Subchapter II. Clean Hands Before Receiving a License or Permit.
§ 47–2861. Definitions.
For the purposes of this subchapter, the term:
(1)(A) “Applicant” means:
(i) An individual, business, or other entity that applies for the license or permit; and
(ii) Any person that owns a majority interest in the business or other entity; provided, that this sub-subparagraph shall not apply to a majority interest in a publicly-traded corporation.
(B) For the purposes of this paragraph, the term “majority interest” means:
(i) In the case of a corporation, more than 50% of the total combined voting power of all classes of stock of the corporation or more than 50% of the total value of all of the corporation;
(ii) In the case of a partnership, or entity treated as a partnership, more than 50% of the total interest in the capital or profits of a partnership or entity treated as a partnership; or
(iii) In the case of a trust, more than 50% of the beneficial interest in a trust.
(1A) “District government” means the Mayor, any executive branch or independent agency except the courts, the District of Columbia Water and Sewer Authority, or any board or commission other than the Alcohol Beverage Control Board.
(1B) “District of Columbia Water and Sewer Authority service fees” or “service fees” means all fees or charges, including penalty and interest, billed by the District of Columbia Water and Sewer Authority.
(2) “License” and “permit” means any license or permit issued by the District government, except that the terms “license” and “permit” shall not include:
(A) Any license or permit required pursuant § 6-1401 et seq.;
(B) Any license or permit determined by the Mayor to be necessary to secure, remove, or otherwise remedy an unsafe and hazardous condition that presents an immediate threat to public health or safety; or
(C) Beginning on October 1, 2023, any operator's permit or identification card issued pursuant to §§ 50-1401.01 through 50-1405.01.
(3) “Mayor” means the Mayor of the District of Columbia.
(4) “Taxes” means any tax or fee, including any penalties or interest associated with such tax or fee, administered by the District of Columbia Department of Finance and Revenue or its successor agency.
§ 47–2862. Prohibition against issuance of license or permit.
(a) Notwithstanding any other provision of law except as set forth in subsection (a-1) of this section, the District government shall not issue or reissue a license or permit to any applicant for a license or permit if the applicant:
(1) Owes the District more than $1,000 in outstanding fines, penalties, or interest assessed pursuant to the following acts or any regulations promulgated under the authority of the following acts, the:
(A) Litter Control Administrative Act of 1985, effective March 25, 1986 (D.C. Law 6-100; D.C. Official Code § 8-801 et seq.);
(B) Illegal Dumping Enforcement Act of 1994, effective May 20, 1994 (D.C. Law 10-117; D.C. Official Code § 8-901 et seq.);
(C) [Repealed].
(D) Department of Consumer and Regulatory Affairs Civil Infractions Act of 1985, effective October 5, 1985 (D.C. Law 6-42; D.C. Official Code § 2-1801.01 et seq.);
(E) Department of For-Hire Vehicles Establishment Act of 1985, effective March 25, 1986 (D.C. Law 6-97; D.C. Official Code § 50-301.01 et seq.); or
(F) [Repealed].
(2) Owes the District more than $1,000 in past due taxes;
(3) Owes fines assessed to car dealers pursuant to § 50-1501.02(i);
(4) [Repealed].
(5) Owes past due District of Columbia Water and Sewer Authority service charges or fees;
(6) [Repealed].
(7) Owes the District more than $1,000 in outstanding fines, penalties, or interest;
(8) Has failed to file required District tax returns; or
(a-1) The Department of Motor Vehicles shall not issue or reissue a license or permit to any applicant if the applicant owes the District more than $100:
(1) In outstanding fines, penalties, or interest assessed pursuant to the following acts or any regulations promulgated under the authority of the following acts:
(2) In parking fines or penalties assessed by another jurisdiction; provided, that a reciprocity agreement is in effect between the jurisdiction and the District; or
(3) In vehicle conveyance fees, as that term is defined in § 50-2301.02(9).
(b) For purposes of this section, if: (A) the amount of outstanding debt is subject to dispute, (B) the applicant has properly and timely appealed the infraction, assessment, tax, or basis for the alleged debt, and (C) the appeal is pending, then the outstanding debt shall not be cause for the District government to deny the issuance or reissuance of any license or permit pursuant to subsection (a) of this section. Nothing in this section shall be construed as allowing the nonpayment of any tax, fee, fine, penalty, or any other debt owed to the District government for which payment is required by other law.
