82R19281 ALB-D
By: Hardcastle H.B. No. 3817
Substitute the following for H.B. No. 3817:
By: White C.S.H.B. No. 3817
A BILL TO BE ENTITLED
AN ACT
relating to the authority of the Gainesville Hospital District to
employ physicians and other health care providers.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. The heading to Section 1077.060, Special
District Local Laws Code, is amended to read as follows:
Sec. 1077.060. [APPOINTMENT AND DISMISSAL OF] STAFF AND
EMPLOYEES.
SECTION 2. Section 1077.060, Special District Local Laws
Code, is amended by amending Subsections (b) and (c) and adding
Subsection (b-1) to read as follows:
(b) The district may employ technicians, nurses, health
care providers other than physicians, fiscal agents, accountants,
architects, additional attorneys, and other necessary employees.
(b-1) The district may employ physicians, but only as
provided by Section 1077.0605.
(c) The board may delegate to the district administrator the
authority to hire district employees, except physicians.
SECTION 3. Subchapter B, Chapter 1077, Special District
Local Laws Code, is amended by adding Section 1077.0605 to read as
follows:
Sec. 1077.0605. EMPLOYMENT OF PHYSICIANS. (a) The board
may employ a physician and retain all or part of the professional
income generated by the physician for medical services provided at
a hospital or other health care facility owned or operated by the
district if the board satisfies the requirements of this section.
(b) The board shall:
(1) appoint a chief medical officer for the district
who has been recommended by the medical staff of the district; and
(2) adopt, maintain, and enforce policies to ensure
that a physician employed by the district exercises the physician's
independent medical judgment in providing care to patients.
(c) The policies adopted under this section must include:
(1) policies relating to:
(A) credentialing and privileges;
(B) quality assurance;
(C) utilization review;
(D) peer review and due process; and
(E) medical decision-making; and
(2) the implementation of a complaint mechanism to
process and resolve complaints regarding interference or attempted
interference with a physician's independent medical judgment.
(d) The policies adopted under this section must be approved
by the district medical staff. The district medical staff and the
board shall jointly develop and implement a conflict management
policy to resolve any conflict between a medical staff policy and a
board policy.
(e) For all matters relating to the practice of medicine,
each physician employed by the district shall ultimately report to
the chief medical officer of the district.
(f) The chief medical officer shall notify the Texas Medical
Board that the board is employing physicians under this section and
that the chief medical officer is the board's designated contact
with the Texas Medical Board. The chief medical officer shall
immediately report to the Texas Medical Board any action or event
that the chief medical officer reasonably and in good faith
believes constitutes a compromise of the independent medical
judgment of a physician in caring for a patient.
(g) The board shall give equal consideration regarding the
issuance of medical staff membership and privileges to physicians
employed by the district and physicians not employed by the
district.
(h) A physician employed by the district shall retain
independent medical judgment in providing care to patients and may
not be disciplined for reasonably advocating for patient care.
(i) If the district provides professional liability
coverage for physicians employed by the district, a physician
employed by the district may participate in the selection of the
professional liability coverage, has the right to an independent
defense at the physician's own cost, and retains the right to
consent to the settlement of any action or proceeding brought
against the physician.
(j) If a physician employed by the district enters into an
employment agreement that includes a covenant not to compete, the
agreement is subject to Section 15.50, Business & Commerce Code.
(k) The board may not delegate to the district administrator
the authority to hire a physician.
(l) This section applies to medical services provided by a
physician at a hospital or other health care facility owned or
operated by the district.
(m) This section may not be construed as authorizing the
board to supervise or control the practice of medicine as
prohibited under Subtitle B, Title 3, Occupations Code.
SECTION 4. 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, 2011.