By Hightower H.B. No. 2294
75R6302 SAW-F
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the operation of the Tyler County Hospital District.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Chapter 110, Acts of the 58th Legislature,
1-5 Regular Session, 1963, is amended by amending Sections 2, 3, 4, 5,
1-6 6, 7, 8, 9, 10, 11, 12, 15, and 17 and by adding Sections 21 and 22
1-7 to read as follows:
1-8 Sec. 2. The District shall provide for the establishment,
1-9 administration, maintenance, operation, and financing of a hospital
1-10 or hospital system within its boundaries and may provide any
1-11 services or facilities necessary for hospital or medical care,
1-12 including rural health clinics, outpatient clinics, nursing homes,
1-13 home health care agencies, extended care facilities, assisted
1-14 living or personal care facilities, retirement, housing, and
1-15 medical office buildings. The District [That said District hereby
1-16 provided for] shall assume full responsibility for providing
1-17 medical and hospital care for the needy residing within the
1-18 District; provided, however, that such Hospital District shall not
1-19 be created unless and until an election is duly held in the County
1-20 for such purpose, which said election may be initiated by the
1-21 Commissioners Court upon its own motion or upon a petition of fifty
1-22 (50) resident qualified [property taxpaying] voters, to be held not
1-23 less than thirty (30) days from the time said election is ordered
1-24 by the Commissioners Court. At such election, there shall be
2-1 submitted to the qualified property taxpaying voters the
2-2 proposition of whether or not a Hospital District shall be created
2-3 in the County; and a majority of the qualified property taxpaying
2-4 electors participating in said election voting in favor of the
2-5 proposition shall be necessary. The ballots for said election
2-6 shall have printed thereon:
2-7 "FOR the creation of a Hospital District; providing for the
2-8 levy of a tax not to exceed seventy-five cents (75 ) on the One
2-9 Hundred Dollar valuation; and providing for the assumption by such
2-10 District of all outstanding bonds heretofore issued by Tyler County
2-11 for hospital purposes"; and
2-12 "AGAINST the creation of a Hospital District; providing for
2-13 the levy of a tax not to exceed seventy-five cents (75 ) on the One
2-14 Hundred Dollar valuation; and providing for the assumption by such
2-15 District of all outstanding bonds heretofore issued by Tyler County
2-16 for hospital purposes."
2-17 Sec. 3. The Commissioners Court of the County shall have the
2-18 power and authority, and it shall be its duty, to levy on all
2-19 property subject to hospital district taxation, for the benefit of
2-20 the District at the same time taxes are levied for county purposes,
2-21 using the county values and the county tax roll, a tax of not to
2-22 exceed seventy-five cents (75 ) on the One Hundred Dollar valuation
2-23 of all taxable property within the Hospital District, for the
2-24 purpose of (1) paying the interest on and creating a sinking fund
2-25 for bonds which may have been assumed or which may be issued by the
2-26 Hospital District for hospital purposes as herein provided;
2-27 (2) providing for the operation and maintenance of the hospital or
3-1 hospital system; and (3) when requested by the Board of Hospital
3-2 Managers of the Hospital District and approved by the Commissioners
3-3 Court, for the purpose of making further improvements and additions
3-4 to the hospital system, and for the acquisition of necessary sites
3-5 therefor, by purchase, lease or condemnation.
3-6 [The tax so levied shall be collected on all property subject
3-7 to Hospital District taxation by the Assessor and Collector of
3-8 Taxes for the County on the county tax values, and in the same
3-9 manner and under the same conditions as county taxes. The Assessor
3-10 and Collector of Taxes shall charge and deduct from payments to the
3-11 Hospital District the fees for assessing and collecting the tax at
3-12 the rate of not exceeding two per cent (2%) of the amounts
3-13 collected as may be determined by the Commissioners Court. Such
3-14 fees shall be deposited in the County's General Fund, and shall be
3-15 reported as fees of office of the Tax Assessor and Collector.
3-16 Interest and penalties on taxes paid to the Hospital District shall
3-17 be the same as in the case of county taxes. Discounts shall be the
3-18 same as for county taxes. The residue of tax collections, after
3-19 deduction of discounts and fees for assessing and collecting, shall
3-20 be deposited in the District depository; and such funds shall be
3-21 withdrawn only as provided herein. All other income of the
3-22 Hospital District shall be deposited in like manner with the
3-23 District depository. Warrants against the Hospital District funds
3-24 shall not require the signature of the County Clerk.]
