Okla. Stat. tit. 19, § 19-790.1

Funds established - Facsimile signature machine

A. Upon the appointment of a Board of Control to manage a

county hospital, the members of the Board of Control shall within

ten (10) days after their appointment qualify by taking an oath in

the form required of county officers, and organize the Board of

Control by the election of one member as chair, one member as vice-

chair, one member as secretary and one member as treasurer; however,

the secretary and treasurer may be the same person, and electing or

appointing such other officer or officers as the Board may deem

necessary, but only the treasurer shall be bonded. The proportional

share of the county blanket bond premium for such person shall be

paid out of the county hospital fund. Every one (1) year

thereafter, at the first meeting of the Board of Control following

the appointment or reappointment of board members, a reorganization

meeting shall be held and officers selected as hereinbefore stated.

Such Board of Control shall hold meetings at least once each month,

shall keep a complete record of all its proceedings, and a majority

of the Board shall constitute a quorum for the transaction of

business. The district attorney, or his or her assistant, shall

serve as attorney for the Board of Control without additional

compensation; however, the Board may employ other counsel and pay

for such service from the general funds of the hospital, provided a

majority of the Board shall determine such employment to be in the

best interest of the hospital. No member of the Board of Control

Oklahoma Statutes - Title 19. Counties and County Officers Page 280

shall have a personal pecuniary interest either directly or

indirectly in any purchases or contracts for the hospital unless the

same are purchased or awarded by competitive bids.

B. The Board of Control shall in management of a county

hospital:

1. Have exclusive control, supervision, care and custody of the

grounds, property, and buildings purchased, constructed, leased, or

set apart for such hospital purposes;

2. Employ a competent administrator as the executive officer of

the hospital and fix his or her compensation. The administrator

shall be covered by the county blanket bond and the proportional

share of the premium shall be paid out of the county hospital fund;

3. Establish the fiscal year of the hospital and, not later

than ninety (90) days after close of the fiscal year, file with the

county clerk of the county a report of the proceedings with

reference to such hospital and a statement of all receipts and

expenditures during the preceding fiscal year, and shall adopt a

budget, such budget to show the amount necessary to maintain and

improve the hospital for the ensuing fiscal year. A complete audit

to be required at the end of each fiscal year is to be performed by

a licensed accountant;

4. Cause not less than one of its members to visit and inspect

the hospital at least once each month. It shall be the duty of the

Board of Control to admit, upon recommendation of a physician,

without expense to the patient, all county charity patients

certified to be such by the Board of Control, in need of medical or

surgical treatment; and all other patients admitted to the hospital

for treatment shall be charged a just and reasonable price for their

medical and surgical treatment while in the custody of the hospital;

5. Adopt a policy of admission of patients for the county

hospital;

6. Have authority to authorize the hospital to be a member of

and maintain membership in any local, state, or national group

association organized and operated for the promotion of the public

health and welfare or the advancement of the efficiency of hospital

administration and in connection therewith to pay dues and fees

therefor from the county hospital fund;

7. Have authority to establish or participate in health related

educational programs;
er of

and maintain membership in any local, state, or national group

association organized and operated for the promotion of the public

health and welfare or the advancement of the efficiency of hospital

administration and in connection therewith to pay dues and fees

therefor from the county hospital fund;

7. Have authority to establish or participate in health related

educational programs;

8. Have authority to procure and pay out of the county hospital

fund premiums on any and all insurance policies required for the

prudent management of the hospital, including, but not limited to,

public liability, professional malpractice liability, workers'

compensation, vehicle liability, life, health and accident plans,

and to make contributions to the Public Employees' Retirement System

of the state. The insurance may include as additional insureds the

Board of Control and employees of the hospital;

Oklahoma Statutes - Title 19. Counties and County Officers Page 281

9. Determine when there is a surplus in any of the funds of the

hospital and if so determined may invest such surplus in United

States Government Bonds or insured securities or in insured time

deposits until such time as in the judgment of the Board of Control

it is deemed advisable to use such funds for hospital purposes,

including, but not limited to, the purchase of equipment, repair,

remodeling or new construction of hospital property;

10. Either as a board or through the administrator, use

reasonable diligence and efforts to make collections of accounts for

hospital services rendered;

11. Have authority to adopt such bylaws, rules and regulations

as the Board deems desirable for its own guidance and the

administration of the hospital, not inconsistent with the law;

12. Have authority to undertake the management, lease or

operation of any other medical facility or institution located

outside of the county to provide a benefit to the community or

lessen the burden of government and which does not solely provide a

benefit by generating administrative fees; and

13. Do all things necessary for the management, control, and

government of the hospital and exercise all the rights and duties

pertaining to hospital boards generally, unless such rights are

specifically denied or prohibited by law.

C. In the operation of a county hospital by the Board of

Control the following funds shall be established in connection with

a county hospital:

1. The proceeds from the sale of bonds, as provided in Section

784 of this title, shall be deposited in a fund known as the "County

Hospital Bond Fund" in the treasury of the county, which shall be

paid out by the county treasurer upon the orders of the board of

county commissioners from time to time as the same is needed; and

2. The proceeds from the tax levy provided by Section 786 of

this title, and funds received by the hospital for services or

otherwise not specifically designated to a special fund by the Board

of Control shall be deposited in the treasury of the county in the

"County Hospital Fund". Current receipts by the hospital, including

tuition fees of any school operated by the hospital, shall be

deposited in the fund at least every week. The money in the "County

Hospital Fund" shall be paid out only upon itemized and acknowledged

claims duly approved by the Board of Control or in the procedure

prescribed by the Board by warrants drawn by the administrator or

such other person as may be designated by the Board of Control,

which warrants must be authenticated by the treasurer of the Board

of Control or a duly qualified officer of the Board of Control. If

a county hospital shall operate a home for nurses, then the current

receipts of the home for nurses shall be deposited with the county

treasurer in the Home for Nurses Fund.

