December 1997


The purpose of these guidelines is to outline selected procedural and technical requirements related to the preparation of the FY 1999 Budget and supporting data base. They are designed for use by agency staff and OMB program examiners.


    General instructions concerning the preparation of appropriations language are contained in Section 31 of OMB Circular No. A-11.

    The enacted FY 1998 appropriations language, including administrative and general provisions language, has been printed on the galleys. (1) Agencies should verify that the language printed on the galley proofs agrees exactly with the appropriations acts approved by the Congress and the President. Any typographical errors or omissions (instances where the galley proofs differ from the enacted appropriations bills) should be clearly marked but not underlined or shown in brackets.

    Agencies are to submit proposed FY 1999 appropriations language by marking up (using black lead pencil) the reprinted galleys. Short inserts (not more than two or three lines) may be written or typed on the galley and underlined. Longer insertions should be typed double-spaced and underlined (either on the galleys or on a separate sheet attached to the galley). Material proposed to be deleted should be enclosed in brackets. In all cases, proposed changes must be neat, clear, and readable. Original galley proofs must be returned. Photo-reproduced copies and copies transmitted by facsimile machine are not acceptable. (See other requirements under section VI, "Printing Requirements.")

    Any errors included in the enacted bills should be corrected for printing in the FY 1999 Budget Appendix by using italics and brackets as described in the next paragraph.

    In proposing revisions to the FY 1998 appropriations language for the FY 1999 Budget, a concerted effort should be made to identify -- and to propose for deletion -- the following types of provisions:

  2. When an entire numbered section of a general provision is proposed for deletion (and not simply to be changed), it should be bracketed as described above.

    Agencies must prepare justifications of language changes for inclusion in Congressional justification material and obtain OMB clearance prior to transmittal to the Congress.

    Statutory references in the reprinted galleys have not been changed from those used in the FY 1998 Budget, except to update the citations to reflect the FY 1998 appropriations acts. A listing of the correct appropriations act citations is at Attachment A. Pursuant to section 31.4 of OMB Circular No. A-11, agencies should ensure that other statutory references specifically support the FY 1999 budget request and that generic, overly inclusive, or redundant statutory references are deleted.


    Agencies are reminded that section 30.4 of OMB Circular No. A-11 specifies that tabular statements will be stated in millions of dollars. Agencies also should modify references in narrative descriptions to millions of dollars, as appropriate.


    1. General

      The Analysis of Changes section (pages vii-ix) and the Summary of MAX line code changes of Circular A-11 (pages 1-2) are useful guides to new or altered technical requirements for preparation of the FY 1999 Budget.

      MAX data (with the exception of Schedule T) is entered in millions of dollars. (See section 30.4 of OMB Circular No. A-11.) As a result, all print schedules that are derived from MAX will also be in millions of dollars.

      Sections 20-36 of OMB Circular No. A-11 provide descriptions of the MAX schedules and instructions on their preparation.

      • Section 20.5 contains a useful and brief description of the line numbers in each schedule, what fiscal year data are required, and what A-11 sections contain more detailed instructions.

      • Exhibits 21A and 21B provide useful information on the automatic generation of outlays in MAX and the relationship between various MAX schedules, including the automatic generation of lines and schedules from data in MAX.

      • Appendix D of A-11 explains MAX edit checks for consistency among related data.

      • Appendix E of A-11 includes explanations of diagnostic reports used by OMB to check MAX data. Some of these reports are available to agencies. Appendix E also includes crosswalks that describe relationships between various MAX schedules.
    2. The MAX system will automatically calculate discretionary policy budget authority for FY 2004 thru FY 2008 for Schedule A and discretionary policy outlays from FY 1998 through FY 2008. MAX will also automatically calculate discretionary baseline budget authority and outlays for FY 1999 through FY 2008 in schedule S. Agencies will need to provide mandatory amounts for those years in Schedule S. MAX will automatically copy data in Schedule S to Schedule A for current law. Agencies will need to provide amounts in Schedule A for mandatory legislative proposals.

      When the update for the FY 1999 Budget is completed, MAX will contain budget data for appropriations, fund accounts, and receipt accounts for FY 1997 through FY 2008. In addition to updating the FY 1997 through FY 1999 columns (2) of those schedules from the MAX data base that are printed in the "Detailed Budget Estimates" section of the Budget Appendix, agencies will update the columns of the various other MAX schedules on budget authority, outlays, limitations, and receipts through FY 2008. These data form the basis for budgetary displays in other sections of the Budget. Therefore, they must be internally consistent and also reflect policy decisions. Agencies should ensure that all discrepancy messages generated by MAX data entry are resolved unless OMB approval of the discrepancy has been obtained.

