What is the three part purpose test?

What is the three part purpose test?

The “Necessary Expense Doctrine” (a.k.a. The 3-part Purpose Test). The purpose statute does not require every expenditure to be specified in an appropriation act. That is not possible or feasible. “The spending agency has reasonable discretion in determining how to carry out the objects of the appropriation.”

What are the 3 phases of the appropriation life cycle?

Each appropriation category has three distinct periods during its lifecycle: current period, expired period, and cancelled period.

What are the three main elements of fiscal law?

The main theme of fiscal law can be summed up in three words: “Purpose, Time and Amount.” This concept is often referred to by its acronym—“PTA.” A fiscal law analysis first asks whether or not a particular expenditure is in accordance with the purpose for which Congress provides us with that type of funding.

What does the bona fide rule require?

The bona fide needs rule is a rule of appropriations law. It mandates that a fiscal year’s appropriations only be obligated to meet a legitimate—or bona fide—need arising in (or sometimes before) the fiscal year for which the appropriation was made.

What is the necessary expense rule?

The “Necessary Expense Doctrine” – Where a particular expenditure is not specifically provided for in the appropriation act, it is permissible if it is necessary and incident to the proper execution of the general purpose of the appropriation. – The expenditure must not be prohibited by law.

What are the three general restrictions on the authority to obligate appropriated funds?

Appropriated funds are subject to three basic fiscal constraints: time, purpose, and amount. The time constraint includes two major elements. First, appropriations have a definite period of availability. Second, appropriations normally must be used for the needs that arise during the period of availability.

What is the necessary expense doctrine?

The “Necessary Expense Doctrine.” Where a particular expenditure is not specifically provided for in the appropriation act, it is permissible if it is necessary and incident to the proper execution of the general purpose of the appropriation. The expenditure must not be prohibited by law.

What are 3600 funds?

Funds for Air Force operations are made available by Congress through a variety of appropriations: I. Investment Appropriations: Research, Development, Test, and Evaluation (RDT&E) (3600)

Which of the following types of appropriations does the bona fide needs rule apply to?

Current year money for current year needs. The Bona Fide Needs Rule applies only to appropriations with limited periods of availability for obligation.

What are the rules of appropriation law?

In law and government, appropriation (from Latin appropriare, “to make one’s own”, later “to set aside”) is the act of setting apart something for its application to a particular usage, to the exclusion of all other uses.

What rule provides that the expenditure of public funds?

The established rule
C. Philosophy of Fiscal Law. “The established rule is that the expenditure of public funds is proper only when authorized by Congress, not that public funds may be expended unless prohibited by Congress.” United States v. MacCollom, 426 U.S. 317, 321 (1976).

What does the necessary expense rule state?

What does the Necessary Expense Rule state? An expenditure is permissible if it is reasonably necessary to accomplish the object of an appropriation, or will contribute materially to the accomplishment of that objective.

What makes an expenditure proper under the purpose statute?

The expenditure of an appropriation must be for a particular statutory purpose, or necessary and incident to the proper execution of the general purpose of the appropriation. 2. The expenditure must not be prohibited by law.

When does the spending Agency have reasonable discretion?

“The spending agency has reasonable discretion in determining how to carry out the objects of the appropriation.” 1Where a particular expenditure is not specifically provided for in the appropriation act, it is permissible if it is necessary and incident to the proper execution of the general purpose of the appropriation.

What did the Supreme Court say about expenditure of public funds?

In applying this provision of the constitution, the Supreme Court has said, “The established rule is that the expenditure of public funds is proper only when authorized by Congress, not that public funds may be expended unless prohibited by Congress.” US v. MacCollom, 426 U.S. 317 (1976).

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