District Of Columbia 2023-2024 Regular Session

District Of Columbia Council Bill B25-0096 Compare Versions

Version 1 (Old)

Version 2 (New)

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3		-	~~ENROLLED~~ ORIGINAL
	3	+	ENGROSSED ORIGINAL
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10		-	AN ACT
11		-
12		-	____________
13		-
14		-	IN THE COUNCIL OF THE DISTRICT OF COLUMBIA
15		-
16		-	__________________
17		-
18		-
19		-	To authorize, on a temporary basis, the issuance of general obligation bonds and general
20		-	obligation bond anticipation notes of the District of Columbia for the purposes of
21		-	financing certain capital projects and the refunding of certain capital indebtedness of the
22		-	District of Columbia during fiscal years 2023 through 202 8.
23		-
24		-	BE IT ENACTED BY THE COUNCIL OF THE DISTRICT OF COLUMBIA, That this act
25		-	may be cited as the "General Obligation Bonds and Bond Anticipation Notes for Fiscal Years 20 23-
26		-	2028 Authorization Temporary Act of 2023".
27		-
28		-	Sec. 2. Definitions.
29		-	For the purposes of this act, the term:
30		-	(1) "Additional Bonds" means District general obligation bonds that may be
31		-	issued pursuant to section 461 of the Home Rule Act and any act enacted subsequent to this act on
32		-	a parity with the bonds.
33		-	(2) "Additional Notes" means District general obligation bond anticipation notes
34		-	that may be issued pursuant to section 475 of the Home Rule Act and any act enacted subsequent to
35		-	this act on a parity with the notes.
36		-	(3) "Authorized Delegate"' means any officer or employee of the executive office of
37		-	the Mayor to whom the Mayor has delegated any of the Mayor's functions under this act pursuant to
38		-	section 422(6) of the Home Rule Act, including, but not limited to, the Chief Financial Officer, the
39		-	City Administrator, and the Treasurer of the District of Columbia.
40		-	(4) "Bond Counsel" means a firm or firms of attorneys designated as bond
41		-	counsel or co-bond counsel from time to time by the Mayor or an Authorized Delegate.
42		-	(5) "Bonds" means District general obligation bonds authorized to be issued
43		-	pursuant to this act, including any refunding bonds.
44		-	(6) "Capital Projects" means the District capital projects as defined in section
45		-	103(8) of the Home Rule Act.
46		-	(7) "Deposit and Investment Act" means the Financial Institution s Deposit and
47		-	Investment Amendment Act of 1997, effective March 18, 1998 (D.C. Law 12-56; D.C. Official
	10	+	A BILL 1
	11	+	2
	12	+	25-96 3
	13	+	4
	14	+	IN THE COUNCIL OF THE DISTRICT OF COLUMBIA 5
	15	+	6
	16	+	__________________ 7
	17	+	8
	18	+	9
	19	+	To authorize, on a temporary basis, the issuance of general obligation bonds and general 10
	20	+	obligation bond anticipation notes of the District of Columbia for the purposes of 11
	21	+	financing certain capital projects and the refunding of certain capital indebtedness of the 12
	22	+	District of Columbia during fiscal years 2023 through 202 8. 13
	23	+	14
	24	+	BE IT ENACTED BY THE COUNCIL OF THE DISTRICT OF COLUMBIA, That this act 15
	25	+	may be cited as the "General Obligation Bonds and Bond Anticipation Notes for Fiscal Years 20 23-16
	26	+	2028 Authorization Temporary Act of 2023". 17
	27	+	Sec. 2. Definitions. 18
	28	+	For the purposes of this act, the term: 19
	29	+	(1) "Additional Bonds" means District general obligation bonds that may be issued 20
	30	+	pursuant to section 461 of the Home Rule Act and any act enacted subsequent to this act on a parity 21
	31	+	with the bonds. 22
	32	+	(2) "Additional Notes" means District general obligation bond anticipation notes 23
	33	+	that may be issued pursuant to section 475 of the Home Rule Act and any act enacted subsequent to 24
	34	+	this act on a parity with the notes. 25
	35	+	(3) "Authorized Delegate"' means any officer or employee of the executive office of 26
	36	+	the Mayor to whom the Mayor has delegated any of the Mayor's functions under this act pursuant to 27
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50	39
51	40
52		-	~~ENROLLED~~ ORIGINAL
	41	+	ENGROSSED ORIGINAL
53	42
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55	44
56	45
57	46		2
58	47
59		-	Code § 47- 351.01 et seq.).
60		-	(8) "Escrow Agreement" means any agreement heretofore or hereafter entered into
61		-	by the Mayor or an Authorized Delegate to provide for the custody, investment, and disbursement
62		-	of revenues and funds pledged to, and in which a security interest is created for, the payment of
63		-	the principal of, and interest on, the bonds or notes.
	48	+	section 422(6) of the Home Rule Act, including, but not limited to, the Chief Financial Officer, the 28
	49	+	City Administrator, and the Treasurer of the District of Columbia. 29
	50	+	(4) "Bond Counsel" means a firm or firms of attorneys designated as bond 30
	51	+	counsel or co-bond counsel from time to time by the Mayor or an Authorized Delegate. 31
	52	+	(5) "Bonds" means District general obligation bonds authorized to be issued 32
	53	+	pursuant to this act, including any refunding bonds. 33
	54	+	(6) "Capital Projects" means the District capital projects as defined in section 34
	55	+	103(8) of the Home Rule Act. 35
	56	+	(7) "Deposit and Investment Act" means the Financial Institution s Deposit and 36
	57	+	Investment Amendment Act of 1997, effective March 18, 1998 (D.C. Law 12-56; D.C. Official 37
	58	+	Code § 47- 351.01 et seq.). 38
	59	+	(8) "Escrow Agreement" means any agreement heretofore or hereafter entered into 39
	60	+	by the Mayor or an Authorized Delegate to provide for the custody, investment, and disbursement 40
	61	+	of revenues and funds pledged to, and in which a security interest is created for, the payment of 41
	62	+	the principal of, and interest on, the bonds or notes. 42
	63	+	(9) "Hedge Agreement" means any financial arrangement that is a cap, floor, or 43
	64	+	collar; forward rate; future rate; swap, which swap may be based on an amount equal to either a 44
	65	+	principal amount or a notional principal amount relating to all or a portion of the principal 45
	66	+	amount of a series of bonds; asset, index, price, or market-linked transaction or agreement; other 46
	67	+	interest rate exchange or rate protection transaction agreement; other similar transactions, 47
64	68
65		-	(9) "Hedge Agreement" means any financial arrangement that is a cap, floor, or
66		-	collar; forward rate; future rate; swap, which swap may be based on an amount equal to either a
67		-	principal amount or a notional principal amount relating to all or a portion of the principal
68		-	amount of a series of bonds; asset, index, price, or market-linked transaction or agreement; other
69		-	interest rate exchange or rate protection transaction agreement; other similar transactions,
70		-	however designated; any combination thereof; any option with respect thereto; or any similar
71		-	arrangement, which is executed by the District for purposes of debt management, including
72		-	managing interest rate fluctuations on bonds, but not for purposes of speculation.
73		-
74		-	(10) "Home Rule Act" means the District of Columbia Home Rule Act, approved
75		-	December 24, 1973 (87 Stat. 774; D.C. Official Code § 1- 201.01
76		-	et seq.).
77		-	(11) "Notes" means District general obligation bond anticipation notes
78		-	authorized to be issued pursuant to this act, including any renewals of such notes.
79		-	(12) "Outstanding Debt" means the outstanding indebtedness at any time of the
80		-	District for capital project loans from the Treasury of the United States, any Treasury Advances,
81		-	any outstanding general obligation bonds issued pursuant to this or any prior act, any outstanding
82		-	general obligation bond anticipation notes issued pursuant to this or any prior act, and any
83		-	income tax secured revenue bonds issued pursuant to the Income Tax Secured Bond
84		-	Authorization Act of 2008, effective October 22, 2008 (D.C. Law 17- 254, D.C. Official Code
85		-	§ 47-340.26 et seq .).
86		-	(13) "Paying Agent" means the District or any bank, trust company, or national
87		-	banking association designated to serve in this capacity by the Mayor or an Authorized Delegate
88		-	pursuant to section 6.
89		-
90		-	(14) "Procurement Act" means the District of Columbia Procurement Practices
91		-	Reform Act of 2010 , effective April 8, 2011 (D.C. Law 18-371; D.C. Official Code § 2-351.01
92		-	et
93		-	seq.).
94		-	(15) "Registrar" means the District or any bank, trust company, or national
95		-	banking association designated to serve in this capacity by the Mayor or an Authorized
96		-	Delegate pursuant to section 6.
97		-
98		-	(16) "Secretary" means the Secretary of the District of Columbia.
99		-	(17) "Special Tax Fund" means the debt service fund established pursuant to
100		-	section 9(a)(1).
101		-
102		-	(18) “Special Tax Funds” means the debt service funds established pursuant to
103		-	section 9(a)(1) and (2).
104		-
105		-
106		-	ENROLLED ORIGINAL
	69	+	ENGROSSED ORIGINAL
107	70
108	71
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111	74		3
112	75
113		-	(19) “Special Tax Fund for Notes” means the debt service fund established
114		-	pursuant to section 9(a)(2).
	76	+	however designated; any combination thereof; any option with respect thereto; or any similar 48
	77	+	arrangement, which is executed by the District for purposes of debt management, including 49
	78	+	managing interest rate fluctuations on bonds, but not for purposes of speculation. 50
	79	+	(10) "Home Rule Act" means the District of Columbia Home Rule Act, approved 51
	80	+	December 24, 1973 (87 Stat. 774; D.C. Official Code § 1- 201.01 et seq.). 52
	81	+	(11) "Notes" means District general obligation bond anticipation notes 53
	82	+	authorized to be issued pursuant to this act, including any renewals of such notes. 54
	83	+	(12) "Outstanding Debt" means the outstanding indebtedness at any time of the 55
	84	+	District for capital project loans from the Treasury of the United States, any Treasury Advances, 56
	85	+	any outstanding general obligation bonds issued pursuant to this or any prior act, any outstanding 57
	86	+	general obligation bond anticipation notes issued pursuant to this or any prior act, and any 58
	87	+	income tax secured revenue bonds issued pursuant to the Income Tax Secured Bond 59
	88	+	Authorization Act of 2008, effective October 22, 2008 (D.C. Law 17- 254, D.C. Official Code 60
	89	+	§ 47-340.26 et seq .). 61
	90	+	(13) "Paying Agent" means the District or any bank, trust company, or national 62
	91	+	banking association designated to serve in this capacity by the Mayor or an Authorized Delegate 63
	92	+	pursuant to section 6. 64
	93	+	(14) "Procurement Act" means the District of Columbia Procurement Practices 65
	94	+	Reform Act of 2010 , effective April 8, 2011 (D.C. Law 18-371; D.C. Official Code § 2-351.01 et 66
	95	+	seq.). 67
115	96
116		-	(20) "Treasury Advances" means amounts advanced to the District from the
117		-	United States Treasury pursuant to Chapter 34 of Title 47 of the District of Columbia Official
118		-	Code.
119		-
120		-	(21)
121		-	Sec. 3. Findings.
122		-	The Council finds that:
123		-	(1) Section 461 of the Home Rule Act authorizes the District to incur indebtedness
124		-	by issuing general obligation bonds to refund Outstanding Debt of the District and to provide for
125		-	the payment of the cost of acquiring or undertaking its various capital projects.
126		-
127		-	(2) Section 475 of the Home Rule Act authorizes the District to incur indebtedness
128		-	by issuing general obligation bond anticipation notes, the proceeds of which shall be used for the
129		-	purposes for which general obligation bonds may be issued under section 461 of the Home Rule
130		-	Act.
131		-
132		-	(3) The cost of Outstanding Debt may be reduced by refunding a portion of it
133		-	through the issuance of the bonds, and the District's cost of borrowing may be reduced by the
134		-	issuance from time to time of notes in anticipation of the issuance of bonds.
135		-	(4) The issuance of the bonds and the notes in anticipation of the bonds is an
136		-	economical method of financing the costs of acquiring or undertaking the capital projects
137		-	described in section 5 and of refunding all or a portion of certain Outstanding Debt as is in the
138		-	public interest.
139		-	(5) To fund the capital needs of the District for fiscal years 2023 through 2028, it
140		-	will be necessary to issue bonds from time to time in one or more series in an aggregate principal
141		-	amount not to exceed $6,400,000,000 and to issue notes from time to time in one or more series
142		-	in anticipation of all or a portion of the bonds.
143		-
144		-
145		-	Sec. 4. Bond and note authorization.
146		-	(a) The District is authorized to incur indebtedness by issuing the bonds pursuant to
147		-	sections 461 through 467 of the Home Rule Act to provide for any of the following:
148		-
149		-	(1) The payment of the cost of acquiring, undertaking, or refinancing capital
150		-	projects described in section 5 for general governmental and enterprise purposes;
151		-
152		-	(2) The reimbursing of amounts temporarily advanced for the purposes authorized
153		-	by this act from the General Fund of the District of Columbia, any enterprise fund, or other fund or
154		-	account of the District;
155		-
156		-	(3) The refunding of Outstanding Debt; and
157		-	(4) The payment of the costs and expenses of preparation, execution, issuance, sale
158		-	or delivery of, or security for, the bonds and notes, including the payments of contracts or
159		-
160		-	ENROLLED ORIGINAL
	97	+	ENGROSSED ORIGINAL
161	98
162	99
163	100
164	101
165	102		4
166	103
167		-	agreements the Mayor or an Authorized Delegate may determine to be necessary and appropriate
168		-	as described in section 7(f), and the payment of other debt program related costs as provided in
169		-	the contracts or agreements related thereto.
