1.0 General Information
1.1 Statutory References
Sections 4-31, 4-31a, Chapter 50 Part II, 3-39a and 13a-166, 3-20(g).
1.2 Definitions (CGS 4-69)
"Appropriation" means an authorization by the General Assembly to make
expenditures and incur liabilities for specific purposes.
"Allotment" means a portion of an appropriation or special fund set
aside to cover expenditures and encumbrances for a certain period or
"Encumbrances" means obligations in the form of purchase orders or
contracts which are to be met from an appropriation and for which a part
of the appropriation is reserved.
"Unencumbered balance" means that portion of an appropriation or
allotment which has not been expended or encumbered.
"Unexpended balance" means that portion of an appropriation or
allotment which has not been expended.
"Unliquidated encumbrances" means encumbrances which have not yet been
paid or approved for payment.
"Expenditures" means amounts paid for all purposes, including expenses,
provisions for retirement of debt and capital outlay.
1.3 Sources of Appropriations
Most appropriations result from one of the following:
A. A specific amount appropriated for a specific purpose by the General
Assembly in a public or special act. An example is the Appropriation Act
for each fiscal year.
B. A continuing statutory authorization to allow the appropriation of
certain amounts which may become available or required for specific
purposes. Examples are restricted grants or donations received by an
agency (CGS 3-39a, 4-31a, 13a-166), insurance recoveries needed to repair
or replace damaged property (CGS 4-31), or matching funds required to
secure Federal grants (CGS 4-95a).
C. Transfers from other appropriations (CGS 4-84, 4-87, 4-94).
D. Allocation by the Bond Commission of previously authorized bonding
to a specific project (CGS 3-20(g)).
2.0 Appropriation Codes, Types and Uses
2.1 Appropriation (SID) Coding
Specific appropriations are assigned a five-digit appropriation number
by Central Accounting. These appropriation numbers are commonly referred
to as Special Identification Codes - SID's.
The appropriation number is unique only within the context of a
specific fund and agency and therefore the "appropriation coding" is the
entire Fund - Agency - SID combination:
Example 1: 11000 - OSC15100 - 10020 is General Fund-State
Comptroller-Appropriation Number 10020
Example 2: 12001 - DOT57000 - 10020 is Transportation Fund - Department of
Transportation - Appropriation Number 10020
For ease of recognition, there is a schema used in assigning
appropriation numbers in the General and other budgeted funds: The
following are discussed below.
- Common Appropriations
- Specific Appropriations
- Grants & Payments
- Other than Local Governments
- Grants & Payments - Local Governments
- Federal Grants
- Non-Federal & Private Grants
- Restricted State Accounts
- Non-Budgeted Funds
- Grant Transfers
In Capital Project Funds (13000-13999 and 17000-17099) a SID
(40000-49999) is assigned to each project authorized by the Legislature.
There is no significance to the numbers assigned.
Special Revenue (other than budgeted funds), Internal Service, and
Enterprise Funds are generally controlled by a single appropriation
account per Fund/Agency. These appropriations are assigned to a SID in the
Trust and Agency funds have no "appropriations" but SIDs are in the 40000-49999 range and must be used for coding all
expenditure documents charging these funds. An agency must make all SID
requests to the Budget and Financial Analysis Division at the Office of
the State Comptroller.
2.2 Common Appropriations and Their Uses
The specific appropriations which are common to most State agencies and
which, therefore, have a common identification code are as follows:
2.2.1 Personal Services, Coded to Special Identification, 10010
This appropriation is used only for actual direct personal services.
These are personal service costs incurred in an employer-employee
relationship, thus all expenses chargeable to this appropriation must be
on a state payroll. Contractual services not on a state payroll may not be
charged to this appropriation. The state payroll may be either the
agency's own payroll or, if a transfer between state agencies, on the
payroll of the creditor agency.
