Code of the District of Columbia

§ 2–218.02. Definitions.

*NOTE: This section includes amendments by emergency legislation that will expire on February 6, 2022. To view the text of this section after the expiration of all emergency and temporary legislation, click this link: Permanent Version.*

For the purposes of this subchapter, the term:

(1) “Agency” means an agency, department, office, board, commission, authority, or other instrumentality of the District government, with or without legal existence separate from that of the District government.

(1A) “Agency contracting officer” means the contracting officer of an agency or government corporation.

(1B) “Beneficiary” means a business enterprise that is the prime contractor or developer on a government-assisted project.

(1C) “Business enterprise” means a business entity organized for profit.

(1D) “Certified business enterprise” means a local business enterprise certified pursuant to part D of this subchapter [§  2-218.31 et seq.].

(1E) “Certified joint venture” means a joint venture certified pursuant to § 2-218.39a.

(1F) “Certified equity participant” means a single-purpose legal entity created to participate in real estate development projects and includes members that are small investors or disadvantaged investors.

(1G) “Commercially useful function” means work performed by a certified business enterprise in a particular transaction that, consistent with industry practices and other relevant considerations, has a necessary and useful role in the transaction. The certified business enterprise shall be responsible for the execution of the work of the contract and carry out its responsibility by actually performing, managing, and supervising the work involved. The certified business enterprise shall be responsible, with respect to materials and supplies used on the contract, for negotiating price, determining quality and quantity, ordering the materials and installing (where applicable) and paying for the material itself.

(2) “Commission” means the District of Columbia Small and Local Business Opportunity Commission, established by § 2-218.21.

(3) “Department” means the Department of Small and Local Business Development, established by § 2-218.11.

(4) “Director” means the Director of the Department of Small and Local Business Development.

(5) “Disadvantaged business enterprise” means a business enterprise as described in § 2-218.33.

(5A) “Disadvantaged investor” means:

(A) A disadvantaged business enterprise pursuant to § 2-218.33; or

(B) A District-domiciled economically disadvantaged individual as determined by regulations promulgated by the Department.

(5B) “District gross receipts” means all income derived from any activity whatsoever from sources within the District, other than income a local business enterprise derives from an ownership or beneficial interest in other local business enterprises, whether compensated in the District or not, before the deduction of any expense whatsoever connected with the production of the income; provided, that the calculation of the income shall not include:

(A) The collection of federal or local taxes on motor vehicle fuel; or

(B) Fees retained by a retail establishment under § 8-102.03(b)(1).

(6) “District of Columbia Supply Schedule” or “DCSS” means the District of Columbia’s multiple award schedule procurement program for providing commercial products or services to District government agencies.

(7) “Economically disadvantaged individual” means an individual whose ability to compete in the free enterprise system is impaired because of diminished opportunities to obtain capital and credit as compared to others in the same line of business where such impairment is related to the individual’s status as socially disadvantaged. An individual is socially disadvantaged if the individual has reason to believe that the individual has been subjected to prejudice or bias because of his or her identity as a member of a group without regard to his or her qualities as an individual.

(8) “Enterprise zone” means:

(A) The area of the District designated as the District of Columbia Enterprise Zone under 26 U.S.C. § 1400); or

(B) An economic development zone designated by the Mayor and approved by the Council pursuant to §§ 6-1501 through 6-1504.

(8A) "Equity impact enterprise" means a business enterprise that is a resident-owned business and a small business enterprise that can demonstrate that it is at least 51% owned by an individual who is, or a majority number of individuals who are:

(A) Economically disadvantaged individuals; and

(B) Individuals who have been subjected to racial or ethnic prejudice or cultural bias because of their identity as a member of a group without regard to their individual qualities.

(9) “Expendable budget” means the total appropriated budget of an agency, reduced by such funding sources, object classes, objects, and other items, including any contract, the value of which does not lend itself to performance by a small or certified business enterprise, as shall be identified by the Department through rulemaking.

(9A) “Government-assisted project” means:

(A) A contract executed by an agency on behalf of the District or pursuant to statutory authority that involves District funds or, to the extent not prohibited by federal law, funds that the District administers in accordance with a federal grant or otherwise;

(B) A project funded in whole or in part by District funds;

(C) A project that receives a loan or grant from a District agency;

(D) A project that receives bonds or notes or the proceeds from bonds or notes issued by a District agency, including tax increment financing or payment in lieu of tax bonds or notes, but not including industrial revenue bonds.

(E) A project that receives District tax exemptions or abatements that are specific to the project and not to the nature of the entity undertaking the project, such as a religious institution or nonprofit corporation; or

(F) A development project conducted pursuant to a disposition under § 10-801.

(10) Repealed.

(11) “Joint venture” means a combination of property, capital, efforts, skills, or knowledge of 2 or more persons or businesses to carry out a single project.

(12) “Local business enterprise” means a business enterprise as described in § 2-218.31.

(12A) “Local manufacturing business enterprise” means a business enterprise as described in § 2-218.39.

(13) “Longtime resident business” means a business enterprise that has been continuously eligible for certification as a local business enterprise, as defined in § 2-218.31, for 20 consecutive years, or a small business enterprise, as defined in § 2-218.32, for 15 consecutive years.

(13A) “Material change” means a change in a business’:

(A) Ownership;

(B) Address; or

(C) Size, if certified as a small business enterprise as defined in § 2-218.32.

(13B) “Qualified” means a business enterprise deemed by the Department to have the capability to perform the work that has been issued a certificate of registration issued pursuant to this subchapter.

(14) “Regional governmental entity” means an organization that represents the District and surrounding local or state governments.

(15) “Resident-owned business” means a local business enterprise owned by an individual who is, or a majority number of individuals who are, subject to personal income tax solely in the District of Columbia.

(16) “Small business enterprise” means a business enterprise as described in § 2-218.32.

(16A) “Small investor” means:

(A) A small business enterprise pursuant to § 2-218.32; or

(B) A District-domiciled individual with a net worth that does not exceed the limit set by the Department for investors.

(17) “Veteran-owned business enterprise” means a business enterprise as described in § 2-218.38.