Code of the District of Columbia

Chapter 8. Sale of Public Lands.

Subchapter I. General.

§ 10–801. Authorization; description of property; submission and approval of resolution; reacquisition rights; notice.

(a)(1) Except for real property disposed of pursuant to § 6-1005(c), the Mayor is authorized and empowered, in his discretion, for the best interests of the District of Columbia (“District”), and with the approval of the Council by resolution, to sell, convey, lease (inclusive of options) for a period of greater than 15 years, exchange, or otherwise dispose of real property, in whole or in part, now or hereafter owned in fee simple by the District, whether purchased with appropriated, grant, or other funds, the proceeds of general obligation bonds or tax revenue anticipation notes issued by the District government, or United States Treasury Notes, or obtained by any other means including exchange, condemnation, eminent domain, gift, dedication, donation, devise or assignment, for municipal, community development, or other public purpose, which the Council finds to be no longer required for public purposes.

(2) The Mayor shall submit separate resolutions for the determination that the real property is no longer required for public purposes pursuant to subsection (a-1) of this section and for the approval of its disposition pursuant to subsection (b) of this section.

(3) The Mayor shall submit to the Council a semiannual report explaining the status of each disposition approved by the Council during the previous 2 years, including a schedule for project completion of each disposition, an explanation of impediments, if any, to completion of the project, and a description of the steps that are being taken to resolve them.

(4) Within 180 days after March 16, 2021, and on an annual basis thereafter, the Department of General Services shall transmit to the Council a report on green space in the District, which shall include:

(A) The total square footage of green space owned by the District, broken down by ward and by the District agency that owns the real property;

(B) The square footage of green space that the District gained or lost over the preceding year, broken down by ward and by the District agency that owns the real property; and

(C) A summary of measures taken over the preceding year to increase access to green space for District residents.

(a-1)(1) If the Mayor believes that real property is no longer required for public purposes, the Mayor shall submit to the Council a proposed resolution which includes a finding that the real property is no longer required for public purposes. In the proposed resolution submitted to the Council, the Mayor shall also provide a description of the real property .

(2) The proposed resolution shall be accompanied by an analysis setting forth:

(A) Whether the real property could have any use by the District, including a description of the District's current needs for real property, a description of potential public uses considered by the Mayor, the square footage of green space on the real property, and a narrative explaining why the real property is unsuited for each public use considered;

(B) A detailed explanation as to why the real property is no longer required for public purposes, and why the determination that the real property is no longer required for public purposes is in the best interests of the District; and

(C) A summary of public comments received at the public hearing required under paragraph (4) of this subsection.

(3) The proposed resolution shall be submitted to the Council for a 90-day period of review, excluding Saturdays, Sundays, legal holidays, and days of Council recess. If the Council does not approve or disapprove the proposed resolution within the 90-day period, the proposed resolution shall be deemed disapproved.

(4) Before submitting a proposed resolution pursuant to this subsection, and at least 60 days before seeking proposals for the disposition of the real property or otherwise proceeding to negotiate the disposition of the real property, the Mayor shall hold at least one public hearing to obtain community input on potential public uses of the real property to inform the Mayor's determination whether the real property is no longer required for public purposes. This surplus hearing shall be held at an accessible evening or weekend time and in an accessible location in the vicinity of the real property. The Mayor shall provide at least 30 days written notice of the public hearing to the affected Advisory Neighborhood Commissions and shall publicize the hearing by posting a written notice at the site and placing a notice in the District of Columbia Register at least 15 days before the hearing.

(5) Repealed.

(a-2) If the Council determines that the real property is no longer required for public purposes pursuant to subsection (a-1) of this section, the Mayor shall attempt to dispose of the real property for a use with a direct public benefit as described in a specific government plan adopted by the Mayor or Council, including the Community Development Plan, the Comprehensive Plan, the Strategic Neighborhood Area Plan, or the Comprehensive Housing Strategy Plan.

(a-3) Repealed.

(b) If the Mayor seeks to dispose of real property that is determined to no longer be required for public purposes pursuant to subsection (a-1) of this section, the Mayor shall submit to the Council a proposed resolution that contains the following:

(1) Repealed;

(2) The name and business address of the developer, and, if the developer is a joint venture or partnership, the name and business address of each person that constitutes the partnership;

(3) A description of the real property to be disposed of;

(4) A description of the intended use for the property (“Project”);

(5) If applicable, a finding that the Developer will achieve the affordable housing requirements established by subsection (b-3) of this section or, if those requirements will not be achieved, a written certification by the Chief Financial Officer pursuant to subsection (b-3)(4) of this section;

(6) A finding that the Developer will enter into an agreement that shall require the Developer to, at a minimum, contract with Certified Business Enterprises for at least 35% of the contract dollar volume of the project, and shall require at least 20% equity and 20% development participation of Certified Business Enterprises;

(7) A finding that the Developer will enter into a First Source Agreement with the District that shall govern certain obligations of Developer pursuant to § 2-219.03 and Mayor’s Order 83-265 (November 9, 1983) regarding job creation and employment generated as a result of the construction on the Property;

(8) The proposed method of disposition, which may be one of the following:

(A) A public or private sale to the highest bidder;

(B) A negotiated sale to a for-profit or nonprofit entity for specifically designated purposes;

(C) A lease for a period of greater than 15 years;

(D) A combination sale/leaseback for specifically designated purposes;

(E) An exchange of interests in real property; or

(F) A public or private sale to the bidder providing the most benefit to the District; and

(9) The following statement:

"The Land Disposition Agreement for the disposition of the real property shall not be inconsistent with the substantive business terms of the transaction submitted by the Mayor with this resolution in accordance with subsection (b-1)(2) of this section, unless revisions to those substantive business terms are approved by the Council."

(b-1) A proposed resolution to provide for the disposition of real property transmitted to the Council pursuant to subsection (b) of this section shall be accompanied by the following:

(1) An analysis prepared by the Mayor of the economic factors that were considered in proposing the disposition of the real property, including:

(A) The chosen method of disposition, and how competition was maximized;

(B) The manner in which economic factors were weighted and evaluated, including estimates of the monetary benefits and costs to the District that will result from the disposition. The benefits shall include revenues, fees, and other payments to the District, as well as the creation of jobs;

(C) A description of all disposition methods considered and an accompanying narrative for the proposed disposition method that contains comparisons to the other methods and shows why the proposed method was more beneficial for the District than the others in the areas of return on investment, subsidies required, revenues paid to the District, and any other relevant category, or why it is being proposed despite it being less beneficial to the District in any of the measured categories; and

(D) A pre-disposition economic impact statement in the form of a quantitative analysis that estimates the economic benefits, including revenues, tax receipts, and job creation, that will result from the disposition, including the anticipated benefits of any development project to be undertaken at the property and any offsite property, including direct, indirect, or induced outcomes.

