The District of Columbia's ability to spend money it has already approved in its budget is in doubt and causing rising concern after the continuing resolution passed by the House last month omitted language allowing the city to tap funds in the 2025 budget.
"We continue to be very concerned about it," said Mayor Muriel Bowser during an impromptu press event on Monday.
"I'll be talking to House leadership with a focus on getting a date this week, that this fix as President Trump called it two weeks ago, gets passed. Getting beyond this week puts us in territory where we have to take more extraordinary moves so that our budget remains balanced."
The House has several simmering issues on the stove this week including complex budget compromises and a two-week recess that begins on Friday.
The language missing from the CR means that the city is required the city to adhere to its 2024 budget, as opposed to the 2025 budget, resulting in a $1.1 billion shortage. The Senate passed a bill that makes the money available, and President Trump voiced support, but the bill changing the law still resides in the House.
The city's financial future has been on a roller coaster ride since Trump took office as the federal government's return to office mandate filled Metrorail cars and clogged the highways. Workforce cuts aimed at downsizing the federal workforce has also taken a toll.
"What we already know from these DOGE cuts to the federal government that the impact on the district is that we may have up to 40,000 people who don't have their jobs in the course of the next four years," said Bowser.
"We're very focused on how we retain our residents, but also how we're supporting our existing businesses and growing our businesses. We have to replace a lot of economic activity in our city just to stay where we are, and we have to invest in new businesses and new activity to continue to grow."
The city and the federal government it hosts share a complicated relationship that includes Congressional oversight of city finances. Washington, D.C. is required by law to operate on four-year budget plans that must stay balanced.
The mayor was supposed to submit her 2026 budget to city council last week but let the deadline slip blaming the delay on the non-decision in Congress.
All three major rating agencies have the city's general obligation bond rating at AA+ or above, but Fitch Ratings imposed a negative watch on the situation while Moody's Ratings ponders a possible
Along with his support for fixing the budget, the President announced the formation of a task force of cabinet-level officials to make the District of Columbia safer and more beautiful via an Executive Order.
The agenda includes cracking down on illegal immigration, recruiting additional police officers, streamlining the process of carrying concealed weapons, and removing graffiti.
The mayor noted that cuts to the National Park Service has already strained efforts to keep the city neat and tidy.
"We saw with the Cherry Blossom weekend some overflowing trash cans," she said. "That's not beautiful, so we want that fixed. Additionally, we've outlined several fountains that are in the NPS portfolio that don't work. Getting those fixed, that's beautiful."
