S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  9103--A
 
                             I N  S E N A T E
 
                               June 17, 2018
                                ___________
 
 Introduced  by  Sen. LAVALLE -- read twice and ordered printed, and when
   printed to be  committed  to  the  Committee  on  Rules  --  committee
   discharged, bill amended, ordered reprinted as amended and recommitted
   to said committee
 
 AN  ACT  authorizing  the  lease  of  certain lands located at the State
   University of New York at Stony Brook; and providing for the repeal of
   such provisions upon expiration thereof
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Legislative findings. The legislature finds that as part of
 the Amended and Restated Integration and Affiliation Agreement, dated as
 of  April  7, 2017 (the "IAA"), between The Southampton Hospital Associ-
 ation ("SHA") and the state university of New York  acting  through  its
 Stony  Brook University Hospital ("SBUH"), the parties committed to work
 together to construct, if feasible, a new  hospital  facility  on  Stony
 Brook  University's  (the "University") Southampton campus ("New SH") to
 replace the current SHA facilities, which are currently leased  to  SBUH
 which  uses  them to operate a hospital in Southampton, New York. New SH
 is a key part of the strategy for the growth of Stony Brook Medicine and
 University as a regional center of health care and a national leader  in
 innovation and discovery. It will be a state of the art facility located
 on  the  Southampton  campus that replaces an aging plant located in the
 midst of Southampton village. New SH will serve as the focus of  innova-
 tive  hospital, community, and population based health care for the East
 End and beyond. It will also be an anchor for  the  development  of  the
 Southampton  campus as a site of advanced technology, clinical research,
 and education for the health sciences and the general health care commu-
 nity. In addition to its proximity to other health science programs, the
 new location will enhance access to care for the community  and  broaden
 the reach of Stony Brook Medicine well beyond its current area.
   The  legislature further finds that granting the trustees of the state
 university of New York the authority and power to  lease  and  otherwise
 contract  to  make available grounds and facilities of the campus of the
 State University of New York at Stony Brook will enable SBUH to  fulfill
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
              

                       [ ] is old law to be omitted.
                                                            LBD16342-03-8

 S. 9103--A                          2
 
 its obligations, further its legislatively mandated mission of research,
 education  and  provision of health services, enhance access to care for
 the community and broaden the reach of  SBUH  and  the  University  well
 beyond its current area.
   §  2. Notwithstanding any other law to the contrary, the state univer-
 sity trustees are hereby authorized and empowered,  without  any  public
 bidding, to lease and otherwise contract to make available to The South-
 ampton  Hospital  Association, a not-for-profit corporation (the "Ground
 Lessee"), a portion of the lands of the University  on  its  Southampton
 campus,  being one of two separate parcels of land, one approximately 15
 acres and the other approximately 8.9 acres, for an aggregate  total  of
 approximately 23.9 acres generally described in this act for the purpose
 of  constructing  and operating New SH.  Such lease or contract shall be
 for a period not exceeding 100 years without any fee  simple  conveyance
 and  otherwise  upon  terms  and conditions determined by such trustees,
 subject to the approval of the director of the division of  the  budget,
 the  attorney  general  and the state comptroller. In the event that the
 real property that is the subject of such lease or contract shall  cease
 to be used for the purpose described in this act, such lease or contract
 shall  immediately  terminate and the real property and any improvements
 thereon shall revert to the state university of New York. Any  lease  or
 contract  entered  into pursuant to this act shall provide that the real
 property that is the subject of such lease or contract and any  improve-
 ments  thereon  shall  revert to the state university of New York on the
 expiration of such contract or lease.
   § 3. Any contract or lease entered into pursuant to this act shall  be
 deemed to be a state contract for purposes of article 15-A of the execu-
 tive  law, and any contractor, subcontractor, lessee or sublessee enter-
 ing into such contract or lease for the construction, demolition, recon-
 struction, excavation, rehabilitation, repair, renovation, alteration or
 improvement authorized pursuant to this act  shall  be  deemed  a  state
 agency for the purposes of article 15-A of the executive law and subject
 to the provisions of such article.
   §  4.  Notwithstanding  any  general, special or local law or judicial
 decision to the contrary, all work performed on a project authorized  by
 this  act where all or any portion thereof involves a lease or agreement
 for  construction,  demolition,  reconstruction,  excavation,  rehabili-
 tation,  repair,  renovation,  alteration or improvement shall be deemed
 public work and shall be subject to and performed in accordance with the
 provisions of article 8 of the labor law to the same extent and  in  the
 same  manner  as  a  contract  of the state, and compliance with all the
 provisions of article 8 of the  labor  law  shall  be  required  of  any
 lessee, sublessee, contractor or subcontractor on the project, including
 the enforcement of prevailing wage requirements by the fiscal officer as
 defined  in paragraph e of subdivision 5 of section 220 of the labor law
 to the same extent as a contract of the state.
   § 5. Notwithstanding any law, rule or regulation to the contrary,  the
 state  university  of  New  York  on  the site of Stony Brook University
 Hospital in Stony Brook, New York, shall not contract out to the  South-
 ampton Hospital Association or any subsidiary for the instruction or any
 pedagogical  functions or services, maintenance, operation or any admin-
 istrative services, or similar  professional  services  currently  being
 performed by state employees at Stony Brook Hospital. All such functions
 and services shall be performed by state employees pursuant to the civil
 service law. Nothing in this act shall result in the permanent displace-
 ment  of  any  currently  employed  state worker or the loss of position

