1. Purpose.

a. The Administrative Control of Funds is a system of authorizations, delegations, 

and limitations to assure that agency funds are used only for the purposes and amounts 

authorized through appropriations by the responsible managers who have been delegated 

specified authority. An administrative control of funds system provides a record of specific fund 

authority delegations to accountable persons for purposes of the Anti-Deficiency Act (31 U.S.C. 

§§1341(a), 1342, 1351 and 1517(a) and (b)).

b. This directive establishes a system for the administrative control of funds and 

prescribes the procedures for delegation of fund authority and fund management in the Office of 

Surface Mining Reclamation and Enforcement (OSM) and to ensure that:

(1) Programs are executed and funds expended consistent with the intent of 

Congress in granting such authorizations;

(2) Funds are expended in the correct appropriations, business lines, and 

program activities, without exceeding spending limits provided by law; 

(3) Obligations and expenditures are restricted to the total amounts warranted, 

apportioned, or reapportioned for each appropriation; 

(4) Responsibilities for the creation of any obligation or expenditure are 

clearly identifiable;

(5) Anti-Deficiency Act violations are immediately reported (31 U.S.C. 

§§1351 and 1517(b)); and

(6) All funds available to OSM, from any source, are subject to the 

administrative controls contained herein. 

2. Summary of Changes. This directive is being updated to:

a. Rename the Budget Office the “Office of Planning, Analysis and Budget”

(OPAB). The budget and strategic planning and evaluation functions were combined,

U.S. DEPARTMENT OF THE INTERIOR

OFFICE OF SURFACE MINING 

RECLAMATION AND ENFORCEMENT

DIRECTIVES 

SYSTEM

Subject Code:

BFM-1

Transmittal Number:

963

Date:

DEC 18, 2008

 Subject: Administrative Control of Funds

 Approval: Brent Wahlquist Title: Director
- 2 -

and OPAB was established by the Department of the Interior in 116 DM 2 on October 27, 

2004.

b. Revise definitions and terminologies to reflect OSM’s current financial 

system – Financial and Business Management System (FBMS).

3. Definitions.

a. Account. An account is an official unit of management authority identified for 

the purpose of delegating fund authority and responsibility to account managers by allocating 

funds and recording obligations in the accounting system (FBMS). Accounts in FBMS are 

significantly more detailed than in the former accounting system. Accounts are now a string of 

codes, which include a 10-digit Fund, a 16-digit Functional Area, a 10-digit Fund Center, and a 

27-digit Funded Program.

b. Account Managers

 

. Account managers are supervisors or managers who are 

responsible for implementing program activities, and are assigned an organizational account 

number(s) and an allocation of funds to manage. The Director, Assistant Directors, and Regional 

Directors designate these managers by allocating funds to them. Account Managers are 

responsible for managing the funds under their authority. 

c. Administrative Violation. An administrative violation of the Anti-Deficiency Act 

occurs when the amount of an obligation exceeds the total allocation for the appropriation. 

Administrative sanctions of the Anti-Deficiency Act may subject employees to appropriate 

administrative discipline, including, when circumstances warrant, suspension from duty without 

pay or removal from office. 

d. Allocation. The first level of “administrative” subdivision of operational fund 

authority to Assistant and Regional Directors is by allocation. Allocation documents specify 

dollar amounts by fund and by functional areas and source of funds. Each allocation document 

conveys personal administrative responsibility and sanctions, specified by the Anti-Deficiency 

Act, for amounts, timing, and purpose of such allocations and requires an acknowledgement of 

receipt and understanding of responsibility (see form in Appendix A).

Further administrative subdivisions by Assistant and Regional Directors to Field Office 

Directors, Division and Branch Chiefs, Team Leaders, and other account managers may be 

made. Such subdivisions are not subject to legal sanctions for over-expenditure, but they could 

be subject to administrative penalties under the Act. An obligation made in excess of a 

subdivision is not considered a statutory violation unless it causes the total of all allocation 

amounts within an appropriation or statutory limitation to be exceeded. The employee

responsible for an obligation in excess of a subdivision could be subjected to administrative 

discipline.

