Section 19-217 - Notification of certain financial transactions, contracts or agreements required. - Maryland Statutes

§ 19-217. Notification of certain financial transactions, contracts or agreements required.
 

(a)  In general.- Except as provided in subsection (c) of this section, a facility shall notify the Commission at least 30 days prior to executing any financial transaction, contract, or other agreement that would: 

(1) Pledge more than 50% of the operating assets of the facility as collateral for a loan or other obligation; or 

(2) Result in more than 50% of the operating assets of the facility being sold, leased, or transferred to another person or entity. 

(b)  Publication of notice.- Except as provided in subsection (c) of this section, the Commission shall publish a notice of the proposed financial transaction, contract, or other agreement reported by a facility in accordance with subsection (a) of this section in a newspaper of general circulation in the area where the facility is located. 

(c)  Exception.- The provisions of this section do not apply to any financial transaction, contract, or other agreement made by a facility with any issuer of tax-exempt bonds, including the Maryland Health and Higher Education Facilities Authority, the State, or any county or municipal corporation of the State, if a notice of the proposed issuance of revenue bonds that meets the requirements of § 147 (f) of the Internal Revenue Code has been published. 
 

[1991, ch. 555; 1999, ch. 702, § 2; 2009, ch. 60, § 5.]