H.B. 1563                                                     VETOES

(II) IF IT IS DETERMINED THAT THE COMPLAINT IS ACCURATE,
SHALL ATTEMPT TO RESOLVE THE VIOLATION.

(2) A COMPLAINT WHICH CANNOT BE RESOLVED BY THE REGIONAL
PURCHASING COOPERATIVE SHALL BE REFERRED TO THE COMMISSIONER OF
LABOR AND INDUSTRY FOR RESOLUTION.

738. REGIONAL HEALTH COOPERATIVES.

(A)     (1) THERE ARE FOUR REGIONAL HEALTH COOPERATIVES IN THE
STATE.

(2) ONE REGIONAL HEALTH COOPERATIVE SHALL BE ESTABLISHED AS
A PRIVATE NONPROFIT CORPORATION IN EACH REGIONAL AREA OF THE STATE
DESIGNATED UNDER § 702 OF THIS ARTICLE.

(B)     (1) EACH REGIONAL HEALTH COOPERATIVE IS GOVERNED AND ITS
CORPORATE POWERS ARE EXERCISED BY A BOARD OF DIRECTORS.

(2) THE BOARD OF DIRECTORS OF EACH REGIONAL HEALTH
COOPERATIVE CONSISTS OF SEVEN DIRECTORS.

         (3) OF THE SEVEN DIRECTORS;

(I) FOUR SHALL BE REPRESENTATIVES OF PARTICIPATING
EMPLOYERS; AND

(II) THREE SHALL BE CONSUMERS OR EMPLOYEES OF
PARTICIPATING EMPLOYERS.

(4) A DIRECTOR MAY NOT BE EMPLOYED BY, AFFILIATED WITH, AN
AGENT OF, OR OTHERWISE A REPRESENTATIVE OF ANY CARRIER OR HEALTH CARE
PROVIDER.

(C) (1) THE TERM OF A DIRECTOR IS 4 YEARS.

(2) THE TERMS OF DIRECTORS ARE STAGGERED AS REQUIRED BY THE
TERMS PROVIDED FOR DIRECTORS OF THE COOPERATIVE ON JULY 1, 1994. THE
INITIAL TERMS END AS FOLLOWS:

(I)     TWO IN 1995;

(II)     ONE IN 1996;

(III)   TWO IN 1997; AND

(IV)   TWO IN 1998.

(3)      AT THE END OF A TERM, A DIRECTOR CONTINUES TO SERVE UNTIL
A SUCCESSOR IS APPOINTED AND QUALIFIES.

(4)      A DIRECTOR WHO IS APPOINTED AFTER A TERM HAS BEGUN
SERVES ONLY FOR THE REST OF THE TERM AND UNTIL A SUCCESSOR IS APPOINTED
AND QUALIFIES.

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