Processing Supplemental Appropriations and Reductions

Overview

Applicable to

State agencies and institutions of higher education.

Policy

Senate Bill 30, 88th Legislature, Regular Session, reduced certain appropriations and made supplemental appropriations.

House Bill 2, 87th Legislature, Regular Session, reduced certain appropriations and made supplemental appropriations.

House Bill 5, 87th Legislature, 2nd Called Session, made supplemental appropriations.

House Bill 9, 87th Legislature, 2nd Called Session, made supplemental appropriations.

Senate Bill 8, 87th Legislature, 3rd Called Session, made supplemental appropriations.

The Comptroller’s office established an account in the Uniform Statewide Accounting System (USAS) for the transfer of appropriation year (AY) 23 reductions from existing appropriations.

Please refer to the HB 2 / HB 5 / HB 9 / SB 8 / SB 30 LBB ABEST/USAS Crosswalk provided by your appropriation control officer (ACO). Review program cost accounts (26 profiles) to ensure the correct relationship of program codes (D04 profiles) and appropriation numbers (20 profile).

Agencies expending supplemental appropriations on activity related to significant disaster events must establish a separate 26 profile (PCA) that infers the assigned supplemental appropriation number and PCA Group (D19 Profile) as outlined in Tracking Expenditures and Revenues Related to Natural Disaster Relief Efforts (FPP K.014).

Agencies receiving supplemental appropriations from the American Rescue Plan Act of 2021 must include the five-digit ALN number at the beginning of the Title field on the 26 Profile as outlined in Coronavirus Relief Federal Funding Accounting Policy for the State of Texas (FPP A.048).

Note: Agencies should exclude supplemental appropriations and reductions from their APS011 calculation, except when legal authority exists to include in proportionality — for example: SB 30 Sec. 9(e). Contact your ACO for specific instructions.

State agencies and institutions of higher education must complete these profiles and transactions by July 31, 2023.

Obligation and Effective End Dates

SB 30, 88th Legislature, Regular Session

Your appropriation control officer (ACO) will manage the Effective End Date (EFF END DATE) on the Appropriation Number Profile (20) for appropriations made in SB 30 as follows:

AY23 funds appropriated “in the fiscal year/biennium ending Aug. 31, 2023,” will have an effective end date of Aug. 31, 2025, and will be subject to normal Encumbrance Report and Lapsing of Appropriations (APS 018) (FPP A.019) requirements; unobligated balances must still be encumbered or accrued as of Aug. 31, 2023. If, however, the funds were appropriated for construction purposes, the appropriation will have an effective end date of Aug. 31, 2027. These appropriations do not have unexpended balance (UB) authority.

• The EFF START DATE will be 6/9/23.
• The EFF END DATE will be 08/31/25.
• Obligated balances must be encumbered or accrued as of Aug. 31, 2023.
• Unobligated balances as of Aug. 31, 2023, must be lapsed.

AY	Start date	Encumbered and accrued by	End date	Construction end date
23	6/9/23	8/31/23	8/31/25	8/31/27

AY23 funds appropriated “for the two-year period beginning on the effective date of this Act” will have an effective end date of Aug. 31, 2025. Additionally, funds appropriated in this manner have unexpended balance (UB) authority.

Unexpended AY23 balances that are not encumbered or accrued by Aug. 31, 2023, may be moved forward to AY24. Similarly, unexpended AY24 balances that are not encumbered or accrued by Aug. 31, 2024, may be moved forward to AY25. If AY23 or AY24 balances are not encumbered, accrued or moved forward by the specified dates, they must be lapsed.

AY25 balances must be encumbered or accrued by June 8, 2025, (and each year thereafter) for an agency to continue expending those funds until Aug. 31, 2027.

• The EFF END DATE for AY23 will be 8/31/25.
• The EFF START DATE for AY24 will be 09/01/23 and the EFF END DATE will be 08/31/26.
• The EFF START DATE for AY25 will be 09/01/24 and the EFF END DATE will be 08/31/27.
• Obligated balances must be encumbered or accrued as of Aug. 31, 2023, for AY23 and Aug. 31, 2024, for AY24. Unobligated balances may be moved forward from AY23 to AY24, and from AY24 to AY25.
• Any AY23 or AY24 amounts that are not encumbered, accrued or moved forward must be lapsed by Aug. 31, 2023, for AY23 and by Aug. 31, 2024, for AY24.
• Obligated balances for AY25 must be encumbered or accrued by June 8, 2025, for an agency to record expenditures until Aug. 31, 2027.
• Unobligated balances as of June 8, 2025, for AY25 must be lapsed.

