Senate File 421 - Introduced SENATE FILE 421 BY CHELGREN A BILL FOR An Act relating to contract payments made by the state or an 1 agency of the state to Iowa residents and businesses. 2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 3 TLSB 2032XS (2) 86 tm/sc
S.F. 421 Section 1. NEW SECTION . 72.6 Contract payments. 1 1. The state or an agency of the state shall either make 2 full or partial payments as required under a contract with 3 an Iowa resident or a business organized under the laws of 4 this state whose commercial domicile is in this state or shall 5 provide a written statement to such other party to the contract 6 explaining the reason an invoice is in dispute within sixty 7 days of one of the following dates, whichever is earlier: 8 a. The date the state or an agency of the state receives an 9 invoice showing a payment is due and payable. 10 b. The date a payment becomes due and payable under a 11 contract. 12 2. For purposes of this section, receipt of an invoice 13 occurs at the time of actual physical or electronic delivery. 14 In a dispute regarding the date of the receipt of an invoice, 15 the burden of proof is on the state or agency of the state 16 to establish by a preponderance of the evidence the date of 17 receipt. An intake bates stamp using time and date and made 18 with a stamping mechanism that is resistant to tampering shall 19 be considered prima facie evidence of the date of receipt. 20 EXPLANATION 21 The inclusion of this explanation does not constitute agreement with 22 the explanation’s substance by the members of the general assembly. 23 This bill relates to contract payments made by the state or 24 an agency of the state to Iowa residents and businesses. 25 The bill requires the state or an agency of the state to 26 either make full or partial payments as required under a 27 contract with an Iowa resident or a business organized under 28 Iowa law whose commercial domicile is in Iowa or to provide 29 a written statement to such other party to the contract 30 explaining the reason an invoice is in dispute within 60 days 31 of the date an invoice is received or the date a payment is due 32 and payable under a contract, whichever is earlier. The bill 33 provides that in a dispute regarding the date of the receipt 34 of an invoice, the burden of proof is on the state or an agency 35 -1- LSB 2032XS (2) 86 tm/sc 1/ 2
S.F. 421 of the state to establish by a preponderance of the evidence 1 the date of receipt. 2 -2- LSB 2032XS (2) 86 tm/sc 2/ 2