LAWS OF MARYLAND

investment in the enterprise or the amount of the initial
investment in the enterprise.

[(6)] (5) The value of the business entity at the
time of recovery shall be the average of 3 independent appraisals
of the value.

(c) The liability of the State of Maryland and of the
Authority in providing equity participation financing shall be
limited to its investments under the Program.

SECTION 2. AND BE IT FURTHER ENACTED, That this Act is an
emergency measure, is necessary for the immediate preservation of
the public health and safety, has been passed by a yea and nay
vote supported by three-fifths of all the members elected to each
of the two Houses of the General Assembly, and shall take effect
from the date it is enacted That this Act shall take effect July
1, 1988.

Approved May 17, 1988.

CHAPTER 262

(Senate Bill 101)

AN ACT concerning

Receivership - Nursing Homes and Community
Residential Facilities

FOR the purpose of expanding the existing nursing home
receivership law to include certain community residential
programs; defining those community residential programs to
be included under this Act; establishing a procedure under
which the Secretary of the Department of Health and Mental
Hygiene may petition for the appointment of a receiver;
providing for hearings by the court after proper
notification; authorizing the court to issue an ex parte
order under certain circumstances; identifying certain
individuals eligible for appointment as a receiver;
specifying certain criteria to be used by the court in
deciding whether a receivership is necessary; establishing
the powers and duties of the receiver; authorizing that a
receivership be funded by State emergency funds under
certain circumstances; providing for the termination of the
receivership under certain circumstances; clarifying
language; and generally relating to receivership as it
applies to nursing homes and community residential programs.

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Ch. 262