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A school board disputes $18,000 of a $240,000 payment application. What must it do with the rest?

Correct Answer

A) Pay the undisputed portion on the normal payment schedule

Section 218.735(5) provides that if a local governmental entity disputes a portion of a payment request or invoice, the undisputed portion shall be paid timely in accordance with subsection (1). The 150 percent figure belongs to the punch list provision in s. 218.735(7)(e), not to a mid-project dispute.

Answer Options
A
Pay the undisputed portion on the normal payment schedule
B
Hold the entire application until the dispute is resolved
C
Pay the entire application and seek a credit later
D
Hold 150 percent of the disputed amount and pay the rest

Why This Is the Correct Answer

Section 218.735(5) provides that if a local governmental entity disputes a portion of a payment request or invoice, the undisputed portion shall be paid timely in accordance with subsection (1). The 150 percent figure belongs to the punch list provision in s. 218.735(7)(e), not to a mid-project dispute.

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