BILL ANALYSIS
By: Hill
BACKGROUND AND PURPOSE
Municipal and county hospital authorities are authorized by law to construct and operate hospitals for the benefit of the public. The purpose of this bill is to allow for the formation and sponsorship of non-profit corporations by municipal and county hospital authorities.
RULEMAKING AUTHORITY
It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.
ANALYSIS
The bill would add provisions to Chapter 262 and Chapter 264 of the Health and Safety Code to provide for the formation by a municipal or county hospital authority of a non-profit corporation to own and operate all or part of one or more ancillary health care facilities. Such a non-profit corporation would have the power of a development corporation under the Health and Safety Code to finance, acquire, operate or lease its facilities. The corporation would also be permitted to contract and enter into joint ventures with public and private entities.
EFFECTIVE DATE
Immediately on receipt of required vote; otherwise September 1, 2007.