IC 16-23-5
Chapter 5. Aid to Nonprofit and Benevolent Hospitals
IC 16-23-5-1 Application of chapter
Sec. 1. This chapter applies to a nonprofit hospital corporation
that meets the following conditions:
(1) Is established in or within one (1) mile of a city.
(2) Is located within a county without a city or other public
hospital.
(3) Has insufficient revenues derived from the care of persons
able to pay for services and from all other sources to support
and maintain the hospital and enable the hospital to supply the
demand for hospital care and nursing in the city and
community. As added by P.L.2-1993, SEC.6.
IC 16-23-5-2 Governing board; members
Sec. 2. A nonprofit hospital corporation described in section 1 of
this chapter must have articles of incorporation, a constitution, or
bylaws that provide that:
(1) the corporation's incorporators are the corporation's first
board of trustees and the board:
(A) is the corporation's sole governing board; and
(B) elects the board's successors at stated periods from
reputable citizens of the city and vicinity, who:
(i) may include one (1) licensed physician; and
(ii) must be persons interested in the benevolent work of
the hospital, chosen without reference to political or
sectarian influence, and who receive no compensation for
their services; or
(2) the corporation's general corporate powers will be exercised
by a governing board, whose members:
(A) may include one (1) licensed physician;
(B) must be residents of the city in which the hospital is
located; and
(C) must be elected by a board of electors consisting of
representatives from each organized church, religious
association, fraternal, charitable, military, patriotic, civic
organization, and labor union in the city. As added by P.L.2-1993, SEC.6.
IC 16-23-5-3 Conflicts of interest
Sec. 3. An individual is not prohibited from serving as a member
of the governing board if the member:
(1) has a pecuniary interest in; or
(2) derives a profit from;
a contract or purchase connected with the hospital. However, the
member shall disclose the interest or profit in writing to the board
and provide a copy to the state board of accounts. The member shall
abstain from voting on any matter that affects the interest or profit. As added by P.L.2-1993, SEC.6.
IC 16-23-5-4 Governing board vacancies; candidates
Sec. 4. Whenever a vacancy occurs on the governing board, the
existing governing board shall submit a list of three (3) candidates
for each vacancy to be filled to the appointing authority. Each
candidate submitted by the governing board must meet the
requirements concerning governing board members. As added by P.L.2-1993, SEC.6.
IC 16-23-5-5 Governing board vacancies; appointments
Sec. 5. (a) For each vacancy, the appointing authority may do one
(1) of the following:
(1) Appoint one (1) of the three (3) candidates submitted by the
governing board.
(2) Request and receive from the governing board a second list
of three (3) candidates.
(3) Appoint an individual who meets the requirements
concerning board members and who was not named in the
initial list submitted by the governing board.
(b) If the appointing authority requests and receives a second list
of three (3) candidates under subsection (a)(2), the appointing
authority may do one (1) of the following:
(1) Appoint one (1) of the three (3) candidates named in the
second list.
(2) Appoint an individual who meets the requirements
concerning board members and who was not named in the
second list of three (3) candidates submitted by the governing
board.
(c) The appointment for a vacancy shall be made within sixty (60)
days of the submission of the initial list of candidates under section
4 of this chapter. As added by P.L.2-1993, SEC.6.
IC 16-23-5-6 Hospital support and maintenance
Sec. 6. A city may provide for the support and maintenance of a
hospital subject to this chapter as follows:
(1) Appropriate money to the hospital.
(2) Levy and collect a special tax not exceeding two and
thirty-three hundredths cents ($0.0233) on each one hundred
dollars ($100) valuation of the taxable property of the city.
(3) Give other aid and support to the hospital that the city
council considers proper. As added by P.L.2-1993, SEC.6. Amended by P.L.6-1997, SEC.173. IC 16-23-5-7 Contracts with townships
Sec. 7. The trustees of the townships of the county, with the
consent of the township boards, may contract with the managers of
the hospital for the nursing and care of the poor of the townships
who are sick, injured, or disabled, upon terms that the township
officers determine to be just and proper. As added by P.L.2-1993, SEC.6.