(2) An executed term sheet or Memorandum of Understanding between the District and the selected developer that shall include the following:

(A) A description of the substantive business terms of the transaction;

(B) A description of the method of disposition;

(C) A description of the Certified Business Enterprise requirements;

(D) A description of the green building requirements;

(E) A description of the schedule of performance; and

(F) Any other terms that the Mayor finds to be in the best interest of the District.

(3)(A) An appraisal report of the value of the property prepared by an independent licensed appraiser performed no earlier than 5 months before the transmission of the proposed resolution to the Council. The report shall analyze both the highest and best use value of the property and the value of the property under the development proposed pursuant to the disposition. For the purposes of this subparagraph, the term "highest and best use" shall mean the reasonably probable and legal use that is physically possible, appropriately supported, and financially feasible, and that results in the highest value.

(B) An explanation of the difference, if any, between the appraised value (determined pursuant to subparagraph (A) of this paragraph) and the purchase or lease price to be paid pursuant to the disposition.

(4) An itemization, together with an explanation, of any government assistance to be received, or contemplated to be received, by the purchaser or lessee under the disposition, including any discount on the price or rent, grants, loans, tax credits, tax abatements, tax increment financing, affordable housing subsidies, land exchange, and negotiated contributions.

(5)(A) For all District land being disposed for purposes of development and requiring government assistance the following additional items shall be transmitted to the Council concurrent with the proposed resolution and analysis:

(i) A Land Disposition Agreement between the District and the selected developer;

(ii) Any community benefits agreement between the developer and the relevant community, if any; and

(iii) A Certified Business Enterprise (“CBE”) Agreement pursuant to subchapter IX-A of Chapter 2 of Title 2 [§ 2-218.01 et seq.].

(B) Documents in this paragraph shall be transmitted in the most current form available at the time the resolution is transmitted; provided, that ifdocuments transmitted with the proposed resolution are revised during the pendency of Council consideration of the proposed resolution, the revised documents shall be clearly marked and transmitted promptly to the Council.

(C) All documents referenced in this paragraph shall be consistent with the proposed resolution for land disposition and language to that effect shall be included in those agreements prior to execution.

(6) Repealed.

(b-2)(1) Before proceeding to negotiate the disposition of real property pursuant to subsection (b) of this section, and after holding the hearing required under subsection (a-1) of this section, the Mayor shall hold at least one public hearing to obtain community comment and suggestions on the proposed use of the property. The hearing shall be held at an accessible evening or weekend time and in an accessible location in the vicinity of the real property. The Mayor shall provide at least 30 days written notice of the public hearing to the affected Advisory Neighborhood Commissions and shall publicize the hearing by posting written notice at the site and placing a notice in the District of Columbia Register at least 15 days before the hearing.

(2) To the extent that redevelopment related to the disposition occurs offsite of the real property, the Mayor shall hold at least one public hearing in the affected off-site community of such proposed redevelopment to obtain community comment. The hearing shall be held at an accessible evening or weekend time and in an accessible location in the vicinity of the off-site real property. The Mayor shall provide at least 30 days written notice of the public hearing to the affected Advisory Neighborhood Commissions and shall publicize the hearing by posting written notice at the site and placing a notice in the District of Columbia Register at least 15 days before the hearing.

(b-3)(1) If a proposed disposition of real property will result in the development of multifamily residential property consisting of 10 or more units ("multifamily units"), the following affordable-housing requirements shall apply:

(A) If the multifamily units are located in the following areas, at least 30% of the units shall be dedicated as affordable housing:

(i) Within ½ mile of a Metrorail station that is in operation or for which a construction contract has been awarded on or before the date of the disposition; or

(ii) Within ¼ mile of a Priority Corridor Network Metrobus Route, as designated by the Washington Area Metropolitan Transit Authority, located entirely or partially within the District of Columbia;

(B) If the multifamily units are located outside of the areas described in subparagraph (A) of this paragraph, at least 20% of the units shall be dedicated as affordable housing;

(C) The units dedicated as affordable housing pursuant to subparagraphs (A) and (B) of this paragraph shall remain affordable-housing units for the life of the ground lease if the land disposition is by ground lease, or shall remain affordable-housing units in perpetuity, secured by a covenant running with the land that may be extinguished at the sole discretion of the District; and

(D) The purchase price for the second and subsequent sales of the units dedicated as affordable housing described in subparagraphs (A) and (B) of this paragraph shall be determined by a formula established by the Mayor.

(2) The units dedicated as affordable housing pursuant to subparagraphs (A) and (B) of this paragraph shall be made available at the following affordability levels:

(A) In the case of rental units, at least 25% of the units shall be housing for which a very low-income household will pay no more than 30% of its income toward housing costs, and the remainder of such units shall be housing for which a low-income household will pay no more than 30% of its income toward housing costs; and

(B) In the case of ownership units, 50% of the units shall be housing for which a low-income household will pay no more than 30% of its income toward housing costs, and 50% of the units shall be housing for which a moderate-income household will pay no more than 30% of its income toward housing costs.

(3) The Mayor shall take into account the affordable-housing requirements of this subsection when establishing the terms and conditions under which real property is to be disposed of. The Mayor may provide subsidies to a developer, as necessary, to ensure that the affordable-housing requirements imposed by this subsection are met.

(4) The Mayor may waive the affordable-housing requirements of this subsection; provided, the Mayor certifies that:

(A) The appraised value of the property to be disposed of is insufficient to support the affordable-housing requirements, taking into account all other available sources of public funding for affordable housing, whether provided by the District of Columbia or the federal government;

(B) The terms and conditions under which the real property is to be disposed of satisfy the affordable-housing requirements to the maximum extent possible; and

(C) The Chief Financial Officer has provided to the Mayor and the Council a financial analysis that shall consist of:

(i) A review and analysis of the financial condition of disposed-of land; and

(ii) An advisory opinion stating whether or not it is likely that the developer reasonably could be expected to satisfy the affordable-housing requirements set forth in paragraph (1) of this subsection.

