Code of the District of Columbia

Chapter 12. Business and Economic Development.

Subchapter I. Office of Business and Economic Development.

§ 2–1201.01. Findings; purpose.

(a) The Council finds that:

(1) There exists in the District of Columbia a substantial problem of chronic unemployment and underemployment;

(2) In the last 2 decades, growth in employment, new business development, and commercial development in the District of Columbia has failed to keep pace with employment growth and commercial expansion in neighboring jurisdictions;

(3) During the same period, the District has experienced a substantial loss in retail businesses and other commercial enterprises which contributed significantly to local employment and the city’s tax base;

(4) Expansion of the tax base in the District of Columbia has, in recent years, lagged significantly behind the rate of inflation and the rate of increase in District of Columbia government expenditures;

(5) Substantial expansion of the tax base is necessary to help avert future governmental fiscal crises, prevent ever-increasing individual business and professional tax levels, and assure provision of necessary public services;

(6) The District of Columbia government lacks an organized capacity or comprehensive strategy to assess its economic needs, encourage business retention, attract commercial enterprises, or otherwise promote and stimulate economic growth;

(7) The absence of such a capacity and strategy has been a significant factor in the District’s inability to compete with neighboring jurisdictions in the retention of existing businesses and the attraction of new enterprises;

(8) Direct and continuing active participation of all levels of the business community is essential to carrying out the objectives of this subchapter.

(b) The purposes of this subchapter are:

(1) To establish an office with ongoing responsibility to assess the economic needs of the City; stimulate new employment opportunities; assist existing businesses; promote the City as a location for businesses and investment to priority City locations in accordance with the City’s comprehensive plan and its economic development objectives; and

(2) To centralize the economic development functions in the District of Columbia government in a single agency devoted solely to these tasks.

§ 2–1201.02. Establishment; purposes. [Omitted]

Omitted.

§ 2–1201.03. Function.

(a) The Office shall give priority to activities, including economic research and analysis, to stimulate employment, promote tourism and business retention, and to attract new commercial and industrial enterprises. Long range priorities shall include development and implementation with the Office of the Assistant City Administrator for Planning and Development of an economic development plan for the District of Columbia.

(b) Pursuant to these priorities, the Office shall:

(1) Initiate and implement an ongoing economic and commercial survey including data to monitor business migration, business and commercial expansion, business opportunities, manpower availability, manpower needs, and other factors relevant to promotion of economic development;

(2) Assist businessmen and developers in securing research data needed for feasibility and market studies;

(3) Initiate and implement programs aimed at stimulating employment opportunities in the District of Columbia, retaining existing businesses in the District, and attracting new commercial and industrial enterprises to the District, as well as, locating and encouraging investors for these enterprises;

(4) Develop and support programs to ensure local, small, and disadvantaged business development and participation in public and private economic development activities;

(5) Coordinate the economic development functions of other District of Columbia offices and departments;

(6) Coordinate economic development activities and projects within the District of Columbia government pursuant to the priorities established in the comprehensive plan and through other actions taken by the District of Columbia government;

(7) Act as ongoing District of Columbia liaison with the business and commercial community and as a vehicle to assist existing businesses in their procedural relationships with the District government, including, but not limited to, the expediting of administrative processes, such as approval of necessary permits, zoning actions, street closings, and other relevant District government administrative actions;

(8) Serve as liaison with pertinent federal government agencies and conduit for federal economic development funding;

(9) Stimulate development or expansion of neighborhood commercial facilities and centers;

(10) Develop financial and technical assistance programs;

(11) Initiate and stimulate public investment as a catalyst to private investment in commercial and industrial enterprises otherwise unavailable to the District of Columbia; and

(12) Recommend various types of commercial industrial development, incentives appropriate for certain development projects.

(c) Basic research and statistical programs would be undertaken in the following areas:

(1) Land use studies of urban renewal, housing, and industrial sites, with emphasis on the disposition of idle industrial land, factories, and commercial properties;

(2) Taxes, including such matters as determining new areas for new revenue for the City and possible tax incentives to encourage development; an examination of the effect of the District tax structure on certain industries; assessing the comparability of the tax structure;

(3) An examination of the District government powers, organization, and practices as they affect economic development; and

(4) Special industry problems, including the District’s mature and declining industries.

§ 2–1201.04. Executive Director.

(a) The Office shall be headed by an Executive Director (hereinafter in this subchapter referred to as the “Director”), who shall be appointed by the Mayor. The Director shall devote his full time to the duties of his Office, and shall appoint qualified staff including a “Business Ombudsman” charged primarily with the implementation of the functions provided in § 2-1201.03. The annual compensation of the Director shall be determined in accordance with Chapter 51 of Title 5, United States Code (relating to the classification of government employees and related matters), but shall be no less than a GS-16, step 1 or equivalent compensation pursuant to the provisions of subchapter XI of Chapter 6 of Title 1.

(b) In order to best carry out his duties and responsibilities and to serve the people of the District in the promotion of business economic development, the Director may engage in programs and projects jointly with a private person, firm, corporation, or association, and may enter into contracts under terms to be mutually agreed upon to carry out such programs and projects not including acquisition of land or buildings. Such contracts may be negotiated and shall not be subject to the provisions of § 2-225.05 [repealed], insofar as such provisions relate to competitive bidding.

§ 2–1201.05. Funding.

The Office shall be funded by a variety of sources currently available or potentially available in the future, including, but not limited to, federal loans and grant funds, community development block grant funds, District of Columbia government appropriated or borrowed funds, and private endowments. Sources of funding for the Office shall include no less than $300,000 in community development block grant funds conditionally approved by the United States Department of Housing and Urban Development for business and economic development programs, pursuant to the Department’s approval on June 24, 1975 of the District of Columbia “Application for Federal Assistance for a Community Development Block Grant Program— 1975.”

Subchapter II. Economic Development Liaison Office.

§ 2–1203.01. Establishment of the Economic Development Liaison Office.

(a) In accordance with § 1-204.04(b), there is hereby established in the Executive Branch of the government of the District of Columbia an Economic Development Liaison Office, to be headed by an Assistant City Administrator for Economic Development, who shall serve as liaison between the Mayor, the City Administrator, the Chief Financial Officer, the National Capital Revitalization Corporation, hospitality industry organizations, and economic development policy groups.

(b) The Economic Development Liaison Office shall give priority to assisting activities that foster economic growth and employment opportunities in the District by retaining, expanding, and attracting business through strategic neighborhood revitalization policies and actions to remove blight and facilitating opportunities for commercial and human capital development consistent with the economic, social, housing, and employment needs of residents and citizens of the District.

§ 2–1203.02. Functions.

The Economic Development Liaison Office shall perform the following functions:

(1) Develop and support programs to ensure local business development and the participation of small and disadvantaged businesses in public and private economic development activities;

(2) Assist businesses in their procedural relationships with the District government, including, but not limited to, the expediting of administrative processes, such as approval of necessary permits, zoning actions, street closings, and other relevant District administrative actions;

(3) Assist the Executive in the administration and supervision of the Office of Planning;

(4) Assist the Executive in the administration and supervision of the Office of Banking and Financial Institutions;

(5) Assist the Executive in the administration and supervision of the District of Columbia Small and Local Business Opportunity Commission, established by § 2-218.21;

(6) Assist the Executive in the administration and supervision of the Office of Motion Pictures and Television Development;

(7) Assist the Executive in the coordination of activities of the Zoning Commission with other economic development activities of the District government;

(8) Assist the Executive and the Chief Financial Officer in the transfer payment of all taxes collected on behalf of business improvement districts;

(9) Assist the Executive in the coordination of activities between the Executive and the Department of Housing and Community Development, the National Capital Revitalization Corporation, the President of the United States District of Columbia Task Force, the Washington Convention and Sports Authority, the Washington Convention and Visitors Association, the Hotel Association of Washington, the Restaurant Association of Washington, the D.C. Committee to Promote Washington, the D.C. Chamber of Commerce, the D.C. Building Industries Association, the Federal City Council, and the Committee of 100 on the Federal City; and

(10) With appropriated funds, distribute the one-time grant of $13.5 million to the Canal Park Development Association for construction of Canal Park, issue one-time grants in accordance with section 8002(h) of the Fiscal Year 2009 Budget Support Act of 2008, effective August 16, 2008 (D.C. Law 17-219; 55 DCR 7598), and issue grants or loans as may be necessary to implement projects that are part of the New Communities Initiative; provided, that any grant issued pursuant to this paragraph shall constitute an agreement making grants-in-aid for the purposes of Unit A of Chapter 3 of this title.

§ 2–1203.03. Transfer of functions; abolishment of the Office of Tourism and Promotions.

(a) All authority responsibilities, and functions assigned to the Office of Tourism and Promotions by Reorganization Plan No. 2 of 1992, effective October 1, 1992, including oversight responsibility for the D.C. Committee to Promote Washington and the Office of Motion Picture and Television Development, established by Mayor’s Order 79-218, dated September 14, 1979, are hereby transferred the Economic Development Liaison Office.

(b) The Office of Tourism and Promotions, established by Reorganization Plan No. 2 of 1992, effective January 6, 1993, is hereby abolished.

Subchapter II-A. Film and Television Industry Development.

Part A. Office of Motion Picture and Television Development.

§ 2–1204.01. Establishment of the Office of Motion Picture and Television Development. [Repealed]

Repealed.

§ 2–1204.02. Appointment of Director. [Repealed]

Repealed.

Part B. Entertainment Economic Incentives and Rebates.

§ 2–1204.11. Film, Television and Entertainment Rebate Fund.

(a)(1) There is established as a special fund the Film, Television and Entertainment Rebate Fund (“Fund”). The Fund shall appear as a separate program line within the budget of the Office of Cable Television, Film, Music, and Entertainment. The Fund shall be funded by annual appropriations.

(2)(A) The money deposited into the Fund, and interest earned, shall not revert to the unrestricted fund balance of the General Fund of the District of Columbia at the end of a fiscal year, or at any other time.

(B) Subject to authorization in an approved budget and financial plan, any funds appropriated in the Fund shall be continually available without regard to fiscal year limitation.

(b) Subject to §§ 2-1204.11a, 2-1204.11c, and 2-1204.12 and subject to the availability of funds, the Mayor may provide to an eligible production company, as an incentive for the production of movies, television shows, or other video productions in the District, a payment up to the following:

(1) The sum of 35% of the company’s qualified production expenditures that are subject to taxation in the District;

(2) The sum of 21% of the company’s qualified production expenditures that are not subject to taxation in the District;

(3) The sum of 30% of the company’s qualified personnel expenditures that are subject to taxation in the District;

(3A) The sum of 10% of the company’s qualified personnel expenditures that are not subject to taxation in the District; and

(4) The sum of 50% of the company’s qualified job training expenditures.

(5) Repealed.

(c) Subject to 2-1204.11a, 2-1204.11c, and 2-1204.12 and subject to the availability of funds, the Mayor may provide to an applicant, as an incentive for the creation of production and postproduction facilities in the District, a payment of up to 25% of the taxpayer’s base infrastructure investment; provided, that if all or a portion of the base infrastructure investment is in a facility that may be used for purposes unrelated to production or postproduction activities, then the base infrastructure investment shall be eligible for the up to 25% payment only if the Mayor determines that the facility will support and be necessary to secure production or postproduction activity.

§ 2–1204.11a. Production incentives.

(a) To qualify for a payment under § 2-1204.11(b), an eligible production company shall:

(1) Spend at least $250,000 in the District for the preproduction, production, or postproduction costs of a qualified production;

(2) File an application with the Mayor pursuant to subsection (b) of this section;

(3) Enter into a rebate agreement with the Mayor pursuant to subsection (d) of this section;

(4) Comply with the terms of the agreement;

(5) Not be delinquent in a tax or other obligation owed to the District or be owned or under common control of an entity that is delinquent in a tax or other obligation owed to the District; and

(6) Agree to contain a 5-second long “Filmed in the District of Columbia” credit and logo provided by the Mayor in the final production and a link to the District of Columbia on the project’s web page, or an alternative recognition agreed upon by the Mayor that offers equal or greater promotional value to the District.

(b) An eligible production company seeking a payment under § 2-1204.11(b) shall submit an application to the Mayor. The application shall be submitted in a form, and with such documentation and information, may be prescribed by the Mayor, including:

(1) An estimate of qualified production expenditures;

(2) An estimate of qualified personnel expenditures;

(3) An estimate of qualified job training expenditures; and

(4) An estimate of direct District expenditures.

(c) After receiving an application under subsection (b) of this section, the Mayor shall review the application and determine whether to enter into a rebate agreement pursuant to subsection (d) of this section with the eligible production company. In determining whether to enter into a rebate agreement with the eligible production company, the Mayor may consider:

(1) The potential that, in the absence of a payment under § 2-1204.11b(a), the qualified production will be produced in a location other than the District;

(2)(A) The qualified production is likely to promote the District as a tourist destination;

(B) The qualified production is likely to create contracting and procurement opportunities for certified business enterprises;

(C) The qualified production is likely to:

(i) Create jobs;

(ii) Job training opportunities; and

(iii) Apprenticeships for District residents;

(D) The qualified production will produce employment opportunities for District youth;

(E) The qualified production is likely to promote economic development and neighborhood revitalization in the District;

(F) A payment under § 2-1204.11b(a) is likely to attract private investment for the production of other qualified productions or base infrastructure investments in the District; and

(3) The record of the eligible production company in completing commitments to engage in a qualified production.

(d) A rebate agreement entered into by the Mayor and the eligible production company shall include the following provisions:

(1) The name of the eligible production company;

(2) The name and description of the qualified production;

(3) The eligible production company’s:

(A) Estimated qualified production expenditures;

(B) Estimated qualified personnel expenditures;

(C) Estimated qualified job training expenditures; and

(D) Estimated direct District expenditures.

(4) A preliminary estimate of the payment to be made by the District pursuant to the agreement;

(5) Any obligations of the eligible production company, including obligations such a commitment to hire District residents, provide apprenticeship opportunities for District residents and youth, provide employment opportunities for District residents and youth, and to contract with certified business entities; and

(6) Any other provisions considered appropriate by the Mayor.

(e) If the Mayor determines that an eligible production company, after it completes the qualified production, has complied with the terms of the agreement entered into under this section, the Mayor shall provide to the company the payment authorized by § 2-1204.11(b).

(f) The Mayor shall reserve funds sufficient to pay the amount identified in subsection (d)(4) of this section.

§ 2–1204.11b. Infrastructure incentives.

(a) To be eligible for a payment under § 2-1204.11(c), an approved applicant shall:

(1) Invest and expend at least $250,000 for a qualified film and digital media infrastructure project in the District;

(2) File an application with the Mayor pursuant to subsection (b) of this section;

(3) Enter into an agreement with the Mayor pursuant to subsection (d) of this section;

(4) Comply with the terms of the agreement; and

(5) Not be delinquent in a tax or other obligation owed to the District, or be owned or under common control of an entity that is delinquent in a tax or other obligation owed to the District.

(b) An approved applicant seeking a payment under § 2-1204.11(c) shall submit an application to the Mayor, in a form and with the documentation and information, including an estimate of total base infrastructure investment, as may be prescribed by the Mayor.

(c) After receiving an application under subsection (b) of this section, the Mayor shall review the application and determine whether to enter into a rebate agreement with the applicant pursuant to subsection (d) of this section. In determining whether to enter into the rebate agreement, the Mayor may consider:

(1) The potential that, in the absence of a payment under § 2-1204.11(c), the qualified film and digital media infrastructure project in which the base infrastructure investment will be made will be constructed in a location other than the District, or not constructed at all;

(2) The extent to which the qualified film and digital media infrastructure project is likely to:

(A) Create contracting and procurement opportunities for certified business enterprises;

(B) Create jobs, job training opportunities, and apprenticeships for District residents and District youth;

(C) Promote economic development and neighborhood revitalization in the District;

(3) The extent to which the qualified film and digital media infrastructure project is likely to attract motion picture, television, and video production to the District; and

(4) The record of the applicant in completing commitments to engage in qualified film and digital media infrastructure projects.

(d) A rebate agreement entered into by the Mayor and the eligible production company shall include the following provisions:

(1) The name of the applicant;

(2) A description of the qualified film and digital media infrastructure project;

(3) The applicant’s estimated base investment;

(4) A preliminary estimate of the payment to be made by the District pursuant to this agreement;

(5) Any obligations of the eligible production company, including obligations such as a commitment to hire District residents, provide apprenticeship opportunities for District residents and youth, provide employment opportunities for District residents and youth, and to contract with certified business entities; and

(6) Any other provisions considered appropriate by the Mayor.

(e) If the Mayor determines, after the qualified film and digital media infrastructure project is complete, that an applicant has complied with the terms of the agreement under this section, the Mayor may provide to the company the payment authorized by § 2-1204.11(c).

§ 2–1204.11c. Definitions.

For the purposes of this chapter, the term:

(1) “Above-the-line crew” means a person employed by an eligible production company for a qualified production, such as a producer, director, writer, or actor, who is not otherwise identified as below-the-line crew, as defined in paragraph (2) of this section.

(1A) “Base infrastructure investment” means the cost, including renovation, rehabilitation, fabrication and installation, expended by a person in the development of a qualified film and digital media infrastructure project for tangible assets of a type that are, or under the United States Internal Revenue Code will become, eligible for depreciation, amortization, or accelerated capital cost recovery for federal income tax purposes that are physically located in the District for use in a business activity in the District and that are not mobile tangible assets. The term “base infrastructure investment” does not include qualified production expenditure or qualified personnel expenditure.

(2) “Below-the-line crew” means a person employed by an eligible production company for a qualified production after production begins and before production is completed, excluding above-the-line crew such as a producer, director, writer, actor, or other person in a similar position.

(2A) "Direct District expenditure" means a qualified production expenditure, or a qualified personnel expenditure made to a District resident who is an above-the-line or below-the-line crew member.

(3) “Eligible production company” means an entity in the business of producing qualified productions.

(4) “Postproduction expenditure” means a direct expenditure for editing, Foley recording, automatic dialogue replacement, sound editing, special or visual effects, including computer-generated imagery or other effects, scoring and music editing, beginning and end credits, negative cutting, soundtrack production, dubbing, subtitling, addition of sound or visual effects, and related expenses.

(5) “Qualified film and digital media infrastructure project” means a film, video, television, or digital media production and postproduction facility located in the District, movable and immovable property and equipment related to the facility, and any other facility that is a necessary component of the primary facility. The term “qualified film and digital media infrastructure project” does not include a movie theater or other commercial exhibition facility.

(6) “Qualified job training expenditure” means salary and other expenditures paid by an eligible production company to provide qualified personnel with on-the-job training to upgrade or enhance the skills of the qualified personnel as a member of the below-the-line crew for a qualified production.

(7) Repealed.

(8) “Qualified personnel expenditure” means an expenditure made in the District directly attributable to the preproduction, production, or postproduction of a qualified production and is a payment of wages, benefits, or fees to above-the-line or below-the-line crew members and includes a payment to a personal services corporation or professional employer organization for the services of qualified personnel as above-the-line or below-the-line crew members. The term “qualified personnel expenditure” does not include salary, wages, and other compensation for personal services of above-the-line crew members that when combined exceed $500,000 in salary, wages, or other compensation for personal services in connection with any qualified production activity.

(9) “Qualified production” means motion picture, television, or video content created in whole or in part in the District, intended for nationwide distribution or exhibition by any means, including by motion picture, documentary, television programming, commercials, or internet video production and includes a trailer, pilot, or any video teaser associated with a qualified production. The term “qualified production” includes a music, sporting, interactive gaming, or other entertainment special event if it is determined that the event would not otherwise be produced in the District of Columbia without a production rebate. The term “qualified production” does not include:

(A) A production that:

(i) Consists primarily of televised news or current events;

(ii) Consists primarily of a live sporting event that would likely be staged in the District of Columbia without a production rebate;

(iii) Consists primarily of political advertising;

(iv) Primarily markets a product or service other than a qualified production; or

(B) A radio program.

(10)(A) “Qualified production expenditure” means the preproduction, production, and postproduction expenditures in the District directly related to the qualified production, including:

(i) Set construction and operation;

(ii) Wardrobes, makeup, accessories, and related services;

(iii) Photography and sound synchronization, lighting, and related services and materials;

(iv) Editing and related services, including film processing, transfers of film to tape or digital format, sound mixing, computer graphic services, special effects services, and animation services;

(v) Rental of facilities in the District and equipment used in the District;

(vi) Establishment of office space in the District;

(vii) Leasing of vehicles;

(viii) Food and lodging;

(ix) Music, if performed, composed, or recorded by a District musician or published by a person or company domiciled in the District; and

(x) Any other production expense incurred in the District that is approved by the Mayor.

(B) For goods with a purchase price of $25,000 or more, the amount included in qualifying as a qualified production expenditure is the purchase price less the fair market value of the good at the time the production is completed.

(C) The term “qualified production expenditure” does not include:

(i) Qualified personnel expenditures;

(ii) Marketing and distribution expenditures; or

(iii) Non-production related overhead.

§ 2–1204.11d. Motion picture and television production permits.

(a) The Mayor may issue a permit for the occupation of the public space for motion picture, television, and other media productions (“film permit”) pursuant to § 10-1141.03.

(b) The Mayor may impose a one-time fee for processing of the film permit application in the amount of $30 per production.

(c) The film permit fee shall be $150 per day per location to occupy public space or a public right-of-way.

(d) The Mayor may periodically revise the schedule of fees by rulemaking.

(e) The fees received by the Mayor from applications for and issuance of the film permits shall be deposited into the special account established by § 34-1252.03.

(f) No permit may be transferred from one location to another.

§ 2–1204.11e. Film DC Special Account Fund. [Repealed]

Repealed.

§ 2–1204.12. Rulemaking.

The Mayor may promulgate rules necessary to implement this chapter.

§ 2–1204.13. References.

All references in statutes, regulations, rules, orders, and other official documents to the “Film DC Economic Incentive Fund,” “Incentive Awardee,” and “incentive agreement” shall be deemed to refer, respectively, to the “Film, Television and Entertainment Rebate Fund,” “Rebate Awardee” and “rebate agreement.”

Subchapter III. Office of Local Business Development.

§ 2–1205.01. Establishment of the Office of Local Business Development. [Repealed]

Repealed.

§ 2–1205.02. Purpose. [Repealed]

Repealed.

§ 2–1205.03. Functions. [Repealed]

Repealed.

§ 2–1205.04. Transfers. [Repealed]

Repealed.

Subchapter IV. Economic Development Finance Corporation. [Repealed].

§ 2–1207.01. Findings. [Repealed]

Repealed.

§ 2–1207.02. Definitions. [Repealed]

Repealed.

§ 2–1207.03. Economic Development Finance Corporation—Established; composition; appointment; term of office; vacancies; quorum; reimbursement for expenses. [Repealed]

Repealed.

§ 2–1207.04. Economic Development Finance Corporation—President. [Repealed]

Repealed.

§ 2–1207.05. Conflict of interest. [Repealed]

Repealed.

§ 2–1207.06. Powers of Corporation. [Repealed]

Repealed.

§ 2–1207.06a. Business Purchase Assistance Program. [Repealed]

Repealed.

§ 2–1207.07. Capitalization. [Repealed]

Repealed.

§ 2–1207.08. Project criteria. [Repealed]

Repealed.

§ 2–1207.09. Rules and regulations; sponsorship of projects; application by for-profit subsidiary corporation. [Repealed]

Repealed.

§ 2–1207.10. Biennial audit; report of audit; annual report of operation. [Repealed]

Repealed.

§ 2–1207.11. Minority Enterprise Small Business Investment Company and Small Business Investment Company. [Repealed]

Repealed.

§ 2–1207.12. Title to property upon dissolution. [Repealed]

Repealed.

Subchapter IV-A. Economic Development Budget Transparency.

§ 2–1208.01. Definitions.

For the purposes of this subchapter, the term:

(1) “Chief Financial Officer” means the Office of the Chief Financial Officer established by § 1-204.24a.

(2) "Economic development incentive" or "incentive" means any expenditure of public funds by a granting body for the purpose of stimulating economic development or creating affordable housing within the District of Columbia, including any funds from the District or funds that, in accordance with a federal grant or otherwise, the District government administers, including land disposition and development agreements, financial subsidies, or expenditures of the Housing Production Trust Fund or of the Housing Preservation Fund, or any bond issuance, including pilot bond, tax increment financing bond, or revenue bond issuances, grant, loan, loan guarantee, fee waiver, land price subsidy, matching fund, tax abatement, tax exemption, tax credit, or any other tax expenditure.

(3) “Granting body” means an agency, board, office, instrumentality, or authority of the District government that provides or authorizes an economic development incentive.

(4) “Recipient” means any non-governmental person association, corporation, joint venture, partnership, or other entity that receives an economic development incentive.

(5) “Tax expenditure” shall include any loss of revenue to the District government that is attributable to an exemption, abatement, credit, reduction, or other exclusion under District tax law.

(6) “Unified Economic Development Budget Report” or “Report” means the document that the Chief Financial Officer is required to create under § 2-1208.02.

§ 2–1208.02. Unified Economic Development Budget Report.

(a)(1) On or before March 1, the Chief Financial Officer shall compile and publish an annual Unified Economic Development Budget Report (“Report”) with regard to the fiscal year just concluded. The report shall be produced in both printed and electronic form and shall be freely available in offices of all District agencies included in the report. A user-friendly electronic version of the report shall be posted on the Government of the District of Columbia’s website in a central location that the public can easily locate.

(2) The comprehensive report shall provide the following information regarding the economic development incentives offered by the District:

(A) The name of each recipient receiving one or more economic development incentives with a combined total value equal to or greater than $75,000;

(B) The dollar value of each economic development incentive received by each recipient; provided, that any economic development incentive received by a recipient with a value less than $75,000 shall not be itemized; the Chief Financial Officer shall report an aggregate dollar amount of those expenditures and the total number of recipients aggregated;

(C) The aggregate dollar amounts for each type of incentive;

(D) The aggregate dollar amounts expended per ward;

(E) The aggregate number of companies, groups, or individuals receiving each type of economic development incentive; and

(F) The total cost of all economic development incentives appropriated by each granting body categorized by the granting body’s name.

(b) The Mayor shall submit annually, as part of the annual budget request to the Council, a single document estimating the costs of all economic development incentives for the fiscal year of the requested budget, including:

(1) The total cost to the District resulting from the proposed economic development incentives, including the costs for each category of proposed tax expenditures, and the amounts of proposed tax expenditures classified by ward;

(2) The cost to the District of all proposed appropriated funds for economic development incentives by District agency, instrumentality, or public institution of higher education;

(3) For each recipient listed in the most recent Unified Economic Development Budget Report prepared pursuant to subsection (a)(2)(A) of this section that has received an economic development incentive in anticipation of, or as the result of, the development or redevelopment of real property, the Mayor shall list all requirements imposed on the recipient in exchange for those incentives, including any requirements related to:

(A) The production or preservation of affordable housing;

(B) The employment of District residents;

(C) The participation of certified business enterprises in the construction or operation of the real property; and

(D) The production of community amenities; and

(4) For each recipient that received an economic development incentive in anticipation of, or as the result of, the development or redevelopment of real property within the previous 5 years, the Mayor shall determine whether the recipient is in compliance with any requirements listed in paragraph (3) of this subsection for that recipient and shall list, when applicable:

(A) The current number of affordable housing units on the property, their level of affordability, and the number of bedrooms per unit;

(B) The number of District residents employed as a result of the development or redevelopment of the property, including the average wages of newly employed residents, the value and type of employment benefits provided, and whether the employees are full-time or part-time;

(C) The participation of certified business enterprises in the construction or operation of the real property;

(D) Any realized changes to overall tax revenue resulting from the development or redevelopment.

(c) Any granting authority agencies administering any economic development incentive shall cooperate and assist the Chief Financial Officer in the preparation of the Unified Economic Development Budget Report and all reporting requirements imposed by this subchapter.

§ 2–1208.03. Performance measure requirements and strategic plan.

(a) For purposes of evaluating the success of economic development in the District of Columbia, the Mayor, before the start of each legislative period, shall prepare a strategic plan for economic development that reflects the District’s economic priorities (“strategic plan”). At a minimum, the strategic plan shall:

(1) Establish realistic and verifiable goals for economic development, including concrete performance measures for the following economic priorities:

(A) Job growth;

(B) Business retention and expansion;

(C) Business attraction;

(D) An increased tax base; and

(E) Increased usage and purchasing of local goods and services;

(2) Incorporate data obtained from the Unified Economic Development Budget Report required by § 2-1208.02 to assess the success of the District’s usage of economic development incentives in the past fiscal year to accomplish economic priorities and to relate how economic development incentives proposed as part of the upcoming fiscal year’s budget will assist the District in meeting its goals and performance measures for economic development;

(3) Identify a cohort of relevant comparable economic analyses, considering efforts by neighboring jurisdictions and across the nation as examples;

(4) Evaluate other economic development benchmarking;

(5) Identify and evaluate the strengths, weaknesses, and opportunities inherent in and available to the District economy as well as the mechanisms and leverage points where the District should invest additional resources to achieve the goals established in the strategic plan; and

(6) Recommend policy initiatives designed to improve the relative ability of the District to achieve the goals identified in the strategic plan.

(b) The Mayor shall publish the strategic plan in both printed and electronic form. The printed version shall be distributed to the Council and made freely available to the public at the Office of the Deputy Mayor of Planning and Economic Development. A user-friendly electronic version of the report shall also be posted on the Government of the District of Columbia’s website in a central location that the public can easily locate.

§ 2–1208.04. Freedom of information act disclosure.

All data collected and maintained as part of the reporting obligations imposed by this subchapter shall be fully subject to, and comply with, subchapter II of Chapter 5 of this title [§ 2-531 et seq.].

Subchapter IV-B. Made in DC Program.

§ 2–1208.31. Definitions.

For the purposes of this subchapter, the term:

(1) "Department" means the Department of Small and Local Business Development, established by subchapter IX-A of Chapter 2 of this title.

(2) "District-based business" or "DBB" means a maker that:

(A) Maintains its primary office in the District;

(B) Possesses a current license pursuant to Chapter 28 of Title 47;

(C) Has certified that either the majority owners are District residents or 51% or more of its employees are District residents; and

(D) Is registered with the Department.

(3) "Fund" means the Made in DC Fund established by § 2-1208.33.

(4) "Innovation Space and Marketplace" means studio space together with sales gallery space, space with high-end shared equipment, and classrooms that would be available to local makers on a low-cost membership basis.

(5) "Made in DC" means the brand name developed under the Made in DC program, established by § 2-1208.32, which may be used by a maker who is registered with the Department as a DBB to promote a product that has been:

(A) Created, manufactured, or assembled in the District; and

(B) Approved by the Department.

(6) "Maker" means an individual, including an artisan or craftsperson, or a business, who creates, manufactures, or assembles a product through a process involving intellectual property, ingredients, raw materials, or other components.

(7) "Program" means the Made in DC program established by § 2-1208.32.

§ 2–1208.32. Made in DC program.

(a) There is established within the Department a Made in DC program, which shall:

(1) Promote products created, manufactured, or assembled in the District;

(2) Develop and promote the Made in DC brand name as an identifier of products created, manufactured, or assembled in the District;

(3) Develop a logo for the Made in DC brand name to aid District-based businesses in marketing their products and to promote public recognition of the logo;

(4) Raise awareness of and pride in products created, manufactured, or assembled in the District that carry the Made in DC logo;

(5) Conduct a public awareness campaign, including producing public service announcements and distributing marketing materials, such as stickers, flyers, and digital logos, to promote the Made in DC brand name;

(6) Coordinate with Events DC and Destination DC to market the Made in DC brand name and products created, manufactured, or assembled in the District to conventions, tourists, and major events;

(7) Establish and maintain an online resource listing of products branded Made in DC;

(8) Establish an application process to approve an eligible product created, manufactured, or assembled in the District; provided, that the Department shall review each approval every 3 years to confirm a product's continued eligibility and revoke its approval for use of the Made in DC brand name of any product or DBB that no longer meets the requirements of this section;

(9) Provide technical assistance and other support to help eligible makers utilize the Made in DC brand name, including:

(A) Coordinating with the Department of Consumer and Regulatory Affairs to market the Program to eligible makers; and

(B) Developing an interactive network to enable designers and makers to connect to spur local product innovation and partnerships;

(10) Monitor the use of the Made in DC brand name to identify and stop the unauthorized use of the brand name and its logo; and

(11) Develop criteria to evaluate on an ongoing basis the effectiveness of the Program.

(b) The Department may engage a non-governmental organization with specific expertise in the District maker community to:

(1) Assist the Department with the duties listed in subsection (a) of this section;

(2) Identify makers who may be eligible to participate in the Program; and

(3) Assess obstacles, if any, to the viability of the District maker community and make recommendations to address those obstacles.

§ 2–1208.33. Made in DC Fund.

(a) There is established as a special fund the Made in DC Fund, which shall be administered by the Department in accordance with subsection (c) of this section.

(b) Revenue from the following sources shall be deposited in the Fund:

(1) Appropriated funds;

(2) Donations from the public;

(3) Donations and grants from private entities;

(4) Interest earned from funds in the Fund; and

(5) Any other available funding.

(c) Money in the Fund shall be used for the purposes set forth in § 2-1208.32.

(d)(1) The money deposited into the Fund, and interest earned, shall not revert to the unrestricted fund balance of the General Fund of the District of Columbia at the end of a fiscal year, or at any other time.

(2) Subject to authorization in an approved budget and financial plan, any funds appropriated in the Fund shall be continually available without regard to fiscal year limitation.

§ 2–1208.34. Innovation Space and Marketplace report.

(a) Within 180 days of the effective date of this subchapter, the Deputy Mayor for Planning and Economic Development shall submit to the Mayor and the Council a report on opportunities for establishing a District-sponsored Innovation Space and Marketplace to support the local maker community by providing a central venue in which members can work and display and sell their products.

(b) The report shall:

(1) Identify District property for potential use as an Innovative Space and Marketplace;

(2) Estimate the cost of developing potential sites for such use;

(3) Estimate the costs of operating and maintaining the site;

(4) Assess the availability of public-private partnerships to develop an Innovation Space and Marketplace;

(5) Assess the availability of private donations, grants, or sponsorships to support the Innovation Space and Marketplace and the purchase of a wide range of equipment, such as tools for:

(A) 3D printing and prototyping;

(B) Woodworking;

(C) Metal working and welding;

(D) Sewing;

(E) Screen printing;

(F) Electronics; and

(G) Robotics; and

(6) Consider the most efficient management option for an Innovative Space and Marketplace.

(c) In preparing the report, the Deputy Mayor for Planning and Economic Development shall work with a variety of stakeholders, including:

(1) Diverse members of the maker community;

(2) Local creative organizations;

(3) Universities and colleges;

(4) The Commission on Arts and Humanities; and

(5) The Department.

§ 2–1208.35. Rules.

The Mayor, pursuant to subchapter I of Chapter 5 of this title, shall issue rules to implement the provisions of this subchapter.

§ 2–1208.36. Applicability. [Repealed]

Repealed.

Subchapter V. Business Incubator Facilitation.

§ 2–1209.01. Purposes.

In enacting this subchapter, the Council of the District of Columbia supports the following statutory purposes:

(1) To facilitate the establishment of 1 or more business incubators in the District of Columbia by offering the use of city-owned property, credit support for financing businesses in the incubator, and other incentives to ensure that tenant business costs for space and services are kept to a minimum; and

(2) To design business incubators to assist companies through the conceptual, start-up, and early growth stages of their businesses. The business incubator is not intended to serve merely as inexpensive quarters for established businesses.

§ 2–1209.02. Definitions.

For the purposes of this subchapter, the term:

(1) “Business incubator” means a building that provides low-cost space and services to eligible tenant businesses. The term “business incubator” does not mean a multi-tenant facility that offers space alone.

(2) “Council” means the Council of the District of Columbia.

(3) “District” means the District of Columbia.

(4) “Mayor” means the Mayor of the District of Columbia.

§ 2–1209.03. Eligibility criteria.

(a) The Mayor shall define eligibility criteria for business incubators receiving public support. These criteria shall be stated in terms of business and economic development objectives, including, but not limited to, consideration of the following recommendations:

(1) The Mayor shall rank the types of businesses that would be eligible tenants.

(2) The Mayor shall rank-order the District government’s preferences in such a way that businesses with little job creation potential are ranked lower than those businesses which have more employment potential.

(3) The Mayor shall give priority to potential tenant businesses such as light industrial, research and development, and business services companies that are potential major contributors to job creation efforts in the District.

(b) To be an eligible tenant business for occupancy in a business incubator, a business shall be based and incorporated in the District, shall have its corporate headquarters and principal place of business located in the District, and shall not be a subsidiary of another business.

§ 2–1209.04. Admissions policy.

(a)(1) The Mayor shall establish admissions criteria for occupancy in a business incubator.

(2) Admissions criteria may include, but not be limited to, factors such as the age, size, and financial status of the business.

(b) The Mayor shall establish screening and application procedures which will apply to all prospective tenant businesses.

(c) Submission of a business plan may be required for admission, especially for new-start businesses.

(d) Any business selected for occupancy in a business incubator shall demonstrate a potential for success and an identified market for its goods or services.

(e) Any business selected for occupancy in a business incubator must contract with the District government to maintain its principal place of business within the District for a minimum of 10 years following its move from the business incubator.

(f) Each tenant business selected for occupancy in the business incubator shall be responsible for the cost of office renovations, maintenance, and, upon departure from the business incubator, for the cost of returning its incubator space to its original condition unless other arrangements are made in advance of departure with a new tenant business.

(g) The Mayor shall establish the minimum insurance requirements of any tenant business to insure against any future liability of the District government for the business operations of the tenant.

§ 2–1209.05. Services.

(a) Selected basic services shall be included in the rent for the business incubator; other services shall be paid for on an as-used basis.

(b) The only free services shall be those ordinarily available free of charge from participating providers.

(c) Services available elsewhere shall not be duplicated; all existing management support and services programs in the District, including financial services, shall be utilized.

(d) Both public and private resources may be made available to tenant businesses.

§ 2–1209.06. Mayor may contract for outside management.

The Mayor may contract with a for-profit or a nonprofit corporation or educational institution that can utilize its resources to provide management of the business incubator facility and its services, to provide business development assistance, and to coordinate financial assistance programs. The selection of a contractor for this purpose shall be subject to review by the Council’s Committee on Economic Development.

§ 2–1209.07. Priority to residents.

Priority shall be given to tenant businesses owned by persons who are residents of the District.

§ 2–1209.08. First source employment agreement required.

Tenant businesses chosen for occupancy in business incubators shall execute a first source employment agreement with the District government pursuant to § 2-219.03.

§ 2–1209.09. Maximum stay policy.

The Mayor shall devise a policy that encourages tenant businesses to leave the business incubators when a certain level of development is reached, but does not arbitrarily evict a tenant business at a crucial period in its development.

§ 2–1209.10. Location of business incubators.

The Mayor shall locate business incubators in areas in the District appropriate to the types of businesses targeted for occupancy, based on District-determined priorities, and shall seek sites which have the least prohibitive zoning in order to allow a range of uses.

§ 2–1209.11. Advisory Board established. [Repealed]

Repealed.

§ 2–1209.12. Duties of Advisory Board. [Repealed]

Repealed.

§ 2–1209.13. Rules. [Repealed]

Repealed.

§ 2–1209.14. Annual report.

The Office of Business and Economic Development shall annually prepare a report for the Committee on Economic Development which shall describe in detail the operations of each business incubator, including, but not limited to, a discussion of:

(1) The business operation of each tenant business;

(2) The impact of the product or service provided to the public and the job training opportunities of each tenant business to the economic development objectives of the city for which the tenant business was selected;

(3) The employment benefits and revenues to the District as a result of the establishment of the business incubator;

(4) The utilization of shared services;

(5) Any recurrent problems experienced in the management of the business incubator as well as the recommended corrective action;

(6) Any financial or technical assistance provided to a tenant business by the public or private sector;

(7) The establishment and implementation of business incubator policies, rules, and regulations; and

(8) Any legislative initiatives which would increase the productivity, viability, and economic benefits of business tenants or a business incubator facility.

Subchapter V-A. Access to Capital for Businesses and Nonprofit Organizations.

§ 2–1210.01. Definitions.

For the purposes of this subchapter, the term:

(1) “Capital access loan” means a loan that is entitled to be secured by the Fund.

(2) “Enrolled loan” means a capital access loan issued in accordance with:

(A) The participation agreement; and

(B) The program’s objectives.

(3) “Financial institution” includes a bank, trust company, banking association, savings and loan association, mortgage company, investment bank, credit union, or nontraditional financial institution.

(4) “Fund” means the Capital Access Fund established by § 2-1210.02.

(5) “Loan” includes a line of credit.

(6) “Medium-sized business” means a corporation, partnership, sole proprietorship, or other legal entity that:

(A) Is domiciled in the District of Columbia or has at least 51% of its employees located in the District of Columbia;

(B) Is formed to make a profit; and

(C) Employs at least 100, but fewer than 500, full-time employees.

(7) “Nonprofit organization” means a corporation, association, or organization which is tax-exempt under section 501(c)(3) of the Internal Revenue Code of 1986, approved August 16, 1954 (68A Stat. 163; 26 U.S.C. § 501(c)(3)), that:

(A) Is domiciled in the District of Columbia; or

(B) Has at least 51% of its members located in the District of Columbia.

(8) “Participating financial institution” means a financial institution participating in the program.

(9) “Program” means the Capital Access Program.

(10) “Reserve account” means an account established in a participating financial institution on approval of the bank in which money is deposited to serve as a source of additional revenue to reimburse the financial institution for losses on loans enrolled in the program.

(11) “Small business” means a corporation, partnership, sole proprietorship, or other legal entity that:

(A) Is domiciled in the District of Columbia or has at least 51% of its employees located in the District of Columbia;

(B) Is formed to make a profit;

(C) Is independently owned and operated; and

(D) Employs fewer than 100 full-time employees.

§ 2–1210.02. Establishment of the Capital Access Fund.

(a) There is established as a nonlapsing fund the Capital Access Fund, which shall be used solely for the uses and purposes set forth in subsections (d) and (e) of this section. The Fund shall be funded by appropriations and from other amounts received by the District for the administration of the program. All funds collected from these sources shall be deposited into the Capital Access Fund.

(b) All funds deposited into the Capital Access Fund, and any interest earned on those funds, shall not revert to the unrestricted fund balance of the General Fund of the District of Columbia at the end of a fiscal year, or at any other time, but shall be continually available for the uses and purposes set forth in subsections (d) and (e) of this section without regard to fiscal year limitation, subject to authorization by Congress.

(c) All funds deposited in the Capital Access Fund shall be exempt from the requirements imposed by subchapter III-A of Chapter 3 of Title 47 [§ 47-351.01 et seq.]. The Fund shall be administered as an agency fund under § 47-373(2)(I).

(d) The funds in the Fund shall be used solely to:

(1) Administer the Capital Access Program, including uses and expenditures authorized pursuant to subsection (e) of this section; and

(2) Make deposits in the reserve account of a participating financial institution as authorized by this subchapter to be a source of money that the participating financial institution may receive as reimbursement for losses attributable to enrolled loans in the program.

(e) The Mayor shall administer the Fund and shall have the powers necessary to carry out the purposes of this subchapter, including the power to:

(1) Make, execute, and deliver contracts, conveyances, and other instruments necessary to the exercise of his or her powers;

(2) Employ personnel and counsel;

(3) Except as otherwise provided by this subchapter, impose and collect fees and charges in connection with any transaction and provide for reasonable penalties for delinquent payment of fees or charges; and

(4) Adopt rules relating to the use and administration of the Fund pursuant to this subchapter.

(f) The District may accept gifts, grants, donations, and awards from any source, including the federal government, for the purposes of this subchapter.

§ 2–1210.03. Capital Access Program establishment.

(a) There is established the Capital Access Program, to be administered by the Mayor, to assist financial institutions in making loans to businesses and nonprofit organizations that face barriers in accessing capital.

(b) The Mayor shall determine the eligibility of a financial institution to participate in the program and, by rule, may set a limit on the number of financial institutions that may participate in the program.

§ 2–1210.04. Minimum eligibility requirements for participating financial institutions, capital access loans, and lines of credit.

(a) To participate in the Capital Access Program, a financial institution shall, at a minimum, enter into a participation agreement with the Mayor that sets out the terms and conditions under which the financial institution will make contributions to the financial institution’s reserve account and specifies the criteria for a loan to qualify as a capital access loan. A participation agreement executed by the Mayor pursuant to this subchapter shall include provisions to implement the limitations set forth in § 2-1210.07(a).

(b) To qualify as a capital access loan, a loan shall, at a minimum:

(1) Be made to a small business, a medium-sized business, or a nonprofit organization;

(2) Be used by the business or nonprofit organization for any project, activity, or enterprise in this District of Columbia that fosters economic development;

(3) Not exceed $5 million; and

(4) Meet any other criteria provided by this subchapter.

(c) To qualify for participation in the Capital Access Program, a line of credit shall:

(1) Be an account at a financial institution under which the financial institution agrees to lend money to a person from time to time to finance one or more projects, activities, or enterprises that are authorized by this subchapter; and

(2) Contain the same restrictions, to the extent possible, that are placed on a capital access loan that is not a line of credit.

§ 2–1210.05. Provisions relating to capital access loans.

(a) Except as otherwise provided by this subchapter, the Mayor shall not determine the recipient, amount, or interest rate of a capital access loan or the fees or other requirements related to the loan.

(b) A loan shall not be eligible to be enrolled under this subchapter if the loan is for:

(1) Construction of residential housing;

(2) Purchase of residential housing;

(3) Simple real estate investments, excluding the development or improvement of commercial real estate occupied by the borrower’s business or organization; or

(4) Internal bank transactions.

(c) The borrower under an enrolled loan shall apply the loan to working capital or to the purchase, construction, or lease of capital assets, including buildings and equipment, used by the borrower. Working capital uses shall include the cost of exporting, accounts receivable, payroll, inventory, and other financing needs of the business or organization.

(d) An enrolled loan may be sold on the secondary market with no recourse to the District of Columbia. Recourse to the reserve account correspondent to the loan may be permitted for loans sold on the secondary market under conditions as may be established, by rule, by the Mayor.

(e) When enrolling a capital access loan in the program, a financial institution may specify an amount to be covered under the program that is less than the total amount of the loan.

§ 2–1210.06. Reserve accounts.

(a) After entering into a participation agreement with the District of Columbia and upon approval by the Mayor, a financial institution making a capital access loan shall establish a reserve account. The reserve account shall be used by the financial institution only to cover any losses arising from a default of an enrolled loan made by the financial institution under this subchapter or as otherwise provided by this subchapter.

(b) When a financial institution makes a loan enrolled in the program, the financial institution shall require the borrower to pay to the financial institution a fee in an amount that is not less than 2%, but not more than 3.5%, of the principal amount of the loan, which fee the financial institution shall deposit in the reserve account. The financial institution shall also deposit in the reserve account an amount equal to the amount of the fee received by the institution from the borrower under this subsection; provided, that the financial institution may recover from the borrower all or part of the amount the financial institution is required to pay under this subsection in any manner agreed to by the financial institution and the borrower.

(c) For each capital access loan made by a financial institution, the financial institution shall certify to the Mayor, within the period prescribed by the Mayor, that:

(1) The financial institution has made a capital access loan;

(2) The amount that the financial institution has deposited in the reserve account, including the amount of fees received from the borrower; and

(3) If applicable, that the borrower is financing an enterprise project or is located in, or financing a project, activity, or enterprise in, a District of Columbia Enterprise Zone under section 1400 of the Internal Revenue Code of 1986, approved August 5, 1997 (111 Stat. 863; 26 U.S.C. § 1400).

(d) Upon receipt of a certification made under subsection (c) of this section, the Mayor shall deposit in the reserve account for each capital access loan made by the financial institution:

(1) An amount equal to the amount deposited under subsection (b) of this section for each loan if the financial institution:

(A) Has assets of more than $1 billion; or

(B) Has previously enrolled loans in the program that in the aggregate are more than $2 million;

(2) An amount equal to 150% of the total amount deposited under subsection (b) of this section for each loan if the financial institution is not described in paragraph (1) of this subsection; or

(3) Notwithstanding paragraphs (1) and (2) of this subsection, and subject to the limitations set forth in § 2-1210.07(a), an amount equal to 200% of the total amount deposited under subsection (b) of this section for each loan if:

(A) The borrower is financing an enterprise project or is located in, or financing a project, activity, or enterprise located in, an area in the District of Columbia Enterprise Zone under section 1400 of the Internal Revenue Code of 1986, approved August 5, 1997 (111 Stat. 863; 26 U.S.C. § 1400); or

(B) The financial institution is a community development financial institution, as defined in section 103(5) of the Riegle Community Development and Regulatory Improvement Act of 1994, approved September 23, 1994 (108 Stat. 2163; 12 U.S.C. § 4702(5)).

(e) A financial institution shall obtain approval from the Mayor to withdraw funds from the reserve account.

§ 2–1210.07. Limitations on District’s contribution to reserve account.

(a) The Mayor shall not deposit more than 10% of the total funds deposited in the Capital Access Fund into reserve accounts for capital access loans requiring a 200% match under § 2-1210.06(d)(3). The 10% limitation under this subsection may be waived at the discretion of the Mayor upon a finding that the total amount of funds deposited in the Capital Access Fund by the District shall result in at least $10 of enrolled loans by financial institutions for each dollar deposited by the District.

(b) The amount deposited by the Mayor into a reserve account for any single loan recipient shall not exceed $400,000 during a 3-year period.

(c) The maximum amount that the Mayor may deposit into a reserve account for each enrolled loan made under this subchapter shall be the greater of $35,000 or an amount equal to:

(1) Fourteen percent of the enrolled loan amount if:

(A) The borrower is financing an enterprise project or is located in, or financing a project, activity, or enterprise in, an area in the District of Columbia Enterprise Zone under section 1400 of the Internal Revenue Code of 1986, approved August 5, 1997 (111 Stat. 863; 26 U.S.C. § 1400); or

(B) The financial institution is a community development financial institution, as defined in section 103(5) of the Riegle Community Development and Regulatory Improvement Act of 1994, approved September 23, 1994 (108 Stat. 2163; 12 U.S.C. § 4702(5)); or

(2) Seven percent of the loan amount for any other borrower.

§ 2–1210.08. District’s rights with respect to reserve accounts.

(a) All funds deposited in a reserve account shall be the property of the District of Columbia.

(b) The District shall earn interest on the amount of contributions made by the District, the borrower, and the financial institution to a reserve account. The District shall withdraw monthly or quarterly from a reserve account the amount of the interest earned by the District and shall deposit the amount withdrawn into the Fund.

(c) If the amount in a reserve account exceeds 33% of the balance of the financial institution’s outstanding enrolled loans, the Mayor may withdraw the excess amount and deposit the amount in the Fund. A withdrawal of money under this subsection shall not reduce an active reserve account to an amount that is less than $200,000.

(d) The District shall withdraw from a reserve account the total amount in the account, including any interest earned on the account, and deposit the amount in the Fund when:

(1) A financial institution is no longer eligible to participate in the program or a participation agreement entered into under this subchapter expires without renewal by the financial institution;

(2) The financial institution has no outstanding enrolled loans;

(3) The financial institution has not made a capital access loan within the preceding 24 months; or

(4) The financial institution fails to submit a report or other document requested by the District within the time or in the manner prescribed.

§ 2–1210.09. Quarterly and annual reports.

During each fiscal year of participation, financial institutions shall submit quarterly reports and a comprehensive annual report to the Mayor for the year. The reports shall:

(1) Provide information regarding outstanding capital access loans, capital access loan losses, and any other information on capital access loans that the Mayor considers appropriate;

(2) State the total amount of loans for which the financial institution has made a contribution from the fund under this subchapter;

(3) Include a copy of the financial institution’s most recent financial statement; and

(4) Include information regarding the type and size of businesses and nonprofit organizations with enrolled loans.

§ 2–1210.10. Reports and audits.

(a) The Mayor shall submit to the Council an annual status report on the program’s activities.

(b) The financial transactions of the Fund shall be subject to audit by the District of Columbia Auditor as provided by § 1-204.55.

§ 2–1210.11. District liability prohibited.

The District of Columbia shall not be liable to a participating financial institution for payment of the principal, interest, or any late charges on a capital access loan made under this subchapter.

§ 2–1210.12. Rules.

The Mayor, pursuant to subchapter I of Chapter 5 of this title [§ 2-501 et seq.], shall issue rules to implement the provisions of this subchapter. The rules may:

(1) Provide for criteria under which a line of credit issued by a financial institution to a small business, a medium-sized business, or a nonprofit organization qualifies to participate in the program; and

(2) Authorize a consortium of financial institutions to participate in the program subject to common underwriting guidelines.

Subchapter V-B. Emerging Business Districts.

§ 2–1210.31. Emerging Business District Demonstration Projects. [Repealed]

Repealed.

§ 2–1210.32. Grants. [Repealed]

Repealed.

Subchapter V-C. Incarceration to Incorporation Entrepreneurship Program. [Repealed]

§ 2–1210.51. Definitions. [Repealed]

Repealed.

§ 2–1210.52. Incarceration to Incorporation Entrepreneurship Program. [Repealed]

Repealed.

§ 2–1210.53. Incarceration to Incorporation Entrepreneurship Fund. [Repealed]

Repealed.

§ 2–1210.54. Reporting requirements. [Repealed]

Repealed.

§ 2–1210.55. Applicability. [Repealed]

Repealed.

Subchapter V-D. Kennedy Street, N.W., Economic Development and Small Business Revitalization Advisory Committee.

§ 2–1210.61. Kennedy Street, N.W., Economic Development and Small Business Revitalization Advisory Committee.

(a) There is established the Kennedy Street, N.W., Economic Development and Small Business Revitalization Advisory Committee ("Committee").

(b) The Committee shall consist of the following 11 members:

(1) The Deputy Mayor for Planning and Economic Development or his or her designee;

(2) The Director of the Office of Planning or his or her designee;

(3) The Councilmember from Ward 4 or his or her designee;

(4) Two business owners from the Kennedy Street, N.W., district, chosen by the Council Chairman from recommendations made by the Councilmember for Ward 4;

(5) The Director of the Department of Consumer and Regulatory Affairs or his or her designee;

(6) Two members from the Kennedy Street, N.W., community, chosen by the Council Chairman from recommendations made by the Councilmember for Ward 4;

(7) One member chosen by Advisory Neighborhood Commission 4D;

(8) The Director of the Department of Small and Local Business Development or his or her designee; and

(9) One member chosen by the Washington DC Economic Partnership.

(c) Vacancies in the membership of the Committee shall be filled in same manner as individual appointments.

(d) All members of the Committee shall be District residents.

(e) The Chairperson of the Committee shall be designated by the Councilmember for Ward 4.

(f) Members of the Committee shall serve without compensation.

(g) The Committee shall meet no less frequently than quarterly.

(h) The purpose of the committee shall be to provide recommendations to the Mayor and Council regarding the portion of Kennedy Street, N.W., running from North Capitol Street to 14th Street, N.W., with respect to the following matters:

(1) Implementation of recommendations of the Kennedy Street small area plan (the "Kennedy Street Revitalization Plan") adopted by the Council pursuant to the Kennedy Street Revitalization Plan Approval Resolution of 2008, effective July 15, 2008 (Res. 17-705; 55 DCR 8414);

(2) The needs of the community, including providing retail uses that are accessible to the community and serve the needs of both the community and visitors to Kennedy Street, N.W.;

(3) Parking and transportation issues; and

(4) Economic development opportunities that may be created for surrounding neighborhoods as a result of the Kennedy Street Revitalization Plan.

(i) The Committee shall submit a report that includes its recommendations to the Mayor and Council after each meeting of the Committee.

(j) The Committee shall dissolve as of December 31, 2020.

Subchapter V-E. Neighborhood Prosperity Initiative.

§ 2–1210.71. Establishment of the Neighborhood Prosperity Initiative.

(a) There is established the Neighborhood Prosperity Initiative ("Initiative"), which shall be administered by the Mayor and under which the Mayor may provide, on a competitive basis, grants for commercial, non-residential components of a qualifying project to applicants that:

(1) Propose a qualifying project;

(2) Have a deficit in funding for a commercial, non-residential component of the qualifying project;

(3) Agree to commence construction on the qualifying project within 18 months of the award of an Initiative grant, or within such other time period as may be established by the Mayor;

(4) Agree to enter into a First Source agreement, if applicable, and a Certified Business Enterprise agreement; and

(5) Agree to use a grant provided under the Initiative only for the commercial, non-residential components of the project for which the grant is provided.

(b) For the purposes of this subtitle, the term:

(1) "Certified Business Enterprise agreement" means an agreement with the Department of Small and Local Business Development pursuant to subchapter IX-A of Chapter 2 of this title.

(2) "First Source agreement" means an agreement with the Department of Employment Services governing certain obligations of the developer pursuant to § 2-219.03 and Mayor's Order 83-265, dated November 9, 1983, regarding job creation and employment generated as a result of the construction on the property.

(3) "Qualifying project" means a mixed-use or retail real estate development project that is in a low-income community, as that term is defined in section 45D of the Internal Revenue Code of 1986, approved December 21, 2000 (114 Stat. 2763; 26 U.S.C. § 45D).

Subchapter V-F. SSBCI-Venture Capital Program.

§ 2–1210.81. SSBCI-Venture Capital Program; establishment.

(a) There is established, in accordance with the federal State Small Business Credit Initiative ("SSBCI"), within the executive branch of District government, the State Small Business Credit Initiative Venture Capital Program ("SSBCI-Venture Capital Program").

(b) The SSBCI-Venture Capital Program shall be:

(1) Funded by the SSBCI, as authorized by the 2021 American Rescue Plan Act, approved March 11, 2021 (Pub. L. No. 117-2; 135 Stat. 4); and

(2) In compliance with the requirements of the State Small Business Credit Initiative Act of 2010, approved September 27, 2010 (Pub. L. No. 111-240; 124 Stat. 2504).

(c) The purpose of the SSBCI-Venture Capital Program will be to provide grants to a program administrator selected by the Mayor to make long-term investments in the form of loans and equity investments in the local business community in accordance with the official program guidance of the U.S. Department of the Treasury.

Subchapter VI. Enterprise Zone Study Commission.

§ 2–1211.01. Statement of purpose.

The purpose of this subchapter is to create a commission to examine and evaluate proposals, recommendations, and studies in order to establish an enterprise zone or zones in blighted and underdeveloped areas of the District of Columbia (“District”). The commission shall submit a comprehensive plan to the Council of the District of Columbia (“Council”), consistent with historic and residential concerns, to provide for the establishment of an enterprise zone or zones in the District, which will encourage the elimination of economic problems in blighted and underdeveloped areas, foster the growth of small business, and lead to higher employment and economic development.

§ 2–1211.02. Findings.

The Council finds that:

(1) Unemployment in some areas of the District exceeds 10%.

(2) The incidence of business dislocation in the District is alarming.

(3) Many areas of the District suffer from the overall pattern of urban blight seen in other northeastern American cities.

(4) Blighted areas have become a haven for criminal activity and have had a detrimental effect on the residential life of surrounding areas.

(5) Enterprise zones established in other jurisdictions have created an aggregate of over 80,000 jobs and $3 billion in investments.

(6) The promotion of small business growth will lead to a better climate for employment and a better life for District residents.

§ 2–1211.03. Commission established.

(a) There is established the District of Columbia Enterprise Zone Study Commission (“Commission”).

(b) The commission shall be composed of 25 members who shall be appointed as follows:

(1) One member shall be appointed by each member of the Council; and

(2) Twelve members shall be appointed by the Mayor of the District of Columbia (“Mayor”), 1 of whom the Mayor shall appoint as the chairperson of the commission. In making his appointments, the Mayor shall appoint at least 6 people, each with experience or expertise in 1 of the following areas:

(A) Real estate development;

(B) Banking and lending;

(C) Finance and taxation;

(D) Historic preservation;

(E) Housing development;

(F) Business and management; or

(G) Labor and employee interests.

(c) A majority of the members of the commission shall constitute a quorum. A quorum of the members shall be necessary for the commission to conduct its business.

(d) Vacancies in the commission shall be filled in the same manner as the original appointment.

§ 2–1211.04. Duties of commission.

The commission shall develop a method for the evaluation of a strategy to establish and implement an enterprise zone or zones in the District. The process shall include: The evaluation and consideration of a method to best select proposed sites for an enterprise zone or zones; tax incentives based on the number of new employees; exemptions from sales taxes on materials used in construction; abatement in real estate taxes; tax credits or deductions for capital improvements or employee training; low interest loans to help businesses get started; and reduction of business taxes to a level equal to or below that of the surrounding jurisdictions.

§ 2–1211.05. Commission report.

The commission shall complete its work and submit its report with recommendations to the Council no later than 12 months following the first meeting of the commission. Upon filing its report, all authority for the commission shall expire.

§ 2–1211.06. Compensation; assistance from other agencies.

(a) No compensation shall be paid to the members of the commission, but commission members may be reimbursed for actual expenses incurred in the performance of their duties.

(b) The Mayor shall provide office space and an appropriate staff of professional and clerical personnel to assist the commission in carrying out the duties assigned to it under this subchapter.

(c) The Mayor shall designate at least 1 employee from each of the following District agencies to serve as a liaison to the commission for the purpose of providing any information from the agency requested by the commission and lending needed assistance to the commission in performing its duties:

(1) The Office of Business and Economic Development;

(2) The Department of Housing and Community Development;

(3) The Redevelopment Land Agency;

(4) The Department of Finance and Revenue;

(5) The Department of Consumer and Regulatory Affairs; and

(6) Any other agency the Mayor deems appropriate.

Subchapter VI-A. Commercial Food Store Development.

Part A. Definitions.

§ 2–1212.01. Definitions.

For the purposes of this subchapter, the term:

(1) “Corner store” means a retail establishment that:

(A) Sells grocery products;

(B) Has less than 5,000 square feet of selling area;

(C) Does not have an off-premises retailer’s license, Class A, established by § 25-112(d)(1); and

(D) Meets the eligibility requirements for the Supplemental Nutrition Assistance Program, established by the Food Stamp Act of 1964, approved August 31, 1964 (78 Stat. 703; 7 U.S.C. § 2011 et seq.).

(2) “Eligible area” means:

(A) A historically underutilized business zone, as defined by section 3(p)(1) of the Small Business Act, approved July 18, 1958 (72 Stat. 384; 15 U.S.C. § 632(p)(1)); or

(B) Census tracts 103, 33.01, 94, 95.05 95.07, or 95.08.

(3) “Farmers market” means a public market, as defined by § 37-131.01(2), at which farmers and other producers sell fresh produce and healthy foods.

(4) “First source agreement” means the agreement required by § 2-219.03.

(5) “Grocery store” means a retail establishment that:

(A) Has a primary business of selling grocery products;

(B) Has at least 5,000 square feet of selling area that is used for a general line of food and nonfood grocery products; and

(C) Meets the eligibility requirements for the Supplemental Nutrition Assistance Program, established by the Food Stamp Act of 1964, approved August 31, 1964 (78 Stat. 703; 7 U.S.C. (§ 2011 et seq.).

(6) “Healthy food” means fresh fruit and vegetables and other foods qualifying as healthy pursuant to 21 C.F.R. § 101.65(d)(2).

(7)(A) “Small food retailer” means a small business that is not a grocery store or a corner store and whose primary business is the retail sale of grocery items.

(B) The term “small food retailer” shall not include businesses that have an off-premises retailer’s license, Class A, established by § 25-112(d)(1).

(C) For the purposes of this paragraph, the qualification of an entity or small business shall be established by the Mayor by rule.

(8) “SNAP benefits” means benefits provided by the Supplemental Nutrition Assistance Program, established by the Food Stamp Act of 1964, approved August 31, 1964 (78 Stat. 703; 7 U.S.C. § 2011 et seq.).

(9) “WIC benefits” means benefits provided by the Special Supplemental Nutrition Program for Women, Infants, and Children, established by section 17 of the Child Nutrition Act of 1966, approved September 26, 1972 (86 Stat. 729; 42 U.S.C. § 1786).

Part B. Grocery Store Development Program.

§ 2–1212.21. Establishment of a grocery store development program.

(a) The Mayor shall establish a Grocery Store Development Program (“Program”) within the Office of the Deputy Mayor for Planning and Economic Development to attract grocery stores to, and renovate grocery stores in, eligible areas in the District and to create quality jobs for District residents.

(b) The District of Columbia Housing Authority and the Office of Planning shall, as requested by the Deputy Mayor for Planning and Economic Development, assist the program by providing technical assistance and other resources. The Washington, D.C. Economic Partnership may assist this program by providing technical assistance and support.

(c) The Program may:

(1) Establish a working group of community development financial institutions, District agencies, nonprofit organizations, and other interested District individuals and organizations to seek federal funding through the Healthy Food Financing Initiative, the new market tax credits program, pursuant to section 45D of the Internal Revenue Code of 1986, approved December 21, 2000 (114 Stat. 2763; 26 U.S.C. § 45D), and other programs; and

(2)(A) Provide a combination of any or all of the following to grocery stores in eligible areas:

(i) Grants;

(ii) Loans;

(iii) Federal tax credits;

(iv) Other financial assistance; and

(v) Technical assistance.

(B) The benefits provided by this paragraph shall be awarded to grocery stores in eligible areas on a competitive basis, with priority given to grocery stores in eligible areas that are underserved by retail sales of healthy food.

§ 2–1212.21a. Limited tax incentive for existing establishment.

Notwithstanding the scope of exemptions provided by § 47-3802(a), a grocery store that is located in census tract 94 on February 18, 2017, shall be eligible for the tax exemption provided pursuant to § 47-3802(a)(1) beginning with the tax year beginning October 1, 2016; provided, that the 10-year real property exemption period shall be deemed to have begun on January 1, 2015.

§ 2–1212.22. Requirements.

(a) As a condition of participating in the Program, an individual or legal entity operating a grocery store shall:

(1) Accept SNAP benefits;

(2) Apply to accept WIC benefits and accept WIC benefits if eligible;

(3) Enter into a first source agreement; and

(4) Sell fresh produce and healthy foods.

(b) A grocery store shall agree in writing to the conditions set forth in subsection (a) of this section for a period of at least 5 years as a condition of participating in the Program; provided, that this requirement shall not be enforceable if the individual or legal entity ceases grocery store operations.

§ 2–1212.23. Grocery ambassador program.

The Deputy Mayor for Planning and Economic Development shall designate a District employee as the grocery ambassador to assist retailers in building or renovating grocery stores in eligible areas by:

(1) Providing research and data on eligible areas with insufficient grocery access;

(2) Coordinating with all relevant District agencies and public utilities;

(3) Providing assistance in obtaining and expediting regulatory procedures and approvals; and

(4) Providing other assistance as needed.

