MD
Maryland Senate Bill SB804

Maryland 2022 Regular Session

Maryland Senate Bill SB804 Compare Versions

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1- LAWRENCE J. HOGAN, JR., Governor Ch. 728
21
3-– 1 –
4-Chapter 728
5-(Senate Bill 804)
62
7-AN ACT concerning
3+EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
4+ [Brackets] indicate matter deleted from existing law.
5+ Underlining indicates amendments to bill.
6+ Strike out indicates matter stricken from the bill by amendment or deleted from the law by
7+amendment.
8+ *sb0804*
89
9-Continuing Care at Home – Certificate of Need – Exemption
10+SENATE BILL 804
11+J3 2lr2426
12+ CF HB 972
13+By: Senator Beidle Senators Beidle, Augustine, Benson, Feldman, Hayes, Hershey,
14+Jennings, Kelley, Klausmeier, Kramer, and Ready
15+Introduced and read first time: February 7, 2022
16+Assigned to: Finance
17+Committee Report: Favorable with amendments
18+Senate action: Adopted
19+Read second time: March 7, 2022
1020
11-FOR the purpose of providing that the definition of a health care facility, for the purpose of
12-providing an exemption from the certificate of need requirement, does not include
13-certain facilities that are for the exclusive use of the provider’s subscribers who have
14-executed continuing care at home agreements and paid certain entrance fees;
15-establishing an exception to certain application requirements for certain continuing
16-care at home providers; and generally relating to continuing care at home and
17-exemptions to certificate of need.
21+CHAPTER ______
1822
19-BY repealing and reenacting, with amendments,
20- Article – Health – General
21-Section 19–114(d)(2)(ii)
22- Annotated Code of Maryland
23- (2019 Replacement Volume and 2021 Supplement)
23+AN ACT concerning 1
2424
25-BY repealing and reenacting, with amendments,
26- Article – Human Services
27- Section 10–458
28- Annotated Code of Maryland
29- (2019 Replacement Volume and 2021 Supplement)
25+Continuing Care at Home – Certificate of Need – Exemption 2
3026
31- SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND,
32-That the Laws of Maryland read as follows:
27+FOR the purpose of providing that the definition of a health care facility, for the purpose of 3
28+providing an exemption from the certificate of need requirement, does not include 4
29+certain facilities that are for the exclusive use of the provider’s subscribers who have 5
30+executed continuing care at home agreements and paid certain entrance fees; 6
31+establishing an exception to certain application requirements for certain continuing 7
32+care at home providers; and generally relating to continuing care at home and 8
33+exemptions to certificate of need. 9
3334
34-Article – Health – General
35+BY repealing and reenacting, with amendments, 10
36+ Article – Health – General 11
37+Section 19–114(d)(2)(ii) 12
38+ Annotated Code of Maryland 13
39+ (2019 Replacement Volume and 2021 Supplement) 14
3540
36-19–114.
41+BY repealing and reenacting, with amendments, 15
42+ Article – Human Services 16
43+ Section 10–458 17
44+ Annotated Code of Maryland 18
45+ (2019 Replacement Volume and 2021 Supplement) 19
3746
38- (d) (2) “Health care facility” does not include:
47+ SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 20
48+That the Laws of Maryland read as follows: 21 2 SENATE BILL 804
3949
40- (ii) For the purpose of providing an exception to the requirement for
41-a certificate of need under § 19–120 of this subtitle, a facility to provide comprehensive care
42-constructed by a provider of continuing care, as defined in § 10–401 of the Human Services
43-Article, if:
4450
45- 1. Except as provided under § 19–123 of this subtitle, the
46-facility is for the exclusive use of the provider’s subscribers who have executed continuing
47-care agreements, INCLUDING CONTINUING CARE AT HOME AGREEMENTS , and paid
48-entrance fees that are at least equal to the lowest entrance fee charged for an independent Ch. 728 2022 LAWS OF MARYLAND
4951
50-– 2 –
51-living unit [or], an assisted living unit, OR A CONTINUING CARE AT HOME AGREEMENT
52-before entering the continuing care community, regardless of the level of care needed by
53-the subscribers at the time of admission;
52+Article – Health – General 1
5453
55- 2. The facility is located on the campus of the continuing care
56-community; and
54+19–114. 2
5755
58- 3. The number of comprehensive care nursing beds in the
59-community does not exceed:
56+ (d) (2) “Health care facility” does not include: 3
6057
61- A. 24 percent of the number of independent living units in a
62-community having less than 300 independent living units; or
58+ (ii) For the purpose of providing an exception to the requirement for 4
59+a certificate of need under § 19–120 of this subtitle, a facility to provide comprehensive care 5
60+constructed by a provider of continuing care, as defined in § 10–401 of the Human Services 6
61+Article, if: 7
6362
64- B. 20 percent of the number of independent living units in a
65-community having 300 or more independent living units;
63+ 1. Except as provided under § 19–123 of this subtitle, the 8
64+facility is for the exclusive use of the provider’s subscribers who have executed continuing 9
65+care agreements, INCLUDING CONTINUING CARE AT HOME AGREEME NTS, and paid 10
66+entrance fees that are at least equal to the lowest entrance fee charged for an independent 11
67+living unit [or], an assisted living unit, OR A CONTINUING CARE AT HOME AGRE EMENT 12
68+before entering the continuing care community, regardless of the level of care needed by 13
69+the subscribers at the time of admission; 14
6670
67-Article – Human Services
71+ 2. The facility is located on the campus of the continuing care 15
72+community; and 16
6873
69-10–458.
