WILLIAM DONALD SCHAEFER, Governor

Ch. 618

(1)      TO ANY TRANSACTION PREEMPTED BY FEDERAL LAW: OR

(2)      IF THE INSURANCE COMMISSIONER IN THE JURISDICTION IN WHICH
THE HEALTH MAINTENANCE ORGANIZATION IS DOMICILED HAS AUTHORITY
UNDER THE LAW OF THAT JURISDICTION TO INVESTIGATE AND APPROVE A CASE IN
WHICH A PERSON WOULD DIRECTLY OR INDIRECTLY, OR BY CONVERSION OR BY
EXERCISE OF ANY RIGHT TO ACQUIRE BE IN CONTROL OF THE HEALTH
MAINTENANCE ORGANIZATION OR MERGE OR CONSOLIDATE WITH, OR OTHERWISE
ACQUIRE CONTROL OF THE HEALTH MAINTENANCE ORGANIZATION AND THE
INSURANCE COMMISSIONER OF THIS STATE RECEIVES NOTICE FROM THE
INSURANCE COMMISSIONER OF THE OTHER JURISDICTION OF ANY SUCH
ACTIVITIES AND HAS THE RIGHT TO REQUEST INFORMATION AND DOCUMENTS
CONCERNING THOSE ACTIVITIES.

19-711.3.

IN ANY CASE WHERE A HEALTH MAINTENANCE ORGAN1ZATION IS BEING MERGED
OR CONSOLIDATED WITH OR ACQUIRED BY ANOTHER PERSON. ANY CURRENT
FINANCING MONEYS PROVIDED BY THE HEALTH MAINTENANCE ORGANIZATION TO A
HOSPITAL, IN ACCORDANCE WITH REGULATIONS ADOPTED BY THE HEALTH SERVICES
COST REVIEW COMMISSION, IN RETURN FOR A DISCOUNT IN RATES CHARGED BY THE
HOSPITAL SHALL BE DEEMED TO BE SECURITY FOR THE AMOUNT OF OUTSTANDING
CHARGES OWED BY THE HEALTH MAINTENANCE ORGANIZATION TO THE HOSPITAL FOR
BILLS OR CLAIMS FOR SERVICES PROVIDED BY THE HOSPITAL PRIOR TO THE MERGER.
CONSOLIDATION, OR ACQUISITION.

SECTION 2. AND BE IT FURTHER ENACTED, That the provisions of this Act
shall apply only to the purchase, merger, consolidation, or acquisition of a foreign health
insurer,—nonprofit—health—service—plan, nonprofit health service plan or health
maintenance organization that is authorized to do business in this State and that would
continue to do business in this State after the purchase, merger, consolidation, or
acquisition occurring on or after October 1, 1993 the effective date of this Act.

SECTION 3. AND BE IT FURTHER ENACTED, That this Act shall take effect
October 1, 1993 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.

Approved May 27, 1993.

CHAPTER 618
(House Bill 1481)

AN ACT concerning

Child Immunization Registry

FOR the purpose of requiring the Department of Health and Mental Hygiene to establish

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