Sequestration Order for Fiscal Year 2014 Pursuant to Section 251A of the Balanced Budget and Emergency Deficit Control Act, as Amended

This presidential order mandates automatic spending cuts (sequestration) for fiscal year 2014, requiring that on October 1, 2013, direct spending budgetary resources in non-exempt accounts be reduced by amounts calculated by OMB in its April 10, 2013 report to Congress. The order implements statutory requirements under the Balanced Budget and Emergency Deficit Control Act without discretionary policy choices.

Federal Register Open PDF 78 FR 22409

Impact dates

Oct 1, 2013
Sequestration reductions take effect for FY2014 non-exempt budget accounts

Key directives

On October 1, 2013, reduce direct spending budgetary resources for FY2014 in each non-exempt budget account by OMB-calculated amounts
All sequestrations must follow section 251A of the Act and OMB report specifications

Who is ordered

Director of the Office of Management and Budget · Office of Management and Budget

Timeline

Immediate

OMB report of April 10, 2013 transmitted to Congress
Presidential order issued triggering statutory mechanism

Near term (90d)

Agencies must prepare for October 1, 2013 sequestration implementation based on OMB calculations

Long term

Across-the-board spending reductions take effect October 1, 2013 for FY2014
Continued fiscal constraints on non-exempt programs through fiscal year 2014

Risks & tensions

Order implements automatic cuts required by statute, limiting presidential discretion
Non-exempt program beneficiaries face service reductions; exact impacts depend on OMB calculations not disclosed in order text
Timing creates implementation challenges for agencies preparing for fiscal year start