NY Educ L § 458 (2021)
2021 New York Laws EDN - Education Title 1 - General Provisions Article 10 - New York City Educational Construction Fund 458 - Letting of Construction Contracts.

§ 458. Letting  of  construction contracts. 1. Any contract let by the   fund  or  by  any  letting  agency  on  behalf  of  the  fund  for   the   construction,   reconstruction,   rehabilitation  or  improvement  of  a   combined occupancy structure or of the school portion thereof, shall  be   in  conformity  with  the  provisions  of section one hundred one of the   general municipal law.2. Except as otherwise provided in section two hundred  twenty-two  of   the  labor law, every contract, lease or other agreement entered into by   or on behalf of the  fund  for  the  acquisition,  lease,  construction,   reconstruction,  rehabilitation  or improvement of the school portion of   the work in any combined occupancy structure shall contain  a  provision   that,  when  the  entire  cost  of  any  such contemplated construction,   reconstruction, rehabilitation or improvement for the school portion  of   the  work  shall  exceed  three  million  dollars in the counties of the   Bronx, Kings, New York, Queens, and Richmond; one million  five  hundred   thousand dollars in the counties of Nassau, Suffolk and Westchester; and   five  hundred  thousand  dollars in all other counties within the state,   separate specifications  shall  be  prepared  for  the  following  three   subdivisions of the work on the school portion to be performed:a. Plumbing and gas fitting;b.  Steam heating, hot water heating, ventilating and air conditioning   apparatus; andc. Electric wiring and standard illuminating fixtures.Such specifications shall be drawn so as  to  permit  the  letting  of   separate   and  independent  contracts  for  each  of  the  above  three   subdivisions of work. Within the above three subdivisions of  work,  any   equipment,  apparatus  and/or  installations  which shall be designed to   service the entire combined occupancy structure shall be included within   the school portion of the  work  or  let  as  separate  and  independent   contracts  even  if  physically located within the non-school portion of   the work. Except as otherwise provided by the public  housing  law,  the   provisions  of which shall apply when the developer is the New York city   housing authority, every developer or general contractor undertaking the   construction, reconstruction, rehabilitation or improvement of any  such   combined  occupancy  structure  pursuant  to  or  in  furtherance of the   provisions of this article shall let separate contracts  to  the  lowest   responsible  bidder  for  the  three subdivisions of the above specified   work to persons, firms or corporations approved by the chairman  of  the   fund  as  being  qualified,  responsible and reliable bidders engaged in   these classes of work. All such qualified bidders engaged in  the  above   specified  work shall be entitled to bid and to receive, upon request, a   copy of the plans and specifications. All such bids shall  be  submitted   to the fund and shall be opened publicly at a stated time and place.2-a.  Each  bidder on a public work contract, where the preparation of   separate specifications is not required, shall submit  with  its  bid  a   separate  sealed list that names each subcontractor that the bidder will   use to perform work on the contract, and the agreed-upon  amount  to  be   paid  to  each,  for: a. plumbing and gas fitting, b. steam heating, hot   water  heating,  ventilating  and  air  conditioning  apparatus  and  c.   electric wiring and standard illuminating fixtures. After the low bid is   announced, the sealed list of subcontractors submitted with such low bid   shall be opened and the names of such subcontractors shall be announced,   and  thereafter  any change of subcontractor or agreed-upon amount to be   paid to each shall require the approval of  the  public  owner,  upon  a   showing  presented  to  the public owner of legitimate construction need   for such change, which shall be open to  public  inspection.  Legitimate   construction  need  shall  include,  but  not be limited to, a change in   project specifications, a  change  in  construction  material  costs,  a    change  to  subcontractor status as determined pursuant to paragraph (e)   of subdivision two of section two hundred twenty-two of the  labor  law,   or   the   subcontractor  has  become  otherwise  unwilling,  unable  or   unavailable   to   perform   the   subcontract.   The  sealed  lists  of   subcontractors submitted by all other bidders shall be returned to  them   unopened after the contract award.3.  a. In addition to other bond or bonds, if any, required by law for   the completion of the school portion of a combined occupancy  structure,   or  in  the absence of any such requirement, the fund shall nevertheless   require, prior to the approval of any lease or other agreement providing   for the construction, reconstruction, rehabilitation or  improvement  of   any  combined occupancy structure, that the developer, if other than the   New York city housing authority, or general contractor, furnish  a  bond   guaranteeing  prompt  payment  of  moneys  due to all persons furnishing   labor or materials to or for the person furnishing said bond or  to  his   subcontractors  in  the  prosecution  of the entire work provided for in   such lease or other agreement. Whenever the developer is  the  New  York   city  housing  authority,  it  shall  require each of its contractors to   furnish such bonds to said authority and fund with respect to  the  work   to  be  performed  and  materials  supplied  by  such contractor, and no   separate or other payment bond shall be required to be furnished to  the   fund. In those instances where the developer or general contractor is an   agency of the state or a public-benefit corporation created by an act of   the  state  legislature and in instances where said developer or general   contractor or the guarantor of payment of the construction costs of  the   non-school  portion  of  the  combined "occupancy structure" is a public   utility corporation or a bank, trust company or savings bank as  defined   in  section two of the banking law, or a national bank having its office   and principal place of business in this state, or a subsidiary of such a   bank or trust company of which at least eighty (80%)  percent  of  whose   stock  is  owned  by  it, the said developer or general contractor shall   only be required to furnish said payment bond with respect to the school   portion of the combined occupancy structure. In such instances, the said   payment bond shall not be required by  the  fund  with  respect  to  the   non-school  portion  of  the  combined occupancy structure, but, in lieu   thereof,  such  fund  shall  require   said   agency,   public   benefit   corporation,  public  utility corporation or banking institution, as the   case may be to guarantee payment of all construction costs with  respect   to the non-school portion of the combined occupancy structure.b.  A  copy  of  such  payment bond shall be kept in the office of the   chairman of the fund and a copy shall also be kept in the office of  the   board of education; such copies shall be open to public inspection.c.  Every  person  who  has furnished labor or material, to or for the   developer or contractor furnishing such payment bond or to  his  or  her   subcontractors  in the prosecution of the work provided for in the lease   or other agreement for which said bond is furnished 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 or her for which the claim is made, shall have  the   right to sue on such payment bond in his or her 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  subcontractor  of  the  developer  or  contractor   furnishing the payment bond but no contractual relationship  express  or   implied  with  such  developer  or  contractor shall not have a right of   action upon the bond unless he or she shall have given written notice to   such developer or contractor furnishing the bond 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 or her 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   developer or contractor furnishing said bond or by mailing the  same  by   registered  mail,  postage  prepaid,  in  an  envelope addressed to such   developer or contractor at any place where he  maintains  an  office  or   conducts his or her business or at his or her residence.