District of Columbia Local Budget Autonomy Act of 2012 - Amends the District of Columbia Home Rule Act to: (1) repeal the current fiscal years for the Armory Board and the District of Columbia Public Schools, and (2) authorize a change of D.C. fiscal year by an act of the D.C. Council.
Repeals the requirement that the D.C. Council submit to the President for transmission to Congress the annual budget for the D.C. Government, except during a control year as defined by the District of Columbia Financial Responsibility and Management Assistance Act of 1995.
Repeals the requirement that the D.C. Council Chairman transmit to the President any item or provision of an adopted budget which the Council has reenacted after a line-item veto by the Mayor.
Repeals the requirement that hiring, assignment, and transfer by the Mayor of full-time or part-time employees be authorized by act of Congress, except in a control year. Requires hiring, assignment, and transfer of employees to be authorized by acts of the D.C. Council.
Revises requirements for the effective dates of acts of the D.C. Council which take effect immediately because of emergency circumstances or which propose amendments to the District Charter.
Revises the D.C. Council authority to increase spending in the case of a General Fund surplus or of increased revenue collections to replace congressional appropriations as the source of funds for such increases with local funds under the D.C. budget.