DENVER—A bill that would target slow payments by local government for completed construction work has received a nod from a Senate committee.
Supporters said Monday the proposal is aimed at a growing problem that is threatening quality jobs in difficult economic times.
Contractors say it sometimes takes months or years for local governments to pay bills, causing contractors to take out expensive loans.
The Construction Industry Recovery & Jobs Preservation Act (Senate Bill 95) would enforce reasonable payment schedules for quality construction work that has been completed.
Opponents from local governments say they understand payment on time is important, but they say there’s no evidence it’s a statewide problem.
The bill now goes to the Appropriations Committee.
