Code of the District of Columbia

Part E. Borrowing.


Subpart 1. Borrowing.

§ 1–204.61. Districts’ authority to issue and redeem general obligation bonds for capital projects.

(a)(1) Subject to the limitations in § 1-206.03(b), the District may incur indebtedness by issuing general obligation bonds to refund indebtedness of the District at any time outstanding, to finance the outstanding accumulated operating deficit of the general fund of the District of $331,589,000, existing as of September 30, 1990, to finance or refund the outstanding accumulated operating deficit of the general fund of the District of $500,000,000, existing as of September 30, 1997, and to provide for the payment of the cost of acquiring or undertaking its various capital projects. Such bonds shall bear interest, payable on such dates, at such rate or rates and at such maturities as the Mayor, subject to the provisions of § 1-204.62, may from time to time determine to be necessary to make such bonds marketable.

(2) The District may not issue any general obligation bonds to finance the operating deficit existing as of September 30, 1990 described in paragraph (1) of this subsection after September 30, 1992.

(b) The District may reserve the right to redeem any or all of its obligations before maturity in such manner and at such price as may be fixed by the Mayor prior to the issuance of such obligations.


(Dec. 24, 1973, 87 Stat. 804, Pub. L. 93-198, title IV, § 461; Dec. 23, 1981, 95 Stat. 1493, Pub. L. 97-105, § 4; Aug. 17, 1991, 105 Stat. 540, Pub. L. 102-106, § 4; Aug. 5, 1997, 111 Stat. 768, Pub. L. 105-33, § 11405.)

Prior Codifications

1981 Ed., § 47-321.

1973 Ed., § 47-241.

Section References

This section is referenced in § 1-204.62, § 1-204.65, § 1-204.67, § 1-204.75, § 1-204.81, § 1-204.82, § 1-204.83, § 47-392.04, § 47-392.24, and § 47-3401.01.

Cross References

Sale of public lands, expenses and proceeds of sale; board of education real property improvement and maintenance fund, see § 10-802.

Taxation and fiscal affairs, intermediate-term advances for liquidation of deficit, see § 47-3401.01.

Emergency Legislation

For temporary (90 day) amendment of section, see § 4(d) of the Redevelopment Land Agency Disposition Review Congressional Review Emergency Act of 2000 (D.C. Act 13-524, January 11, 2001, 48 DCR 624).

For temporary (90 day) authorization for the issuance of general obligation bonds and bond anticipation notes, see § 2 of General Obligation Bond and Bond Anticipation Notes for Fiscal Years 2002-2007 Authorization Emergency Act of 2002 (D.C. Act 14-418, July 17, 2002, 49 DCR 7392).

For temporary (90 day) authorization for the issuance of general obligation bonds and bond anticipation notes, see §§ 2 to 21 of General Obligation Bonds and Bond Anticipation Notes for Fiscal Years 2002-2007 Authorization Congressional Review Emergency Act of 2002 (D.C. Act 14-508, October 23, 2002, 49 DCR 10222).

Editor's Notes

Enactment upon adoption of federal legislation: Section 4 of D.C. Law 11-254 provided that “§§ 47-101, 47-117, 47-130, 47-301, 47-302, 47-303, 47-304, 47-304.1, 47-305, 47-310, 47-312, 47-317.1 through 47-317.6, 47-321 through 47-325, 47-327 through 47-331, and 47-332 through 47-334 of Title 47 §§ 1-204.41, 1-204.55, 1-204.50, 1-204.42, 1-204.43, 1-204.44, 1-204.46, 1-204.53, 1-204.47, 1-204.48, 1-204.49, 1-204.24a through 1-204.24e, 47-317.06, 1-204.61 through 1-204.65, 1-204.71 through 1-204.75, 1-204.81, 1-204.85, 1-204.86 and 1-204.90, 2001 Ed. of the District of Columbia Code shall be enacted as part of Title 47 upon the adoption by Congress of legislation so enacting these sections.”

General Obligation Bond 1996 Issuance Authorization Emergency Resolution of 1996: Pursuant to Resolution 11-545, effective October 1, 1996, the Council approved, on an emergency basis, authorization for the borrowing of funds by the Mayor through the issuance and sale of general obligation bonds.

Effective Date of General Obligation Bond Act of 1998: Section 148 of Pub. L. 105-100, 111 Stat. 2181, the District of Columbia Appropriations Act, 1998, provided that, notwithstanding § 602(c)(1) of the District of Columbia Home Rule Act ( D.C. Code, § 1-206.02(c)(1)), General Obligation Bond Act of 1998 (D.C. Law 12-41), if enacted by the Council of the District of Columbia and approved by the District of Columbia Financial Responsibility and Management Assistance Authority, shall take effect on the date of such approval or the date of the enactment of this Act, whichever is later. Both Pub. L. 105-100 and D.C. Law 12-41 were approved on November 19, 1997.

General obligation bonds authorized: D.C. Law 12-41, effective November 19, 1997, authorized the issuance of general obligation bonds of the District of Columbia for the purpose of financing certain capital projects and the refunding of certain capital indebtedness of the District of Columbia.

General Obligation Bond Issuance 1998 Additional Authorization Emergency Resolution of 1998: Pursuant to Resolution 12-441, effective March 31, 1998, the Council authorized the borrowing of funds by the Mayor through the issuance and sale of general obligation bonds.

General Obligation Bonds Authorized.—D.C. Law 13-22, the “General Obligation Bonds and Bond Anticipation Notes for Fiscal Years 1999-2004 Authorization Act of 1999” authorizes the issuance of general obligation bond anticipation notes of the District of Columbia for the purposes of financing certain capital projects and the refunding of certain capital indebtedness of the District during fiscal years 1999-2004.

Definitions applicable: The definitions in § 1-201.03 apply to this subchapter.

General Obligation Bonds Authorized: D.C. Law 14-214, effective March 25, 2003, authorized the issuance of general obligation bonds and general obligation bond anticipation notes of the District of Columbia for the purposes of financing certain capital projects and the refunding of certain capital indebtedness of the District of Columbia during fiscal years 2002-2007.

General Obligation Bonds Authorized: D.C. Law 16-212, effective March 6, 2007, authorized the issuance of general obligation bonds and general obligation bond anticipation notes of the District of Columbia for the purposes of financing certain capital projects and the refunding of certain capital indebtedness of the District of Columbia during fiscal years 2007-2012.

Delegation of Authority

Delegation of contracting authority, see Mayor’s Order 91-92, June 7, 1991.

Delegation of authority under D.C. Law 9-251, the “General Obligation Bond Act of 1992”, see Mayor’s Order 93-45, April 22, 1993.

Delegation of authority under D.C. Act 11-404, the “General Obligation Bond Act of 1996”, see Mayor’s Order 96-146, October 7,


§ 1–204.62. Contents of borrowing legislation and elections on issuing general obligation bonds.

(a) The Council may by act authorize the issuance of general obligation bonds for the purposes specified in § 1-204.61. Such an Act shall contain, at least, provisions:

(1) Briefly describing the projects or categories of projects to be financed by the Act;

(2) Identifying the act authorizing each such project or category of projects;

(3) Setting forth the maximum amount of the principal of the indebtedness which may be incurred for the projects to be financed;

(4) Setting forth the maximum rate of interest to be paid on such indebtedness;

(5) Setting forth the maximum allowable maturity for the issue and the maximum debt service payable in any year; and

(6) Setting forth, in the event that the Council determines in its discretion to submit the question of issuing such bonds to a vote of the qualified voters of the District, the manner of holding such election, the date of such election, the manner of voting for or against the incurring of such indebtedness, and the form of ballot to be used at such election.

(b) Any election held on the question of issuing general obligation bonds must be held before the act authorizing the issuance of such bonds is transmitted to the Speaker of the House of Representatives and the President of the Senate pursuant to § 1-206.02(c).

(c) Notwithstanding § 1-206.02(c)(1), the provisions required by paragraph (6) of subsection (a) of this section to be included in any act authorizing the issuance of general obligation bonds shall take effect on the date of the enactment of such act.


(Dec. 24, 1973, 87 Stat. 804, Pub. L. 93-198, title IV, § 462; Aug. 29, 1974, 88 Stat. 793, Pub. L. 93-395, § 1(4); Dec. 23, 1981, 95 Stat. 1493, Pub. L. 97-105, § 5; Aug. 5, 1997, 111 Stat. 769, Pub. L. 105-33, § 11503.)

Prior Codifications

1981 Ed., § 47-322.

Section References

This section is referenced in § 1-204.61, § 1-204.63, and § 1-206.02.

Cross References

Council, limitations on authority, see § 1-206.02.

Editor's Notes

Enactment upon adoption of federal legislation: Section 4 of D.C. Law 11-254 provided that “§§ 47-101, 47-117, 47-130, 47-301, 47-302, 47-303, 47-304, 47-304.1, 47-305, 47-310, 47-312, 47-317.1 through 47-317.6, 47-321 through 47-325, 47-327 through 47-331, and 47-332 through 47-334 of Title 47 §§ 1-204.41, 1-204.55, 1-204.50, 1-204.42, 1-204.43, 1-204.44, 1-204.46, 1-204.53, 1-204.47, 1-204.48, 1-204.49, 1-204.24a through 1-204.24e, 47-317.06, 1-204.61 through 1-204.65, 1-204.71 through 1-204.75, 1-204.81, 1-204.85, 1-204.86 and 1-204.90, 2001 Ed. of the District of Columbia Code shall be enacted as part of Title 47 upon the adoption by Congress of legislation so enacting these sections.”


§ 1–204.63. General obligation bonds.

(a) After each act of the Council of the District of Columbia under § 1-204.62(a) authorizing the issuance of general obligation bonds has taken effect, the Mayor shall publish such act at least once in at least 1 newspaper of general circulation within the District together with a notice that such act has taken effect. Each such notice shall be in substantially the following form:

NOTICE
The following act of the Council of the District of Columbia (published with this notice) authorizing the issuance of general obligation bonds has taken effect. As provided in the District of Columbia Home Rule Act, the time within which a suit, action, or proceeding questioning the validity of such bonds may be commenced expires at the end of the 20-day period beginning on the date of the first publication of this notice.

. . . . . . . . . . . . .

Mayor

(b) Neither the failure to publish the notice provided for in subsection (a) of this section nor any error in any publication of such notice shall impair the effectiveness of the act of the Council authorizing the issuance of such bonds or the validity of any bond issued pursuant to such act.


(Dec. 24, 1973, 87 Stat. 804, Pub. L. 93-198, title IV, § 463; Dec. 23, 1981, 95 Stat. 1493, Pub. L. 97-105, § 6.)

Prior Codifications

1981 Ed., § 47-323.

1973 Ed., § 47-243.

Section References

This section is referenced in § 1-204.64.

References in Text

The District of Columbia Self-Government and Governmental Reorganization Act, referred to in this section, is 87 Stat. 774, Pub. L. 93-198, approved December 24, 1973.

Editor's Notes

Enactment upon adoption of federal legislation: Section 4 of D.C. Law 11-254 provided that “§§ 47-101, 47-117, 47-130, 47-301, 47-302, 47-303, 47-304, 47-304.1, 47-305, 47-310, 47-312, 47-317.1 through 47-317.6, 47-321 through 47-325, 47-327 through 47-331, and 47-332 through 47-334 of Title 47 §§ 1-204.41, 1-204.55, 1-204.50, 1-204.42, 1-204.43, 1-204.44, 1-204.46, 1-204.53, 1-204.47, 1-204.48, 1-204.49, 1-204.24a through 1-204.24e, 47-317.06, 1-204.61 through 1-204.65, 1-204.71 through 1-204.75, 1-204.81, 1-204.85, 1-204.86 and 1-204.90, 2001 Ed. of the District of Columbia Code shall be enacted as part of Title 47 upon the adoption by Congress of legislation so enacting these sections.”


§ 1–204.64. Short period of limitation.

(a) At the end of the 20-day period beginning on the date of the first publication pursuant to the notice in § 1-204.63(a) that an act authorizing the issuance of general obligation bonds has taken effect:

(1) Any recital or statement of fact contained in such act or in the preamble or title of such act shall be deemed to be true for the purpose of determining the validity of the bonds authorized by such act, and the District and all others interested shall be estopped from denying any such recital or statement of fact; and

(2) Such act, and all proceedings in connection with the authorization of the issuance of such bonds including any election held on the question of issuing such bonds, shall be deemed to have been duly and regularly taken, passed, and done by the District, in compliance with this chapter and all other applicable laws, for the purpose of determining the validity of such act and proceedings; and no court shall have jurisdiction in any suit, action, or proceeding questioning the validity of such act or proceedings except in a suit, action, or proceeding commenced before the end of such 20-day period.

