There is a newer version of the New York Consolidated Laws
2006 New York Code - Facilities Development Corporation Act 359/68
Facilities Development Corporation Act 359/68
Chapter 359 of the laws of 1968
§ 1. Short title. This act shall be known and may be cited and
referred to as the "facilities development corporation act."
§ 2. Statement of legislative findings and purposes. It is hereby
found and declared that the provision of new and improved state
facilities relating to the care, maintenance and treatment of the
mentally disabled must be accelerated if the state is to meet its
responsibilities in the face of an increasing state population, a
growing awareness that mental disability can be treated effectively, and
new research advances in treatment methods. An expanded construction
program is essential to relieve overcrowding in the state hospitals for
the mentally ill, to provide treatment and care for the increasing
population of mentally retarded in state schools, and to permit the
establishment of special treatment programs for mentally ill and
emotionally disturbed children and for the mentally ill blind and the
mentally ill deaf. Existing state facilities require substantial
modernization and structural change to accommodate new concepts of
treatment for the mentally disabled and special units for the treatment
of alcoholism and narcotics addiction. Larger and better equipped
research facilities must be installed in order to insure that state
treatment units are in the forefront of applying and developing advanced
therapeutic methods. At the same time, improved training facilities and
quarters are needed to attract and retain the best-qualified staff
personnel.
To assure that the required facilities are completed and ready for use
as promptly as possible, the legislature hereby finds and declares that
there should be created a corporate governmental agency, constituting a
public benefit corporation, to be known as the "Facilities Development
Corporation", which could receive and administer monies for the
construction and improvement of mental hygiene facilities and provide
such facilities in accordance with the foreseeable needs for the care,
maintenance and treatment of the mentally disabled. The legislature
further finds and declares that while responsibility for the
professional care, maintenance and treatment of the mentally disabled at
all mental facilities should continue in the department of mental
hygiene, exclusive possession, jurisdiction, control and supervision of
the physical facilities used therefor should be vested in the
corporation in order to facilitate the exercise of its powers.
It is further found and declared that the provision of new and
improved community mental health and retardation facilities must be
accelerated, in order to provide comprehensive care and treatment of the
mentally ill and mentally retarded. Such community mental health and
retardation facilities should be located close to the people they serve,
in order to speed rehabilitation and restoration, by involving families
and community resources to the extent practicable. Such an accelerated
construction program will also help relieve overcrowding in state
facilities for the mentally ill and mentally retarded and will afford
treatment and care for the increasing number of mentally retarded. Such
a program will increase the number of local facilities for out-patient
care and short-term in-patient care, including after care, diagnostic
and rehabilitative services, training and research. While the
responsibility for the professional care, maintenance and treatment of
the mentally ill and mentally retarded at all such community mental
health and retardation facilities should continue in the local
governments, subject to the provisions of article forty-one of the
mental hygiene law and the regulations of the commissioners of the
offices of the department having jurisdiction thereof, the legislature
further finds and declares that the Facilities Development Corporation
should be empowered to aid cities and counties, at their request, to
provide new and improved community mental health and retardation
facilities in order to insure their timely construction, acquisition,
reconstruction, rehabilitation and improvement in relation to current
and foreseeable needs and the emergence of new patterns of treatment and
care and should be empowered to receive and administer monies for such
purpose.
It is further found and declared that hospital and related services of
municipalities are of vital concern to the health, safety and welfare of
the people of the state. Many municipal hospital facilities today are no
longer adequate to meet the needs of modern medical care. Because of the
rapidity of technological change in the medical field, a great number of
such facilities require substantial structural and functional changes.
Many municipal hospitals are overcrowded in their ancillary service
areas. Many still have large open wards, while the growth of
hospitalization insurance has brought increased demand for semi-private
accommodations. Many of such hospitals have permitted their buildings to
deteriorate prematurely and other suffer inefficiencies caused by
piecemeal and uncoordinated additions. The educational programs of
hospitals have become indispensable. Many hospitals are, in fact,
educational institutions but their plants and equipment are not equal to
their educational commitment. They lack facilities for needed
conferences and seminars and their libraries and medical records
departments do not meet the needs of individual studies and research.
Many of such hospitals no longer have adequate protection against the
hazards of fire, explosion and infection. Many of such hospitals lack
facilities for ambulant or wheelchair patients, and are inadequately
designed for the tremendous increase in personnel traffic and movement
of supplies and equipment within the hospital.
It is further found and declared that the construction, modification,
reconstruction and rehabilitation of municipal hospitals and related
health care facilities, including the provision of equipment, are public
purposes and are necessary for the protection of the health, safety and
welfare of the people of the state. To assure that such purposes are
carried out, it is further found and declared that the facilities
development corporation created by this act should be empowered, in
cooperation with the state, municipalities and the New York state
housing finance agency or the New York state medical care facilities
finance agency, as the case may be, to provide for the timely
construction and modernization of municipal hospitals and related
facilities at a reasonable cost and in accordance with the health needs
of the community.
It is hereby found and declared that the acquisition, construction,
reconstruction, rehabilitation and improvement of facilities for the
department of correctional services are public purposes which are
essential to enable comprehensive modernization of the state's programs
of correctional services. To assure that such purposes are carried out,
it is further found and declared that the facilities development
corporation should be empowered in coorperation with the department of
correctional services to provide for the acquisition, construction,
reconstruction, rehabilitation and improvement of facilities for the
department of correctional services.
In order to accomplish all of these purposes, the legislature hereby
declares that the existing corporate governmental agency constituting a
public benefit corporation, created by article two-B of the mental
hygiene law, shall be reconstituted and continued as the facilities
development corporation which corporation shall also have such
additional powers and duties as are granted to it in this act.
§ 3. Definitions. As used in this act, unless the context otherwise
requires:
1. "Comptroller" means the comptroller of the state of New York.
2. "Community mental health and retardation facility" shall mean a
building, a unit within a building, a laboratory, a classroom, a housing
unit, a dining hall, an activities center, a library, or any structure
on or improvement to real property, or an interest in real property,
including an interest in, and proprietary lease from, an organization
formed for the purpose of cooperative ownership of real property, of any
kind or description, including fixtures and equipment which are an
integral part of such building, unit or structure or improvement, a
walkway, a roadway or a parking lot and improvements and connections for
water, sewer, gas, electrical, telephone, heating, air conditioning and
other utility services, or a combination of any of the foregoing,
whether for patient care and treatment or staff, staff family or service
use, located in a city, or in a county not wholly included within a
city, authorized to provide community mental health services in
accordance with the provisions of article forty-one of the mental
hygiene law, which is utilized or to be utilized for the administration
and conduct of programs for the mentally ill or the mentally retarded,
or both, and for the provision of services therefor, or utilized or to
be utilized in the performance of services benefitting or assisting the
care, treatment, rehabilitation or maintenance of persons with mental
disabilities, and approved to provide such services, pursuant to a
written agreement with the appropriate commissioner of an office of the
department of mental hygiene. Nothing in this subdivision shall be
deemed to supercede the provisions of article 41 of the mental hygiene
law, where applicable. A community mental health and retardation
facility shall also mean and include a residential facility to be
operated as a community residence for persons with mental disabilities
and a treatment facility for use in the conduct of an alcoholism
treatment program or of a substance abuse treatment program as defined
in the mental hygiene law.
2-a. "Department" means the department of mental hygiene and the
offices of mental health, mental retardation and developmental
disabilities and alcoholism and substance abuse of such department.
2-b. "Commissioner" means the commissioner of mental health, the
commissioner of mental retardation and developmental disabilities, the
director of the division of alcoholism and alcohol abuse and the
director of the division of substance abuse.
3. "Corporation" means the facilities development corporation created
by this act.
3-a. "Dormitory authority" means the dormitory authority created by
the dormitory authority act as amended, being title four of the public
authorities law.
3-b. "Facility for the department of correctional services" means real
property, a building, a unit within a building, or any structure on or
improvement to real property of any kind or description essential,
necessary or useful in the program of the department of correctional
services, including all usual attendant and related facilities,
fixtures, equipment, and connections for utility services or any
combinations thereof, designed, acquired, constructed, reconstructed,
rehabilitated and improved, or otherwise provided for the department of
correctional services.
4. "Federal government" means the United States of America, and any
officer, department, board, commission, bureau, division, corporation,
agency or instrumentality thereof.
5. "Governing body" means the board of supervisors, county
legislature, board of aldermen, common council, council, commission, or
other elective governing board or body now or hereafter vested by state
statute, charter or other law with jurisdiction to initiate and adopt
local laws, whether or not such local laws or ordinances require the
approval of the elective chief executive officer or other official or
body to become effective, and except that with respect to a city having
a population of one million or more the term "governing body" shall mean
the board of estimate.
6. "Health facility" means a building, a unit within a building, a
laboratory, a classroom, a housing unit, a dining hall, an activities
center, a library, or any structure on or improvement to real property
of any kind or description, including fixtures and equipment which are
an integral part of any such building, unit, structure or improvement, a
walkway, a roadway or a parking lot, and improvement and connections for
water, sewer, gas, electrical, telephone, heating, air conditioning and
other utility services, or a combination of the foregoing, whether for
patient care and treatment of staff, staff family or service use,
located at or related to or constituting a hospital of, and located in,
a municipality.
7. "Health facilities improvement program" means a program or programs
undertaken by the corporation pursuant to section eight of this act.
8. "Hospital" means a hospital as defined in article twenty-eight of
the public health law.
9. "Letting agency" means, where the corporation is undertaking a
mental hygiene facilities improvement program or a mental health
facilities improvement program, (i) the commissioner of general services
if by agreement with the corporation he is to award the contracts for a
particular construction, reconstruction, rehabilitation or improvement
project, or (ii) the corporation if it is to award such contracts as
principal or as agent for the state housing finance agency or the state
medical care facilities finance agency.
10. "Mental hygiene facility" shall mean a building, a unit within a
building, a laboratory, a classroom, a housing unit, a dining hall, an
activities center, a library, real property of any kind or description,
or any structure on or improvement to real property, or an interest in
real property, of any kind or description, owned by or under the
jurisdiction of the corporation, including fixtures and equipment which
are an integral part of any such building, unit, structure or
improvement, a walkway, a roadway or a parking lot, and improvements and
connections for water, sewer, gas, electrical, telephone, heating, air
conditioning and other utility services, or a combination of any of the
foregoing, whether for patient care and treatment or staff, staff family
or service use, located at or related to any psychiatric center, any
developmental center, or any state psychiatric or research institute or
other facility now or hereafter established under the department. A
mental hygiene facility shall also mean and include a residential care
center for adults, a "community mental health and retardation facility"
and a treatment facility for use in the conduct of an alcoholism or
substance abuse treatment program as defined in the mental hygiene law
unless such residential care center for adults, community mental health
and retardation facility or alcoholism or substance abuse facility is
expressly excepted, or the context clearly requires otherwise. The
definition contained in this subdivision shall not be construed to
exclude therefrom a facility owned or leased by one or more voluntary
agencies that is to be financed, refinanced, designed, constructed,
acquired, reconstructed, rehabilitated or improved under any lease,
sublease, loan or other financing agreement entered into with such
voluntary agencies, and shall not be construed to exclude therefrom a
facility to be made available from the corporation to a voluntary agency
at the request of the commissioners of the offices of the department
having jurisdiction thereof. The definition contained in this
subdivision shall not be construed to exclude therefrom a facility with
respect to which a voluntary agency has an ownership interest in, and
proprietary lease from, an organization formed for the purpose of the
cooperative ownership of real estate.
