2003S0469-1 03/04/03
By: Duncan S.B. No. 1019
A BILL TO BE ENTITLED
AN ACT
relating to the powers, duties, taxing authority, and dissolution
procedure of the Ballinger Hospital District.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 4.04, Chapter 137, Acts of the 70th
Legislature, Regular Session, 1987, is amended to read as follows:
Sec. 4.04. NOTICE OF ELECTION. Notice [At least 35 days
before the date of an election of directors, notice] of the election
shall be published one time in a newspaper with general circulation
in the district in accordance with Section 4.003, Election Code.
SECTION 2. Section 4.05, Chapter 137, Acts of the 70th
Legislature, Regular Session, 1987, is amended to read as follows:
Sec. 4.05. APPLICATION [PETITION]. [(a)] A person who
wishes to have his or her name printed on the ballot as a candidate
for director must file an application with the secretary of the
board of directors in accordance with Chapter 144, Election Code [a
petition signed by at least 10 registered voters of the district
asking that his name be placed on the ballot. The determination of
whether a person is a registered voter of the district shall be
based on the most recent official list of registered voters].
[(b) The petition must be filed with the secretary not later
than the 31st day before the date of the election.]
SECTION 3. Article 4, Chapter 137, Acts of the 70th
Legislature, Regular Session, 1987, is amended by adding Sections
4.18 and 4.19 to read as follows:
Sec. 4.18. RECRUITMENT OF MEDICAL STAFF AND EMPLOYEES. The
board may spend district funds, enter into agreements, and take
other necessary action to recruit physicians and other persons to
serve as medical staff members or employees of the district,
including:
(1) advertising and marketing;
(2) paying travel, recruitment, and relocation
expenses;
(3) providing a loan or scholarship to a physician or a
person currently enrolled in health care education courses at an
institution of higher education who contractually agrees to become
a district employee or medical staff member; or
(4) contracting with one or more full-time medical
students or other students in a health occupation, who must be
enrolled in and in good standing at an accredited medical school,
college, or university, to pay the student's tuition or other
expenses in consideration of the student's agreement to serve as an
employee or independent contractor for the district.
Sec. 4.19. CREATION OF NONPROFIT CORPORATION. The district
may sponsor and create a nonprofit corporation under the Texas
Non-Profit Corporation Act (Article 1396-1.01, et seq., Vernon's
Texas Civil Statutes) and may contribute funds to or solicit funds
for the corporation. The corporation may use funds paid by the
district only to provide health care or other services the district
is authorized to provide under this Act. The board shall establish
adequate controls to ensure that the corporation uses its funds as
required by this section. The corporation may invest corporation
funds in any manner in which the district may invest funds,
including investing funds as authorized by Chapter 2256, Government
Code.
SECTION 4. Section 5.07, Chapter 137, Acts of the 70th
Legislature, Regular Session, 1987, is amended to read as follows:
Sec. 5.07. CONSTRUCTION CONTRACTS. (a) The board may
enter into construction contracts on behalf of the district;
however, the board may enter into construction contracts in excess
of the amount provided by Section 271.024, Local Government Code,
only after competitive bidding as provided by Subchapter B, Chapter
271, Local Government Code [that involve spending more than $10,000
only after competitive bidding as provided by Chapter 770, Acts of
the 66th Legislature, Regular Session, 1979 (Article 2368a.3,
Vernon's Texas Civil Statutes)].
(b) Chapter 2253, Government Code [Article 5160, Revised
Statutes], as it relates to performance and payment bonds, applies
to construction contracts of the district.
SECTION 5. Subsection (a), Section 5.11, Chapter 137, Acts
of the 70th Legislature, Regular Session, 1987, is amended to read
as follows:
(a) Not later than the first day [beginning] of each
operating year, the district shall adopt an application procedure
to determine eligibility for assistance, as provided by Section
61.053, Health and Safety Code [10.03, Indigent Health Care and
Treatment Act (Article 4438f, Vernon's Texas Civil Statutes)].
SECTION 6. Subsection (a), Section 5.12, Chapter 137, Acts
of the 70th Legislature, Regular Session, 1987, is amended to read
as follows:
(a) The board shall require reimbursement from a county,
city, or public hospital located outside the boundaries of the
district for the district's care and treatment of a sick, diseased,
or injured person of that county, city, or public hospital as
provided by Chapter 61, Health and Safety Code [the Indigent Health
Care and Treatment Act (Article 4438f, Vernon's Texas Civil
Statutes)].
