Maryland Code § LE-8.3-601

Section LE-8.3-601
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(a) (1) (i) Beginning January 1, 2027, each employee of an employer
and each employer with 15 or more employees shall contribute to the Fund.
(ii) The total rate of contribution established under this section
for employees and employers described in subparagraph (i) of this paragraph:

1. may not exceed 1.2% of an employee's wages; and
2. shall be applied to all wages up to and including the
Social Security wage base.
(2) Each self-employed individual participating in the Program shall
contribute to the Fund in accordance with regulations adopted under § 8.3-201(c) of
this title.
(b) (1) Subject to subsection (a)(1)(ii) of this section, on or before May 1,
2026, the Secretary shall set the total rate of contribution based on available cost
analyses of the Program.
(2) The rate set under paragraph (1) of this subsection shall be in
effect for the period from January 1, 2027, to December 31, 2027, both inclusive.
(c) (1) On or before October 1 each year, beginning in 2027, the
Secretary shall conduct a cost analysis of the Program that is focused on the cost of
maintaining solvency and paying benefits to covered individuals that will be used to
determine the appropriate total rate of contribution to the Fund.
(2) On or before October 1 each year, the Secretary shall report the
results of the cost analysis to the Senate Finance Committee, the House Economic
Matters Committee, and the Joint Committee on Administrative, Executive, and
Legislative Review in accordance with § 2-1257 of the State Government Article.
(d) (1) Subject to paragraph (2) of this subsection and subsection
(a)(1)(ii) of this section, on or before November 1 each year, beginning in 2027, the
Secretary shall set the total rate of contribution that will be in effect for the 12-month
period beginning on the immediately following January 1.
(2) The rate set under paragraph (1) of this subsection shall be based
on the cost analysis required under subsection (c) of this section.
(e) (1) (i) Except as otherwise provided in this section, each employer
of 15 or more employees shall contribute an amount equal to 50% of the total rate of
contribution for each employee.
(ii) Except as otherwise provided in this section, each employee
of an employer shall contribute an amount equal to 50% of the total rate of
contribution.

(2) (i) Except as provided in subparagraph (ii) of this paragraph,
the employer of the employee shall deduct the employee's required contribution from
the wages of the employee.
(ii) 1. An employer may elect to pay all or a portion of the
required employee contributions in whole or in part.
2. If the employer of an employee elects to pay a portion
of the employee's required contribution, the employer:
A. may deduct an amount that is less than 50% of the
rate of contribution required from the wages of the employee; and
B. shall notify employees of the rate of contribution set
for employees under subsection (d)(1) of this section and the portion of that amount
that the employer is electing to pay.
(f) (1) The Maryland Department of Health shall reimburse each:
(i) community provider that is required to be licensed or
certified under Title 7 of the Health - General Article for 100% of the employer
contribution required under subsection (e) of this section for employees who manage
or provide services under Title 7 of the Health - General Article;
(ii) community provider that is required to be licensed or
certified under Title 7.5 of the Health - General Article for a percentage of the
employer contribution required under subsection (e) of this section for employees who
manage or provide services under Title 7.5 of the Health - General Article that is
equal to the percentage of revenue that is attributable to federal and State Medicaid
funding and any other State funding received by the community provider for the
services during the period covered by the reimbursement; or
(iii) provider, as defined in § 16-201.4 of the Health - General
Article, for a percentage of the employer contribution required under subsection (e)
of this section for employees who manage or provide services described in § 16-
201.4(a) of the Health - General Article that is equal to the percentage of revenue
attributable to federal and State Medicaid funding and any other State funding
received by the provider for the services during the period covered by the
reimbursement.
(2) The Maryland Department of Health shall make the
reimbursements required under paragraph (1) of this subsection at least quarterly.

(3) To receive reimbursement under paragraph (1) of this subsection,
a provider shall provide to the Maryland Department of Health any information
necessary to carry out this subsection in the form and manner required by the
Maryland Department of Health.

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