Article 1 in general 351101. Local contributions; disposition



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3521101.  Short title.
This act may be cited as the "Health Care Facility Receivership Act."
3521102.  Definitions.
(a)  As used in this act:
(i)  "Department" means the department of health;
(ii)  "Health care facility" means any facility licensed or certified by the department that is a hospital or that normally provides twentyfour (24) hour per day care for individuals, including the facility's owner, operator or licensee;
(iii)  "This act" means W.S. 3521101 through 3521109.
3521103.  Petition for receivership; hearing; parties; emergency order.
(a)  The department may file a petition in the district court to appoint a receiver for a health care facility, if the facility:
(i)  Is operating without a license or the facility's license has been suspended, revoked or not timely renewed; or
(ii)  Presents a situation, physical condition, practice or method of operation that causes an imminent danger of death or significant mental or physical harm to its residents or patients.
(b)  Service of process shall be made in any manner as provided by the Rules of Civil Procedure. If personal service cannot practicably or promptly be made as provided in the Rules of Civil Procedure, service may be made by delivery of the summons with the petition attached to any person in charge of the health care facility at the time service is made.
(c)  The court shall hold a hearing on the merits of the petition not later than ten (10) days after the date the petition is filed.
(d)  Following a hearing, the district court shall appoint the director of the department as the receiver if it finds by a preponderance of the evidence that any of the conditions in subsection (a) of this section exist.
(e)  The court may appoint a receiver upon an ex parte motion when affidavits, testimony or any other evidence presented indicates there is a reasonable likelihood that any of the conditions in paragraph (a)(ii) of this section exist. Notice of the petition and ex parte order appointing the receiver shall be served in any manner as provided by the Rules of Civil Procedure and shall be posted in a conspicuous place inside the facility not later than twentyfour (24) hours after issuance of the order. A hearing on the original petition shall be held not later than five (5) days after the issuance of the ex parte order unless the health care facility consents to a later date or waives the hearing.
(f)  Following any regular or ex parte hearing, the director of the department may designate a qualified person, experienced in health facility management, to act as the receiver. The designated person shall be free of conflict of interest with the health care facility that is in receivership.
(g)  After the appointment of a receiver, the court shall conduct a hearing on the status of the receivership every six (6) months.
3521104.  Effect of appointment.
When a receiver is appointed under this act, the health care facility shall be divested of possession and control in favor of the receiver. The appointment of the receiver shall not affect the rights of the health care facility to defend against any claim, suit or action against the facility, including, but not limited to, any licensure, certification or injunctive action taken by the department.
3521105.  Powers and duties of a receiver.
(a)  A receiver appointed under this act shall:
(i)  Have the same powers as a receiver under W.S. 133104 and shall exercise those powers necessary to remedy the conditions that constituted grounds for the imposition of the receivership, assure adequate health care for the residents or patients and preserve the assets and property of the health care facility;
(ii)  Notify each resident or patient and each resident or patient's guardian or conservator, if any, or other responsible party, if known, of the receivership;
(iii)  Collect incoming payments from all sources;
(iv)  Apply the current revenue and current assets of the health care facility to current operating expenses of the facility;
(v)  Pay taxes against the health care facility which become due during the receivership;
(vi)  Be entitled to take possession of all property, assets and records of residents or patients which are in the possession of the health care facility. The receiver shall preserve all property, assets and records of residents or patients of which the receiver takes possession.
(b)  In addition to the powers and duties provided in subsection (a) of this section, a receiver may exercise the following powers:
(i)  Assume the role of administrator and take control of daytoday operations of the health care facility or name a qualified administrator to conduct the daytoday operations of the health care facility subject to the supervision and direction of the receiver;
(ii)  Correct or eliminate any deficiency in the structure or furnishings of the health care facility that endangers the safety or health of the residents or patients while they remain in the facility, provided the total cost of correction does not exceed three thousand dollars ($3,000.00). The court may order expenditures for this purpose in excess of three thousand dollars ($3,000.00) on application from the receiver;
(iii)  Remedy violations of federal and state laws and regulations governing the operation of the health care facility;
(iv)  Contract for or hire agents and employees to maintain and operate the facility; and
(v)  Hire or discharge any employees including the health care facility's administrator.
