(a) Subject to the requirements of §§ 2-1215.05 and 2-1215.06, the formation of the Southwest BID, including nonexempt real property within the geographic area set forth in subsection (b) of this section, is authorized and the BID taxes established in subsection (c) of this section shall be imposed through the expiration of this subchapter or the termination or dissolution of the BID.
(b) The Southwest BID shall be comprised of the geographic area bounded by a line beginning the geographic area bounded by a line that starts at the center of the street at the intersection of 15th Street, S.W., and Independence Avenue, S.W.; continuing east along the center line of Independence Avenue, S.W., to the center of the intersection of Independence Avenue, S.W., and 2nd Street, S.W.; continuing south along the center line of 2nd Street, S.W., to the western boundary of the Southeast-Southwest Freeway (I-395); continuing south and southeast along the southwestern boundary of the Southeast-Southwest Freeway (I-395) to the intersection of the Southeast-Southwest Freeway (I-395) and South Capitol Street; continuing south along the center line of South Capitol Street to the intersection of the center line of South Capitol Street and the southern boundary of M Street, S.W.; continuing along southern boundary of M Street, S.W., to the center of the intersection of southern boundary of M Street, S.W., and center line of 6th Street, S.W.; continuing along the center line of 6th Street, S.W., to the intersection of 6th Street, S.W., and the water’s edge of the Washington Channel; continuing along the bank of the Washington Channel northwest to the intersection of the bank of the Washington Channel and 15th Street, S.W.; continuing along the center line of 15th Street, S.W., to the center of the intersection of 15th Street, S.W., and Independence Avenue, S.W.; provided, that the lots located in Squares 0267, 0268, and 0299 shall not be included within the Southwest BID.
(c)(1) The BID taxes for the nonexempt properties in the Southwest BID shall be:
(A)(i) The amount of $0.15 per square foot for each net rentable square foot of improved Class 2 Property, excluding property defined in § 47-813(c-3)(3) and property covered by sub-subparagraph (iii) of this subparagraph for any property for which the owner is required to report net rentable area to the Office of Tax and Revenue or for which the Office of Tax and Revenue has records indicating the net rentable area of the property;
(ii) The amount of $0.15 per square foot for each equivalent net rentable square foot of improved Class 2 Property, excluding property defined in § 47-813(c-3)(3) and property covered by sub-subparagraph (iii) of this subparagraph for any property for which the owner is not required to report net rentable area to the Office of Tax and Revenue and for which the Office of Tax and Revenue maintains no record of net rentable area. Equivalent net rentable area shall be 90% of gross building area. Gross building area shall be determined using any method that is generally recognized in the Washington Metropolitan area as an appropriate method for measuring gross building area;
(iii) Notwithstanding sub-subparagraphs (i) and (ii) of this subparagraph, the total BID tax due on a property or assembly of properties (if the property occupies more than one taxable lot) shall not exceed $100,000 in any year; provided, that this cap may be increased each year proportionately to the applicable annual increase in the BID tax, regardless of whether the BID tax is increased pursuant to paragraph (3) of this subsection or other law, but shall not include any property covered by paragraph (4) of this subsection;
(B) The amount of $0.35 per gross building area for improved vacant and the amount of $0.35 per gross square feet of land area of unimproved vacant Class 2 Property, Class 3 Property, and Class 4 Property;
(C) The amount of $100 per hotel or motel room for property defined in § 47-813(c-3)(3); and
(D) The amount of $120 per unit of Class 1 Property that contains 10 or more residential units available for rental for nontransient residential dwelling purposes.
(2) To the extent that a building that is subject to the BID tax is constructed pursuant to a ground lease on land that is exempt from real property taxes, the assessed value of the real property for purposes of the BID tax shall include the value of the building and the leasehold interest, possessory interest, beneficial interest, or beneficial use of the land, and the lessee or use of the land shall be assessed the corresponding BID tax, which shall be a personal liability of the lessee. Delinquencies shall be collected in the same manner as possessory interest taxes under § 47-1005.01, or as otherwise provided in this subchapter.
(3) A 4% annual increase in the BID taxes over the current tax year rates specified in paragraph (1) of this subsection is authorized subject to the requirements of § 2-1215.08(b) [§ 2-1215.09(b)].
(4) Notwithstanding paragraph (1)(A)(iii) of this subsection, the total BID tax payable with respect to any property that is an integral part of a development larger than 5 acres and the owner of which is required to contribute to the maintenance and improvement of roadways and sidewalks adjacent to the property or otherwise associated with the development in lieu of the District having that responsibility shall be reduced by 30% from that which would otherwise be payable with respect to such property, to reflect the reduced services provided by the Southwest BID with respect to the property.
(May 29, 1996, D.C. Law 11-134, § 210; as added Sept. 9, 2014, D.C. Law 20-136, § 2(c), 61 DCR 6778; Oct. 22, 2015, D.C. Law 21-36, § 7152, 62 DCR 10905.)
The 2015 amendment by D.C. Law 21-36 added “but shall not include any property covered by paragraph (4) of this subsection” in (c)(1)(A)(iii); and added (c)(4).
For temporary (90 days) amendment of this section, see § 7122 of the Fiscal Year 2016 Budget Support Emergency Act of 2015 (D.C. Act 21-127, July 27, 2015, 62 DCR 10201).
Structure District of Columbia Code