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Trans group struggles with financial crisis

T.H.E. hit by IRS tax liens, possible suspension of city funds

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Earline Budd, T.H.E., Transgender Health Empowerment, gay news, Washington Blade
Earline Budd, transgender activist, Washington DC

Longtime activist Earline Budd is reportedly among THE staffers experiencing problems getting paid. (Blade file photo by Michael Key)

Transgender Health Empowerment, a non-profit group that has provided a wide range of services for D.C.’s transgender community for more than a decade, is struggling with a financial crisis that has prevented it from paying its employees on time and has triggered staff layoffs and resignations, according to multiple sources familiar with the organization.

Public records at the D.C. Recorder of Deeds office show that the IRS filed at least 10 liens against THE over the past three-and-a-half years. Most are due to THE’s failure to pay employee payroll taxes, the records show.

Sources familiar with the situation say the liens prompted the D.C. Department of Health to suspend some or all of its funding for THE for HIV/AIDS-related services. The funding suspension reportedly was triggered by a procurement rule that restricts city funding for vendors or contractors that are in violation of the law, including federal tax law, the sources said.

A former THE employee and current client said they each were told by THE staffers that a delay in city funding forced the group to cut back on its drop-in services at its headquarters at 1414 North Capitol Street, N.W., and to limit services to clients by appointment only.

“The whole month of March we didn’t get a paycheck,” said the former employee, who was laid off in April because of THE’s financial problems, the former employee told the Blade.

Among THE employees not getting paid or getting paid late are THE official and longtime transgender activist Earline Budd, THE Director of Programs Brian Watson, and transgender activist Jeri Hughes, sources familiar with the group said.

Top officials with THE and the Department of Health have not responded to repeated requests by the Blade for information about the cause of THE’s financial problems and the status of city funding for the group.

“At this particular time, there’s no comment,” Brian Devine, THE’s finance manager, told the Blade. Devine said THE Executive Director Anthony Hall also had no comment.

“We just had a board meeting and that was one of the issues we spoke of,” said Devine, adding that the board decided not to issue a statement about the situation at the present time.

DOH spokesperson Najma Roberts said she would make inquiries about the THE funding status when contacted by the Blade last week. As of press time this week she had not responded.

The Blade filed a Freedom of Information Act request with the DOH deputy general counsel, Phillip Husband, on April 3 seeking the information that the department has yet to release through Roberts, the press spokesperson. Husband said the department usually takes up to 15 business days to respond to a FOIA request.

“My biggest concern is THE’s clients,” said transgender activist Ruby Corado, director of Casa Ruby, an LGBT community center in Columbia Heights that caters to the Latino and transgender communities.

Corado said some of THE’s clients have been coming to Casa Ruby after being told that THE’s drop in center had curtailed its services.

Corado and other transgender activists called THE the D.C. area’s preeminent service provider and advocate for the transgender community.

They note that THE also operates the city’s only housing facility dedicated to homeless LGBT youth. The facility known as the Wanda Alston House has been nationally recognized as an innovative resource for LGBT youth that offers counseling, employment and vocational training, and other services.

Among THE programs funded by DOH is its highly acclaimed Comprehensive Risk Counseling Services or CRSC program, which offers risk reduction interventions for preventing HIV infection among transgender people, especially transgender women, whom experts say are at high risk for HIV. THE also offers HIV testing and counseling.

“THE is a transgender institution for D.C.,” Corado said. “There are a lot of people counting on its services, especially those living with HIV. It is an organization that cannot go away,” she said.

“So the question I have is what is the Department of Health doing about this,” Corado said. “Why aren’t they talking about what happens to those clients? Are those clients OK?”

Transgender activist Alexandra Beninda, who serves on the D.C. Human Rights Commission, was among those who praised THE for its work in the transgender community but said she was unaware that the group was having financial problems.

She said she hoped the community would rally in support of THE but expressed concern that news of the group’s problems had not gotten out to those who might be willing to help.

Mara Keisling, executive director of the D.C.-based National Center for Transgender Equality, said she, too, was unaware of the THE financial problems.

