As used in this chapter, unless the context indicates otherwise:
1. “Area hospital” means a hospital established and operated by a merged area.
2. “Board” means the board of trustees of an area hospital.
3. “Merged area” means a public corporation formed by the residents of two or more contiguous or noncontiguous political subdivisions which have merged resources to establish and operate an area hospital.
4. “Officials” means the respective governing bodies of political subdivisions.
5. “Political subdivision” means any county, township, school district or city.
85 Acts, ch 123, §1, 2