      User Fees: Beginning this year, user fee coding will be used in MAX Schedules A, S, R, and K for existing as well as for new or increased user fees. The MAX database has been updated by OMB to reflect user fee coding for existing user fees.

      Appropriations Request in Thousands: A new MAX schedule (Schedule T) is required for each account that reports budget year budgetary resources contained in an appropriations language request. Amounts should be reported in thousands of dollars under transmittal code 0 on a pre-transfer basis (except for the Violent Crime Reduction Trust Fund, for which amounts will be reported with the receiving account). For consolidated or merged accounts, separate entries will be used to report the budget year appropriations request for each component account.

      Unavailable Collections: The Unavailable Collections schedule (MAX schedule N) is required for all special and trust fund accounts with receipts, whether or not there is an unavailable balance at the start or the end of the year. Only the past year beginning balance is required to be entered in the Unavailable Collections schedule (MAX schedule N); the remaining information for the schedule will be derived from MAX schedules P and R. MAX schedule N is only regenerated overnight by the OMB mainframe computer. In order for an agency to see the latest version of MAX schedule N, the agency needs to upload the account as soon as any changes are made to MAX schedules P, N, or R and download the account the day after. In addition, a computer-generated report on unavailable collections will be available from the agency's OMB representative.

      Contingent Emergency Funding: Information on the status of contingent emergency funding will be included in a new MAX schedule V for accounts with unreleased balances of emergency appropriations. Data on the past year start of year balances and any adjustments will be entered by OMB, not by agencies. The rest of the data will be derived from MAX Schedule P, as part of overnight production. (Changes to MAX Schedule V resulting from changes to MAX Schedule P will not appear on screen until the next day.) If an agency does not agree with amounts entered by OMB, an explanation should be provided to the budget examiner. Necessary changes will be made by OMB.

      Character Classification: Use of character classification categories in MAX Schedule C is no longer controlled by the Budget Account Title (BAT) file. Agencies can now report budget authority and outlay data under any appropriate character class category. However, classifications of offsetting receipts in MAX Schedules K and R continue to be controlled through the BAT file.

      Information on Accounts: MAX A-11 opened November 20th for agency submission of Schedule Z, Information on Accounts Required to Submit SF 133 Reports on Budget Execution. This data should continue to be updated and corrected.

      General Fund Receipt Account Data: General fund receipt account data will be printed at the end of each chapter, except for a few instances where the data will be printed following selected bureaus within a chapter (e.g., OIAs). These tables are already included on the galley proof and will be generated automatically from data that agencies put into MAX schedule R.

    3. Agencies With Direct Access to MAX

      The FY 1999 MAX system is available for agency input of appropriation data for FY 1997 through FY 2008 and receipt data for FY 1998 (3) through FY 2008 for those agencies linked to the OMB/agency computer network. Agencies will update the data by using MAX. OMB will not enter data from marked-up galleys.

      NOTE: The installation package containing the latest MAX data entry software was mailed to agencies in mid-October. Users who have not received this software should contact Pam Simms (202 395-3172).

      Agencies should up-load all updated account data from their personal computers to the EOP mainframe on a regular basis. In particular the following update dates should be observed:

      • December 19. The update should include balanced FY 1997 actual columns (no outstanding edit checks and in agreement with the Treasury Annual Report (TAR). Baseline estimates should also be included (MAX will calculate the discretionary baseline for FY 1999 through FY 2008).

      • December 30. The update should include balanced FY 1998 columns (excluding proposed supplementals and rescissions), and baseline and policy data for mandatory programs through FY 2008.

      • January 9. The MAX system will not be available for agency updating after this date. Daily uploading should precede this "lock-out" to permit OMB review of the data and to minimize the need for further changes after this date.

    4. Agencies Without Direct Access to MAX

      Agencies not linked to the OMB/agency computer network will be provided (by their OMB representative) hard-copy computer reports showing appropriation and receipt data for their accounts. Agencies are to mark up these reports -- including the program and financing, credit, unavailable collections, status of funds, object classification, and personnel summary schedules -- to reflect the FY 1999 Budget presentation for FY 1997 through FY 2008, and return them to OMB, along with marked-up galleys, as their print material submission. The agencies' OMB representatives will enter the data into the MAX.

