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History
- Substituted by A6446
- Ordered to third reading cal.1191
- Reported and committed to rules
- Reported and committed to finance
- Referred to health
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Increase the amount of bonds and notes for the New York state medical care facilities finance agency
Signed by Governor · Sponsor James F. Brennan
Full text
The text isn't available here yet. Check nysenate.gov.
Sponsor's memo
BILL NUMBER:S4200
Title of bill
An act to amend the New York state medical care facilities finance agency act, in relation to the ability to issue certain bonds and notes
Purpose of bill
This bill would increase the authorization of the New York State Dormitory Authority ("Authority" or "Dormitory Authority"), as successor to the New York State Medical Care Facilities Finance Agency ("MCFFA") pursuant to the Health Care Financing Consolidation Act of 1995, to issue hospital and nursing home project bonds and notes from $15 billion to $15.8 billion dollars.
Summary of provisions
Section one of this bill would amend the MCFFA Act to increase the Authority's authorization to issue hospital and nursing home project bonds and notes from $15 billion to $15.8 billion dollars.
Section two of the bill sets forth the effective date.
Existing law
Paragraph (b) of subdivision 1 of section 7 of section 1 of Chapter 392 of the Laws of 1973, constituting the New York State Medical Care Facilities Finance Agency Act, as last amended by Chapter 238 of the Laws of 2009, provides that that the Authority shall not issue hospital and nursing home project bonds and notes in an aggregate principal amount exceeding $15 billion dollars.
Prior legislative history
This is a new bill.
Statement in support
The Dormitory Authority issues bonds for the purpose of funding mortgage loans or project loans to not-for-profit hospital and nursing home corporations. Some of the bonds issued for the Authority's hospital and nursing home clients are issued under the MCFFA Act's federally aided mortgage loan program, which involves obtaining Federal Housing Administration ("FHA") mortgage insurance.
Bonds issued pursuant to both of these programs are subject to the current hospital and nursing home project bond authorization cap in the MCFFA Act of $15 billion. This authorization was most recently increased by $800,000,000 in 2009.
As of January 10, 2011, the Dormitory Authority has sold and closed bond transactions in the amount of $622,500,000. Thus, $644,934,493 of capacity under the existing statutory limitation is available for other transactions. There are, however, currently four hospital and
nursing home financings in the Authority's current "pipeline" totaling about $315,000,000. This bill is necessary to ensure that the Authority has sufficient capacity to support additional projects as they seek financing.
Although the Authority cannot predict exactly when these proposed financings will actually occur, the Authority is seeking additional bond authorization at this time to ensure that it will be able to meet the needs of all its private not-for-profit health-care clients on a timely basis. Absent the timely enactment of this legislation, some hospital and nursing homes would be required to defer projects that are necessary to enable these institutions to meet the health care needs of those they serve.
Budget implications
There are no budget implications from this bill.
Effective date
The bill would take effect immediately upon enactment.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.