B 23-0778 — New Howard University Hospital and Redevelopment Tax Abatement Act of 2020

ENGROSSEDENROLLED ORIGINAL AAN BILLACT 3___________ 23-778 5 IN THE COUNCIL OF THE DISTRICT OF COLUMBIA 7__________________________ _________________ 9 To amend Chapter 46 of Title 47 of the District of Columbia Official Code to provide an abatement of real property taxes for property known for tax and assessment purposes as Lots 033, 829, 830, and 831 in Square 3065, Lot 11 in Square 3074, Lot 807 in Square 3075, Lot 52 in Square 3072, and Lot 73 in Square 3080.

ENGROSSED ORIGINAL “(1) “CBE Act” means the Small and Certified Enterprise Development and Assistance Act of 2005, effective October 20, 2005 (D.C.

Official Code § 2- 219.03), and Mayor’s Order 83-265, dated November 9, 1983, regarding job creation and employment generated as a result of the construction on the Redevelopment Property.

“(4) “New Hospital” means the teaching and research hospital constructed by the New Hospital Operator as further described in subsection (d)(4)(e)(4) of this section.

ENROLLED ORIGINAL “(5) “New Hospital Developer” means Howard University, or its successor approved by the Mayor.

“(7) “New Hospital Property” has the meaning set forth in subsection (d)(4)(e)(4) of this section.

“(8) “Project” means the redevelopment of the Propertyreal property and the buildings located on the Redevelopment Property into a mixed-use project, integrated with the surrounding neighborhoods, that includes varied uses, such as residential, including a significant component ENGROSSED ORIGINAL of affordable and workforce housing, market and neighborhood-serving retail, hospitality, and office uses.

“(9) “Redevelopment Property” means the real property known for tax and assessment purposes as Lots 033, 829, 830, and 831 in Square 3065, Lot 11 in Square 3074, Lot 807 in Square 3075, Lot 52 in Square 3072, and Lot 73 in Square 3080 and any improvements on that real property.

“(c) Subject to subsections (d) and (e) of this section, the tax imposed on the Redevelopment Property by Chapter 8 of this title shall be abated for 20 real property tax years.

or ENGROSSED ORIGINAL “(ii) The date of transfer for development of each phase referenced in sub-subparagraph (i) of this subparagraph;

“(1) The New Hospital Developer and the Redevelopment Property Developer shall execute a First Source Agreement with the Department of Employment Services for the construction and operation of the New Hospital on the New Hospital Property and the Project on the Redevelopment Property;Property.

ENROLLED ORIGINAL “(2) The New Hospital Developer and Redevelopment Property Developer shall execute a Certified Business Enterprise agreement with the Department of Small and Local Business Development requiring the New Hospital Developer and the Redevelopment Property Developer to, at a minimum, contract for at least 35% of the contract dollar volume of the construction and operation of the New Hospital on the New Hospital Property and the construction and operation of and the Project on Redevelopment Property with business enterprises or joint ventures certified pursuant to the CBE Act;Act.

“(3)“(4) The New Hospital Developer shall requireconstruct itsa generalnew, contractorstate-of-the-art, tofull- enterservice, intoteaching aand projectresearch laborhospital agreementon (“PLA”)or foradjacent to the NewGeorgia HospitalAvenue, PropertyN.W., oncampus termsof mutuallyHoward acceptableUniversity towith a level 1 trauma center and an academic affiliation with the signatoriesHoward College of theMedicine PLA;and its graduate medical education program.

ENGROSSED“(5) ORIGINAL “(4) The New Hospital Developer shall constructopen athe new,New state-of-the-art,Hospital full-by service,October teaching1, 2026, and researchoperate hospital on or adjacent to the GeorgiaNew Avenue,Hospital N.W.,on campusan ofongoing Howardbasis Universityfor withat aleast leveluntil 1the traumaend centerof and an academic affiliation with the Howardtime Collegeperiod of Medicinethe andtax itsabatement graduateprovided medicalby educationthis program;section.

“(5)“(6) The New Hospital DeveloperOperator shall openendeavor thein Newgood Hospitalfaith byto October 1, 2026, and operate the Newexisting Howard University Hospital located on anthe ongoingRedevelopment basisProperty foron ata leastcontinuous basis until the endNew ofHospital theis timeopen periodon of the taxNew abatementHospital providedProperty. by this section;

and “(6) The New Hospital Operator shall endeavor in good faith to operate the existing Howard University Hospital located on the Redevelopment Property on a continuous basis until the New Hospital is open on the New Hospital Property;

provided, that the foregoing requirement shall not apply during a fiscal year between and including Fiscal Year 2021 and Fiscal Year 2025 when the District does not include in its operating budget at least $3 million in the fiscal year to ENGROSSED ORIGINAL support the centers of excellence;

provided further, that the Mayor and the New Hospital may mutually agree to modify the centers of excellence required by this paragraph;paragraph.

and “(2) The Redevelopment Property Developer shall submit a detailed redevelopment plan for the Redevelopment Property to the Mayor by October 1, 2021, and provide an updated redevelopment plan to the Mayor at least once every 6 months thereafter until the Redevelopment Property is fully redeveloped.

ENROLLED ORIGINAL “(C) A statement that the conditions specified in subsection (e) of this section have been satisfied;

“(2) If at any time the Mayor determines that the Redevelopment Property, or any portion of the Redevelopment Property, has become ineligible for the abatement provided by this section, the Mayor shall notify the Office of Tax and Revenue and specify the date that the ENGROSSED ORIGINAL ineligibility began.

SuchThe Redevelopment Property, or portion of the Redevelopment Property, shall be ineligible for the abatement on the first day of the tax year following the date when ineligibility occurred.

“(h) The exemption provided by this section shall be in addition to, and not in lieu of, any other tax relief or assistance applicable to the Redevelopment Property or Redevelopment Development Developer from any other source permitted under the law.

______________________________ Chairman Council of the District of Columbia _________________________________ Mayor District of Columbia 4