(b) At the end of the 20-day period beginning on the date of the first publication pursuant to the notice in § 1-204.63(a) that an act authorizing the issuance of general obligation bonds has taken effect, no court shall have jurisdiction in any suit, action, or proceeding questioning the validity of any general obligation bond issued pursuant to such act if:

(1) Such general obligation bond was purchased in good faith and for fair value; and

(2) Such general obligation bond contains substantially the following statement which shall bind the District of Columbia:

“It is hereby certified and recited that all conditions, acts, and things required by the District of Columbia Home Rule Act and other applicable laws to exist, to have happened, and to have been performed precedent to and in the issuance of this bond exist, have happened, and have been performed and that the issue of bonds, of which this is one, together with all other indebtedness of the District of Columbia, is within every debt and other limit prescribed by law.”


(Dec. 24, 1973, 87 Stat. 805, Pub. L. 93-198, title IV, § 464; Aug. 14, 1974, 88 Stat. 458, Pub. L. 93-376, title III, § 306(a); Dec. 23, 1981, 95 Stat. 1493, Pub. L. 97-105, § 7.)

Prior Codifications

1981 Ed., § 47-324.

1973 Ed., § 47-244.

Editor's Notes

Enactment upon adoption of federal legislation: Section 4 of D.C. Law 11-254 provided that “§§ 47-101, 47-117, 47-130, 47-301, 47-302, 47-303, 47-304, 47-304.1, 47-305, 47-310, 47-312, 47-317.1 through 47-317.6, 47-321 through 47-325, 47-327 through 47-331, and 47-332 through 47-334 of Title 47 §§ 1-204.41, 1-204.55, 1-204.50, 1-204.42, 1-204.43, 1-204.44, 1-204.46, 1-204.53, 1-204.47, 1-204.48, 1-204.49, 1-204.24a through 1-204.24e, 47-317.06, 1-204.61 through 1-204.65, 1-204.71 through 1-204.75, 1-204.81, 1-204.85, 1-204.86 and 1-204.90, 2001 Ed. of the District of Columbia Code shall be enacted as part of Title 47 upon the adoption by Congress of legislation so enacting these sections.”


§ 1–204.65. Issuance of general obligation bonds.

(a) After an act of the Council authorizing the issuance of general obligation bonds under § 1-204.61(a) takes effect, the Mayor may issue such general obligation bonds as authorized by such act of the Council. An issue of general obligation bonds may be all or any part of the aggregate principal amount of bonds authorized by such act.

(b) The principal amount of the general obligation bonds of each issue shall be payable in annual installments beginning not more than 3 years after the date of such bonds and ending not more than 30 years after such date.

(c) The general obligation bonds of each issue shall be executed by the manual or facsimile signature of such officials as may be designated to sign such bonds by the act of the Council authorizing the issuance of the bonds, except that at least 1 such signature shall be manual. Coupons attached to the bonds shall be authenticated by the facsimile signature of the Mayor unless the Council provides otherwise.


(Dec. 24, 1973, 87 Stat. 805, Pub. L. 93-198, title IV, § 465; Aug. 29, 1974, 88 Stat. 793, Pub. L. 93-395, § 1(5); Dec. 23, 1981, 95 Stat. 1493, Pub. L. 97-105, § 8.)

Prior Codifications

1981 Ed., § 47-325.

1973 Ed., § 47-245.


§ 1–204.66. Public or private sale.

General obligation bonds issued under this part may be sold at a private sale on a negotiated basis (in such manner as the Mayor may determine to be in the public interest), or may be sold at public sale upon sealed proposals after publication of a notice of such public sale at least once not less than 10 days prior to the date fixed for sale in a daily newspaper carrying municipal bond notices and devoted primarily to financial news or to the subject of State and municipal bonds published in the city of New York, New York, and in one or more newspapers of general circulation published in the District. Such notice of public sale shall state, among other things, that no proposal shall be considered unless there is deposited with the District as a down payment a certified check, cashier’s check, or surety for an amount equal to at least 2% of the par amount of general obligation bonds bid for, and the Mayor shall reserve the right to reject any and all bids.


(Dec. 24, 1973, 87 Stat. 806, Pub. L. 93-198, title IV, § 466; Aug. 29, 1974, 88 Stat. 793, Pub. L. 93-395, § 1(6); Dec. 23, 1981, 95 Stat. 1493, Pub. L. 97-105, § 9; Oct. 12, 1984, 98 Stat. 1974, Pub. L. 98-473, § 131(a); Dec. 19, 1985, 99 Stat. 1185, Pub. L. 99-190, § 101(c); Oct. 30, 1986, 100 Stat. 3341-180, Pub. L. 99-591, § 131; Dec. 22, 1987, 101 Stat. 1329, Pub. L. 100-202, § 1(c); Nov. 21, 1989, 103 Stat. 1280, Pub. L. 101-168, § 129; Nov. 5, 1990, 104 Stat. 2237, Pub. L. 101-518, § 129; Oct. 1, 1991, 105 Stat. 569, Pub. L. 102-111, § 125; Oct. 5, 1992, 106 Stat. 1433, Pub. L. 102-382, § 125; Oct. 29, 1993, 107 Stat. 1347, Pub. L. 103-127, § 124; Sept. 30, 1994, 108 Stat. 2586, Pub. L. 103-334, § 124; Aug. 5, 1997, 111 Stat. 769, Pub. L. 105-33, § 11504.)

Prior Codifications

1981 Ed., § 47-326.

1973 Ed., § 47-246.

Editor's Notes

Applicability of amendments: Section 131(k) of Public Law 98-473 provided that amendments made by this section shall not be applicable with respect to any law which was passed by the Council prior to the date of enactment of this act, and such laws are deemed valid, in accordance with the provisions thereof notwithstanding such amendments, and any previous act of the Council which had been disapproved by the Congress pursuant to section 602(c)(1) or section 602(c)(2) is deemed null and void. Public Law 98-473 was approved October 12, 1984.

Effective period of § 131 of Public Law 98-473: Section 131(n) of Public Law 98-473 provided that the provisions of this section shall be effective hereafter without limitation as to fiscal year, notwithstanding any other provision of the joint resolution. Public Law 98-473 was approved October 12, 1984.

Enactment upon adoption of federal legislation: Section 4 of D.C. Law 11-254 provided that “§§ 47-101, 47-117, 47-130, 47-301, 47-302, 47-303, 47-304, 47-304.1, 47-305, 47-310, 47-312, 47-317.1 through 47-317.6, 47-321 through 47-325, 47-327 through 47-331, and 47-332 through 47-334 of Title 47 §§ 1-204.41, 1-204.55, 1-204.50, 1-204.42, 1-204.43, 1-204.44, 1-204.46, 1-204.53, 1-204.47, 1-204.48, 1-204.49, 1-204.24a through 1-204.24e, 47-317.06, 1-204.61 through 1-204.65, 1-204.71 through 1-204.75, 1-204.81, 1-204.85, 1-204.86 and 1-204.90, 2001 Ed. of the District of Columbia Code shall be enacted as part of Title 47 upon the adoption by Congress of legislation so enacting these sections.”


§ 1–204.67. Authority to create security interests in District revenues.

(a) In general. — An act of the Council authorizing the issuance of general obligation bonds or notes under § 1-204.61(a), § 1-204.71(a), § 1-204.72(a), or § 1-204.75(a) may create a security interest in any District revenues as additional security for the payment of the bonds or notes authorized by such act.

(b) Contents of acts. — Any such act creating a security interest in District revenues may contain provisions (which may be part of the contract with the holders of such bonds or notes):

(1) Describing the particular District revenues which are subject to such security interest;

(2) Creating a reasonably required debt service reserve fund or any other special fund;

(3) Authorizing the Mayor of the District to execute a trust indenture securing the bonds or notes;

(4) Vesting in the trustee under such a trust indenture such properties, rights, powers, and duties in trust as may be necessary, convenient, or desirable;

(5) Authorizing the Mayor of the District to enter into and amend agreements concerning:

(A) The custody, collection, use, disposition, security, investment, and payment of the proceeds of the bonds or notes and the District revenues which are subject to such security interest; and

(B) The doing of any act (or the refraining from doing any act) that the District would have the right to do in the absence of such an agreement;

(6) Prescribing the remedies of the holders of the bonds or notes in the event of a default; and

(7) Authorizing the Mayor to take any other actions in connection with the issuance, sale, delivery, security, and payment of the bonds or notes.

(c) Timing and perfection of security interests. — Notwithstanding Article 9 of Title 28 of the District of Columbia Code, any security interest in District revenues created under subsection (a) of this section shall be valid, binding, and perfected from the time such security interest is created, with or without the physical delivery of any funds or any other property and with or without any further action. Such security interest shall be valid, binding, and perfected whether or not any statement, document, or instrument relating to such security interest is recorded or filed. The lien created by such security interest is valid, binding, and perfected with respect to any individual or legal entity having claims against the District, whether or not such individual or legal entity has notice of such lien.

(d) Obligations and expenditures not subject to appropriation. — Section 1-204.46(c) shall not apply to any obligation or expenditure of any District revenues to secure any general obligation bond or note under subsection (a) of this section.


(Dec. 24, 1973, 87 Stat. 806, Pub. L. 93-198, title IV, § 467; as added Dec. 23, 1981, 95 Stat. 1496, Pub. L. 97-105, § 10; enacted, Apr. 9, 1997, D.C. Law 11-254, § 2, 44 DCR 1575; Aug. 5, 1997, 111 Stat. 770, Pub. L. 105-33, § 11505; July 25, 2013, D.C. Law 19-321, § 2(h), 60 DCR 1724.)

Prior Codifications

1981 Ed., § 47-326.1.

Section References

This section is referenced in § 1-204.46 and § 1-204.48.

Effect of Amendments

D.C. Law 19-321 substituted “ Section 1-204.46(c)” for “The fourth sentence of § 1-204.46” in (d).

Effective Dates

Section 5 of D.C. Law 19-321 provided that the act shall take effect as provided in § 1-203.03.

Editor's Notes

Request for Congressional action: Pursuant to § 501(a) of D.C. Law 10-188, the Council for the District of Columbia requested that Congress amend subsection (d), § 467(d) of the District of Columbia Self-Government and Governmental Reorganization Act, to read as follows:

“(d) The fourth sentence of § 47-304 (§ 1-204.46, 2001 Ed.) shall not apply to any obligation or expenditure of any District revenues to secure any general obligation bond under subsection (a) of this section or any revenue bond or other obligation under subsection (a-1) of this section or for repair, maintenance, and capital improvements. Other operating obligations or expenditures shall not be exempt from the fourth sentence of § 47-304 (§ 1-204.46, 2001 Ed.), except that if the operating obligations or expenditures are incurred prior to October 1, 1995, they shall be approved pursuant to the procedures set forth in § 47-304.1 (§ 1-204.53, 2001 Ed.).”

Applicability of D.C. Law 19-321: Section 3 of D.C. Law 19-321 provided that section 2 of the act shall apply as of January 1, 2014.

D.C. Law 19-321 was declared invalid by the United States District Court for the District of Columbia in a memorandum opinion dated May 19, 2014, Civil Action No. 2014-0655. The court held that although the Council of the District of Columbia, the Mayor, and United States District Court for the District of Columbia are powerless to grant to the residents of the District of Columbia full budget autonomy, the United States Congress and the President of the United States are empowered to do so; and concluded that the Budget Autonomy Act was unlawful. See Council of the Dist. of Columbia v. Gray, 42 F. Supp. 3d 134, 2014 U.S. Dist. LEXIS 68055 (2014).

On May 27, 2015, the United States Court of Appeals for the District of Columbia Circuit issued Order No. 14-7067, vacating the lower court’s judgment, dismissing the appeal, and remanding the case to the District Court with instructions to remand the case to the Superior Court of the District of Columbia. See Council of the Dist. of Columbia v. Bowser, 2015 U.S. App. LEXIS 8881 (2015). The amendments contained in D.C. Law 19-321 are codified in this section.


Subpart 2. Short-Term Borrowing.

§ 1–204.71. Borrowing to meet appropriations.

(a) In the absence of unappropriated revenues available to meet appropriations made pursuant to § 1-204.46, the Council may by act authorize the issuance of general obligation notes. The total amount of all such general obligation notes originally issued during a fiscal year shall not exceed 2% of the total appropriations for the District for such fiscal year.

