New Jersey § 30:9-14

§ 30:9-14.

a. The governing body of any municipality establishing and maintaining a hospital

or hospitals under authority of section 30:9-13 of this Title shall have power to appoint a board to manage and operate its hospitals

established pursuant to section 30:9-13 of this Title. The board shall consist of 12 persons, 10 of whom shall be citizens and residents

of the municipality, who shall serve without compensation; 3 of whom shall be appointed

for a term of 2 years, 3 of whom shall be appointed for a term of 3 years, and 4 of

whom shall be appointed for a term of 4 years. Thereafter, all appointments shall be made for terms of 4 years. All appointed members shall serve after the expiration of their terms until their

respective successors are appointed and shall qualify, and any vacancy occurring in

the appointed members of the board, due to expiration of term or otherwise, shall

be filled in the same manner as the original appointment, for the unexpired term only,

notwithstanding that the previous incumbent may have held over and continued in office

as aforesaid. The board members may be reimbursed for actual expenses incurred in the performance

of their official duties. The chief executive of the municipality and the officer having charge of its finances

shall be ex officio members of the board. b. At its organization meeting the board shall annually elect a chairman, a vice-chairman,

a secretary and a treasurer, who shall hold office until February 1 next ensuing,

and until their respective successors have been elected and qualify. The treasurer may be an ex officio member of the board. The treasurer shall file a bond of indemnity with the board in an amount sufficient

to cover the moneys from time to time under his custody and control. Such moneys shall be deposited to the account of the hospital in a separate bank

account or accounts. c. The board or its members shall incur no expense or obligation in excess of the

amount appropriated by the governing body for expenditure by them and of hospital

funds subject to their disposition. Moneys borrowed under subsection f. for the purposes of the board under subsection

e. shall be deemed hospital funds for the purposes of this subsection. d. The governing body may remove a member for cause after public hearing, which removal

shall be in accordance with the civil service and tenure of office laws in municipalities

operating under such laws. Such removal shall be reviewable in the Superior Court by a proceeding in lieu of

prerogative writ. e. The board shall have the following powers: (1) To exercise full and exclusive control over the hospital or hospitals owned by

the municipality, but subject to State health and licensing laws; (2) To have a common seal and to alter the same in its discretion; (3) To sue and be sued as a public body, politic and corporate; (4) To enter into any and all contracts, execute any and all instruments and do and

perform any and all acts or things necessary, convenient or desirable for the purposes

of the hospital, or to carry out any powers expressly granted in this section; (5) To do and perform any acts and things authorized by this act, through or by means

of its own officers, agents and employees, or by contracts with any persons; (6) To make and enforce by-laws or rules and regulations for the business and affairs

of the hospital and for the use, maintenance and operation of the hospital; (7) To fix the salaries of all employees and to create and establish such positions

as may be necessary for the efficient operation of the hospital, and except as otherwise

provided by section 30:9-13 of this Title and applicable law. All salaries shall be fixed as nearly as practicable in accordance with the schedule,

if any, of the municipality for corresponding positions. Receipts and revenues of the hospital shall be retained and applied by the board

for the purposes of the hospital. Prior to November 15 of each year, the board shall certify to the governing body

any additional sums that may be necessary for the proper conduct of its work during

the ensuing fiscal year, which shall include the following items: (a) Payment of wages and salaries of employees; (b) Purchase of materials and supplies; (c) Purchase of necessary equipment and services. f. The governing body shall annually appropriate such sums as it may deem necessary

for said purposes within the amounts available therefor in accordance with applicable

law. The board shall have the power to borrow money for any of its purposes. g. (1) Notwithstanding anything to the contrary in any of the statutes or any provisions

thereof, whenever the Commissioner of the Department of Health makes a determination

pursuant to subsection a.(6) of section 5 of P.L.1977, c. 289 (C. 30:9-12:33), the Governor shall reconstitute

the board of managers of the hospital by the appointment, with the advice and consent

of the Senate; provided, however, that if no action has been taken within 45 days

after the nominations for appointment have been submitted to the Senate, the nominations

shall be deemed confirmed, of a board consisting of not less than five nor more than

nine members, who shall receive reasonable compensation, as set by the Governor, and

reimbursement of their expenses and who shall be appointed for terms not to exceed

5 years. The appointments of the reconstituted board shall be effective as of July 1, 1981. The existing board members shall continue to serve until the reconstituted board

is appointed. (2) The reconstituted board shall have all the powers enumerated in subsection e.

of this section and shall have power to appoint, retain and employ attorneys, with

the approval of the Governor and the Attorney General. (3) Notwithstanding the provisions of Title 11 1 (Civil Service) or any other Title of the Revised Statutes, the board may appoint,

remove, promote and transfer employees in the following positions, which shall be

in the unclassified service: executive director, associate executive director, assistant

executive director. (4) In addition, the board shall be responsible for conducting a study of the management,

finances and governance structure of the hospital and of the most feasible means of

restoring the hospital to an efficient and financially solvent operation. The recommendations of the reconstituted board concerning the future governance

of the hospital and the borrowing of money, sale of property and investment of assets

for the current or future management and operation of the hospital, including the

reestablishment of the original board of managers, if the hospital no longer meets

the condition described in subsection a.(6) of section 5 of P.L.1977, c. 289 ( C. 30:9-12.33 ), shall be submitted to the governing body and the Governor. The governing body shall take all necessary and proper action to effectuate such

recommendations. (5) Prior to November 15 of each year, the board shall certify to the governing body

any additional sums that may be necessary for the proper conduct of its work during

the ensuing fiscal year. The governing body shall appropriate such sums as the board has certified to be

necessary within the amounts available in accordance with applicable law. (6) Upon the appointment of the reconstituted board, no action or proceeding in the

nature of an attachment, garnishment or execution shall be commenced or maintained

in the courts of this State against the hospital or its assets for a period of 1 year

from the date of appointment of the board by the Governor. 1

Repealed. See, now, Title 11A.