District Of Columbia 2023-2024 Regular Session

District Of Columbia Council Bill B25-0228 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
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3	3	________________________ ___________________________ 1
4	4	Councilmember Christina Henderson Councilmember Brooke Pinto 2
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6	6	A BILL 4
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8	8	_______________ 6
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10	10	IN THE COUNCIL OF THE DISTRICT OF COLUMBIA 8
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12	12	________________________ 10
13	13	11
14	14	To establish incentives to transform the Central Business District into a place to live, work, and 12
15	15	play, to provide childcare incentives to support a return to in-person work in the Central 13
16	16	Business District, to support innovative and effective strategies to promote public safety 14
17	17	in commercial corridors across the District, and to promote the equitable and resilient 15
18	18	recovery of the entire District of Columbia. 16
19	19	17
20	20	BE IT ENACTED BY THE COUNCIL OF THE DISTRICT OF COLUMBIA, That this 18
21	21	act may be cited as the “Rediscover Equitable Central Occupancy Vitality and Encourage 19
22	22	Resilient Yield (RECOVERY) Amendment Act of 2023”. 20
23	23	Sec. 2. Chapter 8 of Title 47 of the District of Columbia Official Code is amended as 21
24	24	follows: 22
25	25	(a) Section 47-860.03(b) is amended to read as follows: 23
26	26	“(b) The amount of tax abatements the Mayor may approve or certify under 24
27	27	section 47- 860.02 and restore upon subsection (a)(2) of this section shall be capped at the 25
28	28	following amounts, subject to availability of funding: 26
29	29	“(1) For Fiscal years 2024, 2025, 2026, 2027 and 2028 $5 million per 27
30	30	year; and 28
31	31	“(2) For each succeeding fiscal year after Fiscal Year 2028, an amount 29
32	32	equal to 104% of the prior year’s cap.” 30
33	33	(b) New sections (c) and (d) are added to read as follows: 31
34	34	“(c) Any property which receives a tax abatement from the Mayor under D.C. Code 32 2
35	35
36	36	section 47-860.02 et seq. during the period under subsection (b)(1) above shall be then 33
37	37	exempted, either in whole or in part based on a determination by the Mayor, from real property 34
38	38	taxation per D.C. Code section 47-811 for a period of twenty (20) years starting in Fiscal Year 35
39	39	2029. 36
40	40	“(d) Any property which meets the eligible requirements of D.C. Code section 47-860.02 37
41	41	et seq. and subsection (c) above and builds 10% of the units to be family sized shall be exempt 38
42	42	from taxes imposed by sections 47-903 and 42-1103. 39
43	43	Sec. 3. Section 2032 of the Deputy Mayor for Planning and Economic Development 40
44	44	Limited Grant-Making Authority Act of 2012, effective September 12, 2012 (D.C. Law 41
45	45	19-168; D.C. Official Code § 1-328.04), is amended as follows: 42
46	46	(a) Subsection (k)(3) is amended to read as follows: 43
47	47	“(3) To the Golden Triangle BID in the amount of $4 million annually for Fiscal 44
48	48	years 2024, 2025, 2026, 2027 and 2028 for the growth and improvement of the innovation 45
49	49	district.” 46
50	50	(b) A new subsection (dd) is added to read as follows: 47
51	51	“(dd)(1)(A) There is established as a nonlapsing fund the Safe Commercial Corridors 48
52	52	Fund (“Fund”), which shall be used solely for the purposes set forth in sub-subsection (2) of this 49
53	53	section, and administered by the Deputy Mayor for Planning and Economic Development. 50
54	54	(B) All funds deposited into the Fund shall not revert to the unrestricted fund 51
55	55	balance of the General Fund of the District at the end of a fiscal year, or at any other time, but 52
56	56	shall be continually available for the uses and purposes set forth in sub-subsection (2) of this 53
57	57	section without regard to the fiscal year limitation, subject to authorization by Congress. 54 3
58	58
59	59	(C) Any funds that are transferred through intra-District funding and are not 55
60	60	expended in any fiscal year shall revert to the Fund and be available for use in the subsequent 56
61	61	fiscal year. 57
62	62	(D) The Fund shall be distributed to eligible organizations, as qualified pursuant 58
63	63	to this sub-subsection, solely for the purpose of making the area served by the organization 59
64	64	("commercial district") and the surrounding area safer for residents, workers, and visitors 60
65	65	through the creation or augmentation of a Safe Commercial Corridors Program, as described in 61
66	66	sub-subsection (2) of this subsection. 62
67	67	(E) Eligible organizations: 63
68	68	(i) Serve the District’s residents, workers, business owners, property 64
69	69	owners, and visitors of commercial corridors in the District; 65
70	70	(ii) Engage in the maintenance of public and commercial spaces in the 66
71	71	District of Columbia; 67
72	72	(iii) Shall provide a “Clean Hands” certificate to verify it is in good 68
73	73	financial standing with the Government of the District of Columbia; and 69
74	74	(iv) Shall submit a Safe Commercial Corridors Program Plan to DMPED 70
75	75	as described in sub-subsection 4 of this subsection. 71
76	76	(2)(A) A Safe Commercial Corridors Program shall promote public safety and 72
77	77	health within the commercial district and surrounding area through various activities, as outlined 73
78	78	by the grant recipient and approved by DMPED. 74
79	79	(B) Activities may include relationship-building with residents, workers, 75
80	80	businesses, and regular visitors; connecting residents, workers, visitors, and businesses with 76
81	81	resources through District government agencies and direct service providers; providing safe 77 4
82	82
83	83	passage for individuals who request accompaniment walking to transit or their vehicle; assisting 78
84	84	business owners with improvements to their security and safety systems and protocols; 79
85	85	responding to substance use disorders and implementing harm reduction strategies; 80
86	86	implementing de-escalation techniques; deterring crime; liaising with residents, workers, 81
