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Statutes > Texas > Special-district-local-laws-code > Title-3-health > Chapter-1001-city-of-amarillo-hospital-district

SPECIAL DISTRICT LOCAL LAWS CODE

TITLE 3. HEALTH

SUBTITLE A. HOSPITAL DISTRICTS

CHAPTER 1001. CITY OF AMARILLO HOSPITAL DISTRICT

SUBCHAPTER A. GENERAL PROVISIONS

Sec. 1001.001. DEFINITIONS. In this chapter:

(1) "Board" means the board of hospital managers of the

district.

(2) "District" means the City of Amarillo Hospital District.

(3) "Governing body" means the governing body of the City of

Amarillo.

(4) "Manager" means a member of the board.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.002. NATURE OF DISTRICT. (a) The district is:

(1) a public entity performing an essential public function; and

(2) a body politic and corporate.

(b) The functions of the district are governmental and public.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.003. DUTY TO NAME DISTRICT. The governing body shall

specify the name of the district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.004. DISTRICT TERRITORY. The boundaries of the

district are coextensive with the boundaries of the City of

Amarillo unless the district territory is expanded under:

(1) Subchapter D; or

(2) other law.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

SUBCHAPTER B. DISTRICT ADMINISTRATION

Sec. 1001.051. BOARD; TERM. (a) The board consists of not

fewer than five and not more than seven managers appointed by the

governing body.

(b) Managers serve two-year terms unless four-year elected terms

are established under Section 285.081, Health and Safety Code.

The terms may overlap.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.052. MANAGER REMOVAL. By majority vote, the governing

body may remove a manager with or without cause.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.053. OFFICERS. (a) The board shall select from among

the managers a presiding officer.

(b) The presiding officer shall preside over the board. A

presiding officer pro tem shall preside in the absence of the

presiding officer.

(c) The district administrator or any manager may be appointed

secretary.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.054. COMPENSATION. A manager serves without pay.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.055. RECORDS OF PROCEEDINGS. (a) The secretary shall

keep suitable records of all proceedings of each board meeting.

(b) After each meeting:

(1) the presiding officer or the presiding officer pro tem shall

read and sign the record; and

(2) the secretary shall attest the record.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.056. DISTRICT ADMINISTRATOR. (a) The board shall:

(1) appoint a person qualified by training and experience as

district administrator; and

(2) determine the administrator's compensation.

(b) The board may remove the district administrator at any time.

(c) Before assuming the duties of district administrator, the

administrator must execute a bond payable to the district in an

amount of not less than $10,000 that:

(1) is conditioned on the administrator performing well and

faithfully the administrator's required duties; and

(2) contains other conditions the board may require.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.057. GENERAL DUTIES OF DISTRICT ADMINISTRATOR.

Subject to the limitations prescribed by the board, the district

administrator shall:

(1) perform the duties required by the board;

(2) supervise the work and activities of the district; and

(3) direct the affairs of the district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.058. ASSISTANT ADMINISTRATOR. (a) The board may

designate an assistant administrator to discharge a duty or

function of the district administrator in the event of the

administrator's incapacity, absence, or inability to discharge

the duty or function.

(b) The assistant administrator shall post the bond required by

board order.

(c) The assistant administrator is subject to the limitations

prescribed by board order.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.059. LEGAL COUNSEL. (a) The attorneys who represent

the City of Amarillo in civil matters may represent the board in

all legal matters.

(b) The district shall contribute sufficient money to the City

of Amarillo's account designated for the attorneys of the city to

pay all additional salaries and expenses incurred by the

attorneys in performing the duties required by the district.

(c) The board may employ legal counsel selected by the board if

the board considers the employment advisable.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.060. EMPLOYEES. (a) The board may employ doctors,

nurses, technicians, and other employees considered advisable for

the efficient operation of the hospital or hospital system.

(b) The board may delegate to the district administrator the

authority to hire district employees.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.061. PHYSICIAN QUALIFICATION. The board may use

district money to ensure the initial and continued qualification

of physicians and other personnel.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.062. HEALTH CARE EDUCATIONAL PROGRAMS. (a) The board

may spend district money, enter into an agreement, or take other

necessary action to conduct, participate in, or assist in

providing health care educational programs for:

(1) the public; or

(2) current or potential medical staff members or district

employees.

(b) The board may contract with West Texas A&M University or

another educational institution for:

(1) the coordination of educational programs in recognized

health care professions, including pharmacy, nursing, and allied

health professions, to be conducted by each; and

(2) cooperative funding of the educational programs.

(c) The district may provide services, money, or equipment and

may make district facilities available to West Texas A&M

University or another educational institution for clinical

instruction, research, or degree programs.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.063. RETIREMENT PROGRAM. The board may establish or

continue a retirement program for the benefit of the district's

employees or contract with this state or the federal government

for that purpose.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.064. LIABILITY INSURANCE. The board may purchase

insurance to protect the managers from any liability that results

from service on the board.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.065. SEAL. The board may use a seal engraved with the

district's name to authenticate the acts of the board. The

secretary of the board shall keep the seal.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

SUBCHAPTER C. POWERS AND DUTIES

Sec. 1001.101. DISTRICT RESPONSIBILITY. The district has full

responsibility for providing medical and hospital care for the

district's needy and indigent residents.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.102. RESTRICTION ON MUNICIPAL OR COUNTY TAXATION. The

City of Amarillo or a county may not impose a tax for hospital

purposes on property within the district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.103. MANAGEMENT, CONTROL, AND ADMINISTRATION. (a)

The board shall manage, control, and administer the hospital or

hospital system.

(b) The Potter County Commissioners Court may participate in the

operation of the district on terms agreed on by the governing

body acting for the board.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.104. HOSPITAL SYSTEM. (a) The district may own and

operate a hospital or hospital system for indigent and needy

persons.

(b) The district may provide for the establishment of a hospital

or hospital system to provide medical aid and hospital care to

indigent and needy persons residing in the district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.105. RULES. The board may adopt rules for the

operation of the hospital or hospital system.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.106. PURCHASING AND ACCOUNTING PROCEDURES. (a) The

governing body may prescribe:

(1) the method and manner of making purchases and expenditures

by and for the district; and

(2) all accounting and control procedures.

(b) The governing body by resolution or order may delegate to

the board a power described by Subsection (a).

(c) The district shall pay the salaries and expenses necessarily

incurred by the City of Amarillo or by an officer or agent of the

City of Amarillo in performing a duty prescribed or required by

this section.

(d) An officer, employee, or agent of the City of Amarillo shall

perform any function or service prescribed by the governing body

under this chapter.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.107. ELIGIBILITY STANDARDS; PRICING. (a) Not later

than the first day of each fiscal year, the board shall adopt

requirements for the district to use in determining whether a

person is eligible for hospital, medical, or health care

assistance from the district.

(b) The board shall determine the price charged for district

services and products and for the use of district facilities.

(c) The board may use the pricing methods the board considers

advisable, including discount and per diem pricing.

(d) The board shall adopt an application procedure specifying

the documentation required to support an application for

assistance.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.108. DISTRICT PROPERTY, FACILITIES, AND EQUIPMENT.

(a) The district may purchase or lease land inside or outside

the district as required for district purposes.

(b) Subject to Subsection (c), the district may sell or lease

land owned by the district at public or private sale.

(c) The district may not sell or lease real property until the

governing body determines that:

(1) the property is no longer required for district purposes; or

(2) the grantee or lessee will use the property for hospital

purposes or for purposes incidental and necessary to hospital

purposes.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.109. EMINENT DOMAIN. (a) The district may exercise

the power of eminent domain to acquire a fee simple or other

interest in any type of property, real, personal, or mixed,

located in district territory if the property interest is

necessary or convenient for the district to exercise a right,

power, privilege, or function conferred by this chapter.

(b) The district must exercise the power of eminent domain in

the manner provided by Chapter 21, Property Code, except the

district is not required to deposit in the trial court money or a

bond as provided by Section 21.021(a), Property Code.

(c) In a condemnation proceeding brought by the district, the

district is not required to:

(1) pay in advance or provide bond or other security for costs

in the trial court;

(2) provide bond for the issuance of a temporary restraining

order or a temporary injunction; or

(3) provide a bond for costs or a supersedeas bond on an appeal

or writ of error.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.110. GIFTS AND ENDOWMENTS. (a) The board may accept

for the district a gift or endowment to be held in trust or

otherwise and administered by the board for any purpose and under

any direction, limitation, or provision prescribed in writing by

the donor that is not inconsistent with the proper management and

objectives of the district.

(b) The board may establish a foundation or nonprofit

corporation for the purposes of this section.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.111. CONTRACTS FOR SERVICES TO CERTAIN PERSONS.

Subject to the approval of the governing body, the board may

contract with:

(1) a county or municipality for the care and treatment of a

sick or injured person of that county or municipality; and

(2) this state or a federal agency for the care and treatment of

a person for whom the state or agency is responsible.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.112. JOINT ADMINISTRATION OR DELIVERY OF HEALTH CARE

SERVICES. To provide joint administration or delivery of health

care services, the district may affiliate with or enter into an

arrangement with:

(1) a managed care system;

(2) a preferred provider organization;

(3) a health maintenance organization;

(4) a provider of an alternative health care or delivery system;

or

(5) a private hospital.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.113. PAYMENT FOR TREATMENT; PROCEDURES. (a) When a

patient from Potter County or the district has been admitted to a

district facility, the district administrator shall have an

inquiry made into the circumstances of:

(1) the patient; and

(2) the patient's relatives who are legally liable for the

patient's support.

(b) If the district administrator determines that the patient or

those relatives are liable to pay for all or part of the costs of

the patient's care and treatment, the patient or those relatives

shall be ordered to pay the district a specified amount for the

patient's support.

