D.C. would direct housing aid through five accounts if funded

D.C. would have authority to budget at least $150 million annually for the Housing Opportunity Fund. The fund generally covers homes for households earning up to 80% of the Washington area's middle income for their household size, plus permanent housing with support services. Actual spending would depend on approved budgets. The mayor's budget request must put at least 60% of direct funding into construction and rent subsidies, and at least 5% into each account. Implementation requires the proposal's costs to enter an approved budget and financial plan. The act would take effect after mayoral approval or a veto override and 60 days of congressional review.

The mayor could finance some rentals without an agreement reserving them for lower-income households. Starting rents could not exceed the lower of two rent benchmarks set by federal housing officials and D.C.'s Housing Authority. Later increases would follow D.C. rent rules, and officials must approve a plan to market homes to renters with housing vouchers. Recipients must accept future affordability limits if they receive funding for those limits. This option would apply only after enactment and approval of its costs in the budget and financial plan.

The mayor could help financially distressed affordable properties with loans or grants. Support could cover lender risk or short-term funding for properties facing unexpected debt. Tenant-purchase funds could not be used. Plans using more than 10% of the fund's yearly budget would require Council review. Grants or forgiven loans would require D.C. to receive a reasonable ownership share in the property. Council review would last 30 days, excluding weekends, holidays, and Council recess. No Council action within that period would mean approval.

D.C. could use forced property purchases for housing in high-need areas and buy land to lease for affordable housing. The land program would support affordable housing or tenant purchases. The proposal does not define which areas count as high-need. Throughout a land lease, at least half the homes must meet affordability limits for households earning up to 80% of the area's middle income, adjusted for household size. Implementation would require enactment and approval of the proposal's costs in the budget and financial plan. Land leases supporting tenant purchases must last at least 40 years.

Covered owners would have to give the mayor an opportunity to buy their building for D.C. This covers certain buildings exempt from tenant purchase rights during their first 15 years after construction. Only transactions legally treated as sales would qualify. D.C. could pass its purchase rights to a District government body or a qualified buyer. After a purchase through this process, homes outside an existing affordability agreement or program would follow D.C. rent rules.