Sec. 4a-71. (Formerly Sec. 4-121a). Prompt payment by state departments and agencies.
Sec. 4a-71. (Formerly Sec. 4-121a). Prompt payment by state departments and
agencies. (a) Except as provided in section 4a-73, each state department and agency
shall pay interest at a rate equal to the monthly effective yield for the Short Term Investment Fund administered by the Treasurer pursuant to sections 3-27a to 3-27f, inclusive,
on amounts due on written contracts for public works, personal services, goods and
services, equipment and travel, whenever such department or agency fails to make timely
payment.
(b) For the purposes of this section, payment shall be timely if: (1) A check or
warrant is mailed or delivered on the date specified for the amount specified in the
applicable contract documents, or, if no date is specified, within forty-five days of receipt
of a properly completed claim or receipt of goods and services, whichever is later; or
(2) for any amount that is required to be withheld under state or federal law, a check or
warrant is mailed or delivered in the proper amount on the date the amount may be
released under the applicable law.
(P.A. 84-243, S. 4; P.A. 05-95, S. 1.)
History: Sec. 4-121a transferred to Sec. 4a-71 in 1989; P.A. 05-95 changed interest rate in Subsec. (a) from 1% per
month to the monthly effective yield for the Short Term Investment Fund.