Read the full stored bill text
EXPLANATION: CAPITALS INDICATE MATTER ADDED TO EXISTING LAW.
[Brackets] indicate matter deleted from existing law.
*hb0215*
HOUSE BILL 215
O2, J3 6lr1482
(PRE–FILED)
By: Delegate Vogel
Requested: October 30, 2025
Introduced and read first time: January 14, 2026
Assigned to: Health
A BILL ENTITLED
AN ACT concerning 1
Continuing Care Providers – Financial Stress Tests, Transparency, and 2
Governing Bodies 3
FOR the purpose of requiring the Department of Aging to conduct a n annual financial 4
stress test for each continuing care in a retirement community provider; requiring a 5
continuing care in a retirement community provider to meet with a resident 6
association at least a certain number of times each year and in a certain manner ; 7
requiring a provider to make agendas and minutes of certain meetings available to 8
the provider’s subscribers; requiring a continuing care in a retirement community 9
provider’s subscriber who serves as a regular or alternate member of the facility’s 10
governing body to be elected by the residents association rather than selected 11
according to certain standards and criteria and requiring that the elected member 12
has certain asset control and financial responsibility ; and generally relating to 13
continuing care providers. 14
BY repealing and reenacting, without amendments, 15
Article – Human Services 16
Section 10–101(a), (d), and (f) 17
Annotated Code of Maryland 18
(2019 Replacement Volume and 2025 Supplement) 19
(As enacted by Chapters 33 and 34 of the Acts of the General Assembly of 2025) 20
BY repealing and reenacting, without amendments, 21
Article – Human Services 22
Section 10–407 23
Annotated Code of Maryland 24
(2019 Replacement Volume and 2025 Supplement) 25
BY adding to 26
Article – Human Services 27
2 HOUSE BILL 215
Section 10–417 1
Annotated Code of Maryland 2
(2019 Replacement Volume and 2025 Supplement) 3
BY repealing and reenacting, with amendments, 4
Article – Human Services 5
Section 10–426 and 10–427 6
Annotated Code of Maryland 7
(2019 Replacement Volume and 2025 Supplement) 8
SECTION 1. BE IT ENACT ED BY THE GENERAL ASSEMBLY OF MARYLAND, 9
That the Laws of Maryland read as follows: 10
Article – Human Services 11
10–101. 12
(a) In this title the following words have the meanings indicated. 13
(d) “Department” means the Department of Aging. 14
(f) “Secretary” means the Secretary of Aging. 15
10–407. 16
This part applies only to continuing care in a retirement community operations. 17
10–417. 18
(A) AT LEAST ONCE A YEAR , THE DEPARTMENT SHALL COND UCT A 19
FINANCIAL STRESS TEST FOR A PROVIDER. 20
(B) THE FINANCIAL STRESS TEST CONDUCTED UNDER SUBSECTION (A) OF 21
THIS SECTION SHALL EXAMINE THE PROVIDER’S: 22
(1) COMMUNITY OCCUPANCY RATES; 23
(2) NET OPERATING MARGIN; 24
(3) LIQUIDITY; 25
(4) CAPITAL STRUCTURE; 26
(5) OPERATING RATIO; 27
HOUSE BILL 215 3
(6) DEBT SERVICE COVERAGE; 1
(7) AVERAGE AGE OF COMMUNITY INFRASTRUCTURE AND ASSETS; 2
(8) CUSHION RATIO; 3
(9) CASH TO DEBT RATIO; 4
(10) RISK FROM CURRENT AND PROPOSED INVESTMENTS; 5
(11) CORPORATE STRUCTURE; 6
(12) INTERSTATE FINANCIAL TRANSACTIONS; AND 7
(13) ANY OTHER INDICATOR OF FINANCI AL PERFORMANCE AND 8
DURABILITY SELECTED BY THE DEPARTMENT. 9
(C) THE DEPARTMENT SHALL HIRE TWO ANALYSTS TO: 10
(1) PERFORM THE FINANCIAL STRESS TESTS REQUIRED UNDER THIS 11
SECTION; AND 12
(2) PREPARE REPORTS ON T HE FINANCIAL STRESS TESTS F OR THE 13
DEPARTMENT. 14
(D) (1) AFTER REVIEWING A FINANCIAL STRESS TEST REPORT PREPARED 15
IN ACCORDANCE WITH T HIS SECTION , THE DEPARTMENT’S FINANCIAL REVIEW 16
COMMITTEE SHALL ASSIG N A GRADE TO INDICAT E THE FINANCIAL STAB ILITY OF 17
THE PROVIDER. 18
(2) THE GRADE ASSIGNED UNDER PARAG RAPH (1) OF THIS 19
SUBSECTION SHALL BE PUBLICLY AVAILABLE ON THE DEPARTMENT’S WEBSITE. 20
10–426. 21
(a) (1) At least quarterly[, each]: 22
(I) EACH CONTINUING CARE AT H OME provider shall hold a 23
meeting open to all of the provider’s subscribers; AND 24
(II) SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION, EACH 25
CONTINUING CARE IN A RETIREMENT COMMUNITY PROVIDER SHALL HOLD A 26
MEETING WITH THE PROVIDER’S RESIDENT ASSOCIATION. 27
4 HOUSE BILL 215
(2) (I) A PROVIDER MAY DETERMI NE WHETHER A MEETING WITH 1
THE RES IDENT ASSOCIATION AS REQUIRED UNDER PARAGRAPH (1)(II) OF THIS 2
