0001| HOUSE BILL 365
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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| EDWARD C. SANDOVAL
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0005|
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0006|
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0007|
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0008| FOR THE HEALTH CARE REFORM COMMITTEE
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0009|
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0010| AN ACT
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0011| RELATING TO HEALTH CARE; AMENDING THE PRIMARY CARE CAPITAL
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0012| FUNDING ACT TO REQUIRE CERTAIN CONTRACTS AND TO REPEAL THE
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0013| FIRST LIEN REQUIREMENT.
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0014|
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0015| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
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0016| Section 1. Section 24-1C-4 NMSA 1978 (being Laws 1994,
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0017| Chapter 62, Section 10) is amended to read:
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0018| "24-1C-4. PRIMARY CARE CAPITAL FUND--CREATION--
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0019| EXPENDITURES.--
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0020| A. The "primary care capital fund" is created as a
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0021| revolving fund in the state treasury. The fund shall consist
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0022| of appropriations, loan repayments, gifts, grants, donations
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0023| and interest earned on investment of the fund. Money in the
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0024| fund shall not revert at the end of a fiscal year.
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0025| B. The fund shall be administered by the authority.
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0001| Administrative costs of the authority or department shall not
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0002| be paid from the fund. Money in the fund shall be expended
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0003| only on warrants drawn by the secretary of finance and
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0004| administration pursuant to vouchers signed by the director of
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0005| the authority or his authorized representative.
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0006| C. Each year at least ten percent but no more than
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0007| twenty-five percent of the balance in the fund shall be
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0008| expended to enter into contracts for services pursuant to the
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0009| provisions of Subsection B of Section 24-1C-6 NMSA 1978."
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0010| Section 2. REPEAL.--Section 24-1C-8 NMSA 1978 (being Laws
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0011| 1994, Chapter 62, Section 14) is repealed.
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0012| - 2 -
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0013|
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0014|
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0015| State of New Mexico
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0016| House of Representatives
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0017|
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0018| FORTY-THIRD LEGISLATURE
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0019| FIRST SESSION, 1997
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0020|
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0021|
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0022| February 19, 1997
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0023|
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0024|
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0025| Mr. Speaker:
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0001|
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0002| Your JUDICIARY COMMITTEE, to whom has been referred
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0003|
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0004| HOUSE BILL 365
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0005|
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0006| has had it under consideration and reports same with
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0007| recommendation that it DO PASS, amended as follows:
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0008|
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0009| 1. On page 1, line 12, after "CONTRACTS" insert "AND REVISE
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0010| LOAN PROVISIONS".
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0011|
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0012| 2. On page 1, between lines 15 and 16, insert the following
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0013| section:
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0014|
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0015| "Section 1. Section 24-1C-1 NMSA 1978 (being Laws
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0016| 1994, Chapter 62, Section 7) is amended to read:
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0017|
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0018| "24-1C-1. SHORT TITLE.--[Sections 7 through 16 of this
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act] Chapter 24, Article 1C NMSA 1978 may be cited as the
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0020| "Primary Care Capital Funding Act"."".
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0021|
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0022| 3. Renumber succeeding sections accordingly.
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0023|
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0024| 4. On page 2, strike all of lines 10 and 11 and insert in
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0025| lieu thereof the following new sections:
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0001|
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0002| "Section 3. Section 24-1C-6 NMSA 1978 (being Laws 1994,
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0003| Chapter 62, Section 12) is amended to read:
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0004|
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0005| "24-1C-6. DEPARTMENT--AUTHORITY--POWERS AND DUTIES.--
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0006|
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0007| A. The department and the authority shall administer
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0008| the loan programs and contracts for services established pursuant
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0009| to the provisions of the Primary Care Capital Funding Act. The
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0010| department and authority shall:
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0011|
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0012| (1) enter into joint powers agreements with each
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0013| other or other appropriate public agencies to carry out the
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0014| provisions of that act; and
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0015|
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0016| (2) apply to any appropriate federal, state or
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0017| local governmental agency or private organization for grants and
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0018| gifts to carry out the provisions of that act or to fund allied
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0019| community-based health care programs.
