Rep. Sweeney testifies on bipartisan legislation to ensure prompt pay for Ohio workers
COLUMBUS — State Rep. Bride Rose Sweeney (D-Cleveland) testified Wednesday on House Bill (HB) 68, her bipartisan legislation to ensure that prime contractors are paid promptly and construction projects can move forward across the State of Ohio.
“Many Ohio contractors have to wait months just to receive payment for their work,” said Rep. Sweeney. “Hardworking Ohioans shouldn’t have to dip into their lifesavings or put their payroll on credit cards just to do their job. This bipartisan bill will keep construction projects moving and protect Ohio jobs.”
Joint sponsored with State Rep. Jon Cross (R-Kenton), the proposal is a reintroduction of HB 380 from the 133rd General Assembly. It would require private sector owners of construction projects to provide payment to the prime contractors no more than 30 days after the prime contractors provide invoices to the owners.
“As an economic development professional, I understand how important this bill is to Ohio,” said Rep. Cross. “We are sending a signal to developers coming into Ohio that we are a business-friendly state but we need to protect our contractors.”
Ohio law already requires the following timetable for payments, and HB 68 would close the highlighted loophole:
Public Construction Projects
Owner to Prime – 30 days after invoice unless otherwise agreed (R.C. 126.30 and 153.14)
Prime to Sub – 10 days after prime contractor receives payment from owners (R.C. 4113.61)
Sub to Lower Tiers – 10 days after subcontractor receives payment from prime contractor (R.C. 4113.61)
Private Construction Projects
Owner to Prime – No Provision
Prime to Sub – 10 days after prime contractor receives payment from owner (R.C. 4113.61)
Sub to Lower Tiers – 10 days after subcontractor receives payment from prime contractor (R.C. 4113.61)
HB 68 awaits further hearings in the Commerce and Labor Committee.