Washington

Opinion | Raising taxes this much in D.C. will backfire

Published

2 years ago

June 9, 2024

Opinion | Raising taxes this much in D.C. will backfire

Like many U.S. cities, D.C. faces a cash crunch. Costs have risen for nearly everything, while revenue has been relatively flat. Cities have run through federal pandemic relief dollars, of which D.C. received more than $3 billion. Commercial property taxes have fallen sharply, in tandem with property values, and are likely to deteriorate further as buildings sit empty. The District’s leaders have tough choices to make in their 2025 budget to close a $700 million hole. The top priorities are clear: public safety, downtown revitalization and youth. Mayor Muriel E. Bowser’s proposed budget would spend just shy of $21 billion. The D.C. Council’s plan spend about $41 million more than the mayor’s. Their big differences lie in the policy details, and they matter.

Taxes are going up, but the two branches disagree over which levies to increase — and how much. Ms. Bowser (D) would raise the paid family leave tax that businesses pay, add an 80-cent per night fee on hotel rooms and increase the sales tax (gradually, from 6 percent now to 7 percent by fiscal 2027). In total, revenue would rise $447 million next year under the mayor’s proposal. The council would raise more — $550 million in new revenue next year — via both a higher paid family leave tax and higher property taxes on homes worth $2.5 million or above. In fact, the council’s budget closes the vast majority of the budget shortfall via higher taxes.

That’s unwise. Raising so many taxes, in lieu of spending cuts, signals to businesses and residents that legislators are unable to focus on what truly matters. It’s also a warning sign of more taxes and fees to come if budget holes persist. As business leaders consider whether to keep their business in the city or relocate to Maryland or Virginia, they will factor in the city’s public safety and finances.

The council eliminated the mayor’s proposed hotel fee, arguing it would hurt D.C.’s ability to compete for conferences and events. A similar logic should apply to the council’s own proposed tripling of the family leave payroll tax, from the current level of 0.26 percent of wages paid to an employee to 0.75 percent. (Ms. Bowser is proposing 0.62 percent.) This tax is supposed to fund employees’ time off work to care for a baby or a sick family member, but it will soon be used for general city expenses. In contrast, the council’s property tax increase would be relatively modest and targeted at the most expensive homes.

As for spending, it’s encouraging that the mayor and council agreed on more money for the police and for converting unused offices to other uses, as well as for strategically transforming public spaces and empty storefronts. Education also receives a bump, though the mayor and council continue to spar over how much should go to the central office vs. schools. In that case, the council is right to emphasize funding teachers and classroom needs.

The other reality in the District is a vast income and wealth inequality that is especially pronounced between White and Black households. Ms. Bowser proposed steep cuts to critical programs for those less well-off, including housing assistance for struggling families, the Access to Justice program that provides civil legal assistance to low-income residents, and the Early Childhood Educator Pay Equity Fund that subsidizes pay for child-care workers. The council mostly restores these, but then goes a step further by creating a new Child Tax Credit (CTC) of $420 per child to provide more money to low- and middle-income families with kids and a Baby Bonds program to invest $1,000 per year per low-income child. It would be better to fund Baby Bonds through a private foundation than public dollars, and this is not the right time to do a CTC for married couples earning up to $240,000 a year.

Chief Financial Officer Glen Lee has to sign off on whatever the mayor and council adopt. Residents and Congress are not going to be comfortable if he does not. We are glad to see the mayor and council working closely with Mr. Lee as the June 12 budget vote approaches. The District has to replenish its reserves, but not necessarily in 2025. There’s a smart compromise in the works to ensure the city will have adequate liquidity to pay all bills on time by allowing the CFO to temporarily tap into different trust funds, if needed. This is a common tactic used by other state and local governments and works well as long as a good accounting and audit systems are in place.

As the council makes its final tweaks, there has to be a reality check on taxes and spending. Scaling back is hard. But making tough choices now is better than losing business to Virginia and Maryland.

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Washington

Polymarket opening ‘Situation Room’ pop-up bar in DC. See when.

Published

8 hours ago

March 20, 2026

Press Room

Polymarket opening ‘Situation Room’ pop-up bar in DC. See when.

Prediction betting market platform Polymarket is opening a “Situation Room” pop-up bar in the nation’s capital that will be “dedicated to monitoring the situation.”

The company announced its latest business endeavor in an X post on Wednesday, March 18.

“Imagine a sports bar… but just for situation monitoring — live X feeds, flight radar, Bloomberg terminals, and Polymarket screens,” the company’s statement said.

The bar opens to the public in Washington, DC, on Friday, March 20, and will operate until Sunday, March 22. The Situation Room will open on 8 p.m. on March 20 and at 11 a.m. on March 21-22, according to Polymarket. The company did not specify how long the bar will remain open; however, Proper 21 K Street, where the pop-up is taking place, closes at 12 a.m. ET Monday-Sunday, according to its website.

Last month, Polymarket opened a free supermarket in New York City to promote free markets. Polymarket donated $1 million to Food Bank For NYC as part of its endeavor.

“Free groceries. Free markets. Built for the people who power New York,” the company said in an announcement.

What is Polymarket?

