Code of the District of Columbia

Subpart 1. Certified business enterprises.


§ 2–218.31. Local business enterprises.

*NOTE: This section includes amendments by temporary legislation that will expire on August 5, 2021. To view the text of this section after the expiration of all emergency and temporary legislation affecting this section, click this link: Permanent Version.*

A business enterprise shall be eligible for certification as a local business enterprise if the business enterprise:

(1) Has its principal office located physically in the District of Columbia;

(1A) Is:

(A) Independently owned, operated, and controlled;

(B) Owned, operated, and controlled by a District-based enterprise; or

(C) Owned by a non-District-based business enterprise that is more than 50% owned by District residents;

(2) Requires that its chief executive officer and the highest level managerial employees of the business enterprise perform their managerial functions in their principal office located in the District;

(2A) Can demonstrate one of the following:

(A) More than 50% of the employees of the business enterprise are residents of the District;

(B) The owners of more than 50% of the business enterprise are residents of the District;

(C) More than 50% of the assets of the business enterprise, excluding bank accounts, are located in the District; or

(D) More than 50% of the business enterprise’s gross receipts are District gross receipts; and

(3) Can demonstrate one of the following:

(A) The business enterprise is licensed pursuant to Chapter 28 of Title [47];

(B) The business enterprise is subject to the tax levied under Chapter [18] of Title 47; or

(C) The business enterprise is a business enterprise identified in § 47-1808.01(1) through (5) and more than 50% of the business is owned by residents of the District.


(Oct. 20, 2005, D.C. Law 16-33, § 2331, 52 DCR 7503; Mar. 2, 2007, D.C. Law 16-192, § 2132(a), 53 DCR 6899; July 18, 2008, D.C. Law 17-207, § 2(f), 55 DCR 6107; June 10, 2014, D.C. Law 20-108, § 2(i), 61 DCR 3892; Oct. 22, 2015, D.C. Law 21-36, § 2082, 62 DCR 10905; Dec. 23, 2020, D.C. Law 23-179, § 2(a), 67 DCR 13242.)

Section References

This section is referenced in § 2-218.02 and § 2-218.39.

Effect of Amendments

D.C. Law 16-192, in subsec. (a)(2), deleted “and” from the end; and added subsec. (a)(2A).

D.C. Law 17-207, in par. (2A), substituted “Meets 1” for “Meets 3”.

The 2014 amendment by D.C. Law 20-108 substituted “perform their managerial functions in their principal office located in the District” for “maintain their offices and perform their managerial functions in the District” in (2); and rewrote (2A) and (3).

The 2015 amendment by D.C. Law 21-36 rewrote (2A)(C); added (2A)(D); and made related changes.

Emergency Legislation

For temporary (90 days) amendment of this section, see § 2(a) of Local Business Enterprise Clarification Emergency Amendment Act of 2020 (D.C. Act 23-476, Nov. 2, 2020, 67 DCR 13267).

For temporary (90 day) addition, see § 2331 of Fiscal Year 2006 Budget Support Emergency Act of 2005 (D.C. Act 16-168, July 26, 2005, 52 DCR 7667).

For temporary (90 day) amendment of section, see § 2132(a) of Fiscal Year 2007 Budget Support Emergency Act of 2006 (D.C. Act 16-477, August 8, 2006, 53 DCR 7068).

For temporary (90 day) amendment of section, see § 2132(a) of Fiscal Year 2007 Budget Support Congressional Review Emergency Act of 2006 (D.C. Act 16-499, October 23, 2006, 53 DCR 8845).

For temporary (90 day) amendment of section, see § 2(c) of Department of Small and Local Business Development Subcontracting Clarification Emergency Amendment Act of 2006 (D.C. Act 16-513, October 25, 2006, 53 DCR 9091).

For temporary (90 day) amendment of section, see § 2(c) of Department of Small and Local Business Development Subcontracting Clarification Congressional Review Emergency Amendment Act of 2006 (D.C. Act 16-575, December 19, 2006, 54 DCR 24).

For temporary (90 day) amendment of section, see § 2132(a) of Fiscal Year 2007 Budget Support Congressional Review Emergency Act of 2007 (D.C. Act 17-1, January 16, 2007, 54 DCR 1165).

For temporary (90 day) amendment of section, see § 2(f) of Department of Small and Local Business Development Subcontracting Clarification, Benefit Expansion, and Grant-making Authority Emergency Amendment Act of 2007 (D.C. Act 17-156, October 18, 2007, 54 DCR 10919).

