HB 2092 -- STATE PURCHASING

CO-SPONSORS:  Overschmidt, Gaw, Smith, Williams (159), Green

COMMITTEE ACTION:  Voted "do pass" by the Committee on
Governmental Organization and Review by a vote of 6 to 1.

This bill allows vendors to assess a late payment penalty
against the state for supplies and services which the state has
not made payment on.  After 30 days following the later of the
date of delivery of the supplies and services or the date upon
which the invoice is approved and processed, a penalty of 2% of
the amount due the vendor must be paid for every 30-day period
thereafter in which the vendor is not paid.  The penalty may not
exceed 18% in one year.

FISCAL NOTE:  No impact on state funds.

PROPONENTS:  Supporters say that the state has a responsibility
to pay its bills.  Many agencies tell vendors payment is late
due to a new computer system.  This is not always the case.
This will make collecting late payments easier.

Testifying for the bill was Representative Overschmidt.

OPPONENTS:  There was no opposition voiced to the committee.

Steve Bauer, Legislative Analyst

HB 2092 -- State Purchasing

Co-Sponsors:  Overschmidt, Gaw, Smith, Williams (159), Green

This bill allows vendors to assess a late payment penalty
against the state for supplies and services which the state has
not made payment on.  After 30 days following the later of the
date of delivery of the supplies and services or the date upon
which the invoice is approved and processed, a penalty of 2% of
the amount due the vendor must be paid for every 30-day period
thereafter in which the vendor is not paid.  The penalty may not
exceed 18% in one year.