Vacant and Abandoned Properties Community Development Act of 2002
Bill 14-675

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A BILL IN THE COUNCIL OF THE DISTRICT OF COLUMBIA

To authorize the Mayor to dispose of certain vacant and abandoned properties owned by the District pursuant to a request for proposals seeking the redevelopment and resale of the properties for residential use.

BE IT ENACTED BY THE COUNCIL OF THE DISTRICT OF COLUMBIA, That this act may be cited as the "Vacant and Abandoned Properties Community Development Act of 2002".

Sec. 2. Properties subject to disposition.

(a) The Mayor may dispose of a vacant or abandoned property pursuant to this act if

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

(2) The property is a single-household residence or a multi-household residence of 5 units or fewer; and

(3) (A) The property is listed in section 11; or

(B) Disposition of the property pursuant to this act is approved by the Council pursuant to a resolution transmitted by the Mayor for a 60-day period of review, excluding days of Council recess; provided, if the Council does not approve or disapprove the resolution within the 60-day period, the resolution shall be deemed approved.

(b) The authority of the Mayor under this act shall expire on September 30, 2003.

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

(b) A property disposed of pursuant to this act shall be disposed of as part of a bundle of at least 5, and not more than 25, properties.

Sec. 4. Persons eligible to purchase property.

(a) Except as provided in subsection (b) of this section, the Mayor shall not dispose of a property pursuant to this act unless the disposition is to a person the Mayor has qualified pursuant to the "Request for qualifications for the development of scattered vacant and abandoned properties in the District of Columbia" issued by the Government of the District of Columbia in February 2002 ("February 2002 RFQ").

(b) The Mayor may dispose of a property pursuant to this act to a person qualified pursuant to a request for qualifications that contains substantially similar qualification criteria as the February 2002 RFQ.

Sec. 5. Minimum standards for disposition.

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

(1) No person shall be eligible to submit a proposal unless the person is eligible pursuant to section 3 of this act.

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

(3) No person shall be eligible to purchase a property disposed of pursuant to this act unless the persons first signs a certificate evidencing the person's intent to enter into a memorandum of understanding with the Office of Local Business Development to make a good-faith effort to contract with, and procure from, local, small, and disadvantaged business enterprises. The contents of the certificate and the memorandum shall be determined by the Office of Local Business Development.

(4) Each property disposed of pursuant to the request for proposals shall be rehabilitated and offered for sale to the public in no more than 2 years, or such shorter period determined by the Mayor, after the disposition of the property.

(5) At least one-third of the properties disposed of pursuant to the request for proposals, or such greater proportion determined by the Mayor, shall be sold at a price affordable to a household earning 60% of the area median income. If the number representing one-third of the properties is not a whole number, the Mayor may round to the next lower whole number.

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

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

Sec. 6. Subsidies.

(a) The Mayor may offer a subsidy as part of the request for proposals for the disposition of a bundle of properties to:

(1) Attain a clearly stated affordability component; or

(2) Make feasible the rehabilitation and resale of the properties at market price.

(b) If the Mayor offers a subsidy as part of a request for proposals, the subsidy shall be stated as a maximum available amount, and more points shall be awarded to an offeror requesting a smaller subsidy.

Sec. 7. Evaluation criteria of a request for proposals.

(a) A request for proposals to dispose of properties pursuant to this act shall use the following evaluation criteria and point system:

(1) Timeline for rehabilitation and resale. All properties shall be rehabilitated and offered for sale within 2 years of their disposition, or such shorter period determined by the Mayor. More points shall be awarded for shorter rehabilitation and resale periods. The Mayor may also award more points based on the proposed order of completing the rehabilitation of each property; provided, the Mayor shall provide a preferred order in the request for proposals. (15 points)

(2) Offering price. More points shall be awarded for a higher offering price. If a subsidy is requested, the subsidy shall be considered in conjunction with the offering price. (10 points)

(3) Quality of rehabilitation. More points shall be awarded for higher-quality rehabilitation. (3 points)

(4) Affordability. The minimum affordability level shall be determined pursuant to section 5(a)(5). More points shall be awarded for offering additional properties for sale to households with incomes of 80% or less of area median income and for lower sales prices offered on properties above the 80°/ threshold. -- (15 points)

(5) Level of LSDBE involvement. Pursuant to section 5(a)(3), a person submitting a winning proposal will be required to enter into an LSDBE MOU. More points shall be awarded for greater involvement by, or commitment to involve, local, small, and disadvantaged business enterprises. (10 points)

(6) Feasibility. A determination that the properties will likely be developed and sold in the timeline proposed, with the quality of construction proposed, and at the sales prices proposed. The Mayor may reject an offer that the Mayor deems is infeasible. (20 points)

Sec. 8. Formal disposition of properties.

