Ch. 346

1996 LAWS OF MARYLAND

(F) A SALE OR OTHER TRANSFER OF OWNERSHIP OR CONTROL SUBJECT TO
THIS SECTION MAY NOT BE COMPLETED UNTIL AFTER THE 15TH DAY FOLLOWING
THE LATER OF:

(1)     THE DAY ON WHICH THE OFFICE ISSUES THE NOTICE SPECIFIED IN
SUBSECTION (C) OF THIS SECTION OF A DETERMINATION TO APPROVE THE SALE OR
OTHER TRANSFER; OR

(2)     THE HEARING OFFICER OR ADMINISTRATIVE LAW JUDGE RENDERS
A DECISION PERMUTING THE SALE OR OTHER TRANSFER IF APPEAL IS TAKEN
UNDER SUBSECTION (E) OF THIS SECTION.

11E.

(A)     (1) A PROVIDER THAT HOLDS A CERTIFICATE OF REGISTRATION MAY
NOT SELL, TRANSFER, OR OTHERWISE DISPOSE OF ASSETS IN ANY 12-MONTH
PERIOD IN EXCESS OF 10% OF ITS TOTAL ASSETS BASED ON ITS LATEST CERTIFIED
FINANCIAL STATEMENTS THAT ARE AVAILABLE AT THE TIME OF THE SALE,
TRANSFER, OR OTHER DISPOSITION IS MADE, UNLESS THE PROVIDER OBTAINS THE
APPROVAL OF THE OFFICE FOR THE SALE, TRANSFER, OR OTHER DISPOSITION IN
ACCORDANCE WITH THIS SECTION.

(2) WITH RESPECT TO TRANSFERS THAT ARE EQUAL TO OR LESS THAN
10%. OF ITS TOTAL ASSETS BASED ON THE LATEST CERTIFIED FINANCIAL
STATEMENTS THAT ARE AVAILABLE AT THE TIME THE SALE, TRANSFER, OR OTHER
DISPOSITION IS MADE, A PROVIDER MAY NOT SELL, TRANSFER, OR OTHERWISE
DISPOSE OF ANY OF ITS ASSETS IF THE SALE, TRANSFER, OR OTHER DISPOSITION IS
LIKELY, ACCORDING TO STANDARDS SET FORTH IN REGULATION, TO:

(I) HAVE AN UNREASONABLY ADVERSE IMPACT ON THE
FINANCIAL STABILITY OF THE PROVIDER OR LIKELY TO; OR

(II) HAVE AN UNREASONABLY ADVERSE AFFECT EFFECT ON THE
PROVIDER'S CAPACITY TO PERFORM ITS OBLIGATIONS UNDER CONTINUING CARE
AGREEMENTS TO WHICH IT IS A PARTY.

(B)     THE FOLLOWING TRANSACTIONS ARE NOT CONSIDERED SALES,
TRANSFERS, OR OTHER DISPOSITIONS OF ASSETS FOR PURPOSES OF SUBSECTION
(A)(1) OF THIS SECTION:

(1)     THOSE UNDERTAKEN UNDER CONTRACTUAL OBLIGATIONS IN
EFFECT ON OCTOBER 1, 1996;

(2)     THOSE MADE IN THE ORDINARY COURSE OF BUSINESS OF
OPERATING THE FACILITY;

(3)     REFUNDS OF AMOUNTS UNDER CONTRACTS ENTERED INTO IN THE
ORDINARY COURSE OF BUSINESS;

(4)     TRANSFERS OF CASH, SECURITIES, OR OTHER INVESTMENT
PROPERTIES IN CONNECTION WITH ORDINARY INVESTMENT TRANSACTIONS;

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