Award of contracts

1. A bid may be rejected by the department on the basis of technical inadequacy or other failure to comply with the specifications included in the request for bids. 2. Before the department awards any contract, it shall require the contractor to furnish a surety bond for the faithful performance of the contract in an amount up to twenty-five percent of the contract price, conditioned that the contractor and the contractor's agents shall in all respects faithfully perform all weather modification contracts undertaken with the department and shall comply with North Dakota Century Code chapter 61-04.1, this chapter, and the contract between the department and the contractor. If the contract involves the erection, repair, or alteration of any public improvement, the surety bond must be in the full amount of the contract price.