Bill
S 2284
Overview: S 2284, Relates to providing for prompt payment by contractors receiving public funds of amounts owed to small businesses and minority-owned business enterprises, PRINT N
Overview: S 2284, Relates to providing for prompt payment by contractors receiving public funds of amounts owed to small businesses and minority-owned business enterprises, PRINT NUMBER 2284A, Introduced: July 15, 2025
Purpose and Intent: This bill aims to ensure that small businesses and minority-owned business enterprises (MBEs) are promptly paid by contractors who receive public funds for projects. The bill seeks to address the issue of late payments, which can create financial hardships for these smaller businesses and undermine their ability to participate in public contracts.
Key Provisions:
- Requires contractors receiving public funds to pay small businesses and MBEs within 30 days of completing work or submitting an invoice
- Imposes penalties on contractors who fail to make timely payments, including the suspension of future public contracts
- Establishes a process for small businesses and MBEs to file complaints and seek enforcement of the prompt payment requirements
- Directs state agencies to monitor and report on contractor compliance with the prompt payment provisions
Affected Parties and Impacts:
- Small businesses and minority-owned business enterprises that contract with the state or local governments
- Contractors who receive public funds and must comply with the prompt payment requirements
- Potential to improve the financial stability and participation of small and minority-owned businesses in public projects
Procedural and Timeline Considerations:
- The bill has been introduced and is currently designated as PRINT NUMBER 2284A, indicating it may have been amended or revised
- If passed, the prompt payment requirements would take effect immediately, with state agencies responsible for implementing and enforcing the new provisions
Compiled from official sources — confirm details with the bill’s official record.
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