Plan of Financial Adjustment

Definition:

A plan proposed by a department, reviewed by Finance, and accepted by the Controller to permit the Controller to transfer monies from one item to another within a department's appropriations. A PFA might be used, for example, to allow the department to pay all administration costs out of its main fund and then to transfer into that fund appropriate amounts from its other funds for their shares of the costs paid. The Controller transfers the funds upon receipt of a letter from the department stating the amount to be transferred based on the criteria for cost distribution in the approved PFA.

Related terms:

Legacy System

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