Sec. 7. Subsection (c), Section 7.03, Chapter 137, Acts of
the 70th Legislature, Regular Session, 1987, is amended to read as
follows:
(c) Notice of a bond election shall be given as provided by
Chapter 1251, Government Code [Article 704, Revised Statutes].
Sec. 8. Subsection (c), Section 7.04, Chapter 137, Acts of
the 70th Legislature, Regular Session, 1987, is amended to read as
follows:
(c) The bonds must be issued in the manner provided by
Sections 264.042, 264.043, and 264.046-264.049, Health and Safety
Code [8, 10, 11, 12, and 13, County Hospital Authority Act (Article
4494r, Vernon's Texas Civil Statutes)], for issuance of revenue
bonds by county hospital authorities.
SECTION 9. Section 7.05, Chapter 137, Acts of the 70th
Legislature, Regular Session, 1987, is amended to read as follows:
Sec. 7.05. REFUNDING BONDS. (a) Refunding bonds of the
district may be issued to refund and pay off an outstanding
indebtedness the district has issued or assumed.
(b) The bonds must be issued in the manner provided by
Chapter 1207, Government Code [Chapter 784, Acts of the 61st
Legislature, Regular Session, 1969 (Article 717k-3, Vernon's Texas
Civil Statutes)].
[(c) The refunding bonds may be sold and the proceeds
applied to the payment of outstanding indebtedness or may be
exchanged in whole or in part for not less than a similar principal
amount of outstanding indebtedness. If the refunding bonds are to
be sold and the proceeds applied to the payment of outstanding
indebtedness, the refunding bonds must be issued and payments made
in the manner provided by Chapter 503, Acts of the 54th Legislature,
Regular Session, 1955 (Article 717k, Vernon's Texas Civil
Statutes).]
SECTION 10. Section 7.06, Chapter 137, Acts of the 70th
Legislature, Regular Session, 1987, is amended to read as follows:
Sec. 7.06. INTEREST AND MATURITY. District bonds must
mature not later than 50 years after the date of their issuance and
must bear interest at a rate not to exceed that provided by Chapter
1204, Government Code [Chapter 3, Acts of the 61st Legislature,
Regular Session, 1969 (Article 717k-2, Vernon's Texas Civil
Statutes)].
SECTION 11. Section 7.07, Chapter 137, Acts of the 70th
Legislature, Regular Session, 1987, is amended to read as follows:
Sec. 7.07. EXECUTION OF BONDS. The president of the board
shall execute the bonds in the name of the district, and the
secretary of the board shall countersign the bonds in the manner
provided by Chapter 618, Government Code [the Texas Uniform
Facsimile Signature of Public Officials Act (Article 717j-1,
Vernon's Texas Civil Statutes)].
SECTION 12. Chapter 137, Acts of the 70th Legislature,
Regular Session, 1987, is amended by adding Article 10 to read as
follows:
ARTICLE 10. ELECTION TO RAISE MAXIMUM TAX RATE
Sec. 10.01. ORDERING ELECTION. (a) The board may order an
election to raise the maximum tax rate of the district, not to
exceed 75 cents on each $100 of valuation on all taxable property in
the district.
(b) On presentation of a petition for an election to raise
the maximum tax rate of the district signed by at least 100
registered voters of the district, according to the most recent
official list of registered voters, the board shall order an
election to be held. The petition must state the maximum tax rate
to be voted on at the election, which may not exceed 75 cents on each
$100 of valuation on all taxable property in the district. The
board by order shall set a time and place to hold a hearing on the
petition to increase the maximum tax rate of the district. The
board shall set a date for the hearing that is after the 10th day
after the date the board issues the order. If, after the hearing,
the board finds that the petition is in proper form and that an
increase of the maximum tax rate would benefit the district, the
board shall order an election to authorize the increase of the
maximum tax rate of the district to the tax rate stated in the
petition.
Sec. 10.02. ELECTION ORDER. The order calling the election
must state:
(1) the nature of the election, including the
proposition that is to appear on the ballot, including the maximum
tax rate to be voted on at the election, which may not exceed 75
cents on each $100 of valuation on all taxable property in the
district;
(2) the date of the election;
(3) the hours during which the polls will be open; and
(4) the location of the polling places.
Sec. 10.03. NOTICE. The board shall give notice of the
election by publishing a substantial copy of the election order in a
newspaper with general circulation in the district once a week for
two consecutive weeks. The first publication must appear not later
than the 35th day before the date set for the election.
Sec. 10.04. ELECTION DATE. The election shall be held not
earlier than the 45th day and not later than the 60th day after the
date on which the election is ordered. Section 41.001(a), Election
Code, does not apply to an election ordered under this article.
