75R9288 CLG-F                           

         By Chisum                                             H.B. No. 3456

         Substitute the following for H.B. No. 3456:

         By Lewis of Tarrant                               C.S.H.B. No. 3456

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to the Hansford County Hospital District.

 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-4           SECTION 1.  Sections 4(b) and (c), Chapter 872, Acts of the

 1-5     62nd Legislature, Regular Session, 1971, are amended to read as

 1-6     follows:

 1-7           (b)  After the district has been established (as the result

 1-8     of the election for which provision is made in Section 3) and the

 1-9     initial directors have been duly appointed and have qualified, the

1-10     method for thereafter selecting directors may be changed by

1-11     following the provisions of this subsection.  A petition asking

1-12     that directors of the district thereafter be elected may be

1-13     presented to the Commissioners Court of Hansford County.  If such

1-14     petition is executed by at least 250 qualified electors of the

1-15     district who own taxable property therein which has been duly

1-16     rendered for taxation on the tax rolls of the district as of the

1-17     date of the presentation to the court of such petition, it shall be

1-18     the duty of the Commissioners Court of Hansford County to order an

1-19     election on the question of whether the directors of the district

1-20     shall thereafter be elected.  Such election shall be called within

1-21     90 days after the presentation of a proper petition and notice

1-22     thereof, given as provided in Article 704, Revised [Civil] Statutes

1-23     [of Texas, 1925, as amended], and such election shall be conducted

1-24     in accordance with the general laws of Texas pertaining to general

 2-1     elections, except as modified by the provisions of this Act.  The

 2-2     order calling the election shall specify the date, place or places

 2-3     of holding the election, the presiding judge and alternate judge

 2-4     for each voting place, and shall provide for clerks as in a county

 2-5     election.  The ballots shall be prepared to allow voting for or

 2-6     against the proposition:  "Providing the office of director of the

 2-7     Hansford County Hospital District shall hereafter be an elective

 2-8     office."  If a majority of the voters participating in the election

 2-9     shall vote in favor of such proposition, each director then in

2-10     office shall continue to serve the term for which appointed, but

2-11     successors in office shall be elected for terms of two years.  No

2-12     more than one such election for the purpose of voting on the

2-13     aforesaid proposition shall be held within any three-year period.

2-14           If such proposition is sustained by a majority vote, a

2-15     regular election for directors shall be held on the first Saturday

2-16     in May [April] of each year and shall be ordered by the board.

2-17     Such order shall state the time, place, and purpose of the

2-18     election, and the board shall appoint the presiding judge, who

2-19     shall appoint an assistant judge and such clerks as may be

2-20     required, and such election shall be ordered at least 15 days prior

2-21     to the date on which it is to be held.  Any person desiring his

2-22     name to be printed on the ballot as a candidate for director shall

2-23     file a petition signed by not less than 50 qualified voters, asking

2-24     that such name be printed on the ballot, with the secretary of the

2-25     board of directors of the district.  Such petition shall be filed

2-26     with the secretary at least 25 days prior to the date of election.

2-27     Notice of such election shall be published one time in a newspaper

 3-1     of general circulation in the area of the district at least five

 3-2     days before the election.  The term of office of each elected

 3-3     director shall be two years.  All vacancies in the office of

 3-4     director shall thereafter be filled by a majority vote of the

 3-5     remaining directors, and such appointees shall hold office for the

 3-6     unexpired term for which they were appointed.

 3-7           (c)  No person shall serve as a member of the board of

 3-8     directors unless the person [he] is a resident of the district[, a

 3-9     freeholder,] and a qualified voter.  Neither the administrator nor

3-10     employee of the district shall be eligible to serve as a director.

3-11     Each member of the board of directors shall execute the

3-12     constitutional oath of office.