    5. MAX Reports

      A variety of MAX reports are available for review and analysis of data (e.g., the Account Discrepancy Report, the Budget by Agency and Account (BAA), and some of the diagnostic reports described in Appendix E of OMB Circular No. A-11). Agencies having direct access to MAX can order these reports directly from their computer terminals. Descriptions of the various MAX reports available and instructions for ordering them are contained in the MAX A-11 User's Guide. Agencies not having direct access to MAX can obtain MAX reports from their OMB representative. For additional copies of the MAX A-11 User's Guide, contact Jane Moy at 395-6934.

    6. Establishing New Accounts

      For appropriation, fund, or receipt accounts not currently present in MAX, agencies must contact their OMB representative to request establishment of these accounts on the Budget Account Title (BAT) file. The OMB representative will submit the request to BRCD who, after approval of the new account, will obtain an account number from Treasury and add the account to the BAT file. After creation of the file, agencies will be responsible for insertion of the data into MAX.

    7. Reductions to Amounts Provided in FY 1998 Appropriations Acts

      There are two distinct types of reductions to enacted FY 1998 appropriations that are to be displayed in the FY 1999 Budget:

      • discretionary budget authority canceled as a result of the use of the Line Item Veto Act (LIVA) authority provided to the President in Public Law No. 104-130; and

      • various reductions contained in the FY 1998 Defense Appropriations Act.

      For accounts affected by cancellations under LIVA the program and financing schedule (MAX schedule P) will show the total amount provided by the appropriations language on the appropriate budget authority line (e.g., 40.00, 40.20, etc.). Line 40.79 will be used to report the amount of the line item veto cancellation applied to the budget account pursuant to use of LIVA. The total amount of cancellations applicable to a specific budget account should be reported on a single line 40.79.

      The display of the LIVA reductions would be as follows:

                                                             1997 actual            1998 est.           1999 est.

      40.79 Line item veto cancellation (-)              .........               -XXXXXXX             .........

        For Defense accounts affected by reductions contained in sections 8035(e), 8041, 8043, 8048, 8105, and 8106 of the FY 1998 Defense Appropriations Act, (PL 105-56), the program and financing schedule will show the total amount provided by the appropriations language on the appropriate budget authority line (e.g., 40.00, 40.20 etc.). Line 40.76 will be used to report the amount of the reductions applied to the budget account pursuant to the Defense Appropriations Act. The total amount of reductions applicable to a specific budget account should be reported on a single line 40.76.

        The display of the Defense reductions will be as follows:

                                                               1997 actual            1998 est.           1999 est.

      40.76 Reduction pursuant to
                  P.L. 105-56
      (-)                                      .........               -XXXXXXX             .........

        NOTE. If a disapproval bill is enacted into law before transmittal of the budget, the affected cancellations by the President will not be separately displayed.


      FY 1997 outlay and receipt data must agree with the outlay and receipt data reported to the Department of the Treasury for publication in the Treasury Annual Report - Appendix (TAR). OMB will load the data and then the amount fields will be locked.

      Disagreements with Treasury Annual Report Data. A procedure, agreed to by OMB and Treasury and described below, ensures agreement of outlay and receipt data between the TAR data and the actual year column of the Budget.

      • Agencies are urged to submit explanations/justifications to OMB as soon as they discover a possible prior-year outlay or receipt discrepancy. Both the agency budget officer and the agency finance officer must sign the explanation/justification for it to be considered.

      • OMB will not consider any prior-year receipt or outlay adjustments to Treasury data that have not been agreed to by the TAR coordinators at both OMB and Treasury. Any disagreements between Treasury data and the data in the MAX system that have not been satisfactorily explained will be resolved by using Treasury data.

      • Adjustments agreed to will be incorporated into the FY 1998 Monthly Treasury Statements.

      Explanations/justifications for any other proposed differences between MAX data files and the TAR (e.g., starting and ending balances) should be discussed fully with the agency's OMB representative. In some cases, a written explanation of the reason for the difference in technical treatment may be required.


