District Of Columbia 2023-2024 Regular Session

District Of Columbia Council Bill B25-0095 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	ENROLLED ORIGINAL
2		-
3		-
4		-
5	1
6	2		1
7	3
8		-	AN ACT
9		-
10		-	____________
11		-
12		-	IN THE COUNCIL OF THE DISTRICT OF COLUMBIA
13		-
14		-	__________________
15		-
16		-
17		-	To authorize, on an emergency basis, the issuance of general obligation bonds and general
18		-	obligation bond anticipation notes of the District of Columbia for the purposes of
19		-	financing certain capital projects and the refunding of certain capital indebtedness of the
20		-	District of Columbia during fiscal years 2023 through 202 8.
21		-
22		-	BE IT ENACTED BY THE COUNCIL OF THE DISTRICT OF COLUMBIA, That this act
23		-	may be cited as the "General Obligation Bonds and Bond Anticipation Notes for Fiscal Years 20 23-
24		-	2028 Authorization Emergency Act of 202 3".
25		-
26		-	Sec. 2. Definitions.
27		-	For the purposes of this act, the term:
28		-	(1) "Additional Bonds" means District general obligation bonds that may be
29		-	issued pursuant to section 461 of the Home Rule Act and any act enacted subsequent to this act
30		-	on a parity with the bonds.
31		-	(2) "Additional Notes" means District general obligation bond anticipation notes
32		-	that may be issued pursuant to section 475 of the Home Rule Act and any act enacted subsequent to
33		-	this act on a parity with the notes.
34		-	(3) "Authorized Delegate"' means any officer or employee of the executive office of
35		-	the Mayor to whom the Mayor has delegated any of the Mayor's functions under this act pursuant to
36		-	section 422(6) of the Home Rule Act, including, but not limited to, the Chief Financial Officer, the
37		-	City Administrator, and the Treasurer of the District of Columbia.
38		-	(4) "Bond Counsel" means a firm or firms of attorneys designated as bond
39		-	counsel or co-bond counsel from time to time by the Mayor or an Authorized Delegate.
40		-	(5) "Bonds" means District general obligation bonds authorized to be issued
41		-	pursuant to this act, including any refunding bonds.
42		-	(6) "Capital Projects" means the District capital projects as defined in section
43		-	103(8) of the Home Rule Act.
44		-	(7) "Deposit and Investment Act" means the Financial Institutions Deposit and
45		-	Investment Amendment Act of 1997, effective March 18, 1998 (D.C. Law 12-56; D.C. Official
46		-	Code § 47- 351.01
47		-	et seq.).
48		-
49		-
50		-	ENROLLED ORIGINAL
51		-
	4	+	______________________________ 1
	5	+	Councilmember Kenyan R. McDuffie 2
	6	+	3
	7	+	4
	8	+	A BILL 5
	9	+	6
	10	+	____________ 7
	11	+	8
	12	+	IN THE COUNCIL OF THE DISTRICT OF COLUMBIA 9
	13	+	10
	14	+	__________________ 11
	15	+	12
	16	+	13
	17	+	To authorize, on an emergency basis, the issuance of general obligation bonds and general 14
	18	+	obligation bond anticipation notes of the District of Columbia for the purposes of 15
	19	+	financing certain capital projects and the refunding of certain capital indebtedness of the 16
	20	+	District of Columbia during fiscal years 2023 through 2028. 17
	21	+	18
	22	+	BE IT ENACTED BY THE COUNCIL OF THE DISTRICT OF COLUMBIA, That this act 19
	23	+	may be cited as the "General Obligation Bonds and Bond Anticipation Notes for Fiscal Years 2023-20
	24	+	2028 Authorization Emergency Act of 2023". 21
	25	+	22
	26	+	Sec. 2. Definitions. 23
	27	+	For the purposes of this act, the term: 24
	28	+	(1) "Additional Bonds" means District general obligation bonds that may be issued 25
	29	+	pursuant to section 461 of the Home Rule Act and any act enacted subsequent to this act on a parity 26
	30	+	with the bonds. 27
	31	+	(2) "Additional Notes" means District general obligation bond anticipation notes 28
	32	+	that may be issued pursuant to section 475 of the Home Rule Act and any act enacted subsequent to 29
	33	+	this act on a parity with the notes. 30
	34	+	(3) "Authorized Delegate"' means any officer or employee of the executive office of 31
	35	+	the Mayor to whom the Mayor has delegated any of the Mayor's functions under this act pursuant to 32
	36	+	section 422(6) of the Home Rule Act, including, but not limited to, the Chief Financial Officer, the 33
52	37
53	38
54	39
55	40		2
56	41
57		-	(8) "Escrow Agreement" means any agreement heretofore or hereafter entered into
58		-	by the Mayor or an Authorized Delegate to provide for the custody, investment, and disbursement
59		-	of revenues and funds pledged to, and in which a security interest is created for, the payment of
60		-	the principal of, and interest on, the bonds or notes.
61		-
62		-	(9) "Hedge Agreement" means any financial arrangement that is a cap, floor, or
63		-	collar; forward rate; future rate; swap, which swap may be based on an amount equal to either a
64		-	principal amount or a notional principal amount relating to all or a portion of the principal
65		-	amount of a series of bonds; asset, index, price, or market-linked transaction or agreement; other
66		-	interest rate exchange or rate protection transaction agreement; other similar transactions,
67		-	however designated; any combination thereof; any option with respect thereto; or any similar
68		-	arrangement, which is executed by the District for purposes of debt management, including
69		-	managing interest rate fluctuations on bonds, but not for purposes of speculation.
70		-
71		-	(10) "Home Rule Act" means the District of Columbia Home Rule Act, approved
72		-	December 24, 1973 (87 Stat. 774; D.C. Official Code § 1- 201.01
73		-	et seq.).
74		-	(11) "Notes" means District general obligation bond anticipation notes
75		-	authorized to be issued pursuant to this act, including any renewals of such notes.
76		-	(12) "Outstanding Debt" means the outstanding indebtedness at any time of the
77		-	District for capital project loans from the Treasury of the United States, any Treasury Advances,
78		-	any outstanding general obligation bonds issued pursuant to this or any prior act, any outstanding
79		-	general obligation bond anticipation notes issued pursuant to this or any prior act, and any
80		-	income tax secured revenue bonds issued pursuant to the Income T ax Secured Bond
81		-	Authorization Act of 2008, effective October 22, 2008 (D.C. Law 17- 254, D.C. Official Code
82		-	§ 47-340.26 et seq .).
83		-	(13) "Paying Agent" means the District or any bank, trust company, or national
84		-	banking association designated to serve in this capacity by the Mayor or an Authorized Delegate
85		-	pursuant to section 6.
86		-
87		-	(14) "Procurement Act" means the District of Columbia Procurement Practices
88		-	Reform Act of 2010 , effective April 8, 2011 (D.C. Law 18-371; D.C. Official Code § 2-351.01
89		-	et
90		-	seq.).
91		-	(15) "Registrar" means the District or any bank, trust company, or national
92		-	banking association designated to serve in this capacity by the Mayor or an Authorized
93		-	Delegate pursuant to section 6.
94		-
95		-	(16) "Secretary" means the Secretary of the District of Columbia.
96		-	(17) "Special Tax Fund" means the debt service fund established pursuant to
97		-	section 9(a)(1).
98		-
99		-	(18) “Special Tax Funds” means the debt service funds established pursuant to
100		-	section 9(a)(1) and (2).
101		-
102		-	(19) “Special Tax Fund for Notes” means the debt service fund established
103		-	pursuant to section 9(a)(2).
104		-	ENROLLED ORIGINAL
105		-
106		-
107		-
108		-
	42	+	City Administrator, and the Treasurer of the District of Columbia. 34
	43	+	(4) "Bond Counsel" means a firm or firms of attorneys designated as bond 35
	44	+	counsel or co-bond counsel from time to time by the Mayor or an Authorized Delegate. 36
	45	+	(5) "Bonds" means District general obligation bonds authorized to be issued 37
	46	+	pursuant to this act, including any refunding bonds. 38
	47	+	(6) "Capital Projects" means the District capital projects as defined in section 39
	48	+	103(8) of the Home Rule Act. 40
	49	+	(7) "Deposit and Investment Act" means the Financial Institutions Deposit and 41
	50	+	Investment Amendment Act of 1997, effective March 18, 1998 (D.C. Law 12-56; D.C. Official 42
	51	+	Code § 47-351.01 et seq.). 43
	52	+	(8) "Escrow Agreement" means any agreement heretofore or hereafter entered into 44
	53	+	by the Mayor or an Authorized Delegate to provide for the custody, investment, and disbursement 45
	54	+	of revenues and funds pledged to, and in which a security interest is created for, the payment of 46
	55	+	the principal of, and interest on, the bonds or notes. 47
	56	+	(9) "Hedge Agreement" means any financial arrangement that is a cap, floor, or 48
	57	+	collar; forward rate; future rate; swap, which swap may be based on an amount equal to either a 49
	58	+	principal amount or a notional principal amount relating to all or a portion of the principal 50
	59	+	amount of a series of bonds; asset, index, price, or market-linked transaction or agreement; other 51
	60	+	interest rate exchange or rate protection transaction agreement; other similar transactions, 52
	61	+	however designated; any combination thereof; any option with respect thereto; or any similar 53
	62	+	arrangement, which is executed by the District for purposes of debt management, including 54
	63	+	managing interest rate fluctuations on bonds, but not for purposes of speculation. 55
	64	+	(10) "Home Rule Act" means the District of Columbia Home Rule Act, approved 56
109	65		3
110	66
111		-	(20) "Treasury Advances" means amounts advanced to the District from the
112		-	United States Treasury pursuant to Chapter 34 of Title 47 of the District of Columbia Official
113		-	Code.
114		-
115		-
116		-	Sec. 3. Findings.
117		-	The Council finds that:
118		-	(1) Section 461 of the Home Rule Act authorizes the District to incur indebtedness
119		-	by issuing general obligation bonds to refund Outstanding Debt of the District and to provide for
120		-	the payment of the cost of acquiring or undertaking its various capital projects.
121		-
122		-	(2) Section 475 of the Home Rule Act authorizes the District to incur indebtedness
123		-	by issuing general obligation bond anticipation notes, the proceeds of which shall be used for the
124		-	purposes for which general obligation bonds may be issued under section 461 of the Home Rule
125		-	Act.
126		-
127		-	(3) The cost of Outstanding Debt may be reduced by refunding a portion of it
128		-	through the issuance of the bonds, and the District's cost of borrowing may be reduced by the
129		-	issuance from time to time of notes in anticipation of the issuance of bonds.
130		-	(4) The issuance of the bonds and the notes in anticipation of the bonds is an
131		-	economical method of financing the costs of acquiring or undertaking the capital projects
132		-	described in section 5 and of refunding all or a portion of certain Outstanding Debt as is in the
133		-	public interest.
134		-	(5) To fund the capital needs of the District for fiscal years 2023 through 2028, it
135		-	will be necessary to issue bonds from time to time in one or more series in an aggregate principal
136		-	amount not to exceed $6,400,000,000 and to issue notes from time to time in one or more series
137		-	in anticipation of all or a portion of the bonds.
138		-
139		-
140		-	Sec. 4. Bond and note authorization.
141		-	(a) The District is authorized to incur indebtedness by issuing the bonds pursuant to
142		-	sections 461 through 467 of the Home Rule Act to provide for any of the following:
143		-
144		-	(1) The payment of the cost of acquiring, undertaking, or refinancing capital
145		-	projects described in section 5 for general governmental and enterprise purposes;
146		-
147		-	(2) The reimbursing of amounts temporarily advanced for the purposes authorized
148		-	by this act from the General Fund of the District of Columbia, any enterprise fund, or other fund or
149		-	account of the District;
150		-
151		-	(3) The refunding of Outstanding Debt; and
152		-	(4) The payment of the costs and expenses of preparation, execution, issuance, sale
153		-	or delivery of, or security for, the bonds and notes, including the payments of contracts or
154		-	agreements the Mayor or an Authorized Delegate may determine to be necessary and appropriate
155		-	as described in section 7(f), and the payment of other debt program related costs as provided in
156		-	the contracts or agreements related thereto.
