CRS Report on FY2026 District of Columbia Budget and Appropriations

The Government Accountability Office report covered the FY2026 District of Columbia Budget and Appropriations. The report examined how congressional approval affects the local operating budget and legislation for the District of Columbia. This process involves federal payments and controls on DC funds through annual appropriations legislation.

District of Columbia Budget Process

The Trump Administration submitted a discretionary budget request for FY2026 on May 2, 2025. This request included a proposed $728.5 million in federal payments to the District of Columbia. The DC government passed a budget of $22 billion in gross funds on September 4, 2025. In the House, a bill providing $823.9 million for DC was reported on September 5, 2025. A continuing resolution provided funding through January 30, 2026. The Consolidated Appropriations Act, 2026 provided $879 million in federal payments for DC.

Congress Controls DC Budget

Congress holds the final legislative authority over the District of Columbia. Congress exercises this authority by approving the annual DC budget and providing federal payments for certain activities in DC. Congress also includes general provisions that direct or limit how the local government spends funds. In some instances, continuing resolutions allowed DC to spend local revenues based on its current fiscal year budget before formal approval. The DC Home Rule Act outlines how the Mayor and Council develop the annual budget. The DC council performs an oversight function by holding budget hearings for agencies.

D.C. Budget Approval Process

The D.C. council must approve a budget within 70 days after receiving a proposal from the mayor. The Home Rule Act directs the mayor to send the federal portion of the budget to the President for review and approval through Congress. The council approves the annual budget using three local bills. Since FY2008, D.C. appropriations have been included in the Financial Services and General Government appropriations bill. Before FY2006, DC appropriations were provided by separate House and Senate bills. The Local Budget Autonomy Amendment Act of 2012 amended the charter to allow for local budget enactment after a 30-day congressional review period.

The report, FY2026 District of Columbia Budget and Appropriations (R49497), by Joseph V. Jaroscak, is dated October 30, 2026. Read it on Congress.gov.