1. A. A public construction contract shall provide for partial payment based upon work completed. The contract shall provide that up to ten percent (10%) of all partial payments made shall be withheld as retainage. At any time the contractor has completed in excess of fifty percent (50%) of the total contract amount, the retainage shall be reduced to five percent (5%) of the amount earned to date if the owner or owner's duly authorized representative has determined that satisfactory progress is being made, and upon approval by the surety.
2. B. The Oklahoma Department of Transportation or the Oklahoma Turnpike Authority shall not withhold retainage on public construction contracts awarded by the Department or the Authority.
3. C. The Oklahoma Department of Transportation shall not withhold retainage or require any bond on projects awarded to railroads on the railroad's privately owned or operated rail property.

Laws 1977, SB 65, c. 74, § 2, eff. October 1, 1977; Amended by Laws 1983, HB 1305, c. 67, § 1, emerg. eff. April 29, 1983; Amended by Laws 1995, SB 250, c. 200, § 2, emerg. eff. May 19, 1995; Amended by Laws 1997, SB 210, c. 278, § 4, emerg. eff. May 27, 1997 (superseded document available).