IC 16-23-2
    Chapter 2. Hospital Boards of Governors in Third Class Cities

IC 16-23-2-1
Creation
    Sec. 1. The legislative body of a third class city may, byordinance, create a board of governors of each hospital of the city.
As added by P.L.2-1993, SEC.6.

IC 16-23-2-2
Members
    Sec. 2. A board of governors must consist of not less than five (5)and not more than nine (9) members who shall be appointed by themayor with the advice and consent of the legislative body. One (1)member of the board may be a licensed physician. The executive ofthe city is an ex officio member of the board of governors.
As added by P.L.2-1993, SEC.6.

IC 16-23-2-3
Terms
    Sec. 3. (a) The initial terms of a board of governors are as follows:
        (1) One-third (1/3) of the members, as near as may be, shall beappointed for terms of one (1) year.
        (2) One-third (1/3) of the members, shall be appointed for termsof two (2) years.
        (3) One-third (1/3) of the members, shall be appointed for termsof three (3) years.
    (b) All subsequent terms are for three (3) years.
As added by P.L.2-1993, SEC.6.

IC 16-23-2-4
Vacancies
    Sec. 4. All vacancies in the membership of the board of governorsshall be filled for the unexpired term by appointment as provided insection 2 of this chapter.
As added by P.L.2-1993, SEC.6.

IC 16-23-2-5
Compensation
    Sec. 5. The members of the board of governors serve withoutcompensation.
As added by P.L.2-1993, SEC.6.

IC 16-23-2-6
Oath
    Sec. 6. Each member of the board of governors qualifies by takingan oath of office within ten (10) days after the member'sappointment. The oath shall be filed in the office of theclerk-treasurer of the city.
As added by P.L.2-1993, SEC.6.
IC 16-23-2-7
Conflicts of interest
    Sec. 7. An individual is not prohibited from serving as a memberof the board of governors if the member:
        (1) has a pecuniary interest in; or
        (2) derives a profit from;
a contract or purchase connected with the hospital. However, themember shall disclose the interest or profit in writing to the board ofgovernors and provide a copy to the state board of accounts. Themember shall abstain from voting on any matter that affects theinterest or profit.
As added by P.L.2-1993, SEC.6.

IC 16-23-2-8
Control of hospitals
    Sec. 8. The board of governors has exclusive control of eachhospital of the city. On the effective date of an ordinance and theappointment of the board under the ordinance, the jurisdiction of thedepartment of health over the hospitals ceases.
As added by P.L.2-1993, SEC.6.

IC 16-23-2-9
Hospital funds; duties of clerk-treasurer; deposits and payments
    Sec. 9. The clerk-treasurer of a city having a board of governorsis the custodian of and responsible for the clerk-treasurer's officialbond for each hospital's funds, except as provided in section 11 ofthis chapter. The funds shall be paid over to the clerk-treasurer atleast one (1) time each week, deposited in public depositories, andpaid out on warrants drawn on the clerk-treasurer signed by thepresident and secretary of the board.
As added by P.L.2-1993, SEC.6.

IC 16-23-2-10
Budget and appropriations; reports
    Sec. 10. (a) The governing board and the board's officers may notcontract any obligation or pay out any money in excess of an annualbudget and appropriations made for those purposes by the fiscal bodyof the city, as provided by statute.
    (b) The board shall, before the time for the fixing of the citybudget, annually present to the city fiscal body a detailed report ofthe receipts and expenditures of each hospital for the current yearand a detailed estimate of the money needed for the next fiscal year.This must be done in the manner prescribed by statute or in themanner prescribed by the city fiscal body if a manner is notprescribed by statute.
    (c) This section does not apply to funds from donations andbequests, which shall be administered in accordance with section 11of this chapter.
As added by P.L.2-1993, SEC.6.
IC 16-23-2-11
Donations and bequests
    Sec. 11. (a) The governing board may, under the name fixed bythe ordinance and consistent with the terms of any donations andbequests, do the following:
        (1) Accept, hold, and administer donations and bequests for thehospital or hospitals.
        (2) Invest the money in securities that the board considersproper.
        (3) Use the money and assets for hospital purposes.
        (4) Convey assets and pay out money without an appropriation,but only after the action is authorized by a majority vote of themembers of the board.
    (b) If the board desires to accept the donations or bequests, theboard shall elect a treasurer from among the board who is custodianof the money and of the income from the money. The treasurer shallgive bond in an amount fixed by and with surety to the approval ofthe board. The bond must be payable to the board, and suit may bebrought on the bond by the board in the board's name.
    (c) The board may not accept a donation or bequest that createsan obligation to the city unless the donation or bequest is firstaccepted and approved by the city fiscal body.
As added by P.L.2-1993, SEC.6.