sb353_Committee_sub_LC_33_2357S

sb353_Committee_sub_LC_33_2357S_4.html

08 LC 33 2357S

The Senate Government Oversight Committee offered the following substitute to SB 353:

A BILL TO BE ENTITLED
AN ACT

To amend Article 4 of Chapter 7 of Title 31 of the Official Code of Georgia Annotated, relating to county and municipal hospital authorities, so as to enact the "Public Hospital Integrity Act"; to provide for a short title; to provide definitions; to provide that certain individuals shall not serve on a hospital authority board or a nonprofit organization managing a hospital on behalf of a hospital authority; to provide for related matters; to repeal conflicting laws; and for other purposes.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:

SECTION 1.

This Act shall be known and may be referred to as the "Public Hospital Integrity Act."

SECTION 2.

Article 4 of Chapter 7 of Title 31 of the Official Code of Georgia Annotated, relating to county and municipal hospital authorities, is amended by adding a new Code section to read as follows:

"31-7-75.4.

(a) As used in this Code section, the term:

(1) 'Governing capacity' means service as a member of a hospital authority or a director of a nonprofit hospital management corporation.

(2) 'Immediate family member' means spouse, parent, sibling, or child.

(3) 'Major vendor of the public hospital' means any person or entity which receives more than $50,000.00 per year in payments from the public hospital other than for public utilities.

(4) 'Nonprofit hospital management corporation' means a nonprofit corporation qualified as exempt from federal income taxation under Section 501(c)(3) of the Internal Revenue Code created to manage a public hospital under contract with a hospital authority pursuant to Code Section 31-7-74.3 or other applicable laws.

(5) 'Public hospital' means a hospital organized under this article by a resolution or ordinance of the governing bodies of two or more counties which receives more than 80 percent of its combined revenues from federal, state, and local government.

(b) No individual shall be eligible to serve in a governing capacity of a public hospital if that individual or any immediate family member of such individual is an employee or contractor of the public hospital or an employee, director, or contractor of a major vendor of the public hospital.

(1) Any conflict of interest provisions applicable to members of hospital authorities contained in this article;

(2) Any conflict of interest provisions applicable to directors of nonprofit corporations contained in Chapter 3 of Title 14, the 'Georgia Nonprofit Corporation Code'; and

(3) Any other conflict of interest provisions adopted by the hospital authority or nonprofit hospital management corporation."

SECTION 3.

All laws and parts of laws in conflict with this Act are repealed.