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81C454(1) MSE

81C454(1) MSE

 

CHAPTER 1056.  MARTIN COUNTY HOSPITAL DISTRICT

SUBCHAPTER A.  GENERAL PROVISIONS

Sec. 1056.001.  DEFINITIONS ...............................  2

Sec. 1056.002.  AUTHORITY FOR OPERATION ...................  3

Sec. 1056.003.  DISTRICT TERRITORY ........................  3

[Sections 1056.004-1056.050 reserved for expansion]

SUBCHAPTER B.  DISTRICT ADMINISTRATION

Sec. 1056.051.  BOARD APPOINTMENT; TERM ...................  5

Sec. 1056.052.  BOARD VACANCY .............................  6

Sec. 1056.053.  NONATTENDANCE .............................  6

Sec. 1056.054.  OFFICERS ..................................  6

Sec. 1056.055.  COMPENSATION; EXPENSES ....................  7

Sec. 1056.056.  QUORUM ....................................  7

Sec. 1056.057.  RECORDS OF PROCEEDINGS ....................  8

Sec. 1056.058.  DISTRICT ADMINISTRATOR ....................  8

Sec. 1056.059.  GENERAL DUTIES OF DISTRICT

                  ADMINISTRATOR ...........................  9

Sec. 1056.060.  ASSISTANT ADMINISTRATOR ...................  9

Sec. 1056.061.  LEGAL COUNSEL ............................. 10

Sec. 1056.062.  EMPLOYEES ................................. 10

Sec. 1056.063.  RETIREMENT PROGRAM ........................ 10

Sec. 1056.064.  SEAL ...................................... 11

[Sections 1056.065-1056.100 reserved for expansion]

SUBCHAPTER C.  POWERS AND DUTIES

Sec. 1056.101.  DISTRICT RESPONSIBILITY ................... 11

Sec. 1056.102.  RESTRICTION ON COUNTY OR MUNICIPALITY

                  TAXATION ................................ 12

Sec. 1056.103.  MANAGEMENT, CONTROL, AND ADMINISTRATION ... 13

Sec. 1056.104.  RULES ..................................... 13

Sec. 1056.105.  PURCHASING AND ACCOUNTING PROCEDURES ...... 14

Sec. 1056.106.  EMINENT DOMAIN ............................ 15

Sec. 1056.107.  GIFTS AND ENDOWMENTS ...................... 17

Sec. 1056.108.  CONTRACTS WITH GOVERNMENTAL ENTITIES

                  FOR CARE AND TREATMENT .................. 18

Sec. 1056.109.  PAYMENT FOR TREATMENT; PROCEDURES ......... 18

Sec. 1056.110.  AUTHORITY TO SUE AND BE SUED .............. 20

[Sections 1056.111-1056.150 reserved for expansion]

SUBCHAPTER D.  GENERAL FINANCIAL PROVISIONS

Sec. 1056.151.  BUDGET .................................... 20

Sec. 1056.152.  ANNUAL AUDIT .............................. 20

Sec. 1056.153.  FINANCIAL REPORT .......................... 21

Sec. 1056.154.  DEPOSITORY ................................ 21

[Sections 1056.155-1056.200 reserved for expansion]

SUBCHAPTER E.  BONDS

Sec. 1056.201.  BONDS ..................................... 22

Sec. 1056.202.  TAX TO PAY BONDS .......................... 22

Sec. 1056.203.  BOND ELECTION ............................. 23

Sec. 1056.204.  REFUNDING BONDS ........................... 25

Sec. 1056.205.  EXECUTION OF BONDS ........................ 27

[Sections 1056.206-1056.250 reserved for expansion]

SUBCHAPTER F.  TAXES

Sec. 1056.251.  IMPOSITION OF AD VALOREM TAX .............. 29

Sec. 1056.252.  TAX RATE .................................. 30

Sec. 1056.253.  TAX ASSESSOR-COLLECTOR .................... 30

CHAPTER 1056.  MARTIN COUNTY HOSPITAL DISTRICT

SUBCHAPTER A.  GENERAL PROVISIONS

Revised Law

Sec. 1056.001.  DEFINITIONS.  In this chapter:

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

(2)  "District" means the Martin County Hospital District.

(3)  "Manager" means a member of the board.  (New.)

Revisor's Note

The definitions of "board," "district," and "manager" are added to the revised law for drafting convenience and to eliminate frequent, unnecessary repetition of the substance of the definitions.

Revised Law

Sec. 1056.002.  AUTHORITY FOR OPERATION.  The Martin County Hospital District operates in accordance with and has the powers and responsibilities provided by Section 9, Article IX, Texas Constitution.  (Acts 60th Leg., R.S., Ch. 674, Sec. 1 (part).)

Source Law

Sec. 1.  In accordance with the provisions of Article IX, Section 9, Constitution of the State of Texas, this Act shall be operative so as to authorize the creation, establishment, maintenance and operation of a Hospital District within the State of Texas, to be known as Martin County Hospital District, and … said District shall have the powers and responsibilities provided by the aforesaid Constitutional provision.

Revisor's Note

Section 1, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, authorizes the "creation, establishment, maintenance and operation" of the district.  The revised law omits "creation" and "establishment" as executed.  The revised law omits "maintenance" because, in this context, that term is included in the meaning of "operation."

Revised Law

Sec. 1056.003.  DISTRICT TERRITORY.  The boundaries of the district are coextensive with the boundaries of Martin County.  (Acts 60th Leg., R.S., Ch. 674, Sec. 1 (part).)

Source Law

Sec. 1.  … [Martin County Hospital District] … the boundaries of said District shall be coextensive with the boundaries of Martin County … .

Revisor's Note

(End of Subchapter)

Section 2, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, provides procedures for holding an election on the creation of the district, the imposition of an ad valorem tax, and the assumption of debt.  Section 2 also provides for the election to include a proposition authorizing the district to issue bonds.  Because the election creating the district has been held, the revised law omits the relevant law as executed.  The omitted law reads:

Sec. 2.  … provided, however, that such Hospital District shall not be created unless and until an election is duly held in said county for such purpose, which said election may be initiated by the Commissioners Court upon its own motion or upon a petition of one hundred (100) resident legally qualified property taxpaying voters, to be held not less than thirty (30) days from the time said election is ordered by the Commissioners Court.  At such election there shall be submitted to the resident legally qualified property taxpaying voters the proposition of whether or not a Hospital District shall be created in the county; and a majority of the resident legally qualified property taxpaying electors participating in said election voting in favor of the proposition shall be necessary.  The ballots for said election shall have printed thereon:

"FOR the creation of a Hospital District; providing for the levy of a tax not to exceed Seventy-five Cents (75¢) on the One Hundred Dollars ($100.00) valuation; and providing for the assumption by such District of all outstanding bonds heretofore issued by Martin County for hospital purposes"; and

"AGAINST the creation of a Hospital District; providing for the levy of a tax not to exceed Seventy-five Cents (75¢) on the One Hundred Dollars ($100.00) valuation; and providing for the assumption by such District of all outstanding bonds heretofore issued by Martin County for hospital purposes."

