0001| SENATE BILL 906
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0002| 43rd legislature - STATE OF NEW MEXICO - first session, 1997
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0003| INTRODUCED BY
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0004| FERNANDO R. MACIAS
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0005|
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0006|
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0007|
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0008|
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0009|
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0010| AN ACT
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0011| RELATING TO HEALTH CARE; AMENDING AND ENACTING CERTAIN SECTIONS
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0012| OF THE NMSA 1978 CHANGING THE HOSPITAL EQUIPMENT LOAN ACT TO
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0013| THE HEALTH CARE FINANCE ACT AND PROVIDING FINANCING
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0014| OPPORTUNITIES FOR HEALTH CARE PROVIDERS IN THE STATE; DECLARING
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0015| AN EMERGENCY.
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0016|
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0017| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
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0018| Section 1. Section 4-48A-29 NMSA 1978 (being Laws 1987,
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0019| Chapter 49, Section 10, as amended) is amended to read:
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0020| "4-48A-29. AGREEMENTS WITH THE NEW MEXICO [HOSPITAL
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EQUIPMENT LOAN] HEALTH CARE FINANCE COUNCIL--AUTHORITY--
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0022| SECURITY--RESTRICTIONS AND LIMITATIONS [AND OTHER DETAILS].--
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0023| A. [A] The board of trustees of a special
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0024| hospital district may enter into a lease, loan or other
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0025| financing agreement, with a term not exceeding thirty years
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0001| from the date of execution, with the New Mexico [hospital
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equipment loan] health care finance council created under
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0003| the [Hospital Equipment Loan] Health Care Finance Act to
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0004| acquire funds for [the construction, purchase, renovation,
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remodeling, equipping, reequipping or refinancing of hospital
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facilities under its control, for the purchase of the land
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necessary therefor] a health-related project as defined in
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0008| that act and for refunding revenue bonds previously issued for
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0009| [any of the foregoing purposes] such project or for any
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0010| combination thereof.
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0011| B. The board of trustees of a special hospital
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0012| district entering into agreement with the New Mexico [hospital
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equipment loan] health care finance council may pledge
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0014| irrevocably all or a portion of the revenues derived from the
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0015| operation of a hospital facility and revenues derived from the
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0016| leasing of or other contractual arrangement for the operation
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0017| of a hospital facility for the payment of rentals, principal
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0018| and interest and any other amount or obligation required under
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0019| the lease, loan or other financing agreement with the [New
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Mexico hospital equipment loan] council.
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0021| C. At a regular or special meeting called for the
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0022| purpose of approving the execution and delivery of a lease,
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0023| loan or other financing agreement with the New Mexico hospital
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0024| equipment loan] health care finance council as authorized in
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0025| this section, the board of trustees may adopt a resolution
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0001| declaring the necessity for entering into the lease, loan or
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0002| other financing agreement with the [New Mexico hospital
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equipment loan] council; authorizing the entering into of the
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0004| lease, loan or other financing agreement with the [New Mexico
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hospital equipment loan] council; and designating the source
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0006| of the pledged revenues for the payment or repayment of
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0007| rentals, principal and interest and any other amounts and
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0008| obligations required under the lease, loan or other financing
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0009| agreement with the [New Mexico hospital equipment loan]
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0010| council.
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0011| D. The rentals, principal and interest and any
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0012| other amounts and obligations owed under a lease, loan or other
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0013| financing agreement with the New Mexico [hospital equipment
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loan] health care finance council shall be payable solely
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0015| out of all or a portion of the revenues derived from the
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0016| ownership and operation of a hospital facility and revenues
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0017| derived from the leasing of or other contractual arrangement
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0018| for the operation of a hospital facility [for which the lease,
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loan or other financing agreement with the New Mexico hospital
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equipment loan council is entered into]. The amount and
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0021| obligations under a lease, loan or other financing agreement
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0022| with the [New Mexico hospital equipment loan] council entered
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0023| into under the authority of the Special Hospital District Act
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0024| shall never constitute an indebtedness of the special hospital
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0025| district or the county or counties in which the special
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0001| hospital district is located within the meaning of any state
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0002| constitutional provision or statutory limitation and shall
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0003| never constitute or give rise to a pecuniary liability or
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0004| charge against the general credit or taxing power of the
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0005| special hospital district or the county or counties in which
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0006| the special hospital district is located [or charge against
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its general credit or taxing power].
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0008| E. The rentals, principal and interest and any
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0009| other amounts and obligations owed under a lease, loan or other
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0010| financing agreement with the New Mexico [hospital equipment
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loan] health care finance council shall be secured by the
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0012| pledge of the revenues out of which such rentals, principal and
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0013| interest and any other amounts and obligations shall be payable
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0014| and may be secured by a mortgage covering all or any part of a
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0015| hospital facility [from which the revenues so pledged may be
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derived].
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0017| F. The resolution or proceedings under which the
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0018| lease, loan or other financing agreement are authorized to be
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0019| entered into or any mortgage relating thereto may contain any
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0020| agreement and provisions customarily contained in instruments
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0021| securing leases, loans or other financing arrangements,
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0022| including, without limiting the generality of the foregoing,
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0023| provisions respecting the designation and collection of the
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0024| revenues from a hospital facility covered by such proceedings
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0025| or mortgage, the maintenance and insurance of such hospital
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0001| facility, the creation and maintenance of special funds derived
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0002| from the revenues relating to such hospital facility and the
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0003| rights and remedies available in event of default to the New
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0004| Mexico [hospital equipment loan] health care finance
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0005| council under a mortgage, all as the board of trustees shall
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0006| deem advisable and as shall not conflict with the provisions of
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0007| the Special Hospital District Act.
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0008| G. No notice, consent or approval by any
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0009| governmental body, commission or public officer shall be
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0010| required as a prerequisite to the entering into of a lease,
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0011| loan or other financing agreement with the New Mexico
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0012| [hospital equipment loan] health care finance council or
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0013| the making of a mortgage under the authority of the Special
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0014| Hospital District Act, except as provided in this section."
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0015| Section 2. Section 4-48B-28 NMSA 1978 (being Laws 1987,
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0016| Chapter 49, Section 9, as amended) is amended to read:
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0017| "4-48B-28. AGREEMENTS WITH THE NEW MEXICO [HOSPITAL
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EQUIPMENT LOAN] HEALTH CARE FINANCE COUNCIL--AUTHORITY--
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0019| SECURITY--RESTRICTIONS AND LIMITATIONS [AND OTHER DETAILS].--
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0020| A. A county or counties agreeing jointly under
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0021| Section 4-48B-9 NMSA 1978, [and] a county or counties
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0022| entering into an agreement with a municipality under Section
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0023| 4-48B-9 NMSA 1978 or a hospital governing board appointed
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0024| under Section
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0025| 4-48B-10 NMSA 1978 may enter into a lease, loan or other
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0001| financing agreement, with a term not exceeding thirty years
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0002| from the date of execution, with the New Mexico [hospital
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equipment loan] health care finance council created under
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0004| the [Hospital Equipment Loan] Health Care Finance Act to
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0005| acquire funds for [the construction, purchase, renovation,
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remodeling, equipping, reequipping or refinancing of a county
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hospital or a jointly owned county-municipal hospital, for
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purchasing the land necessary therefor] a health-related
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0009| project as defined in that act and for refunding revenue bonds
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0010| previously issued for [any of the foregoing purposes] such
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0011| project or for any combination thereof.
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0012| B. [The] Any county or [counties] hospital
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0013| governing board entering into an agreement with the New Mexico
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0014| [hospital equipment loan] health care finance council may
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0015| pledge irrevocably all or a portion of the revenues derived
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0016| from the operation of the county hospital or jointly owned
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0017| county-municipal hospital and revenues derived from the leasing
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0018| of or other contractual arrangement for the operation of the
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0019| county hospital or jointly owned county-municipal hospital for
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0020| the payment of rentals, principal and interest and any other
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0021| amount or obligation required under the lease, loan or other
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0022| financing agreement with the New Mexico [hospital equipment
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loan] health care finance council.