(c) The district administrator may collect the amount from the

patient's estate, or from any relative who is legally liable for

the patient's support, in the manner provided by law for the

collection of expenses of the last illness of a deceased person.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.114. REIMBURSEMENT FOR SERVICES TO NONRESIDENTS. (a)

The board shall require a county, municipality, or public

hospital located outside the boundaries of the district to

reimburse the district for the district's care and treatment of a

sick or injured person of that county, municipality, or hospital,

as provided by Chapter 61, Health and Safety Code.

(b) The board shall require the sheriff or police chief of a

county or municipality to reimburse the district for the

district's care and treatment of a person who is confined in a

jail facility of the county or municipality and is not a resident

of the district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.115. AUTHORITY TO SUE AND BE SUED. The district,

through the board, may sue and be sued in the name of the

district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

SUBCHAPTER D. CHANGE IN BOUNDARIES

Sec. 1001.151. PETITION TO EXPAND DISTRICT TERRITORY. (a)

Registered voters of a defined territory not included in the

district may file a petition with the board requesting inclusion

of the territory in the district.

(b) The petition must be signed by at least 50 registered voters

of the territory or a majority of those voters, whichever is

fewer.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.152. NOTICE OF HEARING. (a) The board by order shall

set a time and place to hold a hearing on a petition to include a

defined territory in the district.

(b) The hearing shall be held at least 30 days after the date

the board issues the order.

(c) The board shall notify the governing body of the hearing.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.153. ORDER OF ANNEXATION. (a) If, after a hearing

under Section 1001.152, the board and the governing body

determine that annexation of a defined territory into the

district would benefit the district, the board and the governing

body may approve the annexation by a resolution entered in their

minutes.

(b) The board and the governing body are not required to include

all territory described in the petition if the board and the

governing body find that including only a portion of the

territory is necessary or desirable.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.154. RATIFICATION ELECTION. (a) Annexation of

territory is final when approved by a majority of the voters at:

(1) an election held in the district; and

(2) a separate election held in the territory to be annexed.

(b) The election shall be held not earlier than the 45th day and

not later than the 60th day after the date the election is

ordered.

(c) The election may be called by the governing body on its own

motion.

(d) The election order must state:

(1) the nature of the election, including the proposition to

appear on the ballot;

(2) the date of the election;

(3) the hours during which the polls will be open; and

(4) the location of the polling places.

(e) The election shall be conducted by the persons responsible

for conducting citywide elections in the City of Amarillo. The

district shall:

(1) pay the City of Amarillo for the cost of an election held

under this section; and

(2) provide for the payment before the governing body orders the

election.

(f) Section 41.001(a), Election Code, does not apply to an

election held under this section.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.155. NOTICE OF RATIFICATION ELECTION. (a) The

governing body shall give notice of an election under Section

1001.154 by publishing once a week for two consecutive weeks a

substantial copy of the election order in a newspaper with

general circulation in:

(1) the district; and

(2) the territory proposed to be added to the district.

(b) The first publication of the notice must appear at least 35

days before the date of the election.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.156. ASSUMPTION OF DEBT AND TAXES. If the district

has outstanding debts or taxes, the voters in an election to

approve annexation under Section 1001.154 must determine whether

the annexed territory will assume its portion of the debts or

taxes on annexation.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.157. BALLOT. The ballot for an election under Section

1001.154 shall be printed to permit voting for or against the

following, as applicable:

(1) "Adding (description of territory to be annexed) to the City

of Amarillo Hospital District and authorizing the governing body

of the City of Amarillo to impose annual taxes to support the

City of Amarillo Hospital District at a rate not to exceed 75

cents on each $100 valuation of taxable property in the territory

to be annexed."

(2) "(Description of territory to be annexed) assuming its

proportionate share of the outstanding debts and taxes of the

City of Amarillo Hospital District, if the territory is added to

the district."

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

SUBCHAPTER E. EXPANSION OF SERVICE

INTO RANDALL COUNTY

Sec. 1001.201. ELECTION ON EXPANSION OF SERVICE. (a) On

presentation of a petition for an authorization election signed

by at least five percent of the qualified voters of Randall

County who do not reside within the boundaries of the City of

Amarillo or the South Randall County Hospital District, the

Randall County Commissioners Court shall call an election to

authorize:

(1) the City of Amarillo Hospital District to serve the

residents of that designated area of Randall County; and

(2) the Randall County Commissioners Court to impose a tax to

support the district at a rate not to exceed 75 cents on each

$100 valuation of all property in the area.

(b) An election authorized under this section shall be held not

later than the 60th day after the date the election is ordered.

(c) Section 41.001(a), Election Code, does not apply to an

election ordered under this section.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.202. BALLOT. The ballot for an election under this

subchapter shall be printed to permit voting for or against the

proposition: "The assumption by the City of Amarillo Hospital

District of the duty to serve Randall County residents who do not

reside within the boundaries of the City of Amarillo or the South

Randall County Hospital District, and the imposition of annual

taxes to support the Amarillo Hospital District at a rate not to

exceed 75 cents on each $100 valuation of taxable property in the

proposed area to be served."

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.203. ELECTION RESULTS. If a majority of the votes in

an election under this subchapter favor the expansion

proposition:

(1) the district, by resolution, shall assume:

(A) the duty to serve the designated area of Randall County; and

(B) the responsibility of Randall County to provide medical and

hospital care to the indigent and needy inhabitants of that area;

and

(2) the Randall County Commissioners Court shall impose a tax

sufficient to pay the costs, as determined by the board, of

providing medical and hospital care to the indigent and needy

residents of that area.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.204. TAXES. A tax imposed by the Randall County

Commissioners Court under this subchapter may not exceed 75 cents

on each $100 valuation of all property in Randall County that is

not within the boundaries of the City of Amarillo or the South

Randall County Hospital District.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.205. PARTICIPATION IN OPERATION OF DISTRICT. The

Randall County Commissioners Court and the governing body, acting

for the board, may agree on terms under which the commissioners

court may participate in the operation of the district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.206. CUMULATIVE EFFECT. This subchapter and

Subchapter F are cumulative of any other law establishing the

manner in which Randall County, or any portion of Randall County,

may participate in, be annexed to, or otherwise be served by the

district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

SUBCHAPTER F. DISCONTINUATION OF SERVICE TO RANDALL COUNTY

TERRITORY

Sec. 1001.251. ELECTION ON DISCONTINUATION OF SERVICE. (a) On

presentation of a petition for a discontinuation election signed

by at least five percent of the qualified voters of the area

receiving services under Subchapter E, the Randall County

Commissioners Court shall call an election to discontinue:

(1) the provision of services by the district; and

(2) the imposition of taxes to support the district.

(b) The election shall be held not later than the 60th day after

the date the election is ordered.

(c) Section 41.001(a), Election Code, does not apply to an

election ordered under this section.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.252. BALLOT. The ballot for an election under this

subchapter shall be printed to provide for voting for or against

the proposition: "Discontinuation by the City of Amarillo

Hospital District of the duty to provide services and

discontinuation of the imposition of taxes to support the

district."

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.253. ELECTION RESULTS. If a majority of the votes in

an election favor the proposition to discontinue service under

this subchapter, the district is relieved of the duty to provide

medical and hospital care to the indigent and needy residents of

the area receiving services in Randall County and shall cease

providing the services.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.254. TAXES. The district is entitled to receive taxes

from the area in which services are discontinued under this

subchapter in an amount sufficient to pay expenses incurred by

the district in serving the area residents before the date

services were discontinued.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

SUBCHAPTER G. GENERAL FINANCIAL PROVISIONS

Sec. 1001.301. BUDGET. (a) The district administrator, under

the direction of the board, shall prepare an annual budget.

(b) The governing body and the board shall:

(1) provide in each annual budget for the payment of all

operation and maintenance expenses of the district; and

(2) consider the estimated excess revenues and income from

hospital facilities available for paying the operation and

maintenance expenses after providing for the principal, interest,

and reserve requirements of revenue bonds issued for the

district.

(c) The budget must be approved by the board and presented to

the governing body for final approval.

(d) The governing body must approve all budget revisions.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.302. FINANCIAL REPORT. (a) As soon as practicable

after the close of each fiscal year, the district administrator

shall prepare a report that includes:

(1) a complete sworn statement of:

(A) all money and choses in action received by the

administrator; and

(B) how the money and choses in action were disbursed or

otherwise disposed; and

(2) the details of district operation during the preceding

fiscal year.

(b) The district administrator shall make the report to:

(1) the board;

(2) the governing body;

(3) the Potter County Commissioners Court;

(4) the Texas Board of Health; and

(5) the comptroller.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.303. DEPOSITORY. (a) The board shall select one or

more depositories for the district in the manner provided by law

for the selection of a county depository.

(b) A depository selected by the board shall be the depository

of the district until one or more successors are selected and

qualified.

(c) All income received by the district, including tax revenue

after deducting discounts and fees for assessing and collecting

the taxes, shall be deposited with the hospital depository and

may be withdrawn only as provided by this chapter.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

SUBCHAPTER H. BONDS

Sec. 1001.351. GENERAL OBLIGATION BONDS. The governing body may

issue and sell general obligation bonds in the name and on the

faith and credit of the district to purchase, construct, acquire,

equip, or enlarge the hospital or hospital system.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.352. TAX TO PAY GENERAL OBLIGATION BONDS. (a) The

governing body shall impose an ad valorem tax at a rate

sufficient to create an interest and sinking fund to pay the

principal of and interest on the general obligation bonds as the

bonds mature.