(b) Any general obligation note issued under subsection (a) of this section, as authorized by an act of the Council, may be renewed. Any such note, including any renewal of such note, shall be due and payable not later than the last day of the fiscal year occurring immediately after the fiscal year during which the act authorizing the original issuance of such note takes effect.

(c) Section 1-204.46(c) shall not apply to any amount obligated or expended by the District for the payment of the principal of, interest on, or redemption premium for any general obligation note issued under subsection (a) of this section.


(Dec. 24, 1973, 87 Stat. 806, Pub. L. 93-198, title VII, § 471; Aug. 29, 1974, 88 Stat. 793, Pub. L. 93-395, § 1(8); July 25, 2013, D.C. Law 19-321, § 2(h), 60 DCR 1724.)

Prior Codifications

1981 Ed., § 47-327.

1973 Ed., § 47-247.

Section References

This section is referenced in § 1-204.46, § 1-204.67, § 1-204.82, § 1-204.83, and § 42-2704.02.

Effect of Amendments

D.C. Law 19-321 substituted “ Section 1-204.46(c)” for “The fourth sentence of § 1-204.46” in (c).

Cross References

Housing finance agency, agency bonds and notes, obligations, see § 42-2704.02.

Effective Dates

Section 5 of D.C. Law 19-321 provided that the act shall take effect as provided in § 1-203.03.

Editor's Notes

Enactment upon adoption of federal legislation: Section 4 of D.C. Law 11-254 provided that “§§ 47-101, 47-117, 47-130, 47-301, 47-302, 47-303, 47-304, 47-304.1, 47-305, 47-310, 47-312, 47-317.1 through 47-317.6, 47-321 through 47-325, 47-327 through 47-331, and 47-332 through 47-334 of Title 47 §§ 1-204.41, 1-204.55, 1-204.50, 1-204.42, 1-204.43, 1-204.44, 1-204.46, 1-204.53, 1-204.47, 1-204.48, 1-204.49, 1-204.24a through 1-204.24e, 47-317.06, 1-204.61 through 1-204.65, 1-204.71 through 1-204.75, 1-204.81, 1-204.85, 1-204.86 and 1-204.90, 2001 Ed. of the District of Columbia Code shall be enacted as part of Title 47 upon the adoption by Congress of legislation so enacting these sections.”

General obligation notes authorized: D.C. Law 12-1, effective May 7, 1997, authorized the issuance of general obligation notes of the District of Columbia for the purpose of financing certain appropriations for which unappropriated revenues are not available.

Applicability of D.C. Law 19-321: Section 3 of D.C. Law 19-321 provided that section 2 of the act shall apply as of January 1, 2014.

D.C. Law 19-321 was declared invalid by the United States District Court for the District of Columbia in a memorandum opinion dated May 19, 2014, Civil Action No. 2014-0655. The court held that although the Council of the District of Columbia, the Mayor, and United States District Court for the District of Columbia are powerless to grant to the residents of the District of Columbia full budget autonomy, the United States Congress and the President of the United States are empowered to do so; and concluded that the Budget Autonomy Act was unlawful. See Council of the Dist. of Columbia v. Gray, 42 F. Supp. 3d 134, 2014 U.S. Dist. LEXIS 68055 (2014).

On May 27, 2015, the United States Court of Appeals for the District of Columbia Circuit issued Order No. 14-7067, vacating the lower court’s judgment, dismissing the appeal, and remanding the case to the District Court with instructions to remand the case to the Superior Court of the District of Columbia. See Council of the Dist. of Columbia v. Bowser, 2015 U.S. App. LEXIS 8881 (2015). The amendments contained in D.C. Law 19-321 are codified in this section.

Delegation of Authority

Delegation of authority under D.C. Law 8-217, the “General Obligation Bond Act of 1990.”, see Mayor’s Order 91-79, May 14, 1991.

Delegation of authority under D.C. Law 9-46, the “General Fund Recovery Act of 1991.”, see Mayor’s Order 91-147, October 4, 1991.


§ 1–204.72. Borrowing in anticipation of revenues.

(a) In general. — In anticipation of the collection or receipt of revenues for a fiscal year, the Council may by act authorize the issuance of general obligation notes for such fiscal year, to be known as revenue anticipation notes.

(b) Limit on aggregate notes outstanding. — The total amount of all revenue anticipation notes issued under subsection (a) of this section outstanding at any time during a fiscal year shall not exceed 20% of the total anticipated revenue of the District for such fiscal year, as certified by the Mayor under this subsection. The Mayor shall certify, as of a date which occurs not more than 15 days before each original issuance of such revenue anticipation notes, the total anticipated revenue of the District for such fiscal year.

(c) Permitted outstanding duration. — Any revenue anticipation note issued under subsection (a) of this section may be renewed. Any such note, including any renewal note, shall be due and payable not later than the last day of the fiscal year during which the note was originally issued.

(d) Effective date of authorization acts; payments not subject to appropriation. —

(1) Effective date. — Notwithstanding § 1-206.02(c)(1), any act of the Council authorizing the issuance of revenue anticipation notes under subsection (a) of this section shall take effect:

(A) if such act is enacted during a control year (as defined in § 47-393(4)), on the date of approval by the District of Columbia Financial Responsibility and Management Assistance Authority; or

(B) if such act is enacted during any other year, on the date of enactment of such act.

(2) Payments not subject to appropriation. — Section 1-204.46(c) shall not apply to any amount obligated or expended by the District for the payment of the principal of, interest on, or redemption premium for any revenue anticipation note issued under subsection (a) of this section.


(Dec. 24, 1973, 87 Stat. 806, Pub. L. 93-198, title IV, § 472; Dec. 23, 1981, 95 Stat. 1493, Pub. L. 97-105, § 12; Aug. 5, 1997, 111 Stat. 771, Pub. L. 105-33, § 11506; July 25, 2013, D.C. Law 19-321, § 2(h), 60 DCR 1724.)

Prior Codifications

1981 Ed., § 47-328.

1973 Ed., § 47-248.

Section References

This section is referenced in § 1-204.46, § 1-204.67, § 1-204.82, § 1-204.83, and § 1-206.02.

Effect of Amendments

D.C. Law 19-321 substituted “ Section 1-204.46(c)” for “The fourth sentence of § 1-204.46” in (d)(2).

Cross References

Council, limitations on authority, see § 1-206.02.

Emergency Legislation

For temporary authorization, on an emergency basis, the issuance of District of Columbia general obligation tax revenue anticipation notes of the District of Columbia to finance general governmental expenses for the fiscal year ending September 30, 1996, see § 2-15 and 17 of the Tax Revenue Anticipation Notes Emergency Act of 1996 (D.C. Act 11-301, July 15, 1996, 43 DCR 4169).

For emergency authorization of the issuance of District of Columbia general obligation tax revenue anticipation notes to finance general governmental expenses for the fiscal year ending September 30, 1999, see §§ 2-15 of the Fiscal Year 1999 Tax Revenue Anticipation Notes Emergency Act of 1998 (D.C. Act 12-433, July 29, 1998, 45 DCR 5734), §§ 2-15 of the Fiscal Year 1999 Tax Revenue Anticipation Notes Second Emergency Act of 1998 (D.C. Act 12-498, October 27, 1998, 45 DCR 8038, and §§ 2-15 of the Fiscal Year 1999 Tax Revenue Anticipation Notes of Congressional Review Emergency Act of 1999 (D.C. Act 13-7, February 8, 1999, 46 DCR 2301).

D.C. Act 12-75 authorized, on an emergency basis, the issuance of District of Columbia general obligation tax revenue anticipation notes of the District of Columbia to finance general governmental expenses for the fiscal year ending September 30,

Temporary Legislation

For temporary (225 day) authorization of the issuance of District of Columbia general obligation tax revenue anticipation notes, see §§ 2 to 17 of Fiscal Year 2004 Tax Revenue Anticipation Notes Temporary Act of 2003 (D.C. Law 15-41, November 26, 2003, law notification 50 DCR 10699).

For temporary (225 day) authorization of the issuance of District of Columbia general obligation tax revenue anticipation notes, see §§ 2 to 17 of Fiscal Year 2005 Tax Revenue Anticipation Notes Temporary Act of 2004 (D.C. Act 15-639, November 30, 2004, law notification 52 DCR 1228).

Effective Dates

Section 5 of D.C. Law 19-321 provided that the act shall take effect as provided in § 1-203.03.

Editor's Notes

D.C. Act 10-227, effective April 22, 1994, authorized the issuance of District of Columbia general obligation tax revenue anticipation notes of the District of Columbia to finance general governmental expenses for the fiscal year ending September 30, 1994.

D.C. Act 11-373, effective August 5, 1996, authorized the issuance of District of Columbia general obligation tax revenue anticipation notes of the District of Columbia to finance general governmental expenses for the fiscal year ending September 30, 1996.

D.C. Act 14-386, effective June 21, 2002, authorized the issuance of District of Columbia general obligation tax revenue anticipation notes of the District of Columbia to finance general governmental expenses for the fiscal year ending September 30, 2002.

D.C. Act 14-481, effective October 23, 2002, authorized the issuance of general obligation tax revenue anticipation notes of the District of Columbia to finance general governmental expenses for fiscal year ending September 30, 2003.

D.C. Act 15-382, effective February 27, 2004, authorized the issuance of general obligation tax revenue anticipation notes of the District of Columbia to finance general governmental expenses for fiscal year ending September 30, 2004.

D.C. Act 15-695, effective December 29, 2004, authorized the issuance of general obligation tax revenue anticipation notes of the District of Columbia to finance general governmental expenses for fiscal year ending September 30, 2005.

D.C. Act 16-211, effective November 28, 2005, authorized the issuance of general obligation tax revenue anticipation notes of the District of Columbia to finance general governmental expenses for fiscal year ending September 30, 2006.

D.C. Act 16-538, effective December 4, 2006, authorized the issuance of general obligation tax revenue anticipation notes of the District of Columbia to finance general governmental expenses for fiscal year ending September 30, 2007.

D.C. Act 17-209, effective November 27, 2007, authorized the issuance of general obligation tax revenue anticipation notes of the District of Columbia to finance general governmental expenses for fiscal year ending September 30, 2008.

D.C. Act 18-557, effective October 7, 2010, authorized the issuance of general obligation tax revenue anticipation notes of the District of Columbia to finance general governmental expenses for fiscal year ending September 30, 2010.

D.C. Act 18-560, effective October 12, 2010, authorized the issuance of general obligation tax revenue anticipation notes of the District of Columbia to finance general governmental expenses for fiscal year ending September 30, 2011.

Enactment upon adoption of federal legislation: Section 4 of D.C. Law 11-254 provided that ‘§§ 47-101, 47-117, 47-130, 47-301, 47-302, 47-303, 47-304, 47-304.1, 47-305, 47-310, 47-312, 47-317.1 through 47-317.6, 47-321 through 47-325, 47-327 through 47-331, and 47-332 through 47-334 of Title 47 [§§ 1-204.41, 1-204.55, 1-204.50, 1-204.42, 1-204.43, 1-204.44, 1-204.46, 1-204.53, 1-204.47, 1-204.48, 1-204.49, 1-204.24a through 1-204.24e, 47-317.06, 1-204.61 through 1-204.65, 1-204.71 through 1-204.75, 1-204.81, 1-204.85, 1-204.86 and 1-204.90, 2001 Ed.] of the District of Columbia Code shall be enacted as part of Title 47 upon the adoption by Congress of legislation so enacting these sections.’

D.C. Act 19-449, 59 DCR 11081, the “Fiscal Year 2013 Tax Revenue Anticipation Notes Act of 2012” authorized the issuance of additional District of Columbia general obligation tax revenue anticipation notes to finance general governmental expenses for the fiscal year ending September 30, 2013.

Applicability of D.C. Law 19-321: Section 3 of D.C. Law 19-321 provided that section 2 of the act shall apply as of January 1, 2014.

D.C. Law 19-321 was declared invalid by the United States District Court for the District of Columbia in a memorandum opinion dated May 19, 2014, Civil Action No. 2014-0655. The court held that although the Council of the District of Columbia, the Mayor, and United States District Court for the District of Columbia are powerless to grant to the residents of the District of Columbia full budget autonomy, the United States Congress and the President of the United States are empowered to do so; and concluded that the Budget Autonomy Act was unlawful. See Council of the Dist. of Columbia v. Gray, 42 F. Supp. 3d 134, 2014 U.S. Dist. LEXIS 68055 (2014).

