“After a 40-0 vote, Florida lawmakers have passed a bill that will limit the amount of retainage that can be withheld from contractor payments on state and local publicly funded projects to 5%. If Florida Gov. Ron DeSantis signs the legislation, the new law will go into effect Oct. 1, 2020. Currently, contractors working on public projects have 10% retainage withheld from their payments until 50% of the project is complete. Then, the retainage rate drops to 5%. In addition to limiting how much retainage public entities are allowed to withhold, the new law will also require general contractors to limit retainage on subcontractor payments to 5% as well.”
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