SB 1205: Public contracts: retention: architecture or engineering services.

The bill prohibits the retention of payment for all contracts, and amendments thereto, entered into on or after January 1, 2027, between a public entity and an individual or legal entity permitted by law to practice the profession of architecture or engineering. This means that public entities can no longer withhold payment from contractors or subcontractors who have completed a project. Instead, the payment will be made in full and on time, ensuring that individuals and entities in these professions receive fair compensation for their work.