SAFETEA-LU: - American Public Works Association

Budget AuthorityAuthority provided by law to enterinto obligations that will result inoutlays of federal funds. Budgetauthority may be classified by theperiod of availability (one-year,multiyear, no-year), by the timingof congressional action (current orpermanent), or by the manner ofdetermining the amount available(definite or indefinite).Categorical ExclusionA class of actions which eitherindividually or cumulatively wouldnot have a significant effect on thehuman environment and thereforewould not require preparation ofan environmental assessment orenvironmental impact statementunder the National EnvironmentalPolicy Act (NEPA).EnactedOnce legislation has passed bothchambers of Congress in identicalform, been signed into law by thePresident, become law without hissignature or passed over his veto,the legislation is enacted.EntitlementA federal program or provisionof law that requires payments toany person or unit of governmentthat meets the eligibility criteriaestablished by law. Entitlementsconstitute a binding obligation onthe part of the federal government,and eligible recipients havelegal recourse if the obligationis not fulfilled. Social Securityand veterans’ compensationand pensions are examples ofentitlement programs.SAFETEA-LU: A Guide to Provisions Related to Local GovernmentsContract AuthorityAuthority in law to enter intocontracts or incur other obligationsin advance of, or in excess of,funds available for that purpose.Although it is a form of budgetauthority, contract authoritydoes not provide the funds tomake payments. Those fundsmust be provided later, usuallyin a subsequent appropriationact (called a “liquidatingappropriation”). Contract authoritydiffers from a federal agency’sinherent authority to enter intocontracts, which may be exercisedonly within the limits of availableappropriations.Discretionary spendingSpending (budget authority andoutlays) controlled in annualappropriations acts.Fiscal YearThe fiscal year is the accountingperiod for the federal governmentwhich begins on October 1 andends on September 30. The fiscalyear is designated by the calendaryear in which it ends; for example,fiscal year 2006 begins on October1, 2005 and ends on September30, 2006. Congress passesappropriations legislation to fundthe government for every fiscalyear.Highway Trust FundAn account established by law tohold federal highway-user taxesthat are dedicated for highwayandtransit-related purposes. TheHighway Trust Fund has twoaccounts: the Highway Accountand the Mass Transit Account.17