Senate Bill No. 166, introduced by Senator Womack, aims to establish new requirements for public contracts related to public works that involve state funding. The bill mandates the division of administration to provide guidance for local governmental entities entering contracts with third-party entities. It requires that all such contracts include a preconstruction meeting involving key stakeholders to clarify expectations regarding deliverables, deadlines, accountability, payment schedules, and grievance procedures. Additionally, the bill stipulates that contracts must establish a designated point of contact, procedures for electronic payments, and acceptance of digitally signed documents.

Furthermore, the bill calls for the development and maintenance of software by the division of administration and the Department of Transportation and Development (DOTD) to assist local governmental entities and contractors in tracking payments and project timelines. This software must be utilized by all entities receiving state funding and will be available by January 1, 2026. The bill also requires training for elected officials and municipal employees involved in managing cooperative endeavor agreements, covering various aspects of public contracts and payments. The effective date for this legislation is set for July 1, 2025.