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0024| C. At a regular or special meeting called for the
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0025| purpose of approving the execution and delivery of a lease,
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0001| loan or other financing agreement with the New Mexico
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0002| [hospital equipment loan] health care finance council as
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0003| authorized in this section, [the] any county or hospital
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0004| governing board may adopt a resolution or other proceedings
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0005| declaring the necessity for entering into the lease, loan or
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0006| other financing agreement with the [New Mexico hospital
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equipment loan] council; authorizing the entering into of the
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0008| lease, loan or other financing agreement with the [New Mexico
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hospital equipment loan] council; and designating the source
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0010| of the pledged revenues for the payment or repayment of
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0011| rentals, principal and interest and any other amounts and
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0012| obligations required under the lease, loan or other financing
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0013| agreement with the [New Mexico hospital equipment loan]
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0014| council.
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0015| D. The rentals, principal and interest and any
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0016| other amounts and obligations owed under a lease, loan or other
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0017| financing agreement with the New Mexico [hospital equipment
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loan] health care finance council shall be payable solely
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0019| out of all or a portion of the revenues derived from the
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0020| ownership and operation of a county hospital or jointly owned
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0021| county-municipal hospital and revenues derived from the leasing
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0022| of or other contractual arrangement for the operation of a
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0023| county hospital or jointly owned county-municipal hospital
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0024| [for which the lease, loan or other financing agreement with
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the New Mexico hospital equipment loan council is entered
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into]. The amount and obligations under a lease, loan or
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0002| other financing agreement with the [New Mexico hospital
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equipment loan] council entered into under the authority of
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0004| the Hospital Funding Act shall never constitute an indebtedness
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0005| of a county or municipality within the meaning of any state
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0006| constitutional provision or statutory limitation and shall
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0007| never constitute or give rise to a pecuniary liability or a
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0008| charge against the general credit or taxing power of the
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0009| county or [charge against its general credit or taxing power]
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0010| municipality.
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0011| E. The rentals, principal and interest and any
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0012| other amounts and obligations owed under a lease, loan or other
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0013| financing agreement with the New Mexico [hospital equipment
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loan] health care finance council shall be secured by the
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0015| pledge of the revenues out of which such rentals, principal and
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0016| interest and any other amounts and obligations shall be payable
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0017| and may be secured by a mortgage covering all or any part of
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0018| the county hospital or jointly owned county-municipal hospital
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0019| [from which the revenues so pledged may be derived].
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0020| F. The resolution or proceedings under which the
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0021| lease, loan or other financing agreement are authorized to be
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0022| entered into or any mortgage relating thereto may contain any
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0023| agreement and provisions customarily contained in instruments
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0024| securing leases, loans or other financing arrangements,
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0025| including, without limiting the generality of the foregoing,
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0001| provisions respecting the designation and collection of the
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0002| revenues from the county hospital or jointly owned
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0003| county-municipal hospital covered by such proceedings or
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0004| mortgage, the maintenance and insurance of those hospitals, the
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0005| creation and maintenance of special funds derived from the
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0006| revenues relating to such hospital and the rights and remedies
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0007| available in event of default to the New Mexico [hospital
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equipment loan] health care finance council under a
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0009| mortgage, all as the hospital governing board may deem
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0010| advisable. The resolution or proceedings authorizing any
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0011| lease, loan or other financing agreement and any mortgage
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0012| securing those obligations may provide the procedure and
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0013| remedies in the event of default and the payment of the
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0014| rentals, principal and interest or other amounts and
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0015| obligations thereunder or in the performance of any agreement.
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0016| No breach of any agreement shall impose any pecuniary liability
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0017| upon or a charge against the general credit or taxing power
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0018| of a county or municipality [charge against its general
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credit or taxing power].
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0020| G. No notice, consent or approval by any
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0021| governmental body, commission or public officer shall be
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0022| required as a prerequisite to the entering into of a lease,
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0023| loan or other financing agreement with the New Mexico
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0024| [hospital equipment loan] health care finance council or
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0025| the making of a mortgage under the authority of the Hospital
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0001| Funding Act, except as provided in this section."
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0002| Section 3. Section 6-10-10.1 NMSA 1978 (being Laws 1988,
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0003| Chapter 61, Section 2, as amended) is amended to read:
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0004| "6-10-10.1. SHORT-TERM INVESTMENT FUND CREATED--
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0005| DISTRIBUTION OF EARNINGS--REPORT OF INVESTMENTS.--
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0006| A. There is created in the state treasury the
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0007| "short-term investment fund". The fund shall consist of all
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0008| deposits from governmental entities and Indian tribes or
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0009| pueblos that are placed in the custody of the state treasurer
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0010| for short-term investment purposes pursuant to this section.
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0011| The state treasurer shall maintain a separate account for each
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0012| governmental entity and Indian tribe or pueblo having deposits
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0013| in the fund.
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0014| B. If any local public body is unable to receive
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0015| payment on public money at the rate of interest as set forth in
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0016| Section 6-10-36 NMSA 1978 from financial institutions within
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0017| the geographic boundaries of the governmental unit, then a
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0018| local public finance official having money of that local public
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0019| body in his custody required for expenditure within thirty days
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0020| or less may, with the consent of the appropriate local board of
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0021| finance, if any, remit some or all of such money to the state
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0022| treasurer, bank, savings and loan association or credit union
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0023| for deposit for the purpose of short-term investment as allowed
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0024| by this section.
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0025| C. Before any local funds are invested or
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0001| reinvested for the purpose of short-term investment pursuant to
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0002| this section, the local public body finance official shall
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0003| notify and make such funds available to banks, savings and loan
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0004| associations and credit unions located within the geographical
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0005| boundaries of their respective governmental unit, subject to
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0006| the limitation on credit union accounts. To be eligible for
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0007| such funds, the financial institution shall pay to the local
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0008| public body the rate established by the state treasurer
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0009| pursuant to a policy adopted by the state board of finance for
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0010| such short-term investments.
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0011| D. The local public body finance official shall
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0012| specify the length of time each deposit shall be in the
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0013| short-term investment fund, but in any event the deposit shall
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0014| not be made for more than one hundred eighty-one days. The
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0015| state treasurer through the use of the state fiscal agent shall
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0016| separately track each such deposit and shall make such
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0017| information available to the public upon written request.
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0018| E. The state treasurer shall invest the fund as
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0019| provided for state funds under Section 6-10-10 NMSA 1978 and
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0020| may elect to have the short-term investment fund consolidated
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0021| for investment purposes with the state funds under the control
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0022| of the state treasurer; provided that accurate and detailed
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0023| accounting records are maintained for the account of each
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0024| participating entity and Indian tribe or pueblo and that a
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0025| proportionate amount of interest earned is credited to each of
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0001| the separate government accounts. The state treasurer may
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0002| invest a portion of the funds in banks, savings and loan
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0003| associations or credit unions subject to the requirements of
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0004| this section. The fund shall be invested to achieve its
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0005| objective, which is to realize the maximum return consistent
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0006| with safe and prudent management.
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0007| F. At the end of each month, all interest earned
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0008| from investment of the short-term investment fund shall be
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0009| distributed by the state treasurer to the contributing entities
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0010| and Indian tribes or pueblos in amounts directly proportionate
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0011| to the respective amounts deposited in the fund and the length
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0012| of time the amounts in the fund were invested. The state
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0013| treasurer shall charge participating entities, Indian tribes
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0014| and pueblos a fee of five basis points for the investment
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0015| services provided pursuant to this section.
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0016| G. As used in this section:
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0017| (1) "local public body" means any political
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0018| subdivision of the state, including school districts and any
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0019| post-secondary educational institution; and
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0020| (2) "short-term" means less than thirty days.
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0021| H. In addition to the deposit of funds of local
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0022| public bodies, the state treasurer may also accept for deposit,
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0023| deposit and account for, in the same manner as funds of local
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0024| public bodies, funds of the following governmental entities if
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0025| the governing authority of the entity approves by resolution
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0001| the deposit of the funds for the short-term investment:
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0002| (1) the agricultural commodity commission
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0003| established under the Agricultural Commodity Commission Act;
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0004| (2) the Albuquerque metropolitan arroyo flood
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0005| control authority established under the Arroyo Flood Control
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0006| Act;
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0007| (3) the business improvement district
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0008| management committee established under the Business Improvement
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0009| District Act;
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0010| (4) the New Mexico community assistance
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0011| council established under the New Mexico Community Assistance
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0012| Act;
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0013| (5) the governing authority of only special
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0014| districts authorized under Chapter 73 NMSA 1978;
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0015| (6) the board of trustees established under
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0016| the Economic Advancement District Act;
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0017| (7) the board of directors of a corporation or
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0018| foundation established under the Educational Assistance Act;
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0019| (8) a board of directors established under the
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0020| Flood Control District Act;
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0021| (9) the New Mexico [hospital equipment loan]
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0022| health care finance council established under the [Hospital
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Equipment Loan] Health Care Finance Act;
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0024| (10) the authority established under the
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0025| Industrial and Agricultural Finance Authority Act;
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0001| (11) the authority established under the Las
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0002| Cruces Arroyo Flood Control Act;
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0003| (12) the authority established under the
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0004| Mortgage Finance Authority Act;
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0005| (13) the authority established under the
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0006| Municipal Mortgage Finance Act;
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0007| (14) the authority established under the
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0008| Public School Insurance Authority Act;
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0009| (15) the authority established under the
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0010| Southern Sandoval County Arroyo Flood Control Act;
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0011| (16) a board of trustees established under the
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0012| Special Hospital District Act; and
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0013| (17) the authority established under the
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0014| New Mexico Finance Authority Act.
