbols subject to this guidance should make the following one-time only RECLASSIFICATION ENTRY:

4395Authority Unavailable Pursuant to Public Law – Temporaryxxx

(new) 4397Receipts and Appropriations Temporarily Precluded from Obligationxxx

- or -(new) 4398Offsetting Collections Temporarily Precluded from Obligationxxx

This reclassification entry is to occur **post-closing**, and **prior** to the FY 2001 Quarter 1 FACTS II submission.  In other words, for Quarter 4 FY 2000, submit the ending balance of SGL account 4395 (as well as the beginning balance).  Then, for Quarter 1 FY 2001, AFTER posting the reclassification entry, submit the beginning balance of the new SGL accounts (4397, 4398).  (The beginning balance of 4395 relative to this activity will be zero.)

**Year 1**

**1.To record appropriated receipts into a trust fund.**

Proprietary

1010Fund Balance with Treasury500

5800GTax Revenue Collected500

Budgetary

4114Appropriated Trust or Special Fund Receipts500

4620Unobligated Funds Not Subject to Apportionment500

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**2.To record offsetting collections (Federal) received by trust fund for work performed under the Economy Act.**

Proprietary

1010Fund Balance with Treasury700

5200Revenue from Services Provided700

Budgetary

4252Reimbursements and Other Income Earned - Collected700

4450Unapportioned Authority700

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3. **To record obligation, expenditure and disbursement of funds against portion of receipts collected in transaction 1.**

Proprietary

6100NOperating Expenses/Program Costs225

1010Fund Balance with Treasury225

Budgetary

4620Unobligated Funds Not Subject to Apportionment225

4902Expended Authority - Paid225

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4. **To record apportionment, allotment, and subsequent obligation, expenditure and disbursement of funds against the offsetting collections in transaction 2.**

Proprietary

6100NOperating Expenses/Program Costs75

1010Fund Balance with Treasury75

Budgetary

4450Unapportioned Authority75

4510Apportionments75

4510Apportionments75

4610Allotments - Realized Resources75

4610Allotments - Realized Resources75

4801Unexpended Obligations - Unpaid75

4801Unexpended Obligations - Unpaid75

4902****Expended Authority - Paid75

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**ADJUSTING ENTRIES:**

**A1)To record appropriated receipts temporarily precluded from obligation.**

4620Unobligated Funds Not Subject to Apportionment275

*4395****Authority Unavailable Pursuant to Public Law – Temporary*****275*

**A2)To record offsetting collections temporarily precluded from obligation.**

4450Unapportioned Authority625

*4395****Authority Unavailable Pursuant to Public Law – Temporary*****625*

**Note:  For FY 2000, receipts and offsetting collections temporarily precluded from obligation must be tracked separately for proper Program &Financing reporting.*

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**Year 1**

**Budgetary**

**Pre-Closing Adjusted Trial Balance (FACTS II ATB)**

4114

500

4252

700

*4395*

*900*

**

4902

300

1,200

1,200

**Budgetary Closing Entries:**

C1.To consolidate resources

#### 4201Total Actual Resources - Collected  1,200

4114Approp Trust or Sp Fd Receipts500

4252Reimb and Other Inc Earned - Coll700

C2.To close expended authority paid

4902Expended Authority - Paid300

4201Total Actual Resources - Collected300

**Budgetary Post-Closing Trial Balance**

4201

900

*4395*

900

900

900

**Year 1**

**Proprietary**

**Pre-Closing Adjusted Trial Balance (FACTS I ATB)**

1010

900

5800

500

5200

700

6100

300

1,200

1,200

**Proprietary Closing Entries:**

C1.To close revenues and expenses into cumulative results of operations

5800Tax Revenue Collected500

5200Revenue fr Services Prov700

**3310Cum. Results of Operations900**

6100Operating Exp/Prog Costs300

**Proprietary Post-Closing Trial Balance**

1010

900

3310

900

900

900

**Year 1**

**SF 133 - Quarter 4**

1AAppropriations  (4114E) 500

2AUnobligated balance brought forward     0

3A1Spending authority from offsetting collections (4252E)  700

5Temporarily not available pursuant to P.L.  (**4395E-B**)(900)

