73R10968 DLF-F
          By Swinford                                           H.B. No. 2500
          Substitute the following for H.B. No. 2500:
          By Gutierrez                                      C.S.H.B. No. 2500
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to the powers, duties, and expansion of the City of
    1-3  Amarillo Hospital District; authorizing the creation of public
    1-4  debt.
    1-5        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-6        SECTION 1.  Section 1, Chapter 136, Acts of the 55th
    1-7  Legislature, Regular Session, 1957, is amended to read as follows:
    1-8        Sec. 1.  The City of Amarillo, Texas, may be constituted a
    1-9  Hospital District, which district shall, unless expanded under
   1-10  Section 19 of this Act or other applicable law, always be
   1-11  coextensive <co-extensive> with the incorporated limits of the City
   1-12  of Amarillo, Texas, for the purpose of owning and operating a
   1-13  hospital or hospital system and providing medical and health care
   1-14  services for the residents of the district, including indigent and
   1-15  needy persons, as hereinafter set out, and may take over the
   1-16  hospital or hospital system, either owned separately by Potter
   1-17  County or jointly with the City of Amarillo, or may provide for the
   1-18  establishment of a hospital or hospital system to furnish medical
   1-19  aid, <and> hospital care, and health care services to the indigent,
   1-20  <and> needy, and other persons residing in said Hospital District.
   1-21  The name of the district shall be specified by the governing body
   1-22  of the City.  Said district shall constitute a body politic and
   1-23  corporate, and its functions are declared to be governmental and
   1-24  public.
    2-1        SECTION 2.  Subsection a, Section 2, Chapter 136, Acts of the
    2-2  55th Legislature, Regular Session, 1957, is amended to read as
    2-3  follows:
    2-4        a.  The governing body of the City of Amarillo shall have the
    2-5  power and the authority, and it shall be its duty, to levy on all
    2-6  property subject to hospital district taxation for the benefit of
    2-7  the district at the same time taxes are levied for city purposes,
    2-8  using the city values and the city tax roll, a tax of not to exceed
    2-9  Seventy-five Cents (75›) on the One Hundred Dollars ($100)
   2-10  valuation of all taxable property within the Hospital District, for
   2-11  the purpose of (1) paying the interest on and creating a sinking
   2-12  fund for bonds which may have been assumed or which may be issued
   2-13  by the Hospital District for hospital, medical, or health care
   2-14  purposes, as herein provided;  (2)  providing for the operation and
   2-15  maintenance of the hospital or hospital system; and (3) when
   2-16  requested by the Board of Hospital Managers and approved by the
   2-17  governing body of the city, for the purpose of making further
   2-18  improvements and additions to the hospital system,  and for the
   2-19  acquisition of necessary sites therefor, by purchase, lease, or
   2-20  condemnation.
   2-21        SECTION 3.  Subsections a, b, c, and d, Section 3, Chapter
   2-22  136, Acts of the 55th Legislature, Regular Session, 1957, are
   2-23  amended to read as follows:
   2-24        a.  The city governing body shall have the power and
   2-25  authority to issue and sell as the obligations of such Hospital
   2-26  District, and in the name and upon the faith and credit of such
   2-27  Hospital District, bonds for the acquisition, purchase,
    3-1  construction, equipment and enlargement of the hospital or hospital
    3-2  system,  and for any or all of such purposes; provided, that a
    3-3  sufficient tax shall be levied to create an interest and sinking
    3-4  fund to pay the interest and principal as same matures provided
    3-5  said tax together with any other taxes levied for said district
    3-6  shall not exceed Seventy-five Cents (75›) in any one year.  Such
    3-7  bonds shall be executed in the name of the Hospital District and on
    3-8  its behalf by the Mayor of the City of Amarillo, and countersigned
    3-9  by the City Secretary, or, in lieu of such manual signatures,
   3-10  facsimile signatures of the Mayor or City Secretary, or both may be
   3-11  printed on the bonds as provided by the Texas Uniform Facsimile
   3-12  Signature of Public Officials Act (Article 717j-1, Vernon's Texas
   3-13  Civil Statutes), and its subsequent amendments <Chapter 293, Acts
   3-14  of the Fifty-fourth Legislature>, and shall be subject to the same
   3-15  requirements in the matter of approval thereof by the Attorney
   3-16  General of the State of Texas and the registration thereof by the
   3-17  Comptroller of Public Accounts of the State of Texas as are by law
   3-18  provided for such approval and registration of bonds of such city;
   3-19  and the approval of such bonds by the Attorney General shall have
   3-20  the same force and effect as is by law given to his approval of
   3-21  bonds of such city.  No such bonds shall be issued by such Hospital
   3-22  District (except refunding bonds) until authorized by a majority
   3-23  vote of the legally qualified property taxpaying voters residing in
   3-24  such Hospital District, voting at an election called and held in
   3-25  accordance with the provisions of law relating to city bonds.  Such
   3-26  election may be called by the governing body of the city of its own
   3-27  motion, or shall be called by it after request therefor by the
    4-1  Board of Hospital Managers; and the same persons shall be
    4-2  responsible for the conduct of such election and the arrangements
    4-3  of all details thereof as the persons charged therewith in
    4-4  connection with other city-wide elections.  The cost of any such
    4-5  election shall be a charge upon the Hospital District and its
    4-6  funds; and the Hospital District shall make provision for the
    4-7  payment thereof before the governing body of the city shall be
    4-8  required to order such an election.
