WILLIAM DONALD SCHAEFER, Governor                         Ch. 536

FOR the purpose of authorizing requiring the Secretary of Personnel to adopt regulations for
certain not-for-profit organizations to participate in the State Employee and
Retiree Health and Welfare Benefits Program as satellite organizations; requiring
certain participants to pay certain premiums and fees; defining a certain term; and
generally relating to participation in the State Employee and Retiree Health and
Welfare Benefits Program.

BY adding to

Article - State Personnel and Pensions

Section 8-113

Annotated Code of Maryland

(As enacted by Chapter ____ (S.B. 50) of the Acts of the General Assembly of

1993)

SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF
MARYLAND, That the Laws of Maryland read as follows:

Article - State Personnel and Pensions

8-113.

(A)     IN THIS SECTION, "QUALIFYING NOT-FOR-PROFIT ORGANIZATION"
MEANS AN ORGANIZATION THAT:

(1)      RECEIVES STATE FUNDS FROM THE DEPARTMENT OF HEALTH AND
MENTAL HYGIENE THAT COVER MORE THAN ONE-THIRD OF THE ORGANIZATION'S
OPERATING EXPENSES; AND

(2)      IS:

(I)      DESCRIBED IN § 501(C)(3) OF THE INTERNAL REVENUE CODE;
AND

(II)     EXEMPT FROM INCOME TAX UNDER § 501(A) OF THE INTERNAL
REVENUE CODE.

(B)     AN EMPLOYEE OF A QUALIFYING NOT FOR PROFIT ORGANIZATION MAY
ENROLL AND PARTICIPATE IN THE HEALTH INSURANCE BENEFIT OPTIONS
ESTABLISHED UNDER THE PROGRAM WITH THE APPROVAL OF THE ORGANIZATION
THE SECRETARY SHALL ADOPT REGULATIONS FOR THE ENROLLMENT AND
PARTICIPATION OF EMPLOYEES OF A QUALIFYING NOT-FOR-PROFIT ORGANIZATION TO
PARTICIPATE IN THE PROGRAM AS A SATELLITE ORGANIZATION.

(C)     A QUALIFYING NOT-FOR-PROFIT ORGANIZATION THAT PARTICIPATES IN
THE PROGRAM ASA SATELLITE ORGANIZATION SHALL:

(1) PAY TO THIS STATE:

(I) A PREMIUM IN THE AMOUNT DETERMINED BY THE
SECRETARY; AND

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