1-1     By:  Chisum (Senate Sponsor - Bivins)                 H.B. No. 3122
 1-2           (In the Senate - Received from the House April 19, 1999;
 1-3     April 20, 1999, read first time and referred to Committee on
 1-4     Intergovernmental Relations; May 6, 1999, reported favorably by the
 1-5     following vote:  Yeas 5, Nays 0; May 6, 1999, sent to printer.)
 1-6                            A BILL TO BE ENTITLED
 1-7                                   AN ACT
 1-8     relating to the powers, duties, and operations of the
 1-9     Dallam-Hartley Counties Hospital District.
1-10           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-11           SECTION 1.  Section 4, Chapter 128, Acts of the 66th
1-12     Legislature, Regular Session, 1979, is amended by adding
1-13     Subsections (d) and (e) to read as follows:
1-14           (d)  The district may contract with, affiliate with, have an
1-15     ownership interest in, or enter into another arrangement with a
1-16     managed care system, a preferred provider organization, a health
1-17     maintenance organization, a medical services organization, another
1-18     provider of alternative health care or delivery system, or a
1-19     private hospital to jointly administer or deliver health care
1-20     services.  The district may spend district funds to establish,
1-21     maintain, and have an ownership interest in partnerships,
1-22     corporations, or other entities involved in the delivery of health
1-23     care services.
1-24           (e)  The district may sponsor, create, and have a membership
1-25     interest in a nonstock corporation under the Texas Non-Profit
1-26     Corporation Act (Article 1396-1.01 et seq., Vernon's Texas Civil
1-27     Statutes) and may contribute funds to or solicit funds for the
1-28     corporation.  The corporation may use funds, other than funds paid
1-29     by the corporation to the district, only to provide health care or
1-30     other services the district may provide under this Act.  The board
1-31     of directors of the hospital district shall establish adequate
1-32     controls to ensure that the corporation uses its funds as required
1-33     by this subsection.  The corporation may invest corporation funds
1-34     in any manner in which the district may invest funds, including
1-35     investing funds as authorized by Chapter 2256, Government Code.
1-36           SECTION 2.  Section 8(b), Chapter 128, Acts of the 66th
1-37     Legislature, Regular Session, 1979, is amended to read as follows:
1-38           (b)  The board may prescribe the method and manner of making
1-39     purchases and expenditures by and for the hospital district, and
1-40     may prescribe all accounting and control procedures.  Contracts for
1-41     construction involving the expenditure of the amount specified by
1-42     Section 271.024, Local Government Code, [more than  $10,000] may be
1-43     made only after advertising in the manner provided by Subchapter B,
1-44     Chapter 271, Local Government Code.  The provisions of Chapter
1-45     2253, Government Code [Article 5160, Revised Civil Statutes of
1-46     Texas, 1925, as amended], relating to performance and  payment
1-47     bonds [shall] apply to construction contracts let by the district.
1-48     The board may acquire by lease, purchase, or lease to purchase
1-49     property, facilities, supplies, or equipment.  The board [and] may
1-50     mortgage or pledge the property, facilities, supplies, or equipment
1-51     and may pledge the revenues from the property, facilities,
1-52     supplies, or equipment as security for the payment of the purchase
1-53     price.  Except as permitted in this subsection and Sections 4A, 6,
1-54     and 7 of this Act, the district may incur no obligation payable
1-55     from revenues of the district, tax or otherwise, except those on
1-56     hand or to be on hand within the then current and following fiscal
1-57     years of the district.
1-58           SECTION 3.  The importance of this legislation and the
1-59     crowded condition of the calendars in both houses create an
1-60     emergency and an imperative public necessity that the
1-61     constitutional rule requiring bills to be read on three several
1-62     days in each house be suspended, and this rule is hereby suspended,
1-63     and that this Act take effect and be in force from and after its
1-64     passage, and it is so enacted.
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