§ 101856 Authority Dissolution And Transfer

This law lets the county board decide to shut down a public authority (like a medical center), figure out what to do with its money, property, and debts, and then officially end the authority.

Key Takeaways

•The board of supervisors can end the authority and must decide how to handle its assets and debts.
•The county is not automatically forced to take on the authority’s property or liabilities unless there is a written agreement.
•Before the authority is dissolved, the board must notify the State Department of Health Care Services at least 30 days in advance and then repeal the ordinance that created the authority.

Example

The county runs a hospital through a special authority. The board decides the hospital should close and the authority be dissolved.

The board must make a plan for what happens to the hospital building, any equipment, and any money owed. If they want the county to take over the building, they have to agree to it; otherwise the county doesn’t have to take anything. They also have to tell the state health department 30 days before the closure and then cancel the law that created the authority.

(a) The board of supervisors may find and declare that the authority shall cease to exist. In that event, the board of supervisors shall provide for the disposition of the authority’s assets, obligations, and liabilities, which may include the transfer to the county of the medical center and other operations, or specified components of the medical center and other operations, through ordinance, resolution, or other action. Alternatively, the board of supervisors may order the board of governors to develop a plan of dissolution providing for the disposition of all of the assets and liabilities of the authority, which shall be subject to approval by the board of supervisors. Absent written agreement, or as otherwise provided in this chapter, the county shall not be obligated under any law to assume the authority’s obligations or liabilities, or take title to, or custody or control of, the authority’s assets. (b) Upon the disposition of the liabilities of the authority and distribution of any remaining assets, as applicable, the board of supervisors shall rescind the ordinance that established the authority, and the authority shall cease to exist. The board of supervisors shall notify the State Department of Health Care Services 30 days prior to the effective date of the dissolution, and include in the notice whether the county intends for either or both, or specified components of, the medical center or other operations to be transferred to the county upon the effective date of dissolution of the authority. (Amended by Stats. 2015, Ch. 790, Sec. 7. (AB 1350) Effective January 1, 2016.)

This law lets the county board decide to shut down a public authority (like a medical center), figure out what to do with its money, property, and debts, and then officially end the authority.

Key Takeaways

•The board of supervisors can end the authority and must decide how to handle its assets and debts.
•The county is not automatically forced to take on the authority’s property or liabilities unless there is a written agreement.
•Before the authority is dissolved, the board must notify the State Department of Health Care Services at least 30 days in advance and then repeal the ordinance that created the authority.

Example

The county runs a hospital through a special authority. The board decides the hospital should close and the authority be dissolved.

Key Takeaways

Example

Key Terms

References

§ 101856 Authority Dissolution And Transfer

Key Takeaways

Example

Key Terms

References

Key Takeaways

Example

Key Terms

Related Statutes

References

Key Takeaways

Example

Key Terms

Related Statutes

References