(5) Paragraph (4) of this subsection shall not apply to the disposition of the building and property owned by the District and located at 425 2nd Street, N.W., unless the District commits to using all of the proceeds from the disposition of the property for the construction of one or more new homeless shelters and affordable housing to serve a homeless population of comparable size to the homeless population at 425 2nd Street, N.W.

(6) The Mayor may reduce the affordable-housing requirements of this section if the proposed disposition of real property finances the development of a significant public facility. For the purposes of this paragraph, the term "public facility" means a building, structure, or system that is an asset of the District government eligible for capital spending and subject to depreciation. A public facility may include a fire station, public library, public school, stadium, or homeless shelter. Notwithstanding the priority to finance a significant public facility, the Mayor shall nevertheless endeavor to provide affordable housing, consistent with this section, to the extent economically feasible.

(7) Notwithstanding the provisions of this subsection, the Mayor may waive the affordable-housing requirements of this subsection if the District-owned real property is less than 5,000 square feet, even though the property may be consolidated with a private development of multifamily housing consisting of 10 or more units.

(b-4)(1) If a substantive change is made to the business terms of the transaction described in the term sheet or Memorandum of Understanding, referenced in subsection (b-1)(2) of this section, after the resolution was transmitted to and approved by the Council pursuant to this section, a proposed resolution describing the change and accompanied by the amended documents in redline format shall be transmitted to Council for a 45-day period of review, excluding Saturdays, Sundays, legal holidays, and days of Council recess. If the Council does not approve or disapprove the proposed amendments to the documents, in whole or in part, by resolution within the 45-day review period, the proposed amendments shall be deemed approved.

(2) For the purposes of this subsection, the term:

(A) "Redline format" means the changes that are deletions have a line through them and the changes that are additions are underlined.

(B) "Substantive change" means a change that makes the agreement inconsistent with the executed Memorandum of Understanding or term sheet transmitted with the originally approved resolution.

(b-5)(1) Notwithstanding subsections (a-1)(4) and (b-2) of this section, for each of the following projects, the Mayor shall hold at least one public hearing on the finding that the real property is no longer required for public purposes before submitting the proposed surplus resolution and proposed disposition resolution to the Council:

(A) Franklin School (Ward 2);

(B) Grimke School (Ward 1);

(C) Parcel 42 (Ward 6);

(D) Water Front Station II (Ward 6);

(E) Crummell School (Ward 5);

(F) Truxton Circle (Ward 5);

(G) MLK Gateway (Ward 8);

(H) 1125 Spring Road, N.W. (Ward 4);

(I) 200 K Street, N.W. (Parking Deck) (Ward 6); and

(J) Northwest One (New Communities) (Ward 6).

(2) The hearing required by paragraph (1) of this subsection shall be held at an accessible evening or weekend time and in an accessible location in the vicinity of the real property. The Mayor shall provide at least 30 days written notice of the public hearing to the affected Advisory Neighborhood Commission and publish notice of the hearing in the District of Columbia Register at least 15 days before the hearing.

(b-6)(1) Notwithstanding subsections (a-1)(4) and (b-2) of this section, for the disposition of the former Wilkinson Elementary School in Ward 8 ("Wilkinson real property"), the Mayor shall hold at least one public hearing on the finding that the Wilkinson real property is no longer required for public purposes and to obtain community input on the proposed disposition of the Wilkinson real property before submitting the proposed surplus resolution and proposed disposition resolution to the Council pursuant to this section.

(2) The hearing required by paragraph (1) of this subsection shall be held at an accessible evening or weekend time and in an accessible location in the vicinity of the Wilkinson real property. The Mayor shall provide at least 30 days written notice of the hearing to the affected Advisory Neighborhood Commission and publish notice of the hearing in the District of Columbia Register at least 15 days before the hearing.

(c) The proposed resolution to provide for the disposition of real property pursuant to subsection (b) of this section shall be submitted to the Council for a 90-day period of review, excluding Saturdays, Sundays, legal holidays, and days of Council recess. If the Council does not approve or disapprove of the proposed disposition of the property, in whole or in part, by resolution within the 90-day period, the proposed resolution shall be deemed disapproved. Nothing in this section shall affect any requirements imposed upon the Mayor by subchapter I of Chapter 5 of Title 2.

(d) Approval of the disposition of the real property by the Council shall expire 2 years after the effective date of the resolution of approval. If the Mayor determines subsequent to Council approval that the property cannot be disposed of within the 2-year period, the Mayor may submit to the Council a resolution to extend the time for the disposition of the property, and shall include with the transmittal a detailed status report on efforts made toward disposition of the property as well as the reasons for the inability to dispose of the property within the 2-year period. The resolution may extend the time for any specified period up to 2 years. If the Council does not take action to approve or disapprove the resolution within 45 days of receipt of the resolution, not including Saturdays, Sundays, legal holidays, or days of Council recess, the resolution shall be deemed disapproved.

(d-1)(1) Notwithstanding subsection (d) of this section, the time period within which the Mayor may dispose of the property located at 2341 4th Street, N.E., pursuant to the Unsolicited Proposal Submitted by the H Street Community Development Corporation for the Acquisition and Development of 2341 4th Street, N.E., Resolution of 1999, deemed approved February 10, 2000 (PR13-436), is extended to February 10, 2004.

(2) This subsection shall apply as of February 10, 2000.

(d-2)(1) Notwithstanding subsection (d) of this section, the time period within which the Mayor may dispose of Square 5912, Lot 804 in Ward 8 in accordance with the Request for Proposals for the Disposition of Camp Simms Approval Resolution of 2000, effective December 5, 2000 (Res. 13-715; 47 DCR 9984), is extended to March 2, 2006.

(2) This subsection shall apply as of December 5, 2002.

(d-3)(1) Notwithstanding subsections (a) through (d) and (e) of this section, the Mayor may dispose of the following properties:

(A) Lots 106 and 803 in Square 442, in a manner not inconsistent with the Council’s approval of the dispositions of these parcels pursuant to the Development of Small Parcels Resolution of 2006, deemed approved October 27, 2006 (Res. 16-849; 53 DCR 9376); and

(B) Lots 848 and 849 in Square 2906 in a manner not inconsistent with the Council’s approval of the dispositions of these parcels pursuant to the Disposition of Lots 848 and 849 in Square 2906 Approval Resolution of 2005, deemed approved July 2, 2005 (Res. 16-280; 52 DCR 7961).

