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AB-1199 Trinity Public Utility District: health care district.(2003-2004)

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Assembly Bill No. 1199
CHAPTER 930

An act to add and repeal Section 16490 of the Public Utilities Code, relating to the Trinity Public Utility District, and declaring the urgency thereof, to take effect immediately.

[ Filed with Secretary of State  September 30, 2004. Approved by Governor  September 29, 2004. ]

LEGISLATIVE COUNSEL'S DIGEST


AB 1199, Berg. Trinity Public Utility District: health care district.
(1) The existing Local Health Care District Law establishes the manner in which a local health care district may be formed.
This bill would authorize the Trinity Public Utility District to exercise the powers of a health care district pursuant to the Local Health Care District Law.
(2) Existing law requires that a public utility district only acquire, own, or operate revenue producing utilities.
Notwithstanding that requirement, this bill would provide that the facilities and services that may be provided if the Trinity Public Utility District exercises powers of a health care district need not be financed on a self-sustaining, revenue-producing basis and would authorize the raising of revenue to defray the cost of the facilities and services.
(3) The existing Nonprofit Corporation Law authorizes the formation of a nonprofit public benefit corporation and requires the articles of incorporation of a nonprofit public benefit corporation to include a statement that the corporation is not organized for the private gain of any person and is organized for either public or charitable purposes.
This bill would authorize the Trinity Public Utility District to form a nonprofit public benefit corporation pursuant to the Nonprofit Corporation Law.
(4) This bill would repeal its provisions on January 1, 2008.
(5) This bill would make legislative findings and declarations as to the necessity of a special statute and would declare that it is to take effect immediately as an urgency statute.

The people of the State of California do enact as follows:


SECTION 1.

 Section 16490 is added to the Public Utilities Code, to read:

16490.
 (a) The Trinity Public Utility District may exercise the powers of a health care district pursuant to the Local Health Care District Law (Division 23 (commencing with Section 32000) of the Health and Safety Code).
(b) Notwithstanding Section 16467, the facilities and services provided pursuant to this section need not be financed on a self-sustaining, revenue-producing basis. Revenue to defray the cost of the facilities and services may be raised in any manner authorized by this division.
(c) To carry out the purposes of this section, the district may form a nonprofit public benefit corporation pursuant to the Nonprofit Corporation Law (Division 2 (commencing with Section 5000) of the Corporations Code).
(d) This section shall remain in effect only until January 1, 2008, and as of that date is repealed, unless a later enacted statute that is enacted before January 1, 2008, deletes or extends that date.

SEC. 2.

 The Legislature finds and declares that a special law is necessary and that a general law cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique circumstances of the Trinity Public Utility District. The facts constituting the special circumstances are:
The County of Trinity faces severe fiscal problems with the continued operation of the Trinity General Hospital. The potential financial collapse of the Trinity General Hospital poses a serious threat to the public health and safety of the residents of Trinity County. Local residents, taxpayers, and public officials are exploring organizational alternatives, including the formation of a new health care district. Until they select and implement an alternative, the County of Trinity has determined that the Trinity Public Utility District is the most reasonable alternative local agency to assume responsibility over the operation of the Trinity County Hospital. Because the Public Utility District Act (Division 7 (commencing with Section 15501) of the Public Utilities Code) does not authorize a public utility district to operate a hospital, it is necessary for the Legislature to enact a special act which allows the Trinity Public Utility District to exercise the powers of a health care district.

SEC. 3.

 This act is an urgency statute necessary for the immediate preservation of the public peace, health, or safety within the meaning of Article IV of the Constitution and shall go into immediate effect. The facts constituting the necessity are:
The County of Trinity faces severe fiscal problems with the continued operation of the Trinity General Hospital. The potential financial collapse of the Trinity General Hospital poses a serious threat to the public health and safety of the residents of Trinity County. An urgency statute is essential to allow local officials to transfer the operation of the Trinity County Hospital to the Trinity Public Utility District at the earliest possible time.