§ 3307 — Transfer of property; relationship with the county; certain gifts, loans and guarantees by the county

New York § 3307

• Jurisdiction: New York
• Law PBA: Public Authorities
• Title 1: Westchester County Health Care Corporation
• Art. 10-C: New York Health Care Corporations

Text

§ 3307. Transfer of property; relationship with the county; certain\ngifts, loans and guarantees by the county. 1. (a) The county may give,\ngrant, sell, convey, loan, license the use of, or lease to the\ncorporation any property (except monies appropriated by the county and\npayable to the corporation pursuant to subdivision three and paragraph\n(a) of subdivision four of this section) which are useful in connection\nwith the exercise by the corporation of any of its powers under this\ntitle in order to transfer the facilities and operations of the\nWestchester County Medical Center to the corporation by agreement\nbetween the county and the corporation and any subsequent renewal or\namendment thereof, by local law adopted by a two-thirds majority of the\ncounty board of legislators and after approval by the county board of\nacquisition and contract, notwithstanding any general, special or local\nlaw, ordinance, resolution or charter.\n (b) Any such gift, grant, sale, conveyance, loan, license or lease\nshall be upon such terms and conditions, for such consideration, if any,\nand for such term or terms of years, subject to the rights of the\nholders of any bonds, as the corporation and the county may agree. No\nreal property of the county consisting of any health facility currently\noperated by the Westchester County Medical Center shall be transferred\nto the corporation in fee, except under such restrictions regarding\nrights of first refusal, or other rights, to repurchase the property as\nthe Westchester County Board of Legislators shall approve by act, and\nsubject to a restrictive covenant prohibiting the corporation from\npledging or mortgaging the fee interest in the property. In the event\nthat the county gives, grants, sells, conveys, loans, licenses or leases\nany facilities to the corporation, the county may contract with the\ncorporation to lease, borrow, license, operate, maintain, manage and\nprovide services for such facilities upon such terms and conditions and\nfor such term or terms of years, subject to the rights of holders of\nbonds, as the corporation and the county may agree. The corporation, in\nfurtherance of any purchase, conveyance or lease of any property or\nfacility from the county, may assume the primary responsibility for the\npayment of the principal and interest on any bonds or notes issued by\nthe county for such property or facility.\n 2. The county may acquire by purchase, grant, lease, gift or\ncondemnation pursuant to the eminent domain procedure law, real property\nin the name of the county for any corporate purpose of the corporation.\n 3. In addition to any other powers granted to it by law and consistent\nwith the constitution and other provisions of law, the county may, from\ntime to time, appropriate sums of money to defray project costs or any\nother costs or expenses of the corporation including operating expenses.\n Subject to the rights of bondholders, the county may determine if the\nmonies so appropriated shall be subject to repayment by the corporation\nto the county and, in such event, the manner and time or times for such\nrepayment.\n 4. In addition to the authority granted elsewhere in this title and by\nother applicable laws, the corporation and the county may enter into a\ncontract or contracts from time to time providing for one or more of the\nfollowing:\n (a) the payment of sums appropriated by the county pursuant to\nsubdivision three of this section;\n (b) the payment of sums for health care services provided by the\ncorporation which could otherwise be provided directly by the county,\nincluding services for uncompensated care;\n (c) services to be provided by the county to or on behalf of the\ncorporation;\n (d) the transfer of employees of the county to the corporation as\nprovided in section thirty-three hundred four of this title;\n (e) indemnification by the corporation to the county for claims\nassociated with establishment of and operation of the corporation and\nits health facilities;\n (f) the gift, grant, sale, conveyance, loan, license or lease by the\ncounty to the corporation of any property (except monies appropriated by\nthe county and payable to the corporation pursuant to subdivision three\nand paragraph (a) of this subdivision) or facilities which are useful in\nconnection with the exercise by the corporation of any of its powers\nunder this title not transferred pursuant to the authority granted in\nparagraph (a) of subdivision one of this section, which gift, grant,\nsale, conveyance, loan, license or lease shall nevertheless be subject\nto paragraph (b) of subdivision one of this section; and\n (g) such other matters as may be appropriate to accomplish the\npurposes hereof.