LAWRENCE J. HOGAN, JR., Governor Ch. 197
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Chapter 197
(House Bill 1471)
AN ACT concerning
Garrett County Memorial Hospital – Lease Authorization and Alterations to
Board of Governors
FOR the purpose of authorizing the County Commissioners of Garrett County and the
Board of Governors of the Garrett County Memorial Hospital to lease the hospital or
certain portions of the hospital under certain circumstances; providing for
alterations to the Board of Governors under certain circumstances; and generally
relating to the Garrett County Memorial Hospital.
BY repealing and reenacting, without amendments,
The Public Local Laws of Garrett County
Section 36.03
Article 12 – Public Local Laws of Maryland
(2005 Edition and 2018 Supplement, as amended)
(As enacted by Chapter 601 of the Acts of the General Assembly of 2021)
BY adding to
The Public Local Laws of Garrett County
Section 36.10
Article 12 – Public Local Laws of Maryland
(2005 Edition and 2018 Supplement, as amended)
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND,
That the Laws of Maryland read as follows:
Article 12 – Garrett County
36.03.
(A) For the purpose of operating the Garrett County Memorial Hospital, there is
a Board of Governors, which shall consist of 15 9 members as follows:
(1) The 3 County Commissioners of Garrett County or their designees. If a
County Commissioner appoints a designee to the Board of Governors, the designee is not
subject to approval by the remaining Board members, but is subject to removal under
division (E) of this section.
(2) Three persons residing in Garrett County, 1 to be appointed by each of
the County Commissioners. Each appointment under this division is subject to approval by
majority vote of the Board of Governors at a meeting consisting of a quorum.
Ch. 197 2022 LAWS OF MARYLAND
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(3) The President of the Town Council of the Town of Oakland or the
President’s designee. If the President appoints a designee to the Board of Governors, the
designee is not subject to approval by the remaining Board members, but is subject to
removal under division (E) of this section.
(4) (3) One person who is on the medical staff of the Garrett County Memorial
Hospital and who is elected by the medical staff. The selection under this division is subject
to approval by majority vote of the Board of Governors at a meeting consisting of a quorum.
(5) (4) Seven Four at–large members who are selected for their talents,
abilities and interest in the affairs of the hospital in accordance with the bylaws of the
Board of Governors. The selection of an at–large member requires a majority of the
qualified votes of the Board of Governors at a meeting consisting of a quorum. An at–large
member may not vote for oneself, for a person who would replace the at–large member or
for a person who would replace another at–large member whose term expires at the same
time as the at–large member. The election of an at–large member requires at least 5 3
affirmative votes.
(B) The terms of members of the Board of Governors shall be as follows:
(1) The terms of the County Commissioners and the term of the President
of the Town Council of Oakland, as ex officio members, shall be coextensive with their
respective terms of office.
(2) The term of a designee of a County Commissioner or of the President of
the Town Council and the terms of members appointed by the County Commissioners is 2
years or until the current term of the elected official or officials who selected the member
ends, whichever occurs first.
(3) The term of the medical staff member is 2 years.
(4) (3) The term of an at–large member is 2 years. The terms of at–large
members shall be staggered so that 3 2 at–large members are elected 1 year and 4 2
at–large members are elected the following year.
(C) Terms extended:
(1) This division only applies if the term of a member appointed by the
County Commissioners or of a designee of a County Commissioner or of the President of
the Town Council or the term of the medical staff member ends and a replacement member
is not selected.
(2) By majority vote of the Board of Governors at a meeting consisting of a
quorum, a member’s term may be extended until a replacement member is selected in
accordance with division (A) of this section or the Board of Governors selects a replacement
member under division (F) of this section. LAWRENCE J. HOGAN, JR., Governor Ch. 197
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(D) The Board of Governors shall be and is made and constituted a body politic
and corporate by the name and style of the Board of Governors of the Garrett County
Memorial Hospital and by that name shall have perpetual succession. Subject to § 36.08,
the Board of Governors may sue and be sued. The Board of Governors may have a common
seal, and alter the same, at its pleasure. The Board of Governors shall have all the powers
herein granted it and all such other powers as shall be proper and necessary to operate and
manage the hospital and/or a public general hospital, or other health and
health–care–related entities and health–care–related functions, as fully as if incorporated
for such purposes under the provisions of the Public General Laws of Maryland.
