MD
Maryland House Bill HB1002

Maryland 2024 Regular Session

Maryland House Bill HB1002 Compare Versions

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1- WES MOORE, Governor Ch. 140
21
3-– 1 –
4-Chapter 140
5-(House Bill 1002)
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+ *hb1002*
89
9-Maryland Department of Health – Office of the Attorney General – Investigative
10-Authority – Health Care Fraud
10+HOUSE BILL 1002
11+J1, P1 4lr2176
1112
12-FOR the purpose of authorizing the Office of the Attorney General, a Deputy Attorney
13-General, or an Assistant Attorney General to issue a subpoena persons or evidence,
14-administer oaths, and take depositions and other testimony to investigate fraud,
15-waste, abuse of Maryland Department of Health funds, or certain behavior in the
16-Department; authorizing the Office to petition a court to compel compliance with a
17-certain order or subpoena or testimony or the production of evidence under certain
18-circumstances to a person to produce certain materials, answer written
19-interrogatories, and give certain testimony in furtherance of a certain health care
20-fraud investigation; authorizing the Attorney General to report a failure to obey the
21-subpoena to the circuit court with jurisdiction over the matter; and generally relating
22-to the investigative authority of the Office of the Attorney General.
13+By: Chair, Health and Government Operations Committee (By Request – Office of
14+the Attorney General) and Delegates Boyce, Harris, Lehman, and Taveras
15+Taveras, Pena–Melnyk, Cullison, Alston, Bagnall, Bhandari, Hill,
16+S. Johnson, Kaiser, Kerr, R. Lewis, Lopez, Martinez, Rosenberg,
17+White Holland, and Woods
18+Introduced and read first time: February 5, 2024
19+Assigned to: Health and Government Operations
20+Committee Report: Favorable with amendments
21+House action: Adopted
22+Read second time: February 26, 2024
2323
24-BY repealing and reenacting, with amendments,
25- Article – Health – General
26-Section 2–503
27- Annotated Code of Maryland
28- (2023 Replacement Volume)
24+CHAPTER ______
2925
30-BY adding to
31- Article – State Government
32- Section 6–901 to be under the new subtitle “Subtitle 9. Subpoenas”
33- Annotated Code of Maryland
34- (2021 Replacement Volume and 2023 Supplement)
26+AN ACT concerning 1
3527
36- SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND,
37-That the Laws of Maryland read as follows:
28+Maryland Department of Health – Office of the Attorney General – Investigative 2
29+Authority – Health Care Fraud 3
3830
39-Article – Health – General
31+FOR the purpose of authorizing the Office of the Attorney General, a Deputy Attorney 4
32+General, or an Assistant Attorney General to issue a subpoena persons or evidence, 5
33+administer oaths, and take depositions and other testimony to investigate fraud, 6
34+waste, abuse of Maryland Department of Health funds, or certain behavior in the 7
35+Department; authorizing the Office to petition a court to compel compliance with a 8
36+certain order or subpoena or testimony or the production of evidence under certain 9
37+circumstances to a person to produce certain materials, answer written 10
38+interrogatories, and give certain testimony in furtherance of a certain health care 11
39+fraud investigation; authorizing the Attorney General to report a failure to obey the 12
40+subpoena to the circuit court with jurisdiction over the matter; and generally relating 13
41+to the investigative authority of the Office of the Attorney General. 14
4042
41-2–503.
43+BY repealing and reenacting, with amendments, 15
44+ Article – Health – General 16
45+Section 2–503 17
46+ Annotated Code of Maryland 18
47+ (2023 Replacement Volume) 19
48+ 2 HOUSE BILL 1002
4249
43- (a) The Inspector General:
4450
45- (1) May investigate fraud, waste, abuse of departmental funds, and
46-behavior in the Department that threatens public safety or demonstrates negligence,
47-incompetence, or malfeasance;
48- Ch. 140 2024 LAWS OF MARYLAND
51+BY adding to 1
52+ Article – State Government 2
53+ Section 6–901 to be under the new subtitle “Subtitle 9. Subpoenas” 3
54+ Annotated Code of Maryland 4
55+ (2021 Replacement Volume and 2023 Supplement) 5
4956
50-– 2 –
51- (2) Shall cooperate with and coordinate investigative efforts with the
52-Medicaid Fraud [Control] AND VULNERABLE VICTIMS Unit and where a preliminary
53-investigation establishes a sufficient basis to warrant referral, shall refer such matters to
54-the Medicaid Fraud [Control] AND VULNERABLE VICTIMS Unit; and
57+ SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 6
58+That the Laws of Maryland read as follows: 7
5559
56- (3) Shall cooperate with and coordinate investigative efforts with
57-departmental programs and other State and federal agencies to ensure a provider is not
58-subject to duplicative audits.
60+Article – Health – General 8
5961
60- (b) (1) The Inspector General [or], a designated Assistant Inspector General,
61-OR THE OFFICE OF THE ATTORNEY GENERAL may subpoena any person or evidence,
62-administer oaths, and take depositions and other testimony for the purpose of investigating
63-fraud, waste, abuse of departmental funds, or behavior in the Department that threatens
64-public safety or demonstrates negligence, incompetence, or malfeasance.
62+2–503. 9
6563
66- (2) If a person fails to comply with a lawful order or subpoena issued under
67-this subsection, on petition of the Inspector General [or], a designated Assistant Inspector
68-General, OR THE OFFICE OF THE ATTORNEY GENERAL, a court of competent
69-jurisdiction may compel:
64+ (a) The Inspector General: 10
7065
71- (i) Compliance with the order or subpoena; or
66+ (1) May investigate fraud, waste, abuse of departmental funds, and 11
67+behavior in the Department that threatens public safety or demonstrates negligence, 12
68+incompetence, or malfeasance; 13
7269
73- (ii) Testimony or the production of evidence.
70+ (2) Shall cooperate with and coordinate investigative efforts with the 14
71+Medicaid Fraud [Control] AND VULNERABLE VICTIMS Unit and where a preliminary 15
72+investigation establishes a sufficient basis to warrant referral, shall refer such matters to 16
73+the Medicaid Fraud [Control] AND VULNERABLE VICTIMS Unit; and 17
7474
75- (c) Within 30 business days after receiving a complaint or allegation, the
76-Inspector General, the Compliance Officer, or a designated Assistant Inspector General
77-shall respond to the individual who filed the complaint or allegation with:
75+ (3) Shall cooperate with and coordinate investigative efforts with 18
76+departmental programs and other State and federal agencies to ensure a provider is not 19
77+subject to duplicative audits. 20
7878
79- (1) A preliminary indication of whether the Office of the Inspector General
80-is able to investigate the complaint or allegation; and
79+ (b) (1) The Inspector General [or], a designated Assistant Inspector General, 21
80+OR THE OFFICE OF THE ATTORNEY GENERAL may subpoena any person or evidence, 22
81+administer oaths, and take depositions and other testimony for the purpose of investigating 23
82+fraud, waste, abuse of departmental funds, or behavior in the Department that threatens 24
83+public safety or demonstrates negligence, incompetence, or malfeasance. 25
8184
82- (2) If the Office of the Inspector General is unable to investigate the
83-complaint or allegation:
85+ (2) If a person fails to comply with a lawful order or subpoena issued under 26
86+this subsection, on petition of the Inspector General [or], a designated Assistant Inspector 27
87+General, OR THE OFFICE OF THE ATTORNEY GENERAL, a court of competent 28
88+jurisdiction may compel: 29
8489
85- (i) The reason for not being able to investigate, unless providing the
86-reason would have a negative impact on or jeopardize an investigation being conducted by
87-the Office of the Inspector General, a managed care organization, another unit of
88-government, or law enforcement; and
90+ (i) Compliance with the order or subpoena; or 30
8991
90- (ii) The contact information for the Office of Legislative Audits
91-Fraud Hotline.
92+ (ii) Testimony or the production of evidence. 31
9293
93-Article – State Government
94+ (c) Within 30 business days after receiving a complaint or allegation, the 32
95+Inspector General, the Compliance Officer, or a designated Assistant Inspector General 33
96+shall respond to the individual who filed the complaint or allegation with: 34 HOUSE BILL 1002 3
9497
95-SUBTITLE 9. SUBPOENAS. WES MOORE, Governor Ch. 140
9698
97-– 3 –
9899
99-6–901.
100+ (1) A preliminary indication of whether the Office of the Inspector General 1
101+is able to investigate the complaint or allegation; and 2
100102
101- (A) THIS SECTION MAY NOT BE CONSTRUED TO ALLO W THE
102-CONTRAVENTION , DENIAL, OR ABROGATION OF A P RIVILEGE OR RIGHT RE COGNIZED
103-BY LAW.
103+ (2) If the Office of the Inspector General is unable to investigate the 3
104+complaint or allegation: 4
104105
105- (B) (1) FOR THE LIMITED PURPO SE OF FURTHERING AN ONGOING
106-HEALTH CARE FRAUD IN VESTIGATION UNDER TH E MARYLAND FALSE HEALTH
107-CLAIMS ACT OR OTHER CIVIL AU THORITY, THE ATTORNEY GENERAL, A DEPUTY
108-ATTORNEY GENERAL, OR AN ASSISTANT ATTORNEY GENERAL DESIGNATED IN
109-WRITING BY THE ATTORNEY GENERAL MAY ISSUE IN ANY COURT IN THE STATE A
110-SUBPOENA REQUIRING A PERSON TO:
106+ (i) The reason for not being able to investigate, unless providing the 5
107+reason would have a negative impact on or jeopardize an investigation being conducted by 6
108+the Office of the Inspector General, a managed care organization, another unit of 7
109+government, or law enforcement; and 8
111110
112- (I) PRODUCE DOCUMENTARY MATERIAL FOR INSPECT ION,
113-COPYING, OR REPRODUCTION ;
111+ (ii) The contact information for the Office of Legislative Audits 9
112+Fraud Hotline. 10
114113
115- (II) ANSWER, UNDER OATH AND IN WR ITING, WRITTEN
116-INTERROGATORIES ;
114+Article – State Government 11
117115
118- (III) GIVE SWORN ORAL TEST IMONY; OR
116+SUBTITLE 9. SUBPOENAS. 12
119117
120- (IV) PROVIDE ANY COMBINAT ION OF ITEMS (I), (II), AND (III) OF
121-THIS PARAGRAPH .
