The bill amends various sections of the Health and Safety Code to update the operations of municipal hospital authorities in Texas. Key changes include the stipulation that the number of directors for the authority can be amended unless restricted by a specific resolution or trust indenture, and that the initial directors will be appointed for terms not exceeding two years. Additionally, it clarifies that an officer or employee of a municipality or the authority is ineligible for appointment as a director. The bill also expands the authority's ability to promote public health initiatives and allows for the issuance of revenue bonds for various health-related purposes, regardless of whether the authority operates a hospital.

Furthermore, the bill modifies the criteria for certain authorities, specifically those located in counties with populations of 2.4 million or more or municipalities with populations under 30,000. It allows these authorities to issue revenue bonds secured by various sources of revenue, including those from health initiatives and facilities. The bill repeals certain sections of the Health and Safety Code that are no longer applicable, streamlining the legal framework governing municipal hospital authorities. The changes are set to take effect on September 1, 2025.

Statutes affected:
Introduced: Health and Safety Code 262.011, Health and Safety Code 262.012, Health and Safety Code 262.0331, Health and Safety Code 262.039, Health and Safety Code 262.041, Health and Safety Code 262.034 (Health and Safety Code 262)