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0015| I. In addition to the deposit of funds of local
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0016| public bodies, the state treasurer may also accept for deposit
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0017| and deposit and account for, in the same manner as funds of
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0018| local public bodies, funds of any Indian tribe or pueblo in the
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0019| state if authorized to do so under a joint powers agreement
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0020| executed by the state treasurer and the governing authority of
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0021| the Indian tribe or pueblo under the provisions of the Joint
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0022| Powers Agreements Act."
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0023| Section 4. Section 6-14-2 NMSA 1978 (being Laws 1970,
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0024| Chapter 10, Section 2, as amended) is amended to read:
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0025| "6-14-2. DEFINITIONS.--As used in the Public Securities
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0001| Act:
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0002| A. "net effective interest rate" means the interest
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0003| rate based on the actual price paid to a public body for its
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0004| public securities, calculated to maturity according to standard
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0005| tables of bond values;
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0006| B. "public body" means this state or any
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0007| department, board, agency or instrumentality of the state, any
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0008| county, city, town, village, school district, other district,
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0009| educational institution or any other governmental agency or
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0010| political subdivision of the state; and
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0011| C. "public securities" means any bonds, notes,
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0012| warrants or other obligations now or hereafter authorized to be
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0013| issued by any public body pursuant to the provisions of any
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0014| general or special law enacted by the legislature, but does not
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0015| include bonds, notes, warrants or other obligations issued
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0016| pursuant to:
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0017| (1) the Industrial Revenue Bond Act;
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0018| (2) the County Improvement District Act;
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0019| (3) Sections 3-33-1 through 3-33-43 NMSA 1978;
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0020| (4) the Pollution Control Revenue Bond Act;
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0021| (5) the County Pollution Control Revenue Bond
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0022| Act;
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0023| (6) the County Industrial Revenue Bond Act;
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0024| (7) the Metropolitan Redevelopment Code;
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0025| (8) the Supplemental Municipal Gross Receipts
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0001| Tax Act;
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0002| (9) the [Hospital Equipment Loan] Health
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0003| Care Finance Act; or
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0004| (10) the New Mexico Finance Authority Act."
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0005| Section 5. Section 6-18-4 NMSA 1978 (being Laws 1983,
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0006| Chapter 161, Section 4, as amended) is amended to read:
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0007| "6-18-4. DEFINITIONS.--As used in the Public Securities
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0008| Short-Term Interest Rate Act, unless the context otherwise
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0009| requires:
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0010| A. "bond" means any bond, debenture, note,
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0011| refunding or renewal bond or note, warrant or other security
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0012| evidencing an obligation authorized to be issued by a public
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0013| body pursuant to any provision of law of this state, including
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0014| the Public Securities Short-Term Interest Rate Act;
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0015| B. "governing body" means the city council or other
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0016| body or officer of a public body in which the legislative
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0017| powers are vested;
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0018| C. "indebtedness" means any debt evidenced by a
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0019| bond issued by a public body pursuant to any law of this state
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0020| that constitutes a debt for the purposes of Section 12 or 13 of
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0021| Article 9 of the constitution of New Mexico and the issuance of
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0022| which must be submitted to a vote of the qualified electors of
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0023| the public body pursuant to those sections and any bond issued
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0024| for the purpose of paying or refunding any such bond;
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0025| D. "bond legislation" means an ordinance or a
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0001| resolution or other appropriate enactment adopted by a
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0002| governing body [of a public body] providing for the
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0003| authorization or sale of bonds and any trust agreement, credit
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0004| agreement, letter of credit, reimbursement agreement or other
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0005| credit facility, dealer agreement, issuing or paying agent
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0006| agreement, purchase commitment agreement, escrow agreement,
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0007| remarketing agreement, index agent agreement or other agreement
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0008| with respect to the bonds to which the public body or trustee
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0009| for the bonds is a party; and
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0010| E. "public body" means any municipality, any
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0011| county, any school district, any special district, any H class
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0012| county [located in New Mexico], the New Mexico [hospital
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equipment loan] health care finance council, state
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0014| institutions enumerated in Section 6-13-2 NMSA 1978, the water
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0015| quality control commission, the state board of finance, the New
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0016| Mexico finance authority or the state."
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0017| Section 6. Section 58-23-1 NMSA 1978 (being Laws 1983,
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0018| Chapter 290, Section 1, as amended) is amended to read:
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0019| "58-23-1. SHORT TITLE.--Chapter 58, Article 23 NMSA 1978
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0020| may be cited as the "[Hospital Equipment Loan] Health Care
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0021| Finance Act"."
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0022| Section 7. Section 58-23-2 NMSA 1978 (being Laws 1983,
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0023| Chapter 290, Section 2) is amended to read:
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0024| "58-23-2. LEGISLATIVE FINDINGS.--The legislature finds
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0025| that:
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0001| A. the delivery of high-quality community-based
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0002| health care in New Mexico has in recent years become
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0003| increasingly dependent upon [sophisticated equipment]
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0004| creative and innovative solutions to assist in delivery of
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0005| health care at a time when the [acquisition and] means for
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0006| financing [of equipment by health-care providers has] and
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0007| supervising solutions to assist in delivery of health care
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0008| have become increasingly expensive and complicated;
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0009| B. the increased costs of [financing modern
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equipment] delivery of high-quality community-based health
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0011| care by New Mexico health-care providers is necessarily passed
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0012| on to patients receiving [medical] care from the health-care
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0013| providers, resulting in higher medical bills, increased health
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0014| insurance premiums and higher medicare and medicaid payments;
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0015| C. the problems relating to the delivery of health
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0016| care cannot be remedied solely through the operation of private
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0017| enterprise or efforts by individual communities, but can be
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0018| alleviated through the creation of a program to facilitate and
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0019| enable the investment of private capital and the allocation of
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0020| public capital for the purpose of financing [health-related
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equipment at interest rates lower than those available in the
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conventional credit markets] health care support facilities
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0023| and services;
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0024| D. the creation of a program to coordinate and
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0025| cooperate with health-care providers and local communities is
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0001| essential to alleviating the problematic conditions relating to
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0002| the provision of health care and is in the public interest; and
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0003| E. alleviating these conditions by the
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0004| encouragement of private investment is a public purpose and a
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0005| beneficial use for which money provided by the sale of revenue
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0006| bonds may be borrowed, expended, advanced, loaned and granted."