For temporary (90 day) amendment of section, see § 2(f) of Department of Small and Local Business Development Subcontracting Clarification, Benefit Expansion, and Grant-making Authority Congressional Review Emergency Amendment Act of 2008 (D.C. Act 17-251, January 23, 2008, 55 DCR 1259).

For temporary (90 day) addition of sections, see §§ 2 to 4 of Department of Transportation Streetscape Construction Survival Fund Emergency Act of 2010 (D.C. Act 18-658, December 28, 2010, 58 DCR 63).

For temporary (90 days) Certified Business Enterprise compliance, see §§ 2 to 6 of the Certified Business Enterprise Compliance Emergency of 2013 (D.C. Act 20-62, April 30, 2013, 60 DCR 6403, 20 DCSTAT 1410).

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Emergency Act of 2014 (D.C. Act 20-377, July 14, 2014, 61 DCR 7598, 20 STAT 3696).

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Congressional Review Emergency Act of 2014 (D.C. Act 20-449, October 10, 2014, 61 DCR 10915, 20 STAT 4188).

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Second Congressional Review Emergency Act of 2014 (D.C. Act 20-566, January 9, 2015, 62 DCR 884, 21 STAT 541).

For temporary (90 days) amendment of this section, see § 2082 of the Fiscal Year 2016 Budget Support Emergency Act of 2015 (D.C. Act 21-127, July 27, 2015, 62 DCR 10201).

Temporary Legislation

For temporary (225 days) amendment of this section, see § 2(a) of Local Business Enterprise Clarification Temporary Amendment Act of 2020 (D.C. Law 23-179, Dec. 23, 2020, 67 DCR 13242).

For temporary (225 day) amendment of section, see § 2(c) of the Department of Small and Local Business Development Subcontracting Clarification Temporary Amendment Act of 2006 (D.C. Law 16-214, March 6, 2007, law notification 54 DCR 2761).

For temporary (225 day) amendment of section, see § 2(f) of the Department of Small and Local Business Development Subcontracting Clarification, Benefit Expansion, and Grant-making Authority Temporary Amendment Act of 2007 (D.C. Law 17-96, January 29, 2008, law notification 55 DCR 3403).

For temporary (225 days) addition of provisions concerning Certified Business Enterprise compliance, see §§ 2 to 6 of the Certified Business Enterprise Compliance Temporary Amendment Act of 2013 (D.C. Law 20-13, July 23, 2013, 60 DCR 7601, 20 DCSTAT 1760).

Short Title

Short title: Section 2131 of D.C. Law 16-192 provided that subtitle K of title II of the act may be cited as the “Local, Small, and Disadvantaged Businesses Enhancement Amendment Act of 2006”.

Editor's Notes

Applicability of D.C. Law 20-108:

Section 4(a) of D.C. Law 20-108 provided that applications pending as of June 10, 2014, shall not be subject to the provisions of the act.

Section 4(b) of D.C. Law 20-108 provided that, except as provided in § 2-218.46(f), contracts existing or pending as of June 10, 2014, shall not be affected by the provisions of the act.

Section 4(c) of D.C. Law 20-108 provided that the act shall apply upon the inclusion of its fiscal effect in an approved budget and financial plan, as certified by the Chief Financial Officer to the Budget Director of the Council in a certification published by the Council in the District of Columbia Register.

Section 4(c) of D.C. Law 20-108 was repealed by D.C. Law 20-155, § 7005.

Applicability of D.C. Law 21-36: Section 2083 of D.C. Law 21-36 provided that section 2082 of the act shall apply as of June 10, 2014.


§ 2–218.31a. Grace period for compliance with § 2-218.31(1A).

*NOTE: This section was created by temporary legislation that will expire on August 5, 2021.*

(a) Except as provided in subsection (b) of this section, a business enterprise currently certified as a local business enterprise pursuant this subchapter that does not meet the requirements of § 2-218.31(1A) and does not submit a new application to the Department of Small and Local Business Development to be recertified as a local business enterprise within 90 days of November 2, 2020, shall have its certification revoked pursuant to§ 2-218.63(a)(2)(B).