“They are the centerpiece for local transgender efforts,” Keisling said.

Records of the IRS liens against THE filed with the D.C. Recorder of Deeds show that between March 2010 and earlier this year the group owed the IRS a total of $260,075. The records don’t show how much of that amount was for unpaid taxes and how much, if any, was for interest and penalties.

The records show that THE has since made payments of $91,912 to pay off the back taxes and currently owes the IRS $168,163.

As a non-profit, tax-exempt organization, THE doesn’t pay taxes on its income from donors or from government grants and contracts. The records indicate that most of the money owed is for employee payroll taxes.

Due to THE’s refusal to comment on the matter it couldn’t immediately be determined what caused the underlying financial problems that prevented THE from paying its employee payroll taxes.

Ron Simmons, executive director of the D.C. AIDS service group Us Helping Us, which also receives city funding, said smaller community based groups like THE sometimes encounter cash flow problems when the city takes too long to reimburse the group for its services. He said DOH in the past has taken 90 days or longer to reimburse vendors and service providers.

“Among other things, they are the only LGBT homeless shelter for youth,” Simmons said. “We absolutely can’t let them go under,” he said of THE.

THE’s most recently filed IRS 990 finance report that is available for public viewing is for the fiscal year of Oct. 1, 2009 through Sept. 30, 2010.

The report shows that THE’s income for the year was $960,834 and its expenses came to $1,093,816, with a deficit of $132,982.

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Virginia

McPike wins special election for Va. House of Delegates

Gay Alexandria City Council member becomes 8th LGBTQ member of legislature

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Alexandria City Council member Kirk McPike. (Photo courtesy Alexandria City Council)

Gay Alexandria City Council member Kirk McPike emerged as the decisive winner in a Feb. 10 special election for a seat in the Virginia House of Delegates representing Alexandria.  

McPike, a Democrat, received 81.5 percent of the vote in his race against Republican Mason Butler, according to the local publication ALX Now.

He first won election to the Alexandria Council in 2021. He will be filling the House of Delegates seat being vacated by Del. Elizabeth Bennett-Parker (D-Alexandria), who won in another Feb. 10 special election for the Virginia State Senate seat being vacated by gay Sen. Adam Ebbin (D-Alexandria). 

Ebbin is resigning from his Senate next week to take a position with Virginia Gov. Abigail Spanberger’s administration.

Upon taking his 5th District seat in the House of Delegate, McPike will become the eighth out LGBTQ member of the Virginia General Assembly. Among those he will be joining is Sen. Danica Roem (D-Manassas), who became the Virginia Legislature’s first transgender member when she won election to the House of Delegates in 2017 before being elected to the Senate in 2023.

“I look forward to continuing to work to address our housing crisis, the challenge of climate change, and the damaging impacts of the Trump administration on the immigrant families, LGBTQ+ Virginians, and federal employees who call Alexandria home,” McPike said in a statement after winning the Democratic nomination for the seat in a special primary held on Jan. 20. 

McPike, a longtime LGBTQ rights advocate, has served for the past 13 years as chief of staff for gay U.S. Rep. Mark Takano (D-Calif.) and has remained in that position during his tenure on the Alexandria Council. He said he will resign from that position before taking office in the House of Delegates.

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Local LGBTQ groups, activists to commemorate Black History Month

Rayceen Pendarvis to moderate Dupont Underground panel on Sunday

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Rayceen Pendarvis speaks at the WorldPride 2025 Human Rights Conference at the National Theater in D.C. on June 4, 2025. (Washington Blade photo by Michael K. Lavers)

LGBTQ groups in D.C. and elsewhere plan to use Black History Month as an opportunity to commemorate and celebrate Black lives and experiences.

Team Rayceen Productions has no specific events planned, but co-founder Rayceen Pendarvis will attend many functions around D.C. this month.

Pendarvis, a longtime voice in the LGBTQ community in D.C. moderated a panel at Dupont Underground on Feb. 8. The event, “Every (Body) Wants to Be a Showgirl,” will feature art from Black burlesque artists from around the country. Pendarvis on Feb. 23 will attend the showing of multimedia play at the Lincoln Theatre that commemorates the life of James Baldwin. 