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0007| Section 8. Section 58-23-3 NMSA 1978 (being Laws 1983,
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0008| Chapter 290, Section 3, as amended) is amended to read:
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0009| "58-23-3. DEFINITIONS.--As used in the [Hospital
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Equipment Loan] Health Care Finance Act:
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0011| A. "board" means the board of directors of the
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0012| council;
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0013| B. "bonds" means bonds, notes, interim
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0014| certificates, bond anticipation notes or other evidences of
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0015| indebtedness of the council issued pursuant to the [Hospital
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Equipment Loan] Health Care Finance Act, including refunding
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0017| bonds;
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0018| C. "cost" as applied to a health-related
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0019| [equipment] project means any and all costs [of
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equipment] incurred by a participating heath-care provider,
|
0021| including but not limited to the following:
|
0022| (1) all direct or indirect costs of the
|
0023| acquisition, including repair, restoration, reconditioning,
|
0024| financing and refinancing or installation of the health-related
|
0025| [equipment] project;
|
0001| (2) the cost of any property interest in the
|
0002| health-related [equipment] project, including an option to
|
0003| purchase or a lease-hold interest;
|
0004| (3) the cost of architectural, engineering,
|
0005| planning, drafting, legal and any incidental or related
|
0006| services necessary for acquisition or installation of the
|
0007| health-related [equipment] project;
|
0008| (4) the cost of all financing charges and
|
0009| interest accrued prior to the acquisition or refinancing of the
|
0010| health-related [equipment] project for a maximum of two
|
0011| years after or prior to such acquisition or refinancing;
|
0012| (5) all direct and indirect costs incurred in
|
0013| connection with [the financing of] the health-related
|
0014| [equipment] project, including out-of-pocket expenses; the
|
0015| cost of financing; legal, accounting, financial, advisory and
|
0016| consulting expenses; the cost of any policy of insurance; the
|
0017| cost of printing, engraving and reproduction services; and
|
0018| costs associated with any trust indenture; and
|
0019| (6) any costs incurred by the council for the
|
0020| administration of any program [for the purchase, sale or lease
|
of or the making of loans] for health-related [equipment to
|
any participating health-care provider] projects;
|
0023| D. "council" means the New Mexico [hospital
|
equipment loan] health care finance council;
|
0025| E. ["health facility"] "health-care provider"
|
0001| means any entity or person providing health-related services
|
0002| [which is], including all customary and necessary supporting
|
0003| services, licensed by the department of health [and
|
environment department and all customary and necessary
|
supporting services] or the board of medical examiners;
|
0006| F. "health-related [equipment] project" means
|
0007| any real or personal property, [instrument, service]
|
0008| insurance contract, working capital requirement, contract for
|
0009| services, technical assistance, services or operational
|
0010| necessity [which] that is found and determined by the
|
0011| council to be needed, directly or indirectly, for [medical]
|
0012| health care, treatment or research or [other equipment] as
|
0013| otherwise might be needed [to operate the health facility]
|
0014| by a participating health-care provider;
|
0015| G. "participating [health facility] health-care
|
0016| provider" means a public or private nonprofit or for-profit
|
0017| corporation, association, foundation, trust, cooperative,
|
0018| agency or other person or organization [which operates or pro-
|
|
poses to operate a health facility] that is a health-care
|
0021| provider in New Mexico and contracts with the council for the
|
0022| financing or refinancing of [the lease or acquisition of
|
health-related equipment] a health-related project. Public,
|
0024| district, county, city, county-municipal or other municipal
|
0025| hospitals and hospitals affiliated with an institution of
|
0001| higher education in New Mexico [are] may be participating
|
0002| health-care [facilities] providers; and
|
0003| H. "program" means the New Mexico [hospital
|
equipment loan] health care finance program created by the
|
0005| [Hospital Equipment Loan] Health Care Finance Act and
|
0006| administered by the council."
|
0007| Section 9. Section 58-23-4 NMSA 1978 (being Laws 1992,
|
0008| Chapter 41, Section 7) is amended to read:
|
0009| "58-23-4. ADDITIONAL DEFINITIONS.--As used in the
|
0010| [Hospital Equipment Loan] Health Care Finance Act in
|
0011| connection with refinancing, renewing, funding, refunding or
|
0012| paying any bonds, "bonds" also means any bond, note,
|
0013| certificate or other evidence of indebtedness previously issued
|
0014| or incurred by any [health facility] health-care provider,
|
0015| municipality, county, special hospital district or other
|
0016| political subdivision to refinance, finance or aid in financing
|
0017| [property] a project that would have constituted a
|
0018| health-related [equipment] project had it been originally
|
0019| financed by the council."
|
0020| Section 10. Section 58-23-5 NMSA 1978 (being Laws 1983,
|
0021| Chapter 290, Section 5, as amended) is amended to read:
|
0022| "58-23-5. COUNCIL--CREATED--MEMBERS--QUALIFICATIONS--
|
0023| BOARD.--
|
0024| A. There is created a public body politic and
|
0025| corporate, separate and apart from the state, constituting a
|
0001| governmental instrumentality to be known as the "New Mexico
|
0002| [hospital equipment loan] health care finance council" for
|
0003| the performance of essential public functions.
|
0004| B. The council shall be governed by a board of
|
0005| directors consisting of five members. The governor, with the
|
0006| advice and consent of the senate, shall appoint the members of
|
0007| the board. The members shall serve at the pleasure of the
|
0008| governor.
|
0009| C. Each member of the board shall be a resident of
|
0010| the state, and in addition:
|
0011| (1) two members shall be officers or directors
|
0012| of financial institutions located in New Mexico;
|
0013| (2) two members shall be officers or directors
|
0014| of a [health facility] health-care provider located in New
|
0015| Mexico or health-care providers practicing in New Mexico for a
|
0016| total of five years. Such members shall have been employed
|
0017| for a total of five years as officers or directors of any
|
0018| [health facility] health-care provider or practicing as a
|
0019| health-care provider for a total of five years;
|
0020| (3) one member shall be appointed from and
|
0021| represent the public and shall not be directly or indirectly
|
0022| affiliated with any [health facility] health-care provider;
|
0023| and
|
0024| (4) no more than three members shall be of the
|
0025| same political party.
|
0001| D. The council shall be separate and apart from the
|
0002| state and shall not be subject to the supervision or control of
|
0003| any board, bureau, department or agency of the state except as
|
0004| specifically provided in the [Hospital Equipment Loan]
|
0005| Health Care Finance Act. In order to effectuate the
|
0006| separation of the state from the council, no use of the terms
|
0007| "state agency" or "instrumentality" in any other law of the
|
0008| state shall be deemed to refer to the council unless the
|
0009| council is specifically
|
0010| referred to therein."
|
0011| Section 11. Section 58-23-7 NMSA 1978 (being Laws 1983,
|
0012| Chapter 290, Section 7) is amended to read:
|
0013| "58-23-7. BOARD--EXPENSES.--The members of the board
|
0014| shall receive no compensation for their services but shall
|
0015| receive reimbursement for actual and necessary expenses at the
|
0016| same rate and basis as provided for nonsalaried public
|
0017| officers in the Per Diem and Mileage Act."
|
0018| Section 12. Section 58-23-8 NMSA 1978 (being Laws 1983,
|
0019| Chapter 290, Section 8) is amended to read:
|
0020| "58-23-8. BOARD--QUORUM.--A majority of the members of
|
0021| the board then serving shall constitute a quorum for the
|
0022| transaction of business. The affirmative vote of at least a
|
0023| majority of a quorum present shall be necessary for any action
|
0024| to be taken by the [authority] council. No vacancy in the
|
0025| membership of the council shall impair the right of a quorum to
|
0001| exercise all rights and perform all duties of the loan
|
0002| program."
|
0003| Section 13. Section 58-23-10 NMSA 1978 (being Laws 1983,
|
0004| Chapter 290, Section 10) is amended to read:
|
0005| "58-23-10. BOARD--BONDING REQUIREMENTS.--At the time of
|
0006| the issuance of any bonds pursuant to the [Hospital Equipment
|
Loan] Health Care Finance Act, each member of the board
|
0008| shall execute a surety bond in the sum of twenty-five thousand
|
0009| dollars ($25,000). To the extent any member of the board is
|
0010| already required by state law to provide a surety bond, that
|
0011| member need not obtain another bond as long as the bond
|
0012| required by state law is in at least the sum specified in this
|
0013| section and covers the member's activities for the council. In
|
0014| lieu of such bonds, the chairman of the board may execute a
|
0015| blanket fidelity bond covering each member and the employees of
|
0016| the council. Each fidelity bond shall be conditioned upon the
|
0017| faithful performance of the duties of the respective office of
|
0018| the member or the employee and shall be issued by a surety
|
0019| company authorized to transact business in this state as
|
0020| surety. At all times after the issuance of any surety bonds,
|
0021| each member and employee shall maintain such surety bonds in
|
0022| full force and effect. All costs of the surety bonds shall be
|
0023| borne by the council."
