Local
Trans group struggles with financial crisis
T.H.E. hit by IRS tax liens, possible suspension of city funds

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.
Virginia
Winsome Earle-Sears launches campaign against Va. marriage equality amendment
Former LG lost to Abigail Spanberger in 2025 gubernatorial race
Less than a year after losing Virginia’s gubernatorial race, former Lt. Gov. Winsome Earle-Sears is campaigning across the state against constitutional amendments that would protect marriage equality and reproductive freedom.
She is launching a statewide “Life and Marriage Tour” ahead of November’s election.
Although same-sex couples can legally marry under the U.S. Supreme Court’s 2015 Obergefell v. Hodges decision, Virginia’s constitution still contains language that defines marriage as between one man and one woman. Supporters say removing the language would protect marriage equality should federal precedent change.
The original ban was written into the state constitution in 2006.
It has been hinted at in the past by Supreme Court Judge Clarence Thomas that he would consider revisiting Obergefell v. Hodges regarding contraception and marriage rights for same-sex couples. He stated this in his concurring opinion regarding the Dobbs v. Jackson ruling, which allows for state-level abortion bans.
Equality Virginia Executive Director Narissa Rahaman said removing the ban would bring the state’s constitution in line with existing law.
“20 years after banning marriage equality, it’s time for our commonwealth to fully complete our evolution — and finish the job on protecting marriage equality for all,” Rahaman said.
In an email to supporters, Earle-Sears said these amendments “raise serious concerns” and could alter principles about which Virginians care.
“That is why our efforts are focused not only on informing voters, but also encouraging them to carefully consider these proposals and vote NO on both amendments,” Earle-Sears said.
Virginia voters will consider three constitutional amendments this November.
Earle-Sears is campaigning for voters to reject two of them: the Virginia Remove Constitutional Same-Sex Marriage Ban Amendment and the Right to Reproductive Freedom Amendment.
A “Yes” vote on the Same-Sex Marriage Ban Amendment would include removing a provision that states marriage is between one man and one woman and prohibitng the state from denying a marriage license to two adults based on their sex, gender, or race, according to the Virginia Department of Elections.
In 2025, during debates against now Gov. Abigail Spanberger, Earle-Sears argued it is not discrimination to think that gay people should not be allowed to marry. She claims it conflicts with her faith.
According to ABC 8, in 2024 she wrote that she had a “moral opposition” to marriage equality, after former Gov. Glenn Youngkin, a Republican, signed a marriage equality bill that barred denying marriage licenses based on sex, gender, or race.
According to the Virginia Department of Elections, a “Yes” vote on the Reproductive Freedom amendment supports adding a section to the state constitution that would give Virginians the right to make and carry out decisions regarding reproductive healthcare, except in specific exemptions.
The Virginia Department of Elections wrote that if accepted, the amendment would allow the state government to pass laws to regulate abortion care in the third trimester of pregnancy, but require abortion care when it is medically needed to protect the life and health of the pregnant person or because the fetus is not viable.
During the 2025 election cycle, Earle-Sears was clear on her anti-abortion stance.
According to the Virginia Independent, she utilized campaign funds to donate to the Family Foundation of Virginia. The group is a faith-based, anti-abortion, and anti-in vitro fertilization non-profit.
The “Life and Marriage Tour” will include traveling throughout Virginia to speak with citizens, churches, community organizations, and local leaders. The exact locations have yet to be announced.
District of Columbia
D.C. Council approves increased funding for Mayor’s Office of LGBTQ Affairs
Increase attached to 2027 budget bill
The D.C. Council on July 14 gave final approval for the city’s fiscal year 2027 budget that includes an amendment calling for increasing the number and size of funding grants that the Mayor’s Office of LGBTQ Affairs provides for local organizations providing services for the LGBTQ community.
The amendment, called the “LGBTQ Community Grant Amendment Act of 2026,” was introduced earlier this year by D.C. Council member Zachary Parker (D-Ward 5), the Council’s only gay member.
The D.C. LGBTQ Budget Coalition called the Parker amendment “a historic measure that establishes the District’s most sustainable model for a vehicle for investing in LGBTQ communities.”
The Council approved the version of the FY 2027 budget bill with the attached Parker amendment in its first of two required votes on June 9. Shortly after voting unanimously to give final approval of an earlier version of the two-part budget measure on July 7 that includes the Parker amendment, the Council sent the bill to Mayor Muriel Bowser for her signature.
Bowser has expressed strong opposition to several provisions in the $22 billion budget measure passed by the Council that are unrelated to the Parker amendment regarding the Office of LGBTQ Affairs. The mayor has yet to say whether she will sign, veto, or choose not to sign the bill.
The latter option would allow the bill to become law if Congress does not choose to overturn it during its required 30-day legislative review period for all D.C. bills. Political observers believe the Council will vote to override a veto if Bowser chooses to veto the bill.
When contacted by the Washington Blade on July 22 to determine where the mayor stands on the budget bill, mayoral spokesperson Daniel Gleick said only, there was “no update on the budget just yet.”