Polymarket allows users to bet on the outcomes of real-world events, everything from who will win the Academy Award for best actress to when the United States will confirm the existence of aliens.

Top trending bets on the platform on Friday, March 20, included whether the United States would invade Cuba in 2026 and who the 2028 Republican presidential nominee would be, among others.

Betting platform under scrutiny over ‘Situation Room’ name, more

Polymarket has come under intense scrutiny since its launch in 2020. In January, the Nevada Gaming Control Board filed a civil enforcement action against the company. In the complaint, the Board asked the court for a declaration and injunction to stop Polymarket from offering unlicensed wagering in violation of Nevada law.

However, Nevada isn’t the only entity trying to take the platform to court. Brett Bruen, the chief executive of the Global Situation Room, a public affairs agency, called the company out on X for allegedly using the organization’s trademarked name.

“We have @GlobalSitRoom & related terms trademarked (checks notes) …for tracking situations around the globe,” Bruen wrote. “Flattered, really – it’s a great name. But, no, you can’t use it. Yes, my lawyers will be in touch.”

Global Situation Room also sent a cease and desist letter to Polymarket, alleging that the company’s use of the “Situation Room” name gives a false impression that Global Situation Room is “somehow connected or associated with Polymarket’s services,” CNBC reported, citing a letter from the public relations agency.

“Indeed, there are obvious overlaps in the uses of GLOBAL SITUATION ROOM and THE SITUATION ROOM such as both marks include ‘SITUATION ROOM’ and allow consumers to monitor and act on global affairs,” the letter, written by Shane Delsman, an attorney at Milwaukee, Wisconsin-based law firm Godfrey & Kahn, reads. “In fact, the marks are so similar, Global Situation Room has already witnessed actual confusion in the form of press requests to comment on the opening of the new THE SITUATION ROOM bar.”

USA TODAY reached out to Polymarket for comment on March 20.

Michelle Del Rey is a trending news reporter at USA TODAY. Reach her at mdelrey@usatoday.com

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Washington

Devils Head to Nation’s Capital | PREVIEW | New Jersey Devils

Published

20 hours ago

March 20, 2026

Press Room

Devils Head to Nation’s Capital | PREVIEW | New Jersey Devils

THE SCOOP

The Devils opened their five-game road trip with a 6-3 victory at New York’s Madison Square Garden on Wednesday night. New Jersey’s faces Washington on the second leg that includes stops in Dallas, Nashville and Carolina.

New Jersey is now 7-2-0 in its past nine games. The Devils are enjoying an offensive explosion of late. During their past nine games, New Jersey has totaled 4.11 goals per game. And they’ve scored 10 power-play goals on 24 opportunities (42%).

The Caps head into the back half of their season-long four-game homestand on Friday night when the New Jersey Devils make their second visit of the season to DC. Washington has earned at least a point in each of the first two games of the homestand, taking a 3-2 shootout loss to the Bruins last weekend before beating the Senators by a 4-1 count on Wednesday.

Wednesday’s win still leaves the Caps with less than a 10-percent chance of slinking their way into the Stanley Cup playoffs. With just 13 games remaining on the season, the Caps will likely need to win at least nine – and likely 10 or 11 – of those games to have a viable chance of getting in.

Rookie Cole Hutson, who made his NHL debut Wednesday night, also picked up his first career NHL goal with an empty-netter. Hutson was a second-round pick (43rd overall) in 2024.

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Washington

New Washington law reaffirms ban on voting more than once in an election

Published

1 day ago

March 19, 2026

Press Room

New Washington law reaffirms ban on voting more than once in an election

A new state law aims to erase any confusion about Washington’s ban on voting more than once in an election.

Its approval follows a court decision that officials warned could incite voter fraud.

Longstanding Washington law makes it illegal for a person to cast more than one ballot in any election in the state, or to vote in any election in this state and another state during the same period.

But a state appeals court in January overturned the felony conviction of a Lewis County resident found guilty of voting twice in November 2022 — once in Washington and once in Oregon. The court concluded that because the candidates and measures differed on the two ballots, one could interpret them as different elections under Washington law.

“This fixes an ambiguity in state law,” Gov. Bob Ferguson said Tuesday before signing Senate Bill 6084. It contains an emergency clause and took effect immediately.

“Voting more than once in an election is an affront to everyone who participates in our democracy,” Ferguson later wrote on X. “This bill makes it clear that double voting is illegal.”

The legislation sponsored by Sen. Adrian Cortes, D-Battle Ground, adds language to existing law to spell out that “election” refers to any general, primary, or special election.

“An election is the ‘same election’ if the election date is the same, regardless of the candidates, offices, issues, or measures on the ballot and regardless of the date on which ballots are mailed or returned,” reads the bill.

Secretary of State Steve Hobbs asked lawmakers to act swiftly, worried the court ruling opened the door to the potential of voters casting more than one ballot in November.

“This legislation helps to ensure that Washington’s elections remain secure, accurate and fair,” Hobbs said in a statement.

In Washington, voting more than once in an election is a class C felony punishable by up to five years in prison and a $10,000 fine.

Meanwhile, Lewis County is appealing the January decision to the Washington Supreme Court.

This story was originally published by the Washington State Standard.

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