SEQUESTRATION ORDER FOR FISCAL YEAR 2027 PURSUANT TO SECTION 251A OF THE BALANCED BUDGET AND EMERGENCY DEFICIT CONTROL ACT, AS AMENDED | The Legislative Ledger
SEQUESTRATION ORDER FOR FISCAL YEAR 2027 PURSUANT TO SECTION 251A OF THE BALANCED BUDGET AND EMERGENCY DEFICIT CONTROL ACT, AS AMENDED
The White House
This memorandum orders an automatic reduction in federal spending, known as a sequestration, for fiscal year 2027.
Set to take effect on October 1, 2026, it mandates across-the-board cuts to direct spending budgetary resources in non-exempt federal accounts.
The Office of Management and Budget determines the exact financial reductions, which were calculated in an April 3, 2026 report to Congress.
This action signals an upcoming reduction in funding for various non-exempt federal programs starting in the fall.
These broad statutory mechanisms are designed to strictly control the emergency deficit under the provisions of the Balanced Budget and Emergency Deficit Control Act.
The Office of Management and Budget is the primary agency tasked with calculating and overseeing these spending adjustments.
Federal agencies managing the affected accounts must then implement these exact sequestrations in strict accordance with the Office of Management and Budget's specifications.