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D. The Board of Control may by resolution establish such other
treasurer of the Board

of Control or a duly qualified officer of the Board of Control. If

a county hospital shall operate a home for nurses, then the current

receipts of the home for nurses shall be deposited with the county

treasurer in the Home for Nurses Fund.

Oklahoma Statutes - Title 19. Counties and County Officers Page 282

D. The Board of Control may by resolution establish such other

funds as it deems advisable for the efficient and proper management

of the hospital, which may or may not be in the county treasury, and

prescribe the procedure for the handling, expending, and withdrawal

of such funds. All checks to be signed by the administrator or his

or her assistant and one member of the Board of Control.

1. If a majority of the Board of Control shall vote in favor of

the establishment of a refund account, then the Board shall

designate a bank and set up an account. Thereafter, when it becomes

necessary to refund monies to a patient for the overpayment of an

account, a check shall be drawn on the refund account, and after the

check has been signed by the administrator or a designee and one

member of the Board of Control, the same shall be delivered to the

patient. The account may be replenished as deemed necessary.

After the establishment of the account, the administrator shall

certify the list of actual refunds which have been made to patients

during the interim since last approval. Upon acceptance by the

Board of Control, the certified list of refunds shall be used to

support the preparation of a warrant to be drawn on the county

treasurer and charged to county hospital fund for the replenishment

of the refund account.

2. If a majority of the Board of Control shall vote in favor of

the establishment of a salary account, the Board shall then

designate a bank covered by F.D.I.C., set up an account and deposit

a warrant drawn upon the "County Hospital Fund", not to exceed One

Thousand Dollars ($1,000.00) in amount, to open the account, and the

necessary resolutions requisite to the establishment of an account

shall be performed. Thereafter, as soon as the complete payroll has

been prepared, a warrant shall be drawn upon the "County Hospital

Fund" for the amount of the payroll and deposited in the salary fund

of _______ Hospital. The individual payroll checks shall be signed

by the administrator or a designee and one member of the Board of

Control.

3. If a majority of the Board of Control shall vote in favor of

the establishment of a Nursing Home Operating Account, then a bank

account shall be opened in a bank designated as a state or county

depository.

Thereafter the Board of Control shall draw a warrant on the

county treasurer to be charged to the Nursing Home Fund, the warrant

to be in the exact amount of a certified list of current obligations

of the nursing home. The list shall be drawn by the administrator

and certified by him or her to the Board of Control and shall

contain the details of all expenditures to be made for the nursing

home for the previous months' operations including salaries.

The proceeds of the warrant shall then be deposited in the

Nursing Home Operating Account in the bank above designated.

Thereafter the administrator shall prepare individual checks in

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payment of the list of current obligations. Provided, however, that

the checks shall be signed by the administrator and by one member of

the Board of Control.

4. If a majority of the Board of Control shall vote in favor of

the establishment of a Petty Cash Account, then a warrant shall be

drawn on the county treasurer in an amount not to exceed the sum of

One Hundred Dollars ($100.00). The warrant shall be charged by the

county treasurer to the Hospital Fund. The proceeds of the warrant

shall be used for the payment of small bills for freight, postage

due, minor expenses, et cetera, all of a minor amount; and the
e establishment of a Petty Cash Account, then a warrant shall be

drawn on the county treasurer in an amount not to exceed the sum of

One Hundred Dollars ($100.00). The warrant shall be charged by the

county treasurer to the Hospital Fund. The proceeds of the warrant

shall be used for the payment of small bills for freight, postage

due, minor expenses, et cetera, all of a minor amount; and the

hospital shall secure proper receipts for the disbursement of the

proceeds.

Thereafter, the administrator shall certify the list of petty

expenditures and, after approval by the Board of Control, a warrant

shall be drawn on the county treasurer, County Hospital Fund, for

the replenishment of the petty cash account.

Likewise, and in the same manner, a petty cash account may be

established in any nursing home or related institution of the same

if operated by the hospital.

5. If a majority of the Board of Control shall vote in favor of

the use of a facsimile signature machine in signing checks upon the

"County Hospital Fund" or any other fund, a machine shall be

utilized to imprint the facsimile signature of the administrator and

the treasurer of the Board of Control upon the checks. Proper

procedures must be implemented to control the use of the signature

machine; such controls to be established by the Board of Control.

Any person having a key to operate the machine shall be bonded by

the county blanket bond and the company furnishing the machine shall

furnish a surety bond in an amount not less than Ten Thousand

Dollars ($10,000.00) to protect and indemnify against bogus or

forged checks or warrants from being issued from the machine.

E. Any unencumbered balances in any of the funds of the county

hospital at the close of the fiscal year shall not lapse, but shall

be carried forward to the next fiscal year.

F. The provisions of the Oklahoma Statutes relative to counties

or funds of counties, except Section 781 et seq. of this title,

shall not be applicable to county hospitals.