CONTROLS ON THE AVAILABILITY OF APPROPRIATION ACCOUNTS

SEC. 1405. CONTROLS ON THE AVAILABILITY OF APPROPRIATION ACCOUNTS (a) Procedures for Closing Appropriation Accounts.— (1) Subchapter IV of chapter 15 of title 31, United States Code (other than section 1558), is amended to read as follows: 104 STAT. 1676 “SUBCHAPTER IV— CLOSING ACCOUNTS “§ 1551. Definitions and applications “(a) In this subchapter— “(1) An obligated balance of an appropriation account as of the end of a fiscal year is the amount of unliquidated obligations applicable to the appropriation less amounts collectible as repayments to the appropriation. “(2) An unobligated balance is the difference between the obligated balance and the total unexpended balance. “(3) A fixed appropriation account is an appropriation account available for obligation for a definite period. “(b) The limitations on the availability for expenditure prescribed in this subchapter apply to all appropriations unless specifically otherwise authorized by a law that specifically— “(1) identifies the appropriate account for which the availability for expenditure is to be extended; “(2) provides that such account shall be available for recording, adjusting, and liquidating obligations properly chargeable to that account; and “(3) extends the availability for expenditure of the obligated balances. “(c) This subchapter does not apply to— “(1) appropriations for the District of Columbia government; or “(2) appropriations to be disbursed by the Secretary of the Senate or the Clerk of the House of Representatives. “§ 1552. Procedure for appropriation accounts available for definite periods “(a) On September 30th of the 5th fiscal year after the period of availability for obligation of a fixed appropriation account ends, the account shall be closed and any remaining balance (whether obligated or unobligated) in the account shall be canceled and thereafter shall not be available for obligation or expenditure for any purpose. “(b) Collections authorized or required to be credited to an appropriation account, but not received before closing of the account under subsection (a) or under section 1555 of this title shall be deposited in the Treasury as miscellaneous receipts. “§ 1553. Availability of appropriation accounts to pay obligations “(a) After the end of the period of availability for obligation of a fixed appropriation account and before the closing of that account under section 1552(a) of this title, the account shall retain its fiscal-year identity and remain available for recording, adjusting, and liquidating obligations properly chargeable to that account. “(b) (1) Subject to the provisions of paragraph (2), after the closing of an account under section 1552(a) or 1555 of this title, obligations and adjustments to obligations that would have been properly chargeable to that account, both as to purpose and in amount, before closing and that are not otherwise chargeable to any current appropriation account of the agency may be charged to any current appropriation account of the agency available for the same purpose. “(2) The total amount of charges to an account under paragraph (1) may not exceed an amount equal to 1 percent of the total appropriations for that account. 104 STAT. 1677 “(c) (1) In the case of a fixed appropriation account with respect to which the period of availability for obligation has ended, if an obligation of funds from that account to provide funds for a program, project, or activity to cover amounts required for contract changes would cause the total amount of obligations from that appropriation during a fiscal year for contract changes for that program, project, or activity to exceed $4,000,000, the obligation may only be made if the obligation is approved by the head of the agency (or an officer of the agency within the Office of the head of the agency to whom the head of the agency has delegated the authority to approve such an obligation). “(2) In the case of a fixed appropriation account with respect to which the period of availability for obligation has ended, if an obligation of funds from that account to provide funds for a program, project, or activity to cover amounts required for contract changes would cause the total amount obligated from that appropriation during a fiscal year for that program, project, or activity to exceed $25,000,000, the obligation may not be made until— “(A) the head of the agency submits to the appropriate authorizing committees of Congress and the Committees on Appropriations of the Senate and the House of Representatives a notice in writing of the intent to obligate such funds, together with a description of the legal basis for the proposed obligation and the policy reasons for the proposed obligation; and “(B) a period of 30 days has elapsed after the notice is submitted. “(3) In this subsection, the term ‘contract change’ means a change to a contract under which the contractor is required to perform additional work. Such term does not include adjustments to pay claims or increases under an escalation clause. “(d) (1) Obligations under this section may be paid without prior action of the Comptroller General. “(2) This subchapter does not— “(A) relieve the Comptroller General of the duty to make decisions requested under law; or “(B) affect the authority of the Comptroller General to settle claims and accounts. “§ 1554. Audit, control, and reporting “(a) Any audit requirement, limitation on obligations, or reporting requirement that is applicable to an appropriation account shall remain applicable to that account after the end of the period of availability for obligation of that account. “(b) (1) After the close of each fiscal year, the head of each agency shall submit to the President and the Secretary of the Treasury a report regarding the unliquidated obligations, unobligated balances, canceled balances, and adjustments made to appropriation accounts of that agency during the completed fiscal year. The report shall be submitted no later than 15 days after the date on which the President’s budget for the next fiscal year is submitted to Congress under section 1105 of this title. “(2) Each report required by this subsection shall— “(A) provide a description, with reference to the fiscal year of appropriations, of the amount in each account, its source, and an itemization of the appropriations accounts; “(B) describe all current and expired appropriations accounts; 104 STAT. 1678 “(C) describe any payments made under section 1553 of this title; “(D) describe any adjustment of obligations during that fiscal year pursuant to section 1553 of this title; “(E) contain a certification by the head of the agency that the obligated balances in each appropriation account of the agency reflect proper existing obligations and that expenditures from the account since the preceding review were supported by a proper obligation of funds and otherwise were proper; “(F) describe all balances canceled under sections 1552 and 1555 of this title. “(3) The head of each Federal agency shall provide a copy of each such report to the Speaker of