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Augusta among Ga. cities hit hardest by sequestration, according to study

Wednesday, Oct. 9, 2013 11:59 PM
Last updated Thursday, Oct. 10, 2013 1:42 AM
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ATLANTA — Among Georgia cities, Augusta, Columbus and Savannah are feeling the federal sequestration’s effects the most and would suffer most of the deeper cuts, according to a study released this week by Georgia State University.

Even before the federal government shut down 10 days ago, the 2011 Budget Control Act was squeezing spending through a process known as sequestration. It was the product of an earlier budget impasse in Washington where the automatic withholding of funds was to be triggered if Congress and the White House couldn’t negotiate a better agreement to reduce the deficit. When no deal materialized, the Budget Control Act held back – sequestered – 8 percent of the federal budget that already had been approved for non-defense programs and about 10 percent for defense.

This pressure on the federal budget is likely to continue and possibly increase even after the current stalemate is worked out, according to Peter Bluestone, a senior research associate in the Fiscal Research Center at Georgia State and the author of the study.

“Georgia’s economy may be seriously affected if Congress cannot reach an agreement on military pay and other Department of Defense spending,” Bluestone said. “We find that Savannah and Columbus are the most vulnerable regions to funding problems in this area, as well as to long-term potential federal cuts.”

He calculated the fiscal year 2010 level of federal spending in Georgia at $92 billion, or 22 percent of the state economy. He found that the money isn’t distributed evenly, which is why the impact of the cuts falls harder on some cities than others.

Savannah’s regional economy has the highest proportion of federal spending at 51 percent, followed by Columbus at 44 percent and Augusta at 34 percent.

With more diverse regional economies, Macon’s share was 29 percent while Atlanta’s was 14, according to Bluestone’s analysis.

The analysis comes as no surprise to Mercer University economics professor Roger Tutterow, who notes that the Department of Defense has a sizeable footprint in the state, traditionally providing financial stability.

“In the past, Georgia has benefited from the presence of large DOD installations,” he said. “It’s not an accident that the Georgia cities that held up the best during the 2008-09 recession – Columbus, Savannah, Augusta and Hinesville – all had a strong military presence. Further, Georgia has done pretty well in maintaining federal support during past (base-closing) cycles. If federal spending on defense is cut, it’s not unreasonable to expect the effect to be most pronounced in these areas.”

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griff6035
4292
Points
griff6035 10/10/13 - 12:31 am
3
3
Sequestration

To bad so sad, get a real job and quit depending on Government hand outs.

griff6035
4292
Points
griff6035 10/10/13 - 12:49 am
3
2
Budget

Why do you think the Federal Government decided to give up some of the every day things the Military personnel did, It was because they saw a way to get Monies they did not need, and get a portion of the local Civilian population on there side. Prove me wrong.

bubbasauce
24260
Points
bubbasauce 10/10/13 - 02:03 am
7
4
I sincerely hope that people

I sincerely hope that people see through all these crooked politicians in DC and especially our absolute worst President in United States history! You working class Democrats need to wake up and realize you are being played like a fiddle in believing that the Democratic party are for the working class. You are working to pay for and support all the leaches of society. Anyone that sincerely believes Obama is trying to help this Country is insane to put it mildly.

seenitB4
98477
Points
seenitB4 10/10/13 - 06:04 am
4
0
The Gov Payroll

We have always said that the CSRA reaped the benefits of federal pay...now the downside has surfaced...lotta eggs in one basket.

nocnoc
49572
Points
nocnoc 10/10/13 - 06:30 am
4
1
Protect the borders and provide for the common defense

We have the best fielded Military in the world.

We have the highest $$$$$ Hi-Tech Toy Military in the World.

We provide for ever person in the USA a standard of living that is beyond the middle class in 3/4 of the nations on earth.

But we WASTE & GIVE more than any NATION ON EARTH.

It is time to trim the waste, the pork as it is called.

It is Time to QUIT the GOLDEN Parachutes for Politicians and Federal workers.

It is time to drop the Federal Employee Union. Government is not run like a business, so why allow extra $$$$ expenses that Unions demand?

It is time to get back to a steady sensible funded and operated Government.

It is time to seriously consider curtailing the BILLIONS in OVERSEA's Bribes to countries that take the $$$ and then hose us over.

