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B26-0146 • 2025

Downtown Arena Revitalization Congressional Review Emergency Act of 2025

Downtown Arena Revitalization Congressional Review Emergency Act of 2025

Taxes
Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor
Mendelson
Last action
2025-03-28
Official status
Enacted
Effective date
Not listed

Plain English Breakdown

Checked against official source text during the last sync.

Downtown Arena Revitalization Act

This act approves agreements for the redevelopment and operation of a downtown arena in Washington D.C., including financing, leasing, and airspace use.

What This Bill Does

  • Approves a development and financing agreement between the District government and DC Arena L.P. for the downtown arena.
  • Allows the Mayor to enter into an amended lease with DC Arena L.P. for the same property.
  • Permits the Mayor to sell real property improvements related to the downtown arena to DC Arena L.P.
  • Gives the Mayor authority to grant easements over specific lots near the arena.
  • Enables the Mayor to lease airspace above certain lots to DC Arena L.P., with tax exemptions.

Who It Names or Affects

  • The District of Columbia government
  • DC Arena L.P.
  • Residents and businesses in Washington D.C. affected by changes around the downtown arena

Terms To Know

Downtown Arena
A sports and entertainment venue located in the heart of Washington, D.C.
Easement
The right to use another person's land for a specific purpose

Limits and Unknowns

  • This act expires on June 18, 2025.
  • It does not specify the exact financial details of the agreements.

Bill History

  1. 2025-03-28 Council of the District of Columbia LIMS

    Act A26-0031 Published in DC Register Vol 72 and Page 003328, Expires on Jun 18, 2025

  2. 2025-03-20 Council of the District of Columbia LIMS

    Signed by the Mayor and Enacted with Act Number A26-0031, Expires on Jun 18, 2025