87	87	businesses, visitors, District public safety and health agencies, direct service providers in the 82
88	88	community, and others as appropriate; providing culturally competent services and 83
89	89	programming; and implementing other innovative strategies to promote public safety. 84
90	90	(C) Organizations receiving funds pursuant to this subsection are 85
91	91	encouraged to coordinate with other organizations receiving funds pursuant to this subsection to 86
92	92	share results and lessons learned from implementation of the Safe Commercial Corridors 87
93	93	Program and other public safety efforts implemented by the organization. 88
94	94	(3) A grant awarded pursuant to paragraph (1) of this subsection may be used to 89
95	95	pay for the costs of: 90
96	96	(A) Salary and fringe benefits for staff; and 91
97	97	(B) Equipment, training, training materials, uniforms, first aid and other 92
98	98	medical materials and equipment; and 93
99	99	(C) Other materials and equipment for purposes of implementing the Safe 94
100	100	Commercial Corridors Program; 95
101	101	(4) An organization seeking a grant under paragraph (1) of this subsection shall 96
102	102	submit to the Deputy Mayor an application, in a form proscribed to the Deputy Mayor. The 97
103	103	application shall include: 98
104	104	(A) A description of the public safety and health problems faced in the 99
105	105	commercial district and surrounding area; 100
106	106	(B) A description of how the applicant proposes to spend the grant funds 101 5
107	107
108	108	to address the public safety and health problems identified in the application and to promote 102
109	109	improvements in public safety and health in the commercial district and surrounding area; and 103
110	110	(C) Any additional information requested by the Deputy Mayor. 104
111	111	(5) An organization receiving a grant pursuant to this sub-section shall submit a 105
112	112	report by the end of each fiscal year in which funds are received evaluating the success of its 106
113	113	Safe Commercial Corridors Program, including a detailed description of the program activities, 107
114	114	any training or support provided to program staff, a summary of the number and types of 108
115	115	interactions between program staff and residents, visitors, businesses, and other individuals, and 109
116	116	any other data or information as required by DMPED. 110
117	117	Sec. 4. Rediscover Equitable Central Occupancy Vitality and Encourage Resilient Yield 111
118	118	(RECOVERY). 112
119	119	Chapter 10 of Title 47 of the District of Columbia Official Code is amended as follows: 113
120	120	(a) The table of contents is amended by adding a new section designated to read as 114
121	121	follows: 115
122	122	“47-1099.14 Rediscover Equitable Central Occupancy Vitality and Encourage Resilient 116
123	123	Yield (RECOVERY).” 117
124	124	(b) A new section 47-1099.14 is added to read as follows: 118
125	125	“(a) Real property tax imposed by section 47-811 shall be abated and real property shall 119
126	126	be exempt from tax imposed by sections 47-903 and 42-1103; provided that: 120
127	127	“(1) The real property is designated and certified as eligible to receive a tax 121
128	128	abatement and a tax exemption by the Deputy Mayor pursuant to subsection (d) of this section; 122
129	129	“(2) The real property is located within: 123
130	130	“(A) The Downtown Business Improvement District, as defined in section 124
131	131	2-1215.51(b); or 125 6
132	132
133	133	“(B) The Golden Triangle Business Improvement District, as defined in 126
134	134	section 2-1215.52(b); 127
135	135	“(3) With respect to real property abated from tax imposed by section 47-811, for 128
136	136	the duration of the period set forth in subsection (b)(2)(A) of this section and with respect to real 129
137	137	property exempted from tax imposed by sections 47-903 and 42-1103, at the applicable time, 130
138	138	there is a change in use resulting in the development or redevelopment, of: 131
139	139	“(A) One or more establishments in the hotel sector, provided, that any 132
140	140	establishment shall enter into a project labor agreement; 133
141	141	“(B) One or more establishments in the retail sector, provided, that any 134
142	142	establishment shall enter into an agreement with the Deputy Mayor requiring such economic 135
143	143	inclusion requirements for the operations of the establishment that the Deputy Mayor may 136
144	144	require; 137
145	145	“(C) One or more establishments in the restaurant sector; or 138
146	146	“(D) One or more establishments in the sports, entertainment, education, 139
147	147	and culture sector, provided, that the establishments shall occupy at least 50% of the gross floor 140
148	148	area of the development. 141
149	149	“(b) In addition to the requirements of subsection (a) of this section, real property tax 142
150	150	imposed by section 47-811 shall: 143
151	151	“(1) Be abated if the developer: 144
152	152	“(A) Files a covenant in the land records of the District, binding 145
153	153	the developer and all of its successors in interest with respect to the property, covenanting to 146
154	154	comply with the applicable requirements of subsection (a)(3) of this section; 147
155	155	“(B) Enters into an agreement with the District that requires the 148
156	156	developer to, at a minimum, contract with certified business enterprises for at least 35% of the 149 7
157	157
158	158	contract dollar volume of the construction and operations of the project, in accordance with 150
159	159	section 2-218.46; 151
160	160	“(C) Enters into a First Source Agreement for the operations of 152
161	161	the project; 153
162	162	“(D) Enters into an agreement with the Deputy Mayor requiring 154
163	163	such economic inclusion requirements for the construction and operations of the project as the 155
164	164	Deputy Mayor may require; and 156
165	165	“(E) The developer enters into an agreement with the Deputy 157
166	166	Mayor setting forth the requirements of this subsection and such other terms and conditions as 158
167	167	the Deputy Mayor considers appropriate. 159
168	168	“(2)(A) Begin in the tax year immediately following the tax year during which the 160
