U.S. Department
of Justice
Obligation of Revolving Funds Requiring Reimbursement from Time-Limited Funds Under the Anti-Deficiency Act
Date of Issuance:
Headnotes
The Anti-Deficiency Act prohibits an agency from awarding a severable services contract that lasts longer than one year and obligates revolving funds that must be reimbursed with time-limited funds.
The Anti-Deficiency Act violation caused by awarding such a contract is not undone by subsequently modifying the contract’s term so as not to exceed one year.
Updated February 25, 2021