SB243 - University Authority Act of 2016 Summary

• Authorizes public universities operating schools of medicine to form new public corporations called "authorities" to own and operate health care facilities and engage in health care delivery.

• Grants authorities broad powers including eminent domain, ability to issue bonds and incur debt, form university affiliates, enter contracts, and collaborate with public and private health care entities.

• Exempts authorities and university affiliates from state taxation, competitive bidding laws, and state ethics laws; authorities may exercise powers even if deemed anticompetitive under antitrust laws.

• Establishes procedures for incorporating, amending, and dissolving authorities; requires sponsoring university approval for major actions and annual audits by certified public accountants.

• Allows existing health care authorities incorporated under prior law to reincorporate as authorities under this act; authority assets vest in sponsoring university upon dissolution.