FY 2022 Budget Resources - including updated lookup tool

Hello Colleagues –

Welcome to the FY 2022 budget season! It is later than we would have liked, but is shaping up to be one of our more exciting seasons. The inclusion of stimulus funds from the American Rescue Plan Act adds a completely new dimension to Council’s oversight this year.

i would like to take this opportunity to remind everyone of the resources available at the Office of the Budget Director’s website, in particular the FY 2022 Key Documents Page and the FY 2022 Budget Lookup Tool .

We hope that the FY 2022 Key Documents Page can serve as your one stop location for all things budget. We have links to the budget books and budget legislation and will continue to update the page regularly with useful information.

My favorite new feature on our website is the Budget Lookup Tool (h/t to Errol and Ali). This lookup tool makes in-depth budget data more transparent and accessible both during budget oversight and throughout the fiscal year.  By using this tool, you will be able to look up budget numbers for any District agency by Agency/Program/Activity/Service/CSG/Fund Type and compare FY 2020 Actuals to FY 2021 Approved to FY 2022 Proposed.  We hope this tool will help you conduct budget queries in a fraction of the time that it would take to flip through the budget books.  

The Budget Office is looking forward to working with you over the next several months. If you have any questions, please feel free to reach out to your analyst or directly to me.

Thanks much,

Jen Budoff, Budget Director, Council of the District of Columbia

Quarterly Update: Laws Passed Subject to Appropriation

The January 15 quarterly update of legislation passed subject to appropriation (S2A) is now available.  

Pages 1-4 show only those measures that remain S2A as of January 15, 2021. Pages 5-22 include all measures originally passed S2A. Pages 23-26 list the measures passed S2A in Council Period 23 and pages 27-33 reflect measures passed S2A in Council Period 22.

For each section, the entries that have changed since the October circulation have been highlighted. In addition, on tab 1, legislation subject to repeal in the upcoming Fiscal Year 2022 Budget Support Act is highlighted in purple.

As of this date, 63 measures remain subject to funding.

In CP23, 53 bills passed S2A:

• 12 were fully funded in the FY21 budget

• 2 expired (emergency and temporary legislation)

• 39 remain unfunded:

  • 36 of those were enacted after the FY21 budget was approved

  • 1 will be funded by a reprogramming the Mayor has committed to

  • 13 are only partially S2A

In CP22, 90 bills passed S2A:

• 56 have been fully funded

• 1 was certified as funded by the OCFO

• 1 expired (emergency legislation)

• 12 were repealed (of which 10 were repealed outright and for the remaining 2, only the unfunded portions were repealed)

• 20 remain unfunded (of which 6 have been funded in part and 3 were funded by Council in FY20 and subsequently unfunded by the Mayor in the FY21 budget)

• 14 are subject to repeal in the FY22 BSA

 The next quarterly update will be available April 15, 2021.

Quarterly Update: Laws Passed Subject to Appropriation

The October 15, 2020 quarterly update of legislation passed subject to inclusion in a budget and financial plan has been posted to the website.

The first two pages show only those measures that remain subject to appropriation (S2A) as of October 15, 2020. Pages 3-19 show all measures originally passed S2A; pages 20-21 show what measures have passed passed S2A thus far in the current council period (CP23); and pages 22-28 show CP22 measures that passed S2A. In all sheets, the entries that have changed since the July circulation have been highlighted.

Of the 24 bills passed S2A thus far in CP23:

• 12 were fully funded in the FY21 budget

• 2 expired (one emergency bill and its corresponding temporary bill)

• 10 remain unfunded (of which 3 are only partially S2A)

Of the 90 bills passed S2A in CP22:

• 56 have been fully funded

• 1 was certified as funded by the OCFO

• 1 expired (an emergency measure)

• 12 were repealed (of which 10 were repealed outright and the remaining 2 had the unfunded portions repealed)

• 20 remain unfunded (of which 3 have been funded in part and 3 were funded by Council in FY20 and subsequently unfunded by the Mayor in the FY21 budget)

The next quarterly update will be available January 15, 2021.

Criminal Justice Reform

Dear Budget-Minded Friends,

During the month of September, the Council’s Budget Office is issuing a series of reports that highlights some of the most important enhancements that the Council funded in the FY 2021 Budget and Financial Plan. These reports explain and contextualize the Council’s budget enhancements.