(b) The tax required by this section together with any other tax

the district imposes in any year may not exceed 75 cents on each

$100 valuation of all taxable property in the district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.353. GENERAL OBLIGATION BOND ELECTION. (a) The

district may issue general obligation bonds only if the bonds are

authorized by a majority of the voters voting at an election held

according to the law relating to municipal bonds.

(b) The governing body shall call the election at the request of

the board and may also call the election on its own motion.

(c) The person charged with conducting and arranging citywide

elections is responsible for conducting the bond election.

(d) The district shall pay the cost of a bond election. The

district must provide for the payment of election costs before

the governing body is required to order an election.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.354. EXECUTION OF GENERAL OBLIGATION BONDS. (a) The

mayor of the City of Amarillo shall execute the general

obligation bonds in the district's name.

(b) The city secretary shall countersign the bonds.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.355. INVESTMENT OF GENERAL OBLIGATION BOND PROCEEDS.

Proceeds from the sale of general obligation bonds may be

invested in direct obligations of the United States government.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.356. REVENUE BONDS. (a) The governing body may issue

and sell revenue bonds for and in the name of the district to:

(1) purchase, construct, acquire, repair, renovate, improve,

enlarge, or equip hospital facilities; or

(2) acquire real or personal property for use in connection with

the hospital facilities.

(b) A revenue bond issued under this section is a special

obligation of the district.

(c) A revenue bond issued under this section must mature not

later than 40 years after the date of issuance. The total

principal of revenue bonds issued and outstanding may not exceed

$20 million.

(d) Under the terms prescribed in an ordinance authorizing the

issuance of revenue bonds, the governing body may provide for the

subsequent issuance of additional parity bonds, subordinate lien

bonds, or other types of bonds.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.357. PAYMENT OF REVENUE BONDS; SECURITY. (a) The

governing body may:

(1) issue revenue bonds payable from and secured by liens on and

pledges of all or any part of the revenues and income, other than

ad valorem taxes, derived by the district from the operation and

ownership of hospital facilities; and

(2) pledge to the payment of revenue bonds all or any part of a

grant, donation, or income received or to be received from the

United States or any other public or private source.

(b) The bonds may be additionally secured by a mortgage or deed

of trust on any real property on which a district hospital

facility is or will be located and any real or personal property

incident or appurtenant to the facility. The governing body may

authorize the execution and delivery of a trust indenture,

mortgage, deed of trust, or other form of encumbrance to evidence

the security interest.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.358. USE OF REVENUE BOND PROCEEDS. (a) If permitted

in the bond ordinance, any required part of the proceeds from the

sale of the revenue bonds may be used to:

(1) pay interest on the bonds during the construction of a

hospital facility to be provided through the issuance of the

bonds;

(2) pay operation and maintenance expenses of the facility to

the extent and for the time specified in the bond ordinance; and

(3) create reserves for the payment of the principal of and

interest on the bonds.

(b) The proceeds of the bonds may be invested until needed to

the extent and in the manner provided by the bond ordinance.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.359. CHARGE FOR OCCUPANCY OR USE OF HOSPITAL FACILITY.

The governing body and the board shall establish and collect

charges for the occupancy or use of a hospital facility and for

related services in the amounts and manner determined by the

board. The charges shall be set and collected in amounts at

least sufficient with any other pledged resources to:

(1) pay the principal of, interest on, and any other amounts

required in relation to the bonds issued by the district; and

(2) to the extent required by the bond ordinance, pay all or any

part of the operation, maintenance, and other expenses of the

hospital facility.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.360. REFUNDING BONDS. (a) The board may, without an

election, issue refunding bonds to refund outstanding general

obligation bonds issued or assumed by the district.

(b) Refunding bonds may be:

(1) sold, with the proceeds of the refunding bonds applied to

the payment of the bonds to be refunded; or

(2) exchanged in whole or in part for not less than a like

amount of bonds to be refunded and the matured but unpaid

interest on those bonds.

(c) The refunding bonds must mature not later than 40 years

after the date of issuance.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.361. BONDS EXEMPT FROM TAXATION. The following are

exempt from taxation by this state or a political subdivision of

this state:

(1) bonds issued by the district;

(2) a transaction relating to the bonds; and

(3) profits made in the sale of the bonds.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

SUBCHAPTER I. TAXES

Sec. 1001.401. IMPOSITION OF AD VALOREM TAX. (a) The governing

body shall impose on all taxable property in the district, for

the benefit of the district, a tax at a rate not to exceed 75

cents on each $100 valuation of the property.

(b) The governing body shall impose the tax at the same time

taxes are imposed for municipal purposes, using the municipal

appraisal roll.

(c) The tax may be used to:

(1) pay the interest on and create a sinking fund for bonds

assumed or issued by the district for hospital purposes as

provided by this chapter;

(2) provide for the operation and maintenance of the hospital or

hospital system; and

(3) when requested by the board and approved by the governing

body, make improvements and additions to the hospital system and

acquire necessary sites by purchase, lease, or condemnation.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.402. DUTY TO IMPOSE TAX. (a) The ordinance

authorizing the issuance of revenue bonds may pledge the proceeds

of an annual ad valorem tax for the payment of the district's

operation and maintenance expenses.

(b) If the annual ad valorem tax is pledged, the governing body

shall, during each year during which the bonds are outstanding,

compute a tax rate sufficient to pay the operation and

maintenance expenses. The tax rate shall be based on the most

recent certified appraisal roll of the district.

(c) The ad valorem tax shall be imposed on all taxable property

in the district for each year the bonds are outstanding. The tax

shall be assessed and collected each year and used for the

purpose prescribed by this section to the extent required.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.403. POTTER COUNTY TAX. (a) The Potter County

Commissioners Court may impose an ad valorem tax on all property

inside the county and outside the boundaries of the City of

Amarillo to provide financial aid to the district.

(b) The tax may not exceed 10 cents on each $100 valuation of

all taxable property described by Subsection (a).

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.404. TAX ASSESSOR-COLLECTOR. (a) The tax assessor

and collector for the City of Amarillo shall collect taxes

imposed on all property subject to district taxation in the same

manner and under the same conditions as for city taxes.

(b) From payments to the district, the tax assessor and

collector shall deduct fees for assessing and collecting the tax.

The fee may not exceed 1-1/2 percent of the amount collected as

determined by the governing body. The collected fees shall be

deposited in the City of Amarillo's general fund.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.405. INTEREST, PENALTIES, AND DISCOUNTS. Interest,

penalties, and discounts on taxes paid to the district shall be

the same as those on taxes paid to the city.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

State Codes and Statutes

Statutes > Texas > Special-district-local-laws-code > Title-3-health > Chapter-1001-city-of-amarillo-hospital-district

SPECIAL DISTRICT LOCAL LAWS CODE

TITLE 3. HEALTH

SUBTITLE A. HOSPITAL DISTRICTS

CHAPTER 1001. CITY OF AMARILLO HOSPITAL DISTRICT

SUBCHAPTER A. GENERAL PROVISIONS

Sec. 1001.001. DEFINITIONS. In this chapter:

(1) "Board" means the board of hospital managers of the

district.

(2) "District" means the City of Amarillo Hospital District.

(3) "Governing body" means the governing body of the City of

Amarillo.

(4) "Manager" means a member of the board.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.002. NATURE OF DISTRICT. (a) The district is:

(1) a public entity performing an essential public function; and

(2) a body politic and corporate.

(b) The functions of the district are governmental and public.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.003. DUTY TO NAME DISTRICT. The governing body shall

specify the name of the district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.004. DISTRICT TERRITORY. The boundaries of the

district are coextensive with the boundaries of the City of

Amarillo unless the district territory is expanded under:

(1) Subchapter D; or

(2) other law.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

SUBCHAPTER B. DISTRICT ADMINISTRATION

Sec. 1001.051. BOARD; TERM. (a) The board consists of not

fewer than five and not more than seven managers appointed by the

governing body.

(b) Managers serve two-year terms unless four-year elected terms

are established under Section 285.081, Health and Safety Code.

The terms may overlap.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.052. MANAGER REMOVAL. By majority vote, the governing

body may remove a manager with or without cause.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.053. OFFICERS. (a) The board shall select from among

the managers a presiding officer.

(b) The presiding officer shall preside over the board. A

presiding officer pro tem shall preside in the absence of the

presiding officer.

(c) The district administrator or any manager may be appointed

secretary.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.054. COMPENSATION. A manager serves without pay.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.055. RECORDS OF PROCEEDINGS. (a) The secretary shall

keep suitable records of all proceedings of each board meeting.

(b) After each meeting:

(1) the presiding officer or the presiding officer pro tem shall

read and sign the record; and

(2) the secretary shall attest the record.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.056. DISTRICT ADMINISTRATOR. (a) The board shall:

(1) appoint a person qualified by training and experience as

district administrator; and

(2) determine the administrator's compensation.

(b) The board may remove the district administrator at any time.

(c) Before assuming the duties of district administrator, the

administrator must execute a bond payable to the district in an

amount of not less than $10,000 that:

(1) is conditioned on the administrator performing well and

faithfully the administrator's required duties; and

(2) contains other conditions the board may require.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.057. GENERAL DUTIES OF DISTRICT ADMINISTRATOR.

Subject to the limitations prescribed by the board, the district

administrator shall:

(1) perform the duties required by the board;

(2) supervise the work and activities of the district; and

(3) direct the affairs of the district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.058. ASSISTANT ADMINISTRATOR. (a) The board may

designate an assistant administrator to discharge a duty or

function of the district administrator in the event of the

administrator's incapacity, absence, or inability to discharge

the duty or function.

(b) The assistant administrator shall post the bond required by

board order.

(c) The assistant administrator is subject to the limitations

prescribed by board order.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.059. LEGAL COUNSEL. (a) The attorneys who represent

the City of Amarillo in civil matters may represent the board in

all legal matters.