 

e. Allotment. Allotments are issued to Assistant and Regional Directors for nonoperational fund delegations. This includes grants to states, Federal emergency and high priority 

reclamation project funding, and civil penalty funding. Allotments specify dollar amounts by 
- 3 -

appropriation (fund), functional areas, and source of funds. Each allotment document conveys 

personal legal responsibility and sanctions, specified by the Anti-Deficiency Act, for amounts, 

timing, and purpose of such allotments and requires an acknowledgement of receipt and 

understanding of responsibility. The legal responsibility included in an allotment may not be 

delegated further (see form in Appendix B).

f. Apportionment. This term is the approval from the Office of Management and 

Budget (OMB) to incur obligations against fund authority made available through appropriation, 

recovery, or transfer in a specified time period, such as a quarter or a fiscal year. The 

Department of the Interior and OSM have not been restricted to quarterly apportionments by 

OMB.

g. Appropriation. This term is the authority given to Federal agencies to incur 

obligations and to make payments from the Treasury for specified purposes.

h. Budget Officer. The Budget Officer reports to the Office of the Director and is 

the supervisory head of OPAB and is responsible for budget formulation, presentation, and 

execution activities of OSM. The Budget Officer is the primary contact dealing with the 

Department, OMB, the Appropriations Committee Members and staff, and members of the press 

on budget and appropriation matters. The Budget Officer develops and manages an 

administrative funds control system to ensure against deficiency under the Anti-Deficiency Act 

and shares the legal responsibility with the OSM Chief Financial Officer. 

i. Budget Representative. In this directive, the Budget Representative refers to the 

individual appointed by an Assistant Director, Regional Director, or Staff Office Head who 

serves as primary contact from the organization to OPAB on all budget issues, including budget 

formulation and execution, and for coordinating responses to budget inquiries from the 

Department, OMB, and Congress. 

j. Business Line. See definition for Functional Area.

k. Certification of Funds. This is the act of determining the availability of specific 

amounts for establishing commitments from official accounting records. For purposes of this 

directive, the commitment of funds by individual program managers or their designees will 

constitute fund certification. 

l. Certification of Payment. This term is the process of attesting to the legality, 

propriety, and correctness of invoices for payment from appropriated funds. Accountability for 

improper certification of funds for payment rests personally with the certifying officer. 

m. Certifying Officer(s) for Proper Payments. This term refers to an individual 

appointed by the Assistant Director, Finance and Administration, or the Chief, Division of 

Financial Management (DFM) (Treasury Financial Manual I TFM, Part 4, Chapter 1100, Section 

1145.10), who is then authorized to sign Treasury disbursement schedules certifying that 

payments are legal, proper, and correct and for ensuring that there is proper documentation of 

transactions releasing funds for expenditure.
- 4 -

n. Charge Card Purchases (PRISM). PRISM is an on-line computer system 

(formerly IDEAS) that provides for electronic requisitioning and procurement, and the obligation 

and certification of charge card purchases. It also provides a means to modify charge card 

records if the default information for a cardholder needs to be changed.

o. Chief Financial Officer (CFO). The Deputy Director of OSM serves as the CFO. 

The CFO ensures that the mandates of the CFO Act are achieved and provides policy and 

oversight for the core financial management functions.

p. Commitment of Funds. Account managers or their designees establish 

commitments or obligations by entering and approving requests for procurement (PRISM);

approving charge card purchases (PRISM); requesting recruitment and other personnel actions in 

the personnel system (FPPS); or by other contractual commitments. 

q. Delegation of Fund Authority. Funding authority is delegated to two different 

managerial levels in accordance with Directive OPM-5, “Delegation of Authority.” Each 

represents a different level of responsibility and carries with it separate sanctions for violation of 

funds control and accountability under the terms proscribed by the Anti-Deficiency Act. These 

methods of delegation are Allotments and Allocations. Each method requires the issuance of a 

written notice of delegation of funding authority describing the amount(s), the functional area, 

and purpose(s) for the delegation. 

Each such notice of delegation requires a written acknowledgement of receipt by the responsible 

manager. To transmit delegation documents electronically requires specific secured access codes 

for each recipient. The systems registration of receipt (message opened in the electronic-mail 

program) constitutes an electronic acknowledgement of receipt of the electronic delegation 

documents. 