(E) Removal of members:
(1) This division does not authorize the removal of a County Commissioner
or of the President of the Town Council, serving as ex officio members of the Board of
Governors.
(2) The Board of Governors shall have the power, by majority vote of all the
members of the Board, to remove a member from the Board for cause, including the failure
to satisfy any attendance requirement established in the bylaws. Removal of a member may
only occur at a regular meeting, after not less than 1 week’s notice to the member.
(F) The Board of Governors may fill a vacancy on the Board caused by expiration
of a term, death, resignation, expulsion or, for a member whose residence in Garrett County
is a membership qualification for the Board, removal from the county if the proper selecting
body fails to fill the vacancy within 30 days. A vacancy may be filled for the remainder of
the term by a majority vote of the Board of Governors at a meeting consisting of a quorum.
(G) The Board of Governors shall elect from among its members a Chairperson
and Vice Chairperson. The Board shall also elect a Secretary/Treasurer and such other
officers as it may determine. The Board shall meet at least 10 6 times a year and such other
times as it shall determine or when called by the Chairperson.
36.10.
(A) (1) NOTWITHSTANDING ANY P ROVISION OF THIS CHA PTER, THE
COUNTY COMMISSIONERS AND THE BOARD OF GOVERNORS MAY LEASE T HE
GARRETT COUNTY MEMORIAL HOSPITAL, OR ANY PORTION THERE OF, AND
TRANSFER ASSETS INCI DENTAL TO THE LEASE IN ACCORDANCE WITH T ERMS
DETERMINED BY THE COUNTY COMMISSIONERS AND THE BOARD OF GOVERNORS.
(2) IF THE COUNTY COMMISSIONERS AND THE BOARD OF
GOVERNORS LEASE T HE GARRETT COUNTY MEMORIAL HOSPITAL, OR ANY
PORTION THEREOF , IN ACCORDANCE WITH T HIS DIVISION:
(I) THE BOARD OF GOVERNORS SHALL : Ch. 197 2022 LAWS OF MARYLAND
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1. CONTINUE IN EXISTENCE AS PROVIDED IN DIVIS ION
(B) OF THIS SECTION;
2. UNDER THE LEASE , HOLD TITLE TO THE AS SETS
OWNED BY THE HOSPITAL WHICH ARE TO BE LEASED, AS CO–LESSOR WITH THE
COUNTY COMMISSIONERS ; AND
3. CONTINUE IN EXISTENCE AS A BODY POLITIC AN D
CORPORATE , TO ENFORCE ITS RIGHT S AND OBLIGATIONS UN DER THE LEASE AND TO
RESUME OPERATION OF THE HOSPITAL IF A TERMINATION OF THE LEASE RESULTS
IN A REVERSION OF TH E HOSPITAL OPERATIONS A ND ASSETS BACK TO TH E COUNTY
COMMISSIONERS AND THE BOARD OF GOVERNORS; AND
(II) THE COUNTY COMMISSIONERS SHALL C ONTINUE TO:
1. HOLD TITLE TO THE REA L PROPERTY OWNED BY IT
AND USED FOR THE PUR POSE OF THE HOSPITAL; AND
2. ENFORCE THEIR RIGHTS AND OBLIGATIONS UNDE R
THE LEASE.
(3) THE COUNTY COMMISSIONERS AND THE BOARD OF GOVERNORS
MAY TAKE ANY FURTHER ACTIONS NECESSARY TO FULLY PERFORM UNDER A LEASE,
INCLUDING:
(I) EXECUTING ALL APPLICA BLE DOCUMENTS AND
TRANSACTIONS NECESSA RY TO LEASE THE REAL ESTATE AND EXISTING FACILITIES;
(II) TRANSFERRING TITLE TO OR POSSESSION OF TAN GIBLE
PROPERTY AND INTANGI BLE PROPERTY ;
(III) PARTICIPATING IN ANY APPLICABLE REGULAT ORY
PROCESS; AND
(IV) MAKING ARRANGEMENTS F OR A DISPOSITION OF THE
HOSPITAL CONSISTENT W ITH THE TERMS OF A L EASE.