169	169	certificate of occupancy was issued for the use counting toward satisfying the requirements of 161
170	170	subsection (a)(3) of this section and shall continue until the 30
171	171	th
172	172	tax year after the tax year during 162
173	173	which such certificate was issued. 163
174	174	“(B) Be in the amount of 100% of the real property’s tax liability during 164
175	175	each property tax year in which the tax abatement is in effect; provided, that for a real property 165
176	176	that is eligible only under subsection (a)(3)(B), (a)(3)(C), or (a)(3)(D) of this section, the amount 166
177	177	shall be the pro rata share of the gross floor area occupied by the eligible use. 167
178	178	“(C) Tax abatements provided by sections (a)(3)(A)-(D) above shall be 168
179	179	eligible for the funds provided in D.C. Code section 47-850.03(b). 169
180	180	“(c) The Deputy Mayor: 170
181	181	“(1) May through a competitive process, designate real property to be eligible to 171
182	182	receive a tax abatement and a tax exemption under this section. 172
183	183	“(2) Shall certify to the Office of Tax and Revenue the eligibility of a real 173 8
184	184
185	185	property for an abatement provided by this section. The certification shall include: 174
186	186	“(A) A description of the real property by street address, square, suffix, 175
187	187	and lot; 176
188	188	“(B) A statement that the conditions of subsection (a) of this section have 177
189	189	been satisfied; 178
190	190	“(C) The date of the certificate of occupancy was issued for the use 179
191	191	counting toward satisfying the requirements of subsection (a)(3) of this section; 180
192	192	“(D) For real property tax imposed by section 47-811: 181
193	193	“(i) The date the tax abatement begins and ends under subsection 182
194	194	(b)(2)(A); and 183
195	195	“(ii) The amount of abatement allocated to the property pursuant to 184
196	196	subsection (b) of this section; and 185
197	197	“(E) Any other information that the Deputy Mayor considers necessary or 186
198	198	appropriate. 187
199	199	“(3)(A) If at any time the Deputy Mayor determines that the real property has 188
200	200	become ineligible for the abatement provided by this section, the Deputy Mayor shall notify the 189
201	201	Office of Tax and Revenue and shall specify the date that the property became ineligible. 190
202	202	“(B) The entire property shall be ineligible for the abatement on the first 191
203	203	day of the tax year following the date when the ineligibility occurred. 192
204	204	“(e) The tax abatement provided by this section shall be in addition to, and not in lieu of, 193
205	205	any other tax relief or assistance from any other source. 194
206	206	“(f) The requirements of the First Source Act shall not apply to the construction or 195
207	207	development of a project developed on real property designated by the Deputy Mayor pursuant 196
208	208	to subsection (b) of this section. 197 9
209	209
210	210	“(g) For the purposes of this section, the term: 198
211	211	“(1) “CBE Act” means the Small and Certified Business Enterprise Development 199
212	212	and Assistance Act of 2005, effective October 20, 2005 (D.C. Law 16-33; D.C. Official Code § 200
213	213	2-218.01 et seq.). 201
214	214	“(2) “Certified business enterprise” means a business enterprise or joint venture 202
215	215	certified pursuant to the CBE Act. 203
216	216	“(3) “Deputy Mayor” means the Deputy Mayor for Planning and Economic 204
217	217	Development. 205
218	218	“(4) “Developer” means the owner of the use developed or redeveloped on real 206
219	219	property eligible for a tax abatement under this section. 207
220	220	“(5) “Family sized” means a rental unit with 3 or more bedrooms. 208
221	221	“(6) “First Source Act” means the First Source Employment Agreement Act of 209
222	222	1984, effective June 29, 1984 (D.C. Law 5-93; D.C. Official Code § 2-219.01 et seq.). 210
223	223	“(7) “First Source Agreement” means an agreement with the District governing 211
224	224	certain obligations of the Developer pursuant to section 4 of the First Source Act (D.C. Official 212
225	225	Code § 2-219.03), and Mayor's Order 83-265, dated November 9, 1983, regarding job creation 213
226	226	and employment. 214
227	227	“(8) “Hotel” has the meaning set forth in Section 199.1ofTitle 14 of the DCMR. 215
228	228	“(9) “Median Family Income” has the meaning set forth in section 101(5) of the 216
229	229	Inclusionary Zoning Implementation Amendment Act of 2006, effective September 23, 2017 217
230	230	(D.C. Law 16-275; D.C. Official Code § 6-1041.01(5)). 218
231	231	“(10) “Restaurant” means full-service restaurants, including limited-service 219
232	232	restaurants, fast food restaurants, and food service providers such as cafes, delicatessens, coffee 220
233	233	shops, supermarkets, grocery stores, and cafeterias. 221 10
234	234
235	235	“(11) “Retail” means an establishment that is engaged in direct onsite sales of 222
236	236	general merchandise goods to consumers. 223
237	237	“(12) “Sports, entertainment, education, and culture sector” means an 224
238	238	establishment that is open to the public for entertainment, leisure, education, or cultural 225
239	239	purposes, including bars, entertainment venues, nightlife establishments, theatres, sports, 226
240	240	recreation, public, private, or charter schools serving the pre-kindergarten through 12th grade, 227
241	241	colleges, universities, and post-graduate schools, entertainment venues, art galleries, and cultural 228
242	242	institutions.”. 229
243	243	Sec. 5. Rediscover Equitable Central Occupancy Vitality and Encourage Resilient Yield 230
244	244	(RECOVERY) Retail Grant Program. 231
245	245	(a) The Deputy Mayor for Planning and Economic Development Limited Grant-Making 232
246	246	Authority Act of 2012 is amended by adding a section (ee) to read as follows: 233
247	247	“(a)(1) Notwithstanding the Grant Administration Act of 2013, effective December 2013 234
248	248	(D.C. Law 20-61; D.C. Official Code § 1-328.11 et seq.), the Mayor, in the sole discretion of the 235
249	249	Mayor, may issue a two-year grant program to an eligible business in accordance with this 236
250	250	section and regulations issued pursuant to this section; provided that: 237
251	251	“(A) The eligible business is located in: 238