Fringe benefits in the nature of vacation pay, holiday pay, overtime
and shift differential which are normally included in gross compensation
are also charged to this appropriation. All other fringe benefits such as
health costs, employer's portion of Social Security, life insurance, etc.
which are normally not included in gross compensation may not be charged
to this appropriation.
The expenditure accounts for Personal Services expenditures will always
be in 50xxx series. For a full listing of expenditure accounts to be used
for personal services see:
2.2.2 Other Expenses, 10020
This appropriation is used for the operating expenses of the agency as
well as all miscellaneous purposes not included in some other
appropriation. The items charged to this appropriation are those under the
headings of contractual services, commodities (supplies) and sundry
The appropriation is not to be used for personal services, equipment,
grant awards or capital outlays.
The accounts for Other Expenses expenditures will always be in the
51xxx, 52xxx, 53xxx, 54xxx, or 55xxx series. For a full listing of
expenditure accounts see:
All revenue refunds to a budgeted fund should be coded to SID 18010 -
Revenue to the State.
2.2.3 Equipment, 10050
This appropriation is used for the purchase of items which meet the
definition of equipment. Included are payments under installment purchase
agreements and capital leases.
An expenditure account in the 55xxx will be used for these
expenditures. For a full listing see:
2.2.4 Minor Capital Projects, 10070-For DOT use with Fund 12001
This appropriation is used by the Department of Transportation for the
purchase and construction of all lands and structures. Major repairs,
which in "commercial accounting" would be "capitalized" are also
chargeable to this appropriation. CGS Section 4-69 Item (13) presents an
official definition and reads, "'Capital Outlay' means expenditures which
result in the acquisition of additions to fixed assets".
2.2.5 Highway & Bridge Renewal Equipment, 10080-For DOT use with Fund
This appropriation is used by the Department of Transportation for the
purchase of equipment when the General Assembly appropriates funds for
these specific capital equipment purchases.
2.2.6 Transit Equipment, 10090-For DOT use with Fund 12001
This appropriation is used by the Department of Transportation for the
purchase of transit equipment when the General Assembly appropriates funds
for these purchases.
2.3 Numbering Schema
2.3.1 SIDs - 12000s Specific Appropriations
These appropriations are used for particular programs or projects that
the General Assembly identifies. Each appropriation is assigned a distinct
2.3.2 SIDs - 16000s Grants & Payments - Other Than Local Governments
These appropriations are used for specific line item appropriations.
With limited exceptions these are intended as state aid grants to
individuals, organizations and other state units, but not to local
governments. Unless there is a specific authority to the contrary, this
appropriation is to be used only for state aid grants.
The expenditure accounts will normally be in the 55000s series. IRS
reportable payments for Medical Services should be coded to 51245 and
2.3.3 SIDs - 17000s Grants & Payments - Local Governments
These appropriations are used for state aid grants. The unit of local
government is any unit listed in the Miscellaneous Section under Local
Government Codes. The legislature may appropriate funds for other uses,
and those are the only exceptions allowed in this series.
The expenditure accounts, unless there is specific authority to the
contrary, will be 55070 and 55080.
The Department of Education, in accordance with statute, may make
expenditures for administrative expenses. The amount is restricted and
that amount will be transferred from the 17XXX coding to a 12XXX type
The Department of Transportation under the authority of CGS Section
13-175e may, in addition to actual expenditures to local governments, make
expenditures on behalf of such local governments.
2.3.4 SIDs - 18000s Revenues
SID18010 is the only SID in the 18000 series. It is used for revenue to
the state. It is a budgeted fund and not an appropriation.
2.3.5 SIDs - 20050s Federal Grants
These appropriations are used for Federal Receivable and Federal
Advanced Funded Grants. These SIDS are also used when federal money is
transferred to another state agency. The unexpended balance continues at
fiscal year end.
