§ 2–1227.02. Findings.

(a) The Walter Reed Redevelopment Site has been declared surplus and closed by the Department of Defense pursuant to the procedures and authorities of the Base Closure Act.

(b) The District of Columbia government was recognized as the Walter Reed LRA by the Office of Economic Adjustment on behalf of the Secretary of Defense for developing and implementing the Walter Reed Reuse Plan.

(d) The Walter Reed Reuse Plan envisions a dynamic campus integrated into the existing Ward 4 community through the provision of expanded retail opportunities, preservation of open space, creative reuse of historic assets into cultural and educational uses, the creation of a range of jobs, and the development of various housing options to support the needs of District residents.

(e) The Council approved the Walter Reed Army Medical Center Small Area Plan pursuant to the Walter Reed Army Medical Center Small Area Plan Approval Resolution of 2013, effective April 30, 2013 (Res. 20-105; 60 DCR 12813), which supports the development program recommendations in the Walter Reed Reuse Plan.

(f) Pursuant to Zoning Commission Order 14-22, the Zoning Commission for the District of Columbia adopted the text and map amendments to the zoning regulations to create and implement the Walter Reed zone for the Walter Reed Redevelopment Site.

(g) The Mayor and the Secretary of Army, through their representatives, have negotiated the terms by which the Army will convey fee simple title to the Walter Reed Redevelopment Site to the District as the Walter Reed LRA, as memorialized in the EDC Agreement.

(h) After conducting a competitive and public solicitation process, the Office of the Deputy Mayor for Planning and Economic Development selected the Developer to redevelop the Walter Reed Redevelopment Site in furtherance of the Walter Reed Reuse Plan.

(i) Upon the District’s acquisition of fee simple title to the Walter Reed Redevelopment Site, the Mayor intends to ground lease the Walter Reed Redevelopment Site to the Developer for master development of the site, construction of the Horizontal Development, and sublease of a portion of the site for occupancy by the selected homeless assistance providers and public benefits providers pursuant to the Legally Binding Agreements and Memoranda of Agreement, respectively, subject to the terms of the LDA. Upon termination of the Developer’s ground lease, the Mayor will assume the subleases and extend the lease terms to the public benefits providers, if requested by the public benefits providers, to permit the public benefits providers to continue operating their parcels consistent with the terms of their respective Memoranda of Agreement, subject to the terms of the LDA.

(j) Subject to the conditions identified in the LDA, the District will convey fee simple title to certain portions of the Walter Reed Redevelopment Site to:

(1) Component Developers to construct the Vertical Developments;

(2) The Walter Reed Common Area Association to manage and operate the common areas on the Walter Reed Redevelopment Site;

(3) The homeless assistance providers to continue operating their premises pursuant to the terms of their respective Legally Binding Agreements; and

(4)(A) The Developer, if the Developer purchases the tenant’s leasehold under the Housing Lease, as defined in the LDA; or

(B) If the Housing Lease remains in effect as of the date on which the final phase of Horizontal Development is substantially complete, to the Walter Reed Common Area Association to manage the existing lease for the buildings known as Buildings 8 and 9.

(k) The Developer and each Component Developer shall enter into a First Source Agreement with the District that shall govern certain obligations of the Developer and each Component Developer regarding job creation and employment as a result of the construction of the Horizontal Development and Vertical Developments.

(l) The Developer and each Component Developer shall enter into an agreement that shall require the Developer and each Component Developer, at a minimum, to contract with Certified Business Enterprises for at least 35% of the contract dollar volume of the Horizontal Development and each Vertical Development and shall require at least 20% equity and 20% development participation of Certified Business Enterprises.

(m) At least 20% of the residential units constructed at the Walter Reed Redevelopment Site shall be reserved, sold, or leased as affordable units pursuant to Zoning Commission Order 14-22. Each Component Developer who shall construct a Vertical Development that contains residential units shall enter into an affordable housing covenant memorializing these affordable unit requirements.