252	252	“(i) The Downtown Business Improvement District, as defined in section 239
253	253	2-1215.51(b); or 240
254	254	“(ii) The Golden Triangle Business Improvement District, as defined in 241
255	255	section 2-1215.52(b); 242
256	256	“(B) The eligible business demonstrates, to the satisfaction of the Mayor, that it is 243
257	257	opening or expanding in a retail or commercial space that has been vacant at least 6 months prior 244
258	258	to applying; 245 11
259	259
260	260	“(c) The eligible business submits a grant application in the form and with the 246
261	261	information required by the Mayor; and 247
262	262	“(D) A grant is equivalent to the sales and use tax paid by the eligible business 248
263	263	annually, provided, that at least 20% of the total grant funds disbursed are set aside for one or 249
264	264	more eligible businesses that is: 250
265	265	“(i) Also, or is eligible to be, a resident-owned business and a small 251
266	266	business enterprise as those terms are defined, respectively, in section 2302(15) and (16); and 252
267	267	“(ii)(I) At least 51% owned by a woman or a majority of women; or 253
268	268	“(II) Is, or eligible to be, a disadvantaged business enterprise, as 254
269	269	that term is defined in section 2302(5). 255
270	270	“(2) An eligible business awarded a grant pursuant to this section may use the 256
271	271	grant funds for activities and costs related to sustaining and growing the business, such as staff 257
272	272	costs, capital improvements, marketing, inventory and supplies, and utilities; provided, that no 258
273	273	amount of the grant shall be used for executive salaries or bonuses. 259
274	274	“(b)(1) The Mayor may award a two year grant to a lessor of property that leases to an 260
275	275	eligible business location if it is for a child care center, urgent care center, or supermarket; 261
276	276	provided, that the lessor shall only qualify after demonstrating to the Mayor, in a form acceptable 262
277	277	to the Mayor, rental income limited to the property leased to the eligible business and that the 263
278	278	lessor has abated rent payments or otherwise provided a benefit, including a tenant improvement 264
279	279	allowance, to the eligible business in an amount equal in value to at least twice the amount of the 265
280	280	grant. 266
281	281	“(2)(A) If, during the 18 months following receipt of an award pursuant to this 267
282	282	subsection, a lessor who receives an award pursuant to this subsection terminates a lease 268
283	283	agreement with an eligible business, the lessor shall notify the Mayor of the termination of the 269 12
284	284
285	285	lease agreement. 270
286	286	“(B) The lessor shall provide evidence that the termination was with the 271
287	287	consent of the eligible business, in a form determined by the Mayor. 272
288	288	“(c) The Mayor may award one or more grants to a third-party grant-managing entity for 273
289	289	the purpose of administering the program pursuant to this section and making subgrants on 274
290	290	behalf of the Mayor in accordance with the requirements of this section or regulations issued 275
291	291	pursuant to this section. 276
292	292	“(d) The Mayor, pursuant to section 105 of the District of Columbia Administrative 277
293	293	Procedure Act, approved October 21, 1968 (82 Stat. 1206; D.C. Official Code 2-505), may issue 278
294	294	regulations to implement the provisions of this section. 279
295	295	“(c)(1) The Mayor and any third-party entity chosen pursuant to subsection (c) of this 280
296	296	section, shall maintain a list of all grants awarded pursuant to this section, identifying for each 281
297	297	award the grant recipient, the date of the award, intended use of the award, and the award 282
298	298	amount. 283
299	299	“(2) The list shall be published in the D.C. Register every six-months. 284
300	300	“(f) For purposes of this section, the term “eligible business” means a business enterprise 285
301	301	eligible for certification under section 2331.” 286
302	302	Sec. 6. Employer Provided Child Care Tax Credit. 287
303	303	“(a) For purposes of this section: 288
304	304	“(1) “Eligible child” or “eligible children” shall have the same meaning as section 47-289
305	305	1806.15(a)(3). 290
306	306	“(2) Child care center” means an establishment licensed pursuant to section 7-2034 that 291
307	307	provides care and other services, supervision, and guidance to eligible children on a regular 292 13
308	308
309	309	basis, regardless of its designated name. “Child care center” does not include a public or private 293
310	310	elementary or secondary school engaged in legally required educational and related functions or 294
311	311	a pre-kindergarten education program licensed pursuant to the Pre-k Act of 2008. 295
312	312	“(3) “Child care investment” means the amount paid or incurred by a business on: 296
313	313	(i) Planning, site preparation, construction, renovation or acquisition of facilities in a 297
314	314	qualifying area for the purpose of establishing a child care center, to be used primarily by the 298
315	315	children of employees who are employed by the business within a qualifying area; or 299
316	316	(ii) Subsidies to employees who are employed by the business in a qualifying area for 300
317	317	child care to be provided at a child care center within a qualifying area. 301
318	318	“(4) “Qualifying area” means located within the Downtown Business Improvement 302
319	319	District, as defined in section 2-1215.51(b) or within the Golden Triangle Business Improvement 303
320	320	District, as defined in section 2-1215.52(b). 304
321	321	“(b) There shall be allowed a credit for any business against the tax imposed under 305
322	322	sections 47-1807.01 et seq. in an amount spent by such business, as a child care investment, 306
323	323	equal to ten percent of such amount paid or incurred by the business during such income year. 307
324	324	“(c) The amount of credit allowed to any business under this section shall not exceed the 308
325	325	amount of tax due from such business under sections 47-1807.01 et seq. and 47-1808.01 et seq., 309
326	326	with respect to such income year. 310
327	327	“(d) Any tax credit not used in the income year during which the investment was made 311
