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(i) the preparation, in advance, of estimates of the expenditure to be incurred;

(ii) the allotment of funds through Budget Grants for the year, on the basis of these
estimates; and

(iii) the continuous and concurrent review of the expenditure as incurred against the
details of the estimates and against the sanctioned grants, so that revisions of
estimates or re-appropriation of funds are arranged for at the earliest possible point
of time.

The procedure to be followed in Controlling expenditure against estimates is detailed in
Chapter XIV and XII of the Indian Railway Code for the Engineering and Mechanical
Departments, respectively. (Para 517)

(9) Watch over Progress of Expenditures: From the moment expenditure or liability is
incurred on works, a check a regular and frequent intervals should be made on its
progress, both against estimates and against funds. The check should originate in the
lowest executive unit, Viz., a division. (Para 520)

Note: Estimates are prepared for New Minor Works costing over Rs. 5,000 each which are
chargeable to "Open Line Works-Revenue". The provisions in paragraph (10) apply
equally to such works.

(10) The Works Registers (Form No. E. 1474) maintained in each division enable a running
comparison to be made between (Para 521)

(a) the expenditure incurred on each work and the detailed provision made in the
estimate for the work, and

(b) the budget allotment for the work and the actual expenditure to the end of the month.

The executive officer should examine the works registers monthly or at more frequent
intervals, and watch the progress of expenditure on each work, so that any tendency
towards excess over sanctioned estimates may be investigated and curbed or fresh
administrative and technical sanctions obtained in time to cover the anticipated excess.

(11) Review of Expenditure: The Accounts Officer should prepare every month two reviews,
one by sub-heads/Plan heads of the Grant and the other by individual works, and present
them to the authorities concerned by such dates as may be fixed in consultation with
them. (Para 524)

(12) The review of expenditure chargeable to Capital, Depreciation Reserve Fund, Development
Fund, Accident Compensation, Safety and Passenger Amenities Fund Open Line Works
− Revenue by sub-heads/Plan Heads of the Grant should be prepared monthly by the
Accounts Officer in Form No. F. 525. (Para 525)

Chapter 4 Budget Estimates, Expenditure, Budget Control and Completion Reports Page 80 of 535