1. A. The State shall pay interest on late payments as defined in Regulation .01 of this chapter at the rate of 9 percent per annum if:

   1. (1) The vendor submits an invoice for the late payment interest within 30 days after the date of the State’s payment of the amount on which the interest accrued; and
   2. (2) A contract claim has not been filed under State Finance and Procurement Article, Title 15, Subtitle 2, Annotated Code of Maryland.

2. B. The State is not liable for interest:

   1. (1) Accruing more than one year after the 31st day after the agency receives the proper invoice; or
   2. (2) On any amount representing unpaid interest.

Authority: State Finance and Procurement Article, §§15-101—15-105, Annotated Code of Maryland

Effective date: January 2, 2017 (43:26 Md. R. 1449)

Regulation .01 amended effective September 18, 2023 (50:18 Md. R. 800)