New York State Assembly

 
•  Summary 
 
•  Actions 
 
•  Floor Votes 
 
•  Memo 
 
•  Text 

A10002 Summary:

A10002 Actions:

A10002 Floor Votes:

A10002 Text:

 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          10002
 
                   IN ASSEMBLY
 
                                       May 1, 2012
                                       ___________
 
        Introduced  by M. of A. BRENNAN -- read once and referred to the Commit-
          tee on Corporations, Authorities and Commissions
 
        AN ACT to amend the not-for-profit corporation law, in relation  to  the
          organization of university faculty practice corporations
 
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
 

     1    Section 1. Paragraphs (a), (c) and (e) of section 1412 of the not-for-
     2  profit corporation law, as amended by chapter 253 of the laws  of  1999,
     3  are amended to read as follows:
     4    (a)  Organization.  Notwithstanding any other provision of law, one or
     5  more individuals who are duly authorized  by  law  to  render  the  same
     6  professional service, which shall be the practice of medicine, the prac-
     7  tice  of dentistry, the practice of chiropractics, the practice of phys-
     8  ical therapy or the practice of optometry, and who are  members  of  the
     9  faculty of the same accredited medical school, dental school, chiroprac-
    10  tic college, college or university with an accredited doctor of physical
    11  therapy program or optometry college, as applicable, in the state of New
    12  York  may organize, or cause to be organized, a university faculty prac-

    13  tice corporation under this article (1) for the  purpose  of  supporting
    14  the educational mission of such school by providing clinical instruction
    15  and  supervision  of students of such school, interns and residents and,
    16  incident thereto, rendering professional services and (2) which shall be
    17  operated in compliance with (A) section 501(c)(3) of the  United  States
    18  internal  revenue  code  and  (B)  the  faculty practice plan with which
    19  members of the faculty of such school are required to comply, as amended
    20  from time to time.
    21    (c) Certificate of incorporation. The certificate of incorporation  of
    22  a university faculty practice corporation shall meet the requirements of
    23  this  chapter  and  shall have attached thereto a certificate or certif-
    24  icates issued by the licensing authority certifying  that  each  of  the
    25  proposed members, if any, directors and officers is authorized by law to

    26  practice  the  profession  which  the  corporation is being organized to
    27  practice. The certificate shall also state (1) the name of  the  medical
    28  school,  dental school, chiropractic college, college or university with
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD15314-01-2
        A. 10002                            2
 
     1  an accredited doctor of physical therapy program or  optometry  college,
     2  as  applicable,  in the state of New York of which the proposed members,
     3  if any, directors and officers are faculty and (2) that such corporation
     4  shall  operate  in  compliance  with (A) section 501(c)(3) of the United

     5  States internal revenue code and (B)  the  faculty  practice  plan  with
     6  which  members  of the faculty of such school are required to comply, as
     7  amended from time to time.
     8    (e) Applicability of laws; members, directors and officers. This chap-
     9  ter shall be applicable to a  university  faculty  practice  corporation
    10  except  to  the  extent  that  the provisions thereof conflict with this
    11  section. A university faculty practice corporation  may  consolidate  or
    12  merge  only  with  another  university faculty practice corporation. The
    13  following provisions of article fifteen of the business corporation  law
    14  shall  be applicable to a university faculty practice corporation except
    15  that each reference in such  provisions  to  a  "shareholder"  shall  be
    16  deemed  to  be  a  reference  to  a  "member" and each reference in such

    17  provisions to "shareholders" shall be deemed a reference  to  "members":
    18  paragraphs  (a),  (b), (c) and (e) of section fifteen hundred one; para-
    19  graphs (b), (c) and (d) of section  fifteen  hundred  three;  paragraphs
    20  (a),  (c)  and  (g)  of  section  fifteen  hundred four; section fifteen
    21  hundred five; section fifteen hundred nine except  to  the  extent  such
    22  section  refers to section fifteen hundred ten; paragraph (a) of section
    23  fifteen hundred twelve; section fifteen hundred  fourteen;  and  section
    24  fifteen  hundred  fifteen.    No individual may be a member, director or
    25  officer of a university faculty practice corporation unless  such  indi-
    26  vidual  is  authorized  by  law to practice in this state the profession
    27  which such corporation is authorized to practice and is a member of  the
    28  faculty  of  the  medical  school,  dental school, chiropractic college,

    29  college or university with an  accredited  doctor  of  physical  therapy
    30  program  or  optometry  college  which  such corporation is organized to
    31  support.
    32    § 2. This act shall take effect immediately.