Johns
Legislative Hotline
2005 SESSION OF THE
MARYLAND GENERAL ASSEMBLY
Volume 12, Number 8������������������������������������������������������������������������������������������������� March 17, 2004
Here are some of the hot issues as the 2004
Legislative Session develops:
THE FLUSH TAX
SENATE
BUDGET ACTIONS
RESIDENT
WORK HOURS
BILLS
INTRODUCED
STAFF
CONTACT INFORMATION
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PLACE ARTICLE HERE
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Health Insurance
Higher Education
Medicaid
Mental Health
Miscellaneous
Nursing
Pharmaceuticals
Public Health
Research
Taxes
Tobacco Settlement
Tort Reform
BILLS INTRODUCED
SB0018� Creation of a State Debt - Mercy Medical Center
Capital Budget
This bill authorizes the
creation of a State Debt not to exceed $700,000, the proceeds to be used as a
grant to the Board of Directors of Mercy Medical Center for the planning,
design, renovation, expansion, repair, construction, and capital equipping of
Phase 2 of the emergency department; providing for disbursement of the loan
proceeds, subject to a requirement that the grantee provide and expend a
matching fund; prohibiting the use of the proceeds of the bond sales and the
matching fund for sectarian religious purposes; etc.�
Effective Date June 1, 2003
Effective Date:
For more information, please contact:� Bret Schreiber
HB0078� Public Education - Funding - Video Lottery Terminals -
Revenues and Operations
This bill requires the
State Lottery Commission to regulate the operation of video lottery terminals;
providing that only a person with a video lottery facility license may offer a
video lottery terminal for public use in the State; establishing specified
eligibility criteria and disqualifying criteria for a video lottery facility
license; requiring the Commission to issue up to four video lottery facility
licenses to holders of a license for a racetrack; creating an Education Trust
Fund from the proceeds of video lottery terminals.
Effective Date:� June 1, 2003.
Effective Date:
For more information, please contact:� Bret Schreiber
HB0011� Public Charter School Act of 2003
House Bill 11 allows
County Boards of Education to create and become the chartering authorities for
public charter schools in the State.�
Various parties will be allowed to submit applications to create public
charter schools, including the staff of public schools, parents or guardians of
students who attend public schools, public institution of higher education, and
combinations of the above.� An applicant
is permitted to engage the services of a nonprofit corporation in the
establishment of a charter school.� Under
House Bill 11, the County Board shall establish the policies guiding the goals,
focus, rules, procedures and implementation of the charter school including the
rights and duties of the county boards as public chartering authorities.
Effective Date - July 1,
2003
Effective Date:
For more information, please contact:� Bret Schreiber
General Education
HB0045� Higher Education - Moratorium on New Programs
This bill would have
prohibited institutions of postsecondary education from establishing new
programs of study.� The bill stated that
it is the intent of the General Assembly that the moratorium end when the
Secretary of Higher Education determines that at least 50% of the State’s
teaching, nursing, and pharmacy workforce has graduated from institutions in
the State.� The Secretary of Higher
Education would have had to report to the General Assembly annually on the
State’s progress toward meeting this goal and provide recommendations for
legislation relating to the goal.�
Although the merits of the
bill in trying to ease the States teaching, nursing and pharmacy workforce
shortages are to be commended, the impact of imposing a moratorium on other
programs would be debilitating to higher education institutions of all sectors,
not to mention hampering our institutions ability to cater our course offerings
to the needs to the business community throughout Maryland.� A well coordinated effort among the private
and public higher education institutions, including the community colleges,
helped to defeat this bill in the House Appropriations Committee.
Effective Date:
For more information, please contact:� Bret Schreiber
SB0181� Mental Hygiene Administration - Traumatic Brain Injury
Rehabilitation Fund
This bill creates a
special fund to support traumatic brain injury.�
The fund is designed to support those individuals who on or after
October 1, 2004, have suffered traumatic brain injuries, and are at least 21
years of age.� The fund will be used in
paying for services and products that are not covered by the individual’s
health insurance, other private health benefit programs, and will increase the
individual’s quality of life.� The
bill states that the fund will be the payer of last resort for services and
products.� Products and services eligible
include: case management services, rehabilitative therapies, attendant care,
home accessibility modifications, respite care, and appropriate equipment.�
The fund will be supported
by a $4 surcharge on court costs for: defendants convicted of an offense,
investment earnings on the fund, any federal matching funds, and any other
sources.
Effective Date:� October 1, 2003
Effective Date:
For more information, please contact:� Jim Kaufman
HB1097� Nursing Facilities - Electronic Monitoring
Effective Date:
For more information, please contact:� Sheila Higdon
Health Care Facilities
SB0587� Maryland Trauma Services Funding Act
This bill creates the
Maryland Trauma Services Fund (MTSF), and is designed to provide a subsidy for
the documented costs of trauma physician uncompensated care, trauma on-call and
stand-by costs; increasing the Medicaid fee schedule for trauma physicians, and
unrecoverable costs of trauma center uncompensated care.� The fund will be supported by a $4 surcharge
on automobile insurance policies.
