§ 1181. Construction contracts. If the project, or any portion
thereof, or any addition, betterment or extension to the facilities,
shall be constructed pursuant to a contract for which the estimated cost
exceeds seven thousand dollars, such contract shall be awarded to the
lowest responsible bidder after advertisement for bids. The board may
make rules and regulations for the submission of bids and the
construction of the project or such portion thereof or such addition,
betterment, or extension. No contract shall be entered into for
construction of the project or any portion thereof or any addition,
betterment or extension to the facilities, or for the purchase of
materials, unless the contractor shall give an undertaking with a
sufficient surety or sureties approved by the authority and in an amount
fixed by the authority, for the faithful performance of the contract. As
to contracts entered into for construction, such undertaking shall
provide, among other things, that the person or corporation entering
into such contract with the authority, will pay for all materials
furnished and services rendered for the performance of the contract and
that any person or corporation furnishing such materials or rendering
such services may maintain an action to recover for the same against the
obligor in the undertaking as though such person or corporation was
named therein, provided the action is brought within one year after the
time the cause of action accrued. Nothing in this section shall be
construed to limit the power of the authority to construct the project
or any portion thereof or any addition, betterment or extension to the
facilities directly by the officers, agents, and employees of the
authority or otherwise than by contract. The authority may proceed
jointly with the state of New York in the construction of any highway
which also includes sewage and storm water facilities and by agreement
with the state of New York fix and determine the amount which shall
constitute the contribution by the authority toward the cost of the
construction by the state of New York of such facilities in connection
with the construction or improvement of any highway. The portion of the
cost to be paid by the authority shall be deposited with the state
comptroller, who is authorized to receive and accept the same. Upon
completion of any project authorized by this section the commissioner of
transportation shall render to the authority an itemized statement
showing in full (a) the amount of money deposited as hereinbefore
provided, and (b) all disbursements made pursuant to this section. Any
surplus money shall be paid to such authority on the warrant of the
comptroller on vouchers therefore approved by the commissioner of
transportation.