If it is too much for the Fed to operate, then turn the Federal Park system over to the States. Let the states OPEN and Run The parks, instead of forcing the National Parks Service Rangers to play political Storm Trooper games.

QUIT funding the Military Industry Complex and the Social Civil Industry Complex. Fund America.

QUIT listening to every idiot that comes along with their hand out.

Secure the Borders and register every Illegal alien.

Remove every Illegal alien from the welfare roles.

Stop providing funds to States like California that fail to control its Welfare roles that are filled with Illegals.

My simple budget proposal.
Pass a budget based on Last Years revenues minus a % to pay down the debt.

BTW:
I noticed they are once again pushing SEQUESTER Stories Stunts.
I guess too many people are seeing through the Shutdown bovine faecies stunts and it wasn't going as planned for the LIB's.

nocnoc
49572
Points
nocnoc 10/10/13 - 07:19 am
3
1
soapy_725
44131
Points
soapy_725 10/10/13 - 07:05 am
1
0
Augusta has been a military town since 1735. What's new?
Unpublished

Augusta has been a military town since 1735. What's new?

soapy_725
44131
Points
soapy_725 10/10/13 - 07:07 am
1
0
Housing,schools,hospitals,airports,retail rely on the FORT/SRS
Unpublished

Housing,schools,hospitals,airports,retail rely on the FORT/SRS

soapy_725
44131
Points
soapy_725 10/10/13 - 07:09 am
1
0
ARC feeds of the government teat. Hence the number of thieves.
Unpublished

ARC feeds of the government teat. Hence the number of thieves.

Dixieman
17584
Points
Dixieman 10/10/13 - 09:05 am
2
1
Y-a-w-n

Y2K = end of the world in 2000...
Mayan Calendar = end of the world in 2012...
Sequester = end of the world in early 2013...
Shutdown = end of the world later in 2013...
Does this remind anyone of the old story of "The Boy Who Cried Wolf"?
Chronicle ought to quit uncritically running these Federal press releases which are designed with the sole purpose in mind of panicking the Sheeple...most of us have seen through this by now. Reporters and editors should too.

nocnoc
49572
Points
nocnoc 10/10/13 - 09:54 am
0
1
Figures for Georgia

Georgia State & Local 2013 Spending by Function:

2013
Total Spending $79.8 billion
Pensions $5.3 billion
Health Care $16.7 billion
Education $25.9 billion
Welfare $4.5 billion
Protection $6.0 billion
Transport $5.0 billion

2014
Georgia State & Local 2014 Spending by Function
Total Spending $82.8 billion
Pensions $5.3 billion
Health Care $17.2 billion
Education $27.1 billion
Welfare $4.2 billion
Protection $6.3 billion
Transport $5.6 billion

Some interesting facts if you look at it closely.

seenitB4
98477
Points
seenitB4 10/10/13 - 01:01 pm
3
0
Education bill

We could cut almost a third off that bill if we controlled the kids in school & stop putting up with misbehaving brats. imo

TrukinRanger
1748
Points
TrukinRanger 10/10/13 - 05:16 pm
0
0
Here's what we should do: -
Unpublished

Here's what we should do:
- make the top 1% pay their FAIR share of taxes
- end tax exempt status for religions
- re-evaluate tax exempt status for non-profits
- fence the border with Mexico and place more training bases in the S.W (best place to train for middle eastern skirmishes)
- take all illegals - make them pay a fine, give them 1 year to learn basic English and then they can apply for citizenship
- stop tax loopholes for corporations - especially off shore accounts
- re-evaluate ALL gifts, bribes (financial assistance) to other countries, especially if we get nothing in return.
- end NAFTA & the Latin American version (not well versed in that one)
- end campaign contributions from corporations
- limit campaign contributions to a max of maybe... $1000 from individuals
- Lobbyists taken to the street and shot... ok, maybe not that- but it should be illegal
- outsourcing (especially technology) to overseas countries taxed well enough to make companies in our borders hire Americans
- no more attachments to bills / laws that aren't related to said bill
- elected officials get paid for the hours they work
- all elected officials have a minimum and maximum age
- all elected officials have term limits - 2 at most
- all elected officials ONLY have health insurance and a salary while in office
- All Gold is to be turned over to me (ok.. maybe not.. Silver will work too)

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