| 1 | A bill to be entitled |
| 2 | An act relating to the University of Florida J. Hillis |
| 3 | Miller Health Center; amending s. 1004.41, F.S.; |
| 4 | correcting the name of one of the health center's |
| 5 | colleges; specifying that the University of Florida Board |
| 6 | of Trustees shall lease the hospital facilities of the |
| 7 | Shands Teaching Hospital and Clinics on the Gainesville |
| 8 | campus to Shands Teaching Hospital and Clinics, Inc.; |
| 9 | specifying the primary purpose of Shands Teaching Hospital |
| 10 | and Clinics, Inc.; providing requirements for the lease, |
| 11 | contract, or agreement; authorizing the creation of |
| 12 | corporate subsidiaries and affiliates; providing the right |
| 13 | of control; providing requirements relating to sovereign |
| 14 | immunity; providing that Shands Jacksonville Medical |
| 15 | Center, Inc., and its parent, Shands Jacksonville |
| 16 | Healthcare, Inc., are private not-for-profit corporations |
| 17 | organized primarily to support the health affairs mission |
| 18 | of the University of Florida Board of Trustees; |
| 19 | authorizing the creation of corporate subsidiaries and |
| 20 | affiliates; providing the right of control; providing |
| 21 | requirements relating to sovereign immunity; providing an |
| 22 | effective date. |
| 23 |
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| 24 | Be It Enacted by the Legislature of the State of Florida: |
| 25 |
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| 26 | Section 1. Section 1004.41, Florida Statutes, is amended |
| 27 | to read: |
| 28 | 1004.41 University of Florida; J. Hillis Miller Health |
| 29 | Center.- |
| 30 | (1) There is established the J. Hillis Miller Health |
| 31 | Center at the University of Florida, including campuses at |
| 32 | Gainesville and Jacksonville and affiliated teaching hospitals, |
| 33 | which shall include the following colleges: |
| 34 | (a) College of Dentistry. |
| 35 | (b) College of Public Health and Health Professions. |
| 36 | (c) College of Medicine. |
| 37 | (d) College of Nursing. |
| 38 | (e) College of Pharmacy. |
| 39 | (f) College of Veterinary Medicine and related teaching |
| 40 | hospitals. |
| 41 | (2) Each college of the health center shall be so |
| 42 | maintained and operated as to comply with the standards approved |
| 43 | by a nationally recognized association for accreditation. |
| 44 | (3)(a) The University of Florida Health Center Operations |
| 45 | and Maintenance Trust Fund shall be administered by the |
| 46 | University of Florida Board of Trustees. Funds shall be credited |
| 47 | to the trust fund from the sale of goods and services performed |
| 48 | by the University of Florida Veterinary Medicine Teaching |
| 49 | Hospital. The purpose of the trust fund is to support the |
| 50 | instruction, research, and service missions of the University of |
| 51 | Florida College of Veterinary Medicine. |
| 52 | (b) Notwithstanding the provisions of s. 216.301, and |
| 53 | pursuant to s. 216.351, any balance in the trust fund at the end |
| 54 | of any fiscal year shall remain in the trust fund and shall be |
| 55 | available for carrying out the purposes of the trust fund. |
| 56 | (4)(a) The University of Florida Board of Trustees shall |
| 57 | lease the hospital facilities of the health center known as the |
| 58 | Shands Teaching Hospital and Clinics on the Gainesville campus |
| 59 | of the University of Florida, and all furnishings, equipment, |
| 60 | and other chattels or choses in action used in the operation of |
| 61 | the hospital, to Shands Teaching Hospital and Clinics, Inc., a |
| 62 | private not-for-profit corporation organized solely for the |
| 63 | primary purpose of supporting the University of Florida Board of |
| 64 | Trustees' health affairs mission of community service and |
| 65 | patient care, education and training of health professionals, |
| 66 | and clinical research. In furtherance of that primary purpose, |
| 67 | Shands Teaching Hospital and Clinics, Inc., shall operate |
| 68 | operating the hospital and ancillary health care facilities as |
| 69 | deemed of the health center and other health care facilities and |
| 70 | programs determined to be necessary by the board of the Shands |
| 71 | Teaching Hospital and Clinics, Inc. nonprofit corporation. The |
| 72 | rental for the hospital facilities shall be an amount equal to |
| 73 | the debt service on bonds or revenue certificates issued solely |
| 74 | for capital improvements to the hospital facilities or as |
| 75 | otherwise provided by law. |
| 76 | (b) The University of Florida Board of Trustees shall |
| 77 | provide in the lease or by separate contract or agreement with |
| 78 | Shands Teaching Hospital and Clinics, Inc., the not-for-profit |
| 79 | corporation for the following: |
| 80 | 1. Approval of the articles of incorporation of Shands |
| 81 | Teaching Hospital and Clinics, Inc., the not-for-profit |
| 82 | corporation by the University of Florida Board of Trustees and |
| 83 | the governance of that the not-for-profit corporation by a board |
| 84 | of directors appointed, subject to removal, and chaired by the |
| 85 | President of the University of Florida, or his or her designee, |
| 86 | and vice chaired by the Vice President for Health Affairs of the |
| 87 | University of Florida or his or her designee. |
| 88 | 2. The use of hospital facilities and personnel in support |
| 89 | of community service and patient care, the research programs, |
