BILL ANALYSIS



C.S.H.B. 1651
By: Chisum
03-21-95
Committee Report (Substituted)


BACKGROUND

The Lipscomb Hospital Board voted in 1994 to disband and become a
part of the Higgins Hospital District.  Lipscomb already used the
Higgins district's ambulance and EMT services.  Because Lipscomb
uses the Higgins District resources, Lipscomb only manages some
assets and no longer has any facilities.

PURPOSE

To expand the Higgins Hospital District to include the Lipscomb
Hospital District and to name the new district the Higgins-Lipscomb
Hospital District.


RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly
grant any additional rulemaking authority to a state officer,
department, agency or institution.

SECTION BY SECTION ANALYSIS

Section 1:  Amends Chapter 667, Acts of the 64th Legislature, 1975,
by adding Sec 16A as follows:
     (a)  The Lipscomb Hospital District may be dissolved.
     (b)  The board of directors may order an election on the
dissolution of the district, addition of the territory, transfer of
assets, assumption of proportionate share of Lipscomb County's
outstanding debts if the board of directors of the Higgins Hospital
District orders an election or if the board receives a petition
requesting a dissolution and expansion election signed by at least
25 registered voters in the district.
     (c)   If the board orders an election, is will notify the
board of the Higgins Hospital District.
     (d)   The election will be held in accordance with the
applicable sections of the Election Code.
     (e)&(f) Election specifics.
     (g)   Dissolves the district if a majority of the voters in
the district favor the proposition and if the voters of the Higgins
Hospital District agree.
     (h)   The district is not dissolved if the a majority of the
voters in either of the affected districts do not favor the
proposition.
     (i)   If the district is dissolved, the board shall transfer
the assets of the district, including the hospital to the Higgins
Hospital District.
     (j)   The board may not order another election of the question
of the dissolution before the first anniversary of the date of the
most recent election at which voters of either district disapproved
the proposition on which they voted. 

Section 2:  Amends Sec. 1, Chapter 666, Acts of the 64th
Legislature, 1975 to read as follows:
     Sec. 1. Authorizes the creation, establishment, maintenance,
operation and financing of the Higgins Hospital District, unless
expansion of the district is authorized under Sections 4A, 4B, 4C
of this Act, and defines boundaries of the district.

Section 3:  Amends Chapter 666, Acts of the 64th Legislature, 1975,
by adding Sec.1A as follows:
     Sec. 1. If the district is expanded under Section 4A the name
of the district is changed to Higgins-Lipscomb Hospital District.
     (b) Requires changing the name in all references.

Section 4:  Amends Chapter 666 of the 64th Legislature, 1975, by
adding Sections 4A, 4B, and 4C as follows:
     Sec. 4A (a)    The Higgins Hospital District may be expanded.
                    (b)  The board may order an election on the
question of expanding the district if a separate dissolution and
expansion election is ordered by the board of directors of the
Lipscomb Hospital District or if the board receives a petition
requesting an expansion by 25 registered voters in the district.
            (c)  The board shall notify the board of directors of
the Lipscomb Hospital 
            (d)  The election shall be held in accordance with
Election Code.
            (e)-(g) Election specifics.
            (h)  Expands the district if approved.
            (i)  District is not expanded if majority does not
approve.
     Sec. 4B Appoints a temporary Board of Directors for expanded
district.
     Sec. 4C Establishes an election for Board of Directors.

Section 5:  Act takes effect 9/1/95

Section 6:  Emergency clause.

COMPARISON OF ORIGINAL TO SUBSTITUTE

The original bill required that the board of directors receive a
petition requesting a dissolution and expansion election that is
signed by at least 50 registered voters in the district, whereas
the committee substitute requires the petition to be signed by only
25 registered voters in the district.

SUMMARY OF COMMITTEE ACTION

HB 1651 was considered by the County Affairs committee in a public
hearing on 3/22/95. Representative Chisum opened. The County
Affairs Committee considered a complete committee substitute for HB
1651. The substitute was adopted without objection. HB 1651 was
reported favorably, as substituted, with the recommendation that it
do pass and be printed and be sent to the Committee on Local and
Consent, by the record vote of 9 ayes, 0 nays, 0 pnv, 0 absent.