Texas Special District Local Laws Code

§ 1046.118 — LEASES

SD § 1046.118Title 3. HEALTH · Part A. HOSPITAL DISTRICTS · Ch. 1046. JACKSON COUNTY HOSPITAL DISTRICT · Art. C. POWERS AND DUTIES

Statute text

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(a)The board may lease all or part of the facilities comprising the hospitals or hospital system on terms the board considers to be in the district's best interest.

(b)When leasing a facility, the board may delegate as it considers appropriate the board's power to manage, control, and administer the leased facilities to furnish hospital and medical care.

(c)For each leased facility, the lease must require the lessee to charge rates for services rendered or goods provided at the leased premises that, together with other sources of the lessee's revenue, produce an amount sufficient to enable the lessee to pay the expenses of operating and maintaining the leased premises required of the lessee under the lease. The lease must also require the lessee to pay lease rentals to the district that will be sufficient when taken with any other sources of the district's estimated revenue that are pledged for the same purposes to:

(1)pay the interest on any revenue or special obligation bonds that are payable wholly or partly from the lease rentals;

(2)create and maintain a sinking fund to pay the principal of and premium, if any, on the bonds as they become due;

(3)create and maintain a bond reserve fund and any other fund provided for in the bond order, resolution, or trust indenture authorizing the issuance of the bonds; and

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Legislative history

Added by Acts 2007, 80th Leg., R.S., Ch. 920 (H.B. 3166), Sec. 1.02, eff. April 1, 2009.