§ 2–1212.24. Other incentives.

(a) The Zoning Commission should adopt regulations that permit bonus density or other appropriate zoning flexibility for projects in eligible areas with grocery stores, consistent with the Comprehensive Plan.

(b) When considering applications for special exceptions or planned unit developments, the Zoning Commission and Board of Zoning Adjustment should give favorable weight to projects with grocery stores in eligible areas.

(c) Grocery stores in eligible areas shall be eligible for the Green Building Expedited Construction Documents Review Program established by § 6-1451.06 notwithstanding that they fail to qualify as green buildings under § 6-1451.01(17).

Part C. Healthy Food Retail Program.

§ 2–1212.31. Establishment of a healthy food retail program.

(a) The Mayor shall establish a Healthy Food Retail Program within the Department of Small and Local Business Development to expand access to healthy foods in eligible areas in the District by providing assistance to corner stores, farmers markets, and other small food retailers.

(b) The Department of Health, District Department of the Environment, Office of the Deputy Mayor for Planning and Economic Development, Office of Planning, and the University System of the District of Columbia shall, as requested by the Department of Small and Local Business Development, assist this program.

(c)(1) The program may provide a combination of any or all of the following to corner stores, farmers markets, and other small food retailers in eligible areas:

(A) Grants;

(B) Loans;

(C) Federal tax credits;

(D) Equipment;

(E) Other financial assistance; and

(F) Technical assistance.

(2) The benefits provided by this subsection shall be awarded to corner stores, farmers markets, and other small food retailers in eligible areas on a competitive basis, with priority given to projects with the greatest potential impact on expanding access to healthy foods in eligible areas that are underserved by retail sales of healthy food.

(d) Corner stores, farmers markets, and other small food retailers are encouraged to work cooperatively to expand access to healthy foods in eligible areas.

(e) The benefits provided by subsection (c) of this section may be used by corner stores to improve the display areas, exteriors, and interiors of corner stores to expand capacity to sell healthy food.

(f) The Department of Small and Local Business Development may contract with nonprofit organizations in promoting and implementing this program.

(g) The University System of the District of Columbia may provide nutrition education resources to eligible corner stores, farmers markets, and consumers in eligible areas.

§ 2–1212.32. Requirements.

(a) Corner stores, farmers markets, and other small food retailers participating in the program established by § 2-1212.31 shall be strongly encouraged to:

(1) Apply to accept SNAP benefits;

(2) Apply to accept WIC benefits; and

(3) Employ District residents.

(b) Resources may be provided under § 2-1212.31 to assist corner stores, farmers markets, and other small food retailers in acquiring the technology necessary to accept SNAP and WIC benefits.

(c) As a condition of participating in the program established by § 2-1212.31, individuals or entities operating corner stores, farmers markets, and other small food retailers shall agree in writing to sell produce or other healthy foods for at least 3 years; provided, that this requirement shall not be enforceable if the individual or entity, or its successor, ceases all of its retail food sales operations.

§ 2–1212.33. Healthy food distribution.

(a) The Department of Small and Local Business Development shall convene a working group to develop a plan for establishing a commercial distribution system for fresh produce and healthy foods to corner stores. Corner stores shall be encouraged to work cooperatively to maximize their buying power.

(b) The working group shall include representatives from:

(1) District agencies;

(2) The grocery ambassador, designated under § 2-1212.23;

(3) Nonprofit organizations;

(4) Urban farmers and community gardeners;

(5) Corner stores and their trade associations; and

(6) Produce wholesalers.

(c) The working group shall issue a report, including recommendations, to the Mayor and the Council.

(d) The Department of Small and Local Business Development may issue grants, on a competitive basis, for the establishment of a commercial distribution system for fresh produce and healthy foods

§ 2–1212.34. Energy efficiency.

The District Department of the Environment shall:

(1) Develop tools and resources for corner stores to reduce their operating costs by becoming more energy efficient; and

(2) Promote energy efficiency programs to corner stores.

Part D. Rules.

§ 2–1212.41. Rules.

The Mayor, pursuant to subchapter I of Chapter 5 of this title [§ 2-501 et seq.], may issue rules to implement the provisions of this subchapter.

Subchapter VI-B. Prohibition on Grocery Store Restrictive Covenants.

§ 2–1212.61. Restrictive covenants prohibited.

(a) It shall be unlawful for the owner or operator of a grocery store or a food retail store to agree to the inclusion of a restrictive land covenant or other use restriction in a contract for the sale, lease, or other transfer of real property that prohibits the use of the real property as a grocery store or a food retail store or that prohibits the use of any property within one mile as a grocery store or a food retail store.

(b) A restrictive land covenant or other use restriction on real property of the type described in subsection (a) of this section shall be void and unenforceable.

(c) The prohibition imposed by this section shall not apply to an owner or operator of a grocery store or food retail store that terminates operations at a site for purposes of relocating the grocery store or food retail store to a comparable or larger site located in the District of Columbia within one-half mile of the site where the prior operations were terminated; provided, that relocation and commencement of the operation of the new grocery store or food retail store at the new site occurs within 2 years of the sale, transfer, or lease of the prior site, and that the restrictive covenant or other use restriction agreed upon with respect to the prior site does not have a term in excess of 3 years.

(d) For the purposes of this section, the term:

(1) "Food retail store" means a retail establishment with a primary business of selling food for consumption on-premise or off-premise.

(2) "Grocery store" means a retail establishment with a primary business of selling grocery products and that has a selling area that is used for a general line of food, including perishable food, and may also include household supplies, or prescription pharmacy merchandise.

Subchapter VI-C. East End Grocery Incentive.

§ 2–1212.71. Definitions.

For the purposes of this subchapter, the term:

(1) "Grocery store" means a retail establishment that:

(A) Has a primary business of selling food, including fresh food; and

(B) Is a "retail food store," as that term is defined in section 3(o) of the Food Stamp Act of 1964, approved August 31, 1964 (78 Stat. 703; 7 U.S.C. § 2012(o)).

(2) "SNAP" means the Supplemental Nutrition Assistance Program, established pursuant to section 4 of the Food Stamp Act of 1964, approved August 31, 1964 (78 Stat. 703; 7 U.S.C. § 2013).

(3) "WIC" means the Special Supplemental Nutrition Program for Women, Infants, and Children, established pursuant to section 17 of the Child Nutrition Act of 1966, approved September 26, 1972 (86 Stat. 729; 42 U.S.C. § 1786).

§ 2–1212.72. East End grocery construction incentive program.

(a) There is established within the Office of the Deputy Mayor for Planning and Economic Development the East End Grocery Construction Incentive Program ("Program") to:

(1) Attract affordable grocery shopping opportunities to underserved areas; and

(2) Pay the construction costs of new grocery stores that provide affordable food and food-related grocery items to the residents of Wards 7 and 8.

(b) For a grocery store retailer to be eligible to participate in the Program, the retailer shall accept SNAP and WIC benefits and offer fresh food items including vegetables, fruits, meat, dairy, and eggs.

(c) The Program shall be financially supported by a new capital project budgeted under the Office of the Deputy Mayor for Planning and Economic Development, which shall be funded pursuant to § 47-392.02(j-2)(4)(B) [repealed].

(d)(1) The Program shall oversee the development and construction of buildings to house grocery stores to be occupied by grocery store retailers participating in the Program.

(2) The Program shall develop each grocery store site in consultation with the grocery store retailer that will occupy it.

(3) The Program shall lease the buildings it constructs to grocery store retailers for the operation of grocery stores and any associated retail stores.

(e) Subject to § 1-204.51, the Mayor is authorized to enter into contracts to pay for site acquisition, preparation, and infrastructure development, design, and construction for new grocery stores to be occupied by grocery store retailers participating in the Program on the following sites:

(1) Skyland Town Center;

(2) Capitol Gateway;

(3) East River Park;

(4) The Shops at Penn Hill;

(5) Parkside Planned Unit Development;

(6) St. Elizabeths East Campus;

(7) United Medical Center;

(8) Columbian Quarter;

(9) Deanwood Town Center; and

(10) Deanwood Metro Station Parking Lot.

(f) The Deputy Mayor for Planning and Economic Development may extend participation in the Program to a retail store that co-anchors a development with a grocery store retailer that meets the requirements of this subchapter.

(g)(1) A grocery store retailer that is participating in the Program but that ceases to operate the grocery store prior to the expiration of 15 years from the date of first occupancy shall owe the District for a portion of the cost of construction of the building that houses the grocery store.

(2) A grocery store retailer's liability pursuant to this subsection shall be forgiven, in whole or in part, if it has operated for at least 5 years. The amount to be forgiven shall be calculated by dividing the total cost of constructing the building evenly by 15, multiplying the quotient by the number of full years that the store was in operation, and subtracting the product from the total cost of constructing the building.

§ 2–1212.73. Sunset.

This subchapter shall expire on December 31, 2029; provided, that this expiration shall not be construed to terminate any development undertaken pursuant to § 2-1212.72.

Subchapter VII. Contractors Guarantee Association [Expired].

§ 2–1213.01. Technical Assistance Program. [Expired]

Expired.

§ 2–1213.02. Contractor fees. [Expired]

Expired.

§ 2–1213.03. Establishment of Financial Assurance Fund. [Expired]

Expired.

Subchapter VIII. Business Improvement Districts.

Part A. General.

§ 2–1215.01. Findings and purpose.

(a) The Council finds that:

(1) Business Improvement Districts will help the District to promote economic growth and employment downtown and in other areas of the District;

(2) Property owners should be encouraged to create BIDs and BID corporations to enhance their local business climate;

(3) BID corporations should be given flexibility in establishing the self-help programs most consistent with their local needs, goals and objectives; and

(4) Because additional services and improvements attendant to a BID will provide direct benefits to the real property within a BID, the most equitable method of financing such services is to levy an additional real property tax against all taxable properties within a BID District.

(b) The purpose of this subchapter is to provide for the creation of Business Improvement Districts the activities of which will promote the general welfare of the residents, employers, employees, property owners, commercial tenants, consumers, and the general public within a BID’s geographic area by preserving, maintaining, and enhancing the economic health and vitality of a BID area as a community and business center.

§ 2–1215.02. Definitions.

For the purposes of this subchapter, the term:

(1) “Adjoining residential neighborhood” means any property zoned for residential use within a BID or within 800 feet of the perimeter of a BID.

(2) “Adverse impact on adjoining residential neighborhoods” means adverse impact on traffic, on-street parking, litter, trash collection, crime, noise, lighting levels, or other such factors affecting the quality of residential life.

(3) “Assessed value” means the valuation obtained by taking the assessed valuation of taxable real property as it appears on the last completed assessment roll for tax assessment purposes pursuant to § 47-801 et seq.

(4) “BID corporation” means a nonprofit corporation that is organized pursuant to the District law for nonprofit corporations and registered pursuant to the terms of this subchapter. A BID corporation shall not be deemed to be a part of the District government as that term is defined in § 47-393(5).

(5) “Block” means the properties fronting on both sides of a street that are located between 2 intersecting streets.

(6) “Business Improvement District Activity” or “BID activity” means a special service or activity conducted in a Business Improvement District designed to improve the economic development climate in the area pursuant to this subchapter, and which is designed and conducted so as to avoid any material adverse impact on adjoining residential neighborhoods and is otherwise in accordance with all applicable laws, regulations, and requirements of the District of Columbia and the United States, which services and activities may augment, but which may not replace, governmental services customarily provided in the regular course of the District’s operations. This term shall include the planning, administration, and management of activities designed to provide economic stimulus, stability, or benefit to the BID or its members, including, but not limited to, the following:

(A) Seasonal promotions such as festivals and special displays;

(B) Enhanced maintenance and improvements to public space, including sidewalks, parks, and plazas;

(C) Marketing and procurement activities in support of tourism, job creation, business attraction, development, efficiency, and retention;

(D) Retail, restaurant, and arts promotions;

(E) Services to improve public safety and transportation, such as providing shuttle buses, community service representatives acting as goodwill ambassadors, and private security services;

(F) Development of special signage and storefront and commercial building facade improvement programs; and

(G) Any other service or activity consistent with the purposes of this subchapter if such service or activity is set out in the BID’s business plan, as amended from time to time and as submitted to the Mayor in accordance with this subchapter.

(7) “Business Improvement District” or “BID” means a defined geographic area in the District in which the preponderance of activity carried out is commercial or industrial in nature, which does not include any part of an existing BID previously established pursuant to this subchapter, and which area consists of not less than 5 contiguous blocks (or the maximum number of contiguous blocks in cases where there are fewer than 5 contiguous blocks), or noncontiguous commercial blocks within a generally recognized single neighborhood; provided, that noncontiguous blocks are not wholly located in an area that is not part of the general BID area.

(8) “BID tax” means an additional real property tax or possessory interest tax assessed and levied by the District on, and payable by, the owners of taxable properties or holders of a possessory interest in a Business Improvement District subject to the BID certification processes of this subchapter.

(9) “CFO” means the Chief Financial Officer of the District.

(10) “Commercial tenant” means a lessee, or other lawful occupant, of taxable real property within a BID who is not an owner and who conducts a lawful commercial use as defined in the Zoning Regulations of the District.

(11) “Council” means the Council of the District of Columbia.

(12) “District” means the District of Columbia.

(13) “Fiscal year” means the same fiscal year as the fiscal year of the District.

(14) “Lot” means the lots described in the District tax and assessment records.

(15) “Mayor” means the Mayor of the District of Columbia or such administrative agency of the District that is designated by the Mayor to administer the provisions of this subchapter.

(16) “Member” means a member of the BID Corporation, the membership of which shall be comprised of each owner of taxable property and each commercial tenant in the BID area, and each owner who becomes a member pursuant to § 2-1215.21.

(17) “Member of record” means a member that the BID is reasonably able to identify from District of Columbia property tax records or from other reasonably available sources.

(17A) “Net rentable square feet” means the number of net rentable square feet reported to, or on record with, the Office of Tax and Revenue.

(18) Repealed.

(19) “Owner” means an owner of taxable property.

(20) “Owner’s property” means an owner’s taxable property located within a BID.

(21) “Person” means any individual, sole proprietorship, partnership, society, association, joint venture, stock company, corporation, limited liability company, estate, receiver, trustee, assignee, fiduciary, or any combination of any of the foregoing.

(22) “Reasonably ascertainable”, “reasonably available”, and “reasonably determined” mean, in relation to information, reasonably reliable information that is obtained by the BID and relied upon by the BID in good faith.

(23) “Residential tenant” means a lessee, or other lawful occupant, of taxable property within a BID who is not an owner and who conducts a lawful residential use as defined in the Zoning Regulations of the District.

(24) “Taxable property” means real property subject to real property taxation or real property for which a holder of a possessory interest is subject to possessory interest taxation, including:

(A) Class 2, Class 3, and Class 4 Property, as defined in § 47-813, located within any BID, excluding the properties exempt from real property taxes pursuant to Chapters 10 or 46 of Title 47 [§  47-1001 et seq. or §  47-4601 et seq.];

(B) Class 1 Property, as defined in § 47-813, for the Mount Vernon Triangle, NoMa, Capitol Riverfront, Downtown, and Golden Triangle BIDs, excluding:

(i) Real property improved by a residential building where 90% or more of the leased units are households with at least one member who is 62 years of age or older and all members are 55 years of age or older;

(ii) Real property improved by a residential building where 20% or more of the units are subject to a contract for project-based assistance under section 8 of the United States Housing Act of 1937, approved August 22, 1974 (88 Stat. 662; 42 U.S.C. § 1437f);

(iii) Real property improved by a residential building with fewer than 10 dwelling units, as defined in § 47-813(d)(3); and

(iv) Real property exempt from paying real property taxes pursuant to Chapters 10 or 46 of Title 47 [§  47-1001 et seq. or §  47-4601 et seq.]; or

(C) Real property belonging to government and international organizations, including a leasehold interest, possessory interest, beneficial interest, or beneficial use of real property, as provided in § 47-1005.01(b), for periods beginning after September 30, 2003, where the real property would be taxable under subparagraphs (A) or (B) of this paragraph if not exempt or immune from real property taxation resulting in the possessory interest being taxable under § 47-1005.01, except where a payment in lieu of tax agreement has been negotiated and payments related to the agreement are current.

§ 2–1215.03. BID formation.

Each BID shall be organized as a nonprofit corporation under the laws of the District and shall be subject to all applicable District and federal laws and regulations. Each owner of a taxable property and each commercial tenant within a BID, whether such owner or commercial tenant is an owner or commercial tenant at the time the BID is established or at any time thereafter when the BID is in existence, shall be a member of the BID corporation from such time as the BID corporation becomes registered pursuant to this subchapter and until such time as such member’s ownership or tenancy within the BID area is terminated or the BID corporation is terminated or dissolved.

§ 2–1215.04. Establishment of Business Improvement District.

(a) To establish a BID with respect to any area, the Board of Directors of a nonprofit corporation established under District law for the purpose of forming a BID and seeking to be registered as a BID corporation shall submit an application to the Mayor for review of compliance with all BID criteria described in this section. The Mayor may designate the Department of Small and Local Business Development, or a successor thereto, to perform the review functions described by this section. Each application shall be duly sworn under oath before a notary public who holds a valid license in the District, and shall contain:

(1) A statement setting forth the name and address of the nonprofit corporation seeking registration as a BID corporation; a description by lot, square, and street address of the property of each owner to the extent reasonably ascertainable; and the most recent assessed value of each taxable property located in the proposed BID to the extent reasonably ascertainable from District property tax records or a final determination of the Real Property Tax Appeals Commission for the District of Columbia. The statement must be signed by the owners (or their authorized representatives) who own at least a 51% interest in the most recent assessed value of the taxable properties in the geographic area of the proposed BID as a whole, and at least 25% in number of the individual taxable properties of record in the BID area as a whole. For the purposes hereof, individual taxable properties shall mean properties identified by separate lot and square numbers to the extent reasonably ascertainable from the records of the Office of Taxation and Revenue or Office of Recorder of Deeds; provided, that any property subdivided into separate condominium units shall constitute a single property for the purpose of determining the number of taxable properties referred to in this paragraph; provided further, that such condominium units shall constitute separate properties for purposes of assessing BID charges. Changes in the assessed values occurring after submission of a BID application, whether through regular reassessment, appeals, or otherwise, shall not affect the validity of the BID application to be taken into account in the Mayor’s review of the BID application;

(2) A proposed business plan (“BID plan”) for at least the first 3 years of the initial 5-year term of the BID. The BID plan shall contain, at a minimum, the following:

(A) Specific goals and objectives of the BID consistent with the BID activity as defined in this subchapter, anticipated resources to be used to meet such goals and objectives, and projected timetables for undertaking and completing projects in furtherance of the goals and objectives;

(B) The annual proposed total BID taxes for the BID’s common operations for the BID’s first year of operation and the formula used to determine each owner’s BID tax which shall be based upon either assessed value, square footage, or a uniform fixed tax per building. BID taxes may vary by class and type of property provided that they are applied fairly and equitably to all owners within the BID; and

(C) The maximum amount and the nature of any start-up costs incurred prior to the BID’s registration that the BID plans to reimburse upon its registration;

(3) A tax assessor’s map of the geographic area comprising the BID clearly designating the BID boundaries and each property by street address, lot, and square number to be included within the BID;

(4) A list of the initial members of the Board of the BID, which must satisfy the criteria of § 2-1215.07;

(5) The adopted articles of incorporation and the adopted bylaws of the nonprofit corporation seeking to be registered as the BID corporation which articles of incorporation or bylaws must include:

(A) The names and addresses of the initial directors and a provision stating that the term of the initial directors shall expire at such time as new directors are elected pursuant to § 2-1215.07(b). Such terms shall in no event exceed 120 days after the BID is registered by the Mayor;

(B) The procedures through which the members of the BID corporation shall propose and vote to adopt amendments to the initial bylaws, including the quorum requirements for the method of allocating votes to members for purposes of this vote which shall occur not more than 120 days after the BID is registered by the Mayor; and

(C) The number of votes allocated to each member subject to the requirements of § 2-1215.11(a). The adopted articles of incorporation and the adopted bylaws of the nonprofit corporation may contain any provision not inconsistent with the District nonprofit corporation law or this subchapter;

(6) A list, by street address, lot, and square number, of all taxable property within the proposed BID, including the names and mailing addresses of the record owners to the extent reasonably ascertainable from the real property records of the Office of Recorder of Deeds or the real property tax and assessment records of the Office of Taxation and Revenue;

(7) A list of the names and addresses of all commercial tenants within the BID area, to the extent reasonably ascertainable; and

(8) The name of the bank and the location of the branch at which the BID will establish its bank accounts, which shall be subject to, in addition to the other approvals required by this section, the approval of the CFO.

(b) Repealed.

(c) Nothing in this subchapter shall be construed as modifying or waiving the District’s right to enact or adjust any District tax, tax rate, fee, or other assessment applicable to categories of persons or businesses that include persons or businesses subject to a BID tax under this subchapter. Nothing in this subchapter shall be used as a rationale for modifying the District’s method of property tax assessment.

§ 2–1215.05. Review of application.

(a) The Mayor shall have 15 days (excluding Saturdays, Sundays, and holidays) from the date of the filing of a BID application to conduct a preliminary review of the application to determine if the filing criteria set forth in § 2-1215.04 have been met and if the application is otherwise in conformity with this subchapter. If the Mayor fails to make a determination that the BID application is either not in conformity with this subchapter or that the BID application requirements have been met within 15 days (excluding Saturdays, Sundays, and holidays), such inaction shall constitute an affirmative preliminary determination that the BID application requirements have been met and the Mayor shall schedule, notify, and hold the required public hearing pursuant to § 2-1215.06. The Mayor may designate the Department of Small and Local Business Development, or a successor thereto, to perform the review functions described by this section.

(b)(1) If the Mayor determines that any of the BID criteria set forth in § 2-1215.04(a), except the provisions of § 2-1215.04(a)(1), have not been met or that the BID application is not in conformity with this subchapter, the Mayor shall specify the particular items that need to be corrected and notify the applicant that the application can be corrected and resubmitted within 30 days from the date of this notification. If a corrected BID application is not submitted within the 30-day period, the Mayor shall enter an order rejecting the application. If the Mayor determines that the criteria set forth in § 2-1215.04(a)(1) have not been met, the Mayor shall notify the applicant that this standard has not been met and the applicant shall not be eligible to resubmit an application for a period of one year from the initial date of submission.

(2) Once the Mayor affirmatively determines that the BID application requirements have been met, the Mayor shall issue a notice of preliminary finding to the applicant and to Council.

§ 2–1215.06. Hearing.

(a) The Mayor shall hold a public hearing within 45 days of the issuance of his findings pursuant to § 2-1215.05(b)(2). The Mayor may designate the Department of Small and Local Business Development, or a successor thereto, to perform the functions described by this section.

(b) Notice to the public shall be made no less than 21 days prior to the hearing.

(c) The Mayor shall advertise the notice of the public hearing along with the notice of preliminary finding in the District of Columbia Register.

(d) No fewer than 21 days before the public hearing, the applicant shall send, by first class mail or electronically, notice of the Mayor’s preliminary determination, notice of the public hearing, including the date, time, and place and availability of the BID application for review, and a summary of the application stating the borders of the proposed BID, the BID plan, and the BID taxes to the following, to the extent reasonably ascertainable:

(1) The Secretary to the Council;

(2) Each owner of taxable property within the proposed BID area at the address shown in the most recent real property tax assessment records or, at the election of the applicant, another address if it is reasonably determined that the information in the District’s records is dated;

(3) Each commercial tenant within the proposed BID area;

(4) Each advisory neighborhood commission in which the proposed BID is located; and

(5) Each major citizens association covering the area in which the proposed BID is located.

(e) The BID application shall be made available to the public for review during normal business hours on weekdays in at least one location in the proposed BID area designated by the applicant on a publicly accessible web site and at a generally accessible District government office designated by the Mayor. The notice of the public hearing shall describe these locations.

(f) The Mayor shall use the public hearing on the proposed BID to determine whether the BID plan meets the purposes of this subchapter and the definition of BID activity in § 2-1215.02, and all other BID application requirements.

(g) Within 10 days after the public hearing (excluding Saturdays, Sundays, and holidays) the Mayor shall either:

(1) Register the BID and the nonprofit corporation that submitted the application under § 2-1215.04 as the BID corporation; or

(2) Determine that the BID application requirements have not been met or that the BID plan does not meet the purposes of this subchapter and the definition of BID activity in § 2-1215.02. The Mayor shall specify the particular items that need to be corrected and notify the applicant that he will have 45 days from the date of this notification within which to correct the BID application.

(A) If a corrected BID application is submitted within the 45-day period, and the Mayor affirmatively determines that the corrected application adequately addresses the items that were included in the Mayor’s notification, the Mayor shall register the BID and the nonprofit corporation that submitted the application under § 2-1215.04 as the BID corporation.

(B) If a corrected BID application is submitted within the 45-day period, and the Mayor affirmatively determines that the corrected application does not adequately address the particular items needing correction that were included in the Mayor’s notification, the Mayor shall issue an order rejecting the registration. This order shall include the findings of fact upon which it is based.

(C) If a corrected BID application is not submitted within the 45-day period, the Mayor shall issue an order rejecting the registration. This order shall include findings of fact.

(h) If an order of rejection is not issued within 60 days from the date of the public hearing, the BID and the nonprofit corporation that submitted the application under § 2-1215.04 shall be deemed registered by the Mayor; except that, if the corrected application under subsection (g) of this section is determined by the Mayor to contain substantial changes, the Mayor may extend the review period for 5 business days. After such time the BID and the nonprofit corporation that submitted the application under § 2-1215.04 shall be deemed registered.

(i) Proceedings and determinations under the provisions of this subchapter shall not be considered contested cases under Chapter 5 of this title.

§ 2–1215.07. Board of Directors; officers; qualifications; expenses.

(a) The powers of each BID corporation shall be vested in a Board of Directors (“Board”). Board members shall include owners, or principals, agents, partners, managers, trustees, stockholders, officers, or directors of owners, and commercial tenants, and also may include residents, community members, and governmental officials; provided, that not less than a majority of all Board members shall represent owners.

(b) The initial Board of the BID corporation shall be the directors of the nonprofit corporation that submitted the BID application and that the Mayor designated as the BID corporation pursuant to § 2-1215.06. Within 120 days of the registration of the BID corporation, the members of the BID shall have the opportunity to nominate and elect the Board as provided in the BID articles of incorporation or bylaws.

(c) The Board and its officers shall have all the power and authority of nonprofit corporations established under District law, except to the extent specifically precluded by this subchapter. This power shall include, but not be limited to, the authority to accept donations or gifts of money and property, to apply for and receive grants from public and private sources, and to borrow money or issue bonds.

(d) No Board member, officer of the BID corporation, or any member shall be paid any salary or other remuneration for serving as such, but may be reimbursed for actual and reasonable out-of-pocket expenses incurred in the performance of such person’s duties in connection with the BID, except that an officer who also serves as the managing agent of the BID may receive compensation.

(e) Each Board may hire a managing agent to perform any or all of the Board’s nonfiduciary duties at a commercially reasonable rate and for such terms as the Board deems advisable. A managing agent shall not be a BID member or an affiliate of a BID member, but may be a property manager or asset manager of one or more of the properties located in the BID.

(f) The Board may employ other persons to assist in carrying out the functions of the BID corporation.

§ 2–1215.08. Bylaws and articles of incorporation; amendments.

(a) The Board of each BID corporation shall govern the BID corporation in accordance with the articles of incorporation and bylaws which shall be the articles of incorporation and bylaws of the nonprofit corporation that submitted the BID application. The members shall have the opportunity to be present and vote to adopt amendments to the initial bylaws at a meeting to be held within 120 days of the registration of the BID by the Mayor; provided, that members shall follow the procedures for offering such amendments as provided in the BID’s articles of incorporation or bylaws. Bylaws of the BID corporation shall set forth the powers and duties of the Board and its officers, the procedures for removal and replacement of Board members and officers, the method of determining BID taxes consistent with this subchapter or other Council authorization, the calling of meetings and the requirements for a quorum, ethics and conflict of interest standards, and such other information as is deemed advisable. In all cases the bylaws shall be consistent with the requirements imposed on nonprofit corporations under the applicable laws of the District, the provisions of this subchapter, and any regulations adopted pursuant to this subchapter.

(b)(1) The Board, by a ⅔ vote at a meeting called for such purposes, may adopt amendments to the BID bylaws, BID plan, and BID taxes authorized by this or any other act of the Council to reflect the changing needs of the BID corporation, which shall be duly ratified by a majority vote of the members present or voting or voting by proxy, to the extent not otherwise provided for in BID bylaws, at a regularly scheduled meeting at which a quorum is present.

(2) Amendments shall comply with all applicable provisions of this subchapter and any regulation adopted pursuant to this subchapter.

(3) Adopted amendments to the BID plan, including, but not limited to, any proposed amendment to the BID taxes, shall be filed with the Mayor within 15 days of adoption. The Mayor may designate the Department of Small and Local Business Development, or a successor thereto, to perform the review functions described by this section.

(A) The Mayor shall have 30 days after receipt of a revised BID plan to review such revisions and determine if they are in conformity with the terms of this subchapter.

(B) If the Mayor determines that the BID plan revisions are in conformity with the terms of this subchapter, the Mayor shall certify such revisions and notify the BID Board that the BID plan revisions have been certified.

(C) If the Mayor determines that the BID plan revisions are not in conformity with this subchapter, the Mayor shall not certify such revisions and shall notify the BID Board that the BID plan revisions have not been certified and cannot take effect. The Mayor shall specify the particular items that need to be corrected and notify the BID Board that they will have 45 days from the date of this notification within which to correct the BID plan revisions.

(i) If a corrected BID plan revision is submitted within the 45-day period and the Mayor affirmatively determines that the corrected application adequately addresses the items that were included in the Mayor’s notification, the Mayor shall certify the BID plan revisions.

(ii) If a corrected BID plan revision is submitted within the 45-day period, and the Mayor affirmatively determines that the corrected plan revision does not adequately address the particular items needing correction that were included in the Mayor’s notification, the Mayor shall notify the BID Board that the BID plan revisions have not been certified and cannot take effect.

(iii) If a corrected BID plan revision is not submitted within the 45-day period, the Mayor shall notify the BID Board that the BID plan revisions have not been certified and cannot take effect.

(D) If the Mayor fails to either certify the BID plan revisions or to notify the BID Board that the BID plan revisions have not been certified within 75 days of the date of their filing with the Mayor, such BID plan revisions shall be deemed to be certified by the Mayor.

(4) BID taxes can only be amended once annually.

§ 2–1215.09. Expanding the geographic area of a BID.

(a) Except as provided in § 2-1215.09a, an established BID may only expand its geographic area if:

(1)(A) Owners of at least 51% interest in the assessed value of the taxable properties and at least 25% in number of individual properties of record in a geographic area petition the existing BID to join the BID;

(B) Repealed;

(2) The BID meets the definition set forth in § 2-1215.02(7) in relation to the existing BID borders;

(3) Such petition is accepted by a majority vote of the existing BID Board; and

(3A) The petition is submitted to the Mayor with:

(A) The name and address of the BID corporation and a copy of the resolution adopted by the Board of Directors of the BID corporation accepting the petition;

(B) A description by lot, square, and street address of the property of each owner in the petition area, to the extent reasonably ascertainable; provided, that a property subdivided into separate condominium units shall constitute a single property for purposes of this subparagraph;

(C) The most recent assessed value of each taxable property located in the petition area to the extent reasonably ascertainable from District property tax records or a final determination of the Real Property Tax Appeals Commission for the District of Columbia; provided, that a property subdivided into separate condominium units shall constitute a single property for purposes of this subparagraph;

(D) A business plan for including the petition area in the operations of the BID. The business plan shall contain, at a minimum:

(i) A map of the geographic area of the petition area and the existing BID;

(ii) The specific goals and objectives for the inclusion of the petition area in the BID consistent with the BID activity as defined in this subchapter; and

(iii) The applicable BID taxes;

(E) A list of the current members of the Board of Directors of the BID; and

(F) The current articles of incorporation and the bylaws of the BID.

(4) Such petition is approved by the Mayor in accordance with the procedures set forth in § 2-1215.05 and § 2-1215.06; provided, that wherever the word “application” or phrase “BID application” appears in § 2-1215.05 or § 2-1215.06, the word or phrase shall be considered to refer to the expansion petition, and wherever reference is made to the registration of the BID and the nonprofit corporation in § 2-1215.06, the reference shall be considered to refer to registration of the expanded BID. The Mayor may designate the Deputy Mayor for Planning and Economic Development, or a successor thereto, to perform the review functions described by this section.

(5) The Mayor shall approve a petition if the Mayor determines that the petition was properly filed and adoption of the petition is consistent with the purposes of this subchapter and the definition of BID activity in § 2-1215.02(6).

(b) An expansion of a BID’s geographic area pursuant to this section shall become effective on the effective date of an act of Council which approves such BID geographic expansion. Initial BID taxes for such area shall be collected at the next practicable regularly scheduled billing pursuant to § 2-1215.15.

(c) For the purposes of this section, individual taxable BID properties shall mean properties identified by separate lot and square numbers to the extent reasonably ascertainable from the records of the Office of Taxation and Revenue or Office of Recorder of Deeds; provided, that any property subdivided into separate condominium units shall constitute a single property for the purpose of determining the number of taxable BID properties referred to in subsection (a) of this section; provided further, that such condominium units shall constitute separate properties for purposes of assessing and levying any BID charges. Changes in the assessed values occurring after submission of a BID application, whether through regular reassessment, appeals, or otherwise, shall not affect the validity of the BID application to be taken into account in the Mayor’s review of the BID application.

§ 2–1215.09a. Adjacent or abutting properties.

(a) An owner of an adjacent or abutting property may petition to join an existing BID if the owner sends a letter requesting to be added to a BID to the BID Board and to the Mayor, listing the address, square and lot number, owner, and owner’s contact information. The BID board must vote to approve the addition. If the BID Board votes to approve adding the additional property, the BID Board shall send a letter to the Mayor with the results of the vote (“results letter”).

(b)(1) The Mayor shall have 30 days after receiving the results letter from the BID Board to review the proposed addition and determine if the addition is an adjacent or abutting property not currently located in another BID. If the Mayor finds that the proposed addition is not an adjacent or abutting property or that the proposed addition is currently located in another BID, the Mayor may issue an order rejecting the addition.

(2) If the Mayor does not issue an order approving or rejecting the addition within the 30-day review period, the addition shall be deemed approved.

(3) If the addition is approved or deemed approved, the property shall be added to the BID at the next regularly scheduled billing pursuant to § 2-1215.15.

(c) The proposed addition shall be subject to §  2-1215.09(c).

§ 2–1215.09b. Expanding the taxable real property within a BID.

(a) An established BID may only expand categories of taxable real property if:

(1) Owners of at least 51% interest in the assessed value of the taxable real properties and at least 25% in number of individual real properties, consisting of a new type of taxable real property of record within the BID’s geographic area, petition the existing BID to join the BID or the board of directors of any condominium association on behalf of a real property within the geographic boundaries of the Downtown BID or Golden Triangle BID petition to join such BID;

(2) The petition is accepted by a majority vote of the existing BID Board;

(3) The petition is submitted to the Mayor with:

(A) The name and address of the BID Corporation and a copy of the resolution adopted by the Board of Directors of the BID Corporation accepting the petition;

(B) A description by lot, square, and street address of the property of each owner of the proposed new taxable real property type, to the extent reasonably ascertainable; provided, that a property subdivided into separate condominium units shall constitute a single property for purposes of this subparagraph;

(C) The most recent assessed value of each taxable real property of the proposed new taxable real property type, to the extent reasonably ascertainable from District property tax records or a final determination of the Real Property Tax Appeals Commission for the District of Columbia; provided, that a property subdivided into separate condominium units shall constitute a single real property for purposes of this subparagraph;

(D) A business plan for including the petition area in the operations of the BID; which business plan shall contain, at a minimum:

(i) The specific goals and objectives for the inclusion of the petitioning real property class in the BID consistent with the BID activity, as defined in § 2-1215.02(6); and

(ii) The applicable BID taxes;

(E) A list of the current members of the Board of Directors of the BID; and

(F) The current articles of incorporation and the bylaws of the BID; and

(4) The petition is approved by the Mayor in accordance with the procedures set forth in §§ 2-1215.05 and 2-1215.06; provided, that wherever the word “application” or the phrase “BID application” appears in § 2-1215.05 or § 2-1215.06, the word or phrase shall be considered to refer to the expansion petition, and wherever reference is made to the registration of the BID and the nonprofit corporation in § 2-1215.06, the reference shall be considered to refer to registration of the expanded BID.

(b) The Mayor shall approve a petition if the Mayor determines that the petition was properly filed and adoption of the petition is consistent with the purposes of this subchapter and the BID activity, as defined in § 2-1215.02(6). An expansion of a BID’s taxable real property pursuant to this section shall become effective on the effective date of an act of Council approving the BID’s taxable real property expansion. Initial BID taxes for the area shall be collected at the next practicable regularly scheduled billing pursuant to § 2-1215.15.

(c)(1) For the purposes of this section, individual taxable properties shall mean properties identified by separate lot and square numbers to the extent reasonably ascertainable from the records of the Office of Tax and Revenue or Office of Recorder of Deeds; provided, that any property subdivided into separate condominium units shall constitute a single property for the purpose of determining the number of taxable properties referred to in subsection (a) of this section; provided further, that the condominium units shall constitute separate properties for purposes of assessing and levying any BID charges.

(2) Changes in the assessed values occurring after submission of a BID application, whether through regular reassessment, appeals, or otherwise, shall not affect the validity of the BID application to be taken into account in the Mayor’s review of the BID application.

(d) The Mayor may designate the Department of Small and Local Business Development, or a successor thereto, to perform the review functions described by this section.

§ 2–1215.09c. Expanding the taxable real property within a BID for newly enacted BIDs.

(a) A BID established after February 26, 2015, may only expand categories of taxable real property to include Class I residential property if:

(1) Owners of at least 51% interest in the assessed value of the taxable real properties and at least 25% in number of individual real properties, consisting of a new type of taxable real property of record within the BID’s geographic area, petition the existing BID to join the BID;

(2) The petition is accepted by a majority vote of the existing BID Board; and

(3) The petition is submitted to the Mayor with:

(A) The name and address of the BID Corporation and a copy of the resolution adopted by the Board of Directors of the BID Corporation accepting the petition;

(B) A description by lot, square, and street address of the property of each owner of the proposed new taxable real property type, to the extent reasonably ascertainable; provided, that a property subdivided into separate condominium units shall constitute a single property for purposes of this subparagraph;

(C) The most recent assessed value of each taxable real property of the proposed new taxable real property type, to the extent reasonably ascertainable from District property tax records or a final determination of the Real Property Tax Appeals Commission for the District of Columbia;

(D) A business plan for including the petition area in the operations of the BID; which business plan shall contain, at a minimum:

(i) The specific goals and objectives for the inclusion of the petitioning real property class in the BID consistent with the BID activity as defined in § 2-1215.02(6); and

(ii) The applicable BID taxes;

(E) A list of the current members of the Board of Directors of the BID; and

(F) The current articles of incorporation and the bylaws of the BID; and

(4) The petition is approved by the Mayor in accordance with the procedures set forth in §§ 2-1215.05 and 2-1215.06; provided, that wherever the word “application” or phrase “BID application” appears in §§ 2-1215.05 and 2-1215.06, the word or phrase shall be considered to refer to the expansion petition, and wherever reference is made to the registration of the BID and the nonprofit corporation in § 2-1215.06, the reference shall be considered to refer to registration of the expanded BID.

(b) The Mayor shall approve a petition if the Mayor determines that the petition was properly filed and adoption of the petition is consistent with the purposes of this subchapter and the definition of BID activity in § 2-1215.02(6)(B). An expansion of a BID’s taxable real property pursuant to this section shall become effective on the effective date of an act of Council that approves such BID’s taxable real property expansion. Initial BID taxes for such area shall be collected at the next practicable regularly scheduled billing pursuant to § 2-1215.15.

(c)(1) For the purposes of this section, individual taxable properties shall mean properties identified by separate lot and square numbers to the extent reasonably ascertainable from the records of the Office of Tax and Revenue or Office of Recorder of Deeds.

(2) Changes in the assessed values occurring after submission of a BID application, whether through regular reassessment, appeals, or otherwise, shall not affect the validity of the BID application to be taken into account in the Mayor’s review of the BID application.

(d) The Mayor may designate the Department of Small and Local Business Development, or a successor thereto, to perform the review functions described by this section.

§ 2–1215.10. Meetings of members and the Board.

(a) Except as otherwise provided by this subchapter, meetings of the members shall be held in accordance with the provisions of the bylaws but shall occur at least once each year after the formation of the BID. The bylaws shall specify an officer who shall send each member notice of the time, place, and purposes of the meeting. Notice shall be given at least 21 days in advance of any annual or regularly scheduled meeting and at least 7 days in advance of any other meeting, in one of the following ways:

(1) First class mail to all members of record at the address of their respective properties and to such other address as may have been designated to the officer;

(2) Hand delivered by the officer, or the officer’s agent; provided, that the officer certifies in writing that notice was actually delivered to the member; or

(3) Electronically to the member’s email address of record as may have been designated to the officer.

(b) All meetings of the Board shall be open to members. Minutes shall be recorded and shall be made reasonably available to all members and the Mayor and the Council.

(c) Meetings may be held by telephone, electronically, or by other means of communication; provided, that all participants can hear or read the proceeding, vote on the matters discussed, and make comments.

§ 2–1215.11. Voting.

(a) The articles of incorporation shall provide that each member is entitled to vote. The articles of incorporation and the bylaws may allocate to each BID member a number of votes. The number of votes allocated to each member may be based on any fair and equitable formula that ensures not less than one vote per member and may take into account certain variables, including, but not limited to, assessed value of property owned or occupied, square footage owned or occupied, street frontage owned or occupied, location of property owned or occupied within the BID, obligation to pay BID taxes in the case of property owners, voluntary contribution to the BID in the case of exempt property owners, and payment for services under contract in the case of the federal government’s General Services Administration.

(b) The articles of incorporation and the bylaws may govern how members may cast multiple votes, if multiple votes are allocated, and whether and how proxy voting will be recognized.

(c) In no case shall the total number of votes assigned to any one member or to any number of members under common ownership or control exceed 33 1/3% of the total number of votes which may be cast. For purposes of this section, ownership or control shall mean the possession of the power to directly or indirectly cause the direction of the management and the policies of the entity in question.

§ 2–1215.12. Books, minutes, and records; inspection; accounts; budgets.

(a) The BID’s treasurer shall keep detailed records of the receipts and expenditures affecting the operation and administration of the BID. All such records, minutes of the meetings of the BID’s members and Board, and any other records pertaining to the BID, including the names and addresses of the members, shall be available for examination by all of the members, the Mayor, the CFO, and the Council at convenient hours on working days that shall be set and announced for general knowledge. Subject to the provisions of subsection (b) of this section, upon request, any member, the Mayor, the CFO, or Council shall be provided a copy of the records and minutes.

(b) Books and records kept by or on behalf of a BID may be withheld from examination or copying by members or others to the extent that the records concern:

(1) Personnel matters;

(2) Communications with legal counsel or attorney work product;

(3) Transactions currently in negotiation and agreements containing confidentiality requirements;

(4) Pending litigation;

(5) Pending matters involving formal proceedings for enforcement of the BID articles of incorporation, bylaws, or rules and regulations promulgated pursuant thereto; or

(6) Disclosure of information in violation of law.

(c) The BID may impose and collect a charge, reflecting its actual costs of materials and labor, prior to providing copies of any books and records to members.

(d) The Board of each BID corporation may establish such checking, savings, money market, or other depository accounts as it deems advisable; provided, that such accounts may be established only in a federally insured financial institution doing business in the District.

(e) Upon establishment of the BID and no later than September 15th of each subsequent fiscal year, the Board of each BID corporation shall deliver to all members of record by first class mail, or by personal delivery, an operating budget outlining the Board’s then current projections of revenues and operating expenses for the forthcoming fiscal year or portion thereof. The Board also shall deliver to the members of record from time to time, as circumstances warrant, a supplement to the then current operating budget outlining any material changes in anticipated expenditures or income during the applicable budget year. The Board shall update each operating budget and supplement from time to time as the Board receives information requiring material changes to such operating budget or supplement. Operating budgets and supplements shall not require the prior approval of the members. Each operating budget and supplement shall be effective upon delivery to the members of record, or the later effective date set forth in the budget or supplement. For purposes of this section, a material change is a change where major programmatic activity not anticipated in a previously approved plan is undertaken or that involves a reallocation of more than 10% of the anticipated revenues in a budget year.

(f) BIDs are exempt from the records requirement of § 29-413.01.

§ 2–1215.13. Annual report of BID corporation.

(a) The Board of each BID corporation shall file an annual report with the Mayor and the Council in compliance with subsection (b) of this section and financial statements with the CFO in compliance with subsection (c) of this section in such forms and at such times as are prescribed by regulations promulgated under this subchapter. The requirement for filing of an annual report shall commence in the first full fiscal year after BID registration.

(b) Each annual report shall include, at a minimum:

(1) A financial statement for the preceding year, including a balance sheet, statement of income and loss, and such other information as is reasonably necessary to reflect the BID’s actual financial performance. Such statements shall be certified by the treasurer of the BID corporation and shall be prepared on a cash basis or an accrual basis in accordance with generally accepted accounting principles consistently applied;

(2) A proposed operating budget for the then current fiscal year; and

(3) A narrative statement or chart showing the results of operations in comparison to stated goals and objectives.

(c) Each financial statement package submitted to the CFO shall include, at a minimum, a financial statement, budget, and narrative statement in the same form as required by subsection (b) of this section.

(d) A copy of each annual report shall be sent to the Council, to any Advisory Neighborhood Commission in which any portion of the BID is located, and to all members in the BID, in each case by first class mail, personal delivery, or electronically. Annual reports shall also be posted on BID websites.

(e) In connection with the filing of each annual report, each BID corporation shall allow its books and records to be open for inspection by the Mayor, the CFO, and the Council during reasonable working hours for such period of time as is prescribed by regulations promulgated under this subchapter.

§ 2–1215.14. Liability.

(a) The District shall not be liable or responsible in any manner for any debts incurred, or for any acts or inactions, by the Board or by any agent, employee, or member of the BID corporation. The BID shall reimburse the District for any legal fees or any other legal expenses related thereto, that it may incur as a result of defending against any claim brought against it, or its agents, or officers, as a result of carrying out any actions under this subchapter; provided that the BID shall not be required to reimburse the District for any legal fees or any other expenses related thereto, that the District incurs as a result of defending against any claim brought against it, or its agents, or officers, by the BID if the BID is the substantially prevailing party.

(b) Neither a director, officer, or member nor any affiliate of a director, officer, or member, nor any shareholder, officer, director, employee, partner, agent, or advisor of a director, officer, or member nor an affiliate of any director, officer, or member of the BID shall be personally liable to the BID corporation or to any owner or member for loss or damage caused by any act or omission in such capacity, except for losses or damages caused by such party’s fraudulent, willful, or wanton conduct or misconduct, breach of the BID instruments, or gross negligence. The BID corporation shall indemnify (only to the extent of BID corporation assets without recourse to any owner or member) any person who was or is a party or threatened to be made a party to any threatened, pending, or completed action, suit or proceeding (other than an action by or on behalf of the BID corporation), which action, suit, or proceeding arises out of or relates to any claim, issue, or matter involving or affecting the BID corporation, by reason of the fact that such party is or was a director, officer, or member, an affiliate of a director, officer, or member, or an officer, shareholder, director, employee, partner, agent, or advisor of a director, officer, or member or an affiliate of any director, officer, or member, or is or was serving at the request of the BID corporation as an officer, shareholder, director, employee, agent, or advisor of another partnership, corporation, joint venture, trust, or other enterprise, against all expenses, including attorneys’ fees, judgments, fines, and amounts paid in settlement, actually and reasonably incurred by such party in connection with such action, suit, or proceeding, so long as such party acted in good faith in a manner reasonably believed to be in or not opposed to the best interest of the BID corporation; provided, that no indemnification shall be made in respect of any claim, issue, or matter as to which a party has been adjudged to be liable for fraudulent, willful, or wanton conduct or misconduct, breach of the BID instruments, or gross negligence, or with respect to any criminal action or proceeding.

(c) The BID corporation may maintain insurance on behalf of any person who is or was a director or officer or the shareholder, employee, partner, agent, or advisor of a director or officer for a liability asserted against it and incurred by such party in any such capacity or arising out of such party’s status as such, whether or not the BID corporation would have the power to indemnify such party against such liability under this section.

§ 2–1215.15. Collection and disbursement of BID taxes.

(a) Within 10 days of its date of registration, and 90 days in advance of the beginning of each fiscal year, each BID shall provide the CFO with a preliminary BID tax roll, which shall include, for each property subject to the relevant BID tax, the square number, the lot number, the name of the BID, the period of time for the BID tax, and the amount of the BID tax for that property for that period of time. In addition to the preliminary tax roll, the BID shall also provide supporting information which describes the information relied upon by the BID in preparing the preliminary tax roll. The supporting information shall be based on information provided to the BID by the Office of Taxation and Revenue and any other reliable source. The preliminary BID tax roll and the supporting information shall be prepared in such form as may be prescribed by regulation by the CFO. In the event that a BID fails to provide the preliminary BID tax roll and the supporting information within the time period specified by this subsection, the BID taxes shall be collected at the time of the next regularly scheduled tax bill.

(b) During a control year, the CFO, and in any other year, the Mayor shall examine the preliminary BID tax roll and backup information and shall make any changes it deems are required by this subchapter. During a control year, the CFO, and in any other year, the Mayor, shall certify a final BID tax roll no later than 30 days prior to the billing dates described in subsection (e) of this section.

(c) Except as otherwise provided by this subchapter, BID taxes shall be collected by the CFO during a control year, and by the Mayor in any other year. Except as otherwise provided by this subchapter, BID taxes shall be collected in the same manner as real property taxes are collected. The CFO during a control year, and the Mayor in any other year, may contract with a financial institution having assets in excess of $50 million or a BID (if the BID tax is related to such BID) to perform services for the District in connection with the collection and distribution of BID taxes.

(d) BID taxes shall be effective as of the date a BID is registered or deemed registered by the Mayor pursuant to § 2-1215.06, except for BID taxes that become effective pursuant to § 2-1215.04(f) or (g). Any changes to the BID tax adopted pursuant to § 2-1215.08 shall be effective as of the first day of the subsequent fiscal year. BID taxes related to real properties affected by a geographic or taxable real property tax base expansion of the BID shall be effective as of the date the expansion becomes effective.

(e) BID taxes shall be payable in advance and shall cover the 6 months following the due date of the billing described by paragraph (1) of this subsection; provided however, in the case of the period of time between the effective date of a BID’s registration and the last day of the applicable 6-month period, BID taxes shall be payable as described by paragraph (2) of this subsection.

(1) BID taxes shall be due and payable semiannually in 2 equal installments, the first being paid on or before September 15 preceding the real property tax year for the period October 1 through March 31, and the second installment to be paid on or before March 31 of the real property tax year for the period April 1 through September 30.

(2) BID taxes for the period of time between the effective date of a BID’s registration and the last day of the applicable 6-month period shall be collected through a special bill, if the relevant BID application requests such a special bill, to be mailed by the District or its contractee within 30 days of the effective date of the BID tax with such special bill due for payment 45 days from the date of such special bill, or if the BID application does not request such a special bill, the BID taxes for such period of time shall be billed at the time of the next practicable regularly scheduled property tax bill pursuant to paragraph (1) of this subsection, along with any other BID taxes collectible at the time of such billing.

(f) If at any time after the dates provided by subsection (e) of this section any BID tax is not paid within the time prescribed, there shall be added to the BID tax a penalty of 10% of the unpaid amount plus simple interest on the unpaid amount at the rate of 1.5% per month or portion of a month until the BID tax is paid.

(g) If any BID tax shall remain unpaid after the expiration of 60 days from the date such tax became due, the property subject to such BID tax may be sold at the next ensuing tax sale in the same manner and under the same conditions as property sold for delinquent real property taxes, if such BID taxes with interest and penalties thereon shall not have been paid in full prior to said sale. If an accounting is made in accordance with, and subject to, § 47-1340(f), of the District of Columbia Code, the proceeds from such sale shall be applied towards such delinquent BID taxes together with interest and penalties thereon, including costs associated with such sale; provided, that the proceeds from such sale shall be applied first to any delinquent real property taxes (and penalties and costs associated therewith), and then, to the extent a required accounting is made in accordance with § 47-1340(f), in the following order of priority: any delinquent water and sewer charges; any lien for tenant relocation expenses under § 42-3531.15; and any delinquent litter control nuisance fines, in accordance, respectively, with §§ 47-1303.4 [47-1303.04], 34-2407.02, 34-211, and 8-807. The proceeds shall then be applied towards any other delinquent tax, aside from the BID tax, owed by the owner of such property. The proceeds due for such delinquent BID taxes with interest and penalties thereon shall then be delivered to the collection agent for deposit into the relevant special account within 30 business days of its receipt by the District or the BID pursuant to § 2-1215.17.

(g-1)(1) Notwithstanding subsection (g) of this section, a BID tax resulting from a possessory interest shall be collected in accordance with Chapter 44 of Title 47 and the holder of the possessory interest shall be liable.

(2) For periods beginning after September 30, 2003, the BID tax resulting from the possessory interest shall be in proportion to the pro rata share of the real property, as determined by the Chief Financial Officer, occupied by holder of the possessory interest where the BID tax is based on assessed value, net rentable area, gross building area, square footage, or number of hotel rooms. BID taxes based on a per unit basis shall not be apportioned.

(3) Repealed.

(h) The Treasurer of the District shall establish a special account of the District for each BID registered pursuant to § 2-1215.06. Each such special account shall be established by the Treasurer within 20 days of the date of the BID’s registration pursuant to § 2-1215.06.

(1) Within 10 business days of the date of establishment of any such special account, the Treasurer shall contract with the existing real property tax collection agent of the District to collect the BID taxes and to administer each special account created pursuant to this subsection for such period of time that said tax collection agent is responsible for collecting the real property taxes of the District. Upon the termination of any such contract, the District shall contract with the successor tax collection agent of the District to collect the BID taxes and to administer each special account created pursuant to this subsection for such period of time that said tax collection agent is responsible for collecting the real property taxes of the District. Such transactions shall not be subject to Chapter 2 of this title.

(2) Each special account created pursuant to this section shall consist solely of funds deposited pursuant to this section, which funds shall at no time be commingled with the general fund or any other fund of the District. The following shall be deposited into the special account associated with a BID within 3 business days of its receipt by the collection agent:

(A) All BID taxes collected pursuant to subsections (a) through (e) of this section;

(B) All penalties and interest collected pursuant to subsection (f) of this section; and

(C) Any proceeds from collections pursuant to subsection (g) of this section.

(3) The funds received as payment of a BID tax shall be applied first towards any real property taxes owed and to any delinquent real property taxes (and penalties and costs associated therewith) in the manner described by § 47-1303.04(g), before such payment is applied to the BID tax and any associated penalty and interest.

(i) The District may recover costs from the special accounts only as specifically provided by this subsection. Any recovery of funds from a special account shall be only by payment from the collection agent to the District.

(1) The collection agent shall make a payment to the District equal to the amount of any tax refund associated with such special account that the District documents is required pursuant to District law; provided, that to the extent that a special account lacks the funds needed to make a payment pursuant to this paragraph, the collection agent shall make said payment to the District as soon as sufficient funds are deposited into such special account; provided further, that a BID corporation shall have standing to participate in any administrative proceeding or to intervene in any judicial proceeding for the refund of BID taxes associated with such BID.

(2) The collection agent shall make a monthly accounting to each BID of any payments to the District from the special account associated with that BID.

(j) Each month, prior to the 5th day of the month, the collection agent shall make a payment to the BID associated with the special account, which payment shall consist of all of the funds in such account as of the end of the final day of the preceding calendar month; provided, that the collection agent shall first provide for the payment of costs pursuant to subsection (i) of this section; provided further, that the collection agent shall withhold a portion of such funds, not to exceed 2% of the total annual BID taxes associated with such account when the BID taxes are based on assessed value or 1/2 of 1% of the total annual BID taxes associated with such account when BID taxes are based on square footage or per building, that the Treasurer of the District finds is needed as a reserve fund to pay any tax refund that may be required pursuant to District law.

(k) Each month, the collection agent shall provide a statement regarding the transactions in such special account to the Treasurer of the District and to the BID associated with such special account.

(l)(1) No funds may be withdrawn from a special account established pursuant to this section except as specifically provided in subsections (i) and (j) of this section. The District and the collection agent shall not pledge the funds in any special account established pursuant to this section under any circumstances, except that the funds in any such account shall be pledged if and when requested by the BID associated with such account as security for bonds or other borrowing by such BID.

(2) Authority to obligate or expend any taxes collected pursuant to this subchapter shall be subject to the appropriations process.

(m) The BID shall be the beneficial owner of the funds in the special account associated with that BID.

§ 2–1215.16. Additional authority and duties of BIDs; dispute resolution.

(a) A BID’s authority shall include any powers possessed by a nonprofit corporation organized pursuant to District law, including, but not limited to, the authority to accept donations or gifts of money and property, to apply for and receive grants from public and private sources, to carry over funds from one fiscal year to the next, and to borrow money or issue bonds. Any agency or independent agency of the District, as those terms are defined in § 1-603.01, shall acknowledge and recognize the unique characteristics of a BID corporation.

(b) A BID shall make a payment to the District to cover any reasonable marginal costs the District documents to the BID it has incurred in collecting the BID tax associated with such BID. If the District is unable to allocate a marginal cost to a particular BID, the District may allocate such costs between the BIDs associated with such marginal costs; provided, that any such allocation shall be based, to the extent practicable, on the equitable benefit received by each BID from such costs.

(c) In addition to the obligation to pay the BID tax, if any owner requests a special capital improvement or service of a nature above the level of improvements or services provided generally by the BID within the BID area, such owner shall be specially charged, in accordance with such reasonable provisions as the BID Board may determine, to reflect the benefit received by such owner from such special capital improvement or service. Such special charge shall constitute the personal obligation of the property owner involved and shall be payable directly to the BID and may be deposited directly into a bank account established by the BID. Such special charges shall not be construed as a BID tax. The contract for any such special capital improvement or service valued in excess of $1,000 shall be approved by a majority vote of the disinterested members of the Board.

(d) In the event disputes arise with respect to any charge pursuant to this section or any activity conducted by a BID, such disputes shall be resolved through mediation, or, if mediation is unsuccessful, arbitration in accordance with the rules of the American Arbitration Association or such other reputable organization as is generally recognized as providing arbitration services as determined by the BID bylaws. Any party to such arbitration shall have the right to initiate judicial proceedings to enforce any award or decision made pursuant to arbitration, but no person shall be authorized to institute judicial proceedings with respect to the matters referred to in this subsection except to enforce an arbitration award. Residents of a residential neighborhood adjoining a BID and citizens associations covering an area in which a BID is located shall be entitled to seek relief under this section.

(e) A BID shall have a lien on any property on which a capital improvement is made pursuant to subsection (c) of this section and such lien shall be enforced and shall have the same priority as a mechanics lien provided that the BID complies with the procedural mechanisms governing mechanics liens under District law.

(f) The Mayor shall charge a reasonable fee to the proposed BID applicant to cover costs incurred by the District Government associated with processing BID applications and holding administrative hearings.

§ 2–1215.17. Civil action for BID taxes.

(a) The BID corporation through its counsel may file suit in the Superior Court of the District of Columbia against any property owner with delinquent BID taxes that are at least 120 days overdue. Such a suit may seek as damages any delinquent BID taxes, including penalties and interest owed to the District under § 2-1215.15(e) and the BID’s reasonable attorneys fees. Such a suit shall be brought in the name of the District of Columbia.

(b) Any judgment obtained pursuant to subsection (a) of this section may not be waived or reduced by the District and may only be satisfied by the payment to the District of the full amount of the judgment or by the sale of the relevant property at a tax sale.

(c) A BID obtaining a judgment in a suit filed pursuant to subsection (a) of this section shall have the authority to execute this judgment in the name of the District using any method of execution authorized by District law, including, but not limited to, the authority to record such judgment with the Recorder of Deeds of the District, file a creditor’s bill to sell real estate to satisfy a judgment, seek any writ of attachment, fieri facias, distringas, or replevin, and seek condemnation under such writs.

(d) Any funds obtained by the BID as a result of subsection (e) of this section shall be turned over to the Treasurer of the District within 3 business days. The Treasurer shall disburse such funds in accordance with the priorities and procedures set forth in § 2-1215.15(g).

(e) An action pursuant to this section shall not be construed as a bar to action by the District to collect a delinquent BID tax under § 2-1215.15(g).

(f) An action pursuant to this section shall be dismissed by the Superior Court if notice and evidence thereof is provided to the Court that the District has sold the subject property at a tax sale.

§ 2–1215.18. Term of BID; extension; termination and dissolution.

(a)(1) Each BID shall have an initial term that shall end on the last day of the 5th full fiscal year of the District during which the BID has been registered pursuant to § 2-1215.06(h). A BID may be extended for successive 5-year terms if:

(A) The BID notifies the Mayor at least 180 days before the end of the BID’s term that it desires to extend its status as a registered BID for a subsequent 5-year term;

(B) The BID submits a plan for the next 5 years of BID operations to the Mayor; and

(C) The Mayor holds a public hearing in accordance with this subsection and subsequently issues a notice of BID re-registration.

(2) Notice to the public shall be made no fewer than 21 days before the hearing.

(3) The Mayor shall:

(A) Publish the notice of the public hearing along with the notice of preliminary finding in the District of Columbia Register;

(B) Ensure that the notices are published in at least 2 sources of local general interest print or electronic media; and

(C) Hold the public hearing no earlier than 120 days before the end of the fiscal year, and no later than 30 days before the end of the fiscal year.

(a-1) If, at the end of the fiscal year, the BID has requested an extension and the Mayor has not issued an order revoking the registration or denying an extension, the BID shall be deemed to be re-registered for a subsequent 5-year term.

(b) The Mayor shall issue an order revoking the registration of a BID at any time if:

(1) By a 2/3 majority vote of the Board, the Board elects not to seek re-registration of the BID;

(2) Not more than one year and not less than 90 days before the end of each 5-year period, the owners of at least 51% in assessed value of taxable property and at least 25% in number of taxable properties within the BID elect to dissolve the BID effective as of the last day of the then applicable 5-year term;

(3) The Mayor determines that there has been unlawful conduct by the management or Board of the BID, which conduct has not been remedied within 30 days of notice thereof;

(4) The Mayor determines that the conduct of the BID has jeopardized the ability of the BID to carry out the purposes of this subchapter, which conduct has not been remedied within 30 days of notice thereof;

(5) The BID corporation is voluntarily or involuntarily dissolved in accordance with law;

(6) The operations of the BID cease for any reason for at least 60 consecutive days at any time after the initial organizational period of 120 days; or

(7) A BID corporation voluntarily files for bankruptcy protection, becomes insolvent, or has a receiver appointed for all or substantially all of its assets, or any such proceeding is instituted against the BID corporation and is not discharged within 60 days.

(c) Within 60 days of dissolution, the Board shall adopt a plan to timely distribute funds and dispose of assets to satisfy all creditors in the order of their priority, if any. Any surplus funds, including the proceeds of the sale of all real and personal property, shall be returned to the owners in proportion to their obligation to pay BID taxes within 30 days of adoption of the plan of distribution.

(d) The Mayor may designate the Department of Small and Local Business Development to perform the functions described by this section.

§ 2–1215.19. Prohibited acts.

No BID corporation shall engage in the financial support of political activities and candidates, lobbying on legislative or administrative actions with respect to any property or area, or the promotion of one business to the exclusion of others. Nothing contained within this subchapter shall be construed as modifying the terms of any lease or occupancy agreement between an owner and commercial tenant.

§ 2–1215.20. Maintenance of base level of city services.

(a) The District government shall not eliminate or reduce the level of any services customarily provided in the District to any similar geographic area because such area is subject to a BID, and shall continue to provide its customary services and levels of each service to such area notwithstanding that such area is or may be encompassed in a BID unless a reduction in service is part of a District-wide pro rata reduction in services necessitated by fiscal considerations or budgetary priorities.

(b) Repealed.

§ 2–1215.21. Exempt property owners; BID membership.

The District government, the federal government, or any property owner owning exempt real property located in the BID, or adjacent to or abutting BID boundaries, may, at their sole discretion, contribute money to the BID. Such exempt real property owners who voluntarily make a payment to the BID in lieu of a BID tax shall be entitled to membership in the BID and services provided to the properties in the BID. Nothing in this subchapter shall either compel or prohibit such exempt real property owners from contributing BID taxes, becoming BID members, or receiving BID services.

§ 2–1215.22. Rulemaking.

Pursuant to Chapter 5 of this title, the Mayor is authorized to issue any rules that may be necessary to implement the provisions of this subchapter, which shall include a fee to cover the administrative costs of processing a BID application and holding a public hearing. No delay in issuing any rules beyond 120 days after May 29, 1996, shall prevent an applicant from filing an application with the Mayor, or prevent the Mayor from registering a BID.

Part B. BID Formations.

§ 2–1215.51. Downtown BID.

(a) The formation of the Downtown BID, which shall include all taxable property within the geographic areas set forth in subsection (b) of this section, is hereby authorized and the BID taxes established in subsection (c) of this section are hereby imposed through the earlier of the expiration date of this subchapter or the termination or dissolution of the BID.

