Mayor Anthony Williams and City Council Chairman Linda Cropp
Letter to National Capital Revitalization Corporation
Requesting return of excess taxes
August 19, 2003

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August 19, 2003

Ms. Karen Hardwick
Chairman
National Capital Revitalization Corporation 
1801 K Street NW, Suite 1200 
Washington, D.C. 20006

Mr. Theodore Carter
Chief Executive Officer
National Capital Revitalization Corporation 
1801 K Street NW, Suite 1200 
Washington, D.C. 20006

Dear Karen and Ted:

We write in regard to a potential dispute with the National Capital Revitalization Corporation (NCRC) concerning the disposition of monies collected pursuant to D.C. Official Code § 47-2752. The clearly stated purpose for the collection of these funds was to aid in the financing of the downtown sports and entertainment arena. This purpose has been met in full. The construction is now complete, and the bonds that were issued to finance the development of the arena have been paid off. Monies, however, remain in accounts established under the bond resolution governing the bonds.

Corporation Counsel, Robert Spagnoletti, has advised that the money, excluding amounts attributable to ground lease payments, should be paid to the District's General Fund and not to the NCRC. The General Counsel to the Chief Financial Officer concurs with Mr. Spagnoletti's opinion. Although Corporation Counsel is prepared to defend the opinion in court, we hope that such action will not be necessary. It is our wish that neither litigation nor clarifying legislation will be necessary and that the NCRC will agree that these monies, which, we emphasize, were collected specifically to aid in the development of an arena and are not now needed for that purpose, be returned to the District for deposit in the General band.

We propose that John Koskinen, Kelvin Robinson, Dr. Natwar Gandhi, and a representative of the Council meet with you to discuss this matter further. With the focus on the best interests of the District and away from litigation, we look forward to a speedy and amicable resolution of this issue.

Sincerely,
Linda W. Cropp
Chairman, Council of the District of Columbia

Anthony A. Williams
Mayor District of Columbia