HF 1234 Minnesota House · 2025-2026 Regular Session

Payment transparency required in public contracts.

HF 1234 requires Minnesota public contracting agencies to provide detailed payment notifications to contractors and subcontractors within three business days of making payments on public projects. The bill mandates that notifications include the payment amount, date, recipient name, scope of work covered, and reasons for any withheld retainage or payment. This directly affects contractors and subcontractors working on state-funded construction or public improvement projects. The law aims to increase transparency by ensuring all parties receive clear, timely information about payments and withholdings. It amends Minnesota Statutes sections 15.72 (subd. 4) and 337.10 to enforce these requirements.

Bill status died 1 of 4 stages cleared

Introduction

Feb 2025

Committee Review

Floor Vote

Governor

Introduced Feb 20, 2025 Last action Apr 30, 2026

Maddy AI version diff · 2 comparisons

What changed between versions

1st Engrossment → 2nd Engrossment · 4 edits · Apr 7, 2026

MODERATE

The bill was updated from the 1st to the 2nd Engrossment, refining requirements for payment transparency in public contracts. Key changes include adding a documentation requirement for contractors seeking payment information, expanding where contact details must be posted online, and clarifying that withholding invoices is unenforceable. These updates aim to make it easier for contractors to access payment records and ensure faster resolution of payment disputes.

Scope change

The bill's scope remains focused on state government public improvement projects, but the eligibility criteria for requesting payment information were tightened to require contractors to provide documentation of participation.

ELIGIBILITY

Added a requirement that contractors or subcontractors must provide documentation proving their participation in the project before a public agency must provide payment information.

REQUIREMENT

Expanded the requirement for public agencies to post contact information for payment requests on their websites, specifying it must be on the solicitations page, homepage, or another apparent location.

Added a new provision stating that prohibiting or delaying the submission of an invoice is void and unenforceable, protecting contractors from contract clauses that block invoicing.

TECHNICAL

Removed a large block of sections (2.6 through 4.32) that appeared to be placeholder or draft text, streamlining the bill structure.

Floor votes

How they voted

No floor votes recorded yet.

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Apr 28, 2026

Committee

Referred to Chief Clerk for comparison with SF1714

lower

Apr 7, 2026

Lower · Passed

Committee report, to adopt as amended and re-refer to Ways and Means

lower

Mar 18, 2026

Lower · Passed

Committee report, to adopt as amended and re-refer to Workforce, Labor, and Economic Development Finance and Policy

lower

Feb 20, 2025

Introduced

Introduction and first reading, referred to State Government Finance and Policy

lower

1 primary · 7 co-sponsors