[§356D-16]  Contracts with the federal
government.  (a)  The authority may:



(1)  Borrow money or accept grants from the federal
government for or in aid of any public housing project that the authority is
authorized to undertake;



(2)  Take over any land acquired by the federal
government for the construction or operation of a public housing project;



(3)  Take over, lease, or manage any public housing
project constructed or owned by the federal government, and to these ends,
enter into contracts, mortgages, leases, or other agreements as the federal
government may require, including agreements that the federal government shall
have the right to supervise and approve the construction, maintenance, and
operation of the public housing project;



(4)  Procure insurance or guarantees from the federal
government for the payment of any debts or parts thereof secured by mortgages
made or held by the authority on any property included in any public housing
project;



(5)  Agree to any conditions attached to federal
financial assistance relating to the determination of prevailing salaries or
wages, payment of not less than prevailing salaries or wages, or compliance
with labor standards, in the development or administration of public housing
projects, and include in any construction contract let in connection with a
project stipulations requiring that the contractor and any subcontractors
comply with requirements as to minimum salaries or wages and maximum hours of
labor;



(6)  Comply with any conditions required by the federal
government in any contract for financial assistance; and



(7)  Execute contracts with the federal government.



(b)  In any contract for annual contributions
with the federal government, the authority may obligate itself to convey to the
federal government possession of or title to the public housing project to
which the contract relates, if a substantial default, as defined by contract,
occurs.  Notwithstanding any other law to the contrary, this obligation shall
be specifically enforceable and shall not constitute a mortgage.



The contract may provide further that if a
conveyance occurs, the federal government may complete, operate, manage, lease,
convey, or otherwise deal with the project in accordance with the terms of the
contract; provided that the contract shall require that as soon as practicable
after the federal government is satisfied that all defaults with respect to the
project have been cured and that the project will thereafter be operated in
accordance with the terms of the contract, the federal government shall
reconvey to the authority the project as then constituted.



(c)  It is the purpose and intent of this
section to authorize the authority to do any and all things necessary to secure
the financial aid and the cooperation of the federal government in the
undertaking, construction, maintenance, and operation of any public housing
project that the authority is empowered to undertake. [L 2006, c 180, pt of §2]