(a) Within 90 days after a winning proposal is selected, or such shorter period as may be determined by the Mayor, the Mayor and the person submitting the winning proposal shall close on the disposition of the properties.

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

(1) Construction financing shall be in place;

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

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

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

Sec. 9. Evaluation committee.

The Mayor shall establish an evaluation committee of at least 5 members to review and make recommendations to the Mayor on the proposal to accept. At least 2 members of the evaluation committee shall not be government employees and shall have professional experience related to the evaluation of the proposals.

Sec. 10. Quarterly report.

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

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

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

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

(4) A copy of each proposal submitted in response to an RFP during the quarter;

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

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

(7) A cumulative list of each property disposed of pursuant to this act, the status of the rehabilitation of the property, and whether the developer has resold the property for residential occupancy; and

(8) Any other relevant information.

Sec. 11. Approved disposition properties.

The following properties may be disposed of pursuant to this act:

(a) The following properties to the extent the property is a residential property or will be rehabilitated for residential use:

(1) Square 3401, Lot 0055 (22 Farragut Place, NW);
(2) Square 3401, Lot 0060 (12 Farragut Place, NW);
(3) Square 4469, Lot 0053 (1145 Summit Street, NE);
(4) Square 5755, Lot 0101 (1626 Galen Street, SE);
(5) Square 5168, Lot 0015 (4718 Quarles Street, NE);
(6) Square 5168, Lot 00 15 (4720 Quarles Street, NE);
(7) Square 5168, Lot 0015 (4722 Quarles Street, NE);
(8) Square 5727, Lot 0811 (Buena Vista Terrace, SE);
(9) Square 3401, Lot 0056 (20 Farragut Place, NW);
(10) Square 3401, Lot 0058 (16 Farragut Place, NW);
(11) Square 3401, Lot 0059 (14 Farragut Place, NW);
(12) Square 4078, Lot 0214 (1239 16th Street, NE);
(13) Square 5083, Lot 0120 (4041 Benning Road, NE);
(14) Square 5176, Lot 0995 (4933 Sheriff Road, NE);
(15) Square 5260, Lot 0806 (Dix Street, NE);
(16) Square 5765, Lot 0853 (1650 U Street, SE);
(17) Square 0362, Lot 0242 (1822 9th Street, NW);
(18) Square 0362, Lot 0249 (909 S Street, NW);
(19) Square 2842, Lot 0051 (1120 Park Road, NW);
(20) Square 2854, Lot 0073 (1319 Harvard Street, NW);
(21) Square 3038, Lot 0833 (619 Park Road, NW);
(22) Square 0363, Lot 0035 (920 French Street, NW);
(23) Square 0363, Lot 0075 (932 French Street, NW);
(24) Square 0509, Lot 0111 (1603 5th Street, NW);
(25) Square 0526, Lot 0815 (1031 4th Street, NW);
(26) Square 3010, Lot 0194 (814 Delafield Place, NW);
(27) Square 3210, Lot 0098 (5212 5th Street, NW);
(28) Square 3237, Lot 0061 (406 Shepherd Street, NW);
(29) Square 3319, Lot 0820 (223 Webster Street, NW);
(30) Square 3705, Lot 0823 (Riggs Road, NE);
(31) Square 0519, Lot 0041 (307 R Street, NW);
(32) Square 3562, Lot 0002 (320 V Street, NE);
(33) Square 3563, Lot 0108 (2023 3rd Street, NE);
(34) Square 4039, Lot 0807 (964 Mount Olivet Road, NE);
(35) Square 4055, Lot 0040 (NE);
(36) Square 4055, Lot 0130 (NE);
(37) Square 4057, Lot 0193 (1259 Holbrook Terrace, NE);
(38) Square 4058, Lot 0801 (1612 Montello Avenue, NE);
(39) Square 4083, Lot 0012 (1721 Holbrook Street, NE);
(40) Square 4253, Lot 0818 (NE);
(41) Square 4315, Lot 0814 (2616 Myrtle Avenue, NE);