157		-	ENROLLED ORIGINAL
158		-
159		-
160		-
161		-
	67	+	December 24, 1973 (87 Stat. 774; D.C. Official Code § 1-201.01 et seq.). 57
	68	+	(11) "Notes" means District general obligation bond anticipation notes 58
	69	+	authorized to be issued pursuant to this act, including any renewals of such notes. 59
	70	+	(12) "Outstanding Debt" means the outstanding indebtedness at any time of the 60
	71	+	District for capital project loans from the Treasury of the United States, any Treasury Advances, 61
	72	+	any outstanding general obligation bonds issued pursuant to this or any prior act, any outstanding 62
	73	+	general obligation bond anticipation notes issued pursuant to this or any prior act, and any 63
	74	+	income tax secured revenue bonds issued pursuant to the Income Tax Secured Bond 64
	75	+	Authorization Act of 2008, effective October 22, 2008 (D.C. Law 17-254, D.C. Official Code 65
	76	+	§ 47-340.26 et seq.). 66
	77	+	(13) "Paying Agent" means the District or any bank, trust company, or national 67
	78	+	banking association designated to serve in this capacity by the Mayor or an Authorized Delegate 68
	79	+	pursuant to section 6. 69
	80	+	(14) "Procurement Act" means the District of Columbia Procurement Practices 70
	81	+	Reform Act of 2010, effective April 8, 2011 (D.C. Law 18-371; D.C. Official Code § 2-351.01 et 71
	82	+	seq.). 72
	83	+	(15) "Registrar" means the District or any bank, trust company, or national 73
	84	+	banking association designated to serve in this capacity by the Mayor or an Authorized 74
	85	+	Delegate pursuant to section 6. 75
	86	+	(16) "Secretary" means the Secretary of the District of Columbia. 76
	87	+	(17) "Special Tax Fund" means the debt service fund established pursuant to 77
	88	+	section 9(a)(1). 78
	89	+	(18) “Special Tax Funds” means the debt service funds established pursuant to 79
162	90		4
163	91
164		-	(b) The Mayor or an Authorized D elegate is authorized to pay from the proceeds of the
165		-	bonds and other District funds, the costs and expenses referred to in subsection (a)(4) of this
166		-	section and to the extent necessary to establish or continue the tax exempt status of any of the
167		-	bonds issued on a tax exempt basis.
168		-
169		-	(c) The District is authorized pursuant to section 475 of the Home Rule Act to issue the
170		-	notes in anticipation of the issuance of general obligation bonds and to expend the proceeds of
171		-	the notes for any of the purposes for which bonds may be issued.
172		-
173		-	Sec. 5. Capital projects.
174		-	(a)(1) Bonds and notes may be issued from time to time to provide for the payment of
175		-	the cost of acquiring, undertaking, or refinancing capital projects of the District and
176		-	reimbursement of amounts advanced for such purposes, including, but not limited to, capital
177		-	projects for the following categories of facilities and equipment by project and project
178		-	description:
179		-
180		-	(A) Physical plant;
181		-	(B) Technology;
182		-
183		-	(C) Mass transportation;
184		-	(D) Roads and bridges;
185		-	(E) Housing and economic development;
186		-	(F) Environmental protection;
187		-	(G) Major equipment; and
188		-	(H) Recreation.
189		-	(2) The Council shall specify and determine from time to time, by resolution, the
190		-	capital projects for which the issuance of bonds shall be authorized.
191		-	(b) The maximum principal amount of indebtedness that may be incurred through the
192		-	issuance of bonds or notes for the capital projects, exclusive of the costs and expenses of issuing
193		-	and delivering the bonds or notes and any other costs referred to in section 4(a)(4), which may
194		-	be funded with proceeds of the bonds or notes, shall not exceed $ 6,400,000,000;
195		-	provided, that the principal amount of any notes or bonds issued to refund prior notes or bonds
196		-	issued for any capital project shall not be included in the determination of the principal amount of
197		-	indebtedness issued for such project, and provided that the aggregate amount of any refunded notes
198		-	or additional notes refinanced with bonds or additional bonds shall be returned to the maximum
199		-	principal amount of indebtedness for use in future issuance s.
200		-	(c) The maximum total principal amount to be financed through the bonds and notes
201		-	provided for the capital projects listed in subsection (a)(1) of this section shall include amounts
202		-	requested by the District government and approved by Congress in the District's Fiscal Year
203		-	2023-2028 Capital Improvements Plan or other capital projects approved by the Council, as it
204		-	may be modified from time to time by appropriations legislation, or by the Council .
205		-	(d) The costs of the capital projects approved for financing pursuant to this act and prior ENROLLED ORIGINAL
206		-
207		-
208		-
209		-
	92	+	section 9(a)(1) and (2). 80
	93	+	(19) “Special Tax Fund for Notes” means the debt service fund established 81
	94	+	pursuant to section 9(a)(2). 82
	95	+	(20) "Treasury Advances" means amounts advanced to the District from the 83
	96	+	United States Treasury pursuant to Chapter 34 of Title 47 of the District of Columbia Official 84
	97	+	Code. 85
	98	+	Sec. 3. Findings. 86
	99	+	The Council finds that: 87
	100	+	(1) Section 461 of the Home Rule Act authorizes the District to incur indebtedness 88
	101	+	by issuing general obligation bonds to refund Outstanding Debt of the District and to provide for 89
	102	+	the payment of the cost of acquiring or undertaking its various capital projects. 90
	103	+	(2) Section 475 of the Home Rule Act authorizes the District to incur indebtedness 91
	104	+	by issuing general obligation bond anticipation notes, the proceeds of which shall be used for the 92
	105	+	purposes for which general obligation bonds may be issued under section 461 of the Home Rule 93
	106	+	Act. 94
	107	+	(3) The cost of Outstanding Debt may be reduced by refunding a portion of it 95
	108	+	through the issuance of the bonds, and the District's cost of borrowing may be reduced by the 96
	109	+	issuance from time to time of notes in anticipation of the issuance of bonds. 97
	110	+	(4) The issuance of the bonds and the notes in anticipation of the bonds is an 98
	111	+	economical method of financing the costs of acquiring or undertaking the capital projects 99
	112	+	described in section 5 and of refunding all or a portion of certain Outstanding Debt as is in the 100
	113	+	public interest. 101
	114	+	(5) To fund the capital needs of the District for fiscal years 2023 through 2028, it 102
210	115		5
211	116
212		-	bond acts that have become law, which are paid originally from the General Fund of the District of
213		-	Columbia or General Capital Improvements Fund of the District of Columbia, are reasonably
214		-	expected to be reimbursed in whole or in part with the proceeds of the bonds or notes in the
215		-	maximum amount set forth in subsection (b) of this section. The adoption of this act by the
216		-	Council declares the intent of the District under Treas. Reg. § 1.150- 2, issued under the Internal
217		-	Revenue Code of 1986, approved October 22, 1986 (100 Stat. 2085; 26 U.S.C. § 1 et seq.), to
218		-	reimburse the General Fund of the District of Columbia and General Capital Improvement Fund of
219		-	the District of Columbia or to refinance Treasury Advances or loans from the Treasury of the
220		-	United States for capital projects, in either case, with the proceeds of the bonds and note s.
221		-	(e) Funds pursuant to this act shall not be used to pay for personnel of the District,
222		-	except in positions working on authorized capital projects that create assets or extend the useful
223		-	life of the assets.
	117	+	will be necessary to issue bonds from time to time in one or more series in an aggregate principal 103
	118	+	amount not to exceed $6,400,000,000 and to issue notes from time to time in one or more series 104
	119	+	in anticipation of all or a portion of the bonds. 105
	120	+	Sec. 4. Bond and note authorization. 106
	121	+	(a) The District is authorized to incur indebtedness by issuing the bonds pursuant to 107
	122	+	sections 461 through 467 of the Home Rule Act to provide for any of the following: 108
	123	+	(1) The payment of the cost of acquiring, undertaking, or refinancing capital 109
	124	+	projects described in section 5 for general governmental and enterprise purposes; 110
	125	+	(2) The reimbursing of amounts temporarily advanced for the purposes authorized 111
	126	+	by this act from the General Fund of the District of Columbia, any enterprise fund, or other fund or 112
	127	+	account of the District; 113
	128	+	(3) The refunding of Outstanding Debt; and 114
	129	+	(4) The payment of the costs and expenses of preparation, execution, issuance, sale 115
	130	+	or delivery of, or security for, the bonds and notes, including the payments of contracts or 116
	131	+	agreements the Mayor or an Authorized Delegate may determine to be necessary and appropriate 117
	132	+	as described in section 7(f), and the payment of other debt program related costs as provided in 118
	133	+	the contracts or agreements related thereto. 119
	134	+	(b) The Mayor or an Authorized Delegate is authorized to pay from the proceeds of the 120
	135	+	bonds and other District funds, the costs and expenses referred to in subsection (a)(4) of this 121
	136	+	section and to the extent necessary to establish or continue the tax exempt status of any of the 122
	137	+	bonds issued on a tax exempt basis. 123
	138	+	(c) The District is authorized pursuant to section 475 of the Home Rule Act to issue the 124
	139	+	notes in anticipation of the issuance of general obligation bonds and to expend the proceeds of 125
	140	+	6
224	141
225		-	Sec. 6. Bond and note details.
226		-	(a) The Mayor or an Authorized D elegate is authorized to take any action necessary or
227		-	appropriate in accordance with this act in connection with the preparation, execution, issuance,
228		-	sale, delivery, security for, and payment of the bonds and notes, includi ng, but not limited to,
229		-	determinations of:
230		-	(1) Whether the bonds or notes are to be issued in one or more series and the
231		-	principal amount of each series;
232		-	(2) For each series of the bonds or notes, the date of issuance, sale, and delivery of
233		-	the bonds or notes, the maturity date or dates of the bonds (provided that the maximum maturity of
234		-	any bond shall not exceed 30 years from the date of issuance) or notes (provided that the maximum
235		-	maturity date
236		-	of any note, including any renewal note issued to refund such note, shall not be later
	142	+	the notes for any of the purposes for which bonds may be issued. 126
	143	+	Sec. 5. Capital projects. 127
	144	+	(a)(1) Bonds and notes may be issued from time to time to provide for the payment of 128
	145	+	the cost of acquiring, undertaking, or refinancing capital projects of the District and 129
	146	+	reimbursement of amounts advanced for such purposes, including, but not limited to, capital 130
	147	+	projects for the following categories of facilities and equipment by project and project 131
	148	+	description: 132
	149	+	(A) Physical plant; 133
	150	+	(B) Technology; 134
	151	+	(C) Mass transportation; 135
	152	+	(D) Roads and bridges; 136
	153	+	(E) Housing and economic development; 137
	154	+	(F) Environmental protection; 138
	155	+	(G) Major equipment; and 139
	156	+	(H) Recreation. 140
	157	+	(2) The Council shall specify and determine from time to time, by resolution, the 141
	158	+	capital projects for which the issuance of bonds shall be authorized. 142
	159	+	(b) The maximum principal amount of indebtedness that may be incurred through the 143
	160	+	issuance of bonds or notes for the capital projects, exclusive of the costs and expenses of issuing 144
	161	+	and delivering the bonds or notes and any other costs referred to in section 4(a)(4), which may 145
	162	+	be funded with proceeds of the bonds or notes, shall not exceed $6,400,000,000; 146
	163	+	provided, that the principal amount of any notes or bonds issued to refund prior notes or bonds 147
	164	+	issued for any capital project shall not be included in the determination of the principal amount of 148
	165	+	7
	166	+
	167	+	indebtedness issued for such project, and provided that the aggregate amount of any refunded notes 149
	168	+	or additional notes refinanced with bonds or additional bonds shall be returned to the maximum 150
	169	+	principal amount of indebtedness for use in future issuances. 151
	170	+	(c) The maximum total principal amount to be financed through the bonds and notes 152
	171	+	provided for the capital projects listed in subsection (a)(1) of this section shall include amounts 153
	172	+	requested by the District government and approved by Congress in the District's Fiscal Year 154
	173	+	2023-2028 Capital Improvements Plan or other capital projects approved by the Council, as it 155
	174	+	may be modified from time to time by appropriations legislation, or by the Council. 156
	175	+	(d) The costs of the capital projects approved for financing pursuant to this act and prior 157
	176	+	bond acts that have become law, which are paid originally from the General Fund of the District of 158
	177	+	Columbia or General Capital Improvements Fund of the District of Columbia, are reasonably 159
	178	+	expected to be reimbursed in whole or in part with the proceeds of the bonds or notes in the 160
	179	+	maximum amount set forth in subsection (b) of this section. The adoption of this act by the 161
	180	+	Council declares the intent of the District under Treas. Reg. § 1.150-2, issued under the Internal 162
	181	+	Revenue Code of 1986, approved October 22, 1986 (100 Stat. 2085; 26 U.S.C. § 1 et seq.), to 163
	182	+	reimburse the General Fund of the District of Columbia and General Capital Improvement Fund of 164
	183	+	the District of Columbia or to refinance Treasury Advances or loans from the Treasury of the 165
	184	+	United States for capital projects, in either case, with the proceeds of the bonds and notes. 166
	185	+	(e) Funds pursuant to this act shall not be used to pay for personnel of the District, 167
	186	+	except in positions working on authorized capital projects that create assets or extend the useful 168
	187	+	life of the assets. 169
	188	+	Sec. 6. Bond and note details. 170
	189	+	(a) The Mayor or an Authorized Delegate is authorized to take any action necessary or 171
	190	+	8
	191	+
	192	+	appropriate in accordance with this act in connection with the preparation, execution, issuance, 172
	193	+	sale, delivery, security for, and payment of the bonds and notes, including, but not limited to, 173
	194	+	determinations of: 174
	195	+	(1) Whether the bonds or notes are to be issued in one or more series and the 175
	196	+	principal amount of each series; 176
