Santa Cruz County Will Lose $8.7 Million in Defense Spending

Sequestration seems inevitable and Santa Cruz County will feel some of the effect.

Sequestration, the automatic cuts to discretionary spending, are scheduled to go into affect on March 1 unless Congress and the President can agree to $1.2 trillion in deficit reductions spread over 9 years.

Discretionary spending makes up about one third of the annual federal budget.  Non-defense discretionary spending includes, among other things, transportation, energy and environment, education and the government.

The automatic cuts are part of the Budget Control Act of 2011 and were meant to be so drastic and uncompromising that Congress and the President would never let them happen but after extending the deadline twice and with Congress in recess it appears the cuts will take affect on March 1.

The automatic cuts are to be split evenly between defense and non-defense spending. 

According to the group forthecommondefense.org Santa Cruz County would lose  $8.7 million in defense related spending over nine years if sequestration is implemented.  California will lose nearly $4 billion over the same period.  A quarter of all the losses will be seen in San Diego County where there is a large military presence.

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Steve Bankhead February 21, 2013 at 05:12 PM
It should be mentioned that the "cuts" threatened by the sequester aren't actual spending cuts compared to last year. Under the fiscal shell game of baseline budgeting, the federal budget has an automatic annual increase of 6 to 8%. Since the sequester only threatens to cut about 2% in spending, it would still allow spending to increase 4 to 6%... above the inflation rate. The real problem is the sequester, as designed by President Obama, forces all cuts to be across the board for every budget item. That means no cuts focused on the pork, earmarks, duplicative or outdated programs, ethanol subsidies, etc. And of course very few in the House or Senate want to cut the fat they generate for the folks back home to get reelected.


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