(b) A business enterprise currently certified as a local business enterprise pursuant to this subchapter that does not meet the requirements of § 2-218.31(1A) but has an existing contract with the District, shall be permitted to complete the term of that contract, including the base year and any option years under the contract, and receive the appropriate credit towards assisting an agency in meeting its goals pursuant to § 2-218.41 and subcontracting points pursuant to § 2-218.46 under its current certification. Upon completion of the term of that contract, the business enterprise must meet the requirements of § 2-218.31(1A) and be recertified to remain a local business enterprise.


(Dec. 23, 2020, D.C. Law 23-179, § 2(b), 67 DCR 13242.)

Emergency Legislation

For temporary (90 days) creation of this section, see § 2(b) of Local Business Enterprise Clarification Emergency Amendment Act of 2020 (D.C. Act 23-476, Nov. 2, 2020, 67 DCR 13267).

Temporary Legislation

For temporary (225 days) creation of this section, see § 2(b) of Local Business Enterprise Clarification Temporary Amendment Act of 2020 (D.C. Law 23-179, Dec. 23, 2020, 67 DCR 13242).


§ 2–218.32. Small business enterprises.

(a) A business enterprise shall be eligible for certification as a small business enterprise if the business enterprise:

(1)(A) Is a local business enterprise;

(B) Repealed.

(2) Is independently owned, operated, and controlled; and

(3)(A) Is certified by the United States Small Business Administration as a small business concern or meets the definition of a small business concern under the Small Business Act, approved July 18, 1958 (72 Stat. 863; 15 U.S.C. § 631 et seq.); or

(B) Has had averaged annualized gross receipts for the 3 years preceding certification not exceeding the limits established by rules issued pursuant to § 2-218.72.

(b) A business enterprise that is affiliated with another business enterprise through common ownership, management, or control shall be eligible for certification as a small business enterprise if:

(1) The business enterprise seeking certification as a small business enterprise is a local business enterprise;

(2) The consolidated financial statements of the affiliated business enterprises do not exceed the average annualized gross receipt limits established by subsection (a)(3)(B) of this section; and

(3) In the event of a parent-subsidiary affiliation, the parent company qualifies for certification as a small business enterprise.

(c) If a business enterprise seeking certification as a small business enterprise is affiliated only with one or more business enterprises that are in a different line of business, subsection (b) of this section shall not apply, and the business enterprise shall be eligible for certification as a small business enterprise if it meets the requirements of subsection (a) of this section.


(Oct. 20, 2005, D.C. Law 16-33, § 2332, 52 DCR 7503; Mar. 2, 2007, D.C. Law 16-192, § 2132(b), 53 DCR 6899; June 10, 2014, D.C. Law 20-108, § 2(j), 61 DCR 3892.)

Section References

This section is referenced in § 2-218.02 and § 2-218.38.

Effect of Amendments

D.C. Law 16-192 repealed subsec. (a)(1)(B); and, in subsec. (b)(1), deleted “or a qualified metropolitan area business enterprise” following “local business enterprise”. Prior to repeal, subsec. (a)(1)(B) read as follows: “(B) Is a qualified metropolitan area business enterprise;”

The 2014 amendment by D.C. Law 20-108 deleted “or” from the end of (a)(1)(A); added “or meets the definition of a small business concern” in (a)(3)(A); and rewrote (a)(3)(B).

Emergency Legislation

For temporary (90 day) addition, see § 2332 of Fiscal Year 2006 Budget Support Emergency Act of 2005 (D.C. Act 16-168, July 26, 2005, 52 DCR 7667).

For temporary (90 day) amendment of section, see § 2132(b) of Fiscal Year 2007 Budget Support Emergency Act of 2006 (D.C. Act 16-477, August 8, 2006, 53 DCR 7068).

For temporary (90 day) amendment of section, see § 2132(b) of Fiscal Year 2007 Budget Support Congressional Review Emergency Act of 2006 (D.C. Act 16-499, October 23, 2006, 53 DCR 8845).

For temporary (90 day) amendment of section, see § 2132(b) of Fiscal Year 2007 Budget Support Congressional Review Emergency Act of 2007 (D.C. Act 17-1, January 16, 2007, 54 DCR 1165).

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Emergency Act of 2014 (D.C. Act 20-377, July 14, 2014, 61 DCR 7598, 20 STAT 3696).

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Congressional Review Emergency Act of 2014 (D.C. Act 20-449, October 10, 2014, 61 DCR 10915, 20 STAT 4188).

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Second Congressional Review Emergency Act of 2014 (D.C. Act 20-566, January 9, 2015, 62 DCR 884, 21 STAT 541).