On May 27, 2015, the United States Court of Appeals for the District of Columbia Circuit issued Order No. 14-7067, vacating the lower court’s judgment, dismissing the appeal, and remanding the case to the District Court with instructions to remand the case to the Superior Court of the District of Columbia. See Council of the Dist. of Columbia v. Bowser, 2015 U.S. App. LEXIS 8881 (2015). The amendments contained in D.C. Law 19-321 are codified in this section.

D.C. Act 20-504, enacted Dec. 8, 2014, authorized the issuance of general obligation tax revenue anticipation notes of the District of Columbia to finance general governmental expenses for fiscal year ending September 30, 2015.

D.C. Act 21-196, 62 DCR 14690, the Fiscal Year 2016 Tax Revenue Anticipation Notes Act of 205, authorized the issuance of District of Columbia general obligation tax revenue anticipation notes to finance general governmental expenses for the fiscal year ending September 30, 2016.

Delegation of Authority

Delegation of authority under D.C. Act 8-246, the “Tax Revenue Anticipation Notes Act of 1990”, see Mayor’s Order 90-118, September 27, 1990.

Delegation of contracting authority, see Mayor’s Order 91-92, June 7, 1991.

Delegation of authority under D.C. Law 9-46, the “General Fund Recovery Act of 1991”, see Mayor’s Order 91-147, October 4, 1991.

Delegation of authority pursuant to D.C. Act 10-227, the Tax Revenue Anticipation Notes Act of 1994, see Mayor’s Order 94-104, April 29, 1994 ( 41 DCR 2535).

Delegation of authority under D.C. Law 10-364, the “Second Tax Revenue Anticipations Notes Act of 1994”, see Mayor’s Order 94-266, December 29, 1994.

Delegation of authority under D.C. Act 11-301, the “Tax Revenue Anticipation Notes Emergency Act of 1996”, see Mayor’s Order 96-107, July 25, 1996 ( 43 DCR 4321).

Delegation of authority under D.C. Act 12-75, the “Tax Revenue Anticipation Notes Emergency Act of 1997” (“the TRANs Act”), see Mayor’s Order 97-123, June 27, 1997 ( 44 DCR 4143).

Delegation of authority under D.C. Act 12-153, the “Fiscal Year 1998 Tax Revenue Anticipation Notes Emergency Act of 1997” (“the TRANs Act”), see Mayor’s Order 97-175, September 30, 1997 ( 44 DCR 5870).

Delegation of authority pursuant to D.C. Act 12-498, the “Fiscal Year 1999 Tax Revenue Anticipation Notes Second Emergency Act of 1998”, see Mayor’s Order 98-173, November 5, 1998 ( 45 DCR 8200).


§ 1–204.73. Notes redeemable prior to maturity.

No notes issued pursuant to this part shall be made payable on demand, but any note may be made subject to redemption prior to maturity on such notice and at such time as may be stated in the note.


(Dec. 24, 1973, 87 Stat. 806, Pub. L. 93-198, title IV, § 473.)

Prior Codifications

1981 Ed., § 47-329.

1973 Ed., § 47-249.

References in Text

“This part,” referred to in this section, refers to part E (comprising of §§ 461 to 490) of title IV of the District of Columbia Self-Government and Governmental Reorganization Act, approved December 24, 1973, 88 Stat. 804-809, Pub. L. 93-198, codified as §§ 1-204.89, 1-204.88, 1-204.87, and 1-204.61 to 1-204.90.

Editor's Notes

Enactment upon adoption of federal legislation: Section 4 of D.C. Law 11-254 provided that “§§ 47-101, 47-117, 47-130, 47-301, 47-302, 47-303, 47-304, 47-304.1, 47-305, 47-310, 47-312, 47-317.1 through 47-317.6, 47-321 through 47-325, 47-327 through 47-331, and 47-332 through 47-334 of Title 47 §§ 1-204.41, 1-204.55, 1-204.50, 1-204.42, 1-204.43, 1-204.44, 1-204.46, 1-204.53, 1-204.47, 1-204.48, 1-204.49, 1-204.24a through 1-204.24e, 47-317.06, 1-204.61 through 1-204.65, 1-204.71 through 1-204.75, 1-204.81, 1-204.85, 1-204.86 and 1-204.90, 2001 Ed. of the District of Columbia Code shall be enacted as part of Title 47 upon the adoption by Congress of legislation so enacting these sections.”


§ 1–204.74. Sales of notes.

All notes issued pursuant to this part may be sold at not less than par and accrued interest at private sale without previous advertising.


(Dec. 24, 1973, 87 Stat. 806, Pub. L. 93-198, title IV, § 474.)

Prior Codifications

1981 Ed., § 47-330.

1973 Ed., § 47-250.


§ 1–204.75. Bond anticipation notes.

(a) Authorizing issuance. —

(1) In general. — In anticipation of the issuance of general obligation bonds, the Council may by act authorize the issuance of general obligation notes to be known as bond anticipation notes in accordance with this section.

(2) Purposes; permitting issuance of general obligation bonds to cover indebtedness. — The proceeds of bond anticipation notes issued under this section shall be used for the purposes for which general obligation bonds may be issued under § 1-204.61, and such notes shall constitute indebtedness which may be refunded through the issuance of general obligation bonds under such section.

(b) Maximum annual debt service amount. — The act of the Council authorizing the issuance of bond anticipation notes shall set forth for the bonds anticipated by such notes an estimated maximum annual debt service amount based on an estimated schedule of annual principal payments and an estimated schedule of annual interest payments (based on an estimated maximum average annual interest rate for such bonds over a period of 30 years from the earlier of the date of issuance of the notes or the date of original issuance of prior notes in anticipation of those bonds). Such estimated maximum annual debt service amount as estimated at the time of issuance of the original bond anticipation notes shall be included in the calculation required by § 1-206.03(b) while such notes or renewal notes are outstanding.

(c) Permitted outstanding duration. — Any bond anticipation note, including any renewal note, shall be due and payable not later than the last day of the third fiscal year following the fiscal year during which the note was originally issued.

(d) General authority of Council. — If provided for in [an] Act of the Council authorizing such an issue of bond anticipation notes, bond anticipation notes may be issued in succession, in such amounts, at such times, and bearing interest rates within the permitted maximum authorized by such Act.

(e) Effective date of authorization acts; payments not subject to appropriation. —

(1) Effective date. — Notwithstanding § 1-206.02(c)(1), any act of the Council authorizing the renewal of bond anticipation notes under subsection (c) [subsection (d)] or the issuance of general obligation bonds under § 1-204.61(a) to refund any bond anticipation notes shall take effect —

(A) if such act is enacted during a control year (as defined in § 47-393(4)), on the date of approval by the District of Columbia Financial Responsibility and Management Assistance Authority; or

(B) if such act is enacted during any other year, on the date of enactment of such act.

(2) Payment not subject to appropriation. — Section 1-204.46(c) shall not apply to any amount obligated or expended by the District for the payment of the principal of, interest on, or redemption premium for any bond anticipation note issued under this section.


(Dec. 24, 1973, 87 Stat. 806, Pub. L. 93-198, title IV, § 475; as added Aug. 5, 1997, 111 Stat. 771, Pub. L. 105-33, § 11507(a); July 25, 2013, D.C. Law 19-321, § 2(h), 60 DCR 1724.)

Prior Codifications

1981 Ed., § 47-330.1.

Section References

This section is referenced in § 1-204.46, § 1-204.67, and § 47-340.30.

Effect of Amendments

D.C. Law 19-321 substituted “ Section 1-204.46(c)” for “The fourth sentence of § 1-204.46” in (e)(2).

Emergency Legislation

For temporary (90 day) authorization for the issuance of general obligation bonds and bond anticipation notes, see § 2 of General Obligation Bond and Bond Anticipation Notes for Fiscal Years 2002-2007 Authorization Emergency Act of 2002 (D.C. Act 14-418, July 17, 2002, 49 DCR 7392).

Effective Dates

Section 11721 of Title XI of Pub. L. 105-33, 111 Stat. 786, the National Capital Revitalization and Self-Government Improvement Act of 1997, provided that except as otherwise provided in this title, the provisions of this title shall take effect on the later of October 1, 1997, or the day the District of Columbia Financial Responsibility and Management Assistance Authority certifies that the financial plan and budget for the District government for fiscal year 1998 meet the requirements of section 201(c)(1) of the District of Columbia Financial Responsibility and Management Assistance Act of 1995, as amended by this title.

Section 5 of D.C. Law 19-321 provided that the act shall take effect as provided in § 1-203.03.

Editor's Notes

General Obligation Bonds Authorized: D.C. Law 14-214, effective March 25, 2003, authorized the issuance of general obligation bonds and general obligation bond anticipation notes of the District of Columbia for the purposes of financing certain capital projects and the refunding of certain capital indebtedness of the District of Columbia during fiscal years 2002-2007.

Applicability of D.C. Law 19-321: Section 3 of D.C. Law 19-321 provided that section 2 of the act shall apply as of January 1, 2014.

D.C. Law 19-321 was declared invalid by the United States District Court for the District of Columbia in a memorandum opinion dated May 19, 2014, Civil Action No. 2014-0655. The court held that although the Council of the District of Columbia, the Mayor, and United States District Court for the District of Columbia are powerless to grant to the residents of the District of Columbia full budget autonomy, the United States Congress and the President of the United States are empowered to do so; and concluded that the Budget Autonomy Act was unlawful. See Council of the Dist. of Columbia v. Gray, 42 F. Supp. 3d 134, 2014 U.S. Dist. LEXIS 68055 (2014).

On May 27, 2015, the United States Court of Appeals for the District of Columbia Circuit issued Order No. 14-7067, vacating the lower court’s judgment, dismissing the appeal, and remanding the case to the District Court with instructions to remand the case to the Superior Court of the District of Columbia. See Council of the Dist. of Columbia v. Bowser, 2015 U.S. App. LEXIS 8881 (2015). The amendments contained in D.C. Law 19-321 are codified in this section.


Subpart 3. Payment of Bonds and Notes.

§ 1–204.81. Special tax.

(a) Any act of the Council authorizing the issuance of general obligation bonds under § 1-204.61(a) shall provide for the annual levy of a special tax or charge, if the Council determines that such tax or charge is necessary. Such tax or charge shall be levied, without limitation as to rate or amount, in amounts which together with other District revenues available and applicable will be sufficient to pay the principal of and interest on such general obligation bonds as they become due and payable. Such tax or charge shall be levied and collected at the same time and in the same manner as other District taxes are levied and collected, and when collected shall be set aside in a separate debt service fund and irrevocably dedicated to the payment of such principal and interest.

(b) The Comptroller General of the United States shall make annual audits of the amounts set aside and deposited in each debt service fund pursuant to subsection (a) of this section.


(Dec. 24, 1973, 87 Stat. 807, Pub. L. 93-198, title IV, § 481; Dec. 23, 1981, 95 Stat. 1498, Pub. L. 97-105, § 13.)

Prior Codifications

1981 Ed., § 47-331.

1973 Ed., § 47-251.

Section References

This section is referenced in § 1-204.83, § 1-204.90, § 2-1217.01, § 2-1217.33a, § 2-1217.34a, § 2-1217.71, § 2-1217.102, § 10-1221.01, § 47-1002, § 47-4611, and § 47-4616.

Cross References

National capital revitalization corporation, “available real property tax revenue,” defined, see § 2-1219.01.

National capital revitalization corporation, redevelopment districts, allocation of tax increment revenues, see § 2-1219.21.

Tax increment financing authorization, “available real property tax revenue,” defined, see § 2-1217.01.

Editor's Notes

Enactment upon adoption of federal legislation: Section 4 of D.C. Law 11-254 provided that “§§ 47-101, 47-117, 47-130, 47-301, 47-302, 47-303, 47-304, 47-304.1, 47-305, 47-310, 47-312, 47-317.1 through 47-317.6, 47-321 through 47-325, 47-327 through 47-331, and 47-332 through 47-334 of Title 47 §§ 1-204.41, 1-204.55, 1-204.50, 1-204.42, 1-204.43, 1-204.44, 1-204.46, 1-204.53, 1-204.47, 1-204.48, 1-204.49, 1-204.24a through 1-204.24e, 47-317.06, 1-204.61 through 1-204.65, 1-204.71 through 1-204.75, 1-204.81, 1-204.85, 1-204.86 and 1-204.90, 2001 Ed. of the District of Columbia Code shall be enacted as part of Title 47 upon the adoption by Congress of legislation so enacting these sections.”

Delegation of Authority

Delegation of authority under D.C. Act 8-246, the “Tax Revenue Anticipation Notes Act of 1990.”, see Mayor’s Order 90-118, September 27, 1990.