(B) (1) NOTWITHSTANDING § 36.03 OF THIS CHAPTER , IF THE COUNTY
COMMISSIONERS AND THE BOARD OF GOVERNORS LEASE THE GARRETT COUNTY
MEMORIAL HOSPITAL, OR ANY PORTION THERE OF, IN ACCORDANCE WITH T HIS
SECTION, THE BOARD OF GOVERNORS SHALL BE RE DUCED IN NUMBER TO C ONSIST LAWRENCE J. HOGAN, JR., Governor Ch. 197
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OF THREE PERSONS RES IDING IN GARRETT COUNTY, ONE TO BE APPOINTED BY
EACH OF THE COUNTY COMMISSIONERS .
(2) THE BOARD OF GOVERNORS SHALL MEET AT LEAST ONCE EACH
YEAR AND AT OTHER TI MES AS IT SHALL DETE RMINE OR WHEN CALLED BY THE
CHAIRPERSON .
(3) THE COUNTY COMMISSIONERS SHALL S ELECT THE MEMBERS OF
THE BOARD OF GOVERNORS UNDER THIS DIVISION FOR THEIR T ALENTS, ABILITIES,
AND INTEREST IN THE AFFAIR S OF THE GARRETT COUNTY MEMORIAL HOSPITAL.
(4) A MEMBER OF THE BOARD OF GOVERNORS UNDER THIS DIVISION
MAY NOT SERVE ON THE BOARD OF DIRECTORS OF THE LESS EE.
(5) THE TERM OF A MEMBER APPOINTED BY THE COUNTY
COMMISSIONERS UNDER T HIS DIVISION IS 2 YEARS OR UNTIL THE C URRENT TERM
OF THE ELECTED OFFIC IAL OR OFFICIALS WHO SELECTED THE MEMBER ENDS,
WHICHEVER OCCURS FIR ST.
(6) THE BOARD OF GOVERNORS SHALL ELECT FROM AMONG ITS
MEMBERS A CHAIRPERSON , A VICE CHAIRPERSON , AND A SECRETARY/TREASURER.
(7) THE BOARD OF GOVERNORS MAY REMOVE A MEMBER OR FILL A
VACANCY ON THE BOARD IN ACCORDANCE W ITH § 36.03(E) AND (F) OF THIS
CHAPTER.
(8) THE COUNTY COMMISSIONERS , BY RESOLUTION , SHALL ADOPT
PROCEDURES FOR THE T RANSITION OF THE MEM BERSHIP AND DUTIES OF THE
BOARD OF GOVERNORS NECESSITATE D BY THE ENTERING IN TO, OR TERMINATION
OF, A LEASE UNDER THIS S ECTION.
(C) IN ANY LEASE AUTHORIZ ED BY THIS SECTION , TRANSFERS OF TITLE T O
OR POSSESSION OF REA L ESTATE, TANGIBLE PROPERTY , OR INTANGIBLE PROPER TY
OWNED BY THE COUNTY COMMISSIONERS OR THE BOARD OF GOVERNORS AND
USED IN THE OPERATIO N OF THE HOSPITAL, INCLUDING MEMBERSHIP OR EQUITY
INTERESTS IN SUBSIDI ARY OR AFFILIATED EN TITIES, ARE AUTHORIZED AND
EXEMPT FROM PUBLIC B IDDING REQUIREMENTS UNDER § 30.21 OF THIS ARTICLE.
SECTION 2. AND BE IT FURTHER ENACTED, That this Act is an emergency
measure, is necessary for the immediate preservation of the public health or safety, has
been passed by a yea and nay vote supported by three–fifths of all the members elected to
each of the two Houses of the General Assembly, and shall take effect from the date it is
enacted.
Ch. 197 2022 LAWS OF MARYLAND
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Approved by the Governor, April 21, 2022.