MARVIN MANDEL, Governor                             1301

participating in the Maryland Medical Assistance
Program of [[amounts due to the State;]] the results

of field verification; providing for the right of

the hospital, skilled nursing facility, and

intermediate care facility to request, review of the

field verification by a certain procedure and within
a certain time; providing for the membership of the
appeal board; requiring the Department of Health and

Mental Hygiene to notify hospitals, skilled nursing

facilities, and intermediate care facilities

participating in the Maryland Medical Assistance

Program of amounts due__to the State; [[requiring

interest to be charged on amounts unpaid after a
certain time;]] and providing for recovery of the
unpaid amounts [[and interest]].

BY adding to

Article 43 - Health

Section 42E

Annotated Code of Maryland

(1971 Replacement Volume and 1975 Supplement)

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That new Section 42E be and it is hereby added
to Article 43 - Health, of the Annotated Code of Maryland
(1971 Replacement Volume and 1975 Supplement) to read as
follows:

Article 43 - Health

42E.

[[THE DEPARTMENT OF HEALTH AND MENTAL HYGIENE SHALL
DETERMINE AFTER FIELD VERIFICATION, THE AMOUNT DUE TO THE
STATE FROM EACH HOSPITAL, SKILLED NURSING FACILITY AND
INTERMEDIATE CARE FACILITY PARTICIPATING IN THE MARYLAND
MEDICAL ASSISTANCE PROGRAM AND SHALL NOTIFY THE HOSPITAL
OR FACILITY. EACH HOSPITAL, SKILLED NURSING FACILITY, OR
INTERMEDIATE CARE FACILITY SHALL PAY THE AMOUNT TO THE
DEPARTMENT OF HEALTH AND MENTAL HYGIENE WITHIN 60 DAYS
AFTER NOTIFICATION OR, IF NOTICE WAS ISSUED BEFORE JULY
1, 1976, WITHIN 60 DAYS AFTER THAT DATE. THE DEPARTMENT
SHALL CHARGE 6 PERCENT INTEREST PER ANNUM ON ANY AMOUNT
REMAINING UNPAID AFTER THE 60 DAY PERIOD. THE INTEREST
CHARGE SHALL NOT BE CONSIDERED A REIMBURSABLE COST TO THE
HOSPITAL, SKILLED NURSING FACILITY OR INTERMEDIATE CARE
FACILITY. AFTER EXPIRATION OF THE 60 DAY PERIOD, THE
DEPARTMENT OF HEALTH AND MENTAL HYGIENE SHALL RECOVER THE
UNPAID BALANCE AND INTEREST BY WITHHOLDING UP TO 20
PERCENT OF THE INTERIM PAYMENTS FROM THE HOSPITAL,
SKILLED NURSING FACILITY OR INTERMEDIATE CAPE FACILITY.]]

THE DEPARTMENT OF HEALTH AND MENTAL HYGIENE OR ITS

AGENT SHALL NOTIFY EACH HOSPITAL, SKILLED NURSING

FACILITY AND INTERMEDIATE CARE FACILITY PARTICIPATING IN
THE MARYLAND MEDICAL ASSISTANCE PROGRAM OF THE RESULTS OF