Delegation of authority under D.C. Law 9-46, the “General Fund Recovery Act of 1991.”, see Mayor’s Order 91-147, October 4, 1991.


§ 1–204.82. Full faith and credit of the District.

The full faith and credit of the District is pledged for the payment of the principal of and interest on any general obligation bond or note issued under § 1-204.61(a), § 1-204.71(a), or § 1-204.72(a), whether or not such pledge is stated in such bond or note or in the act authorizing the issuance of such bond or note.


(Dec. 24, 1973, 87 Stat. 807, Pub. L. 93-198, title IV, § 482; as added Dec. 23, 1981, 95 Stat. 1498, Pub. L. 97-105, § 14.)

Prior Codifications

1981 Ed., § 47-331.1.

Section References

This section is referenced in § 47-340.31.

Delegation of Authority

Delegation of authority under D.C. Act 8-246, the “Tax Revenue Anticipation Notes Act of 1990.”, see Mayor’s Order 90-118, September 27, 1990.

Delegation of authority under D.C. Law 9-46, the “General Fund Recovery Act of 1991.”, see Mayor’s Order 91-147, October 4, 1991.


§ 1–204.83. Payment of the general obligation bonds and notes.

(a) The Council shall provide in each annual budget for the District of Columbia government for a fiscal year adopted by the Council pursuant to § 1-204.46 sufficient funds to pay the principal of and interest on all general obligation bonds or notes issued under § 1-204.61(a), § 1-204.71(a), or § 1-204.72(a) becoming due and payable during such fiscal year.

(b) The Mayor shall insure that the principal of and interest on all general obligation bonds and notes issued under § 1-204.61(a), § 1-204.71(a), or § 1-204.72(a) are paid when due, including by paying such principal and interest from funds not otherwise legally committed.

(c) Repealed.

(d) Section 1-204.46(c) shall not apply to:

(1) Any amount set aside in a debt service fund under § 1-204.81(a);

(2) Any amount obligated or expended for the payment of the principal of, interest on, or redemption premium for any general obligation bond or note issued under § 1-204.61(a), § 1-204.71(a), or § 1-204.72(a);

(3) Any amount obligated or expended as provided by the Council in any annual budget for the District of Columbia government pursuant to subsection (a) of this section or as provided by any amendment or supplement to such budget; or

(4) Any amount obligated or expended by the Mayor pursuant to subsection (b) or (c) [(c) repealed] of this section.


(Dec. 24, 1973, 87 Stat. 807, Pub. L. 93-198, title IV, § 483; as added Dec. 23, 1981, 95 Stat. 1498, Pub. L. 97-105, § 14; Aug. 5, 1997, 111 Stat. 777, Pub. L. 105-33, § 11601(b)(1)(B); July 25, 2013, D.C. Law 19-321, § 2(h), 60 DCR 1724.)

Prior Codifications

1981 Ed., § 47-331.2.

Section References

This section is referenced in § 1-204.46 and § 1-204.48.

Effect of Amendments

D.C. Law 19-321 substituted “ Section 1-204.46(c)” for “The fourth sentence of § 1-204.46” in the introductory paragraph of (d).

Effective Dates

Section 5 of D.C. Law 19-321 provided that the act shall take effect as provided in § 1-203.03.

Editor's Notes

Applicability of D.C. Law 19-321: Section 3 of D.C. Law 19-321 provided that section 2 of the act shall apply as of January 1, 2014.

D.C. Law 19-321 was declared invalid by the United States District Court for the District of Columbia in a memorandum opinion dated May 19, 2014, Civil Action No. 2014-0655. The court held that although the Council of the District of Columbia, the Mayor, and United States District Court for the District of Columbia are powerless to grant to the residents of the District of Columbia full budget autonomy, the United States Congress and the President of the United States are empowered to do so; and concluded that the Budget Autonomy Act was unlawful. See Council of the Dist. of Columbia v. Gray, 42 F. Supp. 3d 134, 2014 U.S. Dist. LEXIS 68055 (2014).

On May 27, 2015, the United States Court of Appeals for the District of Columbia Circuit issued Order No. 14-7067, vacating the lower court’s judgment, dismissing the appeal, and remanding the case to the District Court with instructions to remand the case to the Superior Court of the District of Columbia. See Council of the Dist. of Columbia v. Bowser, 2015 U.S. App. LEXIS 8881 (2015). The amendments contained in D.C. Law 19-321 are codified in this section.


Subpart 4. Full Faith and Credit of the United States.

§ 1–204.84. Full faith and credit of United States not pledged.

The full faith and credit of the United States is not pledged for the payment of any principal of or interest on any bond, note, or other obligation issued by the District under this part. The United States is not responsible or liable for the payment of any principal of or interest on any bond, note, or other obligation issued by the District under this part.


(Dec. 24, 1973, 87 Stat. 807, Pub. L. 93-198, title IV, § 484; as added Dec. 23, 1981, 95 Stat. 1499, Pub. L. 97-105, § 15.)

Prior Codifications

1981 Ed., § 47-331.3.

References in Text

“This part,” referred to in this section, refers to part E (comprising §§ 461 to 490) of title IV of the District of Columbia Self-Government and Governmental Reorganization Act, approved December 24, 1973, 88 Stat. 804-809, Pub. L. 93-198, codified as §§ 1-204.89, 1-204.88, 1-204.87, and 1-204.61 to 1-204.90.

Delegation of Authority

Delegation of authority under D.C. Act 8-246, the “Tax Revenue Anticipation Notes Act of 1990.”, see Mayor’s Order 90-118, September 27, 1990.

Delegation of authority under D.C. Law 9-46, the “General Fund Recovery Act of 1991.”, see Mayor’s Order 91-147, October 4, 1991.


Subpart 5. Tax Exemptions; Legal Investment; Water Pollution; Reservoirs; Metro Contributions; and Revenue Bonds.

§ 1–204.85. Tax exemption.

Bonds and notes issued by the Council pursuant to this subchapter and the interest thereon shall be exempt from all federal and District taxation except estate, inheritance, and gift taxes.


(Dec. 24, 1973, 87 Stat. 807, Pub. L. 93-198, title IV, § 485.)

Prior Codifications

1981 Ed., § 47-332.

1973 Ed., § 47-252.

Editor's Notes

Enactment upon adoption of federal legislation: Section 4 of D.C. Law 11-254 provided that “§§ 47-101, 47-117, 47-130, 47-301, 47-302, 47-303, 47-304, 47-304.1, 47-305, 47-310, 47-312, 47-317.1 through 47-317.6, 47-321 through 47-325, 47-327 through 47-331, and 47-332 through 47-334 of Title 47 §§ 1-204.41, 1-204.55, 1-204.50, 1-204.42, 1-204.43, 1-204.44, 1-204.46, 1-204.53, 1-204.47, 1-204.48, 1-204.49, 1-204.24a through 1-204.24e, 47-317.06, 1-204.61 through 1-204.65, 1-204.71 through 1-204.75, 1-204.81, 1-204.85, 1-204.86 and 1-204.90, 2001 Ed. of the District of Columbia Code shall be enacted as part of Title 47 upon the adoption by Congress of legislation so enacting these sections.”


§ 1–204.86. Legal investment.

Notwithstanding any restriction on the investment of funds by fiduciaries contained in any other law, all domestic insurance companies, domestic insurance associations, executors, administrators, guardians, trustees, and other fiduciaries within the District may legally invest any sinking funds, moneys, trust funds, or other funds belonging to them or under or within their control in any bonds issued pursuant to this subchapter, it being the purpose of this section to authorize the investment in such bonds or notes of all sinking, insurance, retirement, compensation, pension, and trust funds. National banking associations are authorized to deal in, underwrite, purchase and sell, for their own accounts or for the accounts of customers, bonds and notes issued by the Council to the same extent as national banking associations are authorized by paragraph 7 of § 5136 of the Revised Statutes (§ 24 of Title 12, United States Code ), to deal in, underwrite, purchase and sell obligations of the United States, states, or political subdivisions thereof. All federal building and loan associations and federal savings and loan associations; and banks, trust companies, building and loan associations, and savings and loan associations, domiciled in the District, may purchase, sell, underwrite, and deal in, for their own account or for the account of others, all bonds or notes issued pursuant to this subchapter. Nothing contained in this section shall be construed as relieving any person, firm, association, or corporation from any duty of exercising due and reasonable care in selecting securities for purchase or investment.


(Dec. 24, 1973, 87 Stat. 807, Pub. L. 93-198, title IV, § 486.)

Prior Codifications

1981 Ed., § 47-333.

1973 Ed., § 47-253.


§ 1–204.87. Water pollution.

(a) The Mayor shall annually estimate the amount of the District’s principal and interest expense which is required to service District obligations attributable to the Maryland and Virginia pro rata share of District sanitary sewage water works and other water pollution projects which provide service to the local jurisdictions in those states. Such amounts as determined by the Mayor pursuant to the agreements described in subsection (b) of this section shall be used to exclude the Maryland and Virginia share of pollution projects cost from the limitation on the District’s capital project obligations as provided in § 1-206.03(b).

(b) The Mayor shall enter into agreements with the states and local jurisdictions concerned for annual payments to the District of rates and charges for waste treatment services in accordance with the use and benefits made and derived from the operation of the said waste treatment facilities. Each such agreement shall require that the estimated amount of such rates and charges will be paid in advance, subject to adjustment after each year. Such rates and charges shall be sufficient to cover the cost of construction, interest on capital, operation and maintenance, and the necessary replacement of equipment during the useful life of the facility.


(Dec. 24, 1973, 87 Stat. 808, Pub. L. 93-198, title IV, § 487.)

Prior Codifications

1981 Ed., § 43-1615.

1973 Ed., § 43-1619.

Section References

This section is referenced in § 34-2202.16.

Emergency Legislation

For temporary (90 day) additions, see § 2 of Blue Plains Intermunicipal Agreement of 2012 Congressional Approval Emergency Request Act of 2012 (D.C. Act 19-422, July 25, 2012, 59 DCR 9365).

Editor's Notes

Restriction on use of funds: Section 136 of Pub. L. 102-382, 106 Stat. 1435, the District of Columbia Appropriations Act, 1993, provided that none of the funds made available in this Act may be used by the District of Columbia to impose, implement, collect, administer, transfer, or enforce a payment in lieu of taxes on the Water and Sewer Utility Administration that would increase payments required of suburban jurisdictions in Maryland or Virginia under the Blue Plains Intermunicipal Agreement of 1985.

Definitions applicable: The definitions in § 1-201.03 apply to this section.


§ 1–204.88. Cost of reservoirs on Potomac River.

(a) The Mayor is authorized to contract with the United States, any state in the Potomac River basin, any agency or political subdivision thereof, and any other competent state or local authority, with respect to the payment by the District to the United States, either directly or indirectly, of the District’s equitable share of any part or parts of the non-federal portion of the costs of any reservoirs authorized by the Congress for construction on the Potomac River or any of its tributaries. Every such contract may contain such provisions as the Mayor may deem necessary or appropriate.

(b) Unless hereafter otherwise provided by legislation enacted by the Council, all payments made by the District and all moneys received by the District pursuant to any contract made under the authority of this chapter shall be paid from, or be deposited in, a fund designated by the Mayor. Charges for water delivered from the District water system for use outside the District may be adjusted to reflect the portions of any payments made by the District under contracts authorized by this chapter which are equitably attributable to such use outside the District.

(c) There are hereby authorized to be appropriated such sums as may be necessary to carry out the purposes of this section.


(Dec. 24, 1973, 87 Stat. 808, Pub. L. 93-198, title IV, § 488.)

Prior Codifications

1981 Ed., § 43-1553.

1973 Ed., §§ 43-1542, 43-1542a.

Editor's Notes

Definitions applicable: The definitions in § 1-201.03 apply to this section.

Change in Government

This section originated at a time when local government powers were delegated to the District of Columbia Council and to a Commissioner of the District of Columbia. The District of Columbia Self-Government and Governmental Reorganization Act, 87 Stat. 818, § 711 ( D.C. Code, § 1-207.11), abolished the District of Columbia Council and the Office of Commissioner of the District of Columbia. These branches of government were replaced by the Council of the District of Columbia and the Office of Mayor of the District of Columbia, respectively. Accordingly, and also pursuant to § 714(a) of such Act ( D.C. Code, § 1-207.14(a)), appropriate changes in terminology were made in this section.


§ 1–204.89. District’s contributions to the Washington Metropolitan Area Transit Authority.

