Latest news with #DCCouncil
Yahoo
3 days ago
- Business
- Yahoo
New report indicates new Commanders stadium could bring $24B in revenue to DC
The Brief A new report shows that the new Commanders stadium could bring in even more revenue than originally expected. The report comes from a data analytics company called CSL and was commissioned by D.C. Mayor Muriel Bowser. The $4 billion deal to build a new stadium at the old RFK Site still has to be approved by the D.C. Council. WASHINGTON - A recent economic impact report indicates that revenue from a new Commanders stadium could be even higher than first predicted. The study commissioned by the Bowser administration claims that billions of dollars in spending and tax revenue would come from a new stadium at the RFK site but economists tell FOX 5 that they're not so sure. What we know The report comes from a data analytics company called CSL. The proposed $4 billion deal would have the Commanders invest $2.7 billion in the stadium, while the D.C. government is expected to contribute $1.1 billion. The new 22-page report commissioned by D.C. Mayor Muriel Bowser—no surprise—supports what her administration has been saying are the economic benefits of the stadium The report says that once open, a new Commanders stadium is estimated to generate $24 billion in economic activity across the entire RFK Stadium campus project and over $5 billion in new tax revenue for the District. These projections are higher than the Bowser administration itself first predicted. "The financial projections of the stadium didn't change that much but look at the 'top line' of this," said D.C. City Administrator Kevin Donohugh. "It is a historically large private investment that will produce multiple of investments in terms of both spending and taxes." Big picture view Pro-sports franchises and local governments often tout an economic windfall from public tax dollars going to privately-owned sports stadiums but some economists warn the projects often don't deliver the promised economic impacts. Salim Furth is an urban economist at George Mason University. He told FOX 5 that the teams, not the cities, wind up with the economic touchdown. "We've seen more and more sports owners willing to do that and cities that say, 'hey we are going to work with you and easy do business, we want you in our city but we're not going to treat you differently than the people who run our grocery stores and the people who pump our gas,'" Furth said. The D.C. Council still needs to approve the deal. Meanwhile, a spokesperson for the Washington Commanders told FOX 5 that the team is now conducting a search for an architect to design the new stadium, with a target opening in 2030.
Washington Post
3 days ago
- Business
- Washington Post
Eliminating the tipped minimum wage was a mistake. Repeal Initiative 82.
One can sympathize with D.C. residents who, in 2022, overwhelmingly voted to eliminate the tipped minimum wage in the city. Proponents sold the measure — known as Initiative 82, which passed with nearly 74 percent of the vote — as a policy to guarantee restaurant servers a 'living wage.' Instead, it is proving to be an economic disaster. With restaurants closing, laying off workers or warning that they are on the verge of financial ruin because of rising payroll costs, the D.C. Council voted 8-4 on Tuesday to pause minimum-wage increases for tipped workers, which have been rolling out in phases since May 2023. The next raise, to $12, was slated for July. Pausing the policy was the right call. Now, the council should take the next step and repeal it entirely, as D.C. Mayor Muriel E. Bowser (D) proposed in her 2026 budget. D.C. lawmakers should rarely overturn voter-approved policies. Should a repeal pass, it would be the second time the council overturned the will of voters on the issue, having repealed a measure that passed in 2018 with 56 percent of the vote. The council's vote on Tuesday provoked intense backlash from activists, who disrupted the meeting multiple times with booing and yelling. One declared the decision a 'betrayal' of service workers. Council member Brianne K. Nadeau (D-Ward-1) stressed that D.C. residents were 'counting on' the raise. Yet Initiative 82 is a case study example of when council action is justified — indeed, essential, if the D.C. hospitality industry is to survive. The argument that District restaurant employees failed to receive livable wages was never accurate. Nor is it true that eliminating tipped wages would make servers more financially stable. Before the initiative went into effect, the minimum wage for tipped workers was set at $5.35 an hour, with tips covering the rest of their income to reach the city's standard minimum wage, which is now $17.50. If that didn't happen, employers were legally required to make up the difference. Some servers now complain that the initiative has resulted in them making less money because many customers now pay less in tips. And that's if they're eating at D.C. restaurants at all. Many restaurants are adding irritating service charges to cover the higher payrolls costs, which has pushed fed-up diners to competitors outside the city. Most restaurants — especially smaller ones — operate on thin margins, so multiple increases in pay for their staff within a short period can be toxic. Initiative 82 it hitting them as other economic factors bite into their business: inflation, tariffs and a sagging regional economy due to widespread job losses among federal workers. Proponents of the initiative often point out that the number of D.C. employees working at restaurants has grown since the policy took effect, according to data from the Bureau of Labor Statistics. But many factors can affect job numbers, including the industry's long-term recovery from the pandemic — which might have been more robust without Initiative 82. In fact, the data suggests that job growth in full-service restaurants slowed significantly in the District as soon as the policy was implemented. That fact should make all elected officials uneasy. Beset by new economic challenges, the city needs a pro-growth agenda. A haphazard attempt to restructure how restaurants have long done business is the opposite of that.
