Granite City Electric Supply Co., an electrical and lighting product supplier based in Quincy, will pay more than $2.3 million to settle allegations of overbilling on a statewide five-year contract with the Executive Office for Administration and Finance’s Operational Services Division (OSD).

The electrical supply company settled with an assurance of discontinuance, resolving allegations that they violated the Massachusetts False Claims Act and Consumer Protection Act by failing to implement controls, policies and procedures to ensure it was pricing goods in accordance with its contractual obligations.

Some 285 public entities, including public school districts, towns and state agencies, were overbilled and will be refunded more than $1.18 million within 30 days. An additional $1.18 million will be paid to the Attorney General’s office which will be directed to the state’s general fund.

Granite City Electric Supply will not participate in public contracts for a year under the terms of the assurance of discontinuance, and will add trainings and compliance reviews to their business practice.