118+6–901. 13
122119
123- (2) A SUBPOENA ISSUED UNDE R PARAGRAPH (1) OF THIS
124-SUBSECTION MAY BE SE RVED IN THE SAME MAN NER AS A SUBPOENA IS SUED BY A
125-CIRCUIT COURT .
120+ (A) THIS SECTION MAY NOT BE CONSTRUED TO ALLO W THE 14
121+CONTRAVENTION , DENIAL, OR ABROGATION OF A P RIVILEGE OR RIGHT RE COGNIZED 15
122+BY LAW. 16
126123
127- (C) (1) (I) IF A PERSON FAILS TO OBEY A LAWFULLY SERV ED
128-SUBPOENA ISSUED UNDE R SUBSECTION (B) OF THIS SECTION, THE ATTORNEY
129-GENERAL MAY REPORT A FAILURE TO OBEY THE SUBPOENA TO THE CIRC UIT COURT
130-WITH JURISDICTION OV ER THE MATTER .
124+ (B) (1) FOR THE LIMITED PURPOSE OF FURTHERING AN ONG OING 17
125+HEALTH CARE FRAUD IN VESTIGATION UNDER TH E MARYLAND FALSE HEALTH 18
126+CLAIMS ACT OR OTHER CIVIL AU THORITY, THE ATTORNEY GENERAL, A DEPUTY 19
127+ATTORNEY GENERAL, OR AN ASSISTANT ATTORNEY GENERAL DESIGNATED IN 20
128+WRITING BY TH E ATTORNEY GENERAL MAY ISSUE IN ANY COURT IN THE STATE A 21
129+SUBPOENA REQUIRING A PERSON TO: 22
131130
132- (II) THE ATTORNEY GENERAL SHALL PROVIDE A COPY OF THE
133-SUBPOENA AND PROOF O F SERVICE TO THE CIR CUIT COURT.
131+ (I) PRODUCE DOCUMENTARY MATERIAL FOR INSPECT ION, 23
132+COPYING, OR REPRODUCTION ; 24
134133
135- (2) AFTER COND UCTING A HEARING AT WHICH THE PERSON WHO
136-ALLEGEDLY FAILED TO COMPLY WITH A SUBPOE NA ISSUED UNDER SUBS ECTION (B)
137-OF THIS SECTION HAS HAD AN OPPORTUNITY T O BE HEARD AND BE RE PRESENTED
138-BY COUNSEL, THE COURT MAY GRANT APPROPRIATE RELIEF .
134+ (II) ANSWER, UNDER OATH AND IN WR ITING, WRITTEN 25
135+INTERROGATORIES ; 26
139136
140- SECTION 2. AND BE I T FURTHER ENACTED, That this Act shall take effect
141-October 1, 2024. Ch. 140 2024 LAWS OF MARYLAND
137+ (III) GIVE SWORN ORAL TESTIMONY ; OR 27
142138
143-– 4 –
139+ (IV) PROVIDE ANY COMBINAT ION OF ITEMS (I), (II), AND (III) OF 28
140+THIS PARAGRAPH . 29
141+ 4 HOUSE BILL 1002
144142
145-Approved by the Governor, April 25, 2024.
143+
144+ (2) A SUBPOENA ISSUED UNDE R PARAGRAPH (1) OF THIS 1
145+SUBSECTION MAY BE SE RVED IN THE SAME MAN NER AS A SUBPOENA IS SUED BY A 2
146+CIRCUIT COURT . 3
147+
148+ (C) (1) (I) IF A PERSON FAILS TO OBEY A LAWFULLY SERV ED 4
149+SUBPOENA ISSUED UNDE R SUBSECTION (B) OF THIS SECTION , THE ATTORNEY 5
150+GENERAL MAY REPORT A FAILURE TO OBEY THE SUBPOENA TO THE CIRC UIT COURT 6
151+WITH JURISDICTION OV ER THE MATTER . 7
152+
153+ (II) THE ATTORNEY GENERAL SHALL PRO VIDE A COPY OF THE 8
154+SUBPOENA AND PROOF O F SERVICE TO THE CIR CUIT COURT. 9
155+
156+ (2) AFTER CONDUCTING A HE ARING AT WHICH THE P ERSON WHO 10
157+ALLEGEDLY FAILED TO COMPLY WITH A SUBPOE NA ISSUED UNDER SUBS ECTION (B) 11
158+OF THIS SECTION HAS HAD AN OPPORTUNITY T O BE HEARD AND B E REPRESENTED 12
159+BY COUNSEL, THE COURT MAY GRANT APPROPRIATE RELIEF . 13
160+
161+ SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 14
162+October 1, 2024. 15
163+
164+
165+
166+
167+Approved:
168+________________________________________________________________________________
169+ Governor.
170+________________________________________________________________________________
171+ Speaker of the House of Delegates.
172+________________________________________________________________________________
173+ President of the Senate.