	197	+	(2) For each series of the bonds or notes, the date of issuance, sale, and delivery of 177
	198	+	the bonds or notes, the maturity date or dates of the bonds (provided that the maximum maturity of 178
	199	+	any bond shall not exceed 30 years from the date of issuance) or notes (provided that the maximum 179
	200	+	maturity date of any note, including any renewal note issued to refund such note, shall not be later 180
237	201		than the last day of the 3rd
238	202
239		-	fiscal year following the fiscal year during which such note was
240		-	originally issued), the dates for payment of principal and interest on the bonds or notes, and the
241		-	amount of each installment or sinking fund payment of principal (provided that the principal
242		-	installments on each series of the bonds shall begin no later than 3 years from the date of issuance
243		-	of the series);
	203	+	fiscal year following the fiscal year during which such note was 181
	204	+	originally issued), the dates for payment of principal and interest on the bonds or notes, and the 182
	205	+	amount of each installment or sinking fund payment of principal (provided that the principal 183
	206	+	installments on each series of the bonds shall begin no later than 3 years from the date of issuance 184
	207	+	of the series); 185
	208	+	(3) The rate or rates of interest or the method for determining the rate or rates of 186
	209	+	interest on each series of the bonds and notes; provided, that the interest rate or rates borne by 187
	210	+	the bonds of any series with fixed interest rates shall not exceed 15% per year (calculated on the 188
	211	+	basis of a 360-day year consisting of twelve 30-day months) in any event and that the interest rate 189
	212	+	or rates borne by the bonds of any series with non-fixed interest rates shall not exceed 15% per 190
	213	+	year (calculated on the basis of the actual number of days elapsed over a year of 365 or 366 days 191
	214	+	and based on the total amount of interest paid in any fiscal year), and the interest rate or rates borne 192
	215	+	by the notes of any series shall not exceed in the aggregate 10% per year (calculated on the basis of 193
	216	+	a 360-day year consisting of twelve 30-day months or on the basis of the actual number of days 194
	217	+	9
244	218
245		-	(3) The rate or rates of interest or the method for determining the rate or rates of
246		-	interest on each series of the bonds and notes; provided, that the interest rate or rates borne by
247		-	the bonds of any series with fixed interest rates shall not exceed 15% per year ( calculated on the
248		-	basis of a 360-day year consisting of twelve 30- day months) in any event and that the interest rate
249		-	or rates borne by the bonds of any series with non- fixed interest rates shall not exceed 15% per
250		-	year (calculated on the basis of the actual number of days elapsed over a year of 365 or 366 days
251		-	and based on the total amount of interest paid in any fiscal year), and the interest rate or rates borne
252		-	by the notes of any series shall not exceed in the aggregate 10% per year ( calculated on the basis of
253		-	a 360-day year consisting of twelve 30-day months or on the basis of the actual number of days ENROLLED ORIGINAL
	219	+	elapsed over a year of 365 or 366 days), as determined by the Mayor or the Authorized Delegate; 195
	220	+	provided further, that if the notes are not paid at maturity, the notes may provide for an interest rate 196
	221	+	or rates after maturity not to exceed in the aggregate 15% per year (calculated on the basis of a 360-197
	222	+	day year consisting of twelve 30-day months or on the basis of the actual number of days elapsed 198
	223	+	over a year of 365 or 366 days), as determined by the Mayor or the Authorized Delegate; 199
	224	+	(4) For each series of the bonds or notes, the maximum debt service payable in 200
	225	+	any fiscal year in accordance with the amount permitted under section 11(a)(3); 201
	226	+	(5) The designation of any series of the bonds or notes and their denominations, 202
	227	+	lettering, and numbering or the manner of determining the designations and denominations, 203
	228	+	lettering, and numbering; 204
	229	+	(6) The price and terms under which any series of the bonds or notes may be 205
	230	+	paid, optionally or mandatorily redeemed, accelerated, tendered, called, or put for redemption, 206
	231	+	repurchase, or remarketing before their stated maturities; 207
	232	+	(7) The final form, content, and terms of each series of the bonds and notes, 208
	233	+	including a determination that any series of the bonds or notes may be issued in book-entry 209
	234	+	form; 210
	235	+	(8) The designation of a registrar, if other than the District, for any series of the 211
	236	+	bonds or notes and the execution and delivery of any necessary agreements relating to the 212
	237	+	appointment; 213
	238	+	(9) The designation of a Paying Agent for any series of the bonds or notes and the 214
	239	+	execution and delivery of any necessary agreements relating to the appointment; 215
	240	+	(10) Provisions for the registration, transfer, and exchange of the bonds or notes and 216
	241	+	the replacement of mutilated, lost, stolen, or destroyed bonds or notes; and 217
	242	+	10
254	243
255		-
256		-
257		-
258		-	6
259		-
260		-	elapsed over a year of 365 or 366 days), as determined by the Mayor or the Authorized Delegate;
261		-	provided further, that if the notes are not paid at maturity, the notes may provide for an interest rate
262		-	or rates after maturity not to exceed in the aggregate 15% per year ( calculated on the basis of a 360-
263		-	day year consisting of twelve 30-day months or on the basis of the actual number of days elapsed
264		-	over a year of 365 or 366 days), as determined by the Mayor or the Authorized Delegate ;
265		-
266		-	(4) For each series of the bonds or notes, the maximum debt service payable in
267		-	any fiscal year in accordance with the amount permitted under section 11(a)(3);
268		-
269		-	(5) The designation of any series of the bonds or notes and their denominations,
270		-	lettering, and numbering or the manner of determining the designations and denominations,
271		-	lettering, and numbering;
272		-
273		-	(6) The price and terms under which any series of the bonds or notes may be
274		-	paid, optionally or mandatorily redeemed, accelerated, tendered, called, or put for redemption,
275		-	repurchase, or remarketing before their stated maturities;
276		-
277		-	(7) The final form, content, and terms of each series of the bonds and notes,
278		-	including a determination that any series of the bonds or notes may be issued in book- entry
279		-	form;
280		-
281		-	(8) The designation of a registrar, if other than the District, for any series of the
282		-	bonds or notes and the execution and delivery of any necessary agreements relating to the
283		-	appointment;
284		-	(9) The designation of a Paying Agent for any series of the bonds or notes and the
285		-	execution and delivery of any necessary agreements relating to the appointment;
286		-	(10) Provisions for the registration, transfer, and exchange of the bonds or notes and
287		-	the replacement of mutilated, lost, stolen, or destroyed bonds or notes; and
288		-	(11) Provisions for the security of holders of the bonds or notes, including, but not
289		-	limited to, bond insurance or other credit enhancement .
290		-	(b) The bonds and notes shall be executed in the name of the Dis trict and on its behalf by
291		-	the manual signature
292		-	of the Mayor or an Authorized Delegate. To the extent required by the
293		-	Home Rule Act, the official seal of the District or a facsimile of it shall be impressed, printed, or
	244	+	(11) Provisions for the security of holders of the bonds or notes, including, but not 218
	245	+	limited to, bond insurance or other credit enhancement. 219
	246	+	(b) The bonds and notes shall be executed in the name of the District and on its behalf by 220
	247	+	the manual signature of the Mayor or an Authorized Delegate. To the extent required by the 221
	248	+	Home Rule Act, the official seal of the District or a facsimile of it shall be impressed, printed, or 222
294	249		otherwise reproduced on
295	250
296		-	the bonds and notes.
297		-	(c) The registrar shall manually authenticate each bond or note and maintain the books of
298		-	registration for the payment of the principal of, and interest on, the bonds or notes and perform
299		-	other ministerial responsibilities as specifically provided in its appointment as registrar, and the
300		-	securities depository, if the bonds or notes are issued in book-entry form, shall maintain or cause to
301		-	be maintained books of registration of owners of beneficial interests in the bonds or notes.
302		-
303		-	Sec. 7. Sale of the bonds and notes.
304		-	(a) The bonds of any series may be sold by the Mayor or an Authorized Delegate at a
305		-	public sale upon receipt of sealed proposals (including electronic bids), or at a private sale on a
306		-	negotiated basis in a manner as the Mayor or an Authorized Delegate may determine to be in the ENROLLED ORIGINAL
307		-
308		-
309		-
310		-
311		-	7
312		-
313		-	public interest, all pursuant to and in accordance with section 466 of the Home Rule Act . The
314		-	notes of any series may be sold by the Mayor or an Authorized Delegate by competitive bid or
315		-	negotiated sale as may be determined by the Mayor or an Authorized Delegate to be in the best
316		-	interest of the District.
317		-	(b) The Mayor or an Authorized Delegate may prepare, or cause to be prepared, and may
318		-	execute, for each sale of the bonds or notes, offering documents on behalf of the District and may
319		-	authorize the distribution of the offering documents for the bonds or notes.
320		-	(c) The Mayor or an Authorized Delegate shall take actions and execute and deliver
321		-	agreements, documents, and instruments (including any amendment of or supplement to any
322		-	such agreement, document, or instrument) as required by or incidental to:
323		-	(1) The issuance of the bonds or notes;
324		-	(2) If and to the extent the bonds or notes are issued on a tax-exempt basis, the
325		-	'
326		-	exclusion from gross income for federal income tax purposes of interest on the bonds or notes, the
327		-	treatment of interest on the bonds or notes as not an item of tax preference for purposes of the
328		-	federal alternative minimum tax, and the exemption from District taxation of interest on the
329		-	bonds or notes;
330		-	(3) The performance of any covenants contained in this act or any purchase
331		-	contract for the bonds or notes; and
332		-	(4) The execution, delivery, and performance of any financing documents in
333		-	connection with the sale of the bonds or notes, including but not limited to, any Escrow
334		-	Agreement, trust agreement, bond or note purchase agreement, or paying agent agreement.
335		-	(d) The bonds or notes shall not be issued until the Mayor or an Authorized Delegate
336		-	receives an approving opinion from Bond Counsel as to the validity of the bonds or notes and, if
337		-	and to the extent the bonds or notes are issued on a tax- exempt basis, the treatment of the interest
338		-	on the bonds or notes for purposes
339		-	of federal and District income taxation.
340		-	(e) The Mayor shall execute a bond issuance certificate or note issuance certificate, as the
341		-	case may be, evidencing the determinations made and other actions taken by the Mayor for each
342		-	series of the bonds or notes issued and shall designate in such certificate the amount of the bonds
343		-	or notes
344		-	to be used to finance capital projects or to refund or refinance Outstanding Debt, the
345		-	amount of principal and interest on that amount of bonds or notes to be p aid through sinking fund
346		-	payments, redemptions, or otherwise, in each fiscal year, the date of the bonds or notes, the series
347		-	designation, the authorized denominations, the Paying Agent or Agents, and any other matters
348		-	pertaining to the bonds or notes, including any matters applicable under section 6(a). A copy of the
349		-	bond issuance certificate or note issuance certificate, as the case may be, shall be filed with the
350		-	Secretary to the Council not more than 3 days after the delivery of the bonds or notes covered by
351		-	the certificate. Any bond issuance certificate or note issuance certificate shall be conclusive
352		-	evidence of the actions or determinations taken or made as stated in the certificate.
353		-
354		-	(f) The Procurement Act and the Deposit and Investment Act shall not apply to whatever ENROLLED ORIGINAL
355		-
356		-
357		-
358		-
359		-	8
360		-
361		-	contract the Mayor or an Authorized Delegate may from time to time enter into for purposes of
362		-	this act or the Mayor or an Authorized Delegate may determine to be necessary or appropriate for
363		-	purposes of this act to place, in whole or in part , including, but not limited to:
364		-
365		-	(1) An investment or obligation of the District as represented by the bonds or
366		-	notes;
367		-
368		-	(2) A contract or contracts for bond insurance or other credit enhancement
369		-	(including, but not limited to, a letter or line of credits), or liquidity agreements, or
370		-	placement of any investment or obligation or program of investment including any offering
371		-	document, contract based on interest rate, currency, cash flow, or other basis, including,
372		-	without limitation, interest rate swap agreements; currency swap agreements; insurance agreements;
373		-	forward payment conversion agreements; futures contracts providing for payments based on levels
374		-	of, or changes in, interest rates, currency exchange rates, or stock or other indices; contracts to
375		-	exchange cash flows or a series of payments; and contracts to hedge payment, currency, rate,
376		-	spread, or similar exposure, including, without limitation, interest rate floors, or caps, options,
377		-	puts, and calls, Hedge Agreements, and any required supplements to any such documents.
378		-	The contracts or other arrangements may also be entered into by the District in connection with, or
379		-	incidental to, entering into or maintaining any agreement that secures the bonds or notes. The
380		-	contracts or other arrangements entered into pursuant to this section shall contain whatever payment
381		-	security, terms, and conditions as the Mayor or an Authorized Delegate may consider appropriate
382		-	and shall be entered into with whatever party or parties the Mayor or an Authorized Delegate may
383		-	select, after giving due consideration, where applicable, to the creditworthiness of the counterparty
384		-	or counterparties, including any rating by a nationally recognized rating agency or any other
385		-	criteria as may be appropriate.
