Councilmember Charlene Drew Jarvis
A BILL IN
THE COUNCIL OF THE DISTRICT OF COLUMBIA
To amend Title 47 Chapter 38 of the District of Columbia Code to exempt the owner of a
qualified supermarket in an enterprise zone from sales taxes on the purchase of building
materials and equipment used to undertake the construction or substantial rehabilitation
of a qualified supermarket; and license fees, personal property taxes, and real property,
taxes levied on the qualified supermarket for a period of ten years.
BE IT ENACTED BY THE COUNCIL OF THE DISTRICT OF COLUMBIA, That this act may be cited as
the "Supermarket Tax Incentives Amendment Act of 1999".
Sec. 2. Chapter 38 of Title 47 of the District of Columbia Code is
amended as follows:
(a) Strike in its entirety Subchapter I Definition (1) "Fair market value"
and (4) "Underserved area".
(b) Subchapter I is amended to read as follows:
"§47-3801. Definitions.
"For the purposes of this subchapter, the term:
"(1) "Eligible construction" means any expansion or substantial
rehabilitation of a qualified supermarket or new construction of a qualified supermarket
that exceeds 50 percent of the adjusted basis of the property as calculated for tax
purposes.
"(2) [Missing]
"(3) "Supermarket development" means the new construction, expansion or
substantial rehabilitation of a supermarket for which building permits are issued on or
after January I, 1999."(4) "Owner" means the individual or corporate entity owning property
upon which a tax is levied by the District of Columbia pursuant to Title 47."(5) "Qualified Supermarket" means any supermarket located in an
Enterprise Zone or Priority Development Area as defined in the National Capital
Revitalization Corporation Act of 1998, D.C. Law 12-144, effective September 11, 1998."(5)(A) "Supermarket" means a self-service retail establishment,
independently owned or part of a corporation operating a chain of supermarkets under the
same name, that:"(i) Is licensed as a grocery store pursuant to §47-2827;
"(ii) Offers for sale a full line of meat, seafood, fruits, vegetables, dairy,
products, dry groceries, household products and sundries; and"(iii) Occupies at least 20,000 square feet of space.
"(B) The term "supermarket" shall include related service departments,
such as kitchens, bakeries, pharmacies, or flower shops of a retail establishment that
meet the criteria set by subparagraph (A) of this paragraph.
(c) Strike in its entirety Subchapter II Underserved Areas.
(d) Subchapter I is amended to read as follows:
"Any qualified supermarket shall be eligible for:
(1) A 10-year real property tax exemption as provided in Sec. 47-1002(23);
(2) A 10-year exemption from the license fee as provided in Sec. 47-2827(b);
(3) A 10-year personal property tax exemption as provided in Sec. 47-___ ; and,
(4) A sales taxes exemption on the purchase of building materials and equipment for a
qualified supermarket.
Sec. 3. Rules and Regulations.
The District of Columbia Office of Tax and Revenue shall promulgate rules, regulations,
and forms necessary for the administration of this act.
Sec. 4. Fiscal impact statement.
Sec. 5. Effective date.
This act shall take effect following approval by the Mayor (or in the event of veto by
the Mayor, action by the Council to override the veto), approval by the Financial
Responsibility and Management Assistance Authority as provided in section 203(a) of the
District of Columbia Financial Responsibility and Management Assistance Act of 1995,
approved April 17, 1995 (109 Stat. 1 16; D.C. Code §47-392.3(a)), a 30-day period of
Congressional review as provided in section 602(c)(1) of the District of Columbia Home
Rule Act, approved December 24, 1973 (87 Stat. 813; D.C. Code §1-233(c)(1)), and
publication in the District of Columbia Register.