3-25 The Commissioners Court shall have the authority to levy the
3-26 tax aforesaid for the entire year in which the said Hospital
3-27 District is established, for the purpose of securing funds to
4-1 initiate the operation of the Hospital District, and to pay assumed
4-2 bonds.
4-3 Before September 1 of each year, the Board shall publish
4-4 notice of tax rates, give notice of and conduct a public hearing as
4-5 required by Chapter 26, Tax Code, and enter an order levying taxes
4-6 on all property in the District subject to District taxation.
4-7 Sec. 4. (a) The Commissioners Court shall have the power
4-8 and authority to issue and sell as the general obligations of such
4-9 Hospital District, bonds for the purchase, construction,
4-10 acquisition, repair or renovation of buildings and improvements
4-11 and equipping same, for the acquisition or operation of a mobile
4-12 emergency medical service, for hospital purposes, and for any or
4-13 all of such purposes; provided, that a sufficient tax shall be
4-14 levied to create an interest and sinking fund to pay the interest
4-15 and principal as the bonds mature [same matures] provided said tax
4-16 together with any other taxes levied for said District shall not
4-17 exceed seventy-five cents (75 ) in any one year. Such bonds shall
4-18 be executed in the name of the Hospital District and on its behalf
4-19 by the County Judge of the County, and countersigned by the County
4-20 Clerk, and shall be subject to the same requirements in the matter
4-21 of approval thereof by the Attorney General of the State of Texas
4-22 and the registration thereof by the Comptroller of Public Accounts
4-23 of the State of Texas as are by law provided for such approval and
4-24 registration of bonds of such County; and the approval of such
4-25 bonds by the Attorney General shall have the same force and effect
4-26 as is by law given to the Attorney General's [his] approval of
4-27 bonds of the County. No bonds shall be issued by such Hospital
5-1 District (except refunding bonds) until authorized by a majority
5-2 vote of the [legally] qualified [property taxpaying] voters
5-3 residing in such Hospital District voting at an election called and
5-4 held in accordance with the provisions of Chapter 1, Title 22, of
5-5 the Revised Civil Statutes of the State of Texas, 1925, as amended,
5-6 relating to county bonds. Such election may be called by the
5-7 Commissioners Court on its own motion, or shall be called by it
5-8 after request therefor by the Board of Hospital Managers of the
5-9 District; and the same persons shall be responsible for the conduct
5-10 of such election and arrangement of all details thereof as the
5-11 persons charged therewith in connection with other county-wide
5-12 elections. The cost of any such election shall be a charge upon
5-13 the Hospital District and its funds; and the Hospital District
5-14 shall make provision for the payment thereof before the
5-15 Commissioners Court shall be required to order such an election.
5-16 (b) The District may issue [In the manner hereinabove
5-17 provided, the] bonds [of such Hospital District may, without the
5-18 necessity of any election therefor, be issued] for the purpose of
5-19 refunding and paying off any bonded indebtedness theretofore
5-20 assumed by the Hospital District and any bonds theretofore issued
5-21 by the Hospital District. In issuing the bonds, the District shall
5-22 comply with Chapter 784, Acts of the 61st Legislature, Regular
5-23 Session, 1969 (Article 717k-3, Vernon's Texas Civil Statutes).
5-24 The[; such] refunding bonds may be sold and the proceeds thereof
5-25 applied to the payment of any such outstanding bonds or may be
5-26 exchanged in whole or in part for not less than a similar [like]
5-27 amount of said outstanding indebtedness. In selling the refunding
6-1 bonds and applying the proceeds to the payment of outstanding
6-2 indebtedness, the District shall comply with Chapter 503, Acts of
6-3 the 54th Legislature, Regular Session, 1955 (Article 717k, Vernon's
6-4 Texas Civil Statutes). [bonds and interest matured thereon, but
6-5 unpaid; provided the average interest cost per annum on the
6-6 refunding bonds, computed in accordance with the recognized
6-7 standard bond interest cost tables, shall not exceed the average
6-8 interest cost per annum so computed upon the bonds to be discharged
6-9 out of the proceeds of the refunding bonds, unless the total
6-10 interest cost on the refunding bonds, computed to their respective
6-11 maturity dates, is less than the total interest cost so computed on
6-12 the bonds to be discharged out of such proceeds. In the foregoing
6-13 computations, any premium or premiums required to be paid upon the
6-14 bonds to be refunded as a condition to payment in advance of their
6-15 stated maturity dates shall be taken into account as an addition to
6-16 the net interest cost to the Hospital District of the refunding
6-17 bonds.]