3-13           SECTION 2.  Chapter 872, Acts of the 62nd Legislature,

3-14     Regular Session, 1971, is amended by adding Section 4A to read as

3-15     follows:

3-16           Sec. 4A.  (a)  In a general or special election of directors,

3-17     a write-in vote may not be counted unless the name written in

3-18     appears on the list of write-in candidates.

3-19           (b)  To be entitled to a place on the list of write-in

3-20     candidates, a candidate must make a declaration of write-in

3-21     candidacy.

3-22           (c)  A declaration of write-in candidacy must be filed with

3-23     the secretary of the board of directors not later than 5 p.m. of

3-24     the 25th day before election day.  However, if a candidate whose

3-25     name is to appear on the ballot dies or is declared ineligible

3-26     after the 28th day before election day, a declaration of write-in

3-27     candidacy for the office sought by the deceased or ineligible

 4-1     candidate may be filed not later than 5 p.m. of the 22nd day before

 4-2     election day.

 4-3           (d)  Subchapter B, Chapter 146, Election Code, applies to

 4-4     write-in voting in an election of directors except to the extent of

 4-5     a conflict with this section.

 4-6           (e)  Subchapter C, Chapter 2, Election Code, applies to the

 4-7     election of unopposed candidates for the board of directors.

 4-8           SECTION 3.  Section 5, Chapter 872, Acts of the 62nd

 4-9     Legislature, Regular Session, 1971, is amended to read as follows:

4-10           Sec. 5.  (a)  The board of directors shall manage, control,

4-11     and administer the hospital system and all funds and resources of

4-12     the district, but in no event shall any operating, depreciation, or

4-13     building funds [fund reserves] be invested in any funds or

4-14     securities other than those specified in Articles 836 and 837,

4-15     Revised [Civil] Statutes, or Chapter 2256, Government Code [of

4-16     Texas, 1925, as amended].  The board is given full authority to

4-17     establish rules and regulations relating to seniority of employees

4-18     of the district, including a retirement plan based thereon, and may

4-19     give effect to previous years of service for those employees who

4-20     have been continuously employed in the operation or management of

4-21     the hospital or ancillary health care facilities acquired,

4-22     including those acquired upon the creation thereof by reason of

4-23     Section 2 of this Act, or constructed by the district.  The

4-24     district, through its board of directors, shall have the power and

4-25     authority to sue and be sued, and shall be entitled to all causes

4-26     of action and defenses enjoyed by similar authorities who perform

4-27     only governmental functions, to promulgate rules and regulations

 5-1     governing the operation of the hospital, ancillary health care

 5-2     facilities, hospital system, and ancillary health care system, and

 5-3     the duties, functions, and responsibilities of the [its] staff,

 5-4     [and its] employees, contractors, or agents of the district.  The

 5-5     board of directors shall appoint [a] qualified persons [person] to

 5-6     be known as the administrators [administrator] or managers

 5-7     [manager] of the hospital district or of the ancillary health care

 5-8     facilities and may in its discretion appoint assistants [an

 5-9     assistant] to the administrators [administrator] or managers

5-10     [manager].  Such administrators [administrator] or managers

5-11     [manager] and assistant administrators [administrator] or managers

5-12     [manager], if any, shall serve at the will of the board and shall

5-13     receive such compensation as may be fixed by the board.  The

5-14     district administrator or manager shall, upon assuming his duties,

5-15     execute a bond payable to the hospital district in an amount to be

5-16     set by the board of directors, in no event less than $5,000,

5-17     conditioned that he shall perform the duties required of him, and

5-18     containing such other conditions as the board may require.  The

5-19     district administrator or manager shall supervise all the work and

5-20     activities of the district and shall have general direction of the

5-21     affairs of the district, including overall management

5-22     responsibility for the ancillary health care facilities, subject to

5-23     the limitations as may be prescribed by the board.  The board of

5-24     directors shall have the authority to appoint to the staff such

5-25     doctors and allied health personnel as it may be deemed necessary

5-26     for the efficient operation of the district, and may provide for

5-27     temporary appointments to the staff if warranted by circumstances.