(2) The Mayor’s authority to dispose of the properties listed in paragraph (1) of this subsection shall expire on November 5, 2009.

(d-4)(1) Notwithstanding subsections (a) through (d) and subsection (e)of this section, the Mayor shall dispose of the property located at 35-41 K Street, N.E., designated for tax and assessment purposes as Lot 0838 in Square 0675 (“K Street property”), through a solicitation to be issued no later than October 1, 2013; provided, that if the contingency set forth in paragraph (2)(B) of this subsection is met, the Mayor may dispose of the K Street property through a solicitation to be issued no later than October 1, 2013.

(2)(A) Except as provided in paragraph (3) of this subsection, the net proceeds from the disposition by sale, as authorized by subsection (b)(8) of this section, of the K Street property shall be deposited into the Housing Production Trust Fund, established by § 42-2802 (“HPTF”), unless the HPTF has been fully funded pursuant to subparagraph (B) of this paragraph and paragraph (3) of this subsection.

(B) If, before the K Street property disposition, the Chief Financial Officer certifies that there is revenue available to fund section 10002(a)(4) of the Revised Revenue Estimate Contingency Priority List Act of 2012, effective September 20, 2012 (D.C. Law 19-168; 59 DCR 8025) (“priority number 4”), the certified available revenue shall be deposited into the HPTF.

(3) If, after the K Street property disposition and the deposit of the net proceeds into the HPTF, the Chief Financial Officer certifies that there is revenue available to fund priority number 4, the certified available revenue, less any shortfall of the $18 million provided for in priority number 4 that was not deposited into the HPTF, which shall be deposited into the HPTF, shall be available to fund NoMa in accordance with priority number 4.

(d-5) Notwithstanding subsection (d) of this section, the time period within which the Mayor may dispose of District-owned real property located at the northeast corner of Sixth and E Streets, S.W., known for tax and assessment purposes as Lot 0036 in Square 0494, for the construction of a mixed-use development, which was approved by the Council pursuant to the Fourth/Sixth and E Streets, S.W., Property Disposition Approval Resolution of 2009, effective November 3, 2009 (Res. 18-290; 56 DCR 8799), as extended by the Fourth/Sixth and E Streets, S.W., Property Disposition Extension Approval Resolution of 2011, effective July 12, 2011 (Res. 19-170; 58 DCR 6589), is extended to November 3, 2017.

(d-6) Notwithstanding subsection (d) of this section, the time period within which the Mayor may dispose of District-owned real property located at 5131 Nannie Helen Burroughs Avenue, N.E., designated for tax and assessment purposes as Lot 801 in Square 5196, for the construction of a mixed-use residential and retail development, which was approved by the Council pursuant to the Strand Theater Disposition Approval Resolution of 2009, effective October 9, 2009 (Res. 18-263; 56 DCR 8410), is extended to December 10, 2018.

(d-7) Notwithstanding subsection (d) of this section, the time period within which the Mayor may dispose of District-owned real property located at 1336 8th Street, N.W., and known for tax and assessment purposes as Lot 68 in Square 399, for a mixed-use development providing for affordable housing, residential and market rate housing, and retail, and any ancillary uses allowed under applicable law, pursuant to the 8th & O Streets, N.W., Disposition Approval Resolution of 2016, effective February 2, 2016 (Res. 21-374; 63 DCR 1498), is extended to February 2, 2020.

(d-8) Notwithstanding subsection (d) of this section, the time period within which the Mayor may dispose of a portion of the District-owned real property located at 3012 Georgia Avenue, N.W., known for tax and assessment purposes as Lot 0849 in Square 2890, for a mixed-use development that provides affordable housing, residential market-rate housing, commercial or community amenity space, and any ancillary uses allowed under applicable law, pursuant to the Bruce Monroe Disposition Approval Resolution of 2016, effective December 20, 2016 (Res. 21-721; 64 DCR 10453), and as extended by the Bruce Monroe Disposition Extension Resolution of 2018, effective November 13, 2018 (Res. 22-643; 65 DCR 13002), is extended to December 20, 2023.

(e) The Mayor shall incorporate into the terms of the disposition of real property disposed of through a negotiated sale pursuant to this section, the right of the District to reacquire the property at the price originally conveyed plus any amounts secured by the property that have been approved by the Mayor, if the property is no longer used for the authorized purpose. For property located within the corporate boundaries of the District, if the District does not exercise its reacquisition option, the owner in fee simple shall be entitled to use the property or sell, convey, or otherwise dispose of the property for use in a manner that is consistent with the designation of the real property on:

(1) The Generalized Land Use Maps adopted pursuant to § 1-301.63; and

(2) The Official Zoning Map of the District of Columbia adopted pursuant to § 6-641.01.

(e-1) In the case of any real property to be disposed under this section through a request for proposals or competitive sealed proposals, the Mayor shall include economic factors, including revenues, fees, and other payments to the District, as one of the criteria to evaluate the request for proposals or competitive sealed proposals.

(f) The Mayor shall take any steps necessary to ensure continuous community input in the disposition of any real property to be disposed of in accordance with this section, which shall include, for property located within the corporate boundaries of the District, providing notice to any affected Advisory Neighborhood Commission of the final terms and conditions for the sale of the property, for review and comment in accordance with § 1-309.10, prior to the disposition of the property.

(f-1) This section shall not apply to any real property which is acquired under § 42-3171.02.

(g) For real property that the Mayor has determined, after input from affected communities, to be no longer needed by the District of Columbia Public Schools (“DCPS”), the Mayor shall submit to the Council a report on whether the Mayor intends to dispose of the real property to a public charter school under § 38-1802.09 or for use by another agency of the District government. The report shall be submitted to the Council by the Mayor within 90 days of the determination that the real property is no longer needed by the DCPS. If the report is not submitted by the Mayor to the Council within the 90-day period, the Mayor shall dispose of the real property in accordance with the provisions of this subchapter and shall transmit to the Council the resolutions required by subsection (a)(2) of this section within 180 days of the Mayor’s determination.

(h) Repealed.

(i) Repealed.

(j) Repealed.