386		-	(3) A contract or contracts for an escrow agent, paying agent, disclosure agent,
387		-	trustee, collection agent, registrar, underwriting, legal services, accounting, financial advisory
388		-	services, rating agency services, printing, and any other contracts for services of professionals or
389		-	advisors or for disclosure services as the Mayor or an Authorized Delegate may deem to be
390		-	necessary or appropriate.
391		-
392		-	Sec. 8. Payment and security of the bonds and notes.
393		-	(a) The full faith and credit of the District is pledged for the payment of the principal of,
394		-	and interest on, the bonds and notes as they become due and payable through required sinking fund
395		-	payments, redemptions, or otherwise.
396		-
397		-	(b) The Council shall, in the full exercise of the authority granted in section 483 of the
398		-	Home Rule Act and under any other law, provide in each annual budget for a fiscal year of the
399		-	District sufficient funds to pay the principal of, and interest on, the bonds and notes becoming
400		-	due and payable for any reason during that fiscal year.
401		-
402		-	(c) The Mayor shall, in the full exercise of the authority granted to the Mayor under the ENROLLED ORIGINAL
403		-
404		-
405		-
406		-
407		-	9
408		-
409		-	Home Rule Act and under any other law, take such actions as may be necessary or appropriate to
410		-	ensure that the principal of, and interest on, the bonds and notes are paid when due for any reason,
411		-	including the payment of principal and interest from any funds or accounts of the District not
412		-	otherwise legally committed.
413		-
414		-	(d) The bonds and notes shall evidence continuing obligations of the District until paid in
415		-	accordance with their terms.
416		-
417		-	(e) Any Paying Agent shall pay the principal of, and interest on, the bonds and notes
418		-	and may perform other ministerial responsibilities as specifically provided in its appointment as
419		-	paying agent.
420		-
421		-	(f) Proceeds of the bonds or notes and any money set aside for any security for the bonds
422		-	or notes or any contract or other arrangement entered into pursuant to this section , may be pledged to
423		-	and used to service any contract or other arrangement providing for payment of principal of and
424		-	interest on the bonds or notes.
425		-
426		-	Sec. 9. Special tax; establishment of rates; collection.
427		-	(a) (1) The Council determines that a special tax is necessary in conjunction with the
428		-	authorization and issuance of the bonds and any Additional Bonds. Pursuant to section 481 of the
429		-	Home Rule Act and notwithstanding the provisions of Chapter 5 of Title 47 of the District of
430		-	Columbia Official Code, there is levied, for each real property tax year in which bonds or
431		-	Additional Bonds are outstanding, a special tax on the real property in the District subject to
432		-	taxation, in amounts that will be sufficient to pay the principal of, and interest on, the bonds and
433		-	Additional Bonds coming due in each year. This special tax is levied, without limitation as to rate
434		-	or amount, on all classes of real property subject to taxation in the District. The special tax shall be
435		-	collected and apportioned among classes of real property in the same manner as other District real
436		-	property
437		-	taxes and, when collected, shall be set aside in a Special Tax Fu nd maintained separate
438		-	from other funds of the District. The collection and custody of the s pecial tax payment may be
439		-	pursuant to an agreement with an agent for such purposes and the Special Tax Fund may be
440		-	maintained under an Escrow Agreement. When deposited, the funds in the fund and all investment
441		-	income or earnings on these funds shall be irrevocably dedicated and pledged to the payment of
442		-	principal, and interest on, the bonds and any Additional Bonds. Any Escrow Agreement providing
443		-	for holding funds for the benefit of the holders of the bonds shall be maintained so long as any of
444		-	the bonds is outstanding under this act.
445		-
446		-	(2) In addition to the special tax levied pursuant to paragraph (1) of this subsection, the
447		-	Council determines that a separate tax levy is necessary in conjunction with the authorization and
448		-	issuance of notes and any Additional Notes. Pursuant to section 467(a) of the Home Rule Act, and
449		-	notwithstanding the provisions of Chapter 5 of Title 47 of the District of Columbia Official Code,
450		-	there is levied, for each real property tax year in which notes or Additional Notes are outstanding, a
451		-	special tax for notes on the real property in the District subject to taxation, which shall be separate
452		-	and distinct from the collection and pledge of the special tax in paragraph (1) of this subsection, in
453		-	amounts that will be sufficient to pay the principal of, and interest on, the notes and Additional Notes ENROLLED ORIGINAL
454		-
455		-
456		-
457		-
458		-	10
459		-
460		-	coming due in each year. This special tax for notes is levied, without limitation as to rate or amount,
461		-	on all classes of real property subject to taxation in the District. The special tax for notes shall be
462		-	collected and apportioned among classes of real property in the same manner as other District real
463		-	property taxes and, when collected, shall be set aside in a Special Tax Fund for Notes maintained
464		-	separate from other funds of the District, including the Special Tax Fund maintained under paragraph
465		-	(1) of this subsection. The collection and custody of the revenue pledge payment may be pursuant to
466		-	an agreement with an agent for such purposes and the Special Tax Fund for Notes may be
467		-	maintained under an Escrow Agreement. When deposited, the revenues in the fund and all
468		-	investment income or earnings on these funds shall be irrevocably dedicated and pledged to the
469		-	payment of principal, and interest on, the notes and any Additional Notes. Any Escrow Agreement
470		-	providing for holding funds for the benefit of the holders of the notes or Additional Notes shall be
471		-	maintained so long as any of the notes or Additional Notes is outstanding under this act.
472		-	(3) The special taxes authorized pursuant to subsection (a)(1) and (2) of this section
473		-	shall be levied and collected ratably and on a parity with each other, and in the event there are
474		-	insufficient collections of real property taxes, the amounts collected shall be allocated to each of
475		-	the Special Tax Funds in proportion of the amounts of bonds and Additional Bonds and notes and
476		-	Additional Notes outstanding.
477		-	(b) The District irrevocably pledges for and on behalf of the owners of the bonds or notes
478		-	as further security for the due and punctual payment of the principal and redemption price, if any,
479		-	of, and interest on, the bonds or notes as they shall become due and payable for any reason, all of
480		-	its right, title, and interest now owned or later acquired in and to the revenue from the applicable
481		-	special taxes levied by this section, whether to be received, or held at the time, by a collection
482		-	agent, custodian, or escrow agent for the District, or by District officials. This pledge creates and
483		-	grants a parity security interest, which is created and perfected as contemplated in section 467 of
484		-	the Home Rule Act, subject to the terms, conditions, and limitations in this act, including the
485		-	provisions of subsections (e) and (i) of this section and the provisions setting forth conditions and
486		-	limitations applicable to the issuance of Additional Bonds or Additional Notes secured, equally
487		-	and ratably with the bonds or notes, respectively by a pledge of and security interest in the special
488		-	tax revenue or special tax for notes revenue.
489		-	(c) The security interests created in the revenues from the special tax es levied by this
490		-	section shall be valid, binding, and perfected from the time of the delivery of the first bonds or
491		-	notes with or without the physical delivery or allocation of any special tax revenue or special tax
492		-	for notes revenue and with or without any further action. The security interest shall be valid,
493		-	binding, and perfected whether or not any statement, document, or instrument relating to the
494		-	security interest is recorded or filed. The pledge and lien created by the security interest shall be
495		-	valid, binding, and perfected with respect to any individual or legal entity having claims against
496		-	the District, whether or not the individual or legal entity has notice of the pledge and lien.
497		-
498		-	(d) If the District pays or, pursuant to section 15, makes provisions to pay to the owners of
499		-	all bonds and Additional Bonds or notes and Additional Notes the principal or redemption price, ENROLLED ORIGINAL
500		-
501		-
502		-
503		-
	251	+	the bonds and notes. 223
	252	+	(c) The registrar shall manually authenticate each bond or note and maintain the books of 224
	253	+	registration for the payment of the principal of, and interest on, the bonds or notes and perform 225
	254	+	other ministerial responsibilities as specifically provided in its appointment as registrar, and the 226
	255	+	securities depository, if the bonds or notes are issued in book-entry form, shall maintain or cause to 227
	256	+	be maintained books of registration of owners of beneficial interests in the bonds or notes. 228
	257	+	Sec. 7. Sale of the bonds and notes. 229
	258	+	(a) The bonds of any series may be sold by the Mayor or an Authorized Delegate at a 230
	259	+	public sale upon receipt of sealed proposals (including electronic bids), or at a private sale on a 231
	260	+	negotiated basis in a manner as the Mayor or an Authorized Delegate may determine to be in the 232
	261	+	public interest, all pursuant to and in accordance with section 466 of the Home Rule Act. The 233
	262	+	notes of any series may be sold by the Mayor or an Authorized Delegate by competitive bid or 234
	263	+	negotiated sale as may be determined by the Mayor or an Authorized Delegate to be in the best 235
	264	+	interest of the District. 236
	265	+	(b) The Mayor or an Authorized Delegate may prepare, or cause to be prepared, and may 237
	266	+	execute, for each sale of the bonds or notes, offering documents on behalf of the District and may 238
	267	+	authorize the distribution of the offering documents for the bonds or notes. 239
	268	+	(c) The Mayor or an Authorized Delegate shall take actions and execute and deliver 240
504	269		11
505	270
506		-	if any, and the interest due or to become due, at the time and in the manner stipulated, the security
507		-	interest created in the revenue from the special tax es levied under this section shall be terminated.
508		-	(e)(1) In any real property tax year, if the amount expected to be on deposit in the Special
509		-	Tax Fund on the first day of the next succeeding real property tax year exceeds the greater of the
510		-	earnings on the Special Tax Fund for the current real property tax year or 1/12 of the amount that
511		-	the Mayor certifies as required to pay the principal of, and interest on, the bonds and any
512		-	Additional Bonds coming due in the next succeeding real property tax year, the Mayor shall either
513		-	cause the transfer of that excess amount to the General Fund of the District of Columbia or the
514		-	use of that excess amount to purchase, for cancellation, Outstanding Debt. That excess amount
515		-	shall be released from the lien on and security interest in the special tax revenue created under this
516		-	section.
517		-
518		-	(2) In any real property tax year, if the amount expected to be on deposit the
519		-	Special Tax Fund for Notes on the first day of the next succeeding real property tax year exceeds
520		-	the greater of the earnings on the Special Tax Fund for Notes for the current real property tax
521		-	year or 1/12 of the amount that the Mayor certifies as required to pay the principal of, and interest
522		-	on, the notes and any Additional Notes coming due in the next succeeding real property tax year,
523		-	the Mayor shall either cause the transfer of that excess amount to the General Fund of the District
524		-	of Columbia or the use of that excess amount to purchase, for cancellation, Outstanding Debt.
525		-	That excess amount shall be released from the lien on and security interest in the special tax for
526		-	notes revenue created under this section.
527		-	(3) On or before the date upon which the Mayor is required by law to submit to
528		-	the Council proposed real property tax rates for a real property tax year of the District (but not
529		-	later than the first day of that real property tax year), the Mayor shall certify to the Council the
530		-	amount required in that real property tax year to pay the principal of, and interest on, the bonds
531		-	and any Additional Bonds or notes and any Additional Notes coming due for any reason during
532		-	that real property tax year. The amount certified, less any funds then on deposit in the Special
533		-	Tax Funds after application of paragraphs (1) and (2) of this subsection, shall be called the
534		-	special tax requirement .
535		-
536		-	(f) On or before the date upon which the Mayor is required by law to submit to the Council
537		-	proposed tax rates for a real property tax year of the District (but not later than the first day of that
538		-	real property tax year), the Mayor shall calculate and submit to the Council proposed real property
539		-	special tax rates to be applied during the real property tax year to all real property subject to
540		-	taxation in the District. The real property special tax rates shall be calculated to yield the special tax
541		-	requirement, as that amount is certified by the Mayor pursuant to subsection (e) of this section.
542		-
543		-	(g) The Council, in the same manner as provided for the establishment of other real
544		-	property tax rates, shall, by act, establish real property special tax rates for the real property tax
545		-	year calculated to yield the special tax requirement, as that amount is certified by the Mayor
546		-	pursuant to subsection (e) of this section. If the Council fails to enact special real property tax
547		-	rates for the real property tax year within the time provided by law, the real property special tax ENROLLED ORIGINAL
548		-
549		-
550		-
551		-
	271	+	agreements, documents, and instruments (including any amendment of or supplement to any 241
	272	+	such agreement, document, or instrument) as required by or incidental to: 242
	273	+	(1) The issuance of the bonds or notes; 243
	274	+	(2) If and to the extent the bonds or notes are issued on a tax-exempt basis, the 244
	275	+	'
	276	+	exclusion from gross income for federal income tax purposes of interest on the bonds or notes, the 245
	277	+	treatment of interest on the bonds or notes as not an item of tax preference for purposes of the 246
	278	+	federal alternative minimum tax, and the exemption from District taxation of interest on the 247
	279	+	bonds or notes; 248
	280	+	(3) The performance of any covenants contained in this act or any purchase 249
	281	+	contract for the bonds or notes; and 250
	282	+	(4) The execution, delivery, and performance of any financing documents in 251
	283	+	connection with the sale of the bonds or notes, including but not limited to, any Escrow 252
	284	+	Agreement, trust agreement, bond or note purchase agreement, or paying agent agreement. 253
	285	+	(d) The bonds or notes shall not be issued until the Mayor or an Authorized Delegate 254
	286	+	receives an approving opinion from Bond Counsel as to the validity of the bonds or notes and, if 255
	287	+	and to the extent the bonds or notes are issued on a tax-exempt basis, the treatment of the interest 256
	288	+	on the bonds or notes for purposes of federal and District income taxation. 257
	289	+	(e) The Mayor shall execute a bond issuance certificate or note issuance certificate, as the 258
	290	+	case may be, evidencing the determinations made and other actions taken by the Mayor for each 259
	291	+	series of the bonds or notes issued and shall designate in such certificate the amount of the bonds 260
	292	+	or notes to be used to finance capital projects or to refund or refinance Outstanding Debt, the 261
	293	+	amount of principal and interest on that amount of bonds or notes to be paid through sinking fund 262
	294	+	payments, redemptions, or otherwise, in each fiscal year, the date of the bonds or notes, the series 263
552	295		12
553	296
554		-	rates submitted by the Mayor pursuant to subsection (f) of this section shall be the real property
555		-	special tax rates to be applied during that real property tax year.