 6-1     The board may delegate to the district administrator or manager the

 6-2     authority to employ technicians, nurses, and employees of the

 6-3     district.  Such board shall be authorized to contract with any

 6-4     other political subdivision or governmental agency whereby the

 6-5     district will provide investigatory or other services as to the

 6-6     hospital, ancillary health care, or welfare needs of the

 6-7     inhabitants of the district and shall be authorized to provide

 6-8     health care services [contract with any county or incorporated

 6-9     municipality located] outside its boundaries for the care and

6-10     treatment of the sick, diseased, or injured persons of any

6-11     jurisdiction [such county or municipality], and shall have the

6-12     authority to contract with the State of Texas, another state, or a

6-13     political subdivision of this or another state, or agencies of the

6-14     federal government for the treatment of sick diseased, or injured

6-15     persons.

6-16           (b)  The board of directors may defend or indemnify an

6-17     officer, director, board appointee, medical staff member, or

6-18     district employee against or for liability, claims, or expenses

6-19     that arise from the performance of a duty in the person's

6-20     respective capacity as an officer, director, board appointee,

6-21     medical staff member, or employee of the district, including the

6-22     performance of a duty at a  district facility.  The board of

6-23     directors may purchase and maintain liability insurance coverage or

6-24     establish a self-insurance program to fund indemnification under

6-25     this section.

6-26           SECTION 4.  Section 6, Chapter 872, Acts of the 62nd

6-27     Legislature, Regular Session, 1971, is amended to read as follows:

 7-1           Sec. 6.  The district shall be operated on the basis of a

 7-2     fiscal year as established from time to time by the board of

 7-3     directors of the district, provided such fiscal year shall not be

 7-4     changed more often than once in any 24-month period.  The board

 7-5     shall cause an independent audit to be made of the financial

 7-6     condition of the district, which, together with other records of

 7-7     the district, shall be open to inspection at the principal office

 7-8     of the district, such audit to be made covering such fiscal year,

 7-9     and the same shall be filed at the office of the district as soon

7-10     as it is completed.  The district administrator or manager shall

7-11     prepare an annual budget for approval by the board of directors.

7-12     The budget shall also contain a complete financial statement of the

7-13     district showing all outstanding obligations of the district, the

7-14     cash on hand to the credit of each and every fund of the district,

7-15     the funds received from all sources during the previous year, the

7-16     funds available from all sources during the ensuing year, with

7-17     balances expected at year end of the year in which the budget is

7-18     being prepared, and estimated revenues and balances available to

7-19     cover the proposed budget and the estimated tax rate which will be

7-20     required, and the proposed expenditures and disbursements and the

7-21     estimated receipts and collections for the following fiscal year.

7-22     A public hearing on the annual budget shall be held by the board of

7-23     directors after notice of such hearing has been published one time

7-24     at least 10 days before the date set therefor.  Notice of the

7-25     budget hearing shall be published in a newspaper or newspapers

7-26     which individually or collectively provide general circulation in

7-27     the hospital district.  Any property taxpayer of the district shall

 8-1     have the right to be present and participate in said hearing within

 8-2     such rules of decorum and procedures as may be prescribed by the

 8-3     board.  At the conclusion of the hearing, the budget, as proposed

 8-4     by the district administrator or manager, shall be acted upon by

 8-5     the board of directors.  The board of directors shall have

 8-6     authority to make such changes in the budget as in their judgment

 8-7     the law warrants and the interest of the taxpayers demands.  No

 8-8     expenditure may be made for any expense not included in the annual

 8-9     budget or an amendment thereto.  The annual budget may be amended

8-10     from time to time as the circumstances may require, but the annual

8-11     budget, and all amendments thereto, shall be approved by the board

8-12     of directors.  As soon as practicable after the close of each

8-13     fiscal year, the district administrator or manager shall prepare

8-14     for the board a full sworn statement of all moneys belonging to the

8-15     district and a full account of the disbursement of same.

