Effects of Federal Sequestration are Beginning to be Felt at Home

Albany – After reviewing several recent updates on the effects of the federal sequestration, Assembly Member Matthew Titone (D-Staten Island), Chair of the Assembly’s Office of State-Federal Relations, noted that “the full of effects of budget sequestration that was imposed on March 1st and will force $85 billion in budget reductions by the end of this September have not likely been felt broadly – yet. However, as the federal agency budgets constrict further, the effects associated with continued loss of services and funding for programs will become more pronounced both on Wall St. and Main St.”

Congresswoman Nita Lowey issued a report last week that described the effects of sequestration on several broad policy areas. Titone stated that “that short-term fixes do not make for long-term solutions.” Further, “if these draconian restrictions imposed by sequestration continue, the economic loss associated with long-term stifled economic growth will be staggering to every sector of society.” The following are some of the lowlights associated with sequestration:

  • After numerous flight delays nationwide, Congress agreed to end Federal Aviation Administration furloughs. However, to pay for the avoided furloughs, a long-term problem was created as the funds were taken from an infrastructure program aimed at improving airport infrastructure, safety and congestion.
  • Senior nutrition cuts will lead to 4 million fewer meals for needy seniors, including popular cost effective programs such as Meals-on-Wheels, which according to the Administration on Aging, 92% of seniors who receive meals stay in their mores and avoid costly Medicaid funded nursing home care. The Center for Effective Government estimates that in New York: 292, 184 meals would be cut; 3,731 individuals will not be feed; and 2,883 people would be forced into nursing homes.
  • Already, thousands of patients have been turned away by cancer clinics because of sequestration cuts to Medicare provider payments. Doctors say that the 2% reduction in Medicare funding to health providers makes it impossible for clinics to administer expensive chemotherapy drugs and stay afloat financially.
  • The National Park Service has announced reduced access, hours of operation and services at national parks and facilities. Last year, there were over 12.6 million visitors to national parks and facilities in New York alone.
  • Nationwide more than 70,000 children will lose access to Head Start and Early Head Start programs; however, due to how funds are distributed, the full effect of these cuts will not be seen until the beginning of the fall semester of the 2013-14 school year.
  • The National Institutes for Health estimates that $1.5B cut in research will result in canceling potentially life-saving projects and eliminating 20,500 jobs at universities, labs, and other research institutions and $3 billion in economic activity. Including an estimated 1,645 jobs in New York State this year.
  • Centers for Disease Control (CDC) will lose $285 million which is used to detect and combat disease outbreaks resulting from epidemics, disasters and terrorist attacks; facilitate immunizations, plan for public health emergencies, conduct HIV/AIDS tests, and more.
  • U.S. Forest Service will be understaffed and underequipped this fire season with 500 fewer firefighters, 50-70 fewer fire engines, and 2 fewer aircraft during the peak forest fire season.
  • National Oceanic and Atmospheric Administration (NOAA) will furlough staff and delay the launch of a key weather satellite. These cuts will severely limit their ability to forecast and warn the public of severe weather threats – just before the start of the Atlantic Hurricane season on June 1, 2013.
  • Numerous states have had to cut their emergency unemployment benefits.
  • Public defenders offices across the country and in NYS are drastically cutting personnel costs. In New York, public defenders recently told a judge they need to delay the trial of Osama bin Laden's son-in-law because they are under orders to take furloughs
  • Programs designed to help victims of domestic violence have had their funding slashed.
  • Fleet Week, which traditionally takes place over the Memorial Day weekend and is a much beloved annual event that enables New Yorkers to show their appreciation for the men and women who serve, has been cancelled for this year.

“The federal sequestration is more akin to a boulder on a long, very slippery slope rather than a fiscal cliff,” said Titone. “The long-term effects will continue to gather speed and eventually ever more restrictive cuts will drag the already fragile economy down. First, those members of our society least able to fend for themselves, the elderly, sick, poor, and children will be affected. But as the cuts grow deeper the effects will shift, gain downward speed, and the burden will expand from Main Street to Wall Street and every locality in between.”

“The short-term solution of cutting indiscriminate cuts is not a long-term answer for systemic budget problems, and citizens need to contact their local Congressional Members, voice their concerns, and ask them to work toward fundamentally sound long-term solutions,” said Titone. “Many effects will be delayed due to how federal programs are funded, so the time to act is now.”