Ch. 84

2003 LAWS OF MARYLAND

(III) OTHER APPROPRIATE CONTRACTUAL ARRANGEMENTS.

[(2)] (3) Verification that the provider has received a written
commitment for permanent long-term financing, and, when requested by the
permanent financing lender, the Department may issue a letter stating that all
requirements of paragraph (1) of this subsection have been met; and

[(3)] (4) [Verification] IF CONSTRUCTION FINANCING IS REQUIRED,
VERIFICATION that application for construction financing has taken place. When
requested by a construction lender, the Department may issue a letter stating that all
requirements of paragraphs (1) and [(2)] (3) of this subsection have been met and on
closing of the construction loan the certificate of registration shall be issued.

(b) (1) A certificate of registration shall be issued by the Department when
it determines that:

(i) The provider has been issued a preliminary certificate of
registration;

(ii) The documents required have been filed;

(iii) The form and substance of all advertising and other
promotional materials filed are not deceptive, misleading, or likely to mislead;

(iv) [At] FOR A PROJECT OTHER THAN A CONVERSION, AT least 65
percent of the independent living units have been contracted for with a minimum 10
percent of the entrance fee paid as a deposit for each contracted unit;

(v) FOR A CONVERSION PROJECT, THAT AT LEAST 80% OF THE
ACCOMMODATIONS IN THE FACILITY PROJECT THAT ARE NOT LICENSED AS
ASSISTED LIVING OR COMPREHENSIVE CARE BEDS ARE OCCUPIED OR RESERVED IN
ACCORDANCE WITH:

1.       LEASES;

2.       CONTINUING CARE AGREEMENTS EXECUTED WITH
SUBSCRIBERS WHO HAVE PROVIDED A DEPOSIT THAT:

A.       IS EQUAL TO AT LEAST 10% OF THE TOTAL ENTRANCE
FEE; AND

B.       HAS BEEN DEPOSITED BY THE PROVIDER PURSUANT TO A
PROPER ESCROW AGREEMENT; OR

3.       OTHER APPROPRIATE CONTRACTUAL ARRANGEMENTS.

(VI) [Closing] IF CONSTRUCTION FINANCING IS REQUIRED, THAT
CLOSING on THE construction financing has taken place; and

[(vi)] (VII) There is a commitment for permanent long-term
financing.

(2) The initial certificate of registration may be issued for a period of up
to 18 months at the discretion of the Department.

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