(b) The Downtown BID shall be comprised of all taxable property within the following areas:

(1) The geographic area bounded by a line that starts at the center of the street at the intersection of Massachusetts Avenue, N.W., and the western edge of I-395; and continues south along the western edge of I-395 to the center of D Street, N.W.; and continues east along the center of D Street, N.W., to the eastern edge of the Department of Labor Building; and continues south along the eastern edge of the Department of Labor Building to the center of C Street, N.W.; and continues west along the center of C Street, N.W., to the center of 2nd Street, N.W.; and continues south along the center of 2nd Street, N.W., to the center of Constitution Avenue, N.W.; and continues west along the center line of Constitution Avenue, N.W., to the center of 15th Street, N.W.; and continues north along the center line of 15th Street, N.W., to the center of Pennsylvania Avenue, N.W.; and continues west along the center line of Pennsylvania Avenue, N.W., to the western property line of 1503 Pennsylvania Avenue, N.W.; and continues north along the building edge of 1503 Pennsylvania Avenue, N.W., to the center of the north-south alley in Square 221; and continues north along the center line of the north-south alley in Square 221 to the center of H Street, N.W.; and continues west along the center line of H Street, N.W., to the center of 16th Street, N.W.; and continues north along the center line of 16th Street, N.W., to the southern edge of Thomas Circle; and continues counterclockwise around the center line of Thomas Circle to the center point of Massachusetts Avenue, N.W.; and continues southeast along the center line of Massachusetts Avenue, N.W., to the center of 9th Street, N.W.; and continues north along the center line of 9th Street, N.W., to the center of N Street, N.W.; and continues east along the center line of N Street, N.W., to the center of the north-south alley in Square 424; and continues south along the center line of the north-south alley in Square 424 to the center of M Street N.W.; and continues east along M Street N.W., to the center of 7th Street, N.W.; and continues south along the center line of 7th Street, N.W., to the center of K Street, N.W.; and continues east along the center line of K Street, N.W., to the center of 6th Street, N.W.; and continues south along the center line of 6th Street, N.W., to the center of Massachusetts Avenue, N.W.; and continues east along the center line of Massachusetts Avenue, N.W., to the center of the street at the intersection of Massachusetts Avenue and the western edge of I-395, is hereby authorized and the BID taxes specified below are hereby imposed through the expiration date of this subchapter or the earlier termination or dissolution of the BID, subject to the requirements of this subchapter, including the BID application and BID registration procedures established pursuant to §§ 2-1215.04(a), 2-1215.05, and 2-1215.06.

(2) The geographic area bounded by a line that starts at the intersection of the center of Massachusetts Avenue, N.W., and the western edge of I-395; and continues southeast along the center of Massachusetts Avenue, N.W., to the center of North Capitol Street; continues north along the center of North Capitol Street to the center of K Street; and continues east along the center of K Street, N.E., to the eastern edge of the eastern sidewalk on First Street, N.E.; and continues south along the eastern edge of the eastern sidewalk on First Street, N.E., to the center of Massachusetts Avenue, N.E.; and continues northwest along the center line of Massachusetts Avenue, N.E., to the center of North Capitol Street; and continues south along the center line of North Capitol Street to the center line of Louisiana Avenue; and continues southwest along the center line of Louisiana Avenue, N.W., to the center of Constitution Avenue, N.W.; and continues west along the center line of Constitution Avenue, N.W., to the center of Second Street, N.W.; and continues north along the center line of Second Street, N.W., to the center of C Street, N.W.; and continues west along the center line of C Street, N.W., to the eastern edge of the Department of Labor Building; and continues north along the eastern edge of the Department of Labor Building to the center of D Street, N.W.; and continues west along the center line of D Street, N.W., to the western edge of I-395; and continues north along the western edge of I-395 to the center of Massachusetts Avenue, N.W. (the starting point).

(c)(1) The BID taxes for taxable properties in the Downtown BID shall be:

(A) The amount of $.149835 per square foot for each net rentable square foot for improved Class 4 Properties where the Office of Taxation and Revenue has records indicating the net rentable area of the property. Net rentable square feet shall be the number of net rentable square feet reported to the District and shall be calculated by the owner using any method that is recognized generally in the District metropolitan area as an appropriate method for measuring space in agreements between landlords and tenants;

(B) The amount of $.149835 per square foot for each equivalent net rentable square foot of improvements for improved Class 4 Properties for any property where the Office of Taxation and Revenue does not have records indicating the net rentable area of the property, and for improved Class 5 Properties. Equivalent net rentable area shall be 90% of the gross building area. For purposes of this paragraph, gross building area shall be determined using records provided by the Office of Taxation and Revenue;

(C) The amount of $74.215 per hotel room for Class 3 Properties; and

(D) The amount of $.149835 per square foot of land area for all unimproved Class 4 Properties, and all improved Class 4 Properties that are surface parking lots, and all unimproved Class 5 Properties. Land area shall be determined using records provided by the Office of Taxation and Revenue;

(2) A 3% annual increase in the BID taxes over the current tax year rates specified in subsection (a) of this section is hereby authorized and imposed subject to the requirements of § 2-1215.08(b).

(3)(A) Notwithstanding paragraph (1) of this subsection, the BID taxes for the taxable properties in the Downtown BID shall be:

(i) The amount of $0.16 per square foot for each net rentable square foot for commercial buildings not being taxed under paragraph (1)(C) of this subsection or sub-subparagraph (ii) of this subparagraph, applying to periods beginning after September 30, 2012;

(ii) The amount of $82 per hotel room annually for property defined under § 47-813(c-3)(3), applying to periods beginning after March 31, 2013;

(iii) The amount of $0.16 per square foot of land for surface parking lots or unimproved lots without buildings or other improvements on them, applying to periods beginning after September 30, 2012; and

(iv) Subject to paragraph (2) of this subsection, the amount of $120 per unit annually for nonexempt residential properties; provided, that for a residential unit restricted to residents based upon income pursuant to a federal or District affordable housing program, the BID tax due on the unit shall be computed by applying the percentage of area median income that an eligible household must meet to participate in the affordable housing program for the unit to the amount of the BID tax that would otherwise be due.

(B) Net rentable square feet shall be the number of net rentable square feet reported to, or on record with, the Office of Tax and Revenue. If the Office of Tax and Revenue does not have records for net rentable square feet, then net rentable square feet shall be calculated as 90% of the gross building area as determined using records provided by the Office of Tax and Revenue.

§ 2–1215.52. Golden Triangle BID.

(a) The formation of the Golden Triangle BID, which shall include all taxable property within the geographic areas set forth in subsection (b) of this section, is hereby authorized and the BID taxes established in subsection (c) of this section are hereby imposed through the earlier of the expiration date of this subchapter or the termination or dissolution of the BID.

(b) The Golden Triangle BID shall be comprised of all taxable property within the following areas:

(1) Square 70, Lot 195; Square 72, Lots 75 and 76; Square 73, Lots 80, 82, 84, 800, 858, and 876; Square 74, Lots 832 and 840; all of Squares 76, 78, 78s, 85, and 86; Square 99, Lots 49, 50, 52, and 53; all of Squares 100, 105, 106, and 107; Square 115, Lots 79, 81, 82, 84, and 85; all of Squares 116, 117, 118, 126, 127, 137, 138, 139, and 140; Square 159, Lots 75, 76, 82, 84, 814, 815, 816, and 855; all of Squares 160, 161, 162, 163, 164, and 165; Square 182, Lots 827 and 828; Square 183, Lots 91, 105, 106, 107, 111, 847, 857, 879, 880, and 881; Square 184, Lots 3, 69, 71, 804, 805, 842, 845, 849, 855, and 856; all of Squares 185 and 186; and Farragut Square.

(2) Square 166, Lots 32, 33, 38, 41, 841, 859, and 7000; Square 168, Lots 50, 51, and 823; and Square 169, Lots 70 and 71.

(3) Square 166, Lot 42.

(4) Square 0115, Lots 0064, 0065, 0803, and 0804; Square 0073, Lots 0079, 0883, and 0884; Square 0182, Lot 0084; Square 0166, Lot 0861; and Square 0159, Lot 0087; provided, that Lot 0087 is included in the Golden Triangle BID effective as of October 1, 2019.

(c)(1) For the purposes of this subsection, the terms “Class 2 Property” and “Class 3 Property” shall have the same meanings as provided in § 47-813, as such provision is in effect on August 15, 2008.

(2) The BID taxes for taxable properties in the Golden Triangle BID shall be:

(A) For tax years 2009 and 2010:

(i)(I) Eleven cents for each net rentable square foot of improved Class 2 Property and Class 3 Property, excluding hotels, for any property for which the owner is required to report net rentable area to the Office of Tax and Revenue or for which the Office of Tax and Revenue has records indicating the net rentable area of the property.

(II) Net rentable square feet shall be the number of net rentable square feet reported to, or on record with, the Office of Tax and Revenue;

(ii)(I) Eleven cents for each equivalent net rentable square foot of improvements of improved Class 2 Property and Class 3 Property, excluding hotels, for any property for which the owner is not required to report net rentable area to the Office of Tax and Revenue and for which the Office of Tax and Revenue maintains no record of net rentable area.

(II) Equivalent net rentable area shall be 90% of the gross building area.

(III) Gross building area shall be determined using any method that is recognized generally in the District metropolitan area as an appropriate method for measuring gross building area; and

(iii)(I) Eight cents for each equivalent net rentable square foot of improvements of hotels.

(II) Equivalent net rentable areas shall be 90% of the gross building area;

(B) For tax years 2011 through 2018:

(i)(I) Fourteen and one-half cents for each net rentable square foot of improved Class 2 Property and Class 3 Property, excluding hotels, for any property for which the owner is required to report net rentable area to the Office of Tax and Revenue or for which the Office of Tax and Revenue has records indicating the net rentable area of the property.

(II) Net rentable square feet shall be the number of net rentable square feet reported to, or on record with, the Office of Tax and Revenue;

(ii)(I) Fourteen and one-half cents for each equivalent net rentable square foot of improvements of improved Class 2 Property and Class 3 Property, excluding hotels, for any property for which the owner is not required to report net rentable area to the Office of Tax and Revenue and for which the Office of Tax and Revenue maintains no record of net rentable area.

(II) Equivalent net rentable area shall be 90% of the gross building area; and

(iii)(I) Eleven and one-half cents for each equivalent net rentable square foot of improvements of hotels.

(II) Equivalent net rentable areas shall be 90% of the gross building area;

(C) For tax years 2019 and thereafter:

(i)(I) Seventeen cents for each net rentable square foot of improved Class 2 Property and Class 3 Property, excluding hotels, for any property for which the owner is required to report net rentable area to the Office of Tax and Revenue or for which the Office of Tax and Revenue has records indicating the net rentable area of the property.

(II) Net Rentable square feet shall be the number of net rentable square feet reported to, or on record with, the Office of Tax and Revenue;

(ii)(I) Seventeen cents for each equivalent net rentable square foot of improvements of improved Class 2 Property and Class 3 Property, excluding hotels, for any property for which the owner is not required to report net rentable area to the Office of Tax and Revenue and for which the Office of Tax and Revenue maintains no record of net rentable area.

(II) Equivalent net rentable area shall be 90% of the gross building area;

(iii)(I) Fourteen cents for each equivalent net rentable square foot of improvements of hotels.

(II) Equivalent net rentable areas shall be 90% of the gross building area.

(iv) The amount of $120 per unit annually for nonexempt residential properties; provided, that for a residential unit restricted to residents based upon income pursuant to a federal or District affordable housing program, the BID tax due on the unit shall be computed by applying the percentage of area median income that an eligible household must meet to participate in the affordable housing program for the unit to the amount of the BID tax that would otherwise be due; and

(D) For tax year 2020 and thereafter, a 3% annual increase in the BID taxes over the current year rates specified in this section is authorized, subject to the requirements of § 2-1215.08(b).

(E) For tax year 2024 and thereafter:

(i)(I) Nineteen cents for each net rentable square foot of improved Class 2 Property and Class 3 Property, excluding hotels, for any property for which the owner is required to report net rentable area to the Office of Tax and Revenue or for which the Office of Tax and Revenue has records indicating the net rentable area of the property.

(II) Net rentable square feet shall be the number of net rentable square feet reported to, or on record with, the Office of Tax and Revenue;

(ii)(I) Nineteen cents for each equivalent net rentable square foot of improvements of improved Class 2 Property and Class 3 Property, excluding hotels, for any property for which the owner is not required to report net rentable area to the Office of Tax and Revenue and for which the Office of Tax and Revenue maintains no record of net rentable area.

(II) Equivalent net rentable area shall be 90% of the gross building area;

(iii)(I) Sixteen cents for each equivalent net rentable square foot of improvements of hotels.

(II) Equivalent net rentable areas shall be 90% of the gross building area; and

(iv) The amount of $163 per residential unit annually for nonexempt residential properties; provided, that for a residential unit restricted to residents based upon income pursuant to a federal or District affordable housing program, which the BID shall identify and certify as such, the BID tax due on the unit shall be computed by applying the percentage (not to exceed 100%) of area median income that an eligible household must meet to participate in the affordable housing program for the unit to the amount of the BID tax that would otherwise be due.

§ 2–1215.53. Georgetown BID.

(a) The formation of the Georgetown BID, which shall include all taxable property zoned C or W under applicable District zoning law within the geographic areas set forth in subsection (b) of this section, is hereby authorized and the BID taxes established in subsection (c) of this section are hereby imposed through the earlier of the expiration date of this subchapter or the termination or dissolution of the BID.

(b) The Georgetown BID shall be comprised of all taxable property zoned C or W under applicable District zoning law within the following areas: along the northern boundary of M Street, N.W., between the western terminus of the Rock Creek bridge on the east and the eastern boundary of Georgetown University on the west; along 28th Street, N.W., between M Street, N.W., and Olive Street, N.W.; along 29th Street, N.W., and 30th Street, N.W., in each instance between the M Street, N.W., and Olive Street, N.W.; along 31st Street, N.W., between M Street N.W., and N Street, N.W.; along Potomac Street, N.W., 33rd Street, N.W., Bank Street, N.W., 34th Street, N.W., and 35th Street, N.W., in each instance between M Street, N.W., and Prospect Street, N.W.; along Prospect Street, N.W., between Wisconsin Avenue, N.W., and Potomac Street, N.W.; along N Street, N.W., between 31st Street, N.W., and Potomac Street, N.W.; along O Street, N.W., between 31st Street, N.W., and Potomac Street, N.W.; along Dumbarton Street, N.W., between 31st Street, N.W., and Wisconsin Avenue, N.W.; along P Street, N.W., between 32nd Street, N.W., and 33rd Street, N.W.; along Volta Street, N.W., between Wisconsin Avenue, N.W., and 33rd Street, N.W.; along Q Street, N.W., between 32nd Street, N.W., and 33rd Street, N.W.; along 33rd Street, N.W., between Dent Place, N.W., and Wisconsin Avenue, N.W.; along Reservoir Road, N.W., between 32nd Street, N.W., and 34th Street, N.W.; along R Street, N.W., between 32nd Street, N.W., and 34th Street, N.W.; along Wisconsin Avenue, N.W., between M Street, N.W., and R Street, N.W., and within the area bounded on the north by the southern boundary of M Street, N.W., on the east by Rock Creek, on the west by Key Bridge, and on the south by the Potomac River, which area also includes that portion of Pennsylvania Avenue, N.W., between 29th Street, N.W., and Rock Creek.

(c)(1) The BID taxes for taxable properties zoned C or W under applicable District zoning law in the Georgetown BID shall be:

(A) Fifteen cents per $100 of the assessed value of all taxable properties and all taxable portions of mixed use properties for each Class 3, 4, 5 and 9 taxable property within the described geographic area, and for each Class 6, 7, 8, 10, 11, and 12 mixed use property within the described geographic area for which an assessed value for the taxable portion of such property reasonably is ascertainable from District tax records; and

(B) Fifteen cents per $100 of assessed value of all taxable portions for Class 6, 7, 8, 10, 11, and 12 mixed use property within the described geographic area for which an assessed value for the taxable portion of such property reasonably is not ascertainable from District tax records, determined as follows:

(i) The aggregate square foot area for that portion of a mixed use property which is Class 3, 4, or 5 shall be adjusted in each instance by multiplying such square foot area by a factor of 2.7 (which adjusted square footage is referred to herein as the “Adjusted Taxable Area”); and

(ii) The taxable portion of a mixed use property shall be deemed to be an adjusted fraction, the numerator of which shall be the Adjusted Taxable Area and the denominator of which shall be the Adjusted Taxable Area plus the square foot area for the residential portion of such mixed use property (which fraction is referred to herein as the “Adjusted Taxable Portion”); and

(iii) The assessed value of each such mixed use property for purposes of the BID tax shall be deemed to be the Adjusted Taxable Portion thereof.

(2) For the purposes of determining the BID tax under paragraphs (1) of this subsection, the “assessed value” of each taxable property and each mixed use property for the entire 5-year term of the BID shall be fixed at the assessed value of each such property as it appears on the assessment roll of the District of Columbia as of the date of registration of the BID and irrespective of any subsequent reassessment, subject however, to the express exception that the “assessed value” of any taxable property and any mixed use property shall increase based upon and effective as of any reassessment by the District of Columbia following either (A) a sale of any property or (B) a reclassification of any property from Class 5 (vacant land and vacant buildings) to a taxable property or a mixed use property or a reclassification of any exempt property, or any residential portion of any mixed use property, to a taxable property.

(3) A 5% annual increase in the BID taxes over the current tax year rates specified in subsection (a) of this section is hereby authorized and imposed subject to the requirements of § 2-1215.08(b).

§ 2–1215.54. Capitol Hill BID.

(a) The formation of the Capitol Hill BID, which shall include all taxable property within the geographic areas set forth in subsection (b) of this section, is hereby authorized and the BID taxes established in subsection (c) of this section are hereby imposed through the earlier of the expiration date of this subchapter or the termination or dissolution of the BID.

(b) The Capitol Hill BID shall be comprised of the following areas:

(1) The geographic area bounded by a line beginning at the intersection of the center line of 3rd Street, N.W., and Constitution Avenue, N.W.; continuing east along the center line of Constitution Avenue, N.W., to the center line of Louisiana Avenue, N.W.; continuing northeast along the center line of Louisiana Avenue, N.W., to the center line of North Capitol Street; continuing north along the center line of North Capitol Street to the center line of Massachusetts Avenue; continuing southeast along the center line of Massachusetts Avenue, N.E., to the eastern edge of the sidewalk of 1st Street, N.E.; continuing north along the eastern edge of the sidewalk of 1st Street, N.E., to the center line of H Street, N.E.; continuing east on the center line of H Street, N.E., to the center line between 2nd Street, N.E., and 3rd Street, N.E.; continuing south along the center line between 2nd Street, N.E., and 3rd Street, N.E., to the center line between D Street, N.E., and E Street, N.E. (deviating, if necessary, so as to include alley properties and the Capitol Courts complex); continuing east along the center line between D Street, N.E., and E Street, N.E., to the center line of 4th Street, N.E.; continuing south along the center line of 4th Street, N.E., to the center line of D Street, N.E.; continuing east along the center line of D Street, N.E., to the center line between 6th Street, N.E., and 7th Street, N.E.; continuing south along the center line between 6th Street, N.E., and 7th Street, N.E., to the center line between C Street, N.E., and Constitution Avenue, N.E.; continuing west along the center line between C Street, N.E., and Constitution Avenue, N.E., to the center line between 3rd Street, N.E., and 4th Street, N.E. (having moved south along the center line of 6th Street, N.E., and north along the center line of 4th Street, N.E., so as to remain along the center line between C Street, N.E., and Constitution Avenue, N.E.); continuing south along the center line between 3rd Street, N.E., and 4th Street, N.E., to the center line between A Street, N.E., and East Capitol Street; continuing east along the center line between A Street, N.E., and East Capitol Street, to the center line between 5th Street, N.E., and 6th Street, N.E.; continuing south along the center line between 5th Street, N.E., and 6th Street, N.E., to the center line of East Capitol Street; continuing south along the center line between 5th Street, S.E., and 6th Street, S.E., to the center line between A Street, S.E., and East Capitol Street; continuing west along the center line between A Street, S.E., and East Capitol Street, to the center line between 3rd Street, S.E., and 4th Street, S.E.; continuing south along the center line between 3rd Street, S.E., and 4th Street, S.E., to the center line of Independence Avenue, S.E.; continuing east along the center line of Independence Avenue, S.E. to the center line of 4th Street, S.E.; continuing south along the center line of 4th Street, S.E., to the center line of North Carolina Avenue, S.E.; continuing southwest along the center line of North Carolina Avenue, S.E., to the center line of 3rd Street, S.E. (that point being the intersection of 3rd Street, S.E., and D Street, S.E.); continuing west along the center line of D Street, S.E., to the center line of 2nd Street, S.E.; continuing south along the center line of 2nd Street, S.E., to the center line of North Carolina Avenue, S.E.; continuing southwest along the center line of North Carolina Avenue, S.E., to the center line of E Street, S.E.; continuing west along the center line of E Street, S.E., to the center line of Canal Street, S.E.; continuing northwest along the center line of Canal Street, S.E., to the center line of South Capitol Street; continuing northwest along the center line of Washington Avenue, S.W. (the continuation of Canal Street) to the center line of Independence Avenue, S.W.; continuing west along the center line of Independence Avenue, S.W., to the center line of 3rd Street, S.W.; continuing north along the center line of 3rd Street, S.W., and then along the center line of 3rd Street, N.W., to the center line of Constitution Avenue, N.W. (the beginning point);

(2)(A) Pennsylvania Avenue, S.E., from the center line of 4th Street, S.E., to the center line of 17th Street, S.E. (Barney Circle); and

(B) The lots abutting the section of Pennsylvania Avenue, S.E., set forth in subparagraph (A) of this paragraph;

(3)(A) D Street, S.E., from the center line of 7th Street, S.E., to the center line of 9th Street, S.E., and the lots abutting that section of D Street, S.E.; and

(B) The lots abutting the section of D Street, S.E., set forth in subparagraph (A) of this paragraph;

(4)(A) E Street, S.E., from the center line of 10th Street, S.E., to the center line of 12th Street, N.E.; and

(B) The lots abutting the section of E Street, S.E., set forth in subparagraph (A) of this paragraph;

(5)(A) G Street, S.E., from the center line of 13th Street, S.E., to the center line of 14th Street, S.E.; and

(B) The lots abutting the section of G Street, S.E., set forth in subparagraph (A) of this paragraph;

(6)(A) The portion of Potomac Avenue, S.E., north of its center line, from the center line of 13th Street, S.E., to the northern intersection of 13th Street, S.E., with the center line of Pennsylvania Avenue, S.E.; and

(B) The lots abutting the northern section of Potomac Avenue, S.E., set forth in subparagraph (A) of this paragraph;

(7) The geographic area bounded by a line beginning at the intersection of the center line of 6th Street, S.E., and the center line of Pennsylvania Avenue, S.E.; continuing north along the center line of 6th Street, S.E., to the center line of North Carolina Avenue, S.E.; continuing northeast along the center line of North Carolina Avenue, S.E., to the center line of 7th Street, S.E.; continuing north along the center line of 7th Street, S.E., to the center line between Independence Avenue, S.E., and A Street, S.E.; continuing east along the center line between Independence Avenue, S.E., and A Street, S.E., to the center line between 7th Street, N.E., and 8th Street, N.E.; continuing south along the center line between 7th Street, N.E., and 8th Street, N.E., to the center line of Pennsylvania Avenue, S.E.; continuing northwest along the center line of Pennsylvania Avenue, S.E., to the center line of 6th Street, S.E. (the beginning point); and

(8) The geographic area bounded by a line beginning at the intersection of the center line of 7th Street, S.E., and the center line of Pennsylvania Avenue, S.E.; continuing south along the center line of 7th Street, N.E., to the center line of I Street, S.E.; continuing east along the center line of I Street, S.E., to the center line between 8th Street, S.E., and 9th Street, S.E.; continuing north along the center line between 8th Street, S.E., and 9th Street, S.E., to the center line between E Street, S.E., and G Street, S.E.; continuing east along the center line between E Street, S.E., and G Street, S.E., to the center line between 10th Street, S.E., and 11th Street, S.E.; continuing south along the center line between 10th Street, S. E., and 11th Street, S.E., to the northern border of the Southeast/Southwest Freeway; continuing east along the northern border of the Southeast/Southwest Freeway to the center line of 11th Street, S.E.; continuing north along the center line of 11th Street, S.E., to the center line of K Street, S.E.; continuing east along the center line of K Street, S.E., to the center line between 11th Street, S.E., and 12th Street, S.E.; continuing north along the center line between 11th Street, S.E., and 12th Street, S.E., to the center line of I Street, S.E.; continuing east along the center line of I Street, S.E., to the center line of 12th Street, S.E.; continuing north along the center line of 12th Street, S.E., to the center line of G Street, S.E.; continuing east along the center line of G Street, S.E., to the center line between 12th Street, S.E., and 13th Street, S.E.; continuing north along the center line between 12th Street, S.E., and 13th Street, S.E., to the center line of Pennsylvania Avenue, S.E.; continuing northwest along the center line of Pennsylvania Avenue, S.E., to the center line of 7th Street, S.E. (the beginning point).

(c)(1) The BID taxes for properties in the Capitol Hill BID shall be:

(A) Fifteen cents per $100 of 90% of the assessed value of all taxable properties for which the District provides an integrated assessment of both the commercial and residential components; and

(B) Fifteen cents per $100 of 100% of the assessed value of all taxable properties for which the District does not provide an integrated assessment of the commercial and residential components.

(2) Notwithstanding paragraph (1) of this subsection, the total BID tax due for tax year 2013 on a single tax lot or a group of functionally integrated contiguous tax lots under common ownership in the Capitol Hill BID shall not exceed $75,000, with the amount to be allocated among the lots in proportion to their assessed values as determined by the Office of Tax and Revenue.

(3) Notwithstanding paragraph (1) of this subsection, the total BID tax due for tax years 2014 and thereafter on a single tax lot or a group of functionally integrated contiguous tax lots under common ownership in the Capitol Hill BID shall not exceed $125,000 in any tax year, with the amount to be allocated among the lots in proportion to their assessed values as determined by the Office of Tax and Revenue.

§ 2–1215.55. Mount Vernon Triangle BID.

(a) The formation of the Mount Vernon Triangle BID, which shall include all taxable property within the geographic areas set forth in subsection (b) of this section, is hereby authorized and the BID taxes established in subsection (c) of this section are hereby imposed through the expiration date of this subchapter or the termination or dissolution of the BID.

(b) The Mount Vernon Triangle BID shall be comprised of the geographic area bounded by a line that begins at the center of the intersection of Seventh Street, N.W., and New York Avenue, N.W.; and continues northeast down the middle of New York Avenue, N.W., until it reaches New Jersey Avenue, N.W.; and continues southeast down the middle of New Jersey Avenue, N.W., until it reaches Massachusetts Avenue, N.W.; and continues northwest down the middle of Massachusetts Avenue, N.W. until it reaches Sixth Street, N.W., and continues north down the middle of Sixth Street, N.W., until it reaches K Street, N.W.; and continues west down the middle of K Street, N.W., until it reaches Seventh Street, N.W.; and continues north down the middle of Seventh Street, N.W., until it reaches the center of the intersection of Seventh Street, N.W., and New York Avenue, N.W. (the beginning point).

(c)(1) The BID taxes for the taxable properties in the Mount Vernon Triangle BID shall be:

(A) The amount of $.35 per square foot of land;

(B) The amount of $.15 per rentable square foot of commercial buildings; provided, that any supermarket that is receiving a tax incentive pursuant to § 47-3802 shall not be required to pay the BID tax during the term of the incentive;

(C) The amount of $90 per hotel room annually; and

(D)(i) The amount of $120 per unit annually for taxable residential properties.

(ii) If a residential unit is restricted to residents based upon income pursuant to a Federal or District affordable housing program, the BID tax due on the unit shall be computed by applying the percentage of area median income eligible residents must meet to participate in the affordable housing program to the amount of the BID tax which would otherwise be due.

(2) Subject to the requirements of § 2-1215.08, the BID taxes set forth in this subsection may be increased by 5%.

§ 2–1215.56. Adams Morgan BID.

(a) Subject to review and approval by the Mayor under §§ 2-1215.05 and 2-1215.06, the formation of the Adams Morgan BID, including taxable property within the geographic areas set forth in subsection (b) of this section, is hereby authorized and the BID taxes established in subsection (c) of this section are hereby imposed through the expiration date of this subchapter or the termination or dissolution of the BID.

(a-1)(1) Notwithstanding any other provision of law or order to the contrary, the initial term of the Adams Morgan BID began, pursuant to Mayor’s Order 2005-121, dated August 22, 2005, on June 30, 2005, and expired on September 30, 2011.

(2) This subsection shall apply as of January 1, 2010.

(b) The Adams Morgan BID shall be comprised of the geographic area along 17th Street, N.W., between Columbia Road, N.W., and Fuller Street, N.W.; along 18th Street, N.W., between Columbia Road, N.W., and Florida Avenue, N.W.; along Adams Mill Road, N.W., between Columbia Road, N.W., and Lanier Place, N.W.; along Belmont Road, N.W., between 18th Street, N.W., and Columbia Road, N.W.; along Biltmore Street, N.W., between Columbia Road, N.W., and Cliffbourne Place, N.W.; along California Street, N.W., between 18th Street, N.W., and Florida Avenue, N.W.; along Champlain Street, N.W., between Columbia Road, N.W., and Kalorama Road, N.W.; along Columbia Road, N.W., between 16th Street, N.W., and Wyoming Avenue, N.W.; along the north side of Florida Avenue, N.W., between 19th Street N.W., and California Street, N.W.; along Kalorama Road, N.W., between 18th Street, N.W., and Champlain Street, N.W.; along Lanier Place, N.W., between Ontario Road, N.W., and Adams Mill Road, N.W.; along Ontario Road, N.W., between Columbia Road, N.W., and Lanier Place, N.W.; along the north side of U Street, N.W., between 18th Street, N.W., and Florida Avenue, N.W.; along Vernon Street, N.W., between 18th Street, N.W., and 19th Street, N.W.; along Wyoming Avenue, N.W., between 19th Street, N.W., and Columbia Road, N.W.

(c) The BID taxes for the taxable properties in the Adams Morgan BID shall not exceed $.21 for each $100 in assessed value for all taxable properties and all commercial portions of mixed use properties; provided, that any change in the BID taxes from the current tax year rates shall be made subject to the requirements of § 2-1215.08.

§ 2–1215.57. NoMa Improvement Association BID.

(a) Subject to review and approval by the Mayor under the provisions of §§ 2-1215.04 and 2-1215.05, the formation of the NoMa Improvement Association BID, including taxable property within the geographic areas set forth in subsection (b) of this section, is hereby authorized and the BID taxes established in subsection (c) of this section are hereby imposed through the expiration date of this subchapter or the termination or dissolution of the BID.

(b)(1) The NoMa Improvement Association BID shall be comprised of the geographic area bounded by a line that starts at the center of the street at the intersection of Massachusetts Avenue, N.E., and 1st Street, N.E.; continuing north along the center line of 1st Street, N.E., to the center line of H Street, N.E.; continuing east along the center line of H Street, N.E., to the center line of 2nd Street, N.E.; continuing north along the center line of 2nd Street, N.E., to the center line of K Street, N.E.; continuing east along the center line of K Street, N.E., to the center line of 3rd Street, N.E.; continuing north along the center line of 3rd Street, N.E. (and including Square 0774, Lot 0058), to the center line of M Street, N.E.; continuing east along the center line of M Street, N.E., to 4th Street, N.E.; continuing along the center line of 4th Street, N.E., to the center line of Florida Avenue, N.E.; continuing northwest along the center line of Florida Avenue, N.E., until it crosses the WMATA rail line; continuing northeast along the boundary of the WMATA rail line until it crosses R Street, N.E.; continuing west along the center line of R Street, N.E., to Eckington Place, N.E.; continuing south along the center line of Eckington Place, N.E., to the center line of Q Street, N.E.; continuing west along the center line of Q Street, N.E. (and including Square 3519, lots 0043, 0063, and 0070), to the center line of North Capitol Street (but excluding Square 3516, lots 0104 through 0114 and 0118 through 0133, and 0807); continuing south along the center line of North Capitol Street to the center line of Eye Street, N.W.; continuing west along the center line of Eye Street, N.W., to the center line of New Jersey Avenue, N.W.; continuing southeast along the center line of New Jersey Avenue, N.W., to the center line of Massachusetts Avenue, N.W., continuing southeast along Massachusetts Avenue, N.W., to the center line of 1st Street, N.E. (the starting point).

(2) Notwithstanding paragraph (1) of this subsection, any property within the NoMa Improvement Association BID geographic area that is also within the geographic area of the Downtown BID shall not be deemed part of the NoMa Improvement Association BID (“overlapping properties”) until October 1, 2007, conditioned upon the receipt of a resolution of the Board of Directors of the Downtown BID agreeing to release any overlapping properties from the Downtown BID.

(c)(1) The BID taxes for the taxable properties in the NoMa Improvement Association BID shall be:

(A) The amount of $0.15 per rentable square foot for buildings of 50,000 square feet or more, which rate shall become effective one year after issuance of final certificate of occupancy; provided, that those buildings which have a certificate of occupancy or other District license for distribution, manufacturing, industrial, storage, or similar warehouse use shall be assessed at the rate set forth in subparagraph (B) of this paragraph;

(B) The amount of $0.05 per $100 of the prior year’s assessed value of all buildings that are less than 50,000 square feet or other unimproved land;

(C) The amount of $90 per hotel room annually; and

(D) The amount of $120 per unit annually for taxable residential condominium properties.

(2) A 4% increase in the BID taxes over the current tax year rates specified in subsection (a) of this section is hereby authorized subject to the requirements of § 2-1215.08(b).

§ 2–1215.58. Capitol Riverfront BID.

(a) Subject to review and approval by the Mayor under the provisions of §§ 2-1215.04 and 2-1215.05, the formation of the Capitol Riverfront BID, including taxable property within the geographic area set forth in subsection (b) of this section, is hereby authorized and the BID taxes established in subsection (c) of this section are hereby imposed through the expiration date of this subchapter or the termination or dissolution of the BID.

(b) The Capitol Riverfront BID shall be comprised of the geographic area bounded by a line beginning at the intersection of an extension south of the center line of 2nd Street, S.W., and the northern bank of the Anacostia River; continuing north along extension of the center line of 2nd Street, S.W., to the center line of 2nd Street, S.W.; continuing north along the center line of 2nd Street, S.W., to the center line of Q Street, S.W.; continuing east along the center line of Q Street, S.W., to the center line of Half Street, S.W.; continuing north along the center line of Half Street, S.W., to the center line of P Street, S.W.; continuing east along the center line of P Street, S.W., to the center line of South Capitol Street; continuing north along the center line of South Capitol Street to the southern boundary of the Southeast-Southwest Freeway (I-395); continuing southeast along the southern boundary of the Southeast-Southwest Freeway (I-395) to the intersection of an extension south of the center line of 15th Street, S.E.; continuing south along the extension of the center line of 15th Street, S.E., to the northern bank of the Anacostia River; continuing southwest along the northern bank of the Anacostia River to the center line of 2nd Street, S.W.

(c)(1) The BID taxes for the taxable properties in the Capitol Riverfront BID shall be:

(A)(i) $0.17 per square foot for commercial buildings greater or equal to 8,000 square feet, and $0.17 per lot square foot or $0.09 per $100 of assessed value, whichever is less, for commercial buildings less than 8,000 square feet; provided, that the BID tax imposed on any such real property shall not exceed $100,000 annually;

(ii) For the purposes of this subparagraph, the term "per lot square foot" means each square foot of land attributed to the lot as reflected in the records of the Office of Tax and Revenue.

(B) $126 per unit for residential units annually;

(C) $100 per hotel room annually;

(D) $0.17 per square foot for land or buildings with existing active industrial, utility, or storage use;

(E) $0.08 per square foot for real property within the new proposed Frederick Douglass Memorial Bridge right-of-way; and

(F) $0.38 per square foot for unimproved land that is up to 88,000 square feet, $0.075 per square foot for unimproved land that is 88,000 to 200,000 square feet, and $0.20 per square foot for unimproved land that is greater than 200,000 square feet; provided, that the BID tax imposed on any such unimproved land shall not exceed $100,000 annually.

(2) To the extent that a building that is subject to the BID tax is constructed pursuant to a ground lease on land that is exempt from real property taxes, the assessed value of the real property for purposes of the BID tax shall include the value of the building and the leasehold interest, possessory interest, beneficial interest, or beneficial use of the land, and the lessee or user of the land shall be assessed the corresponding BID tax, which shall be a personal liability of the lessee. Delinquencies shall be collected in the same manner as possessory interest taxes under § 47-1005.01 or as otherwise provided in this subchapter.

(3) A 5% annual increase in the BID taxes over the current tax year rates specified in paragraph (1) of this subsection is authorized subject to the requirements of § 2-1215.08(b).

(4) For the purposes of this subsection, the real property located in Square 770, Lot 802, designated as the DOT PILOT Area under the DOT Pilot Revision Emergency Approval Resolution of 2006, effective October 18, 2006 (Res. 16-845; 53 DCR 8970), shall be deemed a taxable property.

§ 2–1215.59. Anacostia BID.

(a) Subject to review and approval by the Mayor under the provisions of §§ 2-1215.04 and 2-1215.05, the formation of the Anacostia BID, which shall include all taxable property within the geographic areas set forth in subsection (b) of this section, is authorized and the BID taxes established in subsection (c) of this section are imposed through the earlier of the expiration date of this subchapter or the termination or dissolution of the BID.

(b) The Anacostia BID shall be comprised of the geographical area which is delineated as follows:

(1) All lots bordering Good Hope Road, S.E., between the Anacostia River and the intersection with 18th Street, S.E.;

(2) All lots bordering Martin Luther King, Jr. Avenue, S.E., between S Street, S.E., and the intersection with Magnolia Street, S.E.;

(3) All lots bordering Howard Road, S.E., between Martin Luther King, Jr. Avenue, S.E., and the intersection with Anacostia Drive, S.E.;

(4) All lots bordering Anacostia Drive, S.E., between Howard Road, S.E., and the intersection with Good Hope Road, S.E.; and

(5) All lots bordering Shannon Place, S.E., between U Street, S.E., and Chicago Street, S.E.

(c) The BID taxes for the taxable properties in the Anacostia BID shall not exceed $0.19 per $100.00 of assessed value.

§ 2–1215.60. Southwest BID.

(a) Subject to the requirements of §§  2-1215.05 and 2-1215.06, the formation of the Southwest BID, including nonexempt real property within the geographic area set forth in subsection (b) of this section, is authorized and the BID taxes established in subsection (c) of this section shall be imposed through the expiration of this subchapter or the termination or dissolution of the BID.

(b) The Southwest BID shall be comprised of the geographic area bounded by a line beginning the geographic area bounded by a line that starts at the center of the street at the intersection of 15th Street, S.W., and Independence Avenue, S.W.; continuing east along the center line of Independence Avenue, S.W., to the center of the intersection of Independence Avenue, S.W., and 2nd Street, S.W.; continuing south along the center line of 2nd Street, S.W., to the western boundary of the Southeast-Southwest Freeway (I-395); continuing south and southeast along the southwestern boundary of the Southeast-Southwest Freeway (I-395) to the intersection of the Southeast-Southwest Freeway (I-395) and South Capitol Street; continuing south along the center line of South Capitol Street to the intersection of the center line of South Capitol Street and the southern boundary of M Street, S.W.; continuing along southern boundary of M Street, S.W., to the center of the intersection of southern boundary of M Street, S.W., and center line of 6th Street, S.W.; continuing along the center line of 6th Street, S.W., to the intersection of 6th Street, S.W., and the water’s edge of the Washington Channel; continuing along the bank of the Washington Channel northwest to the intersection of the bank of the Washington Channel and 15th Street, S.W.; continuing along the center line of 15th Street, S.W., to the center of the intersection of 15th Street, S.W., and Independence Avenue, S.W.; provided, that the lots located in Squares 0267, 0268, and 0299 shall not be included within the Southwest BID.

(c)(1) The BID taxes for the nonexempt properties in the Southwest BID shall be:

(A)(i) The amount of $0.15 per square foot for each net rentable square foot of improved Class 2 Property, excluding property defined in § 47-813(c-3)(3) and property covered by sub-subparagraph (iii) of this subparagraph for any property for which the owner is required to report net rentable area to the Office of Tax and Revenue or for which the Office of Tax and Revenue has records indicating the net rentable area of the property;

(ii) The amount of $0.15 per square foot for each equivalent net rentable square foot of improved Class 2 Property, excluding property defined in § 47-813(c-3)(3) and property covered by sub-subparagraph (iii) of this subparagraph for any property for which the owner is not required to report net rentable area to the Office of Tax and Revenue and for which the Office of Tax and Revenue maintains no record of net rentable area. Equivalent net rentable area shall be 90% of gross building area. Gross building area shall be determined using any method that is generally recognized in the Washington Metropolitan area as an appropriate method for measuring gross building area;

(iii) Notwithstanding sub-subparagraphs (i) and (ii) of this subparagraph, the total BID tax due on a property or assembly of properties (if the property occupies more than one taxable lot) shall not exceed $100,000 in any year; provided, that this cap may be increased each year proportionately to the applicable annual increase in the BID tax, regardless of whether the BID tax is increased pursuant to paragraph (3) of this subsection or other law, but shall not include any property covered by paragraph (4) of this subsection;

(B) The amount of $0.35 per gross building area for improved vacant and the amount of $0.35 per gross square feet of land area of unimproved vacant Class 2 Property, Class 3 Property, and Class 4 Property;

(C) The amount of $100 per hotel or motel room for property defined in § 47-813(c-3)(3); and

(D) The amount of $120 per unit of Class 1 Property that contains 10 or more residential units available for rental for nontransient residential dwelling purposes.

(2) To the extent that a building that is subject to the BID tax is constructed pursuant to a ground lease on land that is exempt from real property taxes, the assessed value of the real property for purposes of the BID tax shall include the value of the building and the leasehold interest, possessory interest, beneficial interest, or beneficial use of the land, and the lessee or use of the land shall be assessed the corresponding BID tax, which shall be a personal liability of the lessee. Delinquencies shall be collected in the same manner as possessory interest taxes under § 47-1005.01, or as otherwise provided in this subchapter.

(3) A 4% annual increase in the BID taxes over the current tax year rates specified in paragraph (1) of this subsection is authorized subject to the requirements of §  2-1215.08(b) [§  2-1215.09(b)].

(4) Notwithstanding paragraph (1)(A)(iii) of this subsection, the total BID tax payable with respect to any property that is an integral part of a development larger than 5 acres and the owner of which is required to contribute to the maintenance and improvement of roadways and sidewalks adjacent to the property or otherwise associated with the development in lieu of the District having that responsibility shall be reduced by 30% from that which would otherwise be payable with respect to such property, to reflect the reduced services provided by the Southwest BID with respect to the property.

§ 2–1215.61. Dupont Circle BID.

(a) Subject to review and approval by the Mayor pursuant to §§ 2-1215.05 and 2-1215.06, the formation of the Dupont Circle BID, including nonexempt real property within the geographic area set forth in subsection (b) of this section, is authorized and the BID taxes established in subsection (c) of this section are imposed through the expiration of this subchapter or the termination or dissolution of the BID.

(b) The Dupont Circle BID shall be comprised of the geographic area bounded by a line that begins at the southwest corner of Square 67, the beginning being the intersection of the north line of P Street, N.W., and the east line of 22nd Street, N.W., and leaving the beginning and running with the boundary of the proposed Dupont Circle BID with the east line of 22nd Street, N.W., north, to the north line of a 15-foot public alley in Square 67; with the north line of the public alley, east, to the northerly line of the 30-foot public alley in Square 67; with the northerly line of the 30-foot public alley, southeasterly, to a break in the north line of the public alley; continuing along the north line of the 30-foot public alley, east, to the southeasterly line of a 15-foot public alley in Square 67; thence with the southeasterly line of the public alley, northeasterly, to the southwesterly line of Massachusetts Avenue, N.W.; thence running with the southwesterly line of Massachusetts Avenue, N.W., southeasterly, to the west line of 21st Street, N.W.; thence running through Massachusetts Avenue, N.W., northeasterly, to the intersection of the south line of Q Street, N.W., and the east line of 21st Street, N.W.; thence running along the south line of Q Street, N.W., east, to the south extension of the west line of Lot 151, Square 93; thence running across Q Street, N.W., with the south extension of the west line of Lot 151, Square 93, and with the west lines of Lots 151 and 154, Square 93, north, to a point on the public alley system in Square 93; thence running with a northwest line of Lot 154, Square 93, northeasterly, to a common corner of Lots 154 and 155, Square 93; thence with the southwesterly line of Lot 155, Square 93, northwesterly, to the east line of a 15-foot public alley in Square 93; thence running with the east line of the public alley, north, to the south line of Hillyer Place, N.W.; thence running across Hillyer Place, N.W., northwesterly, to the intersection of the north line of Hillyer Place, N.W., and the northeasterly line of a 15-foot public alley in Square 93; thence running with the northeasterly line of the public alley, northwesterly, to the north line of a 16-foot public alley in Square 93; thence running with the north line of the public alley, west, to a west line of Lot 830, Square 93; thence running with a west line of Lot 830, Square 93, north, to a north line of Lot 830, Square 93; thence running with a north line of Lot 830, Square 93, east, to a west line of Lot 830, Square 93; thence running with a west line of the Lot 830, Square 93, north, to the south line of R Street, N.W.; thence running through R Street, N.W., northwesterly, to the southwest corner on R Street, N.W., of Lot 65, Square 92; thence running with a west line of Lot 65, Square 92, north, to a line in the west boundary of the Lot 65, Square 92; thence running with the line, east, to a line in the west boundary of Lot 65, Square 92; thence running with the line, north, to a line in the west boundary of Lot 65, Square 92; thence running with the line, west, to a line in the west boundary of Lot 65, Square 92; thence running with the line, north, to a south line of the Lot 65, Square 92; thence running with the south line, west, to a west line of Lot 65, Square 92; thence running with the west lines of Lots 65 and 37, Square 92, north, to the northeasterly line of a 4-foot public alley; thence running with the northeasterly lines of the 4-foot public alley and a 12-foot public alley in Square 92, northwesterly, to the north line of a 12-foot public alley in Square 92; thence running with the north line of the public alley, west, to the east line of 21st Street, N.W.; thence running with the east line of 21st Street, N.W., north, to the south line of S Street, N.W.; thence running through S Street, N.W., and Florida Avenue, N.W., northwesterly, to the north line of S Street, N.W., and the southwest corner of Lot 37, Square 2532; thence running with the west line of the Lot 37, Square 2532, north, to the south line of a 15-foot public alley in Square 2532; thence running through the public alley, northwesterly, to the southwest corner of Lot 32, Square 2532; thence running with the west line of Lot 32, Square 2532, and the west line of Lot 31, Square 2532, north, to the south line of Bancroft Place, N.W.; thence running through Bancroft Place, N.W., northwesterly, to the intersection of the north line of Bancroft Place, N.W., and the east line of a 15-foot public alley in Square 2531; thence running with the east line of the alley, northerly, to a break in the east line of the alley; thence continuing along the easterly line of the alley, northwesterly, to the southeasterly line of Leroy Place, N.W.; thence running through Leroy Place, N.W., northwesterly, to the northwesterly line of Leroy Place, N.W. and the southwesterly corner of Lot 310, Square 2530; thence running with the southwesterly line of Lot 310, Square 2530, northwesterly, to the northwest corner of the lot; thence running with the northwesterly line of Lot 310, Square 2530, northeast, to the southwesterly corner of Lot 820, Square 2530; thence running with the southwesterly line of the Lot 820, Square 2530, northwesterly, to the southeasterly line of California Street, N.W.; thence running with the southeasterly line of California Street, N.W., northeasterly, to the southwesterly line of Connecticut Avenue, N.W.; thence running through the Connecticut Avenue, N.W., northeasterly, to the northwesterly corner of U.S. Reservation 303 (also referred to as Lot 801, Square South of 2536); thence running with the southeasterly line of California Street, N.W., through Columbia Road, N.W., northeasterly, to a northwest corner of former Lot 41, Square 2535 (now known for assessment and taxation purposes as Lots 832, 833, and 7000-7006, Square 2535); thence running along the northeasterly boundary of former Lot 41, Square 2535, southeasterly, to a break in the northeasterly boundary; thence continuing along the northeasterly boundary of former Lot 41, Square 2535, southeasterly, to the southwesterly line of 19th Street, N.W.; thence running with the southwesterly line of 19th Street, N.W., southeasterly, to the northwesterly line of Florida Avenue, N.W.; thence running with the northwesterly line of Florida Avenue, N.W., crossing T Street, N.W., southwesterly, to the north extension of the west line of 20th Street, N.W.; thence running across Florida Avenue, N.W., with the north extension and with the west line of 20th Street, N.W., south, to the south corner of Square 91 and the northeasterly line of Connecticut Avenue, N.W.; thence running through R Street, N.W., southeasterly, to the northwest corner of Square 111; thence running with the south line of R Street, N.W., east, to the west line of a 15-foot public alley in Square 111; thence running with the west line of the alley, south, to a break in the west line of the alley; thence continuing with the west line of a 15-foot public alley, southeasterly, to the west extension of the north line of Lot 820, Square 111; thence running with the north extension and the north line of Lot 820, Square 111, east, to the northeast corner of the Lot 820, Square 111, and the west line of an irregularly shaped public alley in Square 111; thence running with the west line of the public alley, south, to a break in the west line of the public alley; thence continuing with the west line of the irregularly shaped public alley, southeasterly, to the north line of Lot 824, Square 111; thence running along the north line of Lot 824, Square 111, east, to the westerly line of a 10-foot public alley in Square 111; thence running with the westerly line of the 10-foot public alley, southeasterly, to the west extension of the north line of Lot 54, Square 111; thence running with the west extension and the north line of Lot 54, Square 111, east, to the west line of 19th Street, N.W.; thence running with the west line of 19th Street, N.W., through Q Street, N.W., south, to the south line of Q Street, N.W.; thence running with the south line of Q Street, N.W., through 19th Street, N.W., east, to the northeast corner on Q Street, N.W., of Lot 4, Square 135; thence running with a northeasterly boundary of Lot 4, Square 135, south, to a northeast line of Lot 4, Square 135; thence continuing with a northeasterly boundary of Lot 4, Square 135, southeasterly, to the northwesterly line of New Hampshire Avenue, N.W.; thence running with the northwesterly line of New Hampshire Avenue, N.W., southwesterly, to the northeasterly line of Dupont Circle and the southeasterly corner of Lot 4, Square 135; thence running through New Hampshire Avenue, N.W., southeasterly, to a northwest corner of Lot 35, Square 136, and the southeast line of New Hampshire Avenue, N.W.; thence running with the southeasterly line of New Hampshire Avenue, N.W., northeasterly, to the north most corner of Lot 35, Square 136; thence running with a northeast line of Lot 35, Square 136, southeasterly, to a northeast corner of Lot 35, Square 136; thence continuing with a northeast line of Lot 35, Square 136, southeasterly, to a northeast corner of Lot 35, Square 136; thence continuing with a northeast line of Lot 35, Square 136, southeasterly, to the north line of Lot 1, Square 136; thence running with the north line of Lot 1, Square 136, west, to the northeast corner of Lot 34, Square 136; thence running with the east line of Lot 34, Square 136, south, to the north line of P Street, N.W.; thence running with the north line of P Street, N.W., West, to the southwest corner of Lot 34, Square 136; thence running through P Street, N.W., southerly, to the north point of curvature of U.S. Reservation 61; thence continuing through P Street, N.W., with a north line of U.S. Reservation 61 and its east extension, easterly, to the west line of 19th Street, N.W.; thence running with the west line of 19th Street, N.W., south, to the southeasterly extension of the southwest line of U.S. Reservation 61; thence running through Massachusetts Avenue, N.W., with the southeasterly extension and the southwest line of U.S. Reservation 61, northwesterly, to the south point of the curvature of U.S. Reservation 61; thence running through Massachusetts Avenue, N.W., Connecticut Avenue, N.W., 19th Street, N.W., and New Hampshire Avenue, N.W., on the arc of Dupont Circle to the right, southwesterly, to the northwesterly line of New Hampshire Avenue, N.W. and a northeast corner of Lot 816, Square 114; thence running with the northwesterly line of New Hampshire Avenue, N.W., southwesterly, to the north line of O Street, N.W.; thence running with the north line of O Street, N.W., west, to the east line of 20th Street, N.W.; thence running with the east line of 20th Street, N.W., north, to the east extension of the south line of Lot 99, Square 96; thence running through 20th Street, N.W., with the east extension, and along the south line of Lot 99, Square 96, and its west extension, west, to the east line of Lot 44, Square 96; thence running with the east line of Lot 44, Square 96, south, to the south line of the lot; thence running along the south lines of Lots 44, 43, 42, and 41, Square 96, and across Hopkins Street, N.W., and along the south lines of Lot 21, 20, 19, 18, 17, and 104, Square 96, and across 21st Street, N.W., and along the south line of Lot 93, Square 68, west, to an east line of Lot 96, Square 68; thence running with an east line of the Lot 96, Square 68, south, to a south line of the lot; thence running with the south line of Lot 96, Square 68, west, to a break in the south boundary of the lot; thence continuing along a south line of Lot 96, Square 68, northwesterly, to a break in the south boundary of the lot; thence continuing along a south line of Lot 96, Square 68, and the south line of Lot 76, Square 68, and its west extension, west, to the east line of Lot 88, Square 68; thence running with the east line of Lot 88, Square 68, and its south extension across a 30-foot public alley in Square 68, south, to the northeast corner of Lot 818, Square 68; thence running with a north line of Lot 818, Square 68, west, to a break in the north boundary of Lot 818, Square 68; thence continuing along a north line of Lot 818, Square 68, south, to a break in the north boundary of Lot 818, Square 68; thence running with a north line of Lot 818, Square 68, and the north line of Lot 86, Square 68, west, to the east line of 22nd Street, N.W.; thence running with the east line of 22nd Street, N.W., and its north extension across P Street, N.W., north, to the place of beginning.

(c)(1) The BID taxes for the nonexempt properties in the Dupont Circle BID shall be as follows:

(A) Except as provided in subparagraph (B) of this paragraph, the amount that is the product of $.09 per $100 multiplied by the tax year's assessed value of a particular Class 2, 3, or 4 property, up to $70 million annually. Any amount of the tax year's assessed value of such property above $70 million shall be taxed in the amount that is the product of $.02 per $100 for the first tax year, increased by the rate of $.005 per $100 each tax year thereafter until the total BID tax rate is $.09 per $100, multiplied by the tax year's assessed value of such property above $70 million.

(B) The amount of $120 per hotel or motel room annually, for property defined under § 47-813(c-3)(3).

(C) The amount of $120 per unit annually of Class 1 property that contains 5 or more residential units available for rental for non-transient residential dwelling purposes that were placed in service after July 17, 1985. All other Class 1 property is exempt from this BID tax.

(2) To the extent that a building that is subject to the BID tax is constructed pursuant to a ground lease on land that is exempt from real property taxes, the assessed value of the real property for purposes of the BID tax shall include the value of the building and the leasehold interest, possessory interest, beneficial interest, or beneficial use of the land, and the lessee or user of the land shall be assessed the corresponding BID tax, which shall be collected in the same manner as possessory interest taxes under § 47-1005.01, or as otherwise provided in this subchapter.

(3) A 3% annual increase in the BID taxes over the current tax year rates specified in paragraph (1) of this subsection is authorized subject to the requirements of § 2-1215.08(b). Notwithstanding the annual increase authorized in this paragraph, all tax amounts shall remain fixed for the first 5 years.

(4) BID taxes under this section shall be imposed and become effective for tax years beginning after September 30, 2018, notwithstanding any other provision to the contrary under this subchapter.

§ 2–1215.62. Friendship Heights BID.

(a) Subject to review and approval by the Mayor pursuant to §§ 2-1215.05 and 2-1215.06, the formation of the Friendship Heights BID, including nonexempt real property within the geographic area set forth in subsection (b) of this section, is authorized and the BID taxes imposed in subsection (c) of this section shall be imposed, beginning immediately for collection on October 1, 2023, through the earlier of the expiration of this subchapter or the termination or dissolution of the BID.

(b) The Friendship Heights BID shall be comprised of the geographic area bounded by a line that starts beginning at the intersection of the southeast line of Western Avenue, NW and the northeast line of Wisconsin Avenue, NW, said beginning also being the northwest corner of Square 1661; with said southeast line of Western Avenue, NW, northeasterly, to the south line of Military Road, NW; thence continuing with said south line of Military Road, NW, east, to the west line of 43rd Street, NW; thence continuing with said west line of 43rd Street, NW, south, to a northeast corner of former Lot 31, Square 1661; thence continuing with a southeasterly line of former Lot 31, Square 1661, southwesterly, to a northeast corner of Lot 855, Square 1661; thence, continuing with an easterly line of said Lot 855, Square 1661, southerly, to a point of curve; thence continuing along an east boundary of said Lot 855, Square 1661, 39.13' on the arc of a curve to the left of radius 103.08' to a point of tangent; thence continuing along an east boundary of said Lot 855, Square 1661, southeasterly, to a point of curve; thence continuing along an east boundary of said Lot 855, Square 1661, 27.71' on the arc of a curve to the right of radius 73.04' to a point of tangent; thence continuing along an east boundary of said Lot 855, Square 1661, southerly, to a north line of Lot 817, Square 1661; thence, continuing with a north line of Lot 817, Square 1661, easterly, to the northeast corner of said Lot 817, Square 1661; thence with the east line of said Lot 817, Square 1661, south, to the north line of Jenifer Street, NW; thence running across Jenifer Street, NW, southeasterly, to the intersection of the south line of Jenifer Street, NW, and the west line of 43rd Street, NW, said intersection also being the northeast corner of Square 1659; thence with said west line of 43rd Street, NW, south, to the north line of Ingomar Street, NW, said intersection also being the southeast corner of Square 1659; thence running across Ingomar Street, NW, southeasterly, to the northeast corner of Lot 10, Square 1665, and the southwest line of a 15' public alley in Square 1665; thence with said southwest line of 15' public alley, southeasterly, to the south line of a 15' public alley in Square 1665; thence with said south line of 15' public alley, east, to a corner of former Lot 11, Square 1665; thence with a west line of said former Lot 11, Square 1665, southeasterly, to a corner of said former Lot 11, Square 1665; thence with a northwest line of said former Lot 11, Square 1665, southwesterly, to the north most corner of Lot 2001, Square 1665; thence with an east line of said Lot 2001, Square 1665, southeasterly, to a corner thereof; thence with an east line of said Lot 2001, Square 1665, south, to the north line of Harrison Street, NW; thence running across Harrison Street, NW, southeasterly, to the intersection of the south line of Harrison Street, NW, and the west line of 42nd Street, NW, said intersection also being the northeast corner of Square 1666; thence with said west line of 42nd Street, NW, south, to the north line of Garrison Street, NW, and the southeast corner of Square 1666; thence running across Garrison Street, NW, southwesterly, to the northeast corner of former Lot 37, Square 1669 and the southwesterly line of a 10' public alley in Square 1669; thence with said southwesterly line of 10' public alley, southeasterly, to the southeast corner of Lot 34, Square 1669; thence running across said public alley in Square 1669, southeasterly, to the northeast corner of Lot 26, Square 1669, and the west line of 42nd Street, NW; thence, with said west line of 42nd Street, NW, south, to the north line of Fessenden Street, NW; thence with said north line of Fessenden Street, NW, west, to the northeast line of Wisconsin Avenue, NW; thence running across Wisconsin Avenue, NW, westerly, to the intersection of the north line of Fessenden Street, NW and the southwest line of Wisconsin Avenue, NW; thence with said north line of Fessenden Street, NW, west, to a southwest corner of Lot 11, Square 1655; thence with the boundary of said Lot 11, Square 1655, north, to a corner of said lot; thence continuing along the boundary of said Lot 11, Square 1655, west, to another corner of said lot; thence continuing along the boundary of said Lot 11, Square 1655, north, to another corner of said lot; thence continuing along the boundary of said Lot 11, Square 1655, west, to another corner of said lot; thence continuing along the boundary of said Lot 11, Square 1655, south, to another corner of said lot; thence continuing along the boundary of said Lot 11, Square 1655, west, to another corner of said lot; thence continuing along the boundary of said Lot 11, Square 1655, north, to another corner of said lot; thence continuing along the boundary of said Lot 11, Square 1655, east, to another corner of said lot; thence continuing along the boundary of said Lot 11, Square 1655, north, to the southwest corner of Lot 9, Square 1655; thence with the west line of said Lot 9, Square 1655, north, to the south line of Garrison Street, NW; thence running across Garrison Street, NW, northwesterly, to the southwest corner of Lot 9, Square 1656, and the east line of 16' public alley in Square 1656; thence with said east line of public alley, north, to the south line of Harrison Street, NW; thence running across Harrison Street, NW, northeasterly, to southwest corner of Lot 23, Square 1657 and the intersection of the north line of Harrison Street, NW and the northeasterly line of 20' public alley in Square 1657; thence with said northeasterly line of 20' public alley, northwesterly, to the east extension of the north line of a 16' public alley in Square 1657; thence with said east extension and said north line of a 16' public alley in Square 1657, west, to the east line of 44th Street, NW; thence crossing said 44th Street, NW, southwesterly, to a southeast corner of Lot 33, Square 1580; thence with the south line of said Lot 33, Square 1580, west, to the east line of 45th Street, NW; thence with said east line of 45th Street, NW, north, to a corner of Lot 33, Square 1580; thence with the northeast line of 45th Street, NW, northwesterly, to the southeast line of Western Avenue, NW; thence with said southeast line of Western Avenue, NW, northeasterly, to the southwesterly line of Jenifer Street, NW; thence crossing Jenifer Street, NW, northeasterly, to the west most corner of Lot 811, Square 1660, said corner also being the intersection of the southeast line of Western Avenue, NW and the northerly line of Jenifer Street, NW; thence with said southeast line of Western Avenue, NW, northeasterly, to the southwest line of Wisconsin Avenue, NW; thence running across Wisconsin Avenue, NW, northeasterly, to the intersection of the northeast line of Wisconsin Avenue, NW and the southeast line of Western Avenue, NW, and the place of beginning.

(c)(1) The BID taxes for nonexempt properties in the Friendship Heights BID shall be as follows:

(A) The amount of $0.165 per square foot for each net rentable square foot for Class 2 Properties, excluding hotels;

(B) The amount of $120 per hotel or motel room annually; and

(C)(i) The amount of $120 per unit annually of Class 1 property that contains 5 or more residential units available for rental for non-transient residential dwelling purposes that were placed in service after July 17, 1985. All other Class 1 property is exempt from this BID tax.

(ii) If a residential unit is restricted to residents based upon income pursuant to a federal or District affordable housing program, any residential unit with a household income of 100% or less of the area median income, which the BID shall identify and certify as such, shall be exempt from the BID tax that would otherwise be due on the unit.

(2) To the extent that a building that is subject to the BID tax is constructed pursuant to a ground lease on land that is exempt from real property taxes, the assessed value of the real property for purposes of the BID tax shall include the value of the building and the leasehold interest, possessory interest, beneficial interest, or beneficial use of the land, and the lessee or user of the land shall be assessed the corresponding BID tax, which shall be collected in the same manner as possessory interest taxes under § 47-1005.01, or as otherwise provided in this subchapter.

(3) Subject to the requirements of § 2-1215.08(b), a 3% annual increase in the BID taxes over the current tax year rates specified in paragraph (1) of this subsection is authorized.

Part C. Application of Law.

§ 2–1215.71. Establishment of BIDs not limited.

The listing of specifically authorized BIDs in part B of this subchapter shall not be construed to prohibit the establishment of a BID in another area pursuant to the terms of this subchapter; provided, that any BID taxes, or BID tax increases, not authorized in part B of this subchapter (whether as adopted or amended by act of Council) shall not become effective until the effective date of an act of Council which makes such BID taxes effective.

Subchapter IX. Tax Increment Financing.

Part A. General.

§ 2–1217.01. Definitions.

For the purposes of this subchapter, the term:

(1) “Assessor” means the Office of Taxation and Revenue, or such other person or office responsible for assessing the value of real property.

(2) “Authority” means the District of Columbia Financial Responsibility and Management Assistance Authority.

(3) “Available real property tax revenues” means the revenues resulting from the imposition of the tax provided for in Chapter 8 of Title 47 and payments in lieu of real property taxes and possessory interest taxes, including any penalties and interest charges, exclusive of the special tax provided for in § 1-204.81 and pledged to the payment of general obligation indebtedness of the District.

(4) “Available sales tax revenue” means the revenues resulting from the imposition of the tax imposed pursuant to Chapter 20 of Title 47, including any penalties and interest charges, exclusive of the portion thereof required to be deposited in the Washington Convention Center Fund established pursuant to § 10-1202.08, and exclusive of any provision of law that dedicates any sales or parking tax revenues to the Washington Metropolitan Area Transit Authority.

(4A) "Base real property tax amount" means the amount of revenue that would result during a fiscal year from the imposition of the tax provided for in Chapter 8 of Title 47, payments in lieu of taxes, and possessory interest taxes in a TIF area associated with a proposed or approved TIF project, if the TIF were not provided for the TIF project; except, that the base real property tax amount for a fiscal year that is outside the District's financial plan shall be the base real property tax amount for the last fiscal year that is within the District's financial plan.

(4B) "Base sales tax amount" means the amount of revenue that would result during a fiscal year from the imposition of the tax imposed pursuant to Chapter 20 of Title 47 in a TIF area associated with a proposed or approved TIF project, if the TIF were not provided for the TIF project; except, that the base sales tax amount for a fiscal year that is outside the District's financial plan shall be the base sales tax amount for the last fiscal year that is within the District's financial plan.

(5) “Capital City Business and Industrial Area” means the area beginning at the intersection of New York Avenue, N.E., and 9th Street, N.E., to Montana Avenue, N.E.; north on Montana Avenue, N.E., to W Street N.E.; west on W Street, N.E., to 13th Street, N.E.; northwest on 13th Street, N.E., to Brentwood Road, N.E.; southwest on Brentwood Road, N.E., to 9th Street, N.E.; south on 9th Street, N.E., to New York Avenue, N.E.

(6) “Capital City Market Area” means the area beginning at the intersection of Florida Avenue, N.E., and North Capitol Street; southeast on Florida Avenue, N.E., to 12th Street, N.E.; south on 12th Street, N.E., to H Street, N.E.; west on H Street, N.E., to 9th Street, N.E.; north on 9th Street, N.E., to Florida Avenue, N.E.

(7) “Capital improvement” means the same under generally accepted accounting principles.

(8) “CFO” means the Chief Financial Officer of the District as established by § 1-204.24a(a).

(9) “Collector” means the District of Columbia Treasurer, or such other person or office as is from time to time responsible for the collection of real property taxes and sales taxes.

(10) “Comprehensive Plan” means the Comprehensive Plan of the District of Columbia adopted by the Council, as amended from time to time.

(10A) “Contaminated property” means a property abandoned or underutilized because of perceived or actual contamination by hazardous substances; or when the expansion or redevelopment is complicated by perceived or actual contamination by hazardous substances.

(11) “Current assessed value” means for any tax year, the assessed value of each lot of taxable real property within a TIF area as then recorded on the land records of the District as of January preceding the tax year.

(12) “DD Regulations” means the Downtown Development District Regulations, 11 DCMR § 1700 et seq. (1995).