**7Total budgetary resources 300**

8A1Obligations incurred, direct  (4902E)   75

8A3Obligations incurred, direct, not subj to apport  (4902E) 225

9Unobligated Balances Available     0

**11Total Status of budgetary resources 300**

12.Obligated Balance, net as of October 1

13.Obligated Balance Transferred, net

14.Obligated balance, net, end of period

15A.Disbursements   (4902E)300

15B.Collections  (4252E)700

**FMS 2108**

Column 5Post-closing unexpended balance (1010E) 900

Column 11Unobligated balance  (**4395E**) 900

**Schedule P - Program & Financing**

**Obligations by Program Activity**

1000Total New Obligations (4902E) 300

**Budgetary Resources Available for Obligation**

2200New budget authority (gross) (sum 4000 to 6990) 300

2395Total new obligations (-) (from line 1000)(300)

2499Total unobligated balance, end of year     **0**

**New Budgetary Authority (Gross) Detail**

6027Appropriation (trust fund, indefinite) (4114E) 500

6045Portion precluded from obligation (-) (**4395E-B***)(275)

6800Discr spend authority from offsetting collections (4252E) 700

6845Portion unavailable for obligation (-) (**4395E-B***)(625)

7000Total new budget authority (gross) (4114E+4252E+**4395E-B**) **300**

**Note:  For FY 2000, receipts (budget authority) and offsetting collections temporarily precluded from obligation must be tracked separately – refer to Adjusting Entries (A1 and A2) on page 3.*

**Year 1Form and Content Reports**

**Balance Sheet**

ASSETS

1A1. Entity-Intragovernmental  (1010E)900

LIABILITIES & NET POSITION

8.  Cumulative Results of Operations  (3310E)900

**Statement of Net Cost**

1B1. Program Costs-Public-Production (6100E)300

1D.  Less Earned Revenue (5200E)                                  (700)

5. Net Cost of Operations (calc)              (400)

**Statement of Changes in Net Position**

1. Net Cost of Operations              (400)

2B. Financing  Sources-Taxes (5800E)500

9. Net Position-End of Period (calc)900

**Statement of Budgetary Resources**

1A. Budg Auth - Approps (4114E)500

3A1. Sp Auth from Off Coll (4252E)700

4B.  Adj-Temp not Avail (**4395E-B**)                  (900)

5.  Total Budgetary Resources300

6.  Obligations Incurred (4902E)300

9.  Total Status of Resources300

10. Obligations Incurred (4902E)300

11A1.  Sp Auth from Off Coll (4252E)700

15. Total Outlays (calc)            (400)****

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**Statement of Financing**

1A. Obligations Incurred (4902E)300

1B1a.Earned Reimb Collected (4252E)              (700)

1J. Total (calc)              (400)

5.Net Cost of Operations (calc)                              (400)****

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**Year 2**

**1.To record appropriated receipts into a trust fund.**

Proprietary

1010Fund Balance with Treasury600

5800GTax Revenue Collected600

Budgetary

4114Appropriated Trust or Special Fund Receipts600

4620Unobligated Funds Not Subject to Apportionment600

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**2a.To record obligation, expenditure and disbursement of funds.  *Current year receipts do not cover expenses.***

Proprietary

6100NOperating Expenses/Program Costs750

1010Fund Balance with Treasury750

Budgetary

4620Unobligated Funds Not Subject to Apportionment750

4902Expended Authority - Paid750

- and -

**2b.To record authority made available from previously unavailable balances.**

*4395****Authority Unavailable Pursuant to Public Law – Temporary150*

4620Unobligated Funds Not Subject to Apportionment150

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**Year 2**

**BUDGETARY**

**Pre-Closing Adjusted Trial Balance (FACTS II ATB)**

4114

600

4201

900

4395

750

4902

750

1,500

1,500

**Budgetary Closing Entries:**

C1.To consolidate resources and close expended authority paid

4902Expended Authority - Paid750

4114Approp Trust or Sp Fd Receipts600

## 4201Total Actual Resources - Coll150

C2.To reduce balances prev precluded from obligation by amt needed to cover current year obligations

