§ 42-11.1-1 - Policy. - Rhode Island Statutes

SECTION 42-11.1-1

   § 42-11.1-1  Policy. – Firms and organizations that do business with the state expect and deserve tobe paid in a prompt and timely manner. Unjustified delays in paying vendors,construction contractors, and providers of service may discourage such firmsand organizations from doing business with the state and may ultimatelyincrease the costs to the state government of purchasing materials, equipment,and supplies; undertaking construction and reconstruction projects; andobtaining a wide variety of professional and other specialized servicesincluding those that are provided to persons in need. Consequently, thislegislation sets standards for the payment of bills incurred by state agencieswithin specified periods of time and requires interest payments in situationswhere contract payments do not conform to these standards. Consistent withaccepted business practices and with sound principles of fiscal management, itis the intent of this legislation to encourage state agencies in all three (3)branches of state government to make payments at least as expeditiously as theycurrently do and further reduce existing payment processing times wheneverfeasible, while at the same time permitting the state agencies to performproper and reasonable financial oversight activities designed to ensure thatthe state government receives the quality of goods and services to which it isentitled to ensure that public funds are spent in a prudent and responsiblemanner.