Norton Introduces Bill to Allow D.C. to Set Pay for D.C. CFO

WASHINGTON, D.C. – Congresswoman Eleanor Holmes Norton (D-DC) today introduced her bill to allow D.C. to set the pay for its Chief Financial Officer (CFO). The salary of the CFO is paid from D.C.’s own local funds. In the last Congress, the bill passed the House Committee on Oversight and Accountability.

“There is no reason D.C. should not have the authority to set the pay of a local official who is paid with local funds,” Norton said. “My bill will allow D.C. to raise the pay for this unique position to recruit the best candidates and give D.C. more competition with both the public and private sectors for high quality candidates when there is a vacancy in the position.”

Under the D.C. Home Rule Act, Congress established a maximum rate of pay of the CFO, and the D.C. Council has no authority to increase that rate. Congress does not cap, or otherwise establish, the pay of any other D.C. employee. Under this bill, the CFO would be paid at the greater of a rate equal to the current maximum rate of pay or a rate established in law by D.C.

Norton’s introductory statement follows.

Statement of Congresswoman Eleanor Holmes Norton

on the Introduction of the District of Columbia Chief Financial Officer Salary Home Rule Act

December 11, 2023

Today, I introduce the District of Columbia Chief Financial Officer Salary Home Rule Act, which would give the District of Columbia the authority to increase the pay of its Chief Financial Officer (CFO).  The D.C. CFO is a local D.C. official and is paid with local D.C. funds.  D.C. should have the authority to set the pay of all its employees.  Last Congress, the House Committee on Oversight and Accountability passed this bill.

Under the D.C. Home Rule Act, Congress established a maximum rate of pay of the CFO, and the D.C. Council has no authority to increase that rate.  Congress does not cap, or otherwise establish, the pay of any other D.C. employee.  Under this bill, the CFO would be paid at the greater of a rate equal to the current maximum rate of pay or a rate established in law by D.C.

D.C. requested that I introduce this bill to enable it to retain and recruit the best CFOs.  The D.C. CFO was established by Congress in 1995.  Congress vested the CFO with extraordinary powers and designed the CFO to be independent of the D.C. Mayor and Council.  D.C. cannot obligate or expend funds without the CFO’s approval.  The CFO manages an approximately $20 billion budget that consists of state, county and city functions, and the CFO has more than 1,700 employees.  The CFO may be removed only for cause by the Mayor, subject to the approval of two-thirds of the Council and a 30-day congressional review and comment period.  This bill would help maintain the independence of the CFO by establishing a permanent floor on the CFO’s pay and by prohibiting the Council from reducing the CFO’s pay during the CFO’s term.

Although the D.C. CFO is the most powerful non-elected official in D.C., more than 20 D.C. employees are paid more than the CFO.  D.C. must compete with both the private and public sectors for high-quality CFOs, and there are many private- and public-sector CFOs who are paid more than the D.C. CFO.

This bill is critical to the financial operations of D.C. and is an important step to increase home-rule authority for D.C.  I urge my colleagues to support this bill.

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