8-16           SECTION 5.  Section 7, Chapter 872, Acts of the 62nd

8-17     Legislature, Regular Session, 1971, is amended to read as follows:

8-18           Sec. 7.  The board of directors shall have the power and

8-19     authority to issue and sell its bonds in the name and upon the

8-20     faith and credit of such hospital district for the purchase,

8-21     construction, acquisition, repair, or renovation of buildings and

8-22     improvements and equipping the same for hospital and ancillary

8-23     health care purposes, and for any or all of such purposes.  At the

8-24     time of the issuance of any bonds by the district a tax shall be

8-25     levied by the board sufficient to create an interest and sinking

8-26     fund to pay the interest on and principal of said bonds as same

8-27     mature, providing such tax together with any other taxes levied for

 9-1     said district shall not exceed the rate of tax voted under the

 9-2     provisions of Section 3 of this Act.  Except as provided in Section

 9-3     8, no bonds shall be issued by such hospital district until

 9-4     authorized by a majority of the electors of the district voting at

 9-5     an election called for such purpose.  The order for bond election

 9-6     shall specify the date of the election, the amount of bonds to be

 9-7     authorized, the maximum maturity thereof, the maximum rate of

 9-8     interest they are to bear, the place or places where the election

 9-9     shall be held, the presiding judge and alternate judge for each

9-10     voting place and provide for clerks as in county elections.  Notice

9-11     of any bond election shall be given as provided in Article 704,

9-12     Revised [Civil] Statutes [of Texas, 1925, as amended], and shall be

9-13     conducted in accordance with the general laws of Texas pertaining

9-14     to general elections, except as modified by the provisions of this

9-15     Act.

9-16           SECTION 6.  Section 8(b), Chapter 872, Acts of the 62nd

9-17     Legislature, Regular Session, 1971, is amended to read as follows:

9-18           (b)  In addition to the power to issue bonds payable from

9-19     taxes levied by the district, as contemplated by the preceding

9-20     section, the board of directors is further authorized to issue and

9-21     to refund any previously issued revenue bonds for purchasing,

9-22     constructing, acquiring, repairing, equipping, or renovating

9-23     buildings and improvements for hospital or ancillary health care

9-24     purposes, and for acquiring sites therefor, such bonds to be

9-25     payable from and secured by a pledge of all or any part of the

9-26     revenues of the district to be derived from the operation of its

9-27     hospital, [or] hospitals, or ancillary health care facilities, and

 10-1    such bonds may be additionally secured by a mortgage or deed of

 10-2    trust lien on any part or all of its properties.  Such bonds shall

 10-3    be issued in the manner and in accordance with the procedures and

 10-4    requirements specified for the issuance of revenue bonds by county

 10-5    hospital authorities in Sections 264.042, 264.043, 264.046,

 10-6    264.047, 264.048, and 264.049, Health and Safety Code [Sections 8,

 10-7    10, 11, 12 and 13, Chapter 122, Acts of the 58th Legislature, 1963

 10-8    (Article 4494r, Vernon's Texas Civil Statutes)].

 10-9          SECTION 7.  Chapter 872, Acts of the 62nd Legislature,

10-10    Regular Session, 1971, is amended by adding Section 8A to read as

10-11    follows:

10-12          Sec. 8A.  The district may issue, sell, and deliver

10-13    obligations of the district and execute corresponding credit

10-14    agreements in the manner provided by Chapter 656, Acts of the 68th

10-15    Legislature, Regular Session, 1983 (Article 717q, Vernon's Texas

10-16    Civil Statutes), and the Bond Procedures Act of 1981 (Article

10-17    717k-6, Vernon's Texas Civil Statutes).

