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  • Question

    I've scoured the FAR and Redbook and cannot find the citing that states the individual CLIN must have funding before work is authorized or performed. Can you point me in the right direction?


    Answer

    In the Principles of Appropriations Law (GAO Redbook), Vol. I Chapter 5 discusses the legal availability and time constraints of appropriations.  The language is clear that monies should be obligated only to satisfy the legitimate needs of the applicable fiscal year. Funds may not be obligated in advance of an appropriation. 
     
    The Bona Fide Needs Rule states "an appropriation should not be used for the purchase of an article not necessary for the use of a fiscal year in which ordered merely to use up such an appropriation".  Therefore, funds should be obligated only to meet a bona fide need in the fiscal year the appropriation was made.

    Also See answer to “Is it okay to transfer funds from an ODC CLIN to a Supply/Services CLIN” posted 4/23/2007.

    Generally, CLINs need to have appropriate funding prior to work being authorized.  The way your background is worded “mod executed to move funding….after work performed” would be a violation of the Anti-Deficiency Act.


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