The bill aims to enhance prompt payment practices for public works projects in Washington State by amending existing laws and introducing new requirements. It mandates that state or municipal entities must make payments on public works projects within 30 days of receiving a properly completed invoice. The bill specifies that contract documents must include detailed instructions for invoice completion, payment cutoff dates, due dates, review time frames, and a payment release schedule. Additionally, it establishes that if payments are not made according to these requirements, they will be considered late, and the public agency must provide a payment recovery schedule that includes interest. The bill also stipulates that contractors must pay subcontractors within 10 days of receiving payment from the public agency.

Furthermore, the bill introduces provisions for change orders, requiring that they be issued within 30 days of satisfactory completion of additional work, and outlines the interest that accrues on unpaid amounts. It also clarifies the process for withholding payments due to disputes and establishes that aggrieved parties can bring civil actions for violations of these payment provisions. The bill repeals RCW 39.04.360, which previously addressed payment of undisputed claims and related civil actions, thereby streamlining the legal framework governing prompt payment in public works contracts.

Statutes affected:
Original Bill: 39.04.250, 39.76.011
Substitute Bill: 39.04.250, 39.76.011