Washington DC presses U.S. government for autonomy

WASHINGTON, Nov 18 (Reuters) - Leaders of the District of Columbia pressed the U.S. Congress on Wednesday to give the city more autonomy, saying current federal oversight has stopped it from responding quickly to a deep economic recession that has hurt states and cities across the country.

Washington lost its right to rule itself in 1996 when it was on the brink of bankruptcy. It was given independence in daily operations starting in 2001.

The House of Representatives is considering two bills that would loosen requirements that the U.S. Congress approve Washington's legislation and budgets, an issue that could become more divisive as the District's city council comes closer to passing a law that would legalize same-sex marriage.

For nearly a year, the council has debated allowing adults of the same gender to marry. But because of the unique control the federal government exerts over the nation's capital, a city without a state, the law that is expected to pass could be overturned by Congress.

The mayor, chairman of the city council and city Chief Financial Officer told a House committee that the bills would allow the city to keep its budget better in line with revenue collections and to provide social services if there are jumps in unemployment.

'If the District council were able to set its own schedule to enact its own budget, the mayor and the legislatures could always rely upon revenue estimates based on more current data,' said CFO Natwar Gandhi.

The budget is based on revenue estimates made in February, more than half a year before it is completed, he said.

Gandhi said Congress approves all of the city's spending, but provides less than 40 percent of its funding.

On the legislative side, Congressional approval slows down enacting the most basic laws, said Council Chairman Vincent Gray, because they can only be approved when Congress is in session. It took Congress nine months to sign off on a law that would change the word 'handicapped' to 'disabled' in city documents, he said, calling the process 'byzantine.'

The bills have a long way to go. If they are approved at the committee level, they must then be considered and passed by the full legislative body. The Senate would also have to take up and pass a corresponding bill and President Barack Obama would then have to sign it into law.

The city's wish for autonomy is not new, although it is more frequently expressed as a desire for representation in Congress. Currently, it has one delegate to Congress who cannot vote.

At the hearing on Wednesday, some representatives said the District's sound financial health, which has included improving credit scores and the building of reserves, was only accomplished because of federal limits on spending.

(Reporting by Lisa Lambert; Editing by James Dalgleish) Keywords: WASHINGTONDC/AUTONOMY

(lisa.lambert@thomsonreuters.com; Tel: +1-202-898-8328; Reuters Messaging: lisa.lambert.reuters.com@reuters.net)

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