§ 3406. Transfer of property; relationship with the county; certain
gifts, loans and guarantees by the county. 1. (a) By county ordinance
only, the county may contract, sell, convey, loan, license the use of,
or lease to the corporation any property or assets (except monies
appropriated by the county and payable to the corporation pursuant to
subdivision three and paragraph (a) of subdivision four of this
section), including its interest in Healthfirst Inc., which are useful
in connection with the exercise by the corporation of any of its powers
under this title in order to transfer the facilities and operations in
whole or in part of any facility, operation or program of the county of
Nassau providing health care services, whether or not the provision of
such facility, operation or program by the county is specifically
mandated by state law, to the corporation by agreement between the
county and the corporation and any subsequent renewal or amendment
thereof. The powers conferred upon the county herein to sell, convey,
loan, license the use of or lease property or assets of the county to
the corporation are in addition to any other powers granted to the
county by law relating to the sale, conveyance, alienation, leasing,
licensing or loaning of real or personal property and are not subject to
any law to the extent inconsistent herewith.

(b) Any such contract, sale, conveyance, loan, license or lease shall
be upon such terms and conditions, for such consideration which may
include cash, services or any combination thereof which the county
determines to be in the best interests of the citizens and taxpayers of
the county and for such term or terms of years, subject to the rights of
the holders of any bonds, as the corporation and the county may agree.
No real property of the county consisting of any health facility
currently operated by Nassau county shall be transferred to the
corporation in fee, except under such restrictions regarding rights of
first refusal, or other rights, to repurchase the property as the Nassau
county legislature shall approve by act. Any such contract, sale,
conveyance, lease, loan or license shall not be subject to referendum,
permissive or mandatory. In the event that the county contracts, sells,
conveys, loans, licenses or leases any property or assets to the
corporation, the county may contract with the corporation to lease,
borrow, license, operate, maintain, manage and provide services for such
facilities upon such terms and conditions and for such term or terms of
years, subject to the rights of holders of bonds, as the corporation and
the county may agree. The corporation, in furtherance of any purchase,
conveyance or lease of any property or facility from the county, may
assume the primary responsibility for the payment of the principal and
interest on any bonds or notes issued by the county for such property or
facility.

(c) Upon the terms and conditions and on the effective date set forth
in the agreement between the county and the corporation entered into
pursuant to paragraph (a) of subdivision one of this section, such
departments, agencies, facilities, services and other rights and
interest of the county pertaining to health care services as the county
or corporation may agree shall be transferred to the corporation. Upon
any such transfer, the county is authorized to restructure or eliminate
all such departments, agencies or facilities.

2. The county may acquire by purchase, lease, or condemnation pursuant
to the eminent domain procedure law, real property in the name of the
county for any corporate purpose of the corporation.

3. In addition to any other powers granted to it by law and consistent
with the constitution and other provisions of law, the county may, from
time to time, appropriate sums of money to defray project costs or any
other costs or expenses of the corporation including operating expenses.

Subject to the rights of bondholders, the county may determine if the
monies so appropriated shall be subject to repayment by the corporation
to the county and, in such event, the manner and time or times for such
repayment.

4. In addition to the authority granted elsewhere in this title and by
other applicable laws, the corporation and the county may enter into a
contract or contracts from time to time providing for one or more of the
following:

(a) the payment of sums appropriated by the county pursuant to
subdivision three of this section;

(b) the payment of sums for health care services provided by the
corporation which could otherwise be provided directly by the county,
including services for uncompensated care;

(c) services to be provided by the county to or on behalf of the
corporation;

(d) the transfer of employees of the county to the corporation as
provided in section thirty-four hundred three of this title;

(e) indemnification by the corporation to the county for claims
associated with establishment of and operation of the corporation and
its health facilities;

(f) the sale, conveyance, loan, license or lease by the county to the
corporation of any property (except monies appropriated by the county
and payable to the corporation pursuant to subdivision three and
paragraph (a) of this subdivision) or facilities which are useful in
connection with the exercise by the corporation of any of its powers
under this title not transferred pursuant to the authority granted in
paragraph (a) of subdivision one of this section, which sale,
conveyance, loan, license or lease shall nevertheless be subject to
paragraph (b) of subdivision one of this section; and

(g) such other matters as may be appropriate to accomplish the
purposes hereof.

