1. The Laws of New York
  2. Unconsolidated Laws
  3. New York City health and hospitals corporation act 1016/69


Section 8 Contracts

New York City health and hospitals corporation act 1016/69 (HHC)

1. Any contract let by the corporation for the construction of a health facility shall be publicly let to the lowest responsible bidder in the manner provided by, and in conformity with, the provisions of article five-a of the general municipal law, except that where the cost of such a contract does not exceed ten thousand dollars such contract may be entered into without public letting; provided, however, that if the corporation determines that in a special case or cases it would not be in the public interest to comply with the terms of this section and the board of estimate of the city, by resolution, rule or regulation adopted by the vote of two-thirds of the whole number of votes authorized to be cast by all of the members of the board of estimate, concurs in such determination, then such a contract may be entered into by the corporation without public letting as authorized by the said resolution, rules or regulations. Notwithstanding the provisions of this subdivision one, if the corporation determines that circumstances exist whereby it would be detrimental to or impracticable for the corporation to comply with the public letting requirements of this section concerning a change order then such a change order may be let by the corporation without public letting. For the purposes of article five-a of the general municipal law, the corporation shall be deemed to be a "political subdivision".

  2. The corporation may make rules and regulations governing the qualifications of bidders entering into such a contract where the cost of such a contract exceeds twenty-five thousand dollars. The bidding may be restricted to those who shall have qualified prior to the receipt of bids according to standards fixed by the corporation; provided, however, that notice or notices for the submission of qualifications shall be published in the official publication of the city and in an appropriate trade journal published in the city, or if no such trade journal exists, in a newspaper with a general circulation in the city, at least once, not less than ten days prior to the date fixed for the filing of qualifications.

  3. The corporation, in its discretion, may assign the separate contracts awarded pursuant to section one hundred one of the general municipal law to the general contractor for supervision. Each contract for the construction of a health facility may include a provision that the architect who designed the facility, or the architect or engineer retained or employed specifically for the purpose of supervision, shall supervise the work to be performed through to completion and shall see to it that the materials furnished and the work performed are in accordance with the drawings, plans, specifications and contracts therefor.

  4. All bids received for the letting of any contract pursuant to this section shall be submitted to the corporation and shall be publicly opened and read by the corporation. Nothing in this section shall be construed to limit the power of the corporation to do any construction by or through its own officers, agents or employees.

  5. (a) In addition to any other bond or bonds that may be required by law for the completion of a health facility, or in the absence of any such requirement, the corporation shall require, prior to the approval of any contract or agreement providing for the construction of a health facility, that the general contractor furnish a bond guaranteeing prompt payment of moneys due to all persons furnishing labor or materials to or for the general contractor or to his subcontractors in the prosecution of the entire work provided for in such agreement. A copy of such payment bond shall be filed in the offices of the corporation and shall be open to public inspection.

  (b) Every person who has furnished labor or material, to or for the general contractor or to a sub-contractor in the prosecution of the work provided for in the contract or other agreement of the corporation with the general contractor and who has not been paid in full therefor before the expiration of a period of ninety days after the day on which the last of the labor was performed or material was furnished by him for which the claim is made, shall have the right to sue on such payment bond in his own name for the amount, or the balance thereof, unpaid at the time of commencement of the action; provided, however, that a person having a direct contractual relationship with a sub-contractor of the general contractor furnishing the payment bond but no contractual relationship express or implied with such general contractor shall not have a right of action upon the bond unless he shall have given written notice to such general contractor within ninety days from the date on which the last of the labor was performed or the last of the material was furnished, for which his claim is made, stating with substantial accuracy the amount claimed and the name of the party to whom the material was furnished or for whom the labor was performed. The notice shall be served by delivering the same personally to the general contractor or by mailing the same by registered mail, postage pre-paid, in an envelope addressed to the general contractor at any place where he maintains an office or conducts his business or at his residence.

  6. Any contracts for design, construction, services and materials entered into by the corporation pursuant to this act shall be deemed state contracts within the meaning of that term as set forth in article fifteen-A of the executive law, and the corporation shall be deemed, for the purposes of this act, a contracting agency as that term is used in article fifteen-A of the executive law.