	104	+	(15) "Registrar" means the District or any bank, trust company, or national 68
	105	+	banking association designated to serve in this capacity by the Mayor or an Authorized 69
	106	+	Delegate pursuant to section 6. 70
	107	+	(16) "Secretary" means the Secretary of the District of Columbia. 71
	108	+	(17) "Special Tax Fund" means the debt service fund established pursuant to 72
	109	+	section 9(a)(1). 73
	110	+	(18) “Special Tax Funds” means the debt service funds established pursuant to 74
	111	+	section 9(a)(1) and (2). 75
	112	+	(19) “Special Tax Fund for Notes” means the debt service fund established 76
	113	+	pursuant to section 9(a)(2). 77
	114	+	(20) "Treasury Advances" means amounts advanced to the District from the 78
	115	+	United States Treasury pursuant to Chapter 34 of Title 47 of the District of Columbia Official 79
	116	+	Code. 80
	117	+	Sec. 3. Findings. 81
	118	+	The Council finds that: 82
	119	+	(1) Section 461 of the Home Rule Act authorizes the District to incur indebtedness 83
	120	+	by issuing general obligation bonds to refund Outstanding Debt of the District and to provide for 84
	121	+	the payment of the cost of acquiring or undertaking its various capital projects. 85
	122	+	(2) Section 475 of the Home Rule Act authorizes the District to incur indebtedness 86
	123	+	by issuing general obligation bond anticipation notes, the proceeds of which shall be used for the 87
170	124
171		-	(b) The Mayor or a n Authorized Delegate is authorized to pay from the proceeds of the
172		-	bonds and other District funds, the costs and expenses referred to in subsection (a)(4) of this
173		-	section and to the extent necessary to establish or continue the tax exempt status of any of the
174		-	bonds issued on a tax exempt basis.
175		-
176		-	(c) The District is authorized pursuant to section 475 of the Home Rule Act to issue the
177		-	notes in anticipation of the issuance of general obligation bonds and to expend the proceeds of
178		-	the notes for any of the purposes for which bonds may be issued.
179		-
180		-	Sec. 5. Capital projects.
181		-	(a)(1) Bonds and notes may be issued from time to time to provide for the payment of
182		-	the cost of acquiring, undertaking, or refinancing capital projects of the District and
183		-	reimbursement of amounts advanced for such purposes, including, but not limited to, capital
184		-	projects for the following categories of facilities and equipment by project and project
185		-	description:
186		-
187		-	(A) Physical plant;
188		-	(B) Technology;
189		-
190		-	(C) Mass transportation;
191		-	(D) Roads and bridges;
192		-	(E) Housing and economic development;
193		-	(F) Environmental protection;
194		-	(G) Major equipment; and
195		-	(H) Recreation.
196		-	(2) The Council shall specify and determine from time to time, by resolution, the
197		-	capital projects for which the issuance of bonds shall be authorized.
198		-	(b) The maximum principal amount of indebtedness that may be incurred through the
199		-	issuance of bonds or notes for the capital projects, exclusive of the costs and expenses of issuing
200		-	and delivering the bonds or notes and any other costs referred to in section 4(a)(4), which may
201		-	be funded with proceeds of the bonds or notes, shall not exceed $ 6,400,000,000;
202		-	provided, that the principal amount of any notes or bonds issued to refund prior notes or bonds
203		-	issued for any capital project shall not be included in the determination of the principal amount of
204		-	indebtedness issued for such project, and provided that the aggregate amount of any refunded notes
205		-	or additional notes refinanced with bonds or additional bonds shall be returned to the maximum
206		-	principal amount of indebtedness for use in future issuance s.
207		-	(c) The maximum total principal amount to be financed through the bonds and notes
208		-	provided for the capital projects listed in subsection (a)(1) of this section shall include amounts
209		-
210		-	ENROLLED ORIGINAL
	125	+	ENGROSSED ORIGINAL
211	126
212	127
213	128
214	129
215	130		5
216	131
217		-	requested by the District government and approved by Congress in the District's Fiscal Year
218		-	2023-2028 Capital Improvements Plan or other capital projects approved by the Council, as it
219		-	may be modified from time to time by appropriations legislation, or by the Council .
220		-	(d) The costs of the capital projects approved for financing pursuant to this act and prior
221		-	bond acts that have become law, which are paid originally from the General Fund of the District of
222		-	Columbia or General Capital Improvements Fund of the District of Columbia, are reasonably
223		-	expected to be reimbursed in whole or in part with the proceeds of the bonds or notes in the
224		-	maximum amount set forth in subsection (b) of this section. The adoption of this act by the
225		-	Council declares the intent of the District under Treas. Reg. § 1.150- 2, issued under the Internal
226		-	Revenue Code of 1986, approved October 22, 1986 (100 Stat. 2085; 26 U.S.C. § 1 et seq.), to
227		-	reimburse the General Fund of the District of Columbia and General Capital Improvement Fund of
228		-	the District of Columbia or to refinance Treasury Advances or loans from the Treasury of the
229		-	United States for capital projects, in either case, with the proceeds of the bonds and notes.
230		-	(e) Funds pursuant to this act shall not be used to pay for personnel of the District,
231		-	except in positions working on authorized capital projects that create assets or extend the useful
232		-	life of the assets.
	132	+	purposes for which general obligation bonds may be issued under section 461 of the Home Rule 88
	133	+	Act. 89
	134	+	(3) The cost of Outstanding Debt may be reduced by refunding a portion of it 90
	135	+	through the issuance of the bonds, and the District's cost of borrowing may be reduced by the 91
	136	+	issuance from time to time of notes in anticipation of the issuance of bonds. 92
	137	+	(4) The issuance of the bonds and the notes in anticipation of the bonds is an 93
	138	+	economical method of financing the costs of acquiring or undertaking the capital projects 94
	139	+	described in section 5 and of refunding all or a portion of certain Outstanding Debt as is in the 95
	140	+	public interest. 96
	141	+	(5) To fund the capital needs of the District for fiscal years 2023 through 2028, it 97
	142	+	will be necessary to issue bonds from time to time in one or more series in an aggregate principal 98
	143	+	amount not to exceed $6,400,000,000 and to issue notes from time to time in one or more series 99
	144	+	in anticipation of all or a portion of the bonds. 100
	145	+	Sec. 4. Bond and note authorization. 101
	146	+	(a) The District is authorized to incur indebtedness by issuing the bonds pursuant to 102
	147	+	sections 461 through 467 of the Home Rul e Act to provide for any of the following: 103
	148	+	(1) The payment of the cost of acquiring, undertaking, or refinancing capital 104
	149	+	projects described in section 5 for general governmental and enterprise purposes; 105
	150	+	(2) The reimbursing of amounts temporarily advanced for the purposes authorized 106
233	151
234		-	Sec. 6. Bond and note details.
235		-	(a) The Mayor or an Authorized D elegate is authorized to take any action necessary or
236		-	appropriate in accordance with this act in connection with the preparation, execution, issuance,
237		-	sale, delivery, security for, and payment of the bonds and notes, including, but not limited to,
238		-	determinations of:
239		-	(1) Whether the bonds or notes are to be issued in one or more series and the
240		-	principal amount of each series;
241		-	(2) For each series of the bonds or notes, the date of issuance, sale, and delivery of
242		-	the bonds or notes, the maturity date or dates of the bonds (provided that the maximum maturity of
243		-	any bond shall not exceed 30 years from the date of issuance) or notes (provided that the maximum
244		-	maturity date
245		-	of any note, including any renewal note issued to refund such note, shall not be later
246		-	than the last day of the 3rd
247		-
248		-	fiscal year following the fiscal year during which such note was
249		-	originally issued), the dates for payment of principal and interest on the bonds or notes, and the
250		-	amount of each installment or sinking fund payment of principal (provided that the principal
251		-	installments on each series of the bonds shall begin no later than 3 years from the date of issuance
252		-	of the series);
253		-
254		-	(3) The rate or rates of interest or the method for determining the rate or rates of
255		-	interest on each series of the bonds and notes; provided, that the interest rate or rates borne by
256		-	the bonds of any series with fixed interest rates shall not exceed 15% per year ( calculated on the
257		-	basis of a 360-day year consisting of twelve 30-day months) in any event and that the interest rate
258		-	or rates borne by the bonds of any series with non- fixed interest rates shall not exceed 15% per
259		-	year (calculated on the basis of the actual number of days elapsed over a year of 365 or 366 days
260		-
261		-	ENROLLED ORIGINAL
	152	+	ENGROSSED ORIGINAL
262	153
263	154
264	155
265	156
266	157		6
267	158
268		-	and based on the total amount of interest paid in any fiscal year), and the interest rate or rates borne
269		-	by the notes of any series shall not exceed in the aggregate 10% per year ( calculated on the basis of
270		-	a 360-day year consisting of twelve 30-day months or on the basis of the actual number of days
271		-	elapsed over a year of 365 or 366 days), as determined by the Mayor or the Authorized Delegate;
272		-	provided further, that if the notes are not paid at maturity, the notes may provide for an interest rate
273		-	or rates after maturity not to exceed in the aggregate 15% per year ( calculated on the basis of a 360-
274		-	day year consisting of twelve 30-day months or on the basis of the actual number of days elapsed
275		-	over a year of 365 or 366 days), as determined by the Mayor or the Authorized Delegate;
	159	+	by this act from the General Fund of the District of Columbia, any enterprise fund, or other fund or 107
	160	+	account of the District; 108
	161	+	(3) The refunding of Outstanding Debt; and 109
	162	+	(4) The payment of the costs and expenses of preparation, execution, issuance, sale 110
	163	+	or delivery of, or security for, the bonds and notes, including the payments of contracts or 111
	164	+	agreements the Mayor or an Authorized Delegate may determine to be necessary and appropriate 112
	165	+	as described in section 7(f), and the payment of other debt program related costs as provided in 113
	166	+	the contracts or agreements related thereto. 114
	167	+	(b) The Mayor or an Authorized D elegate is authorized to pay from the proceeds of the 115
	168	+	bonds and other District funds, the costs and expenses referred to in subsection (a)(4) of this 116
	169	+	section and to the extent necessary to establish or continue the tax exempt status of any of the 117
	170	+	bonds issued on a tax exempt basis. 118
	171	+	(c) The District is authorized pursuant to section 475 of the Home Rule Act to issue the 119
	172	+	notes in anticipation of the issuance of general obligation bonds and to expend the proceeds of 120
	173	+	the notes for any of the purposes for which bonds may be issued. 121
	174	+	Sec. 5. Capital projects. 122
	175	+	(a)(1) Bonds and notes may be issued from time to time to provide for the payment of 123
	176	+	the cost of acquiring, undertaking, or refinancing capital projects of the District and 124
	177	+	reimbursement of amounts advanced for such purposes, including, but not limited to, capital 125
	178	+	projects for the following categories of facilities and equipment by project and project 126
276	179
277		-	(4) For each series of the bonds or notes, the maximum debt service payable in
278		-	any fiscal year in accordance with the amount permitted under section 11(a)(3);
279		-
280		-	(5) The designation of any series of the bonds or notes and their denominations,
281		-	lettering, and numbering or the manner of determining the designations and denominations,
282		-	lettering, and numbering;
283		-
284		-	(6) The price and terms under which any series of the bonds or notes may be
285		-	paid, optionally or mandatorily redeemed, accelerated, tendered, called, or put for redemption,
286		-	repurchase, or remarketing before their stated maturities;
287		-
288		-	(7) The final form, content, and terms of each series of the bonds and notes,
289		-	including a determination that any series of the bonds or notes may be issued in book- entry
290		-	form;
291		-
292		-	(8) The designation of a registrar, if other than the District, for any series of the
293		-	bonds or notes and the execution and delivery of any necessary agreements relating to the
294		-	appointment;
295		-	(9) The designation of a Paying Agent for any series of the bonds or notes and the
296		-	execution and delivery of any necessary agreements relating to the appointment;
297		-	(10) Provisions for the registration, transfer, and exchange of the bonds or notes and
298		-	the replacement of mutilated, lost, stolen, or destroyed bonds or notes; and
299		-	(11) Provisions for the security of holders of the bonds or notes, including, but not
300		-	limited to, bond insurance or other credit enhancement .
301		-	(b) The bonds and notes shall be executed in the name of the District and on its behalf by
302		-	the manual signature
303		-	of the Mayor or an Authorized Delegate. To the extent required by the
304		-	Home Rule Act, the official seal of the District or a facsimile of it shall be impressed, printed, or
305		-	otherwise reproduced on
306		-
307		-	the bonds and notes.
308		-	(c) The registrar shall manually authenticate each bond or note and maintain the books of
309		-	registration for the payment of the principal of, and interest on, the bonds or notes and perform
310		-	other ministerial responsibilities as specifically provided in its appointment as registrar, and the
311		-	securities depository, if the bonds or notes are issued in book-entry form, shall maintain or cause to
312		-	be maintained books of registration of owners of beneficial interests in the bonds or notes.
313		-
314		-
315		-	ENROLLED ORIGINAL
	180	+	ENGROSSED ORIGINAL
316	181
317	182
318	183
319	184
320	185		7
321	186
322		-	Sec. 7. Sale of the bonds and notes.
