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A BILL TO BE ENTITLED
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AN ACT
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relating to certain hospital districts and to certain corporations |
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or organizations formed by those districts. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 281.0518, Health and Safety Code, is |
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amended by adding Subsection (a-1) to read as follows: |
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(a-1) For purposes of Subsection (a)(3): |
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(1) a public or private entity may be a for-profit or a |
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nonprofit entity; and |
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(2) a nonprofit corporation formed by the district may |
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hold an ownership interest in a public or private entity described |
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by Subsection (a)(3). |
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SECTION 2. Section 281.0565, Health and Safety Code, is |
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amended by amending Subsections (c) and (d) and adding Subsections |
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(e) and (f) to read as follows: |
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(c) A charitable organization created by a district under |
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this section is a unit of local government only for purposes of |
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Chapter 101, Civil Practice and Remedies Code. |
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(d) A district [created in a county with a population of
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more than 800,000 that was not included in the boundaries of a
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hospital district before September 1, 2003,] may make a capital or |
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other financial contribution to a charitable organization created |
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by the district to provide regional administration and delivery of |
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health care services to or for the district. |
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(e) A charitable organization created by a district under |
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this section may contract, collaborate, or enter into a joint |
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venture or other agreement with a public or private entity, without |
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regard to that entity's for-profit or nonprofit status, and may |
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hold an ownership interest in such an entity. |
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(f) A charitable organization created by a district under |
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this section remains subject to the laws of this state and the |
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United States that govern charitable organizations. Nothing in |
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this section may be construed as abrogating or modifying any other |
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provision of law governing charitable organizations. |
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SECTION 3. Subchapter C, Chapter 281, Health and Safety |
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Code, is amended by adding Section 281.058 to read as follows: |
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Sec. 281.058. AUTHORITY TO FORM CAPTIVE INSURANCE OR |
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CAPTIVE MANAGEMENT COMPANY. (a) In this section, "captive |
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insurance company" and "captive management company" have the |
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meanings assigned to those terms by Section 964.001, Insurance |
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Code. |
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(b) A district, a combination of districts, or a nonprofit |
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corporation formed by a district or a combination of districts to |
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further the purposes of the district or districts, as appropriate, |
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may form a captive insurance company or a captive management |
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company in accordance with the provisions of Chapter 964, Insurance |
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Code, for the purpose of engaging in the business of insurance under |
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that chapter. |
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SECTION 4. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2015. |
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* * * * * |