    4-9        b.  In the manner hereinabove provided, the bonds of such
   4-10  Hospital District may, without the necessity of any election
   4-11  therefor, be issued for the purpose of refunding and paying off any
   4-12  bonded indebtedness theretofore assumed by such Hospital District
   4-13  and any bonds theretofore issued by such Hospital District; such
   4-14  refunding bonds may be sold and the proceeds thereof applied to the
   4-15  payment of any such outstanding bonds or may be exchanged in whole
   4-16  or in part for not less than a like amount of said outstanding
   4-17  bonds and interest matured thereon, but unpaid.  The refunding
   4-18  bonds shall mature serially or otherwise in not to exceed forty
   4-19  (40) years <and bear interest at a rate not to exceed six per cent
   4-20  (6%)>.
   4-21        <c.  If the city has voted bonds to provide hospital
   4-22  facilities, but such bonds have not been sold at the date of the
   4-23  creation of the Hospital District, the authority for such bonds
   4-24  shall be canceled, and they shall not be sold.>
   4-25        d.  All bonds of the district shall be and are hereby
   4-26  declared to be legal and authorized investments for banks, savings
   4-27  banks, trust companies, savings <building> and loan associations,
    5-1  insurance companies, fiduciaries, trustees, guardians, and the
    5-2  sinking funds of cities, towns, villages, counties, school
    5-3  districts, or other political subdivisions of the State of Texas.
    5-4  Such bonds shall be eligible to secure the deposit of any and all
    5-5  public funds of the State of Texas, and any and all public funds of
    5-6  cities, towns, villages, counties, school districts, or other
    5-7  political corporations or subdivisions of the State of Texas; and
    5-8  such bonds shall be lawful and sufficient security for said
    5-9  deposits to the extent of their value, when accompanied by all
   5-10  unmatured coupons appurtenant thereto.
   5-11        SECTION 4.  Subsections (a) and (d), Section 3A, Chapter 136,
   5-12  Acts of the 55th Legislature, Regular Session, 1957, are amended to
   5-13  read as follows:
   5-14        (a)  The city governing body, for and on behalf of the
   5-15  Hospital District, may issue and sell revenue bonds as special
   5-16  obligations of the Hospital District, in the name of the <Amarillo>
   5-17  Hospital District, for the purpose of providing funds to finance,
   5-18  refinance, acquire, purchase, construct, repair, renovate, improve,
   5-19  enlarge, or equip hospital facilities, and to acquire any real or
   5-20  personal property in connection therewith.
   5-21        (d)  The bonds may be issued to mature serially or otherwise
   5-22  not to exceed forty (40) years from their date.  The total
   5-23  principal of revenue bonds issued and outstanding <and unpaid> may
   5-24  not exceed, $30 million <$7,500,000>.
   5-25        SECTION 5.  Section 3B, Chapter 136, Acts of the 55th
   5-26  Legislature, Regular Session, 1957, is amended by adding Subsection
   5-27  g to read as follows:
    6-1        g.  This section is cumulative of any other law establishing
    6-2  the manner in which Randall County, or any portion of Randall
    6-3  County, may participate in, be annexed to, or otherwise served by
    6-4  the Amarillo Hospital District.
