services incurred at any time during each cost 
reporting period of the provider any part of 
which occurs during the effective period of the 
order, but only (for each such cost reporting pe-
riod) in the same proportion as the fraction of 
the cost reporting period that occurs during the 
effective period of the order. 
‘‘(4) TIMING OF SUBSEQUENT SEQUESTRATION 
ORDER.—A sequestration order required by section 
252, 252A, or 253 with respect to programs under 
such title XVIII shall not take effect until the first 
month beginning after the end of the effective period 
of any prior sequestration order with respect to such 
programs, as determined in accordance with para-
graph (1). 
‘‘(5) NO INCREASE IN BENEFICIARY CHARGES 
IN ASSIGNMENT-RELATED CASES.—If a reduction in 
payment amounts is made under paragraph (1) for 
services for which payment under part B of title 
XVIII of the Social Security Act is made on the 
basis of an assignment described in section 
1842(b)(3)(B)(ii), 
in 
accordance 
with 
section 
1842(b)(6)(B), or under the procedure described in 
section 1870(f)(1), of such Act, the person fur-
nishing the services shall be considered to have ac-
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cepted payment of the reasonable charge for the 
services, less any reduction in payment amount 
made pursuant to a sequestration order, as payment 
in full. 
‘‘(6) SEQUESTRATION
DISREGARDED
IN
COM-
PUTING
PAYMENT
AMOUNTS.—The Secretary of 
Health and Human Services shall not take into ac-
count any reductions in payment amounts which 
have been or may be effected under this part, for 
purposes of computing any adjustments to payment 
rates under such title XVIII, specifically including— 
‘‘(A) the part C growth percentage under 
section 1853(c)(6); 
‘‘(B) the part D annual growth rate under 
section 1860D–2(b)(6); and 
‘‘(C) application of risk corridors to part D 
payment rates under section 1860D–15(e). 
‘‘(d) EFFECTS OF SEQUESTRATION.—The effects of 
sequestration shall be as follows: 
‘‘(1) Budgetary resources sequestered from any 
account shall be permanently cancelled, except as 
provided in paragraph (6). 
‘‘(2) Except as otherwise provided, the same 
percentage sequestration shall apply to all programs, 
projects, and activities within a budget account (with 
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programs, projects, and activities as delineated in 
the appropriation Act or accompanying report for 
the relevant fiscal year covering that account, or for 
accounts not included in appropriation Acts, as de-
lineated in the most recently submitted President’s 
budget). 
‘‘(3) Administrative regulations or similar ac-
tions implementing a sequestration shall be made 
within 120 days of the sequestration order. To the 
extent that formula allocations differ at different 
levels of budgetary resources within an account, pro-
gram, project, or activity, the sequestration shall be 
interpreted as producing a lower total appropriation, 
with the remaining amount of the appropriation 
being obligated in a manner consistent with program 
allocation formulas in substantive law. 
‘‘(4) Except as otherwise provided, obligations 
in sequestered accounts shall be reduced only in the 
fiscal year in which a sequester occurs. 
‘‘(5) If an automatic spending increase is se-
questered, the increase (in the applicable index) that 
was disregarded as a result of that sequestration 
shall not be taken into account in any subsequent 
fiscal year. 
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‘‘(6) Budgetary resources sequestered in revolv-
ing, trust, and special fund accounts and offsetting 
collections sequestered in appropriation accounts 
shall not be available for obligation during the fiscal 
year in which the sequestration occurs, but shall be 
available in subsequent years to the extent otherwise 
provided in law. 
‘‘(e) COMMODITY CREDIT CORPORATION.— 
‘‘(1) POWERS AND AUTHORITIES OF THE COM-
MODITY CREDIT CORPORATION.—This title shall not 
restrict the Commodity Credit Corporation in the 
discharge of its authority and responsibility as a cor-
poration to buy and sell commodities in world trade, 
to use the proceeds as a revolving fund to meet 
other obligations and otherwise operate as a corpora-
tion, the purpose for which it was created. 
‘‘(2) REDUCTION IN PAYMENTS MADE UNDER 
CONTRACTS.—(A) Loan eligibility under any con-
tract entered into with a person by the Commodity 
Credit Corporation prior to the time an order has 
been issued under section 254 shall not be reduced 
by an order subsequently issued. Subject to subpara-
graph (B), after an order is issued under such sec-
tion for a fiscal year, any cash payments for loans 
or loan deficiencies made by the Commodity Credit 
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