Sequestration – Should YOU Be Worried?

If you answered “yes” but only because the title conjured up images of late nights in a small room with 11 other jurors of your peers…there is another type of “sequestration” that might be of concern to you.

The more noteworthy sequestration is the automatic budget cuts that were triggered on November 23, 2011, when the Government’s “Super Committee” failed to agree on a means of reducing the Nation’s defict. The Budget Control Act of 2011 mandates that federal spending be decreased by $109.3 billion per year over ten years, resulting in a total federal spending decrease of $1.2 trillion by 2023. Although this sequestration has already been triggered, it remains to be seen exactly how much this will effect spending on federal construction projects.

It is probably not worth panicking just yet since the cuts will not go into effect until 2013 – and the automatic cuts are a relatively small percentage of overall federal spending. Nevertheless, this is a sequestration you should keep on your radar, just like the AGC is.