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*hb1540*
HOUSE BILL 1540
J1, J3 6lr3557
By: Delegate Harrison Delegates Harrison, Ivey, Toles, Acevero, Ruff, and
McCaskill
Introduced and read first time: February 13, 2026
Assigned to: Appropriations
Committee Report: Favorable with amendments
House action: Adopted
Read second time: March 2, 2026
CHAPTER ______
AN ACT concerning 1
University of Maryland Capital Region Medical Center – Funding – Repeal of 2
Termination Date 3
FOR the purpose of repealing the termination date for certain provisions of law requiring 4
that the Governor include in the annual budget bill a certain appropriation for the 5
University of Maryland Capital Region Medical Center; altering certain findings by 6
the General Assembly; and generally relating to funding for the University of 7
Maryland Capital Region Medical Center. 8
BY repealing and reenacting, with amendments, 9
Article – Health – General 10
Section 19–2401 11
Annotated Code of Maryland 12
(2023 Replacement Volume and 2025 Supplement) 13
BY repealing and reenacting, with amendments, 14
Chapter 13 of the Acts of the General Assembly of 2016, as amended by Chapter 19 15
of the Acts of the General Assembly of 2017 16
Section 5 17
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 18
That the Laws of Maryland read as follows: 19
Article – Health – General 20
2 HOUSE BILL 1540
19–2401. 1
(a) The General Assembly finds that: 2
(1) The financial viability of the Prince George’s County Regional Medical 3
Center and the State’s investment in the Center is contingent on high quality clinical 4
programs at the existing Prince George’s Hospital Center and the new Prince George’s 5
County Regional Medical Center; 6
(2) The ability of the University of Maryland Medical System to develop 7
and maintain high quality clinical programs at the existing Prince George’s Hospital Center 8
and to transition to the new Prince George’s County Regional Medical Center is contingent 9
on State operating and capital funding in specific years; AND 10
(3) The ability to protect the State’s investment in the new Prince George’s 11
County Regional Medical Center is jeopardized by the provisions of the Budget 12
Reconciliation and Financing Act of 2017, as introduced, that alter both the operating and 13
capital obligations mandated by Chapter 13 of the Acts of 2016[; and 14
(4) The changed circumstances and the need to protect the State’s 15
investment require additional support in future years to ensure the f inancial viability of 16
the new Prince George’s County Regional Medical Center and ultimately the ability of the 17
State to end State support for the Center]. 18
(1) IN 2011, THE STATE, PRINCE GEORGE’S COUNTY, AND THE 19
UNIVERSITY OF MARYLAND MEDICAL SYSTEM CAME TOGETHER IN A HISTOR IC 20
PUBLIC–PRIVATE PARTNERSHIP TO TRANSITION THE LA ST COUNTY –OWNED 21
HOSPITAL SYSTEM IN THE STATE TO A PRIVATE, NONPROFIT INSTITUTION THAT IS 22
PART OF THE STATE’S LARGEST ACADEMIC M EDICAL SYSTEM, WITH THE GOAL OF 23
TRANSFORMING HEALTH CARE DELIVERY IN THE SECOND MOST POPULOUS COUNTY 24
IN THE STATE; 25
(2) THE GOALS ESTABLISHED UNDER THE PARTNERSHIP INCLUDE: 26
(I) GROWING ACCESS TO HIGH–QUALITY CLINICAL PROGRAMS 27
IN PRINCE GEORGE’S COUNTY; 28
(II) ESTABLISHING A DELIVE RY SYSTEM THAT ENABL ES 29
RESIDENTS TO RECEIVE CARE WITHIN PRINCE GEORGE’S COUNTY; 30
(III) ADDRESSING THE DISPRO PORTIONATE BURDEN OF 31
CHRONIC HEALTH CONDI TIONS IMPACTING RESI DENTS OF PRINCE GEORGE’S 32
COUNTY, INCLUDING HEART DISEASE AND CANCER; AND 33
HOUSE BILL 1540 3
(IV) SERVING AS AN ANCHOR INSTITUTION AND ENGI NE OF 1
ECONOMIC DEVELOPMENT FOR PRINCE GEORGE’S COUNTY AND THE SOUTHE RN 2
MARYLAND REGION; 3
(3) KEY TO THE TRANSFORMA TION OF CARE IN PRINCE GEORGE’S 4
COUNTY ARE EFFORTS TO: 5
(I) BUILD HIGH –QUALITY SPECIALTY CL INICAL PROGRAMS , 6
SUCH AS CANCER, CARDIAC, AND STROKE CARE; 7
(II) EXPAND PRIMARY CARE; 8
(III) ATTRACT AND RETAIN HIGHLY QUALIFIED CLINICIANS; AND 9
(IV) PRESERVE SERVICES THAT ADDRESS COMMUNITY NEEDS; 10