AY	Start date	Encumbered and accrued by	End date
23	6/9/23	8/31/23	8/31/25
24	9/01/23	8/31/24	8/31/26
25	9/01/24	6/8/25	8/31/27

For construction appropriations, unobligated balances may be moved forward into AY24 and AY25 but must still be encumbered or accrued as of June 8, 2025, (and each year thereafter) for the agency to continue expending until Aug. 31, 2028, (AY24) or Aug. 31, 2029, (AY25). Any balances not encumbered by June 8, 2025, will be lapsed. (The ACO will assign an Appropriation Type of 2 on the 20 Profile and will extend the effective end date as necessary to allow for obligations to post.)

• The EFF START DATE will be 09/01/23 for AY24 and 09/01/24 for AY25.
• The EFF END DATE will be 08/31/28 for AY24 and 08/31/29 for AY25.
• Obligated balances must be encumbered or accrued as of Aug. 31, 2024, for AY24 and June 8, 2025 for AY25.
• Unobligated balances as of Aug. 31, 2024, for AY24 and June 8, 2025, for AY25 must be lapsed.

AY	Start date	Encumbered and accrued by	End date
23	6/9/23	8/31/23	8/31/27
24	9/01/23	8/31/24	8/31/28
25	9/01/24	6/8/25	8/31/29

HB 2, 87th Legislature, Regular Session

Note: These funds are subject to Encumbrance Reporting and Lapsing of Appropriations (APS 018) (FPP A.019) requirements.

Your appropriation control officer (ACO) will manage the Effective End Date (EFF END DATE) on the Appropriation Number Profile (20) for appropriations made in HB 2 as follows:

AY23 balances have been encumbered or accrued by June 17, 2023, (and each year thereafter) for an agency to continue expending those funds until Aug. 31, 2025.

• The EFF END DATE for AY21 will be 08/31/23.
• The EFF START DATE for AY22 will be 09/01/21 and the EFF END DATE will be 08/31/24.
• The EFF START DATE for AY23 will be 09/01/22 and the EFF END DATE will be 08/31/25.
• Obligated balances must be encumbered or accrued as of Aug. 31, 2021, for AY21 and Aug. 31, 2022, for AY22. Unobligated balances may be moved forward from AY21 to AY22, and from AY22 to AY23.
• Any AY21 or AY22 amounts that are not encumbered, accrued, or moved forward must be lapsed by Aug. 31, 2021, for AY21 and by Aug. 31, 2022, for AY22.
• Obligated balances for AY23 must be encumbered or accrued by June 17, 2023, for an agency to record expenditures until Aug. 31, 2025.
• Unobligated balances as of June 17, 2023, for AY23 must be lapsed.

Funds in AY	Start date	Encumbered and accrued by	End date
21	06/18/21	8/31/21	8/31/23
22	9/01/21	8/31/22	8/31/24
23	9/01/22	6/17/23	8/31/25

For construction appropriations, unobligated balances may be moved forward into AY22 and AY23 but must have been encumbered or accrued as of June 17, 2023, (and each year thereafter) for the agency to continue expending until Aug. 31, 2026, (AY22) or Aug. 31, 2027, (AY23). Any balances not encumbered by June 17, 2023, will have been lapsed. (The ACO will assign an Appropriation Type of 2 on the 20 Profile, and will extend the effective end date as necessary to allow for obligations to post.)

• The EFF START DATE will be 09/01/21 for AY22 and 09/01/22 for AY23.
• The EFF END DATE will be 08/31/26 for AY22 and 08/31/27 for AY23.
• Obligated balances must be encumbered or accrued as of Aug. 31, 2022 for AY22 and June 17, 2023 for AY23.
• Unobligated balances as of Aug. 31, 2022 for AY22 and June 17, 2023 for AY23, must be lapsed.