(13) “Development costs” means any or all of the following costs either actual or estimated for a development project:

(A) Costs of studies, surveys, plans and specifications, including professional service costs for architectural, accounting, engineering, legal, marketing, financial and planning services;

(B) Property assembly costs, including acquisition or leasing of land and other property, real or personal, or rights or interests in property, demolition of buildings and other structures, remediation of environmental hazards, and the clearing and grading of land;

(C) Costs of preservation, rehabilitation, reconstruction, repair or remodeling of existing public or private buildings, structures and fixtures;

(D) Costs of any public works or improvements undertaken by, or at the direction of the District or any other governmental unit;

(E) Costs of parking and transportation facilities, stadia, museums, other cultural institutions, educational institutions, retail, entertainment and recreation facilities, telecommunications infrastructure, public plazas, malls, pedestrian walkways and parks that are owned by the District or any other governmental unit or are privately owned but available for use by the general public;

(F) Costs of construction of new public or privately owned housing units and community facilities and costs of preservation, rehabilitation, reconstruction, repair or remodeling of public and private buildings for use as housing units and community facilities;

(G) Costs of maintaining and operating public works and improvements;

(H) Financing costs, including but not limited to all expenses related to the issuance of TIF bonds, interest on TIF bonds, TIF bond reserves, credit enhancements, and costs related to the performance by the District government of its covenants and agreements with the holders of its TIF bonds;

(I) Working capital and working capital reserves directly related to the development of a project;

(J) Administrative costs of the District in issuing TIF bonds pursuant to this subchapter; and

(K) Relocation, job training, and education costs.

(14) “Development sponsor” means any organization or person that seeks to undertake, or undertakes, a project.

(15) “District” means the District of Columbia.

(16) “Downtown area” means the area of the District addressed by the Downtown Interactive Task Force, being the area with the boundary commencing at the intersection of Pennsylvania Avenue, N.W. and 12th Street, N.W.; north on 12th Street, N.W., to N Street, N.W.; east on N Street, N.W., to New Jersey Avenue, N.W.; southeast on New Jersey Avenue, N.W., to 2nd Street, N.W.; south on 2nd Street, N.W., to Pennsylvania Avenue, N.W.; and northwest on Pennsylvania Avenue, N.W., to the point of commencement.

(17) “Downtown Report” means the Interactive Downtown Task Force Report.

(18) “Eligible project” means a project that has been certified by the CFO as complying with the requirements set forth in this subchapter.

(19) “Georgia Avenue Area” means any square located on or abutting Georgia Avenue, N.W., beginning at the intersection Florida Avenue, N.W., and north on Georgia Avenue, N.W., to Eastern Avenue, N.W.

(20) “Gross floor area” means gross floor area within the meaning of the Zoning Regulations of the District.

(21) “HPRB” means the District of Columbia Historic Preservation Review Board.

(22) Repealed.

(23) Repealed.

(24) “Priority development area” means the downtown area, Capital City Business and Industrial Area; Capital City Market Area; Georgia Avenue Area; any District-designated Foreign Trade Zones or Free Trade Zones as defined under Federal law; any federally-approved Enterprise Zones, Empowerment Zones, or Enterprise Community; Development Zone Areas; and the Southeast Federal Center/Navy Yard Area; and any housing opportunity area, development area, or new or upgraded commercial center designated on the District of Columbia Generalized Land Use Policies Map that is part of the Comprehensive Plan; the Minnesota Avenue area which shall consist of land within the boundary descriptions beginning from East Capitol Street, N.E., to Nannie Helen Burroughs Avenue, N.E.; the Dix Street area which shall consist of land within the boundary descriptions beginning from 58th Street, N.E. to Eastern Avenue, N.E.; the Nannie Helen Burroughs area which shall consist of land within the boundary descriptions beginning from Eastern Avenue, N.E., to 49th Street, N.E.; the Pennsylvania Avenue area which shall consist of land within the boundary descriptions beginning from Branch Avenue, S.E., to Carpenter Street, S.E.; and the Benning Road area which shall consist of land within the boundary descriptions beginning from East Capitol Street, S.E., to 44th Street, N.E., from Hanna Place, S.E., to Hillside Road, S.E., and from 39th Street, S.E., to 36th Street, S.E.; the Division Avenue area from Eads Street, N.E., to Hayes Street, N.E.; any block, a portion of which is located in the Uptown Arts-Mixed Use Overlay District, as defined in subsection 1900.1 of Title 11 of the District of Columbia Municipal Regulations (11 DCMR § 1900.1); and the census tracts located in the District for which the poverty rate is not less than 10% as determined on the basis of the 1990 census; and contaminated property areas as defined in paragraph (10A) of this section.

(25) “Project” means any capital improvement undertaken within a TIF area.

(26) “Real property tax increment revenues” means the portion of the available real property tax revenues allocable to one or more tax allocation funds pursuant to this subchapter.

(27) “Sales tax increment revenues” means the portion of the available sales tax revenues allocable to one or more tax allocation funds pursuant to this subchapter.

(28) “Southeast Federal Center/Navy Yard Area” means the area beginning at the intersection of Interstate 395/295 (SW/SE Freeway) and the Anacostia River Waterfront, S.W., northwest to 14th Street, S.W.; south on 14th Street, S.W., to the Washington Channel Waterway; east along the Washington Channel Waterway to the Anacostia River eastern banks and adjacent areas encompassing the public housing and residential parcels adjacent to the Navy Yard, 8th Street, S.W., commercial corridor, marine barracks, Buzzard Point area, northern tip of the Naval station, Poplar Point, Anacostia waterfront, portions of the West Campus of Saint Elizabeth’s, and the area surrounding the Anacostia Metro Station.

(29) “Special merits” means other economic, cultural, social, or financial factors, apart from the criteria established in this subchapter, that may justify the approval of TIF for a project. The special merits shall be established, by regulation, by the CFO in consultation with the City Administrator or during a control year, as defined in § 47-393, the Chief Management Officer (“CMO”), and the Director of the Department of Housing and Economic Development.

(30) “TIF” means tax increment financing.

(31) “TIF area” means any area designated and established for TIF pursuant to the provisions of this subchapter.

(32) “TIF bonds” means bonds, notes or other obligations issued pursuant to this subchapter.

§ 2–1217.02. TIF bond authorization and forward commitment.

(a) Pursuant to § 1-204.90, the Council authorizes the issuance of TIF bonds. The portions of real property tax increment revenues and the portions of the sales tax increment revenues that are declared to be dedicated pursuant to this subchapter, to the payment of debt service on TIF bonds, the provision and maintenance of reserves, and the payment of development costs, shall constitute tax increments as defined in § 1-204.90(n)(6).

(b) TIF bonds may be issued to finance development costs of eligible projects approved pursuant to this subchapter. Refunding bonds may be issued to refund bonds issued pursuant to this subchapter.

(c) The CFO is authorized to enter into such financing documents as may be necessary or appropriate for the issuance, security, and administration of the TIF bonds, investment of proceeds and moneys in the accounts provided for in, or pursuant to this subchapter, and the application of the proceeds of the TIF bonds and the moneys and investments in such accounts, and for the purposes provided in § 2-1217.07, including financing documents with development sponsors. The CFO is authorized to execute and deliver in the name of the District, and on its behalf, any financing documents and any closing documents to which the District is a party, including each trust agreement, trust indenture, secured loan agreement or other instrument entered into by the District pursuant to this subchapter.

(d) The requirements for a project to comply with the applicable eligibility requirements pursuant to § 2-1217.03 shall be set forth in an agreement between the District and the development sponsor. The agreement shall obligate the development sponsor to develop the specified eligible project.

(e) TIF bonds may qualify as tax-exempt enterprise zone facility bonds if the bonds satisfy the applicable requirements of the Internal Revenue Code of 1986, as amended, and applicable laws of the District.

§ 2–1217.03. Certification of development project.

(a) In order to be eligible for TIF, a development sponsor shall apply to the CFO for certification that the project complies with the requirements of this subchapter. The application shall consist of a development plan for the project, which shall consist of the following:

(1) A delineation of the proposed TIF area;

(2) A description of the proposed land uses of the project;

(3) The use of the financing proceeds made available pursuant to this subchapter;

(4) A pro forma projection of the revenues and expenses of the project;

(5) An assessment of the financial feasibility of the project;

(6) A general description of the timing and phasing of the project;

(7) A description of the compatibility of the project with the Comprehensive Plan;

(8) A description of the project’s compliance with the zoning regulations of the District; and

(9) An analysis of the projected tax revenue and benefits to be generated by the project.

(b) Not later than 120 days after the receipt of an application which meets the criteria set forth in subsection (a) of this section the CFO shall certify or reject the project. In determining whether to certify the project, the CFO shall consider the following criteria:

(1) Whether the project is financially feasible;

(2) Whether the project will likely result in a net increase in the taxes payable to the District, taking into consideration income taxes, franchise taxes, real property taxes, without regard to the real property tax increment revenues to be applied to payment of the TIF bonds, sales taxes, without regard to the sales tax increment revenues to be applied to payment of the TIF bonds, parking taxes, use taxes, and other taxes, over the amount that would have been payable to the District in the absence of the project;

(3) Whether the project is consistent with the Comprehensive Plan and will achieve development priorities identified in the Comprehensive Plan for the priority development area in which the project is located;

(4) Whether the project’s total anticipated benefits to the District, including public benefits as well as financial benefits, exceed the total anticipated costs to the District;

(5) Whether an allocation of the project’s real property tax increment revenues and sales tax increment revenues will compete with or supplant benefits from other sources or by other means which are otherwise available for the project on reasonable terms and conditions; and

(6) Whether the project is one of special merits and there is a reasonable probability that the special merits of the project will not be achieved without the TIF allocation.

(c) Repealed.

(d) If, upon consideration of the criteria set forth in subsections (b) and (c) of this section, the CFO determines to certify the project for Council approval, the Mayor shall enter into negotiations with the development sponsor to determine the boundaries of the TIF area for the project, the amount of tax increment allocation, the type of tax to be allocated, the terms and conditions of the agreement between the District and the development sponsor, and the termination dates for the tax increment revenues to be allocated to the project. Upon completion of negotiations, the CFO shall certify the project, the base real property tax amount for the project's TIF area for the then-current fiscal year and each subsequent fiscal year, and the base sales tax amount for the project's TIF area for the then-current fiscal year and each subsequent fiscal year, and prepare a proposed resolution for the approval of the Council consistent with the results of the negotiations and with § 2-1217.04. If the project does not comply with the criteria, the CFO shall so notify the development sponsor in writing stating in what areas the project fails to meet the criteria. The CFO shall allow the development sponsor up to 60 days to comply and cure any defects.

(e) The Zoning Administrator; the Director, Office of Planning; the Corporation Counsel; the Director, Department of Housing and Community Development; and any other relevant agency of the District government shall furnish to the CFO information and certificates as may be required by the CFO to confirm a project’s compliance with the criteria enumerated in subsections (b) and (c) of this section.

(f) Subject to the consent of each development sponsor of a project within the affected TIF areas and the rights of the holders of its TIF bonds, the CFO may abolish a TIF area, merge TIF areas or alter the boundaries of a TIF area.

(g) The CFO shall impose reasonable fees in connection with the issuance of the TIF bonds to defray administrative costs or burdens incurred as a result of the determination of the tax increment allocation and the issuance of such TIF bonds.

(h) The Mayor, pursuant to subchapter I of Chapter 5 of this title, may issue rules to implement the provisions of this section.

(i) For the preparation of the certification required by this section, the CFO shall set forth guidance regarding submission requirements and the process for review of information necessary to implement this section.

§ 2–1217.04. Approval by the Council.

Upon completion of negotiations with the development sponsor, the CFO may certify the project and submit such certification and the proposed resolution referred to in § 2-1217.03(d) to the Mayor. If the Mayor determines that the resolution is consistent with the requirements of this section, the Mayor shall transmit to the Council a proposed resolution to approve the project, the TIF area, the development agreement, and the amount to be financed. The proposed resolution shall define the TIF area for the eligible project, a summary description of the eligible project and its compliance with the criteria, a listing of the public benefits to be derived from the eligible project, portion of real property tax or sales revenues increment to be allocated to the project; and a summary of the terms of the TIF bonds to be issued with respect to the project. The Council shall approve or disapprove the proposed resolution within 45 days.

§ 2–1217.05. Allocation of tax increments.

(a) When the CFO certifies a project pursuant to § 2-1217.03(d), the CFO shall certify the base real property tax amounts and base sales tax amounts for the project's TIF area as provided in § 2-1217.03(d).

(b) Within 60 days after the approval of a project by resolution of the Council, the CFO shall provide for the allocation of property tax increment revenues or sales tax increment revenues, or both, within each TIF area. The CFO shall establish one or more separate tax increment allocation accounts within the General Fund for the deposit and application of property tax increment revenues and sales tax increment revenues from each tax increment area. Monies shall be transferred from such accounts at the times and in the amounts required pursuant to financing documents under §§ 2-1217.02 and 2-1217.07 to any fund or account established under such documents for the purpose specified in those documents or may, as provided in the bond documents, be transferred directly from the collector to such funds and accounts. Pursuant to subsections (c), (d), and (e) of this section, monies held or to be held in a tax allocation account or such funds and accounts established under financing documents may be used to pay development costs associated with projects in the applicable tax increment area, to pay the principal of and interest on the TIF bonds issued with respect to such tax increment area, and otherwise applied as indicated in subsection (e) of this section consistent with the applicable bond documents. Monies in a tax allocation account or in any fund or account established under the financing documents may be pledged as security for the payment of TIF bonds issued to finance development costs with respect to the applicable tax increment area and to related purposes referred to in subsection (e) of this section.

(c) Notwithstanding any other law, available real property tax revenues from so much of that portion of taxes levied within a TIF area, from the date of the approval of the TIF area, that are in excess of the base real property tax amount as have been approved for such allocation by resolution of the Council shall be paid by the Collector to the CFO for deposit into one or more of the tax increment accounts established by the CFO pursuant to subsection (b) of this section.

(d) Notwithstanding any other law, so much of that portion of available sales tax revenues that results from the sales tax levied within a TIF area, from the date of the approval of the TIF area, that are in excess of the base sales tax amount as have been approved for such allocation by resolution of the Council shall be paid by the Collector to the CFO for deposit into one or more of the tax increment accounts established by the CFO pursuant to subsection (b) of this section.

(e) The amounts, if any, remaining in the tax increment accounts for a TIF area at the end of each tax year, after provision for the payment or prepayment of principal or interest on TIF bonds, any costs of credit or liquidity enhancement and other costs, fees, and expenses of administering, carrying, and paying the bonds and the funds, trusts, and escrows pertaining to them, and providing for reasonably required reserves, all as provided in the bond documents, shall revert to the General Fund.

§ 2–1217.06. TIF bond issuance.

The CFO shall issue the District’s TIF bonds for the purposes authorized by this subchapter. The CFO shall exercise such power to authorize and provide for the issuance of TIF bonds by signing financing documents, including those referred to in § 2-1217.07, which shall describe in brief and general terms sufficient for reasonable identification the development costs to be financed or the TIF bonds that are to be funded or refunded and the property tax increment revenues, the sales tax increment revenues and the other revenues, assets and funds that are to be pledged to secure the repayment of such TIF bonds. The TIF bonds may be issued in more than one series, may be executed in such manner, and may bear such date or dates, mature at such time or times (provided, however, that the final maturity date of any TIF bonds payable from property tax increment revenues or sales tax increment revenues derived from a TIF area may not be later than the termination date of that TIF area), bear interest at any fixed or variable rate, be subject to redemption upon such terms and have such other terms and provisions as the financing documents, including any supplemental thereto, a trust agreement or a trust indenture may provide. The CFO may charge a reasonable fee to cover administrative costs.

§ 2–1217.07. TIF bond security.

(a) A series of TIF bonds may be secured by a trust agreement or trust indenture between the District and a corporate trustee having trust powers, or by a secured loan agreement or other instrument giving power to a corporate trustee by means of which the District may do the following:

(1) Make and enter into any and all covenants and agreements with the trustee or the holders of the TIF bonds that the District may determine to be necessary or desirable including, without limitation, covenants and agreements as to:

(A) The application, investment, deposit, use and disposition of the proceeds of TIF bonds and the other monies, securities, and property of the District;

(B) The terms and conditions of any agreement with any other person concerning the development of the downtown area;

(C) The assignment by the District of its rights in any agreement;

(D) Terms and conditions upon which additional TIF bonds of the District may be issued;

(E) Providing for the appointment of a trustee to act on behalf of bondholders and abrogating or limiting the rights of the bondholders to appoint a trustee; and

(F) Vesting in a trustee, for the benefit of the holders of TIF bonds, or in the bondholders directly, such rights and remedies as the District shall determine;

(2) Pledge, mortgage or assign monies, agreements, property or other assets of the District, either presently in hand or to be received in the future, or both;

(3) Provide for bond insurance and letters of credit, or otherwise enhance the credit of and security for the payment of its TIF bonds; and

(4) Provide for any other matters of like or different character that in any way affect the security for or payment of the TIF bonds.

(b) TIF bonds issued pursuant to this subchapter are declared to be issued for an essential public and governmental purposes. The TIF bonds and the interest thereon and the income therefrom, and all monies pledged or available to pay or secure the payment of the bonds shall at all times be exempt from taxation by the District except for estate, inheritance, and gift taxes.

(c) The District does hereby pledge to and covenant and agree with the holders of any TIF bonds issued pursuant to this subchapter that, subject to the provisions of the financing documents, the District will not limit or alter the basis upon which available real property taxes and available sales taxes are received, allocated, applied and pledged pursuant to this subchapter; will not impair the contractual obligations of the District to fulfill the terms of any agreement made with the holders of the TIF bonds, will not in any way impair the rights or remedies of the holders, and will not modify in any way the exemptions from taxation provided for in this subchapter, until the bonds, together with interest thereon, with interest on any unpaid installment of interest and all costs and expenses in connection with any suit, action or proceeding by or on behalf of the holders, are fully met and discharged. The CFO is authorized to include this pledge and agreement of the District as part of the contract with the holders of any of its bonds. This subchapter shall constitute a contract between the District and the holders of the TIF bonds authorized by this subchapter. To the extent that any acts or resolutions of the Council may be in conflict with this subchapter, this subchapter shall be controlling.

(d) It is the intention of the Council that a pledge made in respect of its TIF bonds shall be valid and binding from the time the pledge is made; that the money or property so pledged and thereafter received shall immediately be subject to the lien of the pledge without physical delivery or further act; and that the lien of the pledge shall be valid and binding as against all parties having any claim of any kind in tort, contract or otherwise against the District irrespective of whether the parties have notice. Neither the bond order, trust agreement, nor any other instrument by which a pledge is created need be recorded or filed under the provisions of the Uniform Commercial Code to be valid, binding, and effective against the parties.

§ 2–1217.08. Default.

If there shall be a default in the payment of the principal of or interest on any TIF bonds of a series after the principal or interest shall become due and payable, whether at maturity or upon call for redemption, or if the District government shall fail or refuse to carry out and perform the terms of any agreement with the holders of any of the TIF bonds; then the holders of the TIF bonds, or the trustee appointed to act on behalf of the holders, may, subject to the provisions of the financing documents, do the following:

(1) By action, writ, or other proceeding enforce all rights of the holders of the TIF bonds, including the right to require the District government to carry out and perform the terms of any agreement with the holders of the TIF bonds or its duties under this subchapter;

(2) By action, require the District government to account as if it were the trustee of an express trust;

(3) By action, petition to enjoin any acts or things that may be unlawful or in violation of the rights of the holders of the TIF bonds; and

(4) Declare all the TIF bonds due and payable, whether or not in advance of maturity and, if all the defaults be made good, annul the declaration and its consequences.

§ 2–1217.09. Public inspection.

The CFO may cause any bond order to be filed for public inspection and cause to be published in a newspaper of general circulation in the District a notice stating the fact and date of such bond order and the place where such bond order has been filed for public inspection and also the date of the first publication of such notice. The publication also shall contain a notice that any suit, action, or proceeding of any kind or nature in any court questioning the validity of this subchapter or the validity or proper authorization of TIF bonds provided for by the bond order or the validity of any covenants or agreements provided for by said bond order or any financing document securing the TIF bonds authorized by said bond order shall be commenced within 20 days after the first publication of said notice. If any such notice shall at any time be published and if no suit, action, or proceeding questioning the validity of this subchapter or the validity or proper authorization of TIF bonds provided for by the bond order referred to in said notice, or the validity of any covenants or agreements provided for by said bond order or any financing documents securing the TIF bonds authorized by said bond order shall be commenced or instituted within 20 days after the first publication of said notice, then all residents, taxpayers, and owners of property in the District and all other persons whatsoever shall be forever barred and foreclosed from instituting or commencing any proceeding, questioning the validity of this subchapter, or the validity or proper authorization of such TIF bonds, or the validity of any such covenants, and agreements, and this subchapter shall be conclusively deemed to have been validly enacted by the District and the CFO shall be conclusively deemed to have been authorized to exercise the powers delegated to the CFO under this subchapter, and said TIF bonds, covenants, and agreements shall be conclusively deemed to be valid and binding obligations of the District as provided in this subchapter.

§ 2–1217.10. Liability.

(a) Neither the members of the Council nor any person executing TIF bonds issued pursuant to this subchapter shall be liable personally on the TIF bonds by reason of the issuance thereof.

(b) Notwithstanding any other provision of this subchapter, TIF bonds issued pursuant to this subchapter are not general obligations of the District and shall not be in any way a debt or liability of the District within the meaning of any debt or other limit prescribed by law. Neither the full faith and credit nor the taxing power of the District (other than property tax increment revenues and sales tax increment revenues) may be pledged to secure the payment of any TIF bonds issued pursuant to this subchapter.

§ 2–1217.11. Transfer of authority. [Repealed]

Repealed.

§ 2–1217.12. DC Ballpark TIF Area.

(a) Notwithstanding any other provision of this part, there is hereby created a TIF area denominated as the DC Ballpark TIF Area, the real property tax increment revenues and the sales tax increment revenues from which shall be allocated as provided in this section. The DC Ballpark TIF Area is defined as the area starting at the intersection of Half Street, S.W., and Interstate 395, proceeding in a southerly direction until the intersection of Half Street, S.W., with Water Street, S.W.; proceeding along an east/west line in an easterly direction to the Anacostia River shoreline; proceeding northeast along the Anacostia River shoreline to 1st Street, S.E.; proceeding in a northerly direction to M Street, S.E.; proceeding in an easterly direction along M Street, S.E., to New Jersey Avenue, S.E.; proceeding in a northwesterly direction along New Jersey Avenue, S.E. to Interstate 395; proceeding in a northwesterly direction to the point of origin. The DC Ballpark TIF Area shall not include either:

(1) The ballpark site as defined under § 10-1601.05(a)(2); or

(2) The ballpark as defined under § 47-2002.05(a)(1)(A).

(b) Notwithstanding any other provision of this part, with respect to the DC Ballpark TIF Area, the initial sales tax amount shall mean the available sales tax revenue from locations within the area for the tax year preceding the year in which this section becomes effective and the initial assessed value shall mean the assessed value of each lot of taxable real property on April 8, 2005.

(c) Notwithstanding any other provision of this part, the real property tax increment revenues and the sales tax increment revenues from the DC Ballpark TIF Area shall be allocated and paid into the Community Benefit Fund, established by § 10-1602.02(a), and which is hereby declared to be a tax increment allocation account as described in § 2-1217.05. The revenues so deposited in the Community Benefit Fund shall be used for any of the purposes described in § 10-1602.02(b).

(d) Without limiting the generality of this part, including the ability to apply the real property tax increment revenues and the sales tax increment revenues to the payment of TIF bonds, the funds in the Community Benefit Fund may be used to secure bonds or other evidence of indebtedness issued in accordance with the provisions of § 1-204.90, without regard to any limitations contained in this part.

(e) The $300 million limitation on the issuance of TIF bonds contained in § 2-1217.02(b) and the time limitation on the issuance of TIF bonds contained in such section shall apply to any bonds supported in whole or in part by real property tax increment revenues or sales tax increment revenues allocated to the Community Benefit Fund.

Part B. Identified Projects.

Subpart 1. Gallery Place Project.

§ 2–1217.31. Gallery Place Project tax and fee abatements.

(a) For the purposes of this section, the term:

(1) “Development Sponsor” means Gallery Place Holdings LLC, a Delaware limited liability company, and its successors and assigns.

(2) “Gallery Place Project” means the acquisition, construction, installing, and equipping of a mixed-use complex located on Square 454, Lots 41, 824, 838, 857, 877, 878; the portion of the public alley that reverted to former Lot 820 (which is currently known as Lot 866), and former Lot 821 (which is currently known as Lot 867) pursuant to the Plat of Alley Closing filed with the Surveyor of the District of Columbia in Liber 17 at folio 74; and the portions of the public alley that will revert to Lots 41, 824, 838, 857, 877 and 878, all in Square 454, pursuant to the alley closing approved by the Closing of Public Alleys in Square 454 and Square 455, S.O. 98-194, Act of 1999, effective October 22, 1999 (D.C. Law 13-48; 46 DCR 6768), and consisting of:

(A) An approximately 60,000-square-foot multiplex cinema;

(B) A mixed-use facility providing for retail stores, dining, entertainment, a health and fitness club, offices, and related facilities;

(C) A market-rate housing complex consisting of approximately 170 residential units;

(D) A parking garage containing approximately 850 parking spaces; and

(E) Other ancillary improvements.

(b) All fees to be paid, and any deposits to be made, by or on behalf of the Development Sponsor in connection with the Gallery Place Project under § 6-661.01 are hereby waived.

(c) The amount of all taxes, fees, and deposits exempt, abated, or waived under subsection (b) of this section, §§ 45-922(24), 47-902(17), 47-1002(26), and 47-2005(32), shall not exceed, in the aggregate, $7 million.

(d) In accordance with § 9-401.06 providing a permanent form of government for the District of Columbia the Mayor shall expend up to $2 million to improve and repair the streets, sewers, alleys, sidewalks, curbs, and gutters abutting the Gallery Place Project. All assessments upon abutting property for the cost of improvements to such streets, sewers, alleys, sidewalks, curbs, and gutters, including any expenses of assessment, shall be waived.

Subpart 2. Mandarin Oriental Hotel Project.

§ 2–1217.32. Mandarin Oriental Hotel Project fee deferral.

(a) For the purposes of this section, the term:

(1) “Development Sponsor” means Portals Hotel Site, LLC, a Delaware limited liability company, and its successors and assigns.

(2) “Mandarin Oriental Hotel Project” means the acquisition and initial development, construction, equipping, and furnishing of a Mandarin Oriental hotel within the Portals project, located on Square 299, Lot 831, consisting of a 400-room hotel with approximately 33,000 square feet of associated meeting and banquet space, 2 restaurants, a health spa and fitness center totaling approximately 10,000 square feet, and approximately 90,000 square feet of public parking space for approximately 200 cars.

(3) “Mandarin TIF Bonds” means the tax increment financing bonds issued in connection with the Mandarin Oriental Hotel Project pursuant to the Tax Increment Revenue Bonds Mandarin Hotel Project Emergency Approval Resolution of 2000, effective March 7, 2000 (Res. 13-510; 47 DCR 2133), and the Mandarin Hotel Project Modification Approval Resolution of 2000, effective December 19, 2000 (Res. 13-745; 48 DCR 83).

(b) All fees to be paid, and any deposits to be made, by or on behalf of the Development Sponsor in connection with the initial development, construction, equipping, and furnishing of the Mandarin Oriental Hotel Project under § 6-661.01, are hereby deferred until the Development Sponsor sells the Mandarin Oriental Hotel Project, as evidenced by the recordation of a deed conveying title to Square 299, Lot 831, at which time such amounts shall be due and payable without penalty or interest.

(c) The amount of all taxes, fees, and deposits deferred under subsection (b) of this section, §§ 42-1102(25), 47-902(19), 47-1002(27), and 47-2005(33), shall not exceed, in the aggregate, $4 million.

(d) This section shall apply upon the closing of the sale of the Mandarin TIF Bonds.

Subpart 3. City Market at O Street Project.

§ 2–1217.33a. City Market at O Street — Definitions.

For the purposes of this subpart [§§ 2-1217.33a to 2-1217.33n], the term:

(1) “Authorized Delegate” means the Deputy Mayor for Planning and Economic Development, the Chief Financial Officer, the Treasurer, or any officer or employee of the executive office of the Mayor to whom the Mayor has delegated any of the Mayor’s functions under this subpart [§§ 2-1217.33a to 2-1217.33n] pursuant to § 1-204.22(6).

(2) “Available Increment” shall have the same meaning as set forth in the Reserve Agreement.

(3) “Available Real Property Tax Revenues” means the revenues resulting from the imposition of the tax provided for in Chapter 8 of Title 47, inclusive of any penalties and interest charges, exclusive of the special tax provided for in § 1-204.81 pledged to payment of general obligation indebtedness of the District.

(4) “Available Sales Tax Revenues” means the revenues resulting from the imposition of the tax under Chapter 20 of Title 47, including penalty and interest charges, exclusive of the portion thereof required to be deposited in the Washington Convention Center Fund established pursuant to § 10-1202.08.

(5) “Available Tax Increment” means the sum of the Available Sales Tax Revenues and Available Real Property Tax Revenues generated in the City Market at O Street TIF Area in any fiscal year of the District minus the sum of Available Sales Tax Revenues and Available Real Property Tax Revenues generated in the City Market at O Street TIF Area in the base year.

(6) “Bond Counsel” means a firm or firms of attorneys designated as bond counsel from time to time by the Mayor.

(7) “Bonds” means the District of Columbia revenue bonds, notes, or other obligations (including refunding bonds, notes, and other obligations), in one or more series, authorized to be issued pursuant to this subpart [§§ 2-1217.33a to 2-1217.33n].

(8) “Chairman” means the Chairman of the Council of the District of Columbia.

(9) “Chief Financial Officer” means the Chief Financial Officer established by § 1-204.24(a)(1).

(10) “Closing Documents” means all documents and agreements, other than Financing Documents, that may be necessary and appropriate to issue, sell, and deliver the bonds, and includes agreements, certificates, letters, opinions, forms, receipts, and other similar instruments.

(11) “Council” means the Council of the District of Columbia.

(12) “Development Costs” has the same meaning as in § 2-1217.01(13).

(13) “Development Sponsor” means City Market, L.L.C., a District of Columbia limited liability company, or any other entity that undertakes the development of the project with the approval of the Mayor.

(14) “District” means the District of Columbia.

(15) “Financing Documents” means the documents, other than Closing Documents, that relate to the financing or refinancing of transactions to be effected through the issuance, sale, and delivery of the bonds, including any offering document, and any required supplements to any such documents.

(16) “Home Rule Act” means Chapter 2 of Title 1 [§ 1-201.01 et seq.].

(17) “Project” means the financing, refinancing, or reimbursing of Development Costs incurred for the acquisition, construction, installing, and equipping of a mixed-use project consisting of retail, commercial, and residential space, and parking in Lots 829 and 830, Square 398.

(18) “Reserve Agreement” means that certain Reserve Agreement, dated as of April 1, 2002, by and among the District, Wells Fargo Bank Minnesota, N.A., and Financial Security Assurance, Inc.

(19) “TIF” means tax increment financing.

§ 2–1217.33b. Creation of the City Market at O Street Fund.

(a) There is established as a nonlapsing fund the City Market at O Street Fund. The Chief Financial Officer shall deposit into the City Market at O Street Fund the Available Tax Increment and any other taxes or fees specifically designated by law for deposit in the City Market at O Street Fund.

(b) The Mayor may pledge and create a security interest in the funds in the City Market at O Street Fund, or any sub-account within the City Market at O Street Fund, for the payment of the costs of carrying out any of the purposes described in subsection (c) of this section without further action by the Council as permitted by § 1-204.90(f). If bonds are issued, the payment shall be made in accordance with the provisions of the Financing Documents entered into by the District in connection with the issuance of the bonds.

(c) The funds deposited in the City Market at O Street Fund may be used to:

(1) Secure the repayment of the bonds; and

(2) Finance, refinance, or reimburse the District or the Development Sponsor for the project.

(d) If, at the end of any fiscal year of the District, the balance of cash and investments in the City Market at O Street Fund exceeds the amount of debt service (including prepayment of principal and interest), reserves on any bonds, and any approved bond-related administrative expenses during the upcoming fiscal year, the excess may be transferred to the unrestricted balance of the General Fund of the District of Columbia.

(e) Except as provided in subsection (d) of this section, all funds deposited into the City Market at O Street Fund, and any interest earned on those funds, shall not revert to the unrestricted fund balance of the General Fund of the District of Columbia at the end of a fiscal year, or at any other time, but shall be continually available for the uses and purposes set forth in subsection (c) of this section without regard to fiscal year limitation, subject to authorization by Congress.

§ 2–1217.33c. Creation of the City Market at O Street TIF Area.

(a) There is created a TIF area designated as the City Market at O Street TIF Area. The City Market at O Street TIF Area is defined as the real property located in Lots 829 and 830, Square 398. As provided under § 2-1217.33b, the Available Tax Increment from the City Market at O Street TIF Area shall be deposited in the City Market at O Street Fund and may be used for the purposes set forth in § 2-1217.33b.

(b)(1) The base year for determination of Available Sales Tax Revenues from locations within the City Market at O Street TIF Area shall be the tax year preceding the year in which this subpart becomes effective.

(2) The base year for determination of Available Real Property Tax Revenues shall be the tax year of the District preceding the year in which this subpart becomes effective and the initial assessed value to be used in making the determination of Available Real Property Tax Revenues shall be the assessed value of each lot of taxable real property in the City Market at O Street TIF Area for the preceding tax year in which this subpart becomes effective.

§ 2–1217.33d. Bond authorization.

(a) The Council approves and authorizes the issuance of one or more series of bonds in an aggregate principal amount not to exceed $46.5 million to fund the project. The bonds, which may be issued from time to time, in one or more series, shall be tax-exempt or taxable as the Mayor shall determine and shall be payable and secured as provided in § 2-1217.33e.

(b) The proceeds of the bonds shall be used as follows:

(A) An amount not to exceed $35 million may be used for payment of Development Costs of the project, other than costs described in subparagraph (B) of this paragraph.

(B) An amount not to exceed $11.5 million may be used to pay the financing costs incurred by the District or the Development Sponsor and to fund capitalized interest and required reserves.

§ 2–1217.33e. Payment and security.

(a) Except as may be otherwise provided in this subpart [§§ 2-1217.33a to 2-1217.33n], the principal of, premium, if any, and interest on, the bonds, and the payment of ongoing administrative expenses related to the bond financing shall be payable solely from proceeds received from the sale of the bonds, income realized from the temporary investment of those proceeds, receipts and revenues realized by the District from the City Market at O Street Fund, income realized from the temporary investment of those receipts and revenues prior to payment to the bond owners, and other funds that, as provided in the Financing Documents, may be made available to the District for payment of the bonds from sources other than the District, all as provided for in the Financing Documents.

(b) There is further allocated to the payment of debt service on the bonds the Available Increment, subordinate to the allocation of Available Increment to the Budgeted Reserve, as defined in the Reserve Agreement, all as more fully described in the Reserve Agreement and to the extent that the Reserve Agreement continues to apply to the Available Increment, to be used for the payment of debt service on the bonds to the extent that the revenues allocated in subsection (a) of this section are inadequate to pay debt service on the bonds. The allocation of Available Increment authorized by this subsection shall be made in compliance with all existing contractual obligations of the District with respect to the Available Increment and shall terminate on the date on which all of the bonds are paid or provided for and are no longer outstanding pursuant to their terms.

(c) Payment of the bonds shall be secured as provided in the Financing Documents and by an assignment by the District for the benefit of the bond owners of certain of its rights under the Financing Documents and Closing Documents to the trustee for the bonds pursuant to the Financing Documents.

(d) The trustee or paying agent is authorized to deposit, invest, and disburse the proceeds received from the sale of the bonds pursuant to the Financing Documents.

§ 2–1217.33f. Bond details.

(a) The Mayor is authorized to take any action reasonably necessary or appropriate in accordance with this subpart [§§ 2-1217.33a to 2-1217.33n] in connection with the preparation, execution, issuance, sale, delivery, security for, and payment of the bonds of each series, including, but not limited to, determinations of:

(1) The final form, content, designation, and terms of the bonds, including a determination that the bonds may be issued in certificated or book-entry form;

(2) The principal amount of the bonds to be issued and denominations of the bonds;

(3) The rate or rates of interest or the method for determining the rate or rates of interest on the bonds;

(4) The date or dates of issuance, sale, and delivery of, and the payment of interest on, the bonds, and the maturity date or dates of the bonds;

(5) The terms under which the bonds may be paid, optionally or mandatorily redeemed, accelerated, tendered, called, or put for redemption, repurchase, or remarketing before their respective stated maturities;

(6) Provisions for the registration, transfer, and exchange of the bonds and the replacement of mutilated, lost, stolen, or destroyed bonds;

(7) The creation of any reserve fund, sinking fund, or other fund with respect to the bonds;

(8) The time and place of payment of the bonds;

(9) Procedures for monitoring the use of the proceeds received from the sale of the bonds to ensure that the proceeds are properly applied and used to accomplish the purposes of the Home Rule Act and this subpart [§§ 2-1217.33a to 2-1217.33n];

(10) Actions necessary to qualify the bonds under blue sky laws of any jurisdiction where the bonds are marketed; and

(11) The terms and types of credit enhancement under which the bonds may be secured.

(b) The bonds shall contain a legend which shall provide that the bonds are special obligations of the District, are without recourse to the District, are not a pledge of, and do not involve, the faith and credit or the taxing power of the District (other than the Available Tax Increment, the Available Increment, and any other taxes and fees allocated to the City Market at O Street Fund), do not constitute a debt of the District, and do not constitute lending of the public credit for private undertakings as prohibited in § 1-206.02(a)(2).

(c) The bonds shall be executed in the name of the District and on its behalf by the manual or facsimile signature of the Mayor, and attested by the Secretary of the District of Columbia by the Secretary’s manual or facsimile signature.

(d) The official seal of the District, or a facsimile of it, shall be impressed, printed, or otherwise reproduced on the bonds.

(e) The bonds of any series may be issued in accordance with the terms of a trust instrument to be entered into by the District and a trustee or paying agent to be selected by the Mayor, and may be subject to the terms of one or more agreements entered into by the Mayor pursuant to § 1-204.90(a)(4).

(f) The bonds may be issued at any time or from time to time in one or more issues and in one or more series.

(g) The bonds are declared to be issued for essential public and governmental purposes. The bonds, the interest thereon, and the income therefrom, and all funds pledged or available to pay or secure the payment of the bonds, shall at all times be exempt from taxation by the District, except for estate, inheritance, and gift taxes.

(h) The District pledges, covenants, and agrees with the holders of the bonds that, subject to the provisions of the Financing Documents, the District will not limit or alter the revenues pledged to secure the bonds or the basis on which such revenues are collected or allocated, will not impair the contractual obligations of the District to fulfill the terms of any agreement made with the holders of the bonds, will not in any way impair the rights or remedies of the holders of the bonds, and will not modify, in any way, the exemptions from taxation provided for in this subpart [§§ 2-1217.33a to 2-1217.33n], until the bonds, together with interest thereon, and all costs and expenses in connection with any suit, action, or proceeding by or on behalf of the holders of the bonds, are fully met and discharged. This pledge and agreement for the District may be included as part of the contract with the holders of the bonds. This subsection constitutes a contract between the District and the holders of the bonds. To the extent that any acts or resolutions of the Council may be in conflict with this subpart [§§ 2-1217.33a to 2-1217.33n], this subpart [§§ 2-1217.33a to 2-1217.33n] shall be controlling.

(i) Consistent with § 1-204.90(a)(4)(B) and notwithstanding Article 9 of Chapter 28:

(1) A pledge made and security interest created in respect of the bonds or pursuant to any related Financing Document shall be valid, binding, and perfected from the time the security interest is created, with or without physical delivery of any funds or any property and with or without any further action;

(2) The lien of the pledge shall be valid, binding, and perfected as against all parties having any claim of any kind in tort, contract, or otherwise against the District, whether or not such party has notice; and

(3) The security interest shall be valid, binding, and perfected whether or not any statement, document, or instrument relating to the security interest is recorded or filed.

§ 2–1217.33g. Issuance of the bonds.

(a) The bonds of any series may be sold at negotiated or competitive sale at, above, or below par, to one or more persons or entities, or issued to the Development Sponsor, and upon terms that the Mayor considers to be in the best interests of the District.

(b) The Mayor or an Authorized Delegate may execute, in connection with each sale of the bonds, offering documents on behalf of the District, may deem final any such offering document on behalf of the District for purposes of compliance with federal laws and regulations governing such matters, and may authorize the distribution of the documents in connection with the bonds.

(c) The Mayor is authorized to deliver executed and sealed bonds, on behalf of the District, for authentication, and, after the bonds have been authenticated, to deliver the bonds to the original purchasers of the bonds upon payment of the purchase price.

(d) The bonds shall not be issued until the Mayor receives an approving opinion from Bond Counsel as to the validity of the bonds of such series and, if the interest on the bonds is expected to be exempt from federal income taxation, the treatment of the interest on the bonds for purposes of federal income taxation.

(e) Unit A of Chapter 3 of this title and subchapter III of Chapter 3 of Title 47 shall not apply to any contract the Mayor may from time to time enter into, or the Mayor may determine to be necessary or appropriate, for the purposes of this subpart [§§ 2-1217.33a to 2-1217.33n].

§ 2–1217.33h. Financing and Closing Documents.

(a) The Mayor is authorized to prescribe the final form and content of all Financing Documents and all Closing Documents to which the District is a party that may be necessary or appropriate to issue, sell, and deliver the bonds.

(b) The Mayor is authorized to execute, in the name of the District and on its behalf, the Financing Documents and any Closing Documents to which the District is a party by the Mayor’s manual or facsimile signature.

(c) If required, the official seal of the District, or a facsimile of it, shall be impressed, printed, or otherwise reproduced on the bonds, the other Financing Documents, and the Closing Documents to which the District is a party.

(d) The Mayor’s execution and delivery of the Financing Documents and the Closing Documents to which the District is a party shall constitute conclusive evidence of the Mayor’s approval, on behalf of the District, of the final form and content of the executed Financing Documents and the executed Closing Documents.

(e) The Mayor is authorized to deliver the executed and sealed Financing Documents and Closing Documents, on behalf of the District, prior to or simultaneously with the issuance, sale, and delivery of the bonds, and to ensure the due performance of the obligations of the District contained in the executed, sealed, and delivered Financing Documents and Closing Documents.

§ 2–1217.33i. Limited liability.

(a) The bonds shall be special obligations of the District. The bonds shall be without recourse to the District. The bonds shall not be general obligations of the District, shall not be a pledge of, or involve, the faith and credit or the taxing power of the District (other than the Available Tax Increment, the Available Increment, and any other taxes or fees allocated to the City Market at O Street Fund), shall not constitute a debt of the District, and shall not constitute lending of the public credit for private undertakings as prohibited in § 1-206.02(a)(2).

(b) The bonds shall not give rise to any pecuniary liability of the District and the District shall have no obligation with respect to the purchase of the bonds.

(c) No person, including, but not limited to, any bond owner, shall have any claims against the District or any of its elected or appointed officials, officers, employees, or agents for monetary damages suffered as a result of the failure of the District to perform any covenant, undertaking, or obligation under this subpart [§§ 2-1217.33a to 2-1217.33n], the bonds, the Financing Documents, or the Closing Documents, or as a result of the incorrectness of any representation in or omission from the Financing Documents or the Closing Documents, unless the District or its elected or appointed officials, officers, employees, or agents have acted in a willful and fraudulent manner.

§ 2–1217.33j. District officials.

(a) Except as otherwise provided in § 2-1217.33i(c), the elected or appointed officials, officers, employees, or agents of the District shall not be liable personally for the payment of the bonds or be subject to any personal liability by reason of the issuance of the bonds, or for any representations, warranties, covenants, obligations, or agreements of the District contained in this subpart [§§ 2-1217.33a to 2-1217.33n], the bonds, the Financing Documents, or the Closing Documents.

(b) The signature, countersignature, facsimile signature, or facsimile countersignature of any official appearing on the bonds, the Financing Documents, or the Closing Documents shall be valid and sufficient for all purposes notwithstanding the fact that the individual signatory ceases to hold that office before delivery of the bonds, the Financing Documents, or the Closing Documents.

§ 2–1217.33k. Maintenance of documents.

Copies of the specimen bonds and of the final Financing Documents and Closing Documents shall be filed in the Office of the Secretary of the District of Columbia.

§ 2–1217.33l. Information reporting.

Within 3 days after the Mayor’s receipt of the transcript of proceedings relating to the issuance of the bonds, the Mayor shall transmit a copy of the transcript to the Secretary to the Council.

§ 2–1217.33m. Grant authorization.

The Mayor may make a grant to the Development Sponsor in an amount not to exceed $2.5 million to assist in paying costs for architectural, engineering, design and consulting, and financial and legal services, and the costs related to the preparation of feasibility studies, plans, surveys, historic structure reports, reports of project revenues and expenses, and other predevelopment costs of the project.

§ 2–1217.33n. Applicability. [Repealed]

Repealed.

Subpart 4. Howard Theatre Redevelopment Project.

§ 2–1217.34a. Howard Theatre Redevelopment Project — Definitions.

For the purposes of this subpart [§§ 2-1217.34a to 2-1217.34n], the term:

(1) “Authorized Delegate” means the City Administrator, the Deputy Mayor for Planning and Economic Development, the Chief Financial Officer, the District of Columbia Treasurer, or any officer or employee of the executive office of the Mayor to whom the Mayor has delegated any of the Mayor’s functions under this subpart [§§ 2-1217.34a to 2-1217.34n] pursuant to § 1-204.22(6).

(2) “Available Real Property Tax Increment Revenues” means, for any fiscal year of the District, with respect to the Howard Theatre Redevelopment Project TIF Area, the revenues resulting in that fiscal year from the imposition of the tax under Chapter 8 of Title 47 and the tax under § 47-1005.01, including any penalties and interest charges, exclusive of the special tax provided for in § 1-204.81, pledged to the payment of general obligation indebtedness of the District, minus those same revenues generated in the Real Property Tax Base Year; provided, that such revenues are not otherwise exclusively committed to another purpose.

(3) “Available Sales Tax Increment Revenues” means, for any fiscal year of the District, with respect to the Howard Theatre Redevelopment Project TIF Area, the revenues resulting in that fiscal year from the imposition of the taxes under Chapters 20 and 22 of Title 47, including any penalties and interest charges, exclusive of the portion thereof required to be deposited in the Washington Convention Center Authority Fund established pursuant to § 10-1202.08, minus those same revenues generated in the Sales Tax Base Year; provided, that such revenues are not otherwise exclusively committed to another purpose.

(4) “Available Tax Increment” means the sum of the Available Sales Tax Increment Revenues and Available Real Property Tax Increment Revenue.

(5) “Bond Counsel” means a firm or firms of attorneys designated as bond counsel from time to time by the Mayor.

(6) “Bonds” means the District of Columbia revenue bonds, notes, or other obligations (including refunding bonds, notes, and other obligations), in one or more series, authorized to be issued pursuant to this subpart [§§ 2-1217.34a to 2-1217.34n].

(7) “Chairman” means the Chairman of the Council of the District of Columbia.

(8) “Chief Financial Officer” means the Chief Financial Officer of the District of Columbia.

(9) “Closing Documents” means all documents and agreements, other than Financing Documents, that may be necessary and appropriate to issue, sell, and deliver the Bonds, and includes agreements, certificates, letters, opinions, forms, receipts, and other similar instruments.

(10) “Council” means the Council of the District of Columbia.

(11) “Development Agreement” means the development agreement between the District and the Development Sponsor setting for the terms and conditions upon and pursuant to which the District will issue the Bonds and the Development Sponsor will develop the project.

(12) “Development Costs” shall have the same meaning as in § 2-1217.01(13).

(13) “Development Sponsor” means Howard Theatre Restoration, Inc., a District of Columbia corporation, or a designee or assignee of, or successor to, Howard Theatre Restoration, L.L.C., approved by the Mayor.

(14) “District” means the District of Columbia.

(15) “Financing Documents” means the documents, other than Closing Documents, that relate to the financing or refinancing of transactions to be effected through the issuance, sale, and delivery of the Bonds, including any offering document, and any required supplements to any such documents.

(16) “Home Rule Act” means Chapter 2 of Title 1 [§ 1-201.01 et seq.].

(17) “Howard Theatre Parking Garage” means parking spaces dedicated for the exclusive use by, and in conjunction with, the Howard Theatre Redevelopment Project in Lots 21, 66, 67, 68, 97, 814, 815, 855, 857, 858, and 859, Square 441.

(18) “Howard Theatre Redevelopment Project” means the financing, refinancing, or reimbursing of Development Costs incurred for the acquisition, leasing, construction, rehabilitating, installing, and equipping of a new mixed-use facility, consisting of a multi-purpose entertainment venue, museum, restaurant, and educational center within the historic building in Lots 90 and 807, Square 441.

(19) “Howard Theatre Redevelopment Project TIF Area” means the area so designated in § 2-1217.34c.

(20) “Real Property Tax Base Year” means the tax year preceding the year in which this subpart [§§ 2-1217.34a to 2-1217.34n] becomes effective and the initial assessed value to be used in making the determination of Available Real Property Tax Revenues of each lot of taxable real property in the Howard Theatre Redevelopment Project TIF Area shall be the assessed value in the tax year preceding the year in which this subpart [§§ 2-1217.34a to 2-1217.34n] becomes effective.

(21) “Reserve Agreement” means that certain Reserve Agreement, dated as of April 1, 2002, by and among the District, Wells Fargo Bank Minnesota, N.A., and Financial Security Assurance, Inc.

(22) “Sales Tax Base Year” means the tax year preceding the year in which this subpart [§§ 2-1217.34a to 2-1217.34n] becomes effective.

(23) “TIF” means tax increment financing.

§ 2–1217.34b. Creation of the Howard Theatre Redevelopment Project Fund.

(a) There is established as a nonlapsing fund the Howard Theatre Redevelopment Project Fund, which shall be used solely as provided in subsection (d) of this section. The Chief Financial Officer shall deposit into the Howard Theatre Redevelopment Project Fund the Available Tax Increment and any other taxes or fees specifically designated by law for deposit in the Howard Theatre Redevelopment Project Fund.

(b) Except as provided in subsection (e) of this section, all funds deposited into the Howard Theatre Redevelopment Project Fund, and any interest earned on the funds, shall not revert to the unrestricted fund balance of the General Fund of the District of Columbia at the end of a fiscal year, or at any other time, but shall be continually available for the uses and purposes set forth in subsection (d) of this section without regard to fiscal year limitation, subject to authorization by Congress.

(c) The Mayor may pledge and create a security interest in the funds in the Howard Theatre Redevelopment Project Fund, or any sub-account within the Howard Theatre Redevelopment Project Fund, for the payment of the costs of carrying out any of the purposes described in subsection (d) of this section without further action by the Council as permitted by § 1-204.90(f). If Bonds are issued, the payment will be made in accordance with the provisions of the Financing Documents entered into by the District in connection with the issuance of the Bonds.

(d) The funds deposited in the Howard Theatre Redevelopment Project Fund may be used to:

(1) Secure the repayment of the Bonds;

(2) Pay debt service, including principal, premium, if any, and interest on the Bonds; and

(3) Finance, refinance, or reimburse the District or the Development Sponsor for costs of the Howard Theatre Redevelopment Project.

(e) If, at the end of any fiscal year of the District following the issuance of the Bonds authorized by this subpart [§§ 2-1217.34a to 2-1217.34n], the value of cash and investments in the Howard Theatre Redevelopment Fund exceeds the amount of all payments authorized by this subpart [§§ 2-1217.34a to 2-1217.34n] and the Financing Documents, including required deposits into reserve funds, amounts to be set aside for additional series of Bonds issued under this subpart [§§ 2-1217.34a to 2-1217.34n], and any coverage requirements associated with the sale of the Bonds, during the upcoming fiscal year, the excess shall be transferred to the General Fund of the District of Columbia, unless the District elects to use the excess to redeem Bonds prior to maturity.

§ 2–1217.34c. Creation of the Howard Theatre Redevelopment Project TIF Area.

There is hereby established the Howard Theatre Redevelopment Project TIF Area, which shall consist of the following real property:

(1) Lot 90, Square 441 (with a street address of 620 T Street, N.W.);

(2) Lot 807, Square 441 (with a street address of 1830 Wiltberger Street, N.W.); and

(3) The Howard Theatre Parking Garage.

§ 2–1217.34d. Bond authorization.

(a) The Council approves and authorizes the issuance of one or more series of Bonds in an aggregate amount not to exceed $4 million to fund costs of the Howard Theatre Redevelopment Project, including Development Costs, the financing costs and costs of issuance, capitalized interest, establishment of debt service or other reserve funds related to the Bonds, and any other debt program-related costs as determined by the Chief Financial Officer.

(b) The Mayor may pay from the proceeds of the Bonds, the costs and expenses incurred by the District of Columbia in issuing and delivering the Bonds.

§ 2–1217.34e. Bond details.

(a) The Mayor may take any action reasonably necessary or appropriate in accordance with this subpart [§§ 2-1217.34a to 2-1217.34n] in connection with the preparation, execution, issuance, sale, delivery, security for, and payment of the Bonds of each series, including, but not limited to, determinations of:

(1) The final form, content, designation, and terms of the Bonds, including a determination that the Bonds may be issued in certificated or book-entry form;

(2) The principal amount of the Bonds to be issued and denominations of the Bonds;

(3) The rate or rates of interest or the method for determining the rate or rates of interest on the Bonds;

(4) The date or dates of issuance, sale, and delivery of, and the payment of interest on, the Bonds, and the maturity date or dates of the Bonds;

(5) The terms under which the Bonds may be paid, optionally or mandatorily redeemed, accelerated, tendered, called, or put for redemption, repurchase, or remarketing before their respective stated maturities;

(6) Provisions for the registration, transfer, and exchange of the Bonds and the replacement of mutilated, lost, stolen, or destroyed Bonds;

(7) The creation of any reserve fund, sinking fund, or other fund with respect to the Bonds;

(8) The time and place of payment of the Bonds;

(9) Procedures for monitoring the use of the proceeds received from the sale of the Bonds to ensure that the proceeds are properly applied and used to accomplish the purposes of the Home Rule Act and this subpart [§§ 2-1217.34a to 2-1217.34n];

(10) Actions necessary to qualify the Bonds under blue sky laws of any jurisdiction where the Bonds are marketed; and

(11) The terms and types of credit enhancement under which the Bonds may be secured.

(b) The Bonds shall contain a legend, which shall provide that the Bonds are special obligations of the District, are without recourse to the District, are not a pledge of, and do not involve, the faith and credit or the taxing power of the District (other than the Available Tax Increment and any other taxes and fees allocated to the Howard Theatre Redevelopment Project Fund), do not constitute a debt of the District, and do not constitute lending of the public credit for private undertakings as prohibited in § 1-206.02(a)(2).

(c) The Bonds shall be executed in the name of the District and on its behalf by the manual or facsimile signature of the Mayor, and attested by the Secretary of the District of Columbia by the Secretary’s manual or facsimile signature.

(d) The official seal of the District, or a facsimile of it, shall be impressed, printed, or otherwise reproduced on the Bonds.

(e) The Bonds of any series may be issued in accordance with the terms of a trust instrument to be entered into by the District and a trustee or paying agent to be selected by the Mayor, and may be subject to the terms of one or more agreements entered into by the Mayor pursuant to § 1-204.90(a)(4).

(f) The Bonds may be issued at any time or from time to time in one or more issues and in one or more series.

(g) The Bonds are declared to be issued for essential public and governmental purposes. The Bonds, the interest thereon, and the income therefrom, and all funds pledged or available to pay or secure the payment of the Bonds, shall at all times be exempt from taxation by the District, except for estate, inheritance, and gift taxes.

(h) The District pledges, covenants, and agrees with the holders of the Bonds that, subject to the provisions of the Financing Documents, the District will not limit or alter the basis on which Available Real Property Tax Increment Revenues or Available Sales Tax Increment Revenues are received, allocated, applied, or pledged, will not impair the contractual obligations of the District to fulfill the terms of any agreement made with the holders of the Bonds, will not in any way impair the rights or remedies of the holders of the Bonds, and will not modify, in any way, the exemptions from taxation provided for in this subpart [§§ 2-1217.34a to 2-1217.34n], until the Bonds, together with interest thereon, and all costs and expenses in connection with any suit, action, or proceeding by or on behalf of the holders of the Bonds, are fully met and discharged. This pledge and agreement for the District may be included as part of the contract with the holders of the Bonds. This subsection shall constitute a contract between the District and the holders of the Bonds. To the extent that any acts or resolutions of the Council may be in conflict with this subpart [§§ 2-1217.34a to 2-1217.34n], this subpart [§§ 2-1217.34a to 2-1217.34n] shall be controlling.

(i) Consistent with § 1-204.90(a)(4)(B) and notwithstanding Article 9 of Subtitle I of Title 28:

(1) A pledge made and security interest created in respect of the Bonds or pursuant to any related Financing Document shall be valid, binding, and perfected from the time the security interest is created, with or without physical delivery of any funds or any property and with or without any further action;

(2) The lien of the pledge shall be valid, binding, and perfected as against all parties having any claim of any kind in tort, contract, or otherwise against the District, whether or not such party has notice; and

(3) The security interest shall be valid, binding, and perfected whether or not any statement, document, or instrument relating to the security interest is recorded or filed.

§ 2–1217.34f. Issuance of the Bonds.

(a) The Bonds of any series may be sold at negotiated upon terms that the Mayor considers to be in the best interests of the District.

(b) The Bonds also may be issued as a TIF note to the Development Sponsor and may be held and used as security for debt incurred or to be incurred by the Development Sponsor, an agent of the Development Sponsor, or another party selected by the Development Sponsor.

(c) The Mayor or an Authorized Delegate may execute, in connection with each sale of the Bonds, offering documents on behalf of the District, may deem final any such offering document on behalf of the District for purposes of compliance with federal laws and regulations governing such matters, and may authorize the distribution of the documents in connection with the sale of the Bonds.

(d) The Mayor is authorized to deliver executed and sealed Bonds, on behalf of the District, for authentication, and, after the Bonds have been authenticated, to deliver the Bonds to the original purchasers of the Bonds upon payment of the purchase price.

(e) The Bonds shall not be issued until the Mayor receives an approving opinion from Bond Counsel as to the validity of the Bonds of such series and, if the interest on the Bonds is expected to be exempt from federal income taxation, the treatment of the interest on the Bonds for purposes of federal income taxation.

(f) Chapter 3A of this title [§ 2-351.01 et seq.] and subchapter III of Chapter 3 of Title 47 shall not apply to any contract that the Mayor may from time to time enter into, or the Mayor may determine to be necessary or appropriate, for purposes of this subpart [§§ 2-1217.34a to 2-1217.34n].

§ 2–1217.34g. Payment and security.

(a) Except as may be otherwise provided in this subpart [§§ 2-1217.34a to 2-1217.34n], the principal of, premium, if any, on, and interest on, the Bonds shall be payable solely from proceeds received from the sale of the Bonds, income realized from the temporary investment of those proceeds, receipts and revenues realized by the District from the Howard Theatre Redevelopment Project Fund, income realized from the temporary investment of those receipts and revenues prior to payment to the Bond owners, and other funds that, as provided in the Financing Documents, may be made available to the District for payment of the Bonds from sources other than the District, all as provided for in the Financing Documents.

(b) There is further allocated to the payment of debt service on the Bonds the Available Increment. The Available Increment shall be subordinate to the allocation of Available Increment to the Budgeted Reserve (as defined in the Reserve Agreement and as these terms more fully described in the Reserve Agreement) to the extent that the Reserve Agreement continues to apply to the Available Increment and may be used for the payment of debt service on the Bonds to the extent that the revenues allocated in subsection (a) of this section are inadequate to pay debt service on the Bonds. The allocation of Available Increment authorized by this subsection shall be made in compliance with all existing contractual obligations of the District with respect to the Available Increment and shall terminate on the date on which all of the Bonds are paid or provided for and are no longer outstanding pursuant to their terms.

(c) Payment of the Bonds shall be secured as provided in the Financing Documents and by an assignment by the District for the benefit of the Bond owners of certain of its rights under the Financing Documents and Closing Documents to the trustee for the Bonds pursuant to the Financing Documents.

(d) The trustee or paying agent is authorized to deposit, invest, and disburse the proceeds received from the sale of the Bonds pursuant to the Financing Documents.

§ 2–1217.34h. Financing and Closing Documents.

(a) The Mayor is authorized to prescribe the final form and content of all Financing Documents and all Closing Documents to which the District is a party that may be necessary or appropriate to issue, sell, and deliver the Bonds.

(b) The Mayor is authorized to execute, in the name of the District and on its behalf, the Financing Documents and any Closing Documents to which the District is a party by the Mayor’s manual or facsimile signature.

(c) If required, the official seal of the District, or a facsimile of it, shall be impressed, printed, or otherwise reproduced on the Bonds, the Financing Documents, and the Closing Documents to which the District is a party.

(d) The Mayor’s execution and delivery of the Financing Documents and the Closing Documents shall constitute conclusive evidence of the Mayor’s approval, on behalf of the District, of the final form and content thereof.

(e) The Mayor is authorized to deliver the executed and sealed Financing Documents and Closing Documents, on behalf of the District, prior to or simultaneously with the issuance, sale, and delivery of the Bonds, and to ensure the due performance of the obligations of the District contained in the executed, sealed, and delivered Financing Documents and Closing Documents.

§ 2–1217.34i. Limited liability.

(a) The Bonds shall be special obligations of the District. The Bonds shall be without recourse to the District. The Bonds shall not be general obligations of the District, shall not be a pledge of, or involve, the faith and credit or the taxing power of the District (other than the Available Tax Increment and any other taxes or fees allocated to the Howard Theatre Redevelopment Project Fund), shall not constitute a debt of the District, and shall not constitute lending of the public credit for private undertakings as prohibited in § 1-206.02(a)(2).

(b) The Bonds shall not give rise to any pecuniary liability of the District and the District shall have no obligation with respect to the purchase of the Bonds.

(c) No person, including, but not limited to any Bond owner, shall have any claims against the District or any of its elected or appointed officials, officers, employees, or agents for monetary damages suffered as a result of the failure of the District to perform any covenant, undertaking, or obligation under this subpart [§§ 2-1217.34a to 2-1217.34n], the Bonds, the Financing Documents, or the Closing Documents, or as a result of the incorrectness of any representation in or omission from the Financing Documents or the Closing Documents, unless the District or its elected or appointed officials, officers, employees, or agents have acted in a willful and fraudulent manner.

§ 2–1217.34j. District officials.

(a) Except as otherwise provided in § 2-1217.34i(c), the elected or appointed officials, officers, employees, or agents of the District shall not be liable personally for the payment of the Bonds or be subject to any personal liability by reason of the issuance of the Bonds, or for any representations, warranties, covenants, obligations, or agreements of the District contained in this subpart [§§ 2-1217.34a to 2-1217.34n], the Bonds, the Financing Documents, or the Closing Documents.

(b) The signature, countersignature, facsimile signature, or facsimile countersignature of any official appearing on the Bonds, the Financing Documents, or the Closing Documents shall be valid and sufficient for all purposes notwithstanding the fact that the individual signatory ceases to hold that office before delivery of the Bonds, the Financing Documents, or the Closing Documents.

§ 2–1217.34k. Maintenance of documents.

Copies of the specimen Bonds and of the final Financing Documents and Closing Documents shall be filed in the Office of the Secretary of the District of Columbia.

§ 2–1217.34l. Information reporting.

Within 3 days after the Mayor’s receipt of the transcript of proceedings relating to the issuance of the Bonds, the Mayor shall transmit a copy of the transcript to the Secretary to the Council.

§ 2–1217.34m. Authority of the Chief Financial Officer.

Notwithstanding any other provision of this subpart [§§ 2-1217.34a to 2-1217.34n], any action taken by the Mayor to implement the provisions of this subpart [§§ 2-1217.34a to 2-1217.34n] shall be consistent with the Chief Financial Officer’s authority under § 1-204.24d.

§ 2–1217.34n. Fiscal impact of issuance.

For the purposes of determining the fiscal impact of this subpart [§§ 2-1217.34a to 2-1217.34n], the Bonds shall be deemed to be issued under the authority of subchapter IX-A of this chapter [§ 2-1217.71 et seq.], as a project within the 7th Street/Georgia Avenue, N.W., Retail Priority Area established pursuant to the Great Streets Neighborhood Retail Priority Areas Approval Resolution of 2007, effective July 10, 2007 (Res. 17-257; 54 DCR 7194 ).

Subpart 5. Skyland Town Center.

§ 2–1217.35a. Definitions.

For purposes of this subpart, the term:

(1) “Authorized Delegate” means the Deputy Mayor for Planning and Economic Development, the Chief Financial Officer, the Treasurer, or any officer, or employee of the executive office of the Mayor to whom the Mayor has delegated any of the Mayor’s functions under this subpart pursuant to § 1-204.22(6).

(2) “Available Increment” shall have the same meaning as set forth in the Reserve Agreement.

(3) “Available Real Property Tax Revenues” means the revenues resulting from the imposition of the tax provided for in Chapter 8 of Title 47, inclusive of any penalties and interest charges, exclusive of the special tax provided for in § 1-204.81 pledged to payment of general obligation indebtedness of the District.

(4) “Available Sales Tax Revenues” means the revenues resulting from the imposition of the tax provided for in Chapter 20 of Title 47, including penalty and interest charges, exclusive of the portion thereof required to be deposited in the Washington Convention Center Fund established pursuant to § 10-1202.08.

(5) “Available Tax Increment” means the sum of the Available Sales Tax Revenues and Available Real Property Tax Revenues generated in the Skyland TIF Area in any fiscal year of the District minus the sum of Available Sales Tax Revenues and Available Real Property Tax Revenues generated in the Skyland TIF Area in the base year.

(6) “Bond Counsel” means a firm or firms of attorneys designated as bond counsel from time to time by the Mayor.

(7) “Bonds” means the District of Columbia revenue bonds, notes, or other obligations (including refunding bonds, notes, and other obligations), in one or more series, authorized to be issued pursuant to this subpart.

(8) “CBE Agreement” means an agreement governing certain obligations of the Developer under subchapter IX-A of Chapter 2 of this title [§ 2-218.01 et seq.], including the equity and development participation requirements set forth in § 2-218.49a.