11. "Mental hygiene facilities improvement program" means a program or
programs undertaken by the corporation pursuant to section nine of this
act.
12. "Mentally disabled" means a person having a mental disability as
defined in section 1.03 of the mental hygiene law.
13. "Municipality" means a county, city, town or village, except that,
where the corporation is undertaking a health facilities improvement
program, such term shall mean a county, city or town constituting a
social services district as defined in sections two, sixty-one,
seventy-five and seventy-five-a of the social services law, or any two
or more of the foregoing which are acting jointly to provide a health
facility or health facilities.
13-a. "Municipal building" shall mean a building, including grading or
improvement of the site, furnishings, equipment and utility services in
conjunction with such a building, to be principally used for the
administrative offices of a municipality or for the storage or repair of
maintenance equipment. Nothing herein shall be construed to prevent the
corporation from entering into an agreement for the design and
construction of a local correctional facility in combination with a
municipal building.
14. "Division of alcoholism and alcohol abuse facility or division of
substance abuse services facility" means a rehabilitation center,
treatment program or other facility or part thereof established and
operated under the professional jurisdiction and supervision of the
office of alcoholism and substance abuse services, created pursuant to
article 19 of the mental hygiene law.
15. "Real property" means lands and improvements and any fixtures,
equipment and articles of personal property affixed to or used in
connection therewith, lands under water, waterfront property, the water
of any lake, pond or stream and any and all easements, franchises and
hereditaments, corporeal or incorporeal, and every estate, interest and
right therein, legal and equitable in lands or waters, and right,
interest, privilege, easement and franchise relating to the same,
including terms for years and liens by way of judgment, mortgage or
otherwise.
16. "State" means the state of New York.
17. "State agency" means any officer, department, board, commission,
bureau, division, public benefit corporation, agency or instrumentality
of the state.
18-a. "State housing finance agency" means the New York state housing
finance agency created by article three of the private housing finance
law.
18-b. "State medical care facilities finance agency" means the New
York state medical care facilities finance agency created by the New
York state medical care facilities finance agency act.
19. "Voluntary agency" means a corporation organized under or existing
pursuant to the not-for-profit corporation law providing or, pursuant to
a written agreement with the appropriate commissioner, approved to
provide housing that includes residences for persons with mental
disabilities, or services benefitting or assisting the care, treatment,
rehabilitation or maintenance of persons with mental disabilities,
community mental health or residential services, community mental
retardation services, or alcohol, substance-abuse, or
chemical-dependency residential or non-residential treatment services,
or for any combination of the foregoing.
§ 4. Facilities Development corporation. There is hereby created the
facilities development corporation. The corporation shall be a corporate
governmental agency constituting a public benefit corporation. From and
after the effective date of the health care financing consolidation act,
as provided in subdivision 1 of section 1699-f of the public authorities
law, the corporation shall continue its corporate existence in and
through the dormitory authority, and the dormitory authority shall
succeed to all of the powers, duties and functions of the corporation.
§ 5. General powers and duties of corporation. The corporation shall
have the following powers in addition to those specifically conferred
elsewhere in this act.
1. To sue and be sued.
2. To have a seal and alter the same at pleasure.
3. To make and alter by-laws for its organization and internal
management.
4. With the approval of the comptroller, to prescribe a system of
accounts.
5. To make rules and regulations governing the exercise of its
corporate powers and the fulfillment of its corporate purposes, which
rules and regulations shall be filed with the secretary of state in the
manner provided by section one hundred two of the executive law.
6. To accept jurisdiction over and to hold, use and improve, in
accordance with such terms and conditions as the corporation and the
state housing finance agency or the state medical care facilities
finance agency, as the case may be, shall determine, any or all real
property acquired by such agency for a health facilities improvement
program.
7. Subject to the terms and conditions of any lease, sublease, loan or
other financing agreement with the appropriate commissioner of the
department or the state housing finance agency or the state medical care
facilities finance agency, to possess, hold, use and improve, all mental
hygiene facilities and all real and personal property acquired by or on
behalf of the corporation for a mental hygiene facilities improvement
program so long as its corporate existence shall continue.
8. a. With the approval of the appropriate commissioner of the
department and the director of the budget, to purchase real property
necessary or convenient for a mental hygiene facilities improvement
program in the name of the state, except where such purchase is for the
purpose of providing community mental health and retardation facilities
in which case such purchase shall be in its own name; provided, however,
that all such purchases shall be made pursuant to legislation or
appropriations in accordance with section nine of this act. Nothing in
this section contained shall be construed to prohibit the acquisition of
real property by purchase or appropriation by the appropriate
commissioner of the department pursuant to article seventy-one of the
mental hygiene law for the purpose of making mental hygiene facilities
available under license or permit from the corporation to a voluntary
agency, subject to the terms and conditions of any lease, sublease, loan
or other financing agreement with the state housing finance agency or
the state medical care facilities finance agency, (i) for use in
providing community mental health and retardation services, including
services in a residential care center for adults, or (ii) for the
conduct of an alcoholism or substance abuse treatment program as defined
in article nineteen of the mental hygiene law.
b. To execute and deliver deeds for real property held in its own
name.
c. To convey an easement as described in this subdivision, in or over
state-owned lands under the jurisdiction of the facilities development
corporation for the use of the department of mental hygiene subject to
prior notice to the commissioner of general services by filing with him
a copy of the proposed easement which shall be followed by such filing
of a copy of the easement conveyed, to a public corporation or a public
service corporation, in perpetuity or otherwise. For the purposes of
this subdivision an easement may be granted for the connection of a
water main, sewer pipe or other utility line or similar facility
maintained for public use, owned by any public corporation or public
service corporation, which shall be used for or in connection with any
facility occupied, used or serving the program of one of the offices of
the department of mental hygiene as defined in subdivision two-a of
section three of section one of this act. The consideration for the
grant of any such easement may consist of the agreement by the grantee
to maintain the subject utility facility.
d. To convey an easement as described in this subdivision, in or over
private lands under the jurisdiction of the facilities development
corporation for the use of the department of mental hygiene subject to
prior notice to the commissioner of general services by filing with him
a copy of the proposed easement which shall be followed by such filing
of a copy of the easement conveyed, to a public corporation or a public
service corporation, in perpetuity or otherwise. For the purposes of
this subdivision an easement may be granted for the connection of a
water main, sewer pipe or other utility line or similar facility
maintained for public use, owned by any public corporation or public
service corporation, which shall be used for or in connection with any
facility occupied, used or serving the program of one of the offices of
the department of mental hygiene as defined in subdivision two-a of
section three of section one of this act. The consideration for the
grant of any such easement may consist of the agreement by the grantee
to maintain the subject utility facility.
e. Nothing contained in paragraphs c and d of this subdivision shall
limit, restrict or affect the authority of the commissioner of general
services under section three of the public lands law.
9. To purchase, receive, lease or otherwise acquire in accordance with
the requirements of article eleven of the state finance law, personal
property necessary and convenient for its corporate purposes, including
the original furnishings, equipment, machinery and apparatus required
for mental hygiene or health facilities upon the completion of work: (i)
in the case of a mental hygiene facility to transfer, sublease or
otherwise make such personal property available to the department of
mental hygiene or to a city or county, in accordance with the terms and
conditions of any agreement with the appropriate commissioner of the
department, the commissioner of general services, such city or county or
the state housing finance agency; (ii) in the case of a health facility
to transfer or otherwise make such personal property available to a
municipality in accordance with the terms and conditions of any
agreement with such municipality, the state housing finance agency or
the state medical care facilities finance agency.
10. To design, construct, acquire, reconstruct, rehabilitate and
improve health facilities, facilities for the department of correctional
services and mental hygiene facilities, or cause such facilities to be
designed, constructed, acquired, reconstructed, rehabilitated and
improved, in accordance with the provisions of this act.
11. In connection with such design, construction, acquisition,
reconstruction, rehabilitation and improvement, to install or cause to
be installed water, sewer, gas, electrical, telephone, heating, air
conditioning and other utility services, including appropriate
connections.
12. Subject to the terms and conditions of any lease, sublease, loan
or other financing agreement between the corporation and the state
housing finance agency or the state medical care facilities finance
agency, as the case may be, or between such agency and a municipality,
as the case may be, and in the case of mental hygiene facilities with
the appropriate commissioner of the department, to maintain, repair and
keep up the real property held by it pursuant to this act.
13. Subject to the terms and conditions of any lease, sublease, loan
or other financing agreement with the state housing finance agency or
the state medical care facilities finance agency, and to the
determination of the appropriate commissioner of the department, and in
the case of community mental health and retardation facilities, of the
city or county, that such real property held for the purposes of a
mental hygiene facilities improvement program is unnecessary for the
present or foreseeable future needs of a mental hygiene facility, with
the approval of the director of the budget, to convey for fair value any
right, title or interest of the people of the state of New York in and
to such real property to any appropriate state agency, or public
corporation, city or county for other public use or for sale, lease or
other disposition in accordance with law, real property held by the
corporation, provided, however, nothing in this subdivision shall be
deemed to supercede the provisions of section 41.34 of the mental
hygiene law and provided further that any such conveyance shall be
subject to, and consistent with the terms and objectives of, any plan
developed by the state interagency council on mental hygiene property
utilization. The corporation shall provide written notice at least
thirty days in advance of the effective date of any conveyance to the
governor, the majority leader of the senate and the speaker of the
assembly. No conveyance as authorized in this subdivision that may
adversely affect the tax exempt nature of any such lease, sublease, loan
or other financing agreement with the state housing finance agency or
the New York state medical care facilities finance agency may occur
until the attorney general or other designated bond counsel determines
in writing that the conveyance is consistent with all applicable state
and federal laws, rules and regulations, and with deeds, leases,
subleases, loan agreements, financing agreements, and bond resolutions
relating to or affected by the conveyance, and that the conveyance does
not impair the tax exempt status of outstanding obligations issued by
the state housing finance agency or the New York state medical care
facilities finance agency to finance or refinance the design,
construction, acquisition, reconstruction, rehabilitation or improvement
of mental health service facilities as defined in the New York state
medical care facilities finance agency act.
13-a. Subject to the terms and conditions of any lease, sublease, loan
or other financing agreement with the state housing finance agency or
the state medical care facilities finance agency and to the
determination of the appropriate commissioner of the department, to make
a mental hygiene facility available under lease, sublease, license or
permit from the corporation to a voluntary agency, or, notwithstanding
the provisions of the public lands law or any other general or special
law to the contrary, to convey the right, title and interest of the
people of the state of New York in and to such facility and the land
appurtenant thereto to such voluntary agency upon such terms and
conditions as shall be provided in an agreement among the appropriate
commissioner of the department, the corporation and such voluntary
agency with the approval of the director of the budget, the comptroller
and the commissioner of any office of the department having programmatic
or fiscal jurisdiction or licensing or certifying authority over that
voluntary agency with respect to the intended use.
