Md. Code Regs. 14.01.02.02 - Fee Assessment, Exemption, Waiver, and Collection
A. Annual
Assessment.
(1) In each State fiscal year,
the Board shall issue a fee assessment to each entity identified in
Health-General Article, §21-2C-11, Annotated Code of Maryland, and
Regulation .03 of this chapter and collect the assessment.
(2) Unless the entity requests and is granted
an exemption from the assessment, the entity shall pay the assessment by
October 1.
(3) An entity may pay
the assessment by ACH transfer, wire transfer, or check.
B. Exemption from Assessment.
(1) An entity may request an exemption from
the annual assessment by submitting a completed exemption form to the Board
within 30 days of the Board transmitting the fee assessment.
(2) The exemption form shall be executed
under oath and attest that:
(a) The entity is
not a qualifying entity as defined in COMAR 14.01.01 and Health-General
Article, §21-2C-11(b)(1), Annotated Code of Maryland;
(b) The entity no longer does business in
Maryland; or
(c) The entity is not
subject to assessment for another reason with an explanation of that
reason.
(3) The entity
bears the burden of demonstrating it qualifies for the claimed exemption and
shall submit documentation in support of the exemption request, as follows:
(a) The entity shall provide an executed
certificate of business record (available on the Board's website)
authenticating any business record the entity submits in support of the request
for exemption.
(b) For carriers,
supporting documentation may include but is not limited to NAIC "Annual
Statement" including the cover page (signature page/jurat), Maryland State
page, and Schedule T, acknowledgment from Maryland Insurance Administration of
merger/change in subsidiary status, and SEC 10-K (any applicable exhibits).
(c) For manufacturers,
distributors, and PBMs, supporting documentation may include but is not limited
to discharge in bankruptcy, documentation of merger/change in corporate
structure/subsidiary status (for example, SEC 10-K and any applicable
exhibits), acknowledgment from Board of Pharmacy of expiration of
license/registration, expired license/registration, documentation that
manufacturer/distributor provides only non-covered products (for example,
provides gases only, product or inventory lists), and documentation that the
entity does not do business in Maryland.
(d) If the entity is unable to provide any
documentation supporting the claimed exemption, the entity shall provide an
affidavit (form on Board's website) from the chief operating officer, chief
financial officer, or other authorized official attesting to the factual basis
of the claimed exemption.
(4) While the exemption request is pending,
payment of the assessment is deferred.
(5) The Board shall determine all requests
for exemption promptly.
C. Reconsideration.
(1) Within 15 days of the notice denying the
exemption, an entity may file for reconsideration of the denial of a request
for exemption by submitting:
(a) A request for
reconsideration on the form provided; and
(b) Additional information or documentation
in support of the claimed exemption.
(2) A request for reconsideration that does
not include additional information or additional documentation will be
denied.
(3) If the request for
exemption is denied after reconsideration, the entity shall pay the assessment
within 30 days of the issuance of the notice of denial.
D. Collection and Penalties.
(1) Any fee assessment not paid within 30
days of the payment due date may be subject to an interest penalty to be
determined and collected by the Board.
(2) In addition to any penalties the Board
may impose on an entity that fails to pay the fee assessed by the Board in a
timely manner, the Board may also refer an entity's delinquent account to the
Department of Budget and Management's Central Collection Unit, pursuant to the
procedures in State Finance and Procurement Article, Title 3, Subtitle 3,
Annotated Code of Maryland, and COMAR 17.01.01.
E. Maintenance of Assessment List.
(1) The Board shall maintain a list of
entities that are subject to assessment as identified in Health-General
Article, §21-2C-11, Annotated Code of Maryland.
(2) At any time, Board staff may:
(a) Review the list, but staff shall review
the list on at least an annual basis;
(b) Add additional entities reported by or
obtained from other agencies or identified by staff; and
(c) Remove entities if the entity:
(i) Is no longer a going concern; or
(ii) Has been determined to be
exempt from assessment.
Notes
State regulations are updated quarterly; we currently have two versions available. Below is a comparison between our most recent version and the prior quarterly release. More comparison features will be added as we have more versions to compare.
No prior version found.