eLaws | eCases | United States Code | Federal Courts |
Home » 2021 Issues » 86 FR (01/28/2021) » 2021-01681. Prompt Payment Interest Rate; Contract Disputes Act

  2021-01681. Prompt Payment Interest Rate; Contract Disputes Act  

  • Start Preamble

    AGENCY:

    Fiscal Service, Bureau of the Fiscal Service, Treasury.

    ACTION:

    Notice of Prompt Payment Interest Rate; Contract Disputes Act.

    SUMMARY:

    For the period beginning January 1, 2021, and ending on June 30, 2021, the prompt payment interest rate is 7/8 per centum per annum.

    DATES:

    Applicable January 1, 2021, to June 30, 2021.

    ADDRESSES:

    Comments or inquiries may be mailed to: E-Commerce Division, Bureau of the Fiscal Service, 401 14th Street SW, Room 306F, Washington, DC 20227. Comments or inquiries may also be emailed to PromptPayment@fiscal.treasury.gov.

    Start Further Info

    FOR FURTHER INFORMATION CONTACT:

    Thomas M. Burnum, E-Commerce Division, (202) 874-6430; or Thomas Kearns, Senior Counsel, Office of the Chief Counsel, (202) 874-7036.

    End Further Info End Preamble Start Supplemental Information

    SUPPLEMENTARY INFORMATION:

    An agency that has acquired property or service from a business concern and has failed Start Printed Page 7458to pay for the complete delivery of property or service by the required payment date shall pay the business concern an interest penalty. 31 U.S.C. 3902(a). The Contract Disputes Act of 1978, Sec. 12, Public Law 95-563, 92 Stat. 2389, and the Prompt Payment Act, 31 U.S.C. 3902(a), provide for the calculation of interest due on claims at the rate established by the Secretary of the Treasury.

    The Secretary of the Treasury has the authority to specify the rate by which the interest shall be computed for interest payments under section 12 of the Contract Disputes Act of 1978 and under the Prompt Payment Act. Under the Prompt Payment Act, if an interest penalty is owed to a business concern, the penalty shall be paid regardless of whether the business concern requested payment of such penalty. 31 U.S.C. 3902(c)(1). Agencies must pay the interest penalty calculated with the interest rate, which is in effect at the time the agency accrues the obligation to pay a late payment interest penalty. 31 U.S.C. 3902(a). “The interest penalty shall be paid for the period beginning on the day after the required payment date and ending on the date on which payment is made.” 31 U.S.C. 3902(b).

    Therefore, notice is given that the Secretary of the Treasury has determined that the rate of interest applicable for the period beginning January 1, 2021, and ending on June 30, 2021, is 7/8 per centum per annum.

    Start Signature

    Timothy E. Gribben,

    Commissioner, Bureau of the Fiscal Service.

    End Signature End Supplemental Information

    [FR Doc. 2021-01681 Filed 1-27-21; 8:45 am]

    BILLING CODE 4810-AS-P

Visit the Official Version
Leave a Comment

Document Information

Published:
01/28/2021
Department:
Bureau of the Fiscal Service
Entry Type:
Notice
Action:
Notice of Prompt Payment Interest Rate; Contract Disputes Act.
Document Number:
2021-01681
Dates:
Applicable January 1, 2021, to June 30, 2021.
Pages:
7457-7458 (2 pages)
PDF File:
2021-01681.pdf
Supporting Documents:
» Agency Information Collection Activities; Proposals, Submissions, and Approvals: List of Data (A) and List of Data (B)
» Agency Information Collection Activities; Proposals, Submissions, and Approvals: Claim for Lost, Stolen, or Destroyed U.S. Savings Bonds and Supplemental Statement for U.S. Securities
» Agency Information Collection Activities; Proposals, Submissions, and Approvals: Schedule of Excess Risks
» Fee Schedule for the Transfer of U.S. Treasury Book-Entry Securities Held on the Fedwire Securities Service
» Prompt Payment Interest Rate; Contract Disputes Act
» Agency Information Collection Activities; Proposals, Submissions, and Approvals: Generic Clearance for the Collection of Qualitative Feedback on Agency Service Delivery
» Agency Information Collection Activities; Proposals, Submissions, and Approvals: Application for Recognition as Natural Guardian of a Minor Not Under Legal Guardianship and for Disposition of Minor's Interest in Registered Securities
» Sale and Issue of Marketable Book-Entry Treasury Bills, Notes, and Bonds
» Regulations Governing United States Savings Bonds,
» Offset of Tax Refund Payments to Collect Certain Debts Owed to States