SRC-MAX S.B. 1396 75(R)   BILL ANALYSIS


Senate Research Center   S.B. 1396
By: Lindsay
State Affairs
4-17-97
As Filed


DIGEST 

Currently, it is becoming increasingly difficult for public hospitals to
compete in today's health care market due to certain conditions occurring
in the managed care industry.  These hospitals have traditionally relied
heavily on Medicaid revenues and disproportionate share payments to
maintain their public health care mission.  In today's competitive market,
public hospitals are at odds with private hospitals and HMOs when it comes
to Medicaid.  This bill would exempt the board of directors at a  public
hospital from any open meetings laws, to allow the board members to
discuss rates and services in private.    

PURPOSE

As proposed, S.B. 1396 provides an exemption to a public hospital relating
to the open meetings law. 

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 551.085, Government Code, as follows:

Sec.  551.085. BOARD OF DIRECTORS OF MUNICIPAL HOSPITAL, HOSPITAL
DISTRICT, OR MUNICIPAL HOSPITAL AUTHORITY.  Provides that this chapter
does not require the board of directors of a municipal hospital, municipal
hospital authority, or hospital district created under general or special
law to conduct an open meeting to deliberate certain matters. 

SECTION 2. Effective date:  September 1, 1997.

SECTION 3. Emergency clause.