(1) Allotments. Allotments (non-operational fund delegations) transferring 

legal fund authority and accountability to Assistant Directors, Regional Directors, and Staff 

Office Heads will be transmitted electronically by the Budget Officer, printed and signed by the 

recipient acknowledging receipt and understanding of fund accountability, and returned to the 

Budget Officer (see Appendix B).

(2) Allocations. Allocations (operational fund delegations) transferring 

administrative fund authority and accountability to Assistant Directors, Regional Directors, and 

Staff Office Heads will be transmitted electronically by the Budget Officer, printed and signed 

by the recipient (acknowledging receipt and understanding of fund accountability), and returned 

to the Budget Officer. (See Appendix A)

(3) Subdivisions. Administrative subdivisions of allocations may be provided

from Assistant Directors, Regional Directors, or Staff Office Heads to Field Office Directors, 

Division and Branch Chiefs, Team Leaders, and other account managers. Subdivisions are 

recorded as approved financial plans. 
- 5 -

r. Finance Officer. The DFM Chief is the OSM Finance Officer. The Finance 

Officer monitors daily financial transactions throughout the bureau.

s. Functional Area. This is a budget activity (also known as a Business Line). It 

identifies the first level of subdivision of an appropriation (referred to by appropriation 

committees as a budget activity or line item), as identified and described in the President's 

Budget Justifications to Congress. The first digit identifies the appropriation (either Regulation 

and Technology - 1 or the Abandoned Mine Reclamation Fund - 2). OSM’s five functional areas 

are the same in each appropriation with the exception of Environment Protection, which only 

applies to the Regulation and Technology appropriation. The functional areas are indicated by 

alphanumeric codes as follows: 

R = Environmental Restoration 

P = Environmental Protection 

T = Technology Development and Transfer 

F = Financial Management 

D = Executive Direction and Administration.

t. Fund (10 digits). The Fund is the highest element where budget is distributed and 

spending takes place.

u. Fund Center (16 digits). The Fund Center is an organizational unit, office, or 

directorate within OSM.

v. Object Class (Commitment Item). The object class is the classification of 

obligations according to the nature of services or articles procured as described in OMB Circular 

A-11 issued each fiscal year. FBMS uses object class and commitment item interchangeably.

w. Operating Budget/Financial Plan. An operating budget is a request for funding 

for the current year, which includes costs by account number and object class of expenditure. 

This request does not include grants to states, Federal reclamation projects, Clean Streams, 

SOAP, Civil Penalty projects, Bond Forfeiture reclamation, or other non-operational costs. An 

approved operating budget request submitted by an Assistant Director, Regional Director, or 

Staff Office Head for the current fiscal year transmitted to and approved by OPAB is referred to 

as a financial plan. Financial plans are entered into FBMS (version 1) and identify funds 

required by organization, office, appropriation, business line, and object class of expenditure. 

See the allotment, allocation, and sub-allocation definitions for penalties imposed when 

obligating funds in excess of financial plans. 

x. Reprogramming of Funds. A reprogramming consists of any significant departure 

from the program described in the budget that requires the submission of a formal written request 

to each Chairman of the Interior Appropriations Subcommittees (House and Senate) and that 

requires the approval of both. Reprogramming requests are also required for proposed 

reorganizations that do not require a transfer of funding. The House Appropriations Committee 
- 6 -

establishes reprogramming rules by inclusion in periodic annual committee reports or by annual 

appropriation language.

y. Staff Office Head. Staff Office Heads are Headquarters managers who report 

directly to the Director. They include the Chief, OPAB; the Equal Employment Officer; Chief 

Information Officer; and the Chief, Office of Communications. 

z. Statutory Violations

 

. Personal legal sanctions apply to any employee who 

knowingly and willfully violates the Anti-Deficiency Act. Violations include: 

(1) Over-obligation or over-expenditure of a fund or functional area;

(2) Entering into a contract or making an obligation in advance of a fund;

(3) Acceptance of voluntary service unless authorized by law; and

(4) Over-obligation or over-expenditure of:

(a) An apportionment or reapportionment; or

(b) Amounts permitted by the administrative control of funds 

regulations. 