    6-5        SECTION 6.  Section 5, Chapter 136, Acts of the 55th
    6-6  Legislature, Regular Session, 1957, is amended to read as follows:
    6-7        Sec. 5.  a.  The governing body of the City of Amarillo shall
    6-8  appoint a Board of Hospital Managers, consisting of not less than
    6-9  five (5) nor more than seven (7) members, who shall serve for a
   6-10  term of two (2) years, with overlapping terms if desired, and with
   6-11  initial appointments to terms of office arranged accordingly,
   6-12  without pay, and whose duties shall be to manage, control and
   6-13  administer the hospital or hospital system of the Hospital
   6-14  District.  The governing body of the City of Amarillo may, by
   6-15  majority vote, remove any member of the Board of Hospital Managers
   6-16  with or without cause.  The district, through its Board of
   6-17  Managers, shall have the power and authority to sue and be sued in
   6-18  its name.  The Board is authorized to promulgate rules and
   6-19  regulations for the operation of the hospital or hospital system.
   6-20        b.  The Board shall appoint a general manager, to be known as
   6-21  the Administrator of the Hospital District.  The Administrator
   6-22  <shall hold office for a term not exceeding two (2) years, and>
   6-23  shall receive such compensation as may be fixed by the Board.  The
   6-24  Administrator shall be subject to removal at any time by the Board.
   6-25  The Administrator shall, before entering into the discharge of his
   6-26  duties, execute a bond payable to the District, in the amount of
   6-27  not less than Ten Thousand Dollars ($10,000), conditioned that he
    7-1  shall well and faithfully perform the duties required of him, and
    7-2  containing such other conditions as the Board may require.  The
    7-3  Administrator shall perform all duties which may be required of him
    7-4  by the Board, and shall supervise all of the work and activities of
    7-5  the district, and have general direction of the affairs of the
    7-6  district, within such limitations as may be prescribed by the
    7-7  Board.  He shall be a person qualified by training and experience
    7-8  for the position of Administrator.
    7-9        c.  The Board of Managers shall have the authority to employ
   7-10  such doctors, technicians, nurses and other employees of every kind
   7-11  and character as may be deemed advisable for the efficient
   7-12  operation of the hospital or hospital system<; provided that no
   7-13  contract or term of employment shall exceed the period of two (2)
   7-14  years>.  The Board of Managers may delegate to the Administrator
   7-15  the authority to employ persons for the Hospital District.
   7-16        d.  The Board of Managers, <with the approval of the
   7-17  governing body of the City of Amarillo,> shall be authorized to
   7-18  contract with any political subdivision of the State <county or
   7-19  other incorporated municipality> for care and treatment of the
   7-20  political subdivision's <such county's or city's> sick, diseased
   7-21  and injured persons, and with the State and agencies of the State,
   7-22  any political subdivision of the State, or the Federal Government
   7-23  for the care of and treatment of such persons for whom the State
   7-24  and such agencies of the State, any political subdivision of the
   7-25  State, or the Federal Government are responsible.  The Board of
   7-26  Managers may contract to provide to another political subdivision
   7-27  or governmental agency investigatory, administrative, managerial,
    8-1  or other services relating to the hospital, medical, health care,
    8-2  or welfare needs of the inhabitants of the Hospital District.
    8-3  Further, <under the same conditions,> the Board of Managers may
    8-4  <enter into such contracts with the State and Federal Government as
    8-5  may be necessary to> establish or continue a retirement program for
    8-6  the benefit of its employees and may contract with the State or
    8-7  Federal Government for that purpose.
    8-8        e.  A majority of the Board of Hospital Managers shall
    8-9  constitute a quorum for the transaction of any business.  From
   8-10  among its members the Board shall choose a Chairman, who shall
   8-11  preside; or in his absence a Chairman pro tem shall preside; and
   8-12  the Administrator or any member of the Board may be appointed
   8-13  secretary.  The Board shall require the secretary to keep suitable
   8-14  records of all proceedings of each meeting of the Board.  Such
   8-15  record shall be read and signed after each meeting by the Chairman
   8-16  or the member presiding, and attested by the secretary.  The Board
   8-17  may <shall> have a seal, on which shall be engraved the name of the
   8-18  Hospital District; and any <said> seal shall be kept by the
   8-19  secretary and may be used in authentication of <all> acts of the
   8-20  Board.
