H.B. 553

VETOES

under certain conditions; requiring that the audits be conducted at a certain
frequency; authorizing the Department to contract with an entity to perform the
audits; requiring the Department to use certain procurement procedures when
making certain contracts; requiring audit contracts to include certain items;
prohibiting audit contractors from being compensated in a certain manner;
requiring audit contractors to complete certain reports on a certain frequency;
requiring certain reports to include certain items; authorizing the Secretary to
establish certain appeals boards; designating the membership of the appeals
boards; authorizing a nursing home to appeal the final report of a third party
liability audit within a certain time period; requiring a certain individual within
the Department to conduct a certain review of a certain appeal by a nursing
home and issue a certain report; authorizing a nursing home to appeal the
results of a certain report to the Nursing Home Appeal Board within a certain
time period; requiring State general funds recovered through third party
liability audits to be deposited into the Account; authorizing the Department to
adopt regulations regarding third party liability reviews and audits; requiring
the Department of Health and Mental Hygiene and the Department of Human
Resources to conduct a study of the Medical Assistance Program eligibility
process for nursing home residents; requiring the Department of Health and
Mental Hygiene and the Department of Human Resources to submit a report to
the Governor and certain committees of the General Assembly on or before a
certain date; and generally relating to third party liability reviews and audits of
nursing homes.

BY repealing and reenacting, with amendments,
Article—Health—General
Section 19-1407(a) and (b)
Annotated Code of Maryland
(2000 Replacement Volume and 2002 Supplement)

BY adding to

Article - Health - General

Section 19-14A-01 through 19-14-06 19-14A-04, inclusive, to be under the
new subtitle "Subtitle 14A. Third Party Liability Reviews and Audits of
Nursing Homes"

Annotated Code of Maryland

(2000 Replacement Volume and 2002 Supplement)

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

Article - Health - General

19-1407.

(a) (1) There is a Health Care Quality Account established in the
Department.

(2) The Account shall be funded by:

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