{"data":{"id":"us-dc/d.c.-code-47-3401.02","jurisdiction":"us-dc","citation":"D.C. Code § 47-3401.02","heading":"Short-term advances for seasonal cash-flow management.","body":"(a)\nIf the conditions in subsection (b) of this section are satisfied, the Secretary shall make an advance of funds from time to time, out of any money in the Treasury not otherwise appropriated, for the purpose of assisting the District government in meeting its general expenditures, as authorized by Congress, at times of seasonal cash-flow deficiencies.\n\n(b)\nThe Secretary shall make an advance under this section if:\n(1)\nThe Mayor delivers to the Secretary a requisition for an advance under this section;\n(2)\nThe date on which the requisitioned advance is to be made is in a control period;\n(3)\nThe Authority certifies to the Secretary that:\n(A)\nThe District government has prepared and submitted a financial plan and budget for the District government;\n(B)\nThere is an approved financial plan and budget in effect under the District of Columbia Financial Responsibility and Management Assistance Act of 1995 for the fiscal year for which the requisition is to be made;\n(C)\nAt the time of the Mayor’s requisition for an advance, the District government is in compliance with the financial plan and budget;\n(D)\nBoth the receipt of funds from such advance and the reimbursement of the Treasury for such advance are consistent with the financial plan and budget for the year; and\n(E)\nSuch advance will not adversely affect the financial stability of the District government;\n(4)\nThe Authority certifies to the Secretary, at the time of the Mayor’s requisition for an advance, that the District government is effectively unable to obtain credit in the public credit markets or elsewhere in sufficient amounts and on sufficiently reasonable terms to meet the District government’s financing needs;\n(5)\nThe Inspector General of the District of Columbia certifies to the Secretary the information described in paragraph (3) of this subsection by providing the Secretary with a certification conducted by an outside auditor under a contract entered into pursuant to § 1-301.115a(a)(4); and\n(6)\nThe Secretary receives such additional certifications and opinions relating to the financial position of the District government as the Secretary determines to be appropriate from such other federal agencies and instrumentalities as the Secretary determines to be appropriate.\n(7)\nRepealed.\n\n(c)\n(1)\nExcept as provided in paragraph (3) of this subsection, if the conditions in paragraph (2) of this subsection are satisfied, each advance made under this section shall be in the amount designated by the Mayor in the Mayor’s requisition for such advance.\n(2)\nParagraph (1) of this subsection applies if:\n(A)\nThe Mayor determines that the amount designated in the Mayor’s requisition for such advance is needed to accomplish the purpose described in subsection (a) of this section; and\n(B)\nThe Authority:\n(i)\nConcurs in the Mayor’s determination under subparagraph (A) of this paragraph; and\n(ii)\nDetermines that the reimbursement obligation of the District government for an advance made under this section in the amount designated in the Mayor’s requisition is consistent with the financial plan for the year.\n(3)\n(A)\nNotwithstanding paragraph (1) of this subsection, the unpaid principal balance of all advances made under this section in any fiscal year of the District government shall not at any time be greater than 100% of applicable limit.\n(B)\nThe unpaid principal balance of all advances made under this section in Fiscal Year 1997 of the District government shall not at any time be greater than the difference between:\n(i)\n150% of the applicable limit for such fiscal year; and\n(ii)\nThe unpaid principal balance of any advances made under § 47-3401(d).\n(C)\nIn this paragraph, the “applicable limit” for a fiscal year is equal to 15% of the total anticipated revenues of the District government for such fiscal year, as certified by the Mayor at the time of the Mayor’s requisition for an advance.\n\n(d)\n(1)\nExcept as provided in paragraph (3) of this subsection, if the condition in paragraph (2) of this subsection is satisfied, each advance made under this section shall mature on the date designated by the Mayor in the Mayor’s requisition for such advance.\n(2)\nParagraph (1) of this subsection applies if the Authority determines that the reimbursement obligation of the District government for an advance made under this section having the maturity date designated in the Mayor’s requisition is consistent with the financial plan for the year.\n(3)\nNotwithstanding paragraph (1) of this subsection, the maturity date for any advance made under this section shall not be later than 11 months after the date on which such advance is made.\n\n(e)\nEach advance made under this section shall bear interest at an annual rate equal to a rate determined by the Secretary at the time that the Secretary makes such advance taking into consideration the prevailing yield on outstanding marketable obligations of the United States with remaining periods to maturity comparable to the maturity of such advance, plus 1/8 of 1%.\n\n(f)\nAfter the expiration of the 12-month period beginning on the date on which the first advance is made under this section, the Secretary shall not make any new advance under this section unless the District government has:\n(1)\nReduced to zero at the same time the principal balance of all advances made under this section at least once during the previous 12-month period; and\n(2)\nNot requisitioned any advance to be made under this section in any of the 10 business days following such reduction.\n\n(g)\nAs provided in § 47-392.04(b), advances made under this section for the account of the District government shall be deposited by the Secretary into an escrow account held by the Authority.","path":["Title 47. Taxation, Licensing, Permits, Assessments, and Fees. [Enacted title]","Chapter 34. Miscellaneous Provisions."],"source_url":"https://code.dccouncil.gov/us/dc/council/code/sections/47-3401.02","current_through":"2026-08-20 (D.C. Law 26-175)","vintage":"","retrieved_at":"2026-08-29T05:44:07Z","sha256":"e1858d3ce93d7d79f13f1955e04587581aec7b569d4dca710d7460743c431748","source_id":"us-dc","stale":false,"prev":"us-dc/d.c.-code-47-3401.01","next":"us-dc/d.c.-code-47-3401.03"},"notice":"GroundRules: Original legal text. Not legal advice."}