APPROPRIATION BILL

An appropriation bill, also known as a supply bill or spending bill, is a proposed law that authorizes the government to spend public funds for specific purposes. It is essentially a legislative act that sets aside money for various government programs and services. Without an appropriation bill, the government cannot legally spend money. 

Here’s a more detailed explanation:

Purpose:

The primary purpose of an appropriation bill is to authorize the government to withdraw money from the National Revenue Fund (or equivalent) to fund its operations and activities. 

Process:

Typically, an appropriation bill starts as a supply bill that is presented to the legislature for approval. Once the legislature approves the bill and it receives royal assent (or equivalent), it becomes an appropriation act. 

Key Features:

It specifies the amounts of money allocated to different government departments, programs, and services. 

It may include conditions or limitations on how the allocated funds can be spent. 

It is often divided into main divisions within a vote, with each vote having a defined purpose. 

Importance:

Appropriation bills are crucial for government functioning as they provide the legal framework for public spending. They are also important oversight tools that enable the legislature to monitor and scrutinize government spending. 

Example:

In South Africa, the Appropriation Bill is the legislation that authorizes the expenditure of funds from the National Revenue Fund, in accordance with the Constitution and the Public Finance Management Act. 

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