Notwithstanding any provision of law to the contrary, beginning with fiscal year 1976 the District share of the cost of the adopted regional system described in subchapter VI of Chapter 11 of Title 9 may be payable from the proceeds of the sale of District general obligation bonds issued pursuant to this subchapter.


(Dec. 24, 1973, 87 Stat. 808, Pub. L. 93-198, title IV, § 489.)

Prior Codifications

1981 Ed., § 1-2455.

1973 Ed., § 1-1443a.

Cross References

Borrowing, general obligation bonds, see 1-204.61 et seq.


§ 1–204.90. Revenue bonds and other obligations.

(a)(1) Subject to paragraph (2) of this subsection, the Council may by act or by resolution authorize the issuance of taxable and tax-exempt revenue bonds, notes, or other obligations to borrow money to finance, refinance, or reimburse and to assist in the financing, refinancing, or reimbursing of or for capital projects and other undertakings by the District or by any District instrumentality, or on behalf of any qualified applicant, including capital projects or undertakings in the areas of housing; health facilities; transit and utility facilities; manufacturing; sports, convention, and entertainment facilities; recreation, tourism and hospitality facilities; facilities to house and equip operations of the District government or its instrumentalities; public infrastructure development and redevelopment; elementary, secondary and college and university facilities; educational programs which provide loans for the payment of educational expenses for or on behalf of students; facilities used to house and equip operations related to the study, development, application, or production of innovative commercial or industrial technologies and social services; water and sewer facilities (as defined in paragraph (5) of this subsection); pollution control facilities; solid and hazardous waste disposal facilities; parking facilities, industrial and commercial development; authorized capital expenditures of the District; and any other property or project that will, as determined by the Council, contribute to the health, education, safety, or welfare, of, or the creation or preservation of jobs for, residents of the District, or to economic development of the District, and any facilities or property, real or personal, used in connection with or supplementing any of the foregoing; lease-purchase financing of any of the foregoing facilities or property; and any costs related to the issuance, carrying, security, liquidity or credit enhancement of or for revenue bonds, notes, or other obligations, including, capitalized interest and reserves, and the costs of bond insurance, letters of credit, and guaranteed investment, forward purchase, remarketing, auction, and swap agreements. Any such financing, refinancing, or reimbursement may be effected by loans made directly or indirectly to any individual or legal entity, by the purchase of any mortgage, note, or other security, or by the purchase, lease, or sale of any property.

(2) Any revenue bond, note, or other obligation issued under paragraph (1) of this subsection shall be a special obligation of the District and shall be a negotiable instrument, whether or not such revenue bond, note, or other obligation is a security as defined in § 28:8-102(1)(a).

(3) Any revenue bond, note, or other obligation issued under paragraph (1) of this subsection shall be paid and secured (as to principal, interest, and any premium) as provided by the act or resolution of the Council authorizing the issuance of such revenue bond, note, or other obligation. Any act or resolution of the Council, or any delegation of Council authority under subsection (a)(6) of this section, authorizing the issuance of revenue bonds, notes, or other obligations may provide for (A) the payment of such revenue bonds, notes, or other obligations from any available revenues, assets, property (including water and sewer enterprise fund revenues, assets, or other property in the case of bonds, notes, or obligations issued with respect to water and sewer facilities), and (B) the securing of such revenue bond, note, or other obligation by the mortgage of real property or the creation of a security interest in available revenues, assets, or other property (including water and sewer enterprise fund revenues, assets, or other property in the case of bonds, notes, or obligations issued with respect to water and sewer facilities).

(4)(A) In authorizing the issuance of any revenue bond, note, or other obligation under paragraph (1) of this subsection, the Council may enter into, or authorize the Mayor to enter into, any agreement concerning the acquisition, use, or disposition of any available revenues, assets, or property. Any such agreement may create a security interest in any available revenues, assets, or property, may provide for the custody, collection, security, investment, and payment of any available revenues (including any funds held in trust) for the payment of such revenue bond, note, or other obligation, may mortgage any property, may provide for the acquisition, construction, maintenance, and disposition of the undertaking financed or refinanced using the proceeds of such revenue bond, note, or other obligation, and may provide for the doing of any act (or the refraining from doing of any act) which the District has the right to do in the absence of such agreement. Any such agreement may be assigned for the benefit of, or made a part of any contract with, any holder of such revenue bond, note, or other obligation issued under paragraph (1) of this subsection.

(B) Notwithstanding Article 9 of Title 28, any security interest created under subparagraph (A) of this paragraph shall be valid, binding, and perfected from the time such security interest is created, with or without the physical delivery of any funds or any other property and with or without any further action. Such security interest shall be valid, binding, and perfected whether or not any statement, document, or instrument relating to such security interest is recorded or filed. The lien created by such security interest is valid, binding, and perfected with respect to any individual or legal entity having claims against the District, whether or not such individual or legal entity has notice of such lien.

(C) Any funds of the District held for the payment or security of any revenue bond, note, or other obligation issued under paragraph (1) of this subsection, whether or not such funds are held in trust, may be secured in the manner agreed to by the District and any depository of such funds. Any depository of such funds may give security for the deposit of such funds.

(5) In paragraph (1) of this subsection, the term “water and sewer facilities” means facilities for the obtaining, treatment, storage, and distribution of water, the collection, storage, treatment, and transportation of wastewater, storm drainage, and the disposal of liquids and solids resulting from treatment.

(6)(A) The Council may by act delegate to any District instrumentality the authority of the Council under subsection (a)(1) of this section to issue taxable or tax-exempt revenue bonds, notes, or other obligations to borrow money for the purposes specified in this subsection. For purposes of this paragraph, the Council shall specify for what undertakings revenue bonds, notes, or other obligations may be issued under each delegation made pursuant to this paragraph. Any District instrumentality may exercise the authority and the powers incident thereto delegated to it by the Council as described in the first sentence of this paragraph only in accordance with this paragraph and shall be consistent with this paragraph and the terms of the delegation.

(B) Revenue bonds, notes, or other obligations issued by a District instrumentality under a delegation of authority described in subparagraph (A) of this paragraph shall be issued by resolution of that instrumentality, and any such resolution shall not be considered to be an act of the Council.

(C) Nothing in this paragraph shall be construed as restricting, impairing, or superseding the authority otherwise vested by law in any District instrumentality.

(b) No property owned by the United States may be mortgaged or made subject to any security interest to secure any revenue bond, note, or other obligation issued under subsection (a)(1) of this section.

(c) Any and all such revenue bonds, notes, or other obligations issued under subsection (a)(1) of this section shall not be general obligations of the District, shall not be a pledge of or involve the faith and credit or taxing power of the District (other than with respect to any dedicated taxes) and shall not constitute a debt of the District, and shall not constitute lending of the public credit for private undertakings for purposes of § 1-206.02(a)(2).

(d) Any and all such bonds, notes, or other obligations shall be issued pursuant to an act of the Council without the necessity of submitting the question of such issuance to the registered qualified electors of the District for approval or disapproval.

(e) Any act of the Council authorizing the issuance of revenue bonds, notes, or other obligations under paragraph (1) of subsection (a) of this section may:

(1) Briefly describe the purpose for which such bonds, notes, or other obligations are to be issued;

(2) Identify the act authorizing such purpose;

(3) Prescribe the form, terms, provisions, manner, and method of issuing and selling (including sale by negotiation or by competitive bid) such bonds, notes, or other obligations;

(4) Provide for the rights and remedies of the holders of such bonds, notes, or other obligations upon default;

(5) Prescribe any other details with respect to the issuance, sale, or securing of such bonds, notes, or other obligations; and

(6) Authorize the Mayor to take any actions in connection with the issuance, sale, delivery, security, and payment of such bonds, notes, or other obligations, including the prescribing of any terms or conditions not contained in such act of the Council.

(f) Section 1-204.46(c) shall not apply to:

(1) Any amount (including the amount of any accrued interest or premium) obligated or expended from the proceeds of the sale of any revenue bond, note, or other obligations issued under subsection (a)(1) of this section;

(2) Any amount obligated or expended for the payment of the principal of, interest on, or any premium for any revenue bond, note, or other obligation issued under subsection (a)(1) of this section;

(3) Any amount obligated or expended pursuant to provisions made to secure any revenue bond, note, or other obligations issued under subsection (a)(1) of this section; and

(4) Any amount obligated or expended pursuant to commitments made in connection with the issuance of revenue bonds, notes, or other obligations for repair, maintenance, and capital improvements relating to undertakings financed through any revenue bond, note, or other obligation issued under subsection (a)(1) of this section.

(g)(1) The Council may delegate to any housing finance agency established by it (whether established before or after April 12, 1980) the authority of the Council under subsection (a) of this section to issue revenue bonds, notes, and other obligations to borrow money to finance or assist in the financing of undertakings in the area of primarily low-and moderate-income housing. The Council shall define for the purposes of the preceding sentence what undertakings shall constitute undertakings in the area of primarily low-and moderate-income housing. Any such housing finance agency may exercise authority delegated to it by the Council as described in the first sentence of this paragraph (whether such delegation is made before or after April 12, 1980) only in accordance with this subsection.

(2) Revenue bonds, notes, and other obligations issued by a housing finance agency of the District under a delegation of authority described in paragraph (1) of this subsection shall be issued by resolution of the agency, and any such resolution shall not be considered to be an act of the Council.

(3) Section 1-204.46(c) shall not apply to:

(A) Any amount (including the amount of any accrued interest or premium) obligated or expended from the proceeds of the sale of any revenue bond, note, or other obligation issued under paragraph (1) of this subsection;

(B) Any amount obligated or expended for the payment of the principal of, interest on, or any premium for any revenue bond, note, or other obligation issued under paragraph (1) of this subsection; and

(C) Any amount obligated or expended to secure any revenue bond, note, or other obligation issued under paragraph (1) of this subsection.

(h)(1) The Council may delegate to the District of Columbia Water and Sewer Authority established pursuant to § 34-2202.02 the authority of the Council under subsection (a) of this section to issue revenue bonds, notes, and other obligations to borrow money to finance or assist in the financing or refinancing of undertakings in the area of utilities facilities, pollution control facilities, and water and sewer facilities (as defined in subsection (a)(5) of this section). The Authority may exercise authority delegated to it by the Council as described in the first sentence of this paragraph (whether such delegation is made before or after August 6, 1996) only in accordance with this subsection.

(2) Revenue bonds, notes, and other obligations issued by the District of Columbia Water and Sewer Authority under a delegation of authority described in paragraph (1) of this subsection shall be issued by resolution of the Authority, and any such resolution shall not be considered to be an act of the Council.

(3) Section 1-204.46(c) shall not apply to:

(A) Any amount (including the amount of any accrued interest or premium) obligated or expended from the proceeds of the sale of any revenue bond, note, or other obligation issued pursuant to this subsection;

(B) Any amount obligated or expended for the payment of the principal of interest on, or any premium for any revenue bond, note, or other obligation issued pursuant to this subsection;

(C) Any amount obligate or expended to secure any revenue bond, not, or other obligation issued pursuant to this subsection; or

(D) Any amount obligated or expended for repair, maintenance, and capital improvements to facilities financed pursuant to this subsection.

(i)(1) The Council may delegate to the District of Columbia Tobacco Settlement Financing Corporation (hereafter in this subsection referred to as the “Corporation”) established pursuant to subchapter III of Chapter 18 of Title 7 the authority of the Council under subsection (a) to issue revenue bonds, notes, and other obligations which are used to borrow money to finance or assist in the financing or refinancing of capital projects and other undertakings of the District of Columbia and which are payable solely from and secured by payments under the Master Tobacco Settlement Agreement. The Corporation may exercise authority delegated to it by the Council as described in the first sentence of this paragraph (whether such delegation is made before or after the date of the enactment of this subsection) only in accordance with this subsection and the provisions of subchapter III of Chapter 18 of Title 7.

(2) Revenue bonds, notes, and other obligations issued by the Corporation under a delegation of authority described in paragraph (1) of this subsection shall be issued by resolution of the Corporation, and any such resolution shall not be considered to be an act of the Council.

(3) Section 1-204.46(c) shall not apply to:

(A) Any amount (including the amount of any accrued interest or premium) obligated or expended from the proceeds of the sale of any revenue bond, note, or other obligation issued pursuant to this subsection;

(B) any amount obligated or expended for the payment of the principal of, interest on, or any premium for any revenue bond, note, or other obligation issued pursuant to this subsection;

(C) any amount obligated or expended to secure any revenue bond, note, or other obligation issued pursuant to this subsection; or

(D) any amount obligated or expended for repair, maintenance, and capital improvements to facilities financed pursuant to this subsection.

