1.1.................... moves to amend H.F. No. 3431, the second engrossment, as follows:
1.2Page 46, after line 30, insert:

1.3    "Sec. .... Laws 1992, chapter 534, section 7, subdivision 1, is amended to read:
1.4    Subdivision 1. Governing board. The hospital district shall be governed by a board of
1.5directors of at least nine and not more than 12 six voting members, elected as provided in
1.6subdivision 2. All members of the hospital board at the time the hospital district is organized
1.7shall continue in office until the members of the first board of the hospital district are elected
1.8and qualify. The hospital district may change the number of board members through adoption
1.9and amendment of bylaws under section 10, subdivision 5.
1.10EFFECTIVE DATE.This section is effective the day after the governing bodies of
1.11Swift County and the city of Benson and their respective chief clerical officers timely
1.12complete their compliance with Minnesota Statutes, section 645.021, subdivisions 2 and 3.

1.13    Sec. .... Laws 1992, chapter 534, section 7, subdivision 2, is amended to read:
1.14    Subd. 2. Election. Three Two directors shall be elected by the city council and six four
1.15directors shall be elected by the county board, unless otherwise provided in the bylaws
1.16under section 10, subdivision 5. Up to three Additional voting members and additional
1.17nonvoting members may be provided for in bylaws adopted pursuant to section 5 10,
1.18subdivision 5. As nearly as possible, one-third of the members of the first board of directors
1.19shall be elected for a term to expire one year from the next December 31 following that
1.20election, one-third for a term to expire two years from that date, and one-third for a term to
1.21expire three years from that date. Each of the political subdivisions electing directors shall
1.22assign terms of office to each director according to these staggered terms. Successors to the
1.23first board members shall each be elected for terms of three years, and all members shall
1.24hold office until their successors are elected and qualify. Terms of office shall expire on
2.1December 31. In case of vacancy on the board of directors, whether due to death, removal
2.2from the district, inability to serve, resignation, removal by the entity that elected the director,
2.3or other cause, the majority of the governing body of the entity that elected the director
2.4whose position is vacant shall elect a director to fill such vacancy for the then unexpired
2.5term.
2.6EFFECTIVE DATE.This section is effective the day after the governing bodies of
2.7Swift County and the city of Benson and their respective chief clerical officers timely
2.8complete their compliance with Minnesota Statutes, section 645.021, subdivisions 2 and 3.

2.9    Sec. .... Laws 1992, chapter 534, section 7, subdivision 3, is amended to read:
2.10    Subd. 3. Compensation. The members of the board of directors may receive
2.11compensation for their services as such and may be reimbursed for reasonable expenses
2.12necessarily incurred in the performance of their duties to the extent provided for in bylaws
2.13adopted pursuant to section 5 10, subdivision 5.
2.14EFFECTIVE DATE.This section is effective the day after the governing bodies of
2.15Swift County and the city of Benson and their respective chief clerical officers timely
2.16complete their compliance with Minnesota Statutes, section 645.021, subdivisions 2 and 3.

2.17    Sec. .... Laws 1992, chapter 534, section 8, subdivision 2, is amended to read:
2.18    Subd. 2. Duties. The officers shall have the duties specified in this subdivision and
2.19additional duties as set forth in bylaws adopted in accordance with section 5 10, subdivision
2.205. The chair shall preside at all meetings of the board of directors and shall perform all
2.21duties usually incumbent upon such an officer. The vice-chair shall preside in the absence
2.22of the chair. The secretary shall record the minutes of all meetings of the board and be the
2.23custodian of all books and records of the district. The treasurer shall be the custodian of
2.24money received by the district and shall see that they are properly accounted for. The board
2.25may appoint deputies who shall perform any functions and duties of any officer, subject to
2.26the supervision and control of the officer.
2.27EFFECTIVE DATE.This section is effective the day after the governing bodies of
2.28Swift County and the city of Benson and their respective chief clerical officers timely
2.29complete their compliance with Minnesota Statutes, section 645.021, subdivisions 2 and 3.

2.30    Sec. .... Laws 1992, chapter 534, section 10, subdivision 4, is amended to read:
2.31    Subd. 4. Approval for sale or lease. Nothing contained in this section 5 shall be
2.32construed to authorize the district or its board of directors to at any time sell, lease, or
3.1otherwise transfer the management, control or operation of the hospital, including nursing
3.2home or other facilities, except upon approval by a majority vote of the county board and
3.3the city council.
3.4EFFECTIVE DATE.This section is effective the day after the governing bodies of
3.5Swift County and the city of Benson and their respective chief clerical officers timely
3.6complete their compliance with Minnesota Statutes, section 645.021, subdivisions 2 and 3.

3.7    Sec. .... Laws 1992, chapter 534, section 16, is amended to read:
3.8    Sec. 16. LEASE OF FACILITIES TO NONPROFIT OR PUBLIC CORPORATION.
3.9    Subject to section 5 10, subdivision 4, the hospital district may lease hospital, nursing
3.10home, or other facilities to be run by a nonprofit or public corporation as community facilities.
3.11The facilities must be open to all residents of the community on equal terms. The district
3.12may lease related medical facilities to any person, firm, association, or corporation, at rent
3.13and on conditions agreed. The term of the lease must not exceed 30 years. The lessee may
3.14be granted an option to renew the lease for an additional term or to purchase the facilities.
3.15The terms of renewal or purchase must be provided for in the lease. The hospital district
3.16may by resolution of its governing body agree to pay to the lessee annually, and to include
3.17in each annual budget for hospital and nursing home purposes, a fixed compensation for
3.18services agreed to be performed by the lessee in running the hospital, nursing home, or other
3.19facilities as a community facility; for any investment by the lessee of its own funds or funds
3.20granted or contributed to it in the construction or equipment of the hospital, nursing home,
3.21or other facilities; and for any auxiliary services to be provided or made available by the
3.22lessee through other facilities owned or operated by it. Services other than those provided
3.23for in the lease agreement may be compensated at rates agreed upon later. The lease
3.24agreement must, however, require the lessee to pay a net rental not less than the amount
3.25required to pay the principal and interest when due on all revenue bonds issued by the
3.26hospital district to acquire, improve, and refinance the leased facilities, and to maintain the
3.27agreed revenue bond reserve. The lease agreement must not grant the lessee an option to
3.28purchase the facilities at a price less than the amount of the bonds issued and interest accrued
3.29on them, except bonds and accrued interest paid from the net rentals before the option is
3.30exercised.
3.31    To the extent that the facilities are leased under this section for use by persons in private
3.32medical or dental or similar practice or other private business, a tax on that use must be
4.1imposed just as though the user were the owner of the space. It must be collected as provided
4.2in Minnesota Statutes, section 272.01, subdivision 2.
4.3EFFECTIVE DATE.This section is effective the day after the governing bodies of
4.4Swift County and the city of Benson and their respective chief clerical officers timely
4.5complete their compliance with Minnesota Statutes, section 645.021, subdivisions 2 and
4.63."
4.7Renumber the sections in sequence and correct the internal references
4.8Amend the title accordingly