(b) The district shall contribute sufficient money to the City

of Amarillo's account designated for the attorneys of the city to

pay all additional salaries and expenses incurred by the

attorneys in performing the duties required by the district.

(c) The board may employ legal counsel selected by the board if

the board considers the employment advisable.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.060. EMPLOYEES. (a) The board may employ doctors,

nurses, technicians, and other employees considered advisable for

the efficient operation of the hospital or hospital system.

(b) The board may delegate to the district administrator the

authority to hire district employees.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.061. PHYSICIAN QUALIFICATION. The board may use

district money to ensure the initial and continued qualification

of physicians and other personnel.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.062. HEALTH CARE EDUCATIONAL PROGRAMS. (a) The board

may spend district money, enter into an agreement, or take other

necessary action to conduct, participate in, or assist in

providing health care educational programs for:

(1) the public; or

(2) current or potential medical staff members or district

employees.

(b) The board may contract with West Texas A&M University or

another educational institution for:

(1) the coordination of educational programs in recognized

health care professions, including pharmacy, nursing, and allied

health professions, to be conducted by each; and

(2) cooperative funding of the educational programs.

(c) The district may provide services, money, or equipment and

may make district facilities available to West Texas A&M

University or another educational institution for clinical

instruction, research, or degree programs.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.063. RETIREMENT PROGRAM. The board may establish or

continue a retirement program for the benefit of the district's

employees or contract with this state or the federal government

for that purpose.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.064. LIABILITY INSURANCE. The board may purchase

insurance to protect the managers from any liability that results

from service on the board.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.065. SEAL. The board may use a seal engraved with the

district's name to authenticate the acts of the board. The

secretary of the board shall keep the seal.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

SUBCHAPTER C. POWERS AND DUTIES

Sec. 1001.101. DISTRICT RESPONSIBILITY. The district has full

responsibility for providing medical and hospital care for the

district's needy and indigent residents.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.102. RESTRICTION ON MUNICIPAL OR COUNTY TAXATION. The

City of Amarillo or a county may not impose a tax for hospital

purposes on property within the district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.103. MANAGEMENT, CONTROL, AND ADMINISTRATION. (a)

The board shall manage, control, and administer the hospital or

hospital system.

(b) The Potter County Commissioners Court may participate in the

operation of the district on terms agreed on by the governing

body acting for the board.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.104. HOSPITAL SYSTEM. (a) The district may own and

operate a hospital or hospital system for indigent and needy

persons.

(b) The district may provide for the establishment of a hospital

or hospital system to provide medical aid and hospital care to

indigent and needy persons residing in the district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.105. RULES. The board may adopt rules for the

operation of the hospital or hospital system.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.106. PURCHASING AND ACCOUNTING PROCEDURES. (a) The

governing body may prescribe:

(1) the method and manner of making purchases and expenditures

by and for the district; and

(2) all accounting and control procedures.

(b) The governing body by resolution or order may delegate to

the board a power described by Subsection (a).

(c) The district shall pay the salaries and expenses necessarily

incurred by the City of Amarillo or by an officer or agent of the

City of Amarillo in performing a duty prescribed or required by

this section.

(d) An officer, employee, or agent of the City of Amarillo shall

perform any function or service prescribed by the governing body

under this chapter.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.107. ELIGIBILITY STANDARDS; PRICING. (a) Not later

than the first day of each fiscal year, the board shall adopt

requirements for the district to use in determining whether a

person is eligible for hospital, medical, or health care

assistance from the district.

(b) The board shall determine the price charged for district

services and products and for the use of district facilities.

(c) The board may use the pricing methods the board considers

advisable, including discount and per diem pricing.

(d) The board shall adopt an application procedure specifying

the documentation required to support an application for

assistance.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.108. DISTRICT PROPERTY, FACILITIES, AND EQUIPMENT.

(a) The district may purchase or lease land inside or outside

the district as required for district purposes.

(b) Subject to Subsection (c), the district may sell or lease

land owned by the district at public or private sale.

(c) The district may not sell or lease real property until the

governing body determines that:

(1) the property is no longer required for district purposes; or

(2) the grantee or lessee will use the property for hospital

purposes or for purposes incidental and necessary to hospital

purposes.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.109. EMINENT DOMAIN. (a) The district may exercise

the power of eminent domain to acquire a fee simple or other

interest in any type of property, real, personal, or mixed,

located in district territory if the property interest is

necessary or convenient for the district to exercise a right,

power, privilege, or function conferred by this chapter.

(b) The district must exercise the power of eminent domain in

the manner provided by Chapter 21, Property Code, except the

district is not required to deposit in the trial court money or a

bond as provided by Section 21.021(a), Property Code.

(c) In a condemnation proceeding brought by the district, the

district is not required to:

(1) pay in advance or provide bond or other security for costs

in the trial court;

(2) provide bond for the issuance of a temporary restraining

order or a temporary injunction; or

(3) provide a bond for costs or a supersedeas bond on an appeal

or writ of error.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.110. GIFTS AND ENDOWMENTS. (a) The board may accept

for the district a gift or endowment to be held in trust or

otherwise and administered by the board for any purpose and under

any direction, limitation, or provision prescribed in writing by

the donor that is not inconsistent with the proper management and

objectives of the district.

(b) The board may establish a foundation or nonprofit

corporation for the purposes of this section.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.111. CONTRACTS FOR SERVICES TO CERTAIN PERSONS.

Subject to the approval of the governing body, the board may

contract with:

(1) a county or municipality for the care and treatment of a

sick or injured person of that county or municipality; and

(2) this state or a federal agency for the care and treatment of

a person for whom the state or agency is responsible.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.112. JOINT ADMINISTRATION OR DELIVERY OF HEALTH CARE

SERVICES. To provide joint administration or delivery of health

care services, the district may affiliate with or enter into an

arrangement with:

(1) a managed care system;

(2) a preferred provider organization;

(3) a health maintenance organization;

(4) a provider of an alternative health care or delivery system;

or

(5) a private hospital.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.113. PAYMENT FOR TREATMENT; PROCEDURES. (a) When a

patient from Potter County or the district has been admitted to a

district facility, the district administrator shall have an

inquiry made into the circumstances of:

(1) the patient; and

(2) the patient's relatives who are legally liable for the

patient's support.

(b) If the district administrator determines that the patient or

those relatives are liable to pay for all or part of the costs of

the patient's care and treatment, the patient or those relatives

shall be ordered to pay the district a specified amount for the

patient's support.

(c) The district administrator may collect the amount from the

patient's estate, or from any relative who is legally liable for

the patient's support, in the manner provided by law for the

collection of expenses of the last illness of a deceased person.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.114. REIMBURSEMENT FOR SERVICES TO NONRESIDENTS. (a)

The board shall require a county, municipality, or public

hospital located outside the boundaries of the district to

reimburse the district for the district's care and treatment of a

sick or injured person of that county, municipality, or hospital,

as provided by Chapter 61, Health and Safety Code.

(b) The board shall require the sheriff or police chief of a

county or municipality to reimburse the district for the

district's care and treatment of a person who is confined in a

jail facility of the county or municipality and is not a resident

of the district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.115. AUTHORITY TO SUE AND BE SUED. The district,

through the board, may sue and be sued in the name of the

district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

SUBCHAPTER D. CHANGE IN BOUNDARIES

Sec. 1001.151. PETITION TO EXPAND DISTRICT TERRITORY. (a)

Registered voters of a defined territory not included in the

district may file a petition with the board requesting inclusion

of the territory in the district.

(b) The petition must be signed by at least 50 registered voters

of the territory or a majority of those voters, whichever is

fewer.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.152. NOTICE OF HEARING. (a) The board by order shall

set a time and place to hold a hearing on a petition to include a

defined territory in the district.

(b) The hearing shall be held at least 30 days after the date

the board issues the order.

(c) The board shall notify the governing body of the hearing.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.153. ORDER OF ANNEXATION. (a) If, after a hearing

under Section 1001.152, the board and the governing body

determine that annexation of a defined territory into the

district would benefit the district, the board and the governing

body may approve the annexation by a resolution entered in their

minutes.

(b) The board and the governing body are not required to include

all territory described in the petition if the board and the

governing body find that including only a portion of the

territory is necessary or desirable.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.154. RATIFICATION ELECTION. (a) Annexation of

territory is final when approved by a majority of the voters at:

(1) an election held in the district; and

(2) a separate election held in the territory to be annexed.

(b) The election shall be held not earlier than the 45th day and

not later than the 60th day after the date the election is

ordered.

(c) The election may be called by the governing body on its own

motion.

(d) The election order must state:

(1) the nature of the election, including the proposition to

appear on the ballot;

(2) the date of the election;

(3) the hours during which the polls will be open; and

(4) the location of the polling places.

(e) The election shall be conducted by the persons responsible

for conducting citywide elections in the City of Amarillo. The

district shall:

(1) pay the City of Amarillo for the cost of an election held

under this section; and

(2) provide for the payment before the governing body orders the

election.

(f) Section 41.001(a), Election Code, does not apply to an

election held under this section.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.155. NOTICE OF RATIFICATION ELECTION. (a) The

governing body shall give notice of an election under Section

1001.154 by publishing once a week for two consecutive weeks a

substantial copy of the election order in a newspaper with

general circulation in:

(1) the district; and

(2) the territory proposed to be added to the district.

(b) The first publication of the notice must appear at least 35

days before the date of the election.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.156. ASSUMPTION OF DEBT AND TAXES. If the district

has outstanding debts or taxes, the voters in an election to

approve annexation under Section 1001.154 must determine whether

the annexed territory will assume its portion of the debts or

taxes on annexation.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.157. BALLOT. The ballot for an election under Section

1001.154 shall be printed to permit voting for or against the

following, as applicable:

(1) "Adding (description of territory to be annexed) to the City

of Amarillo Hospital District and authorizing the governing body

of the City of Amarillo to impose annual taxes to support the

City of Amarillo Hospital District at a rate not to exceed 75

cents on each $100 valuation of taxable property in the territory

to be annexed."

(2) "(Description of territory to be annexed) assuming its

proportionate share of the outstanding debts and taxes of the

City of Amarillo Hospital District, if the territory is added to

the district."

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

SUBCHAPTER E. EXPANSION OF SERVICE

INTO RANDALL COUNTY

Sec. 1001.201. ELECTION ON EXPANSION OF SERVICE. (a) On

presentation of a petition for an authorization election signed

by at least five percent of the qualified voters of Randall

County who do not reside within the boundaries of the City of

Amarillo or the South Randall County Hospital District, the

Randall County Commissioners Court shall call an election to

authorize:

(1) the City of Amarillo Hospital District to serve the

residents of that designated area of Randall County; and

(2) the Randall County Commissioners Court to impose a tax to

support the district at a rate not to exceed 75 cents on each

$100 valuation of all property in the area.

(b) An election authorized under this section shall be held not

later than the 60th day after the date the election is ordered.

(c) Section 41.001(a), Election Code, does not apply to an

election ordered under this section.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.202. BALLOT. The ballot for an election under this

subchapter shall be printed to permit voting for or against the

proposition: "The assumption by the City of Amarillo Hospital

District of the duty to serve Randall County residents who do not

reside within the boundaries of the City of Amarillo or the South

Randall County Hospital District, and the imposition of annual

taxes to support the Amarillo Hospital District at a rate not to

exceed 75 cents on each $100 valuation of taxable property in the

proposed area to be served."

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.203. ELECTION RESULTS. If a majority of the votes in

an election under this subchapter favor the expansion

proposition:

(1) the district, by resolution, shall assume:

(A) the duty to serve the designated area of Randall County; and

(B) the responsibility of Randall County to provide medical and

hospital care to the indigent and needy inhabitants of that area;

and

(2) the Randall County Commissioners Court shall impose a tax

sufficient to pay the costs, as determined by the board, of

providing medical and hospital care to the indigent and needy

residents of that area.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.204. TAXES. A tax imposed by the Randall County

Commissioners Court under this subchapter may not exceed 75 cents

on each $100 valuation of all property in Randall County that is

not within the boundaries of the City of Amarillo or the South

Randall County Hospital District.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.205. PARTICIPATION IN OPERATION OF DISTRICT. The

Randall County Commissioners Court and the governing body, acting

for the board, may agree on terms under which the commissioners

court may participate in the operation of the district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.206. CUMULATIVE EFFECT. This subchapter and

Subchapter F are cumulative of any other law establishing the

manner in which Randall County, or any portion of Randall County,

may participate in, be annexed to, or otherwise be served by the

district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

SUBCHAPTER F. DISCONTINUATION OF SERVICE TO RANDALL COUNTY

TERRITORY

Sec. 1001.251. ELECTION ON DISCONTINUATION OF SERVICE. (a) On

presentation of a petition for a discontinuation election signed

by at least five percent of the qualified voters of the area

receiving services under Subchapter E, the Randall County

Commissioners Court shall call an election to discontinue:

(1) the provision of services by the district; and

(2) the imposition of taxes to support the district.

(b) The election shall be held not later than the 60th day after

the date the election is ordered.

(c) Section 41.001(a), Election Code, does not apply to an

election ordered under this section.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.252. BALLOT. The ballot for an election under this

subchapter shall be printed to provide for voting for or against

the proposition: "Discontinuation by the City of Amarillo

Hospital District of the duty to provide services and

discontinuation of the imposition of taxes to support the

district."

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.253. ELECTION RESULTS. If a majority of the votes in

an election favor the proposition to discontinue service under

this subchapter, the district is relieved of the duty to provide

medical and hospital care to the indigent and needy residents of

the area receiving services in Randall County and shall cease

providing the services.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.254. TAXES. The district is entitled to receive taxes

from the area in which services are discontinued under this

subchapter in an amount sufficient to pay expenses incurred by

the district in serving the area residents before the date

services were discontinued.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

SUBCHAPTER G. GENERAL FINANCIAL PROVISIONS

Sec. 1001.301. BUDGET. (a) The district administrator, under

the direction of the board, shall prepare an annual budget.

(b) The governing body and the board shall:

(1) provide in each annual budget for the payment of all

operation and maintenance expenses of the district; and

(2) consider the estimated excess revenues and income from

hospital facilities available for paying the operation and

maintenance expenses after providing for the principal, interest,

and reserve requirements of revenue bonds issued for the

district.

(c) The budget must be approved by the board and presented to

the governing body for final approval.

(d) The governing body must approve all budget revisions.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.302. FINANCIAL REPORT. (a) As soon as practicable

after the close of each fiscal year, the district administrator

shall prepare a report that includes:

(1) a complete sworn statement of:

(A) all money and choses in action received by the

administrator; and

(B) how the money and choses in action were disbursed or

otherwise disposed; and

(2) the details of district operation during the preceding

fiscal year.

(b) The district administrator shall make the report to:

(1) the board;

(2) the governing body;

(3) the Potter County Commissioners Court;

(4) the Texas Board of Health; and

(5) the comptroller.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.303. DEPOSITORY. (a) The board shall select one or

more depositories for the district in the manner provided by law

for the selection of a county depository.

(b) A depository selected by the board shall be the depository

of the district until one or more successors are selected and

qualified.

(c) All income received by the district, including tax revenue

after deducting discounts and fees for assessing and collecting

the taxes, shall be deposited with the hospital depository and

may be withdrawn only as provided by this chapter.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

SUBCHAPTER H. BONDS

Sec. 1001.351. GENERAL OBLIGATION BONDS. The governing body may

issue and sell general obligation bonds in the name and on the

faith and credit of the district to purchase, construct, acquire,

equip, or enlarge the hospital or hospital system.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.352. TAX TO PAY GENERAL OBLIGATION BONDS. (a) The

governing body shall impose an ad valorem tax at a rate

sufficient to create an interest and sinking fund to pay the

principal of and interest on the general obligation bonds as the

bonds mature.

(b) The tax required by this section together with any other tax

the district imposes in any year may not exceed 75 cents on each

$100 valuation of all taxable property in the district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.353. GENERAL OBLIGATION BOND ELECTION. (a) The

district may issue general obligation bonds only if the bonds are

authorized by a majority of the voters voting at an election held

according to the law relating to municipal bonds.

(b) The governing body shall call the election at the request of

the board and may also call the election on its own motion.

(c) The person charged with conducting and arranging citywide

elections is responsible for conducting the bond election.

(d) The district shall pay the cost of a bond election. The

district must provide for the payment of election costs before

the governing body is required to order an election.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.354. EXECUTION OF GENERAL OBLIGATION BONDS. (a) The

mayor of the City of Amarillo shall execute the general

obligation bonds in the district's name.

(b) The city secretary shall countersign the bonds.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.355. INVESTMENT OF GENERAL OBLIGATION BOND PROCEEDS.

Proceeds from the sale of general obligation bonds may be

invested in direct obligations of the United States government.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.356. REVENUE BONDS. (a) The governing body may issue

and sell revenue bonds for and in the name of the district to:

(1) purchase, construct, acquire, repair, renovate, improve,

enlarge, or equip hospital facilities; or

(2) acquire real or personal property for use in connection with

the hospital facilities.

(b) A revenue bond issued under this section is a special

obligation of the district.

(c) A revenue bond issued under this section must mature not

later than 40 years after the date of issuance. The total

principal of revenue bonds issued and outstanding may not exceed

$20 million.

(d) Under the terms prescribed in an ordinance authorizing the

issuance of revenue bonds, the governing body may provide for the

subsequent issuance of additional parity bonds, subordinate lien

bonds, or other types of bonds.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.357. PAYMENT OF REVENUE BONDS; SECURITY. (a) The

governing body may:

(1) issue revenue bonds payable from and secured by liens on and

pledges of all or any part of the revenues and income, other than

ad valorem taxes, derived by the district from the operation and

ownership of hospital facilities; and

(2) pledge to the payment of revenue bonds all or any part of a

grant, donation, or income received or to be received from the

United States or any other public or private source.

(b) The bonds may be additionally secured by a mortgage or deed

of trust on any real property on which a district hospital

facility is or will be located and any real or personal property

incident or appurtenant to the facility. The governing body may

authorize the execution and delivery of a trust indenture,

mortgage, deed of trust, or other form of encumbrance to evidence

the security interest.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.358. USE OF REVENUE BOND PROCEEDS. (a) If permitted

in the bond ordinance, any required part of the proceeds from the

sale of the revenue bonds may be used to:

(1) pay interest on the bonds during the construction of a

hospital facility to be provided through the issuance of the

bonds;

(2) pay operation and maintenance expenses of the facility to

the extent and for the time specified in the bond ordinance; and

(3) create reserves for the payment of the principal of and

interest on the bonds.

(b) The proceeds of the bonds may be invested until needed to

the extent and in the manner provided by the bond ordinance.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.359. CHARGE FOR OCCUPANCY OR USE OF HOSPITAL FACILITY.

The governing body and the board shall establish and collect

charges for the occupancy or use of a hospital facility and for

related services in the amounts and manner determined by the

board. The charges shall be set and collected in amounts at

least sufficient with any other pledged resources to:

(1) pay the principal of, interest on, and any other amounts

required in relation to the bonds issued by the district; and

(2) to the extent required by the bond ordinance, pay all or any

part of the operation, maintenance, and other expenses of the

hospital facility.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.360. REFUNDING BONDS. (a) The board may, without an

election, issue refunding bonds to refund outstanding general

obligation bonds issued or assumed by the district.

