Summary: In recent years, Congress has reduced the Energy Department's (DOE) budget request for new obligational authority and has recommended that DOE use balances remaining from prior years' obligational authority that are carried over into the new fiscal year. DOE had $12 billion in such "carryover balances" from prior years as it began fiscal year 1995. In fiscal year 1995, DOE used nearly $1 billion in carryover balances to supplement its $18 billion in new obligational authority. Although DOE needs some carryover balances to pay for commitments made in prior years that have not yet been completed, the agency's large and persistent carryover balances have raised concerns within DOE and Congress that the agency is carrying balances that exceed the minimum needed to support its programs. This report discusses whether (1) DOE has an effective approach to identify the carryover balances that exceed its programs' requirements and may be available to reduce its budget request and (2) opportunities exist to develop a better approach for analyzing these carryover balances.