(c)  The receiver in its discretion may, but shall not be required to, defend any claim, suit or action against the receiver or the health care facility arising out of conditions, actions or circumstances occurring or continuing at the health care facility after the appointment of the receiver.
(d)  The district court may limit or expand the powers or duties of a receiver.
3521106.  Termination of receivership.
(a)  The court, upon a motion by the receiver, the health care facility or the owner of the physical facility, may terminate the receivership if:
(i)  The receivership is no longer necessary because the conditions which gave rise to the receivership no longer exist;
(ii)  All of the residents in the facility have been transferred or discharged and the facility is ready to be closed; or
(iii)  The owner of the physical facility or the health care facility enters into a lease or sale agreement with a prospective operator of the facility who is licensed or can be licensed by the department and who in the judgment of the department will likely remedy the cause of the receivership.
(b)  In its termination order, the court may include terms it deems necessary to prevent the future occurrence of the conditions upon which the receivership was ordered.
3521107.  Priorities.
(a)  During a receivership under this act, the following expenses and claims have priority in the following order:
(i)  The costs and expenses of the administration of the health care facility during the term of the receivership;
(ii)  Claims for:
(A)  Wages actually owing to employees, other than officers of the facility, for services rendered within three (3) months prior to the date of commencement of the receivership proceeding against the facility, but not exceeding one thousand dollars ($1,000.00) to each employee;
(B)  Secured claims, including claims for taxes and debts due the federal or any state or local government, which are secured prior to the appointment of the receiver.
(iii)  Claims by or on behalf of individual patients or clients for the cost of health care services which were to be provided by the facility, but were not received by the patient or client for whom the care was paid;
(iv)  Unless otherwise provided by law, all other claims of general creditors not falling within any other priority under this section, including claims for taxes and debts due to the federal government or any state or local government which are not secured claims;
(v)  Proprietary claims of shareholders, members or officers of the health care facility.
(b)  Upon motion by a claimant or by one (1) of the parties to a receivership action under this act, the district court may amend the priorities listed in subsection (a) of this section and order payment of claims as may be necessary in the interest of justice.
3521108.  Receiver's liability.
(a)  The liability of the department shall be limited as set forth in the Wyoming Governmental Claims Act, W.S. 139101 through 139121, for the operation of medical facilities and the provision of health care.
(b)  If a person is designated to act as a receiver pursuant to W.S. 3521103(f) and is not covered by the Wyoming Governmental Claims Act, W.S. 139101 through 139121, the designated receiver shall only be held liable in a personal capacity for the designated receiver's own gross negligence, intentional acts or breach of fiduciary duty.
3521109.  Applicability.
The receivership provisions of W.S 133101 through 133110 shall apply to actions under this act to the extent that they do not conflict with this act.
CHAPTER 3

SANITARY AND IMPROVEMENT DISTRICTS


353101.  Procedure for proposing establishment of sanitary and improvement districts.
(a)  Repealed by Laws 1998, ch. 115, § 5.
(b)  Repealed by Laws 1998, ch. 115, § 5.
(c)  Repealed by Laws 1998, ch. 115, § 5.
(d)  Repealed by Laws 1998, ch. 115, § 5.
(e)  Repealed by Laws 1998, ch. 115, § 5.
(f)  Repealed by Laws 1998, ch. 115, § 5.
(g)  A special sanitary and improvement district may be established under the procedures for petitioning, hearing and election of special districts as set forth in the Special District Elections Act of 1994.