13-b. Subject to the terms and conditions of any deed, lease,
sublease, loan or other financing agreement with the state housing
finance agency or the New York state medical care facilities finance
agency, and upon the determination of the appropriate commissioner of
the department of mental hygiene, to sublease as sublessor, in its own
name, mental hygiene facilities leased to the corporation by the New
York state medical care facilities finance agency, and to lease as
lessor real property held by the corporation, upon such terms and
conditions as may be provided in an agreement among the appropriate
commissioner of the department, the corporation, and such sublessee or
lessee, with the approval of the director of the budget, and, where
pertinent, the commissioner of any office of the department having
programmatic or fiscal jurisdiction or licensing or certifying authority
over a voluntary agency or any other sublessee or lessee entity with
respect to the intended use. Such a sublease or lease shall be effective
only after the attorney general or other designated bond counsel
determines, in writing, that it is consistent with all applicable
federal and state laws, rules and regulations, and all deeds, leases,
subleases, loan agreements, financing agreements and bond resolutions
relating to or affected by the premises being sublet or let, and that
such a sublease or lease does not impair the tax-exempt status of
outstanding obligations issued by the housing finance agency or the New
York state medical care facilities finance agency.
13-c. To lease, as lessee, and to sublease, as sublessor, in its own
name, mental hygiene facilities owned or leased by one or more voluntary
agencies that are to be financed, refinanced, designed, constructed,
acquired, reconstructed, rehabilitated and improved under any lease,
sublease, loan or other financing agreement entered into with such
voluntary agencies or the medical care facilities finance agency in
accordance with regulations that shall be promulgated by either one of
the appropriate commissioners or directors of the department and
approved by the director of the budget, which regulations shall require
that any mental hygiene facility owned or leased by a voluntary agency
the design, construction, reconstruction, acquisition, rehabilitation or
improvement of which is to be financed or refinanced in whole or in part
with proceeds of mental health services facilities improvement bonds or
notes issued by the medical care facilities finance agency, and any
other mental hygiene facilities that may be constructed or acquired with
funds realized by or returned to such voluntary agency or jointly to
such voluntary agency and one more voluntary agencies which will operate
such facility as a result of such financing or refinancing, be approved
for financing or refinancing pursuant to this act by the director of the
budget and be operated, while such bonds or notes are outstanding, in a
manner and for purposes pursuant to the mental hygiene law.
13-d. Subject to the terms and conditions of any lease, sublease, loan
or other financing agreement with the medical care facilities finance
agency in accordance with subdivision 13-c of this section, to make
loans to voluntary agencies for the purpose of financing or refinancing
the design, construction, acquisition, reconstruction, rehabilitation
and improvement of mental hygiene facilities owned or leased by such
voluntary agencies provided, however, that with respect to such
facilities which are leased by a voluntary agency, the term of repayment
of such loan shall not exceed the term of such lease including any
option to renew such lease. Notwithstanding any other provisions of law,
such loans may be made jointly to one or more voluntary agencies which
own and one or more voluntary agencies which will operate any such
mental hygiene facility.
13-e. To receive from the comptroller state aid payments pledged or
agreed to be paid by any voluntary agency in accordance with any lease,
sublease, loan or other financing agreement entered into with such
voluntary agency. Such pledges may be made from sources of state aid
including but not limited to payments made pursuant to: articles
nineteen, twenty-five and forty-one of the mental hygiene law.
13-f. The executive director of the facilities development corporation
is authorized and empowered to enter into and implement agreements under
which the facilities development corporation may designate the
commissioner of the office of mental health, the commissioner of the
office of mental retardation and developmental disabilities, the
director of the division of substance abuse services, or the director of
the division of alcoholism and alcohol abuse, with respect to their
respective facilities, as agents for the facilities development
corporation with respect to the financing of voluntary provider
not-for-profit community development, and under which such commissioners
and directors may act as its agent, with respect to any and all duties
for such corporation as set forth and contained in this act. The
commissioners, the directors, and the executive director shall enter
into such agreements, subject to the approval of the director of the
budget, which delineate the respective duties of each party when such
commissioners and directors are designated agents of such corporation.
14. To make and execute contracts and all other instruments or
agreements necessary or convenient for the exercise of its corporate
powers or the fulfillment of its corporate purposes.
15. To engage the services of construction, engineering,
architectural, legal and financial consultants, surveyors and
appraisers, on a contract basis or as employees, for professional
services and technical assistance and advice.
16. To procure insurance against any loss in connection with any
facility in such amounts and from such insurers as it deems desirable.
17. With the consent of the commissioner of health, or the appropriate
commissioner of the department, as the case may be, to use the agents,
employees and facilities of the respective agencies.
18. Subject to the approval of the commissioner of health or the
appropriate commissioner of the department, as the case may be, to apply
for, accept, administer and disburse federal aid.
19. To accept any gifts or grants or loans of funds or property or
financial or other aid in any form from the federal government or any
agency or instrumentality thereof or from the state, including
appropriations, or from any other source, and to comply with the terms
and conditions thereof.
20. To do any and all things necessary or convenient to carry out its
corporate purposes and exercise the powers given and granted it in this
act.
§ 6. Purposes of the corporation. The purposes of the corporation are:
1. To facilitate the timely provision, acquisition, construction,
reconstruction, rehabilitation or improvement of health facilities for
the prevention, diagnosis or treatment of human disease, pain, injury,
deformity or physical condition, at a reasonable cost, in order to
reduce the time lag between the determination of the need for such
facilities and their actual availability for use.
2. To assist the department of health, which is the state agency
having the central, comprehensive responsibility for development and
administration of the state's policy with respect to hospital and
related services, in the discharge of its duties and responsibilities
under article twenty-eight of the public health law.
3. To provide mental hygiene facilities, other than community health
and retardation facilities, for the care, maintenance and treatment of
the mentally disabled, for research and training related thereto, and
for the members of the staff of state institutions in the department and
their families, to reduce the time lag between determination of need for
such facilities and actual occupancy thereof, to expedite the
construction, acquisition, reconstruction, rehabilitation or improvement
of such facilities, to assure that the same are completed and ready for
the purposes intended in the light of foreseeable needs, to assure
exclusive possession, jurisdiction, control and supervision over all
mental hygiene facilities in order to effectuate the aforesaid purposes
and to make such facilities available to the appropriate commissioner of
the department for use in the care, maintenance and treatment of the
mentally disabled.
4. To provide community mental health and retardation facilities for
the mentally disabled, for out-patient care and short-term in-patient
care, including after care and diagnostic and rehabilitative services
and training and research, for and at the request of cities and counties
not wholly within a city, authorized to provide community mental health
services in accordance with the provisions of article forty-one of the
mental hygiene law, to reduce the time between determination of the need
for such facilities and actual occupancy thereof, to expedite the
construction, acquisition, reconstruction, rehabilitation or improvement
of such facilities, to assure that the same are completed and ready for
the purposes intended in the light of current and foreseeable needs, all
as approved by the appropriate commissioner of the department.
5. To provide mental hygiene facilities to be made available under
license or permit from the corporation to voluntary agencies at the
request of the appropriate commissioner of the department in accordance
with the provisions of this act for use in providing community mental
health and retardation services and services in a residential care
center for adults.
6. To provide office of alcoholism and substance abuse services
facilities to be made available under license or permit from the
corporation to voluntary agencies at the request of the office in
accordance with the provisions of this act for use in the conduct of an
alcoholism or substance abuse treatment program.
7. To provide facilities for the department of correctional services.
§ 7. Relationship with the state departments of health and mental
hygiene. 1. The corporation shall upon request assist and cooperate with
and make its personnel and services fully available to the commissioner
of health and the department of health in matters relating to their
responsibilities for the approval of construction of hospital and health
facilities pursuant to article twenty-eight of the public health law.
The corporation shall also consult with the department of health in
matters relating to construction standards, including space
requirements, site plans, architectural concept, original furnishings,
equipment, machinery and apparatus needed to furnish and equip such
facilities.
2. The corporation shall assist and cooperate with and shall make its
personnel and services fully available to the department and its
commissioners in matters relating to their responsibilities for land
acquisition and capital planning relating to mental hygiene facilities.
During the course of construction, reconstruction, rehabilitation and
improvement of mental hygiene facilities, the corporation shall consult
with personnel of the department as the work progresses in matters
relating to space requirements, site plans, architectural concepts, and
substantial changes in the plans and specifications therefor, and in
matters relating to the original furnishings, equipment, machinery and
apparatus needed to furnish and equip mental hygiene facilities upon the
completion of work. The department and its commissioners on their part
shall assist and cooperate with the corporation in such matters.
3. The corporation shall also assist and cooperate with and shall make
its personnel and services fully available to the office of alcoholism
and substance abuse services in matters relating to the responsibilities
of such office for site selection, acquisition of and capital planning
relating to alcoholism or substance abuse facilities. During the course
of construction, reconstruction, rehabilitation and improvement of such
facilities the corporation shall consult with personnel of such office
as the work progresses in matters relating to space requirements, site
plans, architectural concepts and substantial changes in the plans and
specifications therefor and in matters relating to the original
furnishings, equipment, machinery, and apparatus needed to furnish and
equip such facilities upon the completion of the work. The office of
alcoholism and substance abuse services shall assist and cooperate with
the corporation in such matters.
§ 7-a. Relationship with the state department of correctional
services. The corporation, upon the issuance by the director of the
budget of a certificate of approval segregating funds to pay for their
corporate services, shall design, construct, reconstruct, rehabilitate,
improve, and equip facilities for the department of correctional
services or cause facilities to be designed, constructed, reconstructed,
rehabilitated, improved, and equipped. The corporation shall also assist
and cooperate with and shall make its personnel and services fully
available to the commissioner of correctional services and the
department of correctional services in matters relating to their
responsibilities for site selection, acquisition of and capital planning
relating to facilities for the department of correctional services.
During the course of construction, acquisition, reconstruction,
rehabilitation and improvement of such facilities, the corporation shall
consult with the commissioner of correctional services and the personnel
of the department of correctional services as the work progresses in
matters relating to space requirements, site plans, architectural
concept and substantial changes in the plans and specifications therefor
and in matters relating to the original furnishings, equipment,
machinery, and apparatus needed to furnish and equip such facilities
upon the completion of the work. The commissioner of correctional
services and the department of correctional services shall assist and
cooperate with the corporation in such matters.
§ 8. Provisions relating to health facilities improvement program. 1.
Municipal health facilities agency. The mayor or other chief executive
of a municipality shall designate a department, board, commission,
bureau, division or other agency or official to act on behalf of the
municipality as a municipal health facilities agency in order to
accomplish the purposes of this section and section forty-seven-d of the
private housing finance law.
2. Construction. a. The corporation shall, as agent of the state
housing finance agency, construct a health facility or health facilities
or cause such facility or facilities to be constructed, provided that:
(i) The state housing finance agency or the state medical care
facilities finance agency, as the case may be, and the municipality,
with the approval of the governing body, have entered into an agreement
which shall set forth the health facility or health facilities to be
constructed, the total estimated cost of each such facility, the
estimated date of completion thereof and the estimated annual rentals to
be paid by the municipality therefor. The agreement shall contain such
other terms and conditions as may be agreed upon and shall be subject to
the approval of the commissioner of health. Nothing herein contained
shall preclude the corporation from being a party to any such agreement.
