The D.C. Council moved Tuesday toward restoring hundreds of millions of dollars for social services and programs that Mayor Muriel Bowser had proposed cutting as part of the 2027 budget, using money from the city’s reserves and pulling in new revenue by decoupling from federal tax cuts approved by Republicans in Congress last year.
In their first vote on the city’s $21.2 billion budget, lawmakers did not consider any tax hikes, despite one proposal that would have imposed a new tax on wealthy residents’ capital gains, dividends and rental income.
But lawmakers could still consider the option before a final budget vote on June 23. Regardless, Chair Phil Mendelson said he would hold a public hearing in the fall on new ways for the District to bring in more revenue.