323		-	(a) The bonds of any series may be sold by the Mayor or an Authorized Delegate at a
324		-	public sale upon receipt of sealed proposals (including electronic bids), or at a private sale on a
325		-	negotiated basis in a manner as the Mayor or an Authorized Delegate may determine to be in the
326		-	public interest, all pursuant to and in accordance with section 466 of the Home Rule Act . The
327		-	notes of any series may be sold by the Mayor or an Authorized Delegate by competitive bid or
328		-	negotiated sale as may be determined by the Mayor or an Authorized Delegate to be in the best
329		-	interest of the District.
330		-	(b) The Mayor or an Authorized Delegate may prepare, or cause to be prepared, and may
331		-	execute, for each sale of the bonds or notes, offering documents on behalf of the District and may
332		-	authorize the distribution of the offering documents for the bonds or notes.
333		-	(c) The Mayor or an Authorized Delegate shall take actions and execute and deliver
334		-	agreements, documents, and instruments (including any amendment of or supplement to any
335		-	such agreement, document, or instrument) as required by or incidental to:
336		-	(1) The issuance of the bonds or notes;
337		-	(2) If and to the extent the bonds or notes are issued on a tax- exempt basis, the
338		-	'
339		-	exclusion from gross income for federal income tax purposes of interest on the bonds or notes, the
340		-	treatment of interest on the bonds or notes as not an item of tax preference for purposes of the
341		-	federal alternative minimum tax, and the exemption from District taxation of interest on the
342		-	bonds or notes;
343		-	(3) The performance of any covenants contained in this act or any purchase
344		-	contract for the bonds or notes; and
345		-	(4) The execution, delivery, and performance of any financing documents in
346		-	connection with the sale of the bonds or notes, including but not limited to, any Escrow
347		-	Agreement, trust agreement, bond or note purchase agreement, or paying agent agreement.
348		-	(d) The bonds or notes shall not be issued until the Mayor or an Authorized Delegate
349		-	receives an approving opinion from Bond Counsel as to the validity of the bonds or notes and, if
350		-	and to the extent the bonds or notes are issued on a tax- exempt basis, the treatment of the interest
351		-	on the bonds or notes for purposes
352		-	of federal and District income taxation.
353		-	(e) The Mayor shall execute a bond issuance certificate or note issuance certificate, as the
354		-	case may be, evidencing the determinations made and other actions taken by the Mayor for each
355		-	series of the bonds or notes issued and shall designate in such certificate the amount of the bonds
356		-	or notes
357		-	to be used to finance capital projects or to refund or refinance Outstanding Debt, the
358		-	amount of principal and interest on that amount of bonds or notes to be paid through sinking fund
359		-	payments, redemptions, or otherwise, in each fiscal year, the date of the bonds or notes, the series
360		-	designation, the authorized denominations, the Paying Agent or Agents, and any other matters
361		-	pertaining to the bonds or notes, including any matters applicable under section 6(a). A copy of the
362		-	bond issuance certificate or note issuance certificate, as the case may be, shall be filed with the
	187	+	description: 127
	188	+	(A) Physical plant; 128
	189	+	(B) Technology; 129
	190	+	(C) Mass transportation; 130
	191	+	(D) Roads and bridges; 131
	192	+	(E) Housing and economic development; 132
	193	+	(F) Environmental protection; 133
	194	+	(G) Major equipment; and 134
	195	+	(H) Recreation. 135
	196	+	(2) The Council shall specify and determine from time to time, by resolution, the 136
	197	+	capital projects for which the issuance of bonds shall be authorized. 137
	198	+	(b) The maximum principal amount of indebtedness that may be incurred through the 138
	199	+	issuance of bonds or notes for the capital projects, exclusive of the costs and expenses of issuing 139
	200	+	and delivering the bonds or notes and any other costs referred to in section 4(a)(4), which may 140
	201	+	be funded with proceeds of the bonds or notes, shall not exceed $ 6,400,000,000; 141
	202	+	provided, that the principal amount of any notes or bonds issued to refund prior notes or bonds 142
	203	+	issued for any capital project shall not be included in the determination of the principal amount of 143
	204	+	indebtedness issued for such project, and provided that the aggregate amount of any refunded notes 144
	205	+	or additional notes refinanced with bonds or additional bonds shall be returned to the maximum 145
	206	+	principal amount of indebtedness for use in future issuance s. 146
363	207
364		-	~~ENROLLED~~ ORIGINAL
	208	+	ENGROSSED ORIGINAL
365	209
366	210
367	211
368	212
369	213		8
370	214
371		-	Secretary to the Council not more than 3 days after the delivery of the bonds or notes covered by
372		-	the certificate. Any bond issuance certificate or note issuance certificate shall be conclusive
373		-	evidence of the actions or determinations taken or made as stated in the certificate.
	215	+	(c) The maximum total principal amount to be financed through the bonds and notes 147
	216	+	provided for the capital projects listed in subsection (a)(1) of this section shall include amounts 148
	217	+	requested by the District government and approved by Congress in the District's Fiscal Year 149
	218	+	2023-2028 Capital Improvements Plan or other capital projects approved by the Council, as it 150
	219	+	may be modified from time to time by appropriations legislation, or by the Council . 151
	220	+	(d) The costs of the capital projects approved for financing pursuant to this act and prior 152
	221	+	bond acts that have become law, which are paid originally from the General Fund of the District of 153
	222	+	Columbia or General Capital Improvements Fund of the District of Columbia, are reasonably 154
	223	+	expected to be reimbursed in whole or in part with the proceeds of the bonds or notes in the 155
	224	+	maximum amount set forth in subsection (b) of this section. The adoption of this act by the 156
	225	+	Council declares the intent of the District under Treas. Reg. § 1.150- 2, issued under the Internal 157
	226	+	Revenue Code of 1986, approved October 22, 1986 (100 Stat. 2085; 26 U.S.C. § 1 et seq.), to 158
	227	+	reimburse the General Fund of the District of Columbia and General Capital Improvement Fund of 159
	228	+	the District of Columbia or to refinance Treasury Advances or loans from the Treasury of the 160
	229	+	United States for capital projects, in either case, with the proceeds of the bonds and notes. 161
	230	+	(e) Funds pursuant to this act shall not be used to pay for personnel of the District, 162
	231	+	except in positions working on authorized capital projects that create assets or extend the useful 163
	232	+	life of the assets. 164
	233	+	Sec. 6. Bond and note details. 165
374	234
375		-	(f) The Procurement Act and the Deposit and Investment Act shall not apply to whatever
376		-	contract the Mayor or an Authorized Delegate may from time to time enter into for purposes of
377		-	this act or the Mayor or an Authorized Delegate may determine to be necessary or appropriate for
378		-	purposes of this act to place, in whole or in part , including, but not limited to:
379		-
380		-	(1) An investment or obligation of the District as represented by the bonds or
381		-	notes;
382		-
383		-	(2) A contract or contracts for bond insurance or other credit enhancement
384		-	(including, but not limited to, a letter or line of credits), or liquidity agreements, or
385		-	placement of any investment or obligation or program of investment including any offering
386		-	document, contract based on interest rate, currency, cash flow, or other basis, including,
387		-	without limitation, interest rate swap agreements; currency swap agreements; insurance agreements;
388		-	forward payment conversion agreements; futures contracts providing for payments based on levels
389		-	of, or changes in, interest rates, currency exchange rates, or stock or other indices; contracts to
390		-	exchange cash flows or a series of payments; and contracts to hedge payment, currency, rate,
391		-	spread, or similar exposure, including, without limitation, interest rate floors, or caps, options,
392		-	puts, and calls, Hedge Agreements, and any required supplements to any such documents.
393		-	The contracts or other arrangements may also be entered into by the District in connection with, or
394		-	incidental to, entering into or maintaining any agreement that secures the bonds or notes. The
395		-	contracts or other arrangements entered into pursuant to this section shall contai n whatever payment
396		-	security, terms, and conditions as the Mayor or an Authorized Delegate may consider appropriate
397		-	and shall be entered into with whatever party or parties the Mayor or an Authorized Delegate may
398		-	select, after giving due consideration, where applicable, to the creditworthiness of the counterparty
399		-	or counterparties, including any rating by a nationally recognized rating agency or any other
400		-	criteria as may be appropriate.
401		-	(3) A contract or contracts for an escrow agent, paying agent, disclosure agent,
402		-	trustee, collection agent, registrar, underwriting, legal services, accounting, financial advisory
403		-	services, rating agency services, printing, and any other contracts for services of professionals or
404		-	advisors or for disclosure services as the Mayor or an Authorized Delegate may deem to be
405		-	necessary or appropriate.
406		-
407		-	Sec. 8. Payment and security of the bonds and notes.
408		-	(a) The full faith and credit of the District is pledged for the payment of the principal of,
409		-	and interest on, the bonds and notes as they become due and payable through required sinking fund
410		-	payments, redemptions, or otherwise.
411		-
412		-
413		-	ENROLLED ORIGINAL
	235	+	ENGROSSED ORIGINAL
414	236
415	237
416	238
417	239
418	240		9
419	241
420		-	(b) The Council shall, in the full exercise of the authority granted in section 483 of the
421		-	Home Rule Act and under any other law, provide in each annual budget for a fiscal year of the
422		-	District sufficient funds to pay the principal of, and interest on, the bonds and notes becoming
423		-	due and payable for any reason during that fiscal year.
	242	+	(a) The Mayor or an Authorized D elegate is authorized to take any action necessary or 166
	243	+	appropriate in accordance with this act in connection with the preparation, execution, issuance, 167
	244	+	sale, delivery, security for, and payment of the bonds and notes, including, but not limited to, 168
	245	+	determinations of: 169
	246	+	(1) Whether the bonds or notes are to be issued in one or more series and the 170
	247	+	principal amount of each series; 171
	248	+	(2) For each series of the bonds or notes, the date of issuance, sale, and delivery of 172
	249	+	the bonds or notes, the maturity date or dates of the bonds (provided that the maximum maturity of 173
	250	+	any bond shall not exceed 30 years from the date of issuance) or notes (provided that the maximum 174
	251	+	maturity date of any note, including any renewal note issued to refund such note, shall not be later 175
	252	+	than the last day of the 3rd
424	253
425		-	(c) The Mayor shall, in the full exercise of the authority granted to the Mayor under the
426		-	Home Rule Act and under any other law, take such actions as may be necessary or appropriate to
427		-	ensure that the principal of, and interest on, the bonds and notes are paid when due for any reason,
428		-	including the payment of principal and interest from any funds or accounts of the District not
429		-	otherwise legally committed.
	254	+	fiscal year following the fiscal year during which such note was 176
	255	+	originally issued), the dates for payment of principal and interest on the bonds or notes, and the 177
	256	+	amount of each installment or sinking fund payment of principal (provided that the principal 178
	257	+	installments on each series of the bonds shall begin no l ater than 3 years from the date of issuance 179
	258	+	of the series); 180
	259	+	(3) The rate or rates of interest or the method for determining the rate or rates of 181
	260	+	interest on each series of the bonds and notes; provided, that the interest rate or rates borne by 182
	261	+	the bonds of any series with fixed interest rates shall not exceed 15% per year ( calculated on the 183
	262	+	basis of a 360-day year consisting of twelve 30-day months) in any event and that the interest rate 184
	263	+	or rates borne by the bonds of any series with non- fixed interest rates shall not exceed 15% per 185
430	264
431		-	(d) The bonds and notes shall evidence continuing obligations of the District until paid in
432		-	accordance with their terms.
433		-
434		-	(e) Any Paying Agent shall pay the principal of, and interest on, the bonds and notes
435		-	and may perform other ministerial responsibilities as specifically provided in its appointment as
436		-	paying agent.
437		-
438		-	(f) Proceeds of the bonds or notes and any money set aside for any security for the bonds
439		-	or notes or any contract or other arrangement entered into pursuant to this section , may be pledged to
440		-	and used to service any contract or other arrangement providing for payment of principal of and
441		-	interest on the bonds or notes .
442		-
443		-	Sec. 9. Special tax; establishment of rates; collection.
444		-	(a) (1) The Council determines that a special tax is necessary in conjunction with the
445		-	authorization and issuance of the bonds and any Additional Bonds. Pursuant to section 481 of the
446		-	Home Rule Act and notwithstanding the provisions of Chapter 5 of Title 47 of the District of
447		-	Columbia Official Code, there is levied, for each real property tax year in which bonds or
448		-	Additional Bonds are outstanding, a special tax on the real property in the District subject to
449		-	taxation, in amounts that will be sufficient to pay the principal of, and interest on, the bonds and
450		-	Additional Bonds coming due in each year. This special tax is levied, without limitation as to rate
451		-	or amount, on all classes of real property subject to taxation in the District. The special tax shall be
452		-	collected and apportioned among classes of real property in the same manner as other District real
453		-	property
454		-	taxes and, when collected, shall be set aside in a Special Tax Fu nd maintained separate
455		-	from other funds of the District. The collection and custody of the s pecial tax payment may be
456		-	pursuant to an agreement with an agent for such purposes and the Special Tax Fund may be
457		-	maintained under an Escrow Agreement. When deposited, the funds in the fund and all investment
458		-	income or earnings on these funds shall be irrevocably dedicated and pledged to the payment of
459		-	principal, and interest on, the bonds and any Additional Bonds. Any Escrow Agreement providing
460		-	for holding funds for the benefit of the holders of the bonds shall be maintained so long as any of
461		-	the bonds is outstanding under this act.