328	328	may be carried forward for the five immediately succeeding income years until the full credit has 312
329	329	been allowed.” 313
330	330	Sec. 7. Fiscal Impact Statement. 314 14
331	331
332	332	The Council adopts the fiscal impact statement in the committee report as the fiscal 315
333	333	impact statement required by section 602(c)(3) of the District of Columbia Home Rule Act, 316
334	334	approved December 24, 1973 (87 Stat. 813; D.C. Official Code § 1-206.02(c)(3)). 317
335	335	Sec. 8. Effective Date. 318
336	336	This act shall take effect following approval by the Mayor (or in the event of veto by the 319
337	337	Mayor, action by the Council to override the veto), a 30-day period of congressional review as 320
338	338	provided in section 602(c)(1) of the District of Columbia Home Rule Act, approved December 321
339	339	24, 1973 (87 Stat. 813; D.C. Official Code § 1-206.02(c)(1)), and the publication in the District 322
340	340	of Columbia Register. 323 2
341	341
342	342	section 47-860.02 et seq. during the period under subsection (b)(1) above shall be then 33
343	343	exempted, either in whole or in part based on a determination by the Mayor, from real property 34
344	344	taxation per D.C. Code section 47-811 for a period of twenty (20) years starting in Fiscal Year 35
345	345	2029. 36
346	346	“(d) Any property which meets the eligible requirements of D.C. Code section 47-860.02 37
347	347	et seq. and subsection (c) above and builds 10% of the units to be family sized shall be exempt 38
348	348	from taxes imposed by sections 47-903 and 42-1103. 39
349	349	Sec. 3. Section 2032 of the Deputy Mayor for Planning and Economic Development 40
350	350	Limited Grant-Making Authority Act of 2012, effective September 12, 2012 (D.C. Law 41
351	351	19-168; D.C. Official Code § 1-328.04), is amended as follows: 42
352	352	(a) Subsection (k)(3) is amended to read as follows: 43
353	353	“(3) To the Golden Triangle BID in the amount of $4 million annually for Fiscal 44
354	354	years 2024, 2025, 2026, 2027 and 2028 for the growth and improvement of the innovation 45
355	355	district.” 46
356	356	(b) A new subsection (dd) is added to read as follows: 47
357	357	“(dd)(1)(A) There is established as a nonlapsing fund the Safe Commercial Corridors 48
358	358	Fund (“Fund”), which shall be used solely for the purposes set forth in sub-subsection (2) of this 49
359	359	section, and administered by the Deputy Mayor for Planning and Economic Development. 50
360	360	(B) All funds deposited into the Fund shall not revert to the unrestricted fund 51
361	361	balance of the General Fund of the District at the end of a fiscal year, or at any other time, but 52
362	362	shall be continually available for the uses and purposes set forth in sub-subsection (2) of this 53
363	363	section without regard to the fiscal year limitation, subject to authorization by Congress. 54 3
364	364
365	365	(C) Any funds that are transferred through intra-District funding and are not 55
366	366	expended in any fiscal year shall revert to the Fund and be available for use in the subsequent 56
367	367	fiscal year. 57
368	368	(D) The Fund shall be distributed to eligible organizations, as qualified pursuant 58
369	369	to this sub-subsection, solely for the purpose of making the area served by the organization 59
370	370	("commercial district") and the surrounding area safer for residents, workers, and visitors 60
371	371	through the creation or augmentation of a Safe Commercial Corridors Program, as described in 61
372	372	sub-subsection (2) of this subsection. 62
373	373	(E) Eligible organizations: 63
374	374	(i) Serve the District’s residents, workers, business owners, property 64
375	375	owners, and visitors of commercial corridors in the District; 65
376	376	(ii) Engage in the maintenance of public and commercial spaces in the 66
377	377	District of Columbia; 67
378	378	(iii) Shall provide a “Clean Hands” certificate to verify it is in good 68
379	379	financial standing with the Government of the District of Columbia; and 69
380	380	(iv) Shall submit a Safe Commercial Corridors Program Plan to DMPED 70
381	381	as described in sub-subsection 4 of this subsection. 71
382	382	(2)(A) A Safe Commercial Corridors Program shall promote public safety and 72
383	383	health within the commercial district and surrounding area through various activities, as outlined 73
384	384	by the grant recipient and approved by DMPED. 74
385	385	(B) Activities may include relationship-building with residents, workers, 75
386	386	businesses, and regular visitors; connecting residents, workers, visitors, and businesses with 76
387	387	resources through District government agencies and direct service providers; providing safe 77 4
388	388
389	389	passage for individuals who request accompaniment walking to transit or their vehicle; assisting 78
390	390	business owners with improvements to their security and safety systems and protocols; 79
391	391	responding to substance use disorders and implementing harm reduction strategies; 80
392	392	implementing de-escalation techniques; deterring crime; liaising with residents, workers, 81
393	393	businesses, visitors, District public safety and health agencies, direct service providers in the 82
394	394	community, and others as appropriate; providing culturally competent services and 83
395	395	programming; and implementing other innovative strategies to promote public safety. 84
396	396	(C) Organizations receiving funds pursuant to this subsection are 85
397	397	encouraged to coordinate with other organizations receiving funds pursuant to this subsection to 86
398	398	share results and lessons learned from implementation of the Safe Commercial Corridors 87
399	399	Program and other public safety efforts implemented by the organization. 88
400	400	(3) A grant awarded pursuant to paragraph (1) of this subsection may be used to 89
401	401	pay for the costs of: 90
402	402	(A) Salary and fringe benefits for staff; and 91
403	403	(B) Equipment, training, training materials, uniforms, first aid and other 92
404	404	medical materials and equipment; and 93
405	405	(C) Other materials and equipment for purposes of implementing the Safe 94
