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A. The Budget and Accounting Act of 1921

(42 Stat. 20)

This act was the result of the enactment of S. 1084, 67th Congress. It was approved on June 10, 1921, as Public Law 13, 67th Congress. The text of this public law appears in volume 42, Statutes at Large, pages 20-27. The provisions of this act are codified as 31 United States Code, section 1 et seq. A. LEGISLATIVE HISTORY OF PUBLIC LAW 13, 67TH CONGRESS


(Page references are to vol. 61, Congressional Record) S. 1084: To provide a national budget system and an independent audit of Government accounts, and for other purposes. Mr. McCormick; Committee on Expenditures in the Executive Departments, 595. Reported back, 595. No written report. Debated, 657. Amended and passed Senate, 662. Made special order (see H. Res. 74), 974. Debated, 980–999, 1074, 8217. Amended and passed House, 1093. House insists upon its amendments to the Senate bill and asks for conference, 1093. Conferees appointed, 1093, 1122. Senate disagrees to House amendment, agrees to conference, 1122. Conference report submitted in Senate (S. Doc. 15), 1723, 1783. And agreed to, 1783. Conference report submitted in House (S. Doc. 15), 1768, 1851. Debated and agreed to, 1851-1859. Examined and signed, 1932, 1940. Approved by the President (Public Law 13), 2500.



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June 10, 1921.

18. 1061 Public, No. 18.]

CHAP. 18.-An Act To provide a national budget system and as indepeadest audit of Government accounts, and for other purposes.

Be it enacted by the Senate and House of Representatives of the United

States of America in Congress assembled, B111get and so counting Act, 1921.


SECTION 1. This Act may be cited as the “Budget and Accounting

Act, 1921." Mending of terros.

Seo. 2. When used in this Act "Domariment establishment." The terms "department and establishment" and "department or

establishment” mean any executive department, independent comCongrass and

mission, board, bureau, office, agency, or other establishment of the preme Court, not lo- Government, including the municipal government of the District

of Columbia, but do not include the Legislative Branch of the Gove

ernment or the Supreme Court of the United States; "The Budget."

The term “the Budget” means the Budget required by section

201 to be transmitted to Congress; "Bureau.” "Director."

The term “Bureau" means the Bureau of the Budget;

The term “Director" means the Director of the Bureau of the

Budget; and

The term "Assistant Director" means the Assistant Director of

the Bureau of the Budget. The Budget.

TITLE II.-THE BUDGET. President to send, annually to Congress.

Seo. 201. The President shall transmit to Congress on the first day of each regular session, the Budget, which shall set forth in summary and in detail:

(a) Estimates of the expenditures and appropriations necessary ditures and approprie in his judgment for the support of the Government for the ensuing

for For Congress and fiscal year; except that the estimates for such year for the Legisby promo Court with. lative Branch of the Government and the Supreme Court of the out rovision

United States shall be transmitted to the President on or before
October 18th of each year, and shall be included by him in the

Budgot without revision;
Estimates of recelpts
for ensuing year.

(b) His estimates of the receipts of the Government during the ensuing fiscal year, under (1) laws existing at the time the Budget is transmitted and also (2) under the revenue proposals, if any,

contained in the Budget; Exponditures and re

(c) The expenditures and receipts of the Government during the last completed fiscal year;

(d) Estimates of the expenditures and receipts of the Government during the fiscal year in progress;

(e) The amount of annual, permanent, or other appropriations, fent roar for expends including balances of appropriations for prior fiscal years, available

for expenditure during the fiscal year in progress, as of November 1 of such year;

(1) Balanced statements of (1) the condition of the Treasury at mount and the end of the last completed fiscal year, (2) the estimated condition rent .

of the Treasury at the end of the fiscal year in progress, and (3)

Estimates of expen-

ceipts of tho last year.

Estimates of experditures and receipts of current year.

Amount available Novom hor Arst of cur


Cmditlm of The ury at ond of last year,


less than


Aclency astimatos


the potimialad condition of the Treasury at the end of the ensuing fiscal year if the inancial proposals sentHIHAH In the Budget are adopted;

Movernment indebit (g) All essential facts regarding the bonded and other indebted- odnose nces of the Government; and Th) Such other finanoinl statements and data as in his opinion are cial condition.

Other data of Nnaunecessary or desirablo in ordor to mako known in all practicablo dotail the financial condition of the Government.

SEO. 202. (a) If the estimated receipts for the ensuing fiscal year to meet donciency all! contnined in the Budget, on the basis of laws existing at the time otimated resourco the Budget is transmitted, plus tho estimated amounts in the Treas- penditures ury at the close of the fiscal year in progress, available for expenditure in the ensuing fiscal year, are less than the estimated expenditures for the ensuing fiscal year contained in the Budget, the President in the Budget shall make recommendations to Congress for new taxes, loans, or other appropriate action to meet the estimated deficiency: (b) If the aggregate of such estimated receipts and such estimated propased ox penditures

Recommendations amounts in the Treasury is greater than such estimated expenditures for the ensuing cal year, he shall make

ich recommendations as in his opinion the public interests require.

Sec. 203. (a) The President from time to time may transmit to achupplemental or do Congress supplemental or deficiency estimates for such appropria- thorized to met nocer tions or expenditures as in his judgment (1) are necessary on account of laws enacted after the transmission of the Budget, or (2) are other

Reasons for, to mo wise in the public interest. He shall accompany such estimates with a statement of the reasons therefor, including the reasons for their omission from the Budget.

