SkipCaptcha, Automoderated users, edit
2,275
edits
Changes
Jump to navigation
Jump to search
Line 1:
Line 1: + + +
Background
'''Budget sequestration''' or '''sequester''' as defined in the Budget Enforcement Act (BEA), is the cancellation of budgetary resources provided by discretionary appropriations or [[direct spending]] laws. New budget authority, unobligated balances, direct spending authority, and obligation limitations are “sequestrable” resources; that is, they may be subject to reduction or cancellation under a [[president]]ial sequester order. <ref>[http://www.gao.gov/new.items/d05734sp.pdf A Glossary of Terms Used in the Federal Budget Process], pg. 94, pdf. www.gao.gov</ref>
'''Budget sequestration''' or '''sequester''' as defined in the Budget Enforcement Act (BEA), is the cancellation of budgetary resources provided by discretionary appropriations or [[direct spending]] laws. New budget authority, unobligated balances, direct spending authority, and obligation limitations are “sequestrable” resources; that is, they may be subject to reduction or cancellation under a [[president]]ial sequester order. <ref>[http://www.gao.gov/new.items/d05734sp.pdf A Glossary of Terms Used in the Federal Budget Process], pg. 94, pdf. www.gao.gov</ref>
===Background===
The Executive impoundment of Congressionally mandated funds, i.e., a president's refusal to spend money appropriated by Congress, had a long history. But after President [[Richard Nixon]] refused to spend money appropriated by Congress for [[Lyndon Johnson|Johnson-era]] [[Great Society]] programs, Democratic President [[Jimmy Carter]] signed legislation passed by the Democratic controlled Congress making it illegal for a president not to spend money appropriated by Congress. By 1985 it became apparent some form of budgetary restraint was necessary. Sequestration was designed as a [[deficit]]-reduction forcing mechanism, so that unless the President and Congress cooperate each year to reduce the deficit by prescribed amounts, a “sequestration” order would reduce funds down to a mandated figure.<ref>http://law.justia.com/constitution/us/article-2/37-impoundment-of-appropriated-funds.html</ref>
===Example of sequester===
===Example of sequester===