2.3.6 SIDs - 30000s Private Grants
For appropriations of restricted gifts, non-federal grants, donations,
and other restricted revenues which come from any source other than the
federal government (either directly or indirectly). The unexpended balance
continues at fiscal year end.
2.3.7 SIDS 34000s Non-Federal Grants
These appropriations are federal funds that are passed through directly
to a private source and then indirectly to a state Agency. The unexpended
balance continues at fiscal year end.
2.3.8 SIDs - 35100s Restricted State Accounts
These appropriations are funded from restricted gifts, non-federal
grants, donations and other than the federal government (either directly
or indirectly). These appropriations typically have a statutory reference
associated with them. The unexpended balance continues at fiscal year end.
2.3.9 SIDs - 40000s Non-Budgeted Funds
These appropriations are used for various projects or programs. These
monies are approved by the bond commission. The State Bond Commission
exists under the provisions of CGS Section 3-20. The statute designates
the ten members of the State Bond Commission as follows:" …the Governor,
the Treasurer, the Comptroller, the Attorney General, the Secretary of the
Office of Policy and Management and the Commissioner of Administrative
of whom may designate a deputy to represent him as a member at meetings of
the State Bond Commission with full powers to act and vote in his behalf,
and the co-chairpersons and the ranking minority members of the joint
standing committee of the General Assembly having cognizance of matters
relating to state finance, revenue and bonding, each of whom may designate
another member of said joint standing committee, who is not a member of
the State Bond Commission, to represent him as a member at meetings of the
State Bond Commission with full powers to act and vote in his behalf."
2.3.10 SIDs - 90000s Grant Transfers
3.1 Appropriations and Allotments
While appropriations are authorizations to incur obligations for a
particular purpose, these authorizations may not be exercised and
expenditures cannot be incurred until the authorized funds are allotted.
All appropriated funds with the exception of Debt Service and Fiduciary
Funds (Trust and Agency) require allotments, and allotments of
appropriated funds require approval by the Governor.
Generally, annual appropriations for budgeted funds are divided into
quarterly allotments based on the amounts estimated to be necessary to
carry out the purposes of such appropriation during each quarter of such
fiscal year. Prior to the start of each fiscal year, the Office of Policy
and Management provides agencies with guidance and a software tool for
allocating appropriations by quarter across the fiscal year. This
allotment plan (also called a spending plan, allocation plan, or B-1
spending plan) forms the basis for quarterly allotments of funding to
All allotments must be requested on an Allotment or Appropriation
Adjustment Request form (B-107) which is an Office of Policy and
Management form. Allotments become effective on the date approved by the
Governor except as follows:
A. Those allotments which are quarterly allotments, with the exception
of the first quarter of the fiscal year, become effective October 1,
January 1, and April 1 or the date the Governor signs such quarterly
allotment, whichever is later.
B. The first quarter allotment is effective July 1 or the date the
Governor signs such quarterly allotment, whichever is later. The first
quarter allotment may, if warranted, become effective as early as June 16,
pursuant to CGS Section 4-99.
Questions concerning the requisition and processing of allotments (up
through approval by the Governor) should be addressed to the Office of
Policy and Management. Questions regarding the processing of allotments
subsequent to gubernatorial approval should be addressed to the Office of
the State Comptroller.
3.2 Allotments for Non-budgeted Funds
Allotments for non-budgeted funds (all funds that do not receive an
annual appropriation from the General Assembly or which are not financed
by bond authorizations) are made from the resources or anticipated
resources of the fund involved.
To avoid excessive allotments in these funds, General Letter 185,
issued jointly by the Comptroller and the Office of Policy and Management,
provides for the following:
A. The first quarter allotment request should be reduced by the
estimated unexpended appropriation balance which will be continued from
the prior fiscal year,
B. Fourth quarter allotments should not result in the total unexpended
balance (unliquidated and unencumbered) exceeding the actual resources of
4.0 Lapsing and Continuing Appropriations
4.1 General Guidelines
Lapsing means the cancellation of all or part of the authorization to
make expenditures and/or incur liabilities which is represented by an
appropriation. Lapsing may occur at any time during the year although it
is most common at the end of a fiscal year.