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0020|
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0021| B. The department or authority may, instead of a
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0022| loan, contract for services with an eligible entity to provide
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0023| free or reduced fee primary care services for sick and medically
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0024| indigent persons as reasonably adequate legal consideration for
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0025| money from the fund to the entity so it may acquire or construct
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0001| a capital project to provide the services.
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0002|
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0003| C. The department and authority may:
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0004|
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0005| (1) make and enter into contracts and agreements
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0006| necessary to carry out their powers and duties pursuant to the
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0007| provisions of the Primary Care Capital Funding Act; and
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0008|
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0009| (2) do all things necessary or appropriate to
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0010| carry out the provisions of the Primary Care Capital Funding Act.
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0011|
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0012| D. The authority is responsible for all financial
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0013| duties of the programs, including:
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0014|
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0015| (1) administering the fund;
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0016|
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0017| (2) accounting for all money received,
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0018| controlled or disbursed for capital projects in accordance with
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0019| the provisions of the Primary Care Capital Funding Act;
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0020|
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0021| (3) evaluating and approving loans and contracts
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0022| for services, including determining financial capacity of an
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0023| eligible entity;
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0024|
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0025| (4) enforcing contract provisions of loans and
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0001| contracts for services, including the ability to sue to recover
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0002| money or property owed the state;
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0003|
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0004| (5) determining interest rates and other
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0005| financial aspects of a loan and relevant terms of a contract for
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0006| services; and
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0007|
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0008| (6) performing other duties in accordance with
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0009| the provisions of the Primary Care Capital Funding Act,
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0010| regulations promulgated pursuant to that act or joint powers
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0011| agreements entered into with the department.
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0012|
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0013| E. The department is responsible for [programmatic]
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0014| the following duties [, including]:
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0015|
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0016| (1) defining sick and medically indigent persons
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0017| for purposes of the Primary Care Capital Funding Act;
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0018|
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0019| (2) establishing priorities for loans and
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0020| contracts for services;
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0021|
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0022| (3) determining the appropriateness of the
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0023| capital project;
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0024|
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0025| (4) evaluating the capability of an applicant to
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0001| provide and maintain primary care or hospice services;
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0002|
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0003| (5) selecting recipients of loans and persons
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0004| with whom to contract for services;
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0005|
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0006| (6) determining that capital projects comply
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0007| with all state and federal licensing and procurement
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0008| requirements; and
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0009|
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0010| (7) contracting with an eligible entity to
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0011| provide primary care services without charge or at a reduced fee
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0012| for sick and medically indigent persons as defined by the
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0013| department.
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0014|
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0015| F. The authority may make a loan to an eligible
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0016| entity to acquire [or], construct, renovate or otherwise
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0017| improve a capital project, provided there is a finding:
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0018|
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0019| (1) by the department that the project will
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0020| provide primary care services to sick and medically indigent
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0021| persons as defined by the department; and
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0022|
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0023| (2) by the authority that there is adequate
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0024| protection including but not limited to loan guarantees, real
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0025| property liens, title insurance, security interests in or pledges
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0001| of accounts and other assets, loan covenants and warranties or
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0002| restrictions on other encumbrances and pledges for the state
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0003| funds extended for the loan."
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0004|
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0005| Section 4. Section 24-1C-9 NMSA 1978 (being Laws 1994,
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0006| Chapter 62, Section 15) is amended to read:
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0007|
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0008| "24-1C-9. ELIGIBLE ENTITY--CHANGE IN STATUS.--If an
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0009| eligible entity that has received a loan or contract for services
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0010| for a capital project ceases to maintain its nonprofit status or
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0011| ceases to deliver primary care services at the site of the
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0012| capital project for twelve consecutive months, the state [shall
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have the following remedies at its option, subject to other liens
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having preference:
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A. order liquidation of the premises and recover any
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loan balance or amount due on the contract and any interest
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previously forgiven on the loan, imputed at the prevailing
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interest rate at the time of the loan; or
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B. foreclose on the property and convert it to state
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use or transfer title to another eligible entity] may pursue
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0023| the remedies provided in the loan agreement or contract for
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0024| services or as provided by law."
