Funds that are allocated to a specific program, project or for a designated purpose. Revenues are earmarked by law. Expenditures are earmarked by appropriations bills or reports.

According to the Office of Management & Budget definition, earmarks include:

  1. Add-ons. If the Administration asks for $100 million for formula grants, for example, and Congress provides $110 million and places restrictions … on the additional $10 million, the additional $10 million is counted as an earmark. However, if the additional funding is to speed up the completion of a project with no restrictions this is NOT an earmark.
  2. Carve-outs. If the Administration asks for $100 million and Congress provides $100 million but places restrictions on some portion of the funding, the restricted portion is counted as an earmark.
  3. Funding provisions that do not name a recipient, but are so specific that only one recipient can qualify for funding is counted as an earmark.

Slate’s “What’s an Earmark” article provides a distinction between earmarks and general budget expenditures:

“For example, if Congress passed a budget that gave a certain amount of money to the National Park Service as a whole, no one would consider it an earmark. But if Congress added a line to the budget specifying that some of that money must go toward the preservation of a single building—definitely an earmark.”

Earmarks can be used for political, pork-barrel spending and considerable debate in Congress has centered on earmark reform. President Obama’s speech on Earmark Reform, March 11, 2009, called for legislation that would create greater transparency and public awareness of proposed earmarks. Acknowledging that earmarks can be useful, the president stated they “must have a legitimate and worthy public purpose.”