SRC-SLL C.S.H.B. 3457 75(R)BILL ANALYSIS


Senate Research CenterC.S.H.B. 3457
By: Chisum (Bivins)
Intergovernmental Relations
5-1-97
Committee Report (Substituted)


DIGEST 

Hospital districts are set up with very specific rules that must be
changed through legislation.  The law needs to be amended to make the
operations of the Hutchinson County Hospital District and its board the
most efficient for the services provided to the specific region.  This
bill provides new provisions regarding the operation of the Hutchinson
County Hospital District. 

PURPOSE

As proposed, C.S.H.B. 3457 provides new provisions regarding the operation
of the Hutchinson County Hospital District. 

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 4.01(a), Chapter 77, Acts of the 71st
Legislature, Regular Session, 1989, to provide that the Hutchinson County
Hospital District (district) is governed by a board of seven directors
(board), four of whom are elected and three of whom are appointed by the
Commissioners Court of Hutchinson County as prescribed by Section 4.03 of
this Act. 

SECTION 2. Amends Section 4.03(d), Chapter 77, Acts of the 71st
Legislature, Regular Session, 1989, to require the commissioners court
annually, within a certain time period, to appoint the appropriate number
of successor appointed directors to serve staggered three-year terms. 

SECTION 3. Amends Section 4.05, Chapter 77, Acts of the 71st Legislature,
Regular Session, 1989, by amending Subsection (a) and adding Subsection
(d), to require a person who wishes to have the person's name printed on
the ballot as a candidate for a position as an elected director, in
accordance with Chapter 144, Election Code, and to the extent that chapter
does not conflict with Article 4 of this Act, to file with the secretary
of the board an application signed by the person asking that the person's
name be placed on the ballot.  Provides that Chapter 2C, Election Code,
applies to the election of unopposed candidates for the board. 

SECTION 4. Amends Chapter 77, Acts of the 71st Legislature, Regular
Session, 1989, by adding Section 4.055, as follows: 

Sec.  4.055.  WRITE-IN VOTING IN ELECTION.  Sets forth regulations
regarding the use of write-in voting in an election of directors. 

SECTION 5. Amends Section 4.12, Chapter 77, Acts of the 71st Legislature,
Regular Session, 1989, as follows: 

Sec.  4.12.  New heading: ADMINISTRATORS, ASSISTANT ADMINISTRATORS, AND
ATTORNEY.  Authorizes the board to appoint qualified persons as
administrator of the district, administrator of ancillary health care
facilities of the district, assistant administrators, and attorney.  Makes
conforming changes. 

 SECTION 6. Amends Section 4.14(b), Chapter 77, Acts of the 71st
Legislature, Regular Session, 1989, to make a conforming change. 

SECTION 7. Amends Section 4.15, Chapter 77, Acts of the 71st Legislature,
Regular Session, 1989, to require the district administrator to supervise
the activities of district facilities and the staff, employees,
contractors, and agents of the district.  Provides that the district
administrator is responsible for the overall management of all district
facilities, including ancillary health care facilities.  Makes a
conforming change.  

SECTION 8. Amends Section 5.02, Chapter 77, Acts of the 71st Legislature,
Regular Session, 1989, to make conforming changes. 

SECTION 9. Amends Section 5.03, Chapter 77, Acts of the 71st Legislature,
Regular Session, 1989, to make a conforming change. 

SECTION 10. Amends Section 5.04, Chapter 77, Acts of the 71st Legislature,
Regular Session, 1989, to make conforming changes. 

SECTION 11. Amends Section 5.06, Chapter 77, Acts of the 71st Legislature,
Regular Session, 1989, as follows: 

Sec.  5.06.  HOSPITAL AND ANCILLARY HEALTH CARE PROPERTY, FACILITIES, AND
EQUIPMENT.  Provides that the board has complete discretion to determine
the type, number, and location, either inside or outside the district, of
facilities required to establish and maintain an adequate hospital system
and ancillary health care system and the type of equipment necessary for
hospital care and ancillary health care, including certain items.
Authorizes the board to acquire by lease, purchase, or lease to purchase
property, facilities, supplies, and equipment for the district for use in
the hospital system and ancillary health care system, and mortgage or
pledge the property, facilities, supplies, or equipment acquired as
security for the payment of the purchase price.  Authorizes the board, on
behalf of the district, to lease or sell all or part of the hospital
facilities or ancillary health care facilities. Authorizes the district,
on behalf of the district, to lease, sell, or otherwise dispose of all or
part of the district's property, facilities, supplies, or equipment to a
public or private entity. 

