Sheet metal & Air Conditioning Contractors’ National Association


SMACNA: Early Prompt Pay Victory

Jan 17, 2019


US Capitol -857514306 x300SMACNA enjoyed an early session victory in the U.S. House on legislation that would help to solve prompt payment issues of contractors and subcontractors working on federal projects.

While most of the nation focused on the federal government shutdown, leaders in the U.S. House of Representatives called up a number of bipartisan bills for consideration, one a SMACNA priority. H.R. 227, the Incentivizing Fairness in Subcontracting Act, is important bipartisan legislation that would make long overdue reforms advocated by small business federal contractors to resolve contracting and payment disputes more quickly and fairly.

Written and introduced by Reps. Nydia Velazquez (D-7-N.Y.) and Trent Kelly (R-1-MS.), the legislation would amend the Small Business Act to provide a dispute process when subcontractors aren’t paid. It would allow subcontractors a proper channel to use when filing a formal notice to the federal government on their lack of prompt payment. The proposed dispute process would go through the Office of Small and Disadvantaged Business Utilization (OSDVU) and would require that the claim and resolution process be declared valid. Read more…