8110     PERMISSIBLE USES 
(Revised 2/98)

Revolving funds drawn under the provisions of Government Code Section 16400 may be used only, in accordance with law, for payment of compensation earned, traveling expenses, traveling expense advances, or where immediate payment is otherwise necessary (Government Code Section 16401).  In determining whether immediate payment is necessary, the determining factor is whether payment could be made through the normal claim processing procedure and a State Controller's warrant issued.

Sufficient spending authority (Budget Act appropriation) must exist for the related fiscal year of the revolving fund disbursement.  Revolving fund disbursements made prior to the enactment of the related Budget Act are not in accordance with Government Code Section 16401.  Therefore, in the time period after June 30 and prior to enactment of the current year Budget Act, proper revolving fund disbursements for the prior year may be allowable; revolving fund disbursements for the current year are not.

SAM Sections 8111-8123 detail some of the most common uses of the revolving fund.