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Bill

HD 970

An Act relative to timely public payments for work not included in original construction contracts

194th Legislature (2025-2026) Introduced by Bill Galvin

Establishes mandatory timelines for public entities to approve and pay contractors for work performed outside original construction contract scope.

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Bill Summary · HD 970

Legislative bill overview

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.

Why is this important

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.

Potential points of contention

  • Definition disputes: What qualifies as legitimate "extra work" versus scope creep that contractors should have anticipated, potentially leading to legal disagreements
  • Municipal budget impact: Requiring faster payment for unbudgeted work could strain public sector finances if change orders are frequent or substantial
  • Abuse prevention: Without careful oversight, contractors might claim excessive change orders to inflate project costs beyond what was necessary

Compiled from official sources — confirm details with the bill’s official record.

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