After months of fierce debate, the D.C. Council passed its final version of its $21 billion budget Wednesday, further raising taxes to stave off the steepest cuts that Mayor Muriel E. Bowser (D) proposed.
Washington, D.C
Analysis|Five winners and losers in D.C.’s 2025 budget
In a year of tough choices, here are some of the winners and losers in D.C.’s 2025 budget. Which initiatives or agencies got more investment? What got cut? Who got what they wanted (or didn’t)?
Have additions? Leave your list of budget wins and losses in the comments.
Bowser and the council are going big on D.C.’s downtown. With empty office buildings and vacant retail storefronts at some of their worst levels in history, the council kept most of the Bowser administration’s nearly $800 million in investments toward reviving downtown. Split between the operating and capital budgets, the investments are intended to spur development, including tax incentives for developers to turn vacant office buildings into housing or something more interesting, and fill vacant retail space such as with a “pop-up retail” program that will allow vendors to temporarily fill vacant storefront spaces.
Not to be forgotten — and perhaps an honorary D.C. budget winner — is Capitals and Wizards owner Ted Leonsis, whose company is getting $520 million in public funds to revitalize Capital One Arena.
Coming off a historic spike in violent crime, Bowser and the council fully funded the D.C. police department’s requests for more officers and other needs this year, with a $572.9 million budget. The council’s public safety committee expects the department will be able to hire 276 additional officers through recruitment and the cadet program to bring the force to 3,370. The budget also includes $8.7 million to hire 40 new “community safety officers” who will take on tasks like administrative work, looking for missing people and low-risk security to free up sworn officers for more crime-fighting.
With all that love for downtown, lawmakers fought to spread a bit more of it to small businesses in other commercial corridors. Of note, a proposal from council member Charles Allen (D-Ward 6) will double the Small Retailer Property Tax Credit from $5,000 to $10,000 — helping small businesses offset high real estate or other costs — while also expanding eligibility for the program.
The business committee also preserved $1.9 million enhanced funds for the Main Streets program, which supports businesses in buzzy retail centers across the District, while Allen also added grant funds specifically for LGBTQ+ businesses in Ward 6 Main Streets. And a bill by council member Brooke Pinto (D-Ward 2) — the BEST Act, which is funded in the budget — reduces licensing burdens and fees for businesses trying to get up and running with fewer headaches.
The caveat: One of the most lucrative tax hikes the council passed is on the tax employers must pay into the paid family leave pot — impacting small and big businesses alike. The council hiked it to 0.75 percent from its current 0.26 percent. Any money that exceeds what’s needed to fund paid family leave goes into the general fund.
Council member Kenyan R. McDuffie (I-At Large) hit a trifecta in this year’s budget, advancing three major policy goals at once. Mendelson included McDuffie’s legislation to drastically reform the sports wagering landscape by opening up the market for competition, ending a monopoly held by the current contractor, Intralot, which has woefully underperformed lawmakers’ expectations. Building on that, the revenue from this new sports wagering system would go toward funding baby bonds, a program McDuffie spearheaded that creates trust funds for children born into low-income families. In addition, the council’s budget also includes funds to stand up a task force to study reparations, another major McDuffie priority.
McDuffie’s sports wagering bill survived an effort to separate it from the budget Wednesday — but some details may still be worked out during the council’s upcoming vote on laws associated with the budget.
5. New or prospective parents
A number of initiatives, big and small, cater to new parents with infants or small children — or those expecting or hoping to conceive. A newly established Child Tax Credit — an idea from council member Zachary Parker (D-Ward 5) — will offer up to $420 per child to households with a child under 6, depending on income. The council also enhanced the Earned Income Child Tax Credit. And the council funded council member Christina Henderson’s (I-At Large) bill to expand access to fertility treatment and established a new grant for to help expectant parents, or legal guardians, with child care needs when urgent medical appointments come up.
With homelessness increasing, and with limited funds to address the insatiable demand for housing aid among lower-income residents, D.C.’s housing programs are underwater.
Amid a plan by housing officials to terminate more than 2,000 households from rapid rehousing, a time-limited program that provides a housing subsidy for people exiting homelessness the program, Bowser’s budget proposal slashed rapid rehousing assistance for individuals in half and by about 17 percent for families.
Lawmakers worked to fund more than 600 new housing vouchers — some of which would go to people exiting rapid rehousing — after lobbying from housing advocates. And though still a lot less than last year, council member Robert C. White Jr. (D-At large), the housing committee chairman, restored $6.9 million more in Emergency Rental Assistance Program funding, which Bowser had proposed cutting by more than half.
Still, White said he would “not sugarcoat it” Wednesday, noting that despite the council’s efforts, major gaps in housing aid remain.
2. Connecticut Avenue bike lanes
It’s hard to imagine a more tortured government planning process. The Bowser administration announced plans to create a 2.7-mile bike lane on Connecticut Avenue Northwest in 2021, delighting cyclists while frustrating others who raised fears about fewer vehicle traffic lanes and parking spaces. After two years of divided views, the Bowser administration said last year it was hitting pause to rethink the bike lane design.
