Senate
File
2182
-
Introduced
SENATE
FILE
2182
BY
QUIRMBACH
A
BILL
FOR
An
Act
relating
to
the
retention
of
funds
due
to
contractors
1
for
claims
for
labor,
service,
and
transportation
on
public
2
improvements.
3
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
4
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2182
Section
1.
Section
573.15,
Code
2011,
is
amended
to
read
as
1
follows:
2
573.15
Exception.
3
1.
No
part
of
the
unpaid
fund
due
the
contractor
shall
be
4
retained
as
provided
in
this
chapter
on
claims
for
material
5
furnished,
other
than
materials
ordered
by
the
general
6
contractor
or
the
general
contractor’s
authorized
agent,
unless
7
such
claims
are
supported
by
a
certified
statement
that
the
8
general
contractor
had
been
notified
within
thirty
days
after
9
the
materials
are
furnished
or
by
itemized
invoices
rendered
10
to
contractor
during
the
progress
of
the
work,
of
the
amount,
11
kind,
and
value
of
the
material
furnished
for
use
upon
the
12
said
public
improvement,
and
no
part
of
such
unpaid
fund
due
13
the
contractor
shall
be
retained
as
provided
in
this
chapter
14
because
of
the
commencement
of
any
action
by
the
contractor
15
against
the
state
department
of
transportation
under
authority
16
granted
in
section
613.11
.
17
2.
No
part
of
the
unpaid
fund
due
the
contractor
shall
18
be
retained
as
provided
in
this
chapter
on
claims
for
labor
19
performed,
or
service
or
transportation
furnished,
other
than
20
labor,
service,
or
transportation
ordered
by
the
general
21
contractor
or
the
general
contractor’s
authorized
agent,
unless
22
such
claims
are
supported
by
a
certified
statement
that
the
23
general
contractor
had
been
notified
within
sixty
days
after
24
the
labor
is
performed
or
the
service
or
transportation
are
25
furnished
or
by
itemized
invoices
rendered
to
the
contractor
26
during
the
progress
of
the
work,
of
the
amount,
kind,
and
value
27
of
the
labor
performed
or
service
or
transportation
furnished
28
for
use
upon
the
said
public
improvement,
and
no
part
of
such
29
unpaid
fund
due
the
contractor
shall
be
retained
as
provided
in
30
this
chapter
because
of
the
commencement
of
any
action
by
the
31
contractor
against
the
state
department
of
transportation
under
32
authority
granted
in
section
613.11.
33
EXPLANATION
34
Current
law
provides
an
exception
to
the
requirement
that
a
35
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2182
public
corporation
retain
a
portion
of
funds
due
a
contractor
1
on
a
public
improvement
project
in
a
fund
for
the
payment
2
of
claims.
The
exception
provides
that
a
public
corporation
3
need
only
retain
funds
due
a
supplier
of
material
to
a
general
4
contractor
if
the
supplier
provides
the
general
contractor
with
5
one
of
two
permitted
types
of
notice
of
a
claim:
notice
within
6
30
days
of
completion
of
the
work
or
itemized
invoices
during
7
the
progress
of
the
work.
8
This
bill
adds
suppliers
of
labor,
service,
or
9
transportation
to
general
contractors
to
the
exception.
The
10
two
permitted
types
of
notice
for
such
suppliers
are
notice
11
within
60
days
of
completion
of
the
work
or
itemized
invoices
12
during
the
progress
of
the
work.
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