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Legislative Year: 2023 Change

Bill Detail: SB23-068

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Title Operations Of County Public Hospitals
Status Governor Signed (04/03/2023)
Bill Subjects
  • Local Government
House Sponsors R. Pugliese (R)
M. Lukens (D)
Senate Sponsors T. Exum Sr. (D)
R. Pelton (R)
House Committee Transportation, Housing and Local Government
Senate Committee Local Government and Housing
Date Introduced 01/27/2023

Current law allows the residents of any county to present their
board of county commissioners with a petition asking that a public
hospital board of trustees (hospital board) be appointed and that an annual
tax be levied for the establishment and maintenance of a public hospital
in the county. The board of county commissioners may create, by
resolution, a hospital board to levy the tax and may appropriate money to
the hospital board for purchasing or building a hospital and for
maintaining the hospital. The bill makes the following changes regarding
hospital boards:
  • Currently, if a hospital board acquires real property, title to
the real property must be in the name of the county. The
bill authorizes real property to be in the name of either the
county or the hospital.
  • A hospital board has the authority to borrow money and
incur indebtedness. The bill clarifies that any indebtedness
incurred by a hospital board is an obligation of the hospital
board and not an obligation of the board of county
  • Currently, a hospital board must have the approval of the
board of county commissioners before incurring
indebtedness. The bill specifies that a hospital board needs
the approval of the board of county commissioners before
incurring indebtedness only if the repayment of the
indebtedness is dependent on tax money received for
hospital purposes from the board of county commissioners.
  • The bill allows a hospital board to offer to the general
public products and services of any health care
organization, association, partnership, or corporation to the
extent that the products and services are consistent with the
powers and duties of a county public hospital; and
  • Each year, the board of county commissioners may
appropriate not more than 5% of its general fund for the
improvement or enlargement of any public hospital
established in the county. The bill removes the annual 5%
limit on appropriations from a county's general fund and
also allows such money to be used for the operation of a
public hospital.

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