Potential Impacts of the Rescissions Act of 2025 to the District of Columbia

The Rescissions Act of 2025, recently enacted by Congress, includes significant cuts to federal funding with potential consequences for organizations and residents in the District of Columbia. While the Act primarily targets international and foreign assistance programs, it also rescinds certain domestic appropriations.

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This alert summarizes the key provisions, outlines possible effects on local organizations, and provides guidance on how to respond to these changes.

The Act immediately withdraws unobligated federal funds from a range of programs, including contributions to international organizations, peacekeeping activities, global health initiatives, and economic assistance. Importantly, the Act also eliminates previously authorized funding for the Corporation for Public Broadcasting (CPB) for fiscal years 2026 and 2027. While the Act does not specifically target District appropriations, these broad federal cuts may indirectly impact organizations and programs based in the District.

How the Act May Affect the District of Columbia

  • Local Public Broadcasting: The loss of CPB funding for upcoming fiscal years may lead to budget shortfalls for public broadcasting stations in Washington, DC, potentially resulting in reduced programming, less community outreach, and staffing changes.
  • Nonprofits and NGOs: Many nonprofits and non-governmental organizations (NGOs) headquartered in the District depend on federal grants for international development, global health, and peace-building work. Cuts to programs such as the Economic Support Fund, Global Health Programs, and international peacekeeping may reduce grant opportunities, force downsizing, or change the scope of local operations.
  • Research and Advocacy Organizations: Policy think tanks, advocacy groups, and academic institutions in the District that focus on international development and financial assistance may see fewer federal resources, which could limit research, public policy initiatives, and financial planning.

Organizations and individuals in the District should review any current or pending federal grants to determine if funding may be affected by these rescissions. It may be necessary to seek alternative funding sources, adjust program goals, or revisit contractual obligations. The reduction in federal support for humanitarian and development programs could also impact the District’s status as a center for global development and philanthropy.

Takeaways

  • Review Budgets: Organizations should assess their budgets to identify programs at risk and prioritize essential services.
  • Seek Alternative Funding: Consider reaching out to private donors, foundations, or local government programs to help offset federal funding losses.
  • Stay Informed: Monitor legislative and policy developments for any further changes to federal funding.
  • Advocate for Support: Engage with federal and local representatives to communicate the importance of maintaining or restoring critical funding.

While the Rescissions Act of 2025 does not specifically reference the District of Columbia, its broad cuts to international and domestic programs may have significant effects on local public broadcasters, nonprofits, and research organizations. By proactively addressing funding challenges, seeking new partnerships, and staying informed about policy changes, District stakeholders can better navigate these changes and continue serving the community.

As always, ArentFox Schiff is watching these policy changes closely and will stay in touch with more changes as they occur. Please do not hesitate to reach out if we can help you better navigate these federal changes.

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