Bill Text: TX SB1097 | 2023-2024 | 88th Legislature | Enrolled
Bill Title: Relating to liability of certain municipal hospital authorities under a contract for the sale of a hospital.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Passed) 2023-05-23 - Effective immediately [SB1097 Detail]
Download: Texas-2023-SB1097-Enrolled.html
| S.B. No. 1097 | ||
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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 immediately if it receives | ||
| a vote of two-thirds of all the members elected to each house, as | ||
| provided by Section 39, Article III, Texas Constitution. If this | ||
| Act does not receive the vote necessary for immediate effect, this | ||
| Act takes effect September 1, 2023. | ||
| ______________________________ | ______________________________ | |
| President of the Senate | Speaker of the House | |
| I hereby certify that S.B. No. 1097 passed the Senate on | ||
| April 20, 2023, by the following vote: Yeas 31, Nays 0. | ||
| ______________________________ | ||
| Secretary of the Senate | ||
| I hereby certify that S.B. No. 1097 passed the House on | ||
| May 9, 2023, by the following vote: Yeas 133, Nays 9, two present | ||
| not voting. | ||
| ______________________________ | ||
| Chief Clerk of the House | ||
| Approved: | ||
| ______________________________ | ||
| Date | ||
| ______________________________ | ||
| Governor | ||
