CHAPTER 6. LEASE OF HOSPITAL PROPERTY BY CITIES TO NONPROFIT ASSOCIATIONS
IC 16-23-6
Chapter 6. Lease of Hospital Property by Cities to NonprofitAssociations
IC 16-23-6-1
Application of chapter
Sec. 1. This chapter applies to a city that:
(1) owns a hospital consisting of grounds, buildings, equipment,and furnishings; and
(2) is located within a county with a nonprofit hospitalcorporation, whose general corporate powers are exercised bya board of directors composed of residents of the county:
(A) one (1) of whom must be a member of or a persondesignated by the county executive;
(B) one (1) of whom may be a licensed physician; and
(C) all of whom are elected by the members of thecorporation, who must be representatives of each dulyorganized church, religious association, labor union,fraternal, charitable, military, and civic organization in thecounty.
As added by P.L.2-1993, SEC.6.
IC 16-23-6-2
Conflicts of interest
Sec. 2. An individual is not prohibited from serving as a memberof the board of directors 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 boardand provide a copy to the state board of accounts. The member shallabstain from voting on any matter that affects the interest or profit.
As added by P.L.2-1993, SEC.6.
IC 16-23-6-3
Authorization
Sec. 3. If the city fiscal body determines by resolution adopted ata regular meeting that:
(1) the city should not operate the hospital; and
(2) it would be in the interests of the city to provide adequatehospital care and nursing for the sick, injured, and disabled byleasing the hospital grounds, buildings, equipment, andfurnishings to the corporation;
the city fiscal body may, on behalf of the city, authorize theexecution of a lease with the corporation of the property to beoperated as a hospital for not more than fifty (50) years, upon termsand conditions agreed upon by the fiscal body and the corporation.
As added by P.L.2-1993, SEC.6.
IC 16-23-6-4 Qualified organizations
Sec. 4. A duly organized church, religious association, laborunion, fraternal, charitable, military, or civic organization referred toin section 1 of this chapter is an entity that has the following:
(1) Duly adopted bylaws.
(2) A regular place of meeting in the county.
(3) A majority of its members are at least twenty-one (21) yearsof age.
(4) A duly elected presiding officer and secretary.
(5) Had at least four (4) regular meetings in the county duringthe calendar year preceding the annual meeting of theorganization.
As added by P.L.2-1993, SEC.6.
IC 16-23-6-5
Lease provisions
Sec. 5. A lease authorized by section 3 of this chapter mustprovide that the corporation will do the following:
(1) Make all repairs to the property leased.
(2) Keep the property adequately insured.
(3) Maintain the property in as good condition as the propertyis in at the time of the execution of the lease, natural wear andtear excepted.
As added by P.L.2-1993, SEC.6.