§ 32-11-616 — Construction contracts

(1) No contract for doing construction
work for acquiring or improving the project contemplated shall be made or awarded
nor shall the board incur any expense or any liability in relation thereto, except for
maps, plats, diagrams, estimates, plans, specifications, and notices until after the
provisional order hearing and notice thereof provided for in this article have been
had and given.

(2) The board may advertise by publication for proposals for doing the work
whenever the board desires, but the contract shall not be made or awarded before
the time stated in subsection (1) of this section.

(3) In the case of construction work done by independent contract for any
project or portion thereof in any improvement district, the engineer or any
purchasing officer of the urban district, as provided by the board, shall request
competitive bids and publish notice stating that bids will be received at a time and
at a place designated therein.

(4) The urban district may contract only with the responsible bidder
submitting the lowest and best bid upon proper terms.

(5) The district has the right to reject any and all bids and to waive any
irregularity in any bid.

(6) Any contract may be let on a lump-sum or on a unit basis.

(7) No contract shall be entered into for such work unless the contractor
gives an undertaking with a sufficient surety approved by the board and in an
amount fixed by it for the faithful performance of the contract, substantially as
required of a school board and a school district by sections 38-26-101 and 38-26-105 to 38-26-107, C.R.S., as from time to time amended, except as expressly
otherwise provided in this article.

(8) Upon default in the performance of any contract, the engineer, or any
purchasing officer, as directed by motion of the board, may advertise and may relet
the remainder of the work without further resolution and may deduct the cost from
the original contract price and may recover any excess cost by suit on the original
bond, or otherwise.

(9) All contracts shall provide, among other things, that the person entering
into the contract with the urban district will pay for all materials furnished and for
services rendered for the performance of the contract and that any person
furnishing the materials or rendering the services may maintain an action to recover
for the same against the obligor in the undertaking as though the person was
named therein. Final settlement shall be effected substantially as required by
section 38-26-107, C.R.S., as from time to time amended, and all laws thereunto
enabling.

(10) If any contract or any agreement is made in violation of the provisions of
this section, it shall be voidable, and no action shall be maintained thereon by any
party thereto against the urban district.

(11) To the extent the urban district makes any payment thereunder, such
contract or agreement shall be valid, and any such payment may be included in any
cost defrayed by the levy of assessments unless theretofore the urban district
elects to void the contract or the agreement in its entirety and to recover any such
payment from the party to whom made.

(12) The board, except as expressly limited in this article, may in the letting
of contracts impose such conditions upon bidders with regard to bonds and to
securities, and such guaranties of good and faithful performance, completion of any
work, and the keeping of the same in repair, and may provide for any further matter
or thing in connection therewith as may be considered by the board to be
advantageous to the urban district and to all interested persons.

Legislative History

Source: L. 69: p. 791, � 129. C.R.S. 1963: � 89-21-129. L. 77: (7) and (9) amended, p. 288, � 65, effective June 29.