 S. 9103--A                          3
 
 (including partial displacement such as the permanent reduction  in  the
 hours  of  non-overtime, wages or employment benefits), or result in the
 impairment of existing contracts for services or  collective  bargaining
 rights pursuant to existing agreements. All positions currently at Stony
 Brook  University  Hospital in the unclassified or classified service of
 the civil service law shall remain in  the  classified  or  unclassified
 service.   Except in cases of medical exigency or for training purposes,
 the Stony Brook University Hospital shall not have any employees working
 in the hospital facility based in Stony Brook, New York as employees  of
 Staffco  of  Brooklyn,  LLC.  No  functions,  services or work currently
 performed by classified employees of Stony Brook University Hospital  at
 the  site  of  Stony  Brook University Hospital in Stony Brook, New York
 shall be transferred to Staffco of Brooklyn, LLC or the Research Founda-
 tion of SUNY during the term of the IAA as defined  in  section  one  of
 this act.
   Except  as otherwise contemplated by the IAA as defined in section one
 of this act, or as permitted by relevant  collective  bargaining  agree-
 ments no services or work on the property described in this act which is
 subject  to  the  ground  lease authorized hereby currently performed by
 public employees or future work that is the same in scope and nature  to
 the  work  being  currently  performed  by  public  employees  shall  be
 contracted out or privatized by the Stony Brook University Hospital.
   Except as otherwise contemplated by the IAA as defined in section  one
 of  this  act,  all siting of health services at Stony Brook Southampton
 Hospital shall be consistent with the certificate of need process estab-
 lished by the department of health.
   Unless permitted by the IAA and section 99-y of the state finance law,
 there shall be no commingling of any revenue or expenses associated with
 a new hospital facility on Stony Brook University's Southampton  Campus,
 or  Staffco  of  Brooklyn,  LLC  with  expenses and revenue of the state
 university of New York or the State University  of  New  York  at  Stony
 Brook or Stony Brook University Hospital.
   Nothing  in  this act shall be deemed to waive or impair any rights or
 benefits of employees of the state university of New York that otherwise
 would be available to them pursuant to the terms of  agreements  between
 the  certified  representatives  of  such employees and the state of New
 York pursuant to article 14 of the civil service law.
   § 6. On or before November fifteenth of each year and subject  to  the
 New York state freedom of information law, Stony Brook University Hospi-
 tal  shall  provide  a list indicating bargaining unit titles, positions
 and salaries of employees of Staffco of Brooklyn, LLC who are working at
 Stony Brook by Southampton Hospital, to the chairs of the higher  educa-
 tion  committees  in  both  the senate and assembly. Such list shall not
 disclose names or other personal identifying information which shall  be
 redacted, if necessary.
   § 7. 1. For the purposes of this act: (a) "project" shall mean work at
 the  property  authorized  by  this  act to be leased to The Southampton
 Hospital Association as described in section twelve  of  this  act  that
 involves  the design, construction, reconstruction, demolition, excavat-
 ing, rehabilitation, repair, renovation, alteration  or  improvement  of
 New SH.
   (b)  "project  labor  agreement"  shall  mean  a  pre-hire  collective
 bargaining agreement between a  contractor  and  a  labor  organization,
 establishing  the labor organization as the collective bargaining repre-
 sentative for all persons who will perform  work  on  the  project,  and
 which  provides that only contractors and subcontractors who sign a pre-