10-18          SECTION 8.  Section 9, Chapter 872, Acts of the 62nd

10-19    Legislature, Regular Session, 1971, is amended to read as follows:

10-20          Sec. 9.  The board of directors is hereby given complete

10-21    discretion as to the type of buildings, both as to number and

10-22    location, either inside or outside the district, required to

10-23    establish and maintain an adequate hospital system and ancillary

10-24    health care services system.  The hospital and ancillary health

10-25    care services systems [system] may include facilities and equipment

10-26    to provide for domiciliary care and treatment of the sick, wounded,

10-27    and injured, [facilities for] outpatient [clinic or] clinics,

 11-1    dispensaries, [facilities for] geriatric domiciliary care,

 11-2    convalescent home facilities, physicians' offices, home health

 11-3    services, durable medical equipment, long-term care, skilled

 11-4    nursing care, intermediate nursing care, hospice care, ambulatory

 11-5    surgery centers, urgent care facilities, rural health clinics,

 11-6    operation of a mobile emergency medical service, necessary nurses'

 11-7    domiciliaries and training centers, blood banks, and research

 11-8    centers or laboratories, and any other facilities or equipment

 11-9    deemed necessary for the provision of hospital and ancillary health

11-10    care services [care] by the directors.  The district, through its

11-11    board of directors, is further authorized to enter into an

11-12    operating or management contract with a public or private entity

11-13    with regard to  any part or all of its facilities, equipment, or

11-14    services.  The board [or a part thereof, or] may lease all or part

11-15    of its buildings, [and] facilities, or equipment upon terms and

11-16    conditions considered to be in [to] the best interest of its

11-17    inhabitants, provided that in no event shall any lease be for a

11-18    period in excess of 25 years from the date on which the lease is

11-19    made [entered].  The district shall be empowered to sell, lease, or

11-20    otherwise dispose of any real or personal property or equipment of

11-21    any nature upon terms and conditions found by the board to be in

11-22    the best interest of the district's [its] inhabitants, provided,

11-23    however, that in no event shall the board be authorized to sell or

11-24    dispose of any real property unless the board affirmatively finds

11-25    that the sale, lease, or disposition of the property is in the best

11-26    interests of the district's inhabitants [the same is not needed for

11-27    the operation of the hospital system].

 12-1          SECTION 9.  Section 10, Chapter 872, Acts of the 62nd

 12-2    Legislature, Regular Session, 1971, is amended to read as follows:

 12-3          Sec. 10.  The board of directors of such district shall have

 12-4    the power to prescribe the method and manner of making purchases

 12-5    and expenditures by and for such hospital district, and shall also

 12-6    be authorized to prescribe all accounting and control procedures.

 12-7    All contracts for construction [or purchases] involving the

 12-8    expenditure of more than $10,000 [$2,000] may be made only after

 12-9    advertising in the manner provided by Chapter 252, Local Government

12-10    Code, Section 286.078, Health and Safety Code, or Subchapter B,

12-11    Chapter 271, Local Government Code [163, Acts of the 42nd

12-12    Legislature, Regular Session, 1931, as amended (Article 2368a,

12-13    Vernon's Texas Civil Statutes)].  The provisions of Chapter 2253,

12-14    Government Code [Article 5160, Revised Civil Statutes of Texas,

12-15    1925, as amended], relating to performance and payment bonds, shall

12-16    apply to construction contracts let by the district.  The district

12-17    may acquire by purchase, lease, or lease to purchase equipment for

12-18    use in its hospital system and mortgage or pledge the property so

12-19    acquired as security for the payment of the purchase or lease

12-20    price, but any such contract shall provide for the entire

12-21    obligation of the district to be retired within five years from the

12-22    date of the contract.  Except as permitted in the preceding

12-23    sentence and as permitted by Sections 7, [and] 8, 10A, and 15(d) of

12-24    this Act, the district may incur no obligation payable from any

12-25    revenues of the district, taxes or otherwise, except those on hand

12-26    or to be on hand within the then current and following fiscal year

12-27    of the district.

