District Of Columbia § 38-1802.13a - Mandatory dissolution.

Full text of District Of Columbia D.C. Code § 38-1802.13a — Mandatory dissolution., with citation guidance and answers to common questions.

§ 38-1802.13a. Mandatory dissolution.

38-1802.13a
(a)

A nonprofit corporation operating a charter school shall dissolve if the charter for the school:

(1)

Has been revoked by the authorizing entity;

(2)

Has not been renewed by the authorizing entity; or

(3)

Has been voluntarily relinquished by the charter school.

(b)

The distribution of assets upon dissolution required by subsection (a) of this section shall be in accordance with and this section.

(c)
(1)

Except as provided in paragraph (2) of this subsection, the articles of incorporation or the bylaws of a nonprofit corporation operating the charter school shall require that:

(A)

The corporation shall dissolve if the charter for the charter school has been revoked, has not been renewed, or has been voluntarily relinquished; and

(B)

Any assets to be distributed pursuant to a plan of distribution under shall be transferred to the State Education Office of the District of Columbia, to be controlled by the Office of Education Facilities and Partnerships and used solely for educational purposes.

(2)

A nonprofit corporation with an existing charter as of March 14, 2007, shall not be required to amend its articles of incorporation or bylaws to comply with the requirements of this section until the time of its charter renewal under .

(3)

Nothing in this subsection shall be construed as exempting the corporation from any other requirements of this section.

(d)
(1)

The chartering authority, in consultation with the Board of Trustees, shall develop and execute a plan for:

(A)

Liquidating the corporation’s assets in a timely fashion and in a manner that will achieve maximum value;

(B)

Discharging the corporation’s debts; and

(C)

Distributing any remaining assets in accordance with this section and .

(2)

The plan shall:

(A)

Provide that assets to be distributed pursuant to be transferred or conveyed to the District of Columbia, to be controlled by the Office of Education Facilities and Partnerships within the State Education Office and used solely for educational purposes; and

(B)

Be in accordance with the terms of existing creditor agreements and applicable laws, and creditors shall retain all rights, powers, and remedies available to them to cure default as defined in their agreements with the charter school.

(3)

As soon as feasible, the Board of Trustees shall complete and submit to the authorizing entity a closeout audit, which shall include:

(A)

An account of the present value of the charter school’s liabilities held by all of its creditors, including:

(i)

Banking institutions;

(ii)

Vendors; and

(iii)

State pension and health benefits agencies; and

(B)

An account of the present value of the charter school’s assets, including:

(i)

Books;

(ii)

Supplies;

(iii)

Motor vehicles;

(iv)

Furnishing;

(v)

Equipment; and

(vi)

Facilities.

(4)

Nothing in this subsection shall be construed as making the chartering authority or the District of Columbia liable for debts incurred by the corporation.

(e)

The chartering authority, in consultation with the Board of Trustees, shall arrange for the transfer and storage of necessary student records in the possession of the charter school.

(f)

The chartering authority may utilize assets of the charter school to provide for:

(1)

The transfer and storage of student records pursuant to subsection (e) of this section; and

(2)

Any other actual expenses incurred by the authorizing entity as a result of the dissolution of the nonprofit organization operating the charter school.

Annotations

Source: official District Of Columbia text · Last verified 2026-08-27

Frequently Asked Questions About District Of Columbia § 38-1802.13a

What does D.C. Code § 38-1802.13a cover?

Section 38-1802.13a ("Mandatory dissolution.") is part of the D.C. Code, the codified statutory law of District Of Columbia. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.

How do I cite District Of Columbia § 38-1802.13a?

A common citation format is "D.C. Code § 38-1802.13a" (District Of Columbia). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.

Is this the official text of District Of Columbia law?

No. This page is for research and education and may not include the most recent amendments. For official current law, check the District Of Columbia official source linked on this page or consult a licensed District Of Columbia attorney.

How does District Of Columbia § 38-1802.13a apply to my situation?

Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in District Of Columbia can advise on how this section applies to you. Contact your state or local bar association for a referral.

Sources & Verification

Not legal advice. Verify against the official source and consult a licensed attorney in District Of Columbia.