(4) SINCE THE ESTABLISHMENT OF THE UNIVERSITY OF MARYLAND 11
CAPITAL REGION HEALTH AS PART OF THE UNIVERSITY OF MARYLAND MEDICAL 12
SYSTEM IN 2017, THE ORGANIZATION HAS SUCCEEDED IN ADVANCING THE VISION 13
ARTICULATED BY THE H ISTORIC PARTNERSHIP BETWEEN THE STATE, PRINCE 14
GEORGE’S COUNTY, AND THE UNIVERSITY OF MARYLAND MEDICAL SYSTEM TO 15
TRANSFORM CARE DELIV ERY IN PRINCE GEORGE’S COUNTY AND THE SOUTHE RN 16
MARYLAND REGION; AND 17
(5) THE UNIVERSITY OF MARYLAND CAPITAL REGION HEALTH 18
REQUIRES STATE SUPPORT AND INV ESTMENT TO CONTINUE ITS MISSION TO 19
PROVIDE HIGH –QUALITY CARE AND TRANSFORM H EALTH CARE DELIVERY IN 20
PRINCE GEORGE’S COUNTY AND THE SOUTHERN MARYLAND REGION. 21
(b) (1) Subject to subsection (c) of this section, for the purpose of providing an 22
operating grant to ensure and assist in the transition of a new Prince George’s County 23
Regional Medical System to the University of Maryland Medical System Corporation: 24
(i) For fiscal year 2018, the Governor shall include in the budget bill 25
an appropriation of $28,000,000; 26
(ii) For fiscal year 2019, the Governor shall include in the budget bill 27
an appropriation of $27,000,000; 28
(iii) For fiscal years 2020 and 2021, the Governor shall include in the 29
budget bill an appropriation of $15,000,000; and 30
(iv) For fiscal [years] YEAR 2022 [through 2028] AND EACH FISCAL 31
YEAR THEREAFTER, the Governor shall include in the budget bill an appropriation of 32
$10,000,000. 33
4 HOUSE BILL 1540
(2) Subject to subsection (c) of this section, Prince George’s County shall 1
provide a combination of matching funds and other financial assistance to the Univ ersity 2
of Maryland Medical System Corporation that constitutes total financial assistance as 3
follows: 4
(i) $15,000,000 annually for fiscal year 2017 through fiscal year 5
2019; and 6
(ii) $5,000,000 annually for fiscal years 2020 and 2021. 7
(c) The State and county funds described in subsection (b) of this section: 8
(1) Shall be used to support the transition of the Prince George’s County 9
Regional Medical Center from operation under the Dimensions Health Care System to 10
operation as a participating institution of the University of Maryland Medical System 11
Corporation; and 12
(2) May be used only for: 13
(i) Providing increased access to critical health care services for the 14
region served by the Prince George’s County Regional Medical Center and impro ving the 15
quality of the services provided; and 16
(ii) Facilitating cost containment measures to prevent additional 17
operating losses for the Prince George’s County Regional Medical Center and its affiliated 18
institutions. 19
(d) (1) The Governor shall inclu de in the capital or operating budget bill the 20
following amounts that are equal to the capital funds committed by Prince George’s County 21
to be used for the construction of the Prince George’s County Regional Medical Center: 22
(i) $11,300,000 for fiscal year 2018; 23
(ii) $48,000,000 for fiscal year 2019; and 24
(iii) $56,200,000 for fiscal year 2020. 25
(2) Prince George’s County shall provide matching funds of $208,000,000 26
for the capital construction of the Prince George’s County Regional Medical Center. 27
Chapter 13 of the Acts of 2016, as amended by Chapter 19 of the Acts of 2017 28
SECTION 5. AND BE IT FURTHER ENACTED, That this Act shall take effect June 29
1, 2016. [It shall remain effective for a period of 12 years and 1 month and, at the end of 30
June 30, 2028, with no further action required by the General Assembly, this Act shall be 31
abrogated and of no further force and effect.] 32
HOUSE BILL 1540 5
SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 1
1, 2026. 2
Approved:
________________________________________________________________________________
Governor.
________________________________________________________________________________
Speaker of the House of Delegates.
________________________________________________________________________________
President of the Senate.