APPOINTMENT OF BOARD; TERMS OF OFFICE

(a) The commissioners court shall appoint the directors of the authority for terms not to exceed three years except as otherwise provided by this section. (b) The resolution authorizing the issuance of revenue bonds or the trust indenture securing the bonds may prescribe the method of selecting a majority of the directors and the term of office of those directors, and the terms of directors appointed before the issuance of the bonds are subject to the resolution or trust indenture. The commissioners court shall appoint the remaining directors. (c) The trust indenture may provide that in the event of a default, as defined in the trust indenture, the trustee may appoint all directors. On that appointment, the terms of the directors in office terminate. (d) If the authority purchases an existing hospital or a hospital under construction from a nonprofit corporation, the directors shall be determined as provided in the contract of purchase. (e) An officer or employee of the county is not eligible for appointment as a director.