[Federal Register Volume 86, Number 138 (Thursday, July 22, 2021)]
[Notices]
[Pages 38813-38814]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-15613]


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DEPARTMENT OF THE TREASURY

Bureau of the Fiscal Service


Prompt Payment Interest Rate; Contract Disputes Act

AGENCY: Bureau of the Fiscal Service, Treasury.

ACTION: Notice of prompt payment interest rate; Contract Disputes Act.

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SUMMARY: For the period beginning July 1, 2021, and ending on December 
31, 2021, the prompt payment interest rate is 1\1/8\ per centum per 
annum.

DATES: Effective July 1, 2021, to December 31, 2021.

ADDRESSES:  Comments or inquiries may be mailed to: E-Commerce 
Division, Bureau of the Fiscal Service, 401 14th Street SW, Room 306F, 
Washington, DC 20227. Comments or inquiries may also be emailed to 
<a href="/cdn-cgi/l/email-protection#d989abb6b4a9ad89b8a0b4bcb7ad99bfb0aabab8b5f7adabbcb8aaacaba0f7beb6af"><span class="__cf_email__" data-cfemail="267654494b565276475f4b43485266404f5545474a08525443475553545f08414950">[email protected]</span></a>.

FOR FURTHER INFORMATION CONTACT: Thomas M. Burnum, E-Commerce Division, 
(202) 874-6430; or Thomas Kearns, Senior Counsel, Office of the Chief 
Counsel, (202) 874-7036.

SUPPLEMENTARY INFORMATION: An agency that has acquired property or 
service from a business concern and has failed to pay for the complete 
delivery of property or service by the required payment date shall pay 
the business concern an interest penalty. 31 U.S.C. 3902(a). The 
Contract Disputes Act of 1978, Sec. 12, Public Law 95-563, 92 Stat. 
2389, and the Prompt Payment Act, 31 U.S.C. 3902(a), provide for the 
calculation of interest due on claims at the rate established by the 
Secretary of the Treasury.
    The Secretary of the Treasury has the authority to specify the rate 
by which the interest shall be computed for interest payments under 
section 12 of the Contract Disputes Act of 1978 and

[[Page 38814]]

under the Prompt Payment Act. Under the Prompt Payment Act, if an 
interest penalty is owed to a business concern, the penalty shall be 
paid regardless of whether the business concern requested payment of 
such penalty. 31 U.S.C. 3902(c)(1). Agencies must pay the interest 
penalty calculated with the interest rate, which is in effect at the 
time the agency accrues the obligation to pay a late payment interest 
penalty. 31 U.S.C. 3902(a). ``The interest penalty shall be paid for 
the period beginning on the day after the required payment date and 
ending on the date on which payment is made.'' 31 U.S.C. 3902(b).
    Therefore, notice is given that the Secretary of the Treasury has 
determined that the rate of interest applicable for the period 
beginning July 1, 2021, and ending on December 31, 2021, is 1\1/8\ per 
centum per annum.

Matthew J. Miller,
Acting Commissioner, Bureau of the Fiscal Service.
[FR Doc. 2021-15613 Filed 7-21-21; 8:45 am]
BILLING CODE 4810-AS-P


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