At said election there may also be submitted the question of the issuance of bonds of the District in an amount that may be prayed for in the aforesaid petition or as determined by the Commissioners Court if said election is ordered on its own motion; and in the event the question of the issuance of bonds is submitted at said election, the ballots shall have printed thereon:

"FOR the issuance of bonds of the District in the amount of ______ and the levying of the tax in payment thereof; provided, however, that said tax together with the tax for maintenance and operation purposes shall never exceed Seventy-five Cents (75¢) on the One Hundred Dollars ($100.00) valuation of taxable property in the District; and

"AGAINST the issuance of bonds of the District in the amount of $______ and the levying of the tax in payment thereof; provided, however, that said tax together with the tax for maintenance and operation purposes shall never exceed Seventy-five Cents (75¢) on the One Hundred Dollars ($100.00) valuation of taxable property in the District."

Notice of such election shall be posted at the county courthouse door and at a public place in each Commissioner's Precinct in the county at least thirty (30) days prior to the date of the election and shall be published in a newspaper of general circulation published in the county, on the same day in each of three successive weeks, the date of the first publication to be not less than thirty (30) days prior to the date of the election.

If the proposition to create the Martin County Hospital District fails to carry at the election, no other election for the same purpose may be held within one year after the result of the election is announced officially.

[Sections 1056.004-1056.050 reserved for expansion]

SUBCHAPTER B.  DISTRICT ADMINISTRATION

Revised Law

Sec. 1056.051.  BOARD APPOINTMENT; TERM.  (a)  The board consists of six managers appointed by the Martin County Commissioners Court.

(b)  Managers serve staggered two-year terms, with three managers appointed each year.  (Acts 60th Leg., R.S., Ch. 674, Sec. 3 (part).)

Source Law

Sec. 3.  As soon as the Hospital District is created and authorized at the election hereinabove provided, the Commissioners Court shall appoint a Board of Hospital Managers, consisting of six (6) members, three of whom shall serve for a term of two (2) years and three of whom shall serve for a term of one (1) year; thereafter, three members shall be appointed each year to serve for a term of two (2) years… .

Revisor's Note

Section 3, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, prescribes the procedures for appointing the initial board.  The revised law omits the specific provision relating to the terms of the initial managers as executed but revises the establishment of a board consisting of six managers serving staggered two-year terms and, in so doing, establishes staggered two-year terms for the managers.

Revised Law

Sec. 1056.052.  BOARD VACANCY.  If a vacancy occurs in the office of manager, the remaining managers shall appoint a manager for the unexpired term.  (Acts 60th Leg., R.S., Ch. 674, Sec. 3 (part).)

Source Law

Sec. 3.  …  In the event a vacancy occurs on the Board of Hospital Managers, the remaining members shall appoint a member to fill such vacancy for the remainder of the term of office so vacated… .

Revised Law

Sec. 1056.053.  NONATTENDANCE.  The failure of a manager to attend three consecutive regular board meetings causes a vacancy in the manager's office unless the absence is excused by formal action of the board.  (Acts 60th Leg., R.S., Ch. 674, Sec. 3 (part).)

Source Law

Sec. 3.  … Failure of any member of the Board of Hospital Managers to attend three (3) consecutive regular meetings of the Board shall cause a vacancy in his office, unless such absence is excused by formal action of the Board. …

Revised Law

Sec. 1056.054.  OFFICERS.  (a)  The board shall select from among the managers a presiding officer, who shall preside over the board.

(b)  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.  (Acts 60th Leg., R.S., Ch. 674, Sec. 3 (part).)

Source Law

Sec. 3.  … From among its members, the Board shall choose a Chairman, who shall preside; or in his absence a Chairman Pro Tem shall preside; and the Administrator or any member of the Board may be appointed Secretary… .

Revisor's Note

Section 3, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, refers to a "Chairman" and a "Chairman Pro Tem."  Throughout this chapter, the revised law substitutes "presiding officer" and "presiding officer pro tem" for those terms because, in context, the terms have the same meaning and "presiding officer" is more commonly used and is gender-neutral.

Revised Law

Sec. 1056.055.  COMPENSATION; EXPENSES.  A manager serves without compensation but may be reimbursed for actual and necessary travel and other expenses incurred in the performance of the manager's duties as determined by the board.  (Acts 60th Leg., R.S., Ch. 674, Sec. 3 (part).)

Source Law

Sec. 3.  … The Board of Hospital Managers shall serve without compensation but may be reimbursed for their actual and necessary traveling and other expenses incurred in the performance of their duties as determined by the Board of Hospital Managers… .

Revised Law

Sec. 1056.056.  QUORUM.  A majority of the board present shall constitute a quorum for the transaction of business.  (Acts 60th Leg., R.S., Ch. 674, Sec. 3 (part).)

Source Law

Sec. 3.  …

A majority of the Board of Hospital Managers present shall constitute a quorum for the transaction of any business. …

Revised Law

Sec. 1056.057.  RECORDS OF PROCEEDINGS.  (a)  The board shall require the secretary to keep suitable records of all proceedings of each board meeting.

(b)  After each meeting:

(1)  the manager presiding at the meeting shall read and sign the record; and

(2)  the secretary shall attest the record.  (Acts 60th Leg., R.S., Ch. 674, Sec. 3 (part).)

Source Law

Sec. 3.  …  The Board shall require the Secretary to keep suitable records of all proceedings of each meeting of the Board.  Such records shall be read and signed after each meeting by the Chairman or the member presiding, and attested by the Secretary… .

Revised Law

Sec. 1056.058.  DISTRICT ADMINISTRATOR.  (a)  The board shall appoint a general manager qualified by training and experience as the district administrator.

(b)  The district administrator is entitled to receive the compensation determined by the board.

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

(d)  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.  (Acts 60th Leg., R.S., Ch. 674, Sec. 3 (part).)

Source Law

Sec. 3.  …

The Board shall appoint a general manager, to be known as the Administrator of the Hospital District, and who shall receive such compensation as may be fixed by the Board.  The Administrator shall be subject to removal at any time by the Board.  The Administrator shall, before entering into the discharge of his duties, execute a bond payable to the District, in the amount of not less than Ten Thousand Dollars ($10,000.00), conditioned that he shall well and faithfully perform the duties required of him, and containing such other conditions as the Board may require… .  He shall be a person qualified by training and experience for the position of Administrator.

Revised Law

Sec. 1056.059.  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.  (Acts 60th Leg., R.S., Ch. 674, Sec. 3 (part).)

Source Law

Sec. 3.  …  The Administrator shall perform all duties which may be required of him by the Board, and shall supervise all of the work and activities of the District, and have general direction of the affairs of the District, within such limitations as may be prescribed by the Board… .