Editor's Notes

Applicability of D.C. Law 20-108:

Section 4(a) of D.C. Law 20-108 provided that applications pending as of June 10, 2014, shall not be subject to the provisions of the act.

Section 4(b) of D.C. Law 20-108 provided that, except as provided in § 2-218.46(f), contracts existing or pending as of June 10, 2014, shall not be affected by the provisions of the act.

Section 4(c) of D.C. Law 20-108 provided that the act shall apply upon the inclusion of its fiscal effect in an approved budget and financial plan, as certified by the Chief Financial Officer to the Budget Director of the Council in a certification published by the Council in the District of Columbia Register.

Section 4(c) of D.C. Law 20-108 was repealed by D.C. Law 20-155, § 7005.


§ 2–218.33. Disadvantaged business enterprises.

(a) A business enterprise shall be eligible for certification as a disadvantaged business enterprise if the business enterprise is:

(1) Owned, operated, and controlled by economically disadvantaged individuals; and

(2)(A) Is a local business enterprise; or

(B) Repealed.

(b) A business enterprise that is affiliated with another business enterprise through common ownership, management, or control shall be eligible for certification as a disadvantaged business enterprise if:

(1) The business enterprise seeking certification as a disadvantaged business enterprise is a local business enterprise;

(2) In the event of a parent-subsidiary affiliation, both enterprises meet the requirements of subsection (a) of this section; and

(3) The business enterprise has annualized gross receipts not exceeding limits as enumerated in rules issued pursuant to § 2-218.72.


(Oct. 20, 2005, D.C. Law 16-33, § 2333, 52 DCR 7503; Mar. 2, 2007, D.C. Law 16-192, § 2132(c), 53 DCR 6899; Apr. 20, 2010, D.C. Law 18-141, § 2(f), 57 DCR 1485; June 10, 2014, D.C. Law 20-108, § 2(k), 61 DCR 3892.)

Section References

This section is referenced in § 2-218.02.

Effect of Amendments

D.C. Law 16-192 repealed subsec. (a)(2)(B); and, in subsec. (b)(1), deleted “or a qualified metropolitan area business enterprise” following “local business enterprise”. Prior to repeal, subsec. (a)(2)(B) read as follows: “(B) Is a qualified metropolitan area business enterprise;”

D.C. Law 18-141, in subsec. (b), deleted “and” from the end of par. (1); substituted “; and” for a period at the end of par. (2), and added par. (3).

The 2014 amendment by D.C. Law 20-108 substituted “has annualized gross receipts not exceeding limits as enumerated in rules issued pursuant to § 2-218.72” for “has an average annualized gross receipts totaling $75 million or less” in (b)(3).

Emergency Legislation

For temporary (90 day) addition, see § 2333 of Fiscal Year 2006 Budget Support Emergency Act of 2005 (D.C. Act 16-168, July 26, 2005, 52 DCR 7667).

For temporary (90 day) amendment of section, see § 2132(c) of Fiscal Year 2007 Budget Support Emergency Act of 2006 (D.C. Act 16-477, August 8, 2006, 53 DCR 7068).

For temporary (90 day) amendment of section, see § 2132(c) of Fiscal Year 2007 Budget Support Congressional Review Emergency Act of 2006 (D.C. Act 16-499, October 23, 2006, 53 DCR 8845).

For temporary (90 day) amendment of section, see § 2132(c) of Fiscal Year 2007 Budget Support Congressional Review Emergency Act of 2007 (D.C. Act 17-1, January 16, 2007, 54 DCR 1165).

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Emergency Act of 2014 (D.C. Act 20-377, July 14, 2014, 61 DCR 7598, 20 STAT 3696).

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Congressional Review Emergency Act of 2014 (D.C. Act 20-449, October 10, 2014, 61 DCR 10915, 20 STAT 4188).

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Second Congressional Review Emergency Act of 2014 (D.C. Act 20-566, January 9, 2015, 62 DCR 884, 21 STAT 541).

Editor's Notes

Applicability of D.C. Law 20-108:

Section 4(a) of D.C. Law 20-108 provided that applications pending as of June 10, 2014, shall not be subject to the provisions of the act.

Section 4(b) of D.C. Law 20-108 provided that, except as provided in § 2-218.46(f), contracts existing or pending as of June 10, 2014, shall not be affected by the provisions of the act.

