Your budget is on the high side, as stated. My budget trends towards the under $150 mark, and when I was in D.C. I stayed in a lovely B&B in the Adams Morgan neighborhood (fun, vibrant neighborhood!) called Adams Inn. It was around $120 a night, if I recall. Just a lovely place, a terrific value.

Finally settled on the Embassy @ Chevy Chase. Not a lot of character compared to an inn and the like, but the good reviews and package deals make up for it. A week ago I couldn't get rooms there during our timeframe, but as part of a final shootout between 4 potential locations, there it was again.

Chevy Chase is a long-ish ride to the downtown monuments, etc, so you may want to buy multi=day Metro passes. Investigate your options here:
http://www.wmata.com/index.cfm
Enjoy your trip. You should expect lovely weather (but be prepared for an early heat wave).

I have a six year old child and I think going with a suite is the best way to go. That way your child can sleep in the bedroom while you are in the living room and you don't have to go to bed when the child does! Enjoy your trip!

it's a couple blocks off Dupont .. But I have stayed many, many times at the St. Gregory on the corner of 21st and M. Parking and Wifi are not free, but there is a small restaurant and bar in the lobby. Easy walk to Georgetown and Dupont. They have suites that have a pull out sofa for the 7 year old (with it's own tv).. a brekfast area with stove, dishwasher, full refridgerator. they are mostly smoke free but do have a smoking floor (inquire if this is an issue). Just my 2 cents .. I beleive the rate should be within your price range. they have a sister hotel called the Beacon, just down the street .. but I have never stayed there.