462		-
463		-	(2) In addition to the special tax levied pursuant to paragraph (1) of this subsection, the
464		-	Council determines that a separate tax levy is necessary in conjunction with the authorization and
465		-
466		-	ENROLLED ORIGINAL
	265	+	ENGROSSED ORIGINAL
467	266
468	267
469	268
470	269
471	270		10
472	271
473		-	issuance of notes and any Additional Notes. Pursuant to section 467(a) of the Home Rule Act, and
474		-	notwithstanding the provisions of Chapter 5 of Title 47 of the District of Columbia Official Code,
475		-	there is levied, for each real property tax year in which notes or Additional Notes are outstanding, a
476		-	special tax for notes on the real property in the District subject to taxation, which shall be separate
477		-	and distinct from the collection and pledge of the special tax in paragraph (1) of this subsection, in
478		-	amounts that will be sufficient to pay the principal of, and interest on, the notes and Additional Notes
479		-	coming due in each year. This special tax for notes is levied, without limitation as to rate or amount,
480		-	on all classes of real property subject to taxation in the District. The special tax for notes shall be
481		-	collected and apportioned among classes of real property in the same manner as other District real
482		-	property taxes and, when collected, shall be set aside in a Special Tax Fund for Notes maintained
483		-	separate from other funds of the District, including the Special Tax Fund maintained under paragraph
484		-	(1) of this subsection. The collection and custody of the revenue pledge payment may be pursuant to
485		-	an agreement with an agent for such purposes and the Special Tax Fund for Notes may be
486		-	maintained under an Escrow Agreement. When deposited, the revenues in the fund and all
487		-	investment income or earnings on these funds shall be irrevocably dedicated and pledged to the
488		-	payment of principal, and interest on, the notes and any Additional Notes. Any Escrow Agreement
489		-	providing for holding funds for the benefit of the holders of the notes or Additional Notes shall be
490		-	maintained so long as any of the notes or Additional Notes is outstanding under this act.
491		-	(3) The special taxes authorized pursuant to subsection (a)(1) and (2) of this section
492		-	shall be levied and collected ratably and on a parity with each other, and in the event there are
493		-	insufficient collections of real property taxes, the amounts collected shall be allocated to each of
494		-	the Special Tax Funds in proportion of the amounts of bonds and Additional Bonds and notes and
495		-	Additional Notes outstanding.
496		-	(b) The District irrevocably pledges for and on behalf of the owners of the bonds or notes
497		-	as further security for the due and punctual payment of the principal and redemption price, if any,
498		-	of, and interest on, the bonds or notes as they shall become due and payable for any reason, all of
499		-	its right, title, and interest now owned or later acquired in and to the revenue from the applicable
500		-	special taxes levied by this section, whether to be received, or held at the time, by a collection
501		-	agent, custodian, or escrow agent for the District, or by District officials. This pledge creates and
502		-	grants a parity security interest, which is created and perfected as contemplated in section 467 of
503		-	the Home Rule Act, subject to the terms, conditions, and limitations in this act, including the
504		-	provisions of subsections (e) and (i) of this section and the provisions setting forth conditions and
505		-	limitations applicable to the issuance of Additional Bonds or Additional Notes secured, equally
506		-	and ratably with the bonds or notes, respectively by a pledge of and security interest in the special
507		-	tax revenue or special tax for notes revenue.
508		-	(c) The security interest s created in the revenues from the special tax es levied by this
509		-	section shall be valid, binding, and perfected from the time of the delivery of the first bonds or
510		-	notes with or without the physical delivery or allocation of any special tax revenue or special tax
	272	+	year (calculated on the basis of the actual number of days elapsed over a year of 365 or 366 days 186
	273	+	and based on the total amount of interest paid in any fiscal year), and the interest rate or rates borne 187
	274	+	by the notes of any series shall not exceed in the aggregate 10% per year ( calculated on the basis of 188
	275	+	a 360-day year consisting of twelve 30-day months or on the basis of the actual number of days 189
	276	+	elapsed over a year of 365 or 366 days), as determined by the Mayor or the Authorized Delegate; 190
	277	+	provided further, that if the notes are not paid at maturity, the notes may provide for an interest rate 191
	278	+	or rates after maturity not to exceed in the aggregate 15% per year ( calculated on the basis of a 360-192
	279	+	day year consisting of twelve 30-day months or on the basis of the actual number of days elapsed 193
	280	+	over a year of 365 or 366 days), as determined by the Mayor or the Authorized Delegate; 194
	281	+	(4) For each series of the bonds or notes, the maximum debt service payable in 195
	282	+	any fiscal year in accordance with the amount permitted under section 11(a)(3); 196
	283	+	(5) The designation of any series of the bonds or notes and their denominations, 197
	284	+	lettering, and numbering or the manner of determining the designations and denominations, 198
	285	+	lettering, and numbering; 199
	286	+	(6) The price and terms under which any series of the bonds or notes may be 200
	287	+	paid, optionally or mandatorily redeemed, accelerated, tendered, called, or put for redemption, 201
	288	+	repurchase, or remarketing before their stated maturities; 202
	289	+	(7) The final form, content, and terms of each series of the bonds and notes, 203
	290	+	including a determination that any series of the bonds or notes may be issued in book- entry 204
511	291
512		-	~~ENROLLED~~ ORIGINAL
	292	+	ENGROSSED ORIGINAL
513	293
514	294
515	295
516	296
517	297		11
518	298
519		-	for notes revenue and with or without any further action. The security interest shall be valid,
520		-	binding, and perfected whether or not any statement, document, or instrument relating to the
521		-	security interest is recorded or filed. The pledge and lien created by the security interest shall be
522		-	valid, binding, and perfected with respect to any individual or legal entity having claims against
523		-	the District, whether or not the individual or legal entity has notice of the pledge and lien.
	299	+	form; 205
	300	+	(8) The designation of a registrar, if other than the District, for any series of the 206
	301	+	bonds or notes and the execution and delivery of any necessary agreements relating to the 207
	302	+	appointment; 208
	303	+	(9) The designation of a Paying Agent for any series of the bonds or notes and the 209
	304	+	execution and delivery of any necessary agreements relating to the appointment; 210
	305	+	(10) Provisions for the registration, transfer, and exchange of the bonds or notes and 211
	306	+	the replacement of mutilated, lost, stolen, or destroyed bonds or notes; and 212
	307	+	(11) Provisions for the security of holders of the bonds or notes, including, but not 213
	308	+	limited to, bond insurance or other credit enhancement . 214
	309	+	(b) The bonds and notes shall be executed in the name of the Dis trict and on its behalf by 215
	310	+	the manual signature of the Mayor or an Authorized Delegate. To the extent required by the 216
	311	+	Home Rule Act, the official seal of the District or a facsimile of it shall be impressed, printed, or 217
	312	+	otherwise reproduced on
524	313
525		-	(d) If the District pays or, pursuant to section 15, makes provisions to pay to the owners of
526		-	all bonds and Additional Bonds or notes and Additional Notes the principal or redemption price,
527		-	if any, and the interest due or to become due, at the time and in the manner stipulated, the security
528		-	interest created in the revenue from the special tax es levied under this section shall be terminated.
529		-	(e)(1) In any real property tax year, if the amount expected to be on deposit in the Special
530		-	Tax Fund on the first day of the next succeeding real property tax year exceeds the greater of the
531		-	earnings on the Special Tax Fund for the current real property tax year or 1/12 of the amount that
532		-	the Mayor certifies as required to pay the principal of, and interest on, the bonds and any
533		-	Additional Bonds coming due in the next succeeding real property tax year, the Mayor shall either
534		-	cause the transfer of that excess amount to the General Fund of the District of Columbia or the
535		-	use of that excess amount to purchase, for cancellation, Outstanding Debt. That excess amount
536		-	shall be released from the lien on and security interest in the special tax revenue created under this
537		-	section.
	314	+	the bonds and notes. 218
	315	+	(c) The registrar shall manually authenticate each bond or note and maintain the books of 219
	316	+	registration for the payment of the principal of, and interest on, the bonds or notes and perform 220
	317	+	other ministerial responsibilities as specifically provided in its appointment as registrar, and the 221
	318	+	securities depository, if the bonds or notes are issued in book-entry form, shall maintain or cause to 222
	319	+	be maintained books of registration of owners of beneficial interests in the bonds or notes. 223
	320	+	Sec. 7. Sale of the bonds and notes. 224
538	321
539		-	(2) In any real property tax year, if the amount expected to be on deposit the
540		-	Special Tax Fund for Notes on the first day of the next succeeding real property tax year exceeds
541		-	the greater of the earnings on the Special Tax Fund for Notes for the current real property tax
542		-	year or 1/12 of the amount that the Mayor certifies as required to pay the principal of, and interest
543		-	on, the notes and any Additional Notes coming due in the next succeeding real property tax year,
544		-	the Mayor shall either cause the transfer of that excess amount to the General Fund of the District
545		-	of Columbia or the use of that excess amount to purchase, for cancellation, Outstanding Debt.
546		-	That excess amount shall be released from the lien on and security interest in the special tax for
547		-	notes revenue created under this section.
548		-	(3) On or before the date upon which the Mayor is required by law to submit to
549		-	the Council proposed real property tax rates for a real property tax year of the District (but not
550		-	later than the first day of that real property tax year), the Mayor shall certify to the Council the
551		-	amount required in that real property tax year to pay the principal of, and interest on, the bonds
552		-	and any Additional Bonds or notes and any Additional Notes coming due for any reason during
553		-	that real property tax year. The amount certified, less any funds then on deposit in the Special
554		-	Tax Funds after application of paragraphs (1) and (2) of this subsection, shall be called the
555		-	special tax requirement.
556		-
557		-	(f) On or before the date upon which the Mayor is required by law to submit to the Council
558		-	proposed tax rates for a real property tax year of the District (but not later than the first day of that
559		-	real property tax year), the Mayor shall calculate and submit to the Council proposed real property
560		-
561		-	ENROLLED ORIGINAL
	322	+	ENGROSSED ORIGINAL
562	323
563	324
564	325
565	326
566	327		12
567	328
568		-	special tax rates to be applied during the real property tax year to all real property subject to
569		-	taxation in the District. The real property special tax rates shall be calculated to yield the special tax
570		-	requirement, as that amount is certified by the Mayor pursuant to subsection (e) of this section.
	329	+	(a) The bonds of any series may be sold by the Mayor or an Authorized Delegate at a 225
	330	+	public sale upon receipt of sealed proposals (including electronic bids), or at a private sale on a 226
	331	+	negotiated basis in a manner as the Mayor or an Authorized Delegate may determine to be in the 227
	332	+	public interest, all pursuant to and in accordance with section 466 of the Home Rule Act . The 228
	333	+	notes of any series may be sold by the Mayor or an Authorized Delegate by competitive bid or 229
	334	+	negotiated sale as may be determined by the Mayor or an Authorized Delegate to be in the best 230
	335	+	interest of the District. 231
	336	+	(b) The Mayor or an Authorized Delegate may prepare, or cause to be prepared, and may 232
	337	+	execute, for each sale of the bonds or notes, offering documents on behalf of the District and may 233
	338	+	authorize the distribution of the offering documents for the bonds or notes. 234
	339	+	(c) The Mayor or an Authorized Delegate shall take actions and execute and deliver 235
	340	+	agreements, documents, and instruments (including any amendment of or supplement to any 236
	341	+	such agreement, document, or instrument) as required by or incidental to: 237
	342	+	(1) The issuance of the bonds or notes; 238
	343	+	(2) If and to the extent the bonds or notes are issued on a tax- exempt basis, the 239
	344	+	'
	345	+	exclusion from gross income for federal income tax purposes of interest on the bonds or notes, the 240
	346	+	treatment of interest on the bonds or notes as not an item of tax preference for purposes of the 241
	347	+	federal alternative minimum tax, and the exemption from District taxation of interest on the 242
	348	+	bonds or notes; 243
571	349
572		-	(g) The Council, in the same manner as provided for the establishment of other real
573		-	property tax rates, shall, by act, establish real property special tax rates for the real property tax
574		-	year calculated to yield the special tax requirement, as that amount is certified by the Mayor
575		-	pursuant to subsection (e) of this section. If the Council fails to enact special real property tax
576		-	rates for the real property tax year within the time provided by law, the real property special tax
577		-	rates submitted by the Mayor pursuant to subsection (f) of this section shall be the real property
578		-	special tax rates to be applied during that real property tax year.
579		-
580		-	(h) Real property special taxes shall be collected in the same manner as other District real
581		-	property taxes and the Mayor shall promptly deposit in the Special Tax Funds all real property
582		-	special taxes collected, including collection through a collection agent and deposit under an
583		-	Escrow Agreement. If the law of the District relating to the levy or collection of real property
584		-	taxes or the calculation or establishment of real property tax rates is changed in a manner that
585		-	renders any of the provisions of subsections (e) through (h) of this section incapable of
586		-	performance in accordance with their respective terms, the Mayor and the Council shall take
587		-	actions that result in the collection of real property special taxes, in the same manner as other
588		-	District real property taxes, in the amounts required by this section.