74+ 3. The number of comprehensive care nursing beds in the 17
75+community does not exceed: 18
7076
71- (a) A provider may not provide continuing care at home services until the
72-Department issues a certificate of registration to the provider.
77+ A. 24 percent of the number of independent living units in a 19
78+community having less than 300 independent living units; or 20
7379
74- (b) An application for a certificate of registration shall:
80+ B. 20 percent of the number of independent living units in a 21
81+community having 300 or more independent living units; 22
7582
76- (1) be filed in a form satisfactory to the Department; and
83+Article – Human Services 23
7784
78- (2) include at least the following information:
85+10–458. 24
7986
80- (i) EXCEPT AS PROVIDED I N SUBSECTION (D) OF THIS SECTION,
81-verification that the required number of agreements has been executed and the
82-corresponding deposits collected;
87+ (a) A provider may not provide continuing care at home services until the 25
88+Department issues a certificate of registration to the provider. 26
8389
84- (ii) the form and substance of any proposed advertisements,
85-advertising campaigns, or other promotional materials for the program that are available
86-at the time of filing and that have not been filed previously with the Department;
90+ (b) An application for a certificate of registration shall: 27
8791
88- (iii) verification that any other license or certificate required by other
89-appropriate State units has been issued to the provider; and
92+ (1) be filed in a form satisfactory to the Department; and 28
9093
91- (iv) any other information that the Department requires.
94+ (2) include at least the following information: 29
95+ SENATE BILL 804 3
9296
93- (c) The Department shall issue a certificate of registration to a provider if the
94-Department determines that:
95- LAWRENCE J. HOGAN, JR., Governor Ch. 728
9697
97-– 3 –
98- (1) the information and documents submitted with the feasibility study
99-and application for a preliminary certificate of registration are current and accurate or have
100-been updated to make them accurate;
98+ (i) EXCEPT AS PROVIDED I N SUBSECTION (D) OF THIS SECTION, 1
99+verification that the required number of agreements has been executed and the 2
100+corresponding deposits collected; 3
101101
102- (2) EXCEPT AS PROVIDED I N SUBSECTION (D) OF THIS SECTION , the
103-required number of agreements has been executed and the corresponding deposits
104-collected;
102+ (ii) the form and substance of any proposed advertisements, 4
103+advertising campaigns, or other promotional materials for the program that are available 5
104+at the time of filing and that have not been filed previously with the Department; 6
105105
106- (3) any other license or certificate required by other appropriate State
107-units has been issued to the provider;
106+ (iii) verification that any other license or certificate required by other 7
107+appropriate State units has been issued to the provider; and 8
108108
109- (4) the provider has submitted all proposed advertisements, advertising
110-campaigns, and other promotional materials for the program;
109+ (iv) any other information that the Department requires. 9
111110
112- (5) the form and substance of all advertisements, advertising campaigns,
113-and other promotional materials submitted are not deceptive, misleading, or likely to
114-mislead; and
111+ (c) The Department shall issue a certificate of registration to a provider if the 10
112+Department determines that: 11
115113
116- (6) the provider has submitted any other information that the Department
117-required.
