Section 2040-S. Contracts

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,  except  as
  hereinafter provided. Such contracts or orders, for work,  materials  or
  supplies  needed  for any particular purpose involving an expenditure of
  more than three thousand five hundred  dollars  shall  be  awarded  only
  after  invitation  of  sealed  bids  or  proposals  therefor;  unless by
  resolution of the governing body, adopted by a vote  of  not  less  than
  four-fifths  of  all  the  members  thereof,  it  is  determined  to  be
  impracticable and not in the best interest of the authority  to  procure
  any  such  work,  material  or  supplies  on the basis of sealed bids or
  proposals, in which case said resolution shall designate an  officer  of
  the  authority  to  negotiate  the procurement of such work, material or
  supplies. Any notice inviting sealed bids shall be  published  at  least
  once  in  a  newspaper or trade paper selected by the authority for such
  purpose, such publication to be at least ten days before  the  date  for
  the receipt of bids. If the authority shall not deem it for the interest
  of  the authority to reject all bids, it shall award the contract to the
  lowest bidder, unless the authority shall determine that it is  for  the
  public interest that a bid other than the lowest bid should be accepted.
  If  the  bidder is qualified for this award on the basis of his licensor
  then he must provide evidence of  the  commitment  of  his  licensor  to
  participate  in the project. In the construction contract, the authority
  is directed to provide a program for penalty  payments  for  delays  and
  incentive awards in order to encourage timely project completion.
    In  any  contract  for  work,  material,  or  supplies, there shall be
  inserted,  in  the  discretion  of  the  authority,  a  provision   that
  additional  work  may be done or material or supplies furnished, for the
  purpose of completing such contract, at an expense not exceeding fifteen
  percentum of the amount  of  such  contract  if  such  additional  work,
  materials  or  supplies  shall  be  ordered by the authority. 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 for such period as shall  be  stipulated
  any  construction  done under the contract, all in the manner prescribed
  and required by the authority; and  the  sufficiency  of  such  security
  shall, in addition, to the justification and acknowledgement be approved
  by the authority. All bids, or proposals shall be publicly opened by the
  authority or its duly authorized agent. If the bidder whose bid has been
  accepted  after  advertising  shall  neglect  or  refuse  to  accept the
  contract within five days after written notice that the  same  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, and thereupon it shall be
  readvertised and rebid as above provided. In case  any  work,  shall  be
  abandoned  by any contractor, the authority may, if the best interest of
  the authority be 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;  and the
  authority shall in the manner provided herein readvertise and relet  the
  work  specified in the original contract exclusive of so much thereof as
  shall be provided for in the subcontract or subcontract so  adopted.  No
  bid  shall  be  accepted  from or any contract awarded to, any person or
  corporation who is in arrears to the authority, or the  towns  upon  any
  obligation  of  the authority, or of the towns. Every contract involving
  an expenditure of more than three thousand  five  hundred  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.