Report Title:

Contracts; Prompt Payment

Description:

Authorizes contractors and subcontractors to include in their subcontracts additional provisions that must be met before the subcontractor is entitled to receive final payment for completion of work on a government project. 

THE SENATE	S.B. NO.	601
TWENTY-FOURTH LEGISLATURE, 2007
STATE OF HAWAII

A BILL FOR AN ACT

relating to contracts.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

     SECTION 1.  Section 103-10.5, Hawaii Revised Statutes, is amended by amending subsection (f) to read as follows:

     "(f)  This section shall not be construed to impair the right of a contractor or a subcontractor at any tier to negotiate and to include in their respective subcontracts provisions that provide for additional terms and conditions that [are requested to] must be met before the subcontractor [shall be] is entitled to receive final payment under subsection (c) of this section; provided that any such payments withheld shall be withheld by the procurement officer."

     SECTION 2.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 3.  This Act shall take effect on July 1, 2007.

INTRODUCED BY:

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