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Committee approves broad changes to physician and allied health regulation, increases penalties and revises reporting rules
Summary
House Bill 776, which revises disciplinary grounds, reporting requirements, civil penalties, and administrative processes for physicians and allied health professionals regulated by the Board of Physicians, passed the committee with a large amendment; sponsors said the amendments clarify employer definitions, lower certain administrative penalty
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House Bill 776 passed the Health and Government Operations Committee after members adopted substantial amendments intended to clarify and harmonize provisions governing physicians, physician assistants, and allied health professionals regulated by the Board of Physicians.
Primary changes described by the sponsor include: defining "employer" consistently across multiple provisions and repealing the term "alternative health system" where redundant; reducing the maximum administrative penalty available to the board in one provision from $25,000 to $15,000; requiring licensees to notify the board of a change in name or address within 30 days (current law: 60 days; the bill originally proposed 10 days); expanding disciplinary grounds to include patterns of excessive or medically unnecessary procedures and willfully hindering board investigations; allowing employers (not hospitals or treatment programs per se) to report disciplinary actions and requiring employers to notify the board if they know a licensed physician is noncompliant with a substance use disorder treatment program; retaining a board ability to extend reporting time for good cause; and authorizing civil penalties for knowingly failing to report or for bad-faith reports (up to $10,000 per incident). The bill also doubles a civil penalty for employing an individual to practice medicine without a license from $5,000 to $10,000.
Delegate Rosenberg stated the bill, as amended, was unanimous. Committee members asked whether stakeholder groups such as the Maryland Hospital Association were favorable; a committee member asked, "Mayor Medcay and MHA, favorable now with the amendments?" to which the reply recorded in the transcript was "Yes." The amendments were moved and seconded and the committee passed the bill.
What the committee decided: adopt the large packet B1 amendment and pass HB776 as amended. The transcript includes no roll-call vote counts.
What remains to be decided: finer implementation rules, enforcement mechanisms, and any agency guidance that will follow committee passage are not detailed in the transcript.

