SB129

What it does

• Requires state agencies to pay most contracts under the State Procurement Code within 30 calendar days after receiving a valid payment request for satisfactory performance.
• Sets deadlines of 30 calendar days (or up to 21 days if federal funds are involved) for paying grants and reimbursement agreements to nonprofit organizations, municipalities, and Alaska Native organizations.
• Mandates that agencies pay interest on late payments starting the day after the deadline passes at a rate set by state law.
• Requires agencies to send written notice within eight working days explaining why money is withheld due to poor performance or errors in a request.
• Orders state agencies to pay at least 20 percent of certain named recipient grants that are not municipalities within 10 days after the grant agreement becomes effective.