With just two weeks to go until $85 billion in automatic spending cuts begin to go into effect on March 1, Congress recessed and most lawmakers left town.

Their absence underscored the bleak prospects for avoiding the sequestration cutbacks to defense and civilian programs.

Initially viewed as a worst-case scenario intended to spur a better agreement, the sequester is now viewed as likely to go forward.

In recent days, President Obama has urged alternatives to the cuts. Defense Secretary Leon Panetta testified that military readiness would be significantly damaged by the steep reductions. Intelligence and homeland security specialists offered similar forecasts.

Meanwhile, federal agencies planned for large numbers of furloughs of federal workers, starting in April, which are likely to result in reduced service, such as longer lines at airports.

An alternative source of cutbacks could be in federal service contracts, according to a study funded by the American Federation of Government Employees.

Service contract reductions could generate up to 90% of the savings needed to avoid sequestration, Charles Tiefer, study author and a professor at the University of Baltimore Law School, wrote in the report. Service-contract spending totals about $300 billion a year.

Service contract reductions could generate up to 90% of the savings needed to avoid sequestration, Charles Tiefer, study author and a professor at the University of Baltimore Law School, wrote in the report.

“The good news is that managers have all of the tools they need to reduce spending on service contracts, often with the consent, albeit grudging, of service contractors,” Tiefer wrote. “The bad news is that service contractors, like any other businesses, are not eager to voluntarily give up revenues, so strong leadership is required from the heads of agencies.”

Tiefer recommends suspension of task orders for indefinite-delivery, indefinite-quantity contracts that have met their minimums.

Tiefer also advised agencies to partially terminate contracts for convenience or to make deductive change orders. He also advised negotiating reductions directly with vendors.

Contractors often agree to such deals, even if only grudgingly, he added:“Historically, many reductions in payments to service contractors have occurred through such modifications.”

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