(a) General rule.--The city may enter into an agreement with any political subdivision, public agency, public utility or any other person interested and by law authorized to enter into an agreement, or with any or all of them, for the laying out, construction, improvement and maintenance of any bridge and for the payment of any damages caused by the action.
(b) Requirements of agreement.--An agreement authorized under subsection (a) shall provide for the following:
(1) Respective duties, obligations and responsibilities of the parties to the agreement, including construction and maintenance of the bridge.
(2) Payments relating to and damages caused by the construction and maintenance.
(c) Contract.--After an agreement authorized under subsection (a) has been entered into, the city and the other parties to the agreement shall have the authority to do the following:
(1) Prepare plans or specifications of the entire work.
(2) Advertise for bids in the manner required by law.
(3) Award the contract to the lowest responsible bidder.
(d) Liability.--The city shall be liable to the contractor for only the part of the contract price as it has agreed to pay by the agreement under subsection (a), but it shall, in addition, be liable to the contractor for any money actually paid into the city treasury by the other parties pursuant to the terms of the agreement.