Continuing (carried forward) means bringing all or part of the
unexpended balance of an appropriation forward on the appropriation ledger
of the Comptroller so that expenditures and liabilities may continue to be
incurred in the subsequent fiscal year.
In general, the following rules apply:
- Annual budgeted appropriations lapse
- Certain non-federal restricted
- Insurance recoveries continue
- Non-federal grants
- Restricted state appropriations continue
- Federal grants continue
- Non-budgeted funds continue
- Capital project funds continue
Exceptions to the above rules are made only if specifically authorized
by the General Assembly.
4.2.1 No New Appropriation, CGS 4-89(a)
Appropriations which otherwise would lapse at the close of any fiscal
year and for which no new appropriation is made in the following year may
be continued for one month to permit liquidation of obligations of the
prior fiscal year.
Since no obligations may be incurred against an appropriation without a
commitment being transmitted to the Comptroller (CGS 4-98) only the
unliquidated encumbrances balance is brought forward - the unencumbered
and unallotted balances lapse.
The continued portion of the appropriation will be for one month only
and will lapse July 31.
Since the unliquidated is continued to the new fiscal year, payments
during July should reference the new year.
4.2.2 Appropriations for Special Programs, Projects, or Studies, CGS
Appropriations for special programs, projects, or studies may be
continued by order of the Secretary of the Office of Policy and Management
if he is satisfied that the work of the program, project, or study is not
completed and will continue during the following fiscal year.
4.2.3 Appropriations for No Specific Period, CGS 4-89(d)
Appropriations which are made by the General Assembly for no specific
period (fiscal year) lapse on June 30 of the fourth year (or sooner if
certified by the agency head that it is no longer needed).
4.2.4 Specific Exceptions for Agencies or Appropriations
Some agencies and/or appropriations have various exceptions
specifically authorized by statute.
4.2.5 Grants and Insurance Recoveries
Continuing appropriations for Federal and Other than Federal Grants may
have achieved their goal and remain with a balance. If the terms of the
grant permit, these appropriations should be lapsed. If the terms do not
permit, the remaining balances should be returned. See the Grants section
for further details.
Insurance recovery appropriations are similar and a request to lapse
any unexpended balance should be submitted to Budget & Financial Analysis
if no longer needed.
4.3 Office of Policy and Management Approval
With the exception of insurance recoveries, budgeted appropriations are
continued by the Comptroller only upon agreement with the Office of Policy
and Management (OPM) that such continuance is both authorized by law and
needed for the purpose for which they were made.
Agencies should therefore notify OPM prior to June 1 of those
appropriations which they believe qualify and are needed for continuance.
If in agreement, OPM will notify the Comptroller.
4.4 Accounting for Continuing and Lapsing Appropriations and
When an appropriation lapses, all unexpended balances lapse (i.e., the
unliquidated encumbrances, unencumbered balance, and unallotted balance).
The following outlines the treatment of appropriation balances, unliquidated commitments as of June 30 and subsequent expenditures against
those commitments in the new fiscal year.
4.4.1 Continuing Appropriations
- All balances are brought forward.
- All unliquidated commitments as of June 30 are rolled forward in
- Expenditures (payments) for those unliquidated commitments will be
processed through the normal liquidation procedure.
4.4.2 Lapsing Appropriations With a New Year Appropriation
- No balances are brought forward.
- The unliquidated commitments as of June 30 are rolled forward in
Core-CT and the new year unencumbered balance is decreased.
- Expenditures (payments) will be processed through the normal
4.4.3 Lapsing Appropriations With No New Year Appropriation
- The Office of Policy and Management will notify the Comptroller if
funds can be carried forward to liquidate encumbrances.
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