(ii) The commissioner of health shall have certified that there has
been compliance with all requirements of article twenty-eight of the
public health law.
b. When two or more municipalities act jointly to provide a health
facility, the agreement referred to in subparagraph (i) of paragraph a
of this subdivision shall require the approval of the governing body of
each municipality and shall specify the rights, duties and obligations
of each municipality.
c. The corporation shall prepare separate specifications for and
solicit separate and independent bids on and award separate contracts on
the subdivisions of work to be performed specified in section one
hundred thirty-five of the state finance law, but the corporation in its
discretion may assign such contracts for supervision to the successful
bidder for the remaining work to be performed at the time the contracts
for the particular health facility are awarded. Each contract for the
construction of a health facility may include a provision that the
architect who designed the facility, or an architect or engineer
retained or employed specifically for the purpose of supervision, shall
supervise the work to be performed through to completion and shall see
to it that the materials furnished and the work performed are in
accordance with the drawings, plans, specifications and contracts
therefor.
d. All contracts which are to be awarded pursuant to this subdivision
shall be awarded by public letting in accordance with the following
provisions, notwithstanding the provisions of section one hundred
thirty-six, one hundred thirty-nine or one hundred forty of the state
finance law, except that the corporation in its discretion may enter
into a contract for such purposes without public letting where the
estimated expense thereof is less than ten thousand dollars.
(i) If the contracts are to be publicly let, the corporation shall
advertise the invitation to bid in a newspaper published in the
municipality in which the health facility project is situated and in
such other newspapers as will be most likely in its opinion to give
adequate notice to contractors of the work required and of the
invitation to bid. The invitation to bid shall contain such information
as the corporation shall deem appropriate and a statement of the time
and place where all bids received pursuant to such notice will be
publicly opened and read.
(ii) The corporation shall not award any contract after public bidding
except to the lowest bidder who in its opinion is qualified to perform
the work required and is responsible and reliable. The corporation may,
however, reject any or all bids, again advertise for bids, or waive any
informality in a bid if it believes that the public interest will be
promoted thereby. The corporation may reject any bid if in its judgment
the business and technical organization, plant, resources, financial
standing or business experience of the bidder, compared with the work to
be performed, justify such rejection.
(iii) The invitation to bid and the contract awarded shall contain
such other terms and conditions and such provisions for penalties as the
corporation may deem desirable.
(iv) The corporation shall require such deposits, bonds and security
in connection with the submission of bids, the award of contracts and
the performance of work as it shall determine to be in the public
interest and for the protection of the state housing finance agency or
the state medical care facilities finance agency, as the case may be,
and the municipality.
(v) The directors of the corporation shall determine when minor work
of construction, reconstruction, alteration or repair of any health
facility may be done by special order. Special orders for such work
shall be short-form contracts. No work shall be done by special order in
an amount in excess of twenty thousand dollars and a bond shall not be
required for special orders. No work shall be done by special order
unless a diligent effort has been made to obtain competition sufficient
to protect the public interest prior to selecting the contractor to
perform the work. Notwithstanding any other provision of this paragraph
work done by special order under this subparagraph may be advertised
through the regular public notification service of the office of general
services or the state register. At least five days shall elapse between
the first publication of such public notice and the date so specified
for the public opening of bids. All payments on special orders shall be
made on the certificate of the directors of the corporation. All special
orders shall contain a clause that the special order shall only be
deemed executory to the extent of the moneys available and no liability
shall be incurred by the corporation or the state beyond the moneys
available for the purpose.
§ 8-A. Provisions relating to agreements with certain non-profit
corporations. 1. The corporation is authorized to enter into an
agreement, at the request of the commissioner of health, with
corporations which are eligible borrowers as defined in article 28-B of
the public health law providing for such services and such compensation
as shall be approved by the commissioner of health incident to an
application for a mortgage loan pursuant to the provisions of article
28-B of the public health law. As a condition prerequisite to any such
agreement, the commissioner of health shall have certified as to the
public need for the proposed facility.
2. The corporation is authorized to enter into an agreement, with the
approval of the commissioner of health, with a non-profit corporation
organized under the laws of this state providing for the services of the
corporation to be made available to such non-profit corporation incident
to the design and construction of a facility or facilities included
within the meaning of the word "hospital", as defined in article
twenty-eight of the public health law, to be financed by means other
than pursuant to article 28-B of such law. Such agreement shall provide
that all such services and expenses of the corporation with respect to
such facility or facilities shall be at the sole cost and expense of
such non-profit corporation. As a prerequisite to any such agreement the
commissioner of health shall have certified as to the public need for
the proposed facility or facilities.
§ 8-b. Provisions relating to agreements with certain municipalities.
1. The corporation is authorized to enter into an agreement with a
municipality providing for the design by the corporation of a health
facility or health facilities for such municipality at the sole cost and
expense of the municipality. Such agreement may also provide for the
construction, reconstruction, rehabilitation and improvement of such
health facility or health facilities by the corporation at the sole cost
and expense of the municipality or of any agency or instrumentality
thereof. A municipality is hereby authorized to enter into such
agreements with the corporation and to provide for the payment to the
corporation of all expenses incurred at such times and in such amounts
as shall be set forth in the agreement, notwithstanding the provisions
of any general, special or local law or of any charter. The agreement
shall contain such other terms and conditions as may be agreed upon by
the corporation and the municipality. The corporation shall enter into
an agreement with a municipality prior to the commencement of any
corporation services. No agreement entered into between the facilities
development corporation and a municipality pursuant to this section
shall be effective until the director of the budget has determined that
the total estimated charge to be collected by the corporation from the
municipality is fair and reasonable in relationship to the estimated
total project cost and also that sufficient provisions exist to insure
the collection of such charge by the corporation from the municipality.
The corporation shall by regulation prescribe a procedure or procedures
for the application by a municipality to the corporation for its
assistance and the corporation's procedure or procedures for the design,
construction, reconstruction, rehabilitation and improvement of a health
facility or health facilities. Any such regulation shall be submitted to
the director of the budget for his approval prior to its effectiveness.
2. In the design, construction, reconstruction, rehabilitation and
improvement of a health facility pursuant to an agreement entered into
as provided in subdivision one of this section, the corporation shall be
governed by the applicable provisions relating to the design and
construction of health facilities as set forth in subparagraphs c and d
of paragraph (ii) of subdivision two of section eight of this act.
§ 9. Provisions relating to mental hygiene facilities improvement
program and monies thereof. 1. Capital construction planning,
construction standards, design and municipal regulations.
a. The appropriate commissioner or director of the department shall
cause to be prepared, with the assistance of the corporation, the
commissioner of general services and the division of the budget,
proposed standards for all mental hygiene facilities or classes of
mental hygiene facilities to be financed, refinanced, designed,
constructed, reconstructed, rehabilitated or improved pursuant to
contracts executed by the corporation, the commissioner of general
services, the state housing finance agency or the medical care
facilities finance agency, other than mental hygiene facilities owned or
leased by one or more voluntary agencies that are to be financed,
refinanced, designed, constructed, reconstructed, rehabilitated or
improved pursuant to any such contract. The proposed standards may, in
the discretion of the appropriate commissioner or director of the
department, include, among other things, provisions relating to the
quality and type of materials to be used in such facilities, provisions
for safety, fire protection, health and sanitation, provisions for the
installation of fixtures, furnishings, equipment, machinery and
apparatus in such facilities, and construction features deemed by the
appropriate commissioner or director of the department to be desirable
for the care, maintenance and treatment of the mentally disabled or for
the use of staff personnel at mental hygiene facilities and their
families. The proposed standards shall be forwarded to the governor for
his approval, disapproval or modification. The proposed standards shall
be deemed adopted, with or without modifications as the case may be,
upon written approval by the governor. Such standards, in the form
adopted, shall be filed by the appropriate commissioner or director of
the department with the secretary of state in the manner provided by
section one hundred two of the executive law.
Changes in the construction standards so adopted may from time to time
be formulated and proposed, approved, disapproved or modified, adopted
and filed in the same manner as the original standards.
b. The directors of the corporation shall prepare or cause to be
prepared for the state housing finance agency or the medical care
facilities finance agency, within the amounts appropriated therefor or
otherwise available, the building plans, the exterior drawings or models
displaying the architectural concept of each mental hygiene facility
thereafter to be constructed, reconstructed, rehabilitated or improved,
and the detailed plans and specifications for all such construction,
reconstruction, rehabilitation and improvement work to be performed, all
of which shall be subject to the separate approval of the appropriate
commissioner of the department and, in the case of community mental
health and retardation facilities, of the governing body of the city or
county or of such officer, department, agency or community mental health
board as may be designated by such governing body for the purpose of
such approval. The directors of the corporation, except in the case of
community mental health and retardation facilities, may cause the
building plans, drawings, models and detailed plans and specifications
for such work to be prepared under the direction of the commissioner of
general services in accordance with the terms of any agreement entered
into between the corporation and such commissioner pursuant to
subdivision two of this section. In the case of community mental health
and retardation facilities, the directors of the corporation may cause
such building plans, drawings, models and detailed plans and
specifications for such work to be prepared by its own employees, or on
a contract basis, or by agreement with a city or county or with any
state department or agency authorized to perform such work.
The detailed plans and specifications for any such work to be
performed pursuant to a contract shall comply with the construction
standards in effect at the time the contract is executed.
Subject to the terms of any agreement entered into between the
corporation and the commissioner of general services pursuant to
subdivision two of this section and between the corporation and the
state housing finance agency or the medical care facilities finance
agency pursuant to such section, the directors of the corporation may
from time to time modify, or authorize modifications to, such detailed
plans and specifications provided (i) that the plans and specifications
as so modified shall comply with the construction standards, if any,
adopted pursuant to paragraph a of this subdivision and in effect at the
time of the modification, and (ii) that such modifications, if
substantial, are made with the separate approval of the appropriate
commissioner of the department and, in the case of community mental
health and retardation facilities, of such governing body of the city or
county or of such officer, department, agency or community mental health
board as may be designated by such governing body for the purpose of
such approval, and (iii) that in the event an amount for contingencies
is appropriated or advanced to the corporation to pay the added costs
during the then current state fiscal year of all modifications made in
the course of construction, reconstruction, rehabilitation and
improvement of mental hygiene facilities, no such modifications shall be
made or authorized in such fiscal year without the approval of the
director of the budget unless the cost thereof shall be less than five
percentum of the total estimated cost of the facility as set forth in
the budget bill referred to in paragraph a of subdivision two of this
section, but in no event shall any such modification be made or
authorized in such fiscal year if the cost thereof, plus the cost of all
modifications theretofore made or authorized during the same state
fiscal year, would exceed the amount for contingencies appropriated or
advanced for the purpose of such modifications, and (iv) that in the
event an amount for contingencies is not appropriated for the purpose of
such modifications, no such modification involving an estimated expense
of ten thousand dollars or more shall be made or authorized without the
prior approval of the director of the budget.
c. In the design, construction, acquisition, reconstruction,
rehabilitation, alteration and improvement of mental hygiene facilities
to be made available under license or permit from the corporation to
voluntary agencies for use in providing community mental health and
retardation services, the corporation shall be governed by the
provisions of this act relating to the design and construction of mental
hygiene facilities provided, however, that the program for each such
facility shall have been prepared under the supervision of the
appropriate commissioner of the department pursuant to the mental
hygiene law at the request of such voluntary agency and with the
approval of the community mental health board established pursuant to
article forty-one of the mental hygiene law.
d. In the design, construction, acquisition, reconstruction,
rehabilitation, alteration and improvement of alcoholism or substance
abuse facilities to be made available under license or permit from the
corporation to voluntary agencies for use in the conduct of an
alcoholism or substance abuse treatment program, the corporation shall
be governed by the provisions of this act relating to the design and
construction of alcoholism or substance abuse facilities provided that
the program for such facility shall have been approved by the
appropriate division of the office of alcoholism and substance abuse at
the request of the local agency.
e. No county, city, town or village shall have power to modify or
change the plans or specifications for mental hygiene facilities to be
constructed, reconstructed, rehabilitated or improved pursuant to this
act, or the construction, plumbing, heating, lighting or other
mechanical branch of work necessary to complete the work in question,
nor to require that any person, firm or corporation employed on any such
work shall perform any such work in any other or different manner than
that provided by such plans and specifications, nor to require that any
such person, firm or corporation obtain any other or additional
authority or permit from such county, city, town or village as a
condition of doing such work, nor shall any condition whatever be
imposed by any such county, city, town or village in relation to the
work being done pursuant to this act, but such work shall be under the
sole control of the supervising architect or engineer in accordance with
the drawings, plans, specifications and contracts in relation thereto;
and the doing of any such work for the corporation by any person, firm
or corporation in accordance with the terms of such drawings, plans,
specifications or contracts shall not subject said person, firm or
corporation to any liability or penalty, civil or criminal, other than
as may be stated in such contracts or incidental to the proper
enforcement thereof.