Revised Law

Sec. 1056.060.  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. (Acts 60th Leg., R.S., Ch. 674, Sec. 5.)

Source Law

Sec. 5.  In the event of incapacity, absence or inability of the Administrator to discharge any of the duties required of him, the Board may designate an assistant to the Administrator to discharge any duties or functions required of the Administrator.  Such assistant or other persons shall give bond and have such limitations upon his authority as may be fixed by the order of the Board.

Revised Law

Sec. 1056.061.  LEGAL COUNSEL.  The board may employ legal counsel to represent the district in all legal matters when the board considers the employment advisable.  (Acts 60th Leg., R.S., Ch. 674, Sec. 10.)

Source Law

Sec. 10.  The Board of Hospital Managers shall be authorized to employ legal counsel to represent the Hospital District in all legal matters whenever the Board deems such action advisable.

Revised Law

Sec. 1056.062.  EMPLOYEES.  The board shall authorize the district administrator to employ any employees as considered advisable for the efficient operation of the hospital or hospital system.  (Acts 60th Leg., R.S., Ch. 674, Sec. 3 (part).)

Source Law

Sec. 3.  …

The Board of Hospital Managers shall give the authority to the Administrator to employ such employees of every kind and character as may be deemed advisable for the efficient operation of the hospital or hospital system.

Revised Law

Sec. 1056.063.  RETIREMENT PROGRAM.  The board may:

(1)  contract with this state or the federal government as necessary to establish or continue a retirement program for the benefit of district employees; or

(2)  establish other retirement programs for the benefit of district employees as it considers necessary and advisable.  (Acts 60th Leg., R.S., Ch. 674, Sec. 3 (part).)

Source Law

Sec. 3.  … Further, under the same conditions, the Board of Hospital Managers may enter into such contracts with the state and Federal Government as may be necessary to establish or continue a retirement program for the benefit of its employees.

The Board of Hospital Managers may in addition to retirement programs authorized by this Act establish such other retirement program for the benefit of its employees as it deems necessary and advisable.

Revisor's Note

Section 3, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, states that "under the same conditions," the board may enter into contracts with this state or the federal government to establish or continue a retirement program.  The revised law omits the quoted language because the act does not provide any such conditions.

Revised Law

Sec. 1056.064.  SEAL.  The board shall have a seal engraved with the district's name to authenticate the acts of the board.  The secretary of the board shall keep the seal.  (Acts 60th Leg., R.S., Ch. 674, Sec. 3 (part).)

Source Law

Sec. 3.  …  The Board shall have a seal, on which shall be engraved the name of the Hospital District; and said seal shall be kept by the Secretary and used in authentication of all acts of the Board.

[Sections 1056.065-1056.100 reserved for expansion]

SUBCHAPTER C.  POWERS AND DUTIES

Revised Law

Sec. 1056.101.  DISTRICT RESPONSIBILITY.  (a)  The district shall admit patients to the hospital who are:

(1)  district inhabitants; and

(2)  able to pay for medical and hospital care.

(b)  The district has full responsibility for providing medical and hospital care for:

(1)  eligible needy district inhabitants who are not able to pay all or a part of the cost of the care; and

(2)  eligible needy and indigent district residents.  (Acts 60th Leg., R.S., Ch. 674, Secs. 2 (part), 11 (part).)

Source Law

Sec. 2.  That said District hereby provided for shall admit patients to the hospital who are inhabitants of the District and who are able to pay for medical and hospital care and shall assume full responsibility for providing medical and hospital care for the eligible needy inhabitants of the district who are not able to pay all or a part of the cost of such medical and hospital care; … .

Sec. 11.  … such Hospital District shall be deemed to have assumed full responsibility for the furnishing of medical and hospital care for the eligible needy and indigent persons residing in said Hospital District from the date that taxes are collected for the Hospital District.

Revisor's Note

Sections 2 and 11, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, provide that the district "shall assume" or "shall be deemed to have assumed" full responsibility for providing medical and hospital care for certain district residents and inhabitants, and Section 11 provides that the district shall assume that responsibility "from the date that taxes are collected for the Hospital District."  The revised law substitutes "has" for "shall assume" and "shall be deemed to have assumed" because the duty to assume the responsibility is executed.  The revised law omits "from the date that taxes are collected for the Hospital District" as executed.

Revised Law

Sec. 1056.102.  RESTRICTION ON COUNTY OR MUNICIPALITY TAXATION.  Martin County or a municipality in the county may not impose a tax for hospital purposes.  (Acts 60th Leg., R.S., Ch. 674, Secs. 1 (part), 11 (part).)

Source Law

Sec. 1… . Martin County (hereinafter referred to as the "County"), and … .

Sec. 11.  Neither the county nor any city therein shall, after the Hospital District has been organized in pursuance of this Act, levy any tax for hospital purposes; and … .

Revisor's Note

(1)  Section 11, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, refers to a "city."  The revised law substitutes "municipality" for "city" because that is the term used in the Local Government Code.

(2)  Section 11, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, provides that "after the Hospital District has been organized in pursuance of this Act" certain political subdivisions may not levy a tax for hospital purposes.  The revised law omits the quoted language as executed.  In addition, throughout this chapter, the revised law substitutes "impose" for "levy" because, in context, the terms are synonymous and "impose" is more commonly used.

Revised Law

Sec. 1056.103.  MANAGEMENT, CONTROL, AND ADMINISTRATION.  The board shall manage, control, and administer the hospital or hospital system.  (Acts 60th Leg., R.S., Ch. 674, Sec. 3 (part).)

Source Law

Sec. 3.  … The duties of the Board of the Hospital Managers shall be to manage, control and administer the hospital or hospital system of the Hospital District… .

Revised Law

Sec. 1056.104.  RULES.  The board may adopt rules for the operation of the hospital or hospital system, including bylaws governing board proceedings.  (Acts 60th Leg., R.S., Ch. 674, Sec. 3 (part).)

Source Law

Sec. 3.  …  The Board of Hospital Managers shall have the power and authority … to promulgate rules and regulations for the operation of the hospital or hospital system, including the authority to adopt and amend bylaws governing the proceedings of the Board.

Revisor's Note

(1)  Section 3, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, provides that the board may "promulgate rules and regulations" for the district.  The revised law substitutes "adopt" for "promulgate" because the terms are synonymous and the former is more commonly used.  The revised law omits "regulations" because under Section 311.005(5), Government Code (Code Construction Act), a rule is defined to include a regulation.

(2)  Section 3, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, authorizes the board to "adopt and amend" bylaws governing board proceedings.  The revised law omits the provision authorizing the board to amend bylaws because the authority to adopt bylaws implies the authority to amend bylaws.

Revised Law

Sec. 1056.105.  PURCHASING AND ACCOUNTING PROCEDURES.  (a)  The board 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 district shall pay the salaries and expenses necessarily incurred by the board or by an officer or agent of the board in performing a duty prescribed or required by this section or Section 1056.152.

