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Advocacy > Backdoor Spending Authority
The following information is about Backdoor Spending Authority.
Backdoor Spending Authority Defined
Budget authority provided in legislation outside of the normal appropriations process. The most common forms of backdoor spending are borrowing authority, contract authority, entitlements, and loan guarantees that commit the government to payments of principal and interest on loans - such as Guaranteed Student Loans - made by banks or other private lenders. Loan guarantees result in actual outlays only when there is a default by the borrower.
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