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By:  Hilderbran (Senate Sponsor - Duncan)                         H.B. No. 2587
	(In the Senate - Received from the House April 25, 2005; 
April 26, 2005, read first time and referred to Committee on 
Intergovernmental Relations; May 17, 2005, reported adversely, 
with favorable Committee Substitute by the following vote:  Yeas 4, 
Nays 0; May 17, 2005, sent to printer.)


COMMITTEE SUBSTITUTE FOR H.B. No. 2587                                   By:  Wentworth

A BILL TO BE ENTITLED
AN ACT
relating to the Schleicher County Hospital District. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 1, Chapter 38, Acts of the 60th Legislature, Regular Session, 1967, is amended to read as follows: Sec. 1. In accordance with the provisions of Section 9, Article IX, Constitution of the State of Texas, this Act shall be operative so as to authorize the creation, establishment, maintenance and operation of a hospital district within the State of Texas, such district to have boundaries coextensive with the boundaries of Schleicher County; and said district shall have the powers and responsibilities provided by the aforesaid constitutional provision. On approval of the board of directors, the district may provide primary care, emergency services, preventive medical services, and other health-related services outside the boundaries of the district if the services provided serve the purpose of the district. SECTION 2. Section 3, Chapter 38, Acts of the 60th Legislature, Regular Session, 1967, is amended to read as follows: Sec. 3. (a) Except as provided by Section 3A of this Act, the board of directors consists of seven directors elected from the district at large who serve staggered two-year terms. A director shall continue to serve until a [Within 10 days after such election is held, the Commissioners Court of Schleicher County shall convene and canvass the returns of the election, and if a majority of the persons voting at the election vote against the creation of the district, this does not prevent the holding of other elections for the same purpose, and if a majority of the legally qualified property taxpaying electors voting at said election voted in favor of the proposition, the court shall so find and declare the hospital district established and created and appoint seven persons as directors of the hospital district to serve until the first Saturday in April 1968, at which time seven directors shall be elected. The four directors receiving the highest vote at such first election shall serve for two years, the other three directors shall serve for one year. Thereafter, all directors shall serve for a period of two years and until their] successor has been duly elected or appointed and qualified. No person shall be appointed or elected as a member of the board of directors of said hospital district unless he is a resident thereof [and owns property subject to taxation therein] and unless at the time of such election or appointment he shall be more than 21 years of age. Each member of the board of directors shall qualify by executing the constitutional oath of office and shall execute a good and sufficient bond for $1,000 payable to said district conditioned upon the faithful performance of his duties, and such oaths and bonds shall be deposited with the depository bank of the district for safekeeping. (b) The board of directors shall organize by electing one of their number as president and one of their number as secretary. A majority [Any four members] of the board of directors shall constitute a quorum and a concurrence of a majority [four] shall be sufficient in all matters pertaining to the business of the district. A meeting of the board of directors may be called by the president or a majority of the [any four] directors. Notice of the time and place of any meeting must be given to all the directors not less than seven days prior to the time of the meeting. Nothing herein shall prevent the board of directors from establishing by resolution a regular time and place for meetings, for which no special notice need be given. All vacancies in the office of director shall be filled for the unexpired term by appointment of the remainder of the board of directors. In the event the number of directors shall be reduced to less than four for any reason, the remaining directors shall immediately call a special election to fill said vacancies, and upon failure to do so a district court may, upon application of any voter or taxpayer of the district, issue a mandate requiring that such election be ordered by the remaining directors. (c) A regular election of directors shall be held on a date authorized by Chapter 41, Election Code, [on the first Saturday in April of each year] and notice of such election shall be published in a newspaper of general circulation in the county one time at least 10 days prior to the date of the election. Any person desiring his name to be printed on the ballot as a candidate for director shall file a petition, signed by not less than 10 legally qualified voters asking that such name be printed on the ballot, with the secretary of the board of directors of the district. The petition and an application for a place on the ballot that meets the requirements of the Election Code must be filed in the manner provided by Chapter 144, Election Code. [Such petition shall be filed with such secretary at least 25 days prior to the date of election.] SECTION 3. Chapter 38, Acts of the 60th Legislature, Regular Session, 1967, is amended by adding Section 3A to read as follows: Sec. 3A. (a) The board of directors may adopt an order providing for the election of directors from five districts according to the commissioners precinct method. (b) If the board adopts an order under Subsection (a) of this section, one director shall be elected by the voters of the entire district at large, and one director shall be elected from each county commissioners precinct by the voters of that precinct. (c) Except as provided by Subsection (e) of this section, to be eligible to be a candidate for or to serve as director at large, a person must be a resident of the district. To be a candidate for or to serve as director from a county commissioners precinct, a person must be a resident of that precinct. (d) A person shall indicate on the application for a place on the ballot: (1) the precinct that the person seeks to represent; or (2) that the person seeks to represent the district at large. (e) When the boundaries of the county commissioners precincts are redrawn after each federal decennial census to reflect population changes, a director in office on the effective date of the change, or a director elected or appointed before the effective date of the change whose term of office begins on or after the effective date of the change, shall serve in the precinct to which elected or appointed even though the change in boundaries places the person's residence outside the precinct for which the person was elected or appointed. (f) At the first election for directors that occurs following the adoption of an order under Subsection (a) of this section, all five positions on the board shall be filled. After the canvass of the returns of the election, the terms of all members serving on the board at the time of the election expire. At the first meeting of the directors elected to the board under this section, the directors shall draw lots to determine which three shall serve terms lasting two years and which two shall serve terms lasting one year. After the terms of directors initially elected to the board under this section expire, each director serves a term of two years. SECTION 4. Section 5(a), Chapter 38, Acts of the 60th Legislature, Regular Session, 1967, is amended to read as follows: (a) Upon the creation of such hospital district, the board of directors shall have the power and authority and it shall be their duty to levy on all property subject to hospital district taxation for the benefit of the district at the same time taxes are levied for county purposes, using the county values and the county tax rolls, a tax of not to exceed 75 cents on the $100 valuation of all taxable property within the hospital district, for the purpose of: (1) paying the interest on and creating a sinking fund for bonds which may be issued by the hospital district for hospital purposes as herein provided; (2) providing for the operation and maintenance of the hospital, [or] hospital system, or related facilities; and (3) for the purpose of making further improvements and additions to the hospital system, and for the acquisition of necessary sites therefor, by purchase, lease, or condemnation. SECTION 5. 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, 2005.
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