(c)  An officer, employee, or agent of the board shall perform any function or service prescribed by the board under this section or Section 1056.152.  (Acts 60th Leg., R.S., Ch. 674, Sec. 4 (part).)

Source Law

Sec. 4.  The Board of Hospital Managers shall have the power to prescribe the method and manner of making purchases and expenditures by and for such Hospital District and also shall be authorized to prescribe all accounting and control procedures… .  The Hospital District shall pay all salaries and expenses necessarily incurred by the Board or any of its officers and agents in performing any duties which may be prescribed or required under this Section.  It shall be the duty of any officer, employee or agent of the Board to perform and carry out any function or service prescribed by the Board hereunder.

Revised Law

Sec. 1056.106.  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 interest is necessary or convenient for the district to exercise a right, power, privilege, or function conferred on the district 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 a bond for the issuance of a temporary restraining order or a temporary injunction; or

(2)  provide a bond for costs or a supersedeas bond on an appeal or petition for review.  (Acts 60th Leg., R.S., Ch. 674, Sec. 7.)

Source Law

Sec. 7.  The Hospital District organized in pursuance of this Act shall have the right and power of eminent domain for the purpose of acquiring by condemnation any and all property of any kind of character, real, personal or mixed, or any interest therein, including outright ownership of such property in fee simple absolute, within the boundaries of the said district, necessary or convenient to the exercise of the rights, powers, privileges, and functions conferred upon it by this Act; in the manner provided by general law with respect to condemnation by counties; provided that the said District shall not be required to make deposits in the registry of the trial court of the sum required by paragraph numbered 2 in Article 3268, Revised Civil Statutes of Texas, 1925, or to make the bond required therein.  In condemnation proceedings being prosecuted by the said District, the District shall not be required to pay in advance or give any bond otherwise required for the issuance of a temporary restraining order or a temporary injunction relating to a condemnation proceeding, nor to give bond for costs or for supersedeas or any appeal or writ of error proceeding to any Court of Civil Appeals, or to the Supreme Court.

Revisor's Note

(1)  Section 7, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, provides that the district has the "right and power of eminent domain for the purpose of acquiring [property] by condemnation."  The revised law substitutes for the quoted language "may exercise the power of eminent domain to acquire [property]" because the phrases have the same meaning, and the latter phrase is consistent with modern usage in laws relating to eminent domain.

(2)  Section 7, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, provides that the district must exercise the power of eminent domain in the manner provided by "general law with respect to condemnation by counties."  The revised law substitutes for the quoted language a reference to Chapter 21, Property Code, because that is the general law governing eminent domain for governmental entities, including counties.

(3)  Section 7, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, refers to "paragraph numbered 2 in Article 3268, Revised Civil Statutes of Texas, 1925."  That statute was codified in 1983 as Section 21.021(a), Property Code.  The revised law is drafted accordingly.

(4)  Section 7, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, provides that the district is not required "to give bond for costs or for supersedeas or any appeal."  The revised law substitutes "on any appeal" for "or any appeal" because it is clear from the context that "or" is a typographical error and that the legislature intended to use the phrase "on any appeal."

(5)  Section 7, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, provides that the district is not required to provide a bond on an appeal or "writ of error proceeding" to "any Court of Civil Appeals, or to the Supreme Court."  The revised law substitutes "petition for review" for "writ of error" because, effective September 1, 1997, the Texas Supreme Court replaced the writ of error procedure with the petition for review procedure. See Rule 53.1, Rules of Appellate Procedure. The revised law omits the references to the court of civil appeals (now the court of appeals) and the supreme court.  The revised law omits the references because the courts of appeals and the supreme court are the only courts to which the district may appeal or with which the district may file a petition for review.

Revised Law

Sec. 1056.107.  GIFTS AND ENDOWMENTS.  The board may accept for the district a gift or endowment to be held in trust and administered by the board for the purposes and under the directions, limitations, or other provisions prescribed in writing by the donor that are not inconsistent with the proper management and objectives of the district.  (Acts 60th Leg., R.S., Ch. 674, Sec. 16.)

Source Law

Sec. 16.  The Board of Hospital Managers of the Hospital District is authorized on behalf of said Hospital District to accept donations, gifts, and endowments for the Hospital District, to be held in trust and administered by the Board of Hospital Managers for such purposes and under such directions, limitations, and provisions as may be prescribed in writing by donor, not inconsistent with proper management and objects of the Hospital District.

Revisor's Note

Section 16, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, refers to "donations" and "gifts."  The revised law omits the reference to "donations" because "donations" is included in the meaning of "gifts."

Revised Law

Sec. 1056.108.  CONTRACTS WITH GOVERNMENTAL ENTITIES FOR CARE AND TREATMENT.  The board may contract with:

(1)  any county for the care and treatment of a sick or injured person of that county; and

(2)  this state or a federal agency for the care and treatment of a sick or injured person for whom the state or agency is responsible.  (Acts 60th Leg., R.S., Ch. 674, Sec. 3 (part).)

Source Law

Sec. 3.  …

The Board of Hospital Managers shall be authorized to contract with any county for care and treatment of the county's sick, diseased and injured persons, and with the state and agencies of the Federal Government for the care and treatment of such persons for whom the state and such agencies of the Federal Government are responsible… .

Revisor's Note

Section 3, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, refers to the treatment of "sick, diseased and injured persons."  The revised law omits the reference to "diseased" because "diseased" is included in the meaning of "sick."

Revised Law

Sec. 1056.109.  PAYMENT FOR TREATMENT; PROCEDURES.  (a)  When a patient from Martin County is 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 cannot pay all or part of the costs of the care and treatment in the hospital, the amount of the costs that cannot be paid becomes a charge against the district.

(c)  If the district administrator determines that the patient or those relatives are liable for all or part of the costs of the patient's care and treatment, the patient or those relatives shall be ordered to pay to the district a specified amount each week for the patient's care.  The amount ordered must be proportionate to the person's financial ability and may not exceed the usual and customary charges for services rendered.

(d)  The district administrator may collect the amount from the estate of the patient, or the patient's relatives who are 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.

(e)  If there is a dispute as to the ability to pay, or doubt in the mind of the district administrator, the county court shall hold a hearing and, after calling witnesses, shall:

(1)  resolve the dispute or doubt; and

(2)  issue an appropriate order.

(f)  Either party to the dispute may appeal the order to the district court.  (Acts 60th Leg., R.S., Ch. 674, Sec. 12.)

