DEFINITION OF TERMS - 8474.01

(New: 02/2024)

(Renumbered from 8474.4)

 

Agency/Department: Refers to all agencies/departments, offices, boards, commissions, institutions, colleges, and special organizational entities within state government.

Claim: A bill, invoice, or written request for payment provided by the claimant. Written requests include contracts as cited in the grant definition below.

Contract: Any enforceable agreement, including purchase orders, sub-purchase orders, delegated purchase orders, service agreements, or rental and lease agreements of real and personal property.

Disputed Invoice: An improperly executed invoice or an invoice that requires additional evidence of its validity. Agencies/Departments must notify the claimant in writing of a disputed invoice within 15 working days of receipt of the invoice using Invoice Dispute Notification, STD 209.

Grant: A signed final agreement between any agency/department and a local government agency or organization authorized to accept grant funding for victim services or prevention programs administered by any agency/department, or restoration activities performed by a resource conservation district.

Invoice: A bill or claim that requests payment on a contract under which an agency/department acquires property or services, or a claim pursuant to a grant for victim services and prevention programs.

Medi-Cal Program: The program established pursuant to Welfare and Institutions Code section 14000.

Nonprofit Public Benefit Corporation: A corporation, as defined in Corporations Code section 5046, that has registered with the Department of General Services as a small business.

Payment: The issuance of a warrant or a registered warrant by the Controller, or the issuance of a revolving fund check by an agency/department, to a claimant in the amount of an undisputed invoice.

Reasonable Cause: A determination by an agency/department that any of the following conditions are present:

• A discrepancy exists between the invoice or claimed amount and the provisions of the contract.
• A discrepancy exists between the invoice or claimed amount and either the claimant’s actual delivery of property or services to the state or the state's acceptance of those deliveries.
• Additional evidence supporting the validity of the invoice or claimed amount is required to be provided to the agency/department by the claimant.
• The invoice has been improperly executed or needs to be corrected by the claimant.
• A discrepancy exists between the refund or other payment due as calculated by the person to whom the money is owed and by the agency/department.

Received by an Agency/Department: The date an invoice is delivered to the agency/department location or party specified in the contract or, if an agency/department location or party is not specified in the contract, wherever otherwise specified by the agency/department.

Resource Conservation District: A resource conservation district established pursuant to the Public Resources Code, Division 9; commencing with section 9001.

Revolving Fund: A fund established pursuant to Government Code (GC) section 16400.

Small Business: A business certified in accordance with requirements of GC section 14837.

Small Business and Nonprofit Organization Medi-Cal Providers: In reference to providers under the Medi-Cal program, a business or organization that meets all of the following criteria:

• Principal office is located in California.
• Officers, if any, are domiciled in California.
• If a small business, it is independently owned and operated.
• Business or organization is not dominant in its field of operation.
• Together with any affiliates, the business or organization has gross receipts from business operations that do not exceed $3,000,000 per year, except that the Director of the Department of Health Care Services may increase this amount if the Director deems that this action would be in furtherance of the intent of the Act.

Undisputed Invoice: An invoice executed by the claimant and for which additional evidence is not required to determine its validity. Undisputed invoices include:

• A once disputed invoice which has been corrected or for which additional evidence of its validity has been provided and received by the agency/department.
• An improper invoice where goods and services have been received by the contracting agency/department, but the agency/department fails to notify the claimant that the invoice is improper within 15 working days of receipt of the invoice.