SLS 17RS-235 ORIGINAL 2017 Regular Session SENATE BILL NO. 36 BY SENATOR MARTINY Prefiled pursuant to Article III, Section 2(A)(4)(b)(i) of the Constitution of Louisiana. HOSPITALS. Provides relative to the use of employment contracts in hospital service districts. (8/1/17) 1 AN ACT 2 To amend and reenact R.S. 46:1056(A) and (B), relative to employment contracts in hospital 3 service districts; to provide for authority to execute certain employment contracts; 4 to provide for definitions; to provide for employment terms; and to provide for 5 related matters. 6 Be it enacted by the Legislature of Louisiana: 7 Section 1. R.S. 46:1056(A) and (B) are hereby amended and reenacted to read as 8 follows: 9 ยง1056. Hospital director and executives 10 A. The commission, with the approval of the medical staff, shall enter into 11 a formal written employment agreement with a hospital director, hereafter referred 12 to as "director", who has had experience in the field of hospital administration and 13 is familiar with the principles and methods of hospital and institutional care, and 14 may enter into a formal written employment agreement with any hospital 15 executive. For purposes of this Section, hospital executive includes but is not 16 limited to any senior member of management such as vice president, assistant 17 administrator or department director. He The director and any hospital Page 1 of 2 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 36 SLS 17RS-235 ORIGINAL 1 executive shall be a full-time employee employees of the district or of the hospital 2 management firm. and The director shall receive a salary fixed by the commission. 3 B. If the director and commission enter into a formal written employment 4 agreement, notwithstanding any law to the contrary, such agreement shall bind both 5 parties to its terms. If a hospital executive and hospital, upon the authority of the 6 director, enter into a formal written employment agreement, notwithstanding 7 any law to the contrary, such agreement shall bind both parties to its terms. 8 Such written agreement agreements shall provide for a fixed term of employment, 9 specify the director's or hospital executive's duties, and be renewable for an 10 additional term or terms at the pleasure of the commission or hospital director, 11 respectively. In the absence of a formal written employment agreement, the director 12 shall serve at the pleasure of the commission and the hospital executive shall serve 13 at the pleasure of the director. 14 * * * The original instrument and the following digest, which constitutes no part of the legislative instrument, were prepared by Christine Arbo Peck. DIGEST SB 36 Original 2017 Regular Session Martiny Present law provides for a hospital service district commission contracting for a director. Proposed law adds the option of the commission contracting with hospital executives, including but not limited to the vice president, assistant administrator, and department director. Effective August 1, 2017. (Amends R.S. 46:1056(A) and (B)) Page 2 of 2 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions.