SB535: SB535 Mental Health; the re-creation of community service boards; provide

26 SB 535/AP Senate Bill 535 By: Senator Kirkpatrick of the 32nd AS PASSED A BILL TO BE ENTITLED AN ACT To amend Title 37 of the Official Code of Georgia Annotated, relating to mental health, so1 as to provide for the re-creation of community service boards; to reconstitute the governing2 boards of community service boards; to provide that a governing board contain an executive3 director; to provide that the executive director be appointed b y the commissioner of4 behavioral health and developmental disabilities; to provide th at appointed executive5 directors are department employees; to provide for individuals currently serving as executive6 directors; to provide for the powers, duties, and responsibilit ies of the governing board,7 community service board, and executive director; to authorize the delegation of authority to8 the executive director, subject to limitation; to change provis ions for community service9 boards to convert their organizational structures; to provide f or definitions; to provide for10 conforming changes; to amend Code Section 50-14-1 of the Offici al Code of Georgia11 Annotated, relating to meetings open to the public, limitation on action to contest agency12 action, recording, notice of time and place, access to minutes, and teleconferences, so as to13 revise a provision authorizing community service boards to conduct teleconference meetings14 under certain circumstances; to provide for related matters; to repeal conflicting laws; and15 for other purposes.16 BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:17 S. B. 535 - 1 - 26 SB 535/AP SECTION 1.18 Title 37 of the Official Code of Georgia Annotated, relating to mental health, is amended in19 Code Section 37-1-1, relating to definitions, by revising parag raph (4) and by adding new20 paragraphs to read as follows:21 "(4) 'Community service board' means a public mental health, developmental disabilities,22 and addictive diseases board agency established pursuant to Code Section 37-2-6.23 (4.1) 'Community service board area' means an area inclusive of the counties which fall24 within the boundaries of a community service board as designate d by the department25 pursuant to subsection (b) of Code Section 37-2-3 for the establishment of a community26 service board.27 (4.2) 'Community service board's service area' means a community service board area28 and any other county or portion thereof in which the community service board provides29 services."30 SECTION 2.31 Said title is further amended by revising Code Section 37-2-2, relating to definitions relative32 to the administration of mental health, developmental disabilit ies, addictive diseases, and33 other disability services, as follows:34 "37-2-2.35 As used in this chapter, the term:36 (1) 'Community service board' means a public mental health, developmental disabilities,37 and addictive diseases board established pursuant to Code Section 37-2-6.38 (2) 'Community service board area' means an area inclusive of the counties which fall39 within the boundaries of a community service board as designate d by the department40 pursuant to subsection (b) of Code Section 37-2-3 for the establishment of a community41 service board.42 S. B. 535 - 2 - 26 SB 535/AP (3) 'Community service board service area' means a community service board area and43 any other county or portion thereof in which the community serv ice board provides44 services.45 (4)(1) 'Council' means the Behavioral Health Coordinating Council established pursuant46 to Code Section 37-2-4.47 (2) 'Executive director' means the individual serving as the chief executive officer of a48 community service board as provided in paragraph (1) of subsect ion (a) of Code49 Section 37-2-6.1.50 (5)(3) 'Governing board' means the governing board of a community se rvice board51 established pursuant to subsection (b) of Code Section 37-2-6.52 (6)(4) 'Health services' means any education or service provided by the department, the53 Department of Public Health, or the Department of Human Services, either directly or by54 contract.55 (7)(5) 'Hospital' means a state owned or state operated facility providing services which56 include, but are not limited to, inpatient care and the diagnos is, care, and treatment or57 habilitation of the disabled. Such hospital may also provide o r manage state owned or58 operated programs in the community."59 SECTION 3.60 Said title is further amended in Code Section 37-2-6, relating to community mental health,61 developmental disabilities, and addictive diseases services boards, community service board62 creation, membership, participation of counties, transfer of po wers and duties, alternate63 method of establishment, bylaws, and reprisals prohibited, by revising subsections (a), (b),64 (d), (f), (h), (i), (j), (k), and (n) as follows:65 "(a) Community service boards in existence on June 30, 2014 2026, are re-created effective66 July 1, 2014 2026, to provide mental health, de velopmental disabilities, and add ictive67 diseases services to children and adults. Such community service boards may enroll and68 S. B. 535 - 3 - 26 SB 535/AP contract with the department, the Department of Human Services, the Department of Public69 Health, or the Department of Community Health to become a provi der of mental health,70 developmental disabilities, and addictive diseases services or health, recovery, housing, or71 other supportive services for children and adults. Such boards shall be considered public72 agencies. Each community service board shall be a public corpo ration and an73 instrumentality of the state; provided, however, that the liabilities, debts, and obligations74 of a community service board shall not constitute liabilities, debts, or obligations of the75 state or any county or municipal corporation and neither the st ate nor any county or76 municipal corporation shall be liable for any liability, debt, or obligation of a community77 service board. Each community service board re-created pursuant to this Code section is78 created for nonprofit and public purposes to exercise essential governmental functions. 79 The re-creation of community service boards pursuant to this Code section shall not alter80 the provisions of Code Section 37-2-6.2 which shall apply to those re-created community81 service boards and their employees covered by that Code section and those employees'82 rights are retained except as otherwise provided in that Code section.83 (b) Each The governing board of each community service board shall have a governing84 board which shall consist of the executive director and members appointed by the85 governing authorities of the counties within the community service board area. With the86 exception of the executive director, membership Membership on such governing board87 shall be determined as follows:88 (1)(A) The governing authority of each county within the commu nity service board89 area:90 (i) With a population of 50,000 or less according to the most recent United States91 decennial census shall appoint one member to such governing board; and92 (ii) With a population of more than 50,000 according to the most recent United States93 decennial census shall appoint one member for each population increment of 50,00094 or any portion thereof; or95 S. B. 535 - 4 - 26 SB 535/AP (B) In the event that the number of governing board member positions established in96 accordance with subparagraph (A) of this paragraph would exceed nine, the97 membership of such governing board pursuant to this subsection shall be appointed as98 follows and the bylaws shall be amended accordingly:99 (i) For community service boards whose community service board area contains nine100 or fewer counties, the membership of the board shall be set at nine members and101 appointments to the board shall be made by the governing authority of each county102 within the community service board area in descending order from the county with103 the largest population to the county with the smallest population according to the most104 recent United States decennial census and this method shall be repeated until all nine105 members of the governing board of the community service board a re appointed. If106 a county governing authority fails to make an appointment within a reasonable time,107 the next descending county by population shall make an appointment and the method108 shall continue; and109 (ii) For community service boards whose community service boar d area contains110 more than nine counties, one member of the governing board of t he community111 service board shall be appointed by the governing authority of each county within the112 community service board area, so that the number of members on the governing board113 is equal to the number of counties in the community service board area.114 The county governing authority shall appoint as at least one of its appointments a115 consumer of disability services; a psychiatrist, a psychologist, or other behavioral health116 or development disabilities professional; a law enforcement officer; a family member117 of a consumer; an advocate for disability services; a parent of a child with mental118 illness or addictive disease; or a local leader or businesspers on with an interest in119 mental health, developmental disabilities, and addictive diseases; provided, however,120 that, for counties with more than one appointment, the county governing authority shall121 seek to ensure that such appointments represent various groups and disability services;122 S. B. 535 - 5 - 26 SB 535/AP (2) In addition to the members appointed pursuant to paragraph (1) of this subsection,123 the governing board of each community service board may appoint one additional124 member in order to address variation in the population sizes of counties or the financial125 contributions of counties within the community service board ar ea. The bylaws of the126 community service board shall address the establishment of the additional governing127 board membership position, if established, and the purpose or purposes for which such128 position is created. The term of office of such additional mem ber shall be the same as129 that of other members of the governing board of the community service board as provided130 in subsection (h) of this Code section;131 (3) In addition to the members appointed pursuant to paragraph s (1) and (2) of this132 subsection, each governing board of the community service board shall have additional133 members who shall serve on such governing board while concurrently holding elective134 or appointive office and who shall be appointed by a county gov erning authority as135 follows:136 (A) The number of elected or appointed officials serving on the governing board of the137 community service board shall be equal to one-third, defined he rein as 33 percent or138 0.33, of the number of the members of such board appointed in a ccordance with139 paragraph (1) of this subsection. In the event the calculation of such percentage yields140 a whole number and a fraction of a whole number, then the number of members to be141 appointed shall be equal to the nearest whole number; provided, however, that a142 fraction equal to 50 percent or greater shall be rounded to the next highest whole143 number;144 (B) The governing authority of each county in the community se rvice board area145 making the largest cash or in-kind financial contribution in de scending order to the146 community service board in the county fiscal year immediately prior to the time of such147 appointment shall make one appointment of an elected or appoint ed official to the148 community service board until th e number of such appointments r equired by this149 S. B. 535 - 6 - 26 SB 535/AP paragraph is reached. For community service boards whose community service board150 areas contains fewer counties than the number of appointments made pursuant to this151 paragraph, the membership appointments of elected or appointed officials to the152 governing board shall be made in the descending order prescribed in this paragraph and153 this method shall be repeated until all members who hold elective or appointive office154 are appointed to the governing board of the community service board. In the event that155 the number of such county governing authorities making a cash o r in-kind financial156 contribution to the community service board does not result in the number of157 appointments required by this paragraph, the remaining appointment or appointments158 shall be made by the governing authority or authorities of the county or counties in the159 community service board area with the largest population in des cending order160 according to the most recent United States decennial census unt il the number of161 appointments required by this paragraph is reached. For commun ity service boards162 whose community service board area contains three or fewer counties, the membership163 appointments of elected or appointed officials to the governing board shall be made in164 the descending order prescribed in this paragraph and this meth od shall be repeated165 until all members who hold elective or appointive office are appointed to the governing166 board of the community service board. In the event there is no county in the167 community service board area where the governing authority made a cash or in-kind168 financial contribution to the community service board in the co unty fiscal year169 immediately prior to the time of such appointment, the appointments required by this170 paragraph shall be made by the governing authority or authoriti es of the county or171 counties in the community service board area with the largest population in descending172 order according to the most recent United States decennial census until the number of173 appointments required by this paragraph is reached;174 (C) As used in this paragraph, the term 'elective or appointiv e office' or 'elected or175 appointed official' means:176 S. B. 535 - 7 - 26 SB 535/AP (i) The elected chief executive officer, by whatever name call ed, of the county177 governing authority making the appointment to the governing board of the community178 service board;179 (ii) An elected member of such county governing authority;180 (iii) The county manager of such county governing authority wh ere such position181 exists as defined in Code Section 36-5-22;182 (iv) The sheriff of such county;183 (v) The elected chief executive officer, by whatever named called, an elected member184 of the governing authority, or an appointed city manager of any municipality lying185 wholly or partially within such county;186 (vi) A member of the board of education of such county or a me mber of the187 governing board of any municipal school system lying wholly or partially within such188 county;189 (vii) The school superintendent of such county or the superint endent of any190 municipal school system lying wholly or partially within such county;191 (viii) The appointed public safety commissioner, police chief, or fire chief of such192 county or any municipality lying wholly or partially within such county; or193 (ix) Any other elected official from within such county;194 (D) No member of the governing board of the community service board appointed195 pursuant to this paragraph sh all continue to se rve on the gover ning board if such196 member no longer holds the elective or appointive office which made him or her197 eligible for appointment to such board. The term of office of an elected official198 appointed to serve as a member of the governing board of the community service board199 shall be the same as such official's elective term of office. The term of office of an200 appointed official appointed to serve as a member of such governing board shall be the201 same as that of other members of such governing board; and202 S. B. 535 - 8 - 26 SB 535/AP (E) As used in this paragraph, the term 'in-kind financial contribution' means the most203 current dollar value of any physical facilities or buildings an d equipment, including204 vehicles, of all kinds provided at no cost by the county governing authority for use by205 the community service board.;206 (4) Each governing board Each community service board in existence on June 30, 2014207 2026, shall be reconstituted and each member of each such governing board shall be208 reconstituted as a member of each such reconstituted governing board, effective July 1,209 2026; reconstitute the membership of its governing board in accordan ce with the210 provisions of paragraphs (2) and (3) of this subsection, effective July 1, 2014.211 A community service board which increases or reduces the number of its members of its212 governing board in accordance with paragraphs (2) and (3) of this subsection shall revise213 its bylaws adopted in accordance with subsection (h) of this Code section to reflect such214 increases or reductions. A community service board which reduc es the number of215 members of its governing board shall designate which position o r positions are to be216 