An Act To Amend the Maine Health Data Organization and Maine Health Data Processing Center Laws Further
Maine Legislature, Session 122, LD 1760
Committee Amendment CA_A_S515 (Senate)
Amends: 10 MRSA §684, 10 MRSA §689, 22 MRSA §8704, 22 MRSA §8705-A

COMMITTEE AMENDMENT" A 
.. to S.P. 677, L.D. 1760, Bill, "An 
Act To Amend the Maine Health Data Organization Laws Regarding 
Dental Services" 
Amend the bill by striking out the title and substituting 
the following: 
'An Act To Amend the Maine Health Data Organization and Maine 
Health Data Processing Center Laws' 
Further 
amend the bill by inserting after the enacting 
clause and before section 1 the following: 
'Sec. 1. 10 MRSA §684, sub-§5, as enacted by PL 2001, c. 456, 
§1, is amended to read: 
5. 
Cooperation with agencies and organizations. 
Cooperate 
with and avail itself of the services of government agencies and 
the 
University 
of 
Maine 
System 
and 
cooperate, 
assist 
and 
otherwise encourage organizations, local or regional, private or 
public, in the various communities of the State in the collection 
and processing of health care data; aae 
Sec. 2. 10MRSA§684,sub-§6, as corrected by RR 2001, c. 2, 
Pt. B, §22 and affected by §58, is amended to read: 
6. 
Bylaws. 
Adopt bylaws that are consistent with this 
chapter for the governance of the affairs of the center, have the 
general powers accorded corporations under Title 13-C, section 
and do all other things necessary or convenient to carry out 
the lawful purposes of the centerT; and 
COMMITTEE AMENDMENT 
a.~. 
~ 
COMMITTEE AMENDMENT "A" to S.P. 677, L.D. 1760 
Sec. 3. 10 MRS A §684, sub-§7 is enacted to read: 
7. 
Process data on behalf of entities outside State. 
Enter. 
to offset its operating costs. 
into contracts 
under 
subsection 4 with governmental or private entities outside the 
State to collect and process health care data for those entities. 
Data collected and processed by the center under contract are 
subject to the terms of the contract and the provisions of this 
chapter. 
Notwithstanding section 682, data collected under this 
subsection remain the sole and exclusive property of the entity 
contracting with the center. 
Sec. 4. 10 MRSA §689, sub-§I, as enacted by PL 2001, c. 456. 
§1, is amended to read: 
1. 
Bet earninqs of center. 
The annual net earnings of the 
center must be distributed to the Maine Health Data Organization 
and the Maine Health Information Center in proportion to the 
average 
annual 
funding 
provided 
by 
each 
entity 
for 
the 
operational costs of the center. 
The net earnings of the center 
may 
not 
inure 
to 
the benefit of 
any officer, 
director or 
employee, except that the center is authorized and empowered to 
pay reasonable compensation for services rendered and otherwise 
hold, manage and dispose of its property in furtherance of the 
purposes of the center. 
Sec. 5. 22 MRSA §8704, sub-§7, as amended by PL 2005, c. 253, 
§5, is further amended to read: 
7. 
Annual report. 
The board shall prepare and submit an 
annual report on the operation of the organization and the Maine 
Health Data Processing Center as authorized in Title 10, section 
681, including any activity contracted for by the organization or 
contracted services provided by the center. with resulting net 
earnings, to the Governor and the joint standing committee of the 
Legislature having jurisdiction over health and human services 
matters no later than February 1st of each year. 
The report must 
include 
an 
annual 
accounting 
of 
all 
revenue 
received 
and 
expenditures incurred in the previous year and all revenue and 
expenditures planned for the next year. 
The report must include 
a list of persons or entities that requested data from the 
organization in the preceding year with a brief summary of the 
stated purpose of the request. 
Sec. 6. 22 MRSA §8705-A, sub-§3, 1fB, as enacted by PL 2003, c. 
659, §2, is amended to read: 
B. 
A person or 
under 
the 
terms 
entity that receives 
and 
conditions 
of 
data or 
section 
information 
8707 
and 
COMMITTEE AMENDMENT 
I 
.. 
~. 
~. 
COMMITTEE AMENDMENT .. ~ .. to S.P. 677, L.D. 1760 
intentionally or knowingly uses, sells or transfers the data 
in violation of the board's rules for commercial advantage, 
pecuniary gain, personal gain or malicious harm commi ts a 
civil violation for which a fine not to exceed $6!iHhQQQ 
$500,000 may be adjudged.' 
Further amend the bill in section 1 
in paragraph C by 
striking out all of subparagraph (2) (page 1, lines 11 to 30 in 
L.D.) and inserting in its place the following: 
'(2) 
Annual assessments of not less than $100 assessed 
against the following entities licensed under Titles 24 
and 
24-A: 
nonprofit 
hospital 
and 
medical 
service 
organizations, 
health 
insurance 
carriers 
and health 
maintenance organizations on the basis of the total 
annual 
health 
care 
premium; 
and 
3rd-party 
administrators 
and 
carriers 
that 
provide 
only 
administrative services for a plan sponsor on the basis 
of claims processed or paid for each plan sponsor. 
The 
assessments are to be determined on an annual basis by 
the board. 
Health care policies issued for specified 
disease, 
accident, 
injury, 
hospi tal 
indemni ty, 
disability, 
long-term care or other limited benefit 
health insurance policies are not subject to assessment 
under 
this 
subparagraph. 
For 
purposes 
of 
this 
subparagraph, policies issued for dental services are 
not considered to be limited benefit health insurance 
policies. 
The total dollar amount of assessments under 
this 
subparagraph must 
equal 
the 
assessments 
under 
subparagraph (3); and' 
Further amend the 
nonconsecutive 
consecutively. 
Part 
bill by 
letter 
relettering 
or 
section 
SUMMARY 
or renumber ing 
number 
to 
any 
read 
The 
amendment 
retains 
the bill's provision that dental 
services are not limited benefit health insurance policies and 
are subject to the permanent 
funding assessment 
under 
Maine 
Heal th Data Organization laws. The amendment adds new sections 
that allow the Maine Health Data Processing Center to receive and 
process claims from entities outside the State, specify how the 
net earnings of the center must be distributed and require the 
Maine Health Data Organization board of directors to report those 
net earnings each year. 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT .. A 
.. to S.P. 677, L.D. 1760 
This 
amendment also increases the fine from 
$250,000 to 
$500,000 for a person who receives and uses data of the Maine 
Heal th Data Organization for commercial advantage, pecuniary or 
personal gain or malicious harm. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Revised: 03/01/06 ;::b?ac 
122nd MAINE LEGISLATl)RE 
LD 1760 
2554(02) 
An Act To Amend the Maine Health Data Organization Laws Regarding Dental Services 
Fiscal Note for Bill as Amended by Committee Amendment fA " 
Committee: Health and Human Services 
Fiscal Note Required: Yes 
Fiscal Note 
Potential current biennium revenue increase - Other Special Revenue Funds 
Potential future biennium cost increase - Other Special Revenue Funds 
Fiscal Detail and Notes 
The Maine Health Data Organization and the Maine Health Data Processing Center may receive additional revenue 
and may in~ur additional costs as a result of the provisions of this bill. The exact amounts and the resulting net impact 
cannot be· determined at this time. The bill as amended would subject dental services insurance polices to the MHDO 
assessment. This would not affect totaI.MHDO revenue colll?cted because the assessment on other .payers would be 
reduced. 
LR2554(2) - Fiscal Note - P2.ge 1 of 1