{"data":{"id":"us-dc/d.c.-code-1-308.02","jurisdiction":"us-dc","citation":"D.C. Code § 1-308.02","heading":"PILOT agreements.","body":"(a)\n(1)\n(A)\nSubject to approval by the Council under § 1-308.03(a) or (b), the Mayor may enter into a PILOT agreement for the purpose of financing the development costs of one or more projects which qualify under § 1-204.90. Except as otherwise provided in the PILOT agreement, payments in lieu of taxes made pursuant to the PILOT agreement may be assigned or pledged in connection with the Bonds authorized to be issued under this part.\n(B)\nAs an inducement to enter into the PILOT agreement, a portion of the payments in lieu of taxes pursuant to the PILOT agreement may be used in accordance with the terms of the PILOT agreement for any other use which will be deemed to contribute to the health, education, safety, or welfare of, or the creation or preservation of jobs for, residents of the District, or to economic development of the District, including the development, redevelopment, and expansion of business, commerce, housing, or tourism, or the provision of necessary or desirable public infrastructure improvements.\n(2)\nA PILOT agreement pursuant to this subsection shall include:\n(A)\nThe description of the PILOT parcel;\n(B)\nThe date, or the manner of determining the date, on which the exemption from real property tax for the PILOT parcel shall commence and terminate;\n(C)\nThe party who shall be obligated to make payments in lieu of taxes;\n(D)\nThe requirement that payments in lieu of taxes shall be paid in accordance with the PILOT agreement;\n(E)\nThe project (or projects) to be financed with the proceeds of Bonds;\n(F)\nThe terms and conditions of the issuance of the Bonds to finance the project (or projects) and the application of the Bond proceeds, including the conditions which must be satisfied prior to the issuance of the Bonds and the uses and application of the Bond proceeds; and\n(G)\nIf a portion of the payments in lieu of taxes pursuant to the PILOT agreement may be used other than for the purpose of financing any project which qualifies under § 1-204.90:\n(i)\nThe portion of payments in lieu of taxes which shall secure the Bonds;\n(ii)\nThe portion of payments in lieu of taxes shall be applied to the other use; and\n(iii)\nThe application of the portion of payments in lieu of taxes set forth in sub-subparagraph (ii) of this subparagraph.\n\n(b)\n(1)\nSubject to approval by the Council under § 1-308.03(b), the Mayor may enter into a PILOT agreement for any other use which will be deemed to contribute to the health, education, safety, or welfare of, or the creation or preservation of jobs for, residents of the District, or to economic development of the District, including the development, redevelopment, and expansion of business, commerce, housing, or tourism, or the provision of necessary or desirable public infrastructure improvements.\n(2)\nA PILOT agreement pursuant to this subsection shall include:\n(A)\nThe description of the PILOT parcel;\n(B)\nThe date, or the manner of determining the date, on which the exemption from real property tax for the PILOT parcel shall commence and terminate;\n(C)\nThe party who shall be obligated to make the payments in lieu of taxes;\n(D)\nThe requirement that the payments in lieu of taxes shall be paid in accordance with the PILOT agreement; and\n(E)\nThe use for which the payments in lieu of taxes shall be applied, including a detailed delineation of the expenditures to be made.\n\n(c)\nNotwithstanding any of the provisions of this part, a PILOT agreement shall not result in a reduction of the total assessed value of real property subject to taxation under Chapter 8 of Title 47.\n\n(d)\nA PILOT Agreement shall be an encumbrance upon, and run with, the PILOT Parcel. A memorandum of the PILOT Agreement shall be recorded in the land records of the District.","path":["Title 1. Government Organization.","Chapter 3. Specified Governmental Authority.","Subchapter IV. Special Programs.","Part E. Payments in Lieu of Taxes."],"source_url":"https://code.dccouncil.gov/us/dc/council/code/sections/1-308.02","current_through":"2026-08-20 (D.C. Law 26-175)","vintage":"","retrieved_at":"2026-08-29T05:44:07Z","sha256":"c23fef642a0ccfeea59f2a3877497728c3b503fe405af6a6bb14ee75d0fed42c","source_id":"us-dc","stale":false,"prev":"us-dc/d.c.-code-1-308.01","next":"us-dc/d.c.-code-1-308.03"},"notice":"GroundRules: Original legal text. Not legal advice."}