Press Release: Chairman Mendelson Statement on Revenue Estimates Ahead of FY 2022 Budget

News Release — DC Council Chairman Phil Mendelson

FOR IMMEDIATE RELEASE:

Friday May 14, 2021

CONTACT: Lindsey Walton

WASHINGTON, DC — Chairman Phil Mendelson released the following statement about the pre-budget revenue estimates:

“The revenue estimates leading into the release of the Mayor’s FY 2022 budget show that the economy continues to improve, and that revenue growth continues to exceed estimates.  The remaining projected financial plan deficit is miniscule.

“Importantly, the revenue projections include good news for low-income workers and those who are currently unemployed. The CFO’s projections include changes in the federal tax law that are automatically incorporated into the District’s tax law.  And because they are factored into the revenue estimates, they are unlikely to be changed by the Council or Mayor.  In other words, low-income workers eligible for the Earned Income Tax Credit will see a tripling of the credit.  For those who received unemployment compensation last year, the first $10,200 is exempt from tax.  And the Child and Dependent Care credit will increase from 35% to 50% of expenses. 

“Simply because of the improved revenues, the District will provide more than $60 million relief for these individuals.  That’s above what relief we provided in the approved budget.  This truly is remarkable.”

The CFO’s revenue letter is available at cfo.dc.gov. 

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