Exam 1: Section 2 Vocab: Legal Foundations of the Government Financial Environment - Vocab

Appropriation

Budget passed by the legislative branch to provide legal authority to incur expenses and expend money

Continuity of Operations

Efforts to ensure organization can sustain essential operations, regardless of planned or unplanned incidents or disruptions

Government Performance and Results Act (GPRA)

Requires federal agencies to create long-term strategic plans. Strategic plans followed by annual performance budgets and annual performance reports

Apportionment

Dispersal of budgetary authority to an agency by the central management agency

Allotment

Distribution of apportioned budgetary authority to various components within the agency

Internal Controls

Organization and activities designed to ensure programs achieve their intended results

Management Cycle

Sequence of activities for managing government/government operations

Output

Goods/services produced

Outcome

Results of government programs

Antideficiency Act

Federal law stating officials can be fined/jailed if they authorize spending government funds beyond the legally authorized purpose, time, or amount

Authorization

legislative action that approves programs and agency may pursue if funding is available

Debt

money owed by an entity to an individual or organizational creditor to finance government objectives

Deficit

when a government spends more money than it takes in

Earmarking

reserving a portion of an appropriation or revenue from a specific source for a specific, limited purpose

also referred to as dedicated collections

Provision inserted into a discretionary spending by the Congressional Appropriations Bill

Line-item Veto

Chief executive other than the president has authority to strike individual line items from a budget without vetoing the entire budget

Program (Account Structure)

Defines the overall purpose for government spending

Can be broken down further into object class/line item

Object class

Defines the specific goods/services for government spending under a program

Examples: Salaries, equipment, supplies

Mandatory vs. Discretionary

Mandatory: budget provided by laws other than appropriation acts (ex: social security)

Discretionary: budget proved by appropriation acts (ex: education)

Strategic Planning

clarify policies and objectives integrated during budget process

Performance Audit

provides management insight on program operations