An Act relative to timely public payments for work not included in original construction contracts
Establishes mandatory timelines for public entities to approve and pay contractors for work performed outside original construction contract scope.
Establishes mandatory timelines for public entities to approve and pay contractors for work performed outside original construction contract scope.
HD 970 addresses payment delays for construction work that falls outside the scope of original contracts. The bill establishes requirements for timely payment of change orders and extra work performed by contractors and subcontractors. It aims to prevent financial strain on construction businesses caused by bureaucratic delays in approving and paying for legitimate additional work.
Construction companies, especially smaller subcontractors, often face cash flow problems when municipalities or project owners delay payments for necessary work not covered in the original bid. These delays can force businesses to take out loans or cease operations while waiting for approval and payment. Clear payment timelines protect workers' wages and ensure project continuity.
Compiled from official sources — confirm details with the bill’s official record.
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