(4) In this subsection, the term “Master Tobacco Settlement Agreement” means the settlement agreement (and related documents), as may be amended from time to time, entered into on November 23, 1998, by the District of Columbia and leading United States tobacco product manufacturers.

(j) The revenue bonds, notes, or other obligations issued under subsection (a)(1) of this section are not general obligation bonds of the District government and shall not be included in determining the aggregate amount of all outstanding obligations subject to the limitation specified in § 1-206.03(b).

(k) The issuance of revenue bonds, notes, or other obligations by the District where the ultimate obligation to repay such revenue bonds, notes, or other obligations is that of one or more nongovernmental persons or entities may be authorized by resolution of the Council. The issuance of all other revenue bonds, notes, or other obligations by the District shall be authorized by act of the Council.

(l) During any control period (as defined in § 47-392.09), any act or resolution of the Council authorizing the issuance of revenue bonds, notes, or other obligations under subsection (a)(1) of this section shall be submitted to the District of Columbia Financial Responsibility and Management Assistance Authority for certification in accordance with § 47-392.04. Any certification issued by the Authority during a control period shall be effective for purposes of this subsection for revenue bonds, notes, or other obligations issued pursuant to such act or resolution of the Council whether the revenue bonds, notes, or other obligations are issued during or subsequent to that control period.

(m) The following provisions of law shall not apply with respect to property acquired, held, and disposed of by the District in accordance with the terms of any lease-purchase financing authorized pursuant to subsection (a)(1) of this section:

(1) Chapter 8 of Title 10.

(2) Subchapter III of Chapter 13 of Title 16.

(3) Any other provision of District of Columbia law that prohibits or restricts lease-purchase financing.

(n) For purposes of this section, the following definitions shall apply:

(1) The term “revenue bonds, notes, or other obligations” means special fund bonds, notes, or other obligations (including refunding bonds, notes, or other obligations) used to borrow money to finance, assist in financing, refinance, or repay, restore or reimburse moneys used for purposes referred to in subsection (a)(1) of this section the principal of and interest, if any, on which are to be paid and secured in the manner described in this section and which are special obligations and to which the full faith and credit of the District of Columbia is not pledged.

(2) The term “District instrumentality” means any agency or instrumentality (including an independent agency or instrumentality), authority, commission, board, department, division, office, body, or officer of the District of Columbia government duly established by an act of the Council or by the laws of the United States, whether established before or after August 5, 1997.

(3) The term “available revenues” means gross revenues and receipts, other than general fund tax receipts, lawfully available for the purpose and not otherwise exclusively committed to another purpose, including enterprise funds, grants, subsidies, contributions, fees, dedicated taxes and fees, investment income and proceeds of revenue bonds, notes, or other obligations issued under this section.

(4) The term “enterprise fund” means a fund or account for operations that are financed or operated in a manner similar to private business enterprises, or established so that separate determinations may more readily be made periodically of revenues earned, expenses incurred, or net income for management control, accountability, capital maintenance, public policy, or other purposes.

(5) The term “dedicated taxes and fees” means taxes and surtaxes, portions thereof, tax increments, or payments in lieu of taxes, and fees that are dedicated pursuant to law to the payment of the debt service on revenue bonds, notes, or other obligations authorized under this section, the provision and maintenance of reserves for that purpose, or the provision of working capital for or the maintenance, repair, reconstruction or improvement of the undertaking to which the revenue bonds, notes, or other obligations relate.

(6) The term “tax increments” means taxes, other than the special tax provided for in § 1-204.81 and pledged to the payment of general obligation indebtedness of the District, allocable to the increase in taxable value of real property or the increase in sales tax receipts, each from a certain date or dates, in prescribed areas, to the extent that such increases are not otherwise exclusively committed to another purpose and as further provided for pursuant to an act of the Council.


(Dec. 24, 1973, 87 Stat. 809, Pub. L. 93-198, title IV, § 490; Dec. 28, 1977, 91 Stat. 1612, Pub. L. 95-218; Apr. 12, 1980, 94 Stat. 335, Pub. L. 96-235; Dec. 23, 1981, 95 Stat. 1493, Pub. L. 97-105, § 16; Oct. 15, 1982, 96 Stat. 1614, Pub. L. 97-328; Aug. 6, 1996, 110 Stat. 1696, Pub. L. 104-184, §§ 2(a), (b), (c)(1); Aug. 5, 1997, 111 Stat. 773, Pub. L. 105-33, § 11508; Nov. 22, 2000, 114 Stat. 2440, Pub. L. 106-522, § 160(a)(1); July 25, 2013, D.C. Law 19-321, § 2(h), 60 DCR 1724.)

Prior Codifications

1981 Ed., § 47-334.

1973 Ed., § 47-254.

Section References

This section is referenced in § 1-204.46, § 1-204.48, § 1-204.96, § 1-206.03, § 1-308.01, § 1-308.02, § 1-308.03, § 1-308.07, § 1-325.43, § 2-602, § 2-1217.02, § 2-1217.12, § 2-1217.33b, § 2-1217.33f, § 2-1217.34b, § 2-1217.34e, § 2-1217.71, § 2-1217.77, § 2-1217.79, § 2-1217.102, § 2-1217.103, § 2-1217.104, § 2-1217.132, § 2-1217.133, § 2-1217.137, § 6-209, § 7-1831.03, § 8-1778.02, § 8-1778.21, § 8-1778.22, § 8-1778.24, § 9-107.51, § 9-107.52, § 9-107.53, § 9-107.55, § 9-1108.01, § 10-1202.09, § 10-1221.02, § 10-1221.03, § 10-1601.02, § 10-1601.03, § 10-1602.02, § 10-1602.03, § 34-1311.02, § 34-1312.01, § 34-1312.04, § 34-2202.01, § 34-2202.08, § 42-2702.06, § 42-2812.02, § 42-2812.03, § 42-2812.04, § 44-951.16, § 47-131, § 47-334, § 47-335, § 47-340.01, § 47-340.04, § 47-340.26, § 47-340.27, § 47-340.29, § 47-340.31, § 47-398.06, § 47-1052, § 47-4611, § 47-4613, and § 50-2512.

Effect of Amendments

Public Law 106-522 redesignated subsections (i) through (m) as subsections (j) through (n), respectively; and added a new subsec. (i)

D.C. Law 19-321 substituted “ Section 1-204.46(c)” for “The fourth sentence of § 1-204.46” in (f), (g)(3), (h)(3), and (i)(3).

Cross References

General fund and special accounts, industrial revenue bond program, see § 47-131.

Housing finance agency, delegation of Council authority to issue revenue bonds, see § 42-2702.06.

National capital revitalization corporation; revenue bonds, notes, or other obligations, see § 2-1219.18.

Public parking authority, Council delegation of power to issue revenue bonds, see § 50-2512.

Sports and entertainment commission, bonds, issuance, terms, see § 3-1412.

Sports and entertainment commission, Council delegation of bond and note issuance authority, see § 3-1411.

Tax increment financing, bond authorization and forward commitment, see § 2-1217.02.

Washington convention center authority, delegation of council authority to issue bonds, see § 10-1202.09.

Water and sewer authority, delegation of Council authority to issue bonds, see § 34-2202.08.

Emergency Legislation

For temporary (90 day) addition of tax increment financing for retail development provisions, see § 2 of Retail Incentive Emergency Act of 2003 (D.C. Act 15-140, July 29, 2003, 50 DCR 6868).

For temporary (90 day) addition of tax increment financing for retail development, see §§ 2 to 17 of Retail Incentive Congressional Review Emergency Act of 2003 (D.C. Act 15-214, November 7, 2003, 50 DCR 10011).

For temporary (90 day) addition of tax increment financing for retail development, see §§ 2 to 17 of Retail Incentive Second Congressional Review Emergency Act of 2004 (D.C. Act 15-482, July 19, 2004, 51 DCR 7820).

Temporary Legislation

For temporary (225 day) additions, see §§ 2 to 16 of Retail Incentive Temporary Act of 2003 (D.C. Law 15-58, December 9, 2003, law notification 51 DCR 1793).

Effective Dates

Section 5 of D.C. Law 19-321 provided that the act shall take effect as provided in § 1-203.03.

Editor's Notes

Enactment upon adoption of federal legislation: Section 4 of D.C. Law 11-254 provided that “§§ 47-101, 47-117, 47-130, 47-301, 47-302, 47-303, 47-304, 47-304.1, 47-305, 47-310, 47-312, 47-317.1 through 47-317.6, 47-321 through 47-325, 47-327 through 47-331, and 47-332 through 47-334 of Title 47 §§ 1-204.41, 1-204.55, 1-204.50, 1-204.42, 1-204.43, 1-204.44, 1-204.46, 1-204.53, 1-204.47, 1-204.48, 1-204.49, 1-204.24a through 1-204.24e, 47-317.06, 1-204.61 through 1-204.65, 1-204.71 through 1-204.75, 1-204.81, 1-204.85, 1-204.86 and 1-204.90, 2001 Ed. of the District of Columbia Code shall be enacted as part of Title 47 upon the adoption by Congress of legislation so enacting these sections.”

Request for Congressional action: Pursuant to § 501(b) of D.C. Law 10-188, the Council of the District of Columbia requested that Congress amend § 490(h)(3) of the District of Columbia Self-Government and Governmental Reorganization Act to read as follows:

“(3)(A) The fourth sentence of § 47-304 § 1-204.46 shall not apply to — (i) any amount (including the amount of any accrued interest or premium) obligated or expended from the proceeds of the sale of any revenue bond, note, or other obligation issued under paragraph (1) of this subsection. (ii) any amount obligated or expended for the payment of the principal of, interest on, or any premium for any revenue bond, note, or other obligation issued under paragraph (1) of this subsection. (iii) any amount obligated or expended to secure any revenue bond, note, or other obligation issued under paragraph (1) of this subsection, and. (iv) any amount obligated or expended for repair, maintenance, and capital improvements issued under paragraph (1) of this subsection.

“(B) Other operating obligations or expenditures shall be exempt from the fourth sentence of § 47-304 (§ 1-204.46, 2001 Ed.), except that if the operating obligations or expenditures are incurred prior to October 1, 1995, they shall be approved pursuant to the procedures set forth in § 47-304.1 (§ 1-204.53, 2001 Ed.).”

Oyster Elementary School Construction and Revenue Bonds: Section 169 of Pub. L. 105-277, the Omnibus Consolidated and Emergency Supplemental Appropriations Act, 1999, provided that, notwithstanding § 1-206.02(c)(1) of the D. C. Code, the Oyster Elementary School Construction and Revenue Bond Act of 1998 D.C. Law 12-174 shall take effect on October 21, 1998.

Applicability of D.C. Law 19-321: Section 3 of D.C. Law 19-321 provided that section 2 of the act shall apply as of January 1, 2014.

D.C. Law 19-321 was declared invalid by the United States District Court for the District of Columbia in a memorandum opinion dated May 19, 2014, Civil Action No. 2014-0655. The court held that although the Council of the District of Columbia, the Mayor, and United States District Court for the District of Columbia are powerless to grant to the residents of the District of Columbia full budget autonomy, the United States Congress and the President of the United States are empowered to do so; and concluded that the Budget Autonomy Act was unlawful. See Council of the Dist. of Columbia v. Gray, 42 F. Supp. 3d 134, 2014 U.S. Dist. LEXIS 68055 (2014).

On May 27, 2015, the United States Court of Appeals for the District of Columbia Circuit issued Order No. 14-7067, vacating the lower court’s judgment, dismissing the appeal, and remanding the case to the District Court with instructions to remand the case to the Superior Court of the District of Columbia. See Council of the Dist. of Columbia v. Bowser, 2015 U.S. App. LEXIS 8881 (2015). The amendments contained in D.C. Law 19-321 are codified in this section.

Delegation of Authority

Delegation of authority under Ottenberg’s Bakers Inc., Projects Revenue Bond Act of 1984, see Mayor’s Order 84-188, October 23, 1984.

Delegation of functions under section 490(e)(6) of the District of Columbia Self-Government and Governmental Reorganization Act of 1973 as amended: See Mayor’s Order 85-39, April 1, 1985.

Delegation of contracting authority, see Mayor’s Order 91-92, June 7, 1992.

Delegation of functions under s 490(e)(6) of the D.C. Self-Government and Government Reorganization Act of 1973, as amended, D.C. Code s 1-204.90(e)(6): See Mayor’s Orders 91-154, October 1, 1991; 92-73, June 16, 1992; 93-170, October 22, 1993.