Yahoo
4 days ago
- Business
- Yahoo
DC Council pauses $2 raise for tipped workers
The Brief D.C. Council voted to delay scheduled $2 wage increase for tipped workers. Mayor Bowser pushing to repeal Initiative 82, citing economic challenges. Council's decision has sparked controversy among business owners and workers. WASHINGTON - Tipped workers in the District will not see their scheduled wage increase next month after the D.C. Council voted Tuesday to pause the $2 raise. The decision comes as Mayor Muriel Bowser seeks support for her proposed budget, which aims to address economic challenges for the city. Economic pressures are being felt across sectors, with rising office vacancy rates, uncertainty in the hotel industry, and restaurant closures at D.C.'s Wharf. Bowser is pushing for the repeal of Initiative 82, which raises the base wage for tipped workers. A salary increase to $12 an hour had been scheduled to take effect in July. READ MORE: DC Council votes to pause Initiative 82 $2 raise for tipped workers Restaurant owners argue that rising food costs and fewer customers make the higher wages unaffordable. The council's vohttps:// delays the increase to allow for further study of the economic impact, sparking controversy across the District. What we know Bowser's proposed 2026 budget outlines plans to move forward amid reduced federal support. The District was blindsided when Republican lawmakers blocked the release of local revenues. Federal downsizing could lead to vacant office spaces and the potential loss of 40,000 jobs over the coming years. Bowser's budget plan includes downtown investments during the Capital One Arena renovation, efforts to bring the Washington Commanders back to the RFK Stadium site, and incentives for tech companies through business development changes. While the budget avoids tax increases and layoffs, it imposes a hiring freeze and cuts certain social programs. The council is expected to vote on the budget in August. READ MORE: Tipping culture is "out of control," more Americans say in annual poll The Source Information in this article comes from the Restaurant Association of Metropolitan Washington and the D.C. City Council.
Washington Post
5 days ago
- Business
- Washington Post
D.C. Council pauses scheduled $2 wage increase for restaurant workers
The D.C. Council on Tuesday paused a wage increase for tipped workers scheduled for next month, a move some lawmakers said would offer needed relief to a restaurant industry that has been struggling with rising overhead costs and federal spending cuts that have shaken the local economy. The 90-day pause, which eight council members voted to support while four opposed, would keep the tipped wage in the District at $10 per hour, preventing an increase to $12 that was set to go into effect July 1.
Washington Post
27-05-2025
- Business
- Washington Post
DC mayor seeks business-friendly policies to spark growth amid loss of up to 40,000 federal jobs
WASHINGTON — With the nation's capital facing a pair of overlapping budget crises, D.C. Mayor Muriel Bowser has unveiled a budget proposal that bets heavily on business-friendly policies designed to boost investment and move the city away from dependence on a dwindling number of federal jobs . 'We have a shifting economy and if we don't shift with it, we'll have a city that people flee,' Bowser said Tuesday as she presented her proposals to the public — and to the D.C. Council, which will now begin debating the plan. 'If you don't have enough money, something has to go or you have to make more money.'