589		-	(i) The District and the Mayor reserve the right to satisfy all or a portion of the special tax
590		-	pledge requirements by setting aside and depositing into the Special Tax Funds, equally and ratably,
591		-	at any time any funds of the District not otherwise legally committed, which shall irrevocably
592		-	dedicate and pledge those deposits to the payment of principal of, and interest on, the bonds and
593		-	Additional Bonds or notes and any Additional Notes then outstanding. To the extent that all or a
594		-	portion of the special tax requirement or revenue pledge requirement is satisfied by those deposits,
595		-	an equal amount of real property special tax revenue or special tax for notes revenue subsequently
596		-	collected shall be released from the lien on and the security interest in the special tax revenue or the
597		-	special tax for notes revenue created under this section and shall be paid to reimburse the General
598		-	Fund of the District of Columbia or other fund of the District of Columbia from which the other
599		-	funds were received, and any other funds so deposited in lieu of a portion of the special tax revenues
600		-	or pledged property tax revenues shall be subject to the pledge and security interest under this act as
601		-	if they were special tax revenues or special tax for notes pledged revenues pursuant to section 467 of
602		-	the Home Rule Act.
603		-	(j) The Mayor shall provide for the payment of the principal of, and interest on, the bonds
604		-	or notes, as it may become due and payable for any reason, by transferring funds on deposit in the
605		-	Special Tax Funds, respectively, to the Paying Agent to the extent required pursuant to the bond or
606		-	Additional Bond issuance certificate or note or Additional Note issuance certificate provided for in
607		-	section 7.
608		-
609		-	ENROLLED ORIGINAL
	350	+	ENGROSSED ORIGINAL
610	351
611	352
612	353
613	354
614	355		13
615	356
616		-	Sec. 10. Issuance of bonds to pay notes when due.
617		-	(a) The District shall issue the bonds or, to the extent permitted by the Home Rule Act,
618		-	renewal notes to provide for the payment of the principal of the notes, as they may become due and
619		-	payable.
620		-	(b) The par value to be received from the sale of any bonds issued to refund the notes or
621		-	any
622		-	renewal notes shall, to the extent necessary, be used to pay the principal of, and interest on, the
623		-	notes when due and are pledged to that purpose.
	357	+	(3) The performance of any covenants contained in this act or any purchase 244
	358	+	contract for the bonds or notes; and 245
	359	+	(4) The execution, delivery, and performance of any financing documents in 246
	360	+	connection with the sale of the bonds or notes, including but not limited to, any Escrow 247
	361	+	Agreement, trust agreement, bond or note purchase agreement, or paying agent agreement. 248
	362	+	(d) The bonds or notes shall not be issued until the Mayor or an Authorized Delegate 249
	363	+	receives an approving opinion from Bond Counsel as to the validity of the bonds or notes and, if 250
	364	+	and to the extent the bonds or notes are issued on a tax- exempt basis, the treatment of the interest 251
	365	+	on the bonds or notes for purposes of federal and District income taxation. 252
	366	+	(e) The Mayor shall execute a bond issuance certificate or note issuance certificate, as the 253
	367	+	case may be, evidencing the determinations made and other actions taken by the Mayor for each 254
	368	+	series of the bonds or notes issued and shall designate in such certificate the amount of the bonds 255
	369	+	or notes to be used to finance capital projects or to refund or refinance Outstanding Debt, the 256
	370	+	amount of principal and interest on that amount of bonds or notes to be paid through sinking fund 257
	371	+	payments, redemptions, or otherwise, in each fiscal year, the date of the bonds or notes, the series 258
	372	+	designation, the authorized denominations, the Paying Agent or Agents, and any other matters 259
	373	+	pertaining to the bonds or notes, including any matters applicable under section 6(a). A copy of the 260
	374	+	bond issuance certificate or note issuance certificate, as the case may be, shall be filed with the 261
	375	+	Secretary to the Council not more than 3 days after the delivery of the bonds or notes covered by 262
	376	+	the certificate. Any bond issuance certificate or note issuance certificate shall be conclusive 263
624	377
625		-	Sec. 11. General covenants.
626		-	(a) The following covenants are made by the District in connection with the
627		-	authorization and issuance of the bonds:
628		-	(1) Pursuant to section 603(c) of the Home Rule Act, the Council shall not approve
629		-	any budget that would result in expenditures being made by the District during any fiscal year in
630		-	excess of all resources that the Mayor estimates will be available from all funds available to the
631		-	District for that fiscal year, except as permitted by applicable law. The Mayor shall not forward to
632		-	the President for submission to Congress a budget that is not balanced according to the provisions
633		-	of section 603(c) of the Home Rule Act, except as permitted by applicable law.
634		-	(2) The District shall prepare its annual financial statements in accordance with
635		-	generally accepted accounting principles for state and local governments and cause its annual
636		-	financial statements to be audited by an independent accountant.
637		-	(3) The District shall not issue any general obligation bonds or general
638		-	obligation bond anticipation notes, other than bonds or renewal notes to refund any Outstanding
639		-	Debt, or incur any indebtedness to the Treasury of the United States for capital projects in an
640		-	amount that would cause the amount of debt service payable in any fiscal year on all the
641		-	indebtedness, including all outstanding bonds and loans, to exceed any limitations set forth in the
642		-	Home Rule Act or the borrowing limitation set forth in D. C. Official Code § 47 -335.02 at the
643		-	time the additional bonds or indebtedness are issued or incurred. For purposes of the l imitation
644		-	imposed by this section, and as required by section 475(b) of the Home Rule Act, the Council
645		-	hereby determines that the estimated maximum annual debt service amount for the bonds
646		-	anticipated by the notes is $30 million .
647		-
648		-	(4) Subject to applicable law, the District shall maintain a capital projects fund,
649		-	separate from other funds of the District, into which it will deposit the proceeds of any bonds or
650		-	notes, other than bonds or notes issued to refund Outstanding Debt, less any capitalized interest
651		-	and accrued interest, and shall expend the proceeds only to finance capital projects and incidental
652		-	costs as defined in section 103(8) of the Home Rule Act. Subject to applicable law, the proceeds
653		-	of the bonds or notes may be escrowed in appropriate accounts with escrow agents or a trustee for
654		-	the bonds or notes to be applied to the applicable purposes. Interest or other investment earnings
655		-	of proceeds in the capital projects fund shall be credited to the General Fund of the District of
656		-	Columbia, subject to provisions for any deposit requirements to a rebate fund or other funds in
657		-
658		-	ENROLLED ORIGINAL
	378	+	ENGROSSED ORIGINAL
659	379
660	380
661	381
662	382
663	383		14
664	384
665		-	accordance with agreements pertaining to the bonds or notes.
666		-	(b) The Mayor or an Authorized Delegate may, through a trust agreement or other
667		-	instrument, make additional covenants of the District and agree to other provisions to better secure,
668		-	administer funds for, and protect the bonds or notes and the owners thereof.
	385	+	evidence of the actions or determinations taken or made as stated in the certificate. 264
	386	+	(f) The Procurement Act and the Deposit and Investment Act shall not apply to whatever 265
	387	+	contract the Mayor or an Authorized Delegate may from time to time enter into for purposes of 266
	388	+	this act or the Mayor or an Authorized Delegate may determine to be necessary or appropriate for 267
	389	+	purposes of this act to place, in whole or in part , including, but not limited to: 268
	390	+	(1) An investment or obligation of the District as represented by the bonds or 269
	391	+	notes; 270
	392	+	(2) A contract or contracts for bond insurance or other credit enhancement 271
	393	+	(including, but not limited to, a letter or line of credits), or liquidity agreements, or 272
	394	+	placement of any investment or obligation or program of investment including any offering 273
	395	+	document, contract based on interest rate, currency, cash flow, or other basis, including, 274
	396	+	without limitation, interest rate swap agreements; currency swap agreements; insurance agreements; 275
	397	+	forward payment conversion agreements; futures contracts providing for payments based on levels 276
	398	+	of, or changes in, interest rates, currency exchange rates, or stock or other indices; contracts to 277
	399	+	exchange cash flows or a series of payments; and contracts to hedge payment, currency, rate, 278
	400	+	spread, or similar exposure, including, without limitation, interest rate floors , or caps, options, 279
	401	+	puts, and calls, Hedge Agreements, and any required supplements to any such documents. 280
	402	+	The contracts or other arrangements may also be entered into by the District in connection with, or 281
	403	+	incidental to, entering into or maintaining any agreement that secures the bonds or notes. The 282
669	404
670		-
671		-	Sec. 12. Events of default.
672		-	(a) Each of the following events constitutes an event of default:
673		-	(1) Failure to pay the principal of the bonds or notes, as the case may be, when
674		-	the principal becomes due and payable at maturity, upon redemption, or otherwise;
675		-
676		-	(2) Failure to pay an installment of interest on the bonds or notes, as the case
677		-	may be, upon the day when the interest becomes due; and
678		-
679		-	(3) Failure by the District to observe and perform any covenant, condition,
680		-	agreement, or provision, other than as specified in paragraphs (1) and (2) of this subsection,
681		-	contained in the bonds or notes, as the case may be, or in this act, but only if the failure
682		-	continues for a period of 90 days after transmittal to the District of written notice of failure.
683		-
684		-	(b) A bond or note owner who claims an event of default under subsection (a)(3) of this
685		-	section shall provide to the registrar written notice specifying the failure and requesting that it be
686		-	remedied. Upon verifying that the written notice has been transmitted by a bona fide bond or note
687		-	owner, the registrar, if other than the District, shall transmit the written notice to the District. If
688		-	the registrar is the District, the written notice shall be delivered directly to the Mayor. Transmittal
689		-	to the District of the written notice required by subsection (a)(3) of this section shall not be
690		-	accomplished in any manner other than that set forth in this subsection. If there is a trust
691		-	agreement or Escrow Agreement for the bonds or notes, the notice by bond or note owners and
692		-	notice to the District shall be given by and to the persons designated in or pursuant to such
693		-	agreement.
694		-
695		-
696		-	Sec. 13. Remedies.
697		-	(a) Upon the occurrence and continuance of any event of default, any bond or note
698		-	owner may:
699		-	(1) By mandamus or other suit, action, or proceeding at law or in equity, enforce
700		-	all rights of the bond or note owner and require the District to carry out any agreements with or for
701		-	the benefit of the bond or note owner and to perform its duties under this act;
702		-	(2) Bring suit upon the bonds or notes, as the case may be; and
703		-	(3) By action or suit at law or in equity, enjoin any acts that may be unlawful or in
704		-	violation of the rights of the bond or note owner.
705		-	(b) If any proceeding initiated by any bond or note owner to enforce any right under this
706		-	act is discontinued or abandoned for any reason, the District and the bond or note owner shall be
707		-	restored to their former positions and rights, and all rights, remedies, and powers of each of the
708		-
709		-	ENROLLED ORIGINAL
	405	+	ENGROSSED ORIGINAL
710	406
711	407
712	408
713	409
714	410		15
715	411
716		-	parties shall continue as though the proceeding had not been initiated.
717		-	(c) Subject to the provisions of the Home Rule Act, if there is a trust agreement or
718		-	Escrow Agreement for the bonds or notes, actions under this act or such agreement, or on the
719		-	bonds or notes, as the case may be, shall be subject to applicable provisions in the agreement,
720		-	notwithstanding other provisions in this act.
	412	+	contracts or other arrangements entered into pursuant to this section shall contain whatever payment 283
	413	+	security, terms, and conditions as the Mayor or an Authorized Delegate may consider appropriate 284
	414	+	and shall be entered into with whatever party or parties the Mayor or an Authorized Delegate may 285
	415	+	select, after giving due consideration, where applicable, to the creditworthiness of the counterparty 286
	416	+	or counterparties, including any rating by a nationally recognized rating agency or any other 287
	417	+	criteria as may be appropriate. 288
	418	+	(3) A contract or contracts for an escrow agent, paying agent, disclosure agent, 289
	419	+	trustee, collection agent, registrar, underwriting, legal services, accounting, financial advisory 290
	420	+	services, rating agency services, printing, and any other contracts for services of professionals or 291
	421	+	advisors or for disclosure services as the Mayor or an Authorized Delegate may deem to be 292
	422	+	necessary or appropriate. 293
	423	+	Sec. 8. Payment and security of the bonds and notes. 294
	424	+	(a) The full faith and credit of the District is pledged for the payment of the principal of, 295
	425	+	and interest on, the bonds and notes as they become due and payable through required sinking fund 296
	426	+	payments, redemptions, or otherwise. 297
	427	+	(b) The Council shall, in the full exercise of the authority granted in section 483 of the 298
	428	+	Home Rule Act and under any other law, provide in each annual budget for a fiscal year of the 299
	429	+	District sufficient funds to pay the principal of, and interest on, the bonds and notes becoming 300
	430	+	due and payable for any reason during that fiscal year. 301
721	431
722		-
723		-	Sec. 14. District officials.
724		-
725		-	(a) The elected and appointed officials, officers, employees, or agents of the District shall
726		-	not be liable personally for the payment of the bonds or notes or be subject to any personal
727		-	liability by reason of the issuance of the bonds or notes.
728		-
729		-	(b) The signature, countersignature, facsimile signature, or facsimile countersignature on
730		-	the bonds or notes shall be valid and sufficient for all purposes, notwithstanding the fact that the
731		-	official ceases to be that official before delivery of the bonds or notes.
732		-
733		-
734		-	Sec. 15. Defeasance of bonds and notes.
