1-1 By: Jones of Lubbock, Isett (Senate Sponsor-Duncan) H.B. No. 962
1-2 (In the Senate - Received from the House April 9, 1999;
1-3 April 12, 1999, read first time and referred to Committee on
1-4 Intergovernmental Relations; April 23, 1999, reported adversely,
1-5 with favorable Committee Substitute by the following vote: Yeas 5,
1-6 Nays 0; April 23, 1999, sent to printer.)
1-7 COMMITTEE SUBSTITUTE FOR H.B. No. 962 By: Moncrief
1-8 A BILL TO BE ENTITLED
1-9 AN ACT
1-10 relating to the sale or lease of a certain facility owned and
1-11 operated by the Lubbock County Hospital District; providing a
1-12 penalty.
1-13 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-14 SECTION 1. Section 10, Chapter 484, Acts of the 60th
1-15 Legislature, Regular Session, 1967, is amended to read as follows:
1-16 Sec. 10. CUMULATIVE POWERS. Subject to Section 10A of this
1-17 Act, the [The] board of managers, with the approval of the
1-18 commissioners court, shall have the power:
1-19 (a) To construct, condemn and purchase, purchase and
1-20 acquire, lease, add to, maintain, operate, develop and regulate,
1-21 sell, exchange and convey any and all lands, property, property
1-22 rights, equipment, hospital facilities and systems for the
1-23 maintenance of hospitals, buildings, structures, and any and all
1-24 other facilities and services the hospital district may require or
1-25 may have available to sell, lease or exchange;
1-26 (b) To further effectuate such powers, the board of
1-27 managers, with the approval of the commissioners court, may
1-28 cooperate and contract with the United States government, the State
1-29 of Texas, any municipality or other hospital district, or any
1-30 department of those governing bodies, or with any privately owned
1-31 or operated hospital, corporate or otherwise, which privately owned
1-32 or operated hospital is situated in the hospital district;
1-33 provided, in the opinion of the board of managers and of the
1-34 commissioners court, such a contract is deemed expedient and
1-35 advantageous to the hospital district under existing circumstances,
1-36 and be for such fair and reasonable compensation and on such other
1-37 terms and for such length of time as may be deemed to further and
1-38 assist the hospital district in performing its duty to provide
1-39 medical and hospital care to needy inhabitants of the county;
1-40 (c) To provide office space, equipment, supplies, and
1-41 services for the use of the county medical examiner's office for
1-42 medical, hospital, and other non-criminal-investigation-related
1-43 purposes.
1-44 SECTION 2. Chapter 484, Acts of the 60th Legislature,
1-45 Regular Session, 1967, is amended by adding Section 10A to read as
1-46 follows:
1-47 Sec. 10A. SALE OR LEASE OF CERTAIN FACILITY; ELECTION;
1-48 DISCLOSURE. (a) In this section:
1-49 (1) "Hospital official" means the following officers
1-50 or employees, or their equivalent, of the teaching hospital
1-51 described by Subsection (b) of this section:
1-52 (A) the executive director;
1-53 (B) the president;
1-54 (C) the chief executive officer;
1-55 (D) the chief operating officer;
1-56 (E) the chief financial officer;
1-57 (F) any vice president; and
1-58 (G) any other officer.
1-59 (2) "Substantial interest" has the meaning assigned by
1-60 Section 171.002, Local Government Code.
1-61 (b) The board of managers by resolution, and with the
1-62 approval of the commissioners court, may order the sale or lease of
1-63 a facility owned and operated by the hospital district as a
1-64 teaching hospital that is located on the campus of Texas Tech
2-1 University, contingent on certain disclosure requirements under
2-2 this section and voter approval at an election called and held for
2-3 that purpose. The resolution must include a finding by the board
2-4 of managers that the sale or lease is in the best interests of the
2-5 residents of the hospital district and that no hospital official
2-6 will benefit financially from the sale or lease, other than from
2-7 the continuation of a compensation package existing before the date
2-8 of the sale or lease. As soon as possible after the board of
2-9 managers adopts the resolution, the Commissioners Court of Lubbock
2-10 County shall order an election on the question of selling or
2-11 leasing the facility.
2-12 (c) An election ordered under Subsection (b) of this section
2-13 shall be held on the first authorized uniform election date
2-14 prescribed by Subchapter A, Chapter 41, Election Code, that occurs
2-15 after the 45th day after the date the election is ordered.
2-16 (d) The ballot for the election shall be printed to permit
2-17 voting for or against the proposition: "Approving the ______ (sale
2-18 or lease, as appropriate) of _________ (insert the name of the
2-19 facility)."
2-20 (e) The chairman of the board of managers shall disclose,
2-21 not later than the 30th day before the date of an election held
2-22 under this section, the terms of the proposed sale or lease of a
2-23 facility described by Subsection (b) of this section. The
2-24 disclosure must include both oral and written agreements relating
2-25 to the sale or lease.
2-26 (f) A member of the board of managers or a hospital official
2-27 shall disclose, not later than the 30th day before the date of an
2-28 election held under this section, any financial interest that the
2-29 person has in the sale or lease of a facility described by
2-30 Subsection (b) of this section. For purposes of this subsection, a
2-31 person has a financial interest in the sale or lease if the person:
2-32 (1) has a substantial interest in a business entity
2-33 involved in the sale or lease;
2-34 (2) is related within the second degree by
2-35 consanguinity or affinity, as determined under Chapter 573,
2-36 Government Code, to a person who has a substantial interest in a
2-37 business entity involved in the sale or lease; or
2-38 (3) is a hospital official who will benefit
2-39 financially from the sale or lease, other than from the
2-40 continuation of a compensation package existing before the date of
2-41 the sale or lease.
2-42 (g) A person shall make a disclosure required under
2-43 Subsection (e) or (f) of this section by filing the disclosure with
2-44 the Commissioners Court of Lubbock County and the board of
2-45 managers. A disclosure of information filed under this section is
2-46 a public record.
2-47 (h) A person required to make a disclosure under Subsection
2-48 (f) of this section commits an offense if the person knowingly
2-49 fails to make the disclosure within the period prescribed by that
2-50 subsection. An offense under this subsection is a Class A
2-51 misdemeanor.
2-52 (i) The Commissioners Court of Lubbock County shall cancel
2-53 an election ordered under this section if a hospital official makes
2-54 a disclosure of a financial interest in the sale or lease of a
2-55 facility under Subsections (f) and (g) of this section at any time
2-56 before the date of the election.
2-57 (j) The board of managers may sell or lease the facility
2-58 only if:
2-59 (1) a hospital official has not made a disclosure
2-60 under Subsections (f) and (g) of this section at any time before
2-61 the date of the sale or lease; and
2-62 (2) a majority of the votes cast at an election held
2-63 under this section approves the sale or lease.
2-64 (k) A disclosure under this section that is made after the
2-65 date on which the sale or lease of the facility occurs does not
2-66 invalidate the sale or lease.
2-67 (l) If a majority of the votes cast at the election do not
2-68 approve the sale or lease of the facility, another election to
2-69 approve the sale or lease, as appropriate, may not be held before
3-1 the first anniversary of the most recent election on the
3-2 proposition.
3-3 SECTION 3. The importance of this legislation and the
3-4 crowded condition of the calendars in both houses create an
3-5 emergency and an imperative public necessity that the
3-6 constitutional rule requiring bills to be read on three several
3-7 days in each house be suspended, and this rule is hereby suspended,
3-8 and that this Act take effect and be in force from and after its
3-9 passage, and it is so enacted.
3-10 * * * * *