556		-
557		-	(h) Real property special taxes shall be collected in the same manner as other District real
558		-	property taxes and the Mayor shall promptly deposit in the Special Tax Funds all real property
559		-	special taxes collected, including collection through a collection agent and deposit under an
560		-	Escrow Agreement. If the law of the District relating to the levy or collection of real property
561		-	taxes or the calculation or establishment of real property tax rates is changed in a manner that
562		-	renders any of the provisions of subsections (e) through (h) of this section incapable of
563		-	performance in accordance with their respective terms, the Mayor and the Council shall take
564		-	actions that result in the collection of real property special taxes, in the same manner as other
565		-	District real property taxes, in the amounts required by this section.
566		-	(i) The District and the Mayor reserve the right to satisfy all or a portion of the special tax
567		-	pledge requirements by setting aside and depositing into the Special Tax Funds, equally and ratably,
568		-	at any time any funds of the District not otherwise legally committed, which shall irrevocably
569		-	dedicate and pledge those deposits to the payment of principal of, and interest on, the bonds and
570		-	Additional Bonds or notes and any Additional Notes then outstanding. To the extent that all or a
571		-	portion of the special tax requirement or revenue pledge requirement is satisfied by those deposits,
572		-	an equal amount of real property special tax revenue or special tax for notes revenue subsequently
573		-	collected shall be released from the lien on and the security interest in the special tax revenue or the
574		-	special tax for notes revenue created under this section and shall be paid to reimburse the General
575		-	Fund of the District of Columbia or other fund of the District of Columbia from which the other
576		-	funds were received, and any other funds so deposited in lieu of a portion of the special tax revenues
577		-	or pledged property tax revenues shall be subject to the pledge and security interest under this act as
578		-	if they were special tax revenues or special tax for notes pledged revenues pursuant to section 467 of
579		-	the Home Rule Act.
580		-	(j) The Mayor shall provide for the payment of the principal of, and interest on, the bonds
581		-	or notes, as it may become due and payable for any reason, by transferring funds on deposit in the
582		-	Special Tax Funds, respectively, to the Paying Agent to the extent required pursuant to the bond or
583		-	Additional Bond issuance certificate or note or Additional Note issuance certificate provided for in
584		-	section 7.
585		-
586		-	Sec. 10. Issuance of bonds to pay notes when due.
587		-	(a) The District shall issue the bonds or, to the extent permitted by the Home Rule Act,
588		-	renewal notes to provide for the payment of the principal of the notes, as they may become due and
589		-	payable.
590		-	(b) The par value to be received from the sale of any bonds issued to refund the notes or
591		-	any
592		-	renewal notes shall, to the extent necessary, be used to pay the principal of, and interest on, the
593		-	notes when due and are pledged to that purpose.
594		-	ENROLLED ORIGINAL
595		-
596		-
597		-
598		-
	297	+	designation, the authorized denominations, the Paying Agent or Agents, and any other matters 264
	298	+	pertaining to the bonds or notes, including any matters applicable under section 6(a). A copy of the 265
	299	+	bond issuance certificate or note issuance certificate, as the case may be, shall be filed with the 266
	300	+	Secretary to the Council not more than 3 days after the delivery of the bonds or notes covered by 267
	301	+	the certificate. Any bond issuance certificate or note issuance certificate shall be conclusive 268
	302	+	evidence of the actions or determinations taken or made as stated in the certificate. 269
	303	+	(f) The Procurement Act and the Deposit and Investment Act shall not apply to whatever 270
	304	+	contract the Mayor or an Authorized Delegate may from time to time enter into for purposes of 271
	305	+	this act or the Mayor or an Authorized Delegate may determine to be necessary or appropriate for 272
	306	+	purposes of this act to place, in whole or in part, including, but not limited to: 273
	307	+	(1) An investment or obligation of the District as represented by the bonds or 274
	308	+	notes; 275
	309	+	(2) A contract or contracts for bond insurance or other credit enhancement 276
	310	+	(including, but not limited to, a letter or line of credits), or liquidity agreements, or 277
	311	+	placement of any investment or obligation or program of investment including any offering 278
	312	+	document, contract based on interest rate, currency, cash flow, or other basis, including, 279
	313	+	without limitation, interest rate swap agreements; currency swap agreements; insurance agreements; 280
	314	+	forward payment conversion agreements; futures contracts providing for payments based on levels 281
	315	+	of, or changes in, interest rates, currency exchange rates, or stock or other indices; contracts to 282
	316	+	exchange cash flows or a series of payments; and contracts to hedge payment, currency, rate, 283
	317	+	spread, or similar exposure, including, without limitation, interest rate floors, or caps, options, 284
	318	+	puts, and calls, Hedge Agreements, and any required supplements to any such documents. 285
	319	+	The contracts or other arrangements may also be entered into by the District in connection with, or 286
599	320		13
600	321
601		-	Sec. 11. General covenants.
602		-	(a) The following covenants are made by the District in connection with the
603		-	authorization and issuance of the bonds:
604		-	(1) Pursuant to section 603(c) of the Home Rule Act, the Council shall not approve
605		-	any budget that would result in expenditures being made by the District during any fiscal year in
606		-	excess of all resources that the Mayor estimates will be available from all funds available to the
607		-	District for that fiscal year, except as permitted by applicable law. The Mayor shall not forward to
608		-	the President for submission to Congress a budget that is not balanced according to the provisions
609		-	of section 603(c) of the Home Rule Act, except as permitted by applicable law.
610		-	(2) The District shall prepare its annual financial statements in accordance with
611		-	generally accepted accounting principles for state and local governments and cause its annual
612		-	financial statements to be audited by an independent accountant.
613		-	(3) The District shall not issue any general obligation bonds or general
614		-	obligation bond anticipation notes, other than bonds or renewal notes to refund any Outstanding
615		-	Debt, or incur any indebtedness to the Treasury of the United States for capital projects in an
616		-	amount that would cause the amount of debt service payable in any fiscal year on all the
617		-	indebtedness, including all outstanding bonds and loans, to exceed any limitations set forth in the
618		-	Home Rule Act or the borrowing limitation set forth in D. C. Official Code § 47-335.02 at the
619		-	time the additional bonds or indebtedness are issued or incurred. For purposes of the l imitation
620		-	imposed by this section, and as required by section 475(b) of the Home Rule Act, the Council
621		-	hereby determines that the estimated maximum annual debt service amount for the bonds
622		-	anticipated by the notes is $30 million .
623		-
624		-	(4) Subject to applicable law, the District shall maintain a capital projects fund,
625		-	separate from other funds of the District, into which it will deposit the proceeds of any bonds or
626		-	notes, other than bonds or notes issued to refund Outstanding Debt, less any capitalized interest
627		-	and accrued interest, and shall expend the proceeds only to finance capital projects and incidental
628		-	costs as defined in section 103(8) of the Home Rule Act. Subject to applicable law, the proceeds
629		-	of the bonds or notes may be escrowed in appropriate accounts with escrow agents or a trustee for
630		-	the bonds or notes to be applied to the applicable purposes. Interest or other investment earnings
631		-	of proceeds in the capital projects fund shall be credited to the General Fund of the District of
632		-	Columbia, subject to provisions for any deposit requirements to a rebate fund or other funds in
633		-	accordance with agreements pertaining to the bonds or notes.
634		-
635		-	(c) The Mayor or an Authorized Delegate may, through a trust agreement or other
636		-	instrument, make additional covenants of the District and agree to other provisions to better secure,
637		-	administer funds for, and protect the bonds or notes and the owners thereof.
638		-
639		-	Sec. 12. Events of default.
640		-	(a) Each of the following events constitutes an event of default:
641		-	(1) Failure to pay the principal of the bonds or notes, as the case may be, when ENROLLED ORIGINAL
642		-
643		-
644		-
645		-
	322	+	incidental to, entering into or maintaining any agreement that secures the bonds or notes. The 287
	323	+	contracts or other arrangements entered into pursuant to this section shall contain whatever payment 288
	324	+	security, terms, and conditions as the Mayor or an Authorized Delegate may consider appropriate 289
	325	+	and shall be entered into with whatever party or parties the Mayor or an Authorized Delegate may 290
	326	+	select, after giving due consideration, where applicable, to the creditworthiness of the counterparty 291
	327	+	or counterparties, including any rating by a nationally recognized rating agency or any other 292
	328	+	criteria as may be appropriate. 293
	329	+	(3) A contract or contracts for an escrow agent, paying agent, disclosure agent, 294
	330	+	trustee, collection agent, registrar, underwriting, legal services, accounting, financial advisory 295
	331	+	services, rating agency services, printing, and any other contracts for services of professionals or 296
	332	+	advisors or for disclosure services as the Mayor or an Authorized Delegate may deem to be 297
	333	+	necessary or appropriate. 298
	334	+	Sec. 8. Payment and security of the bonds and notes. 299
	335	+	(a) The full faith and credit of the District is pledged for the payment of the principal of, 300
	336	+	and interest on, the bonds and notes as they become due and payable through required sinking fund 301
	337	+	payments, redemptions, or otherwise. 302
	338	+	(b) The Council shall, in the full exercise of the authority granted in section 483 of the 303
	339	+	Home Rule Act and under any other law, provide in each annual budget for a fiscal year of the 304
	340	+	District sufficient funds to pay the principal of, and interest on, the bonds and notes becoming 305
	341	+	due and payable for any reason during that fiscal year. 306
	342	+	(c) The Mayor shall, in the full exercise of the authority granted to the Mayor under the 307
	343	+	Home Rule Act and under any other law, take such actions as may be necessary or appropriate to 308
	344	+	ensure that the principal of, and interest on, the bonds and notes are paid when due for any reason, 309
646	345		14
647	346
648		-	the principal becomes due and payable at maturity, upon redemption, or otherwise;
649		-	(2) Failure to pay an installment of interest on the bonds or notes, as the case
650		-	may be, upon the day when the interest becomes due; and
651		-
652		-	(3) Failure by the District to observe and perform any covenant, condition,
653		-	agreement, or provision, other than as specified in paragraphs (1) and (2) of this subsection,
654		-	contained in the bonds or notes, as the case may be, or in this act, but only if the failure
655		-	continues for a period of 90 days after transmittal to the District of written notice of failure.
656		-
657		-	(b) A bond or note owner who claims an event of default under subsection (a)(3) of this
658		-	section shall provide to the registrar written notice specifying the failure and requesting that it be
659		-	remedied. Upon verifying that the written notice has been transmitted by a bona fide bond or note
660		-	owner, the registrar, if other than the District, shall transmit the written notice to the District. If
661		-	the registrar is the District, the written notice shall be delivered directly to the Mayor. Transmittal
662		-	to the District of the written notice required by subsection (a)(3) of this section shall not be
663		-	accomplished in any manner other than that set forth in this subsection. If there is a trust
664		-	agreement or Escrow Agreement for the bonds or notes, the notice by bond or note owners and
665		-	notice to the District shall be given by and to the persons designated in or pursuant to such
666		-	agreement.
667		-
668		-
669		-	Sec. 13. Remedies.
670		-	(a) Upon the occurrence and continuance of any event of default, any bond or note
671		-	owner may:
672		-	(1) By mandamus or other suit, action, or proceeding at law or in equity, enforce
673		-	all rights of the bond or note owner and require the District to carry out any agreements with or for
674		-	the benefit of the bond or note owner and to perform its duties under this act;
675		-	(2) Bring suit upon the bonds or notes, as the case may be; and
676		-	(3) By action or suit at law or in equity, enjoin any acts that may be unlawful or in
677		-	violation of the rights of the bond or note owner.
678		-	(b) If any proceeding initiated by any bond or note owner to enforce any right under this
679		-	act is discontinued or abandoned for any reason, the District and the bond or note owner shall be
680		-	restored to their former positions and rights, and all rights, remedies, and powers of each of the
681		-	parties shall continue as though the proceeding had not been initiated.
