§ 2817 — Community health centers capital program

§ 2817. Community health centers capital program. 1. Definitions. As\nused in this section, unless the context clearly requires otherwise, the\nfollowing terms shall have the following meanings:\n (a) "Community health center" means a not-for-profit corporation that\nis licensed under this article as a diagnostic and treatment center,\nwhich license is valid and in full force and effect, and that provides a\ncomprehensive range of primary health care services in one or more\nfreestanding sites, or a not-for-profit corporation that has applied for\nlicensure under this article as a diagnostic and treatment center and\nthat intends to provide a comprehensive range of primary health care\nservices in one or more freestanding sites.\n (b) "Program" means the community health centers program authorized by\nthis section.\n (c) "Program funds" means state funds available for the purposes of\nthis section.\n (d) "Matching funds" means any funds other than state funds (whether\nderived from non-governmental or federal or local governmental sources),\nwhich are available for the purposes of this section.\n (e) "Community health center project" or "project" means the\nconstruction, reconstruction, renovation, rehabilitation, refurbishing,\nexpansion, upgrading, or equipping of a community health center under\nthis section.\n 2. Agreements. The commissioner is authorized to make funds available\nfor community health center projects. The commissioner shall contract\nwith one or more not-for-profit administrators, each of which shall be a\nnot-for-profit corporation having demonstrated interest, expertise and\nexperience in the development and financing of primary care and\npreventive services in low income communities. The not-for-profit\nadministrator shall award program funds and available matching funds to,\nor for the benefit of, community health centers which apply for such\nfunds in accordance with this section. The commissioner and the\nnot-for-profit administrator shall enter into an agreement for the\npurpose of administering the program and matching funds. Such agreement\nshall provide, without limitation, for the following:\n (a) the receipt, management and expenditure of program funds and\nmatching funds;\n (b) the solicitation of capital proposals to be submitted by or on\nbehalf of community health centers;\n (c) the solicitation of matching funds;\n (d) the process by which the capital proposals are reviewed, evaluated\nand funded; and\n (e) the reasonable expenses of the not-for-profit administrator\nincurred in the establishment and administration of this program,\nincluding retention of professionals and consultants.\n 3. Matching funds. (a) To leverage the benefit of program funds\navailable pursuant to this section for community health center projects,\neach allocation of program funds awarded to, or for the benefit of, a\ncommunity health center shall be matched by an equal or greater amount\nof matching funds and shall be conditioned on the availability of such\nmatching funds for the community health center project.\n (b) Matching funds shall be deemed available for the purposes of this\nsection when the funds are deposited with the not-for-profit\nadministrator, or are irrevocably committed for the community health\ncenter project pursuant to a valid, binding and enforceable contract,\nenforceable by the not-for-profit administrator for the benefit of the\ncommunity health center project.\n (c) Matching funds may be obtained by the not-for-profit administrator\nor may be otherwise provided for a particular community health center\nproject. In each such circumstance, or combination thereof, the\nrequirements of paragraph (b) of this subdivision shall apply.\n 4. Community health center projects. (a) An application to the\nnot-for-profit administrator may be submitted by or on behalf of a\ncommunity health center which meets the criteria for receiving funds set\nforth in this section.\n (b) The application shall specify in detail acceptable to the\nnot-for-profit administrator the proposed construction, reconstruction,\nrenovation, rehabilitation, refurbishing, expansion, upgrading and\nequipping of a community health center.\n (c) The application shall identify available sources of funds for the\ncommunity health center project, including matching funds, if any. It\nshall also identify any expenses already incurred in connection with the\ncommunity health center project, and whether any reimbursement therefor\nis sought in connection with the application.\n (d) To receive an award of funds for the proposed community health\ncenter project, the applicant, and if the applicant is not a community\nhealth center, the community health center and the applicant, shall\nenter into an agreement with the not-for-profit administrator governing\nthe disbursement of funds, construction of the proposed project, and any\nrequirements of the program under the agreement between the commissioner\nand the not-for-profit administrator or otherwise required by law. The\nagreement may include provisions for the repayment of all or a portion\nof funds.\n 5. Funding criteria. A community health center project may be funded\nunder this section provided the community health center meets the\ncriteria established in either of the following paragraphs:\n (a) The community health center is a federally-qualified health center\nas defined in 42 U.S.C. section 1395x (aa); or\n (b) The community health center (i) has applied to the United States\nDepartment of Health and Human Services for designation as a\nfederally-qualified health center, (ii) is eligible for such\ndesignation, and (iii) is located in, serves or intends to serve a\ndesignated medically-underserved community as defined in 42 U.S.C.\nsection 295p, a health professional shortage area as defined in 42\nU.S.C. section 254e or a medically-underserved population as defined in\n42 U.S.C. section 254b. A community health center that received funding\npursuant to this paragraph, and does not secure designation as a\nfederally-qualified health center within two years of its receipt of\nfunds shall repay such funds as directed by the not-for-profit\nadministrator.\n 6. Administration of funds. (a) Program funds shall be received and\nheld by the not-for-profit administrator under this section and the\nagreement with the commissioner. Program funds shall be held in trust\nand used for the benefit of the community health center projects. All\ninvestment income shall be credited to, and any repayments of program\nfunds shall be deposited in, the trust accounts established by the\nnot-for-profit administrator for such purpose, and spent only for the\npurposes set forth in this section.\n (b) Notwithstanding the foregoing, the not-for-profit administrator\nmay withdraw from the funds held by it under this section, subject to\nthe agreement with the commissioner, amounts sufficient to pay or\nreimburse its expenses as provided in paragraph (e) of subdivision two\nof this section.\n (c) The not-for-profit administrator shall maintain books and records\npertaining to all moneys received and disbursed pursuant to this\nsection. The agreement between the commissioner and the not-for-profit\nadministrator shall provide for the distribution of funds upon the\ntermination thereof. All remaining program funds, including earnings and\nrepayments, if any, not subject to binding agreement for the expenditure\nthereof, shall be paid at the direction of the commissioner to the state\ncomptroller to the credit of the general fund. Upon termination of the\nagreement, matching funds held by the not-for-profit administrator not\nsubject to binding agreement for the expenditure thereof, shall be\napplied consistent with the terms of the receipt of such matching funds,\nor returned to the donor.\n