Sec. 10.05. BALLOT PROPOSITION. The ballot for the
election shall be printed to permit voting for or against the
proposition: "The increase by the Ballinger Hospital District of
the rate of levy of annual taxes for hospital purposes to a rate of
levy not to exceed ________ (insert the amount determined by the
Board or stated in the petition, not to exceed 75 cents) cents on
each $100 of valuation on all taxable property in the district."
SECTION 13. Chapter 137, Acts of the 70th Legislature,
Regular Session, 1987, is amended by adding Article 11 to read as
follows:
ARTICLE 11. DISSOLUTION OF DISTRICT
Sec. 11.01. DISSOLUTION ELECTION. (a) The district may be
dissolved only if the dissolution is approved by a majority of the
registered voters of the district voting in an election called and
held for that purpose.
(b) The board may order an election on the question of
dissolving the district and disposing of the district's assets and
obligations.
(c) The board shall order an election if the board receives
a petition requesting an election that is signed by a number of
registered voters of the district equal to at least 15 percent of
the registered voters in the district.
Sec. 11.02. ELECTION DATE. The election shall be held not
later than the 60th day after the date the election is ordered.
Section 41.001, Election Code, does not apply to an election
ordered under this article.
Sec. 11.03. ELECTION ORDER. The order calling the election
shall state:
(1) the nature of the election, including the
proposition that is to appear on the ballot;
(2) the date of the election;
(3) the hours during which the polls will be open; and
(4) the location of the polling places.
Sec. 11.04. NOTICE OF ELECTION. The board shall give notice
of the election by publishing a substantial copy of the election
order in a newspaper with general circulation in the district once a
week for two consecutive weeks. The first publication must appear
not later than the 35th day before the date set for the election.
Sec. 11.05. BALLOT. The ballot for the election shall be
printed to permit voting for or against the proposition: "The
dissolution of the Ballinger Hospital District."
Sec. 11.06. RESULTS OF ELECTION. If a majority of the votes
in the election favor dissolution, the board shall order that the
district be dissolved. If a majority of the votes in the election
do not favor dissolution, the board shall continue to administer
the district, and another election on the question of dissolution
may not be held before the first anniversary of the most recent
election to dissolve the district.
Sec. 11.07. TRANSFER OF ASSETS AFTER DISSOLUTION. (a) If
a majority of the votes in the election favor dissolution, the board
shall:
(1) transfer the land, buildings, improvements,
equipment, and other assets belonging to the district to a county or
another governmental entity in the county in which the district is
located; or
(2) administer the property, assets, and debts of the
district until all funds have been disposed of and all district
debts have been paid or settled.
(b) If the district transfers the land, buildings,
improvements, equipment, and other assets to a county or other
governmental entity, the county or entity assumes all debts and
obligations of the district at the time of the transfer, at which
time the district is dissolved.
Sec. 11.08. ADMINISTRATION OF PROPERTY, DEBTS, AND ASSETS
AFTER DISSOLUTION. (a) If the district does not transfer the
land, buildings, improvements, equipment, and other assets to a
county or other governmental entity, the board shall administer the
property, assets, and debts of the district until all funds have
been disposed of and all district debts have been paid or settled,
at which time the district is dissolved.
(b) After the board finds that the district is dissolved,
the board shall:
(1) determine the debt owed by the district; and
(2) impose on the property included in the district's
tax rolls a tax that is in proportion of the debt to the property
value.
Sec. 11.09. RETURN OF SURPLUS TAX MONEY. (a) When all
outstanding debts and obligations of the district are paid, the
board shall order the secretary to return to each district taxpayer
the taxpayer's pro rata share of all unused tax money.
(b) A taxpayer may request that the taxpayer's share of
surplus tax money be credited to the taxpayer's county taxes. If a
taxpayer requests the credit, the board shall direct the secretary
to transmit the funds to the county tax assessor-collector.
Sec. 11.10. REPORT; DISSOLUTION ORDER. (a) After the
district has paid all its debts and has disposed of all its assets
and funds as prescribed by this article, the board shall file a
written report with the Commissioners Court of Runnels County
setting forth a summary of the board's actions in dissolving the
district.
(b) Not later than the 10th day after the date it receives
the report and determines that the requirements of this article
have been fulfilled, the Commissioners Court of Runnels County
shall enter an order dissolving the district and releasing the
board from any further duty or obligation.
SECTION 14. This Act takes effect immediately if it
receives a vote of two-thirds of all the members elected to each
house, as provided by Section 39, Article III, Texas Constitution.
If this Act does not receive the vote necessary for immediate
effect, this Act takes effect September 1, 2003.