1-1     By:  Jones (Senate Sponsor - Duncan)                 H.C.R. No. 277
 1-2           (In the Senate - Received from the House May 12, 1999;
 1-3     May 13, 1999, read first time and referred to Committee on
 1-4     Administration; May 14, 1999, reported favorably by the following
 1-5     vote:  Yeas 3, Nays 0; May 14, 1999, sent to printer.)
 1-6                         HOUSE CONCURRENT RESOLUTION
 1-7           WHEREAS, In 1967, the 60th Texas Legislature authorized the
 1-8     creation of the Lubbock County Hospital District pursuant to
 1-9     Section 9, Article IX, Texas Constitution, which allows the
1-10     legislature to provide for the creation, operation, and maintenance
1-11     or dissolution of such districts; and
1-12           WHEREAS, Given full responsibility for providing medical and
1-13     hospital care for district residents, hospital districts also are
1-14     granted exclusive authority to levy property taxes or issue bonds
1-15     or other obligations for hospital purposes or for the provision of
1-16     medical care within each district's boundaries; and
1-17           WHEREAS, In 1969, the 61st Legislature created the Texas Tech
1-18     University School of Medicine, which later became the Texas Tech
1-19     University Health Sciences Center; comprising schools of medicine,
1-20     nursing, allied health, pharmacy, and a graduate school of
1-21     biomedical sciences, the center is charged with providing quality
1-22     education for health care professionals and developing academic,
1-23     biomedical research, patient care, and community outreach services
1-24     programs to meet the needs of the 108 counties of West Texas; and
1-25           WHEREAS, Charged with different but complementary missions,
1-26     the health sciences center and the hospital district have
1-27     established a cooperative relationship for their mutual benefit and
1-28     their respective constituencies; and
1-29           WHEREAS, For example, the hospital district owns and operates
1-30     a hospital that serves as a teaching hospital for the medical
1-31     school; the hospital district also provides substantial financial
1-32     support to the center, and in 1998 increased its funding by $4
1-33     million, a significant proportion of the district's annual budget,
1-34     to support physician residency training and medical directors; and
1-35           WHEREAS, For 1998, the Lubbock County Hospital District
1-36     levied taxes at a rate of 9.91 cents per $100 valuation on a
1-37     property tax base of nearly $7.2 billion for net tax revenues of
1-38     more than $7 million for the year; and
1-39           WHEREAS, The district also derives income from investments,
1-40     which in the past consisted of purchases of federally guaranteed
1-41     treasury bills and bonds, safe investments that return small but
1-42     protected dividends; in 1996, however, the hospital district's
1-43     board approved a higher-risk investment policy authorizing
1-44     investments in debt issues from federal agencies such as the
1-45     Government National Mortgage Association, the Federal Farm Credit
1-46     Bureau, and the Federal National Mortgage Association; and
1-47           WHEREAS, Aside from local tax revenues and investment income,
1-48     the district also counts on government reimbursement for services
1-49     rendered through federal programs such as Medicaid and Medicare,
1-50     but the revenue stream from those sources is anticipated to
1-51     continue declining as a result of program changes; and
1-52           WHEREAS, Because the hospital district was created under the
1-53     legislature's authority and because of its relationship with a
1-54     state-funded institution, the state has an interest in ensuring
1-55     sound fiscal management of the district's financial affairs, as
1-56     well as its medical responsibilities, to the extent that they
1-57     affect the Texas Tech University Health Sciences Center; now,
1-58     therefore, be it
1-59           RESOLVED, That the 76th Legislature of the State of Texas
1-60     hereby request the lieutenant governor and the speaker of the house
1-61     of representatives to create a legislative oversight committee with
1-62     jurisdiction over the Lubbock County Hospital District and its
1-63     relationship to Texas Tech University; and, be it further
1-64           RESOLVED, That the committee be composed of two members of
 2-1     the senate appointed by the lieutenant governor and two members of
 2-2     the house of representatives appointed by the speaker of the house
 2-3     of representatives; and, be it further
 2-4           RESOLVED, That the committee be given the power to hold
 2-5     hearings on any matter pertaining to the relationship between the
 2-6     hospital district and the university health sciences center and to
 2-7     issue due process in accordance with Section 301.024, Government
 2-8     Code, to compel the attendance of witnesses and the production of
 2-9     books, records, documents, and instruments required by the
2-10     committee; and, be it further
2-11           RESOLVED, That the legislative oversight committee's
2-12     proceedings and operations be governed by such general rules and
2-13     policies for joint interim committees as the 76th Legislature may
2-14     adopt and that such rules and policies supersede the provisions of
2-15     this resolution to the extent of any conflict; and, be it further
2-16           RESOLVED, That the committee submit a full report, including
2-17     findings and recommendations, to the 77th Texas Legislature when it
2-18     convenes in January 2001.
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