It shall be competent and lawful for the board of supervisors of any county in this state now or hereafter having a population of more than 1,000,000 as determined by the latest of each succeeding federal decennial census to acquire, own, construct, establish, maintain and operate, in the same manner and by the same means as is provided by this act for the acquisition, construction, establishment, maintenance and operation of other hospitals authorized by this act, a county general hospital for the treatment of persons suffering from contagious and infectious diseases and for the treatment of indigent persons suffering from any physical ailment or impairment, and for the emergency treatment of any person who, in emergency, through accident or illness, would ordinarily be in danger of loss of life or serious bodily impairment, including persons hospitalized under the provisions of Act No. 267 of the Public Acts of 1915, as amended, being section 404.101 to 404.112, inclusive, of the Compiled Laws of 1948. The board of supervisors, in the case of construction of such county general hospital, shall designate the site on which such county general hospital shall be placed. The board of supervisors shall also determine the sum or sums of money to be appropriated for the acquisition, ownership, construction, establishment and maintenance of said county general hospital, and for operational and equipment purposes. In any county having a population of more than 1,000,000, as determined by the latest of each succeeding federal decennial census, maintaining or which shall hereafter maintain a county infirmary, county hospital or institution operated by a board of county institutions appointed pursuant to the provisions of section 55 of Act No. 280 of the Public Acts of 1939, as amended, being section 400.55 of the Compiled Laws of 1948, the said board of county institutions shall have and exercise direction, control and supervision over such county general hospital or institution, subject to any direction, ordinance or resolution of the board of supervisors: Provided, That in counties having a population of more than 1,000,000, as determined by the latest of each succeeding federal decennial census, where Act No. 370 of the Public Acts of 1941, as amended, being section 38.401 to 38.427, inclusive, of the Compiled Laws of 1948, is in force, such medical superintendent, physicians, nurses and other employees shall be employed pursuant to the provisions of said act. There may also be maintained by said county general hospital, under the direction and control of the board of supervisors, out-patient facilities for the treatment of indigent persons suffering from contagious and infectious diseases and other types of illness, upon such terms and conditions as shall be fixed by the said medical superintendent, with the approval of the board of county institutions.

     All claims against the hospital shall be submitted to the board of county institutions, and, if approved, shall be subject to audit by the board of supervisors, or by the board of county auditors in counties having a board of county auditors. Said board of county institutions shall present to the board of supervisors, or in counties having a board of county auditors, to the board of county auditors, an estimate of the funds necessary to be raised in such county for the ensuing year.