What are continuing resolutions used for?

Prepare for the Society of Defense Financial Management Exam. Study with flashcards and multiple choice questions, each question has hints and explanations. Ready yourself for your exam!

Continuing resolutions are legislative measures that provide temporary funding for government programs and agencies when Congress has not approved the regular appropriations bills by the start of the fiscal year. They are essential tools that allow the government to maintain operations and avoid disruptions in services.

This temporary funding is critical for ensuring that necessary government functions can continue without interruption, even when a full budget has not been enacted. Continuing resolutions typically extend existing spending levels for a specified period, allowing agencies to operate under the previous year's budget until a new budget is passed. This mechanism helps to provide stability and continuity in government operations during budgetary uncertainties.

The other options do not accurately describe the purpose of continuing resolutions. Long-term financial planning for projects involves more comprehensive and strategic planning that extends beyond the temporary nature of continuing resolutions. The evaluation of departmental budget requests is part of the budgeting process but does not address the immediate operational need filled by continuing resolutions. Finalizing annual expenditure plans requires a completed budget and cannot be met through the temporary framework provided by continuing resolutions.

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