   8-21        f.  The Board of Managers may appoint to the staff doctors
   8-22  and other medical personnel the Board of Managers considers
   8-23  necessary for the efficient operation of the Hospital District,
   8-24  make temporary appointments as it considers necessary, and remove
   8-25  from the medical staff any doctor or other medical personnel.
   8-26        g.  The Board of Managers may contract with any entity,
   8-27  public or private, to obtain or to supply facilities and services
    9-1  necessary for the efficient operation of the Hospital District.
    9-2        h.  The Board of Managers may enter into operating or
    9-3  management contracts relating to hospital facilities and services
    9-4  on behalf of the Hospital District.
    9-5        i.  The Board of Managers may purchase insurance to protect
    9-6  the members of the Board from any liability that arises from
    9-7  serving on the Board.
    9-8        j.  The Board of Managers shall determine the eligibility
    9-9  standards for Hospital District assistance and the consideration to
   9-10  be received for its services, products, and the use of its
   9-11  facilities and may use the pricing methods it considers advisable,
   9-12  including discount and per diem pricing.
   9-13        k.  The Board of Managers may use Hospital District funds,
   9-14  enter into agreements, and take other necessary action to recruit
   9-15  or otherwise obtain physicians and other personnel for the Hospital
   9-16  District's medical staff or for employment with the Hospital
   9-17  District, including:
   9-18              (1)  advertising and marketing;
   9-19              (2)  paying recruitment expenses;
   9-20              (3)  paying travel and relocation expenses;
   9-21              (4)  providing guarantees, subsidies, loans, and
   9-22  scholarships;
   9-23              (5)  sharing personnel; and
   9-24              (6)  authorizing a physician to use space in Hospital
   9-25  District facilities or providing a rent subsidy to a physician.
   9-26        l.  The Board of Managers may use Hospital District funds,
   9-27  enter into agreements, and take other necessary action to conduct,
   10-1  participate in, or assist health care education programs for the
   10-2  public and for current or potential medical staff members or
   10-3  employees.
   10-4        m.  The Board of Managers may market or advertise to promote
   10-5  Hospital District services, the orderly operation of the Hospital
   10-6  District, and the delivery of medical and health care in the
   10-7  Hospital District.
   10-8        n.  The Board of Managers may use Hospital District funds to
   10-9  ensure the qualification  and continued qualification of physicians
  10-10  and other personnel.
  10-11        SECTION 7.  Sections 5a and 6, Chapter 136, Acts of the 55th
  10-12  Legislature, Regular Session, 1957, are amended to read as follows:
  10-13        Sec. 5a.  The Board of Managers<, with the approval of the
  10-14  governing body of the City of Amarillo,> is authorized to contract
  10-15  with West Texas State University or another educational institution
  10-16  for the coordination of educational <the B.S. degree and diploma>
  10-17  programs in recognized health care professions, including pharmacy,
  10-18  nursing, and allied health professions, to be conducted by each and
  10-19  for cooperative funding of the expense of an instructional program
  10-20  in those programs <nursing>.  The Hospital District may provide
  10-21  services, funds, or equipment and may make its facilities available
  10-22  to West Texas State University or other educational institutions
  10-23  for clinical instruction, research, or programs that grant degrees.
  10-24        Sec. 6.  The governing body of the City of Amarillo shall
  10-25  have the power to prescribe the method and manner of making
  10-26  purchases and expenditures by and for such Hospital District
  10-27  without, in its discretion, restriction of any notice and bidding
   11-1  requirements, and including participation in public or private
   11-2  group purchasing plans, and also shall be authorized to prescribe
   11-3  all accounting and control procedures, or may delegate any or all
   11-4  such powers to the Board of Managers of such district by the
   11-5  adoption of an appropriate resolution or order to that effect.  The
   11-6  Hospital District shall pay all salaries and expenses necessarily
   11-7  incurred by the city or any of its officers and agents in
   11-8  performing any duties which may be prescribed or required under
   11-9  this Section.  It shall be the duty of any officer, employee or
  11-10  agent of such city to perform and carry out any function or service
  11-11  prescribed by the governing body of the city hereunder.
