Photo credit: thehill.com
Congress is set to advance a funding bill backed by President Trump this week, which has raised concerns among Washington D.C. officials about a potential $1 billion cut to the district’s budget. This unexpected move has caught many lawmakers from both sides of the aisle off guard.
The proposed 99-page continuing resolution, crafted by GOP members, aims to keep the federal government operational beyond the looming Friday night shutdown deadline, largely maintaining fiscal 2024 funding levels. While its passage remains uncertain, Senate Democrats, who have the key votes, face immense pressure to support its advancement.
Local leaders and Democrats are raising alarms over the lack of provisions that would permit D.C. to maintain its budget at fiscal 2025 levels—a standard component of past stopgap funding measures.
“This move does not save federal funds,” remarked Sen. Chris Van Hollen (D-Md.), a senior appropriator. “What’s occurring here is a cap on D.C.’s budget.”
He further criticized this approach as akin to Congress dictating financial limits to a city council, calling it a form of Congressional overreach that exploits D.C. as a political pawn. Van Hollen is exploring various strategies to counter this budgetary restriction, suggesting that it appears to have been an intentional exclusion by House Republicans.
Senate Appropriations Committee Chair Susan Collins (R-Maine) expressed her support for provisions allowing D.C. to operate under its approved budget and intends to discuss the issue with D.C. Mayor Muriel Bowser.
“I advocate for that language being included. I’m unclear why it was omitted in the first place,” Collins stated.
This continuing resolution marks the third such measure for fiscal 2025, which began in October. While some funding increases and reductions are present, it predominantly preserves funding at last year’s levels.
A significant aspect of this resolution is its exclusion of language enabling D.C. to utilize its local budget—derived mainly from local tax revenues—at the already sanctioned 2025 levels. Although D.C. received “home rule” authority in the 1970s, Congress retains control over its budget during the appropriations cycle.
This restriction means D.C. would have to revert to fiscal 2024 funding levels, similar to federal agencies, despite being midway through its fiscal year operating under a higher budget.
In a statement to The Hill, the mayor’s office condemned the proposed budget cut as “senseless” and “reckless,” warning that it could severely impact public safety, education, and crucial services in the capital.
In anticipation of the House vote on the proposed bill, D.C. officials voiced their concerns in person at the Capitol. Mayor Bowser highlighted the gravity of the situation, referring to the “$1.1 billion problem” that could jeopardize funding halfway through the fiscal year.
“We’re not merely a federal entity. We function as a city, a county, and a state simultaneously, providing essential services for residents, visitors, businesses, and foreign diplomats alike,” Bowser emphasized.
The mayor’s office has expressed that the budget cut would deliver a significant blow to general fund allocations, which rely heavily on local taxes, fees, and fines.
“To date, D.C. has utilized, obligated, or encumbered $6.3 billion, accounting for 48 percent of the total local allocation,” the statement indicated. “Implementing a $1.1 billion cut would necessitate a 16 percent reduction in all remaining unspent funds.”
Such a reduction would likely lead to immediate layoffs of essential workers and a decrease or elimination of vital services that both residents and visitors depend on.
Bowser’s office has urged the Senate to ensure that D.C. can continue operating under its congressionally authorized fiscal 2025 budget, asking Congress to reinstate provisions permitting the district to utilize its local resources during federal shutdowns.
Moreover, Van Hollen and fellow Senator Angela Alsobrooks (D-Md.) are advocating for an amendment to protect D.C. from budget cuts.
However, reintroducing such provisions into the bill would require amending it, necessitating a return to the House for further approval. With the House having adjourned after passing the spending measure earlier this week, it would be unable to reconvene to amend the legislation before the stipulated government shutdown deadline.
In the event of the bill’s failure, Van Hollen indicated plans to pursue a separate resolution to address the same objectives regarding D.C.’s budget ahead of the Senate’s departure.
House Republican appropriators maintained in a Wednesday statement that “additional resources to support the District of Columbia concerning the security of public events and responses to potential threats remain intact,” even while noting that the bill keeps D.C. at fiscal 2024 funding levels, consistent with other parts of the federal government.
“The House Appropriations Committee has been assured of D.C.’s continued balanced budget,” they added. “Given the potential fallout from a government shutdown, House Republicans took action to avert that scenario.”
Regarding the dissent from D.C. officials about the current funding proposal, House Appropriations Chair Tom Cole (R-Okla.) initially noted that some funding was related to inauguration preparations, also expressing regret over any miscommunications with Democrats during the negotiations.
In a memo submitted to Congress, D.C. officials highlighted that nearly three-quarters of the district’s budget stems from locally generated revenues, contrasting with the approximately 24 percent derived from federal grants relative to other states.
Previous temporary funding legislation had also catered to expenses associated with Trump’s inauguration, but Bowser’s office reiterated that federal support comprises less than 1 percent of its overall budget, which stands apart from standard federal grants.
“Essential functions are sustained by both the funds earmarked for the inauguration and the District’s Emergency Security and Planning Fund (EPSF), including costs related to federal activities,” the mayor’s office added.
“In fiscal 2024, D.C. received no funds for the inauguration, alongside reduced EPSF funding,” it concluded.
Source
thehill.com