682		-	(c) Subject to the provisions of the Home Rule Act, if there is a trust agreement or
683		-	Escrow Agreement for the bonds or notes, actions under this act or such agreement, or on the
684		-	bonds or notes, as the case may be, shall be subject to applicable provisions in the agreement,
685		-	notwithstanding other provisions in this act.
686		-
687		-
688		-	Sec. 14. District officials.
689		-
690		-	(a) The elected and appointed officials, officers, employees, or agents of the District shall
691		-	not be liable personally for the payment of the bonds or notes or be subject to any personal ENROLLED ORIGINAL
692		-
693		-
694		-
695		-
	347	+	including the payment of principal and interest from any funds or accounts of the District not 310
	348	+	otherwise legally committed. 311
	349	+	(d) The bonds and notes shall evidence continuing obligations of the District until paid in 312
	350	+	accordance with their terms. 313
	351	+	(e) Any Paying Agent shall pay the principal of, and interest on, the bonds and notes 314
	352	+	and may perform other ministerial responsibilities as specifically provided in its appointment as 315
	353	+	paying agent. 316
	354	+	(f) Proceeds of the bonds or notes and any money set aside for any security for the bonds 317
	355	+	or notes or any contract or other arrangement entered into pursuant to this section, may be pledged to 318
	356	+	and used to service any contract or other arrangement providing for payment of principal of and 319
	357	+	interest on the bonds or notes. 320
	358	+	Sec. 9. Special tax; establishment of rates; collection. 321
	359	+	(a) (1) The Council determines that a special tax is necessary in conjunction with the 322
	360	+	authorization and issuance of the bonds and any Additional Bonds. Pursuant to section 481 of the 323
	361	+	Home Rule Act and notwithstanding the provisions of Chapter 5 of Title 47 of the District of 324
	362	+	Columbia Official Code, there is levied, for each real property tax year in which bonds or 325
	363	+	Additional Bonds are outstanding, a special tax on the real property in the District subject to 326
	364	+	taxation, in amounts that will be sufficient to pay the principal of, and interest on, the bonds and 327
	365	+	Additional Bonds coming due in each year. This special tax is levied, without limitation as to rate 328
	366	+	or amount, on all classes of real property subject to taxation in the District. The special tax shall be 329
	367	+	collected and apportioned among classes of real property in the same manner as other District real 330
	368	+	property taxes and, when collected, shall be set aside in a Special Tax Fund maintained separate 331
	369	+	from other funds of the District. The collection and custody of the special tax payment may be 332
696	370		15
697	371
698		-	liability by reason of the issuance of the bonds or notes.
699		-	(b) The signature, countersignature, facsimile signature, or facsimile countersignature on
700		-	the bonds or notes shall be valid and sufficient for all purposes, notwithstanding the fact that the
701		-	official ceases to be that official before delivery of the bonds or notes.
702		-
703		-
704		-	Sec. 15. Defeasance of bonds and notes.
705		-
706		-	(a) The bonds or notes, as the case may be, shall be legally defeased and no longer be
707		-	considered outstanding and unpaid for the purpose of this act , and the requirements of this act
708		-	shall be discharged with respect to the bonds or the notes if the Mayor or an Authorized
709		-	Delegate:
710		-
711		-	(1) Deposits with an escrow agent, which shall be a bank, trust company, or
712		-	national banking association with requisite trust powers, in a separate defeasance escrow
713		-
714		-	account, established and maintained by the escrow agent solely at the expense of the
715		-	District and held in trust for the bond owners, sufficient moneys or direct obligations of the
716		-	United States, the principal of, and interest on, which, when due and payable, will provide
717		-	sufficient moneys to pay when due the principal of, and interest on, the bonds or notes to be
718		-	defeased; and
719		-
720		-	(2) Delivers to the defeasance escrow agent an irrevocable letter of instruction to
721		-	apply the moneys or investments to the payment of the principal of and interest on, the bonds or
722		-	notes to be defeased as they become due and payable.
723		-	(b) The defeasance escrow agent shall not invest the defeasance escrow account in any
724		-	investment callable at the option of its issuer if the call could result in less than sufficient moneys
725		-	being available for the purposes required by this section.
726		-
727		-	(c) The defeasance escrow account specified in subsection (a) of this section may be
728		-	established and maintained without regard to any District limitations placed on these accounts by
729		-	any law,
730		-	except for this act.
731		-	(d) References in this section to "amounts due and payable" include, but are not limited to,
732		-	amounts due and payable by reason of optional or mandatory redemption.
733		-
734		-
735		-	Sec. 16. Additional debt and other obligations.
736		-	Subject to the terms of any trust agreement or Escrow Agreement pertaining to the bonds or
737		-	notes, the District reserves the right at any time to borrow money or enter into other
738		-	obligations to the full extent permitted by law, to secure the borrowings or obligations by the pledge
739		-	of its full faith and credit, to secure the borrowings or other obligations by any other security and
740		-	pledges of funds as may be authorized by law, and to issue bonds, including Additional Bonds,
741		-	notes, including Additional Notes, or other instruments, to evidence the borrowings or obligations.
742		-	Any act of the Council authorizing the issuance of Additional Bonds or Additional Notes shall
743		-	provide for an increase in the special tax requirements sufficient to pay principal of, and interest on,
744		-	the Additional Bonds or Additional Notes. ENROLLED ORIGINAL
745		-
746		-
747		-
748		-
	372	+	pursuant to an agreement with an agent for such purposes and the Special Tax Fund may be 333
	373	+	maintained under an Escrow Agreement. When deposited, the funds in the fund and all investment 334
	374	+	income or earnings on these funds shall be irrevocably dedicated and pledged to the payment of 335
	375	+	principal, and interest on, the bonds and any Additional Bonds. Any Escrow Agreement providing 336
	376	+	for holding funds for the benefit of the holders of the bonds shall be maintained so long as any of 337
	377	+	the bonds is outstanding under this act. 338
	378	+	(2) In addition to the special tax levied pursuant to paragraph (1) of this subsection, the 339
	379	+	Council determines that a separate tax levy is necessary in conjunction with the authorization and 340
	380	+	issuance of notes and any Additional Notes. Pursuant to section 467(a) of the Home Rule Act, and 341
	381	+	notwithstanding the provisions of Chapter 5 of Title 47 of the District of Columbia Official Code, 342
	382	+	there is levied, for each real property tax year in which notes or Additional Notes are outstanding, a 343
	383	+	special tax for notes on the real property in the District subject to taxation, which shall be separate 344
	384	+	and distinct from the collection and pledge of the special tax in paragraph (1) of this subsection, in 345
	385	+	amounts that will be sufficient to pay the principal of, and interest on, the notes and Additional Notes 346
	386	+	coming due in each year. This special tax for notes is levied, without limitation as to rate or amount, 347
	387	+	on all classes of real property subject to taxation in the District. The special tax for notes shall be 348
	388	+	collected and apportioned among classes of real property in the same manner as other District real 349
	389	+	property taxes and, when collected, shall be set aside in a Special Tax Fund for Notes maintained 350
	390	+	separate from other funds of the District, including the Special Tax Fund maintained under paragraph 351
	391	+	(1) of this subsection. The collection and custody of the revenue pledge payment may be pursuant to 352
	392	+	an agreement with an agent for such purposes and the Special Tax Fund for Notes may be 353
	393	+	maintained under an Escrow Agreement. When deposited, the revenues in the fund and all 354
	394	+	investment income or earnings on these funds shall be irrevocably dedicated and pledged to the 355
749	395		16
750	396
751		-
752		-	Sec. 17. Tax status.
753		-	If and to the extent the bonds or notes are issued on a tax- exempt basis, the Mayor or an
754		-	Authorized Delegate shall not (1) take any action or omit to take any action, or (2) invest, reinvest,
755		-	or accumulate any moneys in a manner, that will cause the interest on the bonds or notes, as the
756		-	case may be, to be includable in gross income for federal income tax purposes or to be treated as
757		-	an item of tax preference for purposes of the federal alternative minimum tax. The Mayor or an
758		-	Authorized Delegate shall also take all actions necessary to be taken, including to make any rebate
759		-	payment, if any, when due, so that the interest on the bonds or notes will not be includable in gross
760		-	income for federal income tax purposes or be treated as an item of tax preference for purposes of
761		-	the federal alternative minimum tax.
762		-
763		-	Sec. 18. Contract.
764		-	This act shall constitute a contract between the District and the owners of the bonds and
765		-	notes. To the extent that any acts or resolutions of the Council may be in conflict with this act, this
766		-	act shall be controlling with respect to bonds and notes.
767		-
768		-	Sec. 19. Authorized delegation of authority.
769		-	To the extent permitted by District and federal laws, the Mayor may delegate to any
770		-	authorized delegate the performance of any act authorized to be performed by the Mayor under this
771		-	act.
772		-
773		-	Sec. 20. Maintenance of documents.
774		-	Copies of the specimen bonds and notes and related documents shall be filed in the
775		-	Office of the Secretary of the District of Columbia.
776		-
777		-	See. 21. Information reporting.
778		-	(a) Within 3 days after the Mayor's receipt of the transcript of proceedings relating to
779		-	the issuance of any series of the bonds or notes, the Mayor shall transmit a copy of the transcript to
780		-	the Secretary to the Council.
781		-
782		-	(b) The Mayor shall notify the Council, within 30 days, if any funds or accounts of
783		-	the District not otherwise legally committed have been used for the payment of principal of
784		-	and interest on the bonds pursuant to section 8(c).
785		-
786		-	(c)(1) The Mayor's letter of transmittal accompanying the submission of any proposed
787		-	resolution to approve the issuance of bonds or notes pursuant to this act shall include a statement
788		-	as to:
789		-
790		-	(A) Whether the bonds or notes of any series are intended to be sold by
791		-	competitive bid or by negotiated sale and, if bonds of any series are intended to be sold by
792		-	negotiated sale, a copy of the Mayor's written determination that sale by competitive bid is not
793		-	feasible or is not in the best interests of the District and a statement of the reasons supporting ENROLLED ORIGINAL
794		-
795		-
796		-
797		-
	397	+	payment of principal, and interest on, the notes and any Additional Notes. Any Escrow Agreement 356
	398	+	providing for holding funds for the benefit of the holders of the notes or Additional Notes shall be 357
	399	+	maintained so long as any of the notes or Additional Notes is outstanding under this act. 358
	400	+	(3) The special taxes authorized pursuant to subsection (a)(1) and (2) of this section 359
	401	+	shall be levied and collected ratably and on a parity with each other, and in the event there are 360
	402	+	insufficient collections of real property taxes, the amounts collected shall be allocated to each of 361
	403	+	the Special Tax Funds in proportion of the amounts of bonds and Additional Bonds and notes and 362
	404	+	Additional Notes outstanding. 363
	405	+	(b) The District irrevocably pledges for and on behalf of the owners of the bonds or notes 364
	406	+	as further security for the due and punctual payment of the principal and redemption price, if any, 365
	407	+	of, and interest on, the bonds or notes as they shall become due and payable for any reason, all of 366
	408	+	its right, title, and interest now owned or later acquired in and to the revenue from the applicable 367
	409	+	special taxes levied by this section, whether to be received, or held at the time, by a collection 368
	410	+	agent, custodian, or escrow agent for the District, or by District officials. This pledge creates and 369
	411	+	grants a parity security interest, which is created and perfected as contemplated in section 467 of 370
	412	+	the Home Rule Act, subject to the terms, conditions, and limitations in this act, including the 371
	413	+	provisions of subsections (e) and (i) of this section and the provisions setting forth conditions and 372
	414	+	limitations applicable to the issuance of Additional Bonds or Additional Notes secured, equally 373
	415	+	and ratably with the bonds or notes, respectively by a pledge of and security interest in the special 374
	416	+	tax revenue or special tax for notes revenue. 375
	417	+	(c) The security interests created in the revenues from the special taxes levied by this 376
	418	+	section shall be valid, binding, and perfected from the time of the delivery of the first bonds or 377
	419	+	notes with or without the physical delivery or allocation of any special tax revenue or special tax 378
798	420		17
799	421
800		-	this determination; and
801		-	(B) Whether the bonds or notes of any series are intended to be issued on a
802		-	tax-exempt or taxable basis.
803		-	(d)(1) No portion of the proceeds of the sale of bonds or notes shall be used to
804		-	compensate a District employee unless the employee actually performs duties related to the
805		-	projects financed by this act, as provided in section 5(e).
806		-	(2) Within 30 days after the effective date of this act, and before any bonds or
807		-	notes are issued pursuant to this act, the Mayor shall submit to the Council a list of all
808		-	District employees who are compensated, in whole or part, by capital improvement funds.
