N.Y. MHY Law § 75.13 — New York Code / Act MHY / Title E / Article 75 / Section 75.13
Powers and limitations of a company
Status: in_force

§ 75.13 Powers and limitations of a company.\n  (a) Except as is inconsistent with the provisions of this article, a\ncompany shall have, in carrying out the purposes of this article, the\npowers conferred on corporations by the not-for-profit corporation law\nand shall be subject to the limitations contained therein.\n  (b) Companies shall have the following additional powers:\n  1. To make and execute contracts and other instruments necessary or\nconvenient in the exercise of its powers;\n  2. To acquire or contract to acquire from any persons, firm,\ncorporation, public corporation, municipality, federal or state agency,\nby grant, purchase, or otherwise, leaseholds, real, personal, or mixed\nproperty or any interest therein, and to sell, assign, exchange,\ntransfer, mortgage, or encumber the same;\n  3. To own, hold, clear, and improve, leasehold, real, personal or\nmixed property or any interest therein;\n  4. To issue non-interest bearing debentures up to an amount\nrepresenting the difference, if any, between the amount of the mortgage\nmade by the company and the estimated project cost; and in the event the\nfinal project cost shall exceed the estimated project cost, the\ndifference between the amount of the mortgage made by the company and\nsuch final project cost;\n  5. To construct, reconstruct, rehabilitate, improve, alter, repair,\nlease, manage, or operate and otherwise provide community mental health\nservices or developmental disabilities services projects;\n  6. To insure or provide for the insurance of its property or\noperations as required by law and also against such other risks as it\nmay deem advisable;\n  7. To limit by contract the exercise of any of its powers;\n  8. To invest any funds held in reserves or sinking funds, or any funds\nnot required for immediate disbursement in property or securities in\nwhich savings banks may legally invest funds subject to their control;\n  9. To sue and be sued;\n  10. To have a seal and alter the same at pleasure;\n  11. To make and from time to time amend and repeal bylaws, rules, and\nregulations not inconsistent with the provisions of this article;\n  12. To enter into contracts with the New York state housing finance\nagency for mortgage loans, to pay all such fees and charges as may be\nimposed by such agency as a condition of such mortgage loan;\n  13. To enter into contracts with lending institutions for mortgage\nloans, to pay all such fees and charges as may be imposed by such\nlending institution as a condition of such mortgage loan;\n  14. To enter into contracts with a local governmental unit for the\nrendering of services;\n  15. To receive assistance from the state, federal government,\nmunicipalities, local governmental units, or any person, firm, or\ncorporation by contract or otherwise; to comply, subject to the\nprovisions of this article, with the terms and conditions of such\nassistance; and in connection with assistance grants which are made by\nthe state, federal government or a municipality to reimburse the company\nfor project costs which have been paid for by such company from the\nproceeds of the mortgage loan or such other funds which are legally made\navailable to the company, to hold and apply such assistance grants in\naccordance with the requirements of the commissioner and the New York\nstate housing finance agency;\n  16. To do all other things necessary or convenient to carry out its\npowers.\n  (c) No company shall:\n  1. Acquire any real property or interest therein unless such company\nshall first have obtained from the commissioner a certificate that such\nacquisition is consistent with the purposes of this article;\n  2. Issue notes, bonds, debentures, or other obligations in an\naggregate amount greater than project cost;\n  3. Without first having obtained the written consent of the\ncommissioner:\n  (i) Construct, reconstruct, rehabilitate, improve, alter, or repair\nany project, or enter into any contract for such purposes;\n  (ii) Sell, transfer, lease, or encumber any real property, except that\nno such consent shall be necessary in any sale in foreclosure pursuant\nto section 75.29;\n  (iii) Enter into any contracts relating to the management or operation\nof community mental health services or developmental disabilities\nservices projects;\n  (iv) Enter into any contract for the payment of any salary, fee, or\nemolument to officers or employees;\n  (v) Make a guaranty or payment, or pledge any or all of its assets,\nincome, or revenues to secure payment of its obligations;\n  (vi) Lease a project or a portion thereof to a third party for the\npurposes of operation, such lease to be subject to all the terms,\nprovisions, and limitations of any mortgage loan made by the New York\nstate housing finance agency relating to such project;\n  (vii) Voluntarily dissolve after twenty years, or such earlier date as\nthe bonds issued by the New York state housing finance agency with\nrespect to the project are subject to redemption; provided, however,\nthat in the event an unpaid balance remains due on a mortgage held by\nthe New York state housing finance agency, the consent of the agency\nmust also be obtained.\n  4. Expend any state moneys except for value received. No company shall\nmake any charitable contribution of moneys received from the state or\nuse state funds to pay above market value for any goods or services,\nexcept as authorized by the offices of the department.\n