Source Law

Sec. 12.  Whenever a patient has been admitted to the facilities of the Hospital District from the county, the Administrator shall cause inquiry to be made as to his circumstances, and of the relatives of such patient legally liable for his support.  If he finds that such patient or said relatives are liable to pay for his care and treatment in whole or part, an order shall be made directing such patient, or said relatives, to pay to the Hospital District for the care of such patient a specified sum per week, in proportion to their financial ability, but such sum shall not exceed the usual and customary charges for services rendered.  The Administrator shall have power and authority to collect such sum from the estate of the patient, or his relatives legally liable for his support, in the manner provided by law for the collection of expenses of the last illness of a deceased person.  If the Administrator finds that such patient or said relatives are not able to pay, either in whole or in part, for his care and treatment in such hospital, the same shall become a charge upon the Hospital District.  Should there be a dispute as to the ability to pay, or doubt in the mind of the Administrator, the County Court shall hear and determine same, after calling witnesses, and shall make such order as may be proper, from which appeal shall lie to the District Court by either party to the dispute.

Revised Law

Sec. 1056.110.  AUTHORITY TO SUE AND BE SUED.  The board may sue and be sued.  (Acts 60th Leg., R.S., Ch. 674, Sec. 3 (part).)

Source Law

Sec. 3.  … [The Board of Hospital Managers shall have the power and authority] to sue and be sued and … .

Revisor's Note

(End of Subchapter)

Section 9, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, provides authority for the "State Board of Health" to inspect hospital district facilities and records.  The revised law omits Section 9 because various state laws, including Chapters 222 and 241, Health and Safety Code, provide the necessary inspection authority to appropriate state agencies.  The omitted law reads:

Sec. 9.  The Hospital District established or maintained under the provisions of this Act shall be subject to inspection by any duly authorized representative of the State Board of Health, and resident officers shall admit such representatives into all Hospital District facilities and give them access on demand to all records, reports, books, papers, and accounts pertaining to the Hospital District.

[Sections 1056.111-1056.150 reserved for expansion]

SUBCHAPTER D.  GENERAL FINANCIAL PROVISIONS

Revised Law

Sec. 1056.151.  BUDGET.  (a)  The district administrator, under the direction of the board, shall prepare an annual budget.

(b)  The budget must be approved by the board.  (Acts 60th Leg., R.S., Ch. 674, Sec. 6 (part).)

Source Law

Sec. 6.  … Under the direction of the Board of Hospital Managers, he [the administrator] shall prepare an annual budget which shall be approved by the Board of Hospital Managers.

Revised Law

Sec. 1056.152.  ANNUAL AUDIT.  As soon as practicable after the close of each fiscal year, the board shall have an audit made of the district's books and records for the fiscal year by an independent public accountant.  (Acts 60th Leg., R.S., Ch. 674, Sec. 4 (part).)

Source Law

Sec. 4.  … The Board shall cause an annual audit to be made of the books and records of the District as soon as practicable after the close of each fiscal year, such audit to cover such fiscal year, and to be made by an independent public accountant… .

Revised Law

Sec. 1056.153.  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; and

(2)  the Martin County Commissioners Court.  (Acts 60th Leg., R.S., Ch. 674, Sec. 6 (part).)

Source Law

Sec. 6.  Once each year, as soon as practicable after the close of the fiscal year, the Administrator of the Hospital District shall report to the Board of Hospital Managers and the Commissioners Court, a full sworn statement of all moneys and choses in action received by such Administrator and how disbursed or otherwise disposed of.  Such report shall show in detail the operations of the District for the year… .

Revised Law

Sec. 1056.154.  DEPOSITORY.  (a)  Every two years, the board shall select one or more depositories for the district in the manner provided for securing county funds.

(b)  All income received by the district shall be deposited with a district depository.  (Acts 60th Leg., R.S., Ch. 674, Secs. 8, 13 (part).)

Source Law

Sec. 8.  Within thirty (30) days after the appointment of the Board of Hospital Managers of the District and each two years thereafter the Board shall select a depository or depositories for such District in the manner now provided for the security of county funds.

Sec. 13.  … All other income of the Hospital District shall be deposited in like manner with the District depository or depositories.

Revisor's Note

Section 8, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, requires the board to select a depository or depositories "[w]ithin thirty (30) days after the appointment of the Board of Hospital Managers of the District."  The revised law omits the quoted language as executed.

[Sections 1056.155-1056.200 reserved for expansion]

SUBCHAPTER E.  BONDS

Revised Law

Sec. 1056.201.  BONDS.  The board may issue and sell bonds as district obligations for any purpose relating to:

(1)  the purchase, construction, acquisition, repair, or renovation of buildings or improvements; and

(2)  equipping buildings and improvements for hospital purposes.  (Acts 60th Leg., R.S., Ch. 674, Sec. 14 (part).)

Source Law

Sec. 14.  The Board of Hospital Managers shall have the power and authority to issue and sell, as the obligations of such Hospital District, bonds for the purchase, construction, acquisition, repair or renovation of buildings and improvements and equipping same, for hospital purposes and for any or all of such purposes; … .

Revised Law

Sec. 1056.202.  TAX TO PAY BONDS.  (a)  An ad valorem tax shall be imposed at a rate sufficient to create an interest and sinking fund to pay the principal of and interest on bonds issued under Section 1056.201 as the bonds mature.

(b)  The tax required by this section together with any other ad valorem tax imposed for the district may not in any year exceed 75 cents on each $100 valuation of taxable property in the district.  (Acts 60th Leg., R.S., Ch. 674, Sec. 14 (part).)

Source Law

Sec. 14.  … provided that a sufficient tax shall be levied to create an interest and sinking fund to pay the interest and principal as same matures and that said tax, together with any other taxes levied for said District, shall not exceed Seventy-five Cents (75¢) on the One Hundred Dollars ($100.00) valuation of taxable property in any one year… .

Revisor's Note

Section 14, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, requires the levy of a tax to pay the principal of and interest on bonds.  The revised law specifies that the tax is an "ad valorem" tax because it is clear from the source law that the tax is a property tax and "ad valorem" is the term most commonly used to refer to a property tax.

Revised Law

Sec. 1056.203.  BOND ELECTION.  (a)  The district may issue bonds only if the bonds are authorized by a majority of the district voters voting at an election held in accordance with the provisions of Chapter 1251, Government Code, relating to county bonds.

(b)  The board shall call the election.  (Acts 60th Leg., R.S., Ch. 674, Sec. 14 (part).)

Source Law

Sec. 14.  … No bonds shall be issued by such Hospital District … until authorized by a majority vote of the legally qualified property taxpaying voters residing in such Hospital District voting at an election called and held in accordance with the provisions of Chapter 1, Title 22, of the Revised Civil Statutes of the State of Texas (1925), as amended, relating to county bonds.  Such election shall be called by the Board of Hospital Managers, and … .

Revisor's Note

(1)  Section 14, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, refers to the "legally qualified" voters of the district.  The revised law omits the quoted language as unnecessary in this context because Chapter 11, Election Code, governs eligibility to vote in an election in this state and allows only "legally qualified" voters who are residents of the territory covered by the election to vote in an election.