353102.  Contents of petition; lands not to be included.
The petition for the establishment of said district shall contain a definite description of the territory intended to be embraced in such district according to government survey and the name of the proposed district. No lands included within any municipal corporation shall be included in any sanitary and improvement district, and no tract of twenty (20) acres or more which is outside any municipal corporation and is used primarily for industrial purposes shall be included in any sanitary and improvement district organized under this act without the written consent of the owner of such tract.
353103.  Election of trustees at organization; term; salary; corporate powers.
At the election for the organization of the district, there shall be elected two (2) trustees for a term of two (2) years and three (3) trustees for a term of four (4) years. Thereafter their respective successors shall be elected for a term of four (4) years and until their successors are elected pursuant to the Special District Elections Act of 1994. At the first meeting after election of one (1) or more members, the board shall elect one (1) of their number president. Such district shall be a body corporate and politic by name of "Sanitary and Improvement District of ....", with power to sue, be sued, contract, acquire, and hold property, and adopt a common seal. The trustees shall each receive as his salary the sum of three dollars ($3.00) for each meeting.
353104.  Bond of trustees.
Each trustee of any such district shall, prior to entering upon his office, execute and file with the county clerk of the county in which said district, or the greater portion of the area thereof, is located his bond, with one (1) or more sureties, to be approved by the county clerk, running to the state of Wyoming in the penal sum of five thousand dollars ($5,000.00), conditioned for the faithful performance by said trustee of his official duties and the faithful accounting by him for all funds and property of the district that shall come into his possession or control during his term of office. The premium, if any, on any such bond shall be paid out of the funds of the district. Suit may be brought on said bonds by any person, firm or corporation that has sustained loss or damage in consequence of the breach thereof.
353105.  Election and compensation of clerk; employment of engineer; ordinances, rules and regulations; publication of proceedings.
The board of trustees shall elect one (1) of their members clerk and have the power to appoint, employ and pay an engineer, who shall be removable at pleasure. The clerk may be paid not to exceed five hundred dollars ($500.00) per year by said board. The board shall have power to pass all necessary ordinances, orders, rules and regulations for the necessary conduct of its business and to carry into effect the objects for which such sanitary and improvement district is formed. Immediately after each regular and special meeting of said board, it shall cause to be published in one (1) newspaper of general circulation in the district, a brief statement of its proceedings, including an itemized list of bills and claims allowed, specifying the amount of each, to whom paid and for what purpose; provided, no publication shall be required unless the same can be done at an expense not exceeding onethird of the rate for publication of legal notices.
353106.  Power of trustees to establish water mains, sewers and disposal plants; approval by state department of health.
The board of trustees of any district organized under this act shall have power to provide for establishing, maintaining and constructing water mains, sewers and disposal plants, and disposing of drainage, waste and sewage of such district in a satisfactory manner. Any system established shall be approved by the Wyoming state department of health. The district may construct its sewage disposal plant and other sewerage improvements, in whole or in part, inside or outside the boundaries of the district and may contract with corporations or municipalities for disposal of sewage and use of existing sewerage improvements.
353107.  Contracts.
All contracts for work to be done, the expense of which is more than five hundred dollars ($500.00), may employ alternate design and construction delivery methods as defined in W.S. 166701 and shall be let to the lowest responsible bidder, upon notice of not less than twenty (20) days of the terms and conditions of the contract to be let. The board of trustees shall have power to reject any and all responses or bids and readvertise for the letting of such work.
353108.  Administration of finances.
The board of trustees of sanitary and improvement districts shall administer the finances of such districts according to provisions of the Uniform Municipal Fiscal Procedures Act.
353109.  Annual tax levy authorized; certification and collection; treasurer designated.
The board of trustees may annually levy and collect taxes for corporate purposes upon property within the limits of such sanitary and improvement district, to the amount of not more than one (1) mill on the dollar of the actual valuation for general purposes and file the resolution in the office of the county clerk who shall record the same in the county where the district lies. The board shall also certify the same to the county assessor of the counties in which the district is located, who shall extend the same upon the county tax list. The same shall be collected by the county treasurer in the same manner as state and county taxes. The county treasurer of the county in which the greater portion of the area of the district is located shall disburse the same on warrants of the board of trustees, and in respect to such fund the county treasurer shall be ex officio treasurer of the sanitary and improvement district.
