SRC-JRN H.B. 3266 75(R)   BILL ANALYSIS


Senate Research Center   H.B. 3266
By: Craddick (Bivins)
Intergovernmental Relations
5-8-97
Engrossed


DIGEST 

Currently, hospitals are suffering due to the continual and dramatic
change in the health care business.  Smaller communities in Texas having
difficulty finding and retaining needed medical assistance, may be
required to reduce services offered if support assistance is not received
from regional hospitals.  This bill clarifies the authority of the Midland
County Hospital District to respond to and participate in  solutions to
help smaller governmental hospitals remain functional. 

PURPOSE

As proposed, H.B. 3266 clarifies the authority of the Midland County
Hospital District to respond to and participate in  solutions to help
smaller governmental hospitals remain functional. 

RULEMAKING AUTHORITY

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

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 3(a), Chapter 112, Acts of the 65th Legislature,
Regular Session, 1977, to provide that the Midland County Hospital
District (district) is charged with establishing a hospital or a hospital
system, including medical facilities and other health facilities.
Provides that no other municipality or political subdivision has the
authority to levy taxes or issue bonds or other obligations for hospital
purposes or for providing medical care within the boundaries of the
district. Deletes a provision prohibiting a municipality or political
subdivision of this state from levying taxes or issuing bonds or other
obligations of indebtedness for the purpose of providing hospital service
or medical care with the district.  Requires the district to provide all
necessary medical and hospital care, rather than all hospital and medical
care.  Authorizes the district to provide certain services, provided that
the services serve the purpose of the district as established by this Act. 

SECTION 2. Amends Chapter 112, Acts of the 65th Legislature, Regular
Session, 1977, by adding Section 5A, as follows: 

Sec. 5A.  Prohibits a write-in vote from being counted unless the name
written in appears on the list of write-in candidates in a general or
special election of the board of directors of the district (board).
Requires a candidate to make a declaration of write-in candidacy, to be
entitled to a place on the list of write-in candidates.  Sets forth
requirements for a declaration of write-in candidacy.  Provides that
Chapter 146B, Election Code, applies to write-in voting in an election of
directors except to the extent of a conflict with this section. 

SECTION 3. Amends Section 6, Chapter 112, Acts of the 65th Legislature,
Regular Session, 1977, to require the board to manage, control, and
administer the hospital or hospital system of the district. Authorizes the
board to enter into agreements, spend district funds, and take other
necessary action to recruit or otherwise obtain physicians and other
personnel for the district's medical staff or for employment with the
hospital or hospital system, including medical or other health facilities
owned or operated by the district.  Provides that actions may include
advertising and marketing, paying recruitment expenses, paying travel and
relocation expenses, and providing subsidies and scholarships.  Authorizes
the board to contract with any person, firm, corporation, political
subdivision, or governmental agency, rather than any other political
subdivision or governmental  agency.  Authorizes the board to contract
with certain entities inside or outside its boundaries. Authorizes the
district to operate or provide for the operation of an ambulance or mobile
emergency service.  Authorizes the district to contract with certain
entities for certain services, including the promotion of health.
Authorizes the board of directors to exercise all of the powers, rather
than foregoing powers of this section and all other sections of this Act,
unless an operating or management agreement is entered into.  Requires a
management agreement entered into with the board of directors, in
accordance with Section 7 hereof, to be exercised pursuant to the
operating or management agreement.  Makes conforming and nonsubstantive
changes. 

SECTION 4. Amends Section 7, Chapter 112, Acts of the 65th Legislature,
Regular Session, 1977, to provide that a nonprofit corporation that
manages a hospital or provides services under a contract with the district
under this Act and any employee of the corporation are, while performing
services under the contract for the benefit of the district, employees of
the district for the purposes of Chapters 101 and 102, Civil Practice and
Remedies Code. 

SECTION 5. Amends Section 11, Chapter 112, Acts of the 65th Legislature,
Regular Session, 1977, to provide that the board of directors is given
complete discretion in certain matters deemed necessary by the board of
directors for a hospital or hospital system and a medical facility or
other health facility included in the hospital or hospital system, rather
than matters deemed necessary for medical and hospital care by the board
of directors.  Authorizes the board of directors to hold, construct,
condemn, purchase, acquire, lease, add to, maintain, operate, regulate,
sell, convey or otherwise dispose of land, equipment or property of any
nature, or a property right, hospital facility or hospital system on
certain terms and conditions in the best interest of the district's
inhabitants. Deletes a provision authorizing the district to sell any
property, real or personal, or equipment of any nature on terms and
conditions found by the board to be in the best interest of its
inhabitants. 

SECTION 6. Amends Section 12, Chapter 112, Acts of the 65th Legislature,
Regular Session, 1977, to authorize the board of directors to delegate all
or any of its powers by appropriate resolution to that effect to certain
entities that enter into an operating or management agreement with the
district to exercise all or any of those powers.  Provides that the
provisions of Chapter 2253, Government Code, rather than Article 5160,
V.T.C.S., apply to construction contracts let by the district. Authorizes
the district to acquire equipment for use in its hospital system,
including medical facilities and health facilities. 

SECTION 7. Effective date: September 1, 1997.

SECTION 8. Emergency clause.