The proposed bill seeks to amend the Living Wage Act of 2006, establishing new living wage rates for 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 all contractors with contracts valued at $100,000 or more, as well as subcontractors receiving $15,000 or more from these contracts. The bill clarifies the definition of "affiliated employee" to include 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 provides exemptions for part-time employees under 22 years of age during school vacations, nonprofit organizations with fewer than 50 employees, and Medicaid provider agreements for direct care services, provided they do not involve home care agencies. The enforcement of these provisions will be managed by the Department of Employment Services and the D.C. Office of Contracting and Procurement, ensuring compliance with the updated wage standards.