News & Analysis as of

Sequestration and its Impact on the Construction Industry

Pursuant to the Budget Control Act of 2011, sequestration is the process by which automatic across-the-board spending cuts are being imposed on government programs. Because Congress was unable to reach an agreement by its...more

Under Construction - March 2013: The Ever-Shrinking Federal Budget: Preparing for Contract Cut-Backs

On March 1, 2013, President Obama signed the order directing “sequestration” to go into effect. As has been repeated constantly leading up to sequestration, $85 billion will now be cut from the federal government’s budget...more

Sequestration Tango: Taking Steps to Assess Risk and Mitigate Impacts

Many federal contractors and subcontractors are in store for a bumpy ride. On March 1, 2013, sequestration went into effect, requiring the federal government to cancel $85 billion in budgetary resources between now and...more

Over-the-Cliff: Advice to Contractors Facing Sequestration

Automatic spending cuts caused by “sequestration” went into effect on March 1, 2013, after the federal Government could not avoid or further delay sequestration as Congress and the President had agreed during January of 2013....more

Sequestration Is Here – Now What Happens to Government Contractors?

On March 1, 2013, President Obama ordered the implementation of across-the-board cuts – sequestration – primarily directed to military and domestic discretionary spending because the White House and congressional leaders...more

How Sequestration May Impact Government Construction Contracts

Pursuant to the Budget Control Act of 2011, sequestration is the process by which automatic across-the-board spending cuts are being imposed on government programs. Because Congress was unable to reach an agreement by its...more

Sequestration: Funding Shortfalls and Unrequited Patriotism

Sequestration is slated to start January 2, 2013. Under the terms of the Budget Control Act of 2011, OMB must trim $1.2 trillion evenly from the budgets of civilian agencies and the Department of Defense from 2013 through...more

An Update on Sequestration and Government Contractors

Overview. “Sequestration” refers to automatic federal spending cuts put in place by the Budget Control Act of 2011. The cuts go into effect January 2, 2013, unless Congress passes legislation to avoid that result. The...more

Sequestration Budget Cuts and the WARN Act

On July 30, the U.S. Department of Labor (DOL) issued a "guidance" letter regarding whether federal contractors must issue written notices - pursuant to the federal Worker Adjustment and Retraining Notification Act (WARN) -...more

The Cuts Are Coming, Payments May Not Be: How Defense Contractors Can Prepare

Government contractors are facing a year of unprecedented uncertainty. Three things contribute to this: (1) reduced funding requested by the Pentagon; (2) the prospect of sequestration (the automatic cuts triggered when a...more

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