Question: Are there specific provisions for paying or not paying interest charged by vendors for past due accounts? This comes up occasionally in our county.

Response: The general rule is that school districts do not pay late charges or interest. The procedure is to contact the vendor who included a late charge and discuss the situation. Sometimes, the timing of the warrant generating process does not allow the warrant to be issued within the vendor timeline. Most vendors will accommodate the processing schedule. If the payment is delayed due to a disagreement on the amount of the invoice, the receipt of the goods, or any other issue, contact the vendor immediately to discuss the problem. In addition, document in writing the basis of the dispute.

If the delay in payment is due to an employee problem, the immediate supervisor of the employee should be notified and corrective action taken. Action can include the reassignment of certain duties to allow sufficient time for processing, or an employee reprimand.