(a) The governing body of a municipality with a population of 25,000 or less may lease all or part of a hospital owned by the municipality for operation by the lessee as a public hospital under terms that are satisfactory to the governing body and the lessee. The term of the lease may not exceed 50 years.
(b) The lease must:
(1) be authorized by ordinance or resolution adopted by the governing body;
(2) be executed on behalf of the municipality by the mayor and the municipal secretary or clerk; and
(3) have the seal of the municipality impressed on the lease.

Terms Used In Texas Health and Safety Code 261.013

  • Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
  • Population: means the population shown by the most recent federal decennial census. See Texas Government Code 311.005