SB 1510 Summary

• Amends Arizona Revised Statutes Section 34-221 regarding public contract payments and contractor protections.

• Permits agents to consider time of completion and associated fiscal benefits when awarding horizontal construction projects using design-bid-build delivery methods, similar to existing authority for board of supervisors contracts.

• Requires contractors to pay subcontractors, design professionals, and material suppliers within 7 days of receiving progress payments, with interest penalties of 1% per month if payments are delayed more than 7 days.

• Allows substitute security (money market accounts, demand deposits, certificates of deposit) in place of 10% contract retention, with specified conditions for release and waiver requirements.

• Clarifies that contracts cannot materially alter payment rights and establishes procedures for notifications regarding progress payments to subcontractors and design professionals.