§ 20-110. Process for prompt payment of invoices and for payment of accrued interest.

(a)

This section shall apply to and govern the process for prompt payment and for payment of accrued interest on a complete and responsive invoice. As set out in section 20-114 below, interest shall be assessed and paid automatically with respect to an account payable commencing on the later of thirty-six (36) days after the invoice date or the date to which the interest accrual date is adjusted as set out herein unless an unresolved dispute between the city and the contractor is pending.

(b)

Upon receipt of a complete and responsive invoice the city shall endeavor to issue payment on the basis of the contractor payment period terms set out in the invoice; provided that, if it is not practicable to do so in the city's sole discretion, payment shall be rendered as soon thereafter as is practicable.

(1)

In addition, the city may extend or shorten the due date if the terms of the contract at issue are more advantageous to the city than the terms of this article.

(2)

The city shall also take any and all discounts offered by a contractor, to which the city is lawfully entitled, if such terms are more advantageous to the city than the terms of this article.

(3)

Partial payments shall be made upon partial deliveries, partial contract completion, or passage of a portion of a lease term, to the extent that may be authorized in the terms or conditions of the contract at issue.

(c)

Responsibility for payment of interest:

(1)

Each agency or department of the city subject to this article VII, including the manager of finance, may maintain records showing the date of delivery of a complete and responsive invoice from the expending authority or paying agency of the agency or department to the manager of finance and the actual receipt by the manager of finance of such documentation;

(2)

The city shall approve and tender payment for all complete and responsive invoices within thirty-five (35) days after the invoice date; provided that this time period may be adjusted and extended by the provisions of subsections 20-111(a) through (d) in the same manner as the interest accrual date is adjusted.

(d)

Interest shall accrue and be paid on an unpaid complete and responsive invoice beginning on the 36th day after the invoice date unless the interest accrual date has been extended beyond such 36th day by being adjusted as described in section 20-111, adjustments to interest accrual date.

(e)

If any payment to a contractor on an invoice is delayed beyond the interest accrual date the city shall pay interest to the contractor on such unpaid payment as provided herein from such interest accrual date, as the same may be adjusted, until the date that payment is rendered by the city.

(f)

The manager of finance may create policies or may adopt rules and regulations to determine circumstances for which an expending authority or paying agency shall be charged for the payment of interest.

(Ord. No. 1121-01, § 1, 12-26-01; Ord. No. 570-03, § 1, 7-14-03; Ord. No. 775-07, § 52, 12-26-07; Ord. No. 604-12, § 3, 11-26-12)