SB 557

  • California Senate Bill
  • 2023-2024 Regular Session
  • Introduced in Senate Feb 15, 2023
  • Passed Senate May 30, 2023
  • Passed Assembly Sep 12, 2023
  • Governor

California Prompt Payment Act: nonprofit organizations.

Abstract

Under the California Prompt Payment Act, a state agency that awards a grant or that acquires property or services pursuant to a contract is required to make timely payments pursuant to the grant or contract. If a state agency or the Controller fails to take certain timely actions, and payment is not issued within 45 calendar days from the state agency receipt of an undisputed invoice, the act requires the state agency or the Controller, as applicable, to pay certain penalties. The act provides an exception from those penalty provisions if the grant or contract was awarded to a nonprofit organization in an amount less than $500,000. The act defines the term "grant" to mean a signed final agreement between any state agency and a local government agency or organization authorized to accept grant funding for victim services or prevention programs administered by any state agency or restoration activities performed by a resource conservation district. This bill would define the term "grant" to additionally mean a signed final agreement between any state agency and a nonprofit organization and would delete the $500,000 exception described above. The act authorizes a state agency to dispute for reasonable cause an invoice, refund request, or claim for Medi-Cal reimbursement, as specified. The act defines "reasonable cause" to mean a determination by a state agency that any of certain conditions exist, including that there is a discrepancy between the invoice or claimed amount and either the claimant's actual delivery of property or services to the state or the state's acceptance of those deliveries. This bill would revise the condition described above to apply if there is a discrepancy of an amount greater than $250 or 5% of the invoiced amount, whichever is lesser, between the invoice or claimed amount and either the claimant's actual delivery of property or services to the state or the state's acceptance of those deliveries.

Bill Sponsors (1)

Votes


Actions


Jan 25, 2024

Senate

Veto sustained.

Senate

Stricken from file.

Oct 08, 2023

Senate

In Senate. Consideration of Governor's veto pending.

Senate

Vetoed by the Governor.

Sep 20, 2023

California State Legislature

Enrolled and presented to the Governor at 4:30 p.m.

Sep 12, 2023

Assembly

Read third time. Passed. (Ayes 80. Noes 0. Page 3263.) Ordered to the Senate.

Senate

In Senate. Ordered to engrossing and enrolling.

Sep 05, 2023

Assembly

Read second time. Ordered to third reading.

Sep 01, 2023

Assembly

From committee: Do pass. (Ayes 16. Noes 0.) (September 1).

Aug 16, 2023

Assembly

August 16 set for first hearing. Placed on suspense file.

Jun 21, 2023

Assembly

From committee: Do pass and re-refer to Com. on APPR. with recommendation: To consent calendar. (Ayes 6. Noes 0.) (June 21). Re-referred to Com. on APPR.

  • Committee-Passage
  • Committee-Passage-Favorable
  • Referral-Committee
Com. on APPR.

Jun 08, 2023

Assembly

Referred to Com. on A. & A.R.

  • Referral-Committee
Com. on A. & A.R.

May 31, 2023

Assembly

In Assembly. Read first time. Held at Desk.

May 30, 2023

Senate

Read third time. Passed. (Ayes 40. Noes 0. Page 1364.) Ordered to the Assembly.

May 26, 2023

Senate

Ordered to special consent calendar.

May 22, 2023

Senate

Read second time. Ordered to third reading.

May 18, 2023

Senate

Read second time and amended. Ordered to second reading.

Senate

From committee: Do pass as amended. (Ayes 7. Noes 0. Page 1175.) (May 18).

May 12, 2023

Senate

Set for hearing May 18.

Apr 10, 2023

Senate

April 10 hearing: Placed on APPR suspense file.

Mar 29, 2023

Senate

Set for hearing April 10.

Mar 28, 2023

Senate

From committee: Do pass and re-refer to Com. on APPR with recommendation: To consent calendar. (Ayes 14. Noes 0. Page 545.) (March 28). Re-referred to Com. on APPR.

  • Committee-Passage
  • Committee-Passage-Favorable
  • Referral-Committee
Com. on APPR.

Mar 14, 2023

Senate

Set for hearing March 28.

Feb 22, 2023

Senate

Referred to Com. on G.O.

  • Referral-Committee
Com. on G.O.

Feb 16, 2023

Senate

From printer. May be acted upon on or after March 18.

Feb 15, 2023

Senate

Introduced. Read first time. To Com. on RLS. for assignment. To print.

Bill Text

Bill Text Versions Format
SB557 HTML
02/15/23 - Introduced PDF
05/18/23 - Amended Senate PDF
09/14/23 - Enrolled PDF

Related Documents

Document Format
03/24/23- Senate Governmental Organization PDF
04/07/23- Senate Appropriations PDF
05/18/23- Senate Appropriations PDF
05/23/23- Sen. Floor Analyses PDF
06/19/23- Assembly Accountability and Administrative Review PDF
08/14/23- Assembly Appropriations PDF
09/05/23- ASSEMBLY FLOOR ANALYSIS PDF
10/19/23- Sen. Floor Analyses PDF

Sources

Data on Open States is updated periodically throughout the day from the official website of the California State Legislature.

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