What year do the funds awarded in FY16 expense against? FY16 or FY17?
The Military Interdepartmental Purchase Request (MIPR) is a method for transferring funds by one military organization to another to procure services, supplies, or equipment for the requiring service. The MIPR (DD Form 448) may be accepted on a direct citation or reimbursable basis and is defined in the Defense Federal Acquisition Regulation Supplement (DFARS) 253.208-2.
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An expenditure is an actual payment of funds when checks are issued or cash is disbursed for work performed that liquidates the outstanding obligation associated with that work.
You must comply with the criteria for the specified appropriations category. Crossing fiscal years depend on the type of appropriations used. By law, 31 U.S.C. 1551-1557, appropriations are available for limited periods. An agency must incur a legal obligation to pay money within an appropriation's period of availability. If an agency fails to obligate funds before they expire, they are no longer available for new obligations (e.g., issuance of a new/basic funding document, awarding a new contract, etc.). Appropriations Acts specify time period for availability for new obligations. Differences in time periods reflect Congressional understanding of various timeframes to accomplish work. Expired funds retain their "fiscal year identity" for five years after the end of the period of availability for new obligations.
During this time, the funds are available to adjust existing obligations or to liquidate prior valid obligations. Closed Appropriations are no longer available for any purpose. An appropriation becomes "closed" five years after the end of its period of availability as defined by the applicable Appropriations Act. Once a MIPR is accepted, it is generally considered an obligation for accounting purposes. At that juncture, depending on the type of funds, R&D, Procurement, Operations and Maintenance, Construction, the clock begins running for expiration purposes.