HOUSE BILL No. 1155
DIGEST OF INTRODUCED BILL
Synopsis: Retainage on highway projects. Eliminates the requirement
that a contractor must submit the written consent of the surety of the
contractor's bond before the contractor may be permitted to draw any
part of the retained percentage of a contract withheld by the Indiana
department of transportation. Repeals the requirement that, until there
has been substantial completion of an Indiana department of
transportation contract, payment on the contract may not exceed 97%
of the estimated cost of the completed work. Repeals additional
provisions: (1) requiring that the retainage, upon the contractor's
request, be deposited in an interest bearing escrow account with the
treasurer of state or the treasurer of state's designee acting as escrow
agent; and (2) permitting the treasurer of state to charge a fee for these
Effective: July 1, 2001.
January 9, 2001, read first time and referred to Committee on Roads and Transportation.
First Regular Session 112th General Assembly (2001)
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
Constitution) is being amended, the text of the existing provision will appear in this style type,
additions will appear in this style type
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Additions: Whenever a new statutory provision is being enacted (or a new constitutional
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a new provision to the Indiana Code or the Indiana Constitution.
Conflict reconciliation: Text in a statute in this style type
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between statutes enacted by the 2000 General Assembly.
HOUSE BILL No. 1155
A BILL FOR AN ACT to amend the Indiana Code concerning
Be it enacted by the General Assembly of the State of Indiana:
SOURCE: IC 8-23-9-17; (01)IN1155.1.1. -->
IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2001]: Sec. 17. At any time after
the contract has been substantially completed, the contractor may be
permitted to draw any part of the retained percentage withheld by the
department in an amount determined by the department to be in the
best interest of the state, provided the contractor files a written request
accompanied by the written consent of the surety upon the contractor's
on forms provided by the department for requests. The
department may pay to the contractor any part of the retained
percentage the department determines is in the best interest of the state
even though the contractor does not request payment, provided that the
department notifies the contractor
and the surety upon the contractor's
of the department's intent to do so at least thirty (30) days in
advance of the payment. The fact that the contractor is permitted to
withdraw a part of the retained percentage, or that the department pays
a part of the retained percentage, shall in no way release or relieve the
contractor on the contract.
or the contractor or the contractor's surety
on the bond.
SECTION 2. THE FOLLOWING ARE REPEALED [EFFECTIVE
JULY 1, 2001]: