State of Illinois
91st General Assembly

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[ Engrossed ][ House Amendment 001 ]



 1        AN ACT to amend the Hospital  District  Law  by  changing
 2    Section 25.

 3        Be  it  enacted  by  the People of the State of Illinois,
 4    represented in the General Assembly:

 5        Section 5.  The  Hospital  District  Law  is  amended  by
 6    changing Section 25 as follows:

 7        (70 ILCS 910/25) (from Ch. 23, par. 1275)
 8        Sec.  25.  Dissolution of district.  In case the board of
 9    directors of any hospital district organized under  this  Act
10    finds:  (i)  that  all  or  any part of the need for hospital
11    services of the inhabitants of the  District  can  be  better
12    served on a permanent basis by the ownership and operation of
13    the  hospital's  facilities  by  a not-for-profit corporation
14    organized by the District's board of  directors,  or  by  the
15    facilities  of  another  hospital  or  hospitals, publicly or
16    privately operated, and located in or not more than 20  miles
17    from  the  boundaries of the district; (ii) that provision of
18    hospital services by the such not-for-profit  corporation  or
19    other  hospital  or  hospitals will result in a permanent net
20    improvement of quality of overall hospital services  for  the
21    inhabitants   of  the  District;  and  (iii)  that  the  such
22    not-for-profit corporation or  other  hospital  or  hospitals
23    have  entered  into binding contracts with the District to so
24    provide those such hospital services on a permanent basis  to
25    the  inhabitants  of the District and discharge or assume all
26    debts, liabilities, and obligations of the District in return
27    for  conveyance  and  transfer  to  the  such  not-for-profit
28    corporation or  hospital  or  hospitals  all  assets  of  the
29    District,  or  that  the hospital district has entered into a
30    binding contract with a fire protection district, health care
31    foundation,  or  other  entity  that  provides  emergency  or
                            -2-                LRB9103157MWpc
 1    medical services to the general public, operating  wholly  or
 2    partially  within the boundaries of the hospital district, to
 3    convey all of  the  hospital  district's  assets  to  a  fire
 4    protection district, health care foundation, or other entity,
 5    so  long  as  the  entity  accepting  the hospital district's
 6    assets assumes all of  the  hospital  district's  outstanding
 7    indebtedness,  and  the  amount of this indebtedness does not
 8    exceed the amount of the  hospital  district's  assets,  such
 9    contracts   subject  to  completion  of  dissolution  of  the
10    District as provided in  this  Section  and  to  take  effect
11    immediately  upon  completion of dissolution of the District,
12    provided that the Department of  Public  Health  shall  be  a
13    party  to  such  contracts  as a trustee for the inhabitants'
14    interests following dissolution of the District, the District
15    may be dissolved in the following manner:
16        The board of directors of the District shall  propose  an
17    ordinance   finding   and   determining  that  the  foregoing
18    conditions  exist  and  that  the  best   interest   of   the
19    inhabitants  of the District does not require continuation of
20    the District. The board of directors shall officially  invite
21    the  State Comprehensive Health Planning Agency to review and
22    comment  upon  the  proposed  ordinance  and  shall   provide
23    whatever documentation is required by the agency for purposes
24    of  review and comment. At any time after receipt of a report
25    from the State Comprehensive Health  Planning  Agency  or  30
26    days  after  extending  an  invitation  to  the agency, if no
27    report has been submitted, the board of directors may proceed
28    to adopt the proposed ordinance.  A  certified  copy  of  the
29    ordinance and the report of the Comprehensive Health Planning
30    Agency,  if  submitted previous to adoption of the ordinance,
31    shall be filed with the Circuit Court of the County in  which
32    the  District  is  located.  The  circuit court shall set the
33    ordinance for hearing within not less than 30 nor  more  than
34    40  days  after  the filing of the ordinance with the circuit
                            -3-                LRB9103157MWpc
 1    clerk.
 2        Notice shall be given by the circuit court  of  the  time
 3    and place where the hearing will be held, by publication on 3
 4    separate  days in one or more newspapers published within the
 5    District, the first of these publications shall be  not  less
 6    than  20  days  before  the  date set for the hearing, and if
 7    there is no such newspaper, then notice shall be posted in 10
 8    of the most public places in the District, not less  than  20
 9    days  before  the date set for the hearing. This notice shall
10    include a description of the findings of the board as set out
11    in the ordinance, the names of the municipalities within  the
12    District, and the proposed effective date of the dissolution.
13        The  court may continue the hearing on the ordinance from
14    time to time. Upon such public hearing the board of directors
15    may also move to otherwise amend the ordinance or to  dismiss
16    or  to  withdraw  it, and any such motion shall be allowed by
17    the court. If such ordinance is not dismissed  or  withdrawn,
18    the  court  by written order shall find and determine whether
19    the facts stated in the ordinance are true and, if so,  shall
20    so  certify to the board of directors of the District. If the
21    court also determines that the District has  entered  into  a
22    binding  contract  with a not-for-profit corporation pursuant
23    to which such corporation is to provide hospital services  on
24    a  permanent  basis  to the inhabitants of the District, then
25    the court shall so certify and the  ordinance  shall  not  be
26    subject  to the referendum provisions of this Section and the
27    District shall be dissolved.  If the court does not determine
28    that such a contract exists, the  ordinance  and  certificate
29    shall  be  published  once  in a daily or weekly newspaper or
30    newspapers  of  general  circulation  published  within   the
31    District  or,  if there be no such newspaper published in the
32    District,  then  in  a  newspaper  of   general   circulation
33    published  in  a county wherein the District is located. Such
34    publication of the ordinance shall be accompanied by a notice
                            -4-                LRB9103157MWpc
 1    of (1) the specific number  of  voters  required  to  sign  a
 2    petition  requesting  the  submission  to the electors of the
 3    question of the dissolution of the District; (2) the time  in
 4    which  such  petition  must be filed; and (3) the date of the
 5    prospective referendum.  The secretary  of  the  Board  shall
 6    provide  a  petition  form  to any individual requesting one.
 7    Unless a petition is filed with  the  board  within  30  days
 8    after  such  publication  containing  the signatures of 1,000
 9    electors or 10% of the registered  voters  of  the  District,
10    whichever  is  lower,  requesting  that  the  question of the
11    dissolution of the District be submitted to a referendum, the
12    District shall be deemed to be dissolved at the expiration of
13    that 30 day period. If such a  petition  is  filed  then  the
14    question   of  the  dissolution  of  the  District  shall  be
15    submitted to the electors of the District and  the  board  of
16    directors  shall  certify the question to the proper election
17    officials, who shall submit the question to the voters at  an
18    election in accordance with the general election law.
19        The proposition shall read substantially as follows:
20             Shall  the  (name  or describe) Hospital District be
21        dissolved?
22        The board of directors of the District  shall  cause  the
23    result  of  the  referendum  to be entered upon the corporate
24    records of the District.
25        If a majority of the ballots cast on the proposition  are
26    marked  "yes"  the  District  shall  be  dissolved.  But if a
27    majority of the ballots cast on the  proposition  are  marked
28    "no",  the  corporate  authorities  shall  proceed  with  the
29    affairs  of  the District as though the dissolution ordinance
30    had never been adopted, and, in such  case,  the  proposition
31    shall  not  be again considered for a period of 2 years. When
32    the business and affairs  of  any  such  District  have  been
33    closed  up  after  the dissolution thereof such fact shall be
34    certified by the chairman of its board of  directors  to  the
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 1    county  clerk and recorder of the county or counties in which
 2    the District was situated and to the Secretary of State.
 3    (Source: P.A. 87-1006.)

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