{"data":{"id":"us-dc/d.c.-code-10-1601.03","jurisdiction":"us-dc","citation":"D.C. Code § 10-1601.03","heading":"Bond issuance.","body":"(a)\nFor the purposes of this section, the term:\n(1)\n“Ballpark Revenue Fund” means the Ballpark Revenue Fund established by § 10-1601.02.\n(2)\n“Bonds” means District of Columbia revenue bonds, notes, or other obligations (including refunding bonds, notes, and other obligations) in one or more series, authorized to be issued pursuant to § 1-204.90 and this subchapter.\n(3)\n“Home Rule Act” means Chapter 2 of Title 1.\n(4)\n“Project” means:\n(A)\nThe financing, refinancing, or reimbursing of costs incurred in the site acquisition for, and the development, design, construction, improvement, furnishing, and equipping of, the ballpark as the term is defined in § 47-2002.05(a)(1);\n(B)\nThe funding of any required deposit to a debt service reserve fund or capitalized interest;\n(C)\nThe payment of certain costs of issuance, such as fees and premiums for any bond insurance or credit enhancement;\n(D)\nThe payment of any costs for which funds in the Ballpark Revenue Fund may be expended; and\n(E)\nFor which the aggregate expenditure of funds constituting the principal amount of bonds for the purposes set forth in subparagraphs (A) through (C) of this paragraph does not exceed $534,800,000.\n\n(b)\n(1)\nThe Council authorizes the issuance by the Mayor of one or more series of bonds in a total amount not to exceed $534,800,000 for payment of the costs of the project and to execute one or more declarations of intent pursuant to Treas. Reg. § 1.150-2 to reimburse the District for expenditures made prior to the issuance of the bonds.\n(2)\nThere is hereby allocated to the bonds the funds in the Ballpark Revenue Fund, or such portion of the funds as shall be determined in accordance with the terms of the bonds, for the payment of debt service on the bonds and the payment of such other costs as are permitted to be paid with funds from the Ballpark Revenue Fund.\n\n(c)\n(1)\nThe Mayor may take any action necessary or appropriate in accordance with this subchapter in connection with the preparation, execution, issuance, sale, delivery, security for, and payment of the bonds of each series, including determinations of:\n(A)\nThe final form, content, designation, and terms of the bonds, including a determination that the bonds may be issued in certificated or book entry form;\n(B)\nThe principal amount of the bonds to be issued and the denominations of the bonds;\n(C)\nThe rate or rates of interest on, and the method or methods of determining the rate or rates of interest on, the bonds;\n(D)\nThe date or dates of issuance, sale, and delivery of, the payment of interest on, and the maturity date or dates of, the bonds;\n(E)\nWhether the bonds are to be sold at a competitive or negotiated sale and the terms and conditions of the sale;\n(F)\nThe terms under which the bonds may be paid, optionally or mandatorily redeemed, accelerated, tendered, called or put for redemption, repurchase, or remarketing before their respective stated maturities;\n(G)\nProvisions for the registration, transfer, and exchange of each series of the bonds and the replacement of mutilated, lost, stolen, or destroyed bonds;\n(H)\nThe creation of any reserve fund, sinking fund, or other fund with respect to the bonds and the determination of the priority thereof;\n(I)\nThe time and place of payment of the bonds;\n(J)\nWhether the bonds will be taxable, tax-exempt, or a combination thereof;\n(K)\nProcedures for monitoring the use of the proceeds received from the sale of the bonds to ensure that they are properly applied to the project and used to accomplish the purposes of this subchapter;\n(L)\nActions necessary to qualify the bonds under the blue sky laws of any jurisdiction where the bonds are marketed; and\n(M)\nThe terms and types of credit enhancement under which the bonds may be secured.\n(2)\nThe bonds shall contain a legend, which shall provide that the bonds are special obligations of the District, are without recourse to the District, are not a pledge of, and do not involve, the faith and credit or the taxing power of the District (other than the payments from the Ballpark Revenue Fund or any other security authorized by this subchapter), do not constitute a debt of the District, and do not constitute lending of the public credit for private undertakings as prohibited by § 1-206.02(a)(2).\n(3)\nThe bonds shall be executed in the name of the District and on its behalf by the manual or facsimile signature of the Mayor. The Mayor’s execution and delivery of the bonds shall constitute conclusive evidence of the Mayor’s approval on behalf of the District of the final form and content of the bonds.\n(4)\nThe official seal of the District, or a facsimile of it, shall be impressed, printed, or otherwise reproduced on the bonds.\n(5)\nThe bonds may be issued at any time or from time to time in one or more issues and one or more series and may be sold at public or private sale. A series of bonds may be secured by a trust agreement or trust indenture between the District and a corporate trustee having trust powers, and may be secured by a loan agreement or other instrument or instruments by means of which the District may:\n(A)\nMake and enter into any and all covenants and agreements with the trustee or the holders of the bonds that the District may determine to be necessary or desirable relating to:\n(i)\nThe application, investment, deposit, use, and disposition of the proceeds of bonds and the other funds, securities, and property of the District;\n(ii)\nThe assignment by the District of its rights in any agreement;\n(iii)\nThe terms and conditions upon which additional bonds of the District may be issued;\n(iv)\nThe appointment of a trustee to act on behalf of bondholders and abrogating or limiting the rights of the bondholders to appoint a trustee; and\n(v)\nThe vesting in a trustee for the benefit of the holders of bonds, or in the bondholders directly, such rights and remedies as the District shall determine to be necessary or desirable;\n(B)\nPledge, mortgage or assign monies, agreements, property or other assets of the District, either in hand or to be received in the future, or both;\n(C)\nProvide for bond insurance, letters of credit, interest rate swaps, or other financial derivative products or otherwise enhance the credit of and security for the payment of the bonds or reduce or otherwise manage the interest costs of the bonds and provide security therefor; and\n(D)\nProvide for any other matters of like or different character that in any way affects the security for or payment on the bonds.