Upon conviction, an individual may be fined not more than $5,000 or imprisoned for not more 

than 2 years, or both. OMB Circular No. A-34 provides for reporting to the President, through 

the Director of OMB, and to the Congress information on violations of the Act.

4. Policy. OSM’s policy is to hold the legal responsibility for compliance with the AntiDeficiency Act at the highest managerial level practicable while delegating to the lowest 

managerial level the administrative responsibility and accountability for the obligation or 

expenditure of funds and to hold accountable any officer who creates or allows any obligation or 

expenditure in excess of an appropriation (fund), allotment, allocation, or business line

(functional area). 

5. Responsibilities. Responsibilities of designated OSM Officials are listed below. Also 

see Appendix A for funding delegation.

a. Director. Approves the distribution of funds. Delegates full allotment authority 

and responsibility to the Deputy Director in accordance with the Delegation of Authority 

Directive. 
- 7 -

b. Deputy Director. Has statutory responsibility and authority for the administrative 

control and management of all OSM funding, from all sources, in compliance with the AntiDeficiency Act, as amended (31 U.S.C. 6651). Approves transfer of funds documents to other 

governmental departments and agencies. Delegates the remaining statutory authority and legal 

responsibility for fund delegation to the OSM Budget Officer. The Budget Officer may be 

mutually liable for legal sanctions applied by the Anti-Deficiency Act for any violations to the 

Act. 

c. Budget Officer. Has responsibility for the management of an administrative 

control of funds system, which conforms to the Anti-Deficiency Act and is consistent with 

budget and financial management policy and procedures. Reviews requests for resource 

allocations (in terms of mandated and/or policy initiatives and to ensure that total resources 

allotted are allocated within each budget activity and are consistent with appropriations) and 

issues allotments and OSM financial plans (allocations) to management officials at the direction 

of the Deputy Director. 

The Budget Officer is specifically delegated the authority and responsibility for: 

(1) Issuing and maintaining the official organizational account code structure 

for OSM and assigning all official account and organizational codes;

(2) Obtaining warrants from Treasury, apportionments and reapportionments 

from OMB, and administrative ceilings from the Department;

(3) Certifying fund availability for all interagency agreements and personnel 

service agreements to or from OSM and for assigning appropriate account data;

(4) Maintaining official files on allotments, allocations, and administrative 

ceilings;

(5) Entering appropriation and organization control levels into FBMS;

(6) Approving and posting financial plans in FBMS;

(7) Issuing periodic budget execution management reports;

(8) Conducting a mid-year and/or third-quarter budget review;

 

(9) Coordinating a year-end budget execution closeout; and 

(10) Issuing OSM budget reports and documentation to the Department, 

Treasury, and OMB, including Apportionment and Reapportionment Schedules (SF-132s), 

Resource Distributions (DI-520s), Appropriation Warrant Requests, and Quarterly 

Reprogramming Reports. 
- 8 -

d. Assistant Director, Finance and Administration (ADFA). Appoints official 

certifying officers (for certification of payment documents) in the DFM. This responsibility may 

be delegated to the DFM Chief. The certifying officers are then authorized to sign Treasury 

disbursement schedules certifying that payments are legal, proper, and correct and for ensuring 

that there is proper documentation of transactions releasing funds for expenditure. 

e. Assistant/Regional Directors and Staff Office Heads. Develop guidelines for the 

accomplishment of work; review subordinate budget requests for conformance with OSM

program goals; designate subordinate officials responsible for sub-allocations (i.e., Division 

Chiefs, Field Office Directors, or office/project managers); determine sub-allocation levels for 

subordinate units; assume responsibility for allotments and allocations; and resolve internal 

funding issues, exercise prudent monitoring and control of allocated funds to prevent 

misapplication or over-obligation of funds, commit funds for purposes of creating an obligation 

on all procurement actions, and report possible administrative or statutory violations of the AntiDeficiency Act. Each Assistant/Regional Director and Staff Office Head appoints one individual 

to serve as the Budget Representative for the directorate or office who will have access to FBMS 

for their respective accounts for the purpose of entering sub-allocation fund delegations into 

financial plans. 