(b) Refunding bonds may be:

(1) sold, with the proceeds of the refunding bonds applied to

the payment of the bonds to be refunded; or

(2) exchanged in whole or in part for not less than a like

amount of bonds to be refunded and the matured but unpaid

interest on those bonds.

(c) The refunding bonds must mature not later than 40 years

after the date of issuance.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.361. BONDS EXEMPT FROM TAXATION. The following are

exempt from taxation by this state or a political subdivision of

this state:

(1) bonds issued by the district;

(2) a transaction relating to the bonds; and

(3) profits made in the sale of the bonds.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

SUBCHAPTER I. TAXES

Sec. 1001.401. IMPOSITION OF AD VALOREM TAX. (a) The governing

body shall impose on all taxable property in the district, for

the benefit of the district, a tax at a rate not to exceed 75

cents on each $100 valuation of the property.

(b) The governing body shall impose the tax at the same time

taxes are imposed for municipal purposes, using the municipal

appraisal roll.

(c) The tax may be used to:

(1) pay the interest on and create a sinking fund for bonds

assumed or issued by the district for hospital purposes as

provided by this chapter;

(2) provide for the operation and maintenance of the hospital or

hospital system; and

(3) when requested by the board and approved by the governing

body, make improvements and additions to the hospital system and

acquire necessary sites by purchase, lease, or condemnation.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.402. DUTY TO IMPOSE TAX. (a) The ordinance

authorizing the issuance of revenue bonds may pledge the proceeds

of an annual ad valorem tax for the payment of the district's

operation and maintenance expenses.

(b) If the annual ad valorem tax is pledged, the governing body

shall, during each year during which the bonds are outstanding,

compute a tax rate sufficient to pay the operation and

maintenance expenses. The tax rate shall be based on the most

recent certified appraisal roll of the district.

(c) The ad valorem tax shall be imposed on all taxable property

in the district for each year the bonds are outstanding. The tax

shall be assessed and collected each year and used for the

purpose prescribed by this section to the extent required.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.403. POTTER COUNTY TAX. (a) The Potter County

Commissioners Court may impose an ad valorem tax on all property

inside the county and outside the boundaries of the City of

Amarillo to provide financial aid to the district.

(b) The tax may not exceed 10 cents on each $100 valuation of

all taxable property described by Subsection (a).

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.404. TAX ASSESSOR-COLLECTOR. (a) The tax assessor

and collector for the City of Amarillo shall collect taxes

imposed on all property subject to district taxation in the same

manner and under the same conditions as for city taxes.

(b) From payments to the district, the tax assessor and

collector shall deduct fees for assessing and collecting the tax.

The fee may not exceed 1-1/2 percent of the amount collected as

determined by the governing body. The collected fees shall be

deposited in the City of Amarillo's general fund.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.405. INTEREST, PENALTIES, AND DISCOUNTS. Interest,

penalties, and discounts on taxes paid to the district shall be

the same as those on taxes paid to the city.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.


State Codes and Statutes

State Codes and Statutes

Statutes > Texas > Special-district-local-laws-code > Title-3-health > Chapter-1001-city-of-amarillo-hospital-district

SPECIAL DISTRICT LOCAL LAWS CODE

TITLE 3. HEALTH

SUBTITLE A. HOSPITAL DISTRICTS

CHAPTER 1001. CITY OF AMARILLO HOSPITAL DISTRICT

SUBCHAPTER A. GENERAL PROVISIONS

Sec. 1001.001. DEFINITIONS. In this chapter:

(1) "Board" means the board of hospital managers of the

district.

(2) "District" means the City of Amarillo Hospital District.

(3) "Governing body" means the governing body of the City of

Amarillo.

(4) "Manager" means a member of the board.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.002. NATURE OF DISTRICT. (a) The district is:

(1) a public entity performing an essential public function; and

(2) a body politic and corporate.

(b) The functions of the district are governmental and public.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.003. DUTY TO NAME DISTRICT. The governing body shall

specify the name of the district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.004. DISTRICT TERRITORY. The boundaries of the

district are coextensive with the boundaries of the City of

Amarillo unless the district territory is expanded under:

(1) Subchapter D; or

(2) other law.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

SUBCHAPTER B. DISTRICT ADMINISTRATION

Sec. 1001.051. BOARD; TERM. (a) The board consists of not

fewer than five and not more than seven managers appointed by the

governing body.

(b) Managers serve two-year terms unless four-year elected terms

are established under Section 285.081, Health and Safety Code.

The terms may overlap.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.052. MANAGER REMOVAL. By majority vote, the governing

body may remove a manager with or without cause.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.053. OFFICERS. (a) The board shall select from among

the managers a presiding officer.

(b) The presiding officer shall preside over the board. A

presiding officer pro tem shall preside in the absence of the

presiding officer.

(c) The district administrator or any manager may be appointed

secretary.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.054. COMPENSATION. A manager serves without pay.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.055. RECORDS OF PROCEEDINGS. (a) The secretary shall

keep suitable records of all proceedings of each board meeting.

(b) After each meeting:

(1) the presiding officer or the presiding officer pro tem shall

read and sign the record; and

(2) the secretary shall attest the record.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.056. DISTRICT ADMINISTRATOR. (a) The board shall:

(1) appoint a person qualified by training and experience as

district administrator; and

(2) determine the administrator's compensation.

(b) The board may remove the district administrator at any time.

(c) Before assuming the duties of district administrator, the

administrator must execute a bond payable to the district in an

amount of not less than $10,000 that:

(1) is conditioned on the administrator performing well and

faithfully the administrator's required duties; and

(2) contains other conditions the board may require.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.057. GENERAL DUTIES OF DISTRICT ADMINISTRATOR.

Subject to the limitations prescribed by the board, the district

administrator shall:

(1) perform the duties required by the board;

(2) supervise the work and activities of the district; and

(3) direct the affairs of the district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.058. ASSISTANT ADMINISTRATOR. (a) The board may

designate an assistant administrator to discharge a duty or

function of the district administrator in the event of the

administrator's incapacity, absence, or inability to discharge

the duty or function.

(b) The assistant administrator shall post the bond required by

board order.

(c) The assistant administrator is subject to the limitations

prescribed by board order.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.059. LEGAL COUNSEL. (a) The attorneys who represent

the City of Amarillo in civil matters may represent the board in

all legal matters.

(b) The district shall contribute sufficient money to the City

of Amarillo's account designated for the attorneys of the city to

pay all additional salaries and expenses incurred by the

attorneys in performing the duties required by the district.

(c) The board may employ legal counsel selected by the board if

the board considers the employment advisable.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.060. EMPLOYEES. (a) The board may employ doctors,

nurses, technicians, and other employees considered advisable for

the efficient operation of the hospital or hospital system.

(b) The board may delegate to the district administrator the

authority to hire district employees.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.061. PHYSICIAN QUALIFICATION. The board may use

district money to ensure the initial and continued qualification

of physicians and other personnel.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.062. HEALTH CARE EDUCATIONAL PROGRAMS. (a) The board

may spend district money, enter into an agreement, or take other

necessary action to conduct, participate in, or assist in

providing health care educational programs for:

(1) the public; or

(2) current or potential medical staff members or district

employees.

(b) The board may contract with West Texas A&M University or

another educational institution for:

(1) the coordination of educational programs in recognized

health care professions, including pharmacy, nursing, and allied

health professions, to be conducted by each; and

(2) cooperative funding of the educational programs.

(c) The district may provide services, money, or equipment and

may make district facilities available to West Texas A&M

University or another educational institution for clinical

instruction, research, or degree programs.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.063. RETIREMENT PROGRAM. The board may establish or

continue a retirement program for the benefit of the district's

employees or contract with this state or the federal government

for that purpose.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.064. LIABILITY INSURANCE. The board may purchase

insurance to protect the managers from any liability that results

from service on the board.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.065. SEAL. The board may use a seal engraved with the

district's name to authenticate the acts of the board. The

secretary of the board shall keep the seal.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

SUBCHAPTER C. POWERS AND DUTIES

Sec. 1001.101. DISTRICT RESPONSIBILITY. The district has full

responsibility for providing medical and hospital care for the

district's needy and indigent residents.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.102. RESTRICTION ON MUNICIPAL OR COUNTY TAXATION. The

City of Amarillo or a county may not impose a tax for hospital

purposes on property within the district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.103. MANAGEMENT, CONTROL, AND ADMINISTRATION. (a)

The board shall manage, control, and administer the hospital or

hospital system.

(b) The Potter County Commissioners Court may participate in the

operation of the district on terms agreed on by the governing

body acting for the board.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.104. HOSPITAL SYSTEM. (a) The district may own and

operate a hospital or hospital system for indigent and needy

persons.

(b) The district may provide for the establishment of a hospital

or hospital system to provide medical aid and hospital care to

indigent and needy persons residing in the district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.105. RULES. The board may adopt rules for the

operation of the hospital or hospital system.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.106. PURCHASING AND ACCOUNTING PROCEDURES. (a) The

governing body may prescribe:

(1) the method and manner of making purchases and expenditures

by and for the district; and

(2) all accounting and control procedures.

(b) The governing body by resolution or order may delegate to

the board a power described by Subsection (a).

(c) The district shall pay the salaries and expenses necessarily

incurred by the City of Amarillo or by an officer or agent of the

City of Amarillo in performing a duty prescribed or required by

this section.