6-18 (c) The District may issue revenue bonds to purchase,
6-19 construct, repair, renovate, and acquire buildings and improvements
6-20 and to equip buildings and improvements for the hospital and the
6-21 hospital system, to acquire sites for hospital purposes, and to
6-22 acquire and operate a mobile emergency medical service to assist
6-23 the District in carrying out its purposes. The bonds must be
6-24 payable from and secured by a pledge of all or part of the revenues
6-25 derived from the operation of the District's hospital system. The
6-26 bonds may also be secured by a mortgage or deed of trust lien on
6-27 all or part of the District property. The District shall issue
7-1 revenue bonds in accordance with Sections 264.042, 264.043,
7-2 264.046, 264.047, 264.048, and 264.049, Health and Safety Code.
7-3 (d) The President of the Board shall execute the bonds in
7-4 the name of the District, and the Secretary of the Board shall
7-5 countersign the bonds in the manner provided by the Texas Uniform
7-6 Facsimile Signature of Public Officials Act (Article 717j-1,
7-7 Vernon's Texas Civil Statutes).
7-8 (e) Because the District is a public entity performing an
7-9 essential public function, bonds issued by the District, any
7-10 transaction relating to the bonds, and profits made in the sale of
7-11 the bonds are free from taxation by the state or by any
7-12 municipality, county, special district, or political subdivision of
7-13 the state.
7-14 (f) The District may not impose taxes to pay the principal
7-15 of or interest on revenue bonds. The Tax Code governs the
7-16 appraisal, assessment, and collection of District taxes. The Board
7-17 may provide for the appointment of a tax assessor-collector for the
7-18 District or may contract for the assessment and collection of taxes
7-19 as provided by the Tax Code.
7-20 (g) District bonds must mature not later than 40 years after
7-21 the date of their issuance and must bear interest at a rate not to
7-22 exceed that provided by Chapter 3, Acts of the 61st Legislature,
7-23 Regular Session, 1969 (Article 717k-2, Vernon's Texas Civil
7-24 Statutes).
7-25 Sec. 5. Any lands, buildings or equipment that may be owned
7-26 by the County, and by which medical services or hospital care,
7-27 including geriatric care, are furnished to the indigent or needy
8-1 persons of the County, shall become the property of the Hospital
8-2 District; and title thereto shall vest in the Hospital District;
8-3 and any funds of the County which are the proceeds of any bonds
8-4 assumed by the Hospital District, as hereby provided, shall become
8-5 the funds of the Hospital District; and title thereto shall vest in
8-6 the Hospital District; and there shall vest in the Hospital
8-7 District and become the funds of the Hospital District the unspent
8-8 portions of any funds theretofore set up or appropriated by budget
8-9 or otherwise by the County for the support and maintenance of the
8-10 hospital facilities for the year within which the Hospital District
8-11 comes into existence, thereby providing such Hospital District with
8-12 funds with which to maintain and operate such facilities for the
8-13 remainder of such year. All obligations under contract legally
8-14 incurred by the County for the building of, or the support and
8-15 maintenance of, hospital facilities, prior to the creation of the
8-16 said District but outstanding at the time of the creation of the
8-17 District, shall be assumed and discharged by it without prejudice
8-18 to the rights of third parties, provided that the management and
8-19 control of the property and affairs of the present hospital system
8-20 shall continue in the Board of Managers of the present hospital
8-21 system until appointment and organization of the Board of Hospital
8-22 Managers of the Hospital District, at which time the Board of
8-23 Managers of the present hospital system shall turn over all
8-24 records, property and affairs of said hospital system to the Board
8-25 of Hospital Managers of the Hospital District.
8-26 Any outstanding bonded indebtedness incurred by the County in
8-27 the acquisition of such lands, buildings and equipment, or in the
9-1 construction and equipping of such hospital facilities, together
9-2 with any other outstanding bonds issued by the County for hospital
9-3 purposes, and the proceeds of which are in whole or in part still
9-4 unspent, shall be assumed by the Hospital District and become the
9-5 obligation of the Hospital District; and the County shall be by the
9-6 Hospital District relieved of any further liability for the payment
9-7 thereof, or for providing interest and sinking fund requirements
9-8 thereon; provided that nothing herein contained shall limit or
9-9 affect any of the rights of any of the holders of such bonds
9-10 against the payment of the principal or interest on any of such
9-11 bonds in accordance with their respective terms.