  3. 2025-03-20 Council of the District of Columbia LIMS

    Returned from Mayor

  4. 2025-03-11 Council of the District of Columbia LIMS

    Transmitted to Mayor, Response Due on Mar 25, 2025

  5. 2025-03-04 Council of the District of Columbia LIMS

    Retained by the Council

  6. 2025-03-04 Council of the District of Columbia LIMS

    Legislative Meeting

  7. 2025-03-03 Council of the District of Columbia LIMS

    B26-0146 Introduced by Chairman Mendelson at Office of the Secretary

Official Summary Text

Downtown Arena Revitalization Congressional Review Emergency Act of 2025

Current Bill Text

Read the full stored bill text
ENROLLED ORIGINAL
ANACT
D.C. ACT 26-31
IN THE COUNCIL OF THE DISTRICT OF COLUMBIA
MARCH 20, 2025
‘Toapprove,onanemergencybasis,duetocongressionalreview,thedevelopmentandfinancingagreementfortheredevelopmentofthedowntownarena,toapproveanagreementforthedispositionbyleaseofcertainrealpropertyownedbytheDistrictgovernmentfortheredevelopmentandoperationofthedowntownarena,toapproveapurchaseandsaleagreementforthedowntownarena,toauthorizethegrantingofcertaineasementsrelatedtothedowntownarenaproperty,toauthorizeairspaceleasesassociatedwiththedowntownarena,tocontinueandprovideforpropertytaxabatementsanddeedtransferand recordationtax exemptions forthe downtown arena,and toauthorizethe issuanceof
rulestoprovideforadditionalsignageonthedowntownarena,
BEITENACTEDBYTHECOUNCILOFTHEDISTRICTOFCOLUMBIA,Thatthisactmaybecitedasthe“DowntownArenaRevitalizationCongressionalReviewEmergencyActof2025",
Sec.2.Approvalofdevelopmentandfinancingagreement,amendedandrestatedlease,andpurchaseandsaleagreementforthedowntownarena.(a)NotwithstandingtheprovisionsoftheProcurementPracticesReformActof2010,effectiveApril8,2011(D.C.Law18-371;D.C.OfficialCode§2-351.01efseq.),AnActAuthorizingthesaleofcertainrealestateintheDistrictofColumbianolongerrequiredforpublicpurposes,approvedAugust5,1939(53Stat.1211;D.C.OfficialCode§10-801etseg.),theVerizonCenter SalesTax Revenue Bond Approval Actof 2007, effectiveJuly 12,2007 (D.C.
Law17-12;D.C.OfficialCode§10-1604.01efseq.),thePublic-PrivatePartnershipActof2014,effectiveMarch1,2015(D.C.Law20-228;D.C.OfficialCode§2-271.01efseg.),andanyotherlaw,and,asapplicable,pursuanttosection451oftheDistrictofColumbiaHome RuleAct,
approvedDecember24,1973(87Stat.803;D.C.OfficialCode§1-204.51),theCouncilapprovesandtheMayormayenterintoandeffectuatetheprovisionsofthe:(1)Development and FinancingAgreement between Districtof Columbia and DC
ArenaL.P,,regardingthedowntownarena(“DevelopmentandFinancingAgreement”),submittedbytheMayortotheCouncilonOctober18,2024;
ENROLLED ORIGINAL
(2)Amended and RestatedLease by and between theDistrictof Columbia and
DC Arena L.P.,regardingthedowntown arena(“Amended and RestatedLease”),submittedby
theMayor totheCouncilon October 18,2024; and
(3)AgreementforthePurchaseandSaleofRealProperty(ImprovementsOnly)
between Districtof Columbia and DC Arena L.P.,regardingthedowntown arena(“Purchaseand
SaleAgreement”),submittedby theMayor totheCouncilon October 18,2024.
(b)TheMayormaytakesuchactionsasareappropriatetoimplementtheDevelopmentand FinancingAgreement,theAmended and RestatedLease,and thePurchaseand Sale
Agreement.
(c)Notwithstandingthelead-intextof subsection(a)of thissectionand thedollarvalue
of government assistancereceivedpursuanttotheDevelopment and FinancingAgreement,the
