H.B. 351

VETOES

(1)     ensure that the value of public or charitable assets is safeguarded;

(2)     ensure that:

(i) the fair value of the public or charitable assets of a nonprofit
health service plan or a health maintenance organization will be distributed to the
[Maryland Health Care Foundation that was established in § 20-502 of the Health -
General Article] MARYLAND HEALTH CARE TRUST ESTABLISHED UNDER § 6.5-401 OF
THIS ARTICLE TITLE; or

(ii) 1. 40% of the fair value of the public or charitable assets of a
nonprofit hospital will be distributed to the [Maryland Health Care Foundation that
was established in § 20-502 of the Health - General Article] MARYLAND HEALTH
CARE TRUST ESTABLISHED UNDER § 6.5-101 OF THIS ARTICLE TITLE; and

2. 60% of the fair value of the public or charitable assets of a
nonprofit hospital will be distributed to a public or nonprofit charitable entity or trust
that is:

A.      dedicated to serving the unmet health care needs of the
affected community;

B.      dedicated to promoting access to health care in the
affected community;

C.      dedicated to improving the quality of health care in the
affected community; and

D.      independent of the transferee;

(3)     ensure that no part of the public or charitable assets of the
acquisition inure directly or indirectly to an officer, director, or trustee of a nonprofit
health entity; and

(4)     ensure that no officer, director, or trustee of the nonprofit health
entity receives any immediate or future remuneration as the result of an acquisition
or proposed acquisition except in the form of compensation paid for continued
employment with the acquiring entity.

SUBTITLE 4. MARYLAND HEALTH CARE TRUST.

6.5-101.

(A) (1) THERE IS A MARYLAND HEALTH CARE TRUST.

(2)      THE TRUST IS A BODY CORPORATE, SUBJECT TO MODIFICATION OR
TERMINATION BY THE GENERAL ASSEMBLY.

(3)      THE PURPOSE OF THE TRUST IS TO:

(I)      BE OF GENERAL BENEFIT TO THE RESIDENTS OF THE STATE;

(II)     BE CHARITABLE IN NATURE; AND

- 2990 -