District of ColumbiaB26-0665Council Period 26 (2025-2026)HouseWALLET

Certified Business Enterprise Program Compliance and Enforcement Support Temporary Amendment Act of 2026

Sponsored By: Wendell Felder (Democratic)

Signed by Governor

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Bill Overview

Analyzed Economic Effects

6 provisions identified: 1 benefits, 1 costs, 4 mixed.

Businesses face certification bans with exceptions

Beginning March 29, 2026, businesses and joint ventures must wait 36 months after a final certification revocation to reapply. The Department must post final suspensions and revocations on its website. An affected business or venture can request early removal of a suspension or reissuance of certification. The Department can grant relief only when it serves the District government's interest and does not endanger public health, safety, or welfare. It must consider whether the causes were corrected; reissuing certification ends the 36-month waiting period.

New qualification rules for District businesses

Beginning March 29, 2026, businesses have three routes to meet the program's ownership and control requirement. They can be independently owned and operated, or more than 50% owned, operated, and controlled by a District-based enterprise or nonprofit business. The third route covers businesses owned by an outside-District enterprise that is more than 50% owned by District residents. Economically disadvantaged owners must hold at least 51% of a business and meet the U.S. Department of Transportation's personal-net-worth limit. Equity impact enterprises must qualify as resident-owned, small, and disadvantaged businesses—all three. These changes are temporary: the entire law expires 225 days after taking effect.

Certified business partnerships face work requirements

Beginning March 29, 2026, each certified business in a certified joint venture must perform work using its own staff and resources. Its work share must equal or exceed its percentage ownership, whether it holds a majority or minority interest. If the venture subcontracts work, certified businesses must perform at least 35% of that subcontracted effort.

Emergency business suspensions get fast hearings

Beginning March 29, 2026, the Department can immediately suspend business or joint-venture certification after investigating a violation. It must find imminent danger to anyone's health, safety, or welfare, or to the general public. Its notice must explain the reason and the right to a hearing. After a timely request, the Office of Administrative Hearings must hold a hearing within 14 days. A decision is due within 14 days after the record closes; the business or venture can agree to a longer hearing period.

Anyone can report business program violations

Beginning March 29, 2026, anyone can report alleged violations of the District's Certified Business Enterprise law to the Department. Formal complaints must be written, sworn to by the complainant, and notarized. Informal complaints can be made in person, by email, by telephone, or through the hotline the Department must maintain. The Department must investigate each complaint unless it finds it frivolous or without merit. Dismissing a formal complaint on that basis requires a report with complaint, respondent, and decision information.

Businesses get hearings but tight deadlines

Beginning March 29, 2026, the Department must give notice before imposing civil penalties or denying, suspending, changing, or revoking certification. Notice must explain the basis, any proposed penalty, and how and when to request a hearing. Businesses have 10 days after receiving notice to request an Office of Administrative Hearings hearing; a joint venture's designated representative can request it. Missing that deadline makes the action final and gives up judicial review. At a hearing, the Department must show a violation is more likely than not; the decision is final for administrative purposes and subject to judicial review.

Sponsors & Cosponsors

Sponsor

Wendell Felder
Democratic • House

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 26 • No: 0

House vote • 6/2/2026

Final Reading, CC

Yes: 13 • No: 0

House vote • 5/5/2026

First Reading