  11-12        SECTION 8.  Section 9, Chapter 136, Acts of the 55th
  11-13  Legislature, Regular Session, 1957, is amended by amending
  11-14  Subsection b and adding Subsections c and d to read as follows:
  11-15        b.  The Hospital District shall have the power to take by
  11-16  purchase or lease lands or any other real or personal property
  11-17  within or without the district as may be required for its purpose;
  11-18  and it may sell or lease any lands or other property owned by it at
  11-19  public or private sale; provided, however, that, except with
  11-20  respect to leases of less than an entire building for a period of
  11-21  less than 10 years, no real estate may be sold or leased until
  11-22  after there has been a determination by the governing body of the
  11-23  City of Amarillo that either the real estate is <the lands are> no
  11-24  longer required for the purposes of the district or that the
  11-25  grantee or lessee will use the real estate <property> for hospital,
  11-26  medical, or health care purposes or purposes incidental and
  11-27  necessary to hospital, medical, or health care purposes.
   12-1        c.  The Board of Managers may pledge any property,
   12-2  facilities, or equipment purchased, leased, constructed or
   12-3  otherwise acquired by the Hospital District as security for the
   12-4  payment of the purchase or construction price.
   12-5        d.  Subject to Subsection b of this section, the Board of
   12-6  Managers, on behalf of the Hospital District, may sell, lease, or
   12-7  otherwise dispose of the property or equipment of the Hospital
   12-8  District.  Property or equipment sold under this subsection may be
   12-9  sold by public or private sale.  Subject to Subsection b of this
  12-10  section, the Board may dispose of property or equipment under the
  12-11  terms and conditions, and for the consideration, that the Board
  12-12  considers to be in the best interests of the District.
  12-13        SECTION 9.  Sections 10 and 12, Chapter 136, Acts of the 55th
  12-14  Legislature, Regular Session, 1957, are amended to read as follows:
  12-15        Sec. 10.  The <Within thirty (30) days after the appointment
  12-16  of the Board of Hospital Managers of any district created under
  12-17  this Act, the said> Board of Managers shall select one or more
  12-18  depositories <a depository> for such district in the manner
  12-19  provided by law for the selection of county depositories; and such
  12-20  depository or depositories shall be the depository or depositories
  12-21  of such district <for a period of two (2) years thereafter, or>
  12-22  until one or more successors are <its successor is> selected and
  12-23  qualified.  <In the alternative, the Board may elect to use the
  12-24  depository theretofore selected by the county.>
  12-25        Sec. 12.  The Board of Hospital Managers may be represented
  12-26  in all legal matters by the attorneys charged with representing the
  12-27  City of Amarillo in civil matters, and in such event the District
   13-1  shall contribute sufficient funds to the general fund of the City
   13-2  of Amarillo for the account of the budget of such attorneys to pay
   13-3  all additional salaries and expenses incurred by such attorneys in
   13-4  performing the duties required of them by the district; provided,
   13-5  however, that the Board may in its discretion employ legal counsel
   13-6  of its own selection if it deems the action advisable.
   13-7        SECTION 10.  Chapter 136, Acts of the 55th Legislature,
   13-8  Regular Session, 1957, is amended by adding Section 13A to read as
   13-9  follows:
  13-10        Sec. 13A.  Not later than the first day of each fiscal year,
  13-11  the Board of Managers shall adopt requirements to be used by the
  13-12  Hospital District in determining if a person is eligible for
  13-13  hospital, medical, or health care assistance from the District.
  13-14  The Board shall adopt an application procedure that specifies the
  13-15  documentation required in support of the application for
  13-16  assistance.
