Minnesota Session Laws - 1995, Regular Session

                            CHAPTER 102-H.F.No. 838 
                  An act relating to Olmsted county; authorizing the 
                  county to create a nonprofit corporation to own and 
                  operate a hospital and medical center; providing the 
                  county board with related powers and duties. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
           Section 1.  [OLMSTED COUNTY:  NONPROFIT CORPORATION FOR 
        MEDICAL AND HOSPITAL SERVICES; DEFINITIONS.] 
           Subdivision 1.  [APPLICATION.] The definitions in this 
        section apply to sections 1 to 6. 
           Subd. 2.  [COUNTY.] "County" means Olmsted county. 
           Subd. 3.  [HOSPITAL.] "Hospital" means the hospital owned 
        and operated by Olmsted county under Minnesota Statutes, chapter 
        376, on the effective date of this act. 
           Subd. 4.  [NONPROFIT CORPORATION.] "Nonprofit corporation" 
        means a corporation created under the laws of Minnesota and 
        entitled to the status of nonprofit under the laws of Minnesota 
        and of the United States and having as its purpose the operation 
        of hospital and medical facilities. 
           Sec. 2.  [CREATION OF CORPORATION.] 
           The county may create a nonprofit corporation having as its 
        purpose the ownership and operation of a hospital and medical 
        center. 
           Sec. 3.  [TRANSFER OF ASSETS.] 
           Subdivision 1.  [AUTHORIZED TRANSFERS.] The county may 
        transfer to the nonprofit corporation created pursuant to 
        section 2, or to any other nonprofit corporation, any and all of 
        the assets and liabilities of the county involved in the 
        operation of the hospital. 
           Subd. 2.  [CONSIDERATION.] Notwithstanding any other law to 
        the contrary, the transfer of assets pursuant to subdivision 1 
        may be for any consideration the county determines to be in the 
        interest of the public. 
           Subd. 3.  [BIDS NOT REQUIRED; PUBLIC 
        HEARING.] Notwithstanding any other law to the contrary, the 
        county may make the transfer without advertising for bids.  
        However, the determination to make the transfer may be made only 
        after the county has held a public hearing on the issue and upon 
        majority vote of the county board. 
           Subd. 4.  [LEASE AGREEMENT.] The county may enter into a 
        lease agreement with the nonprofit corporation for any of the 
        assets of the county involved in the operation of the hospital.  
        Any lease agreement is subject to the provisions of subdivisions 
        2 and 3. 
           Sec. 4.  [EMPLOYEES.] 
           Subdivision 1.  [STATUS UPON TRANSFER.] Upon the effective 
        date of the transfer of assets of the hospital pursuant to 
        section 3, employees of the county involved in the operation of 
        the hospital cease to be employees of the county and become 
        employees of the nonprofit corporation.  This act does not 
        abrogate or change any rights enjoyed by employees of the county 
        under the terms of a collective bargaining agreement in effect 
        on the date of the transfer to the nonprofit corporation.  
           Subd. 2.  [PAYMENTS TO EMPLOYEE PENSION 
        PLAN.] Notwithstanding any provision of Minnesota Statutes, 
        sections 356.24 and 356.25, to the contrary, to facilitate the 
        orderly transition of employees subject to subdivision 1, the 
        county may, in its sole discretion, make, from assets to be 
        transferred to the nonprofit corporation, payments to a 
        qualified pension plan established for the transferred employees 
        by the nonprofit corporation, to provide benefits substantially 
        similar to those that the employee would have been entitled to 
        under the provisions of the public employees retirement 
        association, Minnesota Statutes 1994, sections 353.01 through 
        353.46.  
           Sec. 5.  [CONTINUATION OF SERVICES.] 
           Subdivision 1.  [PROVISION OF SERVICES AND 
        MATERIALS.] Notwithstanding any other law to the contrary, the 
        county may continue to provide services and materials to the 
        nonprofit corporation. 
           Subd. 2.  [CHARGE FOR SERVICES AND 
        MATERIALS.] Notwithstanding any other law to the contrary, the 
        county may provide these services and materials for any charge 
        the county determines to be in the best interests of the public. 
           Sec. 6.  [EFFECTIVE DATE.] 
           This act takes effect the day after the Olmsted county 
        board of commissioners complies with Minnesota Statutes, section 
        645.021, subdivision 3. 
           Presented to the governor April 27, 1995 
           Signed by the governor April 28, 1995, 3:10 p.m.