(9) “Certified Business Enterprise” means a business enterprise or joint venture certified pursuant to subchapter IX-A of Chapter 2 of this title [§ 2-218.01 et seq.].

(10) “Chairman” means the Chairman of the Council of the District of Columbia.

(11) “Chief Financial Officer” means the Chief Financial Officer of the District of Columbia established by § 1-204.24a(a).

(12) “Closing Documents” means all documents and agreements, other than Financing Documents, that may be necessary and appropriate to issue, sell, and deliver the Bonds, and includes agreements, certificates, letters, opinions, forms, receipts, and other similar instruments.

(13) “Council” means the Council of the District of Columbia.

(14) “Debt Service” means principal, premium, if any, and interest on the Bonds.

(15) “Developer” means Skyland Holdings, LLC, a Delaware limited liability company, with a business address of 8405 Greensboro Drive, Suite 830, McLean, VA 22102-5121, or its successor, or one of its affiliates or assignees approved by the Mayor.

(16) “Development Costs” has the same meaning as in § 2-1217.01(13).

(17) “Development Sponsor” means Skyland Holdings, LLC, a District of Columbia limited liability company, or any other entity that undertakes the development of the project with the approval of the Mayor.

(18) “Financing Documents” means the documents, other than Closing Documents, that relate to the financing or refinancing of transactions to be effected through the issuance, sale, and delivery of the Bonds, including any offering document, and any required supplements to any such documents.

(19) “First Source Agreement” means an agreement with the District governing certain obligations of the Developer pursuant to § 2-219.03, and Mayor’s Order 83-265, dated November 9, 1983, regarding job creation and employment generated as a result of the construction on the Property.

(20) “Home Rule Act” means Chapter 2 of Title 1 [§ 1-201.01 et seq.].

(21) “Project” means the financing, refinancing, or reimbursing of Development Costs incurred for the acquisition, construction, installing, and equipping of a mixed-use project consisting of retail and residential space, and parking in the Skyland TIF Area.

(22) “Property” means the real property known as the Skyland Shopping Center and adjacent parcels, including any area within public alleys as hereinafter closed, and known for tax and assessment purposes as Square 5632, Lot 0001; Square 5632, Lot 0003; Square 5632, Lot 0004; Square 5632, Lot 0005; Square 5632, Lot 0802; Square 5633, Lot 0800; Square 5633, Lot 0801; Square 5641, Lot 0010; Square 5641, Lot 0011; Square 5641, Lot 0012; Square 5641, Lot 0013; Square 5641, Lot 0819; Square 5641N, Lot 0012; Square 5641N, Lot 0013; Square 5641N, Lot 0014; Square 5641N, Lot 0015; Square 5641N, Lot 0016; Square 5641N, Lot 0017; Square 5641N, Lot 0018; Square 5641N, Lot 0019; Square 5641N, Lot 0020; Square 5641N, Lot 0021; Square 5641N, Lot 0022; Square 5641N, Lot 0023; Square 5641N, Lot 0024; Square 5641N, Lot 0025; Square 5641N, Lot 0026; Square 5641N, Lot 0027; Square 5641N, Lot 0028; Square 5641N, Lot 0029; Square 5641N, Lot 0030; Square 5641N, Lot 0031; Square 5641N, Lot 0033; Parcel 0213/0052; Parcel 0213/0060; Parcel 0213/0061; Parcel 0214/0062; Parcel 0214/0088; Parcel 0214/0104; Parcel 0214/0182; Parcel 0214/0187; Parcel 0214/0189; Parcel 0214/0190; and Parcel 0214/0196.

(23) “Reserve Agreement” means that certain Reserve Agreement, dated as of April 1, 2002, by and among the District, Wells Fargo Bank Minnesota, N.A., and Financial Security Assurance, Inc.

(24) “TIF” means tax increment financing.

§ 2–1217.35b. Creation of the Skyland TIF Fund.

(a) There is established as a nonlapsing fund the Skyland TIF Fund. The Chief Financial Officer shall deposit into the Skyland TIF Fund the Available Tax Increment and any other taxes or fees specifically designated by law for deposit in the Skyland TIF Fund.

(b) The Mayor may pledge and create a security interest in the funds in the Skyland TIF Fund, or any sub-account within the Skyland TIF Fund, for the payment of debt service on the Bonds without further action by the Council as permitted by § 1-204.90. The payment of debt service shall be made in accordance with the provisions of the Financing Documents entered into by the District in connection with the issuance of the Bonds.

(c) If, at the end of any fiscal year of the District, the balance of cash and investments in the Skyland TIF Fund exceeds the amount of debt service (including prepayment of principal and interest), reserves on any Bonds, and any approved bond-related administrative expenses during the upcoming fiscal year, the excess shall be transferred to the unrestricted balance of the General Fund of the District of Columbia.

§ 2–1217.35c. Creation of the Skyland TIF Area; Available Sales Tax Revenues base year determinations.

(a) There is created a TIF area designated as the Skyland TIF Area. The Skyland TIF Area is defined as the real property located in Square 5632, Lot 0001; Square 5632, Lot 0003; Square 5632, Lot 0004; Square 5632, Lot 0005; Square 5632, Lot 0802; Square 5633, Lot 0800; Square 5633, Lot 0801; Square 5641, Lot 0010; Square 5641, Lot 0011; Square 5641, Lot 0012; Square 5641, Lot 0013; Square 5641, Lot 0819; Square 5641N, Lot 0012; Square 5641N, Lot 0013; Square 5641N, Lot 0014; Square 5641N, Lot 0015; Square 5641N, Lot 0016; Square 5641N, Lot 0017; Square 5641N, Lot 0018; Square 5641N, Lot 0019; Square 5641N, Lot 0020; Square 5641N, Lot 0021; Square 5641N, Lot 0022; Square 5641N, Lot 0023; Square 5641N, Lot 0024; Square 5641N, Lot 0025; Square 5641N, Lot 0026; Square 5641N, Lot 0027; Square 5641N, Lot 0028; Square 5641N, Lot 0029; Square 5641N, Lot 0030; Square 5641N, Lot 0031; Square 5641N, Lot 0033; Parcel 0213/0052; Parcel 0213/0060; Parcel 0213/0061; Parcel 0214/0062; Parcel 0214/0088; Parcel 0214/0104; Parcel 0214/0182; Parcel 0214/0187; Parcel 0214/0189; Parcel 0214/0190; and Parcel 0214/0196 and for any other parcel located within the geographic area bounded by a line beginning for the same at a point at the intersection of the northerly line of Good Hope Road, S.E., with the northerly line of Alabama Avenue, S.E., and running then northwesterly along said line of Good Hope Road, S.E., extended, to intersect a point on the east line of Naylor Road, S.E.; then northwesterly along said line of Naylor Road, to a point at the northwesterly corner of Lot 801 in Square 5633; then northeasterly along the northerly line of said lot & square to a point at the westernmost corner of Parcel 213/52; then continuing northeasterly along the northerly line of said Parcel 213/52, to a point at the southwesterly corner of Parcel 213/60; then northeasterly along the arc of a curve, deflecting to the right, along the westerly line of said Parcel 213/60, to a point at the northernmost corner of said Parcel 213/60; then southeasterly along the easterly lines of said Parcel 213/60 and 213/52 to a point at the northwesterly corner of Lot 33 in Square North of Square 5641; then easterly along the north property lines of said Lot 33 and Lots 16 through 31, both inclusive, in Square North of Square 5641 to a point at the northeast corner of said Lot 31 in said square; then south along the east line of said Lot 31 in said square to a point at the southeast corner thereof; then Westerly along the south lines of said Lots 31, 30, 29, 28, 27, 26, 25, 24, 23 and 22 in said square to a point at the southwest corner of said lot 22, to intersect a line drawn northwesterly from the northeast corner of Lot 12 in Square North of Square 5641; then southeasterly along said line drawn and the east line of said Lot 12 in said square, to a point at the southeast corner thereof, to a point that intersects a line drawn northwesterly from the northeast corner of Lot in Square 5641; then southeasterly along said line drawn and the east line of said Lot 13 in said square to a point at the southeast corner thereof; then southwesterly along the south property lines of Lots 13 and 12 in Square 5641 to a point that intersects a line drawn northwesterly from the northeast corner of Lot 819 in Square 5641; then Southeasterly along said line drawn and the east line of said Lot 819 in said square, to a point at the southeast corner of said Lot 819 in said square, on the north line of Alabama Avenue, S.E.; and then southwesterly along the arc of a circle, deflecting to the right, along said line of Alabama Avenue, to the point of beginning.

(b) As provided under § 2-1217.35b, the Available Tax Increment from the Skyland TIF Area shall be deposited in the Skyland TIF Fund and may be used for the purposes set forth in § 2-1217.35b.

(c)(1) The base year for determination of Available Sales Tax Revenues from locations within the Skyland TIF Area shall be tax year 2016.

(2) The base year for determining Available Real Property Tax Revenues shall be tax year 2016 and the initial assessed value to be used in making the determination of Available Real Property Tax Revenues shall be the assessed value of each lot of taxable real property in the Skyland TIF Area for tax year 2016.

§ 2–1217.35d. Bond authorization.

The Council approves and authorizes the issuance of one or more series of Bonds in an aggregate principal amount not to exceed $40 million to fund the project. The Bonds, which may be issued from time to time, in one or more series, shall be tax-exempt or taxable as the Mayor shall determine and shall be payable and secured as provided in §  2-1217.35e(c). The proceeds of the Bonds shall be used to pay Development Costs of the project and the financing costs incurred by the District or the Development Sponsor and to fund capitalized interest and required reserves.

§ 2–1217.35e. Payment and security.

(a) Except as otherwise provided in this subpart, the principal of, premium, if any, and interest on, the Bonds, and the payment of ongoing administrative expenses related to the bond financing shall be payable solely from proceeds received from the sale of the Bonds, income realized from the temporary investment of those proceeds, receipts and revenues realized by the District from the Skyland TIF Fund, income realized from the temporary investment of those receipts and revenues prior to payment to the Bond owners, and other funds that, as provided in the Financing Documents, may be made available to the District for payment of the Bonds from sources other than the District, all as provided for in the Financing Documents.

(b) There is further allocated to the payment of debt service on the Bonds the Available Increment, subordinate to the allocation of Available Increment to the Budgeted Reserve, as defined in the Reserve Agreement, all as more fully described in the Reserve Agreement and to the extent that the Reserve Agreement continues to apply to the Available Increment, to be used for the payment of debt service on the Bonds to the extent that the revenues allocated in subsection (a) of this section are inadequate to pay debt service on the Bonds. The allocation of the Available Increment authorized by this subsection shall be made in compliance with all existing contractual obligations of the District with respect to the Available Increment and shall terminate on the date on which all of the Bonds are paid or provided for and are no longer outstanding pursuant to their terms.

(c) Payment of the Bonds shall be secured as provided in the Financing Documents and by an assignment by the District for the benefit of the Bond owners of certain of its rights under the Financing Documents and Closing Documents to the trustee for the Bonds pursuant to the Financing Documents.

(d) The trustee or paying agent is authorized to deposit, invest, and disburse the proceeds received from the sale of the Bonds pursuant to the Financing Documents.

§ 2–1217.35f. Bond details.

(a) The Mayor is authorized to take any action reasonably necessary or appropriate in accordance with this subpart in connection with the preparation, execution, issuance, sale, delivery, security for, and payment of the Bonds of each series, including, but not limited to, determinations of:

(1) The final form, content, designation, and terms of the Bonds, including a determination that the Bonds may be issued in certificated or book-entry form;

(2) The principal amount of the Bonds to be issued and denominations of the Bonds;

(3) The rate or rates of interest or the method for determining the rate or rates of interest on the Bonds;

(4) The date or dates of issuance, sale, and delivery of, and the payment of interest on, the Bonds, and the maturity date or dates of the Bonds;

(5) The terms under which the Bonds may be paid, optionally or mandatorily redeemed, accelerated, tendered, called, or put for redemption, repurchase, or remarketing before their respective stated maturities;

(6) Provisions for the registration, transfer, and exchange of the Bonds and the replacement of mutilated, lost, stolen, or destroyed Bonds;

(7) The creation of any reserve fund, sinking fund, or other fund with respect to the Bonds;

(8) The time and place of payment of the Bonds;

(9) Procedures for monitoring the use of the proceeds received from the sale of the Bonds to ensure that the proceeds are properly applied and used to accomplish the purposes of the Home Rule Act and this subpart;

(10) Actions necessary to qualify the Bonds under blue sky laws of any jurisdiction where the Bonds are marketed; and

(11) The terms and types of credit enhancement under which the Bonds may be secured.

(b) The Bonds shall contain a legend which shall provide that the Bonds are special obligations of the District, are without recourse to the District, are not a pledge of, and do not involve, the faith and credit or the taxing power of the District (other than the Available Tax Increment, the Available Increment, and any other taxes and fees allocated to the Skyland TIF Fund), do not constitute a debt of the District, and do not constitute lending of the public credit for private undertakings as prohibited in §  1-206.02(a)(2).

(c) The Bonds shall be executed in the name of the District and on its behalf by the manual or facsimile signature of the Mayor, and attested by the Secretary of the District of Columbia by the Secretary’s manual or facsimile signature.

(d) The official seal of the District, or a facsimile of it, shall be impressed, printed, or otherwise reproduced on the Bonds.

(e) The Bonds of any series may be issued in accordance with the terms of a trust instrument to be entered into by the District and a trustee or paying agent to be selected by the Mayor, and may be subject to the terms of one or more agreements entered into by the Mayor pursuant to §  1-204.90(a)(4).

(f) The Bonds may be issued at any time or from time to time in one or more issues and in one or more series.

(g) The Bonds are declared to be issued for essential public and governmental purposes. The Bonds, the interest thereon, and the income therefrom, and all funds pledged or available to pay or secure the payment of the Bonds, shall at all times be exempt from taxation by the District, except for estate, inheritance, and gift taxes.

(h) The District pledges, covenants, and agrees with the holders of the Bonds that, subject to the provisions of the Financing Documents, the District will not limit or alter the revenues pledged to secure the Bonds or the basis on which such revenues are collected or allocated, will not impair the contractual obligations of the District to fulfill the terms of any agreement made with the holders of the Bonds, will not in any way impair the rights or remedies of the holders of the Bonds, and will not modify, in any way, the exemptions from taxation provided for in this subpart, until the Bonds, together with interest thereon, and all costs and expenses in connection with any suit, action, or proceeding by or on behalf of the holders of the Bonds, are fully met and discharged. This pledge and agreement for the District may be included as part of the contract with the holders of the Bonds. This subsection constitutes a contract between the District and the holders of the Bonds. To the extent that any acts or resolutions of the Council may be in conflict with this subpart, this subpart shall be controlling.

(i) Consistent with §  1-204.90(a)(4)(B) and notwithstanding Article 9 of Title 28:

(1) A pledge made and security interest created in respect of the Bonds or pursuant to any related Financing Document shall be valid, binding, and perfected from the time the security interest is created, with or without physical delivery of any funds or any property and with or without any further action;

(2) The lien of the pledge shall be valid, binding, and perfected as against all parties having any claim of any kind in tort, contract, or otherwise against the District, whether or not such party has notice; and

(3) The security interest shall be valid, binding, and perfected whether or not any statement, document, or instrument relating to the security interest is recorded or filed.

§ 2–1217.35g. Issuance of the Bonds.

(a) The Bonds of any series may be sold at negotiated or competitive sale at, above, or below par, to one or more persons or entities, or issued to the Development Sponsor, and upon terms that the Mayor considers to be in the best interests of the District.

(b) The Mayor or an Authorized Delegate may execute, in connection with each sale of the Bonds, offering documents on behalf of the District, may deem final any such offering document on behalf of the District for purposes of compliance with federal laws and regulations governing such matters, and may authorize the distribution of the documents in connection with the Bonds.

(c) The Mayor is authorized to deliver executed and sealed Bonds, on behalf of the District, for authentication, and, after the Bonds have been authenticated, to deliver the Bonds to the original purchasers of the Bonds upon payment of the purchase price.

(d) The Bonds shall not be issued until the Mayor receives an approving opinion from Bond Counsel as to the validity of the Bonds of such series and, if the interest on the Bonds is expected to be exempt from federal income taxation, the treatment of the interest on the Bonds for purposes of federal income taxation.

(e) Chapter 3A of this title [§  2-351.01 et seq.] and subchapter III-A of Chapter 3 of Title 47 shall not apply to any contract the Mayor may from time to time enter into, or determine to be necessary or appropriate, for the purposes of this subpart.

§ 2–1217.35h. Financing and Closing Documents.

(a) The Mayor is authorized to prescribe the final form and content of all Financing Documents and all Closing Documents to which the District is a party that may be necessary or appropriate to issue, sell, and deliver the Bonds.

(b) The Mayor is authorized to execute, in the name of the District and on its behalf, the Financing Documents and any Closing Documents to which the District is a party by the Mayor’s manual or facsimile signature.

(c) If required, the official seal of the District, or a facsimile of it, shall be impressed, printed, or otherwise reproduced on the Bonds, the other Financing Documents, and the Closing Documents to which the District is a party.

(d) The Mayor’s execution and delivery of the Financing Documents and the Closing Documents to which the District is a party shall constitute conclusive evidence of the Mayor’s approval, on behalf of the District, of the final form and content of the executed Financing Documents and the executed Closing Documents.

(e) The Mayor is authorized to deliver the executed and sealed Financing Documents and Closing Documents, on behalf of the District, prior to or simultaneously with the issuance, sale, and delivery of the Bonds, and to ensure the due performance of the obligations of the District contained in the executed, sealed, and delivered Financing Documents and Closing Documents.

§ 2–1217.35i. Limited liability.

(a) The Bonds shall be special obligations of the District. The Bonds shall be without recourse to the District. The Bonds shall not be general obligations of the District, shall not be a pledge of, or involve, the faith and credit or the taxing power of the District (other than the Available Tax Increment, the Available Increment, and any other taxes or fees allocated to the Skyland TIF Fund), shall not constitute a debt of the District, and shall not constitute lending of the public credit for private undertakings as prohibited in §  1-206.02(a)(2).

(b) The Bonds shall not give rise to any pecuniary liability of the District and the District shall have no obligation with respect to the purchase of the Bonds.

(c) No person, including, but not limited to, any Bond owner, shall have any claims against the District or any of its elected or appointed officials, officers, employees, or agents for monetary damages suffered as a result of the failure of the District to perform any covenant, undertaking, or obligation under this subpart, the Bonds, the Financing Documents, or the Closing Documents, or as a result of the incorrectness of any representation in or omission from the Financing Documents or the Closing Documents, unless the District or its elected or appointed officials, officers, employees, or agents have acted in a willful and fraudulent manner.

§ 2–1217.35j. District officials.

(a) Except as otherwise provided in §  2-1217.35i(c), the elected or appointed officials, officers, employees, or agents of the District shall not be liable personally for the payment of the Bonds or be subject to any personal liability by reason of the issuance of the Bonds, or for any representations, warranties, covenants, obligations, or agreements of the District contained in this subpart, the Bonds, the Financing Documents, or the Closing Documents.

(b) The signature, countersignature, facsimile signature, or facsimile countersignature of any official appearing on the Bonds, the Financing Documents, or the Closing Documents shall be valid and sufficient for all purposes notwithstanding the fact that the individual signatory ceases to hold that office before delivery of the Bonds, the Financing Documents, or the Closing Documents.

§ 2–1217.35k. Maintenance of documents.

Copies of the specimen Bonds and of the final Financing Documents and Closing Documents shall be filed in the Office of the Secretary of the District of Columbia.

§ 2–1217.35l. Information reporting.

Within 3 days after the Mayor’s receipt of the transcript of proceedings relating to the issuance of the Bonds, the Mayor shall transmit a copy of the transcript to the Secretary to the Council.

Subpart 6. Union Market District. [Repealed] [Repealed]

§ 2–1217.36a. Definitions. [Repealed]

Repealed.

§ 2–1217.36b. Findings. [Repealed]

Repealed.

§ 2–1217.36c. Declaration of intent. [Repealed]

Repealed.

§ 2–1217.36d. Future legal requirements. [Repealed]

Repealed.

Subpart 6A. Union Market.

§ 2–1217.36e. Definitions.

For the purposes of this subpart, the term:

(1) "Authorized Delegate" means the Deputy Mayor for Planning and Economic Development, the Chief Financial Officer, the Treasurer, or any officer or employee of the executive office of the Mayor to whom the Mayor has delegated any of the Mayor's functions under this subpart pursuant to § 1-204.22(6).

(2) "Available Increment" shall have the same meaning as set forth in the Reserve Agreement.

(3) "Available Real Property Tax Revenues" means the revenues resulting from the imposition of the tax provided for in Chapter 8 of Title 47, inclusive of any penalties and interest charges, exclusive of the special tax provided for in § 1-204.81 pledged to payment of general obligation indebtedness of the District.

(4) "Available Sales Tax Revenues" means the revenues resulting from the imposition of the tax under Chapter 20 of Title 47, including penalty and interest charges, exclusive of the portion thereof required to be deposited in the Washington Convention Center Fund established pursuant to § 10-1202.08, and any amounts to be made available to the Washington Metropolitan Transit Authority pursuant to section 7102 of the Revised Revenue Contingency List Act of 2017, enacted on July 31, 2017 (D.C. Act 22-130; 62 DCR 7652), and § 9-1111.15(b)(2)(A).

(5) "Available Tax Increment" means the sum of the Available Sales Tax Revenues and Available Real Property Tax Revenues generated in the Union Market TIF Area in any fiscal year of the District minus the sum of Available Sales Tax Revenues and Available Real Property Tax Revenues generated in the Union Market TIF Area in the applicable base year.

(6) "Bond Counsel" means a firm or firms of attorneys designated as bond counsel from time to time by the Mayor.

(7) "Bonds" means the District of Columbia revenue bonds, notes, or other obligations, in one or more series, authorized to be issued pursuant to this subpart. Unless otherwise specified, the term "bonds" shall include Refunding Bonds.

(8) "Chairman" means the Chairman of the Council of the District of Columbia.

(9) "Chief Financial Officer" means the Chief Financial Officer established by § 1-204.24a(a).

(10) "Closing Documents" means all documents and agreements, other than Financing Documents, that may be necessary and appropriate to issue, sell, and deliver the bonds, and includes agreements, certificates, letters, opinions, forms, receipts, and other similar instruments.

(11) "Council" means the Council of the District of Columbia.

(12) "Debt Service" means principal, premium, if any, and interest on the bonds.

(13) "Development Costs" has the same meaning as in § 2-1217.01(13).

(14) "Development Sponsor" means Union Market Infrastructure Corp., qualified to do business in the District of Columbia, or any other entity that undertakes the development of the project with the approval of the Mayor.

(15) "District" means the District of Columbia.

(16) "Financing Documents" means the documents, other than Closing Documents, that relate to the financing or refinancing of transactions to be effected through the issuance, sale, and delivery of the bonds, including any offering document, and any required supplements to any such documents.

(17) "Home Rule Act" means Chapter 2 of Title 1.

(18) "Project" means the financing, refinancing, or reimbursing of Development Costs incurred for construction of infrastructure and retail parking within the Union Market TIF Area and adjoining public space.

(18A) "Refunding Bonds" means the District of Columbia bonds, notes, or other obligations, in one or more series, authorized to be issued pursuant to this subpart to refund the bonds.

(19) "Retail Parking" means structured parking located within the Union Market TIF Area that is designed to support the development of the Union Market TIF Area as a retail hub.

(20) "Reserve Agreement" means that certain Reserve Agreement, dated April 1, 2002, by and among the District, Wells Fargo Bank Minnesota, N.A., and Financial Security Assurance, Inc.

(21) "TIF" means tax increment financing.

(22) "Union Market TIF Area" means the geographical area described in § 2-1217.36g(a).

§ 2–1217.36f. Creation of the Union Market TIF Fund.

(a) There is established as a nonlapsing fund the Union Market TIF Fund. The Chief Financial Officer shall deposit into the Union Market TIF Fund the Available Tax Increment and any other taxes or fees specifically designated by law for deposit in the Union Market TIF Fund.

(b) The Mayor may pledge and create a security interest in the funds in the Union Market TIF Fund, or any sub-account within the Union Market TIF Fund, for the payment of debt service on the bonds without further action by the Council as permitted by § 1-204.90(f). The payment of debt service shall be made in accordance with the provisions of the Financing Documents entered into by the District in connection with the issuance of the bonds.

(c) If, at the end of any fiscal year of the District, the balance of cash and investments in the Union Market TIF Fund exceeds the amount of debt service (including prepayment of principal and interest), reserves on any bonds, and any approved bond-related administrative expenses during the upcoming fiscal year, 50% of the excess shall be used to prepay the principal of the bonds and the remaining 50% of the excess shall be transferred to the unrestricted balance of the General Fund of the District of Columbia.

§ 2–1217.36g. Creation of the Union Market TIF Area.

(a) There is created a TIF area designated as the Union Market TIF Area. The Union Market TIF Area is defined as the real property located in Lots 0001, 0002, and 0003 in Square 3594; Lots 0003, 0007, 0808, 0823, 0824, 0825, 0826, 0828, 0829, 0830, 0831, 0832, 7006, 7007, 7008, 7009, 7010, 7011, 7012, 7013, 7014, 7015, 7016, 7017, 7018, 7019, 7020, 7021, 7022, and 7023 in Square 3587; Lots 0004, 0015, 0016, 0017, 0018, 0019, 0020, 0021, 0022, 0025, 0801, 0802, and 0803 in Square 3588; Lots 0003, 0008, 0009, 0029, 0030, 0031, 0032, 0033, 0034, 0035, 0036, 0049, 0050, 0051, 0052, 0053, 0804, 0805, 0806, and 0808, in Square 3589; Lots 0001, 0002, 0003, 0004, 0005, 0006, 0010, 0011, 0013, 0014, 0800, 0801, and 0802 in Square 3590; Lots 0002, 0003, 0004 and 0800 in Square 3591; Lots 0001, 0002, 0006, 0007, 0008, 0009, 0010, 0011, 0012, 0013, 0014, 0015, 0016, 0019, 0020, 0021, 0022, 0023, 0024, 0025, 0802, and 0803 in Square 3592; and Lots 0027, 0028, 0030, 0034, 0043, 0045, 0068, 0070, 0072, 0089, 0090, 0103, 0104, 0106, and 0112 in Parcel 0129.

(b) As provided under § 2-1217.36f, the Available Tax Increment from the Union Market TIF Area shall be deposited in the Union Market TIF Fund and may be used for the purposes set forth in § 2-1217.36f.

(c)(1)(A) The base amount for determination of Available Sales Tax Revenues shall be:

(i) $2,644,943 in base year 2018;

(ii) $4,924,957 in base year 2019;

(iii) $5,984,737 in base year 2020;

(iv) $6,529,609 in base year 2021; and

(v) $6,764,675 in base year 2022 and each base year thereafter through 2052.

(B) Repealed.

(2)(A) The base amount for determination of Available Real Property Tax Revenues shall be:

(i) $3,746,069 in base year 2018;

(ii) $4,858,887 in base year 2019;

(iii) $6,202,452 in base year 2020;

(iv) $7,488,037 in base year 2021; and

(v) $7,712,678 in base year 2022 and each base year thereafter through 2052.

(B) Repealed.

(3) The Union Market TIF Area shall terminate on the earliest of:

(A) Twenty-five years after the issuance of the last bonds issued pursuant to this subpart;

(B) The date on which the bonds are paid in full or are defeased and are no longer outstanding; or

(C) March 1, 2027 if no bonds are issued.

§ 2–1217.36h. Bond authorization.

(a)(1) The Council approves and authorizes the issuance of one or more series of bonds in an aggregate principal amount not to exceed $82.4 million to fund the project. The bonds, which may be issued from time to time, in one or more series, shall be tax-exempt or taxable as the Mayor shall determine and shall be payable and secured as provided in § 2-1217.36i.

(2) Bonds in the aggregate principal amount of $46.4 million may be issued to pay for the construction of infrastructure and related Development Costs.

(3) Bonds in the aggregate principal amount not to exceed $36 million may be issued to pay for the construction of Retail Parking and related Development Costs.

(b) The Mayor may pay from the proceeds of the bonds the financing costs and expenses of issuing and delivering the bonds, including, but not limited to, underwriting, legal, accounting, financial advisory, credit enhancement, marketing, sale, and printing costs and expenses.

§ 2–1217.36i. Payment and security.

(a) Except as may be otherwise provided in this subpart, the principal of, premium, if any, and interest on, the bonds, and the payment of ongoing administrative expenses related to the bond financing shall be payable solely from proceeds received from the sale of the bonds, income realized from the temporary investment of those proceeds, receipts and revenues realized by the District from the Union Market TIF Fund, income realized from the temporary investment of those receipts and revenues prior to payment to the bond owners, and other funds that, as provided in the Financing Documents, may be made available to the District for payment of the bonds from sources other than the District, all as provided for in the Financing Documents.

(b) There is further allocated to the payment of debt service, on up to $36 million of the bonds the Available Increment, subordinate to the allocation of Available Increment to the Budgeted Reserve, as defined in the Reserve Agreement, all as more fully described in the Reserve Agreement and to the extent that the Reserve Agreement continues to apply to the Available Increment, to be used for the payment of debt service on the bonds to the extent that the revenues allocated in subsection (a) of this section are inadequate to pay debt service on the bonds. The allocation of Available Increment authorized by this subsection shall be made in compliance with all existing contractual obligations of the District with respect to the Available Increment and shall terminate on the date on which all of the bonds are paid or provided for and are no longer outstanding pursuant to their terms. The foregoing allocation of Available Increment may be increased to apply to bonds in excess of $36 million; provided, that the Development Sponsor advances the amount of any reserve required in the District's budget to support such increased allocation and any amount remaining in such reserve upon payment in full of such bonds shall be returned to Development Sponsor.

(c) Payment of the bonds shall be secured as provided in the Financing Documents and by an assignment by the District for the benefit of the bond owners of certain of its rights under the Financing Documents and Closing Documents to the trustee for the bonds pursuant to the Financing Documents.

(d) The trustee or paying agent is authorized to deposit, invest, and disburse the proceeds received from the sale of the bonds pursuant to the Financing Documents.

§ 2–1217.36j. Bond details.

(a) The Mayor is authorized to take any action reasonably necessary or appropriate in accordance with this subpart in connection with the preparation, execution, issuance, sale, delivery, security for, and payment of the bonds of each series, including, but not limited to, determinations of:

(1) The final form, content, designation, and terms of the bonds, including a determination that the bonds may be issued in certificated or book-entry form;

(2) The principal amount of the bonds to be issued and denominations of the bonds;

(3) The rate or rates of interest or the method for determining the rate or rates of interest on the bonds;

(4) The date or dates of issuance, sale, and delivery of, and the payment of interest on, the bonds, and the maturity date or dates of the bonds;

(5) The terms under which the bonds may be paid, optionally or mandatorily redeemed, accelerated, tendered, called, or put for redemption, repurchase, or remarketing before their respective stated maturities;

(6) Provisions for the registration, transfer, and exchange of the bonds and the replacement of mutilated, lost, stolen, or destroyed bonds;

(7) The creation of any reserve fund, sinking fund, or other fund with respect to the bonds;

(8) The time and place of payment of the bonds;

(9) Procedures for monitoring the use of the proceeds received from the sale of the bonds to ensure that the proceeds are properly applied and used to accomplish the purposes of the Home Rule Act and this subpart;

(10) Actions necessary to qualify the bonds under blue sky laws of any jurisdiction where the bonds are marketed; and

(11) The terms and types of any credit enhancement under which the bonds may be secured.

(b) The bonds shall contain a legend which shall provide that the bonds are special obligations of the District, are without recourse to the District, are not a pledge of, and do not involve, the faith and credit or the taxing power of the District (other than the Available Tax Increment, the Available Increment, and any other taxes and fees allocated to the Union Market TIF Fund), do not constitute a debt of the District, and do not constitute lending of the public credit for private undertakings as prohibited in § 1-206.02(a)(2).

(c) The bonds shall be executed in the name of the District and on its behalf by the manual or facsimile signature of the Mayor, and attested by the Secretary of the District of Columbia by the Secretary's manual or facsimile signature.

(d) The official seal of the District, or a facsimile of it, shall be impressed, printed, or otherwise reproduced on the bonds.

(e) The bonds of any series may be issued in accordance with the terms of a trust instrument to be entered into by the District and a trustee or paying agent to be selected by the Mayor, and may be subject to the terms of one or more agreements entered into by the Mayor pursuant to § 1-204.90(a)(4).

(f) The bonds may be issued at any time or from time to time in one or more issues and in one or more series.

(g) The bonds are declared to be issued for essential public and governmental purposes. The bonds, the interest thereon, and the income therefrom, and all funds pledged or available to pay or secure the payment of the bonds, shall at all times be exempt from taxation by the District, except for estate, inheritance, and gift taxes.

(h) The District pledges, covenants, and agrees with the holders of the bonds that, subject to the provisions of the Financing Documents, the District will not limit or alter the revenues pledged to secure the bonds or the basis on which such revenues are collected or allocated, will not impair the contractual obligations of the District to fulfill the terms of any agreement made with the holders of the bonds, will not in any way impair the rights or remedies of the holders of the bonds, and will not modify, in any way, the exemptions from taxation provided for in this subpart, until the bonds, together with interest thereon, and all costs and expenses in connection with any suit, action, or proceeding by or on behalf of the holders of the bonds, are fully met and discharged. This pledge and agreement for the District may be included as part of the contract with the holders of the bonds. This subsection constitutes a contract between the District and the holders of the bonds. To the extent that any acts or resolutions of the Council may be in conflict with this subpart, this subpart shall be controlling.

(i) Consistent with § 1-204.90(a)(4)(B) and notwithstanding article 9 of Subtitle I of Title 28:

(1) A pledge made and security interest created in respect of the bonds or pursuant to any related Financing Document shall be valid, binding, and perfected from the time the security interest is created, with or without physical delivery of any funds or any property and with or without any further action;

(2) The lien of the pledge shall be valid, binding, and perfected as against all parties having any claim of any kind in tort, contract, or otherwise against the District, whether or not such party has notice; and

(3) The security interest shall be valid, binding, and perfected whether or not any statement, document, or instrument relating to the security interest is recorded or filed.

§ 2–1217.36k. Issuance of the bonds.

(a) The bonds of any series may be sold at negotiated or competitive sale at, above, or below par, to one or more persons or entities, and upon terms that the Mayor considers to be in the best interests of the District.

(b) The Mayor or an Authorized Delegate may execute, in connection with each sale of the bonds, offering documents on behalf of the District, may deem final any such offering document on behalf of the District for purposes of compliance with federal laws and regulations governing such matters, and may authorize the distribution of the documents in connection with the bonds.

(c) The Mayor is authorized to deliver executed and sealed bonds, on behalf of the District, for authentication, and, after the bonds have been authenticated, to deliver the bonds to the original purchasers of the bonds upon payment of the purchase price.

(d) The bonds shall not be issued until the Mayor receives an approving opinion from Bond Counsel as to the validity of the bonds of such series and, if the interest on the bonds is expected to be exempt from federal income taxation, the treatment of the interest on the bonds for purposes of federal income taxation.

(e) Chapter 3A of this title, and subchapter III-A of Chapter 3 of Title 47 shall not apply to any contract the Mayor may from time to time enter into, or the Mayor may determine to be necessary or appropriate, for the purposes of this subpart.

§ 2–1217.36l. Financing and Closing Documents.

(a)(1) The Mayor shall execute all Financing Documents and all Closing Documents to which the District is a party that may be necessary or appropriate to issue, sell, and deliver the bonds.

(2) The Closing Documents for the infrastructure component of the Project, which may include one or more development and funding agreements, shall be executed by the Mayor and Development Sponsor. The Closing Documents for the Retail Parking components of the Project, which may include one or more development and funding agreements, shall be executed by the Mayor and the owner of the Retail Parking. No other person or entity, regardless of whether the person or entity shall own an interest in the airspace or improvements located above, below, or adjoining a Retail Parking component of the Project, shall be required to execute a development and funding agreement or any Closing Document.

(b) The Mayor is authorized to execute, in the name of the District and on its behalf, the Financing Documents and any Closing Documents to which the District is a party by the Mayor's manual or facsimile signature.

(c) If required, the official seal of the District, or a facsimile of it, shall be impressed, printed, or otherwise reproduced on the bonds, the other Financing Documents, and the Closing Documents to which the District is a party.

(d) The Mayor's execution and delivery of the Financing Documents and the Closing Documents to which the District is a party shall constitute conclusive evidence of the Mayor's approval, on behalf of the District, of the final form and content of the executed Financing Documents and the executed Closing Documents.

(e) The Mayor is authorized to deliver the executed and sealed Financing Documents and Closing Documents, on behalf of the District, prior to or simultaneously with the issuance, sale, and delivery of the bonds, and to ensure the due performance of the obligations of the District contained in the executed, sealed, and delivered Financing Documents and Closing Documents.

§ 2–1217.36m. Limited liability.

(a) The bonds shall be special obligations of the District. The bonds shall be without recourse to the District. The bonds shall not be general obligations of the District, shall not be a pledge of, or involve, the faith and credit or the taxing power of the District (other than the Available Tax Increment, the Available Increment, and any other taxes or fees allocated to the Union Market TIF Fund), shall not constitute a debt of the District, and shall not constitute lending of the public credit for private undertakings as prohibited in § 1-206.02(a)(2).

(b) The bonds shall not give rise to any pecuniary liability of the District and the District shall have no obligation with respect to the purchase of the bonds.

(c) No person, including, but not limited to, any bond owner, shall have any claims against the District or any of its elected or appointed officials, officers, employees, or agents for monetary damages suffered as a result of the failure of the District to perform any covenant, undertaking, or obligation under this subpart, the bonds, the Financing Documents, or the Closing Documents, or as a result of the incorrectness of any representation in or omission from the Financing Documents or the Closing Documents, unless the District or its elected or appointed officials, officers, employees, or agents have acted in a willful and fraudulent manner.

§ 2–1217.36n. District officials.

(a) Except as otherwise provided in § 2-1217.36m, the elected or appointed officials, officers, employees, or agents of the District shall not be liable personally for the payment of the bonds or be subject to any personal liability by reason of the issuance of the bonds, or for any representations, warranties, covenants, obligations, or agreements of the District contained in this subpart, the bonds, the Financing Documents, or the Closing Documents.

(b) The signature, countersignature, facsimile signature, or facsimile countersignature of any official appearing on the bonds, the Financing Documents, or the Closing Documents shall be valid and sufficient for all purposes notwithstanding the fact that the individual signatory ceases to hold that office before delivery of the bonds, the Financing Documents, or the Closing Documents.

§ 2–1217.36o. Maintenance of documents.

Copies of the specimen bonds and of the final Financing Documents and Closing Documents shall be filed in the Office of the Secretary of the District of Columbia.

§ 2–1217.36p. Information reporting.

Within 3 days after the Mayor's receipt of the transcript of proceedings relating to the issuance of the bonds, the Mayor shall transmit a copy of the transcript to the Secretary to the Council.

§ 2–1217.36q. Expiration of issuance authority.

The authority to issue the bonds, excluding Refunding Bonds, shall expire on March 1, 2027; provided, that the expiration of the authority shall have no effect on any bonds issued prior to the expiration date or on the District's ability to issue Refunding Bonds on a future date.

Subpart 7. Bryant Street.

§ 2–1217.37a. Definitions.

For the purposes of this subpart, the term:

(1) "Authorized Delegate" means the Deputy Mayor for Planning and Economic Development, the Chief Financial Officer, the Treasurer, or any officer or employee of the executive office of the Mayor to whom the Mayor has delegated any of the Mayor's functions under this subpart pursuant to § 1-204.22(6).

(2) "Available Increment" shall have the same meaning as set forth in the Reserve Agreement.

(3) "Available Real Property Tax Revenues" means the revenues resulting from the imposition of the tax provided for in Chapter 8 of Title 47, inclusive of any penalties and interest charges.

(4) "Available Sales Tax Revenues" means the revenues resulting from the imposition of the tax under Chapter 20 of Title 47, including penalty and interest charges, exclusive of the portion thereof required to be deposited in the Washington Convention Center Fund established pursuant to § 10-1202.08.

(5) "Available Tax Increment" means the sum of the Available Sales Tax Revenues and Available Real Property Tax Revenues generated in the Bryant Street TIF Area in any fiscal year of the District minus the sum of Available Sales Tax Revenues and Available Real Property Tax Revenues generated in the Bryant Street TIF Area in the applicable base year.

(6) "Bond Counsel" means a firm or firms of attorneys designated as bond counsel from time to time by the Mayor.

(7) "Bonds" means the District of Columbia revenue Bonds, notes, or other obligations, in one or more series, authorized to be issued pursuant to this subpart. Unless otherwise specified, the term "Bonds" shall include Refunding Bonds.

(8) "Chief Financial Officer" means the Chief Financial Officer of the District of Columbia established by § 1-204.24a(a).

(9) "Closing Documents" means all documents and agreements, other than Financing Documents, that may be necessary and appropriate to issue, sell, and deliver the Bonds, and includes agreements, certificates, letters, opinions, forms, receipts, and other similar instruments.

(10) "Council" means the Council of the District of Columbia.

(11) "Debt Service" means principal, premium, if any, and interest on the Bonds.

(12) "Development Costs" has the same meaning as in § 2-1217.01(13).

(13) "Development Sponsor" means Bryant Street Partners I, LLC, a Delaware limited liability company qualified to do business in the District of Columbia, or any other entity that undertakes the development of the project with the approval of the Mayor.

(14) "District" means the District of Columbia.

(15) "Financing Documents" means the documents, other than Closing Documents, that relate to the financing or refinancing of transactions to be effected through the issuance, sale, and delivery of the Bonds, including any offering document, and any required supplements to any such documents.

(16) "Home Rule Act" means Chapter 2 of Title 1.

(17) "Project" means the financing, refinancing, or reimbursing of Development Costs incurred for certain infrastructure and site development by the Development Sponsor within the Bryant Street TIF Area and adjoining parcels.

(17A) "Refunding Bonds" means the District of Columbia bonds, notes, or other obligations, in one or more series, authorized to be issued pursuant to this subpart to refund the Bonds.

(18) "Reserve Agreement" means that Reserve Agreement, dated as of April 1, 2002, by and among the District, Wells Fargo Bank Minnesota, N.A., and Financial Security Assurance, Inc.

(19) "TIF" means tax increment financing.

§ 2–1217.37b. Creation of the Bryant Street TIF Fund.

(a) There is established as a nonlapsing fund the Bryant Street TIF Fund. The Chief Financial Officer shall deposit into the Bryant Street TIF Fund the Available Tax Increment and any other taxes or fees specifically designated by law for deposit in the Bryant Street TIF Fund.

(b) The Mayor may pledge and create a security interest in the funds in the Bryant Street TIF Fund, or any sub-account within the Bryant Street TIF Fund, for the payment of debt service on the Bonds without further action by the Council as permitted by § 1-204.90(f). The payment of debt service shall be made in accordance with the provisions of the Financing Documents entered into by the District in connection with the issuance of the Bonds.

(c) If, at the end of any fiscal year of the District, the balance of cash and investments in the Bryant Street TIF Fund exceeds the amount of debt service (including prepayment of principal and interest), reserves on any Bonds, and any approved bond-related administrative expenses during the upcoming fiscal year, 50% of the excess shall be used to prepay the principal of the Bonds and the remaining 50% of the excess shall be transferred to the unrestricted balance of the General Fund of the District of Columbia.

§ 2–1217.37c. Creation of the Bryant Street TIF Area.

(a) There is created a TIF area designated as the Bryant Street TIF Area. The Bryant Street TIF Area is defined as follows:

Part of Record Lot 7 in Square 3629, District of Columbia, as the same is set forth on that certain Plat of Subdivision made May 29, 1984 by B andR Associates, a District of Columbia Limited Partnership, and recorded June 7, 1984 in Subdivision Book 175 at Page 143 among the Records of the Office of the Surveyor of the District of Columbia; said Lot 7 being the same land as conveyed to B and R Associates, a District of Columbia Limited Partnership, by Deed dated June 19, 1984 and Recorded July 3, 1984 as Instrument Number 2333 in the Office of the Recorder of Deeds of the District of Columbia; proposed Block 1-A being more particularly described as follows:

BEGINNING at a point on the easterly line of Lot 7 in Square 3629, being also the westerly line of former 7th Street, N.E.,as closed in Book 145, Page 11 among the Records of the Office of the Surveyor of the District of Columbia, said point lying North 19°24’00” East, 214.50 feet (computed) from the intersection of said westerly line of former 7th Street, N.E. and the northerly line of Rhode Island Avenue, N.E. (width varies); thence departing said former 7th Street, N.E. and running in, through, over and across said Lot 7 in Square 3629 so as to include a portion thereof

1) Due WEST 273.14 feet to a point; thence;

2) Due NORTH 93.60 feet to a point of curvature; thence;

3) 41.65 feet along the arc of a curve to the right, said curve having a radius of 41.00 feet, delta angle of 58°12’07”, tangent distance of 22.82 feet and a chord bearing and distance of North 29°06’04” East, 39.88 feet to a point of tangency; thence;

4) North 58°12’07” East, 20.98 feet to a point; thence;

5) Due WEST 71.78 feet to a point; thence;

6) Due NORTH, 36.88 feet to a point on the northerly line of aforementioned Lot 7 in Square 3629, being also the southerly line of Lot 803 in Square 3630; thence with said line;

7) Due EAST, 65.77 feet to a point; thence continuing with said northerly line of Lot 7 in Square 3629 and said southerly line of Lot 803, Square 3630, and thereafter with the southerly line of Lot 810 in Square 3636;

8) North 58°20’20” East, 503.52 feet to the southeasterly corner of said Lot 810 in Square 3636, said point being also the northeast corner of said Lot 7 in Square 3629 and also lying on the westerly line of the aforementioned former 7th Street N.E.; thence with said westerly line of former 7th Street, N.E. and with the easterly line of said Lot 7 in Square 3629;

9) South 18°23’00” West, 178.19 feet to a point; thence;

10) South 22°35’00” West, 71.35 feet (by computation) 71.27 feet (be deed) to a point; thence;

11) South 19°52’00” West, 159.17 feet to a point; thence;

12) North 81°21’30” West, 28.09 feet (by computation) to a point; thence; and

13) South 19°24’00” West, 63.85 feet (by computation) to the point and place of beginning, containing 102,619 square feet or 2.35581 acres of land.

Proposed Block 1-B:

Part of Record Lot 7 in Square 3629, District of Columbia, as the same is set forth on that certain Plat of Subdivision made May 29, 1984 by B andR Associates, a District of Columbia Limited Partnership, and recorded June 7, 1984 in Subdivision Book 175 at Page 143 among the Records of the Office of the Surveyor of the District of Columbia; said Lot 7 being the same land as conveyed to B andR Associates, a District of Columbia Limited Partnership, by Deed dated June 19, 1984 and Recorded July 3, 1984 as Instrument Number 2333 in the Office of the Recorder of Deeds of the District of Columbia; proposed Block 1-B being more particularly described as follows:

BEGINNING at the southeast corner of Lot 7 in Square 3629, being also the intersection of the westerly line of former 7th Street, N.E., as closed in Book 145, Page 11 among the Records of the Office of the Surveyor of the District of Columbia, and the northerly line of Rhode Island Avenue, N.E. (width varies); thence departing said former 7th Street, N.E. and running with said northerly line of Rhode Island Avenue, N.E.

1) South 65°57’00” West, 155.86 feet to a point; thence departing said northerly line of Rhode Island Avenue, N.E. and running in, through, over and across said Lot 7 in Square 3629 so as to include a portion thereof;

2) North 24°00’12” West, 91.14 feet to a point of curvature; thence;

3) 108.92 feet along the arc of a curve to the right, said curve having a radius of 260.00 feet, delta angle of 24°00’12”,tangent distance of 55.27 feet and a chord bearing and distance of North 12°00’06” West, 108.13 feet to a point of tangency; thence;

4) Due NORTH, 76.82 feet to a point; thence;

5) Due EAST, 273.14 feet to a point on the easterly line of aforementioned Lot 7 in Square 3629, being also the westerly line of the aforementioned former 7th Street N.E.; thence with said westerly line of former 7th Street, N.E. and with the easterly line of said Lot 7 in Square 3629; and

6) South 19°24’00” West, 214.50 feet (by computation) to the point and place of beginning, containing 52,164 square feet or 1.19752 acres of land.

Proposed Block 2-B:

Part of Record Lot 7 in Square 3629, District of Columbia, as the same is set forth on that certain Plat of Subdivision made May 29, 1984 by B and R Associates, a District of Columbia Limited Partnership, and recorded June 7, 1984 in Subdivision Book 175 at Page 143 among the Records of the Office of the Surveyor of the District of Columbia; said Lot 7 being the same land as conveyed to B and R Associates, a District of Columbia Limited Partnership, by Deed dated June 19, 1984 and Recorded July 3, 1984 as Instrument Number 2333 in the Office of the Recorder of Deeds of the District of Columbia; proposed Block 2-B being more particularly described as follows:

BEGINNING at a point on the northerly line of Lot 7 in Square 3629, being also the southerly line of Lot 808 in Square 3630, said point lying due EAST, 671.20 feet from the easterly line of 4th Street, N.E. (90 feet wide); thence running with said northerly line of Lot 7 in Square 3629 and said southerly line of Lot 808, Square 3630, and thereafter with the southerly line of Lot 803 in Square 3630

1) Due EAST, 174.23 feet to a point; thence running in, through, over and across said Lot 7 in Square 3629 so as to include a portion thereof;

2) Due SOUTH, 36.88 feet to a point; thence;

3) Due EAST, 71.78 feet to a point; thence;

4) South 58°12’07” West, 20.98 feet to a point of curvature; thence;

5) 41.65 feet along the arc of a curve to the left, said curve having a radius of 41.00 feet, delta angle of 58°12’07”, tangent distance of 22.82 feet and a chord bearing and distance of South 29°06’04” West, 39.88 feet to a point of tangency; thence;

6) Due SOUTH, 93.60 feet to a point; thence;

7) Due WEST, 130.44 feet to a point of curvature; thence;

8) 25.35 feet along the arc of a curve to the left, said curve having a radius of 61.00 feet, delta angle of 23°48’52”, tangent distance of 12.86 feet and a chord bearing and distance of South 78°05’34” West, 25.17 feet to a point of tangency; thence

9) South 66°11’08” West, 58.71 feet to a point, thence; and

10) Due NORTH, 205.28 feet to the point and place of beginning, containing 37,020 square feet or 0.84986 of an acre of land.

Proposed Block 5-B:

Part of Record Lot 7 in Square 3629, District of Columbia, as the same is set forth on that certain Plat of Subdivision made May 29, 1984 by B andR Associates, a District of Columbia Limited Partnership, and recorded June 7, 1984 in Subdivision Book 175 at Page 143 among the Records of the Office of the Surveyor of the District of Columbia; said Lot 7 being the same land as conveyed to B andR Associates, a District of Columbia Limited Partnership, by Deed dated June 19, 1984 and Recorded July 3, 1984 as Instrument Number 2333 in the Office of the Recorder of Deeds of the District of Columbia; AND part of Parcels 131/17, 131/37, 131/38, 131/190 and 131/213, being part of the same land as conveyed to MRP 600 RI, LLC by Deed Recorded January 1, 2016 as Instrument Number 3375 in the Office of the Recorder of Deeds of the District of Columbia; said part of Parcels 131/17, 131/37, 131/38, 131/190 and 131/213 being known for purposes of Assessment and Taxation at the date hereof, as Lots 813 and 814 in Square 3629, pursuant to Assessment and Taxation Plat 3732-D, recorded among said Records of the Office of the Surveyor, DC; proposed Block 5-B being more particularly described as follows:

BEGINNING at the southeast corner of Lot 814 in Square 3629, being also a point on the northerly line of Rhode Island Avenue, N.E. (width varies), said point lying South 65°57’00” West, 538.84 feet from the intersection of said northerly line of Rhode Island Avenue, N.E. with the westerly line of former 7th Street, N.E., as closed in Book 145, Page 11 among the Records of the Office of the Surveyor of the District of Columbia; thence running with said northerly line of Rhode Island Avenue, N.E. and with the southerly line of Lot 814 in Square 3629, and thereafter with the southerly line of Lot 813 in Square 3629

1) South 65°57’00” West, 177.30 feet to a point; thence departing said northerly line of Rhode Island Avenue, N.E. and running in, through, over and across aforementioned Lot 813 in Square 3629 and thereafter running in, through, over and across aforementioned Lot 7 in Square 3629 so as to include a portion of both lots thereof

2) North 23°48’52” West, 195.69 feet to a point; thence;

3) North 58°37’36” East, 172.88 feet to a point; thence;

4) South 31°19’30” East, 27.90 feet to a point on the property line of aforementioned Lot 7 in Square 3629 and the northerly line of aforementioned Lot 814 in Square 3629; thence with said line of Lots 7 and 814 in Square 3629;

5) North 58°40’30” East, 1.50 feet to the northeast corner of said Lot 814 in Square 3629; thence departing said line of said Lot 7 in Square 3629 and running with the easterly line of said Lot 814 in Square 3629; and

6) South 24°03’00” East, 190.25 feet (by computation) 190.19 feet (by deed) to the point and place of beginning, containing 36,529 square feet or 0.83859 of an acre of land.

(b) As provided under § 2-1217.37b, the Available Tax Increment from the Bryant Street TIF Area shall be deposited in the Bryant Street TIF Fund and may be used for the purposes set forth in § 2-1217.37b.

(c)(1) The base year for determination of Available Sales Tax Revenues from locations within the Bryant Street TIF Area shall be the tax year preceding the year in which this subpart becomes effective.

(2) The base year for determination of Available Real Property Tax Revenues shall be the tax year of the District preceding the year in which act becomes effective and the initial assessed value to be used in making the determination of Available Real Property Tax Revenues shall be the assessed value of each lot of taxable real property in the Bryant Street TIF Area for the preceding tax year in which this subpart becomes effective.

(d) The Bryant Street TIF Area shall terminate on the earlier of:

(1) December 31, 2043;

(2) The date on which the Bonds are paid in full or are defeased and are no longer outstanding; or

(3) March 1, 2020, if no Bonds are issued.

§ 2–1217.37d. Bond authorization.

(a) The Council approves and authorizes the issuance of one or more series of Bonds in an aggregate principal amount not to exceed $24 million to fund the project. The Bonds, which may be issued from time to time, in one or more series, shall be tax-exempt or taxable as the Mayor shall determine and shall be payable and secured as provided in § 2-1217.37e.

(b) The proceeds of the Bonds shall be used as follows:

(1) An amount not to exceed $18 million shall be used to pay Development Costs of the project; and

(2) The balance of the proceeds may be used to pay the financing costs incurred by the District and to fund capitalized interest and required reserves.

(c) The Mayor may pay from the proceeds of the Bonds the financing costs and expenses of issuing and delivering the Bonds, including, but not limited to, underwriting, legal, accounting, financial advisory, credit enhancement, marketing, sale, and printing costs and expenses.

(d) The Bonds also may be issued as a TIF note to the Development Sponsor and may be held and used as security for debt incurred or to be incurred by the Development Sponsor, an agent of the Development Sponsor, or another party selected by the Development Sponsor and approved by the District.

§ 2–1217.37e. Payment and security.

(a) Except as may be otherwise provided in this subpart, the principal of, premium, if any, and interest on, the Bonds, and the payment of ongoing administrative expenses related to the bond financing shall be payable solely from proceeds received from the sale of the Bonds, income realized from the temporary investment of those proceeds, receipts, and revenues realized by the District from the Bryant Street TIF Fund, income realized from the temporary investment of those receipts and revenues prior to payment to the bond owners, and other funds that, as provided in the Financing Documents, may be made available to the District for payment of the Bonds from sources other than the District, all as provided for in the Financing Documents.

(b) There is further allocated to the payment of debt service on the Bonds the Available Increment, subordinate to the allocation of Available Increment to the Budgeted Reserve, as defined in the Reserve Agreement, all as more fully described in the Reserve Agreement and to the extent that the Reserve Agreement continues to apply to the Available Increment, to be used for the payment of debt service on the Bonds to the extent that the revenues allocated in subsection (a) of this section are inadequate to pay debt service on the Bonds. The allocation of Available Increment authorized by this subsection shall be made in compliance with all existing contractual obligations of the District with respect to the Available Increment and shall terminate on the date on which all of the Bonds are paid or provided for and are no longer outstanding pursuant to their terms.

(c) Payment of the Bonds shall be secured as provided in the Financing Documents and by an assignment by the District for the benefit of the Bond owners of certain of its rights under the Financing Documents and Closing Documents to the trustee for the Bonds pursuant to the Financing Documents.

(d) The trustee or paying agent is authorized to deposit, invest, and disburse the proceeds received from the sale of the Bonds pursuant to the Financing Documents.

§ 2–1217.37f. Bond details.

(a) The Mayor is authorized to take any action reasonably necessary or appropriate in accordance with this subpart in connection with the preparation, execution, issuance, sale, delivery, security for, and payment of the Bonds of each series, including, but not limited to, determinations of:

(1) The final form, content, designation, and terms of the Bonds, including a determination that the Bonds may be issued in certificated or book-entry form;

(2) The principal amount of the Bonds to be issued and denominations of the Bonds;

(3) The rate or rates of interest or the method for determining the rate or rates of interest on the Bonds;

(4) The date or dates of issuance, sale, and delivery of, and the payment of interest on, the Bonds, and the maturity date or dates of the Bonds;

(5) The terms under which the Bonds may be paid, optionally or mandatorily redeemed, accelerated, tendered, called, or put for redemption, repurchase, or remarketing before their respective stated maturities;

(6) Provisions for the registration, transfer, and exchange of the Bonds and the replacement of mutilated, lost, stolen, or destroyed Bonds;

(7) The creation of any reserve fund, sinking fund, or other fund with respect to the Bonds;

(8) The time and place of payment of the Bonds;

(9) Procedures for monitoring the use of the proceeds received from the sale of the Bonds to ensure that the proceeds are properly applied and used to accomplish the purposes of the Home Rule Act and this subpart;

(10) Actions necessary to qualify the Bonds under blue sky laws of any jurisdiction where the Bonds are marketed; and

(11) The terms and types of any credit enhancement under which the Bonds may be secured.

(b) The Bonds shall contain a legend, which shall provide that the Bonds are special obligations of the District, are without recourse to the District, are not a pledge of, and do not involve, the faith and credit or the taxing power of the District (other than the Available Tax Increment, the Available Increment, and any other taxes and fees allocated to the Bryant Street TIF Fund), do not constitute a debt of the District, and do not constitute lending of the public credit for private undertakings as prohibited in § 1-206.02(a)(2).

(c) The Bonds shall be executed in the name of the District and on its behalf by the manual or facsimile signature of the Mayor, and attested by the Secretary of the District of Columbia by the Secretary's manual or facsimile signature.

(d) The official seal of the District, or a facsimile of it, shall be impressed, printed, or otherwise reproduced on the Bonds.

(e) The Bonds of any series may be issued in accordance with the terms of a trust instrument to be entered into by the District and a trustee or paying agent to be selected by the Mayor, and may be subject to the terms of one or more agreements entered into by the Mayor pursuant to § 1-204.90(a)(4).

(f) The Bonds may be issued at any time or from time to time in one or more issues and in one or more series.

(g) The Bonds are declared to be issued for essential public and governmental purposes. The Bonds, the interest thereon, and the income therefrom, and all funds pledged or available to pay or secure the payment of the Bonds, shall at all times be exempt from taxation by the District, except for estate, inheritance, and gift taxes.

(h) The District pledges, covenants, and agrees with the holders of the Bonds that, subject to the provisions of the Financing Documents, the District will not limit or alter the revenues pledged to secure the Bonds or the basis on which such revenues are collected or allocated, will not impair the contractual obligations of the District to fulfill the terms of any agreement made with the holders of the Bonds, will not in any way impair the rights or remedies of the holders of the Bonds, and will not modify, in any way, the exemptions from taxation provided for in this subpart, until the Bonds, together with interest thereon, and all costs and expenses in connection with any suit, action, or proceeding by or on behalf of the holders of the Bonds, are fully met and discharged. This pledge and agreement for the District may be included as part of the contract with the holders of the Bonds. This subsection constitutes a contract between the District and the holders of the Bonds. To the extent that any acts or resolutions of the Council may be in conflict with this subpart, this subpart shall be controlling.

(i) Consistent with § 1-204.90(a)(4)(B) and notwithstanding Article 9 of Title 28:

(1) A pledge made and security interest created in respect of the Bonds or pursuant to any related Financing Document shall be valid, binding, and perfected from the time the security interest is created, with or without physical delivery of any funds or any property and with or without any further action;

(2) The lien of the pledge shall be valid, binding, and perfected as against all parties having any claim of any kind in tort, contract, or otherwise against the District, whether or not such party has notice; and

(3) The security interest shall be valid, binding, and perfected whether or not any statement, document, or instrument relating to the security interest is recorded or filed.

§ 2–1217.37g. Issuance of the Bonds.

(a) The Bonds of any series may be sold at negotiated or competitive sale at, above, or below par, to one or more persons or entities, and upon terms that the Mayor considers to be in the best interests of the District.

(b) The Mayor or an Authorized Delegate may execute, in connection with each sale of the Bonds, offering documents on behalf of the District, may deem final any such offering document on behalf of the District for purposes of compliance with federal laws and regulations governing such matters, and may authorize the distribution of the documents in connection with the Bonds.

(c) The Mayor is authorized to deliver executed and sealed Bonds, on behalf of the District, for authentication, and, after the Bonds have been authenticated, to deliver the Bonds to the original purchasers of the Bonds upon payment of the purchase price.

(d) The Bonds shall not be issued until the Mayor receives an approving opinion from Bond Counsel as to the validity of the Bonds of such series and, if the interest on the Bonds is expected to be exempt from federal income taxation, the treatment of the interest on the Bonds for purposes of federal income taxation.

(e) Chapter 3A of this title, and subchapter III-A of Chapter 3 of Title 47 shall not apply to any contract the Mayor may from time to time enter into, or the Mayor may determine to be necessary or appropriate, for the purposes of this subpart.

§ 2–1217.37h. Financing and Closing Documents.

(a) The Mayor is authorized to prescribe the final form and content of all Financing Documents and all Closing Documents to which the District is a party that may be necessary or appropriate to issue, sell, and deliver the Bonds.

(b) The Mayor is authorized to execute, in the name of the District and on its behalf, the Financing Documents and any Closing Documents to which the District is a party by the Mayor's manual or facsimile signature.

(c) If required, the official seal of the District, or a facsimile of it, shall be impressed, printed, or otherwise reproduced on the Bonds, the other Financing Documents, and the Closing Documents to which the District is a party.

(d) The Mayor's execution and delivery of the Financing Documents and the Closing Documents to which the District is a party shall constitute conclusive evidence of the Mayor's approval, on behalf of the District, of the final form and content of the executed Financing Documents and the executed Closing Documents.

(e) The Mayor is authorized to deliver the executed and sealed Financing Documents and Closing Documents, on behalf of the District, prior to or simultaneously with the issuance, sale, and delivery of the Bonds, and to ensure the due performance of the obligations of the District contained in the executed, sealed, and delivered Financing Documents and Closing Documents.

§ 2–1217.37i. Limited liability.

(a) The Bonds shall be special obligations of the District. The Bonds shall be without recourse to the District. The Bonds shall not be general obligations of the District, shall not be a pledge of, or involve, the faith and credit or the taxing power of the District (other than the Available Tax Increment, the Available Increment, and any other taxes or fees allocated to the Bryant Street TIF Fund), shall not constitute a debt of the District, and shall not constitute lending of the public credit for private undertakings as prohibited in § 1-206.02(a)(2).

(b) The Bonds shall not give rise to any pecuniary liability of the District and the District shall have no obligation with respect to the purchase of the Bonds.

(c) No person, including, but not limited to, any bond owner, shall have any claims against the District or any of its elected or appointed officials, officers, employees, or agents for monetary damages suffered as a result of the failure of the District to perform any covenant, undertaking, or obligation under this subpart, the Bonds, the Financing Documents, or the Closing Documents, or as a result of the incorrectness of any representation in or omission from the Financing Documents or the Closing Documents, unless the District or its elected or appointed officials, officers, employees, or agents have acted in a willful and fraudulent manner.

§ 2–1217.37j. District officials.

(a) Except as otherwise provided in § 2-1217.37i(c), the elected or appointed officials, officers, employees, or agents of the District shall not be liable personally for the payment of the Bonds or be subject to any personal liability by reason of the issuance of the Bonds, or for any representations, warranties, covenants, obligations, or agreements of the District contained in this subpart, the Bonds, the Financing Documents, or the Closing Documents.

(b) The signature, countersignature, facsimile signature, or facsimile countersignature of any official appearing on the Bonds, the Financing Documents, or the Closing Documents shall be valid and sufficient for all purposes notwithstanding the fact that the individual signatory ceases to hold that office before delivery of the Bonds, the Financing Documents, or the Closing Documents.

§ 2–1217.37k. Maintenance of documents.

Copies of the specimen Bonds and of the final Financing Documents and Closing Documents shall be filed in the Office of the Secretary of the District of Columbia.

§ 2–1217.37l. Information reporting.

Within 3 days after the Mayor's receipt of the transcript of proceedings relating to the issuance of the Bonds, the Mayor shall transmit a copy of the transcript to the Secretary to the Council.

§ 2–1217.37m. Reservation of debt service.

The Bonds may not be issued until the Council has appropriated an amount equal to one year's debt service on the Bonds.

§ 2–1217.37n. Expiration of issuance authority.

The authority to issue the Bonds , excluding Refunding Bonds, shall expire on March 1, 2020; provided, that the expiration of the authority shall have no effect on any Bonds issued prior to the expiration date or on the District's ability to issue Refunding Bonds on a future date.

Subpart 8. High unemployment areas. [Repealed] [Not Funded]

§ 2–1217.38. High unemployment area; TIF authorization. [Repealed]

Repealed.

Subpart 9. Rhode Island Avenue Project.

§ 2–1217.39a. Definitions.

For the purposes of this subpart, the term:

(1) "Authorized Delegate" means the Deputy Mayor for Planning and Economic Development, the Chief Financial Officer, the Treasurer, or any officer or employee of the executive office of the Mayor to whom the Mayor has delegated any of the Mayor's functions under this subpart pursuant to § 1-204.22(6).

(2) "Available Increment" shall have the same meaning as set forth in the Reserve Agreement.

(3) "Available Real Property Tax Revenues" means the revenues resulting from the imposition of the tax provided for in Chapter 8 of Title 47, inclusive of any penalties and interest charges, exclusive of the special tax provided for in § 1-204.81 pledged to payment of general obligation indebtedness of the District.

