(a) In accordance with subdivision (3) of section 13-g of the Workers' Compensation Law, a hospital arbitration committee shall consist of three physicians appointed by the chair. One such physician may be nominated to the chair by the president of the Healthcare Association of New York State and one physician may be nominated to the chair by the carrier.

(b) To facilitate and expedite the designation of arbitrators, when needed, separate panels of prospective nominees may be periodically filed with the chair by the president of the Healthcare Association of New York State and by or on behalf of carriers generally. The nominators shall specify the districts of the board in which the prospective nominees reside. Such filing shall be by letter mailed to the chair. Names may be added or deleted from the panel from time to time, but no deletion shall affect the appointment of any physician to a hospital arbitration committee before written request for such deletion has been received by the chair.

(c) A nominee shall not be eligible to serve as an arbitrator with relation to any bill rendered by a hospital or disputed by a carrier with whom he or she is in any way associated.