The American Taxpayer Relief Act of 2012 postponed the automatic across-the-board budget cuts under the sequester until March 1, 2013. While the scheduled reductions in fiscal year 2013 funding were decreased from $109 billion to $85 billion, the grant programs subject to sequestration remain the same.
Overall, about one-fifth of federal grant funding to states would be subject to the sequester. But the percentage of funding in each program area that would be vulnerable to any cuts varies greatly. States continue to face a great deal of uncertainty about how the cuts could be implemented and their specific impacts on state budgets and economic activity. For more details on the importance of federal grants to state budgets, please see The Impact of the Fiscal Cliff on the States (PDF) report.
View the infographic, Federal Grants to States Subject to Sequester Vary Widely Across Program Areas, on the Pew Center for the States website.