(4) "Available Sales Tax Revenues" means the revenues resulting from the imposition of the tax under Chapter 20 of Title 47, including penalty and interest charges, exclusive of the portion thereof required to be deposited in the Washington Convention Center Fund established pursuant to § 10-1202.08, and any amounts to be made available to the Washington Metropolitan Transit Authority pursuant to Title VII of the Fiscal Year 2018 Budget Support Act of 2017 (D.C. Law 22-33; 64 DCMR 7652)(the Revised Revenue Contingency List Act of 2017), and § 9-1111.15(b)(2)(A).

(5) "Available Tax Increment" means the sum of the Available Sales Tax Revenues and Available Real Property Tax Revenues generated in the Rhode Island Avenue ("RIA") TIF Area in any fiscal year of the District minus the sum of the base amount of the Available Sales Tax Revenues and the base amount of the Available Real Property Tax Revenues generated in the RIA TIF Area in the base year.

(6) "Bond Counsel" means a firm or firms of attorneys designated as bond counsel from time to time by the Mayor.

(7) "Bonds" means the District of Columbia Class A Bonds, Class B Bonds, and any other revenue bonds, notes, or other obligations, in one or more series, authorized to be issued pursuant to this subpart. Unless otherwise specified, the term "bonds" shall include Refunding Bonds.

(8) "Chairman" means the Chairman of the Council of the District of Columbia.

(9) "Chief Financial Officer" means the Chief Financial Officer established by § 1-204.24a(a).

(10) "Closing Documents" means all documents and agreements, other than Financing Documents, that may be necessary and appropriate to issue, sell, and deliver the bonds, and includes agreements, certificates, letters, opinions, forms, receipts, and other similar instruments.

(11) "Council" means Council of the District of Columbia.

(12) "Debt Service" means principal, premium, if any, and interest on the bonds.

(13) "Development Costs" has the same meaning as in § 2-1217.01(13).

(14) "Development Sponsor" means Mid City Financial Corporation, a corporation qualified to do business in the District of Columbia, or any other entity or entities that undertakes the development of the project with the approval of the Mayor.

(15) "District" means the District of Columbia.

(16) "Financing Documents" means the documents, other than Closing Documents, that relate to the financing or refinancing of transactions to be effected through the issuance, sale, and delivery of the bonds, including any offering document, and any required supplements to any such documents.

(17) "Home Rule Act" means Chapter 2 of Title 1.

(18) "Project" means the financing, refinancing, or reimbursing of Development Costs incurred for certain infrastructure and site development within the RIA TIF Area and adjoining parcels.

(18A) "Refunding Bonds" means the District of Columbia bonds, notes, or other obligations, in one or more series, authorized to be issued pursuant to this subpart to refund the bonds.

(19) "Reserve Agreement" means that certain Reserve Agreement, dated as of April 1, 2002, by and among the District, Wells Fargo Bank Minnesota, N.A., and Financial Security Assurance, Inc.

(20) "TIF" means tax increment financing.

§ 2–1217.39b. Creation of the RIA TIF Fund.

(a) There is established as a nonlapsing fund the RIA TIF Fund. The Chief Financial Officer shall deposit into the RIA TIF Fund the Available Tax Increment and any other taxes or fees specifically designated by law for deposit in the RIA TIF Fund.

(b) The Mayor may pledge and create a security interest in the funds in the RIA TIF Fund, or any sub-account within the RIA TIF Fund, for the payment of debt service on the bonds without further action by the Council as permitted by § 1-204.90(f). The payment of debt service shall be made in accordance with the provisions of the Financing Documents entered into by the District in connection with the issuance of the bonds.

(c) If, at the end of any fiscal year of the District, the balance of cash and investments in the RIA TIF Fund exceeds the amount of debt service (including prepayment of principal and interest), reserves on any bonds, and any approved bond-related administrative expenses during the upcoming fiscal year, 50% of shall be used to prepay the principal of the bonds and the remaining 50% of the excess shall be transferred to the unrestricted balance of the General Fund of the District of Columbia.

§ 2–1217.39c. Creation of the RIA TIF Area.

(a) There is created a TIF area designated as the RIA TIF Area. The RIA TIF Area is defined as the real property bounded by Brentwood Road, N.E. from Rhode Island Avenue, N.E. to the alley between and parallel to Bryant Street, N.E. and Saratoga Avenue, N.E.; Rhode Island Avenue, N.E. from Brentwood Road, N.E. to Montana Avenue, N.E.; Montana Avenue, N.E. from Rhode Island Avenue, N.E. to Downing Street, N.E.; Downing Street, N.E. from Montana Avenue, N.E. to 14th Street, N.E.; 14th Street, N.E. from Downing Street, N.E. to the line extending eastward from the alley between and parallel to Saratoga Avenue, N.E. and Bryant Street, N.E.; and a line extending from 14th Street, N.E. to the alley between and parallel to Saratoga Avenue, N.E. and Bryant Street, N.E. continuing through the alley's intersection with Brentwood Road, N.E.

(b) As provided under § 2-1217.39b, the Available Tax Increment from the RIA TIF Area shall be deposited in the RIA TIF Fund and may be used for the purposes set forth in § 2-1217.39b.

(c)(1)(A) The base amount for determination of Available Sales Tax Revenues shall be $0.

(2)(A) The base amount for determination of Available Real Property Tax Revenues shall be:

(i) $613,621 in base year 2018;

(ii) $618,864 in base year 2019;

(iii) $672,705 in base year 2020;

(iv) $731,230 in base year 2021; and

(v) $753,167 in base year 2022.

(B) For base years 2023 through 2051, the base amount for determination of Available Real Property Tax Revenues shall reflect an increase in the amount of 3.1% from each previous base year's amount.

(d) The RIA TIF Area shall terminate on the earlier of:

(1) Twenty-five years after the issuance of the last bonds issued pursuant to this subpart;

(2) The date on which the bonds are paid in full or are defeased and are no longer outstanding, or

(3) September 30, 2025 if no bonds are issued.

§ 2–1217.39d. Class A Bond authorization.

(a) The Council approves and authorizes the issuance of one or more series of Class A Bonds in an aggregate principal amount not to exceed $32 million to fund the project. The Class A Bonds, which may be issued from time to time, in one or more series, shall be tax-exempt or taxable as the Mayor shall determine and shall be payable and secured as provided in § 2-1217.39f(a).

(b) The proceeds of the Class A Bonds shall be used as follows:

(1) An amount not to exceed $23 million shall be used to pay Development Costs of the project; and

(2) The balance of the proceeds may be used to pay the financing costs incurred by the District and to fund capitalized interest and required reserves.

(c) The Mayor may pay from the proceeds of the Class A Bonds the financing costs and expenses of issuing and delivering the Class A Bonds, including, but not limited to, underwriting, legal, accounting, financial advisory, credit enhancement, marketing, sale, and printing costs and expenses.

§ 2–1217.39e. Class B Bond authorization.

(a) The Council approves and authorizes the issuance of one or more series of Class B Bonds in an aggregate principal amount not to exceed $24 million to reimburse Development Costs of the project and financing costs incurred by the District and to fund capitalized interest and required reserves. The Class B Bonds, which may be issued from time to time, in one or more series, shall be tax-exempt or taxable as the Mayor shall determine and shall be payable and secured as provided in § 2-1217.39f(b).

(b) The Mayor may pay from the proceeds of the Class B Bonds the financing costs and expenses of issuing and delivering the Class B Bonds, including, but not limited to, underwriting, legal, accounting, financial advisory, credit enhancement, marketing, sale, and printing costs and expenses.

(c) The Class B Bonds also may be issued as a TIF note to the Development Sponsor and may be held and used as security for debt incurred or to be incurred by the Development Sponsor, an agent of the Development Sponsor, or another party selected by the Development Sponsor and approved by the District.

§ 2–1217.39f. Payment and security.

(a) For the Class A Bonds.

(1) Except as may be otherwise provided in this subpart, the principal of, premium, if any, and interest on, the Class A Bonds, and the payment of ongoing administrative expenses related to the bond financing shall be payable solely from proceeds received from the sale of the Class A Bonds, income realized from the temporary investment of those proceeds, the Available Tax Increment and any other taxes or fees deposited in the RIA TIF Fund, income realized from the temporary investment of the monies in the RIA TIF Fund prior to payment to the Class A Bondholders, and other funds that, as provided in the Financing Documents, may be made available to the District for payment of the Class A Bonds from sources other than the District, all as provided for in the Financing Documents

(2) There is further allocated to the payment of debt service on the Class A Bonds the Available Increment, subordinate to the allocation of Available Increment to the Budgeted Reserve, as defined in the Reserve Agreement, all as more fully described in the Reserve Agreement and to the extent that the Reserve Agreement continues to apply to the Available Increment, to be used for the payment of debt service on the Class A Bonds to the extent that the revenues allocated in paragraph (1) of this subsection are inadequate to pay debt service on the Class A Bonds. The allocation of Available Increment authorized by this subsection shall be made in compliance with all existing contractual obligations of the District with respect to the Available Increment and shall terminate on the date on which all of the Class A Bonds are paid or provided for and are no longer outstanding pursuant to their terms.

(3) Payment of the Class A Bonds shall be secured as provided in the Financing Documents and by an assignment by the District for the benefit of the Class A Bondholders of certain of its rights under the Financing Documents and Closing Documents to the trustee for the Class A Bonds pursuant to the Financing Documents.

(4) The trustee or paying agent is authorized to deposit, invest, and disburse the proceeds received from the sale of the Class A Bonds pursuant to the Financing Documents.

(b) For the Class B Bonds:

(1) Except as may be otherwise provided in this subpart, the principal of, premium, if any, and interest on, the Class B Bonds, and the payment of ongoing administrative expenses related to the Class B Bond financing shall be payable solely from proceeds received from the sale of the Class B Bonds and income realized from the temporary investment of those proceeds, the Available Tax Increment and any other taxes of fees deposited in the RIA TIF Fund, income realized from the temporary investment of the monies in the RIA TIF Fund prior to payment to the Class B Bondholders, and other funds that, as provided in the Financing Documents, may be made available to the District for payment of the Class B Bonds from sources other than the District, all as provided for in the Financing Documents.

(2) Payment of debt service on the Class B Bonds from monies deposited in the RIA TIF Fund or income realized from the temporary investment of those monies shall be subordinate to (i) the payment of debt service on the Class A Bonds from monies deposited in the RIA TIF Fund or income realized from the temporary investment of those monies and (ii) any reasonable reserves required by the District.

(3) Payment of the Class B Bonds shall be secured as provided in the Financing Documents and by an assignment by the District for the benefit of the Class B Bondholders of certain of its rights under the Financing Documents and Closing Documents to the trustee for the Class B Bonds pursuant to the Financing Documents.

(4) The trustee or paying agent is authorized to deposit, invest, and disburse the proceeds received from the sale of the Class B Bonds pursuant to the Financing Documents.

§ 2–1217.39g. Bond details.

(a) The Mayor is authorized to take any action reasonably necessary or appropriate in accordance with this subpart in connection with the preparation, execution, issuance, sale, delivery, security for, and payment of the bonds of each class and series, including, but not limited to, determinations of:

(1) The final form, content, designation, and terms of the bonds, including a determination that the bonds may be issued in certificated or book entry form;

(2) The principal amount of the bonds to be issued and denominations of the bonds;

(3) The rate or rates of interest or the method for determining the rate or rates of interest on the bonds;

(4) The date or dates of issuance, sale, and delivery of, and the payment of interest on, the bonds, and the maturity date or dates of the bonds;

(5) The terms under which the bonds may be paid, optionally or mandatorily redeemed, accelerated, tendered, called, or put for redemption, repurchase, or remarketing before their respective stated maturities;

(6) Provisions for the registration, transfer, and exchange of the bonds and the replacement of mutilated, lost, stolen, or destroyed bonds;

(7) The creation of any reserve fund, sinking fund, or other fund with respect to the bonds;

(8) The time and place of payment of the bonds;

(9) Procedures for monitoring the use of the proceeds received from the sale of the bonds to ensure that the proceeds are properly applied and used to accomplish the purposes of the Home Rule Act and this subpart;

(10) Actions necessary to qualify the bonds under blue sky laws of any jurisdiction where the bonds are marketed; and

(11) The terms and types of any credit enhancement under which the bonds may be secured.

(b) The bonds shall contain a legend which shall provide that the bonds are special obligations of the District, are without recourse to the District, are not a pledge of, and do not involve, the faith and credit or the taxing power of the District (other than the Available Tax Increment, the Available Increment, and any other taxes and fees deposited in the RIA TIF Fund), do not constitute a debt of the District, and do not constitute lending of the public credit for private undertakings as prohibited in § 1-206.02(a)(2).

(c) The bonds shall be executed in the name of the District and on its behalf by the manual or facsimile signature of the Mayor, and attested by the Secretary of the District of Columbia by the Secretary's manual or facsimile signature.

(d) The official seal of the District, or a facsimile of it, shall be impressed, printed, or otherwise reproduced on the bonds.

(e) The bonds of any series may be issued in accordance with the terms of a trust instrument to be entered into by the District and a trustee or paying agent to be selected by the Mayor, and may be subject to the terms of one or more agreements entered into by the Mayor pursuant to § 1-204.90(a)(4).

(f) The bonds may be issued at any time or from time to time in one or more issues and in one or more series.

(g) The bonds are declared to be issued for essential public and governmental purposes. The bonds, the interest thereon, and the income therefrom, and all funds pledged or available to pay or secure the payment of the bonds, shall at all times be exempt from taxation by the District, except for estate, inheritance, and gift taxes.

(h) The District pledges, covenants, and agrees with the holders of the bonds that, subject to the provisions of the Financing Documents, the District will not limit or alter the revenues pledged to secure the bonds or the basis on which such revenues are collected or allocated, will not impair the contractual obligations of the District to fulfill the terms of any agreement made with the holders of the bonds, will not in any way impair the rights or remedies of the holders of the bonds, and will not modify, in any way, the exemptions from taxation provided for in this subpart, until the bonds, together with interest thereon, and all costs and expenses in connection with any suit, action, or proceeding by or on behalf of the holders of the bonds, are fully met and discharged. This pledge and agreement for the District may be included as part of the contract with the holders of the bonds. This subsection constitutes a contract between the District and the holders of the bonds. To the extent that any acts or resolutions of the Council may be in conflict with this subpart, this subpart shall be controlling.

(i) Consistent with § 1-204.90(a)(4)(B) and notwithstanding Article 9 of Chapter [Title] 28 of the District of Columbia Official Code:

(1) A pledge made and security interest created in respect of the bonds or pursuant to any related Financing Document shall be valid, binding, and perfected from the time the security interest is created, with or without physical delivery of any funds or any property and with or without any further action;

(2) The lien of the pledge shall be valid, binding, and perfected as against all parties having any claim of any kind in tort, contract, or otherwise against the District, whether or not such party has notice; and

(3) The security interest shall be valid, binding, and perfected whether or not any statement, document, or instrument relating to the security interest is recorded or filed.

§ 2–1217.39h. Issuance of the bonds.

(a) The bonds of any series may be sold at negotiated or competitive sale at, above, or below par, to one or more persons or entities, and upon terms that the Mayor considers to be in the best interests of the District.

(b) The Mayor or an Authorized Delegate may execute, in connection with each sale of the bonds, offering documents on behalf of the District, may deem final any such offering document on behalf of the District for purposes of compliance with federal laws and regulations governing such matters, and may authorize the distribution of the documents in connection with the bonds.

(c) The Mayor is authorized to deliver executed and sealed bonds, on behalf of the District, for authentication, and, after the bonds have been authenticated, to deliver the bonds to the original purchasers of the bonds upon payment of the purchase price.

(d) The bonds shall not be issued until the Mayor receives an approving opinion from Bond Counsel as to the validity of the bonds of such series and, if the interest on the bonds is expected to be exempt from federal income taxation, the treatment of the interest on the bonds for purposes of federal income taxation.

(e) Article 9 of Subtitle I of Title 28 and subchapter III-A of Chapter 3 of Title 47 shall not apply to any contract the Mayor may from time to time enter into, or the Mayor may determine to be necessary or appropriate, for the purposes of this subpart.

§ 2–1217.39i. Financing and Closing Documents.

(a) The Mayor is authorized to prescribe the final form and content of all Financing Documents and all Closing Documents to which the District is a party that may be necessary or appropriate to issue, sell, and deliver the bonds.

(b) The Mayor is authorized to execute, in the name of the District and on its behalf, the Financing Documents and any Closing Documents to which the District is a party by the Mayor's manual or facsimile signature.

(c) If required, the official seal of the District, or a facsimile of it, shall be impressed, printed, or otherwise reproduced on the bonds, the other Financing Documents, and the Closing Documents to which the District is a party.

(d) The Mayor's execution and delivery of the Financing Documents and the Closing Documents to which the District is a party shall constitute conclusive evidence of the Mayor's approval, on behalf of the District, of the final form and content of the executed Financing Documents and the executed Closing Documents.

(e) The Mayor is authorized to deliver the executed and sealed Financing Documents and Closing Documents, on behalf of the District, prior to or simultaneously with the issuance, sale, and delivery of the bonds, and to ensure the due performance of the obligations of the District contained in the executed, sealed, and delivered Financing Documents and Closing Documents.

§ 2–1217.39j. Limited liability.

(a) The bonds shall be special obligations of the District. The bonds shall be without recourse to the District. The bonds shall not be general obligations of the District, shall not be a pledge of, or involve, the faith and credit or the taxing power of the District (other than the Available Tax Increment, the Available Increment, and any other taxes or fees deposited in the RIA TIF Fund), shall not constitute a debt of the District, and shall not constitute lending of the public credit for private undertakings as prohibited in § 1-206.02(a)(2).

(b) The bonds shall not give rise to any pecuniary liability of the District and the District shall have no obligation with respect to the purchase of the bonds

(c) No person, including, but not limited to, any bond owner, shall have any claims against the District or any of its elected or appointed officials, officers, employees, or agents for monetary damages suffered as a result of the failure of the District to perform any covenant, undertaking, or obligation under this subpart, the bonds, the Financing Documents, or the Closing Documents, or as a result of the incorrectness of any representation in or omission from the Financing Documents or the Closing Documents, unless the District or its elected or appointed officials, officers, employees, or agents have acted in a willful and fraudulent manner.

§ 2–1217.39k. District officials.

(a) Except as otherwise provided in § 2-1217.39j(c), the elected or appointed officials, officers, employees, or agents of the District shall not be liable personally for the payment of the bonds or be subject to any personal liability by reason of the issuance of the bonds, or for any representations, warranties, covenants, obligations, or agreements of the District contained in this subpart, the bonds, the Financing Documents, or the Closing Documents.

(b) The signature, countersignature, facsimile signature, or facsimile countersignature of any official appearing on the bonds, the Financing Documents, or the Closing Documents shall be valid and sufficient for all purposes notwithstanding the fact that the individual signatory ceases to hold that office before delivery of the bonds, the Financing Documents, or the Closing Documents.

§ 2–1217.39l. Maintenance of documents.

Copies of the specimen bonds and of the final Financing Documents and Closing Documents shall be filed in the Office of the Secretary of the District of Columbia.

§ 2–1217.39m. Information reporting.

Within 3 days after the Mayor's receipt of the transcript of proceedings relating to the issuance of the bonds, the Mayor shall transmit a copy of the transcript to the Secretary to the Council.

§ 2–1217.39n. Expiration of issuance authority.

(a) The authority to issue the Class A and Class B Bonds, excluding Refunding Bonds, shall expire on September 30, 2025, if no Class A Bonds have been issued; provided, that the expiration of the authority shall have no effect on any bonds issued prior to the expiration date or on the District's ability to issue Refunding Bonds on a future date.

(b) The authority to issue the Class B Bonds shall expire on September 30, 2029, if no Class B Bonds have been issued; provided, that the expiration of the authority shall have no effect on any bonds issued prior to the expiration date or on the District's ability to issue Refunding Bonds on a future date.

§ 2–1217.39o. Applicability. [Repealed]

Repealed.

Subpart 10. Reunion Square.

§ 2–1217.40a. Definitions.

For the purposes of this subpart, the term:

(1) "Authorized Delegate" means the Deputy Mayor for Planning and Economic Development, the Chief Financial Officer, the Treasurer, or any officer or employee of the executive office of the Mayor to whom the Mayor has delegated any of the Mayor's functions under this subpart pursuant to § 1-204.22(6).

(2) "Available Increment" shall have the same meaning as set forth in the Reserve Agreement.

(3) "Available Real Property Tax Revenues" means the revenues resulting from the imposition of the tax provided for in Chapter 8 of Title 47, inclusive of any penalties and interest charges, exclusive of the special tax provided for in § 1-204.81 pledged to payment of general obligation indebtedness of the District.

(4) "Available Sales Tax Revenues" means the revenues resulting from the imposition of the tax under Chapter 20 of Title 47, including penalty and interest charges, exclusive of the portion thereof required to be deposited in the Washington Convention Center Fund established pursuant to § 10-1202.08, and any amounts to be made available to the Washington Metropolitan Transit Authority pursuant to section 7101 of the Revised Revenue Contingency List Act of 2017, effective December 13, 2017 (D.C. Law 22-33; 64 DCR 7652), and § 9-1111.15(b)(2)(A).

(5) "Available Tax Increment" means, with respect to any series of bonds, the sum of the Available Sales Tax Revenues and Available Real Property Tax Revenues generated in the Reunion Square TIF Area in any fiscal year of the District minus the sum of Available Sales Tax Revenues and Available Real Property Tax Revenues generated in the Reunion Square TIF Area in the base year.

(6) "Bond Counsel" means a firm or firms of attorneys designated as bond counsel from time to time by the Mayor.

(7) "Bonds" or "bonds" means the District of Columbia Class A Bonds, Class B Bonds, and any other revenue bonds, notes, or other obligations, in one or more series, authorized to be issued pursuant to this act. Unless otherwise specified, the term "Bonds" or "bonds" shall include Refunding Bonds.

(8) "Chairman" means the Chairman of the Council of the District of Columbia.

(9) "Chief Financial Officer" means the Chief Financial Officer of the District of Columbia established by § 1-204.24a.

(10) "Closing Documents" means all documents and agreements, other than Financing Documents, that may be necessary and appropriate to issue, sell, and deliver the bonds, and includes agreements, certificates, letters, opinions, forms, receipts, and other similar instruments.

(11) "Council" means the Council of the District of Columbia.

(12) "Debt Service" means principal, premium, if any, and interest on the bonds.

(13) "Development Costs" has the same meaning as in § 2-1217.01(13), and may include any costs for District tenant improvements in the Project.

(14) "Development Sponsor" means Four Points LLC, Curtis Investment Group, and Blue Sky Housing LLC, or any other entity that undertakes the development of the Project with the approval of the Mayor.

(15) "District" means the District of Columbia.

(16) "Financing Documents" means the documents, other than Closing Documents, that relate to the financing or refinancing of transactions to be affected through the issuance, sale, and delivery of the bonds, including any offering document, and any required supplements to any such documents.

(17) "Home Rule Act" means Chapter 2 of Title 1.

(18) "Project" means the financing, refinancing, or reimbursing of Development Costs incurred within the Reunion Square TIF Area.

(19) "Refunding Bonds" means the District of Columbia bonds, notes, or other obligations, in one or more series, authorized to be issued pursuant to this subpart to refund or refinance the Bonds.

(20) "Reserve Agreement" means that certain Reserve Agreement, dated as of April 1, 2002, by and among the District, Wells Fargo Bank Minnesota, N.A., and Financial Security Assurance, Inc.

(21) "TIF" means tax increment financing.

§ 2–1217.40b. Creation of the Reunion Square TIF Fund.

(a) There is established as a nonlapsing fund the Reunion Square TIF Fund. The Chief Financial Officer shall deposit into the Reunion Square TIF Fund the Available Tax Increment and any other taxes or fees specifically designated by law for deposit in the Reunion Square TIF Fund.

(b) The Mayor may pledge and create a security interest in the funds in the Reunion Square TIF Fund, or any sub-account within the Reunion Square TIF Fund, for the payment of debt service on the bonds without further action by the Council as permitted by § 1-204.90(f). The payment of debt service shall be made in accordance with the provisions of the Financing Documents entered into by the District in connection with the issuance of the bonds.

(c) If, at the end of any fiscal year of the District, the balance of cash and investments in the Reunion Square TIF Fund exceeds the amount of debt service (including prepayment of principal and interest), reserves on any bonds, and any approved bond-related administrative expenses during the upcoming fiscal year, 50% of the excess shall be used to prepay the principal of the bonds and the remaining 50% of the excess shall be transferred to the unrestricted balance of the General Fund of the District of Columbia.

§ 2–1217.40c. Creation of the Reunion Square TIF Area.

(a) There is created a TIF area designated as the Reunion Square TIF Area. The Reunion Square TIF Area is defined as: Lots 827, 829, 984, 1017, and 1020 in Square 5772; Lot 1018 in Square 5783; and Lots 899, 900, and 1101 in Square 5784.

(b) As provided under § 2-1217.40b, the Available Tax Increment from the Reunion Square TIF Area shall be deposited in the Reunion Square TIF Fund and may be used for the purposes set forth in § 2-1217.40b.

(c)(1) The base year for determination of Available Sales Tax Revenues from locations within the Reunion Square TIF Area shall be the tax year preceding the year in which this subpart becomes effective.

(2) The base amount for determination of Available Real Property Tax Revenues shall be:

(A) $121,881 in base year 2020;

(B) $121,881 in base year 2021;

(C) $121,881 in base year 2022;

(D) $129,193 in base year 2023;

(E) $136,945 in base year 2024; and

(F) $141,738 in base year 2025 and each base year thereafter.

(d) The Reunion Square Street TIF Area shall terminate on the earlier of:

(1) Twenty-five years after the issuance of the last Bonds issued pursuant to this subpart;

(2) The date on which the Bonds are paid in full or are defeased and are no longer outstanding; or

(3) September 30, 2025 if no Bonds are issued.

§ 2–1217.40d. Class A Bond authorization.

(a) The Council approves and authorizes the issuance of one or more series of Class A Bonds in an aggregate principal amount not to exceed $16.9 million (not including the principal amount of Refunding Bonds issued to refund or refinance principal of Class A Bonds) to fund the Project. The Class A Bonds, which may be issued from time to time, in one or more series, shall be tax-exempt or taxable as the Mayor shall determine and shall be payable and secured as provided in § 2-1217.40f(a).

(b) The Mayor may pay from the proceeds of the Class A Bonds the financing costs and expenses of issuing and delivering the Class A Bonds, including, but not limited to, underwriting, legal, accounting, financial advisory, credit enhancement, marketing, sale, and printing costs and expenses.

§ 2–1217.40e. Class B Bond authorization.

(a) The Council approves and authorizes the issuance of one or more series of Class B Bonds in an aggregate principal amount not to exceed $45.8 million, less the issued gross Class A Bond amount, to reimburse Development Costs of the Project and financing costs incurred by the District and to fund capitalized interest and required reserves. The Class B Bonds, which may be issued from time to time, in one or more series, shall be tax-exempt or taxable as the Mayor shall determine and shall be payable and secured as provided in § 2-1217.40f(b).

(b) The Mayor may pay from the proceeds of the Class B Bonds the financing costs and expenses of issuing and delivering the Class B Bonds, including, but not limited to, underwriting, legal, accounting, financial advisory, credit enhancement, marketing, sale, and printing costs and expenses.

(c) The Class B Bonds also may be issued as a TIF note to the Development Sponsor and may be held and used as security for debt incurred or to be incurred by the Development Sponsor, an agent of the Development Sponsor, or another party selected by the Development sponsor and approved by the District.

§ 2–1217.40f. Payment and security.

(a) For the Class A Bonds:

(1) Except as may be otherwise provided in this subpart, the principal of, premium, if any, and interest on, the Class A Bonds, and the payment of ongoing administrative expenses related to the bond financing shall be payable solely from proceeds received from the sale of the bonds, income realized from the temporary investment of those proceeds, Available Tax Increment and any other taxes or fees deposited in the Reunion Square TIF Fund, income realized from the temporary investment of the monies in the Reunion Square TIF Fund prior to payment to the Class A Bondholders, and other funds that, as provided in the Financing Documents, may be made available to the District for payment of the bonds from sources other than the District, all as provided for in the Financing Documents.

(2) There is further allocated to the payment of debt service, on the Class A Bonds the Available Increment, subordinate to the allocation of Available Increment to the Budgeted Reserve, as defined in the Reserve Agreement, all as more fully described in the Reserve Agreement and to the extent that the Reserve Agreement continues to apply to the Available Increment, to be used for the payment of debt service on the Class A Bonds to the extent that the revenues allocated in paragraph (1) of this subsection are inadequate to pay debt service on the Class A Bonds. The allocation of Available Increment authorized by this subsection shall be made in compliance with all existing contractual obligations of the District with respect to the Available Increment and shall terminate on the date on which all of the Class A Bonds are paid or provided for and are no longer outstanding pursuant to their terms.

(3) Payment of the Class A Bonds shall be secured as provided in the Financing Documents and by an assignment by the District for the benefit of the Class A Bondholders of certain of its rights under the Financing Documents and Closing Documents to the trustee for the Class A Bonds pursuant to the Financing Documents.

(4) The trustee or paying agent is authorized to deposit, invest, and disburse the proceeds received from the sale of the Class A Bonds pursuant to the Financing Documents.

(b) For the Class B Bonds:

(1) Except as may be otherwise provided in this subpart, the principal of, premium, if any, and interest on, the Class B Bonds, and the payment of ongoing administrative expenses related to the Class B Bond financing shall be payable solely from proceeds received from the sale of the subordinate Class B Bonds and income realized from the temporary investment of those proceeds, the Available Tax Increment, and any other taxes or fees deposited in the Reunion Square TIF Fund, income realized from the temporary investment of the monies in the Reunion Square TIF Fund prior to payment to the Class B Bondholders, and other funds that, as provided in the Financing Documents, may be made available to the District for payment of the subordinate Class B Bonds from sources other than the District, all as provided for in the Financing Documents.

(2) Payment of debt service on the Class B Bonds from monies deposited in the Reunion Square TIF Fund or income realized from the temporary investment of those monies shall be subordinate to:

(A) The payment of debt service on the Class A Bonds from monies deposited in the Reunion Square TIF Fund or income realized from the temporary investment of those monies; and

(B) Any reasonable reserves required by the District.

(3) Payment of the Class B Bonds shall be secured as provided in the Financing Documents and by an assignment by the District for the benefit of the Class B Bondholders of certain of its rights under the Financing Documents and Closing Documents to the trustee for the Class B Bonds pursuant to the Financing Documents.

(4) The trustee or paying agent is authorized to deposit, invest, and disburse the proceeds received from the sale of the Class B Bonds pursuant to the Financing Documents.

§ 2–1217.40g. Bond details.

(a) The Mayor is authorized to take any action reasonably necessary or appropriate in accordance with this subpart in connection with the preparation, execution, issuance, sale, delivery, security for, and payment of the bonds of each class and series, including, but not limited to, determinations of:

(1) The final form, content, designation, and terms of the bonds, including a determination that the bonds may be issued in certificated or book-entry form;

(2) The principal amount of the bonds to be issued and denominations of the bonds;

(3) The rate or rates of interest or the method for determining the rate or rates of interest on the bonds;

(4) The date or dates of issuance, sale, and delivery of, and the payment of interest on, the bonds, and the maturity date or dates of the bonds;

(5) The terms under which the bonds may be paid, optionally or mandatorily redeemed, accelerated, tendered, called, or put for redemption, repurchase, or remarketing before their respective stated maturities;

(6) Provisions for the registration, transfer, and exchange of the bonds and the replacement of mutilated, lost, stolen, or destroyed bonds;

(7) The creation of any reserve fund, sinking fund, or other fund with respect to the bonds;

(8) The time and place of payment of the bonds;

(9) Procedures for monitoring the use of the proceeds received from the sale of the bonds to ensure that the proceeds are properly applied and used to accomplish the purposes of the Home Rule Act and this subpart;

(10) Actions necessary to qualify the bonds under blue sky laws of any jurisdiction where the bonds are marketed; and

(11) The terms and types of any credit enhancement under which the bonds may be secured.

(b) The bonds shall contain a legend which shall provide that the bonds are special obligations of the District, are without recourse to the District, are not a pledge of, and do not involve, the faith and credit or the taxing power of the District (other than the Available Tax Increment, the Available Increment, and any other taxes and fees deposited in the Reunion Square TIF Fund), do not constitute a debt of the District, and do not constitute lending of the public credit for private undertakings as prohibited in § 1-206.02(a)(2).

(c) The bonds shall be executed in the name of the District and on its behalf by the manual or facsimile signature of the Mayor, and attested by the Secretary of the District of Columbia by the Secretary's manual or facsimile signature.

(d) The official seal of the District, or a facsimile of it, shall be impressed, printed, or otherwise reproduced on the bonds.

(e) The bonds of any series may be issued in accordance with the terms of a trust instrument to be entered into by the District and a trustee or paying agent to be selected by the Mayor, and may be subject to the terms of one or more agreements entered into by the Mayor pursuant to § 1-204.90(a)(4).

(f) The bonds may be issued at any time or from time to time in one or more issues and in one or more series.

(g) The bonds are declared to be issued for essential public and governmental purposes. The bonds, the interest thereon, and the income therefrom, and all funds pledged or available to pay or secure the payment of the bonds, shall at all times be exempt from taxation by the District, except for estate, inheritance, and gift taxes.

(h) The District pledges, covenants, and agrees with the holders of the bonds that, subject to the provisions of the Financing Documents, the District will not limit or alter the revenues pledged to secure the bonds or the basis on which such revenues are collected or allocated, will not impair the contractual obligations of the District to fulfill the terms of any agreement made with the holders of the bonds, will not in any way impair the rights or remedies of the holders of the bonds, and will not modify, in any way, the exemptions from taxation provided for in this subpart, until the bonds, together with interest thereon, and all costs and expenses in connection with any suit, action, or proceeding by or on behalf of the holders of the bonds, are fully met and discharged. This pledge and agreement for the District may be included as part of the contract with the holders of the bonds. This subsection constitutes a contract between the District and the holders of the bonds. To the extent that any acts or resolutions of the Council may be in conflict with this subpart, this subpart shall be controlling.

(i) Consistent with § 1-204.90(a)(4)(B) and notwithstanding article 9 of Subtitle I of Title 28:

(1) A pledge made and security interest created in respect of the bonds or pursuant to any related Financing Document shall be valid, binding, and perfected from the time the security interest is created, with or without physical delivery of any funds or any property and with or without any further action;

(2) The lien of the pledge shall be valid, binding, and perfected as against all parties having any claim of any kind in tort, contract, or otherwise against the District, whether or not such party has notice; and

(3) The security interest shall be valid, binding, and perfected whether or not any statement, document, or instrument relating to the security interest is recorded or filed.

§ 2–1217.40h. Issuance of the bonds.

(a) The bonds of any series may be sold at negotiated or competitive sale at, above, or below par, to one or more persons or entities, and upon terms that the Mayor considers to be in the best interests of the District.

(b) The Mayor or an Authorized Delegate may execute, in connection with each sale of the bonds, offering documents on behalf of the District, may deem final any such offering document on behalf of the District for purposes of compliance with federal laws and regulations governing such matters, and may authorize the distribution of the documents in connection with the bonds.

(c) The Mayor is authorized to deliver executed and sealed bonds, on behalf of the District, for authentication, and, after the bonds have been authenticated, to deliver the bonds to the original purchasers of the bonds upon payment of the purchase price.

(d) The bonds shall not be issued until the Mayor receives an approving opinion from Bond Counsel as to the validity of the bonds of such series and, if the interest on the bonds is expected to be exempt from federal income taxation, the treatment of the interest on the bonds for purposes of federal income taxation.

(e) Chapter 3A of this title and subchapter III-A of Chapter 3 of Title 47 shall not apply to any contract the Mayor may from time to time enter into, or the Mayor may determine to be necessary or appropriate, for the purposes of this subpart.

§ 2–1217.40i. Financing and Closing Documents.

(a) The Mayor is authorized to prescribe the final form and content of all Financing Documents and all Closing Documents to which the District is a party that may be necessary or appropriate to issue, sell, and deliver the bonds.

(b) The Mayor is authorized to execute, in the name of the District and on its behalf, the Financing Documents and any Closing Documents to which the District is a party by the Mayor's manual or facsimile signature.

(c) If required, the official seal of the District, or a facsimile of it, shall be impressed, printed, or otherwise reproduced on the bonds, the other Financing Documents, and the Closing Documents to which the District is a party.

(d) The Mayor's execution and delivery of the Financing Documents and the Closing Documents to which the District is a party shall constitute conclusive evidence of the Mayor's approval, on behalf of the District, of the final form and content of the executed Financing Documents and the executed Closing Documents.

(e) The Mayor is authorized to deliver the executed and sealed Financing Documents and Closing Documents, on behalf of the District, prior to or simultaneously with the issuance, sale, and delivery of the bonds, and to ensure the due performance of the obligations of the District contained in the executed, sealed, and delivered Financing Documents and Closing Documents.

§ 2–1217.40j. Limited liability.

(a) The bonds shall be special obligations of the District. The bonds shall be without recourse to the District. The bonds shall not be general obligations of the District, shall not be a pledge of, or involve, the faith and credit or the taxing power of the District (other than the Available Tax Increment, the Available Increment, and any other taxes or fees allocated to the Reunion Square TIF Fund), shall not constitute a debt of the District, and shall not constitute lending of the public credit for private undertakings as prohibited in § 1-206.02(a)(2).

(b) The bonds shall not give rise to any pecuniary liability of the District, and the District shall have no obligation with respect to the purchase of the bonds.

(c) No person, including, but not limited to, any bond owner, shall have any claims against the District or any of its elected or appointed officials, officers, employees, or agents for monetary damages suffered as a result of the failure of the District to perform any covenant, undertaking, or obligation under this subpart, the bonds, the Financing Documents, or the Closing Documents, or as a result of the incorrectness of any representation in or omission from the Financing Documents or the Closing Documents, unless the District or its elected or appointed officials, officers, employees, or agents have acted in a willful and fraudulent manner.

§ 2–1217.40k. District officials.

(a) Except as otherwise provided in § 2-1217.40j(c), the elected or appointed officials, officers, employees, or agents of the District shall not be liable personally for the payment of the bonds or be subject to any personal liability by reason of the issuance of the bonds, or for any representations, warranties, covenants, obligations, or agreements of the District contained in this subpart, the bonds, the Financing Documents, or the Closing Documents.

(b) The signature, countersignature, facsimile signature, or facsimile countersignature of any official appearing on the bonds, the Financing Documents, or the Closing Documents shall be valid and sufficient for all purposes notwithstanding the fact that the individual signatory ceases to hold that office before delivery of the bonds, the Financing Documents, or the Closing Documents.

§ 2–1217.40l. Maintenance of documents.

Copies of the specimen bonds and of the final Financing Documents and Closing Documents shall be filed in the Office of the Secretary of the District of Columbia.

§ 2–1217.40m. Information reporting.

Within 3 days after the Mayor's receipt of the transcript of proceedings relating to the issuance of the bonds, the Mayor shall transmit a copy of the transcript to the Secretary to the Council.

§ 2–1217.40n. Expiration of issuance authority.

(a) The authority to issue the Class A Bonds shall expire at 11:59 p.m. on September 30, 2025, if no Bonds have been issued; provided, that the expiration of the authority shall have no effect on any Bonds issued on or prior to the expiration date or on the District's ability to issue Refunding Bonds on a future date. Class A Bonds issued as draw down bonds shall be deemed to have been issued for the purposes of this subsection in their entirety on the date of the first draw of principal on such Class A Bonds.

(b) The authority to issue the Class B Bonds shall expire at 11:59 p.m. on September 30, 2030; provided, however, that the expiration of the authority shall have no effect on any Class B Bonds issued prior to the expiration date.

Part C. Disposition and Redevelopment of Lot 854 in Square 441.

§ 2–1217.41. Definitions. [Repealed]

Repealed.

§ 2–1217.42. Creation of the Broadcast Center One Fund. [Repealed]

Repealed.

§ 2–1217.43. Creation of the Broadcast Center One TIF Area. [Repealed]

Repealed.

§ 2–1217.44. Bond authorization. [Repealed]

Repealed.

§ 2–1217.45. Bond details. [Repealed]

Repealed.

§ 2–1217.46. Issuance of the bonds. [Repealed]

Repealed.

§ 2–1217.47. Payment and security. [Repealed]

Repealed.

§ 2–1217.48. Financing and Closing Documents. [Repealed]

Repealed.

§ 2–1217.49. Limited liability. [Repealed]

Repealed.

§ 2–1217.50. District officials. [Repealed]

Repealed.

§ 2–1217.51. Maintenance of documents. [Repealed]

Repealed.

§ 2–1217.52. Information reporting. [Repealed]

Repealed.

Subchapter IX-A. Tax Increment Financing For Retail Development.

§ 2–1217.71. Definitions.

For the purposes of this subchapter, the term:

(1) “Available Real Property Tax Revenues” means the revenues resulting from the imposition of the tax under Chapter 8 of Title 47, including any penalties and interest charges, exclusive of the special tax provided for in § 1-204.81, pledged to the payment of general obligation indebtedness of the District.

(2) “Available Sales Tax Revenues” means the revenues resulting from the imposition of the tax under Chapter 20 of Title 47, including any penalties and interest charges, exclusive of the portion thereof required to be deposited in the Washington Convention Center Fund established pursuant to § 10-1202.08.

(3) “Bonds” means any bonds, notes, or other instruments issued by the District pursuant to § 1-204.90 and secured by Tax Increment Revenues or other security authorized by this subchapter.

(4) “CFO” means the Chief Financial Officer of the District of Columbia.

(5) “Downtown Retail Priority Area” means the record lots that front one of the following street locations: 7th Street, N.W., between Indiana and Massachusetts Avenues, N.W.; 11th Street, N.W., between Pennsylvania Avenue, N.W., and New York Avenue, N.W.; F Street, N.W., between 6th and 15th Streets, N.W.; and G Street, N.W., between 10th and 13th Streets, N.W., and includes portions of the following squares: 223, 224, 225, 252, 253, 254, 288, 289, 290, 319, 320, 321, 322, 346, 347, 348, 376, 377, 403, 406, 408.1, 428, 429, 430, 431, 452, 453, 454, 455, 456, 457, and 458.

(6) “Home Rule Act” means Chapter 2 of Title 1 [§ 1-201.01 et seq.].

(7) “LSDBE” means a local, small, or disadvantaged business enterprise certified by the Small and Local Business Opportunity Commission under subchapter IX-A of Chapter 2 of this title [§ 2-1217.71 et seq.].

(8) “Retail Development Project” means the establishment of a business engaged in direct onsite retail sales to consumers or providing a unique entertainment attraction, including the following activities in connection with such business: acquisition, purchase, construction, reconstruction, improvement, renovation, rehabilitation, restoration, remodeling, repair, remediation, expansion, extension, and the furnishing, equipping, and opening for business. In the case of the Downtown Retail Priority Area, Retail Development Projects shall meet the requirements of § 2-1217.73a, shall be limited to restaurants (on a demonstration basis), grocery and specialty food stores and businesses engaged in sales of home furnishings, apparel, and general merchandise goods to specialized customers, or providing a unique entertainment attraction, and shall specifically exclude:

(A) Liquor stores, nightclubs, hotels, banks, pharmacies, phone stores, and service retail outlets; and

(B) The relocation of a business to the Downtown Retail Priority Area from another location within the District, unless the relocation involves a significant expansion of the size of the business.

(9) “Retail Development Costs” means any costs associated with, arising out of, or incurred in connection with:

(A) A Retail Development Project;

(B) The issuance of, or debt service or any other payments in respect of, the Bonds, including costs of issuance, capitalized interest, credit enhancement fees, reserve funds, or working capital; or

(C) The relocation of any business where the purpose of the relocation is to make space for a Retail Development Project.

(10) “Retail Priority Area” means:

(A) The Downtown Retail Priority Area; and

(B) Any other area or areas of the District so designated by the Mayor and approved by the Council in accordance with this subchapter.

(11) “Rules of Operation” means the rules and procedures, established by the Mayor pursuant to § 2-1217.74, by which Retail Development Projects will be approved as TIF Areas and receive proceeds of Bonds to pay Retail Development Costs.

(12) “Tax Increment Revenues” means the portion of the Available Real Property Tax Revenues, Available Sales Tax Revenues, or both, allocable to one or more tax allocation funds pursuant to § 2-1217.76.

(13) “TIF” means tax increment financing.

(14) “TIF Act” means subchapter IX of this chapter [§ 2-1217.01 et seq.] or any successor act.

(15) “TIF Area” means a Retail Development Project that has been approved by the Mayor to receive proceeds of Bonds in accordance with the applicable Rules of Operation for the Retail Priority Area in which the Retail Development Project is located.

§ 2–1217.72. Limitations on issuance of Bonds.

(a) Bonds shall not be issued pursuant to this subchapter to the extent the issuance will cause the aggregate principal amount of Bonds issued pursuant to this subchapter and the TIF Act to exceed $500 million; provided, that the aggregate amount of TIF bonds for projects in the Central Business District, as defined in Title 11 of the District of Columbia Municipal Regulations, shall not exceed $300 million.

(b) Bonds shall not be issued pursuant to this subchapter after September 30, 2015.

(c) The maximum principal amount of bonds that may be issued with respect to the Downtown Retail Priority Area is limited to the amount of bonds issued before March 1, 2013.

§ 2–1217.73. Retail Priority Areas.

(a)(1) The Mayor shall identify areas within the District where:

(A) There exist barriers to entry that impede Retail Development Projects; and

(B) The proceeds of Bonds may be used to eliminate these barriers to entry and promote Retail Development Projects.

(2)(A) The Mayor may designate additional Retail Priority Areas by submitting to the Council for a 45-day period of review, excluding weekends, holidays, and periods of Council recess, a proposed resolution, which:

(i) Designates one or more Retail Priority Areas;

(ii) States the maximum aggregate principal amount of Bonds that may be issued with respect to each Retail Priority Area; and

(iii) States the latest date by which the Bonds may be issued with respect to each Retail Priority Area.

(B) In addition to the resolution, the Mayor shall submit to the Council information supporting the Mayor’s determinations concerning the use of TIF to promote retail development in each Retail Priority Area, including findings of the CFO that the proposed Retail Priority Area is not inconsistent with the financial plan and budget for the fiscal year of the District and does not exceed the limitations set forth in § 2-1217.72(a).

(C) If the Council does not approve or disapprove the proposed resolution within the 45-day period of review, excluding weekends, holidays, and periods of Council recess, the proposed resolution shall be deemed approved.

(b) In addition to Retail Priority Areas that may be approved pursuant to subsection (a) of this section:

(1) The Downtown Retail Priority Area is designated as a Retail Priority Area;

(2) The issuance of Bonds with respect to the Downtown Retail Priority Area, not to exceed the aggregate principal amount of $25 million, is approved;

(3) The latest date for the issuance of such Bonds is September 30, 2015; and

(4) The base year for the calculation of Available Sales Tax Revenues shall be the fiscal year beginning October 1, 2002 and the base year for the calculation of Available Real Property Tax Revenues shall be the fiscal year beginning October 1, 2003.

(b-1) The maximum aggregate principal amount of bonds that may be issued with respect to the Pennsylvania Avenue, S.E., Retail Priority Area, approved by the Council in section 3(6) of the Great Streets Neighborhood Retail Priority Areas Approval Resolution of 2007, effective July 10, 2007 (Res. 17-257; 54 DCR 7194), is increased from $10 million to $15 million.

(c) The Mayor shall prepare and deliver an annual report to the Council each year on January 1st through the year ending September 30, 2015. The annual report shall contain a listing and description of each Retail Development Project approved as a TIF Area pursuant to this subchapter. Each listing shall contain specific information about the nature of the Retail Development Project, the use of the proceeds of the Bonds, the projected Tax Increment Revenues attributable to each listed TIF Area, and any other information the Council may request regarding such TIF Areas.

(d) If the Mayor determines that a Retail Priority Area is no longer necessary, the Mayor may abolish the Retail Priority Area; provided, that if any Bonds are outstanding with respect to any TIF Area therein, the Mayor shall take no action to abolish the Retail Priority Area or that otherwise will adversely affect the security of the holders of the Bonds.

(e) Repealed.

(f) There is established the Rhode Island Avenue, N.E., Retail Priority Area, which shall consist of the parcels, squares, and lots within or abutting the boundary of the following area: Beginning at the intersection of Fourth Street, N.E., and Franklin Street, N.E.; continuing on Franklin Street, N.E., to 8th Street, N.E.; thence north on Edgewood Street, N.E., continuing east on Monroe Street, N.E., to10th Street, N.E.; thence north on 10th Street, N.E.; thence east on Otis Street, N.E., to 12th Street, N.E.; thence north to include all properties abutting the west side of 12th Street, N.E., to Michigan Avenue, N.E.; thence south to include all properties abutting the east side of 12th Street, N.E., to Franklin Street, N.E. thence east on Franklin Street NE to 15th Street, N.E.; thence north on 15th Street, N.E., to Girard Street, N.E.; thence east on Girard Street, N.E., to 17th Street, N.E.; thence north on 17th Street, N.E., to Brentwood Road, N.E.; thence northeast on Brentwood Road N.E., to 18th Street, N.E.; thence north on 18th Street, N.E., to Irving Street, N.E.; thence east on Irving Street, N.E., to Rhode Island Avenue, N.E.; thence north along the western boundary of the property at the northeast corner of 20th Street, N.E., and Rhode Island Avenue, N.E., to its northwest corner; thence northeast along the rear boundaries of all properties with frontage along the north side of Rhode Island Avenue, N.E., to the northeast corner of the property at the northwest corner of Rhode Island Avenue, N.E., and Eastern Avenue, N.E.; thence southeast along the eastern boundary of property at the corner of Rhode Island Avenue, N.E., and Eastern Avenue, N.E., to its southeast corner; thence continuing southeast to the southeast corner of the property at the southwest corner of Rhode Island Avenue, N.E., and Eastern Avenue, N.E.; thence southwest along the rear boundaries of all properties with frontage along the south side of Rhode Island Avenue, N.E., to Montana Avenue, N.E.; thence southeast along Montana Avenue, N.E., to Downing Street, N.E.; thence southwest along Downing Street, N.E., to Bryant Street, N.E.; thence west along Bryant Street, N.E., to 13th Street, N.E.; thence southeast along 13th Street, N.E., to its end at W Street, N.E.; thence west along a line extending W Street, N.E., west to the continuation of W Street, N.E., and continuing west along W Street, N.E., to Brentwood Road, N.E.; thence southwest along Brentwood Road, N.E., to its end at T Street, N.E.; thence southwest to the intersection of a line extending Fourth Street, N.E., south and a line extending R Street, N.E., east; thence north along line extending Fourth Street, N.E., to Fourth Street, N.E., and continuing north along Fourth Street, N.E., to the point of beginning.

(g) There is established the H Street/Bladensburg Road/Benning Road, N.E., Corridor Retail Priority Area, which shall include the parcels, squares, and lots within or abutting the area bounded by a line beginning at the intersection of the center lines of Massachusetts Avenue, N.E., Columbus Circle, N.E., and 1st Street, N.E.; continuing northeast along the center line of 1st Street, N.E., to the center line of K Street, N.E.; continuing east along the center line of K Street, N.E., to the center line of Florida Avenue, N.E.; continuing southeast along the center line of Florida Avenue, N.E., to the center line of Staples Street, N.E.; continuing northeast along the center line of Staples Street, N.E., to the center line of Oates Street, N.E.; continuing southeast along the center line of Oates Street, N.E., until the point where Oates Street, N.E., becomes K Street, N.E.; continuing east along the center line of K Street, N.E., to the center line of 17th Street, N.E.; continuing south along the center line of 17th Street, N.E., to the center line of Gales Street, N.E.; continuing northwest along the center line of Gales Street, N.E., to the center line of 15th Street, N.E.; continuing south along the center line of 15th Street, N.E., to the center line of F Street, N.E.; continuing west along F Street, N.E., to the center line of Columbus Circle, N.E.; and continuing south and circumferentially along the center line of Columbus Circle, N.E., to the beginning point. Beginning at the intersection of Holbrook Street, N.E., and Mount Olivet Road, N.E.; thence east on Mount Olivet Road, N.E., to Bladensburg Road, N.E.; thence south on Bladensburg Road, N.E., to 17th Street, N.E.; thence south on 17th Street, N.E., to H Street, N.E.; thence east on H Street, N.E., to 19th Street, N.E.; thence south on 19th Street, N.E., to Benning Road, N.E.; thence east on Benning Road, N.E., to Oklahoma Avenue, N.E.; thence southwest on Oklahoma Avenue, N.E., to Clagett Place, N.E.; thence northwest on Clagett Place, N.E., to 20th Street, N.E.; thence northwest along the rear boundaries of all properties with frontage along the southwest side of Benning Road, N.E., to 19th Street, N.E.; thence south on 19th Street, N.E., to Gales Street, N.E.; thence northwest on Gales Street, N.E., to 15th Street, N.E.; thence west on G Street, N.E., to 14th Street, N.E.; thence north on 14th Street, N.E., to Florida Avenue, N.E.; thence west on Florida Avenue, N.E., to Holbrook Street, N.E.; thence north on Holbrook Street, N.E., to the point of beginning.

(h) There is established the North Capitol Street Retail Priority Area, which shall consist of the parcels, squares, and lots within or abutting the boundary of the following area: Beginning at the intersection of New York Avenue, N.W., and First Street, N.W.; thence north along First Street, N.W., to Florida Avenue, N.W.; thence northwest along Florida Avenue, N.W., to Second Street, N.W.; thence north along Second Street, N.W., to Rhode Island Avenue, N.W.; thence northeast along Rhode Island Avenue, N.W., to First Street, N.W.; thence north along First Street, N.W., to Michigan Avenue, N.W.; thence in a westerly direction along Michigan Avenue, N.W., to Park Place, N.W.; thence north along Park Place, N.W., to Irving Street, N.W.; thence northeast along Irving Street, N.W., to Kenyon Street, N.W.; thence west along Kenyon Street, N.W., to Park Place, N.W.; thence north along Park Place, N.W., to Rock Creek Church Road, N.W.; thence northeast along Rock Creek Church Road, N.W., to Harewood Road, N.W.; thence southeast along Harewood Road, N.W., to North Capitol Street; thence south along North Capitol Street to Irving Street, N.E.; thence east along Irving Street, N.E., to Michigan Avenue, N.E.; thence southwest along Michigan Avenue N.E., to North Capitol Street; thence south along North Capitol Street to Rhode Island Avenue, N.E.; thence northeast along Rhode Island Avenue, N.E., to Lincoln Road, N.E.; thence south along Lincoln Road, N.E., to R Street, N.E.; thence east along R Street, N.E., and continuing east along a line extending R Street, N.E., to the east to its intersection with the WMATA railroad tracks; thence southwest along the WMATA railroad tracks to New York Avenue, N.E.; thence southwest along New York Avenue, N.E., to New York Avenue, N.W., and continuing southwest along New York Avenue, N.W., to the point of beginning.

(i) There is established the Connecticut Avenue Retail Priority Area, which shall consist of the parcels, squares, and lots abutting Connecticut Avenue, N.W., beginning at the intersection of Connecticut Avenue , N.W., and Calvert Street, N.W., thence north on Connecticut Avenue, N.W., to its intersection with Western Avenue, N.W.

(j) There is established the Nannie Helen Burroughs Avenue Priority Area, which shall consist of the parcels, squares, and lots within or abutting the boundary of the following area: Beginning at the intersection of the center line of Nannie Helen Burroughs Avenue, N.E., and Minnesota Avenue, N.E.; thence northeast along Minnesota Avenue, N.E., to Sheriff Road, N.E.; thence east along Sheriff Road, N.E., to 44th Street, N.E.; thence south along 44th Street, N.E., to Jay Street, N.E.; thence east along Jay Street, N.E., to 46th Street, N.E.; thence south along 46th Street, N.E., to Hayes Street, N.E.; thence east along Hayes Street, N.E., to 54th Place, N.E.; thence northeast along 54th Place, N.E., to 55th Street, N.E.; thence northeast along 55th Street, N.E., to Jay Street, N.E.; thence southeast along Jay Street, N.E., to Nannie Helen Burroughs Avenue, N.E.; thence east along Nannie Helen Burroughs Avenue, N.E., to Eastern Avenue, N.E.; thence southeast along Eastern Avenue, N.E., to Foote Street, N.E.; thence west along Foote Street, N.E., to 55th Street, N.E.; thence south along 55th Street, N.E., to Eads Street, N.E.; thence west along Eads Street, N.E., to the Marvin Gaye Park Trail, and continuing east along the Marvin Gaye Park Trail, to the point of the beginning.

(k)(1) There is established the New York Avenue, N.E., Retail Priority Area, which shall consist of the parcels, squares, and lots within or abutting the boundary of the following area: Beginning at the intersection of New York Avenue, N.E., and Florida Avenue, N.E.; thence southeast on Florida Avenue, N.E., to West Virginia Avenue, N.E.; thence northeast on West Virginia Avenue, N.E. to Raum Street, N.E.; thence southeast on Raum Street, N.E. to Trinidad Avenue, N.E.; thence northeast on Trinidad Avenue, N.E. to Mount Olivet Road, N.E.; thence northwest on Mount Olivet Road, N.E. to West Virginia Avenue, N.E.; thence northeast on West Virginia Avenue, N.E. to 17th Street, N.E.; thence southeast on 17th Street, N.E.; thence continuing northeast on 17th Street, N.E. to Montana Avenue, N.E.; thence southeast on Montana Avenue, N.E. to S Street, N.E.; thence east on S Street, N.E. to 24th Street, N.E.; thence north on 24th Street, N.E. to T Street, N.E.; thence west on T Street, N.E. to Bladensburg Road, N.E.; thence northeast on Bladensburg Road, N.E. to New York Avenue, N.E.; thence east on New York Avenue, N.E.; thence continuing northeast on New York Avenue, N.E.; thence continuing southeast on New York Avenue, N.E. to Fort Lincoln Drive, N.E.; thence north on Fort Lincoln Drive, N.E.; thence continuing northwest on Fort Lincoln Drive, N.E.; thence continuing southwest on Fort Lincoln Drive, N.E. to 33rd Place, N.E.; thence continuing southwest on 33rd Place, N.E. to South Dakota Avenue, N.E.; thence northwest on South Dakota Avenue, N.E. to Channing Place, N.E.; thence west on Channing Place, N.E. to Bladensburg Road, N.E.; thence southwest on Bladensburg Road, N.E. to Queens Chapel Road, N.E.; thence northwest on Queens Chapel Road, N.E. to 22nd Street, N.E.; thence north on 22nd Street, N.E. to Channing Street, N.E.; thence east on Channing Street, N.E. to 24th Street, N.E.; thence north on 24th Street, N.E. to Douglas Street, N.E.; thence west on Douglas Street, N.E. to 22nd Street, N.E.; thence south on 22nd Street to Channing Street, N.E.; thence west on Channing Street, N.E. to 21st Place, N.E., thence south on 21st Place, N.E. to Bryant Street, N.E., thence west on Bryant Street, N.E. to Lawrence Street, N.E., then southwest on Lawrence Street, N.E. to Edwin Street, N.E., thence northwest on Edwin Street, N.E.; thence continuing southwest on Edwin Street, N.E. to Montana Avenue, N.E., thence continuing northwest on Montana Avenue, N.E. to W Street, N.E., thence southwest on W Street, N.E., thence west along a line extending W Street, N.E., west to the continuation of W Street, N.E., and continuing west along W Street, N.E., to Brentwood Road, N.E.; thence southwest along Brentwood Road, N.E., to its end at T Street, N.E.; thence southwest to the intersection of a line extending Fourth Street, N.E., south and a line extending R Street, N.E., east; thence west on R Street, N.E. to Eckington Place, N.E., thence southwest on Eckington Place, N.E., to Florida Avenue, N.E., thence southeast on Florida Avenue, N.E. and continuing southeast until the point of beginning.

(2) In addition to the area described in paragraph (1) of this subsection, the New York Avenue, N.E., Retail Priority Area shall consist of the area beginning at the intersection of New York Avenue, N.E. and Bladensburg Road, N.E., continuing east along New York Avenue, N.E., until Eastern Avenue, N.E., northwest along Eastern Avenue, N.E., until the intersection of Bladensburg Road, N.E., southwest along Bladensburg Road, N.E., to the intersection of New York Avenue, N.E., and Bladensburg Road, N.E.

(3) In addition to the areas described in paragraphs (1) and (2) of this subsection, the New York Avenue, N.E., Retail Priority Area shall consist of the area beginning at the intersection of Montello Avenue, N.E., and Florida Avenue, N.E., continuing northeast along Montello Avenue, N.E., until Mt. Olivet Road, N.E.

(l) Repealed.

(m) There is established the 14th and U Street, N.W./Adams Morgan/Mt. Pleasant Retail Priority Area, which shall consist of the parcels, squares, and lots within or abutting the boundary of the following area: Beginning at the intersection of T Street, N.W., and 11th Street, N.W.; thence west on T Street, N.W., to 19th Street, N.W.; thence north on 19th Street, N.W., to Columbia Road, N.W.; thence northeast on Columbia Road, N.W., to 18th Street, N.W.; thence northwest on Adams Mill Road, N.W., to Lanier Place, N.W.; thence northeast on Lanier Place, N.W. to Ontario Road, N.W.; thence northeast on Columbia Road, N.W., to Mount Pleasant Street, N.W.; thence northwest on Mount Pleasant Street, N.W., to Lamont Street, N.W.; thence west on Lamont Street N.W., to 17th Street N.W.; then north on 17th Street N.W., to Piney Branch Road N.W.; thence northeast on Piney Branch Road N.W., to 16th Street N.W.; thence south on 16th Street N.W., to Spring Road N.W.; thence east on Spring Road N.W., to 10th Street N.W.; then south on 10th Street N.W., to Monroe Street N.W.; thence southeast on Monroe Street N.W., to Sherman Avenue N.W.; thence south on Sherman Avenue N.W., to Barry Place N.W.; thence west on Barry Place N.W. to 11th Street N.W.; thence south on 11th Street N.W., to the point of beginning.

(n) There is established the Wisconsin Avenue Retail Priority Area", which shall consist of the parcels, squares, and lots abutting Wisconsin Avenue, N.W., beginning at the intersection of Wisconsin Avenue, N.W., and R Street, N.W., thence north on Wisconsin Avenue, N.W., to its intersection with Western Avenue, N.W.

(o) There is established the Ward 4 Georgia Avenue Retail Priority Area, which shall consist of the parcels, squares, and lots within or abutting the following area: beginning at the intersection of Euclid Street, N.W., and Georgia Avenue, N.W.; continuing north along Georgia Avenue, N.W., to Kenyon Street, N.W.; thence continuing west along Kenyon Street, N.W., to Sherman Avenue, N.W.; continuing north along Sherman Avenue, N.W., to New Hampshire Avenue, N.W.; thence continuing northeast along New Hampshire Avenue, N.W., to Spring Road, N.W.; thence continuing northwest along Spring Road, N.W., to 14th Street, N.W., thence continuing north along 14th Street, N.W., to Longfellow Street, N.W., thence continuing east along Longfellow Street, N.W., to Georgia Avenue, N.W., thence continuing north along Georgia Avenue, N.W., to Eastern Avenue, N.W., thence continuing southeast along Eastern Avenue, N.W., to Kansas Avenue, N.E.; thence continuing southwest along Kansas Avenue, N.E., to Blair Road, N.W., thence continuing south along Blair Road, N.W., to North Capitol Street, N.E., thence continuing south along North Capitol Street, N.E., to Kennedy Street, N.W., thence continuing west along Kennedy Street, N.W., to Kansas Avenue, N.W., thence continuing southwest along Kansas Avenue, N.W., to Varnum Street, N.W.; thence continuing east along Varnum Street, N.W., to 7th Street, N.W.; thence continuing south along the center line of 7th Street, N.W., until the point where 7th Street, N.W., becomes Warder Street, N.W.; thence continuing further south along Warder Street, N.W., to Kenyon Avenue, N.W.; thence continuing west along Kenyon Avenue, N.W., to Georgia Avenue, N.W.; and thence south on Georgia Avenue, N.W., to the beginning point.