(42) Square 4319, Lot 0072 (NE);
(43) Square 4445, Lot 0819 (18th Place, NE);
(44) Square 4469, Lot 0054 (1147 Summit Street, NE);
(45) Square 1550, Lot 0164 (NE);
(46) Square 0776, Lot 0050 (1 Street, NE);
(47) Square 0836, Lot 0060 (513 E Street, NE);
(48) Square 0855, Lot 0319 (655 Morton Street, NE);
(49) Square 1003, Lot 0049 (1215 Wylie Street, NE);
(50) Square 1003, Lot 0050 (1217 Wylie Street, NE);
(51) Square 1003, Lot 0812 (1209 Wylie Street, NE);
(52) Square 1029, Lot 0087 (1337 Emerald Street, NE);
(53) Square 10725, Lot 0046 (1527 Independence Avenue, SE);
(54) Square 1112, Lot 0088 (1816 Bay Street, SE);
(55) Square 4540, Lot 0147 (649 16th Street, NE);
(56) Square 4540, Lot 0829 (647 16th Street, NE);
(57) Square 5765, Lot 0884 (1648 U Street, SE);
(58) Square 5801, Lot 0284 (2315 Chester Street, SE);
(59) Square 5804, Lot 0195 (2321 High Street, SE);
(60) Square 5045, Lot 0017 (209 35th Street, NE);
(61) Square 5129, Lot 0815 (4511 Gault Place, NE);
(62) Square 5150, Lot 0095 (831 46th Street, NE);
(63) Square 5150, Lot 0105 (4619 Jay Street, NE);
(64) Square 5154, Lot 0013 (4607 Kane Place, NE);
(65) Square 5174, Lot 0022, (1109 50th Place, NE);
(66) Square 5176, Lot 0989 (4906 Jay Street, NE);
(67) Square 5210, Lot 0034 (5354 Nannie Helen Burroughs Avenue, NE);
(68) Square 5210, Lot 0035 (5354 Nannie Helen Burroughs Avenue, NE);
(69) Square 5210, Lot 0036 (5354 Nannie Helen Burroughs Avenue, NE);
(70) Square 5243, Lot 0032 (5300 East Capitol Street, NE);
(71) Square 5251, Lot 0818 (Clay Place, NE);
(72) Square 5298, Lot 0017 (5302 F Street, SE);
(73) Square 5302, Lot 0010 (5341 C Street, SE);
(74) Square 5317, Lot 0009 (5135 F Street, SE);
(75) Square 5336, Lot 0029 (4919 C Street, SE);
(76) Square 5340, Lot 0050 (5019 H Street, SE);
(77) Square 5349, Lot 0014 (39 47th Street, SE);
(78) Square 5362, Lot 0193 (4675 H Street, SE);
(79) Square 5362, Lot 0194 (5001 Benning Road, SE);
(80) Square 5362, Lot 0195 (5007 Benning Road, SE);
(81) Square 5447, Lot 0800 (3227 D Street, SE);
(82) Square 5579, Lot 0055 (SE);
(83) Square 5727, Lot 0810 (Buena Vista Terrace, SE);
(84) Square 5740, Lot 0028 (Ainger Place, SE);
(85) Square 5740, Lot 0034 (SE);
(86) Square 5740, Lot 0852 (Skyland Terrace, SE);
(87) Square 5827, Lot 0010 (2302 Pomeroy Road, SE);
(88) Square 5867, Lot 0174 (2808 Wade Road, SE);
(89) Square 5867, Lot 0898 (Wade Road, SE);
(90) Square 5936, Lot 0802 (3401 13th Street SE);
(91) Square 5946, Lot 0805 (1201 Alabama Avenue, SE);
(92) Square 5970, Lot 2030 (3423 5th Street, SE Unit 24);
(93) Square 6158, Lot 0090 (832 Yuma Street, SE);
(94) Square 6208, Lot 0048 (4250 6th Street, SE);
(95)Square 6208, Lot 0054 (4238 6th Street, SE);
(96) Square 6239, Lot 0060 (62 Forrester Street, SW);
(97) Square 6239, Lot 0082 (105 Galveston Place, SW);
(98) Square 6240, Lot 0083 (161 Forrester Street, SW); or

(b) A property approved by the Council by resolution.

Sec. 12. Disapproval of pending disposition resolution.

Proposed Resolution 14-585, "Disposition of Certain Scattered Vacant and Abandoned Properties Approval Resolution of 2002", is disapproved.

Sec. 13. Fiscal impact statement.

The Council adopts the attached fiscal impact statement as the fiscal impact statement required by section 602(c)(3) of the District of Columbia Home Rule Act, approved December 24, 1973 (87 Stat. 813; D.C. Official Code §1-206.02(c)(3)).

Sec. 14. Effective date.

This act shall take effect following approval by the Mayor (or in the event of veto by the Mayor, action by the Council to override the veto)a 30-day period of Congressional review as provided in section 602(c)(1) of the District of Columbia Home Rule Act, approved December 24, 1973 (87 Stat. 788; D.C. Official Code §1-206.02(c)(1)), and publication in the District of Columbia Register.