On September 14th, we released the second report in the series – Criminal Justice Reform.  This report details how the Council upholds its commitment to an equitable criminal justice system, community safety, and support for incarcerated and returning residents with $15.5 million of enhancements and reallocations in the FY 2021 operating budget.

The Council’s FY 2021 actions include:

• $4.8 million for victim services grants

• $4.6 million for violence intervention and prevention

• $3.4 million for justice grants

• $1.7 million for the Access to Justice program

• $568 thousand for a paralegal fellowship for returning citizens

• $254 thousand for the Access to Jobs program for returning citizens

• $9.7 million from the Metropolitan Police Department and $637 thousand from the Department of Corrections reallocated for violence interruption, restorative justice, and victim services.

The Criminal Justice Reform budget report is the second report in a seven-part series. Find the report that has already been issued in the link below or by visiting https://www.dccouncilbudget.com/fy-21_budget-summary-report. Stay tuned for the release of the next reports in the series.

• Introduction to the FY21 Budget

• Investing in Education – Wednesday, September 16

• Social Determinants of Health – Friday, September 18

• Economic Justice – Monday, September 21

• Inclusive Governance – Wednesday, September 23

• Revenue and Resource Reallocation – Friday, September 25

As always, my team and I are available to answer any questions you may have.

Thank you for your assistance and support,

Jen Budoff

Budget Summary Reports - Introduction

Dear Budget-Minded Friends,

The FY 2021 Budget and Financial Plan reflects the District of Columbia’s progressive values and envisions a more just and equitable future by investing in policies, programs, and services that tackle the root causes of racial injustice and work to alleviate its symptoms. The District simultaneously faces the greatest public health crisis in living memory, a social reckoning on the compounded effects of generations of racial injustice, an unprecedented number of residents facing job loss, businesses everywhere on the brink of financial ruin, and declining tax revenues. The FY 2021 Budget and Financial Plan recognizes that the District has a tough road ahead, but a recovery that gets us back to “normal” is not good enough. The FY 2021 Budget and Financial Plan guides the District of Columbia towards both financial recovery and racial equity.

The Council’s Budget Office is issuing a seven-part series of reports that highlights some of the most important enhancements that the Council funded in the FY 2021 Budget and Financial Plan. These reports explain and contextualize the Council’s budget enhancements.

On September 10th, we released the first in the series – Introduction to the FY 2021 Budget.

This first report discusses the dual impacts of the COVID-19 pandemic and historic job losses on the District. Together, they have laid bare the ubiquity and perniciousness of racial inequity in the United States. The report discusses the health and economic disparities that have been so apparent and deeply felt in the context of COVID-19. It also discusses the inequitable structural conditions that exacerbate health disparities.

Stay tuned for the release of the complete series of reports, which will be sent out over the Council’s e-mail system and will be published on www.dccouncilbudget.com:

• Criminal Justice Reform – Monday, September 14

• Investing in Education – Wednesday, September 16

• Social Determinants of Health – Friday, September 18

• Economic Justice – Monday, September 21

• Inclusive Governance – Wednesday, September 23

• Revenue and Resource Reallocation – Friday, September 25

As always, my team and I are available to answer any questions you may have.

Thank you for your assistance and support,

Jen Budoff

FY 2021 Budget and Financial Plan

The FY 2021 Budget and Financial Plan reflects the District of Columbia’s progressive values and envisions a more just and equitable future by investing in policies, programs, and services that tackle the root causes of racial injustice and work to alleviate its symptoms. The District simultaneously faces the greatest public health crisis in living memory, a social reckoning on the compounded effects of generations of racial injustice, an unprecedented number of residents facing job loss, businesses everywhere on the brink of financial ruin, and declining tax revenues. The FY 2021 Budget and Financial Plan recognizes that the District has a tough road ahead, but a recovery that gets us back to “normal” is not good enough. The FY 2021 Budget and Financial Plan guides the District of Columbia towards both financial recovery and racial equity.

All draft Fiscal Year 2021 Budget and Financial Plan documents under consideration at the Committee of the Whole and Legislative Meeting on July 7, 2020 are attached to this message and posted will be posted to the Budget Office’s website, and the Council’s website.

