District of Columbia Code
Part A - Short Title and Definitions
§ 2–218.02. Definitions

For the purposes of this subchapter, the term:
(1) “Agency” means an agency, department, office, board, commission, authority, or other instrumentality of the District government, with or without legal existence separate from that of the District government.
(1A) “Agency contracting officer” means the contracting officer of an agency or government corporation.
(1B) “Beneficiary” means a business enterprise that is the prime contractor or developer on a government-assisted project.
(1C) “Business enterprise” means a business entity organized for profit.
(1D) “Certified business enterprise” means a local business enterprise certified pursuant to part D of this subchapter [§  2-218.31 et seq.].
(1E) “Certified joint venture” means a joint venture certified pursuant to § 2-218.39a.
(1F) “Certified equity participant” means a single-purpose legal entity created to participate in real estate development projects and includes members that are small investors or disadvantaged investors.
(1G) “Commercially useful function” means work performed by a certified business enterprise in a particular transaction that, consistent with industry practices and other relevant considerations, has a necessary and useful role in the transaction. The certified business enterprise shall be responsible for the execution of the work of the contract and carry out its responsibility by actually performing, managing, and supervising the work involved. The certified business enterprise shall be responsible, with respect to materials and supplies used on the contract, for negotiating price, determining quality and quantity, ordering the materials and installing (where applicable) and paying for the material itself.
(2) “Commission” means the District of Columbia Small and Local Business Opportunity Commission, established by § 2-218.21.
(3) “Department” means the Department of Small and Local Business Development, established by § 2-218.11.
(4) “Director” means the Director of the Department of Small and Local Business Development.
(5) “Disadvantaged business enterprise” means a business enterprise as described in § 2-218.33.
(5A) “Disadvantaged investor” means:
(A) A disadvantaged business enterprise pursuant to § 2-218.33; or
(B) A District-domiciled economically disadvantaged individual as determined by regulations promulgated by the Department.
(5B) “District gross receipts” means all income derived from any activity whatsoever from sources within the District, other than income a local business enterprise derives from an ownership or beneficial interest in other local business enterprises, whether compensated in the District or not, before the deduction of any expense whatsoever connected with the production of the income; provided, that the calculation of the income shall not include:
(A) The collection of federal or local taxes on motor vehicle fuel; or
(B) Fees retained by a retail establishment under § 8-102.03(b)(1).
(6) “District of Columbia Supply Schedule” or “DCSS” means the District of Columbia’s multiple award schedule procurement program for providing commercial products or services to District government agencies.
(7) “Economically disadvantaged individual” means an individual whose ability to compete in the free enterprise system is impaired because of diminished opportunities to obtain capital and credit as compared to others in the same line of business where such impairment is related to the individual’s status as socially disadvantaged. An individual is socially disadvantaged if the individual has reason to believe that the individual has been subjected to prejudice or bias because of his or her identity as a member of a group without regard to his or her qualities as an individual.
(8) “Enterprise zone” means:
(A) The area of the District designated as the District of Columbia Enterprise Zone under 26 U.S.C. § 1400); or
(B) An economic development zone designated by the Mayor and approved by the Council pursuant to §§ 6-1501 through 6-1504.
(8A) "Equity impact enterprise" means a business enterprise that is a resident-owned business and a small business enterprise that can demonstrate that it is at least 51% owned by an individual who is, or a majority number of individuals who are:
(A) Economically disadvantaged individuals; or
(B) Individuals who have been subjected to racial or ethnic prejudice or cultural bias because of their identity as a member of a group without regard to their individual qualities.
(9) “Expendable budget” means the total appropriated budget of an agency, reduced by such funding sources, object classes, objects, and other items, including any contract, the value of which does not lend itself to performance by a small or certified business enterprise, as shall be identified by the Department through rulemaking.
(9A) “Government-assisted project” means:
(A) A contract executed by an agency on behalf of the District or pursuant to statutory authority that involves District funds or, to the extent not prohibited by federal law, funds that the District administers in accordance with a federal grant or otherwise;
(B) A project funded in whole or in part by District funds;
(C) A project that receives a loan or grant from a District agency;
(D) A project that receives bonds or notes or the proceeds from bonds or notes issued by a District agency, including tax increment financing or payment in lieu of tax bonds or notes, but not including industrial revenue bonds.
(E) A project that receives District tax exemptions or abatements that are specific to the project and not to the nature of the entity undertaking the project, such as a religious institution or nonprofit corporation; or
(F) A development project conducted pursuant to a disposition under § 10-801.
(10) Repealed.
(11) “Joint venture” means a combination of property, capital, efforts, skills, or knowledge of 2 or more persons or businesses to carry out a single project.
(12) “Local business enterprise” means a business enterprise as described in § 2-218.31.
(12A) “Local manufacturing business enterprise” means a business enterprise as described in § 2-218.39.
