Bill Text: TX HB2573 | 2023-2024 | 88th Legislature | Introduced
Bill Title: Relating to liability of certain municipal hospital authorities under a contract for the sale of a hospital.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2023-04-05 - Left pending in committee [HB2573 Detail]
Download: Texas-2023-HB2573-Introduced.html
88R9515 MZM-F | ||
By: Stucky | H.B. No. 2573 |
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relating to liability of certain municipal hospital authorities | ||
under a contract for the sale of a hospital. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Subchapter C, Chapter 262, Health and Safety | ||
Code, is amended by adding Section 262.0335 to read as follows: | ||
Sec. 262.0335. LIABILITY OF CERTAIN MUNICIPAL HOSPITAL | ||
AUTHORITIES UNDER CONTRACT FOR SALE OF HOSPITAL. (a) This section | ||
applies only to a municipal hospital authority wholly located in a | ||
county with a population of less than 70,000. | ||
(b) A municipal hospital authority that enters into a | ||
contract to sell a hospital owned by the authority waives | ||
governmental immunity to suit for the purpose of adjudicating a | ||
claim for breach of the contract. | ||
(c) For a breach of contract claim described by Subsection | ||
(b), a claimant may not be awarded: | ||
(1) a total amount that exceeds the amount due and owed | ||
by the municipal hospital authority under the contract; or | ||
(2) consequential or exemplary damages. | ||
(d) A municipal hospital authority that enters into a | ||
contract to sell a hospital owned by the authority may indemnify the | ||
purchaser of the hospital according to the terms of the contract. | ||
SECTION 2. The change in law made by this Act applies only | ||
to a contract entered into on or after the effective date of this | ||
Act. | ||
SECTION 3. This Act takes effect September 1, 2023. |