Prompt Payment
Agencies are responsible for ensuring that each payment is treated correctly in USAS according to the prompt payment law. A state agency’s payment is due on the 30th day after the latest of:
- The date the agency receives the goods under the contract.
- The date the performance of the contracted service is completed.
- The date the agency receives an invoice for the goods or services.
A state agency’s payment for legal services is due on the 45th day after the date the agency receives the invoice for the legal services.
See Texas Government Code, Chapter 2251 for the entire law.
Definitions
- Contracted
- A written agreement where a contractor provides goods or services and the agency pays for such goods and services in accordance with the established price, terms and conditions.
- Goods
- Includes supplies, materials or equipment.
- Payment
- Money owed to a vendor.
- Prompt payment law
- Government Code, Chapter 2251.
- Service
- Includes gas and water utility service.
- State agency
-
- A board, commission, department, office or other agency in the executive branch of state government created by the constitution or a statute of this state, including an institution of higher education as defined by Texas Education Code, Section 61.003.
- The Legislature or a legislative agency.
- The Supreme Court, the Court of Criminal Appeals, a court of appeals, a state judicial agency or the State Bar of Texas.
- Vendor
- A person who supplies goods or a service to a state agency or another person directed by the agency. The term does not include a state agency, except for Texas Correctional Industries. The term includes an officer or employee of a state agency when acting in a private capacity to supply goods or a service.