P.R. Laws tit. 21, § 4357
(a) Matters with a specific year.— The portion of the appropriations and funds authorized for the matters of a fiscal year that have been obligated on or before June 30 of the fiscal year to which said appropriations and funds correspond, shall remain on the books for one (1) additional year after the fiscal year for which they have been authorized has elapsed. After said year, no amounts shall be drawn against said portion for any reason whatsoever, except in the case of a declared emergency for which the amortization shall be extended to four (4) years.
Immediately after said year has concluded, the allocated balances shall be closed, taking into consideration any legal and regulatory provision to such respect. Every authorized obligation, whose payment is affected by the closure of the allocated balances, shall be included in the budget of the fiscal year in effect, as provided for in this chapter.
(b) Matters without a specific year.— Those appropriations and funds authorized for obligations that do not have a specific fiscal year, shall be applied exclusively to the payment of expenses for goods, supplies and services needed to comply with the purpose for which it was established, provided they are obligations legitimately contracted and duly recorded in the municipal books. No amount may be spent or obligated which is not needed for said purpose or that exceeds the amount authorized, including the amounts transferred to be credited to said appropriations or funds. Nor may the municipality be committed in any contract or negotiation for the future payment of amounts that exceed said appropriations or funds, unless they are expressly authorized by law.
The appropriations and funds authorized for those obligations without a specific year, shall continue on the municipal books until the purposes for which they were created have been fully met, after which the unencumbered surpluses of said obligations and funds shall be closed, taking any applicable legal or regulatory provisions into account. The allocated balances of said appropriations and funds shall continue on the books for one year after the close of the unencumbered balances, at the end of which they shall be cancelled, taking into consideration the legal and regulatory provisions in effect.
History —Aug. 30, 1991, No. 81, § 8.007; July 29, 2008, No. 131, § 1; Dec. 29, 2009, No. 217, § 1.