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CA AB1177
Bill
Status
7/14/2025
Primary Sponsor
Damon Connolly
Click for details
AI Summary
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Amends the California Prompt Payment Act to change the trigger for extending payment deadlines for Department of Forestry and Fire Protection (CAL FIRE) contracts from the "annually declared fire season" to the "peak fire protection staffing period" as determined by the Director of Forestry and Fire Protection
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Extends the required payment approval date by 30 calendar days for invoices that would otherwise incur late payment penalties during the peak fire protection staffing period
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Exempts certified small businesses, nonprofit organizations, nonprofit public benefit corporations, and resource conservation districts from the 30-day extension, meaning they remain entitled to timely payment during peak fire periods
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Maintains existing provisions that suspend late payment penalties when the Director of Finance determines a major calamity, disaster, or criminal act prevents timely payment, with continued protection for small businesses and nonprofits
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Approved by Governor and filed with Secretary of State on July 14, 2025
Legislative Description
California Prompt Payment Act: late payment penalties.
Last Action
Chaptered by Secretary of State - Chapter 47, Statutes of 2025.
7/14/2025