9-12 The Commissioners Court, as soon the Hospital District is
9-13 created and authorized at the election hereinabove provided, and
9-14 there have been appointed and qualified the Board of Hospital
9-15 Managers hereinafter provided for, shall execute and deliver to the
9-16 Hospital District, to wit: to its said Board of Hospital Managers,
9-17 an instrument in writing conveying to said Hospital District the
9-18 hospital property, including lands, buildings and equipment; and
9-19 shall transfer to said Hospital District the funds hereinabove
9-20 provided to become vested in the Hospital District, upon being
9-21 furnished the certificate of the President [Chairman] of the Board
9-22 to the fact that a depository for the District's funds has been
9-23 selected and has qualified; which funds shall, in the hands of the
9-24 Hospital District and of its Board of Hospital Managers, be used
9-25 for all or any of the same purposes as, and for no other purposes
9-26 than, the purposes for which the County could lawfully have used
9-27 the same had they remained the property and funds of such County.
10-1 Sec. 6. (a) The Commissioners Court shall appoint a Board
10-2 of Hospital Managers, consisting of six (6) members, who shall
10-3 serve for a term of two (2) years, with overlapping terms if
10-4 desired, and with initial appointments to terms of office arranged
10-5 accordingly, and provided that the County Judge of the County shall
10-6 be an ex officio member of said Board of Hospital Managers. To
10-7 serve as a Hospital Manager, a person must be a resident and
10-8 qualified voter of the District. An employee of the District may
10-9 not serve as a Hospital Manager. Failure of any member of the
10-10 Board of Hospital Managers to attend three (3) consecutive regular
10-11 meetings of the Board shall cause a vacancy in his office, unless
10-12 such absence is excused by formal action of the Board. The
10-13 Commissioners Court shall fill a vacancy by appointment. The Board
10-14 of Hospital Managers shall serve without compensation, but may be
10-15 reimbursed for their actual and necessary traveling and other
10-16 expenses incurred in the performance of their duties as determined
10-17 by the Board of Hospital Managers. Expenses reimbursed under this
10-18 section must be reported in the District's minute book or other
10-19 District records. The duties of the Board of Hospital Managers
10-20 shall be to manage, control and administer the hospital and [or]
10-21 hospital system and the business, funds, and resources of the
10-22 Hospital District. The Board of Hospital Managers shall have the
10-23 power and authority to sue and be sued and to promulgate rules and
10-24 regulations for the operation of the hospital or hospital system.
10-25 (b) The Board may [shall] appoint an Administrator, an
10-26 assistant administrator, and an attorney to serve at the will of
10-27 the Board and to [a general manager, to be known as the
11-1 Administrator of the Hospital District. The Administrator shall
11-2 hold office for a term not exceeding two (2) years and shall]
11-3 receive such compensation as may be fixed by the Board. The Board
11-4 may require that the Administrator [The Administrator shall be
11-5 subject to removal at any time by the Board. The Administrator
11-6 shall], before assuming the Administrator's [entering into the
11-7 discharge of his] duties, execute a bond payable to the District,
11-8 in an [the] amount set by the Board of not less than $5,000 [Ten
11-9 Thousand Dollars ($10,000)], conditioned on faithful performance
11-10 of [that he shall well and faithfully perform] the Administrator's
11-11 duties [required of him], and containing such other conditions as
11-12 the Board may require. The Administrator shall perform all duties
11-13 [which may be] required [of him] by the Board, and shall supervise
11-14 all of the work and activities of the District, and have general
11-15 direction of the affairs of the District, within such limitations
11-16 as may be prescribed by the Board. The Administrator [He] shall
11-17 be a person qualified by training and experience for the position
11-18 of Administrator.
11-19 (c) The Board of Hospital Managers shall have the authority
11-20 to appoint or remove doctors from the staff and to employ such
11-21 employees of every kind and character as may be deemed advisable
11-22 for the efficient operation of the hospital or hospital system[;
11-23 provided that no contract or term of employment shall exceed the
11-24 period of two (2) years]. The Board may delegate to the
11-25 Administrator the authority to hire employees.