Section 4(c) of D.C. Law 20-108 provided that the act shall apply upon the inclusion of its fiscal effect in an approved budget and financial plan, as certified by the Chief Financial Officer to the Budget Director of the Council in a certification published by the Council in the District of Columbia Register.

Section 4(c) of D.C. Law 20-108 was repealed by D.C. Law 20-155, § 7005.


§ 2–218.34. Qualified metropolitan area business enterprises. [Repealed]

Repealed.


(Oct. 20, 2005, D.C. Law 16-33, § 2334, 52 DCR 7503; Mar. 2, 2007, D.C. Law 16-192, § 2132(d), 53 DCR 6899.)

Emergency Legislation

For temporary (90 day) addition, see § 2334 of Fiscal Year 2006 Budget Support Emergency Act of 2005 (D.C. Act 16-168, July 26, 2005, 52 DCR 7667).

For temporary (90 day) repeal of section, see § 2132(d) of Fiscal Year 2007 Budget Support Emergency Act of 2006 (D.C. Act 16-477, August 8, 2006, 53 DCR 7068).

For temporary (90 day) repeal of section, see § 2132(d) of Fiscal Year 2007 Budget Support Congressional Review Emergency Act of 2006 (D.C. Act 16-499, October 23, 2006, 53 DCR 8845).

For temporary (90 day) repeal of section, see § 2132(d) of Fiscal Year 2007 Budget Support Congressional Review Emergency Act of 2007 (D.C. Act 17-1, January 16, 2007, 54 DCR 1165).


§ 2–218.35. Resident-owned businesses.

A business enterprise shall be eligible for certification as a resident-owned business if it meets the definition of resident-owned business pursuant to § 2-218.02(15).


(Oct. 20, 2005, D.C. Law 16-33, § 2335, 52 DCR 7503; June 10, 2014, D.C. Law 20-108, § 2(l), 61 DCR 3892.)

Section References

This section is referenced in § 2-218.75.

Effect of Amendments

The 2014 amendment by D.C. Law 20-108 substituted “§ 2-218.02(15)” for “§ 2-218.02.”

Emergency Legislation

For temporary (90 day) addition, see § 2335 of Fiscal Year 2006 Budget Support Emergency Act of 2005 (D.C. Act 16-168, July 26, 2005, 52 DCR 7667).

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Emergency Act of 2014 (D.C. Act 20-377, July 14, 2014, 61 DCR 7598, 20 STAT 3696).

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Congressional Review Emergency Act of 2014 (D.C. Act 20-449, October 10, 2014, 61 DCR 10915, 20 STAT 4188).

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Second Congressional Review Emergency Act of 2014 (D.C. Act 20-566, January 9, 2015, 62 DCR 884, 21 STAT 541).

Editor's Notes

Applicability of D.C. Law 20-108: Section 4(a) of D.C. Law 20-108 provided that applications pending as of June 10, 2014, shall not be subject to the provisions of the act.

Section 4(b) of D.C. Law 20-108 (b) provided that, except as provided in § 2-218.46(f), contracts existing or pending as of June 10, 2014, shall not be affected by the provisions of the act.

Section 4(c) of D.C. Law 20-108 provided that the act shall apply upon the inclusion of its fiscal effect in an approved budget and financial plan, as certified by the Chief Financial Officer to the Budget Director of the Council in a certification published by the Council in the District of Columbia Register.

Section 4(c) of D.C. Law 20-108 was repealed by D.C. Law 20-155, § 7005.


§ 2–218.36. Longtime resident businesses.

A business enterprise shall be eligible for certification as a longtime resident business if it meets the definition of longtime resident business pursuant to § 2-218.02(13).


(Oct. 20, 2005, D.C. Law 16-33, § 2336, 52 DCR 7503; June 10, 2014, D.C. Law 20-108, § 2(m), 61 DCR 3892.)

Effect of Amendments

The 2014 amendment by D.C. Law 20-108 substituted “§ 2-218.02(13)” for “§ 2-218.02.”

Emergency Legislation

For temporary (90 day) addition, see § 2336 of Fiscal Year 2006 Budget Support Emergency Act of 2005 (D.C. Act 16-168, July 26, 2005, 52 DCR 7667).

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Emergency Act of 2014 (D.C. Act 20-377, July 14, 2014, 61 DCR 7598, 20 STAT 3696).

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Congressional Review Emergency Act of 2014 (D.C. Act 20-449, October 10, 2014, 61 DCR 10915, 20 STAT 4188).