\n Any such contract or contracts shall be authorized by the county by\nact adopted by majority vote of the county board of legislators and with\nthe approval of the county board of acquisition and contract. Such\ncontract or contracts shall include such terms and conditions, be for\nsuch consideration, if any, and have such term or terms of years, as the\ncorporation and the county may agree.\n 5. On the effective date of the transfer of the facilities and\noperations of the Westchester County Medical Center pursuant to an\nagreement between the county and the corporation as authorized in this\ntitle, the department shall be abolished. On and after such date, the\ndepartment of health of the county shall be vested with all power and\nauthority of the department not explicitly or implicitly transferred to\nthe corporation pursuant to this title.\n 6. (a) Notwithstanding any general, special or local law or charter\nprovisions to the contrary, the county of Westchester shall have the\npower and is hereby authorized, pursuant to section seven of article\nseventeen of the state constitution, to lend its money or credit to or\nin aid of the corporation or any subsidiary thereof for the purpose of\nproviding health related facilities or hospital facilities for the\nprevention, diagnosis or treatment of human disease, pain, injury,\ndisability, deformity or physical condition, and for facilities\nincidental or appurtenant thereto as may be prescribed by law. The\ncounty is hereby authorized to prescribe such facilities by local law of\nthe county. The corporation or any such subsidiary thereof, as a\ncondition to any such loan of money or credit, shall enter into a\nregulatory agreement with the county as to its charges, profits,\ndividends and disposition of its property of franchises, which agreement\nshall be binding and enforceable by the county insofar as this regulates\nsuch charges, profits, dividends and disposition of property. The county\nmay elect in such regulatory agreement to refrain from exercising all or\nany portion of its authority to so regulate such charges, profits,\ndividends and disposition of property to the extent such charges,\nprofits, dividends and disposition of property are regulated by the\nstate or any agency thereof. The county shall authorize such regulatory\nagreement by local law.\n (b) In pursuance of the authority granted pursuant to this article,\nthe county shall have the power and is hereby authorized from time to\ntime to issue its bonds, notes or other obligations in such principal\namounts as it shall deem necessary, after taking into account other\nmonies which may be available for the purposes set forth in this\nsection. Except as provided for in paragraph (c) of this subdivision,\nsuch bonds, notes or obligations shall be issued for the purpose of\nmaking loans to the corporation or any subsidiary thereof, paying\ninterest on such bonds, notes or other obligations, establishment of\nreserves to secure such notes, bonds, or other obligations, and paying\nall other obligations and expenditures incidental to and necessary or\nconvenient for the making of such loans. Such bonds, notes or\nobligations shall be issued in accordance with the applicable provisions\nof this chapter and the local finance law and applicable local laws. The\ncounty, in its sole discretion, may, in lieu of the corporation,\nundertake to perform or complete the corporation's capital project if\nauthorized to do so in the county's capital budget. The corporation\nshall submit its capital project requests to the county and shall comply\nwith any and all requirements imposed by the county in accordance with\nthe county's capital projects procedures. The corporation shall also\nprovide to the county any and all documentation and information\nrequested by the county with respect to all such capital projects. In\nthe event that the county determines to undertake to perform or complete\nthe corporation's capital project pursuant to this subdivision, such\ncapital project shall be accomplished in such manner as may be\nauthorized by the county. The county may enter into contracts as are\nnecessary to carry out such capital projects on behalf of the\ncorporation, including, but not limited to, contracts for architects,\nengineers, land surveyors and other consultants, contracts for public\nworks and purchase contracts. With respect to such contracts, the\ncounty shall comply with the requirements set forth in article five-A of\nthe general municipal law, provided however the county shall be entitled\nto utilize the provisions set forth in subdivisions nine and ten of\nsection thirty-three hundred three of this article. After the completion\nof the capital project, the corporation shall annually submit to the\nbudget director and the commissioner of finance of the county a written\nreport detailing and certifying the manner by which the corporation is\nutilizing the capital project in a manner consistent with the county's\nissuance of bonds for such project. Such report shall be submitted on or\nbefore the first day of March of each year after the project's\ncompletion.