20 April 2021
Hon. Ernie Steeves, Minister of Finance
P. O. Box 6000
Fredericton, NB E3B 5H1
Via email: email@example.com
Re: Prompt Payment Legislation
Dear Minister Steeves:
I am writing today to support the efforts of the Construction Association of New Brunswick in requesting that the province pass “Prompt Payment Legislation.” The federal government and several provinces have taken steps to adopt prompt payment legislation. This legislation would ensure that all levels of contractors are paid on time by public and private owners.
Construction Prompt Payment legislation sets a system for requiring and adjudicating prompt payments on construction projects. The prompt payment legislation promotes the orderly and timely carrying out of construction projects and the current system sometimes leaves general contractors, sub-contractors and suppliers without payment for months after the completion of infrastructure projects. This causes delays in beginning new projects or companies to shut down due to the lack of payment.
In Ontario, the prompt payment regime comprises swift payment deadlines, requiring the owner either to pay within 28 calendar days or dispute within 14 calendar days, describing the reasons for non-payment. In turn, the contractor must either pay its subcontractors within seven calendar days of receipt of payment or send notices of dispute within seven calendar days.
With prompt payment legislation, we can ensure that companies are paid on time and are ready to undertake the next project to build better infrastructure in New Brunswick.
Krista Ross, CEO
Fredericton Chamber of Commerce
cc: John Landry, Executive Director, Construction Association of New Brunswick