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§ 19-217. Notification of financial transactions

West's Annotated Code of MarylandHealth--GeneralEffective: July 1, 2014

West's Annotated Code of Maryland
Health--General
Title 19. Health Care Facilities (Refs & Annos)
Subtitle 2. Health Services Cost Review Commission (Refs & Annos)
Part II. Health Care Facility Rate Setting
Effective: July 1, 2014
MD Code, Health - General, § 19-217
§ 19-217. Notification of financial transactions
In general
(a) Except as provided in subsection (c) of this section, a facility shall notify the Commission at least 30 days prior to executing any financial transaction, contract, or other agreement that would:
(1) Pledge more than 50% of the operating assets of the facility as collateral for a loan or other obligation;
(2) Result in more than 50% of the operating assets of the facility being sold, leased, or transferred to another person or entity; or
(3) Result in more than 50% of all corporate voting rights or governance reserve powers being transferred to or assumed by another person or entity.
Notice of proposed transaction
(b) Except as provided in subsection (c) of this section, the Commission shall publish a notice of the proposed financial transaction, contract, or other agreement reported by a facility in accordance with subsection (a) of this section in a newspaper of general circulation in the area where the facility is located.
Application of section
(c) The provisions of this section do not apply to any financial transaction, contract, or other agreement made by a facility with any issuer of tax-exempt bonds, including the Maryland Health and Higher Education Facilities Authority, the State, or any county or municipal corporation of the State, if a notice of the proposed issuance of revenue bonds that meets the requirements of § 147(f) of the Internal Revenue Code has been published.

Credits

Added as Health-General § 19-212.1 by Acts 1991, c. 555, § 1, eff. July 1, 1991. Renumbered as Health-General § 19-217 and amended by Acts 1999, c. 702, § 2, eff. Oct. 1, 1999. Amended by Acts 2014, c. 263, § 1, eff. July 1, 2014.
MD Code, Health - General, § 19-217, MD HEALTH GEN § 19-217
Current through legislation effective July 1, 2020, from the 2020 Regular Session of the General Assembly.
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