Contractor Claims

Contractor Claims

 

The language in the recently passed State Government Finance bill is proving tricky.  It states “No appropriation under this or any other law, regardless of when enacted, may be used to pay or settle judgments for damages by contractors or third parties arising out of, or related to, the government shutdown of July 2011.” (Section 57.5-57.7)  However, Mn/Dot has already expressed that they would be taking and honoring contractor claims.  Mn/Dot is expected to release a letter stating that its departments will honor claims despite what bill says.  No letter has been received as of Friday, July 22 morning. 

Check out the Alliance End of Shutdown page here

Here is the Payment for 2011 Government Shutdown bill section

 

57.3 Section 1. PAYMENT FOR 2011 GOVERNMENT SHUTDOWN CAUSES OF 57.4ACTION.

57.5No appropriation under this or any other law, regardless of when enacted, may be

57.6used to pay or settle judgments for damages by contractors or third parties arising out of,

57.7or related to, the government shutdown of July 2011. This limitation does not apply if

57.8the contract expressly provides for the payment by the state or an agency of the state for

57.9measures or activities undertaken by the contractor or third party arising from or caused

57.10by the government shutdown.

57.11EFFECTIVE DATE.This section is effective the day following final enactment.

 

 

Click here for a letter from Julie Skallman, State Aid Division Director regarding claims.