eliminated and shall make reasonable efforts to eliminate any p osition or positions of217 governing board members whose terms expire on or before June 30 , 2014; provided,218 however, that members serving on the governing board of a commu nity service board219 whose terms do not expire on or before June 30, 2014, shall con tinue to serve out the220 terms of office to which they were appointed, regardless of whe ther this causes a221 governing board to temporarily exceed the maximum number of mem bers. Any222 additional positions created in conformity with such paragraphs (2) and (3) may be filled223 on July 1, 2014, and the governing authority of a county that is otherwise authorized to224 appoint such additional member or members to the governing boar d of a community225 service board may do so no sooner than May 1, 2014, but any person so appointed shall226 not take office until July 1, 2014. If a position on such gove rning board of the227 community service board is not filled on July 1, 2014, a vacancy in that position shall be228 deemed to have occurred on that date. A governing board of the community service229 S. B. 535 - 9 - 26 SB 535/AP board is authorized to make whatever changes necessary in the t erms of office of its230 members in order to achieve the staggering of terms required by subsection (h) of this231 Code section;232 (5)(A) A person shall not be eligible to be appointed to or serve on a governing board233 of the community service board if such person is:234 (i) A member of the regional planning board which serves the region in which that235 community service board is located;236 (ii) An employee or board member of a public or private entity which contracts with237 the department to provide mental health, developmental disabili ties, and addictive238 diseases services within the community service board area served by that community239 service board; provided, however, that this limitation shall not apply to the executive240 director;241 (iii) An employee of that community service board or employee or board member of242 any private or public group, organization, or service provider which contracts with or243 receives funds from that community service board; or244 (iv) A former employee of that community service board until a period of at least two245 years has passed since the time such person was employed by that community service246 board.247 (B) A person shall not be eligible to be appointed to or serve on a governing board of248 the community service board if such person's spouse, parent, ch ild, or sibling is a249 member of that governing board or a member, employee, or board member specified250 in this paragraph. With respect to appointments by the same co unty governing251 authority, no person who has served a full term or more on a go verning board of the252 community service board may be appointed to a regional planning board until a period253 of at least two years has passed since the time such person ser ved on the governing254 board of the community service board, and no person who has served a full term or255 more on a regional planning board may be appointed to the gover ning board of the256 S. B. 535 - 10 - 26 SB 535/AP community service board until a period of at least two years has passed since the time257 such person has served on the regional planning board; and258 (6) A governing board of the community service board created in accordance with this259 subsection shall reconstitute its governing board membership in conformity with the most260 recent United States decennial census in accordance with subparagraph (d)(2)(C) of Code261 Section 1-3-1."262 "(d) Each county in which the governing authority of the county is authorized to appoint263 members to the governing board of the community service board shall participate with the264 such board and the department in the operation of the program through the community265 service board. All contractual obligations, including, but not limited to, real estate leases,266 rentals, and other property agreements, other duties, rights, a nd benefits of the mental267 health, developmental disabilities, and addictive diseases service areas in existence on June268 30, 2014 2026, shall continue to exist along with the new powers granted to the community269 service boards effective July 1, 2014 2026."270 "(f) If the conditions enumerated in subsection (e) of this Code section are not met prior271 to or on December 31, 1993, a community service board as provided in subsection (b) of272 this Code section shall be established and appointed by January 31, 1994, to gov ern the273 provision of disability services within the boundaries of the c ommunity service board. 274 Such community service board shall have the authority to adopt bylaws and undertake275 organizational and contractual activities after January 31, 199 4; provided, however, that276 the community service board established pursuant to this Code s ection may not begin277 providing services to clients until July 1, 1994."278 "(h)(1)(A) The governing board of each community service board shall adopt bylaws279 and operational policies and guidelines in conformity with the provisions of this280 chapter. Such bylaws shall incorporate, at a minimum, the unified bylaws established281 by the department pursuant to subparagraph (B) of this paragraph.282 S. B. 535 - 11 - 26 SB 535/AP (B) No later than December 31, 2026, the department shall establish unified bylaws for283 adoption by community service boards. At a minimum, such unifi ed Those bylaws284 shall address governing board appointment and removal procedures, initial terms of285 governing board members, the staggering of terms, quorum, a mechanism for ensuring286 that consumers of disability services and family members of consumers constitute no287 less than 50 percent of the governing board members appointed pursuant to paragraphs288 (1) and (2) of subsection (b) of this Code section, and a mecha nism for ensuring289 equitable representation of the various disability groups.290 (2) A quorum for the transaction of any business and for the exer cise of any power or291 function of the governing board of the community service board shall consist of a292 majority of the total number of filled governing board member p ositions appointed293 pursuant to subsection (b) of this Code section. A vote of the majority of such quorum294 shall be the act of the governing board of the community service board except where the295 bylaws of the community service board may require a greater vote.296 (3) The regular term of office for each member of the governing board of the community297 service board, excluding the executive director, shall be three years. Vacancies on such298 governing board shall be filled in the same manner as the origi nal appointment. For299 purposes of 300 (4) As used in this subsection, the term 'equitable representation of the various disability301 groups' means that consumers and family members of such consumers who constitute no302 less than 50 percent of the governing board members holding mem bership pursuant to303 paragraphs (1) and (2) of subsection (b) of this Code section shall be appointed so as to304 assure that an equal number of such members to the fullest exte nt possible represents305 mental health, developmental disabilities, and addictive diseases interests.306 (i) A T h e governing board of each community service board which is composed of307 members who are appointed thereto by the governing authority of only one county shall308 have a minimum of seven and no more than nine members, not incl uding the executive309 S. B. 535 - 12 - 26 SB 535/AP director and any additional members appointed pursuant to paragraphs (2) an d (3) of310 subsection (b) of this Code section, notwithstanding the provisions of subsection (b) of this311 Code section, which members in all other respects shall be appointed as provided in this312 Code section.313 (j) No governing board member, officer, or employee of a community service board who314 has authority to take, direct others to take, recommend, or app rove any personnel action315 shall take or threaten action against any employee of a communi ty service board as a316 reprisal for making a complaint or disclosing information concerning the possible existence317 of any activity constituting fraud, waste, or abuse in or relating to the programs, operations,318 or client services of the community service board, to the governing board of the community319 service board, to a member of the General Assembly, or to the d epartment unless the320 complaint was made or the information was disclosed with the knowledge that it was false321 or with willful disregard for its truth or falsity. Any action taken in violation of this322 subsection shall give the public employee a right to have such action set aside in a323 proceeding instituted in the superior court.324 (k) A member of a governing board of the community service boa rd, excluding the325 executive director, who after notice that such member has failed to complete any required326 training prescribed by the department pursuant to paragraph (6) of Code Section 37-1-20327 continues such failure for 30 days may be removed from office by the remaining members328 of the governing board of the community service board or by the commissioner pursuant329 to removal provisions in the unified bylaws."330 "(n) Each member of the governing board of a community service board shall comply with331 the code of ethics for members of boards, commissions, and authorities as set forth in Code332 Section 45-10-3. A governing board member who fails to comply with such code may be333 subject to removal from office by the remaining members of the governing board of the334 community service board or by the commissioner as authorized in Code Section 37-2-10. 