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0025|
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0001| Section 5. REPEAL.--Sections 24-1C-7 and 24-1C-8 NMSA 1978
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0002| (being Laws 1994, Chapter 62, Sections 13 and 14) are repealed.".
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0003|
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0004| 5. On page 2, lines 7 and 8, strike "balance in the fund
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0005| shall be expended to enter into" and insert in lieu thereof
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0006| "financing from the fund for capital projects shall be in the
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0007| form of".,
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0008|
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0009| and thence referred to the APPROPRIATIONS AND FINANCE
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0010| COMMITTEE.
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0011|
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0012| Respectfully submitted,
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0013|
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0014|
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0015|
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0016|
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0017|
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0018| Thomas P. Foy, Chairman
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0019|
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0020|
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0021| Adopted Not Adopted
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0022|
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0023| (Chief Clerk) (Chief Clerk)
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0024|
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0025| Date
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0001|
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0002| The roll call vote was 8 For 0 Against
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0003| Yes: 8
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0004| Excused: Alwin, Larranaga, Luna, Rios, Sanchez
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0005| Absent: None
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0006|
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0007|
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0008| .117365.1
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0009| .116455.1
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0010| G:\BILLTEXT\BILLW_97\H0365 State of New Mexico
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0011| House of Representatives
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0012|
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0013| FORTY-THIRD LEGISLATURE
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0014| FIRST SESSION, 1997
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0015|
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0016|
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0017| March 5, 1997
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0018|
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0019|
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0020| Mr. Speaker:
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0021|
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0022| Your APPROPRIATIONS AND FINANCE COMMITTEE, to
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0023| whom has been referred
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0024|
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0025| HOUSE BILL 365, as amended
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0001|
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0002| has had it under consideration and reports same with
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0003| recommendation that it DO PASS.
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0004|
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0005| Respectfully submitted,
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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|
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0011| Max Coll, Chairman
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0012|
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0013|
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0014| Adopted Not Adopted
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0015|
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0016| (Chief Clerk) (Chief Clerk)
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0017|
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0018| Date
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0019|
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0020| The roll call vote was 11 For 0 Against
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0021| Yes: 11
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0022| Excused: Bird, Garcia,M.H., Marquardt, Picraux, Salazar,
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0023| Watchman
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0024| Absent: None
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0025|
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0001|
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0002| G:\BILLTEXT\BILLW_97\H0365
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0003|
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0004| FORTY-THIRD LEGISLATURE HB 365/a
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0005| FIRST SESSION, 1997
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0006|
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0007|
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0008| March 19, 1997
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0009|
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0010| Mr. President:
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0011|
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0012| Your JUDICIARY COMMITTEE, to whom has been referred
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0013|
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0014| HOUSE BILL 365, as amended
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0015|
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0016| has had it under consideration and reports same with
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0017| recommendation that it DO PASS, amended as follows:
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0018|
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0019| 1. On page 1, line 13, before the period insert ";
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0020| DECLARING AN EMERGENCY".
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0021|
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0022| 2. On page 2, between lines 11 and 12, insert the following
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0023| new section:
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0024|
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0025| "Section 3. EMERGENCY.--It is necessary for the public
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0001| peace, health and safety that this act take effect immediately.".
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0002|
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0003|
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0004| Respectfully submitted,
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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| Fernando R. Macias, Chairman
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0011|
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0012|
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0013|
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0014| Adopted_______________________ Not
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0015| Adopted_______________________
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0016| (Chief Clerk) (Chief Clerk)
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0017|
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0018|
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0019| Date ________________________
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0020|
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0021|
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0022| The roll call vote was 5 For 0 Against
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0023| Yes: 5
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0024| No: 0
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0025| Excused: Sanchez, Tsosie, Vernon
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0001| Absent: None
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0002|
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0003| H0365JU1 .118855.1
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0004|
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0005|
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