 S. 9103--A                          4
 
 negotiated agreement with the labor  organization  can  perform  project
 work.
   2.  Notwithstanding  the  provisions of any general, special, or local
 law or judicial decision to the contrary: (a) The  Southampton  Hospital
 Association  may  require  a contractor awarded a contract, subcontract,
 lease, grant, bond, covenant or other agreement for a project  to  enter
 into  a  project  labor  agreement during and for the work involved with
 such project when such requirement is part of  Ground  Lessee's  request
 for  proposals for the project and when the State University of New York
 at Stony Brook determines that the record  supporting  the  decision  to
 enter  into  such an agreement establishes that the interests underlying
 the competitive bidding laws are best met by requiring a  project  labor
 agreement  including  obtaining  the  best  work  at the lowest possible
 price; preventing favoritism, fraud and corruption; the impact of delay;
 the possibility of cost savings; and any local history of labor unrest.
   (b) If the State University of  New  York  at  Stony  Brook  does  not
 require  a  project labor agreement, then any contractor, subcontractor,
 lease, grant, bond, covenant or other agreements for a project shall  be
 awarded pursuant to section 135 of the state finance law.
   § 8. Without limiting the determination of the terms and conditions of
 such  contracts  or  leases,  such  terms and conditions may provide for
 leasing,  subleasing,  construction,   reconstruction,   rehabilitation,
 improvement,  operation  and management of and provision of services and
 assistance and the granting of licenses, easements  and  other  arrange-
 ments  with  regard to such grounds and facilities by the Ground Lessee,
 and parties contracting with the Ground Lessee, and, in connection  with
 such  activities,  the obtaining of funding or financing, whether public
 or private, unsecured or secured (including, but not limited to, secured
 by leasehold mortgages and assignments of  rents  and  leases),  by  the
 Ground  Lessee  and  parties  contracting with the Ground Lessee for the
 purposes of completing the project described in this act.
   § 9. Such lease shall  include  an  indemnity  provision  whereby  the
 lessee  or sublessee promises to indemnify, hold harmless and defend the
 lessor against all claims, suits, actions, and liability to all  persons
 on  the leased premises, including tenant, tenant's agents, contractors,
 subcontractors, employees, customers, guests,  licensees,  invitees  and
 members of the public, for damage to any such person's property, whether
 real  or  personal, or for personal injuries arising out of tenant's use
 or occupation of the demised premises.
   § 10. Any contracts entered into pursuant  to  this  act  between  the
 Ground  Lessee  and  parties contracting with the Ground Lessee shall be
 awarded by a competitive process.
   § 11. The state university of New York shall not lease lands described
 in this act unless any such lease shall be executed within ten years  of
 the effective date of this act.
   §  12.  The property authorized by this act to be leased to The South-
 ampton Hospital Association is generally described as one of two parcels
 of real property with improvements thereon  consisting  of  a  total  of
 approximately  23.9 acres situated on the campus of the State University
 of New York at Stony Brook. The  description  in  this  section  of  the
 parcels  to  be made available pursuant to this act is not meant to be a
 legal description, but is intended only to identify the parcels:
   PARCEL 1
   Beginning at a point formed by the intersection of the southerly  line
 of  M.T.A.  (Long  Island  Rail  Road) and the westerly line of Tuckahoe
 Road;

 S. 9103--A                          5
 
   Running thence South 32° 27' 30" West for a distance of 710.08 feet to
 a point;
   Running thence North 83° 56' 30" West for a distance of 555.33 feet to
 a point;
   Running thence South 89° 10' 00" West for a distance of 321.40 feet to
 a point;
   Running thence North 10° 35' 30" East for a distance of 692.66 feet to
 a point;
   Running  thence  South 83° 08' 20" East for a distance of 1135.50 feet
 to the point or place of beginning.
   Containing 653,704 sq. ft. (15.007 acres), more or less.   Subject  to
 all existing easements and restrictions of record.
   PARCEL 2
   Beginning  at a point formed by the intersection of the southerly line
 of M.T.A. (Long Island Rail Road) and the easterly widened line of Tuck-
 ahoe Road;
   Running thence South 81° 38' 20" East for a distance of 751.98 feet to
 a point;
   Running thence South 15° 10' 59" West for a distance of 620.58 feet to
 a point;
   Running thence North 66° 08' 50" West for a distance of 342.64 feet to
 a point;
   Running thence North 55° 07' 30" West for a distance of 550.64 feet to
 a point;
   Running thence North 33° 57' 30" East for a distance of 219.18 feet to
 a point;
   Running thence South 57° 32' 30" East for a distance of 10.00 feet  to
 a point;
   Running  thence North 33° 57' 30" East for a distance of 94.79 feet to
 the point or place of beginning.
   Containing 389,465 sq. ft. (8.941 acres), more or less. Subject to all
 existing easements and restrictions of record.
   § 13. Insofar as the provisions of this act are inconsistent with  the
 provisions of any law, general, special or local, the provisions of this
 act shall be controlling.
   §  14.  This act shall take effect immediately; provided, however, the
 report required pursuant to section six of this act shall take effect on
 November fifteenth next succeeding  the  opening  of  the  new  hospital
 facility  on the land that is the subject of the ground lease authorized
 by this act; and provided further that, if the lease authorized by  this
 act  has  not  been  yet  executed,  this act shall expire and be deemed
 repealed either:
   (a) ten years after the effective date of this act; or
   (b) the date by which Stony Brook University, in its sole  discretion,
 determines that such lease is no longer viable and notifies the legisla-
 tive  bill drafting commission upon the occurrence of such determination
 in order that the commission may maintain an accurate and timely  effec-
 tive data base of the official text of the laws of the state of New York
 in  furtherance  of  effectuating  the  provisions  of section 44 of the
 legislative law and section 70-b of the public officers law.