SF 713

2nd Engrossment - 79th Legislature (1995 - 1996) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to Olmsted county; authorizing the county to 
  1.3             create a nonprofit corporation to own and operate a 
  1.4             hospital and medical center; providing the county 
  1.5             board with related powers and duties. 
  1.6   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.7      Section 1.  [OLMSTED COUNTY:  NONPROFIT CORPORATION FOR 
  1.8   MEDICAL AND HOSPITAL SERVICES; DEFINITIONS.] 
  1.9      Subdivision 1.  [APPLICATION.] The definitions in this 
  1.10  section apply to sections 1 to 6. 
  1.11     Subd. 2.  [COUNTY.] "County" means Olmsted county. 
  1.12     Subd. 3.  [HOSPITAL.] "Hospital" means the hospital owned 
  1.13  and operated by Olmsted county under Minnesota Statutes, chapter 
  1.14  376, on the effective date of this act. 
  1.15     Subd. 4.  [NONPROFIT CORPORATION.] "Nonprofit corporation" 
  1.16  means a corporation created under the laws of Minnesota and 
  1.17  entitled to the status of nonprofit under the laws of Minnesota 
  1.18  and of the United States and having as its purpose the operation 
  1.19  of hospital and medical facilities. 
  1.20     Sec. 2.  [CREATION OF CORPORATION.] 
  1.21     The county may create a nonprofit corporation having as its 
  1.22  purpose the ownership and operation of a hospital and medical 
  1.23  center. 
  1.24     Sec. 3.  [TRANSFER OF ASSETS.] 
  1.25     Subdivision 1.  [AUTHORIZED TRANSFERS.] The county may 
  2.1   transfer to the nonprofit corporation created pursuant to 
  2.2   section 2, or to any other nonprofit corporation, any and all of 
  2.3   the assets and liabilities of the county involved in the 
  2.4   operation of the hospital. 
  2.5      Subd. 2.  [CONSIDERATION.] Notwithstanding any other law to 
  2.6   the contrary, the transfer of assets pursuant to subdivision 1 
  2.7   may be for any consideration the county determines to be in the 
  2.8   interest of the public. 
  2.9      Subd. 3.  [BIDS NOT REQUIRED; PUBLIC HEARING.] 
  2.10  Notwithstanding any other law to the contrary, the county may 
  2.11  make the transfer without advertising for bids.  However, the 
  2.12  determination to make the transfer may be made only after the 
  2.13  county has held a public hearing on the issue and upon majority 
  2.14  vote of the county board. 
  2.15     Subd. 4.  [LEASE AGREEMENT.] The county may enter into a 
  2.16  lease agreement with the nonprofit corporation for any of the 
  2.17  assets of the county involved in the operation of the hospital.  
  2.18  Any lease agreement is subject to the provisions of subdivisions 
  2.19  2 and 3. 
  2.20     Sec. 4.  [EMPLOYEES.] 
  2.21     Subdivision 1.  [STATUS UPON TRANSFER.] Upon the effective 
  2.22  date of the transfer of assets of the hospital pursuant to 
  2.23  section 3, employees of the county involved in the operation of 
  2.24  the hospital cease to be employees of the county and become 
  2.25  employees of the nonprofit corporation.  This act does not 
  2.26  abrogate or change any rights enjoyed by employees of the county 
  2.27  under the terms of a collective bargaining agreement in effect 
  2.28  on the date of the transfer to the nonprofit corporation.  
  2.29     Subd. 2.  [PAYMENTS TO EMPLOYEE PENSION PLAN.] To 
  2.30  facilitate the orderly transition of employees subject to 
  2.31  subdivision 1, the county may, in its sole discretion, make, 
  2.32  from assets to be transferred to the nonprofit corporation, 
  2.33  payments to a qualified pension plan established for the 
  2.34  transferred employees by the nonprofit corporation, to provide 
  2.35  benefits substantially similar to those that the employee would 
  2.36  have been entitled to under the provisions of the public 
  3.1   employees retirement association, Minnesota Statutes, chapter 
  3.2   353. 
  3.3      Sec. 5.  [CONTINUATION OF SERVICES.] 
  3.4      Subdivision 1.  [PROVISION OF SERVICES AND 
  3.5   MATERIALS.] Notwithstanding any other law to the contrary, the 
  3.6   county may continue to provide services and materials to the 
  3.7   nonprofit corporation. 
  3.8      Subd. 2.  [CHARGE FOR SERVICES AND 
  3.9   MATERIALS.] Notwithstanding any other law to the contrary, the 
  3.10  county may provide these services and materials for any charge 
  3.11  the county determines to be in the best interests of the public. 
  3.12     Sec. 6.  [EFFECTIVE DATE.] 
  3.13     This act takes effect the day after the Olmsted county 
  3.14  board of commissioners complies with Minnesota Statutes, section 
  3.15  645.021, subdivision 3.