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Second Congressional Review Emergency Act of 2014 (D.C. Act 20-566, January 9, 2015, 62 DCR 884, 21 STAT 541).

Editor's Notes

Applicability of D.C. Law 20-108: Section 4(a) of D.C. Law 20-108 provided that applications pending as of June 10, 2014, shall not be subject to the provisions of the act.

Section 4(b) of D.C. Law 20-108 provided that, except as provided in § 2-218.46(f), contracts existing or pending as of June 10, 2014, shall not be affected by the provisions of the act.

Section 4(c) of D.C. Law 20-108 provided that the act shall apply upon the inclusion of its fiscal effect in an approved budget and financial plan, as certified by the Chief Financial Officer to the Budget Director of the Council in a certification published by the Council in the District of Columbia Register.

Section 4(c) of D.C. Law 20-108 was repealed by D.C. Law 20-155, § 7005.


§ 2–218.37. Local business enterprises with principal offices located in an enterprise zone.

A local business enterprise shall be eligible for certification as a local business enterprise with principal offices located in an enterprise zone if its principal offices are located in an enterprise zone as defined by § 2-218.02(8).


(Oct. 20, 2005, D.C. Law 16-33, § 2337, 52 DCR 7503; June 10, 2014, D.C. Law 20-108, § 2(n), 61 DCR 3892.)

Effect of Amendments

The 2014 amendment by D.C. Law 20-108 substituted “§ 2-218.02(8)” for “§ 2-218.02.”

Emergency Legislation

For temporary (90 day) addition, see § 2337 of Fiscal Year 2006 Budget Support Emergency Act of 2005 (D.C. Act 16-168, July 26, 2005, 52 DCR 7667).

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Emergency Act of 2014 (D.C. Act 20-377, July 14, 2014, 61 DCR 7598, 20 STAT 3696).

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Congressional Review Emergency Act of 2014 (D.C. Act 20-449, October 10, 2014, 61 DCR 10915, 20 STAT 4188).

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Second Congressional Review Emergency Act of 2014 (D.C. Act 20-566, January 9, 2015, 62 DCR 884, 21 STAT 541).

Editor's Notes

Applicability of D.C. Law 20-108: Section 4(a) of D.C. Law 20-108 provided that applications pending as of June 10, 2014, shall not be subject to the provisions of the act.

Section 4(b) of D.C. Law 20-108 (b) provided that, except as provided in § 2-218.46(f), contracts existing or pending as of June 10, 2014, shall not be affected by the provisions of the act.

Section 4(c) of D.C. Law 20-108 provided that the act shall apply upon the inclusion of its fiscal effect in an approved budget and financial plan, as certified by the Chief Financial Officer to the Budget Director of the Council in a certification published by the Council in the District of Columbia Register.

Section 4(c) of D.C. Law 20-108 was repealed by D.C. Law 20-155, § 7005.


§ 2–218.38. Veteran-owned business enterprises.

A business enterprise shall be eligible for certification as a veteran-owned business enterprise if the business enterprise:

(1) Is a local business enterprise;

(2) Is not less than 51% owned and operated by one of more veterans (as defined in 38 U.S.C. § 101(2));

(3) In the case of any publicly owned business, not less than 51% of the stock of which is owned by one or more veterans; and

(4) One or more veterans control the management and daily operations.


(Oct. 20, 2005, D.C. Law 16-33, § 2338; as added Apr. 20, 2010, D.C. Law 18-141, § 2(g), 57 DCR 1485; June 10, 2014, D.C. Law 20-108, § 2(o), 61 DCR 3892.)

Section References

This section is referenced in § 2-218.02.

Effect of Amendments

The 2014 amendment by D.C. Law 20-108 rewrote (1).

Emergency Legislation

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Emergency Act of 2014 (D.C. Act 20-377, July 14, 2014, 61 DCR 7598, 20 STAT 3696).

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Congressional Review Emergency Act of 2014 (D.C. Act 20-449, October 10, 2014, 61 DCR 10915, 20 STAT 4188).

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Second Congressional Review Emergency Act of 2014 (D.C. Act 20-566, January 9, 2015, 62 DCR 884, 21 STAT 541).

Editor's Notes

Applicability of D.C. Law 20-108: Section 4(a) of D.C. Law 20-108 provided that applications pending as of June 10, 2014, shall not be subject to the provisions of the act.

