[Adopted 8-3-2010 by L.L. No. 41-2010[1] (Ch. 143, Art. VIII, of the 1985 Code)]
[1]
Editor's Note: This local law was adopted by the Legislature
after disapproval by the County Executive on 7-9-2010.
B.Â
This Legislature also finds that the County Legislature enacted this
prompt payment policy because the County's failure to pay its child-care
providers for services rendered within a reasonable time period threatened
the very existence of these agencies.
C.Â
This Legislature determines that the County has successfully complied
with the requirements of Local Law No. 2-2008 and promptly paid child-care
providers since the law's enactment.
D.Â
This Legislature finds that this County's other contract agencies
continue to deal with the County's failure to pay promptly, often
receiving payment many months after submitting vouchers/invoices to
the County for services rendered. The County's failure to pay promptly
causes cash flow problems for the agencies providing vital services
to Suffolk County residents.
E.Â
This Legislature continues to believe that Suffolk County government,
like any person or entity, has an obligation to pay its debts in a
reasonably timely manner and the failure to do so is inexcusable.
F.Â
Therefore, the purpose of this article is to extend the County's
prompt payment policy to all not-for-profit contract agencies.
As used in this article, the following terms shall have the
meanings indicated:
The department, office or agency of Suffolk County government
responsible for administering a contract with a contract agency.
Any agreement, upon sufficient consideration, entered into
by the County of Suffolk for an amount in excess of $10,000.
Any not-for-profit corporation or entity with which the County
of Suffolk contracts to render human services directly to the residents
of Suffolk County, including services related to health, welfare/social
services, parks/recreation, economic development, cultural affairs,
veterans' affairs, handicapped programs, public safety, youth, aging,
senior citizens' programs, minority affairs, women's affairs, labor/employment
services and education.
The County of Suffolk and any department, office, or agency
of Suffolk County government.
A written request for payment that is submitted by a contract
agency setting forth services delivered or rendered as the price for
said services, in such form and supported by such other documentation
as the County of Suffolk may require.
The date on which a proper invoice is actually received by
the administering department.
A reduction by the County of payment due to a contract agency
by an amount equal to the amount of an unpaid legally enforceable
debt owed by the contract agency to the County.
A.Â
Notwithstanding the provisions of any other law to the contrary,
the County shall make payment for services rendered by a contract
agency pursuant to a contract within 30 days of the administering
department's receipt of invoice. Should the County fail to make payment
by the required payment date, the County shall make an interest payment
to the affected contract agency on the amount of the payment due.
Interest shall be computed at the rate equal to the overpayment rate
set by the New York State Commissioner of Taxation and Finance pursuant
to Subdivision (e) of § 1096 of the New York State Tax Law.
The interest payment shall not reduce the amount payable to the contract
agency under the terms of the subject contract and invoice.
B.Â
The County shall not be required to make payment within 30 days of
receipt of invoice when:
(1)Â
The necessary appropriation required to authorize payment has not
been enacted;
(2)Â
The County is entitled to a set-off against the invoice amount;
(3)Â
Statutory or contractual provisions, if any, make payment within
30 days impossible; or
(4)Â
Some or all of the invoice amount must be withheld to satisfy claims,
liens or judgments against the contract agency; any remaining amount
due the contract agency shall be paid within 30 days of receipt of
invoice.
C.Â
The County may, within 15 days after receipt of invoice, notify a contract agency of defects in the delivered services; defects in the invoice; or other suspected improprieties. The existence of such defects or improprieties shall toll the commencement of the time period specified in Subsection A of this section. If the County fails to provide reasonable grounds for its contention that a defect or impropriety exists, the date by which contract payment must be made in order for the County not to become liable for interest payments shall be calculated from the date of receipt of invoice.
This article shall apply to actions occurring on or after the
effective date of this article.
This article shall take effect on January 1, 2011.