(2)  Section 14, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, refers to "property taxpaying" voters.  The revised law omits the quoted language because in Hill v. Stone, 421 U.S. 289, 95 S. Ct. 1637 (1975), the United States Supreme Court determined that property ownership as a qualification for voting is an unconstitutional denial of equal protection.

(3)  Section 14, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, refers to an election held as provided by "Chapter 1, Title 22, of the Revised Civil Statutes of the State of Texas (1925), as amended."  The election provisions of Chapter 1, Title 22, Revised Statutes, are revised as Chapter 1251, Government Code, and the revised law is drafted accordingly. The revised law omits the reference to "as amended" because under Section 311.027, Government Code (Code Construction Act), a reference to a statute applies to all reenactments, revisions, or amendments of that statute unless expressly provided otherwise.

(4)  Section 14, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, requires the board to designate polling places for a bond election and name the persons conducting the election.  The revised law omits the provision as superseded by the 1985 enactment of the Election Code, applicable to the district under Section 1.002, Election Code. Chapter 43, Election Code, governs the location of polling places, and Chapter 32, Election Code, governs the selection of judges and clerks.  The omitted law reads:

Sec. 14.  … such Board shall designate the places for holding said election and shall name the persons who shall conduct said election, in the manner provided by general law… .

(5)  Section 14, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, provides that a bond election held at the election to create the district  must be held as provided by Section 2.  As explained in the revisor's note to the end of Subchapter A, the relevant provisions of Section 2, Chapter 674, are executed.  The revised law therefore omits the provision.  The omitted law reads:

Sec. 14.  … In the event the initial bonds are voted at an election called by the Commissioners Court at the time of the election for the creation of the District, such initial election shall be governed by the provisions of Section 2 hereof.

Revised Law

Sec. 1056.204.  REFUNDING BONDS.  (a)  Refunding bonds may be issued without an election and in the manner provided by this subchapter to refund outstanding bonds issued or assumed by the district.

(b)  A refunding bond may be:

(1)  sold, with the proceeds of the refunding bond applied to the payment of the outstanding bonds; or

(2)  exchanged wholly or partly for not less than a similar amount of outstanding bonds and the matured but unpaid interest on the bonds.  (Acts 60th Leg., R.S., Ch. 674, Sec. 14 (part).)

Source Law

Sec. 14.  … [No bonds shall be issued by such Hospital District] (except refunding bonds) … .

In the manner hereinabove provided, the bonds of such Hospital District may, without the necessity of any election therefor, be issued for the purpose of refunding or paying off any bonded indebtedness theretofore assumed by the Hospital District and any bonds theretofore issued by the Hospital District; such refunding bonds may be sold and the proceeds thereof applied to the payment of any such outstanding bonds or may be exchanged in whole or in part for not less than a like amount of said outstanding bonds and interest matured thereon, but unpaid; … .

Revisor's Note

Section 14, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, provides that refunding bonds may not bear interest at a rate that, when calculated in accordance with recognized standard bond interest cost tables, exceeds the average annual interest cost of the bonds to be refunded unless the total interest cost on the refunding bonds is less than the total interest cost on the bonds to be refunded.  Section 14 also provides that any premium required to be paid on the bonds to be refunded before the bonds' maturity date is to be used in computing the total interest cost of the refunding bonds.  The revised law omits that provision as impliedly repealed by Section 2(a), Chapter 3, Acts of the 61st Legislature, Regular Session, 1969 (Article 717k-2, Vernon's Texas Civil Statutes), which was revised in 1999 as Section 1204.006(a), Government Code.  Section 1204.006(a), Government Code, permits a public agency to issue bonds at a net effective interest rate not to exceed 15 percent.  Section 1204.006(a) applies to district bonds by application of Section 1204.001, Government Code.  The omitted law reads:

Sec. 14.  … provided the average interest cost per annum on the refunding bonds, computed in accordance with the recognized standard bond interest cost tables, shall not exceed the average interest cost per annum so computed upon the bonds to be discharged out of the proceeds of the refunding bonds, unless the total interest cost on the refunding bonds, computed to their respective maturity dates, is less than the total interest cost so computed on the bonds to be discharged out of such proceeds.  In the foregoing computations, any premium or premiums required to be paid upon the bonds to be refunded as a condition to the payment in advance of their stated maturity dates shall be taken into account as an addition to the net interest cost to the Hospital District of the refunding bonds.

Revised Law

Sec. 1056.205.  EXECUTION OF BONDS.  (a)  The board's presiding officer shall execute district bonds in the district's name.

(b)  The board secretary shall countersign the bonds.  (Acts 60th Leg., R.S., Ch. 674, Sec. 14 (part).)

Source Law

Sec. 14.  … Such bonds shall be executed in the name of the Hospital District and on its behalf by the Chairman of the Board of Hospital Managers, and countersigned by the Secretary of the Board, and … .

Revisor's Note

Section 14, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, provides that district bonds are subject to the law governing counties that relates to bond approval by the attorney general and registration of the bonds by the comptroller.  The revised law omits those provisions as superseded by Chapter 1202, Government Code (enacted as Article 3, Chapter 53, Acts of the 70th Legislature, 2nd Called Session, 1987).  Section 1202.003(a), Government Code, requires bonds to be submitted to the attorney general.  Section 1202.003(b), Government Code, provides for approval of the bonds by the attorney general and requires the attorney general to submit the approved bonds to the comptroller for registration.  Section 1202.005, Government Code, requires registration of the bonds by the comptroller.  Chapter 1202, Government Code, applies to district bonds by application of Section 1202.001, Government Code.  The omitted law reads:

Sec. 14.  … [Such bonds] … shall be subject to the same requirements in the manner of approval thereof by the Attorney General of the State of Texas and registration thereof by the Comptroller of Public Accounts of the State of Texas as are by law provided for such approval and registration of bonds of the county; and the approval of such bonds by the Attorney General shall have the same force and effect as is by law given to his approval of bonds of the county… .

Revisor's Note

(End of Subchapter)

(1)  Section 17, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, provides that district bonds are authorized investments for certain entities.  The revised law omits the provision as unnecessary.  As to several of the entities listed, Section 17 has been superseded and impliedly repealed.  Investments in securities by banks are regulated by Section 34.101, Finance Code (enacted in 1995 as Section 5.101, Texas Banking Act (Article 342-5.101, Vernon's Texas Civil Statutes)).  Investments in securities by savings banks are regulated by Section 93.001(c)(10), Finance Code (enacted in 1993 as Section 7.15(10), Texas Savings Bank Act (Article 489e, Vernon's Texas Civil Statutes)).  Investments in securities by trust companies are regulated by Section 184.101, Finance Code (enacted in 1997 as Section 5.101, Texas Trust Company Act (Article 342a-5.101, Vernon's Texas Civil Statutes)).  Investments in securities by building and loan associations (now called savings and loan associations) are regulated by Sections 63.002 and 64.001, Finance Code.  As to the remaining entities listed, Section 17 is superseded by Section 1201.041, Government Code, enacted as Section 9, Bond Procedures Act of 1981 (Article 717k-6, Vernon's Texas Civil Statutes).  Section 1201.041, Government Code, applies to district bonds by application of Section 1201.002, Government Code.  The omitted law reads:

Sec. 17.  All bonds (including refunding bonds) issued by or assumed by the District authorized to be established and created under the provisions of this Act shall be and are declared to be legal and authorized investments for banks, savings banks, trust companies, fiduciaries, building and loan associations, insurance companies, trustees, and for sinking funds of cities, towns, villages, counties, school districts, or other political corporations or subdivisions of the State of Texas; and … .

