HB 467

relating to the procedure for the dissolution of the Cedar Creek
Hospital District and the disposition of district money.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1.  Section 22, Chapter 22, Acts of the 63rd
Legislature, Regular Session, 1973, is amended to read as follows:
Sec. 22.  Except as provided by Sections [Section] 21A(c)
and 21C(c), any election held under this Act shall be in accordance
with the Texas Election Code as it presently exists, and is
hereafter amended and any final court decision or decisions
SECTION 2.  Chapter 22, Acts of the 63rd Legislature,
Regular Session, 1973, is amended by adding Section 21C to read as
Sec. 21C.  (a)  The district may be dissolved as provided by
(1)  the district is not providing or paying for the
provision of medical or hospital care;
(2)  all positions on the board of directors of the
(3)  the district has no outstanding indebtedness; and
(4)  the only remaining asset of the district is money.
(b)  The county judges of Kaufman, Van Zandt, and Henderson
Counties may jointly agree to order an election on the question of
dissolving the district and using any remaining district money to
establish and administer the scholarship described by Subsection
(c)  Section 41.001(a), Election Code, does not apply to an
election held under this section.
(d)  The ballot for the election shall be printed to permit
voting for or against the proposition: "The dissolution of the
Cedar Creek Hospital District and the use of district money to
establish and administer the Andrew Gibbs Memorial Nursing
(e)  If a majority of the votes cast in the election do not
favor the proposition, the county judges of Kaufman, Van Zandt, and
Henderson Counties may not take any additional action under this
(f)  If a majority of the votes cast in the election favor the
(1)  the county judges of Kaufman, Van Zandt, and
(A)  find that the district is dissolved; and
(B)  transfer the district money in equal shares
to Kaufman, Van Zandt, and Henderson Counties for the purpose of
establishing and administering the Andrew Gibbs Memorial Nursing
Scholarship in accordance with Subsection (g) of this section; and
(2)  not later than the 10th day after the date the
commissioners courts of Kaufman, Van Zandt, and Henderson Counties
determine that the requirements of Subdivision (1) of this
subsection have been met, the commissioners courts of the counties
shall enter orders dissolving the district.
(g)  The county judges of Kaufman, Van Zandt, and Henderson
Counties shall use the money transferred under Subsection (f) of
this section to jointly establish and administer the Andrew Gibbs
Memorial Nursing Scholarship.  The counties shall jointly establish
an oversight committee to administer the scholarship.  The
oversight committee may establish eligibility criteria and
procedures for the application and selection process, provided that
the eligibility criteria must require an individual receiving a
(1)  reside in the boundaries of the district, as those
boundaries existed on the date of the election described by
Subsection (b) of this section, at the time the individual is
accepted for admission to a nursing education program at an
institution of higher education in this state; and
(2)  be currently enrolled in, or have been accepted
for admission to, a nursing education program described by
Subdivision (1) of this subsection.
SECTION 3.  This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution.  If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2025.