 13-1          SECTION 10.   Chapter 872, Acts of the 62nd Legislature,

 13-2    Regular Session, 1971, is amended by adding Section 10A to read as

 13-3    follows:

 13-4          Sec. 10A.  (a)  The board of directors may spend district

 13-5    funds, enter into agreements, and take other necessary action to

 13-6    recruit physicians, ancillary and allied health professionals, and

 13-7    other persons to serve on the district's medical staff or for

 13-8    employment with the district, including:

 13-9                (1)  advertising and marketing;

13-10                (2)  paying travel, recruitment, and relocation

13-11    expenses;

13-12                (3)  providing a loan or scholarship to a physician or

13-13    other person enrolled in health care education courses at an

13-14    institution of higher education who contractually agrees to become

13-15    a district employee or medical staff member; and

13-16                (4)  providing office space without the payment of rent

13-17    for the space or subsidizing office space or other facilities for a

13-18    health care professional, including a physician.

13-19          (b)  The board of directors may spend district funds, enter

13-20    into agreements, and take other necessary action to conduct,

13-21    participate in, or otherwise assist in providing health care and

13-22    professional educational, development, or retraining programs for

13-23    medical staff members or employees of the district or prospective

13-24    medical staff members or employees.

13-25          (c)  The board of directors may spend district funds, enter

13-26    into agreements, acquire by lease, purchase, or lease to purchase

13-27    facilities, supplies, and equipment, and take any other action to

 14-1    provide day-care services for the medical staff members, allied

 14-2    health professionals, officers, directors, and employees of the

 14-3    district.  As space permits, the district may also provide day-care

 14-4    services to residents of the district.

 14-5          SECTION 11.  Section 11, Chapter 872, Acts of the 62nd

 14-6    Legislature, Regular Session, 1971, is amended to read as follows:

 14-7          Sec. 11.  The board of directors of the district shall name

 14-8    one or more banks within, without (either or both), its boundaries

 14-9    to serve as a depository for the funds of the district.  All funds

14-10    of the district, except those invested as provided in Section 5 of

14-11    this Act, and those transmitted to a bank or banks of payment for

14-12    bonds or obligations issued or assumed by the district, shall be

14-13    deposited as received with the depository bank and shall remain on

14-14    deposit, provided that nothing herein shall limit the power of the

14-15    board to place a portion of such funds on time deposit or purchase

14-16    certificates of deposit or make other investments as authorized by

14-17    Chapter 2256, Government Code.

14-18          SECTION 12.  Section 14, Chapter 872, Acts of the 62nd

14-19    Legislature, Regular Session, 1971, is amended to read as follows:

14-20          Sec. 14.  The district shall have the right and power of

14-21    eminent domain for the purpose of acquiring by condemnation any and

14-22    all property of any kind and character in fee simple, or any lesser

14-23    interest therein, within the boundaries of the district necessary

14-24    to the powers, rights, and privileges conferred by this Act, in the

14-25    manner provided by the general law with respect to condemnation by

14-26    counties, provided that the district shall not be required to make

14-27    deposits in the registry of the trial court of the sum required by

 15-1    Section 21.021, Property Code [Paragraph 2, Article 3268, Revised

 15-2    Civil Statutes of Texas, 1925, as amended], or to make bond as

 15-3    therein provided.  In condemnation proceedings being prosecuted by

 15-4    the district, the district shall not be required to pay in advance

 15-5    or give bond or other security for costs in the trial court, nor to

 15-6    give any bond otherwise required for the issuance of a temporary

 15-7    restraining order or a temporary injunction nor to give bond for

 15-8    costs or for supersedeas on any appeal or writ of error.