• Draft Committee Report for Bill 23-760, the “Fiscal Year 2021 Budget Support Act of 2020”

• Draft Committee Print for Bill 23-760, the “Fiscal Year 2021 Budget Support Act of 2020”

• Draft Committee Report for Bill 23-761, the “Fiscal Year 2020 Local Budget Act of 2020”

• Draft Committee Print for Bill 23-761, the “Fiscal Year 2020 Local Budget Act of 2020”

• FY21 LBA Summary – this is a new document for this year, which provides a comprehensive summary of the Council’s modifications to the budget

Summary of Budget Modifications:

• The Council expands the Housing Production Trust Fund (HPTF)’s capacity to create new units of affordable housing by unlocking $88 million in new funds from the federal Section 108 Affordable Housing Fund and increasing the District’s FY 2021 commitment to HPTF by $9 million.

• The Council provides $50 million for critical and long overdue repairs to DCHA’s public housing complexes. This enhancement builds upon the Council’s investment of $23.5 million in FY 2020 and will allow the District to increase the number of habitable public housing units and draw families off DCHA’s waitlist.

• The Council dedicates $6.05 million to create approximately 301 new units of housing for extremely low-income families and individuals through Local Rent Supplement Program (LRSP), including $5 million to project/sponsor based LRSP to ensure that the housing production dollars will create units that are affordable to households earning 30% of the Area Median Income (AMI).

• The Council directs a total of $11.06 million to eviction prevention and homeless service to assist families and individuals facing homelessness and strengthen housing supports in the wake of COVID-19, including a $6.3m enhancement to the Emergency Rental Support Program (ERAP).

• The Council dedicates $5 million to continue Events DC’s cash assistance program for undocumented workers who have lost their jobs or have had their hours cut during the public health emergency.

• Understanding mental health care is even more important during times of crisis, the Council invests $9.5 million to reverse the Mayor’s cuts to the Behavioral Health rehabilitation program at the Department of Behavioral Health. The Council also redirects $4.1 million intended for school security guards within DCPS for investments in the social and emotional learning of students.

• The Council continues its work to build a more just and equitable criminal justice system by reallocating $9.67 million and 50 FTEs from MPD to agencies and programs doing violence interruption and prevention, restorative justice, and victim service work, such as $3.5 million to the Office of Victims Services and Justice Grants for the Access to Justice Initiative and $1.25 million to ONSE for violence prevention and intervention contracts.

• The Council acknowledges the need for continued efforts to address racial equity in the legislative actions it takes by allocating $1.32 million and 10 FTEs to fund the “Racial Equity Achieves Real Change Amendment Act of 2020” and $500,000 in the capital budget for the development of a racial equity tool, infrastructure system, and dashboard to track racial disparities in the District.

• The Council provides $3.29 million to educate District employees and employers on workplace protections, including $2.19 million to implement the “Tipped Wage Worker Fairness Amendment Act of 2018” and $1.85 million to enforce the “Universal Paid Leave Act of 2016”.

• The Council works to build a more equitable future by investing a total of $6.23 million into grants, programs, and services that support disadvantaged enterprises and foster inclusive growth.

• The Council enhances the DC Public Library by $4.1 million with $2.7 million to restore library operating hours and $1.5 million to increase circulation.

Summary of Revenue Proposals:

• The Council is broadening the sales tax base by adding the sale of advertisements and personal data to the list of those goods and services subject to a sales tax. In this endeavor, the District joins the City of Phoenix, AZ, the Province of Quebec, Canada, seven states, and 29 nations who have either considered or have implemented a sales tax on the sale of advertisements in their jurisdictions. The Council set the sales tax rate at 3 percent for the sale of advertisements and personal information and expects revenues to increase by $18.4 million in FY21 and $79 million over the financial plan.

