Indiana Code Title 16. Health § 16-22-3-9

Sec. 9. (a) The governing board may determine appointments and reappointments to the medical staff and delineate privileges of the members of the medical staff.

(b) All licensed physicians are eligible for membership on the medical staff of the hospital, but the board may establish and enforce reasonable standards and rules concerning the qualifications for the following:

(c) The standards and rules described in subsection (b) may not discriminate against a licensed physician of any school of medicine but may, in the interest of good patient care, consider the applicant's postgraduate medical education, training, experience, and other facts concerning the applicant that may affect the physician's professional competence.  The rules may include a requirement for the following:

(d) The medical staff shall originate and the board must approve bylaws and rules for self-government.  The bylaws must provide for a hearing for a physician whose medical staff membership the medical staff has recommended for termination.