Billing Code 4810-AS-P
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.
SUMMARY: For the period beginning July 1, 2024, and ending on December 31, 2024,
the prompt payment interest rate is 4-7/8 per centum per annum.
DATES: Applicable July 1, 2024, to December 31, 2024.
ADDRESSES: Comments or inquiries may be mailed to: E-Commerce Division, Bureau
of the Fiscal Service, 401 14th Street, S.W., Room 306F, Washington, D.C. 20227.
Comments or inquiries may also be emailed to PromptPayment@fiscal.treasury.gov.
FOR FURTHER INFORMATION CONTACT: Thomas M. Burnum, E-Commerce
Division, (202) 874-6430; or Ashlee Adams, Senior Counsel, Office of the Chief
Counsel, (304) 480-8692.
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, Pub. L.
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 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, 2024, and ending on
December 31, 2024, is 4-7/8 per centum per annum.
Timothy E. Gribben,
Commissioner,
Bureau of the Fiscal Service.
[FR Doc. 2024-15721 Filed: 7/17/2024 8:45 am; Publication Date: 7/18/2024]