The proposed bill amends the Living Wage Act of 2006, establishing a new living wage rate of $17.95 per hour effective January 1, 2026, which will increase to $18.40 per hour starting July 1, 2026. This requirement applies to all contracts valued at $100,000 or more, as well as to subcontractors receiving $15,000 or more from the primary contract. Additionally, recipients of government assistance of $100,000 or more and their subcontractors receiving $50,000 or more are also mandated to comply with these living wage provisions. The bill defines "affiliated employee" as any individual employed by a recipient who receives compensation directly from government assistance or a contract with the District government, excluding those performing only intermittent or incidental services.

The bill further clarifies the definition of "affiliated employee" and outlines various exemptions from the living wage requirement, including contracts subject to higher federal wage determinations, collective bargaining agreements, and certain service contracts. It mandates that recipients and subcontractors provide notice to all affiliated employees and retain payroll records for a minimum of three years. The bill emphasizes compliance with the Department of Labor's Home Care Final Rule, which extends overtime protections to home care workers and imposes recordkeeping requirements on employers in this sector. Overall, the bill aims to enhance wage standards for workers affiliated with government contracts and assistance programs in the District of Columbia.