Among other things, the Parker amendment calls for the Mayor’s Office of LGBTQ Affairs to issue a $980,000 grant in FY 2027 to a private, nonprofit organization in partnership with the office “for the purpose of supporting programs that promote the welfare of the lesbian, gay, bisexual, transgender, and questioning community.”
It would allocate $680,000 of that funding total from existing funds from the city’s community affairs grants program and calls for $200,000 in newly appropriated funds.
It says the organization selected would also initiate its own fundraising effort to expand the amount of funds beyond the amount the office would provide, enabling it to provide larger grants to a greater number of local LGBTQ organizations.
“The legislation arrives at a critical moment, as LGBTQ-serving organizations face unprecedented uncertainty,” the D.C. Budget Coalition said in its comment on the Parker amendment. “Growing demand for services is colliding with shrinking resources, federal attacks on LGBTQ programs, and ongoing threats to local funding streams,” the coalition’s statement says.
In what some observers have called a highly controversial action; the budget bill approved by the Council reverses and restores millions of dollars in budget cuts proposed by Bowser in the budget she submitted to the Council earlier this year.
Among other things, the Council’s budget preserves the current level of funding for housing vouchers, childcare, paid family leave, and other programs slated to be cut in the mayor’s proposed budget, according to a report by the Washington Post.
Bowser points out that the Council approved budget bill calls for using $150 million from the city’s reserve fund, which she and others have said could put the city in jeopardy in future years. The mayor has said the cuts were needed to prevent a major funding shortfall brought about by the action by Republicans in Congress to cut the city’s budget by over a billion dollars.
Rehoboth Beach
Craig Thier says experience, civility are key to Rehoboth’s future
Mayoral candidate cites finance background as key strength
(Editor’s note: This is the third installment in a three-part series profiling the candidates for mayor of Rehoboth Beach, Del.: Commissioners Suzanne Goode, Susan Stewart, and Craig Thier; a fourth candidate, William Raak, filed to join the race but has not responded to multiple Blade inquiries. Visit washingtonblade.com for previous installments.)
Rehoboth Beach City Commissioner Craig Thier says his experience in public service and finance has prepared him to lead the city as residents elect a new mayor on Aug. 8.
Thier, who has owned property in Rehoboth Beach since 2002 and has lived there full time for a little more than five years, said he first sought public office after becoming concerned about the city’s financial planning.
“A couple of years ago, when I decided to run, the city raised taxes and fees across the board unnecessarily. They had a broken budgeting process,” said Thier.
Elected as a city commissioner in August 2024, Thier draws on a background in corporate finance and consulting, He said he could improve the city’s budgeting practices.
“I felt that I could bring that experience in and help the city improve that broken budgeting process,” he said.
Thier said one of his accomplishments as commissioner has been helping transition the city from annual budgeting to long-term financial planning.
“Within the first year, I worked with the city administration to transition us from an annual budgeting process that was really broken to a multi-year planning process,” he said.
If elected mayor, Thier said his first priority would be improving relationships among members of the Board of Commissioners.
“First would be just civility. There is a lot of infighting among some of the commissioners,” said Thier.
He says that he wants to focus on “getting people to work together so that we can get back to the business of the city.”
Thier said disagreements are inevitable but believes they should be handled more respectfully.
“We have to return to civility. People need to respect each other, people need to respect the right of other individuals to express their thoughts and opinions,” he said.
“That lack of civility absolutely has impacted our ability to get the business of the city done.”
He also said meetings should remain focused on the agenda even when commissioners disagree.
“Everyone’s got to tone things down a little bit,” Thier said. “Just because we may not agree with someone’s position doesn’t mean that that position isn’t valid.”
He added that after discussions conclude, commissioners should be willing to accept the outcome.
“People need to be prepared to move on if they don’t have the support,” he said.
Thier pointed to his previous elected experience as another qualification for the mayor’s office.
“I spent 12 years on a school board, five years as president, and I’m finishing up my second year here [as commissioner]. I believe that I have far more experience than anyone else.”
“I’ve been able to accomplish things because of my experience, and I’ve been doing this a long time,” he added.
Thier also said maintaining Rehoboth Beach’s perfect score on the Human Rights Campaign’s Municipal Equality Index would remain a priority if he is elected.
“It is absolutely a priority for the city,” he said.
“I think it’s one of the great things about the city of Rehoboth Beach is the diversity that’s there, and that we’ve been a very welcoming community.”
Thier credited city staff for helping achieve the city’s perfect score and said he would continue working with LGBTQ+ organizations, including CAMP Rehoboth.
“I have relationships with these organizations. I would continue to foster these relationships,” he said. “It’s critical that we’re doing the things to maintain this perfect score.”
Thier also expressed support for the city’s partnership with Clear Space Theatre Company as it works toward constructing a permanent performing arts venue downtown.
“Clear Space has been part of the community for more than 20 years. I think they’re an important part of the community.”
He said the theater contributes to Rehoboth’s identity as a tourist destination.
“The tourists come to Rehoboth for the whole package: the beach, the boardwalk, our restaurants, our retailers, Clear Space. They’re an important part of that whole package.”
The election will take place on Aug. 8 from 10 a.m.-6 p.m. at the Rehoboth Beach Convention Center.
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