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Presidential Order

Sequestration Order for Fiscal Year 2025 Pursuant to Section 251A of the Balanced Budget and Emergency Deficit Control Act, as Amended

This presidential order triggers automatic spending cuts (sequestration) for fiscal year 2025, requiring direct spending budgetary resources in non-exempt accounts to be reduced by amounts calculated by OMB, effective October 1, 2024. The order implements a statutory mechanism under the Balanced Budget and Emergency Deficit Control Act rather than creating new discretionary policy.

Federal Register Open PDF 89 FR 18531

Impact dates

  1. Sequestration reductions take effect for FY2025

Key directives

  • Direct spending budgetary resources in each non-exempt budget account shall be reduced on October 1, 2024 by OMB-calculated amounts
  • All sequestrations shall follow section 251A of the Act and OMB's March 11, 2024 report specifications

Who is ordered

Timeline

Immediate

  • OMB report transmitted to Congress on March 11, 2024
  • Presidential order issued

Near term (90d)

  • Agencies prepare for implementation of sequestration reductions

Long term

  • Sequestration takes effect October 1, 2024 for FY2025
  • Ongoing spending reductions in non-exempt direct spending accounts through fiscal year 2025

Risks & tensions

  • Order is statutorily mandated, leaving minimal presidential discretion
  • Uncertainty about which specific programs face cuts pending OMB report details (not fully specified in order text)
  • Potential for congressional action to modify or waive sequestration before October 2024
Presidential Order: Sequestration Order for Fiscal Year 2025 Pursuant to Section 251A of the Balanced Budget and Emergency Deficit Control Act, as Amended · Executive Orders