§ 357. Federal aid for public airports. No county, town, city, village
or authority in this state whether acting alone or jointly with another
county, town, city, village or authority or with the state, shall submit
to the administrator of civil aeronautics of the United States any
project application, under the provisions of section nine (a) of the Act
of Congress, approved May thirteenth, nineteen hundred forty-six, being
a public law three hundred seventy-seven, seventy-ninth Congress, known
and hereinafter designated as the "Federal Airport Act", or any
amendment thereto, unless the project and the project application shall
have been first approved by the state commissioner of transportation. No
such county, town, city, village or authority shall directly accept,
receive, receipt for, or disburse any funds granted by the United States
under the Federal Airport Act but it must designate such commissioner as
its agent, who, on its behalf, shall accept, receive, receipt for and
disburse such funds. Every such county, town, city, village or authority
shall enter into an agreement with such commissioner prescribing the
terms and conditions of such agency in accordance with the federal laws,
rules and regulations and applicable laws of this state. Such moneys as
are paid over by the United States government shall be retained by the
state or paid over to such county, town, city, village or authority upon
such terms and conditions as may be imposed by the United States in
making such grant.