The fund will be
administered by the Department of Budget and Management (DBM) in consultation
with the Maryland Institute for Emergency Medical Services Systems (MIEMSS).
The bill also requires a
Health Maintenance Organization (HMO) to pay both contracting and
non-contracting trauma physicians the greater of 140% of the Medicare rate, the
HMO rate as of January 1, 2003, or the contracted rate at the time the service
is provided.
Finally, the bill requires
the Health Services Costs Review Commission (HSCRC) to report before August 1,
2003, the status of including hospital rates funding related trauma costs for
physician on-call availability, and regulatory requirements for the MIEMSS
trauma center.
Effective Date:� July 1, 2003
Effective Date:
For more information, please contact:� Jim Kaufman
HB0083� Insurance - Professional Liability Insurers -
Reporting Requirements
This bill requires the
insurers of professional liability insurance for a health care provider to submit
information to the Maryland Insurance Commissioner.� The information shall include:
1. Nature and costs of
reinsurance
2. Claims experience by
category of health care provider
3. Amount of claims
settlements and claims awards
4. Amount of reserves for claims
incurred and incurred but non-reported claims
5. Number of structured
settlements used in payments of claims
6. Any other information
relating to health malpractice claims as prescribed by the Commissioner.
The Insurance Commissioner
is to report annually to the Legislative Policy Committee of the General
Assembly before September 1, on the availability of health care malpractice and
other liability insurance in the State.
Effective Date:� October 1, 2003 (Sunset September 30, 2008)
Effective Date:
For more information, please contact:� Jim Kaufman
HB1179� Nonprofit Health Service Plans - Reform
The intent of this Act
is to regulate the formation and operation of nonprofit health service plans in
the State of Maryland, and to promote their existence.� The mission of the plan shall be to provide
affordable and accessible health insurance, assist and support public and
private health care initiatives, and promote the integration of a statewide
health care system.
The bill also establishes a
Joint Blue Cross and Blue Shield Oversight Committee, that will require a
nonprofit health service plan to report quarterly (beginning on December 1,
2003 and continuing through June 30, 2005) on its compliance with this act and
other agreed upon information as outlined by the Committee.� Beginning on December 1, 2005 and annually
thereafter, the Insurance Commission is to report to the Governor and General
Assembly on the plan’s compliance.
In addition to allowing a
nonprofit health plan to satisfy the public service requirement by increasing
access to or the affordability of health insurance, the act adds three new
provisions for the public service requirement:
1) provide financial or
in-kind support for public health programs;
2) employee underwriting
standards that increase the availability of one or more health care service; or
3) employee pricing
policies that enhance the affordability of health care services or products,
that results in higher medical loss ratios than that of established comparable
for-profit health plans.
The act also requires the
non-profit health plan to administer and subsidize the Senior Prescription Drug
Program and to offer a comprehensive benefit, open enrollment product in the
individual market and small group market.
The act states that the
principle function of the 23 member Board of Directors shall� ensure the corporation carries out the
nonprofit mission, selects and evaluates corporate management, and ensure
sufficient resources are available to meet the corporations objectives.� The 23 member board is to include:
1) two individuals who will
be non-voting members appointed by the presiding officers of the General
Assembly, who are not members of the legislature;
2) no more than four
members may be licensed health care professionals, hospital administrators, or
employees of health care professionals or hospitals.
The Board chairman is to
select a chairman for each board committee and the act stipulates seven
committees to include an audit committee and a compensation committee.� Board approval is required for any action of
the plan and language was added stated that a decision by the board to convert
to a for-profit entity may be rejected by any three members of the board.
Board members, who may
serve a maximum of six years or two three year terms, may receive compensation,
in addition to ordinary and necessary expenses, not to exceed $12,000 annually
for members and $15,000 for the Chairman.�
The employees, executives, officers, and directors may only receive
reasonable compensation in the form of bonuses, salary, or perquisites for
work.� To determine reasonable
compensation, the Board’s Compensation Committee is to develop guidelines
based on similar non-profit health plans, in size and scope, operating in the
United States.�� The proposed guidelines
are to be submitted to the Insurance Commissioner for review and approval by
June 1, 2004.� The Commission shall have
60 days to review and take action on the guidelines or they will be considered
approved.� Furthermore, on an annual basis,
the Commission is to review compensation paid by the plan.� This section also applies to agreements for
termination, severance, bonuses, and supplemental retirement benefits entered
into on or after January 20, 1995.
The act creates the
17-member Joint Nonprofit Health Service Plan Oversight Committee, appointed by
the President of the Senate and Speaker of the House, who shall appoint a
Senator and Delegate to serve as Co-chairs.�
The membership of the committee shall be:
�1)� two
members of the Senate,
�2)� two
members of the House of Delegates,
�3)� the
owner of a business that employs more than fifty people,
�4)� the
owner of a business that employs two to fifty people,
�5)� a
representative of a Maryland labor organization,
�6)� a
member with experience in nonprofit administration and operation,
�7)� a
representative of the State Employee Health Benefit Plan,
�8)� a
representative of a nonprofit health care advocacy association,
�9)� a
representative of the Medical and Chirurgical Faculty of Maryland,
10) a representative of the
Maryland Hospital Association,
11) a representative of the
Mid-Atlantic Association of Community Health Centers,
12) a third party
administrator,
13) an insurance producer,
and
14) two members of the
public.