IC 16-23-5
Chapter 5. Aid to Nonprofit and Benevolent Hospitals
IC 16-23-5-1 Application of chapter
Sec. 1. This chapter applies to a nonprofit hospital corporation
that meets the following conditions:
(1) Is established in or within one (1) mile of a city.
(2) Is located within a county without a city or other public
hospital.
(3) Has insufficient revenues derived from the care of persons
able to pay for services and from all other sources to support
and maintain the hospital and enable the hospital to supply the
demand for hospital care and nursing in the city and
community. As added by P.L.2-1993, SEC.6.
IC 16-23-5-2 Governing board; members
Sec. 2. A nonprofit hospital corporation described in section 1 of
this chapter must have articles of incorporation, a constitution, or
bylaws that provide that:
(1) the corporation's incorporators are the corporation's first
board of trustees and the board:
(A) is the corporation's sole governing board; and
(B) elects the board's successors at stated periods from
reputable citizens of the city and vicinity, who:
(i) may include one (1) licensed physician; and
(ii) must be persons interested in the benevolent work of
the hospital, chosen without reference to political or
sectarian influence, and who receive no compensation for
their services; or
(2) the corporation's general corporate powers will be exercised
by a governing board, whose members:
(A) may include one (1) licensed physician;
(B) must be residents of the city in which the hospital is
located; and
(C) must be elected by a board of electors consisting of
representatives from each organized church, religious
association, fraternal, charitable, military, patriotic, civic
organization, and labor union in the city. As added by P.L.2-1993, SEC.6.
IC 16-23-5-3 Conflicts of interest
Sec. 3. An individual is not prohibited from serving as a member
of the governing board if the member:
(1) has a pecuniary interest in; or
(2) derives a profit from;
a contract or purchase connected with the hospital. However, the
member shall disclose the interest or profit in writing to the board
and provide a copy to the state board of accounts. The member shall
abstain from voting on any matter that affects the interest or profit. As added by P.L.2-1993, SEC.6.
IC 16-23-5-4 Governing board vacancies; candidates
Sec. 4. Whenever a vacancy occurs on the governing board, the
existing governing board shall submit a list of three (3) candidates
for each vacancy to be filled to the appointing authority. Each
candidate submitted by the governing board must meet the
requirements concerning governing board members. As added by P.L.2-1993, SEC.6.
IC 16-23-5-5 Governing board vacancies; appointments
Sec. 5. (a) For each vacancy, the appointing authority may do one
(1) of the following:
(1) Appoint one (1) of the three (3) candidates submitted by the
governing board.
(2) Request and receive from the governing board a second list
of three (3) candidates.
(3) Appoint an individual who meets the requirements
concerning board members and who was not named in the
initial list submitted by the governing board.
(b) If the appointing authority requests and receives a second list
of three (3) candidates under subsection (a)(2), the appointing
authority may do one (1) of the following:
(1) Appoint one (1) of the three (3) candidates named in the
second list.
(2) Appoint an individual who meets the requirements
concerning board members and who was not named in the
second list of three (3) candidates submitted by the governing
board.
(c) The appointment for a vacancy shall be made within sixty (60)
days of the submission of the initial list of candidates under section
4 of this chapter. As added by P.L.2-1993, SEC.6.
IC 16-23-5-6 Hospital support and maintenance
Sec. 6. A city may provide for the support and maintenance of a
hospital subject to this chapter as follows:
(1) Appropriate money to the hospital.
(2) Levy and collect a special tax not exceeding two and
thirty-three hundredths cents ($0.0233) on each one hundred
dollars ($100) valuation of the taxable property of the city.
(3) Give other aid and support to the hospital that the city
council considers proper. As added by P.L.2-1993, SEC.6. Amended by P.L.6-1997, SEC.173. IC 16-23-5-7 Contracts with townships
Sec. 7. The trustees of the townships of the county, with the
consent of the township boards, may contract with the managers of
the hospital for the nursing and care of the poor of the townships
who are sick, injured, or disabled, upon terms that the township
officers determine to be just and proper. As added by P.L.2-1993, SEC.6.
