(a) There is established a lead water service line replacement payment assistance program ("Program"), to be administered by the Department of Energy and Environment ("DOEE") and the District of Columbia Water and Sewer Authority ("DC Water"), to provide financial assistance to certain District residential property owners who elect to replace the portion of a lead water service line located on their private property if the portion of the water service line on public property is not a lead water service line, whether in whole or in part.

(b)(1) Under the Program, the District shall pay:

(A) 100% of the replacement costs for residential property owners:

(i) With household incomes of 80% or less of the area median income; and

(ii) Whose tenants participate in District or federal housing programs;

(B) 80% of the first $2,000 of replacement costs, and 100% of any replacement costs beyond the first $2,000 of replacement costs for residential property owners with household incomes more than 80% but less than 100% of the area median income; and

(C) 50% of the replacement costs for residential property owners with household incomes 100% or more of the area median income; provided, the District shall not provide more than $2,500 to a property owner under this subparagraph.

(2) The discounts described in paragraph (1) of this subsection shall be applied to the actual replacement costs incurred by the property owner; provided, that DOEE may establish a reasonable cap for replacements costs based on the cost of similar replacements completed by DC Water.

(3) The discounts provided in this subsection shall be subject to the availability of funds.

(4) For the purposes of this subsection, the term "area median income" means the area median income for a household of like size in the Washington Metropolitan Statistical Area as set forth in the periodic calculation provided by the United States Department of Housing and Urban Development.

(c) DOEE shall develop and make available on its website an application form specific to the Program that requires only the information needed to determine eligibility for the Program.

(d)(1) Within 30 days after the receipt of a completed application, DOEE shall provide written notification to the applicant of approval or denial of the applicant's payment assistance application.

(2) If an application is approved, DOEE shall include in the written notification the amount of the discount for which the applicant has been approved, as determined under subsection (b) of this section, and a description of the steps the applicant must take to receive the financial assistance.

(3) If an application is approved, but funds are insufficient to assist the applicant during the current fiscal year, DOEE shall place the applicant on a waiting list for the following fiscal year and notify the applicant of their number on the waiting list.

(4) If an application is denied, DOEE shall include in the written notification the reason for the denial and the process by which the applicant can request reconsideration.

(e)(1) DOEE shall transfer funding for the discounts to DC Water at the beginning of each fiscal year pursuant to a memorandum of understanding regarding implementation of the Program.

(2) DC Water may use funding provided pursuant to this section to pay for administrative costs incurred in administering the Program.

(f)(1) DC Water may publish on its website a list of approved contractors for residential property owners to use for the replacement of the portion of a lead water service line on private property.

(2) If DC Water publishes a list of approved contractors, as described in paragraph (1) of this subsection, a residential property owners shall use an approved contractor to replace the portion of the lead water service line on private property.

(g)(1) The property owner shall be responsible for securing and contracting with a contractor for the replacement of the portion of the lead water service line located on their private property. When the contractor completes the replacement of the portion of the lead water service line on the private property, a copy of the invoice for the replacement of the portion of the lead waster service line on the private property shall be provided to DC Water.

(2) Subject to certification of the work by DC Water, DC Water shall pay the contractor the amount of the discount for which the residential property owner was approved and notify the property owner of the payment within 30 days after receiving an invoice under paragraph (1) of this subsection.

(3) Any replacement costs incurred by the residential property owner beyond the amount of the discount for which the residential property owner was approved shall be the responsibility of the residential property owner.

(h)(1) Except as provided in paragraph (2) of this subsection, DC Water, pursuant to subchapter I of Chapter 5 of Title 2, may issue rules to implement the provisions of this section.

(2) The Department of Energy and Environment, pursuant to subchapter I of Chapter 5 of Title 2, may issue rules to implement the provisions of subsections (b), (c), and (d) of this section.

(i)(1) There is established as a special fund the Lead Service Line Replacement Fund ("Fund"), which shall be administered by the Mayor in accordance with paragraph (3) of this subsection.

(2) Revenue from the following sources shall be deposited in the Fund:

(A) Such amounts as may be appropriated to the Fund; and

(B) Any amounts appropriated in Fiscal Year 2020 for the implementation of the Program that remain unspent at the end of Fiscal Year 2020.

(3) Money in the Fund shall be used to pay the costs of implementing the Program.

(4)(A) The money deposited into the Fund but not expended in a fiscal year shall not revert to the unassigned fund balance of the General Fund of the District of Columbia at the end of a fiscal year, or at any other time.

(B) Subject to authorization in an approved in an approved budget and financial plan, any funds appropriated in the Fund shall be continually available without regard to fiscal year limitation.

(Dec. 7, 2004, D.C. Law 15-205, § 6019b; as added Mar. 13, 2019, D.C. Law 22-241, § 2, 66 DCR 923; Sept. 11, 2019, D.C. Law 23-16, § 6122, 66 DCR 8621.)

Applicability of D.C. Law 22-241: § 7161 of D.C. Law 23-16 repealed § 5 of D.C. Law 22-241. Therefore the creation of this section by D.C. Law 22-241 has been implemented.

Applicability of D.C. Law 22-241: § 5 of D.C. Law 22-241 provided that the creation of this section by § 2 of D.C. Law 22-241 is subject to the inclusion of the law’s fiscal effect in an approved budget and financial plan. Therefore that amendment has not been implemented.

For temporary (90 days) amendment of this section, see § 3 of Fiscal Year 2020 Budget Support Clarification Emergency Amendment Act of 2019 (D.C. Act 23-165, Nov. 20, 2019, 66 DCR 15351).

For temporary (225 days) amendment of this section, see § 4 of Fiscal Year 2020 Budget Support Clarification Temporary Amendment Act of 2019 (D.C. Law 23-48, Jan. 28, 2020, 66 DCR 16179).