Congress Cuts $1.1 Billion in Local Revenue, Fate of DC Local Tax Dollars Sent Back to the US House of Representatives

The following statement is from DC Councilmember Charles Allen (Ward 6) following the US Senate’s vote to prevent a government shutdown. The Senate did not amend the House’s continuing resolution to avoid cuts to the District’s budget, but it did pass separate legislation doing so, sending Senator Collins’ bill reversing the decision to cut $1.1 billion in local money back to the House. If the bill is not passed, Congress’s restrictions on how local tax dollars are spent could cut funding for schools by at least $345 million, police and fire by $133 million, DC Water by $50 million, WMATA by $210 million, and human services by $178 million.

“With the passage of the continuing resolution by both chambers, $1.1 billion in local tax dollars have been cut from DC’s current year budget. A path remains to right this injustice, and the House must now act to pass Sen. Collins’ bill. The fact the Senate acted on the District’s behalf speaks to the impact of the incredible advocacy of thousands of DC residents, including many parents who showed up in person with their children in tow. It also speaks to the senseless injustice District residents and employees continue to endure as second-class citizens in our own country, having to walk the halls of Congress in our backyard to plead for our own funding to pay for our own schools, police, parks, and libraries.

Thank you to Sen. Collins and Sen. Murray, as well as our regional delegation of Sens. Alsobrooks, Van Hollen, Warner, and Kaine for their vocal support on our behalf and leadership. We must now turn our advocacy back to the House. The Council, Mayor, and Attorney General are working together to fix this crisis and avoid as much impact on District services and personnel as possible, but we need District residents to continue to share how these cuts would impact them.”

Facts About the District’s Budget:

• Like any other state, DC’s budget is mostly funded through local tax revenue and fees. About 25% of our budget is from federal programs, largely Medicaid and Medicare, in line with or lower than most US states.
  
  
• The DC Council and Mayor have collaborated to pass 28 consecutive balanced budgets.
  
  
• DC continues to have one of the strongest bond ratings of any municipality in the country and has fully funded its pensions.
  
  DC is the only jurisdiction in the nation that budgets out four years on the operations side and six on the capital side to ensure responsible spending.