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Deputy Mayor outlines GrowDC budget, highlights RFK deal and downtown investments
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Summary
Deputy Mayor Nina Albert told the Council's Committee on Business and Economic Development that Mayor Bowser's proposed FY2026 'GrowDC' budget prioritizes downtown repositioning, a restored tech tax credit and the Washington Commanders' planned return to RFK, and proposes repurposing a hotel surtax to fund economic partnership marketing.
Deputy Mayor Nina Albert told the Council's Committee on Business and Economic Development on June 16 that Mayor Muriel Bowser's proposed fiscal year 2026 budget advances a “GrowDC” strategy to diversify the District's economy and position downtown for longer-term recovery.
Albert said the plan centers on higher-growth subsectors and targeted place investments. “GrowDC is designed to rebalance our economy by focusing on high growth subsectors of the economy,” she said, naming sports, entertainment and technology as priorities.
Why it matters: The testimony links the mayor's budget to a major, ongoing redevelopment — bringing the Washington Commanders back to the RFK campus — and to a set of downtown projects intended to increase tourism, jobs and private investment. Those choices would reshape how the District directs limited local revenue over the next several years.
Key proposals and figures - DMPED (the Office of the Deputy Mayor for Planning and Economic Development) is presented with an FY2026 operating budget of roughly $56.4 million and a capital program of about $325.7 million, according to Albert's testimony. She said the capital figure is lower than FY2025’s approved capital budget. - The testimony described the Commanders' private investment in the RFK campus as a “$2,700,000,000” minimum private investment and said the redevelopment will generate jobs and retail opportunities in Ward 7. - Albert described a multi-bucket public funding package for RFK in the mayor’s proposal: a $500 million infrastructure component financed through an extension of the ballpark fee; approximately $181 million in EventsDC-managed debt for a parking garage; roughly $200 million+ in DMPED capital funds across FY25–28 (transcript lists a general DMPED infrastructure total and separate project-support sums); and about $6.9 million for project support (master planning, environmental review and related district work).
Downtown and Chinatown Albert said the FY26 budget includes place-based investments intended to animate Gallery Place/Chinatown and connect downtown parks. She listed program dollars and one-time design funds: a roughly $8 million festival plaza concept near F Street; a $2 million design allocation to improve connections between Farragut Square, McPherson Square and Lafayette Park; $1.1 million for Chinatown activations; and $2.25 million for a Chinatown renewal line item. She said a separate Chinatown lease-incentive program is funded at $500,000 over three years ($125,000 per year).
Taxes and marketing funding Albert and council members discussed redirecting a portion of the temporary hotel surtax (the tourism recovery district/1% surcharge enacted after the pandemic) toward broader economic stabilization and business attraction. DMPED proposes using a portion of that dedicated hotel tax to fund the Washington DC Economic Partnership (the “partnership”) at a proposed $5.1 million in FY26 and additional downtown place investments. Albert argued that the District currently invests far more in tourism marketing than in business attraction and that the reallocation would strengthen job-producing business recruitment.
Qualified high-technology company credit and tech investments Albert said the administration seeks to restore a component of the Qualified High Technology Company (QHTC) tax credit and to fund a $2.5 million technology ecosystem fund to support tech-sector growth. She acknowledged the Office of the Chief Financial Officer’s technical concerns with the draft subtitle and pledged to work with the CFO and the Council to address drafting and transparency issues.
Projected revenue and economic impacts Albert urged the Council to consider the RFK package as a long-term economic lever. She cited a district estimate of roughly $4,000,000,000 in tax revenue over 30 years from the RFK redevelopment and told the committee the construction phase could generate about $2,000,000,000 of economic activity and about 14,000 jobs (construction estimate cited for the stadium alone).
Council follow-up questions Committee members asked for greater specificity on several items: how the RFK infrastructure totals were calculated (Albert described them as “rough orders of magnitude” pending design); how DMPED will ensure Ward 7 residents and Ward 7-certified business enterprises benefit from RFK contracting and hiring; and how the administration will reconcile redirected hotel tax funding with the original intent and sunset schedule of the tourism recovery surcharge.
What remains unresolved Albert committed to follow-up on several items the Council requested: (1) a more detailed breakdown of the RFK infrastructure estimate, including what the DMPED figure does and does not cover; (2) specifics on which capital line items fund Gallery Place/Chinatown and their exact program uses; and (3) revised legislative language and technical corrections for the proposed QHTC subtitle.
Ending Albert said the budget elevates downtown repositioning, business attraction and targeted neighborhood supports as core elements of the administration’s economic strategy. Council members signaled interest in additional hearings and more detailed cost and benefit analyses before acting on the budget’s larger redevelopment commitments.