11-26 (d) The Board may spend District funds to recruit
11-27 physicians, nurses, and other trained medical personnel. The Board
12-1 may contract with full-time medical students or other health
12-2 occupation students enrolled in good standing in accredited medical
12-3 schools, colleges, or universities to pay the student's tuition or
12-4 other costs of expenses in consideration for the student's
12-5 agreement to serve as an employee or independent contractor of the
12-6 District on terms described in the contract. The Board may provide
12-7 retirement benefits for employees of the District by establishing
12-8 or administering a retirement program, or electing to participate
12-9 in the Texas County and District Retirement System or in any
12-10 statewide retirement system in which the District is eligible to
12-11 participate.
12-12 (e) The Board shall determine the type, number, and location
12-13 of buildings required to establish and maintain an adequate
12-14 hospital system and the type of equipment necessary for hospital
12-15 care. The Board may acquire by purchase or lease property,
12-16 facilities, and equipment for the District to use in the hospital
12-17 system and may mortgage or pledge the property, facilities, or
12-18 equipment acquired as security for the payment of the purchase
12-19 price. The Board may enter into operating or management contracts
12-20 relating to hospital facilities. The Board may transfer by lease
12-21 to individuals, companies, corporations, or other legal entities or
12-22 acquire by lease District hospital facilities and may sell or
12-23 otherwise dispose of property, facilities, and equipment.
12-24 (f) The Board may bring suit to enforce payment of taxes and
12-25 to foreclose liens to secure the payment of taxes due the District.
12-26 (g) The Board of Hospital Managers, with the approval of the
12-27 Commissioners Court, shall be authorized to contract with any
13-1 county for care and treatment of the county's sick, diseased and
13-2 injured persons, and with the State and agencies of the Federal
13-3 Government for the care and treatment of such persons for whom the
13-4 State and such agencies of the Federal Government are responsible.
13-5 The Board shall seek reimbursement, in the manner provided by
13-6 Chapter 61, Health and Safety Code, from a County, municipality, or
13-7 public hospital located outside the boundaries of the District for
13-8 the District's care for or treatment of a sick, diseased, or
13-9 injured person for whom that County, municipality, or public
13-10 hospital has an obligation to provide care. The Board shall seek
13-11 reimbursement under Article 104.002, Code of Criminal Procedure,
13-12 for the District's care for or treatment of a person who is not a
13-13 resident of the District and who is confined in a County jail
13-14 facility. [Further, under the same conditions, the Board of
13-15 Hospital Managers may enter into such contracts with the State and
13-16 Federal Government as may be necessary to establish or continue a
13-17 retirement program for the benefit of its employees.]
13-18 [The Board of Hospital Managers may in addition to retirement
13-19 programs authorized by this Act establish such other retirement
13-20 program for the benefit of its employees as it deems necessary and
13-21 advisable.]
13-22 (h) A majority of the Board of Hospital Managers [present]
13-23 shall constitute a quorum for the transaction of any business.
13-24 From among its members, the Board shall elect [choose] a President
13-25 [Chairman], who shall preside, and a Vice President, who shall
13-26 preside in the President's absence. The Board shall appoint a
13-27 Secretary, who does not need to be a Hospital Manager. Each
14-1 officer serves a one-year term. The Board shall fill a vacancy in
14-2 a Board office for the unexpired term[; or in his absence a
14-3 Chairman pro tem shall preside; and the Administrator or any member
14-4 of the Board may be appointed Secretary. The Board shall require
14-5 the Secretary to keep suitable records of all proceedings of each
14-6 meeting of the Board. Such records shall be read and signed after
14-7 each meeting by the Chairman or the member presiding, and attested
14-8 by the Secretary]. The Board shall have a seal, on which shall be
14-9 engraved the name of the Hospital District; and said seal shall be
14-10 kept by the Secretary and used in authentication of all acts of the
14-11 Board.
14-12 Sec. 7. The Board of Hospital Managers shall have the power
14-13 to prescribe the method and manner of making purchases and
14-14 expenditures by and for such Hospital District, and also shall be
14-15 authorized to prescribe all accounting and control procedures. The
14-16 Board shall cause an annual audit to be made of the financial
14-17 condition [books and records] of the District as soon as
14-18 practicable after the close of each fiscal year, such audit to
14-19 cover such fiscal year, and to be made by an independent public
14-20 accountant. The Hospital District shall pay all salaries and
14-21 expenses necessarily incurred by the Board or any of its officers
14-22 and agents in performing any duties which may be prescribed or
14-23 required under this Section. It shall be the duty of any officer,
14-24 employee or agent of the Board to perform and carry out any
14-25 function or service prescribed by the Board hereunder.
