On Tuesday, Mayor Bowser announced D.C. would halt all government hiring and pay raises in response to the House cutting the city budget by $1.1B and failing to pass a fix. Furloughs and facility closures are also on the table. Here’s how D.C. is planning for the rocky road ahead.
The State Of Affairs
In March, the Senate passed a stopgap funding bill that averted a federal government shutdown but also created a $1.1 billion hole in D.C.'s local budget. Immediately after, senators passed a separate bill, plugging that hole. But the House dragged their feet voting on it, went on recess, and now won’t get to it until Apr. 28 … if ever.
It’s all especially frustrating because D.C. already collected the necessary revenue for its 2025 budget (all local taxpayer dollars btw), but cannot spend it without congressional approval. Meaning, D.C. has millions in the bank that it can’t use.
Bowser’s Budget Loophole
A 2009 law allows D.C. to raise appropriations by up to 6% under certain circumstances. Bowser is using this to reduce the budget shortfall from $1B to only $410M. City officials are working on making those cuts in a revised 2025 budget to be submitted in the next 30 days. But some spending cuts are already in effect as of Tuesday.
What’s On the Chopping Block
Bowser is implementing “extraordinary measures,” to make up the $410M difference, including freezing hiring, pay raises, and the purchasing of supplies and contractual services.
She also expects to have to furlough city employees and shut down some government facilities. Public schools, shelters, and healthcare facilities are safe, but other services, like rec centers and libraries, could close.