This spring, the Bowser administration said it would not move forward with the bike lanes and would advance a different vision — infuriating cycling and multimodal safe-streets advocates and pleasing other commuters worried about traffic and parking impacts. The decision was just in time for budget season. Allen, chairman of the transportation committee, tried to re-add a bike lane requirement through his committee’s budget proposal, but Mendelson did not move forward with it.
3. Lewis Ferebee and the D.C. Public Schools central office
For the second year in a row, a standoff erupted between Mendelson and D.C. Public Schools Chancellor Lewis D. Ferebee about how to fund the public school system. Bowser’s administration ignored a law known as the “schools first” funding formula, which directs that individual schools can’t get less funding than they did the year before. So in his own proposal, Mendelson redirected $25.4 million away from the DCPS central office back into individual schools.
Ferebee strongly objected. He and Bowser told Mendelson that the move would require cuts to programs including swimming lessons for third-graders and after-school meals and services like technology support, while blocking a pair of new initiatives — math training for teachers and the creation of an alternative school.
Mendelson and the council did not budge, arguing individual schools should be the priority.
4. A comprehensive public safety plan
When the council passed the Secure D.C. crime bill in March, it came with an amendment from council member Trayon White Sr. (D-Ward 8) ordering the Bowser administration to create a comprehensive public safety plan. The only hitch: It had a $343,000 price tag, according to a fiscal impact statement, meaning lawmakers would have to set aside funds for it in the budget. But it’s not in the budget, making it a toothless provision.
Separately, White voiced concerns about cuts to the Office of Neighborhood Safety and Engagement, which has been without permanent leadership for over a year and which runs the executive’s gun violence intervention program. Led by Pinto, lawmakers on the public safety committee said the agency needs to focus on enhancing its program by pursuing universal training for violence intervention workers and contractors and completing a merger with the attorney general’s similar Cure the Streets violence intervention program. Decrying a lack of coordination, lawmakers wrote in the report that “the dual programs currently in existence lead to a waste of taxpayer funds by duplicating what could and should be shared infrastructure.”
Pinto said she’d hoped that merger would be ready in time for this year’s budget, adding that the work is “certainly not over” in urging the executive to move toward a more “comprehensive strategy to prevent violence.”
5. Scofflaws and dangerous drivers
Nearly $300,000 is included in the budget to hire civil attorneys at the attorney general’s office who will bring cases against dangerous drivers and begin implementing the STEER Act. Meanwhile, the budget also funds a program allowing the DMV to install a “speed governor” on cars to automatically lower the speed for people who are known reckless drivers.
Plus, with contributions from the public works committee headed by council member Brianne K. Nadeau (D-Ward 1), some Department of Public Works tow trucks will now get to have license plate readers to go after parking ticket scofflaws.
Michael Brice-Saddler contributed to this report.
Washington, D.C
12th Honor Flight Tallahassee returns home from successful trip to Washington D.C.
TALLAHASSEE, Fla. (WCTV) – Seventy-two veterans took a trip Saturday to our nation’s capital to visit memorials honoring their service in the armed forces.
This year marks the 12th trip to Washington, D.C. for Honor Flight Tallahassee.
Early Saturday morning, veterans and their guardians met to take a charter flight up to D.C.
Throughout the day, veterans were taken to the World War II memorial, as well as the Korean and Vietnam War memorials. The veterans also visited Arlington National Cemetery and the Tomb of the Unknown Soldier.
More Tallahassee news:
The day ended with a wonderful welcome home celebration.
Our Jacob Murphey, Julia Miller, Taylor Viles, and Grace Temple accompanied the veterans, capturing moments from throughout the day.
The team will have live coverage from Washington, D.C. on Monday to share more from the day’s events.
We will continue to have coverage throughout the month of May, leading up to our Honor Flight special on Memorial Day.
To keep up with the latest news as it develops, follow WCTV on Facebook, Instagram, YouTube, Nextdoor and X (Twitter).
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Washington, D.C
Storm Team4 Forecast: A chilly, gusty Sunday before a cool start to the week
4 things to know about the weather:
- Chances of rain in the morning
- Gusty Sunday
- Chilly Monday
- Temps will rise again through the work week
Download the NBC Washington app on iOS and Android to check the weather radar on the go.
After a nice and warm Saturday, changes arrive for part two of the weekend.
The first half of your Sunday will have a chance for showers. Winds will pick up with our next system and are expected to gust to about 20-30 mph. Cooler air will settle in, and lows Sunday night fall into the 40s.
Highs temps Monday will reach only into the mid to upper 50s.
However, temperatures will rise through the week, so you won’t need your jackets every day.
QuickCast
SUNDAY:
Showers, then partly cloudy
Wind: NW 10-15 mph
Gusts @ 30 mph
HIGH: Lower 60s
MONDAY:
Partly cloudy
Wind: NW 10-15 mph
Gusts @ 25 mph
HIGH: Upper 50s
Stay with Storm Team4 for the latest forecast. Download the NBC Washington app on iOS and Android to get severe weather alerts on your phone.
