This process has worked for me here with TBR Sample data.

Have you actually posted those Time transactions, or have you only printed the Time & Disbursement batch edit list? You need to post the Time & Disbursement batch in order for the amounts to be reported on the Budget Report.

The Billing Memo report is to actually see what has not been billed yet, so yes, these amounts may differ.

I would suggest doing a Data integrity check of your data first, before trying to see what else could be happening.

I understand what seems to be happening, but I can't duplicate this here.