Local
DC trans group files for bankruptcy
T.H.E. seeks Chapter 11 protection; reports $566,000 in debt
Transgender activist and one of DC trans group T.H.E.’s founders, Earline Budd, is owed $4,615 in back wages. (Washington Blade file photo by Michael Key)
Transgender Health Empowerment, which has been recognized as D.C.’s preeminent organization advocating for and providing services to the transgender community since 2004, filed for Chapter 11 bankruptcy on July 7.
The 56-page bankruptcy filing came two months after the D.C. government revoked or suspended most of its contracts and grants for T.H.E. The cut off in funds came after D.C. officials learned the IRS filed tax liens against the group seeking to recover more than $260,000 in unpaid payroll taxes, possibly including penalties, that accumulated since 2008.
D.C. Mayor Vincent Gray, who praised T.H.E.’s work on behalf of the LGBT community, said the city was forced to withdraw its funding for the group under a “clean hands” policy that bars city funding for vendors and service providers found to be in violation of the law, including federal and local tax laws.
LGBT activists familiar with the group have said it ceased most of its operations and laid off nearly all of its employees at the time the city cut off its funding for the group.
T.H.E.’s bankruptcy filing with the United States Bankruptcy Court for the District of Columbia shows it has total remaining assets of $37,009 and liabilities totaling $566,544.26.
The filing identifies the IRS as the single largest creditor, showing the group owes $264,247.91 in employee federal payroll taxes between 2008 and 2013. The filing shows T.H.E. owes the D.C. government $22,485 in employee withholding taxes and $15,663 in D.C. “unemployment” taxes.
The group owes the State of Maryland $8,695 in “employment taxes/withholding” for 2012 and 2013, according to the bankruptcy filing.
Under the U.S. bankruptcy law, a Chapter 11 filing allows a business or organization to obtain temporary relief from paying its creditors while it reorganizes its corporate structure and works out a plan with creditors to eventually repay the debt.
Records filed with the bankruptcy court show that a meeting of creditors is scheduled to take place at the court, located at 333 Constitution Ave., N.W., at 3 p.m. on Aug. 8.
In a press release issued on Wednesday, T.H.E. discussed its financial problems for the first time since news of its money problems surfaced earlier this year.
“Transgender Health Empowerment (T.H.E.), a non-profit group that has provided a wide range of services for D.C.’s TGLB (Transgender, Gay, Lesbian and Bisexual) HIV+ and homeless community since 2004 has been struggling with financial challenges that have prompted us to curtail some services and suspend others,” the press release says.
“Communicating with our community and clients is of utmost importance to the Board of Directors, along with overseeing solid organization recovery,” it says.
The release, however, makes no mention of the bankruptcy filing, saying only, “Our renewed goal is to protect the organization financially to ensure that programs and services that are being provided have adequate support and to ensure that the actions of those we entrust adhere to the policies and direction set by the Board of Directors.”
Although T.H.E. has not published the names of its board members since its website was shut down earlier this year, the bankruptcy filing identifies 11 people as current board members. Among those identified as board members in the filing is D.C. Council member Jim Graham (D-Ward 1).
However, Graham told the Blade on Tuesday that he is not now and has never been a T.H.E. board member. Instead, Graham said he has served on a T.H.E. advisory committee.
The filing identifies Rhonda Steward as interim chair of the board, Marjorie Borders as secretary and Rodney Pierce as treasurer. Gay Democratic activist Bradley Lewis is listed as a member of the board.
The T.H.E. press release, which appears to have been issued by the board, doesn’t mention the role the group’s executive director for over five years, Anthony Hall, will play in the reorganization.
Hall and other T.H.E. officials have declined to respond to requests by the Blade since May for an explanation of the root causes of the organization’s financial problems.
A document obtained by the Blade from the D.C. Department of Health through a Freedom of Information Act request, says the DOH decided in early May to discontinue its funding for T.H.E. after learning that the IRS had filed tax liens against the group and its financial prospects were grim.
The April 24 document, identified as a Programmatic Site Visit Report, says Hall told DOH officials during their visit to T.H.E.’s headquarters at 3339 10th Place, S.E., that much of the group’s financial problems stemmed from outstanding debts with the IRS and D.C. and Maryland tax offices related to unpaid payroll withholding taxes.
“This, he mentioned, was the result of incorrect filings of successive accountants,” the DOH report says. “He has since contracted with Wells Fargo Bank to manage the organization’s payroll and remit all withholdings and related tax obligations.”
But according to the report, “T.H.E. has no cash on hand and does not appear to have a realistic chance of working out a resolution with the IRS…Many of their staff has already been laid off and a limited few are volunteering to perform limited duties,” it says.
“Their clients are already impacted and have limited or no servicers…In all practicality, T.H.E. has already shut their doors and cannot even be paid were they to invoice further.”
The report recommended that all DOH sub-grants “be suspended immediately and appropriate providers identified to provide the services.”
Among the other creditors listed in the bankruptcy filing are 23 mostly former employees who are owed back wages ranging from between $3,000 and just over $5,000. Included among them are longtime transgender activist and one of T.H.E.’s founders, Earline Budd, who is owed $4,615 in back wages. Gay activist Brian Watson, who has served as a T.H.E. program officer, is owed $5,653, according to the bankruptcy filing.
Virginia
McPike wins special election for Va. House of Delegates
Gay Alexandria City Council member becomes 8th LGBTQ member of legislature
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.
Local
Local LGBTQ groups, activists to commemorate Black History Month
Rayceen Pendarvis to moderate Dupont Underground panel on Sunday
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.
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
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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