The proposed bill includes modifications to the Living Wage Act of 2006, establishing new living wage rates for government contractors and recipients of government assistance in the District of Columbia. Effective January 1, 2025, the living wage will be set at $17.50 per hour, increasing to $17.95 per hour on July 1, 2025. This requirement applies to contracts valued at $100,000 or more and to subcontractors receiving $15,000 or more from these contracts. The bill clarifies the definition of "affiliated employee" as individuals compensated directly from government contracts or assistance, while excluding those performing only incidental services.

Additionally, the bill outlines specific exemptions from the Living Wage Act, including contracts subject to higher federal wage determinations, existing collective bargaining agreements, and certain emergency response services. It also exempts part-time employees under 22 years of age working during school vacations, nonprofit organizations with fewer than 50 employees, and specific Medicaid provider agreements. The Department of Employment Services (DOES) will monitor compliance, allowing individuals to report violations or file complaints regarding wage payments. Overall, the bill aims to enhance fair compensation for workers involved in government contracts and assistance programs while providing clarity on the applicability and exemptions of the living wage requirements.