Equality Virginia plans to prioritize Black voices through a weekly online series, and community-based story telling. The online digital series will center Black LGBTQ voices, specifically trailblazers and activists, and contemporary Black queer and transgender people.

Narissa Rahaman, Equality Virginia’s executive director, stressed the importance of the Black queer community to the overall Pride movement, and said “Equality Virginia is proud to center those voices in our work this month and beyond.”

The Capital Pride Alliance, which hosts Pride events in D.C., has an alliance with the Center for Black Equity, which brings Black Pride to D.C. over Memorial Day weekend. The National LGBTQ Task Force has no specific Black History Month events planned, but plans to participate in online collaborations.

Cathy Renna, the Task Force’s director of communications, told the Washington Blade the organization remains committed to uplifting Black voices. “Our priority is keeping this at the forefront everyday,” she said.

The D.C. LGBTQ+ Community Center is also hosting a series of Black History Month events.

The D.C. Public Library earlier this year launched “Freedom and Resistance,” an exhibition that celebrates Black History Month and Martin Luther King Jr. It will remain on display until the middle of March at the Martin Luther King Jr. Memorial Library at 901 G St., N.W.

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District of Columbia

U.S. Attorney’s Office drops hate crime charge in anti-gay assault

Case remains under investigation and ‘further charges’ could come

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(Photo by chalabala/Bigstock)

D.C. police announced on Feb. 9 that they had arrested two days earlier on Feb. 7 a Germantown, Md., man on a charge of simple assault with a hate crime designation after the man allegedly assaulted a gay man at 14th and Q Streets, N.W., while using “homophobic slurs.”

But D.C. Superior Court records show that prosecutors with the Office of the U.S. Attorney for D.C., which prosecutes D.C. violent crime cases, charged the arrested man only with simple assault without a hate crime designation.

In response to a request by the Washington Blade for the reason why the hate crime designation was dropped, a spokesperson for the U.S. Attorney’s office provided this response: “We continue to investigate this matter and make no mistake: should the evidence call for further charges, we will not hesitate to charge them.” 

In a statement announcing the arrest in this case, D.C. police stated, “On Saturday, February 7, 2026, at approximately 7:45 p.m. the victim and suspect were in the 1500 block of 14th Street, Northwest. The suspect requested a ‘high five’ from the victim. The victim declined and continued walking,” the statement says.

“The suspect assaulted the victim and used homophobic slurs,” the police statement continues. “The suspect was apprehended by responding officers.”

It adds that 26-year-old Dean Edmundson of Germantown, Md. “was arrested and charged with Simple Assault (Hate/Bias).” The statement also adds, “A designation as a hate crime by MPD does not mean that prosecutors will prosecute it as a hate crime.”

Under D.C.’s Bias Related Crime Act of 1989, penalties for crimes motivated by prejudice against individuals based on race, religion, sexual orientation, gender identity, disability, and homelessness can be enhanced by a court upon conviction by one and a half times greater than the penalty of the underlying crime.

Prosecutors in the past both in D.C. and other states have said they sometimes decide not to include a hate crime designation in assault cases if they don’t think the evidence is sufficient to obtain a conviction by a jury. In some instances, prosecutors have said they were concerned that a skeptical jury might decide to find a defendant not guilty of the underlying assault charge if they did not believe a motive of hate was involved.

A more detailed arrest affidavit filed by D.C. police in Superior Court appears to support the charge of a hate crime designation.

“The victim stated that they refused to High-Five Defendant Edmondson, which, upon that happening, Defendant Edmondson started walking behind both the victim and witness, calling the victim, “bald, ugly, and gay,” the arrest affidavit states.

“The victim stated that upon being called that, Defendant Edmundson pushed the victim with both hands, shoving them, causing the victim to feel the force of the push,” the affidavit continues. “The victim stated that they felt offended and that they were also gay,” it says.

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