State SealARIZONA HOUSE OF REPRESENTATIVES

 

SB 1009: insurance; corporations; directors

PRIME SPONSOR: Senator Fann, LD 1

BILL STATUS: House Engrossed

               

Legend: Amendments – BOLD and Stricken (Committee)

Abstract

☐ Prop 105 (45 votes) ☐ Prop 108 (40 votes) ☐ Emergency (40 votes) ☐ Fiscal NoteRelating to directors of hospital and medical service corporations.

Provisions

1.       Removes the requirement for the directors of a corporation to have a representative for administrators or trustees of hospitals contracted with a hospital service corporation or a hospital and medical service corporation to provide hospital services. (Sec. 1)

2.       Eliminates the requirement for the directors of a corporation to include a representative for licensed physicians and surgeons who have a contract with a medical service corporation or a hospital and medical service corporation to provide hospital services. (Sec. 1)

3.       Makes technical and conforming changes. (Sec. 1)

Current Law

A Hospital service corporation, medical service corporation, dental service corporation, optometric service corporation or hospital, medical dental and optometric corporation are organized under statute for the purpose of establishing, maintaining and operating nonprofit hospital, medical, dental, or optometric services by a hospital and may include extended care facilities, home health agencies or professional and technical personnel that provide services. (A.R.S. § 20-822)

The directors of the above-mentioned corporations must always have a representative for:

a.       Administrators or trustees of hospitals that contract to provide hospital services with a hospital service corporation or a hospital and medical service corporation;

b.       Physicians and surgeons licensed to practice in the state who are contracted with a medical service corporation or a hospital and medical service corporation to render medical services;

c.        Dentists licensed to practice in Arizona who are contracted with the dental service corporation to provide dental services;

d.       Optometrists licensed to practice in Arizona who are contracted with an optometric service corporation to provide optometric services; and

e.       The general public.  (A.R.S. § 20-829)

 

 

 

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Fifty-third Legislature                  SB 1009

Second Regular Session                               Version 3: House Engrossed

 

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