| 90 | and of the teaching role of the health center. |
| 91 | 3. The continued recognition of the collective bargaining |
| 92 | units and collective bargaining agreements as currently composed |
| 93 | and recognition of the certified labor organizations |
| 94 | representing those units and agreements. |
| 95 | 4. The use of hospital facilities and personnel in |
| 96 | connection with research programs conducted by the health |
| 97 | center. |
| 98 | 5. Reimbursement to the hospital for indigent patients, |
| 99 | state-mandated programs, underfunded state programs, and costs |
| 100 | to the hospital for support of the teaching and research |
| 101 | programs of the health center. Such reimbursement shall be |
| 102 | appropriated to either the health center or the hospital each |
| 103 | year by the Legislature after review and approval of the request |
| 104 | for funds. |
| 105 | (c) The University of Florida Board of Trustees may, with |
| 106 | the approval of the Legislature, increase the hospital |
| 107 | facilities or remodel or renovate them, provided that the rental |
| 108 | paid by the hospital for such new, remodeled, or renovated |
| 109 | facilities is sufficient to amortize the costs thereof over a |
| 110 | reasonable period of time or fund the debt service for any bonds |
| 111 | or revenue certificates issued to finance such improvements. |
| 112 | (d) The University of Florida Board of Trustees is |
| 113 | authorized to provide to Shands Teaching Hospital and Clinics, |
| 114 | Inc., the not-for-profit corporation leasing the hospital |
| 115 | facilities, and its not-for-profit subsidiaries and affiliates, |
| 116 | comprehensive general liability insurance, including |
| 117 | professional liability, from a self-insurance trust program |
| 118 | established pursuant to s. 1004.24. |
| 119 | (e) Shands Teaching Hospital and Clinics, Inc., may, in |
| 120 | support of the health affairs mission of the University of |
| 121 | Florida Board of Trustees and with its prior approval, create |
| 122 | either for-profit or not-for-profit corporate subsidiaries and |
| 123 | affiliates, or both. The University of Florida Board of |
| 124 | Trustees, which may act through the President of the University |
| 125 | of Florida or his or her designee, has the right to control |
| 126 | Shands Teaching Hospital and Clinics, Inc. Shands Teaching |
| 127 | Hospital and Clinics, Inc., and any not-for-profit subsidiary |
| 128 | shall be conclusively deemed corporations primarily acting as |
| 129 | instrumentalities of the state, pursuant to s. 768.28(2), for |
| 130 | purposes of sovereign immunity. |
| 131 | (f)(e) In the event that the lease of the hospital |
| 132 | facilities to Shands Teaching Hospital and Clinics, Inc., the |
| 133 | not-for-profit corporation is terminated for any reason, the |
| 134 | University of Florida Board of Trustees shall resume management |
| 135 | and operation of the hospital facilities. In such event, the |
| 136 | University of Florida Board of Trustees is authorized to utilize |
| 137 | revenues generated from the operation of the hospital facilities |
| 138 | to pay the costs and expenses of operating the hospital facility |
| 139 | for the remainder of the fiscal year in which such termination |
| 140 | occurs. |
| 141 | (5)(a) Shands Jacksonville Medical Center, Inc., and its |
| 142 | parent, Shands Jacksonville Healthcare, Inc., are private not- |
| 143 | for-profit corporations organized primarily to support the |
| 144 | health affairs mission of the University of Florida Board of |
| 145 | Trustees in community service and patient care, education and |
| 146 | training of health affairs professionals, and clinical research. |
| 147 | Shands Jacksonville Medical Center, Inc., is a teaching hospital |
| 148 | affiliated with the University of Florida Board of Trustees, |
| 149 | located on the Jacksonville campus of the University of Florida. |
| 150 | Shands Jacksonville Medical Center, Inc., and Shands |
| 151 | Jacksonville Healthcare, Inc., may, in support of the health |
| 152 | affairs mission of the University of Florida Board of Trustees |
| 153 | and with its prior approval, create either for-profit or not- |
| 154 | for-profit corporate subsidiaries and affiliates, or both. The |
| 155 | University of Florida Board of Trustees, which may act through |
| 156 | the President of the University of Florida or his or her |
| 157 | designee, has the right to control Shands Jacksonville Medical |
| 158 | Center, Inc., and Shands Jacksonville Healthcare, Inc. Shands |
| 159 | Jacksonville Medical Center, Inc., Shands Jacksonville |
| 160 | Healthcare, Inc., and any not-for-profit subsidiary of Shands |
| 161 | Jacksonville Medical Center, Inc., shall be conclusively deemed |
| 162 | corporations primarily acting as instrumentalities of the state, |
| 163 | pursuant to s. 768.28(2), for purposes of sovereign immunity. |
| 164 | (b)(f) The University of Florida Board of Trustees is |
| 165 | authorized to provide to Shands Jacksonville Healthcare, Inc., |
| 166 | and its not-for-profit subsidiaries and affiliates and any |
| 167 | successor corporation that acts in support of the board of |
| 168 | trustees, comprehensive general liability coverage, including |
| 169 | professional liability, from a the self-insurance program |
| 170 | programs established pursuant to s. 1004.24. |
| 171 | Section 2. This act shall take effect July 1, 2011. |