406	406	Commercial Corridors Program; 95
407	407	(4) An organization seeking a grant under paragraph (1) of this subsection shall 96
408	408	submit to the Deputy Mayor an application, in a form proscribed to the Deputy Mayor. The 97
409	409	application shall include: 98
410	410	(A) A description of the public safety and health problems faced in the 99
411	411	commercial district and surrounding area; 100
412	412	(B) A description of how the applicant proposes to spend the grant funds 101 5
413	413
414	414	to address the public safety and health problems identified in the application and to promote 102
415	415	improvements in public safety and health in the commercial district and surrounding area; and 103
416	416	(C) Any additional information requested by the Deputy Mayor. 104
417	417	(5) An organization receiving a grant pursuant to this sub-section shall submit a 105
418	418	report by the end of each fiscal year in which funds are received evaluating the success of its 106
419	419	Safe Commercial Corridors Program, including a detailed description of the program activities, 107
420	420	any training or support provided to program staff, a summary of the number and types of 108
421	421	interactions between program staff and residents, visitors, businesses, and other individuals, and 109
422	422	any other data or information as required by DMPED. 110
423	423	Sec. 4. Rediscover Equitable Central Occupancy Vitality and Encourage Resilient Yield 111
424	424	(RECOVERY). 112
425	425	Chapter 10 of Title 47 of the District of Columbia Official Code is amended as follows: 113
426	426	(a) The table of contents is amended by adding a new section designated to read as 114
427	427	follows: 115
428	428	“47-1099.14 Rediscover Equitable Central Occupancy Vitality and Encourage Resilient 116
429	429	Yield (RECOVERY).” 117
430	430	(b) A new section 47-1099.14 is added to read as follows: 118
431	431	“(a) Real property tax imposed by section 47-811 shall be abated and real property shall 119
432	432	be exempt from tax imposed by sections 47-903 and 42-1103; provided that: 120
433	433	“(1) The real property is designated and certified as eligible to receive a tax 121
434	434	abatement and a tax exemption by the Deputy Mayor pursuant to subsection (d) of this section; 122
435	435	“(2) The real property is located within: 123
436	436	“(A) The Downtown Business Improvement District, as defined in section 124
437	437	2-1215.51(b); or 125 6
438	438
439	439	“(B) The Golden Triangle Business Improvement District, as defined in 126
440	440	section 2-1215.52(b); 127
441	441	“(3) With respect to real property abated from tax imposed by section 47-811, for 128
442	442	the duration of the period set forth in subsection (b)(2)(A) of this section and with respect to real 129
443	443	property exempted from tax imposed by sections 47-903 and 42-1103, at the applicable time, 130
444	444	there is a change in use resulting in the development or redevelopment, of: 131
445	445	“(A) One or more establishments in the hotel sector, provided, that any 132
446	446	establishment shall enter into a project labor agreement; 133
447	447	“(B) One or more establishments in the retail sector, provided, that any 134
448	448	establishment shall enter into an agreement with the Deputy Mayor requiring such economic 135
449	449	inclusion requirements for the operations of the establishment that the Deputy Mayor may 136
450	450	require; 137
451	451	“(C) One or more establishments in the restaurant sector; or 138
452	452	“(D) One or more establishments in the sports, entertainment, education, 139
453	453	and culture sector, provided, that the establishments shall occupy at least 50% of the gross floor 140
454	454	area of the development. 141
455	455	“(b) In addition to the requirements of subsection (a) of this section, real property tax 142
456	456	imposed by section 47-811 shall: 143
457	457	“(1) Be abated if the developer: 144
458	458	“(A) Files a covenant in the land records of the District, binding 145
459	459	the developer and all of its successors in interest with respect to the property, covenanting to 146
460	460	comply with the applicable requirements of subsection (a)(3) of this section; 147
461	461	“(B) Enters into an agreement with the District that requires the 148
462	462	developer to, at a minimum, contract with certified business enterprises for at least 35% of the 149 7
463	463
464	464	contract dollar volume of the construction and operations of the project, in accordance with 150
465	465	section 2-218.46; 151
466	466	“(C) Enters into a First Source Agreement for the operations of 152
467	467	the project; 153
468	468	“(D) Enters into an agreement with the Deputy Mayor requiring 154
469	469	such economic inclusion requirements for the construction and operations of the project as the 155
470	470	Deputy Mayor may require; and 156
471	471	“(E) The developer enters into an agreement with the Deputy 157
472	472	Mayor setting forth the requirements of this subsection and such other terms and conditions as 158
473	473	the Deputy Mayor considers appropriate. 159
474	474	“(2)(A) Begin in the tax year immediately following the tax year during which the 160
475	475	certificate of occupancy was issued for the use counting toward satisfying the requirements of 161
476	476	subsection (a)(3) of this section and shall continue until the 30
477	477	th
478	478	tax year after the tax year during 162
479	479	which such certificate was issued. 163
480	480	“(B) Be in the amount of 100% of the real property’s tax liability during 164
481	481	each property tax year in which the tax abatement is in effect; provided, that for a real property 165
482	482	that is eligible only under subsection (a)(3)(B), (a)(3)(C), or (a)(3)(D) of this section, the amount 166
483	483	shall be the pro rata share of the gross floor area occupied by the eligible use. 167
484	484	“(C) Tax abatements provided by sections (a)(3)(A)-(D) above shall be 168
485	485	eligible for the funds provided in D.C. Code section 47-850.03(b). 169
486	486	“(c) The Deputy Mayor: 170
487	487	“(1) May through a competitive process, designate real property to be eligible to 171
488	488	receive a tax abatement and a tax exemption under this section. 172
