Legal authority to expend resources is adopted by a city council in the budgeting process. These legal authorizations are called

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Appropriations are legal authorizations adopted by a city council in the budgeting process that allow the city to expend resources for specific purposes. Authorizations refer to the power or permission to do something, but specific to budgeting, appropriations are the legal authorizations for spending. Encumbrances are commitments made for future spending, and expenditures are actual payments made for goods or services.

Legal Authority to Expend Resources Is Adopted by a City