N.Y. Comp. Codes R. & Regs. Tit. 10 §§ 82-2.1
The Commissioner of Health, contingent upon appropriation by the Legislature, shall annually make a grant to each health systems agency for health planning and development. A grant under this Subpart shall be made on such conditions, including the submission of the agency's budget and annual programmatic and administrative plans, as the Commissioner of Health determines is necessary and appropriate, and shall be used by the health systems agency for compensation of health systems agency personnel, collection of data, planning, and the performance of the functions of the health systems agency. A health systems agency may use grant funds to make payments under contracts with other entities to assist the health systems agency in the performance of its functions as defined in section 82-1.6 of this Part; but an agency may not use grant funds to make payments under a grant or contract with another entity for the development or delivery of health services or resources.
N.Y. Comp. Codes R. & Regs. Tit. 10 §§ 82-2.1