The Supporting Local Business Enterprises Emergency Amendment Act of 2026 seeks to strengthen the Small and Certified Business Enterprise Development and Assistance Act of 2005 through several significant amendments. Key changes include the introduction of a new penalty structure for beneficiaries who do not meet subcontracting requirements, mandating them to pay the difference between the required and actual subcontracted amounts. The bill also prohibits beneficiaries from subcontracting any part of their 35% spending goal to enterprises in which they have an ownership interest and expands the definition of beneficiaries to include non-profit entities. Additionally, it requires beneficiaries to invoice the District for undisputed work every 30 days and ensures prompt payment to subcontractors after receiving payment.
Further amendments focus on the certification process for local business enterprises, stipulating that applicants must be independently owned and operated. The bill repeals the Living Wage Certification Program and the Triennial Review of Program and Subchapter, while clarifying contracting and subcontracting requirements. It also introduces provisions for maintaining certification during public health emergencies and outlines penalties for businesses that violate certification requirements, including potential debarment from government contracts. Overall, the legislation aims to enhance support for local businesses, ensure compliance with contracting laws, and improve the integrity of business certifications without incurring additional financial impacts.