What is a key provision of the Anti-Deficiency Act?

The key provision of the Anti-Deficiency Act is that it prohibits agencies from exceeding budget limits. This act ensures that federal agencies operate within the financial constraints set by Congress and do not obligate or expend government funds beyond what has been appropriated. This is an essential principle in maintaining fiscal discipline and accountability within government operations.

By preventing expenditures that exceed budget allocations, the Anti-Deficiency Act helps to safeguard public funds and promotes responsible management of taxpayer money. This limitation is critical in ensuring that governmental agencies plan their budgets carefully and adhere to the financial guidelines established through the appropriations process. Overall, the act plays a vital role in upholding the integrity of the federal budget system.