SB 515 Maryland Senate · 2026 Regular Session

Health Services Cost Review Commission - Health Facilities - Rate Setting

SB 515 requires Maryland's Health Services Cost Review Commission to consider all operational costs incurred by health facilities - including expenses for physicians and other providers without corresponding billing revenue - when setting hospital rates. This affects hospitals and health facilities operating under Maryland's all-payer model, as the Commission must now factor in full costs during rate reviews. The bill amends existing law to mandate that the Commission evaluate facility financial health and certify rates based on complete cost accounting, rather than excluding certain expenses. This change ensures rates more accurately reflect actual facility operations, including costs for professional services that previously weren't fully counted.
Bill status passed both 4 of 5 stages cleared
Introduction
Feb 2026
Committee Review
Apr 2026
Senate Passage
Mar 2026
House of Delegates Passage
Apr 2026
Governor
Introduced Feb 3, 2026 Last action Apr 10, 2026
Maddy AI version diff · 1 comparison

What changed between versions

First - Health Services Cost Review Commission - Health Facilities - Jurisdiction and Rate Setting Third - Health Services Cost Review Commission - Health Facilities - Rate Setting · 5 edits
MODERATE
The bill was amended to authorize the Health Services Cost Review Commission to consider 'reasonable costs' rather than just 'all costs' when evaluating hospital facilities. Additionally, the bill's procedural status was updated to reflect it was adopted by the Senate and reported favorably with amendments.
Scope change
The scope of costs the Commission must consider was narrowed from 'all costs' to 'all reasonable costs', and the bill's procedural history was updated.
REQUIREMENT

The Commission is now required to take into account only 'reasonable costs' incurred or expenditures made by a health facility, rather than 'all costs'.

The specific language regarding costs to employ or contract with physicians was updated to ensure consistency with the new 'reasonable costs' requirement.

TECHNICAL

Procedural headers were added to indicate the bill was reported favorably with amendments and adopted by the Senate.

The bill's title was updated from 'altering the jurisdiction' to 'requiring authorizing the Commission', clarifying the legislative intent.

The repeal and reenactment instructions were reorganized to reflect the amendments made to the existing law.

Floor votes · Senate Mar 7, 2026 · House of Delegates Mar 26, 2026

How they voted

440
Passed · 5 other
Total votes 49
Mar 7, 2026
D Democratic36
32 Yea 4
88% Yea
R Republican13
12 Yea 1
92% Yea
Vote distribution
All Yea All Nay Mixed No data
Full legislative history

Actions timeline

Total actions
17
Key actions
9
Committee
6
Apr 10, 2026
Lower · Passed
Third Reading Passed
lower
Apr 9, 2026
Lower · Passed
Motion Special Order until Next Session (Delegate Buckel) Adopted
lower
Apr 9, 2026
Lower · Passed
Favorable with Amendments {
lower
Apr 9, 2026
Lower · Passed
Favorable with Amendments Report by Health
lower
Mar 26, 2026
House Of Delegates · Passed
House of Delegates Vote: pass (132-2-8)
house of delegates
Mar 24, 2026
Committee
Referred Health
lower
Mar 23, 2026
Upper · Passed
Third Reading Passed
upper
Mar 23, 2026
Upper · Passed
Favorable with Amendments {
upper
Mar 23, 2026
Upper · Passed
Favorable with Amendments Report by Finance
upper
Mar 7, 2026
Senate · Passed
Senate Vote: pass (44-0-5)
senate
Feb 3, 2026
Committee
First Reading Finance
upper
1 primary · 0 co-sponsors

Sponsors

Role
Legislator
Party
State
District
P
Photo of Pam Beidle
Pam Beidle
DDemocratic
MD
32