On June 25th, D.C. Council concluded its FY25 budget process. The mayor’s proposed budget was, overall, disastrous for those who struggle the most to maintain and obtain housing in D.C. It underfunded or failed to fund critical housing resources and programs within the Department of Human Services (DHS), forcing D.C.’s lowest-income residents to share meager and inequitable investments. While there are a few noteworthy housing investments and D.C. Council made some progress in reducing the harm of the mayor’s original budget proposal, the final FY25 budget remains one of the most disappointing and regressive budgets for housing resources and housing justice in recent years.
Despite data confirming the continued increase in homelessness and housing insecurity in D.C., the mayor funded no new housing vouchers and cut the primary program that stops eviction and displacement, the Emergency Rental Assistance Program (ERAP). Primarily through the funding efforts of Housing Committee Chairman Robert White and Council Chairman Phil Mendelson, the final FY25 budget includes 619* housing vouchers (168 for individuals/451 for families) that will permanently end homelessness for those who need them. While the final number is disappointing, the investment of 619 vouchers after Mayor Bowser planned for zero new vouchers is also something to celebrate. It is far less than what D.C. actually needs to curb its crisis of unaffordability and homelessness, but the investment’s impact is clear. The new vouchers mean that hundreds of households, including nearly one thousand children, will no longer have to experience the dangers and trauma of homelessness– lives will be saved and forever changed.
Unfortunately, in a place as well-resourced as D.C., D.C.’s budget should include many more than 619 housing vouchers (a mere twelve percent (12%) of the total recommended need)**. D.C. Council increased the mayor’s ERAP funding allocation; however, even with the increase, the FY25 ERAP funds ($26.9 million) are approximately forty percent (40%) less than this year’s local budget allocation—an amount that has already proven insufficient to serve D.C. residents in need of rental assistance. Despite the demand continuing to exceed resources, current administrative delays, and existing technical barriers to program access, the Bowser Administration is intent on decreasing funds and has indicated a desire to further restrict ERAP access next year. As homelessness and housing insecurity rise, D.C.’s FY25 budget limits the opportunities for residents to obtain permanent housing and reduces the only assistance residents can apply for to maintain their existing housing and prevent eviction.
The overall lack of investment in ending and preventing homelessness is compounded by the Bowser Administration’s cruel and shortsighted decision to terminate 2,200 families from the failing rapid re-housing (RRH) program this fiscal year (and an additional 1,000 in FY25 and each year thereafter) without any consideration or stabilization plan for the majority of those households. Without the program’s rental subsidy, families, including approximately 5,500 children, will likely face eviction, displacement, and homelessness again. Despite knowing the impact of ousting these households, DHS has proceeded onward, and hundreds of families have been terminated since May.
After facing much criticism for her administration’s careless planning, Mayor Bowser revealed that she asked the D.C. Housing Authority (DCHA) to dedicate 1,300 Housing Choice Voucher Program (HCVP) vouchers to the RRH families that her administration decided to terminate, an attempt to mitigate the harm that her administration chose to inflict. Though the budget process has concluded, rapid re-housing program participants continue to experience a heightened level of uncertainty about their housing security. As of July 11th, DCHA passed a resolution to grant Mayor Bowser’s request to dedicate 1,300 federal vouchers to terminated RRH families – a remedy that would not have been necessary were it not for her administration’s decision to impose a strict time limit on families in RRH. However, DHS has made no commitment yet to extend families in the program until either the 1,300 HCVP vouchers or the newly funded FY25 vouchers are available to the families. It could take months before DCHA completes their eligibility process and families are able to lease up with the new vouchers. In the meantime, if DHS does not keep paying their rent, they will fall behind and face eviction. (Sign open letter to Mayor Bowser to keep families housed until they are transferred to vouchers here.)
Hundreds of D.C. residents contacted the D.C. Council to request a stop to the terminations, funding of permanent housing vouchers so that families could be placed in a more appropriate program, and passage/funding of permanent legislative reform through the Rapid Re-Housing Reform Amendment Act. Despite strong advocacy from community members (participants, advocates, landlords, and providers) and nearly every councilmember naming the protection of RRH families from termination as a high priority this budget season, the D.C. Council failed to do what was necessary to safeguard housing for participants. The D.C. Council actually managed to make the program even worse by passing a Budget Support Act subtitle that removed substantive and procedural rights of participants in the program. While the offices of Housing Committee Chairman Robert White and Council Chairman Phil Mendelson worked diligently to mitigate the harm of the subtitle, the D.C. Council ultimately failed to stop the terminations or the further erosion of participants’ legal rights. We remain committed to using every single tool at our disposal to fight for and with our clients to avoid eviction and homelessness.
The FY25 Budget Process is Over, but the Consequences Remain
Mayor Bowser’s decision to prioritize slashing the funds and programming for critical human services and needs has real and debilitating consequences for D.C. residents and the homeless services system. Despite previous declarations of a commitment to ending homelessness and advancing racial equity, the FY25 budget is evidence of a continued abandonment of those ideals. At a time when housing insecurity is soaring, D.C.’s multi-billion-dollar local budget stripped the most critical agency of the resources it needs to support its lowest-income residents. The callous decisions of the Bowser Administration and the inaction of the D.C. Council, failing to reverse the administration’s harm, will result in more people losing housing opportunities and stability than gaining access to housing resources. The strong investment in public housing repairs ($57.9 million) and the full funding for the operation of the two new non-congregate shelters ($13.275 million) are notable budget inclusions. However, D.C. government’s inability to address the lack of affordable housing and the fact of increased homelessness in this budget will have a devastating impact in the coming months and year.
Without a robust investment in housing creation and ensuring D.C. residents have access to the programs they need to maintain their lives and housing in D.C., the number of people experiencing housing instability and homelessness will increase. Without rapid re-housing program reform, DHS will continue to set low-income Black families up to fail, cycling them in and out of homelessness with unnecessary, forced, and repeated displacement. The narrative of budget austerity, sacrifice, and efficiency cannot only apply to the resources that prioritize resident needs. The unfortunate reality is that D.C. government will have to pay for its disinvestments for years to come. Amidst growing rates of homelessness, insufficient investment in permanent affordable housing and eviction prevention will result in more evictions, new encampments, and the need for increased shelter capacity.
D.C. residents deserve better than this budget. We must continue to urge D.C. government to prioritize the basic needs of its residents, elevating the resources and investments that keep people safely and permanently housed. D.C. has the funds to meet the needs of those who struggle the most. D.C. has the ability to administer programs and resources competently, humanely, and equitably. The mayoral administration and D.C. Council must choose, allocate, and do better to align their belief in a progressive and equitable D.C. with the lived experiences of D.C.’s most marginalized residents.
* 619 vouchers= 325 PSH-F, 148 PSH-I, 20 LRSP-LGBTQ, 126 LRSP
** Check out all of Legal Clinic’s FY25 budget funding and reform recommendations here