14-26 Sec. 8. The District shall operate on a fiscal year
14-27 established by the Board. The Board may not change the fiscal year
15-1 when revenue bonds are outstanding or more than once in a 24-month
15-2 period [In the event of incapacity, absence or inability of the
15-3 Administrator to discharge any of the duties required of him, the
15-4 Board may designate an assistant to the Administrator to discharge
15-5 any duties or functions required of the Administrator. Such
15-6 assistant or other persons shall give bond and have such
15-7 limitations upon his authority as may be fixed by the order of the
15-8 Board].
15-9 Sec. 9. (a) Once each year, as soon as practicable after
15-10 the close of the fiscal year, the Administrator of the Hospital
15-11 District shall report to the Board of Hospital Managers and the
15-12 Commissioners Court, a full sworn statement of all moneys and
15-13 choses in action received by such Administrator and how disbursed
15-14 or otherwise disposed of. Such report shall show in detail the
15-15 operations of the District for the year.
15-16 (b) Under the direction of the Board of Hospital Managers,
15-17 the Administrator [he] shall prepare a proposed [an] annual budget
15-18 which shall be approved by the Board of Hospital Managers. The
15-19 Board shall publish notice of a public hearing on the proposed
15-20 budget in a newspaper of general circulation in the District one
15-21 time before the 10th day preceding the date of the hearing. The
15-22 Board shall adopt a budget based on the proposed budget of the
15-23 Administrator. The budget is effective only after adoption by the
15-24 Board and may be amended on the Board's approval.
15-25 Sec. 10. The Hospital District organized in pursuance of
15-26 this Act shall have the right and power of eminent domain for the
15-27 purpose of acquiring by condemnation any and all property of any
16-1 kind or character, real, personal or mixed, or any interest
16-2 therein, including outright ownership of such property in fee
16-3 simple absolute, within the boundaries of the said District,
16-4 necessary or convenient to the exercise of the rights, powers,
16-5 privileges and functions conferred upon it by this Act, in the
16-6 manner provided by General Law with respect to condemnation;
16-7 provided that the said District shall not be required to make
16-8 deposits in the registry of the trial court of the sum required by
16-9 Section 21.021(a), Property Code [Paragraph numbered 2 in Article
16-10 3268, Vernon's Civil Statutes, 1925], or to make the bond required
16-11 therein. In condemnation proceedings being prosecuted by the said
16-12 District, the District shall not be required to pay in advance or
16-13 give any bond otherwise required for the issuance of a temporary
16-14 restraining order or a temporary injunction relating to a
16-15 condemnation proceeding, nor to give bond for costs or for
16-16 supersedeas or any appeal or writ of error [proceeding to any Court
16-17 of Civil Appeals, or to the Supreme Court].
16-18 Sec. 11. Within thirty (30) days after the appointment of
16-19 the Board of Hospital Managers of the District and each two (2)
16-20 years thereafter the said Board shall select a depository for such
16-21 District to [which shall be one or the same depository theretofore
16-22 selected by the County, such depository shall] secure all funds of
16-23 the District in the manner now provided for the security of county
16-24 funds. The Board may purchase, sell, and invest the District funds
16-25 in investments authorized by Chapter 225b, Government Code.
16-26 Sec. 12. All [The Hospital District established or
16-27 maintained under the provisions of this Act shall be subject to
17-1 inspection by any duly authorized representative of the State Board
17-2 of Health and of the Commissioners Court of the County, and
17-3 resident officers shall admit such representatives into all
17-4 Hospital District facilities and give them access on demand to all]
17-5 records, reports, books, papers, and accounts pertaining to the
17-6 Hospital District shall be made available as required by Chapter
17-7 552, Government Code.
17-8 Sec. 15. (a) The District, without charge, shall provide to
17-9 a patient residing in the District care and treatment for which the
17-10 patient or a relative of the patient who is legally responsible for
17-11 the patient's support cannot pay. Not later than the first day of
17-12 each operating year, the District shall adopt an application
17-13 procedure to determine eligibility for assistance, as provided by
17-14 Section 61.053, Health and Safety Code.