Washington, D.C
‘It’s a twilight zone’: Iran war casts deep shadows over IMF gathering in Washington
The most severe energy shock since the 1970s, the risk of a global recession and households everywhere stomaching a renewed surge in the cost of living – hitting the most vulnerable hardest.
In a sweltering hot Washington DC this week, the message at the International Monetary Fund meetings was chilling: things had been looking up for living standards around the world. But then came the Iran war.
“Some countries are in panic,” said the fund’s managing director, Kristalina Georgieva, addressing the finance ministers and central bank bosses in town for the IMF and World Bank spring meetings. “The sooner it [the Iran war] ends, the better for everybody.”
Such gatherings are not typically used to fight geopolitical battles. “You don’t get people shouting at one another at these things,” one senior figure remarked. But, as a record-breaking April heatwave swept the US capital, no one could ignore the mounting damage from the Iran war.
Those familiar with the mood over breakfast at a meeting of the G20’s representatives on Thursday, which included Donald Trump’s treasury secretary, Scott Bessent, and the outgoing US Federal Reserve chair, Jerome Powell – said the atmosphere in the room was sombre amid an open exchange of serious views.
“It is such a twilight-zone meeting,” said Mohamed El-Erian, a former IMF deputy managing director who is now chief economic adviser at the Allianz insurance group. “There are several shadows hanging over it: one is the shadow that comes from concern about the global economy as a whole.
“The second is that some countries are going to be particularly hard hit, and it’s mostly countries that very few people are talking about. But the third concern is the adding of insult to injury: the fact that the US, which started a war of choice, is going to be hit, but by a lot less than elsewhere in relative terms.”
Before Thursday’s breakfast, Rachel Reeves had started her day with an early-morning jog. Joined by her counterparts from Spain, Australia and New Zealand for a run down the iconic National Mall, she posted an Instagram selfie with a not-so-subtle dig: “Friends that run together – work together.”
A day earlier, the chancellor had told a CNBC conference that she thought “friends are allowed to disagree on things” as she criticised Trump’s Iran war as a “mistake” and a “folly” that had not made the world safer.
Speaking at a venue just steps away from the White House, before a one-on-one meeting with Bessent, she said this “fair message” was needed because UK families and businesses were feeling the pain from higher energy prices triggered by the conflict.
Those close to Reeves insist her meeting remained cordial. Britain and the US have significant shared interests in AI, financial services and trade. The chancellor also said the UK government had little time for the Iranian regime.
But with the IMF having warned on Tuesday that the Iran war could risk a global recession – in which Britain would be the biggest G7 casualty – it was clear Reeves had travelled to Washington ready to pick a fight.
“I’m struck by how vocal she has been and the words she used,” said one global financier. “We know the disagreement between Bessent and [European Central Bank president] Christine Lagarde earlier in the year. But that was in private.”
At a cocktail party held at the British ambassador’s residence for hundreds of diplomats and financiers – including the Bank of England’s governor, Andrew Bailey, the chief executive of Barclays, CS Venkatakrishnan, and dozens of senior figures – this transatlantic tension, weeks before King Charles’s US state visit, was a major topic of conversation.
The other, in the balmy residence gardens, was one of its former occupants, Peter Mandelson, as revelations about the former ambassador’s appointment threatened to further rock the UK government.
Before the war, the agenda for the IMF had been about global cooperation; the adoption of AI, jobs and work to eradicate poverty. Each of those tasks had now been complicated, but not least the task of countries working together.
For many at the meetings, the focus was on forging closer global cooperation without the world’s pre-eminent superpower.
“Everybody is talking about how you hedge against American decisions,” said David Miliband, the former UK foreign secretary, who now runs the International Rescue Committee. “You can’t do without them, because they’re 25% of the global economy. But, in a lot of fora, they’ve pulled out.
“So everyone has to think, how does one structure international cooperation? The old west is not coming back. And so everyone has to figure out how to position themselves for that world.”
For those gathering in Washington, there was irony in the fact that they were meeting in the halls of institutions founded, under US leadership, to promote global cooperation after the second world war. The whole idea of the Bretton Woods institutions was to avoid the dire economic conditions and warfare of the 1930s and 1940s. Yet this year’s meeting was taking place amid these intertwining problems.
In their conversations about the best economic policy response to the shock of conflict, the economists also knew the real power to make a difference lay two blocks across town from the IMF and the World Bank – behind the security cordons and construction equipment blocking the White House from public view. “It is not clear they can do anything about it,” said El-Erian.
Still, with a booming economy driven by AI – including Anthropic’s powerful Mythos model, the topic of much conversation – most countries cannot afford to completely break off US ties.
“People want to find ways to insulate themselves from the mess. But, on the other hand, they admire the US private sector,” El-Erian said. “The best way I’ve heard it put, is: they want to go long the private sector and short the mess. But it’s almost impossible to do.”
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