335 The governing board of the community service board shall revise the bylaws of the336 S. B. 535 - 13 - 26 SB 535/AP community service board adopted in accordance with subsection (h) of this Code section337 to reflect the requirements of this subsection."338 SECTION 4.339 Said title is further amended by revising Code Section 37-2-6.1 , relating to community340 service boards, executive director, staff, budget, facilities, powers and duties, exemption341 from state and local taxation, as follows:342 "37-2-6.1.343 (a)(1)(A) Each The governing board of each community service board shall employ344 have an executive director to serve as its chief executive officer and shall prescribe the345 duties thereof. The selection of the executive director and all terms of compensation346 shall be set by the governing board of each community service b oard and shall be347 subject to review and approval by the commissioner prior to any offer of employment348 or at any point thereafter where the terms of compensation are proposed to be349 substantially altered. Such contracts shall be reviewed by the commissioner every five350 years. Further, the commissioner shall be required to review and approve the selection351 of the executive director of each community service board for adherence to minimum352 qualifications for the position as prescribed by the department.353 (B)(i) On and after July 1, 2026, except as otherwise provided in division (ii) or (iii)354 of this subparagraph, each executive director shall be appointe d and subject to355 removal by the commissioner and shall be an employee of the department. Executive356 directors appointed by the commissioner shall meet such minimum qualifications as357 prescribed by the commissioner. The members of the governing b oard of the358 community service board shall be authorized to participate in the selection process for359 an executive director for such board and provide input to the c ommissioner during360 such process; provided, however, that the commissioner shall ha ve the authority to361 S. B. 535 - 14 - 26 SB 535/AP make all final employment decisions. The commissioner may obtain the approval of362 the governing board in the appointment of the executive director.363 (ii) Any individual employed as an executive director as of Ju ne 30, 2026, shall364 continue to serve as executive director of such applicable community service board365 on and after July 1, 2026. Each such individual may elect, no later than August 1,366 2026, to continue in such role as an employee of the community service board. In the367 event that any such executive director elects to remain in the employment of the368 community service board, such individual shall enter into a thr ee-party contract369 between the community service board, the department, and such individual so as to370 establish procedures and protocols for the services to be provided by such individual371 as executive director. In the event that any such executive director does not elect, by372 August 1, 2026, to continue in such role as an employee of the community service373 board, such executive director shall become an employee of the department, effective374 August 1, 2026. Nothing in this subparagraph shall be construed to limit the authority375 of the commissioner, department, or other entity or official to remove or discipline376 any such individual pursuant to Code Section 37-2-10 or any other provision of law377 or pursuant to the terms of a three-party contract entered into pursuant to this378 subparagraph.379 (iii) Any individual selected to be appointed as an executive director pursuant to the380 authority granted to the commissioner in this Code section who was employed by a381 community service board as of J uly 1, 2026, and who has had no break in service382 between such date and the date of promotion, may elect to serve as the executive383 director as an employee of the community service board, only wi th the express384 agreement of the commissioner. In the event that any such executive director elects385 to remain in the employment of the community service board, such individual shall386 enter into a three-party contract between the community service board, the387 department, and such individual so as to establish procedures a nd protocols for the388 S. B. 535 - 15 - 26 SB 535/AP services to be provided by such individual as executive director. In the event that any389 such executive director does not elect to continue in such role as an employee of the390 community service board, such executive director shall become an employee of the391 department. Nothing in this subparagraph shall be construed to limit the authority of392 the commissioner, department, or other entity or official to remove or discipline any393 such individual pursuant to Code Section 37-2-10, or any other provision of law, or394 pursuant to the terms of a three-party contract entered into pu rsuant to this395 subparagraph. Nothing in this subparagraph shall be construed t o require the396 commissioner or department to agree to the promotion of any com munity service397 board employee to the role of executive director.398 (C) The executive director shall direct the day-to-day operations of the community399 service board. Such have powers, duties, and responsibilities set forth in subsection (d)400 of this Code section. The executive director shall be appointed and removed by the401 community service board pursuant to this subsection and shall appoint other necessary402 staff pursuant to an annual budget adopted by the governing board, which budget shall403 provide for securing appropriate facilities, sites, and profess ionals necessary for the404 provision of disability and health services. Notwithstanding any other provision of law405 to the contrary, the governing board of the community service board may delegate any406 power, authority, duty, or function to its executive director or other staff. The executive407 director or other staff is authorized to exercise any power, authority, duty, or function408 on behalf of the governing board of the community service board.409 (2) The executive director or and any full-time or part-time employee of a community410 service board shall have a responsibility to avoid any conflict of interest in a manner that411 is consistent with the declarations found in Code Section 45-10 -21. Such executive412 director and employees shall not transact any business with that community service board413 as prohibited in Code Section 45-10-23 unless any such transact ion falls under the414 exceptions granted in Code Section 45-10-25. Transactions that fall under such415 S. B. 535 - 16 - 26 SB 535/AP exceptions shall be disclosed to the governing board of the community service board in416 the manner as such governing board shall determine and to the department in a manner417 to be determined by the governing board and the department. Such transactions shall also418 be disclosed yearly to the State Ethics Commission as prescribed in Code419 Section 45-10-26. The governing board of the community service board department shall420 promulgate policies and procedures governing executive director and community service421 board employee conflicts of interest and establish a code of ethics for the executive422 director