Florida Senate - 2011                        COMMITTEE AMENDMENT
       Bill No. CS for CS for SB 1972
       
       
       
       
       
       
                                Barcode 879282                          
       
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
                  Comm: RCS            .                                
                  04/15/2011           .                                
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       The Committee on Budget (Thrasher) recommended the following:
       
    1         Senate Amendment (with title amendment)
    2  
    3         Delete lines 6180 - 6294
    4  and insert:
    5         (4)(a) The University of Florida Board of Trustees shall
    6  lease the hospital facilities of the health center known as the
    7  Shands Teaching Hospital and Clinics on the Gainesville campus
    8  of the University of Florida and all furnishings, equipment, and
    9  other chattels or choses in action used in the operation of
   10  Shands Teaching Hospital and Clinics the hospital, to Shands
   11  Teaching Hospital and Clinics, Inc., a private not-for-profit
   12  corporation organized solely for the primary purpose of
   13  supporting the University of Florida Board of Trustees’ health
   14  affairs mission of community service and patient care, education
   15  and training of health professionals, and clinical research. In
   16  furtherance of that primary purpose, Shands Teaching Hospital
   17  and Clinics, Inc., shall operate operating the hospital and
   18  ancillary health care facilities as deemed of the health center
   19  and other health care facilities and programs determined to be
   20  necessary by the board of Shands Teaching Hospital and Clinics,
   21  Inc. the nonprofit corporation. The rental for the hospital
   22  facilities shall be an amount equal to the debt service on bonds
   23  or revenue certificates issued solely for capital improvements
   24  to the hospital facilities or as otherwise provided by law.
   25         (b) The University of Florida Board of Trustees shall
   26  provide in the lease or by separate contract or agreement with
   27  Shands Teaching Hospital and Clinics, Inc., the not-for-profit
   28  corporation for the following:
   29         1. Approval of the articles of incorporation of Shands
   30  Teaching Hospital and Clinics, Inc., the not-for-profit
   31  corporation by the University of Florida Board of Trustees. and
   32  the
   33         2. Governance of Shands Teaching Hospital and Clinics,
   34  Inc., the not-for-profit corporation by a board of directors
   35  appointed, subject to removal, and chaired by the President of
   36  the University of Florida, or his or her designee, and vice
   37  chaired by the Vice President for Health Affairs of the
   38  University of Florida, or his or her designee.
   39         3.2.The Use of hospital facilities and personnel in
   40  support of community service and patient care, the research
   41  programs, and of the teaching roles role of the health center.
   42         4.3.The Continued recognition of the collective bargaining
   43  units and collective bargaining agreements as currently composed
   44  and recognition of the certified labor organizations
   45  representing those units and agreements.
   46         5.4.The Use of hospital facilities and personnel in
   47  connection with research programs conducted by the health
   48  center.
   49         6.5. Reimbursement to Shands Teaching Hospital and Clinics,
   50  Inc., the hospital for indigent patients, state-mandated
   51  programs, underfunded state programs, and costs to Shands
   52  Teaching Hospital and Clinics, Inc., the hospital for support of
   53  the teaching and research programs of the health center. Such
   54  reimbursement shall be appropriated to either the health center
   55  or Shands Teaching Hospital and Clinics, Inc., the hospital each
   56  year by the Legislature after review and approval of the request
   57  for funds.
   58         7. Audit of the financial statements of Shands Teaching
   59  Hospital and Clinics, Inc., in accordance with generally
   60  accepted accounting principles as prescribed by the Governmental
   61  Accounting Standards Board for a separate corporation affiliated
   62  with a governmental entity that holds a voting majority interest
   63  of the affiliated corporation’s governing board. The financial
   64  statements shall be provided to the University of Florida Board
   65  of Trustees for attachment to its audited financial statement
   66  that is provided to the Auditor General. The University of
   67  Florida may obtain additional financial information from Shands
   68  Teaching Hospital and Clinics, Inc., upon request by the Auditor
   69  General. This subparagraph applies equally to any not-for-profit
   70  subsidiary of Shands Teaching Hospitals and Clinics, Inc., which
   71  directly delivers health care services and also qualifies as an
   72  instrumentality of the state under the governance control and
   73  the primary purpose standards specified in this section.
   74         (c) The University of Florida Board of Trustees may, with
   75  the approval of the Legislature, increase the hospital
   76  facilities or remodel or renovate them if, provided that the
