PRIA, Government Policy, Made Personal

Summary

Money can only be recorded as an obligation of the U.S. Government when there is written proof that the government is legally committed to pay. That proof covers nine kinds of situations: a signed written contract made while the money was available for specific goods, property, or services; a loan agreement with terms; orders an agency must place by law; orders allowed without advertising for emergencies, perishable supplies, or within set money limits; grants or subsidies paid from amounts fixed by law or under authorized agreements or approved plans; possible debts from lawsuits; hired work, wages, or travel costs under law; utility services; and other legal liabilities chargeable to an available fund. When an agency reports obligations to Congress or a congressional committee, it must include only amounts supported by this kind of written proof.

Title 31, §1501

Money and Finance, Source: USLM XML via OLRC

(a)An amount shall be recorded as an obligation of the United States Government only when supported by documentary evidence of—

(1)a binding agreement between an agency and another person (including an agency) that is—

(A)in writing, in a way and form, and for a purpose authorized by law; and

(B)executed before the end of the period of availability for obligation of the appropriation or fund used for specific goods to be delivered, real property to be bought or leased, or work or service to be provided;

(2)a loan agreement showing the amount and terms of repayment;

(3)an order required by law to be placed with an agency;

(4)an order issued under a law authorizing purchases without advertising—

(A)when necessary because of a public exigency;

(B)for perishable subsistence supplies; or

(C)within specific monetary limits;

(5)a grant or subsidy payable—

(A)from appropriations made for payment of, or contributions to, amounts required to be paid in specific amounts fixed by law or under formulas prescribed by law;

(B)under an agreement authorized by law; or

(C)under plans approved consistent with and authorized by law;

(6)a liability that may result from pending litigation;

(7)employment or services of persons or expenses of travel under law;

(8)services provided by public utilities; or

(9)other legal liability of the Government against an available appropriation or fund.

(b)A statement of obligations provided to Congress or a committee of Congress by an agency shall include only those amounts that are obligations consistent with subsection (a) of this section.

Notes & Related Subsidiaries

Historical and Revision Notes

Revised SectionSource (U.S. Code)Source (Statutes at Large) 1501(a)31:200(a).Aug. 26, 1954, ch. 935, § 1311(a), (e), 68 Stat. 830, 831. 1501(b)31:200(e). In subsection (a), before clause (1), the words “After August 26, 1954” are omitted as executed. In clause (1), the words “an agency and another person (including an agency)” are substituted for “the parties thereto, including Government agencies” for clarity. In clause (2), the word “valid” is omitted as unnecessary. In clause (6), the words “brought under authority of law” are omitted as surplus. In clause (9), the word “legally” is omitted as surplus. In subsection (b), the words “consistent with” are substituted for “as defined in” for clarity and for consistency with section 1108 of the revised title. The word “valid” is omitted as unnecessary.

§1501 Documentary Evidence Requirement for Government Obligations

Summary

Title 31, §1501

Notes & Related Subsidiaries

Historical and Revision Notes

Citations & Metadata