Opinion No.

The Honorable James C. Scott State Senator 321 State Highway 15 South Warren, AR 71671

Dear Senator Scott:

This is in response to your request for an opinion concerning an arrangement whereby a nonprofit corporation would lease the county hospital and operate it. You state that "[t]he apparent purpose of this arrangement would be to enable the corporation to enter into joint venture arrangements with one or more counties to provide various types of services including health services and to enable the corporation to incur interest bearing long term indebtedness to purchase equipment for the…