**Budgetary Post-Closing Trial Balance**

4201

750

4395

750

750

750

**Year 2**

**PROPRIETARY**

**Pre-Closing Adjusted Trial Balance (FACTS I ATB)**

1010

750

5800

600

6100

750

3310

900

1,500

1,500

**Proprietary Closing Entries:**

C1.To close revenues and expenses into cumulative results of operations

5800Tax Revenue Collected600

### 3310Cumulative Results of Operations150

6100Operating Exp/Prog Costs750

**Proprietary Post-Closing Trial Balance**

1010

750

3310

750

750

750

**Year 2**

**SF 133 - Quarter 4**

1AAppropriations  (4114E)600

2AUnobligated balance brought forward (4201B+**4395B**)    0

3A1Spending authority from offsetting collections

5Temporarily not available pursuant to P.L.  (**4395E-B**)             - (150)*

**7Total budgetary resources 750**

8A3Obligations incurred, direct, not subj to apport  (4902E) 750

9Unobligated Balances Available    0

**11Total Status of budgetary resources750**

12.Obligated Balance, net as of October 1

13.Obligated Balance Transferred, net

14.Obligated balance, net, end of period

15A.Disbursements   (4902E)750

*NOTE:  Line 5 is typically a negative amount; however, for interim purposes, as illustrated above, it may be a positive amount. For **Quarter 4** of **FY 2000**, if line 5 results in a positive amount, FACTS II will require a footnote to SGL account 4395.  Details of the footnote are forthcoming.

**FMS 2108**

Column 5Post-closing unexpended balance (1010E) 750

Column 11Unobligated balance  (**4395E**) 750

**Schedule P - Program & Financing**

**Obligations by Program Activity**

1000Total New Obligations (4902E) 750

**Budgetary Resources Available for Obligation**

2200New budget authority (gross) (sum 4000 to 6990) 750

2395Total new obligations (-) (from line 1000)(750)

2499Total unobligated balance, end of year **0**

**New Budgetary Authority (Gross) Detail**

6027Appropriation (trust fund, indefinite) (4114E) 600

6028Appropriation (unavailable balances) (**4395E) Debit balances only; Portion related to receipts**     75

6045Portion precluded from obligation (-) (4395E-B) (Credit balances only)

6800Discr spend authority from offsetting collections

6826/6926 From off. coll. (unavail. bal.) (**4395E**) **Debit balances only; Portion related to offsetting collections**        75

6845Portion unavailable for obligation (-) (4395E-B) (Credit balances only)     

7000Total new budget authority (gross) (4114E+4252E+**4395E-B**) **750**

**Year 2Form and Content Reports**

**Balance Sheet**

ASSETS

1A1. Entity-Intragovernmental  (1010E)750

LIABILITIES & NET POSITION

8.  Cumulative Results of Operations  (3310E)750

**Statement of Net Cost**

1B1. Program Costs-Public-Production (6100E)750

5. Net Cost of Operations (calc)750

**Statement of Changes in Net Position**

1. Net Cost of Operations750

2B. Financing  Sources-Taxes (5800E)600

8. Net Position-Beg of Period (3310B)900

9. Net Position-End of Period (calc)750

**Statement of Budgetary Resources**

1A. Budg Auth - Approps (4114E)600

2A. Unob Bal - Brought Forward (4201B, 4395B)                0

4B.  Adj-Temp not Avail (**4395E-B**)                       -(150)

5.  Total Budgetary Resources750

6.  Obligations Incurred (4902E)750

9.  Total Status of Resources750

10. Obligations Incurred (4902E)750

15. Total Outlays (calc)750****

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**Statement of Financing**

1A. Obligations Incurred (4902E)750

1J. Total (calc)750

5.Net Cost of Operations (calc)750****

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