735		-
736		-	(a) The bonds or notes, as the case may be, shall be legally defeased and no longer be
737		-	considered outstanding and unpaid for the purpose of this act , and the requirements of this act
738		-	shall be discharged with respect to the bonds or the notes if the Mayor or an Authorized
739		-	Delegate:
740		-
741		-	(1) Deposits with an escrow agent, which shall be a bank, trust company, or
742		-	national banking association with requisite trust powers, in a separate defeasance escrow
743		-
744		-	account, established and maintained by the escrow agent solely at the expense of the
745		-	District and held in trust for the bond owners, sufficient moneys or direct obligations of the
746		-	United States, the principal of, and interest on, which, when due and payable, will provide
747		-	sufficient moneys to pay when due the principal of, and interest on, the bonds or notes to be
748		-	defeased; and
749		-
750		-	(2) Delivers to the defeasance escrow agent an irrevocable letter of instruction to
751		-	apply the moneys or investments to the payment of the principal of and interest on, the bonds or
752		-	notes to be defeased as they become due and payable.
753		-	(b) The defeasance escrow agent shall not invest the defeasance escrow account in any
754		-	investment callable at the option of its issuer if the call could result in less than sufficient moneys
755		-	being available for the purposes required by this section.
756		-
757		-	(c) The defeasance escrow account specified in subsection (a) of this section may be
758		-	established and maintained without regard to any District limitations placed on these accounts by
759		-	any law,
760		-	except for this act.
761		-	(d) References in this section to "amounts due and payable" include, but are not limited to,
762		-	amounts due and payable by reason of optional or mandatory redemption.
763		-
764		-
765		-
766		-	ENROLLED ORIGINAL
	432	+	ENGROSSED ORIGINAL
767	433
768	434
769	435
770	436
771	437		16
772	438
773		-	Sec. 16. Additional debt and other obligations.
774		-	Subject to the terms of any trust agreement or Escrow Agreement pertaining to the bonds or
775		-	notes, the District reserves the right at any time to borrow money or enter into other
776		-	obligations to the full extent permitted by law, to secure the borrowings or obligations by the pledge
777		-	of its full faith and credit, to secure the borrowings or other obligations by any other security and
778		-	pledges of funds as may be authorized by law, and to issue bonds, including Additional Bonds,
779		-	notes, including Additional Notes, or other instruments, to evidence the borrowings or obligations.
780		-	Any act of the Council authorizing the issuance of Additional Bonds or Additional Notes shall
781		-	provide for an increase in the special tax requirements sufficient to pay principal of, and inter est on,
782		-	the Additional Bonds or Additional Notes.
	439	+	(c) The Mayor shall, in the full exercise of the authority granted to the Mayor under the 302
	440	+	Home Rule Act and under any other law, take such actions as may be necessary or appropriate to 303
	441	+	ensure that the principal of, and interest on, the bonds and notes are paid when due for any reason, 304
	442	+	including the payment of principal and interest from any funds or accounts of the District not 305
	443	+	otherwise legally committed. 306
	444	+	(d) The bonds and notes shall evidence continuing obligations of the District until paid in 307
	445	+	accordance with their terms. 308
	446	+	(e) Any Paying Agent shall pay the principal of, and interest on, the bonds and notes 309
	447	+	and may perform other ministerial responsibilities as specifically provided in its appointment as 310
	448	+	paying agent. 311
	449	+	(f) Proceeds of the bonds or notes and any money set aside for any security for the bonds 312
	450	+	or notes or any contract or other arrangement entered into pursuant to this section , may be pledged to 313
	451	+	and used to service any contract or other arrangement providing for payment of principal of and 314
	452	+	interest on the bonds or notes. 315
	453	+	Sec. 9. Special tax; establishment of rates; collection. 316
	454	+	(a) (1) The Council determines that a special tax is necessary in conjunction with the 317
	455	+	authorization and issuance of the bonds and any Additional Bonds. Pursuant to section 481 of the 318
	456	+	Home Rule Act and notwithstanding the provisions of Chapter 5 of Title 47 of the District of 319
	457	+	Columbia Official Code, there is levied, for each real property tax year in which bonds or 320
	458	+	Additional Bonds are outstanding, a special tax on the real property in the District subject to 321
783	459
784		-
785		-	Sec. 17. Tax status.
786		-
787		-	If and to the extent the bonds or notes are issued on a tax- exempt basis, the Mayor or an
788		-	Authorized Delegate shall not (1) take any action or omit to take any action, or (2) invest, reinvest,
789		-	or accumulate any moneys in a manner, that will cause the interest on the bonds or notes, as the
790		-	case may be, to be includable in gross income for federal income tax purposes or to be treated as
791		-	an item of tax preference for purposes of the federal alternative minimum tax. The Mayor or an
792		-	Authorized Delegate shall also take all actions necessary to be taken, including to make any rebate
793		-	payment, if any, when due, so that the interest on the bonds or notes will not be includable in gross
794		-	income for federal income tax purposes or be treated as an item of tax preference for purposes of
795		-	the federal alternative minimum tax.
796		-
797		-	Sec. 18. Contract.
798		-	This act shall constitute a contract between the District and the owners of the bonds and
799		-	notes. To the extent that any acts or resolutions of the Council may be in conflict with this act, this
800		-	act shall be controlling with respect to bonds and notes.
801		-
802		-	Sec. 19. Authorized delegation of authority.
803		-	To the extent permitted by District and federal laws, the Mayor may delegate to any
804		-	authorized delegate the performance of any act authorized to be performed by the Mayor under this
805		-	act.
806		-
807		-	Sec. 20. Maintenance of documents.
808		-	Copies of the specimen bonds and notes and related documents shall be filed in the
809		-	Office of the Secretary of the District of Columbia.
810		-
811		-
812		-	See. 21. Information reporting.
813		-
814		-	(a) Within 3 days after the Mayor's receipt of the transcript of proceedings relating to
815		-	the issuance of any series of the bonds or notes, the Mayor shall transmit a copy of the transcript to
816		-	the Secretary to the Council.
817		-
818		-
819		-	ENROLLED ORIGINAL
	460	+	ENGROSSED ORIGINAL
820	461
821	462
822	463
823	464
824	465		17
825	466
826		-	(b) The Mayor shall notify the Council, within 30 days, if any funds or accounts of
827		-	the District not otherwise legally committed have been used for the payment of principal of
828		-	and interest on the bonds pursuant to section 8(c).
	467	+	taxation, in amounts that will be sufficient to pay the principal of, and interest on, the bonds and 322
	468	+	Additional Bonds coming due in each year. This special tax is levied, without limitation as to rate 323
	469	+	or amount, on all classes of real property subject to taxation in the District. The special tax shall be 324
	470	+	collected and apportioned among classes of real property in the same manner as other District real 325
	471	+	property taxes and, when collected, shall be set aside in a Special Tax Fund maintained separate 326
	472	+	from other funds of the District. The collection and custody of the s pecial tax payment may be 327
	473	+	pursuant to an agreement with an agent for such purposes and the Special Tax Fund may be 328
	474	+	maintained under an Escrow Agreement. When deposited, the funds in the fund and all investment 329
	475	+	income or earnings on these funds shall be irrevocably dedicated and pledged to the payment of 330
	476	+	principal, and interest on, the bonds and any Additional Bonds. Any Escrow Agreement providing 331
	477	+	for holding funds for the benefit of the holders of the bonds shall be maintained so long as any of 332
	478	+	the bonds is outstanding under this act. 333
	479	+	(2) In addition to the special tax levied pursuant to paragraph (1) of this subsection, the 334
	480	+	Council determines that a separate tax levy is necessary in conjunction with the authorization and 335
	481	+	issuance of notes and any Additional Notes. Pursuant to section 467(a) of the Home Rule Act, and 336
	482	+	notwithstanding the provisions of Chapter 5 of Title 47 of the District of Columbia Official Code, 337
	483	+	there is levied, for each real property tax year in which notes or Additional Notes are outstanding, a 338
	484	+	special tax for notes on the real property in the District subject to taxation, which shall be separate 339
	485	+	and distinct from the collection and pledge of the special tax in paragraph (1) of this subsection, in 340
	486	+	amounts that will be sufficient to pay the principal of, and interest on, the notes and Additional Notes 341
829	487
830		-	(c)(1) The Mayor's letter of transmittal accompanying the submission of any proposed
831		-	resolution to approve the issuance of bonds or notes pursuant to this act shall include a statement
832		-	as to:
833		-
834		-	(A) Whether the bonds or notes of any series are intended to be sold by
835		-	competitive bid or by negotiated sale and, if bonds of any series are intended to be sold by
836		-	negotiated sale, a copy of the Mayor's written determination that sale by competitive bid is not
837		-	feasible or is not in the best interests of the District and a statement of the reasons supporting
838		-	this determination; and
839		-
840		-	(B) Whether the bonds or notes of any series are intended to be issued on a
841		-	tax-exempt or taxable basis.
842		-	(d)(1) No portion of the proceeds of the sale of bonds or notes shall be used to
843		-	compensate a District employee unless the employee actually performs duties related to the
844		-	projects financed by this act, as provided in section 5(e).
845		-	(2) Within 30 days after the effective date of this act, and before any bonds or
846		-	notes are issued pursuant to this act, the Mayor shall submit to the Council a list of all
847		-	District employees who are compensated, in whole or part, by capital improvement funds.
848		-	(e) With respect to a negotiated sale of bonds or notes, the underwriters shall provide
849		-	written notification to the District of the following circumstances:
850		-	(1) Any relationship, during the prior 2 years, with elected or appointed District
851		-	officials, or the District's bond counsel or financial advisor, which could create a conflict of
852		-	interest or apparent conflict of interest with the duties performed, or to be performed, by such
853		-	underwriters or other advisors for the District;
854		-	(2) Any arrangement, during the prior 2 years, to share fees with other
855		-	underwriters, firms, or individuals in connection with the provision of services to the District by
856		-	either entity; and
857		-	(3) Any public finance transaction for any other issuer where the underwriter, or
858		-	prospective underwriter, is serving, or has served in the prior 2 years, as financial advisor in any
859		-	transaction where the District's financial advisor was, or is, an underwriter.
860		-
861		-	Sec. 22. Period of Limitations.
862		-	At the end of the 20- day period beginning on the date of the first publication pursuant to
863		-	the notice in section 463(a) of the Home Rule Act that an act authorizing the issuance of the
864		-	bonds has taken effect:
865		-	(1) Any recital or statement of fact contained in such act or in the preamble or
866		-	title of this act shall be deemed to be true for the purpose of determining the validity of any bonds
867		-
868		-	ENROLLED ORIGINAL
	488	+	ENGROSSED ORIGINAL
869	489
870	490
871	491
872	492
873	493		18
874	494
875		-	authorized by this act, and the District and all others interested shall be estopped from denying
876		-	any such recital or statement of fact; and
877		-	(2) This act, and all proceedings in connection with the authorization of the
878		-	issuance of bonds authorized by this act, shall be deemed to have been duly and regularly taken,
879		-	passed, and done by the District, in compliance with the Home Rule Act and all other applicable
880		-	laws, for the purpose of determining the validity of this act and the proceeding in connection with
881		-	the authorization and issuance of bonds authorized by this act; and no court shall have jurisdiction
882		-	in any suit, action, or proceeding commenced before the end of such 20- day period.
	495	+	coming due in each year. This special tax for notes is levied, without limitation as to rate or amount, 342
	496	+	on all classes of real property subject to taxation in the District. The special tax for notes shall be 343
	497	+	collected and apportioned among classes of real property in the same manner as other District real 344
	498	+	property taxes and, when collected, shall be set aside in a Special Tax Fund for Notes maintained 345
	499	+	separate from other funds of the District, including the Special Tax Fund maintained under paragraph 346
	500	+	(1) of this subsection. The collection and custody of the revenue pledge payment may be pursuant to 347
	501	+	an agreement with an agent for such purposes and the Special Tax Fund for Notes may be 348
	502	+	maintained under an Escrow Agreement. When deposited, the revenues in the fund and all 349
	503	+	investment income or earnings on these funds shall be irrevocably dedicated and pledged to the 350
	504	+	payment of principal, and interest on, the notes and any Additional Notes. Any Escrow Agreement 351
	505	+	providing for holding funds for the benefit of the holders of the notes or Additional Notes shall be 352
	506	+	maintained so long as any of the notes or Additional Notes is outstanding under this act. 353
	507	+	(3) The special taxes authorized pursuant to subsection (a)(1) and (2) of this section 354
	508	+	shall be levied and collected ratably and on a parity with each other, and in the event there are 355
	509	+	insufficient collections of real property taxes, the amounts collected shall be allocated to each of 356
	510	+	the Special Tax Funds in proportion of the amounts of bonds and Additional Bonds and notes and 357
	511	+	Additional Notes outstanding. 358
	512	+	(b) The District irrevocably pledges for and on behalf of the owners of the bonds or notes 359
	513	+	as further security for the due and punctual payment of the principal and redemption price, if any, 360
	514	+	of, and interest on, the bonds or notes as they shall become due and payable for any reason, all of 361
883	515
884		-	Sec 23. Severability.
885		-	As provided in the General Rule of Severability Adoption Act of 1983, effective March
886		-	14, 1984 (D.C. Law 5-56; D.C. Official Code § 45- 201), if any provision of this act or the
887		-	application of this act to any person or circumstance is held to be unconstitutional or beyond the
888		-	statutory authority of the Council, or otherwise invalid, the i nvalidity shall not affect other
889		-	provisions or applications of the act that can be given effect without the invalid provision or
890		-	application, and to this end the provisions of this act are declared to be severable.
891		-
892		-	Sec. 24. Fiscal impact statement.
893		-	The Council adopts the fiscal impact statement of the Chief Financial Officer as the
894		-	fiscal impact statement required by section 4a of the General Legislative Procedures Act of
895		-	1975, approved October 16, 2006 (120 Stat. 2038; D.C. Official Code § 1- 301.47a).