Section 4(b) of D.C. Law 20-108 provided that, except as provided in § 2-218.46(f), contracts existing or pending as of June 10, 2014, shall not be affected by the provisions of the act.

Section 4(c) of D.C. Law 20-108 provided that the act shall apply upon the inclusion of its fiscal effect in an approved budget and financial plan, as certified by the Chief Financial Officer to the Budget Director of the Council in a certification published by the Council in the District of Columbia Register.

Section 4(c) of D.C. Law 20-108 was repealed by D.C. Law 20-155, § 7005.


§ 2–218.39. Local manufacturing business enterprises.

A business enterprise shall be eligible for certification as a local manufacturing business enterprise if the business enterprise:

(1) Is a local business enterprise;

(2) Makes a product through a process involving raw materials, components, or assemblies, usually on a large scale, with different operations divided among different workers; and

(3) Repealed;

(4) Manufactures only in the District of Columbia.


(Oct. 20, 2005, D.C. Law 16-33, § 2339; as added Apr. 20, 2010, D.C. Law 18-141, § 2(g), 57 DCR 1485; June 10, 2014, D.C. Law 20-108, § 2(p), 61 DCR 3892.)

Section References

This section is referenced in § 2-218.02.

Effect of Amendments

The 2014 amendment by D.C. Law 20-108 rewrote (1); added “and” at the end of (2); repealed (3); and substituted “Manufactures only” for “Has its principal location of manufacturing” in (4).

Emergency Legislation

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Emergency Act of 2014 (D.C. Act 20-377, July 14, 2014, 61 DCR 7598, 20 STAT 3696).

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Congressional Review Emergency Act of 2014 (D.C. Act 20-449, October 10, 2014, 61 DCR 10915, 20 STAT 4188).

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Second Congressional Review Emergency Act of 2014 (D.C. Act 20-566, January 9, 2015, 62 DCR 884, 21 STAT 541).

Editor's Notes

Applicability of D.C. Law 20-108: Section 4(a) of D.C. Law 20-108 provided that applications pending as of June 10, 2014, shall not be subject to the provisions of the act.

Section 4(b) of D.C. Law 20-108 provided that, except as provided in § 2-218.46(f), contracts existing or pending as of June 10, 2014, shall not be affected by the provisions of the act.

Section 4(c) of D.C. Law 20-108 provided that the act shall apply upon the inclusion of its fiscal effect in an approved budget and financial plan, as certified by the Chief Financial Officer to the Budget Director of the Council in a certification published by the Council in the District of Columbia Register.

Section 4(c) of D.C. Law 20-108 was repealed by D.C. Law 20-155, § 7005.


§ 2–218.39a. Certified joint venture.

(a) A joint venture shall be eligible for certification as a certified joint venture if the joint venture intends to submit a response to solicitation in which the joint venture will provide goods or perform services, and has a member that owns a majority or minority interest in the joint venture and meets the definition of a certified business enterprise pursuant to § 2-218.02(1D). A joint venture shall be certified for a specific solicitation. The Department shall promulgate regulations that provide for a simplified procedure for the certification of a joint venture if the joint venture, having the same participants and structure, has been certified by the Department on a previous government-assisted project.

(a-1) The Department shall have the authority to certify a joint venture for all public, public-private, and private projects.

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

(1) “Majority interest” means:

(A) More than 50% of the total combined voting power of all classes of stock of the joint venture business enterprise or more than 50% of the total value of all of the joint venture business enterprise;

(B) A financial contribution to the enterprise of more than 50%; and

(C) More than 50% of the total interest in the capital, profits, and loss, or beneficial interest in the joint venture business enterprise.

(2) “Minority interest” means:

(A) Less than 50% of the total combined voting power of all classes of stock of the joint venture business enterprise or less than 50% of the total value of all of the joint venture business enterprise;

(B) A financial contribution to the enterprise of less than 50%; and

(C) Less than 50% of the total interest in the capital, profits, and loss, or beneficial interest in the joint venture business enterprise.

(c) In determining whether a joint venture is eligible to be certified as a certified joint venture, the Department shall consider the totality of the circumstances, including the defined contributions and defined benefits provided by each member of the joint venture, which shall be demonstrated by the following information:

(1) Organizational documents of the joint venture, including the joint venture agreement, the operating agreement, and any other agreement between or among the members of the joint venture; and

(2) Documentation of the financial contribution of each joint venture member, including access to bank records and organizational resolutions and agreements.

