1.1.................... moves to amend H.F. No. 1056 as follows:
1.2Page 1, after line 21, insert:

1.3    "Sec. 2. Minnesota Statutes 2008, section 337.10, subdivision 4, is amended to read:
1.4    Subd. 4. Progress payments and retainages. (a) Unless the building and
1.5construction contract provides otherwise, the owner or other persons making payments
1.6under the contract must make progress payments monthly as the work progresses.
1.7Payments shall be based upon estimates of work completed as approved by the owner or
1.8the owner's agent. A progress payment shall not be considered acceptance or approval of
1.9any work or waiver of any defects therein.
1.10(b) Unless the building and construction contract provides otherwise, an owner or
1.11owner's agent may reserve as retainage from any progress payment on a building and
1.12construction contract an amount not to exceed five percent of the payment. An owner or
1.13owner's agent may reduce the amount of retainage and may eliminate retainage on any
1.14monthly contract payment if, in the owner's opinion, the work is progressing satisfactorily.
1.15(c) This subdivision does not apply to contracts for professional services as defined
1.16in sections 326.02 to 326.15.
1.17(d) This subdivision does not apply to construction of or improvements to residential
1.18real estate, as defined in section 326B.802, subdivision 13, or to construction of or
1.19improvements to attached single-family dwellings, if those dwellings are used for
1.20residential purposes and have fewer than 13 units per structure."
1.21Amend the title as follows:
1.22Page 1, line 2, after the second semicolon, insert "regulating progress payments
1.23and retainages;"
1.24Correct the title numbers accordingly