353110.  Eminent domain; power conferred.
Such sanitary and improvement district may acquire by purchase, condemnation or otherwise, real or personal property, rightofway, and privilege, within or without its corporate limits, necessary for its corporate purposes.
353111.  Eminent domain; manner of exercise; ascertaining damage to property.
Whenever the board of trustees of any sanitary and improvement district shall by order determine to make any public improvement under the provisions of this act which shall require that private property be taken or damaged, the district may cause the damage therefor to be ascertained as nearly as may be according to the provisions of law for the appropriation of right-of-way by railway companies.
353112.  Right-of-way over public lands.
Whenever it is necessary, in making any improvement under the provisions of this act, to enter upon or cross any state or public lands, the district may acquire a right-of-way over the lands subject to any rules, regulations or requirements as may be necessary and by paying fair market value for the right-of-way as determined by the board of land commissioners subject to appeal to district court as to the determination of fair market value.
353113.  Annual oversight of accounts; information to be shown; powers and duties of director.
(a)  The director of the state department of audit shall cause there to be oversight of the books of account, kept by the board of trustees of each sanitary and improvement district in the state of Wyoming, in accordance with W.S. 91507 or 164121(f), as applicable.
(i)  Repealed by Laws 1995, ch. 199, § 2.
(ii)  Repealed by Laws 1995, ch. 199, § 2.
(iii)  Repealed by Laws 1995, ch. 199, § 2.
(iv)  Repealed by Laws 1995, ch. 199, § 2.
(v)  Repealed by Laws 1995, ch. 199, § 2.
(vi)  Repealed by Laws 1995, ch. 199, § 2.
(vii)  Repealed by Laws 1995, ch. 199, § 2.
(viii)  Repealed by Laws 1995, ch. 199, § 2.
(ix)  Repealed by Laws 1995, ch. 199, § 2.
(x)  Repealed by Laws 1995, ch. 199, § 2.
(xi)  Repealed by Laws 1995, ch. 199, § 2.
(b)  All reports under subsection (a) of this section shall be and remain a part of the public records in the office of the director of the state department of audit. The expense of such oversight shall be paid out of the funds of the district. The director of the state department of audit or his designee shall be given access to all books and papers, contracts, minutes, bonds and other documents and memoranda of every kind and character of such district and be furnished all additional information possessed by any present or past officer or employee of any such district, or by any other person, that is essential to the making of a comprehensive and correct report.
353114.  Annexation by city or village.
If the district, or any part of it, is annexed by any city or village, such city or village shall assume and pay the bonds and other obligations outstanding at the time of annexation.
353115.  Bonds; general requirements as to issuance; tax levy.
The district may borrow money for corporate purposes and issue its general obligation bonds therefor, but the principal amount of the general obligation bond shall not exceed ten percent (10%) of the assessed valuation of the taxable property in the district and the district shall cause to be levied and collected annually a tax by valuation on all the taxable property in the district, except intangible property, sufficient to pay the interest and principal of the bonds as the interest and principal become due and payable. In lieu of the issuance of general obligation bonds, the district may issue its revenue bonds to pay all or part of the cost of the improvements and pledge and hypothecate the revenues and earnings of its sewer system for the payment of the revenue bonds, and enter into a contract with reference thereto as may be necessary or proper. The district may pay part of the cost of the improvements by the issuance of general obligation bonds and part by the issuance of revenue bonds. The procedure for the issuance of the bonds shall be that prescribed by this act. The limit on the amount of the bonds shall not apply to revenue bonds payable solely from the revenues and earnings of the district.
353116.  Bonds; judicial examination and approval; prerequisite to sale.
The board of trustees of a sanitary and improvement district organized under the provisions of this act, shall, before issuing and before selling any bonds of such district, commence special proceedings, in and by which the proceedings of the board and of the district providing for and authorizing the issue and sale of the bonds of the district shall be judicially examined, approved and confirmed, or disapproved and disaffirmed.