809		-	(e) With respect to a negotiated sale of bonds or notes, the underwriters shall provide
810		-	written notification to the District of the following circumstances:
811		-	(1) Any relationship, during the prior 2 years, with elected or appointed District
812		-	officials, or the District's bond counsel or financial advisor, which could create a conflict of
813		-	interest or apparent conflict of interest with the duties performed, or to be performed, by such
814		-	underwriters or other advisors for the District;
815		-	(2) Any arrangement, during the prior 2 years, to share fees with other
816		-	underwriters, firms, or individuals in connection with the provision of services to the District by
817		-	either entity; and
818		-	(3) Any public finance transaction for any other issuer where the underwriter, or
819		-	prospective underwriter, is serving, or has served in the prior 2 years, as financial advisor in any
820		-	transaction where the District's financial advisor was, or is, an underwriter.
821		-
822		-	Sec. 22. Period of Limitations.
823		-	At the end of the 20- day period beginning on the date of the first publication pursuant to
824		-	the notice in section 463(a) of the Home Rule Act that an act authorizing the issuance of the
825		-	bonds has taken effect:
826		-	(1) Any recital or statement of fact contained in such act or in the preamble or title of
827		-	this act shall be deemed to be true for the purpose of determining the validity of any bonds
828		-	authorized by this act, and the District and all others interested shall be estopped from denying
829		-	any such recital or statement of fact; and
830		-	(2) This act, and all proceedings in connection with the authorization of the issuance
831		-	of bonds authorized by this act, shall be deemed to have been duly and regularly taken, passed,
832		-	and done by the District, in compliance with the Home Rule Act and all other applicable laws, for
833		-	the purpose of determining the validity of this act and the proceeding in connection with the
834		-	authorization and issuance of bonds authorized by this act; and no court shall have jurisdiction in
835		-	any suit, action, or proceeding commenced before the end of such 20-day period.
836		-
837		-
838		-	ENROLLED ORIGINAL
839		-
840		-
841		-
842		-
	422	+	for notes revenue and with or without any further action. The security interest shall be valid, 379
	423	+	binding, and perfected whether or not any statement, document, or instrument relating to the 380
	424	+	security interest is recorded or filed. The pledge and lien created by the security interest shall be 381
	425	+	valid, binding, and perfected with respect to any individual or legal entity having claims against 382
	426	+	the District, whether or not the individual or legal entity has notice of the pledge and lien. 383
	427	+	(d) If the District pays or, pursuant to section 15, makes provisions to pay to the owners of 384
	428	+	all bonds and Additional Bonds or notes and Additional Notes the principal or redemption price, 385
	429	+	if any, and the interest due or to become due, at the time and in the manner stipulated, the security 386
	430	+	interest created in the revenue from the special taxes levied under this section shall be terminated. 387
	431	+	(e)(1) In any real property tax year, if the amount expected to be on deposit in the Special 388
	432	+	Tax Fund on the first day of the next succeeding real property tax year exceeds the greater of the 389
	433	+	earnings on the Special Tax Fund for the current real property tax year or 1/12 of the amount that 390
	434	+	the Mayor certifies as required to pay the principal of, and interest on, the bonds and any 391
	435	+	Additional Bonds coming due in the next succeeding real property tax year, the Mayor shall either 392
	436	+	cause the transfer of that excess amount to the General Fund of the District of Columbia or the 393
	437	+	use of that excess amount to purchase, for cancellation, Outstanding Debt. That excess amount 394
	438	+	shall be released from the lien on and security interest in the special tax revenue created under this 395
	439	+	section. 396
	440	+	(2) In any real property tax year, if the amount expected to be on deposit the 397
	441	+	Special Tax Fund for Notes on the first day of the next succeeding real property tax year exceeds 398
	442	+	the greater of the earnings on the Special Tax Fund for Notes for the current real property tax 399
	443	+	year or 1/12 of the amount that the Mayor certifies as required to pay the principal of, and interest 400
	444	+	on, the notes and any Additional Notes coming due in the next succeeding real property tax year, 401
843	445		18
844	446
845		-	Sec 23. Severability.
846		-	As provided in the General Rule of Severability Adoption Act of 1983, effective March
847		-	14, 1984 (D.C. Law 5-56; D.C. Official Code § 45- 201), if any provision of this act or the
848		-	application of this act to any person or circumstance is held to be unconstitutional or beyond the
849		-	statutory authority of the Council, or otherwise invalid, the i nvalidity shall not affect other
850		-	provisions or applications of the act that can be given effect without the invalid provision or
851		-	application, and to this end the provisions of this act are declared to be severable.
	447	+	the Mayor shall either cause the transfer of that excess amount to the General Fund of the District 402
	448	+	of Columbia or the use of that excess amount to purchase, for cancellation, Outstanding Debt. 403
	449	+	That excess amount shall be released from the lien on and security interest in the special tax for 404
	450	+	notes revenue created under this section. 405
	451	+	(3) On or before the date upon which the Mayor is required by law to submit to 406
	452	+	the Council proposed real property tax rates for a real property tax year of the District (but not 407
	453	+	later than the first day of that real property tax year), the Mayor shall certify to the Council the 408
	454	+	amount required in that real property tax year to pay the principal of, and interest on, the bonds 409
	455	+	and any Additional Bonds or notes and any Additional Notes coming due for any reason during 410
	456	+	that real property tax year. The amount certified, less any funds then on deposit in the Special 411
	457	+	Tax Funds after application of paragraphs (1) and (2) of this subsection, shall be called the 412
	458	+	special tax requirement. 413
	459	+	(f) On or before the date upon which the Mayor is required by law to submit to the Council 414
	460	+	proposed tax rates for a real property tax year of the District (but not later than the first day of that 415
	461	+	real property tax year), the Mayor shall calculate and submit to the Council proposed real property 416
	462	+	special tax rates to be applied during the real property tax year to all real property subject to 417
	463	+	taxation in the District. The real property special tax rates shall be calculated to yield the special tax 418
	464	+	requirement, as that amount is certified by the Mayor pursuant to subsection (e) of this section. 419
	465	+	(g) The Council, in the same manner as provided for the establishment of other real 420
	466	+	property tax rates, shall, by act, establish real property special tax rates for the real property tax 421
	467	+	year calculated to yield the special tax requirement, as that amount is certified by the Mayor 422
	468	+	pursuant to subsection (e) of this section. If the Council fails to enact special real property tax 423
	469	+	rates for the real property tax year within the time provided by law, the real property special tax 424
	470	+	19
852	471
853		-	Sec. 24. Fiscal impact statement.
854		-	The Council adopts the fiscal impact statement of the Chief Financial Officer as the
855		-	fiscal impact statement required by section 4a of the General Legislative Procedures Act of
856		-	1975, approved October 16, 2006 (120 Stat. 2038; D.C. Official Code § 1- 301.47a).
	472	+	rates submitted by the Mayor pursuant to subsection (f) of this section shall be the real property 425
	473	+	special tax rates to be applied during that real property tax year. 426
	474	+	(h) Real property special taxes shall be collected in the same manner as other District real 427
	475	+	property taxes and the Mayor shall promptly deposit in the Special Tax Funds all real property 428
	476	+	special taxes collected, including collection through a collection agent and deposit under an 429
	477	+	Escrow Agreement. If the law of the District relating to the levy or collection of real property 430
	478	+	taxes or the calculation or establishment of real property tax rates is changed in a manner that 431
	479	+	renders any of the provisions of subsections (e) through (h) of this section incapable of 432
	480	+	performance in accordance with their respective terms, the Mayor and the Council shall take 433
	481	+	actions that result in the collection of real property special taxes, in the same manner as other 434
	482	+	District real property taxes, in the amounts required by this section. 435
	483	+	(i) The District and the Mayor reserve the right to satisfy all or a portion of the special tax 436
	484	+	pledge requirements by setting aside and depositing into the Special Tax Funds, equally and ratably, 437
	485	+	at any time any funds of the District not otherwise legally committed, which shall irrevocably 438
	486	+	dedicate and pledge those deposits to the payment of principal of, and interest on, the bonds and 439
	487	+	Additional Bonds or notes and any Additional Notes then outstanding. To the extent that all or a 440
	488	+	portion of the special tax requirement or revenue pledge requirement is satisfied by those deposits, 441
	489	+	an equal amount of real property special tax revenue or special tax for notes revenue subsequently 442
	490	+	collected shall be released from the lien on and the security interest in the special tax revenue or the 443
	491	+	special tax for notes revenue created under this section and shall be paid to reimburse the General 444
	492	+	Fund of the District of Columbia or other fund of the District of Columbia from which the other 445
	493	+	funds were received, and any other funds so deposited in lieu of a portion of the special tax revenues 446
	494	+	or pledged property tax revenues shall be subject to the pledge and security interest under this act as 447
	495	+	20
857	496
858		-	Sec. 25. Effective date.
859		-	This act shall take effect following approval by the Mayor (or in the event of veto by the Mayor,
860		-	action by the Council to override the veto), and shall remain in effect for no longer than 90 days,
861		-	as provided for emergency acts of the Council of the District of Columbia in section 412(a) of the
862		-	District of Columbia Home Rule A ct, approved December 24, 1973 (87 Stat. 788; D.C. Official
863		-	Code § 1-204.12(a)).
	497	+	if they were special tax revenues or special tax for notes pledged revenues pursuant to section 467 of 448
	498	+	the Home Rule Act. 449
	499	+	(j) The Mayor shall provide for the payment of the principal of, and interest on, the bonds 450
	500	+	or notes, as it may become due and payable for any reason, by transferring funds on deposit in the 451
	501	+	Special Tax Funds, respectively, to the Paying Agent to the extent required pursuant to the bond or 452
	502	+	Additional Bond issuance certificate or note or Additional Note issuance certificate provided for in 453
	503	+	section 7. 454
	504	+	Sec. 10. Issuance of bonds to pay notes when due. 455
	505	+	(a) The District shall issue the bonds or, to the extent permitted by the Home Rule Act, 456
	506	+	renewal notes to provide for the payment of the principal of the notes, as they may become due and 457
	507	+	payable. 458
	508	+	(b) The par value to be received from the sale of any bonds issued to refund the notes or any 459
	509	+	renewal notes shall, to the extent necessary, be used to pay the principal of, and interest on, the 460
	510	+	notes when due and are pledged to that purpose. 461
	511	+	Sec. 11. General covenants. 462
	512	+	(a) The following covenants are made by the District in connection with the 463
	513	+	authorization and issuance of the bonds: 464
	514	+	(1) Pursuant to section 603(c) of the Home Rule Act, the Council shall not approve 465
	515	+	any budget that would result in expenditures being made by the District during any fiscal year in 466
	516	+	excess of all resources that the Mayor estimates will be available from all funds available to the 467
	517	+	District for that fiscal year, except as permitted by applicable law. The Mayor shall not forward to 468
	518	+	the President for submission to Congress a budget that is not balanced according to the provisions 469
	519	+	of section 603(c) of the Home Rule Act, except as permitted by applicable law. 470
	520	+	21
864	521
	522	+	(2) The District shall prepare its annual financial statements in accordance with 471
	523	+	generally accepted accounting principles for state and local governments and cause its annual 472
	524	+	financial statements to be audited by an independent accountant. 473
	525	+	(3) The District shall not issue any general obligation bonds or general 474
	526	+	obligation bond anticipation notes, other than bonds or renewal notes to refund any Outstanding 475
	527	+	Debt, or incur any indebtedness to the Treasury of the United States for capital projects in an 476
	528	+	amount that would cause the amount of debt service payable in any fiscal year on all the 477
	529	+	indebtedness, including all outstanding bonds and loans, to exceed any limitations set forth in the 478
	530	+	Home Rule Act or the borrowing limitation set forth in D. C. Official Code § 47-335.02 at the 479
	531	+	time the additional bonds or indebtedness are issued or incurred. For purposes of the limitation 480
	532	+	imposed by this section, and as required by section 475(b) of the Home Rule Act, the Council 481
	533	+	hereby determines that the estimated maximum annual debt service amount for the bonds 482
	534	+	anticipated by the notes is $30 million. 483
	535	+	(4) Subject to applicable law, the District shall maintain a capital projects fund, 484
	536	+	separate from other funds of the District, into which it will deposit the proceeds of any bonds or 485
	537	+	notes, other than bonds or notes issued to refund Outstanding Debt, less any capitalized interest 486
	538	+	and accrued interest, and shall expend the proceeds only to finance capital projects and incidental 487
	539	+	costs as defined in section 103(8) of the Home Rule Act. Subject to applicable law, the proceeds 488
	540	+	of the bonds or notes may be escrowed in appropriate accounts with escrow agents or a trustee for 489
	541	+	the bonds or notes to be applied to the applicable purposes. Interest or other investment earnings 490
	542	+	of proceeds in the capital projects fund shall be credited to the General Fund of the District of 491