AY	Construction start date	Encumbered and accrued by	Construction end date
21	6/18/21	8/31/21	8/31/25
22	9/01/21	8/31/22	8/31/26
23	9/01/22	6/17/23	8/31/27

Note: Appropriations made by HB 2, 87th Legislature, Regular Session are subject to the transfer limitations in GAA, Article IX, Part 14 per HB 2 Section 65.

HB 5, 87th Legislature, 2nd Called Session

Note: These funds are subject to Encumbrance Reporting and Lapsing of Appropriations (APS 018) (FPP A.019) requirements.

Your appropriation control officer (ACO) will manage the Effective End Date (EFF END DATE) on the Appropriation Number Profile (20) for appropriations made in HB 5 as follows:

AY22 funds appropriated will have an effective end date of Aug. 31, 2024, and will be subject to normal Encumbrance Reporting and Lapsing of Appropriations (APS 018) (FPP A.019) requirements, unobligated balances must still be encumbered or accrued as of Aug. 31, 2022. If, however, the funds were appropriated for construction purposes, the appropriation will have an effective end date of Aug. 31, 2026. These appropriations have UB authority if appropriated for the “state fiscal biennium” or if section states “unexpended balance” authority.

• The EFF START DATE will be 09/17/21.
• The EFF END DATE will be 08/31/24.
• Obligated balances must be encumbered or accrued as of Aug. 31, 2022.
• Unobligated balances as of Aug. 31, 2022, must be lapsed or UB’d to AY23.

AY	Start date	Encumbered and accrued by	End date	Construction end date
22	9/17/21	8/31/22	8/31/24	8/31/26
23	9/1/22	8/31/23	8/31/25	8/31/27

For construction appropriations, unobligated balances may be moved forward into AY23 but must still be encumbered or accrued as of Aug. 31, 2023, for the agency to continue expending until Aug. 31, 2026, (AY22) or Aug. 31, 2027, (AY23). The EFF START DATE will be 09/17/21 for AY22 and 09/01/22 for AY23.

• The EFF END DATE will be 08/31/26 for AY22 and 08/31/27 for AY23.
• Obligated balances must be encumbered or accrued as of Aug. 31, 2022, for AY22 and Aug. 31, 2023, for AY23.
• Unobligated balances as of Aug. 31, 2022, for AY22 and Aug. 31, 2023, for AY23 must be lapsed.

AY	Construction start date	Encumbered and accrued by	Construction end date
22	9/17/21	8/31/22	8/31/26
23	9/01/22	8/31/23	8/31/27

Note: Appropriations must not be transferred in or out of the supplemental appropriations; however, agencies may transfer expenditures into supplemental appropriations.

HB 9, 87th Legislature, 2nd Called Session

Note: These funds are subject to Encumbrance Reporting and Lapsing of Appropriations (APS 018) (FPP A.019) requirements.

Your appropriation control officer (ACO) will manage the Effective End Date (EFF END DATE) on the Appropriation Number Profile (20) for appropriations made in HB 9 as follows:

AY22 funds appropriated “for the two-year period beginning on the effective date of this Act” will have an effective end date of Aug. 31, 2024. Additionally, funds appropriated in this manner have unexpended balance (UB) authority.

Unexpended AY22 balances that are not encumbered or accrued by Aug. 31, 2022, may be moved forward to AY23. Similarly, unexpended AY23 balances that are not encumbered or accrued by Aug. 31, 2023, may be moved forward to AY24. If AY22 or AY23 balances are not encumbered, accrued, or moved forward by the specified dates, they must be lapsed.

AY24 balances must be encumbered or accrued by Nov. 7, 2023, (and each year thereafter) for an agency to continue expending those funds until Aug. 31, 2026.