|
0024| Section 14. Section 58-23-11 NMSA 1978 (being Laws 1983,
|
0025| Chapter 290, Section 11) is amended to read:
|
0001| "58-23-11. POWERS.--The council is granted all powers
|
0002| necessary and appropriate to carry out and effectuate its
|
0003| public and corporate purposes, including but not limited to the
|
0004| following powers:
|
0005| A. to adopt, amend and repeal bylaws, rules and
|
0006| regulations to effectuate the purposes of the [Hospital
|
Equipment Loan] Health Care Finance Act;
|
0008| B. to sue and be sued in its own name;
|
0009| C. to have an official seal and alter it at will;
|
0010| D. to maintain an office within the state;
|
0011| E. to make and execute contracts and all other
|
0012| instruments necessary or convenient for the performance of its
|
0013| duties and the exercise of its powers under the [Hospital
|
Equipment Loan] Health Care Finance Act;
|
0015| F. to employ architects, engineers, attorneys,
|
0016| inspectors, accountants and health-care and financial experts
|
0017| and such other advisors, consultants, agents and other
|
0018| employees as may be necessary, and to fix their compensation;
|
0019| G. to procure insurance against any loss in
|
0020| connection with its property and other assets, including surety
|
0021| bonds in such amounts and from such insurers as it may deem
|
0022| advisable;
|
0023| H. to procure insurance or guarantees from any public
|
0024| or private entities, including any department, agency or
|
0025| instrumentality of the United States, to secure payment:
|
0001| (1) on a loan, lease or purchase payment owed by
|
0002| a participating [health facility] health-care provider to
|
0003| the council; and
|
0004| (2) of any bonds issued by the council,
|
0005| including the power to pay the premium on any such insurance or
|
0006| guarantee;
|
0007| I. to procure letters of credit from any national or
|
0008| state banking association or other entity authorized to issue a
|
0009| letter of credit to secure the payment of any bonds issued by
|
0010| the council or to secure the payment of any loan, lease or
|
0011| purchase payment owed by a participating [health facility]
|
0012| health-care provider to the council, including the power to
|
0013| pay the cost of obtaining such letter of credit;
|
0014| J. to receive and accept from any source
|
0015| contributions, gifts or grants of money, property, labor or
|
0016| other things of value to be held, used and applied to carry out
|
0017| the purposes of the [Hospital Equipment Loan] Health Care
|
0018| Finance Act, subject to the conditions upon which the grants,
|
0019| gifts or contributions are made;
|
0020| K. to provide or cause to be provided by or to a
|
0021| participating [health facility] health-care provider, by
|
0022| acquisition, lease, loan, fabrication, repair, restoration,
|
0023| reconditioning, refinancing or installation, a health-related
|
0024| [equipment] project to be located [within] at or used
|
0025| by a [health facility] health-care provider in this state;
|
0001| L. to lease as lessor a health-related
|
0002| [equipment] project to a participating health-care provider
|
0003| upon such terms and conditions as the council may deem
|
0004| advisable and as are not in conflict with the provisions of the
|
0005| [Hospital Equipment Loan] Health Care Finance Act;
|
0006| M. to sell for installment payments or otherwise, to
|
0007| option or contract for sale and to convey all or any part of
|
0008| health-related [equipment] project upon such terms and
|
0009| conditions as the council may deem advisable and as are not in
|
0010| conflict with the provisions of the [Hospital Equipment Loan]
|
0011| Health Care Finance Act;
|
0012| N. to make contracts and incur liabilities, borrow
|
0013| money at such rates of interest as the council may determine,
|
0014| issue its bonds in accordance with the provisions of the
|
0015| [Hospital Equipment Loan] Health Care Finance Act and
|
0016| secure any of its bonds or obligations by mortgage or pledge of
|
0017| all or any of its property, franchises and income or as
|
0018| otherwise provided in the [Hospital Equipment Loan] Health
|
0019| Care Finance Act;
|
0020| O. to make secured or unsecured loans for the purpose
|
0021| of providing temporary or permanent financing or refinancing
|
0022| for the cost of health-related [equipment] projects,
|
0023| including the retiring of any outstanding obligations or
|
0024| advances issued and the reimbursement for the cost of any
|
0025| health-related [equipment] projects previously purchased
|
0001| [within twelve months immediately preceding the date of the
|
bond issue, made or given] or incurred by any participating
|
0003| [health facility] health-care provider for the cost of
|
0004| health-related [equipment] projects and to charge and
|
0005| collect interest on such loans for such loan payments and upon
|
0006| such terms and conditions as the council may deem advisable and
|
0007| as are not in conflict with the provisions of the [Hospital
|
Equipment Loan] Health Care Finance Act. Loans may be made
|
0009| to participating [health facilities] health care providers
|
0010| or to any bank, savings and loan association or other entity
|
0011| [which] that will, directly or indirectly, provide to
|
0012| participating [health facilities] health care providers
|
0013| such financing, refinancing or reimbursement of the cost of
|
0014| health-related [equipment] projects;
|
0015| P. to invest and reinvest its funds and to take and
|
0016| hold property as security for the investment of such funds as
|
0017| provided in the [Hospital Equipment Loan] Health Care
|
0018| Finance Act;
|
0019| Q. to purchase, lease or otherwise acquire health-
|
0020| related [equipment] projects or any interest therein, as
|
0021| the purposes of the council require;
|
0022| R. to sell, convey, mortgage, pledge, assign, lease,
|
0023| exchange, transfer and otherwise dispose of or encumber all or
|
0024| any part of its property and assets;
|
0025| S. to the extent permitted under its contract, if
|
0001| any, with the holders of bonds of the council, to consent to
|
0002| any modification with respect to the rate of interest, time and
|
0003| payment of any installment of principal or interest or any
|
0004| other term of any loan, loan note, loan note commitment, lease
|
0005| or agreement of any kind to which the council is a party;
|
0006| T. to sell at public or private sale any loan or
|
0007| other obligation held by the council;
|
0008| U. to refuse to make loans or enter into leases for
|
0009| health-related [equipment] projects when not in the best
|
0010| interest of the program; and
|
0011| V. to do any other act necessary or convenient to the
|
0012| exercise of the powers granted by the [Hospital Equipment
|
Loan] Health Care Finance Act or reasonably implied from
|
0014| it."
|
0015| Section 15. Section 58-23-12 NMSA 1978 (being Laws 1983,
|
0016| Chapter 290, Section 12, as amended) is amended to read:
|
0017| "58-23-12. COUNCIL--DUTIES.--The council shall have the
|
0018| following duties:
|
0019| A. to invest any funds not needed for immediate
|
0020| disbursement, including any funds held in reserve, in direct
|
0021| and general obligations of or obligations fully and
|
0022| unconditionally guaranteed by the United States, obligations
|
0023| issued by agencies of the United States, obligations of this
|
0024| state or any political subdivisions thereof, [the unsecured
|
promissory notes or other obligations of state and national
|
banking associations and other entities having an investment
|
grade rating] money market funds that invest in the types of
|
0003| obligations described in the preceding clauses of this
|
0004| subsection and rated in the highest category by a national
|
0005| rating service, interest-bearing time deposits, commercial
|
0006| paper issued by corporations organized and operating within the
|
0007| United States and rated "prime" quality by a national rating
|
0008| service, investments permitted under Sections 6-10-10 and 6-10-
|
0009| 10.1 NMSA 1978 or as otherwise provided by the trust indenture
|
0010| or bond resolution securing the issuance of the bonds;
|
0011| B. to collect fees and charges as the council
|
0012| determines to be reasonable in connection with its loans,
|
0013| leases, sales, advances, insurance, commitments and servicing;
|
0014| and
|
0015| C. to cooperate with and exchange services, personnel
|
0016| and information with any federal, state or local governmental
|
0017| agency."
