Honorable Garnet Coleman, Chair, House Committee on County Affairs
FROM:
Ursula Parks, Director, Legislative Budget Board
IN RE:
HB2557 by Zerwas (Relating to the status of a charitable organization formed by a hospital district.), As Introduced
No fiscal implication to the State is anticipated.
The bill would amend the Health and Safety Code to permit certain hospital districts to create a charitable organization to contract, collaborate or enter into a joint venture with a public or private entity without regard to the entity's status. The bill would permit a district to create a charitable organization to organize, operate, manage, or administer certain companies.
Local Government Impact
There could be costs to a local governmental entity that chose to establish a charitable organization. However, it is assumed that a hospital district would establish an organization only if sufficient funds were available or it would not result in a negative fiscal impact; therefore, no significant fiscal impact is anticipated.