Section 8 - Provisions relating to health facilities improvement program1.Municipal health facilities agency. The mayor or other chief executive of a municipality shall designate a department, board, commission, bureau, division or other agency or official to act on behalf of the municipality as a municipal health facilities agency in order to accomplish the purposes of this section and section forty-seven-d of the private housing finance law.2.Construction. a.The corporation shall, as agent of the state housing finance agency, construct a health facility or health facilities or cause such facility or facilities to be constructed, provided that: (i) The state housing finance agency or the state medical care facilities finance agency, as the case may be, and the municipality, with the approval of the governing body, have entered into an agreement which shall set forth the health facility or health facilities to be constructed, the total estimated cost of each such facility, the estimated date of completion thereof and the estimated annual rentals to be paid by the municipality therefor. The agreement shall contain such other terms and conditions as may be agreed upon and shall be subject to the approval of the commissioner of health. Nothing herein contained shall preclude the corporation from being a party to any such agreement.(ii) The commissioner of health shall have certified that there has been compliance with all requirements of article twenty-eight of the public health law.b.When two or more municipalities act jointly to provide a health facility, the agreement referred to in subparagraph (i) of paragraph a of this subdivision shall require the approval of the governing body of each municipality and shall specify the rights, duties and obligations of each municipality. c.The corporation shall prepare separate specifications for and solicit separate and independent bids on and award separate contracts on the subdivisions of work to be performed specified in section one hundred thirty-five of the state finance law, but the corporation in its discretion may assign such contracts for supervision to the successful bidder for the remaining work to be performed at the time the contracts for the particular health facility are awarded. Each contract for the construction of a health facility may include a provision that the architect who designed the facility, or an 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. d.All contracts which are to be awarded pursuant to this subdivision shall be awarded by public letting in accordance with the following provisions, notwithstanding the provisions of section one hundred thirty-six, one hundred thirty-nine or one hundred forty of the state finance law, except that the corporation in its discretion may enter into a contract for such purposes without public letting where the estimated expense thereof is less than ten thousand dollars.(i) If the contracts are to be publicly let, the corporation shall advertise the invitation to bid in a newspaper published in the municipality in which the health facility project is situated and in such other newspapers as will be most likely in its opinion to give adequate notice to contractors of the work required and of the invitation to bid. The invitation to bid shall contain such information as the corporation shall deem appropriate and a statement of the time and place where all bids received pursuant to such notice will be publicly opened and read.(ii) The corporation shall not award any contract after public bidding except to the lowest bidder who in its opinion is qualified to perform the work required and is responsible and reliable. The corporation may, however, reject any or all bids, again advertise for bids, or waive any informality in a bid if it believes that the public interest will be promoted thereby. The corporation may reject any bid if in its judgment the business and technical organization, plant, resources, financial standing or business experience of the bidder, compared with the work to be performed, justify such rejection.(iii) The invitation to bid and the contract awarded shall contain such other terms and conditions and such provisions for penalties as the corporation may deem desirable.(iv) The corporation shall require such deposits, bonds and security in connection with the submission of bids, the award of contracts and the performance of work as it shall determine to be in the public interest and for the protection of the state housing finance agency or the state medical care facilities finance agency, as the case may be, and the municipality.(v) The directors of the corporation shall determine when minor work of construction, reconstruction, alteration or repair of any health facility may be done by special order. Special orders for such work shall be short-form contracts. No work shall be done by special order in an amount in excess of twenty thousand dollars and a bond shall not be required for special orders. No work shall be done by special order unless a diligent effort has been made to obtain competition sufficient to protect the public interest prior to selecting the contractor to perform the work. Notwithstanding any other provision of this paragraph work done by special order under this subparagraph may be advertised through the regular public notification service of the office of general services or the state register. At least five days shall elapse between the first publication of such public notice and the date so specified for the public opening of bids. All payments on special orders shall be made on the certificate of the directors of the corporation. All special orders shall contain a clause that the special order shall only be deemed executory to the extent of the moneys available and no liability shall be incurred by the corporation or the state beyond the moneys available for the purpose.N.Y. Facilities Development Corporation Act Law § 8