Maryland Code § HG-19-121

Section HG-19-121
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(a) In this section, "health maintenance organization" means a health
maintenance organization under Subtitle 7 of this title.
(b) (1) A health maintenance organization or a health care facility that
either controls, directly or indirectly, or is controlled by a health maintenance
organization shall have a certificate of need before the health maintenance
organization or health care facility builds, develops, operates, purchases, or
participates in building, developing, operating, or establishing:
(i) A hospital, as defined in § 19-301 of this title; and

(ii) Any other health care project for which a certificate of need
is required under § 19-120 of this subtitle unless at least 90% of the patients who
will receive health care services from the project will be individuals enrolled in that
health maintenance organization.
(2) Notwithstanding paragraph (1)(ii) of this subsection, a health
maintenance organization or a health care facility that either controls, directly or
indirectly, or is controlled by a health maintenance organization is not required to
obtain a certificate of need before purchasing an existing ambulatory surgical facility
or center, as defined in § 19-114(b) of this subtitle.
(c) An application for a certificate of need by a health maintenance
organization or by a health care facility that either controls, directly or indirectly, or
is controlled by, a health maintenance organization shall be approved if the
Commission finds that the application:
(1) Documents that the project is necessary to meet the needs of
enrolled members and reasonably anticipated new members for the services proposed
to be provided by the applicant; and
(2) Is not inconsistent with those sections of the State health plan or
those sections of the institution-specific plan that govern hospitals, as defined in §
19-301 of this title, and ambulatory surgical facilities or centers, as defined in § 19-
114(b) of this subtitle, or health care projects for which a certificate of need is required
under subsection (b)(1)(ii) of this section.

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