	543	+	Columbia, subject to provisions for any deposit requirements to a rebate fund or other funds in 492
	544	+	accordance with agreements pertaining to the bonds or notes. 493
	545	+	22
865	546
	547	+	(b) The Mayor or an Authorized Delegate may, through a trust agreement or other 494
	548	+	instrument, make additional covenants of the District and agree to other provisions to better secure, 495
	549	+	administer funds for, and protect the bonds or notes and the owners thereof. 496
	550	+	Sec. 12. Events of default. 497
	551	+	(a) Each of the following events constitutes an event of default: 498
	552	+	(1) Failure to pay the principal of the bonds or notes, as the case may be, when 499
	553	+	the principal becomes due and payable at maturity, upon redemption, or otherwise; 500
	554	+	(2) Failure to pay an installment of interest on the bonds or notes, as the case 501
	555	+	may be, upon the day when the interest becomes due; and 502
	556	+	(3) Failure by the District to observe and perform any covenant, condition, 503
	557	+	agreement, or provision, other than as specified in paragraphs (1) and (2) of this subsection, 504
	558	+	contained in the bonds or notes, as the case may be, or in this act, but only if the failure 505
	559	+	continues for a period of 90 days after transmittal to the District of written notice of failure. 506
	560	+	(b) A bond or note owner who claims an event of default under subsection (a)(3) of this 507
	561	+	section shall provide to the registrar written notice specifying the failure and requesting that it be 508
	562	+	remedied. Upon verifying that the written notice has been transmitted by a bona fide bond or note 509
	563	+	owner, the registrar, if other than the District, shall transmit the written notice to the District. If 510
	564	+	the registrar is the District, the written notice shall be delivered directly to the Mayor. Transmittal 511
	565	+	to the District of the written notice required by subsection (a)(3) of this section shall not be 512
	566	+	accomplished in any manner other than that set forth in this subsection. If there is a trust 513
	567	+	agreement or Escrow Agreement for the bonds or notes, the notice by bond or note owners and 514
	568	+	notice to the District shall be given by and to the persons designated in or pursuant to such 515
	569	+	agreement. 516
	570	+	23
866	571
867		-	______________________________
868		-	Chairman
869		-	Council of the District of Columbia
	572	+	Sec. 13. Remedies. 517
	573	+	(a) Upon the occurrence and continuance of any event of default, any bond or note 518
	574	+	owner may: 519
	575	+	(1) By mandamus or other suit, action, or proceeding at law or in equity, enforce 520
	576	+	all rights of the bond or note owner and require the District to carry out any agreements with or for 521
	577	+	the benefit of the bond or note owner and to perform its duties under this act; 522
	578	+	(2) Bring suit upon the bonds or notes, as the case may be; and 523
	579	+	(3) By action or suit at law or in equity, enjoin any acts that may be unlawful or in 524
	580	+	violation of the rights of the bond or note owner. 525
	581	+	(b) If any proceeding initiated by any bond or note owner to enforce any right under this 526
	582	+	act is discontinued or abandoned for any reason, the District and the bond or note owner shall be 527
	583	+	restored to their former positions and rights, and all rights, remedies, and powers of each of the 528
	584	+	parties shall continue as though the proceeding had not been initiated. 529
	585	+	(c) Subject to the provisions of the Home Rule Act, if there is a trust agreement or 530
	586	+	Escrow Agreement for the bonds or notes, actions under this act or such agreement, or on the 531
	587	+	bonds or notes, as the case may be, shall be subject to applicable provisions in the agreement, 532
	588	+	notwithstanding other provisions in this act. 533
	589	+	Sec. 14. District officials. 534
	590	+	(a) The elected and appointed officials, officers, employees, or agents of the District shall 535
	591	+	not be liable personally for the payment of the bonds or notes or be subject to any personal 536
	592	+	liability by reason of the issuance of the bonds or notes. 537
	593	+	(b) The signature, countersignature, facsimile signature, or facsimile countersignature on 538
	594	+	the bonds or notes shall be valid and sufficient for all purposes, notwithstanding the fact that the 539
	595	+	24
870	596
	597	+	official ceases to be that official before delivery of the bonds or notes. 540
	598	+	Sec. 15. Defeasance of bonds and notes. 541
	599	+	(a) The bonds or notes, as the case may be, shall be legally defeased and no longer be 542
	600	+	considered outstanding and unpaid for the purpose of this act, and the requirements of this act 543
	601	+	shall be discharged with respect to the bonds or the notes if the Mayor or an Authorized 544
	602	+	Delegate: 545
	603	+	(1) Deposits with an escrow agent, which shall be a bank, trust company, or 546
	604	+	national banking association with requisite trust powers, in a separate defeasance escrow 547
	605	+	account, established and maintained by the escrow agent solely at the expense of the 548
	606	+	District and held in trust for the bond owners, sufficient moneys or direct obligations of the 549
	607	+	United States, the principal of, and interest on, which, when due and payable, will provide 550
	608	+	sufficient moneys to pay when due the principal of, and interest on, the bonds or notes to be 551
	609	+	defeased; and 552
	610	+	(2) Delivers to the defeasance escrow agent an irrevocable letter of instruction to 553
	611	+	apply the moneys or investments to the payment of the principal of and interest on, the bonds or 554
	612	+	notes to be defeased as they become due and payable. 555
	613	+	(b) The defeasance escrow agent shall not invest the defeasance escrow account in any 556
	614	+	investment callable at the option of its issuer if the call could result in less than sufficient moneys 557
	615	+	being available for the purposes required by this section. 558
	616	+	(c) The defeasance escrow account specified in subsection (a) of this section may be 559
	617	+	established and maintained without regard to any District limitations placed on these accounts by 560
	618	+	any law, except for this act. 561
	619	+	(d) References in this section to "amounts due and payable" include, but are not limited to, 562
	620	+	25
871	621
	622	+	amounts due and payable by reason of optional or mandatory redemption. 563
	623	+	Sec. 16. Additional debt and other obligations. 564
	624	+	Subject to the terms of any trust agreement or Escrow Agreement pertaining to the bonds or 565
	625	+	notes, the District reserves the right at any time to borrow money or enter into other 566
	626	+	obligations to the full extent permitted by law, to secure the borrowings or obligations by the pledge 567
	627	+	of its full faith and credit, to secure the borrowings or other obligations by any other security and 568
	628	+	pledges of funds as may be authorized by law, and to issue bonds, including Additional Bonds, 569
	629	+	notes, including Additional Notes, or other instruments, to evidence the borrowings or obligations. 570
	630	+	Any act of the Council authorizing the issuance of Additional Bonds or Additional Notes shall 571
	631	+	provide for an increase in the special tax requirements sufficient to pay principal of, and interest on, 572
	632	+	the Additional Bonds or Additional Notes. 573
	633	+	Sec. 17. Tax status. 574
	634	+	If and to the extent the bonds or notes are issued on a tax-exempt basis, the Mayor or an 575
	635	+	Authorized Delegate shall not (1) take any action or omit to take any action, or (2) invest, reinvest, 576
	636	+	or accumulate any moneys in a manner, that will cause the interest on the bonds or notes, as the 577
	637	+	case may be, to be includable in gross income for federal income tax purposes or to be treated as 578
	638	+	an item of tax preference for purposes of the federal alternative minimum tax. The Mayor or an 579
	639	+	Authorized Delegate shall also take all actions necessary to be taken, including to make any rebate 580
	640	+	payment, if any, when due, so that the interest on the bonds or notes will not be includable in gross 581
	641	+	income for federal income tax purposes or be treated as an item of tax preference for purposes of 582
	642	+	the federal alternative minimum tax. 583
	643	+	Sec. 18. Contract. 584
	644	+	This act shall constitute a contract between the District and the owners of the bonds and 585
	645	+	26
872	646
	647	+	notes. To the extent that any acts or resolutions of the Council may be in conflict with this act, this 586
	648	+	act shall be controlling with respect to bonds and notes. 587
	649	+	Sec. 19. Authorized delegation of authority. 588
	650	+	To the extent permitted by District and federal laws, the Mayor may delegate to any 589
	651	+	authorized delegate the performance of any act authorized to be performed by the Mayor under this 590
	652	+	act. 591
	653	+	Sec. 20. Maintenance of documents. 592
	654	+	Copies of the specimen bonds and notes and related documents shall be filed in the 593
	655	+	Office of the Secretary of the District of Columbia. 594
	656	+	See. 21. Information reporting. 595
	657	+	(a) Within 3 days after the Mayor's receipt of the transcript of proceedings relating to 596
	658	+	the issuance of any series of the bonds or notes, the Mayor shall transmit a copy of the transcript to 597
	659	+	the Secretary to the Council. 598
	660	+	(b) The Mayor shall notify the Council, within 30 days, if any funds or accounts of 599
	661	+	the District not otherwise legally committed have been used for the payment of principal of 600
	662	+	and interest on the bonds pursuant to section 8(c). 601
	663	+	(c)(1) The Mayor's letter of transmittal accompanying the submission of any proposed 602
	664	+	resolution to approve the issuance of bonds or notes pursuant to this act shall include a statement 603
	665	+	as to: 604
	666	+	(A) Whether the bonds or notes of any series are intended to be sold by 605
	667	+	competitive bid or by negotiated sale and, if bonds of any series are intended to be sold by 606
	668	+	negotiated sale, a copy of the Mayor's written determination that sale by competitive bid is not 607
	669	+	feasible or is not in the best interests of the District and a statement of the reasons supporting 608
	670	+	27
873	671
	672	+	this determination; and 609
	673	+	(B) Whether the bonds or notes of any series are intended to be issued on a 610
	674	+	tax-exempt or taxable basis. 611
	675	+	(d)(1) No portion of the proceeds of the sale of bonds or notes shall be used to 612
	676	+	compensate a District employee unless the employee actually performs duties related to the 613
	677	+	projects financed by this act, as provided in section 5(e). 614
	678	+	(2) Within 30 days after the effective date of this act, and before any bonds or 615
	679	+	notes are issued pursuant to this act, the Mayor shall submit to the Council a list of all 616
	680	+	District employees who are compensated, in whole or part, by capital improvement funds. 617
	681	+	(e) With respect to a negotiated sale of bonds or notes, the underwriters shall provide 618
	682	+	written notification to the District of the following circumstances: 619
	683	+	(1) Any relationship, during the prior 2 years, with elected or appointed District 620
	684	+	officials, or the District's bond counsel or financial advisor, which could create a conflict of 621
	685	+	interest or apparent conflict of interest with the duties performed, or to be performed, by such 622
	686	+	underwriters or other advisors for the District; 623
	687	+	(2) Any arrangement, during the prior 2 years, to share fees with other 624
	688	+	underwriters, firms, or individuals in connection with the provision of services to the District by 625
	689	+	either entity; and 626
	690	+	(3) Any public finance transaction for any other issuer where the underwriter, or 627
	691	+	prospective underwriter, is serving, or has served in the prior 2 years, as financial advisor in any 628
	692	+	transaction where the District's financial advisor was, or is, an underwriter. 629
	693	+	Sec. 22. Period of Limitations. 630
	694	+	At the end of the 20-day period beginning on the date of the first publication pursuant to 631
	695	+	28
874	696
875		-	_________________________________
876		-	Mayor
877		-	District of Columbia
	697	+	the notice in section 463(a) of the Home Rule Act that an act authorizing the issuance of the 632
	698	+	bonds has taken effect: 633
	699	+	(1) Any recital or statement of fact contained in such act or in the preamble or title of 634
	700	+	this act shall be deemed to be true for the purpose of determining the validity of any bonds 635
	701	+	authorized by this act, and the District and all others interested shall be estopped from denying 636
	702	+	any such recital or statement of fact; and 637
	703	+	(2) This act, and all proceedings in connection with the authorization of the issuance 638
	704	+	of bonds authorized by this act, shall be deemed to have been duly and regularly taken, passed, 639
	705	+	and done by the District, in compliance with the Home Rule Act and all other applicable laws, for 640
	706	+	the purpose of determining the validity of this act and the proceeding in connection with the 641
	707	+	authorization and issuance of bonds authorized by this act; and no court shall have jurisdiction in 642
	708	+	any suit, action, or proceeding commenced before the end of such 20-day period. 643
	709	+	Sec 23. Severability. 644
	710	+	As provided in the General Rule of Severability Adoption Act of 1983, effective March 645
	711	+	14, 1984 (D.C. Law 5-56; D.C. Official Code § 45-201), if any provision of this act or the 646
	712	+	application of this act to any person or circumstance is held to be unconstitutional or beyond the 647
	713	+	statutory authority of the Council, or otherwise invalid, the invalidity shall not affect other 648
	714	+	provisions or applications of the act that can be given effect without the invalid provision or 649
	715	+	application, and to this end the provisions of this act are declared to be severable. 650
	716	+	Sec. 24. Fiscal impact statement. 651
	717	+	The Council adopts the fiscal impact statement of the Chief Financial Officer as the 652
	718	+	fiscal impact statement required by section 4a of the General Legislative Procedures Act of 653
	719	+	1975, approved October 16, 2006 (120 Stat. 2038; D.C. Official Code § 1-301.47a). 654
	720	+	29
878	721
	722	+	Sec. 25. Effective date. 655
	723	+	This act shall take effect following approval by the Mayor (or in the event of veto by the Mayor, 656
	724	+	action by the Council to override the veto), and shall remain in effect for no longer than 90 days, 657
	725	+	as provided for emergency acts of the Council of the District of Columbia in section 412(a) of the 658
	726	+	District of Columbia Home Rule Act, approved December 24, 1973 (87 Stat. 788; D.C. Official 659
	727	+	Code § 1-204.12(a)). 660