. 

MAYTOX 

* nay QenOf8l 

The Attorney General of Texas 

Docembat 21. 1984 

Eonorablc Ed &ward Oplnioo No. JM-258 . 

chairman 

Sub-comittec on No=inrltiona Re: methar a ho*pital district 

Texas State Senate created bg,chaptar 298. Acta 1963, 

P. 0. Box L2068, Capi’rol Station Fifty-eighth Legialatura, 

Austin. Texaa 78711 laaac a portion of it4 phyaiz: 

plant to private physiciana 

Id. TX. 752024525 

n424B44 

!w Albwa AW., Suit. 150 

PSSO, TX. 79BOS2793 

5 Xk34B4 

31 Trr*r. wte 700 

ton. TX. 77002.3111 

3 5B55 

I Srordway. Suite 312 

L ccl TX. 754014470 

M47-5225 

Y N. Tenth. Suite B 

c*llen. TX. 7aw1.lw5 

:2aB24547 

XI Maln flue. Bull. 4W 

.I mtonlo. TX. 752053757 

1 2254191 

Dear Senator Howard: 

The Titus Counly Hospital Diatrlct is. a county-wide hospital 

district created by chapter 298. Acta 1963, of the Fifty-eighth 

Legislature. under authority of article IX. section 9 of the Texas 

Conaritution. You r,ak whether this hospital district may lease a 

portion of its phyalcrl plant to private physicians for a term of leas 

than one year, provtded lease revenue4 are paid to the hoapital*a 

general operating fund. Ftom your question, ve asaume that the 

physicians would be !.easlng the facilftiea for offices in which to 

engage in .the private prsctice of mediclna. 

the Titui County IMpit Dlatrict 

It la our opinion that 

lacka authority to leaae Its 

facilities for that I~urpoae. 

A hospital district derive6 it6 power from the constitution and 

the act creating the district. 

(1967). 

See Attorney General Opinion n-171 

A special pw:poae diatric~y “exarci 

are expressly deleg#lted to it by the Legislat 

nly the pmers that 

or which exist by 

purpoa~” for which the district la created and that powers vhlch are 

not upreaaed and are “merely eonvanient or uaeful” may not be 

conducted by the district. ld. at 947. 

- 

Article IX, aecclon 9 of the constitution provides, in pare: 

Sec. 9. The Legislature may by law provide for 

the crea tlcnt establishment, maintenance and 

operation cf hospital districts composed of one or 

more coun~Les or all or any part of one or more 

counties with povar to issue bonds for tha 

purchase, -construction. 

renovatlol~ 

acquisition, repair or 

of buildings and improvement4 and 

p. 1148 
Nonotable Cd Howard - Page 2 (JH-258) 

\ 

equipping same, for~hoapital purposes; providing 

for the transfer to the hoaoltsl district of the 

title to any land, build&, improvemLa and 

equipment located vholly within the district vhich 

may be jointly or r~eparately owned by any city, 

Con! or county, prcwiding that any diarricr so 

created shall assume full responsibiliLy for 

providing medical ax;1 hospital care for ice needy 

inhabltan~a and. . .-. (Emphasis added). i 

As originally enacted and subsequently amended, chapter 

1963, Fifth-eighth Legislature, in pertinent part, provides: 

298, Acts 

SecUou 1. In accordance with the provisiona 

-- 

of Article IX, Seciion 9, Constitution of the 

Stare of Texas, thi!L Act shall be operative so as 

(0 authorize the creation, establishment, malnrenance and operation of a Hospital District 

vithin rhe State of Texas, to be known as Titus 

County Hospital District, and the boundaries of 

said District aha:;I. be cosrrensive with the 

boundaries of Titus County (hereinafter referred 

to as the ‘County’)!, and said District shall have 

the powers and res~~onsibiliries provided by the 

aforesaid Constituri&al provision. 

Sec. 2. That said District hereby provided for 

shall assume full ?esponaibility for providing 

medlcal and hoapitai care for the needy residing 

within the Diarrict.-. . . 

. . , . 

# 

l c. 14. Neith@!r the County nor any city 

c eln shall. aftl!:r rhe Hospital District has 

been organized in pursuance of this Act, levy any 

tax for hospital purposes; and such Hospiral 

District shall ,be deemed to have assumed full 

responsibiliry for ‘ihe furnishing of medical and 

hospital care for eGe needy and indigent persons 

residing In said Hc~pital District from rhe date 

that taxes are Fallected for the Hospital 

District. (Emphasis: added). 

The Titus County Hospit:ll. District is expressly authclrired and 

directed by article IX, secciisr~ 9 of the ccnscituciw and the enabling 

statute to acquire and manage physical plant facilities for hospital 

purposes and to provide medical and hospital care for the needy 

residing in the district. Im~ll.ied powers of the district must further 

the purposes for which the (district is created, namely. hospital 

purposes and medical care of needy inhabitants. 

p. 1149 
Ronorsbls Ed Howard - Page 3 (JH-258) 

Us concluds that ths Titur County liospital District derives from 

the constitution and enabling atstuts no express or implisd pwer to 

lease on any terms s portion of its hospital property for use se 

private offices for private physicians. This off Ice previously 

concluded that svss when a comty had statutory .autbority to Isass a 

county hospital to be opsrat,cd as s hospital, ths county did not 

thereby acquire authority to 11!ass portions of Its hospital for use 88 

private medical offices. see Lttornsy General Opinion g-16 (1973). 

See also Attorney Censralj,:!nion H-31 (1973). Cf. Sullivan v. 

Andrws County, 517 S.W.2d 410 (Tu. Civ. App. - tl-%so 1974, vrit 

rsf’d n.r.s.1 (express ata tutory suthority to lease medical 

facilities). But dst Oak L,wn Preservation Society v. Board of 

Managers of Dallas County Roap:ii:al District, 566 S.W.Zd 315. 317 (TsX. 

civ. App. - Dallas 1978, vrit :;!f’d n.r.e.) (validity of lsass betveen 

hospital district and county fqxr uas of former hospital as jail not an 

issue determined on appeal); Attorney General Opinion M-912 (1971) 

(hospital district vlth author.lty to contract vith private hospital 

and doctors for laboratory testing to be performed vlth hospital 

laboratory equipment). Whsrc!es laboratory testing ,is a hospital 

function, offices for the private practice of medicine are not 

“hospital purposes” or the prwision of “medical or hospital cars for 

the needy .” 

The povers of the hospit.a.1 district in question are measured by 

the terms of article IX, set tion 9 and chapter 298, of the Plftyeighth Legislature. which cwatsd the district. neither of vhlch 

contains an sxpress or implied grant of authority to lsass hospital 

fscilitles for use as l nythirla, other than hospital purposes and the 

provision of medical hospital cars for its needy inhabitants. 

2-U M M A R Y 

The Titus County Hospital District has neither 

sxprsss nor implied authority to lease part of It: 

physical plant to private physicians for use as 

private medical offices. 

JIM MATTOX 

Attorney General of Texas 

TOM GREEN 

First Assistant Attorney Gene::al 

DAVID R. RICHARDS 

Executive Assistant Attorney I:ti?nsral