(2)  Section 17, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, provides that district bonds may secure certain deposits.  Although Section 17 does not specifically mention the deposits the bonds are eligible to secure, the only deposits they could secure would be deposits of public funds of this state or political subdivisions of this state.  As such, the revised law omits the provisions as impliedly repealed by Section 404.0221, Government Code (enacted in 1995), which lists eligible collateral for deposits of state funds by the comptroller, and by Chapter 2257, Government Code (enacted in 1989 as Article 2529d, Vernon's Texas Civil Statutes), which governs eligible collateral for deposits of funds of other public agencies, including political subdivisions.  The omitted law reads:

Sec. 17.  … such bonds shall be lawful and sufficient security for deposits to the extent of their face value when accompanied by all unmatured coupons appurtenant thereto.

[Sections 1056.206-1056.250 reserved for expansion]

SUBCHAPTER F.  TAXES

Revised Law

Sec. 1056.251.  IMPOSITION OF AD VALOREM TAX.  (a)  The board shall impose a tax on all property in the district subject to district taxation.

(b)  The board shall impose the tax 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)  make improvements and additions to the hospital system and acquire necessary sites for improvements and additions by purchase, lease, or condemnation.  (Acts 60th Leg., R.S., Ch. 674, Sec. 13 (part).)

Source Law

Sec. 13.  The Board of Hospital Managers shall have the power and authority, and it shall be its duty, to levy on all property subject to Hospital District taxation, a tax … of all taxable property within the Hospital District for the purpose of (1) paying the interest on and creating a sinking fund for bonds which may have been assumed or which may be issued by the Hospital District for hospital purposes as herein provided; (2) providing for the operation and maintenance of the hospital or hospital system; and (3) making further improvements and additions to the hospital system and acquiring necessary sites therefor, by purchase, lease or condemnation.

Revised Law

Sec. 1056.252.  TAX RATE.  The board shall impose the tax at a rate not to exceed 75 cents on each $100 valuation of taxable property in the district.  (Acts 60th Leg., R.S., Ch. 674, Sec. 13 (part).)

Source Law

Sec. 13.  [The Board … shall have the power and authority, and it shall be its duty, to levy … a tax] of not to exceed Seventy-five Cents (75¢) on the One Hundred Dollars ($100.00) valuation of all taxable property within the Hospital District … .

Revised Law

Sec. 1056.253.  TAX ASSESSOR-COLLECTOR.  (a)  Except as provided by Subsection (b), the Martin County tax assessor-collector shall collect the taxes imposed on all property subject to district taxation.

(b)  The district may appoint its own tax assessor-collector.  (Acts 60th Leg., R.S., Ch. 674, Sec. 13 (part).)

Source Law

Sec. 13.  …

The tax so levied shall be collected on all property subject to Hospital District taxation by the Assessor and Collector for the county … provided, however, that the Hospital District may appoint its own Assessor and Collector of Taxes and … .

Revisor's Note

(1)  Section 13, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, refers to the levy of district taxes on county values at the time and under the conditions that county taxes are levied.  The revised law omits those provisions because they were repealed by Section 6(b), Chapter 841, Acts of the 66th Legislature, Regular Session, 1979, which repealed all "general, local, and special laws" that conflicted with that act.  The 1979 act enacted the Property Tax Code (Title 1, Tax Code), a comprehensive, substantive codification of property tax law.  Title 1, Tax Code, provides the exclusive procedures for the appraisal of property for taxation by a taxing unit, including a hospital district.  The omitted law reads:

Sec. 13.  … [The tax so levied shall be collected] … on the county values, and in the same manner, and under the same conditions, as county taxes; … .

(2)  Section 13, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, provides that the district may assess and collect taxes as provided by general law for independent school districts.  The revised law omits that provision as unnecessary. The general law relating to the assessment and collection of all ad valorem taxes is Title 1, Tax Code. Section 1.02, Tax Code, requires all taxing units of government to administer the assessment and collection of taxes in conformity with that title.  The omitted law reads:

Sec. 13.  … [the Hospital District may appoint its own Assessor and Collector of Taxes and] may assess and collect taxes in the same manner as now provided by general law for independent school districts. …

(3)  Section 13, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, provides that the county tax assessor-collector may charge a fee for the assessment and collection of district taxes.  The revised law omits that provision because it was repealed by Section 6(b), Chapter 841, Acts of the 66th Legislature, Regular Session, 1979.  See Revisor's Note (1).  Section 6.27(b), Tax Code,  provides for the compensation of a county tax assessor-collector assessing and collecting taxes for another taxing unit.  The omitted law reads:

Sec. 13.  … When the County Assessor and Collector of Taxes is serving as Assessor and Collector for the Hospital District, he shall charge and deduct from payments to the Hospital District the fees for assessing and collecting the tax at the rate of one and one-half per cent (1-1/2%) of the amounts collected.  Such fees shall be deposited in the County's General Fund, and shall be reported as fees of office of the Tax Assessor and Collector.

(4)  Section 13, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, requires the tax assessor-collector to execute a bond in an amount prescribed by the board. The revised law omits the provision because it was repealed by Section 6(b), Chapter 841, Acts of the 66th Legislature, Regular Session, 1979.  See Revisor's Note (1).  As to the county tax assessor-collector, Section 6.29(b), Tax Code, authorizes a taxing unit for which the county tax assessor-collector collects a tax to require that collector to post an additional bond.  As to a tax assessor-collector appointed by the district, Section 6.29(a), Tax Code, authorizes the governing body of a taxing unit, including a hospital district, to require the unit's tax assessor-collector to post bond without limiting the amount.  The omitted law reads:

Sec. 13.  …

The Assessor and Collector of Taxes shall execute a bond payable to the Hospital District in an amount prescribed by the Board of Hospital Managers, which shall be not less than the maximum amount of money which will be held by such Assessor and Collector of Taxes at any one time. …

(5)  Section 13, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, requires the tax assessor-collector to file a report each month showing the tax collection amount and other tax revenue for the previous month and deposit that amount in the district depository.  The revised law omits the provision because it was repealed by Section 6(b), Chapter 841, Acts of the 66th Legislature, Regular Session, 1979.  See Revisor's Note (1). Section 31.10, Tax Code, provides for monthly reports by a tax assessor-collector of a taxing unit and requires the tax assessor-collector of a taxing unit to deposit taxes collected in the unit's depository.  The omitted law reads:

Sec. 13.  … A report shall be filed with the Board of Hospital Managers on the first day of each month by the Assessor and Collector of Taxes showing the amount of taxes collected during the previous month and the amount so collected shall be deposited by the Assessor and Collector of Taxes in the District's depository or depositories to the credit of the Hospital District.

