Section 1120-P. Contracts

1. All contracts or orders for work, material or
  supplies performed or furnished in connection with construction shall be
  awarded by the authority pursuant to resolution of  the  governing  body
  except  as  hereinafter provided. Such awards, when applicable, shall be
  made  in  compliance  with  paragraph  (e)  of  subdivision   four   and
  subdivision  seven  of  section  one  hundred  twenty-w  of  the general
  municipal law. In any construction contract, the authority may provide a
  program for the payment of damages for delays and  incentive  awards  in
  order  to  encourage  timely  project  completion.  An  action,  suit or
  proceeding contesting the validity of a  contract  awarded  pursuant  to
  this  section, or the validity of the procedures relating to such award,
  shall be governed by the provisions of subdivision six  of  section  one
  hundred   twenty-w   of   the   general   municipal  law  and  the  term
  "municipality" as used in such subdivision six shall mean the authority.
    2. The bidder whose bid  is  accepted  shall  give  security  for  the
  faithful  performance  of  the  contract, and such other security as the
  authority may require, and may be required to maintain any  construction
  done  under  the contract for such period as shall be stipulated, all in
  the manner prescribed and required by the authority, and the sufficiency
  of  such  security  shall,  in  addition  to   the   justification   and
  acknowledgment,  be  approved  by  the  authority. All bids or proposals
  shall be publicly opened by the governing body or  its  duly  authorized
  agent.  If  the  bidder  whose  bid  or proposal has been accepted after
  advertising shall neglect or refuse to accept the contract  within  five
  days  after  written notice that the contract has been awarded to him on
  his bid or proposal, or if he accepts but does not execute the  contract
  and  give proper security, the authority shall have the right to declare
  his deposit forfeited. In case  any  work  shall  be  abandoned  by  any
  contractor, the authority may, if it determines that the public interest
  is  thereby  served,  adopt  on  behalf  of  the  authority  any  or all
  subcontracts made  by  such  contractor  for  such  work  and  all  such
  subcontractors  shall be bound by such adoption, if made. Every contract
  involving an expenditure of more than five thousand  dollars  when  made
  and  entered into as herein provided for shall be executed in duplicate,
  one copy of which shall be held by the authority and one copy  of  which
  shall  be delivered to the contractor. The authority may adopt, utilize,
  ratify and confirm any request  for  proposals,  invitation  for  sealed
  bids,   plans,   specifications  and  notices  heretofore  or  hereafter
  published by the town with respect to  any  proposed  project,  and  the
  authority  may  adopt,  utilize,  ratify, accept and confirm any bids or
  proposals submitted to the town and heretofore or hereafter received and
  publicly opened by the  town.  The  provisions  of  this  section  shall
  supersede  any inconsistent provisions of the general municipal law, and
  other general, special or  local  law,  or  the  charter  of  the  town;
  provided,  however,  the  provisions of the ethics law of the town shall
  apply to the authority and its members. The authority shall be deemed to
  be  an  authority  for  purposes   of   section   twenty-eight   hundred
  seventy-eight of this chapter.