HBA-MSH H.B. 1788 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 1788
By: Gallego
County Affairs
3/5/2001
Introduced



BACKGROUND AND PURPOSE 

Under current law, the ability of the board of directors (board) of the Val
Verde County Hospital District to dispose of or acquire property is
limited.  House Bill 1788 broadens the powers of the board regarding the
sale, lease, donation, and acquisition of property. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

ANALYSIS

House Bill 1788 amends law to authorize the board of directors (board) of
the Val Verde County Hospital District (district) to sell or otherwise
dispose of property, facilities, or equipment on behalf of the district at
a public sale and at a price and on the terms determined by the board to be
the most advantageous to the district.  The bill authorizes the board to
lease all or part of property, facilities, or equipment on behalf of the
district.  The bill authorizes the board to donate to another governmental
entity or to a charitable organization any surplus personal property or
equipment if the donation serves a public purpose and is accompanied by
adequate consideration.  The bill authorizes the board to lease or acquire
property, facilities, and equipment for the use of the district and to
mortgage or pledge the property, facilities, or equipment as a security for
the payment of the purchase price.  The bill removes the provision that
requires any mortgage or pledge to acquire equipment to be retired within
five years.  The bill deletes the provision that prohibits the sale or
disposition of real property needed for the operation of the hospital
system.   

EFFECTIVE DATE

On passage, or if the Act does not receive the necessary vote, the Act
takes effect September 1, 2001.