followingstatutoryprovisionsshallapplytotheDevelopmentandFinancingAgreement:
(1)Sections2,4(a),(b),(¢),(€)(1),(1C),(2),(3),(4),and(5),and4aoftheFirst
Source Employment Agreement Act of 1984 (“FirstSourceAct”),effectiveJune 29, 1984 (D.C.
Law5-93;D.C.OfficialCode§§2-219.01,2-219.03(a),(b),(c),(e)(1),(1C),(2),(3),(4),and
(5),and 2-219.03a);and
(2)Section5oftheAmendmentstoAnActToProvideforVoluntary
ApprenticeshipintheDistrictof Columbia Act of 1978,effectiveMarch 6, 1979 (D.C.Law 2-
156;D.C. OfficialCode § 32-1431).
Sec.3.Authoritytogranteasementsoverthedowntownarenaproperty.
NotwithstandingtheprovisionsofAn ActAuthorizingthesaleofcertainrealestateinthe
DistrictofColumbianolongerrequiredforpublicpurposes,approvedAugust5,1939(53Stat.1211;D.C.OfficialCode§ 10-801efseg.),andanyotherlaw,theMayormaygranteasements
over Lot 47 inSquare 455 and/orLot 884 in Square454 totheowner of propertylocatedin
Square454or455,totheWashingtonMetropolitanAreaTransitAuthority,tothelesseeofLot47 inSquare455,or to such otherpersonsas theMayor determinesappropriatetoeffectuatea
purposeoftheDevelopmentandFinancingAgreementapprovedpursuanttosection2(a)(1),the
AmendedandRestatedLeaseapprovedpursuanttosection2(a)(2),orthePurchaseandSale
Agreementapprovedpursuanttosection2(a)(3).
Sec.4. Airspaceleaseforthedowntown arena;exemption from taxation.
(a)Notwithstandingtheprovisionsof the Districtof Columbia PublicSpace RentalAct,
approvedOctober 17,1968 (82 Stat.1156;D.C. OfficialCode § 10-1101.01erseg.),sections
4(2)(butonlytotheextentshownonplanstheMayorhasapprovedpursuanttotheDevelopmentandFinancingAgreement),(3),(4),(5),and(6),5(1).(2),(3)(butonlytotheextenttheMayor
hasotherwiseapprovedplanspursuanttotheDevelopmentandFinancingAgreement),(4),and
(5)(butonlywithrespecttotherequirementtosubmitascalemodel),7(butonlywithrespectto
zoninglawsand regulations),and 10 of theDistrictof Columbia PublicSpace UtilizationAct,
2
ENROLLED ORIGINAL
approvedOctober17,1968(82Stat.1166;D.C.OfficialCode§§10-1121.03(2),(3),(4),(5),and(6),10-1121.04(1),(2),(3),(4)and(5),10-1121.06,and10-1121.09),andanyotherlaw,theMayormayleasetheairspaceadjacenttoLot47inSquare455andLot884inSquare454,toDCArenaL.P.,oritsdesignee,onsuchtermsastheMayordeemsappropriate,atnootherrentorfee,forsolongastheAmendedandRestatedLeaseapprovedpursuanttosection2(a)(2),asmaybeamendedfromtimetotime,remainsineffect;provided,thatifconstructionwithinsuchairspaceisnotsubjecttotheapprovaloftheNationalCapitalPlanningCommissionpursuanttosection5ofAnActprovidingforacomprehensivedevelopmentoftheparkandplayground
systemoftheNationalCapital,approvedJuly19,1952(66Stat.787;D.C.OfficialCode§2-1004),then,notwithstandingtheforegoing,section5(2)and,initsentirety,section7oftheDistrictofColumbiaPublicSpaceUtilizationAct,approvedOctober17,1968(82Stat.1167;D.C.OfficialCode§§10-1121.04(2)and10-1121.06),shallapplytoaleaseenteredintobytheMayorunderthissubsection,
(b)Section8oftheDistrictofColumbiaPublicSpaceUtilizationAct,approvedOctober17,1968(82Stat.1167;D.C.OfficialCode§10-1121.07),isamendedasfollows:(1)Paragraph(1)isamendedbystrikingthephrase“;or”andinsertingasemicoloninitsplace.(2)Paragraph(2)isamendedbystrikingtheperiodattheendandinsertingthephrase“;or”initsplace.(3)Anewparagraph(3)isaddedtoreadasfollows:“(3)Leasedpursuanttosection4(a)oftheDowntownArenaRevitalization
CongressionalReviewEmergencyActof2025,passedonemergencybasisonMarch4,2025(EnrolledversionofBill26-146).”.

