Budget Season Wraps Up with Wins for Housing, Small Businesses, and Workforce Development

August 28, 2025

Home News and Updates Budget Season Wraps Up with Wins for Housing, Small Businesses, and Workforce Development

After weeks of advocacy, debate, and last-minute amendments, the District’s nearly $22 billion FY2026 Budget was finalized last month. This year’s process was unlike any other, as the Mayor, Council, and advocates grappled with unprecedented challenges and severe external pressures. Despite the difficult climate, The Coalition and its members successfully pushed to protect and expand resources for affordable housing, small businesses, and workforce development programs.

Housing Wins

The Coalition helped secure major investments in affordable housing programs. Most importantly, we helped restore $100 million to the Housing Production Trust Fund, the District’s primary tool for producing and preserving affordable housing, with an additional $10 million in contingency funding. Funding for the Project-Based Local Rent Supplement Program and the Neighborhood-Based Activities Program exceeded our recommendations, providing $1.1 million and $2.4 million more than our asks to reach deeper affordability and strengthen housing counseling services. We also won a $6.5 million increase for the Emergency Rental Assistance Program (ERAP) — plus $2.9M more in contingency funding — to keep DC’s renters housed and the rent paid even when an emergency happens. For the Home Purchase Assistance Program (HPAP), we won a $1.8M increase to help DC renters become homeowners, along with legislative changes to HPAP to make it more predictable for first-time homebuyers.

Economic Development Wins

The Coalition also helped secure critical investments to strengthen local businesses and workforce opportunities. The Main Streets program received $6.17 million, which includes a one-time enhancement to support the efforts of the 31 neighborhood commercial corridors that revitalize business districts and support local entrepreneurs. Additionally, our advocacy highlighted several programs that ultimately received funding in the final budget. This included $1.5 million for the Commercial Property Acquisition Fund, which helps DC-based businesses purchase property and establish or expand a physical presence; $500,000 for the Robust Retail Grant Program, which provides direct support for existing DC retail businesses to remain viable and competitive; and $250,000 for the Aspire Program, which delivers entrepreneurship training for returning citizens and justice-involved residents looking to start or grow a business.

Affordable Housing
Budget Comparison Chart

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Economic Development
Budget Comparison Chart

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The Bottom Line

Compared to the initial proposal, The Coalition’s efforts delivered an additional $12.5 million for affordable housing and economic development in the final FY2026 budget. While some programs did not receive the full funding we hoped for, our collective advocacy secured meaningful gains that will help ensure the District’s most vulnerable communities are not left behind.

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