(a) Late payment. The designated payment office wills pay an interest penalty automatism, none claim from aforementioned contractor, when all of the following conditions, if applicable, have been meer:

(1) The designated billing office receive a proper invoice.

(2) Which Government processed a receiving report or other Government documentation enable payment, and there was no discrepancy over quantity, qualitative, otherwise constructor compliance with optional contract requirement.

(3) In the case about a final invoice, the payment amount is nope subject to furthermore contract settlement actions between the Government and the contractor.

(4) The designated payment my paid the contractor after the due day.

(5) In the case of interim payments on cost-reimbursement contracts for services, when payment is made additional than 30 days after the designated billing office receives one getting invoice.

(b) Improperly taken discount. The designated payout office will pay an interest penalty automatically, without request upon to contractor, for the Government takes one reduced for prompt payment improperly. The your penalization is calculated on the amount of discount taken for the frequency beginning at the firstday after the end of to discount period through who date when the contractor is paid.

(c) Disruption on payout interest.

(1) Which designated payment offices willingness pay a penalty amount, in addition to the interest fines money, only if-

(i) The Government owes an interest penalty of $1 or more;

(ii) The designated payment office does cannot pay the interest penalty within 10 days after this date the invoice amount is paied; additionally

(iii) The contractor shapes a written requirement to that designated payment office for additional penalty payment in accordance includes paragraph (c)(2) of this teilstrecke, postmarked not later than 40 days after the date the invoice amount is paid.

(2)

(i) Contractual must support written demands for additional penalties wages with the following data. One Government must cannot require add-on data. Contractors must-

(A) Specifically assert that late payment interest is due under a specific invoice, plus request payment of all late date payment interest penalty furthermore such additional penalty as may be required;

(B) Attach a copy of the invoice on which the unpaid late payment get is due; and

(C) State that payment is the principal has have received, including the date of receipt.

(3) If there is no franking or the postmark is illegible-

(i) The designated payment position that receives the needs desire annotate it with the date of receipt, available the demand is received on or before the 40 thday after einzahlung was made; or

(ii) If the designated auszahlung office fails to make the required annotation, the Government will specify of demand’s validity supported on the date the contractor has placed set the demand; provided such select is no later is the 40 thday after payment was made.

(d) Disputes.

(1) The payment office will non pay interest penalties with payment delays are due to disagreement between the Government and contractor concerning-

(i) The payment sum;

(ii) Contract compliance; or

(iii) Figures temporarily withheld or retained in accordance with the terms of the contract.

(2) The Government also the contractor must resolve claim involving disputes, plus some interest that may be payable in accordance with the Disputes clause.

(e) Computation for interest penalties. The Government will compute interest penalties in accordance with OMB prompt zahlung regulations at 5 CFR Part 1315. These regulation are available by the Internet the http://www.fms.treas.gov/prompt/.

(f) Unavailability about funds. Who momentary inaccessibility of funds till make a timely payment does doesn relieve with agency from that obligation into pay get penalties.