Sec.5.Continuedexemption of thedowntown arenafrom realpropertyand possessory
interesttaxes;downtown arenadeed transferand recordationtaxexemptions fortransferswith
theDistrictgovernment.
(a)Section47-1002 of theDistrictof Columbia OfficialCode isamended as follows:
(1)Paragraph(32)(B)isamendedbystrikingthephrase“;and”andinsertinga
semicoloninitsplace.
(2)Paragraph(33)(C)(iii)isamendedbystrikingtheperiodandinsertingthe
phrase*;and”initsplace.
(3)New paragraphs(34)and (35)areadded toreadas follows:
“(34)The realproperty(andany improvementsthereon)describedasLot 47 in
Square455solongastheLandDispositionAgreement—GroundLease,byandamongthe
Districtof Columbia Redevelopment Land Agency, theDistrictof Columbia, and DC Arena,
L.P.,datedas of December 29, 1995,and recordedwiththeRecorderof Deeds on January5,
1996,as instrumentnumber 9600001285, as may be amended from time to time,remainsin
effect;and

ENROLLED ORIGINAL
“(35)Therealproperty(andanyimprovementsthereon)describedasLot47in
Square455andLot884inSquare454(andanyadjacentairspaceleasedpursuantsection4(a)oftheDowntown Arena RevitalizationCongressionalReview Emergency Actof 2025, passedon
emergency basison March 4,2025 (Enrolledversionof Bill26-146)),so longas theleasefor
suchrealpropertyapprovedbysection2(a)(2)oftheDowntownArenaRevitalization
CongressionalReview Emergency Act of 2025,passedon emergency basison March 4,2025
(Enrolledversionof Bill26-146),as may be amended from timeto time,remainsineffect.”.
(b)Section47-1005.01of the Districtof Columbia OfficialCode isamended by addinga
new subsection(c-2)toreadas follows:
*(¢-2)Thissectionshallnotapplytotherealproperty(andanyimprovementsthereon)
describedas Lot 47 inSquare455 so longas theLand DispositionAgreement—Ground Lease,
by and among theDistrictof Columbia Redevelopment Land Agency, theDistrictof Columbia,
and DC Arena,L.P.,datedas of December 29, 1995,and recordedwith theRecorderof Deeds on
January5,1996,as instrumentnumber 9600001285, as may be amended from timeto time,nor
shallitapplytotherealproperty(andanyimprovementsthereon)describedasLot47inSquare
455orLot884inSquare454(ortoanyadjacentairspaceleasedpursuantsection4(a)ofthe
Downtown Arena RevitalizationCongressionalReview Emergency Act of 2025,passedon
emergency basison March 4,2025 (Enrolledversionof Bill26-146))so longas thelease
approvedbysection2(a)(2)oftheDowntownArenaRevitalizationCongressionalReview
Emergency Act of 2025,passedon emergency basison March 4,2025 (Enrolledversionof Bill
26-146),as may be amended from timetotime,remainsineffect.”.
(c)Section47-902of the Districtof Columbia OfficialCode isamended by addinga new
paragraph(29)toreadasfollows:
“(29)Transferswithrespecttotherealproperty(andanyimprovementsthereon)describedasLot47inSquare455andLot884inSquare454(andanyadjacentairspaceleased
pursuantsection4(a)oftheDowntownArenaRevitalizationCongressionalReviewEmergency
Actof 2025, passedon emergency basison March 4,2025 (EnrolledversionofBill 26-146)),to
‘theextentsuchtransferisa transferbetweentheDistrictandDC ArenaL.P.,oritsdesignee,
pursuanttotheleaseorpurchaseandsaleagreementapprovedbysection2(a)oftheDowntown
Arena RevitalizationCongressionalReview Emergency Act of 2025, passedon emergency basis
on March 4,2025 (EnrolledversionofBill 26-146),as may be amended from timeto time,ora
leaseauthorizedbysection4(a)oftheDowntownArenaRevitalizationCongressionalReview
Emergency Actof 2025,passedon emergency basison March 4,2025 (Enrolledversionof Bill
26-146).”.
(d)Section302oftheDistrictofColumbiaDeedRecordationTaxAct,approvedMarch
2,1962 (76 Stat.11;D.C. OfficialCode 42-1102),isamended as follows:
(1)Paragraph(35)isamendedbystrikingthephrase“;and”andinsertingasemicoloninitsplace.