f. Field Office Directors and Division Chiefs. Develop operating budgets for 

accomplishing OSM work in respective areas of authority according to approved budget 

guidelines and instructions; acknowledge administrative responsibility for allocations; exercise 

prudent monitoring and control of allocated funds to prevent misapplication or over-obligation of 

funds; commit funds for purposes of creating an obligation on all procurement actions; and 

report possible administrative or statutory violations of the Anti-Deficiency Act. 

g. Designated Payment Certification Officers. Legally responsible for assuring that 

duly authorized officials establish obligations, that goods and/or services have been certified 

received, and that an accepted and proper invoice or voucher has been received before certifying 

a payment as legal, proper, and correct.

h. Commitment Official. Responsible for approving commitment documents, by 

virtue of having received an allotment or allocation, and for ensuring that commitments are not 

created in individual accounts in excess of funding availability for that purpose. Only those 

officials as determined under Paragraph 4, Policy, are authorized to certify funds from their 

specific accounts for the purpose of incurring an obligation. The act of committing funds is 

accomplished when a program manager approves a specific document that either commits or 

obligates OSM to pay for goods or services when delivered. Documents that commit or obligate 

the Government to pay include Requests for Procurement, Travel Authorizations, Purchases 

Orders, Time and Attendance Reports, etc. 

The account manager may further delegate this authority to an administrative officer or assistant 

authorized as a contracting officer. The account manager who further delegates this authority 

remains responsible for implementing a system to manage control over the commitment of funds 

to ensure their proper use and the avoidance of over obligation. The individual remains 

personally responsible for any over-obligation caused by an inaccurate certification.
- 9 -

i. Finance Officer. Ensures that each obligation is correctly identified with a 

specific account and appropriation or fund when the obligation is incurred. Ensures that no 

amount is recorded as an obligation of the Government of the United States unless it is supported 

by documentary evidence of: 

(1) A binding agreement in writing between the parties, including 

Government agencies, in a manner and form and for a purpose authorized by law, executed 

before the expiration of the period of the availability for obligation of the appropriation or fund 

concerned for specific goods to be delivered, real property to be purchased or leased, or work or 

services to be performed; 

(2) An order required by law to be placed with a Government agency; 

(3) An order issued pursuant to law authorizing purchases without advertising 

when necessitated by public expediency or for perishable subsistence supplies or with specific 

monetary limitations; 

(4) A grant or subsidy payable (a) from appropriations made for payment of 

or contributions toward sums required to be paid in specific amounts fixed by law or in accord 

with a formula prescribed by law, or (b) pursuant to an agreement authorized by law or plans 

approved in accord with and authorized by law; 

(5) A liability that may result from pending litigation brought under authority 

of law; 

(6) Employment or services of persons or expenses of travel in accord with 

law and services performed by public utilities; or 

(7) Any other legal liability of the United States against an appropriation of 

funds legally available. 

The Finance Officer is responsible for maintaining the official accounting records through which 

fund accountability compliance is measured. Additionally, the Finance Officer is responsible for 

maintaining current and accurate records of all OSM financial transactions within FBMS. Also 

to assist the Finance Officer in maintaining the accounting records and if the appointment is not 

made by the ADFA, he or she may appoint a certifying officer(s) who is then authorized to sign 

Treasury disbursement schedules certifying that payments are legal, proper, and correct, and for 

ensuring that there is proper documentation of transactions releasing funds for expenditure.

j. Budget Representative. Each Assistant Director, Regional Director, and Staff 

Office Head appoints one person from their respective immediate office staff to serve as primary 

contact with OPAB on budget issues, including budget formulation and execution and for 

coordinating responses to budget inquiries from the Department, OMB, and Congress. Budget 

representatives are delegated authority to access FBMS to create financial plans and will be 

responsible for their respective accounts for the purpose of entering sub-allocation fund 
- 10 -

delegations into financial plans. They may adjust amounts between individual accounts of the 

same functional area within their respective allotment totals by amending their financial plans. 

