D.C. Mayor Bowser Proposes $21.2B FY 2027 Budget

Washington, D.C. Mayor Muriel Bowser unveiled her proposed Fiscal Year 2027 budget on Friday, presenting a 21.2 billion gross operating spending plan designed to address a 1.1 billion shortfall without increasing property or income taxes. The proposal, delivered at the Martin Luther King Jr. Memorial Library, marks Bowser's final budget before she leaves office in January 2027 after declining to seek a fourth term. It prioritizes public education, public safety, health care, core services and economic growth amid flat revenue projections and rising costs.

The operating budget totals 12.7 billion, a 3.3 percent decrease from fiscal year 2026, achieved through nearly 500 million in program reductions, 340 million in one-time savings and about 19 million in new revenue from targeted tax and fee adjustments. These include raising the sales tax on medical marijuana from 6 percent to 10.25 percent, while deferring a broader sales tax increase. Officials described the approach as shielding lower-income residents from regressive tax hikes while closing the gap through efficiencies.

Key cuts include eliminating 127 million set aside for future collective bargaining agreements and...