2. Letting of construction contracts. a. The corporation shall design,
construct, acquire, reconstruct, rehabilitate and improve all mental
hygiene facilities, or cause the same to be designed, constructed,
acquired, reconstructed, rehabilitated and improved either on its own
behalf or as agent for the state housing finance agency or the medical
care facilities finance agency, except that in the case of all mental
hygiene facilities owned or leased by one or more voluntary agencies
that are to be designed, constructed, reconstructed, rehabilitated and
improved under any lease, sublease, loan or other financing agreement
entered into with such voluntary agency, the same may be designed,
constructed, acquired, reconstructed, rehabilitated and improved by such
voluntary agencies, provided that legislation or appropriations
authorizing the same (i) have been requested by the appropriate
commissioner or director of the department, (ii) have been recommended
by the governor in a budget bill, which is approved by the legislature
for the fiscal year for which the recommendation was made which
specifies the mental hygiene facilities to be designed, constructed,
acquired, reconstructed, rehabilitated or improved, the total estimated
cost for each such facility, and the date when it is desired that the
design, construction, acquisition, reconstruction, rehabilitation or
improvement of each mental hygiene facility referred to therein be
completed. All such work shall be performed in such manner as to assure
completion, so far as practicable, by the dates specified.
b. (i) The corporation may design, construct, reconstruct,
rehabilitate and improve a mental hygiene facility, other than a
community mental health and retardation facility, whether as principal
or as agent for the state housing finance agency or the medical care
facilities finance agency, only by agreement with the commissioner of
general services, except that in the case a mental hygiene facility
owned or leased by a voluntary agency that is to be designed,
constructed, reconstructed, rehabilitated and improved under any lease,
sublease, loan or other financing agreement entered into with such
voluntary agency, or jointly with such voluntary agency and one or more
voluntary agencies that operate such facility the same may be designed,
constructed, reconstructed, rehabilitated and improved by such voluntary
agencies, and except that:
(a) if the commissioner of general services for any reason declines to
enter into an agreement with the corporation for such purpose; or
(b) if the commissioner of general services fails to enter into an
agreement with the corporation for such purpose within forty-five days
after receiving notification from the directors of the corporation of
the work to be performed; or
(c) if the commissioner of general services fails to advertise such
work for bids within one year after entering into an agreement with the
corporation for the performance of such work; or
(d) if the estimated expense of any such work is less than ten
thousand dollars, the corporation may construct, reconstruct,
rehabilitate and improve a mental hygiene facility by its own employees
or by contract awarded pursuant to paragraph g of this subdivision.
(ii) The corporation, with the approval of the director of the budget,
may construct, reconstruct, rehabilitate and improve a community mental
health and retardation facility by its own employees, by agreement with
a city or county or with any state department or agency authorized to
perform such work, or by contract awarded pursuant to paragraph g of
this subdivision. All contracts awarded by a city or county on behalf of
the corporation shall be awarded pursuant to paragraph g of this
subdivision, notwithstanding any provision of any general, special or
local law or any charter.
c. In the event that the commissioner of general services enters into
an agreement with the corporation for the construction, reconstruction,
rehabilitation or improvement of a mental hygiene facility, the work
required shall be performed in accordance with the terms of such
agreement and in accordance with the provisions of paragraphs d and e of
this subdivision, either by employees of the office of general services
or by contract or contracts awarded pursuant to the public buildings
law, the public works law and the state finance law.
d. No contract for the construction, reconstruction, rehabilitation or
improvement of a mental hygiene facility shall be awarded by any letting
agency unless (i) the appropriate commissioner or director of the
department shall have separately approved the architectural concept and
the detailed plans and specifications for the facility to be
constructed, reconstructed, rehabilitated or improved and (ii) the
directors of the corporation, whether as principals or as agents for the
state housing finance agency or the medical care facilities finance
agency, shall have approved the proposed terms of such contract,
including the detailed plans and specifications for the facility.
Provided, however, the corporation shall only enter into any lease,
sublease, loan or other financing agreement with a voluntary agency
under which a mental hygiene facility owned or leased by such a
voluntary agency is to be designed, acquired, constructed,
reconstructed, rehabilitated or improved when the appropriate
commissioner or director shall have approved the plans for such a
facility. The form and content of such approval shall be approved by the
division of budget however such agency approval shall allow maximum
access to financing for design, acquisition, construction,
reconstruction, rehabilitation and improvement, and shall be timely to
reduce the need for utilization of short term commercial loans by
voluntary agencies for services eligible for financing under this
program. The medical care facilities financing agency shall advise the
director of the budget on the form of such approval.
e. Each contract for the construction, reconstruction, rehabilitation
or improvement of a mental hygiene facility shall include a provision
that the architect who designed the facility, or an architect or
engineer retained or employed specifically for the purpose of
supervision, shall supervise the work to be performed through to
completion and shall see to it that the materials furnished and the work
performed are in accordance with the drawings, plans, specifications and
contract therefor.
f. If the corporation is the letting agency, whether as principal or
as agent for the state housing finance agency, the directors of the
corporation shall prepare separate specifications for, and solicit
separate and independent bids on, and award, separate contracts on the
subdivisions of work to be performed specified in section one hundred
thirty-five of the state finance law, but the directors of the
corporation may in their discretion assign such contracts for
supervision to the successful bidder for the remaining work to be
performed at the time the contracts for the particular mental hygiene
facility are awarded.
g. All contracts which are to be awarded pursuant to this paragraph
shall be awarded by public letting in accordance with the following
provisions, notwithstanding any contrary provision of section one
hundred thirty-six, one hundred thirty-nine or one hundred forty of the
state finance law, except that in the discretion of the directors of the
corporation, a contract may be entered into for such purposes without
public letting where the estimated expense thereof is no more than forty
thousand dollars:
(i) If contracts are to be publicly let, the directors of the
corporation shall advertise the invitation to bid in a newspaper
published in the county of Albany and in such other newspapers as will
be most likely in their opinion to give adequate notice to contractors
of the work required and of the invitation to bid. The invitation to bid
shall contain such information as the directors of the corporation shall
deem appropriate and a statement of the time and place where all bids
received pursuant to such notice will be publicly opened and read.
(ii) The directors of the corporation shall not award any contract
after public bidding except to the lowest bidder who in their opinion is
qualified to perform the work required and is responsible and reliable.
The directors of the corporation may, however, reject any or all bids,
again advertise for bids, or waive any informality in a bid if they
believe that the public interest will be promoted thereby. The directors
of the corporation may reject any bid if in their judgment the business
and technical organization, plant, resources, financial standing or
business experience of the bidder, compared with the work to be
performed, justify such rejection.
(iii) The invitation to bid and the contract awarded shall contain
such other terms and conditions, and such provisions for penalties, as
the directors of the corporation may deem desirable.
(iv) The directors of the corporation shall require such deposits,
bonds and security in connection with the submission of bids, the award
of contracts and the performance of work as they shall determine to be
in the public interest and for the protection of the state and affected
state agencies, including the corporation.
h. The directors of the corporation shall determine when minor work of
construction, reconstruction, alteration or repair of any mental hygiene
facility may be done by special order. Special orders for such work
shall be short-form contracts approved by the attorney general and by
the comptroller. No work shall be done by special order in an amount in
excess of twenty thousand dollars and a bond shall not be required for
special orders. No work shall be done by special order unless the
directors have presented to the comptroller evidence that they have made
a diligent effort to obtain competition sufficient to protect the
interests of the state prior to selecting the contractor to perform the
work. Notwithstanding the provisions of paragraph g of this subdivision,
work done by special order under this paragraph may be advertised
through the regular public notification service of the office of general
services or the state register. At least five days shall elapse between
the first publication of such public notice and the date so specified
for the public opening of bids. The directors may also authorize the
corporation to enter into special order contracts using bids advertised
for, received and opened by any office of the department, in compliance
with this act and all other applicable laws, and transmitted to the
corporation. All payments on special orders shall be made on the
certificate of the directors of the corporation and audited and approved
by the state comptroller. All special orders shall contain a clause that
the special order shall only be deemed executory to the extent of the
moneys available and no liability shall be incurred by the state beyond
the moneys available for the purpose.
3. Resources of the corporation. a. Subject to the provisions of this
act, the directors of the corporation shall receive, accept, invest,
administer, expend and disburse for its corporate purposes, other than
for the purposes of any health facilities improvement program, (i) all
payments made on or after January 1, 1964, for the care, maintenance and
treatment of patients in every mental hygiene facility, other than a
community mental health and retardation facility or a mental hygiene
facility made available under license or permit from the corporation to
a voluntary agency for use in providing community mental health and
retardation services, or an office of alcoholism and substance abuse
services facility made available under license or permit from the
corporation to a voluntary agency for use in the conduct of an
alcoholism or substance abuse treatment program, (ii) all payments made
to the corporation by a lessee or permittee as rentals, permit fees or
otherwise under any lease, sublease, permit or agreement undertaken with
respect to a community mental health and retardation facility or current
or former mental hygiene facility or from a voluntary agency with
respect to a mental hygiene facility made available under lease, license
or permit from the corporation to a voluntary agency, and (iii) all
payments made to the corporation for the purchase of real property held
by the corporation for the use of the department, other than payments
derived from New York state medical care facilities finance agency
financing or refinancing of the design, construction, acquisition,
reconstruction, rehabilitation, improvement or renovation of state
operated mental hygiene facilities, and may receive, accept, invest,
administer, expend and disburse for its corporate purposes, other than
for the purposes of any health facilities improvement program,
appropriations or advances from the capital projects fund and the state
purposes account of the general fund of the state, and other revenues
and monies made available or to be made available to the corporation
from any or all sources, including gifts, grants, loans and payments
from the federal government, any state agency, any county, city, town or
village, any private foundation, organization or individual, or any
other source, for the construction, acquisition, reconstruction,
rehabilitation and improvement of mental hygiene facilities, and for the
maintenance and repair of such facilities.
