California AB880 amends state government payment and reimbursement policies for grants and contracts.

California AB880 revises the payment timelines and penalties for state agencies when they fail to submit correct claims to the Controller. The Controller must pay claimants within 15 days of receiving a correct claim. If payment is not made within 45 days from the state agency's receipt of an undisputed invoice, the Controller must pay penalties to the claimant. Certain entities, like small businesses and nonprofits, receive higher penalty rates.

California AB880 amends state government payment and reimbursement policies for grants and contracts.

California AB880 revises the payment timelines and penalties for state agencies when they fail to submit correct claims to the Controller. The Controller must pay claimants within 15 days of receiving a correct claim. If payment is not made within 45 days from the state agency's receipt of an undisputed invoice, the Controller must pay penalties to the claimant. Certain entities, like small businesses and nonprofits, receive higher penalty rates.