(d) An officer, employee, or agent of the City of Amarillo shall

perform any function or service prescribed by the governing body

under this chapter.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.107. ELIGIBILITY STANDARDS; PRICING. (a) Not later

than the first day of each fiscal year, the board shall adopt

requirements for the district to use in determining whether a

person is eligible for hospital, medical, or health care

assistance from the district.

(b) The board shall determine the price charged for district

services and products and for the use of district facilities.

(c) The board may use the pricing methods the board considers

advisable, including discount and per diem pricing.

(d) The board shall adopt an application procedure specifying

the documentation required to support an application for

assistance.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.108. DISTRICT PROPERTY, FACILITIES, AND EQUIPMENT.

(a) The district may purchase or lease land inside or outside

the district as required for district purposes.

(b) Subject to Subsection (c), the district may sell or lease

land owned by the district at public or private sale.

(c) The district may not sell or lease real property until the

governing body determines that:

(1) the property is no longer required for district purposes; or

(2) the grantee or lessee will use the property for hospital

purposes or for purposes incidental and necessary to hospital

purposes.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.109. EMINENT DOMAIN. (a) The district may exercise

the power of eminent domain to acquire a fee simple or other

interest in any type of property, real, personal, or mixed,

located in district territory if the property interest is

necessary or convenient for the district to exercise a right,

power, privilege, or function conferred by this chapter.

(b) The district must exercise the power of eminent domain in

the manner provided by Chapter 21, Property Code, except the

district is not required to deposit in the trial court money or a

bond as provided by Section 21.021(a), Property Code.

(c) In a condemnation proceeding brought by the district, the

district is not required to:

(1) pay in advance or provide bond or other security for costs

in the trial court;

(2) provide bond for the issuance of a temporary restraining

order or a temporary injunction; or

(3) provide a bond for costs or a supersedeas bond on an appeal

or writ of error.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.110. GIFTS AND ENDOWMENTS. (a) The board may accept

for the district a gift or endowment to be held in trust or

otherwise and administered by the board for any purpose and under

any direction, limitation, or provision prescribed in writing by

the donor that is not inconsistent with the proper management and

objectives of the district.

(b) The board may establish a foundation or nonprofit

corporation for the purposes of this section.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.111. CONTRACTS FOR SERVICES TO CERTAIN PERSONS.

Subject to the approval of the governing body, the board may

contract with:

(1) a county or municipality for the care and treatment of a

sick or injured person of that county or municipality; and

(2) this state or a federal agency for the care and treatment of

a person for whom the state or agency is responsible.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.112. JOINT ADMINISTRATION OR DELIVERY OF HEALTH CARE

SERVICES. To provide joint administration or delivery of health

care services, the district may affiliate with or enter into an

arrangement with:

(1) a managed care system;

(2) a preferred provider organization;

(3) a health maintenance organization;

(4) a provider of an alternative health care or delivery system;

or

(5) a private hospital.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.113. PAYMENT FOR TREATMENT; PROCEDURES. (a) When a

patient from Potter County or the district has been admitted to a

district facility, the district administrator shall have an

inquiry made into the circumstances of:

(1) the patient; and

(2) the patient's relatives who are legally liable for the

patient's support.

(b) If the district administrator determines that the patient or

those relatives are liable to pay for all or part of the costs of

the patient's care and treatment, the patient or those relatives

shall be ordered to pay the district a specified amount for the

patient's support.

(c) The district administrator may collect the amount from the

patient's estate, or from any relative who is legally liable for

the patient's support, in the manner provided by law for the

collection of expenses of the last illness of a deceased person.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.114. REIMBURSEMENT FOR SERVICES TO NONRESIDENTS. (a)

The board shall require a county, municipality, or public

hospital located outside the boundaries of the district to

reimburse the district for the district's care and treatment of a

sick or injured person of that county, municipality, or hospital,

as provided by Chapter 61, Health and Safety Code.

(b) The board shall require the sheriff or police chief of a

county or municipality to reimburse the district for the

district's care and treatment of a person who is confined in a

jail facility of the county or municipality and is not a resident

of the district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.115. AUTHORITY TO SUE AND BE SUED. The district,

through the board, may sue and be sued in the name of the

district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

SUBCHAPTER D. CHANGE IN BOUNDARIES

Sec. 1001.151. PETITION TO EXPAND DISTRICT TERRITORY. (a)

Registered voters of a defined territory not included in the

district may file a petition with the board requesting inclusion

of the territory in the district.

(b) The petition must be signed by at least 50 registered voters

of the territory or a majority of those voters, whichever is

fewer.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.152. NOTICE OF HEARING. (a) The board by order shall

set a time and place to hold a hearing on a petition to include a

defined territory in the district.

(b) The hearing shall be held at least 30 days after the date

the board issues the order.

(c) The board shall notify the governing body of the hearing.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.153. ORDER OF ANNEXATION. (a) If, after a hearing

under Section 1001.152, the board and the governing body

determine that annexation of a defined territory into the

district would benefit the district, the board and the governing

body may approve the annexation by a resolution entered in their

minutes.

(b) The board and the governing body are not required to include

all territory described in the petition if the board and the

governing body find that including only a portion of the

territory is necessary or desirable.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.154. RATIFICATION ELECTION. (a) Annexation of

territory is final when approved by a majority of the voters at:

(1) an election held in the district; and

(2) a separate election held in the territory to be annexed.

(b) The election shall be held not earlier than the 45th day and

not later than the 60th day after the date the election is

ordered.

(c) The election may be called by the governing body on its own

motion.

(d) The election order must state:

(1) the nature of the election, including the proposition to

appear on the ballot;

(2) the date of the election;

(3) the hours during which the polls will be open; and

(4) the location of the polling places.

(e) The election shall be conducted by the persons responsible

for conducting citywide elections in the City of Amarillo. The

district shall:

(1) pay the City of Amarillo for the cost of an election held

under this section; and

(2) provide for the payment before the governing body orders the

election.

(f) Section 41.001(a), Election Code, does not apply to an

election held under this section.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.155. NOTICE OF RATIFICATION ELECTION. (a) The

governing body shall give notice of an election under Section

1001.154 by publishing once a week for two consecutive weeks a

substantial copy of the election order in a newspaper with

general circulation in:

(1) the district; and

(2) the territory proposed to be added to the district.

(b) The first publication of the notice must appear at least 35

days before the date of the election.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.156. ASSUMPTION OF DEBT AND TAXES. If the district

has outstanding debts or taxes, the voters in an election to

approve annexation under Section 1001.154 must determine whether

the annexed territory will assume its portion of the debts or

taxes on annexation.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.157. BALLOT. The ballot for an election under Section

1001.154 shall be printed to permit voting for or against the

following, as applicable:

(1) "Adding (description of territory to be annexed) to the City

of Amarillo Hospital District and authorizing the governing body

of the City of Amarillo to impose annual taxes to support the

City of Amarillo Hospital District at a rate not to exceed 75

cents on each $100 valuation of taxable property in the territory

to be annexed."

(2) "(Description of territory to be annexed) assuming its

proportionate share of the outstanding debts and taxes of the

City of Amarillo Hospital District, if the territory is added to

the district."

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

SUBCHAPTER E. EXPANSION OF SERVICE

INTO RANDALL COUNTY

Sec. 1001.201. ELECTION ON EXPANSION OF SERVICE. (a) On

presentation of a petition for an authorization election signed

by at least five percent of the qualified voters of Randall

County who do not reside within the boundaries of the City of

Amarillo or the South Randall County Hospital District, the

Randall County Commissioners Court shall call an election to

authorize:

(1) the City of Amarillo Hospital District to serve the

residents of that designated area of Randall County; and

(2) the Randall County Commissioners Court to impose a tax to

support the district at a rate not to exceed 75 cents on each

$100 valuation of all property in the area.

(b) An election authorized under this section shall be held not

later than the 60th day after the date the election is ordered.

(c) Section 41.001(a), Election Code, does not apply to an

election ordered under this section.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.202. BALLOT. The ballot for an election under this

subchapter shall be printed to permit voting for or against the

proposition: "The assumption by the City of Amarillo Hospital

District of the duty to serve Randall County residents who do not

reside within the boundaries of the City of Amarillo or the South

Randall County Hospital District, and the imposition of annual

taxes to support the Amarillo Hospital District at a rate not to

exceed 75 cents on each $100 valuation of taxable property in the

proposed area to be served."

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.203. ELECTION RESULTS. If a majority of the votes in

an election under this subchapter favor the expansion

proposition:

(1) the district, by resolution, shall assume:

(A) the duty to serve the designated area of Randall County; and

(B) the responsibility of Randall County to provide medical and

hospital care to the indigent and needy inhabitants of that area;

and

(2) the Randall County Commissioners Court shall impose a tax

sufficient to pay the costs, as determined by the board, of

providing medical and hospital care to the indigent and needy

residents of that area.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.204. TAXES. A tax imposed by the Randall County

Commissioners Court under this subchapter may not exceed 75 cents

on each $100 valuation of all property in Randall County that is

not within the boundaries of the City of Amarillo or the South

Randall County Hospital District.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.205. PARTICIPATION IN OPERATION OF DISTRICT. The

Randall County Commissioners Court and the governing body, acting

for the board, may agree on terms under which the commissioners

court may participate in the operation of the district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.206. CUMULATIVE EFFECT. This subchapter and

Subchapter F are cumulative of any other law establishing the

manner in which Randall County, or any portion of Randall County,

may participate in, be annexed to, or otherwise be served by the

district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

SUBCHAPTER F. DISCONTINUATION OF SERVICE TO RANDALL COUNTY

TERRITORY

Sec. 1001.251. ELECTION ON DISCONTINUATION OF SERVICE. (a) On

presentation of a petition for a discontinuation election signed

by at least five percent of the qualified voters of the area

receiving services under Subchapter E, the Randall County

Commissioners Court shall call an election to discontinue:

(1) the provision of services by the district; and

(2) the imposition of taxes to support the district.