and employees of the community service board.423 (b) The governing board of each community service board or eac h community service424 board, under the jurisdiction of its governing board, shall perform duties, responsibilities,425 and functions and may exercise power and authority described in this subsection as426 follows:427 (1) The governing board of each community service board shall adopt bylaws for the428 conduct of its affairs and the affairs of their respective comm unity service boards ;429 provided, however, that the each such governing board of a community service board430 shall meet at least quarterly, and that all such meetings and any bylaws shall be open to431 the public, as otherwise required under Georgia law; and provid ed, further, that such432 bylaws shall be approved by the executive director prior to adoption;433 (2) The governing board of each community service board shall be required to review434 and approve the annual budget of the community service board and shall be required to435 establish the general policies related to such budget to be fol lowed by the community436 service board; provided, however, that such annual budget and policies shall be approved437 by the executive director prior to approval by the governing board;438 (3) The governing board of each community service board shall elect a chairperson, vice439 chairperson, secretary, and treasurer from among its membership . Such officers shall440 serve for such terms as shall be prescribed in the governing board's bylaws or until their441 respective successors are elected and qualified. No governing board member shall hold442 S. B. 535 - 17 - 26 SB 535/AP more than one office of the governing board of a community service board, except that443 the same member may serve as secretary and treasurer concurrently. The bylaws of the444 governing board of each community service board shall provide for any other officers of445 such board and the means of their selection, the terms of offic e of the officers, and an446 annual meeting to elect officers; and447 (4) Each member of the governing board of each community service board may, upon448 approval of the executive director, receive reimbursement for actual expenses incurred449 in carrying out the duties of such office; provided, however, t hat such reimbursement450 shall not exceed the rates and allowances set for state employe es by the Office of451 Planning and Budget or the mileage allowance for use of a personal car as that received452 by all other state officials and employees or a travel allowanc e of actual transportation453 cost if traveling by public carrier.454 (c) Each community service board shall perform duties, responsibilities, and functions and455 may exercise power and authority described in this subsection as follows:456 (3)(1) Each community service board shall provide an adequate range of disability457 services as prescribed by the department;458 (4)(2) Each community service board may make and enter into all contracts necessary459 and incidental to the performance of its duties and functions; provided, however, that, on460 and after July 1, 2026, no contract, contract renewal, contract amendment, or contract461 extension shall be executed on behalf of a community service board unless executed by462 the executive director appointed pursuant to paragraph (1) of subsection (a) of this Code463 section. The provisions of this paragraph shall apply regardless of whether the contract,464 renewal, amendment, or extension is specifically authorized und er this Code section;465 provided, however, that notes or other instruments authorized under this paragraph may466 be approved and shall not be required to be executed by the executive director;467 (5)(3) Each community service board may acquire by purchase, gift, lease, or otherwise468 and may own, hold, improve, use, and sell, convey, exchange, transfer, lease, sublease,469 S. B. 535 - 18 - 26 SB 535/AP and dispose of real and personal property of every kind and cha racter, or any interest470 therein, for its corporate purposes;471 (6)(4) Each community service board may contract to utilize the serv ices of the472 Department of Administrative Services, the state auditor, or an y other agency of state,473 local, or federal government;474 (7)(5) Each community service board may provide, either independentl y or through475 contract with appropriate state or local governmental entities, the following benefits to476 its employees, their dependents, and survivors, in addition to any compensation or other477 benefits provided to such persons:478 (A)(i) Retirement, pension, disability, medical, and hospitalization benefits, through479 the purchase of insurance or otherwise, but medical and hospitalization benefits may480 only be provided through the Department of Community Health und e r t h e s a m e481 conditions as provided for such benefits to state employees, an d the Department of482 Community Health shall so provide if requested;.483 (ii) During any period in which an employee of a community ser vice board is484 covered under the health insurance plan established by the Department of Community485 Health, there shall be withheld from each salary payment of suc h employee, as the486 employee share of the costs of coverage under such health insur ance plan, such487 portion of the premium or subscription charges as may be established by the Board488 of Community Health.489 (iii) As the local employer's share, the community service board shall contribute to490 the health insurance fund such portion of the cost of such bene fits as may be491 established by the Governor and the Board of Community Health a nd, in addition492 thereto, an amount to be established by the Board of Community Health to defray the493 cost of administration. The benefit cost portion shall be dete rmined based upon a494 percentage of the total outlay for the salaries of employees of the community service495 board as established annually by an appropriation of the Genera l Assembly. If a496 S. B. 535 - 19 - 26 SB 535/AP community service board fails to remit the employer's share due on or after July 1,497 2026, as provided in this division, for a period greater than 9 0 days, it shall be the498 duty of the Department of Community Health to notify the commis sioner of such499 failure and it shall be the duty of the commissioner to, with reasonable promptness,500 withhold from the community service board which has failed to remit sufficient state501 funds to fully satisfy the outstanding obligation of the community service board to the502 health insurance fund. Such withheld funds shall be promptly t ransmitted to the503 Department of Community Health;504 (B) Life insurance coverage and coverage under federal old age and survivors'505 insurance programs;506 (C) Sick leave, annual leave, and holiday leave; and507 (D) Any other similar benefits, including, but not limited to, death benefits;508 (8)(6) Each community service board may cooperate with all units of local government509 in the counties where the community service board provides serv ices as well as510 neighboring regions and with the programs of other departments, agencies, and regional511 commissions and regional planning boards;512 (9)(7) Each community service board shall establish and maintain a personnel program513 for its employees and fix the compensation and terms of compensation of its employees;514 provided, however, that each community service board shall comply with the provisions515 of Chapter 20 of Title 45, for so long as and to the extent that each employee of such516 board remains subject to the rules and regulations of the State Personnel Board or as517 otherwise provided by law;518 (10)(8) Each community service board may receive and administer grant s, gifts,519 contracts, moneys, and donations for purposes pertaining to the delivery of disability520 services or of health services;521 (11)(9) Each community service board may establish fees for the provision of disability522 services or health services according to the terms of contracts entered into with the523 S. B. 535 - 20 - 26 SB 535/AP department, Department of Human Services, Department of Public Health, or Department524 of Community Health, as appropriate; provided, however, that all fees collected shall be525 used solely in accordance with the statutory nonprofit and public purposes of community526 service boards as prescribed in this article;527 (12)(10) Each community service board may accept appropriations, loans of funds,528 facilities, equipment, and