BILL ANALYSIS

Senate Research Center                                                                                                      S.B. 1510

79R9304 DAK-F                                                                                                              By: Averitt

State Affairs

4/1/2005

As Filed

AUTHOR'S/SPONSOR'S STATEMENT OF INTENT

Currently, nonprofit management contractors of a hospital owned by a hospital district or a municipality are treated as a governmental unit under the Texas Tort Claims Act.  The same protections were not extended to the nonprofit manager of a hospital owned by a county hospital authority or a municipal hospital authority. 

As proposed, S.B. 1510 extends certain liability protections to the nonprofit management contractor of a hospital owned by a county hospital authority or a municipal hospital authority.

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Chapter 262, Health and Safety Code, by adding Subchapter E, as follows:

SECTION E.  LIABILITY OF NONPROFIT MANAGEMENT CONTRACTOR

            Sec. 262.061. DEFINITION. Defines "municipal hospital authority management   contractor."

Sec. 262.062. LIABILITY OF MUNICIPAL HOSPITAL AUTHORITY MANAGEMENT CONTRACTOR. Provides that a municipal hospital authority management contractor in its management or operation of a hospital under a contract with a municipal hospital authority is considered a governmental unit, and any employee of the contractor is, while performing services under the contract for the benefit of the hospital, an employee of the municipal hospital authority for purposes of Chapters 101, 102, and 108, Civil Practice and Remedies Code.

SECTION 2.  Amends Chapter 264, Health and Safety Code, by adding Subchapter E, as follows:

SECTION E.  LIABILITY OF NONPROFIT MANAGEMENT CONTRACTOR

            Sec. 264.061.  DEFINITION.  Defines "county hospital authority management      contractor."

                        Sec.264.062. LIABILITY OF COUNTY HOSPITAL AUTHORITY        MANAGEMENT CONTRACTOR.  Provides that a county hospital authority             management contractor in its management or operation of a hospital under a contract        with a county hospital authority is considered a governmental unit, and any employee            of the contractor is, while performing services under the contract for the benefit of the             hospital, an employee of the county hospital authority for purposes of Chapters 101, 102, and 108, Civil Practice and Remedies Code.

SECTION 3.  Makes application of this Act prospective.

SECTION 4.  Effective date: September 1, 2005.