Delegation of functions under Acts Authorizing the Issuance of Revenue Bonds, Notes and Other Obligations: See Mayor’s Order 93-104, July 15, 1993.

Delegation of Authority under the District of Columbia Home Rule Act, see Mayor’s Order 98-95, June 16, 1998 ( 45 DCR 4571).

Delegation of authority under sections 490(a)(4) and (e)(6) of the District of Columbia Home Rule Act, see Mayor’s Order 2000-1, January 7, 2000 ( 47 DCR 1011).

Delegation of authority under sections 490(a)(4) and (e)(6) of the District of Columbia Home Rule Act, as amended, and the George Washington University Revenue Bond Project Approval Resolution of 1999, see Mayor’s Order 2000-24, February 9, 2000 ( 47 DCR 1036).

Delegation of authority under sections 490(a)(4) and (e)(6) of the District of Columbia Home Rule Act, as amended, and the American Red Cross Revenue Bond Project Approval Resolution of 1999, see Mayor’s Order 2000-25, February 9, 2000 ( 47 DCR 1037).

Delegation of authority under sections 490(a)(4) and (e)(6) of the District of Columbia Home Rule Act, as amended, to the CFO with Respect to Bonds, Notes or Other Obligations of the Public Welfare Foundation, et al., see Mayor’s Order 2000-48, March 29, 2000 ( 47 DCR 4723).

Delegation of authority under sections 490(a)(4) and (e)(6) of the District of Columbia Home Rule Act, see Mayor’s Order 2000-69, April 28, 2000 ( 47 DCR 4751).

Delegation of authority under sections 490(a)(4) and (e)(6) of the District of Columbia Home Rule Act, as amended, Concerning Certain Industrial Revenue Bond Transactions, see Mayor’s Order 2000-90, June 7, 2000 ( 47 DCR 5268).

Delegation of authority under sections 490(a)(4) and (e)(6) of the District of Columbia Home Rule Act, as amended, Concerning Certain Industrial Revenue Bond Transactions, see Mayor’s Order 2000-103, June 27, 2000 ( 47 DCR 5785).

“Medlantic Healthcare Group, Inc., Revenue Bond Project Approval Resolution of 1995: Pursuant to Resolution 11-163, effective November 7, 1995, the Council approved the loan of proceeds from the issuance and sale of District of Columbia Revenue Bonds to Medlantic Healthcare Group, Inc., d/b/a Washington Hospital Center, and National Rehabilitation Hospital (‘Medlantic’).”

Carnegie Endowment for International Peace Revenue Bond Project Approval Resolution of 1996: Pursuant to Resolution 11-203, effective January 4, 1996, the Council approved the Carnegie Endowment for International Peace Revenue Bond Project.

American University Revenue Bond Project Approval Resolution of 1996: Pursuant to Resolution 11-416, effective July 3, 1996, the Council approved the loan of proceeds from the issuance and sale of District of Columbia revenue bonds to the American University Revenue Bond Project.

Georgetown University Revenue Bond Project Approval Resolution of 1996: Pursuant to Resolution 11-417, effective July 3, 1996, the Council approved the loan of proceeds from the issuance and sale of District of Columbia revenue bonds to the Georgetown University Revenue Bond Project.

Howard University Revenue Bond Project Approval Resolution of 1996: Pursuant to Resolution 11-418, effective July 3, 1996, the Council approved the loan of proceeds from the issuance and sale of District of Columbia revenue bonds to the Howard University Revenue Bond Project.

Lucy Webb Hayes National Training School for Deaconesses and Missionaries, in care of Sibley Memorial Hospital, Hospital Revenue Bond Project Approval Resolution of 1996: Pursuant to Resolution 11-524, effective October 1, 1996, the Council approved the issuance, sale, and delivery of District of Columbia Revenue Bonds and the loan of proceeds thereof to assist in the financing, refinancing, or reimbursing of costs related to the Lucy Webb Hayes National Training School for Deaconesses and Missionaries, in care of Sibley Memorial Hospital.

Individual Development, Inc. (Successor to We Care Projects, Inc.) Revenue Bond Project Emergency Approval Resolution of 1996: Pursuant to Resolution 11-670, effective December 3, 1996, the Council approved, on an emergency basis, the issuance, sale, and delivery of District of Columbia revenue bonds and the loan of proceeds thereof to assist in the financing, refinancing, or reimbursing of costs related to certain intermediate care residential facilities for the mentally retarded owned and operated by Individual Development, Inc. (Successor to We Care Projects, Inc.).

Resolution 13-97, the “Young Men’s Christian Association of Metropolitan Washington Revenue Bond Project Emergency Approval Resolution of 1999”, was approved effective March 16, 1999.

Resolution 13-99, the “Whitman-Walker Clinic Revenue Bond Project Emergency Approval Resolution of 1999”, was approved effective March 16, 1999.

Resolution 13-101, the “Georgetown University Revenue Refunding Bond Project Emergency Approval Resolution of 1999”, was approved effective March 16, 1999.

Resolution 13-127, the “Americans United for Separation of Church and State Revenue Bond Project Emergency Resolution of 1999”, was approved effective May 4, 1999.

Resolution 13-153, the “Army Distaff Foundation, Inc. Revenue Bond Project Emergency Approval Resolution of 1999”, was approved effective June 8, 1999.

Resolution 13-155, the “Gems, Incorporated Revenue Bond Project Emergency Approval Resolution of 1999”, was approved effective June 8, 1999.

Resolution 13-207, the “Catholic University of America Revenue Bond Project Emergency Approval Resolution of 1999”, was approved effective July 6, 1999.

Resolution 13-209, the “President and Directors of Gonzaga College Revenue Bond Project Emergency Approval Resolution of 1999”, was approved effective July 6, 1999.

Resolution 13-211, the “Washington Home, Inc. Revenue Bond Project Emergency Approval Resolution of 1999”, was approved effective July 6, 1999.

Resolution 13-213, the “Planned Parenthood Federation of America, Inc. Revenue Bond Project Emergency Approval Resolution of 1999”, was approved effective July 6, 1999.

Resolution 13-215, the “819 7th Street, LLC Revenue Bond Project Emergency Approval Resolution of 1999”, was approved effective July 6, 1999.

Resolution 13-217, the “Arnold & Porter Enterprise Zone Revenue Bonds Project Emergency Approval Resolution of 1999”, was approved effective July 6, 1999.

Resolution 13-323, the “American Immigration Lawyers Association Revenue Bond Project Emergency Approval Resolution of 1999”, was approved effective October 5, 1999.

Resolution 13-341, the “American National Red Cross Revenue Bond Project Approval Resolution of 1999”, was approved effective November 2, 1999.

Resolution 13-342, the “George Washington University Revenue Bond Project Approval Resolution of 1999”, was approved effective November 2, 1999.

Resolution 13-358, the “800 8th Street, N.W., L.L.C. Revenue Bond Project Emergency Approval Resolution of 1999”, was approved effective November 2, 1999.

Resolution 13-405, the “District of Columbia Tax Increment Revenue Bond Gallery Place Project Emergency Approval Resolution of 1999”, was approved effective December 7, 1999.

Resolution 13-500, the “Community Academy Public Charter School Revenue Bond Project Emergency Approval Resolution of 2000”, was approved effective March 7, 2000.

Resolution 13-502, the “Public Welfare Foundation, Inc. Revenue Bond Project Emergency Approval Resolution of 2000”, was approved effective March 7, 2000.

Resolution 13-504, the “Smithsonian Institution Revenue Bond Project Emergency Approval Resolution of 2000”, was approved effective March 7, 2000.

Resolution 13-510, the “District of Columbia Tax Increment Revenue Bond Mandarin Hotel Project Emergency Approval Resolution of 2000”, was approved effective March 7, 2000.

Resolution 13-526, the “American Chemical Society Revenue Bond Project Emergency Approval Resolution of 2000”, was approved effective April 18, 2000.

Resolution 13-540, the “Kingsbury Center, Inc. Revenue Bond Project Emergency Approval Resolution of 2000”, was approved effective May 19, 2000.

Resolution 13-557, the “World Wildlife, Inc. Revenue Bond Project Emergency Approval Resolution of 2000”, was approved effective June 6, 2000.

Resolution 13-559, the “National Geographic Society Revenue Bond Project Emergency Approval Resolution of 2000”, was approved effective June 6, 2000.

Resolution 13-561, the “Hotel 1225 LLC Enterprise Zone Facility Bonds Project Emergency Approval Resolution of 2000”, was approved effective June 6, 2000.

Resolution 13-563, the “Fort Lincoln New Town/Premium Distributors, L.L.C. Revenue Bond Project Emergency Approval Resolution of 2000”, was approved effective June 6, 2000.

Resolution 13-634, the “Fourteenth and Irving Ventures Revenue Bond Project Emergency Approval Resolution of 2000”, was approved effective July 11, 2000.

Resolution 13-636, the “National Child Day Care Association Revenue Bond Project Emergency Approval Resolution of 2000”, was approved effective July 11, 2000.

Resolution 13-638, the “St. Patrick’s Episcopal Day School Revenue Bond Project Emergency Approval Resolution of 2000”, was approved effective July 11, 2000.

Resolution 13-675, the “HF Enterprises Enterprise Zone Facility Bonds Project Emergency Approval Resolution of 2000”, was approved effective October 3, 2000.

Resolution 13-713, the “Gallery Place Project Modification Emergency Approval Resolution of 2000”, was approved effective November 8, 2000.

Resolution 13-733, the “MedStar Health Revenue Bond Project Emergency Approval Resolution of 2000”, was approved effective December 5, 2000.

Resolution 13-745, the “Mandarin Hotel Project Modification Approval Resolution of 2000”, was approved effective December 19, 2000.

Resolution 13-786, the ‘Gallery Place Project Bond Maturity Modification Emergency Approval Resolution of 2000’, was approved effective December 19, 2000.

Resolution 13-788, the ‘Tax Increment Revenue Notes International Spy Museum Emergency Approval Resolution of 2000’, was approved effective December 22, 2000.

Resolution 14-46, the ‘National Museum of Washington in the Arts Revenue Bond Project Approval Resolution of 2001’, was approved effective March 6, 2001.

Resolution 14-47, the ‘Seed Public Charter School of Washington, D.C., Revenue Bond Project Approval Resolution of 2001’, was approved effective March 6, 2001.

Resolution 14-48, the ‘Georgetown University Revenue Bond Project Approval Resolution of 2001’, was approved effective March 6, 2001.

Resolution 14-97, the ‘Trinity College Revenue Bond Project Approval Resolution of 2001’, was approved effective May 1, 2001.

Resolution 14-98, ‘The Henry J. Kaiser Family Foundation Revenue Bond Project Approval Resolution of 2001’, was approved effective May 1, 2001.

Resolution 14-110, the ‘United Planning Organization Revenue Bond Project Emergency Approval Resolution of 2001’, was approved effective May 15, 2001.

Resolution 14-124, the ‘National Public Radio, Inc. Revenue Bond Project Emergency Approval Resolution of 2001’, was approved effective June 5, 2001.

Resolution 14-140, ‘The Field School, Inc. Revenue Bond Project Approval Resolution of 2001’, was approved effective June 26, 2001.

Resolution 14-141, the ‘Historical Society of Washington, D.C. Revenue Bond Project Approval Resolution of 2001’, was approved effective June 26, 2001.

Resolution 14-227, ‘Kmart Corporation Revenue Bond Project Approval Resolution of 2001’, was approved effective October 16, 2001.

Resolution 14-242, the ‘Crowell & Moring LLP Enterprise Zone Revenue Bonds Project Approval Resolution of 2001’, was approved effective November 6, 2001.

Resolution 14-243, the ‘DC Arena L.P. Revenue Bond Project Approval Resolution of 2001’, was approved November 6, 2001.

Resolution 14-278, the ‘Penn Quarter Garage, L.L.C. Revenue Bond Project Approval Resolution of 2001’, was approved effective December 4, 2001.

Resolution 14-327, ‘Washington Very Special Arts, Inc., and WVSA School For Arts In Learning, Inc., Revenue Bond Project Emergency Approval Resolution of 2002’, was approved effective January 8, 2002.

Resolution 14-398, the ‘Children’s Hospital Revenue Bond Project Approval Resolution of 2002’, was approved effective April 9, 2002.

Resolution 14-399, the ‘Thurgood Marshall Center Trust, Inc. of Washington, D.C. Revenue Bond Project Approval Resolution of 2002’, was approved effective April 9, 2002.

Resolution 14-400, the ‘Capital City Public Charter School, Inc. Revenue Bond Project Approval Resolution of 2002’, was approved effective April 9, 2002.