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House Bill 1953

Florida House of Representatives - 1997 HB 1953 By Representative Rayson 1 A bill to be entitled 2 An act relating to the North Broward Hospital 3 District, Broward County, amending chapter 4 27438, Laws of Florida, 1951, as amended, 5 relating to the powers of the Board of 6 Commissioners of the North Broward Hospital 7 District to enter into interest rate swap 8 agreements and certain other derivative 9 instruments; to invest available funds of the 10 pension plan in accordance with certain 11 provisions of state law; providing 12 severability; providing an effective date. 13 14 Be It Enacted by the Legislature of the State of Florida: 15 16 Section 1. Paragraph (g) is added to subsection (2) of 17 section 4 of chapter 27438, Laws of Florida, 1951, as amended, 18 to read: 19 Section 4. 20 (2) In addition to any investment authorized by 21 general law, and to the extent created by the Constitution of 22 this state, the Board of Commissioners shall be and is hereby 23 authorized and empowered to invest any funds in its control or 24 possession in accordance with an investment policy approved by 25 the board which mandates prudent investment practices which 26 shall include, among other items, the investment objectives 27 and permitted securities of the policy. Such investment 28 policy shall be designed to maximize the financial return to 29 the fund consistent with the risks incumbent in each 30 investment and shall be designed to preserve the appropriate 31 1 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 1953 288-182A-97 1 diversification of the portfolio. Accordingly, the following 2 instruments are authorized for investment: 3 (g) The Board of Commissioners of the North Broward 4 Hospital District shall have the power to enter into and 5 execute: 6 1. Any contract known as or referred to or which 7 performs the function of an interest rate swap agreement, 8 forward payment conversion agreement, or futures contract: 9 2. Any contract providing for payments based on levels 10 of, or changes or differences in, interest rates; 11 3. Any contract to exchange cash flows or payments or 12 series of payments; 13 4. Any type of contract called, or designed to perform 14 the function of, interest rate floors or caps, options, puts, 15 or calls, to hedge or minimize any type of financial risk, 16 including, without limitation, payment, rate, or other 17 financial risk; and 18 5. Any other type of contract or arrangement that the 19 Board of Commissioners of the North Broward Hospital District 20 determines is to be used, or is intended to be used, to manage 21 or reduce the cost of indebtedness, to convert any element of 22 indebtedness from one form to another, to maximize or increase 23 investment return, to minimize investment return risk, or to 24 protect against any type of financial risk or uncertainty. 25 Section 2. Section 31A of chapter 27438, Laws of 26 Florida, 1951, as amended by chapter 61-1937, Laws of Florida, 27 is amended to read: 28 Section 31. (1) The Board of Commissioners of the 29 North Broward Hospital District shall authorize and establish 30 one (1) medical staff for the direction and control of the 31 practitioners, and to insure the performance of necessary 2 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 1953 288-182A-97 1 professional services, in the hospitals and facilities 2 operated by the North Broward Hospital District. The Board of 3 Commissioners is hereby authorized and empowered to establish 4 reasonable by-laws, rules and regulations thereof, and to 5 prescribe and establish in said by-laws, rules and regulations 6 reasonable professional duties and responsibilities for the 7 staff, and members thereof, so that the welfare and health of 8 the patients and the best interest of the hospitals may at all 9 times be served. The North Broward Hospital District is 10 authorized and empowered to create an employees' pension fund 11 so as to provide for life and disability and medical insurance 12 for all or any of its employees or officers on a group 13 insurance, or other acceptable plan, approved by said Board of 14 Commissioners of North Broward Hospital District, and to 15 establish and create by resolution an employees' pension, 16 annuity, and retirement plan for any and all groups of 17 officers and employees employed by the North Broward Hospital 18 District and qualifying for such plan, and to pay all or such 19 portion of the cost of any such employees' pension, annuity, 20 and retirement plan from funds available to the District from 21 its authorized sources, with the employees defraying the 22 balance thereof, if any, as said Board of Commissioners by 23 resolution may determine for any and all groups of officers 24 and employees employed by said North Broward Hospital 25 District. The Board of Commissioners of the North Broward 26 Hospital District is authorized to invest and reinvest 27 available funds of the pension fund in accordance with the 28 provisions of ss. 215.44-215.53, Florida Statutes. 29 Section 3. If any provisions of this act or the 30 application thereof to any person or circumstance is held 31 invalid, the invalidity shall not affect the other provisions 3 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 1953 288-182A-97 1 or applications of the act that can be given effect without 2 the invalid provision or application, and to this end the 3 provisions of this act are declared severable. 4 Section 4. This act shall take effect upon becoming a 5 law. 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 4