A mayoral transition, two tax bills with real teeth, and Congress once again inserting itself into DC operations — the fall legislative season ahead is unlike any other. Here is what AMC is watching, and what your team should be tracking now.
The DC Council comes back from recess in a few weeks. Normally that’s the whole story: committees resume work, hearings get scheduled, the usual fall crunch begins. Not this year. A mayoral transition is underway, two tax bills with real teeth already have hearing dates, and Congress is once again finding ways to insert itself into DC’s operations. Here’s what AMC is watching.
The Clock Is Ticking on Council Period 26
September 15 marks the Council’s official return from summer recess, when committee activity resumes and bills that stalled before the break start moving again. The September 22nd legislative meeting will unofficially kick off the sprint to wrap up all pending business before the year ends.
That sprint has a hard stop: December 31, the last day of Council Period 26. Any bill that hasn’t cleared both first and second reading/vote and been transmitted for enactment dies due to inactivity and must be reintroduced in 2027, under Council Period 27. That makes this September-through-December window the most consequential stretch of the year for any legislation you’re tracking.
One more date worth flagging, even though it sits just past the fall window: the Council’s organizational meeting in early January, where leadership and committee assignments for the new council period are determined. The jockeying for committee chairs usually starts well before that meeting happens, so it’s worth watching now rather than waiting until January.
Fiscal Year 2027, Congress and the General Election
Two things are colliding this fall that don’t usually collide for DC: a new fiscal year and uncertainty around federal funding.
October 1 marks the start of FY27, when new appropriations take effect. Simple enough, except Congress retains oversight authority over DC’s budget, and this cycle that oversight feels less like a formality and more like a live variable, whether it shows up as review timelines, policy riders, or something else entirely.
Here’s the one piece of good news buried in that uncertainty: on August 8, the Senate voted 90-6 for a continuing resolution funding the federal government through December 11 (or until FY27 appropriations pass, whichever comes first). Buried in that CR is language that matters a lot for DC specifically. It lets the District keep spending its own locally raised funds under its FY27 budget no matter what happens on the Hill. The House still must reconcile its version once members return from recess on August 31, giving them just about a month before the October 1 funding deadline. We’ll be watching how that plays out and what it means for DC.
Then, there’s November 3: General Election Day. Beyond the top-line results, this election could set off two DC Council special elections: one for the Ward 4 seat Lewis George vacates as she becomes DC’s next mayor, and another for the At-Large seat currently held by Robert White, the Democratic nominee for DC’s Delegate to Congress. Both will be sworn into office in January.
Two Bills Worth Watching Closely
Revenue raisers came up frequently during this past budget cycle, frequently enough that members pushed Chairman Mendelson to schedule a dedicated fall hearing on the subject. Two tax related bills are already on the calendar.
The first is the Combined Reporting Amendment Act of 2026 (B26-708), set for a public hearing on September 16. In plain terms, this bill would shift how DC taxes corporate groups. DC currently taxes corporate groups using the Joyce method, where each corporation in a unitary group is evaluated separately for DC tax liability. This bill would switch DC to the Finnigan method, where the whole group is treated as one taxable entity the moment any single member has a taxable presence here. For multi-entity businesses, that’s not a technicality. That’s a real shift in exposure worth understanding.
The second is Chairman Mendelson’s own bill, the Tax Sale Equity Amendment Act of 2026 (B26-771). It would modernize DC’s tax sale process, add equity protections for property owners, and allow the District to collect delinquent recordation tax through tax sale.
Screen Time in DC Schools
Shifting away from taxes, the Council is also expected to take up a hearing on technology use in DC public schools. The driver here is growing concern over how much time students spend on screens during the school day. This is part of a broader education technology conversation we’ve been following in the District for a while now.
The Bottom Line
Four months. The start of a new fiscal year, federal uncertainty on top of the District’s usual end-of-year rush, and two tax bills that could reshape how businesses operate here. That’s the fall in front of us.
How We Help
American Management Corporation is a Washington, DC-based government relations and strategic advisory firm. We serve clients across retail, information technology, telecommunications, e-commerce, professional sports, real estate, education, and insurance. If your organization is tracking Council Period 26, the fall tax agenda, or what the election cycle means for your operations in the District, we would welcome a conversation.
To learn how AMC can support your organization’s government affairs needs, visit our website at www.amermgmt.com.