Which option lists Phase 1 as the phase governed by OMB A-11 and the phase where organizations start drafts as early as 21 months prior to the FY in which it will be executed?

• A. Phase 2: Congressional Action
• B. Phase 1: Budget Formulation
• C. Phase 3: Budget Execution
• D. Phase 4: Budget Formulation

Answer: (B)

OMB A-11 structures the federal budget cycle into sequential phases, and the first phase focuses on Budget Formulation, where agencies draft the initial requests long before the coming fiscal year. This early drafting window, about 21 months prior to the FY in which funds would be executed, gives agencies time to develop program proposals, justify resources, and align requests with policy priorities under OMB guidance. That’s why this option is the best fit: it identifies the phase governed by OMB A-11 and the extended lead time for drafting. The other phases involve later steps—Congress reviewing and approving appropriations, and funds being executed after appropriation—so they don’t match the description of the 21-month drafting window.