• The Qualified High Technology Company (QHTC) tax incentives program is the largest Economic Development Tax Expenditure provided by the District. The Office of the Chief Financial Officer has indicated that gains in the District’s high-tech industry and some QHTC payrolls cannot be attributed to the QHTC incentives due to their untargeted nature. Structural issues within the program also pose fiscal risks for D.C. and make administration and compliance enforcement difficult. The Council makes changes to the QHTC tax incentives program, by increasing the franchise tax rate for the first five years to 3 percent for companies currently receiving the exemption. All new QHTCs will be able to take advantage of a 6 percent while participating in the program. The Council also extends the tax exemption delay on capital gains from the sale of an investment in a QHTC to tax years beginning on and after January 1, 2025.

• The Council is raising the District of Columbia’s motor fuel tax in FY 2021. The District’s new rate of $0.338 per gallon will to be lower than Maryland’s rate of $0.367 per gallon and equivalent to Northern Virginia’s 2021 rate. The current DC gas tax is 8% of the wholesale price with a floor of $0.235 per gallon. 

In addition to these highlights, the LBA Summary and the LBA report describe the significant changes that the Council made to the Mayor’s proposed budget and explains how these adjustments make the District a better place for its residents and businesses.

As always, my team and I are available to answer any questions you may have.

Thank you again for your assistance and support,

Jen Budoff

Comprehensive Policing and Justice Reform Emergency Amendment Act of 2020

The Fiscal Impact Statement for the Comprehensive Policing and Justice Reform Emergency Act of 2020 can be found here

Budget Season Has Arrived!

The FY21 budget season has arrived. The Office of the Budget Director’s website is a one stop shop for all things budget. We aggregate all of the legislation, budget chapters and committee work on our FY21 Budget page, post resources in our budget toolkit, and link to updated budget schedules. Our analytics page will be updated regularly with new visualizations and dashboards to dive deeper into the budget data. If you want to learn more about the District’s budget and how to understand the budget books, presentations can be found on our brown bags page. Contact information for the team can be found here.

We look forward to working with you over the coming weeks and months!

Jen Budoff, Budget Director

DC Council FY21 Budget Oversight - Notice of Hearings and Instructions for Public Participation

Budget Timeline and Oversight Hearing Schedule

In response to the ongoing public health emergency related to the Coronavirus and COVID-19, the District of Columbia Government has taken steps to combat the spread of the virus, focus our government resources on a full and complete response, and protect the health, safety, well-being, and economic future of District residents.

The Mayor will be transmitting her FY 2021 Budget and Financial Plan and associated documents to the Council on May 12, 2020. The Notice of Hearings and Instructions for Public Participation detail the date and time of each hearing as well as the specific instructions each committee has for members of the public to provide their input on the proposed budget.  

Many elements of the FY21 budget process remain in flux as we continue to respond to the changing public health emergency. Our office will provide updates as they become available. Please check our website www.dccouncilbudget.com, twitter @dccouncilbudget, and www.dccouncil.us, for budget schedule updates. For all information pertaining to the District’s response to Coronavirus, please visit coronavirus.dc.gov.

Updated FY2021 Budget Schedule

Today, in response to the ongoing public health emergency related to the Coronavirus and COVID-19, the Council of the District of Columbia took steps through emergency legislation to combat the spread of the virus, focus our government resources on a full and complete response, and protect the health, safety, well-being, and economic future of District residents. While the full weight of the District government is focused on combating the spread of Coronavirus, the Council decided to postpone the release of the Mayor’s Fiscal Year 2021 budget from March 19, 2020 to no later than May 6, 2020. All budget hearings originally scheduled to begin March 23, 2020 have been cancelled until further notice.

Many elements of the FY21 budget process remain in flux as we continue to respond to the changing public health emergency. Our office will provide updates as they become available. Please check our website www.dccouncilbudget.com, twitter @dccouncilbudget, and www.dccouncil.us, for budget schedule updates. For all information pertaining to the District’s response to Coronavirus, please visit www.coronavirus.dc.gov.

Updated Subject to Appropriations (S2A) List

Hello everyone,

The most recent quarterly update of legislation passed subject to inclusion in a budget and financial plan has been posted to the website.

The first tab shows only those measures that remain S2A as of January 15. 2020. The second tab shows the complete list of all measures originally passed subject to funding. The third tab is what has passed S2A in CP 23. In all sheets, the lines that have changed since the October circulation have been highlighted.

As always, please let me know if you have any questions or comments.

Thanks,

Anne Phelps, Budget Counsel and Senior Advisor