SECTION 12. Amends Section 5.07(c), Chapter 77, Acts of the 71st
Legislature, Regular Session, 1989, to provide that Chapter 2253,
Government Code, rather than Article 5160, V.T.C.S., applies to
construction contracts let by the district. 

SECTION 13. Amends Section 5.08, Chapter 77, Acts of the 71st Legislature,
Regular Session, 1989, to make conforming changes. 

SECTION 14. Amends Sections 5.11(b) and (c), Chapter 77, Acts of the 71st
Legislature, Regular Session, 1989, to require the district to adopt an
application procedure to determine eligibility for assistance, as provided
by Section 61.053, Health and Safety Code, rather than Section 10.03,
Article 4438f, V.T.C.S.  Deletes a provision authorizing the administrator
of the district to have an inquiry made into the financial circumstances
of a patient admitted to a district facility only if the patient resides
in the district. 

SECTION 15. Amends Sections 5.12(a) and (c), Chapter 77, Acts of the 71st
Legislature, Regular Session, 1989, to authorize the board to contract
with this or another state, the federal government, or an agency or
political subdivision of this or another state or the federal government
to reimburse the district for the care and treatment of a sick, diseased,
or injured person.  Makes a conforming change.  

SECTION 16. Amends Section 5.13, Chapter 77, Acts of the 71st Legislature,
Regular Session, 1989, to authorize the board to contract with certain
entities, to provide for the investigatory or welfare needs of persons for
whom the public or private entity has an obligation to provide care. 

SECTION 17. Amends Chapter 77, Acts of the 71st Legislature, Regular
Session, 1989, by adding  Section 5.19, as follows: 

Sec.  5.19.  JOINT OWNERSHIP ARRANGEMENTS.  Sets forth regulations
regarding a joint ownership arrangement involving the board. 

SECTION 18. Amends Section 6.05(d), Chapter 77, Acts of the 71st
Legislature, Regular Session, 1989, to make conforming and nonsubstantive
changes. 

SECTION 19. Amends Section 6.09(b), Chapter 77, Acts of the 71st
Legislature, Regular Session, 1989, to authorize the board to invest
operating, depreciation, or building reserves in funds or securities
specified by Chapter 2256, Government Code, or in any other investment
vehicle or fund if the board determines that investing the reserves in
that vehicle or fund is in the district's best interest and does not
violate the Texas Constitution.  Deletes a reference to Article 842a-2,
V.T.C.S. 

SECTION 20. Amends Section 7.01, Chapter 77, Acts of the 71st Legislature,
Regular Session, 1989, to make conforming changes. 

SECTION 21. Amends Sections 7.04(a) and (c), Chapter 77, Acts of the 71st
Legislature, Regular Session, 1989, to require bonds to be issued in the
manner provided by Sections 264.042, 264.043, 264.046, 264.047, 264.048,
and 264.049, Health and Safety Code, rather than by various sections of
Article 4494r, V.T.C.S., for issuance of revenue bonds by county hospital
authorities, or in accordance with other laws relating to the issuance of
revenue bonds by hospital districts. 

SECTION 22. (a) Effective date: immediately, except as provided by
Subsection (b) of this SECTION. 

(b)  Effective date for SECTION 4 of this Act: September 1, 1997.

SECTION 23. Emergency clause.
  Effective date: upon passage.

SUMMARY OF COMMITTEE CHANGES

SECTION 2.

Amends Section 4.03(d), Chapter 77, Acts of the 71st Legislature, Regular
Session, 1989, to reinsert a provision  prohibiting the commissioners
court  from appointing a person to serve more than two successive terms.
Makes a nonsubstantive change. 

SECTION 3.

Amends Section 4.05, Chapter 77, Acts of the 71st Legislature, Regular
Session, 1989, to add a provision applying Chapter 2C, Election Code, to
the election of unopposed candidates for the board. 

SECTION 4.

Amends Section 4.055, Chapter 77, Acts of the 71st Legislature, Regular
Session, 1989, to change the deadlines for filing a declaration of
write-in candidacy.