(d) Decisions concerning the affairs of the business shall require the consent of those members with voting rights holding at least a majority interest in the business.

(e) A joint venture shall relinquish its status as a certified joint venture if it has not been awarded the contract or if the solicitation has been withdrawn or cancelled.

(f) Unless a joint venture’s certification is relinquished pursuant to subsection (e) of this section, a certified joint venture shall retain its certification for the duration of the contract awarded through the solicitation for which it was certified, including any extension of the contract.

(g) A joint venture shall not be certified:

(1) To meet the small and certified business enterprise subcontracting requirements set forth in § 2-218.46; or

(2) To meet the small and certified business equity and development participation requirements set forth in § 2-218.49a.

(h) A certified joint venture shall receive preference points or price reductions in accordance with § 2-218.43 as follows:

(1) If the Department determines that a certified business enterprise owns a majority interest in the joint venture, the joint venture shall receive the preference points or price reductions that the certified business enterprise would receive in accordance with § 2-218.43; provided, that if the certified joint venture is formed to serve as a general contractor on a project, the joint venture shall be required also to establish to the reasonable satisfaction of the Department that:

(A) The certified business enterprise owner with majority interest in the joint venture has bonding capacity equal to at least 51% of the total contract amount;

(B) The individual primarily responsible for project decisions, such as the project executive, shall be provided by the certified business enterprise; and

(C) At least 50% of the staff that the joint venture will devote to the project will be provided by the certified business enterprise.

(2) If the Department determines that a certified business enterprise owns a minority interest in the joint venture, the Department’s certification of the joint venture shall indicate such and specify the preference points or price reductions that the joint venture shall receive, but in no event shall the preference points or price reductions exceed 50% of the preference points or price reductions that would otherwise be applicable to the certified business joint venture partner.

(3) Similar to the requirements set forth in paragraph (1)(A), (B), and (C) of this subsection, the Department may adopt regulations that establish additional industry-specific requirements for the certification of a joint venture that has a majority interest held by a certified business enterprise.

(i)(1) No later than 60 days after the end of each operating quarter of the calendar year, a joint venture shall submit quarterly income statements to the Department showing all income and contract receipts and expenses, including the:

(A) Fees for services and labor;

(B) Salaries of the principals of the joint venture; and

(C) Distribution of profits.

(2) No later than 45 days after the completion of the project, the joint venture shall submit a project-end income statement to the Department with a statement of final profit distribution.


(Oct. 20, 2005, D.C. Law 16-33, § 2339a; as added Apr. 20, 2010, D.C. Law 18-141, § 2(g), 57 DCR 1485; June 10, 2014, D.C. Law 20-108, § 2(q), 61 DCR 3892; Apr. 1, 2017, D.C. Law 21-236, § 2(a), 64 DCR 937.)

Effect of Amendments

The 2014 amendment by D.C. Law 20-108 substituted ‘Certified joint venture” for “Joint venture business enterprises” in the section heading; rewrote (a); added (a-1); rewrote the introductory language of (c); added “of the joint venture” in (c)(1); substituted “each joint venture member” for “each member” in (c)(2); and added (e), (f), (g) and (h).

Emergency Legislation

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Emergency Act of 2014 (D.C. Act 20-377, July 14, 2014, 61 DCR 7598, 20 STAT 3696).

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Congressional Review Emergency Act of 2014 (D.C. Act 20-449, October 10, 2014, 61 DCR 10915, 20 STAT 4188).

For temporary (90 days) repeal of D.C. Law 20-108, § 4(c), see § 7005 of the Fiscal Year 2015 Budget Support Second Congressional Review Emergency Act of 2014 (D.C. Act 20-566, January 9, 2015, 62 DCR 884, 21 STAT 541).

Editor's Notes

Applicability of D.C. Law 20-108: Section 4(a) of D.C. Law 20-108 provided that applications pending as of June 10, 2014, shall not be subject to the provisions of the act.

Section 4(b) of D.C. Law 20-108 provided that, except as provided in § 2-218.46(f), contracts existing or pending as of June 10, 2014, shall not be affected by the provisions of the act.

Section 4(c) of D.C. Law 20-108 provided that the act shall apply upon the inclusion of its fiscal effect in an approved budget and financial plan, as certified by the Chief Financial Officer to the Budget Director of the Council in a certification published by the Council in the District of Columbia Register.

Section 4(c) of D.C. Law 20-108 was repealed by D.C. Law 20-155, § 7005.