Appropriation Year and Fiscal Year Comparison

Criteria	Appropriation Year (AY)	Fiscal Year (FY)
What it does	Budget period the expenditure/revenue should be counted in	Financial reporting period the transaction should be reported in
What it specifies	AUTHORITY to spend	FISCAL PERIOD of time
How long it lasts	Sept.1 to Aug. 31 for depositing and spending But AYs can be used to charge a purchase for two additional FYs beyond the original AY for standard appropriations and up to four additional FYs beyond the original AY for construction appropriations until the funds are: Spent Encumbered and spent –OR– Lapsed	Sept.1 to Aug. 31 (or Aug. 32 to post to the year-end adjustment period)
What the rules are	The General Appropriations Act Appropriation Year Determination in eXpendit (FPP I.005) Fiscal Policies and Procedures (FPPs) Available balances	Reporting Requirements for Annual Financial Reports (FPP A.036) Uniform Statewide Accounting System (USAS) open and closed periods per USAS Annual Close Process (FPP Q.004)
Where it usually counts most	Establishing Appropriations by Method of Finance, Rider, Capital Budget and Transfer Schedules (FPP A.020) Encumbrance Reporting and Lapsing of Appropriations (APS 018) (FPP A.019) Other Accounting Policy Statements (APSs) and budget or expenditure FPPs	State of Texas Annual Cash Report State of Texas Comprehensive Annual Financial Report