The act removes 10 members
of the current board of directors by December 1, 2003.� These members are to be replaced by a
nominating committee, appointed by June 1, 2003, comprised of nine
members.� The Governor, President of the
Senate, and Speaker of the House shall each appoint three members which will
comprise the nominating committee.� Each
of the three appointments is to include one consumer member and may not include
more than one health care provider.� A
member of the nominating committee may not be a candidate for board membership.� Two additional board members shall be removed
by June 1, 2004 while board members representing corporations not subject to
Maryland law shall be replaced by March 31, 2006.� After the 10 members are replaced by December
1, 2003, the Board’s Nominating Committee will choose all other board
members.
For a period of five years,
a person may not file an application for the acquisition of the plan and the
Insurance Commission may not approve an application for acquisition.�
Language was included
allowing the act to be severable.� If one
section is deemed to be invalid for any reason, the remaining sections will
remain in effect.�
Effective Date:� Emergency Measure (effective upon enactment)
Effective Date:
For more information, please contact:� Jim Kaufman
Higher Education
SB0291� Higher Education - Student Financial Assistance -
Maryland Teacher Scholarships
Senate Bill 291 would
have allowed a recipient of a Maryland Teacher Scholarship to perform the
required service obligation as a teacher in a nonpublic elementary or secondary
school that holds a certificate of
approval from the State
Board of Education.�
Johns Hopkins supported
this legislation because we believed that this expansion will enable Maryland
as a whole to attract and retain more teachers than if the service obligation
remains
restricted to public school
teachers.� We believe that any incentives
to attract more individuals into the teaching profession must be
encouraged.� Often public school systems
require prior teaching experience as a condition of hiring.� Many teachers start out in the parochial or
private schools and, when they have gained the necessary experience, move on to
the public system
where the pay, promotions,
and opportunities are greater.� Johns
Hopkins believed that making it easier for these individuals to start teaching
will ultimately result in a greater proportion of them moving to the public
system after they are experienced teachers.�
We believed this was one way to help bring more teachers into Maryland
as a way to help the teacher shortage crisis plaguing Maryland.� The bill was not voted upon, thus effectively
killing the legislation for this year.
Effective Date:
For more information, please contact:� Bret Schreiber
Public Health
SB0371� Vehicle Laws - Motorcycle Helmets - Minors
Senate Bill 371 would
require require only minors, not all individuals, to wear motorcycle helmets.
Effective date: October 1,
2003
Effective Date:
For more information, please contact:� Jason Spangler
Tort Reform
HB0001� Maryland Trauma System Funding Act
The bill establishes
the Maryland Trauma System Fund, which will be supported by a $2 surcharge on
automobile insurance policies issued in the State.� The fund, will be administered by the
Maryland Health Care Commission (MHCC) in conjunction with the Maryland Health
Services Cost Review Commission (HSCRC).
The purpose of the fund is
to subsidize the documented costs of physician uncompensated care provided to
trauma patients, reported on the trauma registry, cared for in a designated
trauma center.� The following trauma
centers, as designated by the Maryland Institute for Emergency Medical Services
Systems, are eligible to participate:<ul>
- - the Primary
Adult Resource Center
- - Level I
<li>
<li>
<li>- Level II
<li>- Level III
<li>- Pediatric
Trauma Center</ul>
Proceeds from the fund will
be distributed based on a methodology established jointly by the MHCC and the
HSCRC to physicians who are required to apply to the fund on a form and manner
determined by the Commission.� The
allocation methodology is to take into account:
- amount of physician
uncompensated care provided
- number of patients served
- number of Maryland
residents served
- extent to which physician
uncompensated care costs are otherwise subsidized by hospitals, federal
government, and other sources
MHCC and the HSCRC are
required to report annually to the General Assembly on:
- the amount of money in
the fund
- the amount of money
applied for by eligible physicians
- the amount of money
distributed in the form of physician reimbursements
- recommendations on
altering the manner in which trauma physician uncompensated care costs are
reimbursed
Effective Date: July 1,
2003
Effective Date:
For more information, please contact:� Jim Kaufman
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STAFF CONTACT INFORMATION
Please contact Government Relations if you have concerns or would like
additional information. Your input assists us greatly in evaluating and
formulating the position of Johns Hopkins on all legislation.
Legislative Session Office
410-269-0057
fax 410-269-1574
Sheila Higdon����������� ����������� [email protected]
Jim Kaufman ����������������������� [email protected]
Bret Schreiber���������� ����������� [email protected]
Heather Woods Barthel������� [email protected]
Suchita Lorick���������� ����������� [email protected]
Mickey Geisler��������� ����������� [email protected]
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Legislative Hotline is a collaborative service of The Johns Hopkins University and Johns Hopkins Medicine offices of Government Relations.
� 2004 The
Office of Government, Community and Public Affairs.
Last updated 04mar17