We need prompt payment legislation in B.C. NOW.

That’s the message a delegation of ECABC representatives delivered to a group of BC NDP Government Members of the Legislative Assembly in Victoria.

“Your government has been generally receptive of our message on prompt payment. What we are looking for from you now – and what small businesses and workers across B.C. are counting on you to deliver – is to turn all those receptive words into meaningful action,” ECABC President Deborah Cahill told the MLAs.

Ms. Cahill, ECABC member Graham Trafford of Mott Electric, and ECABC’s prompt payment legal specialist Dan Leduc of Norton Rose Fulbright LLP. told the Government Caucus meeting that it’s time to fix a broken system that forces more than half of B.C.’s electrical contractors to wait more than 30 days to get paid for work they have done.

“This hurts contractors all over B.C.,” Mr. Trafford explained. “This can create very challenging cash flow situations. That creates instability for the businesses. It also hurts workers, because it can limit businesses’ ability to hire additional workers and apprentices.”

B.C. should follow the lead of other jurisdictions like Ontario where prompt payment legislation is in place and working well, Mr. Leduc said. The Ontario legislation requires payments to be made by the owner/development/government entity to the primary contractor within 28 days of receiving the invoice. All subsequent payments throughout the construction chain are required within seven days. In the event of a dispute, an adjudicator is assigned to the case.

The Government Caucus briefing follows earlier ECABC prompt payment advocacy. That includes meetings with the BC Liberals’ Official Opposition Caucus. It also includes a submission to the Select Standing Committee on Finance and Government Services, which included prompt payment legislation as a recommendation in its Budget 2020 consultation report.