**Appropriation Reduced by Offsetting Collections or Offsetting Receipts**

**Effective Fiscal Year 2016**

**APPROPRIATION REDUCED BY OFFSETTING COLLECTIONS OR OFFSETTING RECEIPTS**

**EFFECTIVE FISCAL YEAR 2016**

**PREPARED BY:**

**UNITED STATES STANDARD GENERAL LEDGER ADVISORY DIVISION**

**GOVERNMENT WIDE ACCOUNTING**

**BUREAU OF THE FISCAL SERVICE**

**U.S. DEPARTMENT OF THE TREASURY**

**Note:**This scenario follows USSGL TFM Bulletin 2015-XX (August 2015), Part 2 fiscal year 2016, and Office of Management and Budget (OMB) Circular No. A-11 (2015). 

**Overview**

There are a few instances in the Federal Government where a discretionary appropriation is initially derived entirely from the general fund of the US Treasury and then projected to be adjusted either partially or entirely by the end of the fiscal year, based on an amount equal to actual offsetting collections or offsetting receipts, as outlined in the enacted annual appropriation language.  Contrary to the initial source of the discretionary budget authority being an appropriation derived entirely from the general fund of the US Treasury, the final source (as of the end of the fiscal year) is (a) a discretionary appropriation derived from the general fund of the US Treasury and (b) offsetting collections or offsetting receipts. With the legislative flexibility to offset the discretionary budget authority with offsetting collections or offsetting receipts, the portion derived from the general fund of the US Treasury is reduced.  OMB Circular No. A-11, exhibit 130-K, illustrates how to report this type of activity on the SF 133 and SF 132 apportionment schedule.  If you currently do not have this language, consult with your OMB representative to determine if this scenario is applicable to you.  The attached appendix illustrates excerpts of annual appropriation act language where the discretionary appropriation may be reduced by actual offsetting collections or offsetting receipts.  

**Proposal**

This scenario proposes the creation of two USSGL accounts which map to new lines 1136 and 1153 of the SF 133, as illustrated in OMB Circular No. A-11 (2015), Appendix F.

**Definition:**An amount equal to the actual offsetting collections or offsetting receipts used to reduce the appropriation derived from the General Fund of the U.S. Treasury while waiting for the appropriation warrant to be adjusted.  The balance in this account will be adjusted to zero at yearend.  

**Justification:**  This USSGL account is needed to adjust the Anticipated Reductions to Appropriations by Offsetting Collections or Receipts USSGL account for actual collections in Treasury Accounts that are front funded with an appropriation derived from the General Fund of the U.S. Treasury that may be returned either partially or entirely by the end of the fiscal year.

**Attribute Table:**

**Crosswalks Impacted:**

**Listing of USSGL Accounts Used in This Scenario**

*For Account Definitions please refer to the USSGL TFM Section II.

**Scenario Assumptions**

1.   Appropriation and offsetting collections are credited into a no year expenditure account.

2.   All offsetting collections are non-federal.

3.   All transactions for goods and services are non-federal.

4.   Expenses are obligated and outlayed before collections come in.

5.   GTAS Fund Type Code “EG”

6.   TAS Status Code “U”

7.   BEA Category Indicator “D”

8.   Apportionment Category Code “A”

9.   Year of Budget Authority Indicator “NEW”

10.  Prior Year Adjustment Code “X”

11.  Reimbursable Flag Indicator “D”

12.  Authority Type Code “P” (USSGL account 411900) for the appropriation 

**USSGL Scenario**

A beginning Trial Balance is not applicable in this scenario.  

The enacted annual appropriation language provides an appropriation derived from the General Fund of the U.S. Treasury for the amount of $173,635,000, which shall be reduced by not more than $8,000,000 as offsetting collections, so as to result in a final fiscal year appropriation estimated at $165,635,000.

For purposes of presentation, assume the following:

Annual appropriation:173,635,000

Anticipated offsetting collections:    8,000,000

Actual offsetting collections:      5,000,000

Appropriation at the end of the fiscal year:168,635,000

**Illustrative Transactions for 1st, 2nd, and 3rd Quarters**

**3rd Quarter**

**Illustrative Transactions for 4th Quarter**

**Year End**

#### Closing Entries

####      Appendix

**Excerpts of Annual Appropriation Act Language**

*“...Provided further*, That the total amount available for obligation shall be reduced by the amount by which collections are less than $xx,xxx,xxx...”

*“...Provided*, That the sum herein appropriated from the general fund shall be reduced as offsetting collections of fees and surcharges assessed and collected by the [agency] under any law are received during fiscal year 20xx, so as to result in a fiscal year 20xx appropriation from the general fund estimated at $0...”

