The Residential Building Permit Classification Temporary Amendment Act of 2025 aims to streamline the process for changing the classification of commercial properties to residential use in the District of Columbia. The bill amends section 47-813 of the District of Columbia Official Code to establish a clear application process for property owners seeking to reclassify their properties as Class 1A Property, which is designated for nontransient residential use. It also introduces appeal rights for property owners if their application is denied and includes a provision for a "claw back" mechanism if the property is not utilized for residential purposes in a timely manner.
Key amendments include the requirement for property owners to apply for a change in classification and provide necessary documentation, as well as stipulations regarding the tax implications based on when the classification change occurs within the tax year. The bill also allows for administrative review and appeals in case of denial of reclassification, and it grants the Chief Financial Officer discretion to extend deadlines or waive penalties to prevent undue hardship on property owners. The act is set to take effect on April 1, 2025, and will expire 225 days after its enactment.