By Chisum                                             H.B. No. 3134
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to the ability of the Hutchinson County Hospital District
    1-3  to purchase liability insurance, expend district funds, and to
    1-4  borrow funds.
    1-5        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-6        SECTION 1.  Chapter 77, Acts of the 71st Legislature, 1989,
    1-7  by amending Section 4.03(d) as follows:
    1-8        (d)  After the initial election of directors, an election
    1-9  shall be held on the first Saturday in May each year and the
   1-10  appropriate number of successor directors shall be elected for
   1-11  <two> three-year terms.  The commissioners court shall annually
   1-12  within 10 days of the date that elected directors are elected
   1-13  appoint the appropriate number of directors.  The commissioners
   1-14  court may not appoint a person to serve more than two successive
   1-15  terms.
   1-16        SECTION 2.  Chapter 77, Acts of the 71st Legislature, 1989,
   1-17  by adding Section 5.16 as follows:
   1-18        Sec. 5.16.  INSURANCE.  (a)  The board may purchase and
   1-19  maintain liability insurance for an officer, director, board
   1-20  appointee, member of the medical staff, or district employee to
   1-21  protect the person from any liability that arises from performing
   1-22  duties for the district or at a district facility.
   1-23        (b)  The board may enter into and perform an agreement to
    2-1  defend or indemnify an officer, director, board appointee, member
    2-2  of the medical staff, or district employee in relation to a claim,
    2-3  cost, expense, or liability incurred as a result of performing
    2-4  duties for the district or at a district facility.  The board may
    2-5  establish a self-insurance program to fund an indemnity obligation.
    2-6        SECTION 3.  Chapter 77, Acts of the 71st Legislature, 1989,
    2-7  by adding Section 5.17 as follows:
    2-8        Sec. 5.17.  FUNDS FOR RECRUITING AND FOR HEALTH CARE
    2-9  EDUCATION PROGRAMS.  (a)  The board may spend district funds, enter
   2-10  into agreements, and take other necessary actions to recruit
   2-11  physicians and other persons for appointment to the district's
   2-12  medical staff or for employment with the district, including:
   2-13              (1)  advertising and marketing;
   2-14              (2)  paying travel, recruiting, and relocation
   2-15  expenses;
   2-16              (3)  providing a loan or scholarship if the physician
   2-17  or other person is currently enrolled in health care education
   2-18  courses at an institution of higher education and contractually
   2-19  agrees to become a district employee or a member of the medical
   2-20  staff; and
   2-21              (4)  providing on a rent free basis or subsidizing the
   2-22  cost of office space or other facilities for a health care
   2-23  professional, including a physician.
   2-24        (b)  The board may spend district funds, enter into
   2-25  agreements, and take other necessary actions to conduct,
    3-1  participate in, or otherwise assist in the provision of health care
    3-2  educational programs for current or prospective staff members or
    3-3  employees.
    3-4        SECTION 4.  Chapter 77, Acts of the 71st Legislature, 1989,
    3-5  by adding Section 5.18 as follows:
    3-6        Sec. 5.18.  BORROWING FUNDS.  The board may borrow money to
    3-7  pay the district's operating expenses in an amount not to exceed
    3-8  the amount of tax or other revenue the district expects to receive
    3-9  during the fiscal year in which the money is borrowed.  The
   3-10  district may pledge all or part of the tax or other revenue
   3-11  received during that fiscal year to repay the indebtedness.
   3-12        SECTION 5.  This Act takes effect on September 1, 1995.
   3-13        SECTION 6.  The importance of this legislation and the crowed
   3-14  condition of the calendars in both houses create an emergency and
   3-15  an imperative public necessity that the constitutional rule
   3-16  requiring bills to be read on three several days in each house be
   3-17  suspended, and this rule is hereby suspended.