Due to the Balanced Budget and Emergency Deficit Control Act (BBEDCA), the administration must distribute three notices on sequestration per year. Last week, the administration published its first guidance of the year, calling for deep cuts to both discretionary and mandatory funding. However, this guidance was written before the bi-partisan budget agreement that raised spending caps. Thankfully, the budget deal waived any sequestration cuts to discretionary funding including both defense and non-defense.
However, due to the PAYGO requirement that mandatory funding be cut because the tax bill increased our national deficit, forced sequestration cuts may go into effect for non-means tested mandatory funding. Since the BBEDCA was enacted, programs such as the Social Services Block Grant have received cuts each year, so we can expect to see cuts to this program and some administrative funding for programs such as Supplemental Nutrition Assistance Program. Cost sharing for Affordable Care Act payments and some child welfare funds could also be targeted.
The Alliance for Strong Families and Communities Public Policy Office, along with the Children’s Budget Coalition, is requesting a meeting with the Office of Management and Budget, which publishes sequestration guidance, to advocate minimizing cuts. There is an opportunity for the administration to waive the mandatory cuts.
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