Marion Barry - DC Mayor-Fourth Term (1995-1999)

DC Mayor-Fourth Term (1995-1999)

Barry was sworn into office on January 2, 1995, and was almost immediately confronted with a financial crisis. The budgetary problems of his previous administrations had only increased during Kelly's term, with city officials estimating a fiscal 1996 deficit between $700 million and $1 billion. In addition, city services remained extremely dysfunctional due to mismanagement. One month into his term, Barry declared that the city government was "unworkable" in its present state and lobbied Congress to take over the areas of its operation that were analogous to typical state government functions. Wall Street, which Barry had convinced just after his election to continue investing in municipal bonds, reduced the city's credit rating to "junk status." Instead of implementing Barry's proposals, the newly Republican Congress (who had come to power on promises of decreasing federal spending) placed several city operations into receivership and created the District of Columbia Financial Control Board to assume complete authority over the city's day-to-day spending and finances, including overrule of the mayor's fiscal decisions.

The next two years were dominated by budgetary and policy battles between Barry and the Control Board — along with Chief Financial Officer Anthony A. Williams — for power over the District of Columbia's operation. The conflict was ultimately settled when in 1997 the Clinton Administration and Senator Lauch Faircloth agreed on legislation that rescued the city from its financial crisis but stripped Barry of all authority (including hiring and firing) over nine District agencies, making them directly answerable to the Control Board. Barry was left with control of only the Department of Parks and Recreation, the public libraries, and the Board of Tourism, as well as the ceremonial trappings of his office — a condition he characterized “a rape of democracy.”

Barry declined to run for a fifth term in office in June 1998, stating his belief that Congress would not restore home rule to DC while he was mayor. He was succeeded by city CFO Anthony A. Williams.