ENROLLED ORIGINAL
(2)Paragraph(36)(B)isamendedbystrikingtheperiodandinsertingthephrase“;and”initsplace.(3)A newparagraph(37)isaddedtoreadasfollows:“(37)Deedswithrespecttotherealproperty(andanyimprovementsthereon)describedasLot47inSquare455orLot884inSquare454(andanyadjacentairspaceleased
pursuantsection4(a)oftheDowntownArenaRevitalizationCongressionalReviewEmergencyActof2025,passedonemergencybasisonMarch4,2025(EnrolledversionofBill26-146)),to
theextentsuchdeedconveysaninterestbetweentheDistrictandDCArenaL.P.,oritsdesignee,pursuanttotheleaseorpurchaseandsaleagreementapprovedbysection2(a)oftheDowntownArenaRevitalizationCongressionalReviewEmergencyActof2025,passedonemergencybasisonMarch4,2025(EnrolledversionofBill26-146),asmaybeamendedfromtimetotime,oraleaseauthorizedbysection4(a)oftheDowntownArenaRevitalizationCongressionalReview
EmergencyActof2025,passedonemergencybasisonMarch4,2025(EnrolledversionofBill26-146).”.
(©)(1)Section3oftheArenaTaxAmendmentActof1994,effectiveSeptember28,1994(D.C.Law10-189;D.C.OfficialCode§§47-1005,47-1007,47-1009,notes),isrepealed.
(2)ThissubsectionshallapplyasoftheeffectivedateoftheDowntownArenaRevitalizationEmergencyActof2024,effectiveDecember17,2024(D.C.Act25-653;71DCR15803).

Sec.6.Authoritytoamend signageregulations.
SectionN101.19.16 of Title12A oftheDistrictof Columbia MunicipalRegulations(12-
ADCMR §N101.19.16)isamendedbystrikingthephrase“,uponreviewandactiveapproval
by theCouncil”and insertingthephrase“.The amendments totherulesmay include,butneed
not be limitedto,provisionsauthorizingadditionaloutdoorsigns,visuals,digitaldisplays,and
staticcanvasdisplaysplacedontheVerizonCenter.Rulesproposedtobeissuedunderthis
sectionshallbe submittedtotheCouncilfora 45-day periodof review.If theCouncildoes not
approveordisapprovetheproposedrules,byresolution,withinthe45-dayperiod,therulesshall
bedeemedapproved.”initsplace.
Sec.7.Fiscalimpactstatement.
The Counciladoptsthefiscalimpactstatementinthecommittee reportfortheDowntown
Arena RevitalizationAct of 2024, enactedon February3,2025 (D.C.Act 25-718;72 DCR
1109),asthefiscalimpactstatementrequiredbysection4aoftheGeneralLegislative
ProceduresAct of 1975,approved October 16,2006 (120 Stat.2038; D.C. OfficialCode § 1-
301.47).

ENROLLED ORIGINAL,
Sec.8.Effectivedate.
ThisactshalltakeeffectfollowingapprovalbytheMayor(orintheeventofvetobythe
Mayor, actionby theCouncilto overridetheveto),and shallremainineffectforno longerthan
90 days,asprovidedforemergency actsof theCouncilof the Districtof Columbia insection
412(a)ofthe Districtof Columbia Home RuleAct,approvedDecember 24, 1973 (87 Stat.788:
D.C.OfficialCode§1-204.12(a)).
hairman
Councilof theDistrictofColumbia

Districtof Columbia
APPROVED
MARCH 20, 2025

(DC1ITEMONCONSENTCALENDAR
DaAcTION
DC VOTEDATE
[x1VOICEVOTE
RECORDEDVOTEONREQUEST
ABSENT
[]ROLLCALLVOTE—Result
COUNCILOFTHEDISTRICTOF COLUMBIA
WASHINGTON,DC,20004
FinalReading,CC
March4,2025
‘Approved

[CouncilMember[Aye|Nay|NV[AB[Rec|CounciMember[Aye[Nay|NV[AB[Rec]CouncilMember[Aye[Nay|NV[AB[ReeChairmanMendelson]X Henderson x Pinto
Allen x LewisGeorge| x R.White
Bonds x MeDutfie x
Felder x Nadeau x
Frumin x Parker x
X-IndicateVote AB~Absent NV--Prosent,NotVoting Rec-Recused
CERTIFICATIONRECORD
34-20"‘SecretarytotheCounel
Date