Header:
NEW YORK CONSOLIDATED LAW SERVICE
UNCONSOLIDATED LAWS
PUBLIC HEALTH
CHAPTER 214. FACILITIES DEVELOPMENT CORPORATION ACT
Date:
08/31/2009
Document:
ยง 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 [fig 1] 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 [fig 2] 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.
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