353117.  Bonds; judicial examination and approval; petition.
The board of trustees of the district or such holder or holders of any bond or bonds of the district shall file in the district court of the county in which the lands of the district, or the greater portion thereof, are situated, a petition praying in effect that the proceedings aforesaid may be examined, approved, and confirmed by the court. The petition shall state the facts showing the proceedings had for the issuance and sale of the bonds and shall state generally that the sanitary and improvement district was duly organized, and that the first board of trustees was duly elected. The petition need not state the facts showing such organization of the district or the election of the first board of trustees.
353118.  Bonds; judicial examination and approval; notice and hearing.
The court shall fix the time for the hearing of the petition, and shall order the clerk of the court to give and publish a notice of the filing of the petition. The notice shall be given as is provided in section 3. The notice shall state the time and place fixed for the hearing of the petition and prayer of the petition, and that any person interested in the organization of the district, or in the proceedings for the issuance or sale of the bonds may, on or before the day fixed for the hearing of the petition, move to dismiss the petition or answer thereto. The petition may be referred to and described in the notice as the petition of .... (giving its name), praying that the proceedings for the issuance and sale of such bonds of such district may be examined, approved and confirmed by the court.
353119.  Bonds; judicial examination and approval; objections to petition; pleading and practice.
Any person interested in the district, or in the issuance or sale of the bonds, may move to dismiss the petition or answer thereto. The provisions of the Code of Civil Procedure respecting motions and answer to a petition shall be applicable to motions and answer to the petition in such special proceedings. The persons so filing motion and answering the petition shall be the defendants in the special proceedings, and the board of trustees shall be the plaintiff. Every material statement of the petition not specially controverted by the answer must, for the purpose of such special proceedings, be taken as true. Each person failing to answer the petition shall be deemed to admit as true all the material statements of the petition. The rules of pleading and practice provided by the Code of Civil Procedure which are not inconsistent with the provisions of this act are applicable to the special proceedings herein provided for.
353120.  Bonds; judicial examination and approval; powers of court; confirmation or disapproval of issue; cost; history of proceedings; endorsement and registration.
Upon the hearing of such special proceedings, the court shall have power and jurisdiction to examine and determine the legality and validity of, and approve and confirm or disapprove and disaffirm each and all of the proceedings for the organization of such district under the provisions of this act, from and including the petition for the organization of the district, and all other proceedings which may affect the legality or validity of the bonds and the order of sale and the sale thereof. The court in inquiring into the regularity, legality or correctness of such proceedings, must disregard an error, irregularity or omission which does not affect the substantial rights of the parties to such special proceedings. It may approve and confirm such proceedings in part and disapprove and declare illegal or invalid other and subsequent parts of the proceedings. The court shall find and determine whether the notice of the filing of the petition has been duly given and published for the time and in the manner prescribed in W.S. 353118. The costs of the special proceedings may be allowed and apportioned between the parties in the discretion of the court. If the court shall determine the proceedings for the organization of the district and for the voting and issuing of the bonds legal and valid, the board of trustees shall then prepare a written statement beginning with the filing of the petition for the organization of the district, including all subsequent proceedings for the organization of the district and voting and issuing of the bonds, and ending with the decree of the court finding the proceedings for the organization of the district and the proceedings for the voting and issuing of the bonds legal and valid, and shall present such written statement and the bonds to the director of the state department of audit. The written statement shall be certified under oath by the board of trustees of the district, and the director shall then examine the statements and the bonds so submitted to him and if he is satisfied that the bonds have been voted in conformity to law and are in all respects in due form, he shall record the statement and register the bonds in his office. No such bonds shall be issued or be valid unless they shall be so registered and have endorsed thereon a certificate of the examiner showing that such bonds are issued pursuant to law, the data filed in the office of the director being the basis of such certificate.

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