“...*Provided further*, That the sum herein appropriated from the general fund shall be reduced as revenues are received during fiscal year 20xx so as to result in a final fiscal year 2014 appropriation from the general fund estimated at not more than $0...”

“...*Provided further*, That the sum herein appropriated from the general fund shall be reduced as such offsetting collections are received during fiscal year 20xx, so as to result in a final fiscal year 20xx appropriation from the general fund estimated at $xx,xxx,xxx....”

“...*Provided further*, That the sum herein appropriated from the general fund shall be reduced as such offsetting collections are received during fiscal year 20xx, so as to result in a final fiscal year 20xx appropriation from the general fund estimated at not more than $xxx,xxx,xxx:...”

“...*Provided further*, That the sum herein appropriated from the general fund shall be reduced on a dollar-for-dollar basis as such offsetting collections are received during fiscal year 20xx, to result in a final appropriation from the general fund estimated at no more than $xx,xxx,xxx....”

“...*Provided*, That the sums herein appropriated from the General Fund shall be reduced on a dollar-for-dollar basis by such offsetting collections so as to result in a final fiscal year appropriation from the General Fund estimated at $0:...”

“...*Provided further*, That the sum appropriated under this heading from the general fund shall be reduced on a dollar-for-dollar basis as such offsetting collections are received during fiscal year 20xx so as to result in a final fiscal year appropriation from the general fund estimated at not more than $x,xxx,xxx,xxx:...”

*“...Provided further*, That the amount made available under this heading from the general fund shall be reduced as such collections are received during fiscal year 20xx so as to result in a final fiscal year 20xx appropriation from the general fund estimated at not more than $x,xxx,xxx...”

“...*Provided further*, That the total amount appropriated under this heading from the general fund for fiscal year 20xx shall be reduced as such offsetting fees are received so as to result in a final total fiscal year 20xx appropriation from the general fund estimated at not more than $0....”

“...*Provided further*, That the sum herein appropriated shall be reduced as collections are received during the fiscal year so as to result in a final fiscal year 20xx appropriation from the general fund estimated at not more than $xxx,xxx,xxx....”

“...*Provided further*, That the sum herein appropriated shall be reduced as collections are received during the fiscal year so as to result in a final fiscal year 20xx appropriation estimated at not more than $xxx,xxx,xxx:...”

“...*Provided further*, That the sum herein appropriated shall be reduced as such collections are received during the fiscal year, so as to result in a final fiscal year 20xx appropriation estimated at not more than $xx,xxx,xxx:...”

“...*Provided further*, That the sum herein appropriated shall be reduced as such offsetting collections are received during fiscal year 20xx so as to result in a final fiscal year 20xx appropriation estimated at $0:...”

“...*Provided further*, That the sum herein appropriated from the Fund shall be reduced as such offsetting collections are received during fiscal year 20xx, so as to result in a final fiscal year 20xx appropriation from the Fund estimated at $0....”

“...*Provided further*, That the sum herein appropriated for annual expenses shall be reduced as collections are received during the fiscal year so as to result in a final fiscal year 20xx appropriation estimated at not more than $0:...”

*“...Provided further*, That the sum herein appropriated for annual expenses shall be reduced as collections are received during the fiscal year so as to result in a final fiscal year 20xx appropriation estimated at not more than $xx,xxx,xxx...”

“...*Provided further*, That the sum herein appropriated shall be reduced by the amount of revenues received during fiscal year 20xx so as to result in a final fiscal year 20xx appropriation estimated at not more than $xxx,xxx,xxx:...”

“...That $xx,xxx,xxx of the fees collected pursuant to [Public Law] shall be credited as offsetting collections to this account to cover administrative expenses and shall remain available until expended, so as to result in a final fiscal year 20xx appropriation from the general fund estimated at not more than $xx,xxx,xxx...”

“...to be reduced by amounts collected by the Bureau and credited to this appropriation from mining claim maintenance fees and location fees that are hereby authorized for fiscal year 20xx so as to result in a final appropriation estimated at not more than $xxx,xxx,xxx...”

� USSGL scenarios do not illustrate every possible variation and elements may vary.   For example, the scenario uses Apportionment Category  Code “A”, but if “B” applies to the expenditure TAS it should be used instead.  In addition, the scenario assumes USSGL account 520000 to record the revenue, but if another USSGL account like 590000 is more appropriate it should be used instead.  

� Based on OMB Circular A-11 (2015) Schedule P excludes line 1136.

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