\n\n(d)\nThe bonds are declared to be issued for essential public and governmental purposes. The bonds, the interest thereon, the income therefrom, and all monies pledged or available to pay or secure the payment of the bonds, shall at all times be exempt from taxation by the District, except for estate, inheritance, and gift taxes.\n\n(e)\nThe District hereby pledges and covenants and agrees with the holders of the bonds that, subject to the provisions of the financing documents, the District will not limit or alter the revenues pledged to secure the bonds or the basis on which the revenues are collected or allocated, will not impair the contractual obligations of the District to fulfill the terms of any agreement made with the holders of the bonds, will not in any way impair the rights or remedies of the holders of the bonds, and will not modify in any way, with respect to the bonds, the exemptions from taxation provided for in this subchapter, until the bonds, together with interest thereon, with interest on any unpaid installment of interest and all costs and expenses in connection with any suit, action, or proceeding by or on behalf of the holders of the bonds, are fully met and discharged. This pledge and agreement for the District may be included as part of the contract with the holders of the bonds. This subsection shall constitute a contract between the District and the holders of the bonds. To the extent that any acts or resolutions of the Council may be in conflict with this subchapter, this subchapter shall be controlling.\n\n(f)\nConsistent with § 1-204.90(a)(4)(B), and notwithstanding Article 9 of Subtitle I of Title 28:\n(1)\nA pledge made and security interest created in respect of the bonds or pursuant to any related financing document shall be valid, binding, and perfected from the time the security interest is created, with or without physical delivery of any funds or any property and with or without any further action;\n(2)\nThe lien of the pledge shall be valid, binding and perfected as against all parties having any claim of any kind in tort, contract or otherwise against the District, whether or not the party has notice; and\n(3)\nThe security interest shall be valid, binding, and perfected whether or not any statement, document, or instrument relating to the security interest is recorded or filed.\n\n(g)\nIf there shall be a default in the payment of the principal of, or interest on, any bonds of a series after the principal or interest shall become due and payable, whether at maturity or upon call for redemption, or if the District shall fail or refuse to carry out and perform the terms of any agreement with the holders of any of the bonds, the holders of the bonds, or the trustee appointed to act on behalf of the holder of the bonds, may, subject to the provisions of the financing documents, do the following:\n(1)\nBy action, writ, or other proceeding, enforce all rights of the holders of the bonds, including the right to require the District to carry out and perform the terms of any agreement with the holders of the bonds or its duties under this subchapter;\n(2)\nBy action, require the District to account as if it were the trustee of an express trust;\n(3)\nBy action, petition to enjoin any acts or things that may be unlawful or in violation of the rights of the holders of the bonds; and\n(4)\nDeclare all the bonds to be due and payable, whether or not in advance of or at maturity and, if all defaults be made good, annul the declaration and its consequences.\n\n(h)\n(1)\nThe members of the Council, the Mayor, or any person executing any of the bonds shall not be personally liable on the bonds by reason of their issuance.\n(2)\nNotwithstanding any other provision of this subchapter, the bonds shall not be general obligations of the District and shall not be a debt or liability of the District within the meaning of any debt or other limit prescribed by law. The faith and credit or the general taxing power of the District (other than funds in the Ballpark Revenue Fund or any other security authorized by this subchapter) shall not be pledged to secure the payment of the bonds.\n\n(i)\nThe Mayor shall select the underwriter for the bonds through a request for proposals and recommend to the underwriter a counsel that shall serve as counsel to the underwriter regarding the issuance of bonds. The bonds shall be sold to the underwriter through a negotiated process.","path":["Title 10. Parks, Public Buildings, Grounds, and Space.","Chapter 16. Sports Facilities.","Subchapter I. Construction of Ballpark.","Part A. General."],"source_url":"https://code.dccouncil.gov/us/dc/council/code/sections/10-1601.03","current_through":"2026-08-20 (D.C. Law 26-175)","vintage":"","retrieved_at":"2026-08-29T05:44:07Z","sha256":"8ba7b6a7e87200f6a555ea917209941c655eae261a7a53e0e14dcd24fce50c88","source_id":"us-dc","stale":false,"prev":"us-dc/d.c.-code-10-1601.02a","next":"us-dc/d.c.-code-10-1601.04"},"notice":"GroundRules: Original legal text. Not legal advice."}