b. All monies of the corporation received or accepted pursuant to
paragraph a of this subdivision, other than appropriations and advances
from the state and except as otherwise authorized or provided in this
section, shall be paid to the commissioner of taxation and finance as
agent of the corporation, who shall not commingle such monies with any
other monies. Such monies shall be deposited in two or more separate
bank accounts. One of such accounts, to which shall be credited (i) all
payments made on or after January 1, 1964, for the care, maintenance and
treatment of patients in every mental hygiene facility, other than a
community mental health and retardation facility, (ii) all payments made
to the corporation as rentals, lease payments, permit fees or otherwise
under any lease, sublease or agreement undertaken with respect to a
community mental health and retardation facility or a current or former
mental hygiene facility, (iii) all payments made to the corporation for
the purchase of real property held by the corporation for the use of the
department, other than payments derived from New York state medical care
facilities finance agency financing or refinancing of the design,
construction, acquisition, reconstruction, rehabilitation, improvement
or renovation of state operated mental hygiene facilities, (iv) all
income from investments and (v) all monies received or to be received
for the purposes of such account on a recurring basis, shall be
denominated the "mental hygiene facilities improvement fund income
account". The monies in any account shall be paid out on checks signed
by the commissioner of taxation and finance on requisition of the
chairman of the corporation or of such other officer or employee or
officers or employees as the corporation shall authorize to make such
requisition. All deposits of such money shall, if required by the
commissioner of taxation and finance or the directors of the
corporation, be secured by obligations of the United States or of the
state of a market value equal at all times to the amount of the deposit
and all banks and trust companies are authorized to give such security
for such deposits. Any moneys of the corporation not required for
immediate use or disbursement may, at the discretion of the corporation,
be invested by the commissioner of taxation and finance in accordance
with the provisions of section 98-a of the state finance law. When the
corporation is no longer required to make any rental payments under any
lease, sublease or agreement entered into with the state housing finance
agency in effect as of the effective date of this amendment to this
paragraph, all monies received or accepted pursuant to paragraph a of
this subdivision, other than appropriations and advances from the state
and except as otherwise authorized or provided in this section, shall be
deposited into the mental health services fund established by section
97-f of the state finance law. Any monies remaining in the mental
hygiene facilities improvement fund income account and in any rental
reserve account created pursuant to paragraph c of subdivision 4 of this
section, when such lease, sublease or agreement is no longer in effect
shall be deposited in the mental health services fund.
c. Subject to the terms of any lease, sublease or agreement undertaken
by the corporation, any such monies of the corporation, not required for
immediate use may, at the discretion of the corporation, be invested by
the commissioner of taxation and finance in obligations of the United
States or the state or obligations the principal and interest of which
are guaranteed by the United States or the state.
d. No lease, sublease or other agreement relating to an alcoholism or
substance abuse facility shall be undertaken by the corporation pursuant
to this subdivision unless the appropriate division of the office of
alcoholism and substance abuse shall have approved the terms thereof.
e. The directors of the corporation shall at all times maintain on
deposit in the mental hygiene facilities improvement fund income account
the aggregate amount of money needed by the corporation during the next
succeeding twelve calendar months to comply in full with all obligations
of the corporation under the terms of every lease, sublease or agreement
undertaken by the corporation which is then in effect, including without
limitation by the specification thereof, (i) the amount needed to make
rental payments thereunder during such year, and (ii) the amount needed
to establish and maintain reserves thereunder during such year provided,
however, that the provisions of this paragraph shall not apply with
respect to agreements entered into pursuant to section nine-a of the New
York state medical care facilities finance agency act.
f. The directors of the corporation shall from time to time, but in no
event later than the fifteenth day of each month pay over to the
commissioner of taxation and finance and the state comptroller for
deposit in the mental health services fund, all monies of the
corporation in excess of the aggregate amount of money required to be
maintained on deposit in the mental hygiene facilities improvement fund
income account pursuant to paragraph e of this subdivision. Prior to
making any such payment, the chairman of the corporation shall, on
behalf of the directors, make and deliver to the governor and the
director of the budget his certificate stating the aggregate amount to
be maintained on deposit in the mental hygiene facilities improvement
fund income account to comply in full with the provisions of paragraph e
of this subdivision.
4. Agreements. a. Upon certification by the director of the budget of
the availability of required appropriation authority, the corporation,
or any successor agency, is hereby authorized and empowered to enter
into leases, subleases, loans and other financing agreements with the
state housing finance agency and/or the state medical care facilities
finance agency, and to enter into such amendments thereof as the
directors of the corporation, or any successor agency, may deem
necessary or desirable, which shall provide for (i) the financing or
refinancing of or the design, construction, acquisition, reconstruction,
rehabilitation or improvement of one or more mental hygiene facilities
or for the refinancing of any such facilities for which bonds have
previously been issued and are outstanding, and the purchase or
acquisition of the original furnishings, equipment, machinery and
apparatus to be used in such facilities upon the completion of work,
(ii) the leasing to the state housing finance agency or the state
medical care facilities finance agency of all or any portion of one or
more existing mental hygiene facilities and one or more mental hygiene
facilities to be designed, constructed, acquired, reconstructed,
rehabilitated or improved, or of real property related to the work to be
done, including real property originally acquired by the appropriate
commissioner or director of the department in the name of the state
pursuant to article seventy-one of the mental hygiene law, (iii) the
subleasing of such facilities and property by the corporation upon
completion of design, construction, acquisition, reconstruction,
rehabilitation or improvement, such leases, subleases, loans or other
financing agreements to be upon such other terms and conditions as may
be agreed upon, including terms and conditions relating to length of
term, maintenance and repair of mental hygiene facilities during any
such term, and the annual rentals to be paid for the use of such
facilities, property, furnishings, equipment, machinery and apparatus,
and (iv) the receipt and disposition, including loans to voluntary
agencies, of proceeds of mental health service facilities bonds or notes
issued pursuant to section nine-a of the New York state medical care
facilities finance agency act. For purposes of the design, construction,
acquisition, reconstruction, rehabilitation or improvement work required
by the terms of any such lease, sublease or agreement, the corporation
shall act as agent for the state housing finance agency or the state
medical care facilities finance agency. In the event that the
corporation enters into an agreement for the financing of any of the
aforementioned facilities with the state housing finance agency or the
state medical care facilities finance agency, or in the event that the
corporation enters into an agreement for the financing or refinancing of
any of the aforementioned facilities with one or more voluntary
agencies, it shall act on its own behalf and not as agent. The
appropriate commissioner or director of the department on behalf of the
department shall approve any such lease, sublease, loan or other
financing agreement and shall be a party thereto. All such leases,
subleases, loans or other financing agreements shall be approved prior
to execution by no less than three directors of the corporation.
b. To secure the payment of moneys or rentals due or to become due in
any year under any lease, sublease, loan or other financing agreement
entered into with the state housing finance agency or the state medical
care facilities finance agency, pursuant to paragraph a of this
subdivision, the directors of the corporation may pledge or assign any
or all monies in the mental hygiene facilities improvement fund income
account and in any rental reserve account established pursuant to
paragraph c of this subdivision, and any or all monies which may be
receivable by the corporation and credited to either or both such
accounts in the future, whether equal to or in excess of the amount of
such rentals due or becoming due in any year, and any or all right,
title and interest of the corporation in and to the monies in or to be
deposited in such accounts.
c. The corporation may create and establish one or more separate
accounts to be known as "rental reserve accounts" and may pay into such
reserve accounts (i) any monies apportioned and paid by the state for
the purposes of such reserve account pursuant to this paragraph, (ii)
any monies in the mental hygiene facilities improvement fund income
account transferred to such reserve accounts by the directors of the
corporation pursuant to any lease, sublease or other agreement
undertaken by the corporation, and (iii) any other monies which may be
made available to the corporation from any source or sources
specifically for the purposes of such reserve accounts.
The monies credited to any rental reserve account established under
this paragraph shall be used, except as hereinafter provided, solely for
the payment of rentals as they become due under one or more of the
leases, subleases and agreements referred to in paragraph a of this
subdivision, provided, however, that the monies in such account shall
not be withdrawn therefrom at any time in such amount as would reduce
the amount thereof to less than the maximum amount of rental becoming
due in any succeeding calendar year under such leases, subleases and
agreements, except for the purpose of paying such rentals becoming due
for the payment of which other moneys of the corporation are not
available.
Subject to the terms of any lease, sublease or agreement referred to
in paragraph a of this subdivision, monies in a rental reserve account
not required for immediate use or disbursement may be invested in
obligations of the United States or the state or obligations the
principal and interest of which are guaranteed by the United States or
the state. In computing the amount of a rental reserve account for the
purposes of this paragraph, securities in which all or a portion of the
account are invested shall be valued at their market value as of a date
within seven days preceding the date of the computation or at their cost
to the corporation, whichever is less.
Any excess in a rental reserve account as of the last day of any state
fiscal year over the maximum amount of rental becoming due in any
succeeding calendar year under such lease agreements shall be withdrawn
by the corporation from such account and transferred to the mental
hygiene facilities improvement fund income account to be used for the
corporate purposes of the corporation, other than for the purposes of
any health facilities improvement program.
In order further to secure the maintenance in all rental reserve
accounts established pursuant to this paragraph of an amount equal to
the maximum amount of rental becoming due in any succeeding calendar
year under the leases, subleases and agreements to which the reserve
account relates, there shall be annually apportioned and paid to the
corporation for deposit in such rental reserve accounts such sum, if
any, as shall be certified by the chairman of the corporation to the
governor and director of the budget as necessary to restore such
accounts to an amount equal to the maximum amount of rental becoming due
in any succeeding calendar year under such leases, subleases and
agreements. The chairman of the corporation shall annually, on or before
December first, make and deliver to the governor and director of the
budget his certificate stating the amount, if any, required to restore
such rental reserve accounts to the amount aforesaid and the amount so
stated in said certificate, if any, shall be apportioned and paid to the
corporation during the then current state fiscal year.
d. No lease, sublease or other agreement shall be undertaken by the
corporation pursuant to this section unless the governor, or where so
designated by the governor for such purpose, the director of the budget,
shall have approved the terms thereof.
e. The attorney general shall pass upon the form and sufficiency and
manner of execution of any lease, sublease or other agreement entered
into pursuant to this section and the same shall not be effective unless
so approved by him.
f. The state shall not be liable for any rentals, loan, or other
payments payable by the corporation pursuant to the terms of a lease,
sublease, loan or other financing agreement entered into pursuant to
this section, and such lease, sublease, loan or other financing
agreement shall contain among its terms a statement to such effect.
5. Jurisdiction of mental hygiene facilities; maintenance and repair.
On and after the effective date of this act, the corporation shall be
entitled to exclusive possession, jurisdiction, supervision and control
of all real property, including mental hygiene facilities, theretofore
acquired and held for department purposes and of all mental hygiene
facilities thereafter constructed or acquired, and, to all payments made
after January first, nineteen hundred sixty-four, for the care,
maintenance and treatment of patients at such mental hygiene facilities.
The directors of the corporation shall make available to the
appropriate commissioner of the department for use in the care,
maintenance and treatment of the mentally disabled, all such real
property and facilities including newly constructed, acquired,
reconstructed, rehabilitated and improved facilities, together with the
original furnishings, equipment, machinery and apparatus therein, as
soon as practicable after the completion of work. Responsibility for the
maintenance and upkeep of such property, for the maintenance and routine
repair of such facilities, and for the replacement of furnishings,
equipment, apparatus and machinery, shall be in the appropriate
commissioner of the department, provided, however, if the terms of any
lease, sublease, loan or other financing agreement entered into between
the corporation and the state housing finance agency or the state
medical care facilities finance agency, pursuant to subdivision four of
this section so require, such responsibility shall be in the directors
of the corporation until the termination of such lease, sublease, loan
or other financing agreement.
