Section 10320.5 Of Article 3. Competitive Bidding And Other Acquisition Procedures From California Public Contract Code >> Division 2. >> Part 2. >> Chapter 2. >> Article 3.
10320.5
. (a) Commencing January 1, 1992, all state agencies subject
to this chapter that enter into installment purchase or
lease-purchase contracts shall make periodic payments, which shall
include interest computed from a date no later than the acceptance
date of the goods purchased pursuant to the contract. However, if the
contract requires an acceptance test, interest shall be computed
from a date no later than the first day of the successful acceptance
test period. Unless otherwise provided for in the contract, periodic
payments shall commence upon acceptance of the goods or, if the
contract requires an acceptance test, as of the first day of the
successful acceptance test period. Late charges shall accrue for any
periodic payment not made to the contractor or its assigns from
either the payment date provided in the contract or 60 days following
the receipt of a valid invoice for the periodic payment, whichever
is later. However, in the event any invoice is received prior to the
acceptance date, the receipt date of the invoice shall be construed
to be the acceptance date. Late charges under this section shall be
assessed using the interest rate as specified in Section 927.6 of the
Government Code.
(b) The department is authorized to refinance installment purchase
contracts when, in the determination of the department, it is
financially beneficial to the state to do so.