|
0018| Section 16. Section 58-23-13 NMSA 1978 (being Laws 1983,
|
0019| Chapter 290, Section 13) is amended to read:
|
0020| "58-23-13. LEASE AND LOAN AGREEMENTS WITH PARTICIPATING
|
0021| HEALTH-CARE PROVIDERS--INSURANCE--LOAN AND LEASE PAYMENTS.--In
|
0022| addition to its other powers and duties, the council is
|
0023| specifically authorized to initiate a program of financing,
|
0024| refinancing or reimbursing the cost of health-related
|
0025| [equipment to be operated by participating health facilities]
|
0001| projects. In this regard, the council is authorized to
|
0002| exercise the following powers:
|
0003| A. to establish eligibility standards for
|
0004| participating [health facilities] health-care providers;
|
0005| B. to enter into an agreement with any entity
|
0006| securing the payment of bonds pursuant to Subsections H and I
|
0007| of Section [11 of the Hospital Equipment Loan Act] 58-23-11
|
0008| NMSA 1978, authorizing that entity to approve the partici-
|
0009|
|
0010| pating health-care providers that can finance or refinance
|
0011| health-related [equipment] projects with proceeds from the
|
0012| bond issue secured by that entity and to approve any banks,
|
0013| savings and loan associations or other entities to which the
|
0014| council may loan its funds to finance, refinance or reimburse,
|
0015| directly or indirectly, the cost of health-related [equip-
|
|
ment] projects for participating [health facilities]
|
0018| health-care providers;
|
0019| C. to lease to a participating [health facility]
|
0020| health-care provider specific items [of] constituting
|
0021| health-related [equipment] projects upon such terms and
|
0022| conditions as the council may deem proper or to purchase any or
|
0023| all of the health-related [equipment] project to which the
|
0024| lease applies;
|
0025| D. to lend to a participating [health facility]
|
0001| health-care provider or a bank, savings and loan association
|
0002| or other entity to finance, refinance or reimburse, directly or
|
0003| indirectly, the cost of health-related [equipment] projects
|
0004| to a participating [health facility] health-care provider
|
0005| upon a secured or unsecured promissory note evidencing such
|
0006| loan upon such terms and conditions as the council may deem
|
0007| proper;
|
0008| E. to sell or otherwise dispose of unneeded health-
|
0009| related [equipment] projects under conditions as determined
|
0010| by the council;
|
0011| F. to maintain, repair, replace and otherwise improve
|
0012| any health-related [equipment] projects owned by the
|
0013| council;
|
0014| G. to obtain or aid in obtaining property insurance
|
0015| on all health-related [equipment] projects owned or
|
0016| financed by the council; and
|
0017| H. to enter into any agreement, contract or other
|
0018| instrument with respect to any insurance, guarantee or letter
|
0019| of credit, accepting payment in the event of default by a
|
0020| participating [health facility] health-care provider, and
|
0021| to assign any such insurance, guarantee or letter of credit as
|
0022| security for bonds issued by the council."
|
0023| Section 17. Section 58-23-14 NMSA 1978 (being Laws 1983,
|
0024| Chapter 290, Section 14) is amended to read:
|
0025| "58-23-14. OPTIONAL POWERS.--Prior to the exercise of any
|
0001| of the powers conferred by Section [13 of the Hospital
|
Equipment Loan Act] 58-23-13 NMSA 1978, the council may:
|
0003| A. require that the lease or installment purchase
|
0004| contract or loan agreement involved be insured by a loan
|
0005| insurer, be guaranteed by a loan guarantor or be secured by a
|
0006| letter of credit; or
|
0007| B. require any other type of security from the
|
0008| participating health facilities or banks, savings and loan
|
0009| associations or other entities that it deems reasonable and
|
0010| necessary."
|
0011| Section 18. Section 58-23-15 NMSA 1978 (being Laws 1983,
|
0012| Chapter 290, Section 15) is amended to read:
|
0013| "58-23-15. ISSUANCE OF BONDS.--The council is authorized
|
0014| to issue, sell and deliver its bonds, in accordance with the
|
0015| terms of the [Hospital Equipment Loan] Health Care Finance
|
0016| Act, for the purpose of paying for or making loans to
|
0017| participating health facilities, banks, savings and loan asso-
|
0018|
|
0019| ciations and other entities for the financing or refinancing of
|
0020| all or any part of the cost of health-related [equipment]
|
0021| projects and any other purposes authorized by the [Hospital
|
Equipment Loan] Health Care Finance Act. In addition, the
|
0023| council has the power to issue from time to time bonds to renew
|
0024| or to pay bonds, including any interest, and, whenever it deems
|
0025| refunding expedient, to refund any bonds by the issuance of new
|
0001| bonds and to issue bonds partly to refund outstanding bonds and
|
0002| partly for another of its purposes. The refunding bonds may be
|
0003| sold and the proceeds applied to the purchase, redemption or
|
0004| payment of the bonds to be refunded or may be exchanged for the
|
0005| bonds to be refunded."
|
0006| Section 19. Section 58-23-16 NMSA 1978 (being Laws 1983,
|
0007| Chapter 290, Section 16, as amended) is amended to read:
|
0008| "58-23-16. TERMS OF PAYMENT AND SALE OF BONDS.--
|
0009| A. The bonds shall be dated, shall bear interest at
|
0010| such rate or rates, fixed or variable, shall mature at such
|
0011| time or times not exceeding twenty years, or not to exceed
|
0012| thirty years if the council determines bonds are necessary in
|
0013| connection with the acquisition, lease, fabrication, repair,
|
0014| restoration, reconditioning, refinancing or installation of
|
0015| real property, from their date and may be made redeemable prior
|
0016| to maturity at such price or prices and upon terms and con-
|
0017|
|
0018| ditions determined by the council. In cases where any officer
|
0019| whose signature or a facsimile of whose signature appears on
|
0020| any bonds or coupons ceases to be such officer before the
|
0021| delivery of and payment for such bonds, that signature or
|
0022| facsimile is valid and sufficient for all purposes the same as
|
0023| if the officer had remained in office until delivery and
|
0024| payment. The bonds may be issued in coupon or in fully
|
0025| registered form or both or may be payable to a specific person,
|
0001| as the council may determine, and provision may be made for the
|
0002| registration of any coupon bonds as to principal or as to both
|
0003| principal and interest, for the conversion of coupon bonds into
|
0004| fully registered bonds without coupons and for the conversion
|
0005| into coupon bonds of any fully registered bonds without
|
0006| coupons. The duty of conversion may be imposed upon a trustee
|
0007| in a trust agreement.
|
0008| B. The principal of, redemption premium, if any, and
|
0009| interest on such bonds shall be payable solely from and may be
|
0010| secured by a pledge of the proceeds of bonds, revenues derived
|
0011| from the lease or sale of a health-related [equipment]
|
0012| project or realized from a loan made by the council to
|
0013| finance or refinance in whole or in part health-related
|
0014| [equipment] projects, revenues derived from operating
|
0015| health-related [equipment] projects, including insurance
|
0016| proceeds, or any other revenues provided by a participating
|
0017| health-care provider or a bank, savings and loan association or
|
0018| other entity to which a loan is made.
|
0019| C. The council shall sell the bonds at such price or
|
0020| prices as it shall determine at public or private sale."
|
0021| Section 20. Section 58-23-16.1 NMSA 1978 (being Laws
|
0022| 1986, Chapter 60, Section 8, as amended) is amended to read:
|
0023| "58-23-16.1. INTEREST RATES--REFUNDING--APPROVAL BY
|
0024| COUNCIL--FINDINGS.--Bonds issued under the [Hospital Equipment
|
Loan] Health Care Finance Act are not subject to any
|
0001| limitations on interest rates or net effective interest rates
|
0002| or interest rate approval requirements contained in any other
|
0003| laws of the state, provided that:
|
0004| A. the bond resolution or other instruments under
|
0005| which such bonds are issued shall contain findings by the
|
0006| council that any fixed rate or rates of interest or discount on
|
0007| the bonds or, in the case of a variable rate or rates of
|
0008| interest, that the maximum rate or method of determining the
|
0009| maximum rate and that the maximum net effective interest rate
|
0010| on the bonds are reasonable under existing or anticipated bond
|
0011| market conditions and necessary and advisable for the marketing
|
0012| and sale of the bonds. The bond resolution or other
|
0013| instruments under which such bonds are issued shall declare
|
0014| that the council has considered all relevant information and
|
0015| data in making its findings. The findings and declarations in
|
0016| the bond resolution or other instruments under which such bonds
|
0017| are issued shall constitute conclusive authority for the
|
0018| council to issue the bonds within the interest rate limitations
|
0019| set forth in the bond resolution, and no additional approval of
|
0020| any department, board or other officer of the state or any
|
0021| other official approval is required; and
|
0022| B. any bonds issued pursuant to the [Hospital
|
Equipment Loan] Health Care Finance Act to renew, fund or
|
0024| refund any prior issue of bonds, in whole or in part, may be
|
0025| issued notwithstanding the provisions of any other laws of the
|
0001| state; provided that the bond resolution or other instruments
|
0002| under which such bonds are issued shall contain findings that
|
0003| the issuance of such bonds is necessary or advisable and the
|
0004| amount of such bonds [which] that it is deemed necessary
|
0005| and advisable to issue. The determination of necessity or
|
0006| advisability contained in the bond resolution or other
|
0007| instruments under which such bonds are issued shall constitute
|
0008| conclusive authority for the council to issue any such renewal,
|
0009| funding or refunding bonds, and no additional approval of any
|
0010| department, board or other officer of the state or any official
|
0011| approval is required."
