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B 26-0720

Fletcher-Johnson Surplus Declaration and Disposition Approval Act of 2026

26th Council Period (2025-2026) Introduced by Phil Mendelson

Declares Fletcher-Johnson surplus and enables a two-part redevelopment (healthcare facility and mixed‑use housing with retail/greenspace) with affordability, CBE, and job obligatio

Referred to Committee on Facilities, and Committee on Human Services
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Bill Summary · B 26-0720

Fletcher-Johnson Surplus Declaration and Disposition Approval Act of 2026 (B 26-0720)

Purpose and intent

  • Declares the District-owned real property at 4650 Benning Road SE (Lot 0802, Square 5344), commonly known as Fletcher-Johnson, no longer required for public purposes.
  • Authorizes the Mayor to dispose of the property and proceed with a mixed-use redevelopment plan.
  • Aims to implement community-supported redevelopment that combines housing, health care, retail, green space, and related uses along the Benning Road corridor.

Key provisions and changes

  • Surplus declaration and disposition authority (Sec. 4)
    • The Council finds the Property is not needed for District public uses and grants the Mayor authority to dispose of it.
    • The authorization to dispose expires 10 years after the act’s effective date.
  • Disposition details and development terms (Sec. 3)
    • The property will be developed through two LDDA agreements:
    • LDDA-1 (Project-1) with Developer-1: District Hospital Partners, LP.
    • LDDA-2 (Project-2) with Developer-2: Fletcher-Johnson Community Partners, LLC.
    • Proposed uses include:
    • Project-1: Freestanding Emergency Department facility and related health care uses.
    • Project-2: Mixed-income housing (approximately 800 units total, including rental and for-sale options such as condos and townhomes) plus retail, public park/greenspace, parking, and additional community uses.
    • Disposition method: Ground lease for the portion of the Property intended for lease/long-term use; fee simple conveyance for the portion proposed for sale residential units.
  • Economic and inclusion requirements (Sec. 3, Findings and Sec. 3(h))
    • Developer-2 (Project-2) must:
    • Ensure at least 30% of residential units are affordable housing units.
    • Enter into agreements to contract with Certified Business Enterprises (CBEs) for at least 35% of Project-2’s contract dollar volume.
    • Achieve at least 20% CBE equity and 20% CBE development participation for Project-2.
    • Developer-1 (Project-1) must:
    • Contract with CBEs for at least 35% of Project-1’s contract dollar volume.
    • Both developers must execute First Source Agreements (job creation and employment obligations).
  • Public process and protections (Sec. 3, Findings)
    • Public hearings were conducted in 2019 to inform the Mayor’s determination that the Property is no longer needed for public purposes.
    • The bill codifies the LDDA terms and ensures Council oversight for any revisions to substantive business terms (via a separate Council approval mechanism in section 1(b-4)).
  • Funding authorization (Sec. 5)
    • Adds a new subsection to the Deputy Mayor for Planning and Economic Development Limited Grant-Making Authority Act allowing a grant of up to $3 million to District Hospital Partners, LP for developing the freestanding emergency department on the Property.
  • Effective date and process (Sec. 7)
    • Act takes effect after Mayor approval, followed by a 30-day Congressional review and publication in the DC Register.

Who would be affected

  • The District government and the Deputy Mayor for Planning and Economic Development (DMPED) oversee the surplus process, LDDA development terms, and grant administration.
  • Developers:
    • Developer-1: District Hospital Partners, LP (healthcare-focused project, Project-1).
    • Developer-2: Fletcher-Johnson Community Partners, LLC (mixed-use, housing, retail, and community space, Project-2).
  • The surrounding Ward 7 communities (Marshall Heights, Benning Ridge, Capitol View) and ANC 7E, which provided input and will be affected by redevelopment.
  • Local CBEs and firms eligible for First Source and CBE participation requirements.

Procedural and timeline aspects

  • Surplus designation and disposition follow the DC Act governing surplus District property (Landrieu Act context and related public hearings).
  • The act acknowledges prior public hearings (2019) and community engagement through the OurRFP process, though the final LDDA terms are to be implemented under this act with Council oversight.
  • Disposition authorization is time-limited (valid for 10 years post-enactment) to ensure timely progress.
  • The Council will review substantive terms if revisions are proposed (1(b-4) mechanism).
  • A 30-day Congressional review period applies after mayoral approval.

Fiscal note

  • The act incorporates the fiscal impact statement from the committee report.
  • A $3 million grant authorization to support the development of the freestanding emergency department is provided within the act’s grant authority.

Summary: The bill facilitates the surplus declaration and disposition of Fletcher-Johnson to a two-part development plan: Project-1 a freestanding emergency department with healthcare facilities, and Project-2 a mixed-income housing and community-use development with retail, greenspace, and ancillary services. It imposes affordable housing, CBE contracting/participation, and First Source employment requirements, authorizes a limited grant to the healthcare developer, and sets a 10-year window for the disposition, with Council oversight for any changes to the terms.

Compiled from official sources — confirm details with the bill’s official record.

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