H.B. No. 467 proposes amendments to the dissolution procedure of the Cedar Creek Hospital District and the management of its remaining funds. The bill introduces a new section, 21C, which outlines specific conditions under which the district may be dissolved. These conditions include the absence of medical services being provided, all board positions being vacant, no outstanding debts, and the only remaining asset being money. Additionally, the county judges of Kaufman, Van Zandt, and Henderson Counties are authorized to jointly call for an election to decide on the dissolution and the use of remaining funds to establish the Andrew Gibbs Memorial Nursing Scholarship.

The bill also specifies that the election process will adhere to the Texas Election Code, with a particular ballot proposition regarding the dissolution and scholarship. If the majority votes in favor, the district will be dissolved, and the remaining funds will be equally distributed among the three counties for the scholarship's establishment and administration. The counties will form an oversight committee to manage the scholarship, which will have specific eligibility criteria for applicants. The act will take effect immediately upon receiving a two-thirds vote from both legislative houses or on September 1, 2025, if that threshold is not met.