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(a) In this Section, the following terms have the meanings indicated:
(1) contract administrator means the person designated in the contract to accept invoices on behalf of the County for goods, services, or construction provided; and
(2) proper invoice means a written request from a contractor for payment from the County for performance under a contract that:
(A) complies with all documentation requirements under the contract and regulation;
(B) represents work covered by the contract that has been satisfactorily performed, validated, and certified by County representatives; and
(C) identifies the contract number or adequately describes the contract.
(b) It is the policy of the County to make a payment under a contract within 30 days after the day that:
(1) payment becomes due under the contract; or
(2) the County contract administrator receives a proper invoice; whichever is later.
(c) (1) Except as provided in subsection (d), interest accrues at a rate set under Executive Regulations on any amount that:
(A) is due and payable by law and under the contract; and
(B) remains unpaid for more than 45 days after the County contract administrator receives a proper invoice.
(2) Interest accrues beginning on the 31st day after the day that:
(A) payment becomes due under the contract;
(B) the County contract administrator receives a proper invoice; and
(C) the goods and services have been delivered and accepted.
However, for a progress payment for construction services, interest accrues on the 31st day after the day subparagraphs (A) and (B) of this paragraph are both met.
(d) The County is not liable for interest:
(1) unless, within 30 days after the date on the County's check for the amount on which the interest accrued, the contractor submits a written request for the interest that identifies the contract number or otherwise adequately identifies the contract;
(2) if the invoice is for work that is:
(A) the subject of a contract claim; or
(B) for a payment that is not made because of a disagreement over the amount of the payment or compliance with the contract;
(3) on an amount that represents unpaid interest;
(4) accruing more than one year after interest may begin to accrue under this Section; or
(5) unless the contractor has included in each subcontract entered into as a result of the contract with the County an obligation for the contractor to pay the subcontractor interest for late payment in an amount and under the same conditions as the County must pay interest for late payment to the contractor.
(e) A dispute over County liability for interest under this Section must be decided by the Chief Administrative Officer.
(f) If, in the discretion of the Chief Administrative Officer, an award of predecisional interest should be made in order to provide a contractor who has substantially prevailed on a contract dispute with a fair remedy, the Chief Administrative Officer may award predecisional interest in the amount specified in subsection (c). Predecisional interest accrues from the 31st day after the contract dispute has been filed with the Chief Administrative Officer in accordance with regulations. (1994 L.M.C., ch. 30, § 1.)