Politics & Government

Monrovia Jobs Threatened by Federal 'Sequestration' Cuts

Federal cuts to defense spending and other programs could threaten the business of Monrovia firms that depend on defense contracts, according to a city official.

More than $1.2 trillion in federal cuts to defense and other spending over the next 10 years could eliminate jobs at Monrovia firms that depend on defense contracts, a Monrovia official told the City Council this week.

The so-called "sequestration" cuts, across-the-board spending cuts of funds already appropriated to congress, were signed into law as part of the 2011 Budget Control Act. The law calls for more than $100 billion in spending cuts next fiscal year if congress cannot reach a compromise, according to an agenda report written by city management assistant Jennifer McLain.

More than 225,000 jobs in the defense sector will be threatened if the cuts are fully imporsed, according to McLain. Three companies in Monrovia--Aerovironment, Ducommun Aerostructures and Roncelli Plastics--employ about 1,000 people in the city and would be seriously impacted if the cuts go through.

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"Considering the proposed number of lost jobs in the defense industry, there has been particular concern expressed by local aerospace companies of the profound impacts these cuts could impose on their business, including significant reduction in contracts – which translates to declining sales and job cuts," McClain writes. "Should the sequestration cuts move forward, it has the potential to curtail defense contracts, which could ultimately lead to job losses in Monrovia."

On the advice of the L.A. Jobs Defense Council, the City Council passed a resolution Tuesday calling on congress to pass legislation to avert the sequestration cuts.

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