|
0012| Section 21. Section 58-23-17 NMSA 1978 (being Laws 1983,
|
0013| Chapter 290, Section 17) is amended to read:
|
0014| "58-23-17. USE OF BOND PROCEEDS.--The proceeds of the
|
0015| bonds of each issue shall not be used other than to pay, renew
|
0016| or refund bonds or to pay all or part of the cost of financing,
|
0017| refinancing or reimbursing health-related [equipment]
|
0018| projects or to make loans to participating [health
|
facilities] health-care providers, banks, savings and loan
|
0020| associations or other entities in order to directly or
|
0021| indirectly finance, refinance or reimburse the cost of the
|
0022| health-related [equipment] projects for which such bonds
|
0023| have been authorized. At the option of the council, the
|
0024| proceeds of each issue may be deposited to a reserve fund for
|
0025| the bonds; provided that the council [shall] may be paid,
|
0001| out of money from the proceeds of the sale and delivery of its
|
0002| bonds, the council's out-of-pocket expenses and costs in
|
0003| connection with the issuance, sale and delivery of such bonds."
|
0004| Section 22. Section 58-23-19 NMSA 1978 (being Laws 1983,
|
0005| Chapter 290, Section 19) is amended to read:
|
0006| "58-23-19. SECURITY FOR PAYMENT OF BONDS.--Any bond
|
0007| resolution or related trust agreement, trust indenture,
|
0008| indenture of mortgage or deed of trust may contain provisions,
|
0009| which shall be a part of the contract with the holders of the
|
0010| bonds to be authorized, as to:
|
0011| A. pledging or assigning the revenues generated by
|
0012| the health-related [equipment] project or pledging or
|
0013| assigning the notes, [and mortgage, lease] mortgages,
|
0014| leases or other security given by the participating [health
|
facilities] health-care providers, banks, savings and loan
|
0016| associations or other entities receiving loans with respect to
|
0017| which such bonds are to be issued or other specified revenues
|
0018| or property of the council;
|
0019| B. the rentals, fees, interest and other amounts to
|
0020| be charged by the council, the schedule of principal payments
|
0021| and the sums to be raised in each year thereby and the use,
|
0022| investment and disposition of such sums;
|
0023| C. setting aside any reserves of sinking funds and
|
0024| the regulation, investment and disposition thereof;
|
0025| D. limitations on the use of the health-related
|
0001| [equipment] project;
|
0002| E. limitations on the purpose for which the proceeds
|
0003| of sale of any issue or bonds may be applied;
|
0004| F. limitations on the issuance of additional bonds,
|
0005| the terms upon which additional bonds may be issued and secured
|
0006| and the terms upon which additional bonds may rank on a parity
|
0007| with, or be subordinate or superior to, other bonds;
|
0008| G. the refunding of outstanding bonds;
|
0009| H. the procedure, if any, by which the terms of any
|
0010| contract with bondholders may be amended or abrogated, the
|
0011| amounts of bonds the holders of which must consent thereto, the
|
0012| manner in which such consent may be given and restrictions on
|
0013| the individual rights of action by bondholders;
|
0014| I. acts or omissions which shall constitute a default
|
0015| in the duties of the authority to holders of its bonds, and
|
0016| rights of the holders in the event of default;
|
0017| J. limitation of the liability of a participating
|
0018| [health facility] health-care provider only for the amount
|
0019| of its obligation to the council; and
|
0020| K. any other matters relating to the bonds [which]
|
0021| that the council deems desirable.
|
0022| In addition to the provisions set forth in this section,
|
0023| bonds of the council may be secured by and payable from a
|
0024| pooling of leases or of notes and mortgages or other security
|
0025| instruments whereby the council may assign its rights, as
|
0001| lessor, and pledge rents under two or more leases of health-
|
0002| related [equipment] projects with two or more participating
|
0003| [health facilities] health-care providers, as lessees, or
|
0004| assign its rights as payee or secured party and pledge the
|
0005| revenues under two or more notes and loan agreements from two
|
0006| or more participating health facilities, banks, savings and
|
0007| loan associations or other entities upon such terms as may be
|
0008| provided for in bond resolutions or other instruments under
|
0009| which such bonds are issued."
|
0010| Section 23. Section 58-23-20 NMSA 1978 (being Laws 1983,
|
0011| Chapter 290, Section 20) is amended to read:
|
0012| "58-23-20. [GENERAL OBLIGATION BONDS] SPECIAL LIMITED
|
0013| OBLIGATIONS--PAYMENT AND SECURITY. [Except as may otherwise
|
be provided by the council] Every issue of [its] bonds is a
|
0015| [general] special limited obligation of the council payable
|
0016| solely out of any particular revenue, reserve fund or money
|
0017| of the council [subject only to any agreements with the
|
holders of particular bonds pledging any particular money or
|
revenue] pledged to particular bonds. The bonds may be
|
0020| additionally secured by a pledge of any grant, contribution or
|
0021| guarantee from the federal government or any corporation,
|
0022| association, institution or person or a pledge of any money,
|
0023| income or revenue of the council from any source."
|
0024| Section 24. Section 58-23-21 NMSA 1978 (being Laws 1983,
|
0025| Chapter 290, Section 21, as amended) is amended to read:
|
0001| "58-23-21. BONDS--NO OBLIGATION OF STATE.--No bonds
|
0002| issued by the council under the [Hospital Equipment Loan]
|
0003| Health Care Finance Act shall constitute a debt, liability or
|
0004| general obligation of this state or a pledge of the faith and
|
0005| credit of this state, but shall be payable solely as provided
|
0006| by Section 58-23-19 NMSA 1978. Each bond issued under the
|
0007| [Hospital Equipment Loan] Health Care Finance Act shall
|
0008| contain on its face a statement that neither the faith and
|
0009| credit nor the taxing power of this state or any political
|
0010| subdivision thereof is pledged to the payment of the principal
|
0011| of or the interest on such bond."
|
0012| Section 25. Section 58-23-25 NMSA 1978 (being Laws 1983,
|
0013| Chapter 290, Section 25) is amended to read:
|
0014| "58-23-25. COUNCIL MEMBERS--LIMITATION ON PERSONAL
|
0015| LIABILITY.--Neither the members of the council nor any other
|
0016| person executing the bonds issued under the [Hospital
|
Equipment Loan] Health Care Finance Act shall be subject to
|
0018| personal liability in connection with issuance of the bonds."
|
0019| Section 26. Section 58-23-26 NMSA 1978 (being Laws 1983,
|
0020| Chapter 290, Section 26, as amended) is amended to read:
|
0021| "58-23-26. DEPOSIT OF MONEY.--All money of the council,
|
0022| except as otherwise authorized or provided in the [Hospital
|
Equipment Loan] Health Care Finance Act or in a bond
|
0024| resolution, trust agreement or other instrument under which
|
0025| bonds are issued, shall be deposited as soon as practical in a
|
0001| separate account or accounts in banks or trust companies
|
0002| organized under the laws of this state or in national banking
|
0003| associations. All deposits of money shall, if required by the
|
0004| council, be secured in such a manner as the council determines
|
0005| to be prudent. Banks or trust companies are authorized to give
|
0006| security for the deposits of the council."
|
0007| Section 27. Section 58-23-27 NMSA 1978 (being Laws 1983,
|
0008| Chapter 290, Section 27) is amended to read:
|
0009| "58-23-27. BONDHOLDERS--PLEDGE--AGREEMENT OF THE STATE.--
|
0010| The state pledges and agrees with the holder of any bonds
|
0011| issued under the [Hospital Equipment Loan] Health Care
|
0012| Finance Act that the state will not alter the rights vested in
|
0013| the council to fulfill the terms of any agreements made with
|
0014| the bondholders or in any way impair the rights or remedies of
|
0015| the holders until the bonds, together with the interest
|
0016| thereon, with interest on any unpaid installments of interest,
|
0017| and all costs and expenses in connection with any action or
|
0018| proceeding by or on behalf of the holders are fully met and
|
0019| discharged. The council is authorized to include this pledge
|
0020| and agreement of the state in any agreement with the holders of
|
0021| the bonds."
