92nd General Assembly
Summary of HB1728
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Senate Sponsors:

Short description: 
PROMPT PAYMENT-60 DAYS                                                     

Synopsis of Bill as introduced:
        Amends the State Prompt Payment Act.  Makes  a  technical  change      
   concerning interest penalties.                                              
          STATE MANDATES NOTE, H-AM 1                                          
          (Department of Commerce and Community Affairs)                       
          In the opinion of DCCA, HB 1728 (H-am 1) does not meet the           
          definition of a State mandate under the State Mandates Act.          
        HOUSE AMENDMENT NO. 1.                                                 
          Adds reference to:                                                   
          30 ILCS 540/3-2                                                      
          30 ILCS 540/3-3                                                      
          30 ILCS 540/4                                                        
          30 ILCS 540/5                                                        
          30 ILCS 540/3-4 new                                                  
        Deletes everything after  the  enacting  clause.   Provides  that      
   State  officials  or  agencies  must  provide  payment  for  goods and      
   services, out of funds appropriated for that purpose, within  60  days      
   after  receipt  of a proper bill or invoice (now, after approval), and      
   provides for penalty interest if payment is not issued (now,  made  or      
   mailed)  within  that  time frame.  Defines the term "a proper bill or      
   invoice".  Provides that unless otherwise  provided  by  rule  of  the      
   State  Comptroller  or  the Department of Central Management Services,      
   each agency has 21 days to review each bill or invoice and notify  the      
   vendor  of  any billing defect.  Provides that the vendor must correct      
   the defect within 5 business days after receipt  of  the  notice,  and      
   extends  the  time payment is due if correction is not made within the      
   5-day period.  Makes other changes.                                         
        SENATE AMENDMENT NO. 1.                                                
        Removes the requirement that a State  agency  review  a  bill  or      
   invoice  within  21 days after receiving it and that the agency notify      
   the vendor of a defect in the bill or invoice  within  21  days  after      
   receiving  it.   Removes the schedule for the vendor's submission of a      
   corrected bill or invoice.  Provides that a State agency  must  review      
   each  bill  or  invoice  in a timely manner and notify the vendor of a      
   defect as soon as possible after discovering  the  defect.  Makes  the      
   bill  effective  immediately for the purpose of promulgating rules for      
   its implementation and effective July 1, 2002 for all other purposes.       
Last action on Bill: PUBLIC ACT.............................. 92-0384

   Last action date: AUG-16-2001

           Location: House

 Amendments to Bill: AMENDMENTS ADOPTED: HOUSE -   1     SENATE -   1


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