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Sequestration Order for Fiscal Year 2018 Pursuant to Section 251A of the Balanced Budget and Emergency Deficit Control Act, as Amended

This order triggers automatic spending cuts (sequestration) for fiscal year 2018, requiring direct spending budgetary resources in non-exempt accounts to be reduced starting October 1, 2017, based on calculations from an OMB report issued the same day. The cuts are mandated by existing statutory law (Section 251A of the Balanced Budget and Emergency Deficit Control Act) rather than new discretionary policy.

Federal Register Open PDF 82 FR 24209

Impact dates

  1. Direct spending budgetary resources reduced by OMB-calculated amounts

Key directives

  • On October 1, 2017, reduce direct spending budgetary resources in each non-exempt budget account by OMB-calculated amounts
  • Execute sequestrations in strict accordance with section 251A and OMB report specifications

Who is ordered

Timeline

Immediate

  • OMB report of May 23, 2017 specifies reduction amounts

Near term (90d)

  • Agencies must prepare for October 1, 2017 sequestration implementation

Long term

  • Reduced direct spending levels through FY2018

Risks & tensions

  • Order implements statutorily required cuts, limiting presidential discretion
  • Non-exempt program beneficiaries face service reductions without new legislative action
  • Unclear which specific programs are affected due to reliance on external OMB report not reproduced in document
Other: Sequestration Order for Fiscal Year 2018 Pursuant to Section 251A of the Balanced Budget and Emergency Deficit Control Act, as Amended · Executive Orders