(13) “Longtime resident business” means a business enterprise that has been continuously eligible for certification as a local business enterprise, as defined in § 2-218.31, for 20 consecutive years, or a small business enterprise, as defined in § 2-218.32, for 15 consecutive years.
(13A) “Material change” means a change in a business’:
(A) Ownership;
(B) Address; or
(C) Size, if certified as a small business enterprise as defined in § 2-218.32.
(13B) “Qualified” means a business enterprise deemed by the Department to have the capability to perform the work that has been issued a certificate of registration issued pursuant to this subchapter.
(14) “Regional governmental entity” means an organization that represents the District and surrounding local or state governments.
(15) “Resident-owned business” means a local business enterprise owned by an individual who is, or a majority number of individuals who are, subject to personal income tax solely in the District of Columbia.
(16) “Small business enterprise” means a business enterprise as described in § 2-218.32.
(16A) “Small investor” means:
(A) A small business enterprise pursuant to § 2-218.32; or
(B) A District-domiciled individual with a net worth that does not exceed the limit set by the Department for investors.
(17) “Veteran-owned business enterprise” means a business enterprise as described in § 2-218.38.
(Oct. 20, 2005, D.C. Law 16-33, § 2302, 52 DCR 7503; Mar. 2, 2007, D.C. Law 16-191, § 15, 53 DCR 6794; Mar. 14, 2007, D.C. Law 16-266, § 2(a), 54 DCR 829; July 18, 2008, D.C. Law 17-207, § 2(a), 55 DCR 6107; Apr. 20, 2010, D.C. Law 18-141, § 2(a), 57 DCR 1485; June 10, 2014, D.C. Law 20-108, § 2(b), 61 DCR 3892; Mar. 11, 2015, D.C. Law 20-234, § 2(a), 62 DCR 458; Dec. 3, 2020, D.C. Law 23-149, § 2042(b), 67 DCR 10493.)
This section is referenced in § 2-218.35, § 2-218.36, § 2-218.37, § 2-218.39a, § 2-351.04, § 10-1601.04, and § 38-2973.04.
D.C. Law 17-207 added pars. (1A) and (1B).
D.C. Law 18-141 added pars. (12A) and (17); and, in par. (15), substituted “subject to personal income tax solely in the District of Columbia” for “subject to personal income tax in the District of Columbia”.
D.C. Law 16-191, in par. (1), substituted “or commission” for “commission, or instrumentality”.
D.C. Law 16-266, in par. (13), inserted “, or a small business enterprise, as defined in § 2-218.32, for 15 consecutive years” following “for 20 consecutive years”.
The 2014 amendment by D.C. Law 20-108 rewrote (1); added (1A) and (1B); redesignated former (1A) and (1B) as (1C) and (1D); rewrote (1D); added (1E), (1F), (1G), (5A), (5B), (9A), (13A), and (16A); rewrote (9); repealed (10); substituted “business enterprise as” for “business as” in (12A) and (17); and substituted “business enterprise that” for “business which” in (13).
The 2015 amendment by D.C. Law 20-234 rewrote (9A)(D); redesignated former (13A) as (13B); and added (13A).
For temporary (90 days) amendment of this section, see § 3 of Fifty-Point Preference Clarification Emergency Amendment Act of 2021 (D.C. Act 24-211, Nov. 18, 2021, 68 DCR 012363).
For temporary (90 days) amendment of this section, see § 2(b) of Small and Certified Business Enterprise Development and Assistance Emergency Amendment Act of 2019 (D.C. Act 23-22, Mar. 27, 2019, 66 DCR 3991).
For temporary (90 day) addition, see § 2302 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 § 2(a) 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(a) 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 § 2(a) 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(a) 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 days) amendment of this section, see § 2 of the Small and Certified Business Enterprise Development and Assistance Clarification Emergency Amendment Act of 2014 (D.C. Act 20-379, July 15, 2014, 61 DCR 7793).
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) amendment of this section, see § 2 of the Small and Certified Business Enterprise Development and Assistance Clarification Congressional Review Emergency Amendment Act of 2014 (D.C. Act 20-465, Nov. 6, 2014, 61 DCR 11830, 20 STAT 4399).
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 (225 days) amendment of this section, see § 3 of Fifty-Point Preference Clarification Temporary Amendment Act of 2021 (D.C. Law 24-68, Feb. 18, 2022, 68 DCR 014082).
For temporary (225 days) amendment of this section, see § 2(b) of Small and Certified Business Enterprise Development and Assistance Temporary Amendment Act of 2019 (D.C. Law 23-7, June 4, 2019, 66 DCR 5250).
For temporary (225 day) amendment of section, see § 2(a) 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(a) 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) amendment of this section, see § 2 of the Small and Certified Business Enterprise Development and Assistance Clarification Temporary Amendment Act of 2014 (D.C. Law 20-150, Dec. 17, 2014, 61 DCR 8318).
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.