(b) The election shall be held not later than the 60th day after

the date the election is ordered.

(c) Section 41.001(a), Election Code, does not apply to an

election ordered under this section.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.252. BALLOT. The ballot for an election under this

subchapter shall be printed to provide for voting for or against

the proposition: "Discontinuation by the City of Amarillo

Hospital District of the duty to provide services and

discontinuation of the imposition of taxes to support the

district."

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.253. ELECTION RESULTS. If a majority of the votes in

an election favor the proposition to discontinue service under

this subchapter, the district is relieved of the duty to provide

medical and hospital care to the indigent and needy residents of

the area receiving services in Randall County and shall cease

providing the services.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.254. TAXES. The district is entitled to receive taxes

from the area in which services are discontinued under this

subchapter in an amount sufficient to pay expenses incurred by

the district in serving the area residents before the date

services were discontinued.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

SUBCHAPTER G. GENERAL FINANCIAL PROVISIONS

Sec. 1001.301. BUDGET. (a) The district administrator, under

the direction of the board, shall prepare an annual budget.

(b) The governing body and the board shall:

(1) provide in each annual budget for the payment of all

operation and maintenance expenses of the district; and

(2) consider the estimated excess revenues and income from

hospital facilities available for paying the operation and

maintenance expenses after providing for the principal, interest,

and reserve requirements of revenue bonds issued for the

district.

(c) The budget must be approved by the board and presented to

the governing body for final approval.

(d) The governing body must approve all budget revisions.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.302. FINANCIAL REPORT. (a) As soon as practicable

after the close of each fiscal year, the district administrator

shall prepare a report that includes:

(1) a complete sworn statement of:

(A) all money and choses in action received by the

administrator; and

(B) how the money and choses in action were disbursed or

otherwise disposed; and

(2) the details of district operation during the preceding

fiscal year.

(b) The district administrator shall make the report to:

(1) the board;

(2) the governing body;

(3) the Potter County Commissioners Court;

(4) the Texas Board of Health; and

(5) the comptroller.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.303. DEPOSITORY. (a) The board shall select one or

more depositories for the district in the manner provided by law

for the selection of a county depository.

(b) A depository selected by the board shall be the depository

of the district until one or more successors are selected and

qualified.

(c) All income received by the district, including tax revenue

after deducting discounts and fees for assessing and collecting

the taxes, shall be deposited with the hospital depository and

may be withdrawn only as provided by this chapter.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

SUBCHAPTER H. BONDS

Sec. 1001.351. GENERAL OBLIGATION BONDS. The governing body may

issue and sell general obligation bonds in the name and on the

faith and credit of the district to purchase, construct, acquire,

equip, or enlarge the hospital or hospital system.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.352. TAX TO PAY GENERAL OBLIGATION BONDS. (a) The

governing body shall impose an ad valorem tax at a rate

sufficient to create an interest and sinking fund to pay the

principal of and interest on the general obligation bonds as the

bonds mature.

(b) The tax required by this section together with any other tax

the district imposes in any year may not exceed 75 cents on each

$100 valuation of all taxable property in the district.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.353. GENERAL OBLIGATION BOND ELECTION. (a) The

district may issue general obligation bonds only if the bonds are

authorized by a majority of the voters voting at an election held

according to the law relating to municipal bonds.

(b) The governing body shall call the election at the request of

the board and may also call the election on its own motion.

(c) The person charged with conducting and arranging citywide

elections is responsible for conducting the bond election.

(d) The district shall pay the cost of a bond election. The

district must provide for the payment of election costs before

the governing body is required to order an election.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.354. EXECUTION OF GENERAL OBLIGATION BONDS. (a) The

mayor of the City of Amarillo shall execute the general

obligation bonds in the district's name.

(b) The city secretary shall countersign the bonds.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.355. INVESTMENT OF GENERAL OBLIGATION BOND PROCEEDS.

Proceeds from the sale of general obligation bonds may be

invested in direct obligations of the United States government.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.356. REVENUE BONDS. (a) The governing body may issue

and sell revenue bonds for and in the name of the district to:

(1) purchase, construct, acquire, repair, renovate, improve,

enlarge, or equip hospital facilities; or

(2) acquire real or personal property for use in connection with

the hospital facilities.

(b) A revenue bond issued under this section is a special

obligation of the district.

(c) A revenue bond issued under this section must mature not

later than 40 years after the date of issuance. The total

principal of revenue bonds issued and outstanding may not exceed

$20 million.

(d) Under the terms prescribed in an ordinance authorizing the

issuance of revenue bonds, the governing body may provide for the

subsequent issuance of additional parity bonds, subordinate lien

bonds, or other types of bonds.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.357. PAYMENT OF REVENUE BONDS; SECURITY. (a) The

governing body may:

(1) issue revenue bonds payable from and secured by liens on and

pledges of all or any part of the revenues and income, other than

ad valorem taxes, derived by the district from the operation and

ownership of hospital facilities; and

(2) pledge to the payment of revenue bonds all or any part of a

grant, donation, or income received or to be received from the

United States or any other public or private source.

(b) The bonds may be additionally secured by a mortgage or deed

of trust on any real property on which a district hospital

facility is or will be located and any real or personal property

incident or appurtenant to the facility. The governing body may

authorize the execution and delivery of a trust indenture,

mortgage, deed of trust, or other form of encumbrance to evidence

the security interest.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.358. USE OF REVENUE BOND PROCEEDS. (a) If permitted

in the bond ordinance, any required part of the proceeds from the

sale of the revenue bonds may be used to:

(1) pay interest on the bonds during the construction of a

hospital facility to be provided through the issuance of the

bonds;

(2) pay operation and maintenance expenses of the facility to

the extent and for the time specified in the bond ordinance; and

(3) create reserves for the payment of the principal of and

interest on the bonds.

(b) The proceeds of the bonds may be invested until needed to

the extent and in the manner provided by the bond ordinance.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.359. CHARGE FOR OCCUPANCY OR USE OF HOSPITAL FACILITY.

The governing body and the board shall establish and collect

charges for the occupancy or use of a hospital facility and for

related services in the amounts and manner determined by the

board. The charges shall be set and collected in amounts at

least sufficient with any other pledged resources to:

(1) pay the principal of, interest on, and any other amounts

required in relation to the bonds issued by the district; and

(2) to the extent required by the bond ordinance, pay all or any

part of the operation, maintenance, and other expenses of the

hospital facility.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.360. REFUNDING BONDS. (a) The board may, without an

election, issue refunding bonds to refund outstanding general

obligation bonds issued or assumed by the district.

(b) Refunding bonds may be:

(1) sold, with the proceeds of the refunding bonds applied to

the payment of the bonds to be refunded; or

(2) exchanged in whole or in part for not less than a like

amount of bonds to be refunded and the matured but unpaid

interest on those bonds.

(c) The refunding bonds must mature not later than 40 years

after the date of issuance.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.361. BONDS EXEMPT FROM TAXATION. The following are

exempt from taxation by this state or a political subdivision of

this state:

(1) bonds issued by the district;

(2) a transaction relating to the bonds; and

(3) profits made in the sale of the bonds.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

SUBCHAPTER I. TAXES

Sec. 1001.401. IMPOSITION OF AD VALOREM TAX. (a) The governing

body shall impose on all taxable property in the district, for

the benefit of the district, a tax at a rate not to exceed 75

cents on each $100 valuation of the property.

(b) The governing body shall impose the tax at the same time

taxes are imposed for municipal purposes, using the municipal

appraisal roll.

(c) The tax may be used to:

(1) pay the interest on and create a sinking fund for bonds

assumed or issued by the district for hospital purposes as

provided by this chapter;

(2) provide for the operation and maintenance of the hospital or

hospital system; and

(3) when requested by the board and approved by the governing

body, make improvements and additions to the hospital system and

acquire necessary sites by purchase, lease, or condemnation.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.402. DUTY TO IMPOSE TAX. (a) The ordinance

authorizing the issuance of revenue bonds may pledge the proceeds

of an annual ad valorem tax for the payment of the district's

operation and maintenance expenses.

(b) If the annual ad valorem tax is pledged, the governing body

shall, during each year during which the bonds are outstanding,

compute a tax rate sufficient to pay the operation and

maintenance expenses. The tax rate shall be based on the most

recent certified appraisal roll of the district.

(c) The ad valorem tax shall be imposed on all taxable property

in the district for each year the bonds are outstanding. The tax

shall be assessed and collected each year and used for the

purpose prescribed by this section to the extent required.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.403. POTTER COUNTY TAX. (a) The Potter County

Commissioners Court may impose an ad valorem tax on all property

inside the county and outside the boundaries of the City of

Amarillo to provide financial aid to the district.

(b) The tax may not exceed 10 cents on each $100 valuation of

all taxable property described by Subsection (a).

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.404. TAX ASSESSOR-COLLECTOR. (a) The tax assessor

and collector for the City of Amarillo shall collect taxes

imposed on all property subject to district taxation in the same

manner and under the same conditions as for city taxes.

(b) From payments to the district, the tax assessor and

collector shall deduct fees for assessing and collecting the tax.

The fee may not exceed 1-1/2 percent of the amount collected as

determined by the governing body. The collected fees shall be

deposited in the City of Amarillo's general fund.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.

Sec. 1001.405. INTEREST, PENALTIES, AND DISCOUNTS. Interest,

penalties, and discounts on taxes paid to the district shall be

the same as those on taxes paid to the city.

Added by Acts 2005, 79th Leg., Ch.

729, Sec. 1.01, eff. April 1, 2007.