Recommendations il (b) Whenever such supplemental or deficiency estimates reach an exceeding estimated ra aggregato which, if they had been contained in the Budget, would havo required the President to make a recommendation under subdivision (a) of section 202, he shall thereupon make such recommendation.

Seo. 204. (a) Except as otherwise provided in this Act, the men is more estimates contents, order, and arrangement of the estimates of appropriations etc., continued. and the statements of expenditures and estimated expenditures contained in the Budget or transmitted under section 203, and the notes and other data submitted therewith, shall conform to the requirements of existing law.

(b) Estimates for lump-sum appropriations contained in the company lump sum Budget or transmitted under section 203 shall be accompanied by statements showing, in such detail and form as may be necessary to inform Congress, the manner of expenditure of such appropriations and of the corresponding appropriations for the fiscal year in progress In llou of present ro and the last completed Nucal year. Such statements shall be in liou quirements. of stntements of like character now required by law.

Alternativo budget SEO. 205. The President, in addition to the Budget, shall transmit for fiscal year 182, to to Congress on the first Monday in December, 1921, for the service of the fiscal year ending. June 30, 1923, only, an alternative budget, Form, recommende which shall be prepared in such form and amounts and according to tlons, etc. such system of classification and itemization as is, in his opinion, most appropriate, with such explanatory notes and tables as may be Decessary to show where the various items embraced in the Budget aro contained in such alternative budget.

Seo. 206. No estimate or request for an appropriation and no misson colombot Imatro, request for an increase in an item of any such estimate or request, etc., by other access or and no recommendation as to how the revenue needs of the Govern

employees. ment should be met, shall be submitted to Congress or any committee thereof by any officer or employee of any department or establishment, unless at the request of either House of Congress.

Btatements to BO


be submitted.

Restriction on sube Rynge for the atéria Preasury partment,

ant Director for.

Transfer of Fodoral employ os permitted

A#4, 209, Tauro la horoby BroatHH in the TFAHRUHY Dapat MEHE

Bureau to be known as the Bureau of the Budget. There shall be in bortor and Assist the Bureau a Director and an Assistant Director, who shall be ap

pointed by the President and receive salaries of $10,000 and $7,500 a Derties of Assistant Director.

year, respectively. The Assistant Director shall perform such duties as the Director may designate, and during the absence or incapacity of

the Director or during a vacancy in the office of Director he shall act Functlone ol Burean. as Director. The Bureau, under such rules and regulations as the

President may prescribe, shall prepare for him the Budget, the alternative Budget, and any supplemental or deficiency estimates, and to this end shall have authority to assemble, correlato, revise, reduce, or increase the estimates of the several departments or

establishments. Authority of Direen tor over personnel, ¢.

SEO. 208. (a) The Director, under such rules and regulations as the Panse, oto. President may prescribe, shall appoint and fix the compensation of

attorneys and other employees and make expenditures for rent in the District of Columbia, printing, binding, telegrams, telephone service, law books, books of reference, periodicals, stationery, furniture, office equipment, other supplies, and necessary expenses of the

office, within the appropriations made therefor. Pay restriction.

(b) No person appointed by the Director shall be paid a salary at a rate in excess of $6,000 a year, and not more than four persons

so appointed shall be paid a salary at a rate in excess of $5,000 a year. Application of civil mer vlce laws, etc. (c) All employees in the Bureau whose compensation is at a rate

of $5,000 a year or less shall be appointed in accordance with the civil-service laws and regulations.

(d) The provisions of law prohibiting the transfer of employees of until June 30, 1922. executive departments and independent establishments untîl after Vol. 34, p. 449. service of three years shall not apply during the fiscal years ending

June 30, 1921, and June 30, 1922, to the transfer of employees to the Bureau.

(e) The Bureau shall not be construed to be a bureau or office created since January 1, 1916, so as to deprive employees therein of the additional compensation allowed civilian employees under the provisions of section 6 of the Legislative, Executive, and Judicial Appropriation Act for the fiscal years ending June 30, 1921, and

June 30, 1922, if otherwise entitled thereto.
Detalled study by
Bureau for securing

Sec. 209. The Bureau, when directed by the President, shall efficiency Bricoter crocanomy and make a detailed study of the departments and establishments for

the purpose of enabling the President to determine what changes (with a view of securing greater economy and efficiency in the conduct of the public service) should be made in (1) the existing organization, activities, and methods of business of such departments or establishments, (2) the appropriations therefor, (3) the assignment

of particular activities to particular services, or (4) the regrouping Report to President

of services. The results of such study shall be embodied in a reriscansmittal to Com- port or reports to the President, who may transmit to Congress

such report or reports or any part thereof with his recommenda

tions on the matters covered thereby. Laws relating to pre paring rocelpts and ox.

Seo. 210. The Bureau shall prepare for the President a codificapenditures and ostition of all laws or parts of laws relating to the preparation and instes for Congrosa to hacotines transmission to Congress of statements of receipts and expendi

Trahislenthe free tures of the Government and of estimates of appropriatlofig.' The dations for change, President shall transmit the same to Congress on or before the first

Monday in December, 1921, with a recommendation as to the changes which, in his opinion, should be made in such laws or parts

of laws. Estimates to becom- Seo. 211. The powers and duties relating to the compiling of R. 8., 100. 3869, p. estimates now conferred and imposed upon the Division of Bookkeeping and Warrants

of the office of tho Secretary of the Treasury are transferred to the Bureau.

Bureau employons allowed additional pay of $240 8 year.

Vol. 41, pp. 859, 1309.


of results.

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