Sunday, July 12, 2009

Congressional appropriation to DC

Did you know that the District government has money it can spend that is not approved by the mayor and council?   Yes, it's true.   The council and mayor only approve the budget request that is sent to the Hill for approval.   They approve the budget support act and budget request act.

This other federal money, sometimes referred to as the "federal payment", comes from Congress as part of their DC budget appropriation process, part of the federal appropriation/budget process.   The DC appropriation is approved along with the rest of the annual budget and is signed by the President.   Once approved, the funds are included in the city's accounting system and show up in the budget as Federal funds.   The DC government must file special reports for these monies.

Congress also appropriates funds to nonprofits; this money flows through the Office of the Chief Financial Officer.   Yes, these are earmarks.   Special reports are required for these funds as well.

So why do we care?   Well, this is just another bit of knowledge that explains how the city is funded and why we get some of the money we do.

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