Financial plans are pre-posted by the budget representatives in FBMS for approval by OPAB 

staff or the Budget Officer. As an alternative to entering financial plans directly into FBMS, 

these plans will be forwarded to OPAB for review and approval and uploaded from excel 

spreadsheets at the lower levels until OPAB transfers the responsibility for the direct access 

process to the budget representatives. Also, excel spreadsheets will be prepared by the budget 

representatives when financial plan changes are needed and forwarded to OPAB for uploading 

into FBMS to effect those changes and will undergo the same level of review by OPAB staff as 

discussed above. 

6. Procedures.

a. The Budget Officer issues official allotments and allocations approved by the 

Director and at the direction of the Deputy Director. Allotments and allocations are based on 

appropriations, prior-year carryover, reimbursable authority, apportionments by OMB, and 

Warrants by Treasury. Each allottee will acknowledge receipt and responsibility for the funds 

allotted by printing the electronic document, signing to acknowledge receipt, and returning the 

original document to OPAB. Such acknowledgement by the responsible manager does not 

necessarily connote agreement with the level of funding allotted, but rather it acknowledges the 

resource limitations and responsibilities delegated to them for proper management. Each 

allotment and allocation will: 

(1) Be designated a separate control number;

(2) Be set out in writing (electronic) and certified by the Budget Officer;

(3) Specify amount(s) available by fund and functional area; 

(4) Specify the name of the individual delegated the legal responsibility;

(5) Specify conditions or restrictions imposed by Congress, if any; and 

(6) Include the sanctions to be imposed by the Act for improper expenditure 

of amounts and conditions set forth (see Appendices A and B).

b. Reimbursable authority will not be considered budgetary resources available for 

obligation unless: 

(1) OPAB, in coordination with DFM, assigns a specific reimbursable account 

number;

(2) Valid orders (including written agreements) have been received; 

(3) Entitlement has been earned based on goods or services furnished; and/or 
- 11 -

(4) Advanced payment has been received (in the case of orders from the 

public). 

All officials who receive allotments containing estimated reimbursements or other anticipated 

receipts will maintain constant and careful oversight to ensure that these reimbursements and 

other income are earned as planned. On rare occasions, the Deputy Director may instruct the 

Budget Officer to issue allotments to account managers below the Assistant Director, Regional 

Director, or Staff Office Head level where circumstances warrant. Such allotments will not 

exceed total allotments to OSM and will include the transfer of all statutory authority and 

punitive sanctions under the Act to the individual allottee in the same manner as in the total 

OSM allotment. The legal authority and responsibility transferred in an allotment may not be 

further re-allotted or otherwise delegated by the account manager. 

c. General Prohibitions: 

(1) Incurring obligations in excess of the amount specified in an allotment is a 

statutory violation of section 1517(a) of the Anti-Deficiency Act. Any further division or 

subdivision of funds below the allotment level (such as sub-allocations given to a Division Chief 

or a Field Office Director) will not be considered an appropriate level for purposes of fixing legal 

responsibilities and determining statutory violations of the Act. 

(2) Obligations or contracts for payment of money for any purpose in advance 

of appropriations made for such purposes are prohibited unless specifically authorized by law. 

(3) Acceptance of voluntary service, except in emergencies, is prohibited. 

(4) Employment of personal service in excess of that authorized by law is 

prohibited. 

(5) Obligation or disbursement in excess of an apportionment or 

reapportionment is prohibited. 

(6) Obligation or disbursement is prohibited in excess of a subdivision of

funds below the apportionment, functional area, and allotment levels. 

d. The Deputy Director, through the Assistant and Regional Directors, will designate 

appropriate responsible officials for the further administrative subdivision of allocated funds and 

the control of obligations within the amounts of such subdivisions. Assistant Directors, Regional 

Directors, and Staff Office Heads will determine which of their respective staffs will have access 

to the electronic procurement system, charge card system, etc. This is accomplished via system 

program access forms approved by the Assistant Directors, Regional Directors, and Staff Office 

Heads, then forwarded to the Finance Officer for granting of requested access. They will also 

determine which of their staff will have access to FBMS and data entry in the system for 

financial plans in the same manner. This responsibility will be clearly defined, and the affected 

individuals will be appropriately notified in writing of the extent of their responsibility on the 

face of each allocation and sub-allocation. 
- 12 -

e. The Deputy Director appoints the Assistant and Regional Directors legal 

responsibilities under the Act when, in most instances, they will choose to re-delegate 

operational funding authority by using administrative subdivisions to lower managerial levels 

(account managers). Assistant Directors and Regional Directors will issue financial plans for 

concurrence by the Budget Officer. The total of such administrative sub-allocations via financial 

plans will not exceed allocation totals by appropriation and business line. 