\n (c) The county shall also have the power and is hereby authorized to\nissue its bonds, notes or other obligations to provide full funding\nwithout repayment by the corporation. The county, in its sole\ndiscretion, may, in lieu of the corporation undertake to perform or\ncomplete capital projects of the corporation, if authorized to do so in\nthe county's capital budget. Such bonds, notes or obligations, if\nauthorized by the county, shall be issued in accordance with the\napplicable provisions of this chapter, the local finance law and\napplicable local laws. The corporation shall submit its capital project\nrequests to the county and shall comply with any and all requirements\nimposed by the county in accordance with the county's capital projects\nprocedures. The corporation shall cooperate with the county and provide\nto the county any and all documentation and information requested by the\ncounty with respect to all such capital projects. In the event that the\ncounty determines to undertake to perform or complete the corporation's\ncapital project pursuant to this subdivision, such capital project shall\nbe accomplished in such manner as may be authorized by the county. The\ncounty may enter into contracts as are necessary to carry out such\ncapital projects on behalf of the corporation, including, but not\nlimited to, contracts for architects, engineers, land surveyors and\nother consultants, contracts for public works and purchase contracts.\nWith respect to such contracts, the county shall comply with the\nrequirements set forth in article five-A of the general municipal law,\nprovided however the county shall also be entitled to utilize the\nprovisions set forth in subdivisions nine and ten of section\nthirty-three hundred three of this article. After the completion of the\ncapital project, the corporation shall annually submit to the budget\ndirector and the commissioner of finance of the county a written report\ndetailing and certifying the manner by which the corporation is\nutilizing the capital project in a manner consistent with the county's\nissuance of bonds for such project. Such report shall be submitted on or\nbefore the first day of March of each year after the project's\ncompletion.\n (d) Any guarantee by the county made pursuant to the authority granted\nin this section shall be authorized by act or acts of the county in the\nsame manner as such act or acts authorizing the issuance of bonds of the\ncounty for the purposes for which such guarantee is undertaken.\n (e) The county shall also be authorized to enact laws governing the\nconditions under which such loans, commitments and guarantees shall be\nmade.\n 7. For purposes of subdivision four of paragraph a of section 25.00 of\nthe local finance law, amounts to be derived by the county of\nWestchester from the corporation, or any subsidiary thereof, shall be\nincluded in the term "other income".\n 8. (a) Notwithstanding the provisions of any other state or local law\nto the contrary, including, but not limited to, sections six-n and six-j\nof the general municipal law, with the approval of the county board of\nlegislators, amounts deposited for or on behalf of the Westchester\nCounty Medical Center in the liability and casualty and workers'\ncompensation reserve funds established by the county pursuant to said\nsections of the general municipal law, and investment earnings thereon,\nmay be withdrawn by the county from such funds and transferred to the\ncorporation and shall be used by the corporation for the purposes for\nwhich such funds were established.\n (b) No amounts shall be withdrawn and transferred to the corporation\npursuant to this subdivision unless prior thereto the corporation has\nagreed in writing to indemnify and hold harmless the county, and provide\ndefense, for all claims, cases, proceedings, actions or other matters\nagainst the county arising out of the properties, facilities, operations\nor employees of the corporation of the Westchester County Medical\nCenter, whether commenced before or after the date of transfer of said\namounts, and to provide such other security for this obligation as the\ncounty may reasonably require.\n