(p) There is established the Martin Luther King Jr. Avenue/Good Hope Road/South Capitol Street Retail Priority Area, which shall consist of the parcels, squares, and lots within or abutting the boundary of the following areas:

(1) The area bounded by a line beginning at the intersection of the center line of Suitland Parkway, S.E., and Martin Luther King, Jr. Avenue, S.E.; continuing northwest along the center line of Suitland Parkway, S.E., to the center line of Interstate 295; continuing northeast along the center line of Interstate 295, to the center line of the entrance ramp from 13th Street, S.E., onto Interstate 295; continuing south along the center line of the entrance ramp from 13th Street, S.E., to the center line of Ridge Place, S.E.; continuing east along the center line of Ridge Place, S.E., to the center line of 16th Street, S.E.; continuing north along the center line of 16th Street, S.E., to the center line of R Street, S.E.; continuing east along the center line of R Street, S.E., to the center line of 18th Street, S.E.; continuing south along the center line of 18th Street, S.E., to the center line of Good Hope Road, S.E.; continuing west along the center line of Good Hope Road, S.E., to the center line of Fendall Street, S.E.; continuing south along the center line of Fendall Street, S.E., to the center line of V Street, S.E.; continuing west along the center line of V Street, S.E., to the center line of 16th Street, S.E.; continuing south along the center line of 16th Street, S.E., to the center line of W Street, S.E.; continuing west along the center line of W Street, S.E., to the center line of 14th Street, S.E.; continuing south along the center line of 14th Street, S.E., to the point where 14th Street, S.E., becomes High Street, S.E.; continuing southwest along the center line of High Street, S.E., to the center line of Maple View Place, S.E.; continuing further southwest along a straight line to the intersection of the center lines of High Street, S.E., and Morris Road, S.E.; continuing further southwest along the center line of High Street, S.E., to the center line of Howard Road, S.E.; continuing northwest along the center line of Howard Road, S.E., to the center line of Bowen Road, S.E.; continuing southwest along the center line of Bowen Road, S.E., to the center line of Sheridan Road, S.E.; continuing further southwest along a line extended from the center line of Bowen Road, S.E., to the center line of Suitland Parkway, S.E.; and continuing northwest along the center line of Suitland Parkway, S.E., to the beginning point;

(2) The area bounded by a line beginning at the intersection of the center line of 4th Street, S.E., and Savannah Street, S.E.; continuing north along the center line of 4th Street, S.E., to the center line of Martin Luther King, Jr. Avenue, S.E.; continuing southwest along the center line of Martin Luther King, Jr. Avenue, S.E., to the center line of Waclark Place, S.E.; continuing north along the center line of Waclark Place, S.E., to the center line of Parkland Place, S.E.; continuing due north to the center line of Malcolm X Avenue, S.E.; continuing east along the center line of Malcolm X Avenue, S.E., to the center line of Oakwood Street, S.E.; continuing northwest along the center line of Oakwood Street, S.E., to the center line of 5th Street, S.E.; continuing northeast along the center line of 5th Street, S.E., to the center line of Lebaum Street, S.E.; continuing further northeast along an extension of the center line of 5th Street, S.E., to the center line of Persimmon Street, S.E.; continuing northeast along the center line of Persimmon Street, S.E., to the center line of Redwood Drive, S.E.; continuing east along the center line of Redwood Drive, S.E., to the center line of Sycamore Drive, S.E.; continuing south along the center line of Sycamore Drive, S.E., to the end of Sycamore Drive, S.E.; continuing along a straight line to the intersection of the center lines of 8th Street, S.E., and Malcolm X Avenue, S.E.; continuing south along the center line of 8th Street, S.E., to the center line of Alabama Avenue, S.E.; continuing southwest along the center line of Alabama Avenue, S.E., to the center line of 6th Street, S.E.; continuing south along the center line of 6th Street, S.E., to the center line of Savannah Street, S.E.; and continuing west along the center line of Savannah Street, S.E., to the beginning point;

(3) The area bounded by a line beginning at the intersection of the center line of Martin Luther King, Jr. Avenue, S.W., and Danbury Street, S.W.; continuing north along the center line of Martin Luther King, Jr. Avenue, S.W., to the center line of Chesapeake Street, S.W.; continuing west along the center line of Chesapeake Street, S.W., to the center line of 2nd Street, S.W.; continuing northeast along the center line of Second Street, S.W., to the center line of Xenia Street, S.W.; continuing northeast along an extension of the center line of 2nd Street, S.W., to the center line of South Capitol Street; continuing southeast along the center line of South Capitol Street to the center line of Martin Luther King, Jr. Avenue; continuing northeast along the center line of Martin Luther King Avenue, S.E., to the center line of 1st Street, S.E.; continuing south along the center line of 1st Street, S.E., to the center line of Danbury Street, S.E.; continuing west along the center line of Danbury Street, S.E., to the center line of South Capitol Street; and continuing further west along the center line of Danbury Street, S.W., to the beginning point; and

(4) The parcels, squares, and lots abutting Good Hope Road, S.E., beginning at the intersection of Good Hope Road, S.E., and Anacostia Drive, S.E., thence southeast on Good Hope Road, S.E., to its intersection with Naylor Road, S.E.

(q) There is established the Minnesota/Benning Retail Priority Area, which shall consist of the parcels, squares, and lots within or abutting the boundary of the following areas: Beginning at the intersection of the center line of A Street, S.E., and 35th Street, S.E.; continuing north along the center line of 35th Street, S.E., to the center line of East Capitol Street; continuing northeast along the center line of 35th Street, N.E., to the center line of Blaine Street, N.E.; continuing northwest along a straight line to the intersection of the center lines of Clay Street, N.E., and 36th Street, N.E.; continuing north along the center line of 36th Street, N.E., to the center line of Dix Street, N.E.; continuing west along the center line of Dix Street, N.E., to the center line of Anacostia Avenue, N.E.; continuing north along the center line of Anacostia Avenue, N.E., to the end of this section of Anacostia Avenue, N.E.; continuing east in a straight line to the intersection of the center lines of Anacostia Avenue, N.E., and Foote Street, N.E.; continuing northeast along the center line of Anacostia Avenue, N.E., to the center line of Hayes Street, N.E.; continuing southeast along the center line of Hayes Street, N.E., to the center line of Kenilworth Terrace, N.E.; continuing northeast along the center line of Kenilworth Terrace, N.E., to the center line of Nannie Helen Burroughs Avenue, N.E.; continuing southeast along the center line of Nannie Helen Burroughs Avenue, N.E., to the center line of Minnesota Avenue, N.E.; continuing southwest along the center line of Minnesota Avenue, S.E., to the center line of Grant Street, N.E.; continuing east along the center line of Grant Street, N.E., to the center line of 42nd Street, N.E.; continuing south along the center line of 42nd Street, N.E., to the center line of Benning Road, N.E.; continuing northwest along the center line of Benning Road, N.E., to the center line of 41st Street, N.E.; continuing south along the center line of 41 Street, N.E., to the center line of Clay Place, N.E.; continuing west along the center line of Clay Place, N.E., to the center line of 40th Street, N.E.; continuing south along the center line of 40th Street, N.E., to the center line of East Capitol Street; continuing west along the center line of East Capitol Street to the center line of B Street, S.E.; continuing southwest along the center line of B Street, S.E., to the center line of Ridge Road, S.E.; continuing northwest along the center line of Ridge Road, S.E., to the center line of Minnesota Avenue, S.E.; continuing southwest along the center line of Minnesota Avenue, S.E., to the center line of A Street, S.E.; and continuing west along the center line of A Street, S.E., to the beginning point.

(r) There is established the Pennsylvania Avenue, S.E., Retail Priority Area, which shall consist of the parcels, squares, and lots within or abutting the boundary of the following areas:

(1) The area bounded by a line beginning at the intersection of the center line of Naylor Road, S.E., and Q Street, S.E.; continuing northwest along the center line of Naylor Road, S.E., to the center line of 22nd Street, S.E.; continuing north along the center line of 22nd Street, S.E., to the center line of Fairlawn Avenue, S.E.; continuing northeast along the center line of Fairlawn Avenue, S.E., to the center line of N Street, S.E.; continuing southeast along the center line of N Street, S.E., to the center line of Minnesota Avenue, S.E.; continuing northeast along the center line of Minnesota Avenue, S.E., to the center line of 28th Street, S.E.; continuing south along the center line of 28th Street, S.E., to the center line of Q Street, S.E.; and continuing west along the center line of Q Street, S.E., to the beginning point;

(2) The area bounded by a line beginning at the intersection of the center lines of 30th Street, S.E., and Park Drive, S.E.; continuing north along a straight line to the intersection of the center lines of 30th Street, S.E., and S Street, S.E.; continuing north along the center line of 30th Street, S.E., to the center line of O Street, S.E.; continuing southeast along the center line of O Street, S.E., to the center line of Carpenter Street, S.E.; continuing northeast along the center line of Carpenter Street, S.E., to the center line of 33rd Place, S.E.; continuing southeast along the center line of 33rd Place, S.E., to the center line of Pennsylvania Avenue, S.E.; continuing northwest along the center line of Pennsylvania Avenue, S.E., to the center line of 33rd Street, S.E.; continuing south and west along the center line of 33rd Street, S.E., to the center line of Branch Avenue, S.E.; continuing south along the center line of Branch Avenue, S.E., to the center line of Park Drive, S.E.; and continuing west along the center line of Park Drive, S.E., to the beginning point; and

(3) The area bounded by a line beginning at the intersection of the center lines of 37th Street, S.E., and Suitland Road, S.E.; continuing north along the center line of 37th Street, S.E., to the center line of Alabama Avenue, S.E.; continuing northeast along the center line of Alabama Avenue, S.E., to the center line of Q Street, S.E.; continuing southeast along the center line of Q Street, S.E., to the center line of Fort Dupont Street, S.E.; continuing south along the center line of Fort Dupont Street, S.E., to the center line of Southern Avenue, S.E.; continuing southwest along the center line of Southern Avenue, S.E., to the center line of Suitland Road, S.E.; and continuing northwest along the center line of Suitland Road, S.E., to the beginning point.

(s) There is established the 7th Street/Georgia Avenue Retail Priority Area, which shall consist of the parcels, squares, and lots within or abutting the boundary of the following areas: Beginning at the intersection of the center line of Massachusetts Avenue, N.W., and 11th Street, N.W.; continuing north along the center line of 11th Street, N.W., to the center line of Florida Avenue, N.W.; continuing southeast along the center line of Florida Avenue, N.W., to the center line of Barry Place, N.W.; continuing northeast along the center line of Barry Place, N.W., to the center line of Georgia Avenue, N.W.; continuing north along the center line of Georgia Avenue, N.W., to the center line of Howard Place, N.W.; continuing east along the center line of Howard Place, N.W., to the center line of 6th Street, N.W.; continuing south along the center line of 6th Street, N.W., to the center line of W Street, N.W.; continuing east along the center line of W Street, N.W., to the center line of 5th Street, N.W.; continuing south along the center line of 5th Street, N.W., to the center line of Rhode Island Avenue, N.W.; continuing northwest along the center line of Rhode Island Avenue, N.W., to the center line of 6th Street, N.W.; continuing south along the center line of 6th Street, N.W., to the center line of New York Avenue, N.W.; continuing southwest along the center line of New York Avenue, N.W., to the center line of Mount Vernon Place, N.W.; continuing west along the center line of Mount Vernon Place, N.W., to the center line of Massachusetts Avenue, N.W.; and continuing northwest along the center line Massachusetts Avenue, N.W., to the beginning point.

§ 2–1217.73a. Downtown retail priority area-demonstration project.

In the case of the Downtown Retail Priority Area, Retail Development Projects shall include, on a demonstration project basis, one or more restaurants; provided, that the total amount of Bonds available for such demonstration projects shall not be greater than 3% of the aggregate principal amount of Bonds authorized pursuant to § 2-1217.72(a). Notwithstanding the defined boundaries of the Downtown Retail Priority Area, the Mayor shall use best efforts to ensure that at least one demonstration project is located in Ward 7 or 8. Not later than 3 years from the issuance of Bonds for demonstration projects, the CFO shall report to the Mayor and the Council regarding the economic effects on the District of such projects.

§ 2–1217.73b. Retail Priority Area corridor revitalization programs.

(a) Notwithstanding any tax increment financing that may be available, all funds allocated for Great Streets within the budgets of the Deputy Mayor for Planning and Economic Development and the District Department of Transportation shall be used to support the following corridor revitalization programs in designated Retail Priority Areas:

(1) Small business retention and attraction programs;

(2) Neighborhood branding and marketing;

(3) Blighted and vacant property mitigation;

(4) Redevelopment of private property through financial incentives, technical assistance, temporary urbanism initiatives, and property acquisition and disposition, among other mechanisms identified by the Mayor;

(5) Streetscape and roadway infrastructure improvements to enhance walkability, pedestrian safety, lighting, and transportation; and

(6) Beautification and greening of the public realm, including public art, landscaping, storm water retention, and litter control.

(b)(1) With respect to the small business retention and attraction program referenced in subsection (a)(1) of this section, the Mayor shall publish, no later than 30 days after October 1, 2013, and no less than annually after that date, a notice of funding availability to make grants or loans in certain Retail Priority Areas selected by the Mayor. All awards issued with Great Streets funds shall be made on a competitive basis, and the Mayor shall publish online the application criteria and evaluation rubric for Great Streets grants and loans.

(2) Eligible retailers and service providers shall include:

(A) Retail businesses engaged in the sale of home furnishings, apparel, books, art, groceries, and general merchandise goods to specialized customers;

(A-i) Manufacturers, distributors, incubators, and accelerators; provided, that each includes an on-site retail component that sells general or merchandise goods;

(B) Businesses providing goods or services geared toward the enrichment of children, families, and adults; and

(C) Sit-down restaurants, bakeries, coffee shops, and other specialty food retailers.

(3) To be eligible for small business retention and attraction grants or loans referenced in subsection (a)(1) of this section, a project shall:

(A) Be within a designated Retail Priority Area;

(B) Maintain site control of the property either through fee simple ownership of the site or through an executed contract or lease with the property owner;

(C) Execute an employment agreement with the Department of Employment Services pursuant to § 2-219.03 and Mayor's Order 83-265, dated November 9, 1983 (30 DCR 5990); and

(D) Adhere to all design, construction, and rehabilitation requirements defined by the Mayor, or his or her designee.

(4)(A) A grant made available under this section shall be divided and disbursed in allotments to a grantee.

(B)(i) The Mayor shall request, and a grantee shall furnish, a receipt or receipts for the purpose of confirming that a grantee's expenditure of grant funds was allowable.

(ii) Notwithstanding sub-subparagraph (i) of this subparagraph, unless the grantee fails to provide a receipt or receipts, the grantee's response shall not delay disbursement of the grantee's next allotment, except for the final allotment. Funds shall be made available to the grantee as quickly as possible.

(iii) Nothing in this subparagraph shall be construed to authorize the expenditure of grant funds inconsistent with their purpose.

§ 2–1217.74. Rules of operation.

(a) Upon approval by resolution pursuant to § 2-1217.73(a) with respect to any Retail Priority Area, or upon September 8, 2004, in the case of the Downtown Retail Priority Area, the Mayor shall establish Rules of Operation with respect to each Retail Priority Area as the Mayor considers necessary or appropriate for:

(1) The approval and certification by the Mayor of Retail Development Projects within the Retail Priority Area as TIF Areas;

(2) The issuance of Bonds secured by the Tax Increment Revenues or any other security authorized by this subchapter which is generated by or relates to the Retail Development Projects;

(3) The allocation of the proceeds of the Bonds to fund Retail Development Costs of the Retail Development Projects; and

(4) Such other matters as the Mayor considers necessary or appropriate to achieve the goals and objectives for the Retail Priority Area.

(b) The Rules of Operation for the Downtown Retail Priority Area shall include the following:

(1) A rating system designed to rank Retail Development Projects based on the following objective criteria:

(A) The likelihood of Bond repayment based on projected Tax Increment Revenues or any other security authorized by this subchapter from or relating to the Retail Development Project;

(B) The uniqueness of the retailer or unique entertainment attraction;

(C) The likelihood that the retailer or unique entertainment attraction will attract other retailers to locate nearby;

(D) The position of the retailer or unique entertainment attraction in its market and whether the retailer or unique entertainment attraction is the first in its market to locate in the Downtown Retail Priority Area;

(E) The extent to which the retailer or unique entertainment attraction promotes the Downtown Retail Priority Area in its advertising;

(F) The vertical integration of the retailer or unique entertainment attraction;

(G) The intention of the retailer or unique entertainment attraction to locate on more than one level of the building in which it is located;

(H) Whether the retailer or unique entertainment attraction builds an expressive storefront;

(I) Whether the retailer or unique entertainment attraction is owned by a District resident or is based in the District;

(J) The amount of space occupied by the retailer or unique entertainment attraction; and

(K) Whether the retailer or unique entertainment attraction is one of multiple retailers or unique entertainment attractions that co-locate in the Downtown Retail Priority Area;

(2) A numeric formula based upon the foregoing rating system that, for any proposed Retail Development Project, will produce a dollar amount of proceeds of Bonds that shall be allocated to the Retail Development Project if it is approved as a TIF Area;

(3) The establishment of a committee comprised of the Mayor, retail brokers and property owners in the Downtown Retail Priority Area, and such other persons as the Mayor shall designate, which committee shall:

(A) Apply the rating system to proposed Retail Development Projects and review and revise the rating system from time to time as necessary to respond to market conditions;

(B) Adjust the formula for the allocation of Bond proceeds as may be necessary or appropriate to maximize the use of Bond proceeds to achieve the purposes of this subchapter;

(C) Recommend Retail Development Projects for designation as TIF Areas to the Mayor; and

(D) Take such other actions as the Mayor may consider necessary or appropriate to facilitate the selection and funding of TIF Areas in the Downtown Retail Priority Area;

(4)(A) A procedure pursuant to which the Mayor shall certify:

(i) The rating of Retail Development Project, based upon the rating system;

(ii) The amount of Bond proceeds that, based upon the allocation formula, may be allocated to Retail Development Projects; and

(iii) Retail Development Projects as TIF Areas; and

(B) The procedure shall permit the Mayor to suspend and re-institute from time to time the designation of TIF Areas pursuant to this subchapter in response to market conditions;

(5) A requirement that the owner of any building or tenant applying for the TIF in which a TIF Area is located enter into a development agreement, satisfactory to the Mayor, that sets forth:

(A) The goals and objectives for achieving the revitalization of retail development in the Downtown Retail Priority Area;

(B) Requirements for the leasing of retail space in the building in a manner that will advance the goals and objectives;

(C) The terms and conditions pursuant to which Bond proceeds will be advanced to pay Retail Development Costs incurred in connection with the TIF Area;

(D) The owner’s agreement or tenant’s agreement to sign an LSDBE certified business enterprise agreement that establishes a goal of hiring LSDBEs to perform construction or operations work, the costs of which equals 35% of the Bond proceeds.

(E) The owner’s agreement or tenant’s agreement to require the retailer of the Retail Development Project to execute a first source agreement with the Department of Employment Services that establishes a goal of hiring District residents for at least 51% of the new jobs created by the Retail Development Project;

(F) Such matters as may be required in connection with the issuance of the Bonds; and

(G) Such other matters as the Mayor determines to be necessary or appropriate in connection with such TIF Area;

(6) Requirements that the proceeds of the Bonds issued with respect to any TIF Area shall not be advanced to pay Retail Development Costs until the TIF Area is open for business to the general public; and

(7) Procedures and timetables for the approval of Retail Development Projects as TIF Areas that are designed to facilitate, and not impede, negotiations between building owners and retailers in the Downtown Retail Priority Area.

(c) The Rules of Operation shall be uniformly applied within any given Retail Priority Area, but may vary across different Retail Priority Areas to address the specific needs of each Retail Priority Area.

§ 2–1217.75. Use of Bond proceeds; funding agreement.

(a) When a Retail Development Project is certified as a TIF Area by the Mayor pursuant to this subchapter, the proceeds of Bonds issued with respect to the TIF Area shall be used to pay Retail Development Costs and shall be subject to such terms, conditions, and requirements as the Mayor determines to be in the best interests of the District and will further the purposes of this subchapter. The terms, conditions and requirements shall be included in an agreement entered into between the District and the recipient of the proceeds prior to the advance of the proceeds; provided, that, in the Downtown Retail Priority Area, Tax Increment Revenues or any other security authorized by this subchapter shall be used for the payment of debt service on Bonds issued to Bondholders arranged by the recipient of the proceeds of the Bonds prior to the issuance of the Bonds and the proceeds of the Bonds shall be available to the recipient only after the issuance of a certificate of occupancy for the Retail Development Project. In the case of Bonds issued with respect to the Downtown Retail Priority Area, the recipient of the proceeds of the Bonds shall guarantee the Bonds.

(b) In the case of the Downtown Retail Priority Area, Tax Increment Revenues and the proceeds of Bonds may also be used to pay costs and expenses:

(1) Incurred in connection with the start-up and administration of a TIF program in the Downtown Retail Priority Area (including feasibility studies, market studies, and legal costs), and marketing the TIF program and the Downtown Retail Priority Area to prospective retailers; provided, that the amount expended pursuant to this paragraph shall not exceed $1 million in the aggregate; and

(2) Of establishing, maintaining, and operating a program to support parking for customers of retail businesses in the Downtown Retail Priority Area and providing streetscape and facade improvements in the Downtown Retail Priority Area; provided, that the amount expended pursuant to this paragraph shall not exceed $5 million in the aggregate.

§ 2–1217.76. Allocation of Tax Increment Revenues.

(a) Within 60 days after the certification of a TIF Area by the Mayor, the CFO shall provide for the allocation of Tax Increment Revenues within each TIF Area. The CFO shall establish one or more separate tax increment allocation accounts within the General Fund of the District of Columbia for the deposit and application of Available Sales Tax Revenues and Available Real Property Tax Revenues from each TIF Area. Monies shall be transferred from such accounts at the times and in the amounts required pursuant to financing documents relating to any Bonds. Monies held or to be held in a tax allocation account may be used to (1) pay debt service on Bonds, (2) pay other costs due and payable under the applicable financing documents, and (3) to pay any other costs or expenses permitted by this subchapter. Monies in a tax allocation account or in any fund or account established under any financing documents may be pledged as security for the payment of debt service on Bonds.

(b) Notwithstanding any other law, after a TIF Area has been certified by the Mayor, the portion of Tax Increment Revenues that results from the real property and sales tax levied within the TIF Area each year beginning from the date of the certification of the TIF Area shall be paid to the CFO for deposit into one or more of the tax increment accounts established by the CFO pursuant to subsection (a) of this section.

(c) If Bonds have been issued and are outstanding, the amounts, if any, remaining in the tax increment accounts for a TIF Area at the end of each tax year, after provision for the payment of debt service on any Bonds, any costs of credit or liquidity enhancement, other costs, fees, and expenses of administering, carrying, and paying the Bonds and the funds, trusts, and escrows pertaining to them, and providing for reasonably required reserves, all as provided in the financing documents, and after payment of any other costs or expenses permitted by this subchapter, shall revert to the General Fund of the District of Columbia.

§ 2–1217.77. Issuance of Bonds.

The issuance of Bonds, including any refunding Bonds, is authorized pursuant to § 1-204.90 to finance Retail Development Costs of TIF Areas certified by the Mayor pursuant to this subchapter. This subchapter constitutes an act of Council authorizing the issuance of Bonds, including refunding Bonds, as required by § 1-204.90. The Bonds shall be secured by Tax Increment Revenues in amounts not to exceed the limits provided for in this subchapter or other security authorized by this subchapter. The issuance of Bonds, including any refunding Bonds in specified aggregate principal amounts, shall be approved by the Mayor in accordance with this subchapter.

§ 2–1217.78. Details of Bonds.

(a) The Mayor may take any action necessary or appropriate in accordance with this subchapter in connection with the preparation, execution, issuance, sale, delivery, and payment of Bonds, including determinations of:

(1) The final form, content, designation, and terms of the Bonds, including a determination that the Bonds may be issued in certificate or book entry form;

(2) The principal amount of the Bonds to be issued and denominations of the Bonds;

(3) The rate or rates of interest or the method for determining the rate or rates of interest on the Bonds;

(4) The date or dates of issuance, sale, and delivery of, and the payment of interest on the Bonds, and the maturity date or dates of the Bonds;

(5) The terms under which the Bonds may be paid, optionally or mandatorily redeemed, accelerated, tendered, called, or put for redemption, repurchase, or remarketing before their respective stated maturities;

(6) Provisions for the registration, transfer, and exchange of each series of Bonds and the replacement of mutilated, lost, stolen, or destroyed Bonds;

(7) The creation of any reserve fund, sinking fund, or other fund with respect to the Bonds;

(8) The time and place of payment of the Bonds;

(9) Procedures for monitoring the use of the proceeds received from the sale of the Bonds to ensure that they are properly applied to their respective eligible project and used to accomplish the purposes of this subchapter; and

(10) Actions necessary to qualify the Bonds under blue sky laws of any jurisdiction where the Bonds are marketed.

(b) The Bonds shall contain a legend, which shall provide that the Bonds shall be special obligations of the District, shall be nonrecourse to the District, shall not be a pledge of, and shall not involve, the faith and credit or the taxing power of the District (other than the Tax Increment Revenues or any other security authorized by this subchapter), shall not constitute a debt of the District, and shall not constitute lending of the public credit for private undertakings as prohibited in § 1-206.02(a)(2).

(c) The Bonds shall be executed in the name of the District and on its behalf by the manual or facsimile signature of the Mayor. The Mayor’s execution and delivery of the Bonds shall constitute conclusive evidence of the Mayor’s approval, on behalf of the District, of the final form and content of the same.

(d) The official seal of the District, or facsimile of it, shall be impressed, printed, or otherwise reproduced on the Bonds.

(e) The Bonds may be issued at any time or from time to time in one or more issues and in one of more series.

§ 2–1217.79. Security for Bonds.

(a) A series of Bonds may be secured by a trust agreement or trust indenture between the District and a corporate trustee having trust powers, or secured by a loan agreement or other instrument giving power to a corporate trustee by means of which the District may do the following:

(1) Make and enter into any and all covenants and agreements with the trustee or the holders of the Bonds that the District may determine to be necessary or desirable covenants and agreements as to:

(A) The application, investment, deposit, use, and disposition of the proceeds of Bonds and the other monies, securities, and property of the District;

(B) The assignment by the District of its rights in any agreement;

(C) Terms and conditions upon which additional Bonds of the District may be issued;

(D) Providing for the appointment of a trustee to act on behalf of bondholders and abrogating or limiting the rights of the bondholders to appoint a trustee; and

(E) Vesting in a trustee for the benefit of the holders of Bonds, or in the bondholders directly, such rights and remedies as the District shall determine to be necessary or desirable;

(2) Pledge, mortgage or assign monies, agreements, property or other assets of the District, either presently in hand or to be received in the future, or both;

(3) Provide for bond insurance and letters of credit, or otherwise enhance the credit of and security for the payment of the Bonds; and

(4) Provide for any other matters of like or different character that in any way affect the security for or payment of the Bonds.

(b) Bonds are declared to be issued for essential public and governmental purposes. The Bonds and the interest thereon and the income therefrom, and all monies pledged or available to pay or secure the payment of the Bonds, shall at all times be exempt from taxation by the District, except for estate, inheritance, and gift taxes.

(c) The District does hereby pledge to and covenant and agree with the holders of any Bonds that, subject to the provisions of the financing documents, the District will not limit or alter the revenues pledged to secure the Bonds or the basis on which such revenues are collected or allocated, will not impair the contractual obligations of the District to fulfill the terms of any agreement made with the holders of the Bonds, will not in any way impair the rights or remedies of the holders, and will not modify in any way the exemptions from taxation provided for in this subchapter, until the Bonds, together with interest thereon, with interest on any unpaid installment of interest and all costs and expenses in connection with any suit, action or proceeding by or on behalf of the holders, are fully met and discharged. This pledge and agreement of the District may be included as part of the contract with the holders of any of its Bonds. This subsection shall constitute a contract between the District and the holders of the Bonds authorized by this subchapter. To the extent that any acts or resolutions of the Council may be in conflict with this subchapter, this subchapter shall be controlling.

(d) Consistent with § 1-204.90(a)(4)(B) and, notwithstanding Article 9 of Title 28:

(1) A pledge made and security interest created in respect of any Bonds or pursuant to any related financing document shall be valid, binding, and perfected from the time the security interest is created, with or without physical delivery of any funds or any property and with or without any further action;

(2) The lien of the pledge shall be valid, binding, and perfected as against all parties having any claim of any kind in tort, contract, or otherwise against the District, whether or not such party has notice; and

(3) The security interest shall be valid, binding, and perfected whether or not any statement, document, or instrument relating to the security interest is recorded or filed.

§ 2–1217.80. Default.

If there shall be a default in the payment of the principal of, or interest on, any Bonds of a series after the principal or interest shall become due and payable, whether at maturity or upon call for redemption, or if the District shall fail or refuse to carry out and perform the terms of any agreement with the holders of any of the Bonds, the holders of the Bonds, or the trustee appointed to act on behalf of the holders of the Bonds, may, subject to the provisions of the financing documents, do the following:

(1) By action, writ, or other proceeding, enforce all rights of the holders of the Bonds, including the right to require the District to carry out and perform the terms of any agreement with the holders of the Bonds or its duties under this subchapter;

(2) By action, require the District to account as if it were the trustee of an express trust;

(3) By action, petition to enjoin any acts or things that may be unlawful or in violation of the rights of the holders of the Bonds; and

(4) Declare all the Bonds due and payable, whether or not in advance of maturity and, if all the defaults be made good, annul the declaration and its consequences.

§ 2–1217.81. Liability.

(a) The members of the Council, the Mayor, or any person executing Bonds shall not be liable personally on the Bonds by reason of the issuance thereof.

(b) Notwithstanding any other provision of this subchapter, the Bonds shall not be general obligations of the District and shall not be in any way a debt or liability of the District within the meaning of any debt or other limit prescribed by law. The full faith and credit or the general taxing power of the District (other than the Tax Increment Revenues or other security authorized under this subchapter) shall not be pledged to secure the payment of any Bonds.

§ 2–1217.82. Prior legislation.

This subchapter shall not adversely affect any actions taken, agreements entered into, pledge of security made or Bonds issued prior to September 8, 2004.

§ 2–1217.83. Promulgation of rules and regulations.

The Mayor shall promulgate rules and regulations setting forth the criteria and procedures necessary to implement the provisions of this subchapter.

§ 2–1217.84. Construction.

This subchapter shall be liberally construed to effect the purposes stated herein.

Subchapter IX-B. Qualified Zone Academy Revenue Bond Projects.

§ 2–1217.101. Short title.

This subchapter may be cited as the “Qualified Zone Academy Revenue Bond Project Forward Commitment Approval Act of 2005”.

§ 2–1217.102. Definitions.

For the purpose of this subchapter, the term:

(1) “Authorized Delegate” means the Mayor, the Chief Financial Officer, or the Deputy Mayor for Planning and Economic Development, or any officer or employee of the Executive Office of the Mayor to whom the Mayor has delegated, or to whom the foregoing individuals have subdelegated, any of the Mayor’s functions under this subchapter pursuant to § 1-204.22(6).

(2) “Available Real Property Tax Revenues” means the revenues resulting from the imposition of the tax under Chapter 8 of Title 47, including any penalties and interest charges thereon, exclusive of revenues that are or will be pledged pursuant to §§ 1-204.81 and 1-204.90, and payments in lieu of such taxes.

(3) “Bond Counsel” means a firm or firms of attorneys designated as District bond counsel from time to time by the Mayor.

(4) “Bonds” means the District of Columbia revenue bonds, notes, or other obligations (including refunding bonds, notes, and other obligations), in one or more series, authorized to be issued pursuant to this subchapter.

(5) “Chief Financial Officer” means the Chief Financial Officer of the District of Columbia.

(6) “Closing Documents” means all documents and agreements other than Financing Documents that may be necessary and appropriate to issue, sell, and deliver the bonds, and includes agreements, certificates, letters, opinions, forms, receipts, and other similar instruments.

(7) “Eligible project” means the projects in the area of elementary, secondary, or college and university facilities undertaken at a Qualifying School which are subject to financing pursuant to § 1-204.90 as a qualified zone academy bond within the meaning of section 1397E(d)(1) of the Internal Revenue Code of 1986, approved August 5, 1997 (111 Stat. 821; 26 U.S.C. § 1397E(d)(1)).

(8) “Financing Documents” means the documents other than Closing Documents that relate to the financing, refinancing or reimbursement of the costs of eligible projects to be effected through the issuance, sale, and delivery of the bonds, including any offering document, and any required supplements to any such documents.

(9) “Home Rule Act” means Chapter 2 of Title 1 [§ 1-201.01 et seq.].

(10) “Issuance Costs” means all fees, costs, charges, and expenses paid or incurred in connection with the authorization, preparation, printing, issuance, sale, and delivery of the bonds, including, but not limited to, underwriting, legal, accounting, rating agency, and all other fees, costs, charges, and expenses incurred in connection with the development and implementation of the Financing Documents, the Closing Documents, and those other documents necessary or appropriate in connection with the authorization, preparation, printing, issuance, sale, marketing, and delivery of the bonds, together with financing fees, costs, and expenses, including program fees and administrative fees charged by the District, fees paid to financial institutions and insurance companies, initial letter of credit fees, compensation to financial advisors and other persons (other than full-time employees of the District) and entities performing services on behalf of or as agents for the District.

(11) “QZAB Collection Agent” means any bank, trust company, or national banking association with requisite trust powers and with an office in the District designated to serve in this capacity by the Mayor.

(12) “QZAB Collection Agreement” means the collection agreement between the District and the QZAB Collection Agent authorized in § 2-1217.106.

(13) “QZAB Pledged Account” means one or more accounts created and maintained by the QZAB Collection Agent for the benefit of the owners of a series of the bonds and funded by the deposit of some portion of Available Real Property Tax Revenues and other funds in amounts as determined by the Mayor in the QZAB Collection Agreement.

(14) “Qualifying School” means any public school or public charter school the Council approves, by resolution, for financing, refinancing or reimbursement of the costs of its eligible project pursuant to the provisions of § 1-204.90 and this subchapter.

§ 2–1217.103. Bond authorization.

(a) Pursuant to § 1-204.90, the Council authorizes the issuance of bonds.

(b) One or more series of bonds in multiple separate series may be issued for the purpose of assisting in financing, refinancing, and reimbursing the costs of eligible projects. Refunding bonds may be issued to refund bonds. The aggregate principal amount of bonds, other than refunding bonds, shall not exceed the amount authorized under section 1397E of Internal Revenue Code of 1986, approved August 5, 1997 (111 Stat. 821; 26 U.S.C. § 1397E).

(c) The Mayor is authorized to take any action necessary or appropriate in accordance with this subchapter in connection with the preparation, execution, issuance, sale, delivery, security for, and payment of the bonds pursuant to § 1-204.90, including:

(1) Approving the issuance, sale, and delivery of the bonds;

(2) Making loans, grants or allocating funds, purchasing any mortgage, note, or other security, or purchasing, leasing, or selling of any property for the purpose of financing, refinancing, or reimbursing the costs of an eligible project;

(3) Entering into any agreement concerning the acquisition, use, or disposition of any available revenues, assets, or property;

(4) Entering into such Financing Documents as may be necessary or appropriate for the issuance, security, and administration of the bonds, the investment of proceeds and moneys in the accounts provided for in, or pursuant to this subchapter, the application of the proceeds of the bonds and the moneys and investments in such accounts, and for the purposes provided in this subchapter, including Financing Documents with Qualifying Schools;

(5) Setting forth the requirements for an eligible project to comply with the applicable eligibility requirements pursuant to this subchapter in an agreement between the District and the District of Columbia Board of Education with respect to public schools or each Qualifying School with respect to public charter schools;

(6) Establishing any fund with respect to the bonds as required by the Financing Documents; and

(7) Refunding the bonds through the issuance of refunding bonds.

§ 2–1217.104. Bond details.

(a) The Mayor is authorized to take any action reasonably necessary or appropriate in accordance with this subchapter in connection with the preparation, execution, issuance, sale, delivery, security for, and payment of the bonds of each series, including, but not limited to, determinations of:

(1) The final form, content, designation, and terms of the bonds, including a determination that the bonds may be issued in certificated or book-entry form;

(2) The principal amount of the bonds to be issued and denominations of the bonds;

(3) The date or dates of issuance, sale, and delivery of the bonds, and the maturity date or dates of the bonds;

(4) The terms under which the bonds may be paid, optionally or mandatorily redeemed, accelerated, tendered, called, or put for redemption, repurchase, or remarketing before their respective stated maturities;

(5) Provisions for the registration, transfer, and exchange of the bonds and the replacement of mutilated, lost, stolen, or destroyed bonds;

(6) The creation of any reserve fund, sinking fund, or other fund with respect to the bonds;

(7) The time and place of payment of the bonds;

(8) Procedures for monitoring the use of the proceeds received from the sale of the bonds to ensure that the proceeds are properly applied to one or more Qualifying Schools and used to accomplish the purposes of this subchapter;

(9) Actions necessary to qualify the bonds under blue sky laws of any jurisdiction where the bonds are marketed; and

(10) The terms and types of credit enhancement under which the bonds may be secured.

(b) The bonds shall contain a legend, which shall provide that the bonds are special obligations of the District, are without recourse to the District, are not a pledge of, and do not involve the faith and credit or the taxing power of the District, do not constitute a debt of the District, and do not constitute lending of the public credit for private undertakings as prohibited in § 1-206.02(a)(2).

(c) The bonds shall be executed in the name of the District and on its behalf by the manual or facsimile signature of the Mayor, and attested by the Secretary of the District of Columbia by the Secretary’s manual or facsimile signature. The Mayor’s execution and delivery of the bonds shall constitute conclusive evidence of the Mayor’s approval, on behalf of the District, of the final form and content of the bonds.

(d) The official seal of the District, or a facsimile of it, shall be impressed, printed, or otherwise reproduced on the bonds.

(e) The bonds of any series may be issued in accordance with the terms of a trust instrument to be entered into by the District and a trustee and may be subject to the terms of one or more agreements entered into by the Mayor pursuant to § 1-204.90(a)(4).

(f) The bonds may be issued at any time or from time to time in one or more issues and in one or more series.

§ 2–1217.105. Sale of the bonds.

(a) The bonds of any series may be sold at negotiated or competitive sale at, above, or below par, to one or more persons or entities, and upon terms that the Mayor considers to be in the best interests of the District.

(b) The Mayor or an Authorized Delegate may execute, in connection with each sale of the bonds, offering documents on behalf of the District, may deem final any such offering document on behalf of the District for purposes of compliance with federal laws and regulations governing such matters and may authorize the distribution of the documents in connection with the sale of the bonds.

(c) The Mayor is authorized to deliver the executed and sealed bonds, on behalf of the District, for authentication, and, after the bonds have been authenticated, to deliver the bonds to the original purchasers of the bonds upon payment of the purchase price.

(d) The bonds shall not be issued until the Mayor receives an approving opinion from Bond Counsel as to the validity of the bonds and the eligibility of the bonds to be qualified zone academy bonds within the meaning of section 1397E(d)(1) of the Internal Revenue Code of 1986, approved August 5, 1997 (111 Stat. 821; 26 U.S.C. § 1397E(d)(1)).

(e) Unit A of Chapter 3 of this title and subchapter III-A of Chapter 3 of Title 47 [§ 47-351.01 et seq.], shall not apply to whatever contract the Mayor may from time to time enter, or the Mayor may determine to be necessary or appropriate, for purposes of this subchapter.

§ 2–1217.106. Payment and security.

(a) The District is hereby authorized to pledge the funds on deposit in the QZAB Pledged Account as security for the payment of principal of, and premium, if any, on the bonds.

(b) The bonds shall be payable solely from the funds on deposit in the QZAB Pledged Account and income realized from the temporary investment thereof, and other moneys as provided in the Financing Documents.

(c) The funds for the payment of the bonds shall be deposited with the QZAB Collection Agent pursuant to the QZAB Collection Agreement and used only in accordance with the terms of the agreement.

(d) The Mayor may, without regard to any act or resolution of the Council now existing, designate a QZAB Collection Agent under the QZAB Collection Agreement. The Mayor may execute and deliver the QZAB Collection Agreement, on behalf of the District and in the Mayor’s official capacity, containing the terms that the Mayor considers necessary or appropriate to carry out the purposes of this subchapter.

(e) Payment of the bonds shall be secured as provided in the Financing Documents and by an assignment by the District for the benefit of the bond owners of certain of its rights under the Financing Documents and Closing Documents, including a security interest in certain collateral, if any, to the trustee for the bonds pursuant to the Financing Documents.

(f) The trustee is authorized to deposit, invest, and disburse the proceeds received from the sale of the bonds pursuant to the Financing Documents.

§ 2–1217.107. Financing and Closing Documents.

(a) The Mayor is authorized to prescribe the final form and content of all Financing Documents and all Closing Documents to which the District is a party that may be necessary or appropriate to issue, sell, and deliver the bonds. Each of the Financing Documents and each of the Closing Documents to which the District is not a party shall be approved, as to form and content, by the Mayor.

(b) The Mayor is authorized to execute, in the name of the District and on its behalf, the Financing Documents and any Closing Documents to which the District is a party by the Mayor’s manual or facsimile signature.

(c) If required, the official seal of the District, or a facsimile of it, shall be impressed, printed, or otherwise reproduced on the Financing Documents and the Closing Documents to which the District is a party.

(d) The Mayor’s execution and delivery of the Financing Documents and the Closing Documents to which the District is a party shall constitute conclusive evidence of the Mayor’s approval, on behalf of the District, of the final form and content of the executed Financing Documents and the executed Closing Documents.

(e) The Mayor is authorized to deliver the executed and sealed Financing Documents and Closing Documents, on behalf of the District, prior to or simultaneously with the issuance, sale, and delivery of the bonds, and to ensure the due performance of the obligations of the District contained in the executed, sealed, and delivered Financing Documents and Closing Documents.

§ 2–1217.108. Determination of eligible projects.

(a) The Mayor is authorized to establish the process and criteria for the determination of which public schools or public charter schools will be presented to the Council for approval as a Qualifying School.

(b) If the Mayor determines to present a public school or public charter school for Council approval as a Qualifying School, the Mayor shall enter into negotiations with the District of Columbia Board of Education with respect to public schools or with the respective public charter school with respect to public charter schools to determine the amount of bond proceeds and Available Real Property Tax Revenues to be allocated and the terms and conditions of the agreement between the District and the District of Columbia Board of Education or the Qualifying School.

(c) The Mayor shall transmit to the Council a proposed resolution approving the issuance of a series of bonds and identifying the Qualifying Schools, the amount of the project or projects eligible to be financed with the bond proceeds, and the amount of Available Real Property Tax Revenues to be allocated to the bonds.

§ 2–1217.109. Allocation of Available Real Property Tax Revenues.

Within 60 days after the approval of a resolution specified in § 2-1217.108(c), the Chief Financial Officer shall provide for the allocation of Available Real Property Tax Revenues for the series of the bonds. The Chief Financial Officer shall transfer collected Available Real Property Tax Revenues to the appropriate QZAB Pledged Account in the amounts and at the times specified in the QZAB Collection Agreement and the Financing Documents. Monies held or to be held in a QZAB Pledged Account may be used to pay Issuance Costs associated with the bonds, to pay the principal of the series of the bonds, and to pay other amounts authorized by this subchapter. The QZAB Pledged Accounts shall be non-lapsing.

§ 2–1217.110. Bond security.

(a) The bonds issued pursuant to this subchapter are declared to be issued for essential public and governmental purposes.

(b) The District does hereby pledge to and covenant and agree with the holders of any bonds that, subject to the provisions of the Financing Documents, the District will not limit or alter the basis upon which Available Real Property Tax Revenues are allocated, applied, and pledged pursuant to this subchapter; will not impair the contractual obligations of the District to fulfill the terms of any agreement made with the holders of the bonds; will not in any way impair the rights or remedies of the holders of the bonds; and will not modify in any way the exemptions from District taxation provided for in this subchapter, until the bonds, together with interest thereon, are fully met and discharged. To the extent that any acts or resolutions of the Council may be in conflict with this subchapter, this subchapter shall be controlling.

(c) It is the intention of the Council that a pledge made in respect of the bonds shall be valid and binding from the time the Available Real Property Tax Revenues or other funds are deposited in the QZAB Pledged Account; that when deposited in the QZAB Pledge Account, the money or property so pledged and deposited shall immediately be subject to the lien of the pledge without physical delivery or further act; and that the lien of the pledge shall be valid and binding as against all parties having any claim of any kind against the District, whether or not the parties have notice of the lien. This subchapter, any resolution adopted pursuant to this subchapter, any trust agreement, or any other instrument by which a pledge is created do not need to be recorded or filed under any provisions of the Uniform Commercial Code to be valid, binding, and effective against the parties.

§ 2–1217.111. Authorized delegation of authority.

To the extent permitted by District and federal laws, the Mayor may delegate to any Authorized Delegate the performance of any function authorized to be performed by the Mayor under this subchapter.

§ 2–1217.112. Limited liability.

(a) The bonds shall be special obligations of the District. The bonds shall be without recourse to the District. The bonds shall not be general obligations of the District, shall not be a pledge of or involve the faith and credit or the taxing power of the District, shall not constitute a debt of the District, and shall not constitute lending of the public credit for private undertakings as prohibited in § 1-206.02(a)(2).

(b) Nothing contained in the bonds, in the Financing Documents, or in the Closing Documents shall create an obligation on the part of the District to make payments with respect to the bonds from sources other than those listed for that purpose in § 2-1217.107.

(c) All covenants, obligations, and agreements of the District contained in this subchapter, the bonds, and the executed, sealed, and delivered Financing Documents and Closing Documents to which the District is a party, shall be considered to be the covenants, obligations, and agreements of the District to the fullest extent authorized by law, and each of those covenants, obligations, and agreements shall be binding upon the District, subject to the limitations set forth in this subchapter.

(d) No person, including, but not limited to, any bond owner, shall have any claims against the District or any of its elected or appointed officials, officers, employees, or agents for monetary damages suffered as a result of the failure of the District to perform any covenant, undertaking, or obligation under this subchapter, the bonds, the Financing Documents, or the Closing Documents, or as a result of the incorrectness of any representation in or omission from the Financing Documents or the Closing Documents, unless the District or its elected or appointed officials, officers, employees, or agents have acted in a willful and fraudulent manner.

§ 2–1217.113. District officials.

(a) Except as otherwise provided in § 2-1217.112(d), the elected or appointed officials, officers, employees, or agents of the District shall not be liable personally for the payment of the bonds or be subject to any personal liability by reason of the issuance of the bonds, or for any representations, warranties, covenants, obligations, or agreements of the District contained in this subchapter, the bonds, the Financing Documents, or the Closing Documents.

(b) The signature, countersignature, facsimile signature, or facsimile countersignature of any official appearing on the bonds, the Financing Documents, or the Closing Documents shall be valid and sufficient for all purposes notwithstanding the fact that the individual signatory ceases to hold that office before delivery of the bonds, the Financing Documents, or the Closing Documents.

§ 2–1217.114. Maintenance of documents.

Copies of the specimen bonds and of the final Financing Documents and Closing Documents shall be filed in the Office of the Secretary of the District of Columbia.

§ 2–1217.115. Information reporting.

Within 3 days after the Mayor’s receipt of the transcript of proceedings relating to the issuance of the bonds, the Mayor shall transmit a copy of the transcript to the Secretary to the Council.

§ 2–1217.116. Disclaimer.

(a) The issuance of the bonds is in the discretion of the District. Nothing contained in this subchapter, the bonds, the Financing Documents, or the Closing Documents shall be construed as obligating the District to issue any bonds for the benefit of the Qualifying Schools or to participate in or assist the Qualifying Schools in any way with financing, refinancing, or reimbursing the costs of eligible projects.

(b) The District reserves the right to issue the bonds in the order or priority it determines in its sole and absolute discretion. The District gives no assurance and makes no representations that any portion of any limited amount of bonds or other obligations will be reserved or will be available at the time of the proposed issuance of the bonds.

§ 2–1217.117. Severability.

If any particular provision of this subchapter, or the application thereof to any person or circumstance is held invalid, the remainder of this subchapter and the application of such provision to other persons or circumstances shall not be affected thereby. If any action or inaction contemplated under this subchapter is determined to be contrary to the requirements of applicable law, such action or inaction shall not be necessary for the purpose of issuance of the bonds, and the validity of the bonds shall not be adversely affected.

Subchapter IX-C. Southwest Waterfront Redevelopment.

Part A. Bond Financing.

§ 2–1217.131. Definitions.

For the purposes of this subchapter, the term:

(1) “Authorized Delegate” means the City Administrator, the Chief Financial Officer, the District of Columbia Treasurer, the Deputy Mayor for Planning and Economic Development, or any officer, employee, or agency of the executive office of the Mayor to whom the Mayor has delegated any of the Mayor’s functions under D.C. Law 17-252 pursuant to § 1-204.22(6) and has been designated as an authorized delegate for purposes of D.C. Law 17-252.

(2) “Available Increment” shall have the same meaning as provided in the Reserve Agreement.

(3) “Available Sales Tax Revenues” means the revenues in excess of $208,549 generated in the Southwest Waterfront PILOT/TIF Area in any fiscal year of the District commencing on the Commencement Date resulting from the imposition of the sales tax under Chapter 20 of Title 47 [§  47-2001 et seq.], including penalty and interest charges, exclusive of the portion required to be deposited in the Washington Convention Center Fund established pursuant to §  10-1202.08. The term “Available Sales Tax Revenues” includes sales tax revenues from any business existing in the Southwest Waterfront PILOT/TIF Area on October 22, 2008, only after the business has re-opened as a result of the development of any portion of the project.

(4) “Bond Counsel” means a firm or firms of attorneys designated as bond counsel from time to time by the Mayor.

(5) “Bonds” means the District of Columbia revenue bonds, notes, or other obligations (including refunding bonds, notes, and other obligations), in one or more series, authorized to be issued pursuant to this subchapter.

(6) “Chief Financial Officer” means the Chief Financial Officer of the District of Columbia established by § 1-204.25(a).

(7) “Closing Documents” means all documents and agreements, other than Financing Documents, that may be necessary and appropriate to issue, sell, and deliver the bonds, and includes agreements, certificates, letters, opinions, forms, receipts, and other similar instruments.

(8) “Commencement Date” means the date upon which the 1st parcel of real estate within the Southwest Waterfront PILOT/TIF Area is transferred to the Master Developer.

(9) “Consumer Price Index” means the index number of retail commodities prices designated “Consumer Price Index-all items CPIU (1996=100) Washington-Baltimore DC-MD-VA-WA” as published by the United States Department of Labor, Bureau of Labor Statistics (or any successor agency thereto), appropriately adjusted.

(10) “Debt Service” means payment of principal, premium, if any, and interest on the bonds.

(11) “Development Costs” means all costs and expenses incurred in connection with the development, redevelopment, purchase, acquisition, protection, financing, construction, expansion, reconstruction, rehabilitation, renovation and repair, and the furnishing and equipping of the project, including:

(A) The costs of demolishing or removing roads, utilities, sidewalks, underground facilities, buildings or structures, and other improvements located on, and site preparation of, including environmental remediation, the land acquired or used for, or in connection with, the project, including costs incurred to resolve existing leaseholder interests in portions of the project site that will be re-conveyed to the District as public infrastructure;

(B) Costs of relocation, construction, and redevelopment of the project, including entitlement, development, and construction management fees;

(C) Costs incurred for publicly-owned utility lines, structures, public roads, public parks, or equipment located within or necessary to serve the project;

(D) Interest on the bonds prior to, and during, the construction of the project;

(E) Provisions for reserves for extraordinary repairs and replacements;

(F) Expenses incurred for architectural, engineering, energy efficiency technology, design and consulting, financial, and legal services;

(G) Fees for letters of credit, bond insurance, debt service reserve insurance, surety bonds, or similar credit or liquidity enhancement instruments;

(H) Costs and expenses associated with the conduct and preparation of specification and feasibility studies, plans, surveys, historic structure reports, and estimates of expenses and revenues;

(I) Expenses necessary or incident to issuing the bonds and determining the feasibility and the fiscal impact of financing the acquisition, construction, or redevelopment of the project; and

(J) The provision of an allowance for contingencies and initial working capital.

(12) “Financing Documents” means the documents, other than Closing Documents, that relate to the financing or refinancing of transactions to be effected through the issuance, sale, and delivery of the bonds, including any offering document, and any required supplements to any such documents.

(13) “Fish Market” means the property known for assessment and taxation purposes as Lots 850, 846, and 847, Square 473, and the adjacent riparian area.

(14) “Home Rule Act” means Chapter 2 of Title 1 [§ 1-201.01 et seq.].

(15) “Master Developer” means the development entity to which the District transfers the leasehold interest in the Southwest Waterfront PILOT/TIF Area and which is responsible for the planned development of the entire Southwest Waterfront PILOT/TIF Area, including the project.

(16) “Project” means the publicly owned infrastructure located within the Southwest Waterfront PILOT/TIF Area, including streets, parking facilities, sidewalks, walkways, streetscapes, parks, bulkheads, piers, curbs, gutters, and gas, electric, and water utility lines, and the acquisition, equipping, relocation, construction, and redevelopment of certain public facilities, including parks.

(17) “Reserve Agreement” means that certain Reserve Agreement, dated as of April 1, 2002, by and among the District, Wells Fargo Bank Minnesota, N.A. and Financial Security Assurance, Inc.

(18) “Southwest Waterfront Fund” means the fund created by § 2-1217.133.

(19) “Southwest Waterfront Improvement Benefit District” means the special assessment district established by § 47-895.02.

(20) “Southwest Waterfront PILOT” or “PILOT” means the payment in lieu of taxes from the Southwest Waterfront PILOT/TIF Area required by § 47-4615.

(21) “Southwest Waterfront PILOT Base Amount” means $945,000.

(22) “Southwest Waterfront PILOT Increment” means the amount of the Southwest Waterfront PILOT that exceeds the Southwest Waterfront PILOT Base Amount.

(23) “Southwest Waterfront PILOT/TIF Area” means the following geographic area:

(A) Approximately 23 acres of land area between the southern curb line of Maine Avenue, S.W., and the bulkhead paralleling the Washington Channel from the western edge of the Fish Market to the western curb of 6th Street, S.W., to the eastern edge of Lot 843, Square 473, the eastern edge of Lots 883, 884, and 885, Square 503, to the eastern edge of parcel 255/15, to the western edge of the P Street, S.W., right-of-way; and

(B) The riparian area and piers associated with the land described in subparagraph (A) of this paragraph, which include:

(i) The Fish Market;

(ii) The Capital Yacht Club;

(iii) The Gangplank Marina; and

(iv) Piers 4 and 5.

(24) “Southwest Waterfront Special Assessment” means the special assessment relating to the Southwest Waterfront Improvement Benefit District established by § 47-895.02.

§ 2–1217.132. Findings.

The Council finds that:

(1) The Southwest Waterfront is a section of the District that requires financial assistance for its redevelopment because the scale of the project includes rebuilding the majority of the neighborhood and replacing existing infrastructure. The project will aid in the redevelopment by providing financial assistance to support the portions of the Southwest Waterfront that will revert to the District as publicly owned infrastructure and parks.

(2) Section 1-204.90 provides that the Council may, by act, authorize the issuance of District bonds to borrow money to finance, refinance, or reimburse, and to assist in the financing, refinancing, or reimbursing of, undertakings in certain areas designated in § 1-204.90 where the ultimate obligation to repay the bonds is that of one or more governmental persons or entities.

(3) Section 1-204.90 provides that bonds may be issued to assist in undertakings for the economic development of the District.

(4) The authorization, issuance, sale, and delivery of bonds for the payment of costs of the project are desirable, are in the public interest, and will accomplish the purposes and intent of § 1-204.90.

§ 2–1217.133. Creation of the Southwest Waterfront Fund.

(a) There is established as a nonlapsing fund the Southwest Waterfront Fund. The Available Sales Tax Revenues, the Southwest Waterfront Special Assessment (if any), and the Southwest Waterfront PILOT Increment shall be deposited into the Southwest Waterfront Fund. The Chief Financial Officer shall pay from the Southwest Waterfront Fund the Southwest Waterfront PILOT Base Amount into the General Fund of the District of Columbia. The Mayor may pledge and create a security interest in the funds in the Southwest Waterfront Fund to finance, refinance, or reimburse Development Costs of the project, to pay the Debt Service, or to secure bonds without further action by the Council as permitted by § 1-204.90(f). The Chief Financial Officer shall pay from the Southwest Waterfront Fund the annual costs of administering the Southwest Waterfront Improvement Benefit District established by § 47-895.02. If bonds are issued, the payment shall be made in accordance with the provisions of the Financing Documents entered into by the District in connection with the issuance of the bonds.

(b) If, at the end of any fiscal year of the District following the issuance of the bonds, the value of cash and investments in the Southwest Waterfront Fund exceeds the amount of all payments authorized by this subchapter and the Financing Documents during the upcoming fiscal year, the excess shall be transferred to the General Fund of the District of Columbia unless the District elects to use the excess to redeem the bonds prior to maturity.

§ 2–1217.134. Creation of the Southwest Waterfront PILOT/TIF Area.

(a) There is created the Southwest Waterfront PILOT/TIF Area, the Available Sales Tax Revenues from which shall be allocated as provided in this subchapter.

(b) Beginning on the Commencement Date, the Available Sales Tax Revenues from the Southwest Waterfront PILOT/TIF Area shall be allocated and paid into the Southwest Waterfront Fund and used for any of the purposes described in § 2-1217.133. The termination date for the allocation of Available Sales Tax Revenues shall be the earlier of:

(1) September 30, 2044; or

(2) The day after all of the bonds are paid or provided for and are no longer outstanding pursuant to their terms.

§ 2–1217.135. Bond authorization.

(a) The Council approves and authorizes the issuance of one or more series of bonds in an aggregate principal amount not to exceed $198 million. The bonds, which may be issued from time to time, in one or more series, shall be tax-exempt or taxable as the Mayor shall determine and shall be payable and secured as provided in § 2-1217.136; provided, that within 60 days prior to the issuance of any bonds, the Chief Financial Officer shall submit to the Mayor and the Council a report to determine the subsidy level needed from the District for the project.

(b) The proceeds of the bonds shall be used as follows:

(1) An amount not to exceed $148 million in 2008 dollars (adjusted for inflation by the Consumer Price Index) may be used for payment of Development Costs; and

(2) The balance of the proceeds may be used to pay the financing costs incurred by the District and to fund capitalized interest and required reserves.

(c) The Mayor may pay from the proceeds of the bonds the financing costs and expenses of issuing and delivering the bonds, including, but not limited to, underwriting, legal, accounting, financial advisory, bond insurance or other credit enhancement, marketing and selling the bonds, and printing costs and expenses.

§ 2–1217.136. Payment and security.

(a) Except as may be otherwise provided in this subchapter, Debt Service shall be payable from proceeds received from the sale of the bonds, income realized from the temporary investment of those proceeds, receipts and revenues deposited into the Southwest Waterfront Fund, including income realized from the investment of those receipts and revenues, and other funds that, as provided in the Financing Documents, may be made available to the District for payment of the bonds from sources other than the District, all as provided for in the Financing Documents.

(b) There is further allocated to payment of Debt Service the Available Increment, subordinate to the allocation of the Available Increment to the Budgeted Reserve, as defined in the Reserve Agreement, all as more fully described in the Reserve Agreement and to the extent that the Reserve Agreement continues to apply to the Available Increment, to be used for the payment of Debt Service to the extent that the revenues allocated in subsection (a) of this section are inadequate to pay Debt Service. The allocation of Available Increment authorized by this subsection shall be made in compliance with all existing contractual obligations of the District with respect to the Available Increment and shall terminate on the date on which all of the bonds are paid or provided for and are no longer outstanding pursuant to their terms.

(c) Payment of the bonds shall be secured as provided in the Financing Documents and by an assignment by the District for the benefit of the bond holders of certain of its rights under the Financing Documents and Closing Documents to the trustee for the bonds pursuant to the Financing Documents.

(d) The trustee is authorized to deposit, invest, and disburse the proceeds received from the sale of the bonds pursuant to the Financing Documents.

§ 2–1217.137. Bond details.

(a) The Mayor is authorized to take any action reasonably necessary or appropriate in accordance with D.C. Law 17-252 in connection with the preparation, execution, issuance, sale, delivery, security for, and payment of the bonds of each series, including, but not limited to, determinations of:

(1) The final form, content, designation, and terms of the bonds, including a determination the bonds may be issued in certificated or book-entry form;

(2) The principal amount of the bonds to be issued and denominations of the bonds;

(3) The rate or rates of interest or the method for determining the rate or rates of interest on the bonds;

(4) The date or dates of issuance, sale, and delivery of, and the payment of interest on the bonds, and the maturity date or dates of the bonds;

(5) The terms under which the bonds may be paid, optionally or mandatorily redeemed, accelerated, tendered, called, or put for redemption, repurchase, or remarketing before their respective stated maturities;

(6) Provisions for the registration, transfer, and exchange of the bonds and the replacement of mutilated, lost, stolen, or destroyed bonds;

(7) The creation of any reserve fund, sinking fund, or other fund with respect to the bonds;

(8) The time and place of payment of the bonds;

(9) Procedures for monitoring the use of the proceeds received from the sale of the bonds to ensure that the proceeds are properly applied and used to accomplish the purposes of Chapter 2 of Title 1 and D.C. Law 17-252;

(10) Actions necessary to qualify the bonds under blue sky laws of any jurisdiction where the bonds are marketed; and

(11) The terms and types of credit enhancement under which the bonds may be secured.

(b) The bonds shall contain a legend which shall provide that the bonds are special obligations of the District, are without recourse to the District, are not a pledge of, and do not involve, the faith and credit or the taxing power of the District (other than the taxes and revenues allocated to the Southwest Waterfront Fund or the Available Increment), do not constitute a debt of the District, and do not constitute lending of the public credit for private undertakings as prohibited in § 1-206.02(a)(2).

(c) The bonds shall be executed in the name of the District and on its behalf by the manual or facsimile signature of the Mayor, and attested by the Secretary of the District of Columbia by the Secretary’s manual or facsimile signature.

(d) The official seal of the District, or a facsimile of it, shall be impressed, printed, or otherwise reproduced on the bonds.

(e) The bonds of any series may be issued in accordance with the terms of a trust instrument to be entered into by the District and a trustee to be selected by the Mayor, and may be subject to the terms of one or more agreements entered into by the Mayor pursuant to § 1-204.90(a)(4).

(f) The bonds may be issued at any time or from time to time in one or more issues and in one or more series.

(g) The bonds are declared to be issued for essential public and governmental purposes. The bonds and the interest thereon and the income therefrom, and all monies pledged or available to pay or secure the payment of the bonds, shall at all times be exempt from taxation by the District, except for estate, inheritance, and gift taxes.

(h) The District pledges, covenants, and agrees with the holders of the bonds that, subject to the provisions of the Financing Documents, the District will not limit or alter the bonds or the basis on which the revenues pledged to secure the bonds are collected or allocated, will not impair the contractual obligations of the District to fulfill the terms of any agreement made with the holders of the bonds, will not in any way impair the rights or remedies of the holders of the bonds, and will not modify in any way the exemptions from taxation provided for in D.C. Law 17-252, until the bonds, together with interest thereon, and all costs and expenses in connection with any suit, action, or proceeding by or on behalf of the holders of the bonds, are fully met and discharged. This pledge and agreement for the District may be included as part of the contract with the holders of the bonds. This subsection constitutes a contract between the District and the holders of the bonds. To the extent that any acts or resolutions of the Council may be in conflict with this subchapter, subchapter VII of Chapter 8 of Title 47 [§ 47-895.01 et seq.], D.C. Law 17-252, D.C. Law 17-252 shall be controlling.

(i) Consistent with § 1-204.90(a)(4)(B) and notwithstanding Article 9 of Title 28:

(1) A pledge made and security interest created in respect of the bonds or pursuant to any related Financing Document shall be valid, binding, and perfected from the time the security interest is created, with or without physical delivery of any funds or any property and with or without any further action;

(2) The lien of the pledge shall be valid, binding, and perfected as against all parties having any claim of any kind in tort, contract, or otherwise against the District, whether or not such party has notice; and

(3) The security interest shall be valid, binding, and perfected whether or not any statement, document, or instrument relating to the security interest is recorded or filed.

§ 2–1217.138. Sale of the bonds.

(a) The bonds of any series may be sold at negotiated or competitive sale at, above, or below par, to one or more persons or entities, and upon terms that the Mayor considers to be in the best interests of the District.

(b) The Mayor or an Authorized Delegate may execute, in connection with each sale of the bonds, offering documents on behalf of the District, may deem final any such offering document on behalf of the District for purposes of compliance with federal laws and regulations governing such matters, and may authorize the distribution of the documents in connection with the bonds.

(c) The Mayor is authorized to deliver the executed and sealed bonds, on behalf of the District, for authentication, and, after the bonds have been authenticated, to deliver the bonds to the original purchasers of the bonds upon payment of the purchase price.

(d) The bonds shall not be issued until the Mayor receives an approving opinion from Bond Counsel as to the validity of the bonds of such series and, if the interest on the bonds is expected to be exempt from federal income taxation, the treatment of the interest on the bonds for purposes of federal income taxation.

(e) Unit A of Chapter 3 of this title and subchapter III-A of Chapter 3 of Title 47 shall not apply to any contract the Mayor may from time to time enter into, or the Mayor may determine to be necessary or appropriate, for purposes of D.C. Law 17-252.

§ 2–1217.139. Financing and Closing Documents.

(a) The Mayor is authorized to prescribe the final form and content of all Financing Documents and all Closing Documents to which the District is a party that may be necessary or appropriate to issue, sell, and deliver the bonds.

(b) The Mayor is authorized to execute, in the name of the District and on its behalf, the Financing Documents and any Closing Documents to which the District is a party by the Mayor’s manual or facsimile signature.

(c) If required, the official seal of the District, or a facsimile of it, shall be impressed, printed, or otherwise reproduced on the bonds, the other Financing Documents, and the Closing Documents to which the District is a party.

(d) The Mayor’s execution and delivery of the Financing Documents and the Closing Documents to which the District is a party shall constitute conclusive evidence of the Mayor’s approval, on behalf of the District, of the final form and content of the executed Financing Documents and the executed Closing Documents.

(e) The Mayor is authorized to deliver the executed and sealed Financing Documents and Closing Documents, on behalf of the District, prior to or simultaneously with the issuance, sale, and delivery of the bonds, and to ensure the due performance of the obligations of the District contained in the executed, sealed, and delivered Financing Documents and Closing Documents.

§ 2–1217.140. Limited liability.

(a) The bonds shall be special obligations of the District. The bonds shall be without recourse to the District. The bonds shall not be general obligations of the District, shall not be a pledge of, or involve, the faith and credit or the taxing power of the District (other than the taxes and revenues allocated to the Southwest Waterfront Fund and the Available Increment), shall not constitute a debt of the District, and shall not constitute lending of the public credit for private undertakings as prohibited in § 1-206.02(a)(2).

(b) The bonds shall not give rise to any pecuniary liability of the District and the District shall have no obligation with respect to the purchase of the bonds.

(c) No person, including, but not limited to, any bond holder, shall have any claims against the District or any of its elected or appointed officials, officers, employees, or agents for monetary damages suffered as a result of the failure of the District to perform any covenant, undertaking, or obligation under this subchapter, the bonds, the Financing Documents, or the Closing Documents, or as a result of the incorrectness of any representation in or omission from the Financing Documents or the Closing Documents, unless the District or its elected or appointed officials, officers, employees, or agents have acted in a willful and fraudulent manner.

§ 2–1217.141. District officials.

(a) Except as otherwise provided in § 2-1217.140(c), the elected or appointed officials, officers, employees, or agents of the District shall not be liable personally for the payment of the bonds, be subject to any personal liability by reason of the issuance of the bonds, or be personally liable for any representations, warranties, covenants, obligations, or agreements of the District contained in this subchapter, the bonds, the Financing Documents, or the Closing Documents.

(b) The signature, countersignature, facsimile signature, or facsimile countersignature of any official appearing on the bonds, the Financing Documents, or the Closing Documents shall be valid and sufficient for all purposes notwithstanding the fact that the individual signatory ceases to hold that office before delivery of the bonds, the Financing Documents, or the Closing Documents.

§ 2–1217.142. Information reporting.

Within 3 days after the Mayor’s receipt of the transcript of proceedings relating to the issuance of the bonds, the Mayor shall transmit a copy of the transcript to the Secretary to the Council.

§ 2–1217.143. Payment In Lieu of Taxes Act not to apply.

D.C. Law 17-252 shall apply notwithstanding the provisions of Part E of subchapter IV of Chapter 3 of Title 1.

