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Bill Summary Details

Retainage (Oppose – Preemption) 

CS/SB 246 (Hooper) and CS/HB 101 (Andrade) would allow municipalities the ability to retain only up to 5% across an entire construction project. Currently, municipalities can withhold up to 10% of retainage for the first half of a construction project and up to 5% on the last half. Retainage serves as a safeguard against possible overpayment to the general contractor when the estimated percentage of project completion, used for periodic payments, exceeds the actual percentage completed. Additionally, retainage helps to ensure that the project is 100% complete prior to funds being released to the contractor. CS/HB 101 passed both chambers and is awaiting action by the governor. (Branch)