SLS 14RS-554 ENGROSSED Page 1 of 2 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. Regular Session, 2014 SENATE BILL NO. 316 BY SENATOR DONAHUE PUBLIC CONTRACTS. Provides relative to payments under public contracts.(8/1/14) AN ACT1 To amend and reenact R.S. 38:2191(B) and (D), relative to public contracts; to provide with2 respect to progressive stage payments made under public contracts; to provide with3 respect to payment of change orders made under public contracts; and to provide for4 related matters.5 Be it enacted by the Legislature of Louisiana:6 Section 1. R.S. 38:2191(B) and (D) are hereby amended and reenacted to read as7 follows: 8 ยง2191. Payments under contract9 * * *10 B. Any public entity failing to make any progressive stage payment11 within forty-five days following receipt of a certified request for payment by the12 public entity without reasonable cause shall be liable for reasonable attorney13 fees. Any public entity failing to make any final payments after formal final14 acceptance and within forty-five days following receipt of a clear lien certificate by15 the public entity shall be liable for reasonable attorney fees.16 * * *17 SB NO. 316 SLS 14RS-554 ENGROSSED Page 2 of 2 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. D. Any public entity failing to make any progressive stage payments1 arbitrarily or without reasonable cause, or any final payment when due as provided2 in this Section, shall be subject to mandamus to compel the payment of the sums due3 under the contract up to the amount of the appropriation made for the award and4 execution of the contract, including any authorized change orders.5 The original instrument and the following digest, which constitutes no part of the legislative instrument, were prepared by Sharon F. Lyles. DIGEST Donahue (SB 316) Present law requires all public entities to promptly pay all obligation arising under public contracts. Requires public entities to pay progressive stage payments and final payments when they become due and payable under the contract. Present law provides that any public entity failing to make any final payments after formal final acceptance and within 45 days following receipt of a clear lien certificate by the public entity is liable for reasonable attorney fees. Proposed law retains present law and adds liability for reasonable attorney fees when a public entity fails to pay any progressive stage payment within 45 days following receipt of a certified request for payment by the public entity without reasonable cause. Present law provides that any public entity who fails to pay any progressive stage payments arbitrarily or without reasonable cause, or any final payment when due under existing law, is subject to mandamus to compel the payment of the sums due under the contract up to the amount of the appropriation made for the award and execution of the contract. Proposed law retains present law and adds that a public entity is subject to mandamus to compel payment of authorized plan changes. Effective August 1, 2014. (Amends R.S. 38:2191(B) and (D))