896		-
897		-	Sec. 25. Effective date.
898		-	(a) This act shall take effect following approval by the Mayor (or in the event of veto by the
899		-	Mayor, action by the Council to override the veto), a 30- day period of Congressional review as
900		-	provided in section 602(c)(1) of the District of Columbia Home Rule Act, approved December
901		-
902		-
903		-
904		-
905		-
906		-
907		-
908		-
909		-
910		-
911		-
912		-
913		-	ENROLLED ORIGINAL
	516	+	ENGROSSED ORIGINAL
914	517
915	518
916	519
917	520
918	521		19
919	522
920		-	24, 1973 (87 Stat. 813; D.C. Official Code § 1- 206.02(c)(1)), and publication in the District of
921		-	Columbia Register.
922		-	(b) This act shall expire after 225 days of its having taken effect.
	523	+	its right, title, and interest now owned or later acquired in and to the revenue from the applicable 362
	524	+	special taxes levied by this section, whether to be received, or held at the time, by a collection 363
	525	+	agent, custodian, or escrow agent for the District, or by District officials. This pledge creates and 364
	526	+	grants a parity security interest, which is created and perfected as contemplated in section 467 of 365
	527	+	the Home Rule Act, subject to the terms, conditions, and limitations in this act, including the 366
	528	+	provisions of subsections (e) and (i) of this section and the provisions setting forth conditions and 367
	529	+	limitations applicable to the issuance of Additional Bonds or Additional Notes secured, equally 368
	530	+	and ratably with the bonds or notes, respectively by a pledge of and security interest in the special 369
	531	+	tax revenue or special tax for notes revenue. 370
	532	+	(c) The security interests created in the revenues from the special tax es levied by this 371
	533	+	section shall be valid, binding, and perfected from the time of the delivery of the first bonds or 372
	534	+	notes with or without the physical delivery or allocation of any special tax revenue or special tax 373
	535	+	for notes revenue and with or without any further action. The security interest shall be valid, 374
	536	+	binding, and perfected whether or not any statement, document, or instrument relating to the 375
	537	+	security interest is recorded or filed. The pledge and lien created by the security interest shall be 376
	538	+	valid, binding, and perfected with respect to any individual or legal entity having claims against 377
	539	+	the District, whether or not the individual or legal entity has notice of the pledge and lien. 378
	540	+	(d) If the District pays or, pursuant to section 15, makes provisions to pay to the owners of 379
	541	+	all bonds and Additional Bonds or notes and Additional Notes the principal or redemption price, 380
923	542
924		-
925		-
926		-	______________________________
927		-	Chairman
928		-	Council of the District of Columbia
	543	+	ENGROSSED ORIGINAL
929	544
930	545
931	546
932	547
	548	+	20
933	549
934		-	_________________________________
935		-	Mayor
936		-	District of Columbia
	550	+	if any, and the interest due or to become due, at the time and in the manner stipulated, the security 381
	551	+	interest created in the revenue from the special tax es levied under this section shall be terminated. 382
	552	+	(e)(1) In any real property tax year, if the amount expected to be on deposit in the Special 383
	553	+	Tax Fund on the first day of the next succeeding real property tax year exceeds the greater of the 384
	554	+	earnings on the Special Tax Fund for the current real property tax year or 1/12 of the amount that 385
	555	+	the Mayor certifies as required to pay the principal of, and interest on, the bonds and any 386
	556	+	Additional Bonds coming due in the next succeeding real property tax year, the Mayor shall either 387
	557	+	cause the transfer of that excess amount to the General Fund of the District of Columbia or the 388
	558	+	use of that excess amount to purchase, for cancellation, Outstanding Debt. That excess amount 389
	559	+	shall be released from the lien on and security interest in the special tax revenue created under this 390
	560	+	section. 391
	561	+	(2) In any real property tax year, if the amount expected to be on deposit the 392
	562	+	Special Tax Fund for Notes on the first day of the next succeeding real property tax year exceeds 393
	563	+	the greater of the earnings on the Special Tax Fund for Notes for the current real property tax 394
	564	+	year or 1/12 of the amount that the Mayor certifies as required to pay the principal of, and interest 395
	565	+	on, the notes and any Additional Notes coming due in the next succeeding real property tax year, 396
	566	+	the Mayor shall either cause the transfer of that excess amount to the General Fund of the District 397
	567	+	of Columbia or the use of that excess amount to purchase, for cancellation, Outstanding Debt. 398
	568	+	That excess amount shall be released from the lien on and security interest in the special tax for 399
	569	+	notes revenue created under this section. 400
	570	+
	571	+	ENGROSSED ORIGINAL
937	572
938	573
939	574
	575	+
	576	+	21
	577	+
	578	+	(3) On or before the date upon which the Mayor is required by law to submit to 401
	579	+	the Council proposed real property tax rates for a real property tax year of the District (but not 402
	580	+	later than the first day of that real property tax year), the Mayor shall certify to the Council the 403
	581	+	amount required in that real property tax year to pay the principal of, and interest on, the bonds 404
	582	+	and any Additional Bonds or notes and any Additional Notes coming due for any reason during 405
	583	+	that real property tax year. The amount certified, less any funds then on deposit in the Special 406
	584	+	Tax Funds after application of paragraphs (1) and (2) of this subsection, shall be called the 407
	585	+	special tax requirement. 408
	586	+	(f) On or before the date upon which the Mayor is required by law to submit to the Council 409
	587	+	proposed tax rates for a real property tax year of the District (but not later than the first day of that 410
	588	+	real property tax year), the Mayor shall calculate and submit to the Council proposed real property 411
	589	+	special tax rates to be applied during the real property tax year to all real property subject to 412
	590	+	taxation in the District. The real property special tax rates shall be calculated to yield the special tax 413
	591	+	requirement, as that amount is certified by the Mayor pursuant to subsection (e) of this section. 414
	592	+	(g) The Council, in the same manner as provided for the establishment of other real 415
	593	+	property tax rates, shall, by act, establish real property special tax rates for the real property tax 416
	594	+	year calculated to yield the special tax requirement, as that amount is certified by the Mayor 417
	595	+	pursuant to subsection (e) of this section. If the Council fails to enact special real property tax 418
	596	+	rates for the real property tax year within the time provided by law, the real property special tax 419
	597	+	rates submitted by the Mayor pursuant to subsection (f) of this section shall be the real property 420
	598	+
	599	+	ENGROSSED ORIGINAL
	600	+
	601	+
	602	+
	603	+
	604	+	22
	605	+
	606	+	special tax rates to be applied during that real property tax year. 421
	607	+	(h) Real property special taxes shall be collected in the same manner as other District real 422
	608	+	property taxes and the Mayor shall promptly deposit in the Special Tax Funds all real property 423
	609	+	special taxes collected, including collection through a collection agent and deposit under an 424
	610	+	Escrow Agreement. If the law of the District relating to the levy or collection of real property 425
	611	+	taxes or the calculation or establishment of real property tax rates is changed in a manner that 426
	612	+	renders any of the provisions of subsections (e) through (h) of this section incapable of 427
	613	+	performance in accordance with their respective terms, the Mayor and the Council shall take 428
	614	+	actions that result in the collection of real property special taxes, in the same manner as other 429
	615	+	District real property taxes, in the amounts required by this section. 430
	616	+	(i) The District and the Mayor reserve the right to satisfy all or a portion of the special tax 431
	617	+	pledge requirements by setting aside and depositing into the Special Tax Funds, equally and ratably, 432
	618	+	at any time any funds of the District not otherwise legally committed, which shall irrevocably 433
	619	+	dedicate and pledge those deposits to the payment of principal of, and interest on, the bonds and 434
	620	+	Additional Bonds or notes and any Additional Notes then outstanding. To the extent that all or a 435
	621	+	portion of the special tax requirement or revenue pledge requirement is satisfied by those deposits, 436
	622	+	an equal amount of real property special tax revenue or special tax for notes revenue subsequently 437
	623	+	collected shall be released from the lien on and the security interest in the special tax revenue or the 438
	624	+	special tax for notes revenue created under this section and shall be paid to reimburse the General 439
	625	+
	626	+	ENGROSSED ORIGINAL
	627	+
	628	+
	629	+
	630	+
	631	+	23
	632	+
	633	+	Fund of the District of Columbia or other fund of the District of Columbia from which the other 440
	634	+	funds were received, and any other funds so deposited in lieu of a portion of the special tax revenues 441
	635	+	or pledged property tax revenues shall be subject to the pledge and security interest under this act as 442
	636	+	if they were special tax revenues or special tax for notes pledged revenues pursuant to section 467 of 443
	637	+	the Home Rule Act. 444
	638	+	(j) The Mayor shall provide for the payment of the principal of, and interest on, the bonds 445
	639	+	or notes, as it may become due and payable for any reason, by transferring funds on deposit in the 446
	640	+	Special Tax Funds, respectively, to the Paying Agent to the extent required pursuant to the bond or 447
	641	+	Additional Bond issuance certificate or note or Additional Note issuance certificate provided for in 448
	642	+	section 7. 449
	643	+	Sec. 10. Issuance of bonds to pay notes when due. 450
	644	+	(a) The District shall issue the bonds or, to the extent permitted by the Home Rule Act, 451
	645	+	renewal notes to provide for the payment of the principal of the notes, as they may become due and 452
	646	+	payable. 453
	647	+	(b) The par value to be received from the sale of any bonds issued to refund the notes or any 454
	648	+	renewal notes shall, to the extent necessary, be used to pay the principal of, and interest on, the 455
	649	+	notes when due and are pledged to that purpose. 456
	650	+	Sec. 11. General covenants. 457
	651	+	(a) The following covenants are made by the District in connection with the 458
	652	+	authorization and issuance of the bonds: 459
	653	+
	654	+	ENGROSSED ORIGINAL
	655	+
	656	+
	657	+
	658	+
	659	+	24
	660	+
	661	+	(1) Pursuant to section 603(c) of the Home Rule Act, the Council shall not approve 460
	662	+	any budget that would result in expenditures being made by the District during any fiscal year in 461
	663	+	excess of all resources that the Mayor estimates will be available from all funds available to the 462
	664	+	District for that fiscal year, except as permitted by applicable law. The Mayor shall not forward to 463
	665	+	the President for submission to Congress a budget that is not balanced according to the provisions 464
	666	+	of section 603(c) of the Home Rule Act, except as permitted by applicable law. 465
	667	+	(2) The District shall prepare its annual financial statements in accordance with 466
	668	+	generally accepted accounting principles for state and local governments and cause its annual 467
	669	+	financial statements to be audited by an independent accountant. 468
	670	+	(3) The District shall not issue any general obligation bonds or general 469
	671	+	obligation bond anticipation notes, other than bonds or renewal notes to refund any Outstanding 470
	672	+	Debt, or incur any indebtedness to the Treasury of the United States for capital projects in an 471
	673	+	amount that would cause the amount of debt service payable in any fiscal year on all the 472
	674	+	indebtedness, including all outstanding bonds and loans, to exceed any limitations set forth in the 473
	675	+	Home Rule Act or the borrowing limitation set forth in D. C. Official Code § 47 -335.02 at the 474
	676	+	time the additional bonds or indebtedness are issued or incurred. For purposes of the l imitation 475
	677	+	imposed by this section, and as required by section 475(b) of the Home Rule Act, the Council 476
	678	+	hereby determines that the estimated maximum annual debt service amount for the bonds 477
	679	+	anticipated by the notes is $30 million . 478
	680	+	(4) Subject to applicable law, the District shall maintain a capital projects fund, 479
	681	+
	682	+	ENGROSSED ORIGINAL
	683	+
	684	+
	685	+
	686	+
	687	+	25
	688	+
	689	+	separate from other funds of the District, into which it will deposit the proceeds of any bonds or 480
	690	+	notes, other than bonds or notes issued to refund Outstanding Debt, less any capitalized interest 481
	691	+	and accrued interest, and shall expend the proceeds only to finance capital projects and incidental 482
	692	+	costs as defined in section 103(8) of the Home Rule Act. Subject to applicable law, the proceeds 483
	693	+	of the bonds or notes may be escrowed in appropriate accounts with escrow agents or a trustee for 484
	694	+	the bonds or notes to be applied to the applicable purposes. Interest or other investment earnings 485
	695	+	of proceeds in the capital projects fund shall be credited to the General Fund of the District of 486
	696	+	Columbia, subject to provisions for any deposit requirements to a rebate fund or other funds in 487
	697	+	accordance with agreements pertaining to the bonds or notes. 488
	698	+	(b) The Mayor or an Authorized Delegate may, through a trust agreement or other 489
	699	+	instrument, make additional covenants of the District and agree to other provisions to better secure, 490
	700	+	administer funds for, and protect the bonds or notes and the owners thereof. 491
	701	+	Sec. 12. Events of default. 492
	702	+	(a) Each of the following events constitutes an event of default: 493
	703	+	(1) Failure to pay the principal of the bonds or notes, as the case may be, when 494
	704	+	the principal becomes due and payable at maturity, upon redemption, or otherwise; 495