IC 16-23-5
Chapter 5. Aid to Nonprofit and Benevolent Hospitals
IC 16-23-5-1 Application of chapter
Sec. 1. This chapter applies to a nonprofit hospital corporation
that meets the following conditions:
(1) Is established in or within one (1) mile of a city.
(2) Is located within a county without a city or other public
hospital.
(3) Has insufficient revenues derived from the care of persons
able to pay for services and from all other sources to support
and maintain the hospital and enable the hospital to supply the
demand for hospital care and nursing in the city and
community. As added by P.L.2-1993, SEC.6.
IC 16-23-5-2 Governing board; members
Sec. 2. A nonprofit hospital corporation described in section 1 of
this chapter must have articles of incorporation, a constitution, or
bylaws that provide that:
(1) the corporation's incorporators are the corporation's first
board of trustees and the board:
(A) is the corporation's sole governing board; and
(B) elects the board's successors at stated periods from
reputable citizens of the city and vicinity, who:
(i) may include one (1) licensed physician; and
(ii) must be persons interested in the benevolent work of
the hospital, chosen without reference to political or
sectarian influence, and who receive no compensation for
their services; or
(2) the corporation's general corporate powers will be exercised
by a governing board, whose members:
(A) may include one (1) licensed physician;
(B) must be residents of the city in which the hospital is
located; and
(C) must be elected by a board of electors consisting of
representatives from each organized church, religious
association, fraternal, charitable, military, patriotic, civic
organization, and labor union in the city. As added by P.L.2-1993, SEC.6.
IC 16-23-5-3 Conflicts of interest
Sec. 3. An individual is not prohibited from serving as a member
of the governing board if the member:
(1) has a pecuniary interest in; or
(2) derives a profit from;
a contract or purchase connected with the hospital. However, the
member shall disclose the interest or profit in writing to the board
and provide a copy to the state board of accounts. The member shall
abstain from voting on any matter that affects the interest or profit. As added by P.L.2-1993, SEC.6.
IC 16-23-5-4 Governing board vacancies; candidates
Sec. 4. Whenever a vacancy occurs on the governing board, the
existing governing board shall submit a list of three (3) candidates
for each vacancy to be filled to the appointing authority. Each
candidate submitted by the governing board must meet the
requirements concerning governing board members. As added by P.L.2-1993, SEC.6.
IC 16-23-5-5 Governing board vacancies; appointments
Sec. 5. (a) For each vacancy, the appointing authority may do one
(1) of the following:
(1) Appoint one (1) of the three (3) candidates submitted by the
governing board.
(2) Request and receive from the governing board a second list
of three (3) candidates.
(3) Appoint an individual who meets the requirements
concerning board members and who was not named in the
initial list submitted by the governing board.
(b) If the appointing authority requests and receives a second list
of three (3) candidates under subsection (a)(2), the appointing
authority may do one (1) of the following:
(1) Appoint one (1) of the three (3) candidates named in the
second list.
(2) Appoint an individual who meets the requirements
concerning board members and who was not named in the
second list of three (3) candidates submitted by the governing
board.
(c) The appointment for a vacancy shall be made within sixty (60)
days of the submission of the initial list of candidates under section
4 of this chapter. As added by P.L.2-1993, SEC.6.
IC 16-23-5-6 Hospital support and maintenance
Sec. 6. A city may provide for the support and maintenance of a
hospital subject to this chapter as follows:
(1) Appropriate money to the hospital.
(2) Levy and collect a special tax not exceeding two and
thirty-three hundredths cents ($0.0233) on each one hundred
dollars ($100) valuation of the taxable property of the city.
(3) Give other aid and support to the hospital that the city
council considers proper. As added by P.L.2-1993, SEC.6. Amended by P.L.6-1997, SEC.173. IC 16-23-5-7 Contracts with townships
Sec. 7. The trustees of the townships of the county, with the
consent of the township boards, may contract with the managers of
the hospital for the nursing and care of the poor of the townships
who are sick, injured, or disabled, upon terms that the township
officers determine to be just and proper. As added by P.L.2-1993, SEC.6.
