Regulation .03 Responsibilities.
Regulation .03 Responsibilities.LinkCopy Citation
A.
A contractor who receives a progress payment or a final payment shall pay a subcontractor or supplier an undisputed amount to which the subcontractor or supplier is entitled within 10 calendar days of receiving the payment.
B.
If a contractor withholds payment from a subcontractor or supplier within the time period in which the payment normally would be made, the contractor shall:
(1)
Notify the subcontractor or supplier in writing and state the reason why payment is being withheld;
(2)
Provide a copy of the notice to the prime contractor or supplier and, if different, to the person or firm that made the progress payment or final payment to the contractor; and
(3)
Provide a copy of the notice to the procurement officer.
C.
Written Notice of Nonpayment.
(1)
If a subcontractor or supplier does not receive a payment within the required time period, the subcontractor or supplier shall give written notice of the nonpayment to the procurement officer.
(2)
The notice shall:
(a)
Indicate the:
(i)
Name of the contractor and, if different, of the prime contractor;
(ii)
Project under which the dispute exists; and
(iii)
Amount in dispute;
(b)
Provide an itemized description on which the amount is based; and
(c)
If known, provide an explanation for any dispute concerning the payment not received.