MO SB383

Eliminates retainage withholding on public works contracts when a performance bond is obtained pursuant to section 107.170, allowing public owners, contractors, and subcontractors to retain no funds from progress payments.

Permits retainage up to 5 percent of contract value only for public works projects estimated under $50,000 where no bond is required.

Increases the threshold for mandatory performance bonds on public works projects from $25,000 to $50,000.

Maintains prompt payment requirements with progress payments due at least monthly and final payments due within 30 days of project completion or acceptance.

Preserves late payment interest at 1.5 percent per month for overdue payments and allows withholding only for specified reasons including unsatisfactory progress, defective work, or third-party claims.