Assembly Bill A574

2019-2020 Legislative Session

Prohibits the retention of any amount of payment due and owing for materials delivered and accepted for a public or private construction project

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Archive: Last Bill Status - On Floor Calendar


  • Introduced
    • In Committee Assembly
    • In Committee Senate
    • On Floor Calendar Assembly
    • On Floor Calendar Senate
    • Passed Assembly
    • Passed Senate
  • Delivered to Governor
  • Signed By Governor

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2019-A574 (ACTIVE) - Details

See Senate Version of this Bill:
S5498
Law Section:
State Finance Law
Laws Affected:
Amd §139-f, St Fin L; amd §106-b, Gen Muni L; amd §756-c, Gen Bus L
Versions Introduced in Other Legislative Sessions:
2011-2012: A8473, S6158
2013-2014: A725, S980
2015-2016: A796, A10275, S2931, S7652
2017-2018: A358, S4467
2021-2022: A494, S1387
2023-2024: A1194, S6855

2019-A574 (ACTIVE) - Summary

Prohibits the retention of any amount of payment due and owing for materials delivered and accepted for a public or private construction project.

2019-A574 (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                    574
 
                        2019-2020 Regular Sessions
 
                           I N  A S S E M B L Y
 
                                (PREFILED)
 
                              January 9, 2019
                                ___________
 
 Introduced  by  M.  of  A.  BRAUNSTEIN, LUPARDO, CRESPO, WOERNER, STECK,
   BRONSON -- read once and referred to  the  Committee  on  Governmental
   Operations
 
 AN  ACT to amend the state finance law and the general municipal law, in
   relation to requiring full payment for delivered and accepted  materi-
   als pertaining to public work projects; and to amend the general busi-
   ness  law, in relation to prohibiting the retention of any payment due
   and owing a material supplier for a construction project
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1. Subdivisions 1 and 2 of section 139-f of the state finance
 law, subdivision 1 as added by chapter 769  of  the  laws  of  1978  and
 subdivision  2  as amended by section 16 of part MM of chapter 57 of the
 laws of 2008, are amended to read as follows:
   1. Payment by public owners to contractors. The contractor shall peri-
 odically, in accordance with the terms of the contract,  submit  to  the
 public owner and/or [his] ITS agent a requisition for a progress payment
 for  the  work  performed  and/or materials furnished to the date of the
 requisition, less any amount previously  paid  to  the  contractor.  The
 public  owner shall in accordance with the terms of the contract approve
 and promptly pay the requisition for the progress payment less an amount
 necessary to satisfy any claims, liens or judgments against the contrac-
 tor which have not been suitably discharged and less any retained amount
 as hereafter described. The public owner shall retain not more than five
 per centum of each progress payment, NOT INCLUDING ANY PAYMENT FOR MATE-
 RIALS PERTINENT TO THE PROJECT WHICH HAVE BEEN DELIVERED,  ACCEPTED  AND
 ARE  COVERED  BY  A  MANUFACTURER'S  WARRANTY, AND/OR ARE GRADED TO MEET
 INDUSTRY STANDARDS, to the contractor except that the public  owner  may
 retain  in excess of five per centum but not more than ten per centum of
 each progress payment, NOT INCLUDING ANY PAYMENT FOR MATERIALS PERTINENT
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
              

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