(c) A license or permit shall not be denied pursuant to subsection (a) of this section if the applicant has agreed to a payment schedule to eliminate the outstanding debt, the payment schedule has been agreed to by the District government, the applicant is complying with the payment schedule, and the payment schedule is otherwise permitted by law.
(d) This section shall not apply to an applicant for a block party permit pursuant to [Chapter 6A of Title 9, § 9-631 et seq.].
§ 47–2863. Self-certification and enforcement (conditional).
(a)(1) This subchapter shall be enforced by self-certification by the applicant for a license or permit, provided that the veracity of the self-certification may be investigated upon the initiative of the District government at any time.
(2) At the time of application for a license or permit the applicant shall certify on a form provided by the District government that the applicant owes no outstanding debt to the District government as a result of any fine, fee, penalty, interest, or past due tax above the relevant thresholds as set forth in § 47-2862 unless said debt is subject to appeal in accordance with § 47-2862(b) or has an established payment plan in accordance with § 47-2862(c).
(3) Upon receipt of the applicant’s certification that the issuance of the license or permit is not prohibited by this subchapter, the District government shall consider the application as otherwise provided by law, unless the government has information indicating that the applicant has not paid an outstanding debt under § 47-2862.
(b) Upon the implementation of the interagency computer system required by § 47-2866(a)(1), this section shall expire.
§ 47–2864. Penalties.
(a) If the District government determines at any time that an applicant knowingly falsified the certification required by this subchapter, the District government shall:
(1) Proceed immediately to revoke each license or permit, the application for which contains such a falsified certification; and
(2) Fine the applicant $1,000 for each false certification.
(b) The penalties prescribed by this section shall be applicable only after the applicant is afforded an opportunity for a hearing by the agency which ordinarily would hold a hearing on a revocation of the affected license or permit, and these penalties shall be in addition to any other penalties available by law.
(c) Nothing in this subchapter shall preclude an applicant from submitting a new application for a license or permit.
§ 47–2865. Remedies.
(a) A person whose license or permit is revoked pursuant to § 47-2864 shall have the same remedy for appeal as otherwise provided by law for the revocation of that license or permit.
(b) Nothing in this subchapter shall be construed as granting a new or separate right of appeal on the merits or validity of fines or penalties, or past due taxes, and any appeal of a denial or revocation pursuant to this subchapter shall not consider the merits or validity of the outstanding debt to the District.
(c) Any person whose application is denied pursuant to § 47-2862 may request a hearing within 10 days of the denial on the basis for that denial.
§ 47–2866. Interagency computer system and enforcement.
(a)(1) Consistent with the Delinquent Debt Recovery Act of 2012, effective September 20, 2012 (subtitle E of title I of D.C. Law 19-168; 59 DCR 8025), the Chief Financial Officer shall implement an interagency computer system to enable government agencies, including the Department of Licensing and Consumer Protection, the Office of Tax and Revenue, and the Department of Public Works, to maintain and access up-to-date records of outstanding fines, fees, penalties, interest, taxes, or other charges that may be owed by applicants for licenses or permits from the District government.
(2) At least 30 days prior to the implementation of the interagency computer system, the Chief Financial Officer shall notify the Council of the date of implementation.
(b) Upon the implementation of the interagency computer system as required by subsection (a) of this section:
(1) All agencies responsible for issuing licenses or permits shall utilize the interagency computer system containing records of outstanding fines, fees, penalties, interest, taxes, or other charges owing to the District government to determine whether the application for a license or permit should be denied pursuant to § 47-2862(a);
(2) Self-certification authority shall no longer be authorized; and
(3) Section 47-2863 shall expire.
(c) For purposes of administering and enforcing any tax law in the District of Columbia, the Mayor may require any owner, occupant, or transferor of real property and any taxpayer to provide a social security number or other tax identification number on any return or in a form and manner as the Mayor prescribes. Any use or disclosure of these numbers shall be for tax administration and enforcement purposes only.
(d) The Chief Financial Officer may promulgate such rules as may be necessary and appropriate to carry out provisions of this subchapter.
