EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
*hb0391*
HOUSE BILL 391
D3, P3, B1 2lr2342
CF SB 114
By: Delegate Bartlett
Introduced and read first time: January 19, 2022
Assigned to: Appropriations
A BILL ENTITLED
AN ACT concerning 1
False Claims – Civil Penalties or Damages – Exceptions to General Fund Deposit 2
by Comptroller 3
FOR the purpose of requiring that the Comptroller deposit civil penalties or damages 4
collected by the State under the Maryland False Claims Act or under certain 5
provisions of law prohibiting false claims against State health plans and health 6
programs into certain funds or special funds rather than the General Fund of the 7
State under certain circumstances; requiring that funds deposited by the 8
Comptroller under this Act be on a pro rata basis under certain circumstances; and 9
generally relating to the Maryland False Claims Act. 10
BY repealing and reenacting, with amendments, 11
Article – General Provisions 12
Section 8–109(c) 13
Annotated Code of Maryland 14
(2019 Replacement Volume and 2021 Supplement) 15
BY repealing and reenacting, with amendments, 16
Article – Health – General 17
Section 2–610(c) 18
Annotated Code of Maryland 19
(2019 Replacement Volume and 2021 Supplement) 20
BY repealing and reenacting, without amendments, 21
Article – State Finance and Procurement 22
Section 7–302 and 7–304 23
Annotated Code of Maryland 24
(2021 Replacement Volume) 25
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 26
That the Laws of Maryland read as follows: 27 2 HOUSE BILL 391
Article – General Provisions 1
8–109. 2
(c) (1) [The] EXCEPT AS PROVIDED UN DER PARAGRAPH (2) OF THIS 3
SUBSECTION, THE Comptroller shall deposit any civil penalty or damages collected by the 4
State under this title into the General Fund of the State. 5
(2) (I) IF A VIOLATION OF THI S TITLE AFFECTS ANY OF THE 6
FOLLOWING FUNDS , THE COMPTROLLER SHALL DEP OSIT ANY CIVIL PENAL TY OR 7
DAMAGES COLLECTED BY THE STATE UNDER THIS TITL E INTO THE AFFECTED FUND: 8
1. A FUND THAT IS NOT S UBJECT TO § 7–302 OF THE 9
STATE FINANCE AND PROCUREMENT ARTICLE; 10
2. A SPECIAL FUND REQUI RING THE REVERSION O F 11
APPROPRIATED FUNDS T O THE SPECIAL FUND U NDER § 7–304 OF THE STATE 12
FINANCE AND PROCUREMENT ARTICLE; 13
3. A FUND UNDER THE JUR ISDICTION OF THE STATE 14
RETIREMENT AND PENSION SYSTEM; OR 15
4. A FUND UNDER THE JUR ISDICTION OF THE STATE 16
EMPLOYEE AND RETIREE HEALTH AND WELFARE BENEFITS PROGRAM. 17
(II) IF MORE THAN ONE FUND IS AFFECTED BY A VIO LATION OF 18
THIS TITLE, THE COMPTROLLER SHALL DEP OSIT ANY CIVIL PENAL TY OR DAMAGES 19
COLLECTED BY THE STATE INTO THE APPROP RIATE FUND OR THE GENERAL FUND 20
OF THE STATE ON A PRO RATA B ASIS. 21
Article – Health – General 22
2–610. 23
(c) (1) [The] EXCEPT AS PROVIDED UN DER PARAGRAPH (2) OF THIS 24
SUBSECTION, THE Comptroller shall deposit any civil penalty or damages collected under 25
this subtitle in the General Fund of the State. 26
(2) (I) IF A VIOLATION OF THI S SUBTITLE AFFECTS A NY OF THE 27
FOLLOWING FUNDS , THE COMPTROLLER SHALL DEP OSIT ANY CIVIL PENAL TY OR 28
DAMAGES COLLECTED BY THE STATE UNDER THIS TITL E INTO THE AFFECTED FUND : 29
1. A FUND THAT IS NOT SUB JECT TO § 7–302 OF THE 30 HOUSE BILL 391 3
STATE FINANCE AND PROCUREMENT ARTICLE; 1
2. A SPECIAL FUND REQUIRI NG THE REVERSION OF 2
APPROPRIATED FUNDS T O THE SPECIAL FUND U NDER § 7–304 OF THE STATE 3
FINANCE AND PROCUREMENT ARTICLE; 4
3. A FUND UNDER THE JURIS DICTION OF THE STATE 5
RETIREMENT AND PENSION SYSTEM; OR 6
4. A FUND UNDER THE JURIS DICTION OF THE STATE 7
EMPLOYEE AND RETIREE HEALTH AND WELFARE BENEFITS PROGRAM. 8
(II) IF MORE THAN ONE FUND IS AFFECTED BY A VIO LATION OF 9
THIS SUBTITLE , THE COMPTROLLER SHALL DEP OSIT ANY CIVIL PENAL TY OR 10
DAMAGES COLLECTED BY THE STATE INTO THE APPROP RIATE FUND OR THE 11
GENERAL FUND OF THE STATE ON A PRO RATA B ASIS. 12
Article – State Finance and Procurement 13
7–302. 14
Except as otherwise provided by law, at the end of a fiscal year, the unspent balance 15
of each appropriation that was made for that fiscal year to an officer or unit of the State 16
government or to an institution reverts to the General Fund of the State. 17
7–304. 18
At the end of a fiscal year, the unspent part of an appropriation from a source that 19
State law or an Act of Congress dedicates to a specific purpose does not revert to the General 20
Fund of the State but reverts to the appropriate special fund. 21
SECTION 2. AND BE IT FURTHER ENAC TED, That this Act shall take effect 22
October 1, 2022. 23