17-15 (b) Whenever a patient has been admitted to the facilities
17-16 of the Hospital District from the County, the Administrator shall
17-17 cause inquiry to be made as to the person's [his] financial
17-18 circumstances[,] and the financial circumstances of a relative [the
17-19 relatives] of the [such] patient who is legally responsible
17-20 [liable] for the patient's [his] support. On finding [If he finds]
17-21 that the [such] patient or a relative who is legally responsible
17-22 for the patient's support can pay for all or any part of the [said
17-23 relatives are liable to pay for his] care and treatment provided to
17-24 the patient by the District [in whole or in part], the
17-25 Administrator shall report the finding to the Board and the Board
17-26 shall issue an order [shall be made] directing the [such] patient,
17-27 or the relative [said relatives], to pay to the Hospital District
18-1 for the care of such patient a specified sum per week, in
18-2 proportion to [their] financial ability, but such sum shall not
18-3 exceed the actual per capita cost of maintenance. The
18-4 Administrator shall have power and authority to collect such sum
18-5 from the estate of the patient, or the relative who is [his
18-6 relatives] legally responsible [liable] for the patient's [his]
18-7 support, in the manner provided by law for the collection of
18-8 expenses of the last illness of a deceased person. If the
18-9 Administrator finds that the [such] patient or the relative is
18-10 [said relatives are] not able to pay, either in whole or in part,
18-11 for the patient's [his] care and treatment in the [such] hospital,
18-12 the same shall become a charge upon the Hospital District. Should
18-13 there be a dispute as to the ability to pay, or doubt in the mind
18-14 of the Administrator concerning ability to pay, the County Court
18-15 shall hear and determine same, after calling witnesses, and shall
18-16 make such order as may be proper, from which appeal shall lie to
18-17 the District Court by either party to the dispute.
18-18 Sec. 17. All bonds (including refunding bonds) issued by or
18-19 assumed by the District authorized to be established and created
18-20 under the provisions of this Act shall be and are declared to be
18-21 legal and authorized investments for banks, savings banks, trust
18-22 companies, fiduciaries, savings [building] and loan associations,
18-23 insurance companies, trustees, guardians, and for the sinking funds
18-24 of cities, towns, villages, counties, school districts, or other
18-25 political corporations or subdivisions of the State of Texas; and
18-26 such bonds shall be lawful and sufficient security for deposits to
18-27 the extent of their face value when accompanied by all unmatured
19-1 coupons appurtenant thereto.
19-2 Sec. 21. (a) If the Board of Hospital Managers declares
19-3 that funds are not available to meet lawfully authorized
19-4 obligations of the District and that an emergency exists, the Board
19-5 may borrow money at a rate not to exceed the maximum annual
19-6 percentage rate allowed by law for District obligations at the time
19-7 the loan is made.
19-8 (b) To secure a loan, the Board may pledge:
19-9 (1) revenues of the District that are not pledged to
19-10 pay bonded indebtedness of the District;
19-11 (2) District taxes to be levied by the District in the
19-12 next 12-month period that are not pledged to pay the principal of
19-13 or interest on District bonds; or
19-14 (3) District bonds that have been authorized but not
19-15 sold.
19-16 (c) A loan for which taxes or bonds are pledged must mature
19-17 not later than the first anniversary of the date on which the loan
19-18 is made. A loan for which District revenues are pledged must
19-19 mature not later than the fifth anniversary of the date on which
19-20 the loan is made.
19-21 (d) The Board may not spend money obtained from a loan under
19-22 this section for any purpose other than the purpose for which the
19-23 Board declared an emergency and, if taxes or bonds are pledged to
19-24 pay the loan, for any purpose other than the purposes for which the
19-25 pledged taxes were levied or the pledged bonds were authorized.
19-26 Sec. 22. (a) The District may be dissolved only if the
19-27 dissolution is approved by a majority of the qualified voters of
20-1 the District voting at an election called and held for that
20-2 purpose.
20-3 (b) The Board may order an election on the question of
20-4 dissolving the District and disposing of the District's assets and
20-5 obligations. The Board shall order an election to be held on the
20-6 question of dissolution of the District if the Board receives a
20-7 petition requesting an election that is signed by at least 15
20-8 percent of the registered voters of the District. The election
20-9 shall be held not later than the 60th day after the date the
20-10 election is ordered. Section 41.001(a), Election Code, does not
20-11 apply to an election ordered under this article. The order calling
20-12 the election must state:
20-13 (1) the nature of the election, including the
20-14 proposition that is to appear on the ballot;
20-15 (2) the date of the election;
20-16 (3) the hours during which the polls will be open; and
20-17 (4) the location of the polling places.