supplies from local governmental entities in the counties where529 the community service board provides services;530 (13) Each member of the governing board of a community service board may, upon531 approval of the executive director, receive reimbursement for actual expenses incurred532 in carrying out the duties of such office; provided, however, t hat such reimbursement533 shall not exceed the rates and allowances set for state employe es by the Office of534 Planning and Budget or the mileage allowance for use of a personal car as that received535 by all other state officials and employees or a travel allowanc e of actual transportation536 cost if traveling by public carrier;537 (14) The governing board of each community service board shall elect a chairperson and538 vice chairperson from among its membership. The governing board members shall also539 elect a secretary and treasurer from among its membership or ma y designate the540 executive director of the community service board to serve in one or both offices. Such541 officers shall serve for such terms as shall be prescribed in the bylaws of the community542 service board or until their respective successors are elected and qualified. No governing543 board member shall hold more than one office of the governing b oard of a community544 service board; except that the same person may serve as secreta ry and treasurer. The545 bylaws of the governing board of a community service board shall provide for any other546 officers of such board and the means of their selection, the terms of office of the officers,547 and an annual meeting to elect officers;548 (15)(11) Each community service board may have a seal and alter it;549 S. B. 535 - 21 - 26 SB 535/AP (16)(12) Each community service board may establish fees, rates, rents, and charges for550 the use of facilities of the community service board for the provision of disability services551 or of health services, in accordance with the terms of contract s entered into with the552 department, Department of Human Services, Department of Public Health, or Department553 of Community Health, as appropriate;554 (17)(13) Each community service board may borrow money for any busines s purpose555 and may incur debt, liabilitie s, and obligations for any busine ss purpose; provided,556 however, that, on and after July 1, 2026, any such debt, liabil ity, or obligation shall be557 approved by the executive director appointed pursuant to paragraph (1) of subsection (a)558 of this Code section . A debt, liability, or obligation incurred by a community ser vice559 board shall not be considered a debt, liability, or obligation of the state or any county or560 any municipality or any political subdivision of the state. A community service board561 may not borrow money as permitted by this Code section if the highest aggregate annual562 debt service requirements of the then current fiscal year or an y subsequent year for563 outstanding borrowings of the community service board, includin g the proposed564 borrowing, exceed 15 percent of the total revenues of the community service board in its565 fiscal year immediately preceding the fiscal year in which such debt is to be incurred. 566 Interest paid upon such borrowings shall be exempt from taxatio n by the state or its567 political subdivisions. A state contract with a community service board shall not be used568 or accepted as security or collateral for a debt, liability, or obligation of a community569 service board without the prior written approval of the commissioner;570 (18)(14) Each community service board, to the extent authorized by law and the contract571 for the funds involved, may carry forward without lapse fund ba lances and establish572 operating, capital, and debt reserve accounts from revenues and grants derived from state,573 county, and all other sources; and574 (19)(15) Each community service board may operate, establish, or operate and establish575 facilities deemed by the community service board as necessary a nd convenient for the576 S. B. 535 - 22 - 26 SB 535/AP administration, operation, or provision of disability services or of health services by the577 community service board and may construct, reconstruct, improve, alter, repair, and equip578 such facilities to the extent authorized by state and federal law.579 (d) On and after July 1, 2026, in addition to those powers, du ties, and responsibilities580 given to the executive director as authorized by this chapter, the executive director shall581 exercise power and authority to:582 (1) Recruit, hire, manage, discipline, and terminate employees of the community service583 board;584 (2) Terminate any contract of the community service board in accordance with the terms585 of any such contract;586 (3) Create and establish operational and employment policies for the community service587 board;588 (4) Create and establish clinical standards and policies for the community service board;589 and590 (5) Provide continuing management of the day-to-day operations of the community591 service board, including, but not limited to, the community service board's performance592 of its contracts.593 (e)(1) The governing board may delegate to the executive direc tor the authority to594 perform any or all duties, responsibilities, and functions, and to exercise any or all of the595 powers and authorities described in subsection (c) of this Code section.596 (2) Upon a determination that a community service board is not properly performing any597 or all of the duties, responsibilities, and functions or exercising any or all of the powers598 and authorities described in this Code section, the commissioner may, upon the approval599 of the Governor, authorize the executive director to perform such duties, responsibilities,600 and functions and to exercise such powers and authorities, exce pt those described in601 subsection (m) of this Code sec tion, without the approval or co nsent of the governing602 board.603 S. B. 535 - 23 - 26 SB 535/AP (c)(f) Nothing shall prohibit a community service board from contracting with any county604 governing authority, private or other public provider, or hospi tal for the provision of605 disability services or of health services.606 (d)(g) Each community service board exists for nonprofit and public purposes, and it is607 found and declared that the carrying out of the purposes of each community service board608 is exclusively for public benefit and its property is public property. Thus, no community609 service board shall be required to pay any state or local ad valorem, sales, use, or income610 taxes.611 (e)(h) A community service board shall not have the power to tax, th e power to issue612 general obligation bonds or revenue bonds or revenue certificat es, or the power to613 financially obligate the state or any county or any municipal corporation.614 (f)(i) A community service board shall not operate any facility for profit. A community615 service board may fix fees, rents, rates, and charges that are reasonably expected to produce616 revenues, which, together with all other funds of the community service board, will be617 sufficient to administer, operate, and provide the following:618 (1) Disability services or health services;619 (2) The cost of acquiring, constructing, equipping, maintaining, repairing, and operating620 its facilities; and621 (3) The creation and maintenance of reserves sufficient to mee t principal and interest622 payments due on any obligation of the community service board.623 (g)(j) Each community service board may provide reasonable reserves for the624 improvement, replacement, or expansion of its facilities and services. Reserves under this625 subsection shall be subject to the limitations in paragraph (17) (13) of subsection (b) (c) of626 this Code section.627 (h)(k) Each county and municipal corporation of this state is authorized to convey or lease628 property of such county or municipal corporation to a community service board for its629 public purposes. Any property conveyed or leased to a community services service board630 S. B. 535 - 24 - 26 SB 535/AP by a county or municipal corporation shall be operated by such community service board631 in accordance with this chapter and the terms of the community service board's agreements632 with the county or municipal corporation providing such conveyance or lease.633 (i)(l) Each community service board and any entity created or formed by such community634 service board pursuant to subsection (j) ( m ) of this Code section shall keep books of635 