(k) Repealed.

(l) Repealed.

(m) The provisions of this subchapter shall not apply to real property acquired by the District or an instrumentality of the District (or a subsidiary thereof) under § 47-1353(a)(3).

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

(1) “Area median income” means:

(A) For a household of 4 persons, the area median income in the Washington Metropolitan Statistical Area as set forth in the periodic calculation provided by the United States Department of Housing and Urban Development;

(B) For a household of 3 persons, 90% of the area median income for a household of 4 persons;

(C) For a household of 2 persons, 80% of the area median income for a household of 4 persons;

(D) For a household of one person, 70% of the area median income for a household of 4 persons; and

(E) For a household of more than 4 persons, the area median income for a household of 4 persons, increased by 10% of the area median income for a household of 4 persons for each household member exceeding 4 persons.

(2) “Housing costs” means:

(A) In the case of rental units, rent and utilities.

(B) In the case of ownership units, mortgage payments, including principal, interest, and property insurance, taxes, homeowner association, condominium, or cooperative fees, and utilities.

(3) “Low-income household” means a household consisting of one or more persons with a total household income that is more than 30% and less than or equal to 50% of the area median income.

(4) “Moderate-income household” means a household consisting of one or more persons with total household income more than 50% and less than or equal to 80% of the area median income.

(5) “Very low-income household” means a household consisting of one or more persons with total household income less than or equal to 30% of the area median income.

(o) The net proceeds from the disposition of the McMillan Sand Filtration Site approved by the McMillan Residential Townhomes Parcel Disposition Approval Resolution of 2014, effective December 2, 2014 (Res. 20-705; 62 DCR 1091), the McMillan Residential Multifamily Parcels Disposition Approval Resolution of 2014, effective December 2, 2014 (Res. 20-706; 62 DCR 1094), and the McMillan Commercial Parcel Disposition Approval Resolution of 2014, effective December 2, 2014 (Res. 20-707; 62 DCR 1097), shall not be deposited into the unrestricted fund balance of the General Fund of the District of Columbia but instead shall be deposited into the capital fund account associated with the McMillan Site Redevelopment, EB0-AMS11C.

§ 10–801.01. Definitions.

For the purposes of this subchapter, the term:

(1) "Green space" means an area of grass, trees, or other vegetation that is located on real property and accessible to the public.

(2) "Real property" means land titled in the name of the District or in which the District has a controlling interest and includes all structures of a permanent character erected thereon or affixed thereto, any natural resources located thereon or thereunder, all riparian rights attached thereto, or any air space located above or below the property or any street or alley under the jurisdiction of the Mayor.

§ 10–801.02. Email notifications regarding the surplus and disposition of real property.

(a) Within 180 days after December 13, 2017, the Department of General Services ("DGS"), in coordination with the Deputy Mayor for Planning and Economic Development ("DMPED"), shall allow individuals to sign up, on the DGS website, to receive email notifications, pursuant to subsection (b) of this section, relating to the surplus and disposition of real property, within Advisory Neighborhood Commissions ("ANC") selected by the individual.

(b) DGS shall send an email notification to individuals who sign up under subsection (a) of this section within 2 days after the following events:

(1) The Mayor publishes notice of a surplus hearing pursuant to § 10-801(a-1)(4), which shall describe:

(A) The date, time, and location of the hearing; and

(B) How a person who cannot attend the hearing can comment on the finding that the real property is no longer required for public purposes;

(2) The introduction of a proposed resolution pursuant to § 10-801(a-1), which shall include a link to the website on the Council's Legislative Information Management System about the proposed resolution;

(3) The Council publishes notice of a hearing on a proposed resolution submitted by the Mayor pursuant to § 10-801(a-1), which shall describe:

(A) The date, time, and location of the hearing; and

(B) How a person who cannot attend the hearing can comment on the finding that the real property is no longer required for public purposes;

(4) The Council's approval, disapproval, or passive disapproval of a proposed resolution pursuant to§ 10-801(a-1)(3);

(5) The Mayor publishes notice of a public hearing pursuant to § 10-801(b-2) on a proposed disposition of District-owned property, which shall describe:

(A) The date, time, and location of the hearing; and

(B) How a person who cannot attend the hearing can comment on the finding that the real property is no longer required for public purposes;

(6) The introduction of a proposed resolution pursuant to § 10-801(b), which shall include a link to the website on the Council's Legislative Information Management System about the proposed resolution;

(7) The Council publishes notice of a hearing on a proposed resolution submitted by the Mayor pursuant to § 10-801(b), which shall describe:

(A) The date, time, and location of the hearing; and

(B) How a person who cannot attend the hearing can comment on the finding that the real property is no longer required for public purposes;

(8) The Council's approval or disapproval, in whole or in part, or passive disapproval of a proposed resolution pursuant to § 10-801(c);

(9) The introduction of a resolution seeking additional time for the disposition of a property pursuant to § 10-801(d), which shall include a link to the website on the Council's Legislative Information Management System about the resolution; and

(10) The Council's approval, disapproval, or passive disapproval of a resolution seeking additional time for the disposition of a property pursuant to § 10-801(d).

(c) All e-mail notifications issued pursuant to this section shall include:

(1) The address of the District-owned property that is the subject of the event listed in subsection (b) of this section; and

(2) The contact information for the DMPED Project Manager managing the District-owned property that is the subject of the event listed in subsection (b) of this section.

§ 10–802. Expenses of sale; deposit of net proceeds.

(a) The Mayor is further authorized to pay the reasonable and necessary expenses of sale of each parcel of land sold and shall deposit the net proceeds of the sale in the District Treasury.

(b) Repealed.

§ 10–803. Execution of deeds.

The Mayor of the District of Columbia is hereby authorized to execute proper deeds of the conveyance for real estate sold under the provisions of this subchapter, which shall contain a full description of the land sold, either by metes and bounds, or otherwise, according to law.

§ 10–803.01. Unused and underutilized public school buildings.

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

(1) “Qualified High Technology Company” shall have the same meaning as set forth in § 47-1817.01(5).

(2) “Below-market rates” means rental rates representing a discount from prevailing market rents.

(3) “Sponsor” means a commercial real estate broker, landlord, venture capitalist, business incubator, technology company, commercial bank, investment banker, or a for-profit, nonprofit, or public-sector entity acting on behalf of a Qualified High Technology Company.