… The residue of tax collections, after deduction of discounts and fees for assessing and collecting, shall be deposited in the District depository or depositories; and such funds shall be withdrawn only as provided herein.  …

(6)  Section 13, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, provides that interest and penalties on district taxes and discounts are the same as for county taxes.  The revised law omits that provision because it was repealed by Section 6(b), Chapter 841, Acts of the 66th Legislature, Regular Session, 1979.  See Revisor's Note (1).  Chapter 33, Tax Code, provides for the assessment of penalties and interest on delinquent taxes, and Section 31.05, Tax Code, provides for discounts on the early payment of taxes.  The omitted law reads:

Sec. 13.  …

Interest and penalties on taxes paid to the Hospital District shall be the same as in the case of county taxes.  Discounts shall be the same as for county taxes. …

Revisor's Note

(End of Subchapter)

Section 13, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, provides that the board may impose taxes for the entire year in which the district is established.  The revised law omits that provision as executed.  The omitted law reads:

Sec. 13.  …

The Board of Hospital Managers shall have the authority to levy the tax aforesaid for the entire year in which the said Hospital District is established for the purpose of securing funds to initiate the operation of the Hospital District, and to pay the principal of and interest on all bonds issued or assumed by the District.

Revisor's Note

(End of Chapter)

(1)  Section 11, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967,  provides that the delinquent taxes owed to Martin County for the county hospital system shall be paid to the district.  Section 33.02, Tax Code, provides that a person may pay delinquent taxes over a 36-month period.  Section 33.05, Tax Code, prohibits a taxing unit from filing a suit to collect a tax on real property that has been delinquent more than 20 years. Therefore, the revised law omits the provision as executed.  The omitted law reads:

Sec. 11.  …

That portion of delinquent taxes owed the county on levies for present county hospital system shall continue to be paid to the Hospital District by the county as collected and shall be applied by the Hospital District to the purposes for which such taxes originally were levied.

(2)  Section 15, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, provides for the transfer of certain land, buildings, equipment, and funds to the district after the district is created and provides for the assumption of debt by the district on creation.  The revised law omits the provisions as executed.  The omitted law reads:

Sec. 15.  Any lands, buildings or equipment that may be owned by the county, and by which medical services or hospital care, including geriatric care, are furnished to the indigent or needy persons of the county, shall become the property of the Hospital District; and title thereto shall vest in the Hospital District; and any funds of the county which are the proceeds of any bonds assumed by the District, as hereby provided, shall become the Hospital District; and title thereto shall vest in the Hospital District; and there shall vest in the Hospital District and become the funds of the Hospital District the unspent portions of any funds theretofore set up or appropriated by budget or otherwise by the county for the support and maintenance of the hospital facilities for the year within which the Hospital District comes into existence, thereby providing such Hospital District with funds with which to maintain and operate such facilities for the remainder of such year.  All obligations under contract legally incurred by the county for the building of, or the support and maintenance of, hospital facilities, prior to the creation of the said District but outstanding at the time of the creation of the District, shall be assumed and discharged by it without prejudice to the rights of third parties, provided that the management and control of the property and affairs of the present hospital system shall continue in the Board of Managers of the present hospital system until appointment and organization of the Board of Hospital Managers of the Hospital District, at which time the Board of Managers of the present hospital system shall turn over all records, property and affairs of said hospital system to the Board of Hospital Managers of the Hospital District.

Any outstanding bonded indebtedness incurred by the county in the acquisition of such lands, buildings, and equipment, or in the construction and equipping of such hospital facilities, together with any other outstanding bonds issued by the county for hospital purposes, and the proceeds of which are in whole or in part still unspent, shall be assumed by the Hospital District and become the obligation of the Hospital District; and the county shall be by the Hospital District relieved of any further liability for the payment thereof, or for providing interest and sinking fund requirements thereon; provided that nothing herein contained shall limit or affect any of the rights of any of the holders of such bonds against the payment of the principal or interest on any of such bonds in accordance with their respective terms.

The Commissioners Court, as soon as the Hospital District is created and authorized at the election hereinabove provided, and there have been appointed and qualified to the Board of Hospital Managers hereinabove provided for, shall execute and deliver to the Hospital District, to wit:  to its said Board of Hospital Managers, an instrument in writing conveying to said Hospital District the hospital property, including lands, buildings, and equipment; and shall transfer to said Hospital District the funds hereinabove provided to become vested in the Hospital District, upon being furnished the certificate of the Chairman of the Board to the fact that a depository for the District's funds has been selected and has qualified; which funds shall, in the hands of the Hospital District and of its Board of Hospital Managers, be used for all or any of the same purposes as, and for no other purposes than, the purposes for which the county could lawfully have used the same had they remained the property and funds of such county.

(3)  Section 18, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, provides that public notice of enactment of the statute was provided in a manner that satisfies the requirements of the Texas Constitution.  The revised law omits that section as executed.  The omitted law reads:

Sec. 18.  The Legislature hereby finds affirmatively that thirty (30) days public notice was duly given in accordance with the provisions of Article IX, Section 9, of the Constitution of the State of Texas, of the intention to apply to this Legislature to enact a law providing for the creation, establishment, maintenance and operation of the Hospital District herein provided for.

(4)  Section 19, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, provides that the act is severable.  The revised law omits that provision because it duplicates Section 311.032, Government Code (Code Construction Act), which provides that a provision of a statute is severable from each other provision of the statute that can be given effect.  The omitted law reads:

Sec. 19.  If any word, phrase, sentence, Section, portion or provision of this Act or the application thereof to any person or circumstance shall be held to be invalid or unconstitutional, the remainder of this Act, and the application of such word, phrase, sentence, Section, portion or provision to other persons or circumstances, shall not be affected thereby. …

(5)  Section 19, Chapter 674, Acts of the 60th Legislature, Regular Session, 1967, provides that if there is a conflict between the act and general laws of this state, the act controls.  The revised law omits that provision because, under general rules of statutory construction, a statute automatically has the effect of repealing prior conflicting enactments and is ineffective to repeal subsequent legislation.  Furthermore, Section 311.026, Government Code (Code Construction Act), provides that if there is a conflict between a general provision of law and a special provision, the special provision prevails unless the general provision is the later enactment and the manifest intent is that the general provision prevail.  The omitted law reads:

Sec. 19.  … In the event any of the provisions hereof shall be in conflict with any other law of this state, the provisions of this Act shall prevail.

TLC: Special District Local Laws Code Proposed Chapters

This web page is published by the Texas Legislative Council and was last updated January 6, 2009.