BILL ANALYSIS

Senate Research Center	S.B. 1165
	By: West
	Local Government
	5/25/2021
	Enrolled

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

The purpose of this bill is to delete a sunset provision that requires the Dallas County Hospital District board of managers (board) to be reduced from 11 to seven after September 1, 2022. This bill repeals Health and Safety Code Sections 281.0211(c), (d) and (e).

Increasing the board's size would provide stronger expertise, experience, and perspectives in the boardroom. Additionally, more of the board's work would be done in its committees, thereby reducing the burden on individual members and making board service possible for more members of the community.

In March 2013, the corporate governance and compliance advisor to Parkland's board of managers released a report outlining recommendations for improved corporate governance of Parkland. Those recommendations include increasing the number of board members as well as the length of member terms.

To give effect to the report's recommendations, S.B. 1461 of the 84th Legislative Session expanded the board from seven to 11 members. It required each county commissioner and the county judge to appoint two members and it required one "at large" appointment. The bill also required three-year staggered terms and authorized the board to determine how to stagger the terms that are first established, whether by drawing lots or by other method. Once the board establishes the original staggered terms, the commissioners determine the date the terms expire.

This bill is supported by the board chair of PHHS and the majority of the Dallas County Commissioners Court.

(Original Author's/Sponsor's Statement of Intent)

S.B. 1165 amends current law relating to the appointment and terms of the board of the hospital managers of the Dallas County Hospital District.

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Sections 281.0211(c) and (d), Health and Safety Code, as follows:

(c) Requires the Dallas County Commissioners Court, on or after September 1, 2030, rather than September 1, 2022, to appoint members to the board of the Dallas County Hospital District in accordance with Sections 281.021(a) (relating to the requirement that the commissioners court of a county appoint a board of hospital managers of a certain size) and 281.022(a) (relating to a two-year term of a board member, with certain exceptions as determined by the commissioners court).

(d) Provides that Subsection (c) does not affect the entitlement of a member of the board of the Dallas County Hospital District appointed to the board under Section 281.0211 (Appointment of Dallas County Hospital District Board; Members' Terms) before September 1, 2030, rather than September 1, 2022, to continue to carry out the member's functions for the remainder of the member's term.

SECTION 2. Effective date: upon passage or September 1, 2021.