EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
Underlining indicates amendments to bill.
Strike out indicates matter stricken from the bill by amendment or deleted from the law by
amendment.
*sb0708*
SENATE BILL 708
J1, P1, P2 2lr2968
By: Senators Lam and Hettleman
Introduced and read first time: February 4, 2022
Assigned to: Finance
Committee Report: Favorable with amendments
Senate action: Adopted
Read second time: March 7, 2022
CHAPTER ______
AN ACT concerning 1
Maryland Department of Health – Office of the Inspector General and 2
Emergency Procurement Audits 3
FOR the purpose of providing that there is a Compliance Officer within the Office of the 4
Inspector General in the Maryland Department of Health; authorizing the Inspector 5
General and the Compliance Officer to investigate behavior in the Department that 6
threatens public safety or demonstrates negligence, incompetence, or malfeasance; 7
requiring the Inspector General, the Compliance Officer, or a designated Assistant 8
Inspector General to respond in a certain manner to an individual who has filed a 9
complaint or allegation; requiring the Board of Public Works to submit a certain 10
audit to the Secretary of Health after the Department awards an emergency 11
procurement contract; and generally relating to the Maryland Department of Health. 12
BY adding to 13
Article – Health – General 14
Section 2–502.2 15
Annotated Code of Maryland 16
(2019 Replacement Volume and 2021 Supplement) 17
BY repealing and reenacting, with amendments, 18
Article – Health – General 19
Section 2–503 20
Annotated Code of Maryland 21
(2019 Replacement Volume and 2021 Supplement) 22
2 SENATE BILL 708
BY repealing and reenacting, without amendments, 1
Article – State Finance and Procurement 2
Section 11–101(a) and (d) 3
Annotated Code of Maryland 4
(2021 Replacement Volume) 5
BY adding to 6
Article – State Finance and Procurement 7
Section 13–228 8
Annotated Code of Maryland 9
(2021 Replacement Volume) 10
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 11
That the Laws of Maryland read as follows: 12
Article – Health – General 13
2–502.2. 14
(A) THERE IS A COMPLIANCE OFFICER WITHIN THE MARYLAND OFFICE OF 15
THE INSPECTOR GENERAL FOR HEALTH. 16
(B) (1) THE COMPLIANCE OFFICER SHALL BE APPOINTED DESIGNATED 17
BY THE INSPECTOR GENERAL. 18
(2) THE COMPLIANCE OFFICER SHALL BE PROF ESSIONALLY 19
QUALIFIED THROUGH EX PERIENCE OR EDUCATIO N IN AT LEAST ONE OF THE 20
FOLLOWING AREAS : 21
(I) ADMINISTRATIVE MANAGE MENT; 22
(II) HEALTH CARE COMPLIANC E STANDARDS; OR 23
(III) PUBLIC HEALTH . 24
(C) THE COMPLIANCE OFFICER SHALL ENSURE THAT UNITS AND 25
EMPLOYEES OF THE DEPARTMENT COMPLY WIT H: 26
(1) BEST PRACTICES IN HEA LTH CARE, PUBLIC HEALTH , AND 27
GOVERNMENT ADMINISTR ATION; AND 28
(2) LAWS, REGULATIONS , AND DEPARTMENT POLICIES . 29
2–503. 30
(a) The Inspector General AND THE COMPLIANCE OFFICER: 31 SENATE BILL 708 3
(1) May investigate fraud, waste, [and] abuse of departmental funds, AND 1
BEHAVIOR IN THE DEPARTMENT THAT THREA TENS PUBLIC SAFETY O R 2
DEMONSTRATES NEGLIGE NCE, INCOMPETENCE , OR MALFEASANCE ; 3
(2) Shall cooperate with and coordinate investigative efforts with the 4
Medicaid Fraud Control Unit and where a preliminary investigation establishes a sufficient 5
basis to warrant referral, shall refer such matters to the Medicaid Fraud Control Unit; and 6
(3) Shall cooperate with and coordinate investigative efforts with 7
departmental programs and other State and federal agencies to ensure a provider is not 8
subject to duplicative audits. 9
(b) (1) The Inspector General, THE COMPLIANCE OFFICER, or a designated 10
Assistant Inspector General may subpoena any person or evidence, administer oaths, and 11
take depositions and other testimony for the purpose of investigating fraud, waste, [or] 12
abuse of departmental funds, OR BEHAVIOR IN THE DEPARTMENT THAT THREA TENS 13
PUBLIC SAFETY OR DEM ONSTRATES NEGLIGENCE , INCOMPETENCE , OR 14
MALFEASANCE . 15
(2) If a person fails to comply with a lawful order or subpoena issued under 16
this subsection, on petition of the Inspector General, THE COMPLIANCE OFFICER, or a 17
designated Assistant Inspector General, a court of competent jurisdiction may compel: 18
(i) Compliance with the order or subpoena; or 19
(ii) Testimony or the production of evidence. 20
(C) WITHIN 7 BUSINESS DAYS AFTER RECEIVING A COMPLAIN T OR 21
ALLEGATION, THE INSPECTOR GENERAL, THE COMPLIANCE OFFICER, OR A 22
DESIGNATED ASSISTANT INSPECTOR GENERAL SHALL RESPOND TO THE 23
INDIVIDUAL WHO FILED THE COMPLAINT OR ALL EGATION WITH: 24
(1) A PRELIMINARY INDICATI ON OF WHETHER THE OFFICE OF THE 25
INSPECTOR GENERAL IS ABLE TO IN VESTIGATE THE COMPLA INT OR ALLEGATION ; 26
AND 27
(2) IF THE OFFICE OF THE INSPECTOR GENERAL IS UNABLE TO 28
INVESTIGATE THE COMP LAINT OR ALLEGATION : 29
(I) THE REASON FOR NOT BEING ABLE TO INVESTIGATE ; AND 30
(II) THE CONTACT INFORMATI ON FOR THE OFFICE OF 31
LEGISLATIVE AUDITS FRAUD HOTLINE. 32
4 SENATE BILL 708
Article – State Finance and Procurement 1
11–101. 2
(a) In this Division II the following words have the meanings indicated unless: 3
(1) the context clearly requires a different meaning; or 4
(2) a different definition is provided for a particular title or provision. 5
(d) “Board” means the Board of Public Works. 6
13–228. 7
(A) WITHIN 90 DAYS AFTER THE MARYLAND DEPARTMENT OF HEALTH 8
AWARDS AN EMERGENCY PROCUREMENT CONTRACT , THE BOARD SHALL SUBMIT TO 9
THE SECRETARY OF HEALTH AN AUDIT OF TH E PROCUREMENT CONTRA CT THAT IS 10
COMPLETED BY AN AUDI TOR THAT IS NOT A UN IT OR AN EMPLOYEE OF THE STATE 11
OR A LOCAL GOVERNMEN T. 12
(B) A COPY OF THE COMPLETED AUDIT SUBMITTED UNDER SUBS ECTION (A) 13
OF THIS SECTION SHAL L BE KEPT PUBLICLY A VAILABLE BY THE BOARD AND THE 14
MARYLAND DEPARTMENT OF HEALTH. 15
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 16
October 1, 2022. 17
Approved:
________________________________________________________________________________
Governor.
________________________________________________________________________________
President of the Senate.
________________________________________________________________________________
Speaker of the House of Delegates.