	705	+	(2) Failure to pay an installment of interest on the bonds or notes, as the case 496
	706	+	may be, upon the day when the interest becomes due; and 497
	707	+	(3) Failure by the District to observe and perform any covenant, condition, 498
	708	+	agreement, or provision, other than as specified in paragraphs (1) and (2) of this subsection, 499
	709	+
	710	+	ENGROSSED ORIGINAL
	711	+
	712	+
	713	+
	714	+
	715	+	26
	716	+
	717	+	contained in the bonds or notes, as the case may be, or in this act, but only if the failure 500
	718	+	continues for a period of 90 days after transmittal to the District of written notice of failure. 501
	719	+	(b) A bond or note owner who claims an event of default under subsection (a)(3) of this 502
	720	+	section shall provide to the registrar written notice specifying the failure and requesting that it be 503
	721	+	remedied. Upon verifying that the written notice has been transmitted by a bona fide bond or note 504
	722	+	owner, the registrar, if other than the District, shall transmit the written notice to the District. If 505
	723	+	the registrar is the District, the written notice shall be delivered directly to the Mayor. Transmittal 506
	724	+	to the District of the written notice required by subsection (a)(3) of this section shall not be 507
	725	+	accomplished in any manner other than that set forth in this subsection. If there is a trust 508
	726	+	agreement or Escrow Agreement for the bonds or notes, the notice by bond or note owners and 509
	727	+	notice to the District shall be given by and to the persons designated in or pursuant to such 510
	728	+	agreement. 511
	729	+	Sec. 13. Remedies. 512
	730	+	(a) Upon the occurrence and continuance of any event of default, any bond or note 513
	731	+	owner may: 514
	732	+	(1) By mandamus or other suit, action, or proceeding at law or in equity, enforce 515
	733	+	all rights of the bond or note owner and require the District to carry out any agreements with or for 516
	734	+	the benefit of the bond or note owner and to perform its duties under this act; 517
	735	+	(2) Bring suit upon the bonds or notes, as the case may be; and 518
	736	+	(3) By action or suit at law or in equity, enjoin any acts that may be unlawful or in 519
	737	+
	738	+	ENGROSSED ORIGINAL
	739	+
	740	+
	741	+
	742	+
	743	+	27
	744	+
	745	+	violation of the rights of the bond or note owner. 520
	746	+	(b) If any proceeding initiated by any bond or note owner to enforce any right under this 521
	747	+	act is discontinued or abandoned for any reason, the District and the bond or note owner shall be 522
	748	+	restored to their former positions and rights, and all rights, remedies, and powers of each of the 523
	749	+	parties shall continue as though the proceeding had not been initiated. 524
	750	+	(c) Subject to the provisions of the Home Rule Act, if there is a trust agreement or 525
	751	+	Escrow Agreement for the bonds or notes, actions under this act or such agreement, or on the 526
	752	+	bonds or notes, as the case may be, shall be subject to applicable provisions in the agreement, 527
	753	+	notwithstanding other provisions in this act. 528
	754	+	Sec. 14. District officials. 529
	755	+	(a) The elected and appointed officials, officers, employees, or agents of the District shall 530
	756	+	not be liable personally for the payment of the bonds or notes or be subject to any personal 531
	757	+	liability by reason of the issuance of the bonds or notes. 532
	758	+	(b) The signature, countersignature, facsimile signature, or facsimile countersignature on 533
	759	+	the bonds or notes shall be valid and sufficient for all purposes, notwithstanding the fact that the 534
	760	+	official ceases to be that official before delivery of the bonds or notes. 535
	761	+	Sec. 15. Defeasance of bonds and notes. 536
	762	+	(a) The bonds or notes, as the case may be, shall be legally defeased and no longer be 537
	763	+	considered outstanding and unpaid for the purpose of this act , and the requirements of this act 538
	764	+	shall be discharged with respect to the bonds or the notes if the Mayor or an Authorized 539
	765	+
	766	+	ENGROSSED ORIGINAL
	767	+
	768	+
	769	+
	770	+
	771	+	28
	772	+
	773	+	Delegate: 540
	774	+	(1) Deposits with an escrow agent, which shall be a bank, trust company, or 541
	775	+	national banking association with requisite trust powers, in a separate defeasance escrow 542
	776	+	account, established and maintained by the escrow agent solely at the expense of the 543
	777	+	District and held in trust for the bond owners, sufficient moneys or direct obligations of the 544
	778	+	United States, the principal of, and interest on, which, when due and payable, will provide 545
	779	+	sufficient moneys to pay when due the principal of, and interest on, the bonds or notes to be 546
	780	+	defeased; and 547
	781	+	(2) Delivers to the defeasance escrow agent an irrevocable letter of instruction to 548
	782	+	apply the moneys or investments to the payment of the principal of and interest on, the bonds or 549
	783	+	notes to be defeased as they become due and payable. 550
	784	+	(b) The defeasance escrow agent shall not invest the defeasance escrow account in any 551
	785	+	investment callable at the option of its issuer if the call could result in less than sufficient moneys 552
	786	+	being available for the purposes required by this section. 553
	787	+	(c) The defeasance escrow account specified in subsection (a) of this section may be 554
	788	+	established and maintained without regard to any District limitations placed on these accounts by 555
	789	+	any law, except for this act. 556
	790	+	(d) References in this section to "amounts due and payable" include, but are not limited to, 557
	791	+	amounts due and payable by reason of optional or mandatory redemption. 558
	792	+
	793	+	ENGROSSED ORIGINAL
	794	+
	795	+
	796	+
	797	+
	798	+	29
	799	+
	800	+	Sec. 16. Additional debt and other obligations. 559
	801	+	Subject to the terms of any trust agreement or Escrow Agreement pertaining to the bonds or 560
	802	+	notes, the District reserves the right at any time to borrow money or enter into other 561
	803	+	obligations to the full extent permitted by law, to secure the borrowings or obligations by the pledge 562
	804	+	of its full faith and credit, to secure the borrowings or other obligations by any other security and 563
	805	+	pledges of funds as may be authorized by law, and to issue bonds, including Additional Bonds, 564
	806	+	notes, including Additional Notes, or other instruments, to evidence the borrowings or obligations. 565
	807	+	Any act of the Council authorizing the issuance of Additional Bonds or Additional Notes shall 566
	808	+	provide for an increase in the special tax requirements sufficient to pay principal of, and inter est on, 567
	809	+	the Additional Bonds or Additional Notes. 568
	810	+	Sec. 17. Tax status. 569
	811	+	If and to the extent the bonds or notes are issued on a tax- exempt basis, the Mayor or an 570
	812	+	Authorized Delegate shall not (1) take any action or omit to take any action, or (2) invest, reinvest, 571
	813	+	or accumulate any moneys in a manner, that will cause the interest on the bonds or notes, as the 572
	814	+	case may be, to be includable in gross income for federal income tax purposes or to be treated as 573
	815	+	an item of tax preference for purposes of the federal alternative minimum tax. The Mayor or an 574
	816	+	Authorized Delegate shall also take all actions necessary to be taken, including to make any rebate 575
	817	+	payment, if any, when due, so that the interest on the bonds or notes will not be includable in gross 576
	818	+	income for federal income tax purposes or be treated as an item of tax preference for purposes of 577
	819	+	the federal alternative minimum tax. 578
	820	+
	821	+	ENGROSSED ORIGINAL
	822	+
	823	+
	824	+
	825	+
	826	+	30
	827	+
	828	+	Sec. 18. Contract. 579
	829	+	This act shall constitute a contract between the District and the owners of the bonds and 580
	830	+	notes. To the extent that any acts or resolutions of the Council may be in conflict with this act, this 581
	831	+	act shall be controlling with respect to bonds and notes. 582
	832	+	Sec. 19. Authorized delegation of authority. 583
	833	+	To the extent permitted by District and federal laws, the Mayor may delegate to any 584
	834	+	authorized delegate the performance of any act authorized to be performed by the Mayor under this 585
	835	+	act. 586
	836	+	Sec. 20. Maintenance of documents. 587
	837	+	Copies of the specimen bonds and notes and related documents shall be filed in the 588
	838	+	Office of the Secretary of the District of Columbia. 589
	839	+	See. 21. Information reporting. 590
	840	+	(a) Within 3 days after the Mayor's receipt of the transcript of proceedings relating to 591
	841	+	the issuance of any series of the bonds or notes, the Mayor shall transmit a copy of the transcript to 592
	842	+	the Secretary to the Council. 593
	843	+	(b) The Mayor shall notify the Council, within 30 days, if any funds or accounts of 594
	844	+	the District not otherwise legally committed have been used for the payment of principal of 595
	845	+	and interest on the bonds pursuant to section 8(c). 596
	846	+	(c)(1) The Mayor's letter of transmittal accompanying the submission of any proposed 597
	847	+	resolution to approve the issuance of bonds or notes pursuant to this act shall include a statement 598
	848	+
	849	+	ENGROSSED ORIGINAL
	850	+
	851	+
	852	+
	853	+
	854	+	31
	855	+
	856	+	as to: 599
	857	+	(A) Whether the bonds or notes of any series are intended to be sold by 600
	858	+	competitive bid or by negotiated sale and, if bonds of any series are intended to be sold by 601
	859	+	negotiated sale, a copy of the Mayor's written determination that sale by competitive bid is not 602
	860	+	feasible or is not in the best interests of the District and a statement of the reasons supporting 603
	861	+	this determination; and 604
	862	+	(B) Whether the bonds or notes of any series are intended to be issued on a 605
	863	+	tax-exempt or taxable basis. 606
	864	+	(d)(1) No portion of the proceeds of the sale of bonds or notes shall be used to 607
	865	+	compensate a District employee unless the employee actually performs duties related to the 608
	866	+	projects financed by this act, as provided in section 5(e). 609
	867	+	(2) Within 30 days after the effective date of this act, and before any bonds or 610
	868	+	notes are issued pursuant to this act, the Mayor shall submit to the Council a list of all 611
	869	+	District employees who are compensated, in whole or part, by capital improvement funds. 612
	870	+	(e) With respect to a negotiated sale of bonds or notes, the underwriters shall provide 613
	871	+	written notification to the District of the following circumstances: 614
	872	+	(1) Any relationship, during the prior 2 years, with elected or appointed District 615
	873	+	officials, or the District's bond counsel or financial advisor, which could create a conflict of 616
	874	+	interest or apparent conflict of interest with the duties performed, or to be performed, by such 617
	875	+
	876	+	ENGROSSED ORIGINAL
	877	+
	878	+
	879	+
	880	+
	881	+	32
	882	+
	883	+	underwriters or other advisors for the District; 618
	884	+	(2) Any arrangement, during the prior 2 years, to share fees with other 619
	885	+	underwriters, firms, or individuals in connection with the provision of services to the District by 620
	886	+	either entity; and 621
	887	+	(3) Any public finance transaction for any other issuer where the underwriter, or 622
	888	+	prospective underwriter, is serving, or has served in the prior 2 years, as financial advisor in any 623
	889	+	transaction where the District's financial advisor was, or is, an underwriter. 624
	890	+	Sec. 22. Period of Limitations. 625
	891	+	At the end of the 20- day period beginning on the date of the first publication pursuant to 626
	892	+	the notice in section 463(a) of the Home Rule Act that an act authorizing the issuance of the 627
	893	+	bonds has taken effect: 628
	894	+	(1) Any recital or statement of fact contained in such act or in the preamble or title of 629
	895	+	this act shall be deemed to be true for the purpose of determining the validity of any bonds 630
	896	+	authorized by this act, and the District and all others interested shall be estopped from denying 631
	897	+	any such recital or statement of fact; and 632
	898	+	(2) This act, and all proceedings in connection with the authorization of the issuance 633
	899	+	of bonds authorized by this act, shall be deemed to have been duly and regularly taken, passed, 634
	900	+	and done by the District, in compliance with the Home Rule Act and all other applicable laws, for 635
	901	+	the purpose of determining the validity of this act and the proceeding in connection with the 636
	902	+	authorization and issuance of bonds authorized by this act; and no court shall have jurisdiction in 637
	903	+
	904	+	ENGROSSED ORIGINAL
	905	+
	906	+
	907	+
	908	+
	909	+	33
	910	+
	911	+	any suit, action, or proceeding commenced before the end of such 20 -day period. 638
	912	+	Sec 23. Severability. 639
	913	+	As provided in the General Rule of Severability Adoption Act of 1983, effective March 640
	914	+	14, 1984 (D.C. Law 5-56; D.C. Official Code § 45- 201), if any provision of this act or the 641
	915	+	application of this act to any person or circumstance is held to be unconstitutional or beyond the 642
	916	+	statutory authority of the Council, or otherwise invalid, the i nvalidity shall not affect other 643
	917	+	provisions or applications of the act that can be given effect without the invalid provision or 644
	918	+	application, and to this end the provisions of this act are declared to be severable. 645
	919	+	Sec. 24. Fiscal impact statement. 646
	920	+	The Council adopts the fiscal impact statement of the Chief Financial Officer as the 647
	921	+	fiscal impact statement required by section 4a of the General Legislative Procedures Act of 648
	922	+	1975, approved October 16, 2006 (120 Stat. 2038; D.C. Official Code § 1- 301.47a). 649
	923	+	Sec. 25. Effective date. 650
	924	+	(a) This act shall take effect following approval by the Mayor (or in the event of veto by the 651
	925	+	Mayor, action by the Council to override the veto), a 30- day period of Congressional review as 652
	926	+	provided in section 602(c)(1) of the District of Columbia Home Rule Act, approved December 653
	927	+	24, 1973 (87 Stat. 813; D.C. Official Code § 1- 206.02(c)(1)), and publication in the District of 654
	928	+	Columbia Register. 655
	929	+	(b) This act shall expire after 225 days of its having taken effect. 656