Bill > SB00487

This bill, effective October 1, 2026, mandates that any contract between a state agency and a "fiscal intermediary" – an organization providing payroll, tax, or administrative services to the agency – must include provisions for timely wage payments and financial penalties if the fiscal intermediary fails to process payroll on time. These penalties are to be paid by the fiscal intermediary to the state agency and will be equivalent to fifty percent of the value of the unpaid wages. The responsible state agency will enforce these penalties, and if the fiscal intermediary does not pay, the Attorney General can take legal action to recover the amount owed.