(b) Not later than one year after the effective date of this section, the Mayor shall report to the Council on the feasibility of selling, conveying, or leasing real property owned in fee simple or leased by the District of Columbia that is no longer required for public purposes to Qualified High Technology Companies.

(c) Not later than one year after the effective of this section, the Superintendent of the District of Columbia Public Schools (“Superintendent”) shall conduct a study of unused or underutilized buildings within the public school system and report the results to the Mayor and Council.

(d) The Mayor may lease, directly or through a sponsor of a Qualified High Technology Company, real property, or portions thereof, which are not required for public purposes to a Qualified High Technology Company at reasonable below-market rates. The Mayor shall promulgate regulations setting forth the method of determining whether properties owned or leased by the District of Columbia are not required for public purposes and the terms on which such properties may be leased under this section.

(e)(1) Within a reasonable time after the report described in subsection (c) of this section, the Mayor may, with the consent of the Superintendent, lease unused or underutilized public school real property to Qualified High Technology Companies or their sponsors at reasonable below-market rates.

(2) In exchange for facilities assistance under this section, a Qualified High Technology Company shall provide:

(A) Training courses to District of Columbia Public School teachers and administrators for the more efficient use of technology in the education process;

(B) Internships to District of Columbia Public School students throughout the calendar year;

(C) Employment to District of Columbia Public School students during the summer months when school is not in session;

(D) Technical support or expertise, including networking and maintaining computer systems and other related activities; or

(E) Any other assistance considered appropriate or acceptable by the Mayor and Superintendent.

(f) The Mayor and the Superintendent shall convene a summit to facilitate the internships and jobs described in subsection (e)(2) of this section.

(g) Nothing in this section shall affect the preference for public charter schools in leasing or purchasing public school facilities, as set forth in § 38-1802.09.

§ 10–804. Secretary of the Interior to sell certain real estate — Authorization.

The Secretary of the Interior, with the approval of the National Capital Planning Commission, is hereby authorized, in his discretion, for the best interests of the United States, to sell and convey, in whole or in part, by proper deed or instrument, any real estate held by the United States in the District of Columbia and under the jurisdiction of the National Park Service, which may be no longer needed for public purposes, for cash, or on such deferred-payment plan as the Secretary of the Interior may approve, at a price not less than that paid for it by the government and not less than its present appraised value as determined by him.

§ 10–805. Secretary of the Interior to sell certain real estate — Solicitation for bids.

In selling any parcel of land under this subchapter, said Secretary shall cause such public or private solicitation for bids or offers to be made as he may deem appropriate, and shall sell the parcel to the party agreeing to pay the highest price therefor if such price is otherwise satisfactory; provided, that in the event the price offered or bid by the owner of any lands abutting the lands to be sold equals the highest price offered or bid by any other party, the parcel may be sold to such abutting owner.

§ 10–806. Secretary of the Interior to sell certain real estate — Expenses of sales.

Said Secretary is further authorized to pay the reasonable and necessary expenses of sale of each parcel of land sold, and shall deposit the net proceeds thereof in the Treasury to the credit of the United States and the District of Columbia in the proportion that each paid the appropriations from which the parcels of land were acquired or were obligated to pay the same, at the time of acquisition, by reimbursement.

§ 10–807. Inventory of real property owned by District. [Repealed]

Repealed.

Subchapter II. Special Disposal Procedures for Certain Properties.

§ 10–831. Properties subject to disposition.

(a) The Mayor may dispose of real property that is, or has previously been determined to be, abandoned or deteriorated property, as those terms are defined in § 42-3171.01, under this subchapter if:

(1) The property is owned or acquired by the District;

(2) The property is suitable for, and the Mayor proposes construction, reconstruction, or rehabilitation as, a single-household property or a multi-household property containing 25 or fewer single-household dwelling units; and

(3)(A) The property is listed in § 10-839; or

(B) Disposition of the property pursuant to this subchapter is approved by the Council pursuant to a proposed resolution transmitted by the Mayor for a 5-day period of review, excluding days of Council recess. If no Councilmember introduces a disapproval resolution within the 5-day period, the resolution shall be deemed approved at the end of the 5-day period. If a resolution of disapproval is introduced by at least 3 Councilmembers within the 5-day period, the Council review period shall be 45 days from the date the Mayor transmitted the proposed resolution to the Council, excluding days of Council recess. If the Council does not approve the disapproval resolution within the 45-day period, the resolution shall be deemed approved.

(b) The authority of the Mayor under this subchapter shall expire on September 30, 2011.

(c) The process for disposing of any property pursuant to this subchapter shall be conducted solely pursuant to the requirements set forth in this subchapter and shall not be subject to any other statutory provision governing the process for the disposition of real property, nor shall any property disposed of pursuant to this subchapter be subject to the prerequisites to disposition of property set forth in § 42-3171.03.

§ 10–832. Method of disposition.

(a) A property disposed of pursuant to this subchapter shall be disposed of pursuant to a request for proposals (“RFP”) issued by the Mayor.

(b) A single-household property disposed of pursuant to this subchapter shall be disposed of as part of a bundle of at least 5 properties and not more than 25 properties. A property improved as a multi-household property containing at least 5 single-household dwelling units and no more than 25 single-household dwelling units may be disposed of individually or as part of a bundle of up to 25 properties.

(c) At least 30% of all single-household dwelling units, irrespective of whether they are single-household dwelling units contained in a multi-household property or in a single-household property, in each bundle of property disposed of pursuant to an RFP, or such greater proportion determined by the Mayor, shall be sold or rented at a price affordable to a household earning 60% or less of the area median income. If the number representing 30% of the single-household dwelling units is not a whole a number, the Mayor may round to the next lower whole number.

(d) Each property shall be disposed of on an as-is basis.

§ 10–833. Minimum standards for disposition.

(a) A request for proposals issued pursuant to this subchapter shall contain the following provisions:

(1) No person shall be eligible to purchase a property disposed of pursuant to this subchapter unless the person first signs a first source employment agreement.

(2) No person shall be eligible to purchase a property disposed of pursuant to this subchapter unless the person first signs a certificate evidencing the person’s intent to enter into a memorandum of understanding with the Department of Small and Local Business Development, established by § 2-218.11, to make a good-faith effort to contract with, and procure from, local, small, and disadvantaged business enterprises (“LSDBE MOUs”). The contents of the certificate and the memorandum shall be determined by the Department of Small and Local Business Development, established by § 2-218.11.