      Prior to distributing galleys to agencies, OMB performs a technical review of the "Detailed Budget Estimates by Agency" portion of the Budget Appendix using galley proofs of the previous Budget. Various changes to be reflected in the presentation of the subsequent budget (e.g., insertion of enacted appropriations language, revised line descriptions, and deletion of all schedules except those associated with regular transmittals (Transmittal code = 0)) are incorporated. Also, new accounts that have been created since the previous budget may be added, and the effect of known major restructuring may also be reflected. This process serves to bring the form of the Budget materials into compliance with new or modified requirements of OMB Circular No. A-11.

      OMB furnishes agencies sets of these reprinted galleys for their use in preparing the print material submissions. The schedules in the reprinted galleys are blank and do not reflect the numbers that are in the MAX data files. The numbers that are in MAX will be included on every subsequent print cycle, and final data will be in the final budget. Correcting data printed on the galleys must be done via MAX, not by marking on the galleys.

      The original reprinted galleys, together with any new print materials, will form the print material submission required by OMB Circular No. A-11. Agencies will be notified by OMB of the date when the print materials -- and related computer data -- are required to be furnished to OMB. When furnished to OMB, both the marked-up reprinted galleys and associated computer data are to reflect budget determinations and are to be consistent with each other.


      Care should be taken to ensure that all changes to the reprinted galleys are legible and can be readily understood (see Section 30 and Exhibits 30A and 30B of OMB Circular No. A-11). The standard GPO proof reader's marks shown on Attachment B will be useful in marking up the galleys. Additional guidelines for reviewing and preparing the reprinted galleys for submission are as follows:

      • Do not photo-reduce the reprinted galleys being returned to OMB. Photo-reduction impedes correction.

      • Do not submit galleys to OMB by facsimile machine or copies that have been sent by facsimile machine.

      • Do not obliterate any data when crossing out lines to make corrections. A single line drawn through the unwanted materials is sufficient.

      • Do not paste or tape inserts on top of printed material. Use margins or separate attachments.

      • Do not cut the reprinted galleys apart. They must be kept intact in order to be revised properly.

      • Return complete packages of proofs even if some of the proofs will no longer be printed in the Budget or are blank. This is necessary for GPO to keep the print data base up-to-date.

      Section 30.1(d) of OMB Circular No. A-11 specifies that three sets of the marked-up print material submission be returned to OMB. It is essential that at least one of these sets be the original galleys provided by OMB. If other sets returned to OMB are photocopies of an original, agencies must ensure that such copies are readable and include all marks shown on the original.

      Printing by Means of the OMB/GPO Computerized Overlay System

      All chapters in the "Detailed Budget Estimates by Agency" section of the Budget Appendix are printed by means of the OMB/GPO Computerized Overlay System, an automated process that involves the generation of printed schedules from the MAX data files. A description of this process and requirements for its successful execution follow.

      Following receipt of budget determinations, an agency updates the MAX data base to reflect the determinations. At the same time, the agency prepares its print material submission (See OMB Circular No. A-11, section 30). This submission consists of marked-up reprinted galleys and supporting materials. The MAX data -- together with appropriations language, narrative, and other textual materials -- form the basis for printing. The following guidelines for preparing the reprinted galleys are of particular importance for successful execution of the OMB/GPO Computerized Overlay System.

      The wording of certain line stubs is standard. The OMB/GPO Computerized Overlay System is programmed to create and delete lines (with standard stub descriptions) as the lines are added or deleted in the MAX data base.

      New lines, including line descriptions for lines above line 10.00 (total obligations) and lines that reflect offsetting collections (line 88.xx) from multiple Federal funds or non-Federal sources of the P&F schedule, or deletion of existing lines should be entered into MAX and will be reflected when the galley proofs are printed.

      Certain lines are printed in the Budget Appendix even if no data are entered on them (e.g., lines 8900 and 9000 of the Program and Financing schedule). In these cases, the lines must be present in MAX, with no data on them. The OMB/GPO Computer Overlay System will create the lines and the dashes that indicate zero. All other lines with no data should be deleted from MAX. After extra lines have been deleted, check to verify that the account is still "balanced" using the MAX edit check. Note that striking out the lines on the galleys is not sufficient; the lines must be deleted in the data base to be reflected on the printed material.

      Insertion of new material. In those cases where new accounts are included as part of an agency's print material submission (e.g., legislative proposals), the same guidelines as discussed above should be followed.

