Stipulation

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SUPREME COURT OF THE STATE OF NEW YORK 
COUNTY OF QUEENS 

  

HN Ae 2 sg A Am rar es os Sa Ama Xx 

CAMPAIGN TO SAVE OUR PUBLIC HOSPITALS 
- QUEENS COALITION, an unincorporated 
association, by its member WILLIAM MALLOY, STIPULATION 
CAMPAIGN TO SAVE OUR PUBLIC HOSPITALS AMENDING ANSWER, 
- CONEY ISLAND HOSPITAL COALITION, an NOTICE OF MOTION 
unincorporated association, by its member PHILIP AND NOTICE OF CROSS- 
R. METLING, ANNE YELLIN, and MARILYN MOTION 
MOSSOP, 

Index No. 10763/96 
Plaintiffs, 

- against - 

RUDOLPH W. GIULIANI, THE MAYOR OF THE 

CITY OF NEW YORK, NEW YORK CITY 
HEALTH AND HOSPITALS CORPORATION, and 
NEW YORK CITY ECONOMIC DEVELOPMENT 
CORPORATION, 

Defendants. 

mn X 

WHEREAS, on or about May 16, 1996, plaintiffs scrved a summons and 

complaint (the “Original Complaint™), and 

WHEREAS, on or about July 1, 1996, defendants served an answer to the 

Original Complaint (the “Original Answer’), and 

WHEREAS, on or about July 12, 1996, by Notice of Motion dated July 12, 1996, 

delendants moved, inter alia, pursuant to CPLR § 3212, for summary judgment, and 

WHEREAS, on or about August 23, 1996, by Noticc of Cross-Motion dated 

August 23, 1996, plaintiffs cross-moved for summary judgment, and 

WHEREAS, on or about December 4, 1996, plaintiffs, by their attorney, the 

Pucrlo Rican Legal Defense and Education Fund, amended the Original Complaint on the record 

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and on consent of defendants, by adding a Third Cause of Action (the “Amended Complaint”), 

  

set out in paragraphs 37, 38, and 39, as anncxcd hereto as Exhibit A, and 

WHEREAS, the parties hereto wish to present the merits of their motions to the 

Court in the most efficient manner possible, and to avoid the service or presentation of 

unnecessary or duplicative papers, 

NOW, THEREFORE, it is hereby stipulated and agreed, by and between the 

attorneys for the parties herein, as [ollows: 

1. As amended by this paragraph, the Original Answer shall be deemed to 

bc thc Amended Answer to the Amended Complaint. The Original Answer is amended as 

[ollows: 

(a) to add the following paragraphs 29(a), 29(b), and 29(c), which paragraphs 

shall be deemed inserted immediately [ollowing paragraph 29 in the Original Answer: 

29(a). Deny the allegations sct forth in paragraph 37 of the 
Amended Complaint except admit that PHS New York, Inc. 

(“PHSNY”) is a for-profit corporation, refer the Court to 
PHSNY’s certificate ol incorporation [or the purposes [or which it 
was {ormed, and affirmatively state that on or about November 8, 

1996, the HHC Board of Directors adopted a Resolution 
authorizing the HHC President lo negotiate and cxecule an 

agreement for subleasc and sublease of Coney Island Hospital to 
PHSNY (the “sublease”) in conformance with the terms and 

conditions set forth in the Resolution. 

29(b). Deny the allegations set forth in paragraph 38 of the 

Amended Complaint except admit that HHC is a public benelit 
corporation created pursuant to the HHC Act, and respectiully 

refer the Court to U.L. § 7382 and to the state constitution, Article 

XVII, §§ 3 and 4, for a complete and accurate statement of their 

contents. 

29(¢c). Deny the allegations sct forth in paragraph 39 of the Amended Complaint. 

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and (b) to add the following paragraphs 41 through 46, which paragraphs shall 

  

bc decmed inserted immediately following paragraph 40 in the Original Answer: 

AS ‘QURT S 
41. The sublease calls lor the continued delivery of services at 
Coney Island Hospital (“CIH”), the provision of indigent care, 
capital improvements of the [acility, and HHC oversight. The 

HHC Board of Directors has found that “the sublease transaction 

represents an important step to further the continued vitality of 

CIH and the services it provides to the CIH communily, in that it 
will ensure the provision of a {ull continuum of quality care to that 
community, together with a much needed capital infusion for 

CIH”. (Resolution, November 8, 1996) 

42. The HHC Act, U.L. § 7385(6), expressly grants HHC the 
power 0 “dispose of by . . . lease or sublease, real . . . properly, 
including but not limited to a health facility, or any intcrest therein 
for its corporate purposes . . . .” 

43. Moreover, section 7385(8) cxpressly authorizes entry into a 
leasc with a private entity for the delivery of medical services in 

an HHC [acility, without limitation as to whether such cntity js 
organized on a for-profit or not-for-profit basis, granting HHC the 
power: 

[tJo provide health and medical services for the 

public directly or by agreement or lease with any 

person, firm or privaie or public corporation or 

association, through and in the health facilities of 
the corporation. . . . (cmphasis added) 

44. Nothing in Article XVII of the stale constitution mandates a 
specific form or level of care to the indigent. 

45. Contrary to plaintiffs’ assertion, the sublease is expressly 
authorized by the HHC Act and consistent with the state 

constitution as well. 

46. Accordingly, plaintills’ Third Cause ol Action fails to state a 
claim and should be dismissed. 

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2. Defendants’ Notice of Motion dated July 12, 1996 is deemed amended so 

as lo have been made with respect to the Amended Complaint and upon the Amended Answer. 

2 Plaintif{s’ Notice of Crouss-Motion dated August 23, 1996 is deemed 

amended so as to have been made with respect to the Amended Answer and upon the Amended 

Complaint. 

DATED: Ncw York, New York 

Dceember 16, 1996 

  

PAUL A. CROTTY 
Corporation Counsel of the 

City of New York 
Attorney lor Defendants 
‘By: Daniel Turbow 

Assistant Corporation’ Counsel 

100 Church Street 

New York, New York 10007 
(212) 788-0412 

  

PUERTO RICAN LEGAL DEFENSE 

& EDUCATION FUND, INC. 

Auorney for Plaintiffs 
By: Kenneth Kimerling, Esq. 

99 Hudson Street 

New York, New York 10013 

(212) 219-3360 

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