Even arbitrary, manufactured and gimmicky fiscal crises have consequences. So it is with the federal sequestration – $85 billion in spending cuts – scheduled to hit at the end of the week. As the New York Times reported over the weekend,
The point of sequestration, in fact, was to define cuts that were so arbitrary and widespread that they would be unpalatable to both sides and force a deal.
That won Republicans’ support for increasing the government’s debt limit in 2011, and averted the nation’s first default. The Republican-led House and Democratic-led Senate each passed the accord overwhelmingly, and Mr. Obama gladly signed it.
The idea for sequestration did come from the White House, as news accounts made clear at the time. Jacob J. Lew, then Mr. Obama’s budget director and now his nominee for Treasury secretary, was the main proponent.
Seeking to spark some resolution, the White House released state-by-state figures revealing potential impacts. Here’s a link to the impact on Washington, which comes with a little of the president’s political spin. A sample:
Washington will lose approximately $11,606,000 in funding for primary and secondary education, putting around 160 teacher and aide jobs at risk. In addition about 11,000 fewer students would be served and approximately 50 fewer schools would receive funding. In addition, Washington will lose approximately $11,251,000 in funds for about 140 teachers, aides, and staff who help children with disabilities.
In Washington, approximately 29,000 civilian Department of Defense employees would be furloughed, reducing gross pay by around $173.4 million in total. Army: Base operation funding would be cut by about $124 million in Washington. Air Force: Funding for Air Force operations in Washington would be cut by about $3 million. Navy:Cancel aircraft depot maintenance at Whidbey Island, a demolition project in Bremerton.
Earlier, I would have bet they’d find a way to kick the can once again and I think it’s still likely they will. But the uncertainty adds to state budget woes. Stateline has comments from governors, which fall along predictable partisan lines. Few, however, can dispute this.
Oklahoma Governor Mary Fallin, vice chair of the NGA and a Republican, said in an interview that her biggest worry is the timing of the sequester.
“The President holds the key to the sequestration,” she said. Until the administration reveals how the budget cuts will unfold, she said, “it leaves states and the private sector in a period of uncertainty. It’s not helpful to our national recovery.”
How this episode unwinds will have serious implications for budget writers in Olympia.
Washington Research Council 