Subdivisions of funds will: 

(1) Be determined by respective Assistant Directors, Regional Directors, or 

Staff Office Heads and concurred by the Budget Officer based on approved operating budgets.

(2) Be transferred within FBMS as financial plans by budget representatives 

in the regional offices and at Headquarters. (They will include the amounts available in each 

account, object class of expenditure, and specify any restrictions that may apply.) As an 

alternative to entering financial plans directly into FBMS, these plans will be uploaded from 

excel spreadsheets at the lower levels until OPAB transfers the responsibility for the direct 

access process to the budget representatives.

(3) Identify the account manager/supervisor delegated the responsibility for 

proper expenditure by organizational code for the funds sub-allocated. 

f. The total of all allotments and allocations will not exceed the total funds 

availability at any point in time. Total funds availability will include budget authority created by 

current appropriations, recoveries of prior year appropriations, reimbursement authority, and 

transfers. The Budget Officer will make the determination of funds availability, purpose of 

funding, and reconciliation with OMB apportionments and Treasury warrants. 

g. Each Program Manager who is allotted or allocated funds is also delegated the 

authority for committing funds for purposes of procuring goods or services against the 

appropriate accounts and object classes of expenditure. This authority is exercised by approving 

requisitions to indicate approval, by approving charge card purchases, or by approving personnel 

actions in FPPS. A commitment action by a responsible manager will serve as fund certification. 

h. Managers allotted or allocated funds and delegated commitment authority are 

charged with individual administrative responsibility (for allocations) or individual legal 

responsibility (for allotments) for any over-obligation or expenditure in excess of their fund 

authority at the account level or misapplication of funds as to purpose of the appropriation. An 

obligation exceeding an allocation in a particular account or organizational unit is not necessarily 

considered a statutory violation unless it causes the total of all allocated amounts within an 

appropriation, budget activity, apportionment, reapportionment, or official allotment to be 

exceeded. However, the employee responsible for an obligation exceeding a specific allocation 

at the account level could be subject to administrative discipline. 
- 13 -

i. Special procedures may be imposed at the end of the fiscal year to ensure an 

orderly year-end financial closeout of all accounting transactions, effective use of funds, and 

avoidance of possible Anti-Deficiency Act violations. Subject to these procedures and to avoid 

minor revisions to sub-allocations at the end of a fiscal year, the Budget Officer may authorize 

additional obligations for certain accounts. OPAB will increase the sub-allocation to that 

business line for the particular office or make an adjustment after year-end closeout. Such 

special procedures will still conform to approved warrants, allotments, apportionments, and 

appropriations by functional area OSM-wide. Assistant Directors, Regional Directors, and Staff 

Office Heads have the authority to move funds among and between accounts and object classes 

as long as the total by business line in the sub-allocation is not exceeded. 

j. Officially designated payment certification officers within the DFM who are 

responsible for verifying the legality, propriety, and correctness of payments from appropriated 

funds are personally accountable for those payments. If any certified payment is found to be 

illegal, improper, or incorrect, the certifying officer may be held individually responsible for 

reimbursing the Government for the amount of the payment.

7. Reporting Requirements.

a. All violations, regardless of amount, will be reported to the Deputy Director with 

a copy to the Budget Officer immediately upon discovery. 

b. All statutory violations will be reported by the Director to the President, through 

the Department and OMB, and to the Congress. 

c. Subsequent action taken to correct the cause of a violation does not eliminate the 

fact of a violation; it must still be reported. 

d. Any individual with knowledge of a possible violation has the responsibility to 

report it to the Deputy Director and to the Budget Officer.

e. Reporting responsibilities are as follows (reporting potential violations):

(1) Assistant and Regional Directors are responsible for initiating internal 

reports of violations or potential violations when and where they occur or may be reasonably 

anticipated or expected to occur. 

(2) Such reports will be in memorandum format addressed to the Deputy 

Director with a copy to the Budget Officer. 

