Retainage requirements.

Reduced maximum retainage rates from 10% to 6% until 50% project completion and from 5% to 3% until substantial completion

Eliminated the minimum retainage requirement that previously mandated withholding at least 6% and 3% respectively

Maintained July 1, 2025 effective date for the updated retainage provisions

Converted document from enrolled act format to standard house bill format with updated digest and citation information

Added a new chapter (IC 22-5-9) establishing retainage requirements for private construction contracts, which previously did not have specific retainage rules.

Modified IC 5-16-5.5-3.5 to establish specific retainage percentages (6-10% or 3-5%) for public works projects, with different thresholds based on project completion status.

Modified IC 36-1-12-14 to add provisions for escrow accounts for retainage on public works contracts over $200,000, including rules for escrow agent selection and fund management.

Added detailed definitions for 'construction', 'contract', and 'contractor' in the new private construction chapter to clarify what types of agreements and work are covered.

Added requirements for performance bonds on public works contracts, including rules about when sureties can be released and time limits for legal actions.

Set the effective date for all new provisions as July 1, 2025, and specified that the new private construction chapter applies only to contracts executed after June 30, 2025.