489	489	“(2) Shall certify to the Office of Tax and Revenue the eligibility of a real 173 8
490	490
491	491	property for an abatement provided by this section. The certification shall include: 174
492	492	“(A) A description of the real property by street address, square, suffix, 175
493	493	and lot; 176
494	494	“(B) A statement that the conditions of subsection (a) of this section have 177
495	495	been satisfied; 178
496	496	“(C) The date of the certificate of occupancy was issued for the use 179
497	497	counting toward satisfying the requirements of subsection (a)(3) of this section; 180
498	498	“(D) For real property tax imposed by section 47-811: 181
499	499	“(i) The date the tax abatement begins and ends under subsection 182
500	500	(b)(2)(A); and 183
501	501	“(ii) The amount of abatement allocated to the property pursuant to 184
502	502	subsection (b) of this section; and 185
503	503	“(E) Any other information that the Deputy Mayor considers necessary or 186
504	504	appropriate. 187
505	505	“(3)(A) If at any time the Deputy Mayor determines that the real property has 188
506	506	become ineligible for the abatement provided by this section, the Deputy Mayor shall notify the 189
507	507	Office of Tax and Revenue and shall specify the date that the property became ineligible. 190
508	508	“(B) The entire property shall be ineligible for the abatement on the first 191
509	509	day of the tax year following the date when the ineligibility occurred. 192
510	510	“(e) The tax abatement provided by this section shall be in addition to, and not in lieu of, 193
511	511	any other tax relief or assistance from any other source. 194
512	512	“(f) The requirements of the First Source Act shall not apply to the construction or 195
513	513	development of a project developed on real property designated by the Deputy Mayor pursuant 196
514	514	to subsection (b) of this section. 197 9
515	515
516	516	“(g) For the purposes of this section, the term: 198
517	517	“(1) “CBE Act” means the Small and Certified Business Enterprise Development 199
518	518	and Assistance Act of 2005, effective October 20, 2005 (D.C. Law 16-33; D.C. Official Code § 200
519	519	2-218.01 et seq.). 201
520	520	“(2) “Certified business enterprise” means a business enterprise or joint venture 202
521	521	certified pursuant to the CBE Act. 203
522	522	“(3) “Deputy Mayor” means the Deputy Mayor for Planning and Economic 204
523	523	Development. 205
524	524	“(4) “Developer” means the owner of the use developed or redeveloped on real 206
525	525	property eligible for a tax abatement under this section. 207
526	526	“(5) “Family sized” means a rental unit with 3 or more bedrooms. 208
527	527	“(6) “First Source Act” means the First Source Employment Agreement Act of 209
528	528	1984, effective June 29, 1984 (D.C. Law 5-93; D.C. Official Code § 2-219.01 et seq.). 210
529	529	“(7) “First Source Agreement” means an agreement with the District governing 211
530	530	certain obligations of the Developer pursuant to section 4 of the First Source Act (D.C. Official 212
531	531	Code § 2-219.03), and Mayor's Order 83-265, dated November 9, 1983, regarding job creation 213
532	532	and employment. 214
533	533	“(8) “Hotel” has the meaning set forth in Section 199.1ofTitle 14 of the DCMR. 215
534	534	“(9) “Median Family Income” has the meaning set forth in section 101(5) of the 216
535	535	Inclusionary Zoning Implementation Amendment Act of 2006, effective September 23, 2017 217
536	536	(D.C. Law 16-275; D.C. Official Code § 6-1041.01(5)). 218
537	537	“(10) “Restaurant” means full-service restaurants, including limited-service 219
538	538	restaurants, fast food restaurants, and food service providers such as cafes, delicatessens, coffee 220
539	539	shops, supermarkets, grocery stores, and cafeterias. 221 10
540	540
541	541	“(11) “Retail” means an establishment that is engaged in direct onsite sales of 222
542	542	general merchandise goods to consumers. 223
543	543	“(12) “Sports, entertainment, education, and culture sector” means an 224
544	544	establishment that is open to the public for entertainment, leisure, education, or cultural 225
545	545	purposes, including bars, entertainment venues, nightlife establishments, theatres, sports, 226
546	546	recreation, public, private, or charter schools serving the pre-kindergarten through 12th grade, 227
547	547	colleges, universities, and post-graduate schools, entertainment venues, art galleries, and cultural 228
548	548	institutions.”. 229
549	549	Sec. 5. Rediscover Equitable Central Occupancy Vitality and Encourage Resilient Yield 230
550	550	(RECOVERY) Retail Grant Program. 231
551	551	(a) The Deputy Mayor for Planning and Economic Development Limited Grant-Making 232
552	552	Authority Act of 2012 is amended by adding a section (ee) to read as follows: 233
553	553	“(a)(1) Notwithstanding the Grant Administration Act of 2013, effective December 2013 234
554	554	(D.C. Law 20-61; D.C. Official Code § 1-328.11 et seq.), the Mayor, in the sole discretion of the 235
555	555	Mayor, may issue a two-year grant program to an eligible business in accordance with this 236
556	556	section and regulations issued pursuant to this section; provided that: 237
557	557	“(A) The eligible business is located in: 238
558	558	“(i) The Downtown Business Improvement District, as defined in section 239
559	559	2-1215.51(b); or 240
560	560	“(ii) The Golden Triangle Business Improvement District, as defined in 241
561	561	section 2-1215.52(b); 242
562	562	“(B) The eligible business demonstrates, to the satisfaction of the Mayor, that it is 243
563	563	opening or expanding in a retail or commercial space that has been vacant at least 6 months prior 244
564	564	to applying; 245 11
565	565
566	566	“(c) The eligible business submits a grant application in the form and with the 246
567	567	information required by the Mayor; and 247
568	568	“(D) A grant is equivalent to the sales and use tax paid by the eligible business 248
569	569	annually, provided, that at least 20% of the total grant funds disbursed are set aside for one or 249
570	570	more eligible businesses that is: 250
571	571	“(i) Also, or is eligible to be, a resident-owned business and a small 251
572	572	business enterprise as those terms are defined, respectively, in section 2302(15) and (16); and 252