(3) The Budget Officer will determine whether the circumstances constitute a 

potential violation of the Act and will advise the Deputy Director. 

(4) Each such report, which constitutes a potential violation, will be assigned 

by the Deputy Director for investigation and follow-up. The Deputy Director may assign the 
- 14 -

investigation and follow-up to any employee, group of employees, or to the Inspector General of 

the Department. 

8. Effect on Other Documents

November 2, 2001. 

. This directive supersedes OSM Directive FFM-1 dated

9. References.

a. Statutory Reference and Administrative Regulations

 

. The provisions in law and 

other regulations that pertain to the administrative control of funds are listed in the AntiDeficiency Act (31 U.S.C. §1341 (a)) as amended; 31 U.S.C. §1351; and 31 U.S.C. §1517 (a) 

and (b). 

b. Budget and Accounting Act of 1921, as amended (31 U.S.C.1104)

c. Federal Managers Financial Integrity Act (P.L. 97-255) 

d. Section 1311 of the Supplemental Appropriations Act of 1955 (31 U.S.C. 1501) 

e. Congressional Budget and Impoundment Control Act of 1974 (31 U.S.C. 1102 

and 2 U.S.C. 681-688) 

f. OMB Circular No. A-11, June 2008: "Instructions on Budget Execution,” Section 

4, and related OMB guidelines 

g. General Provisions of the Department of the Interior and Related Agencies 

Appropriations Acts 

h. Department of the Interior, Departmental Manual, part 328; Administrative 

Control of Funds 

i. Office of Planning, Analysis and Budget issuances in the form of guidance, 

procedures, or information memoranda 

j. The Chief Financial Officers Act of 1990 (P.L. 101-576)

k. Treasury Financial Manual I, TFM Part 4, Chapter 1100, Section 1145.10 

10. Effective Date. Upon issuance

11. Distribution. By electronic format

12. Appendices:

a. Appendix A: OSM Allocation Form
- 15 -

b. Appendix B: Official Allotment Form

Contact: Office of Planning, Analysis and Budget
Appendix A

A-1

OSM ALLOCATION FOR FISCAL YEAR 20XX

Type of Allocation (Full Year, Partial Year, etc.)

Date

(Operations Funding Only)

 ALLOCATION NO: 

DIRECTORATE/OFFICE:

RESPONSIBLE MANAGER:

 ISSUED BY: ______________________________ 

 Budget Officer

ACKNOWLEDGE RECEIPT:

(Signature)

 APPROVED BY: ______________________________

 Deputy Director

(Date)

This allocation is an administrative subdivision of funds subject to Section 3679 of the Anti-Deficiency Act, which prohibits the obligation of

funds in excess of an appropriation. Violations are subject to administrative action against the responsible official which may include

suspension from duty without pay or removal from office.

FY 20XX

ALLOCATION

(Within Target - New 

Money)

ALLOCATION

CHANGES

REVISED

ALLOCATION

BUSINESS LINE FY 20XX

(FUNCTIONAL AREA) ALLOCATION

R&T AML R&T AML R&T AML

Environmental Restoration

Environmental Protection

Technical Development & Transfer

Financial Management

Executive Direction

TOTAL

NOTES/COMMENTS:
Appendix B

B-1

OFFICIAL ALLOTMENT

APPROPRIATION:

ALLOTTEE'S NAME: SIGNATURE:

TITLE: DATE:

(RECEIPT ACKNOWLEDGEMENT - This allotment is subject to Section 3679 of the Anti-Deficiency Act (31 

U.S.C. 1514) and which prohibits the obligation or disbursement of funds in excess of an appropriation, or for any 

payment of money for any purpose in advance of an appropriation. Violations are subject to administrative action 

against the responsible official which may include suspension from duty without pay or removal from office.

ALLOTMENT NUMBER:

FISCAL YEAR: 20XX

DATE:

PRIOR ALLOTMENT

Activity 

(indicate 

: fund):

New Money:

ALLOTMENT 

CHANGE:

Activity 

(indicate 

fund):

New Money:

CUMULATIVE 

TOTAL:

FUND 

CERTIFICATION: DATE:

APPROVED BY: DATE:

Budget Officer