SENATE BILL REPORT

                                   SHB 2771

             AS REPORTED BY COMMITTEE ON HEALTH & LONG-TERM CARE,

                               FEBRUARY 27, 1992

Brief Description:  Modifying regulations pertaining to county hospital boards.

SPONSORS: House Committee on Appropriations (originally sponsored by Representatives Locke, Ferguson, Anderson, Wineberry, O'Brien and Leonard)

HOUSE COMMITTEE ON APPROPRIATIONS

SENATE COMMITTEE ON HEALTH & LONG‑TERM CARE

Majority Report:  Do pass. 

      Signed by Senators West, Chairman; L. Smith, Vice Chairman; M. Kreidler, Niemi, and Wojahn.

Staff:  Scott Plack (786‑7409)

Hearing Dates: February 24, 1992; February 27, 1992

BACKGROUND:

Harborview Medical Center is a county hospital managed, under a contract, by the University of Washington.

The 1989 Legislature responded to a fiscal crisis at Harborview by appropriating additional funds and contracting for a study of Harborview's management, finances, and governance.  The study report included recommendations for changes to Harborview's governance structure.  Among the key recommendations were:  1) to give Harborview more discretion on capital projects financed by non-bond sources; 2) to include board members appointed by the state government; and 3) to strengthen the link between the University of Washington and the board in order to increase the visibility of Harborview's educational needs in the university decision making.

SUMMARY:

There is a legislative finding recognizing county hospitals are primary teaching facilities which serve a vital public interest in serving the poor.  The intent of the act is to assure such hospitals further these interests and to strengthen their economic viability.

The governance structure of certain county hospitals is changed.  Harborview is the only county hospital currently subject to the changes.

The size of the governing board is expanded from 13 to 15.  Four appointments are made by the Governor with the consent of the Senate.  One of the Governor's appointees may be a regent of the University of Washington.  The remaining appointments are made by the county legislative authority.  Provisions are made for transitional appointments to ensure continuity of the board.  After the transition period, board members' terms will be four years.  After the effective date of the act, no individual may serve more than three successive four-year terms on the board.

The trustees of the hospital must submit a six-year capital plan to the county legislative authority each year.  The board's authority over renovations and capital improvements is expanded.

The bill declares that hospitals established in the chapter are not state agencies and that the state is not liable for debts or claims associated with the hospital.

Appropriation:  none

Revenue:  none

Fiscal Note:  none requested

TESTIMONY FOR:

The modifications on the board of trustees will broaden the perspective of the facility to the issues and concerns of that state and others.

TESTIMONY AGAINST:  None

TESTIFIED:  Norris Bacho, Stevens Frink, Harborview Medical Center; Patricia McInturff, King County