(3) Each property disposed of pursuant to the RFP shall be rehabilitated and offered for sale or rental to the public in no more than 12 months, or such shorter period determined by the Mayor, after the disposition of the property.

(4) Repealed.

(5) Repealed.

(b) The Mayor may establish other minimum standards as part of the RFP.

(c) The Mayor shall list all known minimum requirements as part of the RFP.

§ 10–834. Subsidies.

(a) The Mayor may offer a subsidy as part of the RFP for the disposition of a bundle of property to:

(1) Attain a clearly stated affordability component; or

(2) Make feasible the rehabilitation and resale or rental of the property at market price.

(b) If the Mayor offers a subsidy as part of an RFP, the subsidy shall be stated as a maximum available amount. The amount of subsidy requested and the affordability levels achieved shall be weighed when determining the points awarded to an offeror.

(c) There is established, under the authority of the Mayor, a designated and nonlapsing account into which proceeds from the sale of bundled properties may be deposited, which shall remain available until expended and the balance of which shall not exceed one million dollars, that shall be used to:

(1) Finance or subsidize the sale of other bundled properties; and

(2) Acquire additional parcels of property.

§ 10–835. Evaluation criteria of a request for proposals.

An RFP to dispose of property pursuant to this subchapter shall use the following evaluation criteria and point system:

(1) Offering price. — More points shall be awarded for a higher proposed offering price. If a subsidy is offered under § 10-834 and is requested by the proposer, the subsidy shall be considered in conjunction with the offering price. (10 points).

(2) Quality of rehabilitation. — More points shall be awarded for proposing higher-quality rehabilitation. (20 points).

(3) Affordability. — The minimum affordability level shall be determined pursuant to § 10-832(c), and shall remain in effect for not less than 10 years for property offered for sale to the public and not less than 40 years for property offered for rental to the public. More points shall be awarded for proposing to develop additional affordable single-household dwelling units (that is units not counted toward the minimum affordability level); greater levels of affordability (that is affordable to a household earning 60% or less of the area median income); or for longer periods of affordability (that is for longer than the minimum period of affordability). (20 points).

(4) Level of LSDBE involvement. — Pursuant to § 10-833(a)(2), a person submitting a winning proposal will be required to enter into an LSDBE MOU. More points shall be awarded for proposing, and evidencing the commitment and ability to achieve, greater involvement by, an LSDBE. (10 points). An additional 5 points shall be awarded to a person submitting a proposal that is an LSDBE whose primary place of business is in the District of Columbia.

(5) Feasibility. — More points shall be awarded to a proposal that is deemed more feasible. Feasibility shall be based on the consideration of whether the property will be likely to be developed and sold or rented in the time-line proposed, with the quality of construction proposed, and at the sales or rental prices proposed. (35 points).

§ 10–836. Disposition of properties.

(a) Within 90 days after a winning proposal is selected, the Mayor and the selected person shall enter into a disposition agreement governing the sale of the bundle of property. Each disposition agreement shall provide for, and the Mayor and the selected person shall consummate, the sale of the bundle of property within 270 days after the effective date of the disposition agreement; provided, that if the selected person must obtain regulatory approval for zoning or historic preservation purposes prior to the demolition, construction, or rehabilitation of a property to be disposed of, including a rezoning, special exception, or variance, the disposition agreement shall provide for, and the Mayor and the selected person shall consummate, the sale of the property within 360 days after the effective date of the disposition agreement.

(b) The Mayor may establish pre-conditions for closing, including the following:

(1) Construction financing shall be in place;

(2) All relevant entities shall be registered to do business in the District;

(3) All relevant entities shall be current in all taxes owed to the District; and

(4) No relevant entity shall be in default on any obligation to the District.

§ 10–837. Evaluation committee.

The Mayor shall establish an evaluation committee of at least 5 members to review the proposals submitted in response to an RFP and provide comments and recommendations to the Mayor regarding the proposals and which proposal to accept. At least 2 members of the evaluation committee shall not be government employees and shall have professional experience related to the evaluation of the proposals.

§ 10–838. Quarterly report.

The Mayor shall transmit to the Council within 30 days after the end of each quarter a report containing the following information:

(1) A list of the properties acquired during the quarter to be disposed of pursuant to this subchapter;

(2) A list of the properties disposed of pursuant to this subchapter during the quarter;

(3) A copy of each RFP issued during the quarter;

(4) A copy of each winning proposal selected during the quarter;

(5) A copy of each disposition agreement entered into during the quarter;

(6) A cumulative list of each property disposed of pursuant to this subchapter including:

(A) The status of the rehabilitation of the property;

(B) Whether the developer has resold or rented the property;

(C) A list of the properties sold or rented as affordable to households earning 60% or less of area median income, that specifies the percentage of area median income earned by the household; and

(7) Any other relevant information.

§ 10–839. Certain properties approved for disposition.

The following properties may be disposed of pursuant to § 10-831(a)(3)(A):

(1) Square 3401, Lot 0055 (22 Farragut Place, N.W.);

(2) Square 3401, Lot 0060 (12 Farragut Place, N.W.);

(3) Square 4469, Lot 0053 (1145 Summit Street, N.E.);

(4) Square 5755, Lot 0101 (1626 Galen Street, S.E.);

(5) Square 5168, Lot 0015 (4718 Quarles Street, N.E.);

(6) Square 5168, Lot 0015 (4720 Quarles Street, N.E.);

(7) Square 5168, Lot 0015 (4722 Quarles Street, N.E.);

(8) Square 5727, Lot 0811 (Buena Vista Terrace, S.E.);

(9) Square 3401, Lot 0056 (20 Farragut Place, N.W.);

(10) Square 3401, Lot 0058 (16 Farragut Place, N.W.);

(11) Square 3401, Lot 0059 (14 Farragut Place, N.W.);

(12) Square 4078, Lot 0214 (1239 16th Street, N.E.);

(13) Square 5083, Lot 0120 (4041 Benning Road, N.E.);

(14) Square 5176, Lot 0995 (4933 Sheriff Road, N.E.);

(15) Square 5260, Lot 0806 (Dix Street, N.E.);

(16) Square 5765, Lot 0853 (1650 U Street, S.E.);

(17) Square 0362, Lot 0242 (1822 9th Street, N.W.);