account reflecting all funds received, expended, and administer ed by the community636 service board in accordance with generally accepted accounting principles. The637 community service board and an entity created or formed by such community service638 board, if any, pursuant to subsection (j) (m) of this Code section shall assure the inclusion639 in its annual audit any information or procedures required by t he department. The640 community service board and an entity created or formed by such community service641 board, if any, pursuant to subsection (j) (m) of this Code section shall rotate audit firms at642 least once every five years. Copies of the annual audit and all findings shall be submitted643 to the department and the governing board of the community service board, or in the case644 of an entity created or formed by the community service board, if any, to the governing645 board of the community service board, the governing board of su ch entity, and the646 department within 60 days of completion of the audit.647 (j)(m) By action of its governing board and subject Subject to the approval of the 648 executive director and the commissioner and the governing board of the community service649 board, a community service board may create, form, or become a member of a nonprofit650 corporation, limited liability company, or other nonprofit entity, the voting membership of651 which shall be limited to community service boards, governmenta l entities, nonprofit652 corporations, or a combination thereof, if such entity is created for purposes that are within653 the powers of the community service board, for the cooperative functioning of its members,654 or a combination thereof; provided, however, that no funds provided pursuant to a contract655 between the department and the community service board may be used in the formation or656 operation of the nonprofit corporation, limited liability company, or other nonprofit entity. 657 S. B. 535 - 25 - 26 SB 535/AP The power of the governing board to so act shall not be delegated to the executive director658 or to any other person, entity, or agency, either by the govern ing board or by the659 commissioner, unless otherwise authorized by law. No community service board, whether660 or not it exercises the power authorized by this subsection, shall be relieved of compliance661 with Chapter 14 of Title 50, relating to open and public meetings, and Article 4 of Chapter662 18 of Title 50, relating to inspection of public open records, unless otherwise provided by663 law. The provisions of this subsection relating to the approval of the commissioner to the664 contrary notwithstanding, nothing in this subsection shall proh ibit a community service665 board from creating, forming, or becoming a member of a national, regional, or state trade666 association or business league as defined for tax exempt purpos es by the United States667 Internal Revenue Service for the benefit of member community service boards and similar668 organizations; provided, however, that such action shall be app roved by the executive669 director.670 (k)(n) No community service board shall employ or retain in employment, either directly671 or indirectly through contract, any person who is receiving a r etirement benefit from the672 Employees' Retirement System of Georgia except in accordance wi th the provisions of673 Code Section 47-2-112; provided, however, that any such person who is employed as of674 July 1, 2004, may continue to be employed.675 (l)(o) A community service board may join or form and operate, eithe r directly or676 indirectly, one or more networks of community service boards, disability or health service677 professionals, and other providers of disability services or health services to arrange for the678 provision of disability services or health services through such networks; to contract either679 directly or through such networks with the Department of Community Health to provide680 services to Medicaid beneficiaries; to provide disability servi ces or health services in an681 efficient and cost-effective manner on a prepaid, capitation, or other reimbursement basis;682 and to undertake other disability or health services related ma naged care activities. For683 purposes of this subsection only and notwithstanding Code Secti on 33-3-3 or any other684 S. B. 535 - 26 - 26 SB 535/AP provision of law, a community service board shall be permitted to and shall comply with685 the requirements of Chapter 20A of Title 33 to the extent that such requirements apply to686 the activities undertaken by the community service board or by a community service board687 under this subsection or subsection (j) (m) of this Code section. No community service688 board, whether or not it exercises the powers authorized by thi s subsection, shall be689 relieved of compliance with Article 4 of Chapter 18 of Title 50, relating to inspection of690 public open records, unless otherwise provided by law. Any licensed health care provider691 shall be eligible to apply to become a participating provider under such a plan or network692 that provides coverage for health care, disability services, or health services which are693 within the lawful scope of the provider's license, but nothing in this Code section shall be694 construed to require any such plan or network to provide coverage for any specific health695 care, disability service, or health service."696 SECTION 5.697 Said title is further amended by revising subsection (a) of Code Section 37-2-6.4, relating to698 reconstituting or converting of organizational structure and fo rmation of new community699 service board, as follows:700 "(a) Notwithstanding any other provisions of this chapter, a community service board may701 reconstitute or convert its organizational structure in the following ways:702 (1) With the approval of the governing board of the community service board, and the703 approval of the county governing authorities of the counties se rved by the community704 service board, and the approval of the commissioner, the community service board may705 convert to a private nonprofit corporation. So long as the rec onstituted organization706 continues to serve a public purpose as defined by the departmen t, the Department of707 Human Services, or the Department of Public Health, as appropriate, such organization708 shall be authorized to retain the use of assets, equipment, and resources purchased with709 state and federal funds by the former community service board. In the event the new710 S. B. 535 - 27 - 26 SB 535/AP private nonprofit fails to serve such public purpose, those ass ets, equipment, and711 resources purchased by the former community service board with state and federal funds712 shall be returned to the department, the Department of Human Se rvices, or the713 Department of Public Health, as appropriate, or to an agency de signated by such714 department. For a period of three years following the communit y service board's715 conversion to a private nonprofit corporation, the private nonp rofit corporation shall716 ensure that consumers of disability services or health services, as appropriate, and family717 members of such consumers constitute a majority of the appointed board members and718 that the various disability groups and health services groups are equitably represented on719 the board of the nonprofit corporation;720 (2) With the approval of the governing board of the community service board, and the721 approval of all of the county governing authorities of the coun ties served by the722 community service board, and the approval of the commissioner, the community service723 board may convert to a unit of county government. All assets, equipment, and resources724 of the community service board shall be transferred to the new unit of county725 government; or726 (3) With the approval of the governing board of the community service board, and the727 approval of all of the county governing authorities of the coun ties served by the728 community service board, and the approval of the commissioner, the community service729 board may become a component part of a hospital authority in those counties served by730 the community service board. So long as the hospital authority continues to serve a731 public purpose as defined by the department, the Department of Human Services, or the732 Department of Public Health, as appropriate, the hospital authority shall be authorized to733 retain possession of those assets, equipment, and resources purchased by the community734 service