California Legislature—2015–16 Regular Session

Assembly BillNo. 1294

Introduced by Assembly Member Holden

February 27, 2015

An act to amend Section 927 of the Government Code, relating to state government.


AB 1294, as introduced, Holden. State government.

The California Prompt Payment Act dictates that a state agency that fails to make a timely payment for goods or services acquired pursuant to a contract with a specified business or organization is subject to a late payment penalty, and dictates that the act applies to all state agencies, including, but not limited to, the Public Employees’ Retirement System.

This bill would make a nonsubstantive change to this provision.

Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no.

The people of the State of California do enact as follows:

P1    1


Section 927 of the Government Code is amended
2to read:



(a) This chapter shall be known and may be cited as the
4California Prompt Payment Act.

5(b) It is the intent of the Legislature that state agencies pay
6properly submitted, undisputed invoices, refunds, or other
7undisputed payments due to individuals within 45 days of receipt
P2    1or notification thereof, or automatically calculate and pay the
2appropriate late payment penalties as specified in this chapter.

3(c) Notwithstanding any otherbegin delete provision ofend delete law, this chapter
4shall apply to all state agencies, including, but not limited to, the
5Public Employees’ Retirement System, the State Teachers’
6Retirement System, the Treasurer, and the Department of General