• Sequestration May Have Major Impact on Health Care
  • March 13, 2013 | Authors: Lenora W. Pate; Cynthia Ransburg-Brown; Kelli F. Robinson
  • Law Firm: Sirote & Permutt, P.C. - Birmingham Office
  • When the U.S. Congress failed to reach a deficit reduction agreement on March 1, 2013, automatic annual spending reductions were triggered by the Budget Control Act of 2011 (BCA). Under the BCA, the reductions are to be achieved by a combination of sequestration (i.e., an automatic across-the-board cancellation of budgetary resources) and a lowering of the caps on discretionary spending. Sequestration will have a nationwide impact, as well as an impact on the citizens of Alabama. This Alert focuses on the anticipated immediate effect of sequestration on health care; however, there is much debate on the extent of the effect of sequestration.