Be it enacted by the Senate and House of Representatives
in General Court assembled, and by the authority of the same,
SECTION 1. Subject to appropriation as required by chapter five hundred and sixty-nine of the acts of nineteen hundred and eighty-five, the hospital administrator of the Haverhill Municipal (Hale) Hospital, in the city of Haverhill, with the approval of the board of trustees of said hospital, may enter into agreements on behalf of the city of Haverhill and said hospital with any individual, professional corporation or medical group practice to provide professional services in the service area of the Haverhill Municipal (Hale) Hospital, as determined from time to time by said board of trustees, to permit the hospital to develop its medical staff including: (i) provision of management services to physicians, professional corporations or medical group practices, (ii) payment of physician relocation expenses, (iii) making of loans to support minimum salary or the purchase of equipment for physicians relocating to the hospital's service area; provided, however, that each physician receiving such support agrees to serve on the active medical staff of the hospital for the period during which such loan has outstanding principal or interest, that a reasonable rate of interest be charged, and including such other reasonable terms and conditions as determined by the board of trustees, and (iv) service supports as determined reasonable by said hospital administrator and board of trustees.
SECTION 2. Subject to appropriation as required by chapter five hundred and sixty-nine of the acts of nineteen hundred and eighty-five, the city of Haverhill may make investment or hold stock in a physician/hospital organization, an independent practice association, medical service corporation or joint venture with physicians or other hospitals for the purpose of developing the medical staff of the hospital and to contract with insurers, third party payors, health plan purchasing cooperatives or other organizations to provide hospital or medical services under the terms of any health insurance plan or benefit. Employees of the city may serve in the capacity of director or officer of such organization provided that their participation in such capacity is approved by the board of trustees of the hospital.
SECTION 3. This act shall take effect upon its passage.