   77  rental paid by Shands Teaching Hospital and Clinics, Inc., the
   78  hospital for such new, remodeled, or renovated facilities is
   79  sufficient to amortize the costs thereof over a reasonable
   80  period of time or fund the debt service for any bonds or revenue
   81  certificates issued to finance such improvements.
   82         (d) The University of Florida Board of Trustees may is
   83  authorized to provide to Shands Teaching Hospital and Clinics,
   84  Inc., the not-for-profit corporation leasing the hospital
   85  facilities and its not-for-profit subsidiaries and affiliates,
   86  and any successor corporation that acts in support of the board
   87  of trustees, comprehensive general liability insurance,
   88  including professional liability, from a self-insurance trust
   89  program established pursuant to s. 1004.24.
   90         (e) Shands Teaching Hospital and Clinics, Inc., in support
   91  of the health affairs mission of the University of Florida Board
   92  of Trustees and with the board’s prior approval, may create or
   93  have created for-profit or not-for-profit subsidiaries and
   94  affiliates, or both. The University of Florida Board of
   95  Trustees, which may act through the president of the university
   96  or his or her designee, may control Shands Teaching Hospital and
   97  Clinics, Inc. For purposes of sovereign immunity pursuant to s.
   98  768.28(2), Shands Teaching Hospital and Clinics, Inc., and any
   99  not-for-profit subsidiary that directly delivers health care
  100  services and whose governing board is chaired by the president
  101  of the university or his or her designee and is controlled by
  102  the University of Florida Board of Trustees, that may act
  103  through the president of the university or his or her designee,
  104  and whose primary purpose is the support of the University of
  105  Florida Board of Trustees’ health affairs mission, shall be
  106  conclusively deemed a corporation primarily acting as an
  107  instrumentality of the state.
  108         (f)(e)If In the event that the lease of Shands Teaching
  109  Hospital and Clinics the hospital facilities to Shands Teaching
  110  Hospital and Clinics, Inc., the not-for-profit corporation is
  111  terminated for any reason, the University of Florida Board of
  112  Trustees shall resume management and operation of Shands
  113  Teaching Hospital and Clinics the hospital facilities. In such
  114  event, the University of Florida Board of Trustees may use is
  115  authorized to utilize revenues generated from the operation of
  116  Shands Teaching Hospital and Clinics the hospital facilities to
  117  pay the costs and expenses of operating the hospital facility
  118  for the remainder of the fiscal year in which such termination
  119  occurs.
  120         (5)(a) Shands Jacksonville Medical Center, Inc., and its
  121  parent, Shands Jacksonville HealthCare, Inc., are private not
  122  for-profit corporations organized primarily to support the
  123  health affairs mission of the University of Florida Board of
  124  Trustees in community service and patient care, education and
  125  training of health affairs professionals, and clinical research.
  126  Shands Jacksonville Medical Center, Inc., is a teaching hospital
  127  affiliated with the University of Florida Board of Trustees and
  128  is located, in part, on the Jacksonville Campus of the
  129  University of Florida. Shands Jacksonville Medical Center, Inc.,
  130  and Shands Jacksonville HealthCare, Inc., in support of the
  131  health affairs mission of the University of Florida Board of
  132  Trustees and with its prior approval, may create or have created
  133  for-profit or not-for-profit subsidiaries or affiliates, or
  134  both.
  135         (b) The University of Florida Board of Trustees shall
  136  provide in the lease or by separate contract or agreement with
  137  Shands Jacksonville Medical Center, Inc., and Shands
  138  Jacksonville HealthCare, Inc., for the following:
  139         1. Approval of the articles of incorporation of Shands
  140  Jacksonville Medical Center, Inc., and of Shands Jacksonville
  141  HealthCare, Inc., by the University of Florida Board of
  142  Trustees, which may act through the president of the university
  143  or his or her designee. In approving the articles of
  144  incorporation of Shands Jacksonville Medical Center, Inc., and
  145  of Shands Jacksonville HealthCare, Inc., the president of the
  146  university, or his or her designee, may act as the chair of the
  147  board of directors, or the president of the university or his or
  148  her designee or members of the University of Florida Board of
  149  Trustees may act as the approving body of Shands Jacksonville
  150  Medical Center, Inc., or Shands Jacksonville HealthCare, Inc.
  151         2. Governance of Shands Jacksonville Medical Center, Inc.,
  152  and of Shands Jacksonville HealthCare, Inc., by boards of
  153  directors appointed, subject to removal, and chaired by the
  154  President of the University of Florida, or his or her designee.
  155  One director of each board may be so appointed after being
  156  nominated by the mayor of the City of Jacksonville subject to
  157  the applicable standards for directors of such board. If there
  158  is a vice chair of the board of directors of Shands Jacksonville