|
0022| Section 28. Section 58-23-28 NMSA 1978 (being Laws 1983,
|
0023| Chapter 290, Section 28) is amended to read:
|
0024| "58-23-28. COUNCIL EXPENSES--LIABILITY OF STATE OR
|
0025| POLITICAL SUBDIVISION PROHIBITED.--All expenses incurred by the
|
0001| council in carrying out the provisions of the [Hospital
|
Equipment Loan] Health Care Finance Act shall be payable
|
0003| solely from funds provided under that act."
|
0004| Section 29. Section 58-23-29 NMSA 1978 (being Laws 1983,
|
0005| Chapter 290, Section 29, as amended) is amended to read:
|
0006| "58-23-29. EXEMPTION FROM TAXATION--ASSETS TO STATE UPON
|
0007| DISSOLUTION.--All property acquired or held by the council
|
0008| under the [Hospital Equipment Loan] Health Care Finance
|
0009| Act, income therefrom and bonds issued under the [Hospital
|
Equipment Loan] Health Care Finance Act, plus the interest
|
0011| payable and income derived from the bonds, shall be exempt from
|
0012| taxation by the state or any subdivision thereof. Upon
|
0013| dissolution of the council, its assets, after payment of its
|
0014| indebtedness, shall inure to the benefit of the state."
|
0015| Section 30. Section 58-23-30 NMSA 1978 (being Laws 1983,
|
0016| Chapter 290, Section 30) is amended to read:
|
0017| "58-23-30. BONDS--LEGAL INVESTMENTS.--The bonds issued
|
0018| under the authority of the [Hospital Equipment Loan] Health
|
0019| Care Finance Act shall be legal investments in which all
|
0020| public officers or public bodies of this state, insurance
|
0021| companies, banks and savings and loan associations, organized
|
0022| under the laws of this state, may invest funds."
|
0023| Section 31. Section 58-23-31 NMSA 1978 (being Laws 1983,
|
0024| Chapter 290, Section 31) is amended to read:
|
0025| "58-23-31. [LOAN PROGRAM--] ANNUAL REPORT--CONTENTS--
|
0001| AUDIT.--The council shall, following the close of each fiscal
|
0002| year, submit an annual report of its activities for the
|
0003| preceding year to the governor and to the [legislative
|
finance] New Mexico health care finance council oversight
|
0005| committee. Each member of the legislature may receive a copy
|
0006| of such report by requesting a copy from the [chairman of the
|
council] committee. Each report shall set forth a complete
|
0008| operating and financial statement for the council during the
|
0009| fiscal year."
|
0010| Section 32. Section 58-23-32 NMSA 1978 (being Laws 1983,
|
0011| Chapter 290, Section 32) is amended to read:
|
0012| "58-23-32. LIBERAL CONSTRUCTION.--The [Hospital
|
Equipment Loan] Health Care Finance Act shall be liberally
|
0014| construed to accomplish its purposes."
|
0015| Section 33. A new section of Chapter 58, Article 23 NMSA
|
0016| 1978 is enacted to read:
|
0017| "[NEW MATERIAL] OVERSIGHT COMMITTEE.--There is created
|
0018| a joint interim legislative committee that shall be known as
|
0019| the "New Mexico health care finance council oversight
|
0020| committee". The New Mexico legislative council shall determine
|
0021| the membership of the committee and shall appoint the members
|
0022| and designate the chairman and the vice chairman in accordance
|
0023| with legislative council policies. The staff for the committee
|
0024| shall be provided by the legislative council service."
|
0025| Section 34. A new section of Chapter 58, Article 23 NMSA
|
0001| 1978 is enacted to read:
|
0002| "[NEW MATERIAL] OVERSIGHT COMMITTEE--POWERS AND
|
0003| DUTIES.-- The New Mexico health care finance council oversight
|
0004| committee shall:
|
0005| A. monitor and oversee the operation of the New
|
0006| Mexico health care finance council;
|
0007| B. meet on a regular basis to receive and review
|
0008| reports from the council on implementation of the provisions of
|
0009| the Health Care Finance Act;
|
0010| C. monitor and provide assistance and advice on the
|
0011| program of the council;
|
0012| D. monitor capital planning and financing by health-
|
0013| care providers and take testimony from officials on capital and
|
0014| financing needs of health-care providers;
|
0015| E. provide advice and assistance to the council and
|
0016| cooperate with the executive branch of state government and
|
0017| health-care providers on planning and financing of health-care
|
0018| projects;
|
0019| F. undertake an ongoing examination of the statutes,
|
0020| regulations and court decisions governing capital and financing
|
0021| needs for health-care providers in New Mexico; and
|
0022| G. report its findings and recommendations, including
|
0023| recommended legislation or necessary changes, to the governor
|
0024| and to each session of the legislature. The report and any
|
0025| proposed legislation shall be made available on or before
|
0001| December 15 each year."
|
0002| Section 35. TEMPORARY PROVISION--CONTINUATION OF BOARD.--
|
0003| Members of the board of directors of the New Mexico hospital
|
0004| equipment loan council for the performance of essential public
|
0005| functions appointed prior to the effective date of the Health
|
0006| Care Finance Act shall continue to serve as appointed members
|
0007| of the board of the New Mexico health care finance council,
|
0008| until their terms expire and their successors are appointed and
|
0009| qualified pursuant to the provisions of the Health Care Finance
|
0010| Act. All existing contracts, agreements and outstanding bonds
|
0011| of the New Mexico hospital equipment loan council for the
|
0012| performance of essential public functions in effect on the
|
0013| effective date of the Health Care Finance Act shall continue in
|
0014| effect under the provisions of the Health Care Finance Act and
|
0015| shall be assumed by the New Mexico health care finance council.
|
0016| Section 36. EMERGENCY.--It is necessary for the public
|
0017| peace, health and safety that this act take effect immediately.
|
0018|
|
0019|
|
0020| FORTY-THIRD LEGISLATURE
|
0021| FIRST SESSION, 1997 SB 906/a
|
0022|
|
0023|
|
0024| March 16, 1997
|
0025|
|
0001| Mr. President:
|
0002|
|
0003| Your PUBLIC AFFAIRS COMMITTEE, to whom has been
|
0004| referred
|
0005|
|
0006| SENATE BILL 906
|
0007|
|
0008| has had it under consideration and reports same with
|
0009| recommendation that it DO PASS, amended as follows:
|
0010|
|
0011| 1. On page 44, line 10, strike "is" and insert in lieu
|
0012| thereof "may be".,
|
0013|
|
0014| and thence referred to the CORPORATIONS & TRANSPORTATION
|
0015| COMMITTEE.
|
0016|
|
0017| Respectfully submitted,
|
0018|
|
0019|
|
0020|
|
0021|
|
0022| __________________________________
|
0023| Shannon Robinson, Chairman
|
0024|
|
0025|
|
0001|
|
0002| Adopted_______________________ Not
|
0003| Adopted_______________________
|
0004| (Chief Clerk) (Chief Clerk)
|
0005|
|
0006|
|
0007| Date ________________________
|
0008|
|
0009|
|
0010| The roll call vote was 6 For 0 Against
|
0011| Yes: 6
|
0012| No: 0
|
0013| Excused: Adair, Boitano, Vernon
|
0014| Absent: None
|
0015|
|
0016|
|
0017|
|
0018|
|
0019| S0906PA1
|
0020|
|
0021| FORTY-THIRD LEGISLATURE
|
0022| FIRST SESSION, 1997
|
0023|
|
0024|
|
0025| March 18, 1997
|
0001|
|
0002| Mr. President:
|
0003|
|
0004| Your CORPORATIONS & TRANSPORTATION COMMITTEE, to
|
0005| whom has been referred
|
0006|
|
0007| SENATE BILL 906, as amended
|
0008|
|
0009| has had it under consideration and reports same with
|
0010| recommendation that it DO PASS.
|
0011|
|
0012| Respectfully submitted,
|
0013|
|
0014|
|
0015|
|
0016|
|
0017| __________________________________
|
0018| Roman M. Maes, III, Chairman
|
0019|
|
0020|
|
0021|
|
0022| Adopted_______________________ Not
|
0023| Adopted_______________________
|
0024| (Chief Clerk) (Chief Clerk)
|
0025|
|
0001|
|
0002|
|
0003| Date ________________________
|
0004|
|
0005|
|
0006| The roll call vote was 7 For 0 Against
|
0007| Yes: 7
|
0008| No: 0
|
0009| Excused: Fidel, Howes, Robinson
|
0010| Absent: None
|
0011|
|
0012|
|
0013| S0906CT1
|