  13-17        SECTION 11.  Subsection a, Section 14, Chapter 136, Acts of
  13-18  the 55th Legislature, Regular Session, 1957, is amended to read as
  13-19  follows:
  13-20        a.  Whenever a patient has been admitted to the facilities of
  13-21  the Hospital District from Potter County or the Hospital District,
  13-22  the Administrator shall cause inquiry to be made as to his
  13-23  circumstances, and of the relatives of such patient legally liable
  13-24  for his support.  If it is determined <he finds> that such patient
  13-25  or said relatives are liable to pay for his care and treatment in
  13-26  whole or in part, an order shall be made directing such patient, or
  13-27  said relatives, to pay <to> the <treasurer of the> Hospital
   14-1  District for the support of such patient a specified sum <per week,
   14-2  in proportion to their financial ability, but such sum shall not
   14-3  exceed the actual per capita cost of maintenance>.  The
   14-4  Administrator shall have power and authority to collect such sum
   14-5  from the estate of the patient, or his relatives legally liable for
   14-6  his support, in the manner provided by law for the collection of
   14-7  expenses of the last illness of a deceased person.  <If the
   14-8  Administrator finds that such patient or said relatives are not
   14-9  able to pay, either in whole or in part, for his care and treatment
  14-10  in such hospital, the same shall become a charge upon the Hospital
  14-11  District.  Should there be a dispute as to the ability to pay, or
  14-12  doubt in the mind of the Administrator, the County Judge of Potter
  14-13  County shall hear and determine same, after calling witnesses, and
  14-14  shall make such order as may be proper, from which appeal shall lie
  14-15  to the district court by either party to the dispute.>
  14-16        SECTION 12.  Section 15, Chapter 136, Acts of the 55th
  14-17  Legislature, Regular Session, 1957, is amended to read as follows:
  14-18        Sec. 15.  Said Board of Managers of the Hospital District is
  14-19  authorized on behalf of said Hospital District to accept donations,
  14-20  gifts, and endowments for the Hospital District, to be held in
  14-21  trust or otherwise and administered by the Board of Managers for
  14-22  such purposes and under such directions, limitations, and
  14-23  provisions as may be prescribed in writing by donor, not
  14-24  inconsistent with proper management and the objectives <objects> of
  14-25  the Hospital District, and may establish foundations or nonprofit
  14-26  corporations for these purposes.
  14-27        SECTION 13.  Section C, Section 16, Chapter 136, Acts of the
   15-1  55th Legislature, Regular Session, 1957, is amended to read as
   15-2  follows:
   15-3        Sec. C.  The creation of said District by the City Commission
   15-4  of the City of Amarillo and the appointment of the Board of
   15-5  Hospital Managers by said Commission are hereby validated<,
   15-6  provided, however, that this validation provision shall not be
   15-7  applicable if litigation attacking the validity of the District is
   15-8  pending at the time this Act becomes effective>.
   15-9        SECTION 14.  Chapter 136, Acts of the 55th Legislature,
  15-10  Regular Session, 1957, is amended by adding Sections 17-21 to read
  15-11  as follows:
  15-12        Sec. 17.  a.  The Board of Managers shall require
  15-13  reimbursement from a county, municipality, or public hospital
  15-14  located outside the boundaries of the district for the district's
  15-15  care and treatment of a sick, diseased, or injured person of that
  15-16  county, municipality, or public hospital, as provided by Chapter
  15-17  61, Health and Safety Code.
  15-18        b.  The Board of Managers shall require reimbursement from
  15-19  the sheriff or police chief of a county or municipality for the
  15-20  district's care and treatment of a person confined in a jail
  15-21  facility of the county or municipality who is not a resident of the
  15-22  district.
  15-23        Sec. 18.  The Hospital District may contract with, affiliate
  15-24  with, or enter into other arrangements with managed care systems,
  15-25  preferred provider organizations, health maintenance organizations,
  15-26  other providers of alternative health care or delivery systems, or
  15-27  private hospitals to provide joint administration or delivery of
   16-1  health care services.
   16-2        Sec. 19.  a.  Registered voters of a defined territory that
   16-3  is not included in the Hospital District may file a petition with
   16-4  the Board of Managers requesting the inclusion of the territory in
   16-5  the district.  The petition must be signed by at least 50
   16-6  registered voters of the territory, or a majority of those voters,
   16-7  whichever is less.
   16-8        b.  The Board of Managers by order shall set a time and place
   16-9  to hold a hearing on the petition to include the territory in the
  16-10  Hospital District.  The Board shall set a date for the hearing that
  16-11  is at least 30 days after the date on which the Board issues the
  16-12  order.  The Board of Managers shall notify the governing body of
  16-13  the City of Amarillo of the hearing.