The care, maintenance and treatment of the mentally disabled at all
mental hygiene facilities shall remain at all times the responsibility
of the appropriate commissioner of the department in accordance with the
provisions of the mental hygiene law.
Notwithstanding the foregoing provisions of this subdivision, title to
all real property on which mental hygiene facilities, other than those
owned or leased by voluntary agencies, are located shall continue to be
vested in the people of the state until conveyed in accordance with law.
The provisions of this subdivision shall not apply to community mental
health and retardation facilities.
6. Notwithstanding any provision of any general, special or local law
or of any charter:
a. The governing body, as such term is defined in article forty-one of
the mental hygiene law (except that with respect to the city of New York
such term shall mean the board of estimate), of a city or county may,
upon such terms and conditions as shall be approved by such governing
body and for such consideration, if any, as may be determined by such
governing body, but not to exceed the cost of acquisition thereof and
the cost of improvements thereon, exclusive of any costs reimbursed or
to be reimbursed in accordance with the provisions of article forty-one
of the mental hygiene law otherwise, execute and deliver to the
corporation a lease for a term not exceeding forty years or a deed (i)
conveying to the corporation real property and one or more community
mental health and retardation facilities of the city or county located
thereon, a portion of the costs of which facilities are eligible for
state reimbursement in accordance with the provisions of article
forty-one or article twenty-five of the mental hygiene law or (ii)
conveying to the corporation real property of the city or county or an
interest therein, for the purpose of causing to be constructed,
reconstructed, rehabilitated or improved thereon one or more community
mental health and retardation facilities pursuant to this act, such
community mental health and retardation facilities to be made available
to such county or city for use and occupancy under lease, sublease or
other agreement upon such terms and conditions as may be agreed upon,
including terms and conditions relating to length of terms, maintenance
and repair of community mental health and retardation facilities during
such term and the annual rentals to be paid therefor for the use
thereof. The corporation is hereby authorized to accept any such lease
or conveyance, to hold such real property, to enter into a lease,
sublease or other agreement with such city or county for the purpose of
making such community mental health and retardation facility so acquired
or to be constructed, reconstructed, rehabilitated or improved thereon
available for use and occupancy by such city or county, and to lease or
convey real property so acquired to the New York state housing finance
agency or the medical care facilities finance agency, provided, however,
that any such further lease or conveyance shall be solely for the
purpose of causing community mental health and retardation facilities to
be acquired, constructed, reconstructed, rehabilitated or improved
thereon, such community mental health and retardation facilities to be
made available to such city or county for use and occupancy under a
lease, sublease or other agreement between the corporation and such city
or county, upon such terms and conditions as may be agreed upon. No such
lease or conveyance from the corporation to the New York state housing
finance agency or the state medical care facilities finance agency shall
be for a consideration in excess of the cost of acquisition of such real
property and the costs of improvements thereon. The appropriate
commissioner of the department, on behalf of his office, and the
director of the budget shall approve all leases, subleases or
agreements, whether between the corporation and such city or county or
between the corporation and the housing finance agency or the state
medical care facilities finance agency, and the appropriate commissioner
of the department shall be a party thereto. The appropriate division of
the office of alcoholism and substance abuse shall also approve all such
leases, subleases or agreements relating to the construction,
reconstruction, rehabilitation or improvement of community mental health
and retardation facilities, constituting alcoholism or substance abuse
facilities for use in an alcoholism or substance abuse treatment program
as defined in the mental hygiene law.
b. In the event that the corporation shall fail, within five years
after the date of such lease or conveyance, to construct, reconstruct,
rehabilitate or improve the community mental health and retardation
facility or facilities thereon for which such lease or conveyance was
made, or to cause the same to be done, as provided for in a lease,
sublease or other agreement entered into with such city or county, then,
subject to the terms of any lease, sublease or other agreement
undertaken by the New York state housing finance agency or the state
medical care facilities finance agency, with respect thereto, such real
property and any facilities thereon shall revert to such city or county
with right of re-entry thereupon, and such lease or deed shall be made
subject to such condition of reverter and re-entry; provided, however,
that as a condition precedent to the exercise of such right of re-entry,
such city or county shall pay an amount equal to the sum of the purchase
price of such real property, the depreciated cost of any facility or
facilities constructed, reconstructed, rehabilitated or improved
thereon, and all other costs of the corporation or the New York state
housing finance agency or the state medical care facilities finance
agency incident to the costs of the acquisition of such real property
and the financing of construction, reconstruction, rehabilitation or
improvement relating to such facility or facilities, all as provided in
the aforesaid lease, sublease or other agreement entered into with such
city or county.
c. No real property or interest therein shall be acquired by the
corporation pursuant to this subdivision unless title thereto shall have
been approved by the attorney general.
d. The attorney general shall pass upon the form and sufficiency and
manner of execution of any deed of conveyance and of any lease of real
property authorized to be given under this subdivision by any city or
county to the corporation, and any lease, sublease or agreement between
the corporation and a city or county, and the same shall not be
effective unless such deed, lease, sublease or agreement shall be so
approved by him.
e. The cost of construction, acquisition, reconstruction,
rehabilitation or improvement of community mental health and retardation
facilities undertaken by the corporation pursuant to this act may
include the cost of acquisition of any real property leased or conveyed
to the corporation pursuant to paragraph a of this subdivision six and
the cost of the original furnishing, equipment, machinery and apparatus
as determined by the corporation.
f. The provisions of this act shall not be deemed to prevent a city or
county from financing the cost of constructing, acquiring,
reconstructing, rehabilitating or improving a community mental health
and retardation facility by the issuance of bonds or capital notes of
such city or county pursuant to the local finance law.
§ 9-a. Equal employment opportunity program. 1. All contracts for
design, construction, services and materials executed by the corporation
pursuant to the provisions of this act, other than contracts the cost of
which is borne solely by a municipality or municipalities, and all
documents soliciting bids or proposals therefor shall contain or make
reference to the following provisions:
(a) The contractor will not discriminate against employees or
applicants for employment because of race, creed, color, national
origin, sex, age, disability, or marital status, and will undertake or
continue existing programs of affirmative action to ensure that minority
group persons and women are afforded equal opportunity without
discrimination. Such programs shall include, but not be limited to,
recruitment, employment, job assignment, promotion, upgrading, demotion,
transfer, layoff, termination, rates of pay or other forms of
compensation, and selections for training or retraining, including
apprenticeship and on-the-job training.
(b) At the request of the corporation, the contractor shall request
each employment agency, labor union, or authorized representative of
workers with which it has a collective bargaining or other agreement or
understanding and which is involved in the performance of the contract
with the corporation to furnish a written statement that such employment
agency, labor union or representative shall not discriminate because of
race, creed, color, national origin, sex, age, disability or marital
status and that such union or representative will cooperate in the
implementation of the contractor's obligations hereunder.
(c) The contractor will state, in all solicitations or advertisements
for employees placed by or on behalf of the contractor in the
performance of the contract with the corporation, that all qualified
applicants will be afforded equal employment opportunity without
discrimination because of race, creed, color, national origin, sex, age,
disability or marital status.
(d) The contractor will include the provisions of paragraph (a)
through (c) of this subdivision in every subcontract or purchase order
in such a manner that such provisions will be binding upon each
subcontractor or vendor as to its work in connection with the contract
with the corporation.
2. The corporation shall establish procedures and guidelines to ensure
that contractors and subcontractors undertake programs of affirmative
action and equal employment opportunity as required by this section.
Such procedures may require after notice in a bid solicitation, the
submission of an affirmative action program prior to the award of any
contract, or at any time thereafter, and may require the submission of
compliance reports relating to the operation and implementation of any
affirmative action program adopted hereunder. The corporation may take
appropriate action including contractual sanctions for noncompliance to
effectuate the provisions of this section and shall be responsible for
monitoring compliance with this act.
§ 9-b. Minority and women-owned business enterprise program. 1. (a)
Minority and women-owned business enterprises shall be given the
opportunity for meaningful participation in all contracts executed by
the corporation pursuant to the provisions of this act other than
contracts the cost of which is borne solely by a municipality or
municipalities. The corporation shall establish measures and procedures
to secure meaningful participation and identify those contracts and
items of work for which minority and women-owned business enterprises
may best bid to actively and affirmatively promote and assist their
participation in the projects, so as to facilitate the award of a fair
share of contracts to such enterprises; provided, however, that nothing
in this act shall be construed to limit the ability of the corporation
to assure that qualified minority and women-owned business enterprises
may participate in the program. For purposes hereof, minority business
enterprise shall mean any business enterprise which is at least
fifty-one per centum owned by, or in the case of a publicly owned
business, at least fifty-one per centum of the stock of which is owned
by citizens or permanent resident aliens who are Black, Hispanic, Asian
or American Indian, Pacific Islander or Alaskan natives and such
ownership interest is real, substantial and continuing and have the
authority to independently control the day to day business decisions of
the entity for at least one year; and women-owned business enterprise
shall mean any business enterprise which is at least fifty-one per
centum owned by, or in the case of a publicly owned business, at least
fifty-one per centum of the stock of which is owned by citizens or
permanent resident aliens who are women, and such ownership interest is
real, substantial and continuing and have the authority to independently
control the day to day business decisions of the entity for at least one
year.
The provisions of this paragraph shall not be construed to limit the
ability of any minority or women-owned business enterprise to bid on any
contract.
(b) In the implementation of this section, the corporation shall
consider compliance by any contractor with the requirements of any
federal, state, or local law concerning minority and women-owned
business enterprises, which may effectuate the requirements of this
section. If the corporation determines that by virtue of the imposition
of the requirements of any such law, in respect to contracts, the
provisions thereof duplicate or conflict with this section, the
corporation may waive the applicability of this section to the extent of
such duplication or conflict.
(c) Nothing in this section shall be deemed to require that overall
state and federal requirements for participation of minority and
women-owned business enterprises in programs authorized under this act
be applied without regard to local circumstances to all projects or in
all communities.
2. In order to implement the requirements and objectives of this
section, the corporation shall establish procedures to monitor the
contractors' compliance with provisions hereof, provide assistance in
obtaining competing qualified minority and women-owned business
enterprises to perform contracts proposed to be awarded, and take other
appropriate measures to improve the access of minority and women-owned
business enterprises to these contracts.
§ 10. Monies of the corporation relating to health facilities
improvement program. Subject to the terms of any agreement between the
corporation and the state housing finance agency or the state medical
care facilities finance agency, as the case may be, and except as
otherwise authorized or provided by section nine of this act, all monies
received by the corporation shall be paid to the commissioner of
taxation and finance as agent of the corporation who shall not commingle
such monies with any other monies. Such monies shall be deposited in a
separate bank account or accounts. The monies in such account shall be
paid out on checks signed by the commissioner of taxation and finance on
requisition of the chairman of the corporation or such other officer or
employee or officers or employees as the corporation shall authorize to
make such requisitions. All deposits of such monies shall, if required
by the commissioner of taxation and finance, the state housing finance
agency or the state medical care facilities finance agency, be secured
by obligations of the United States or of the state of a market value
equal at all times to the amount of the deposit and all banks and trust
companies are authorized to give such security for such deposits.