 15-9          SECTION 13.  Section 15, Chapter 872, Acts of the 62nd

15-10    Legislature, Regular Session, 1971, is amended to read as follows:

15-11          Sec. 15.  (a)  The directors shall have the authority to levy

15-12    taxes for the entire year in which the district is established as

15-13    the result of the election herein provided.  [All taxes of the

15-14    district shall be assessed and collected on county tax values as

15-15    provided in Subsection (b) of this section hereof unless the

15-16    directors, by majority vote, elect to have taxes assessed and

15-17    collected by its own tax assessor-collector under Subsection (c) of

15-18    this section hereof.  Any such election may be made prior to

15-19    December 1 annually and shall govern the manner in which taxes are

15-20    thereafter assessed and collected, until changed by a similar

15-21    resolution.]  Hospital district tax shall be levied upon all

15-22    taxable property within said district subject to hospital district

15-23    taxation.

15-24          (b)  The Tax Code governs the appraisal, assessment, and

15-25    collection of district taxes [Under this subsection, district taxes

15-26    shall be assessed and collected on county tax values in the same

15-27    manner as provided by law with relation to county taxes.  The tax

 16-1    assessor-collector of the county in which said district is situated

 16-2    shall be charged and required to accomplish the assessment and

 16-3    collection of all taxes levied by and on behalf of the district.

 16-4    The assessor-collector of taxes shall charge and deduct from

 16-5    payments to the hospital district an amount as fees for assessing

 16-6    and collecting the taxes at a rate of not exceeding two percent of

 16-7    the amounts collected as may be determined by contract between the

 16-8    county and the district, but in no event shall the amount paid

 16-9    exceed $7,500 in any one calendar year.  Such fees shall be

16-10    deposited in the officers' salary fund of the county and reported

16-11    as fees of office of the county tax assessor-collector.  Interest

16-12    and penalties on taxes paid to the hospital district shall be the

16-13    same as in the case of county taxes.  Discounts shall be the same

16-14    as allowed by the county.  The residue of tax collections after

16-15    deductions of discounts and fees for assessing and collecting shall

16-16    be deposited in the district's depository.  The bond of the county

16-17    tax assessor-collector shall stand as security for the proper

16-18    performance of his duties as assessor-collector of the district;

16-19    or, if in the judgment of the district board of directors it is

16-20    necessary, additional bond payable to the district may be required.

16-21    In all matters pertaining to the assessment, collection, and

16-22    enforcement of taxes for the district, the county tax

16-23    assessor-collector shall be authorized to act in all respects

16-24    according to the laws of the State of Texas relating to state and

16-25    county taxes].

16-26          (c)  The board may provide for the appointment of a tax

16-27    assessor-collector for the district or may contract for the

 17-1    assessment and collection of taxes as provided by the Tax Code

 17-2    [Under this subsection, taxes shall be assessed and collected by a

 17-3    tax assessor-collector appointed by the directors, who shall also

 17-4    fix the terms of his employment, compensation, and requirement for

 17-5    bond to assure the faithful performance of his duties, but in no

 17-6    event shall such bond be for less than $5,000.  The directors shall

 17-7    also annually appoint five persons to serve as a board of

 17-8    equalization and shall fix their compensation.  Each member of the

 17-9    board and the tax assessor shall be residents of the district and

17-10    own real property subject to hospital district taxation, and each

17-11    shall have the same duties, including the obligation to execute the

17-12    oath of office, as required by county officials exercising such

17-13    powers and duties.  Except as in this Act provided to the contrary,

17-14    all the provisions of Title 122, Revised Civil Statutes of Texas,

17-15    1925, as amended, shall apply to the district].

17-16          (d)  The district may borrow money to pay the district's

17-17    operating expenses in an amount not to exceed the amount of taxes

17-18    or other revenues the district expects to receive during the fiscal

17-19    year in which the money is borrowed.  The district may pledge all

17-20    or part of the taxes or other revenues received during that fiscal

17-21    year to repay the indebtedness.