Part B. Affordable Housing.

§ 2–1217.151. Affordable housing.

(a) Notwithstanding any other provision of law, § 2-1226.02(b) and any related provisions imposing any Affordable requirements shall not apply to any Residential Units in excess of 500 Residential Units that are to be constructed in the Mixed-Use Development on the Southwest Waterfront Property; provided, that the GFA of the Affordable Dwelling Units to be constructed is no less than 160,000 GFA.

(b) With respect to any Residential Units in excess of 500 Residential Units that are to be constructed in the Mixed-Use Development on the Southwest Waterfront Property, no less than 20% of the GFA of such additional units shall be Workforce Housing. Eighty thousand GFA of such Workforce Housing required under this provision shall be allocated to the construction of 100% AMI Units. The GFA of any Workforce Housing required under this provision in excess of 80,000 GFA may be allocated at the developer’s discretion either to 100% AMI Units or to 120% AMI Units.

(c) All future amendments to the Land Disposition Agreement shall be submitted to the Council for approval in accordance with the procedures set forth in § 10-801(b-1)(6).

(d) For the purposes of this section, the term:

(1) “Affordable” shall have the same meaning as provided in § 2-1226.02(b)(2).

(2) “Affordable Dwelling Unit” shall have the same meaning as the term “ADU” as set forth in the Land Disposition Agreement.

(3) “Area median income” shall have the same meaning as provided in § 2-1226.02.

(4) “Gross Floor Area” or “GFA” shall have the same meaning as provided in the Land Disposition Agreement.

(5) “Land Disposition Agreement” means the amended and restated land disposition agreement by and between the District of Columbia and Hoffman-Struever Waterfront L.L.C. for the Southwest Waterfront Project dated May 13, 2009, and as amended by the First Amendment dated June 10, 2010 and the Second Amendment dated December 3, 2010.

(6) “Mixed-Use Development” shall have the same meaning as provided in the Land Disposition Agreement.

(7) “Residential Unit” shall have the same meaning as provided in the Land Disposition Agreement.

(8) “Southwest Waterfront Property” shall have the same meaning as provided in the Land Disposition Agreement.

(9) “Workforce Housing” shall mean 100% AMI Units and 120% AMI Units.

(10) “100% AMI Units” shall mean Residential Units that are affordable to households consisting of one or more persons with income equal to or less than 100% of the area median income.

(11) “120% AMI Units” shall mean Residential Units that are affordable to households consisting of one or more persons with income equal to or less than 120% of the area median income.

Subchapter X. National Capital Revitalization Corporation.

Part A. National Capital Revitalization Corporation.

§ 2–1219.01. Definitions

Repealed.

§ 2–1219.02. Establishment of the Corporation; purposes; fiscal year. [Repealed]

Repealed.

§ 2–1219.03. Board of Directors. [Repealed]

Repealed.

§ 2–1219.04. Meetings of the Board. [Repealed]

Repealed.

§ 2–1219.05. Officers and employees. [Repealed]

Repealed.

§ 2–1219.06. Limitations of actions. [Repealed]

Repealed.

§ 2–1219.07. Relation to other laws. [Repealed]

Repealed.

§ 2–1219.08. Establishment of Enterprise Fund. [Repealed]

Repealed.

§ 2–1219.09. Prohibition on political activity. [Repealed]

Repealed.

§ 2–1219.10. Rules with respect to gifts, procurement of goods and services, property disposition, conflict of interest. [Repealed]

Repealed.

§ 2–1219.11. Conflict of interest; disclosure; waiver of bar against participation by interested party. [Repealed]

Repealed.

§ 2–1219.12. Revitalization Plan. [Repealed]

Repealed.

§ 2–1219.13. Performance plan; independent audit; evaluation. [Repealed]

Repealed.

§ 2–1219.14. Criteria for assistance. [Repealed]

Repealed.

§ 2–1219.15. General powers. [Repealed]

Repealed.

§ 2–1219.16. Subsidiaries. [Repealed]

Repealed.

§ 2–1219.17. Revolving funds. [Repealed]

Repealed.

§ 2–1219.18. Revenue bonds, notes, or other obligations. [Repealed]

Repealed.

§ 2–1219.19. Eminent domain. [Repealed]

Repealed.

§ 2–1219.20. Priority development areas. [Repealed]

Repealed.

§ 2–1219.21. Redevelopment districts; allocation of tax increment revenues. [Repealed]

Repealed.

§ 2–1219.22. Determination, publication, collection, and deposit of tax increment revenues. [Repealed]

Repealed.

§ 2–1219.23. Tax increment revenue bonds. [Repealed]

Repealed.

§ 2–1219.24. Certification of borrowings. [Repealed]

Repealed.

§ 2–1219.25. District pledges. [Repealed]

Repealed.

§ 2–1219.26. No taxing power. [Repealed]

Repealed.

§ 2–1219.27. Intragovernmental cooperation. [Repealed]

Repealed.

§ 2–1219.28. Dissolution; termination of affairs.

Repealed.

§ 2–1219.29. Transfer; assignment; assumption of other powers; duties.

Repealed.

Part B. RLA Revitalization Corporation. [Repealed].

§ 2–1219.31. Establishment of the RLA Revitalization Corporation; board of directors and management; powers

Repealed.

§ 2–1219.32. Transfer of functions, duties, and powers of the Redevelopment Land Agency to the RLA Revitalization Corporation. [Repealed]

Repealed.

§ 2–1219.33. Transfer of assets of the Redevelopment Land Agency to the RLA Revitalization Corporation. [Repealed]

Repealed.

§ 2–1219.34. Distribution of income between the RLA Revitalization Corporation and the Department of Housing and Community Development. [Repealed]

Repealed.

§ 2–1219.34a. Distribution of income between RLA Revitalization Corporation and the District. [Repealed]

Repealed.

§ 2–1219.35. Transfer of good faith deposits and lease deposits. [Repealed]

Repealed.

§ 2–1219.36. Responsibility for liabilities. [Repealed]

Repealed.

§ 2–1219.37. Reasonable efforts by the Department of Housing and Community Development. [Repealed]

Repealed.

§ 2–1219.38. RLA Revitalization Corporation and Department of Housing and Community Development budget submissions. [Repealed]

Repealed.

Part C. Transfer of Certain NCRC and RLARC Properties.

§ 2–1219.51. Transfer of Southwest Waterfront Properties. [Repealed]

Repealed.

§ 2–1219.52. Conditions of transfer; effective date. [Repealed]

Repealed.

§ 2–1219.53. Release of existing debt. [Repealed]

Repealed.

Subchapter XI. Assistance for Qualified High Technology Companies.

§ 2–1221.01. Security deposit assistance.

(a)(1) The Mayor shall establish a program to provide funding assistance for the security deposit required for a lease of real property for operations of a Qualified High Technology Company, as defined in § 47-1817.01(5).

(2) No funding assistance shall be provided under this section if:

(A) Other financial assistance meeting the requirements of the applicant is available on reasonable terms; or

(B) If the Mayor determines that there exists a reasonable expectation that the Qualified High Technology Company will not perform the covenants and conditions of the lease.

(3) In exchange for funding assistance under this section, a Qualified High Technology Company shall provide:

(A) Training courses to District of Columbia Public School teachers and administrators for the more efficient use of technology in the education process;

(B) Internships to District of Columbia Public School students throughout the calendar year;

(C) Employment to District of Columbia Public School students during the summer months when school is not in session;

(D) Technical support or expertise, including networking and maintaining computer systems and other related activities; or

(E) Any other assistance considered appropriate or acceptable by the Mayor.

(4) The Mayor shall, at 6-month intervals following the commencement of the program, report to the Council on the terms and results of the program, including any agreement entered into under subsection (b) of this section, as of the date of each report.

(b) To implement the program described in subsection (a) of this section, the Mayor may enter into an agreement with a Qualified High Technology Company, commercial real estate broker, landlord, venture capitalist, business incubator, technology company, commercial bank, investment banker, or a for-profit, nonprofit, or public-sector entity, in connection with the provision of a security deposit for real property and equipment by, or on behalf of, a Qualified High Technology Company. The agreement shall state the total cost to the District of Columbia and the proportion which the cost to the District of Columbia bears to the total cost of the agreement. The Mayor shall make reasonable provision to ensure repayment to the District of Columbia of all amounts provided as assistance under this section. The Mayor may accept, in exchange for the District of Columbia’s participation in any such agreements, warrants, options, equity, preferred shares, or convertible debt of the applicable Qualified High Technology Company, or other consideration.

§ 2–1221.02. Master lease program.

(a) For purposes of this section, the term “sponsor” means a commercial real estate broker, landlord, venture capitalist, business incubator, technology company, commercial bank, investment banker, or a for-profit, nonprofit, or public-sector entity acting on behalf of a Qualified High Technology Company.

(b)(1) The Mayor may enter into one or more master leases of real property within the District of Columbia for the purpose of subleasing, directly or through a sponsor of a Qualified High Technology Company, the real property to a Qualified High Technology Company which is unable to secure financing for a facility on prevailing commercial terms.

(2) The Mayor may sublease the premises for a rent which, in his or her discretion, may be less than, but shall not exceed, the rental rate under the master lease. The term of a sublease shall be at least 12, but not greater than 36, months, including any option to extend the sublease.

(3) The master lease may be for all or part of a facility and shall provide that the District of Columbia shall have the unqualified right to sublease the space to a Qualified High Technology Company which is unable to secure financing for the facility, or a comparable facility, at commercially reasonable terms.

(4) The master lease shall provide that the District of Columbia is not liable in the event of a default by the lessor or other applicable party to the master lease under any financing or other agreement binding on the lessor or other party.

(c) In exchange for funding assistance under this section, a Qualified High Technology Company shall provide:

(1) Training courses to District of Columbia Public School teachers and administrators for the more efficient use of technology in the education process;

(2) Internships to District of Columbia Public School students throughout the calendar year;

(3) Employment to District of Columbia Public School students during the summer months when school is not in session;

(4) Technical support or expertise, including networking and maintaining computer systems and other related activities; or

(5) Any other assistance considered appropriate or acceptable by the Mayor.

§ 2–1221.03. Funds subject to appropriations. [Repealed]

Repealed.

Subchapter XI-A. Technology Opportunity Development Task Force.

§ 2–1221.31. Establishment of Task Force. [Repealed]

Repealed.

§ 2–1221.32. Duties. [Repealed]

Repealed.

§ 2–1221.33. Composition; compensation, procedure; sunset. [Repealed]

Repealed.

§ 2–1221.34. Findings and recommendations. [Repealed]

Repealed.

Subchapter XII. Anacostia Waterfront Corporation.

Part A. Definitions. [Repealed].

§ 2–1223.01. Definitions. [Repealed]

Repealed.

Part B. Establishment of Anacostia Waterfront Corporation; Purposes; General Powers. [Repealed].

§ 2–1223.02. Establishment of the Corporation; purposes

Repealed.

§ 2–1223.03. Waterfront Framework Plan; consistency with other plans. [Repealed]

Repealed.

§ 2–1223.04. General powers of the Corporation. [Repealed]

Repealed.

Part C. Board of Directors; Officers and Employees.

§ 2–1223.05. Board of Directors — establishment; powers; membership; terms; delegation; compensation

Repealed.

§ 2–1223.06. Board of Directors — Officers; bylaws and procedures. [Repealed]

Repealed.

§ 2–1223.07. Board of Directors — Quorum; meetings. [Repealed]

Repealed.

§ 2–1223.08. Officers and employees; personnel system; compensation; benefits. [Repealed]

Repealed.

§ 2–1223.09. Chief executive officer; additional officers. [Repealed]

Repealed.

§ 2–1223.10. Officers and employees — other government employees; outside services. [Repealed]

Repealed.

Part D. Other Powers and Authorities of the Corporation. [Repealed].

§ 2–1223.11. Assistance for eligible projects

Repealed.

§ 2–1223.12. Eminent domain. [Repealed]

Repealed.

§ 2–1223.13. Subsidiaries. [Repealed]

Repealed.

Part E. Financial Affairs; Bonding Authority. [Repealed].

§ 2–1223.14. Establishment of Enterprise Fund

Repealed.

§ 2–1223.15. Revolving funds; reserve funds. [Repealed]

Repealed.

§ 2–1223.16. Revenue bonds, notes, or other obligations; loans and grants. [Repealed]

Repealed.

§ 2–1223.17. District pledges. [Repealed]

Repealed.

§ 2–1223.18. Tax-exempt status. [Repealed]

Repealed.

§ 2–1223.19. No taxing power. [Repealed]

Repealed.

§ 2–1223.20. Fiscal year. [Repealed]

Repealed.

Part F. Relation to Other Government Entities. [Repealed].

§ 2–1223.21. Corporation’s review of plans and projects of District agencies

Repealed.

§ 2–1223.22. Expedited consideration by other agencies. [Repealed]

Repealed.

Part G. Relation to Other Laws and Policies. [Repealed].

§ 2–1223.23. Relation to other laws

Repealed.

§ 2–1223.24. Utilization of local, small, and disadvantaged business enterprises; hiring of District residents. [Repealed]

Repealed.

§ 2–1223.25. Property dispositions. [Repealed]

Repealed.

Part H. Miscellaneous Provisions. [Repealed].

§ 2–1223.26. Rules with respect to gifts, procurement of goods and services, and property dispositions

Repealed.

§ 2–1223.27. Affordable housing. [Repealed]

Repealed.

§ 2–1223.28. Prohibition on political activity. [Repealed]

Repealed.

§ 2–1223.29. Conflict of interest; disclosure; waiver of bar against participation by interested party. [Repealed]

Repealed.

§ 2–1223.30. Annual report. [Repealed]

Repealed.

§ 2–1223.31. Limitations of actions. [Repealed]

Repealed.

§ 2–1223.32. Dissolution; termination of affairs. [Repealed]

Repealed.

§ 2–1223.33. Interpretation. [Repealed]

Repealed.

Subchapter XIII. District Assumption of Authority of NCRC and AWC.

Part A. Reorganization of NCRC and AWC.

§ 2–1225.01. Dissolution of the boards of directors.

(a) The Board of Directors of the National Capital Revitalization Corporation (“NCRC”) and the Board of Directors of the RLA Revitalization Corporation (“RLARC”), established by §§ 2-1219.01 [repealed] and 2-1219.31 [repealed], respectively, are dissolved. The Mayor shall succeed to the powers, duties, and responsibilities of the boards of directors of the NCRC and the RLARC.

(b) The Board of Directors of the Anacostia Waterfront Corporation (“AWC”), established by § 2-1223.05 [repealed], and the boards of directors of its subsidiaries, the Southwest Waterfront Development Corporation (“SWDC”) and the Southwest Waterfront Holdings Corporation (“SWHC”), are dissolved. The Mayor shall succeed to the powers, duties, and responsibilities of the board of directors of the AWC and its subsidiaries.

§ 2–1225.02. Transition to District control.

(a)(1) The Mayor may transfer any contract of the AWC, NCRC, or any of their subsidiaries, which include the RLARC, the SWDC, the SWHC, and the Economic Development Finance Corporation (“EDFC”), established by § 2-1207.03 (repealed by section 7 of D.C. Law 14-213, effective October 19, 2002), to the District’s contracting and procurement system. Any lawful contracts of the AWC and the NCRC not transferred by the Mayor under this subsection before October 1, 2007, shall be transferred to the District’s contracting and procurement system on October 1, 2007, pursuant to §§ 2-1225.11 and 2-1225.12.

(2) Notwithstanding paragraph (1) of this subsection, any rights and obligations existing under contracts to which either the AWC or the NCRC are parties shall not transfer to the District before October 1, 2007.

(b)(1) The Mayor may hire as an employee of the District government a person who was an employee of the AWC or the NCRC, or any of their subsidiaries, on July 20, 2007.

(2) Any employee of the NCRC or the AWC, or any of their subsidiaries, who was an employee on July 20, 2007, and who is not hired by the Mayor pursuant to paragraph (1) of this subsection, shall be entitled to 4 weeks severance pay, and one month’s COBRA premium for continued health care under the Consolidated Omnibus Budget Reconciliation Act of 1985, approved April 7, 1986 (Pub. L. No. 99-272; 100 Stat. 82).

(c) Any leave that an employee who is hired pursuant to this section accrued during his or her tenure with the AWC, the NCRC, or any of their subsidiaries, shall be credited to the employee once the employee is hired by the District. The accrued leave of the employee shall be allocated between sick leave and annual leave in such proportions as the Mayor considers appropriate.

(d) Each employee’s length of service at the AWC or the NCRC, or any of their subsidiaries, and the employee’s service with the District government, if such service was immediately prior to the employee’s service with the AWC or the NCRC, shall be counted as creditable District government service for vesting in the District’s retirement program and for the rate at which the employee accrues annual leave.

(e) If an employee is hired by the District government under this section and was employed by the District government immediately prior to his or her employment with the AWC or the NCRC and funds were deposited into the employee’s District of Columbia retirement account during the employee’s term of employment with the District government and the deposited funds lapsed from the retirement account because of a break in employment with the District government caused by the employee’s service with the AWC or the NCRC, the deposited funds that lapsed shall be restored to the employee’s retirement account by the District.

(f)(1) The Mayor may increase the full-time equivalent authority of the executive branch by 40 to effectuate the objectives of the National Capital Revitalization Corporation and Anacostia Waterfront Corporation Reorganization Act of 2008, effective March 26, 2008 (D.C. Law 17-138; 55 DCR 1689).

(2) Subject to Council approval by act, the Mayor may increase the full-time equivalent authority provided by this subsection.

(g)(1) The Mayor may transfer any unexpended balances of appropriations, allocations, income, or other funds available, including the Fiscal Year 2007 budget authority of the AWC and the NCRC, from the accounts and systems of the AWC and the NCRC to the District.

(2) All unexpended balances of appropriations, allocations, income, and other funds available, and the Fiscal Year 2007 budget authority of the AWC and the NCRC shall transfer to the District on October 1, 2007.

(3) Operating funds transferred pursuant to this subsection shall be deposited into the Economic Development Special Account established by § 2-1225.21.

(4) Capital funds transferred pursuant to this subsection shall be deposited into the capital accounts established by § 2-1225.22.

(h) The Mayor may transfer any property, records, rights, obligations, causes of action, legal or equitable title to any real property, or legal obligations of the NCRC and the AWC and any of their subsidiaries or predecessors in interest; provided, that all such property, records, rights, obligations, causes of action, legal and equitable title to any real property, or legal obligations under this subsection shall be transferred to the District on October 1, 2007, pursuant to §§ 2-1225.11 and 2-1225.12.

(i) The Mayor shall prepare and submit to the Council by July 12, 2007, a transition plan for the transfer of the functions, duties, powers, records, real and personal property, liabilities, and other rights, authorities, obligations, and assets from the NCRC and the AWC to the management and control of the Mayor.

§ 2–1225.03. [Reserved].

[Reserved].

§ 2–1225.04. [Reserved].

[Reserved].

Part B. Transfer of Assets and Liabilities.

§ 2–1225.11. Transfer of NCRC assets and liabilities.

(a) On October 1, 2007:

(1) Legal and equitable title to all real property, personal property, capital, and intangible assets of the NCRC, the RLARC, the EDFC, and any of their subsidiaries, shall transfer, vest, and be titled, in the name of the District, and the Mayor may exercise any disposition authority related to the property that was previously approved by the Council.

(2) All property, records, and unexpended balances of appropriations, allocations, income, and other funds available to the NCRC, the RLARC, the EDFC, and any of their subsidiaries, shall transfer to the District.

(3) The unexpended balances of appropriations, allocations, income, and other funds available to the NCRC, the RLARC, the EDFC, and any of their subsidiaries, shall transfer to the Economic Development Special Account pursuant to § 2-1225.21 [repealed] or to the capital accounts pursuant to § 2-1225.22.

(4) All lawful existing contractual rights and obligations, except employment contracts, of the NCRC, the RLARC, the EDFC, and any of their subsidiaries, shall transfer to the District, which shall assume all rights, duties, liabilities, and obligations as a successor in interest.

(5) All other existing rights and obligations, including all lawful contractual rights and obligations, and all causes of actions of the NCRC, the RLARC, the EDFC, and any of their subsidiaries, shall transfer to the District.

(b) Any existing contracts transferred to the District under this section or § 2-1225.02(a) shall not be subject to Unit A of Chapter 3 of this title [§ 2-301.01 et seq.].

(b-1) Any contract between the Deputy Mayor for Planning and Economic Development and a developer for the development of Square 3128 related to Zoning Commission Order No. Z.C. 13-14, or amendment to that order, shall not be subject to subchapters IV, V, VI, and §§ 2-357.02 and 2-361.01 of Chapter 3A of this title.

(c) All real property and other assets transferred pursuant to this section or § 2-1225.02 that are subject to a Community Development Block Grant (“CDBG”) subrecipient agreement with the Department of Housing and Community Development shall continue to be subject to the applicable subrecipient agreement and CDBG regulations.

(d) No existing lawful contract or other lawful legal obligation of the NCRC, the RLARC, the EDFC, and their subsidiaries transferred pursuant to subsection (a) of this section or pursuant to § 2-1225.02 shall be abrogated or impaired by the repeal of subchapter X of this chapter [§ 2-1219.01 et seq].

(e) Nothing in this section or § 2-1225.02 shall impair the obligations, commitments, pledges, covenants, or the security made or provided by the NCRC, the RLARC, the EDFC, or any or their subsidiaries, the Chief Financial Officer, or the Department of Housing and Community Development.

§ 2–1225.12. Transfer of AWC assets and liabilities.

(a) On October 1, 2007:

(1) Legal and equitable title to all real property, personal property, capital, and intangible assets of the AWC, the SWDC, the SWHC, and any of their subsidiaries, shall transfer, vest, and be titled in the name of the District and the Mayor may exercise any disposition authority related to the property that was previously approved by the Council.

(2) All property, records, and unexpended balances of appropriations, allocations, income, and other funds available to the AWC, the SWDC, and the SWHC, and any of their subsidiaries shall transfer to the District.

(3) The unexpended balances of appropriations, allocations, income and other funds available to the AWC, the SWDC, the SWHC, and any of their subsidiaries shall transfer to the Economic Development Special Account pursuant to § 2-1225.21 [repealed] or to the capital accounts pursuant to § 2-1225.22.

(4) All lawful existing contractual rights and obligations of the AWC, the SWDC, the SWHC, and any of their subsidiaries, except employment contracts, shall transfer to the District, which shall assume all rights, duties, liabilities, and obligations as a successor in interest.

(5) All other existing rights and obligations, including all lawful contractual rights and obligations, and all causes of actions of the AWC, the SWDC, and the SWHC, any or their subsidiaries, shall transfer to the District.

(b) Existing contracts transferred to the District under this section or § 2-1225.02(a), or contracts entered into under a solicitation continued under § 2-1225.13, shall not be subject to Unit A of Chapter 3 of this title [§ 2-301.01 et seq.].

(c) All real property and other assets transferred pursuant to this section or § 2-1225.02 that are subject to a CDBG subrecipient agreement with the Department of Housing and Community Development shall continue to be subject to the applicable subrecipient agreement until the agreement is amended or terminated or expires and shall be subject to applicable CDBG regulations.

(d) No existing lawful contract or other lawful legal obligation of the AWC, the SWDC, the SWHC, and any of their subsidiaries, transferred pursuant to subsection (a) of this section, shall be abrogated or impaired by the repeal of subchapter XII of this chapter [§ 2-1223.01 et seq.].

(e) Nothing in this section or § 2-1225.02 shall impair the obligations, commitments, pledges, or covenants, or the security made or provided by the AWC, the SWDC, the SWHC, any of their subsidiaries, the Chief Financial Officer, or the Department of Housing and Community Development.

§ 2–1225.13. Continuation of ongoing procurement process.

The Mayor may enter into a contract based upon a solicitation, including a request for proposals, request for qualifications, or request for expressions of interest, issued by the NCRC or the AWC before October 1, 2007.

Part C. Economic Development Special Account.

§ 2–1225.21. Economic Development Special Account.

(a) There is established as a nonlapsing fund the Economic Development Special Account (“Account”), which shall be used solely for the purposes set forth in this section.

(b)(1) Deposits into the Account shall include:

(A) All operating funds transferred from the Anacostia Waterfront Corporation Enterprise Fund, established by § 2-1223.14 [repealed];

(B) All operating funds transferred from the National Capital Revitalization Corporation Enterprise Fund, established by § 2-1219.08 [repealed];

(C) All fees, revenues, and other income from real property or other assets formerly under the authority of the National Capital Revitalization Corporation (“NCRC”) or the Anacostia Waterfront Corporation (“AWC”), or any of their subsidiaries, which include the RLA Revitalization Corporation, Southwest Waterfront Development Corporation, Southwest Waterfront Holdings Corporation, and Economic Development Finance Corporation;

(D) Funds authorized by an act of Congress, reprogramming, or intra- District transfer to be deposited into the Account;

(E) Any other monies designated by law to be deposited into the Account; and

(F) Interest on money deposited in the Account.

(2) Funds deposited into the Account pursuant to this subsection shall be maintained in segregated sub-accounts associated with each revenue source as the Chief Financial Officer determines necessary.

(3) The funds deposited into the Account, and any interest earned on those funds, shall not revert to the unrestricted fund balance of the General Fund of the District of Columbia at the end of a fiscal year, or at any other time, but shall be continually available for the uses and purposes set forth in subsections (c) and (d) of this section without regard to fiscal year limitation, subject to authorization by Congress.

(c) Monies credited to the Account shall be allocated annually to the Office of the Deputy Mayor for Planning and Economic Development in an aggregate amount that is equal to the total deposits and earnings that are estimated to remain unspent in the Account at the end of the preceding fiscal year plus all deposits and earnings that are estimated to be received during the fiscal year for which the allocation is made.

(d) Monies may be used to pay the costs of operating and administering properties and programs under the authority of the Deputy Mayor for Planning and Economic Development, including properties and programs formerly operated and administered by the NCRC and the AWC, to provide economic development assistance, including the provision of grants, loans, and credit support or enhancement, and to implement other programs, projects, and initiatives that:

(1) Are consistent with and in furtherance of the economic development goals or activities of the District;

(2) Further meeting the requirements of providing jobs for District residents, creating affordable housing, and restoring the District’s waterways pursuant to subchapter XIV of this chapter [§ 2-1226.01 et seq.];

(3) Support the development of a workforce intermediary pursuant to § 2-1226.03 or

(4) Facilitate the implementation of the environmental standards pursuant to part B of subchapter XIV of this chapter [§ 2-1226.31 et seq.].

(d-1) In Fiscal Year 2017 and each fiscal year thereafter, up to $3 million in monies credited to the Account may be used to fund real property tax rebates under D.C. Official Code § 47-4665.

(d-2) Monies credited to the Account may be used to provide grants authorized by § 1-328.04(j) and (k).

(e)(1) Fees, revenue, and other income that otherwise would be deposited into the Account under this section but that are subject to Community Development Block Grant regulations shall be deposited into a segregated sub-account designated for Community Development Block Grant funds and shall be subject to applicable reporting to the United States Department of Housing and Urban Development.

(2) The funds in the segregated sub-account shall be included as a segregated line item in the budget of the Department of Housing and Community Development that the Mayor is required to submit to the Council pursuant to § 1-204.42, and shall be designated for use by the Deputy Mayor for Planning and Economic Development, consistent with the requirements of the Community Development Block Grant Program.

§ 2–1225.22. Capital accounts.

(a) Any capital funds of the AWC and the NCRC transferred to the District government shall be transferred to segregated accounts in the General Capital Improvements Fund, which shall be designated specifically for capital projects of the former AWC and NCRC.

(b) The segregated accounts shall be under the expenditure authority of the Deputy Mayor for Planning and Economic Development.

Part D. Urban Renewal Plans Administered by the Former RLA and NCRC.

§ 2–1225.31. Urban renewal plans.

(a) The Mayor may, with the consent of the Council, modify the urban renewal plans for the following urban renewal areas:

(1) The Downtown Urban Renewal Area (adopted by the National Capital Planning Commission, established by § 2-1002 (“NCPC”), on January 9, 1969, and approved by the Council on January 28, 1969);

(2) The Shaw School Urban Renewal Area (adopted by the NCPC on January 9, 1969, and approved by the Council on January 28, 1969); and

(3) The Fort Lincoln Urban Renewal Area (adopted by the NCPC on May 19, 1972, and approved by the Council on July 26, 1972).

(b) The Mayor, after referral to the National Capital Planning Commission for a 30-day review period, shall transmit to the Council a proposed resolution to approve a modification authorized by this section. The proposed resolution shall be submitted for a 45-day period of review, excluding Saturdays, Sundays, legal holidays, and days of Council recess. If the Council does not approve or disapprove the proposed resolution within the 45-day review period, the proposed resolution shall be deemed approved.

Part E. Eminent Domain.

§ 2–1225.41. Eminent domain.

(a) The repeal of subchapter X of this chapter, under section 103(a) of the National Capital Revitalization Corporation and Anacostia Waterfront Corporation Reorganization Act of 2008, effective March 26, 2008 (D.C. Law 17-138; 55 DCR 1689) shall not impair or affect the validity of the acquisition by the NCRC or the RLARC of any properties nor shall the repeal affect the authority under which properties were previously taken, or for which condemnation proceedings were initiated, under § 2-1219.19 [repealed].

(b) Condemnation proceedings initiated by the NCRC or the RLARC under § 2-1219.19 [repealed] may be continued or reinstituted by the Mayor in the name of the District and the Mayor may rely upon the authority pursuant to which the NCRC or the RLARC acted as well as the findings previously made by the Council and by the NCRC or the RLARC in connection with the condemnation proceedings or the authority granted to the Mayor pursuant to § 16-1311.

§ 2–1225.42. Further exercise of eminent domain at Skyland Shopping Center.

(a) The Council affirms the findings made in section 2 of the National Capital Revitalization Corporation Eminent Domain Clarification and Skyland Eminent Domain Approval Amendment Act of 2004, effective April 5, 2005 (D.C. Law 15-286; 52 DCR 859) (“Skyland Eminent Domain Act”).

(b) The Mayor may exercise eminent domain in accordance with the procedures set forth in subchapter II of Chapter 13 of Title 16 to acquire properties in the Skyland Eminent Domain Area for the purpose of redeveloping the Skyland Shopping Center in order to achieve the public purposes set forth in section 2(a)(15) of the Skyland Eminent Domain Act.

(c) For the purposes of this section, the term “Skyland Eminent Domain Area” means: Square 5632, Lot 1; Square 5632, Lot 3; Square 5632, Lot 4; Square 5632, Lot 5; Square 5632, Lot 802; Square 5633, Lot 800; Square 5633, Lot 801; Square 5641, Lot 0010; Square 5641, Lot 0011; Square 5641, Lot 0012; Square 5641, Lot 0013; Square 5641, Lot 0819; Square 5641N, Lot 0012; Square 5641N, Lot 0013; Square 5641N, Lot 0014; Square 5641N, Lot 0015; Square 5641N, Lot 0016; Square 5641N, Lot 0017; Square 5641N, Lot 0018; Square 5641N, Lot 0019; Square 5641N, Lot 0020; Square 5641N, Lot 0021; Square 5641N, Lot 0022; Square 5641N, Lot 0023; Square 5641N, Lot 0024; Square 5641N, Lot 0025; Square 5641N, Lot 0026; Square 5641N, Lot 0027; Square 5641N, Lot 0028; Square 5641N, Lot 0029; Square 5641N, Lot 0030; Square 5641N, Lot 0031; Square 5641N, Lot 0033; Parcel 02130052; Parcel 02130060; Parcel 02130061; Parcel 02140062; Parcel 02140088; Parcel 02140104; Parcel 02140182; Parcel 02140187; Parcel 02140189; Parcel 02140190; Parcel 02140196; and any other parcel or property located within the geographic area bounded by a line beginning at a point at the intersection of the northerly line of Good Hope Road, S.E., with the northerly line of Alabama Avenue, S.E., and running northwesterly along said line of Good Hope Road, S.E., extended, to intersect a point on the east line of Naylor Road, S.E.; thence northwesterly along said line of Naylor Road to a point at the northwesterly corner of Lot 801 in Square 5633; thence northeasterly along the northerly line of said lot and square to a point at the westernmost corner of Parcel 213/52; thence continuing northeasterly along the northerly line of said Parcel 213/52 to a point at the southwesterly corner of Parcel 213/60; thence northwesterly along the arc of a curve, deflecting to the right, along the westerly line of said Parcel 213/60 to a point at the northernmost corner of said Parcel 213/60; thence southeasterly along the easterly lines of said Parcels 213/60 and 213/52 to a point at the northwesterly corner of Lot 33 in Square North of Square 5641; thence easterly along the north property lines of said Lot 33 and Lots 16 through 31, both inclusive, in Square north of Square 5641 to a point at the northeast corner of said Lot 31 in said square; thence south along the east line of said Lot 31 in said square to a point at the southeast corner thereof; thence westerly along the south lines of said Lots 31, 30, 29, 28, 27, 26, 25, 24, 23 and 22 in said square to a point at the southwest corner of said Lot 22 to intersect a line drawn northwesterly from the northeast corner of Lot 12 in Square North of Square 5641; thence southeasterly along said line drawn and the east line of said Lot 12 in said square to a point at the southeast corner thereof to a point that intersects a line drawn northwesterly from the northeast corner of Lot 13 in Square 5641; thence southeasterly along said line drawn and the east line of said Lot 13 in said square to a point at the southeast corner thereof; thence southwesterly along the south property lines of Lots 13 and 12 in Square 5641 to a point that intersects a line drawn northwesterly from the northeast corner of Lot 819 in Square 5641; thence southeasterly along said line drawn and the east line of said Lot 819 in said square to a point at the southeast corner of said Lot 819 in said square, on the north line of Alabama Avenue, S.E.; and thence southwesterly along the arc of a circle deflecting to the right along said line of Alabama Avenue, to the point of beginning.

Subchapter XIV. Economic Development along the Anacostia Waterfront.

Part A. Anacostia Waterfront Initiative and Framework Plan.

§ 2–1226.01. Implementation of the Framework Plan.

(a) For all projects within the Anacostia Waterfront Development Zone, the Mayor shall:

(1) Implement, induce, assist, facilitate, and coordinate implementation of the Anacostia Waterfront Framework Plan, dated November 2003, as amended or supplemented (“Framework Plan”), and any small area plans within the Anacostia Waterfront Development Zone approved by the Council;

(2) Induce, assist, and facilitate efforts to improve the environmental integrity of waterways within the Anacostia Waterfront Development Zone; and

(3) Exercise regional leadership for the restoration of the Anacostia River.

(b) The Mayor may amend or supplement the Framework Plan; provided, that a proposed amendment or supplement shall be:

(1) Made available by the Mayor to the public for a 30-day period of public review and comment; and

(2) Submitted to the Council for a 60-day period of review, excluding days of Council recess, along with a proposed resolution to approve the proposed amendment or supplement. If the Council does not approve or disapprove the proposed resolution within the 60-day period, the proposed amendment or supplement shall be deemed disapproved.

§ 2–1226.02. Provisions applicable to development projects located within the Anacostia Waterfront Development Zone.

(a) In contracting with general contractors, developers, or construction managers on, and in providing assistance of over $100,000 to, a development project located within the Anacostia Waterfront Development Zone, the Mayor shall require the general contractor, developer, and construction manager of the development project to engage in good faith efforts to:

(1) Procure and contract 35% of the dollar volume of its goods and services, including construction goods and services, with local, small, and disadvantaged business enterprises, with a preference for at least 10% of those enterprises located in Ward 8;

(2) Ensure that at least 51% of the new jobs created in connection with the project are filled by residents of the District, with a preference for at least 20% of those jobs designated for residents in Ward 8; and

(3) Utilize the workforce intermediary as defined in § 2-1226.03 as the primary means of meeting the hiring requirement of paragraph (2) of this subsection.

(b)(1) With respect to development projects on real property owned, controlled, or disposed of by any instrumentality of the District within the Anacostia Waterfront Development Zone, no less than 15% of the residential units shall be affordable to moderate-income households and at least 15% of the units shall be affordable to low-income households.

(2) For the purposes of this subsection, the term:

(A) “Affordable” means housing for which a household at the required affordability level will pay no more than 30% of its income toward gross housing costs for 50 years in the case of rental units, and 20 years for homeownership units.

(B) “Area median income” means:

(i) For a household of 4 persons, the area median income for a household of 4 persons in the Washington Metropolitan Statistical Area as set forth in the periodic calculation provided by the United States Department of Housing and Urban Development;

(ii) For a household of 3 persons, 90% of the area median income for a household of 4 persons;

(iii) For a household of 2 persons, 80% of the area median income for a household of 4 persons;

(iv) For a household of one person, 70% of the area median income for a household of 4 persons; and

(v) For a household of more than 4 persons, the area median income for a household of 4 persons, increased by 10% of the area median income for a family of 4 persons for each household member exceeding 4 persons.

(C) “Low-income household” means a household consisting of one or more persons with income equal to or less than 30% of the area median income.

(D) “Moderate-income household” means a household consisting of one or more persons with income equal to or less than 60% of the area median income and greater than 30% of the area median income.

(3) Any percentage of household income referenced in this subsection shall be determined through a direct mathematical calculation and shall not take into account any adjustments made by the United States Department of Housing and Urban Development for the purposes of the programs it administers.

§ 2–1226.03. Workforce intermediary.

(a) The Mayor shall use a workforce intermediary as the primary means of meeting the hiring requirements of § 2-1226.02(a)(2).

(b)(1) If prior to July 20, 2007, the former AWC has selected an organization or organizations to serve as a workforce intermediary, the Mayor shall continue to use the organization or organizations as a workforce intermediary; provided, that the Mayor may select additional organizations and may terminate the use of the organization or organizations selected by the former AWC.

(2) If prior to July 20, 2007, the former AWC has not selected an organization or organizations to serve as a workforce intermediary, then by August 20, 2007, the Mayor shall issue a request for proposals designed to select an organization or organizations to serve as a workforce intermediary. Within 120 days after issuing the request for proposals, the Mayor shall select an organization or organizations to serve as a workforce intermediary.

(c) For the purposes of this section, the term “workforce intermediary” means an entity established or chosen by the Mayor, or the former AWC, that is modeled on similar, successful entities in other cities and is designed to meet the hiring goals of § 2-1226.02(a)(2) by coordinating the needs and capacities of businesses that are creating new jobs in the Anacostia Waterfront Development Zone, workforce development organizations that serve residents of the District, and residents of the District who are seeking jobs in the Anacostia Waterfront Development Zone.

§ 2–1226.04. Definition of Anacostia Waterfront Development Zone.

For the purpose of this subchapter, the term “Anacostia Waterfront Development Zone” means:

(1) Interstate 395 and all rights-of-way of Interstate 395, within the District, except for the portion of Interstate 395 that is north of E Street, S.W., or S.E.;

(2) All land between that portion of Interstate 395 that is south of E Street, S.W., or S.E., and the Anacostia River or Washington Channel;

(3) All land between that portion of Interstate 695, and all rights-of-way, that are south of E Street, S.W. or S.E., and the Anacostia River;

(4) The portion of Interstate 295 that is north of the Anacostia River, within the District, and all rights-of-way of that portion of Interstate 295;

(5) All land between that portion of Interstate 295 that is north of the Anacostia River and the Anacostia River;

(6) The portions of:

(A) The Anacostia Freeway that are north or east of the intersection of the Anacostia Freeway and Defense Boulevard and all rights-of-way of that portion of the Anacostia Freeway;

(B) Kenilworth Avenue that extend to the northeast from the Anacostia Freeway to Eastern Avenue; and

(C) Interstate 295, including its rights-of-way, that are east of the Anacostia River and that extend to the southwest from the Anacostia Freeway to Defense Boulevard.

(7) All land between those portions of the Anacostia Freeway, Kenilworth Avenue, and Interstate 295 described in paragraph (6) of this section and the Anacostia River;

(8) All land that is adjacent to the Anacostia River and designated as parks, recreation, and open space on the District of Columbia Generalized Land Use Map, dated January 2002, except for the land that is:

(A) North of New York Avenue, N.E.;

(B) East of the Anacostia Freeway; including rights-of-way of the Anacostia Freeway;

(C) East of the portion of Kenilworth Avenue that extends to the northeast from the Anacostia Freeway to Eastern Avenue;

(D) East of the portion of Interstate 295, including its rights-of-way, that is east of the Anacostia River and that extends to the southwest from the Anacostia Freeway to Defense Boulevard, but excluding the portion of 295 and its rights-of-way that go to the northwest across the Anacostia River;

(E) Contiguous to that portion of the Suitland Parkway that is south of Martin Luther King, Jr. Avenue; or

(F) South of a line drawn along, and as a continuation both east and west of the center line of the portion of Defense Boulevard between Brookley Avenue, S.W., and Mitscher Road, S.W.;

(9) All land, excluding Eastern High School, that is:

(A) Adjacent to the land described in paragraph (8) of this section;

(B) West of the Anacostia River; and

(C) Designated as a local public facility on the District of Columbia Generalized Land Use Map, dated January 2002;

(10) All land that is:

(A) South or east of that portion of Potomac Avenue, S.E., between Interstate 295 and 19th Street, S.E.; and

(B) West or north of the Anacostia River;

(11) The portion of the Anacostia River within the District; and

(12) The Washington Channel.

Part B. Anacostia Waterfront Environmental Standards.

§ 2–1226.31. Short title.

This part may be cited as the “Anacostia Waterfront Environmental Standards Act of 2008”.

§ 2–1226.32. Definitions.

For the purposes of this part, the term:

(1) “Applicant” shall have the same meaning as set forth in § 6-1451.01(2).

(1A) “Complete stormwater management plan” means a plan, with required supporting documentation, that demonstrates compliance with each applicable stormwater management requirement, as determined by DDOE.

(1B) “Current edition” shall have the same meaning as provided in § 6-1451.01(8A).

(1C) “DDOE” means the District Department of the Environment.

(1D) “District-financed” or “District instrumentality-financed” shall have the same meaning as provided in § 6-1451.01(10A).

(1E) “First building permit” shall have the same meaning as provided in § 6-1451.01(14A).

(2) “Green Building Act” means the Chapter 14A of Title 6.

(3) “LEED” shall have the same meaning as provided in § 6-1451.01(26).

(3A) “LEED standard for commercial and institutional buildings” shall have the same meaning as provided in § 6-1451.01(31A).

(4) “New construction” shall have the same meaning as set forth in § 6-1451.01(33).

(5) “Project” shall have the same meaning as set forth in § 6-1451.01(35).

(6) Repealed.

(7) “Substantial improvement” shall have the same meaning as set forth in § 6-1451.01(40).

§ 2–1226.33. Applicability of part.

(a) This part shall apply to all new construction and substantial improvement projects located within the Anacostia Waterfront Development Zone, as defined in § 2-1226.04:

(1) That are District-owned or District instrumentality-owned;

(2) Where at least 15% of a project’s total cost is District-financed or District instrumentality-financed; or

(3) That include a gift, lease, or sale from District-owned or District instrumentality-owned property to a private entity.

(b) The requirements of § 2-1226.36 shall not apply to projects which, as of October 23, 2012, have:

(1) Applied for a first building permit; or

(2) Submitted a complete stormwater management plan to DDOE.

(c) Repealed.

(d) Repealed.

§ 2–1226.34. Integrated environmental design standards.

All projects subject to this part shall comply with the following integrated environmental design standards:

(1) The applicant for the project shall engage in pre-development and on-going consultation with appropriate District officials to review the plans of the applicant to ensure compliance with the standards imposed by this part.

(2) The applicant for the project shall retain a LEED-accredited professional or maintain an experienced LEED-accredited member on-staff.

(3) The applicant for the project shall prepare and submit to the Mayor a sustainability plan as a component of the concept design package, which shall identify the project approach and elements used to satisfy the requirements of this part. The sustainability plan shall include an analysis of energy use, green building, site planning and preservation, and stormwater management.

(4) The applicant for the project shall submit to the Mayor any draft or final checklists and other materials submitted to demonstrate LEED, Green Communities, and ENERGY STAR compliance.

§ 2–1226.35. Green building standards.

(a) All projects subject to this section shall comply with the following green building standards:

(1) Non-residential new construction or substantial improvement projects shall:

(A) Fulfill or exceed the current edition of the LEED standard for commercial and institutional buildings at the gold level;

(B) Fulfill or exceed the current edition of the LEED standard for commercial and institutional buildings at the gold level for improvements to interiors of new or existing non-residential buildings;

(C) Comply with the ENERGY STAR requirements of the Green Building Act and, in addition:

(i) Achieve 85 points on the Environmental Protection Agency national energy performance rating system; and

(ii) Be designed to be 30% more energy efficient than required by ASHRAE 90.1 2004, or a later standard adopted by the Mayor pursuant to § 2-1226.41; and

(D) Provide ENERGY STAR Benchmark and Target Finder scores and ENERGY STAR statements to the DDOE and the Department of Consumer and Regulatory Affairs (“DCRA”) within 60 days after the scores are generated; and

(2)(A) Residential new construction and substantial improvement projects shall:

(i) Fulfill or exceed the current edition of the LEED standard for commercial and institutional buildings at the silver level; and

(ii) Achieve the ENERGY STAR label and be 30% more energy efficient than required by ASHRAE 90.1 2004, or such later standard adopted by the Mayor pursuant to § 2-1226.41; and

(B) Residential new construction and substantial improvement projects may, if the project is a District-financed project that receives public financing for the purpose of assisting in the new construction or substantial rehabilitation of affordable housing, apply the Green Communities standards as an alternative to LEED for the affordable units within the project; provided, that the project shall achieve the ENERGY STAR label and be 30% more energy efficient than required by ASHRAE 90.1 2004, or a later standard adopted by the Mayor pursuant to § 2-1226.41.

(b) The Mayor shall encourage developers to seek to align the project design with the greenhouse gas reduction goals in the “2030 Challenge” as adopted by the American Institute of Architects and United States Conference of Mayors.

(c) The DDOE, in coordination with the DCRA and other appropriate agencies shall, to the greatest extent practical, coordinate the implementation of the standards established by this section with implementation of the Green Building Act.

§ 2–1226.36. Stormwater control standards.

(a) This section shall apply to the new construction and substantial improvement projects identified in § 2-1226.33 that disturb 5,000 square feet or greater of soil or that have a building footprint of 5,000 square feet or greater.

(b) Private and public space, including buildings, sidewalks, streets, and lawns, within a project subject to this part that discharge directly to the waters of the District, or to either a separate or combined sewer system, shall be designed, constructed, and maintained to comply with the following:

(1) Manage stormwater by:

(A) The reduction of the volume of stormwater run-off created during a 24-hour one-inch storm event following 72 hours of dry conditions, via on-site retention through DDOE-approved practices, including those that incorporate one or more of the following: infiltration, evapo-transpiration, and beneficial reuse; and

(B) The improvement of stormwater quality by filtering the stormwater from the 95th percentile storm flowing from a project, by passing the flow through a vegetated filtering medium or other on-site controls designed to remove sediment and pollutants of concern as identified in permits by the DDOE or the District of Columbia Water and Sewer Authority so that, according to DDOE’s determination, the discharge will not cause the exceedance of any water-quality standard applicable to the receiving water or cause interference or pass-through of pollutants at the Blue Plains receiving facility;

(2) Achieve the required level of stormwater control using the following DDOE-approved methods, in the following order of preference:

(A) Vegetated controls designed to retain and beneficially use stormwater;

(B) Where compatible with groundwater protection, non-vegetated controls designed to promote infiltration;

(C) Other low-impact development practices;

(D) Collection and reuse of stormwater for on-site irrigation; and

(E) Other on-site design methods or practices;

(3) Employ, where feasible, DDOE-approved low-impact development technologies for public spaces regulated by the District Department of Transportation;

(4) Restrict the on-site use of fertilizers, pesticides, and herbicides, through use of a DDOE-approved integrated pest management plan;

(5) Design stormwater controls to prevent migration of stormwater into contaminated underlying soils or groundwater;

(6) Certify that remediation of contaminated soils or groundwater is either completed as part of the development or that properly functioning long-term remedial measures are in place;

(7) Treat any groundwater produced at a project during construction or after completion of construction to remove sediment and pollutants of concern as required by DDOE or the United States Environmental Protection Agency, depending on which agency has jurisdiction; and

(8) Provide that any groundwater discharged from the site into the sanitary sewer system conforms to District of Columbia Water and Sewer Authority requirements designed to ensure that the discharge will not cause or contribute to the exceedance of any water quality standard applicable to the receiving water or cause interference or pass-through of pollutants at the Blue Plains receiving facility.

(c)(1) If DDOE determines that, based on site conditions such as soil or groundwater contamination, local geology, or impacts on surrounding landowners, the substantial weight of the evidence limits the feasibility or appropriateness of the on-site stormwater management required by subsection (b)(1) of this section:

(A) Either off-site mitigation or payment in lieu of mitigation, or a combination thereof, shall be used to satisfy:

(i) The difference between the on-site stormwater reduction volume required by subsection (b)(1)(A) of this section and the volume of on-site stormwater reduction achieved; and

(ii) The difference between the on-site filtration required by subsection (b)(1)(B) of this section, and the volume of filtration achieved;

(B) Off-site mitigation shall be a reduction of stormwater volume equal to the off-site volume and shall be maintained for the life of the primary project; provided, that if the off-site mitigation is located outside the Anacostia Watershed, the volume treated shall equal 1.25 times the volume that would have been required to be treated on site; and

(C) Payment in lieu of mitigation shall be equal to the cost for DDOE to reduce the off-site volume for the life of the primary project. DDOE shall determine this payment based on DDOE’s fully burdened and inflation-adjusted cost of retention to achieve stormwater volume reduction via infiltration, evapo-transpiration, re-use practices, or other methods or practices approved by DDOE, for a site determined by DDOE.

(2) For the purposes of this subsection, the term “off-site volume” shall mean the difference between the requirements of subsection (b)(1)(A) or (b)(1)(B) of this section, and the volume of on-site stormwater management achieved.

(d) A payment in lieu of mitigation shall be:

(1) Deposited in the Anacostia River Clean Up and Protection Fund, established by § 8-102.05; and

(2) Used to achieve stormwater volume reduction in the Anacostia watershed.

(e) Under circumstances described in subsection (c) of this section, transportation projects, or substantially similar projects undertaken by a public utility, in the existing public right-of-way shall be exempt from the requirement for off-site mitigation or payment in lieu of mitigation.

§ 2–1226.37. Marina standards.

New or existing marinas within the Anacostia Waterfront Development Zone shall comply with the program elements outlined in the Clean Marina Guidebook issued by the National Park Service. The owner or applicant for the marina shall submit a copy of its Clean Marina Checklist and any supporting documentation to the DDOE.

§ 2–1226.38. Site planning and preservation standards.

Projects subject to this part shall comply with the following site planning and preservation standards:

(1) The project shall be designed to ensure continued public access to the Anacostia River and associated waterways and to the Anacostia riverwalk and trail system.

(2) Existing public parks shall be preserved and the Mayor shall endeavor to minimize encroachment unless there is no feasible alternative. If the project encroaches on a public park, the encroachment shall be mitigated in kind at a minimum acreage ratio of at least 1-to-1 and the mitigation shall be of equal or greater quality than the parkland that is lost.

(3) No construction or development shall disturb delineated wetlands or land within 100 feet of delineated wetlands, which shall be maintained as a buffer, unless the DDOE and the U.S. Army Corps of Engineers both agree that construction in these areas cannot reasonably be avoided. Any impacts on wetlands approved by the DDOE shall require mitigation in-kind at a minimum acreage ratio of 3-to-1. The mitigation shall be provided on-site, unless on-site locations are unavailable or infeasible as determined by both the DDOE and the United States Army Corps of Engineers. Preference for mitigation should be given to restoring degraded wetlands or recreating former wetlands, not creating new wetlands. On-site remaining wetlands and buffers that are not impacts and off-site mitigation areas shall be permanently protected.

(4)(A) Streams that have been diverted into pipes or other constructed conveyances shall be daylit unless determined by the DDOE to be infeasible.

(B) For the purposes of this paragraph, the word “daylit” means the redirection of streams into above-ground channels in order to restore the streams to a more natural state and to enhance the riparian environment and ecological integrity of the Anacostia River system.

(5) The applicant shall ensure protection or creation of woodland and meadow riparian buffer zones along each bank of the Anacostia River defined in the Anacostia Waterfront Initiative Framework Plan of between 50 and 300 feet along the main channel of the Anacostia River, except where necessary to ensure public access and use of the waterfront. Development along tributary streams of the Anacostia River shall maintain a minimum riparian buffer of 25 feet. The DDOE may require a wider buffer along the channel or tributary streams where it is determined that a wider buffer zone is necessary to protect waterways.

(6) Roadways shall comply with the Anacostia Waterfront Transportation Architecture Design Standards developed by the DDOT.

(7) Projects shall incorporate planted vegetated buffers within the right-of-way of all roadways to increase tree cover and shade, mitigate traffic noise, absorb toxic emissions, and minimize stormwater runoff at levels determined by the DDOE by rulemaking.

(8) Projects shall ensure sufficient tree planting to provide canopy coverage within 20 years of project occupancy of 30% of non-roof impervious surfaces and 40% of overall-non-roof surfaces within the project area.

(9) Development along both sides of the Anacostia River and along associated waterways shall, unless determined by the DDOE to be infeasible, include continuous, publicly accessible trails that comply with the Anacostia Riverparks Plan and Riverwalk Design Guidelines.

(10) Projects shall coordinate with the DDOE on any habitat restoration activity to ensure consistency with the DDOE’s Wildlife Action Plan.

§ 2–1226.39. Exemptions to requirements.

(a) The DDOE may grant, upon a showing of good cause, an exemption from a requirement of this part, in whole or in part, if:

(1) The substantial weight of the evidence is of a practical infeasibility or hardship of meeting the requirement; and

(2) The public interest would be better served by the exemption.

(b) When considering a request for an exemption, the DDOE may consider alternative measures proposed by the applicant.

(c) The DDOE shall give notice of any exemption granted pursuant to this section to the Council and affected Advisory Neighborhood Commission no less than 10 days from the date the exemption is granted. Notice of the exemption shall be published in the District of Columbia Register before the exemption may take effect.

§ 2–1226.40. Relationship to Green Building Act, the Water Pollution Control Act, and other laws.

Where the environmental standards established by this part differ from those in Chapter 14A of Title 6, subchapter II of Chapter 1 of Title 8 [§ 8-103.01 et seq.], or other District law or regulation, the more stringent standard shall apply.

§ 2–1226.40a. Power and authority.

With respect to projects that are subject to this part and projects completed for off-site mitigation or payment in lieu of mitigation, DDOE shall have the authority to:

(1) Monitor, inspect, review, approve, approve with conditions and covenants, and deny approval;

(2) Require monitoring, sampling, analysis, record-keeping and certification of ongoing compliance;

(3) Establish provisions, requirements, and penalties for off-site mitigation or payment in lieu of mitigation options, and for projects that fail to comply with their off-site mitigation or payment-in-lieu-of-mitigation requirements; and

(4) Recover costs, fees and expenses.

§ 2–1226.40b. Savings and transition.

(a) If a conflict exists between the existing stormwater control rules of Chapter 5 of Title 21 of the District of Columbia Municipal Regulations (21 DCMR § 500 et seq.) and the standards set forth in § 2-1226.36, the standards in § 2-1226.36 shall govern; provided, that neither § 2-1226.36 nor subsection (b) of this section shall apply to projects that have submitted a complete stormwater management plan or first building permit application to the Mayor before October 23, 2012.

(b) Notwithstanding § 2-1226.40, if a conflict should arise between § 2-1226.36 and new stormwater rules promulgated by DDOE, pursuant to § 8-103.20, the new stormwater rules shall supersede § 2-1226.36, except for the following provisions:

(1) Subsections (b)(1)(B), (b)(2), (b)(3), and (b)(5);

(2) Subsection (c)(2);

(3) Subsection (d)(2); and

(4) Subsection (e).

(c) Notwithstanding subsection (b) of this section, subsection (a) of this section shall continue to govern projects that have submitted a complete stormwater management plan or first building permit application to the Mayor before the effective date of those new stormwater rules.

(d) DDOE may issue rules specific to the Anacostia Waterfront Development Zone, including special stormwater mitigation measures that benefit the Anacostia River. The rules shall:

(1) Supersede § 2-1226.36 upon the effective date of rules specific to the Anacostia Waterfront Development Zone, which shall include special stormwater mitigation measures for the zone; and

(2) Be submitted to the Council for a 45-day period of review, excluding Saturdays, Sundays, legal holidays, and days of Council recess. If the Council does not approve or disapprove the proposed rules, in whole or in part, by resolution within this 45-day review period, the proposed rules shall be deemed approved. Nothing in this section shall affect any requirements imposed upon the Mayor by subchapter I of Chapter 5 of this title.

§ 2–1226.41. Rulemaking.

(a) The Mayor may issue rules to implement the requirements of this part.

(b) Repealed.

(c) Repealed.

Subchapter XV. Walter Reed Development

§ 2–1227.01. Definitions.

For the purposes of this subchapter, the term:

(1) "Army" means the United States Department of the Army.

(2) "Administration Payments" means those payments from the Developer and Component Developers to the District to reimburse the District for certain costs associated with the Walter Reed Redevelopment Site and the redevelopment thereof in accordance with the terms of the LDA.

(3) "Base Closure Act" means the Defense Base Closure and Realignment Act of 1990, approved November 5, 1990 (104 Stat. 1485; 10 U.S.C. § 2687, note).

(4) "Certified Business Enterprise" means a business enterprise or joint venture certified pursuant to subchapter IX-A of Chapter 2 of this title.

(5) "Component Developer" means an entity approved by the Mayor pursuant to the terms of the LDA, who shall agree to construct a portion of the Vertical Development on the Walter Reed Redevelopment Site.

(6) "Developer" means TPWR Developer LLC, a joint venure comprised of Hines WR LLC, UAD Walter Reed LLC (Urban Atlantic), and Triden Development Group, LLC and any such successor or assigns as may be approved by the Mayor.

(7) "EDC Agreement" means the agreement between the District and the Army for the Economic Development Conveyance of the Army’s fee simple interest in the Walter Reed Redevelopment Site to the District.

(8) "First Source Agreement" means an agreement governing certain obligations of the Developer and each Component Developer pursuant to § 2-219.03 , and Mayor’s Order 83-265 (November 9, 1983), regarding job creation and employment generated as a result of the construction of the Horizontal Development and the Vertical Developments.

(9) "Horizontal Development" means development and construction of the horizontal and infrastructure work on the Walter Reed Redevelopment Site as required under the LDA.

(10) "LDA" means the Land Disposition Agreement between the District and Developer that memorializes the terms of the disposition of the Walter Reed Redevelopment Site, which shall be consistent with the Term Sheet and this subchapter.

(11) "Legally Binding Agreement" means an agreement between the District, as the Walter Reed LRA, and a homeless assistance provider that commits the provider to implement and operate certain homeless assistance services on the Walter Reed Redevelopment Site, as approved by the U.S. Department of Housing and Urban Development.

(12) "Memorandum of Agreement" means an agreement between the District, as the Walter Reed LRA, and a public benefit provider for the potential transfer of real property on the Walter Reed Redevelopment Site.

(13) "Term Sheet" means the amended term sheet dated January 28, 2016, executed by the Developer and the Office of the Deputy Mayor for Planning and Economic Development.

(14) "Vertical Development" means the development and construction of buildings and associated improvements to the Walter Reed Development Site pursuant to the LDA.

(15) "Walter Reed Common Area Association" means the "Owners’ Association" created pursuant to the terms of the LDA to manage the operations of the Walter Reed Redevelopment Site.

(16) "Walter Reed LRA" means the District of Columbia government, the local redevelopment authority created by Mayor's Order No. 2006-21 and recognized by the Office of Economic Adjustment on behalf of the Secretary of Defense.

(17) "Walter Reed Redevelopment Site" means approximately 66.27 acres of land located on a portion of the area bounded by Fern Street, N.W., and Alaska Avenue, N.W., to the north, 16th Street, N.W., to the west, Aspen Street, N.W., to the south, and Georgia Avenue, N.W., to the east, known as Parcel 0319/0004 and a portion of Parcel 0319/0005.

(18) "Walter Reed Reuse Plan" means the Walter Reed Local Redevelopment Authority Reuse Plan approved by Council pursuant to § 10-1903.

(19) "Walter Reed Site" means the approximately 110.1 acres of land located in the area bounded by Fern Street, N.W., and Alaska Avenue, N.W., to the north, 16th Street, N.W., to the west, Aspen Street, N.W., to the south, and Georgia Avenue, N.W., to the east, and identified in the Walter Reed Reuse Plan at Figure A-01: Site Boundaries and Areas.

§ 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.

(c) The Council approved the Walter Reed Reuse Plan and the Legally Binding Agreements pursuant to § 10-1903.

(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.

§ 2–1227.03. EDC Agreement approval.

Consistent with § 1-204.51(b), the Mayor shall transmit the EDC Agreement to the Council for its approval.

§ 2–1227.04. Approval of disposition of Walter Reed Redevelopment Site.

Notwithstanding subchapter I of Chapter 8 of Title 10, the Mayor is authorized to dispose of:

(1) The Walter Reed Redevelopment Site pursuant to the terms of the Term Sheet by ground lease for a term of less than 30 years to Developer;

(2) Portions of the Walter Reed Redevelopment Site by ground lease to the selected public benefit providers and homeless assistance providers;

(3) Portions of the Walter Reed Redevelopment Site in fee simple to Component Developers, the Walter Reed Common Area Association, and the selected homeless assistance providers; and

(4) Portions of the Walter Reed Redevelopment Site by easement to utility providers to the extent necessary for the development of the Horizontal Development and Vertical Development.

§ 2–1227.05. Walter Reed Reinvestment Fund.

*NOTE: This section includes amendments by temporary legislation that will expire on July 10, 2024. To view the text of this section after the expiration of all emergency and temporary legislation affecting this section, click this link: Permanent Version.*

(a) There is established as a special fund the Walter Reed Reinvestment Fund ("Fund"), which shall be administered by the Office of the Deputy Mayor for Planning and Economic Development and used solely for the purposes set forth in subsection (c) of this section.

(b) The Chief Financial Officer shall deposit into the Fund all proceeds from the sale, lease, or equivalent use of the Walter Reed Redevelopment Site, including the Administration Payments, except for:

(1) Proceeds that are used to pay the Army consideration due under the EDC Agreement; and

(2) Funds received from the Developer to reimburse the District for payments to the Army made pursuant to the EDC Agreement.

(b-1) Notwithstanding subsection (b)(2) of this section and § 1-328.13, funds received from the Developer after October 1, 2023, as an installment of Initial Consideration Payment under the Walter Reed Land and Disposition Agreement shall be deposited into the Fund and issued as a grant to the Developer to pay or reimburse costs it has incurred or will incur for the purposes set forth in subsection (c)(1) of this section.

(c) The Fund shall be used solely:

(1) To support job creation and economic development of, or related to, the Walter Reed Redevelopment Site, including to pay for:

(A) Road construction;

(B) Transportation management facilities;

(C) Storm and sanitary sewer construction;

(D) Police and fire protection facilities and other public facilities;

(E) Utility construction;

(F) Building rehabilitation;

(G) Historic property preservation;

(H) Pollution protection equipment or facilities;

(I) Demolition;

(J) Disposal of hazardous materials and hazardous waste generated by demolition;

(K) Landscaping, grading, and other site or public improvements; and

(L) Planning for or the marketing of the redevelopment or use of the Walter Reed Redevelopment Site;

(2) For other purposes permitted by the EDC Agreement; and

(3) To make payments due to the Army required under the EDC Agreement during the first 7 years after the date the District acquires the Walter Reed Redevelopment Site from the Army and thereafter for the purposes stated in this section and the economic development goals or activities of the District.

(d) The Office of the Deputy Mayor for Planning and Economic Development shall have the authority to make grants from the Fund to recipients in furtherance of the purposes set forth in subsection (c) of this section

(e)(1) The money deposited into the Fund, and interest earned, shall not revert to the unrestricted fund balance of the General Fund of the District of Columbia at the end of a fiscal year, or at any other time.

(2) Subject to authorization in an approved budget and financial plan, any funds appropriated in the Fund shall be continually available without regard to fiscal year limitation.

§ 2–1227.06. Walter Reed Redevelopment Fund.

(a) There is established as a special fund the Walter Reed Redevelopment Fund ("Fund"), which shall be administered by the Office of the Deputy Mayor for Planning and Economic Development and used solely for the purposes set forth in subsection (c) of this section.

(b) The Chief Financial Officer shall deposit into the Fund all funds received pursuant to § 47-1005.01 attributable to the Developer’s lease of the Walter Reed Redevelopment Site for the period ending on the last day of the tax year that is 10 years after the date on which the Developer commences the demolition of Building 2 on the Walter Reed Redevelopment Site in accordance with the requirements of the LDA.

(c) The Fund shall be used solely to support the maintenance, operation, and construction activities on the Walter Reed Redevelopment Site.

(d) Notwithstanding § 1-328.13, the Office of the Deputy Mayor for Planning and Economic Development shall have the authority to make grants from the Fund for the purposes set forth in subsection (c) of this section.

(e)(1) The money deposited into the Fund, and interest earned, shall not revert to the unrestricted fund balance of the General Fund of the District of Columbia at the end of a fiscal year, or at any other time.

(2) Subject to authorization in an approved budget and financial plan, any funds appropriated in the Fund shall be continually available without regard to fiscal year limitation.

§ 2–1227.07. Additional Walter Reed Site acquisition and procurement authority.

(a) The Mayor may acquire by purchase, exchange, donation, assignment, bequest, or other means, real property located on the Walter Reed Site.

(b)(1) The provisions of subchapter I of Chapter 26 of Title 50 shall not apply to the acquisition by the Mayor of property located on the Walter Reed Site or the use of such property as a parking facility.

(2) Notwithstanding Chapter 3A of this title, and consistent with § 1-204.51, the Mayor may enter into a contract with Children's National at Walter Reed, LLC, or an affiliate thereof, for the operation and maintenance of property acquired pursuant to this section; provided, that the entity that contracts with the Mayor shall agree to be subject to the contracting and procurement requirements set forth in subpart 2 of part D of subchapter IX-A of Chapter 2 of this title and the employment and job creation requirements set forth in § 2-219.03.

(3) The contract entered into pursuant to paragraph (2) of this subsection shall require Children's National at Walter Reed, LLC or its affiliate to give priority when subcontracting to businesses certified as small business enterprises pursuant to § 2-218.32 or as disadvantaged business enterprises pursuant to § 2-218.33, and to do so in a manner to be negotiated between the Mayor and Children's National at Walter Reed, LLC or its affiliate.