N.Y. Comp. Codes R. & Regs. tit. 21 § 4214.3

Current through Register Vol. 46, No. 50, December 11, 2024

Section 4214.3 - Payment procedures

(a) Payment request procedure. contractors requesting payment by UDC for personal service contracts and nonpersonal service contracts shall forward a proper invoice to UDC at:

Accounts Payable Department

New York State Urban Development Corporation

1515 Broadway

New York, NY 10036

UDC shall maintain an accounts payable register, into which are entered the date of receipt of the proper invoice (by the designated payment office) and the amount requested for payment. The proper invoice will be reviewed and verified for compliance with the contract and approved. Upon audit and approval, checks will be prepared and issued by the Treasury Department.

(b) Schedule for prompt payment. UDC shall comply with the following schedule for prompt payment: for proper invoice, prompt payment for the amount of contract payment due shall occur within 30 calendar days, excluding legal holidays, after receipt of invoice, except in those cases where the conditions contained in subdivision (e) of this section apply.

(c) Interest penalty payment. If UDC fails to adhere to the payment schedule stated in subdivision (b) of this section subject to the provisions of subdivision (e) of this section if any, and notwithstanding any other provision of law to the contrary, interest penalties shall be computed at the rate equal to the overpayment rate set by the Commissioner of Taxation and Finance pursuant to subsection (e) of section 1096 of the Tax Law, which rate shall be in effect on the date the vendor's bill becomes unjustifiably overdue.

(d) Sources of funds to pay interest penalties. Funds to pay interest penalties for personal service contracts and nonpersonal contracts will be drawn from earnings on investments, fees, and miscellaneous income.

(e) Facts and conditions which may justify extension of prompt payment without penalty. The following facts and conditions shall extend the payment schedule set forth in subdivision (b) of this section without imposition of an interest penalty:

(1) If statutory or contractual provisions require or authorize an inspection, audit, approval or certification prior to payment, in order to determine the resources applied or used by a contractor or otherwise to verify that the work, goods or services billed for were provided in accordance with the contract;

(2) if the necessary State government appropriation required to authorize payment has yet to be enacted;

(3) if another governmental agency must examine a proper invoice prior to payment; and

(4) the provisions of subdivision (f) of this section which address irregularities of contract compliance, invoice preparation and others.

Any time taken to satisfy or rectify any of the facts or conditions described in subdivision (e) of this section shall extend by an equal period of time the date by which contract payments must be made in order for UDC not to become liable for interest payments.

(f) Notifications to contractors. UDC shall have 15 calendar days after receipt of invoice to notify the contractor of:

(1) defects in the delivered goods, property, or services;

(2) defects in the invoice; and

(3) suspected improprieties of any kind;

and the existence of such defects, improprieties or objections shall prevent the commencement of the time period specified in subdivision (b) of this section. If UDC, in such situations, fails to provide reasonable grounds for its contention that a defect, impropriety or objection exists, the date by which contract payment must be made in order for UDC not to become liable for interest payments shall be calculated from the date of receipt, of invoice. If UDC fails to notify a contractor of such defects, suspected improprieties or objections within 15 calendar days of receipt of invoice, the number of days allowed for payment of the corrected proper invoice will be reduced by the number of days between the 15th day and the day that notification was transmitted to the contractor.

(g) Contract incorporation. The policy statement in effect at the time of creation of a contract shall be incorporated into and made a part of that contract.

N.Y. Comp. Codes R. & Regs. Tit. 21 § 4214.3