Subject to the terms of any agreement between the corporation and the
state housing finance agency or the state medical care facilities
finance agency, as the case may be, the corporation shall have power to
invest any such monies not required for immediate use or disbursement in
obligations of the state or the United States government or obligations,
the principal and interest of which are guaranteed by the state or the
United States government, or invested in accordance with the provisions
of section 98-a of the state finance law.
§ 11. General fiscal requirements relating to the corporation. 1. The
chairman of the corporation shall annually, at such time as the governor
may request, prepare and submit to the governor and the director of the
budget, on behalf of the directors of the corporation, an itemized
budget request and any additional information required setting forth
financial needs by programs for the administration of the corporation
during the next succeeding state fiscal year including information as to
the payment or provision for payment of obligations of the corporation
expected to be required during such year under the terms of all leases,
subleases and agreements expected to be undertaken by the corporation.
The governor shall annually submit his recommended budget for the
administration of the corporation to the legislature. The legislature
shall act on such request and make appropriations for all administrative
expenses of the corporation.
2. The comptroller, or his legally authorized representative, is
hereby authorized and empowered from time to time to examine the books
and accounts of the corporation, including its receipts and
disbursements and any other matters relating to its financial standing.
Such an examination shall be conducted by the comptroller at least once
every five years; the comptroller is authorized, however, to accept from
the corporation, in lieu of such examination, an external examination of
its books and accounts made at the request of the corporation.
§ 12. Actions by and against the corporation. 1. The state supreme
court shall have exclusive jurisdiction of any action, suit or special
proceeding brought by or against or involving the corporation. The venue
of any action, suit or special proceeding brought against the
corporation shall be laid in the county of Albany.
2. In every action against the corporation for damages, for injuries
to real or personal property, or for the destruction thereof, or for
personal injuries or death, the complaint shall contain an allegation
that at least thirty days have elapsed since the demand, claim or claims
upon which such action is founded were presented to a director or
officer of the corporation and that the corporation has neglected or
refused to make an adjustment or payment thereof for thirty days after
such presentment.
3. Except in an action for wrongful death, an action against the
corporation for damages for injuries to real or personal property, or
for the destruction thereof, or for personal injuries, alleged to have
been sustained, shall not be commenced more than one year and ninety
days after the cause of action therefor shall have accrued, nor unless a
notice of intention to commence such action and of the time when and
place where the damages or personal injuries were incurred or sustained,
together with a verified statement showing in detail the property
alleged to have been damaged or destroyed and the value thereof, or the
personal injuries, alleged to have been sustained, and by whom, shall
have been filed with a member or officer of the corporation in the
principal office of the corporation within ninety days after such cause
of action shall have accrued. An action against the corporation for
wrongful death shall be commenced in accordance with the notice of claim
and time limitation provisions of title eleven of article nine of the
public authorities law.
4. All of the provisions of sections seventeen and nineteen of the
public officers law shall apply to the directors, officers and employees
of the corporation.
§ 13. Tax exemption of monies and property of the corporation. The
monies and property of the corporation and its operations shall be
exempt from taxation.
§ 14. Cooperation and assistance from other state agencies. 1. The
departments of health, mental hygiene and law, the division of the
budget, the office of general services, the state housing finance
agency, the state medical care facilities finance agency, the state
agency designated to implement an act of congress known as the
comprehensive health planning and public health services amendments of
nineteen hundred sixty-six (Public Law 89-749) and all other state
agencies shall cooperate with and assist the corporation in the
fulfillment of its corporate purposes and in the exercise of its
corporate powers under this act and may render such services to the
corporation within their respective functions as the directors of the
corporation may reasonably request.
2. Subject to the approval of the office of alcoholism and substance
abuse services and to the terms of any lease, sublease or other
agreement with the state housing finance agency, the corporation,
whether as principal or as agent for the state housing finance agency,
is hereby authorized and empowered to provide facilities for the conduct
of alcoholism or substance abuse treatment programs by the office of
alcoholism and substance abuse services and as may be required by such
office in the performance of its duties, powers and functions as
specified in article nineteen of the mental hygiene law, including
construction, acquisition, reconstruction, rehabilitation, alteration
and improvement of buildings, structures and appurtenances, the purchase
and installation of furnishings and equipment, the acquisition of
property by purchase, lease or transfer, engineering, architectural and
consulting services. In the design, construction, acquisition,
reconstruction, rehabilitation, alteration and improvement of such
facilities the corporation shall be guided by the provisions of this act
relating to the design and construction of mental hygiene facilities,
provided, however, that subject to the terms of any lease, sublease or
other agreement with the state housing finance agency such facilities
and the approvals to be given for the design and construction thereof
shall be under the professional jurisdiction of the office of alcoholism
and substance abuse services and the corporation shall make such
facilities available to such office.
3. Notwithstanding the provisions of subdivision five of section nine
of this act, the directors of the corporation, subject to the terms of
any lease, sublease or other agreement with the state housing finance
agency, shall make available to the office of alcoholism and substance
abuse services for use as an alcoholism or substance abuse facility any
real property or facility under the jurisdiction of the corporation as
the office of alcoholism and substance abuse services shall request and
the commissioner shall certify is no longer necessary for use in the
care, maintenance and treatment of the mentally disabled. Such real
property or facility shall continue under the professional jurisdiction
of the office of alcoholism and substance abuse services until such
office shall certify that such real property or facility is no longer
necessary for use as an alcoholism or substance abuse facility,
whereupon all of the provisions of subdivision five of section nine of
this act shall govern. Responsibility for the maintenance and upkeep of
such real property or facility, for the maintenance and routine repair
of such real property or facility and for the replacement of
furnishings, equipment, apparatus and machinery shall, subject to the
terms of any lease, sublease or other agreement with the state housing
finance agency, be in the office of alcoholism and substance abuse
services so long as such real property or facility is under the
professional jurisdiction of such office. A copy of any certificate made
pursuant to this subdivision shall be filed with the director of the
budget.
§ 14-a. Special provisions relating to municipal facilities. 1. The
corporation is authorized to enter into an agreement with a municipality
for the design, construction, reconstruction, rehabilitation and
improvement for such municipality of a municipal building or buildings
at the sole cost and expense of such municipality. The corporation shall
enter into an agreement with a municipality prior to the commencement of
any corporation services. No agreement entered into between the
facilities development corporation and a municipality pursuant to this
section shall be effective until the director of the budget has
determined that the total estimated charge to be collected by the
corporation from the municipality is fair and reasonable in relationship
to the estimated total project cost and also that sufficient provisions
exist to insure the collection of such charge by the corporation from
the municipality. A municipality, by resolution of its governing body,
is hereby authorized to enter into an agreement with the corporation and
to provide for the payment to the corporation of all expenses incurred
at such time and in such amounts as shall be set forth in the agreement,
notwithstanding the provisions of any general, special or local law or
of any charter. The agreement shall contain such other terms and
conditions as may be agreed upon by the corporation and the
municipality.
2. In the design, construction, reconstruction, rehabilitation and
improvement of a municipal building or buildings pursuant to an
agreement entered into as provided in subdivision one of this section,
the corporation shall be governed by the applicable provisions relating
to the design and construction of health facilities as set forth in
paragraph d of subdivision two of section eight of this act.
3. The corporation shall, by regulation, prescribe a procedure or
procedures for the application by a municipality to the corporation for
its assistance, and the corporation's procedure or procedures for the
design, construction, reconstruction, rehabilitation and improvement of
a municipal building or buildings. Any such regulation shall be
submitted to the director of the budget for his approval prior to its
effectiveness.
§ 14-b. Special provisions relating to local correctional facilities.
1. The corporation is authorized to enter into an agreement with a
municipality providing for the design, construction, reconstruction,
rehabilitation and improvement for such municipality of a local
correctional facility, as such term is defined in section forty of the
correction law, including any place used by a municipality for the
detention of persons charged with or convicted of a crime, at the sole
cost and expense of such municipality. A municipality, by resolution of
its governing body, is hereby authorized to enter into such an agreement
with the corporation and to provide for the payment to the corporation
of all expenses incurred at such times and in such amounts as shall be
set forth in the agreement, notwithstanding the provisions of any
general, special or local law or of any charter. The agreement shall
contain such other terms and conditions as may be agreed upon by the
corporation and the municipality. The corporation shall enter into an
agreement with a municipality prior to the commencement of any
corporation services. No agreement entered into between the facilities
development corporation and a municipality pursuant to this section
shall be effective until the director of the budget has determined that
the total estimated charge to be collected by the corporation from the
municipality is fair and reasonable in relationship to the estimated
total project cost and also that sufficient provisions exist to insure
the collection of such charge by the corporation from the municipality.
The corporation shall by regulation prescribe a procedure or procedures
for the application by a municipality to the corporation for its
assistance and the corporation's procedure or procedures for the design,
construction, reconstruction, rehabilitation and improvement of a local
correctional facility. Any such regulation shall be submitted to the
director of the budget for his approval prior to its effectiveness.
2. In the design, construction, reconstruction, rehabilitation and
improvement of a local correctional facility pursuant to an agreement
entered into as provided in subdivision one of this section, the
corporation shall be governed by the applicable provisions relating to
the design and construction of health facilities as set forth in
paragraphs c and d of subdivision two of section eight of this act.
§ 15. Annual report of directors. The directors of the corporation
shall submit to the governor, the state agency designated by him to
implement the federal comprehensive health planning and public health
services amendments of nineteen hundred sixty-six (Public Law 89-749),
the public health council, the mental hygiene council, the commissioners
of health and the offices of the department of mental hygiene, the
legislature, the chairman of the senate finance committee and the
chairman of the assembly ways and means committee, annually on or before
October first, a full report of its activities and operations through
the thirty-first day of the preceding March, including details as to
projects in planning, projects in the process of construction,
acquisition, reconstruction, rehabilitation or improvements, and
projects completed, the performance record of the directors in
completing construction in accordance with the desired completion dates
and within the estimated cost recommended by the governor and approved
by the legislature, the architects, engineers and other private
consultants engaged by the directors of the corporation on a contract
basis and a statement of the total amount paid and yet to be paid, or
estimated yet to be paid, under each such contract, the letting agency
and successful bidder or bidders for each project, the monies made
available for the purposes of the corporation, details as to any lease,
sublease or agreement executed by the directors of the corporation with
the state housing finance agency or the state medical care facilities
finance agency, as the case may be, and the annual rentals required to
be paid on account thereof, and such other information related to the
activities and operation of the corporation as the directors of the
corporation may consider pertinent.
§ 15-a. Payment on corporation public work projects. Notwithstanding
the provisions of any other law to the contrary, all contracts for
public work awarded by the facilities development corporation pursuant
to this chapter shall be in accordance with section one hundred
thirty-nine-f of the state finance law.
§ 16. Separability. If any section, subdivision, paragraph, sentence,
clause or provision of this act shall be unconstitutional or be
ineffective in whole or in part, to the extent that it is not
unconstitutional or ineffective, it shall be valid or effective and no
other section, subdivision, paragraph, sentence, clause or provision
shall on account thereof be deemed invalid or ineffective.
§ 17. Inconsistent provisions of other laws superseded. Insofar as the
provisions of this article are inconsistent with the provisions of any
other law, general or special, the provisions of this act shall be
controlling.
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