• The EFF END DATE for AY22 will be 08/31/24.
• The EFF START DATE for AY23 will be 09/01/22 and the EFF END DATE will be 08/31/25.
• The EFF START DATE for AY24 will be 09/01/23 and the EFF END DATE will be 08/31/26.
• Obligated balances must be encumbered or accrued as of Aug. 31, 2022, for AY22 and Aug. 31, 2023, for AY23. Unobligated balances may be moved forward from AY22 to AY23, and from AY23 to AY24.
• Any AY22 or AY23 amounts that are not encumbered, accrued, or moved forward must by lapsed by Aug. 31, 2022, for AY22 and by Aug. 31, 2023, for AY23.
• Obligated balances for AY24 must be encumbered or accrued by Sept. 16, 2023, for an agency to record expenditures until Aug. 31, 2026.
• Unobligated balances as of Sept. 16, 2023, for AY24 must be lapsed.

Funds in AY	Start date	Encumbered and accrued by	End date
22	9/17/21	8/31/22	8/31/24
23	9/01/22	8/31/23	8/31/25
24	9/01/23	9/16/23	8/31/26

For construction appropriations, unobligated balances may be moved forward into AY23 and AY24 but must still be encumbered or accrued as of Sept. 16, 2023, (and each year thereafter) for the agency to continue expending until Aug. 31, 2026, (AY22) or Aug. 31, 2027, (AY23). Any balances not encumbered by Sept. 16, 2023, will be lapsed. (The ACO will assign an Appropriation Type of 2 on the 20 Profile and will extend the effective end date as necessary to allow for obligations to post.)

• The EFF START DATE will be 09/01/22 for AY23 and 09/01/24 for AY24.
• The EFF END DATE will be 08/31/27 for AY23 and 08/31/28 for AY24.
• Obligated balances must be encumbered or accrued as of Aug. 31, 2023, for AY23 and Sept. 16, 2023, for AY24.
• Unobligated balances as of Aug. 31, 2023, for AY23 and Sept. 16, 2023, for AY24 must be lapsed.

AY	Construction start date	Encumbered and accrued by	Construction end date
22	9/17/21	8/31/22	8/31/26
23	9/01/22	8/31/23	8/31/27
24	9/01/23	9/16/23	8/31/28

Note: Appropriations must not be transferred in or out of the supplemental appropriations; however, agencies may transfer expenditures into supplemental appropriations.

SB 8, 87th Legislature, 3rd Called Session

Note: These funds are subject to Encumbrance Reporting and Lapsing of Appropriations (APS 018) (FPP A.019) requirements.

Your appropriation control officer (ACO) will manage the Effective End Date (EFF END DATE) on the Appropriation Number Profile (20) for appropriations made in SB 8 as follows:

AY22 funds appropriated “in the state fiscal year beginning Sept. 1, 2021,” will have an effective end date of Aug. 31, 2024, and will be subject to normal Encumbrance Reporting and Lapsing of Appropriations (APS 018) (FPP A.019) requirements; unobligated balances must still be encumbered or accrued as of Aug. 31, 2022. If, however, the funds were appropriated for construction purposes, the appropriation will have an effective end date of Aug. 31, 2026. These appropriations do not have UB authority.

• The EFF START DATE will be 11/08/21.
• The EFF END DATE will be 08/31/24.
• Obligated balances must be encumbered or accrued as of Aug. 31, 2022.
• Unobligated balances as of Aug. 31, 2022, must be lapsed.

AY	Start date	Encumbered and accrued by	End date	Construction end date
22	11/08/21	8/31/22	8/31/24	8/31/26

AY22 funds appropriated “for the two-year period beginning on the effective date of this Act” will have an effective end date of Aug. 31, 2024. Additionally, funds appropriated in this manner have unexpended balance (UB) authority.

Unexpended AY22 balances that are not encumbered or accrued by Aug. 31, 2022, may be moved forward to AY23. Similarly, unexpended AY23 balances that are not encumbered or accrued by Aug. 31, 2023, may be moved forward to AY24. If AY22 or AY23 balances are not encumbered, accrued, or moved forward by the specified dates, they must be lapsed.

AY24 balances must be encumbered or accrued by Nov. 7, 2023, (and each year thereafter) for an agency to continue expending those funds until Aug. 31, 2026.

