Offsetting Collections

Offsetting Collections in the United States

Offsetting Collections in the Federal Budget Process

Meaning of Offsetting Collections in the congressional and executive budget processes (GAO source): Collections authorized by law to be credited to appropriation or fund expenditure accounts. They result from (1) businesslike transactions or market-oriented activities with the public, (2) intragovernmental transfers, and (3) collections from the public that are governmental in nature but required by law to be classified as offsetting. Collections resulting from businesslike transactions with the public and other government accounts are also known as reimbursements.

Laws authorizing offsetting collections make them available for obligation to meet the account’s purpose without further legislative action. However, it is not uncommon for annual appropriation acts to include limitations on the obligations to be financed by these collections. The authority to obligate and spend offsetting collections is a form of budget authority. The Congressional Budget Act of 1974, as amended by the Budget Enforcement Act (BEA) of 1990, defines offsetting collections as negative budget authority and the reductions to it as positive budget authority.

Offsetting collections include reimbursements, transfers between federal and trust fund accounts, offsetting governmental collections, and refunds.

Guide to U.S. Federal Offsetting Collections (Budget Process)

  • Offsetting Collections
  • Reimbursements
  • Federal Fund Accounts
  • Offsetting Governmental Collections
  • Refunds

Resources

See Also

Further Reading

  • Legislatures and the budget process: the myth of fiscal control

    (J Wehner, 2010)

  • Reconcilable Differences?: Congress, the Budget Process, and the Deficit (JB Gilmour, 1990)
  • Fiscal institutions and fiscal performance

    (JM Poterba, J von Hagen, 2008)


Posted

in

, ,

by

Comments

Leave a Reply

Your email address will not be published. Required fields are marked *