82R5908 CJC-F
 
  By: Gonzalez H.B. No. 840
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the power and authority of the El Paso County Hospital
  District, and related entities, to employ physicians and dentists.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subchapter B, Chapter 281, Health and Safety
  Code, is amended by adding Section 281.0285 to read as follows:
         Sec. 281.0285.  EL PASO COUNTY HOSPITAL DISTRICT; EMPLOYMENT
  OF PHYSICIANS AND DENTISTS. (a) The board of the El Paso County
  Hospital District may employ physicians and dentists as the board
  considers necessary for the efficient operation of the district
  directly or through a nonprofit health organization certified by
  the Texas Medical Board and created by the El Paso County Hospital
  District.
         (b)  The term of an employment contract entered into under
  this section may not exceed four years.
         (c)  This section may not be construed as authorizing the
  board of the El Paso County Hospital District, or the board of
  directors of a nonprofit health organization created by the El Paso
  County Hospital District, to supervise or control the practice of
  medicine as prohibited by Subtitle B, Title 3, Occupations Code, or
  to supervise or control the practice of dentistry as prohibited by
  Subtitle D, Title 3, Occupations Code.
         SECTION 2.  Section 162.001, Occupations Code, is amended by
  adding Subsection (e) to read as follows:
         (e)  The board shall certify a health organization to
  contract with or employ physicians if the organization:
               (1)  is a nonprofit corporation formed under the Texas
  Nonprofit Corporation Law, as described by Section 1.008, Business
  Organizations Code;
               (2)  is exempt from federal taxation under Section
  501(a), Internal Revenue Code of 1986, as an organization described
  by Section 501(c)(3) of that code; and
               (3)  is created by a hospital district to which Section
  281.0285, Health and Safety Code, applies.
         SECTION 3.  Section 260.002, Occupations Code, is amended by
  adding Subsection (a-2) to read as follows:
         (a-2)  The board shall, on a form and under rules adopted by
  the board, approve and certify a health organization to contract
  with or employ dentists licensed by the board if the organization,
  in its application to the board, presents satisfactory proof to the
  board that the organization:
               (1)  is a nonprofit corporation formed under the Texas
  Nonprofit Corporation Law, as described by Section 1.008, Business
  Organizations Code;
               (2)  is exempt from federal taxation under Section
  501(a), Internal Revenue Code of 1986, as an organization described
  by Section 501(c)(3) of that code; and
               (3)  is created by a hospital district to which Section
  281.0285, Health and Safety Code, applies.
         SECTION 4.  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, 2011.