Any such contract or contracts shall be authorized by the county by
resolution or ordinance adopted by the county legislature or in such
other manner as permitted by the county government law of the county of
Nassau. Such contract or contracts shall include such terms and
conditions and have such term or terms of years, as the corporation and
the county may agree.

5. (a) The county of Nassau shall have the power and is hereby
authorized, pursuant to section seven of article seventeen of the state
constitution, to lend its money or credit to or in aid of the
corporation or any subsidiary thereof for the purpose of providing
health related facilities or hospital facilities for the prevention,
diagnosis or treatment of human disease, pain, injury, disability,
deformity or physical condition, and for facilities incidental or
appurtenant thereto as may be prescribed by law. The county is hereby
authorized to prescribe such facilities by local law of the county. The
corporation or any such subsidiary thereof, as a condition to any such
loan of money or credit, shall enter into a regulatory agreement with
the county as to its charges, profits, dividends and disposition or its
property of franchises, which agreement shall be binding and enforceable
by the county. The county may elect in such regulatory agreement to
refrain from exercising all or any portion of its authority to so
regulate such charges, profits, dividends and disposition of property or
franchise to the extent such charges, profits, dividends and disposition
of property or franchise are regulated by the state or any agency
thereof. The county shall authorize such regulatory agreement by local
law.

(b) In pursuance of the authority granted herein, the county shall
have the power and is hereby authorized from time to time to issue its
bonds, notes or other obligations in such principal amounts as it shall
deem necessary, after taking into account other monies which may be
available for the purposes set forth herein. Such bonds, notes or
obligations shall be issued for the purpose of making loans to the
corporation or any subsidiary thereof, paying interest on such bonds,
notes or other obligations, and paying all other obligations and
expenditures incidental to and necessary or convenient for the making of
such loans. Such bonds, notes or obligations shall be issued in
accordance with the applicable provisions of this chapter and the local
finance law and applicable local laws.

(c) Any guarantee by the county made pursuant to the authority granted
in this section shall be authorized by ordinance or ordinances of the
county in the same manner as such ordinance or ordinances authorizing
the issuance of bonds of the county for the purposes for which such
guarantee is undertaken.

(d) The county shall also be authorized to enact laws governing the
conditions under which such loans, commitments and guarantees shall be
made.

6. For purposes of subdivision four of paragraph a of section 25.00 of
the local finance law, amounts to be derived by the county of Nassau
from the corporation, or any subsidiary thereof, shall be included in
the term "other income".

7. (a) Notwithstanding the provisions of any other state or local law
to the contrary, including, but not limited to, sections six-n and six-j
of the general municipal law, with the approval of the county
legislature, amounts deposited for or on behalf of the health care and
medical facilities or operations of the county which have been
transferred to the corporation pursuant to this section in the liability
and casualty and workers' compensation reserve funds established by the
county pursuant to said sections of the general municipal law, and
investment earnings thereon, may be withdrawn by the county from such
funds and transferred to the corporation and shall be used by the
corporation for the purposes for which such funds were established.

(b) No amounts shall be withdrawn and transferred to the corporation
pursuant to this subdivision unless prior thereto the corporation has
agreed in writing to indemnify and hold harmless the county, and provide
defense, for all claims, cases, proceedings, actions or other matters
against the county arising out of the properties, facilities, operations
or employees of the corporation of the Nassau Health Care Corporation,
whether commenced before or after the date of transfer of said amounts,
and to provide such other security for this obligation as the county may
reasonably require.

8. Notwithstanding the provisions of any state or local law to the
contrary, including but not limited to section six-l of the general
municipal law, any monies derived by the county in consideration of the
sale of its facilities or property to the corporation pursuant to this
section may be used for any lawful purpose of the county.