# Human Services (GHU)

## Title 8. Children, Youth, and Families

### Subtitle 8. Residential Child Care Programs -- Corporate Responsibility and Governance

#### Section 8-806

A corporation shall adopt written bylaws that require the corporation's board of directors to be responsible for:

(1) overseeing the management and operation of the residential child care program operated by the corporation;

(2) ensuring that the residential child care program operates in compliance with all applicable laws and regulations;

(3) approving the residential child care program's mission statement, long-term goals, policies, procedures, and annual budget;

(4) defining and prohibiting circumstances that would create a financial or personal conflict of interest for members of the board of directors, corporate officers, employees, agents, assigns, and volunteers;

(5) ensuring that the residential child care program responds to all requests from the licensing agency in a timely manner;

(6) approving the residential child care program's service plan and ensuring that services are provided in accordance with the plan;

(7) if the corporation is a nonprofit corporation, reviewing annually whether the corporation is satisfying its charitable mission;

(8) ensuring that the corporation has liability insurance;

(9) requiring that members of the board of directors have training in their responsibilities regarding the governance of the residential child care program; and

(10) establishing committees or member assignments to periodically review as warranted, but not less than annually:

  (i) compensation of officers and staff of the corporation and the residential child care program;

  (ii) quality of services provided to clients, including all incidents harming or potentially harming clients;

  (iii) financial problems and concerns relating to the residential child care program;

  (iv) performance of key staff;

  (v) nominations of new members of the board of directors; and

  (vi) potential conflicts of interest.

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Md. Code Ann., Hum. Servs. (as displayed at mgaleg.maryland.gov, October 16, 2026)