Search Tags: sequestration
In many ways, it's an odd topic to make a central campaign issue: sequestration.
While Virginia escaped the worst of the recession — unemployment peaked at 7.3 percent — uneasiness about the future is in the air. For good reason: The state's fortunes are tied to the outcome of the deficit debate on Capitol Hill and its outcome could dramatically alter its economy.
Automatic cuts of $1.2 trillion set for January unless Congress acts could mean the loss of hundreds of thousands of jobs in the region.
Metropolitan Washington Council of Governments report paints a grim picture for the region's economy if automatic, across-the-board cuts to the federal budget take effect in January. COG says better urban planning and promoting the region's diverse economy will will help offset the potential loss of jobs.
If federal budget cuts automatically take place in January, the Washington region could see lose about 65,000 federal jobs and 96,000 federal contractor positions, according to Stephen Fuller, director for the Center for Regional Analysis at George Mason University.
A Federal Aviation Administration program that would transform air traffic control and contribute billions of dollars to contractors' coffers could be scaled down and delayed a decade if $1.2 trillion in automatic federal cuts occur as scheduled on Jan. 2, according to a new report.