2013 District of Columbia Code
Division VIII — GENERAL LAWS
Title 47 — TAXATION, LICENSING, PERMITS, ASSESSMENTS, AND FEES
Chapter 10 — PROPERTY EXEMPT FROM TAXATION
Section 47-1087 — Hill Center at the Old Naval Hospital; Lot 5, Square 948.

(a) (1) (A) The real property, described as Lot 5, in Square 948 (commonly known as Hill Center), and any successor lots or any assessment and taxation lots created within Lot 5, ("property") shall be exempt for 5 years from real property, recordation, and transfer taxation imposed under this title, so long as the real property continues to be leased by the Old Naval Hospital Foundation ("ONHF") under and according to the terms of the lease between the District of Columbia and ONHF, dated December 12, 2010, ("2010 lease") and any holder of a possessory interest in the property shall be exempt from possessory interest taxation imposed under § 47-1005.01 for the length of the 2010 lease, notwithstanding any sublease, license, assignment, or other conveyance of the right to use the property from ONHF to any sub-lessee, licensee, assignee, or other conveyee ("receiving entity"); provided, that the receiving entity uses the property pursuant to, and in conformance with, the use provisions of the 2010 lease and subject to the provisions of §§ 47-1007 and 47-1009; provided further, that both the special exemptions from real property tax and the possessory interest tax under this section shall expire upon the expiration of the extension described in paragraph (2) of this subsection.
(B) Upon the expiration of the extension, the property, ONHF, and the possessory interest of a receiving entity that could not qualify for a real property tax exemption under § 47-1002 were it the owner of the property shall be subject, as applicable, to § 47-1005, and ONHF, additionally, shall be subject to §§ 47-1007 and 47-1009.
(2) Notwithstanding the 5-year exemption granted in paragraph (1) of this subsection, ONHF shall be given an extension of up to 12 months; provided, that ONHF has applied for its categorical exemption from real property taxation under § 47-1002 no later than 6 weeks after the exhaustion of the tax relief under the Federal Historic Preservation Tax Credit Program.
(b) The lease, sublease, license, assignment, or other conveyance of any interest for any use of the property described in subsection (a) of this section that is not prohibited by the 2010 lease shall be exempt from recordation and transfer taxation during the period of the 5-year exemption and any extension.

History
(Mar. 14, 2012, D.C. Law 19-116, § 2(b), 59 DCR 467; Sept. 26, 2012, D.C. Law 19-171, § 113, 59 DCR 6190.)

Annotations
Effect of Amendments. The 2012 amendment by D.C. Law 19-171 validated a previously made technical correction.

Emergency Legislation. For temporary (90 day) addition of section, see § 2(b) of Old Naval Hospital Real Property Tax Exemption Emergency Act of 2011 (D.C. Act 19-241, December 15, 2011, 58 DCR 11019).
For temporary (90 day) addition of section, see § 2(b) of Old Naval Hospital Real Property Tax Exemption Congressional Review Emergency Act of 2012 (D.C. Act 19-337, March 30, 2012, 59 DCR 2564).

Legislative History of Law 19-116. Law 19-116, the "Old Naval Hospital Real Property Tax Exemption Act of 2012", was introduced in Council and assigned Bill No. 19-519, which was referred to the Committee on Finance and Revenue. The Bill was adopted on first and second readings on December 6, 2011, and January 4, 2012, respectively. Signed by the Mayor on January 20, 2012, it was assigned Act No. 19-291 and transmitted to both Houses of Congress for its review. D.C. Law 19-116 became effective on March 14, 2012.

Legislative History of Law 19-171. Law 19-171, the "Technical Amendments Act of 2012," was introduced in Council and assigned Bill No. 19-397. The Bill was adopted on first and second readings on Mar. 20, 2012, and Apr. 17, 2012, respectively. Signed by the Mayor on May 23, 2012, it was assigned Act No. 19-376 and transmitted to Congress for its review. D.C. Law 19-171 became effective on September 26, 2012.

Editor's Notes Section 4 of D.C. Law 19-116 provided: "Sec. 4. Applicability. This act shall apply as of January 1, 2011."