§ 34–2159. Lead water service line replacement payment assistance program.

(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 eligible portion of the lead water service line.

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

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

(i) With household incomes of 100% or less of the area median income; or

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

(B) Repealed.

(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 shall publish on its website a list of approved contractors for residential property owners to use for the replacement of the eligible portion of a lead water service line. The list shall be updated at least once per fiscal year.

(2) If a residential property owner seeks to use a contractor not on the list required by paragraph (1) of this subsection, the residential property owner shall first receive written approval from DC Water to use that contractor. If a residential property owner does not receive written approval from DC Water to use a contractor and the contractor is not on the list required by paragraph (1) of this subsection, any replacement costs incurred by the residential property owner for work completed by the contractor shall not be eligible for financial assistance under the Program.

(g)(1) The property owner shall be responsible for securing and contracting with a contractor for the replacement of the eligible portion of a lead water service line. When the contractor completes the replacement of the eligible portion of the lead water service line, a copy of the invoice for the replacement of the eligible portion of the lead water service line 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.

(j) Within 60 days after the end of each fiscal year, DOEE shall transmit to the Mayor and the Council and publicly post on the DOEE website a report that includes the following information for the lead water service line replacement payment assistance program ("Program") established pursuant to this section, for the preceding fiscal year:

(1) The number of property owners that submitted an application for financial assistance, broken down by:

(A) The categories described under subsection (b)(1) of this section; and

(B) The Ward and Advisory Neighborhood Commission in which the property is located;

(2) The number of property owners approved by DOEE for financial assistance, broken down by:

(A) The categories described under subsection (b)(1) of this section; and

(B) The Ward and Advisory Neighborhood Commission in which the property is located;

(3) The most common reasons for denial of an application for payment assistance under the Program; and

(4) Efforts made by DOEE to publicize the availability of payment assistance through the Program, including a description of the total amount of expenditures by DOEE on such efforts.

(k) For the purposes of this section, the term "eligible portion of the lead water service line" shall mean the portion of the lead water service line located on private property, or any portion of the lead water service line remaining on public property from prior work to remove a lead water service line.