  16-14        c.  If, after the hearing, the Board of  Managers and the
  16-15  governing body of the City of Amarillo find that annexation of the
  16-16  territory to the Hospital District would benefit the District, the
  16-17  Board of Managers and the governing body of the City of Amarillo
  16-18  may approve the annexation by a resolution entered in their
  16-19  minutes.  The Board of Managers and the governing body of the City
  16-20  of Amarillo are not required to include all of the territory
  16-21  described in the petition if the Board of Managers and the
  16-22  governing body of the City of Amarillo find that including only a
  16-23  portion of the territory is necessary or desirable.
  16-24        d.  Annexation of territory is final when approved by a
  16-25  majority of voters at an election held in the Hospital District and
  16-26  by a majority of the voters at a separate election held in the
  16-27  territory to be annexed.  If the district has outstanding debts or
   17-1  taxes, the voters in the election to approve the annexation must
   17-2  also determine if the annexed territory will assume its proportion
   17-3  of the debts or taxes if added to the district.
   17-4        e.  The election ballots shall be printed to provide for
   17-5  voting for or against the following, as applicable:
   17-6              (1)  "Adding (description of territory to be annexed)
   17-7  to the Amarillo Hospital District and authorizing the levy by the
   17-8  governing body of the City of Amarillo of annual taxes to support
   17-9  the Amarillo Hospital District at a rate of not more than $.75 on
  17-10  each $100 valuation of taxable property in the proposed territory
  17-11  to be annexed."
  17-12              (2)  "(Description of territory to be annexed) assuming
  17-13  its proportionate share of the outstanding debts and taxes of the
  17-14  City of Amarillo Hospital District, if it is added to the
  17-15  district."
  17-16        f.  The election shall be held not less than 45 days nor more
  17-17  than 60 days after the date on which the election is ordered.
  17-18        g.  The election order must state:
  17-19              (1)  the nature of the election, including the
  17-20  proposition that is to appear on the ballot;
  17-21              (2)  the date of the election;
  17-22              (3)  the hours during which the polls will be open; and
  17-23              (4)  the location of the polling places.
  17-24        h.  The governing body of the City of Amarillo shall give
  17-25  notice of the election by publishing once a week for two
  17-26  consecutive weeks a substantial copy of the election order in a
  17-27  newspaper with general circulation in the Hospital District and in
   18-1  the territory proposed to be added to the District.  The first
   18-2  publication must appear at least 35 days before the date of the
   18-3  election.
   18-4        i.  The election may be called by the governing body of the
   18-5  City of Amarillo on its own motion.
   18-6        j.  The election shall be conducted by the persons
   18-7  responsible for conducting citywide elections in Amarillo.  The
   18-8  Hospital District shall pay the City of Amarillo for the cost of an
   18-9  election held under this section and shall make provision for the
  18-10  payment before the governing body of the City of Amarillo orders
  18-11  the election.
  18-12        k.  The Election Code governs an election held under this
  18-13  section, except that Section 41.001(a), Election Code, does not
  18-14  apply.
  18-15        Sec. 20.  Since the Hospital District is a public entity
  18-16  performing an essential public function, bonds issued by the
  18-17  district, any transaction relating to the bonds, and profits made
  18-18  in the sale of the bonds are free from taxation by the state or by
  18-19  any city, county, special district, or other political subdivision
  18-20  of the state.
  18-21        Sec. 21.  The Board of Managers may, on behalf of the
  18-22  Hospital District, borrow money from a federally insured lending
  18-23  institution and make other financial arrangements to pay the
  18-24  operating expenses and to meet the other lawfully authorized
  18-25  obligations of the District.  The Board of Managers may borrow
  18-26  money in the amount it considers advisable subject to a rate of
  18-27  interest and other terms and conditions it considers advisable.  To
   19-1  secure a loan, the Board may pledge revenues of the District or
   19-2  property acquired with the borrowed money that are not pledged to
   19-3  pay a bonded indebtedness of the District.  If revenues of the
   19-4  District are pledged to pay the loan, the loan shall mature not
   19-5  later than the fifth anniversary after the date on which the loan
   19-6  is made.
   19-7        SECTION 15.  The importance of this legislation and the
   19-8  crowded condition of the calendars in both houses create an
   19-9  emergency and an imperative public necessity that the
  19-10  constitutional rule requiring bills to be read on three several
  19-11  days in each house be suspended, and this rule is hereby suspended,
  19-12  and that this Act take effect and be in force from and after its
  19-13  passage, and it is so enacted.