SUBSECTION IS OPEN TO ALL OF THE PROVIDER’S SUBSCRIBERS. 3
(II) AT LEAST TWICE A YEAR, A MEETING HELD IN ACCORDANCE 4
WITH PARAGRAPH (1)(II) OF THIS SUBSECTION SHALL BE HELD IN PERSON AT THE 5
FACILITY REPRESENTED BY THE RESIDENT ASSOCIATION. 6
(b) At the meetings, an authorized officer of the provider shall: 7
(1) summarize the provider’s operations, significant changes from the 8
previous year, and goals and objectives for the next year; and 9
(2) answer subscribers’ questions. 10
(c) At the last quarterly meeting of the year, an authorized officer of the provider 11
shall provide an aggregated, deidentified summary of internal grievances submitted under 12
§ 10–428 of this subtitle. 13
(D) A COPY OF T HE AGENDAS AND MINUT ES OF MEETINGS REQUI RED 14
UNDER THIS SECTION S HALL BE MADE AVAILABLE TO THE PROVIDER ’S 15
SUBSCRIBERS. 16
10–427. 17
(a) (1) If a provider has a governing body, at least one of the provider’s 18
subscribers shall be a full and regular member of the governing body. 19
(2) If the provider owns or operates more than three facilities in the State, 20
the governing body shall include at least one of the provider’s subscribers for every three 21
facilities in the State. 22
(3) (i) If the governing body has only one subscriber, the governing body 23
shall authorize [the appointment of] an alternate subscriber to serve as a regular member 24
of the governing body if the regular subscriber is unable to fulfill the subscriber’s duties. 25
(ii) The alternate subscriber may: 26
1. attend all meetings of the governing body; and 27
2. vote only if the regular subscriber is unable to fulfill the 28
subscriber’s duties as a regular member of the governing body. 29
(4) [Subject to paragraph (5) of this subsection, a ] A regular or alternate 30
member of the governing body who is selected to meet the requirements of this subsection 31
shall be a subscriber at a facility in the State and be [selected according to the same general 32
HOUSE BILL 215 5
written standards and criteria used to select other mem bers of the governing body ] 1
ELECTED BY THE RESIDENT ASSOCIATION OF THE FACILITY. 2
(5) [The governing body shall confer with the resident association at each 3
of the provider’s facilities before the subscriber or alternate subscriber officially joins the 4
governing body] IF MEMBERS OF THE GOV ERNING BODY HAVE DIF FERENT POWERS 5
AND RESPONSIBILITIES REGARDING ASSET CONT ROL AND FINANCIAL 6
CONSEQUENCES FOR SUB SCRIBERS, A SUBSCRIBER MEMBER ELECTED UNDER 7
PARAGRAPH (4) OF THIS SUBSECTION S HALL HAVE AT LEAST THE SAME POWERS 8
AND RESPONSIBILITIES AS THE OTHER MEMBERS WHO HOLD THE MOST PO WERS 9
AND RESPONSIBILITIES REGARDING ASSET CONT ROL AND FINANCIAL 10
CONSEQUENCES FOR SUBSCRIBERS. 11
(6) (i) A subscriber member or alternate subscriber member of a 12
governing body ma y report on nonconfidential deliberations, actions, and policies of the 13
governing body to the resident association. 14
(ii) The governing body in its sole but reasonable discretion shall 15
determine whether a matter is confidential. 16
(7) The Secretary may waive the requirements of this subsection for a 17
provider in the process of decertifying as a provider, if the Secretary determines that there 18
are no subscribers willing and able to serve on the governing body. 19
(b) (1) If a provider does not have a governing body, the provider shall appoint 20
a select committee of its officers or partners to meet at least quarterly with the resident 21
association at each of its facilities to address concerns of the subscribers and to ensure that 22
the opinions of subscribers are relayed to all officers or partners of the provider. 23
(2) If a facility does not have a resident association, the committee shall 24
meet with a reasonable number of representatives, not required to exceed fifteen, that the 25
subscribers elect. 26
(c) As det ermined by the provider’s governing body, the provider shall make 27
available to subscribers either the nonconfidential portions of the minutes of each meeting 28
of the governing body or a summary of the nonconfidential portions of the minutes, within 29
1 month of approval of the minutes. 30
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 31
October 1, 2026. 32