20-18 (c) The Board shall give notice of the election by
20-19 publishing a copy of the election order in a newspaper with general
20-20 circulation in the District once a week for two consecutive weeks.
20-21 The first publication must appear before the 35th day before the
20-22 date set for election. The ballot for an election at which the
20-23 dissolution of the District is proposed shall be printed to permit
20-24 voting for or against the proposition: "The dissolution of the
20-25 Tyler County Hospital District."
20-26 (d) If a majority of the voters in the District favor
20-27 dissolution, the Board shall find that the District is dissolved
21-1 and shall transfer the land, buildings, improvements, equipment,
21-2 and other assets that belong to the District to a County or another
21-3 governmental entity in the County in which the District is located
21-4 or administer the property, assets, and debts until all funds have
21-5 been disposed of and all District debts have been paid or settled.
21-6 (e) After the Board finds that the District is dissolved,
21-7 the Board shall:
21-8 (1) determine the debt owed by the District; and
21-9 (2) impose on the property included in the District's
21-10 tax rolls a tax that is in proportion of the debt to the property
21-11 value.
21-12 (f) If the District transfers the land, buildings,
21-13 improvements, equipment, and other assets to a County or other
21-14 governmental entity, the County or entity assumes all debts and
21-15 obligations of the District at the time of the transfer, and the
21-16 District is dissolved.
21-17 (g) If the Board finds that the election results are not
21-18 favorable to the proposition to dissolve the District, another
21-19 dissolution election may not be held before the first anniversary
21-20 of the date of the most recent election to dissolve the District.
21-21 (h) When all outstanding debts and obligations of the
21-22 District are paid, the Board shall order the Secretary to return
21-23 the pro rata share of all unused tax money to each District
21-24 taxpayer. A taxpayer may request that the taxpayer's share of
21-25 surplus tax money be credited to the taxpayer's County taxes. If a
21-26 taxpayer requests the credit, the Board shall direct the Secretary
21-27 to transmit the funds to the County tax assessor-collector.
22-1 (i) After the District has paid all its debts and has
22-2 disposed of all its assets and funds as required by this section,
22-3 the Board shall file a written report with the Commissioners Court
22-4 of Tyler County setting forth a summary of the Board's actions in
22-5 dissolving the District.
22-6 (j) Not later than the 10th day after the date it receives
22-7 the report and determines that the requirements of this section
22-8 have been fulfilled, the Commissioners Court shall enter an order
22-9 dissolving the District and disbanding and releasing the Board of
22-10 Managers of the District from any further duty or obligation.
22-11 (k) Notwithstanding any other provision of this Act, the
22-12 District may not be dissolved unless the Board provides for the
22-13 sale or transfer of the District's assets and liabilities to
22-14 another entity or person. The dissolution of the District and the
22-15 sale or transfer of the District's assets and liabilities may not
22-16 contravene a trust indenture or bond resolution relating to the
22-17 outstanding bonds of the District. In addition, the dissolution
22-18 and sale or transfer may not diminish or impair the rights of the
22-19 holders of any outstanding bonds, warrants, or other obligations of
22-20 the District.
22-21 (l) The sale or transfer of the District's assets and
22-22 liabilities must satisfy the debt and bond obligations of the
22-23 District in a manner that protects the interests of the residents
22-24 of the District, including their collective property rights in the
22-25 District's assets. Any grant from federal funds is considered an
22-26 obligation to be repaid in satisfaction. The District may not
22-27 transfer or dispose of the District's assets except for due
23-1 compensation unless the transfer is made to another governmental
23-2 agency embracing the District and using the transferred assets for
23-3 the benefit of residents formerly in the District.
23-4 SECTION 2. Section 13, Chapter 110, Acts of the 58th
23-5 Legislature, Regular Session, 1963, is repealed.
23-6 SECTION 3. This Act takes effect September 1, 1997.
23-7 SECTION 4. The importance of this legislation and the
23-8 crowded condition of the calendars in both houses create an
23-9 emergency and an imperative public necessity that the
23-10 constitutional rule requiring bills to be read on three several
23-11 days in each house be suspended, and this rule is hereby suspended.