• The EFF END DATE for AY22 will be 08/31/24.
• The EFF START DATE for AY23 will be 09/01/22 and the EFF END DATE will be 08/31/25.
• The EFF START DATE for AY24 will be 09/01/23 and the EFF END DATE will be 08/31/26.
• Obligated balances must be encumbered or accrued as of Aug. 31, 2022, for AY22 and Aug. 31, 2023, for AY23. Unobligated balances may be moved forward from AY22 to AY23 and from AY23 to AY24.
• Any AY22 or AY23 amounts that are not encumbered, accrued, or moved forward must by lapsed by Aug. 31, 2022, for AY22 and by Aug. 31, 2023, for AY23.
• Obligated balances for AY24 must be encumbered or accrued by Nov. 7, 2023, for an agency to record expenditures until Aug. 31, 2026.
• Unobligated balances as of Nov. 7, 2023, for AY24 must be lapsed.

Funds in AY	Start date	Encumbered and accrued by	End date
22	11/08/21	8/31/22	8/31/24
23	9/01/22	8/31/23	8/31/25
24	9/01/23	11/07/23	8/31/26

To comply with the federal rule implementing the Coronavirus State Fiscal Recovery Fund established under the American Rescue Plan Act (Regulation ID Number [RIN] 1505–AC77 PDF), construction appropriations must have an effective end date of or before Dec. 31, 2026. Unobligated balances may be moved forward from AY22 into AY23 and AY24 but must still be encumbered or accrued by the dates prescribed in the chart below for the agency to continue expending until Aug. 31, 2026, (AY22) or Dec. 31, 2026, (AY23 and AY24). Any balances not encumbered by Nov. 7, 2023, will be lapsed. (The ACO will assign an Appropriation Type of 2 on the 20 Profile and will extend the effective end date as necessary to allow for obligations to post.)

• The EFF START DATE will be 09/01/22 for AY23 and 09/01/24 for AY24.
• The EFF END DATE will be 12/31/26 for AY23 and AY24.
• Obligated balances must be encumbered or accrued as of Aug. 31, 2023, for AY23 and Nov. 7, 2023, for AY24.
• Unobligated balances as of Aug. 31, 2023, for AY23 and Nov. 7, 2023, for AY24 must be lapsed.

AY	Construction start date	Encumbered and accrued by	Construction end date
22	11/08/21	8/31/22	8/31/26
23	9/01/22	8/31/23	12/31/26
24	9/01/23	11/07/23	12/31/26

Note: Appropriations made by SB 8, 87th Legislature, 3rd Called Session are subject to the transfer limitations in GAA, Article IX, Part 14 per SB 8 Section 52.

Instructions for Processing AY23 Reduction Transactions

USAS Instructions

Step	Action
1	Verify the appropriation number (38XXX, where XXX is the number in SB 30) assigned as the receiving account for the supplemental budget has been created on the Appropriation Number Profile (20) screen with the designated AY and effective date. This appropriation number should match the number that was provided to the agency on the crosswalk.
2	Agencies must establish program cost accounts (PCAs) that infer the direct strategy (program code) from which the reduction will be transferred. Multiple PCAs may be established for the reduction account, if combinations of direct strategies, program codes and funding sources are needed. Create a PCA on the Program Cost Account Profile (26) screen with the following elements: AGENCY = assigned three-digit number APPN YEAR = 23 TYPE = D TITLE = SB 30 Reduction Account PROGRAM CODE = XXXX (Same as direct strategy where reduction is originally appropriated in the GAA.) This program code must roll up to the strategy listed on the crosswalk that was provided by the ACO PCA Group = PCA group number(s) should be added to any PCA that will have significant disaster events as outlined in FPP K.014 AGY BUD PRG LEVEL IND = This value (0–9) should be the same for all PCAs within an appropriation year (AY) APPN NUMB = 38XXX (Appn Reduction SB 30 Sec XX) FUND = D23 Fund that infers the correct GR or GR-D Appropriated Fund
3a	How to Transfer Budget into Appn 38XXX Process committed budget transfer using the following coding instructions: Batch Type 1 Doc Type A T-code 012 (appropriation transfers out for each appropriation to be reduced) T-code 018 (appropriation transfers into Appn 38XXX)
3b	Process collected budget transfer using the following coding instructions: Batch Type 1 Doc Type A T-codes 015 and 012 (appropriation transfers out for each appropriation to be reduced) T-codes 018 and 021 (appropriation transfers into Appn 38XXX) Also, for a collected budget, process cash or revenue transfers using the following coding instructions: Batch Type 5 Doc Type J If cash was received as revenue, use: T-code 406 (comptroller object 3970) for appropriations where revenue was received –AND– T-code 405 (comptroller object 3970) into Appn 00000 If cash was received as a cash operating transfer, use: T-code 404 (comptroller object 7968) for the appropriation where the operating transfer was received –AND– T-code 403 (comptroller object 3968) into Appn 00000 –OR– If cash was originally transferred into the direct strategy from Appn 00000, a document may be entered to reverse the original transfer back to Appn 00000.
4	Email copies of processed transfer vouchers to your ACO.

