Contract Authority
9 definitions

Contract Authority
Contract authority means the statutory language that authorizes an agency to incur an obligation without the need for a prior appropriation or further action from Congress and which, when exercised, creates a binding obligation on the United States for which Congress must make subsequent liquidating appropriations.
Contract Authority
Authority provided by law to enter into contracts or incur other obligations in advance of, or in excess of, funds available for that purpose. Although contract authority is a form of budget authority, it does not provide the funds to make payments. Those funds must be provided later, usually in a subsequent appropriation act (called a liquidating appropriation). Contract authority differs from a federal agency’s inherent authority to enter into contracts, which may be exercised only within the limits of available appropriations.
Contract Authority

Contract Authority. Budget authority that permits an agency to incurobligations in advance of appropriations, including collections sufficient to liquidate the obligation or receipts. Contract authority is unfunded, and a subsequent appropriation or offsetting collection is needed to liquidate the obligations. The Food and Forage Act (41 U.S.C. § 11) and the Price Anderson Act (42 U.S.C. § 2210) are examples of such authority. 

Contract Authority

A form of Budget Authority that permits obligations to be made in advance of appropriations. Most of the programs under the Federal-Aid Highway Program operate under Contract Authority.

Contract Authority

A form of budget authority that permits obligations to be made in advance of appropriations or receipts. Contract authority therefore is unfunded and requires a subsequent appropriation or offsetting collection to liquidate (pay) the obligations. The federal-aid highway program has operated under contract authority since 1921.

Contract Authority

Statutory authority to incur obligations but with liquidation of obligations dependent upon future actions of the Congress.

Contract Authority

Contract authority is a form of budget authority which permits obligations to be made in advance of appropriations. The federal-aid highway program utilizes contract authority.

Contract Authority

Statutory authority, not necessarily provided through the appropriations process, that permits Federal agencies to enter into contracts or incur other obligations in advance of an appropriation.

Contract Authority

The maximum annual payment by HUD to a PHA for a funding increment.

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About this term

Contract Authority has been defined 9 different ways in documents like Electronic Code of Federal Regulations, Title 23, Part 1200, Subpart A, Congressional Budget Office Glossary of Terms, A Glossary of Terms Used in the Federal Budget Process, and 6 more.

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