Arizona Laws 10-11252. Scope; included transactions; excluded transactions
A. Except as provided in subsections B and C of this section, this chapter applies to any nonprofit health care entity that intends to sell, transfer, lease, exchange, option, convey, convert, give, merge or otherwise dispose of all or substantially all of its assets to or with another nonprofit health care entity or a for profit entity, including entering into a joint venture involving all or substantially all of its assets. The requirements of section 10-11202 do not apply to a nonprofit health care entity.
Terms Used In Arizona Laws 10-11252
- Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
- Assets: means all real, personal, tangible and intangible property and rights in property, including cash, buildings, equipment, investments and contracts with other entities. See Arizona Laws 10-11251
- Community benefit assets: means every asset that has been used in connection with community benefit activity during the previous year. See Arizona Laws 10-11251
- Community health center: means a primary care facility that provides medical care in medically underserved areas as designated in section 36-2352 or in medically underserved areas or medically underserved populations as designated by the United States department of health and human services. See Arizona Laws 10-11251
- Contract: A legal written agreement that becomes binding when signed.
- Entity: includes a corporation, foreign corporation, not for profit corporation, profit and not for profit unincorporated association, nonprofit corporation, close corporation, corporation sole or limited liability company, a professional corporation, association or limited liability company, a business trust, estate, partnership, registered limited liability partnership, trust or joint venture, two or more persons having a joint or common economic interest, any person other than an individual and a state, the United States and a foreign government. See Arizona Laws 10-140
- including: means not limited to and is not a term of exclusion. See Arizona Laws 1-215
- Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
- Mortgage: The written agreement pledging property to a creditor as collateral for a loan.
- Nonprofit health care entity: means a licensed hospital or community health center that holds tax-exempt status pursuant to section 501(c)(3) of the internal revenue code. See Arizona Laws 10-11251
B. This chapter does not apply to any physician or licensed health care provider contract with a hospital or community health center. This chapter shall not affect any contract entered into between a physician or licensed health care provider or group of physicians or licensed health care providers and a licensed hospital.
C. This chapter does not apply to transactions:
1. Involving a transfer of community benefit assets of a licensed hospital or community health center with a book value of less than one million dollars, net of accumulated depreciation as of the date of the closing date of the intended transaction.
2. Enabling a party to finance the purchase of assets, refinance assets or mortgage or pledge assets already owned by the party, whether or not in its usual course of business.
3. Between or among a nonprofit health care entity and affiliated nonprofit entities that are part of a common line of ownership or control.