CAPPS Instructions

In addition to the USAS instructions above, CAPPS agencies that track Appropriation 38XXX in CAPPS have two options:

• Make the USAS entries directly into USAS using the coding block shown above. Then do manual general ledger journal entries into CAPPS for the Revenue and Cash transfers using a manual (MAN) T-code. A manual budget transfer entry can be done in Commitment Control.

  –OR–

• Make the general ledger journal entry into CAPPS using the coding block shown above for the Revenue and Cash transfers. After the budget entry is done in USAS, a manual budget entry can be done in Commitment Control.

For CAPPS questions, please contact your agency’s CAPPS support staff. Authorized agency support staff may contact the CAPPS Help Desk at (512) 463-2277 for additional assistance.

Instructions for Processing AY23/AY24 Supplemental Appropriation Transactions

USAS Instructions

Step	Action
1	Verify the appropriation number (38XXX, where XXX is the number in  SB 30) assigned as the receiving account for the supplemental budget has been created on the Appropriation Number Profile (20) screen with the designated AY, COBJs and effective date.
2	Agencies must establish program cost accounts (PCAs) that infer the direct strategy (program code) for which the appropriation will be established. Multiple PCAs may be established for an appropriation, if combinations of direct strategies, program codes and funding sources are needed. Create a PCA on the Program Cost Account Profile (26) screen with the following elements: AGENCY = assigned three-digit number APPN YEAR = 23 or 24 TYPE = D TITLE = defined by agency, should relate section title in SB 30 PROGRAM CODE = XXXX This program code must roll up to the strategy listed on the crosswalk that was provided by the appropriation control officer PCA Group = PCA group number(s) should be added to any PCA that will have significant disaster events as outlined in FPP K.014 AGY BUD PRG LEVEL IND = This value (0–9) should be the same for all PCAs within an appropriation year (AY) APPN NUMB = 38XXX (Appn SB 30, Sec XX) listed on crosswalk FUND = D23 Fund that infers the correct GR or GR-D Appropriated Fund
3	Establish supplemental budgets in appropriation 38XXX using coding block 3a or 3b:
3a	Committed appropriation Batch Type 1 Doc Type B T-code 001 PCA: Determined by agency –OR–
3b	Collected appropriation Batch Type 1 Doc Type B T-code 001 T-code 003 PCA: Determined by agency
4	Email copies of all vouchers to your ACO who will then approve the batch in USAS.

CAPPS Instructions

CAPPS agencies that track Appropriation 38XXX in CAPPS will need to follow the USAS instructions above. A manual budget entry can then be entered into CAPPS for the original expenditure budget.

Additional Instructions for Outstanding SB 500 (86th Legislature, Regular Session) Transactions

For construction appropriations, unobligated balances must have been encumbered or accrued as of June 5, 2021, (and each year thereafter) for the agency to continue expending until Aug. 31, 2025, (AY21). Any balances not encumbered by June 6, 2021, have been lapsed. (The ACO will assign an Appropriation Type of 2 on the 20 Profile and will extend the effective end date as necessary to allow for obligations to post.)

• The EFF START DATE will be 09/01/20 for AY21 and the EFF END DATE will be 08/31/25 for AY21.
• Obligated balances must be encumbered or accrued as June 5, 2021, for AY21.

Funds in AY	Construction start date	Encumbered and accrued by	Construction end date
21	9/01/20	6/05/21	8/31/25

Note: Appropriations must not be transferred in or out of the supplemental appropriations; however, agencies may transfer expenditures into supplemental appropriations.