      Text material. Those sections of the reprinted galley proofs that are not to be printed by means of the OMB/GPO Computerized Overlay System (i.e., where data are not reported in MAX) should be neatly and accurately marked up to indicate all footnotes, descriptive line titles (stub lines), and the like. Changes involving more than two or three lines should be typed, either on the galley or -- if the material is extensive -- on a separate sheet, labeled as an insert, and attached to the galley.

      The second submission for printing -- in the form of marked-up galley proofs -- is the agency's final opportunity to make adjustments to both the print materials and the MAX data base. (4) Thus, two aspects of the second submission are of prime importance:

      • The galley proofs must be marked up accurately and completely to reflect insertion of new material.

      • Text not printed through the OMB/GPO Computerized Overlay System (e.g., appropriations language, narrative) must be revised to be consistent with final determinations.

      • The MAX data base must be complete; i.e., the estimates are to be final, and no technical discrepancies are to exist.

      For print materials that are automatically generated from MAX, the amounts and line stub descriptions present in MAX are controlling. Any marks on the galley proofs will be ignored.

      Changes made in MAX after the agency's final submission of the galleys (i.e., during OMB review of the galleys) will be reflected in the printed material. Submissions to OMB will represent an agency's only sign-off on its Appendix chapter. Subsequent adjustments to either the print materials or the MAX data base -- if required -- will be handled by OMB, with agency consultation as appropriate.


      1. Government-wide general provisions (Title VI of the Treasury and General Government Appropriations Act) are coordinated on a separate track.

      2. FY 1996 actual data should also be updated for Financial statements (MAX schedules E and F).

      3. The database will include FY 1997 receipts, but the data will be entered by OMB.

      4. Corrections to the MAX data may continue for a brief period of time following an agency's print submission. At OMB's option, agencies may be involved in these final adjustments to the data base.

      Attachment A


                       Appropriation is found in:                                               Citation                                 
      Agriculture/Rural Development (all titles)
             (P.L. 105-86)
      Agriculture, Rural Development, Food and Drug
      Administration, and Related Agencies
      Appropriations Act, 1998
      Commerce, Justice, State (P.L. 105-119)

              Title I

              Title II

              Title III

              Title IV

              Titles V, VI, VII, and VIII

      Department of Justice Appropriations Act, 1998

      Department of Commerce and Related Agencies
      Appropriations Act, 1998

      The Judiciary Appropriations Act, 1998

      The Department of State and Related Agencies
      Appropriations Act, 1998

      Departments of Commerce, Justice, and State,
      the Judiciary, and Related Agencies
      Appropriations Act, 1998
      Defense (all titles) (P.L. 105-56) Department of Defense Appropriations Act, 1998
      D.C. (P.L. 105-100) (Title I) District of Columbia Appropriations Act, 1998
      Energy Water (all titles) (P.L. 105-62) Energy and Water Development Appropriations
      Act, 1998
      Foreign Operations (P.L. 105-118)

              Titles I through V

      Foreign Operations, Export Financing, and Related
      Programs Appropriations Act, 1998
      Interior (all titles) (P.L. 105-83) Department of the Interior and Related Agencies
      Appropriations Act, 1998
      Labor-HHS (P.L. 105-78)

              Title I

              Title II

              Title II

              Titles IV through VII

      Department of Labor Appropriations Act, 1998

      Department of Health and Human Services
      Appropriations Act, 1998

      Department of Education Appropriations Act, 1998

      Departments of Labor, Health and Human
      Services, and Education, and Related Agencies
      Appropriations Act, 1998
      Legislative (P.L. 105-55)

              Title I

              Titles II - III

      Congressional Operations Appropriations Act,

      Legislative Branch Appropriations Act, 1998
      Military Construction (all titles)
             (P.L. 105-45)
      Military Construction Appropriations Act, 1998
      Transportation (all titles) (P.L. 105-66) Department of Transportation and Related Agencies
      Appropriations Act, 1998
      Treasury (P.L. 105-61)

              Title I

              Title II

              Title III

              Title IV

              Titles V - VIII

      Treasury Department Appropriations Act, 1998

      Postal Service Appropriations Act, 1998

      Executive Office Appropriations Act, 1998

      Independent Agencies Appropriations Act, 1998

      Treasury and General GovernmentAppropriations Act, 1998
      VA/HUD-Independent (P.L. 105-65)

              Titles I through IV

      Departments of Veterans Affairs and Housing and
      Urban Development, and Independent Agencies
      Appropriations Act, 1998