(18) Square 0362, Lot 0249 (909 S Street, N.W.);

(19) Square 2842, Lot 0051 (1120 Park Road, N.W.);

(20) Square 2854, Lot 0073 (1319 Harvard Street, N.W.);

(21) Square 3038, Lot 0833 (619 Park Road, N.W.);

(22) Square 0363, Lot 0035 (920 French Street, N.W.);

(23) Square 0363, Lot 0075 (932 French Street, N.W.);

(24) Square 0509, Lot 0111 (1603 5th Street, N.W.);

(25) Square 0526, Lot 0815 (1031 4th Street, N.W.);

(26) Square 3010, Lot 0194 (814 Delafield Place, N.W.);

(27) Square 3210, Lot 0098 (5212 5th Street, N.W.);

(28) Square 3237, Lot 0061 (406 Shepherd Street, N.W.);

(29) Square 3319, Lot 0820 (223 Webster Street, N.W.);

(30) Square 3705, Lot 0823 (Riggs Road, N.E.);

(31) Square 0519, Lot 0041 (307 R Street, N.W.);

(32) Square 3562, Lot 0002 (320 V Street, N.E.);

(33) Square 3563, Lot 0108 (2023 3rd Street, N.E.);

(34) Square 4039, Lot 0807 (964 Mount Olivet Road, N.E.);

(35) Square 4055, Lot 0040 (N.E.);

(36) Square 4055, Lot 0130 (N.E.);

(37) Square 4057, Lot 0193 (1259 Holbrook Terrace, N.E.);

(38) Square 4058, Lot 0801 (1612 Montello Avenue, N.E.);

(39) Square 4083, Lot 0012 (1721 Holbrook Street, N.E.);

(40) Square 4253, Lot 0818 (N.E.);

(41) Square 4315, Lot 0814 (2616 Myrtle Avenue, N.E.);

(42) Square 4319, Lot 0072 (N.E.);

(43) Square 4445, Lot 0819 (18th Place, N.E.);

(44) Square 4469, Lot 0054 (1147 Summit Street, N.E.);

(45) Square 1550, Lot 0164 (N.E.);

(46) Square 0776, Lot 0050 (I Street, N.E.);

(47) Square 0836, Lot 0060 (513 E Street, N.E.);

(48) Square 0855, Lot 0319 (655 Morton Street, N.E.);

(49) Square 1003, Lot 0049 (1215 Wylie Street, N.E.);

(50) Square 1003, Lot 0050 (1217 Wylie Street, N.E.);

(51) Square 1003, Lot 0812 (1209 Wylie Street, N.E.);

(52) Square 1029, Lot 0087 (1337 Emerald Street, N.E.);

(53) Square 1072S, Lot 0046 (1527 Independence Avenue, S.E.);

(54) Square 1112, Lot 0088 (1816 Bay Street, S.E.);

(55) Square 4540, Lot 0147 (649 16th Street, N.E.);

(56) Square 4540, Lot 0829 (647 16th Street, N.E.);

(57) Square 5765, Lot 0884 (1648 U Street, S.E.);

(58) Square 5801, Lot 0284 (2315 Chester Street, S.E.);

(59) Square 5804, Lot 0195 (2321 High Street, S.E.);

(60) Square 5045, Lot 0017 (209 35th Street, N.E.);

(61) Square 5129, Lot 0815 (4511 Gault Place, N.E.);

(62) Square 5150, Lot 0095 (831 46th Street, N.E.);

(63) Square 5150, Lot 0105 (4619 Jay Street, N.E.);

(64) Square 5154, Lot 0013 (4607 Kane Place, N.E.);

(65) Square 5174, Lot 0022, (1109 50th Place, N.E.);

(66) Square 5176, Lot 0989 (4906 Jay Street, N.E.);

(67) Square 5210, Lot 0034 (5354 Nannie Helen Burroughs Avenue, N.E.);

(68) Square 5210, Lot 0035 (5354 Nannie Helen Burroughs Avenue, N.E.);

(69) Square 5210, Lot 0036 (5354 Nannie Helen Burroughs Avenue, N.E.);

(70) Square 5243, Lot 0032 (5300 East Capitol Street, N.E.);

(71) Square 5251, Lot 0818 (Clay Place, N.E.);

(72) Square 5298, Lot 0017 (5302 F Street, S.E.);

(73) Square 5302, Lot 0010 (5341 C Street, S.E.);

(74) Square 5317, Lot 0009 (5135 F Street, S.E.);

(75) Square 5336, Lot 0029 (4919 C Street, S.E.);

(76) Square 5340, Lot 0050 (5019 H Street, S.E.);

(77) Square 5349, Lot 0014 (39 47th Street, S.E.);

(78) Square 5362, Lot 0193 (4675 H Street, S.E.);

(79) Square 5362, Lot 0194 (5001 Benning Road, S.E.);

(80) Square 5362, Lot 0195 (5007 Benning Road, S.E.);

(81) Square 5447, Lot 0800 (3227 D Street, S.E.);

(82) Square 5579, Lot 0055 (S.E.);

(83) Square 5727, Lot 0810 (Buena Vista Terrace, S.E.);

(84) Square 5740, Lot 0028 (Ainger Place, S.E.);

(85) Square 5740, Lot 0034 (S.E.);

(86) Square 5740, Lot 0852 (Skyland Terrace, S.E.);

(87) Square 5827, Lot 0010 (2302 Pomeroy Road, S.E.);

(88) Square 5867, Lot 0174 (2808 Wade Road, S.E.);

(89) Square 5867, Lot 0898 (Wade Road, S.E.);

(90) Square 5936, Lot 0802 (3401 13th Street S.E.);

(91) Square 5946, Lot 0805 (1201 Alabama Avenue, S.E.);

(92) Square 5970, Lot 2030 (3423 5th Street, S.E. Unit 24);

(93) Square 6158, Lot 0090 (832 Yuma Street, S.E.);

(94) Square 6208, Lot 0048 (4250 6th Street, S.E.);

(95) Square 6208, Lot 0054 (4238 6th Street, S.E.);

(96) Square 6239, Lot 0060 (62 Forrester Street, S.W.);

(97) Square 6239, Lot 0082 (105 Galveston Place, S.W.); or

(98) Square 6240, Lot 0083 (161 Forrester Street, S.W.).