The bill aims to enhance payment transparency in public contracts by amending existing statutes related to retainage and payment notifications. It introduces a new provision that mandates public contracting agencies to notify contractors and subcontractors of all payments made, including progress, retainage, and final payments. This notification must include details such as the payment amount, date, recipient, and reasons for any withholding of payment. Additionally, the bill stipulates that no fees can be charged for these notifications and that they must be provided within three business days of the payment.

Furthermore, the bill amends the existing statutes to clarify that any contract or procedure that restricts or delays the submission of invoices is considered contrary to public policy and is therefore void and unenforceable. This provision is intended to ensure that contractors and subcontractors can submit invoices without undue hindrance, thereby promoting timely payments and accountability in public contracting. Overall, the bill seeks to improve the financial transparency and efficiency of public improvement projects in Minnesota.

Statutes affected:
Introduction: 15.72, 337.10