114+ (1) the information and documents submitted with the feasibility study 12
115+and application for a preliminary certificate of registration are current and accurate or have 13
116+been updated to make them accurate; 14
118117
119- (D) SUBSECTIONS (B)(2)(I) AND (C)(2) OF THIS SECTION DO N OT APPLY TO
120-A PROVIDER OF CONTIN UING CARE AT HOME SE RVICES THAT:
118+ (2) EXCEPT AS PROVIDED I N SUBSECTION (D) OF THIS SECTION , the 15
119+required number of agreements has been executed and the corresponding deposits 16
120+collected; 17
121121
122- (1) MEETS ANY CAPITAL RE SERVE REQUIREMENTS ; AND
122+ (3) any other license or certificate required by other appropriate State 18
123+units has been issued to the provider; 19
123124
124- (2) UNTIL THE PROVIDER H AS ENROLLED THE MINI MUM NUMBER OF
125-SUBSCRIBERS NEEDED F OR ITS REVENUES TO A T LEAST EQUAL ITS EX PENSES:
125+ (4) the provider has submitted all proposed advertisements, advertising 20
126+campaigns, and other promotional materials for the program; 21
126127
127- (I) HOLDS IN ESCROW THE ENTIRETY OF ALL ENTRANCE FEES ;
128-OR
128+ (5) the form and substance of all advertisements, advertising campaigns, 22
129+and other promotional materials submitted are not deceptive, misleading, or likely to 23
130+mislead; and 24
129131
130- (II) MAINTAINS A SURETY B OND OF AT LEAST $1,000,000 OR AN
131-EQUIVALENT REPLACEME NT SECURITY SUCH AS CASH, IRREVOCABLE LETTERS OF
132-CREDIT, CERTIFICATES OF DEPO SIT, OR TREASURY BILLS .
132+ (6) the provider has submitted any other information that the Department 25
133+required. 26
133134
134- [(d)] (E) If a provider intends to advertise before the Department issues a
135-certificate of registration under subsection (c) of this section, the provider shall submit to
136-the Department any advertisement, advertising campaign, or other promotional materials
137-before using it.
135+ (D) SUBSECTIONS (B)(2)(I) AND (C)(2) OF THIS SECTION DO NOT APPLY TO 27
136+A PROVIDER OF CONTIN UING CARE AT HOME SE RVICES THAT: 28
138137
139- [(e)] (F) If a certificate of registration is not issued to a provider within 24
140-months after the Department approves a feasibility study, or a longer time allowed by the
141-Department for good cause shown, the provider shall refund all deposits collected and stop
142-offering continuing care at home services under that application. Ch. 728 2022 LAWS OF MARYLAND
138+ (1) MEETS ANY CAPITAL RE SERVE REQUIREMENTS ; AND 29
143139
144-– 4 –
140+ (2) UNTIL THE PROVIDER H AS ENROLLED THE MINI MUM NUMBER OF 30
141+SUBSCRIBERS NEEDED F OR ITS REVENUES TO A T LEAST EQUAL ITS EX PENSES: 31
142+ 4 SENATE BILL 804
145143
146- SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect
147-October July 1, 2022.
148144
149-Enacted under Article II, § 17(c) of the Maryland Constitution, May 29, 2022.
145+ (I) HOLDS IN ESCROW THE ENTIRETY OF ALL ENTR ANCE FEES; 1
146+OR 2
147+
148+ (II) MAINTAINS A SURETY B OND OF AT LEAST $1,000,000 OR AN 3
149+EQUIVALENT REPLACEME NT SECURITY SUCH AS CASH, IRREVOCABLE LETTERS OF 4
150+CREDIT, CERTIFICATES OF DEPO SIT, OR TREASURY BILLS . 5
151+
152+ [(d)] (E) If a provider intends to advertise before the Department issues a 6
153+certificate of registration under subsection (c) of this section, the provider shall submit to 7
154+the Department any advertisement, advertising campaign, or other promotional materials 8
155+before using it. 9
156+
157+ [(e)] (F) If a certificate of registration is not issued to a provider within 24 10
158+months after the Department approves a feasibility study, or a longer time allowed by the 11
159+Department for good cause shown, the provider shall refund all deposits collected and stop 12
160+offering continuing care at home services under that application. 13
161+
162+ SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 14
163+October July 1, 2022. 15
164+
165+
166+
167+
168+Approved:
169+________________________________________________________________________________
170+ Governor.
171+________________________________________________________________________________
172+ President of the Senate.
173+________________________________________________________________________________
174+ Speaker of the House of Delegates.