  159  Medical Center, Inc., or Shands Jacksonville HealthCare, Inc.,
  160  the Vice President for Health Affairs of the University of
  161  Florida, or his or her designee or the designee of the president
  162  of the university, shall hold that position.
  163         3. Use of the Shands Jacksonville Medical Center, Inc.,
  164  hospital facilities and personnel in support of community
  165  service and patient care, research programs, and the teaching
  166  roles of the health center of the University of Florida Board of
  167  Trustees.
  168         4. Reimbursement to Shands Jacksonville Medical Center,
  169  Inc., for indigent patients, state-mandated programs,
  170  underfunded state programs, and costs to the not-for-profit
  171  corporation for support of the teaching and research programs of
  172  the health center. Such reimbursement shall be appropriated to
  173  the health center or the not-for-profit corporation each year by
  174  the Legislature after review and approval of the request for
  175  funds.
  176         5. Audit of the financial statements of Shands Jacksonville
  177  Medical Center, Inc., and Shands Jacksonville HealthCare, Inc.,
  178  in accordance with generally accepted accounting principles as
  179  prescribed by the Governmental Accounting Standards Board for a
  180  separate corporation affiliated with a governmental entity that
  181  holds a voting majority interest of the affiliated corporation’s
  182  governing board. The financial statements shall be provided to
  183  the University of Florida Board of Trustees for attachment to
  184  its audited financial statement that is provided to the Auditor
  185  General. The University of Florida may obtain additional
  186  financial information from Shands Jacksonville Medical Center,
  187  Inc., and Shands Jacksonville HealthCare, Inc., upon request by
  188  the Auditor General. This subparagraph applies equally to any
  189  not-for-profit subsidiary that directly delivers health care
  190  services and also qualifies as an instrumentality of the state
  191  under the governance control and primary purpose standards
  192  specified in this section.
  193         (c) The University of Florida Board of Trustees, which may
  194  act through the president of the university or his or her
  195  designee, may control Shands Jacksonville Medical Center, Inc.,
  196  and Shands Jacksonville HealthCare, Inc.
  197         (d) For purposes of sovereign immunity pursuant to s.
  198  768.28(2), Shands Jacksonville Medical Center, Inc., Shands
  199  Jacksonville HealthCare, Inc., and any not-for-profit subsidiary
  200  that directly delivers health care services and whose governing
  201  board is chaired by the President of the University of Florida
  202  or his or her designee and is controlled by the University of
  203  Florida Board of Trustees, that may act through the president of
  204  the university or his or designee, and whose primary purpose is
  205  the support of the University of Florida Board of Trustees’
  206  health affairs mission, shall be conclusively deemed
  207  corporations primarily acting as instrumentalities of the state.
  208         (e)(f) The University of Florida Board of Trustees may is
  209  authorized to provide to Shands Jacksonville HealthCare, Inc.,
  210  and Shands Jacksonville Medical Center, Inc., and any of their
  211  its not-for-profit subsidiaries and affiliates and any successor
  212  corporation that acts in support of the board of trustees,
  213  comprehensive general liability coverage, including professional
  214  liability, from the self-insurance programs established pursuant
  215  to s. 1004.24.
  216  
  217  ================= T I T L E  A M E N D M E N T ================
  218         And the title is amended as follows:
  219         Delete lines 422 - 432
  220  and insert:
  221         1004.41, F.S.; correcting the name of one of the
  222         health center’s colleges; specifying that the
  223         University of Florida Board of Trustees shall lease
  224         Shands Teaching Hospital and Clinics on the
  225         Gainesville campus to Shands Teaching Hospital and
  226         Clinics, Inc.; specifying the primary purpose of
  227         Shands Teaching Hospital and Clinics, Inc.; providing
  228         requirements for the lease, contract, or agreement
  229         between the University of Florida Board of Trustees
  230         and Shands Teaching Hospital and Clinics, Inc.;
  231         authorizing the creation of corporate subsidiaries and
  232         affiliates; providing the right of control; providing
  233         for sovereign immunity; providing that Shands
  234         Jacksonville Medical Center, Inc., and its parent,
  235         Shands Jacksonville HealthCare, Inc., are private not
  236         for-profit corporations organized primarily to support
  237         the health affairs mission of the University of
  238         Florida Board of Trustees; authorizing the creation of
  239         corporate subsidiaries and affiliates; providing
  240         requirements for the lease, contract, or agreement
  241         between the University of Florida Board of Trustees
  242         and the corporations; providing the right of control;
  243         providing for sovereign immunity; repealing s.
  244         409.9121, F.S.,