17-22          SECTION 14.  Section 17, Chapter 872, Acts of the 62nd

17-23    Legislature, Regular Session, 1971, is amended to read as follows:

17-24          Sec. 17.  Whenever a patient [residing within the district]

17-25    has been admitted to the facilities of the district [thereof], the

17-26    district administrator or manager may cause inquiry to be made as

17-27    to the patient's [his] circumstances and those of the relatives of

 18-1    such patient legally liable for the patient's [his] support.  If

 18-2    the district administrator [he] finds that such patient or said

 18-3    relatives are able to pay for the [his] care and treatment provided

 18-4    by the district to the patient in whole or in part, an order shall

 18-5    be made directing such patient or said relatives to pay the

 18-6    hospital district for the care and support of such patient a

 18-7    specified sum per week in proportion to their financial ability.

 18-8    The district administrator or manager shall have power and

 18-9    authority to collect such sums from the estate of the patient or

18-10    the patient's [his] relatives legally liable for the patient's

18-11    [his] support in the manner provided by law for collection of

18-12    expenses in the last illness of a deceased person.  If the district

18-13    administrator or manager finds that such patient or said relatives

18-14    are not able to pay either in whole or in part for the [his] care

18-15    and treatment provided to the patient by the district and that

18-16    payment is not available from any other source [in such hospital],

18-17    same shall become a charge upon the hospital district as to the

18-18    amount of the inability to pay.  Should there be any dispute as to

18-19    the ability to pay or doubt in the mind of the district

18-20    administrator or manager, the board of directors shall hear and

18-21    determine the patient's ability to pay [same] after calling

18-22    witnesses, and shall make such order or orders as may be proper.

18-23    Appeals from the final order of the board shall lie to the district

18-24    court.  The substantial evidence rule shall apply.

18-25          SECTION 15.  Section 18, Chapter 872, Acts of the 62nd

18-26    Legislature, Regular Session, 1971, is amended to read as follows:

18-27          Sec. 18.  The board of directors of the hospital district is

 19-1    authorized on behalf of the [such] district to accept donations,

 19-2    gifts, and endowments, in addition to those heretofore made to

 19-3    Hansford County for hospital and ancillary health care purposes, to

 19-4    be held in trust and administered by the board of directors for

 19-5    such purposes and under such directions, limitations, and

 19-6    provisions as may be prescribed in writing by the donor not

 19-7    inconsistent with proper management and objective of the hospital

 19-8    district.

 19-9          SECTION 16.  Section 19, Chapter 872, Acts of the 62nd

19-10    Legislature, Regular Session, 1971, is amended to read as follows:

19-11          Sec. 19.  After creation of the hospital district, no

19-12    municipality or political subdivision within the boundaries of the

19-13    district shall have the power to levy taxes or issue bonds or other

19-14    obligations for hospital purposes or for providing medical care.

19-15    The said hospital district shall assume full responsibility for

19-16    providing hospital services [care] for the indigents residing

19-17    within the district.  The hospital district may assume full

19-18    responsibility for providing ancillary health care services for the

19-19    indigent residents of the district and may operate or provide for

19-20    the operation of a mobile emergency medical service.  When the

19-21    district is created and established, the county and all towns and

19-22    cities located therein shall convey and transfer to the district

19-23    title to all lands, buildings, improvements and equipment in

19-24    anywise pertaining to a hospital or hospital system which may be

19-25    jointly or separately owned by the county or any city or town

19-26    within said district.  Operating funds and reserves for operating

19-27    expenses which are on hand and funds which have been budgeted for

 20-1    hospital purposes by the county or any city or town therein for the

 20-2    remainder of the fiscal year in which the district is established

 20-3    shall likewise be transferred to said district, as shall taxes

 20-4    theretofore levied for hospital purposes for the current year and

 20-5    all sinking funds established for payment of indebtedness assumed

 20-6    by the district.

 20-7          SECTION 17.  This Act takes effect September 1, 1997.

 20-8          SECTION 18.  The importance of this legislation and the

 20-9    crowded condition of the calendars in both houses create an

20-10    emergency and an imperative public necessity that the

20-11    constitutional rule requiring bills to be read on three several

20-12    days in each house be suspended, and this rule is hereby suspended.