board with state and federal funds. In the event the h ospital authority fails to735 serve such public purpose, those assets, equipment, and resourc es purchased by the736 community service board with state and federal funds shall be returned to the department,737 S. B. 535 - 28 - 26 SB 535/AP the Department of Human Services, or the Department of Public Health, as appropriate,738 or to an agency designated by such appropriate department or departments."739 SECTION 6.740 Said title is further amended by revising subsections (a) and (b) of Code Section 37-2-6.5,741 relating to cessation of operations by community service board, notification, and continuation742 of operations by successor board, county board of health, or outside manager, as follows:743 "(a) By joint action of the membership of a community service board created pursuant to744 Code Section 37-2-6 governing board and the governing authority of each county within745 the community service board area, and with the approval of the Governor, such community746 service board may cease operations; provided, however, that such community service board747 shall notify the commissioner at least 90 days in advance of the meeting of the community748 service board in which such action is to be taken. Such joint action shall indicate the date749 on which the community service board shall cease operations.750 (b) Upon receipt of notification that a community service boar d intends to cease751 operations, the commissioner shall notify the chairperson and e xecutive director of such752 community service board and the governing authority of each county within the community753 service board area of such board that:754 (1) The department, after securing the approval of the Governo r, intends to appoint a755 manager or management team to manage and operate the programs and services of the756 community service board in accordance with the provisions of pa ragraph (1) of757 subsection (c) of Code Section 37-2-10 until the department shall determine:758 (A) That such community service board should continue in operation, provided one or759 more members appointed to such board in accordance with subsect ion (b) of Code760 Section 37-2-6 shall be removed in accordance with subparagraph (c)(3)(H) of Code761 Section 37-2-10, and the department, acting on behalf of the me mbership governing762 board of the community service board, nominates a successor to a rem oved member763 S. B. 535 - 29 - 26 SB 535/AP and advises the county governing authority that appointed such removed member to764 appoint a successor;765 (B) That all of the members of such community service board appointed in accordance766 with subsection (b) of Code Section 37-2-6 shall be removed and such community767 service board shall be reconstituted; and that the department s hall assist the county768 governing authorities in making appointments to the new community service board; or769 (C) In the case where the membership of the governing board of such community770 service board is the membership of a county board of health designated in accordance771 with Code Section 31-3-12.1 or subsection (e) of Code Section 37-2-6, that the entire772 membership of the community service governing board should be removed and the773 membership of the community service board be reconstituted in accordance with774 subsection (b) of Code Section 37-2-6;775 (2) The department, with the approval of the commissioner, intends to redesignate the776 boundaries of the community service board area served by such b oard pursuant to777 subsection (b) of Code Section 37-2-3 by expanding the boundari es of a community778 service board area served by another community service board to include the counties in779 the community service board area served by the community service board that intends to780 cease operations so that the community service board serving su ch area may assume781 responsibility for the provision of disability services within such counties;782 (3) The department intends to request pursuant to Code Section 31-3-12.1 that the783 governing authority of a county within the community service board area of such board784 authorize the membership of th e board of health of such county t o s e r v e a s t h e785 membership of the governing board of such community service board; or786 (4) The department, after securing the approval of the Governo r, intends to appoint a787 manager or management team to manage and operate the programs and services of the788 community service board until such time as arrangements can be made to secure one or789 S. B. 535 - 30 - 26 SB 535/AP more alternate service providers to assume responsibility for t he provision of services790 previously provided by the community service board."791 SECTION 7.792 Said title is further amended by revising subsection (a) of Code Section 37-2-11.1, relating793 to venue in actions against community service board, representa tion by Attorney General,794 immunity, use of legal counsel, and authority for indemnificati on, defense, and insurance,795 as follows:796 "(a) Venue for the purpose of any action against a community service board shall be the797 county in which the principal office of the community service board is located. As used798 in For purposes of this Code section, the term 'principal office' shall be defined as means799 the facility which houses the executive director or other such top administrator for the800 community service board."801 SECTION 8.802 Code Section 50-14-1 of the Official Code of Georgia Annotated, relating to meetings open803 to the public, limitation on action to contest agency action, r ecording, notice of time and804 place, access to minutes, and teleconferences, is amended by re vising subsection (h) as805 follows:806 "(h)(1) The following bodies and committees thereof shall be au thorized to conduct807 meetings by teleconference, provided that any such meeting shal l be considered to be808 conducted in compliance with this chapter so long as the notice required by this chapter809 is provided and, if fewer than a quorum of the members of a body or committee thereof810 are physically present, means have been afforded for the public to have simultaneous811 access to the teleconference meeting:812 (A) Development authorities created pursuant to or authorized by the provisions of813 Chapter 42 or Chapter 62 of Title 36, by or pursuant to Article I X , S e c t i o n V I ,814 S. B. 535 - 31 - 26 SB 535/AP Paragraph III of the Georgia Constitution, or by or pursuant to any amendment to the815 Constitution continued pursuant to the authority of Article XI, Section I, Paragraph IV816 of the Constitution;817 (B) Community improvement districts created pursuant to the provisions of Article IX,818 Section VII of the Georgia Constitution;819 (C) Hospital authorities created pursuant to Article 4 of Chapter 7 of Title 31;820 (D) The board of trustees or other governing body of any large retirement system as821 such term is defined in subsection (a) of Code Section 47-20-84;822 (E) The board of trustees of any county or regional public library created pursuant to823 Part 2 of Article 2 of Chapter 5 of Title 20; provided, however, that such meetings:824 (i) Shall be held at a physical location with at least 50 percent of the board members825 physically present; and826 (ii) Shall provide one or more methods for public viewing of s uch meetings and827 providing commentary at such meetings without being physically present at such828 meetings; and829 (F) Community service boards created pursuant to Article 1 of Chapter 2 of Title 37;830 provided, however, that such meetings:831 (i) Shall be held at a physical location with at least 50 percent of the board members832 physically present; and833 (ii) Shall shall provide one or more methods for public viewing of such meetings and834 providing commentary at such meetings without being physically present at such835 meetings.836 (2) The participation by teleconference of members of such bodies or committees thereof837 means full participation in the same manner as if such members were physically present.838 In the event such teleconference meeting is a public hearing, and if fewer than a quorum839 of the members of a body or committee thereof are physically present, then members of840 S. B. 535 - 32 - 26 SB 535/AP the public shall be afforded the means to participate fully in the same manner as if such841 members of the public were physically present."842 SECTION 9.843 All laws and parts of laws in conflict with this Act are repealed.844 S. B. 535 - 33 -