District of Columbia

Analysis of Estimated Impact of Covid 19 on District Cash Flows

District of Columbia
 General Fund Budgeted Revenues By Month- FY 2020

1,800
Approved FY2020 Budgeted Revenues $9.3 billion
1,600
Monthly General Fund Revenue $ Millions

1,400

1,200

1,000

800

600

400

200

0
Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep
SALES DEEDS OTHER REVENUE INCOME PROPERTY
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 General Fund Budgeted Expenses By Month- FY 2020

1,800
Approved FY2020 Budgeted Expenses $9.3 billion
1,600
Monthly General Fund Expenses $ Millions

1,400

1,200

1,000

800

600

400

200

-
Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep
EXPENSES

District of Columbia
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Covid-19 Cashflow Impact Scenario Assumptions

◼ Sales
Tax: Down 60% of forecast for April through
September
◼ Income Tax: Withholding receipts down 10% of forecast for
April through September
◼ Deed Recordation/Transfer Tax: Real estate transactions
essentially gone for the last two weeks in March and
depressed for remainder of year
◼ Assumes all other tax revenue collected as forecasted with
10% increase in property tax delinquencies in September

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 Net Cash Flow (Revenues minus Expenses)- FY 2020
Budgeted vs Covid 19 Scenario
$800

$600

$400

$200

$0
Use of Reserves March April May June July August September

($200) Property Tax

Receipts

($400)

($600)

($800)
If this Scenario is realized, actions will be
required to address liquidity
($1,000)
Budgeted Net Revenue Cash Flow Covid 19 Cash Flow Scenario

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What would make Covid-19 scenario more severe?
✓ Significant increase in delinquency of tax payments
✓ LargeCovid-19 expenses not reimbursed by federal
program
✓ Large increases in other expenses

Items to Monitor
✓ Level of working capital
✓ Delinquency or delays in tax payments
✓ Additional expenses not reimbursed
✓ Additional liquidity options if severity increases
✓ Significant layoffs beyond the hospitality sector District of Columbia
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