the House of Representatives and the Committee on Appropriations, the Committee on Governmental Affairs, and other appropriate oversight and authorizing committees of the Senate. “(c) (1) The Director of the Congressional Budget Office shall estimate each year the effect on the Federal deficit of payments and adjustments made with respect to sections 1552 and 1553 of this title. Such estimate shall be made separately for accounts of each agency. “(2) The Director shall include in the annual report of the Director to the Committees on the Budget of the Senate and House of Representatives under paragraph (1) of section 202(f) of the Congressional Budget Act of 1974 a statement of the estimates made pursuant to paragraph (1) of this subsection during the preceding year (including any revisions to estimates contained in earlier reports under such paragraph). The Director shall include in any report under paragraph (2) of that section any revisions to such estimates made since the most recent report under paragraph (1) of such section. “(d) The head of each agency shall establish internal controls to assure that an adequate review of obligated balances is performed to support the certification required by section 1108(c) of this title. “§ 1555. Closing of appropriation accounts available for indefinite periods “An appropriation account available for obligation for an indefinite period shall be closed, and any remaining balance (whether obligated or unobligated) in that account shall be canceled and thereafter shall not be available for obligation or expenditure for any purpose, if— “(1) the head of the agency concerned or the President determines that the purposes for which the appropriation was made have been carried out; and “(2) no disbursement has been made against the appropriation for two consecutive fiscal years. “§ 1556. Comptroller General: reports on appropriation accounts “(a) In carrying out audit responsibilities, the Comptroller General shall report on operations under this subchapter to— “(1) the head of the agency concerned; “(2) the Secretary of the Treasury; and “(3) the President. “(b) A report under this section shall include an appraisal of unpaid obligations under fixed appropriation accounts for which the period of availability for obligation has ended. 104 STAT. 1679 “§ 1557. Authority for exemptions in appropriation laws A provision of an appropriation law may exempt an appropriation from the provisions of this subchapter and fix the period for which the appropriation remains available for expenditure.”. (2) The table of sections at the beginning of chapter 15 of such title is amended by striking out the items relating to subchapter IV and sections 1551 through 1557 and inserting in lieu thereof the following: “subchapter iv—closing accounts “1551. Definitions and application. “1552. Audit, control, and reporting. “1553. Availability of appropriation accounts to pay obligations. “1554. Audit, control, and reporting. “1555. Closing of appropriation accounts available for indefinite periods. “1556. Comptroller General: reports on appropriation accounts. “1557. Authority for exemptions in appropriation laws.”. (b) Transition.— (1) Application of amendments.— The amendments made by subsection (a) shall apply to any appropriation account the obligated balance of which, on the date of the enactment of this Act, has not been transferred under section 1552(a)(1) of title 31, United States Code, as in effect on the day before the date of the enactment of this section. (2) Restoration of certain unobligated amounts.— The balance of any unobligated amount withdrawn under section 1552(a)(2) of title 31, United States Code, as in effect on the day before the date of the enactment of this Act, from an account the obligated balance of which has not been transferred under section 1552(a)(1) of title 31, United States Code, as in effect on the day before the date of the enactment of this section, is hereby restored to that account. (3) Cancellation of unobligated balances.— All balances of unobligated funds withdrawn from an account under subsection 1552(a)(2) of title 31, United States Code, as in effect on the day before the date of the enactment of this Act (other than funds restored under paragraph (2)) are canceled, effective at the end of the 30-day period beginning on the date of the enactment of this Act. (4) Cancellation of obligated balances.— On the third September 30th after the date of the enactment of this Act, all obligated balances transferred under subsection 1552(a)(1) of title 31, United States Code, as in effect on the day before the date of the enactment of this Act, shall be canceled. (5) Obligation of existing balances.— After the date of the enactment of this Act, an obligation of any part of a balance transferred before the date of the enactment of this Act under section 1552(a)(1) of title 31, United States Code, shall be subject to section 1553(c) of such title, as amended by subsection (a). (6) Cancellation of oldest obligated balances.— (A) At the end of the 30-day period beginning on the date on which the President submits to Congress the budget for fiscal year 1992, any amount in an account established under paragraph (1) of section 1552 of title 31, United States Code, as in effect before the date of the enactment of this Act, that has been in that account as of that date for a period in excess of five years shall be deobligated and shall be withdrawn in the manner provided104 STAT. 1680 in paragraph (2) of that section. Amounts so deobligated and withdrawn may not be restored. (B) Subparagraph (A) shall not apply so as to require the deobligation of amounts— (i) for which there is documentary evidence that payment will be required within 180 days of the date of the enactment of this Act; or (ii) that are determined to be necessary for severance payments for foreign national employees. (7) Obligations and adjustment of obligations.— (A) After cancellation of unobligated balances under paragraph (3) or cancellation of obligated balances under paragraph (4) or paragraph (6) and subject to the provisions of subparagraph (B), obligations and adjustments to obligations that would have been chargeable to those balances before such cancellations and that are not otherwise chargeable to current appropriations of the agency concerned may be charged to current appropriations of that agency available for the same purpose. Any charge made pursuant to this subsection shall be limited to the unobligated expired balances of the original appropriation available for the same purpose. (B) Any charge made pursuant to subparagraph (A) shall be subject to the maximum amount chargeable under subsection (b) of section 1553 of title 31, United States Code, as amended by this section, and shall be included in the calculation of the total amount charged to any account under that section. (c) Conforming Repeal.— (1) Section 2782 of title 10, United States Code, is repealed. (2) The table of sections at the beginning of chapter 165 of such title is amended by striking out the item relating to section 2782.