573	573	“(ii)(I) At least 51% owned by a woman or a majority of women; or 253
574	574	“(II) Is, or eligible to be, a disadvantaged business enterprise, as 254
575	575	that term is defined in section 2302(5). 255
576	576	“(2) An eligible business awarded a grant pursuant to this section may use the 256
577	577	grant funds for activities and costs related to sustaining and growing the business, such as staff 257
578	578	costs, capital improvements, marketing, inventory and supplies, and utilities; provided, that no 258
579	579	amount of the grant shall be used for executive salaries or bonuses. 259
580	580	“(b)(1) The Mayor may award a two year grant to a lessor of property that leases to an 260
581	581	eligible business location if it is for a child care center, urgent care center, or supermarket; 261
582	582	provided, that the lessor shall only qualify after demonstrating to the Mayor, in a form acceptable 262
583	583	to the Mayor, rental income limited to the property leased to the eligible business and that the 263
584	584	lessor has abated rent payments or otherwise provided a benefit, including a tenant improvement 264
585	585	allowance, to the eligible business in an amount equal in value to at least twice the amount of the 265
586	586	grant. 266
587	587	“(2)(A) If, during the 18 months following receipt of an award pursuant to this 267
588	588	subsection, a lessor who receives an award pursuant to this subsection terminates a lease 268
589	589	agreement with an eligible business, the lessor shall notify the Mayor of the termination of the 269 12
590	590
591	591	lease agreement. 270
592	592	“(B) The lessor shall provide evidence that the termination was with the 271
593	593	consent of the eligible business, in a form determined by the Mayor. 272
594	594	“(c) The Mayor may award one or more grants to a third-party grant-managing entity for 273
595	595	the purpose of administering the program pursuant to this section and making subgrants on 274
596	596	behalf of the Mayor in accordance with the requirements of this section or regulations issued 275
597	597	pursuant to this section. 276
598	598	“(d) The Mayor, pursuant to section 105 of the District of Columbia Administrative 277
599	599	Procedure Act, approved October 21, 1968 (82 Stat. 1206; D.C. Official Code 2-505), may issue 278
600	600	regulations to implement the provisions of this section. 279
601	601	“(c)(1) The Mayor and any third-party entity chosen pursuant to subsection (c) of this 280
602	602	section, shall maintain a list of all grants awarded pursuant to this section, identifying for each 281
603	603	award the grant recipient, the date of the award, intended use of the award, and the award 282
604	604	amount. 283
605	605	“(2) The list shall be published in the D.C. Register every six-months. 284
606	606	“(f) For purposes of this section, the term “eligible business” means a business enterprise 285
607	607	eligible for certification under section 2331.” 286
608	608	Sec. 6. Employer Provided Child Care Tax Credit. 287
609	609	“(a) For purposes of this section: 288
610	610	“(1) “Eligible child” or “eligible children” shall have the same meaning as section 47-289
611	611	1806.15(a)(3). 290
612	612	“(2) Child care center” means an establishment licensed pursuant to section 7-2034 that 291
613	613	provides care and other services, supervision, and guidance to eligible children on a regular 292 13
614	614
615	615	basis, regardless of its designated name. “Child care center” does not include a public or private 293
616	616	elementary or secondary school engaged in legally required educational and related functions or 294
617	617	a pre-kindergarten education program licensed pursuant to the Pre-k Act of 2008. 295
618	618	“(3) “Child care investment” means the amount paid or incurred by a business on: 296
619	619	(i) Planning, site preparation, construction, renovation or acquisition of facilities in a 297
620	620	qualifying area for the purpose of establishing a child care center, to be used primarily by the 298
621	621	children of employees who are employed by the business within a qualifying area; or 299
622	622	(ii) Subsidies to employees who are employed by the business in a qualifying area for 300
623	623	child care to be provided at a child care center within a qualifying area. 301
624	624	“(4) “Qualifying area” means located within the Downtown Business Improvement 302
625	625	District, as defined in section 2-1215.51(b) or within the Golden Triangle Business Improvement 303
626	626	District, as defined in section 2-1215.52(b). 304
627	627	“(b) There shall be allowed a credit for any business against the tax imposed under 305
628	628	sections 47-1807.01 et seq. in an amount spent by such business, as a child care investment, 306
629	629	equal to ten percent of such amount paid or incurred by the business during such income year. 307
630	630	“(c) The amount of credit allowed to any business under this section shall not exceed the 308
631	631	amount of tax due from such business under sections 47-1807.01 et seq. and 47-1808.01 et seq., 309
632	632	with respect to such income year. 310
633	633	“(d) Any tax credit not used in the income year during which the investment was made 311
634	634	may be carried forward for the five immediately succeeding income years until the full credit has 312
635	635	been allowed.” 313
636	636	Sec. 7. Fiscal Impact Statement. 314 14
637	637
638	638	The Council adopts the fiscal impact statement in the committee report as the fiscal 315
639	639	impact statement required by section 602(c)(3) of the District of Columbia Home Rule Act, 316
640	640	approved December 24, 1973 (87 Stat. 813; D.C. Official Code § 1-206.02(c)(3)). 317
641	641	Sec. 8. Effective Date. 318
642	642	This act shall take effect following approval by the Mayor (or in the event of veto by the 319
643	643	Mayor, action by the Council to override the veto), a 30-day period of congressional review as 320
644	644	provided in section 602(c)(1) of the District of Columbia Home Rule Act, approved December 321
645	645	24, 1973 (87 Stat. 813; D.C. Official Code § 1-206.02(c)(1)), and the publication in the District 322
646	646	of Columbia Register. 323