How Budget Cuts Could Affect You
Coast Guard rescue aircraft will fly fewer hours and cutters will patrol the seas for fewer hours, says Commandant Adm. Robert J. Papp. Emergencies will be a priority and interdictions of illegal immigrants, drugs and illegal fishing could decline.
Hundreds of illegal immigrants have been freed from jail across the country. Immigration and Customs Enforcement officials say they had reviewed several hundred cases of immigrants and decided to put them on an "appropriate, more cost-effective form of supervised release" in a move started Tuesday.
FOOD SAFETYThere could be an estimated 2,100 fewer food safety inspections and increased risks to consumers because of the cuts and the fact that lack of a new 2013 budget means the Food and Drug Administration is held at last year's spending level. Food and Drug Administration Commissioner Margaret Hamburg says most of the effects wouldn't be felt for a while, and the agency won't have to furlough workers. HEALTH CARE Hospitals, doctors and other Medicare providers will see a 2 percent cut in government reimbursements because once the cutback takes effect, Medicare will reimburse them at 98 cents on the dollar. But they aren't complaining because the pain could be a lot worse if President Barack Obama and congressional Republicans actually did reach a sweeping agreement to reduce federal deficits. Automatic cuts taking effect Friday would reduce Medicare spending by about $100 billion over a decade. But Obama had put on the table $400 billion in health care cuts, mainly from Medicare. And Republicans wanted more. On the other hand, Obama's health overhaul law is expected to roll out on time and largely unscathed by the cuts. Part of the reason is that the law's major subsidies to help uninsured people buy private health coverage are structured as tax credits. So is the Affordable Care Act's assistance for small businesses. Tax credits have traditionally been exempted from automatic cuts.
Check Out Our Best Services for Investors
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts