This bill amends existing laws to authorize county memorial hospitals and hospital districts in Wyoming to file for bankruptcy under Chapter 9 of the United States Bankruptcy Code. The amendments to W.S. 18-8-109 and 35-2-438 include provisions that allow the trustees of these hospitals and districts to vote to file for bankruptcy or to dissolve and terminate their operations. Importantly, the bill specifies that the bankruptcy petition and initial plan for debt adjustment must be approved by the board of county commissioners or the trustees before any action can be taken. Additionally, it establishes that filing for bankruptcy does not require a vote from qualified electors.

The bill also mandates that any bankruptcy petition and initial plan for adjustment of debts must be publicly posted on the district's website for at least seven days prior to the first public meeting where the petition will be considered. If approved, the trustees are empowered to take necessary actions to confirm the bankruptcy plan and close the case under Chapter 9. The effective date for this act is set for July 1, 2026.

Statutes affected:
Introduced: 18-8-109, 35-2-438